Document:

<PAGE>   1
                                                                   Exhibit 10.37

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

                          SECURITIES PURCHASE AGREEMENT

                                  BY AND AMONG

                          TRANSTECHNOLOGY CORPORATION,

                                       AND

                       J. H. WHITNEY MEZZANINE FUND, L.P.
                     ALBION ALLIANCE MEZZANINE FUND I, L.P.

                     ALBION ALLIANCE MEZZANINE FUND II, L.P.

            THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES

                          FLEET CORPORATE FINANCE, INC.

                                       AND

                             CITIZENS CAPITAL, INC.

                       ----------------------------------
                           DATED AS OF AUGUST 29, 2000

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

--------------------------------------------------------------------------------
<PAGE>   2

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>

                                                                                                    PAGE NO.
                                                                                                    --------

<S>               <C>
ARTICLE 1         DEFINITIONS............................................................................2
                  1.1      DEFINITIONS...................................................................2
                  1.2      ACCOUNTING TERMS: FINANCIAL STATEMENTS.......................................14
                  1.3      KNOWLEDGE OF THE COMPANY.....................................................14

ARTICLE 2         PURCHASE AND SALE OF THE SECURITIES...................................................15
                  2.1      PURCHASE AND SALE OF THE WMF NOTE............................................15
                  2.5      CLOSING......................................................................16
                  2.6      FINANCIAL ACCOUNTING POSITIONS; TAX REPORTING................................16

ARTICLE 3         CONDITIONS TO THE RESPECTIVE OBLIGATIONS OF THE PURCHASERS TO
                  PURCHASE THE SECURITIES...............................................................16
                  3.1      REPRESENTATIONS AND WARRANTIES...............................................16
                  3.2      COMPLIANCE WITH THIS AGREEMENT...............................................16
                  3.3      SECRETARY'S CERTIFICATES.....................................................17
                  3.4      DOCUMENTS....................................................................17
                  3.5      PURCHASE OF SECURITIES PERMITTED BY APPLICABLE LAWS..........................17
                  3.6      Opinion of Counsel...........................................................17
                  3.7      APPROVAL OF COUNSEL TO THE PURCHASERS........................................17
                  3.8      CONSENTS AND APPROVALS.......................................................17
                  3.9      REGISTRATION RIGHTS AGREEMENT................................................18
                  3.12     NO MATERIAL JUDGMENT OR ORDER................................................18
                  3.13     PRO FORMA BALANCE SHEET......................................................18
                  3.14     GOOD STANDING CERTIFICATES...................................................18
                  3.15     NO LITIGATION................................................................18

ARTICLE 4         CONDITIONS TO THE OBLIGATIONS OF THE COMPANY TO ISSUE AND SELL THE SECURITIES.........19
                  4.1      REPRESENTATIONS AND WARRANTIES...............................................19
                  4.2      COMPLIANCE WITH THIS AGREEMENT...............................................19

ARTICLE 5         REPRESENTATIONS AND WARRANTIES OF THE COMPANY.........................................19
                  5.1      CORPORATE EXISTENCE AND POWER................................................19
                  5.2      CORPORATE AUTHORIZATION; NO CONTRAVENTION....................................20
                  5.3      GOVERNMENTAL AUTHORIZATION; THIRD PARTY CONSENTS.............................20
                  5.4      BINDING EFFECT...............................................................20
                  5.5      NO LEGAL BAR.................................................................20
                  5.7      COMPLIANCE WITH LAWS.........................................................21
                  5.8      NO DEFAULT OR BREACH.........................................................21
                  5.9      TITLE TO PROPERTIES..........................................................21
                  5.10     USE OF REAL PROPERTY.........................................................21
                  5.12     [SEC REPORTS;] FINANCIAL CONDITION...........................................23
                  5.13     ERISA -- PROHIBITED TRANSACTIONS.............................................24
                  5.14     DISCLOSURE...................................................................24
                  5.15     ABSENCE OF CERTAIN CHANGES OR EVENTS.........................................24
</TABLE>

                                       i

<PAGE>   3

<TABLE>

<S>               <C>
                  5.16     ENVIRONMENTAL MATTERS........................................................25
                  5.17     INVESTMENT COMPANY/GOVERNMENT REGULATIONS....................................25
                  5.18     SUBSIDIARIES.................................................................25
                  5.19     CAPITALIZATION...............................................................26
                  5.20     PRIVATE OFFERING.............................................................27
                  5.21     BROKER'S, FINDER'S OR SIMILAR FEES...........................................27
                  5.22     LABOR RELATIONS..............................................................27
                  5.23     EMPLOYEE BENEFIT PLANS.......................................................27
                  5.24     PATENTS, TRADEMARKS, ETC.....................................................29
                  5.25     POTENTIAL CONFLICTS OF INTEREST..............................................30
                  5.26     TRADE RELATIONS..............................................................30
                  5.27     OUTSTANDING BORROWINGS.......................................................30
                  5.28     MATERIAL CONTRACTS...........................................................31
                  5.29     INSURANCE....................................................................31
                  5.33     SOLVENCY.....................................................................31
                  5.34     OTHER DOCUMENTS..............................................................31
                  5.38     Operating Company............................................................32

ARTICLE 6         REPRESENTATIONS AND WARRANTIES OF THE PURCHASERS......................................32
                  5.1      CORPORATE EXISTENCE AND POWER................................................32
                  6.1      AUTHORIZATION; NO CONTRAVENTION..............................................32
                  6.2      BINDING EFFECT...............................................................32
                  6.3      NO LEGAL BAR.................................................................33
                  6.4      PURCHASE FOR OWN ACCOUNT.....................................................33
                  5.6      LITIGATION...................................................................33
                  6.6      BROKER'S, FINDER'S OR SIMILAR FEES...........................................34
                  6.7      GOVERNMENTAL AUTHORIZATION; THIRD PARTY CONSENT..............................35

ARTICLE 7         INDEMNIFICATION.......................................................................35
                  7.1      INDEMNIFICATION..............................................................35
                  7.2      Procedure; Notification......................................................36
                  7.3      REGISTRATION RIGHTS AGREEMENT................................................37

ARTICLE 8          AFFIRMATIVE COVENANTS................................................................37
                  8.1      FINANCIAL STATEMENTS AND OTHER INFORMATION...................................37
                  8.2      Preservation of Corporate Existence..........................................40
                  8.3      PAYMENT OF OBLIGATIONS.......................................................41
                  8.4      COMPLIANCE WITH LAWS.........................................................41
                  8.5      RESERVATION OF SHARES........................................................41
                  8.6      INSPECTION...................................................................41
                  8.7      PAYMENT OF NOTE..............................................................42
                  8.8      INSURANCE....................................................................42
                  8.9      BOOKS AND RECORDS............................................................42
                  8.10     USE OF PROCEEDS..............................................................42
                  8.11     BOARD NOMINEES...............................................................42

ARTICLE 9         NEGATIVE COVENANTS....................................................................43
                  9.1      Fundamental Changes; Consolidations, Mergers and Acquisitions................43
</TABLE>

                                       ii
<PAGE>   4

<TABLE>

<S>               <C>
                  9.2      TRANSACTIONS WITH AFFILIATES.................................................44
                  9.3      NO INCONSISTENT AGREEMENTS...................................................44
                  9.4      LIMITATION ON INDEBTEDNESS...................................................44
                  9.5       LIMITATION ON LIENS.........................................................46
                  9.6      Dispositions of Assets.......................................................47
                  9.7      Limitations on Restricted Payments...........................................48
                  9.8      Financial Covenants..........................................................48
                  9.1      Employee Benefit Plans.......................................................49
                  9.10     Limitation on Business of the Company........................................50
                  9.11     Investments..................................................................50
                  9.12     Contingent Obligations.......................................................50
                  9.13     Management Fees and Compensation.............................................50
                  9.14     Fiscal Year..................................................................50
                  9.15     Press Release; Public Offering Materials.....................................51
                  9.16     Subsidiaries.................................................................51
                  9.17     No Negative Pledges..........................................................51
                  9.18     No Restrictions on Subsidiary Distributions to the Company...................51
                  9.20     Tax Election.................................................................51

ARTICLE 10        PREPAYMENT............................................................................51
                  10.1     Optional Prepayment..........................................................51
                  10.2     Mandatory Prepayment.........................................................51

ARTICLE 11        MISCELLANEOUS.........................................................................52
                  11.1     SURVIVAL OF REPRESENTATIONS AND WARRANTIES...................................52
                  11.2     NOTICES......................................................................52
                  11.3     SUCCESSORS AND ASSIGNS.......................................................55
                  11.4     AMENDMENT AND WAIVER.........................................................55
                  11.5     SIGNATURES; COUNTERPARTS.....................................................56
                  11.6     HEADINGS.....................................................................56
                  11.7     GOVERNING LAW................................................................56
                  11.8     Determinations, Request or Consents..........................................56
                  11.9     JURISDICTION, JURY TRIAL WAIVER, ETC.........................................56
                  11.10    SEVERABILITY.................................................................57
                  11.11    RULES OF CONSTRUCTION........................................................57
                  11.12    ENTIRE AGREEMENT.............................................................57
                  11.13    CERTAIN EXPENSES.............................................................57
                  11.14    PUBLICITY....................................................................58
                  11.15    FURTHER ASSURANCES...........................................................58
                  11.16    OBLIGATIONS OF THE PURCHASERS................................................58
                  11.17    NO STRICT CONSTRUCTION.......................................................58
</TABLE>

                                      iii
<PAGE>   5

                          SECURITIES PURCHASE AGREEMENT

     AGREEMENT, dated as of August 29, 2000, by and among TRANSTECHNOLOGY
CORPORATION (the "COMPANY"), a Delaware corporation, and J. H. WHITNEY MEZZANINE
FUND, L.P. ("WMF"), a Delaware limited partnership, ALBION ALLIANCE MEZZANINE
FUND I, L.P. ("ALBION I"), a Delaware limited partnership, ALBION ALLIANCE
MEZZANINE FUND II, L.P. ("ALBION II"), a Delaware limited partnership, THE
EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES ("EQUITABLE"), a New York
corporation, FLEET CORPORATE FINANCE, INC. ("FLEET"), a Massachusetts
corporation, and CITIZENS CAPITAL, INC. ("CITIZENS"; and together with WMF,
Albion I, Albion II, Equitable and Fleet, the "PURCHASERS" and, individually, a
"PURCHASER"), a Massachusetts corporation.

                              W I T N E S S E T H:
                              - - - - - - - - - -

     WHEREAS, the Company wishes to sell to the Purchasers, and the Purchasers
wish to purchase from the Company (i) subordinated promissory notes due August
29, 2005, in the aggregate principal amount of $75,000,000, and (ii) warrants to
purchase an aggregate of 427,602 shares of common stock, $.01 par value per
share, of the Company (the "COMMON STOCK"), in each case upon the terms and
subject to the conditions hereinafter set forth.

     NOW, THEREFORE, in consideration of the mutual covenants and agreements set
forth herein and for other good and valuable consideration, the receipt and
adequacy of which is hereby acknowledged, the parties hereto agree as follows:

                                   ARTICLE 1

                                   DEFINITIONS
                                   -----------

     1.1 DEFINITIONS. As used in this Agreement, and unless the context requires
a different meaning, the following terms have the meanings indicated:

     "ACQUISITION CLOSING DATE" shall mean the date of completion of any
Approved Acquisition.

     "AFFILIATE" shall mean any Person (a) directly or indirectly controlling,
controlled by, or under common control with, the Company, (b) directly or
indirectly owning or holding five percent (5%) or more of any equity interest in
the Company, or (c) five percent (5%) or more of whose voting stock or other
equity interest is directly or indirectly owned or held by the Company. For
purposes of this definition, "control" (including with correlative meanings, the
terms "controlling", "controlled by" and under "common control with") means the
possession, directly or indirectly, of the power to direct or cause the
direction of the management and policies of a Person, whether through the
ownership of voting securities, by contract or otherwise.

                                       2
<PAGE>   6

     "AGREEMENT" shall mean this Agreement, including the exhibits and schedules
attached hereto, as the same may be amended, supplemented or modified in
accordance with the terms hereof.

     "ALBION/EQUITABLE NOTES" shall mean the Notes purchased pursuant to
Sections 2.1(b), (c) and (d) hereof.

     "APPROVED ACQUISITION" shall mean any acquisition ("ACQUISITION") by the
Company or any of its Subsidiaries of all of the shares or all or substantially
all of the assets of a corporation or business, as the case may be, whose
operations are substantially concentrated in the Business (such corporation or
business, the "TARGET"), PROVIDED THAT either (i) the aggregate consideration,
whether in cash, property or shares of capital stock of the Company or any of
its Subsidiaries payable by the Company or any of its Subsidiaries (including
the full amount of any contingent payment potentially payable by the Company or
any of its Subsidiaries pursuant to any post-closing adjustment to the purchase
price, earn-out, or otherwise) does not, when aggregated with the amount of
Indebtedness being assumed by the Company or any of its Subsidiaries or
remaining outstanding immediately after the closing date of such acquisition,
exceed $10,000,000 on such closing date or, when combined with the aggregate
consideration received and Indebtedness assumed or outstanding in respect of all
Acquisitions consummated within the twelve months immediately preceding such
closing date, does not exceed $25,000,000 or (ii) such acquisition is approved
in writing prior to the closing date thereof by the Requisite Noteholders, and
PROVIDED FURTHER that in each case, each of the following conditions, if
applicable, are either fulfilled or are waived in writing by the Requisite
Noteholders:

          (a) the acquisition of the Target is to be concluded pursuant to
negotiated agreements with the Target or its owners or other controlling
interests and approved by the Target's board of directors or other governing
body, and not as a result of a hostile tender or otherwise without the Target's
acquiescence;

          (b) upon completion of the proposed acquisition, the assets of the
Target shall be subject to no lien, encumbrance, mortgage, pledge, charge,
restriction or other security other than liens which would be Permitted
Encumbrances hereunder and lessor's interests under the Capitalized Lease
Obligations of the Target being assumed by the purchaser;

          (c) no Default or Event of Default shall have occurred and be
continuing at the time of completion of the proposed acquisition, and no Default
or Event of Default would result therefrom;

          (d) without limiting the requirement in clause (c) above, (i) upon
completion of the proposed acquisition, the Company and its Subsidiaries
(including the Target from and after the proposed date of completion of such
acquisition) shall be in compliance with the financial covenants set forth in
Section 9.8 immediately following acquisition of the Target, and (ii) in the
event that the total consideration payable in connection with such acquisition
exceeds $5,000,000, the Company shall have delivered to the Purchasers prior to
the applicable Acquisition Closing Date PRO FORMA financial statements in form
and substance satisfactory to the Requisite Noteholders evidencing such
compliance, certified by the principal financial or accounting officer of the
Company;

                                       3
<PAGE>   7

          (e) upon completion of any proposed acquisition by purchase of the
shares or other equity interests of the Target, the Target shall either be the
Company or one of its Subsidiaries, with the Company or such Subsidiary as the
surviving entity, or, if the Target continues in existence as a Subsidiary of
the Company or one of its Subsidiaries, it shall do so in compliance with and
subject to the conditions set forth herein;

          (f) the Target's operating income, determined in accordance with
generally accepted accounting principles, for the twelve (12) months immediately
preceding the proposed Acquisition Closing Date shall be greater than zero; and

          (g) the Purchasers shall have received reasonably detailed written
notice of the proposed acquisition at least fifteen (15) Business Days' prior to
the proposed Acquisition Closing Date.

     "ASSET DISPOSITION" shall mean the disposition, whether by sale, lease,
transfer, loss, damage, destruction, condemnation or otherwise of any of the
following: (a) any of the stock of or equity interests in the Company or any of
its Subsidiaries or (b) any or all of the assets of the Company or any of its
Subsidiaries other than sales of inventory in the ordinary course of business.
"NET PROCEEDS" of any Asset Disposition means Cash proceeds received by the
Company or any of its Subsidiaries from any Asset Disposition (including
insurance proceeds, awards of condemnation, and payments under notes or other
debt securities received in connection with any Asset Disposition), net of (x)
the costs of such sale, lease, transfer or other disposition (including Taxes
attributable to such sale, lease or transfer), and (y) amounts applied to
repayment of Indebtedness secured by a Lien on the asset or property disposed.

     "BUSINESS" shall mean businesses engaged in by Company and its Subsidiaries
at the Closing Date, and businesses reasonably related or incidental thereto.

     "BUSINESS DAY" shall mean any day other than a Saturday, Sunday or other
day on which commercial banks in the City of New York are authorized or required
by law or executive order to close.

     "BY-LAWS" shall mean, unless the context in which such term is used
otherwise requires, the By-laws of the Company or any of its Subsidiaries as in
effect on the Closing Date.

     "CAPITAL ASSETS" shall mean fixed assets, both tangible (such as land,
buildings, fixtures, machinery and equipment) and intangible (such as patents,
copyrights, trademarks, franchises and good will); PROVIDED that Capital Assets
shall not include any item customarily charged directly to expenses or
depreciated over a useful life of twelve (12) months or less in accordance with
GAAP.

     "CAPITAL EXPENDITURES" shall mean as to any Person, amounts paid or
indebtedness incurred by such Person in connection with the purchase or lease by
such Person of Capital Assets that would be required to be capitalized and shown
on the balance sheet of such Person in accordance with GAAP.

                                       4
<PAGE>   8

     "CAPITALIZED LEASE" shall mean any lease (unless otherwise stated, under
which the Company or any of its Subsidiaries is the lessee or obligor), the
discounted future rental payment obligations under which are required to be
capitalized on the balance sheet of the lessee or obligor in accordance with
generally accepted accounting principles.

     "CAPITAL LEASE OBLIGATIONS" of any Person shall mean the obligations of
such Person to pay rent or other amounts under any lease of (or other
arrangement conveying the right to use) real or personal property, or a
combination thereof, which obligations are required to be classified and
accounted for as capital leases on a balance sheet of such Person under GAAP
consistently applied and, for the purposes of this Agreement, the amount of such
obligations at any time shall be the capitalized amount thereof at such time
determined in accordance with GAAP consistently applied. The determination of
Capital Lease Obligations at the relevant time of determination with respect to
the Company and its Subsidiaries shall be made on a consolidated basis in
accordance with GAAP consistently applied.

     "CASH" shall mean the currency of the United States of America.

     "CASH EQUIVALENTS" shall mean: (i) marketable direct obligations issued or
unconditionally guaranteed by the United States Government or issued by any
agency thereof and backed by the full faith and credit of the United States, in
each case maturing within one (1) year from the date of acquisition thereof;
(ii) commercial paper maturing no more than one (1) year from the date issued
and, at the time of acquisition, having a rating of at least A-1 from Standard &
Poor's rating service or a least P-1 from Moody's Investors Service, Inc., (iii)
certificates of deposit or bankers' acceptances maturing within one (1) year
from the date of issuance thereof issued by, or overnight reverse repurchase
agreements from, any commercial bank organized under the laws of the United
States of America or any state thereof or the District of Columbia having
combined capital and surplus of not less than $500,000,000; (iv) time deposits
maturing no more than thirty (30) days from the date of creation thereof with
commercial banks having membership in the Federal Deposit Insurance Corporation
in amounts not exceeding the lesser of $100,000 or the maximum amount of
insurance applicable to the aggregate amount of the Company's and its
Subsidiaries, deposits at such institution; and (v) deposits or investments in
mutual or similar funds offered or sponsored by brokerage or other companies
having membership in the Securities Investor Protection Corporation in amounts
not exceeding the lesser of $100,000 or the maximum amount of insurance
applicable to the aggregate amount of the Company's and its Subsidiaries,
deposits at such institution.

     "CERCLA" has the meaning set forth in the definition of "Environmental
Laws" below.

     "CERTIFICATE OF INCORPORATION" shall mean, unless the context in which it
is used shall otherwise require, the Certificate of Incorporation of the Company
or any of its Subsidiaries as in effect on the Closing Date.

     "CLOSING" shall have the meaning assigned to that term in Section 2.3.

     "CLOSING DATE" shall have the meaning assigned to that term in Section 2.3.

                                       5
<PAGE>   9

     "CODE" shall mean the Internal Revenue Code of 1986, as amended, or any
successor statute thereto.

     "COMMISSION" shall mean the Securities and Exchange Commission or any
similar agency then having jurisdiction to enforce the Securities Act.

     "COMMON STOCK" shall have the meaning assigned to that term in the second
Whereas clause hereof, or any other capital stock of the Company into which such
stock is reclassified or reconstituted.

     "COMPLIANCE CERTIFICATE" shall have the meaning given in Section 8.1(c).

     "CONDITION OF THE COMPANY" shall mean the assets, business, properties,
prospects operations, or financial condition of the Company and its
Subsidiaries, taken as a whole.

     "CONSOLIDATED" or "CONSOLIDATED" shall mean with reference to any term
defined herein, that term as applied to the accounts of the Company and its
Subsidiaries, consolidated in accordance with GAAP.

     "CONSOLIDATED ADJUSTED EBITDA" shall mean with respect to any period,
Consolidated EBITDA PLUS to the extent that during such period any Approved
Acquisition shall have been completed, the Earnings Before Interest and Taxes,
before provision for any depreciation or amortization, attributable to the
operations of the applicable Target during the period prior to the applicable
Acquisition Closing Date included in such period, but only to the extent
evidenced by audited financial statements of the Target or as otherwise approved
in writing by the Requisite Noteholders prior to such Acquisition Closing Date,
PROVIDED that such Earnings before Interest and Taxes may include the amount of
any cost savings directly attributable to such Approved Acquisition, to the
extent that such savings are either (i) recognized by Regulation S-X under the
Exchange Act, or (ii) approved in writing by the Requisite Noteholders prior to
such Acquisition Closing Date, all as determined in accordance with GAAP.

     "CONSOLIDATED EBITDA" shall mean with respect to any period, Earnings
Before Interest and Taxes for such period, before provision for any depreciation
and amortization, as determined in accordance with GAAP.

     "CONSOLIDATED NET INCOME (OR DEFICIT)" shall mean the consolidated net
income (or deficit) or the Company and its Subsidiaries, after deduction of all
expenses, taxes and other proper charges, determined in accordance with GAAP.

     "CONSOLIDATED NET WORTH" shall mean the excess of Consolidated Total Assets
over Consolidated Total Liabilities, LESS, to the extent otherwise includable in
the computation of Consolidated Net Worth, any subscriptions receivable.

     "CONSOLIDATED TOTAL ASSETS" shall mean all assets of the Company and its
Subsidiaries determined on a consolidated basis in accordance with GAAP.

                                       6
<PAGE>   10

     "CONSOLIDATED TOTAL INTEREST EXPENSE" shall mean for any period, the
aggregate amount of interest required to be paid by the Company and its
Subsidiaries during such period on all Indebtedness of the Company and its
Subsidiaries outstanding during all or any part of such period, whether such
interest was or is required to be reflected as an item of expense or
capitalized, including payments consisting of cash interest in respect of
Subordinated Debt or Capitalized Leases and including commitment fees, agency
fees, facility fees and similar fees or expenses in connection with the
borrowing of money, but EXCLUDING all non-cash payments, including without
limitation the payment-in-kind of interest on any Subordinated Debt of the
Company or the non-cash amortization of fees paid with respect to the Senior
Credit Agreement.

     "CONSOLIDATED TOTAL LIABILITIES" shall mean all liabilities of the Company
and its Subsidiaries determined on a consolidated basis in accordance with GAAP
and all Indebtedness of the Company and its Subsidiaries, whether or not so
classified.

     "CONTINGENT OBLIGATION" as applied to any Person, shall mean any direct or
indirect liability, contingent or otherwise, of that Person: (i) with respect to
any indebtedness, lease, dividend or other obligation of another Person if the
primary purpose or intent of the Person incurring such liability, or the primary
effect thereof, is to provide assurance to the obligee of such liability that
such liability will be paid or discharged, or that any agreements relating
thereto will be complied with, or that the holders of such liability will be
protected (in whole or in part) against loss with respect thereto; (ii) with
respect to any letter of credit issued for the account of that Person or as to
which that Person is otherwise liable for reimbursement of drawings; or (iii)
under any foreign exchange contract, currency swap agreement, interest rate swap
agreement or other similar agreement or arrangement designed to alter the risks
of that Person arising from fluctuations in currency values or interest rates.
Contingent Obligations shall include (a) the direct or indirect guaranty,
endorsement (other than for collection or deposit in the ordinary course of
business), co-making, discounting with recourse or sale with recourse by such
Person of the obligation of another, (b) the obligation to make take-or-pay or
similar payments if required regardless of nonperformance by any other party or
parties to an agreement, and (c) any liability of such Person for the
obligations of another through any agreement to purchase, repurchase or
otherwise acquire such obligation or any property constituting security
therefor, to provide funds for the payment or discharge of such obligation or to
maintain the solvency, financial condition or any balance sheet item or level of
income of another. The amount of any Contingent Obligation shall be equal to the
amount of the obligation so guaranteed or otherwise supported or, if not a fixed
and determined amount, the maximum amount so guaranteed.

     "CONTRACTUAL OBLIGATIONS" shall mean as to any Person, any provision of any
security issued by such Person or of any agreement, undertaking, contract,
indenture, mortgage, deed of trust or other instrument or arrangement (whether
in writing or otherwise) to which such Person is a party or by which it or any
of such Person's property is bound.

     "DEFINED BENEFIT PLAN" shall mean a defined benefit plan within the meaning
of Section 3(35) of ERISA or Section 414(j) of the Code, whether funded or
unfunded, qualified or non-qualified (whether or not subject to ERISA or the
Code).

