Document:

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                                                                    EXHIBIT 4(e)

CONFORMED COPY

                               DATED 4 APRIL 2003
          AND AMENDED AND RESTATED BY AN AGREEMENT DATED 20 APRIL 2004

                                SHIP HOLDING LLC
                                  (AS BORROWER)

                         COMMERZBANK AKTIENGESELLSCHAFT
                                 HAMBURG BRANCH
                                  HSBC BANK PLC
                                 (AS ARRANGERS)

                         COMMERZBANK AKTIENGESELLSCHAFT
                                  BREMEN BRANCH
                                  HSBC BANK PLC
                         KREDITANSTALT FUR WIEDERAUFBAU
                                  (AS LENDERS)

                                  HSBC BANK PLC
                                   (AS AGENT)

                         COMMERZBANK AKTIENGESELLSCHAFT
                                (AS HERMES AGENT)

                                  HSBC BANK PLC
                                  (AS TRUSTEE)

               --------------------------------------------------

                             SECURED LOAN AGREEMENT
               FOR THE EQUIVALENT AMOUNT IN UNITED STATES DOLLARS
                           OF UP TO (EURO)258,000,000
                        PRE- AND POST REDELIVERY FINANCE
                    FOR ONE 1,075 CABIN LUXURY CRUISE VESSEL
           IDENTIFIED WITH NO 7671 AND WORKING TITLE "PROJECT AMERICA"
                   AT THE YARD OF LLOYD WERFT BREMERHAVEN GMBH
                            (TBN "PRIDE OF AMERICA")
              ----------------------------------------------------

                               STEPHENSON HARWOOD
                            ONE ST PAUL'S CHURCHYARD
                                 LONDON EC4M 8SH
                            TEL: +44 (0)20 7329 4422
                            FAX: + 44 (0)20 7606 0822
                      REF: 1253/41-25887/42-01333/42-02591

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                                    CONTENTS
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                                                                                                            PAGE
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<S>      <C>                                                                                                 <C>
1        Definitions and Construction.........................................................................1
         1.1      Definitions.................................................................................1
         1.2      Construction...............................................................................34
         1.3      Agent, Hermes Agent and Trustee............................................................35

2        The Facility........................................................................................35
         2.1      Availability...............................................................................35
         2.2      Purpose and Application....................................................................36
         2.3      Drawdown...................................................................................37
         2.4      Payment of Portions........................................................................38
         2.5      Currency Option............................................................................38
         2.6      Break costs on failure to draw.............................................................40
         2.7      Conditions of drawdown.....................................................................40
         2.8      Several obligations of the Lenders.........................................................40
         2.9      Lender's failure to perform................................................................41
         2.10     Fulfilment of conditions after drawdown....................................................41

3        Repayment...........................................................................................41

4        Prepayment..........................................................................................41
         4.1      Voluntary prepayment.......................................................................41
         4.2      Voluntary prepayment in case of increased cost.............................................42
         4.3      Mandatory prepayment in case of illegality.................................................42
         4.4      Voluntary prepayment following imposition of Substitute Basis..............................43
         4.5      Prepayment in case of Total Loss of the Vessel.............................................43
         4.6      Prepayment in case of sale of the Vessel...................................................44
         4.7      Effect of prepayment.......................................................................44
         4.8      Break costs on prepayment..................................................................44

5        Interest............................................................................................45
         5.1      Payment of interest prior to the Termination Date..........................................45
         5.2      Payment of interest from the Termination Date..............................................45
         5.3      Selection and duration of Pre-Redelivery Interest Periods and Interest Periods.............46
         5.4      Conversion.................................................................................47
         5.5      Fixed Rate.................................................................................48
         5.6      Break costs in relation to Conversion......................................................48
         5.7      No notice and unavailability...............................................................49
         5.8      Separate Interest Periods for Instalments..................................................49
         5.9      Extension and shortening of Pre-Redelivery Interest Periods or Interest Periods............50
         5.10     Applicable Interest Rate...................................................................50
         5.11     Bank basis.................................................................................50
         5.12     Default interest...........................................................................51

6        Substitute Basis of Funding.........................................................................52
         6.1      Market disturbance.........................................................................52
         6.2      Suspension of drawdown.....................................................................52
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<S>      <C>                                                                                                 <C>

         6.3      Certificates of Substitute Basis...........................................................53
         6.4      Review.....................................................................................53

7        Payments............................................................................................54
         7.1      Place for payment..........................................................................54
         7.2      Deductions and grossing-up.................................................................54
         7.3      Production of receipts for Taxes...........................................................56
         7.4      Money of account...........................................................................57
         7.5      Accounts...................................................................................57
         7.6      Earnings...................................................................................58
         7.7      Continuing security........................................................................58

8        Yield Protection and Force Majeure..................................................................58
         8.1      Increased costs............................................................................58
         8.2      Force majeure..............................................................................60

9        Representations and Warranties......................................................................61
         9.1      Duration...................................................................................61
         9.2      Representations and warranties.............................................................61
         9.3      Representations on the First Drawdown Date.................................................69
         9.4      Representations on the Redelivery Date.....................................................69

10       Undertakings........................................................................................70
         10.1     Duration...................................................................................70
         10.2     Information................................................................................70
         10.3     Notification of default....................................................................71
         10.4     Consents and registrations.................................................................71
         10.5     Negative pledge............................................................................72
         10.6     Disposals..................................................................................72
         10.7     Change of business.........................................................................73
         10.8     Mergers....................................................................................73
         10.9     Maintenance of status and franchises.......................................................74
         10.10    Financial records..........................................................................74
         10.11    Financial indebtedness and subordination of indebtedness...................................75
         10.12    Pooling of earnings and charters...........................................................75
         10.13    Loans and guarantees by the Borrower.......................................................76
         10.14    Supervision and Management.................................................................76
         10.15    Acquisition of shares......................................................................77
         10.16    Trading with the United States of America..................................................77
         10.17    Further assurance..........................................................................77
         10.18    Valuation of the Vessel....................................................................78
         10.19    Marginal security..........................................................................79
         10.20    Performance of employment contracts........................................................79
         10.21    Insurances.................................................................................81
         10.22    Operation and maintenance of the Vessel....................................................87
         10.23    Hermes Cover...............................................................................93
         10.24    Dividends..................................................................................94

11       Default.............................................................................................94
         11.1     Events of default..........................................................................94
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                                       ii

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<S>      <C>                                                                                                 <C>

         11.2     Acceleration..............................................................................101
         11.3     Default indemnity.........................................................................102
         11.4     Set-off...................................................................................102

12       Application of Funds...............................................................................103
         12.1     Total Loss proceeds/proceeds of sale/Event of Default monies..............................103
         12.2     General funds.............................................................................105
         12.3     Application of proceeds of Insurances.....................................................106
         12.4     Application of any reduction in the Hermes Premium........................................106
         12.5     Suspense account..........................................................................107

13       Fees...............................................................................................107

14       Expenses...........................................................................................107
         14.1     Initial expenses..........................................................................107
         14.2     Enforcement expenses......................................................................107
         14.3     Stamp duties..............................................................................108

15       Waivers, Remedies Cumulative.......................................................................108
         15.1     No waiver.................................................................................108
         15.2     Remedies cumulative.......................................................................108
         15.3     Severability..............................................................................108
         15.4     Time of essence...........................................................................108

16       Counterparts.......................................................................................109

17       Assignment.........................................................................................109
         17.1     Benefit of agreement......................................................................109
         17.2     No transfer by the Borrower...............................................................109
         17.3     Assignments, participations and transfers by a Lender.....................................109
         17.4     Effectiveness of transfer.................................................................110
         17.5     Transfer of rights and obligations........................................................110
         17.6     Consent and increased obligations of the Borrower.........................................111
         17.7     Disclosure of information.................................................................111
         17.8     Transfer Certificate to be executed by the Agent..........................................112
         17.9     Notice of Transfer Certificates...........................................................112
         17.10    Documentation of transfer or assignment...................................................112
         17.11    Contracts (Rights of Third Parties) Act 1999 (the "Act")..................................113

18       Notices............................................................................................113
         18.1     Mode of communication.....................................................................113
         18.2     Address...................................................................................113
         18.3     Telefax communication.....................................................................113
         18.4     Receipt...................................................................................114
         18.5     Language..................................................................................114

19       Governing Law......................................................................................114

20       Waiver of Immunity.................................................................................115

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                                       iii

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<S>      <C>                                                                                                 <C>

21       Rights of the Agent, the Hermes Agent, the Trustee and the Lenders.................................115
         21.1     No derogation of rights...................................................................115
         21.2     Enforcement of remedies...................................................................115

22       Jurisdiction.......................................................................................116

Schedule 1        Particulars of Arrangers..................................................................120

Schedule 2        Particulars of Agent, Hermes Agent, Trustee and Lenders...................................121

Schedule 3        Notice of Drawdown........................................................................123

Schedule 4        Conditions Precedent......................................................................126

Schedule 5        Confidentiality Undertaking...............................................................134

Schedule 6        Transfer Certificate......................................................................136

Schedule 7        Form of Notice of Fixed Rate..............................................................143

Schedule 8        Chartering of the Six Vessels (as defined in Clause 10.6.4)...............................144

</TABLE>
                                       iv
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THIS LOAN AGREEMENT is made the 4 day of April 2003 and amended and restated by
an agreement made the 20 day of April 2004

BETWEEN:

(1)      SHIP HOLDING LLC of Corporation Trust Center, 1209 Orange Street,
         Wilmington, Delaware 19801, United States of America as borrower (the
         "BORROWER");

(2)      THE SEVERAL BANKS particulars of which are set out in Schedule 1 as
         arrangers (collectively the "Arrangers" and each individually an
         "ARRANGER");

(3)      THE SEVERAL BANKS particulars of which are set out in Schedule 2 as
         lenders (collectively the "Lenders" and each individually a "LENDER");

(4)      HSBC BANK PLC of 8 Canada Square, London E14 5HQ as agent (the
         "AGENT"); and

(5)      COMMERZBANK AKTIENGESELLSCHAFT of Kaiserplatz, 60311 Frankfurt am Main,
         Federal Republic of Germany as agent (the "HERMES AGENT"); and

(6)      HSBC BANK PLC of 8 Canada Square, London E14 5HQ as trustee (the
         "TRUSTEE").

WHEREAS:

The Arrangers have agreed on the terms and subject to the conditions set out in
this Agreement to arrange a loan in the Equivalent Amount of up to two hundred
and fifty eight million Euro ((EURO)258,000,000), subject to Clause 2.5, to be
made by the Lenders to the Borrower to part-finance (among other things) the
completion by the Builder of the Vessel for the Contract Price.

NOW IT IS HEREBY AGREED as follows:

1        DEFINITIONS AND CONSTRUCTION

         1.1      DEFINITIONS

                  In this Agreement:

                  "ACCOUNT CHARGE"                means the charge over the
                                                  Operating Account, to be given
                                                  by the Borrower in favour of
                                                  the Trustee and the Commercial
                                                  Loan Trustee (together with

                                       1
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                                                  the notice and acknowledgement
                                                  thereof), such charge, notice
                                                  and acknowledgement to be in
                                                  substantially the form and on
                                                  the terms and conditions
                                                  required by the Agent, the
                                                  Hermes Agent and the
                                                  Commercial Loan Agent and
                                                  agreed on the signing of the
                                                  Original Loan Agreement and as
                                                  specified in paragraph 54 of
                                                  Schedule 4;

                 "AGENCY AND TRUST DEED"          means the deed dated 4 April
                                                  2003 entered into by the
                                                  Lenders, the Agent, the Hermes
                                                  Agent, the Trustee, the
                                                  Commercial Loan Lenders, the
                                                  Commercial Loan Agent and the
                                                  Commercial Loan Trustee
                                                  whereby the Agent and the
                                                  Hermes Agent will be appointed
                                                  as agents of the Lenders, the
                                                  Commercial Loan Agent will be
                                                  appointed as agent of the
                                                  Commercial Loan Lenders and
                                                  the Trustee and the Commercial
                                                  Loan Trustee will be appointed
                                                  as trustees for the Agent, the
                                                  Hermes Agent, the Lenders, the
                                                  Commercial Loan Agent and the
                                                  Commercial Loan Lenders;

                 "AGREEMENT"                      means this agreement;

                 "APPLICABLE INTEREST RATE"       means, until (but excluding)
                                                  the Conversion Date, the
                                                  applicable Floating Interest
                                                  Rate and, thereafter, the
                                                  Fixed Rate subject to Clause
                                                  5.12 and Clause 6;

                 "ARRASAS"                        means Arrasas Limited of
                                                  International House, Castle
                                                  Hill, Victoria Road, Douglas,
                                                  Isle of Man IM2 4RB, British
                                                  Isles;

                 "ASSOCIATED COMPANY"             in relation to any company,
                                                  means any company which is a
                                                  Subsidiary or Holding Company
                                                  of that company or the

                                       2
<PAGE>

                                                  majority of whose shares are
                                                  beneficially owned by the same
                                                  person or persons as own the
                                                  majority of the shares of that
                                                  company;

                 "BUILDER"                        means Lloyd Werft Bremerhaven
                                                  GmbH (in receivership) of
                                                  Bruckenstrasse 25, P O Box
                                                  120542, 27519 Bremerhaven,
                                                  Federal Republic of Germany,
                                                  the shipbuilder completing the
                                                  Vessel pursuant to the
                                                  Building Contract;

                 "BUILDING CONTRACT"              means the amended and restated
                                                  shipbuilding contract dated as
                                                  of 5 February 2003 between the
                                                  Borrower and the Builder
                                                  (being an amendment and
                                                  restatement of the
                                                  shipbuilding contract dated 28
                                                  December 2000 between NCLL and
                                                  the Builder as novated by a
                                                  contract dated 5 February 2003
                                                  between NCLL, the Borrower and
                                                  the Builder) as amended by a
                                                  first addendum thereto dated 7
                                                  March 2003 and a second
                                                  addendum thereto dated 14
                                                  March 2003 for the completion
                                                  and redelivery of the Vessel
                                                  and Specification No 4-00910
                                                  dated 5 February 2003;

                  "BUILDING CONTRACT,             means the valid and effective
                  REFUND GUARANTEE AND            first legal assignment of the
                  PERFORMANCE GUARANTEES          benefit of the Building
                  ASSIGNMENT"                     Contract, the Refund Guarantee
                                                  and the Performance Guarantees
                                                  executed by the Borrower in
                                                  favour of the Trustee
                                                  (together with the notices and
                                                  acknowledgements thereof) on
                                                  22 April 2003, such

                                       3
<PAGE>

                                                  assignment, notices and
                                                  acknowledgements being in the
                                                  form and on the terms and
                                                  conditions required by the
                                                  Agent and agreed on the
                                                  signing of the Original Loan
                                                  Agreement and as specified in
                                                  paragraph 32 of Schedule 4;

                 "BUSINESS DAY"                   means any day on which, in a
                                                  country where any act or thing
                                                  is required to be done
                                                  hereunder or under the
                                                  Building Contract, in the case
                                                  of any payment to be made to
                                                  the Builder thereunder, banks
                                                  and financial markets and, if
                                                  applicable, TARGET are open
                                                  for the transaction of
                                                  business of the nature
                                                  contemplated by this
                                                  Agreement;

                 "CERTIFIED COPY"                 means, in relation to any
                                                  document delivered or issued
                                                  by or on behalf of any
                                                  company, a copy of such
                                                  document certified as a true,
                                                  complete and up-to-date copy
                                                  of the original by any of the
                                                  directors or the secretary or
                                                  assistant secretary for the
                                                  time being of that company;

                 "CHARGE"                         means the charge over the
                                                  Membership Interest to be
                                                  given by the Member as holder
                                                  (legally and beneficially) of
                                                  the Membership Interest to the
                                                  Trustee and the Commercial
                                                  Loan Trustee pursuant to the
                                                  Charge Option;

                 "CHARGE OPTION"                  means the option to take the
                                                  Charge to be given by the
                                                  Member to the Trustee and the
                                                  Commercial Loan Trustee on the
                                                  Restatement Date, such option
                                                  and the Charge being in the
                                                  form and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Commercial Loan Agent and
                                                  agreed on the date of the
                                                  First Supplemental Agreement;

                 "COMMERCIAL                      LOAN" means the loan in the
                                                  Equivalent Amount (as defined
                                                  in the Commercial Loan
                                                  Agreement) of up to forty

                                       4
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                                                  million Euro
                                                  ((EURO)40,000,000) to be made
                                                  by the Commercial Loan Lenders
                                                  to the Borrower pursuant to
                                                  the Commercial Loan Agreement;

                 "COMMERCIAL LOAN AGENT"          means HSBC Bank plc of 8
                                                  Canada Square, London E14 5HQ
                                                  as agent for the Commercial
                                                  Loan Lenders;

                 "COMMERCIAL LOAN AGREEMENT"      means the loan agreement dated
                                                  4 April 2003 and to be amended
                                                  and restated by a first
                                                  supplemental agreed thereto
                                                  dated           2004 between,
                                                  among others, the Borrower,
                                                  the Commercial Loan Lenders,
                                                  the Commercial Loan Agent and
                                                  the Commercial Loan Trustee in
                                                  respect of the Commercial
                                                  Loan;

                 "COMMERCIAL LOAN LENDERS"        means Commerzbank
                                                  Aktiengesellschaft, Bremen
                                                  Branch, HSBC Bank plc and KfW
                                                  (formerly known as
                                                  Kreditanstalt fur
                                                  Wiederaufbau);

                 "COMMERCIAL LOAN SECURITY        means the Security Documents
                 DOCUMENTS"                       (as defined in the Commercial
                                                  Loan Agreement);

                 "COMMERCIAL LOAN TRUSTEE"        means HSBC Bank plc of 8
                                                  Canada Square, London E14 5HQ
                                                  as trustee for the Commercial
                                                  Loan Lenders;

                 "COMMITMENT PERIOD"              means the period beginning on
                                                  4 April 2003 and ending on the
                                                  date on which the Facility is
                                                  drawn down in full or
                                                  cancelled hereunder;

                 "COMMITMENT"                     means, as to each Lender, the
                                                  sum set out opposite its name
                                                  in Schedule 2 as the amount
                                                  which, subject to the terms of
                                                  this Agreement, it is obliged

                                       5
<PAGE>

                                                  to advance to the Borrower
                                                  under Clause 2 (or, where the
                                                  context so admits, such amount
                                                  which any successor in title,
                                                  assignee or transferee
                                                  (including any Transferee) of
                                                  any Lender shall be obliged to
                                                  advance to the Borrower under
                                                  Clause 2, following the
                                                  assumption of all or any
                                                  portion of such liability from
                                                  any Lender hereunder) in each
                                                  case as such amount may be
                                                  reduced, cancelled or
                                                  terminated under this
                                                  Agreement;

                 "COMPLETION PERIOD"              means the period beginning on
                                                  4 April 2003 and ending on the
                                                  Redelivery Date;

                 "COMPULSORY ACQUISITION"         means requisition for title or
                                                  other compulsory acquisition
                                                  of the Vessel including its
                                                  capture, seizure, detention or
                                                  confiscation or expropriation
                                                  but excluding any requisition
                                                  for hire by or on behalf of
                                                  any government or governmental
                                                  authority or agency or by any
                                                  persons acting or purporting
                                                  to act on behalf of any such
                                                  government or governmental
                                                  authority or agency;

                 "CONFIDENTIALITY                 means the undertaking to be
                 UNDERTAKING"                     entered into relating to the
                                                  release of financial
                                                  information pertaining to the
                                                  Group by the Agent, the
                                                  Trustee or any Lender to a
                                                  potential Transferee or
                                                  assignee such undertaking to
                                                  be in the form of Schedule 5;

                 "CONSTRUCTION RISKS              means the valid and effective
                 INSURANCE ASSIGNMENT"            first priority assignment of
                                                  the Insurances (together with
                                                  the notice thereof), executed
                                                  by the Builder in respect of
                                                  the Vessel in favour of the

                                       6
<PAGE>

                                                  Trustee on 22 April 2003, such
                                                  assignment and notice being in
                                                  the form and on the terms and
                                                  conditions required by the
                                                  Agent and the Hermes Agent and
                                                  agreed on the signing of the
                                                  Original Loan Agreement and as
                                                  specified in paragraph 33 of
                                                  Schedule 4;

                 "CONTRACT PRICE"                 means two hundred and ninety
                                                  eight million Euro
                                                  ((EURO)298,000,000) being the
                                                  price agreed between the
                                                  Builder and the Borrower for
                                                  the completion of the Vessel
                                                  under clause 11.1 of the
                                                  Building Contract;

                 "CONTRIBUTION"                   means as to each Lender the
                                                  sum set out opposite its name
                                                  in Schedule 2 as the amount
                                                  which it is obliged to advance
                                                  to the Borrower under Clause 2
                                                  or, as the case may be, the
                                                  portion of such sum so
                                                  advanced and for the time
                                                  being outstanding;

                 "CONVERSION"                     means the conversion of the
                                                  method of calculating interest
                                                  from the Floating Interest
                                                  Rate to the Fixed Rate;

                 "CONVERSION DATE"                has the meaning ascribed to
                                                  that term in Clause 5.3.2;

                 "CO-ORDINATION DEED"             means the deed dated 4 April
                                                  2003 made between the Trustee,
                                                  the Agent, the Commercial Loan
                                                  Trustee, the Commercial Loan
                                                  Agent and the Borrower in
                                                  relation to certain of the
                                                  Security Documents and the
                                                  Commercial Loan Security
                                                  Documents;

                 "CURRENCY CONVERSION DATE"       means a date on which the Euro
                                                  Loan at that date is converted
                                                  to Dollars being a
                                                  Pre-Redelivery Interest
                                                  Payment Date or an Interest
                                                  Payment Date;

                                       7
<PAGE>

                 "DISCLOSURE LETTER"              means the letter so designated
                                                  given by the Borrower and
                                                  acknowledged by the Agent
                                                  (acting on the instructions of
                                                  the Lenders) on the date of
                                                  the First Supplemental
                                                  Agreement;

                 "DOCUMENT OF COMPLIANCE"         means a document issued to the
                                                  Vessel operator as evidence of
                                                  its compliance with the
                                                  requirements of the ISM Code;

                 "DOLLARS" AND "USD"              means the lawful currency of
                                                  the United States of America;

                 "DOLLAR LOAN"                    means the aggregate amount of
                                                  the Portions or any part
                                                  thereof denominated in Dollars
                                                  or (as the context may
                                                  require) the amount thereof
                                                  for the time being drawn down
                                                  and/or denominated in Dollars
                                                  and outstanding hereunder;

                 "DRAWDOWN DATE"                  means a date being a Business
                                                  Day on which a part of a
                                                  Portion is drawn down pursuant
                                                  to Clause 2.3;

                 "DRAWDOWN NOTICE"                means any of the notices to be
                                                  given by the Borrower to the
                                                  Agent pursuant to Clause
                                                  2.3.1;

                 "EARNINGS"                       means, in respect of the
                                                  Vessel, (whether earned or to
                                                  be earned) any and all
                                                  freights, hire and passage
                                                  monies, proceeds of
                                                  requisition (other than
                                                  proceeds of Compulsory
                                                  Acquisition), rebates and

                                       8
<PAGE>

                                                  commissions, all earnings
                                                  deriving from contracts of
                                                  affreightment, pooling
                                                  agreements, joint ventures,
                                                  compensation, remuneration for
                                                  salvage and towage services,
                                                  damages howsoever arising and
                                                  detention monies, damages for
                                                  breach of any charterparty or
                                                  other contract for the
                                                  employment of the Vessel, any
                                                  amounts payable in
                                                  consideration of the
                                                  termination or variation of
                                                  any charterparty or other such
                                                  contract, any sums payable or
                                                  repayable by the Builder under
                                                  the Building Contract, any
                                                  reduction in the Hermes
                                                  Premium repaid by Hermes to
                                                  the Borrower and any other
                                                  earnings whatsoever due or to
                                                  become due to the Borrower;

                 "EARNINGS ASSIGNMENT"            means the valid and effective
                                                  first legal assignment of the
                                                  Earnings (together with the
                                                  notice thereof and the
                                                  acknowledgement), executed by
                                                  the Borrower in respect of the
                                                  Vessel in favour of the
                                                  Trustee and the Commercial
                                                  Loan Trustee on 22 April 2003,
                                                  such assignment, notice and
                                                  acknowledgement being in the
                                                  form and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Commercial Loan Agent and
                                                  agreed on the signing of the
                                                  Original Loan Agreement and as
                                                  specified in paragraph 31 of
                                                  Schedule 4;

                 "ELECTION DATE"                  has the meaning ascribed to
                                                  that term in Clause 5.3.2;

                 "ENCUMBRANCE"                    means any mortgage, charge,
                                                  pledge, lien, assignment,
                                                  hypothecation, title
                                                  retention, preferential right
                                                  or trust arrangement or any
                                                  other security agreement or
                                                  arrangement;

                 "EQUIVALENT AMOUNT"              means the Dollar equivalent of
                                                  (i) each amount payable in
                                                  Euro by the Borrower to the
                                                  Builder under the Building

                                       9
<PAGE>

                                                  Contract or payable to the
                                                  Borrower in reimbursement of
                                                  the Hermes Premium and to be
                                                  drawn down hereunder in
                                                  Dollars or (ii) the Euro Loan
                                                  on a Currency Conversion Date,
                                                  in each case determined at
                                                  HSBC Bank plc's spot rate for
                                                  conversion of Dollars to Euro
                                                  at 10.00 a.m. London time two
                                                  (2) Business Days prior to the
                                                  relevant Drawdown Date or the
                                                  relevant Currency Conversion
                                                  Date (as the case may be);

                 "EURIBOR"                        means with respect to any
                                                  Pre-Delivery Interest Period
                                                  or Interest Period and with
                                                  respect to the Euro Loan the
                                                  rate of interest (expressed as
                                                  an annual rate) determined by
                                                  the Agent to be:

                                                  (i)      the offered rate for
                                                           deposits in Euro for
                                                           a period equivalent
                                                           to such Pre-Delivery
                                                           Interest Period or
                                                           Interest Period which
                                                           appears on the page
                                                           of the Reuters screen
                                                           which displays the
                                                           average EURIBOR rate
                                                           as agreed with
                                                           EURIBOR FBE for
                                                           deposits in Euro of
                                                           the relevant amount
                                                           at or about 11.00
                                                           a.m. London time on
                                                           the Quotation Date;
                                                           or

                                                  (ii)     if no rate is
                                                           provided for the
                                                           respective
                                                           Pre-Delivery Interest
                                                           Period or Interest
                                                           Period on the said

                                       10
<PAGE>

                                                           Reuters screen, the
                                                           interpolated rate per
                                                           annum for deposits in
                                                           Euro in an amount
                                                           approximately equal
                                                           to the Euro Loan as
                                                           calculated by the
                                                           Agent, such
                                                           interpolated rate to
                                                           be based on the said
                                                           Reuters screen
                                                           PROVIDED THAT EURIBOR
                                                           for periods of less
                                                           than one (1) week
                                                           will be ascertained
                                                           under sub-section
                                                           (iii) below;

                                                  or (if the said Reuters screen
                                                  is discontinued or if the
                                                  Agent is unable to make the
                                                  said determination due to
                                                  technical breakdown in the
                                                  relevant system or the
                                                  Pre-Delivery Interest Period
                                                  or Interest Period is less
                                                  than one (1) week)

                                                  (iii)    the arithmetic mean
                                                           (rounded upwards, if
                                                           necessary, to the
                                                           nearest one-sixteenth
                                                           of one per cent
                                                           (1/16%)) of the rates
                                                           per annum notified to
                                                           the Agent by each of
                                                           the Reference Banks
                                                           as the rate at which
                                                           deposits in Euro in
                                                           an amount
                                                           approximately equal
                                                           to the Euro Loan are
                                                           offered to such
                                                           Reference Bank by
                                                           leading banks in the
                                                           London Interbank
                                                           market at such
                                                           Reference Bank's
                                                           request at or about
                                                           11.00 a.m. London
                                                           time on the Quotation
                                                           Date for a period
                                                           equal to the
                                                           Pre-Delivery Interest
                                                           Period or Interest
                                                           Period and for
                                                           delivery on the first
                                                           Business Day thereof;

                 "EURIBOR FBE"                    means the Banking Federation
                                                  of the European Union;

                 "EURO" AND "(EURO)"              means the lawful currency of
                                                  the Federal Republic of
                                                  Germany;

                 "EURO LOAN"                      means the aggregate amount of
                                                  the Portions or any part
                                                  thereof denominated in Euro or
                                                  (as the context may require)

                                       11
<PAGE>
                                          the amount thereof for the time being
                                          drawn down and outstanding hereunder;

            "EVENT OF DEFAULT"            means any of the events specified in
                                          Clause 11;

            "FACILITY"                    means the loan facility granted
                                          hereunder being in the Equivalent
                                          Amount (in aggregate) of up to two
                                          hundred and fifty eight million Euro
                                          ((EURO)258,000,000), subject to Clause
                                          2.5;

            "FINANCIAL INDEBTEDNESS"      means any obligation for the payment
                                          principal or as surety and whether
                                          present or future, actual or
                                          contingent;

            "FIRST DRAWDOWN DATE"         means the date on which Tranche 1 and
                                          Portion 2 or part thereof is drawn
                                          down and applied in accordance with
                                          Clause 2.2.1 and Clause 2.2.2;

            "FIRST PRE-REDELIVERY         means the first priority abstract
            MORTGAGE"                     acknowledgement of debt and mortgage
                                          ("ABSTRAKTES SCHULDVERSPRECHEN UND
                                          SCHIFFSHYPOTHEKENBESTELLUNGSURKUNDE")
                                          and part submission ("UNTERWERFUNG
                                          UNTER DIE SOFORTIGE
                                          ZWANGSVOLLSTRECKUNG") dated 17 April
                                          2003, granted by the Borrower over the
                                          Vessel in favour of the Trustee as
                                          security pursuant hereto during the
                                          Completion Period, such abstract,
                                          mortgage and submission being in the
                                          form and on the terms and conditions
                                          required by the Agent and the Hermes
                                          Agent and agreed on the signing of the

                                       12
<PAGE>

                                                  Original Loan Agreement and as
                                                  specified in paragraph 30 of
                                                  Schedule 4;

                 "FIRST SUPPLEMENTAL
                 AGREEMENT"                       means the first supplemental
                                                  agreement dated         2004
                                                  to the Original Loan
                                                  Agreement;

                 "FIXED RATE"                     means the fixed rate of
                                                  interest agreed jointly by the
                                                  Borrower and each of the
                                                  Lenders at or about 11.00 a.m.
                                                  London time on the Quotation
                                                  Date prior to the Conversion
                                                  Date payable, subject to
                                                  Clause 5.8, on each Interest
                                                  Payment Date during the Fixed
                                                  Rate Period;

                 "FIXED RATE PERIOD"              means the period starting on
                                                  (and including) the Conversion
                                                  Date and ending on the final
                                                  Repayment Date;

                 "FLOATING INTEREST RATE"         means for each Pre-Redelivery
                                                  Period and Interest Period
                                                  selected pursuant to Clause
                                                  5.3.1 the aggregate of LIBOR
                                                  or EURIBOR (as the case may
                                                  be) and the Margin;

                 "FORCE MAJEURE"                  means, in relation to the
                                                  Agent, the Hermes Agent, the
                                                  Trustee or any Lender, any
                                                  event or circumstance which is
                                                  beyond the reasonable control
                                                  of such party, which cannot be
                                                  foreseen or if foreseeable
                                                  which is unavoidable, which
                                                  occurs after the date of this
                                                  Agreement and which prevents
                                                  that party from performing any
                                                  of its obligations under this
                                                  Agreement;

                 "GAAP"                           means generally accepted
                                                  accounting principles in the
                                                  United States of America
                                                  consistently applied (or, if
                                                  not consistently applied,
                                                  accompanied by details of the
                                                  inconsistencies) including,

                                       13
<PAGE>

                                                  without limitation, those set
                                                  forth in the opinion and
                                                  pronouncements of the
                                                  Accounting Principles Board of
                                                  the American Institute of
                                                  Certified Public Accountants
                                                  and statements and
                                                  pronouncements of the
                                                  Financial Accounting Standards
                                                  Board;

                 "GROUP"                          means Star and its
                                                  Subsidiaries;

                 "GUARANTEE"                      means the guarantee executed
                                                  by the Guarantor in favour of
                                                  the Trustee and the Commercial
                                                  Loan Trustee on the
                                                  Restatement Date, such
                                                  guarantee to be in the form
                                                  and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Commercial Loan Agent and
                                                  agreed on the date of the
                                                  First Supplemental Agreement;

                 "GUARANTOR"                      means NCL Corporation Ltd. of
                                                  Reid Hall, 3 Reid Street,
                                                  Hamilton HM 11, Bermuda and
                                                  with its principal place of
                                                  business at 7665 Corporate
                                                  Center Drive, Miami, Florida
                                                  33126, United States of
                                                  America;

                 "HERMES"                         means Euler Hermes
                                                  Kreditversicherungs-AG of
                                                  Friedensallee 254, 22763
                                                  Hamburg, Federal Republic of
                                                  Germany;

                 "HERMES COVER"                   means the guarantee from the
                                                  Federal Republic of Germany
                                                  acting through Hermes for the
                                                  period of the transaction in
                                                  the amount and on the terms
                                                  and conditions required by the
                                                  Lenders;

                 "HERMES PREMIUM"                 means the amount payable by
                                                  the Borrower to Hermes through

                                       14
<PAGE>

                                                  the Hermes Agent in respect of
                                                  the Hermes Cover;

                 "HOLDING COMPANY"                has the meaning defined in the
                                                  Companies Act 1985, Section
                                                  736 as substituted by the
                                                  Companies Act 1989, Section
                                                  144;

                 "IOL"                            means Inter-Ocean Limited of
                                                  International House, Castle
                                                  Hill, Victoria Road, Douglas,
                                                  Isle of Man IM2 4RB, British
                                                  Isles;

                 "ISM CODE"                       means the International
                                                  Management Code for the Safe
                                                  Operation of Ships and for
                                                  Pollution Prevention adopted
                                                  by the International Maritime
                                                  Organisation;

                 "ISPS CODE"                      means the International Ship
                                                  and Port Facility Security
                                                  Code adopted by the
                                                  International Maritime
                                                  Organisation;

                 "INDEBTEDNESS FOR                means Financial Indebtedness
                 BORROWED MONEY"                  (whether present or future,
                                                  actual or contingent,
                                                  long-term or short-term,
                                                  secured or unsecured) in
                                                  respect of:

                                                  (i)      moneys borrowed or
                                                           raised;

                                                  (ii)     the advance or
                                                           extension of credit
                                                           (including interest
                                                           and other charges on
                                                           or in respect of any
                                                           of the foregoing);

                                                  (iii)    the amount of any
                                                           liability in respect
                                                           of leases which, in
                                                           accordance with GAAP,
                                                           are capital leases;

                                                  (iv)     the amount of any
                                                           liability in respect
                                                           of the purchase price
                                                           for assets or
                                                           services payment of

                                       15
<PAGE>

                                                           which is deferred for
                                                           a period in excess of
                                                           one hundred and
                                                           eighty (180) days;

                                                  (v)      all reimbursement
                                                           obligations whether
                                                           contingent or not in
                                                           respect of amounts
                                                           paid under a letter
                                                           of credit or similar
                                                           instrument;

                                                  (vi)     all interest rate and
                                                           currency swap and
                                                           similar agreements
                                                           obliging the making
                                                           of payments, whether
                                                           periodically or upon
                                                           the happening of a
                                                           contingency (and the
                                                           value of such
                                                           Financial
                                                           Indebtedness shall be
                                                           the mark-to-market
                                                           valuation of such
                                                           transaction at the
                                                           relevant time); and

                                                  (vii)    (without double
                                                           counting) any
                                                           guarantee of
                                                           Financial
                                                           Indebtedness falling
                                                           within paragraphs (i)
                                                           to (vi) above;

                 "INSTALMENT"                     means the amount of principal
                                                  of the Loan repayable on a
                                                  Repayment Date in accordance
                                                  with Clause 3;

                 "INSURANCE ASSIGNMENT"           means the valid and effective
                                                  first legal assignment of the
                                                  Insurances (together with the
                                                  notice thereof), to be
                                                  executed by the Borrower in
                                                  respect of the Vessel in
                                                  favour of the Trustee and the
                                                  Commercial Loan Trustee, such
                                                  assignment and notice to be in
                                                  the form and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Commercial Loan Agent and
                                                  agreed on the signing of the
                                                  Original Loan Agreement and as
                                                  specified in paragraph 47 of
                                                  Schedule 4;

                                       16
<PAGE>

                 "INSURANCES"                     means all policies and
                                                  contracts of insurance
                                                  (including construction risks
                                                  insurance under the Building
                                                  Contract) and entries of the
                                                  Vessel in a protection and
                                                  indemnity or war risks
                                                  association which are effected
                                                  in respect of the Vessel, its
                                                  freights, disbursements,
                                                  profits or otherwise and all
                                                  benefits, including all claims
                                                  and returns of premiums
                                                  thereunder and shall also
                                                  include all compensation
                                                  payable by virtue of
                                                  Compulsory Acquisition;

                 "INTEREST EXCHANGE               means such interest rate
                 ARRANGEMENT"                     arrangements as a Lender shall
                                                  deem necessary to make in
                                                  respect of its Contribution in
                                                  order to offer the Fixed Rate
                                                  to the Borrower;

                 "INTEREST PAYMENT DATE"          means the last day of each
                                                  Interest Period and each
                                                  Repayment Date occurring
                                                  during an Interest Period or
                                                  the Fixed Rate Period;

                 "INTEREST PERIOD"                means each period ascertained
                                                  in accordance with Clause 5.3
                                                  or Clause 5.12 other than a
                                                  Pre-Redelivery Interest
                                                  Period;

                 "INTEREST RATE"                  means the rate(s) of interest
                                                  applicable to the Loan
                                                  calculated in accordance with
                                                  Clause 5.10, Clause 5.12 or
                                                  Clause 6.3;

                 "LIBOR"                          means with respect to any
                                                  Pre-Redelivery Interest Period
                                                  or Interest Period and with
                                                  respect to the Dollar Loan the
                                                  rate of interest (expressed as
                                                  an annual rate) determined by
                                                  the Agent to be:

                                                  (i)      the offered rate for
                                                           deposits in Dollars
                                                           for a period
                                                           equivalent to such
                                                           Pre-Redelivery

                                       17
<PAGE>

                                                           Interest Period or
                                                           Interest Period which
                                                           appears on the
                                                           Reuters Page LIBO at
                                                           or about 11.00 a.m.
                                                           London time on the
                                                           Quotation Date; or

                                                  (ii)     if no rate is
                                                           provided for the
                                                           respective Interest
                                                           Period on the Reuters
                                                           Page LIBO, the
                                                           interpolated rate per
                                                           annum for deposits in
                                                           Dollars in an amount
                                                           approximately equal
                                                           to the Dollar Loan as
                                                           calculated by the
                                                           Agent, such
                                                           interpolated rate to
                                                           be based on the
                                                           Reuters Page LIBO
                                                           PROVIDED THAT LIBOR
                                                           for periods of less
                                                           than one (1) week
                                                           will be ascertained
                                                           under sub-section
                                                           (iii) below;

                                                  or (if Reuters Page LIBO is
                                                  discontinued or if the Agent
                                                  is unable to make the said
                                                  determination due to technical
                                                  breakdown in the relevant
                                                  system or the Pre-Redelivery
                                                  Interest Period or Interest
                                                  Period is less than one (1)
                                                  week)

                                                  (iii)    the arithmetic mean
                                                           (rounded upwards, if
                                                           necessary, to the
                                                           nearest one-sixteenth
                                                           of one per cent
                                                           (1/16%)) of the rates
                                                           per annum notified to
                                                           the Agent by each of
                                                           the Reference Banks
                                                           as the rate at which
                                                           deposits in Dollars
                                                           in an amount
                                                           approximately equal
                                                           to the Dollar Loan
                                                           are offered to such
                                                           Reference Bank by
                                                           leading banks in the
                                                           London Interbank
                                                           market at such
                                                           Reference Bank's
                                                           request at or about
                                                           11.00 a.m. London
                                                           time on the Quotation
                                                           Date for a period
                                                           equal to the
                                                           Pre-Redelivery
                                                           Interest Period or

                                       18
<PAGE>

                                                           Interest Period and
                                                           for delivery on the
                                                           first Business Day
                                                           thereof;

                 "LOAN"                           means the aggregate principal
                                                  amount of the Dollar Loan and
                                                  the Euro Loan or (as the
                                                  context may require) the
                                                  amount thereof for the time
                                                  being drawn down and
                                                  outstanding hereunder;

                 "MANAGEMENT AGREEMENT"           means the agreement to be
                                                  entered into between the
                                                  Borrower and the Manager
                                                  providing for the ship
                                                  management and crewing
                                                  services of the Vessel, such
                                                  agreement to be in the form
                                                  and on the terms and
                                                  conditions required by the
                                                  Agent and agreed on the date
                                                  of the First Supplemental
                                                  Agreement and as specified in
                                                  paragraph 50 of Schedule 4;

                 "MANAGEMENT AGREEMENT
                 ASSIGNMENT"                      means the valid and effective
                                                  first legal assignment of the
                                                  Management Agreement (together
                                                  with the notice thereof and
                                                  the acknowledgement), to be
                                                  executed by the Borrower in
                                                  favour of the Trustee and the
                                                  Commercial Loan Trustee, such
                                                  assignment, notice and
                                                  acknowledgement to be in the
                                                  form and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Commercial Loan Agent and
                                                  agreed on the date of the
                                                  First Supplemental Agreement
                                                  and as specified in paragraph
                                                  52 of Schedule 4;

                 "MANAGER"                        means NCL America Inc. of
                                                  Corporation Trust Center, 1209
                                                  Orange Street, Wilmington,
                                                  Delaware 19801, United States

                                       19
<PAGE>

                                                  of America, the company
                                                  providing technical ship
                                                  management and crewing
                                                  services for the Vessel
                                                  pursuant to the Management
                                                  Agreement;

                 "MARGIN"                         means the rate of nought point
                                                  seven five per cent (0.75%)
                                                  per annum;

                 "MEMBER"                         means NCL America Holdings,
                                                  Inc. of Corporation Trust
                                                  Center, 1209 Orange Street,
                                                  Wilmington, Delaware 19801,
                                                  United States of America, the
                                                  sole member of the Borrower;

                 "MEMBERSHIP INTEREST"            means the sole membership
                                                  interest in the Borrower
                                                  beneficially owned by the
                                                  Member;

                 "MONTH"                          means 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;

                 "MORTGAGE"                       means any of the First
                                                  Pre-Redelivery Mortgage, the
                                                  Second Pre-Redelivery Mortgage
                                                  or the Post Redelivery
                                                  Mortgage;

                                       20
<PAGE>

                 "NCLC FLEET"                     means the vessels owned by the
                                                  companies in the NCLC Group;

                 "NCLC GROUP"                     means the Guarantor and its
                                                  Subsidiaries;

                 "NCL INTERNATIONAL"              means NCL International, Ltd.
                                                  of Reid Hall, 3 Reid Street,
                                                  Hamilton HM 11, Bermuda;

                 "NCLL"                           means Norwegian Cruise Line
                                                  Limited of Reid Hall, 3 Reid
                                                  Street, Hamilton HM 11,
                                                  Bermuda;

                 "NOTICE OF FIXED RATE"           means a notice in the form of
                                                  Schedule 7;

                 "OBLIGORS"                       means the Borrower, the
                                                  Guarantor, the Manager, the
                                                  Sub-Agent, the Supervisor, the
                                                  Member and any other party
                                                  from time to time to any of
                                                  the Security Documents
                                                  excluding the Builder, Hermes,
                                                  the Arrangers, the Trustee,
                                                  the Agent, the Hermes Agent,
                                                  the Lenders, the Commercial
                                                  Loan Trustee, the Commercial
                                                  Loan Agent and the Commercial
                                                  Loan Lenders;

                 "OFFICE"                         means in respect of the Agent,
                                                  the Hermes Agent, the Trustee
                                                  and each Lender its office at
                                                  the address set out beneath
                                                  its name in Schedule 2 or such
                                                  other office as it shall from
                                                  time to time select and notify
                                                  through the Agent to the
                                                  Borrower;

                 "OPERATING ACCOUNT"              means the account opened or to
                                                  be opened by the Borrower with
                                                  such bank or banks as may be
                                                  approved by the Agent, the
                                                  Hermes Agent and the
                                                  Commercial Loan Agent from
                                                  time to time for receipt of
                                                  the Earnings;

                                       21
<PAGE>

                 "ORIGINAL LOAN AGREEMENT"        means this Agreement as
                                                  executed on 4 April 2003
                                                  (prior to, inter alia, its
                                                  amendment and restatement
                                                  pursuant to the First
                                                  Supplemental Agreement);

                 "OUTSTANDING INDEBTEDNESS"       means all sums of any kind
                                                  payable actually or
                                                  contingently to the Trustee,
                                                  the Agent, the Hermes Agent or
                                                  the Lenders under or pursuant
                                                  to this Agreement or any
                                                  Transaction Document (whether
                                                  by way of repayment of
                                                  principal payment of interest
                                                  or default interest payment of
                                                  any indemnity or counter
                                                  indemnity reimbursement for
                                                  fees, costs or expenses or
                                                  otherwise howsoever);

                 "PERFORMANCE GUARANTEES"         means the Pre-Redelivery
                                                  Guarantee and the Post
                                                  Redelivery Guarantee;

                 "PERMITTED LIENS"                means (i) any Encumbrance
                                                  created by or pursuant to the
                                                  Security Documents (ii) liens
                                                  on the Vessel up to an
                                                  aggregate amount at any time
                                                  not exceeding five million
                                                  Dollars (USD5,000,000) for
                                                  current crew's wages and
                                                  salvage and liens incurred in
                                                  the ordinary course of trading
                                                  the Vessel (iii) the
                                                  Commercial Loan Security
                                                  Documents and (iv) any other
                                                  Encumbrance notified by any of
                                                  the Obligors to the Agent
                                                  prior to 4 April 2003;

                 "PORTION"                        means any of Portion 1,
                                                  Portion 2 or Portion 3;

                 "PORTION 1"                      means the aggregate principal
                                                  amount of the Tranches or (as
                                                  the context may require) the
                                                  amount thereof for the time
                                                  being drawn down and

                                       22
<PAGE>

                                                  outstanding hereunder in
                                                  whatever currency or
                                                  currencies it is for the time
                                                  being denominated;

                 "PORTION 2"                      means the Equivalent Amount of
                                                  up to eighty per cent (80%) of
                                                  the Hermes Premium, subject to
                                                  Clause 2.5, or (as the context
                                                  may require) the amount
                                                  thereof for the time being
                                                  drawn down and outstanding
                                                  hereunder in whatever currency
                                                  or currencies it is for the
                                                  time being denominated;

                 "PORTION 3"                      means up to eighty per cent
                                                  (80%) of the Pre-Redelivery
                                                  Interest or (as the context
                                                  may require) the amount
                                                  thereof for the time being
                                                  drawn down and outstanding
                                                  hereunder in whatever currency
                                                  or currencies it is for the
                                                  time being denominated;

                 "POSSIBLE EVENT OF DEFAULT"      means any event which, with
                                                  the giving of notice, passage
                                                  of time or occurrence of any
                                                  other event, would constitute
                                                  an Event of Default;

                 "POST REDELIVERY MORTGAGE"       means the first preferred ship
                                                  mortgage to be granted by the
                                                  Borrower over the Vessel and
                                                  registered at the United
                                                  States Coast Guard National
                                                  Vessel Documentation Center in
                                                  favour of the Trustee and the
                                                  Commercial Loan Trustee as
                                                  security pursuant hereto and
                                                  to the Commercial Loan
                                                  Agreement, such mortgage to be
                                                  in the form and on the terms
                                                  and conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Commercial Loan Agent and
                                                  agreed on the signing of the
                                                  First Supplemental Agreement
                                                  and as specified in paragraph
                                                  46 of Schedule 4;

                                       23
<PAGE>
                 "POST REDELIVERY                 means the irrevocable
                 PERFORMANCE GUARANTEE"           guarantee of the obligations
                                                  of the Builder pursuant to
                                                  clause 10 of the Building
                                                  Contract to be issued by the
                                                  Post Redelivery Performance
                                                  Guarantor in favour of the
                                                  Borrower in the maximum amount
                                                  of eight million Euro
                                                  ((EURO)8,000,000);

                 "POST REDELIVERY                 means JWA Marine GmbH of
                 PERFORMANCE GUARANTOR"           Bremen, Federal Republic of
                                                  Germany;

                 "PRE-REDELIVERY                  means the last day of each
                 INTEREST PAYMENT DATE"           Pre-Redelivery Interest
                                                  Period;

                 "PRE-REDELIVERY                  means each period ascertained
                 INTEREST PERIOD"                 in accordance with Clause 5.3
                                                  or Clause 5.12 other than an
                                                  Interest Period;

                 "PRE-REDELIVERY INTEREST"        means the aggregate of the
                                                  interest payable on the Loan
                                                  on each Pre-Redelivery
                                                  Interest Payment Date;

                 "PRE-REDELIVERY PERFORMANCE      means the irrevocable
                 GUARANTEE"                       guarantee of the obligations
                                                  of the Builder pursuant to the
                                                  Building Contract prior to the
                                                  Redelivery Date issued by the
                                                  Pre-Redelivery Performance
                                                  Guarantor in favour of the
                                                  Borrower in the maximum amount
                                                  of twenty five million Euro
                                                  ((EURO)25,000,000) on 16
                                                  December 2002 as amended by a
                                                  first addendum thereto dated 7
                                                  April 2003;

                 "PRE-REDELIVERY                  means Securitas Bremer
                 PERFORMANCE GUARANTOR"           Allgemeine Versicherungs-AG of
                                                  Bremen, Federal Republic of
                                                  Germany;

                 "PROCESS AGENT"                  means Clifford Chance
                                                  Secretaries Limited whose
                                                  registered office is presently

                                       24
<PAGE>

                                                  at 10 Upper Bank Street,
                                                  London E14 5JJ or any other
                                                  person in England nominated by
                                                  the Borrower, any other
                                                  Obligor or the Builder and
                                                  approved by the Agent as agent
                                                  to accept service of legal
                                                  proceedings on their behalf
                                                  under any of this Agreement
                                                  and the other Security
                                                  Documents;

                 "QUOTATION DATE"                 means, in relation to any
                                                  Pre-Redelivery Interest Period
                                                  or Interest Period, the day on
                                                  which quotations would
                                                  ordinarily be given in the
                                                  relevant interbank
                                                  eurocurrency market for Dollar
                                                  or Euro (as the case may be)
                                                  deposits for delivery on the
                                                  first day of that
                                                  Pre-Redelivery Interest Period
                                                  or Interest Period PROVIDED
                                                  THAT if such quotation date is
                                                  not a Business Day the
                                                  quotation date shall be the
                                                  preceding Business Day;

                 "REDELIVERY DATE"                means the date on which the
                                                  Vessel is redelivered to and
                                                  accepted by the Borrower
                                                  pursuant to the Building
                                                  Contract;

                 "REFERENCE BANKS"                means Commerzbank
                                                  Aktiengesellschaft and HSBC
                                                  Bank plc;

                 "REFUND GUARANTEE"               means the irrevocable
                                                  guarantee of the obligations
                                                  of the Builder pursuant to the
                                                  Building Contract issued by
                                                  the Refund Guarantors in
                                                  favour of the Borrower in the
                                                  maximum amount of [***]
                                                  [Confidential Treatment] on 31
                                                  March 2003;

                 "REFUND GUARANTORS"              means KfW (formerly known as
                                                  Kreditanstalt fur
                                                  Wiederaufbau) of Frankfurt am
                                                  Main, Federal Republic of
                                                  Germany and Commerzbank

                                       25
<PAGE>

                                                  Aktiengesellschaft, Bremen
                                                  Branch of the Federal Republic
                                                  of Germany;

                 "REPAYMENT DATES"                means the last day of each of
                                                  the twenty four (24)
                                                  consecutive periods of six (6)
                                                  months the first such period
                                                  commencing on the Termination
                                                  Date and the twenty fourth
                                                  such period terminating twelve
                                                  (12) years thereafter;

                 "RESTATEMENT DATE"               has the same meaning as set
                                                  out in the First Supplemental
                                                  Agreement;

                 "REUTERS PAGE LIBO"              means the display currently
                                                  designated as Reuters Page
                                                  LIBO, which includes London
                                                  Interbank Offered Rates of
                                                  four (4) major banks, which
                                                  are members of the
                                                  International Swaps and
                                                  Derivatives Association, Inc.
                                                  or such other service as may
                                                  be nominated by the British
                                                  Bankers' Association as the
                                                  information vendor for
                                                  displaying the London
                                                  Interbank Offered Rates of
                                                  major banks in the London
                                                  Interbank market;

                 "SAFETY MANAGEMENT               means a document issued to the
                 CERTIFICATE"                     Vessel as evidence that the
                                                  Vessel's operator and its
                                                  shipboard management operate
                                                  in accordance with an approved
                                                  Safety Management System;

                 "SAFETY MANAGEMENT SYSTEM"       means a structured and
                                                  documented system enabling the
                                                  personnel of the Vessel's
                                                  operator to implement
                                                  effectively the safety and
                                                  environmental protection
                                                  policy of that Vessel
                                                  operator;

                 "SAME DAY FUNDS"                 means Dollar funds settled
                                                  through the New York Clearing
                                                  House Interbank Payments
                                                  System or Euro funds settled
                                                  through TARGET or such other

                                       26
<PAGE>

                                         funds for payment in Dollars
                                         or Euro (as the case may be)
                                         as the Agent shall specify by
                                         notice to the Borrower as
                                         being customary at the time
                                         for the settlement of
                                         international transactions in
                                         New York or Frankfurt am Main
                                         (as the case may be) of the
                                         type contemplated by this
                                         Agreement;

           "SECOND PRE-                  means the second priority
           REDELIVERY MORTGAGE"          abstract acknowledgement of
                                         debt and mortgage ("ABSTRAKTES
                                         SCHULDVERSPRECHEN UND
                                         SCHIFFSHYPOTHEKENBESTELLUNGSURKUNDE")
                                         and part submission
                                         ("UNTERWERFUNG UNTER DIE
                                         SOFORTIGE
                                         ZWANGSVOLLSTRECKUNG") to be
                                         granted by the Borrower over
                                         the Vessel in favour of the
                                         Trustee as security pursuant
                                         hereto during the Completion
                                         Period, such abstract,
                                         mortgage and submission being
                                         in the form and on the terms
                                         and conditions required by the
                                         Agent and the Hermes Agent and
                                         agreed on the date of the
                                         First Supplemental Agreement;

           "SECURITY DOCUMENTS"          means this Agreement, the
                                         Guarantee, the Hermes Cover,
                                         the Building Contract, Refund
                                         Guarantee and Performance
                                         Guarantees Assignment, the
                                         Construction Risks Insurance
                                         Assignment, the Supervision
                                         Agreement Assignment, the
                                         Management Agreement
                                         Assignment, the Sub-Agency
                                         Agreement Assignment, the

                                       27
<PAGE>

                                                  Mortgages, the Charge Option,
                                                  the Charge, the Earnings
                                                  Assignment, the Insurance
                                                  Assignment, the Account Charge
                                                  and all such other documents
                                                  as may be executed at any time
                                                  in favour of (among others)
                                                  the Trustee, the Hermes Agent
                                                  and/or any of the Lenders as
                                                  security for the obligations
                                                  of the Borrower, the other
                                                  Obligors and the Builder
                                                  whether executed pursuant to
                                                  the express provisions of this
                                                  Agreement or otherwise
                                                  howsoever;

                 "SECURITY PERIOD"                means the period beginning on
                                                  the First Drawdown Date and
                                                  ending on the date on which
                                                  the amounts outstanding under
                                                  this Agreement and under each
                                                  of the other Security
                                                  Documents are finally paid or
                                                  repaid in full;

                 "STAR"                           means Star Cruises Limited of
                                                  Canon's Court, 22 Victoria
                                                  Street, Hamilton HM 12,
                                                  Bermuda;

                 "SUB-AGENCY AGREEMENT"           means the agreement to be
                                                  entered into between the
                                                  Manager and the Sub-Agent
                                                  providing for the commercial,
                                                  marketing, sales and financial
                                                  services in respect of the
                                                  Vessel, such agreement to be
                                                  in the form and on the terms
                                                  and conditions required by the
                                                  Agent and agreed on the date
                                                  of the First Supplemental
                                                  Agreement and as specified in
                                                  paragraph 51 of Schedule 4;

                 "SUB-AGENCY AGREEMENT            means the valid and effective
                 ASSIGNMENT"                      first legal assignment of the
                                                  Sub-Agency Agreement (together
                                                  with the notice thereof and
                                                  the acknowledgement), to be
                                                  executed by the Manager in
                                                  favour of the Trustee and the
                                                  Commercial Loan Trustee, such
                                                  assignment, notice and
                                                  acknowledgement to be in the
                                                  form and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Commercial Loan Agent and

                                       28
<PAGE>

                                                  agreed on the date of the
                                                  First Supplemental Agreement
                                                  and as specified in paragraph
                                                  53 of Schedule 4;

                 "SUB-AGENT"                      means NCL (Bahamas) Ltd. of
                                                  Reid Hall, 3 Reid Street,
                                                  Hamilton HM 11, Bermuda, the
                                                  company providing commercial,
                                                  marketing, sales and financial
                                                  services in respect of the
                                                  Vessel pursuant to the
                                                  Sub-Agency Agreement;

                 "SUBSIDIARY"                     has the meaning defined in the
                                                  Companies Act 1985, Section
                                                  736 as substituted by the
                                                  Companies Act 1989, Section
                                                  144;

                 "SUBSTITUTE BASIS"               means an alternative basis for
                                                  maintaining the Loan certified
                                                  by the Agent pursuant to
                                                  Clause 6.3.1;

                 "SUPERVISION AGREEMENT"          means the agreement dated as
                                                  of 5 February 2003 entered
                                                  into between the Borrower and
                                                  the Supervisor providing for
                                                  the completion supervision of
                                                  the Vessel, such agreement
                                                  being in the form and on the
                                                  terms and conditions required
                                                  by the Agent and agreed on the
                                                  signing of the Original Loan
                                                  Agreement and as specified in
                                                  paragraph 11 of Schedule 4;

                 "SUPERVISION AGREEMENT           means the valid and effective
                 ASSIGNMENT"                      first legal assignment of the
                                                  Supervision Agreement
                                                  (together with the notice
                                                  thereof and the
                                                  acknowledgement), executed by
                                                  the Borrower in favour of the
                                                  Trustee on 22 April 2003, such
                                                  assignment, notice and
                                                  acknowledgement being in the
                                                  form and on the terms and

                                       29
<PAGE>

                                                  conditions required by the
                                                  Agent and the Hermes Agent and
                                                  agreed on the signing of the
                                                  Original Loan Agreement and as
                                                  specified in paragraph 34 of
                                                  Schedule 4;

                 "SUPERVISOR"                     means Star Cruise Management
                                                  Limited of International
                                                  House, Castle Hill, Victoria
                                                  Road, Douglas, Isle of Man IM2
                                                  4RB, British Isles, the
                                                  company providing construction
                                                  supervision for the Vessel
                                                  pursuant to the Supervision
                                                  Agreement;

                 "SUSPENSION NOTICE"              means a notice given by the
                                                  Agent to the Borrower pursuant
                                                  to Clause 6.1;

                 "TARGET"                         means trans-European automated
                                                  real-time gross settlement
                                                  express transfer system;

                 "TAXES"                          means all present and future
                                                  income and other taxes,
                                                  levies, imposts, deductions,
                                                  compulsory liens and
                                                  withholdings whatsoever
                                                  together with interest thereon
                                                  and penalties with respect
                                                  thereto, if any, and any
                                                  payments made on or in respect
                                                  thereof and "TAXATION" shall
                                                  be construed accordingly;

                 "TERMINATION DATE"               means the earlier of the
                                                  Redelivery Date and 29 October
                                                  2004 (or such later date as is
                                                  agreed between the Borrower,
                                                  the Lenders and Hermes);

                 "TOTAL LOSS"                     means any actual or
                                                  constructive or arranged or
                                                  agreed or compromised total
                                                  loss or Compulsory Acquisition
                                                  of the Vessel;

                 "TRANCHE"                        means Tranche 1, Tranche 2,
                                                  Tranche 3, Tranche 4, Tranche
                                                  5, Tranche 6 and/or Tranche 7
                                                  of Portion 1;

                                       30
<PAGE>

                 "TRANCHE 1"                      means the Equivalent Amount of
                                                  [***] [Confidential Treatment]
                                                  being the amount of [***]
                                                  [Confidential Treatment] of
                                                  the Contract Price to be
                                                  applied in payment of [***]
                                                  [Confidential Treatment] of
                                                  the third pre-redelivery
                                                  instalment due by the Borrower
                                                  to the Builder under the
                                                  Building Contract to be
                                                  advanced by the Lenders on a
                                                  Drawdown Date by way of their
                                                  Contributions thereto;

                 "TRANCHE 2"                      means the Equivalent Amount of
                                                  [***] [Confidential Treatment]
                                                  being the amount of [***]
                                                  [Confidential Treatment] of
                                                  the Contract Price to be
                                                  applied in payment of the
                                                  fourth pre-redelivery
                                                  instalment due by the Borrower
                                                  to the Builder under the
                                                  Building Contract to be
                                                  advanced by the Lenders on a
                                                  Drawdown Date by way of their
                                                  Contributions thereto;

                 "TRANCHE 3"                      means the amount of [***]
                                                  [Confidential Treatment] or
                                                  the Equivalent Amount thereof
                                                  being the amount of [***]
                                                  [Confidential Treatment] of
                                                  the Contract Price to be
                                                  applied in payment of the
                                                  fifth pre-redelivery
                                                  instalment due by the Borrower
                                                  to the Builder under the
                                                  Building Contract to be
                                                  advanced by the Lenders on a
                                                  Drawdown Date by way of their
                                                  Contributions thereto;

                 "TRANCHE 4"                      means the amount of [***]
                                                  [Confidential Treatment] or
                                                  the Equivalent Amount thereof
                                                  being [***] [Confidential
                                                  Treatment]

                                       31
<PAGE>
                                                  of the Contract Price to be
                                                  applied in payment of the
                                                  sixth pre-redelivery
                                                  instalment due by the Borrower
                                                  to the Builder under the
                                                  Building Contract to be
                                                  advanced by the Lenders on a
                                                  Drawdown Date by way of their
                                                  Contributions thereto;

                 "TRANCHE 5"                      means the amount of [***]
                                                  [Confidential Treatment] or
                                                  the Equivalent Amount thereof
                                                  being [***] [Confidential
                                                  Treatment] of the Contract
                                                  Price to be applied in payment
                                                  of the seventh pre-redelivery
                                                  instalment due by the Borrower
                                                  to the Builder under the
                                                  Building Contract to be
                                                  advanced by the Lenders on a
                                                  Drawdown Date by way of their
                                                  Contributions thereto;

                 "TRANCHE 6"                      means the amount of [***]
                                                  [Confidential Treatment] or
                                                  the Equivalent Amount thereof
                                                  being [***] [Confidential
                                                  Treatment] of the Contract
                                                  Price to be applied in payment
                                                  of the eighth pre-redelivery
                                                  instalment due by the Borrower
                                                  to the Builder under the
                                                  Building Contract to be
                                                  advanced by the Lenders on a
                                                  Drawdown Date by way of their
                                                  Contributions thereto;

                 "TRANCHE 7"                      means the amount of up to
                                                  [***] [Confidential Treatment]
                                                  or the Equivalent Amount
                                                  thereof being [***]
                                                  [Confidential Treatment] of
                                                  the Contract Price to be
                                                  applied in payment of the
                                                  redelivery instalment due by
                                                  the Borrower to the Builder
                                                  under the Building Contract to
                                                  be advanced by the Lenders on
                                                  the Redelivery Date by way of
                                                  their Contributions thereto
                                                  PROVIDED THAT the Euro amount

                                       32
<PAGE>
                                                  of this Tranche and the Euro
                                                  amounts of the other Tranches
                                                  shall not when aggregated
                                                  exceed [***] [Confidential
                                                  Treatment] of the Contract
                                                  Price;

                 "TRANSACTION DOCUMENTS"          means the Security Documents,
                                                  the Commercial Loan Security
                                                  Documents, the Commercial Loan
                                                  Agreement, the Building
                                                  Contract, the Drawdown
                                                  Notices, the Supervision
                                                  Agreement, the Management
                                                  Agreement, the Sub-Agency
                                                  Agreement, the Refund
                                                  Guarantee, the Performance
                                                  Guarantees, the Co-ordination
                                                  Deed, the Agency and Trust
                                                  Deed and any other material
                                                  document now or hereafter
                                                  issued in connection with the
                                                  documents or the transaction
                                                  herein referred to and also
                                                  including any Interest
                                                  Exchange Arrangement;

                 "TRANSFER CERTIFICATE"           means the certificate attached
                                                  hereto as Schedule 6;

                 "TRANSFER DATE"                  means, in relation to any
                                                  Transfer Certificate, the date
                                                  specified in such Transfer
                                                  Certificate as the date for
                                                  the making of the transfer or,
                                                  where such transfer is
                                                  specified as being subject to
                                                  the fulfilment of certain
                                                  conditions, the date on which
                                                  the Agent receives a
                                                  certificate from the Lender
                                                  making the transfer confirming
                                                  that all such conditions have
                                                  been fulfilled;

                 "TRANSFEREE"                     means any reputable bank
                                                  acceptable to the Agent and
                                                  the Borrower which becomes a
                                                  party to this Agreement as a
                                                  Lender pursuant to Clause 17;
                                                  and

                 "VESSEL"                         means the vessel identified
                                                  with no 7671 and working title
                                                  "Project America" at the yard
                                                  of the Builder registered in

                                       33
<PAGE>

                                                  the name of the Borrower in
                                                  the Shipbuilding Register in
                                                  Bremerhaven, Federal Republic
                                                  of Germany and upon completion
                                                  as a one thousand and seventy
                                                  five (1,075) cabin luxury
                                                  cruise vessel to be
                                                  redelivered to the Borrower
                                                  pursuant to the Building
                                                  Contract and re-registered in
                                                  the name of the Borrower under
                                                  the laws and flag of the
                                                  United States of America.

        1.2     CONSTRUCTION

                  In this Agreement unless the context otherwise requires:

                  1.2.1    clause headings are inserted for convenience of
                           reference only and shall be ignored in the
                           construction of this Agreement;

                  1.2.2    references to Clauses and to Schedules are to be
                           construed as references to clauses of and schedules
                           to this Agreement unless otherwise stated and
                           references to this Agreement are to be construed as
                           references to this Agreement including its Schedules;

                  1.2.3    references to (or to any specified provision of) this
                           Agreement or any other document other than the
                           Commercial Loan Agreement or the Commercial Loan
                           Security Documents shall be construed as references
                           to this Agreement, that provision or that document as
                           from time to time amended, supplemented and/or
                           novated;

                  1.2.4    references to any Act or any statutory instrument
                           shall be construed as references to that Act or that
                           statutory instrument as from time to time re-enacted,
                           amended or supplemented;

                  1.2.5    references to any party to this Agreement or any
                           other document shall include reference to such
                           party's successors and permitted assigns;

                  1.2.6    references to the Builder shall be disregarded when
                           it has performed in full all its obligations under
                           the Building Contract and the Security Documents to
                           which it is a party;

                                       34
<PAGE>

                  1.2.7    words importing the plural shall include the singular
                           and vice versa;

                  1.2.8    references to a person shall be construed as
                           references to an individual, firm, company,
                           corporation, unincorporated body of persons or any
                           state or any agency thereof;

                  1.2.9    where any matter requires the approval or consent of
                           the Agent or the Trustee such approval or consent
                           shall not be deemed to have been given unless given
                           in writing; where any matter is required to be
                           acceptable to the Agent or the Trustee, the Agent or
                           the Trustee (as the case may be) shall not be deemed
                           to have accepted such matter unless its acceptance is
                           communicated in writing; the Agent or the Trustee may
                           give or withhold its consent, approval or acceptance
                           at its unfettered discretion;

                  1.2.10   a certificate by the Agent as to any amount due or
                           calculation made hereunder shall be conclusive except
                           for manifest error.

         1.3      AGENT, HERMES AGENT AND TRUSTEE

                  The Agent and the Hermes Agent will be appointed by the
                  Lenders as agents and the Trustee will be appointed by the
                  Lenders as trustee under the Agency and Trust Deed and
                  references herein to the Agent, the Hermes Agent or the
                  Trustee shall be construed as references to itself, the Agent
                  or the Hermes Agent (if applicable) and the Lenders. The
                  Borrower shall only communicate with the Lenders under this
                  Agreement and the other Security Documents through the Agent,
                  the Hermes Agent or the Trustee (as the case may be) and as
                  hereinafter referred to.

2        THE FACILITY

         2.1      AVAILABILITY

                  2.1.1    The Lenders grant to the Borrower the Facility by way
                           of the Portions. Any part of the Facility which
                           remains undrawn at close of business in London on the
                           Termination Date shall be capable of cancellation by
                           the Lenders with the consent of Hermes.

                                       35
<PAGE>

                  2.1.2    Each Lender shall advance its Contribution to the
                           Portions in the proportion which its Contribution for
                           the time being bears to the other Contributions of
                           the Lenders.

                  2.1.3    Neither the Agent nor any other Lender shall be
                           liable for any failure or delay on the part of any
                           Lender in making any advance hereunder nor shall the
                           Agent or the Arrangers have any obligation to seek to
                           procure additional Lenders in the event of such a
                           failure PROVIDED THAT if any Lender should fail to
                           advance its Contribution hereunder, that Lender and
                           the Agent will take all reasonable steps to mitigate
                           the effect of that failure. Notwithstanding the
                           aforesaid proviso, neither the Agent nor any Lender
                           shall be obliged to increase its Contribution
                           hereunder in respect of the failure by any other
                           Lender(s) to fund its Contribution.

         2.2      PURPOSE AND APPLICATION

                  The purpose of the Facility is set out below.

                  2.2.1    Portion 1 shall finance up to eighty per cent (80%)
                           of the Contract Price. The Borrower shall apply
                           Tranche 1 in part payment of the third pre-redelivery
                           instalment due to the Builder under the Building
                           Contract, Tranche 2 in payment of the fourth
                           pre-redelivery instalment due to the Builder under
                           the Building Contract, Tranche 3 in payment of the
                           fifth pre-redelivery instalment due to the Builder
                           under the Building Contract, Tranche 4 in payment of
                           the sixth pre-redelivery instalment due to the
                           Builder under the Building Contract, Tranche 5 in
                           payment of the seventh pre-redelivery instalment due
                           to the Builder under the Building Contract, Tranche 6
                           in payment of the eighth pre-redelivery instalment
                           due to the Builder under the Building Contract and
                           Tranche 7 in payment of the redelivery instalment due
                           to the Builder under the Building Contract;

                  2.2.2    Portion 2 shall reimburse the Borrower for up to
                           eighty per cent (80%) of the Hermes Premium; and

                  2.2.3    Portion 3 shall finance up to eighty per cent (80%)
                           of the total amount of the Pre-Redelivery Interest
                           payable hereunder and shall be drawn down in the

                                       36
<PAGE>

                           currency or currencies in which the Loan is for the
                           time being denominated and the proportion of the
                           interest payable in any currency shall correspond to
                           the proportion of the Loan denominated in that
                           currency.

         2.3      DRAWDOWN

                  The Borrower shall only make drawings under any Portion of the
                  Facility if:

                  2.3.1    in the case of Portion 1 and Portion 2, the Agent
                           receives at least five (5) Business Days' notice of
                           the Borrower's request for such drawing in the form
                           of Schedule 3;

                  2.3.2    no Event of Default or Possible Event of Default has
                           occurred before the date of such drawing;

                  2.3.3    no written notice has been received indicating that
                           the Hermes Cover does not validly exist without
                           restriction;

                  2.3.4    the representations and warranties set out in Clause
                           9 and each of the other Security Documents are
                           correct on the date of such drawing;

                  2.3.5    it is then lawful for each of the Lenders to make
                           available its Contribution to the Facility; and

                  2.3.6    the Agent has been notified by the Commercial Loan
                           Agent that all conditions precedent to drawdown of
                           the Commercial Loan have been satisfied save for
                           those which are to be satisfied pursuant to this
                           Clause 2.3 and Clause 2.7,

                  PROVIDED THAT Tranche 1 and Portion 2 shall not be capable of
                  drawing until twenty per cent (20%) of the Contract Price has
                  been paid by the Borrower to the Builder and Portion 2 shall
                  not be capable of drawing until the Hermes Premium or the
                  relevant part thereof has been paid by the Borrower to Hermes
                  through the Hermes Agent and PROVIDED FURTHER THAT the
                  aggregate of (a) the Euro amount of each amount of Portion 2
                  drawn down hereunder in Euro (b) the equivalent amount in Euro
                  determined at the rate of exchange for Euro against Dollars as
                  determined at HSBC Bank plc's spot rate at about 10.00 a.m.
                  two (2) Business Days prior to the Termination Date of each
                  amount of Portion 2 drawn down hereunder in Dollars (c) the
                  Euro amount of the aggregate of each amount of Portion 3 drawn
                  down hereunder in Euro and (d) the equivalent amount in Euro
                  determined at the rate of exchange for Euro against Dollars as
                  determined at HSBC Bank plc's spot rate at about 10.00 a.m.

                                       37
<PAGE>

                  two (2) Business Days prior to the Termination Date of the
                  aggregate of each amount of Portion 3 drawn down hereunder in
                  Dollars, shall not exceed in total nineteen million six
                  hundred thousand Euro ((EURO)19,600,000).

         2.4      PAYMENT OF PORTIONS

                  All amounts of Portion 1 drawn down hereunder shall be paid to
                  the Builder.

                  All amounts of Portion 2 drawn down hereunder shall be paid to
                  the Borrower in reimbursement of eighty per cent (80%) of the
                  similar amount paid by the Borrower to the Hermes Agent for
                  on-payment to Hermes, subject to the further proviso to Clause
                  2.3.

                  Subject to the further proviso to Clause 2.3, the Borrower
                  hereby consents to the drawdown on each Pre-Redelivery
                  Interest Payment Date of such amount of Portion 3 as is
                  required to pay eighty per cent (80%) of the Pre-Redelivery
                  Interest payable on that Pre-Redelivery Interest Payment Date
                  and to the application of such amount in payment of such
                  interest.

         2.5      CURRENCY OPTION

                  2.5.1    The Borrower may by notice in writing served on the
                           Agent not less than five (5) Business Days prior to a
                           Drawdown Date that occurs after the Restatement Date
                           request that a Portion or any part thereof be
                           advanced in Euro or in Dollars.

                  2.5.2    If the Borrower fails to make a request in accordance
                           with Clause 2.5.1 or if deposits in Euro in the
                           relevant amount and for the relevant duration are not
                           available to any of the Lenders in the relevant
                           interbank eurocurrency market in the ordinary course
                           of business to fund its Contribution then with effect
                           from the relevant Drawdown Date the Portion or any
                           part thereof shall be advanced in Dollars.

                  2.5.3    The Borrower may by notice in writing served on the
                           Agent not less than five (5) Business Days prior to a
                           Currency Conversion Date request that the Euro Loan

                                       38
<PAGE>

                           shall be converted to Dollars on the next Currency
                           Conversion Date for the duration of the Security
                           Period.

                  2.5.4    On a Currency Conversion Date the Euro Loan at that
                           date shall be repaid by the Borrower in Euro.
                           However, the Lenders shall on that day readvance that
                           part of the Euro Loan (due allowance being made for
                           any amounts repaid or prepaid since the first day of
                           the preceding Pre-Redelivery Interest Period or
                           Interest Period) on terms that:

                           (a)      the proceeds of that readvance shall
                                    forthwith be applied by the Lenders in or
                                    towards effecting the said repayment on
                                    behalf of the Borrower so that:

                                    (i)     the obligation of the Borrower to
                                            make that repayment shall be a
                                            notional obligation only except to
                                            the extent that the proceeds of that
                                            readvance are insufficient to make
                                            that repayment in full; and

                                    (ii)    the obligation of the Lenders to
                                            make that readvance shall be a
                                            notional obligation only except to
                                            the extent that the proceeds of that
                                            readvance exceed the amount of that
                                            repayment; and

                           (b)      the Lenders shall forthwith readvance the
                                    Equivalent Amount of the Euro Loan at that
                                    date.

                  2.5.5    All losses, damages, expenses, profits or currency
                           risks arising from the exercise of the currency
                           option contained in this Clause 2.5 shall be for the
                           account of the Borrower.

                  2.5.6    The conversion of the Euro Loan into Dollars or the
                           operation of this Clause 2.5 shall not constitute or
                           be construed as a prepayment pursuant to the
                           provisions of Clause 4.

                  2.5.7    Notwithstanding the drawdown of any part of the Loan
                           in Euro or its subsequent conversion into Dollars it
                           is expressly acknowledged and agreed by the parties
                           hereto that the Security Documents shall remain in
                           full force and effect and that they shall stand as

                                       39
<PAGE>

                           security for the Loan in whatever currency or
                           currencies it is for the time being denominated.

         2.6      BREAK COSTS ON FAILURE TO DRAW

                  If for any reason any part of a Portion is not drawn down by
                  the Borrower hereunder after notice of drawdown has been given
                  to the Agent pursuant to Clause 2.3 in the case of Portion 1
                  and Portion 2 or after the relevant Quotation Date in the case
                  of Portion 3, the Borrower will pay to the Agent for the
                  account of the Lenders such amount as the Agent may certify as
                  necessary to compensate the Lenders (other than any Lender
                  whose default has caused the part of the Portion not to be
                  drawn down) for any loss (including the cost of breaking
                  deposits or re-employing funds (including warehousing and
                  other related costs)) or any losses under any Interest
                  Exchange Arrangement and/or any swap agreements or other
                  interest rate management products entered into by the Lenders
                  for the purpose of this transaction or expense (including
                  warehousing and other related costs) on account of funds
                  borrowed, contracted for (whether in Euro or in Dollars) or
                  utilised in order to fund its Contribution to the part of the
                  Portion. Each Lender shall supply to the Agent a certificate
                  of break costs which in the absence of manifest error shall be
                  conclusive as to the amounts due.

         2.7      CONDITIONS OF DRAWDOWN

                  The Agent shall not be under any obligation to advance a part
                  of a Portion hereunder until all the documents and evidence
                  referred to in the relevant part of Schedule 4 are in the
                  possession of the Agent in form and substance satisfactory to
                  it, the Arrangers, the Lenders and the Hermes Agent.

         2.8      SEVERAL OBLIGATIONS OF THE LENDERS

                  The obligations and rights of each Lender hereunder are
                  several and if for any reason the Borrower receives in respect
                  of a part of a Portion an amount greater than the aggregate of
                  the Contributions to that part of a Portion, the Borrower
                  forthwith upon the demand of the Agent shall pay to the Agent
                  (for the account of those Lenders whose Contributions were
                  exceeded) the amount certified by the Agent as representing

                                       40
<PAGE>

                  the excess of the amount paid to the Borrower over the due and
                  proper amount of the Contributions of the Lenders actually
                  received by the Agent.

         2.9      LENDER'S FAILURE TO PERFORM

                  Subject to Clause 2.1.3, the failure by a Lender to perform
                  its obligations hereunder shall not affect the obligations of
                  the Borrower towards any other party hereto nor shall any such
                  other party be liable for the failure by such Lender to
                  perform its obligations hereunder.

         2.10     FULFILMENT OF CONDITIONS AFTER DRAWDOWN

                  If the Lenders, acting unanimously, decide (or the Agent in
                  accordance with the Agency and Trust Deed decides) to advance
                  a part of a Portion to the Borrower hereunder without having
                  received all of the documents or evidence referred to in the
                  relevant part of Schedule 4, the Borrower will nevertheless
                  deliver the remaining documents or evidence to the Agent
                  within fourteen (14) days of such drawing (or such other
                  period as the Agent may stipulate) and the advance of the
                  Facility shall not be construed as a waiver of the Agent's
                  right to receive the documents or evidence as aforesaid nor
                  shall this provision impose on the Agent or the Lenders any
                  obligation to permit the drawing in the absence of such
                  documents or evidence.

3        REPAYMENT

         3.1      Unless otherwise repaid in accordance with the provisions of
                  this Agreement, the Borrower hereby agrees to repay the Loan
                  by twenty four (24) equal half yearly Instalments of principal
                  in the currency or currencies in which the Loan is for the
                  time being denominated and the proportion of each Instalment
                  payable in any currency shall correspond to the proportion of
                  the Loan denominated in that currency. The first such
                  Instalment shall be paid six (6) months from the Termination
                  Date and the remainder at six (6) monthly intervals.

4        PREPAYMENT

         4.1      VOLUNTARY PREPAYMENT

                  On giving at least thirty (30) days' prior notice to the
                  Agent, the Borrower may on the last day of a Pre-Redelivery
                  Interest Period or an Interest Period prepay (without premium

                                       41
<PAGE>

                  or penalty, subject to Clause 4.8) the whole or any relevant
                  part of the Loan (but if in part in an amount of five million
                  Dollars (USD5,000,000) or the equivalent amount in Euro (as
                  the case may be) or an integral multiple thereof). In the case
                  of a prepayment of part of the Loan, the proportion of that
                  part payable in Dollars or Euro (as the case may be) shall
                  correspond to the proportion of the Loan denominated in that
                  currency at the prepayment date.

         4.2      VOLUNTARY PREPAYMENT IN CASE OF INCREASED COST

                  At any time after any sum payable by the Borrower has been
                  increased under Clause 8 or a Lender has made any claim for
                  indemnification under Clause 8, the Borrower may, after giving
                  to the Agent five (5) Business Days' notice of its intention
                  to do so, prepay the whole (but not part only) of the
                  Contribution of that Lender, subject to Clause 4.8, in
                  whatever currency or currencies it is for the time being
                  denominated.

         4.3      MANDATORY PREPAYMENT IN CASE OF ILLEGALITY

                  4.3.1    If any change in, or in the interpretation or
                           application of, any law, regulation or treaty shall
                           make it unlawful in any jurisdiction applicable to
                           any of the Lenders for that Lender to make available
                           or maintain its Contribution or to give effect to its
                           obligations as contemplated hereby, the Agent may, by
                           notice thereof to the Borrower, declare that the
                           relevant Lender's obligations shall be terminated
                           forthwith whereupon (if any of the Facility has then
                           been advanced) the Borrower shall prepay forthwith to
                           the relevant Lender its Contribution in whatever
                           currency or currencies it is for the time being
                           denominated together with interest thereon to the
                           date of such prepayment and all other amounts due to
                           such Lender under Clause 4.8 and under the Security
                           Documents (or, if permitted by the relevant law,
                           regulation or treaty, at the end of the then current
                           Pre-Redelivery Interest Period or Interest Period).

                  4.3.2    A Lender affected by any provision of Clause 4.3.1
                           shall promptly inform the Agent after becoming aware
                           of the relevant change and the Agent shall, as soon
                           as reasonably practicable thereafter, notify the
                           Borrower of the change and its possible results.
                           Without affecting the Borrower's obligations under
                           Clause 4.3.1 and in consultation with the Agent, the
                           affected Lender will then take all such reasonable
                           steps as may be open to it to mitigate the effect of
                           the change (for example (and if then possible) by

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<PAGE>

                           changing its Office or transferring some or all of
                           its rights and obligations under this Agreement to
                           another financial institution reasonably acceptable
                           to the Borrower and the Agent). The reasonable costs
                           of mitigating the effect of any such change shall be
                           borne by the Borrower save where such costs are of an
                           internal administrative nature and are not incurred
                           in dealings by any Lender with third parties.

         4.4      VOLUNTARY PREPAYMENT FOLLOWING IMPOSITION OF SUBSTITUTE BASIS

                  The Borrower may notify the Agent within ten (10) days of the
                  receipt of a certificate from the Agent of a Substitute Basis
                  under Clause 6.3 whether or not it wishes to prepay the Loan,
                  in which event the Borrower shall forthwith prepay the Loan in
                  whatever currency or currencies it is for the time being
                  denominated together with interest accrued thereon at the rate
                  specified in the relevant certificate of Substitute Basis and
                  any break costs in accordance with Clause 4.8.

         4.5      PREPAYMENT IN CASE OF TOTAL LOSS OF THE VESSEL

                  If the Vessel is or becomes a Total Loss, then the Borrower
                  will, within thirty (30) days thereof or, if the Agent is
                  satisfied in its sole discretion that the Total Loss is
                  adequately covered by the Insurances and that the relevant
                  insurance proceeds will be payable to the Agent within one
                  hundred and fifty (150) days thereof, by no later than the
                  date which is one hundred and fifty (150) days after the date
                  of the event giving rise to such Total Loss prepay the Loan in
                  accordance with Clause 4.7, Clause 4.8 and Clause 12.1.

                  For the purposes of this Clause a Total Loss shall be deemed
                  to have occurred:

                  4.5.1    if it consists of an actual loss, at noon Greenwich
                           Mean Time on the actual date of loss or, if that is
                           not known, on the date on which the Vessel was last
                           heard of;

                  4.5.2    if it consists of a Compulsory Acquisition, at noon
                           Greenwich Mean Time on the date on which the
                           requisition is expressed to take effect by the person
                           requisitioning the Vessel; and

                                       43
<PAGE>

                  4.5.3    if it consists of a constructive or compromised or
                           arranged or agreed total loss or damage to the Vessel
                           rendering repair impracticable or uneconomical or
                           rendering the Vessel permanently unfit for normal
                           use, at noon Greenwich Mean Time on the date on which
                           notice claiming the loss of the Vessel is given to
                           its insurers.

         4.6      PREPAYMENT IN CASE OF SALE OF THE VESSEL

                  If the Vessel is sold by the Borrower with the prior consent
                  of the Agent (which consent is not to be unreasonably withheld
                  or delayed PROVIDED THAT if an Event of Default has occurred
                  and the Borrower desires to sell the Vessel by private treaty
                  at arm's length the approval of the Agent may be delayed by up
                  to twenty one (21) days from the date on which the Borrower's
                  request for approval is received by the Agent), then the
                  Borrower will concurrent with completion of the sale prepay
                  the Loan in accordance with Clause 4.7 and Clause 12.1.
                  Subject to Clause 4.8 hereof, prepayment of the Loan
                  consequent upon the permitted sale of the Vessel shall absolve
                  the Borrower from any liability to pay prepayment fees or
                  costs.

         4.7      EFFECT OF PREPAYMENT

                  Any notice given by the Borrower under Clause 4.1, Clause 4.2
                  or Clause 4.4 shall be irrevocable and shall oblige the
                  Borrower to pay to the Agent on account of the Lenders the
                  amount or amounts therein stated on the date therein stated.
                  No amount prepaid under this Agreement may be redrawn. Each
                  prepayment under this Agreement shall be applied in
                  satisfaction of the Borrower's remaining obligations under
                  Clause 3 in inverse chronological order. Prepayments under
                  this Agreement shall be made together with accrued interest
                  thereon and the payment of all other sums then owing under any
                  of the Security Documents.

         4.8      BREAK COSTS ON PREPAYMENT

                  If any repayment or prepayment of the Loan or part thereof is
                  made otherwise than on the last day of a Pre-Redelivery
                  Interest Period or an Interest Period or, following
                  Conversion, any repayment or prepayment of the Loan or part
                  thereof is made otherwise than on the last day of the Fixed
                  Rate Period, the Borrower shall pay to the Agent on behalf of
                  the Lenders on demand such additional amount as the Agent may
                  certify (such certificate to contain a calculation thereof in
                  reasonable detail) as necessary to compensate each of the

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<PAGE>

                  Lenders for any loss (including the cost of breaking deposits
                  or re-employing funds (including warehousing and other related
                  costs)) or any losses under any Interest Exchange Arrangement
                  and/or any swap agreements or other interest rate management
                  products entered into by the Lenders for the purpose of this
                  transaction or expense (including warehousing and other
                  related costs) on account of funds borrowed, contracted for or
                  utilised to fund the amount so repaid or prepaid provided that
                  each Lender shall pay to the Borrower any swap breakage gain
                  actually received by the Lender under any Interest Exchange
                  Arrangement to which it is a party and/or any swap agreements
                  or other interest rate management products entered into by the
                  Lender for the purpose of this transaction.

5        INTEREST

         5.1      PAYMENT OF INTEREST PRIOR TO THE TERMINATION DATE

                  From the first Drawdown Date in respect of a Portion until the
                  Termination Date, the Borrower shall pay interest on that
                  Portion in Dollars and/or Euro (as the case may be) at the
                  Floating Interest Rate applicable for each Pre-Redelivery
                  Interest Period in respect thereof which interest shall be
                  payable in arrears on each Pre-Redelivery Interest Payment
                  Date from the application of the amount of Portion 3 drawn
                  down on that Pre-Redelivery Interest Payment Date (if any) and
                  by the Borrower.

                  For the avoidance of doubt, Portion 3 or any part thereof may
                  only be drawn down hereunder and applied in payment of
                  interest accrued up to the Termination Date.

         5.2      PAYMENT OF INTEREST FROM THE TERMINATION DATE

                  From the Termination Date, the Borrower shall pay interest on
                  the Loan at the Applicable Interest Rate for each Interest
                  Period in respect thereof which interest shall be payable in
                  arrears on each Interest Payment Date PROVIDED THAT if the
                  current Interest Period does not end on the relevant Interest
                  Payment Date the Borrower shall only pay the interest accrued
                  during that Interest Period up to but not including the
                  Interest Payment Date.

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<PAGE>

         5.3      SELECTION AND DURATION OF PRE-REDELIVERY INTEREST PERIODS AND
                  INTEREST PERIODS

                  5.3.1    Subject to the other provisions of this Clause 5, the
                           Borrower may give notice to the Agent to be received
                           by the Agent not later than 9.00 a.m. London time
                           five (5) Business Days prior to the commencement of
                           each Pre-Redelivery Interest Period in respect of a
                           Portion or part thereof or Interest Period in respect
                           of the Loan, specifying whether that interest period
                           is to be of three (3) or six (6) months' duration.
                           Pre-Redelivery Interest Periods shall commence, in
                           the case of the first in respect of the first part of
                           Portion 1 and Portion 2 to be drawn down, on the
                           First Drawdown Date, in the case of the first in
                           respect of the first part of Portion 3 to be drawn
                           down on the first Pre-Redelivery Interest Payment
                           Date and, in the case of Pre-Redelivery Interest
                           Periods other than the first in respect of any
                           Portion or part thereof, on the expiry of the
                           preceding Pre-Redelivery Interest Period. Interest
                           Periods in respect of the Loan shall commence, in the
                           case of the first, on the Termination Date and, in
                           the case of Interest Periods other than the first, on
                           the expiry of the preceding Interest Period.

                           However, the Agent shall have the right to adjust the
                           length of any Pre-Redelivery Interest Period for a
                           part of a Portion (other than the first part to be
                           drawn down) such that it ends on the same date as any
                           existing Pre-Redelivery Interest Period in respect of
                           that Portion and the first Pre-Redelivery Interest
                           Period in respect of a Portion such that it ends on
                           the same date as the current Pre-Redelivery Interest
                           Period of the other Portions.

                           The final Pre-Redelivery Interest Period in respect
                           of a Portion, the Portions or any part thereof (as
                           the case may be) shall end on the Termination Date
                           and the final Interest Period shall end on the final
                           Repayment Date.

                  5.3.2    Subject to the consent of Hermes and of each of the
                           Lenders which consents have not, at the date hereof,
                           been obtained, and provided that any such consents
                           obtained remain in full force and effect on the date
                           of the Election Notice (as hereinafter defined), the

                                       46
<PAGE>

                           Borrower may, if no Event of Default has occurred and
                           is continuing and no Total Loss has occurred, at any
                           time prior to the Termination Date, elect to convert
                           the basis upon which interest is calculated hereunder
                           by giving notice (an "ELECTION NOTICE") to the Agent
                           not less than fifteen (15) Business Days (or such
                           shorter time as the parties may agree) before the
                           date on which the Interest Exchange Arrangements are
                           to be entered into (the "ELECTION DATE") to request
                           that with effect from the Termination Date (the
                           "CONVERSION DATE") the rate of interest applicable to
                           the Loan then outstanding shall be the Fixed Rate.

                  5.3.3    The Borrower shall forthwith provide a copy of the
                           Election Notice to the Guarantor, who shall upon
                           receipt provide a written confirmation to both the
                           Borrower and the Agent that the Guarantee remains in
                           full force and effect, PROVIDED ALWAYS that no
                           Interest Exchange Arrangement will be entered into by
                           a Lender unless a confirmation satisfactory to the
                           Agent, the Lenders and Hermes is received from the
                           Guarantor.

                  5.3.4    Any such request under Clause 5.3.2 shall be
                           irrevocable, provided that any informal request made
                           by the Borrower to the Agent for an indication of the
                           rates which might be available should the Borrower
                           deliver an Election Notice shall not be construed as
                           the giving of an Election Notice by the Borrower
                           pursuant to Clause 5.3.2. The parties hereto agree
                           that not more than two (2) informal requests may be
                           made.

                  5.3.5    On receipt of an Election Notice from the Borrower
                           pursuant to Clause 5.3.2, the Agent shall promptly
                           notify the Lenders of such election and of the
                           applicable Election Date and Conversion Date.

         5.4      CONVERSION

                  Conversion shall only occur if:

                  5.4.1    the Euro Loan has been repaid and readvanced in
                           accordance with Clause 2.5.4;

                  5.4.2    the Agent has received an Election Notice;

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<PAGE>

                  5.4.3    the Agent has received the confirmation from the
                           Guarantor referred to in Clause 5.3.3;

                  5.4.4    the Agent has received evidence of the Interest
                           Exchange Arrangements executed by the parties
                           thereto; and

                  5.4.5    the Fixed Rate for the Loan has been determined.

                  In the absence of satisfaction of any of the above or any
                  other relevant provision of Clause 5.3, interest on the Loan
                  shall continue to be calculated at the Floating Interest Rate.

         5.5      FIXED RATE

                  The Lenders, the Agent and the Borrower agree that as soon as
                  the Fixed Rate shall have been determined, the Agent shall
                  inform the Borrower by issuing to the Borrower a Notice of
                  Fixed Rate. Upon such issuance the Borrower's obligation will
                  be to pay interest on the Loan at the Fixed Rate from the
                  Conversion Date and, until such date, at the Floating Interest
                  Rate.

         5.6      BREAK COSTS IN RELATION TO CONVERSION

                  If an Election Notice has been given to the Facility Agent
                  pursuant to Clause 5.3.2 and Conversion does not occur on the
                  Conversion Date as a result of the relevant provisions of
                  Clause 5.3, Clause 5.4 and/or Clause 5.5 not being satisfied
                  or waived, other than as a result of gross negligence or
                  wilful misconduct of the Agent or any of the Lenders, the
                  Borrower shall pay to the Agent for the account of the Lenders
                  interest accrued to but excluding the Conversion Date together
                  with such amount as the Agent may certify (such certificate to
                  contain a calculation thereof in reasonable detail) as
                  necessary to compensate each of the Lenders for any loss
                  (including the cost of breaking deposits or re-employing funds
                  (including warehousing and other related costs)) or any losses
                  under any Interest Exchange Arrangement and/or any swap
                  agreements or other interest rate management products entered
                  into by the Lenders for the purpose of this transaction as a
                  consequence of Conversion not being made on the Conversion
                  Date.

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<PAGE>

                  If it is necessary for the Lenders to break deposits or
                  re-employ funds taken or borrowed to make or maintain such
                  Lender's Contribution to the Portions in whatever currency or
                  currencies they are for the time being denominated in order
                  for Conversion to take place on the Conversion Date, the
                  Borrower shall pay to the Agent for the account of the Lenders
                  interest accrued to but excluding the Conversion Date together
                  with such amount as the Agent may certify to be necessary to
                  compensate a Lender for any losses incurred as a consequence
                  of the Pre-Redelivery Interest Period(s) in respect of the
                  Portions being prematurely terminated in order to allow
                  Conversion to occur on the Conversion Date including, without
                  limitation, any loss (including the cost of breaking deposits
                  (including warehousing and other related costs)) or expense
                  (including warehousing and other related costs) on account of
                  funds borrowed, contracted for or utilised to fund such
                  Lender's Contribution to the Loan in whatever currency or
                  currencies it is for the time being denominated.

         5.7      NO NOTICE AND UNAVAILABILITY

                  If the Borrower fails to select a Pre-Redelivery Interest
                  Period or an Interest Period in accordance with Clause 5.3 or
                  the Agent certifies that deposits for the period selected by
                  the Borrower are not available to each of the Lenders in the
                  ordinary course of business in the relevant interbank
                  eurocurrency market to fund the relevant Portion or the Loan
                  (as the case may be), the Borrower shall be deemed to have
                  selected a Pre-Redelivery Interest Period or an Interest
                  Period of six (6) months (or such other period as the Agent
                  may in its discretion decide).

         5.8      SEPARATE INTEREST PERIODS FOR INSTALMENTS

                  If an Interest Period would otherwise extend beyond any
                  Repayment Date, the Loan shall be divided into two (2) or more
                  portions. One (1) or more portions will be of an amount equal
                  to the amount of the Loan required to be repaid on each
                  relevant Repayment Date and will have an Interest Period of
                  such length as will expire on that date and the Interest
                  Period relating to the remainder of the Loan will be
                  determined in accordance with Clauses 5.3 and 5.7.

                                       49
<PAGE>

         5.9      EXTENSION AND SHORTENING OF PRE-REDELIVERY INTEREST PERIODS OR
                  INTEREST PERIODS

                  If a Pre-Redelivery Interest Period or an Interest Period
                  would otherwise end on a day which is not a Business Day, the
                  Pre-Redelivery Interest Period or Interest Period shall be
                  extended until the next following Business Day unless the next
                  following Business Day falls in the next calendar month or the
                  Interest Period has been selected pursuant to Clause 5.3.2 in
                  which case the Interest Period will be shortened to expire on
                  the preceding Business Day.

                  If a Pre-Redelivery Interest Period or an Interest Period
                  commences on the last Business Day in a month or if there is
                  no day in the month in which the Pre-Redelivery Interest
                  Period or Interest Period will end which corresponds
                  numerically to the day on which it begins, the Pre-Redelivery
                  Interest Period or Interest Period shall end on the last
                  Business Day in that month.

         5.10     APPLICABLE INTEREST RATE

                  5.10.1   In respect of Pre-Redelivery Interest Periods or
                           Interest Periods pursuant to Clause 5.3.1 and subject
                           to Clause 5.12 and Clause 6, the rate of interest
                           applicable to the Loan (or relevant part in the case
                           of the division of the Loan under Clause 5.8) during
                           a Pre-Redelivery Interest Period or an Interest
                           Period shall be the Floating Interest Rate.

                  5.10.2   In respect of Interest Periods pursuant to Clause
                           5.3.2 and subject to Clause 5.12 and Clause 6, the
                           rate of interest applicable to the Loan (or relevant
                           part in the case of the division of the Loan under
                           Clause 5.8) during an Interest Period shall be the
                           Fixed Rate.

         5.11     BANK BASIS

                  Pre-Redelivery Interest, interest, fees payable pursuant to
                  Clause 13 and any other payments hereunder of an annual nature
                  shall accrue from day to day and be computed on the basis of a
                  year of three hundred and sixty (360) days and for the actual
                  number of days elapsed.

