Document:

U.S. $200,000,000

                           RECEIVABLES
                   PURCHASE AND SALE AGREEMENT

                 Dated as of September 30, 1997

          As Amended and Restated as of March 30, 2001

                              Among

                  CL&P RECEIVABLES CORPORATION
                            as Seller

             THE CONNECTICUT LIGHT AND POWER COMPANY
               as Collection Agent and Originator

              CORPORATE ASSET FUNDING COMPANY, INC.
                         as a Purchaser

                         CITIBANK, N.A.
                            as a Bank

                               and

                  CITICORP NORTH AMERICA, INC.
                            as Agent
<PAGE>

              RECEIVABLES PURCHASE AND SALE AGREEMENT

                 Dated as of September 30, 1997

          As Amended and Restated as of March 30, 2001

          CL&P RECEIVABLES CORPORATION, a Connecticut corporation
(the  "Seller"), THE  CONNECTICUT LIGHT  AND  POWER  COMPANY, a
Connecticut  corporation, as Collection  Agent  and  Originator,
CORPORATE  ASSET  FUNDING COMPANY, INC., a Delaware  corporation,
CITIBANK,  N.A.  and  CITICORP NORTH  AMERICA  INC.,  a  Delaware
corporation  ("CNAI"), as agent (the "Agent") for the  Purchasers
and the Banks (as defined herein), agree as follows:

           PRELIMINARY STATEMENTS.  (1)  Certain terms which  are
capitalized  and used throughout this Agreement (in  addition  to
those defined above) are defined in Article I of this Agreement.

           (2)   The  Seller  has acquired, and may  continue  to
acquire Receivables from the Originator, either by purchase or by
contribution  to  the capital of the Seller, as  determined  from
time  to  time by the Seller and the Originator.  The  Seller  is
prepared to sell undivided fractional ownership interests in  the
Receivables (referred to herein as "Receivable Interests").

          (3)  The Conduit and the Banks are prepared to purchase
such  Receivable Interests from the Seller on the terms set forth
herein.

           (4)  CNAI has been requested and is prepared to act as
Agent.

           (5)   The  Act  and  the Financing Order  have  become
effective  and  the Notes and the Certificates are being  issued,
the effect of which is to require several changes to the Original
Agreement.

           (6)  This Agreement is an amendment and restatement of
the  Receivables  Purchase  and  Sale  Agreement,  dated  as   of
September  30, 1997, as amended as of September 29, 1998,  as  of
September  28,  1999  and as of September  27,  2000,  among  the
Seller,  the  Conduit,  Citibank and  the  Agent  (the  "Original
Agreement").

<PAGE>
          NOW, THEREFORE, the parties agree as follows:

                            ARTICLE I

                           DEFINITIONS

           SECTION 1.01.  Certain Defined Terms.  As used in this
Agreement, the following terms shall have the following  meanings
(such meanings to be equally applicable to both the singular  and
plural forms of the terms defined):

           "Act" means Sections 8 to 14, inclusive, of Public Act
98-28,  codified  as 16-245e to 16-245k of the  General  Statutes
of Connecticut.

          "Adverse Claim" means a lien, security interest, charge
or encumbrance, or other right or claim of any Person.

           "Affiliate"  when used with respect to a Person  means
any  other  Person  controlling, controlled by  or  under  common
control with such Person.

           "Affiliated  Obligor" means any Obligor  which  is  an
Affiliate of another Obligor.

          "Alternate Base Rate" means a fluctuating interest rate
per annum as shall be in effect from time to time, which rate per
annum shall at all times be equal to the higher of:

           (a)   the  rate  of  interest  announced  publicly  by
Citibank  in New York, New York, from time to time as  Citibank's
base rate; or

           (b)   1/2  of one percent above the latest  three-week
moving average of secondary market morning offering rates in  the
United  States for three-month certificates of deposit  of  major
United States money market banks, such three- week moving average
being determined weekly on each Monday (or, if such day is not  a
Business Day, on the next succeeding Business Day) for the three-
week  period  ending on the previous Friday by  Citibank  on  the
basis of such rates reported by certificate of deposit dealers to
and published by the Federal Reserve Bank of New York or, if such
publication  shall be suspended or terminated, on  the  basis  of
quotations  for  such rates received by Citibank from  three  New
York  certificate of deposit dealers of recognized  standing,  in
either  case  adjusted to the nearest 1/4 of one percent  or,  if
there is no nearest 1/4 of one percent, to the next higher 1/4 of
one percent.

           "Applicable  Percentage"  means,  for  any  Settlement
Period, the rate per annum set forth below corresponding,  as  of
the  first Business Day of such Settlement Period, to the  actual
ratings for the Originator's long-term public senior debt on such
date  (or, if the two ratings do not correlate on any such  date,
the lower of the two ratings):

   Public Debt Rating by
Standard & Poor's and Moody's         Applicable Percentage
     BBB/Baa2 (or higher)               1.00%
     BBB-/Baa3                          1.25%
     BB+/Ba1                            1.50%
     BB/Ba2                             2.00%
     BB-/Ba3                            2.25%

           "Assignee  Rate"  for any Settlement  Period  for  any
Receivable Interest means an interest rate per annum equal to the
Eurodollar   Rate  plus  the  Applicable  Percentage   for   such
Settlement Period; provided, however, that in case of:

                (i)   any  Settlement Period on or prior  to  the
first  day  of which a Purchaser or Bank shall have notified  the
Agent  that  the  introduction of or any  change  in  or  in  the
interpretation of any law or regulation makes it unlawful, or any
central bank or other governmental authority asserts that  it  is
unlawful,  for  such  Purchaser or Bank to fund  such  Receivable
Interest at the Assignee Rate set forth above (and such Purchaser
or  Bank shall not have subsequently notified the Agent that such
circumstances no longer exist),

                 (ii)  any  Settlement  Period  of  one  to  (and
including) 29 days,

                (iii)  any Settlement Period as to which  the
Agent  does not receive notice, by no later than 12:00 noon  (New
York City time) on the third Business Day preceding the first day
of  such  Settlement Period, that the related Receivable Interest
will not be funded by issuance of commercial paper, or

                (iv)  any  Settlement  Period  for  a  Receivable
Interest the Capital of which allocated to the Purchasers or  the
Banks is less than $500,000,

the  "Assignee  Rate"  for such Settlement  Period  shall  be  an
interest  rate  per  annum equal to 0.25%  per  annum  above  the
Alternate Base Rate in effect on the first day of such Settlement
Period; provided further that the Agent and the Seller may  agree
in writing from time to time upon a different "Assignee Rate."

           "Average Dilution Ratio" means for any calendar  month
the average of the Dilution Ratios for the 12 most recently ended
calendar months.

           "Average  Maturity" means at any time that  period  of
days  equal  to  the  average maturity of  the  Pool  Receivables
calculated by the Collection Agent in the then most recent Seller
Report;  provided  that if the Agent shall  determine  that  such
calculation is incorrect, the Agent may recalculate such  Average
Maturity.

           "Bank  Commitment" of any Bank means, (a) with respect
to  Citibank  $100,000,000  or such  amount  as  reduced  by  any
assignment entered into between Citibank and other Banks; or  (b)
with  respect to a Bank that has entered into an assignment  with
another  Bank, the amount set forth therein as such  Bank's  Bank
Commitment,  in  each case as such amount may be  reduced  by  an
assignment  entered  into  between  such  Bank  and  an  Eligible
Assignee, and as may be further reduced (or terminated)  pursuant
to  the  next  sentence.  Any reduction (or termination)  of  the
Purchase  Limit  pursuant to the terms of  this  Agreement  shall
reduce ratably (or terminate) each Bank's Bank Commitment.

           "Banks" means Citibank and each Eligible Assignee that
shall become a party to this Agreement pursuant to Section 9.01.

           "Budget  Account" means an account of an Obligor  with
the  Originator pursuant to which such Obligor is billed a  fixed
monthly  fee for a fixed period of time at the end of which  such
Obligor's account with the Originator is adjusted.

           "Budget Account Credit Balance" means for any date the
amount  by which amounts paid by an Obligor pursuant to a  Budget
Account  exceeds  the amount for which such Obligor  should  have
been billed by the Originator had such Obligor not been party  to
a Budget Account.

          "Business Day" means any day on which (i) banks are not
authorized  or required to close in New York City,  and  (ii)  if
this  definition of "Business Day" is utilized in connection with
the  Eurodollar  Rate, dealings are carried  out  in  the  London
interbank market.

          "Capital" of any Receivable Interest means the original
amount  paid  to the Seller for such Receivable Interest  at  the
time  of  its Purchase by the Conduit or a Bank pursuant to  this
Agreement,  in each case reduced from time to time by Collections
distributed  on  account  of  such Capital  pursuant  to  Section
2.06(d); provided that if such Capital shall have been reduced by
any  distribution  and  thereafter  all  or  a  portion  of  such
distribution is rescinded or must otherwise be returned  for  any
reason,  such  Capital shall be increased by the amount  of  such
rescinded  or  returned distribution, as though it had  not  been
made.

          "Certificate Indenture" means the Certificate Indenture
dated  as  of  March 30, 2001, among the Certificate Issuer,  the
Delaware Trustee and the Certificate Trustee, as the same may  be
amended, modified or restated from time to time.

           "Certificate  Issuer " means Connecticut  RRB  Special
Purpose Trust CL&P-1, a Delaware business trust.

           "Certificate  Trustee"  means  the  Person  acting  as
trustee under the Certificate Indenture.

            "Certificates"  means  the  Connecticut  RRB  Special
Purpose  Trust CL&P- 1 Rate Reduction Certificates  issued  under
the Certificate Indenture.

           "Citibank"  means Citibank, N.A., a  national  banking
association.

           "Collection Agent" means at any time the  Person  then
authorized pursuant to Article VI to administer and collect  Pool
Receivables.

           "Collection  Account" means Account  #  9370121283  at
Fleet National Bank, Hartford, Connecticut.

          "Collection Agent Fee" has the meaning specified in the
Originator Purchase Agreement.

           "Collection  Agent  Fee Reserve"  for  any  Receivable
Interest  at any time means the sum of (i) the unpaid  Collection
Agent  Fee relating to such Receivable Interest accrued  to  such
time  plus  (ii)  an  amount equal to (a)  the  Capital  of  such
Receivable Interest on such date multiplied by (b) the product of
(x) the percentage per annum at which the Collection Agent Fee is
accruing  on such date and (y) a fraction having the sum  of  the
Average  Maturity plus the Collection Delay Period  (each  as  in
effect at such date) as its numerator and 360 as its denominator.

           "Collection Delay Period" means 10 days or such  other
number of days as may be agreed to by the Agent and the Seller.

           "Collections"  means, with respect to any  Receivable,
all  cash collections and other cash proceeds of such Receivable,
including,  without  limitation, all  cash  proceeds  of  Related
Security  with respect to such Receivable, and any Collection  of
such  Receivable deemed to have been received pursuant to Section
2.06.

          "Commitment Termination Date" means the earliest of (a)
July  11,  2001,  unless, prior to such  date  (or  the  date  so
extended  pursuant  to this clause), upon the  Seller's  request,
made  not  more than 90 nor less than 45 days prior to  the  then
Commitment Termination Date, one or more Banks having 100% of the
Purchase  Limit  shall  in their sole discretion  consent,  which
consent  shall be given not more than 30 days prior to  the  then
Commitment  Termination Date, to the extension of the  Commitment
Termination  Date to the date occurring not more  than  360  days
after  the  then Commitment Termination Date; provided,  however,
that  any failure of any Bank to respond to the Seller's  request
for  such  extension shall be deemed a denial of such request  by
such  Bank,  (b) the Facility Termination Date and (c)  the  date
determined pursuant to Section 7.01.

           "Concentration  Limit"  means,  with  respect  to  any
Obligor,  2% (or such higher percentage as is agreed  to  by  the
Agent)  of  the  Outstanding Balance of all Pool  Receivables  (a
"Normal  Concentration Limit"), or such other percentage  of  the
Outstanding  Balance of all Pool Receivables, or such  amount  as
may be designated for any Obligor by the Seller and agreed to for
such  Obligor  by  the  Agent,  in  a  notice  to  the  Agent  in
substantially  the  form of Exhibit A (such other  percentage  or
amount  for  any Obligor being a "Special Concentration  Limit"),
subject  to  cancellation  thereof  pursuant  to  Section   2.01;
provided,  however, that, in the case of an Obligor with  one  or
more Affiliated Obligors which is or are Designated Obligors, the
Concentration  Limit shall be calculated as if such  Obligor  and
such one or more Affiliated Obligors were one Obligor.

           "Conduit" means Corporate Asset Funding Company,  Inc.
and  any  successor  or  assign thereof  that  is  a  receivables
investment  company which in the ordinary course of its  business
issues   commercial  paper  or  other  securities  to  fund   its
acquisition and maintenance of receivables.

           "Contract" means the Tariffs and any agreement between
the  Originator and an Obligor, provided that such agreement does
not  vary  the  payment terms of such Obligor from those  in  the
Tariffs or the Credit and Collection Policy.

           "Credit and Collection Policy" means those credit  and
collection policies and practices of the Originator in effect  on
the  date  hereof relating to the Receivables,  as  they  may  be
modified in the manner permitted under Section 5.03(c).

           "Default  Ratio"  means  the  ratio  (expressed  as  a
percentage) computed as of the last day of each calendar month by
dividing  (i)  the  aggregate Outstanding  Balance  of  all  Pool
Receivables that were Defaulted Receivables on such day  or  that
would  have been Defaulted Receivables on such day had  they  not
been written off the books of the Originator or the Seller during
such  month by (ii) the aggregate Outstanding Balance of all Pool
Receivables on such day.

          "Defaulted Receivable" means a Receivable:

           (i)  as to which any payment, or part thereof, remains
unpaid  for  91 days or more from the original billing  date  for
such payment and which does not relate to an Inactive Account,

           (ii)  as  to which the Obligor thereof, or  any  other
Person  obligated  thereon  or owning  any  Related  Security  in
respect  thereof, has taken any action, or suffered any event  to
occur, of the type described in Section 7.01(g), or

            (iii)      which,  consistent  with  the  Credit  and
Collection Policy, would be written off the Originator's  or  the
Seller's books as uncollectible.

           "Deferred Purchase Price" has the meaning specified in
the Originator Purchase Agreement.

           "Delaware  Trustee" means First Union  Trust  Company,
National Association.

           "Delinquency  Ratio" means the ratio (expressed  as  a
percentage) computed as of the last day of each calendar month by
dividing  (i)  the  aggregate Outstanding  Balance  of  all  Pool
Receivables that were Delinquent Receivables on such day by  (ii)
the aggregate Outstanding Balance of all Pool Receivables on such
day.

           "Delinquent Receivable" means a Receivable that is not
a Defaulted Receivable and:

           (i)  as to which any payment, or part thereof, remains
unpaid  for  61 days or more from the original billing  date  for
such payment; or

           (ii)  which, consistent with the Credit and Collection
Policy,  would  be classified as delinquent by the Originator  or
the Seller.

           "Designated Account" means an account in the name  of,
and  owned  by, CNAI, as Agent, designated by the Agent  for  the
purpose  of  receiving  collections of Pool Receivables  directly
from Obligors.

           "Designated Obligor" means, at any time,  any  Obligor
unless  the  Seller  or the Agent has, following  three  Business
Days'  notice in accordance with Section 2.01, advised the  other
that such Obligor shall not be considered a Designated Obligor.

           "Dilution"  means  any reduction  in  the  Outstanding
Balance  of any Receivable, except for reductions resulting  from
payments or writeoffs with respect to such Receivable.

          "Dilution Horizon Factor" means the ratio (expressed as
percentage) computed by dividing (i) the sum of (a) the aggregate
Outstanding  Balance of all Receivables created during  the  most
recently  ended calendar month and (b) the aggregate  Outstanding
Balance of Unbilled Receivables as determined on the last day  of
the   most  recently  ended  calendar  month  by  (ii)  the   Net
Receivables Pool Balance as of the last day of the most  recently
ended calendar month.

           "Dilution  Ratio"  means for any  calendar  month  the
greater  of (i) the ratio (expressed as a percentage) of (A)  the
aggregate  amount  of Dilution with respect  to  the  Receivables
during   such  calendar  month  to  (B)  the  aggregate  original
Outstanding Balance of all Receivables generated during the month
preceding the most recently ended calendar month and (ii) 0.5%.

           "Dilution Volatility Factor" means, as of the last day
of  each  calendar month, the product (expressed as a percentage)
of (i) the amount by which (A) the highest Dilution Ratio for any
of the twelve most recently ended calendar months exceeds (B) the
average of the Dilution Ratios for the twelve most recently ended
calendar  months  and (ii) a fraction equal to  (A)  the  highest
Dilution Ratio for any of the twelve most recently ended calendar
months divided by (B) the average of the Dilution Ratios for  the
twelve most recently ended calendar months.

           "DPUC  "  means the Connecticut Department  of  Public
Utility Control.

            "Eligible  Assignee"  means  (a)  CNAI,  any  of  its
Affiliates,  any Person managed by Citibank or  CNAI  or  any  of
their  Affiliates  or  (b)  any financial  or  other  institution
acceptable to the Agent.

           "Eligible  Receivable" means, at  any  time  and  with
respect to any Receivable Interest, a Receivable:

           (i)   the Obligor of which is a United States resident
and  is  not a government or a governmental subdivision or agency
(including,  without limitation, any such government, subdivision
or  agency  that  has  the  right to offset  obligations  to  the
Originator  with  tax-related claims of any  kind),  except  that
Receivables  of  governmental Obligors will be permitted  to  the
extent that the aggregate Outstanding Balance of such Receivables
does  not exceed 15% of the aggregate Outstanding Balance of  all
Pool Receivables;

           (ii) the Obligor of which, at the time of the purchase
of an undivided percentage ownership interest in such Receivable,
is a Designated Obligor;

           (iii) which,  at the time of the purchase  of  an
undivided  percentage ownership interest in such  Receivable,  is
not a Delinquent Receivable or a Defaulted Receivable;

           (iv) which does not relate to an Inactive Account  and
which, according to the Contract related thereto, is required  to
be  paid  in  full  within 30 days of the original  billing  date
therefor;

           (v)  the Outstanding Balance of which, at the time  of
the  purchase  of an undivided percentage ownership  interest  in
such  Receivable,  does  not,  when calculated  substantially  as
provided in the Seller Report, exceed the Concentration Limit  of
the Obligor thereon;

           (vi) which arises under a Contract which has been duly
authorized and which, together with such Receivable, is  in  full
force  and  effect and constitutes the legal, valid  and  binding
obligation of the Obligor of such Receivable enforceable  against
such  Obligor in accordance with its terms and is not subject  to
any  dispute, offset, counter-claim or defense whatsoever (except
the discharge in bankruptcy of such Obligor);

           (vii) which,  together with the Contract  related
thereto,  does  not contravene in any material respect  any  law,
rule   or   regulation  applicable  thereto  (including,  without
limitation,  any  law,  rule  or regulation  relating  to  usury,
consumer protection, truth in lending, fair credit billing,  fair
credit  reporting, equal credit opportunity, fair debt collection
practices  and  privacy) and with respect to which  none  of  the
Seller, the Originator or the Obligor is in violation of any such
law, rule or regulation in any material respect;

            (viii)  which   (A)  satisfies   all   applicable
requirements of the Credit and Collection Policy and (B) complies
with  such other reasonable criteria and requirements (other than
those  relating to the collectibility of such Receivable) as  the
Agent  may  from time to time specify to the Seller following  30
days' notice;

          (ix) which is an account receivable representing all or
part  of  the sales price of merchandise, insurance or  services,
within  the meaning of Section 3(c)(5) of the Investment  Company
Act of 1940, as amended;

           (x)   a  purchase of which with the proceeds of  notes
would  constitute a "current transaction" within the  meaning  of
Section 3(a)(3) of the Securities Act of 1933, as amended;

           (xi)  which  is  an "account" within  the  meaning  of
Section 9-106 of the UCC of all applicable jurisdictions;

           (xii)  which  is denominated and payable  only  in
United States dollars in the United States of America; and

           (xiii) as  to which, at or prior to  the  time  of
purchase  hereunder, the Agent has not notified the  Seller  that
the  Agent  has  determined, in its sole  discretion,  that  such
Receivable  (or  class  of Receivables)  is  not  acceptable  for
purchase hereunder.