                                       7
<PAGE>   11

     "EARNINGS BEFORE INTEREST AND TAXES" shall mean the consolidated earnings
(or loss) from the operations of the Company and its Subsidiaries for any
period, after all expenses and other proper charges but before payment or
provision for any income taxes or interest expense for such period, determined
in accordance with GAAP, after eliminating therefrom (a) all non-cash items of
income (or loss), other than depreciation and amortization otherwise included in
consolidated earnings (or loss), and (b) without duplication, all non-recurring
items of income (or loss) resulting from the discontinuation of operations but
only to the extent that all assets characterized as belonging to or being
employed in such operations are also excluded from Consolidated Total Assets
pursuant to the definition thereof.

     "ENVIRONMENTAL LAWS" shall mean any applicable past, present or future
federal, state, territorial, provincial, foreign or local law, common law
doctrine, rule, order, decree, judgment, injunction, license, permit or
regulation relating to environmental matters, including those pertaining to land
use, air, soil, surface water, ground water (including the protection, cleanup,
removal, remediation or damage thereof), public or employee health or safety or
any other environmental matter, together with any other laws (federal, state,
territorial, provincial, foreign or local) relating to emissions, discharges,
releases or threatened releases of any pollutant or contaminant including,
without limitation, medical, chemical, biological, biohazardous or radioactive
waste and materials, into ambient air, land, surface water, groundwater,
personal property or structures, or otherwise relating to the manufacture,
processing, distribution, use, treatment, storage, disposal, transportation,
discharge or handling of any contaminant, including, without limitation, the
Comprehensive Environmental Response, Compensation, and Liability Act (42 U.S.C.
9601 ET SEQ.) ("CERCLA"), the Hazardous Material Transportation Act (49 U.S.C.
1801 ET SEQ.), the Resource Conservation and Recovery Act (42 U.S.C. 6901 ET
SEQ.) ("RCRA"), the Federal Water Pollution Control Act (33 U.S.C. 1251 ET
SEQ.), the Clean Air Act (42 U.S.C. 1251 ET SEQ.), the Toxic Substances Control
Act (15 U.S.C. 2601 ET SEQ.), and the Occupational Safety and Health Act (29
U.S.C. 651 ET SEQ.), as such laws have been, or are, amended, modified or
supplemented heretofore or from time to time hereafter and any analogous future
federal, or present or future state or local laws, statutes and regulations
promulgated thereunder.

     "ERISA" shall mean the Employee Retirement Income Security Act of 1974, as
amended and the rules and regulations promulgated thereunder.

     "ERISA AFFILIATE" shall mean a corporation that is or was a member of a
controlled group of corporations with the Company within the meaning of section
4001(a) or (b) of ERISA or section 414(b) of the Code, a trade or business
(including a sole proprietorship, partnership, trust, estate or corporation)
that is under common control with Company within the meaning of section 414(m)
of the Code, or a trade or business which together with Company is treated as a
single employer under section 414(o) of the Code.

     "EVENT OF DEFAULT" shall have the meaning assigned to that term in the
Notes.

     "EXCHANGE ACT" shall mean the Securities Exchange Act of 1934, as amended,
and the rules and regulations of the Commission thereunder.

                                       8
<PAGE>   12

     "EXERCISABLE SHARES" shall have the meaning assigned to that term in
Section 8.5 hereof.

     "FUNDED INDEBTEDNESS" shall mean at any time of determination, the
aggregate principal amount of all funded Indebtedness for borrowed money whether
classified as short term or long term (including, for the avoidance of doubt,
all amounts outstanding under the Senior Credit Agreement and all Subordinated
Debt of the Company and any of its Subsidiaries), PLUS all obligations,
contingent and otherwise, to reimburse the issuer in respect of any letter of
credit, performance bonds, bankers' acceptances, guarantees or other similar
instruments, PLUS Capital Lease Obligations, of the Company and its
Subsidiaries.

     "GAAP" shall mean generally accepted accounting principles in effect within
the United States, consistently applied.

     "GOVERNMENTAL AUTHORITY" shall mean the government of any nation, state,
city, locality or other political subdivision of any thereof, any entity
exercising executive, legislative, judicial, regulatory or administrative
functions of or pertaining to government, regulation or compliance, and any
corporation or other entity owned or controlled, through stock or capital
ownership or otherwise, by any of the foregoing.

     "HAZARDOUS MATERIALS" shall mean (i) any chemical pollutant, contaminant,
pesticide, petroleum or petroleum product or byproduct radioactive substance,
solid waste (hazardous or extremely hazardous), special, dangerous or toxic
waste, hazardous or toxic substance, chemical or material regulated, listed,
referred to, limited or prohibited under any Environmental Law, including
without limitation: (i) friable or damaged asbestos, asbestos-containing
material, polychlorinated biphenyls (PCBs), solvents and waste oil; (ii) any
"hazardous substance" as defined under CERCLA or any environmental law, statute,
regulation or rule; and (iii) any hazardous waste defined under RCRA or any
Environmental Law.

     "INDEBTEDNESS" shall mean as to any Person (a) all obligations of such
Person for borrowed money (including, without limitation, reimbursement and all
other obligations with respect to surety bonds, unfunded credit commitments,
letters of credit and bankers' acceptances, whether or not matured), (b) all
indebtedness, obligations or liability of such Person (whether or not evidenced
by notes, bonds, debentures or similar instruments) whether matured or
unmatured, liquidated or unliquidated, direct or indirect, absolute or
contingent, or joint or several, that should be classified as liabilities in
accordance with GAAP consistently applied, including, without limitation, any
items so classified on a balance sheet and any reimbursement obligations in
respect of letters of credit or obligations in respect of bankers acceptances,
(c) all obligations of such Person to pay the deferred purchase price of
property or services, except trade accounts payable and accrued commercial or
trade liabilities arising in the ordinary course of business, (d) all interest
rate and currency swaps, caps, collars and similar agreements or hedging devices
under which payments are obligated to be made by such Person, whether
periodically or upon the happening of a contingency, other than such agreements
or hedging device, required under the Senior Credit Agreement, as in effect on
the date hereof, (e) all indebtedness created or arising under any conditional
sale or other title retention agreement with respect to property acquired by
such Person (even though the rights and remedies of the seller or lender under
such agreement in the event of default are limited to repossession or sale of
such

                                       9
<PAGE>   13

property), (f) all obligations of such Person under leases which have been or
should be, in accordance with GAAP consistently applied, recorded as capital
leases, (g) all indebtedness secured by any Lien (other than Liens in favor of
lessors under leases other than leases included in clause (f) above) on any
property or asset owned or held by that Person regardless of whether the
indebtedness secured thereby shall have been assumed by that Person or is
non-recourse to the credit of that Person, and (h) any Contingent Obligation of
such Person. The determination of the amount of the Indebtedness at the relevant
time of determination with respect to the Company and its Subsidiaries shall be
made on a consolidated basis in accordance with GAAP consistently applied.

     "INTERCREDITOR AGREEMENT" shall mean the Subordinated Indebtedness
Intercreditor Agreement, dated as of the date hereof, among the Company and the
Purchasers.

     "INTEREST EXPENSE" shall mean, with respect to the Company and its
Subsidiaries on a consolidated basis for any period, the sum of (a) gross
interest expense of the Company and its Subsidiaries for such period determined
on a consolidated basis in accordance with GAAP consistently applied, including
(i) the amortization of debt discounts, (ii) the amortization of all fees
payable in connection with the incurrence of Indebtedness to the extent included
in interest expense, (iii) the portion of any payments or accruals with respect
to Capital Lease Obligations allocable to interest expense and (iv) all
commissions paid to factors during such period, and (b) any other capitalized
interest of the Company and its Subsidiaries for such period determined on a
consolidated basis in accordance with GAAP consistently applied.

     "INVESTMENT" shall mean (i) any direct or indirect purchase or other
acquisition by the Company or any of its Subsidiaries of any beneficial interest
in, including stock, partnership interest, membership interest or other equity
securities of, any other Person (other than a Person that prior to the relevant
purchase or acquisition was a Subsidiary Guarantor) or (ii) any direct or
indirect loan, advance or capital contribution by the Company or any of its
Subsidiaries to any other Person (other than a Subsidiary Guarantor), including
all Indebtedness and accounts receivable from that other Person that are not
current assets or did not arise from sales to that other Person in the ordinary
course of business. The amount of any Investment shall be the original cost of
such Investment plus the cost of all additions thereto, without any adjustments
for increases or decreases in value, or write-ups, write-downs or write-offs
with respect to such Investment.

     "LIEN" shall mean any mortgage, deed of trust, pledge, hypothecation,
assignment, encumbrance, lien (statutory or other), charge, claim, restriction
or preference, priority, right or other security interest or preferential
arrangement of any kind or nature whatsoever (excluding preferred stock and
equity related preferences) including, without limitation, those created by,
arising under or evidenced by any conditional sale or other title retention
agreement, the interest of a lessor under a Capital Lease Obligation, or any
financing lease having substantially the same economic effect as any of the
foregoing.

     "MULTIEMPLOYER PLAN" shall mean a multiemployer plan within the meaning of
Section 3(37) or 4001(a)(3) of ERISA or Section 414(f) of the Code.

                                       10
<PAGE>   14

     "NOTES" shall mean the senior subordinated promissory notes in the
aggregate principal amount of $75,000,000 referred to in the Whereas clause
hereof, which notes are substantially in the form attached hereto as EXHIBIT A
and shall include all payment-in-kind promissory notes issued by the Company as
contemplated therein.

     "OUTSTANDING NOTES" shall mean Notes not held by the Company or any of its
Affiliates.

     "OUTSTANDING BORROWINGS" shall mean all Indebtedness of the Company and its
Subsidiaries for money borrowed that is outstanding at the relevant time of
determination.

     "PERSON" shall mean any individual, firm, corporation, limited liability
company, partnership, trust, incorporated or unincorporated association, joint
venture, joint stock company, Governmental Authority or other entity of any
kind, and shall include any successor (by merger or otherwise) of such entity.

     "PLANS" shall have the meaning assigned to that term in Section 5.22 of
this Agreement.

     "PRO FORMA BALANCE SHEET" shall mean the pro forma consolidated balance
sheet of the Company and its Subsidiaries delivered pursuant to Section 3.1.

     "PURCHASERS" shall have the meaning set forth in the preamble of this
Agreement.

     "RCRA" has the meaning set forth in the definition of "Environmental Laws."

     "REGISTRATION RIGHTS AGREEMENT" shall mean the Registration Rights
Agreement substantially in the form attached hereto as EXHIBIT C.

     "REQUIREMENTS OF LAW" shall mean as to any Person, provisions of the
Certificate of Incorporation and By-laws or other organizational or governing
documents of such Person, or any law, treaty, code, rule, regulation, right,
privilege, qualification, license or franchise or determination of an arbitrator
or a court or other Governmental Authority, in each case applicable or binding
upon such Person or any of such Person's property or to which such Person or any
of such Person's property is subject or pertaining to any or all of the
transactions contemplated or referred to herein.

     "REQUISITE NOTEHOLDERS" shall have the meaning assigned to such term in
Section 11.4(c).

     "RESTRICTED PAYMENT" shall mean: (i) any dividend or other distribution,
direct or indirect, on account of any shares of any class of stock, limited
liability company interest, or partnership interest of the Company or any of its
Subsidiaries now or hereafter outstanding, except a dividend payable solely in
shares of that class of stock, limited liability company interest, or
partnership interest to the holders of that class; (ii) any redemption,
conversion, exchange, retirement, sinking fund or similar payment, purchase or
other acquisition for value, direct or indirect, of any shares of any class of
stock, limited liability company interest or partnership interest of the Company
or any of its Subsidiaries now or hereafter outstanding; (iii)

                                       11
<PAGE>   15

any payment or prepayment of interest on, principal of, premium, if any,
redemption, conversion, exchange, purchase, retirement, defeasance, sinking fund
or similar payment with respect to, any Indebtedness subordinated to the
Indebtedness existing pursuant to the Note and this Agreement; (iv) any payment
made to retire, or to obtain the surrender of, any outstanding warrants, options
or other rights to acquire shares of any class of stock, limited liability
company interest, or partnership interest of the Company or any of its
Subsidiaries now or hereafter outstanding; and (v) any payment under any
noncompete agreement.

     "SEC REPORTS" with respect to any Person shall mean all forms, reports,
statements and other documents (including exhibits, annexes, supplements and
amendments to such documents) required to be filed by it, or sent or made
available by it to its security holders, under the Exchange Act, the Securities
Act, any national securities exchange or quotation system or comparable
Governmental Authority since the date of such Person's initial public offering.

     "SECURITIES" shall mean, collectively, the Notes and the Warrants.

     "SECURITIES ACT" shall mean the Securities Act of 1933, as amended, or any
similar federal statute, and the rules and regulations thereunder as the same
shall be in effect at the time.

     "SENIOR CREDIT AGREEMENT" shall mean the Second Amended and Restated Credit
Agreement dated as of June 30, 1995, and amended and restated as of July 24,
1998 and further amended and restated as of August 31, 1999, among the Company,
TransTechnology Seeger-Orbis GmbH, TransTechnology (GB) Limited, the Agent
referred to herein, and the Lenders referred to therein.

     "SENIOR CREDIT DOCUMENTS" shall mean the Senior Credit Agreement and the
other instruments and documents referred to therein or executed in connection
therewith by the Company, any Guarantor or any other Subsidiary of the Company.

     "SENIOR FUNDED INDEBTEDNESS" shall mean at any time of determination, the
aggregate principal amount of all Funded Indebtedness (other than Subordinated
Debt).

     "SENIOR INDEBTEDNESS" shall mean all Indebtedness of the Company and its
Subsidiaries which is currently outstanding or incurred in the future pursuant
to the Senior Credit Agreement.

     "SOLVENT" shall mean, with respect to the Company and its Subsidiaries
considered as a whole, based on the Pro Forma Balance Sheet, that (i) the assets
and the property of the Company and its Subsidiaries, considered as a whole,
exceed the aggregate liabilities (including contingent and unliquidated
liabilities) of the Company and its Subsidiaries, considered as a whole, (ii)
after giving effect to the transactions contemplated by this Agreement and the
other Transaction Documents, the Company and its Subsidiaries, considered as a
whole, will not be left with unreasonably small capital, and (iii) after giving
effect to the transactions contemplated by this Agreement, the Company and its
Subsidiaries, considered as a whole, are able to both service and pay their
liabilities as they mature. In computing the amount of contingent or
unliquidated liabilities at any time, such liabilities will be computed as the
amount

                                       12
<PAGE>   16

that, in light of all the facts and circumstances existing at such time,
represents the amount that is likely to become an actual or matured liability.

     "SUBORDINATED DEBT" shall mean unsecured Indebtedness of the Company or any
of its Subsidiaries in an amount, containing other terms and conditions, and
expressly subordinated and made junior to the payment and performance in full of
the obligations under the Senior Credit Agreement, including, without
limitation, Indebtedness under the Notes.

     "SUBORDINATION AGREEMENT" shall mean the Intercreditor and Subordination
Agreement, dated the date hereof, among the Company, the Purchasers and Fleet
National Bank, as Administrative Agent.

     "SUBSIDIARY" shall mean, with respect to any Person, a corporation or other
entity of which more than 50% of the voting power of the voting equity
securities or equity interest is owned, directly or indirectly, by such Person.
Unless otherwise qualified, all references to a "Subsidiary" or to
"Subsidiaries" in this Agreement shall refer to a Subsidiary or Subsidiaries of
the Company.

     "SUBSIDIARY GUARANTOR" shall have the meaning assigned to that term in
Section 3.14.

     "SUBSIDIARY GUARANTY" shall have the meaning assigned to that term in
Section 3.14.

     "TAX" shall mean any federal, state, local or foreign income, gross
receipts, license, payroll, employment, excise, severance, stamp, occupation,
premium, windfall profits, environmental (including taxes under Code Sec. 59A),
customs duties, capital stock, franchise profits, withholding, social security
(or similar), unemployment, disability, real property, personal property, sales,
use, transfer, registration, value added, alternative or add-on-minimum,
estimated, or other tax of any kind whatsoever, including any interest, penalty,
or addition thereto, whether disputed or not.

     "TAX RETURN" shall mean any return, declaration, report, claim for refund,
or information return or statement relating to Taxes, including any schedule or
attachment thereto, and including any amendment thereof.

     "TRANSACTION DOCUMENTS" shall mean collectively, this Agreement, the Notes,
the Warrants, the Registration Rights Agreement, the Intercreditor Agreement,
the Subordination Agreement, and the Subsidiary Guaranty.

     "WARRANTS" shall mean the warrants referred to in the Whereas clause
hereof, which warrants are substantially in the form attached hereto as EXHIBIT
B.

     "WHITNEY" shall mean Whitney & Co.

     "WHOLLY OWNED SUBSIDIARY" shall mean any Subsidiary, all of the capital
stock or other voting equity interest of which is owned by the Company directly
and/or through other Wholly Owned Subsidiaries.

                                       13
<PAGE>   17

     "WHOLLY OWNED SUBSIDIARY GUARANTOR" shall mean any Subsidiary Guarantors,
all of the capital stock or other voting equity interest of which is owned by
the Company directly and/or through other Wholly Owned Subsidiary Guarantors.

     "WMF NOTE" shall mean the Note purchased pursuant to Section 2.1(a) hereof.

     "WMF PLEDGE" shall mean any pledge of the WMF Note, the WMF Warrant or the
shares of stock issued upon exercise of the WMF Warrant pursuant to the terms of
the partnership agreement or other agreement of WMF, pursuant to which WMF
issued any bonds, promissory notes or other evidence or undebtedness.

     1.2 ACCOUNTING TERMS: FINANCIAL STATEMENTS. All accounting terms used
herein and not expressly defined in this Agreement shall have the respective
meanings given to them in conformance with GAAP. Financial statements and other
information furnished after the date hereof pursuant to the Agreement or the
other Transaction Documents shall be prepared in accordance with GAAP as in
effect at the time of such preparation, PROVIDED, HOWEVER, that no "Accounting
Changes" (as defined below) shall be taken into account in determining
compliance with the financial covenants, standards or terms in this Agreement.
The Company shall prepare footnotes to each Compliance Certificate and the
financial statements required to be delivered hereunder that show the
differences between the basis for calculating financial covenant compliance (the
calculation of financial covenant compliance shall not be based upon nor reflect
such Accounting Changes) and the financial statements delivered (which shall
reflect such Accounting Changes). "ACCOUNTING CHANGES" means: (a) changes in
accounting principles required by GAAP and implemented by the Company; (b)
changes in accounting principles recommended by the Company's certified public
accountants and implemented by the Company; (c) changes in carrying value of the
Company's or any of its Subsidiaries' assets, liabilities or equity accounts
resulting from (i) the application of purchase accounting principles (A.P.B. 16
and/or 17 and EITF 88-16 and FASB 109) to the purchase and sale of the
Securities or the other transactions described in the Transaction Documents, or
(ii) as the result of any other adjustments that, in each case, were applicable
to, but not included in, the Pro Forma Balance Sheet. All such adjustments
resulting from expenditures made subsequent to the Closing Date (including, but
not limited to, capitalization of costs and expenses or payment of pre-Closing
Date liabilities) shall be treated as expenses in the period the expenditures
are made; and (d) changes in the calculation of the estimated life of the assets
of the Company's or of any of its Subsidiaries.

     1.3 KNOWLEDGE OF THE COMPANY. All references to the knowledge of the
Company or to facts known by the Company shall mean actual knowledge or notice
of the Chairman, Chief Executive Officer, President, Chief Financial Officer,
Treasurer or other executive officer of the Company, including, without
limitation, Robert White, Robert Tunno, Gerald Harvey, and their respective
successors, or knowledge which such Person could reasonably have acquired
through the exercise of due inquiry.

                                       14
<PAGE>   18

                                   ARTICLE 2

                       PURCHASE AND SALE OF THE SECURITIES
                       -----------------------------------

     2.1  PURCHASE AND SALE OF THE NOTES.

          (a) Subject to the terms and conditions herein set forth, the Company
agrees that they will issue and sell to WMF, and WMF agrees that it will acquire
from the Company on the Closing Date, (i) a Note in the principal amount of
$30,000,000, for a purchase price of $29,914,479.50, and (ii) a Warrant to
purchase 171,041 shares of Common Stock, for a purchase price of $85,520.50.

          (b) Subject to the terms and conditions herein set forth, the Company
agrees that they will issue and sell to Albion I, and Albion I agrees that it
will acquire from the Company on the Closing Date, (i) a Note in the principal
amount of $4,000,000, for a purchase price of $3,988,597.50, and (ii) a Warrant
to purchase 22,805 shares of Common Stock, for a purchase price of $11,402.50.

          (c) Subject to the terms and conditions herein set forth, the Company
agrees that they will issue and sell to Albion II, and Albion II agrees that it
will acquire from the Company on the Closing Date, (i) a Note in the principal
amount of $8,500,000, for a purchase price of $8,475,769.00, and (ii) a Warrant
to purchase 48,462 shares of Common Stock, for a purchase price of $24,231.00.

          (d) Subject to the terms and conditions herein set forth, the Company
agrees that they will issue and sell to Equitable, and Equitable agrees that it
will acquire from the Company on the Closing Date, (i) a Note in the principal
amount of $12,500,000, for a purchase price of $12,464,366.50, and (ii) a
Warrant to purchase 71,267 shares of Common Stock, for a purchase price of
$35,633.50.

          (e) Subject to the terms and conditions herein set forth, the Company
agrees that they will issue and sell to Fleet, and Fleet agrees that it will
acquire from the Company on the Closing Date, (i) a Note in the principal amount
of $12,500,000, for a purchase price of $12,464,366.50, and (ii) a Warrant to
purchase 71,267 shares of Common Stock, for a purchase price of $35,633.50.

          (f) Subject to the terms and conditions herein set forth, the Company
agrees that they will issue and sell to Citizens, and Citizens agrees that it
will acquire from the Company on the Closing Date, (i) a Note in the principal
amount of $7,500,000, for a purchase price of $7,478,620, and (ii) a Warrant to
purchase 42,760 shares of Common Stock, for a purchase price of $21,380.00.

          (g) The Notes shall be substantially in the form attached hereto as
EXHIBIT A, appropriately completed in conformity herewith, and the Warrants
shall be substantially in the form attached hereto as EXHIBIT B, appropriately
completed in conformity herewith.

                                       15
<PAGE>   19

     2.2  FEES AT CLOSING [INTENTIONALLY OMITTED].

     2.3  CLOSING. The purchase and issuance of the Securities shall take place
at the closing (the "CLOSING") to be held at the offices of Morrison Cohen
Singer & Weinstein, LLP, 750 Lexington Avenue, New York, New York 10022, at
10:00 a.m., Local Time, on August 29, 2000 (the "CLOSING DATE"). At the
Closing, the Company shall deliver the Notes, and the Warrants to the
Purchasers, in each case against delivery by the Purchasers of the purchase
prices therefor. In each case, payment of such purchase prices shall be by wire
transfer.

     2.4  FINANCIAL ACCOUNTING POSITIONS; TAX REPORTING. Each of the parties
hereto agrees to take reporting and other positions with respect to the
Securities which are consistent with the purchase price of the Securities set
forth herein for all financial accounting purposes, unless otherwise required by
applicable GAAP or Commission rules (in which case the parties shall take
positions as so required by applicable GAAP or Commission rules). Each of the
parties to this Agreement agrees to take reporting and other positions with
respect to the Securities which are consistent with the purchase price of the
Securities set forth herein for all other purposes, including without
limitation, for all federal, state and local tax purposes.

                                   ARTICLE 3

                          CONDITIONS TO THE RESPECTIVE
                          OBLIGATIONS OF THE PURCHASERS
                           TO PURCHASE THE SECURITIES
                          -----------------------------

     The obligation of the Purchasers to purchase the Notes and the Warrants, to
pay the purchase prices therefor at the Closing and to perform any obligations
hereunder shall be subject to the satisfaction as determined by, or waived by,
the Purchasers of the following conditions on or before the Closing Date;
PROVIDED, HOWEVER, that any waiver of a condition shall not be deemed a waiver
of any breach of any representation, warranty, agreement, term or covenant or of
any misrepresentation by the Company, except to the extent expressly so waived.
No Purchasers shall be obligated to purchase any securities to be purchased by
it pursuant to this Agreement unless the purchase and sale of all other
securities occurs simultaneously.

     3.1  REPRESENTATIONS AND WARRANTIES. The representations and warranties of
the Company contained in Article 5 hereof shall be true and correct at and as of
the date hereof and the Closing Date as if made at and as of such date, and the
Purchasers shall have received at the Closing a certificate to the foregoing
effect, dated the Closing Date, and executed by the Chief Executive Officer,
President or a Vice President of the Company.

     3.2  COMPLIANCE WITH THIS AGREEMENT. The Company and each of its
Subsidiaries shall have performed and complied with all of its agreements and
conditions set forth or contemplated herein that are required to be performed or
complied with by the Company or such subsidiary on or before the Closing Date,
and the Purchasers shall have received at the Closing a certificate to the
foregoing effect, dated the Closing Date, and executed by the Chief Executive
Officer, President or a Vice President of the Company.

                                       16
<PAGE>   20

     3.3  SECRETARY'S CERTIFICATES. The Purchasers shall have received
certificates from the Company and each Subsidiary Guarantor, dated the Closing
Date and signed by the Secretary or an Assistant Secretary of the Company or
Subsidiary Guarantor, certifying (a) that the attached copies of the Certificate
of Incorporation and By-laws of the Company or Subsidiary Guarantor, and
resolutions of the Board of Directors of the Company or Subsidiary Guarantor
approving the Transaction Documents to which it is a party and the transactions
contemplated hereby and thereby are all true, complete and correct and remain
unamended and in full force and effect, and (b) the incumbency and specimen
signature of each officer of the Company or Subsidiary Guarantor executing any
Transaction Document to which it is a party or any other document delivered in
connection herewith and therewith on behalf of the Company or Subsidiary
Guarantor.