                                       50
<PAGE>

         5.12     DEFAULT INTEREST

                  If the Borrower fails to pay on the due date any sum due under
                  this Agreement or any of the other Security Documents to which
                  it may at any time be a party, the Borrower shall, without
                  affecting any other remedy of the Agent or the Lenders, pay
                  interest on such sum from the due date to the actual date of
                  payment (as well after as before judgment). Such interest
                  shall accrue on a daily basis at the higher of the Applicable
                  Interest Rate fixed for the latest interest period and the
                  rate computed by the Agent and certified by the Agent to the
                  Borrower as being the aggregate of:

                  5.12.1   the Margin plus one per cent (1%); and

                  5.12.2   the greater of (a) in the case of the Lenders, the
                           average (rounded upwards if necessary to the next
                           integral multiple of one-sixteenth of one per cent
                           (1/16%)) of the respective rates per annum at which
                           each of the Lenders is able to acquire in accordance
                           with its normal practice deposits in Dollars or Euro
                           (as the case may be) in successive periods of one (1)
                           month (or for such shorter period as the Agent may in
                           its absolute discretion select) in the relevant
                           interbank eurocurrency market in an amount equivalent
                           to or comparable with its Contribution to such sum,
                           and, in the case of the Agent, the rate per annum at
                           which it is able to acquire in accordance with its
                           normal practice deposits in Dollars or Euro (as the
                           case may be) in successive periods of one (1) month
                           (or for such shorter period as the Agent may in its
                           absolute discretion select) in the relevant interbank
                           eurocurrency market in an amount equivalent to such
                           sum, as at approximately 10.00 a.m. London time in
                           the case of Euro and approximately 11.00 a.m. London
                           time in the case of Dollars on any relevant day and
                           (b) in the case of the Lenders, the average (rounded
                           upwards if necessary to the next integral multiple of

                                       51
<PAGE>

                           one-sixteenth of one per cent (1/16%)) of the cost to
                           each of the Lenders of funding its Contribution to
                           such sum, and, in the case of the Agent, the cost of
                           funding such sum, such interest to be compounded at
                           the end of the period selected by the Agent and to be
                           payable on demand. In the event of LIBOR or EURIBOR
                           (as the case may be) not being available then the
                           Agent shall in its discretion use the Substitute
                           Basis for its calculation as set out in Clause 6.3.

6        SUBSTITUTE BASIS OF FUNDING

         6.1      MARKET DISTURBANCE

                  Notwithstanding anything to the contrary in this Agreement, if
                  prior to the commencement of any Pre-Redelivery Interest
                  Period or any Interest Period pursuant to Clause 5.3.1 the
                  Agent shall determine in good faith (which determination shall
                  be conclusive and binding on the parties hereto) that:

                  6.1.1    by reason of circumstances affecting the relevant
                           interbank eurocurrency market adequate and fair means
                           do not exist for ascertaining the Floating Interest
                           Rate during such Pre-Redelivery Interest Period or
                           Interest Period pursuant to Clause 5; or

                  6.1.2    deposits in Dollars or Euro (as the case may be) of
                           equal duration to such Pre-Redelivery Interest Period
                           or Interest Period will not be available to any of
                           the Lenders in the relevant interbank eurocurrency
                           market in sufficient amounts in the ordinary course
                           of business to fund its Contribution during such
                           Pre-Redelivery Interest Period or Interest Period; or

                  6.1.3    by reason of any material change in applicable law or
                           regulation or of any change in national or
                           international financial or economic conditions any of
                           the Lenders is unable to fund or to continue to fund
                           its Contribution during such Pre-Redelivery Interest
                           Period or Interest Period by deposits obtained in the
                           relevant interbank eurocurrency market,

                  then the Agent shall promptly give a notice (being a
                  Suspension Notice), containing full particulars thereof in
                  reasonable detail to the Borrower.

         6.2      SUSPENSION OF DRAWDOWN

                  If a Suspension Notice is given by the Agent before the
                  advance of any of the Facility in accordance with Clause 2
                  then the Agent shall not be obliged to advance the Facility
                  until notice to the contrary is given by the Agent. During the
                  period of thirty (30) days from the giving of such Suspension
                  Notice, the Agent and any Lender affected by the relevant

                                       52
<PAGE>

                  market disturbance shall consult in good faith with the
                  Borrower with a view to agreeing to an alternative basis for
                  advancing of the Facility or any relevant part thereof. If
                  such alternative basis is agreed between the Borrower, the
                  Agent, the relevant Lender or Lenders and Hermes, it shall
                  apply in accordance with its terms and, if not, the Facility
                  or any relevant part thereof shall be made available to the
                  Borrower in the other of the currencies of Dollars or Euro.

         6.3      CERTIFICATES OF SUBSTITUTE BASIS

                  6.3.1    If the Facility or part thereof has been advanced
                           before a Suspension Notice is given, the Lender or
                           Lenders affected by the relevant market disturbance
                           shall within thirty (30) days following the date of
                           the Suspension Notice, certify (through the Agent) in
                           good faith to the Borrower an alternative basis
                           approved by the Hermes Agent (being the Substitute
                           Basis) for maintaining its Contribution affected by
                           the relevant market disturbance. Such Substitute
                           Basis may be retroactive to the beginning of the then
                           current Pre-Redelivery Interest Period or Interest
                           Period (or Pre-Redelivery Interest Periods or
                           Interest Periods), and may include an alternative
                           currency or an alternative method of fixing the
                           Interest Rate (which shall reflect the cost to the
                           relevant Lender or Lenders of funding its
                           Contribution from other sources plus the Margin) or
                           alternative Pre-Redelivery Interest Periods or
                           Interest Periods for the Loan or any relevant part
                           thereof, PROVIDED ALWAYS THAT so far as practicable
                           any such Substitute Basis shall be computed in a
                           manner and for periods as similar as possible to
                           those provided in Clause 5.

                  6.3.2    Each Substitute Basis so certified shall be binding
                           upon the Borrower, the Agent and the Lenders and
                           shall be treated as part of this Agreement.

         6.4      REVIEW

                  So long as any Substitute Basis is in force, the Agent, in
                  consultation with the Borrower and the Lenders, shall from
                  time to time, but not less often than monthly, review whether
                  or not the circumstances referred to in Clause 6.1 still
                  prevail with a view to returning to the normal provisions of
                  this Agreement.

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7        PAYMENTS

         7.1      PLACE FOR PAYMENT

                  All payments by the Borrower under this Agreement or any of
                  the other Security Documents to which it may at any time be a
                  party shall be made in Same Day Funds and:

                  7.1.1    if in Dollars to HSBC Bank USA, New York (SWIFT Code
                           MRMDUS33) for the account of HSBC Bank plc, London
                           (SWIFT Code MIDLGB22), account no 000-023868 in
                           favour of Project and Export Finance, account no
                           36677449, quoting reference 53M/FC 997 by 10.00 a.m.
                           New York time; and

                  7.1.2    if in Euro to HSBC Bank plc, London (SWIFT Code
                           MIDLGB22), in favour of Project and Export Finance,
                           account no 36677422, quoting reference 53M/FC 997 by
                           10.00 a.m. Frankfurt am Main time.

         7.2      DEDUCTIONS AND GROSSING-UP

                  7.2.1    Each payment to be made by the Borrower to a Lender
                           or the Agent hereunder in Dollars or in Euro shall be
                           made free and clear of and without deduction for or
                           on account of Taxes unless the Borrower is required
                           by law to make such a payment subject to the
                           deduction or withholding of Taxes, in which case 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 such deduction or withholding,
                           the Lender or the Agent 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.

                  7.2.2    Without prejudice to the provisions of Clause 7.2.1,
                           if any Lender 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 Office by the
                           jurisdiction in which it is incorporated or in which
                           its Office is located or any other tax existing and
                           applicable on the date of this Agreement under the
                           laws of any jurisdiction) on or in relation to any
                           sum received or receivable hereunder by such Lender
                           or the Agent on its behalf (including, without

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                           limitation, any sum received or receivable under this
                           Clause 7) or any liability in respect of any such
                           payment is asserted, imposed, levied or assessed
                           against such Lender or the Agent on its behalf, the
                           Borrower shall, upon demand of the Agent, indemnify
                           such Lender or the Agent against such payment or
                           liability, together with any interest, penalties and
                           expenses payable or incurred in connection therewith,
                           other than interest, penalties, and expenses (a) that
                           accrue during any periods of time beginning on the
                           thirty first (31st) day (or such longer period as any
                           Lender may reasonably require) following the day on
                           which the Lender or the Agent, as applicable, has
                           actual knowledge of the imposition or assertion of
                           such Taxes or other Taxes, or (b) that are otherwise
                           imposed or asserted on account of the bad faith or
                           wilful neglect of such Lender or the Agent. If any
                           Lender proposes to make a claim under the provisions
                           of this Clause 7.2.2 it shall certify to the Borrower
                           in reasonable detail within thirty (30) days (or such
                           longer period as any Lender may reasonably require)
                           after becoming aware of the event by reason of which
                           it is entitled to make its claim or claims the basis
                           of its claim or claims, such certificate to be
                           conclusive, save for manifest error.

                  7.2.3    Without affecting the Borrower's obligations under
                           Clause 7.2.1 and in consultation with the Agent, the
                           affected Lender will then take all such reasonable
                           steps as may be open to it to mitigate the effect of
                           the event (for example (if then possible) by changing
                           its Office or transferring some or all of its rights
                           and obligations under this Agreement to another
                           financial institution reasonably acceptable to the
                           Borrower, Hermes and the Agent). The reasonable costs
                           of mitigating the effect of any such change shall be
                           borne by the Borrower save where such costs are of an
                           internal administrative nature and are not incurred
                           in dealings by any Lender with third parties.

                  7.2.4    Each Lender, on or prior to the date on which such
                           Lender becomes a Lender hereunder, through the Agent
                           (and from time to time thereafter as required by
                           applicable law, but only for so long as such Lender
                           is legally entitled to do so or the Agent is

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<PAGE>

                           instructed to do so), shall deliver to the Borrower
                           two (2) duly completed copies of either (a) Internal
                           Revenue Service Form W-8BEN claiming eligibility of
                           the Lender for benefits of an income tax treaty to
                           which the United States is a party that reduces the
                           rate of withholding on interest to zero or (b)
                           Internal Revenue Service Form W-8ECI, or in either
                           case an applicable successor form.

                  7.2.5    No person to which a Lender assigns part or all of
                           its interest under this Agreement pursuant to Clause
                           17 shall be entitled to receive any greater increase
                           in payment under Clause 7.2.1 than the assigning
                           Lender would have been entitled to receive with
                           respect to the rights assigned unless such assignment
                           shall have been made at a time when the circumstances
                           giving rise to such greater payment did not exist.
                           Each assignee shall, on or prior to the date on which
                           the assignor assigns all or part of its interest to
                           such assignee, comply with the certification
                           requirements of Clause 7.2.3.

         7.3      PRODUCTION OF RECEIPTS FOR TAXES

                  If the Borrower makes any payment hereunder in Dollars or in
                  Euro in respect of which it is required by law to make any
                  deduction or withholding for Taxes, it shall pay the full
                  amount 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 within thirty
                  (30) days after they have made such payment to the applicable
                  authority any original receipt issued by such authority
                  evidencing the payment to such authority of all amounts so
                  required to be deducted or withheld from such payment.

                  If an additional payment is made under Clause 7.2.1 and any
                  Lender or the Agent on its behalf determines that it has
                  received or been granted a credit against or relief of or
                  calculated with reference to the deduction or withholding
                  giving rise to such additional payment, such Lender or the
                  Agent (as the case may be) shall, to the extent that it can do
                  so without prejudice to the retention of the amount of such
                  credit, relief, remission or repayment and provided that it

                                       56
<PAGE>

                  has received the cash benefit of such credit, relief or
                  remission, pay to the Borrower such amount as such Lender or
                  the Agent shall in its reasonable opinion have concluded to be
                  attributable to the relevant deduction or withholding. Any
                  such payment shall be conclusive evidence of the amount due to
                  the Borrower hereunder and shall be accepted by the Borrower
                  in full and final settlement of its rights of reimbursement
                  hereunder in respect of such deduction or withholding. Nothing
                  herein contained shall interfere with the right of any Lender
                  and the Agent to arrange their respective tax affairs in
                  whatever manner they think fit.

         7.4      MONEY OF ACCOUNT

                  If any sum due from the Borrower under this Agreement or any
                  other Security Document to which it may at any time be a
                  party, 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 under such Security
                  Document, order or judgment into another currency (the "SECOND
                  CURRENCY") for the purpose of:

                  7.4.1    making or filing a claim or proof against the
                           Borrower;

                  7.4.2    obtaining an order or judgment in any court or other
                           tribunal; or

                  7.4.3    enforcing any order or judgment given or made in
                           relation thereto;

                  the Borrower shall indemnify and hold harmless the Agent and
                  each of the Lenders from and against any damages or losses
                  suffered as a result of any discrepancy between (a) the rate
                  of exchange used to convert the sum in question from the first
                  currency into the second currency and (b) the rate or rates of
                  exchange at which each Lender and the Agent (as the case may
                  be) 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. The above indemnity shall constitute
                  an obligation of the Borrower separate and independent from
                  its other obligations and shall apply irrespective of any
                  indulgence granted by the Agent or any of the Lenders.

         7.5      ACCOUNTS

                  The Agent shall maintain in accordance with its usual practice
                  accounts evidencing the amounts from time to time lent by and
                  owing to each of the Lenders hereunder or under any of the
                  other Security Documents. In any legal action or proceeding
                  arising out of or in connection with this Agreement or any
                  other Security Document, the entries made in the accounts so

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                  maintained shall be prima facie evidence, save in the case of
                  manifest error, of the existence and amounts of the
                  obligations of the Borrower recorded therein.

         7.6      EARNINGS

                  Provided no Event of Default or Possible Event of Default has
                  occurred (following which the Agent shall (inter alia) be
                  entitled to request the Borrower to give notice pursuant to
                  clause 3 of the Earnings Assignment and apply such Earnings in
                  accordance with Clause 12.1) such Earnings shall throughout
                  the Security Period be at the free disposal of the Borrower
                  but the net earnings of the Vessel shall be paid by the
                  Manager to the Operating Account within five (5) Business Days
                  of the end of each cruise of the Vessel.

         7.7      CONTINUING SECURITY

                  The security created by this Agreement and each of the other
                  Security Documents shall be held by the Trustee and/or the
                  Agent and/or the Lenders and/or the Hermes Agent as a
                  continuing security for the repayment of the Outstanding
                  Indebtedness and the security so created shall not be
                  satisfied by any intermediate payment or satisfaction of any
                  part of the amount hereby or thereby secured or by any
                  amendment of this Agreement or any of the other Security
                  Documents. Such security shall be in addition to and shall not
                  in any way be prejudiced or affected by any collateral or
                  other security now or hereafter held by the Trustee, the
                  Agent, the Lenders, the Hermes Agent or any of them for all or
                  any part of the amount hereby or thereby secured or any other
                  right or remedy of the Trustee, the Agent, the Lenders or the
                  Hermes Agent or any of them under this Agreement or any of the
                  other Security Documents, by operation of law or otherwise
                  howsoever arising. All the powers arising from such security
                  may be exercised from time to time as the Trustee and/or the
                  Agent and/or the Hermes Agent may deem expedient.

8        YIELD PROTECTION AND FORCE MAJEURE

         8.1      INCREASED COSTS

                  If by reason of:

                  8.1.1    any change in law or in its interpretation or
                           administration; and/or

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                  8.1.2    compliance with any request from or requirement of
                           any central bank or other fiscal, monetary or other
                           authority including but without limitation the Basle
                           Committee on Banking Regulations and Supervisory
                           Practices whether or not having the force of law:

                           (a)      any of the Lenders incurs a cost as a result
                                    of its performing its obligations under this
                                    Agreement and/or its advancing its
                                    Contribution hereunder; or

                           (b)      there is any increase in the cost to any of
                                    the Lenders of funding or maintaining all or
                                    any of the advances comprised in a class of
                                    advances formed by or including its
                                    Contribution advanced or to be advanced by
                                    it hereunder; or

                           (c)      any of the Lenders incurs a cost as a result
                                    of its having entered into and/or its
                                    assuming or maintaining its commitment under
                                    this Agreement; or

                           (d)      any of the Lenders becomes liable to make
                                    any payment on account of Tax or otherwise
                                    (other than Tax on its overall net income)
                                    on or calculated by reference to the amount
                                    of its Contribution advanced or to be
                                    advanced hereunder and/or any sum received
                                    or receivable by it hereunder; or

                           (e)      any of the Lenders suffers any decrease in
                                    its rate of return as a result of any
                                    changes in the requirements relating to
                                    capital ratios, monetary control ratios, the
                                    payment of special deposits, liquidity costs
                                    or other similar requirements affecting that
                                    Lender,

                  then the Borrower shall from time to time on demand pay to the
                  Agent for the account of the relevant Lender or Lenders
                  amounts sufficient to indemnify the relevant Lender or Lenders
                  against, as the case may be, such cost, such increased cost
                  (or such proportion of such increased cost as is in the
                  reasonable opinion of the relevant Lender or Lenders
                  attributable to the funding or maintaining of its or their
                  Contribution(s) hereunder) or such liability.

                  A Lender affected by any provision of Clause 8.1 shall
                  promptly inform the Agent after becoming aware of the relevant

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                  change and its possible results (which notice shall be
                  conclusive evidence of the relevant change and its possible
                  results) and the Agent shall, as soon as reasonably
                  practicable thereafter, notify the Borrower of the change and
                  its possible results. Without affecting the Borrower's
                  obligations under Clause 8.1 and in consultation with the
                  Agent, the affected Lender will then take all such reasonable
                  steps as may be open to it to mitigate the effect of the
                  change (for example (if then possible) by changing its Office
                  or transferring some or all of its rights and obligations
                  under this Agreement to another financial institution
                  reasonably acceptable to the Borrower and the Agent). The
                  reasonable costs of mitigating the effect of any such change
                  shall be borne by the Borrower save where such costs are of an
                  internal administrative nature and are not incurred in
                  dealings by any Lender with third parties.

         8.2      FORCE MAJEURE

                  Where the Agent, the Hermes Agent, the Trustee or any Lender
                  (the "NON-PERFORMING PARTY") is prevented from performing any
                  of its obligations under this Agreement by reason of Force
                  Majeure this Agreement shall remain in effect but the
                  Non-Performing Party's relevant obligations shall be suspended
                  for so long as the Force Majeure continues and to the extent
                  that the Non-Performing Party is so prevented, PROVIDED THAT:

                  8.2.1    the suspension of performance is of no greater scope
                           and of no longer duration than is required by the
                           Force Majeure;

                  8.2.2    the obligations of the Non-Performing Party shall not
                           be excused as a result of the Force Majeure; and

                  8.2.3    in respect of the suspension of the Non-Performing
                           Party's obligations:

                           (a)      the Non-Performing Party gives the Agent
                                    prompt written notice which the Agent shall
                                    forthwith upon receipt send to the Borrower
                                    describing the circumstances of Force
                                    Majeure (including the nature of the
                                    occurrence, its expected duration and the
                                    effects of the Force Majeure on the ability
                                    of the Non-Performing Party to perform its
                                    relevant obligations), and continues to
                                    furnish weekly reports with respect thereto
                                    during the period of Force Majeure;

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<PAGE>

                           (b)      the Non-Performing Party uses all reasonable
                                    efforts to remedy its inability to perform
                                    and to mitigate the effects of the Force
                                    Majeure; and

                           (c)      as soon as reasonably possible after the
                                    cessation of the Force Majeure the
                                    Non-Performing Party shall notify the Agent
                                    (who shall notify the Borrower) in writing
                                    of such cessation and shall resume
                                    performance of its obligations under this
                                    Agreement if such resumption is then
                                    possible.

9        REPRESENTATIONS AND WARRANTIES

         9.1      DURATION

                  The representations and warranties in Clause 9.2, Clause 9.3
                  and Clause 9.4 shall survive the execution of this Agreement
                  and shall be deemed to be repeated, with reference mutatis
                  mutandis to the facts and circumstances subsisting, as if made
                  on each day until the Borrower has no remaining obligations,
                  actual or contingent, under or pursuant to this Agreement or
                  any of the other Security Documents.

         9.2      REPRESENTATIONS AND WARRANTIES

                  The Borrower represents and warrants to the Agent and each of
                  the Lenders that:

                  9.2.1    STATUS

                           Each Obligor is a corporation duly organised,
                           constituted and validly existing under the laws of
                           the country of its incorporation, possessing
                           perpetual corporate existence, the capacity to sue
                           and be sued in its own name and the power to own and
                           charge its assets and carry on its business as it is
                           now being conducted.

                  9.2.2    POWERS AND AUTHORITY

                           Each of the Obligors has the power to enter into and
                           perform this Agreement and those of the other
                           Security Documents to which it is a party and the
                           transactions contemplated hereby and thereby and has
                           taken all necessary action to authorise the entry
                           into and performance of this Agreement and such other
                           Security Documents and such transactions.

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<PAGE>

                  9.2.3    LEGAL VALIDITY

                           This Agreement and each other Transaction Document
                           (other than the Hermes Cover) constitutes (or will
                           constitute when executed) legal, valid and binding
                           obligations of each Obligor and the Builder expressed
                           to be a party thereto enforceable in accordance with
                           their respective terms and in entering into this
                           Agreement and borrowing the Loan, the Borrower is
                           acting on its own account.

                  9.2.4    NON-CONFLICT WITH LAWS

                           The entry into and performance of this Agreement and
                           the other Transaction Documents (other than the
                           Hermes Cover) and the transactions contemplated
                           hereby and thereby do not and will not conflict with:

                           (a)      any law or regulation or any official or
                                    judicial order; or

                           (b)      the constitutional documents of any Obligor;
                                    or

                           (c)      any agreement or document to which any
                                    Obligor is a party or which is binding upon
                                    such Obligor or any of its assets,

                           nor result in the creation or imposition of any
                           Encumbrance on an Obligor or its assets pursuant to
                           the provisions of any such agreement or document.

                  9.2.5    NO DEFAULT

                           Save as disclosed in the Disclosure Letter no event
                           has occurred which constitutes a default under or in
                           respect of any Transaction Document to which any
                           Obligor, the Builder or Hermes is a party or by which
                           any Obligor, the Builder or Hermes may be bound
                           (including (inter alia) this Agreement) and no event
                           has occurred which, with the giving of notice, lapse
                           of time, determination of materiality or other
                           condition might constitute a default under or in
                           respect of any such Transaction Document and no event
                           has occurred which constitutes a default under or in
                           respect of any agreement or document to which any
                           Obligor is a party or by which any Obligor may be
                           bound to an extent or in a manner which might have a

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                           material adverse effect on its business, assets or
                           financial condition and no event has occurred which,
                           with the giving of notice, lapse of time,
                           determination of materiality or other condition might
                           constitute a default under or in respect of any such
                           agreement or document.

                  9.2.6    CONSENTS

                           Except for:

                           (a)      the filing of those Security Documents to be
                                    filed with the Secretary of State of
                                    Delaware, the Companies Registries in the
                                    Isle of Man, England and Wales or the
                                    Federal Republic of Germany, which filings
                                    must be completed within twenty one (21)
                                    days of the execution of the relevant
                                    Security Document(s) in the case of England
                                    and Wales; and

                           (b)      the registration of the First Pre-Redelivery
                                    Mortgage and the Second Pre-Redelivery
                                    Mortgage in the Shipbuilding Register in
                                    Bremerhaven and the recording of the Post
                                    Redelivery Mortgage at the United States
                                    Coast Guard Vessel Documentation Center,

                           all authorisations, approvals, consents, licences,
                           exemptions, filings, registrations, notarisations and
                           other matters, official or otherwise, required in
                           connection with the entry into, performance, validity
                           and enforceability of this Agreement and each of the
                           other Transaction Documents to which any Obligor or
                           the Builder is a party and the transactions
                           contemplated thereby have been obtained or effected
                           and are in full force and effect except
                           authorisations, approvals, consents, licences,
                           exemptions, filings and registrations required in the
                           normal day to day course of the operation of the
                           Vessel and not already obtained by the Borrower.

                  9.2.7    ACCURACY OF INFORMATION

                           All information furnished by any Obligor relating to
                           the business and affairs of any Obligor in connection
                           with this Agreement and the other Transaction

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                           Documents was and remains true and correct in all
                           material respects and there are no other material
                           facts or considerations the omission of which would
                           render any such information misleading.

                  9.2.8    FULL DISCLOSURE

                           Each Obligor has fully disclosed in writing to the
                           Agent all facts relating to each Obligor and the
                           Builder which it knows or should reasonably know and
                           which might reasonably be expected to influence the
                           Lenders in deciding whether or not to enter into this
                           Agreement.

                  9.2.9    NO ENCUMBRANCES

                           None of the assets or rights of any Obligor is
                           subject to any Encumbrance except Permitted Liens.

                  9.2.10   PARI PASSU OR PRIORITY STATUS

                           The claims of the Agent and the Lenders against the
                           Borrower under this Agreement will rank at least pari
                           passu with the claims of all unsecured creditors of
                           the Borrower (other than claims of such creditors to
                           the extent that they are statutorily preferred) and
                           in priority to the claims of any creditor of the
                           Borrower who is also an Obligor and the Builder.

                  9.2.11   SOLVENCY

                           The Borrower is and shall remain, after the advance
                           to it of the Facility, solvent in accordance with the
                           laws of the State of Delaware and the United Kingdom
                           and in particular with the provisions of the
                           Insolvency Act 1986 (as from time to time amended)
                           and the requirements thereof.

                  9.2.12   WINDING-UP, ETC.

                           Neither the Borrower nor any other Obligor has taken
                           any corporate action nor have any other steps been
                           taken or legal proceedings been started or (to the
                           best of its knowledge and belief) threatened against
                           any of them for the reorganisation, winding-up,
                           dissolution or for the appointment of a liquidator,

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                           administrator, receiver, administrative receiver,
                           trustee or similar officer of any of them or any or
                           all of their assets or revenues nor has it sought any
                           other relief under any applicable insolvency or
                           bankruptcy law.

                  9.2.13   ACCOUNTS

                           The consolidated audited accounts of the Group for
                           the periods ending on 31 December 2002 and 31
                           December 2003 and the consolidated audited accounts
                           of the NCLC Group for the period ending on 31
                           December 2004 and for all subsequent periods (which
                           accounts will be prepared in accordance with GAAP)
                           fairly represent the financial condition of the Group
                           or the NCLC Group (as the case may be) as shown in
                           such audited accounts (in this Clause 9.2.13 "NCLC
                           GROUP" shall have the meaning ascribed to it in
                           clause 11.4 of the Guarantee).

                  9.2.14   LITIGATION

                           Save as disclosed in writing to the Agent prior to 4
                           April 2003 and by way of the Disclosure Letter no
                           litigation, arbitration or administrative proceedings
                           are current or pending or, to its knowledge,
                           threatened, which might, if adversely determined,
                           have a material adverse effect on the business,
                           assets or financial condition of any Obligor. For the
                           avoidance of doubt, any such disclosure after 4 April
                           2003 shall not be deemed to be a reference to the
                           facts and circumstances then subsisting at any time
                           that this representation is deemed to be repeated
                           pursuant to Clause 9.1.

                  9.2.15   TAX LIABILITIES

                           The NCLC Group has complied with all taxation laws in
                           all jurisdictions in which it is subject to Taxation
                           and has paid all Taxes due and payable by it
                           including but without limitation any disputed Taxes
                           unless a reserve has been made pending resolution of
                           the dispute; no material claims are being asserted
                           against it with respect to Taxes, which might, if
                           such claims were successful, have a material adverse
                           effect on its business, assets or financial
                           condition.

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                  9.2.16   OWNERSHIP OF ASSETS

                           Each member of the Group or the NCLC Group (as the
                           case may be) has good and marketable title to all its
                           assets which are reflected in the audited accounts
                           referred to in Clause 9.2.13.

                  9.2.17   NO IMMUNITY

                           None of the Obligors nor any of their respective
                           assets enjoys any right of immunity (sovereign or
                           otherwise) from set-off, suit or execution in respect
                           of their obligations under this Agreement or any of
                           the other Transaction Documents or by any relevant or
                           applicable law.

                  9.2.18   TAXES ON PAYMENTS

                           As at the date of this Agreement all amounts payable
                           by them hereunder in Dollars or in Euro may be made
                           free and clear of and without deduction for or on
                           account of any Taxation.

                  9.2.19   PLACE OF BUSINESS

                           None of the Obligors has a place of business in any
                           jurisdiction (except as already disclosed) which
                           requires any of the Security Documents to be filed or
                           registered in that jurisdiction to ensure the
                           validity of the Security Documents to which it is a
                           party.

                  9.2.20   OWNERSHIP OF SHARES/MEMBERSHIP INTERESTS

                           All the Membership Interest in the Borrower and all
                           the shares in the Manager shall be legally and
                           beneficially owned by the Member, all the shares in
                           the Sub-Agent shall be legally and beneficially owned
                           by NCL International, all the shares in the Member
                           shall be legally and beneficially owned by Arrasas,
                           all the shares in Arrasas shall be legally and
                           beneficially owned by the Guarantor and all the
                           shares in the Supervisor shall be legally and
                           beneficially owned by Star and such structure shall
                           remain so throughout the remainder of the Security
                           Period. Further, no Event of Default has occurred
                           under clause 11.2 of the Guarantee in respect of the
                           ownership and/or control of the shares in the
                           Guarantor.

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                  9.2.21   COMPLETENESS OF DOCUMENTS

                           The copies of the Building Contract, the Refund
                           Guarantee, the Performance Guarantees, the
                           Supervision Agreement, the Management Agreement, the
                           Sub-Agency Agreement, the Interest Exchange
                           Arrangements, the Commercial Loan Agreement and any
                           other relevant third party agreements delivered to
                           the Agent are true and complete copies of each such
                           document constituting valid and binding obligations
                           of the parties thereto enforceable in accordance with
                           their respective terms and no amendments thereto or
                           variations thereof have been agreed nor has any
                           action been taken by the parties thereto which would
                           in any way render such document inoperative or
                           unenforceable.

                  9.2.22   NO UNDISCLOSED COMMISSIONS

                           Other than the Hermes Premium, there are and will be
                           no commissions, rebates, premiums or other payments
                           by or to or on account of any Obligor or the Builder,
                           their shareholders or members or directors or members
                           of the management committee in connection with the
                           transaction as a whole other than as disclosed to the
                           Agent in writing.

                  9.2.23   MONEY LAUNDERING

                           Any borrowing by the Borrower under this Agreement,
                           and the performance of its obligations under this
                           Agreement and the other Transaction Documents, will
                           be for its own account and will not involve any
                           breach by it of any law or regulatory measure
                           relating to "MONEY LAUNDERING" as defined in Article
                           1 of the Directive (91/308/EEC) of the Council of the
                           European Communities.

                  9.2.24   ENVIRONMENT

                           Each of the Obligors:

                           (a)      is in compliance with all applicable
                                    federal, state, local, foreign and
                                    international laws, regulations, conventions
                                    and agreements relating to pollution
                                    prevention or protection of human health or

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                                    the environment (including, without
                                    limitation, ambient air, surface water,
                                    ground water, navigable waters, water of the
                                    contiguous zone, ocean waters and
                                    international waters), including without
                                    limitation, laws, regulations, conventions
                                    and agreements relating to:

                                    (i)   emissions, discharges, releases or
                                          threatened releases of chemicals,
                                          pollutants, contaminants, wastes,
                                          toxic substances, hazardous materials,
                                          oil, hazard substances, petroleum and
                                          petroleum products and by-products
                                          ("MATERIALS OF ENVIRONMENTAL
                                          CONCERN"); or

                                    (ii)  the manufacture, processing,
                                          distribution, use, treatment, storage,
                                          disposal, transport or handling of
                                          Materials of Environmental Concern
                                          (such laws, regulations, conventions
                                          and agreements the "ENVIRONMENTAL
                                          LAWS");

                           (b)      has all permits, licences, approvals,
                                    rulings, variances, exemptions, clearances,
                                    consents or other authorisations required
                                    under applicable Environmental Laws
                                    ("ENVIRONMENTAL APPROVALS") and are in
                                    compliance with all Environmental Approvals
                                    required to operate its business as
                                    presently conducted or as reasonably
                                    anticipated to be conducted;

                           (c)      has not received any notice, claim, action,
                                    cause of action, investigation or demand by
                                    any other person, alleging potential
                                    liability for, or a requirement to incur,
                                    investigatory costs, clean-up costs,
                                    response and/or remedial costs (whether
                                    incurred by a governmental entity or
                                    otherwise), natural resources damages,
                                    property damages, personal injuries,
                                    attorney's fees and expenses or fines or
                                    penalties, in each case arising out of,
                                    based on or resulting from:

                                    (i)   the presence or release or threat of
                                          release into the environment of any
                                          Material of Environmental Concern at
                                          any location, whether or not owned by
                                          such person; or

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                                    (ii)  circumstances forming the basis of any
                                          violation, or alleged violation, of
                                          any Environmental Law or Environmental
                                          Approval ("ENVIRONMENTAL CLAIM"); and

                           there are no circumstances that may prevent or
                           interfere with such full compliance in the future.

                           There is no Environmental Claim pending or threatened
                           against any of the Obligors.

                           There are no past or present actions, activities,
                           circumstances, conditions, events or incidents,
                           including, without limitation, the release, emission,
                           discharge or disposal of any Material of
                           Environmental Concern, that could form the basis of
                           any Environmental Claim against any of the Obligors.

         9.3      REPRESENTATIONS ON THE FIRST DRAWDOWN DATE

                  The Borrower further represents and warrants to the Agent and
                  each of the Lenders that on the First Drawdown Date the Vessel
                  will be:

                  9.3.1    in its absolute and unencumbered ownership save as
                           contemplated by the Security Documents;

                  9.3.2    registered in its name in the Shipbuilding Register
                           in Bremerhaven;

                  9.3.3    insured in accordance with the provisions of the
                           Building Contract, this Agreement and the First
                           Pre-Redelivery Mortgage and in compliance with the
                           requirements therein in respect of such insurances;
                           and

                  9.3.4    under completion supervision by the Supervisor on and
                           subject to the terms set out in the Supervision
                           Agreement.

         9.4      REPRESENTATIONS ON THE REDELIVERY DATE

                  The Borrower further represents and warrants to the Agent and
                  each of the Lenders that on the Redelivery Date the Vessel
                  will be:

                  9.4.1    in its absolute and unencumbered ownership save as
                           contemplated by the Security Documents and the
                           Commercial Loan Security Documents;

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                  9.4.2    registered in its name under the laws and flag of the
                           United States of America;

                  9.4.3    classed with the highest classification available for
                           a vessel of its type free of all recommendations and
                           qualifications with Det Norske Veritas and American
                           Bureau of Shipping;

                  9.4.4    operationally seaworthy and in compliance with all
                           relevant provisions, regulations and requirements
                           (statutory or otherwise) applicable to ships
                           registered under the laws and flag of the United
                           States of America;

                  9.4.5    insured in accordance with the provisions of Clause
                           10.21 and in compliance with the requirements therein
                           in respect of such insurances; and

                  9.4.6    managed by the Manager and the Sub-Agent on and
                           subject to the terms set out in the Management
                           Agreement and the Sub-Agency Agreement.

10       UNDERTAKINGS

         10.1     DURATION

                  The undertakings in this Clause 10 shall survive the execution
                  of this Agreement and shall be deemed to be repeated with
                  reference mutatis mutandis to the facts and circumstances
                  subsisting, as if made on each day until the Borrower has no
                  remaining obligations, actual or contingent, under or pursuant
                  to this Agreement or any of the other Security Documents.

         10.2     INFORMATION

                  The Borrower will provide to the Agent for the benefit of the
                  Lenders (or will procure the provision of):

                  10.2.1   as soon as practicable (and in any event within one
                           hundred and twenty (120) days after the close of each
                           of its financial years) a Certified Copy of its
                           audited accounts for that year and of the

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                           consolidated Group accounts for that year (commencing
                           with audited accounts made up to 31 December 2002)
                           such Group accounts being substituted with NCLC Group
                           accounts commencing with the audited accounts made up
                           to 31 December 2004;

                  10.2.2   as soon as practicable (and in any event within forty
                           five (45) days of the end of each quarter of each
                           financial year) a Certified Copy of the unaudited
                           consolidated accounts of the NCLC Group and the
                           unaudited accounts of the Borrower for that quarter
                           (commencing with unaudited accounts made up to 31
                           March 2004);

                  10.2.3   promptly, such further information in its possession
                           or control regarding its financial condition and
                           operations and those of any company in the NCLC Group
                           as the Agent may request;

                  10.2.4   details of any material litigation, arbitration or
                           administrative proceedings which affect any Obligor
                           as soon as the same are instituted and served, or, to
                           the knowledge of the Borrower, threatened (and for
                           this purpose proceedings shall be deemed to be
                           material if they involve a claim in an amount
                           exceeding five million Dollars (USD5,000,000) or the
                           equivalent in another currency).

                  All accounts required under this Clause 10.2 shall be prepared
                  in accordance with GAAP and shall fairly represent the
                  financial condition of the relevant company. In this Clause
                  10.2 "NCLC GROUP" shall have the meaning ascribed to it in
                  clause 11.4 of the Guarantee.

         10.3     NOTIFICATION OF DEFAULT

                  The Borrower will notify the Agent of any Event of Default or
                  Possible Event of Default forthwith upon any Obligor becoming
                  aware of the occurrence thereof. Upon the Agent's request from
                  time to time the Borrower will issue a certificate stating
                  whether any Obligor is aware of the occurrence of any Event of
                  Default or Possible Event of Default.

         10.4     CONSENTS AND REGISTRATIONS

                  The Borrower will procure that (and will promptly furnish
                  Certified Copies to the Agent of) all such authorisations,
                  approvals, consents, licences and exemptions as may be

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                  required under any applicable law or regulation to enable it
                  or any Obligor to perform its obligations under, and ensure
                  the validity or enforceability of, each of the Transaction
                  Documents are obtained and promptly renewed from time to time
                  and will procure that the terms of the same are complied with
                  at all times. Insofar as such filings or registrations have
                  not been completed on or before the relevant Drawdown Date the
                  Borrower will procure the filing or registration within
                  applicable time limits of each Security Document which
                  requires filing or registration together with all ancillary
                  documents required to preserve the priority and enforceability
                  of the Security Documents.

         10.5     NEGATIVE PLEDGE

                  The Borrower will not create or permit to subsist any
                  Encumbrance on the whole or any part of its present or future
                  assets, except for the following:

                  10.5.1   Encumbrances created with the prior consent of the
                           Lenders; or

                  10.5.2   Permitted Liens.

         10.6     DISPOSALS

                  Except with the prior consent of all the Lenders and all the
                  Commercial Loan Lenders pursuant to the Co-ordination Deed,
                  the Borrower shall not (and will procure that no other company
                  in the NCLC Group shall), either in a single transaction or in
                  a series of transactions whether related or not and whether
                  voluntarily or involuntarily, sell, transfer, lease or
                  otherwise dispose of all or a substantial part of its assets
                  except that the following disposals shall not be taken into
                  account:

                  10.6.1   disposals made in the ordinary course of trading of
                           the disposing entity (excluding disposal of ships)
                           including without limitation, the payment of cash as
                           consideration for the purchase or acquisition of any
                           asset or service or in the discharge of any
                           obligation incurred for value in the ordinary course
                           of trading;

                  10.6.2   disposals of cash raised or borrowed for the purposes
                           for which such cash was raised or borrowed;

                  10.6.3   disposals of assets in exchange for other assets
                           comparable or superior as to type and value; and

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                  10.6.4   a vessel owned by any member of the NCLC Group (other
                           than the Borrower) may be sold provided such sale is
                           on a willing seller willing buyer basis at or about
                           market rate and at arm's length subject always to the
                           provisions of any loan documentation for the
                           financing of such vessel and NCLL may, following the
                           sale of its shares by Arrasas to IOL, a wholly owned
                           Subsidiary of Star, transfer to other wholly owned
                           Subsidiaries of Star its vessels "NORWEGIAN WIND",
                           "NORWEGIAN DREAM", "NORWEGIAN SEA", "NORWEGIAN
                           MAJESTY", "NORWEGIAN CROWN" and "MARCO POLO" (the
                           "SIX VESSELS") for their transfer values as set out
                           in Schedule 8 and sell m.v. "NORWAY" to a third party
                           and, prior to the sale of its shares as aforesaid,
                           transfer its vessel "NORWEGIAN SKY" to Pride of Aloha
                           Inc., a wholly owned Subsidiary of the Member;

                  10.6.5   the Subsidiaries of Star to whom the Six Vessels (as
                           defined in Clause 10.6.4) have been transferred may
                           let each of the Six Vessels on demise or bareboat
                           charter to the Sub-Agent for the period and at the
                           charterhire rate set out in Schedule 8; and

                  10.6.6   Arrasas may transfer its shares in NCLL to IOL and
                           Star may transfer its shares in Arrasas to the
                           Guarantor.

         10.7     CHANGE OF BUSINESS

                  Except with the prior consent of the Agent, the Borrower shall
                  not make or threaten to make any substantial change in its
                  business as presently conducted, namely that of a single ship
                  owning company for the Vessel, or carry on any other business
                  which is substantial in relation to its business as presently
                  conducted so as to affect, in the opinion of the Agent, the
                  Borrower's ability to perform its obligations hereunder and
                  shall not form any Subsidiaries and the Borrower will procure
                  that the other Obligors continue, throughout the Security
                  Period, to perform their current business activities.

         10.8     MERGERS

                  Except with the prior consent of the Agent and Hermes, the
                  Borrower will not enter into any amalgamation, restructure,
                  substantial reorganisation, merger or consolidation or

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                  anything analogous to the foregoing and will procure that no
                  company in the NCLC Group shall do so. However, the prior
                  consent of the Agent shall not be required in respect of any
                  consolidation, reorganisation or restructure involving wholly
                  owned (whether directly or indirectly) Subsidiaries of the
                  Guarantor only which does not imperil the security created by
                  any of the Security Documents or affect the ability of any
                  Obligor duly to perform any of its obligations under any
                  Security Document to which it may be a party at any time,
                  provided that the Borrower has first consulted with the Agent
                  with regard to the proposed consolidation, reorganisation or
                  restructure and provides evidence satisfactory to the Agent
                  that the Guarantor will be in compliance with the financial
                  undertakings contained in clause 11 of the Guarantee after any
                  such consolidation, reorganisation or restructure. Further, no
                  member of the NCLC Group will acquire any equity, share
                  capital or obligations of any corporation or other entity
                  PROVIDED THAT NCL International or the Member may so acquire
                  equity, share capital or obligations of a corporation or
                  entity whose business is the ownership, operation or
                  management of cruise vessels. For the avoidance of doubt, the
                  acquisition by a member of the NCLC Group of any shares in any
                  company or corporation shall not in itself constitute a merger
                  or consolidation with such company or corporation for the
                  purpose of this Clause 10.8 provided that the Agent is
                  satisfied the Guarantor will be in compliance with the
                  financial undertakings contained in Clause 11 of the Guarantee
                  after any such merger or consolidation.

         10.9     MAINTENANCE OF STATUS AND FRANCHISES

                  The Borrower will do all such things as are necessary to
                  maintain its corporate existence in good standing and will
                  ensure that it has the right and is duly qualified to conduct
                  its business as it is conducted in all applicable
                  jurisdictions and will obtain and maintain all franchises and
                  rights necessary for the conduct of its business.

         10.10    FINANCIAL RECORDS

                  The Borrower will keep proper books of record and account, in
                  which proper and correct entries shall be made of all
                  financial transactions and the assets, liabilities and
                  business of the Borrower in accordance with GAAP.

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         10.11    FINANCIAL INDEBTEDNESS AND SUBORDINATION OF INDEBTEDNESS

                  10.11.1  Otherwise than in the ordinary course of business as
                           owner of the Vessel, except as contemplated by this
                           Agreement and the Commercial Loan Agreement and
                           except any loan, advance or credit extended by the
                           Guarantor or any member of the NCLC Group which is a
                           wholly owned Subsidiary of the Guarantor, the
                           Borrower will not create, incur, assume or allow to
                           exist any financial indebtedness, enter into any
                           finance lease or undertake any material capital
                           commitment (including but not limited to the purchase
                           of any capital asset).

                  10.11.2  The Borrower shall procure that any and all
                           indebtedness (and in particular with any other
                           Obligor) is at all times fully subordinated to the
                           Security Documents and the obligations of the
                           Borrower hereunder subject to the Co-ordination Deed.
                           Upon the occurrence of an Event of Default or a
                           Possible Event of Default, the Borrower shall not
                           make any repayments of principal, payments of
                           interest or of any other costs, fees, expenses or
                           liabilities arising from or representing such
                           indebtedness except as provided in the Co-ordination
                           Deed. In this Clause "FULLY SUBORDINATED" shall mean
                           that any claim of the lender against the Borrower in
                           relation to such indebtedness shall rank after and be
                           in all respects subordinate to all of the rights and
                           claims of the Agent, the Hermes Agent and the Lenders
                           under this Agreement and the other Security Documents
                           and that the lender shall not take any steps to
                           enforce its rights to recover any monies owing to it
                           by the Borrower and in particular but without
                           limitation the lender will not institute any legal or
                           quasi-legal proceedings under any jurisdiction at any
                           time against the Vessel, its Earnings or Insurances
                           or the Borrower and it will not compete with the
                           Agent, the Hermes Agent or the Lenders in a
                           liquidation or other winding-up or bankruptcy of the
                           Borrower or in any proceedings in connection with the
                           Vessel, its Earnings or Insurances.

         10.12    POOLING OF EARNINGS AND CHARTERS

                  The Borrower will not enter into in respect of the Vessel (A)
                  any pooling agreement or other arrangement for the sharing of
                  any of the Earnings or the expenses of the Vessel or (B) any
                  demise or bareboat charter or (C) any charter whereunder two
                  (2) months' charterhire (or the equivalent thereof) is payable

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                  in advance in respect of the Vessel or (D) any charter of the
                  Vessel or contract of affreightment which, with the exercise
                  of options for extension, could be for a period longer than
                  thirteen (13) months but if, with the prior written consent of
                  the Agent, the Borrower enters into in respect of the Vessel a
                  charter with a company outside the Group, the Borrower hereby
                  undertakes to execute in favour of the Trustee an assignment
                  of such charter and the Earnings therefrom such assignment to
                  be in substantially the form of the Earnings Assignment and as
                  required by the Agent PROVIDED HOWEVER THAT the Borrower may
                  in respect of the Vessel enter into a bareboat charter in form
                  approved by the Agent with any company which is a member of
                  the Group PROVIDED THAT if so requested by the Agent and
                  without limitation:

                  10.12.1  any such bareboat charterer shall enter into such
                           deeds (including but not limited to a subordination
                           and assignment deed), agreements and indemnities as
                           the Agent shall in its sole discretion require prior
                           to entering into the bareboat charter with the
                           Borrower; and

                  10.12.2  the Borrower shall assign the benefit of any such
                           bareboat charter and its interest in the Insurances
                           to the Trustee by way of further security for the
                           Borrower's obligations under the Security Documents.

         10.13    LOANS AND GUARANTEES BY THE BORROWER

                  Otherwise than in the ordinary course of business as owner of
                  the Vessel or except as contemplated hereby, the Borrower will
                  not make any loan or advance or extend credit to any person,
                  firm or corporation (except any loans, advances or credits
                  made available to (a) passengers on board the Vessel for
                  gambling purposes (b) ship's agents and/or (c) the Guarantor
                  and/or members of the NCLC Group which are wholly owned
                  Subsidiaries of the Guarantor and, in the case of such loans,
                  advances or credits as are referred to in this paragraph (c),
                  do not prevent the Borrower from performing its obligations
                  hereunder) or issue or enter into any guarantee or indemnity
                  or otherwise become directly or contingently liable for the
                  obligations of any other person, firm or corporation.

         10.14    SUPERVISION AND MANAGEMENT

                  Except with the prior consent of the Agent, the Borrower will

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                  not permit any person other than the Supervisor, the Manager
                  and the Sub-Agent to be the supervisor of completion and the
                  manager and Sub-Agent of the ship and crewing services of the
                  Vessel respectively or permit any amendment to be made to the
                  terms of the Supervision Agreement, the Management Agreement
                  or the Sub-Agency Agreement.

         10.15    ACQUISITION OF SHARES

                  The Borrower will not acquire any equity, share capital,
                  assets or obligations of any corporation or other entity or
                  permit its Membership Interest to be held by any party other
                  than the Member.

         10.16    TRADING WITH THE UNITED STATES OF AMERICA

                  Where the Vessel trades in the territorial waters of the
                  United States of America, the Borrower shall in respect of the
                  Vessel take all reasonable precautions to prevent any
                  infringements of the Anti-Drug Abuse Act of 1986 of the United
                  States of America (as the same may be amended and/or
                  re-enacted from time to time hereafter) or any similar
                  legislation applicable to the Vessel in any other jurisdiction
                  in which the Vessel shall trade (a "RELEVANT JURISDICTION")
                  and, for this purpose the Borrower shall (inter alia) enter
                  into a "Carrier Initiative Agreement" with the United States'
                  Customs Service (if such is possible) and procure that the
                  same (or a similar agreement in a Relevant Jurisdiction) is
                  maintained in full force and effect and its obligations
                  thereunder performed by it in respect of the Vessel throughout
                  any period of United States of America (including coastal
                  waters over which it claims jurisdiction) or Relevant
                  Jurisdiction related trading.

         10.17    FURTHER ASSURANCE

                  The Borrower will, from time to time on being required to do
                  so by the Agent, do or procure the doing of all such acts
                  and/or execute or procure the execution of all such documents
                  in a form satisfactory to the Agent as the Agent may
                  reasonably consider necessary for giving full effect to any of
                  the Transaction Documents or securing to the Trustee, the
                  Agent, the Hermes Agent and the Lenders the full benefit of

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                  the rights, powers and remedies conferred upon the Trustee,
                  the Agent, the Hermes Agent or the Lenders in any such
                  Transaction Document.

         10.18    VALUATION OF THE VESSEL

                  10.18.1  The Borrower will from time to time (but at intervals
                           no more frequently than twice annually at the
                           Borrower's expense) within fifteen (15) days of
                           receiving any request to that effect from the Agent,
                           procure that the Vessel is valued by an independent
                           reputable shipbroker or shipvaluer experienced in
                           valuing cruise ships appointed by the Borrower and
                           approved by the Agent (which approval shall not be
                           unreasonably withheld or delayed and such valuation
                           to be made with or without taking into account the
                           benefit or otherwise of any fixed employment relating
                           to the Vessel as the Agent may require).

                  10.18.2  If the Borrower does not accept the valuation
                           obtained pursuant to Clause 10.18.1 (the "FIRST
                           VALUATION") it may (at its own expense) within five
                           (5) Business Days of receipt of the First Valuation
                           obtain a second valuation (the "SECOND VALUATION")
                           from another independent reputable shipbroker or
                           shipvaluer experienced in valuing cruise ships
                           appointed by the Borrower and approved by the Agent
                           which approval shall not be unreasonably withheld or
                           delayed.

                  10.18.3  If the Second Valuation exceeds the First Valuation
                           by a margin of no less than ten per cent (10%) of the
                           First Valuation the Borrower may at its expense
                           forthwith upon receipt of the Second Valuation
                           request the shipbrokers and/or shipvaluers appointed
                           pursuant to Clauses 10.18.1 and 10.18.2 to obtain a
                           third valuation (the "THIRD VALUATION") from a
                           further independent reputable shipbroker or
                           shipvaluer experienced in valuing cruise ships
                           approved by the Agent such approval not to be
                           unreasonably withheld or delayed. Subject to the
                           Third Valuation being made available within five (5)
                           Business Days of the date of the Second Valuation the
                           valuation of the Vessel will be determined on the
                           basis of the average of the three valuations so
                           obtained. If the Third Valuation is not made
                           available within the aforementioned time limit the
                           Vessel shall be valued on the basis of the average of
                           the First Valuation and the Second Valuation.

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                  10.18.4  The Borrower shall procure that forthwith upon the
                           issuance of any valuation obtained pursuant to this
                           Clause 10.18 a copy thereof is sent directly to the
                           Agent for review.

         10.19    MARGINAL SECURITY

                  If at any time after the Redelivery Date, the value of the
                  Vessel as assessed in accordance with the provisions of Clause
                  10.18 and the value of any additional cash collateral deposits
                  or the value of other security (not including any other
                  security provided by the existing Security Documents)
                  acceptable to the Agent provided by the Borrower or any third
                  party to secure the due performance by the Borrower of its
                  obligations hereunder at valuations reasonably estimated by
                  the Agent from time to time is less than one hundred and
                  twenty five per cent (125%) of the aggregate of the amounts of
                  the Loan and the Commercial Loan, then the Agent may give the
                  Borrower notice requiring the Borrower to provide additional
                  security and in such event within thirty (30) days of such
                  notice, the Borrower will either:

                  10.19.1  provide the Agent with additional security acceptable
                           to the Agent such that the security value of the
                           Vessel or the aggregate of the security value of the
                           Vessel and any additional security provided to the
                           Agent hereunder (at valuations reasonably estimated
                           by the Agent from time to time) is at least one
                           hundred and twenty five per cent (125%) of the
                           aggregate of the amounts of the Loan and the
                           Commercial Loan; or

                  10.19.2  prepay the Loan together with accrued interest on the
                           amount prepaid such that the value of the security is
                           one hundred and twenty five per cent (125%) of the
                           aggregate of the amounts of the Loan and the
                           Commercial Loan.

         10.20    PERFORMANCE OF EMPLOYMENT CONTRACTS

                  The Borrower will:

                  10.20.1  perform its obligations under each charterparty or
                           employment contract made in respect of the Vessel and
                           take all necessary steps to procure the due
                           performance of the obligations of any party under any
                           charterparty or contract. It will not without the

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                           prior written consent of the Agent rescind, cancel or
                           otherwise terminate any charterparty or contract in
                           respect of the Vessel PROVIDED ALWAYS THAT any
                           determination by it of any such charterparty or
                           contract after such consent is given shall be without
                           responsibility on the part of the Agent who shall be
                           under no liability whatsoever in the event that such
                           termination thereafter be adjudged to constitute a
                           repudiation of such charterparty or contract by the
                           Borrower;

                  10.20.2  promptly notify the Agent (a) of any default under
                           any such charterparty or contract of which it has
                           knowledge by it and/or by any other party under any
                           other such charterparty or contract (b) of any such
                           charterparty or contract being frustrated or the
                           performance thereof becoming impossible or
                           substantially different from that contemplated
                           originally by the parties thereto;

                  10.20.3  institute and maintain all such proceedings as may be
                           necessary or expedient to preserve or protect the
                           interest of the Trustee as assignee and itself under
                           any of its charterparties or contracts made in
                           respect of the Vessel;

                  10.20.4  not take or omit to take any action the taking or
                           omission of which might result in any material
                           alteration or impairment of any charterparty or
                           contract made in respect of the Vessel;

                  10.20.5  not substitute any other ship or ships for the Vessel
                           under any charterparty or contract made in respect of
                           the Vessel;

                  10.20.6  not without the Agent's prior consent agree to any
                           material variation, modification or amendment in the
                           terms of any charterparty or contract in respect of
                           the Vessel or release any other party from any of
                           their respective obligations thereunder or waive any
                           breach of the obligations of any person or consent to
                           any such act or omission of any person as would
                           otherwise constitute such breach;

                  10.20.7  not without the Agent's prior consent let or employ
                           the Vessel below approximately the market rate
                           prevailing when the Vessel is fixed;

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                  10.20.8  procure that the Earnings (if any) are paid in full
                           without set off and free and clear of and without
                           deduction for any taxes levies duties imposts charges
                           fees restrictions or conditions of any nature
                           whatsoever; and

                  10.20.9  if, immediately following the termination (for
                           whatever reason) of any charterparty or contract in
                           respect of the Vessel, the Vessel is not employed in
                           a manner acceptable to the Agent in its sole
                           discretion the Borrower shall provide additional
                           security for its obligations hereunder in such
                           manner, of such type and within such period as the
                           Agent may determine in its absolute discretion.

         10.21    INSURANCES

                  The Borrower covenants with the Agent and the Lenders and
                  undertakes:

                  10.21.1  during the Completion Period to procure that the
                           Vessel is insured in accordance with the Building
                           Contract, to give notice forthwith of the assignment
                           of the Borrower's interest in the Insurances pursuant
                           to the Building Contract, Refund Guarantee and
                           Performance Guarantees Assignment to the relevant
                           brokers, insurances companies and/or underwriters in
                           the form approved by the Agent and to procure that
                           each of the relevant brokers furnishes the Agent with
                           a letter of undertaking in such form as may be
                           required by the Agent and waives any lien for
                           premiums except in relation to premiums attributable
                           to the Vessel;

                  10.21.2  from the Redelivery Date until the end of the
                           Security Period to insure the Vessel in its name and
                           keep the Vessel insured on an agreed value basis for
                           an amount in Dollars approved by the Agent but not
                           being less than the greater of:

                           (a)      one hundred and twenty five per cent (125%)
                                    of the aggregate of the amounts of the
                                    Dollar Loan, the Dollar equivalent of the
                                    Euro Loan (determined at HSBC Bank plc's
                                    spot rate for conversion of Dollars to Euro
                                    at 10.00 a.m. London time ten (10) days
                                    prior to the Redelivery Date or any renewal
                                    date) and the Commercial Loan; or

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                           (b)      the full market and commercial value of the
                                    Vessel determined in accordance with Clause
                                    10.18 from time to time

                           through internationally recognised independent first
                           class insurance companies, underwriters, war risks
                           and protection and indemnity associations acceptable
                           to the Agent in each instance on terms and conditions
                           approved by the Agent including as to deductibles but
                           at least in respect of:

                           (i)      marine risks including all risks customarily
                                    and usually covered by first-class and
                                    prudent shipowners in the London insurance
                                    markets under English marine policies or
                                    Agent-approved policies containing the
                                    ordinary conditions applicable to similar
                                    vessels;

                           (ii)     war risks and war risks (protection and
                                    indemnity) up to the insured amount;

                           (iii)    excess risks that is to say the proportion
                                    of claims for general average and salvage
                                    charges and under the running down clause
                                    not recoverable in consequence of the value
                                    at which the Vessel is assessed for the
                                    purpose of such claims exceeding the insured
                                    value;

                           (iv)     protection and indemnity risks with full
                                    standard coverage and up to the highest
                                    limit of liability available (for oil
                                    pollution risk the highest limit currently
                                    available is one billion Dollars
                                    (USD1,000,000,000) and this to be increased
                                    if requested by the Agent and the increase
                                    is possible in accordance with the standard
                                    protection and indemnity cover for vessels
                                    of its type and is compatible with prudent
                                    insurance practice for first class cruise
                                    shipowners or operators in waters where the
                                    Vessel trades from time to time from the
                                    Redelivery Date until the end of the
                                    Security Period);

                           (v)      when and while the Vessel is laid-up, in
                                    lieu of hull insurance, normal port risks;

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                           (vi)     such other risks as the Agent may from time
                                    to time reasonably require;

                           and in any event in respect of those risks and at
                           those levels covered by first class and prudent
                           owners and/or financiers in the international market
                           in respect of similar tonnage PROVIDED THAT if any of
                           such insurances are also effected in the name of any
                           other person (other than the Borrower, the Agent, the
                           Hermes Agent, the Trustee and/or the Lenders) such
                           person shall if so required by the Agent execute a
                           first priority assignment of its interest in such
                           insurances in favour of the Trustee and the
                           Commercial Loan Trustee in similar terms mutatis
                           mutandis to the Insurance Assignment;

                  10.21.3  to agree that the Hermes Agent shall take out
                           mortgagee interest insurance on such conditions as
                           the Hermes Agent may reasonably require and mortgagee
                           interest insurance for pollution risks as from time
                           to time agreed each for an amount in Dollars of one
                           hundred and ten per cent (110%) of the aggregate of
                           the amounts of the Dollar Loan, the Dollar equivalent
                           of the Euro Loan (determined at HSBC Bank plc's spot
                           rate for conversion of Dollars to Euro at 10.00 a.m.
                           London time ten (10) days prior to the Redelivery
                           Date or any renewal date) and the Commercial Loan,
                           the Borrower having no interest or entitlement in
                           respect of such policies; the Borrower shall upon
                           demand of the Hermes Agent reimburse the Hermes Agent
                           for the costs of effecting and/or maintaining any
                           such insurance(s) and the Hermes Agent hereby
                           undertakes to use its reasonable endeavours to match
                           the premium level that the Borrower would have paid
                           if the Borrower itself had arranged such cover on
                           such conditions (as demonstrated to the reasonable
                           satisfaction of the Hermes Agent);

                  10.21.4  if the Vessel shall trade in the United States of
                           America and/or the Exclusive Economic Zone of the
                           United States of America (the "EEZ") as such term is
                           defined in the US Oil Pollution Act 1990 ("OPA"), to
                           comply strictly with the requirements of OPA and any
                           similar legislation which may from time to time be

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                           enacted in any jurisdiction in which the Vessel
                           presently trades or may or will trade at any time
                           during the existence of this Agreement and in
                           particular before such trade is commenced and during
                           the entire period during which such trade is carried
                           on:

                           (a)      to pay any additional premiums required to
                                    maintain protection and indemnity cover for
                                    oil pollution up to the limit available to
                                    it for the Vessel in the market;

                           (b)      to make all such quarterly or other voyage
                                    declarations as may from time to time be
                                    required by the Vessel's protection and
                                    indemnity association and to comply with all
                                    obligations in order to maintain such cover,
                                    and promptly to deliver to the Agent copies
                                    of such declarations;

                           (c)      to submit the Vessel to such additional
                                    periodic, classification, structural or
                                    other surveys which may be required by the
                                    Vessel's protection and indemnity insurers
                                    to maintain cover for such trade and
                                    promptly to deliver to the Agent copies of
                                    reports made in respect of such surveys;

                           (d)      to implement any recommendations contained
                                    in the reports issued following the surveys
                                    referred to in Clause 10.21.4(c) within the
                                    time limit specified therein and to provide
                                    evidence satisfactory to the Agent that the
                                    protection and indemnity insurers are
                                    satisfied that this has been done;

                           (e)      in particular strictly to comply with the
                                    requirements of any applicable law,
                                    convention, regulation, proclamation or
                                    order with regard to financial
                                    responsibility for liabilities imposed on
                                    the Borrower or the Vessel with respect to
                                    pollution by any state or nation or
                                    political subdivision thereof, including but
                                    not limited to OPA, and to provide the Agent
                                    on demand with such information or evidence
                                    as it may reasonably require of such
                                    compliance;

                           (f)      to procure that the protection and indemnity
                                    insurances do not contain a clause excluding
                                    the Vessel from trading in waters of the

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                                    United States of America and the EEZ or any
                                    other provision analogous thereto and to
                                    provide the Agent with evidence that this is
                                    so; and

                           (g)      strictly to comply with any operational or
                                    structural regulations issued from time to
                                    time by any relevant authorities under OPA
                                    so that at all times the Vessel falls within
                                    the provisions which limit strict liability
                                    under OPA for oil pollution;

                  10.21.5  to give notice forthwith of any assignment of its
                           interest in the Insurances to the relevant brokers,
                           insurance companies, underwriters and/or associations
                           in the form approved by the Agent;

                  10.21.6  to execute and deliver all such documents and do all
                           such things as may be necessary to confer upon the
                           Trustee legal title to the Insurances in respect of
                           the Vessel and to procure that the interest of the
                           Trustee is at all times filed with all slips, cover
                           notes, policies and certificates of entry and to
                           procure (a) that a loss payable clause in the form
                           approved by the Agent shall be filed with all the
                           hull, machinery and equipment and war risks policies
                           in respect of the Vessel and (b) that a loss payable
                           clause in the form approved by the Agent shall be
                           endorsed upon the protection and indemnity
                           certificates of entry in respect of the Vessel;

                  10.21.7  to procure that each of the relevant brokers and
                           associations furnishes the Agent with a letter of
                           undertaking in such form as may be required by the
                           Agent and waives any lien for premiums or calls
                           except in relation to premiums or calls attributable
                           to the Vessel;

                  10.21.8  punctually to pay all premiums, calls, contributions
                           or other sums payable in respect of the Insurances on
                           the Vessel and to produce all relevant receipts when
                           so required by the Agent;

                  10.21.9  to renew each of the Insurances on the Vessel at
                           least ten (10) days before the expiry thereof and to
                           give immediate notice to the Agent of such renewal
                           and to procure that the relevant brokers or
                           associations shall promptly confirm in writing to the
                           Agent that such renewal is effected it being
                           understood by the Borrower that any failure to renew
                           the Insurances on the Vessel at least ten (10) days

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                           before the expiry thereof or to give or procure the
                           relevant notices of such renewal shall constitute an
                           Event of Default;

                10.21.10   to arrange for the execution of such guarantees as
                           may from time to time be required by any protection
                           and indemnity and/or war risks association;

                10.21.11   to furnish the Agent from time to time on request
                           with full information about all Insurances maintained
                           on the Vessel and the names of the offices,
                           companies, underwriters, associations or clubs with
                           which such Insurances are placed;

                10.21.12   not to agree to any variation in the terms of any of
                           the Insurances on the Vessel without the prior
                           approval of the Agent nor to do any act or
                           voluntarily suffer or permit any act to be done
                           whereby any Insurances shall or may be rendered
                           invalid, void, voidable, suspended, defeated or
                           unenforceable and not to suffer or permit the Vessel
                           to engage in any voyage nor to carry any cargo not
                           permitted under any of the Insurances without first
                           obtaining the consent of the insurers or reinsurers
                           concerned and complying with such requirements as to
                           payment of extra premiums or otherwise as the
                           insurers or reinsurers may impose;

                10.21.13   not without the prior written consent of the Agent to
                           settle, compromise or abandon any claim in respect of
                           any of the Insurances on the Vessel other than a
                           claim of less than five million Dollars
                           (USD5,000,000) or the equivalent in any other
                           currency and not being a claim arising out of a Total
                           Loss;

                10.21.14   promptly to furnish the Agent with full information
                           regarding any casualties or other accidents or damage
                           to the Vessel involving an amount in excess of five
                           million Dollars (USD5,000,000);

                10.21.15   to apply or ensure the appliance of all such sums
                           receivable in respect of the Insurances on the Vessel
                           for the purpose of making good the loss and fully

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                           repairing all damage in respect whereof the insurance
                           monies shall have been received;

                10.21.16   that in the event of it making default in insuring
                           and keeping insured the Vessel as hereinbefore
                           provided then the Agent may (but shall not be bound
                           to) insure the Vessel or enter the Vessel in such
                           manner and to such extent as the Agent in its
                           discretion thinks fit and in such case all the cost
                           of effecting and maintaining such insurance together
                           with interest thereon at the Interest Rate shall be
                           paid on demand by the Borrower to the Agent; and

                10.21.17   to agree that the Agent shall be entitled from time
                           to time (but at intervals no more frequently than
                           annually at the Borrower's expense except in the case
                           that the First Drawdown Date and any renewal date of
                           the Insurances to be assigned to the Trustee pursuant
                           to (among other things) the Construction Risks
                           Insurance Assignment or the Redelivery Date and any
                           renewal of the Insurances to be assigned to the
                           Trustee and the Commercial Loan Trustee pursuant to
                           the Insurance Assignment fall within one (1) year of
                           each other) to instruct independent reputable
                           insurance advisers for the purpose of obtaining any
                           advice or information regarding any matter concerning
                           the Insurances which the Agent shall at its sole
                           discretion deem necessary, it being hereby
                           specifically agreed that it shall reimburse the Agent
                           on demand for all reasonable costs and expenses
                           incurred by the Agent in connection with the
                           instruction of such advisers as aforesaid.

         10.22  OPERATION AND MAINTENANCE OF THE VESSEL

                From the Redelivery Date until the end of the Security Period
                at its own expense the Borrower will:

                10.22.1    keep the Vessel in a good and efficient state of
                           repair so as to maintain it to the highest
                           classification available for the Vessel of its age
                           and type free of all recommendations and
                           qualifications with Det Norske Veritas and American
                           Bureau of Shipping. On the Redelivery Date and
                           annually thereafter, it will furnish to the Agent a
                           statement by such classification society that such
                           classification is maintained. It will comply with all

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                           recommendations, regulations and requirements
                           (statutory or otherwise) from time to time applicable
                           to the Vessel and shall have on board as and when
                           required thereby valid certificates showing
                           compliance therewith and shall procure that all
                           repairs to or replacements of any damaged, worn or
                           lost parts or equipment are carried out (both as
                           regards workmanship and quality of materials) so as
                           not to diminish the value or class of the Vessel. It
                           will not make any substantial modifications or
                           alterations to the Vessel or any part thereof without
                           the prior consent of the Agent;

                10.22.2    submit the Vessel to continuous survey in respect of
                           its machinery and hull and such other surveys as may
                           be required for classification purposes and, if so
                           required by the Agent, supply to the Agent copies in
                           English of the survey reports;

                10.22.3    permit surveyors or agents appointed by the Agent to
                           board the Vessel at all reasonable times to inspect
                           its condition or satisfy themselves as to repairs
                           proposed or already carried out and afford all proper
                           facilities for such inspections;

                10.22.4    comply, or procure that the Manager will comply, with
                           the ISM Code or any replacement of the ISM Code and
                           in particular, without prejudice to the generality of
                           the foregoing, as and when required to do so by the
                           ISM Code and at all times thereafter:

                           (a)      hold, or procure that the Manager holds, a
                                    valid Document of Compliance duly issued to
                                    the Borrower or the Manager (as the case may
                                    be) pursuant to the ISM Code and a valid
                                    Safety Management Certificate duly issued to
                                    the Vessel pursuant to the ISM Code;

                           (b)      provide the Agent with copies of any such
                                    Document of Compliance and Safety Management
                                    Certificate as soon as the same are issued;
                                    and

                           (c)      keep, or procure that there is kept, on
                                    board the Vessel a copy of any such Document
                                    of Compliance and the original of any such
                                    Safety Management Certificate;

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                10.22.5    comply, or procure that the Manager will comply, with
                           the ISPS Code or any replacement of the ISPS Code and
                           in particular, without prejudice to the generality of
                           the foregoing, as and when required to do so by the
                           ISPS Code and at all times thereafter:

                           (a)      keep, or procure that there is kept, on
                                    board the Vessel the original of the
                                    International Ship Security Certificate; and

                           (b)      keep, or procure that there is kept, on
                                    board the Vessel a copy of the ship security
                                    plan prepared pursuant to the ISPS Code;

                10.22.6    not employ the Vessel or permit its employment in any
                           trade or business which is forbidden by any
                           applicable law or is otherwise illicit or in carrying
                           illicit or prohibited goods or in any manner
                           whatsoever which may render it liable to condemnation
                           in a prize court or to destruction, seizure or
                           confiscation or that may expose the Vessel to
                           penalties. In the event of hostilities in any part of
                           the world (whether war be declared or not) it will
                           not employ the Vessel or permit its employment in
                           carrying any contraband goods;

                10.22.7    promptly provide the Agent with (a) all information
                           which the Agent may reasonably require regarding the
                           Vessel, its employment, earnings, position and
                           engagements (b) particulars of all towages and
                           salvages and (c) copies of all charters and other
                           contracts for its employment and otherwise concerning
                           it;

                10.22.8    give notice to the Agent promptly and in reasonable
                           detail upon the Borrower or any other Obligor
                           becoming aware of:

                           (a)      accidents to the Vessel involving repairs
                                    the cost of which will or is likely to
                                    exceed five million Dollars (USD5,000,000);

                           (b)      the Vessel becoming or being likely to
                                    become a Total Loss or a Compulsory
                                    Acquisition;

                           (c)      any recommendation or requirement made by
                                    any insurer or classification society or by
                                    any competent authority which is not
                                    complied with within any time limit relating
                                    thereto;

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                           (d)      any writ or claim served against or any
                                    arrest of the Vessel or the exercise of any
                                    lien or purported lien on the Vessel, its
                                    Earnings or Insurances;

                           (e)      the occurrence of any Possible Event of
                                    Default and/or Event of Default;

                           (f)      the Vessel ceasing to be registered under
                                    the flag of the United States of America or
                                    anything which is done or not done whereby
                                    such registration may be imperilled;

                           (g)      it becoming impossible or unlawful for it to
                                    fulfil any of its obligations under the
                                    Security Documents; and

                           (h)      anything done or permitted or not done in
                                    respect of the Vessel by any person which is
                                    likely to imperil the security created by
                                    the Security Documents;

                10.22.9    promptly pay and discharge all debts, damages and
                           liabilities, taxes, assessments, charges, fines,
                           penalties, tolls, dues and other outgoings in respect
                           of the Vessel and keep proper books of account in
                           respect thereof PROVIDED ALWAYS THAT the Borrower
                           shall not be obliged to compromise any debts, damages
                           and liabilities as aforesaid which are being
                           contested in good faith subject always that full
                           details of any such contested debt, damage or
                           liability which, either individually or in aggregate
                           exceeds five million Dollars (USD5,000,000) shall
                           forthwith be provided to the Agent. As and when the
                           Agent may so require the Borrower will make such
                           books available for inspection on behalf of the Agent
                           and provide evidence satisfactory to the Agent that
                           the wages and allotments and the insurance and
                           pension contributions of the master and crew are
                           being regularly paid, that all deductions of crew's
                           wages in respect of any tax liability are being
                           properly accounted for and that the master has no
                           claim for disbursements other than those incurred in
                           the ordinary course of trading on the voyage then in
                           progress or completed prior to such inspection;

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                10.22.10   maintain the type of the Vessel as at the Redelivery
                           Date and not put the Vessel into the possession of
                           any person without the prior consent of the Agent for
                           the purpose of work being done on it in an amount
                           exceeding or likely to exceed five million Dollars
                           (USD5,000,000) unless such person shall first have
                           given to the Agent a written undertaking addressed to
                           the Agent in terms satisfactory to the Agent agreeing
                           not to exercise a lien on the Vessel or its Earnings
                           for the cost of such work or for any other reason;

                10.22.11   promptly pay and discharge all liabilities which have
                           given rise, or may give rise, to liens or claims
                           enforceable against the Vessel under the laws of all
                           countries to whose jurisdiction the Vessel may from
                           time to time be subject and in particular the
                           Borrower hereby agrees to indemnify and hold the
                           Lenders, the Agent, the Hermes Agent and the Trustee,
                           their successors, assigns, directors, officers,
                           shareholders, employees and agents harmless from and
                           against any and all claims, losses, liabilities,
                           damages, expenses (including attorneys, fees and
                           expenses and consultant fees) and injuries of any
                           kind whatsoever asserted against the Lenders, the
                           Agent, the Hermes Agent or the Trustee, with respect
                           to or as a direct result of the presence, escape,
                           seepage, spillage, release, leaking, discharge or
                           migration from the Vessel or other properties owned
                           or operated by the Borrower of any hazardous
                           substance, including without limitation, any claims
                           asserted or arising under any applicable
                           environmental, health and safety laws, codes and
                           ordinances, and all rules and regulations promulgated
                           thereunder of all Governmental Agencies, regardless
                           of whether or not caused by or within the control of
                           the Borrower subject to the following:

                           (a)      it is the parties' understanding that the
                                    Lenders, the Agent, the Hermes Agent and the
                                    Trustee do not now, have never and do not
                                    intend in the future to exercise any
                                    operational control or maintenance over the
                                    Vessel or any other properties and
                                    operations owned or operated by the
                                    Borrower, nor in the past, presently, or

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                                    intend in the future to, maintain an
                                    ownership interest in the Vessel or any
                                    other properties owned or operated by the
                                    Borrower except as may arise upon
                                    enforcement of the Lenders' rights under the
                                    Post Redelivery Mortgage;

                           (b)      the indemnity and hold harmless contained in
                                    this Clause 10.22.11 shall not extend to the
                                    Lenders, the Agent, the Hermes Agent and the
                                    Trustee in their capacity as an equity
                                    investor in the Borrower or as an owner of
                                    any property or interest as to which the
                                    Borrower is also owner but only to their
                                    capacity as lenders, holders of security
                                    interests or beneficiaries of security
                                    interests; and

                           (c)      unless and until an Event of Default shall
                                    have occurred and without prejudice to the
                                    right of each Lender to be indemnified
                                    pursuant to this Clause 10.22.11:

                                    (i)   each Lender will, if it is reasonably
                                          practicable to do so, notify the
                                          Borrower upon receiving a claim in
                                          respect of which the relevant Lender
                                          is or may become entitled to an
                                          indemnity under this Clause 10.22.11;

                                    (ii)  subject to the prior written approval
                                          of the relevant Lender which the
                                          Lender shall have the right to
                                          withhold, the Borrower will be
                                          entitled to take, in the name of the
                                          relevant Lender, such action as the
                                          Borrower may see fit to avoid,
                                          dispute, resist, appeal, compromise or
                                          defend any such claims, losses,
                                          liabilities, damages, expenses and
                                          injuries as are referred to above in
                                          this Clause 10.22.11 or to recover the
                                          same from any third party, subject to
                                          the Borrower first ensuring that the
                                          relevant Lender is secured to its
                                          reasonable satisfaction against all
                                          expenses thereby incurred or to be
                                          incurred; and

                                    (iii) the relevant Lender will, to the
                                          extent that it is reasonably
                                          practicable to do so, seek the
                                          approval of the Borrower (such
                                          approval not to be unreasonably
                                          withheld or delayed) before making any

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                                          admission of liability, agreement or
                                          compromise with a third party, or any
                                          payment to a third party, in respect
                                          of such claims, losses, liabilities,
                                          damages, expenses and injuries as are
                                          referred to above in this Clause
                                          10.22.11 and, to the extent that the
                                          Borrower is entitled to take action in
                                          accordance with sub-clause (ii) above
                                          and subject to the Borrower first
                                          ensuring that the relevant Lender is
                                          secured to its reasonable satisfaction
                                          against all expenses thereby incurred
                                          or to be incurred, the relevant Lender
                                          will provide such information,
                                          assistance and other co-operation as
                                          the Borrower may reasonably request in
                                          connection with such action,

                           PROVIDED ALWAYS THAT the Borrower shall not be
                           obliged to compromise any liabilities as aforesaid
                           which are being contested in good faith subject
                           always that full details of any such contested
                           liabilities which, either individually or in
                           aggregate, exceed five million Dollars (USD5,000,000)
                           shall be forthwith provided to the Agent. If the
                           Vessel is arrested or detained for any reason it will
                           procure its immediate release by providing bail or
                           taking such other steps as the circumstances may
                           require;

                10.22.12   give to the Agent at such times as it may from time
                           to time require a certificate, duly signed on its
                           behalf as to the amount of any debts, damages and
                           liabilities relating to the Vessel and, if so
                           required by the Agent, forthwith discharge such
                           debts, damages and liabilities to the Agent's
                           satisfaction; and

                10.22.13   maintain the registration of the Vessel under and fly
                           the flag of the United States of America and not do
                           or permit anything to be done whereby such
                           registration may be forfeited or imperilled.

         10.23  HERMES COVER

                The Lenders have claims arising from this Agreement guaranteed
                by the Federal Republic of Germany (represented by Hermes) by
                way of the Hermes Cover. The unrestricted existence of the
                Hermes Cover is a pre-requisite to drawdown of any Portion or
                part thereof as referred to in Clause 2.3.3 and to the

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                maintenance of the Loan in accordance with the terms of this
                Agreement after drawdown.

                The terms and conditions of the Hermes Cover are incorporated
                herein and in so far as they impose terms, conditions and/or
                obligations on the Trustee and/or the Agent and/or the Hermes
                Agent and/or the Lenders in relation to the Borrower or any
                other Obligor then such terms, conditions and obligations are
                binding on the parties hereto and further in the event of any
                conflict between the terms of the Hermes Cover and the terms
                hereof the terms of the Hermes Cover shall be paramount and
                prevail and any breach of those terms as applied to the Borrower
                or any other Obligor shall be deemed to be an Event of Default.
                For the avoidance of doubt, the Borrower has no interest or
                entitlement in the proceeds of the Hermes Cover.

         10.24  DIVIDENDS

                Subject to the provisions of clause 11.3 of the Guarantee, the
                Borrower will procure that any dividends or other distributions
                and interest paid or payable in connection therewith received by
                the Member will be paid to Arrasas and then on to the Guarantor
                by way of dividend in each case promptly on receipt.

11       DEFAULT

         11.1   EVENTS OF DEFAULT

                Each of the events set out below is an Event of Default:

                11.1.1     NON-PAYMENT

                           The Borrower or any other Obligor does not pay on the
                           due date any amount of principal or interest of the
                           Loan (provided however that if any such amount is not
                           paid when due solely by reason of some error or
                           omission on the part of the bank or banks through
                           whom the relevant funds are being transmitted no
                           Event of Default shall occur for the purposes of this
                           Clause 11.1.1 until the expiry of three (3) Business
                           Days following the date on which such payment is
                           due), or within three (3) Business Days of the due
                           date any other amount, payable by it under any

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                           Security Document to which it may at any time be a
                           party, at the place and in the currency in which it
                           is expressed to be payable.

                11.1.2     BREACH OF OTHER OBLIGATIONS

                           (a)      Any Obligor or the Builder fails to comply
                                    with any other material provision of any
                                    Security Document or there is any other
                                    material breach in the sole opinion of the
                                    Agent of any of the Transaction Documents
                                    and such failure (if in the opinion of the
                                    Agent in its sole discretion it is capable
                                    of remedy) continues unremedied for a period
                                    of twenty one (21) days from the date of its
                                    occurrence and in any such case as aforesaid
                                    the Agent in its sole discretion considers
                                    that such failure is or could reasonably be
                                    expected to become materially prejudicial to
                                    the interests, rights or position of the
                                    Lenders; or

                           (b)      If there is a repudiation or termination of
                                    any Transaction Document or if any of the
                                    parties thereto becomes entitled to
                                    terminate or repudiate any of them and
                                    evidences an intention so to do.

                11.1.3     MISREPRESENTATION

                           Any representation, warranty or statement made or
                           repeated in, or in connection with, any Transaction
                           Document or in any accounts, certificate, statement
                           or opinion delivered by or on behalf of any Obligor
                           thereunder or in connection therewith is materially
                           incorrect when made or would, if repeated at any time
                           hereafter by reference to the facts subsisting at
                           such time, no longer be materially correct.

                11.1.4     CROSS DEFAULT

                           (a)      Any event of default occurs under any
                                    financial contract or financial document
                                    relating to any Financial Indebtedness of
                                    any member of the NCLC Group;

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                           (b)      Any such Financial Indebtedness or any sum
                                    payable in respect thereof is not paid when
                                    due (after the expiry of any applicable
                                    grace period(s)) whether by acceleration or
                                    otherwise;

                           (c)      Any Encumbrance over any assets of any
                                    member of the NCLC Group becomes
                                    enforceable;

                           (d)      Any other Financial Indebtedness of any
                                    member of the NCLC Group is not paid when
                                    due or is or becomes capable of being
                                    declared due prematurely by reason of
                                    default or any security for the same becomes
                                    enforceable by reason of default;

                           PROVIDED THAT:

                           (i)      No Event of Default will arise if the
                                    relevant Financial Indebtedness is not
                                    accelerated or, if it is accelerated but, in
                                    aggregate, the Financial Indebtedness is
                                    less than five million Dollars
                                    (USD5,000,000); and

                           (ii)     Financial Indebtedness being contested by
                                    the Borrower in good faith will be
                                    disregarded provided first that full details
                                    of the dispute shall be submitted to the
                                    Agent forthwith upon its occurrence and
                                    second if the dispute remains unresolved for
                                    a period of one hundred and fifty (150) days
                                    this Clause 11.1.4(ii) shall not apply to
                                    that Financial Indebtedness.

                11.1.5     WINDING-UP

                           Any order is made or an effective resolution passed
                           or other action taken for the suspension of payments
                           or reorganisation, dissolution, termination of
                           existence, liquidation, winding-up or bankruptcy of
                           any member of the NCLC Group.

                11.1.6     MORATORIUM OR ARRANGEMENT WITH CREDITORS

                           A moratorium in respect of all or any debts of any
                           member of the NCLC Group or a composition or an
                           arrangement with creditors of any member of the NCLC
                           Group or any similar proceeding or arrangement by
                           which the assets of any member of the NCLC Group are
                           submitted to the control of its creditors is applied

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                           for, ordered or declared or any member of the NCLC
                           Group commences negotiations with any one or more of
                           its creditors with a view to the general readjustment
                           or rescheduling of all or a significant part of its
                           Financial Indebtedness.

                11.1.7     APPOINTMENT OF LIQUIDATORS ETC.

                           A liquidator, trustee, administrator, receiver,
                           administrative receiver, manager or similar officer
                           is appointed in respect of any member of the NCLC
                           Group or in respect of all or any substantial part of
                           the assets of any member of the NCLC Group and in any
                           such case such appointment is not withdrawn within
                           thirty (30) days (the "GRACE PERIOD") unless the
                           Agent considers in its sole discretion that the
                           interest of the Lenders might reasonably be expected
                           to be adversely affected in which event the Grace
                           Period shall not apply.

                11.1.8     INSOLVENCY

                           Any member of the NCLC Group becomes or is declared
                           insolvent or is unable, or admits in writing its
                           inability, to pay its debts as they fall due or
                           becomes insolvent within the terms of any applicable
                           law.

                11.1.9     LEGAL PROCESS

                           Any distress, execution, attachment or other process
                           affects the whole or any substantial part of the
                           assets of any member of the NCLC Group and remains
                           undischarged for a period of twenty one (21) days
                           PROVIDED THAT no Event of Default shall be deemed to
                           have occurred unless the distress, execution,
                           attachment or other process adversely affects any
                           Obligor's ability to meet any of its material
                           obligations under this Agreement or the other
                           Security Documents (the determination of which shall
                           be in the Agent's sole discretion).

                11.1.10    ANALOGOUS EVENTS

                           Anything analogous to or having a substantially
                           similar effect to any of the events specified in
                           Clauses 11.1.5 to 11.1.9 shall occur under the laws
                           of any applicable jurisdiction.

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                11.1.11    CESSATION OF BUSINESS

                           Any member of the NCLC Group ceases to carry on all
                           or a substantial part of its business.

                11.1.12    REVOCATION OF CONSENTS

                           Any authorisation, approval, consent, licence,
                           exemption, filing, registration or notarisation or
                           other requirement necessary to enable any Obligor to
                           comply with any of its obligations under any of the
                           Transaction Documents is materially adversely
                           modified, revoked or withheld or does not remain in
                           full force and effect and within ninety (90) days of
                           the date of its occurrence such event is not remedied
                           to the satisfaction of the Agent and the Agent
                           considers in its sole discretion that such failure is
                           or might be expected to become materially prejudicial
                           to the interests, rights or position of the Lenders
                           PROVIDED THAT the Borrower shall not be entitled to
                           the aforesaid ninety (90) day period if the
                           modification, revocation or withholding of the
                           authorisation, approval or consent is due to an act
                           or omission of any Obligor and the Agent is satisfied
                           in its sole discretion that the Lenders' interests
                           might reasonably be expected to be materially
                           adversely affected.

                11.1.13    UNLAWFULNESS

                           At any time it is unlawful or impossible for any
                           Obligor, the Builder or Hermes to perform any of its
                           material (to the Lenders or any of them and/or the
                           Agent and/or the Hermes Agent) obligations under any
                           Security Document to which it is a party or it is
                           unlawful or impossible for the Agent, the Trustee or
                           any Lender to exercise any of its rights under any of
                           the Security Documents PROVIDED THAT no Event of
                           Default shall be deemed to have occurred (except
                           where the unlawfulness or impossibility adversely
                           affects any Obligor's or the Builder's payment
                           obligations under this Agreement and the other
                           Security Documents or Hermes' payment obligations
                           under the Hermes Cover (the determination of which
                           shall be in the Agent's sole discretion) in which
                           case the following provisions of this Clause 11.1.13
                           shall not apply) where the unlawfulness or
                           impossibility preventing any Obligor, the Builder or
                           Hermes from performing its obligations (other than
                           its payment obligations under this Agreement and the

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                           other Security Documents) is cured within a period of
                           twenty one (21) days of the occurrence of the event
                           giving rise to the unlawfulness or impossibility and
                           the relevant Obligor, the Builder or Hermes within
                           the aforesaid period, performs its obligation(s) and
                           PROVIDED FURTHER THAT no Event of Default shall be
                           deemed to have occurred where the Agent, the Trustee
                           and/or any relevant Lender was aware of the default
                           and could, in its sole discretion, mitigate the
                           consequences of the unlawfulness or impossibility in
                           the manner described in Clause 4.3.2. The costs of
                           mitigation shall be determined in accordance with
                           Clause 4.3.2.

                11.1.14    INSURANCES

                           The Borrower fails to insure the Vessel in the manner
                           specified in Clause 10.21 or fails to renew the
                           Insurances at least ten (10) days prior to the date
                           of expiry thereof and produce prompt confirmation of
                           such renewal to the Agent.

                11.1.15    TOTAL LOSS

                           If the Vessel shall become a Total Loss and the
                           proceeds of the Insurances in respect thereof shall
                           not have been received by the Agent within one
                           hundred and fifty (150) days after the date of the
                           event giving rise to such Total Loss.

                11.1.16    DISPOSALS

                           If the Borrower or any other member of the NCLC Group
                           or the Builder (in respect of the property assigned
                           to the Trustee pursuant to the Construction Risks
                           Insurance Assignment only) shall have concealed,
                           removed, or permitted to be concealed or removed, any
                           part of its property, with intent to hinder, delay or
                           defraud its creditors or any of them, or made or
                           suffered a transfer of any of its property (in the

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                           case of the Builder, limited to the aforesaid
                           property) which may be fraudulent under any
                           bankruptcy, fraudulent conveyance or similar law; or
                           shall have made any transfer of its property (in the
                           case of the Builder, limited to the aforesaid
                           property) to or for the benefit of a creditor with
                           the intention of preferring such creditor over any
                           other creditor.

                11.1.17    PREJUDICE TO SECURITY

                           Anything is done or suffered or omitted to be done by
                           any Obligor or the Builder which in the reasonable
                           opinion of the Agent would or might be expected to
                           imperil the security created by any of the Security
                           Documents.

                11.1.18    MATERIAL ADVERSE CHANGE

                           Any material adverse change in the business, assets
                           or financial condition of any Obligor or the Builder
                           occurs which in the reasonable opinion of the Agent
                           would or might reasonably be expected to affect the
                           ability of that Obligor or the Builder duly to
                           perform any of its material obligations under any
                           Security Document to which it may at any time be a
                           party. For the purposes of this Clause 11.1.18 and
                           without prejudice to the generality of the expression
                           "MATERIAL OBLIGATIONS" any payment obligations of any
                           Obligor or the Builder shall be deemed material.

                11.1.19    GOVERNMENTAL INTERVENTION

                           The authority of any member of the NCLC Group or the
                           Builder in the conduct of its business is wholly or
                           substantially curtailed by any seizure or
                           intervention by or on behalf of any authority and
                           within ninety (90) days of the date of its occurrence
                           any such seizure or intervention is not relinquished
                           or withdrawn and the Agent reasonably considers that
                           the relevant occurrence is or might be expected to
                           become materially prejudicial to the interests,
                           rights or position of the Lenders PROVIDED THAT the
                           Borrower shall not be entitled to the aforesaid
                           ninety (90) day period if the seizure or intervention
                           executed by any authority is due to an act or
                           omission of any member of the NCLC Group or the
                           Builder and the Agent is satisfied, in its sole
                           discretion, that the Lenders' interest might
                           reasonably be expected to be materially adversely
                           affected.

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                11.1.20    THE BUILDER

                           Any of the events specified in Clauses 11.1.5 to
                           11.1.12 of this Clause shall occur in respect of the
                           Builder at any time prior to the Redelivery Date.

                11.1.21    THE VESSEL

                           The Vessel has not been redelivered to the Borrower
                           by the Builder pursuant to the Building Contract by
                           the Termination Date.

       11.2     ACCELERATION

                11.2.1     On the occurrence of an Event of Default or a
                           Possible Event of Default and at any time thereafter
                           whilst such event shall be continuing the Agent may
                           if the Facility has not yet been drawn down, by
                           notice to the Borrower cancel the obligations of the
                           Lenders under this Agreement.

                11.2.2     Subject to the provisions of the Co-ordination Deed,
                           on the occurrence of an Event of Default and at any
                           time thereafter whilst such event shall be
                           continuing, if any of the Facility has been drawn
                           down:

                           (a)      the Agent may by notice to the Borrower
                                    declare the whole or any part of the Loan
                                    due and repayable in accordance with the
                                    terms of such notice whereupon the same
                                    shall become due and repayable accordingly
                                    together with all interest accrued thereon
                                    and all other amounts payable hereunder and
                                    under any of the other Security Documents
                                    and any undrawn Portion or any part thereof
                                    shall be cancelled; and/or

                           (b)      the Trustee, the Agent, the Hermes Agent and
                                    the Lenders may from time to time exercise
                                    all or any of its or their rights under any
                                    of the Security Documents in such order and
                                    in such manner as it or they shall deem
                                    appropriate; and/or

                           (c)      the Trustee may at the discretion of the
                                    Agent terminate or continue with the
                                    Supervision Agreement, the Management
                                    Agreement and/or the Sub-Agency Agreement.

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         11.3   DEFAULT INDEMNITY

                The Borrower shall on demand indemnify the Agent and the
                Lenders, without prejudice to any of their other rights under
                this Agreement and the other Security Documents, against any
                loss or expense which the Agent shall certify as sustained or
                incurred by any of them as a consequence of:

                11.3.1     any default in payment by the Borrower of any sum
                           under this Agreement or any of the other Security
                           Documents when due, including, without limitation,
                           any liability incurred by the Trustee, the Agent, the
                           Lenders and the Hermes Agent by reason of any delay
                           or failure of the Borrower to pay any such sums;

                11.3.2     any break in funding (including without limitation
                           warehousing and other related costs) due to the
                           occurrence of any Event of Default or Possible Event
                           of Default;

                11.3.3     any prepayment of the Loan or part thereof being made
                           at any time for any reason; and/or

                11.3.4     a Portion or any part thereof not being drawn for any
                           reason (excluding any default by the Agent or any
                           Lender) after a Drawdown Notice has been given,

                including, in any such case, but not limited to, any loss or
                expense sustained or incurred in maintaining or funding the Loan
                or in liquidating or re-employing deposits from third parties
                acquired to effect or maintain the Loan, any loss (including the
                cost of breaking deposits or re-employing funds (including
                warehousing and other related costs)) or any losses under any
                Interest Exchange Arrangement and/or any swap agreements or
                other interest rate management products entered into by the
                Lenders for the purpose of this transaction.

         11.4   SET-OFF

                Following the occurrence of any Event of Default and for so long
                as the same is continuing, the Borrower irrevocably authorises
                the Agent and the Lenders to apply any credit balance to which
                the Borrower is entitled upon any account of the Borrower with
                any branch of any of the Agent and the Lenders in or towards
                satisfaction of any sum due to the Agent or any Lender hereunder

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                but unpaid, and to combine any accounts of the Borrower for this
                purpose. If such set-off requires a credit balance in a currency
                other than Dollars and/or Euro to be transferred to an account
                maintained in connection herewith the transfer shall be effected
                by crediting to the account in question the amount of Dollars
                and/or Euro (as the case may be) which the Agent or the Lender
                (as the case may be) could obtain by exchanging such currency
                for Dollars or Euro (as the case may be) at the rate of exchange
                at which its Office would, at the opening of business on the
                date on which the combination is effected, have sold the
                currency of that credit balance for Dollars or Euro (as the case
                may be) for immediate redelivery.

12       APPLICATION OF FUNDS

         12.1   TOTAL LOSS PROCEEDS/PROCEEDS OF SALE/EVENT OF DEFAULT MONIES

                In the event of the Vessel becoming a Total Loss or if the
                Vessel is sold or if an Event of Default has occurred then all
                Total Loss proceeds or proceeds of sale of the Vessel or any
                monies received by the Trustee, the Agent, the Hermes Agent or
                any Lender under or pursuant to the Security Documents (other
                than the Hermes Cover) shall, subject to the provisions of the
                Co-ordination Deed, be held by the Agent and applied in the
                following manner and order:

                FIRSTLY       to the payment of all fees, expenses and charges
                              (including brokers' commissions and any costs
                              incurred in breaking any funding, the expenses of
                              any sale, the expenses of retaining any attorney,
                              solicitors' fees, court costs and any other
                              expenses or advances made or incurred by the
                              Trustee, the Agent, the Hermes Agent or any Lender
                              in the protection of the Trustee's, the Agent's,
                              the Hermes Agent's and that Lender's rights or the
                              pursuance of its or their remedies hereunder and
                              under the other Security Documents or to any
                              payments whether voluntary or not which the Agent
                              considers advisable to protect its, the Trustee's,
                              the Hermes Agent's or the Lenders' security and to
                              provide adequate indemnity against liens claiming
                              priority over or equality with the lien of the
                              Security Documents or any other Encumbrances but
                              excluding any costs incurred in breaking an

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                              Interest Exchange Arrangement or any swap
                              agreements or other interest rate management
                              products entered into by the Lenders for the
                              purpose of this transaction including but without
                              limitation warehousing and other related costs);

                SECONDLY      in or towards payment in such order as the Lenders
                              may require of any accrued (but unpaid) fees and
                              interest thereon to which the Lenders and/or the
                              Agent are entitled hereunder and/or under the
                              other Security Documents in connection with the
                              Loan;

                THIRDLY       in or towards satisfaction of all interest accrued
                              on the Loan;

                FOURTHLY      in retention by the Agent in its discretion in a
                              suspense or impersonal interest bearing security
                              realised account of such sum as it considers
                              appropriate by way of security for the Outstanding
                              Indebtedness or for any actual or contingent
                              liability of the Agent or the Lenders or any of
                              them in connection with the transactions herein
                              contemplated;

                FIFTHLY       in or towards payment of the Instalments (whether
                              or not then due and payable) in reverse order of
                              maturity date;

                SIXTHLY       in or towards satisfaction of any other amounts
                              due from the Borrower to the Agent or the Lenders
                              under the Security Documents using in the
                              discretion of the Agent the same order of
                              application as Firstly to Fifthly;

                SEVENTHLY     in retention of such other sum or sums as the
                              Agent may require as security for any further
                              monies which may reasonably be expected to become
                              due and payable to the Trustee and/or the Agent
                              and/or the Lenders and/or the Hermes Agent under
                              this Agreement or any of the other Security
                              Documents and which the assigned Earnings may be
                              insufficient to satisfy;

                EIGHTHLY      any loss (including the cost of breaking deposits
                              or re-employing funds (including warehousing and
                              other related costs)) or any losses under any
                              Interest Exchange Arrangement and/or any swap
                              agreements or other interest rate management
                              products entered into by the Lenders for the
                              purpose of this transaction; and

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                NINTHLY       the balance, if any, in payment to the Borrower or
                              whomsoever shall then be entitled thereto.

                In the event of the proceeds being insufficient to pay the
                amounts referred to above the Agent shall be entitled to collect
                the balance from the Borrower.

         12.2   GENERAL FUNDS

                Subject to the provisions of the Co-ordination Deed, any other
                monies received by or in the possession of the Trustee, the
                Agent, any Lender or the Hermes Agent under or pursuant to the
                Security Documents (other than the Hermes Cover) which are
                expressed hereunder and/or under the Security Documents to be
                distributed in accordance with the provisions of this Clause or
                where no express provisions are made for disposal shall be
                applied in the discretion of the Agent as follows:

                FIRSTLY       in or towards payment of all fees, costs and
                              expenses (excluding any costs (including without
                              limitation any warehousing and other related
                              costs) incurred in breaking any Interest Exchange
                              Arrangement or any interest rate swap agreements
                              or other interest rate management products entered
                              into by the Lenders for the purposes of this
                              transaction) incurred by the Agent or any Lender
                              in connection with the Loan and which are for the
                              time being unpaid;

                SECONDLY      in or towards payment in such order as the Lenders
                              may require of any accrued (but unpaid) fees and
                              interest thereon to which the Lenders and/or the
                              Agent and/or the Hermes Agent are entitled
                              hereunder and/or under the other Security
                              Documents in connection with the Loan;

                THIRDLY       in or towards satisfaction of all interest accrued
                              on the Loan;

                FOURTHLY      in retention by the Agent in its discretion in a
                              suspense or impersonal interest bearing security
                              realised account of such sum as it considers
                              appropriate by way of security for the Outstanding

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                              Indebtedness or for any actual or contingent
                              liability of the Agent or the Lenders or any of
                              them in connection with the transactions herein
                              contemplated;

                FIFTHLY       in or towards payment of the Instalments in
                              reverse order of maturity date;

                SIXTHLY       in retention of such other sum or sums as the
                              Agent may require as security for any further
                              monies which may reasonably be expected to become
                              due and payable to the Agent and/or the Lenders
                              and/or the Hermes Agent under this Agreement or
                              any of the other Security Documents and which the
                              assigned Earnings may be insufficient to satisfy;

                SEVENTHLY     any loss (including the cost of breaking deposits
                              or re-employing funds (including warehousing and
                              other related costs)) or any losses under any
                              Interest Exchange Arrangement and/or any swap
                              agreements or other interest rate management
                              products entered into by the Lenders for the
                              purpose of this transaction; and

                EIGHTHLY      the balance (if any) shall be released to the
                              Borrower or to its order or whomsoever else may be
                              entitled thereto.