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

           "Eurocurrency Liabilities" has the meaning assigned to
that  term  in  Regulation D of the Board  of  Governors  of  the
Federal Reserve System, as in effect from time to time.

           "Eurodollar Rate" means, for any Settlement Period, an
interest  rate  per annum equal to the rate per  annum  at  which
deposits  in U.S. dollars are offered by the principal office  of
Citibank  in  London,  England  to  prime  banks  in  the  London
interbank  market at 11:00 A.M. (London Time) two  Business  Days
before  the  first  day of such Settlement Period  in  an  amount
substantially   equal  to  the  Capital  associated   with   such
Settlement  Period on such first day and for a  period  equal  to
such Settlement Period.

           "Eurodollar Rate Reserve Percentage" of any  Purchaser
or  Bank  for any Settlement Period in respect of which Yield  is
computed  by  reference to the Eurodollar Rate means the  reserve
percentage applicable two Business Days before the first  day  of
such Settlement Period under regulations issued from time to time
by  the Board of Governors of the Federal Reserve System (or  any
successor)  (or  if  more  than  one  such  percentage  shall  be
applicable, the daily average of such percentages for those  days
in  such Settlement Period during which any such percentage shall
be so applicable) for determining the maximum reserve requirement
(including,  without limitation, any emergency,  supplemental  or
other  marginal reserve requirement) for such Purchaser  or  Bank
with  respect to liabilities or assets consisting of or including
Eurocurrency  Liabilities (or with respect to any other  category
of  liabilities that includes deposits by reference to which  the
interest rate on Eurocurrency Liabilities is determined) having a
term equal to such Settlement Period.

           "Event  of  Termination" has the meaning specified  in
Section 7.01.

           "Facility"  means the willingness of  the  Conduit  to
consider, in its sole discretion pursuant to Article II,  or  the
obligation  of  the  Banks to make pursuant to  Article  II,  the
purchase  from  the Seller of undivided percentage  interests  in
Pool  Receivables by making Purchases of Receivable Interests  or
reinvestments from time to time.

           "Facility Termination Date" means the earlier of  July
11,  2001 or the date of termination of the Facility pursuant  to
Section 2.02(c) or Section 7.01.

           "Fee Agreement" means the agreement dated the date  of
the  Original Agreement between the Seller and the Agent, as  the
same  may be amended or restated from time to time, with  respect
to  the  fees  to  be  paid  by or on behalf  of  the  Seller  in
connection with this Agreement.

          "Financing Order" means the order of the DPUC, in DPUC-
Docket  No. 00-05-01, issued on November 8, 2000, as supplemented
December 12, 2000, and as further supplemented March 12, 2001.

          "Inactive Account" means an account of an Obligor which
has been sent a final bill.

           "Incipient Event of Termination" means an event  which
would  constitute an Event of Termination but for the requirement
that notice be given or time elapse or both.

           "Intercreditor  Agreement" means that  certain  Inter-
Creditor  Agreement dated as of March 30, 2001, among the  Agent,
Citibank, the Note Trustee, the Seller, the Collection Agent  (in
its  capacities as Collection Agent under this Agreement  and  as
the   Servicer  under  the  Servicing  Agreement)  and  the  SPE,
consented to by the Certificate Trustee, the Delaware Trustee and
the  Certificate Issuer, as the same may be amended, modified  or
restated from time to time.

           "Liquidation Day" means, for any Receivable  Interest,
(i)  each  day  during  a Settlement Period for  such  Receivable
Interest  on which the conditions set forth in Section  3.02  are
not  satisfied, and (ii) each day which occurs on  or  after  the
Termination Date for such Receivable Interest.

           "Liquidation  Fee"  means, for any  Settlement  Period
during  which a Liquidation Day occurs, the amount,  if  any,  by
which  (i)  the additional Yield (calculated without taking  into
account  any  Liquidation Fee or any shortened duration  of  such
Settlement   Period)  which  would  have  accrued   during   such
Settlement  Period on the reductions of Capital of the Receivable
Interest  relating to such Settlement Period had such  reductions
remained as Capital exceeds (ii) the income, if any, received  by
the  Purchasers'  investing the proceeds of  such  reductions  of
Capital.

           "Loss  and Dilution Percentage" means for any calendar
month  the greater of (i) the sum of (A) the product of  (x)  the
highest  of  the Loss Ratios as of the last day of  each  of  the
twelve  most recently ended calendar months, (y) the Loss Horizon
Factor  as  of  the last day of the most recently ended  calendar
month  and  (z)  1.6  plus (B) the product  of  (a)  the  Average
Dilution  Ratio for the most recently ended calendar  month,  (b)
1.6  and  (c) the Dilution Horizon Factor as of the most recently
ended  calendar  month plus (C) the product of (a)  the  Dilution
Volatility  Factor as of the last day of the most recently  ended
calendar month and (b) the Dilution Horizon Factor as of the last
day  of  the  most  recently ended calendar month  and  (ii)  the
Minimum Percentage as of the last day of the most recently  ended
calendar month.

           "Loss  and Dilution Reserve" means, for any Receivable
Interest  on  any  date, an amount equal to the Capital  of  such
Receivable  Interest at the close of business of  the  Collection
Agent on such date multiplied by the Loss and Dilution Percentage
on such date.

           "Loss  Horizon  Factor" means for any date  the  ratio
(expressed  as a percentage) computed as of the last day  of  the
most  recently ended calendar month by dividing (i) the aggregate
Outstanding  Balance of all Receivables created  during  the  two
most recently ended calendar months plus the Unbilled Receivables
for  the  most  recent calendar month by (ii) the Net  Receivable
Pool Balance as of such date.

           "Loss  Ratio"  means for any date the average  of  the
ratios  (expressed as a percentage) for each of  the  three  most
recently  ended calendar months computed as of the  last  day  of
each  such calendar month determined by dividing the sum  of  (i)
the  gross writeoffs for such calendar month, (ii) increases,  if
any,  in  the outstanding balance of accounts designated  by  the
Originator  as  "hardship accounts" as of the last  day  of  such
calendar  month over the outstanding balance of such accounts  as
of  the  last  day  of  the preceding calendar  month  and  (iii)
additions  to  Inactive Accounts for such calendar month  by  the
aggregate  original Outstanding Balance of Receivables that  were
created  during the fifth preceding calendar month.  For purposes
of  this  definition, "additions to Inactive  Accounts"  for  any
calendar  month shall be (A) the outstanding balance of  Inactive
Accounts  as of the last day of the most recently ended  calendar
month less (B) the difference between (x) the outstanding balance
of  Inactive  Accounts as of the last day of the month  preceding
the  most  recently ended calendar month and (y) gross  writeoffs
for  the  most recently ended calendar month; provided,  however,
that if the amount calculated under this sentence shall, for  any
date, be a negative number, then, for purposes of calculating the
Loss  Ratio  on such date, the amount set forth in  clause  (iii)
above shall be zero.

           "Loss-to-Liquidation  Ratio" means  for  any  calendar
month  the ratio (expressed as a percentage) computed as  of  the
last  day  of  such calendar month by dividing (i) the  aggregate
Outstanding Balance of all Pool Receivables written  off  by  the
Collection Agent or the Seller, or which should have been written
off by the  Collection Agent or the Seller in accordance with its
Credit and Collection Policy, during such calendar month by  (ii)
the  aggregate amount of Collections of Pool Receivables actually
received during such calendar month.

           "Minimum Percentage" means on any date the sum of  (i)
the  product of (A) 4 and (B) the Normal Concentration  Limit  in
effect  on  such  date and (ii) the product of (A)  the  Dilution
Horizon Factor on such date and (B) the Average Dilution Ratio on
such date.

          "Moody's" means Moody's Investors Service, Inc.

           "Net  Receivables Pool Balance" means at any time  the
Outstanding   Balance  of  Eligible  Receivables  then   in   the
Receivables  Pool  reduced  by the sum  of  (i)  the  Outstanding
Balance  of  such  Eligible Receivables that are  then  Defaulted
Receivables  or  Delinquent Receivables or  arise  from  Inactive
Accounts,  (ii)  the  aggregate amount by which  the  Outstanding
Balance of Eligible Receivables (other than Defaulted Receivables
or  Delinquent Receivables) of any Obligor or group  of  Obligors
exceeds  the  product  of  (A) the Concentration  Limit  of  such
Obligor  or  group of Obligors multiplied by (B) the  Outstanding
Balance of the Receivables then in the Receivables Pool and (iii)
the sum of all Budget Account Credit Balances.

           "Normal Concentration Limit" has the meaning specified
in the definition of "Concentration Limit."

           "Note Indenture" means the Note Indenture dated as  of
March  30,  2001, between the SPE, as Note Issuer, and  the  Note
Trustee,  as  the same may be amended, modified or restated  from
time to time.

           "Notes" means the CL&P Funding LLC Notes issued  under
the Note Indenture.

          "Note Trustee" means the Person acting as trustee under
the Note Indenture.

           "Obligor"  means a Person obligated to  make  payments
pursuant to a Contract.

           "Original Agreement" has the meaning specified in  the
Preliminary Statements.

           "Originator"  means The Connecticut  Light  and  Power
Company, a Connecticut corporation.

           "Originator Purchase Agreement" means the Purchase and
Contribution Agreement, dated the date of the Original Agreement,
between  the Originator, as seller, and the Seller, as purchaser,
as  the  same may be amended, modified or restated from  time  to
time.

           "Other Corporations" means the Originator and  all  of
its Subsidiaries except the Seller.

           "Outstanding Balance" of any Receivable  at  any  time
means the then outstanding principal balance thereof.

           "Percentage"  of any Bank means (a)  with  respect  to
Citibank the percentage set forth on the signature page  to  this
Agreement, or such amount to which such percentage is reduced  by
an  assignment  entered into with an Eligible Assignee,  and  (b)
with  respect to a Bank that has entered into an assignment,  the
amount  set  forth  therein as such Bank's  Percentage,  or  such
amount  to  which  such percentage is reduced  by  an  assignment
entered into between such Bank and an Eligible Assignee.

           "Person" means an individual, partnership, corporation
(including  a  business  trust),  joint  stock  company,  limited
liability  company,  trust,  unincorporated  association,   joint
venture  or  other  entity,  or  a government  or  any  political
subdivision or agency thereof.

          "Pool Receivable" means a Receivable in the Receivables
Pool.

           "Pro Rata RRB Interest " has the meaning specified  in
Section 4.01(i).

            "Public   Disclosure   Documents"   means   (i)   the
Originator's  Annual  Report on Form 10-K  for  the  year  ending
December  31,  1996, (ii) the Originator's Quarterly  Reports  on
Form  10-Q  for the quarters ended March 31, 1997  and  June  30,
1997, Northeast Utilities' reports on Form 8-K dated January  20,
1997, February 20, 1997, February 28, 1997, April 11, 1997,  June
26,  1997,  July  22,  1997 and August  19,  1997  and  (iv)  the
Originator's Registration Statement No. 333-30911 on Form S-1, as
amended.

           "Purchase" means the purchase of a Receivable Interest
from the Seller, in accordance with Section 2.03(a).

           "Purchase  and  Sale Agreement" means  the  Transition
Property Purchase and Sale Agreement dated as of March 30,  2001,
between the SPE, as Note Issuer and the Originator, as Seller, as
the same may be amended, modified or restated from time to time.

          "Purchase Limit" means $100,000,000, as such amount may
be  reduced pursuant to Section 2.02; provided, however, that  at
no  time  shall  the  Purchase Limit exceed  the  aggregate  Bank
Commitments  in effect at such time.  References  to  the  unused
portion  of  the  Purchase Limit shall mean,  at  any  time,  the
Purchase  Limit,  as  then reduced pursuant to  Section  2.02(c),
minus  the then outstanding Capital of Receivable Interests under
this Agreement.

           "Purchaser" means the Conduit and all other owners  by
assignment  or  otherwise of a Receivable  Interest  (other  than
Banks)  and,  to  the  extent  of  the  undivided  interests   so
purchased, shall include any participants.

           "Purchaser  Rate" for any Settlement  Period  for  any
Receivable  Interest means, to the extent the Conduit funds  such
Receivable  Interest  for  such  Settlement  Period  by   issuing
commercial  paper, the per annum rate equivalent to the  weighted
average  of  the per annum rates paid or payable by  the  Conduit
from  time  to  time  as interest on or otherwise  (by  means  of
interest rate hedges or otherwise) in respect of those promissory
notes  issued by the Conduit that are allocated, in whole  or  in
part,  by  the  Agent  (on behalf of the  Conduit)  to  fund  the
purchase  or maintenance of such Receivable Interest during  such
Settlement  Period as determined by the Agent (on behalf  of  the
Conduit)  and  reported to the Seller, which rates shall  reflect
and  give  effect  to  the commissions of  placement  agents  and
dealers in respect of such commercial paper notes, to the  extent
such  commissions  are allocated, in whole or in  part,  to  such
commercial  paper notes by the Agent (on behalf of the  Conduit);
provided,  however,  that if any component  of  such  rate  is  a
discount  rate,  in  calculating the 'Purchaser  Rate'  for  such
Settlement Period the Agent shall for such component use the rate
resulting  from  converting such discount  rate  to  an  interest
bearing equivalent rate per annum.

           "Receivable"  means the accounts, general  intangibles
and  other  indebtedness  (billed and  unbilled)  of  an  Obligor
arising  from the retail sale of electricity and related services
by  the Originator in Connecticut to such Obligor pursuant  to  a
Contract  as booked to Accounts 142 (excluding amounts booked  to
Account  142.04)  and  173 as defined under  the  Federal  Energy
Regulatory  Commission  Chart  of Accounts  as  utilized  by  the
Originator, but excluding any obligation of such Obligor  to  pay
finance charges and other amounts in the case of late payment and
further excluding the RRB Charge.

           "Receivable Interest" means, at any time, an undivided
percentage   ownership  interest  in  all  Receivables   in   the
Receivables Pool and in all Related Security with respect to such
Pool  Receivables and all Collections with respect to, and  other
proceeds  of,  such  Pool  Receivables equal  to  the  Receivable
Interest Percentage.

          "Receivable Interest Percentage" means, with respect to
any  Receivable  Interest, a percentage equal  to  the  following
fraction:

                          C + YR + LR + CAFR
                          __________________

                               NRPB
          where:

       C       =     the  Capital of such  Receivable
                     Interest at the time of computation.

       YR      =     the  Yield  Reserve  of   such Receivable
                     Interest at the time of computation.

       LR      =     the Loss and Dilution Reserve  of such
                     Receivable Interest at the time of computation.

       CAFR    =     the Collection Agent Fee Reserve of such
                     Receivable Interest at the time of computation.

       NRPB    =     the Net Receivables Pool Balance at the time of
                     computation.

          "Receivables Pool" means at any time the aggregation of
each  then outstanding Receivable in respect of which the Obligor
is  a Designated Obligor at such time or was a Designated Obligor
on  the  date  of  the initial creation of an  interest  in  such
Receivable under this Agreement.

           "Regulatory Authority" means each of the DPUC, Federal
Energy   Regulatory  Commission,  and  any  successor  commission
thereto.

            "Related  Security"  means,  with  respect   to   any
Receivable:

     (i)     all security interests or liens and property subject
thereto from time to time purporting  to  secure  payment  of  such
Receivable, whether pursuant to the Contract  related to such
Receivable  or otherwise;

     (ii)      all guarantees, indemnities, warranties, insurance
policies and proceeds and premium refunds thereof and other
agreements or arrangements of whatever character from time to
time supporting or securing payment of such Receivable, whether
pursuant to the Contract related to such Receivable or otherwise;
and

     (iii)     the Contract and all other books, records and other
information (including, without limitation, computer programs,
tapes, discs, punch cards, data processing software and related
property and rights) relating to such Receivable and the related
Obligor.

           "Report"  means each Advice Letter and Certificate  of
Compliance,  as each of those terms is defined in  the  Servicing
Agreement  and  any  notice or report sent  pursuant  to  Section
3.01(b)(1) or Section 4.01(d) of the Servicing Agreement.

           "RRB  Charge" means the non-bypassable rate  reduction
bond charge permitted to be charged by the Originator to Obligors
as part  of a  competitive  transition assessment pursuant to  the
Financing Order,  including,  in  case of special contract
customers,  the portion  of the contract charge allocated to the RRB
Charge,  and which  may increase or decrease from time to time as
provided  in  the Financing Order.

           "Seller  Report"  means a report in substantially  the
form   of   Exhibit  B  hereto  and  containing  such  additional
information  as  the Agent may reasonably request  from  time  to
time, furnished by the Collection Agent to the Agent.

           "Servicing  Agreement" means the  Transition  Property
Servicing Agreement dated as of March 30, 2001, between the  SPE,
as  Note Issuer and the Originator, as Servicer, as the same  may
be amended, modified or restated from time to time.

           "Settlement Date" means the third Business  Day  after
the  end  of  each  Settlement Period during  the  term  of  this
Agreement;  provided that with respect to any  Settlement  Period
for which Yield is computed by reference to the Assignee Rate and
such  rate  is  known  prior to the last day  of  the  Settlement
Period,  the  Settlement  Date shall  be  the  last  day  of  the
Settlement Period.