     3.4  DOCUMENTS. The Purchasers shall have received true, complete and
correct copies of (i) the SEC Reports of the Company and (ii) such agreements,
schedules, exhibits, certificates, documents, financial information and filings
as they may request in connection with or relating to the transactions
contemplated hereby, all in form and substance satisfactory to the Purchasers.

     3.5  PURCHASE OF SECURITIES PERMITTED BY APPLICABLE LAWS. The acquisition
of and payment for the Securities to be acquired by the Purchasers hereunder and
the consummation of the transactions contemplated hereby and by the Transaction
Documents (a) shall not be prohibited by any Requirement of Law, (b) shall not
subject the Purchasers to any penalty under or pursuant to any Requirement of
Law, and (c) shall be permitted by all Requirements of Law to which any
Purchaser or the transactions contemplated by or referred to herein or in the
Transaction Documents are subject; and the Purchasers shall have received such
certificates or other evidence as they may reasonably request to establish
compliance with this condition.

     3.6  OPINION OF COUNSEL. The Purchasers shall have received an opinion of
outside counsel to the Company and its Subsidiaries, dated as of the Closing
Date, relating to the transactions contemplated by or referred to herein, in
form and substance acceptable to the Purchasers.

     3.7  APPROVAL OF COUNSEL TO THE PURCHASERS. All actions and proceedings
hereunder and all agreements, schedules, exhibits, certificates, financial
information, filings and other documents required to be delivered by the Company
and each of its Subsidiaries hereunder or in connection with the consummation of
the transactions contemplated hereby, and all other related matters, shall have
been in form and substance acceptable to Morrison Cohen Singer & Weinstein, LLP,
counsel to the Purchasers, in its reasonable judgment (including, without
limitation, the opinion of counsel referred to in Section 3.6 hereof).

     3.8  CONSENTS AND APPROVALS. All consents, exemptions, authorizations, or
other actions by, or notices to, or filings with, Governmental Authorities and
other Persons in respect of all Requirements of Law and with respect to those
Contractual Obligations of the Company and each of its Subsidiaries necessary,
desirable, or required in connection with the execution, delivery or performance
(including, without limitation, the payment of interest on the Notes and the
issuance of Common Stock upon the exercise of the Warrants) by the Company

                                       17
<PAGE>   21

and its Subsidiaries or the enforcement against the Company of the Transaction
Documents to which it is a party shall have been obtained and be in full force
and effect, and the Purchasers shall have been furnished with appropriate
evidence thereof, and all waiting periods shall have lapsed without extension or
the imposition of any conditions or restrictions.

     3.9  REGISTRATION RIGHTS AGREEMENT. The Company shall have duly executed
and delivered the Registration Rights Agreement.

     3.10  NO MATERIAL JUDGMENT OR ORDER. There shall not be on the Closing Date
any judgment or order of a court of competent jurisdiction or any ruling of any
Governmental Authority or any condition imposed under any Requirement of Law
which, in the reasonable judgment of the Purchasers, would prohibit the purchase
of the Securities hereunder or subject the Purchasers to any penalty or other
onerous condition under or pursuant to any Requirement of Law if the Securities
were to be purchased hereunder.

     3.11  PRO FORMA BALANCE SHEET. The Company shall have delivered to the
Purchasers as of July 30, 2000 a pro forma consolidated balance sheet of the
Company and its Subsidiaries, certified by the chief financial officer of the
Company that it presents fairly the pro forma adjustments reflecting the
consummation of the transactions contemplated by the Transaction Documents,
including all material fees and expenses in connection therewith.

     3.12  GOOD STANDING CERTIFICATES. The Company shall have delivered to the
Purchasers good standing certificates for the Company and each of its
Subsidiaries for each of their respective jurisdictions of incorporation and all
other jurisdictions where they do business, dated as of no more than thirty (30)
days before the Closing.

     3.13  NO LITIGATION. No action, suit or proceeding before any court or any
Governmental Authority shall have been commenced or threatened, no investigation
by any Governmental Authority shall have been commenced and no action, suit or
proceeding by any Governmental Authority shall have been threatened against any
Purchaser, the Company or Subsidiary (i) seeking to restrain, prevent or change
the transactions contemplated hereby or questioning the validity or legality of
any of such transactions, or (ii) which would, if resolved adversely to such
Purchaser, Company or Subsidiary, severally or in the aggregate, materially and
adversely affect the Condition of the Company.

     3.14  GUARANTIES. Purchasers shall have received a guaranty (a "SUBSIDIARY
GUARANTY") duly executed and delivered by each Subsidiary of the Company
organized under the laws of any state or the District of Columbia of the United
States of America, Canada or Puerto Rico, as identified on SCHEDULE 5.17 (each,
a "SUBSIDIARY GUARANTOR").

     3.15  BRIDGE FINANCING. Contemporaneously with the Closing, (i) the Bridge
Notes and all other obligations under the Senior Subordinated Note Purchase
Agreement dated as of August 31, 1999, among the Company and the Lenders and
Holders referred to therein, and Fleet National Bank (formerly known as
BankBoston, N.A.) as Administrative Agent, shall be satisfied in full and
canceled (the "BRIDGE REPAYMENT"), (ii) all conditions for the release of all
Warrants issued under the Warrant Agreement dated as of August 31, 1999, by and
between the Company and State Street Bank and Trust Company to the Company for
cancellation have been

                                       18
<PAGE>   22

met (the "RELEASE") and (iii) the Purchasers shall receive evidence, to their
reasonable satisfaction, of the Bridge Repayment and the Release.

     3.16  SUBORDINATION AGREEMENT. Purchaser shall have received the
Subordination Agreement duly executed and delivered by Fleet National Bank, as
Administrative Agent, and the Company.

                                   ARTICLE 4

                          CONDITIONS TO THE OBLIGATIONS
                 OF THE COMPANY TO ISSUE AND SELL THE SECURITIES
                 -----------------------------------------------

     The obligations of the Company to issue and sell the Securities and to
perform its other obligations hereunder relating thereto shall be subject to the
satisfaction as determined by, or waived by, the Company of the following
conditions on or before the Closing Date:

     4.1  REPRESENTATIONS AND WARRANTIES. The representations and warranties of
the Purchasers contained in Article 6 hereof shall be true and correct at and as
of the date hereof and the Closing Date as if made at and as of such date.

     4.2  COMPLIANCE WITH THIS AGREEMENT. The Purchasers shall have performed
and complied with all of their respective agreements and conditions set forth or
contemplated herein that are required to be performed or complied with by the
Purchasers on or before the Closing Date.

     4.3  SUBORDINATION AGREEMENT. The Company shall have received the
Subordination Agreement duly executed and delivered by Fleet National Bank, as
Administrative Agent, and the Purchasers.

                                   ARTICLE 5

                  REPRESENTATIONS AND WARRANTIES OF THE COMPANY
                  ---------------------------------------------

     The Company hereby represents and warrants to the Purchasers as follows:

     5.1  CORPORATE EXISTENCE AND POWER. The Company and each of its
Subsidiaries: (a) is a corporation or limited liability company duly organized,
validly existing and in good standing under the laws of the jurisdiction of its
incorporation or organization; (b) has all requisite corporate or limited
liability company power and authority to own and operate its property, to lease
the property it operates as lessee and to conduct the business in which it is
currently, or is currently proposed to be, engaged; (c) is, duly qualified as a
foreign entity, licensed and in good standing under the laws of each
jurisdiction where its ownership, lease or operation of property or the conduct
of its business requires such qualification, except to the extent that the
failure to so qualify would not have a material adverse effect on the Condition
of the Company; and (d) has the corporate or limited liability company power and
authority to execute, deliver and perform its obligations under each Transaction
Document to which it is or

                                       19
<PAGE>   23

will be a party and to borrow hereunder, SCHEDULE 5.1 contains a true, complete
and correct list of the Company and each Subsidiary and each jurisdiction where
its ownership, lease or operation of property or the conduct of its business
would require it to be qualified to do business as a foreign entity.

     5.2  CORPORATE AUTHORIZATION; NO CONTRAVENTION. The execution, delivery and
performance by the Company of this Agreement and each other Transaction Document
to which such it is or will be a party and the consummation of the transactions
contemplated hereby and thereby, including, without limitation, the issuance of
the Securities: (a) have been duly authorized by all necessary corporate or
limited liability company, and if required, stockholder or member action; (b) do
not and will not contravene the terms of the Certificate of Incorporation,
By-Laws or other organizational document of the Company or any Subsidiary, or
any amendment thereof or any Requirement of Law applicable to such Person or
such Person's assets, business or properties; (c) do not and will not (i)
conflict with, contravene, result in any violation or breach of or default under
(with or without the giving of notice or the lapse of time or both), (ii) create
in any other Person a right or claim of termination or amendment, or (iii)
require modification, acceleration or cancellation of any Contractual Obligation
of the Company or any of its Subsidiaries; and (d) do not and will not result in
the creation of any Lien (or obligation to create a Lien) against any property,
asset or business of the Company or any of its Subsidiaries.

     5.3  GOVERNMENTAL AUTHORIZATION; THIRD PARTY CONSENTS. Except as set forth
on SCHEDULE 5.3, no approval, consent, compliance, exemption, authorization, or
other action by, or notice to, or filing with, any Governmental Authority or any
other Person in respect of any Requirement of Law or Contractual Obligation, and
no lapse of a waiting period under a Requirement of Law or Contractual
Obligation, is necessary or required in connection with the execution, delivery
or performance by (including, without limitation, the payment of interest on the
Notes and the issuance of shares of capital stock upon the exercise of the
Warrants), or enforcement against, the Company or any of its Subsidiaries of the
Transaction Documents to which it is a party or the consummation of the
transactions contemplated hereby or thereby.

     5.4  BINDING EFFECT. This Agreement has been, and each of the Transaction
Documents to which the Company and each of its Subsidiaries will be a party to
will be, duly executed and delivered by the Company or such Subsidiary, and this
Agreement constitutes, and such Transaction Documents will constitute, the
legal, valid and binding obligation of the Company or such Subsidiary
enforceable against the Company or such Subsidiary in accordance with their
respective terms, except as enforceability may be limited by applicable
bankruptcy, insolvency or other similar laws affecting the enforcement of
creditors' rights generally and by general principles of equity relating to
enforceability.

     5.5  NO LEGAL BAR. Neither the Company nor any of its Subsidiaries has
previously entered into any agreement which is currently in effect or to which
the Company or any of its Subsidiaries is currently bound, granting any rights
to any Person which are inconsistent with the rights to be granted by the
Company in the Transaction Documents.

                                       20
<PAGE>   24

     5.6  COMPLIANCE WITH LAWS. The Company and each of its Subsidiaries are in
compliance with all Requirements of Law, except when the failure to so comply
would not, either singly or in the aggregate, materially adversely affect the
Condition of the Company.

     5.7  NO DEFAULT OR BREACH. No event has occurred and is continuing or would
result from the incurring of obligations by the Company and its Subsidiaries
under the Transaction Documents which constitutes or, with the giving of notice
or lapse of time or both, would constitute an Event of Default. Neither the
Company nor any of its Subsidiaries is in default under or with respect to any
Contractual Obligation in any material respect.

     5.8  TITLE TO PROPERTIES.

          (a) The Company and/or its Subsidiaries have good, indefeasible and
marketable title in and to all real property and good title to all other
properties reflected on the Pro Forma Balance Sheet or used in connection with
their respective businesses, in each case, free and clear of all Liens,
liabilities and rights except as provided on SCHEDULE 5.8.

          (b) The Company and/or its Subsidiaries hold all of the right, title
and interest of the tenant under the leases reflected on the Pro Forma Balance
Sheet or used in connection with their respective businesses free and clear of
all Liens, liabilities and rights except as provided on SCHEDULE 5.8.

     5.9  USE OF REAL PROPERTY. Except as set forth on SCHEDULE 5.9, the owned
and leased real properties reflected on the Pro Forma Balance Sheet or used in
connection with the respective businesses of the Company and its Subsidiaries,
are used and operated in compliance and conformity with all Contractual
Obligations and Requirements of Law, except to the extent that the failure so to
comply would not, in the aggregate, materially adversely affect the Condition of
the Company; neither the Company nor any of its Subsidiaries has received notice
of violation of any applicable zoning or building regulation, ordinance or other
law, order, regulation or other Requirements of Law relating to the operations
of either the Company or any of its Subsidiaries; and there is no such violation
which, individually or in the aggregate, will have a material adverse effect on
the Condition of the Company. Except as set forth on SCHEDULE 5.9, all
structures, improvements and other buildings that are owned or covered by leases
reflected on the Pro Forma Balance Sheet or used in connection with the business
of the Company and its Subsidiaries, are in material compliance with all
applicable ordinances, codes, regulations and other Requirements of Law, have,
where required a valid and subsisting certificate of occupancy for their present
use, and neither the Company nor any Subsidiary thereof has received any written
notice from any Governmental Authority which is still outstanding of any failure
to obtain any certificate, permit, license or approval with respect to the real
property, or any intended revocation, modification or cancellation of same, and
no law or regulation presently in effect or condition precludes or materially
restricts continuation of the present use of such properties. Each lease
relating to leased real property reflected on the Pro Forma Balance Sheet or
used in connection with the business of the Company or any of its Subsidiaries
is in full force and effect and the Company enjoys peaceful and undisturbed
possession thereunder. The Company has not received a notice of default and, to
the knowledge of the Company, there is no default on the part of the Company or
any of its Subsidiaries or event or condition which (with notice or lapse of
time, or both) would constitute a default on the

                                       21
<PAGE>   25

part of the Company or any of its Subsidiaries under any such lease. There are
no service contracts, maintenance contracts, union contracts, concession
agreements, licenses, agency agreements or any other Contractual Obligations
affecting the real property or the leased property reflected on the Pro Forma
Balance Sheet or used in connection with the business of the Company and its
Subsidiaries, or the operation thereof, other than those listed on SCHEDULE 5.9,
except for Contractual Obligations which are cancelable on no more than thirty
(30) days' notice. There are no pending or, to the knowledge of the Company,
threatened condemnation or eminent domain proceedings that would affect any part
of the real property or the leased property reflected on the Pro Forma Balance
Sheet or used in connection with the business of the Company and its
Subsidiaries. There are no actions, suits or proceedings pending or, to the
knowledge of the Company, threatened against the real property or the leased
property on the Pro Forma Balance Sheet or used in connection with the business
of the Company and its Subsidiaries, at law or in equity, before any federal,
state, municipal or governmental department, commission, board, bureau, agency
or instrumentality which would in any way affect title to such real property or
the leased property.

     5.10  TAXES

           (a) Each of the Company and its Subsidiaries has filed all Tax
Returns that it was required to file. All such Tax Returns were correct and
complete in all material respects. Other than taxes due and owing in an
immaterial amount, all Taxes owed by the Company or any of its Subsidiaries
(whether or not shown on any Tax Return) have been paid or will be paid in the
ordinary course of business. Except as set forth in SCHEDULE 5.10, neither the
Company nor any of its Subsidiaries currently is the beneficiary of any
extension of time within which to file any Tax Return. Except as set forth on
SCHEDULE 5.10, since March 31, 1997 no claim has been made by a Governmental
Authority in a jurisdiction where the Company or any of its Subsidiaries does
not file Tax Returns that the Company or any of its Subsidiaries is or may be
subject to taxation by that jurisdiction. There are no Liens on any of the
assets of the Company or any of its Subsidiaries that arose in connection with
any failure (or alleged failure) to pay any Tax.

           (b) Except as set forth on SCHEDULE 5.10, each of the Company and its
Subsidiaries has withheld and paid, or will pay in the ordinary course of
business, all Taxes that are material in amount required to have been withheld
and paid in connection with amounts paid or owing to any employee, independent
contractors, creditor, stockholder, or other third party.

           (c) Except as set forth on SCHEDULE 5.10, neither the Company nor any
of its Subsidiaries expects any Governmental Authority to assess any additional
Taxes that are material in amount for any period for which Tax Returns have been
filed. There is no dispute or claim concerning any Tax liability of the Company
or any of its Subsidiaries either (i) claimed or raised by any Governmental
Authority in writing or (ii) as to which the Company has knowledge based upon
personal contact with any agent of such authority.

           (d) Except as set forth on SCHEDULE 5.10, neither the Company nor any
of its Subsidiaries has waived any statute of limitations in respect of Taxes or
agreed to any extension of time with respect to a Tax assessment or deficiency.

                                       22
<PAGE>   26

           (e) Neither the Company nor any of its Subsidiaries has any liability
for the Taxes of any person or entity other than the Company and its
Subsidiaries (i) under Reg. Section 1.1502-6 (or any similar provision of state,
local or foreign law), (ii) as a transferee or successor, (iii) by contract, or
(iv) otherwise.

     5.11  SEC REPORTS; FINANCIAL CONDITION.

           (a) The Company has filed all SEC Reports and has made available to
the Purchasers each SEC Report. The SEC Reports of the Company, including,
without limitation, any financial statements or schedules included or
incorporated therein by reference, (i) comply in all material respects with the
requirements of the Exchange Act or the Securities Act or both, as the case may
be, applicable to those SEC Reports and (ii) did not at the time they were filed
contain any untrue statement of a material fact or omit to state a material fact
required to be stated or necessary in order to make the statements made in those
SEC Reports, in light of the circumstances under which they were made, not
misleading. No Subsidiary of the Company is subject to the periodic reporting
requirements of the Exchange Act or is otherwise required to file any documents
with the Commission or any national securities exchange or quotation service or
comparable Governmental Authority.

           (b) Each of the consolidated balance sheets of the Company and its
Subsidiaries and the related consolidated statements of income, stockholders'
equity and cash flow, together with the notes thereto, which are included in or
incorporated by reference into the SEC Reports of the Company fairly present, in
all material respects, the financial position of the Company and each of its
Subsidiaries as of the respective dates thereof, and the results of operations
and cash flows of the Company and each of its Subsidiaries as of the respective
dates or for the respective periods set forth therein, all in conformity with
GAAP consistently applied during the periods involved, except as otherwise set
forth in the notes thereto and subject, in the case of unaudited quarterly
financial statements, to normal year-end audit adjustments. As of the dates of
the financial statements which are included in or incorporated by reference into
the SEC Reports, the Company had no obligation, indebtedness or liability
(whether accrued, absolute, contingent or otherwise, known or unknown, and
whether due or to become due), which was not reflected or reserved against in
the balance sheets or the notes thereto which are part of the financial
statements, except for those incurred in the ordinary course of business and
which are fully reflected on the Company's books of account and which,
individually or in the aggregate, would not materially and adversely affect the
Condition of the Company.

           (c) The Pro Forma Balance Sheet delivered to the Purchasers sets
forth the assets and liabilities of the Company and each of its Subsidiaries on
a pro forma consolidated basis after taking into account the consummation of the
transactions contemplated in this Agreement as of July 30, 2000. The Pro Forma
Balance Sheet has been prepared by the Company in accordance with GAAP,
consistently applied, and fairly presents in all material respects the assets
and liabilities of the Company and its Subsidiaries on a consolidated basis,
reflecting the consummation of the transactions contemplated in this Agreement
and based on the assumptions set forth therein as of the Closing Date.

                                       23
<PAGE>   27

           (d) The projections of the Company and its Subsidiaries on a
consolidated basis heretofore delivered to the Purchasers (i) were prepared by
the Company in the ordinary course of its operations consistent with past
practice, (ii) are the most current projections prepared by the Company relating
to the periods covered thereby, and (iii) are based on assumptions which were
reasonable when made and such assumptions and projections are reasonable on the
date hereof except for the changes in the principal amount of the Notes. Neither
the Company nor any of its Subsidiaries has delivered to any Person any later
dated projections.

     5.12  ERISA -- PROHIBITED TRANSACTIONS. The execution and delivery of the
Transaction Documents, the purchase and sale of the Securities hereunder and the
consummation of the transactions contemplated hereby and thereby will not result
in any prohibited transaction within the meaning of Section 406 of ERISA or
Section 4975 of the Code.

     5.13  DISCLOSURE.

           (a) AGREEMENT AND OTHER DOCUMENTS. This Agreement, together with all
exhibits and schedules hereto, and the agreements, certificates and other
documents furnished to the Purchasers by the Company and its Subsidiaries at the
Closing, do not contain any untrue statement of a material fact or omit to state
a material fact necessary in order to make the statements contained herein or
therein, in the light of the circumstances under which they were made, not
misleading.

           (b) MATERIAL ADVERSE EFFECTS. There is no fact known to the Company,
which the Company has not disclosed to the Purchasers in writing which
materially adversely affects or, insofar as the Company can reasonably foresee,
could materially adversely affect, the Condition of the Company or the ability
of the Company or any of its Subsidiaries to perform its obligations under the
Transaction Documents, or any agreement or other document contemplated thereby
to which it is a party.

     5.14  ABSENCE OF CERTAIN CHANGES OR EVENTS. Since March 31, 2000, except as
set forth on SCHEDULE 5.14, neither the Company nor any of its Subsidiaries has
(i) issued any stock, bonds or other corporate securities, (ii) borrowed any
amount or incurred any liabilities (absolute or contingent), other than in the
ordinary course of business, in excess of $200,000, (iii) discharged or
satisfied any Lien or incurred or paid any obligation or liability (absolute or
contingent), other than in the ordinary course of business, in excess of
$200,000, (iv) declared or made any payment or distribution to stockholders or
purchased or redeemed any shares of its capital stock or other securities,
except for the payment of regular quarterly common stock dividends, (v)
mortgaged, pledged or subjected to Lien any of its assets, tangible or
intangible, (vi) sold, assigned or transferred any of its tangible assets other
than in the ordinary course of business, or canceled any debts or claims, (vii)
sold, assigned or transferred any patents, trademarks, trade names, copyrights,
trade secrets or other intangible assets, (viii) suffered any material losses of
property, or waived any rights of substantial value, (ix) suffered any material
adverse change in the Condition of the Company, (x) expended any material
amount, granted any extraordinary bonuses or salary increases, (xi) entered into
any transaction involving consideration in excess of $200,000 other than
purchase orders consistent with the Company's business practices in the ordinary
course of business, except as otherwise contemplated hereby or

                                       24
<PAGE>   28

(xii) entered into any agreement or transaction, or amended or terminated any
agreement, with an Affiliate. To the knowledge of the Company, no material
adverse change in the Condition of the Company is threatened or reasonably
likely to occur.

     5.15  ENVIRONMENTAL MATTERS. Except as described on SCHEDULE 5.15:

           (a) The property, assets and operations of the Company and its
Subsidiaries are and have been in compliance, in all material respects, with all
applicable Environmental Laws; there are no Hazardous Materials stored or
otherwise located in, on or under any of the property or assets of the Company
or its Subsidiaries, including, without limitation, the groundwater, except in
compliance with applicable Environmental Laws; and there have been no releases
or threatened releases of Hazardous Materials in, on or under any property
adjoining any of the property or assets of the Company or its Subsidiaries which
have not been remediated to the satisfaction of the appropriate Governmental
Authorities and in compliance with Environmental Laws as currently in effect.

           (b) None of the property, assets or operations of the Company or its
Subsidiaries is the subject of any federal, state or local investigation
evaluating whether (i) any remedial action is needed to respond to a release or
threatened release of any Hazardous Materials into the environment or (ii) any
release or threatened release of any Hazardous Materials into the environment is
in contravention of any Environmental Law.

           (c) Neither the Company nor any of its Subsidiaries has received any
notice or claim, nor are there pending, nor, to the Knowledge of the Company,
threatened, lawsuits or proceedings against any of them, with respect to
violations of an Environmental Law or in connection with the presence of or
exposure to any Hazardous Materials in the environment or any release or
threatened release of any Hazardous Materials into the environment, and neither
the Company nor its Subsidiaries is or was the owner or operator of any property
which (i) pursuant to any Environmental Law has been placed on any list of
Hazardous Materials disposal sites, including, without limitation, the "National
Priorities List" or "CERCLIS List," (ii) has, or had, any subsurface storage
tanks located thereon, or (iii) has ever been used as or for a waste disposal
facility, a mine, a gasoline service station or, other than for petroleum
substances stored in the ordinary course of business, a petroleum products
storage facility.

           (d) Neither the Company nor any of its Subsidiaries has any present
or contingent liability in connection with the presence either on or off the
property or assets of the Company or its Subsidiaries of any Hazardous Materials
in the environment or any release or threatened release of any Hazardous
Materials into the environment.

     5.16  INVESTMENT COMPANY/GOVERNMENT REGULATIONS. The Company is not an
"investment company" within the meaning of the Investment Company Act of 1940,
as amended. Neither the Company nor its Subsidiaries is subject to regulation
under the Public Utility Holding Company Act of 1935, as amended, the Federal
Power Act, the Interstate Commerce Act, or any federal or state statute or
regulation limiting its ability to incur Indebtedness.

     5.17  SUBSIDIARIES.

                                       25
<PAGE>   29

           (a) SCHEDULE 5.17 sets forth a complete and accurate list of all of
the Subsidiaries of the Company together with their respective jurisdictions of
incorporation or organization. All of the outstanding shares of capital stock
of, or other equity interests in, the Subsidiaries are validly issued, fully
paid and nonassessable. Except as set forth on SCHEDULE 5.17, as of the Closing
Date, all of the outstanding shares of capital stock of, or other ownership
interests in, each of the Subsidiaries are owned by the Company or by a Wholly
Owned Subsidiary, free and clear of any Liens. No Subsidiary has outstanding
options, warrants, subscriptions, calls, rights, convertible securities or other
agreements or commitments obligating the Subsidiary to issue, transfer or sell
any securities of the Subsidiary.

           (b) Except for the Subsidiaries of the Company, the Company does not
own of record or beneficially, directly or indirectly, (i) any shares of
outstanding capital stock or securities convertible into capital stock of any
other corporation, and (ii) any equity, voting or participating interest in any
limited liability company, partnership, joint venture or other non-corporate
business enterprises.