         12.3   APPLICATION OF PROCEEDS OF INSURANCES

                Subject to the provisions of the Co-ordination Deed, proceeds of
                the Insurances for partial losses shall be applied in accordance
                with the Construction Risks Insurance Assignment or the
                Insurance Assignment (as the case may be) and/or the loss
                payable clause(s) endorsed on the Insurances in the form
                approved by the Agent and in the case of a Total Loss of the
                Vessel in accordance with Clause 4.5 and Clause 12.1.

         12.4   APPLICATION OF ANY REDUCTION IN THE HERMES PREMIUM

                Any amount received by the Agent or the Hermes Agent following a
                reduction in the amount of the Hermes Premium shall be applied
                as to eighty per cent (80%) in accordance with Clause 4.7 and
                the balance shall be paid to the Borrower PROVIDED THAT neither

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                an Event of Default nor a Possible Event of Default has occurred
                and is continuing when such amount shall be applied in
                accordance with Clause 12.1.

         12.5   SUSPENSE ACCOUNT

                  Any monies received or recovered by the Trustee, the Agent,
                  any Lender or the Hermes Agent under or in connection with the
                  Security Documents and credited to any suspense or impersonal
                  interest bearing security realised account may be held in such
                  account for so long as the Agent thinks fit pending
                  application at the Agent's discretion in accordance with
                  Clause 12.1 or Clause 12.2 (as the case may be).

13       FEES

         13.1   The Borrower shall enter into fees side letters with the Agent
                on the date of the Original Loan Agreement and a new fees side
                letter on the date of the First Supplemental Agreement and pay
                to the Agent such fees and on such date(s) as shall be referred
                to therein.

14       EXPENSES

         14.1   INITIAL EXPENSES

                The Borrower shall reimburse the Agent on first demand on a full
                indemnity basis for the reasonable charges and expenses
                (together with value added tax or any similar tax thereon and
                including without limitation the fees and expenses of legal,
                insurance and other advisers and travel expenses) incurred by
                the Agent in respect of the syndication, negotiation,
                preparation, printing, execution and registration of this
                Agreement and the other Transaction Documents and any other
                documents required in connection with the implementation of this
                Agreement.

         14.2   ENFORCEMENT EXPENSES

                The Borrower shall reimburse the Agent, the Lenders and the
                Hermes Agent on demand on a full indemnity basis for all charges
                and expenses (including value added tax or any similar tax
                thereon and including the fees and expenses of legal advisers)
                incurred by the Agent, each of the Lenders and the Hermes Agent
                in connection with the enforcement of, or the preservation of
                any rights under, this Agreement and the other Security
                Documents.

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         14.3   STAMP DUTIES

                The Borrower shall pay or indemnify the Agent or the Hermes
                Agent (as the case may be) on demand against any and all stamp,
                registration and similar Taxes which may be payable in any
                jurisdiction in connection with the entry into, performance and
                enforcement of this Agreement or any of the other Security
                Documents.

15       WAIVERS, REMEDIES CUMULATIVE

         15.1   NO WAIVER

                No failure to exercise and no delay in exercising on the part of
                the Trustee, the Agent, any of the Lenders or the Hermes Agent
                any right or remedy under any of the Security Documents shall
                operate as a waiver thereof, nor shall any single or partial
                exercise of any right or remedy preclude any other or further
                exercise thereof, or the exercise of any other right or remedy.
                No waiver by the Trustee, the Agent, the Hermes Agent or any of
                the Lenders shall be effective unless it is in writing.

         15.2   REMEDIES CUMULATIVE

                The rights and remedies of the Agent and the Lenders provided
                herein are cumulative and not exclusive of any rights or
                remedies provided by law.

         15.3   SEVERABILITY

                If any provision of this Agreement is prohibited or
                unenforceable in any jurisdiction, such prohibition or
                unenforceability shall not invalidate the remaining provisions
                hereof or affect the validity or enforceability of such
                provision in any other jurisdiction.

         15.4   TIME OF ESSENCE

                Time is of the essence in respect of all of the obligations of
                the Borrower under the Security Documents PROVIDED HOWEVER THAT
                neither the Agent nor any of the Lenders shall be entitled to
                terminate or treat this Agreement or any of the other Security
                Documents as having been repudiated otherwise than in
                circumstances which constitute an Event of Default.

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16       COUNTERPARTS

         16.1   This Agreement may be executed in any number of counterparts and
                all such counterparts taken together shall be deemed to
                constitute one and the same agreement.

17       ASSIGNMENT

         17.1   BENEFIT OF AGREEMENT

                This Agreement shall be binding upon the Borrower and its
                successors and shall inure to the benefit of the Agent and each
                of the Lenders and their successors and assigns.

         17.2   NO TRANSFER BY THE BORROWER

                The Borrower may not assign or transfer all or any of its
                rights, benefits or obligations hereunder or under any of the
                other Security Documents.

         17.3   ASSIGNMENTS, PARTICIPATIONS AND TRANSFERS BY A LENDER

                Each Lender may, subject to obtaining the prior written approval
                of the Agent and the Hermes Agent, in the case of the Agent such
                approval not to be unreasonably withheld or delayed, at any time
                transfer or assign all of its rights and benefits hereunder and
                under the Security Documents to any other lending institution
                but shall, prior to such transfer or assignment, on request by
                the Agent, pay a fee to the Agent of one thousand Dollars
                (USD1,000) PROVIDED THAT (save in the case of a transfer or
                assignment of rights and benefits to any subsidiary or holding
                company of such Lender or to another Lender) no such transfer or
                assignment may be made without the prior written consent of the
                Borrower (which consent is not to be unreasonably withheld or
                delayed). If a Lender transfers or assigns its rights and
                benefits hereunder as provided above, all references in this
                Agreement and the other Security Documents to that Lender shall
                be construed as a reference to that Lender and/or its Transferee
                or assignee to the extent of their respective interests.

                Each Lender may, however, without the prior approval of the
                Agent, the Hermes Agent or the Borrower and without payment of a
                fee to the Agent, at any time transfer or assign all of its

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                rights and benefits hereunder and under the Security Documents
                to Hermes or to any nominee of the Federal Republic of Germany
                or for pure refinancing purposes by way of Hermes'
                "VERBRIEFUNGSGARANTIE" PROVIDED THAT in the latter case the
                assigning Lender shall not be released from its obligations
                hereunder or under the other Security Documents by any such
                transfer or assignment.

         17.4   EFFECTIVENESS OF TRANSFER

                If a Lender transfers or assigns all or any of its rights and
                benefits hereunder in accordance with Clause 17.3, then, unless
                and until the Transferee or assignee has agreed that it shall be
                under the same obligations towards the parties to this Agreement
                as it would have been under if it had been a party hereto as a
                lender, the parties to this Agreement shall not be obliged to
                recognise such Transferee or assignee as having the rights
                against each of them which it would have had if it had been such
                a party hereto.

         17.5   TRANSFER OF RIGHTS AND OBLIGATIONS

                If any Lender wishes to transfer all or any of its rights,
                benefits and/or obligations hereunder or under the other
                Security Documents as contemplated in Clause 17.3, then such
                transfer may be effected by the due completion and execution by
                the Lender and the relevant Transferee of a Transfer Certificate
                in the form of Schedule 6. The Agent shall then forthwith
                execute the Transfer Certificate on behalf of itself and the
                other parties to this Agreement in accordance with the
                provisions of Clause 17.8. On the later of the Transfer Date and
                the fifth (5th) Business Day following the date of redelivery of
                the Transfer Certificate to the Agent for execution:

                17.5.1     to the extent that in such Transfer Certificate the
                           Lender party thereto seeks to transfer its rights,
                           benefits and/or its obligations hereunder or under
                           the other Security Documents, the Borrower and the
                           relevant Lender shall each be released from further
                           obligations to the other hereunder and their
                           respective rights against each other shall be
                           cancelled (such rights and obligations being referred
                           to in this Clause 17.5 as "DISCHARGED RIGHTS,
                           BENEFITS AND OBLIGATIONS");

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                17.5.2     the Borrower and the Transferee party thereto shall
                           each assume obligations towards each other and/or
                           acquire rights against each other which differ from
                           such discharged rights, benefits and obligations only
                           insofar as the Borrower and such Transferee have
                           assumed and/or acquired the same in place of the
                           Borrower and the relevant Lender; and

                17.5.3     such Transferee shall acquire the same rights and
                           benefits and assume the same obligations as it would
                           have acquired and assumed had such Transferee been an
                           original party hereto as a Lender with the rights,
                           benefits and/or obligations acquired or assumed by it
                           as a result of such transfer.

         17.6   CONSENT AND INCREASED OBLIGATIONS OF THE BORROWER

                In the event that a Lender transfers its Office or transfers or
                assigns its rights and/or benefits hereunder to its affiliate or
                another Lender and, at the time of such transfer or assignment,
                there arises an obligation on the part of the Borrower hereunder
                to pay to the relevant Lender or any other person any amount in
                excess of the amount they would have been obliged to pay but for
                such transfer or assignment and the consent of the Borrower has
                not been obtained to such transfer or assignment and the
                increased cost then, without prejudice to any obligation of the
                Borrower which arises after the time of such transfer or
                assignment, the Borrower shall not be obliged to pay the amount
                of such excess.

         17.7   DISCLOSURE OF INFORMATION

                Any Lender may disclose to a potential Transferee or assignee
                who may otherwise propose to enter into contractual relations
                with it in relation to this Agreement such information about
                each of the Obligors or the Builder (or otherwise) as that
                Lender shall consider appropriate SUBJECT ALWAYS to the relevant
                Lender procuring the execution by the potential Transferee or
                assignee of a Confidentiality Undertaking PROVIDED ALWAYS THAT a
                Lender, the Agent, the Hermes Agent and the Trustee may provide
                any such information and copies of this Agreement, any of the
                Security Documents and all records in connection therewith to
                its professional advisers and auditors, to any banking or

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                regulatory authority or to Hermes and/or the Federal Republic of
                Germany and/or the European Union and/or any agency thereof or
                any person acting or purporting to act on any of their behalves
                and/or to the Builder or as required by law, regulation or legal
                process without first procuring the execution of a
                Confidentiality Undertaking. The Borrower acknowledges and
                agrees that any such information may be used by Hermes and/or
                the Federal Republic of Germany and/or the European Union and/or
                any agency thereof or any person acting or purporting to act on
                any of their behalves for statistical purposes and/or for
                reports of a general nature.

         17.8   TRANSFER CERTIFICATE TO BE EXECUTED BY THE AGENT

                In order to give effect to a Transfer Certificate each of the
                Arrangers, the Lenders, the Hermes Agent, the Trustee and the
                Borrower hereby irrevocably and unconditionally appoints the
                Agent as its true and lawful attorney with full power to execute
                on its behalf each Transfer Certificate delivered to the Agent
                pursuant to Clause 17.5 without the Agent being under any
                obligation to take any further instructions from, or give any
                prior notice to, the Arrangers, the Lenders, the Hermes Agent,
                the Trustee, the Borrower or the Guarantor before doing so and
                the Agent shall so execute each such Transfer Certificate on
                behalf of the Arrangers, the Lenders, the Hermes Agent, the
                Trustee, the Borrower and the Guarantor forthwith upon its
                receipt thereof pursuant to Clause 17.5.

         17.9   NOTICE OF TRANSFER CERTIFICATES

                The Agent shall promptly notify the Arrangers, the Lenders, the
                Hermes Agent, the Trustee, the Transferee, the Borrower and the
                Guarantor upon the execution by it of any Transfer Certificate
                together with details of the amount transferred, the Transfer
                Date and the parties to such transfer.

         17.10  DOCUMENTATION OF TRANSFER OR ASSIGNMENT

                The Borrower shall at the request of the Agent promptly execute
                or promptly procure the execution of such documents and do (or
                procure the doing of) all such acts and things as may be
                necessary or desirable to give effect to any transfer or
                assignment pursuant to this Clause 17.

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         17.11  CONTRACTS (RIGHTS OF THIRD PARTIES) ACT 1999 (THE "ACT")

                A person who is not a party to this Agreement has no right under
                the Act to enforce any term of this Agreement but this does not
                affect any right or remedy of a third party which exists or is
                available apart from the Act.

18       NOTICES

         18.1   MODE OF COMMUNICATION

                Except as otherwise provided herein, each notice, request,
                demand or other communication or document to be given or made
                hereunder shall be given in writing but unless otherwise stated,
                may be made by telefax.

         18.2   ADDRESS

                Any notice, demand or other communication (unless made by
                telefax) to be made or delivered by the Agent to the Borrower
                pursuant to this Agreement shall (unless the Borrower has by
                fifteen (15) days' written notice to the Agent specified another
                address) be made or delivered to the Borrower at 7665 Corporate
                Center Drive, Miami, Florida 33126, United States of America
                (marked for the attention of Mr Lamarr Cooler and the Legal
                Department) with a copy to the Borrower c/o Star, 25th Floor,
                Wisma Genting, Jalan Sultan Ismail, 50250 Kuala Lumpur, Malaysia
                (marked for the attention of Mr Gerard Lim). Any notice, demand
                or other communication to be made or delivered by the Borrower
                to the Agent pursuant to this Agreement shall (unless the Agent
                has by fifteen (15) days' written notice to the Borrower
                specified another address) be made or delivered to the Agent at
                its Office, the details of which are set out in Schedule 2. A
                copy of any notice to the Agent shall be delivered to the Hermes
                Agent at its Office as aforesaid.

         18.3   TELEFAX COMMUNICATION

                Any notice, demand or other communication to be made or
                delivered pursuant to this Agreement may be sent by telefax to
                the relevant telephone numbers (which at the date hereof in
                respect of the Borrower is +1 305 436 4140 (marked for the
                attention of Mr Lamarr Cooler) and +1 305 436 4117 (marked for
                the attention of the Legal Department) with a copy to +60 (0)3

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<PAGE>

                2161 3621 (marked for the attention of Mr Gerard Lim) and in the
                case of the Trustee, the Agent, the Hermes Agent or any Lender
                is as recorded in Schedule 2) specified by it from time to time
                for the purpose and shall be deemed to have been received when
                transmission of such telefax communication has been completed
                provided that if in the place of receipt the transmission is
                received outside normal business hours on a Business Day or not
                on a Business Day the transmission shall be deemed to have been
                received at the commencement of the next Business Day. Each such
                telefax communication, if made to the Agent or any Lender by the
                Borrower, shall be signed by the person or persons authorised in
                writing by the Borrower and whose signature appears on the list
                of specimen signatures contained in the secretary's certificate
                required to be delivered by paragraph 2 of Schedule 4 and shall
                be expressed to be for the attention of the department or
                officer whose name has been notified for the time being for that
                purpose by the Agent or any Lender to the Borrower.

         18.4   RECEIPT

                Each such notice, demand or other communication shall be deemed
                to have been made or delivered (in the case of any letter) when
                delivered to its office for the time being or, if sent by post,
                five (5) days after being deposited in the post first class
                postage prepaid in an envelope addressed to it at that address.

         18.5   LANGUAGE

                Each notice, demand or other communication made or delivered by
                one (1) party to another pursuant to this Agreement or any other
                Security Document shall be in the English language or
                accompanied by a certified English translation. In the event of
                any conflict between the translation and the original text the
                translation shall prevail unless the original text is a
                statutory instrument, legal process or any other document of a
                similar type or a notice, demand or other communication from
                Hermes or in relation to the Hermes Cover.

19       GOVERNING LAW

         19.1   This Agreement shall be governed by English law.

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<PAGE>

20       WAIVER OF IMMUNITY

         20.1   To the extent that the Borrower may in any jurisdiction claim
                for itself or its assets immunity from suit, execution,
                attachment (whether in aid of execution, before judgment or
                otherwise) or other legal process in relation to this Agreement
                or the other Security Documents and to the extent that in any
                such jurisdiction there may be attributed to itself or its
                assets such immunity (whether or not claimed) the Borrower
                hereby irrevocably and unconditionally agrees throughout the
                Security Period not to claim and hereby irrevocably waives such
                immunity to the full extent permitted by the laws of such
                jurisdiction. In respect of any legal action or proceedings
                arising out of or in connection with any of the Security
                Documents the Borrower hereby consents generally as a matter of
                procedure in relation to the waiver of immunity (but not so as
                to prejudice any defence which it may have on the merits of the
                substantive issue) to the giving of any relief or the issue of
                any process in connection with such legal action or proceedings
                including without limitation, the making, enforcement or
                execution against any property whatsoever (irrespective of its
                uses or intended uses) of any order or judgment which may be
                made or given in such legal action or proceedings.

21       RIGHTS OF THE AGENT, THE HERMES AGENT, THE TRUSTEE AND THE LENDERS

         21.1   NO DEROGATION OF RIGHTS

                Any rights conferred on the Agent, the Hermes Agent, the Trustee
                and the Lenders or any of them by this Agreement or any other
                Security Document shall be in addition to and not in
                substitution for or in derogation of any other right which the
                Agent, the Hermes Agent, the Trustee and the Lenders or any of
                them might at any time have to seek from the Borrower or any
                other person for payment of sums due from the Borrower or
                indemnification against liabilities as a result of the
                Borrower's default in payment of sums due from it under this
                Agreement or any other Security Document.

         21.2   ENFORCEMENT OF REMEDIES

                None of the Agent, the Hermes Agent, the Trustee or the Lenders
                shall be obliged before taking steps to enforce any rights

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<PAGE>

                conferred on it by this Clause or exercising any of the rights,
                powers and remedies conferred on it hereby or by law:

                21.2.1     to take action or obtain judgment in any court
                           against the Borrower or any other person from whom it
                           may seek payment of any sum due from the Borrower
                           under this Agreement or any other Security Document;

                21.2.2     to make or file any claim in a bankruptcy,
                           winding-up, liquidation or re-organisation of the
                           Borrower or any other such person; or

                21.2.3     to enforce or seek to enforce any other rights it may
                           have against the Borrower or any other such person.

22       JURISDICTION

         22.1   The courts of England have exclusive jurisdiction to settle any
                dispute arising out of or in connection with this Agreement
                (including a dispute regarding the existence, validity or
                termination of this Agreement) (a "DISPUTE"). Each party to this
                Agreement agrees that the courts of England are the most
                appropriate and convenient courts to settle Disputes and
                accordingly no party will argue to the contrary.

                This Clause 22.1 is for the benefit of the Agent, the Hermes
                Agent, the Trustee and the Lenders only. As a result, no such
                party shall be prevented from taking proceedings relating to a
                Dispute in any other courts with jurisdiction. To the extent
                allowed by law, any such party may take concurrent proceedings
                in any number of jurisdictions.

         22.2   The Borrower may not, without the Agent's prior written consent,
                terminate the appointment of the Process Agent; if the Process
                Agent resigns or its appointment ceases to be effective, the
                Borrower shall within fourteen (14) days appoint a company which
                has premises in London and has been approved by the Agent to act
                as the Borrower's process agent with unconditional authority to
                receive and acknowledge service on behalf of the Borrower of all
                process or other documents connected with proceedings in the
                English courts which relate to this Agreement.

         22.3   For the purpose of securing its obligations under Clause 22.2,
                the Borrower irrevocably agrees that, if it for any reason fails

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<PAGE>

                to appoint a process agent within the period specified in Clause
                22.2, the Agent may appoint any person (including a company
                controlled by or associated with the Agent, the Hermes Agent,
                the Trustee or any Lender) to act as the Borrower's process
                agent in England with the unconditional authority described in
                Clause 22.2.

         22.4   No neglect or default by a process agent appointed or designated
                under this Clause (including a failure by it to notify the
                Borrower of the service of any process or to forward any process
                to the Borrower) shall invalidate any proceedings or judgment.

         22.5   The Borrower appoints in the case of the courts of England the
                Process Agent, to receive, for and on its behalf service of
                process in England of any legal proceedings with respect to this
                Agreement and any other Security Document.

         22.6   A judgment relating to this Agreement which is given or would be
                enforced by an English court shall be conclusive and binding on
                the Borrower and may be enforced without review in any other
                jurisdiction.

         22.7   Nothing in this Clause shall exclude or limit any right which
                the Agent, the Hermes Agent, the Trustee or a Lender may have
                (whether under the laws of any country, an international
                convention or otherwise) with regard to the bringing of
                proceedings, the service of process, the recognition or
                enforcement of a judgment or any similar or related matter in
                any jurisdiction.

         22.8   In this Clause "JUDGMENT" includes order, injunction,
                declaration and any other decision or relief made or granted by
                a court.

IN WITNESS whereof the parties hereto have caused this Agreement to be duly
executed as a deed on the day first written above.

THE BORROWER

SIGNED SEALED and DELIVERED as a DEED              )        P A TURNER
By PAUL TURNER                                     )
for and on behalf of                               )
SHIP HOLDING LLC                                   )
in the presence of:                                )

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<PAGE>

                           R CHEUNG
                           REGINA CHEUNG
                           TRAINEE SOLICITOR
                           STEPHENSON HARWOOD
                           ONE, ST. PAUL'S CHURCHYARD
                           LONDON EC4M 8SH

THE ARRANGERS

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
COMMERZBANK AKTIENGESELLSCHAFT                                )
Hamburg Branch                                                )
in the presence of:                                           )
                           R CHEUNG
                           AS ABOVE

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
HSBC BANK PLC                                                 )
in the presence of:                                           )
                           R CHEUNG
                           AS ABOVE

THE LENDERS

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
COMMERZBANK AKTIENGESELLSCHAFT                                )
Bremen Branch                                                 )
in the presence of:                                           )
                           R CHEUNG
                           AS ABOVE

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
HSBC BANK PLC                                                 )
in the presence of:                                           )
                           R CHEUNG
                           AS ABOVE

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
KFW                                                           )
in the presence of:                                           )
                           R CHEUNG
                           AS ABOVE

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<PAGE>

THE AGENT

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
HSBC BANK PLC                                                 )
in the presence of:                                           )
                           R CHEUNG
                           AS ABOVE

THE HERMES AGENT

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
COMMERZBANK AKTIENGESELLSCHAFT                                )
in the presence of:                                           )
                           R CHEUNG
                           AS ABOVE

THE TRUSTEE

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
HSBC BANK PLC                                                 )
in the presence of:                                           )
                           R CHEUNG
                           AS ABOVE

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<PAGE>

                                   SCHEDULE 1

                            PARTICULARS OF ARRANGERS

COMMERZBANK AKTIENGESELLSCHAFT
Global Shipping
Hamburg Branch
Ness 7-9
20457 Hamburg
Federal Republic of Germany

Attn:    Mr Stefan Kuch/Mr Christian Renke
Email:   shipfinance@commerzbank.com

HSBC BANK PLC
Project and Export Finance
8 Canada Square
London E14 5HQ

Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

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                                   SCHEDULE 2

             PARTICULARS OF AGENT, HERMES AGENT, TRUSTEE AND LENDERS

NAME AND ADDRESS

AGENT

HSBC BANK PLC
Project and Export Finance
8 Canada Square
London E14 5HQ

Fax:     +44 (0)20 7992 4428
Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

HERMES AGENT

COMMERZBANK
AKTIENGESELLSCHAFT
Corporate Banking
Financial Engineering
Structured Export and Trade Finance
Kaiserplatz
60261 Frankfurt am Main
Federal Republic of Germany

Fax:     +49 69 1362 3742
Attn:    Mr Klaus-Dieter Schmedding
Email:   exportfinance@commerzbank.com

TRUSTEE

HSBC BANK PLC
Project and Export Finance
8 Canada Square
London E14 5HQ

Fax:     +44 (0)20 7992 4428
Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

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<PAGE>

NAME AND ADDRESS                               CONTRIBUTION
                                               IN (EURO) OR USD EQUIVALENT OF
                                               (EURO)

LENDERS

COMMERZBANK                                    90,300,000
AKTIENGESELLSCHAFT
Bremen Branch
Schusselkorb 5-11
28195 Bremen
Federal Republic of Germany

Fax:     +49 421 3633504
Attn:    Mr Wolfgang Schmidt
Email:   wolfgang.schmidt3@commerzbank.com

HSBC BANK PLC                                  90,300,000
Project and Export Finance
8 Canada Square
London E14 5HQ

Fax:     +44 (0)20 7992 4428
Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

KFW                                            77,400,000
(formerly known as
Kreditanstalt fur Wiederaufbau)
Palmengartenstrasse 5-9
60325 Frankfurt am Main
Federal Republic of Germany

Fax:     +49 69 7431 2944
Attn:    Mr Wolfgang Pfisterer
Email:   wolfgang.pfisterer@kfw.de

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                                   SCHEDULE 3

                               NOTICE OF DRAWDOWN

                                  CLAUSE 2.3.1

From:    SHIP HOLDING LLC
         Corporation Trust Center
         1209 Orange Street
         Wilmington
         Delaware 19801
         United States of America

To:      HSBC BANK PLC
         Project and Export Finance
         8 Canada Square
         London E14 5HQ

         Attn: Mr Alan Marshall

                                                                         200[ ]

Dear Sirs

LOAN AGREEMENT DATED 4 APRIL 2003 AND AMENDED AND RESTATED BY AN AGREEMENT DATED
            2004 (THE "LOAN AGREEMENT")

We refer to the Loan Agreement pursuant to which you have agreed to advance to
us the Facility on the terms and conditions set out therein.

Terms and expressions defined in the Loan Agreement shall have the same
respective meanings when used in this notice.

We hereby give you notice that we wish to draw down [the Equivalent Amount of]
[[ ] Euro ((EURO)[ ]) being the amount of Tranche [ ] of Portion 1] [and] [[ ]
Euro ((EURO)[ ]) being an amount of part of Portion 2] under Clause 2.3 of the
Loan Agreement on [ ] 200[ ].

[Tranche [ ] of Portion 1 in the amount of [ ] Euro ((EURO)[ ]) is to be paid to
the Builder's account referred to in clause 11.5 of the Building Contract at:

[                    ]]

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<PAGE>

[Portion 2 in the amount of [ ] Euro ((EURO)[ ]) is to be paid on our behalf to
the Builder's account referred to above in part payment of the third
pre-redelivery instalment due to the Builder pursuant to the Building Contract.]

We attach a Certified Copy of such documents as we have received from [the
Builder pursuant to the Building Contract in evidence of the instalment due]
[and] [[the Hermes Agent][Hermes] in evidence of the Hermes Premium payable].

We confirm that:

(i)      all of the representations and warranties contained in Clause 9 of the
         Loan Agreement remain true and correct;

(ii)     no Possible Event of Default or Event of Default has occurred;

(iii)    subject to Clause 5.3.1 of the Loan Agreement, the first Interest
         Period shall be of [three (3) six (6)] months' duration; [and]

(iv)     [Tranche [ ] of Portion 1 will be applied in [part] financing the
         [third/fourth/fifth/sixth/seventh/eighth] [pre-redelivery] [redelivery]
         instalment due to the Builder pursuant to the Building Contract]
         PROVIDED THAT if the Builder is not entitled pursuant to the Building
         Contract to utilise any part of Portion 1 drawn down hereunder that
         amount will be returned by us to the Agent and applied in accordance
         with Clause 4.7 of the Loan Agreement [Portion 2 is in reimbursement to
         us of eighty per cent (80%) of the Hermes Premium already paid PROVIDED
         THAT if the amount of the Hermes Premium is reduced and the amount of
         the reduction is paid to us, eighty per cent (80%) of the amount of the
         reduction will be returned by us to the Agent and applied in accordance
         with Clause 4.7 of the Loan Agreement];

(v)      [twenty per cent (20%) of the Contract Price has been or will have been
         paid on the First Drawdown Date;]

(vi)     [the scheduled Redelivery Date of the Vessel is [ ] 2004];] and

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<PAGE>

(vii)    [upon application of Tranche 7 of Portion 1 hereby requested to be
         drawn down in the manner hereinbefore appearing all sums owing to the
         Builder under the Building Contract shall have been fully and finally
         paid].

Yours faithfully
SHIP HOLDING LLC

-----------------------------
By:

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<PAGE>

                                   SCHEDULE 4

                              CONDITIONS PRECEDENT

                                   CLAUSE 2.7

The Loan is expressly conditional upon the Agent having received in such form
and substance as it shall require:

A        ON THE DATE OF THE ORIGINAL LOAN AGREEMENT

BORROWER

1        Certified Copies of any consents required from any ministry,
         governmental, financial or other authority for the execution of and
         performance by the Borrower of its obligations under this Agreement and
         each of the Security Documents or if no such consents are required a
         secretary's certificate of the Borrower to this effect confirming that
         no such consents are required.

2        Notarially attested secretary's certificate for the Borrower:

         (A)      attaching a copy of its Certificate of Formation and Limited
                  Company Agreement evidencing power to:

                  (i)      enter into the transactions contemplated in this
                           Agreement and in the other Security Documents and to
                           buy ships and enter into arrangements for the
                           chartering and management thereof; and

                  (ii)     borrow money in the amount referred to in this
                           Agreement and as security therefor to mortgage or
                           charge assets;

         (B)      giving the names of the present management committee members
                  and officers;

         (C)      setting out specimen signatures of persons who would be
                  authorised to sign documents or otherwise perform the
                  Borrower's obligations under the Security Documents;

         (D)      giving the name of the Member and the amount of the Member's
                  Membership Interest;

                                      126
<PAGE>

         (E)      attaching copies of resolutions of the management committee of
                  the Borrower duly adopted by the Member authorising the
                  borrowing of the Loan, the granting of the Mortgages and the
                  execution of this Agreement and such of the other Security
                  Documents to which the Borrower is a party and the issue of
                  any power of attorney to execute the same; and

         (F)      containing a declaration of solvency as at the date of the
                  secretary's certificate.

3        Where the secretary's certificate referred to in paragraph 2 of this
         Schedule 4 is dated more than five (5) Business Days prior to the date
         of the Original Loan Agreement, a bringdown certificate, which need not
         be notarially attested if signed by the same person that signed the
         secretary's certificate referred to in paragraph 2 of this Schedule 4.

4        The original power of attorney issued pursuant to (A) the resolutions
         referred to above and (B) paragraph 2(C) above, notarially attested.

STAR, MEMBER, SUPERVISOR AND BUILDER

5        Notarially attested secretary's certificate for each of the above:

         (A)      attaching a copy of its Certificate of Incorporation and
                  Memorandum and Articles of Association evidencing power to
                  enter into the transactions contemplated by this Agreement;

         (B)      giving the names of the present officers and directors;

         (C)      setting out specimen signatures of persons who would be
                  authorised to sign documents or otherwise perform obligations
                  under the Security Documents;

         (D)      attaching copies of resolutions passed at a duly convened
                  meeting of the directors approving the granting and the
                  execution of the documents whose execution is contemplated
                  hereby, insofar as they relate to it and the issue of any
                  power of attorney to execute the same; and

         (E)      containing a declaration of solvency as at the date of the
                  secretary's certificate.

6        Where the secretary's certificate referred to in paragraph 5 of this
         Schedule 4 is dated more than five (5) Business Days prior to the date

                                      127
<PAGE>

         of the Original Loan Agreement, a bringdown certificate, which need not
         be notarially attested if signed by the same person that signed the
         secretary's certificate referred to in paragraph 5 of this Schedule 4.

7        The original powers of attorney issued pursuant to (A) the resolutions
         referred to above and (B) paragraph 5(C) above, notarially attested.

GENERAL

8        Confirmation from the Process Agent that it will act for each of the
         Obligors and, if necessary, the Builder as agent for service of process
         in England.

9        Opinions from lawyers appointed by the Agent including English, Isle of
         Man, Bermudan, German and United States lawyers as to any of the
         foregoing matters or otherwise as the Agent may require in the form
         required by the Agent.

10       Certified Copy of the Building Contract including all addenda.

11       Certified Copy of the Supervision Agreement.

12       Certified Copy of the Refund Guarantee.

13       Certified Copy of the Pre-Redelivery Performance Guarantee and evidence
         of payment in full of the premium therefor.

14       Agency and Trust Deed duly executed.

15       Co-ordination Deed duly executed.

16       Guarantee duly executed.

17       Charge duly executed.

18       Certified Copy of the Commercial Loan Agreement.

19       Copies of the audited consolidated report and accounts of Star for 2001
         and the unaudited consolidated accounts of the Group and the unaudited
         accounts of the Borrower for the financial year quarter to 30 September
         2002.

20       Copies of all UCC-1 Financing Statements filed with the Secretary of
         State of Delaware.

21       Evidence that the withholding tax exemption applies for each of the
         Lenders.

                                      128
<PAGE>

22       Payment of all fees under Clause 13.

B        AT LEAST FIVE (5) BUSINESS DAYS BEFORE EACH DRAWDOWN DATE IN RESPECT OF
         PORTION 1 AND PORTION 2

23       Drawdown notice duly executed by the Borrower in the form of Schedule
         3.

24       In the case of Portion 1, a Certified Copy of such documents as are
         received by the Borrower from the Builder pursuant to the Building
         Contract in evidence of the instalment due.

25       In the case of Portion 2, a Certified Copy of such documents as are
         received by the Borrower from Hermes or the Hermes Agent in evidence of
         the Hermes Premium payable.

C        ON THE FIRST DRAWDOWN DATE

26       Certified Copy of the Hermes Cover.

27       Certified Copy of the "EXPORTEURGARANTIE" to be given by the Builder in
         favour of the Hermes Agent.

28       Confirmation of the Commercial Loan Agent that all conditions precedent
         to drawdown of the Commercial Loan have been satisfied.

29       Evidence of the payment by the Borrower to the Builder of not less than
         twenty per cent (20%) of the Contract Price pursuant to the Building
         Contract.

30       First Pre-Redelivery Mortgage duly executed and lodged for registration
         in the Shipbuilding Register in Bremerhaven.

31       Earnings Assignment duly executed.

32       Building Contract, Refund Guarantee and Performance Guarantees
         Assignment duly executed.

33       Construction Risks Insurance Assignment duly executed.

34       Supervision Agreement Assignment duly executed.

                                      129
<PAGE>

35       Telefax confirmations from the insurance brokers through whom any
         insurances have been placed by the Builder and the Borrower in respect
         of the Vessel during the Completion Period that the insurances have
         been placed and upon receipt of a notice of assignment of the
         insurances they will issue letters of undertaking in the form approved
         by the Agent.

36       Written confirmation from the Agent's insurance advisers that the
         Insurances are in a form satisfactory to the Agent.

37       Notarially attested bringdown certificate in respect of the Borrower,
         the Supervisor and the Builder.

38       Opinion from German lawyers appointed by the Agent as to due
         registration of the Vessel and due registration of the First
         Pre-Redelivery Mortgage or otherwise as the Agent may require in the
         form required by the Agent.

D        ON EACH DRAWDOWN DATE IN RESPECT OF PORTION 2

39       Evidence of the payment by the Borrower of the Hermes Premium (or
         relevant part thereof).

E        ON THE REDELIVERY DATE

40       Such evidence as the Agent may require that the Vessel is:

         (A)      registered in the name of the Borrower under the laws and flag
                  of the United States of America, free from all liens and
                  encumbrances except the Post Redelivery Mortgage;

         (B)      classified with the highest classification available free of
                  all recommendations and qualifications with Det Norske Veritas
                  and American Bureau of Shipping;

         (C)      insured in accordance with the terms of the Security
                  Documents; and

         (D)      managed by the Manager and the Sub-Agent pursuant to the
                  Management Agreement and the Sub-Agency Agreement.

41       Certified Copy of the Builder's Certificate.

                                      130
<PAGE>

42       Certified Copy of the unconditional protocol of redelivery and
         acceptance duly signed by the Builder and the Borrower.

43       Certified Copy of the certificate of warranty from the Builder stating
         that the Vessel is free from all encumbrances on the Redelivery Date.

44       Certified Copy of the Post Redelivery Performance Guarantee and
         evidence of payment in full of the premium therefor.

45       Copies of valid trading and other certificates to be produced by the
         Builder pursuant to the Building Contract.

46       Post Redelivery Mortgage duly executed and lodged for recordation at
         the relevant authority of the United States of America.

47       Certified Copy of the advance foreign transfer approval obtained from
         the Maritime Administration of the United States of America ("MARAD").
         This Marad pre-approval will have been issued for the benefit of the
         Trustee and the Commercial Loan Trustee and its successors and assigns
         pursuant to sections 9(c) and (e) of the Shipping Act, 1916, as
         amended, of the United States of America to transfer the Vessel to a
         foreign registry in the case of (A) the occurrence of an Event of a
         Default or (B) a foreclosure of the Post Delivery Mortgage or (C) the
         Vessel ceasing to be employed in regular service in Hawaii and no
         longer being eligible to engage in the coastwise transportation of
         passengers for hire as set forth in Public Law 108-7 of the United
         States of America.

48       Insurance Assignment duly executed.

49       Telefax confirmations from the insurance brokers for marine risks (hull
         and machinery) and the managers of any protection and indemnity or war
         risks association through whom any Insurances have been placed in
         respect of the Vessel that the Insurances have been placed and upon
         receipt of a notice of assignment of the Insurances they will issue
         letters of undertaking in the form approved by the Agent.

50       Written confirmation from the Agent's insurance advisers that the
         Insurances are in a form satisfactory to the Agent.

51       Certified Copy of the Management Agreement.

52       Certified Copy of the Sub-Agency Agreement.

                                      131
<PAGE>

53       Management Agreement Assignment duly executed.

54       Sub-Agency Agreement Assignment duly executed.

55       Account Charge duly executed.

56       Evidence that the Operating Account has been opened for receipt of the
         Earnings of the Vessel in accordance with Clause 7.6.

57       Opinion from lawyers appointed by the Agent as to due registration of
         the Vessel and due registration of the Post Redelivery Mortgage or
         otherwise as the Agent may require in the form required by the Agent.

58       Evidence of the payment by the Borrower of the Hermes Premium in full.

59       Notarially attested bringdown certificate in respect of the Borrower.

60       Notarially attested secretary's certificate for each of the Manager and
         the Sub-Agent:

         (A)      attaching a copy of its Certificate of Incorporation and its
                  Memorandum of Association and Bye-Laws (or equivalent
                  documents) evidencing power to enter into the transactions
                  contemplated by this Agreement;

         (B)      giving the names of the present officers and directors;

         (C)      setting out specimen signatures of persons who would be
                  authorised to sign documents or otherwise perform obligations
                  under the Security Documents;

         (D)      attaching copies of resolutions passed at a duly convened
                  meeting of the directors approving the granting and the
                  execution of the documents whose execution is contemplated
                  hereby, insofar as they relate to it and the issue of any
                  power of attorney to execute the same; and

         (E)      containing a declaration of solvency as at the date of the
                  secretary's certificate.

61       Where the secretary's certificate referred to in paragraph 60 of this
         Schedule 4 is dated more than ten (10) Business Days prior to the
         Redelivery Date, a bringdown certificate, which need not be notarially
         attested if signed by the same person that signed the secretary's
         certificate referred to in paragraph 60 of this Schedule 4.

                                      132
<PAGE>

62       The original powers of attorney issued pursuant to (A) the resolutions
         referred to above and (B) paragraph 60(C) above, notarially attested.

63       Confirmation from the Process Agent that it will act for the Manager as
         agent for service of process in England.

64       Copies of all UCC-1 Financing Statements filed with the Secretary of
         State of Delaware.

65       Payment of all fees due under Clause 13.

66       A Certified Copy of the carrier initiative agreement executed pursuant
         to the Post Redelivery Mortgage.

67       A Certified Copy of any current certificate of financial responsibility
         in respect of the Vessel issued under OPA.

68       A Certified Copy of a valid safety management certificate (or interim
         safety management certificate) issued to the Vessel in respect of its
         management by the Manager pursuant to the ISM Code.

69       A Certified Copy of a valid document of compliance (or interim document
         of compliance) issued to the Manager in respect of ships of the same
         type as the Vessel pursuant to the ISM Code.

70       A Certified Copy of a valid international ship security certificate
         issued to the Vessel in accordance with the ISPS Code.

                                      133
<PAGE>

                                   SCHEDULE 5

                           CONFIDENTIALITY UNDERTAKING

                            [On Bank's Headed Paper]

To:      SHIP HOLDING LLC
         Corporation Trust Center
         1209 Orange Street
         Wilmington
         Delaware 19801
         United States of America
         (the "BORROWER")

         HSBC BANK PLC
         Project and Export Finance
         8 Canada Square
         London E14 5HQ
         Attn:    Mr Alan Marshall
         (the "AGENT")

SHIP HOLDING LLC
DOLLAR EQUIVALENT OF (EURO)258,000,000 TERM LOAN (THE "FACILITY")
FORM OF CONFIDENTIALITY UNDERTAKING

1        We hereby undertake that we will keep confidential and will not make
         use of for any purposes (other than for the purposes of the Facility)
         all information delivered to us in connection with the Facility and all
         information obtained by us in the course of discussions with the Agent,
         the Borrower or any other party involved with the Facility
         (collectively the "INFORMATION") until and save to the extent that the
         Information has been released into the public domain. However, we shall
         be entitled to supply the Information to:

         (A)      professional advisers solely for use in connection with the
                  Facility after drawing to the attention of those advisers the
                  content of the undertaking as to confidentiality given by us
                  and after obtaining similar undertakings from them; and

         (B)      any third party where we have been authorised in writing to do
                  so by the Borrower; and

                                      134
<PAGE>

         (C)      subject to giving reasonable prior notice to the Borrower, to
                  any banking or regulatory authority to which we are subject
                  after drawing to the attention of such authority the content
                  of the undertaking as to confidentiality given by us; and

         (D)      pursuant to subpoena or other legal process and pursuant to
                  any law or regulation having the force of law.

2        We further undertake that if we decide not to participate in the
         Facility, we will return to the Agent the originals and additional
         copies or extracts made therefrom and all documentary Information
         delivered to us by the Agent in relation to the Facility and/or the
         Borrower (including any supplied to third parties as contemplated in
         paragraph 1).

For and on behalf of
BANK NAME:

-----------------------------
By

Date:

                                      135
<PAGE>

                                   SCHEDULE 6

                              TRANSFER CERTIFICATE

Lenders are advised not to employ Transfer Certificates or otherwise to assign
or transfer interests in the Loan Agreement without further ensuring that the
transaction complies with all applicable laws and requisitions, including the
Financial Services Act 1986 and regulations made thereunder and similar statutes
which may be in force in other jurisdictions.

TO:      HSBC Bank plc (the "AGENT") as agent on its own behalf and for and on
         behalf of the Arrangers, the Hermes Agent, the Trustee, the Borrower
         and the Lenders as defined in the Loan Agreement referred to below

Attention:        [                ]

                                                                           Date:

This certificate (the "TRANSFER CERTIFICATE") relates to a loan agreement dated
4 April 2003 and amended and restated by an agreement dated           2004 (as
the same may from time to time be further amended, supplemented and/or novated
the "LOAN AGREEMENT") made between (among others) (1) Ship Holding LLC as
borrower (the "Borrower") (2) the banks and financial institutions referred to
therein as lenders (the "LENDERS") (3) the Agent (4) Commerzbank
Aktiengesellschaft (the "HERMES AGENT") and (5) HSBC Bank plc (the "TRUSTEE")
whereby the Lenders have agreed to make available to the Borrower a term loan
facility in the amount of up to two hundred and fifty eight million Euro
((EURO)258,000,000) and/or the Equivalent Amount thereof. Terms defined in the
Loan Agreement shall, unless otherwise defined herein, have the same meanings
herein as therein.

In this Transfer Certificate:

the "TRANSFEROR" means [full name] of [Office];

the "TRANSFEREE" means [full name] of [Office].

1        The Transferor with full title guarantee transfers to the Transferee
         absolutely in accordance with Clause 17.5 of the Loan Agreement all
         rights and interests (present, future or contingent) which the
         Transferor has as Lender under or by virtue of the Loan Agreement and

                                      136
<PAGE>

         all the other Security Documents insofar as such rights and interests
         relate to [that portion of its Contribution to the Loan in an amount
         equal to [[ ] Dollars (USD[ ]) [and [ ] Euro ((EURO)[ ])] out of its
         total Contribution which at the date hereof is [ ] Dollars (USD[ ])
         [and [ ] Euro ((EURO)[ ])] or [that portion of its Commitment to the
         Facility in an amount of [ ] Euro ((EURO)[ ]) or an amount in Dollars
         equal to [ ] Euro ((EURO)[ ]) out of its total Commitment which at the
         date hereof is [ ] Euro ((EURO)[ ]) in Euro and/or in Dollars].

2        By virtue of this Transfer Certificate and Clause 17.5 of the Loan
         Agreement, the Transferor is discharged entirely with effect from the
         Transfer Date from [that portion of its Contribution to the Loan and
         its obligations relating thereto to the extent of [[ ] Dollars (USD[ ])
         and [ ] Euro ((EURO)[ ]) out of its total Contribution at such date] or
         [that portion of its Commitment to the Facility and its obligations
         relating thereto to the extent of [ ] Euro ((EURO)[ ]) in Euro and/or
         in Dollars out of its total Commitment at such date].

3        The Transferee hereby requests:

         (A)      the Borrower, the Agent, the Hermes Agent, the Trustee, the
                  Arrangers and the Lenders to accept the executed copies of
                  this Transfer Certificate as being delivered pursuant to and
                  for the purposes of Clause 17.5 of the Loan Agreement; and

         (B)      the Agent to execute this Transfer Certificate on behalf of
                  itself and the other said parties pursuant to Clause 17.8 of
                  the Loan Agreement so that this Transfer Certificate will take
                  effect in accordance with the terms thereof on [specify date
                  of transfer] [or] [the date on which the Agent receives a
                  certificate signed by [the Transferor] confirming that the
                  following conditions have been fulfilled [specify conditions
                  to transfer].

4        The Transferee:

         (A)      confirms that it has received a copy of the Loan Agreement,
                  the Agency and Trust Deed and the other Security Documents
                  together with such other documents and information as it has
                  required in connection with the transaction contemplated
                  thereby;

                                      137
<PAGE>

         (B)      confirms that it has not relied and will not hereafter rely on
                  the Transferor, the Trustee, the Agent, the Arrangers, the
                  Lenders or the Hermes Agent to check or enquire on its behalf
                  into the legality, validity, effectiveness, adequacy, accuracy
                  or completeness of the Loan Agreement, the Agency and Trust
                  Deed or any other of the Security Documents or any other
                  documents or information;

         (C)      agrees that it has not relied and will not rely on the
                  Transferor, the Trustee, the Agent, the Arrangers, the Lenders
                  or the Hermes Agent to assess or keep under review on its
                  behalf the financial condition, creditworthiness, condition,
                  affairs, status or nature of the Borrower or any other party
                  to the Loan Agreement or any other of the Security Documents
                  (save as otherwise expressly provided therein);

         (D)      warrants that it has power and authority to become a party to
                  the Loan Agreement and the Agency and Trust Deed and has taken
                  all necessary action to authorise execution of this Transfer
                  Certificate and to obtain all necessary approvals and consents
                  to the assumption of its obligations under the Loan Agreement,
                  the Agency and Trust Deed and the other Security Documents;

         (E)      if not already a Lender, appoints the Agent to act as its
                  agent (except in relation to the Hermes Cover), the Hermes
                  Agent to act as its agent in relation to the Hermes Cover and
                  the Trustee to act as its trustee as provided in the Loan
                  Agreement, the Agency and Trust Deed and the other Security
                  Documents and agrees to be bound by the terms of Clause 17.8
                  of the Loan Agreement and by all the terms of the Agency and
                  Trust Deed.

5        The Transferor:

         (A)      warrants to the Transferee that it has full power to enter
                  into this Transfer Certificate and has taken all corporate
                  action necessary to authorise it to do so;

         (B)      warrants to the Transferee that this Transfer Certificate is
                  binding on the Transferor under the laws of (i) England (ii)
                  the country in which the Transferor is incorporated and (iii)
                  the country in which its Office is located; and

         (C)      agrees that it will, at its own expense, execute any documents
                  which the Transferee reasonably requests for perfecting in any
                  relevant jurisdiction the Transferee's title under this
                  Transfer Certificate or for any similar purpose.

                                      138
<PAGE>

6        The Transferee hereby undertakes to the Transferor and each of the
         other parties to the Loan Agreement and the Agency and Trust Deed that
         it will perform in accordance with its terms all those obligations
         which by the terms of the Loan Agreement and the Agency and Trust Deed
         will be assumed by it after the transfer contemplated by this Transfer
         Certificate has taken effect.

7        If a Transferor and a Transferee effect a transfer in accordance with
         Clause 3 of this Transfer Certificate during an Interest Period, the
         Agent shall make all payments which would have become due to the
         Transferor under the Loan Agreement during the relevant Interest Period
         to the Transferor, as if no such transfer had been effected by the
         Transferor to the Transferee, according to the percentages of the
         Transferor's Contribution and/or Commitment transferred and retained
         pursuant to Clauses 1 and 2 of this Transfer Certificate, and the
         Transferor and the Transferee shall be responsible for paying to each
         other pro rata all amounts (if any) due to them from each other for
         such Interest Period. On and from the commencement of the immediately
         succeeding Interest Period, the Agent shall make all payments due under
         the Loan Agreement for the account of the Transferor, to the
         Transferor, and shall make all payments due under the Loan Agreement
         for the account of the Transferee, to the Transferee. This provision is
         for administrative convenience only and shall not affect the rights of
         the Transferor and the Transferee under the Loan Agreement.

8        None of the Transferor, the Agent, the Hermes Agent, the Trustee, the
         Arrangers or the Lenders:

         (A)      makes any representation or warranty nor assumes any
                  responsibility with respect to the legality, validity,
                  effectiveness, adequacy or enforceability of the Loan
                  Agreement, the Agency and Trust Deed or any other of the
                  Security Documents or any document relating thereto;

         (B)      assumes any responsibility for the financial condition of the
                  Borrower or any other party to the Loan Agreement, the Agency
                  and Trust Deed or any other of the Security Documents or any
                  such other document or for the performance and observance by
                  the Borrower or any other party to the Loan Agreement, the
                  Agency and Trust Deed or any other of the Security Documents
                  or any such other document (save as otherwise expressly
                  provided therein) and any and all such conditions and
                  warranties, whether expressed or implied by law or otherwise,
                  are hereby excluded (except as aforesaid).

                                      139
<PAGE>

9        The Transferor and the Transferee each undertakes that it will on
         demand fully indemnify the Agent in respect of any claim, proceeding,
         liability or expense which relates to or results from this Transfer
         Certificate or any matter connected with or arising out of it unless
         caused by the Agent's gross negligence or wilful misconduct, as the
         case may be.

10       The agreements and undertaking of the Transferee in this Transfer
         Certificate are given to and for the benefit of and made with each of
         the other parties to the Loan Agreement.

11       This Transfer Certificate shall be governed by, and construed in
         accordance with, English law.

IN WITNESS whereof the Transferor, the Transferee and the Agent (as agent for
and on behalf of itself as Agent, the Hermes Agent, the Trustee, the Arrangers,
the Borrower and the Lenders (other than the Transferor)) have caused this
Transfer Certificate to be executed on the day first written above.

THE TRANSFEROR

SIGNED by                                   )
                                            )
for and on behalf of                        )
[              ]                            )
in the presence of:                         )

THE TRANSFEREE

SIGNED by                                   )
                                            )
for and on behalf of                        )
[              ]                            )
in the presence of:                         )

                                      140
<PAGE>

THE AGENT

SIGNED by                                   )
                                            )
for and on behalf of                        )
[              ]                            )
as agent for and on behalf                  )
of itself as Agent,                         )
the Hermes Agent, the Trustee,              )
the Arrangers, the Borrower,                )
the Guarantor and the Lenders               )
in the presence of:                         )

NOTE:    The execution of this Transfer Certificate alone may not transfer a
         proportionate share of the Transferor's interest in the security
         constituted by the Security Documents in the Transferor's or
         Transferee's jurisdiction. It is the responsibility of each individual
         Lender to ascertain whether any other documents are required to perfect
         a transfer of such a share in the Transferor's interest in such
         security in any such jurisdiction, and, if so, to seek appropriate
         advice and arrange for execution of the same.

                                      141
<PAGE>

                                    SCHEDULE

                      ADMINISTRATIVE DETAILS OF TRANSFEREE

Name of Transferee:

Office:

Contact Person
(Loan Administration Department):

Telephone:

Fax:

E-mail:

Contact Person
(Credit Administration Department):

Telephone:

Fax:

E-mail:

Account for Payments:

                                      142
<PAGE>

                                   SCHEDULE 7

                          FORM OF NOTICE OF FIXED RATE

To:      SHIP HOLDING LLC (the "BORROWER")
         Corporation Trust Center
         1209 Orange Street
         Wilmington
         Delaware 19801
         United States of America

From:    HSBC BANK PLC (the "FACILITY AGENT")
         Project and Export Finance
         8 Canada Square
         London E14 5HQ

         Attn:    Mr Alan Marshall

LOAN AGREEMENT DATED 4 APRIL 2003 AND AMENDED AND RESTATED BY AN AGREEMENT DATED
           2004 BETWEEN (AMONG OTHERS) (1) THE BORROWER (2) THE LENDERS (3) THE
AGENT (4) THE HERMES AGENT AND (5) THE TRUSTEE (THE "LOAN AGREEMENT") RELATING
TO THE FINANCING OF THE COMPLETION OF A VESSEL IDENTIFIED WITH NO 7671 AND
WORKING TITLE "PROJECT AMERICA" AT LLOYD WERFT BREMERHAVEN GMBH

The Agent hereby gives notice to the Borrower that, pursuant to Clause 5.5
(Fixed Rate) of the Loan Agreement, the Borrower shall from [date] 2004 pay
interest on the outstanding amount of the Loan at the Fixed Rate of [ ] per cent
([o]%) per annum.

Capitalised terms used herein shall have the same meanings as in the Loan
Agreement.

Date:                         2004

----------------------------
HSBC BANK PLC
By:

Agreed:

----------------------------
SHIP HOLDING LLC
By:

                                      143
<PAGE>

                                   SCHEDULE 8

           CHARTERING OF THE SIX VESSELS (AS DEFINED IN CLAUSE 10.6.4)
<TABLE>
<CAPTION>

VESSEL                      NEW OWNER                      DAILY HIRE      REDELIVERING         TRANSFER VALUE
--------------------------- ------------------------------ --------------- -------------------- ---------------------
<S>                         <C>                             <C>            <C>                  <C>
Norwegian Sea               Ocean Pacific Limited                    [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------
Norwegian Majesty           Ocean Voyager Limited                    [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------
Norwegian Wind              Crown Wind Limited                       [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------
Norwegian Crown             Crown Odyssey Limited                    [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------
Norwegian Dream             Ocean Dream Limited                      [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------
Marco Polo                  Ocean World Limited                      [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------

</TABLE>

                                      144

<PAGE>
SECOND SUPPLEMENTAL AGREEMENT TO THE LOAN AGREEMENT

DATED  1 JULY 2004

BETWEEN:

(1)      SHIP HOLDING LLC of Corporation Trust Center, 1209 Orange Street,
         Wilmington, Delaware 19801, United States of America as borrower (the
         "BORROWER");

(2)      NCL CORPORATION LTD. of Reid Hall, 3 Reid Street, Hamilton HM 11,
         Bermuda (the "GUARANTOR");

(3)      THE SEVERAL BANKS particulars of which are set out in Schedule 1 as
         arrangers (collectively the "ARRANGERS" and each individually an
         "ARRANGER");

(4)      THE SEVERAL BANKS particulars of which are set out in Schedule 2 as
         lenders (collectively the "LENDERS" and each individually a "LENDER");

(5)      HSBC BANK PLC of 8 Canada Square, London E14 5HQ as agent (the
         "AGENT");

(6)      COMMERZBANK AKTIENGESELLSCHAFT of Kaiserplatz, 60311 Frankfurt am Main,
         Federal Republic of Germany as agent (the "HERMES AGENT"); and

(7)      HSBC BANK PLC of 8 Canada Square, London E14 5HQ as trustee (the
         "TRUSTEE").

WHEREAS:

(A)      By a loan agreement dated 4 April 2003 as amended and restated by a
         first supplemental agreement dated 20 April 2004 (the "ORIGINAL LOAN
         AGREEMENT") entered into between (among others) the Borrower, the
         Lenders, the Agent, the Hermes Agent and the Trustee, the Lenders
         granted to the Borrower a secured loan in the maximum amount of the
         equivalent in Dollars and/or Euro of two hundred and fifty eight
         million Euro ((EURO)258,000,000) (the "LOAN") to part-finance the
         completion by the Builder of the Vessel for the Contract Price (as such
         term is defined in the Original Loan Agreement) on the terms and
         conditions therein contained. The repayment of the Loan by the Borrower
         has been secured by (among other things) a guarantee and indemnity
         dated 23 April 2004 granted by the Guarantor.

(B)      During the night of 13/14 January 2004, the Vessel went aground at the
         Builder's pier (the "INCIDENT"). The Vessel and the Builder's premises
         were considerably damaged.

<PAGE>

(C)      On 9 February 2004 the Builder filed for insolvency. The insolvency
         proceedings commenced on 1 June 2004 by way of insolvency in
         self-administration. Mr Wolfgang van Betteray Dipl.-Kfm. (the
         "SACHWALTER") was appointed custodian (Sachwalter) of the Builder with
         the power of disposal over the accounts of the Builder.

(D)      Pursuant to an insurance settlement agreement dated 25 June 2004 (the
         "INSURANCE SETTLEMENT AGREEMENT") between Basler Securitas
         Versicherungs-Aktiengesellschaft (for itself and as leading underwriter
         in the name of and on the account of the co-insurers of the Vessel (the
         "INSURERS")), the Builder and the Borrower, it has been agreed that the
         Insurers will pay the proceeds of the Builder's and the Borrower's
         claim in respect of the Incident which occurred during the night of
         13/14 January 2004 when the Vessel went aground at the Builder's pier
         to an account opened in the name of the Sachwalter. The account has
         been charged to the Trustee as security for the obligations of the
         Borrower under the Loan Agreement pursuant to a deed of charge dated 25
         June 2004.

(E)      By a third addendum (the "THIRD ADDENDUM") to the Building Contract (as
         defined in the Original Loan Agreement) (the "ORIGINAL BUILDING
         CONTRACT", and together with the Third Addendum and all and any further
         amendments, modifications, alterations and agreements supplemental
         thereto the "BUILDING CONTRACT") to be made between the Builder and the
         Borrower, the Builder will (with the approval of the Sachwalter)
         reaffirm the Original Building Contract on the terms and conditions
         therein stated and therefore the Builder will be obliged to restore and
         complete the Vessel for the Borrower in accordance with the Original
         Building Contract as amended by the Third Addendum.

(F)      Pursuant to the Insurance Settlement Agreement and the Third Addendum,
         among other things, the amounts of and the dates of payment for the
         instalments of the Contract Price payable by the Borrower to the
         Builder under the Original Building Contract will be amended and the
         Date for Completion (as defined in the Original Building Contract) will
         be extended to 6 June 2005.

(G)      The consent of the Lenders, the Agent, the Hermes Agent and the Trustee
         is given in respect of the above matters referred to in recital (F) on
         the terms of this second supplement to the Original Loan Agreement
         (this "DEED"). This Deed shall be executed as a deed.

NOW THIS DEED WITNESSES as follows:

                                       2
<PAGE>

1        DEFINITIONS AND CONSTRUCTION

         1.1      In this Deed including the preamble and recitals hereto
                  (unless the context otherwise requires) any term or expression
                  defined in the preamble or the recitals shall have the meaning
                  ascribed to it therein and terms and expressions not defined
                  herein but whose meanings are defined in the Loan Agreement
                  shall have the meanings set out therein. In addition, the
                  following terms and expressions shall have the meanings set
                  out below:

                  "LOAN AGREEMENT" means the Original Loan Agreement as amended
                  by this Deed; and

                  "EFFECTIVE DATE" means the date on which the conditions
                  precedent set out in Clause 3.1 are fulfilled to the
                  satisfaction of the Agent.

         1.2      The provisions of Clauses 1.2 and 1.3 of the Original Loan
                  Agreement as amended by this Deed shall apply hereto (mutatis
                  mutandis).

2        AMENDMENT OF ORIGINAL LOAN AGREEMENT AND SECURITY DOCUMENTS

         2.1      The parties hereto agree that immediately upon and with effect
                  from the Effective Date the Original Loan Agreement shall be
                  read and construed as if:

                  2.1.1    the definition of "BUILDING CONTRACT" in clause 1.1
                           thereof had been deleted and substituted with the
                           following:

                           ""BUILDING CONTRACT" MEANS THE AMENDED AND RESTATED
                           SHIPBUILDING CONTRACT DATED AS OF 5 FEBRUARY 2003
                           BETWEEN THE BORROWER AND THE BUILDER (BEING AN
                           AMENDMENT AND RESTATEMENT OF THE SHIPBUILDING
                           CONTRACT DATED 28 DECEMBER 2000 BETWEEN NCLL AND THE
                           BUILDER AS NOVATED BY A CONTRACT DATED 5 FEBRUARY
                           2003 BETWEEN NCLL, THE BORROWER AND THE BUILDER) AS
                           AMENDED BY A FIRST ADDENDUM THERETO DATED 7 MARCH
                           2003, A SECOND ADDENDUM THERETO DATED 14 MARCH 2003
                           AND A THIRD ADDENDUM THERETO DATED 1 JULY 2004 FOR
                           THE COMPLETION AND REDELIVERY OF THE VESSEL AND
                           SPECIFICATION NO 4-00910 DATED 5 FEBRUARY 2003;";

                  2.1.2    the definition of "CONTRACT PRICE" in clause 1.1
                           thereof had been deleted and substituted with the
                           following:

                                       3
<PAGE>

                           ""CONTRACT PRICE" MEANS THREE HUNDRED AND SIX MILLION
                           FIVE HUNDRED AND FIFTY THOUSAND EURO
                           ((EURO)306,550,000) BEING THE PRICE AGREED BETWEEN
                           THE BUILDER AND THE BORROWER FOR THE COMPLETION OF
                           THE VESSEL UNDER CLAUSE 11.1 OF THE BUILDING
                           CONTRACT;";

                  2.1.3    a new definition of "INCIDENT" had been inserted in
                           clause 1.1 thereof which read as follows:

                           ""INCIDENT" MEANS THE INCIDENT WHICH OCCURRED DURING
                           THE NIGHT OF 13/14 JANUARY 2004 WHEN THE VESSEL WENT
                           AGROUND AT THE BUILDER'S PIER;";

                  2.1.4    a new definition of "INSURANCE PROCEEDS ACCOUNT
                           CHARGE" had been inserted in clause 1.1 thereof which
                           read as follows:

                           ""INSURANCE PROCEEDS ACCOUNT CHARGE" MEANS THE CHARGE
                           DATED 25 JUNE 2004 OVER THE ACCOUNT OF MR WOLFGANG
                           VAN BETTERAY DIPL.-KFM., THE CUSTODIAN (SACHWALTER)
                           OF THE BUILDER (IN INSOLVENCY) WITH COMMERZBANK
                           AKTIENGESELLSCHAFT, BREMEN BRANCH INTO WHICH THE
                           PROCEEDS OF THE INSURANCES IN RESPECT OF THE INCIDENT
                           WILL BE PAID, GIVEN BY THE SAID MR WOLFGANG VAN
                           BETTERAY DIPL.-KFM. IN FAVOUR OF THE TRUSTEE, SUCH
                           CHARGE BEING IN THE FORM AND ON THE TERMS AND
                           CONDITIONS REQUIRED BY THE AGENT AND THE HERMES
                           AGENT;";

                  2.1.5    A NEW DEFINITION OF "INSURANCE SETTLEMENT AGREEMENT"
                           HAD BEEN INSERTED IN CLAUSE 1.1 THEREOF WHICH READ AS
                           FOLLOWS:

                           ""INSURANCE SETTLEMENT AGREEMENT" MEANS THE AGREEMENT
                           DATED 25 JUNE 2004 BETWEEN BASLER SECURITAS
                           VERSICHERUNGS-AKTIENGESELLSCHAFT (FOR ITSELF AND AS
                           LEADING UNDERWRITER IN THE NAME OF AND ON THE ACCOUNT
                           OF THE CO-INSURERS OF THE VESSEL), THE BUILDER AND
                           THE BORROWER IN RELATION TO THE PROCEEDS OF THE
                           INSURANCES IN RESPECT OF THE INCIDENT;";

                  2.1.6    the definition of "OBLIGORS" in clause 1.1 thereof
                           had been deleted and substituted with the following:

                           ""OBLIGORS" MEANS THE BORROWER, THE GUARANTOR, THE
                           MANAGER, THE SUB-AGENT, THE SUPERVISOR, THE MEMBER
                           AND ANY OTHER PARTY FROM TIME TO TIME TO ANY OF THE
                           SECURITY DOCUMENTS EXCLUDING THE BUILDER, MR WOLFGANG

                                       4
<PAGE>

                           VAN BETTERAY DIPL.-KFM., HERMES, THE ARRANGERS, THE
                           TRUSTEE, THE AGENT, THE HERMES AGENT, THE LENDERS,
                           THE COMMERCIAL LOAN TRUSTEE, THE COMMERCIAL LOAN
                           AGENT AND THE COMMERCIAL LOAN Lenders;";

                  2.1.7    the definition of "SECURITY DOCUMENTS" in clause 1.1
                           thereof had been deleted and substituted with the
                           following:

                           ""SECURITY DOCUMENTS" MEANS THIS AGREEMENT, THE
                           GUARANTEE, THE HERMES COVER, THE BUILDING CONTRACT,
                           REFUND GUARANTEE AND PERFORMANCE GUARANTEES
                           ASSIGNMENT, THE CONSTRUCTION RISKS INSURANCE
                           ASSIGNMENT, THE SUPERVISION AGREEMENT ASSIGNMENT, THE
                           MANAGEMENT AGREEMENT ASSIGNMENT, THE SUB-AGENCY
                           AGREEMENT ASSIGNMENT, THE MORTGAGES, THE CHARGE
                           OPTION, THE CHARGE, THE EARNINGS ASSIGNMENT, THE
                           INSURANCE ASSIGNMENT, THE ACCOUNT CHARGE, THE
                           INSURANCE PROCEEDS ACCOUNT CHARGE AND ALL SUCH OTHER
                           DOCUMENTS AS MAY BE EXECUTED AT ANY TIME IN FAVOUR OF
                           (AMONG OTHERS) THE TRUSTEE, THE HERMES AGENT AND/OR
                           ANY OF THE LENDERS AS SECURITY FOR THE OBLIGATIONS OF
                           THE BORROWER, THE OTHER OBLIGORS AND THE BUILDER
                           WHETHER EXECUTED PURSUANT TO THE EXPRESS PROVISIONS
                           OF THIS AGREEMENT OR OTHERWISE HOWSOEVER;";

                  2.1.8    the definition of "TERMINATION DATE" in clause 1.1
                           thereof had been deleted and substituted with the
                           following:

                           ""TERMINATION DATE" MEANS THE EARLIER OF THE
                           REDELIVERY DATE AND 3 DECEMBER 2005 (OR SUCH LATER
                           DATE AS IS AGREED BETWEEN THE BORROWER, THE LENDERS
                           AND HERMES);";

                  2.1.9    the definitions of "TRANCHE 4", "TRANCHE 5", TRANCHE
                           6" and "TRANCHE 7" in clause 1.1 thereof had been
                           deleted and substituted with the following:

                           ""TRANCHE 4" MEANS THE AMOUNT [***] [CONFIDENTIAL
                           TREATMENT] OR THE EQUIVALENT AMOUNT THEREOF TO BE
                           APPLIED IN PAYMENT OF THE SIXTH PRE-REDELIVERY
                           INSTALMENT DUE BY THE BORROWER TO THE BUILDER UNDER
                           THE BUILDING CONTRACT TO BE ADVANCED BY THE LENDERS
                           ON A DRAWDOWN DATE BY WAY OF THEIR CONTRIBUTIONS
                           THERETO;

                                       5
<PAGE>
                           "TRANCHE 5" MEANS THE AMOUNT OF [***] [CONFIDENTIAL
                           TREATMENT] OR THE EQUIVALENT AMOUNT THEREOF TO BE
                           APPLIED IN PAYMENT OF THE SEVENTH PRE-REDELIVERY
                           INSTALMENT DUE BY THE BORROWER TO THE BUILDER UNDER
                           THE BUILDING CONTRACT TO BE ADVANCED BY THE LENDERS
                           ON A DRAWDOWN DATE BY WAY OF THEIR CONTRIBUTIONS
                           THERETO;

                           "TRANCHE 6" MEANS THE AMOUNT OF [***] [CONFIDENTIAL
                           TREATMENT] OR THE EQUIVALENT AMOUNT THEREOF TO BE
                           APPLIED IN PAYMENT OF THE EIGHTH PRE-REDELIVERY
                           INSTALMENT DUE BY THE BORROWER TO THE BUILDER UNDER
                           THE BUILDING CONTRACT TO BE ADVANCED BY THE LENDERS
                           ON A DRAWDOWN DATE BY WAY OF THEIR CONTRIBUTIONS
                           THERETO;

                           "TRANCHE 7" MEANS THE AMOUNT OF UP TO [***]
                           [CONFIDENTIAL TREATMENT] OR THE EQUIVALENT AMOUNT
                           THEREOF TO BE APPLIED IN PAYMENT OF THE NINTH
                           PRE-REDELIVERY INSTALMENT DUE BY THE BORROWER TO THE
                           BUILDER UNDER THE BUILDING CONTRACT TO BE ADVANCED BY
                           THE LENDERS ON A DRAWDOWN DATE BY WAY OF THEIR
                           CONTRIBUTIONS THERETO;

                           "TRANCHE 8" MEANS THE AMOUNT OF UP TO [***]
                           [CONFIDENTIAL TREATMENT] OR THE EQUIVALENT AMOUNT
                           THEREOF TO BE APPLIED IN PAYMENT OF THE TENTH
                           PRE-REDELIVERY INSTALMENT DUE BY THE BORROWER TO THE
                           BUILDER UNDER THE BUILDING CONTRACT TO BE ADVANCED BY
                           THE LENDERS ON A DRAWDOWN DATE BY WAY OF THEIR
                           CONTRIBUTIONS THERETO;

                           "TRANCHE 9" MEANS THE AMOUNT OF UP TO [***]
                           [CONFIDENTIAL TREATMENT] OR THE EQUIVALENT AMOUNT
                           THEREOF TO BE APPLIED IN PAYMENT OF THE REDELIVERY
                           INSTALMENT DUE BY THE BORROWER TO THE BUILDER UNDER
                           THE BUILDING CONTRACT TO BE ADVANCED BY THE LENDERS
                           ON THE REDELIVERY DATE BY WAY OF THEIR CONTRIBUTIONS
                           THERETO PROVIDED THAT THE EURO AMOUNT OF THIS TRANCHE
                           AND THE EURO AMOUNTS OF THE OTHER TRANCHES SHALL NOT
                           WHEN AGGREGATED EXCEED EIGHTY PER CENT (80%) OF THE
                           CONTRACT PRICE;";

                  2.1.10   the definition of "TRANCHES" in clause 1.1 thereof
                           had been deleted and substituted with the following:

                                       6
<PAGE>

                           ""TRANCHE" MEANS TRANCHE 1, TRANCHE 2, TRANCHE 3,
                           TRANCHE 4, TRANCHE 5, TRANCHE 6, TRANCHE 7, TRANCHE 8
                           AND/OR TRANCHE 9 OF PORTION 1;";

                  2.1.11   the definition of "TRANSACTION DOCUMENTS" in clause
                           1.1 thereof had been deleted and substituted with the
                           following:

                           ""TRANSACTION DOCUMENTS" MEANS THE SECURITY
                           DOCUMENTS, THE COMMERCIAL LOAN SECURITY DOCUMENTS,
                           THE COMMERCIAL LOAN AGREEMENT, THE BUILDING CONTRACT,
                           THE DRAWDOWN NOTICES, THE SUPERVISION AGREEMENT, THE
                           MANAGEMENT AGREEMENT, THE SUB-AGENCY AGREEMENT, THE
                           REFUND GUARANTEE, THE PERFORMANCE GUARANTEES, THE
                           INSURANCE SETTLEMENT AGREEMENT, THE CO-ORDINATION
                           DEED, THE AGENCY AND TRUST DEED AND ANY OTHER
                           MATERIAL DOCUMENT NOW OR HEREAFTER ISSUED IN
                           CONNECTION WITH THE DOCUMENTS OR THE TRANSACTION
                           HEREIN REFERRED TO AND ALSO INCLUDING ANY INTEREST
                           EXCHANGE ARRANGEMENT;";

                  2.1.12   clause 2.2.1 thereof had been deleted and substituted
                           with the following:

                           "PORTION 1 SHALL FINANCE UP TO EIGHTY PER CENT (80%)
                           OF THE CONTRACT PRICE. THE BORROWER SHALL APPLY
                           TRANCHE 1 IN PART PAYMENT OF THE THIRD PRE-REDELIVERY
                           INSTALMENT DUE TO THE BUILDER UNDER THE BUILDING
                           CONTRACT, TRANCHE 2 IN PAYMENT OF THE FOURTH
                           PRE-REDELIVERY INSTALMENT DUE TO THE BUILDER UNDER
                           THE BUILDING CONTRACT, TRANCHE 3 IN PAYMENT OF THE
                           FIFTH PRE-REDELIVERY INSTALMENT DUE TO THE BUILDER
                           UNDER THE BUILDING CONTRACT, TRANCHE 4 IN PAYMENT OF
                           THE SIXTH PRE-REDELIVERY INSTALMENT DUE TO THE
                           BUILDER UNDER THE BUILDING CONTRACT, TRANCHE 5 IN
                           PAYMENT OF THE SEVENTH PRE-REDELIVERY INSTALMENT DUE
                           TO THE BUILDER UNDER THE BUILDING CONTRACT, TRANCHE 6
                           IN PAYMENT OF THE EIGHTH PRE-REDELIVERY INSTALMENT
                           DUE TO THE BUILDER UNDER THE BUILDING CONTRACT,
                           TRANCHE 7 IN PAYMENT OF THE NINTH PRE-REDELIVERY
                           INSTALMENT DUE TO THE BUILDER UNDER THE BUILDING
                           CONTRACT, TRANCHE 8 IN PAYMENT OF THE TENTH
                           PRE-REDELIVERY INSTALMENT DUE TO THE BUILDER UNDER
                           THE BUILDING CONTRACT AND TRANCHE 9 IN PAYMENT OF THE
                           REDELIVERY INSTALMENT DUE TO THE BUILDER UNDER THE
                           BUILDING CONTRACT;"; and

                                       7
<PAGE>

                  2.1.13   the form of schedule 3 thereto had been deleted and
                           substituted with the form of Schedule 3.

         2.2      Each of the Borrower and the Guarantor hereby confirms to the
                  Lenders, the Agent, the Hermes Agent and the Trustee that with
                  effect from the Effective Date:

                  2.2.1    all references to the Original Loan Agreement in the
                           Security Documents to which it is a party shall be
                           construed as references to the Original Loan
                           Agreement as amended by this Deed and all terms used
                           in such Security Documents whose meanings are defined
                           by reference to the Original Loan Agreement shall be
                           defined by reference to the Original Loan Agreement
                           as so amended;

                  2.2.2    the Security Documents to which it is a party shall
                           apply to, and extend to secure, the whole of the
                           Outstanding Indebtedness as defined in clause 1.1 of
                           the Original Loan Agreement as amended by this Deed;

                  2.2.3    its obligations under the Security Documents to which
                           it is a party shall not be discharged, impaired or
                           otherwise affected by reason of the execution of this
                           Deed or of any of the documents contemplated hereby;
                           and

                  2.2.4    its obligations under the Security Documents to which
                           it is a party shall remain in full force and effect
                           as security for the obligations of the Borrower under
                           the Original Loan Agreement and the other Security
                           Documents as amended by this Deed.

         2.3      Except as expressly amended hereby or pursuant hereto the
                  Original Loan Agreement and the Security Documents shall
                  remain in full force and effect and nothing herein contained
                  shall relieve the Borrower or any other Obligor from any of
                  its respective obligations under any such documents.

3        CONDITIONS PRECEDENT

         3.1      The amendment of the Original Loan Agreement provided for in
                  Clause 2 is conditional upon and shall not be effective unless
                  and until the Agent has received the following in form and
                  substance satisfactory to it:

                                       8
<PAGE>

                  3.1.1    on the date of this Deed, one (1) counterpart duly
                           executed by each of the Borrower and the Guarantor of
                           this Deed;

                  3.1.2    on the date of this Deed, a Certified Copy of the
                           second supplemental agreement to the Commercial Loan
                           Agreement (as defined in the Original Loan Agreement)
                           duly executed by the Borrower and the Guarantor (the
                           amendments to be made to the Commercial Loan
                           Agreement (as defined in the Original Loan Agreement)
                           pursuant to the second supplemental agreement shall
                           be the same, mutatis mutandis, as the amendments to
                           be made to the Original Loan Agreement pursuant to
                           this Deed);

                  3.1.3    a Certified Copy of the Third Addendum;

                  3.1.4    a written confirmation from the Borrower that the
                           Addendum No 3 Effective Date (as defined in the
                           Building Contract (as defined in Clause 2.1.1) has
                           occurred;

                  3.1.5    the following corporate documents in respect of each
                           of the Borrower and the Guarantor (together the
                           "RELEVANT PARTIES"):

                           (a)      Certified Copies of any consents required
                                    from any ministry, governmental, financial
                                    or other authority for the execution of and
                                    performance by the respective Relevant Party
                                    of its obligations under this Deed or if no
                                    such consents are required a certificate
                                    from a duly appointed officer of the
                                    Relevant Party to this effect confirming
                                    that no such consents are required;

                           (b)      notarially attested secretary's certificate
                                    of each of the Relevant Parties:

                                    (i)   attaching a copy of its Certificate of
                                          Incorporation and Memorandum of
                                          Association and Bye-Laws (or
                                          equivalent constitutional documents)
                                          evidencing power to enter into the
                                          transactions contemplated in this
                                          Deed;

                                    (ii)  giving the names of its present
                                          officers and directors;

                                       9
<PAGE>

                                    (iii) setting out specimen signatures of
                                          such officers and directors as are
                                          authorised by the Relevant Party to
                                          sign documents or otherwise undertake
                                          the performance of that Relevant
                                          Party's obligations under this Deed;

                                    (iv)  giving the legal owner of its shares
                                          and the number of such shares held;

                                    (v)   attaching copies of resolutions passed
                                          at duly convened meetings of the
                                          directors and, if required by the
                                          Agent, the shareholders or members of
                                          each of the Relevant Parties
                                          authorising (as applicable) the
                                          execution of this Deed and any
                                          documents contemplated in this Deed
                                          and the issue of any power of attorney
                                          to execute the same; and

                                    (vi)  containing a declaration of solvency
                                          as at the date of the certificate of
                                          the duly appointed officer of the
                                          Relevant Party;

                  3.1.6    the original powers of attorney, if any, issued
                           pursuant to the resolutions referred to above and
                           notarially attested;

                  3.1.7    the issue of such favourable written legal opinions
                           including in respect of Delaware and Bermuda in such
                           form as the Agent may require relating to all aspects
                           of the transactions contemplated hereby governed by
                           any applicable law, and

                  PROVIDED THAT no Event of Default and no Possible Event of
                  Default has occurred and is continuing on the Effective Date
                  other than that waived by the Agent pursuant to the letters
                  dated 9 March 2004 and 20 April 2004 from the Agent to the
                  Borrower.

         3.2      If the Lenders, acting unanimously, decide (or the Agent in
                  accordance with the Agency and Trust Deed decides) to permit
                  the amendment of the Original Loan Agreement hereby without
                  having received all of the documents or evidence referred to
                  in Clause 3.1, the Borrower will nevertheless deliver the
                  remaining documents or evidence to the Agent within fourteen
                  (14) days of the Effective Date (or such other period as the
                  Agent may stipulate) and the amendment of the Original Loan
                  Agreement shall not be construed as a waiver of the Agent's

                                       10
<PAGE>

                  right to receive the documents or evidence as aforesaid nor
                  shall this provision impose on the Agent or the Lenders any
                  obligation to permit the amendment in the absence of such
                  documents or evidence.

4        REPRESENTATIONS AND WARRANTIES

         4.1      Each of the Borrower and the Guarantor represents and warrants
                  to the Lenders and the Trustee that:

                  4.1.1    it has the power to enter into and perform this Deed
                           and the transactions contemplated hereby and has
                           taken all necessary action to authorise the entry
                           into and performance of this Deed and such
                           transactions;

                  4.1.2    this Deed constitutes its legal, valid and binding
                           obligations enforceable in accordance with its terms;

                  4.1.3    its entry into and performance of this Deed and the
                           transactions contemplated hereby do not and will not
                           conflict with:

                           (a)      any law or regulation or any official or
                                    judicial order; or

                           (b)      its constitutional documents; or

                           (c)      any agreement or document to which it is a
                                    party or which is binding upon it or any of
                                    its assets,

                           nor result in the creation or imposition of any
                           Encumbrance on it or its assets pursuant to the
                           provisions of any such agreement or document and in
                           particular but without prejudice to the foregoing the
                           entry into and performance of this Deed and the
                           transactions contemplated hereby will not render
                           invalid, void or voidable any security granted by it
                           to the Trustee;

                  4.1.4    all authorisations, approvals, consents, licences,
                           exemptions, filings, registrations, notarisations and
                           other matters, official or otherwise, required in
                           connection with the entry into, performance, validity
                           and enforceability of this Deed and each of the other
                           documents contemplated hereby and the transactions
                           contemplated thereby have been obtained or effected
                           and are in full force and effect;

                                       11
<PAGE>

                  4.1.5    all information furnished by it to the Agent or its
                           agents relating to the business and affairs of an
                           Obligor in connection with this Deed and the other
                           documents contemplated hereby was and remains true
                           and correct in all material respects and there are no
                           other material facts or considerations the omission
                           of which would render any such information
                           misleading;

                  4.1.6    it has fully disclosed in writing to the Agent all
                           facts relating to its business which it knows or
                           should reasonably know and which might reasonably be
                           expected to influence the Lenders, the Agent, the
                           Hermes Agent and/or the Trustee in deciding whether
                           or not to enter into this Deed.

5        EXPENSES

         The Borrower and the Guarantor jointly and severally undertake to
         reimburse the Agent on demand on a full indemnity basis for the
         reasonable charges and expenses (together with value added tax or any
         similar tax thereon and including without limitation the fees and
         expenses of legal and other advisers) incurred by the Agent, the Hermes
         Agent or the Trustee in respect of the negotiation, preparation,
         printing, execution, registration and enforcement of this Deed and any
         other documents required in connection with the implementation of this
         Deed.

6        FURTHER ASSURANCE

         Each of the Borrower and the Guarantor will, from time to time on being
         required to do so by the Agent, do or procure the doing of all such
         acts and/or execute or procure the execution of all such documents in a
         form satisfactory to the Agent and the Hermes Agent as the Agent and
         the Hermes Agent may reasonably consider necessary for giving full
         effect to this Deed or any of the documents contemplated hereby or
         securing to the Trustee the full benefit of the rights, powers and
         remedies conferred upon the Trustee in any such document.

7        COUNTERPARTS

         This Deed may be executed in any number of counterparts and all such
         counterparts taken together shall be deemed to constitute one and the
         same agreement.

                                       12
<PAGE>

8        NOTICES

         8.1      Any notice, demand or other communication (unless made by
                  telefax) to be made or delivered to the Borrower or the
                  Guarantor pursuant to this Deed shall (unless the Borrower or
                  the Guarantor has by fifteen (15) days' written notice to the
                  Agent specified another address) be made or delivered to the
                  Borrower and/or the Guarantor c/o 7665 Corporate Center Drive,
                  Miami, Florida 33126, United States of America (marked for the
                  attention of Mr Lamarr Cooler and the Legal Department (but
                  one (1) copy shall suffice)) with a copy to c/o Star Cruises
                  Limited, 25th Floor, Wisma Genting, Jalan Sultan Ismail, 50250
                  Kuala Lumpur, Malaysia (marked for the attention of Mr Gerard
                  Lim). Any notice, demand or other communication to be made or
                  delivered by the Borrower or the Guarantor pursuant to this
                  Deed shall (unless the Agent has by fifteen (15) days' written
                  notice to the Borrower and the Guarantor specified another
                  address) be made or delivered to the Agent at its Office, the
                  details of which are set out in Schedule 2.

         8.2      Any notice, demand or other communication to be made or
                  delivered pursuant to this Deed may be sent by telefax to the
                  relevant telephone numbers (which at the date hereof in
                  respect of the Borrower and the Guarantor is +1 305 436 4140
                  (marked for the attention of Mr Lamarr Cooler) and +1 305 436
                  4117 (marked for the attention of the Legal Department) with a
                  copy to +60 3 2161 3621 (marked for the attention of Mr Gerard
                  Lim) and in the case of the Agent, the Hermes Agent, the
                  Trustee or any Lender is as recorded in Schedule 2) specified
                  by it from time to time for the purpose and shall be deemed to
                  have been received when transmission of such telefax
                  communication has been completed. Each such telefax
                  communication, if made to the Agent, the Hermes Agent, the
                  Trustee or any Lender by the Borrower or the Guarantor, shall
                  be signed by the person or persons authorised in writing by
                  the Borrower or the Guarantor (as the case may be) and whose
                  signature appears on the list of specimen signatures contained
                  in the secretary's certificate required to be delivered by
                  Clause 3 and shall be expressed to be for the attention of the
                  department or officer whose name has been notified for the
                  time being for that purpose by the Agent, the Hermes Agent,
                  the Trustee or any Lender to the Borrower and the Guarantor.

         8.3      The provisions of clauses 18.1, 18.4 and 18.5 of the Original
                  Loan Agreement as amended by this Deed shall apply to this
                  Deed.

                                       13
<PAGE>

9        GOVERNING LAW

         This Deed shall be governed by English law.

10       JURISDICTION

         10.1     The courts of England have exclusive jurisdiction to settle
                  any dispute arising out of or in connection with this Deed
                  (including a dispute regarding the existence, validity or
                  termination of this Agreement) (a "DISPUTE"). Each party to
                  this Deed agrees that the courts of England are the most
                  appropriate and convenient courts to settle Disputes and
                  accordingly no party will argue to the contrary.

                  This Clause 10.1 is for the benefit of the Agent and the
                  Lenders only. As a result, no such party shall be prevented
                  from taking proceedings relating to a Dispute in any other
                  courts with jurisdiction. To the extent allowed by law, any
                  such party may take concurrent proceedings in any number of
                  jurisdictions.

         10.2     Neither the Borrower nor the Guarantor may, without the
                  Agent's prior written consent, terminate the appointment of
                  the Process Agent; if the Process Agent resigns or its
                  appointment ceases to be effective, the Borrower and/or the
                  Guarantor (as the case may be) shall within fourteen (14) days
                  appoint a company which has premises in London and has been
                  approved by the Agent to act as the Borrower's and/or the
                  Guarantor's (as the case may be) process agent with
                  unconditional authority to receive and acknowledge service on
                  behalf of the Borrower and/or the Guarantor of all process or
                  other documents connected with proceedings in the English
                  courts which relate to this Deed.

         10.3     For the purpose of securing its obligations under Clause 10.2,
                  each of the Borrower and the Guarantor irrevocably agrees
                  that, if it for any reason fails to appoint a process agent
                  within the period specified in Clause 10.2, the Agent may
                  appoint any person (including a company controlled by or
                  associated with the Agent or any Lender) to act as the
                  Borrower's or the Guarantor's (as the case may be) process
                  agent in England with the unconditional authority described in
                  Clause 10.2.

         10.4     No neglect or default by a process agent appointed or
                  designated under this Clause (including a failure by it to
                  notify the Borrower or the Guarantor (as the case may be) of
                  the service of any process or to forward any process to the

                                       14
<PAGE>

                  Borrower or the Guarantor (as the case may be)) shall
                  invalidate any proceedings or judgment.

         10.5     Each of the Borrower and the Guarantor appoints in the case of
                  the courts of England the Process Agent to receive, for and on
                  its behalf service of process in England of any legal
                  proceedings with respect to this Deed.

         10.6     A judgment relating to this Deed which is given or would be
                  enforced by an English court shall be conclusive and binding
                  on the Borrower and/or the Guarantor (as the case may be) and
                  may be enforced without review in any other jurisdiction.

         10.7     Nothing in this Clause shall exclude or limit any right which
                  the Agent or a Lender may have (whether under the laws of any
                  country, an international convention or otherwise) with regard
                  to the bringing of proceedings, the service of process, the
                  recognition or enforcement of a judgment or any similar or
                  related matter in any jurisdiction.

         10.8     In this Clause "JUDGMENT" includes order, injunction,
                  declaration and any other decision or relief made or granted
                  by a court.

IN WITNESS whereof the parties hereto have caused this Deed to be duly executed
as a deed on the day first written above.

SIGNED SEALED and DELIVERED as a DEED                )
by PAUL ALAN TURNER                                  )        P.A. TURNER
for and on behalf of                                 )
SHIP HOLDING LLC                                     )
in the presence of:                                  )
                           CLARE GASKELL
                           CLARE GASKELL

SIGNED SEALED and DELIVERED as a DEED                )
by PAUL ALAN TURNER                                  )        P.A. TURNER
for and on behalf of                                 )
NCL CORPORATION LTD.                                 )
in the presence of:                                  )
                           CLARE GASKELL
                           CLARE GASKELL

                                       15
<PAGE>

SIGNED SEALED and DELIVERED as a DEED                   )
by CHRISTOPH BENEKE / STEFAN KUCH                       )     C. BENKE S. KUCH
for and on behalf of                                    )
COMMERZBANK AKTIENGESELLSCHAFT                          )
Hamburg Branch                                          )
as an Arranger                                          )     H. SCHEFE
in the presence of:        H SCHEFE                     )
                                    HOUKA SCHEFE

SIGNED SEALED and DELIVERED as a DEED                   )
by CHRISTOPHER GEOFFREY POCOCK                          )     C. POCOCK
for and on behalf of                                    )
HSBC BANK PLC                                           )
as an Arranger                                          )
in the presence of:                                     )
                           NIGEL GROOM
                                    NIGEL GROOM

SIGNED SEALED and DELIVERED as a DEED                   )     W. SCHMIDT
by WOLFGANG SCHMIDT / SIEGFRIED HOFFMANN                )
for and on behalf of                                    )     S. HOFFMAN
COMMERZBANK AKTIENGESELLSCHAFT                          )
Bremen Branch                                           )
as a Lender                                             )
in the presence of:        WOLFGANG GESTWIG             )
                         WOLFGANG GESTWIG               )

SIGNED SEALED and DELIVERED as a DEED                   )
by CHRISTOPHER GEOFFREY POCOCK                          )     G. POCOCK
for and on behalf of                                    )
HSBC BANK PLC                                           )
as a Lender                                             )
in the presence of:
                           NIGEL GROOM
                                    NIGEL GROOM

SIGNED SEALED and DELIVERED as a DEED                    )
by ANDREAS UIBELEIEN /WOLFGANG PFISTERER                 )    A. UIBELEISN
for and on behalf of                                     )
KFW                                                      )    W. PFISTERER
as a Lender                                              )
in the presence of:        R. STEIN         RITA STEIN   )

                                       16
<PAGE>

SIGNED SEALED and DELIVERED as a DEED                     )
by CHRISTOPHER GEOFFREY POCOCK                            )
for and on behalf of                                      )        G. POCOCK
HSBC BANK PLC                                             )
as the Agent                                              )
in the presence of:        NIGEL GROOM                    )
                                    NIGEL GROOM           )

SIGNED SEALED and DELIVERED as a DEED                     )
by HANS-ULRICH BETZOLOLT    KLAUS-DIETER SCHISMEDALING    )
for and on behalf of                                      ) H. BETZOLOLT
COMMERZBANK AKTIENGESELLSCHAFT                            ) K. SCHISMEDALING
as the Hermes Agent                                       )
in the presence of:                                       )

SIGNED SEALED and DELIVERED as a DEED                     )
by CHRISTOPHER GEOFFREY POCOCK                            )
for and on behalf of                                      )        G. POCOCK
HSBC BANK PLC                                             )
as the Trustee                                            )
in the presence of:                                       )
                            NIGEL GROOM
                                    NIGEL GROOM

                                       17
<PAGE>

                                   SCHEDULE 1

                            PARTICULARS OF ARRANGERS

COMMERZBANK AKTIENGESELLSCHAFT
Global Shipping
Hamburg Branch
Ness 7-9
20457 Hamburg
Federal Republic of Germany

Attn:    Mr Stefan Kuch/Mr Christian Renke
Email:   shipfinance@commerzbank.com

HSBC BANK PLC
Project and Export Finance
8 Canada Square
London E14 5HQ

Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

                                       18
<PAGE>

                                   SCHEDULE 2

             PARTICULARS OF AGENT, HERMES AGENT, TRUSTEE AND LENDERS

NAME AND ADDRESS

AGENT

HSBC BANK PLC
Project and Export Finance
8 Canada Square
London E14 5HQ

Fax:     +44 (0)20 7992 4428
Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

HERMES AGENT

COMMERZBANK
AKTIENGESELLSCHAFT
Corporate Banking
Financial Engineering
Structured Export and Trade Finance
Kaiserplatz
60261 Frankfurt am Main
Federal Republic of Germany

Fax:     +49 69 1362 3742
Attn:    Mr Klaus-Dieter Schmedding
Email:   exportfinance@commerzbank.com

TRUSTEE

HSBC BANK PLC
Project and Export Finance
8 Canada Square
London E14 5HQ

Fax:     +44 (0)20 7992 4428
Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

                                       19
<PAGE>

NAME AND ADDRESS

LENDERS

COMMERZBANK
AKTIENGESELLSCHAFT
Bremen Branch
Schusselkorb 5-11
28195 Bremen
Federal Republic of Germany

Fax:     +49 421 3633504
Attn:    Mr Wolfgang Schmidt
Email:   wolfgang.schmidt3@commerzbank.com

HSBC BANK PLC
Project and Export Finance
8 Canada Square
London E14 5HQ

Fax:     +44 (0)20 7992 4428
Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

KFW
(formerly known as
Kreditanstalt fur Wiederaufbau)
Palmengartenstrasse 5-9
60325 Frankfurt am Main
Federal Republic of Germany

Fax:     +49 69 7431 2944
Attn:    Mr Wolfgang Pfisterer
Email:   wolfgang.pfisterer@kfw.de

                                       20
<PAGE>

                                   SCHEDULE 3

                               NOTICE OF DRAWDOWN

                                  CLAUSE 2.3.1

From:    SHIP HOLDING LLC
         Corporation Trust Center
         1209 Orange Street
         Wilmington
         Delaware 19801
         United States of America

To:      HSBC BANK PLC
         Project and Export Finance
         8 Canada Square
         London E14 5HQ

         Attn:    Mr Alan Marshall

                                                                          200[ ]

Dear Sirs

LOAN AGREEMENT DATED 4 APRIL 2003 AS AMENDED AND RESTATED BY AN AGREEMENT DATED
20 APRIL 2004 AND AS AMENDED BY AN AGREEMENT DATED 2004 (THE "LOAN AGREEMENT")

We refer to the Loan Agreement pursuant to which you have agreed to advance to
us the Facility on the terms and conditions set out therein.

Terms and expressions defined in the Loan Agreement shall have the same
respective meanings when used in this notice.

We hereby give you notice that we wish to draw down [the Equivalent Amount of]
[[       ] Euro ((EURO)[         ]) being the amount of Tranche [        ] of
Portion 1] [and] [[      ] Euro ((EURO)[         ]) being an amount of part of
Portion 2] under Clause 2.3 of the Loan Agreement on [   ] 200[ ].

[Tranche [       ] of Portion 1 in the amount of [       ] Euro ((EURO)[    ])
is to be paid to the Builder's account referred to in clause 11.5 of the
Building Contract at:

[                           ]]

                                       21
<PAGE>

[Portion 2 in the amount of [ ] Euro ((EURO)[ ]) is to be paid on our behalf to
the Builder's account referred to above in part payment of the third
pre-redelivery instalment due to the Builder pursuant to the Building Contract.]

We attach a Certified Copy of such documents as we have received from [the
Builder pursuant to the Building Contract in evidence of the instalment due]
[and] [[the Hermes Agent][Hermes] in evidence of the Hermes Premium payable].

We confirm that:

(i)      all of the representations and warranties contained in Clause 9 of the
         Loan Agreement remain true and correct;

(ii)     no Possible Event of Default or Event of Default has occurred;

(iii)    subject to Clause 5.3.1 of the Loan Agreement, the first Interest
         Period shall be of [three (3) six (6)] months' duration; [and]

(iv)     [Tranche [   ] of Portion 1 will be applied in [part] financing the
         [third/fourth/fifth/sixth/seventh/eighth/ninth/tenth] [pre-redelivery]
         [redelivery] instalment due to the Builder pursuant to the Building
         Contract] PROVIDED THAT if the Builder is not entitled pursuant to the
         Building Contract to utilise any part of Portion 1 drawn down hereunder
         that amount will be returned by us to the Agent and applied in
         accordance with Clause 4.7 of the Loan Agreement [Portion 2 is in
         reimbursement to us of eighty per cent (80%) of the Hermes Premium
         already paid PROVIDED THAT if the amount of the Hermes Premium is
         reduced and the amount of the reduction is paid to us, eighty per cent
         (80%) of the amount of the reduction will be returned by us to the
         Agent and applied in accordance with Clause 4.7 of the Loan Agreement];

(v)      [twenty per cent (20%) of the Contract Price has been or will have been
         paid on the First Drawdown Date;]

(vi)     [the Builder has [not] increased the value of the Insurances under the
         Building Contract to three hundred and fifty million Dollars
         (USD350,000,000);]

(vii)    [the Builder had [not] increased the value of the Insurances under the
         Building Contract to three hundred and fifty million Dollars
         (USD350,000,000) by 31 December 2004;]

(viii)   [the scheduled Redelivery Date of the Vessel is [      ] 2005];] and

                                       22
<PAGE>

(ix)     [upon application of Tranche 9 of Portion 1 hereby requested to be
         drawn down in the manner hereinbefore appearing all sums owing to the
         Builder under the Building Contract shall have been fully and finally
         paid].