          "Settlement Period" means:

          (a)  in the case of any Settlement Period in respect of
which Yield is computed by reference to the Purchaser Rate,  each
successive  period commencing on the 19th day  of  each  calendar
month  during the term of this Agreement and ending on  the  18th
day  of  the  succeeding calendar month during the term  of  this
Agreement;  provided, however, that in the case of any Settlement
Period  for  any Receivable Interest which commences  before  the
Termination Date for such Receivable Interest and would otherwise
end  on  a  date  occurring  after such  Termination  Date,  such
Settlement  Period  shall end on such Termination  Date  and  the
duration  of each Settlement Period which commences on  or  after
the  Termination  Date for such Receivable Interest  may  be  any
period  (including, without limitation, a period of one  day)  as
shall be selected from time to time by the Agent;

          (b)  in the case of any Settlement Period in respect of
which  Yield is computed by reference to the Assignee Rate,  each
successive  period commencing on the 19th day  of  each  calendar
month  during the term of this Agreement and ending on  the  18th
day  of  the  succeeding calendar month during the term  of  this
Agreement; provided, however, that any Settlement Period which is
other  than  the  monthly  Settlement Period  shall  be  of  such
duration as shall be selected by the Agent; and

          (c)  in the case of any Settlement Period in respect of
which  Yield is computed by reference to the Alternate Base Rate,
such  Settlement  Period shall be of such duration  as  shall  be
selected by the Agent.

           "Significant  Subsidiary" means  the  Seller  and  any
Subsidiary  having  total assets exceeding  10%  of  consolidated
total assets of the Originator.

           "SPE"  means  CL&P  Funding LLC,  a  Delaware  limited
liability company.

          "Special Concentration Limit" has the meaning specified
in the definition of "Concentration Limit."

           "Standard  &  Poor's" means Standard & Poor's  Ratings
Group.

           "Subsidiary" means any corporation of which securities
having ordinary voting power to elect a majority of the board  of
directors  or other persons performing similar functions  are  at
the  time  directly  or indirectly owned by  the  Seller  or  the
Originator,  as the case may be, or one or more Subsidiaries,  or
by  the Seller or the Originator, as the case may be, and one  or
more Subsidiaries.

          "Supplemental Collection Account" means Account # 5044-
3708 at Fleet National Bank, Hartford, Connecticut, which is  the
account  to  which Obligors are directed to make ACH payments  on
Receivables.

           "Tangible Net Worth" means at any time the  excess  of
(i) the Outstanding Balance of all Receivables plus cash and cash
equivalents of the Seller at such time minus (ii) the sum at such
time  of  (a)  the Outstanding Balance of such Receivables  which
have  become  Defaulted Receivables, (b) Capital, Yield  Reserve,
Loss  and Dilution Reserve and Collection Agent Fee Reserve  plus
(c) the Deferred Purchase Price.

           "Tariffs"  means the tariffs described in  Exhibit  C,
which  have  been approved by the governing Regulatory Authority,
as  hereafter  amended  or modified by the  governing  Regulatory
Authority,  pursuant to which the Originator provides electricity
to  the  Obligors and the Obligors are obligated to pay for  such
electricity.

           "Termination  Date" for any Receivable Interest  means
(i)  in  the  case of a Receivable Interest owned by a Purchaser,
the earlier of (a) the Business Day which the Seller or the Agent
so designates by notice to the other at least three Business Days
(or  such  shorter period as is required under the circumstances,
but in any event  not  less  than one Business Day) in advance for
such  Receivable Interest and (b) the  Facility  Termination  Date
and  (ii)  in  the  case  of  a Receivable  Interest  owned by a
Bank, the  earlier  of  (a)  the Business  Day  which the Seller
so designates by  notice  to  the Agent at least three Business Days
(or such shorter period as  is required under the circumstances,
but in any event not less  than one Business Day) in advance for
such Receivable Interest and (b) the Commitment Termination Date.

          "Transaction Document" means any of this Agreement, the
Originator  Purchase  Agreement  and  all  other  agreements  and
documents delivered and/or related hereto or thereto.

          "UCC" means the Uniform Commercial Code as from time to
time in effect in the specified jurisdiction.

           "Unbilled Receivable" means a Receivable which has not
yet been billed to an Obligor.

          "Yield" means:

                     (i)   for each Receivable Interest  for  any
Settlement Period to the extent the Conduit will be funding  such
Receivable  Interest during such Settlement  Period  through  the
issuance of commercial paper,

                        PR x C x ED + LF/360

                     (ii)  for each Receivable Interest  for  any
Settlement  Period to the extent (x) the Purchasers will  not  be
funding  such  Receivable Interest during such Settlement  Period
through the issuance of commercial paper or (y) the Banks will be
funding such Receivable Interest,

                        AR x C x ED + LF/360
          where:

            AR    =  the Assignee Rate for such Receivable Interest
                     for such Settlement Period

            C     =  the Capital of such Receivable Interest during
                     such Settlement Period

            ED    =  the actual number of days elapsed during such
                     Settlement Period

            LF    =  the Liquidation Fee, if any, for such Receivable
                     Interest for such Settlement Period

            PR    =  the Purchaser Rate for such Receivable Interest
                     for such Settlement Period

provided  that no provision of this Agreement shall  require  the
payment  or  permit  the collection of Yield  in  excess  of  the
maximum  permitted by applicable law; and provided  further  that
Yield for any Receivable Interest shall not be considered paid by
any  distribution to the extent that at any time all or a portion
of  such  distribution is rescinded or must otherwise be returned
for any reason.

          "Yield Reserve" for any Receivable Interest at any time
means the sum of (i) the Liquidation Yield at such time for  such
Receivable  Interest, and (ii) the then accrued and unpaid  Yield
for such Receivable Interest.  For purposes of this definition,

           (a)   "Liquidation  Yield" means, for  any  Receivable
     Interest  on any date, an amount equal to the Rate  Variance
     Factor  on  such date multiplied by the product of  (i)  the
     Capital  of such Receivable Interest on such date  and  (ii)
     the  product  of  (a) the Assignee Rate for such  Receivable
     Interest  for  a 30- day period deemed to commence  on  such
     date  and  (b)  a  fraction having the sum  of  the  Average
     Maturity plus the Collection Delay Period (each as in effect
     at  such  date) as its numerator and 360 as its denominator;
     and

          (b)  "Rate Variance Factor" means a number greater than
     one   that  reflects  the  potential  variance  in  selected
     interest  rates  over  a period of time  designated  by  the
     Agent,  as  computed by the Collection Agent each month  and
     set  forth  in  the  Seller Report in  accordance  with  the
     provisions  thereof;  provided  that  the  factors  used  in
     computing  the  "Rate Variance Factor" may be  changed  from
     time  to time in accordance with industry standards upon  at
     least five days' prior notice by the Agent to the Collection
     Agent.

           SECTION 1.02.  Other Terms.  All accounting terms  not
specifically defined herein shall be construed in accordance with
generally  accepted accounting principles.   All  terms  used  in
Article  9 of the UCC in effect in the State of New York and  not
specifically defined herein, are used herein as defined  in  such
Article  9.   References  herein to  Receivables  "generated"  or
"created"  during  any period shall mean all  Receivables  billed
during such period.

           SECTION  1.03.   Computation of Time Periods.   Unless
otherwise  stated  in  this Agreement, in the  computation  of  a
period  of time from a specified date to a later specified  date,
the word "from" means "from and including" and the words "to" and
"until" each means "to but excluding."

                           ARTICLE II

               AMOUNTS AND TERMS OF THE PURCHASES

             SECTION   2.01.    Designated   Obligors;    Special
Concentration Limits.  Either the Seller or the Agent may  cancel
the  designation  of an Obligor as a Designated  Obligor  or  any
Special  Concentration  Limit  for  any  Obligor,  by  notice  in
substantially the form of Exhibit D delivered by it to the  other
at  least  three Business Days prior to the date  on  which  such
cancellation shall become effective.  Such notice of cancellation
shall be applicable only to Receivable Interests purchased on and
after its effective date.

          SECTION 2.02.  Purchase Facility.  (a) On the terms and
conditions  hereinafter set forth, the Conduit may, in  its  sole
discretion, and the Banks shall, ratably in accordance with their
respective  Bank Commitments, purchase Receivable Interests  from
the Seller by making Purchases through the Agent, for the benefit
of  the  Conduit or the Banks, as the case may be, from  time  to
time  during  the  period from the date hereof  to  the  Facility
Termination  Date  (in  the  case of  the  Conduit)  and  to  the
Commitment Termination Date (in the case of the Banks).  Under no
circumstances shall the Conduit make any Purchase of a Receivable
Interest, or the Banks be obligated to make any such Purchase if

            (i)   after  giving  effect  to  such  Purchase,  the
outstanding  Capital  of  Receivable  Interests  owned   by   all
Purchasers and all Banks would exceed the Purchase Limit or

            (ii)  in  the  case  of  the  Conduit,  a  notice  of
termination in whole of the Purchase Limit has been delivered  to
the Seller by the Agent and has become effective.

Nothing in this Agreement shall be deemed to be or construed as a
commitment  by  the Conduit to purchase, or a commitment  by  the
Seller to sell, any Receivable Interest at any time.

           (b)   The Agent, on behalf of the Purchasers, may,  at
any  time, by written notice to the Seller terminate in whole the
Purchase Limit, such termination to become effective at the close
of  business  on the last day of the Settlement Period  following
the Settlement Period in which such notice is given.

           (c)  The Seller may, upon at least five Business Days'
notice  to  the Agent, terminate in whole or reduce in  part  the
unused portion of the Purchase Limit; provided, however, that for
purposes  of  this  Section 2.02(c), the unused  portion  of  the
Purchase  Limit  shall  be computed as  the  excess  of  (i)  the
Purchase  Limit  immediately  prior  to  giving  effect  to  such
termination or reduction over (ii) the aggregate Capital  of  all
Receivable Interests outstanding under this Agreement;  provided,
further, that each partial reduction shall be in the amount of at
least $5,000,000 and shall be an integral multiple of $1,000,000.

           (d)   Until  the  Agent gives the  Seller  the  notice
provided  in  Section 3.02(b)(iv), the Agent, on  behalf  of  the
Purchasers   which  own  Receivable  Interests,  may   have   the
Collections    attributable   to   such   Receivable    Interests
automatically  reinvested pursuant to Section 2.06 in  additional
undivided percentage interests in the Pool Receivables by  making
an   appropriate   readjustment  of   the   Receivable   Interest
Percentage.   The  Agent,  on  behalf  of  the  Banks  which  own
Receivable Interests, shall have the Collections attributable  to
such  Receivable Interests automatically reinvested  pursuant  to
Section 2.06 in additional undivided percentage interests in  the
Pool  Receivables by making an appropriate readjustment  of  such
Receivable Interest Percentage.

           (e)   Interests in all Receivable in existence on  the
date  of  the  initial  Purchase (and all related  security  with
respect   to   such   Receivables)   (collectively,   the   "Sold
Receivables") have heretofore been sold to the Agent,  on  behalf
of  the  Purchasers  and  the Banks,  pursuant  to  the  Original
Purchase  Agreement (as such term is defined  in  the  Originator
Purchase  Agreement).  The Seller, with the consent of the  Agent
and the Originator, hereby assumes, as of the date of the initial
Purchase   hereunder,   all  of  the  Originator's   rights   and
obligations under the Original Purchase Agreement with respect to
the Sold Receivables; the Seller, the Agent and the Conduit agree
that  from and after the initial Purchase hereunder the terms  of
the  Seller's  rights and obligations with respect  to  the  Sold
Receivables shall be governed by this Agreement and the  Original
Purchase Agreement shall terminate; and both the Seller  and  the
Conduit  agree  that the purchase price for the initial  Purchase
hereunder  shall  be  reduced  by the  aggregate  purchase  price
received  by  the Originator with respect to the Sold Receivables
under the Original Purchase Agreement.

           SECTION 2.03.  Making Purchases from the Seller.   (a)
Each  Purchase by the Conduit or the Banks shall be  made  on  at
least  three Business Days' notice from the Seller to the  Agent.
Each  such  notice  of a Purchase shall specify  (i)  the  amount
requested to be paid to the Seller (such amount, which shall  not
be  less than $5,000,000, being referred to herein as the initial
"Capital"  of  the Receivable Interest then being purchased)  and
(ii)  the date of such Purchase (which shall be a Business  Day).
The  Agent shall promptly thereafter transmit such request to the
Conduit  and  the  Banks.   The Agent shall  promptly  thereafter
verbally notify the Seller whether the Conduit has determined  to
make a Purchase and, if so, whether all of the terms specified by
the  Seller  are acceptable to the Conduit.  If the  Conduit  has
determined  not  to  make a proposed Purchase,  the  Agent  shall
promptly  notify  all  of the Banks concurrently  by  telecopier,
telex  or cable specifying the date of such Purchase, each Bank's
Percentage multiplied by the aggregate amount of Capital  of  the
Receivable  Interest being purchased and whether  the  Yield  for
such  Receivable Interest is calculated based on  the  Eurodollar
Rate (which may be selected only if such notice is given at least
two  Business  Days prior to the purchase date) or the  Alternate
Base Rate.

           (b)   On  the  date for the Purchase of  a  Receivable
Interest,  the Conduit or the Banks, as the case may  be,  shall,
upon  satisfaction  of  the applicable conditions  set  forth  in
Article III, make available to the Agent at its address specified
on  the  signature page to this Agreement an amount equal to  the
initial  Capital of such Receivable Interest in same  day  funds.
After  receipt  by the Agent of such funds, the Agent  will  make
such  funds immediately available to the Seller at Fleet National
Bank,   Hartford,  Connecticut,  ABA  #  011500010,   Account   #
9370212175, or at such other account as the Seller may notify the
Agent in writing.

          (c)  Effective on the date of each Purchase pursuant to
this  Section 2.03 and each reinvestment, the Seller hereby sells
and  assigns to the Agent, for the benefit of the parties  making
such Purchase, an undivided percentage ownership interest, to the
extent  of  the  Receivable  Interest Percentage,  in  each  Pool
Receivable  then  existing  and  in  the  Related  Security   and
Collections with respect thereto.

          (d)  Notwithstanding the foregoing, a Bank shall not be
obligated to make Purchases under this Section 2.03 at  any  time
in  an amount which would exceed such Bank's Bank Commitment less
(in the case of any Bank other than Citibank) the outstanding and
unpaid amount of any purchases made by such Bank under any  asset
purchase agreement related hereto.  Each Bank's obligation  shall
be  several, such that the failure of any Bank to make  available
to the Seller any funds in connection with any Purchase shall not
relieve  any  other Bank of its obligation, if any, hereunder  to
make  funds available on the date of such Purchase, but  no  Bank
shall  be responsible for the failure of any other Bank  to  make
funds available in connection with any Purchase.

            SECTION   2.04.    Receivable   Interest   Percentage
Computation.   The  Receivable  Interest  Percentage   shall   be
initially  computed  on the date of purchase  of  the  applicable
Receivable Interest.  Thereafter until the Termination  Date  for
such  Receivable  Interest, such Receivable  Interest  Percentage
shall be automatically recomputed (or deemed to be recomputed) on
each  day  other than a Liquidation Day.  Any Receivable Interest
Percentage,  as computed (or deemed recomputed)  as  of  the  day
immediately  preceding the Termination Date for  such  Receivable
Interest,  shall  thereafter remain  constant.   Such  Receivable
Interest shall become zero when Capital thereof and Yield thereon
shall  have been paid in full, and all other amounts owed by  the
Seller  hereunder to the Purchasers, the Banks or the  Agent  are
paid  and  the Collection Agent shall have received  the  accrued
Collection Agent Fee thereon.

           SECTION 2.05.  Fees.  (a)  The Seller shall pay to the
Agent  certain fees in the amounts and on the dates set forth  in
the Fee Agreement.

           (b)  In consideration of the purchase by the Purchaser
and/or the Banks of Receivable Interests as herein provided,  the
Seller agrees to pay to the Collection Agent the Collection Agent
Fee.   The  Collection  Agent  Fee shall  be  payable  only  from
Collections pursuant to, and subject to the priority  of  payment
set forth in, Section 2.06.

           SECTION  2.06.  Settlement Procedures.  (a) Collection
of  the  Pool  Receivables shall be administered by a  Collection
Agent,  in  accordance  with the terms  of  Article  VI  of  this
Agreement.  The Seller shall provide to the Collection Agent  (if
other  than the Seller) on a timely basis all information  needed
for  such  administration, including notice of the occurrence  of
any  Liquidation Day and current computations of  the  Receivable
Interest Percentage.

          (b)  In the event that both S&P and Moody's shall lower
the  Originator's  long  term public  unsecured  debt  securities
rating to below BBB, in the case of S&P, and Baa2, in the case of
Moody's,  within two Business Days following its receipt  of  any
item  of payment with respect to the Pool Receivables (including,
without  limitation, cash, checks, money orders,  wire  transfers
and  automated  clearing house payments),  the  Collection  Agent
shall  deposit  Collections into the Collection Account.   Except
during  the  continuance of an Event of Termination or  Incipient
Event  of Termination or as otherwise required in this Agreement,
funds received in the Collection Account shall be transferred  to
an  account  designated  by the Seller for  the  benefit  of  the
Collection  Agent.  The Collection Agent shall, on  each  day  on
which it receives any such funds:

             (i)     set aside on its books and hold in trust for
the  Purchasers  or the Banks that hold such Receivable  Interest
out  of  the  applicable Receivable Interest Percentage  of  such
Collections an amount equal to the Yield and Collection Agent Fee
accrued  through  such day for such Receivable Interest  and  not
previously set aside;

            (ii)    if such day is not a Liquidation Day for such
Receivable  Interest, reinvest with the Seller on behalf  of  the
Purchasers  or the Banks that hold such Receivable  Interest  the
percentage  of  such Collections represented by  such  Receivable
Interest  Percentage,  to  the extent representing  a  return  of
Capital,  by recomputation of such Receivable Interest Percentage
pursuant to Section 2.04;

             (iii)    if such day is a Liquidation Day  for  such
Receivable  Interest, set aside, hold in trust and segregate  for
the  Purchasers  or the Banks that hold such Receivable  Interest
the  entire remainder of such percentage of Collections; provided
that  if  amounts  are  set  aside  and  held  in  trust  on  any
Liquidation  Day  occurring prior to the  Termination  Date,  and
thereafter during such Settlement Period the conditions set forth
in  Section  3.02  are satisfied or waived  by  the  Agent,  such
previously set aside amounts shall, to the extent representing  a
return of Capital, be reinvested in accordance with the preceding
subsection  (ii)  on the day of such subsequent  satisfaction  or
waiver of conditions; and

              (iv)    during  such  times  as  amounts  are
required  to  be  reinvested  in accordance  with  the  foregoing
subsection  (ii) or the proviso to subsection (iii),   apply  any
Collections in excess of such amounts or in excess of the amounts
that  are  required  to be set aside pursuant to  subsection  (i)
above  to  the  payment  of any "Purchase Price"  (including  any
"Deferred  Purchase  Price", as such terms  are  defined  in  the
Originator Purchase Agreement) then due and release the  balance,
if any, to the Seller.