     5.18  CAPITALIZATION.

           (a) As of the Closing Date, the authorized capital stock of the
Company consists of 14,700,000 shares of Common Stock, of which 6,150,884 shares
are issued and outstanding, and 300,000 shares of Preferred Stock, of which no
shares are issued and outstanding. The Company has 546,628 shares of capital
stock held in treasury. As of the Closing Date, after giving effect to the
transactions contemplated by the Transaction Documents, there will be (i)
6,150,884 shares of Common Stock issued and outstanding, (ii) no shares of
Preferred Stock issued and outstanding, (iii) a maximum of 427,602 shares of
Common Stock reserved by appropriate corporate action for issuance upon exercise
of the Warrants, (iv) a maximum of 800,000 shares of Common Stock reserved by
appropriate corporate action for issuance upon the exercise of stock options
issuable in accordance with the terms of the Company's amended and Restated 1992
Long-Term Incentive Plan (the "1992 PLAN OPTIONS"), (v) a maximum of 150,000
shares of Common Stock reserved by appropriate corporate action for issuance
upon the exercise of the stock options issuable in accordance with the terms of
the Company's 1998 Non-Employee Directors Stock Option Plan (the "1998 PLAN
OPTIONS"), (vi) a maximum of 300,000 shares of Common Stock reserved by
appropriate corporate action for issuance upon the exercise of the stock options
issuable in accordance with the terms of the Company's 1999 Long-Term Incentive
Plan (the "1999 PLAN OPTIONS"). All outstanding shares of capital stock of the
Company are, and the shares of Common Stock issuable upon exercise of the
Warrants, the 1992 Options, the 1998 Options and the 1999 Options when issued
will be, duly authorized, validly issued, fully paid and nonassessable and shall
be free and clear of all Liens and the issuance of foregoing has not been or
will not be, as the case may be, subject to preemptive rights in favor of any
Person and will not result in the issuance of any additional shares of capital
stock of the Company or the triggering of any anti-dilution or similar rights
contained in any options, warrants, debentures or other securities or agreements
of the Company. SCHEDULE 5.18 provides an accurate list as of the Closing Date,
after giving effect to the transactions contemplated hereby and the other
Transaction Documents of all of the holders of warrants, options, rights and
securities convertible into capital stock, together with the number of shares of
capital stock to be issued upon the exercise or conversion of such warrants,
options, rights and convertible securities.

                                       26
<PAGE>   30

           (b) Except as set forth in SCHEDULE 5.18, on the Closing Date, except
for the Warrants, the 1992 Plan Options, the 1998 Plan Options and the 1999 Plan
Options, there will be no outstanding securities convertible into or
exchangeable for capital stock of the Company or any of its Subsidiaries or
options, warrants or other rights to purchase or subscribe to capital stock of
the Company or any of its Subsidiaries or contracts, commitments, agreements,
understandings or arrangements of any kind to which the Company or any of its
Subsidiaries is a party relating to the issuance of any capital stock of the
Company or any of its Subsidiaries, any such convertible or exchangeable
securities or any such options, warrants or rights.

     5.19  PRIVATE OFFERING. No form of general solicitation or general
advertising was used by the Company or any of its Subsidiaries, or their
respective representatives in connection with the offer or sale of the
Securities. No registration of the Securities or Common Stock issuable upon the
exercise of the Warrants pursuant to the provisions of the Securities Act or the
state securities or "blue sky" laws will be required for the offer, sale or
issuance of the Securities pursuant to this Agreement or of the Common Stock
issuable upon the exercise of the Warrants. The Company agrees that neither it,
nor anyone acting on its behalf, will offer or sell the Securities or any other
security so as to requires the registration of the Securities or Common Stock
issuable upon the exercise of the Warrants pursuant to the provisions of the
Securities Act or any state securities or "blue sky" laws, unless such
Securities or Common Stock issuable upon the exercise of the Warrants are so
registered.

     5.20  BROKER'S, FINDER'S OR SIMILAR FEES. Except as provided in Section 2.4
or as set forth on SCHEDULE 5.20 there are no brokerage commissions, finder's
fees or similar fees or commissions payable in connection with the transactions
contemplated hereby based on any agreement, arrangement or understanding with
the Company or any of its Subsidiaries, or any action taken by any such Person.

     5.21  LABOR RELATIONS. SCHEDULE 5.21 lists all collective bargaining
agreements to which the Company or any of its Subsidiaries is a party. Except as
set forth in SCHEDULE 5.21, there is (a) no unfair labor practice complaint
pending or, to the Company's knowledge, threatened against the Company or any of
its Subsidiaries before the National Labor Relations Board and no grievance or
arbitration proceeding arising out of or under collective bargaining agreements
is so pending or threatened, (b) no strike, labor dispute, slowdown or stoppage
pending or threatened against the Company or any of its Subsidiaries, (c) no
union representation question existing with respect to the employees of the
Company or any of its Subsidiaries and no union organizing activities are taking
place, and (d) no employment contract with any employee or independent
contractor of the Company or any Subsidiary. The Company and each Subsidiary is
in compliance in all material respects with all federal, state or other
applicable laws respecting employment and employment practices, terms and
conditions of employment and wages and hours.

     5.22  EMPLOYEE BENEFIT PLANS.

           (a) EMPLOYEE BENEFIT PLANS AND LIABILITIES. Neither the Company nor
any ERISA Affiliate has contributed to nor has any actual or contingent, direct
or indirect, liability in respect of any employee benefit plan (as defined in
Section 3(3) of ERISA) or other employee

                                       27
<PAGE>   31

benefit arrangement (collectively, the "PLANS"), within the five-consecutive-
year period immediately preceding the first day of the year in which the Closing
Date occurs other than those liabilities with respect to such Plans specifically
described on SCHEDULE 5.22(a). SCHEDULE 5.22(a) sets forth all Plans. At no
time, except as set forth in SCHEDULE 5.22(a) during such five year period has
the Company or any ERISA Affiliate participated in or contributed to any
Multiemployer Plan, nor during such period has the Company or any ERISA
Affiliate had an obligation to participate in or contribute to any such
Multiemployer Plan. No agreement subject to section 4204 of ERISA has been
entered into in connection with the transactions contemplated in this Agreement.
There are no outstanding liabilities of the Company or any ERISA Affiliate to
any employee benefit plans previously, but no longer, maintained by the Company
or any ERISA Affiliate, and the Company is not aware of any potential
liabilities in connection therewith. There are no actions, suits or claims,
other than for benefits in the ordinary course, pending or, to the knowledge of
the Company, threatened against the Company, an ERISA Affiliate or the Plans
which might subject the Company or any ERISA Affiliate to any material
liability. The Company has made available to the Purchasers accurate and
complete copies of all of the Plans.

           (b) PLAN COMPLIANCE. The Company and each of its Subsidiaries is in
compliance in all material respects with all reporting, disclosure and
registration requirements applicable to it under the Code, ERISA and all federal
and state securities laws, and Department of Labor, Internal Revenue Service and
Commission rules and regulations promulgated thereunder, with respect to all of
the Plans, and is not subject to any liability, whether asserted or not, for any
penalties to any Governmental Authority for late filing of any return, report or
other governmental filing. No civil or criminal action brought pursuant to the
provisions of Title I, Subtitle B, Part 5 of ERISA or any other federal or state
law is pending or, to the Knowledge of the Company, threatened against any
fiduciary of the Plans. No Plan, or any fiduciary thereof, to the Knowledge of
the Company, has been, or is currently, the direct or indirect subject of an
audit, investigation or examination by any Governmental Authority. All of the
Plans comply currently, and have complied at all times (and all former Plans
have complied at all times in the past), both as to form and operation, in all
material respects, with their terms and with all Requirements of Law. Except as
set forth on Schedule 5.22(b), each of the Plans maintained by the Company or
any Subsidiary that is an "employee benefit pension plan" (within the meaning of
Section 3(2)(A) of ERISA) has obtained a favorable determination (covering all
changes or amendments applicable under Requirements of Law) from the Internal
Revenue Service as to its qualification under Sections 401(a) and 501(a) of the
Code or is within the remedial amendment period (as provided in Section 401(b)
of the Code) for making any required changes or amendments, and nothing has
occurred before or after the date of each such determination letter as would
adversely affect such qualification. All amounts that are currently owing to
Plan participants (including, without limitation, former Plan participants), or
contributions required to be made to the Plans have been timely paid or
contributed with respect to all periods prior to the Closing Date or provided
for by adequate reserves on the Pro Forma Balance Sheet.

           (c) PROHIBITED TRANSACTIONS. Except as set forth on SCHEDULE 5.22(c),
no Plan, nor any related trust, nor the Company, nor any Subsidiary thereof, nor
any trustee, administrator or other "party in interest" or "disqualified person"
(within the meaning of Section 3(14) of ERISA or Section 4975(e)(2) of the Code,
respectively) with respect to the Plans, has engaged in any nonexempt
"prohibited transaction" (within the meaning of Section 406 of

                                       28
<PAGE>   32

ERISA or Section 4975(c) of the Code, respectively) with respect to the
participation of Company or any of its Subsidiaries therein, which could subject
any of the Plans or related trusts, or any trustee, administrator or other
fiduciary of any such Plan, or the Company, any Subsidiary of the Company or the
Purchasers, or any other party dealing with the Plans, to the penalties or
excise tax imposed on prohibited transactions by Section 502 of ERISA or Section
4975 of the Code which could have a material adverse effect on the Condition of
the Company.

           (d) COBRA. Except as set forth in SCHEDULE 5.22(d), the Company and
each of its Subsidiaries has complied in all material respects with the
continuation coverage requirements of group health plans provided in Section
4980B of the Code, Sections 601 et seq. of ERISA, the Family and Medical Leave
Act of 1994, and the regulations promulgated thereunder, and (ii) there are no
individual claims by any employee of the Company or any Subsidiary for any
illness or accident which is expected to exceed $75,000 in health related costs
(net of insurance reimbursement) to the Company or any Subsidiary within the
twelve (12)-month period following the Closing Date.

           (e) MISCELLANEOUS. Except as set forth on SCHEDULE 5.22(e) neither
the Company, its Subsidiaries, nor any Plan provides for or promises retiree
medical, disability or life insurance benefits to any current or former
employee, officer or director of the Company or any of its Subsidiaries, other
than continuation coverage required by section 4980B of the Code. Except as set
forth on SCHEDULE 5.22(e) neither the Company nor any of its Subsidiaries is a
party to or obligated under any agreement, plan, contract or other arrangements
that will result, separately or in the aggregate, in the payment of any "excess
parachute payment" within the meaning of section 280G of the Code.

     5.23  PATENTS, TRADEMARKS, ETC. The Company and its Subsidiaries own or are
licensed or otherwise have the right to use all patents, trademarks, service
marks, trade names, copyrights, licenses, franchises and other rights,
including, without limitation, with respect to all software developed, owned or
licensed by the Company (collectively, the "RIGHTS"), being used to conduct
their businesses as now operated. SCHEDULE 5.23 sets forth a complete list of
licenses or other or other Contractual Obligations relating to the Company's and
its Subsidiaries' Rights and of registrations of patents, trademarks, service
marks and copyrights including any applications therefor constituting such
Rights. To the Company's knowledge, no Right or product, process, method,
substance or other material presently sold by or employed by the Company or any
of its Subsidiaries, or which the Company or any of its Subsidiaries
contemplates selling or employing, infringes upon the Rights that are owned by
others. No litigation is pending and no claim has been made against the Company
or any of its Subsidiaries or, to the knowledge of the Company, is threatened,
contesting the right of the Company or any of its Subsidiaries to sell or use
any Right or product, process, method, substance or other material presently
sold by or employed by the Company or any of its Subsidiaries. Except as set
forth on SCHEDULE 5.23, neither the Company nor any of its Subsidiaries has
asserted any claim of infringement, misappropriation or misuse by any Person of
any Rights owned by the Company or any of its Subsidiaries or to which any of
them have exclusive use. Except as set forth on SCHEDULE 5.23, no employee,
officer or consultant of the Company or any of its Subsidiaries has any
proprietary, financial or other interest in any Rights owned or used by the
Company or its Subsidiaries in their businesses. Except as set forth on SCHEDULE
5.23, neither the Company nor any of its Subsidiaries has any obligation to
compensate any Person for the use of any Rights and

                                       29
<PAGE>   33

neither the Company nor any of its Subsidiaries has granted any license or other
right to use any of the Rights of the Company or it Subsidiaries, whether
requiring the payment of royalties or not. The Company and its Subsidiaries have
taken all reasonable measures to protect and preserve the security,
confidentiality and value of their Rights, including trade secrets and other
confidential information, including, without limitation, all algorithms,
methods, technology or know-how incorporated or embedded in, or underlying,
software licensed by the Company to third parties. All trade secrets and other
confidential information of the Company and its Subsidiaries are presently
valued and protectible and are not part of the public domain or knowledge, nor
have they been used, divulged or appropriated for the benefit of any Person
other than the Company or its Subsidiaries or otherwise to the detriment of the
Company or its Subsidiaries. To the Knowledge of the Company, no trade secret or
other confidential information of the Company or any of its Subsidiaries has
been used, divulged or appropriated to the detriment of the Company or its
Subsidiaries. The Company has taken reasonable measures to ensure that, and, to
the Knowledge of the Company, no employee or consultant of the Company or its
Subsidiaries has used any trade secrets or other confidential information of any
other Person in the course of his work for the Company or its Subsidiaries. No
patent, invention, device, principle or any statute, law, rule, regulation,
standard or code is pending or proposed which would restrict the Company's or
any Subsidiary's ability to use any of the Rights.

     5.24  POTENTIAL CONFLICTS OF INTEREST. Except as set forth on SCHEDULE
5.24, no stockholder or other security holder of the Company or any of its
Subsidiaries holding 5% of the issued and outstanding shares of the Company or
such Subsidiary, as the case may be, or any officer or director of the Company
or any of its Subsidiaries: (a) owns, directly or indirectly, any interest in
(excepting less than 5% stock holdings for investment purposes in securities of
publicly held and traded companies), or is an officer, director, employee or
consultant of, any Person that is, or is engaged in business as, a competitor,
lessor, lessee, supplier, distributor, sales agent or customer of, or lender to
or borrower from, the Company or any of its Subsidiaries; (b) owns, directly or
indirectly, in whole or in part, any tangible or intangible property that the
Company or any of its Subsidiaries uses in the conduct of business; or (c) has
any cause of action or other claim whatsoever against, or owes or has advanced
any amount to, the Company or any of its Subsidiaries, except for claims in the
ordinary course of business such as for accrued vacation pay, accrued benefits
under employee benefit plans, and similar matters and agreements existing on the
date hereof.

     5.25  TRADE RELATIONS. There exists no actual or, to the knowledge of the
Company, threatened termination, cancellation or limitation of, or any adverse
modification or change in, the business relationship of the Company, its
Subsidiaries or their business with any customer or any group of customers whose
purchases are individually or in the aggregate material to the business of the
Company or any such Subsidiary, or with any material supplier, and there exists
no present condition or state of facts or circumstances that would materially
adversely affect the Condition of the Company or prevent the Company or its
Subsidiaries from conducting their business after the consummation of the
transactions contemplated by this Agreement, in substantially the same manner in
which such business has heretofore been conducted.

     5.26  OUTSTANDING BORROWINGS. SCHEDULE 5.26 lists (i) the amount of all
Outstanding Borrowings of the Company and its Subsidiaries (other than
Indebtedness under this

                                       30
<PAGE>   34
Agreement) as of the Closing, (ii) the Liens that relate to such Outstanding
Borrowings and that encumber the assets of the Company and its Subsidiaries,
(iii) the name of each lender thereof, and (iv) the amount of any unfunded
commitments available to the Company or any Subsidiary in connection with any
Outstanding Borrowings.

     5.27  MATERIAL CONTRACTS. Neither the Company nor any Subsidiary is a party
to any Contractual Obligation, or is subject to any charge, corporate
restriction, judgment, injunction, decree, or Requirement of Law, materially
adversely affecting the Condition of the Company. The Exhibit Index to the
Company's Annual Report on Form 10-K for the fiscal year ended March 31, 2000
lists all contracts, agreements, commitments and other Contractual Obligations
of the Company and its Subsidiaries as of the Closing Date, whether written or
oral, other than (a) the Transaction Documents, (b) purchase orders in the
ordinary course of business, and (c) any other contracts, agreements,
commitments and other Contractual Obligations of the Company or any Subsidiary
that do not extend beyond one year and involve the receipt or payment of not
more than $5,000,000 (each, a "Material Contract"). Each of the contracts,
agreements, commitments and other Contractual Obligations of the Company and its
Subsidiaries required to be set forth on such Exhibit Index is in full force and
effect. The Company has satisfied in full or provided for all of its liabilities
and obligations under each Material Contract requiring performance prior to the
date hereof in all material respects, and is not in default under any of them,
nor, to the knowledge of the Company, does any condition exist that with notice
or lapse of time or both would constitute such a default. To the knowledge of
the Company, no other party to any such Material Contract is in default
thereunder, nor does any condition exist that with notice or lapse of time or
both would constitute such a default. Except for the consent required under the
Senior Credit Agreement, which consent has been obtained, no approval or consent
of any Person is needed for all of the Material Contracts to continue to be in
full force and effect, and all of the Company's rights under such Material
Contracts will be conveyed to the Purchasers, upon consummation of the
transactions contemplated by this Agreement.

     5.28  INSURANCE. SCHEDULE 5.28 accurately summarizes all of the insurance
policies or programs of the Company and each Subsidiary in effect as of the date
hereof, and indicates the insurer's name, policy number, expiration date, amount
of coverage, type of coverage, annual premiums, exclusions and deductibles, and
also indicates any self-insurance program that is in effect. All such policies
are in full force and effect, are underwritten by financially sound and
reputable insurers, are sufficient for all applicable Requirements of Law and
otherwise are in compliance with the criteria set forth in Section 8.8 hereof.
All such policies will remain in full force and effect and will not in any way
be affected by, or terminate or lapse by reason of any of the transactions
contemplated hereby.

     5.29  SOLVENCY. The Company and its Subsidiaries, taken as a whole, are
Solvent.

     5.30  OTHER DOCUMENTS. The Company has delivered to the Purchasers true,
complete and correct copies of all agreements, schedules, exhibits,
certificates, financial information, filings and other documents relating to the
Company and its Subsidiaries, and all amendments and modifications thereto which
have been requested by the Purchasers. Such documents comprise a full and
complete copy of all agreements and understandings between the

                                       31
<PAGE>   35

parties thereto with respect to the subject matter thereof and all transactions
related thereto, and there are no material agreements or understandings, oral or
written, or side agreements not contained therein that relate to or modify the
substance thereof. Each of such documents to which either the Company or any of
its Subsidiaries is a party has been duly authorized by all necessary corporate
action on the part of the Company or such Subsidiary party thereto, was validly
executed and delivered by such Person, and is the legal, valid and binding
obligation of such Person and such Person's successors, enforceable in
accordance with its terms. Each of such documents is in full force and effect,
and none of their provisions have been waived by any party thereto.

     5.31  OPERATING COMPANY. The Company is "an entity that is primarily
engaged, directly or though a majority owned subsidiary or subsidiaries, in the
production or sale of a product or service other than the investment of capital"
within the meaning of the U.S. Department of Labor plan asset regulations, 29
C.F.R. Section 2510.3-101.

                                    ARTICLE 6

                               REPRESENTATIONS AND
                          WARRANTIES OF THE PURCHASERS
                          ----------------------------

     Each Purchaser, severally but not jointly, hereby represents and warrants
as to itself as follows:

     6.1  CORPORATE EXISTENCE AND POWER. Each Purchaser is a corporation or
partnership duly organized, validly existing, and if such Purchaser is a
corporation, in good standing under the laws of the jurisdiction of its
incorporation and has all requisite corporate or partnership power and authority
to execute, deliver and perform its obligations under each Transaction Document
to which it is or will be a party.

     6.2  AUTHORIZATION; NO CONTRAVENTION. The execution, delivery and
performance by it of this Agreement and each other Transaction Document to which
it is a party and the consummation of the Transactions contemplated hereby and
thereby: (a) is within its power and authority and has been duly authorized by
all necessary action; (b) does not and will not contravene the terms of its
organizational documents or any amendment thereof or Requirement of Law
applicable to such Purchaser; and (c) does not and will not violate, conflict
with or result in any breach or contravention of any of its Contractual
Obligations, or any order or decree directly relating to it.

     6.3  BINDING EFFECT. This Agreement, and each of the Transaction Documents
to which it is a party has been duly executed and delivered by it and this
Agreement constitutes its legal, valid and binding obligation, enforceable
against it in accordance with its terms, except as enforceability may be limited
by applicable bankruptcy, insolvency, or similar laws affecting the enforcement
of creditors' rights generally or by equitable principles relating to
enforceability.

                                       32
<PAGE>   36

     6.4  NO LEGAL BAR. The execution, delivery and performance of this
Agreement and each of the Transaction Documents to which it is a party by it
will not violate any Requirement of Law applicable to it.

     6.5  PURCHASE FOR OWN ACCOUNT. The Securities to be acquired by it pursuant
to this Agreement are being or will be acquired for its own account and with no
intention of distributing or reselling such securities or any part thereof in
any transaction that would be in violation of the securities laws of the United
States of America, or any state, without prejudice, however, to its right at all
times to sell or otherwise dispose of all or any part of the Notes or the
Warrants, under an effective registration statement under the Securities Act, or
under an exemption from such registration available under the Securities Act,
and subject, nevertheless, to the disposition of its property being at all times
within its control. If the Purchaser should in the future decide to dispose of
any of the Securities, the Purchaser understands and agrees that it may do so
only in compliance with the Securities Act and applicable state securities laws,
as then in effect. It agrees to the imprinting of a legend on certificates
representing all of the Securities to the following effect: "THE SECURITIES
REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY NOT BE SOLD OR OTHERWISE
DISPOSED OF EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER SUCH
ACT AND APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF SUCH ACT AND
SUCH LAWS."

     6.6  LITIGATION. Except as set forth on SCHEDULE 6.6, there are no legal
actions, suits, proceedings, claims or disputes pending or, to the knowledge of
the Purchasers, threatened, at law, in equity, in arbitration or before any
Governmental Authority against or affecting the Purchasers or any of its
Subsidiaries (or, as applicable, to the Purchasers' knowledge, any of their
respective shareholders, directors, officers, employees or agents). No
injunction, writ, temporary restraining order, decree or any order of any nature
has been issued by any court or other Governmental Authority purporting to
enjoin or restrain the execution, delivery or performance of the Transaction
Documents.

     6.7  ERISA. At least one of the following statements is an accurate
representation and warranty as to each source of funds ("SOURCE") to be used by
the Purchasers to pay the purchase price for the Securities to be purchased by
it:

          (a) the Source is a general account of an insurance company, and the
amount of the reserves and liabilities for the general account contract(s) held
by or on behalf of any Benefit Plan (as defined by the annual statement for life
insurance companies approved by the National Association of Insurance
Commissioners (the "NAIC ANNUAL STATEMENT")) together with the amount of the
reserves and liabilities for the general account contract(s) held by or on
behalf of any other Benefit Plans maintained by the same employer (or affiliate
thereof as defined in Department of Labor Prohibited Transaction Exemption
("PTE") 95-60) or by the same employee organization (as defined by the NAIC
Annual Statement) in the general account do not exceed 10% of the total reserves
and liabilities of the general account (exclusive of separate account
liabilities) plus surplus as set forth in the NAIC Annual Statement filed with
the state of domicile of the insurance company (for purposes of the percentage
limitation in this clause (a), the amount of reserves and liabilities for the
general account contract(s) held by or on

                                       33
<PAGE>   37

behalf of a plan shall be determined before reduction for credits on account of
any reinsurance ceded on a coinsurance basis); or

          (b) the Source is a separate account that is maintained solely in
connection with such Purchaser's fixed contractual obligations under which the
amounts payable, or credited, to any employee benefit plan (or its related
trust) that has any interest in such separate account or to any participant or
beneficiary of such plan (including any annuitant), are not affected in any
manner by the investment performance of the separate account; or

          (c) the Source is either (i) an insurance company pooled separate
account, within the meaning of Prohibited Transaction Exemption ("PTE") 90-1
(issued January 29, 1990), or (ii) a bank collective investment fund, within the
meaning of the PTE 91-38 (issued July 12, 1991) and, except as the Purchaser has
disclosed to the Company in writing pursuant to this paragraph (ii), no employee
benefit plan or group of plans maintained by the same employer or employee
organization beneficially owns more than 10% of all assets allocated to such
pooled separate account or collective investment fund; or

          (d) the Source constitutes assets of an "investment fund" (within the
meaning of Part V of the QPAM Exemption) managed by a "qualified professional
asset manager" or "QPAM" (within the meaning of Part V of the QPAM Exemption),
no employee benefit plan's assets that are included in such investment fund,
when combined with the assets of all other employee benefit plans established or
maintained by the same employer or by an affiliate (within the meaning of
Section V(c)(1) of the QPAM Exemption) of such employer or by the same employee
organization and managed by such QPAM, exceed 20% of the total client assets
managed by such QPAM, the conditions of Part I(c) and (g) of the QPAM Exemption
are satisfied, neither the QPAM nor a person controlling or controlled by the
QPAM (applying the definition of "control" in Section V(e) of the QPAM
Exemption) owns a 5% or more interest in the Company and (I) the identity of
such QPAM and (II) the names of all employee benefit plans whose assets are
included in such investment fund have been disclosed to the Company in writing
pursuant to this paragraph (c); or

          (e) the Source is a governmental plan; or

          (f) the Source is one or more employee benefit plans, or a separate
account or trust fund comprised of one or more employee benefit plans, each of
which has been identified to the Company in writing pursuant to this paragraph
(e); or

          (g) the Source does not include assets of any employee benefit plan,
other than a plan exempt from the coverage of ERISA or Section 408 of the Code.