Yours faithfully
SHIP HOLDING LLC

-----------------------
By:

                                       23
<PAGE>

CONFORMED COPY

                                DATED 1 JULY 2004

                                SHIP HOLDING LLC
                                  (AS BORROWER)

                              NCL CORPORATION LTD.
                                 (AS GUARANTOR)

                         COMMERZBANK AKTIENGESELLSCHAFT
                                 HAMBURG BRANCH
                                  HSBC BANK PLC
                                 (AS ARRANGERS)

                         COMMERZBANK AKTIENGESELLSCHAFT
                                  BREMEN BRANCH
                                  HSBC BANK PLC
                                       KFW
                                  (AS LENDERS)

                                  HSBC BANK PLC
                                   (AS AGENT)

                         COMMERZBANK AKTIENGESELLSCHAFT
                                (AS HERMES AGENT)

                                  HSBC BANK PLC
                                  (AS TRUSTEE)

   --------------------------------------------------------------------------

                   SECOND SUPPLEMENT TO SECURED LOAN AGREEMENT
              DATED 4 APRIL 2003 (AS AMENDED AND RESTATED) FOR THE
                              EQUIVALENT AMOUNT IN
                   UNITED STATES DOLLARS AND/OR EURO OF UP TO
           (EURO)258,000,000 PRE- AND POST REDELIVERY FINANCE FOR ONE
                        1,075 CABIN LUXURY CRUISE VESSEL
           IDENTIFIED WITH NO 7671 AND WORKING TITLE "PROJECT AMERICA"
                   AT THE YARD OF LLOYD WERFT BREMERHAVEN GMBH
                            (TBN "PRIDE OF AMERICA")
    -------------------------------------------------------------------------

                               STEPHENSON HARWOOD
                           ONE, ST. PAUL'S CHURCHYARD
                                 LONDON EC4M 8SH
                            TEL: +44 (0)20 7329 4422
                            FAX: +44 (0)20 7606 0822
                           REF: 1253/41-25887/42-03105

<PAGE>

                                    CONTENTS

<TABLE>
<CAPTION>
                                                                                                           PAGE
                                                                                                           ----

<S>               <C>                                                                                        <C>
1                 Definitions and Construction................................................................3

2                 Amendment of Original Loan Agreement and Security Documents.................................3

3                 Conditions Precedent........................................................................8

4                 Representations and Warranties.............................................................11

5                 Expenses...................................................................................12

6                 Further Assurance..........................................................................12

7                 Counterparts...............................................................................12

8                 Notices....................................................................................13

9                 Governing Law..............................................................................14

10                Jurisdiction...............................................................................14

Schedule 1        Particulars of Arrangers...................................................................18

Schedule 2        Particulars of Agent, Hermes Agent, Trustee and Lenders....................................19

Schedule 3        Notice of Drawdown.........................................................................21

</TABLE>
<PAGE>
CONFORMED COPY

                               DATED 4 APRIL 2003
          AND AMENDED AND RESTATED BY AN AGREEMENT DATED 20 APRIL 2004

                                SHIP HOLDING LLC
                                  (AS BORROWER)

                         COMMERZBANK AKTIENGESELLSCHAFT
                                 HAMBURG BRANCH
                                  HSBC BANK PLC
                                 (AS ARRANGERS)

                         COMMERZBANK AKTIENGESELLSCHAFT
                                  BREMEN BRANCH
                                  HSBC BANK PLC
                                       KFW
                                  (AS LENDERS)

                                  HSBC BANK PLC
                                   (AS AGENT)

                         COMMERZBANK AKTIENGESELLSCHAFT
                                (AS HERMES AGENT)

                                  HSBC BANK PLC
                                  (AS TRUSTEE)

               --------------------------------------------------

                             SECURED LOAN AGREEMENT
               FOR THE EQUIVALENT AMOUNT IN UNITED STATES DOLLARS
                            OF UP TO (EURO)40,000,000
                        PRE- AND POST REDELIVERY FINANCE
                    FOR ONE 1,075 CABIN LUXURY CRUISE VESSEL
           IDENTIFIED WITH NO 7671 AND WORKING TITLE "PROJECT AMERICA"
                   AT THE YARD OF LLOYD WERFT BREMERHAVEN GMBH
                            (TBN "PRIDE OF AMERICA")
              ----------------------------------------------------

                               STEPHENSON HARWOOD
                            ONE ST PAUL'S CHURCHYARD
                                 LONDON EC4M 8SH
                            TEL: +44 (0)20 7329 4422
                            FAX: + 44 (0)20 7606 0822
                           REF: 1253/41-25887/42-02591

<PAGE>

                                    CONTENTS
<TABLE>
<CAPTION>

                                                                                                           PAGE
                                                                                                           ----

<S>      <C>                                                                                                 <C>
1        Definitions and Construction.........................................................................1
         1.1      Definitions.................................................................................1
         1.2      Construction...............................................................................24
         1.3      Agent and Trustee..........................................................................25

2        The Facility........................................................................................26
         2.1      Availability...............................................................................26
         2.2      Purpose and Application....................................................................26
         2.3      Drawdown...................................................................................26
         2.4      Payment of Facility........................................................................27
         2.5      Break costs on failure to draw.............................................................27
         2.6      Conditions of drawdown.....................................................................28
         2.7      Several obligations of the Lenders.........................................................28
         2.8      Lender's failure to perform................................................................28
         2.9      Fulfilment of conditions after drawdown....................................................28

3        Repayment...........................................................................................29

4        Prepayment..........................................................................................29
         4.1      Voluntary prepayment.......................................................................29
         4.2      Voluntary prepayment in case of increased cost.............................................29
         4.3      Mandatory prepayment in case of illegality.................................................29
         4.4      Voluntary prepayment following imposition of Substitute Basis..............................30
         4.5      Prepayment in case of Total Loss of the Vessel.............................................30
         4.6      Prepayment in case of sale of the Vessel...................................................31
         4.7      Effect of prepayment.......................................................................31
         4.8      Break costs on prepayment..................................................................31

5        Interest............................................................................................32
         5.1      Payment of interest........................................................................32
         5.2      Selection and duration of Interest Periods.................................................32
         5.3      No notice and unavailability...............................................................32
         5.4      Separate Interest Periods for Instalments..................................................33
         5.5      Extension and shortening of Interest Periods...............................................33
         5.6      Interest Rate..............................................................................33
         5.7      Bank basis.................................................................................33
         5.8      Default interest...........................................................................34

6        Substitute Basis of Funding.........................................................................35
         6.1      Market disturbance.........................................................................35
         6.2      Suspension of drawdown.....................................................................35
         6.3      Certificates of Substitute Basis...........................................................36
         6.4      Review.....................................................................................36

7        Payments............................................................................................36
         7.1      Place for payment..........................................................................36

</TABLE>

                                       i
<PAGE>
<TABLE>
<CAPTION>

                                                                                                           PAGE
                                                                                                           ----

<S>      <C>                                                                                                 <C>

         7.2      Deductions and grossing-up.................................................................37
         7.3      Production of receipts for Taxes...........................................................39
         7.4      Money of account...........................................................................39
         7.5      Accounts...................................................................................40
         7.6      Earnings...................................................................................40
         7.7      Continuing security........................................................................40

8        Yield Protection and Force Majeure..................................................................41
         8.1      Increased costs............................................................................41
         8.2      Force majeure..............................................................................43

9        Representations and Warranties......................................................................44
         9.1      Duration...................................................................................44
         9.2      Representations and warranties.............................................................44
         9.3      Representations on the Redelivery Date.....................................................51

10       Undertakings........................................................................................52
         10.1     Duration...................................................................................52
         10.2     Information................................................................................52
         10.3     Notification of default....................................................................53
         10.4     Consents and registrations.................................................................53
         10.5     Negative pledge............................................................................54
         10.6     Disposals..................................................................................54
         10.7     Change of business.........................................................................55
         10.8     Mergers....................................................................................55
         10.9     Maintenance of status and franchises.......................................................56
         10.10    Financial records..........................................................................56
         10.11    Financial indebtedness and subordination of indebtedness...................................57
         10.12    Pooling of earnings and charters...........................................................57
         10.13    Loans and guarantees by the Borrower.......................................................58
         10.14    Management.................................................................................59
         10.15    Acquisition of shares......................................................................59
         10.16    Trading with the United States of America..................................................59
         10.17    Further assurance..........................................................................59
         10.18    Valuation of the Vessel....................................................................60
         10.19    Marginal security..........................................................................61
         10.20    Performance of employment contracts........................................................61
         10.21    Insurances.................................................................................63
         10.22    Operation and maintenance of the Vessel....................................................69
         10.23    Hermes Cover paramount.....................................................................75
         10.24    Dividends..................................................................................75

11       Default.............................................................................................75
         11.1     Events of default..........................................................................75
         11.2     Acceleration...............................................................................82
         11.3     Default indemnity..........................................................................82
         11.4     Set-off....................................................................................83

12       Application of Funds................................................................................83
         12.1     Total Loss proceeds/proceeds of sale/Event of Default monies...............................83
</TABLE>

                                       ii
<PAGE>
<TABLE>
<CAPTION>

                                                                                                           PAGE
                                                                                                           ----

<S>      <C>                                                                                                 <C>

         12.2     General funds..............................................................................85
         12.3     Application of proceeds of Insurances......................................................86
         12.4     Suspense account...........................................................................87

13       Fees................................................................................................87

14       Expenses............................................................................................87
         14.1     Initial expenses...........................................................................87
         14.2     Enforcement expenses.......................................................................87
         14.3     Stamp duties...............................................................................87

15       Waivers, Remedies Cumulative........................................................................88
         15.1     No waiver..................................................................................88
         15.2     Remedies cumulative........................................................................88
         15.3     Severability...............................................................................88
         15.4     Time of essence............................................................................88

16       Counterparts........................................................................................89

17       Assignment..........................................................................................89
         17.1     Benefit of agreement.......................................................................89
         17.2     No transfer by the Borrower................................................................89
         17.3     Assignments, participations and transfers by a Lender......................................89
         17.4     Effectiveness of transfer..................................................................89
         17.5     Transfer of rights and obligations.........................................................90
         17.6     Consent and increased obligations of the Borrower..........................................91
         17.7     Disclosure of information..................................................................91
         17.8     Transfer Certificate to be executed by the Agent...........................................91
         17.9     Notice of Transfer Certificates............................................................92
         17.10    Documentation of transfer or assignment....................................................92
         17.11    Contracts (Rights of Third Parties) Act 1999 (the "Act")...................................92

18       Notices.............................................................................................92
         18.1     Mode of communication......................................................................92
         18.2     Address....................................................................................93
         18.3     Telefax communication......................................................................93
         18.4     Receipt....................................................................................94
         18.5     Language...................................................................................94

19       Governing Law.......................................................................................94

20       Waiver of Immunity..................................................................................94

21       Rights of the Agent, the Trustee and the Lenders....................................................95
         21.1     No derogation of rights....................................................................95
         21.2     Enforcement of remedies....................................................................95

22       Jurisdiction........................................................................................95
</TABLE>

                                       iii
<PAGE>
<TABLE>
<CAPTION>

                                                                                                           PAGE
                                                                                                           ----

<S>      <C>                                                                                                 <C>

Schedule 1        Particulars of Arrangers..................................................................100

Schedule 2        Particulars of Agent, Hermes Agent, Trustee and Lenders...................................101

Schedule 3        Notice of Drawdown........................................................................103

Schedule 4        Conditions Precedent......................................................................105

Schedule 5        Confidentiality Undertaking...............................................................112

Schedule 6        Transfer Certificate......................................................................114

Schedule 7        Chartering of the Six Vessels (as defined in Clause 10.6.4)...............................121

</TABLE>

                                       iv
<PAGE>

THIS LOAN AGREEMENT is made the 4 day of April 2003 and amended and restated by
an agreement made the 20 day of April 2004

BETWEEN:

(1)      SHIP HOLDING LLC of Corporation Trust Center, 1209 Orange Street,
         Wilmington, Delaware 19801, United States of America as borrower (the
         "BORROWER");

(2)      THE SEVERAL BANKS particulars of which are set out in Schedule 1 as
         arrangers (collectively the "Arrangers" and each individually an
         "ARRANGER");

(3)      THE SEVERAL BANKS particulars of which are set out in Schedule 2 as
         lenders (collectively the "Lenders" and each individually a "LENDER");

(4)      HSBC BANK PLC of 8 Canada Square, London E14 5HQ as agent (the
         "AGENT"); and

(5)      COMMERZBANK AKTIENGESELLSCHAFT of Kaiserplatz, 60311 Frankfurt am Main,
         Federal Republic of Germany as agent (the "HERMES AGENT"); and

(6)      HSBC BANK PLC of 8 Canada Square, London E14 5HQ as trustee (the
         "TRUSTEE").

WHEREAS:

The Arrangers have agreed on the terms and subject to the conditions set out in
this Agreement to arrange a loan in the Equivalent Amount of up to forty million
Euro ((EURO)40,000,000) to be made by the Lenders to the Borrower to
part-finance the completion by the Builder of the Vessel for the Contract Price
and the Hermes Premium.

NOW IT IS HEREBY AGREED as follows:

1        DEFINITIONS AND CONSTRUCTION

         1.1      DEFINITIONS

                  In this Agreement:

                 "ACCOUNT CHARGE"                 means the charge over the
                                                  Operating Account, to be given
                                                  by the Borrower in favour of
                                                  the Trustee and the Hermes
                                                  Loan Trustee (together with
                                                  the notice and acknowledgement

                                       1
<PAGE>

                                                  thereof), such charge, notice
                                                  and acknowledgement to be
                                                  substantially in the form and
                                                  on the terms and conditions
                                                  required by the Agent, the
                                                  Hermes Agent and the Hermes
                                                  Loan Agent and agreed on the
                                                  signing of the Original Loan
                                                  Agreement and as specified in
                                                  paragraph 40 of Schedule 4;

                 "AGENCY AND TRUST DEED"          means the deed dated 4 April
                                                  2003 entered into by the
                                                  Lenders, the Agent, the Hermes
                                                  Agent, the Trustee, the Hermes
                                                  Loan Lenders, the Hermes Loan
                                                  Agent and the Hermes Loan
                                                  Trustee whereby the Agent and
                                                  the Hermes Agent will be
                                                  appointed as agents of the
                                                  Lenders, the Hermes Loan Agent
                                                  will be appointed as agent of
                                                  the Hermes Loan Lenders and
                                                  the Trustee and the Hermes
                                                  Loan Trustee will be appointed
                                                  as trustees for the Agent, the
                                                  Hermes Agent, the Lenders, the
                                                  Hermes Loan Agent and the
                                                  Hermes Loan Lenders;

                 "AGREEMENT"                      means this agreement;

                 "ARRASAS"                        means Arrasas Limited of
                                                  International House, Castle
                                                  Hill, Victoria Road, Douglas,
                                                  Isle of Man IM2 4RB, British
                                                  Isles;

                 "ASSOCIATED COMPANY"             in relation to any company,
                                                  means any company which is a
                                                  Subsidiary or Holding Company
                                                  of that company or the
                                                  majority of whose shares are
                                                  beneficially owned by the same
                                                  person or persons as own the
                                                  majority of the shares of that
                                                  company;

                 "BUILDER"                        means Lloyd Werft Bremerhaven
                                                  GmbH (in receivership) of
                                                  Bruckenstrasse 25, P O Box

                                       2
<PAGE>

                                                  120542, 27519 Bremerhaven,
                                                  Federal Republic of Germany,
                                                  the shipbuilder completing the
                                                  Vessel pursuant to the
                                                  Building Contract;

                 "BUILDING CONTRACT"              means the amended and restated
                                                  shipbuilding contract dated as
                                                  of 5 February 2003 between the
                                                  Borrower and the Builder
                                                  (being an amendment and
                                                  restatement of the
                                                  shipbuilding contract dated 28
                                                  December 2000 between NCLL and
                                                  the Builder as novated by a
                                                  contract dated 5 February 2003
                                                  between NCLL, the Borrower and
                                                  the Builder) as amended by a
                                                  first addendum thereto dated 7
                                                  March 2003 and a second
                                                  addendum thereto dated 14
                                                  March 2003 for the completion
                                                  and redelivery of the Vessel
                                                  and Specification No 4-00910
                                                  dated 5 February 2003;

                 "BUSINESS DAY"                   means any day on which, in a
                                                  country where any act or thing
                                                  is required to be done
                                                  hereunder or under the
                                                  Building Contract, in the case
                                                  of any payment to be made to
                                                  the Builder thereunder, banks
                                                  and financial markets are open
                                                  for the transaction of
                                                  business of the nature
                                                  contemplated by this
                                                  Agreement;

                 "CERTIFIED COPY"                 means, in relation to any
                                                  document delivered or issued
                                                  by or on behalf of any
                                                  company, a copy of such
                                                  document certified as a true,
                                                  complete and up-to-date copy
                                                  of the original by any of the
                                                  directors or the secretary or
                                                  assistant secretary for the
                                                  time being of that company;

                                       3
<PAGE>

                 "CHARGE"                         means the charge over the
                                                  Membership Interest to be
                                                  given by the Member as holder
                                                  (legally and beneficially) of
                                                  the Membership Interest to the
                                                  Trustee and the Hermes Loan
                                                  Trustee pursuant to the Charge
                                                  Option;

                 "CHARGE OPTION"                  means the option to take the
                                                  Charge to be given by the
                                                  Member to the Trustee and the
                                                  Hermes Loan Trustee on the
                                                  Restatement Date, such option
                                                  and the Charge being in the
                                                  form and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Hermes Loan Agent and
                                                  agreed on the date of the
                                                  First Supplemental Agreement;

                 "COMMITMENT"                     means, as to each Lender, the
                                                  sum set out opposite its name
                                                  in Schedule 2 as the amount
                                                  which, subject to the terms of
                                                  this Agreement, it is obliged
                                                  to advance to the Borrower
                                                  under Clause 2 (or, where the
                                                  context so admits, such amount
                                                  which any successor in title,
                                                  assignee or transferee
                                                  (including any Transferee) of
                                                  any Lender shall be obliged to
                                                  advance to the Borrower under
                                                  Clause 2, following the
                                                  assumption of all or any
                                                  portion of such liability from
                                                  any Lender hereunder) in each
                                                  case as such amount may be
                                                  reduced, cancelled or
                                                  terminated under this
                                                  Agreement;

                 "COMMITMENT PERIOD"              means the period beginning on
                                                  4 April 2003 and ending on the
                                                  date on which the Facility is
                                                  drawn down in full or
                                                  cancelled hereunder;

                 "COMPLETION PERIOD"              means the period beginning on
                                                  4 April 2003 and ending on the
                                                  Redelivery Date;

                                       4
<PAGE>

                 "COMPULSORY ACQUISITION"         means requisition for title or
                                                  other compulsory acquisition
                                                  of the Vessel including its
                                                  capture, seizure, detention or
                                                  confiscation or expropriation
                                                  but excluding any requisition
                                                  for hire by or on behalf of
                                                  any government or governmental
                                                  authority or agency or by any
                                                  persons acting or purporting
                                                  to act on behalf of any such
                                                  government or governmental
                                                  authority or agency;

                 "CONFIDENTIALITY UNDERTAKING"    means the undertaking to be
                                                  entered into relating to the
                                                  release of financial
                                                  information pertaining to the
                                                  Group by the Agent, the
                                                  Trustee or any Lender to a
                                                  potential Transferee or
                                                  assignee such undertaking to
                                                  be in the form of Schedule 5;

                 "CONTRACT PRICE"                 means two hundred and ninety
                                                  eight million Euro
                                                  ((EURO)298,000,000) being the
                                                  price agreed between the
                                                  Builder and the Borrower for
                                                  the completion of the Vessel
                                                  under clause 11.1 of the
                                                  Building Contract;

                 "CONTRIBUTION"                   means as to each Lender the
                                                  sum set out opposite its name
                                                  in Schedule 2 as the amount
                                                  which it is obliged to advance
                                                  to the Borrower under Clause 2
                                                  or, as the case may be, the
                                                  portion of such sum so
                                                  advanced and for the time
                                                  being outstanding;

                 "CO-ORDINATION DEED"             means the deed dated 4 April
                                                  2003 between the Trustee, the
                                                  Agent, the Hermes Loan
                                                  Trustee, the Hermes Loan Agent
                                                  and the Borrower in relation
                                                  to certain of the Security
                                                  Documents and the Hermes Loan
                                                  Security Documents;

                                       5
<PAGE>

                 "DISCLOSURE LETTER"              means the letter so designated
                                                  given by the Borrower and
                                                  acknowledged by the Agent
                                                  (acting on the instructions of
                                                  the Lenders) on the date of
                                                  the First Supplemental
                                                  Agreement;

                 "DOCUMENT OF COMPLIANCE"         means a document issued to the
                                                  Vessel operator as evidence of
                                                  its compliance with the
                                                  requirements of the ISM Code;

                 "DOLLARS" AND "USD"              means the lawful currency of
                                                  the United States of America;

                 "DRAWDOWN DATE"                  means a date being a Business
                                                  Day on which a Tranche is
                                                  drawn down and applied in
                                                  accordance with Clause 2.2;

                 "DRAWDOWN NOTICE"                means any of the notices to be
                                                  given by the Borrower to the
                                                  Agent pursuant to Clause
                                                  2.3.1;

                 "EARNINGS"                       means, in respect of the
                                                  Vessel, (whether earned or to
                                                  be earned) any and all
                                                  freights, hire and passage
                                                  monies, proceeds of
                                                  requisition (other than
                                                  proceeds of Compulsory
                                                  Acquisition), rebates and
                                                  commissions, all earnings
                                                  deriving from contracts of
                                                  affreightment, pooling
                                                  agreements, joint ventures,
                                                  compensation, remuneration for
                                                  salvage and towage services,
                                                  damages howsoever arising and
                                                  detention monies, damages for
                                                  breach of any charterparty or
                                                  other contract for the
                                                  employment of the Vessel, any
                                                  amounts payable in
                                                  consideration of the
                                                  termination or variation of
                                                  any charterparty or other such
                                                  contract and any other

                                       6
<PAGE>

                                                  earnings whatsoever due or to
                                                  become due to the Borrower
                                                  other than any sums payable or
                                                  repayable by the Builder under
                                                  the Building Contract and any
                                                  reduction in the Hermes
                                                  Premium repaid by Hermes to
                                                  the Borrower which have been
                                                  assigned to the Trustees as
                                                  trustees for the Hermes Loan
                                                  Creditors (as defined in the
                                                  Co-ordination Deed);

                 "EARNINGS ASSIGNMENT"            means the valid and effective
                                                  first legal assignment of the
                                                  Earnings (together with the
                                                  notice thereof and the
                                                  acknowledgement), to be
                                                  executed by the Borrower in
                                                  respect of the Vessel in
                                                  favour of the Trustee and the
                                                  Hermes Loan Trustee on 22
                                                  April 2003, such assignment,
                                                  notice and acknowledgement
                                                  being in the form and on the
                                                  terms and conditions required
                                                  by the Agent, the Hermes Agent
                                                  and the Hermes Loan Agent and
                                                  agreed on the signing of the
                                                  Original Loan Agreement and as
                                                  specified in paragraph 25 of
                                                  Schedule 4;

                 "ENCUMBRANCE"                    means any mortgage, charge,
                                                  pledge, lien, assignment,
                                                  hypothecation, title
                                                  retention, preferential right
                                                  or trust arrangement or any
                                                  other security agreement or
                                                  arrangement;

                 "EQUITY"                         means the amount of twenty one
                                                  million one hundred and eighty
                                                  thousand Euro
                                                  ((EURO)21,180,000) to be paid
                                                  by the Borrower to the Builder
                                                  from its own resources;

                 "EQUIVALENT AMOUNT"              means the Dollar equivalent of
                                                  each amount payable in Euro by
                                                  the Borrower to the Builder
                                                  under the Building Contract or
                                                  payable by the Borrower to the
                                                  Hermes Agent in payment of the

                                       7
<PAGE>

                                                  Hermes Premium and to be drawn
                                                  down hereunder determined at
                                                  HSBC Bank plc's spot rate for
                                                  conversion of Dollar to Euro
                                                  at 10.00 a.m. London time two
                                                  (2) Business Days prior to the
                                                  relevant Drawdown Date;

                 "EURO" AND "(EURO)"              means the lawful currency of
                                                  the Federal Republic of
                                                  Germany;

                 "EVENT OF DEFAULT"               means any of the events
                                                  specified in Clause 11;

                 "FACILITY"                       means the loan facility
                                                  granted hereunder being in the
                                                  Equivalent Amount (in
                                                  aggregate) of up to forty
                                                  million Euro
                                                  ((EURO)40,000,000);

                 "FINANCIAL INDEBTEDNESS"         means any obligation for the
                                                  payment or repayment of money,
                                                  whether as principal or as
                                                  surety and whether present or
                                                  future, actual or contingent;

                 "FIRST DRAWDOWN DATE"            means the date on which the
                                                  first Tranche is drawn down
                                                  and applied in accordance with
                                                  Clause 2.2;

                 "FIRST SUPPLEMENTAL AGREEMENT"   means the first supplemental
                                                  agreement dated
                                                  2004 to the Original Loan
                                                  Agreement;

                 "FORCE MAJEURE"                  means, in relation to the
                                                  Agent, the Hermes Agent, the
                                                  Trustee or any Lender, any
                                                  event or circumstance which is
                                                  beyond the reasonable control
                                                  of such party, which cannot be
                                                  foreseen or if foreseeable
                                                  which is unavoidable, which
                                                  occurs after the date of this
                                                  Agreement and which prevents
                                                  that party from performing any
                                                  of its obligations under this
                                                  Agreement;

                                       8
<PAGE>

                 "GAAP"                           means generally accepted
                                                  accounting principles in the
                                                  United States of America
                                                  consistently applied (or, if
                                                  not consistently applied,
                                                  accompanied by details of the
                                                  inconsistencies) including,
                                                  without limitation, those set
                                                  forth in the opinion and
                                                  pronouncements of the
                                                  Accounting Principles Board of
                                                  the American Institute of
                                                  Certified Public Accountants
                                                  and statements and
                                                  pronouncements of the
                                                  Financial Accounting Standards
                                                  Board;

                 "GROUP"                          means Star and its
                                                  Subsidiaries;

                 "GUARANTEE"                      means the guarantee executed
                                                  by the Guarantor in favour of
                                                  the Trustee and the Hermes
                                                  Loan Trustee on the
                                                  Restatement Date, such
                                                  guarantee to be in the form
                                                  and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Hermes Loan Agent and
                                                  agreed on the date of the
                                                  First Supplemental Agreement;

                 "GUARANTOR"                      means NCL Corporation Ltd. of
                                                  Reid Hall, 3 Reid Street,
                                                  Hamilton HM 11, Bermuda and
                                                  with its principal place of
                                                  business at 7665 Corporate
                                                  Center Drive, Miami, Florida
                                                  33126, United States of
                                                  America;

                 "HERMES"                         means Euler Hermes
                                                  Kreditversicherungs-AG of
                                                  Friedensallee 254, 22763
                                                  Hamburg, Federal Republic of
                                                  Germany;

                 "HERMES COVER"                   means the guarantee from the
                                                  Federal Republic of Germany
                                                  acting through Hermes for the
                                                  period of and for the
                                                  transaction contemplated by

                                       9
<PAGE>

                                                  the Hermes Loan Agreement in
                                                  the amount and on the terms
                                                  and conditions required by the
                                                  Hermes Loan Lenders;

                 "HERMES LOAN"                    means the loan in the
                                                  Equivalent Amount (as defined
                                                  in the Hermes Loan Agreement)
                                                  of up to two hundred and fifty
                                                  eight million Euro
                                                  ((EURO)258,000,000) to be made
                                                  by the Hermes Loan Lenders to
                                                  the Borrower pursuant to the
                                                  Hermes Loan Agreement;

                 "HERMES LOAN AGENT"              means HSBC Bank plc of 8
                                                  Canada Square, London E14 5HQ
                                                  as agent for the Hermes Loan
                                                  Lenders;

                 "HERMES LOAN AGREEMENT"          means the loan agreement dated
                                                  4 April 2003 and to be amended
                                                  and restated by a first
                                                  supplemental agreement thereto
                                                  dated           2004 between,
                                                  among others, the Borrower,
                                                  the Hermes Loan Lenders, the
                                                  Hermes Loan Agent and the
                                                  Hermes Loan Trustee in respect
                                                  of the Hermes Loan;

                 "HERMES LOAN LENDERS"            means Commerzbank
                                                  Aktiengesellschaft, Bremen
                                                  Branch, HSBC Bank plc and KfW
                                                  (formerly known as
                                                  Kreditanstalt fur
                                                  Wiederaufbau);

                 "HERMES LOAN SECURITY            means the Security Documents
                 DOCUMENTS"                       (as defined in the Hermes Loan
                                                  Agreement);

                 "HERMES LOAN TRUSTEE"            means HSBC Bank plc of 8
                                                  Canada Square, London E14 5HQ
                                                  as trustee for the Hermes Loan
                                                  Lenders;

                 "HERMES PREMIUM"                 means the amount payable by
                                                  the Borrower to Hermes through
                                                  the Hermes Agent in respect of
                                                  the Hermes Cover;

                                       10
<PAGE>

                 "HOLDING COMPANY"                has the meaning defined in the
                                                  Companies Act 1985, Section
                                                  736 as substituted by the
                                                  Companies Act 1989, Section
                                                  144;

                 "IOL"                            means Inter-Ocean Limited of
                                                  International House, Castle
                                                  Hill, Victoria Road, Douglas,
                                                  Isle of Man IM2 4RB, British
                                                  Isles;

                 "ISM CODE"                       means the International
                                                  Management Code for the Safe
                                                  Operation of Ships and for
                                                  Pollution Prevention adopted
                                                  by the International Maritime
                                                  Organisation;

                 "ISPS CODE"                      means the International Ship
                                                  and Port Facility Security
                                                  Code adopted by the
                                                  International Maritime
                                                  Organisation;

                 "INDEBTEDNESS FOR                means Financial Indebtedness
                 BORROWED MONEY"                  (whether present or future,
                                                  actual or contingent,
                                                  long-term or short-term,
                                                  secured or unsecured) in
                                                  respect of:

                                                  (i)      Moneys borrowed or
                                                           raised;

                                                  (ii)     The advance or
                                                           extension of credit
                                                           (including interest
                                                           and other charges on
                                                           or in respect of any
                                                           of the foregoing);

                                                  (iii)    The amount of any
                                                           liability in respect
                                                           of leases which, in
                                                           accordance with GAAP,
                                                           are capital leases;

                                                  (iv)     The amount of any
                                                           liability in respect
                                                           of the purchase price
                                                           for assets or
                                                           services payment of
                                                           which is deferred for
                                                           a period in excess of
                                                           one hundred and
                                                           eighty (180) days;

                                       11
<PAGE>

                                                  (v)      All reimbursement
                                                           obligations whether
                                                           contingent or not in
                                                           respect of amounts
                                                           paid under a letter
                                                           of credit or similar
                                                           instrument;

                                                  (vi)     All interest rate and
                                                           currency swap and
                                                           similar agreements
                                                           obliging the making
                                                           of payments, whether
                                                           periodically or upon
                                                           the happening of a
                                                           contingency (and the
                                                           value of such
                                                           Financial
                                                           Indebtedness shall be
                                                           the mark-to-market
                                                           valuation of such
                                                           transaction at the
                                                           relevant time); and

                                                  (vii)    (without double
                                                           counting) any
                                                           guarantee of
                                                           Financial
                                                           Indebtedness falling
                                                           within paragraphs (i)
                                                           to (vi) above;

                 "INSTALMENT"                     means the amount of principal
                                                  of the Loan repayable on a
                                                  Repayment Date in accordance
                                                  with Clause 3;

                 "INSURANCE ASSIGNMENT"           means the valid and effective
                                                  first legal assignment of the
                                                  Insurances (together with the
                                                  notice thereof), to be
                                                  executed by the Borrower in
                                                  respect of the Vessel in
                                                  favour of the Trustee and the
                                                  Hermes Loan Trustee, such
                                                  assignment and notice to be in
                                                  the form and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Hermes Loan Agent and
                                                  agreed on the signing of the
                                                  Original Loan Agreement and as
                                                  specified in paragraph 33 of
                                                  Schedule 4;

                 "INSURANCES"                     means all policies and
                                                  contracts of insurance and
                                                  entries of the Vessel in a
                                                  protection and indemnity or

                                       12
<PAGE>

                                                  war risks association which
                                                  are effected in respect of the
                                                  Vessel, its freights,
                                                  disbursements, profits or
                                                  otherwise and all benefits,
                                                  including all claims and
                                                  returns of premiums thereunder
                                                  and shall also include all
                                                  compensation payable by virtue
                                                  of Compulsory Acquisition;

                 "INTEREST PAYMENT DATE"          means the last day of each
                                                  Interest Period and each
                                                  Repayment Date occurring
                                                  during an Interest Period;

                 "INTEREST PERIOD"                means each period ascertained
                                                  in accordance with Clause 5.2
                                                  or Clause 5.8;

                 "INTEREST RATE"                  means the rate of interest
                                                  applicable to the Loan
                                                  calculated in accordance with
                                                  Clause 5.6, Clause 5.8 or
                                                  Clause 6.3;

                 "LIBOR"                          means with respect to any
                                                  Interest Period the rate of
                                                  interest (expressed as an
                                                  annual rate) determined by the
                                                  Agent to be:

                                                  (i)      the offered rate for
                                                           deposits in Dollars
                                                           for a period
                                                           equivalent to such
                                                           Interest Period which
                                                           appears on the
                                                           Reuters Page LIBO at
                                                           or about 11.00 a.m.
                                                           London time on the
                                                           Quotation Date; or

                                                  (ii)     if no rate is
                                                           provided for the
                                                           respective Interest
                                                           Period on the Reuters
                                                           Page LIBO, the
                                                           interpolated rate per
                                                           annum for deposits in
                                                           Dollars in an amount
                                                           approximately equal
                                                           to the Loan or
                                                           relevant part thereof
                                                           as calculated by the
                                                           Agent, such
                                                           interpolated rate to
                                                           be based on the
                                                           Reuters Page LIBO

                                       13
<PAGE>

                                                           PROVIDED THAT LIBOR
                                                           for periods of less
                                                           than one (1) week
                                                           will be ascertained
                                                           under sub-section
                                                           (iii) below;

                                                  or (if Reuters Page LIBO is
                                                  discontinued or if the Agent
                                                  is unable to make the said
                                                  determination due to technical
                                                  breakdown in the relevant
                                                  system or the Interest Period
                                                  is less than one (1) week)

                                                  (iii)    the arithmetic mean
                                                           (rounded upwards, if
                                                           necessary, to the
                                                           nearest one-sixteenth
                                                           of one per cent
                                                           (1/16%)) of the rates
                                                           per annum notified to
                                                           the Agent by each of
                                                           the Reference Banks
                                                           as the rate at which
                                                           deposits in Dollars
                                                           in an amount
                                                           approximately equal
                                                           to the Loan or
                                                           relevant part thereof
                                                           are offered to such
                                                           Reference Bank by
                                                           leading banks in the
                                                           London Interbank
                                                           market at such
                                                           Reference Bank's
                                                           request at or about
                                                           11.00 a.m. London
                                                           time on the Quotation
                                                           Date for a period
                                                           equal to the Interest
                                                           Period and for
                                                           delivery on the first
                                                           Business Day thereof;

                 "LOAN"                           means the aggregate principal
                                                  amount of the Tranches or (as
                                                  the context may require) the
                                                  amount thereof for the time
                                                  being drawn down and
                                                  outstanding hereunder;

                 "MANAGEMENT AGREEMENT"           means the agreement to be
                                                  entered into between the
                                                  Borrower and the Manager
                                                  providing for the ship

                                       14
<PAGE>

                                                  management and crewing
                                                  services of the Vessel, such
                                                  agreement to be in the form
                                                  and on the terms and
                                                  conditions required by the
                                                  Agent and agreed on the date
                                                  of the First Supplemental
                                                  Agreement and as specified in
                                                  paragraph 36 of Schedule 4;

                 "MANAGEMENT AGREEMENT            means the valid and effective
                 ASSIGNMENT"                      first legal assignment of the
                                                  Management Agreement (together
                                                  with the notice thereof and
                                                  the acknowledgement), to be
                                                  executed by the Borrower in
                                                  favour of the Trustee and the
                                                  Hermes Loan Trustee, such
                                                  assignment, notice and
                                                  acknowledgement to be in the
                                                  form and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Hermes Loan Agent and
                                                  agreed on the date of the
                                                  First Supplemental Agreement
                                                  and as specified in paragraph
                                                  38 of Schedule 4;

                 "MANAGER"                        means NCL America Inc. of
                                                  Corporation Trust Center, 1209
                                                  Orange Street, Wilmington,
                                                  Delaware 19801, United States
                                                  of America, the company
                                                  providing technical ship
                                                  management and crewing
                                                  services for the Vessel
                                                  pursuant to the Management
                                                  Agreement;

                 "MARGIN"                         means up to but not including
                                                  the Termination Date the rate
                                                  of one point six per cent
                                                  (1.6%) per annum and from the
                                                  Termination Date one point
                                                  three five per cent (1.35%)
                                                  per annum;

                 "MEMBER"                         means NCL America Holdings,
                                                  Inc. of Corporation Trust
                                                  Center, 1209 Orange Street,
                                                  Wilmington, Delaware 19801,
                                                  United States of America, the
                                                  sole member of the Borrower;

                                       15
<PAGE>

                 "MEMBERSHIP INTEREST"            means the sole membership
                                                  interest in the Borrower
                                                  beneficially owned by the
                                                  Member;

                 "MONTH"                          means 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;

                 "MORTGAGE"                       means the first preferred ship
                                                  mortgage to be granted by the
                                                  Borrower over the Vessel and
                                                  registered at the United
                                                  States Coast Guard National
                                                  Vessel Documentation Center in
                                                  favour of the Trustee and the
                                                  Hermes Loan Trustee as
                                                  security pursuant hereto and
                                                  to the Hermes Loan Agreement,
                                                  such mortgage to be in the
                                                  form and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Hermes Loan Agent and
                                                  agreed on the signing of the
                                                  First Supplemental Agreement
                                                  and as specified in paragraph
                                                  32 of Schedule 4;

                 "NCLC FLEET"                     means the vessels owned by the
                                                  companies in the NCLC Group;

                 "NCLC GROUP"                     means the Guarantor and its
                                                  Subsidiaries;

                                       16
<PAGE>

                 "NCL INTERNATIONAL"              means NCL International, Ltd.
                                                  of Reid Hall, 3 Reid Street,
                                                  Hamilton HM 11, Bermuda;

                 "NCLL"                           means Norwegian Cruise Line
                                                  Limited of Reid Hall, 3 Reid
                                                  Street, Hamilton HM 11,
                                                  Bermuda;

                 "OBLIGORS"                       means the Borrower, the
                                                  Guarantor, the Manager, the
                                                  Sub-Agent, the Member and any
                                                  other party from time to time
                                                  to any of the Security
                                                  Documents excluding the
                                                  Arrangers, the Trustee, the
                                                  Agent, the Hermes Agent, the
                                                  Lenders, the Hermes Loan
                                                  Trustee, the Hermes Loan Agent
                                                  and the Hermes Loan Lenders;

                 "OFFICE"                         means in respect of the Agent,
                                                  the Hermes Agent, the Trustee
                                                  and each Lender its office at
                                                  the address set out beneath
                                                  its name in Schedule 2 or such
                                                  other office as it shall from
                                                  time to time select and notify
                                                  through the Agent to the
                                                  Borrower;

                 "OPERATING ACCOUNT"              means the account opened or to
                                                  be opened by the Borrower with
                                                  such bank or banks as may be
                                                  approved by the Agent, the
                                                  Hermes Agent and the Hermes
                                                  Loan Agent from time to time
                                                  for receipt of the Earnings;

                 "ORIGINAL LOAN AGREEMENT"        means this Agreement as
                                                  executed on 4 April 2003
                                                  (prior to, inter alia, its
                                                  amendment and restatement
                                                  pursuant to the First
                                                  Supplemental Agreement);

                 "OUTSTANDING INDEBTEDNESS"       means all sums of any kind
                                                  payable actually or
                                                  contingently to the Trustee,
                                                  the Agent, the Hermes Agent or
                                                  the Lenders under or pursuant

                                       17
<PAGE>

                                                  to this Agreement or any
                                                  Transaction Document (whether
                                                  by way of repayment of
                                                  principal payment of interest
                                                  or default interest payment of
                                                  any indemnity or counter
                                                  indemnity reimbursement for
                                                  fees, costs or expenses or
                                                  otherwise howsoever);

                 "PERMITTED LIENS"                means (i) any Encumbrance
                                                  created by or pursuant to the
                                                  Security Documents (ii) liens
                                                  on the Vessel up to an
                                                  aggregate amount at any time
                                                  not exceeding five million
                                                  Dollars (USD5,000,000) for
                                                  current crew's wages and
                                                  salvage and liens incurred in
                                                  the ordinary course of trading
                                                  the Vessel (iii) the Hermes
                                                  Loan Security Documents and
                                                  (iv) any other Encumbrance
                                                  notified by any of the
                                                  Obligors to the Agent prior to
                                                  4 April 2003;

                 "POSSIBLE EVENT OF DEFAULT"      means any event which, with
                                                  the giving of notice, passage
                                                  of time or occurrence of any
                                                  other event, would constitute
                                                  an Event of Default;

                 "PROCESS AGENT"                  means Clifford Chance
                                                  Secretaries Limited whose
                                                  registered office is presently
                                                  at 10 Upper Bank Street,
                                                  London E14 5JJ or any or any
                                                  other person in England
                                                  nominated by the Borrower or
                                                  any other Obligor and approved
                                                  by the Agent as agent to
                                                  accept service of legal
                                                  proceedings on their behalf
                                                  under any of this Agreement
                                                  and the other Security
                                                  Documents;

                 "QUOTATION DATE"                 means, in relation to any
                                                  Interest Period, the day on
                                                  which quotations would
                                                  ordinarily be given in the

                                       18
<PAGE>

                                                  London Interbank eurocurrency
                                                  market for Dollar deposits for
                                                  delivery on the first day of
                                                  that Interest Period;

                 "REDELIVERY DATE"                means the date on which the
                                                  Vessel is redelivered to and
                                                  accepted by the Borrower
                                                  pursuant to the Building
                                                  Contract;

                 "REFERENCE BANKS"                means Commerzbank
                                                  Aktiengesellschaft and HSBC
                                                  Bank plc;

                 "REPAYMENT DATES"                means the last day of each of
                                                  the twenty four (24)
                                                  consecutive periods of six (6)
                                                  months the first such period
                                                  commencing on the Termination
                                                  Date and the twenty fourth
                                                  such period terminating twelve
                                                  (12) years thereafter;

                 "RESTATEMENT DATE"               has the same meaning as set
                                                  out in the First Supplemental
                                                  Agreement;

                 "REUTERS PAGE LIBO"              means the display currently
                                                  designated as Reuters Page
                                                  LIBO, which includes London
                                                  Interbank Offered Rates of
                                                  four (4) major banks, which
                                                  are members of the
                                                  International Swaps and
                                                  Derivatives Association, Inc.
                                                  or such other service as may
                                                  be nominated by the British
                                                  Bankers' Association as the
                                                  information vendor for
                                                  displaying the London
                                                  Interbank Offered Rates of
                                                  major banks in the London
                                                  Interbank market;

                 "SAFETY MANAGEMENT               means a document issued to the
                 CERTIFICATE"                     Vessel as evidence that the
                                                  Vessel's operator and its
                                                  shipboard management operate
                                                  in accordance with an approved
                                                  Safety Management System;

                 "SAFETY MANAGEMENT SYSTEM"       means a structured and
                                                  documented system enabling the
                                                  personnel of the Vessel's

                                       19
<PAGE>

                                                  operator to implement
                                                  effectively the safety and
                                                  environmental protection
                                                  policy of that Vessel
                                                  operator;

                 "SAME DAY FUNDS"                 means Dollar funds settled
                                                  through the New York Clearing
                                                  House Interbank Payments
                                                  System or such other funds for
                                                  payment in Dollars as the
                                                  Agent shall specify by notice
                                                  to the Borrower as being
                                                  customary at the time for the
                                                  settlement of international
                                                  transactions in New York of
                                                  the type contemplated by this
                                                  Agreement;

                 "SECURITY DOCUMENTS"             means this Agreement, the
                                                  Guarantee, the Management
                                                  Agreement Assignment, the
                                                  Mortgage, the Charge Option,
                                                  the Charge, the Earnings
                                                  Assignment, the Insurance
                                                  Assignment, the Account Charge
                                                  and all such other documents
                                                  as may be executed at any time
                                                  in favour of (among others)
                                                  the Trustee, the Hermes Agent
                                                  and/or any of the Lenders as
                                                  security for the obligations
                                                  of the Borrower and the other
                                                  Obligors whether executed
                                                  pursuant to the express
                                                  provisions of this Agreement
                                                  or otherwise howsoever;

                 "SECURITY PERIOD"                means the period beginning on
                                                  the First Drawdown Date and
                                                  ending on the date on which
                                                  the amounts outstanding under
                                                  this Agreement and under each
                                                  of the other Security
                                                  Documents are finally paid or
                                                  repaid in full;

                 "STAR"                           means Star Cruises Limited of
                                                  Canon's Court, 22 Victoria
                                                  Street, Hamilton HM 12,
                                                  Bermuda;

                 "SUB-AGENCY AGREEMENT"           means the agreement to be
                                                  entered into between the
                                                  Manager and the Sub-Agent

                                       20
<PAGE>

                                                  providing for the commercial,
                                                  marketing, sales and financial
                                                  services in respect of the
                                                  Vessel, such agreement to be
                                                  in the form and on the terms
                                                  and conditions required by the
                                                  Agent and agreed on the date
                                                  of the First Supplemental
                                                  Agreement and as specified in
                                                  paragraph 37 of Schedule 4;

                 "SUB-AGENCY AGREEMENT            means the valid and effective
                 ASSIGNMENT"                      first legal assignment of the
                                                  Sub-Agency Agreement (together
                                                  with the notice thereof and
                                                  the acknowledgement), to be
                                                  executed by the Manager in
                                                  favour of the Trustee and the
                                                  Hermes Loan Trustee, such
                                                  assignment, notice and
                                                  acknowledgement to be in the
                                                  form and on the terms and
                                                  conditions required by the
                                                  Agent, the Hermes Agent and
                                                  the Hermes Loan Agent and
                                                  agreed on the date of the
                                                  First Supplemental Agreement
                                                  and as specified in paragraph
                                                  39 of Schedule 4;

                 "SUB-AGENT"                      means NCL (Bahamas) Ltd. of
                                                  Reid Hall, 3 Reid Street,
                                                  Hamilton HM 11, Bermuda, the
                                                  company providing commercial,
                                                  marketing, sales and financial
                                                  services in respect of the
                                                  Vessel pursuant to the
                                                  Sub-Agency Agreement;

                 "SUBSIDIARY"                     has the meaning defined in the
                                                  Companies Act 1985, Section
                                                  736 as substituted by the
                                                  Companies Act 1989, Section
                                                  144;

                 "SUBSTITUTE BASIS"               means an alternative basis for
                                                  maintaining the Loan certified
                                                  by the Agent pursuant to
                                                  Clause 6.3.1;

                                       21
<PAGE>

                 "SUSPENSION NOTICE"              means a notice given by the
                                                  Agent to the Borrower pursuant
                                                  to Clause 6.1;

                 "TAXES"                          means all present and future
                                                  income and other taxes,
                                                  levies, imposts, deductions,
                                                  compulsory liens and
                                                  withholdings whatsoever
                                                  together with interest thereon
                                                  and penalties with respect
                                                  thereto, if any, and any
                                                  payments made on or in respect
                                                  thereof and "TAXATION" shall
                                                  be construed accordingly;

                 "TERMINATION DATE"               means the earlier of the
                                                  Redelivery Date and 29 October
                                                  2004 (or such later date as is
                                                  agreed between the Borrower,
                                                  the Lenders and Hermes);

                 "TOTAL LOSS"                     means any actual or
                                                  constructive or arranged or
                                                  agreed or compromised total
                                                  loss or Compulsory Acquisition
                                                  of the Vessel;

                 "TRANCHE"                        means any of Tranche 1,
                                                  Tranche 2, Tranche 3 or
                                                  Tranche 4;

                 "TRANCHE 1"                      means the Equivalent Amount of
                                                  [***][Confidential Treatment]
                                                  being the difference between
                                                  the Equity and the amount of
                                                  the first pre-redelivery
                                                  instalment due by the Borrower
                                                  to the Builder under the
                                                  Building Contract to be
                                                  advanced on a Drawdown Date by
                                                  the Lenders by way of their
                                                  Contributions thereto;

                 "TRANCHE 2"                      means the Equivalent Amount of
                                                  the amount of the Hermes
                                                  Premium payable by the
                                                  Borrower to Hermes through the
                                                  Hermes Agent on issue of the
                                                  Hermes Cover;

                                       22
<PAGE>

                 "TRANCHE 3"                      means the Equivalent Amount of
                                                  up to [***][Confidential
                                                  Treatment] being the
                                                  amount of [***][Confidential
                                                  Treatment] of the Contract
                                                  Price to be applied in payment
                                                  of the second pre-redelivery
                                                  instalment due by the Borrower
                                                  to the Builder under the
                                                  Building Contract to be
                                                  advanced on a Drawdown Date by
                                                  the Lenders by way of their
                                                  Contributions thereto;

                 "TRANCHE 4"                      means the Equivalent Amount of
                                                  the difference between the
                                                  aggregate of Tranche 1,
                                                  Tranche 2 and Tranche 3 in
                                                  Euro and the amount of the
                                                  Facility to be applied in
                                                  payment of the balance of the
                                                  third pre-redelivery
                                                  instalment due by the Borrower
                                                  to the Builder under the
                                                  Building Contract and any
                                                  excess thereafter in reduction
                                                  of the Equity;

                 "TRANSACTION DOCUMENTS"          means the Security Documents,
                                                  the Hermes Loan Security
                                                  Documents, the Hermes Loan
                                                  Agreement, the Building
                                                  Contract, the Drawdown
                                                  Notices, the Management
                                                  Agreement, the Sub-Agency
                                                  Agreement, the Co-ordination
                                                  Deed, the Agency and Trust
                                                  Deed and any other material
                                                  document now or hereafter
                                                  issued in connection with the
                                                  documents or the transaction
                                                  herein referred to;

                 "TRANSFER CERTIFICATE"           means the certificate attached
                                                  hereto as Schedule 6;

                 "TRANSFER DATE"                  means, in relation to any
                                                  Transfer Certificate, the date
                                                  specified in such Transfer

                                       23
<PAGE>

                                                  Certificate as the date for
                                                  the making of the transfer or,
                                                  where such transfer is
                                                  specified as being subject to
                                                  the fulfilment of certain
                                                  conditions, the date on which
                                                  the Agent receives a
                                                  certificate from the Lender
                                                  making the transfer confirming
                                                  that all such conditions have
                                                  been fulfilled;

                 "TRANSFEREE"                     means any reputable bank
                                                  acceptable to the Agent and
                                                  the Borrower which becomes a
                                                  party to this Agreement as a
                                                  Lender pursuant to Clause 17;
                                                  and

                 "VESSEL"                         means the vessel identified
                                                  with no 7671 and working title
                                                  "Project America" at the yard
                                                  of the Builder registered in
                                                  the name of the Borrower in
                                                  the Shipbuilding Register in
                                                  Bremerhaven, Federal Republic
                                                  of Germany and upon completion
                                                  as a one thousand and seventy
                                                  five (1,075) cabin luxury
                                                  cruise vessel to be
                                                  redelivered to the Borrower
                                                  pursuant to the Building
                                                  Contract and re-registered in
                                                  the name of the Borrower under
                                                  the laws and flag of the
                                                  United States of America.

         1.2      CONSTRUCTION

                  In this Agreement unless the context otherwise requires:

                  1.2.1    clause headings are inserted for convenience of
                           reference only and shall be ignored in the
                           construction of this Agreement;

                  1.2.2    references to Clauses and to Schedules are to be
                           construed as references to clauses of and schedules
                           to this Agreement unless otherwise stated and
                           references to this Agreement are to be construed as
                           references to this Agreement including its Schedules;

                                       24
<PAGE>

                  1.2.3    references to (or to any specified provision of) this
                           Agreement or any other document other than the Hermes
                           Loan Agreement or the Hermes Loan Security Documents
                           shall be construed as references to this Agreement,
                           that provision or that document as from time to time
                           amended, supplemented and/or novated;

                  1.2.4    references to any Act or any statutory instrument
                           shall be construed as references to that Act or that
                           statutory instrument as from time to time re-enacted,
                           amended or supplemented;

                  1.2.5    references to any party to this Agreement or any
                           other document shall include reference to such
                           party's successors and permitted assigns;

                  1.2.6    words importing the plural shall include the singular
                           and vice versa;

                  1.2.7    references to a person shall be construed as
                           references to an individual, firm, company,
                           corporation, unincorporated body of persons or any
                           state or any agency thereof;

                  1.2.8    where any matter requires the approval or consent of
                           the Agent or the Trustee such approval or consent
                           shall not be deemed to have been given unless given
                           in writing; where any matter is required to be
                           acceptable to the Agent or the Trustee, the Agent or
                           the Trustee (as the case may be) shall not be deemed
                           to have accepted such matter unless its acceptance is
                           communicated in writing; the Agent or the Trustee may
                           give or withhold its consent, approval or acceptance
                           at its unfettered discretion;

                  1.2.9    a certificate by the Agent as to any amount due or
                           calculation made hereunder shall be conclusive except
                           for manifest error.

         1.3      AGENT AND TRUSTEE

                  The Agent will be appointed by the Lenders as agent and the
                  Trustee will be appointed by the Lenders as trustee under the
                  Agency and Trust Deed and references herein to the Agent or
                  the Trustee shall be construed as references to itself, the

                                       25
<PAGE>

                  Agent (if applicable) and the Lenders. The Borrower shall only
                  communicate with the Lenders under this Agreement and the
                  other Security Documents through the Agent or the Trustee (as
                  the case may be) and as hereinafter referred to.

2        THE FACILITY

         2.1      AVAILABILITY

                  2.1.1    The Lenders grant to the Borrower the Facility by way
                           of the Tranches. So far as any part of the Facility
                           remains undrawn at close of business in London on the
                           Termination Date it shall be capable of cancellation
                           by the Lenders.

                  2.1.2    Each Lender shall advance its Contribution to the
                           Tranches in the proportion which its Contribution for
                           the time being bears to the other Contributions of
                           the Lenders.

                  2.1.3    Neither the Agent nor any other Lender shall be
                           liable for any failure or delay on the part of any
                           Lender in making any advance hereunder nor shall the
                           Agent or the Arrangers have any obligation to seek to
                           procure additional Lenders in the event of such a
                           failure PROVIDED THAT if any Lender should fail to
                           advance its Contribution hereunder, that Lender and
                           the Agent will take all reasonable steps to mitigate
                           the effect of that failure. Notwithstanding the
                           aforesaid proviso, neither the Agent nor any Lender
                           shall be obliged to increase its Contribution
                           hereunder in respect of the failure by any other
                           Lender(s) to fund its Contribution.

         2.2      PURPOSE AND APPLICATION

                  The purpose of the Facility is to finance the Contract Price
                  in part and the Hermes Premium. The Borrower shall apply the
                  Loan in payment of certain of the pre-redelivery instalments
                  due by the Borrower to the Builder under the Building Contract
                  and in payment of the Hermes Premium.

         2.3      DRAWDOWN

                  The Borrower shall only make drawings under the Facility if:

                  2.3.1    the Agent receives at least five (5) Business Days'
                           notice of the Borrower's request for such drawing in
                           the form of Schedule 3;

                                       26
<PAGE>

                  2.3.2    no Event of Default or Possible Event of Default has
                           occurred before the date of such drawing;

                  2.3.3    no written notice has been received indicating that
                           the Hermes Cover does not validly exist without
                           restriction;

                  2.3.4    the representations and warranties set out in Clause
                           9 and each of the other Security Documents are
                           correct on the date of such drawing;

                  2.3.5    it is then lawful for each of the Lenders to make
                           available its Contribution to the Loan; and

                  2.3.6    the Agent has been notified by the Hermes Loan Agent
                           that all conditions precedent to drawdown of the
                           Hermes Loan have been satisfied save for those which
                           are to be satisfied pursuant to this Clause 2.3 and
                           Clause 2.6,

                  PROVIDED THAT no Tranche shall be capable of drawing until the
                  Equity has been paid by the Borrower to the Builder.

         2.4      PAYMENT OF FACILITY

                  The Tranches (other than Tranche 2 and any part of Tranche 4
                  which is to be applied in reduction of the Equity) shall be
                  paid to the Builder, Tranche 2 shall be paid to Hermes through
                  the Hermes Agent and such part of Tranche 4 which is to be
                  applied in reduction of the Equity shall be paid to the
                  Borrower or its order.

         2.5      BREAK COSTS ON FAILURE TO DRAW

                  If for any reason any Tranche is not drawn down by the
                  Borrower hereunder after notice of drawdown has been given to
                  the Agent pursuant to Clause 2.3, the Borrower will pay to the
                  Agent for the account of the Lenders such amount as the Agent
                  may certify as necessary to compensate the Lenders (other than
                  any Lender whose default has caused the Tranche not to be
                  drawn down) for any loss or expense on account of funds
                  borrowed, contracted for (whether in Euro or in Dollars) or
                  utilised in order to fund its Contribution to the Tranche.
                  Each Lender shall supply to the Agent a certificate of break
                  costs which in the absence of manifest error shall be
                  conclusive as to the amounts due.

                                       27
<PAGE>

         2.6      CONDITIONS OF DRAWDOWN

                  The Agent shall not be under any obligation to advance a
                  Tranche hereunder until all the documents and evidence
                  referred to in the relevant part of Schedule 4 are in the
                  possession of the Agent in form and substance satisfactory to
                  it, the Arrangers, the Lenders and the Hermes Agent.

         2.7      SEVERAL OBLIGATIONS OF THE LENDERS

                  The obligations and rights of each Lender hereunder are
                  several and if for any reason the Borrower receives in respect
                  of a Tranche an amount greater than the aggregate of the
                  Contributions to that Tranche, the Borrower forthwith upon the
                  demand of the Agent shall pay to the Agent (for the account of
                  those Lenders whose Contributions were exceeded) the amount
                  certified by the Agent as representing the excess of the
                  amount paid to the Borrower over the due and proper amount of
                  the Contributions of the Lenders actually received by the
                  Agent.

         2.8      LENDER'S FAILURE TO PERFORM

                  Subject to Clause 2.1.3, the failure by a Lender to perform
                  its obligations hereunder shall not affect the obligations of
                  the Borrower towards any other party hereto nor shall any such
                  other party be liable for the failure by such Lender to
                  perform its obligations hereunder.

         2.9      FULFILMENT OF CONDITIONS AFTER DRAWDOWN

                  If the Lenders, acting unanimously, decide (or the Agent in
                  accordance with the Agency and Trust Deed decides) to advance
                  a Tranche to the Borrower hereunder without having received
                  all of the documents or evidence referred to in the relevant
                  part of Schedule 4, the Borrower will nevertheless deliver the
                  remaining documents or evidence to the Agent within fourteen
                  (14) days of such drawing (or such other period as the Agent
                  may stipulate) and the advance of the Tranche shall not be
                  construed as a waiver of the Agent's right to receive the
                  documents or evidence as aforesaid nor shall this provision
                  impose on the Agent or the Lenders any obligation to permit
                  the drawing in the absence of such documents or evidence.

                                       28
<PAGE>

3        REPAYMENT

         3.1      Unless otherwise repaid in accordance with the provisions of
                  this Agreement, the Borrower hereby agrees to repay the Loan
                  by twenty four (24) equal half yearly Instalments of principal
                  the first such Instalment to be paid six (6) months from the
                  Termination Date and the remainder at six (6) monthly
                  intervals.

4        PREPAYMENT

         4.1      VOLUNTARY PREPAYMENT

                  On giving at least thirty (30) days' prior notice to the
                  Agent, the Borrower may on the last day of an Interest Period
                  prepay (without premium or penalty, subject to Clause 4.8) the
                  whole or any relevant part of the Loan (but if in part in an
                  amount of five million Dollars (USD5,000,000) or an integral
                  multiple thereof).

         4.2      VOLUNTARY PREPAYMENT IN CASE OF INCREASED COST

                  At any time after any sum payable by the Borrower has been
                  increased under Clause 8 or a Lender has made any claim for
                  indemnification under Clause 8, the Borrower may, after giving
                  to the Agent five (5) Business Days' notice of its intention
                  to do so, prepay the whole (but not part only) of the
                  Contribution of that Lender, subject to Clause 4.8.

         4.3      MANDATORY PREPAYMENT IN CASE OF ILLEGALITY

                  4.3.1    If any change in, or in the interpretation or
                           application of, any law, regulation or treaty shall
                           make it unlawful in any jurisdiction applicable to
                           any of the Lenders for that Lender to make available
                           or maintain its Contribution or to give effect to its
                           obligations as contemplated hereby, the Agent may, by
                           notice thereof to the Borrower, declare that the
                           relevant Lender's obligations shall be terminated
                           forthwith whereupon (if a Tranche has then been
                           advanced) the Borrower shall prepay forthwith to the
                           relevant Lender its Contribution together with
                           interest thereon to the date of such prepayment and
                           all other amounts due to such Lender under Clause 4.8
                           and under the Security Documents (or, if permitted by
                           the relevant law, regulation or treaty, at the end of
                           the then current Interest Period).

                                       29
<PAGE>

                  4.3.2    A Lender affected by any provision of Clause 4.3.1
                           shall promptly inform the Agent after becoming aware
                           of the relevant change and the Agent shall, as soon
                           as reasonably practicable thereafter, notify the
                           Borrower of the change and its possible results.
                           Without affecting the Borrower's obligations under
                           Clause 4.3.1 and in consultation with the Agent, the
                           affected Lender will then take all such reasonable
                           steps as may be open to it to mitigate the effect of
                           the change (for example (and if then possible) by
                           changing its Office or transferring some or all of
                           its rights and obligations under this Agreement to
                           another financial institution reasonably acceptable
                           to the Borrower and the Agent). The reasonable costs
                           of mitigating the effect of any such change shall be
                           borne by the Borrower save where such costs are of an
                           internal administrative nature and are not incurred
                           in dealings by any Lender with third parties.

         4.4      VOLUNTARY PREPAYMENT FOLLOWING IMPOSITION OF SUBSTITUTE BASIS

                  The Borrower may notify the Agent within ten (10) days of the
                  receipt of a certificate from the Agent of a Substitute Basis
                  under Clause 6.3 whether or not it wishes to prepay the Loan,
                  in which event the Borrower shall forthwith prepay the Loan
                  together with interest accrued thereon at the rate specified
                  in the relevant certificate of Substitute Basis and any break
                  costs in accordance with Clause 4.8.

         4.5      PREPAYMENT IN CASE OF TOTAL LOSS OF THE VESSEL

                  If the Vessel is or becomes a Total Loss, then the Borrower
                  will, within thirty (30) days thereof or, if the Agent is
                  satisfied in its sole discretion that the Total Loss is
                  adequately covered by the Insurances and that the relevant
                  insurance proceeds will be payable to the Agent within one
                  hundred and fifty (150) days thereof, by no later than the
                  date which is one hundred and fifty (150) days after the date
                  of the event giving rise to such Total Loss prepay the Loan in
                  accordance with Clause 4.7, Clause 4.8 and Clause 12.1.

                  For the purposes of this Clause a Total Loss shall be deemed
                  to have occurred:

                  4.5.1    if it consists of an actual loss, at noon Greenwich
                           Mean Time on the actual date of loss or, if that is
                           not known, on the date on which the Vessel was last
                           heard of;

                                       30
<PAGE>

                  4.5.2    if it consists of a Compulsory Acquisition, at noon
                           Greenwich Mean Time on the date on which the
                           requisition is expressed to take effect by the person
                           requisitioning the Vessel; and

                  4.5.3    if it consists of a constructive or compromised or
                           arranged or agreed total loss or damage to the Vessel
                           rendering repair impracticable or uneconomical or
                           rendering the Vessel permanently unfit for normal
                           use, at noon Greenwich Mean Time on the date on which
                           notice claiming the loss of the Vessel is given to
                           its insurers.

         4.6      PREPAYMENT IN CASE OF SALE OF THE VESSEL

                  If the Vessel is sold by the Borrower with the prior consent
                  of the Agent (which consent is not to be unreasonably withheld
                  or delayed PROVIDED THAT if an Event of Default has occurred
                  and the Borrower desires to sell the Vessel by private treaty
                  at arm's length the approval of the Agent may be delayed by up
                  to twenty one (21) days from the date on which the Borrower's
                  request for approval is received by the Agent), then the
                  Borrower will concurrent with completion of the sale prepay
                  the Loan in accordance with Clause 4.7 and Clause 12.1.
                  Subject to Clause 4.8 hereof, prepayment of the Loan
                  consequent upon the permitted sale of the Vessel shall absolve
                  the Borrower from any liability to pay prepayment fees or
                  costs.

         4.7      EFFECT OF PREPAYMENT

                  Any notice given by the Borrower under Clause 4.1, Clause 4.2
                  or Clause 4.4 shall be irrevocable and shall oblige the
                  Borrower to pay to the Agent on account of the Lenders the
                  amount therein stated on the date therein stated. No amount
                  prepaid under this Agreement may be redrawn. Each prepayment
                  under this Agreement shall be applied in satisfaction of the
                  Borrower's remaining obligations under Clause 3 in inverse
                  chronological order. Prepayments under this Agreement shall be
                  made together with accrued interest thereon and the payment of
                  all other sums then owing under any of the Security Documents.

         4.8      BREAK COSTS ON PREPAYMENT

                  If any repayment or prepayment of the Loan or part thereof is
                  made otherwise than on the last day of an Interest Period, the
                  Borrower shall pay to the Agent on behalf of the Lenders on

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<PAGE>

                  demand such additional amount as the Agent may certify (such
                  certificate to contain a calculation thereof in reasonable
                  detail) as necessary to compensate each of the Lenders for any
                  loss (including the cost of breaking deposits (including
                  warehousing and other related costs)) or expense (including
                  warehousing and other related costs) on account of funds
                  borrowed, contracted for or utilised to fund the amount so
                  repaid or prepaid.

5        INTEREST

         5.1      PAYMENT OF INTEREST

                  The Borrower shall pay interest on the Loan or any part
                  thereof at the Interest Rate for each Interest Period in
                  respect thereof which interest shall be payable in arrears on
                  each Interest Payment Date PROVIDED THAT if the current
                  Interest Period does not end on the relevant Interest Payment
                  Date the Borrower shall only pay the interest accrued during
                  that Interest Period up to but not including the Interest
                  Payment Date.

         5.2      SELECTION AND DURATION OF INTEREST PERIODS

                  Subject to the other provisions of this Clause 5, the Borrower
                  may give notice to the Agent to be received by the Agent not
                  later than 9.00 a.m. London time five (5) Business Days prior
                  to the commencement of each Interest Period in respect of the
                  Loan or any part thereof, specifying whether that Interest
                  Period is to be of three (3) or six (6) months' duration.
                  Interest Periods in respect of a Tranche shall commence, in
                  the case of the first, on the Drawdown Date thereof and, in
                  the case of Interest Periods other than the first, on the
                  expiry of the preceding Interest Period.

                  However, the Agent shall have the right to adjust the length
                  of the first Interest Period in respect of a Tranche (other
                  than the first Tranche to be drawn down hereunder) such that
                  it ends on the same date as any existing Interest Period in
                  respect of the Loan.

         5.3      NO NOTICE AND UNAVAILABILITY

                  If the Borrower fails to select an Interest Period in
                  accordance with Clause 5.3 or the Agent certifies that
                  deposits for the period selected by the Borrower are not

                                       32
<PAGE>

                  available to each of the Lenders in the ordinary course of
                  business in the London Interbank eurocurrency market to fund
                  the Loan, the Borrower shall be deemed to have selected an
                  Interest Period of six (6) months (or such other period as the
                  Agent may in its discretion decide).

         5.4      SEPARATE INTEREST PERIODS FOR INSTALMENTS

                  If an Interest Period would otherwise extend beyond any
                  Repayment Date, the Loan shall be divided into two (2) or more
                  portions. One (1) or more portions will be of an amount equal
                  to the amount of the Loan required to be repaid on each
                  relevant Repayment Date and will have an Interest Period of
                  such length as will expire on that date and the Interest
                  Period relating to the remainder of the Loan will be
                  determined in accordance with Clauses 5.2 and 5.3.

         5.5      EXTENSION AND SHORTENING OF INTEREST PERIODS

                  If an Interest Period would otherwise end on a day which is
                  not a Business Day, the Interest Period shall be extended
                  until the next following Business Day unless the next
                  following Business Day falls in the next calendar month in
                  which case the Interest Period will be shortened to expire on
                  the preceding Business Day.

                  If an Interest Period commences on the last Business Day in a
                  month or if there is no day in the month in which the Interest
                  Period will end which corresponds numerically to the day on
                  which it begins, the Interest Period shall end on the last
                  Business Day in that month.

         5.6      INTEREST RATE

                  In respect of Interest Periods pursuant to Clause 5.3 and
                  subject to Clause 5.8 and Clause 6, the rate of interest
                  applicable to the Loan (or relevant part in the case of the
                  division of the Loan under Clause 5.4) during an Interest
                  Period shall be the aggregate of LIBOR and the relevant
                  Margin.

         5.7      BANK BASIS

                  Interest, fees payable pursuant to Clause 13 and any other
                  payments hereunder of an annual nature shall accrue from day
                  to day and be computed on the basis of a year of three hundred
                  and sixty (360) days and for the actual number of days
                  elapsed.

                                       33
<PAGE>

         5.8      DEFAULT INTEREST

                  If the Borrower fails to pay on the due date any sum due under
                  this Agreement or any of the other Security Documents to which
                  it may at any time be a party, the Borrower shall, without
                  affecting any other remedy of the Agent or the Lenders, pay
                  interest on such sum from the due date to the actual date of
                  payment (as well after as before judgment). Such interest
                  shall accrue on a daily basis at the higher of the Interest
                  Rate fixed for the latest Interest Period and the rate
                  computed by the Agent and certified by the Agent to the
                  Borrower as being the aggregate of:

                  5.8.1    the relevant Margin plus one per cent (1%); and

                  5.8.2    the greater of (a) in the case of the Lenders, the
                           average (rounded upwards if necessary to the next
                           integral multiple of one-sixteenth of one per cent
                           (1/16%)) of the respective rates per annum at which
                           each of the Lenders is able to acquire in accordance
                           with its normal practice deposits in Dollars in
                           successive periods of one (1) month (or for such
                           shorter period as the Agent may in its absolute
                           discretion select) in the London Interbank
                           eurocurrency market in an amount equivalent to or
                           comparable with its Contribution to such sum, and, in
                           the case of the Agent, the rate per annum at which it
                           is able to acquire in accordance with its normal
                           practice deposits in Dollars in successive periods of
                           one (1) month (or for such shorter period as the
                           Agent may in its absolute discretion select) in the
                           London Interbank eurocurrency market in an amount
                           equivalent to such sum, as at approximately 11.00
                           a.m. London time on any relevant day and (b) in the
                           case of the Lenders, the average (rounded upwards if
                           necessary to the next integral multiple of
                           one-sixteenth of one per cent (1/16%)) of the cost to
                           each of the Lenders of funding its Contribution to
                           such sum, and, in the case of the Agent, the cost of
                           funding such sum, such interest to be compounded at
                           the end of the period selected by the Agent and to be
                           payable on demand. In the event of LIBOR not being
                           available then the Agent shall in its discretion use
                           the Substitute Basis for its calculation as set out
                           in Clause 6.3.

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<PAGE>

6        SUBSTITUTE BASIS OF FUNDING

         6.1      MARKET DISTURBANCE

                  Notwithstanding anything to the contrary in this Agreement, if
                  prior to the commencement of any Interest Period the Agent
                  shall determine in good faith (which determination shall be
                  conclusive and binding on the parties hereto) that:

                  6.1.1    by reason of circumstances affecting the London
                           Interbank eurocurrency market adequate and fair means
                           do not exist for ascertaining the Interest Rate
                           during such Interest Period pursuant to Clause 5; or

                  6.1.2    deposits in Dollars of equal duration to such
                           Interest Period will not be available to any of the
                           Lenders in the London Interbank eurocurrency market
                           in sufficient amounts in the ordinary course of
                           business to fund its Contribution during such
                           Interest Period; or

                  6.1.3    by reason of any material change in applicable law or
                           regulation or of any change in national or
                           international financial or economic conditions any of
                           the Lenders is unable to fund or to continue to fund
                           its Contribution during such Interest Period by
                           deposits obtained in the London Interbank
                           eurocurrency market,

                  then the Agent shall promptly give a notice (being a
                  Suspension Notice), containing full particulars thereof in
                  reasonable detail to the Borrower.

         6.2      SUSPENSION OF DRAWDOWN

                  If a Suspension Notice is given by the Agent before the
                  advance of a Tranche in accordance with Clause 2 then the
                  Agent shall not be obliged to advance the Loan or any part
                  thereof until notice to the contrary is given by the Agent.
                  During the period of thirty (30) days from the giving of such
                  Suspension Notice, the Agent and any Lender affected by the
                  relevant market disturbance shall consult in good faith with
                  the Borrower with a view to agreeing to an alternative basis
                  for advancing of the Loan or any relevant part thereof. If
                  such alternative basis is agreed between the Borrower, the
                  Agent, the relevant Lender or Lenders and Hermes, it shall
                  apply in accordance with its terms and, if not, the Loan or
                  any relevant part thereof shall be made available to the
                  Borrower in Euro.

                                       35
<PAGE>

         6.3      CERTIFICATES OF SUBSTITUTE BASIS

                  6.3.1    If a Tranche has been advanced before a Suspension
                           Notice is given, the Lender or Lenders affected by
                           the relevant market disturbance shall within thirty
                           (30) days following the date of the Suspension
                           Notice, certify (through the Agent) in good faith to
                           the Borrower an alternative basis approved by the
                           Hermes Agent (being the Substitute Basis) for
                           maintaining its Contribution affected by the relevant
                           market disturbance. Such Substitute Basis may be
                           retroactive to the beginning of the then current
                           Interest Period and may include an alternative
                           currency or an alternative method of fixing the
                           Interest Rate (which shall reflect the cost to the
                           relevant Lender or Lenders of funding its
                           Contribution from other sources plus the Margin) or
                           alternative Interest Periods for the Loan or any
                           relevant part thereof, PROVIDED ALWAYS THAT so far as
                           practicable any such Substitute Basis shall be
                           computed in a manner and for periods as similar as
                           possible to those provided in Clause 5.

                  6.3.2    Each Substitute Basis so certified shall be binding
                           upon the Borrower, the Agent and the Lenders and
                           shall be treated as part of this Agreement.

         6.4      REVIEW

                  So long as any Substitute Basis is in force, the Agent, in
                  consultation with the Borrower and the Lenders, shall from
                  time to time, but not less often than monthly, review whether
                  or not the circumstances referred to in Clause 6.1 still
                  prevail with a view to returning to the normal provisions of
                  this Agreement.

7        PAYMENTS

         7.1      PLACE FOR PAYMENT

                  All payments by the Borrower under this Agreement or any of
                  the other Security Documents to which it may at any time be a
                  party shall be made to HSBC Bank USA, New York (SWIFT Code
                  MRMDUS33) for the account of HSBC Bank plc, London (SWIFT Code
                  MIDLGB22), account no 000-023868 in favour of Project and
                  Export Finance, account no 36677449, quoting reference 53M/FC
                  998 in Dollars by 10.00 a.m. New York time.

                                       36
<PAGE>

         7.2      DEDUCTIONS AND GROSSING-UP

                  7.2.1    Each payment to be made by the Borrower to a Lender
                           or the Agent hereunder in Dollars shall be made free
                           and clear of and without deduction for or on account
                           of Taxes unless the Borrower is required by law to
                           make such a payment subject to the deduction or
                           withholding of Taxes, in which case 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 such deduction or withholding, the Lender
                           or the Agent 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.

                  7.2.2    Without prejudice to the provisions of Clause 7.2.1,
                           if any Lender 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 Office by the
                           jurisdiction in which it is incorporated or in which
                           its Office is located or any other tax existing and
                           applicable on the date of this Agreement under the
                           laws of any jurisdiction) on or in relation to any
                           sum received or receivable hereunder by such Lender
                           or the Agent on its behalf (including, without
                           limitation, any sum received or receivable under this
                           Clause 7) or any liability in respect of any such
                           payment is asserted, imposed, levied or assessed
                           against such Lender or the Agent on its behalf, the
                           Borrower shall, upon demand of the Agent, indemnify
                           such Lender or the Agent against such payment or
                           liability, together with any interest, penalties and
                           expenses payable or incurred in connection therewith,
                           other than interest, penalties, and expenses (a) that
                           accrue during any periods of time beginning on the
                           thirty first (31st) day (or such longer period as any
                           Lender may reasonably require) following the day on
                           which the Lender or the Agent, as applicable, has
                           actual knowledge of the imposition or assertion of
                           such Taxes or other Taxes, or (b) that are otherwise
                           imposed or asserted on account of the bad faith or
                           wilful neglect of such Lender or the Agent. If any
                           Lender proposes to make a claim under the provisions

                                       37
<PAGE>

                           of this Clause 7.2.2 it shall certify to the Borrower
                           in reasonable detail within thirty (30) days (or such
                           longer period as any Lender may reasonably require)
                           after becoming aware of the event by reason of which
                           it is entitled to make its claim or claims the basis
                           of its claim or claims, such certificate to be
                           conclusive, save for manifest error.

                  7.2.3    Without affecting the Borrower's obligations under
                           Clause 7.2.1 and in consultation with the Agent, the
                           affected Lender will then take all such reasonable
                           steps as may be open to it to mitigate the effect of
                           the event (for example (if then possible) by changing
                           its Office or transferring some or all of its rights
                           and obligations under this Agreement to another
                           financial institution reasonably acceptable to the
                           Borrower, Hermes and the Agent). The reasonable costs
                           of mitigating the effect of any such change shall be
                           borne by the Borrower save where such costs are of an
                           internal administrative nature and are not incurred
                           in dealings by any Lender with third parties.

                  7.2.4    Each Lender, on or prior to the date on which such
                           Lender becomes a Lender hereunder, through the Agent
                           (and from time to time thereafter as required by
                           applicable law, but only for so long as such Lender
                           is legally entitled to do so or the Agent is
                           instructed to do so), shall deliver to the Borrower
                           two (2) duly completed copies of either (a) Internal
                           Revenue Service Form W-8BEN claiming eligibility of
                           the Lender for benefits of an income tax treaty to
                           which the United States is a party that reduces the
                           rate of withholding on interest to zero or (b)
                           Internal Revenue Service Form W-8ECI, or in either
                           case an applicable successor form.

                  7.2.5    No person to which a Lender assigns part or all of
                           its interest under this Agreement pursuant to Clause
                           17 shall be entitled to receive any greater increase
                           in payment under Clause 7.2.1 than the assigning
                           Lender would have been entitled to receive with
                           respect to the rights assigned unless such assignment
                           shall have been made at a time when the circumstances
                           giving rise to such greater payment did not exist.
                           Each assignee shall, on or prior to the date on which
                           the assignor assigns all or part of its interest to
                           such assignee, comply with the certification
                           requirements of Clause 7.2.3.

                                       38
<PAGE>

         7.3      PRODUCTION OF RECEIPTS FOR TAXES

                  If the Borrower makes any payment hereunder in Dollars in
                  respect of which it is required by law to make any deduction
                  or withholding for Taxes, it shall pay the full amount 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 within thirty
                  (30) days after they have made such payment to the applicable
                  authority any original receipt issued by such authority
                  evidencing the payment to such authority of all amounts so
                  required to be deducted or withheld from such payment.

                  If an additional payment is made under Clause 7.2.1 and any
                  Lender or the Agent on its behalf determines that it has
                  received or been granted a credit against or relief of or
                  calculated with reference to the deduction or withholding
                  giving rise to such additional payment, such Lender or the
                  Agent (as the case may be) shall, to the extent that it can do
                  so without prejudice to the retention of the amount of such
                  credit, relief, remission or repayment and provided that it
                  has received the cash benefit of such credit, relief or
                  remission, pay to the Borrower such amount as such Lender or
                  the Agent shall in its reasonable opinion have concluded to be
                  attributable to the relevant deduction or withholding. Any
                  such payment shall be conclusive evidence of the amount due to
                  the Borrower hereunder and shall be accepted by the Borrower
                  in full and final settlement of its rights of reimbursement
                  hereunder in respect of such deduction or withholding. Nothing
                  herein contained shall interfere with the right of any Lender
                  and the Agent to arrange their respective tax affairs in
                  whatever manner they think fit.

         7.4      MONEY OF ACCOUNT

                  If any sum due from the Borrower under this Agreement or any
                  other Security Document to which it may at any time be a
                  party, 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 under such Security
                  Document, order or judgment into another currency (the "SECOND
                  CURRENCY") for the purpose of:

                  7.4.1    making or filing a claim or proof against the
                           Borrower;

                  7.4.2    obtaining an order or judgment in any court or other
                           tribunal; or

                                       39
<PAGE>

                  7.4.3    enforcing any order or judgment given or made in
                           relation thereto;

                  the Borrower shall indemnify and hold harmless the Agent and
                  each of the Lenders from and against any damages or losses
                  suffered as a result of any discrepancy between (a) the rate
                  of exchange used to convert the sum in question from the first
                  currency into the second currency and (b) the rate or rates of
                  exchange at which each Lender and the Agent (as the case may
                  be) 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. The above indemnity shall constitute
                  an obligation of the Borrower separate and independent from
                  its other obligations and shall apply irrespective of any
                  indulgence granted by the Agent or any of the Lenders.

         7.5      ACCOUNTS

                  The Agent shall maintain in accordance with its usual practice
                  accounts evidencing the amounts from time to time lent by and
                  owing to each of the Lenders hereunder or under any of the
                  other Security Documents. In any legal action or proceeding
                  arising out of or in connection with this Agreement or any
                  other Security Document, the entries made in the accounts so
                  maintained shall be prima facie evidence, save in the case of
                  manifest error, of the existence and amounts of the
                  obligations of the Borrower recorded therein.

         7.6      EARNINGS

                  Provided no Event of Default or Possible Event of Default has
                  occurred (following which the Agent shall (inter alia) be
                  entitled to request the Borrower to give notice pursuant to
                  clause 3 of the Earnings Assignment and apply such Earnings in
                  accordance with Clause 12.1) such Earnings shall throughout
                  the Security Period be at the free disposal of the Borrower
                  but the net earnings of the Vessel shall be paid by the
                  Manager to the Operating Account within five (5) Business Days
                  of the end of each cruise of the Vessel.

         7.7      CONTINUING SECURITY

                  The security created by this Agreement and each of the other
                  Security Documents shall be held by the Trustee and/or the
                  Agent and/or the Lenders and/or the Hermes Agent as a

                                       40
<PAGE>

                  continuing security for the repayment of the Outstanding
                  Indebtedness and the security so created shall not be
                  satisfied by any intermediate payment or satisfaction of any
                  part of the amount hereby or thereby secured or by any
                  amendment of this Agreement or any of the other Security
                  Documents. Such security shall be in addition to and shall not
                  in any way be prejudiced or affected by any collateral or
                  other security now or hereafter held by the Trustee, the
                  Agent, the Lenders, the Hermes Agent or any of them for all or
                  any part of the amount hereby or thereby secured or any other
                  right or remedy of the Trustee, the Agent, the Lenders or the
                  Hermes Agent or any of them under this Agreement or any of the
                  other Security Documents, by operation of law or otherwise
                  howsoever arising. All the powers arising from such security
                  may be exercised from time to time as the Trustee and/or the
                  Agent and/or the Hermes Agent may deem expedient.

8        YIELD PROTECTION AND FORCE MAJEURE

         8.1      INCREASED COSTS

                  If by reason of:

                  8.1.1    any change in law or in its interpretation or
                           administration; and/or

                  8.1.2    compliance with any request from or requirement of
                           any central bank or other fiscal, monetary or other
                           authority including but without limitation the Basle
                           Committee on Banking Regulations and Supervisory
                           Practices whether or not having the force of law:

                           (a)      any of the Lenders incurs a cost as a result
                                    of its performing its obligations under this
                                    Agreement and/or its advancing its
                                    Contribution hereunder; or

                           (b)      there is any increase in the cost to any of
                                    the Lenders of funding or maintaining all or
                                    any of the advances comprised in a class of
                                    advances formed by or including its
                                    Contribution advanced or to be advanced by
                                    it hereunder; or

                                       41
<PAGE>

                           (c)      any of the Lenders incurs a cost as a result
                                    of its having entered into and/or its
                                    assuming or maintaining its commitment under
                                    this Agreement; or

                           (d)      any of the Lenders becomes liable to make
                                    any payment on account of Tax or otherwise
                                    (other than Tax on its overall net income)
                                    on or calculated by reference to the amount
                                    of its Contribution advanced or to be
                                    advanced hereunder and/or any sum received
                                    or receivable by it hereunder; or

                           (e)      any of the Lenders suffers any decrease in
                                    its rate of return as a result of any
                                    changes in the requirements relating to
                                    capital ratios, monetary control ratios, the
                                    payment of special deposits, liquidity costs
                                    or other similar requirements affecting that
                                    Lender,

                  then the Borrower shall from time to time on demand pay to the
                  Agent for the account of the relevant Lender or Lenders
                  amounts sufficient to indemnify the relevant Lender or Lenders
                  against, as the case may be, such cost, such increased cost
                  (or such proportion of such increased cost as is in the
                  reasonable opinion of the relevant Lender or Lenders
                  attributable to the funding or maintaining of its or their
                  Contribution(s) hereunder) or such liability.

                  A Lender affected by any provision of Clause 8.1 shall
                  promptly inform the Agent after becoming aware of the relevant
                  change and its possible results (which notice shall be
                  conclusive evidence of the relevant change and its possible
                  results) and the Agent shall, as soon as reasonably
                  practicable thereafter, notify the Borrower of the change and
                  its possible results. Without affecting the Borrower's
                  obligations under Clause 8.1 and in consultation with the
                  Agent, the affected Lender will then take all such reasonable
                  steps as may be open to it to mitigate the effect of the
                  change (for example (if then possible) by changing its Office
                  or transferring some or all of its rights and obligations
                  under this Agreement to another financial institution
                  reasonably acceptable to the Borrower and the Agent). The
                  reasonable costs of mitigating the effect of any such change
                  shall be borne by the Borrower save where such costs are of an
                  internal administrative nature and are not incurred in
                  dealings by any Lender with third parties.

                                       42
<PAGE>

         8.2      FORCE MAJEURE

                  Where the Agent, the Hermes Agent, the Trustee or any Lender
                  (the "NON-PERFORMING PARTY") is prevented from performing any
                  of its obligations under this Agreement by reason of Force
                  Majeure this Agreement shall remain in effect but the
                  Non-Performing Party's relevant obligations shall be suspended
                  for so long as the Force Majeure continues and to the extent
                  that the Non-Performing Party is so prevented, PROVIDED THAT:

                  8.2.1    the suspension of performance is of no greater scope
                           and of no longer duration than is required by the
                           Force Majeure;

                  8.2.2    the obligations of the Non-Performing Party shall not
                           be excused as a result of the Force Majeure; and

                  8.2.3    in respect of the suspension of the Non-Performing
                           Party's obligations:

                           (a)      the Non-Performing Party gives the Agent
                                    prompt written notice which the Agent shall
                                    forthwith upon receipt send to the Borrower
                                    describing the circumstances of Force
                                    Majeure (including the nature of the
                                    occurrence, its expected duration and the
                                    effects of the Force Majeure on the ability
                                    of the Non-Performing Party to perform its
                                    relevant obligations), and continues to
                                    furnish weekly reports with respect thereto
                                    during the period of Force Majeure;

                           (b)      the Non-Performing Party uses all reasonable
                                    efforts to remedy its inability to perform
                                    and to mitigate the effects of the Force
                                    Majeure; and

                           (c)      as soon as reasonably possible after the
                                    cessation of the Force Majeure the
                                    Non-Performing Party shall notify the Agent
                                    (who shall notify the Borrower) in writing
                                    of such cessation and shall resume
                                    performance of its obligations under this
                                    Agreement if such resumption is then
                                    possible.

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<PAGE>

9        REPRESENTATIONS AND WARRANTIES

         9.1      DURATION

                  The representations and warranties in Clause 9.2 and Clause
                  9.3 shall survive the execution of this Agreement and shall be
                  deemed to be repeated, with reference mutatis mutandis to the
                  facts and circumstances subsisting, as if made on each day
                  until the Borrower has no remaining obligations, actual or
                  contingent, under or pursuant to this Agreement or any of the
                  other Security Documents.

         9.2      REPRESENTATIONS AND WARRANTIES

                  The Borrower represents and warrants to the Agent and each of
                  the Lenders that:

                  9.2.1    STATUS

                           Each Obligor is a corporation duly organised,
                           constituted and validly existing under the laws of
                           the country of its incorporation, possessing
                           perpetual corporate existence, the capacity to sue
                           and be sued in its own name and the power to own and
                           charge its assets and carry on its business as it is
                           now being conducted.

                  9.2.2    POWERS AND AUTHORITY

                           Each of the Obligors has the power to enter into and
                           perform this Agreement and those of the other
                           Security Documents to which it is a party and the
                           transactions contemplated hereby and thereby and has
                           taken all necessary action to authorise the entry
                           into and performance of this Agreement and such other
                           Security Documents and such transactions.

                  9.2.3    LEGAL VALIDITY

                           This Agreement and each other Transaction Document
                           constitutes (or will constitute when executed) legal,
                           valid and binding obligations of each Obligor
                           expressed to be a party thereto enforceable in
                           accordance with their respective terms and in
                           entering into this Agreement and borrowing the Loan,
                           the Borrower is acting on its own account.

                                       44
<PAGE>

                  9.2.4    NON-CONFLICT WITH LAWS

                           The entry into and performance of this Agreement and
                           the other Transaction Documents and the transactions
                           contemplated hereby and thereby do not and will not
                           conflict with:

                           (a)      any law or regulation or any official or
                                    judicial order; or

                           (b)      the constitutional documents of any Obligor;
                                    or

                           (c)      any agreement or document to which any
                                    Obligor is a party or which is binding upon
                                    such Obligor or any of its assets,

                           nor result in the creation or imposition of any
                           Encumbrance on an Obligor or its assets pursuant to
                           the provisions of any such agreement or document.

                  9.2.5    NO DEFAULT

                           Save as disclosed in the Disclosure Letter no event
                           has occurred which constitutes a default under or in
                           respect of any Transaction Document to which any
                           Obligor is a party or by which any Obligor may be
                           bound (including (inter alia) this Agreement) and no
                           event has occurred which, with the giving of notice,
                           lapse of time, determination of materiality or other
                           condition might constitute a default under or in
                           respect of any such Transaction Document and no event
                           has occurred which constitutes a default under or in
                           respect of any agreement or document to which any
                           Obligor is a party or by which any Obligor may be
                           bound to an extent or in a manner which might have a
                           material adverse effect on its business, assets or
                           financial condition and no event has occurred which,
                           with the giving of notice, lapse of time,
                           determination of materiality or other condition might
                           constitute a default under or in respect of any such
                           agreement or document.

                  9.2.6    CONSENTS

                           Except for the filing of those Security Documents to
                           be filed with the Secretary of State of Delaware, the
                           Companies Registries in the Isle of Man or England
                           and Wales, which filings must be completed within

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                           twenty one (21) days of the execution of the relevant
                           Security Document(s) in the case of England and Wales
                           and the recording of the Mortgage at the United
                           States Coast Guard National Vessel Documentation
                           Center, all authorisations, approvals, consents,
                           licences, exemptions, filings, registrations,
                           notarisations and other matters, official or
                           otherwise, required in connection with the entry
                           into, performance, validity and enforceability of
                           this Agreement and each of the other Transaction
                           Documents to which any Obligor is a party and the
                           transactions contemplated thereby have been obtained
                           or effected and are in full force and effect except
                           authorisations, approvals, consents, licences,
                           exemptions, filings and registrations required in the
                           normal day to day course of the operation of the
                           Vessel and not already obtained by the Borrower.

                  9.2.7    ACCURACY OF INFORMATION

                           All information furnished by any Obligor relating to
                           the business and affairs of any Obligor in connection
                           with this Agreement and the other Transaction
                           Documents was and remains true and correct in all
                           material respects and there are no other material
                           facts or considerations the omission of which would
                           render any such information misleading.

                  9.2.8    FULL DISCLOSURE

                           Each Obligor has fully disclosed in writing to the
                           Agent all facts relating to each Obligor which it
                           knows or should reasonably know and which might
                           reasonably be expected to influence the Lenders in
                           deciding whether or not to enter into this Agreement.

                  9.2.9    NO ENCUMBRANCES

                           None of the assets or rights of any Obligor is
                           subject to any Encumbrance except Permitted Liens.

                  9.2.10   PARI PASSU OR PRIORITY STATUS

                           The claims of the Agent and the Lenders against the
                           Borrower under this Agreement will rank at least pari
                           passu with the claims of all unsecured creditors of

                                       46
<PAGE>

                           the Borrower (other than claims of such creditors to
                           the extent that they are statutorily preferred) and
                           in priority to the claims of any creditor of the
                           Borrower who is also an Obligor.

                  9.2.11   SOLVENCY

                           The Borrower is and shall remain, after the advance
                           to it of the Loan, solvent in accordance with the
                           laws of the State of Delaware and the United Kingdom
                           and in particular with the provisions of the
                           Insolvency Act 1986 (as from time to time amended)
                           and the requirements thereof.

                  9.2.12   WINDING-UP, ETC.

                           Neither the Borrower nor any other Obligor has taken
                           any corporate action nor have any other steps been
                           taken or legal proceedings been started or (to the
                           best of its knowledge and belief) threatened against
                           any of them for the reorganisation, winding-up,
                           dissolution or for the appointment of a liquidator,
                           administrator, receiver, administrative receiver,
                           trustee or similar officer of any of them or any or
                           all of their assets or revenues nor has it sought any
                           other relief under any applicable insolvency or
                           bankruptcy law.

                  9.2.13   ACCOUNTS

                           The consolidated audited accounts of the Group for
                           the periods ending on 31 December 2002 and 31
                           December 2003 and the consolidated audited accounts
                           of the NCLC Group for the period ending on 31
                           December 2004 and for all subsequent periods (which
                           accounts will be prepared in accordance with GAAP)
                           fairly represent the financial condition of the Group
                           or the NCLC Group (as the case may be) as shown in
                           such audited accounts (in this Clause 9.2.13 "NCLC
                           GROUP" shall have the meaning ascribed to it in
                           clause 11.4 of the Guarantee).

                  9.2.14   LITIGATION

                           Save as disclosed in writing to the Agent prior to 4
                           April 2003 and by way of the Disclosure Letter no
                           litigation, arbitration or administrative proceedings
                           are current or pending or, to its knowledge,
                           threatened, which might, if adversely determined,

                                       47
<PAGE>

                           have a material adverse effect on the business,
                           assets or financial condition of any Obligor. For the
                           avoidance of doubt, any such disclosure after 4 April
                           2003 shall not be deemed to be a reference to the
                           facts and circumstances then subsisting at any time
                           that this representation is deemed to be repeated
                           pursuant to Clause 9.1.

                  9.2.15   TAX LIABILITIES

                           The NCLC Group has complied with all taxation laws in
                           all jurisdictions in which it is subject to Taxation
                           and has paid all Taxes due and payable by it
                           including but without limitation any disputed Taxes
                           unless a reserve has been made pending resolution of
                           the dispute; no material claims are being asserted
                           against it with respect to Taxes, which might, if
                           such claims were successful, have a material adverse
                           effect on its business, assets or financial
                           condition.

                  9.2.16   OWNERSHIP OF ASSETS

                           Each member of the Group or the NCLC Group (as the
                           case may be) has good and marketable title to all its
                           assets which are reflected in the audited accounts
                           referred to in Clause 9.2.13.

                  9.2.17   NO IMMUNITY

                           None of the Obligors nor any of their respective
                           assets enjoys any right of immunity (sovereign or
                           otherwise) from set-off, suit or execution in respect
                           of their obligations under this Agreement or any of
                           the other Transaction Documents or by any relevant or
                           applicable law.

                  9.2.18   TAXES ON PAYMENTS

                           As at the date of this Agreement all amounts payable
                           by them hereunder in Dollars may be made free and
                           clear of and without deduction for or on account of
                           any Taxation.

                  9.2.19   PLACE OF BUSINESS

                           None of the Obligors has a place of business in any
                           jurisdiction (except as already disclosed) which
                           requires any of the Security Documents to be filed or

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<PAGE>

                           registered in that jurisdiction to ensure the
                           validity of the Security Documents to which it is a
                           party.

                  9.2.20   OWNERSHIP OF SHARES/MEMBERSHIP INTERESTS

                           All the Membership Interest in the Borrower and all
                           the shares in the Manager shall be legally and
                           beneficially owned by the Member, all the shares in
                           the Sub-Agent shall be legally and beneficially owned
                           by NCL International, all the shares in the Member
                           shall be legally and beneficially owned by Arrasas
                           and all the shares in Arrasas shall be legally and
                           beneficially owned by the Guarantor and such
                           structure shall remain so throughout the remainder of
                           the Security Period. Further, no Event of Default has
                           occurred under clause 11.2 of the Guarantee in
                           respect of the ownership and/or control of the shares
                           in the Guarantor.

                  9.2.21   COMPLETENESS OF DOCUMENTS

                           The copies of the Building Contract, the Management
                           Agreement, the Sub-Agency Agreement, the Hermes Loan
                           Agreement and any other relevant third party
                           agreements delivered to the Agent are true and
                           complete copies of each such document constituting
                           valid and binding obligations of the parties thereto
                           enforceable in accordance with their respective terms
                           and no amendments thereto or variations thereof have
                           been agreed nor has any action been taken by the
                           parties thereto which would in any way render such
                           document inoperative or unenforceable.

                  9.2.22   NO UNDISCLOSED COMMISSIONS

                           There are and will be no commissions, rebates,
                           premiums or other payments by or to or on account of
                           any Obligor or the Builder, their shareholders or
                           members or directors or members of the management
                           committee in connection with the transaction as a
                           whole other than as disclosed to the Agent in
                           writing.

                  9.2.23   MONEY LAUNDERING

                           Any borrowing by the Borrower under this Agreement,
                           and the performance of its obligations under this

                                       49
<PAGE>

                           Agreement and the other Transaction Documents, will
                           be for its own account and will not involve any
                           breach by it of any law or regulatory measure
                           relating to "MONEY LAUNDERING" as defined in Article
                           1 of the Directive (91/308/EEC) of the Council of the
                           European Communities.

                  9.2.24   ENVIRONMENT

                           Each of the Obligors:

                           (a)      is in compliance with all applicable
                                    federal, state, local, foreign and
                                    international laws, regulations, conventions
                                    and agreements relating to pollution
                                    prevention or protection of human health or
                                    the environment (including, without
                                    limitation, ambient air, surface water,
                                    ground water, navigable waters, water of the
                                    contiguous zone, ocean waters and
                                    international waters), including without
                                    limitation, laws, regulations, conventions
                                    and agreements relating to:

                                    (i)     emissions, discharges, releases or
                                            threatened releases of chemicals,
                                            pollutants, contaminants, wastes,
                                            toxic substances, hazardous
                                            materials, oil, hazard substances,
                                            petroleum and petroleum products and
                                            by-products ("MATERIALS OF
                                            ENVIRONMENTAL CONCERN"); or

                                    (ii)    the manufacture, processing,
                                            distribution, use, treatment,
                                            storage, disposal, transport or
                                            handling of Materials of
                                            Environmental Concern (such laws,
                                            regulations, conventions and
                                            agreements the "ENVIRONMENTAL
                                            LAWS");

                           (b)      has all permits, licences, approvals,
                                    rulings, variances, exemptions, clearances,
                                    consents or other authorisations required
                                    under applicable Environmental Laws
                                    ("ENVIRONMENTAL APPROVALS") and are in
                                    compliance with all Environmental Approvals
                                    required to operate its business as
                                    presently conducted or as reasonably
                                    anticipated to be conducted;

                                       50
<PAGE>

                           (c)      has not received any notice, claim, action,
                                    cause of action, investigation or demand by
                                    any other person, alleging potential
                                    liability for, or a requirement to incur,
                                    investigatory costs, clean-up costs,
                                    response and/or remedial costs (whether
                                    incurred by a governmental entity or
                                    otherwise), natural resources damages,
                                    property damages, personal injuries,
                                    attorney's fees and expenses or fines or
                                    penalties, in each case arising out of,
                                    based on or resulting from:

                                    (i)   the presence or release or threat of
                                          release into the environment of any
                                          Material of Environmental Concern at
                                          any location, whether or not owned by
                                          such person; or

                                    (ii)  circumstances forming the basis of any
                                          violation, or alleged violation, of
                                          any Environmental Law or Environmental
                                          Approval ("ENVIRONMENTAL CLAIM"); and

                           there are no circumstances that may prevent or
                           interfere with such full compliance in the future.

                           There is no Environmental Claim pending or threatened
                           against any of the Obligors.

                           There are no past or present actions, activities,
                           circumstances, conditions, events or incidents,
                           including, without limitation, the release, emission,
                           discharge or disposal of any Material of
                           Environmental Concern, that could form the basis of
                           any Environmental Claim against any of the Obligors.