           (c)  On each Settlement Date, the Collection Agent, on
behalf of the Seller, shall deposit funds equal to the lesser  of
(x)  the  Collections  received or  deemed  received  during  the
preceding Settlement Period which are held or required to be held
for  the  benefit  of  the Purchasers or the  Banks  pursuant  to
Section  2.06(b) or 2.06(e) and (y) an amount sufficient to  make
the  distributions  set forth in clauses (i) and  (ii)  below  in
account   #4070-3544  at  Citibank  or  to  such  other   account
designated by the Agent therefor (provided, however, that so long
as  the  Collection  Agent  is the Originator  and  no  Event  of
Termination  or Incipient Event of Termination has occurred,  the
Collection  Agent  may, on the last day of each  month  following
each  Settlement Date, retain from such funds an amount equal  to
the  accrued  Collection Agent Fee as of  such  Settlement  Date,
instead  of  including such amount in the deposit  made  on  such
Settlement  Date.)  Upon receipt of such funds, the  Agent  shall
distribute them as follows:

                (i)  if such distribution occurs on a day that is
not  a Liquidation Day, first to the Purchasers or the Banks that
hold  the relevant Receivable Interest in payment in full of  all
accrued Yield and then to the Collection Agent in payment in full
of all accrued Collection Agent Fees; and

                (ii) if such distribution occurs on a Liquidation
Day,  first to the Purchasers or the Banks that hold the relevant
Receivable  Interest  in payment in full of  all  accrued  Yield,
second  to such Purchasers or Banks in reduction to zero  of  all
Capital, third to such Purchasers, Banks or the Agent in  payment
of  any other amounts owed by the Seller hereunder, and fourth to
the Collection Agent in payment in full of all accrued Collection
Agent Fee.

After the Capital and Yield and Collection Agent Fee with respect
to  a  Receivable Interest, and any other amounts payable by  the
Seller to the Purchasers, the Banks or the Agent hereunder,  have
been  paid  in full, all additional Collections with  respect  to
such  Receivable  Interest shall revert to and  be  paid  to  the
Seller for its own account.

          (e)  For the purposes of this Section 2.06:

             (i)     if on any day the Outstanding Balance of any
Pool  Receivable  is  reduced or adjusted  as  a  result  of  any
defective,   rejected,   returned,  repossessed   or   foreclosed
merchandise  or services, or any cash discount, other promotional
adjustment or other retroactive credit made by the Seller or  the
Originator, the Seller shall be deemed to have received  on  such
day  a  Collection of such Pool Receivable in the amount of  such
reduction or adjustment;

             (ii)   if  on any day any of the representations  or
warranties  in Section 4.01(i) is no longer true with respect  to
any  Pool Receivable, the Seller shall be deemed to have received
on such day a Collection of such Pool Receivable in full; and

            (iii)  except as provided in paragraph (i) or (ii) of
this  subsection 2.06(e), or as otherwise required by  applicable
law  or  the relevant Contract, all Collections received from  an
Obligor of any Receivables shall be applied to the Receivables of
such  Obligor  in  the  order of the  age  of  such  Receivables,
starting  with  the oldest such Receivable, unless  such  Obligor
designates its payment for application to specific Receivables.

          (f)  If and to the extent that the Agent, any Purchaser
or  any Bank shall be required for any reason to pay over  to  an
Obligor any amount received on its behalf hereunder, such  amount
shall  be deemed not to have been so received but rather to  have
been retained by the Seller and, accordingly, such Purchaser, the
Agent  or  such  Bank, as the case may be,  shall  have  a  claim
against  the  Seller for such amount, payable  when  and  to  the
extent that any distribution from or on behalf of such Obligor is
made in respect thereof.

          SECTION 2.07.  Payments and Computations, Etc.  (a) All
amounts  to  be paid or deposited by the Seller or the Collection
Agent hereunder shall be paid or deposited in accordance with the
terms hereof no later than 11:00 A.M. (New York City time) on the
day  when due in lawful money of the United States of America  in
immediately  available funds at the office of Citibank  specified
on the signature page hereto.

           (b)   The  Seller  shall, to the extent  permitted  by
applicable law, pay interest to the Agent on any amount not  paid
by  the  Seller when required to be paid by it hereunder,  at  an
interest rate per annum equal to the Alternate Base Rate, payable
on  demand; provided, however, that such interest rate shall  not
at  any time exceed the maximum rate permitted by applicable law.
Such  interest  shall  be  for  the  account  of,  and  shall  be
distributed to, the Purchasers or the Banks, as the case may  be,
ratably  in  accordance with their respective interests  in  such
overdue amount and shall be paid by the Seller free and clear  of
and without deduction for any taxes of any kind whatsoever.

           (c)  All computations of interest under subsection (b)
above and all computations of fees hereunder shall be made on the
basis  of  a  year  of  360 days for the actual  number  of  days
(including  the  first  but  excluding  the  last  day)  elapsed.
Whenever  any  payment or deposit to be made hereunder  shall  be
stated to be due on a day other than a Business Day, such payment
or  deposit shall be made on the next succeeding Business Day and
such  extension  of time shall in such case be  included  in  the
computation of such payment or deposit.

           SECTION  2.08.  Increased Costs.  (a)   If  CNAI,  any
Purchaser, any Bank, any entity which enters into a commitment to
purchase  Receivable Interests or interests therein,  or  any  of
their   respective   Affiliates  (each  an   "Affected   Person")
determines  that  compliance with any law or  regulation  or  any
guideline  or request from any central bank or other governmental
authority  (whether or not having the force of  law)  affects  or
would affect the amount of the capital required or expected to be
maintained  by  such  Affected Person and  such  Affected  Person
determines  that  the amount of such capital is increased  by  or
based  upon the existence of any commitment to make purchases  of
or  otherwise  to maintain the investment in Pool Receivables  or
interests  therein related to this Agreement or  to  the  funding
thereof and other commitments of the same type, then, upon demand
by  such  Affected Person (with a copy to the Agent), the  Seller
shall  immediately  pay  to the Agent for  the  account  of  such
Affected Person (as a third-party beneficiary), from time to time
as   specified  by  such  Affected  Person,  additional   amounts
sufficient  to compensate such Affected Person in  the  light  of
such  circumstances,  to  the extent that  such  Affected  Person
reasonably determines such increase in capital to be allocable to
the  existence of any of such commitments.  A certificate  as  to
such  amounts  submitted to the Seller  and  the  Agent  by  such
Affected Person shall be conclusive and binding for all purposes,
absent manifest error.

           (b)  If, due to either (i) the introduction of or  any
change  in  or in the interpretation of any law or regulation  or
(ii)  compliance with any guideline or request from  any  central
bank  or other governmental authority (whether or not having  the
force  of  law), there shall be any increase in the cost  to  any
Purchaser  or  Bank  of agreeing to purchase  or  purchasing,  or
maintaining the ownership of Receivable Interests in  respect  of
which  Yield is computed by reference to a Eurodollar Rate, then,
upon demand by such Purchaser or Bank (with a copy to the Agent),
the Seller shall immediately pay to the Agent, for the account of
such  Purchaser or Bank (as a third-party beneficiary), from time
to  time  as  specified  by such Purchaser  or  Bank,  additional
amounts sufficient to compensate such Purchaser or Bank for  such
increased  costs.  A certificate as to such amounts submitted  to
the  Seller  and  the Agent by such Purchaser or  Bank  shall  be
conclusive and binding for all purposes, absent manifest error.

          SECTION 2.09.  Additional Yield on Receivable Interests
Bearing a Eurodollar Rate.  The Seller shall pay to any Purchaser
or  Bank,  so  long as such Purchaser or Bank shall  be  required
under  regulations  of  the  Board of Governors  of  the  Federal
Reserve  System to maintain reserves with respect to  liabilities
or  assets  consisting of or including Eurocurrency  Liabilities,
additional  Yield  on  the  unpaid  Capital  of  each  Receivable
Interest of such Purchaser or Bank during each Settlement  Period
in  respect  of  which  Yield is computed  by  reference  to  the
Eurodollar Rate, for such Settlement Period, at a rate per  annum
equal at all times during such Settlement Period to the remainder
obtained  by  subtracting  (i)  the  Eurodollar  Rate  for   such
Settlement  Period from (ii) the rate obtained by  dividing  such
Eurodollar  Rate  referred  to  in  clause  (i)  above  by   that
percentage  equal  to  100%  minus the  Eurodollar  Rate  Reserve
Percentage of such Purchaser or Bank for such Settlement  Period,
payable on each date on which Yield is payable on such Receivable
Interest.   Such  additional Yield shall be  determined  by  such
Purchaser or Bank and notice thereof given to the Seller  through
the  Agent  within 30 days after any Yield payment is  made  with
respect   to  which  such  additional  Yield  is  requested.    A
certificate as to such additional Yield submitted to  the  Seller
and  the Agent by such Purchaser or Bank shall be conclusive  and
binding for all purposes, absent manifest error.

            SECTION  2.10.   Security  Interest.   As  collateral
security  for  the performance by the Seller of  all  the  terms,
covenants  and agreements on the part of the Seller  (whether  as
Seller or otherwise) to be performed under this Agreement or  any
document   delivered  in  connection  with  this   Agreement   in
accordance with the terms thereof, including the punctual payment
when   due  of  all  obligations  of  the  Seller  hereunder   or
thereunder, whether for indemnification payments, fees,  expenses
or  otherwise,  the Seller hereby assigns to the  Agent  for  its
benefit and the ratable benefit of the Purchasers and the  Banks,
and  hereby  grants to the Agent for its benefit and the  ratable
benefit of the Purchasers and the Banks, a security interest  in,
all  of the Seller's right, title and interest in and to (a)  the
Originator Purchase Agreement, including, without limitation, (i)
all  rights of the Seller to receive moneys due or to become  due
under or pursuant to the Originator Purchase Agreement, (ii)  all
security interests and property subject thereto from time to time
purporting to secure payment of monies due or to become due under
or  pursuant  to  the  Originator Purchase Agreement,  (iii)  all
rights  of  the  Seller  to receive proceeds  of  any  insurance,
indemnity,  warranty or guaranty with respect to  the  Originator
Purchase Agreement, (iv) claims of the Seller for damages arising
out  of or for breach of or default under the Originator Purchase
Agreement  and (v) the right of the Seller to compel  performance
and   otherwise  exercise  all  remedies  thereunder,   (b)   all
Receivables,  the Related Security with respect thereto  and  the
Collections  and all other assets, including, without limitation,
accounts, instruments and general intangibles (as those terms are
defined  in  the  UCC)  owned by the  Seller  and  not  otherwise
purchased  or scheduled to be purchased under this Agreement  and
(c) to the extent not included in the foregoing, all proceeds  of
any and all of the foregoing.

                           ARTICLE III

                     CONDITIONS OF PURCHASES

            SECTION   3.01.   Conditions  Precedent  to   Initial
Purchase.  The initial Purchase under the Original Agreement  was
subject  to  the conditions precedent that the Agent  shall  have
received  on  or before the date of such Purchase the  following,
each in form and substance satisfactory to the Agent:

           (a)   A  copy  of  the resolutions  of  the  Board  of
Directors  of  each of the Seller and the Originator  authorizing
the  Original Agreement and the Originator Purchase Agreement and
the  other  documents to be delivered by it  thereunder  and  the
transactions contemplated thereby, certified by its Secretary  or
Assistant Secretary.

           (b)   A  certificate  of  the Secretary  or  Assistant
Secretary of each of the Seller and the Originator certifying the
names  and  true  signatures of the officers  authorized  on  its
behalf to sign the Original Agreement and the Originator Purchase
Agreement  and  the  other  documents  to  be  delivered  by   it
thereunder  (on  which certificate the Agent, the Purchasers  and
the Banks may conclusively rely unless and until such time as the
Agent  shall  receive  from  the  Seller  or  the  Originator   a
replacement   certificate  meeting  the  requirements   of   this
subsection (b)).

           (c)   Acknowledgment  copies or time  stamped  receipt
copies of proper Financing Statements (Form UCC-1), duly filed on
or  before the date of such initial Purchase under the UCC of all
appropriate  jurisdictions or any comparable law that  the  Agent
may deem necessary or desirable in order to perfect the ownership
and  security  interests in all Receivables and Related  Security
contemplated  by  the  Original  Agreement  and  the   Originator
Purchase Agreement.

           (d)   Acknowledgment  copies or time  stamped  receipt
copies  of  proper  Financing Statements (Form  UCC-3),  if  any,
necessary  to release all security interests and other rights  of
any person in (i) the Receivables and Related Security previously
granted  by  the Seller or the Originator and (ii) the collateral
security  referred to in Section 2.10 previously granted  by  the
Seller.

           (e)   Certified copies of requests for information  or
copies (Form UCC- 11) (or a similar search report certified by  a
party  acceptable to the Agent), dated a date reasonably near  to
the date of the initial Purchase, listing all effective financing
statements  which  name the Seller or the Originator  (under  its
present name and any previous name) as debtor and which are filed
in  the  jurisdictions  in which filings were  made  pursuant  to
subsection  (c)  above, together with copies  of  such  financing
statements  (none  of which, other than the financing  statements
filed  pursuant  to subsection (c), shall cover any  Receivables,
Related Security or Contracts or the collateral security referred
to in Section 2.10).

          (f)  The Fee Agreement referred to in Section 2.05.

          (g)  A favorable opinion or opinions of counsel for the
Seller and the Originator, in substantially the form of Exhibit E
and as to such other matters as the Agent may reasonably request.

          (h)   A  favorable opinion of Kaye, Scholer,  Fierman,
Hays  &  Handler, LLP, counsel for the Agent, as  the  Agent  may
reasonably request.

          (i)   A  letter  agreement with  Fleet  National  Bank
acknowledging   the  Agent's  dominion  and  control   over   the
Collection  Account, duly executed by Fleet  National  Bank,  the
Originator and the Seller.

          (j)   A  letter  agreement acknowledging  the  Agent's
dominion  and  control over the Supplemental Collection  Account,
duly executed by the Originator and the Seller.

          (k)   An  executed  copy  of the  Originator  Purchase
Agreement.

          (l)  A copy of the by-laws of the Seller, certified by
the Secretary or Assistant Secretary of the Seller.

            (m)   A  copy  of  the  certificate  or  articles  of
incorporation of the Seller, certified as of a recent date by the
Secretary of State or other appropriate official of the state  of
its  organization, and a certificate as to the good  standing  of
the  Seller from such Secretary of State or other official, dated
as of a recent date.

           SECTION  3.02.  Conditions Precedent to All Purchases.
Each   Purchase  (including  the  initial  Purchase)   and   each
reinvestment hereunder shall be subject to the further conditions
precedent that:

           (a)   the  Collection Agent shall  have  prepared  and
forwarded to the Agent, for each Purchaser and each Bank,  on  or
prior  to the 18th day of each month, a Seller Report related  to
each  Receivable Interest owned by such Purchaser or Bank  as  of
the  close  of  business of the Seller on the  last  day  of  the
preceding   Settlement  Period  and  containing  such  additional
information as may be reasonably requested by the Agent;

           (b)  on the date of such Purchase or reinvestment  the
following statements shall be true, except that the statement  in
clause (iv) below is required to be true only if such Purchase or
reinvestment  is by a Purchaser (and the Seller  by  accepting  a
payment of Capital shall be deemed to have certified that):

             (i)     the representations and warranties contained
in  Section 4.01 of this Agreement are correct on and as of  such
date as though made on and as of such date,

             (ii)    no event has occurred and is continuing,  or
would  result from such Purchase, which constitutes an  Event  of
Termination or Incipient Event of Termination,

             (iii)   on such date, all of the Originator's  long-
term  public  senior debt securities are rated at  least  BB-  by
Standard & Poor's or Ba3 by Moody's,

             (iv)    the Agent shall not have given the Seller at
least  one  Business  Day's  notice  that  the  Purchasers   have
terminated new Purchases of Receivable Interests or reinvestments
therein, and

            (v)     the Originator shall have sold or contributed
to the Seller, pursuant to the Originator Purchase Agreement, all
Pool Receivables then outstanding; and

            (c)    the  Agent  shall  have  received  such  other
approvals,  opinions  or documents as the  Agent  may  reasonably
request.

          SECTION 3.03.  Conditions Precedent to the Restatement.
The  restatement  of the Original Agreement  is  subject  to  the
condition  precedent  that the Agent shall have  received  on  or
before  the  date  of the effective date of such restatement  the
following, each (unless otherwise indicated) dated such date,  in
form and substance satisfactory to the Agent:

           (a)  A copy of the resolutions adopted by the Board of
Directors  of the Seller approving this Agreement and  the  other
documents  to  be delivered by it hereunder and the  transactions
contemplated  hereby,  certified by its  Secretary  or  Assistant
Secretary;

           (b)   A  certificate  of  the Secretary  or  Assistant
Secretary  of the Seller certifying the names and true signatures
of  the  officers authorized on its behalf to sign this Agreement
and the other documents to be delivered by it hereunder (on which
certificate   the  Agent  and  each  Purchaser   and   Bank   may
conclusively rely until such time as the Agent shall receive from
the Seller a revised certificate meeting the requirements of this
subsection (b));

            (c)    Acknowledgment  copies  of  proper   Financing
Statements   (Form   UCC-3)  amending  the   existing   Financing
Statements  filed in 1997 pursuant to subsection (c)  of  Section
3.01  of the Original Agreement to reflect the exclusion  of  RRB
Charge, in all jurisdictions where the original forms UCC-1  were
filed.

           (d)  Copies of the Basic Documents (as defined in  the
Note  Indenture), certified as true by an appropriate officer  of
the Seller or other appropriate Person.

          (e)  The Intercreditor Agreement.

          (f)  An amendment to the Originator Purchase Agreement.

          (g)  An agreement among Fleet National Bank, the Agent,
the   Originator  and  the  Seller  which,  among  other  things,
terminates   the   Agent's   dominion  and   control   over   the
Supplemental Collection Account.

           (h)   Payment of an amount to the Agent sufficient  to
reduce Capital to no more than $100,000,000.

                           ARTICLE IV

                 REPRESENTATIONS AND WARRANTIES

           SECTION 4.01.  Representations and Warranties  of  the
Seller.  The Seller represents and warrants as follows:

           (a)   The  Seller is a corporation duly  incorporated,
validly existing and in good standing under the laws of the State
of Connecticut.

           (b)   The execution, delivery and performance  by  the
Seller of the Transaction Documents and the other instruments and
documents  to  be delivered by it hereunder, and the transactions
contemplated  hereby and thereby, including the Seller's  use  of
the  proceeds  of  Purchases and reinvestments,  are  within  the
Seller's  corporate  powers, have been  duly  authorized  by  all
necessary  corporate action, do not contravene (i)  the  Seller's
charter  and by-laws, (ii) any law, rule or regulation applicable
to  the Seller, (iii) any contractual restriction binding  on  or
affecting  the  Seller or its property or (iv) any  order,  writ,
judgment, award, injunction or decree binding on or affecting the
Seller  or  its property, and (except as contemplated hereby)  do
not  result  in  or  require the creation of any  lien,  security
interest  or other charge or encumbrance upon or with respect  to
any  of  its  properties; and no transaction contemplated  hereby
requires compliance with any bulk sales act or similar law.  Each
of  the Transaction Documents to which the Seller is a party  has
been duly executed and delivered by the Seller.