     As used in this Section 6.7, the terms "employee benefit plan,"
"governmental plan," "party in interest" and "separate account" shall have the
respective meanings assigned to such terms in Section 3 of ERISA and "QPAM
Exemption" shall mean PTE 84-14.

     6.8  BROKER'S, FINDER'S OR SIMILAR FEES. Except as set forth in Section 2.4
hereof, there are no brokerage commissions, finder's fees or similar fees or
commissions payable

                                       34
<PAGE>   38

in connection with the transactions contemplated hereby based on any agreement,
arrangement or understanding with it or any action taken by it.

     6.9  GOVERNMENTAL AUTHORIZATION; THIRD PARTY CONSENT. No approval, consent,
compliance, exemption, authorization, or other action by, or notice to, or
filing with, any Governmental Authority or any other Person in respect of any
Requirement of Law or contractual obligation, and no lapse of a waiting period
under a Requirement of Law or contractual obligation, is necessary or required
in connection with the execution, delivery or performance by it or enforcement
against it of this Agreement, the Transaction Documents, or the transactions
contemplated hereby.

     6.10  The Purchasers hereby agree to provide the Company with a schedule of
all trading activity in the Common Stock of the Company for the thirty (30) days
prior to the Closing Date as soon as reasonably practicable following the
Closing Date.

                                    ARTICLE 7

                                 INDEMNIFICATION
                                 ---------------

     7.1  INDEMNIFICATION. In addition to all other sums due hereunder or
provided for in this Agreement, the Company agrees to indemnify and hold
harmless the Purchasers and their respective Affiliates and each of their
respective officers, directors, agents, employees, Subsidiaries, partners,
members, attorneys, accountants and controlling persons (each, an "INDEMNIFIED
PARTY") to the fullest extent permitted by law from and against any and all
losses, claims, damages, expenses (including, without limitation, reasonable
fees, disbursements and other charges of counsel and costs of investigation
incurred by an Indemnified Party in any action or proceeding between the Company
(or any of its Subsidiaries) and such Indemnified Party (or Indemnified Parties)
or between an Indemnified Party (or Indemnified Parties) and any third party or
otherwise) or other liabilities, losses, or diminution in value (collectively,
"LIABILITIES") resulting from or arising out of any breach of any representation
or warranty, covenant or agreement of the Company in this Agreement, the
Registration Rights Agreement, the Note, the Warrant, or the other Transaction
Documents, including without limitation, the failure to make payment when due of
amounts owing pursuant to this Agreement, the Note, or the other Transaction
Documents, on the due date thereof (whether at the scheduled maturity, by
acceleration or otherwise) or any legal, administrative or other actions
(including, without limitation, actions brought by any of the Purchasers, the
Company, any of its Subsidiaries or any holders of equity or indebtedness of the
Company or any of its Subsidiaries or derivative actions brought by any Person
claiming through or in the Company's or any Subsidiary's name), proceedings or
investigations (whether formal or informal), or written threats thereof, based
upon, relating to or arising out of the Transaction Documents, the transactions
contemplated thereby, or any Indemnified Party's role therein or in the
transactions contemplated thereby; PROVIDED, HOWEVER, that the Company shall not
be liable under this Section 7.01 to an Indemnified Party: (a) for any amount
paid by the Indemnified Party in settlement of claims by the Indemnified Party
without the Company's consent (which consent shall not be unreasonably
withheld), (b) to the extent that it is finally judicially determined that such
Liabilities resulted primarily from the willful misconduct or gross negligence
of such Indemnified Party or (c) to the

                                       35
<PAGE>   39

extent that it is finally judicially determined that such Liabilities resulted
primarily from the breach by such Indemnified Party of any representation,
warranty, covenant or other agreement of such Indemnified Party contained in
this Agreement; PROVIDED, FURTHER, that if and to the extent that such
indemnification is unenforceable for any reason, the Company shall make the
maximum contribution to the payment and satisfaction of such Liabilities which
shall be permissible under applicable laws. In connection with the obligation of
the Company to indemnify for expenses as set forth above, the Company further
agrees, upon presentation of appropriate invoices containing reasonable detail,
to reimburse each Indemnified Party for all such expenses (including, without
limitation, fees, disbursements and other charges of counsel and costs of
investigation incurred by an Indemnified Party in any action or proceeding
between the Company (or any of its Subsidiaries) and such Indemnified Party (or
Indemnified Parties) or between an Indemnified Party (or Indemnified Parties)
and any third party or otherwise) as they are incurred by such Indemnified
Party; PROVIDED, HOWEVER, that if an Indemnified Party is reimbursed hereunder
for any expenses, such reimbursement of expenses shall be refunded to the extent
it is finally judicially determined that the Liabilities in question resulted
primarily from (i) the willful misconduct or gross negligence of such
Indemnified Party or (ii) the breach by such Indemnified Party of any
representation, warranty, covenant or other agreement of such Indemnified Party
contained in this Agreement or any other Transaction Document.

     7.2  PROCEDURE; NOTIFICATION. Each Indemnified Party under this Article 7
will, promptly after the receipt of notice of the commencement of any action,
investigation, claim or other proceeding against such Indemnified Party in
respect of which indemnity may be sought from the Company under this Article 7,
notify the Company in writing of the commencement thereof. The omission of any
Indemnified Party so to notify the Company of any such action shall not relieve
the Company from any liability which it may have to such Indemnified Party
unless, and only to the extent that, such omission results in the Company's
forfeiture of substantive rights or defenses. In case any such action, claim or
other proceeding shall be brought against any Indemnified Party and it shall
notify the Company of the commencement thereof, the Company shall be entitled to
assume the defense thereof at its own expense, with counsel satisfactory to such
Indemnified Party in its reasonable judgment; PROVIDED, HOWEVER, that any
Indemnified Party may, at its own expense, retain separate counsel to
participate in such defense. Notwithstanding the foregoing, in any action, claim
or proceeding in which the Company, on the one hand, and an Indemnified Party,
on the other hand, is, or is reasonably likely to become, a party, such
Indemnified Party shall have the right to employ separate counsel at the
Company's expense and to control its own defense of such action, claim or
proceeding if, in the reasonable opinion of counsel to such Indemnified Party, a
conflict or potential conflict exists between the Company, on the one hand, and
such Indemnified Party, on the other hand, that would make such separate
representation advisable; PROVIDED, HOWEVER, that in no event shall the Company
be required to pay fees and expenses under this Article 7 for more than one firm
of attorneys in any jurisdiction in any one legal action or group of related
legal actions. The Company agrees that it will not, without the prior written
consent of the Purchasers, settle, compromise or consent to the entry of any
judgment in any pending or threatened claim, action or proceeding relating to
the matters contemplated hereby (if any Indemnified Party is a party thereto or
has been actually threatened to be made a party thereto) unless such settlement,
compromise or consent includes an unconditional release of the Purchasers and
each other Indemnified Party from all liability arising or that may arise out of
such claim, action or

                                       36
<PAGE>   40
proceeding. The Company shall not be liable for any settlement of any claim,
action or proceeding effected against an Indemnified Party without its written
consent, which consent shall not be unreasonably withheld. The rights accorded
to Indemnified Parties hereunder shall be in addition to any rights that any
Indemnified Party may have at common law, by separate agreement or otherwise.

     7.3  REGISTRATION RIGHTS AGREEMENT. Notwithstanding anything to the
contrary in this Article 7, the indemnification and contribution provisions of
the Registration Rights Agreement shall govern any claim made with respect to
registration statements filed pursuant thereto or sales made thereunder.

                                    ARTICLE 8

                              AFFIRMATIVE COVENANTS
                              ---------------------

     Until the payment by the Company of all principal of and interest on the
Note and all other amounts due to Purchasers under this Agreement and the other
Transaction Documents, including, without limitation, all fees, expenses and
amounts due in respect of indemnity obligations under Article 7, the Company
hereby covenants and agrees with the Purchasers as follows:

     8.1  FINANCIAL STATEMENTS AND OTHER INFORMATION. The Company shall
maintain, and cause each of its Subsidiaries to maintain, a system of accounting
established and administered in accordance with sound business practices to
permit preparation of financial statements in conformity with GAAP (it being
understood that monthly financial statements are not required to have footnote
disclosures). The Company shall deliver to the Purchasers each of the financial
statements and other reports described below:

          (a) MONTHLY AND QUARTERLY FINANCIAL INFORMATION. As soon as available
and in any event within twenty-five (25) days after the end of each month
(including months that are also the last month of a fiscal quarter). The Company
shall deliver the monthly financial report prepared for internal management
review, substantially in the form of the report for July, 2000 delivered to
Purchasers. As soon as available and in any event within forty-five (45) days
after the end of each fiscal quarter (ninety (90) days with respect to fiscal
quarters that are also the last fiscal quarter of the fiscal year), the Company
shall deliver (i) the consolidated and consolidating balance sheets of the
Company and its Subsidiaries, as at the end of such quarter and the related
consolidated and consolidating statements of income and consolidated cash flow
for such quarter and for the period from the beginning of the then current
fiscal year of the Company to the end of such quarter and (ii) a schedule of the
outstanding Indebtedness for borrowed money of the Company and its Subsidiaries
describing in reasonable detail each such debt issue or loan outstanding and the
principal amount and amount of accrued and unpaid interest with respect to each
such debt issue or loan.

          (b) YEAR-END FINANCIAL INFORMATION. As soon as available and in any
event within ninety (90) days after the end of the fiscal year of the Company,
the Company shall deliver (i) the consolidated and consolidating balance sheets
of the Company and its Subsidiaries

                                       37
<PAGE>   41

as at the end of such year and the related consolidated and consolidating
statements of income and stockholders' equity and consolidated cash flow for
such fiscal year, (ii) a schedule of the outstanding Indebtedness for borrowed
money of the Company and its Subsidiaries describing in reasonable detail each
such debt issue or loan outstanding and the principal amount and amount of
accrued and unpaid interest with respect to each such debt issue or loan, and
(iii) a report with respect to the financial statements from Deloitte & Touche,
LLP or another "Big Five" firm of certified public accountants selected by the
Company and reasonably acceptable to the Purchasers, which report shall be
issued pursuant to an audit conducted by such firm of certified public
accountants in conformity with GAAP. Such report shall contain an "Unqualified"
opinion (as such term is defined in AU Section 508.10 of the American Institute
of Certified Public Accountants Professional Standards.

          (c) COMPANY'S COMPLIANCE CERTIFICATE. Together with each delivery of
financial statements of the Company and its Subsidiaries pursuant to Sections
8.1(a) (with respect to quarterly financial statements only) and 8.1(b) above,
the Company shall deliver or cause to be delivered a fully and properly
completed compliance certificate (in substantially the form attached hereto as
EXHIBIT D (or in such other form or substance as shall be satisfactory to
Purchaser) and referred to as a "COMPLIANCE CERTIFICATE") signed by the chief
executive officer or chief financial officer of the Company together with a
report of the Company's firm of certified public accountants (with respect to
8.1(b) only) that it is not aware of any condition or event that constitutes a
default or Event of Default under any of the Transaction Documents.

          (d) ACCOUNTANTS' REPORTS. Promptly upon receipt thereof, the Company
shall deliver copies of all significant reports submitted by the Company's firm
of certified public accountants in connection with each annual, interim or
special audit or review of any type of the financial statements or related
internal control systems of the Company and its Subsidiaries made by such
accountants, including any comment letter submitted by such accountants to
management in connection with their services.

          (e) MANAGEMENT REPORTS. Together with each delivery of financial
statements of the Company and its Subsidiaries pursuant to subsections 8.1(a)
and 8.1(b), the Company will deliver a management report (i) describing the
operations and financial condition of the Company and its Subsidiaries for the
period then ended and the portion of the current fiscal year then elapsed (or
for the fiscal year then ended in the case of year-end financials), (ii) setting
forth in comparative form the corresponding figures for the corresponding
periods of the previous fiscal year and the corresponding figures from the most
recent projections for the current fiscal year delivered pursuant to subsection
8.1(f) and (iii) discussing the reasons for any significant variations. The
information above shall be presented in reasonable detail and shall be certified
by the chief financial officer of the Company to the effect that such
information fairly presents the results of operations and financial condition of
the Company and its Subsidiaries as at the dates and for the periods indicated.
Notwithstanding the foregoing, in the case of month-end financials that are not
also quarter-end financials, no such management report shall be required except
to the extent otherwise prepared by the Company.

          (f) PROJECTIONS. The Company shall continue to prepare a Tactical Plan
Summary for each fiscal year (or other document substantially the same as the
Tactical Plan Summary for the Fiscal Year 2001, dated April 12, 2000), and such
Tactical Plan Summary shall

                                       38
<PAGE>   42

be provided to the Purchasers no later than forty-five (45) days after the
beginning of the fiscal year to which such document relates.

          (g) SEC FILINGS AND PRESS RELEASES. Promptly upon their becoming
available, the Company shall deliver copies of (i) all SEC Reports of the
Company and each Subsidiary, (ii) all financial statements, reports, notices and
proxy statements sent or made available by the Company or any of its
Subsidiaries to their security holders, (iii) all regular and periodic reports
and all registration statements and prospectuses, if any, filed by the Company
or any of its Subsidiaries with any securities exchange or with the Commission
or any governmental or private regulatory authority, and (iv) all press releases
and other statements made available by the Company or any of its Subsidiaries to
the public concerning material developments in the business the Company or any
of its Subsidiaries.

          (h) EVENTS OF DEFAULT, ETC. Promptly upon the Company obtaining
knowledge of any of the following events or conditions, the Company shall
deliver copies of all notices given or received by the Company or any of its
Subsidiaries with respect to any such event or condition and a certificate of
the Company's Chief Executive Officer specifying the nature and period of
existence of such event or condition and what action the Company has taken, is
taking and proposes to take with respect thereto: (i) any condition or event
that constitutes a breach of any provision of this Agreement or any other
Transaction Document; (ii) any notice that any Person has given to the Company
or any Subsidiary, or any other action, taken with respect to a claimed default
in any agreement evidencing Indebtedness or any other material agreement to
which the Company or any Subsidiary is a party; or (iii) any event or condition
that could reasonably be expected to result in any material adverse effect on
the Condition of the Company.

          (i) LITIGATION. Promptly upon any officer of the Company obtaining
knowledge of (i) the institution of any action, suit, proceeding, governmental
investigation or arbitration against or affecting the Company or any of its
Subsidiaries or any property of the Company or any of its Subsidiaries not
previously disclosed by the Company to the Purchasers or (ii) any material
development in any action, suit, proceeding, governmental investigation or
arbitration at any time pending against or affecting the Company or any of its
Subsidiaries or any property of the Company or any of its Subsidiaries, which,
in each case, the Company reasonably determines that such matter may, if
adversely determined, have a material adverse effect on the Condition of the
Company, the Company will promptly give notice and a description thereof to the
Purchasers and provide such other information as any Purchasers or its counsel
may reasonably request, PROVIDED, HOWEVER, that the Company shall not be
required to provide such description or other information if in the reasonable
opinion of the Company's counsel, such action would violate the attorney-client
or work product privileges existing with respect to such matter.

          (j) SUBSIDIARIES. Not less than fifteen (15) days prior to creating a
Subsidiary or acquiring the stock of, or other equity interests in, a Person,
such that such Person will become a Subsidiary, the Company shall notify the
Purchasers of the Company's or any of its Subsidiary's intention to create such
Subsidiary or acquire such stock or equity interests, and following such notice
such Subsidiary will not be created or acquired until the Company has

                                       39
<PAGE>   43

caused each Subsidiary to execute a joinder to this Agreement, and the other
Transaction Documents in form and substance reasonably satisfactory to the
Purchasers.

     (k)  SUPPLEMENTED SCHEDULES; NOTICE OF CORPORATE CHANGES. Annually,
concurrently with the delivery of the projections required by subsection 8.1(f),
the Company shall supplement in writing and deliver to the Purchasers revisions
of the Schedules annexed to this Agreement as if the representations and
warranties in this agreement were made as of such date to the extent necessary
to disclose new or changed facts or circumstances after the Closing Date which
could have a material adverse effect upon the Condition of the Company, to the
extent not otherwise disclosed to Purchasers pursuant to the provisions of this
Agreement; PROVIDED that subsequent disclosures shall not constitute a cure or
waiver of any Event of Default resulting from the matters disclosed. The Company
shall provide prompt written notice to the Purchasers of any material change
after the Closing Date in the authorized and issued capital stock or other
equity interests of the Company or any of its Subsidiaries or any other material
amendment to their charter, by-laws or other organizational documents, such
notice, in each case, to identify the applicable jurisdictions, capital
structures or amendments as applicable.

     (l)  NO DEFAULTS. The Company shall deliver to the Purchasers concurrently
with the delivery of the financial statements referred to in Section 8.1(b), a
certificate of the Company's Chief Financial Officer stating that to his or her
knowledge no Event of Default shall have occurred during the period covered
thereby, except as specified in such certificate.

     (m)  OTHER INFORMATION. With reasonable promptness, the Company shall
deliver such other information and data with respect to the Company or any of
its Subsidiaries as from time to time may be reasonably required by the
Purchasers.

     (n)  PUBLICLY AVAILABLE INFORMATION. Notwithstanding anything to the
contrary contained in subsection 8.1(a), 8.1(b), and 8.1(e), at such time, and
for so long as (and only for so long as), the Company is subject to the
reporting requirements of Section 13(a) or 15(d) of the Exchange Act, the annual
and quarterly information and reports and the management reports required to be
delivered by the Company pursuant to subsections 8.1(a), 8.1(b) and 8.1(e)
hereof shall not be required to be provided by the Company to the Purchasers,
provided that the Company shall promptly provide to the Purchasers all
information and reports required to be delivered by the Company under the
reporting requirements of Section 13(a) or 15(d) of the Exchange Act, as in
effect on the date hereof.

     8.2  PRESERVATION OF CORPORATE EXISTENCE. The Company shall, and shall
cause each of its Subsidiaries to:

          (a) preserve and maintain in full force and effect its corporate (or,
as applicable, limited liability partnership or other entity) existence;

          (b) conduct its business in accordance with sound business practices,
keep its properties in good working order and condition (normal wear and tear
excepted), and from time to time make all needed repairs to, renewals of or
replacements of its properties (except to

                                       40
<PAGE>   44

the extent that any of such properties are obsolete or are being replaced) so
that the efficiency of its business operations shall be fully maintained and
preserved; and

          (c) file or cause to be filed in a timely manner all reports,
applications, estimates and licenses that shall be required by each Governmental
Authority.

     8.3  PAYMENT OF OBLIGATIONS. The Company shall, and shall cause each of its
Subsidiaries to, pay and discharge as the same shall become due and payable, all
their respective obligations and liabilities including without limitation:

          (a) all Tax liabilities, assessments and governmental charges or
levies upon it or its properties or assets, unless the same are being contested
in good faith by appropriate proceedings and adequate reserves in accordance
with GAAP are being maintained by the Company or such Subsidiary;

          (b) all lawful claims which the Company and each of its Subsidiaries
is obligated to pay, which are due and which, if unpaid, might by law become a
Lien upon its property, unless the same are being contested in good faith by
appropriate proceedings and adequate reserves in accordance with GAAP are being
maintained by the Company or such Subsidiary; and

          (c) all payments of principal, interest and other amounts when due on
Indebtedness.

     8.4  COMPLIANCE WITH LAWS. The Company shall comply, and shall cause each
of its Subsidiaries to comply, in all material respects with all Requirements of
Law and with the directions of each Governmental Authority having jurisdiction
over them or their business or property (including, without limitation, all
applicable Environmental Laws).

     8.5  RESERVATION OF SHARES. The Company shall at all times reserve and keep
available out of its authorized capital stock, solely for the purpose of
issuance or delivery upon exercise of the Warrants, the maximum number of shares
of capital stock that may be issuable or deliverable upon such exercise or
conversion, as the case may be (the "EXERCISABLE SHARES"). The Exercisable
Shares shall, when issued or delivered in accordance with the Warrants, be duly
and validly issued, fully paid and non-assessable, and free and clear of all
Liens, liabilities and rights. The Company shall issue such capital stock in
accordance with the provisions of the Warrants, and shall otherwise comply, in
each case, with the terms thereof.

     8.6  INSPECTION. The Company will permit, and will cause each of its
Subsidiaries to permit, representatives of each of the Purchasers to visit and
inspect any of their properties, to examine their corporate, financial and
operating records and make copies thereof or abstracts therefrom, and to discuss
their affairs, finances and accounts with their respective directors, officers
and independent public accountants, all at such reasonable times during normal
business hours and as often as may be reasonably requested, upon reasonable
advance notice and conducted in such a manner as to minimize disruption of
business to the Company and its Subsidiaries; PROVIDED, HOWEVER, that no such
inspection, examination or inquiry, the failure to conduct same, nor any
knowledge of any Purchaser, including, without limitation, any

                                       41
<PAGE>   45

knowledge obtained by such Purchaser in connection with any such inspection,
investigation or inquiry, shall constitute a waiver of any rights such Purchaser
may have under any representation, warranty, covenant, term or agreement under
any of the Transaction Documents.

     8.7  PAYMENT OF NOTE. The Company shall pay the principal of, interest on
and other amounts due in respect of, the Notes on the dates and in the manner
provided in the Notes and to the accounts set forth on EXHIBIT E hereto, unless
otherwise instructed by the holder of the particular Note.

     8.8  INSURANCE. The Company and its Subsidiaries shall maintain or cause to
be maintained in good repair, working order and condition all material
properties used in their respective businesses and will make or cause to be made
all appropriate repairs, renewals and replacements thereof. The Company and its
Subsidiaries will maintain or cause to be maintained with financially sound and
reputable insurers public liability and property damage insurance with respect
to their respective businesses and properties against loss or damage of the
kinds customarily carried or maintained by companies of established reputation
engaged in similar businesses and in amounts acceptable to Purchasers and will
deliver evidence thereof to Purchasers.

     8.9  BOOKS AND RECORDS. The Company shall, and shall cause each of its
Subsidiaries to, keep proper books of record and account, in which full and
correct entries shall be made of all financial transactions and the assets and
business of the Company and each of its Subsidiaries in accordance with GAAP
consistently applied to the Company and its Subsidiaries taken as a whole.

     8.10  USE OF PROCEEDS. The Company shall use the proceeds of the sale of
Securities hereunder only as follows: (i) for the payment of fees and expenses
in connection with the transactions contemplated hereunder and in the other
Transaction Documents, and (ii) for the repayment of the Bridge Notes as
contemplated in Section 3.16.

     8.11  BOARD ATTENDANCE. The Company shall give WMF and Whitney and Albion
I, Albion II and Equitable notice of (in the same manner as notice is given to
directors), and permit one Person designated by WMF (or Whitney) (the "WHITNEY
DESIGNEE") and one person designated by Albion I, Albion II and Equitable (the
"ALBION/EQUITABLE DESIGNEE") to attend as observer, all meetings of the
Company's Board of Directors and all executive and other committee meetings of
the Board of Directors and shall provide to WMF and Whitney and Albion I, Albion
II and Equitable the same information concerning the Company, and access
thereto, provided to members of the Company's Board of Directors and such
committees. If, however, in connection with the consideration or deliberation by
the Company's Board of Directors of the commencement, prosecution or defense of
a claim against one or more of the Purchasers relating to the Transaction
Documents, the Company's Board of Directors conclude in good faith that, in the
exercise of their fiduciary duty to the Company and its shareholders, such
deliberation or consideration must occur without the presence of either or both
of the Whitney Designee and/or the Albion/Equitable Designee, the Company's
Board of Directors shall so advise such designees, who shall recuse themselves
from such portion of the meeting at

                                       42
<PAGE>   46

which such consideration or deliberation occurs. Upon conclusion of such
consideration or deliberation, such designees shall be permitted to return to
the meeting. The reasonable travel expenses incurred by any Whitney Designee
(and the Albion/Equitable Designee) in attending any board or committee meetings
shall be reimbursed by the Company to the extent consistent with the Company's
then existing policy of reimbursing directors generally for such expenses.
Notwithstanding any other provision of this Agreement, (i) the rights granted
under this Section 8.11 to WMF and Whitney, and to Albion I, Albion II and
Equitable are personal to such parties and shall not be transferred to any
successor, holder, transferee or assignee of the Notes or Warrants, or the
Common Stock underlying such Warrants (ii) the right of WMF and Whitney to
appoint the Whitney designee shall terminate at such time as WMF, together with
its Affiliates, cease to hold Notes having an aggregate principal amount of
$12,500,000, exclusive of any optional prepayment of a portion of the WMF Note
pursuant to Section 4 thereof, and (iii) the right of Albion I, Albion II and
Equitable to appoint the Albion/Equitable Designee shall terminate at such time
as Albion I, Albion II and Equitable, together with their respective Affiliates,
cease to hold Notes having an aggregate principal amount of $12,500,000,
exclusive of any optional prepayment of a portion of the Albion/Equitable Notes
pursuant to Section 4 thereof.

                                   ARTICLE 9

                               NEGATIVE COVENANTS
                               ------------------

     Until the payment by the Company of all principal of and interest on the
Notes and all other amounts due at the time of payment of such principal and
interest to the Purchasers under this Agreement and the other Transaction
Documents, including, without limitation, all fees, expenses and amounts due at
such time in respect of indemnity obligations under Article 7, the Company
hereby covenants and agrees with the Purchasers as follows:

     9.1  FUNDAMENTAL CHANGES; CONSOLIDATIONS, MERGERS AND ACQUISITIONS.

          (a) The Company shall not, and shall not permit any of its
Subsidiaries directly or indirectly to: (i) amend, modify or waive any material
term or provision of its Certificate of Incorporation, By-laws or other
organizational or governing agreements and documents, unless required by law;
(ii) enter into any transaction of merger or consolidation except for Approved
Acquisitions; (iii) liquidate, wind-up or dissolve itself (or suffer any
liquidation or dissolution); or (iv) acquire by purchase or otherwise all or any
substantial part of the business or assets of any other Person, except for
Approved Acquisitions.