         9.3      REPRESENTATIONS ON THE REDELIVERY DATE

                  The Borrower further represents and warrants to the Agent and
                  each of the Lenders that on the Redelivery Date the Vessel
                  will be:

                  9.3.1    in its absolute and unencumbered ownership save as
                           contemplated by the Security Documents and the Hermes
                           Loan Security Documents;

                  9.3.2    registered in its name under the laws and flag of the
                           United States of America;

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<PAGE>

                  9.3.3    classed with the highest classification available for
                           a vessel of its type free of all recommendations and
                           qualifications with Det Norske Veritas and American
                           Bureau of Shipping;

                  9.3.4    operationally seaworthy and in compliance with all
                           relevant provisions, regulations and requirements
                           (statutory or otherwise) applicable to ships
                           registered under the laws and flag of the United
                           States of America;

                  9.3.5    insured in accordance with the provisions of Clause
                           10.21 and in compliance with the requirements therein
                           in respect of such insurances; and

                  9.3.6    managed by the Manager and the Sub-Agent on and
                           subject to the terms set out in the Management
                           Agreement and the Sub-Agency Agreement.

10       UNDERTAKINGS

         10.1     DURATION

                  The undertakings in this Clause 10 shall survive the execution
                  of this Agreement and shall be deemed to be repeated with
                  reference mutatis mutandis to the facts and circumstances
                  subsisting, as if made on each day until the Borrower has no
                  remaining obligations, actual or contingent, under or pursuant
                  to this Agreement or any of the other Security Documents.

         10.2     INFORMATION

                  The Borrower will provide to the Agent for the benefit of the
                  Lenders (or will procure the provision of):

                  10.2.1   as soon as practicable (and in any event within one
                           hundred and twenty (120) days after the close of each
                           of its financial years) a Certified Copy of its
                           audited accounts for that year and of the
                           consolidated Group accounts in that year (commencing
                           with audited accounts made up to 31 December 2002)
                           such Group accounts being substituted with NCLC Group
                           accounts commencing with the audited accounts made up
                           to 31 December 2004;

                                       52
<PAGE>

                  10.2.2   as soon as practicable (and in any event within forty
                           five (45) days of the end of each quarter of each
                           financial year) a Certified Copy of the unaudited
                           consolidated accounts of the NCLC Group and the
                           unaudited accounts of the Borrower for that quarter
                           (commencing with unaudited accounts made up to 31
                           March 2004);

                  10.2.3   promptly, such further information in its possession
                           or control regarding its financial condition and
                           operations and those of any company in the NCLC Group
                           as the Agent may request;

                  10.2.4   details of any material litigation, arbitration or
                           administrative proceedings which affect any Obligor
                           as soon as the same are instituted and served, or, to
                           the knowledge of the Borrower, threatened (and for
                           this purpose proceedings shall be deemed to be
                           material if they involve a claim in an amount
                           exceeding five million Dollars (USD5,000,000) or the
                           equivalent in another currency).

                  All accounts required under this Clause 10.2 shall be prepared
                  in accordance with GAAP and shall fairly represent the
                  financial condition of the relevant company. In this Clause
                  10.2 "NCLC GROUP" shall have the meaning ascribed to it in
                  clause 11.4 of the Guarantee.

         10.3     NOTIFICATION OF DEFAULT

                  The Borrower will notify the Agent of any Event of Default or
                  Possible Event of Default forthwith upon any Obligor becoming
                  aware of the occurrence thereof. Upon the Agent's request from
                  time to time the Borrower will issue a certificate stating
                  whether any Obligor is aware of the occurrence of any Event of
                  Default or Possible Event of Default.

         10.4     CONSENTS AND REGISTRATIONS

                  The Borrower will procure that (and will promptly furnish
                  Certified Copies to the Agent of) all such authorisations,
                  approvals, consents, licences and exemptions as may be
                  required under any applicable law or regulation to enable it
                  or any Obligor to perform its obligations under, and ensure
                  the validity or enforceability of, each of the Transaction
                  Documents are obtained and promptly renewed from time to time
                  and will procure that the terms of the same are complied with

                                       53
<PAGE>

                  at all times. Insofar as such filings or registrations have
                  not been completed on or before the relevant Drawdown Date the
                  Borrower will procure the filing or registration within
                  applicable time limits of each Security Document which
                  requires filing or registration together with all ancillary
                  documents required to preserve the priority and enforceability
                  of the Security Documents.

         10.5     NEGATIVE PLEDGE

                  The Borrower will not create or permit to subsist any
                  Encumbrance on the whole or any part of its present or future
                  assets, except for the following:

                  10.5.1   Encumbrances created with the prior consent of the
                           Lenders; or

                  10.5.2   Permitted Liens.

         10.6     DISPOSALS

                  Except with the prior consent of all the Lenders and all the
                  Hermes Loan Lenders pursuant to the Co-ordination Deed, the
                  Borrower shall not (and will procure that no other company in
                  the NCLC Group shall), either in a single transaction or in a
                  series of transactions whether related or not and whether
                  voluntarily or involuntarily, sell, transfer, lease or
                  otherwise dispose of all or a substantial part of its assets
                  except that the following disposals shall not be taken into
                  account:

                  10.6.1   disposals made in the ordinary course of trading of
                           the disposing entity (excluding disposal of ships)
                           including without limitation, the payment of cash as
                           consideration for the purchase or acquisition of any
                           asset or service or in the discharge of any
                           obligation incurred for value in the ordinary course
                           of trading;

                  10.6.2   disposals of cash raised or borrowed for the purposes
                           for which such cash was raised or borrowed;

                  10.6.3   disposals of assets in exchange for other assets
                           comparable or superior as to type and value; and

                  10.6.4   a vessel owned by any member of the NCLC Group (other
                           than the Borrower) may be sold provided such sale is

                                       54
<PAGE>

                           on a willing seller willing buyer basis at or about
                           market rate and at arm's length subject always to the
                           provisions of any loan documentation for the
                           financing of such vessel and NCLL may, following the
                           sale of its shares by Arrasas to IOL, a wholly owned
                           Subsidiary of Star, transfer to other wholly owned
                           Subsidiaries of Star its vessels "NORWEGIAN WIND",
                           "NORWEGIAN DREAM", "NORWEGIAN SEA", "NORWEGIAN
                           MAJESTY", "NORWEGIAN CROWN" and "MARCO POLO" (the
                           "SIX VESSELS") for their transfer values as set out
                           in Schedule 7 and sell m.v. "NORWAY" to a third party
                           and, prior to the sale of its shares as aforesaid,
                           transfer its vessel "NORWEGIAN SKY" to Pride of Aloha
                           Inc., a wholly owned Subsidiary of the Member;

                  10.6.5   the Subsidiaries of Star to whom the Six Vessels (as
                           defined in Clause 10.6.4) have been transferred may
                           let each of the Six Vessels on demise or bareboat
                           charter to the Sub-Agent for the period and at the
                           charterhire rate set out in Schedule 7; and

                  10.6.6   Arrasas may transfer its shares in NCLL to IOL and
                           Star may transfer its shares in Arrasas to the
                           Guarantor.

         10.7     CHANGE OF BUSINESS

                  Except with the prior consent of the Agent, the Borrower shall
                  not make or threaten to make any substantial change in its
                  business as presently conducted, namely that of a single ship
                  owning company for the Vessel, or carry on any other business
                  which is substantial in relation to its business as presently
                  conducted so as to affect, in the opinion of the Agent, the
                  Borrower's ability to perform its obligations hereunder and
                  shall not form any Subsidiaries and the Borrower will procure
                  that the other Obligors continue, throughout the Security
                  Period, to perform their current business activities.

         10.8     MERGERS

                  Except with the prior consent of the Agent and Hermes, the
                  Borrower will not enter into any amalgamation, restructure,
                  substantial reorganisation, merger or consolidation or
                  anything analogous to the foregoing and will procure that no

                                       55
<PAGE>

                  company in the NCLC Group shall do so. However, the prior
                  consent of the Agent shall not be required in respect of any
                  consolidation, reorganisation or restructure involving wholly
                  owned (whether directly or indirectly) Subsidiaries of the
                  Guarantor only which does not imperil the security created by
                  any of the Security Documents or affect the ability of any
                  Obligor duly to perform any of its obligations under any
                  Security Document to which it may be a party at any time,
                  provided that the Borrower has first consulted with the Agent
                  with regard to the proposed consolidation, reorganisation or
                  restructure and provides evidence satisfactory to the Agent
                  that the Guarantor will be in compliance with the financial
                  undertakings contained in Clause 11 of the Guarantee after any
                  such consolidation, reorganisation or restructure. Further, no
                  member of the NCLC Group will acquire any equity, share
                  capital or obligations of any corporation or other entity
                  PROVIDED THAT NCL International or the Member may so acquire
                  equity, share capital or obligations of a corporation or
                  entity whose business is the ownership, operation or
                  management of cruise vessels. For the avoidance of doubt, the
                  acquisition by a member of the NCLC Group of any shares in any
                  company or corporation shall not in itself constitute a merger
                  or consolidation with such company or corporation for the
                  purpose of this Clause 10.8 provided that the Agent is
                  satisfied the Guarantor will be in compliance with the
                  financial undertakings contained in Clause 11 of the Guarantee
                  after any such merger or consolidation.

         10.9     MAINTENANCE OF STATUS AND FRANCHISES

                  The Borrower will do all such things as are necessary to
                  maintain its corporate existence in good standing and will
                  ensure that it has the right and is duly qualified to conduct
                  its business as it is conducted in all applicable
                  jurisdictions and will obtain and maintain all franchises and
                  rights necessary for the conduct of its business.

         10.10    FINANCIAL RECORDS

                  The Borrower will keep proper books of record and account, in
                  which proper and correct entries shall be made of all
                  financial transactions and the assets, liabilities and
                  business of the Borrower in accordance with GAAP.

                                       56
<PAGE>

         10.11    FINANCIAL INDEBTEDNESS AND SUBORDINATION OF INDEBTEDNESS

                  10.11.1  Otherwise than in the ordinary course of business as
                           owner of the Vessel, except as contemplated by this
                           Agreement and the Hermes Loan Agreement and except
                           any loan, advance or credit extended by the Guarantor
                           or any member of the NCLC Group which is a wholly
                           owned Subsidiary of the Guarantor, the Borrower will
                           not create, incur, assume or allow to exist any
                           financial indebtedness, enter into any finance lease
                           or undertake any material capital commitment
                           (including but not limited to the purchase of any
                           capital asset).

                  10.11.2  The Borrower shall procure that any and all
                           indebtedness (and in particular with any other
                           Obligor) is at all times fully subordinated to the
                           Security Documents and the obligations of the
                           Borrower hereunder subject to the Co-ordination Deed.
                           Upon the occurrence of an Event of Default or a
                           Possible Event of Default, the Borrower shall not
                           make any repayments of principal, payments of
                           interest or of any other costs, fees, expenses or
                           liabilities arising from or representing such
                           indebtedness except as provided in the Co-ordination
                           Deed. In this Clause "FULLY SUBORDINATED" shall mean
                           that any claim of the lender against the Borrower in
                           relation to such indebtedness shall rank after and be
                           in all respects subordinate to all of the rights and
                           claims of the Agent, the Hermes Agent and the Lenders
                           under this Agreement and the other Security Documents
                           and that the lender shall not take any steps to
                           enforce its rights to recover any monies owing to it
                           by the Borrower and in particular but without
                           limitation the lender will not institute any legal or
                           quasi-legal proceedings under any jurisdiction at any
                           time against the Vessel, its Earnings or Insurances
                           or the Borrower and it will not compete with the
                           Agent, the Hermes Agent or the Lenders in a
                           liquidation or other winding-up or bankruptcy of the
                           Borrower or in any proceedings in connection with the
                           Vessel, its Earnings or Insurances.

         10.12    POOLING OF EARNINGS AND CHARTERS

                  The Borrower will not enter into in respect of the Vessel (A)
                  any pooling agreement or other arrangement for the sharing of
                  any of the Earnings or the expenses of the Vessel or (B) any

                                       57
<PAGE>

                  demise or bareboat charter or (C) any charter whereunder two
                  (2) months' charterhire (or the equivalent thereof) is payable
                  in advance in respect of the Vessel or (D) any charter of the
                  Vessel or contract of affreightment which, with the exercise
                  of options for extension, could be for a period longer than
                  thirteen (13) months but if, with the prior written consent of
                  the Agent, the Borrower enters into in respect of the Vessel a
                  charter with a company outside the Group, the Borrower hereby
                  undertakes to execute in favour of the Trustee an assignment
                  of such charter and the Earnings therefrom such assignment to
                  be in substantially the form of the Earnings Assignment and as
                  required by the Agent PROVIDED HOWEVER THAT the Borrower may
                  in respect of the Vessel enter into a bareboat charter in form
                  approved by the Agent with any company which is a member of
                  the Group PROVIDED THAT if so requested by the Agent and
                  without limitation:

                  10.12.1  any such bareboat charterer shall enter into such
                           deeds (including but not limited to a subordination
                           and assignment deed), agreements and indemnities as
                           the Agent shall in its sole discretion require prior
                           to entering into the bareboat charter with the
                           Borrower; and

                  10.12.2  the Borrower shall assign the benefit of any such
                           bareboat charter and its interest in the Insurances
                           to the Trustee by way of further security for the
                           Borrower's obligations under the Security Documents.

         10.13    LOANS AND GUARANTEES BY THE BORROWER

                  Otherwise than in the ordinary course of business as owner of
                  the Vessel or except as contemplated hereby, the Borrower will
                  not make any loan or advance or extend credit to any person,
                  firm or corporation (except any loans, advances or credits
                  made available to (a) passengers on board the Vessel for
                  gambling purposes (b) ship's agents and/or (c) the Guarantor
                  and/or members of the NCLC Group which are wholly owned
                  Subsidiaries of the Guarantor and, in the case of such loans,
                  advances or credits as are referred to in this paragraph (c),
                  do not prevent the Borrower from performing its obligations
                  hereunder) or issue or enter into any guarantee or indemnity
                  or otherwise become directly or contingently liable for the
                  obligations of any other person, firm or corporation.

                                       58
<PAGE>

         10.14    MANAGEMENT

                  Except with the prior consent of the Agent, the Borrower will
                  not permit any person other than the Manager and the Sub-Agent
                  to be the manager and Sub-Agent of the ship and crewing
                  services of the Vessel respectively or permit any amendment to
                  be made to the terms of the Management Agreement or the
                  Sub-Agency Agreement.

         10.15    ACQUISITION OF SHARES

                  The Borrower will not acquire any equity, share capital,
                  assets or obligations of any corporation or other entity or
                  permit its Membership Interest to be held by any party other
                  than the Member.

         10.16    TRADING WITH THE UNITED STATES OF AMERICA

                  Where the Vessel trades in the territorial waters of the
                  United States of America, the Borrower shall in respect of the
                  Vessel take all reasonable precautions to prevent any
                  infringements of the Anti-Drug Abuse Act of 1986 of the United
                  States of America (as the same may be amended and/or
                  re-enacted from time to time hereafter) or any similar
                  legislation applicable to the Vessel in any other jurisdiction
                  in which the Vessel shall trade (a "RELEVANT JURISDICTION")
                  and, for this purpose the Borrower shall (inter alia) enter
                  into a "Carrier Initiative Agreement" with the United States'
                  Customs Service (if such is possible) and procure that the
                  same (or a similar agreement in a Relevant Jurisdiction) is
                  maintained in full force and effect and its obligations
                  thereunder performed by it in respect of the Vessel throughout
                  any period of United States of America (including coastal
                  waters over which it claims jurisdiction) or Relevant
                  Jurisdiction related trading.

         10.17    FURTHER ASSURANCE

                  The Borrower will, from time to time on being required to do
                  so by the Agent, do or procure the doing of all such acts
                  and/or execute or procure the execution of all such documents
                  in a form satisfactory to the Agent as the Agent may

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                  reasonably consider necessary for giving full effect to any of
                  the Transaction Documents or securing to the Trustee, the
                  Agent, the Hermes Agent and the Lenders the full benefit of
                  the rights, powers and remedies conferred upon the Trustee,
                  the Agent, the Hermes Agent or the Lenders in any such
                  Transaction Document.

         10.18    VALUATION OF THE VESSEL

                  10.18.1  The Borrower will from time to time (but at intervals
                           no more frequently than twice annually at the
                           Borrower's expense) within fifteen (15) days of
                           receiving any request to that effect from the Agent,
                           procure that the Vessel is valued by an independent
                           reputable shipbroker or shipvaluer experienced in
                           valuing cruise ships appointed by the Borrower and
                           approved by the Agent (which approval shall not be
                           unreasonably withheld or delayed and such valuation
                           to be made with or without taking into account the
                           benefit or otherwise of any fixed employment relating
                           to the Vessel as the Agent may require).

                  10.18.2  If the Borrower does not accept the valuation
                           obtained pursuant to Clause 10.18.1 (the "FIRST
                           VALUATION") it may (at its own expense) within five
                           (5) Business Days of receipt of the First Valuation
                           obtain a second valuation (the "SECOND VALUATION")
                           from another independent reputable shipbroker or
                           shipvaluer experienced in valuing cruise ships
                           appointed by the Borrower and approved by the Agent
                           which approval shall not be unreasonably withheld or
                           delayed.

                  10.18.3  If the Second Valuation exceeds the First Valuation
                           by a margin of no less than ten per cent (10%) of the
                           First Valuation the Borrower may at its expense
                           forthwith upon receipt of the Second Valuation
                           request the shipbrokers and/or or shipvaluers
                           appointed pursuant to Clauses 10.18.1 and 10.18.2 to
                           obtain a third valuation (the "THIRD VALUATION") from
                           a further independent reputable shipbroker or
                           shipvaluer experienced in valuing cruise ships
                           approved by the Agent such approval not to be
                           unreasonably withheld or delayed. Subject to the
                           Third Valuation being made available within five (5)
                           Business Days of the date of the Second Valuation the
                           valuation of the Vessel will be determined on the
                           basis of the average of the three valuations so
                           obtained. If the Third Valuation is not made
                           available within the aforementioned time limit the
                           Vessel shall be valued on the basis of the average of
                           the First Valuation and the Second Valuation.

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                  10.18.4  The Borrower shall procure that forthwith upon the
                           issuance of any valuation obtained pursuant to this
                           Clause 10.18 a copy thereof is sent directly to the
                           Agent for review.

         10.19    MARGINAL SECURITY

                  If at any time after the Redelivery Date, the value of the
                  Vessel as assessed in accordance with the provisions of Clause
                  10.18 and the value of any additional cash collateral deposits
                  or the value of other security (not including any other
                  security provided by the existing Security Documents)
                  acceptable to the Agent provided by the Borrower or any third
                  party to secure the due performance by the Borrower of its
                  obligations hereunder at valuations reasonably estimated by
                  the Agent from time to time is less than one hundred and
                  twenty five per cent (125%) of the aggregate of the amounts of
                  the Loan and the Hermes Loan, then the Agent may give the
                  Borrower notice requiring the Borrower to provide additional
                  security and in such event within thirty (30) days of such
                  notice, the Borrower will either:

                  10.19.1  provide the Agent with additional security acceptable
                           to the Agent such that the security value of the
                           Vessel or the aggregate of the security value of the
                           Vessel and any additional security provided to the
                           Agent hereunder (at valuations reasonably estimated
                           by the Agent from time to time) is at least one
                           hundred and twenty five per cent (125%) of the
                           aggregate of the amounts of the Loan and the Hermes
                           Loan; or

                  10.19.2  prepay the Loan together with accrued interest on the
                           amount prepaid such that the value of the security is
                           one hundred and twenty five per cent (125%) of the
                           aggregate of the amounts of the Loan and the Hermes
                           Loan.

         10.20    PERFORMANCE OF EMPLOYMENT CONTRACTS

                  The Borrower will:

                  10.20.1  perform its obligations under each charterparty or
                           employment contract made in respect of the Vessel and
                           take all necessary steps to procure the due
                           performance of the obligations of any party under any
                           charterparty or contract. It will not without the

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                           prior written consent of the Agent rescind, cancel or
                           otherwise terminate any charterparty or contract in
                           respect of the Vessel PROVIDED ALWAYS THAT any
                           determination by it of any such charterparty or
                           contract after such consent is given shall be without
                           responsibility on the part of the Agent who shall be
                           under no liability whatsoever in the event that such
                           termination thereafter be adjudged to constitute a
                           repudiation of such charterparty or contract by the
                           Borrower;

                  10.20.2  promptly notify the Agent (a) of any default under
                           any such charterparty or contract of which it has
                           knowledge by it and/or by any other party under any
                           other such charterparty or contract (b) of any such
                           charterparty or contract being frustrated or the
                           performance thereof becoming impossible or
                           substantially different from that contemplated
                           originally by the parties thereto;

                  10.20.3  institute and maintain all such proceedings as may be
                           necessary or expedient to preserve or protect the
                           interest of the Trustee as assignee and itself under
                           any of its charterparties or contracts made in
                           respect of the Vessel;

                  10.20.4  not take or omit to take any action the taking or
                           omission of which might result in any material
                           alteration or impairment of any charterparty or
                           contract made in respect of the Vessel;

                  10.20.5  not substitute any other ship or ships for the Vessel
                           under any charterparty or contract made in respect of
                           the Vessel;

                  10.20.6  not without the Agent's prior consent agree to any
                           material variation, modification or amendment in the
                           terms of any charterparty or contract in respect of
                           the Vessel or release any other party from any of
                           their respective obligations thereunder or waive any
                           breach of the obligations of any person or consent to
                           any such act or omission of any person as would
                           otherwise constitute such breach;

                  10.20.7  not without the Agent's prior consent let or employ
                           the Vessel below approximately the market rate
                           prevailing when the Vessel is fixed;

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                  10.20.8  procure that the Earnings (if any) are paid in full
                           without set off and free and clear of and without
                           deduction for any taxes levies duties imposts charges
                           fees restrictions or conditions of any nature
                           whatsoever; and

                  10.20.9  if, immediately following the termination (for
                           whatever reason) of any charterparty or contract in
                           respect of the Vessel, the Vessel is not employed in
                           a manner acceptable to the Agent in its sole
                           discretion the Borrower shall provide additional
                           security for its obligations hereunder in such
                           manner, of such type and within such period as the
                           Agent may determine in its absolute discretion.

         10.21    INSURANCES

                  The Borrower covenants with the Agent and the Lenders and
                  undertakes:

                  10.21.1  from the Redelivery Date until the end of the
                           Security Period to insure the Vessel in its name and
                           keep the Vessel insured on an agreed value basis for
                           an amount in Dollars approved by the Agent but not
                           being less than the greater of:

                           (a)      one hundred and twenty five per cent (125%)
                                    of the aggregate of the amounts of the Loan
                                    and the Hermes Loan; or

                           (b)      the full market and commercial value of the
                                    Vessel determined in accordance with Clause
                                    10.18 from time to time

                           through internationally recognised independent first
                           class insurance companies, underwriters, war risks
                           and protection and indemnity associations acceptable
                           to the Agent in each instance on terms and conditions
                           approved by the Agent including as to deductibles but
                           at least in respect of:

                           (i)      marine risks including all risks customarily
                                    and usually covered by first-class and
                                    prudent shipowners in the London insurance
                                    markets under English marine policies or
                                    Agent-approved policies containing the
                                    ordinary conditions applicable to similar
                                    vessels;

                           (ii)     war risks and war risks (protection and
                                    indemnity) up to the insured amount;

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                           (iii)    excess risks that is to say the proportion
                                    of claims for general average and salvage
                                    charges and under the running down clause
                                    not recoverable in consequence of the value
                                    at which the Vessel is assessed for the
                                    purpose of such claims exceeding the insured
                                    value;

                           (iv)     protection and indemnity risks with full
                                    standard coverage and up to the highest
                                    limit of liability available (for oil
                                    pollution risk the highest limit currently
                                    available is one billion Dollars
                                    (USD1,000,000,000) and this to be increased
                                    if requested by the Agent and the increase
                                    is possible in accordance with the standard
                                    protection and indemnity cover for vessels
                                    of its type and is compatible with prudent
                                    insurance practice for first class cruise
                                    shipowners or operators in waters where the
                                    Vessel trades from time to time from the
                                    Redelivery Date until the end of the
                                    Security Period);

                           (v)      when and while the Vessel is laid-up, in
                                    lieu of hull insurance, normal port risks;

                           (vi)     such other risks as the Agent may from time
                                    to time reasonably require;

                           and in any event in respect of those risks and at
                           those levels covered by first class and prudent
                           owners and/or financiers in the international market
                           in respect of similar tonnage PROVIDED THAT if any of
                           such insurances are also effected in the name of any
                           other person (other than the Borrower, the Agent, the
                           Hermes Agent, the Trustee and/or the Lenders) such
                           person shall if so required by the Agent execute a
                           first priority assignment of its interest in such
                           insurances in favour of the Trustee and the Hermes
                           Loan Trustee in similar terms mutatis mutandis to the
                           Insurance Assignment;

                  10.21.2  to agree that the Hermes Agent shall take out
                           mortgagee interest insurance on such conditions as
                           the Hermes Agent may reasonably require and mortgagee
                           interest insurance for pollution risks as from time

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                           to time agreed each for an amount in Dollars of one
                           hundred and ten per cent (110%) of the aggregate of
                           the amounts of the Loan and the Hermes Loan, the
                           Borrower having no interest or entitlement in respect
                           of such policies; the Borrower shall upon demand of
                           the Hermes Agent reimburse the Hermes Agent for the
                           costs of effecting and/or maintaining any such
                           insurance(s) and the Hermes Agent hereby undertakes
                           to use its reasonable endeavours to match the premium
                           level that the Borrower would have paid if the
                           Borrower itself had arranged such cover on such
                           conditions (as demonstrated to the reasonable
                           satisfaction of the Hermes Agent);

                  10.21.3  if the Vessel shall trade in the United States of
                           America and/or the Exclusive Economic Zone of the
                           United States of America (the "EEZ") as such term is
                           defined in the US Oil Pollution Act 1990 ("OPA"), to
                           comply strictly with the requirements of OPA and any
                           similar legislation which may from time to time be
                           enacted in any jurisdiction in which the Vessel
                           presently trades or may or will trade at any time
                           during the existence of this Agreement and in
                           particular before such trade is commenced and during
                           the entire period during which such trade is carried
                           on:

                           (a)      to pay any additional premiums required to
                                    maintain protection and indemnity cover for
                                    oil pollution up to the limit available to
                                    it for the Vessel in the market;

                           (b)      to make all such quarterly or other voyage
                                    declarations as may from time to time be
                                    required by the Vessel's protection and
                                    indemnity association and to comply with all
                                    obligations in order to maintain such cover,
                                    and promptly to deliver to the Agent copies
                                    of such declarations;

                           (c)      to submit the Vessel to such additional
                                    periodic, classification, structural or
                                    other surveys which may be required by the
                                    Vessel's protection and indemnity insurers
                                    to maintain cover for such trade and
                                    promptly to deliver to the Agent copies of
                                    reports made in respect of such surveys;

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<PAGE>

                           (d)      to implement any recommendations contained
                                    in the reports issued following the surveys
                                    referred to in Clause 10.21.3(c) within the
                                    time limit specified therein and to provide
                                    evidence satisfactory to the Agent that the
                                    protection and indemnity insurers are
                                    satisfied that this has been done;

                           (e)      in particular strictly to comply with the
                                    requirements of any applicable law,
                                    convention, regulation, proclamation or
                                    order with regard to financial
                                    responsibility for liabilities imposed on
                                    the Borrower or the Vessel with respect to
                                    pollution by any state or nation or
                                    political subdivision thereof, including but
                                    not limited to OPA, and to provide the Agent
                                    on demand with such information or evidence
                                    as it may reasonably require of such
                                    compliance;

                           (f)      to procure that the protection and indemnity
                                    insurances do not contain a clause excluding
                                    the Vessel from trading in waters of the
                                    United States of America and the EEZ or any
                                    other provision analogous thereto and to
                                    provide the Agent with evidence that this is
                                    so; and

                           (g)      strictly to comply with any operational or
                                    structural regulations issued from time to
                                    time by any relevant authorities under OPA
                                    so that at all times the Vessel falls within
                                    the provisions which limit strict liability
                                    under OPA for oil pollution;

                  10.21.4  to give notice forthwith of any assignment of its
                           interest in the Insurances to the relevant brokers,
                           insurance companies, underwriters and/or associations
                           in the form approved by the Agent;

                  10.21.5  to execute and deliver all such documents and do all
                           such things as may be necessary to confer upon the
                           Trustee legal title to the Insurances in respect of
                           the Vessel and to procure that the interest of the
                           Trustee is at all times filed with all slips, cover
                           notes, policies and certificates of entry and to
                           procure (a) that a loss payable clause in the form
                           approved by the Agent shall be filed with all the
                           hull, machinery and equipment and war risks policies

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<PAGE>

                           in respect of the Vessel and (b) that a loss payable
                           clause in the form approved by the Agent shall be
                           endorsed upon the protection and indemnity
                           certificates of entry in respect of the Vessel;

                10.21.6    to procure that each of the relevant brokers and
                           associations furnishes the Agent with a letter of
                           undertaking in such form as may be required by the
                           Agent and waives any lien for premiums or calls
                           except in relation to premiums or calls attributable
                           to the Vessel;

                10.21.7    punctually to pay all premiums, calls, contributions
                           or other sums payable in respect of the Insurances on
                           the Vessel and to produce all relevant receipts when
                           so required by the Agent;

                10.21.8    to renew each of the Insurances on the Vessel at
                           least ten (10) days before the expiry thereof and to
                           give immediate notice to the Agent of such renewal
                           and to procure that the relevant brokers or
                           associations shall promptly confirm in writing to the
                           Agent that such renewal is effected it being
                           understood by the Borrower that any failure to renew
                           the Insurances on the Vessel at least ten (10) days
                           before the expiry thereof or to give or procure the
                           relevant notices of such renewal shall constitute an
                           Event of Default;

                10.21.9    to arrange for the execution of such guarantees as
                           may from time to time be required by any protection
                           and indemnity and/or war risks association;

                10.21.10   to furnish the Agent from time to time on request
                           with full information about all Insurances maintained
                           on the Vessel and the names of the offices,
                           companies, underwriters, associations or clubs with
                           which such Insurances are placed;

                10.21.11   not to agree to any variation in the terms of any of
                           the Insurances on the Vessel without the prior
                           approval of the Agent nor to do any act or
                           voluntarily suffer or permit any act to be done
                           whereby any Insurances shall or may be rendered
                           invalid, void, voidable, suspended, defeated or
                           unenforceable and not to suffer or permit the Vessel
                           to engage in any voyage nor to carry any cargo not
                           permitted under any of the Insurances without first
                           obtaining the consent of the insurers or reinsurers

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                           concerned and complying with such requirements as to
                           payment of extra premiums or otherwise as the
                           insurers or reinsurers may impose;

                10.21.12   not without the prior written consent of the Agent to
                           settle, compromise or abandon any claim in respect of
                           any of the Insurances on the Vessel other than a
                           claim of less than five million Dollars
                           (USD5,000,000) or the equivalent in any other
                           currency and not being a claim arising out of a Total
                           Loss;

                10.21.13   promptly to furnish the Agent with full information
                           regarding any casualties or other accidents or damage
                           to the Vessel involving an amount in excess of five
                           million Dollars (USD5,000,000);

                10.21.14   to apply or ensure the appliance of all such sums
                           receivable in respect of the Insurances on the Vessel
                           for the purpose of making good the loss and fully
                           repairing all damage in respect whereof the insurance
                           monies shall have been received;

                10.21.15   that in the event of it making default in insuring
                           and keeping insured the Vessel as hereinbefore
                           provided then the Agent may (but shall not be bound
                           to) insure the Vessel or enter the Vessel in such
                           manner and to such extent as the Agent in its
                           discretion thinks fit and in such case all the cost
                           of effecting and maintaining such insurance together
                           with interest thereon at the Interest Rate shall be
                           paid on demand by the Borrower to the Agent; and

                10.21.16   to agree that the Agent shall be entitled from time
                           to time (but at intervals no more frequently than
                           annually at the Borrower's expense except in the case
                           that the Redelivery Date and any renewal of the
                           Insurances to be assigned to the Trustee and the
                           Hermes Loan Trustee pursuant to the Insurance
                           Assignment fall within one (1) year of each other) to
                           instruct independent reputable insurance advisers for

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                           the purpose of obtaining any advice or information
                           regarding any matter concerning the Insurances which
                           the Agent shall at its sole discretion deem
                           necessary, it being hereby specifically agreed that
                           it shall reimburse the Agent on demand for all
                           reasonable costs and expenses incurred by the Agent
                           in connection with the instruction of such advisers
                           as aforesaid.

         10.22  OPERATION AND MAINTENANCE OF THE VESSEL

                From the Redelivery Date until the end of the Security Period
                at its own expense the Borrower will:

                10.22.1    keep the Vessel in a good and efficient state of
                           repair so as to maintain it to the highest
                           classification available for the Vessel of its age
                           and type free of all recommendations and
                           qualifications with Det Norske Veritas and American
                           Bureau of Shipping. On the Redelivery Date and
                           annually thereafter, it will furnish to the Agent a
                           statement by such classification society that such
                           classification is maintained. It will comply with all
                           recommendations, regulations and requirements
                           (statutory or otherwise) from time to time applicable
                           to the Vessel and shall have on board as and when
                           required thereby valid certificates showing
                           compliance therewith and shall procure that all
                           repairs to or replacements of any damaged, worn or
                           lost parts or equipment are carried out (both as
                           regards workmanship and quality of materials) so as
                           not to diminish the value or class of the Vessel. It
                           will not make any substantial modifications or
                           alterations to the Vessel or any part thereof without
                           the prior consent of the Agent;

                10.22.2    submit the Vessel to continuous survey in respect of
                           its machinery and hull and such other surveys as may
                           be required for classification purposes and, if so
                           required by the Agent, supply to the Agent copies in
                           English of the survey reports;

                10.22.3    permit surveyors or agents appointed by the Agent to
                           board the Vessel at all reasonable times to inspect
                           its condition or satisfy themselves as to repairs
                           proposed or already carried out and afford all proper
                           facilities for such inspections;

                10.22.4    comply, or procure that the Manager will comply, with
                           the ISM Code or any replacement of the ISM Code and
                           in particular, without prejudice to the generality of
                           the foregoing, as and when required to do so by the
                           ISM Code and at all times thereafter:

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                           (a)      hold, or procure that the Manager holds, a
                                    valid Document of Compliance duly issued to
                                    the Borrower or the Manager (as the case may
                                    be) pursuant to the ISM Code and a valid
                                    Safety Management Certificate duly issued to
                                    the Vessel pursuant to the ISM Code;

                           (b)      provide the Agent with copies of any such
                                    Document of Compliance and Safety Management
                                    Certificate as soon as the same are issued;
                                    and

                           (c)      keep, or procure that there is kept, on
                                    board the Vessel a copy of any such Document
                                    of Compliance and the original of any such
                                    Safety Management Certificate;

                10.22.5    comply, or procure that the Manager will comply, with
                           the ISPS Code or any replacement of the ISPS Code and
                           in particular, without prejudice to the generality of
                           the foregoing, as and when required to do so by the
                           ISPS Code and at all times thereafter:

                           (a)      keep, or procure that there is kept, on
                                    board the Vessel the original of the
                                    International Ship Security Certificate; and

                           (b)      keep, or procure that there is kept, on
                                    board the Vessel a copy of the ship security
                                    plan prepared pursuant to the ISPS Code;

                10.22.6    not employ the Vessel or permit its employment in any
                           trade or business which is forbidden by any
                           applicable law or is otherwise illicit or in carrying
                           illicit or prohibited goods or in any manner
                           whatsoever which may render it liable to condemnation
                           in a prize court or to destruction, seizure or
                           confiscation or that may expose the Vessel to
                           penalties. In the event of hostilities in any part of
                           the world (whether war be declared or not) it will
                           not employ the Vessel or permit its employment in
                           carrying any contraband goods;

                10.22.7    promptly provide the Agent with (a) all information
                           which the Agent may reasonably require regarding the

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                           Vessel, its employment, earnings, position and
                           engagements (b) particulars of all towages and
                           salvages and (c) copies of all charters and other
                           contracts for its employment and otherwise concerning
                           it;

                10.22.8    give notice to the Agent promptly and in reasonable
                           detail upon the Borrower or any other Obligor
                           becoming aware of:

                           (a)      accidents to the Vessel involving repairs
                                    the cost of which will or is likely to
                                    exceed five million Dollars (USD5,000,000);

                           (b)      the Vessel becoming or being likely to
                                    become a Total Loss or a Compulsory
                                    Acquisition;

                           (c)      any recommendation or requirement made by
                                    any insurer or classification society or by
                                    any competent authority which is not
                                    complied with within any time limit relating
                                    thereto;

                           (d)      any writ or claim served against or any
                                    arrest of the Vessel or the exercise of any
                                    lien or purported lien on the Vessel, its
                                    Earnings or Insurances;

                           (e)      the occurrence of any Possible Event of
                                    Default and/or Event of Default;

                           (f)      the Vessel ceasing to be registered under
                                    the flag of the United States of America or
                                    anything which is done or not done whereby
                                    such registration may be imperilled;

                           (g)      it becoming impossible or unlawful for it to
                                    fulfil any of its obligations under the
                                    Security Documents; and

                           (h)      anything done or permitted or not done in
                                    respect of the Vessel by any person which is
                                    likely to imperil the security created by
                                    the Security Documents;

                10.22.9    promptly pay and discharge all debts, damages and
                           liabilities, taxes, assessments, charges, fines,
                           penalties, tolls, dues and other outgoings in respect
                           of the Vessel and keep proper books of account in
                           respect thereof PROVIDED ALWAYS THAT the Borrower
                           shall not be obliged to compromise any debts, damages

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                           and liabilities as aforesaid which are being
                           contested in good faith subject always that full
                           details of any such contested debt, damage or
                           liability which, either individually or in aggregate
                           exceeds five million Dollars (USD5,000,000) shall
                           forthwith be provided to the Agent. As and when the
                           Agent may so require the Borrower will make such
                           books available for inspection on behalf of the Agent
                           and provide evidence satisfactory to the Agent that
                           the wages and allotments and the insurance and
                           pension contributions of the master and crew are
                           being regularly paid, that all deductions of crew's
                           wages in respect of any tax liability are being
                           properly accounted for and that the master has no
                           claim for disbursements other than those incurred in
                           the ordinary course of trading on the voyage then in
                           progress or completed prior to such inspection;

                10.22.10   maintain the type of the Vessel as at the Redelivery
                           Date and not put the Vessel into the possession of
                           any person without the prior consent of the Agent for
                           the purpose of work being done on it in an amount
                           exceeding or likely to exceed five million Dollars
                           (USD5,000,000) unless such person shall first have
                           given to the Agent a written undertaking addressed to
                           the Agent in terms satisfactory to the Agent agreeing
                           not to exercise a lien on the Vessel or its Earnings
                           for the cost of such work or for any other reason;

                10.22.11   promptly pay and discharge all liabilities which have
                           given rise, or may give rise, to liens or claims
                           enforceable against the Vessel under the laws of all
                           countries to whose jurisdiction the Vessel may from
                           time to time be subject and in particular the
                           Borrower hereby agrees to indemnify and hold the
                           Lenders, the Agent, the Hermes Agent and the Trustee,
                           their successors, assigns, directors, officers,
                           shareholders, employees and agents harmless from and
                           against any and all claims, losses, liabilities,
                           damages, expenses (including attorneys, fees and
                           expenses and consultant fees) and injuries of any
                           kind whatsoever asserted against the Lenders, the
                           Agent, the Hermes Agent or the Trustee, with respect
                           to or as a direct result of the presence, escape,
                           seepage, spillage, release, leaking, discharge or
                           migration from the Vessel or other properties owned
                           or operated by the Borrower of any hazardous
                           substance, including without limitation, any claims
                           asserted or arising under any applicable
                           environmental, health and safety laws, codes and

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                           ordinances, and all rules and regulations promulgated
                           thereunder of all Governmental Agencies, regardless
                           of whether or not caused by or within the control of
                           the Borrower subject to the following:

                           (a)      it is the parties' understanding that the
                                    Lenders, the Agent, the Hermes Agent and the
                                    Trustee do not now, have never and do not
                                    intend in the future to exercise any
                                    operational control or maintenance over the
                                    Vessel or any other properties and
                                    operations owned or operated by the
                                    Borrower, nor in the past, presently, or
                                    intend in the future to, maintain an
                                    ownership interest in the Vessel or any
                                    other properties owned or operated by the
                                    Borrower except as may arise upon
                                    enforcement of the Lenders' rights under the
                                    Mortgage;

                           (b)      the indemnity and hold harmless contained in
                                    this Clause 10.22.11 shall not extend to the
                                    Lenders, the Agent, the Hermes Agent and the
                                    Trustee in their capacity as an equity
                                    investor in the Borrower or as an owner of
                                    any property or interest as to which the
                                    Borrower is also owner but only to their
                                    capacity as lenders, holders of security
                                    interests or beneficiaries of security
                                    interests; and

                           (c)      unless and until an Event of Default shall
                                    have occurred and without prejudice to the
                                    right of each Lender to be indemnified
                                    pursuant to this Clause 10.22.11:

                                    (i)   each Lender will, if it is reasonably
                                          practicable to do so, notify the
                                          Borrower upon receiving a claim in
                                          respect of which the relevant Lender
                                          is or may become entitled to an
                                          indemnity under this Clause 10.22.11;

                                    (ii)  subject to the prior written approval
                                          of the relevant Lender which the
                                          Lender shall have the right to
                                          withhold, the Borrower will be

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                                          entitled to take, in the name of the
                                          relevant Lender, such action as the
                                          Borrower may see fit to avoid,
                                          dispute, resist, appeal, compromise or
                                          defend any such claims, losses,
                                          liabilities, damages, expenses and
                                          injuries as are referred to above in
                                          this Clause 10.22.11 or to recover the
                                          same from any third party, subject to
                                          the Borrower first ensuring that the
                                          relevant Lender is secured to its
                                          reasonable satisfaction against all
                                          expenses thereby incurred or to be
                                          incurred; and

                                    (iii) the relevant Lender will, to the
                                          extent that it is reasonably
                                          practicable to do so, seek the
                                          approval of the Borrower (such
                                          approval not to be unreasonably
                                          withheld or delayed) before making any
                                          admission of liability, agreement or
                                          compromise with a third party, or any
                                          payment to a third party, in respect
                                          of such claims, losses, liabilities,
                                          damages, expenses and injuries as are
                                          referred to above in this Clause
                                          10.22.11 and, to the extent that the
                                          Borrower is entitled to take action in
                                          accordance with sub-clause (ii) above
                                          and subject to the Borrower first
                                          ensuring that the relevant Lender is
                                          secured to its reasonable satisfaction
                                          against all expenses thereby incurred
                                          or to be incurred, the relevant Lender
                                          will provide such information,
                                          assistance and other co-operation as
                                          the Borrower may reasonably request in
                                          connection with such action,

                           PROVIDED ALWAYS THAT the Borrower shall not be
                           obliged to compromise any liabilities as aforesaid
                           which are being contested in good faith subject
                           always that full details of any such contested
                           liabilities which, either individually or in
                           aggregate, exceed five million Dollars (USD5,000,000)
                           shall be forthwith provided to the Agent. If the
                           Vessel is arrested or detained for any reason it will
                           procure its immediate release by providing bail or
                           taking such other steps as the circumstances may
                           require;

                10.22.12   give to the Agent at such times as it may from time
                           to time require a certificate, duly signed on its
                           behalf as to the amount of any debts, damages and
                           liabilities relating to the Vessel and, if so
                           required by the Agent, forthwith discharge such
                           debts, damages and liabilities to the Agent's
                           satisfaction; and

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                10.22.13   maintain the registration of the Vessel under and fly
                           the flag of the United States of America and not do
                           or permit anything to be done whereby such
                           registration may be forfeited or imperilled.

         10.23  HERMES COVER PARAMOUNT

                The terms and conditions of the Hermes Cover are incorporated
                herein and in so far as they impose terms, conditions and/or
                obligations on the Trustee and/or the Agent and/or the Hermes
                Agent and/or the Lenders in relation to the Borrower or any
                other Obligor then such terms, conditions and obligations are
                binding on the parties hereto and any breach of the terms of the
                Hermes Cover as applied to the Borrower or any other Obligor
                shall be deemed to be an Event of Default.

         10.24  DIVIDENDS

                Subject to the provisions of clause 11.3 of the Guarantee, the
                Borrower will procure that any dividends or other distributions
                and interest paid or payable in connection therewith received by
                the Member will be paid to Arrasas and then on to the Guarantor
                by way of dividend in each case promptly on receipt.

11       DEFAULT

         11.1   EVENTS OF DEFAULT

                Each of the events set out below is an Event of Default:

                11.1.1     NON-PAYMENT

                           The Borrower or any other Obligor does not pay on the
                           due date any amount of principal or interest of the
                           Loan (provided however that if any such amount is not
                           paid when due solely by reason of some error or
                           omission on the part of the bank or banks through
                           whom the relevant funds are being transmitted no
                           Event of Default shall occur for the purposes of this
                           Clause 11.1.1 until the expiry of three (3) Business
                           Days following the date on which such payment is
                           due), or within three (3) Business Days of the due

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                           date any other amount, payable by it under any
                           Security Document to which it may at any time be a
                           party, at the place and in the currency in which it
                           is expressed to be payable.

                11.1.2     BREACH OF OTHER OBLIGATIONS

                           (a)      Any Obligor fails to comply with any other
                                    material provision of any Security Document
                                    or there is any other material breach in the
                                    sole opinion of the Agent of any of the
                                    Transaction Documents and such failure (if
                                    in the opinion of the Agent in its sole
                                    discretion it is capable of remedy)
                                    continues unremedied for a period of twenty
                                    one (21) days from the date of its
                                    occurrence and in any such case as aforesaid
                                    the Agent in its sole discretion considers
                                    that such failure is or could reasonably be
                                    expected to become materially prejudicial to
                                    the interests, rights or position of the
                                    Lenders; or

                           (b)      If there is a repudiation or termination of
                                    any Transaction Document or if any of the
                                    parties thereto becomes entitled to
                                    terminate or repudiate any of them and
                                    evidences an intention so to do.

                11.1.3     MISREPRESENTATION

                           Any representation, warranty or statement made or
                           repeated in, or in connection with, any Transaction
                           Document or in any accounts, certificate, statement
                           or opinion delivered by or on behalf of any Obligor
                           thereunder or in connection therewith is materially
                           incorrect when made or would, if repeated at any time
                           hereafter by reference to the facts subsisting at
                           such time, no longer be materially correct.

                11.1.4     CROSS DEFAULT

                           (a)      Any event of default occurs under any
                                    financial contract or financial document
                                    relating to any Financial Indebtedness of
                                    any member of the NCLC Group;

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                           (b)      Any such Financial Indebtedness or any sum
                                    payable in respect thereof is not paid when
                                    due (after the expiry of any applicable
                                    grace period(s)) whether by acceleration or
                                    otherwise;

                           (c)      Any Encumbrance over any assets of any
                                    member of the NCLC Group becomes
                                    enforceable;

                           (d)      Any other Financial Indebtedness of any
                                    member of the NCLC Group is not paid when
                                    due or is or becomes capable of being
                                    declared due prematurely by reason of
                                    default or any security for the same becomes
                                    enforceable by reason of default;

                           PROVIDED THAT:

                           (i)      No Event of Default will arise if the
                                    relevant Financial Indebtedness is not
                                    accelerated or, if it is accelerated but, in
                                    aggregate, the Financial Indebtedness is
                                    less than five million Dollars
                                    (USD5,000,000); and

                           (ii)     Financial Indebtedness being contested by
                                    the Borrower in good faith will be
                                    disregarded provided first that full details
                                    of the dispute shall be submitted to the
                                    Agent forthwith upon its occurrence and
                                    second if the dispute remains unresolved for
                                    a period of one hundred and fifty (150) days
                                    this Clause 11.1.4(ii) shall not apply to
                                    that Financial Indebtedness.

                11.1.5     WINDING-UP

                           Any order is made or an effective resolution passed
                           or other action taken for the suspension of payments
                           or reorganisation, dissolution, termination of
                           existence, liquidation, winding-up or bankruptcy of
                           any member of the NCLC Group.

                11.1.6     MORATORIUM OR ARRANGEMENT WITH CREDITORS

                           A moratorium in respect of all or any debts of any
                           member of the NCLC Group or a composition or an
                           arrangement with creditors of any member of the NCLC
                           Group or any similar proceeding or arrangement by

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                           which the assets of any member of the NCLC Group are
                           submitted to the control of its creditors is applied
                           for, ordered or declared or any member of the NCLC
                           Group commences negotiations with any one or more of
                           its creditors with a view to the general readjustment
                           or rescheduling of all or a significant part of its
                           Financial Indebtedness.

                11.1.7     APPOINTMENT OF LIQUIDATORS ETC.

                           A liquidator, trustee, administrator, receiver,
                           administrative receiver, manager or similar officer
                           is appointed in respect of any member of the NCLC
                           Group or in respect of all or any substantial part of
                           the assets of any member of the NCLC Group and in any
                           such case such appointment is not withdrawn within
                           thirty (30) days (the "GRACE PERIOD") unless the
                           Agent considers in its sole discretion that the
                           interest of the Lenders might reasonably be expected
                           to be adversely affected in which event the Grace
                           Period shall not apply.

                11.1.8     INSOLVENCY

                           Any member of the NCLC Group becomes or is declared
                           insolvent or is unable, or admits in writing its
                           inability, to pay its debts as they fall due or
                           becomes insolvent within the terms of any applicable
                           law.

                11.1.9     LEGAL PROCESS

                           Any distress, execution, attachment or other process
                           affects the whole or any substantial part of the
                           assets of any member of the NCLC Group and remains
                           undischarged for a period of twenty one (21) days
                           PROVIDED THAT no Event of Default shall be deemed to
                           have occurred unless the distress, execution,
                           attachment or other process adversely affects any
                           Obligor's ability to meet any of its material
                           obligations under this Agreement or the other
                           Security Documents (the determination of which shall
                           be in the Agent's sole discretion).

                11.1.10    ANALOGOUS EVENTS

                           Anything analogous to or having a substantially
                           similar effect to any of the events specified in
                           Clauses 11.1.5 to 11.1.9 shall occur under the laws
                           of any applicable jurisdiction.

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                11.1.11    CESSATION OF BUSINESS

                           Any member of the NCLC Group ceases to carry on all
                           or a substantial part of its business.

                11.1.12    REVOCATION OF CONSENTS

                           Any authorisation, approval, consent, licence,
                           exemption, filing, registration or notarisation or
                           other requirement necessary to enable any Obligor to
                           comply with any of its obligations under any of the
                           Transaction Documents is materially adversely
                           modified, revoked or withheld or does not remain in
                           full force and effect and within ninety (90) days of
                           the date of its occurrence such event is not remedied
                           to the satisfaction of the Agent and the Agent
                           considers in its sole discretion that such failure is
                           or might be expected to become materially prejudicial
                           to the interests, rights or position of the Lenders
                           PROVIDED THAT the Borrower shall not be entitled to
                           the aforesaid ninety (90) day period if the
                           modification, revocation or withholding of the
                           authorisation, approval or consent is due to an act
                           or omission of any Obligor and the Agent is satisfied
                           in its sole discretion that the Lenders' interests
                           might reasonably be expected to be materially
                           adversely affected.

                11.1.13    UNLAWFULNESS

                           At any time it is unlawful or impossible for any
                           Obligor to perform any of its material (to the
                           Lenders or any of them and/or the Agent and/or the
                           Hermes Agent) obligations under any Security Document
                           to which it is a party or it is unlawful or
                           impossible for the Agent, the Trustee or any Lender
                           to exercise any of its rights under any of the
                           Security Documents PROVIDED THAT no Event of Default
                           shall be deemed to have occurred (except where the
                           unlawfulness or impossibility adversely affects any
                           Obligor's payment obligations under this Agreement
                           and the other Security Documents (the determination

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                           of which shall be in the Agent's sole discretion) in
                           which case the following provisions of this Clause
                           11.1.13 shall not apply) where the unlawfulness or
                           impossibility preventing any Obligor from performing
                           its obligations (other than its payment obligations
                           under this Agreement and the other Security
                           Documents) is cured within a period of twenty one
                           (21) days of the occurrence of the event giving rise
                           to the unlawfulness or impossibility and the relevant
                           Obligor within the aforesaid period, performs its
                           obligation(s) and PROVIDED FURTHER THAT no Event of
                           Default shall be deemed to have occurred where the
                           Agent, the Trustee and/or any relevant Lender was
                           aware of the default and could, in its sole
                           discretion, mitigate the consequences of the
                           unlawfulness or impossibility in the manner described
                           in Clause 4.3.2. The costs of mitigation shall be
                           determined in accordance with Clause 4.3.2.

                11.1.14    INSURANCES

                           The Borrower fails to insure the Vessel in the manner
                           specified in Clause 10.21 or fails to renew the
                           Insurances at least ten (10) days prior to the date
                           of expiry thereof and produce prompt confirmation of
                           such renewal to the Agent.

                11.1.15    TOTAL LOSS

                           If the Vessel shall become a Total Loss and the
                           proceeds of the Insurances in respect thereof shall
                           not have been received by the Agent within one
                           hundred and fifty (150) days after the date of the
                           event giving rise to such Total Loss.

                11.1.16    DISPOSALS

                           If the Borrower or any other member of the NCLC Group
                           shall have concealed, removed, or permitted to be
                           concealed or removed, any part of its property, with
                           intent to hinder, delay or defraud its creditors or
                           any of them, or made or suffered a transfer of any of
                           its property which may be fraudulent under any
                           bankruptcy, fraudulent conveyance or similar law; or
                           shall have made any transfer of its property to or
                           for the benefit of a creditor with the intention of
                           preferring such creditor over any other creditor.

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                11.1.17    PREJUDICE TO SECURITY

                           Anything is done or suffered or omitted to be done by
                           any Obligor which in the reasonable opinion of the
                           Agent would or might be expected to imperil the
                           security created by any of the Security Documents.

                11.1.18    MATERIAL ADVERSE CHANGE

                           Any material adverse change in the business, assets
                           or financial condition of any Obligor occurs which in
                           the reasonable opinion of the Agent would or might
                           reasonably be expected to affect the ability of that
                           Obligor duly to perform any of its material
                           obligations under any Security Document to which it
                           may at any time be a party. For the purposes of this
                           Clause 11.1.18 and without prejudice to the
                           generality of the expression "MATERIAL OBLIGATIONS"
                           any payment obligations of any Obligor shall be
                           deemed material.

                11.1.19    GOVERNMENTAL INTERVENTION

                           The authority of any member of the NCLC Group in the
                           conduct of its business is wholly or substantially
                           curtailed by any seizure or intervention by or on
                           behalf of any authority and within ninety (90) days
                           of the date of its occurrence any such seizure or
                           intervention is not relinquished or withdrawn and the
                           Agent reasonably considers that the relevant
                           occurrence is or might be expected to become
                           materially prejudicial to the interests, rights or
                           position of the Lenders PROVIDED THAT the Borrower
                           shall not be entitled to the aforesaid ninety (90)
                           day period if the seizure or intervention executed by
                           any authority is due to an act or omission of any
                           member of the NCLC Group and the Agent is satisfied,
                           in its sole discretion, that the Lenders' interest
                           might reasonably be expected to be materially
                           adversely affected.

                11.1.20    THE VESSEL

                           The Vessel has not been redelivered to the Borrower
                           by the Builder pursuant to the Building Contract by
                           the Termination Date.

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         11.2   ACCELERATION

                11.2.1     On the occurrence of an Event of Default or a
                           Possible Event of Default and at any time thereafter
                           whilst such event shall be continuing the Agent may
                           if a Tranche has not yet been drawn down, by notice
                           to the Borrower cancel the obligations of the Lenders
                           under this Agreement.

                11.2.2     Subject to the provisions of the Co-ordination Deed,
                           on the occurrence of an Event of Default and at any
                           time thereafter whilst such event shall be
                           continuing, if any of the Loan has been drawn down:

                           (a)      the Agent may by notice to the Borrower
                                    declare the whole or any part of the Loan
                                    due and repayable in accordance with the
                                    terms of such notice whereupon the same
                                    shall become due and repayable accordingly
                                    together with all interest accrued thereon
                                    and all other amounts payable hereunder and
                                    under any of the other Security Documents
                                    and any undrawn Tranche or any part thereof
                                    shall be cancelled; and/or

                           (b)      the Trustee, the Agent, the Hermes Agent and
                                    the Lenders may from time to time exercise
                                    all or any of its or their rights under any
                                    of the Security Documents in such order and
                                    in such manner as it or they shall deem
                                    appropriate; and/or

                           (c)      the Trustee may at the discretion of the
                                    Agent terminate or continue with the
                                    Management Agreement and/or the Sub-Agency
                                    Agreement.

         11.3   DEFAULT INDEMNITY

                The Borrower shall on demand indemnify the Agent and the
                Lenders, without prejudice to any of their other rights under
                this Agreement and the other Security Documents, against any
                loss or expense which the Agent shall certify as sustained or
                incurred by any of them as a consequence of:

                11.3.1     any default in payment by the Borrower of any sum
                           under this Agreement or any of the other Security
                           Documents when due, including, without limitation,

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                           any liability incurred by the Trustee, the Agent, the
                           Lenders and the Hermes Agent by reason of any delay
                           or failure of the Borrower to pay any such sums;

                11.3.2     any break in funding (including without limitation
                           warehousing and other related costs) due to the
                           occurrence of any Event of Default or Possible Event
                           of Default;

                11.3.3     any prepayment of the Loan or part thereof being made
                           at any time for any reason; and/or

                11.3.4     a Tranche not being drawn for any reason (excluding
                           any default by the Agent or any Lender) after a
                           Drawdown Notice has been given,

                including, in any such case, but not limited to, any loss or
                expense sustained or incurred in maintaining or funding the Loan
                or in liquidating or re-employing deposits from third parties
                acquired to effect or maintain the Loan.

         11.4   SET-OFF

                Following the occurrence of any Event of Default and for so long
                as the same is continuing, the Borrower irrevocably authorises
                the Agent and the Lenders to apply any credit balance to which
                the Borrower is entitled upon any account of the Borrower with
                any branch of any of the Agent and the Lenders in or towards
                satisfaction of any sum due to the Agent or any Lender hereunder
                but unpaid, and to combine any accounts of the Borrower for this
                purpose. If such set-off requires a credit balance in a currency
                other than Dollars to be transferred to an account maintained in
                connection herewith the transfer shall be effected by crediting
                to the account in question the amount of Dollars which the Agent
                or the Lender (as the case may be) could obtain by exchanging
                such currency for Dollars at the rate of exchange at which its
                Office would, at the opening of business on the date on which
                the combination is effected, have sold the currency of that
                credit balance for Dollars for immediate redelivery.

12       APPLICATION OF FUNDS

         12.1   TOTAL LOSS PROCEEDS/PROCEEDS OF SALE/EVENT OF DEFAULT MONIES

                In the event of the Vessel becoming a Total Loss or if the
                Vessel is sold or if an Event of Default has occurred then all
                Total Loss proceeds or proceeds of sale of the Vessel or any

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                monies received by the Trustee, the Agent, the Hermes Agent or
                any Lender under or pursuant to the Security Documents shall,
                subject to the provisions of the Co-ordination Deed, be held by
                the Agent and applied in the following manner and order:

                FIRSTLY       to the payment of all fees, expenses and charges
                              (including brokers' commissions and any costs
                              incurred in breaking any funding, the expenses of
                              any sale, the expenses of retaining any attorney,
                              solicitors' fees, court costs and any other
                              expenses or advances made or incurred by the
                              Trustee, the Agent, the Hermes Agent or any Lender
                              in the protection of the Trustee's, the Agent's,
                              the Hermes Agent's and that Lender's rights or the
                              pursuance of its or their remedies hereunder and
                              under the other Security Documents or to any
                              payments whether voluntary or not which the Agent
                              considers advisable to protect its, the Trustee's,
                              the Hermes Agent's or the Lenders' security and to
                              provide adequate indemnity against liens claiming
                              priority over or equality with the lien of the
                              Security Documents or any other Encumbrances but
                              excluding any costs incurred in breaking any swap
                              agreements or other interest rate management
                              products entered into for the purpose of this
                              transaction including but without limitation,
                              warehousing and other related costs);

                SECONDLY      in or towards payment in such order as the Lenders
                              may require of any accrued (but unpaid) fees and
                              interest thereon to which the Lenders and/or the
                              Agent are entitled hereunder and/or under the
                              other Security Documents in connection with the
                              Loan;

                THIRDLY       in or towards satisfaction of all interest accrued
                              on the Loan;

                FOURTHLY      in retention by the Agent in its discretion in a
                              suspense or impersonal interest bearing security
                              realised account of such sum as it considers
                              appropriate by way of security for the Outstanding
                              Indebtedness or for any actual or contingent
                              liability of the Agent or the Lenders or any of
                              them in connection with the transactions herein
                              contemplated;

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                FIFTHLY       in or towards payment of the Instalments (whether
                              or not then due and payable) in reverse order of
                              maturity date;

                SIXTHLY       in or towards satisfaction of any other amounts
                              due from the Borrower to the Agent or the Lenders
                              under the Security Documents using in the
                              discretion of the Agent the same order of
                              application as Firstly to Fifthly;

                SEVENTHLY     in retention of such other sum or sums as the
                              Agent may require as security for any further
                              monies which may reasonably be expected to become
                              due and payable to the Trustee and/or the Agent
                              and/or the Lenders and/or the Hermes Agent under
                              this Agreement or any of the other Security
                              Documents and which the assigned Earnings may be
                              insufficient to satisfy; and

                EIGHTHLY      the balance, if any, in payment to the Borrower or
                              whomsoever shall then be entitled thereto.

                In the event of the proceeds being insufficient to pay the
                amounts referred to above the Agent shall be entitled to collect
                the balance from the Borrower.

         12.2   GENERAL FUNDS

                Subject to the provisions of the Co-ordination Deed, any other
                monies received by or in the possession of the Trustee, the
                Agent, any Lender or the Hermes Agent under or pursuant to the
                Security Documents which are expressed hereunder and/or under
                the Security Documents to be distributed in accordance with the
                provisions of this Clause or where no express provisions are
                made for disposal shall be applied in the discretion of the
                Agent as follows:

                FIRSTLY       in or towards payment of all fees, costs and
                              expenses (excluding any costs (including without
                              limitation any warehousing and other related
                              costs) incurred in breaking any interest rate swap
                              agreements or other interest rate management
                              products entered into for the purposes of this
                              transaction) incurred by the Agent or any Lender
                              in connection with the Loan and which are for the
                              time being unpaid;

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                SECONDLY      in or towards payment in such order as the Lenders
                              may require of any accrued (but unpaid) fees and
                              interest thereon to which the Lenders and/or the
                              Agent and/or the Hermes Agent are entitled
                              hereunder and/or under the other Security
                              Documents in connection with the Loan;

                THIRDLY       in or towards satisfaction of all interest accrued
                              on the Loan;

                FOURTHLY      in retention by the Agent in its discretion in a
                              suspense or impersonal interest bearing security
                              realised account of such sum as it considers
                              appropriate by way of security for the Outstanding
                              Indebtedness or for any actual or contingent
                              liability of the Agent or the Lenders or any of
                              them in connection with the transactions herein
                              contemplated;

                FIFTHLY       in or towards payment of the Instalments in
                              reverse order of maturity date;

                SIXTHLY       in retention of such other sum or sums as the
                              Agent may require as security for any further
                              monies which may reasonably be expected to become
                              due and payable to the Agent and/or the Lenders
                              and/or the Hermes Agent under this Agreement or
                              any of the other Security Documents and which the
                              assigned Earnings may be insufficient to satisfy;
                              and

                SEVENTHLY     the balance (if any) shall be released to the
                              Borrower or to its order or whomsoever else may be
                              entitled thereto.

         12.3   APPLICATION OF PROCEEDS OF INSURANCES

                Subject to the provisions of the Co-ordination Deed, proceeds of
                the Insurances for partial losses shall be applied in accordance
                with the Insurance Assignment and/or the loss payable clause(s)
                endorsed on the Insurances in the form approved by the Agent and
                in the case of a Total Loss of the Vessel in accordance with
                Clause 4.5 and Clause 12.1.

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         12.4   SUSPENSE ACCOUNT

                Any monies received or recovered by the Trustee, the Agent or
                any Lender under or in connection with the Security Documents
                and credited to any suspense or impersonal interest bearing
                security realised account may be held in such account for so
                long as the Agent thinks fit pending application at the Agent's
                discretion in accordance with Thirdly of Clause 12.1 or Clause
                12.2 (as the case may be).

13       FEES

         13.1   The Borrower shall enter into fees side letters with the Agent
                on the date of the Original Loan Agreement and pay to the Agent
                such fees and on such date(s) as shall be referred to therein.

14       EXPENSES

         14.1   INITIAL EXPENSES

                The Borrower shall reimburse the Agent on first demand on a full
                indemnity basis for the reasonable charges and expenses
                (together with value added tax or any similar tax thereon and
                including without limitation the fees and expenses of legal,
                insurance and other advisers and travel expenses) incurred by
                the Agent in respect of the syndication, negotiation,
                preparation, printing, execution and registration of this
                Agreement and the other Transaction Documents and any other
                documents required in connection with the implementation of this
                Agreement.

         14.2   ENFORCEMENT EXPENSES

                The Borrower shall reimburse the Agent, the Lenders and the
                Hermes Agent on demand on a full indemnity basis for all charges
                and expenses (including value added tax or any similar tax
                thereon and including the fees and expenses of legal advisers)
                incurred by the Agent, each of the Lenders and the Hermes Agent
                in connection with the enforcement of, or the preservation of
                any rights under, this Agreement and the other Security
                Documents.

         14.3   STAMP DUTIES

                The Borrower shall pay or indemnify the Agent or the Hermes
                Agent (as the case may be) on demand against any and all stamp,

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                registration and similar Taxes which may be payable in any
                jurisdiction in connection with the entry into, performance and
                enforcement of this Agreement or any of the other Security
                Documents.

15       WAIVERS, REMEDIES CUMULATIVE

         15.1   NO WAIVER

                No failure to exercise and no delay in exercising on the part of
                the Trustee, the Agent, any of the Lenders or the Hermes Agent
                any right or remedy under any of the Security Documents shall
                operate as a waiver thereof, nor shall any single or partial
                exercise of any right or remedy preclude any other or further
                exercise thereof, or the exercise of any other right or remedy.
                No waiver by the Trustee, the Agent, the Hermes Agent or any of
                the Lenders shall be effective unless it is in writing.

         15.2   REMEDIES CUMULATIVE

                The rights and remedies of the Agent and the Lenders provided
                herein are cumulative and not exclusive of any rights or
                remedies provided by law.

         15.3   SEVERABILITY

                If any provision of this Agreement is prohibited or
                unenforceable in any jurisdiction, such prohibition or
                unenforceability shall not invalidate the remaining provisions
                hereof or affect the validity or enforceability of such
                provision in any other jurisdiction.

         15.4   TIME OF ESSENCE

                Time is of the essence in respect of all of the obligations of
                the Borrower under the Security Documents PROVIDED HOWEVER THAT
                neither the Agent nor any of the Lenders shall be entitled to
                terminate or treat this Agreement or any of the other Security
                Documents as having been repudiated otherwise than in
                circumstances which constitute an Event of Default.

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16       COUNTERPARTS

         16.1   This Agreement may be executed in any number of counterparts and
                all such counterparts taken together shall be deemed to
                constitute one and the same agreement.

17       ASSIGNMENT

         17.1   BENEFIT OF AGREEMENT

                This Agreement shall be binding upon the Borrower and its
                successors and shall inure to the benefit of the Agent and each
                of the Lenders and their successors and assigns.

         17.2   NO TRANSFER BY THE BORROWER

                The Borrower may not assign or transfer all or any of its
                rights, benefits or obligations hereunder or under any of the
                other Security Documents.

         17.3   ASSIGNMENTS, PARTICIPATIONS AND TRANSFERS BY A LENDER

                Each Lender may, subject to obtaining the prior written approval
                of the Agent, such approval not to be unreasonably withheld or
                delayed, at any time transfer or assign all of its rights and
                benefits hereunder and under the Security Documents to any other
                lending institution but shall, prior to such transfer or
                assignment, on request by the Agent, pay a fee to the Agent of
                one thousand Dollars (USD1,000) PROVIDED THAT (save in the case
                of a transfer or assignment of rights and benefits to any
                subsidiary or holding company of such Lender or to another
                Lender) no such transfer or assignment may be made without the
                prior written consent of the Borrower (which consent is not to
                be unreasonably withheld or delayed). If a Lender transfers or
                assigns its rights and benefits hereunder as provided above, all
                references in this Agreement and the other Security Documents to
                that Lender shall be construed as a reference to that Lender
                and/or its Transferee or assignee to the extent of their
                respective interests.

         17.4   EFFECTIVENESS OF TRANSFER

                If a Lender transfers or assigns all or any of its rights and
                benefits hereunder in accordance with Clause 17.3, then, unless
                and until the Transferee or assignee has agreed that it shall be

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                under the same obligations towards the parties to this Agreement
                as it would have been under if it had been a party hereto as a
                lender, the parties to this Agreement shall not be obliged to
                recognise such Transferee or assignee as having the rights
                against each of them which it would have had if it had been such
                a party hereto.

         17.5   TRANSFER OF RIGHTS AND OBLIGATIONS

                If any Lender wishes to transfer all or any of its rights,
                benefits and/or obligations hereunder or under the other
                Security Documents as contemplated in Clause 17.3, then such
                transfer may be effected by the due completion and execution by
                the Lender and the relevant Transferee of a Transfer Certificate
                in the form of Schedule 6. The Agent shall then forthwith
                execute the Transfer Certificate on behalf of itself and the
                other parties to this Agreement in accordance with the
                provisions of Clause 17.8. On the later of the Transfer Date and
                the fifth (5th) Business Day following the date of redelivery of
                the Transfer Certificate to the Agent for execution:

                17.5.1  to the extent that in such Transfer Certificate the
                        Lender party thereto seeks to transfer its rights,
                        benefits and/or its obligations hereunder or under the
                        other Security Documents, the Borrower and the relevant
                        Lender shall each be released from further obligations
                        to the other hereunder and their respective rights
                        against each other shall be cancelled (such rights and
                        obligations being referred to in this Clause 17.5 as
                        "DISCHARGED RIGHTS, BENEFITS AND OBLIGATIONS");

                17.5.2  the Borrower and the Transferee party thereto shall each
                        assume obligations towards each other and/or acquire
                        rights against each other which differ from such
                        discharged rights, benefits and obligations only insofar
                        as the Borrower and such Transferee have assumed and/or
                        acquired the same in place of the Borrower and the
                        relevant Lender; and

                17.5.3  such Transferee shall acquire the same rights and
                        benefits and assume the same obligations as it would
                        have acquired and assumed had such Transferee been an
                        original party hereto as a Lender with the rights,
                        benefits and/or obligations acquired or assumed by it as
                        a result of such transfer.

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         17.6   CONSENT AND INCREASED OBLIGATIONS OF THE BORROWER

                In the event that a Lender transfers its Office or transfers or
                assigns its rights and/or benefits hereunder to its affiliate or
                another Lender and, at the time of such transfer or assignment,
                there arises an obligation on the part of the Borrower hereunder
                to pay to the relevant Lender or any other person any amount in
                excess of the amount they would have been obliged to pay but for
                such transfer or assignment and the consent of the Borrower has
                not been obtained to such transfer or assignment and the
                increased cost then, without prejudice to any obligation of the
                Borrower which arises after the time of such transfer or
                assignment, the Borrower shall not be obliged to pay the amount
                of such excess.

         17.7   DISCLOSURE OF INFORMATION

                Any Lender may disclose to a potential Transferee or assignee
                who may otherwise propose to enter into contractual relations
                with it in relation to this Agreement such information about
                each of the Obligors (or otherwise) as that Lender shall
                consider appropriate SUBJECT ALWAYS to the relevant Lender
                procuring the execution by the potential Transferee or assignee
                of a Confidentiality Undertaking PROVIDED ALWAYS THAT a Lender,
                the Agent, the Hermes Agent and the Trustee may provide any such
                information and copies of this Agreement, any of the Security
                Documents and all records in connection therewith to its
                professional advisers and auditors, to any banking or regulatory
                authority or to Hermes and/or the Federal Republic of Germany
                and/or the European Union and/or any agency thereof or any
                person acting or purporting to act on any of their behalves
                and/or to the Builder or as required by law, regulation or legal
                process without first procuring the execution of a
                Confidentiality Undertaking. The Borrower acknowledges and
                agrees that any such information may be used by Hermes and/or
                the Federal Republic of Germany and/or the European Union and/or
                any agency thereof or any person acting or purporting to act on
                any of their behalves for statistical purposes and/or for
                reports of a general nature.

         17.8   TRANSFER CERTIFICATE TO BE EXECUTED BY THE AGENT

                In order to give effect to a Transfer Certificate each of the
                Arrangers, the Lenders, the Hermes Agent, the Trustee and the
                Borrower hereby irrevocably and unconditionally appoints the

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                Agent as its true and lawful attorney with full power to execute
                on its behalf each Transfer Certificate delivered to the Agent
                pursuant to Clause 17.5 without the Agent being under any
                obligation to take any further instructions from, or give any
                prior notice to, the Arrangers, the Lenders, the Hermes Agent,
                the Trustee, the Borrower or the Guarantor before doing so and
                the Agent shall so execute each such Transfer Certificate on
                behalf of the Arrangers, the Lenders, the Hermes Agent, the
                Trustee, the Borrower and the Guarantor forthwith upon its
                receipt thereof pursuant to Clause 17.5.

         17.9   NOTICE OF TRANSFER CERTIFICATES

                The Agent shall promptly notify the Arrangers, the Lenders, the
                Hermes Agent, the Trustee, the Transferee, the Borrower and the
                Guarantor upon the execution by it of any Transfer Certificate
                together with details of the amount transferred, the Transfer
                Date and the parties to such transfer.

         17.10  DOCUMENTATION OF TRANSFER OR ASSIGNMENT

                The Borrower shall at the request of the Agent promptly execute
                or promptly procure the execution of such documents and do (or
                procure the doing of) all such acts and things as may be
                necessary or desirable to give effect to any transfer or
                assignment pursuant to this Clause 17.

         17.11  CONTRACTS (RIGHTS OF THIRD PARTIES) ACT 1999 (THE "ACT")

                A person who is not a party to this Agreement has no right under
                the Act to enforce any term of this Agreement but this does not
                affect any right or remedy of a third party which exists or is
                available apart from the Act.

18       NOTICES

         18.1   MODE OF COMMUNICATION

                Except as otherwise provided herein, each notice, request,
                demand or other communication or document to be given or made
                hereunder shall be given in writing but unless otherwise stated,
                may be made by telefax.

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         18.2   ADDRESS

                Any notice, demand or other communication (unless made by
                telefax) to be made or delivered by the Agent to the Borrower
                pursuant to this Agreement shall (unless the Borrower has by
                fifteen (15) days' written notice to the Agent specified another
                address) be made or delivered to the Borrower at 7665 Corporate
                Center Drive, Miami, Florida 33126, United States of America
                (marked for the attention of Mr Lamarr Cooler and the Legal
                Department) with a copy to the Borrower c/o Star, 25th Floor,
                Wisma Genting, Jalan Sultan Ismail, 50250 Kuala Lumpur, Malaysia
                (marked for the attention of Mr Gerard Lim). Any notice, demand
                or other communication to be made or delivered by the Borrower
                to the Agent pursuant to this Agreement shall (unless the Agent
                has by fifteen (15) days' written notice to the Borrower
                specified another address) be made or delivered to the Agent at
                its Office, the details of which are set out in Schedule 2. A
                copy of any notice to the Agent shall be delivered to the Hermes
                Agent at its Office as aforesaid.

         18.3   TELEFAX COMMUNICATION

                Any notice, demand or other communication to be made or
                delivered pursuant to this Agreement may be sent by telefax to
                the relevant telephone numbers (which at the date hereof in
                respect of the Borrower is +1 305 436 4140 (marked for the
                attention of Mr Lamarr Cooler) and +1 305 436 4117 (marked for
                the attention of the Legal Department) with a copy to +60 (0)3
                2161 3621 (marked for the attention of Mr Gerard Lim) and in the
                case of the Trustee, the Agent, the Hermes Agent or any Lender
                is as recorded in Schedule 2) specified by it from time to time
                for the purpose and shall be deemed to have been received when
                transmission of such telefax communication has been completed
                provided that if in the place of receipt the transmission is
                received outside normal business hours on a Business Day or not
                on a Business Day the transmission shall be deemed to have been
                received at the commencement of the next Business Day. Each such
                telefax communication, if made to the Agent or any Lender by the
                Borrower, shall be signed by the person or persons authorised in
                writing by the Borrower and whose signature appears on the list
                of specimen signatures contained in the secretary's certificate
                required to be delivered by paragraph 2 of Schedule 4 and shall
                be expressed to be for the attention of the department or

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<PAGE>

                officer whose name has been notified for the time being for that
                purpose by the Agent or any Lender to the Borrower.

         18.4   RECEIPT

                Each such notice, demand or other communication shall be deemed
                to have been made or delivered (in the case of any letter) when
                delivered to its office for the time being or, if sent by post,
                five (5) days after being deposited in the post first class
                postage prepaid in an envelope addressed to it at that address.

         18.5   LANGUAGE

                Each notice, demand or other communication made or delivered by
                one (1) party to another pursuant to this Agreement or any other
                Security Document shall be in the English language or
                accompanied by a certified English translation. In the event of
                any conflict between the translation and the original text the
                translation shall prevail unless the original text is a
                statutory instrument, legal process or any other document of a
                similar type or a notice, demand or other communication from
                Hermes or in relation to the Hermes Cover.

19       GOVERNING LAW

         19.1   This Agreement shall be governed by English law.

20       WAIVER OF IMMUNITY

         20.1   To the extent that the Borrower may in any jurisdiction claim
                for itself or its assets immunity from suit, execution,
                attachment (whether in aid of execution, before judgment or
                otherwise) or other legal process in relation to this Agreement
                or the other Security Documents and to the extent that in any
                such jurisdiction there may be attributed to itself or its
                assets such immunity (whether or not claimed) the Borrower
                hereby irrevocably and unconditionally agrees throughout the
                Security Period not to claim and hereby irrevocably waives such
                immunity to the full extent permitted by the laws of such
                jurisdiction. In respect of any legal action or proceedings
                arising out of or in connection with any of the Security
                Documents the Borrower hereby consents generally as a matter of
                procedure in relation to the waiver of immunity (but not so as
                to prejudice any defence which it may have on the merits of the
                substantive issue) to the giving of any relief or the issue of
                any process in connection with such legal action or proceedings

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<PAGE>

                including without limitation, the making, enforcement or
                execution against any property whatsoever (irrespective of its
                uses or intended uses) of any order or judgment which may be
                made or given in such legal action or proceedings.

21       RIGHTS OF THE AGENT, THE TRUSTEE AND THE LENDERS

         21.1   NO DEROGATION OF RIGHTS

                Any rights conferred on the Agent, the Trustee and the Lenders
                or any of them by this Agreement or any other Security Document
                shall be in addition to and not in substitution for or in
                derogation of any other right which the Agent, the Trustee and
                the Lenders or any of them might at any time have to seek from
                the Borrower or any other person for payment of sums due from
                the Borrower or indemnification against liabilities as a result
                of the Borrower's default in payment of sums due from it under
                this Agreement or any other Security Document.

         21.2   ENFORCEMENT OF REMEDIES

                None of the Agent, the Trustee or the Lenders shall be obliged
                before taking steps to enforce any rights conferred on it by
                this Clause or exercising any of the rights, powers and remedies
                conferred on it hereby or by law:

                21.2.1     to take action or obtain judgment in any court
                           against the Borrower or any other person from whom it
                           may seek payment of any sum due from the Borrower
                           under this Agreement or any other Security Document;

                21.2.2     to make or file any claim in a bankruptcy,
                           winding-up, liquidation or re-organisation of the
                           Borrower or any other such person; or

                21.2.3     to enforce or seek to enforce any other rights it may
                           have against the Borrower or any other such person.

22       JURISDICTION

         22.1   The courts of England have exclusive jurisdiction to settle any
                dispute arising out of or in connection with this Agreement
                (including a dispute regarding the existence, validity or
                termination of this Agreement) (a "DISPUTE"). Each party to this
                Agreement agrees that the courts of England are the most

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<PAGE>

                appropriate and convenient courts to settle Disputes and
                accordingly no party will argue to the contrary.

                This Clause 22.1 is for the benefit of the Agent, the Trustee
                and the Lenders only. As a result, no such party shall be
                prevented from taking proceedings relating to a Dispute in any
                other courts with jurisdiction. To the extent allowed by law,
                any such party may take concurrent proceedings in any number of
                jurisdictions.

         22.2   The Borrower may not, without the Agent's prior written consent,
                terminate the appointment of the Process Agent; if the Process
                Agent resigns or its appointment ceases to be effective, the
                Borrower shall within fourteen (14) days appoint a company which
                has premises in London and has been approved by the Agent to act
                as the Borrower's process agent with unconditional authority to
                receive and acknowledge service on behalf of the Borrower of all
                process or other documents connected with proceedings in the
                English courts which relate to this Agreement.

         22.3   For the purpose of securing its obligations under Clause 22.2,
                the Borrower irrevocably agrees that, if it for any reason fails
                to appoint a process agent within the period specified in Clause
                22.2, the Agent may appoint any person (including a company
                controlled by or associated with the Agent, the Trustee or any
                Lender) to act as the Borrower's process agent in England with
                the unconditional authority described in Clause 22.2.

         22.4   No neglect or default by a process agent appointed or designated
                under this Clause (including a failure by it to notify the
                Borrower of the service of any process or to forward any process
                to the Borrower) shall invalidate any proceedings or judgment.

         22.5   The Borrower appoints in the case of the courts of England the
                Process Agent to receive, for and on its behalf service of
                process in England of any legal proceedings with respect to this
                Agreement and any other Security Document.

         22.6   A judgment relating to this Agreement which is given or would be
                enforced by an English court shall be conclusive and binding on
                the Borrower and may be enforced without review in any other
                jurisdiction.

         22.7   Nothing in this Clause shall exclude or limit any right which
                the Agent, the Trustee or a Lender may have (whether under the

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<PAGE>

                laws of any country, an international convention or otherwise)
                with regard to the bringing of proceedings, the service of
                process, the recognition or enforcement of a judgment or any
                similar or related matter in any jurisdiction.

         22.8   In this Clause "JUDGMENT" includes order, injunction,
                declaration and any other decision or relief made or granted by
                a court.

IN WITNESS whereof the parties hereto have caused this Agreement to be duly
executed as a deed on the day first written above.

THE BORROWER

SIGNED SEALED and DELIVERED as a DEED                  )        P A TURNER
By PAUL TURNER                                         )
for and on behalf of                                   )
SHIP HOLDING LLC                                       )
in the presence of:                                    )
                      R CHEUNG
                      TRAINEE SOLICITOR
                      STEPHENSON HARWOOD
                      ONE, ST. PAUL'S CHURCHYARD
                      LONDON EC4M 8SH

THE ARRANGERS

SIGNED SEALED and DELIVERED as a DEED                  )        J CLEGG
By JULIE CLEGG                                         )
for and on behalf of                                   )
COMMERZBANK AKTIENGESELLSCHAFT                         )
Hamburg Branch                                         )
in the presence of:                                    )
                      R CHEUNG
                      TRAINEE SOLICITOR
                      STEPHENSON HARWOOD
                      ONE, ST. PAUL'S CHURCHYARD
                      LONDON EC4M 8SH

SIGNED SEALED and DELIVERED as a DEED                  )        J CLEGG
By JULIE CLEGG                                         )
for and on behalf of                                   )
HSBC BANK PLC                                          )
in the presence of:                                    )
                      R CHEUNG
                      TRAINEE SOLICITOR
                      STEPHENSON HARWOOD
                      ONE, ST. PAUL'S CHURCHYARD
                      LONDON EC4M 8SH

                                       97
<PAGE>

THE LENDERS

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
COMMERZBANK AKTIENGESELLSCHAFT                                )
Bremen Branch                                                 )
in the presence of:                                           )
                      R CHEUNG
                      TRAINEE SOLICITOR
                      STEPHENSON HARWOOD
                      ONE, ST. PAUL'S CHURCHYARD
                      LONDON EC4M 8SH

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
HSBC BANK PLC                                                 )
in the presence of:                                           )
                      R CHEUNG
                      TRAINEE SOLICITOR
                      STEPHENSON HARWOOD
                      ONE, ST. PAUL'S CHURCHYARD
                      LONDON EC4M 8SH

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
KFW                                                           )
in the presence of:                                           )
                      R CHEUNG
                      TRAINEE SOLICITOR
                      STEPHENSON HARWOOD
                      ONE, ST. PAUL'S CHURCHYARD
                      LONDON EC4M 8SH

THE AGENT

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
HSBC BANK PLC                                                 )
in the presence of:                                           )
                      R CHEUNG
                      TRAINEE SOLICITOR
                      STEPHENSON HARWOOD
                      ONE, ST. PAUL'S CHURCHYARD
                      LONDON EC4M 8SH

                                       98
<PAGE>

THE HERMES AGENT

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
COMMERZBANK AKTIENGESELLSCHAFT                                )
in the presence of:                                           )
                      R CHEUNG
                      TRAINEE SOLICITOR
                      STEPHENSON HARWOOD
                      ONE, ST. PAUL'S CHURCHYARD
                      LONDON EC4M 8SH

THE TRUSTEE

SIGNED SEALED and DELIVERED as a DEED                         )        J CLEGG
By JULIE CLEGG                                                )
for and on behalf of                                          )
HSBC BANK PLC                                                 )
in the presence of:                                           )
                      R CHEUNG
                      TRAINEE SOLICITOR
                      STEPHENSON HARWOOD
                      ONE, ST. PAUL'S CHURCHYARD
                      LONDON EC4M 8SH

                                       99
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                                   SCHEDULE 1

                            PARTICULARS OF ARRANGERS

COMMERZBANK AKTIENGESELLSCHAFT
Global Shipping
Hamburg Branch
Ness 7-9
20457 Hamburg
Federal Republic of Germany

Attn:    Mr Stefan Kuch/Mr Christian Renke
Email:   shipfinance@commerzbank.com

HSBC BANK PLC
Project and Export Finance
8 Canada Square
London E14 5HQ

Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

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                                   SCHEDULE 2

             PARTICULARS OF AGENT, HERMES AGENT, TRUSTEE AND LENDERS

NAME AND ADDRESS

AGENT

HSBC BANK PLC
Project and Export Finance
8 Canada Square
London E14 5HQ

Fax:     +44 (0)20 7992 4428
Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

HERMES AGENT

COMMERZBANK
AKTIENGESELLSCHAFT
Corporate Banking
Financial Engineering
Structured Export and Trade Finance
Kaiserplatz
60261 Frankfurt am Main
Federal Republic of Germany

Fax:     +49 69 1362 3742
Attn:    Mr Klaus-Dieter Schmedding
Email:   exportfinance@commerzbank.com

TRUSTEE

HSBC BANK PLC
Project and Export Finance
8 Canada Square
London E14 5HQ

Fax:     +44 (0)20 7992 4428
Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

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NAME AND ADDRESS                                   CONTRIBUTION
                                                   IN USD EQUIVALENT OF (EURO)

LENDERS

COMMERZBANK                                        14,000,000
AKTIENGESELLSCHAFT
Bremen Branch
Schusselkorb 5-11
28195 Bremen
Federal Republic of Germany

Fax:     +49 421 3633504
Attn:    Mr Wolfgang Schmidt
Email:   wolfgang.schmidt3@commerzbank.com

HSBC BANK PLC                                      14,000,000
Project and Export Finance
8 Canada Square
London E14 5HQ

Fax:     +44 (0)20 7992 4428
Attn:    Mr Alan Marshall
Email:   alan.p.marshall@hsbcib.com

KFW (formerly Kreditanstalt fur                    12,000,000
Wiederaufbau)
Palmengartenstrasse 5-9
60325 Frankfurt am Main
Federal Republic of Germany

Fax:     +49 69 7431 2944
Attn:    Mr Wolfgang Pfisterer
Email:   wolfgang.pfisterer@kfw.de

                                      102
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                                   SCHEDULE 3

                               NOTICE OF DRAWDOWN

                                  CLAUSE 2.3.1

From:    SHIP HOLDING LLC
         Corporation Trust Center
         1209 Orange Street
         Wilmington
         Delaware 19801
         United States of America

To:      HSBC BANK PLC
         Project and Export Finance
         8 Canada Square
         London E14 5HQ

         Attn:    Mr Alan Marshall

         with a copy to:

         HSBC BANK PLC
         8 Canada Square
         London E14 5HQ

         Attn:    Ms Christine Boardman

                                                                          200[ ]

Dear Sirs

LOAN AGREEMENT DATED                           2003 (THE "LOAN AGREEMENT")
--------------------------------------------------------------------------

We refer to the Loan Agreement pursuant to which you have agreed to advance to
us the Loan on the terms and conditions set out therein.

Terms and expressions defined in the Loan Agreement shall have the same
respective meanings when used in this notice.

We hereby give you notice that we wish to draw down the Equivalent Amount of
[               ] Euro ((EURO)[  ]) being the amount of Tranche [        ]
under Clause 2.3 of the Loan Agreement on [              ] 200[  ].

[Tranche [   ] is to be paid to the Builder's account referred to in clause
11.5 of the Building Contract at:

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[                                           ]]

[and the balance is to be paid to us at:

[                                           ]]

[APPLIES TO TRANCHE 4 ONLY (IF APPLICABLE)]

[Tranche 2 is to be paid to the Hermes Agent.]

We attach a Certified Copy of such documents as we have received from [the
Builder pursuant to the Building Contract in evidence of the instalment due]
[[the Hermes Agent][Hermes] in evidence of the Hermes Premium payable].

We confirm that:

(i)      all of the representations and warranties contained in Clause 9 of the
         Loan Agreement remain true and correct;

(ii)     no Possible Event of Default or Event of Default has occurred; [and]

(iii)    the first Interest Period shall be of [three (3) six (6)] months'
         duration[; and

(iv)     [upon application of the Equity and Tranche 1 hereby requested to be
         drawn down in the manner hereinbefore appearing seven point five per
         cent (7.5%) of the Contract Price shall have been paid to the Builder
         under the Building Contract].

Yours faithfully
SHIP HOLDING LLC

------------------------------------
By:

                                      104
<PAGE>

                                   SCHEDULE 4

                              CONDITIONS PRECEDENT

                                   CLAUSE 2.6

The Loan is expressly conditional upon the Agent having received in such form
and substance as it shall require:

A        ON THE DATE OF THE ORIGINAL LOAN AGREEMENT

BORROWER

1        Certified Copies of any consents required from any ministry,
         governmental, financial or other authority for the execution of and
         performance by the Borrower of its obligations under this Agreement and
         each of the Security Documents or if no such consents are required a
         secretary's certificate of the Borrower to this effect confirming that
         no such consents are required.

2        Notarially attested secretary's certificate for the Borrower:

         (A)      attaching a copy of its Certificate of Formation and Limited
                  Company Agreement evidencing power to:

                  (i)      enter into the transactions contemplated in this
                           Agreement and in the other Security Documents and to
                           buy ships and enter into arrangements for the
                           chartering and management thereof; and

                  (ii)     borrow money in the amount referred to in this
                           Agreement and as security therefor to mortgage or
                           charge assets;

         (B)      giving the names of the present management committee members
                  and officers;

         (C)      setting out specimen signatures of persons who would be
                  authorised to sign documents or otherwise perform the
                  Borrower's obligations under the Security Documents;

         (D)      giving the name of the Member and the amount of the Member's
                  Membership Interest;

                                      105
<PAGE>

         (E)      attaching copies of resolutions of the management committee of
                  the Borrower duly adopted by the Member authorising the
                  borrowing of the Loan, the granting of the Mortgage and the
                  execution of this Agreement and such of the other Security
                  Documents to which the Borrower is a party and the issue of
                  any power of attorney to execute the same; and

         (F)      containing a declaration of solvency as at the date of the
                  secretary's certificate.

3        Where the secretary's certificate referred to in paragraph 2 of this
         Schedule 4 is dated more than five (5) Business Days prior to the date
         of the Original Loan Agreement, a bringdown certificate, which need not
         be notarially attested if signed by the same person that signed the
         secretary's certificate referred to in paragraph 2 of this Schedule 4.

4        The original power of attorney issued pursuant to (A) the resolutions
         referred to above and (B) paragraph 2(C) above, notarially attested.

STAR AND MEMBER

5        Notarially attested secretary's certificate for each of the above:

         (A)      attaching a copy of its Certificate of Incorporation and
                  Memorandum and Articles of Association evidencing power to
                  enter into the transactions contemplated by this Agreement;

         (B)      giving the names of the present officers and directors;

         (C)      setting out specimen signatures of persons who would be
                  authorised to sign documents or otherwise perform obligations
                  under the Security Documents;

         (D)      attaching copies of resolutions passed at a duly convened
                  meeting of the directors approving the granting and the
                  execution of the documents whose execution is contemplated
                  hereby, insofar as they relate to it and the issue of any
                  power of attorney to execute the same; and

         (E)      containing a declaration of solvency as at the date of the
                  secretary's certificate.

6        Where the secretary's certificate referred to in paragraph 5 of this
         Schedule 4 is dated more than five (5) Business Days prior to the date
         of the Original Loan Agreement, a bringdown certificate, which need not
         be notarially attested if signed by the same person that signed the
         secretary's certificate referred to in paragraph 5 of this Schedule 4.

                                      106
<PAGE>

7        The original powers of attorney issued pursuant to (A) the resolutions
         referred to above and (B) paragraph 5(C) above, notarially attested.

GENERAL

8        Confirmation from the Process Agent that it will act for each of the
         Obligors as agent for service of process in England.

9        Opinions from lawyers appointed by the Agent including English, Isle of
         Man, Bermudan and United States lawyers as to any of the foregoing
         matters or otherwise as the Agent may require in the form required by
         the Agent.

10       Certified Copy of the Building Contract including all addenda.

11       Agency and Trust Deed duly executed.

12       Co-ordination Deed duly executed.

13       Star Guarantee duly executed.

14       Charge duly executed.

15       Certified Copy of the Hermes Loan Agreement.

16       Copies of the audited consolidated report and accounts of Star for 2001
         and the unaudited consolidated accounts of the Group and the unaudited
         accounts of the Borrower for the financial year quarter to 30 September
         2002.

17       Copies of all UCC-1 Financing Statements filed with the Secretary of
         State of Delaware.

18       Evidence that the withholding tax exemption applies for each of the
         Lenders.

19       Payment of all fees under Clause 13.

B        AT LEAST FIVE (5) BUSINESS DAYS BEFORE EACH DRAWDOWN DATE

20       Drawdown notice duly executed by the Borrower in the form of Schedule
         3.

                                      107
<PAGE>

21       Certified Copy of such documents as are received by the Borrower from
         the Builder pursuant to the Building Contract in evidence of the
         instalment due.

22       Certified Copy of such documents as are received by the Borrower from
         Hermes or the Hermes Agent in evidence of the Hermes Premium payable.

C        ON THE FIRST DRAWDOWN DATE

23       Confirmation of the Hermes Loan Agent that all conditions precedent to
         drawdown of the Hermes Loan have been satisfied.

24       Evidence of the payment by the Borrower to the Builder of the Equity.

25       Earnings Assignment duly executed.

26       Notarially attested bringdown certificate in respect of the Borrower.

D        ON THE REDELIVERY DATE

27       Such evidence as the Agent may require that the Vessel is:

         (A)      registered in the name of the Borrower under the laws and flag
                  of the United States of America, free from all liens and
                  encumbrances except the Mortgage;

         (B)      classified with the highest classification available free of
                  all recommendations and qualifications with Det Norske Veritas
                  and American Bureau of Shipping;

         (C)      insured in accordance with the terms of the Security
                  Documents; and

         (D)      managed by the Manager and the Sub-Agent pursuant to the
                  Management Agreement and the Sub-Agency Agreement.

28       Certified Copy of the Builder's Certificate.

29       Certified Copy of the unconditional protocol of redelivery and
         acceptance duly signed by the Builder and the Borrower.

30       Certified Copy of the certificate of warranty from the Builder stating
         that the Vessel is free from all encumbrances on the Redelivery Date.

                                      108
<PAGE>

31       Copies of valid trading and other certificates to be produced by the
         Builder pursuant to the Building Contract.

32       Mortgage duly executed and lodged for recordation at the United States
         Coast Guard National Vessel Documentation Center.

33       Certified Copy of the advance foreign transfer approval obtained from
         the Maritime Administration of the United States of America ("MARAD").
         This Marad pre-approval will have been issued for the benefit of the
         Trustee and the Hermes Loan Trustee and its successors and assigns
         pursuant to sections 9(c) and (e) of the Shipping Act, 1916, as
         amended, of the United States of America to transfer the Vessel to a
         foreign registry in the case of (A) the occurrence of an Event of a
         Default or (B) a foreclosure of the Mortgage or (C) the Vessel ceasing
         to be employed in regular service in Hawaii and no longer being
         eligible to engage in the coastwise transportation of passengers for
         hire as set forth in Public Law 108-7 of the United States of America.

34       Insurance Assignment duly executed.

35       Telefax confirmations from the insurance brokers for marine risks (hull
         and machinery) and the managers of any protection and indemnity or war
         risks association through whom any Insurances have been placed in
         respect of the Vessel that the Insurances have been placed and upon
         receipt of a notice of assignment of the Insurances they will issue
         letters of undertaking in the form approved by the Agent.

36       Written confirmation from the Agent's insurance advisers that the
         Insurances are in a form satisfactory to the Agent.

37       Certified Copy of the Management Agreement.

38       Certified Copy of the Sub-Agency Agreement.

39       Management Agreement Assignment duly executed.

40       Sub-Agency Agreement Assignment duly executed.

41       Account Charge duly executed.

42       Evidence that the Operating Account has been opened for receipt of the
         Earnings of the Vessel in accordance with Clause 7.6.

                                      109
<PAGE>

43       Opinion from lawyers appointed by the Agent as to due registration of
         the Vessel and due registration of the Mortgage or otherwise as the
         Agent may require in the form required by the Agent.

44       Notarially attested bringdown certificate in respect of the Borrower.

45       Notarially attested secretary's certificate for each of the Manager and
         the Sub-Agent:

         (A)      attaching a copy of its Certificate of Incorporation and its
                  Memorandum of Association and Bye-Laws (or equivalent
                  documents) evidencing power to enter into the transactions
                  contemplated by this Agreement;

         (B)      giving the names of the present officers and directors;

         (C)      setting out specimen signatures of persons who would be
                  authorised to sign documents or otherwise perform obligations
                  under the Security Documents;

         (D)      attaching copies of resolutions passed at a duly convened
                  meeting of the directors approving the granting and the
                  execution of the documents whose execution is contemplated
                  hereby, insofar as they relate to it and the issue of any
                  power of attorney to execute the same; and

         (E)      containing a declaration of solvency as at the date of the
                  secretary's certificate.

46       Where the secretary's certificate referred to in paragraph 45 of this
         Schedule 4 is dated more than ten (10) Business Days prior to the
         Redelivery Date, a bringdown certificate, which need not be notarially
         attested if signed by the same person that signed the secretary's
         certificate referred to in paragraph 45 of this Schedule 4.

47       The original powers of attorney issued pursuant to (A) the resolutions
         referred to above and (B) paragraph 45(C) above, notarially attested.

48       Confirmation from the Process Agent that it will act for the Manager as
         agent for service of process in England.

49       Copies of all UCC-1 Financing Statements filed with the Secretary of
         State of Delaware.

50       Payment of all fees due under Clause 13.

51       A Certified Copy of the carrier initiative agreement executed pursuant
         to the Mortgage.

                                      110
<PAGE>

52       A Certified Copy of any current certificate of financial responsibility
         in respect of the Vessel issued under OPA.