           (c)  No authorization, approval, declaration, order or
other   action  by,  and  no  notice  to  or  filing  with,   any
governmental authority or regulatory body is required for the due
execution,  delivery  and  performance  by  the  Seller  of   the
Transaction Documents to which the Seller is a party or any other
document or instrument to be delivered hereunder except for  such
as  have  been accomplished and except for the filing of the  UCC
Financing Statements referred to in Article III, all of which, at
the  time required in Article III, shall have been duly made  and
shall be in full force and effect.

           (d)   Each  of the Transaction Documents to which  the
Seller  is  a  party  constitutes the legal,  valid  and  binding
obligation  of  the  Seller enforceable  against  the  Seller  in
accordance with its terms.

           (e)   This  Agreement evidences the  transfer  to  the
Agent,  for the benefit of the Purchasers and the Banks,  as  the
case  may be, of legal and equitable title to, and ownership  of,
an  undivided percentage ownership interest in Receivables to the
extent of the applicable Receivable Interest Percentage.

           (f)   The consolidated balance sheet of the Originator
as at December 31, 1996, and the related statements of income and
retained earnings of the Originator for the year then ended  (the
"Financial  Statements"), copies of which have been furnished  to
the   Agent,  fairly  present  the  financial  condition  of  the
Originator  and its Subsidiaries as of such date and the  results
of  the operations of the Originator and its Subsidiaries for the
period  ended  on  such  date, all in accordance  with  generally
accepted  accounting principles consistently applied,  and  since
December  31,  1996 there has not occurred any  event  which  may
materially  adversely  affect  the  collectibility  of  the  Pool
Receivables  or  the ability of the Originator  to  collect  Pool
Receivables  or  otherwise  perform its  obligations  under  this
Agreement.  The opening pro forma balance sheet of the Seller  as
at  September 30, 1997, giving effect to the initial Purchase  to
be  made under this Agreement, a copy of which has been furnished
to  the  Agent,  fairly presents the financial condition  of  the
Seller  as  at  such date, in accordance with generally  accepted
accounting principles, and since September 30, 1997 there has not
occurred  any  event  which may materially adversely  affect  the
collectibility  of  the Pool Receivables or the  ability  of  the
Seller  to  collect  Pool Receivables or  otherwise  perform  its
obligations under this Agreement.

           (g)   There  are  no  actions,  suits  or  proceedings
pending,  or  to  the knowledge of the Seller or  the  Originator
threatened,   against  or  affecting  the   Originator   or   any
Significant Subsidiary, or the property of the Originator  or  of
any  Significant Subsidiary, except as otherwise disclosed in the
Financial Statements and the Public Disclosure Documents, in  any
court, or before any arbitrator of any kind, or before or by  any
governmental  body,  which may materially  adversely  affect  the
collectibility  of  the Receivables Pool or the  ability  of  the
Seller or the Originator to collect Pool Receivables or otherwise
perform   their  respective  obligations  under  the  Transaction
Documents.  Neither the Originator nor any Significant Subsidiary
is  in default with respect to any order of any court, arbitrator
or  governmental body except for defaults, if any, which are  not
material to the business or operations of the Originator  or  any
Significant Subsidiary.

           (h)   No proceeds of any Purchase or reinvestment will
be  used by the Seller to acquire any security in any transaction
which  is  subject to Section 13 or 14 of the Securities Exchange
Act of 1934, as amended.

           (i)   Each  Pool Receivable (i) at the time  that  the
Purchasers   or  the  Banks  initially  purchase   an   undivided
percentage  ownership interest in such Pool Receivable  from  the
Seller,  is  owned by the Seller free and clear  of  any  Adverse
Claim and (ii) together with the Contract related thereto, at all
times  after  such  time is free and clear of any  Adverse  Claim
except  as otherwise specifically provided hereunder.  Upon  each
Purchase  of  a  Receivable Interest and each  reinvestment,  the
Agent,  for  the benefit of the Purchasers or the Banks,  as  the
case  may  be, will acquire a valid and perfected first  priority
undivided  percentage ownership interest (to the extent  of  such
Receivable  Interest) in each Pool Receivable  then  existing  or
thereafter  arising and in the Related Security  (to  the  extent
able to be perfected by filing), related Contract and (subject to
Section  9-306 of the UCC) Collections with respect thereto  free
and  clear of any Adverse Claim except as provided hereunder  and
except,  in the case of Related Security and Contracts  (but  not
the  Receivables), the proportionate interest therein of the  SPE
and  the  Note  Trustee insofar as any such Related Security  and
Contracts  relate to the RRB Charge (the "Pro Rata  RRB  Interest
");  and  no  effective financing statement or  other  instrument
similar  in  effect covering any such Receivable or  the  Related
Security,  related Contract and Collections with respect  thereto
is  on  file  in  any  recording office, or otherwise  effective,
except  such as may be filed in favor of the Agent in  accordance
with this Agreement and those filed by the Seller pursuant to the
Originator Purchase Agreement and except, in the case of  Related
Security  and Contracts, such as may relate to the Pro  Rata  RRB
Interest.

           (j)   No Seller Report (if prepared by the Seller,  or
any  Person  with which the Seller has subcontracted pursuant  to
Section 6.01, or to the extent that information contained therein
is  supplied  by  the Seller or such other Person),  information,
exhibit,  financial statement, document, book, record  or  report
furnished  or  to be furnished by the Seller to  the  Agent,  any
Purchaser  or  any  Bank  in connection with  this  Agreement  is
inaccurate  in any material respect or omits to state a  material
fact  or  any  fact  necessary to make the  statements  contained
therein not materially misleading.

           (k)   The  chief place of business and chief executive
office  of the Seller and the offices where the Seller keeps  all
its  books, records and documents evidencing Pool Receivables  or
the  related  Contracts are located at the address  specified  in
Section  5.01(f), in jurisdictions where all action  required  by
Section 6.05 has been taken and completed.

           (l)   The  Seller  has not (i) extended,  modified  or
waived  any of the terms of any Contract giving rise  to  a  Pool
Receivable  or (ii) made any change in its Credit and  Collection
Policy except, in either case, as permitted by Section 5.03(c).

           (m)   Each Purchase of a Receivable Interest hereunder
and each reinvestment will constitute (i) a "current transaction"
within  the meaning of Section 3(a)(3) of the Securities  Act  of
1933,  as  amended, and (ii) a purchase or other  acquisition  of
notes,  drafts,  acceptances, open accounts receivable  or  other
obligations  representing  part or all  of  the  sales  price  of
merchandise, insurance or services within the meaning of  Section
3(c)(5) of the Investment Company Act of 1940, as amended.

          (n)  On any date, the Net Receivables Pool Balance will
not  be  less  than  105% of the sum of Capital,  Yield  Reserve,
Collection  Agent Fee Reserve and Loss and Dilution  Reserve  for
all Receivable Interests on such date; provided that no breach of
the  representation  contained in this subsection  (n)  shall  be
deemed  to have occurred if the condition set forth herein  shall
be cured within three Business Days after the Seller shall become
aware of such condition.

           (o)  Neither the Seller nor the Originator is known by
or   uses  any  tradename  or  doing-business-as  name   in   the
origination or collection of any of the Receivables.

           (p)  The Seller was incorporated on September 5, 1997,
and  did not engage in any business activities prior to the  date
of the Original Agreement.  The Seller has no Subsidiaries.

           (q)  (i)  The fair value of the property of the Seller
is  greater  than  the  total  amount of  liabilities,  including
contingent  liabilities, of the Seller,  (ii)  the  present  fair
salable  value of the assets of the Seller is not less  than  the
amount  that will be required to pay all probable liabilities  of
the  Seller  on  its debts as they become absolute  and  matured,
(iii) the Seller does not intend to, and does not believe that it
will, incur debts or liabilities beyond the Seller's abilities to
pay such debts and liabilities as they mature and (iv) the Seller
is  not engaged in a business or a transaction, and is not  about
to  engage in a business or a transaction, for which the Seller's
property would constitute unreasonably small capital.

           (r)   With respect to each Pool Receivable as to which
any  Receivable  Interest is outstanding, the Seller  either  (i)
received such Pool Receivable as a contribution to the capital of
the  Seller  by  the  Originator  or  (ii)  purchased  such  Pool
Receivable from the Originator in exchange for payment  (made  by
the Seller to the Originator in accordance with the provisions of
the  Originator  Purchase Agreement) of cash,  Deferred  Purchase
Price,  or  a  combination thereof in an amount which constitutes
fair  consideration and reasonably equivalent value.   Each  such
sale referred to in clause (ii) of the preceding sentence was not
made  for  or  on  account  of an antecedent  debt  owed  by  the
Originator  to the Seller and no such sale is or may be  voidable
or  subject  to  avoidance  under  any  section  of  the  Federal
Bankruptcy Code.

                            ARTICLE V

                        GENERAL COVENANTS

           SECTION 5.01.  Affirmative Covenants of the Seller and
the  Originator.   Until the latest of the  Facility  Termination
Date,  the Commitment Termination Date, the date that the Capital
and  Yield with respect to all Receivable Interests shall be paid
in  full  or  the  date  all other amounts  owed  by  the  Seller
hereunder to the Purchasers, the Banks or the Agent are  paid  in
full,  the Seller and the Originator will each, unless the  Agent
shall otherwise consent in writing:

          (a)  Compliance with Laws, Etc.  Comply in all material
respects with all applicable laws, rules, regulations and  orders
with  respect  to it, its business and properties  and  all  Pool
Receivables,  Related Security and related Contracts,  except  to
the  extent any such failure to comply is being contested in good
faith  by  appropriate proceedings or any such failure would  not
have  a  material  adverse effect on the  collectibility  of  the
Receivables  Pool or the ability of the Seller or the  Originator
to  perform their respective obligations under this Agreement and
the related documents.

          (b)  Preservation of Corporate Existence.  Preserve and
maintain   its   corporate  existence,  rights,  franchises   and
privileges in the jurisdiction of its incorporation, and  qualify
and remain qualified in good standing as a foreign corporation in
each jurisdiction where the failure to preserve and maintain such
existence, rights, franchises, privileges and qualification would
materially  adversely affect the interests of any Purchaser,  any
Bank  or the Agent hereunder or in the Pool Receivables,  or  the
ability  of  the Seller or the Collection Agent to perform  their
respective obligations under this Agreement.

           (c)  Audits.  At any time and from time to time during
regular  business  hours as requested by the  Agent,  permit  the
Agent,  or  its agents or representatives (including  independent
public accountants, which may be the Seller's or the Originator's
independent  public accountants), (i) to conduct periodic  audits
of  the  Pool  Receivables, the Related Security and the  related
books  and records and collections systems of the Seller  or  the
Originator,  as the case may be, (ii) to examine and make  copies
of   and   abstracts  from  all  books,  records  and   documents
(including, without limitation, computer tapes and disks) in  the
possession  or under the control of the Seller or the Originator,
as  the case may be, relating to Pool Receivables and the Related
Security,  including, without limitation, the related  Contracts,
and  (iii)  to visit the offices and properties of the Seller  or
the  Originator, as the case may be, for the purpose of examining
such  materials  described in clause (ii) above, and  to  discuss
matters relating to Pool Receivables and the Related Security  or
the   Seller's   or  the  Originator's  performance   under   the
Transaction  Documents or under the Contracts  with  any  of  the
officers  or  employees of the Seller or the Originator,  as  the
case may be, having knowledge of such matters.  In addition, upon
the  Agent's request at least once per year, the Seller will,  at
its expense, appoint independent public accountants (which may be
the  Originator's regular independent public accountants,  Arthur
Andersen,  LLP, or other major nationally recognized  independent
public  accountants), or utilize the Agent's  representatives  or
auditors,  to  prepare and deliver to the Agent a written  report
with  respect  to  the  Pool  Receivables  and  the  Credit   and
Collection   Policy  (including,  in  each  case,  the   systems,
procedures and records relating thereto) on a scope and in a form
set  forth  in Exhibit F hereto or in such other form as  may  be
reasonably  requested by the Agent.  In connection  herewith  and
unless otherwise required by applicable law, the Agent agrees  to
maintain  the confidentiality of all results of such  inspections
(except   that   the   Agent  shall   have   no   obligation   or
confidentiality  in  respect  of any  information  which  may  be
generally  available to the public or becomes  available  to  the
public through no fault of the Agent).

          (d)  Keeping of Records and Books of Account.  Maintain
and  implement,  or  cause  to  be  maintained  and  implemented,
administrative  and  operating  procedures  (including,   without
limitation,  an  ability  to  recreate  records  evidencing  Pool
Receivables and related Contracts in the event of the destruction
of  the originals thereof), and keep and maintain, or cause to be
kept  and  maintained, all documents, books,  records  and  other
information reasonably necessary or advisable for the  collection
of  all  Pool Receivables (including, without limitation, records
adequate  to  permit  the  daily  identification  of  each   Pool
Receivable  and  all  Collections  of  and  adjustments  to  each
existing Pool Receivable).

           (e)   Performance and Compliance with Receivables  and
Contracts.   At its expense timely and fully perform  and  comply
with  all  material  provisions,  covenants  and  other  promises
required to be observed by it under the Contracts related to  the
Pool Receivables.

           (f)   Location  of Records.  Keep its chief  place  of
business  and  chief executive office, and the offices  where  it
keeps  its  records  concerning  the  Pool  Receivables  and  all
Contracts  related  thereto (and all original documents  relating
thereto), at the address of the Seller or the Originator, as  the
case  may be, set forth under its name on the signature pages  to
this  Agreement or (i) in the case of such records and Contracts,
at  the Originator's offices in Wethersfield, Connecticut or (ii)
upon  30  days' prior written notice to the Agent, at such  other
locations in a jurisdiction where all action required by  Section
6.05 shall have been taken and completed.

           (g)   Credit and Collection Policies.  Comply  in  all
material respects with the Credit and Collection Policy in regard
to each Pool Receivable and the related Contract.

           (h)   Collections.  In the event  that  both  S&P  and
Moody's  shall lower the Originator's long term public  unsecured
debt  securities  rating to below BBB, in the case  of  S&P,  and
Baa2,  in  the  case  of Moody's, take all actions  necessary  to
ensure  that  Collections with respect to  Pool  Receivables  are
deposited  in  the  Collection Account within two  Business  Days
following receipt thereof.

          (i)  [Intentionally Omitted]

           SECTION  5.02.  Reporting Requirements of the  Seller.
Until the latest of the Facility Termination Date, the Commitment
Termination  Date,  the  date that the  Capital  and  Yield  with
respect to all Receivable Interests shall be paid in full or  the
date  all  other  amounts  owed by the Seller  hereunder  to  the
Purchasers, the Banks or the Agent are paid in full,  the  Seller
will,  unless  the  Agent  shall otherwise  consent  in  writing,
furnish or cause to be furnished to the Agent:

           (a)   as soon as available and in any event within  60
days  after the end of each of the first three quarters  of  each
fiscal  year  of  the  Originator  a  copy  of  the  Originator's
Quarterly Report on Form 10-Q for such quarter;

           (b)  as soon as available and in any event within  105
days  after the end of each fiscal year of the Originator a  copy
of  the  Originator's Annual Report on Form 10-K, for such fiscal
year;

           (c)   upon request by the Agent, copies of all reports
which  the  Originator sends to any holders of its publicly  held
securities  and copies of all reports and registration statements
which  the  Originator  files with the  Securities  and  Exchange
Commission or any national securities exchange;

           (d)   promptly after the filing or receiving  thereof,
copies  of all reports and notices with respect to any Reportable
Event (as defined in Article IV of ERISA) which the Originator or
any  Significant Subsidiary files under ERISA with  the  Internal
Revenue  Service or the Pension Benefit Guaranty  Corporation  or
the  U.S.  Department  of Labor or which the  Originator  or  any
Significant Subsidiary receives from any of the foregoing in each
case  in  respect  of the assessment of withdrawal  liability  or
event  or condition which could, in the aggregate, result in  the
imposition   of  liability  on  the  Originator  in   excess   of
$10,000,000;

           (e)   as soon as possible and in any event within five
days  after  an  officer of the Seller obtains knowledge  of  the
occurrence  of an Event of Termination or an Incipient  Event  of
Termination,  the  statement of the chief  financial  officer  or
chief  accounting  officer  or  the  Treasurer  or  an  Assistant
Treasurer  of the Seller setting forth the details of such  Event
of  Termination or Incipient Event of Termination and the  action
that the Seller proposes to take with respect thereto;

           (f)   upon  the request of the Agent, a  list  of  the
Receivables  in which each Purchaser and each Bank has  purchased
an undivided percentage ownership interest hereunder;

           (g)    promptly,  from  time  to  time,  such   other
information,   documents,  records  or  reports  respecting   the
Receivables  or Related Security or the conditions or operations,
financial  or  otherwise, of the Originator  or  any  Significant
Subsidiary as the Agent may from time to time reasonably  request
in  order  to protect any Purchaser's, any Bank's or the  Agent's
interests under or contemplated by this Agreement;

           (h)   on or prior to the 18th day of each month,  such
Seller  Reports and other reports, information, documents,  books
or records as the Agent may reasonably request;

           (i)   promptly  after  the  Seller  obtains  knowledge
thereof,  notice  of  any  "Event of  Termination"  or  "Facility
Termination Date" under the Originator Purchase Agreement;

           (j)   so long as any Capital shall be outstanding,  as
soon  as  possible  and in any event no later  than  the  day  of
occurrence  thereof,  notice  that  the  Originator  has  stopped
selling or contributing to the Seller, pursuant to the Originator
Purchase Agreement, all newly arising Pool Receivables;

           (k)   at  the  time of the delivery of  the  financial
statements provided for in clauses (a) and (b) of this paragraph,
a  certificate of the chief financial officer or chief accounting
officer or the treasurer or an assistant treasurer of the  Seller
to  the effect that, to the best of such officer's knowledge,  no
Event  of Termination has occurred and is continuing or,  if  any
Event  of  Termination has occurred and is continuing, specifying
the nature and extent thereof;

           (l)   promptly  after receipt thereof, copies  of  all
notices  received  by  the Seller from the Originator  under  the
Originator Purchase Agreement;

           (m)   promptly, upon the delivery thereof pursuant  to
the  Servicing Agreement, a copy of each notice (i) of a Servicer
Default  (as  that  term is defined in the Servicing  Agreement),
(ii)  permitting the resignation of the Seller from its servicing
obligations  pursuant to Section 6.05 of the Servicing  Agreement
and (iii) of the Seller's intention to appoint another Person  to
perform  all of its obligations as servicer pursuant  to  Section
6.09(a) of the Servicing Agreement;

           (n)   promptly, upon the delivery thereof pursuant  to
the  Purchase  and  Sale Agreement, a copy of  each  notice  sent
thereunder which relates to Article 5 of that agreement;

           (o)   promptly, upon the delivery thereof pursuant  to
the  Servicing Agreement, copies of all Reports to  be  furnished
pursuant to the Servicing Agreement;

           (p)   promptly upon receipt thereof, a  copy  of  each
amendment to the Financing Order issued pursuant to the Act; and

           (q)   not less than 30 days before it shall occur,  in
detail   reasonably  acceptable  to  the  Agent  notice  of   the
commencement  by a Person other than the Seller  of  the  billing
and/or  collecting  on  behalf of the  Seller  of  charges  which
constitute Receivables.