          (b) The following transactions shall not be prohibited by Section
9.1(a):

              (i) any Subsidiary of the Company may be merged or consolidated
with or into the Company (PROVIDED that the Company shall be the continuing or
surviving corporation) or with or into any Wholly Owned Subsidiary Guarantor
(PROVIDED that the Wholly Owned Subsidiary Guarantor shall be the continuing or
surviving corporation);

                                       43
<PAGE>   47

                (ii) any Subsidiary of the Company may dispose of any or all of
its assets (upon voluntary liquidation or otherwise) to the Company or any
Wholly Owned Subsidiary Guarantor; or

                (iii) any Subsidiary may liquidate or dissolve into the Company
or any Wholly Owned Subsidiary Guarantor if the Company determines in good faith
that such liquidation or dissolution is in the best interests of the Company;

PROVIDED, HOWEVER, that in each such case described in clauses (i) through (ii)
no Default or Event of Default, both before and after giving effect to such
transaction, shall have occurred and be continuing under any of the Transaction
Documents and no such transaction would (x) result in tax consequences that
could reasonably be expected to have a material adverse effect on the Condition
of the Company, (y) if all of the Subsidiaries of the Company were dissolved and
liquidated immediately following such transaction, result in the Company
receiving net assets having a value less than that of the net assets that would
have been received by the Company if such liquidation occurred immediately prior
to such transaction; or (z) materially disadvantage the Purchasers.

     9.2  TRANSACTIONS WITH AFFILIATES. Except in the ordinary course of
business and consistent with past practices, the Company shall not, and shall
not permit any of its Subsidiaries to, (a) enter into any transaction or
agreement or other Contractual Obligation with, or make any payment (other than
pursuant to agreements existing on the date hereof or subsequently approved by
the Purchasers) to, any Affiliate, other than a Wholly Owned Subsidiary
Guarantor, (b) amend or terminate any existing agreement with any Affiliate,
other than a Wholly Owned Subsidiary Guarantor, (c) purchase from or provide to
an Affiliate, other than a Wholly Owned Subsidiary Guarantor, any selling,
general, management or administrative services, (d) directly or indirectly make
any sales to or purchases from an Affiliate, other than a Wholly Owned
Subsidiary Guarantor, or (e) increase the compensation being paid to an
Affiliate, other than a Wholly Owned Subsidiary Guarantor.

     9.3  NO INCONSISTENT AGREEMENTS. None of the Company nor any of its
Subsidiaries shall enter into any Contractual Obligation or enter into any
amendment or other modification to any currently existing Contractual Obligation
of the Company, or any of their Subsidiaries, which by its terms restricts or
prohibits the ability of the Company to pay the principal of or interest on the
Notes or to fully satisfy all of the obligations under the Transaction Documents
of the Company or any of its Subsidiaries.

     9.4  LIMITATION ON INDEBTEDNESS. The Company shall not, and shall not
cause, suffer or permit any of its Subsidiaries to, directly or indirectly,
collectively and in the aggregate, issue, assume or otherwise incur any
Indebtedness, other than:

          (a) Indebtedness created under this Agreement;

          (b) Senior Indebtedness, up to an aggregate outstanding principal
amount of $260,000,000, or other Indebtedness other than Capital Lease
Obligations, up to an aggregate outstanding principal amount of $2,000,000, in
either case inclusive of Indebtedness listed on SCHEDULE 5.26;

                                       44
<PAGE>   48

          (c) Non-current liabilities for post-employment healthcare and other
insurance benefits;

          (d) Trade payables and accrued expenses, in each case arising in the
ordinary course of business;

          (e) Indebtedness secured by a Lien permitted under Section 9.5;

          (f) Indebtedness between and/or among the Company and any Wholly-Owned
Subsidiary Guarantors;

          (g) Indebtedness between and/or among the Company and any Subsidiary
that is not a Wholly-Owned Subsidiary Guarantor (or among any Subsidiary that is
not a Wholly Owned Subsidiary Guarantor and any Wholly Owned Subsidiary
Guarantor), PROVIDED that the obligations of such Indebtedness shall:

                    (i) be subordinated in right of payment to all Indebtedness
          under the Note and this Agreement from and after such time as any
          portion of the Indebtedness under the Note and this Agreement shall
          become due and payable (whether at stated maturity, by acceleration or
          otherwise); and

                    (ii) have such other terms and provisions as the Purchasers
          may reasonably require; and

          (h) Refinancings, refundings or extensions of Senior Indebtedness,
PROVIDED, that any such refinancings, refundings or extensions shall not be
incurred from any Person other than a bank, savings and loan association,
insurance company, pension fund, mutual fund, commercial finance company or
institutional lender having total assets (together with its Affiliates) in
excess of $500,000,000 and shall not:

                    (i) exceed the principal amount permitted under Section
          9.4(b) hereof;

                    (ii) shorten the maturity (or weighted average life to
          maturity) of such Indebtedness or convert a revolving credit facility
          into a facility which provides for the amortization of principal;

                    (iii) increase the interest rate applicable to such
          Indebtedness;

                    (iv) upon the occurrence and during the continuance of an
          Event of Default, cause any covenants or undertakings (whether
          affirmative or negative) of the Company or its Subsidiaries in respect
          of such Indebtedness to be more restrictive than such covenants or
          undertakings had been prior to such refinancing, refunding or
          extension;

                    (v) facilitate the exercise or enforcement of any remedies
          of any obligee of such Indebtedness in respect of any default or event
          of default thereunder;

                                       45
<PAGE>   49

                    (vi) materially and adversely affect any obligations under
          the Transaction Documents to Purchasers;

                    (vii) result in any amendments or modifications of any of
          the subordination provisions applicable to such Indebtedness.

          (i) Interest rate protection arrangements or hedging devices entered
into by the Company and its Subsidiaries required under the Senior Loan
Documents.

          (j) Indebtedness incurred pursuant to an Approved Acquisition;

          (k) Indebtedness in respect of taxes, assessments, governmental
charges or levies and claims for labor, materials and supplies to the extent
that payment therefore shall not at the time be required to be made in
accordance with the provisions of Section 8.3;

          (l) Indebtedness in respect of judgments or awards that have been in
force for less than the applicable period for taking an appeal so long as
execution is not levied thereunder or in respect of which any of the Company or
any of its Subsidiaries shall at the time in good faith be prosecuting an appeal
or proceedings for review and in respect of which a stay of execution shall have
been obtained pending such appeal or review;

          (m) Endorsements for collection, deposit or negotiation and warranties
of products or services, in each case incurred in the ordinary course of
business.

          (n) Capital Lease Obligations not exceeding $8,000,000 in aggregate
amount at any time outstanding; or

          (o) Indebtedness incurred in connection with (i) the acquisition after
the Closing Date of any real or personal property by any of the Borrowers or
their Subsidiaries, and (ii) the issuance by any of the Company or any of its
Subsidiaries of any industrial revenue bonds, industrial development bonds or
similar instruments, PROVIDED that the aggregate principal amount of
Indebtedness of the Company and its Subsidiaries incurred pursuant to this
clause (o) shall not exceed the aggregate amount of $10,000,000 at any one time.

     9.5  LIMITATION ON LIENS. The Company, will not, and will not permit any of
its Subsidiaries, directly or indirectly, to create, incur, assume or permit to
exist any Lien on or with respect to any property or asset (including, without
limitation, any document or instrument with respect to goods or accounts
receivable) of the Company or its Subsidiaries, whether now owned or hereafter
acquired, or any income or profits therefrom, except Permitted Encumbrances.
"PERMITTED ENCUMBRANCES" means the following:

          (a) Liens for Taxes, assessments or other governmental charges which
are not yet due and payable or which are being contested in good faith with a
reserve or other appropriate provision having been made therefor;

          (b) Liens of landlords, carriers, warehousemen, mechanics, materialmen
and other similar liens imposed by law, which are incurred in the ordinary
course of business for sums not more than thirty (30) days delinquent or which
are being contested in good faith;

                                       46
<PAGE>   50

PROVIDED that a reserve or other appropriate provision shall have been made
therefor and the aggregate amount of such Liens is less than $10,000,000;

          (c) Liens (other than any Lien imposed under or in connection with
ERISA) incurred or deposits made in the ordinary course of business in
connection with workers' compensation, unemployment insurance and other types of
social security, or to secure the performance of tenders, statutory obligations,
surety, stay, customs and appeal bonds, bids, leases, government contracts,
trade contracts, performance and return of money bonds and other similar
obligations (exclusive of obligations for the payment of borrowed money);

          (d) Liens for purchase money obligations to acquire assets; PROVIDED
that:

                    (i) each such Lien attaches to such asset concurrently with
          or within 10 days after acquisition thereof;

                    (ii) does not exceed the purchase price of such asset; and

                    (iii) the Indebtedness secured by all such Liens, shall not
          exceed $4,000,000; and

                    (iv) each such Lien encumbers only the asset so purchased;

          (e) Any attachment or judgment Lien not constituting an Event of
Default;

          (f) Leases or subleases granted to others not interfering in any
material respect with the business of the Company or any of its Subsidiaries;

          (g) Easements, rights of way, restrictions and other similar charges
or encumbrances not interfering in any material respect with the ordinary
conduct of the business of the Company or any of its Subsidiaries;

          (h) Liens existing on the date hereof and renewals and extensions
thereof, which Liens are set forth on SCHEDULE 5.26 hereto; and

          (i) Liens granted in favor of the Administrative Agent and Lenders
under the Senior Credit Documents.

     9.6  DISPOSITIONS OF ASSETS. Except for items listed on SCHEDULE 9.6, the
Company will not, and will not permit any of its Subsidiaries, directly or
indirectly, to convey, sell (pursuant to a sale/leaseback or otherwise), lease,
sublease, transfer or otherwise dispose of, or grant any Person an option to
acquire, in one transaction or a series of transactions, any of its property,
business or assets, or the capital stock of or other equity interests in any of
its Subsidiaries, whether now owned or hereafter acquired, except for:

          (a) Bona fide sales of inventory, including real estate acquired in
the ordinary course of business, to customers for fair value in the ordinary
course of business and dispositions of obsolete equipment not used or useful in
the business;

                                       47
<PAGE>   51

          (b) Asset Dispositions if all of the following conditions are met:

                    (i) the market value of assets sold or otherwise disposed of
          (by the Company and its Subsidiaries taken as a whole) in any fiscal
          year do not exceed $500,000;

                    (ii) the sale price received is at least equal to the fair
          market value of such assets;

                    (iii) at least 75% of the consideration received is Cash;

                    (iv) after giving effect to the sale or other disposition of
          the assets included within the Asset Disposition and the repayment of
          Indebtedness with the proceeds thereof, the Company would be in
          compliance on a pro forma basis with the covenants set forth in
          Section 9.8 hereof recomputed for the most recently ended month for
          which information is available and is in compliance with all other
          terms and conditions of this Agreement; and

                    (v) no Event of Default then exists or shall result from
          such sale or other disposition.

     9.7  LIMITATIONS ON RESTRICTED PAYMENTS. The Company will not make, or
permit any of its Subsidiaries to make, any Restricted Payment, EXCEPT that, so
long as no default or Event of Default under the Notes has occurred and is
continuing or would result therefrom, the Company may declare and pay dividends
on or in respect of any shares of its capital stock in an aggregate amount not
to exceed $2,000,000 paid in any period of twelve (12) consecutive months.

     9.8  FINANCIAL COVENANTS. The Company covenants and agrees that until
payment in full of all Indebtedness hereunder and under the Notes, the Company
shall comply with and shall cause each of its Subsidiaries to comply with all
covenants in this Section 9.8 applicable to such Person. Compliance with the
covenants in this Section 9.8 shall be determined on a consolidated basis in
accordance with GAAP consistently applied, unless explicitly stated otherwise.

          (a) INTEREST COVERAGE. The Company shall not permit the ratio of
Consolidated EBITDA to Consolidated Total Interest Expense for the Company and
its Subsidiaries, on a consolidated basis, for any twelve (12) month period
ending on the last day of a fiscal quarter during any of the periods set forth
below to be less than the ratio set forth below for such period:

                      PERIOD                                    RATIO

Closing Date to and including September 30, 2001              1.50:1.00
October 1, 2001 to and including September 30, 2002           1.75:1.00
October 1, 2002 to and including September 30, 2003           2.00:1.00
October 1, 2003 and thereafter                                2.25:1.00

                                       48
<PAGE>   52

          (b) FIXED CHARGE COVERAGE. The Company shall not permit the ratio of
(i) Consolidated EBITDA for any twelve (12) month period ending on the last day
of a fiscal quarter during any of the periods set forth below, less Capital
Expenditures for such period, to (ii) the sum of Consolidated Total Interest
Expense for such period and the aggregate amount of payments of principal of any
Funded Indebtedness actually made or required to be made during such period, to
be less than the ratio set forth below for such period:

                      PERIOD                                   RATIO

Closing Date to and including March 31, 2002                 1.10:1.00
April 1, 2002 to and including June 30, 2003                 1.15:1.00
July 1, 2003 and thereafter                                  1.30:1.00

          (c) TOTAL LEVERAGE TEST. The Company shall not permit the ratio of
Funded Indebtedness as of the last day of any fiscal quarter during any of the
periods set forth below to Consolidated Adjusted EBITDA for the twelve (12)
month period ending on the last day of such fiscal quarter, with respect to the
Company and its Subsidiaries, on a consolidated basis, to be greater than the
ratio set forth below for such period:

                      PERIOD                                   RATIO

Closing Date to and including June 30, 2001                  5.35:1.00
July 1, 2001 to and including June 30, 2002                  5.15:1.00
July 1, 2002 to and including March 31, 2003                 5.00:1.00
April 1, 2003 to and including December 31, 2003             4.75:1.00
January 1, 2004 and thereafter                               4.50: 1.00

          (d) CAPITAL EXPENDITURES. The Company shall not permit aggregate
Capital Expenditures of the Company and its Subsidiaries in any fiscal year to
exceed the amounts set forth below for each corresponding period.

                      PERIOD                                    AMOUNT

Fiscal Year ending March 31, 2001                            $12,000,000
Fiscal Year ending March 31, 2002                            $13,000,000
Fiscal Year ending March 31, 2003 and thereafter             $15,000,000

          (e) MINIMUM NET WORTH TEST. The Company and its Subsidiaries have a
Consolidated Net Worth on the date hereof of at least $100,000,000. The Company
will not permit Consolidated Net Worth at any time to be less than $100,000,000,
as such amount shall be increased at the end of each Fiscal quarter thereafter
(commencing with the fiscal quarter ending on or around September 30 2000) for
the Fiscal quarter thereafter, by the addition of 75% of Consolidated Net Income
earned after June 30, 2000.

     9.9  EMPLOYEE BENEFIT PLANS. Except with respect to obligations in
existence as of the Closing Date, the Company shall not, and shall not permit
any of its Subsidiaries or any ERISA Affiliate, without the prior approval of
the Purchasers, (a) to establish or contribute to any employee benefit plan
(within the meaning of Section 3(3) of ERISA) or other employee

                                       49
<PAGE>   53

benefit arrangement which (i) is subject to Title IV of ERISA or is otherwise a
Defined Benefit Plan, Multiemployer Plan or multiple employer plan (within the
meaning of Section 413(c) of the Code); or (ii) provides post-retirement welfare
benefits or "parachute payments" (within the meaning of Section 280G(b) of the
Code); or (b) to amend any Plan if the effect of such amendment would cause such
Plan to be a plan or arrangement described in clause (a)(i) hereof or to provide
any of the benefits described in clause (a)(ii) hereof.

     9.10  LIMITATION ON BUSINESS OF THE COMPANY. Neither the Company nor any of
its Subsidiaries shall materially change the business of the Company or such
Subsidiaries from the Business.

     9.11  INVESTMENTS. Except in the ordinary course of business and consistent
with past practices, the Company shall not, and shall not permit any of its
Subsidiaries, directly or indirectly, to make or own any Investment in any
Person except: (a) Investments in Cash Equivalents; provided that such Cash
Equivalents are not subject to setoff rights in favor of the issuing bank
arising from any existing banking relationship; (b) intercompany loans and
investments to the extent permitted under Section 9.2 or 9.4; (c) loans and
advances to employees for moving, entertainment, travel and other similar
expenses in the ordinary course of business not to exceed $250,000 in the
aggregate at any time outstanding; (d) Investments of less than $100,000,
provided that the aggregate of such Investments is less than $1,000,000; (e)
Investments in existence on the Closing Date; and (f) as provided on SCHEDULE
9.11.

     9.12  CONTINGENT OBLIGATIONS. The Company shall not, nor shall it permit
any of their Subsidiaries directly or indirectly to create or become or be
liable with respect to any Contingent Obligation except those; (a) resulting
from endorsements of negotiable instruments for collection in the ordinary
course of business; (b) arising under this Agreement; (c) existing on the
Closing Date and as described in SCHEDULE 9.12 annexed hereto; (d) arising with
respect to customary indemnification and purchase price adjustment obligations
incurred in connection with any Asset Dispositions; (e) incurred in the ordinary
course of business with respect to surety and appeal bonds, performance and
return-of-money bonds and similar obligations not exceeding any time outstanding
$250,000 in aggregate liability; (f) incurred with respect to any Indebtedness
permitted pursuant to Section 9.04 hereof; and (g) not otherwise permitted by
clauses (a) through (f) above so long as any such Contingent Obligations, in the
aggregate at any time outstanding do not exceed $250,000.

     9.13  MANAGEMENT FEES AND COMPENSATION. The Company shall not, nor shall it
permit any of its Subsidiaries, directly or indirectly, to pay any management,
consulting or similar fees to any Affiliate or to any director, officer or
employee of the Company or any of its Subsidiaries except (i) reasonable
director's fees and expenses, (ii) reasonable employee compensation (including
reasonable severance arrangements), (iii) agreements valued at no more than
$60,000 per year, per individual, and (iv) as set forth on SCHEDULE 9.13.
Notwithstanding the foregoing, no payments may be made with respect to any items
set forth on SCHEDULE 9.13 upon the incurrence and during the continuation of a
default or an Event of Default.

     9.14  FISCAL YEAR. The Company and its Subsidiaries shall not change their
fiscal year without the prior consent of the Purchasers.

                                       50
<PAGE>   54

     9.15  PRESS RELEASE; PUBLIC OFFERING MATERIALS. Neither the Company nor any
of its Affiliates shall, nor shall the Company or any of its Affiliates permit
any of their respective Subsidiaries to disclose the name of any Purchaser or
any of its Affiliates in any press release or in any prospectus, proxy statement
or other materials filed with the governmental entity relating to a public
offering of the capital stock or other equity interest of the Company, any of
its Affiliates or any of their respective Subsidiaries without such Purchaser's
or such Affiliate's prior written consent which shall not be unreasonably
withheld or as required under any Requirement of Law of the rules of any Stock
Exchange.

     9.16  SUBSIDIARIES. Except as permitted in Section 8.1(j), the Company
shall not, nor shall any of the Subsidiaries be permitted to, directly or
indirectly, establish, create or acquire any new Subsidiary.

     9.17  NO NEGATIVE PLEDGES. Except pursuant to the existing agreements with
the creditors of the Senior Indebtedness, the Company will not, and will not
permit any of its Subsidiaries, directly or indirectly to enter into or assume
any agreement prohibiting the creation or assumption of any Lien upon its
properties or assets, whether now owned or hereafter acquired.

     9.18  NO RESTRICTIONS ON SUBSIDIARY DISTRIBUTIONS TO THE COMPANY. Except
pursuant to the existing agreements with the creditors of the Senior
Indebtedness and except as otherwise provided herein, the Company will not, and
will not permit any of its Subsidiaries, directly or indirectly to create or
otherwise cause or suffer to exist or become effective any consensual
encumbrance or restriction of any kind on the ability of the Company or any such
Subsidiary to: (a) pay dividends or make any other distribution on any of such
Subsidiary's capital stock (or equity interest) owned by the Company or any
Subsidiary; (b) subject to subordination provisions for the benefit of
Purchasers, pay any Indebtedness owed to the Company or any other Subsidiary;
(c) make loans or advances to the Company or any other Subsidiary; or (d)
transfer any of its property or assets to the Company or any other Subsidiary.

     9.19  TAX ELECTION. The Company will not make any elections to treat the
Company as anything other than an association taxable as a corporation for U.S.
federal income tax purposes.

                                   ARTICLE 10

                                   PREPAYMENT
                                   ----------

     10.1  OPTIONAL PREPAYMENT. Subject to Section 7 of the Notes and the
provisions of the Subordination Agreement, the Company may prepay outstanding
principal (together with accrued interest) on the Note in accordance with the
"Optional Prepayment" provisions set forth in Section 4 of the Notes.

     10.2  MANDATORY PREPAYMENT. Subject to Section 7 of the Notes and the
provisions of the Subordination Agreement, the Company shall prepay outstanding
principal

                                       51
<PAGE>   55

(together with accrued interest) on the Note in accordance with the "MANDATORY
PREPAYMENT" provisions set forth in Section 3 of the Notes.

                                   ARTICLE 11

                                  MISCELLANEOUS
                                  -------------

     11.1  SURVIVAL OF REPRESENTATIONS AND WARRANTIES. All of the
representations and warranties made herein shall survive the execution and
delivery of this Agreement, any investigation by or on behalf of the Purchasers,
acceptance of the Securities and payment therefor, until such time as the Notes
have been paid in full and all other obligations under the Transaction Documents
have been satisfied in full.

     11.2  NOTICES. All notices, demands and other communications provided for
or permitted hereunder shall be made in writing and shall be by registered or
certified first-class mail, return receipt requested, telecopier (with receipt
confirmed), courier service or personal delivery:

           a.       if to the Company:

                    TransTechnology Corporation
                    150 Allen Road
                    Liberty Corner, NJ  07938
                    Telecopier:  (908) 903-9691
                    Attention:   Mr. Joseph Spanier

                    with a copy to:

                    Hahn Loeser & Parks LLP
                    3300 BP Tower
                    200 Public Square
                    Cleveland, OH 44114
                    Telecopier:  (216) 241-2824
                    Attention:   F. Ronald O'Keefe, Esq.

           b.       if to WMF:
                    J. H. Whitney Mezzanine Fund, L.P.
                    177 Broad Street, 15th Floor
                    Stamford, Connecticut 06901
                    Telecopier No.:  (203) 973-1422
                    Attention:  Mr. David A. Scherl
                                Mr. Daniel J. O'Brien

                    with a copy to:

                    Morrison Cohen Singer & Weinstein, LLP

                                       52
<PAGE>   56

                    750 Lexington Avenue
                    New York, New York  10022
                    Telecopier No.:  (212) 735-8704
                    Attention:  Andrew M. Arsiotis, Esq.
                                Jack Levy, Esq.

           c.       if to Albion I:
                    Albion Alliance Mezzanine Fund I, L.P.
                    1345 Avenue of the Americas
                    New York, New York  10105
                    Telecopier No.:  (212) 969-6659
                    Attention:  James R. Wilson

                    with a copy to:

                    Morrison Cohen Singer & Weinstein, LLP
                    750 Lexington Avenue
                    New York, New York  10022
                    Telecopier No.:  (212) 735-8704
                    Attention:  Andrew M. Arsiotis, Esq.
                                Jack Levy, Esq.

           d.       If to Albion II:
                    Albion Alliance Mezzanine Fund II, L.P.
                    1345 Avenue of the Americas
                    New York, New York  10105
                    Telecopier No.:  (212) 969-6659
                    Attention:  James R. Wilson

                    with a copy to:

                    Morrison Cohen Singer & Weinstein, LLP
                    750 Lexington Avenue
                    New York, New York  10022

                    Telecopier No.:  (212) 735-8704
                    Attention:  Andrew M. Arsiotis, Esq.
                                Jack Levy, Esq.

           e.       if to Equitable:
                    The Equitable Life Assurance Society of the United States
                    c/o Albion Alliance
                    1345 Avenue of the Americas
                    New York, New York  10105
                    Telecopier No.:  (212) 969-6659

                                       53
<PAGE>   57

                    Attention:  James R. Wilson

                    with a copy to:

                    Morrison Cohen Singer & Weinstein, LLP
                    750 Lexington Avenue
                    New York, New York  10022
                    Telecopier No.:  (212) 735-8704
                    Attention:  Andrew M. Arsiotis, Esq.
                                Jack Levy, Esq.

           f.       if to Fleet:
                    Fleet Corporate Finance, Inc.
                    One Federal Street
                    Boston, MA  02110
                    Telecopier No.:  (617) 434-4970
                    Attention:  Bradley Stewart

                    with a copy to:
                    Morrison Cohen Singer & Weinstein, LLP
                    750 Lexington Avenue
                    New York, New York  10022
                    Telecopier No.:  (212) 735-8704
                    Attention:  Andrew M. Arsiotis, Esq.
                                Jack Levy, Esq.

           g.       If to Citizens:
                    Citizens  Capital, Inc.
                    28 State Street
                    Boston, MA  02109
                    Telecopier No.:  (617) 725-5630
                    Attention:  Randall L. Kutch

                    with a copy to:

                    Morrison Cohen Singer & Weinstein, LLP
                    750 Lexington Avenue
                    New York, New York  10022
                    Telecopier No.:  (212) 735-8704
                    Attention:  Andrew M. Arsiotis, Esq.
                                Jack Levy, Esq.