53       A Certified Copy of a valid safety management certificate (or interim
         safety management certificate) issued to the Vessel in respect of its
         management by the Manager pursuant to the ISM Code.

54       A Certified Copy of a valid document of compliance (or interim document
         of compliance) issued to the Manager in respect of ships of the same
         type as the Vessel pursuant to the ISM Code.

55       A Certified Copy of a valid international ship security certificate
         issued to the Vessel in accordance with the ISPS Code.

                                      111
<PAGE>

                                   SCHEDULE 5

                           CONFIDENTIALITY UNDERTAKING

                            [On Bank's Headed Paper]

To:      SHIP HOLDING LLC
         Corporation Trust Center
         1209 Orange Street
         Wilmington
         Delaware 19801
         United States of America
         (the "BORROWER")

         HSBC BANK PLC
         Project and Export Finance
         8 Canada Square
         London E14 5HQ
         Attn:    Mr Alan Marshall
         (the "AGENT")

SHIP HOLDING LLC
DOLLAR EQUIVALENT OF (EURO)40,000,000 TERM LOAN (THE "LOAN")
FORM OF CONFIDENTIALITY UNDERTAKING

1        We hereby undertake that we will keep confidential and will not make
         use of for any purposes (other than for the purposes of the Loan) all
         information delivered to us in connection with the Loan and all
         information obtained by us in the course of discussions with the Agent,
         the Borrower or any other party involved with the Loan (collectively
         the "INFORMATION") until and save to the extent that the Information
         has been released into the public domain. However, we shall be entitled
         to supply the Information to:

         (A)      professional advisers solely for use in connection with the
                  Loan after drawing to the attention of those advisers the
                  content of the undertaking as to confidentiality given by us
                  and after obtaining similar undertakings from them; and

         (B)      any third party where we have been authorised in writing to do
                  so by the Borrower; and

         (C)      subject to giving reasonable prior notice to the Borrower, to
                  any banking or regulatory authority to which we are subject
                  after drawing to the attention of such authority the content
                  of the undertaking as to confidentiality given by us; and

                                      112
<PAGE>

         (D)      pursuant to subpoena or other legal process and pursuant to
                  any law or regulation having the force of law.

2        We further undertake that if we decide not to participate in the Loan,
         we will return to the Agent the originals and additional copies or
         extracts made therefrom and all documentary Information delivered to us
         by the Agent in relation to the Loan and/or the Borrower (including any
         supplied to third parties as contemplated in paragraph 1).

For and on behalf of
BANK NAME:

------------------------------------
By

Date:

                                      113
<PAGE>

                                   SCHEDULE 6

                              TRANSFER CERTIFICATE

Lenders are advised not to employ Transfer Certificates or otherwise to assign
or transfer interests in the Loan Agreement without further ensuring that the
transaction complies with all applicable laws and requisitions, including the
Financial Services Act 1986 and regulations made thereunder and similar statutes
which may be in force in other jurisdictions.

TO:      hsbc Bank plc (the "AGENT") as agent on its own behalf and for and on
         behalf of the Arrangers, the Hermes Agent, the Trustee, the Borrower
         and the Lenders as defined in the Loan Agreement referred to below

Attention:        [            ]

                                                                           Date:

This certificate (the "TRANSFER CERTIFICATE") relates to a loan agreement dated
4 April 2003 and amended and restated by an agreement dated              2004
(as the same may from time to time be further amended, supplemented and/or
novated the "LOAN AGREEMENT") made between (among others) (1) Ship Holding LLC
as borrower (the "Borrower") (2) the banks and financial institutions referred
to therein as lenders (the "LENDERS") (3) the Agent (4) Commerzbank
Aktiengesellschaft (the "HERMES AGENT") and (5) HSBC Bank plc (the "TRUSTEE")
whereby the Lenders have agreed to make available to the Borrower a term loan
facility in the Equivalent Amount of up to forty million Euro
((EURO)40,000,000). Terms defined in the Loan Agreement shall, unless otherwise
defined herein, have the same meanings herein as therein.

In this Transfer Certificate:

the "TRANSFEROR" means [full name] of [Office];

the "TRANSFEREE" means [full name] of [Office].

1        The Transferor with full title guarantee transfers to the Transferee
         absolutely in accordance with Clause 17.5 of the Loan Agreement all
         rights and interests (present, future or contingent) which the
         Transferor has as Lender under or by virtue of the Loan Agreement and

                                      114
<PAGE>

         all the other Security Documents insofar as such rights and interests
         relate to [that portion of its Contribution to the Loan in an amount
         equal to [     ] Dollars (USD [         ]) out of its total
         Contribution which at the date hereof is [      ] Dollars (USD[   ])]
         or [that portion of its Commitment to the Loan in an amount in Dollars
         equal to [      ] Euro ((EURO)[         ]) out of its total Commitment
         which at the date hereof is [           ] Euro ((EURO)[         ])].

2        By virtue of this Transfer Certificate and Clause 17.5 of the Loan
         Agreement, the Transferor is discharged entirely with effect from the
         Transfer Date from [that portion of its Contribution to the Loan and
         its obligations relating thereto to the extent of [     ] Dollars
         (USD[    ]) out of its total Contribution at such date] or [that
         portion of its Commitment to the Loan and its obligations relating
         thereto to the extent of an amount equal in Dollars to [      ] Euro
         ((EURO)[        ]) out of its total Commitment at such date].

3        The Transferee hereby requests:

         (A)      the Borrower, the Agent, the Hermes Agent, the Trustee, the
                  Arrangers and the Lenders to accept the executed copies of
                  this Transfer Certificate as being delivered pursuant to and
                  for the purposes of Clause 17.5 of the Loan Agreement; and

         (B)      the Agent to execute this Transfer Certificate on behalf of
                  itself and the other said parties pursuant to Clause 17.8 of
                  the Loan Agreement so that this Transfer Certificate will take
                  effect in accordance with the terms thereof on [specify date
                  of transfer] [or] [the date on which the Agent receives a
                  certificate signed by [the Transferor] confirming that the
                  following conditions have been fulfilled [specify conditions
                  to transfer].

4        The Transferee:

         (A)      confirms that it has received a copy of the Loan Agreement,
                  the Agency and Trust Deed and the other Security Documents
                  together with such other documents and information as it has
                  required in connection with the transaction contemplated
                  thereby;

         (B)      confirms that it has not relied and will not hereafter rely on
                  the Transferor, the Trustee, the Agent, the Arrangers, the
                  Lenders or the Hermes Agent to check or enquire on its behalf
                  into the legality, validity, effectiveness, adequacy, accuracy
                  or completeness of the Loan Agreement, the Agency and Trust
                  Deed or any other of the Security Documents or any other
                  documents or information;

                                      115
<PAGE>

         (C)      agrees that it has not relied and will not rely on the
                  Transferor, the Trustee, the Agent, the Arrangers, the Lenders
                  or the Hermes Agent to assess or keep under review on its
                  behalf the financial condition, creditworthiness, condition,
                  affairs, status or nature of the Borrower or any other party
                  to the Loan Agreement or any other of the Security Documents
                  (save as otherwise expressly provided therein);

         (D)      warrants that it has power and authority to become a party to
                  the Loan Agreement and the Agency and Trust Deed and has taken
                  all necessary action to authorise execution of this Transfer
                  Certificate and to obtain all necessary approvals and consents
                  to the assumption of its obligations under the Loan Agreement,
                  the Agency and Trust Deed and the other Security Documents;

         (E)      if not already a Lender, appoints the Agent to act as its
                  agent (except in relation to the Hermes Cover), the Hermes
                  Agent to act as its agent in relation to the Hermes Cover and
                  the Trustee to act as its trustee as provided in the Loan
                  Agreement, the Agency and Trust Deed and the other Security
                  Documents and agrees to be bound by the terms of Clause 17.8
                  of the Loan Agreement and by all the terms of the Agency and
                  Trust Deed.

5        The Transferor:

         (A)      warrants to the Transferee that it has full power to enter
                  into this Transfer Certificate and has taken all corporate
                  action necessary to authorise it to do so;

         (B)      warrants to the Transferee that this Transfer Certificate is
                  binding on the Transferor under the laws of (i) England (ii)
                  the country in which the Transferor is incorporated and (iii)
                  the country in which its Office is located; and

         (C)      agrees that it will, at its own expense, execute any documents
                  which the Transferee reasonably requests for perfecting in any
                  relevant jurisdiction the Transferee's title under this
                  Transfer Certificate or for any similar purpose.

6        The Transferee hereby undertakes to the Transferor and each of the
         other parties to the Loan Agreement and the Agency and Trust Deed that
         it will perform in accordance with its terms all those obligations
         which by the terms of the Loan Agreement and the Agency and Trust Deed
         will be assumed by it after the transfer contemplated by this Transfer
         Certificate has taken effect.

                                      116
<PAGE>

7        If a Transferor and a Transferee effect a transfer in accordance with
         Clause 3 of this Transfer Certificate during an Interest Period, the
         Agent shall make all payments which would have become due to the
         Transferor under the Loan Agreement during the relevant Interest Period
         to the Transferor, as if no such transfer had been effected by the
         Transferor to the Transferee, according to the percentages of the
         Transferor's Contribution and/or Commitment transferred and retained
         pursuant to Clauses 1 and 2 of this Transfer Certificate, and the
         Transferor and the Transferee shall be responsible for paying to each
         other pro rata all amounts (if any) due to them from each other for
         such Interest Period. On and from the commencement of the immediately
         succeeding Interest Period, the Agent shall make all payments due under
         the Loan Agreement for the account of the Transferor, to the
         Transferor, and shall make all payments due under the Loan Agreement
         for the account of the Transferee, to the Transferee. This provision is
         for administrative convenience only and shall not affect the rights of
         the Transferor and the Transferee under the Loan Agreement.

8        None of the Transferor, the Agent, the Hermes Agent, the Trustee, the
         Arrangers or the Lenders:

         (A)      makes any representation or warranty nor assumes any
                  responsibility with respect to the legality, validity,
                  effectiveness, adequacy or enforceability of the Loan
                  Agreement, the Agency and Trust Deed or any other of the
                  Security Documents or any document relating thereto;

         (B)      assumes any responsibility for the financial condition of the
                  Borrower or any other party to the Loan Agreement, the Agency
                  and Trust Deed or any other of the Security Documents or any
                  such other document or for the performance and observance by
                  the Borrower or any other party to the Loan Agreement, the
                  Agency and Trust Deed or any other of the Security Documents
                  or any such other document (save as otherwise expressly
                  provided therein) and any and all such conditions and
                  warranties, whether expressed or implied by law or otherwise,
                  are hereby excluded (except as aforesaid).

9        The Transferor and the Transferee each undertakes that it will on
         demand fully indemnify the Agent in respect of any claim, proceeding,
         liability or expense which relates to or results from this Transfer
         Certificate or any matter connected with or arising out of it unless
         caused by the Agent's gross negligence or wilful misconduct, as the
         case may be.

                                      117
<PAGE>

10       The agreements and undertaking of the Transferee in this Transfer
         Certificate are given to and for the benefit of and made with each of
         the other parties to the Loan Agreement.

11       This Transfer Certificate shall be governed by, and construed in
         accordance with, English law.

IN WITNESS whereof the Transferor, the Transferee and the Agent (as agent for
and on behalf of itself as Agent, the Hermes Agent, the Trustee, the Arrangers,
the Borrower and the Lenders (other than the Transferor)) have caused this
Transfer Certificate to be executed on the day first written above.

THE TRANSFEROR

SIGNED by                                   )
                                            )
for and on behalf of                        )
[                       ]                   )
in the presence of:                         )

THE TRANSFEREE

SIGNED by                                   )
                                            )
for and on behalf of                        )
[                      ]                    )
in the presence of:                         )

THE AGENT

SIGNED by                                   )
                                            )
for and on behalf of                        )
[                      ]                    )
as agent for and on behalf                  )
of itself as Agent,                         )
the Hermes Agent, the Trustee,              )
the Arrangers, the Borrower,                )
the Guarantor and the Lenders               )
in the presence of:                         )

                                      118
<PAGE>

NOTE:    The execution of this Transfer Certificate alone may not transfer a
         proportionate share of the Transferor's interest in the security
         constituted by the Security Documents in the Transferor's or
         Transferee's jurisdiction. It is the responsibility of each individual
         Lender to ascertain whether any other documents are required to perfect
         a transfer of such a share in the Transferor's interest in such
         security in any such jurisdiction, and, if so, to seek appropriate
         advice and arrange for execution of the same.

                                      119
<PAGE>

                                    SCHEDULE

                      ADMINISTRATIVE DETAILS OF TRANSFEREE

Name of Transferee:

Office:

Contact Person
(Loan Administration Department):

Telephone:

Fax:

E-mail:

Contact Person
(Credit Administration Department):

Telephone:

Fax:

E-mail:

Account for Payments:

                                      120
<PAGE>

                                   SCHEDULE 7

           CHARTERING OF THE SIX VESSELS (AS DEFINED IN CLAUSE 10.6.4)

<TABLE>
<CAPTION>
VESSEL                      NEW OWNER                      DAILY HIRE      REDELIVERING         TRANSFER VALUE
--------------------------- ------------------------------ --------------- -------------------- ---------------------
<S>                         <C>                            <C>             <C>                  <C>
Norwegian Sea               Ocean Pacific Limited                     [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------
Norwegian Majesty           Ocean Voyager Limited                     [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------
Norwegian Wind              Crown Wind Limited                        [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------
Norwegian Crown             Crown Odyssey Limited                     [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------
Norwegian Dream             Ocean Dream Limited                       [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------
Marco Polo                  Ocean World Limited                       [***] [Confidential Treatment]
--------------------------- ------------------------------ --------------- -------------------- ---------------------
</TABLE>

                                      121

<PAGE>

CONFORMED COPY

                               DATED 23 APRIL 2004

                            (1) NCL CORPORATION LTD.
                                 (AS GUARANTOR)

                                (2) HSBC BANK PLC
                            (AS HERMES LOAN TRUSTEE)

                                (3) HSBC BANK PLC
                          (AS COMMERCIAL LOAN TRUSTEE)

                            -------------------------

                                    GUARANTEE
                            -------------------------

                               STEPHENSON HARWOOD
                            ONE ST PAUL'S CHURCHYARD
                                 LONDON EC4M 8SH
                            TEL: +44 (0)20 7329 4422
                            FAX: + 44 (0)20 7606 0822
                               REF: 1253/42-02591

<PAGE>

                                    CONTENTS

<TABLE>
<CAPTION>
                                                                                                     Page
                                                                                                     ----
<S>        <C>                                                                                       <C>
1           Definitions and Construction................................................................3

2           Guarantee and Indemnity.....................................................................4

3           Survival of Guarantor's Liability...........................................................6

4           Continuing Guarantee........................................................................7

5           Exclusion of the Guarantor's Rights.........................................................8

6           Payments....................................................................................9

7           Enforcement................................................................................11

8           Representations and Warranties.............................................................11

9           General Undertakings: Positive Covenants...................................................15

10          General Undertakings: Negative Covenants...................................................18

11          Financial Undertakings.....................................................................21

12          Discharge..................................................................................29

13          Assignment and Transfer....................................................................29

14          Miscellaneous Provisions...................................................................30

15          Waiver of Immunity.........................................................................30

16          Notices....................................................................................31

17          Governing Law..............................................................................32

18          Jurisdiction...............................................................................32

Schedule 1  Quarterly Compliance Certificate...........................................................34

Schedule 2  Letter of Instruction......................................................................37

</TABLE>

<PAGE>

DEED

DATED 23 APRIL 2004

BY:

(1)      NCL CORPORATION LTD. being a company validly existing under the laws of
         Bermuda with its registered office at Reid Hall, 3 Reid Street,
         Hamilton HM 11, Bermuda as guarantor (the "GUARANTOR");

IN FAVOUR OF:

(2)      HSBC BANK PLC a company incorporated under the laws of England and
         Wales whose office is at 8 Canada Square, London E14 5HQ, England (the
         "HERMES LOAN TRUSTEE") as trustee for the Beneficiaries; and

(3)      HSBC BANK PLC a company incorporated under the laws of England and
         Wales whose office is at 8 Canada Square, London E14 5HQ, England (the
         "COMMERCIAL LOAN TRUSTEE" and together with the Hermes Loan Trustee the
         "TRUSTEES") as trustee for the Beneficiaries.

WHEREAS:

(A)      By a loan agreement dated 4 April 2003 (the "ORIGINAL HERMES LOAN
         AGREEMENT") made between (among others) (1) Ship Holding LLC as
         borrower (the "BORROWER") (2) the banks whose names and Offices appear
         in schedule 2 to the Hermes Loan Agreement (the "HERMES LOAN LENDERS")
         (3) HSBC Bank plc as agent for the Hermes Loan Lenders (the "HERMES
         LOAN AGENT") (4) Commerzbank Aktiengesellschaft as agent (the "HERMES
         AGENT") and (5) the Hermes Loan Trustee, and to be amended and restated
         by a first supplemental agreement thereto dated 20 APRIL 2004 (the
         "FIRST HERMES SUPPLEMENTAL AGREEMENT" and together with the Original
         Hermes Loan Agreement the "HERMES LOAN AGREEMENT") made between (a) the
         parties to the Original Hermes Loan Agreement (b) Star Cruises Limited
         (the "THE ORIGINAL GUARANTOR") and (c) the Guarantor, the Hermes Loan
         Lenders agreed to make available to the Borrower, upon the terms and
         subject to the conditions thereof, a secured term loan of the
         equivalent in Dollars of up to two hundred and fifty eight million Euro
         ((EURO) 258,000,000) (the "HERMES LOAN") on the terms and conditions
         contained therein.

<PAGE>

(B)      By a loan agreement dated 4 April 2003 (the "ORIGINAL COMMERCIAL LOAN
         AGREEMENT" and together with the Original Hermes Loan Agreement the
         "ORIGINAL LOAN AGREEMENTS") made between (among others) (1) the
         Borrower as borrower (2) the banks whose names and Offices appear in
         schedule 2 to the Commercial Loan Agreement (the "COMMERCIAL LOAN
         LENDERS" and together with the Hermes Loan Lenders the "LENDERS") (3)
         HSBC Bank plc as agent for the Commercial Loan Lenders (the "COMMERCIAL
         LOAN AGENT" and together with the Hermes Loan Agent the "AGENTS") (4)
         the Hermes Agent and (5) the Commercial Loan Trustee and to be amended
         and restated by a first supplemental agreement thereto dated 20 APRIL
         2004 (the "FIRST COMMERCIAL SUPPLEMENTAL AGREEMENT") (the First Hermes
         Supplemental Agreement and the First Commercial Supplemental Agreement
         together the "SUPPLEMENTAL AGREEMENTS", the First Commercial
         Supplemental Agreement and the Original Commercial Loan Agreement
         together the "COMMERCIAL LOAN AGREEMENT" and the Hermes Loan Agreement
         and the Commercial Loan Agreement together the "LOAN AGREEMENTS"), the
         Commercial Loan Lenders agreed to make available to the Borrower, upon
         the terms and subject to the conditions thereof, a secured term loan of
         the equivalent in Dollars of up to forty million Euro
         ((EURO) 40,000,000) (the "COMMERCIAL LOAN" and together with the Hermes
         Loan the "LOANS") on the terms and conditions contained therein.

(C)      By a deed of agency and trust dated 4 April 2003 made between (1) the
         Hermes Loan Agent (2) the Hermes Agent (3) the Hermes Loan Trustee (4)
         the Hermes Loan Lenders (5) the Commercial Loan Agent (6) the
         Commercial Loan Trustee and (7) the Commercial Loan Lenders it has been
         agreed that the benefit of this Deed shall be held by the Trustees on
         trust for themselves, the Agents, the Hermes Agent, the Hermes Loan
         Lenders and the Commercial Loan Lenders and its and their respective
         successors, assignees and transferees (together the "BENEFICIARIES").

(D)      By a deed of co-ordination dated 4 April 2003 (the "CO-ORDINATION
         DEED") made between (1) the Hermes Loan Agent (2) the Hermes Loan
         Trustee (3) the Commercial Loan Agent (4) the Commercial Loan Trustee
         and (5) the Borrower the parties have agreed (inter alia) as to how the
         rights, powers and remedies of the Trustees arising under this Deed
         shall be exercised.

(E)      Pursuant to the Supplemental Agreements the Lenders agreed to release
         the Original Guarantor from its guarantee dated 4 April 2003 of the
         obligations of the Borrower under

                                       2
<PAGE>

         the Loan Agreements (the "ORIGINAL GUARANTEE") on the condition that
         the Guarantor enters into this Deed.

NOW THIS DEED WITNESSES:

1        DEFINITIONS AND CONSTRUCTION

         1.1      In this Deed the following terms and expressions shall have
                  the meanings set out below; in addition, terms and expressions
                  not defined herein but whose meanings are defined in the Loan
                  Agreements shall have the meanings set out therein.

                  "ACCOUNTS" means the audited consolidated profit and loss
                  account and balance sheet (including all additional
                  information and notes thereto) of the Guarantor and its
                  consolidated Subsidiaries together with the relative
                  directors' and auditors' reports;

                  "BONDS" means bonds in an aggregate amount of at least two
                  hundred million Dollars (USD200,000,000) and with a life of
                  ten (10) years but which may be redeemed by the Guarantor at
                  an earlier date, to be issued by the Guarantor in one (1) or
                  more tranches, in the first instance to qualified
                  institutional buyers as unregistered privately placed bonds
                  and thereafter as bonds registered with the Securities
                  Exchange Commission of the United States of America;

                  "EVENT OF DEFAULT" means any of the events specified in clause
                  11 of a Loan Agreement or specified as such in Clause 11; and

                  "OUTSTANDING INDEBTEDNESS" means all sums of any kind payable
                  actually or contingently to the Beneficiaries under or
                  pursuant to the Loan Agreements or any Transaction Document
                  (whether by way of repayment of principal, payment of interest
                  or default interest, payment of any indemnity or
                  counter-indemnity, reimbursement for fees, costs or expenses
                  or otherwise howsoever).

         1.2      In this Deed unless the context otherwise requires:

                  1.2.1    clause headings are inserted for convenience of
                           reference only and shall be ignored in the
                           construction of this Deed;

                  1.2.2    references to Clauses and to Schedules are to be
                           construed as references to clauses of and schedules
                           to this Deed unless otherwise stated and

                                       3
<PAGE>

                           references to this Deed are to be construed as
                           references to this Deed including its Schedules;

                  1.2.3    references to (or to any specified provision of) this
                           Deed or any other document shall be construed as
                           references to this Deed, that provision or that
                           document as from time to time amended, supplemented
                           or novated;

                  1.2.4    references to any Act or any statutory instrument
                           shall be construed as references to that Act or that
                           statutory instrument as from time to time re-enacted,
                           amended or supplemented;

                  1.2.5    references to any party to this Deed or any other
                           document shall include reference to such party's
                           successors and permitted assigns;

                  1.2.6    words importing the plural shall include the singular
                           and vice versa;

                  1.2.7    references to a person shall be construed as
                           references to an individual, firm, company,
                           corporation, unincorporated body of persons or any
                           state or any agency thereof; and

                  1.2.8    where any matter requires the approval or consent of
                           the Trustees or the Agents such approval or consent
                           shall not be deemed to have been given unless given
                           in writing; where any matter is required to be
                           acceptable to the Trustees or the Agents, the
                           Trustees or the Agents (as the case may be) shall not
                           be deemed to have accepted such matter unless their
                           acceptance is communicated in writing; each of the
                           Trustees and the Agents may give or withhold their
                           consent, approval or acceptance at their unfettered
                           discretion.

2        GUARANTEE AND INDEMNITY

         2.1      In consideration of the Lenders agreeing at the request of the
                  Original Guarantor to release it from its obligations under
                  the Original Guarantee and to continue to make the Facility
                  available to the Borrower in accordance with the terms of the
                  Loan Agreements, the payment by the Trustees to the Guarantor
                  of ten Dollars (USD10) and other good and valuable
                  consideration (the receipt and adequacy of which the Guarantor
                  hereby acknowledges) the Guarantor:

                                       4
<PAGE>

                  2.1.1    as primary obligor as and for its own debt and not
                           merely as surety hereby undertakes to the Trustees to
                           be responsible for and hereby guarantees to the
                           Trustees:

                           (a)      the due and punctual payment by each of the
                                    Obligors to the Trustees or an Agent (on
                                    behalf of the relevant Lenders) (as the case
                                    may be) (as and when due by acceleration,
                                    demand or otherwise howsoever) of the
                                    Outstanding Indebtedness and every part
                                    thereof; and

                           (b)      the due and punctual performance of all the
                                    obligations to be performed by each of the
                                    Obligors and the Builder under or pursuant
                                    to the Loan Agreements and the other
                                    Security Documents; and

                  2.1.2    unconditionally undertakes immediately on demand by
                           the Trustees from time to time to pay and/or perform
                           its obligations under Clause 2.1.1.

         2.2      For the same consideration as referred to in Clause 2.1 the
                  Guarantor (as a separate and independent obligation)
                  unconditionally undertakes immediately on demand by the
                  Trustees from time to time to indemnify the Trustees and the
                  Agents and hold each of them harmless in respect of:

                  2.2.1    any loss incurred by the Trustees and/or the Agents
                           as a result of a Loan Agreement and each other
                           Security Document to which any of the Obligors or the
                           Builder is a party or any provision thereof becoming
                           invalid, void, voidable or unenforceable for any
                           reason whatsoever after execution hereof; and

                  2.2.2    all loss or damage of any kind arising directly or
                           indirectly from any failure on the part of any of the
                           Obligors or the Builder to perform any obligation to
                           be performed by any of the Obligors or the Builder
                           under and pursuant to a Loan Agreement and each other
                           Security Document to which any of the Obligors or the
                           Builder is a party.

                                       5
<PAGE>

3        SURVIVAL OF GUARANTOR'S LIABILITY

         3.1      The Guarantor's liability to the Trustees under this Deed
                  shall not be discharged, impaired or otherwise affected by
                  reason of any of the following events or circumstances
                  (regardless of whether any such events or circumstances occur
                  with or without the Guarantor's knowledge or consent):

                  3.1.1    any time, forbearance or other indulgence given or
                           agreed by the Trustees, the Agents, the Lenders
                           and/or the Hermes Agent to or with any of the
                           Obligors or the Builder or Hermes in respect of any
                           of their obligations under the Loan Agreements and
                           each other Security Document to which any of the
                           Obligors, the Builder or Hermes is a party; or

                  3.1.2    any legal limitation, disability or incapacity
                           relating to any of the Obligors, the Builder or
                           Hermes; or

                  3.1.3    any invalidity, irregularity, unenforceability,
                           imperfection or avoidance of or any defect in any
                           security granted by, or the obligations of any of the
                           Obligors, the Builder or Hermes under, the Loan
                           Agreements and each other Security Document to which
                           any of the Obligors, the Builder or Hermes is a party
                           or any amendment to or variation thereof or of any
                           other document or security comprised therein; or

                  3.1.4    any change in the name, constitution or otherwise of
                           any of the Obligors, the Builder or Hermes or the
                           merger of any of the Obligors, the Builder or Hermes
                           with any other corporate entity; or

                  3.1.5    the liquidation, bankruptcy or dissolution (or
                           proceedings analogous thereto) of any of the
                           Obligors, the Builder or Hermes or the appointment of
                           a receiver or administrative receiver or
                           administrator or trustee or similar officer of any of
                           the assets of any of the Obligors, the Builder or
                           Hermes or the occurrence of any circumstances
                           whatsoever affecting any Obligor's, the Builder's or
                           Hermes' liability to discharge its obligations under
                           the Loan Agreements and each other Security Document
                           to which it is a party; or

                                       6
<PAGE>

                  3.1.6    any challenge, dispute or avoidance by any liquidator
                           of any of the Obligors, the Builder or Hermes in
                           respect of any claim by the Guarantor by right of
                           subrogation in any such liquidation; or

                  3.1.7    any release of any other Obligor, the Builder or
                           Hermes or any renewal, exchange or realisation of any
                           security or obligation provided under or by virtue of
                           any of the Security Documents or the provision to the
                           Trustees, the Agents, any of the Lenders or the
                           Hermes Agent at any time of any further security for
                           the obligations of the Borrower under any of the
                           Security Documents; or

                  3.1.8    the release of any co-guarantor and/or indemnitor who
                           is now or may hereafter become under a joint and
                           several liability with the Guarantor under this Deed
                           or the release of any other guarantor, indemnitor or
                           other third party obligor in respect of the
                           obligations of any Obligor or the Builder under any
                           of the Security Documents; or

                  3.1.9    any failure on the part of the Trustees, the Agents,
                           any of the Lenders or the Hermes Agent (whether
                           intentional or not) to take or perfect any security
                           agreed to be taken under or in relation to any of the
                           Security Documents or to enforce any of the Security
                           Documents; or

                  3.1.10   any other act, matter or thing (save for repayment in
                           full of the Outstanding Indebtedness) which might
                           otherwise constitute a legal or equitable discharge
                           of any of the Guarantor's obligations under this
                           Deed.

4        CONTINUING GUARANTEE

         4.1      This Deed shall be:

                  4.1.1    a continuing guarantee remaining in full force and
                           effect until irrevocable payment in full has been
                           received by the Trustees or the Agents on behalf of
                           the Lenders of each and every part and the ultimate
                           balance of the Outstanding Indebtedness in accordance
                           with the Loan Agreements and each other Security
                           Document to which any of the Obligors or the Builder
                           is a party; and

                                       7
<PAGE>

                  4.1.2    in addition to and not in substitution for or in
                           derogation of any other security held by the
                           Trustees, the Agents, any of the Lenders or the
                           Hermes Agent from time to time in respect of the
                           Outstanding Indebtedness or any part thereof.

         4.2      Any satisfaction of obligations by the Guarantor to the
                  Trustees or any discharge given by the Trustees to the
                  Guarantor or any other agreement reached between the Trustees
                  and the Guarantor in relation to this Deed shall be, and be
                  deemed always to have been, void ab initio if any act
                  satisfying any of the said obligations or on the faith of
                  which any such discharge was given or any such agreement was
                  entered into is subsequently avoided in whole or in part by or
                  pursuant to any provision of any applicable law whatsoever.

         4.3      This Deed shall remain the property of the Trustees and,
                  notwithstanding that all monies and liabilities due or
                  incurred by any of the Obligors or the Builder to the Trustees
                  which are guaranteed hereunder shall have been paid or
                  discharged, the Trustees shall be entitled not to discharge
                  this Deed or any security held by the Trustees for the
                  obligations of the Guarantor hereunder for such period as may
                  in the reasonable opinion of the Trustees be necessary or
                  appropriate under any applicable insolvency law after the last
                  of such monies and liabilities have been paid or discharged
                  and in the event of bankruptcy, winding-up or any similar
                  proceedings being commenced in respect of any of the Obligors
                  or the Builder, the Trustees shall be at liberty not to
                  discharge this Deed or any security held by the Trustees for
                  the obligations of the Guarantor hereunder for and during such
                  further period as the Trustees may determine at their sole
                  discretion.

5        EXCLUSION OF THE GUARANTOR'S RIGHTS

         5.1      Until the obligations of any Obligor or the Builder under the
                  Loan Agreements and each other Security Document to which any
                  Obligor or the Builder is a party have been fully performed,
                  the Guarantor shall not:

                  5.1.1    be entitled to share in or succeed to or benefit from
                           (by subrogation or otherwise) any rights which the
                           Trustees may have in respect of the Outstanding
                           Indebtedness or any security therefor or all or any
                           of the proceeds of such rights or security; or

                                       8
<PAGE>

                  5.1.2    without the prior written consent of the Trustees:

                           (a)      exercise in respect of any amount paid by
                                    the Guarantor hereunder any right of
                                    indemnity, subrogation, contribution or any
                                    other right or remedy which it may have in
                                    respect thereof; or

                           (b)      claim payment of any other monies for the
                                    time being due to the Guarantor or to which
                                    it may become entitled or exercise or
                                    enforce or benefit from any other right,
                                    remedy or security in respect thereof; or

                           (c)      prove in a liquidation of any Obligor or the
                                    Builder in competition with the Trustees for
                                    any monies owing to the Guarantor by any
                                    other Obligor or the Builder on any account
                                    whatsoever,

                  PROVIDED ALWAYS that if the Guarantor, in breach of this
                  Clause, receives or recovers any monies pursuant to any such
                  exercise, claim or proof, such monies shall be held by the
                  Guarantor as trustee upon trust for the Trustees to apply the
                  same as if they were monies received or recovered by the
                  Trustees under this Deed.

6        PAYMENTS

         6.1      Each payment to be made by the Guarantor hereunder shall be
                  made in immediately available funds in the currency in which
                  such payment is due without set-off, counterclaim, deduction
                  or retention of any kind by payment to such account of the
                  Trustees with such bank or financial institution as the
                  Trustees may from time to time notify to the Guarantor in
                  writing.

                  If the Guarantor is required by law to make such a payment
                  subject to the deduction or withholding of Taxes, in which
                  case the sum payable by the Guarantor 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 such deduction or withholding, the Trustees receive
                  and retain (free from any liability in respect of any such
                  deduction or withholding) a net sum equal to the sum which
                  they would have received and so retained had no such deduction
                  or withholding been made or required to be made.

                                       9
<PAGE>

         6.2      Without prejudice to the provisions of Clause 6.1, if any
                  Lender or an Agent or the Trustees on its behalf is required
                  to make any payment on account of Tax (not being a tax imposed
                  on the net income of its Office by the jurisdiction in which
                  it is incorporated or in which its Office is located or any
                  other tax existing and applicable on the date of this Deed
                  under the laws of any jurisdiction) on or in relation to any
                  sum received or receivable hereunder by such Lender or Agent
                  or the Trustees on its behalf (including, without limitation,
                  any sum received or receivable under this Clause 6) or any
                  liability in respect of any such payment is asserted, imposed,
                  levied or assessed against such Lender or Agent or the
                  Trustees on its behalf, the Guarantor shall, upon demand of
                  the relevant Agent, indemnify such Lender or Agent or the
                  Trustees against such payment or liability, together with any
                  interest, penalties and expenses payable or incurred in
                  connection therewith, other than interest, penalties, and
                  expenses:

                  6.2.1    that accrue during any periods of time beginning on
                           the thirty first (31st) day (or such longer period as
                           any Lender may reasonably require) following the day
                           on which the Lender or an Agent or the Trustees, as
                           applicable, has actual knowledge of the imposition or
                           assertion of such Taxes or other Taxes; or

                  6.2.2    that are otherwise imposed or asserted on account of
                           the bad faith or wilful neglect of such Lender or
                           Agent or the Trustees.

                  If any Lender proposes to make a claim under the provisions of
                  this Clause 6.2 it shall certify to the Guarantor in
                  reasonable detail within thirty (30) days (or such longer
                  period as any Lender may reasonably require) after becoming
                  aware of the event by reason of which it is entitled to make
                  its claim or claims the basis of its claim or claims, such
                  certificate to be conclusive, save for manifest error.

                  Without affecting the Guarantor's obligations under Clause 6.1
                  and in consultation with the relevant Agent, the affected
                  Lender will then take all such reasonable steps as may be open
                  to it to mitigate the effect of the event (for example (if
                  then possible) by changing its Office or transferring some or
                  all of its rights and obligations under the relevant Loan
                  Agreement to another financial institution reasonably
                  acceptable to the Borrower, the Guarantor, the Hermes Agent
                  and the relevant Agent). The reasonable costs of mitigating
                  the effect of any such change shall be borne by the Guarantor
                  save where such costs are of an internal

                                       10
<PAGE>

                  administrative nature and are not incurred in dealings by any
                  Lender with third parties.

         6.3      No person to which a Lender assigns part or all of its
                  interest under this Deed pursuant to clause 17 of a Loan
                  Agreement shall be entitled to receive any greater increase in
                  payment under Clause 6.1 than the assigning Lender would have
                  been entitled to receive with respect to the rights assigned
                  unless such assignment shall have been made at a time when the
                  circumstances giving rise to such greater payment did not
                  exist and were not reasonably anticipated or reasonably
                  foreseeable.

         6.4      The certificate of the Trustees from time to time as to sums
                  owed by any Obligor or the Builder under the Security
                  Documents and sums owed by the Guarantor hereunder shall, save
                  for manifest error, be conclusive and binding for all purposes
                  and prima facie evidence of the existence and extent of such
                  debts in any legal action or proceedings arising in connection
                  herewith.

         6.5      The provisions of Clause 7.3 of each of the Loan Agreements
                  shall apply hereto (mutatis mutandis) as if set out in full
                  herein.

7        ENFORCEMENT

         7.1      The Trustees shall not be obliged before taking steps to
                  enforce this Deed to take any action whatsoever against any of
                  the Obligors, the Builder or Hermes under the Loan Agreements
                  or any other Security Documents to which they are a party and
                  the Guarantor hereby waives all such formalities or rights to
                  which it would otherwise be entitled or which the Trustees
                  would otherwise first be required to satisfy or fulfil before
                  proceeding or making demand against the Guarantor hereunder
                  provided that the Trustees shall not be entitled to enforce
                  their rights under this Deed otherwise than in circumstances
                  which would constitute an Event of Default and subject to the
                  provisions of the Co-ordination Deed.

8        REPRESENTATIONS AND WARRANTIES

         8.1      The Guarantor represents and warrants to the Trustees that:

                  8.1.1    it is a limited liability exempt company, duly
                           incorporated and validly existing under the laws of
                           Bermuda, possessing perpetual corporate

                                       11
<PAGE>

                           existence, the capacity to sue and be sued in its own
                           name and the power to own its assets and carry on its
                           business as it is now being conducted;

                  8.1.2    it has the power to enter into and perform this Deed
                           and all necessary corporate or other action has been
                           taken to authorise the entry into and performance of
                           this Deed;

                  8.1.3    this Deed constitutes its legal, valid and binding
                           obligations enforceable in accordance with its terms;

                  8.1.4    the entry into and performance of this Deed and the
                           transactions contemplated hereby do not and will not
                           be a breach of or conflict with:

                           (a)      any law or regulation or any official or
                                    judicial order; or

                           (b)      its constitutional documents; or

                           (c)      any agreement or document to which it is a
                                    party or which is binding upon it or any of
                                    its assets,

                           nor result in the creation or imposition of any
                           Encumbrance on any of its assets pursuant to the
                           provisions of any such agreement or document;

                  8.1.5    no event has occurred and is continuing which
                           constitutes a default under or in respect of any
                           agreement or document to which the Guarantor is a
                           party or by which it may be bound (including, inter
                           alia, this Deed) and no event has occurred which,
                           with the giving of notice, lapse of time,
                           determination of materiality or other condition would
                           or might constitute a default under or in respect of
                           any such agreement or document;

                  8.1.6    all authorisations, approvals, consents, licences,
                           exemptions, filings, registrations, notarisations and
                           other matters, official or otherwise, required in
                           connection with the entry into, performance, validity
                           and enforceability of this Deed and the transactions
                           contemplated hereby have been obtained or effected
                           and are in full force and effect;

                  8.1.7    all information furnished by or on behalf of the
                           Guarantor relating to the business and affairs of any
                           member of the NCLC Group in connection with this Deed
                           was and remains true and correct in all material
                           respects

                                       12
<PAGE>

                           and there are no other material facts or
                           considerations the omission of which would render any
                           such information misleading;

                  8.1.8    the Guarantor has fully disclosed in writing to the
                           Lenders through the Agents all facts relating to the
                           NCLC Group which it knows or should reasonably know
                           and which might reasonably be expected to influence
                           the Lenders in deciding whether or not to enter into
                           the Loan Agreements;

                  8.1.9    the Accounts for the financial year ended 31 December
                           2004 (which accounts will be prepared in accordance
                           with GAAP) will fairly represent the consolidated
                           financial condition of the NCLC Group as at 31
                           December 2004 and from that date there will be no
                           material adverse change in the consolidated financial
                           condition of the NCLC Group as shown in such audited
                           accounts save as disclosed in writing to each of the
                           Agents (in this Clause 8.1.9 "NCLC GROUP" shall have
                           the meaning ascribed to it in Clause 11.4);

                  8.1.10   the claims of the Trustees against the Guarantor
                           under this Deed will rank at least pari passu with
                           the claims of all other unsecured creditors of the
                           Guarantor other than claims of such creditors to the
                           extent that the same are statutorily preferred;

                  8.1.11   no member of the NCLC Group has taken any corporate
                           action nor have any other steps been taken or legal
                           proceedings been started or (to the best of the
                           Guarantor's knowledge and belief) threatened against
                           any member of the NCLC Group for its winding-up or
                           dissolution or for the appointment of a liquidator,
                           administrator, receiver, administrative receiver,
                           trustee or similar officer of it or any or all of its
                           assets or revenues nor has any member of the NCLC
                           Group sought any other relief under any applicable
                           insolvency or bankruptcy law;

                  8.1.12   no litigation, arbitration or administrative
                           proceedings are current or pending or (to the best of
                           the Guarantor's knowledge and belief) threatened,
                           which might, if adversely determined, have a material
                           adverse effect on the business, assets or financial
                           condition of the Guarantor or any other member of the
                           NCLC Group;

                                       13
<PAGE>

                  8.1.13   each member of the NCLC Group has complied with all
                           taxation laws in all jurisdictions in which it is
                           subject to Taxation and has paid all Taxes due and
                           payable by it; no material claims are being asserted
                           against any member of the NCLC Group with respect to
                           Taxes which might, if such claims were successful,
                           have a material adverse effect on its business,
                           assets or financial condition;

                  8.1.14   neither the Guarantor nor any of its assets enjoys
                           any right of immunity from set-off, suit or execution
                           in respect of its obligations under this Deed;

                  8.1.15   all amounts payable by the Guarantor hereunder may be
                           made free and clear of and without deduction for or
                           on account of any Taxes;

                  8.1.16   the Membership Interest and all the shares in the
                           Manager are legally and beneficially owned by the
                           Member, all the shares in the Sub-Agent are legally
                           and beneficially owned by NCL International, all the
                           shares in the Member are legally and beneficially
                           owned by Arrasas, all the shares in Arrasas are
                           legally and beneficially owned by the Guarantor and
                           all the shares in the Supervisor are legally and
                           beneficially owned by the Original Guarantor and such
                           structure shall remain so throughout the currency of
                           this Deed. Further, no Event of Default has occurred
                           under Clause 11.2 in respect of the ownership and/or
                           control of the shares in the Guarantor;

                  8.1.17   the Guarantor does not have a place of business in
                           any jurisdiction which would require this Deed to be
                           filed or registered (if it had a place of business in
                           that jurisdiction) to ensure the validity of this
                           Deed; and

                  8.1.18   it has reviewed and agrees to all the terms and
                           conditions of the Loan Agreements and each other
                           Security Document to which any Obligor or the Builder
                           is a party.

         8.2      The representations and warranties set out in Clause 8.1 other
                  than those set out in Clauses 8.1.4(a), 8.1.8, 8.1.15 and
                  8.1.18 shall survive the execution of this Deed and shall be
                  deemed to be repeated, with reference mutatis mutandis to the
                  facts

                                       14
<PAGE>

                  and circumstances then subsisting, on each day until the
                  actual and contingent obligations of each Obligor or the
                  Builder have been performed in full.

9        GENERAL UNDERTAKINGS: POSITIVE COVENANTS

         9.1      The undertakings contained in this Clause 9 shall remain in
                  full force from the date of this Deed until the end of the
                  Security Period.

         9.2      The Guarantor will provide to each of the Agents:

                  9.2.1    as soon as practicable (and in any event within one
                           hundred and twenty (120) days after the close of each
                           of its financial years) a Certified Copy of its
                           Accounts (commencing with the audited accounts made
                           up to 31 December 2004);

                  9.2.2    as soon as practicable (and in any event within forty
                           five (45) days after the close of each quarter of
                           each financial year) a Certified Copy of the
                           unaudited consolidated accounts of the NCLC Group for
                           that quarter (commencing with the unaudited accounts
                           made up to 31 March 2004);

                  9.2.3    as soon as practicable (and in any event within forty
                           five (45) days after the close of each quarter of
                           each financial year), beginning with the quarter
                           ending 31 March 2004, monthly cash flow projections
                           on a consolidated basis of the NCLC Group showing
                           advance ticket sales (for at least twelve (12) months
                           following the date of such statement) for the NCLC
                           Group, together with a certificate of the NCLC
                           Group's chief financial officer stating that no Event
                           of Default or Possible Event of Default has occurred
                           and is continuing, or setting forth in detail any
                           such Event of Default or Possible Event of Default
                           and any steps being taken by the Guarantor or any
                           other Obligor to cure the same;

                  9.2.4    as soon as practicable (and in any event not later
                           than 31 January of each financial year):

                           (a)      a budget for the NCLC Group for such new
                                    financial year including a twelve (12) month
                                    liquidity budget for such new financial
                                    year; and

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                           (b)      updated financial projections of the NCLC
                                    Group for at least the next five (5) years
                                    (including an income statement and projected
                                    results for the operation of the vessels
                                    owned and/or operated by any member of the
                                    NCLC Group) and an outline of the
                                    assumptions supporting such budget and
                                    financial projections and details of any
                                    scheduled dry-docking of any of the vessels
                                    owned and/or operated by companies in the
                                    NCLC Group during such new financial year;

                  9.2.5    from time to time (but at intervals no more
                           frequently than semi-annually at the Guarantor's
                           expense) within fifteen (15) days of receiving any
                           request to that effect from an Agent, a valuation of
                           each of the vessels in the NCLC Fleet obtained in
                           accordance with the provisions of clause 10.18 of the
                           relevant Loan Agreement;

                  9.2.6    as soon as practicable (and in any event within forty
                           five (45) days after the close of each quarter of its
                           financial year) a statement signed by the NCLC
                           Group's chief financial officer in the form of
                           Schedule 1 (commencing with the first quarter of the
                           financial year ending 31 December 2004);

                  9.2.7    promptly, such further information in its possession
                           or control regarding its financial condition and
                           operations and those of any company in the NCLC Group
                           as an Agent may request;

                  9.2.8    details of any material litigation, arbitration or
                           administrative proceedings which affect any Obligor
                           as soon as the same are instituted and served, or, to
                           the knowledge of the Guarantor, threatened (and for
                           this purpose proceedings shall be deemed to be
                           material if they involve a claim in an amount
                           exceeding five million Dollars (USD5,000,000) or the
                           equivalent in another currency); and

                  9.2.9    promptly, such information as an Agent may request
                           regarding the Bonds, either before their issue or
                           during their lifetime.

                  All accounts required under this Clause 9.2 shall be prepared
                  in accordance with GAAP and shall fairly represent the
                  financial condition of the relevant company.

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                  In this Clause 9.2 "NCLC GROUP" shall have the meaning
                  ascribed to it in Clause 11.4.

         9.3      Subject to the provisions of Clause 11.3, the Guarantor will
                  procure that any dividends or other distributions and interest
                  paid or payable in connection therewith received by the Member
                  will be paid to the Guarantor by way of dividend promptly on
                  receipt.

         9.4      The Guarantor will keep proper books of record and account in
                  which proper and correct entries shall be made of all
                  financial transactions and the assets, liabilities and
                  business of the Guarantor in accordance with GAAP.

         9.5      The Guarantor will notify the Trustees and the Agents of any
                  Event of Default or Possible Event of Default forthwith upon
                  the Guarantor becoming aware of the occurrence thereof.

         9.6      The Guarantor will procure that all such authorisations,
                  approvals, consents, licences and exemptions as may be
                  required under any applicable law or regulation to enable it
                  to perform its obligations under, and ensure the validity or
                  enforceability of, this Deed are obtained and promptly renewed
                  from time to time and will promptly furnish certified copies
                  thereof to each of the Agents and will procure that the terms
                  of the same are complied with at all times.

         9.7      The Guarantor will do all such things as are necessary to
                  maintain its corporate existence in good standing and will
                  ensure that it has the right and is duly qualified to conduct
                  its business as it is conducted in all applicable
                  jurisdictions and will obtain and maintain all franchises and
                  rights necessary for the conduct of its business.

         9.8      Forthwith upon the execution of this Deed, and as a condition
                  precedent to the amendment and restatement of the Original
                  Loan Agreements, the Guarantor shall deliver to each of the
                  Agents a letter addressed to that Agent irrevocably and
                  unconditionally authorising and instructing the Agent
                  forthwith to execute on behalf of the Guarantor each Transfer
                  Certificate delivered to the Agent pursuant to clause 17 of
                  the relevant Loan Agreement, such letter to be in
                  substantially the form of Schedule 2.

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10       GENERAL UNDERTAKINGS: NEGATIVE COVENANTS

         10.1     The undertakings contained in this Clause 10 shall remain in
                  full force from the date of this Deed until the end of the
                  Security Period under each of the Loan Agreements.

         10.2     Except with the prior written consent of the Agents, the
                  Guarantor will not, and will procure that no other member of
                  the NCLC Group will, either in a single transaction or in a
                  series of transactions whether related or not and whether
                  voluntarily or involuntarily, agree to or actually sell,
                  assign, abandon or otherwise transfer or dispose of all or any
                  of its assets or any share or interest therein except that:

                  10.2.1   the Borrower may agree to sell the Vessel on the
                           condition that contemporaneously with the completion
                           of the sale the Loans are prepaid in accordance with
                           the provisions of clause 4.6 of each of the Loan
                           Agreements;

                  10.2.2   the Borrower may let the Vessel on charter in
                           accordance with the provisions of clause 10 of each
                           of the Loan Agreements;

                  10.2.3   disposals may be made in the ordinary course of
                           trading of the disposing entity (excluding disposal
                           of ships) including without limitation, the payment
                           of cash as consideration for the purchase or
                           acquisition of any asset or service or in the
                           discharge of any obligation incurred for value in the
                           ordinary course of trading;

                  10.2.4   disposals of cash raised or borrowed may be made for
                           the purposes for which such cash was raised or
                           borrowed;

                  10.2.5   disposals of assets in exchange for other assets
                           comparable or superior as to type and value may be
                           made;

                  10.2.6   a vessel owned by any member of the NCLC Group (other
                           than the Borrower) may be sold provided such sale is
                           on a willing seller willing buyer basis at or about
                           market rate and at arm's length subject always to the
                           provisions of any loan documentation for the
                           financing of such vessel and NCLL may, following the
                           sale of its shares by Arrasas to IOL, a

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<PAGE>

                           wholly owned Subsidiary of the Original Guarantor,
                           transfer to other wholly owned Subsidiaries of the
                           Original Guarantor its vessels "NORWEGIAN WIND",
                           "NORWEGIAN DREAM", "NORWEGIAN SEA", "NORWEGIAN
                           MAJESTY", "NORWEGIAN CROWN" and "MARCO POLO" (the
                           "SIX VESSELS") for their transfer values as set out
                           in schedule 8 to the Loan Agreement and sell m.v.
                           "NORWAY" to a third party and, prior to the sale of
                           its shares as aforesaid, transfer its vessel
                           "NORWEGIAN SKY" to Pride of Aloha Inc., a wholly
                           owned Subsidiary of the Member;

                  10.2.7   the Member may assign, pledge or charge the
                           Membership Interest as security for the obligations
                           of the Borrower under the Loan Agreements; and

                  10.2.8   Arrasas may transfer its shares in NCLL to IOL and
                           the Original Guarantor may transfer its shares in
                           Arrasas to the Guarantor.

         10.3     Except with the prior written consent of each of the Agents,
                  the Guarantor will not, and will procure that no other member
                  of the NCLC Group will, make any loan or advance or extend
                  credit to any person, firm or corporation (except any loan,
                  advance or credit made available to passengers on board a
                  vessel for gambling purposes or to ship's agents and except
                  any loan, advance or credit to the Guarantor or a wholly-owned
                  Subsidiary of the Guarantor, which loan, advance or credit is
                  fully subordinated to the rights of the Beneficiaries under
                  the Security Documents).

         10.4     The Guarantor will not, and will procure that no other member
                  of the NCLC Group will, issue or enter into any one (1) or
                  more guarantee or indemnity or otherwise become directly or
                  contingently liable for the obligations of any other person,
                  firm or corporation without first notifying each of the Agents
                  with full details of the amount(s) and the period(s) of the
                  guarantee(s) or indemnity(ies), if such is or are in excess of
                  (in aggregate (if applicable)) the amount of twenty million
                  Dollars (USD20,000,000).

         10.5     Except with the prior written consent of each of the Agents,
                  the Guarantor will not, and will procure that no other member
                  of the NCLC Group will, make or threaten to make any
                  substantial change in its business as presently conducted, or

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<PAGE>

                  carry on any other business which is substantial in relation
                  to its business as presently conducted so as to affect, in the
                  opinion of the Agents, the ability of the Guarantor or any
                  other Obligor to perform its obligations under the Security
                  Documents to which it is a party PROVIDED THAT any new leisure
                  or hospitality venture embarked upon by any member of the NCLC
                  Group (other than the Borrower) shall not constitute a
                  substantial change in its business and PROVIDED THAT NCLL may
                  transfer the Six Vessels (as defined in Clause 10.2.6) to
                  wholly owned Subsidiaries of the Original Guarantor and m.v.
                  "NORWEGIAN SKY" to Pride of Aloha Inc., a wholly owned
                  Subsidiary of the Member as aforesaid, sell m.v. "NORWAY" to a
                  third party, cease to be either an owner or manager of ships
                  and conduct such business as is contemplated by the
                  restructure and recapitalisation of the Group as more
                  particularly described in the letter dated 12 December 2003
                  from NCLL to the Agent and the Hermes Agent.

         10.6     Except with the prior written consent of each of the Agents,
                  the Guarantor will not, and will procure that no other member
                  of the NCLC Group will, enter into any amalgamation, merger or
                  consolidation or anything analogous to the foregoing. However,
                  the prior consent of each of the Agents shall not be required
                  in respect of any consolidation, reorganisation or restructure
                  involving wholly owned (whether directly or indirectly)
                  Subsidiaries of the Guarantor only which does not imperil the
                  security created by any of the Security Documents or affect
                  the ability of any Obligor duly to perform any of its
                  obligations under any Security Document to which it may be a
                  party at any time, provided that the Guarantor has first
                  consulted with the Agents with regard to the proposed
                  consolidation, reorganisation or restructure and provides
                  evidence satisfactory to each of the Agents that the Guarantor
                  will be in compliance with the financial undertakings
                  contained in Clause 11 after any such consolidation,
                  reorganisation or restructure. Further, no member of the NCLC
                  Group will acquire any equity, share capital or obligations of
                  any corporation or other entity PROVIDED THAT NCL
                  International or the Member may so acquire equity, share
                  capital or obligations of a corporation or entity whose
                  business is the ownership, operation or management of cruise
                  vessels and PROVIDED FURTHER THAT:

                  10.6.1   Arrasas may form two (2) wholly owned Subsidiaries,
                           namely NCL International and the Member;

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<PAGE>

                  10.6.2   the existing shareholders of the owners of the
                           Bahamas flag vessels in the NCLC Fleet may transfer
                           their shares in such owners to NCL International;

                  10.6.3   the existing shareholders of the owners of the US
                           flag vessels in the NCLC Fleet may transfer their
                           shares in such owners to the Member;

                  10.6.4   NCL International may form a wholly owned Subsidiary,
                           namely the Sub-Agent, to operate the Bahamas flag
                           vessels in the NCLC Fleet and to charter in each of
                           the Six Vessels (as defined in Clause 10.2.6) on
                           demise or bareboat charter for the period and at the
                           charterhire rate set out in schedule 8 to the Loan
                           Agreement; and

                  10.6.5   the Member may form two (2) wholly owned
                           Subsidiaries, namely the Manager, to operate the US
                           flag vessels in the NCLC Fleet, and Pride of Aloha
                           Inc., to own m.v. "NORWEGIAN SKY".

                  However, for the avoidance of doubt, the acquisition by a
                  member of the NCLC Group of any shares in any company or
                  corporation shall not in itself constitute a merger or
                  consolidation with such company or corporation for the purpose
                  of this Clause 10.6 provided that the Agents are satisfied the
                  Guarantor will be in compliance with the financial
                  undertakings contained in Clause 11 after any such merger or
                  consolidation.

         10.6.6   Except with the prior written consent of each of the Agents,
                  the Guarantor will not alter its financial year end.

         10.6.7   The Guarantor has not taken and shall not take from any other
                  Obligor or the Builder any security or counter-security in
                  respect of any of its obligations under this Deed PROVIDED
                  ALWAYS that if the Guarantor, in breach of this Clause, takes
                  any security or counter-security as aforesaid, such security
                  shall be held by the Guarantor as trustee upon trust for the
                  Trustees.

11       FINANCIAL UNDERTAKINGS AND OWNERSHIP AND CONTROL OF THE GUARANTOR

         11.1     The Guarantor will ensure that:

                  11.1.1   at all times the minimum Cash Balance will be not
                           less than fifty million Dollars (USD50,000,000);

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<PAGE>

                  11.1.2   as at 31 December 2004 and as at the end of each
                           subsequent financial quarter either:

                           (a)      the ratio of Consolidated EBITDA to
                                    Consolidated Debt Service for the NCLC Group
                                    for the period of twelve (12) months ending
                                    as at the end of the relevant financial
                                    quarter shall not be less than:

                                    (i)      for the financial quarter ending on
                                             31 December 2004, one point two
                                             (1.2) to one (1.0); and

                                    (ii)     for each subsequent financial
                                             quarter, one point two five (1.25)
                                             to one (1.0); or

                           (b)      the NCLC Group has maintained a minimum Cash
                                    Balance during such period of twelve (12)
                                    months ending as at the end of the relevant
                                    financial quarter in an amount which is not
                                    less than whichever is the greater of:

                                    (i)      one hundred million Dollars
                                             (USD100,000,000); and

                                    (ii)     seven point five per cent (7.5%) of
                                             Total Funded Debt as at the end of
                                             the relevant financial quarter and
                                             each of the three (3) preceding
                                             financial quarters; and

                  11.1.3   as at 31 December 2004 and as at the end of each
                           subsequent financial quarter, the ratio of Total Net
                           Funded Debt to Total Capitalisation of the NCLC Group
                           shall not exceed:

                           (a)      nought point seven (0.7) to one (1.0) for
                                    financial quarters ending on or before 31
                                    December 2006; and

                           (b)      nought point six five (0.65) to one (1.0)
                                    for each subsequent financial quarter.

                           Amounts available for drawing under any revolving or
                           other credit facilities of the NCLC Group which
                           remain undrawn at the time of the relevant
                           calculation shall not be counted as cash or
                           indebtedness for the purposes of this ratio.

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<PAGE>

         11.2     It will be an Event of Default if:

                  11.2.1   at any time when the ordinary share capital of the
                           Guarantor is not publicly listed on an Approved Stock
                           Exchange, the Lim Family together or individually do
                           not, directly or indirectly, control the Guarantor
                           and beneficially own, directly or indirectly, at
                           least fifty one per cent (51%) of the issued share
                           capital of, and equity interest in, the Guarantor; or

                  11.2.2   at any time following the listing of the ordinary
                           share capital of the Guarantor on an Approved Stock
                           Exchange:

                           (a)      any Third Party:

                                    (i)      owns more than thirty three per
                                             cent (33%) of the ordinary share
                                             capital of the Guarantor; or

                                    (ii)     owns shares in the ordinary share
                                             capital of the Guarantor
                                             representing more than thirty three
                                             per cent (33%) of all the voting
                                             rights attributable to such
                                             ordinary share capital; or

                                    (iii)    gains control of more than thirty
                                             three per cent (33%) of such voting
                                             rights

                                    and, at the same time as any of the events
                                    described in paragraphs (i), (ii) or (iii)
                                    of this Clause have occurred and are
                                    continuing, the Lim Family together or
                                    individually do not, directly or indirectly,
                                    control the Guarantor and beneficially own,
                                    directly or indirectly, at least fifty one
                                    per cent (51%) of the issued share capital
                                    of, and equity interest in, the Guarantor;
                                    or

                           (b)      the Guarantor ceases to be a listed company
                                    on an Approved Stock Exchange without the
                                    prior written consent of each of the Agents,

                           (and, for the purpose of this Clause 11.2.2 "CONTROL"
                           of any company, limited partnership or other legal
                           entity (a "BODY CORPORATE") by a member of the Lim
                           Family, means that one (1) or more members of the Lim
                           Family has, directly or indirectly, the power to
                           direct the

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<PAGE>

                           management and policies of such a body corporate,
                           whether through the ownership of more than fifty per
                           cent (50%) of the issued voting capital of that body
                           corporate or by contract, trust or other
                           arrangement).

         11.3     During any financial year of the Guarantor until the date on
                  which the Guarantor becomes a listed company on an Approved
                  Stock Exchange (on which date the restriction contained in
                  this Clause 11.3 shall cease to apply), the Guarantor shall
                  not and shall procure that no other member of the NCLC Group
                  shall, pay any dividends or make any other distributions in
                  respect of its share capital to any person or make any
                  repayments of capital or payments of interest in respect of
                  Financial Indebtedness to an Affiliate of the Guarantor (other
                  than to the Guarantor and/or its wholly owned Subsidiaries)
                  which during any financial year of the Guarantor in aggregate
                  exceeds fifty per cent (50%) of the Consolidated Net Income
                  (if positive) of the NCLC Group for such financial year,
                  PROVIDED HOWEVER THAT the NCLC Group shall not be entitled to
                  pay any dividend or make any distribution in respect of any of
                  its share capital or make any repayments of capital or
                  payments of interest if an Event of Default has occurred and
                  is continuing or would occur as a result of the payment of
                  such dividend or the making of such distribution.

         11.4     In Clause 11.1, Clause 11.2, Clause 11.3 and Schedule 1:

                  11.4.1   "AFFILIATE" means, with respect to any person, any
                           other person controlling, controlled by or under
                           common control with, such person and for purposes of
                           this definition, "CONTROL" (including, with
                           correlative meanings, the terms "CONTROLLING",
                           "CONTROLLED BY" and "UNDER COMMON CONTROL WITH"), as
                           applied to any person, means the possession, directly
                           or indirectly, of the power to vote ten per cent
                           (10%) or more of the securities having voting power
                           for the election of directors of such person, or
                           otherwise to direct or cause the direction of the
                           management and policies of that person, whether
                           through the ownership of voting securities or by
                           contract or otherwise;

                  11.4.2   "APPROVED STOCK EXCHANGE" means the New York Stock
                           Exchange, NASDAQ or such other stock exchange in the
                           United States of America as is approved in writing by
                           each of the Agents;

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<PAGE>

                  11.4.3   "CASH BALANCE" means the unencumbered and otherwise
                           unrestricted cash and cash equivalents as set forth
                           on the consolidated balance sheet of the NCLC Group
                           prepared in accordance with GAAP at the end of every
                           month;

                  11.4.4   "CONSOLIDATED DEBT SERVICE" means, for any relevant
                           period, the sum (without double counting), determined
                           in accordance with GAAP, of:

                           (a)      the aggregate principal payable or paid
                                    during such period on any Indebtedness for
                                    Borrowed Money of any member of the NCLC
                                    Group, other than:

                                    (i)      principal of any such Indebtedness
                                             for Borrowed Money prepaid at the
                                             option of the relevant member of
                                             the NCLC Group;

                                    (ii)     principal of any such Indebtedness
                                             for Borrowed Money prepaid upon the
                                             sale or Total Loss of any vessel
                                             owned or leased under a capital
                                             lease by any member of the NCLC
                                             Group; and

                                    (iii)    balloon payments of any such
                                             Indebtedness for Borrowed Money
                                             payable during such period (and for
                                             the purpose of this paragraph (iii)
                                             a "BALLOON PAYMENT" shall not
                                             include any scheduled repayment
                                             instalment of such Indebtedness for
                                             Borrowed Money which forms part of
                                             the balloon);

                           (b)      Consolidated Interest Expense for such
                                    period;

                           (c)      the aggregate amount of any dividend or
                                    distribution of present or future assets,
                                    undertakings, rights or revenues to any
                                    shareholder of any member of the NCLC Group
                                    (other than the Guarantor or one of its
                                    wholly owned Subsidiaries) or any
                                    distribution in respect of share capital
                                    during such period ("DISTRIBUTIONS"); and

                           (d)      all rent under any capital lease obligations
                                    by which the Guarantor or any consolidated
                                    Subsidiary is bound which are payable or
                                    paid

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<PAGE>

                                    during such period and the portion of any
                                    debt discount that must be amortised in such
                                    period,

                           as calculated in accordance with GAAP and derived
                           from the then latest unaudited consolidated accounts
                           of the NCLC Group delivered to each of the Agents in
                           the case of any period ending at the end of any of
                           the first three (3) financial quarters of each
                           financial year of the NCLC Group and the then latest
                           Accounts delivered to each of the Agents in the case
                           of the final quarter of each such financial year;

                  11.4.5   "CONSOLIDATED EBITDA" means, for any relevant period,
                           the aggregate of:

                           (a)      Consolidated Net Income (but excluding (i)
                                    gains and losses from the sale of assets or
                                    reserves relating thereto and (ii) items
                                    classified as extraordinary or non
                                    recurring) from the Guarantor's operations
                                    for such period;

                           (b)      the aggregate amounts deducted in
                                    determining Consolidated Net Income for such
                                    period in respect of depreciation,
                                    amortisation, deferred income tax expense
                                    and any other non-cash charges for such
                                    period and Consolidated Interest Expense;

                  11.4.6   "CONSOLIDATED INTEREST EXPENSE" means, for any
                           relevant period, the consolidated interest expense
                           (excluding capitalised interest accrued and not
                           payable during such period) of the NCLC Group for
                           such period;

                  11.4.7   "CONSOLIDATED NET INCOME" means, for any relevant
                           period, the consolidated net income (or loss) of the
                           NCLC Group for such period as determined in
                           accordance with GAAP;

                  11.4.8   "INTANGIBLE ASSETS" means, at any date of
                           determination, the amounts (to the extent reflected
                           in determining at such date consolidated
                           stockholders' equity of the NCLC Group) determined in
                           accordance with GAAP of:

                           (a)      all shareholdings other than any
                                    shareholdings of shares which are publicly
                                    quoted and which are not subject to any
                                    restrictions on sale or other disposition
                                    thereof;

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<PAGE>

                           (b)      treasury stock (to the extent not deducted
                                    in the determination of consolidated
                                    stockholders' equity of the NCLC Group); and

                           (c)      all unamortised debt discount and expenses,
                                    unamortised deferred charges, goodwill,
                                    patents, trademarks, service marks, trade
                                    names, copyrights, organisational or
                                    development expenses and other intangible
                                    items,

                           all as calculated in accordance with GAAP and derived
                           from the then latest unaudited and consolidated
                           accounts of the NCLC Group delivered to each of the
                           Agents in the case of the first three (3) quarters of
                           each financial year and the then latest Accounts
                           delivered to each of the Agents in the case of the
                           final quarter of each financial year;

                  11.4.9   "LIM FAMILY" means:

                           (a)      Tan Sri Lim Goh Tong;

                           (b)      his spouse;

                           (c)      his direct lineal descendants;

                           (d)      the personal estate of any of the above
                                    persons; and

                           (e)      any trust created for the benefit of one or
                                    more of the above persons and their estates;

                  11.4.10  "NCLC GROUP" means, for the purposes of this Clause
                           11, the Guarantor, its Subsidiaries and any other
                           entity which is required to be consolidated in the
                           Guarantor's accounts in accordance with GAAP;

                  11.4.11  "TANGIBLE ASSETS" means, at any date of
                           determination, the total assets of the NCLC Group (as
                           stated in the then latest unaudited and consolidated
                           accounts of the Guarantor delivered to each of the
                           Agents) less the Intangible Assets of the NCLC Group
                           at such date;

                  11.4.12  "TANGIBLE NET WORTH" means, at any date of
                           determination, the consolidated stockholders' equity
                           of the NCLC Group at such date determined in
                           accordance with GAAP less:

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<PAGE>

                           (a)      Intangible Assets of the NCLC Group; and

                           (b)      (to the extent included) any amount set
                                    aside for taxation, deferred taxation or (to
                                    the extent that the full amount receivable
                                    in respect of any bad debts is shown in the
                                    balance sheet as an asset of the NCLC Group)
                                    bad debts,

                           at such date all as calculated in accordance with
                           GAAP and derived from the then latest unaudited and
                           consolidated accounts of the NCLC Group delivered to
                           each of the Agents in the case of the first three (3)
                           quarters of each financial year and the then latest
                           Accounts delivered to each of the Agents in the case
                           of the final quarter of each financial year;

                  11.4.13  "THIRD PARTY" means any person or group of persons
                           acting in concert (as the expression "ACTING IN
                           CONCERT" is defined in the City Code on Take-overs
                           and Mergers) who or which is not a member of the Lim
                           Family;

                  11.4.14  "TOTAL CAPITALISATION" means, as at any relevant
                           date, Total Funded Debt plus Tangible Net Worth as at
                           such date;

                  11.4.15  "TOTAL FUNDED DEBT" means, as at any relevant date:

                           (a)      Indebtedness for Borrowed Money of the NCLC
                                    Group; and

                           (b)      the amount of any Indebtedness for Borrowed
                                    Money of any person which is not a member of
                                    the NCLC Group but which is guaranteed by a
                                    member of the NCLC Group as at such date;

                  11.4.16  "TOTAL NET FUNDED DEBT" means, as at any relevant
                           date, the Total Funded Debt less an amount equal to
                           any Cash Balance as at such date in excess of fifty
                           million Dollars (USD50,000,000).

         11.5     Save as specified in Clause 11.1.2, the ratios referred to in
                  Clause 11.1 will be measured on a quarterly basis by reference
                  to the consolidated accounts of the NCLC Group.

                                       28
<PAGE>

12       DISCHARGE

         12.1     Subject to Clause 4.3, following the irrevocable repayment or
                  payment to the Trustees or the Agents on behalf of the Lenders
                  of all the Outstanding Indebtedness the Trustees will at the
                  Guarantor's request return this Deed to the Guarantor and
                  shall, at the request and cost of the Guarantor, transfer to
                  the Guarantor such rights as the Trustees may at such time
                  have in the security for the Outstanding Indebtedness and to
                  the proceeds of any such rights or security.

13       ASSIGNMENT AND TRANSFER

         13.1     This Deed shall be binding upon and enure to the benefit of
                  the Trustees and each of their respective successors and
                  assigns.

         13.2     The Guarantor shall not be entitled to assign or transfer all
                  or any part of its rights, benefits or obligations under this
                  Deed.

         13.3     A Trustee may transfer its rights hereunder to any person to
                  whom the rights and obligations of that Trustee under the
                  Agency and Trust Deed are transferred in accordance with the
                  Agency and Trust Deed.

         13.4     Any Beneficiary may disclose to any actual or potential
                  assignee or Transferee or to any person who may otherwise
                  enter or propose to enter into contractual relations with such
                  Beneficiary in relation to the relevant Loan Agreement and
                  this Deed any information about the Obligors and the NCLC
                  Group as such Beneficiary shall reasonably consider necessary
                  for the purposes of inviting expressions of interest from
                  other banks or financial institutions SUBJECT ALWAYS to the
                  relevant Beneficiary procuring the execution by the potential
                  assignee or Transferee or any other person as aforesaid of a
                  Confidentiality Undertaking.

         13.5     A person (including any body of persons) who is not a party to
                  this Deed has no right under the Contracts (Rights of Third
                  Parties) Act 1999 to enforce any term of this Deed but this
                  does not affect any right or remedy of a third party which
                  exists or is available apart from that Act.

                                       29
<PAGE>

14       MISCELLANEOUS PROVISIONS

         14.1     No failure to exercise and no delay in exercising on the part
                  of the Trustees or any of the other Beneficiaries any right or
                  remedy under this Deed or under any other of the Security
                  Documents shall operate as a waiver thereof, nor shall any
                  single or partial exercise of any right or remedy preclude any
                  other or further exercise thereof or the exercise of any other
                  right or remedy. No waiver by the Trustees or any of the other
                  Beneficiaries shall be effective unless it is in writing.

         14.2     The rights and remedies of the Beneficiaries provided herein
                  and in the other Security Documents are cumulative and not
                  exclusive of any rights or remedies provided by law.

         14.3     If any provision of this Deed or the Loan Agreements or any
                  other Security Document to which any Obligor or the Builder is
                  a party is prohibited or unenforceable in any jurisdiction,
                  such prohibition or unenforceability shall not invalidate the
                  remaining provisions hereof or thereof or affect the validity
                  or enforceability of such provision in any other jurisdiction.

         14.4     Time is of the essence in respect of all of the obligations of
                  the Guarantor under this Deed.

15       WAIVER OF IMMUNITY

         15.1     The Guarantor irrevocably and unconditionally:

                  15.1.1   waives any right of immunity which it or its assets
                           now has or may hereafter acquire in relation to any
                           legal proceedings (including, but without limitation,
                           actions in rem and/or in personam) brought against it
                           or its assets by the Trustees in relation to this
                           Deed; and

                  15.1.2   consents generally in respect of any such proceedings
                           to the giving of any relief including, without
                           limitation, the issue of any process in connection
                           with such proceedings and the making, enforcement or
                           execution against any property whatsoever
                           (irrespective of its use or intended use) of any
                           order or judgment which may be made or given in such
                           proceedings.

                                       30
<PAGE>

16       NOTICES

         16.1     Each notice, demand or other communication to be made under
                  this Deed shall be made in writing which, unless otherwise
                  stated, includes telefax.

         16.2     Any notice, demand or other communication to be made or
                  delivered by the Trustees to the Guarantor pursuant to this
                  Deed shall (unless the Guarantor has by fifteen (15) days'
                  written notice to the Trustees specified another address) be
                  made or delivered to the Guarantor at 7665 Corporation Center
                  Drive, Miami, Florida 33126, United States of America marked
                  for the attention of Mr Lamarr Cooler (telefax no. +1 305 436
                  4117) and the Legal Department (telefax no. +1 305 436 4140)
                  with a copy to the Guarantor at 25th Floor, Wisma Genting,
                  Jalan Sultan Ismail, 50250 Kuala Lumpur, Malaysia marked for
                  the attention of Mr Gerard Lim (telefax no. +60 (0)3 2161
                  3621) and shall be deemed to have been made or delivered (in
                  the case of telefax) when transmission of such telefax
                  communication has been completed or (in the case of any
                  letter) when delivered to the aforesaid address or (as the
                  case may be) five (5) days after being deposited in the post
                  first class postage prepaid in an envelope addressed to it at
                  that address. Any notice, demand or other communication to be
                  made or delivered by the Guarantor to the Trustees or the
                  Agents pursuant to this Deed shall (unless the Trustees or the
                  Agents (as the case may be) have by fifteen (15) days' written
                  notice to the Guarantor specified another address) be made or
                  delivered to the Trustees or the Agents at their office for
                  the time being which is at present at HSBC Bank plc, Project
                  and Export Finance, 8 Canada Square, London E14 5HQ, England
                  marked for the attention of Mr Alan Marshall (telefax no. +44
                  (0)20 7992 4428) and shall be deemed to have been made or
                  delivered (in the case of telefax) when transmission of such
                  telefax communication has been completed or (in the case of
                  any letter) when delivered to the aforesaid address or (as the
                  case may be) five (5) days after being deposited in the post
                  first class postage prepaid in an envelope addressed to it at
                  that address.

         16.3     Each notice, demand or other communication made or delivered
                  by one (1) party to the other pursuant to this Deed shall be
                  in the English language or accompanied by a certified English
                  translation.

                                       31
<PAGE>

17       GOVERNING LAW

         17.1     This Deed shall be governed by and construed in accordance
                  with English law.

18       JURISDICTION

         18.1     For the exclusive benefit of the Trustees, the Guarantor
                  agrees that any legal action or proceeding arising out of this
                  Deed may be brought in the High Court of Justice in England
                  and irrevocably submits to the jurisdiction of that court. The
                  submission by the Guarantor to such jurisdiction shall not
                  limit the right of the Trustees to commence any proceedings
                  arising out of this Deed in whatsoever jurisdiction they may
                  choose, nor shall the commencement of any such legal action or
                  proceeding in one (1) jurisdiction preclude the Trustees from
                  beginning any further or other such legal action or proceeding
                  in the same or any other jurisdiction.

         18.2     The Guarantor appoints in the case of the courts of England
                  the Process Agent to receive, for and on its behalf, service
                  of process in England of any legal proceedings with respect to
                  this Deed.

                                       32
<PAGE>

IN WITNESS whereof this Deed of Guarantee and Indemnity has been executed by the
parties hereto on the day first written above.

SIGNED SEALED and DELIVERED as a DEED                      )
for and on behalf of                                       )        P A TURNER
NCL CORPORATION LTD.                                       )
by PAUL TURNER                                             )
its duly appointed attorney-in-fact                        )
in the presence of:   R CHEUNG                             )
                      REGINA CHEUNG
                      TRAINEE SOLICITOR
                      STEPHENSON HARWOOD
                      ONE, ST. PAUL'S CHURCHYARD
                      LONDON EC4M 8SH

SIGNED SEALED and DELIVERED as a DEED                      )
for and on behalf of                                       )
HSBC BANK PLC                                              )        J CLEGG
acting by JULIE CLEGG                                      )
its duly appointed attorney-in-fact                        )
as the Hermes Loan Trustee and the                         )
Commercial Loan Trustee                                    )
in the presence of:   R CHEUNG                             )
                      REGINA CHEUNG
                      TRAINEE SOLICITOR
                      STEPHENSON HARWOOD
                      ONE, ST. PAUL'S CHURCHYARD
                      LONDON EC4M 8SH

                                       33
<PAGE>

                                   SCHEDULE 1

                        QUARTERLY COMPLIANCE CERTIFICATE

TO:      HSBC BANK PLC
         Project and Export Finance
         8 Canada Square
         London E14 5HQ
         England

         Attn: Mr Alan Marshall

         (as the Hermes Loan Agent and the Commercial Loan Agent (as each such
         term is defined in the Guarantee (as hereinafter defined))

We refer to clause 11 of the guarantee dated      2004 (as amended, varied and/
or supplemented from time to time the "GUARANTEE") issued by us in favour of the
Hermes Loan Trustee and the Commercial Loan Trustee. Terms defined in the
Guarantee, whether by reference to the Loan Agreements (as therein defined) or
otherwise, shall have the same meanings herein.

We hereby certify the amounts set out in the attached schedule as at the last
day of the financial quarter ending      20[ ] for NCL Corporation Ltd. (the
"GUARANTOR") and its subsidiaries on a consolidated basis. We also hereby
certify that the Guarantor is in compliance with all the financial covenants set
out in clauses 11.1 and 11.3 of the Guarantee.

Chief Financial Officer
NCL CORPORATION LTD.

--------------------------
BY:

DATED:           20[     ]

                                       34
<PAGE>

          STATEMENT OF FINANCIAL COVENANTS AS OF [     ] 20[ ] (IN USD'000)

<TABLE>
<CAPTION>

Clause (Of
Guarantee)                                                           as of [O]         Required Covenants
<S>                 <C>                                              <C>               <C>
11.1.1              CASH BALANCE                                     A                 A>USD50,000,000
11.1.2              CONSOLIDATED EBITDA:                             B                 >1.2 for 2004
                                                                                       >1.25:1 thereafter
                    CONSOLIDATED DEBT SERVICE                        C
11.1.3              TOTAL NET FUNDED DEBT:                           D                 <0.7 up to 31 December 2006
                                                                                       <0.65:1 thereafter
                    TOTAL CAPITALISATION                             E

                    CONSOLIDATED EBITDA
                    Consolidated Net Income (loss)                                         x
Deduct:             (Gain)/Loss on sale of assets or reserves                              x
Add:                Consolidated Interest Expense                                          x
                    Amortisation of intangible assets                                      x
                    Depreciation of tangible assets                                        x
                    Deferred income tax expense                                            x
                    Other non-recurring charge (gain)                                      X
                                                                                ------------

                                                                                           X         B
                                                                                ------------

                   CONSOLIDATED DEBT SERVICE
Add:               Principal paid/payable (excluding balloon payments,
                   voluntary prepayments/repayments on sale/total loss of
                   an NCLC Fleet vessel)                                                   x
                   Consolidated Interest Expense                                           x
                   Distributions                                                           x
                   Rent under capitalised leases                                           X
                                                                                ------------
                                                                                           X         C
                                                                                ------------
                   CASH BALANCE                                                            X         A
                                                                                ------------
                   TOTAL FUNDED DEBT
Add:               Indebtedness for Borrowed Money                                         x
                   Guarantees of non-NCLC Group members' obligations                       X
                                                                                ------------
                                                                                           X
Deduct:            Unencumbered and otherwise unrestricted cash in excess                (X)
                                                                                ------------
                   of USD50,000,000
                   TOTAL NET FUNDED DEBT:                                                (X)         D
                                                                                ------------

</Table>

                                       35
<PAGE>
<TABLE>
<CAPTION>

<S>                 <C>                                             <C>               <C>
                   TOTAL CAPITALISATION                                                            E
Add:               Total Funded Debt                                                      x
                   Consolidated stockholders' equity                                      x
Deduct:            Intangible Assets                                                     (X)
                   Provision for taxation, deferred taxation, bad debts                  (X)
                                                                              -------------

                   TANGIBLE NET WORTH                                                     x
                                                                              -------------

</TABLE>

For and on behalf of NCL CORPORATION LTD.

------------------------------
[                      ]

I, [      ], the officer primarily responsible for the financial management of
the NCLC Group, hereby declare that, to the best of knowledge and belief, the
above Statement of Financial Covenants as of [    ] 20[ ], in my opinion, is
true and correct.

------------------------------
[                      ]
Chief Financial Officer
NCL CORPORATION LTD.

Dated:            20[  ]

                                       36
<PAGE>
                                   SCHEDULE 2

                              LETTER OF INSTRUCTION

TO:      HSBC BANK PLC
         Project and Export Finance
         8 Canada Square
         London E14 5HQ
         England

         Attn: Mr Alan Marshall

         (as the [Hermes/Commercial] Loan Agent (as hereinafter defined))

                                                                            2004

Dear Sirs

DEED OF GUARANTEE AND INDEMNITY DATED                     2004 (THE "GUARANTEE")

We refer to the Guarantee executed by us in favour of the [Hermes/Commercial]
Loan Trustee and the [Hermes/Commercial] Loan Trustee (as defined in the
Guarantee) as security for the obligations of Ship Holding LLC (the "BORROWER")
under (among other things) the loan agreement dated 4 April 2003 and to be
amended and restated by a first supplemental agreement thereto dated      2004
(as the same may be further amended, varied, supplemented and/or novated from
time to time the "[HERMES/COMMERCIAL] LOAN AGREEMENT") between (among others)
the Borrower as borrower, the banks whose names and offices appear in schedule 2
to the [Hermes/Commercial] Loan Agreement (the "[HERMES/COMMERCIAL] LOAN
LENDERS"), HSBC Bank plc as agent for the [Hermes/Commercial] Loan Lenders (the
"HERMES LOAN AGENT") and HSBC Bank plc as trustee for the [Hermes/Commercial]
Loan Lenders (the "[HERMES/COMMERCIAL] LOAN TRUSTEE").

Unless the context requires otherwise, words and expressions used herein shall
have the same meanings as ascribed to them in the [Hermes/Commercial] Loan
Agreement.

We refer to:

1.       clause 17.5 of the [Hermes/Commercial] Loan Agreement which provides
         that each [Hermes/Commercial] Loan Lender may assign or transfer its
         respective rights under the

         Guarantee to any person to whom the rights, or the rights and
         obligations, of that Lender under the [Hermes/Commercial] Loan
         Agreement are wholly or partially assigned or transferred in accordance
         with the [Hermes/Commercial] Loan Agreement; and

2.       clause 17.5 of the [Hermes/Commercial] Loan Agreement whereby the
         rights, benefits and/or obligations of any Lender thereunder may be
         transferred by means of a Transfer Certificate.

In consideration of the Lenders agreeing at our request to make the Loan
available to the Borrower in accordance with the terms of the
[Hermes/Commercial] Loan Agreement, we hereby irrevocably and unconditionally
authorise and instruct the [Hermes/Commercial] Loan Agent forthwith to execute
on our behalf each Transfer Certificate delivered to it pursuant to clause 17.5
of the [Hermes/Commercial] Loan Agreement without the [Hermes/Commercial] Loan
Agent being under any obligation to take any further instructions from us or to
give any prior notice to us before doing so.

This letter shall be governed by, and construed in accordance with, English law.

Yours faithfully

-------------------------
NCL CORPORATION LTD.
By:
Title:

                                       37<PAGE>
                                                                    EXHIBIT 4(f)

CONFORMED COPY

                                DATED 7 JULY 2004

                              NCL CORPORATION LTD.
                                  (AS BORROWER)

                                DNB NOR BANK ASA
                              NORDEA BANK NORGE ASA
                               (AS LEAD ARRANGERS)

                         COMMERZBANK AKTIENGESELLSCHAFT
                                 HSH NORDBANK AG
                                       KFW
                     NORDDEUTSCHE LANDESBANK -GIROZENTRALE-
                    VEREINS- UND WESTBANK AKTIENGESELLSCHAFT
                                (AS CO-ARRANGERS)

                                THE SEVERAL BANKS
                 PARTICULARS OF WHICH ARE SET OUT IN SCHEDULE 1
                              (AS ORIGINAL LENDERS)

                              NORDEA BANK NORGE ASA
                                (AS BOOK MANAGER)

                                DNB NOR BANK ASA
                                   (AS AGENT)

                      -------------------------------------
                                 USD800,000,000
                         SECURED LOAN FACILITY AGREEMENT
                      -------------------------------------

                               STEPHENSON HARWOOD
                            ONE ST PAUL'S CHURCHYARD
                                 LONDON EC4M 8SH
                            TEL: +44 (0)20 7329 4422
                            FAX: +44 (0)20 7606 0822
                             REF: JMC/1253/43-00372

<PAGE>

                                    CONTENTS

<TABLE>
<CAPTION>
                                                                                         PAGE
<S>                                                                                      <C>
1   Definitions and Construction.....................................................       1
    1.1    Definitions...............................................................       1
    1.2    Construction..............................................................      21
    1.3    Agent.....................................................................      22

2   The Facility.....................................................................      22
    2.1    Availability..............................................................      22
    2.2    Purpose and Application...................................................      23
    2.3    Drawdown..................................................................      23
    2.4    Break costs...............................................................      24
    2.5    Conditions of drawdown....................................................      24
    2.6    Several obligations of the Lenders........................................      24
    2.7    Lender's failure to perform...............................................      25
    2.8    Fulfilment of conditions after drawdown...................................      25

3   Repayment of the Term Loan Facility..............................................      25

4   Prepayment of the Term Loan Facility.............................................      26
    4.1    Voluntary prepayment......................................................      26
    4.2    Voluntary prepayment in case of increased cost............................      26
    4.3    Mandatory prepayment in case of illegality................................      26
    4.4    Voluntary prepayment following imposition of Substitute Basis.............      27
    4.5    Prepayment in case of Total Loss of a Vessel..............................      27
    4.6    Prepayment in case of sale of a Vessel....................................      28
    4.7    Effect of prepayment......................................................      28
    4.8    Break costs on prepayment.................................................      29

5   Repayment, Reduction and Cancellation of the Revolving Credit Facility...........      29
    5.1    Repayment.................................................................      29
    5.2    Scheduled reductions of Commitments to the Revolving Credit Facility......      30
    5.3    Sale or Total Loss of a Vessel: mandatory cancellation....................      30
    5.4    Amounts payable on prepayment.............................................      30
    5.5    Notice of prepayment......................................................      30
    5.6    Voluntary cancellation of Commitments to the Revolving Credit Facility....      31
    5.7    Additional partial cancellation...........................................      31
    5.8    Prepayment during Term....................................................      32
    5.9    Mandatory cancellation in case of illegality..............................      32
    5.10   Voluntary cancellation following imposition of Substitute Basis...........      33
    5.11   Cancellation in case of Total Loss of a Vessel............................      33
    5.12   Cancellation in case of sale of a Vessel..................................      33

6   Interest.........................................................................      34
    6.1    Payment of interest.......................................................      34
    6.2    Selection and duration of Interest Periods................................      34
    6.3    No notice and unavailability..............................................      34
    6.4    Extension and shortening of Interest Periods..............................      34
</TABLE>

<PAGE>

<TABLE>
<S>                                                                                      <C>
    6.5    Interest Rate.............................................................      35
    6.6    Bank basis................................................................      35
    6.7    Default interest..........................................................      35

7   Substitute Basis of Funding......................................................      36
    7.1    Market disturbance........................................................      36
    7.2    Suspension of drawdown....................................................      37
    7.3    Certificates of Substitute Basis..........................................      37
    7.4    Review....................................................................      37

8   Payments.........................................................................      38
    8.1    Place for payment.........................................................      38
    8.2    Deductions and grossing-up................................................      38
    8.3    Production of receipts for Taxes..........................................      39
    8.4    Money of account..........................................................      40
    8.5    Accounts..................................................................      40
    8.6    Earnings..................................................................      40
    8.7    Continuing security.......................................................      41
    8.8    Mitigation................................................................      41

9   Yield Protection and Force Majeure...............................................      41
    9.1    Increased costs...........................................................      41
    9.2    Force majeure.............................................................      43

10  Representations and Warranties...................................................      44
    10.1   Duration..................................................................      44
    10.2   Representations and warranties............................................      44

11  Undertakings.....................................................................      51
    11.1   Duration..................................................................      51
    11.2   Information...............................................................      51
    11.3   Financial Undertakings....................................................      53
    11.4   Dividends.................................................................      54
    11.5   Notification of default...................................................      55
    11.6   Consents and registrations................................................      55
    11.7   Negative pledge...........................................................      56
    11.8   Disposals.................................................................      56
    11.9   Purchases.................................................................      57
    11.10  Change of name or business................................................      57
    11.11  Mergers...................................................................      57
    11.12  Maintenance of status and franchises......................................      58
    11.13  Financial records.........................................................      58
    11.14  Subordination of indebtedness.............................................      58
    11.15  Guarantees................................................................      59
    11.16  Further assurance.........................................................      59
    11.17  Valuation of the Vessels..................................................      59
    11.18  Marginal security.........................................................      60
    11.19  No dealings with Master Agreements........................................      61
    11.20  Financial year end........................................................      61
    11.21  Maintenance and Insurance.................................................      61
</TABLE>

<PAGE>

<TABLE>
<S>                                                                                      <C>
12  Rights of the Agent and the Lenders..............................................      61
    12.1   No derogation of rights...................................................      61
    12.2   Enforcement of remedies...................................................      62

13  Default..........................................................................      62
    13.1   Events of default.........................................................      62
    13.2   Acceleration..............................................................      70
    13.3   Default indemnity.........................................................      70
    13.4   Set-off...................................................................      71
    13.5   Master Agreement rights...................................................      72

14  Application of Funds.............................................................      72
    14.1   Total Loss proceeds/proceeds of sale/Event of Default monies..............      72
    14.2   General funds.............................................................      74
    14.3   Application of proceeds of Insurances.....................................      75
    14.4   Suspense account..........................................................      75

15  The Master Agreement.............................................................      76
    15.1   Applicability.............................................................      76
    15.2   Additional Termination Event..............................................      76
    15.3   Adjustment of Notional Amounts............................................      76
    15.4   Authority.................................................................      77
    15.5   Termination of Transactions...............................................      77
    15.6   Indemnity.................................................................      77
    15.7   Notification of Transactions..............................................      77

16  Fees.............................................................................      77
    16.1   Commitment fee............................................................      77
    16.2   Other fees................................................................      78

17  Expenses.........................................................................      78
    17.1   Initial expenses..........................................................      78
    17.2   Enforcement expenses......................................................      78
    17.3   Stamp duties..............................................................      78

18  Waivers, Remedies Cumulative.....................................................      79
    18.1   No waiver.................................................................      79
    18.2   Remedies cumulative.......................................................      79
    18.3   Severability..............................................................      79
    18.4   Time of essence...........................................................      79

19  Counterparts.....................................................................      79

20  Changes to the Lenders...........................................................      80
    20.1   Assignments and transfers by the Lenders..................................      80
    20.2   Conditions of assignment or transfer......................................      80
    20.3   Assignment or transfer fee................................................      81
    20.4   Limitation of responsibility of Existing Lenders..........................      82
    20.5   Procedure for transfer....................................................      83
</TABLE>

<PAGE>

<TABLE>
<S>                                                                                      <C>
    20.6   Copy of Transfer Certificate to Borrower..................................      84
    20.7   Disclosure of information.................................................      84
    20.8   Borrower's co-operation...................................................      85

21  Changes to the Borrower..........................................................      85

22  Reference Banks and Agent........................................................      85
    22.1   Reference Banks...........................................................      85
    22.2   Decision making...........................................................      85
    22.3   The Agent.................................................................      87
    22.4   Retirement and replacement of the Agent...................................      92

23  Notices..........................................................................      94
    23.1   Mode of communication.....................................................      94
    23.2   Address...................................................................      94
    23.3   Telefax communication.....................................................      95
    23.4   Electronic mail...........................................................      95
    23.5   Receipt...................................................................      96
    23.6   Language..................................................................      97

24  Governing Law....................................................................      97

25  Waiver of Immunity...............................................................      97

26  Jurisdiction.....................................................................      97

Schedule 1 Particulars of Agent, Lead Arrangers, Co-Arrangers and Original Lenders..      101

Schedule 2 Notice of Drawdown.......................................................      106

Schedule 3 Conditions Precedent.....................................................      108

Schedule 4 Confidentiality Undertaking..............................................      115

Schedule 5 Transfer Certificate.....................................................      117

Schedule 6 Quarterly Statement of Financial Covenants...............................      123
</TABLE>
<PAGE>

                                                                    EXHIBIT 4(f)

FACILITY AGREEMENT

DATED 7 JULY 2004

BETWEEN:

(1)   NCL CORPORATION LTD. of Milner House, 18 Parliament Street, Hamilton HM
      12, Bermuda as borrower (the "BORROWER");

(2)   DNB NOR BANK ASA of Stranden 21, NO-0021 Oslo, Norway and NORDEA BANK
      NORGE ASA of Middelthuns gate 17, NO-0107 Oslo, Norway as lead arrangers
      (collectively the "LEAD ARRANGERS" and each individually a "LEAD
      ARRANGER");

(3)   THE SEVERAL BANKS particulars of which are set out in Schedule 1 as
      co-arrangers (collectively the "CO-ARRANGERS" and each individually a
      "CO-ARRANGER");

(4)   THE SEVERAL BANKS particulars of which are set out in Schedule 1 as
      lenders (collectively the "ORIGINAL LENDERS" and each individually an
      "ORIGINAL LENDER"); and

(5)   DNB NOR BANK ASA of Stranden 21, NO-0021 Oslo, Norway as agent (the
      "AGENT").

WHEREAS:

The Lead Arrangers have arranged for a syndicate of international banks and/or
financial institutions to provide a loan facility of up to eight hundred million
Dollars (USD800,000,000) to the Borrower on the terms and subject to the
conditions set out in this Agreement to finance in part the Purchase Price due
to the Seller under the MOA in respect of the Norwegian Spirit Vessel, to
refinance the existing finance in respect of the Norwegian Star Vessel and the
Pride of Aloha Vessel, and to pay fees and expenses incurred in connection with
the loan facility, and any balance of the loan facility from time to time may be
used for general corporate and working capital purposes for the Borrower and its
Subsidiaries.