          SECTION 5.03.  Negative Covenants of the Seller.  Until
the  latest  of  the  Facility Termination Date,  the  Commitment
Termination  Date,  the  date that the  Capital  and  Yield  with
respect to all Receivable Interests shall be paid in full or  the
date  all  other  amounts  owed by the Seller  hereunder  to  the
Purchasers, the Banks or the Agent are paid in full,  the  Seller
will not, without the written consent of the Agent:

           (a)   Sales, Liens, Etc.  Except as otherwise provided
herein,  sell,  assign  (by operation of  law  or  otherwise)  or
otherwise  dispose of, or create or suffer to exist  any  Adverse
Claim upon or with respect to, the Seller's undivided interest in
any  Pool  Receivable,  Related  Security,  related  Contract  or
Collections, or upon or with respect to any lock-box  account  to
which  any Collections of any Pool Receivable are sent, or assign
any right to receive income in respect thereof.

           (b)  Extension or Amendment of Receivables.  Except in
conformance with the Credit and Collection Policy, extend,  amend
or  otherwise modify the terms of any Pool Receivable, or  amend,
modify  or  waive  any term or condition of any Contract  related
thereto if such action might reduce or impair the rights  of  any
Purchaser,  any  Bank  or  the Agent with  respect  to  any  Pool
Receivable or the collectibility or value of any Pool Receivable.

           (c)   Change  in Business or Contracts or  Credit  and
Collection  Policy.   Make any change in  the  character  of  its
business or its Contracts or Credit and Collection Policy,  which
change would, in any case, impair the collectibility of any  Pool
Receivable.

           (d)   No Actions Against Obligors.  Commence or settle
any  legal  action to enforce collection of any  Pool  Receivable
except in conformance with the Credit and Collection Policy.

           (e)   Deposits  to  Designated Accounts.   Deposit  or
otherwise credit, or cause or fail to use commercially reasonable
efforts  to prevent from being so deposited or credited,  to  any
Designated  Account cash or cash proceeds other than  Collections
of Pool Receivables.

           (f)    Servicing  Agreement  and  Purchase  and  Sale
Agreement.  Amend any provision of the Servicing Agreement or the
Purchase and Sale Agreement in a manner that will have a material
adverse  effect on the collectibility of the Receivables  or  the
ability of the Seller to perform hereunder.

           SECTION  5.04.  Special Covenants Regarding  Corporate
Separateness,   Etc.    The  Seller  and  the   Originator   each
acknowledges  that the Agent, each Purchaser  and  each  Bank  is
entering into the transactions contemplated hereby in reliance on
the  separate  legal identity of the Seller.  In accordance  with
such reliance, the Seller hereby agrees that until the latest  of
the  Facility Termination Date, the Commitment Termination  Date,
the  date  that  the  Capital  and  Yield  with  respect  to  all
Receivable Interests shall be paid in full or the date all  other
amounts owed by the Seller hereunder to the Purchasers, the Banks
or the Agent are paid in full, the Seller shall:

          (a)  Corporate Separateness.  (i) At all times maintain
at  least  one independent director who (x) is not currently  and
has  not  been during the five years preceding the date  of  this
Agreement an officer, director or employee of an Affiliate of the
Seller  or any Other Corporation, (y) is not a current or  former
officer or employee of the Seller and (z) is not a stockholder of
any Other Corporation or any of their respective Affiliates.

          (ii) Not direct or participate in the management of any
of the Other Corporations' operations.

          (iii)  Have stationery and other business forms and
a telephone number separate from that of the Other Corporations.

          (iv) At all times be adequately capitalized in light of
its contemplated business.

          (v)   At  all  times  provide for  its  own  operating
expenses and liabilities from its own funds.

           (vi) (A)  Except as contemplated hereby, maintain  its
assets  and  transactions  separately from  those  of  the  Other
Corporations   and  reflect  such  assets  and  transactions   in
financial  statements separate and distinct  from  those  of  the
Other  Corporations and evidence such assets and transactions  by
appropriate  entries in books and records separate  and  distinct
from those of the Other Corporations; (B) hold itself out to  the
public under the Seller's own name as a legal entity separate and
distinct from the Other Corporations; and (C) not hold itself out
as  having  agreed  to  pay,  or as being  liable,  primarily  or
secondarily, for, any obligations of the Other Corporations.

          (vii)  Not maintain any joint account with any Other
Corporation  or  become liable as a guarantor or  otherwise  with
respect  to  any  debt  or contractual obligation  of  any  Other
Corporation.

          (viii) Not  make  any payment or  distribution  of
assets with respect to any obligation of any Other Corporation or
grant  an  Adverse  Claim  on any of its  assets  to  secure  any
obligation of any Other Corporation.

          (ix)  Not  make  loans, advances or  otherwise  extend
credit  to  any of the Other Corporations except as  contemplated
hereby and by the Originator Purchase Agreement.

          (x)  Hold regular duly noticed meetings of its Board of
Directors and make and retain minutes of such meetings.

           (xi)  Have  bills of sale (or similar  instruments  of
assignment)  (except  with respect to purchases  of  Receivables)
and, if appropriate, UCC-1 financing statements, with respect  to
all assets purchased from any of the Other Corporations.

          (xii) Not engage in any transaction with any of the
Other Corporations, except as permitted by this Agreement and  as
contemplated by the Originator Purchase Agreement.

           (xiii) Comply  with  (and cause  to  be  true  and
correct) each of the facts and assumptions contained in Part A on
pages 3-6 of the true sale and non-consolidation opinion of  Day,
Berry  &  Howard  delivered  pursuant  to  Section  3.01(g)   and
designated as Exhibit E to the Original Agreement.

           (b)   Originator Purchase Agreement.  Not amend, waive
or  modify any provision of the Originator Purchase Agreement  or
waive  the  occurrence  of any "Event of Termination"  under  the
Originator  Purchase Agreement, without in each  case  the  prior
written consent of the Agent.  The Seller will perform all of its
obligations  under  the  Originator  Purchase  Agreement  in  all
material  respects  and  will  enforce  the  Originator  Purchase
Agreement in accordance with its terms in all material respects.

           (c)   Nature of Business.  Not engage in any  business
other  than  the  purchase of Receivables, Related  Security  and
Collections from the Originator and the transactions contemplated
by this Agreement or create or form any Subsidiary.

           (d)   Mergers,  Etc.   Not  merge  with  or  into  or
consolidate with or into, or convey, transfer, lease or otherwise
dispose  of  (whether  in  one transaction  or  in  a  series  of
transactions),  all or substantially all of its  assets  (whether
now   owned  or  hereafter  acquired)  to,  or  acquire  all   or
substantially  all  of  the  assets or  capital  stock  or  other
ownership  interest  of,  or  enter into  any  joint  venture  or
partnership   agreement   with,  any  Person,   other   than   as
contemplated  by  this  Agreement  and  the  Originator  Purchase
Agreement.

           (e)   Distributions,  Etc.  Not declare  or  make  any
dividend  payment  or  other distribution of assets,  properties,
cash,  rights, obligations or securities on account of any shares
of  any  class  of  capital stock of the Seller,  or  return  any
capital  to  its  shareholders  as  such,  or  purchase,  retire,
defease,  redeem  or  otherwise acquire for  value  or  make  any
payment in respect of any shares of any class of capital stock of
the Seller or any warrants, rights or options to acquire any such
shares, now or hereafter outstanding; provided, however, that the
Seller may declare and pay cash dividends on its capital stock to
its  shareholders  so long as (i) no Event of  Termination  shall
then  exist  or  would  occur  as a  result  thereof,  (ii)  such
dividends are in compliance with all applicable law including the
law  of  the state of Connecticut, and (iii) such dividends  have
been  approved by all necessary and appropriate corporate  action
of the Seller.

           (f)   Debt.  Not incur any debt, other than  any  debt
incurred  pursuant to this Agreement and the Originator  Purchase
Agreement, including the Deferred Purchase Price.

          (g)  Certificate of Incorporation.  Not amend or delete
Articles  Third, Fourth, Sixth or Seventh of its  certificate  of
incorporation.

           (h)   Tangible Net Worth.  Maintain Tangible Net Worth
at  all times equal to at least 3% of the Outstanding Balance  of
the Receivables at such time.

                           ARTICLE VI

                  ADMINISTRATION AND COLLECTION

           SECTION  6.01.  Designation of Collection Agent.   The
servicing,  administration and collection of the Pool Receivables
shall  be  conducted by such Person (the "Collection  Agent")  so
designated  from  time to time in accordance  with  this  Section
6.01.   Until  the  Agent  gives  notice  to  the  Seller  of   a
designation of a new Collection Agent, the Originator  is  hereby
designated  as,  and  hereby agrees to  perform  the  duties  and
obligations  of,  the  Collection Agent  pursuant  to  the  terms
hereof.  The Agent, at any time after the occurrence of an  Event
of  Termination or Incipient Event of Termination, upon notice to
the   Seller,  may  designate  as  Collection  Agent  any  Person
(including  itself) to succeed the Originator  or  any  successor
Collection  Agent, on the condition in each case  that  any  such
Person  so designated agrees in writing (a) to perform the duties
and  obligations of the Collection Agent pursuant  to  the  terms
hereof  and  (b)  to adhere to the provisions of  Section  11.07,
which  agreement shall survive the termination of this  Agreement
or  such  writing.   For  purposes of  satisfying  the  condition
contained in the preceding sentence, the Agent hereby agrees that
if  and when it shall designate itself as the Collection Agent it
shall  perform the duties and obligations of the Collection Agent
pursuant   to  the  terms  hereof.   The  Collection  Agent   may
subcontract  with  Northeast Utilities Service Company  and  may,
upon 45 days' notice to the Seller, with the prior consent of the
Agent,  subcontract with any other Person for the  administration
and  collection  of  the  Pool  Receivables,  provided  that  the
Collection Agent shall remain liable for the performance  of  the
duties  and obligations of the Collection Agent pursuant  to  the
terms hereof.  In performing its duties as Collection Agent,  the
Collection Agent shall exercise the same care and apply the  same
policies  as  it  would  exercise and  apply  if  it  owned  such
Receivables  and shall act in the best interests of  the  Seller,
the Purchasers and the Banks.

           SECTION 6.02.  Duties of Collection Agent.   (a)   The
Collection Agent shall (unless the Agent directs otherwise)  take
or  cause to be taken only such actions as shall be necessary  or
customary to collect each Pool Receivable from time to time,  all
in  accordance with applicable laws, rules and regulations,  with
reasonable care and diligence, and solely in accordance with  the
Credit  and  Collection Policy.  The Seller and the Agent  hereby
appoint  the  Collection  Agent, from  time  to  time  designated
pursuant  to  Section 6.01, as agent for themselves and  for  the
Purchasers  and the Banks to enforce their respective rights  and
interests in and under the Pool Receivables, the Related Security
and  the related Contracts and to monitor the Seller's compliance
with the terms and conditions set forth in this Agreement.

           (b)   The Collection Agent shall not extend, amend  or
otherwise  modify  the  terms of any Pool  Receivable  or  amend,
modify  or  waive  any term or condition of any Contract  related
thereto,  or  commence  or  settle any legal  action  to  enforce
collection of any Pool Receivable, except in conformance with the
Credit and Collection Policy.

           (c)  Upon the Agent's request following the occurrence
of  any  Event  of Termination or Incipient Event of Termination,
the  Seller  shall  deliver  to the  Collection  Agent,  and  the
Collection  Agent  shall  hold in trust,  keep  confidential  and
legend  appropriately  for the Seller and the  Agent,  acting  on
behalf of each Purchaser and each Bank, in accordance with  their
respective interests, copies of all computer tapes or disks which
evidence  or  relate  to  Pool  Receivables  and  copies  of  all
documents, instruments and other records which evidence or relate
to Pool Receivables.

           (d)  The Collection Agent shall as soon as practicable
upon  demand  deliver  to  the Seller copies  of  all  documents,
instruments  and  other records (including,  without  limitation,
computer  tapes  or  disks) in its possession which  evidence  or
relate  to Receivables of the Seller other than Pool Receivables,
and  copies  of documents, instruments and other records  in  its
possession which evidence or relate to Pool Receivables.

           (e)   The Collection Agent shall, at any time and from
time to time at the written request of the Agent, furnish to  the
Agent  (within  five  Business Days after  any  such  request)  a
calculation of the amounts set aside for the Purchasers  and  the
Banks pursuant to Section 2.06(b).

            (f)   The  Collection  Agent  shall,  to  the  extent
permitted  by  applicable law, pay interest to the Agent  on  any
amount not paid by the Collection Agent when required to be  paid
by  it  hereunder,  at an interest rate per annum  equal  to  the
Alternate  Base Rate, payable on demand; provided, however,  that
such  interest rate shall not at any time exceed the maximum rate
permitted  by  applicable law.  Such interest shall  be  for  the
account  of, and shall be distributed to, the Purchasers and  the
Banks, as the case may be, entitled thereto ratably in accordance
with  their respective interests in such overdue amount and shall
be  paid  by  the Collection Agent free and clear of and  without
deduction for any taxes of any kind whatsoever.

           (g)   The Collection Agent's authorization under  this
Agreement  shall  terminate, after the Facility Termination  Date
and  Commitment Termination Date, upon receipt by each  Purchaser
and  each Bank which has purchased a Receivable Interest  of  the
allocable Capital and Yield and upon payment in full of all other
amounts  payable to the Agent, each Purchaser, each Bank and  the
Collection Agent under this Agreement.

           SECTION 6.03.  Rights of the Agent.  (a)  The Agent is
hereby  authorized, at any time, upon notice to the Seller  after
the  occurrence of an Event of Termination or Incipient Event  of
Termination, to direct the Obligors of Pool Receivables,  or  any
of  them (and the Seller shall at the Agent's request and at  the
Seller's expense, direct such Obligors), to make payment  of  all
amounts  payable  under  any  Pool  Receivable  directly  to  the
Designated  Account.   Further, the Agent  (upon  notice  to  the
Seller  and at the Seller's expense) may, at any time  after  the
occurrence  of  an  Event of Termination or  Incipient  Event  of
Termination, notify the Obligors of Pool Receivables, or  any  of
them,  of the ownership of Receivable Interests by the Purchasers
and the Banks.

           (b)   At any time after the occurrence of an Event  of
Termination or Incipient Event of Termination:

           (i)   The  Agent  may  direct  the  Obligors  of  Pool
Receivables, or any of them, that payment of all amounts  payable
under  any Pool Receivable be made directly to the Agent  or  its
designee.

           (ii)  The Seller shall, at the Agent's request and  at
the  Seller's expense, give notice of the ownership of Receivable
Interests by the Agent, for the benefit of the Purchasers and the
Banks  to  each  such Obligor and direct that  payments  be  made
directly to the Agent or its designee.

           (iii) The Seller and the Originator shall, at  the
Agent's request and at the Seller's expense, (A) assemble all  of
the  documents, instruments and other records (including, without
limitation, computer tapes and disks) which evidence or relate to
the  Pool  Receivables,  and the related  Contracts  and  Related
Security,  or  which  are  otherwise necessary  or  desirable  to
collect  such Pool Receivables, and shall make the same available
to  the  Agent at a place selected by the Agent or its  designee,
and (B) segregate all cash, checks and other instruments received
by  it  from  time  to  time  constituting  Collections  of  Pool
Receivables  in  a  manner acceptable to  the  Agent  and  shall,
promptly   upon  receipt,  remit  all  such  cash,   checks   and
instruments,  duly endorsed or with duly executed instruments  of
transfer, to the Agent or its designee.

           (iv) Each of the Seller, each Purchaser and each  Bank
hereby  authorizes the Agent to take any and  all  steps  in  the
Seller's name and on behalf of the Seller necessary or desirable,
in  the  determination of the Agent, to collect all  amounts  due
under   any   and   all  Pool  Receivables,  including,   without
limitation,  endorsing  the Seller's name  on  checks  and  other
instruments  representing Collections  of  Pool  Receivables  and
enforcing  such  Pool Receivables and the related  Contracts  and
taking  action or causing action to be taken with respect to  any
Related   Security,  including  with  respect   to   transferring
possession of the same to the Agent or its designee.

           SECTION 6.04.  Responsibilities of the Seller and  the
Originator.  Anything herein to the contrary notwithstanding:

           (a)   The  Seller  and  the  Originator  shall  remain
responsible and liable to perform all of their respective  duties
and   obligations  under  the  Contracts  related  to  the   Pool
Receivables, to the extent set forth therein; the Seller and  the
Originator shall perform their respective obligations  under  the
Contracts  related to the Pool Receivables to the same extent  as
if Receivable Interests had not been sold;

           (b)   The  exercise by the Agent of any of its  rights
hereunder shall not release the Seller or the Originator from any
of  their  respective duties or obligations with respect  to  any
Pool  Receivables  or  under the Contacts  related  to  the  Pool
Receivables;

           (c)  Neither the Agent nor any Purchaser or Bank shall
have  any  obligation  or  liability with  respect  to  any  Pool
Receivables  or  related Contracts, nor  shall  any  of  them  be
obligated to perform any of the obligations of the Seller or  the
Originator thereunder;

            (d)   In  the  event  of  any  conflict  between  the
provisions of Article VI of this Agreement and Article VI of  the
Originator  Purchase Agreement, the provisions of this  Agreement
shall control; and

           (e)  The Seller shall promptly notify the Agent of any
claim  or  threatened  claim probable,  in  the  opinion  of  the
management of the Seller, to result in any liability referred  to
in Article X.

           SECTION  6.05.   Further Action Evidencing  Purchases.
(a)   Each of the Seller and the Originator agrees that from time
to time, at its expense, it will promptly execute and deliver all
further  instruments and documents, and take all further  action,
that may be necessary or that the Agent may reasonably request in
order  to  perfect, protect or more fully evidence the Receivable
Interests purchased by the Purchasers or the Banks hereunder,  or
to  enable any of them or the Agent to exercise or enforce any of
their   respective  rights  hereunder.   Without   limiting   the
generality of the foregoing, the Originator will upon the request
of   the   Agent:   (i)  execute  and  file  such  financing   or
continuation  statements, or amendments  thereto  or  assignments
thereof,  and  such  other instruments  or  notices,  as  may  be
necessary  or appropriate; (ii) following the occurrence  of  any
Event  of Termination, mark conspicuously each invoice evidencing
each  Pool  Receivable and the related Contract  with  a  legend,
acceptable  to the Agent, evidencing that an undivided percentage
ownership interest in such Receivable has been sold in accordance
with  this  Agreement; and (iii) mark its master data  processing
records  evidencing such Pool Receivables and  related  Contracts
with such legend.