     All such notices and communications shall be deemed to have been duly
given: when delivered by hand, if personally delivered; when delivered by
courier, if delivered by commercial overnight courier service; if mailed, five
Business Days after being deposited in the mail, postage prepaid; or if
telecopied, when receipt is acknowledged.

                                       54
<PAGE>   58

     11.3  SUCCESSORS AND ASSIGNS. This Agreement shall inure to the benefit of
and be binding upon the successors and permitted assigns of the parties hereto.
Subject to applicable securities laws, the Purchasers may assign any of their
respective rights (except as provided in Section 8.11) under any of the
Transaction Documents to any Person and any holder of the Notes, the Warrants or
the Common Stock issuable upon exercise of the Warrants may assign, in whole or
in part, the Notes, or Warrants or the Common Stock issuable upon exercise of
the Warrants to any Person. The foregoing sentence notwithstanding, no Purchaser
shall assign any of its rights under any of the Transaction Documents or the
Common Stock issuable upon exercise of the Warrants to any competitor of the
Company without the prior written consent of the Company. No equity or debt fund
shall be deemed to be a competitor solely as a result of such fund having
invested in a competitor of the Company. The Company may not assign any of its
rights, or delegate any of their obligations, under this Agreement without the
prior written consent of the Purchasers, and any such purported assignment by
the Company without the written consent of the Purchasers shall be void and of
no effect. Except as provided in Article 7, no Person other than the parties
hereto and their successors and permitted assigns is intended to be a
beneficiary of any of the Transaction Documents.

     11.4  AMENDMENT AND WAIVER.

           (a) No failure or delay on the part of any of the parties hereto in
exercising any right, power or remedy hereunder shall operate as a waiver
thereof, nor shall any single or partial exercise of any such right, power or
remedy preclude any other or further exercise thereof or the exercise of any
other right, power or remedy. The remedies provided for herein are cumulative
and are not exclusive of any remedies that may be available to the parties
hereto at law, in equity or otherwise.

           (b) No amendment, supplement or modification of or to any provision
in this Agreement or any of the Notes, or any waiver of any such provision or
consent to any departure by any party from the terms of any such provision may
be made orally.

           (c) Any (i) amendment, supplement or modification hereto or to any of
the Notes, (ii) consent hereunder or under any of the Notes or (iii) waiver of
any provision (collectively, "MODIFICATION") of this Agreement or of any of the
Notes shall be effective as to all holders of the Notes if given pursuant to a
written agreement signed by the Company and the holders of at least a majority
of the principal amount of the Outstanding Notes which shall include at least
two holders of Notes which are not Affiliates (the "REQUISITE NOTEHOLDERS");
PROVIDED, HOWEVER, that no Modification with respect to this Agreement or any of
the Notes shall (1) decrease, forgive or change the amount of principal or
premium of such Notes, (2) extend the originally scheduled time of payment or
prepayment of the principal or premium of such Notes or the time of payment of
interest on such Notes, (3) reduce the rate of interest payable on such Notes,
(4) permit any further subordination of the principal or interest of such Notes
beyond that provided under the Senior Credit Documents, or (5) release any
Guarantor from any of its obligations under the Subsidiary Guaranty, without the
prior written consent of the holder of each Note. Any Modification with respect
to this Agreement or any of the Warrants shall be effective as to all holders of
Warrants if given pursuant to a written agreement signed by the Company and the
holders of Warrants exercisable into at least a majority of the shares of Common
Stock for which all of the Warrants are then exercisable in the aggregate, which
shall

                                       55
<PAGE>   59

include at least two holders of the Warrants which are not Affiliates. No
Modification of any of the provisions of this Section 11 shall be effective
without the prior written consent of all of the parties hereto.

           (d) Any amendment, supplement or modification of or to any provision
of this Agreement or any Note, any waiver of any provision of this Agreement or
any Note, and any consent to any departure by any party from the terms of any
provision of this Agreement or any Note made or given in conformity herewith,
shall (i) apply to all of the parties hereto and their successors and assigns
and (ii) be effective only in the specific instance and for the specific purpose
for which made or given. Except where notice is specifically required by this
Agreement, no notice to or demand on the Company in any case shall entitle the
Company to any other or further notice or demand in similar or other
circumstances.

     11.5  SIGNATURES; COUNTERPARTS. Telefacsimile transmissions of any executed
original document and/or retransmission of any executed telefacsimile
transmission shall be deemed to be the same as the delivery of an executed
original. At the request of any party hereto, the other parties hereto shall
confirm telefacsimile transmissions by executing duplicate original documents
and delivering the same to the requesting party or parties. This Agreement may
be executed in any number of counterparts and by the parties hereto in separate
counterparts, each of which when so executed shall be deemed to be an original
and all of which taken together shall constitute one and the same agreement.

     11.6  HEADINGS. The headings in this Agreement are for convenience of
reference only and shall not limit or otherwise affect the meaning hereof.

     11.7  GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY, CONSTRUED IN
ACCORDANCE WITH, AND ENFORCED UNDER, THE LAW OF THE STATE OF NEW YORK APPLICABLE
TO AGREEMENTS OR INSTRUMENTS ENTERED INTO AND PERFORMED ENTIRELY WITHIN SUCH
STATE.

     11.8  DETERMINATIONS, REQUEST OR CONSENTS. Subject to the provisions of
Section 11.4, all determinations, requests, consents, waivers or amendments to
be made by the Purchasers in their respective opinions or judgments or with
their approval or otherwise pursuant to the Transaction Documents shall be made
(i) with respect to the Notes, by the holders of the Notes, and (ii) with
respect to the Warrants, by the holders of the Warrants.

     11.9  JURISDICTION, JURY TRIAL WAIVER, ETC.

           (a) EACH PARTY TO THIS AGREEMENT HEREBY IRREVOCABLY AGREES THAT ANY
LEGAL ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE
NOTES, THE WARRANTS OR ANY AGREEMENTS OR TRANSACTIONS CONTEMPLATED HEREBY OR
THEREBY MAY BE BROUGHT IN THE COURTS OF THE STATE OF NEW YORK OR OF THE UNITED
STATES OF AMERICA FOR THE SOUTHERN DISTRICT OF NEW YORK AND HEREBY EXPRESSLY
SUBMITS TO THE PERSONAL JURISDICTION AND VENUE OF SUCH COURTS FOR THE PURPOSES
THEREOF AND EXPRESSLY WAIVES ANY CLAIM OF IMPROPER VENUE AND ANY CLAIM THAT SUCH
COURTS ARE AN INCONVENIENT

                                       56
<PAGE>   60

FORUM. EACH PARTY HEREBY IRREVOCABLY CONSENTS TO THE SERVICE OF PROCESS OF ANY
OF THE AFOREMENTIONED COURTS IN ANY SUCH SUIT, ACTION OR PROCEEDING BY THE
MAILING OF COPIES THEREOF BY REGISTERED OR CERTIFIED MAIL, POSTAGE PREPAID, TO
ITS ADDRESS SET FORTH IN SECTION 11.02, SUCH SERVICE TO BECOME EFFECTIVE 10 DAYS
AFTER SUCH MAILING.

           (b) EACH OF THE COMPANY AND ITS SUBSIDIARIES HEREBY WAIVES ITS RIGHT
TO A JURY TRIAL WITH RESPECT TO ANY ACTION OR CLAIM ARISING OUT OF ANY DISPUTE
IN CONNECTION WITH THIS AGREEMENT, THE NOTES, THE WARRANTS OR ANY OF THE OTHER
TRANSACTION DOCUMENTS, ANY RIGHTS OR OBLIGATIONS HEREUNDER OR THEREUNDER OR THE
PERFORMANCE OF SUCH RIGHTS AND OBLIGATIONS. EACH OF THE COMPANY AND ITS
SUBSIDIARIES (I) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY
PURCHASER HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH PURCHASER WOULD
NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVERS AND (II)
ACKNOWLEDGES THAT THE PURCHASERS HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT,
AND THE OTHER TRANSACTION DOCUMENTS TO WHICH THEY ARE PARTY BY, AMONG OTHER
THINGS, THE WAIVERS AND CERTIFICATIONS CONTAINED HEREIN.

     11.10  SEVERABILITY. If any one or more of the provisions contained in this
Agreement, or the application thereof in any circumstance, is held invalid,
illegal or unenforceable in any respect for any reason, the validity, legality
and enforceability of any such provision in every other respect and of the
remaining provisions hereof shall not be in any way impaired, unless the
provisions held invalid, illegal or unenforceable shall substantially impair the
benefits of the remaining provisions of this Agreement. The parties hereto
further agree to replace such invalid, illegal or unenforceable provision of
this Agreement with a valid, legal and enforceable provision that will achieve,
to the extent possible, the economic, business and other purposes of such
invalid, illegal or unenforceable provision.

     11.11  RULES OF CONSTRUCTION. Unless the context otherwise requires, "or"
is not exclusive, and references to sections or subsections refer to sections or
subsections of this Agreement.

     11.12  ENTIRE AGREEMENT. This Agreement, together with the exhibits and
schedules hereto and the other Transaction Documents, is intended by the parties
as a final expression of their agreement and intended to be a complete and
exclusive statement of the agreement and understanding of the parties hereto in
respect of the subject matter contained herein and therein. There are no
restrictions, promises, warranties or undertakings, other than those set forth
or referred to herein or therein. This Agreement, together with the exhibits and
schedules hereto, and the other Transaction Documents supersede all prior
agreements and understandings between the parties with respect to such subject
matter.

     11.13  CERTAIN EXPENSES. The Company will pay all reasonable expenses of
the Purchasers (including, without limitation, fees, charges and disbursements
of counsel) in connection with any amendment, supplement, modification or waiver
of or to any provision of this Agreement or any of the other Transaction
Documents or any documents relating thereto

                                       57
<PAGE>   61

(including, without limitation, a response to a request by the Company for the
Purchasers' consent to any action otherwise prohibited hereunder or thereunder),
or consent to any departure from, the terms of any provision of this Agreement
or such other documents.

     11.14  PUBLICITY. Except as may be required by applicable law, none of the
parties hereto shall issue a publicity release or announcement or otherwise make
any public disclosure concerning this Agreement or the transactions contemplated
hereby, without prior approval by the other party hereto. If any announcement is
required by law to be made by any party hereto, prior to making such
announcement such party will deliver a draft of such announcement to the other
parties and shall give the other parties an opportunity to comment thereon.
Notwithstanding the foregoing, each Purchaser and its Affiliates may list the
Company's name and logo, and describe the Company's business in their marketing
materials and may post such information on their website.

     11.15  FURTHER ASSURANCES. Each of the parties shall execute such documents
and perform such further acts (including, without limitation, obtaining any
consents, exemptions, authorizations, or other actions by, or giving any notices
to, or making any filings with, any Governmental Authority or any other Person)
as may be reasonably required or desirable to carry out or to perform the
provisions of this Agreement, including without limitation, any post-closing
assignment(s) by the Purchasers of a portion of the Securities to a Person not
currently a party hereto. In connection with any such post-closing assignment,
the Company shall enter into an intercreditor agreement with the Purchasers and
any subsequent holders of the Notes, on terms and conditions reasonably
satisfactory to all parties thereto.

     11.16  OBLIGATIONS OF THE PURCHASERS. Each Purchaser's obligations and the
obligations of the Company hereunder are subject to the execution and delivery
of this Agreement by the other Purchasers. The obligations of each Purchaser
shall be several and not joint and no Purchaser shall be liable or responsible
for the acts or omissions of any other Purchaser.

     11.17  NO STRICT CONSTRUCTION. The parties hereto have participated jointly
in the negotiation and drafting of this Agreement and the other Transaction
Documents. In the event an ambiguity or question of intent or interpretation
arises under any provision of this Agreement or any Transaction Document, this
Agreement or such other Transaction Document shall be construed as if drafted
jointly by the parties thereto, and no presumption or burden of proof shall
arise favoring or disfavoring any party by virtue of the authorship of any of
the provisions of this Agreement or any other Transaction Document. No knowledge
of, or investigation, including without limitation, due diligence investigation,
conducted by, or on behalf of, any Purchaser shall limit, modify or affect the
representations set forth in Article 5 of this Agreement or the right of any
Purchaser to rely thereon.

     11.18  CONFIDENTIALITY. Each of the Purchasers agrees, on behalf of itself
and each of its Affiliates, directors, officers, employees and representatives,
to use reasonable precautions to keep confidential, in accordance with its
customary procedures for handling confidential information of the same nature
and in accordance with safe and sound commercial practices, any non-public
information supplied to it by the Company or any of the Subsidiary Guarantors
pursuant to this Agreement that is identified by such Person as being
confidential at

                                       58
<PAGE>   62

the time the same is delivered to such Purchaser, PROVIDED that nothing herein
shall limit the disclosure of such information (a) after such information shall
have become public other than through a violation of this Section 11.18, (b) to
the extent required pursuant to a subpoena, civil investigative demand (or
similar process), order, statute, rule or other legal requirement promulgated or
imposed by a court or by a judicial, regulatory, self-regulatory or legislative
body, organization, agency or committee or otherwise in connection with any
judicial or administrative proceeding (including, without limitation, in
response to oral questions, interrogatories or requests for information or
documents), (c) to counsel, auditors or accountants for any of the Purchasers,
(d) to any regulatory authority having jurisdiction over any of the Purchasers,
(e) to any other Purchaser, (f) in connection with any litigation to which any
one or more of the Purchasers is a party, or in connection with the enforcement
of rights or remedies hereunder or under any of the Transaction Documents, (g)
to a Subsidiary, Affiliate, partner, director, officer or employee of such
Purchaser provided, such parties agree to be bound by provisions substantially
similar to this Section 11.18, (h) to any assignee or participant (or
prospective assignee or participant) permitted pursuant to Section 11.3 so long
as such assignee or participant agrees to be bound by the provisions herein, or
(i) with the consent of the Company. Each of the Purchasers agrees that it will
not buy, sell trade or otherwise dispose of any Common Stock of the Company
during any period that the Company has instructed its directors, officers and
employees that any trading is prohibited, provided that such Purchaser has
received notice in the same manner as the directors, officers and employees of
the Company, and further that it will not buy, sell, trade or otherwise purchase
or dispose of any Common Stock of the Company during the ten (10) consecutive
Business Days prior to August 29, 2001. Each of the Purchasers agrees that it
will not cause, induce or recommend to any of its Affiliates to buy, sell, trade
or otherwise dispose of any Common Stock of the Company during any period that
the Company has instructed its directors, officers and employees that any
trading is prohibited, provided that such Purchaser has received notice in the
same manner as the directors, officers and employees of the Company, or to buy,
sell, trade or otherwise purchase or dispose of any Common Stock of the Company
during the ten (10) consecutive Business Days prior to August 29, 2001. Each of
the Purchasers further agrees that it will, in accordance with its customary
practices, place the Common Stock of the Company on its restricted list of
securities, if any, which directors, officers and employees of such Purchaser
are instructed not to purchase or sell. If WMF on the one hand, or Albion I,
Albion II and Equitable ("ALBION/EQUITABLE"), on the other hand, shall have
notified the Company that WMF or Albion/Equitable, as appropriate, waives its
right to (i) have a WMF Designee and/or an Albion/Equitable Designee and under
Section 8.11 and (ii) access to the information provided to such designee
thereunder and to the Purchasers under Section 8.1, then the three preceding
sentences of this Section 11.18 shall cease to apply to WMF and/or
Albion/Equitable, as appropriate, for a period beginning on the date that is
fifteen (15) days following delivery of such notice to the Company until a date
on which WMF and/or Albion/Equitable, as appropriate, notifies the Company that
it has completed any contemplated transaction in the Company's Common Stock and
reinstates its rights under Section 8.1 and 8.11 (the "WAIVER PERIOD");
provided, however, that the contemplated restrictions on trading described above
during the ten (10) consecutive Business Days prior to August 29, 2001 shall
remain in effect during the Waiver Period.

     11.19  PRIOR NOTIFICATION. Unless specifically prohibited by applicable law
or court order, each of the Purchasers shall, prior to disclosure thereof,
notify the Company of any

                                       59
<PAGE>   63

request for disclosure of any such non-public information by any governmental
agency or representative thereof (other than any such request in connection with
an examination of the financial condition of such Purchaser by such governmental
agency) or pursuant to legal process, and shall consult with the Company on the
advisability of taking legally available steps to resist or narrow any such
request. In the event that such steps are not available or effective, or are
deemed inadvisable by counsel to such Purchaser, as the case may be, or in the
event that the Company waives compliance with the provisions of this Section
11.19, such Purchaser, and/or its respective representatives, as the case may
be, may disclose to any tribunal only the portion of such non-public information
which it is advised by counsel is legally required to be disclosed, and shall
exercise reasonable efforts to obtain assurances that confidential treatment
will be accorded such non-public information. Such Purchaser shall be entitled
to reimbursement from the Company for expense incurred by it or any Affiliated
Person, including the fees and expense of counsel, in connection with any action
taken pursuant to this Section 11.19.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

                                       60
<PAGE>   64

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

                                       TRANSTECHNOLOGY CORPORATION

                                       By:  /s/ Michael J. Berthelot
                                            -------------------------------
                                            Name:  Michael J. Berthelot
                                            Title:  President

                                       J. H. WHITNEY MEZZANINE FUND, L.P.

                                       By:  Whitney GP, L.L.C.

                                       By:  /s/ Joseph D. Carrabino, Jr.
                                            -------------------------------
                                            Name:  Joseph D. Carrabino, Jr.
                                                   A Managing Member

                                       ALBION ALLIANCE MEZZANINE FUND I, L.P.

                                       By:  Albion Alliance, LLC
                                            Its General Partner

                                       By:  /s/ James R. Wilson
                                            ------------------------------
                                            James R. Wilson
                                            Title: Senior Vice President

                                       ALBION ALLIANCE MEZZANINE FUND II, L.P.

                                       By:  AA MEZZ II GP,
                                            Its General Partner

                                       By:  Albion Alliance, LLC
                                            Its Sole Member

                                       61
<PAGE>   65

                                       By:  /s/ James R. Wilson
                                            --------------------------------
                                            James R. Wilson
                                            Title: Senior Vice President

                                       THE EQUITABLE LIFE ASSURANCE SOCIETY
                                       OF THE UNITED STATES

                                       By:  /s/ James R. Wilson
                                            --------------------------------
                                            James R. Wilson
                                            Title: Investment Officer

                                       FLEET CORPORATE FINANCE, INC.

                                       By:  /s/ Michael Browne
                                            -------------------------------
                                            Michael Browne
                                            Managing Director

                                       CITIZENS CAPITAL, INC.

                                       By:  /s/ Randall Kutch
                                            -------------------------------
                                            Name:   Randall Kutch
                                            Title:  Director

                [SIGNATURE PAGE TO SECURITIES PURCHASE AGREEMENT]

                                       62
<PAGE>   66

                                                                       Exhibit A

                       SENIOR SUBORDINATED PROMISSORY NOTE

                  THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF
                  1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY
                  NOT BE SOLD, TRANSFERRED, OR OTHERWISE DISPOSED OF EXCEPT
                  PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER SUCH ACT
                  AND APPLICABLE STATE SECURITIES LAWS OR PURSUANT TO AN
                  APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF
                  SUCH ACT AND SUCH LAWS

                  THIS NOTE AND THE INDEBTEDNESS EVIDENCED HEREBY ARE
                  SUBORDINATE TO THE SENIOR DEBT AS DEFINED IN, AND IN THE
                  MANNER AND TO THE EXTENT SET FORTH IN, AN INTERCREDITOR AND
                  SUBORDINATION AGREEMENTS DATED AS OF AUGUST ____, 2000 AMONG
                  THE BORROWER, THE PURCHASERS AND FLEET NATIONAL BANK, AS
                  ADMINISTRATIVE AGENT, AND EACH HOLDER OF THIS NOTE BY ITS
                  ACCEPTANCE HEREOF SHALL BE BOUND BY THE PROVISIONS OF SUCH
                  INTERCREDITOR AND SUBORDINATION AGREEMENT.

                  THE SUBORDINATED INDEBTEDNESS EVIDENCED BY THIS INSTRUMENT
                  RANKS PARI PASSU WITH CERTAIN OTHER SUBORDINATED INDEBTEDNESS
                  OF THE MAKER AND IS OTHERWISE SUBJECT TO CERTAIN OTHER
                  RESTRICTIONS SET FORTH IN THAT CERTAIN SUBORDINATED
                  INDEBTEDNESS INTERCREDITOR AGREEMENT, DATED AS OF AUGUST 29,
                  2000, BY AND AMONG THE MAKER HEREOF, THE PAYEE NAMED HEREIN,
                  CERTAIN OTHER HOLDER(S) OF INDEBTEDNESS OF THE MAKER AND THE
                  GUARANTORS OF SUCH INDEBTEDNESS, AS SUCH AGREEMENT MAY BE
                  AMENDED FROM TIME TO TIME.

                           TRANSTECHNOLOGY CORPORATION

                     16% SENIOR SUBORDINATED PROMISSORY NOTE
                               DUE AUGUST 29, 2005

$[__________]                                                 New York, New York
                                                               August 29, 2000
<PAGE>   67

         FOR VALUE RECEIVED, the undersigned, TransTechnology Corporation, a
Delaware corporation (the "BORROWER"), hereby promise to pay to the order of
[__________________] ("______"), [______________], or its registered assigns
(the "HOLDER"), the principal sum of [_______________] DOLLARS ($[____________])
on August 29, 2005, (the "MATURITY DATE"), with interest thereon from time to
time as provided herein.

         1. PURCHASE AGREEMENT. This Senior Subordinated Promissory Note (the
"NOTE") is issued by the Borrower, on the date hereof, pursuant to the
Securities Purchase Agreement (the "PURCHASE AGREEMENT"), dated as of August 29,
2000 by and between the Borrower, J.H. Whitney Mezzanine Fund L.P., Albion
Alliance Mezzanine Fund I, L.P., Albion Alliance Mezzanine Fund II, L.P., The
Equitable Life Assurance Society of the United States, Fleet Corporate Finance,
Inc., and Citizens Capital Incorporated (collectively, the "Purchasers"), and is
subject to the terms thereof. This Note, together with all other promissory
notes issued under the Purchase Agreement, and all promissory notes issued
pursuant to paragraph 2(b) and paragraph 12 hereof or thereof are hereinafter
referred to as the "NOTES." The Holder is entitled to the benefits of this Note
and the Purchase Agreement, as it relates to the Note, and may enforce the
agreements of the Borrower contained herein and therein and exercise the
remedies provided for hereby and thereby or otherwise available in respect
hereto and thereto. Capitalized terms used herein without definition are used
herein with the meanings ascribed to such terms in the Purchase Agreement.

         2. INTEREST. The Borrower promises to pay interest ("INTEREST") on the
principal amount of this Note at the rate of 16% per annum (the "INTEREST
RATE"). Interest on this Note shall accrue from and including the date of
issuance through and until repayment of the principal amount of this Note and
payment of all Interest in full, and shall be computed on the basis of a 360-day
year of twelve 30-day months. Interest shall be paid as follows:

         (a) BASIC INTEREST. The Borrower shall pay interest (the "BASIC
INTEREST") on the principal amount of this Note at the rate of 13% per annum
(the "BASIC INTEREST RATE"), quarterly on each March 31, June 30, September 30
and December 31 of each year or, if any such date shall not be a Business Day,
on the next succeeding Business Day to occur after such date (each date upon
which interest shall be so payable, an "INTEREST PAYMENT DATE"), beginning on
September 30, 2000, by wire transfer of immediately available funds to an
account at a bank designated in writing by the Holder. In the absence of any
such written designation, any such Interest payment shall be deemed made on the
date a check in the applicable amount payable to the order of Holder is received
by the Holder at its last address as reflected in Borrower's note registers; if
no such address appears, then to such Holder in care of the last address in such
note register of any predecessor holder of this Note (or its predecessor).

         (b) PIK INTEREST. The Borrower shall pay interest ("PIK INTEREST") on
the principal amount of this Note at a rate of 3% per annum (the "PIK INTEREST
RATE"), by delivery to the Holder, by a date no later than each Interest Payment
Date, of an additional promissory note (each, a "PIK NOTE") having an aggregate
principal amount equal to the accrued but unpaid PIK Interest on this Note (and
the amount of accrued but unpaid PIK Interest on any previously delivered PIK
Notes) and otherwise having substantially identical terms to this Note
(including, without limitation, with respect to the Interest Rate). Interest on
each PIK Note shall accrue at the Interest Rate from the

                                       2
<PAGE>   68

Interest Payment Date in respect of which such additional PIK Note was issued
until repayment of the principal and payment of all accrued interest in full. If
for any reason one or more PIK Notes shall not be delivered in accordance
herewith, Interest shall accrue on this Note such that the aggregate Interest
due and payable on the Maturity Date and on each Interest Payment Date would be
the same as if all PIK Notes not issued had been issued, and the principal
payable on the Maturity Date with respect to this Note shall be an amount equal
to the sum of the principal outstanding hereunder and the aggregate principal
which would be outstanding if the PIK Notes not issued had been issued.
Notwithstanding the foregoing, at the option of the Borrower, Interest payable
under this Section 2(b) shall be payable in cash on any one or more Interest
Payment Dates. For purposes of this Note, the term "PIK Interest" shall be
deemed to include payments of Interest in cash at the PIK Interest Rate with
respect to such times, if any, that the Borrower shall choose such cash option.