NOW IT IS HEREBY AGREED as follows:

1     DEFINITIONS AND CONSTRUCTION

      1.1   DEFINITIONS

            In this Agreement:

<PAGE>

            "ACCOUNTS" means the audited consolidated profit and loss account
            and balance sheet (including all additional information and notes
            thereto) of the Borrower and its consolidated Subsidiaries together
            with the relative directors' and auditors' reports;

            "ADVANCE DATE", in relation to any Drawing, means the date on which
            that Drawing is advanced to the Borrower pursuant to Clause 2.3 and
            applied in accordance with Clause 2.2;

            "AFFILIATE" means, with respect to any person, any other person
            controlling, controlled by or under common control with, such person
            and for purposes of this definition, "CONTROL" (including, with
            correlative meanings, the terms "CONTROLLING", "CONTROLLED BY" and
            "UNDER COMMON CONTROL WITH"), as applied to any person, means the
            possession, directly or indirectly, of the power to vote ten per
            cent (10%) or more of the securities having voting power for the
            election of directors of such person, or otherwise to direct or
            cause the direction of the management and policies of that person,
            whether through the ownership of voting securities or by contract or
            otherwise;

            "AGREEMENT" means this agreement;

            "APPLICABLE MARGIN" means the rate per annum of one point five per
            cent (1.5%) except during any period in which seventy five per cent
            (75%) or more of the Maximum Revolving Credit Facility Amount has
            been drawn down and is outstanding under this Agreement when the
            rate per annum shall be increased to one point seven per cent
            (1.7%);

            "APPROVED STOCK EXCHANGE" means the New York Stock Exchange, NASDAQ
            or such other stock exchange in the United States of America as is
            approved in writing by the Agent (acting on the instructions of the
            Majority Lenders);

            "ARRASAS" means Arrasas Limited of International House, Castle Hill,
            Victoria Road, Douglas, Isle of Man IM2 4RB, British Isles;

            "ASSOCIATED COMPANY" in relation to any company, means any company
            which is a Subsidiary or Holding Company of that company or the
            majority of whose shares are beneficially owned by the same person
            or persons as own the majority of the shares of that company;

                                       2
<PAGE>

            "AVAILABILITY PERIOD" means the Revolving Credit Facility
            Availability Period or the Term Loan Facility Availability Period;

            "AVAILABLE COMMITMENT" means, in relation to a Lender, the amount of
            its Commitment in respect of the Revolving Credit Facility less the
            amount of its Contribution to the Revolving Credit Facility;

            "BUSINESS DAY" means any day on which banks and financial markets in
            London, Oslo, Frankfurt am Main and New York are open for the
            transaction of business of the nature contemplated by this
            Agreement;

            "CASH BALANCE" means the unencumbered and otherwise unrestricted
            cash and cash equivalents as set forth on the consolidated balance
            sheet of the NCLC Group prepared in accordance with US GAAP at the
            end of every month;

            "CERTIFIED COPY" means, in relation to any document delivered or
            issued by or on behalf of any company, a copy of such document
            certified as a true, complete and up-to-date copy of the original by
            any of the directors or the secretary or assistant secretary for the
            time being of that company;

            "CHARGE" means the three (3) valid and effective first priority
            shares charges one (1) to be executed in respect of each of the
            Owners by the relevant Shareholder as holder (legally and
            beneficially) of all the authorised and issued shares in the
            relevant Owner in favour of the Agent such charges to be in the form
            and on the terms and conditions agreed between the Lenders and the
            Borrower and as specified in paragraph 28 of Schedule 3;

            "COMMITMENT" means, as to each Original Lender, the sum set out
            opposite its name in Schedule 1 as the amount of the Facility which,
            subject to the terms of this Agreement, it is obliged to advance to
            the Borrower under Clause 2 (or, where the context so admits, such
            amount which any successor in title, assignee or transferee
            (including any Transferee) of any Original Lender or Lender shall be
            obliged to advance to the Borrower under Clause 2, following the
            assumption of all or any portion of such liability from any Original
            Lender or Lender hereunder) in each case as such amount may be
            reduced or cancelled under this Agreement;

            "COMMITMENT PERIOD" means the Term Loan Facility Commitment Period
            or the Revolving Credit Facility Commitment Period;

                                       3
<PAGE>

            "COMPULSORY ACQUISITION" means requisition for title or other
            compulsory acquisition of a Vessel including its capture, seizure,
            detention or confiscation or expropriation but excluding any
            requisition for hire by or on behalf of any government or
            governmental authority or agency or by any persons acting or
            purporting to act on behalf of any such government or governmental
            authority or agency;

            "CONFIDENTIALITY UNDERTAKING" means the undertaking to be entered
            into relating to the release of financial information pertaining to
            the NCLC Group by the Agent or any Lender to a potential Transferee
            or assignee such undertaking to be in the form of Schedule 4;

            "CONFIRMATION" means a Confirmation exchanged or deemed to be
            exchanged between a Lender or its Affiliate (as the case may be) and
            the Borrower as contemplated by the relevant Master Agreement;

            "CONSOLIDATED DEBT SERVICE" means, for any relevant period, the sum
            (without double counting), determined in accordance with US GAAP,
            of:

            (i)   the aggregate principal payable or paid during such period on
                  any Indebtedness for Borrowed Money of any member of the NCLC
                  Group, other than:

                  (a)   principal of any such Indebtedness for Borrowed Money
                        prepaid at the option of the relevant member of the NCLC
                        Group;

                  (b)   principal of any such Indebtedness for Borrowed Money
                        prepaid upon the sale or Total Loss of any vessel owned
                        or leased under a capital lease by any member of the
                        NCLC Group; and

                  (c)   balloon payments of any such Indebtedness for Borrowed
                        Money payable during such period (and for the purpose of
                        this paragraph (c) a "BALLOON PAYMENT" shall not include
                        any scheduled repayment instalment of such Indebtedness
                        for Borrowed Money which forms part of the balloon);

            (ii)  Consolidated Interest Expense for such period;

                                       4
<PAGE>

            (iii) the aggregate amount of any dividend or distribution of
                  present or future assets, undertakings, rights or revenues to
                  any shareholder of any member of the NCLC Group (other than
                  the Borrower or one of its wholly owned Subsidiaries) or any
                  distribution in respect of share capital during such period
                  ("DISTRIBUTIONS"); and

            (iv)  all rent under any capital lease obligations by which the
                  Borrower or any consolidated Subsidiary is bound which are
                  payable or paid during such period and the portion of any debt
                  discount that must be amortised in such period,

            as calculated in accordance with US GAAP and derived from the then
            latest unaudited consolidated accounts of the NCLC Group delivered
            to the Agent in the case of any period ending at the end of any of
            the first three (3) financial quarters of each financial year of the
            Borrower and the then latest Accounts delivered to the Agent in the
            case of the final quarter of each such financial year;

            "CONSOLIDATED EBITDA" means, for any relevant period, the aggregate
            of:

            (i)   Consolidated Net Income from the Borrower's operations for
                  such period; and

            (ii)  the aggregate amounts deducted in determining Consolidated Net
                  Income for such period in respect of gains and losses from the
                  sale of assets or reserves relating thereto, Consolidated
                  Interest Expense, depreciation and amortisation, impairment
                  charges and any other non-cash charges and deferred income tax
                  expense for such period;

            "CONSOLIDATED INTEREST EXPENSE" means, for any relevant period, the
            consolidated interest expense (excluding capitalised interest
            accrued and not payable during such period) of the NCLC Group for
            such period;

            "CONSOLIDATED NET INCOME" means, for any relevant period, the
            consolidated net income (or loss) of the NCLC Group for such period
            as determined in accordance with US GAAP;

            "CONTRIBUTION" means as to each Original Lender the sum set out
            opposite its name in Schedule 1, being the amount of the Facility
            which it is obliged to

                                       5
<PAGE>

            advance to the Borrower under Clause 2, and/or, as the case may be,
            the portion of such sums so advanced and for the time being
            outstanding;

            "CREDIT SUPPORT DOCUMENT" means any document described as such in a
            Master Agreement and any other document referred to in any such
            document which has the effect of creating security in favour of the
            Agent or the Lenders;

            "CREDIT SUPPORT PROVIDER" means any person (other than the Borrower)
            described as such in a Master Agreement;

            "DISCLOSURE LETTER" means the letter so designated given by the
            Borrower and acknowledged by the Agent (acting on the instructions
            of the Lenders) on the Signing Date, such letter to include (among
            other things) a statement of the Borrower to the effect that no
            event or circumstance has occurred since 31 December 2003 which the
            Borrower reasonably, in each case, believes has had or will have a
            Material Adverse Effect;

            "DOLLARS" AND "USD" means the lawful currency of the United States
            of America;

            "DRAWDOWN DATE", in relation to the Term Loan Facility, means the
            date on which the Term Loan Facility is drawn down by the Borrower
            pursuant to Clause 2.3 and applied in accordance with Clause 2.2;

            "DRAWDOWN NOTICE" means a notice to be given by the Borrower to the
            Agent pursuant to Clause 2.3.1;

            "DRAWING" means any amount of the Revolving Credit Facility advanced
            by the Lenders to the Borrower pursuant to Clause 2.3;

            "EARNINGS" means, in respect of a Vessel, (whether earned or to be
            earned) any and all freights, hire and passage monies, proceeds of
            requisition (other than proceeds of Compulsory Acquisition), rebates
            and commissions, all earnings deriving from contracts of employment,
            demurrage, charterparties, contracts of affreightment, pooling
            agreements and joint ventures, compensation, remuneration for
            salvage and towage services, damages howsoever arising and detention
            monies, damages for breach of any charterparty or other contract for
            the employment of that Vessel, any amounts payable in consideration
            of the

                                       6
<PAGE>

            termination or variation of any charterparty or other such contract
            and any other earnings whatsoever due or to become due to the
            relevant Owner;

            "EARNINGS ASSIGNMENTS" means the three (3) valid and effective first
            legal assignments of the Earnings of the Vessels (together with the
            notices thereof and the acknowledgements) one (1) to be executed by
            each of the Owners in respect of its Vessel in favour of the Agent
            such assignments, notices and acknowledgements to be in the form and
            on the terms and conditions agreed between the Lenders and the
            Borrower and as specified in paragraph 25 of Schedule 3;

            "ENCUMBRANCE" means any mortgage, charge, pledge, lien, assignment,
            hypothecation, title retention, preferential right or trust
            arrangement or any other security agreement or arrangement;

            "EVENT OF DEFAULT" means any of the events specified in Clause 13;

            "FACILITY" means the Term Loan Facility and the Revolving Credit
            Facility;

            "FINAL MATURITY DATE" means the date falling seventy two (72) months
            from the Signing Date or such other date as is determined by the
            provisions of Clause 4 and/or Clause 5;

            "FINANCIAL INDEBTEDNESS" means any obligation for the payment or
            repayment of money, whether as principal or as surety and whether
            present or future, actual or contingent;

            "FORCE MAJEURE" means, in relation to the Agent or any Lender, any
            event or circumstance which is beyond the reasonable control of such
            party, which cannot be foreseen or if foreseeable which is
            unavoidable, which occurs after the Signing Date and which prevents
            that party from performing any of its obligations under this
            Agreement;

            "GUARANTEE" means the three (3) joint and several guarantees one (1)
            to be executed by each of the Owners in favour of the Agent such
            guarantees to be in the form and on the terms and conditions agreed
            between the Lenders and the Borrower and as specified in paragraph
            27 of Schedule 3;

                                       7
<PAGE>

            "HEDGING TRANSACTION" means a Transaction entered into between a
            Lender or its Affiliate (as the case may be) and the Borrower under
            the relevant Master Agreement for the express purpose of hedging all
            or part of the Borrower's interest rate risk under this Agreement;

            "HOLDING COMPANY" has the meaning defined in the Companies Act 1985,
            Section 736 as substituted by the Companies Act 1989, Section 144;

            "INDEBTEDNESS FOR BORROWED MONEY" means Financial Indebtedness
            (whether present or future, actual or contingent, long-term or
            short-term, secured or unsecured) in respect of:

            (i)   moneys borrowed or raised;

            (ii)  the advance or extension of credit (including interest and
                  other charges on or in respect of any of the foregoing);

            (iii) the amount of any liability in respect of leases which, in
                  accordance with US GAAP, are capital leases;

            (iv)  the amount of any liability in respect of the purchase price
                  for assets or services payment of which is deferred for a
                  period in excess of one hundred and eighty (180) days;

            (v)   all reimbursement obligations whether contingent or not in
                  respect of amounts paid under a letter of credit or similar
                  instrument; and

            (vi)  (without double counting) any guarantee of Financial
                  Indebtedness falling within paragraphs (i) to (v) above;

            PROVIDED THAT the following shall not constitute Indebtedness for
            Borrowed Money:

            (a)   loans and advances made by other members of the NCLC Group
                  which are subordinated to the rights of the Lenders;

            (b)   loans and advances made by Star Cruises Limited which are
                  subordinated to the rights of the Lenders; and

                                       8
<PAGE>

            (c)   any Master Agreement Liabilities.

            "INSTALMENT" means the amount of principal of the Term Loan Facility
            repayable on a Repayment Date in accordance with Clause 3.1;

            "INSURANCE ASSIGNMENTS" means the three (3) valid and effective
            first legal assignments of the Insurances of the Vessels (together
            with the notices thereof) one (1) to be executed by each of the
            Owners in respect of its Vessel in favour of the Agent such
            assignments and notices to be in the form and on the terms and
            conditions agreed between the Lenders and the Borrower and as
            specified in paragraph 26 of Schedule 3;

            "INSURANCES" means all policies and contracts of insurance and
            entries of a Vessel in a protection and indemnity or war risks
            association which are effected in respect of that Vessel, its
            freights, disbursements, profits or otherwise and all benefits,
            including all claims and returns of premiums thereunder and shall
            also include all compensation payable by virtue of Compulsory
            Acquisition;

            "INTEREST PAYMENT DATE" means the last day of each Interest Period
            and if an Interest Period is longer than six (6) months' duration
            the date falling at the end of each successive period of six (6)
            months during such Interest Period from its commencement;

            "INTEREST PERIOD" means each period ascertained in accordance with
            Clause 6.2 or Clause 6.7;

            "INTEREST RATE" means the rate of interest applicable to the Term
            Loan Facility or a Drawing calculated in accordance with Clause 6.5,
            Clause 6.7 or Clause 7.3;

            "LIBOR" means with respect to any Interest Period the rate of
            interest (expressed as an annual rate) determined by the Agent to
            be:

            (i)   the offered rate for deposits in Dollars for a period
                  equivalent to such Interest Period which appears on the
                  Reuters Page LIBOR 01 at or about 11.00 a.m. London time on
                  the Quotation Date; or

            (ii)  if no rate is provided for the respective Interest Period on
                  the Reuters Page LIBOR 01, the interpolated rate per annum for
                  deposits in Dollars in an

                                       9
<PAGE>

                  amount approximately equal to the Drawing as calculated by the
                  Agent, such interpolated rate to be based on the Reuters Page
                  LIBOR 01 PROVIDED THAT LIBOR for periods of less than one (1)
                  week will be ascertained under sub-section (iii) below;

            or (if Reuters Page LIBOR 01 is discontinued or if the Agent is
            unable to make the said determination due to technical breakdown in
            the relevant system or the Interest Period is less than one (1)
            week)

            (iii) the arithmetic mean (rounded upwards, if necessary, to the
                  nearest one-sixteenth of one per cent (1/16%)) of the rates
                  per annum notified to the Agent by each of the Reference Banks
                  as the rate at which deposits in Dollars in an amount
                  approximately equal to the Drawing are offered to such
                  Reference Bank by leading banks in the London Interbank Market
                  at such Reference Bank's request at or about 11.00 a.m. London
                  time on the Quotation Date for a period equal to the Interest
                  Period and for delivery on the first Business Day thereof;

            "LENDER" means:

            (i)   any Original Lender; and

            (ii)  any bank, financial institution, trust, fund or other entity
                  which has become a party to this Agreement in accordance with
                  Clause 20,

            which in each case has not ceased to be a party to this Agreement in
            accordance with the terms of this Agreement;

            "LENDING BRANCH" means in respect of the Agent and each Original
            Lender its office at the address set out beneath its name in
            Schedule 1 or such other office as it shall from time to time select
            and notify through the Agent to the Borrower and the Agent;

            "LIM FAMILY" means:

            (i)   Tan Sri Lim Goh Tong;

            (ii)  his spouse;

                                       10
<PAGE>

            (iii) his direct lineal descendants;

            (iv)  the personal estate of any of the above persons; and

            (v)   any trust created for the benefit of one or more of the above
                  persons and their estates;

            "MOA" means the memorandum of agreement dated as of 23 April 2004
            for the sale and purchase of the Norwegian Spirit Vessel made
            between the Seller and Norwegian Spirit;

            "MAJORITY LENDERS" means Lenders the aggregate of whose Commitments
            exceed sixty seven per cent (67%) of the aggregate total of the
            Commitments of all the Lenders;

            "MANAGEMENT AGREEMENTS" means:

            (i)   in respect of the Norwegian Spirit Vessel, the agreement to be
                  entered into between Norwegian Spirit and the relevant
                  Manager; and

            (ii)  in respect of the Norwegian Star Vessel, the agreement dated
                  23 April 2004 as amended by an agreement made or to be made on
                  or before the earlier of the Drawdown Date and the first
                  Advance Date between Norwegian Star and the relevant Manager,

            providing for the commercial and technical management and crewing of
            these Vessels, and:

            (iii) in respect of the Pride of Aloha Vessel, the agreement dated 7
                  June 2004 as amended by an agreement made or to be made on or
                  before the earlier of the Drawdown Date and the first Advance
                  Date between Pride of Aloha and the relevant Manager providing
                  for the ship management and crewing services of this Vessel,

            such agreements to be in the form and on the terms and conditions
            agreed between the Agent and the Borrower and as specified in
            paragraph 22 of Schedule 3;

                                       11
<PAGE>

            "MANAGEMENT AGREEMENT ASSIGNMENTS" means the three (3) valid and
            effective first legal assignments of the Management Agreements
            (together with the notices thereof and the acknowledgements) one (1)
            to be executed by each of the Owners in respect of its Vessel in
            favour of the Agent such assignments, notices and acknowledgements
            to be in the form and on the terms and conditions agreed between the
            Lenders and the Borrower and as specified in paragraph 29 of
            Schedule 3;

            "MANAGER" means NCL (Bahamas) in the case of the Norwegian Spirit
            Vessel and the Norwegian Star Vessel and NCL America in the case of
            the Pride of Aloha Vessel;

            "MANDATORY COST" means the cost imputed to a Lender of compliance
            with the mandatory liquid asset requirements of any central bank or
            other fiscal, monetary or other authority;

            "MASTER AGREEMENT" means any ISDA Master Agreement (or any other
            form of master agreement relating to interest or currency exchange
            transactions of a non-speculative nature) entered into between a
            Lender or its Affiliate and the Borrower before the Signing Date,
            including each Schedule to any Master Agreement and each
            Confirmation exchanged under any Master Agreement;

            "MASTER AGREEMENT LIABILITIES" means, at any relevant time, all
            liabilities of the Borrower to a Lender or its Affiliate (as the
            case may be) under the relevant Master Agreement, whether actual or
            contingent, present or future;

            "MATERIAL ADVERSE EFFECT" means a material adverse effect on (i) the
            validity or enforceability of any of the Security Documents or the
            rights or remedies of the Lenders or their Affiliates (as the case
            may be) thereunder (ii) the ability of any Obligor to perform its
            obligations under any of the Security Documents or (iii) the assets,
            business, liabilities, operations, condition (financial or
            otherwise) or prospects of the Borrower, any of the Guarantors or
            the NCLC Group taken as a whole;

            "MATURITY DATE" in relation to a Drawing means the last day of its
            Term;

            "MAXIMUM FACILITY AMOUNT" means the Maximum Term Loan Facility
            Amount or the Maximum Revolving Credit Facility Amount;

                                       12
<PAGE>

            "MAXIMUM REVOLVING CREDIT FACILITY AMOUNT" means subject to Clause 5
            and Clause 11.18 five hundred million Dollars (USD500,000,000);

            "MAXIMUM TERM LOAN FACILITY AMOUNT" means subject to Clause 4 and
            Clause 11.18 three hundred million Dollars (USD300,000,000);

            "MONTH" means 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;

            "MORTGAGES" means (i) the two (2) first priority statutory Bahamian
            ship mortgages and deeds of covenants collateral thereto one (1) to
            be granted by each of Norwegian Spirit and Norwegian Star over its
            Vessel and (ii) the first preferred US ship mortgage to be granted
            by Pride of Aloha over its Vessel, in each case in favour of the
            Agent as security pursuant hereto and to the Master Agreements such
            mortgages and deeds of covenants to be in the forms and on the terms
            and conditions agreed between the Lenders and the Borrower and as
            specified in paragraph 24 of Schedule 3;

            "NCL AMERICA" means NCL America Inc. of Corporation Trust Center,
            1209 Orange Street, Wilmington, Delaware 19801, United States of
            America, the company providing ship management and crewing services
            for the Pride of Aloha Vessel pursuant to the relevant Management
            Agreement;

            "NCL AMERICA HOLDINGS" means NCL America Holdings, Inc. of
            Corporation Trust Center, 1209 Orange Street, Wilmington, Delaware
            19801, United States of America;

            "NCL (BAHAMAS)" means NCL (Bahamas) Ltd. of Milner House, 18
            Parliament Street, Hamilton HM 12, Bermuda, the company providing
            commercial and technical management and crewing services for the
            Norwegian Spirit Vessel and

                                       13
<PAGE>

            the Norwegian Star Vessel pursuant to the relevant Management
            Agreements and commercial, marketing, sales and financial services
            in respect of the Pride of Aloha Vessel pursuant to the Sub-Agency
            Agreement;

            "NCLC FLEET" means the vessels owned by the companies in the NCLC
            Group;

            "NCLC GROUP" means the Borrower and its wholly owned Subsidiaries
            provided that for the purposes of the definitions of "CASH BALANCE",
            "CONSOLIDATED DEBT SERVICE", "CONSOLIDATED INTEREST EXPENSE",
            "CONSOLIDATED NET INCOME", "TOTAL CAPITALISATION" and "TOTAL NET
            FUNDED DEBT" in this Clause, Clause 11.2 and Clause 11.3 "NCLC
            GROUP" means the Borrower, its Subsidiaries and any other entity
            which is required to be consolidated in the Borrower's accounts in
            accordance with US GAAP;

            "NCL INTERNATIONAL" means NCL International, Ltd. of Milner House,
            18 Parliament Street, Hamilton HM 12, Bermuda;

            "NORWEGIAN SPIRIT" means Norwegian Spirit, Ltd. of Milner House, 18
            Parliament Street, Hamilton HM 12, Bermuda;

            "NORWEGIAN SPIRIT VESSEL" means the one thousand (1,000) cabin
            luxury passenger cruise vessel built in 1998 and named "NORWEGIAN
            SPIRIT" (ex "SUPERSTAR LEO") to be purchased by Norwegian Spirit
            from the Seller pursuant to the MOA and re-registered under the laws
            and flag of the Bahamas;

            "NORWEGIAN STAR" means Norwegian Star Limited of International
            House, Castle Hill, Victoria Road, Douglas, Isle of Man IM2 4RB,
            British Isles;

            "NORWEGIAN STAR VESSEL" means the one thousand one hundred and
            twenty (1,120) cabin luxury passenger cruise vessel built in 2001
            and named "Norwegian STAR" registered in the name of Norwegian Star
            under the laws and flag of the Bahamas;

            "NOTIONAL AMOUNT" in respect of any Hedging Transaction, means the
            Notional Amount as defined in the Confirmation relating to that
            Hedging Transaction;

            "OBLIGORS" means the Borrower, the Owners, NCL International, NCL
            America Holdings, NCL (Bahamas), NCL America, any other Credit
            Support Provider and

                                       14
<PAGE>

            any other party from time to time to any of the Security Documents
            excluding the Agent and the Lenders;

            "OUTSTANDING INDEBTEDNESS" means all sums of any kind payable
            actually or contingently to the Agent or the Lenders under or
            pursuant to this Agreement or any other Transaction Document
            (whether by way of repayment of principal, payment of interest or
            default interest, payment of any indemnity or counter indemnity,
            reimbursement for fees, costs or expenses or otherwise howsoever)
            and any Master Agreement Liabilities;

            "OWNERS" means Norwegian Spirit, Norwegian Star and Pride of Aloha;

            "PERMITTED LIENS" means (i) any Encumbrance created by or pursuant
            to the Security Documents (ii) liens on a Vessel up to an aggregate
            amount at any time not exceeding five million Dollars (USD5,000,000)
            for current crew's wages and salvage and liens incurred in the
            ordinary course of trading a Vessel (iii) any deposits or pledges to
            secure the performance of bids, tenders, bonds or contracts (iv) any
            other Encumbrance notified by any of the Obligors to the Agent prior
            to the Signing Date (v) any Encumbrance in respect of existing
            Financial Indebtedness of a person which becomes a Subsidiary of the
            Borrower or is merged with or into the Borrower or any of its
            Subsidiaries (vi) liens on assets leased, acquired or upgraded after
            the Signing Date or assets newly constructed or converted after the
            Signing Date provided that (a) such liens secure Financial
            Indebtedness otherwise permitted under this Agreement (b) such liens
            are incurred within one (1) year following such lease, acquisition,
            upgrade, construction or conversion and (c) the Financial
            Indebtedness secured by such liens does not exceed the cost of such
            upgrade or the cost of such assets acquired or leased (vii)
            statutory and other similar liens arising in the ordinary course of
            business unrelated to Financial Indebtedness and securing
            obligations not yet delinquent or which are being contested in good
            faith by appropriate proceedings and for which adequate reserves
            have been established and (viii) liens arising out of the existence
            of judgments or awards in respect of the Borrower or any of its
            Subsidiaries, provided that the aggregate amount of all cash and the
            fair market value of all other property, subject to such liens does
            not exceed ten million Dollars (USD10,000,000);

                                       15
<PAGE>

            "POSSIBLE EVENT OF DEFAULT" means any event which, with the giving
            of notice, passage of time or occurrence of any other event, would
            constitute an Event of Default;

            "PRIDE OF ALOHA" means Pride of Aloha Inc. of Corporation Trust
            Center, 1209 Orange Street, Wilmington, Delaware 19801, United
            States of America;

            "PRIDE OF ALOHA VESSEL" means the one thousand and one (1,001) cabin
            luxury passenger cruise vessel built in 1999 and named "pride of
            aloha" registered in the name of Pride of Aloha under the laws and
            flag of the United States of America;

            "PROCESS AGENT" means Clifford Chance Secretaries Limited whose
            registered office is presently at 10 Upper Bank Street, London E14
            5JJ or any other person in England nominated by the Borrower or any
            other Obligor and approved by the Agent as agent to accept service
            of legal proceedings on their behalf under any of the Security
            Documents;

            "PURCHASE PRICE" means three hundred and seventeen million Dollars
            (USD317,000,000) in respect of the Norwegian Spirit Vessel being the
            price agreed between the Seller and Norwegian Spirit for the sale
            and purchase of a Vessel under clause 1 of the MOA;

            "QUOTATION DATE" means, in relation to any Interest Period, the day
            two (2) Business Days (in London) prior to the first day of the
            relevant Interest Period;

            "REFERENCE BANKS" means DnB NOR Bank ASA and Nordea Bank Norge ASA;

            "RELEVANT PERCENTAGE" means at any relevant time the percentage that
            the valuation of a Vessel obtained in accordance with Clause 11.17
            bears to the aggregate of the valuations of the Vessels obtained as
            aforesaid at such time;

            "RENEWAL NOTICE" means a notice to be given by the Borrower to the
            Agent to extend the period of a Term;

            "REPAYMENT DATES" means in respect of the Term Loan Facility,
            subject to the provisions of Clause 4, (i) the last day of each of
            the eleven (11) consecutive periods of six (6) months the first such
            period commencing on the Drawdown

                                       16
<PAGE>

            Date and the eleventh (11th) such period terminating five and a half
            (5-1/2) years thereafter and (ii) the Final Maturity Date;

            "REUTERS PAGE LIBOR 01" means the display currently designated as
            Reuters Page LIBOR 01, which includes London Interbank Offered Rates
            of four (4) major banks, which are members of the International
            Swaps and Derivatives Association, Inc. or such other service as may
            be nominated by the British Bankers' Association as the information
            vendor for displaying the London Interbank Offered Rates of major
            banks in the London Interbank Market;

            "REVOLVING CREDIT FACILITY" means the revolving credit facility
            granted hereunder in the Maximum Revolving Credit Facility Amount or
            (as the context may require) the amount thereof for the time being
            advanced and outstanding under this Agreement;

            "REVOLVING CREDIT FACILITY AVAILABILITY PERIOD" means the period
            beginning on the Signing Date and ending one (1) month before the
            Final Maturity Date;

            "REVOLVING CREDIT FACILITY COMMITMENT PERIOD" means the period
            beginning on the Signing Date and ending on the earlier of the last
            day of the Revolving Credit Facility Availability Period and the
            date on which the Revolving Credit Facility is cancelled hereunder;

            "SAME DAY FUNDS" means Dollar funds settled through the New York
            Clearing House Interbank Payments System or such other funds for
            payment in Dollars as the Agent shall specify by notice to the
            Borrower as being customary at the time for the settlement of
            international transactions in New York of the type contemplated by
            this Agreement;

            "SECURITY DOCUMENTS" means this Agreement, the Charges, the
            Mortgages, the Guarantees, the Earnings Assignments, the Insurance
            Assignments, the Management Agreement Assignments, the Sub-Agency
            Agreement Assignment, the Master Agreements and any other Credit
            Support Documents, any fee letter and all such other documents as
            may be executed at any time in favour of the Agent as security for
            the obligations of the Borrower and/or the other Obligors whether
            executed pursuant to the express provisions of this Agreement or
            otherwise howsoever;

                                       17
<PAGE>

            "SECURITY PERIOD" means the period beginning on the earlier of the
            Drawdown Date and the first Advance Date and ending on the date on
            which the amounts outstanding under this Agreement and under each of
            the other Security Documents are finally and irrevocably repaid
            and/or cancelled in full;

            "SELLER" means Superstar Leo Limited of Douglas, Isle of Man,
            British Isles as seller of the Norwegian Spirit Vessel;

            "SHAREHOLDER" means NCL International in the case of Norwegian
            Spirit and Norwegian Star and NCL America Holdings in the case of
            Pride of Aloha;

            "SIGNING DATE" means the date of this Agreement;

            "SUB-AGENCY AGREEMENT" means the agreement dated 7 June 2004 between
            NCL America and the Sub-Agent providing for the commercial,
            marketing, sales and financial services in respect of the Pride of
            Aloha Vessel, such agreement to be in the form and on the terms and
            conditions agreed between the Agent and the Borrower and as
            specified in paragraph 23 of Schedule 3;

            "SUB-AGENCY AGREEMENT ASSIGNMENT" means the valid and effective
            first legal assignment of the Sub-Agency Agreement (together with
            the notice thereof and the acknowledgement), to be executed by NCL
            America in favour of the Agent, such assignment, notice and
            acknowledgement to be in the form and on the terms and conditions
            agreed between the Lenders and the Borrower and as specified in
            paragraph 30 of Schedule 3;

            "SUB-AGENT" means NCL (Bahamas), the company providing commercial,
            marketing, sales and financial services in respect of the Pride of
            Aloha Vessel pursuant to the Sub-Agency Agreement;

            "SUBSIDIARY" has the meaning defined in the Companies Act 1985,
            Section 736 as substituted by the Companies Act 1989, Section 144;

            "SUBSTITUTE BASIS" means an alternative basis for maintaining a
            Drawing certified by the Agent pursuant to Clause 7.3.1;

            "SUSPENSION NOTICE" means a notice given by the Agent to the
            Borrower pursuant to Clause 7.1;

                                       18
<PAGE>

            "TAXES" means all present and future income and other taxes, levies,
            imposts, deductions, compulsory liens and withholdings whatsoever
            together with interest thereon and penalties with respect thereto,
            if any, and any payments made on or in respect thereof and
            "TAXATION" shall be construed accordingly;

            "TERM" means, in relation to a Drawing, the period for which such
            Drawing is, or is to be, borrowed, as specified in the Drawdown
            Notice for such Drawing and as extended by any Renewal Notice for
            such Drawing provided that the Term shall not extend beyond the
            Final Maturity Date;

            "TERM LOAN FACILITY" means the term loan facility granted hereunder
            in the Maximum Term Loan Facility Amount or (as the context may
            require) the amount thereof for the time being advanced and
            outstanding under this Agreement;

            "TERM LOAN FACILITY AVAILABILITY PERIOD" means the period beginning
            on the Signing Date and ending on 31 August 2004;

            "TERM LOAN FACILITY COMMITMENT PERIOD" means the period beginning on
            the Signing Date and ending on the earlier of the Drawdown Date and
            the date on which the Term Loan Facility is cancelled hereunder;

            "THIRD PARTY" means any person or group of persons acting in concert
            (as the expression "ACTING IN CONCERT" is defined in the City Code
            on Take-overs and Mergers) who or which is not a member of the Lim
            Family;

            "TOTAL CAPITALISATION" means, at any date of determination, Total
            Net Funded Debt plus the consolidated stockholders' equity of the
            NCLC Group at such date determined in accordance with US GAAP and
            derived from the then latest unaudited and consolidated accounts of
            the NCLC Group delivered to the Agent in the case of the first three
            (3) quarters of each financial year and the then latest Accounts
            delivered to the Agent in the case of the final quarter of each
            financial year;

            "TOTAL LOSS" means any actual or constructive or arranged or agreed
            or compromised total loss or Compulsory Acquisition of a Vessel;

            "TOTAL NET FUNDED DEBT" means, as at any relevant date:

                                       19
<PAGE>

            (i)   Indebtedness for Borrowed Money of the NCLC Group; and

            (ii)  the amount of any Indebtedness for Borrowed Money of any
                  person which is not a member of the NCLC Group but which is
                  guaranteed by a member of the NCLC Group as at such date;

            less an amount equal to any Cash Balance as at such date;

            "TRANSACTION" means a transaction entered into between a Lender or
            its Affiliate (as the case may be) and the Borrower governed by the
            relevant Master Agreement;

            "TRANSACTION DOCUMENTS" means the Security Documents, the MOA, the
            Drawdown Notices, the Renewal Notices, the Management Agreements,
            the Sub-Agency Agreement and any other material document now or
            hereafter issued in connection with the documents or the transaction
            herein referred to;

            "TRANSFER CERTIFICATE" means the certificate attached hereto as
            Schedule 5;

            "TRANSFER DATE" means, in relation to any Transfer Certificate, the
            date specified in such Transfer Certificate as the date for the
            making of the transfer or, where such transfer is specified as being
            subject to the fulfilment of certain conditions, the date on which
            the Agent receives a certificate from the Lender making the transfer
            confirming that all such conditions have been fulfilled;

            "TRANSFEREE" means any reputable bank acceptable to the Agent which
            becomes a party to this Agreement as a Lender pursuant to Clause 20;

            "US GAAP" means generally accepted accounting principles in the
            United States of America consistently applied (or, if not
            consistently applied, accompanied by details of the inconsistencies)
            including, without limitation, those set forth in the opinion and
            pronouncements of the Accounting Principles Board of the American
            Institute of Certified Public Accountants and statements and
            pronouncements of the Financial Accounting Standards Board; and

            "VESSELS" means:

            (i)   the Norwegian Spirit Vessel;

                                       20
<PAGE>

            (ii)  the Norwegian Star Vessel; and

            (iii) the Pride of Aloha Vessel.

      1.2   CONSTRUCTION

            In this Agreement unless the context otherwise requires:

            1.2.1 clause headings are inserted for convenience of reference only
                  and shall be ignored in the construction of this Agreement;

            1.2.2 references to Clauses and to Schedules are to be construed as
                  references to clauses of and schedules to this Agreement
                  unless otherwise stated and references to this Agreement are
                  to be construed as references to this Agreement including its
                  Schedules;

            1.2.3 references to (or to any specified provision of) this
                  Agreement or any other document shall be construed as
                  references to this Agreement, that provision or that document
                  as from time to time amended, supplemented and/or novated;

            1.2.4 references to any Act or any statutory instrument shall be
                  construed as references to that Act or that statutory
                  instrument as from time to time re-enacted, amended or
                  supplemented;

            1.2.5 references to any party to this Agreement or any other
                  document shall include reference to such party's successors
                  and permitted assigns;

            1.2.6 words importing the plural shall include the singular and vice
                  versa;

            1.2.7 references to a person shall be construed as references to an
                  individual, firm, company, corporation, unincorporated body of
                  persons or any state or any agency thereof;

            1.2.8 where any matter requires the approval or consent of the Agent
                  such approval or consent shall not be deemed to have been
                  given unless given in writing; where any matter is required to
                  be acceptable to the Agent shall not be deemed to have
                  accepted such matter unless its acceptance is

                                       21
<PAGE>

                  communicated in writing; the Agent may give or withhold its
                  consent, approval or acceptance at its unfettered discretion;
                  and

            1.2.9 a certificate by the Agent as to any amount due or calculation
                  made hereunder shall be conclusive except for manifest error.

      1.3   AGENT

            The Agent has been appointed by the Lenders as agent under Clause
            22.3 and (unless the context otherwise requires) references herein
            to the Agent shall be construed as references to itself and the
            Lenders. The Borrower shall only communicate with the Lenders under
            this Agreement and the other Security Documents through the Agent
            and as hereinafter referred to.

2     THE FACILITY

      2.1   AVAILABILITY

            2.1.1 The Lenders grant to the Borrower the Term Loan Facility which
                  shall be available for drawdown by the Borrower in one (1)
                  amount within the Term Loan Facility Availability Period
                  subject to the provisions of Clause 2.2 and Clause 2.3.

            2.1.2 The Lenders also grant to the Borrower the Revolving Credit
                  Facility which is of a revolving nature and shall be available
                  to the Borrower during the Revolving Credit Facility
                  Availability Period subject to the provisions of Clause 2.2
                  and Clause 2.3. Each Drawing shall be repaid on its Maturity
                  Date. However, a Term may be extended to the end of the
                  succeeding Interest Period in respect of that Drawing by the
                  giving of a Renewal Notice by the Borrower to the Agent not
                  later than 9.00 a.m. London time four (4) Business Days prior
                  to the commencement of the relevant Interest Period.

            2.1.3 Each Lender shall advance its Contribution to the Term Loan
                  Facility or a Drawing (as the case may be) in the proportion
                  which its Contribution for the time being bears to the other
                  Contributions of the Lenders to the Facility.

                                       22
<PAGE>

            2.1.4 None of the Agent or any other Lender shall be liable for any
                  failure or delay on the part of any Lender in making any
                  advance hereunder nor shall the Agent have any obligation to
                  seek to procure additional Lenders in the event of such a
                  failure PROVIDED THAT if any Lender should fail to advance its
                  Contribution to an advance hereunder, that Lender and the
                  Agent will take all reasonable steps to mitigate the effect of
                  that failure. Notwithstanding the aforesaid proviso, no Lender
                  shall be obliged to increase its Contribution hereunder in
                  respect of the failure by any other Lender to fund any
                  Contribution.

      2.2   PURPOSE AND APPLICATION

            The Borrower shall apply the Facility in part payment of the
            Purchase Price due to the Seller under the MOA, in refinance of the
            existing finance in respect of the Norwegian Star Vessel and the
            Pride of Aloha Vessel and in payment of fees and expenses incurred
            in connection with the Facility and any balance of the Revolving
            Credit Facility from time to time may be used for general corporate
            and working capital purposes for the Borrower and its Subsidiaries.

      2.3   DRAWDOWN

            The Borrower shall only draw down the Term Loan Facility or a
            Drawing if:

            2.3.1 the Agent receives at least four (4) Business Days' notice of
                  the Borrower's request for such drawing in the form of
                  Schedule 2;

            2.3.2 the Drawdown Date or the Advance Date proposed is a Business
                  Day within the relevant Availability Period;

            2.3.3 any Drawing is in a minimum amount of ten million Dollars
                  (USD10,000,000) or a whole multiple thereof;

            2.3.4 on any Advance Date not more than ten (10) Drawings will be
                  outstanding;

            2.3.5 its drawdown would not result in the amount of the relevant
                  Facility exceeding the relevant Maximum Facility Amount on the
                  Drawdown Date or the Advance Date (as the case may be);

                                       23
<PAGE>

            2.3.6 no Event of Default or Possible Event of Default has occurred
                  before the date of such drawing and such drawing would not
                  constitute an Event of Default or Possible Event of Default;

            2.3.7 the representations and warranties set out in Clause 10 and
                  each of the other Security Documents are correct on the date
                  of such drawing;

            2.3.8 it is then lawful for each of the Lenders to make available
                  its relevant Contribution to the drawing; and

            2.3.9 in the case of the first Drawing made under this Agreement,
                  the Advance Date in respect of that Drawing is on or before 31
                  August 2004.

      2.4   BREAK COSTS

            If for any reason the Term Loan Facility or a Drawing is not drawn
            down by the Borrower hereunder after the relevant Drawdown Notice
            has been given to the Agent pursuant to Clause 2.3, the Borrower
            will pay to the Agent for the account of the Lenders such amount as
            the Agent may certify as necessary to compensate the Lenders (other
            than any Lender whose default has caused the Term Loan Facility or
            the Drawing not to be drawn down) for any loss (including any losses
            under any Master Agreements) or expense on account of funds
            borrowed, contracted for or utilised in order to fund its
            Contribution to the Term Loan Facility or the Drawing (as the case
            may be). Each Lender shall supply to the Agent a certificate of
            break costs which in the absence of manifest error shall be
            conclusive as to the amounts due.

      2.5   CONDITIONS OF DRAWDOWN

            The Agent shall not be under any obligation to advance the Term Loan
            Facility or a Drawing hereunder until all the documents and evidence
            referred to in the relevant part of Schedule 3 are in the possession
            of the Agent in form and substance satisfactory to the Lenders.

      2.6   SEVERAL OBLIGATIONS OF THE LENDERS

            The obligations and rights of each Lender hereunder are several and
            if for any reason the Borrower receives an amount greater than the
            aggregate of the Contributions to the Term Loan Facility or the
            Drawing (as the case may be), the

                                       24
<PAGE>

            Borrower forthwith upon the demand of the Agent shall pay to the
            Agent (for the account of those Lenders whose Contributions were
            exceeded) the amount certified by the Agent as representing the
            excess of the amount paid to the Borrower over the due and proper
            amount of the Contributions of the Lenders actually received by the
            Agent.

      2.7   LENDER'S FAILURE TO PERFORM

            Subject to Clause 2.1.3, the failure by a Lender to perform its
            obligations hereunder shall not affect the obligations of the
            Borrower towards any other party hereto nor shall any such other
            party be liable for the failure by such Lender to perform its
            obligations hereunder.

      2.8   FULFILMENT OF CONDITIONS AFTER DRAWDOWN

            If the Lenders, acting unanimously, decide (or the Agent in
            accordance with Clause 22 decides) to permit the advance of the Term
            Loan Facility and/or the first Drawing to the Borrower hereunder
            without having received all of the documents or evidence referred to
            in Schedule 3, the Borrower will nevertheless deliver the remaining
            documents or evidence to the Agent within such period as the Agent
            may stipulate and the advance of the Term Loan Facility and/or the
            Drawing shall not be construed as a waiver of the Agent's right to
            receive the documents or evidence as aforesaid nor shall this
            provision impose on the Agent or the Lenders any obligation to
            permit the drawing in the absence of any of such documents or
            evidence.

3     REPAYMENT OF THE TERM LOAN FACILITY

      3.1   Unless otherwise repaid in accordance with the provisions of this
            Agreement, the Borrower hereby agrees to repay the Term Loan
            Facility by twelve (12) half yearly Instalments of principal on the
            Repayment Dates. The first eleven (11) Instalments shall each be in
            the amount of seventeen million five hundred thousand Dollars
            (USD17,500,000) and the twelfth (12th) and final Instalment shall be
            in the amount of one hundred and seven million five hundred thousand
            Dollars (USD107,500,000).

                                       25
<PAGE>

4     PREPAYMENT OF THE TERM LOAN FACILITY

      4.1   VOLUNTARY PREPAYMENT

            On giving at least thirty (30) days' prior notice to the Agent, the
            Borrower may on the last day of an Interest Period prepay (without
            premium or penalty, subject to Clause 4.8) the whole or any relevant
            part of the Term Loan Facility (but if in part in an amount of at
            least five million Dollars (USD5,000,000) or such lesser amount as
            is acceptable to the Agent).

      4.2   VOLUNTARY PREPAYMENT IN CASE OF INCREASED COST

            At any time after any sum payable by the Borrower has been increased
            under Clause 7 or a Lender has made any claim for indemnification
            under Clause 7, the Borrower may, after giving to the Agent five (5)
            Business Days' notice of its intention to do so, prepay the whole
            (but not part only) of that Lender's Contribution to the Term Loan
            Facility, subject to Clause 4.8.

      4.3   MANDATORY PREPAYMENT IN CASE OF ILLEGALITY

            4.3.1 If any change in, or in the interpretation or application of,
                  any law, regulation or treaty shall make it unlawful in any
                  jurisdiction applicable to any of the Lenders for that Lender
                  to make available or maintain its Contribution to the Term
                  Loan Facility or to give effect to its obligations as
                  contemplated hereby, the Agent may, by notice thereof to the
                  Borrower, declare that the relevant Lender's obligations shall
                  be terminated forthwith whereupon (if any of the Facility has
                  then been advanced) the Borrower shall prepay forthwith to the
                  relevant Lender its Contribution to the Term Loan Facility
                  together with interest thereon to the date of such prepayment
                  and all other amounts due to such Lender under Clause 4.8 and
                  under the Security Documents (or, if permitted by the relevant
                  law, regulation or treaty, at the end of the then current
                  Interest Period).

            4.3.2 A Lender affected by any provision of Clause 4.3.1 shall
                  promptly inform the Agent after becoming aware of the relevant
                  change and the Agent shall, as soon as reasonably practicable
                  thereafter, notify the Borrower of the change and its possible
                  results. Without affecting the Borrower's

                                       26
<PAGE>

                  obligations under Clause 4.3.1 and in consultation with the
                  Agent, the affected Lender will then take all such reasonable
                  steps as may be open to it to mitigate the effect of the
                  change (for example (and if then possible) by changing its
                  Lending Branch or transferring some or all of its rights and
                  obligations under this Agreement to another financial
                  institution reasonably acceptable to the Borrower and the
                  Agent). The reasonable costs of mitigating the effect of any
                  such change shall be borne by the Borrower save where such
                  costs are of an internal administrative nature and are not
                  incurred in dealings by any Lender with third parties.

      4.4   VOLUNTARY PREPAYMENT FOLLOWING IMPOSITION OF SUBSTITUTE BASIS

            The Borrower may notify the Agent within ten (10) days of the
            receipt of a certificate from the Agent of a Substitute Basis under
            Clause 7.3 whether or not it wishes to prepay the Term Loan
            Facility, in which event the Borrower shall forthwith prepay the
            Term Loan Facility together with interest accrued thereon at the
            rate specified in the relevant certificate of Substitute Basis and
            any break costs in accordance with Clause 4.8.

      4.5   PREPAYMENT IN CASE OF TOTAL LOSS OF A VESSEL

            If a Vessel is or becomes a Total Loss, then the Borrower will,
            within thirty (30) days thereof or, if the Agent is satisfied in its
            sole discretion that the Total Loss is adequately covered by the
            Insurances and that the relevant insurance proceeds will be payable
            to the Agent within one hundred and fifty (150) days plus three (3)
            business days in Frankfurt, New York and Singapore thereof, by no
            later than the date which is one hundred and fifty (150) days plus
            three (3) business days in Frankfurt, New York and Singapore after
            the date of the event giving rise to such Total Loss prepay the
            Relevant Percentage of the Term Loan Facility in accordance with
            Clause 4.7, Clause 4.8 and Clause 14.1.

            For the purposes of this Clause a Total Loss shall be deemed to have
            occurred:

            4.5.1 if it consists of an actual loss, at noon Greenwich Mean Time
                  on the actual date of loss or, if that is not known, on the
                  date on which the Vessel was last heard of;

                                       27
<PAGE>

            4.5.2 if it consists of a Compulsory Acquisition, at noon Greenwich
                  Mean Time on the date on which the requisition is expressed to
                  take effect by the person requisitioning the Vessel; and

            4.5.3 if it consists of a constructive or compromised or arranged or
                  agreed total loss or damage to the Vessel rendering repair
                  impracticable or uneconomical or rendering the Vessel
                  permanently unfit for normal use, at noon Greenwich Mean Time
                  on the date on which notice claiming the loss of the Vessel is
                  given to its insurers.

      4.6   PREPAYMENT IN CASE OF SALE OF A VESSEL

            If a Vessel is sold by the relevant Owner with the prior consent of
            the Agent (which consent is not to be unreasonably withheld or
            delayed), then the Borrower will concurrent with completion of the
            sale prepay the Relevant Percentage of the Term Loan Facility in
            accordance with Clause 4.7 and Clause 14.1. Subject to Clause 4.8
            hereof, prepayment of the Term Loan Facility consequent upon the
            permitted sale of the Vessel shall absolve the Borrower from any
            liability to pay prepayment fees or costs.

      4.7   EFFECT OF PREPAYMENT

            Any notice given by the Borrower under Clause 4.1, Clause 4.2 or
            Clause 4.4 shall be irrevocable and shall oblige the Borrower to pay
            to the Agent on account of the Lenders the amount or amounts therein
            stated on the date therein stated. No amount prepaid under this
            Agreement may be redrawn. Each prepayment under this Agreement shall
            be applied in satisfaction of the Instalments pro rata. Prepayments
            under this Agreement shall be made together with:

            4.7.1 accrued interest on the amount to be prepaid to the date of
                  such prepayment (calculated in respect of any period during
                  which a Substitute Basis has applied by virtue of Clause 7.3,
                  at the rate per annum more particularly described in Clause
                  7.2);

            4.7.2 any additional amounts payable under Clause 7.2 and Clause
                  8.1;

            4.7.3 costs certified by the Agent as necessary to compensate the
                  Lenders for the cost of repaying fixed deposits borrowed to
                  fund any part of the Term

                                       28
<PAGE>

                  Loan Facility or any part of any Drawing which is prepaid
                  before the Final Maturity Date in the case of the Term Loan
                  Facility and before the Maturity Date in the case of any
                  Drawing or the fixed term by reference to which the relevant
                  rate of interest has been ascertained; and

            4.7.4 all other sums payable by the Borrower to the relevant Lender
                  under this Agreement including, without limitation, any
                  accrued commitment fee payable under Clause 16.1.

      4.8   BREAK COSTS ON PREPAYMENT

            If any repayment or prepayment of the Term Loan Facility or part
            thereof is made otherwise than on the last day of an Interest
            Period, the Borrower shall pay to the Agent on behalf of the Lenders
            on demand such additional amount as the Agent may certify (such
            certificate to contain a calculation thereof in reasonable detail)
            as necessary to compensate each of the Lenders for any loss
            (including the cost of breaking deposits or re-employing funds
            (including warehousing and other related costs)) or any losses under
            any Master Agreement or expense (including warehousing and other
            related costs) on account of funds borrowed, contracted for or
            utilised to fund the amount so repaid or prepaid provided that each
            Lender shall pay to the Borrower any swap breakage gain actually
            received by the Lender under any Master Agreement.

5     REPAYMENT, REDUCTION AND CANCELLATION OF THE REVOLVING CREDIT FACILITY

      5.1   REPAYMENT

            The Borrower shall repay each Drawing on its Maturity Date. If a
            Drawing (the "NEW DRAWING") is to be made on a day on which another
            Drawing (the "MATURING DRAWING") is due to be repaid then, subject
            to the terms of this Agreement:

            5.1.1 the maturing Drawing shall be deemed to have been repaid on
                  its Maturity Date either in whole (if the new Drawing is equal
                  to or greater than the maturing Drawing) or in part (if the
                  new Drawing is less than the maturing Drawing); and

                                       29
<PAGE>

            5.1.2 to the extent that the maturing Drawing is so deemed to have
                  been repaid, the principal amount of the new Drawing to be
                  made on such date shall be deemed to have been credited to the
                  account of the Borrower by the Agent on behalf of the Lenders
                  in accordance with the terms of this Agreement and the Lenders
                  shall only be obliged to make available to the Borrower
                  pursuant to Clause 2.3 a principal amount equal to the amount
                  by which the new Drawing exceeds the maturing Drawing.

            On the Final Maturity Date, all outstanding Drawings and other sums
            (if any) then owing under this Agreement shall in any event be
            repaid or paid in full.

      5.2   SCHEDULED REDUCTIONS OF COMMITMENTS TO THE REVOLVING CREDIT FACILITY

            Without prejudice to any other provision of this Agreement, the
            Commitments to the Revolving Credit Facility shall be reduced to
            zero on the Final Maturity Date.

      5.3   SALE OR TOTAL LOSS OF A VESSEL: MANDATORY CANCELLATION

            If at any time during the Security Period a Vessel is sold or is or
            becomes a Total Loss, the Commitments to the Revolving Credit
            Facility shall be reduced on the date on which the proceeds of such
            sale or Total Loss are made available by an amount equal to the
            Relevant Percentage.

            If, upon reduction of the Commitments to the Revolving Credit
            Facility by such amount, the aggregate of the Drawings at such time
            exceeds the Commitments to the Revolving Credit Facility as thereby
            reduced, the Borrower shall on such date prepay such amount of the
            outstanding Drawings as will ensure that immediately thereafter the
            aggregate amount of the Drawings will not exceed the Commitments to
            the Revolving Credit Facility as so reduced.

      5.4   AMOUNTS PAYABLE ON PREPAYMENT

            Any prepayment of the Revolving Credit Facility under this Clause 5
            shall be made together with such sums as are set out in Clause 4.7.

      5.5   NOTICE OF PREPAYMENT

            No voluntary prepayment of a Drawing may be effected under this
            Clause 5 unless the Borrower shall have given the Agent at least
            five (5) Business Days'

                                       30
<PAGE>

            notice of its intention to make such prepayment. Every notice of
            prepayment shall be effective only on actual receipt by the Agent,
            shall be irrevocable, shall specify the amount to be prepaid and
            shall oblige the Borrower to make such prepayment on the date
            specified. Unless and to the extent that the Commitments to the
            Revolving Credit Facility are cancelled or reduced on or with effect
            from the date of any such prepayment, amounts prepaid may be
            re-drawn under this Agreement. The Borrower may not prepay any
            Drawing or any part thereof save as expressly provided in this
            Agreement.

      5.6   VOLUNTARY CANCELLATION OF COMMITMENTS TO THE REVOLVING CREDIT
            FACILITY

            The Borrower may at any time during the Revolving Credit Facility
            Availability Period by notice to the Agent (effective only on actual
            receipt) cancel with effect from a date not less than ten (10)
            Business Days after the receipt by the Agent of such notice the
            whole or any part (being five million Dollars (USD5,000,000) or a
            whole multiple thereof but not more than the Available Commitments
            of all of the Lenders as at such date) of the total of the Available
            Commitments as at such date of all the Lenders. Any such notice of
            cancellation, once given, shall be irrevocable and upon such
            cancellation taking effect the Commitment of each of the Lenders to
            the Revolving Credit Facility shall be reduced proportionately and
            the Borrower shall on the date designated in its notice prepay such
            amount of the outstanding Drawings as will ensure that immediately
            thereafter the aggregate amount of the Drawings will not exceed the
            Commitments to the Revolving Credit Facility as so reduced by virtue
            of the Borrower's cancellation.

      5.7   ADDITIONAL PARTIAL CANCELLATION

            The Borrower may also at any time during the Revolving Credit
            Facility Availability Period by notice to the Agent (effective only
            on actual receipt) cancel with effect from a date not less than five
            (5) Business Days after receipt by the Agent of such notice the
            whole but not part only, but without prejudice to its obligations
            under Clause 7.2 and Clause 9.1, of the Commitment to the Revolving
            Credit Facility of any Lender to which the Borrower shall have
            become obliged to pay additional amounts under Clause 7.2 or Clause
            9.1. Upon any notice of such prepayment being given, the Commitment
            of the relevant Lender to the Revolving Credit Facility shall be
            reduced to zero and the Borrower shall be obliged to

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<PAGE>

            prepay the Contribution of such Lender to the Revolving Credit
            Facility on such date.

      5.8   PREPAYMENT DURING TERM

            The Borrower may at any time by notice to the Agent (effective only
            on actual receipt) prepay the whole or any part (being five million
            Dollars (USD5,000,000) or such lesser amount as is acceptable to the
            Agent of any Drawing prior to its Maturity Date on not less than
            five (5) Business Days' notice (whether or not any part of the
            Commitment to the Revolving Credit Facility is also being cancelled
            on such date pursuant to any provision of this Agreement) and the
            Borrower shall when making such prepayment, make such prepayment
            together with any amounts as referred to in Clause 5.4.

      5.9   MANDATORY CANCELLATION IN CASE OF ILLEGALITY

            If any change in, or in the interpretation or application of, any
            law, regulation or treaty shall make it unlawful in any jurisdiction
            applicable to any of the Lenders for that Lender to make available
            or maintain its Contribution to the Revolving Credit Facility or to
            give effect to its obligations as contemplated hereby, the Agent
            may, by notice thereof to the Borrower, declare that the relevant
            Lender's obligations shall be terminated forthwith whereupon (if any
            of the Revolving Credit Facility has then been advanced) the
            Borrower shall prepay forthwith to the relevant Lender its
            Contribution to the Revolving Credit Facility together with interest
            thereon to the date of such prepayment and all other amounts due to
            such Lender under Clause 5.8 and under the Security Documents (or,
            if permitted by the relevant law, regulation or treaty, at the end
            of the then current Interest Period).

            A Lender affected by any provision of this Clause 5.9 shall promptly
            inform the Agent after becoming aware of the relevant change and the
            Agent shall, as soon as reasonably practicable thereafter, notify
            the Borrower of the change and its possible results. Without
            affecting the Borrower's obligations under this Clause 5.9 and in
            consultation with the Agent, the affected Lender will then take all
            such reasonable steps as may be open to it to mitigate the effect of
            the change (for example (and if then possible) by changing its
            Lending Branch or transferring some or all of its rights and
            obligations under this Agreement to another financial

                                       32
<PAGE>

            institution reasonably acceptable to the Borrower and the Agent).
            The reasonable costs of mitigating the effect of any such change
            shall be borne by the Borrower save where such costs are of an
            internal administrative nature and are not incurred in dealings by
            any Lender with third parties.

      5.10  VOLUNTARY CANCELLATION FOLLOWING IMPOSITION OF SUBSTITUTE BASIS

            The Borrower may notify the Agent within ten (10) days of the
            receipt of a certificate from the Agent of a Substitute Basis under
            Clause 7.3 whether or not it wishes to cancel the Revolving Credit
            Facility or the relevant part thereof, in which event the Borrower
            shall forthwith cancel the Revolving Credit Facility or such
            relevant part thereof and prepay such amount of the outstanding
            Drawings as will ensure that immediately thereafter the aggregate of
            amount of the Drawings will not exceed the Commitments to the
            Revolving Credit Facility as so reduced by virtue of the Borrower's
            cancellation.

      5.11  CANCELLATION IN CASE OF TOTAL LOSS OF A VESSEL

            If a Vessel is or becomes a Total Loss, then the Borrower will,
            within thirty (30) days thereof or, if the Agent is satisfied in its
            sole discretion that the Total Loss is adequately covered by the
            Insurances and that the relevant insurance proceeds will be payable
            to the Agent on its behalf within one hundred and fifty (150) days
            thereof, by no later than the date which is one hundred and fifty
            (150) days after the date of the event giving rise to such Total
            Loss cancel and prepay the Relevant Percentage of the Revolving
            Credit Facility in accordance with Clause 5.3 and Clause 14.1.

            The relevant provisions of Clause 4.5 shall be applied to this
            Clause to determine when a Total Loss shall be deemed to have
            occurred.

      5.12  CANCELLATION IN CASE OF SALE OF A VESSEL

            If a Vessel is sold by the relevant Owner with the prior consent of
            the Agent (which consent is not to be unreasonably withheld or
            delayed), then the Borrower will concurrent with completion of the
            sale cancel and prepay the Relevant Percentage of the Revolving
            Credit Facility in accordance with Clause 5.3 and Clause 14.1.

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<PAGE>

6     INTEREST

      6.1   PAYMENT OF INTEREST

            The Borrower shall pay interest on the Term Loan Facility and each
            Drawing at the Interest Rate applicable for each Interest Period in
            respect thereof which interest shall be payable in arrears on each
            Interest Payment Date.

      6.2   SELECTION AND DURATION OF INTEREST PERIODS

            The Borrower may give notice to the Agent to be received by the
            Agent not later than 9.00 a.m. London time four (4) Business Days
            prior to the commencement of each Interest Period, specifying
            whether that Interest Period is to be of one (1), three (3) or six
            (6) months' duration or of such other period as the Borrower and all
            the Lenders may agree. Interest Periods shall commence, in the case
            of the first in respect of the Term Loan Facility or a Drawing, on
            the Drawdown Date in the case of the Term Loan Facility and on the
            relevant Advance Date in the case of a Drawing and, in the case of
            Interest Periods other than the first, on the expiry of the
            preceding Interest Period. Each Interest Period shall, subject to
            the following provisions of this Clause 6, be of a duration selected
            by the Borrower as above PROVIDED THAT the final Interest Periods in
            respect of each of the Facility shall end on the Final Maturity
            Date.

      6.3   NO NOTICE AND UNAVAILABILITY

            If the Borrower fails to select an Interest Period in accordance
            with Clause 6.2 or the Agent certifies that deposits for the period
            selected by the Borrower are not available to each of the Lenders in
            the ordinary course of business in the London Interbank Market to
            fund the Term Loan Facility or the Drawing, the Borrower shall be
            deemed to have selected an Interest Period of three (3) months (or
            such other period as the Agent may in its sole discretion decide).

      6.4   EXTENSION AND SHORTENING OF INTEREST PERIODS

            6.4.1 If an Interest Period would otherwise end on a day which is
                  not a Business Day, the Interest Period shall be extended
                  until the next following Business Day unless the next
                  following Business Day falls in the next

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<PAGE>

                  calendar month in which case the Interest Period will be
                  shortened to expire on the preceding Business Day.

            6.4.2 If an Interest Period commences on the last Business Day in a
                  month and if there is no day in the month in which the
                  Interest Period will end which corresponds numerically to the
                  day on which it begins, the Interest Period shall end on the
                  last Business Day in that month.

      6.5   INTEREST RATE

            Subject to Clause 6.7 and Clause 7, the rate of interest applicable
            to the Term Loan Facility or a Drawing during an Interest Period
            shall be the rate per annum which is the sum of LIBOR, the
            Applicable Margin and Mandatory Costs.

      6.6   BANK BASIS

            Interest, commitment fee and any other payments hereunder or under
            any fee letter of an annual nature shall accrue from day to day and
            be computed on the basis of a year of three hundred and sixty (360)
            days and for the actual number of days elapsed.

      6.7   DEFAULT INTEREST

            If the Borrower fails to pay on the due date any sum due under this
            Agreement or any of the other Security Documents to which it may at
            any time be a party, the Borrower shall, without affecting any other
            remedy of the Agent or the Lenders, on demand pay interest on such
            sum from the due date to the actual date of payment (as well after
            as before judgment). Such interest shall accrue on a daily basis at
            the higher of the Interest Rate fixed for the latest Interest Period
            and the rate computed by the Agent and certified by the Agent to the
            Borrower as being the aggregate of (i) the Applicable Margin,
            Mandatory Costs and two per cent (2%) and (ii) the greater of (a) in
            the case of the Lenders, the average (rounded upwards if necessary
            to the next integral multiple of one-sixteenth of one per cent
            (1/16%)) of the respective rates per annum at which each of the
            Lenders is able to acquire in accordance with its normal practice
            deposits in Dollars in successive periods of one (1) month (or for
            such shorter period as the Agent may in its sole discretion select)
            in the London Interbank Market in an amount equivalent to or
            comparable with its relevant Contribution to such sum, and, in the
            case of the

                                       35
<PAGE>

            Agent, the rate per annum at which it is able to acquire in
            accordance with its normal practice deposits in Dollars in
            successive periods of one (1) month (or for such shorter period as
            the Agent may in its sole discretion select) in the London Interbank
            Market in an amount equivalent to such sum, as at approximately
            11.00 a.m. London time on any relevant day and (b) in the case of
            the Lenders, the average (rounded upwards if necessary to the next
            integral multiple of one-sixteenth of one per cent (1/16%)) of the
            cost to each of the Lenders of funding its relevant Contribution to
            such sum, and, in the case of the Agent, the cost of funding such
            sum, such interest to be compounded at the end of the period
            selected by the Agent and to be payable on demand. In the event of
            LIBOR not being available then the Agent shall in its discretion use
            the Substitute Basis for its calculation as set out in Clause 7.3.

7     SUBSTITUTE BASIS OF FUNDING

      7.1   MARKET DISTURBANCE

            Notwithstanding anything to the contrary in this Agreement, if prior
            to the commencement of any Interest Period the Agent shall determine
            in good faith (which determination shall be conclusive and binding
            on the parties hereto) that:

            7.1.1 by reason of circumstances affecting the London Interbank
                  Market adequate and fair means do not exist for ascertaining
                  the Interest Rate during such Interest Period pursuant to
                  Clause 6; or

            7.1.2 deposits in Dollars of equal duration to such Interest Period
                  will not be available to any of the Lenders in the London
                  Interbank Market in sufficient amounts in the ordinary course
                  of business to fund its relevant Contribution during such
                  Interest Period; or

            7.1.3 by reason of any material change in applicable law or
                  regulation or of any change in national or international
                  financial or economic conditions any of the Lenders is unable
                  to fund or to continue to fund its relevant Contribution
                  during such Interest Period by deposits obtained in the London
                  Interbank Market,

            then the Agent shall promptly give a notice (being a Suspension
            Notice), containing full particulars thereof in reasonable detail to
            the Borrower.

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<PAGE>

      7.2   SUSPENSION OF DRAWDOWN

            If a Suspension Notice is given by the Agent before the advance of
            the Term Loan Facility or a Drawing in accordance with Clause 2 then
            the Agent shall not be obliged to advance the Term Loan Facility or
            any Drawing until notice to the contrary is given by the Agent.
            During the period of thirty (30) days from the giving of such
            Suspension Notice, the Agent and any Lender affected by the relevant
            market disturbance shall consult in good faith with the Borrower
            with a view to agreeing to an alternative basis for advancing of the
            Facility or any relevant part thereof. If such alternative basis is
            agreed between the Borrower, the Agent and the relevant Lender or
            Lenders, it shall apply in accordance with its terms.

      7.3   CERTIFICATES OF SUBSTITUTE BASIS

            7.3.1 If a Facility or part thereof has been advanced before a
                  Suspension Notice is given, the Lender or Lenders affected by
                  the relevant market disturbance shall within thirty (30) days
                  following the date of the Suspension Notice, certify (through
                  the Agent) in good faith to the Borrower an alternative basis
                  (being the Substitute Basis) for maintaining its relevant
                  Contribution affected by the relevant market disturbance. Such
                  Substitute Basis may be retroactive to the beginning of the
                  then current Interest Period and may include an alternative
                  method of fixing the Interest Rate (which shall reflect the
                  cost to the relevant Lender or Lenders of funding its relevant
                  Contribution from other sources plus the Applicable Margin) or
                  alternative Interest Periods for the relevant Facility or any
                  relevant part thereof, provided always that so far as
                  practicable any such Substitute Basis shall be computed in a
                  manner and for periods as similar as possible to those
                  provided in Clause 6.

            7.3.2 Each Substitute Basis so certified shall be binding upon the
                  Borrower, the Agent and the Lenders and shall be treated as
                  part of this Agreement.

      7.4   REVIEW

            So long as any Substitute Basis is in force, the Agent, in
            consultation with the Borrower and the Lenders, shall from time to
            time, but not less often than

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<PAGE>

            monthly, review whether or not the circumstances referred to in
            Clause 7.1 still prevail with a view to returning to the normal
            provisions of this Agreement.

8     PAYMENTS

      8.1   PLACE FOR PAYMENT

            All payments by the Borrower under this Agreement or any of the
            other Security Documents to which it may at any time be a party
            shall be made to the Agent in Same Day Funds by 10.00 a.m. New York
            time to Bank of New York, New York, for the account of DnB NOR Bank
            ASA, Oslo account no 8033261374 or such other account or bank as the
            Agent may from time to time designate.

      8.2   DEDUCTIONS AND GROSSING-UP

            8.2.1 Each payment to be made by the Borrower to the Agent hereunder
                  shall be made free and clear of and without deduction for or
                  on account of Taxes unless the Borrower is required by law to
                  make such a payment subject to the deduction or withholding of
                  Taxes, in which case 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 such deduction or withholding, the
                  Agent 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.

            8.2.2 Without prejudice to the provisions of Clause 8.2.1, if any
                  Lender 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 Lending Branch by the jurisdiction in which it
                  is incorporated or in which its Lending Branch is located or
                  any other tax existing and applicable on the Signing Date
                  under the laws of any jurisdiction) or otherwise on or in
                  relation to any sum received or receivable hereunder by such
                  Lender or the Agent on its behalf (including, without
                  limitation, any sum received or receivable under this Clause
                  8) or any liability in respect of any such payment is
                  asserted, imposed, levied or assessed against such Lender or
                  the Agent on

                                       38
<PAGE>

                  its behalf, the Borrower shall, upon demand of the Agent,
                  indemnify such Lender or the Agent against such payment or
                  liability, together with any interest, penalties and expenses
                  payable or incurred in connection therewith other than
                  interest penalties and expenses that are otherwise imposed or
                  asserted on account of the bad faith or wilful neglect of such
                  Lender or Agent. If any Lender proposes to make a claim under
                  the provisions of this Clause 8.2.2 it shall certify to the
                  Borrower in reasonable detail within thirty (30) days (or such
                  longer period as any Lender may reasonably require) after
                  becoming aware of the event by reason of which it is entitled
                  to make its claim or claims the basis of its claim or claims,
                  such certificate to be conclusive, save for manifest error.

      8.3   PRODUCTION OF RECEIPTS FOR TAXES

            If the Borrower makes any payment hereunder in respect of which it
            is required by law to make any deduction or withholding, it shall
            pay the full amount 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 within thirty
            (30) days after it has made such payment to the applicable authority
            any original receipt issued by such authority evidencing the payment
            to such authority of all amounts so required to be deducted or
            withheld from such payment.

            If an additional payment is made under Clause 8.2.2 and any Lender
            or the Agent on its behalf determines that it has received or been
            granted a credit against or relief of or calculated with reference
            to the deduction or withholding giving rise to such additional
            payment, such Lender or the Agent shall, to the extent that it can
            do so without prejudice to the retention of the amount of such
            credit, relief, remission or repayment, pay to the Borrower such
            amount as such Lender or the Agent shall in its opinion have
            concluded to be attributable to the relevant deduction or
            withholding. Any such payment shall be conclusive evidence of the
            amount due to the Borrower hereunder and shall be accepted by the
            Borrower in full and final settlement of its rights of reimbursement
            hereunder in respect of such deduction or withholding. Nothing
            herein contained shall interfere with the right of any Lender and
            the Agent to arrange their respective tax affairs in whatever manner
            they think fit.

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<PAGE>

      8.4   MONEY OF ACCOUNT

            If any sum due from the Borrower under this Agreement or any other
            Security Document to which it may at any time be a party, 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 under such Security Document, order or judgment into
            another currency (the "SECOND CURRENCY") for the purpose of:

            8.4.1 making or filing a claim or proof against the Borrower;

            8.4.2 obtaining an order or judgment in any court or other tribunal;
                  or

            8.4.3 enforcing any order or judgment given or made in relation
                  thereto;

            the Borrower shall indemnify and hold harmless the Agent and each of
            the Lenders from and against any damages or losses suffered as a
            result of any discrepancy between (i) the rate of exchange used to
            convert the sum in question from the first currency into the second
            currency and (ii) the rate or rates of exchange at which each
            Lender, the Agent 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. The above indemnity shall constitute an
            obligation of the Borrower separate and independent from its other
            obligations and shall apply irrespective of any indulgence granted
            by the Agent or any of the Lenders.

      8.5   ACCOUNTS

            The Agent shall maintain in accordance with its usual practice
            accounts evidencing the amounts from time to time lent by and owing
            to each of the Lenders hereunder or under any of the other Security
            Documents. In any legal action or proceeding arising out of or in
            connection with this Agreement or any other Security Documents, the
            entries made in the accounts so maintained shall be prima facie
            evidence, save in the case of manifest error, of the existence and
            amounts of the obligations of the Borrower recorded therein.

      8.6   EARNINGS

            Provided no Event of Default or Possible Event of Default has
            occurred (following which the Agent shall (inter alia) be entitled
            to request the Owners to

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<PAGE>

            give notice pursuant to Clause 3 of the Earnings Assignments and
            apply the Earnings in accordance with Clause 14.1) the Earnings
            shall throughout the Security Period be at the free disposal of the
            Owners.

      8.7   CONTINUING SECURITY

            The security created by this Agreement and each of the other
            Security Documents shall be held by the Agent and/or the Lenders as
            a continuing security for the repayment of the Outstanding
            Indebtedness and the security so created shall not be satisfied by
            any intermediate payment or satisfaction of any part of the amount
            hereby or thereby secured or by any amendment of this Agreement or
            any of the other Security Documents. Such security shall be in
            addition to and shall not in any way be prejudiced or affected by
            any collateral or other security now or hereafter held by the Agent
            or the Lenders or any of them for all or any part of the amount
            hereby or thereby secured or any other right or remedy of the Agent
            or the Lenders or any of them under this Agreement or any of the
            other Security Documents, by operation of law or otherwise howsoever
            arising. All the powers arising from any and all such security may
            be exercised from time to time as the Agent or the Lenders or any of
            them may deem expedient.

      8.8   MITIGATION

            Without affecting the Borrower's obligations under Clause 8.2 the
            affected Lender shall take such reasonable steps as may be open to
            it to mitigate the effect of any tax withholding requirement. The
            reasonable costs of mitigating the effect shall be borne by the
            Borrower.

9     YIELD PROTECTION AND FORCE MAJEURE

      9.1   INCREASED COSTS

            9.1.1 If by reason of:

                  (a)   any change in law or in its interpretation or
                        administration; and/or

                  (b)   compliance with any request from or requirement of any
                        central bank or other fiscal, monetary or other
                        authority including but without limitation the Basle
                        Committee on Banking Regulations and Supervisory
                        Practices whether or not having the force of law:

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<PAGE>

                        (i)   any of the Lenders or an Associated Company incurs
                              a cost as a result of the relevant Lender
                              performing its obligations under this Agreement
                              and/or its advancing its Contribution hereunder;
                              or

                        (ii)  there is any increase in the cost to any of the
                              Lenders or an Associated Company of the relevant
                              Lender funding or maintaining all or any of the
                              advances comprised in a class of advances formed
                              by or including its Contribution advanced or to be
                              advanced by it hereunder; or

                        (iii) any of the Lenders or an Associated Company incurs
                              a cost as a result of the relevant Lender having
                              entered into and/or its assuming or maintaining
                              its commitment under this Agreement; or

                        (iv)  any of the Lenders or an Associated Company
                              becomes liable to make any payment on account of
                              Tax or otherwise (other than Tax on its overall
                              net income) on or calculated by reference to the
                              amount of the relevant Lender's Contribution
                              advanced or to be advanced hereunder and/or any
                              sum received or receivable by it hereunder; or

                        (v)   any of the Lenders or an Associated Company
                              suffers any decrease in its rate of return as a
                              result of any changes in the requirements relating
                              to capital ratios, monetary control ratios,
                              reserve assets, the payment of special deposits,
                              liquidity costs or other similar requirements
                              affecting that Lender or Associated Company,

                  except to the extent included in the Mandatory Cost then the
                  Borrower shall from time to time on demand pay to the Agent
                  for the account of the relevant Lender, Lenders, Associated
                  Company or Associated Companies amounts sufficient to
                  indemnify the relevant Lender, Lenders, Associated Company or
                  Associated Companies against, as the case may be, such cost,
                  such increased cost (or such proportion of such increased cost
                  as is in the

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<PAGE>

                  reasonable opinion of the relevant Lender, Lenders, Associated
                  Company or Associated Companies attributable to the funding or
                  maintaining of the relevant Lender or Lenders' Contribution(s)
                  hereunder) or such liability.

            9.1.2 A Lender affected by any provision of Clause 9.1.1 shall
                  promptly inform the Agent after becoming aware of the relevant
                  change or request and its possible results and the Agent
                  shall, as soon as reasonably practicable thereafter, notify
                  the Borrower of the change or request and its possible
                  results. Without affecting the Borrower's obligations under
                  Clause 9.1.1 and in consultation with the Agent, the affected
                  Lender will then take all such reasonable steps as may be open
                  to it to mitigate the effect of the change or request (for
                  example (if then possible) by changing its Lending Branch or
                  transferring some or all of its rights and obligations under
                  this Agreement to another financial institution reasonably
                  acceptable to the Agent and after consultation with the
                  Borrower). The reasonable costs of mitigating the effect of
                  any such change shall be borne by the Borrower save where such
                  costs are of an internal administrative nature and are not
                  incurred in dealings by any Lender with third parties.

      9.2   FORCE MAJEURE

            Where the Agent or any Lender (the "NON-PERFORMING PARTY") is
            prevented from performing any of its obligations under this
            Agreement by reason of Force Majeure this Agreement shall remain in
            effect but the Non-Performing Party's relevant obligations shall be
            suspended for so long as the Force Majeure continues and to the
            extent that the Non-Performing Party is so prevented, PROVIDED THAT:

            9.2.1 the suspension of performance is of no greater scope and of no
                  longer duration than is required by the Force Majeure;

            9.2.2 the obligations of the Non-Performing Party shall not be
                  excused as a result of the Force Majeure; and

            9.2.3 in respect of the suspension of the Non-Performing Party's
                  obligations:

                  (a)   the Non-Performing Party gives the Agent prompt written
                        notice which the Agent shall forthwith upon receipt send
                        to the Borrower

                                       43
<PAGE>

                        describing the circumstances of Force Majeure (including
                        the nature of the occurrence, its expected duration and
                        the effects of the Force Majeure on the ability of the
                        Non-Performing Party to perform its relevant
                        obligations), and continues to furnish weekly reports
                        with respect thereto during the period of Force Majeure;

                  (b)   the Non-Performing Party uses all reasonable efforts to
                        remedy its inability to perform and to mitigate the
                        effects of the Force Majeure; and

                  (c)   as soon as reasonably possible after the cessation of
                        the Force Majeure the Non-Performing Party shall notify
                        the Agent (who shall notify the Borrower) in writing of
                        such cessation and shall resume performance of its
                        obligations under this Agreement if such resumption is
                        then possible.

10    REPRESENTATIONS AND WARRANTIES

      10.1  DURATION

            The representations and warranties in Clause 10.2 and Clause 10.3
            shall survive the execution of this Agreement and shall be deemed to
            be repeated, with reference mutatis mutandis to the facts and
            circumstances subsisting, as if made on each day until the Borrower
            has no remaining obligations, actual or contingent, under or
            pursuant to this Agreement or any of the other Security Documents.

      10.2  REPRESENTATIONS AND WARRANTIES

            The Borrower represents and warrants to the Agent and each of the
            Lenders that:

            10.2.1  STATUS Each Obligor is a corporation duly organised,
                    constituted and validly existing under the laws of the
                    country of its incorporation, possessing perpetual corporate
                    existence, the capacity to sue and be sued in its own name
                    and the power to own and charge its assets and carry on its
                    business as it is now being conducted.

            10.2.2  POWERS AND AUTHORITY Each of the Obligors has the power to
                    enter into and perform this Agreement and those of the other
                    Security Documents to which it is a party and the
                    transactions contemplated hereby and thereby

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<PAGE>

                    and has taken all necessary action to authorise the entry
                    into and performance of this Agreement and such other
                    Security Documents and such transactions.

            10.2.3  LEGAL VALIDITY This Agreement constitutes legal, valid and
                    binding obligations of the Borrower enforceable in
                    accordance with its terms and in entering into this
                    Agreement and borrowing the Facility, the Borrower is acting
                    on its own account. Each other Transaction Document
                    constitutes (or will constitute when executed) legal, valid
                    and binding obligations of each Obligor expressed to be a
                    party thereto enforceable in accordance with their
                    respective terms.

            10.2.4  NON-CONFLICT WITH LAWS The entry into and performance of
                    this Agreement and the other Transaction Documents and the
                    transactions contemplated hereby and thereby do not and will
                    not conflict with:

                    (a) any law or regulation or any official or judicial order;
                        or

                    (b) the constitutional documents of any Obligor; or

                    (c) any agreement or document to which any Obligor is a
                        party or which is binding upon such Obligor or any of
                        its assets,

                    nor result in the creation or imposition of any Encumbrance
                    on an Obligor or its assets pursuant to the provisions of
                    any such agreement or document.

            10.2.5  NO DEFAULT Save as disclosed in the Disclosure Letter, no
                    event has occurred which constitutes a default under or in
                    respect of any Transaction Document to which any Obligor is
                    a party or by which any Obligor may be bound (including
                    (inter alia) this Agreement) and no event has occurred
                    which, with the giving of notice, lapse of time,
                    determination of materiality or other condition might
                    constitute a default under or in respect of any such
                    Transaction Document and no event has occurred which
                    constitutes a default under or in respect of any agreement
                    or document to which any Obligor is a party or by which any
                    Obligor may be bound to an extent or in a manner which might
                    have a material adverse effect on its business, assets or
                    financial condition and no event has

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                    occurred which, with the giving of notice, lapse of time,
                    determination of materiality or other condition might
                    constitute a default under or in respect of any such
                    agreement or document.

            10.2.6  CONSENTS Except for the prior consent of the Bermuda
                    Monetary Authority for the granting of the security interest
                    over the shares comprised in the Charged Property (as
                    defined in the Charge in respect of Norwegian Spirit) and
                    the transfer and registration of the shares comprised in the
                    said Charged Property to or in the name of the Agent or its
                    nominee under clause 9.2.4 of the said Charge, for the
                    filing of those Security Documents which require
                    registration in the Companies Registries in the Isle of Man,
                    England and Wales, the United States of America and/or
                    Bermuda, which filing must be completed within one (1) month
                    and twenty one (21) days respectively of the execution of
                    the relevant Security Document(s) in the case of the Isle of
                    Man and England and Wales, and for the registration of the
                    Mortgages through the Bahamas Maritime Authority and the US
                    Coast Guard National Vessel Documentation Center
                    respectively, all authorisations, approvals, consents,
                    licences, exemptions, filings, registrations, notarisations
                    and other matters, official or otherwise, required in
                    connection with the entry into, performance, validity and
                    enforceability of this Agreement and each of the other
                    Transaction Documents and the transactions contemplated
                    thereby have been obtained or effected and are in full force
                    and effect.

            10.2.7  ACCURACY OF INFORMATION All information furnished by any
                    Obligor relating to the business and affairs of any Obligor
                    in connection with this Agreement and the other Transaction
                    Documents was and remains true and correct in all material
                    respects and there are no other material facts or
                    considerations the omission of which would render any such
                    information misleading.

            10.2.8  FULL DISCLOSURE Each Obligor has fully disclosed in writing
                    to the Agent all facts relating to each Obligor which it
                    knows or should reasonably know and which might reasonably
                    be expected to influence the Lenders in deciding whether or
                    not to enter into this Agreement.

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            10.2.9  NO ENCUMBRANCES None of the assets or rights of any Obligor
                    is subject to any Encumbrance except Permitted Liens.

            10.2.10 PARI PASSU OR PRIORITY STATUS The claims of the Agent and
                    the Lenders against the Borrower under this Agreement will
                    rank at least pari passu with the claims of all unsecured
                    creditors of the Borrower (other than claims of such
                    creditors to the extent that they are statutorily preferred)
                    and in priority to the claims of any creditor of the
                    Borrower who is also an Obligor.

            10.2.11 SOLVENCY The Borrower is and shall remain, after the advance
                    to it of the Facility or any of it, solvent in accordance
                    with the laws of Bermuda and the United Kingdom and in
                    particular with the provisions of the United Kingdom's
                    Insolvency Act 1986 (as from time to time amended) and the
                    requirements thereof.

            10.2.12 WINDING-UP, ETC. Neither the Borrower nor any other Obligor
                    has taken any corporate action nor have any other steps been
                    taken or legal proceedings been started or (to the best of
                    its knowledge and belief) threatened against any of them for
                    the winding-up, dissolution or for the appointment of a
                    liquidator, administrator, receiver, administrative
                    receiver, trustee or similar officer of any of them or any
                    or all of their assets or revenues nor have either sought
                    any other relief under any applicable insolvency or
                    bankruptcy law.

            10.2.13 ACCOUNTS The consolidated audited accounts of the NCLC Group
                    for the period ending on 31 December of each financial year
                    during the currency of this Agreement (which accounts will
                    be prepared in accordance with US GAAP) will fairly
                    represent the financial condition of the NCLC Group as shown
                    in such audited accounts.

            10.2.14 LITIGATION Save as disclosed in writing to the Agent prior
                    to the Signing Date by way of the Disclosure Letter, no
                    litigation, arbitration or administrative proceedings are
                    current or pending or, to its knowledge, threatened, which
                    might, if adversely determined, have a material adverse
                    effect on the business, assets or financial condition of any
                    Obligor. For the avoidance of doubt, the disclosure of any
                    such litigation, arbitration or

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                    administrative proceedings after the Signing Date shall not
                    be deemed to be a fact and circumstance subsisting at any
                    time that this representation is deemed to be repeated
                    pursuant to Clause 10.1.

            10.2.15 TAX LIABILITIES The NCLC Group has complied with all
                    taxation laws in all jurisdictions in which it is subject to
                    Taxation and has paid all Taxes due and payable by it; no
                    material claims are being asserted against it with respect
                    to Taxes, which might, if such claims were successful, have
                    a material adverse effect on its business, assets or
                    financial condition.

            10.2.16 OWNERSHIP OF ASSETS Each member of the NCLC Group has good
                    and marketable title to all its assets which is reflected in
                    the audited accounts referred to in Clause 10.2.13.

            10.2.17 NO IMMUNITY None of the Obligors nor any of their respective
                    assets enjoys any right of immunity (sovereign or otherwise)
                    from set-off, suit or execution in respect of their
                    obligations under this Agreement or any of the other
                    Transaction Documents or by any relevant or applicable law.

            10.2.18 TAXES ON PAYMENTS As at the Signing Date all amounts payable
                    by them hereunder may be made free and clear of and without
                    deduction for or on account of any Taxation.

            10.2.19 PLACE OF BUSINESS None of the Obligors has a place of
                    business in any jurisdiction (except as already disclosed)
                    which requires any of the Security Documents to be filed or
                    registered in that jurisdiction to ensure the validity of
                    the Security Documents to which it is a party.

            10.2.20 OWNERSHIP OF SHARES All the authorised and issues shares in
                    Norwegian Spirit, Norwegian Star and NCL (Bahamas) are
                    legally and beneficially owned by NCL International, all the
                    authorised and issued shares in Pride of Aloha and NCL
                    America are legally and beneficially owned by NCL America
                    Holdings, all the authorised and issued shares in NCL
                    International and NCL America Holdings are legally and
                    beneficially owned by Arrasas and all the authorised and
                    issued shares in Arrasas are legally and beneficially owned
                    by the Borrower and such structure shall remain so
                    throughout the Security Period. Further, no Event of Default

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<PAGE>

                    has occurred under Clause 13.1.16 in respect of the
                    ownership and/or control of the shares in the Borrower.

            10.2.21 COMPLETENESS OF DOCUMENTS The copies of the MOA, the
                    Management Agreements, the Sub-Agency Agreement and any
                    other relevant third party agreements delivered to the Agent
                    are true and complete copies of each such document
                    constituting valid and binding obligations of the parties
                    thereto enforceable in accordance with their respective
                    terms and no amendments thereto or variations thereof have
                    been agreed nor has any action been taken by the parties
                    thereto which would in any way render such document
                    inoperative or unenforceable.

            10.2.22 NO UNDISCLOSED COMMISSIONS There are and will be no
                    commissions, rebates, premiums or other payments by or to or
                    on account of any Obligor, their shareholders or directors
                    in connection with the transaction as a whole other than as
                    disclosed to the Agent in writing.

            10.2.23 ENVIRONMENT Each of the Obligors:

                    (a) is in compliance with all applicable federal, state,
                        local, foreign and international laws, regulations,
                        conventions and agreements relating to pollution
                        prevention or protection of human health or the
                        environment (including, without limitation, ambient air,
                        surface water, ground water, navigable waters, water of
                        the contiguous zone, ocean waters and international
                        waters), including without limitation, laws,
                        regulations, conventions and agreements relating to:

                        (i)   emissions, discharges, releases or threatened
                              releases of chemicals, pollutants, contaminants,
                              wastes, toxic substances, hazardous materials,
                              oil, hazard substances, petroleum and petroleum
                              products and by-products ("MATERIALS OF
                              ENVIRONMENTAL CONCERN"); or

                        (ii)  the manufacture, processing, distribution, use,
                              treatment, storage, disposal, transport or
                              handling of

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<PAGE>

                              Materials of Environmental Concern (such laws,
                              regulations, conventions and agreements the
                              "ENVIRONMENTAL LAWS");

                    (b) has all permits, licences, approvals, rulings,
                        variances, exemptions, clearances, consents or other
                        authorisations required under applicable Environmental
                        Laws ("ENVIRONMENTAL APPROVALS") and are in compliance
                        with all Environmental Approvals required to operate its
                        business as presently conducted or as reasonably
                        anticipated to be conducted;

                    (c) has not received any notice, claim, action, cause of
                        action, investigation or demand by any other person,
                        alleging potential liability for, or a requirement to
                        incur, investigatory costs, clean-up costs, response
                        and/or remedial costs (whether incurred by a
                        governmental entity or otherwise), natural resources
                        damages, property damages, personal injuries, attorney's
                        fees and expenses or fines or penalties, in each case
                        arising out of, based on or resulting from:

                        (i)   the presence or release or threat of release into
                              the environment of any Material of Environmental
                              Concern at any location, whether or not owned by
                              such person; or

                        (ii)  circumstances forming the basis of any violation,
                              or alleged violation, of any Environmental Law or
                              Environmental Approval ("ENVIRONMENTAL CLAIM");
                              and

                    there are no circumstances that may prevent or interfere
                    with such full compliance in the future.

                    There is no Environmental Claim pending or threatened
                    against any of the Obligors.

                    There are no past or present actions, activities,
                    circumstances, conditions, events or incidents, including,
                    without limitation, the release, emission, discharge or
                    disposal of any Material of Environmental Concern, that
                    could form the basis of any Environmental Claim against any
                    of the Obligors.

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<PAGE>

            10.2.24 MONEY LAUNDERING Any borrowing by the Borrower hereunder,
                    and the performance of its obligations hereunder and under
                    the other Security Documents, will be for its own account
                    and will not involve any breach by it of any law or
                    regulatory measure relating to "money laundering" as defined
                    in Article 1 of the Directive (91/308/EEC) of the Council of
                    the European Communities.

11    UNDERTAKINGS

      11.1  DURATION

            The undertakings in this Clause 11 shall survive the execution of
            this Agreement.

      11.2  INFORMATION

            11.2.1 The Borrower will provide to the Agent (or will procure the
                   provision of):

                    (a)  as soon as practicable (and in any event within one
                         hundred and twenty (120) days after the close of each
                         of its financial years) a Certified Copy of its
                         Accounts (commencing with the audited accounts made up
                         to 31 December 2004);

                    (b)  as soon as practicable (and in any event within forty
                         five (45) days after the close of each quarter of each
                         financial year) a Certified Copy of the unaudited
                         consolidated accounts of the NCLC Group for that
                         quarter (commencing with the unaudited accounts made up
                         to 30 June 2004);

                    (c)  as soon as practicable (and in any event within forty
                         five (45) days after the close of each quarter of each
                         financial year), beginning with the quarter ending 30
                         June 2004, quarterly cash flow projections on a
                         consolidated basis of the NCLC Group showing on a
                         monthly basis advance ticket sales (for at least twelve
                         (12) months following the date of such statement) for
                         the NCLC Group, together with a certificate of the NCLC
                         Group's chief financial officer stating that no Event
                         of Default or Possible Event of Default has occurred
                         and is continuing, or setting forth in detail any such
                         Event of Default or Possible Event of Default and any

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<PAGE>

                  steps being taken by the Borrower or any other Obligor to cure
                  the same;

            (d)   as soon as practicable (and in any event not later than 31
                  January of each financial year):

                  (i)   a budget for the NCLC Group for such new financial year
                        including a twelve (12) month liquidity budget for such
                        new financial year; and

                  (ii)  updated financial projections of the NCLC Group for at
                        least the next five (5) years (including an income
                        statement and projected results for the operation of the
                        vessels owned and/or operated by any member of the NCLC
                        Group) and an outline of the assumptions supporting such
                        budget and financial projections and details of any
                        scheduled dry-docking of any of the vessels owned and/or
                        operated by companies in the NCLC Group during such new
                        financial year;

            (e)   within thirty (30) days of the end of each of the second and
                  fourth financial quarters of each financial year of the
                  Borrower and at such other times as the Agent may from time to
                  time reasonably require, a valuation of each of the Vessels
                  obtained in accordance with the provisions of Clause 11.17;

            (f)   as soon as practicable (and in any event within forty five
                  (45) days after the close of each quarter of its financial
                  year) a statement signed by the NCLC Group's chief financial
                  officer in the form of Schedule 6 (commencing with the second
                  quarter of the financial year ending 31 December 2004) and
                  such other information as the Agent may request;

            (g)   promptly, such further information in its possession or
                  control regarding its financial condition and operations and
                  those of any company in the NCLC Group as the Agent may
                  request; and

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<PAGE>

            (h)   details of any material litigation, arbitration or
                  administrative proceedings which affect any Obligor as soon as
                  the same are instituted and served, or, to the knowledge of
                  the Borrower, threatened (and for this purpose proceedings
                  shall be deemed to be material if they involve a claim in an
                  amount exceeding five million Dollars (USD5,000,000) or the
                  equivalent in another currency).

            All accounts required under this Clause 11.2 shall be prepared in
            accordance with US GAAP and shall fairly represent the financial
            condition of the relevant company.

      11.3  FINANCIAL UNDERTAKINGS

            The Borrower will ensure that:

            11.3.1 at all times the minimum Cash Balance will be not less than
                   fifty million Dollars (USD50,000,000);

            11.3.2 as at 31 December 2004 and as at the end of each subsequent
                   financial quarter either:

                  (a)   the ratio of Consolidated EBITDA to Consolidated Debt
                        Service for the NCLC Group as at the end of the relevant
                        financial quarter, computed for the period of the four
                        (4) consecutive financial quarters ending at the end of
                        the relevant financial quarter, shall not be less than:

                        (i)   for the financial quarter ending on 31 December
                              2004, one point two (1.2) to one (1.0); and

                        (ii)  for each subsequent financial quarter, one point
                              two five (1.25) to one (1.0); or

                  (b)   the NCLC Group has maintained a minimum Cash Balance
                        during such period of twelve (12) months ending as at
                        the end of the relevant financial quarter in an amount
                        which is not less than whichever is the greater of:

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<PAGE>

                        (i)   one hundred million Dollars (USD100,000,000); and

                        (ii)  seven point five per cent (7.5%) of Total Net
                              Funded Debt,

                        as at the end of the relevant financial quarter and each
                        of the three (3) preceding financial quarters; and

            11.3.3 as at 31 December 2004 and as at the end of each subsequent
                   financial quarter, the ratio of Total Net Funded Debt to
                   Total Capitalisation of the NCLC Group shall not exceed:

                  (a)   nought point six five (0.65) to one (1.0) for financial
                        quarters ending on or before 31 December 2007; and

                  (b)   nought point six (0.6) to one (1.0) for each subsequent
                        financial quarter.

                  Amounts available for drawing under the Facility or any other
                  revolving or other credit facilities of the NCLC Group which
                  remain undrawn at the time of the relevant calculation shall
                  not be counted as cash or indebtedness for the purposes of
                  this ratio.

            11.3.4 Save as specified in Clause 11.3.2, the ratios referred to
                   in this Clause 11.3 will be measured on a quarterly basis
                   by reference to the consolidated accounts of the NCLC
                   Group.

      11.4  DIVIDENDS

            11.4.1 During any financial year of the Borrower until the date on
                   which the Borrower becomes a listed company on an Approved
                   Stock Exchange (on which date the restriction contained in
                   this Clause 11.4.1 shall cease to apply), the Borrower shall
                   not and shall procure that no other member of the NCLC Group
                   shall, pay any dividends or make any other distributions in
                   respect of its share capital to any person which during any
                   financial year of the Borrower in aggregate exceeds fifty per
                   cent (50%) of the Consolidated Net Income (if positive) of
                   the NCLC Group for such financial year PROVIDED HOWEVER THAT
                   (whether before or after the Borrower becomes a listed
                   company on an Approved Stock Exchange)

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<PAGE>

                   the NCLC Group shall not be entitled to pay any dividend or
                   make any distribution in respect of any of its share capital
                   if an Event of Default has occurred and is continuing or
                   would occur as a result of the payment of such dividend or
                   the making of such distribution and shall provide the Agent
                   with a certificate signed by the chief financial officer of
                   the NCLC Group confirming that no Event of Default has
                   occurred and is continuing or would occur as a result of the
                   payment of a dividend or the making of a distribution before
                   such dividend is paid or distribution is made.

            11.4.2 Subject to Clause 11.4.1, the Borrower will procure that any
                   dividends or other distributions and interest paid or payable
                   in connection therewith received by NCL International, NCL
                   America Holdings and/or Arrasas will be paid to the Borrower
                   by way of dividend promptly on receipt.

      11.5  NOTIFICATION OF DEFAULT

            The Borrower will notify the Agent of any Event of Default or
            Possible Event of Default forthwith upon any Obligor becoming aware
            of the occurrence thereof. Upon the Agent's request from time to
            time the Borrower will issue a certificate stating whether any
            Obligor is aware of the occurrence of any Event of Default or
            Possible Event of Default.

      11.6  CONSENTS AND REGISTRATIONS

            The Borrower will procure that (and will promptly furnish Certified
            Copies to the Agent of) all such authorisations, approvals,
            consents, licences and exemptions as may be required under any
            applicable law or regulation to enable it or any Obligor to perform
            its obligations under, and ensure the validity or enforceability of,
            each of the Transaction Documents are obtained and promptly renewed
            from time to time and will procure that the terms of the same are
            complied with at all times. Insofar as such filings or registrations
            have not been completed on or before the earlier of the Drawdown
            Date and the first Advance Date the Borrower will procure the filing
            or registration within applicable time limits of each Security
            Document which requires filing or registration together with all
            ancillary documents required to preserve the priority and
            enforceability of the Security Documents.

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<PAGE>

      11.7  NEGATIVE PLEDGE

            The Borrower will not create or permit to subsist any Encumbrance on
            the whole or any part of its or the Owners' present or future
            assets, except for the following:

            11.7.1 Encumbrances created with the prior consent of the Lenders;
                   or

            11.7.2 Permitted Liens.

      11.8  DISPOSALS

            Except with the prior consent of all the Lenders, the Borrower shall
            not (and will procure that no other company in the NCLC Group
            shall), either in a single transaction or in a series of
            transactions whether related or not and whether voluntarily or
            involuntarily, sell, transfer, lease or otherwise dispose of all or
            a substantial part of its assets except that the following disposals
            shall not be taken into account:

            11.8.1 disposals made in the ordinary course of trading of the
                   disposing entity (excluding disposal of ships) including
                   without limitation, the payment of cash as consideration for
                   the purchase or acquisition of any asset or service or in the
                   discharge of any obligation incurred for value in the
                   ordinary course of trading;

            11.8.2 disposals of cash raised or borrowed for the purposes for
                   which such cash was raised or borrowed;

            11.8.3 disposals of assets in exchange for other assets comparable
                   or superior as to type and value; and

            11.8.4 a vessel owned by any member of the NCLC Group (other than
                   the Owners) may be sold provided such sale is on a willing
                   seller willing buyer basis at or about market rate and at
                   arm's length subject always to the provisions of any loan
                   documentation for the financing of such vessel.

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<PAGE>

      11.9  PURCHASES

            Except with the prior consent of all the Lenders, the Borrower shall
            not (and will procure that no other company in the NCLC Group
            shall), either in a single transaction or in a series of
            transactions whether related or not purchase any asset:

            11.9.1 other than on arm's length terms;

            11.9.2 which is not for its use in its ordinary course of business;
                   or

            11.9.3 the cost of which is more than its fair market value at the
                   date of acquisition.

      11.10 CHANGE OF NAME OR BUSINESS

            Except with the prior consent of the Majority Lenders, the Borrower
            shall not change its name or make or threaten to make any
            substantial change in its business as presently conducted or carry
            on any other business which is substantial in relation to its
            business as presently conducted so as to affect, in the opinion of
            the Agent, the Borrower's ability to perform its obligations
            hereunder and shall not form any further subsidiaries and the
            Borrower will procure that the other Obligors continue, throughout
            the Security Period, to perform their current business activities
            PROVIDED THAT any new leisure or hospitality venture embarked upon
            by any member of the NCLC Group (other than the Borrower) shall not
            constitute a substantial change in its business.

      11.11 MERGERS

            Except with the prior consent of the Majority Lenders, the Borrower
            will not enter into any amalgamation, restructure, substantial
            reorganisation, merger, de-merger or consolidation or anything
            analogous to the foregoing nor will it acquire any equity, share
            capital or obligations of any corporation or other entity and will
            procure that no company in the NCLC Group (other than NCL
            International or NCL America Holdings) shall do so.

            However, the prior consent of the Majority Lenders shall not be
            required in respect of any reorganisation or restructure involving
            wholly owned (whether directly or indirectly) Subsidiaries of the
            Borrower only which does not imperil the security created by any of
            the Security Documents or affect the ability of any

                                       57
<PAGE>

            Obligor duly to perform any of its obligations under any Security
            Document to which it may be a party at any time, provided that the
            Borrower has first consulted with the Agent with regard to the
            proposed consolidation, reorganisation or restructure, provides
            evidence satisfactory to the Agent that the Borrower will be in
            compliance with the financial undertakings contained in Clause 11.3
            after any such reorganisation or restructure SUBJECT TO:

            11.11.1 Clause 10.2.20; and

            11.11.2 the cash flows from which the Outstanding Indebtedness will
                    be repaid remaining comparable as to amount (relative to the
                    amount of the Outstanding Indebtedness) and accessibility
                    for the Borrower to the cash flows as at the Signing Date,
                    in the sole discretion of the Lenders.

            For the avoidance of doubt, if the Agent is satisfied the Borrower
            will be in compliance with the financial undertakings contained in
            Clause 11.3 after the acquisition by a member of the NCLC Group of
            any shares in any company or corporation, such acquisition shall not
            in itself constitute a merger or consolidation with such company or
            corporation requiring the consent of the Majority Lenders under this
            Clause 11.11.

      11.12 MAINTENANCE OF STATUS AND FRANCHISES

            The Borrower will do all such things as are necessary to maintain
            its corporate existence in good standing and will ensure that it has
            the right and is duly qualified to conduct its business as it is
            conducted in all applicable jurisdictions and will obtain and
            maintain all franchises and rights necessary for the conduct of its
            business.

      11.13 FINANCIAL RECORDS

            The Borrower will keep proper books of record and account, in which
            proper and correct entries shall be made of all financial
            transactions and the assets, liabilities and business of the
            Borrower in accordance with US GAAP.

      11.14 SUBORDINATION OF INDEBTEDNESS

            The Borrower shall procure that any and all indebtedness (and in
            particular with any other Obligor) is at all times fully
            subordinated to the Security Documents

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<PAGE>

            and the obligations of the Borrower hereunder. Upon the occurrence
            of an Event of Default or a Possible Event of Default, the Borrower
            shall not make any repayments of principal, payments of interest or
            of any other costs, fees, expenses or liabilities arising from or
            representing such indebtedness.

      11.15 GUARANTEES

            Save as contemplated by this Agreement, the Borrower will procure
            that none of the owners of mortgaged vessels in the NCLC Fleet will
            issue or enter into any guarantee or indemnity or otherwise become
            directly or contingently liable for the obligations of any other
            person, firm or corporation, otherwise than in the ordinary course
            of its business as owner of its vessel.

            Subject to the above provision of this Clause, the Borrower will
            not, and will procure that no member of the NCLC Group will, issue
            or enter into any guarantee or indemnity or otherwise become
            directly or contingently liable for the obligations of any other
            person, firm or corporation without first notifying the Agent with
            full details of the amount(s) and the period(s) of the guarantee(s)
            or indemnity(ies), if such is or are in excess of (in aggregate (if
            applicable)) the amount of twenty million Dollars (USD20,000,000).