           (b)  The Seller hereby authorizes the Agent to file or
cause   to  be  filed  one  or  more  financing  or  continuation
statements,  and  amendments  thereto  and  assignments  thereof,
relative  to  all or any of the Pool Receivables and the  Related
Security  now existing or hereafter arising without the signature
of the Seller where permitted by law.

           (c)   If  the  Seller  fails to  perform  any  of  its
agreements  or  obligations under this Agreement, the  Agent  may
(but   shall  not  be  required  to)  itself  perform,  or  cause
performance of, such agreement or obligation, and the expenses of
the  Agent  incurred in connection therewith shall be payable  by
the Seller as provided in Section 11.06.

          SECTION 6.06.  Application of Collections.  Any payment
by  an  Obligor in respect of any indebtedness owed by it to  the
Seller  shall, except as otherwise specified by such  Obligor  or
otherwise  required  by  contract or  law  and  unless  otherwise
instructed by the Agent, be applied as a Collection of  any  Pool
Receivable  or Receivables of such Obligor to the extent  of  any
amounts  then due and payable thereunder before being applied  to
any other indebtedness of such Obligor, except to the extent that
such payment is required to be applied on a pro rata basis to the
RRB Charge.

           SECTION  6.07.   Indemnities by the Collection  Agent.
Without  limiting any other rights that the Agent, any Purchaser,
any  Bank or any of their respective Affiliates (each, a "Special
Indemnified  Party") may have hereunder or under applicable  law,
and  in consideration of its appointment as Collection Agent, the
Collection   Agent  hereby  agrees  to  indemnify  each   Special
Indemnified Party from and against any and all claims, losses and
liabilities  (including reasonable attorneys' fees) (all  of  the
foregoing  being collectively referred to as "Special Indemnified
Amounts")  arising out of or resulting from any of the  following
(excluding,  however,  (a)  Special Indemnified  Amounts  to  the
extent  resulting from gross negligence or willful misconduct  on
the  part  of  such Special Indemnified Party, (b)  recourse  for
uncollectible Receivables or (c) any income taxes  or  any  other
tax   or   fee  measured  by  income  incurred  by  such  Special
Indemnified Party arising out of or as a result of this Agreement
or  the  ownership of Receivable Interests or in respect  of  any
Receivable or any Contract):

                   (i)      any  representation  or  warranty  or
statement made or deemed made by the Collection Agent under or in
connection with this Agreement which shall have been incorrect in
any material respect when made;

                  (ii)     the failure by the Collection Agent to
comply  with any applicable law, rule or regulation with  respect
to  any  Pool Receivable or Contract; or the failure of any  Pool
Receivable  or  Contract to conform to any such  applicable  law,
rule or regulation;

                 (iii) the failure to have filed, or any delay in
filing,  financing  statements or other  similar  instruments  or
documents under the UCC of any applicable jurisdiction  or  other
applicable laws with respect to any Receivables in, or purporting
to  be  in,  the Receivables Pool, the Contracts and the  Related
Security and Collections in respect thereof, whether at the  time
of any purchase or reinvestment or at any subsequent time;

                 (iv)  any  failure of the Collection  Agent  to
perform  its  duties  or  obligations  in  accordance  with   the
provisions of this Agreement;

                 (v)   the commingling of Collections of Pool
Receivables at any time by the Collection Agent with other funds;

                 (vi)   any action or omission by the Collection
Agent  reducing or impairing the rights of the Purchasers or  the
Banks  with  respect to any Pool Receivable or the value  of  any
Pool Receivable;

                 (vii)  any Collection Agent Fees or other costs
and  expenses payable to any replacement Collection Agent, to the
extent  in  excess of the Collection Agent Fees  payable  to  the
Collection Agent hereunder; or

                 (viii)  any  claim brought by any Person  other
than a Special Indemnified Party arising from any activity by the
Collection Agent or its Affiliates in servicing, administering or
collecting any Receivable.

                           ARTICLE VII

                      EVENTS OF TERMINATION

           SECTION 7.01.  Events of Termination.  If any  of  the
following  events ("Events of Termination") shall  occur  and  be
continuing:

           (a)  The Collection Agent (if other than the Agent  or
its  designee)  (i)  shall fail to perform or observe  any  term,
covenant  or  agreement hereunder (other than as referred  to  in
clause  (ii)  of  this Section 7.01(a)) and  such  failure  shall
remain  unremedied for three Business Days or (ii) shall fail  to
make  any payment or deposit to be made by it hereunder when due;
or

           (b)   The Seller or the Originator shall fail  (i)  to
transfer  to  the  Agent when requested by the Agent  any  rights
pursuant to this Agreement which it has as Collection Agent, (ii)
to  perform or observe any term, covenant or agreement  contained
in  Section 5.03(e) or Section 6.03(a), (iii) to make any payment
required  under  Section  10.01 or  (iv)  to  turn  over  to  the
Collection  Agent the amounts referred to in Sections  2.06(e)(i)
and (ii); or

          (c)  Any representation or warranty made or deemed made
by the Seller or the Collection Agent (or any of their respective
officers)  under or in connection with this Agreement, any  other
Transaction  Document, any Seller Report or any other information
or  report  delivered  by  the Seller  or  the  Collection  Agent
pursuant hereto or any Transaction Document shall prove  to  have
been  incorrect in any material respect when made or deemed  made
or delivered; or

          (d)  The Seller or the Originator shall fail to perform
or  observe  any other term, covenant or agreement  contained  in
this  Agreement on its part to be performed or observed  and  any
such  failure  shall remain unremedied for 10 days after  written
notice  thereof  shall  have been given  to  the  Seller  or  the
Originator by the Agent; or

          (e)  The Seller or the Originator shall fail to pay the
principal of or interest on any obligation of the Seller  or  the
Originator  for borrowed money (it being agreed that neither  the
Notes  nor  the  Certificates  are  such  an  obligation)  in  an
outstanding  amount of $10,000,000 or more when due,  whether  by
acceleration, by required prepayment or otherwise, for  a  period
longer  than any period of grace provided in such obligation,  or
fail  to  perform any other term, condition or covenant contained
in  any such obligation, the effect of which is to cause,  or  to
permit  the holder of such obligation or others on its behalf  to
cause,  such  obligation then to become due prior to  its  stated
maturity,   unless  such  failure  shall  have  been   cured   or
effectively waived; or

           (f)   Any  Purchase of a Receivable Interest  pursuant
hereto  or any reinvestment shall for any reason, except  to  the
extent permitted by the terms hereof, cease to create a valid and
perfected first priority undivided percentage ownership  interest
to the extent of such Receivable Interest in each applicable Pool
Receivable and the Related Security and Collections with  respect
thereto; or this Agreement shall for any reason cease to evidence
the  transfer  to the owner thereof of legal and equitable  title
to,  and ownership of, an undivided percentage ownership interest
in  Pool  Receivables and Related Security to the extent  of  the
applicable Receivable Interest; or the security interest  created
pursuant to Section 2.10 shall for any reason (but subject to the
Pro  Rata  RRB Interest) cease to be a valid and perfected  first
priority security interest in the collateral security referred to
in that section; or

           (g)   (i)   The  Originator or any of its  Significant
Subsidiaries  shall  generally not pay its debts  as  such  debts
become  due, or shall admit in writing its inability to  pay  its
debts  generally,  or  shall make a general  assignment  for  the
benefit of creditors; or any proceeding shall be instituted by or
against  the  Originator  or any of its Significant  Subsidiaries
seeking  to  adjudicate  it a bankrupt or insolvent,  or  seeking
liquidation, winding up, reorganization, arrangement, adjustment,
protection, relief, or composition of it or its debts  under  any
law  relating  to  bankruptcy, insolvency  or  reorganization  or
relief of debtors, or seeking the entry of an order for relief or
the appointment of a receiver, trustee, or other similar official
for  it  or  for  any substantial part of its  property  and,  if
instituted  against  the  Originator or any  of  its  Significant
Subsidiaries,  either  such proceeding shall  not  be  stayed  or
dismissed  for  60  days  or any of the actions  sought  in  such
proceeding (including, without limitation, the entry of an  order
for  relief against it or the appointment of a receiver, trustee,
custodian or other similar official for it or for any substantial
part of its property) shall occur; or (ii) the Originator or  any
of  its  Significant Subsidiaries shall take any corporate action
to  authorize any of the actions set forth in clause (i) above in
this subsection (g); or

          (h)  The Delinquency Ratio shall at any time exceed 7%,
the  Default  Ratio shall at any time exceed 8% or  the  Loss-To-
Liquidation Ratio shall at any time exceed 2%; or

          (i)  The Net Receivables Pool Balance shall at any time
be  less  than  105%  of  the  sum  of  Capital,  Yield  Reserve,
Collection  Agent Fee Reserve and Loss and Dilution  Reserve  for
all  Receivable  Interests at such time and such condition  shall
continue  for  three Business Days after the Seller shall  become
aware of such condition; or

          (j)   There  shall have occurred any event  which  may
materially  adversely affect the ability of  the  Seller  or  the
Originator to perform its obligations under this Agreement or the
collectibility of the Pool Receivables; or

          (k)  An "Event of Termination" or "Facility Termination
Date" shall occur under the Originator Purchase Agreement, or the
Originator Purchase Agreement shall cease to be in full force and
effect; or

          (l)  All of the outstanding capital stock of the Seller
shall  cease  to  be  owned,  directly  or  indirectly,  by   the
Originator; or

          (m)  A  "Servicer  Default" shall  occur  under  the
Servicing Agreement; or

          (n)   The  Seller shall be required to  pay  indemnity
payments under the Purchase and Sale Agreement on account of  its
breach  of representations and warranties or the Repurchase  Date
(as defined in the Purchase and Sale Agreement) shall occur; or

          (o)  The Note Trustee commences action to enforce  the
security interest under the Note Indenture; or, the Note  Trustee
or  any other Person requests the DPUC to order the sequestration
and  payment to the holders of the Notes of all revenues  arising
with  respect  to  the RRB Charge and/or the related  competitive
transition assessment; or

           (p)   The Act or the Financing Order is amended  in  a
manner  which  materially affects the ability of  the  Seller  to
collect  Pool Receivables or the ability of the Seller to perform
hereunder.

then,  and  in  any such event, the Agent may, by notice  to  the
Seller,  take  either  or  both of the  following  actions:   (x)
designate   the  Facility  Termination  Date  or  the  Commitment
Termination  Date;  and  (y) designate a Person  to  succeed  the
Originator  as  the Collection Agent (if the Originator  is  then
serving  as  the  Collection  Agent) pursuant  to  Section  6.01;
provided,  that, automatically upon the occurrence of  any  event
(without any requirement for the passage of time or the giving of
notice)  described  in paragraph (g) of this  Section  7.01,  the
Facility  Termination  Date and the Commitment  Termination  Date
shall occur, the Originator (if the Originator is then serving as
the  Collection Agent) shall cease to be the Collection Agent and
the  Agent  or  its  designee shall become the Collection  Agent.
Upon  any such declaration or designation by the Agent,  or  upon
such  automatic termination, the Agent, each Purchaser  and  each
Bank  shall  have, in addition to the rights and  remedies  which
they may have under this Agreement, all other rights and remedies
provided   after   default  under  the  UCC  of  the   applicable
jurisdiction  or jurisdictions and other applicable  laws,  which
rights shall be cumulative.

                          ARTICLE VIII

                            THE AGENT

            SECTION   8.01.   Authorization  and  Action.    Each
Purchaser and each Bank hereby appoints and authorizes the  Agent
to  take such action as agent on its behalf and to exercise  such
powers under this Agreement as are delegated to the Agent by  the
terms  hereof,  together  with  such  powers  as  are  reasonably
incidental thereto.

           SECTION  8.02.   Agent's Reliance, Etc.   Neither  the
Agent  nor  any of its directors, officers, agents  or  employees
shall be liable for any action taken or omitted to be taken by it
or  them  as  Agent  under or in connection with  this  Agreement
(including, without limitation, any action taken or omitted to be
taken  by it or them on behalf of the Purchasers or the Banks  if
designated as Collection Agent pursuant to Section 6.01),  except
for  its  or  their  own gross negligence or willful  misconduct.
Without limiting the foregoing, the Agent:

             (i)      may  consult with legal counsel  (including
counsel  for  the  Seller or the Originator), independent  public
accountants  and other experts selected by it and  shall  not  be
liable for any action taken or omitted to be taken in good  faith
by  it in accordance with the advice of such counsel, accountants
or experts;

             (ii)     makes no warranty or representation to  any
Purchaser or any Bank (whether written or oral) and shall not  be
responsible  to  any  Purchaser or any Bank for  any  statements,
warranties or representations (whether written or oral)  made  in
or in connection with this Agreement;

             (iii)   shall not have any duty to ascertain  or  to
inquire as to the performance or observance of any of the  terms,
covenants  or  conditions of this Agreement on the  part  of  the
Seller  or  the  Collection  Agent or  to  inspect  the  property
(including the books and records) of the Seller or the Collection
Agent;

             (iv)    shall not be responsible to any Purchaser or
any   Bank   for   the   due   execution,   legality,   validity,
enforceability,  genuineness,  sufficiency  or  value   of   this
Agreement or any other instrument or document furnished  pursuant
hereto; and

             (v)     shall incur no liability under or in respect
of  this Agreement by acting upon any notice (including notice by
telephone), consent, certificate or other instrument  or  writing
(which  may  be  by telecopier or telex) believed  by  it  to  be
genuine and signed or sent by the proper party or parties.

           SECTION 8.03.  CNAI and Affiliates.  The obligation of
Citibank  to  Purchase Receivable Interests or make reinvestments
under  this  Agreement may be satisfied by CNAI  or  any  of  its
Affiliates.  With respect to any Receivable Interest or  interest
therein  owned by it, CNAI shall have the same rights and  powers
under  this  agreement as any Bank and may exercise the  same  as
though it were not the Agent.  CNAI and any of its Affiliates may
generally  engage in any kind of business with  the  Seller,  the
Originator or any Obligor, any of their respective Affiliates and
any  Person  who  may do business with or own securities  of  the
Seller,  the Originator or any Obligor or any of their respective
Affiliates,  all  as if CNAI were not the Agent and  without  any
duty to account therefor to any Purchaser or any Bank.

            SECTION   8.04.   Purchasers'  and  Banks'   Purchase
Decisions.   Each  Purchaser and each Bank acknowledges  that  it
has,  independently and without reliance upon the Agent,  any  of
its  Affiliates or any other Purchaser or Bank and based on  such
documents and information as it has deemed appropriate, made  its
own evaluation and decision to enter into this Agreement and,  if
it  so  determines,  to purchase Receivable Interests  hereunder.
Each  Purchaser  and each Bank also acknowledges  that  it  will,
independently  and without reliance upon the Agent,  any  of  its
Affiliates  or  any  other Purchaser or Bank and  based  on  such
documents  and  information as it shall deem appropriate  at  the
time,  continue to make its own decisions in taking or not taking
action under this Agreement.

                           ARTICLE IX

                           ASSIGNMENT

           SECTION  9.01.  Assignability.  (a) Purchasers.   This
Agreement  and  the  Purchasers' rights  and  obligations  herein
(including  ownership  of  each  Receivable  Interest)  shall  be
assignable  by the Purchasers and their successors  and  assigns.
Each  assignor  of a Receivable Interest or any interest  therein
shall  notify  the  Agent and the Seller of any such  assignment.
Each  assignor  of a Receivable Interest or any interest  therein
may, in connection with the assignment or participation, disclose
to  the  assignee or participant any information relating to  the
Seller, including the Receivables, furnished to such assignor  by
or  on behalf of the Seller or by the Agent; provided that, prior
to  any  such disclosure, the assignee or participant  agrees  to
preserve  the  confidentiality  of any  confidential  information
relating  to the Seller received by it from any of the  foregoing
entities.

           (b)   Banks.   Each Bank may assign  to  any  Eligible
Assignee or to any other Bank all or a portion of its rights  and
obligations  under this Agreement (including, without limitation,
all  or  a  portion  of its Bank Commitment  and  any  Receivable
Interests or interests therein owned by it).  The parties to each
such  assignment shall execute and deliver an assignment  to  the
Agent.  In addition, Citibank or any of its Affiliates may assign
any  of  its  rights  (including, without limitation,  rights  to
payment of Capital and Yield) under this Agreement to any Federal
Reserve  Bank without notice to or consent of the Seller  or  the
Agent.

            (c)   Agent.   This  Agreement  and  the  rights  and
obligations of the Agent herein shall be assignable by the  Agent
and its successors and assigns.

           (d)  Seller.  The Seller may not assign its rights  or
obligations  hereunder or any interest herein without  the  prior
written consent of the Agent.

                            ARTICLE X

                         INDEMNIFICATION

           SECTION  10.01.  Indemnities by the  Seller.   Without
limiting any other rights that the Agent, any Purchaser, any Bank
or  any  of  their  respective Affiliates (each, an  "Indemnified
Party")  may have hereunder or under applicable law,  the  Seller
hereby  agrees  to  indemnify  each Indemnified  Party  from  and
against  any  and  all damages, losses, claims,  liabilities  and
related costs and expenses, including reasonable attorneys'  fees
and  disbursements (collectively, "Indemnified Amounts"), awarded
against or incurred by any of them arising out of or as a  result
of  this Agreement or the ownership of Receivable Interests or in
respect  of  any Receivable or any Contract, excluding,  however,
(a)  Indemnified  Amounts  to  the extent  resulting  from  gross
negligence  or willful misconduct on the part of such Indemnified
Party, (b) recourse (except as otherwise specifically provided in
this  Agreement) for uncollectible Receivables or (c)  any  taxes
based  on  or  measured  by the income of any  Indemnified  Party
incurred by such Indemnified Party arising out of or as a  result
of  this Agreement or the ownership of Receivable Interests or in
respect  of any Receivable or any Contract.  Without limiting  or
being limited by the foregoing, the Seller shall pay on demand to
each Indemnified Party any and all amounts necessary to indemnify
such  Indemnified Party from and against any and all  Indemnified
Amounts relating to or resulting from any of the following:

           (i)  any Receivable, at the time of the transfer of an
undivided  percentage ownership interest therein,  not  being  an
Eligible Receivable;

          (ii) reliance on any representation or warranty made or
deemed  made by the Seller (or any of its officers) under  or  in
connection  with  this Agreement, any Seller  Report,  the  other
Transaction  Documents  or  any  other  information   or   report
delivered  by  the Seller pursuant hereto which shall  have  been
false  or  incorrect in any material respect when made or  deemed
made;

           (iii) the failure by the Seller or the Originator
to  comply  with  any  applicable law, rule  or  regulation  with
respect  to any Pool Receivable, Related Security or the  related
Contract,  or  the nonconformity of any Pool Receivable,  Related
Security  or  the related Contract with any such applicable  law,
rule or regulation;

           (iv) the failure to vest in the Agent, for the benefit
of  the  Purchasers  or the Banks, as the  case  may  be,  or  to
transfer to the Agent, for the benefit of the Purchasers  or  the
Banks, as the case may be, (a) legal and equitable title to,  and
ownership of, an undivided percentage ownership interest, to  the
extent of each Receivable Interest owned by it hereunder, in  the
Receivables in, or purporting to be in, the Receivables Pool  for
such Receivable Interest, or (b) a perfected security interest as
provided  in  Section 2.10, in each case free and  clear  of  any
Adverse Claim;

           (v)   the  failure  to file, or any delay  in  filing,
financing  statements or other similar instruments  or  documents
under  the UCC of any applicable jurisdiction or other applicable
laws with respect to any Receivables in, or purporting to be  in,
the Receivables Pool for any Receivable Interest, any Contract or
Related  Security  whether  at  the  time  of  any  Purchase   or
reinvestment or at any subsequent time;

           (vi)  any  dispute, claim, offset or  defense  of  the
Obligor  (other than discharge in bankruptcy of the  Obligor)  to
the  payment of any Receivable in, or purporting to  be  in,  the
Receivables Pool (including, without limitation, a defense  based
on  such  Receivables or the related Contract not being a  legal,
valid  and binding obligation of such Obligor enforceable against
it  in  accordance with its terms), or any other claim  resulting
from  the  sale  of the merchandise or services related  to  such
Receivable   or  the  furnishing  or  failure  to  furnish   such
merchandise or services or relating to collection activities with
respect  to  such Receivable (if such collection activities  were
performed  by  the  Seller  or any of its  Affiliates  acting  as
Collection Agent);

          (vii)     any failure of the Seller to perform its duties
or obligations in accordance with the provisions hereof or to
perform its duties and obligations under the Contracts;

           (viii) any products liability claim or personal injury
or  property  damage suit or other similar or  related  claim  or
action  of  whatever  sort arising out of or in  connection  with
merchandise or services which are the subject of any Contract;

          (ix) the commingling of Collections of Pool Receivables
at  any  time  with any funds (provided that this paragraph  (ix)
will  not  cover  commingling that occurs after such  Collections
have  been  either (1) deposited or otherwise paid  over  to  the
Agent  for  the  account  of  the  Purchasers  or  the  Banks  in
accordance with this Agreement or (2) received by CNAI or any  of
its Affiliates acting as Collection Agent);

           (x)   any  investigation,  litigation  or  proceeding
related to this Agreement or the use of proceeds of Purchases  or
the  ownership  of  Pool Receivables or in respect  of  any  Pool
Receivable or any Contract;

           (xi)  any  failure of the Seller or the Originator  to
comply  with its respective covenants contained in Section  5.01;
or

          (xii)  any claim brought by any Person other than an
Indemnified Party arising from any activity by the Seller or  any
Affiliate of the Seller in servicing, administering or collecting
any Receivable.

                           ARTICLE XI

                          MISCELLANEOUS

          SECTION 11.01. Amendments, Etc.  No amendment or waiver
of  any  provision of this Agreement nor consent to any departure
by  the Seller or the Originator therefrom shall in any event  be
effective unless the same shall be in writing and signed  by  the
Agent,  as  agent for the Purchasers and the Banks (and,  in  the
case  of  any  amendment,  also signed  by  the  Seller  and  the
Originator), and then such amendment, waiver or consent shall  be
effective  only  in the specific instance and  for  the  specific
purpose  for  which given; provided, however, that no  amendment,
waiver  or  consent shall, unless in writing and  signed  by  the
Collection Agent in addition to the Agent, affect the  rights  or
duties  of  the  Collection  Agent under  this  Agreement.   This
Agreement contains a final and complete integration of all  prior
expressions  by  the parties hereto with respect to  the  subject
matter hereof and shall constitute the entire agreement among the
parties  hereto  with  respect  to  the  subject  matter  hereof,
superseding all prior oral or written understandings, except that
certain of the provisions hereof are subject to the terms of  the
Intercreditor Agreement.

           SECTION  11.02. Notices, Etc.  All notices  and  other
communications  hereunder shall, unless otherwise stated  herein,
be  in writing (which shall include facsimile communication)  and
faxed  or  delivered, to each party hereto, at  its  address  set
forth  under its name on the signature pages hereof  or  at  such
other  address as shall be designated by such party in a  written
notice  to  the other parties hereto.  Notices and communications
by  facsimile shall be effective when sent (and shall be followed
by   hard   copy   sent  by  regular  mail),  and   notices   and
communications  sent  by  other means  shall  be  effective  when
received.

           SECTION 11.03. No Waiver; Remedies.  No failure on the
part of the Agent, any Purchaser or any Bank to exercise, and  no
delay  in  exercising, any right hereunder  shall  operate  as  a
waiver  thereof; nor shall any single or partial exercise of  any
right hereunder preclude any other or further exercise thereof or
the  exercise  of any other right.  The remedies herein  provided
are cumulative and not exclusive of any remedies provided by law.

           SECTION  11.04. Binding Effect.  (a)   This  Agreement
shall be binding upon and inure to the benefit of the Seller, the
Originator,  the  Agent,  the Purchasers,  the  Banks  and  their
respective successors and assigns.

           (b)   This  Agreement shall create and constitute  the
continuing agreement of the parties hereto in accordance with its
terms,  and  shall  remain in full force  and  effect  until  the
Facility Termination Date; provided, however, that (i) the rights
of  the Purchasers and the Banks to collect the Capital and Yield
in  respect of the Receivable Interests owned by them,  (ii)  the
rights  and remedies of the Purchasers and the Banks with respect
to  any  breach of any representation and warranty  made  by  the
Seller  pursuant  to  Article  IV  or  Section  3.02,  (iii)  the
indemnification provisions of Article X and Section  11.06,  (iv)
the  rights of the Agent and the Collection Agent to be paid  the
fees,  costs  and  expenses provided for hereunder  and  (v)  the
agreement  set  forth in Section 11.07 shall  be  continuing  and
shall survive any termination of this Agreement.

           SECTION 11.05. GOVERNING LAW.  THIS AGREEMENT SHALL BE
GOVERNED  BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS  OF  THE
STATE  OF  NEW YORK, EXCEPT TO THE EXTENT THAT THE PERFECTION  OF
THE INTERESTS OF THE PURCHASERS AND THE BANKS IN THE RECEIVABLES,
OR  REMEDIES  HEREUNDER IN RESPECT THEREOF, ARE GOVERNED  BY  THE
LAWS OF A JURISDICTION OTHER THAN THE STATE OF NEW YORK.

           SECTION  11.06. Costs, Expenses and  Taxes.   (a)   In
addition to the rights of indemnification granted under Article X
hereof,  the Seller agrees to pay on demand all reasonable  costs
and  expenses  in  connection  with the  preparation,  execution,
delivery and administration (including periodic auditing and  the
other  activities  contemplated  in  Section  5.01(c))  of   this
Agreement  and  the  other documents to be  delivered  hereunder,
including, without limitation, the reasonable fees and  out-  of-
pocket  expenses  of counsel for the Agent, with respect  thereto
and  with  respect  to  advising the Agent,  CNAI,  the  Conduit,
Citibank  and their respective Affiliates as to their  respective
rights  and  remedies under this Agreement,  and  all  reasonable
costs and expenses, if any (including reasonable counsel fees and
expenses),  of  the Agent, CNAI, the Purchasers,  the  Banks  and
their  respective Affiliates, in connection with the  enforcement
of  this  Agreement  and  the  other documents  to  be  delivered
hereunder.

          (b)  In addition, the Seller shall pay any and all stamp
and other taxes and fees payable or determined to be payable in
connection with the execution, delivery, filing, recording or
enforcement of this Agreement or the other documents to be
delivered hereunder, and agrees to save each Indemnified Party
harmless from and against any and all liabilities with respect to
or resulting from any delay in paying or omission to pay such
taxes and fees.

          SECTION 11.07. No Proceedings.  Each of the Seller, the
Originator, the Agent, the Collection Agent, each Purchaser, each
Bank,  each  assignee of a Receivable Interest  or  any  interest
therein  and  each  entity  which enters  into  a  commitment  to
purchase Receivable Interests or interests therein hereby  agrees
that it will not institute against the Conduit any proceeding  of
the type referred to in Section 7.01(g) so long as any commercial
paper or other senior indebtedness issued by the Conduit shall be
outstanding or there shall not have elapsed one year plus one day
since  the last day on which any such commercial paper  or  other
senior indebtedness shall have been outstanding.

          SECTION 11.08. Confidentiality.  (a)  By the Seller and
the  Originator.   Unless otherwise required  by  applicable  law
(including,  without  limitation, the order of  any  governmental
authority  having jurisdiction and authority to issue such  order
or  upon  the  request  or demand of, or in connection  with  any
investigation,   proceeding  or  audit   by,   any   governmental
authority, if such request or demand shall have the force of  law
or  be  made  in connection with the exercise of such authority's
regulatory  functions), the Seller and the  Originator  agree  to
maintain  the confidentiality of this Agreement (and  all  drafts
thereof)  in  communications with third  parties  and  otherwise;
provided, however, that the Agreement may be disclosed  to  third
parties  to  the  extent  such  disclosure  is  (i)  required  in
connection  with  a sale of securities of the Originator,  or  in
connection with the Certificates (ii) made solely to persons  who
are  legal  counsel  for  the purchaser or  underwriter  of  such
securities, (iii) limited in scope to the provisions of  Articles
V,  VII,  X and, to the extent defined terms are used in Articles
V,  VII and X, such terms defined in Article I of this Agreement,
(iv)  made pursuant to a written agreement of confidentiality  in
form  and substance reasonably satisfactory to the Agent, (v)  to
the Seller's or the Originator's legal counsel and accountants if
they  agree  to  hold  it confidential or (vi)  with  respect  to
information  generally available to the public or  which  becomes
available  to  the public through no fault of the Seller  or  the
Originator.

           (b)   By  the  Agent.   Unless otherwise  required  by
applicable law (including, without limitation, the order  of  any
governmental authority having jurisdiction and authority to issue
such  order  or  upon the request or demand of, or in  connection
with  any investigation, proceeding or audit by, any governmental
authority or rating agency, if such request or demand shall  have
the  force  of law or be made in connection with the exercise  of
such  authority's  regulatory functions or such  agency's  normal
functions),  the Agent agrees to maintain the confidentiality  of
any  information  provided to the Agent  by  the  Seller  or  the
Originator;  provided,  however, that  such  information  may  be
disclosed to third parties to the extent such disclosure  is  (i)
made  pursuant to a written agreement of confidentiality in  form
and  substance  reasonably satisfactory to  the  Seller  and  the
Originator  or (ii) to the Agent's legal counsel and  accountants
if  they  agree to hold it confidential or (iii) with respect  to
information  generally available to the public or  which  becomes
available to the public through no fault of the Agent.

            SECTION  11.09.  Execution  in  Counterparts.    This
Agreement  may be executed in any number of counterparts  and  by
different parties hereto in separate counterparts, each of  which
when  so  executed shall be deemed to be an original and  all  of
which  when  taken  together shall constitute one  and  the  same
agreement.   Delivery of an executed counterpart of  a  signature
page  to  this  Agreement  by facsimile  shall  be  effective  as
delivery of a manually executed counterpart of this Agreement.

           IN  WITNESS  WHEREOF,  the parties  have  caused  this
Agreement  to be executed by their respective officers  thereunto
duly authorized, as of the date first above written.

SELLER:                  CL&P RECEIVABLES CORPORATION

                         By:_________________________________
                              Name:  Randy A. Shoop
                              Title: Treasurer

                         107 Selden Street
                         Berlin, Connecticut 06037
                         Attention:   Assistant Treasurer
                         Facsimile No.: (860) 665-5457

ORIGINATOR
AND COLLECTION
AGENT:                   THE CONNECTICUT LIGHT AND
                           POWER COMPANY

                         By_____________________________
                              Name:  Randy A. Shoop
                              Title: Treasurer

                         107 Selden Street
                         Berlin, Connecticut  06037
                         Attention:   Assistant Treasurer
                         Facsimile No.: 860-665-5457

PURCHASER:               CORPORATE ASSET FUNDING
                            COMPANY, INC.

                         By:  Citicorp North America, Inc.
                              as Attorney-in-Fact

                              By_____________________________
                                 Name:
                                 Title:    Vice President

                         450 Mamaroneck Avenue
                         Harrison, NY  10528
                         Attention:   Corporate Asset Funding
                         Facsimile No.: 914-899-7890

BANK:                    CITIBANK, N.A.

                         By:_______________________________
                               Name:
                               Title:  Vice President
                                Percentage:  100%

                                450 Mamaroneck Avenue
                                Harrison, N.Y.  10528
                                Facsimile No.:    914-899-7890

AGENT:                   CITICORP NORTH AMERICA, INC., as Agent

                         By__________________________________
                               Name:
                               Title:   Vice President

                         450 Mamaroneck Avenue
                         Harrison, N.Y.  10528
                         Attention:   Corporate Asset Funding
                         Facsimile No.: 914-899-7890

 <PAGE>
                                                        EXHIBIT A

                  SPECIAL CONCENTRATION LIMITS

                                      Date:  ____________, 20__

Citicorp North America, Inc.,
   as Agent
450 Mamaroneck Avenue
Harrison, New York  10528
Attention:  Corporate Asset Funding Department

            Reference  is  made  to  the  Amended  and   Restated
Receivables  Purchase and Sale Agreement, dated as of  March  30,
2001  (the  terms  defined therein being used herein  as  therein
defined)  among  CL&P  Receivables Corporation,  The  Connecticut
Light  and Power Company, Corporate Asset Funding Company,  Inc.,
Citibank, N.A. and Citicorp North America, Inc., as Agent.

            The  Seller  hereby  designates  for  the  Designated
Obligor[s]  named  below the Special Concentration  Limit[s]  set
forth below opposite [its] [their respective] name[s]:

     Designated Obligor            Special Concentration Limit

     __________________            ___________________________

     __________________            ___________________________
          [etc.]

                 CL&P RECEIVABLES CORPORATION

                 By____________________________
                     Name:
                     Title:

 <PAGE>

           The  undersigned  hereby approves  the  above  Special
Concentration Limit[s], as of the date hereof.

                 CITICORP NORTH AMERICA, INC.
                         as Agent

                 By____________________________
                     Name:
                     Title:

  <PAGE>
                                                        EXHIBIT B

                      FORM OF SELLER REPORT

<PAGE>
                                                        EXHIBIT C

                     DESCRIPTION OF TARIFFS

1.    The retail rates charged by the Originator to Obligors,  as
approved  from  time  to  time by the Connecticut  Department  of
Public Utility Control.

2.   The Connecticut Light and Power Company Terms and Conditions
for  Delivery Service, effective January 12, 2000, applicable  to
its   retail   rate  accounts  as  approved  by  the  Connecticut
Department of Public Utility Control.

 <PAGE>

                                                        EXHIBIT D

                 CANCELLATION OF DESIGNATION OF
          OBLIGORS AND/OR SPECIAL CONCENTRATION LIMITS

                                      Date: _____________, 20__

[Citicorp North America, Inc.,
     as Agent
450 Mamaroneck Avenue
Harrison, New York  10528
Attention:  Corporate Asset
            Funding]

[CL&P Receivables Corporation
107 Selden Street
Berlin, Connecticut]

            Reference  is  made  to  the  Amended  and   Restated
Receivables  Purchase and Sale Agreement, dated as of  March  30,
2001  (the  "Receivables Agreement"; the  terms  defined  therein
being  used  herein  as therein defined) among  CL&P  Receivables
Corporation,  The Connecticut Light and Power Company,  Corporate
Asset  Funding  Company, Inc., Citibank, N.A. and Citicorp  North
America, Inc., as Agent.

           Pursuant to Section 2.01 of the Receivables Agreement,
the   undersigned  hereby  cancels,  effective  as  of  the  date
occurring  three days after the date hereof, the  designation  of
[each of] the following Obligor[s] as a Designated Obligor:

          1.   _________________________________________________

          2.   _________________________________________________

          3.   _________________________________________________
               (etc.)

<PAGE>

          The  undersigned hereby cancels, effective as  of  the
date  occurring  three days after the date  hereof,  the  Special
Concentration Limit of each of the following Obligor[s]:

          1.   _______________________

          2.   _______________________

          3.   _______________________
               (etc.)

and  thus  as  of  the date occurring three days after  the  date
hereof  the Normal Concentration Limit shall apply to  the  above
Obligor[s].

                              [CITICORP NORTH AMERICA, INC.,
                                  as Agent]

                              [CL&P RECEIVABLES CORPORATION]

                              By_______________________________
                                  Name:
                                                           Title:

  <PAGE>

                                                       EXHIBIT E

            FORM OF OPINION OF COUNSEL FOR THE SELLER

                       See tabs 12 and 13.

   <PAGE>
                                                        EXHIBIT F

                           AUDIT SCOPE

I.   Review of 2-3 monthly Seller Reports
     A.   Agree numerical amounts to source documents
     B.   Recalculate percentages and ratios
     C.   Review customer concentrations (cross-agings)
     D.   Review write-off activity
     E.   Review AR eligibility
     F.   Review the aging of outstanding invoices

II.  Perform a verification of receivable activity for sample
Seller Report
     A.   Monthly activity
          1.   Sales
          2.   Collections
          3.   Write-offs
          4.   Debit and Credit memos

     B.   Statistical analysis
          1.   Turnover
          2.   Dilution
          3.   Loss-to-liquidation

III. If available, supply copy of most recent review of
accounting controlsAMENDMENT TO EMPLOYMENT AGREEMENT

This Amendment, dated as of June 28, 2001, is to the Employment
Agreement, dated as of August 20, 1997, by and between Northeast
Utilities (the "Company") and Michael G. Morris ("Executive"), as
amended.

A.   The following sentence is added at the end of Section 1.5 of
     the Employment Agreement:

          Notwithstanding anything to the contrary in this
          agreement, if at the end of the Employment Term
          Executive is at least age 60, in no event will the
          Special Retirement Benefit be of less value on an
          actuarial basis (determined by using the definition of
          "Actuarially Equivalent" in the Northeast Utilities
          Service Company Retirement Plan) than the benefit that
          would have been paid under the Supplemental Plan
          (including survivor benefits), assuming that in lieu of
          the Special Retirement Benefit, Executive had been
          eligible for a Make-Whole Benefit and a Target Benefit
          under the Supplemental Plan based only on service
          rendered for the Company and CMS.

     IN WITNESS WHEREOF, the parties hereto have executed this
Amendment as of the day and year first above written.

NORTHEAST UTILITIES                          EXECUTIVE

By: /s/ Gregory B. Butler                   /s/Michael G. Morris
Its Vice President, Secretary               Michael G. Morris
and General Counsel

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