      11.16 FURTHER ASSURANCE

            The Borrower will, from time to time on being required to do so by
            the Agent, do or procure the doing of all such acts and/or execute
            or procure the execution of all such documents in a form
            satisfactory to the Agent as the Agent may reasonably consider
            necessary for giving full effect to any of the Transaction Documents
            or securing to the Agent and the Lenders the full benefit of the
            rights, powers and remedies conferred upon the Agent or the Lenders
            in any such Transaction Document.

      11.17 VALUATION OF THE VESSELS

            11.17.1 Each of the Vessels shall for the purposes of this Clause
                    11.17 be valued in Dollars by two (2) independent firms of
                    shipbrokers or shipvaluers nominated by the Borrower and
                    approved by the Agent (acting on the instructions of the
                    Majority Lenders) or failing such nomination and approval,
                    appointed by the Agent (acting on such instructions) in its
                    sole

                                       59
<PAGE>

                    discretion (each such valuation to be made without, unless
                    reasonably required by the Agent, physical inspection and on
                    the basis of a sale for prompt delivery for cash at arm's
                    length on normal commercial terms as between a willing buyer
                    and a willing seller without taking into account the benefit
                    of any charterparty or other engagement concerning the
                    Vessel). Such valuations shall be obtained each January and
                    July and at such other times as the Agent may from time to
                    time reasonably require PROVIDED HOWEVER that if the
                    Borrower has requested the drawdown of the Term Loan
                    Facility or the advance of a Drawing pursuant to Clause 2.3
                    and, at such time, such valuations are more than ninety (90)
                    days old, the Borrower shall, upon the Agent's request,
                    obtain new valuations at that time. The average of the
                    valuations shall constitute the value of the Vessel for the
                    purposes of this Clause 11.17.

            11.17.2 The Borrower shall procure that forthwith upon the issuance
                    of any valuation obtained pursuant to this Clause 11.17 a
                    copy thereof is sent directly to the Agent for review.

      11.18 MARGINAL SECURITY

            If at any time after the Signing Date the aggregate of the value of
            the Vessels as assessed in accordance with the provisions of Clause
            11.17 is less than one hundred and twenty five per cent (125%) of
            the outstanding amount of the aggregate of the Term Loan Facility,
            the Available Commitments and the Contributions to the Revolving
            Credit Facility, then the Borrower shall, upon notice from the
            Agent, within ten (10) Business Days either:

            11.18.1 provide the Agent with additional security acceptable to the
                    Majority Lenders such that the security value of the Vessels
                    and any additional security provided to the Agent hereunder
                    (at valuations reasonably estimated by the Agent from time
                    to time) is at least one hundred and twenty five per cent
                    (125%) of the aggregate of the Term Loan Facility, the
                    Available Commitments and the Contributions to the Revolving
                    Credit Facility; or

            11.18.2 prepay the Term Loan Facility and reduce the Available
                    Commitments by such amounts pro rata that the value of the
                    security is at least one hundred

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                    and twenty five per cent (125%) of the aggregate of the Term
                    Loan Facility, the Available Commitments and the
                    Contributions to the Revolving Credit Facility.

      11.19 NO DEALINGS WITH MASTER AGREEMENTS

            The Borrower shall not assign, novate or encumber or in any other
            way transfer any of its rights or obligations under any Master
            Agreement, nor enter into any interest rate exchange or hedging
            agreement with anyone other than a Lender or its Affiliate.

      11.20 FINANCIAL YEAR END

            The Borrower shall not change its financial year end.

      11.21 MAINTENANCE AND INSURANCE

            The Borrower will keep, and will procure that each member of the
            NCLC Group keeps, all of its real property and assets properly
            maintained and in existence and will comprehensively insure, and
            will procure that each member of the NCLC Group comprehensively
            insures, for its full reinstatement cost all of its property which
            is of an insurable nature in such name as the Agent shall in writing
            approve and on such terms, for such amounts and of such types as
            would be effected by prudent companies carrying on business similar
            to the Borrower or its Subsidiary (as the case may be). In
            particular but without limitation, the Borrower shall procure that
            each of the Owners maintains and insures its Vessel in accordance
            with the provisions of the relevant Mortgage.

12    RIGHTS OF THE AGENT AND THE LENDERS

      12.1  NO DEROGATION OF RIGHTS

            Any rights conferred on the Agent and the Lenders or any of them by
            this Agreement or any other Security Document shall be in addition
            to and not in substitution for or in derogation of any other right
            which the Agent and the Lenders or any of them might at any time
            have to seek from the Borrower or any other person for payment of
            sums due from the Borrower or indemnification against liabilities as
            a result of the Borrower's default in payment of sums due from it
            under this Agreement or any other Security Document.

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      12.2  ENFORCEMENT OF REMEDIES

            None of the Agent or the Lenders shall be obliged before taking
            steps to enforce any rights conferred on it or them by this Clause
            or exercising any of the rights, powers and remedies conferred on it
            or them hereby or by law:

            12.2.1 to take action or obtain judgment in any court against the
                   Borrower or any other person from whom it or they may seek
                   payment of any sum due from the Borrower under this
                   Agreement or any other Security Document;

            12.2.2 to make or file any claim in a bankruptcy, winding-up,
                   liquidation or re-organisation of the Borrower or any other
                   such person; or

            12.2.3 to enforce or seek to enforce any other rights it or they may
                   have against the Borrower or any other such person.

13    DEFAULT

      13.1  EVENTS OF DEFAULT

            Each of the events set out below is an Event of Default:

            13.1.1  NON-PAYMENT

                    The Borrower or any other Obligor does not pay on the due
                    date any amount of principal or interest of a Facility
                    (provided however that if any such amount is not paid when
                    due solely by reason of some error or omission on the part
                    of the bank or banks through whom the relevant funds are
                    being transmitted no Event of Default shall occur for the
                    purposes of this Clause 13.1.1 until the expiry of three (3)
                    Business Days following the date on which such payment is
                    due), or within three (3) days of the due date any other
                    amount, payable by it under any Security Document to which
                    it may at any time be a party, at the place and in the
                    currency in which it is expressed to be payable.

            13.1.2  BREACH OF OTHER OBLIGATIONS

                    (a) Any Obligor fails to comply with any other material
                        provision of any Security Document or there is any other
                        material breach in the

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                        sole opinion of the Agent of any of the Transaction
                        Documents and such failure (if in the opinion of the
                        Agent in its sole discretion it is capable of remedy)
                        continues unremedied for a period of thirty (30) days
                        from the date of its occurrence and in any such case as
                        aforesaid the Agent in its sole discretion considers
                        that such failure is or could reasonably be expected to
                        become materially prejudicial to the interests, rights
                        or position of the Lenders; or

                    (b) If there is a repudiation or termination of any
                        Transaction Document or if any of the parties thereto
                        becomes entitled to terminate or repudiate any of them
                        and evidences an intention so to do.

            13.1.3  MISREPRESENTATION

                    Any representation warranty or statement made or repeated
                    in, or in connection with, any Security Document or in any
                    accounts, certificate, statement or opinion delivered by or
                    on behalf of any Obligor thereunder or in connection
                    therewith is materially incorrect when made or would, if
                    repeated at any time hereafter by reference to the facts
                    subsisting at such time, no longer be materially correct.

            13.1.4  CROSS DEFAULT

                    (a) Any event of default occurs under any financial contract
                        or financial document relating to any Financial
                        Indebtedness of any member of the NCLC Group.

                    (b) Any such Financial Indebtedness or any sum payable in
                        respect thereof is not paid when due (after the expiry
                        of any applicable grace period(s)) whether by
                        acceleration or otherwise.

                    (c) Any Encumbrance over any assets of any member of the
                        NCLC Group becomes enforceable.

                    (d) Any other Financial Indebtedness of any member of the
                        NCLC Group is not paid when due or is or becomes capable
                        of being

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                        declared due prematurely by reason of default or any
                        security for the same becomes enforceable by reason of
                        default,

                    PROVIDED THAT:

                    (i)   No Event of Default will arise if the relevant
                          Financial Indebtedness is not accelerated or, if it is
                          accelerated but, in aggregate, the Financial
                          Indebtedness is less than five million Dollars
                          (USD5,000,000);

                    (ii)  Financial Indebtedness being contested by the Borrower
                          in good faith will be disregarded PROVIDED first that
                          full details of the dispute shall be submitted to the
                          Agent forthwith upon its occurrence and second if the
                          dispute remains unresolved for a period of one hundred
                          and fifty (150) days this Clause 13.1.4(ii) shall not
                          apply to that Financial Indebtedness; and

                    (iii) If at any time hereafter the Borrower or any other
                          member of the NCLC Group agrees to the incorporation
                          of a cross default provision into any financial
                          contract or financial document relating to any
                          Financial Indebtedness that is more onerous than this
                          Clause 13.1.4, then the Borrower shall immediately
                          notify the Agent and that cross default provision
                          shall be deemed to apply to this Agreement as if set
                          out in full herein with effect from the date of such
                          financial contract or financial document and during
                          the currency of that financial contract or financial
                          document.

            13.1.5  WINDING-UP

                    Any order is made or an effective resolution passed or other
                    action taken for the suspension of payments or dissolution,
                    termination of existence, liquidation, winding-up or
                    bankruptcy of any member of the NCLC Group.

            13.1.6  MORATORIUM OR ARRANGEMENT WITH CREDITORS

                    A moratorium in respect of all or any debts of any member of
                    the NCLC Group or a composition or an arrangement with
                    creditors of any member

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                    of the NCLC Group or any similar proceeding or arrangement
                    by which the assets of any member of the NCLC Group are
                    submitted to the control of its creditors is applied for,
                    ordered or declared or any member of the NCLC Group
                    commences negotiations with any one or more of its creditors
                    with a view to the general readjustment or rescheduling of
                    all or a significant part of its Financial Indebtedness.

            13.1.7  APPOINTMENT OF LIQUIDATORS ETC.

                    A liquidator, trustee, administrator, receiver, manager or
                    similar officer is appointed in respect of any member of the
                    NCLC Group or in respect of all or any substantial part of
                    the assets of any member of the NCLC Group and in any such
                    case such appointment is not withdrawn within thirty (30)
                    days (the "GRACE PERIOD") unless the Agent considers in its
                    sole discretion that the interest of the Lenders might
                    reasonably be expected to be adversely affected in which
                    event the Grace Period shall not apply.

            13.1.8  INSOLVENCY

                    Any member of the NCLC Group becomes or is declared
                    insolvent or is unable, or admits in writing its inability,
                    to pay its debts as they fall due or becomes insolvent
                    within the terms of any applicable law.

            13.1.9  LEGAL PROCESS

                    Any distress, execution, attachment or other process affects
                    the whole or any substantial part of the assets of any
                    member of the NCLC Group and remains undischarged for a
                    period of twenty one (21) days or any uninsured judgment in
                    excess of ten million Dollars (USD10,000,000) following
                    final appeal remains unsatisfied for a period of thirty (30)
                    days in the case of a judgment made in the United States of
                    America and otherwise for a period of sixty (60) days
                    PROVIDED THAT no Event of Default shall be deemed to have
                    occurred unless the distress, execution, attachment, other
                    process or judgment adversely affects any Obligor's ability
                    to meet any of its material obligations under this Agreement
                    or the other Security Documents or cause to occur any of the
                    events specified in

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                    sub-clauses 13.1.5 to 13.1.8 of this Clause (the
                    determination of which shall be in the Majority Lenders'
                    sole discretion).

            13.1.10 ANALOGOUS EVENTS

                    Anything analogous to or having a substantially similar
                    effect to any of the events specified in sub-clauses 13.1.5
                    to 13.1.9 of this Clause shall occur under the laws of any
                    applicable jurisdiction.

            13.1.11 CESSATION OF BUSINESS

                    Any member of the NCLC Group ceases to carry on all or a
                    substantial part of its business.

            13.1.12 REVOCATION OF CONSENTS

                    Any authorisation, approval, consent, licence, exemption,
                    filing, registration or notarisation or other requirement
                    necessary to enable any Obligor to comply with any of its
                    obligations under any of the Transaction Documents is
                    materially adversely modified, revoked or withheld or does
                    not remain in full force and effect and within ninety (90)
                    days of the date of its occurrence such event is not
                    remedied to the satisfaction of the Agent and the Agent
                    considers in its sole discretion that such failure is or
                    might be expected to become materially prejudicial to the
                    interests, rights or position of the Lenders PROVIDED THAT
                    the Borrower shall not be entitled to the aforesaid ninety
                    (90) day period if the modification, revocation or
                    withholding of the authorisation, approval or consent is due
                    to an act or omission of any Obligor and the Agent is
                    satisfied in its sole discretion that the Lenders' interests
                    might reasonably be expected to be materially adversely
                    affected.

            13.1.13 UNLAWFULNESS

                    At any time it is unlawful or impossible for any Obligor to
                    perform any of its obligations under any Security Document
                    to which it is a party or it is unlawful or impossible for
                    the Agent or any Lender to exercise any of its rights under
                    any of the Security Documents PROVIDED THAT no Event of
                    Default shall be deemed to have occurred (except where the

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                    unlawfulness or impossibility adversely affects any
                    Obligor's payment obligations under this Agreement and the
                    other Security Documents (the determination of which shall
                    be in the Agent's sole discretion) in which case the
                    following provisions of this Clause 13.1.13 shall not apply)
                    where the unlawfulness or impossibility prevents any Obligor
                    from performing its obligations (other than its payment
                    obligations under this Agreement and the other Security
                    Documents) and is cured within a period of twenty one (21)
                    days of the occurrence of the event giving rise to the
                    unlawfulness or impossibility and the relevant Obligor,
                    within the aforesaid period, performs its obligation(s) and
                    PROVIDED FURTHER THAT no Event of Default shall be deemed to
                    have occurred where the Agent and/or any relevant Lender
                    could, in its sole discretion, mitigate the consequences of
                    unlawfulness or impossibility in the manner described in
                    Clause 4.3 and/or Clause 5.9. The costs of mitigation shall
                    be determined in accordance with Clause 4.3 and/or Clause
                    5.9.

            13.1.14 INSURANCES

                    An Owner fails to insure its Vessel in the manner specified
                    in the relevant Mortgage or fails to renew the Insurances at
                    least ten (10) days prior to the date of expiry thereof and
                    produce prompt confirmation of such renewal to the Agent.

            13.1.15 TOTAL LOSS

                    If the Vessel shall become a Total Loss and the proceeds of
                    the Insurances in respect thereof shall not have been
                    received by the Agent within one hundred and fifty (150)
                    days after the date of the event giving rise to such Total
                    Loss.

            13.1.16 OWNERSHIP AND CONTROL OF THE BORROWER

                    If:

                    (a) at any time when the ordinary share capital of the
                        Borrower is not publicly listed on an Approved Stock
                        Exchange or at any time when a dividend is to be paid to
                        the existing shareholders of the Borrower by way of a
                        share issue pursuant to a public offering on

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                        an Approved Stock Exchange, the Lim Family together or
                        individually do not or will not, directly or indirectly,
                        control the Borrower and beneficially own, directly or
                        indirectly, at least fifty one per cent (51%) of the
                        issued share capital of, and equity interest in, the
                        Borrower; or

                    (b) at any time following the listing of the ordinary share
                        capital of the Borrower on an Approved Stock Exchange:

                        (i)   any individual or any Third Party:

                              (A) owns legally and/or beneficially and either
                                  directly or indirectly at least thirty three
                                  per cent (33%) of the ordinary share capital
                                  of the Borrower; or

                              (B) has the right or the ability to control either
                                  directly or indirectly the affairs of or the
                                  composition of the majority of the board of
                                  directors (or equivalent) of the Borrower,

                              and, at the same time as any of the events
                              described in paragraphs (A) or (B) of this Clause
                              have occurred and are continuing, the Lim Family
                              together or individually do not, directly or
                              indirectly, beneficially own, at least fifty one
                              per cent (51%) of the issued share capital of, and
                              equity interest in, the Borrower; or

                        (ii)  the Borrower ceases to be a listed company on an
                              Approved Stock Exchange without the prior written
                              consent of the Majority Lenders,

                    (and, for the purpose of this Clause 13.1.16 "CONTROL" of
                    any company, limited partnership or other legal entity (a
                    "BODY CORPORATE") by a member of the Lim Family, means that
                    one (1) or more members of the Lim Family has, directly or
                    indirectly, the power to direct the management and policies
                    of such a body corporate, whether through the ownership of
                    more than fifty per cent (50%) of the issued voting capital
                    of that body corporate or by contract, trust or other
                    arrangement).

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            13.1.17 DISPOSALS

                    If the Borrower or any other member of the NCLC Group shall
                    have concealed, removed, or permitted to be concealed or
                    removed, any part of its property, with intent to hinder,
                    delay or defraud its creditors or any of them, or made or
                    suffered a transfer of any of its property which may be
                    fraudulent under any bankruptcy, fraudulent conveyance or
                    similar law; or shall have made any transfer of its property
                    to or for the benefit of a creditor with the intention of
                    preferring such creditor over any other creditor.

            13.1.18 PREJUDICE TO SECURITY

                    Anything is done or suffered or omitted to be done by any
                    Obligor which in the reasonable opinion of the Agent would
                    or might be expected to imperil the security created by any
                    of the Security Documents.

            13.1.19 MATERIAL ADVERSE EFFECT

                    Any event or circumstance occurs which the Majority Lenders
                    believe has had or reasonably believe will have a Material
                    Adverse Effect.

            13.1.20 GOVERNMENTAL INTERVENTION

                    The authority of any member of the NCLC Group in the conduct
                    of its business is wholly or substantially curtailed by any
                    seizure or intervention by or on behalf of any authority and
                    within ninety (90) days of the date of its occurrence any
                    such seizure or intervention is not relinquished or
                    withdrawn and the Agent reasonably considers that the
                    relevant occurrence is or might be expected to become
                    materially prejudicial to the interests, rights or position
                    of the Lenders PROVIDED THAT the Borrower shall not be
                    entitled to the aforesaid ninety (90) day period if the
                    seizure or intervention executed by any authority is due to
                    an act or omission of any member of the NCLC Group and the
                    Agent is satisfied, in its sole discretion, that the
                    Lenders' interest might reasonably be expected to be
                    materially adversely affected.

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            13.1.21 MASTER AGREEMENT TERMINATION

                    A notice is given by a Lender or its Affiliate (as the case
                    may be) under section 6(a) of the relevant Master Agreement,
                    or by any person under section 6(b)(iv) of a Master
                    Agreement, in either case designating an Early Termination
                    Date for the purpose of the Master Agreement, or a Master
                    Agreement is for any other reason terminated, cancelled,
                    suspended, rescinded, revoked or otherwise ceases to remain
                    in full force and effect.

13.2  ACCELERATION

            13.2.1  On the occurrence of an Event of Default or a Possible
                    Event of Default and at any time thereafter whilst such
                    event shall be continuing the Agent may if a Drawing has not
                    yet been drawn down, by notice to the Borrower cancel the
                    obligations of the Lenders under this Agreement.

            13.2.2  On the occurrence of an Event of Default and at any time
                    thereafter whilst such event shall be continuing, if the
                    Term Loan Facility and/or a Drawing has been drawn down the
                    Agent may:

                   (a)    by notice to the Borrower declare the whole or any
                          part of the Facility due and repayable in
                          accordance with the terms of such notice whereupon
                          the same shall become due and repayable accordingly
                          together with all interest accrued thereon and all
                          other amounts payable hereunder and under any of
                          the other Security Documents; and/or

                   (b)    from time to time exercise all or any of its rights
                          under any of the Security Documents in such order
                          and in such manner as it shall deem appropriate;
                          and/or

                   (c)    at its sole discretion terminate or continue with
                          the Management Agreements and/or the Sub-Agency
                          Agreement.

13.3  DEFAULT INDEMNITY

      The Borrower shall on demand indemnify the Agent and the Lenders, without
      prejudice to any of their other rights under this Agreement and the other
      Security

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            Documents, against any loss or expense which the Agent or the
            Lenders shall certify as sustained or incurred by any of them as a
            consequence of:

            13.3.1  any default in payment by the Borrower of any sum under this
                    Agreement or any of the other Security Documents when due,
                    including, without limitation, any liability incurred by the
                    Agent and the Lenders by reason of any delay or failure of
                    the Borrower to pay any such sums;

            13.3.2  any break in funding (including without limitation
                    warehousing and other related costs) due to the occurrence
                    of any Event of Default or Possible Event of Default;

            13.3.3  any prepayment of the Facility or any part thereof being
                    made at any time for any reason; and/or

            13.3.4  the Term Loan Facility or a Drawing not being drawn for any
                    reason (excluding any default by the Agent or any Lender)
                    after the relevant Drawdown Notice has been given,

            including, in any such case, but not limited to, any loss or expense
            sustained or incurred in maintaining or funding a the Term Loan
            Facility or Drawing or in liquidating or re-employing deposits from
            third parties acquired to effect or maintain the Term Loan Facility
            or the Drawing and also any loss or expense (including without
            limitation warehousing and other related costs) incurred in
            connection with any Master Agreement.

      13.4  SET-OFF

            Following the occurrence of any Event of Default and for so long as
            the same is continuing, the Borrower irrevocably authorises the
            Agent and the Lenders to apply any credit balance to which the
            Borrower is entitled upon any account of the Borrower with any
            branch of any of the Agent and the Lenders in or towards
            satisfaction of any sum due to the Agent or any Lender hereunder but
            unpaid, and to combine any accounts of the Borrower for this
            purpose. If such set-off requires a credit balance in a currency
            other than Dollars to be transferred to an account maintained in
            connection herewith the transfer shall be effected by crediting to
            the account in question the amount of Dollars which the Agent or the
            Lender (as the case may be) could obtain by exchanging such currency
            for Dollars at the rate

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            of exchange at which its Lending Branch would, at the opening of
            business on the date on which the combination is effected, have sold
            the currency of that credit balance for Dollars for immediate
            delivery.

      13.5  MASTER AGREEMENT RIGHTS

            The rights conferred on the Agent and the Lenders by Clause 13.4
            shall be in addition to, and without prejudice to or limitation of,
            the rights of netting and set off conferred on the Lenders and/or
            their Affiliates by the Master Agreements. The Borrower acknowledges
            that none of the Lenders or its Affiliate (as the case may be) shall
            be under an obligation to make any payment to the Borrower under a
            Master Agreement if, at the time that payment becomes due, an Event
            of Default or a Possible Event of Default shall have occurred, or an
            Event of Default or Termination Event (as those terms are
            respectively defined in the Master Agreements) shall have occurred.

14    APPLICATION OF FUNDS

      14.1  TOTAL LOSS PROCEEDS/PROCEEDS OF SALE/EVENT OF DEFAULT MONIES

            In the event of a Vessel becoming a Total Loss or if a Vessel is
            sold or if an Event of Default has occurred then the Relevant
            Percentage of all Total Loss proceeds or proceeds of sale of the
            Vessel or any monies received by the Agent or any Lender under or
            pursuant to the Security Documents shall be held by the Agent and
            applied in the following manner and order:

            FIRSTLY     to the payment of all fees, expenses and charges
                        (including brokers' commissions), the expenses of any
                        sale, the expenses of retaining any attorney,
                        solicitors' fees, court costs and any other expenses or
                        advances made or incurred by the Agent or any Lender in
                        the protection of the Agent's and the Lender's rights or
                        the pursuance of its or their remedies hereunder and
                        under the other Security Documents or to any payments
                        whether voluntary or not which the Agent considers
                        advisable to protect its or their security and to
                        provide adequate indemnity against liens claiming
                        priority over or equality with the lien of all Security
                        Documents or any other Encumbrances;

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            SECONDLY    in or towards payment in such order as the Lenders may
                        require of any accrued (but unpaid) fees and interest
                        thereon to which the Lead Arrangers, the Co-Arrangers,
                        the Lenders and/or the Agent are entitled hereunder
                        and/or under the other Security Documents (other than
                        the Master Agreements) in connection with the Facility;

            THIRDLY     in or towards satisfaction of all interest accrued on
                        the Term Loan Facility and the Revolving Credit Facility
                        pro rata;

            FOURTHLY    in retention by the Agent in its discretion in a
                        suspense or impersonal interest bearing security
                        realised account of such sum as it considers appropriate
                        by way of security for the Outstanding Indebtedness
                        (other than the Master Agreement Liabilities) or for any
                        actual or contingent liability of the Lead Arrangers,
                        the Co-Arrangers, the Agent or the Lenders or any of
                        them in connection with the transactions herein
                        contemplated;

            FIFTHLY     in or towards payment of the Term Loan Facility and the
                        Revolving Credit Facility pro rata (whether or not then
                        due and payable);

            SIXTHLY     in or towards satisfaction of any other amounts due from
                        the Borrower to the Lead Arrangers, the Co-Arrangers,
                        the Agent or the Lenders under the Security Documents
                        (other than the Master Agreement Liabilities) using in
                        the discretion of the Agent the same order of
                        application as FIRSTLY to FIFTHLY;

            SEVENTHLY   in retention of such other sum or sums as the Agent may
                        require as security for any further monies which may
                        reasonably be expected to become due and payable to the
                        Lead Arrangers, the Co-Arrangers, the Agent and/or the
                        Lenders under this Agreement or any of the other
                        Security Documents and which the assigned Earnings may
                        be insufficient to satisfy;

            EIGHTHLY    in or towards satisfaction of the Master Agreement
                        Liabilities in the same order in which the Transactions
                        were entered into by the

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                        Borrower with the Lenders and/or their Affiliates (as
                        the case may be); and

            NINTHLY     the balance, if any, in payment to the Borrower or
                        whomsoever shall then be entitled thereto.

               In the event of the proceeds being insufficient to pay the
               amounts referred to above the Agent shall be entitled to collect
               the balance from the Borrower.

      14.2  GENERAL FUNDS

            Any other monies received by or in the possession of the Agent or
            any Lender under or pursuant to the Security Documents which are
            expressed hereunder and/or under the Security Documents to be
            distributed in accordance with the provisions of this Clause or
            where no express provisions are made for disposal shall be applied
            in the discretion of the Agent as follows:

            FIRSTLY     in or towards payment of all fees, costs and expenses
                        incurred by the Agent or any Lender in connection with
                        the Facility and which are for the time being unpaid;

            SECONDLY    in or towards payment in such order as the Lenders may
                        require of any accrued (but unpaid) fees and interest
                        thereon to which the Lead Arrangers, the Co-Arrangers,
                        the Lenders and/or the Agent are entitled hereunder
                        and/or under the other Security Documents (other than
                        the Master Agreements) in connection with the Facility;

            THIRDLY     in or towards satisfaction of all interest accrued on
                        the Term Loan Facility and the Revolving Credit Facility
                        pro rata;

            FOURTHLY    in retention by the Agent in its discretion in a
                        suspense or impersonal interest bearing security
                        realised account of such sum as it considers appropriate
                        by way of security for the Outstanding Indebtedness
                        (other than the Master Agreement Liabilities) or for any
                        actual or contingent liability of the Lead Arrangers,
                        the Co-Arrangers, the Agent or the Lenders or any of
                        them in connection with the transactions herein
                        contemplated;

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            FIFTHLY     in or towards payment of the Term Loan Facility and the
                        Revolving Credit Facility pro rata;

            SIXTHLY     in retention of such other sum or sums as the Agent may
                        require as security for any further monies which may
                        reasonably be expected to become due and payable to the
                        Lead Arrangers, the Co-Arrangers, the Agent and/or the
                        Lenders under this Agreement or any of the other
                        Security Documents (other than the Master Agreement
                        Liabilities) and which the assigned Earnings may be
                        insufficient to satisfy;

            SEVENTHLY   in or towards satisfaction of the Master Agreement
                        Liabilities in the same order in which the Transactions
                        were entered into by the Borrower with the Lenders
                        and/or their Affiliates (as the case may be); and

            EIGHTHLY    the balance (if any) shall be released to the Borrower
                        or to its order or whomsoever else may be entitled
                        thereto.

      14.3  APPLICATION OF PROCEEDS OF INSURANCES

            Proceeds of the Insurances for partial losses shall be applied in
            accordance with the relevant Insurance Assignment and/or the loss
            payable clause endorsed on the Insurances in the form approved by
            the Agent and in the case of a Total Loss of a Vessel in accordance
            with Clause 4.5, Clause 5.3 and Clause 14.1.

      14.4  SUSPENSE ACCOUNT

            Any monies received or recovered by the Agent or any Lender under or
            in connection with the Security Documents and credited to any
            suspense or impersonal interest bearing security realised account in
            accordance with FOURTHLY of Clause 14.1 or Clause 14.2 may be held
            in such account for so long as the Agent thinks fit pending
            application at the Agent's discretion in accordance with FOURTHLY of
            Clause 14.1 or Clause 14.2 (as the case may be).

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15    THE MASTER AGREEMENT

      15.1  APPLICABILITY

            The following provisions of this Clause will apply if a Lender or
            its Affiliate (as the case may be) and the Borrower have entered, or
            enter during the Security Period, into one or more Transactions.

      15.2  ADDITIONAL TERMINATION EVENT

            If the Facility is for any reason not advanced to the Borrower
            before the expiry of the Availability Periods, and a Lender or its
            Affiliate (as the case may be) and the Borrower have entered into
            any Transactions before that expiry, an Additional Termination Event
            (with the relevant Lender or its Affiliate (as the case may be) as
            the Affected Party) shall be deemed to have occurred under the
            relevant Master Agreement on the expiry of the Availability Periods.

      15.3  ADJUSTMENT OF NOTIONAL AMOUNTS

            If:

            15.3.1 the amount of the Facility actually advanced by the Lenders
                   to the Borrower is less than the Notional Amount (or the
                   aggregate Notional Amounts) of the Hedging Transactions
                   entered into on or before the expiry of the Availability
                   Periods, or

            15.3.2 the Borrower prepays part of the Facility under any provision
                   of this Agreement, and the amount of the Facility remaining
                   outstanding after that prepayment is less than the Notional
                   Amount (or the aggregate Notional Amounts) of the Hedging
                   Transactions,

            then in effect the Borrower's obligations under those Hedging
            Transactions shall (unless otherwise agreed by the relevant Lenders
            and/or their Affiliates (as the case may be)) be calculated (so far
            as the Agent considers it practicable to do so) by reference to a
            Notional Amount (or aggregate Notional Amounts) equal to the amount
            of the Facility actually advanced or remaining outstanding after
            that prepayment, as reduced on each Repayment Date by the amount of
            the Instalment then due or on each Maturity Date by the amount of
            the Drawing then due, and adjusted if necessary in accordance with
            Clause 3.

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      15.4  AUTHORITY

            In order to give effect to Clause 15.3, or in the event of voluntary
            or mandatory prepayment or cancellation by the Borrower of the whole
            of the Facility, the Borrower irrevocably authorises the Lenders for
            themselves or for and on behalf of their Affiliates (as the case may
            be) to amend, restructure, unwind, cancel, net out, terminate,
            liquidate, transfer or assign any of the rights or obligations under
            any Hedging Transactions, and/or to enter into any other interest
            rate exchange and/or hedging transaction or commitment with any
            other counterparty.

      15.5  TERMINATION OF TRANSACTIONS

            If the exercise of a Lender's rights under Clause 15.4 results in
            the termination of any Transaction, that Transaction shall, for the
            purposes of the relevant Master Agreement (including, without
            limitation, section 6(e)(i) of the Master Agreement) be treated as a
            Terminated Transaction resulting from an Event of Default by the
            Borrower.

      15.6  INDEMNITY

            The Borrower will indemnify each Lender through the Agent from time
            to time on demand in respect of all liabilities, losses, costs or
            expenses suffered, incurred or sustained by a Lender arising in any
            way in relation to the exercise by a Lender of its rights under this
            Clause, or arising in any way from any other termination,
            cancellation, unwinding or restructuring of any Transaction.

      15.7  NOTIFICATION OF TRANSACTIONS

            If the Borrower enters into a Transaction with a Lender or its
            Affiliate (as the case may be) under the relevant Master Agreement
            the Lender shall notify the Agent within one (1) Business Day of the
            date of the Transaction and the Agent shall promptly inform the
            other Lenders thereof.

16    FEES

      16.1  COMMITMENT FEE

            The Borrower shall pay to the Agent for distribution to the Lenders
            quarterly in arrears forty per cent (40%) of the Applicable Margin
            on the relevant payment

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            date on the daily undrawn, uncancelled amount of the Term Loan
            Facility and the Revolving Credit Facility during the relevant
            Commitment Period.

      16.2  OTHER FEES

            The Borrower will pay to Nordea Bank Norge ASA or the Agent on
            behalf of itself, the Lead Arrangers, the Co-Arrangers and/or the
            Lenders, such fees as are set out in a separate fee letter dated 25
            June 2004.

17    EXPENSES

      17.1  INITIAL EXPENSES

            The Borrower shall reimburse the Agent on demand on a full indemnity
            basis for the charges and expenses (together with value added tax or
            any similar tax thereon and including without limitation the fees
            and expenses of legal, insurance and other advisers) incurred by the
            Agent in respect of the syndication, negotiation, preparation,
            printing, execution and registration of this Agreement and the other
            Transaction Documents and any other documents required in connection
            with the implementation of this Agreement.

      17.2  ENFORCEMENT EXPENSES

            The Borrower shall reimburse the Agent and the Lenders on demand on
            a full indemnity basis for all charges and expenses (including value
            added tax or any similar tax thereon and including the fees and
            expenses of legal advisers) incurred by the Agent and each of the
            Lenders in connection with the enforcement of, or the preservation
            of any rights under, this Agreement and the other Security
            Documents.

      17.3  STAMP DUTIES

            The Borrower shall pay or indemnify the Agent and each of the
            Lenders on demand against any and all stamp, registration and
            similar Taxes which may be payable in any jurisdiction in connection
            with the entry into, performance and enforcement of this Agreement
            or any of the other Security Documents.

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18    WAIVERS, REMEDIES CUMULATIVE

      18.1  NO WAIVER

            No failure to exercise and no delay in exercising on the part of the
            Agent or any of the Lenders any right or remedy under any of the
            Security Documents shall operate as a waiver thereof, nor shall any
            single or partial exercise of any right or remedy preclude any other
            or further exercise thereof, or the exercise of any other right or
            remedy. No waiver by the Agent or any of the Lenders shall be
            effective unless it is in writing.

      18.2  REMEDIES CUMULATIVE

            The rights and remedies of the Agent, and the Lenders provided
            herein are cumulative and not exclusive of any rights or remedies
            provided by law.

      18.3  SEVERABILITY

            If any provision of this Agreement is prohibited or unenforceable in
            any jurisdiction, such prohibition or unenforceability shall not
            invalidate the remaining provisions hereof or affect the validity or
            enforceability of such provision in any other jurisdiction.

      18.4  TIME OF ESSENCE

            Time is of the essence in respect of all of the obligations of the
            Borrower under the Security Documents provided however that none of
            the Agent or any of the Lenders shall be entitled to terminate or
            treat this Agreement or any of the other Security Documents as
            having been repudiated otherwise than in circumstances which
            constitute an Event of Default.

19    COUNTERPARTS

      This Agreement may be executed in any number of counterparts and all such
      counterparts taken together shall be deemed to constitute one and the same
      agreement.

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20    CHANGES TO THE LENDERS

      20.1  ASSIGNMENTS AND TRANSFERS BY THE LENDERS

            Subject to this Clause 20, a Lender (the "EXISTING LENDER") may:

            20.1.1 assign any of its rights under the Security Documents; or

            20.1.2 transfer by novation any of its rights and obligations under
                   the Security Documents,

            to another bank or financial institution or to a trust, fund or
            other entity which is regularly engaged in or established for the
            purpose of making, purchasing or investing in loans, securities or
            other financial assets (the "NEW LENDER") provided that any such
            assignment or transfer shall be in respect of an amount of its
            Contribution of not less than five million Dollars (USD5,000,000).

      20.2  CONDITIONS OF ASSIGNMENT OR TRANSFER

            20.2.1 The consent of the Borrower and the Agent is required for an
                   assignment or transfer by a Lender, unless the assignment or
                   transfer is to another Lender or an Affiliate of a Lender or
                   an Event of Default or a Possible Event of Default has
                   occurred and is continuing.

            20.2.2 The consent of the Borrower to an assignment or transfer must
                   not be unreasonably withheld or delayed. The Borrower will be
                   deemed to have given its consent five (5) Business Days after
                   the Lender has requested it unless consent is expressly
                   refused by the Borrower within that time.

            20.2.3 The consent of the Borrower to an assignment or transfer must
                   not be withheld solely because the assignment or transfer may
                   result in an increase to the Mandatory Cost.

            20.2.4 An assignment will only be effective on:

                  (a)   receipt by the Agent of written confirmation from the
                        New Lender (in form and substance satisfactory to the
                        Agent) that the New Lender will assume the same
                        obligations to the Agent and the

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                        other Lenders as it would have been under if it was an
                        Original Lender; and

                  (b)   performance by the Agent of all "know your customer" or
                        other checks relating to any person that it is required
                        to carry out in relation to such assignment to a New
                        Lender, the completion of which the Agent shall promptly
                        notify to the Existing Lender and the New Lender.

            20.2.5 A transfer will only be effective if the procedure set out in
                   Clause 20.5 is complied with.

            20.2.6 If:

                  (a)   a Lender assigns or transfers any of its rights or
                        obligations under the Security Documents or changes its
                        Lending Branch; and

                  (b)   as a result of circumstances existing at the date the
                        assignment, transfer or change occurs, a Borrower would
                        be obliged to make a payment to the New Lender or Lender
                        acting through its new Lending Branch under Clause 8,

                  then the New Lender or Lender acting through its new Lending
                  Branch is only entitled to receive payment under those Clauses
                  to the same extent as the Existing Lender or Lender acting
                  through its previous Lending Branch would have been if the
                  assignment, transfer or change had not occurred.

            20.2.7 Any Existing Lender that assigns any of its rights shall
                   retain its voting right as a Lender.

      20.3  ASSIGNMENT OR TRANSFER FEE

            The Existing Lender shall, on the date upon which an assignment or
            transfer takes effect, pay to the Agent (for its own account) a fee
            of three thousand Dollars (USD3,000).

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      20.4  LIMITATION OF RESPONSIBILITY OF EXISTING LENDERS

            20.4.1 Unless expressly agreed to the contrary, an Existing Lender
                   makes no representation or warranty and assumes no
                   responsibility to a New Lender for:

                  (a)   the legality, validity, effectiveness, adequacy or
                        enforceability of the Security Documents or any other
                        documents;

                  (b)   the financial condition of the Borrower;

                  (c)   the performance and observance by any Obligor of its
                        obligations under the Security Documents or any other
                        documents; or

                  (d)   the accuracy of any statements (whether written or oral)
                        made in or in connection with any Security Document or
                        any other document,

                  and any representations or warranties implied by law are
                  excluded.

            20.4.2 Each New Lender confirms to the Existing Lender, the Agent
                   and the other Lenders that it:

                  (a)   has made (and shall continue to make) its own
                        independent investigation and assessment of the
                        financial condition and affairs of each Obligor and its
                        related entities in connection with its participation in
                        this Agreement and has not relied exclusively on any
                        information provided to it by the Existing Lender in
                        connection with any Security Document; and

                  (b)   will continue to make its own independent appraisal of
                        the creditworthiness of each Obligor and its related
                        entities whilst any amount is or may be outstanding
                        under the Security Documents or any Commitment is in
                        force.

            20.4.3 Nothing in any Security Document obliges an Existing Lender
                   to:

                  (a)   accept a re-transfer from a New Lender of any of the
                        rights and obligations assigned or transferred under
                        this Clause 20; or

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                   (b)    support any losses directly or indirectly incurred
                          by the New Lender by reason of the non-performance
                          by any Obligor of its obligations under the
                          Security Documents or otherwise.

      20.5  PROCEDURE FOR TRANSFER

            20.5.1 Subject to the conditions set out in Clause 20.2 a transfer
                   is effected in accordance with Clause 20.5.3 when the Agent
                   executes an otherwise duly completed Transfer Certificate
                   delivered to it by the Existing Lender and the New Lender.
                   The Agent shall, subject to Clause 20.5.2, as soon as
                   reasonably practicable after receipt by it of a duly
                   completed Transfer Certificate appearing on its face to
                   comply with the terms of this Agreement and delivered in
                   accordance with the terms of this Agreement, execute that
                   Transfer Certificate.

            20.5.2 The Agent shall only be obliged to execute a Transfer
                   Certificate delivered to it by the Existing Lender and the
                   New Lender once it is satisfied it has complied with all
                   necessary "know your customer" or other similar checks under
                   all applicable laws and regulations in relation to the
                   transfer to such New Lender.

            20.5.3 On the Transfer Date:

                  (a)   to the extent that in the Transfer Certificate the
                        Existing Lender seeks to transfer by novation its rights
                        and obligations under the Security Documents each of the
                        Borrower and the Existing Lender shall be released from
                        further obligations towards one another under the
                        Security Documents and their respective rights against
                        one another shall be cancelled (being the "DISCHARGED
                        RIGHTS AND OBLIGATIONS");

                  (b)   each of the Borrower and the New Lender shall assume
                        obligations towards one another and/or acquire rights
                        against one another which differ from the Discharged
                        Rights and Obligations only insofar as the Borrower and
                        the New Lender have assumed and/or acquired the same in
                        place of the Borrower and the Existing Lender;

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                  (c)   the Agent, the New Lender and other Lenders shall
                        acquire the same rights and assume the same obligations
                        between themselves as they would have acquired and
                        assumed had the New Lender been an Original Lender with
                        the rights and/or obligations acquired or assumed by it
                        as a result of the transfer and to that extent the Agent
                        and the Existing Lender shall each be released from
                        further obligations to each other under this Agreement;
                        and

                  (d)   the New Lender shall become a party as a "LENDER".

      20.6  COPY OF TRANSFER CERTIFICATE TO BORROWER

            The Agent shall, as soon as reasonably practicable after it has
            executed a Transfer Certificate, send to the Borrower a copy of that
            Transfer Certificate.

      20.7  DISCLOSURE OF INFORMATION

            Any Lender may disclose to any of its Affiliates and any other
            person:

            20.7.1 to (or through) whom that Lender assigns or transfers (or may
                   potentially assign or transfer) all or any of its rights and
                   obligations under this Agreement;

            20.7.2 with (or through) whom that Lender 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, this Agreement or the Borrower; or

            20.7.3 to whom, and to the extent that, information is required to
                   be disclosed by any applicable law or regulation,

            any information about any Obligor and the Transaction Documents as
            that Lender shall consider appropriate if, in relation to Clauses
            20.7.1 and 20.7.2, the person to whom the information is to be given
            has entered into a Confidentiality Undertaking.

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      20.8  BORROWER'S CO-OPERATION

            The Borrower shall co-operate fully with the Lender in relation to
            any assignment or transfer proposed by the Lender and shall execute,
            or procure the execution of, any documents which the Lender may
            require.

21    CHANGES TO THE BORROWER

      The Borrower may not assign any of its rights or transfer any of its
      rights or obligations under the Security Documents.

22    REFERENCE BANKS AND AGENT

      22.1  REFERENCE BANKS

            If:

            22.1.1 the whole of the Contribution (if any) of any Reference Bank
                   is prepaid;

            22.1.2 the Commitment of any Reference Bank is cancelled or reduced
                   to zero in accordance with Clause 5.9 or any other relevant
                   provision hereof;

            22.1.3 a Reference Bank transfers the whole of its rights and
                   obligations (if any) as a Lender under this Agreement; or

            22.1.4 where applicable, any Reference Bank ceases to provide
                   quotations to the Agent for the purposes of determining
                   LIBOR,

            the Agent may, acting on the instructions of the Majority Lenders,
            terminate the appointment of such Reference Bank and appoint another
            Lender to replace such Reference Bank.

      22.2  DECISION MAKING

            22.2.1 Save as expressly provided in Clause 22.2.2 or as otherwise
                   expressly provided herein, any proposed course of action in
                   connection with any matter requiring the consent of the
                   Lenders under or in connection howsoever with this Agreement
                   shall only be taken with the consent of all the Lenders
                   including, but without limitation to the generality of the
                   foregoing:

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                  (a)   the release of the Borrower from any of its obligations
                        hereunder;

                  (b)   the amendment of any of the provisions of this
                        Agreement;

                  (c)   any time or other indulgence to be granted to the
                        Borrower in respect of its obligations under this
                        Agreement.

            22.2.2 Proposals in connection with the following matters shall, in
                   the absence of agreement thereon by all of the Lenders or as
                   otherwise provided in this Agreement, be determined by the
                   Majority Lenders:

                  (a)   the making of any declaration by the Agent under Clause
                        13.2;

                  (b)   the institution of any legal proceedings for the
                        enforcement of any rights or powers whatsoever pursuant
                        to the terms of this Agreement;

                  (c)   any course of action whatsoever from time to time (other
                        than the making of a demand for payment hereunder)
                        whether of a legal or commercial nature or otherwise
                        howsoever for the purpose of achieving a full or partial
                        recovery of any principal, interest or other amount due
                        and payable by the Borrower hereunder or otherwise in
                        connection therewith following the making of a
                        declaration by the Agent under Clause 13.2;

                  (d)   any other matter in respect of which this Agreement
                        expressly provides that the consent of the Majority
                        Lenders shall be required.

            22.2.3 Any determination of the Lenders shall be ascertained by the
                   Agent either:

                  (a)   by means of a telefax sent by the Agent to each of the
                        Lenders in identical terms on the proposal or matter in
                        issue; or

                  (b)   by means of the vote of representatives of each Lender
                        at a meeting convened by the Agent and held for the
                        purpose of discussing (inter alia) such proposal or
                        matter in issue.

                  Furthermore, it is hereby agreed by the Lenders that:

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                  (i)   where a decision of the Lenders is sought by the Agent
                        by means of a telefax sent in accordance with paragraph
                        (a) above and provided that the Agent verifies forthwith
                        by telephone with each relevant Lender that it has
                        received such telefax in good order, then the Agent may
                        in its telefax:

                        (1)   recommend a proposed course of action to be taken
                              by the Lenders; and

                        (2)   specify a time limit (of not less than three (3)
                              Business Days) within which the Lenders are
                              required to respond to the Agent's recommendation

                        so that, if any Lender fails to notify the Agent within
                        such time limit of its response to the recommendation,
                        such Lender shall be deemed to have accepted and
                        approved the course of action proposed by the Agent; and

                  (ii)  where the approval of the Majority Lenders is required
                        in respect of any matter, the approval shall be deemed
                        to have been given as soon as the Agent receives the
                        requisite number of votes in favour of the proposal so
                        that the Agent may act on the basis of such votes
                        without having to wait for the response of (or to give
                        any notification to) any other Lender who has yet to
                        reply to the Agent.

      22.3  THE AGENT

            22.3.1 Each of the Lenders hereby appoints the Agent to act as its
                   agent under this Agreement and the Security Documents with
                   such rights, powers and discretions as are expressly
                   delegated to the Agent hereunder and thereunder.

            22.3.2 The Agent shall:

                  (a)   promptly inform the Lenders of the contents of any
                        notice or request received by it from the Borrower under
                        this Agreement (whether such notice or request is
                        addressed to the Agent alone or

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                        the Agent on behalf of the Lenders) and of any
                        information delivered to it pursuant to Clause 11.2 and
                        of any other matters which the Agent considers material;

                  (b)   promptly deliver to the Lenders copies of any accounts
                        and certificates delivered to it pursuant to Clause 11.2
                        and, as soon as reasonably practicable, copies of the
                        documents delivered in satisfaction of the requirements
                        of Schedule 3;

                  (c)   promptly inform the Lenders in reasonable detail of any
                        exercise by it of any of the rights, powers and/or
                        discretions vested in it hereunder (but without the
                        Agent being under any obligation to give prior notice to
                        the Lenders of any such exercise);

                  (d)   promptly notify the Lenders of the occurrence of any
                        Event of Default or any other default by the Borrower in
                        the due performance of or compliance with its material
                        obligations under this Agreement of which the Agent has
                        actual knowledge or actual notice and the occurrence of
                        which the Agent has verified;

                  (e)   if directed by the Majority Lenders, exercise (or
                        refrain from exercising) any right, power or discretion
                        vested in it hereunder in accordance with the directions
                        (subject to Clause 22.2.1) of the Majority Lenders
                        provided, however, that it may refrain from acting in
                        accordance with any such directions until it has
                        received such security as it may require (whether by way
                        of payment in advance or otherwise) for all costs,
                        claims, expenses (including legal fees) and liabilities
                        which it will or may expend or incur in complying with
                        such directions and for this purpose the Agent shall
                        make a demand for such security addressed to all the
                        Lenders;

                  (f)   receive from the Borrower all payments of principal,
                        interest and other moneys expressed to be payable to the
                        Agent hereunder on behalf of all or any of the Lenders
                        and shall promptly distribute the same amongst the
                        Lenders and itself in accordance with the

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                        terms of this Agreement pending which the Agent shall
                        hold any and all such moneys on trust for the Lenders
                        and itself.

            22.3.3 The relationship between the Agent on the one part and each
                   Lender on the other is that of agent and principal and,
                   except in relation to any moneys referred to in Clause
                   22.3.2(d) held by the Agent pending distribution hereunder,
                   the Agent shall not have a fiduciary relationship with or be,
                   or be deemed to be, a trustee of or for any such party.

            22.3.4 In addition to the powers expressly given to the Agent by
                   this Agreement:

                  (a)   the Lenders may give the Agent (generally or in any
                        particular case) any powers which the Lenders consider
                        appropriate; and

                  (b)   the Agent has power to take any other action which it
                        considers to be reasonably incidental or conducive to
                        the performance of its functions under this Agreement or
                        otherwise appropriate in the context of those functions,
                        including the exercise of any powers given to it by the
                        Lenders.

            22.3.5 The rights, powers and discretions vested in the Agent by
                   this Agreement shall only be exercised by the Agent in
                   accordance with the instructions of the Majority Lenders or
                   (if so required in accordance with the provisions of Clause
                   22.2.1) the Lenders provided however that the Agent shall be
                   entitled (but not bound) to exercise or refrain from
                   exercising any such right, power or discretion without the
                   directions of the Majority Lenders or the Lenders (as the
                   case may be) if the Agent believes that the immediate
                   exercise of such right, power or discretion is necessary or
                   desirable to protect the interests of the Lenders under or in
                   respect of this Agreement.

                   Where any right, power or discretion is vested in the Agent
                   under this Agreement but is expressed as being exercisable in
                   accordance with the directions of the Lenders or the Majority
                   Lenders, such right, power or discretion shall not be
                   exercised by the Agent without the lawful directions of the
                   Lenders or the Majority Lenders (as the case may be).

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            22.3.6 Notwithstanding anything to the contrary expressed or implied
                   herein, the Agent shall not:

                  (a)   be bound to enquire as to the occurrence or otherwise of
                        any Event of Default or as to the performance by the
                        Borrower of its obligations under this Agreement;

                  (b)   be bound to disclose to any other person any information
                        relating to the Borrower 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;

                  (c)   have any responsibility to the Lenders or each other
                        for:

                        (i)   the financial position, creditworthiness, affairs
                              or prospects of the Borrower;

                        (ii)  the performance or non-performance howsoever by
                              the Borrower of any of its obligations hereunder;

                        (iii) the due execution, effectiveness, genuineness,
                              validity or enforceability of this Agreement or
                              any document relating hereto or any filing or
                              recording thereof or the taking of any other
                              action whatsoever and howsoever in connection
                              therewith or the collectability of any sum due
                              hereunder;

                        (iv)  any computations and/or information supplied to
                              the Lenders by the Agent in reliance upon which
                              the Lenders have entered into this Agreement;

                  (d)   be under any liability whatsoever for any consequence of
                        relying on:

                        (i)   any written communication or document believed by
                              it to be genuine or correct and to have been
                              communicated or signed by the person by whom it is
                              purported to have been communicated or signed; or

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                        (ii)  the advice or opinions of any professional
                              advisers selected by it;

                  (e)   be under any duty to account to any Lender for any sum
                        received by it for its own account or the profit element
                        of any such sum;

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

            22.3.7 The Agent may:

                  (a)   carry out its duties hereunder through such officers,
                        directors, employees, consultants or independent agents
                        as it may in its unfettered discretion think fit;

                  (b)   assume that no Event of Default has occurred and that
                        the Borrower is not in breach of its obligations under
                        this Agreement unless the Agent has actual knowledge or
                        actual notice to the contrary;

                  (c)   engage and pay for the advice or services of any
                        internal or external 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;

                  (d)   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;

                  (e)   rely upon any communication or document believed by it
                        to be genuine.

            22.3.8 It is understood that each of the Lenders 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 the Borrower and, accordingly, each of
                   the Lenders warrants to the Agent that it has not relied and
                   will not rely on the Agent:

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                  (a)   to check or enquire on its behalf into the adequacy,
                        accuracy or completeness of any information provided by
                        the Borrower in connection with this Agreement; or

                  (b)   to assess or keep under review on its behalf the
                        financial condition, creditworthiness, condition,
                        affairs, status or nature of the Borrower.

            22.3.9  Subject to the terms of this Agreement, this Agreement shall
                    be serviced, supervised and administered by the Agent in the
                    ordinary course of its business and in accordance with its
                    usual practices. In performing its duties and functions
                    hereunder, the Agent shall exercise the same care as it
                    normally exercises in making and administering loans for its
                    own account, but assumes no further responsibility in
                    respect of such performance.

            22.3.10 The Agent shall not be under any liability as a result of
                    taking or omitting to take any action in relation to this
                    Agreement save in the case of gross negligence or wilful
                    misconduct and the Lenders will not assert or seek to assert
                    against any director, officer or employee of the Agent any
                    claim they might have against any of them in respect of the
                    matters referred to in this Clause 22.3.10.

            22.3.11 Neither the Agent (nor any officer thereof) shall be
                    precluded by reason of so acting from underwriting,
                    guaranteeing the subscription of or subscribing for or
                    otherwise acquiring, holding or dealing with any debentures,
                    shares or securities whatsoever of the Borrower or from
                    entering into any contract or financial or other transaction
                    with or from engaging in any banking or other business with
                    the Borrower and shall not be liable to account for any
                    profit made or payment received by it thereby or in
                    connection therewith.

      22.4  RETIREMENT AND REPLACEMENT OF THE AGENT

            22.4.1  The Agent may retire at any time without assigning any
                    reason by giving to the Borrower and the Lenders not less
                    than thirty (30) days notice of its intention to do so.
                    Unless the Agent in its notice of retirement nominates

                                       92
<PAGE>

                   any of its associated companies to be its successor, the
                   successor Agent may be appointed by the Majority Lenders
                   (with the prior written consent of the Borrower, such consent
                   not to be unreasonably withheld or delayed) during such
                   thirty (30) day period provided that, should they fail to do
                   so, the Agent may then appoint as its successor a reputable
                   and experienced bank with an office in London.

            22.4.2 If any Lender is dissatisfied with the Agent and wants it to
                   be replaced, such Lender shall consult with the other
                   relevant Lenders and the Borrower for a period of up to
                   thirty (30) days to decide whether the Agent should be
                   replaced and, if so, by whom (such replacement being one of
                   the relevant Lenders or an associated company thereof). If at
                   the end of such period the relevant Lenders unanimously agree
                   that the Agent should be replaced by a particular Lender or
                   one of its associated companies, and if the Borrower consents
                   in writing to the identity of the proposed replacement (such
                   consent (a) not to be unreasonably withheld and (b) not to be
                   required if an Event of Default has occurred and is
                   continuing), then notice shall be given by the relevant
                   Lenders to the Agent specifying the date, being not fewer
                   than five (5) Business Days after the date of such notice, on
                   which the appointment of the successor Agent is, subject to
                   Clause 22.4.4, to take effect.

            22.4.3 For the purposes of this Clause 22.4:

                  (a)   an "ASSOCIATED COMPANY" of the Agent and/or any Lender
                        shall mean any company which is a holding company of the
                        Agent and/or such Lender or a wholly-owned subsidiary of
                        it or its parent company; and

                  (b)   "RELEVANT LENDERS" means all of the Lenders other than
                        that Lender which acts as Agent or whose associated
                        company acts in such capacity.

            22.4.4 Any appointment of a successor Agent under Clause 22.4.1 or
                   22.4.2 shall take effect upon:

                                       93
<PAGE>

                  (a)   the successor confirming in writing its agreement to be
                        bound by the provisions of this Agreement; and

                  (b)   notice thereof by the Agent and its successor (which
                        notice, shall specify the bank in New York to which
                        payments to the new Agent shall be made thereafter)
                        being given to each of the other parties to this
                        Agreement.

            22.4.5 If a successor to the Agent is appointed under the provisions
                   of this Clause 22.4:

                  (a)   the outgoing Agent shall be discharged from any further
                        obligation under this Agreement;

                  (b)   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 in place of the outgoing Agent;

                  (c)   Clause 22 and the other provisions of this Agreement
                        shall remain in effect for the benefit and protection of
                        the outgoing Agent in relation to any claim or loss
                        which may be brought against or incurred by it in
                        connection with or as a result of any act, omission,
                        breach, neglect or other occurrence or matter relating
                        to or arising out of this Agreement which took place
                        before its resignation.

23    NOTICES

      23.1  MODE OF COMMUNICATION

            Except as otherwise provided herein, each notice, request, demand or
            other communication or document to be given or made hereunder shall
            be given in writing but unless otherwise stated, may be made by
            telefax.

      23.2  ADDRESS

            Any notice, demand or other communication (unless made by telefax)
            to be made or delivered by the Agent to the Borrower pursuant to
            this Agreement shall

                                       94
<PAGE>

            (unless the Borrower has by fifteen (15) days' written notice to the
            Agent specified another address) be made or delivered to the
            Borrower at 7665 Corporate Center Drive, Miami, Florida 33126,
            United States of America (marked for the attention of Mr Lamarr
            Cooler and the Legal Department (but one (1) copy shall suffice)).
            Any notice, demand or other communication to be made or delivered by
            the Borrower to the Agent pursuant to this Agreement shall (unless
            the Agent has by fifteen (15) days' written notice to the Borrower
            specified another address) be made or delivered to the Agent at its
            Lending Branch, the details of which are set out in Schedule 1.

      23.3  TELEFAX COMMUNICATION

            Any notice, demand or other communication to be made or delivered
            pursuant to this Agreement may be sent by telefax to the relevant
            telephone numbers (which at the date hereof in respect of the
            Borrower is +1 305 436 4140 (marked for the attention of Mr Lamarr
            Cooler) and +1 305 436 4117 (marked for the attention of the Legal
            Department) and in the case of the Agent or any Original Lender is
            as recorded in Schedule 1) specified by it from time to time for the
            purpose and shall be deemed to have been received when transmission
            of such telefax communication has been completed. Each such telefax
            communication, if made to the Agent or any Lender by the Borrower,
            shall be signed by the person or persons authorised in writing by
            the Borrower and whose signature appears on the list of specimen
            signatures contained in the secretary's certificate required to be
            delivered by paragraph 2 of Schedule 3 and shall be expressed to be
            for the attention of the department or officer whose name has been
            notified for the time being for that purpose by the Agent or any
            Lender to the Borrower.

      23.4  ELECTRONIC MAIL

            Any notice, demand or other communication other than a Drawdown
            Notice or a Renewal Notice to be made or delivered pursuant to this
            Agreement may be made by electronic mail or other electronic means,
            if the Agent, the Borrower and/or the Lender:

            23.4.1 agree that, unless and until notified to the contrary, this
                   is to be an accepted form of communication; and

                                       95
<PAGE>

            23.4.2 notify each other in writing of their electronic mail address
                   and/or any other information required to enable the sending
                   and receipt of information by that means; and

            23.4.3 notify each other of any change to their electronic mail
                   address or any other such information supplied by them.

            Any Original Lender which sets out an email address beneath its name
            in Schedule 1 is deemed to agree to receiving notices, demands or
            other communications from the Agent by electronic mail.

            Any electronic communication made:

            (a)   by the Agent to the Borrower or a Lender will be effective
                  when it is sent by the Agent unless the Agent receives a
                  message indicating failed delivery and, if upon the sender's
                  express request, a confirmation of receipt is requested, such
                  confirmation has been sent; and

            (b)   by the Borrower or a Lender to the Agent will be effective
                  only when actually received by the Agent and then only if it
                  is addressed in such a manner as the Agent shall specify to
                  that party for this purpose.

            The Agent shall notify the Borrower and the Lenders and the Borrower
            or a Lender shall notify the Agent in each case promptly upon
            becoming aware that its electronic mail system or other electronic
            means of communication cannot be used due to technical failure (and
            that failure is continuing for more than two (2) Business Days).
            Until the Agent, the Borrower or that Lender has notified as
            aforesaid that the failure has been remedied, all notices between
            the Agent and the Borrower or that Lender shall be sent by fax or
            letter in accordance with this Clause 23.

      23.5  RECEIPT

            Each such notice, demand or other communication shall be deemed to
            have been made or delivered (in the case of any letter) when
            delivered to its office for the time being or, if sent by post, five
            (5) days after being deposited in the post first class or express
            airmail (as the case may be) postage prepaid in an envelope

                                       96
<PAGE>

            addressed to it at that address or, if sent by electronic mail, in
            accordance with Clause 23.4.

      23.6  LANGUAGE

            Each notice, demand or other communication made or delivered by one
            (1) party to another pursuant to this Agreement or any other
            Security Document shall be in the English language or accompanied by
            a certified English translation. In the event of any conflict
            between the translation and the original text the translation shall
            prevail unless the original text is a statutory instrument, legal
            process or any other document of a similar type.

24    GOVERNING LAW

      This Agreement shall be governed by English law.

25    WAIVER OF IMMUNITY

      To the extent that the Borrower may in any jurisdiction claim for itself
      or its assets immunity from suit, execution, attachment (whether in aid of
      execution, before judgment or otherwise) or other legal process in
      relation to this Agreement or the other Security Documents and to the
      extent that in any such jurisdiction there may be attributed to itself or
      its assets such immunity (whether or not claimed) the Borrower hereby
      irrevocably and unconditionally agrees throughout the Security Period not
      to claim and hereby irrevocably waives such immunity to the full extent
      permitted by the laws of such jurisdiction. In respect of any legal action
      or proceedings arising out of or in connection with any of the Security
      Documents the Borrower hereby consents generally as a matter of procedure
      in relation to the waiver of immunity (but not so as to prejudice any
      defence which the Borrower may have on the merits of the substantive
      issue) to the giving of any relief or the issue of any process in
      connection with such legal action or proceedings including without
      limitation, the making, enforcement or execution against any property
      whatsoever (irrespective of its uses or intended uses) of any order or
      judgment which may be made or given in such legal action or proceedings.

26    JURISDICTION

      26.1  The courts of England have exclusive jurisdiction to settle any
            dispute arising out of or in connection with this Agreement
            (including a dispute regarding the

                                       97
<PAGE>

            existence, validity or termination of this Agreement) (a "DISPUTE").
            Each party to this Agreement agrees that the courts of England are
            the most appropriate and convenient courts to settle Disputes and
            accordingly no party will argue to the contrary.

            This Clause 26.1 is for the benefit of the Lenders and the Agent
            only. As a result, no such party shall be prevented from taking
            proceedings relating to a Dispute in any other courts with
            jurisdiction. To the extent allowed by law, any such party may take
            concurrent proceedings in any number of jurisdictions.

      26.2  The Borrower may not, without the Agent's prior written consent,
            terminate the appointment of the Process Agent; if the Process Agent
            resigns or its appointment ceases to be effective, the Borrower
            shall within fourteen (14) days appoint a company which has premises
            in London and has been approved by the Agent to act as the
            Borrower's process agent with unconditional authority to receive and
            acknowledge service on behalf of the Borrower of all process or
            other documents connected with proceedings in the English courts
            which relate to this Agreement.

      26.3  For the purpose of securing its obligations under Clause 26.2, the
            Borrower irrevocably agrees that, if it for any reason fails to
            appoint a process agent within the period specified in Clause 26.2,
            the Agent may appoint any person (including a company controlled by
            or associated with the Agent or any Lender) to act as the Borrower's
            process agent in England with the unconditional authority described
            in Clause 26.2.

      26.4  No neglect or default by a process agent appointed or designated
            under this Clause (including a failure by it to notify the Borrower
            of the service of any process or to forward any process to the
            Borrower) shall invalidate any proceedings or judgment.

      26.5  The Borrower appoints in the case of the courts of England the
            Process Agent to receive, for and on its behalf service of process
            in England of any legal proceedings with respect to this Agreement
            and any other Security Document.

      26.6  A judgment relating to this Agreement which is given or would be
            enforced by an English court shall be conclusive and binding on the
            Borrower and may be enforced without review in any other
            jurisdiction.

                                       98
<PAGE>

      26.7  Nothing in this Clause shall exclude or limit any right which the
            Agent or a Lender may have (whether under the laws of any country,
            an international convention or otherwise) with regard to the
            bringing of proceedings, the service of process, the recognition or
            enforcement of a judgment or any similar or related matter in any
            jurisdiction.

      26.8  In this Clause "JUDGMENT" includes order, injunction, declaration
            and any other decision or relief made or granted by a court.

IN WITNESS whereof the parties hereto have caused this Agreement to be duly
executed as a deed on the day first written above.

SIGNED SEALED and DELIVERED as a DEED                   )      O McHugh
By OWEN MCHUGH                                          )
for and on behalf of                                    )
NCL CORPORATION LTD.                                    )
in the presence of:                                     )
                      C Gaskell
                      Clare Gaskell
                      Trainee Solicitor
                      Clifford Chance LLP
                      10 Upper Bank Street
                      London E14 5JJ

SIGNED SEALED and DELIVERED as a DEED                   )      L French
By LUCY FRENCH                                          )
for and on behalf of                                    )
DNB NOR BANK ASA                                        )
as a Lead Arranger, an Original Lender and the Agent    )
in the presence of:                                     )
                      R Cheung
                      Regina Cheung
                      Trainee Solicitor
                      Stephenson Harwood
                      One, St. Paul's Churchyard
                      London EC4M 8SH

SIGNED SEALED and DELIVERED as a DEED                   )      L French
By LUCY FRENCH                                          )
for and on behalf of                                    )
NORDEA BANK NORGE ASA                                   )
as a Lead Arranger and an Original Lender               )
in the presence of:                                     )
                      R Cheung
                      As above

                                       99
<PAGE>

SIGNED SEALED and DELIVERED as a DEED                   )      L French
By LUCY FRENCH                                          )
for and on behalf of                                    )
COMMERZBANK AKTIENGESELLSCHAFT                          )
as a Co-Arranger and an Original Lender                 )
in the presence of:                                     )
                      R Cheung
                      As above

SIGNED SEALED and DELIVERED as a DEED                   )      L French
By LUCY FRENCH                                          )
for and on behalf of                                    )
HSH NORDBANK AG                                         )
as a Co-Arranger and an Original Lender                 )
in the presence of:                                     )
                      R Cheung
                      As above

SIGNED SEALED and DELIVERED as a DEED                   )      L French
By LUCY FRENCH                                          )
for and on behalf of                                    )
KFW                                                     )
as a Co-Arranger and an Original Lender                 )
in the presence of:                                     )
                      R Cheung
                      As above

SIGNED SEALED and DELIVERED as a DEED                   )      L French
By LUCY FRENCH                                          )
for and on behalf of                                    )
NORDDEUTSCHE LANDESBANK                                 )
-GIROZENTRALE-                                          )
as a Co-Arranger and an Original Lender                 )
in the presence of:                                     )
                      R Cheung
                      As above

SIGNED SEALED and DELIVERED as a DEED                   )      L French
By LUCY FRENCH                                          )
for and on behalf of                                    )
VEREINS- UND WESTBANK                                   )
AKTIENGESELLSCHAFT                                      )
as a Co-Arranger and an Original Lender                 )
in the presence of:                                     )
                      R Cheung
                      As above

                                      100
<PAGE>

                                   SCHEDULE 1

     PARTICULARS OF AGENT, LEAD ARRANGERS, CO-ARRANGERS AND ORIGINAL LENDERS

NAME AND ADDRESS

AGENT

DNB NOR BANK ASA
Stranden 21
NO-0021 Oslo
Norway

Fax: +47 22 482894
Attn: Mrs Solveig Nuland Knoff
Email: solveig.knoff@dnbnor.no

LEAD ARRANGERS

NAME AND ADDRESS

DNB NOR BANK ASA
Stranden 21
NO-0021 Oslo
Norway

Fax: +47 22 482020
Attn: Mr Jon Flovik
Email: jon.flovik@dnbnor.no

NORDEA BANK NORGE ASA
Middelthuns gate 17
Oslo
P O Box 1166 Sentrum
NO-0107 Oslo
Norway

Fax: +47 22 484278
Attn: Mr Arne Berglund
Email: arne.berglund@nordea.com

                                      101
<PAGE>

CO-ARRANGERS

NAME AND ADDRESS

For all matters except insurance matters

COMMERZBANK AKTIENGESELLSCHAFT
Bremen Branch
Schusselkorb 5-11
28195 Bremen
Federal Republic of Germany

Fax: +49 421 3633504
Attn: Mr Wolfgang Schmidt/Mr Siegfried Hoffmann
Email: wolfgang.schmidt3@commerzbank.com/
       siegfried.hoffmann@commerzbank.com

for all matters, including insurance matters, which are
not exclusively relating to pure payment and interest
fixing matters, with copy to

Hamburg Branch
Global Shipping
Ness 7-9
20457 Hamburg
Germany

Fax: +49 40 3683 4068
Attn: Mr Stefan Kuch/Mr Christian Renke
Email: shipfinance@commerzbank.com

HSH NORDBANK AG
Gerhart-Hauptmann-Platz 50
20095 Hamburg
Germany

Fax: +49 40 3333-34307
Attn: Ms Uta Urbaniak/Ms Frauke Hay
Email: uta.urbaniak@hsh-nordbank.com/
       frauke.hay@hsh-nordbank.com

KFW
Palmengartenstrasse 5-9
60325 Frankfurt am Main
Germany

Fax: +49 69 7431 3768/4110
Attn: Mr Wolfgang Pfisterer/Ms Clare Dooley
Email: wolfgang.pfisterer@kfw.de/
       clare.dooley@kfw.de

                                      102
<PAGE>

NAME AND ADDRESS

NORDDEUTSCHE LANDESBANK
-GIROZENTRALE-
Friedrichswall 10
30151 Hannover
Germany

Fax: +49 511 361 4785
Attn: Mr Willy Idler / Mr Alexander Viets
Email: shipping@nordlb.de

VEREINS- UND WESTBANK
AKTIENGESELLSCHAFT
Alter Wall 22
20457 Hamburg
Germany

Fax: +49 40 3692 3696
Attn: Mr Ingmar Loges / Mr Oliver Trennt
Email: ingmar.loges@vuw.de / oliver.trennt@vuw.de

                                      103
<PAGE>

LENDERS

<TABLE>
<CAPTION>
                                                            CONTRIBUTION TO
NAME AND ADDRESS                                            FACILITY IN USD
<S>                                                         <C>
For all matters except insurance matters

COMMERZBANK AKTIENGESELLSCHAFT                                100,000,000
Bremen Branch
Schusselkorb 5-11
28195 Bremen
Federal Republic of Germany

Fax: +49 421 3633504
Attn: Mr Wolfgang Schmidt/Mr Siegfried Hoffmann
Email: wolfgang.schmidt3@commerzbank.com/
       siegfried.hoffmann@commerzbank.com

for all matters, including insurance matters, which
are not exclusively relating to pure payment and
interest fixing matters, with copy to

Hamburg Branch
Global Shipping
Ness 7-9
20457 Hamburg
Germany

Fax: +49 40 3683 4068
Attn: Mr Stefan Kuch/Mr Christian Renke
Email: shipfinance@commerzbank.com

DNB NOR BANK ASA                                              150,000,000
Stranden 21
NO-0021 Oslo
Norway

Fax: +47 22 482020
Attn: Mr Jon Flovik
Email: jon.flovik@dnbnor.no

HSH NORDBANK AG                                               100,000,000
Gerhart-Hauptmann-Platz 50
20095 Hamburg
Germany

Fax: +49 40 3333-34307
Attn: Ms Uta Urbaniak/Ms Frauke Hay
Email: uta.urbaniak@hsh-nordbank.com/
       frauke.hay@hsh-nordbank.com
</TABLE>

                                      104
<PAGE>

<TABLE>
<CAPTION>
                                                            CONTRIBUTION TO
NAME AND ADDRESS                                            FACILITY IN USD
<S>                                                         <C>
KFW                                                           100,000,000
Palmengartenstrasse 5-9
60325 Frankfurt am Main
Germany

Fax: +49 69 7431 3768/4110
Attn: Mr Wolfgang Pfisterer/Ms Clare Dooley
Email: wolfgang.pfisterer@kfw.de/
       clare.dooley@kfw.de

NORDDEUTSCHE LANDESBANK                                       100,000,000
-GIROZENTRALE-
Friedrichswall 10
30151 Hannover
Germany

Fax: +49 511 361 4785
Attn: Mr Willy Idler / Mr Alexander Viets
Email: shipping@nordlb.de

NORDEA BANK NORGE ASA                                         150,000,000
Middelthuns gate 17
Oslo
P O Box 1166 Sentrum
NO-0107 Oslo
Norway

Fax: +47 22 484278
Attn: Mr Arne Berglund
Email: arne.berglund@nordea.com

VEREINS- UND WESTBANK                                         100,000,000
AKTIENGESELLSCHAFT
Alter Wall 22
20457 Hamburg
Germany

Fax: +49 40 3692 3696
Attn: Mr Ingmar Loges / Mr Oliver Trennt
Email: ingmar.loges@vuw.de / oliver.trennt@vuw.de
</TABLE>

                                      105
<PAGE>

                                   SCHEDULE 2

                               NOTICE OF DRAWDOWN

                                   Clause 2.3

FROM: NCL CORPORATION LTD.
      Milner House
      18 Parliament Street
      Hamilton HM 12
      Bermuda

TO:   DNB NOR BANK ASA
      Stranden 21
      NO-0021 Oslo
      Norway

                                                                            2004

Dear Sirs

FACILITY AGREEMENT DATED                         2004 (THE "FACILITY AGREEMENT")

We refer to the Facility Agreement pursuant to which you have agreed to advance
to us the Facility on the terms and conditions set out therein.

Terms and expressions defined in the Facility Agreement shall have the same
respective meanings when used in this notice.

We hereby give you notice that we wish to draw down [the Term Loan Facility/a
Drawing] in the amount of [ ] Dollars (USD[ ]) under Clause 2.3 of the Facility
Agreement on [ ] 200[ ].

Such amount is to be paid to:

[  ]

We confirm that:

(i)   all of the representations and warranties contained in Clause 10 of the
      Facility Agreement remain true and correct;

(ii)  no Possible Event of Default or Event of Default has occurred nor will
      occur with the giving of this notice;

(iii) the first Interest Period shall be of [one (1) three (3) six (6)] months'
      duration;

                                      106
<PAGE>

(iv)  the [Term Loan Facility/Drawing] will be applied [in financing the
      Purchase Price due to the Seller pursuant to the MOA, refinancing the
      existing finance in respect of the Norwegian Star Vessel and the Pride of
      Aloha Vessel and paying the fees and expenses incurred in connection with
      the Facility][for general corporate and working capital purposes of the
      Borrower and its Subsidiaries]; and

(vi)  [upon application of the [Term Loan Facility/Drawing] hereby requested to
      be drawn down in the manner hereinbefore appearing all sums owing to the
      Seller under the MOA shall have been fully and finally paid and the
      existing finance in respect of the Norwegian Star Vessel and the Pride of
      Aloha Vessel shall have been repaid in full.]

Yours faithfully
NCL CORPORATION LTD.

By: _____________________

                                      107
<PAGE>

                                   SCHEDULE 3

                              CONDITIONS PRECEDENT

                                   Clause 2.5

The Facility is expressly conditional upon the Agent having received in such
form and substance as the Lenders shall require:

A     ON SIGNING HEREOF

BORROWER

1     Certified Copies of any consents required from any ministry, governmental,
      financial or other authority for the execution of and performance by the
      Borrower of its obligations under this Agreement and each of the Security
      Documents or if no such consents are required a secretary's certificate of
      the Borrower to this effect confirming that no such consents are required.

2     Notarially attested secretary's certificate for the Borrower:

      2.1   attaching a copy of its Certificate of Incorporation and Memorandum
            of Association and By-Laws evidencing power to:

            2.1.1 enter into the transactions contemplated by this Agreement and
                  in the other Security Documents and to buy ships and enter
                  into arrangements for the chartering and management thereof;
                  and

            2.1.2 borrow money in the amount referred to in this Agreement and
                  as security therefor to mortgage or charge assets;

      2.2   giving the names of the present officers and directors;

      2.3   setting out specimen signatures of persons who would be authorised
            to sign documents or otherwise perform its obligations under the
            Security Documents;

      2.4   giving the legal and beneficial owners of its shares and the number
            of shares held by each shareholder;

      2.5   attaching copies of resolutions passed at a duly convened meeting of
            the directors authorising the borrowing of the Facility and the
            execution of this Agreement and

                                      108
<PAGE>

            such of the other Security Documents to which the Borrower is a
            party and the issue of any power of attorney to execute the same;
            and

      2.6   containing a declaration of solvency as at the date of the
            secretary's certificate.

3     Where the secretary's certificate referred to in paragraph 2 of this
      Schedule 3 is dated more than ten (10) days prior to the Signing Date, a
      bringdown certificate, which need not be notarially attested if signed by
      the same person that signed the secretary's certificate referred to in
      paragraph 2 of this Schedule 3.

4     The original power of attorney issued pursuant to the resolutions referred
      to in paragraph 2 above, notarially attested.

5     The Disclosure Letter duly executed.

OTHER OBLIGORS (OTHER THAN NCL (BAHAMAS) AND NCL AMERICA)

6     Certified Copies of any consents required from any ministry, governmental,
      financial or other authority for the execution of and performance by each
      of the other Obligors of its obligations under the Security Documents to
      which it is a party or if no such consents are required a secretary's
      certificate of that Obligor to this effect confirming that no such
      consents are required.

7     Notarially attested secretary's certificate:

      7.1   attaching a copy of its Certificate of Incorporation and Memorandum
            of Association and By-Laws evidencing power to enter into the
            transactions contemplated by this Agreement;

      7.2   giving the names of the present officers and directors;

      7.3   setting out specimen signatures of persons who would be authorised
            to sign documents or otherwise perform its obligations under the
            Security Documents;

      7.4   attaching copies of resolutions passed at a duly convened meeting of
            the directors approving the granting and the execution of the
            documents whose execution is contemplated hereby, insofar as they
            relate to it and the issue of any power of attorney to execute the
            same; and

      7.5   containing a declaration of solvency as at the date of the
            secretary's certificate.

                                      109
<PAGE>

8     Where the secretary's certificate referred to in paragraph 7 of this
      Schedule 3 is dated more than ten (10) days prior to the Signing Date, a
      bringdown certificate, which need not be notarially attested if signed by
      the same person that signed the secretary's certificate referred to in
      paragraph 7 of this Schedule 3.

9     The original powers of attorney issued pursuant to the resolutions
      referred to in paragraph 7.1 above, notarially attested.

GENERAL

10    A valuation in respect of each of the Vessels obtained in accordance with
      the provisions of Clause 11.17, the aggregate of which valuations shall be
      equal to or greater than one billion and fifty million Dollars
      (USD1,050,000,000).

11    Confirmation from the Process Agent that it will act for each of the
      Obligors as agent for service of process in England.

12    Opinions from lawyers appointed by the Agent including English and
      Bermudan lawyers as to any of the foregoing matters or otherwise as the
      Lenders may require in the form required by the Lenders.

13    Certified Copy of the MOA including all addenda.

14    A copy of:

      14.1  the audited consolidated financial statements of the NCLC Group for
            the financial year ending on 31 December 2003;

      14.2  the unaudited consolidated financial statements of the NCLC Group
            for the fiscal quarter ending on 31 March 2004; and

      14.3  detailed projected consolidated financial statements of the NCLC
            Group for the six financial years ending after the Signing Date,
            which projections shall (a) reflect the forecasted consolidated
            financial condition of the NCLC Group after giving effect to the
            Facility and the related financing thereof; and (b) be prepared and
            approved by the chief financial officer of NCL.

15    Copies of all Companies Acts forms for filing of charges in Bermuda.

16    Payment of all fees under Clause 16.

                                      110
<PAGE>

B     AT LEAST FOUR (4) BUSINESS DAYS BEFORE THE DRAWDOWN DATE AND EACH ADVANCE
      DATE

17    Drawdown notice duly executed by the Borrower in the form of Schedule 2.

C     ON THE EARLIER OF THE DRAWDOWN DATE AND THE FIRST ADVANCE DATE

18    Such evidence as the Lenders may require that each of the Vessels is:

      18.1  provisionally, in the case of the Norwegian Spirit Vessel, and
            permanently, in the case of the Norwegian Star Vessel, registered in
            the name of the relevant Owner under the Bahamian flag, and
            permanently, in the case of the Pride of Aloha Vessel, registered in
            the name of Pride of Aloha, with a certificate of registry free from
            all liens and encumbrances except the relevant Mortgage;

      18.2  classified with the highest classification available free of all
            recommendations and qualifications with Det Norske Veritas;

      18.3  insured in accordance with the terms of the Security Documents;

      18.4  managed by the relevant Manager pursuant to the relevant Management
            Agreement; and

      18.5  in the case of the Pride of Aloha Vessel, managed by the Sub-Agent
            pursuant to the Sub-Agency Agreement.

19    Certified Copy of the bill of sale in respect of the Norwegian Spirit
      Vessel.

20    Certified Copy of the unconditional protocol of delivery and acceptance
      duly signed by the Seller and Norwegian Spirit.

21    Copies of valid trading and other certificates to be produced by the
      Seller pursuant to the MOA.

22    Certified Copies of the Management Agreements.

23    Certified Copy of Sub-Agency Agreement.

24    Mortgages over the Vessels duly executed and lodged for registration at
      the Bahamas Maritime Authority in London and the US Coast Guard National
      Vessel Documentation Center respectively.

                                      111
<PAGE>

25    Earnings Assignments duly executed.

26    Insurance Assignments duly executed.

27    Guarantees duly executed.

28    Charges duly executed.

29    Management Agreement Assignments duly executed.

30    Sub-Agency Agreement Assignment duly executed.

31    Telefax confirmations from the insurance brokers for marine risks (hull
      and machinery) and the managers of any protection and indemnity or war
      risks association through whom any Insurances have been placed in respect
      of the Vessels that the Insurances have been placed and upon receipt of a
      notice of assignment of the Insurances they will issue letters of
      undertaking in the form approved by the Lenders.

32    Opinions from Bahamian and US lawyers appointed by the Agent as to due
      registration of the Vessels and due registration of the Mortgages and from
      English, Bermudan, New York and Isle of Man lawyers appointed by the Agent
      as to any of the foregoing matters or otherwise as the Lenders may require
      in the form required by the Lenders.

33    From the Agent's insurance advisers, a report on the Insurances for each
      Vessel and a certificate confirming that such Insurances are placed with
      such insurance companies and/or underwriters and/or clubs, in such
      amounts, against such risks, and in such form, as should be acceptable to
      the Lenders and conform with the provisions of the relevant Mortgage.

34    Where a secretary's certificate referred to in paragraph 7 of this
      Schedule 3 is dated more than ten (10) days prior to the earlier of the
      Drawdown Date and the first Advance Date, a bringdown certificate, which
      need not be notarially attested if signed by the same person that signed
      the secretary's certificate referred to in paragraph 7 of this Schedule 3.

35    Certified Copy of the carrier initiative agreement executed pursuant to
      the Mortgages.

36    Certified Copies of any current certificate of financial responsibility in
      respect of the Vessels issued under OPA.

                                      112
<PAGE>

37    Certified Copies of a valid safety management certificate (or interim
      safety management certificate) issued to each of the Vessels in respect of
      its management by NCL (Bahamas) pursuant to the International Safety
      Management Code.

38    Certified Copy of a valid document of compliance (or interim document of
      compliance) issued to NCL (Bahamas) in respect of ships of the same type
      as the Vessels pursuant to the International Safety Management Code.

39    Certified Copy of a valid international ship security certificate issued
      to the Vessel in accordance with the International Ship and Port Facility
      Security Code adopted by the International Maritime Organisation.

NCL (BAHAMAS) AND NCL AMERICA

40    Notarially attested secretary's certificate:

      40.1  attaching a copy of its Certificate of Incorporation and Memorandum
            and Articles of Association (or equivalent documents) evidencing
            power to enter into the transactions contemplated by this Agreement;

      40.2  giving the names of the present officers and directors;

      40.3  setting out specimen signatures of persons who would be authorised
            to sign documents or otherwise perform its obligations under the
            Security Documents;

      40.4  giving the legal and beneficial owners of its issued shares and the
            number of shares held by each shareholder;

      40.5  attaching copies of resolutions passed at a duly convened meeting of
            the directors approving the granting and the execution of the
            documents whose execution is contemplated hereby, insofar as they
            relate to it and the issue of any power of attorney to execute the
            same; and

      40.6  containing a declaration of solvency as at the date of the
            secretary's certificate.

41    Where a secretary's certificate referred to in paragraph 40 of this
      Schedule 3 is dated more than ten (10) days prior to the earlier of the
      Drawdown Date and the first Advance Date, a bringdown certificate, which
      need not be notarially attested if signed by the same person that signed
      the secretary's certificate referred to in paragraph 40 of this Schedule
      3.

                                      113
<PAGE>

42    The original powers of attorney issued pursuant to the resolutions
      referred to paragraph 40.5 above, notarially attested.

GENERAL

43    Copies of Companies Act forms for filing of charges in Bermuda or the Isle
      of Man.

44    Payment of all fees due under Clause 16.

                                      114
<PAGE>

                                   SCHEDULE 4

                           CONFIDENTIALITY UNDERTAKING

                            [ON BANK'S HEADED PAPER]

TO: NCL CORPORATION LTD.
    Milner House
    18 Parliament Street
    Hamilton HM 12
    Bermuda
    (the "BORROWER")

    DNB NOR BANK ASA
    Stranden 21
    NO-0021 Oslo
    Norway
    (the "AGENT")

NCL CORPORATION LTD.
USD800,000,000 FACILITY (THE "FACILITY")
FORM OF CONFIDENTIALITY UNDERTAKING

1     We hereby undertake that we will keep confidential and will not make use
      of for any purposes (other than for the purposes of the Facility) all
      information delivered to us in connection with the Facility and all
      information obtained by us in the course of discussions with the Agent,
      the Borrower or any other party involved with the Facility (collectively
      the "INFORMATION") until and save to the extent that the Information has
      been released into the public domain by persons duly authorised by the
      Borrower to do so. However, we shall be entitled to supply the Information
      to:

      1.1   professional advisers solely for use in connection with the Facility
            after drawing to the attention of those advisers the content of the
            undertaking as to confidentiality given by us and after obtaining
            similar undertakings from them; and

      1.2   any third party where we have been authorised in writing to do so by
            the Borrower; and

      1.3   subject to giving reasonable prior notice to the Borrower, to any
            banking or regulatory authority to which we are subject after
            drawing to the attention of such authority the content of the
            undertaking as to confidentiality given by us; and

                                      115
<PAGE>

      1.4   pursuant to subpoena or other legal process and pursuant to any law
            or regulation having the force of law.

2     We further undertake that if we decide not to participate in the Facility,
      we will return to the Agent the originals and additional copies or
      extracts made therefrom and all documentary Information delivered to us by
      the Agent in relation to the Facility and/or the Borrower (including any
      supplied to third parties as contemplated in paragraph 1).

For and on behalf of
BANK NAME:

By: _______________________

Date:

                                      116
<PAGE>

                                   SCHEDULE 5

                              TRANSFER CERTIFICATE

Lenders are advised not to employ Transfer Certificates or otherwise to assign
or transfer interests in the Facility Agreement without further ensuring that
the transaction complies with all applicable laws and requisitions, including
the Financial Services Act 1986 and regulations made thereunder and similar
statutes which may be in force in other jurisdictions.

TO:   DNB NOR BANK ASA (the "AGENT") as agent on its own behalf and for and on
      behalf of the Borrower, the Owners and the Lenders as defined in the
      Facility Agreement referred to below

      ATTENTION: Mrs Solveig Nuland Knoff

                                                               Date:

This certificate (the "TRANSFER CERTIFICATE") relates to a loan facility
agreement dated              2004 (as the same may from time to time be amended,
supplemented and/or novated the "FACILITY AGREEMENT") made between (among
others) (1) NCL Corporation Ltd. as borrower (the "BORROWER") (2) the banks and
financial institutions referred to therein as lenders (the "LENDERS") and (3)
DnB NOR Bank ASA (the "AGENT") whereby the Lenders have agreed to make available
to the Borrower a loan facility in the amount of up to eight hundred million
Dollars (USD800,000,000). Terms defined in the Facility Agreement shall, unless
otherwise defined herein, have the same meanings herein as therein.

In this Transfer Certificate:

the "TRANSFEROR" means [full name] of [lending branch];

the "TRANSFEREE" means [full name] of [lending branch].

1     The Transferor with full title guarantee transfers to the Transferee
      absolutely in accordance with Clause 20.1 of the Facility Agreement all
      rights and interests (present, future or contingent) which the Transferor
      has as Lender under or by virtue of the Facility Agreement and all the
      other Security Documents insofar as such rights and interests relate to
      that portion of its Contribution to the Facility in an amount equal to [ ]
      Dollars (USD[ ]) out of its total Contribution which at the date hereof is
      [ ] Dollars (USD[ ]).

2     By virtue of this Transfer Certificate and Clause 20.5 of the Facility
      Agreement, the Transferor is discharged entirely with effect from the
      Transfer Date from that portion of

                                      117
<PAGE>

      its Contribution to the Facility and its obligations relating thereto to
      the extent of [ ] Dollars (USD[ ]) out of its total Contribution at such
      date.

3     The Transferee hereby requests:

      3.1   the Borrower, the Owners, the Agent and the Lenders to accept the
            executed copies of this Transfer Certificate as being delivered
            pursuant to and for the purposes of Clause 20.1 of the Facility
            Agreement; and

      3.2   the Agent to execute this Transfer Certificate on behalf of itself
            and the other said parties pursuant to Clause 20.5 of the Facility
            Agreement so that this Transfer Certificate will take effect in
            accordance with the terms thereof on [specify date of transfer] [or]
            [the date on which the Agent receives a certificate signed by [the
            Transferor] confirming that the following conditions have been
            fulfilled [specify conditions to transfer].

4     The Transferee:

      4.1   confirms that it has received a copy of the Facility Agreement and
            the other Security Documents together with such other documents and
            information as it has required in connection with the transaction
            contemplated thereby;

      4.2   confirms that it has not relied and will not hereafter rely on the
            Transferor, the Agent or the Lenders to check or enquire on its
            behalf into the legality, validity, effectiveness, adequacy,
            accuracy or completeness of the Facility Agreement or any other of
            the Security Documents or any other documents or information;

      4.3   agrees that it has not relied and will not rely on the Transferor,
            the Agent or the Lenders to assess or keep under review on its
            behalf the financial condition, creditworthiness, condition,
            affairs, status or nature of the Borrower or any other party to the
            Facility Agreement or any other of the Security Documents (save as
            otherwise expressly provided therein);

      4.4   warrants that it has power and authority to become a party to the
            Facility Agreement and has taken all necessary action to authorise
            execution of this Transfer Certificate and to obtain all necessary
            approvals and consents to the

                                      118
<PAGE>

      assumption of its obligations under the Facility Agreement and the other
      Security Documents;

      4.5   if not already a Lender, appoints the Agent to act as its agent as
            provided in the Facility Agreement and the other Security Documents
            and agrees to be bound by the terms of Clause 20.5 of the Facility
            Agreement and by all the terms of Clause 22 of the Facility
            Agreement.

5     The Transferor:

      5.1   warrants to the Transferee that it has full power to enter into this
            Transfer Certificate and has taken all corporate action necessary to
            authorise it to do so;

      5.2   warrants to the Transferee that this Transfer Certificate is binding
            on the Transferor under the laws of England, the country in which
            the Transferor is incorporated and the country in which its Lending
            Branch is located; and

      5.3   agrees that it will, at its own expense, execute any documents which
            the Transferee reasonably requests for perfecting in any relevant
            jurisdiction the Transferee's title under this Transfer Certificate
            or for any similar purpose.

6     The Transferee hereby undertakes to the Transferor and each of the other
      parties to the Facility Agreement that it will perform in accordance with
      its terms all those obligations which by the terms of the Facility
      Agreement will be assumed by it after the transfer contemplated by this
      Transfer Certificate has taken effect.

7     If a Transferor and a Transferee effect a transfer in accordance with
      Clause 3 of this Transfer Certificate during an Interest Period, the Agent
      shall make all payments which would have become due to the Transferor
      under the Facility Agreement during the relevant Interest Period to the
      Transferor, as if no such transfer had been effected by the Transferor to
      the Transferee, according to the percentages of the Transferor's
      Contribution and/or Commitment transferred and retained pursuant to
      Clauses 1 and 2 of this Transfer Certificate, and the Transferor and the
      Transferee shall be responsible for paying to each other pro rata all
      amounts (if any) due to them from each other for such Interest Period. On
      and from the commencement of the immediately succeeding Interest Period,
      the Agent shall make all payments due under the Facility Agreement for the
      account of the Transferor, to the Transferor, and shall make all payments
      due under the Facility Agreement for the account of the Transferee, to the
      Transferee. This provision is for

                                      119
<PAGE>

      administrative convenience only and shall not affect the rights of the
      Transferor and the Transferee under the Facility Agreement.

8     None of the Transferor, the Agent or the Lenders:

      8.1   makes any representation or warranty nor assumes any responsibility
            with respect to the legality, validity, effectiveness, adequacy or
            enforceability of the Facility Agreement or any other of the
            Security Documents or any document relating thereto;

      8.2   assumes any responsibility for the financial condition of the
            Borrower or any other party to the Facility Agreement or any other
            of the Security Documents or any such other document or for the
            performance and observance by the Borrower or any other party to the
            Facility Agreement or any other of the Security Documents or any
            such other document (save as otherwise expressly provided therein)
            and any and all such conditions and warranties, whether expressed or
            implied by law or otherwise, are hereby excluded (except as
            aforesaid).

9     The Transferor and the Transferee each undertakes that it will on demand
      fully indemnify the Agent in respect of any claim, proceeding, liability
      or expense which relates to or results from this Transfer Certificate or
      any matter connected with or arising out of it unless caused by the
      Agent's or the Agent's gross negligence or wilful misconduct, as the case
      may be.

10    The agreements and undertaking of the Transferee in this Transfer
      Certificate are given to and for the benefit of and made with each of the
      other parties to the Facility Agreement.

11    This Transfer Certificate shall be governed by, and construed in
      accordance with, English law.

IN WITNESS whereof the Transferor, the Transferee and the Agent (as agent for
and on behalf of itself as the Agent, the Borrower, the Owners and the Lenders
(other than the Transferor)) have caused this Transfer Certificate to be
executed on the day first written above.

                                      120
<PAGE>

THE TRANSFEROR

SIGNED by                                  )
                                           )
for and on behalf of                       )
[         ]                                )
in the presence of:                        )

THE TRANSFEREE

SIGNED by                                  )
                                           )
for and on behalf of                       )
[         ]                                )
in the presence of:                        )

THE AGENT

SIGNED by                                  )
                                           )
for and on behalf of                       )
DNB NOR BANK ASA                           )
as agent for and on behalf                 )
of itself as the Agent, the Borrower,      )
the Owners and the Lenders                 )
in the presence of:                        )

Note: The execution of this Transfer Certificate alone may not transfer a
      proportionate share of the Transferor's interest in the security
      constituted by the Security Documents in the Transferor's or Transferee's
      jurisdiction. It is the responsibility of each individual Lender to
      ascertain whether any other documents are required to perfect a transfer
      of such a share in the Transferor's interest in such security in any such
      jurisdiction, and, if so, to seek appropriate advice and arrange for
      execution of the same.

                                      121
<PAGE>

                                    SCHEDULE
                      ADMINISTRATIVE DETAILS OF TRANSFEREE

Name of Transferee:

Lending Branch:

Contact Person
(Loan Administration Department):

Telephone:

Fax:

Email:

Contact Person
(Credit Administration Department):

Telephone:

Fax:

Email:

Account for Payments:

                                      122
<PAGE>

                                   SCHEDULE 6

                   QUARTERLY STATEMENT OF FINANCIAL COVENANTS

TO: DNB NOR BANK ASA
    Stranden 21
    NO-0021 Oslo
    Norway

    ATTN: Mr Jon Flovik

We refer to clause 11.3 of the loan facility agreement dated    2004 (as
amended, varied and/or supplemented from time to time) (the "FACILITY
AGREEMENT") between (among others) you as agent and ourselves as borrower. Terms
defined in the Facility Agreement shall have the same meanings herein.

We hereby certify the amounts set out in the attached schedule as at the last
day of the financial quarter ending     20[ ] for NCL Corporation Ltd. (the
"BORROWER") and its subsidiaries on a consolidated basis. We also hereby certify
that the Borrower is in compliance with all the financial covenants set out in
clause 11.3 of the Facility Agreement.

NCL CORPORATION LTD.

_____________________________
BY: [       ]
Chief Financial Officer

DATED:                  20[      ]

                                      123
<PAGE>

                                    SCHEDULE

          STATEMENT OF FINANCIAL COVENANTS AS OF [ ] 20[ ] (IN USD'000)

<TABLE>
<CAPTION>
 CLAUSE (OF
 FACILITY
 AGREEMENT)                                                  AS OF [o]   REQUIRED COVENANTS
<S>                                                          <C>         <C>
11.3.1         CASH BALANCE                                      A       A>USD50,000,000
                                                                         >1.2:1 for 2004
11.3.2         CONSOLIDATED EBITDA:                              B       >1.25:1 thereafter

               CONSOLIDATED DEBT SERVICE                         C
                                                                         <0.65:1 up to
                                                                         31 December 2007
11.3.3         TOTAL NET FUNDED DEBT:                            D       <0.60:1 thereafter

               TOTAL CAPITALISATION                              E

               CONSOLIDATED EBITDA
               Consolidated Net Income (loss)                              x
(Deduct)/Add:  (Gain)/Loss on sale of assets or reserves                   x
Add:           Consolidated Interest Expense                               x
Add:           Depreciation and amortisation of assets                     x
Add:           Impairment charges                                          x
(Deduct)/Add:  Other non-recurring charge (gain)                           x
Add:           Deferred income tax expense                                 x
                                                                         ---
               CONSOLIDATED EBITDA                                         x        B
                                                                         ---

               CONSOLIDATED DEBT SERVICE
               Principal paid/payable (excluding balloon
               payments, voluntary prepayments/repayments
               on sale/total loss of an NCLC Fleet vessel)                 x
Add:           Consolidated Interest Expense                               x
               Distributions                                               x
               Rent under capitalised leases                               x
                                                                         ---
               CONSOLIDATED DEBT SERVICE                                   x        C
                                                                         ---

               TOTAL NET FUNDED DEBT
               Indebtedness for Borrowed Money                             x
Add:           Guarantees of non-NCLC Group members'
               obligations                                                 x
                                                                         ---
                                                                           x
                                                                         ---
Deduct:        Cash Balance                                               (x)       A
                                                                         ---
               TOTAL NET FUNDED DEBT                                      (x)       D
                                                                         ---
</TABLE>

                                      124
<PAGE>

<TABLE>
<S>                                                          <C>         <C>
               TOTAL CAPITALISATION
               Total Net Funded Debt                                       x
Add:           Consolidated stockholders' equity                           x
                                                                         ---
               TOTAL CAPITALISATION                                        x        E
                                                                         ---
</TABLE>

For and on behalf of NCL CORPORATION LTD.

_______________________________
[          ]

I, [ ], the officer primarily responsible for the financial management of the
NCLC Group, hereby declare that, to the best of knowledge and belief, the above
Statement of Financial Covenants as of [ ] 20[ ], in my opinion, is true and
correct.

_______________________________
[          ]
Chief Financial Officer
NCL CORPORATION LTD.

Dated:                20[  ]

                                      125

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