         (c) DEFAULT RATE OF INTEREST. Notwithstanding the foregoing provisions
of this Section 2, but subject to applicable law, any overdue principal of and
overdue Interest on this Note shall bear interest, payable on demand in
immediately available funds, for each day from the date payment thereof was due
to the date of actual payment, at a rate equal to the sum of (i) the Interest
Rate and (ii) an additional 2% per annum, and, upon and during the occurrence of
an Event of Default (as hereinafter defined), this Note shall bear interest,
from the date of the occurrence of such Event of Default until such Event of
Default is cured or waived, payable on demand in immediately available funds, at
a rate equal to the sum of (i) the Interest Rate and (ii) an additional 2% per
annum. Subject to applicable law, any interest that shall accrue on overdue
Interest on this Note as provided in the preceding sentence and shall not have
been paid in full on or before the next Interest Payment Date to occur after the
date on which the overdue interest became due and payable shall itself be deemed
to be overdue Interest on this Note to which the preceding sentence shall apply.
The term "Interest" shall mean and include all additional interest payable
pursuant to this Section 2(c).

         (d) CALCULATION OF INTEREST. Basic Interest shall be computed at all
times without regard to PIK Interest or the PIK Interest Rate. PIK Interest
shall be computed at all times without regard to Basic Interest or the Basic
Interest Rate.

         (e) NO USURIOUS INTEREST. In the event that any interest rate(s)
provided for in this Section 2 shall be determined to be unlawful, such interest
rate(s) shall be computed at the highest rate permitted by applicable law. Any
payment by the Borrower of any Interest amount in excess of that permitted by
law shall be considered a mistake, with the excess being applied to the
principal amount of this Note without prepayment premium or penalty; if no such
principal amount is outstanding, such excess shall be returned to Borrower.

         3. MANDATORY PREPAYMENT/REDEMPTION.

         (a) PUBLIC OFFERINGS. Subject to the subordination provisions of
Section 7 hereof and the right of the Senior Creditors to receive payment, upon
the consummation of a Public Offering (as hereinafter defined), the Borrower
shall, at the election of the Holder, prepay the outstanding principal amount of
this Note in accordance with the redemption prices (the "MANDATORY REDEMPTION
PRICES") set forth below (expressed as a percentage of the outstanding principal
amount of this Note), together with Interest accrued thereon through the date of
such prepayment to the

                                       3
<PAGE>   69

extent of the net cash proceeds of such Public Offering after payment of the
Senior Creditors, or, if the Senior Creditors have waived prepayment, to the
extent of the net cash proceeds of such Public Offering. If the consummation of
a Public Offering shall occur during the consecutive 12-month period immediately
preceding August 29 of the calendar year set forth below, the Mandatory
Redemption Price shall be determined based upon the percentage of the
outstanding principal amount of this Note which corresponds to the period in
question, as provided below.

        Period         Mandatory Redemption Price
        ------         --------------------------

        2001                    109%
        2002                    109%
        2003                    105%
        2004                    103%
        2005                    101%

Borrower shall pay the Mandatory Redemption Price, together with Interest
accrued thereon, within 5 Business Days after receipt by any of the Borrower or
any of its Subsidiaries of the proceeds of such Public Offering. For the
purposes hereof, "PUBLIC OFFERING" means the sale by any of the Borrower, or any
of its Subsidiaries of its capital stock pursuant to a registration statement on
Form S-1 or otherwise under the Securities Act in which the issuer receives any
Net Cash Proceeds. For the purposes hereof, "NET CASH PROCEEDS" means (x) the
cash proceeds in respect of an Public Offering minus (y) reasonable brokerage
commissions or underwriting fees and other reasonable fees and expenses
(including, without limitation, reasonable fees, charges and disbursements of
counsel and reasonable fees and expenses of investment bankers) relating to such
Public Offering.

         (b) LIQUIDITY EVENT. Subject to the subordination provisions of Section
7 hereof, upon the occurrence of a Liquidity Event (as hereinafter defined), the
Borrower shall, at the election of the Holder, prepay the outstanding principal
amount of this Note in accordance with the Mandatory Redemption Prices set forth
above in Section 3(a), together with interest accrued thereon through the date
of such prepayment If the occurrence of a Liquidity Event shall occur during the
consecutive 12-month period immediately preceding August 29 of the calendar year
set forth above in Section 3(a), the Mandatory Redemption Price shall be
determined based upon the percentage of the outstanding principal amount of this
Note which corresponds to the period in question.

         (c) Borrower shall pay the Mandatory Redemption Price, together with
interest accrued thereon, within 5 Business Days after the occurrence of a
Liquidity Event. For the purposes hereof, "Liquidity Event" means (i) any
transaction or related series of transactions pursuant to a single plan of
action, in which any Person or group, other than the Purchaser or any of its
affiliates becomes the beneficial owner of 50% or more of the then outstanding
capital stock of any of the Borrower or of any of its Subsidiaries, the revenues
of which, individually or in the aggregate, are equal to or in excess of 25% of
the EBITDA of the Borrower and its Subsidiaries, taken as a whole, (ii) the sale
or other disposition of all or substantially all of the assets of any of the
Borrower or of one or more of its Subsidiaries the revenues of which,
individually or in the aggregate, are equal to or in excess of 25% of the EBITDA
of the Borrower and its Subsidiaries, taken as a whole, (iii) the liquidation,
dissolution or winding up of any of the Borrower or of one or more of its
Subsidiaries the revenues of which, individually or in the aggregate, are equal
to or in excess of 25% of the EBITDA of the

                                       4
<PAGE>   70

Borrower and its Subsidiaries, taken as a whole, or (iv) the combination of the
Borrower or of any of its Subsidiaries, the revenues of which, individually or
in the aggregate, are equal to or in excess of 25% of the EBITDA of the Borrower
and its Subsidiaries, taken as a whole, with another entity, as a result of
which (A) any Person or group, other than the Purchaser or any of its affiliates
becomes the beneficial owner of 50% or more of the then outstanding capital
stock of the combined entity or (B) the directors of such Borrower constitute
less than a majority of the Board of Directors of the combined equity.

         (d) NOTICE. The Borrower shall give written notice to the Holder of any
mandatory prepayment pursuant to this Section 3 at least five (5) Business Days
prior to the date of such prepayment. Such notice shall be given in the manner
specified in Section 11.02 of the Purchase Agreement.

         (e) PIK NOTES NOT DELIVERED. If for any reason one or more PIK Notes
shall not be delivered in accordance with Section 2(b) of this Note, the
principal amount of this Note for purposes of calculating the Mandatory
Redemption Price shall be deemed to be the principal of this Note plus the
principal of all PIK Notes not so delivered, provided, however, that the
Mandatory Redemption Price payable with respect to this Note and all PIK Notes
actually delivered pursuant hereto in the aggregate shall not exceed the
Mandatory Redemption Price which would have been payable if all PIK Notes
required to be delivered in accordance with Section 2(b) of this Note had
actually been delivered.

         4. OPTIONAL PREPAYMENT/REDEMPTION.

         (a) Subject to the Subordination provisions of Section 7 hereof, upon
notice given to the Holder as provided in Section 4(b), the Borrower, at its
option, may prepay all or any portion of the principal amount of this Note at
any time after August 29, 2001, by paying to the Holder an amount equal to the
redemption prices (the "OPTIONAL REDEMPTION PRICES") set forth below (expressed
as a percentage of the outstanding principal amount being prepaid, from time to
time) together with Interest accrued and unpaid thereon to the date fixed for
such prepayment, and reasonable out-of-pocket costs and expenses (including,
without limitation, reasonable fees, charges and disbursements of counsel), if
any, associated with such prepayment; provided, however, each prepayment of less
than the full outstanding balance of the principal amount of this Note shall be
in an aggregate principal amount of this Note of $5,000,000 or integral
multiples of $1,000,000 in excess thereof, and provided, further, that unless
this Note and all Notes shall be paid in full, the aggregate principal balance
of the Notes outstanding at any time shall be at least $4,000,000. If such
prepayment is to be made by the Borrower to the Holder during the consecutive
12-month period immediately preceding August 29, of the calendar year set forth
below, the Optional Redemption Price shall be determined based upon the
percentage of the outstanding principal amount of this Note and which
corresponds to period in question:

                           Period                 Optional Redemption Price
                           ------                 -------------------------

                           2002                           109%

                           2003                           105%

                                       5
<PAGE>   71

                           2004                           103%

                           2005                           101%

         (b) The Borrower shall give written notice of prepayment of this Note,
or any portion thereof, pursuant to this Section 4 not less than 5 nor more than
60 days prior to the date fixed for such prepayment. Such notice of prepayment
pursuant to this Section 4 shall be given in the manner specified in Section
11.2 of the Purchase Agreement. Upon notice of prepayment pursuant to this
Section 4 being given by the Borrower, the Borrower covenants and agrees that it
will prepay, on the date therein fixed for prepayment, this Note or the portion
hereof so called for prepayment, at the applicable Optional Redemption Price set
forth above with respect to the outstanding principal amount of this Note or the
portion thereof so called for prepayment, together with Interest accrued and
unpaid thereon to the date fixed for such prepayment, and the costs and expenses
referred to in Section 4(a).

         (c) All optional prepayments under this Section 4 shall include payment
of accrued Interest on the principal amount of this Note so prepaid and shall be
applied first to all costs, expenses and indemnities payable under the Purchase
Agreement, then to payment of default interest, if any, then to payment of the
Basic Interest, then to payment of the PIK Interest, and thereafter to
principal.

         (d) If for any reason one or more PIK Notes shall not be delivered in
accordance with Section 2(b) of this Note, the principal amount of this Note for
purposes of calculating the Optional Redemption Price shall be deemed to be the
principal of this Note plus the principal of all PIK Notes not so delivered,
provided, however, that the Optional Redemption Price payable with respect to
this Note and all PIK Notes actually delivered pursuant hereto in the aggregate
shall not exceed the Optional Redemption Price which would have been payable if
all PIK Notes required to be delivered in accordance with Section 2(b) of this
Note had actually been delivered.

         5.  AMENDMENT. Amendments and modifications of this Note may be made
only in the manner provided in Section 11.4 of the Purchase Agreement.

         6.  DEFAULTS AND REMEDIES.

         (a) EVENTS OF DEFAULT. An "EVENT OF DEFAULT" shall occur if:

         (i) the Borrower shall default in the payment of the principal of this
Note, when and as the same shall become due and payable, whether at maturity or
at a date fixed for prepayment or by acceleration or otherwise; or

         (ii) the Borrower shall default in the payment of any installment of
Basic Interest according to its terms, when and as the same shall become due and
payable and such default shall continue for a period of 5 days or Borrower shall
fail to deliver any PIK Note, or an appropriate amount of cash in lieu thereof
pursuant to Section 2(b), when and as the same shall become

                                       6
<PAGE>   72

deliverable or payable, as the case may be, and such failure shall continue for
a period of 5 days after request for the delivery or payment thereof, as the
case may be, by the Holder; or

         (iii) the Borrower shall default in the due observance or performance
of any covenant to be observed or performed pursuant to Sections 8.1, 8.2(a),
8.3, 8.8, 8.10, 8.11 or Article 9 of the Purchase Agreement; provided, however,
that a default under Article 9 which does not or is not likely to have a
material adverse effect on the Borrower, and all of its Subsidiaries, taken as a
whole shall become an Event of Default only if such default shall continue for a
period of 20 days; or

         (iv) the Borrower, or any of its Subsidiaries shall default in the due
observance or performance of any other covenant, condition or agreement on the
part of the Borrower any of its Subsidiaries to be observed or performed
pursuant to the terms hereof or pursuant to the terms of the Purchase Agreement
or any of the Transaction Documents (other than those referred to in clauses
(i), (ii) or (iii) of this Section 6(a)), and such default shall continue for 15
days after the earliest of (A) the date the Borrower is required pursuant to the
Transaction Documents or otherwise to give notice thereof to the Holder (whether
or not such notice is actually given) or (B) the date of written notice thereof,
specifying such default and, if such default is capable of being remedied,
requesting that the same be remedied, shall have been given to the Borrower by
the Holder; or

         (v) any representation, warranty or certification made by or on behalf
of the Borrower or any of its Subsidiaries in the Purchase Agreement, this Note,
the Transaction Documents or in any certificate or other document delivered
pursuant hereto or thereto shall have been incorrect when made or deemed to be
made or repeated; or

         (vi) any event or condition shall occur that results in (A) the
acceleration of the maturity of any Indebtedness of any of the Borrower or any
of its Subsidiaries, or (B) a default of any Indebtedness of the Borrower or any
of its Subsidiaries, which continues beyond any applicable period of cure and
which would permit the holder to accelerate (automatically or upon notice and
declaration) such Indebtedness, in either case in a principal amount aggregating
$250,000 or more (except for capital leases, for which the threshold shall be
$1,000,000); or

         (vii) any uninsured damage to or property casualty loss, theft or
destruction of any assets of the Borrower or any of its Subsidiaries shall occur
that is in excess of $2,500,000; or

         (viii) an involuntary proceeding shall be commenced or an involuntary
petition shall be filed in a court of competent jurisdiction seeking (a) relief
in respect of the Borrower, or any of its Subsidiaries, or of a substantial part
of its property or assets, under Title 11 of the United States Code, as now
constituted or hereafter amended, or any other Federal or state bankruptcy,
insolvency, receivership or similar law, (b) the appointment of a receiver,
trustee, custodian, sequestrator, conservator or similar official for the
Borrower or any of its Subsidiaries, or for a substantial part of its property
or assets, or (c) the winding up or liquidation of the Borrower or any of its
Subsidiaries, and such proceeding or petition shall continue undismissed for 60
days, or an order or decree approving or ordering any of the foregoing shall be
entered; or

                                       7
<PAGE>   73

         (ix) any of the Borrower or any of its Subsidiaries shall (a)
voluntarily commence any proceeding or file any petition seeking relief under
Title 11 of the United States Code, as now constituted or hereafter amended, or
any other Federal or state bankruptcy, insolvency, receivership or similar law,
(b) consent to the institution of, or fail to contest in a timely and
appropriate manner, any proceeding or the filing of any petition described in
paragraph (viii) of this Section 6(a), (c) apply for or consent to the
appointment of a receiver, trustee, custodian, sequestrator, conservator or
similar official for any of the Borrower or any of its Subsidiaries, or for a
substantial part of its property or assets, (d) file an answer admitting the
material allegations of a petition filed against it in any such proceeding, (e)
make a general assignment for the benefit of creditors, (f) become unable, admit
in writing its inability or fail generally to pay its debts as they become due
or (g) take any action for the purpose of effecting any of the foregoing; or

         (x) one or more judgments for the payment of money in an aggregate
amount in excess of $2,000,000 (to the extent not covered by insurance) shall be
rendered against the Borrower, or any of its Subsidiaries and the same shall
remain undischarged for a period of 30 days during which execution shall not be
effectively stayed, or any action shall be legally taken by a judgment creditor
to levy upon assets or properties of any of the Borrower, or any of its
Subsidiaries to enforce any such judgment.

         (b) ACCELERATION. If an Event of Default occurs under Section
6(a)(viii) or (ix), then the outstanding principal of and all accrued Interest
on this Note shall automatically become immediately due and payable, without
presentment, demand, protest or notice of any kind, all of which are hereby
expressly waived. If any other Event of Default occurs and is continuing the
Holder, by written notice to the Borrower, may declare the principal of and
accrued Interest on this Note to be immediately due and payable. Upon such
declaration, such principal and Interest shall become immediately due and
payable. The Holder may rescind an acceleration and its consequences if all
existing Events of Default have been cured or waived, except nonpayment of
principal or Interest that has become due solely because of the acceleration,
and if the rescission would not conflict with any judgment or decree. Any notice
or rescission shall be given in the manner specified in Section 11.2 of the
Purchase Agreement.

         7. SUBORDINATION. This Note is subject to and subordinated by the terms
of an Intercreditor and Subordination Agreement, dated the date hereof, among
Fleet National Bank, as Administrative Agent, the Borrower and the Purchasers,
which is incorporated herein by reference. This Note is subject to the terms of
a Subordinated Indebtedness Intercreditor Agreement, dated the date hereof,
among the Company and the Purchasers.

         8. USE OF PROCEEDS. The Borrower shall use the principal amount of this
Note in accordance with the permitted uses described in Section 8.10 of the
Purchase Agreement.

         9. SUITS FOR ENFORCEMENT.

         (a) Subject to Section 7, upon the occurrence of any one or more Events
of Default, the Holder of this Note may proceed to protect and enforce its
rights hereunder by suit in equity, action at law or by other appropriate
proceeding, whether for the specific performance of any covenant or

                                       8
<PAGE>   74

agreement contained in the Purchase Agreement or this Note or in aid of the
exercise of any power granted in the Purchase Agreement or this Note, or may
proceed to enforce the payment of this Note, or to enforce any other legal or
equitable right of the Holders of this Note.

         (b) In case of any default under this Note, the Borrower will pay to
the Holder such amounts as shall be sufficient to cover the costs and expenses
of such Holder due to such default, as provided in Article 7 of the Purchase
Agreement.

         10. REMEDIES CUMULATIVE. No remedy herein conferred upon the Holder is
intended to be exclusive of any other remedy and each and every such remedy
shall be cumulative and shall be in addition to every other remedy given
hereunder or now or hereafter existing at law or in equity or by statute or
otherwise.

         11. REMEDIES NOT WAIVED. No course of dealing between the Borrower and
the Holder or any delay on the part of the Holder in exercising any rights
hereunder shall operate as a waiver of any right.

         12. TRANSFER.

         (a) The term "HOLDER" as used herein shall also include any transferee
of this Note whose name has been recorded by the Borrower in the Note Register.
Each transferee of this Note acknowledges that this Note has not been registered
under the Securities Act, and may be transferred only pursuant to an effective
registration under the Securities Act or pursuant to an applicable exemption
from the registration requirements of the Securities Act.

         (b) The Borrower shall maintain a register (the "NOTE REGISTER") in its
principal offices for the purpose of registering the Note and any transfer or
partial transfer thereof, which register shall reflect and identify, at all
times, the ownership of record of any interest in the Note. Upon the issuance of
this Note, the Borrower shall record the name and address of the initial
purchaser of this Note in the Note Register as the first Holder. Upon surrender
for registration of transfer or exchange of this Note at the principal offices
of the Borrower, the Borrower shall, at its expense, execute and deliver one or
more new Notes of like tenor and of denominations of at least $500,000 (except
as may be necessary to reflect any principal amount not evenly divisible by
$500,000) of a like aggregate principal amount, registered in the name of the
Holder or a transferee or transferees. Every Note surrendered for registration
of transfer or exchange shall be duly endorsed, or be accompanied by written
instrument of transfer duly executed by the Holder of such Note or such holder's
attorney duly authorized in writing.

         (c) This Note may be transferred or assigned, in whole or in part, by
the Holder at any time, subject to the provisions of Section 11.3 of the
Purchase Agreement.

         13. REPLACEMENT OF NOTE. On receipt by the Borrower of an affidavit of
an authorized representative of the Holder stating the circumstances of the
loss, theft, destruction or mutilation of this Note (and in the case of any such
mutilation, on surrender and cancellation of such Note), the Borrower, at its
expense, will promptly execute and deliver, in lieu thereof, a new Note of like
tenor. If required by the Borrower, such Holder must provide indemnity
sufficient in the reasonable

                                       9
<PAGE>   75

judgment of the Borrower to protect the Borrower from any loss which they may
suffer if a lost, stolen or destroyed Note is replaced.

         14. COVENANTS BIND SUCCESSORS AND ASSIGNS. All the covenants,
stipulations, promises and agreements in this Note contained by or on behalf of
the Borrower shall bind its successors and assigns, whether so expressed or not.

         15. NOTICES. All notices, demands and other communications provided for
or permitted hereunder shall be made in writing and shall be by registered or
certified first-class mail, return receipt requested, telecopier (with receipt
confirmed), courier service or personal delivery at the addresses specified in
Section 11.2 of the Purchase Agreement. All such notices and communications
shall be deemed to have been duly given when: delivered by hand, if personally
delivered; when delivered by courier, if delivered by commercial overnight
courier service; if mailed, five Business Days after being deposited in the
mail, postage prepaid; or if telecopied, when receipt is acknowledged.

         16. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY, CONSTRUED IN
ACCORDANCE WITH, AND ENFORCED UNDER, THE LAW OF THE STATE OF NEW YORK APPLICABLE
TO AGREEMENTS OR INSTRUMENTS ENTERED INTO AND PERFORMED ENTIRELY WITHIN SUCH
STATE.

         17. SEVERABILITY. If any one or more of the provisions contained
herein, or the application thereof in any circumstance, is held invalid, illegal
or unenforceable in any respect for any reason, the validity, legality and
enforceability of any such provision in every other respect and of the remaining
provisions hereof shall not be in any way impaired, unless the provisions held
invalid, illegal or unenforceable shall substantially impair the benefits of the
remaining provisions hereof.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

                                       10
<PAGE>   76

         18. Headings. The headings in this Note are for convenience of
reference only and shall not limit or otherwise affect the meaning hereof.

                                            TRANSTECHNOLOGY CORPORATION

                                            By: _______________________________
                                            Name:
                                            Title:

                       [SIGNATURE PAGE TO PROMISSORY NOTE]

                                       11
<PAGE>   77

                                    EXHIBIT D

                             COMPLIANCE CERTIFICATE

                           TRANSTECHNOLOGY CORPORATION

                                 DATE:      , 2000

     This certificate is given by TransTechnology Corporation, a Delaware
corporation (the "Company"), pursuant to Section 8.1(c) of that certain
Securities Purchase Agreement dated as of August 29, 2000, by and among the
Company, J. H. Whitney Mezzanine Fund, L.P., Albion Alliance Mezzanine Fund I,
L.P., Albion Alliance Mezzanine Fund II, L.P., The Equitable Life Assurance
Society of the United States, Fleet Corporate Finance, Inc., and Citizens
Capital Inc., as such agreement may have been amended, restated, supplemented or
otherwise modified from time to time (the "AGREEMENT"). Capitalized terms used
herein without definition shall have the meanings set forth in the Agreement.

     The officer executing this certificate is the Chief Financial Officer of
the Company and as such is duly authorized to execute and deliver this
certificate on behalf of the Company. By executing this certificate such officer
hereby certifies that:

     (a) the financial statements delivered with this certificate in accordance
with Section 8.1(a) and/or 8.1(b) of the Agreement fairly present in all
material respects the results of operations and financial condition of the
Company and its Subsidiaries as of the dates of such financial statements;

     (b) he has reviewed the terms of the Agreement and the Note and has made,
or caused to be made under his supervision, a review in reasonable detail of the
transactions and conditions of the Company and its Subsidiaries during the
accounting period covered by such financial statements;

     (c) such review has not disclosed the existence during or at the end of
such accounting period, and he has no knowledge of the existence as of the date
hereof, of any condition or event that constitutes an Event of Default, except
as set forth in EXHIBIT A hereto which includes a description of the nature and
period of existence of such Event of Default and what action the Company has
taken, is undertaking and proposes to take with respect thereto;

     (d) the Company and its Subsidiaries are in compliance with the covenants
contained in Articles 8 and 9 of the Agreement, as demonstrated on the attached
worksheets (in form and substance previously agreed upon), except as set forth
or described in EXHIBIT A; and

     (e)      (i)     Interest Coverage is  ______:1.00
              (ii)    Fixed Charge Coverage is _____:1.00
              (iii)   Total Leverage is _____: 1:00
              (iv)    Capital Expenditures are $______________
              (v)     Net Worth is $_______________

<PAGE>   78

     IN WITNESS WHEREOF, the Company has caused this Certificate to be executed
by its Chief Financial Officer this ___ day of ___________, 200__.

                                       TRANSTECHNOLOGY CORPORATION
                                       ---------------------------

                                       By:
                                          -------------------------------------
                                          Chief Financial Officer

                                      2
<PAGE>   79

                                    EXHIBIT E

Albion Alliance Mezzanine Fund I, L.P.
Chase Manhattan Bank
1221 Avenue of the Americas
New York, NY
ABA #021000021
Account #323-216528

Albion Alliance Mezzanine Fund II, L.P.
Chase Manhattan Bank
1221 Avenue of the Americas
New York, NY
ABA #021000021
Account #910-2-795953

The Equitable Life Assurance Society of the United States
Chase Manhattan Bank
1221 Avenue of the Americas
New York, NY
ABA #021000021
Account #037-2-409417

<PAGE>   80
                                  SCHEDULE 5.1

                               CORPORATE EXISTENCE
<TABLE>
<CAPTION>

                                 The Company and Subsidiaries, Type of Entity,
                   Activity Status, and Jurisdictions of Formation and Foreign Qualification

---------------------------------------------------------------- --------------- -------------------- -------------------
                                                                                                       Jurisdictions of
                             Name                                    Status        Jurisdiction of         Foreign
                       (type of entity)                                               Formation         Qualification
---------------------------------------------------------------- --------------- -------------------- -------------------
<S>                                                                  <C>              <C>              <C>
TransTechnology Corporation (corporation)                             Active          Delaware        California
                                                                                                      -------------------
                                                                                                      Connecticut
                                                                                                      -------------------
                                                                                                      Florida
                                                                                                      -------------------
                                                                                                      Illinois
                                                                                                      -------------------
                                                                                                      Indiana
                                                                                                      -------------------
                                                                                                      Maryland
                                                                                                      -------------------
                                                                                                      Massachusetts
                                                                                                      -------------------
                                                                                                      Michigan
                                                                                                      -------------------
                                                                                                      New Jersey
                                                                                                      -------------------
                                                                                                      New York
                                                                                                      -------------------
                                                                                                      North Carolina
                                                                                                      -------------------
                                                                                                      Ohio
                                                                                                      -------------------
                                                                                                      Pennsylvania
                                                                                                      -------------------
                                                                                                      Rhode Island
                                                                                                      -------------------
                                                                                                      Texas
                                                                                                      -------------------
                                                                                                      Virginia
---------------------------------------------------------------- --------------- -------------------- -------------------
</TABLE>

<PAGE>   81

SCHEDULE 5.1 CONTINUED
<TABLE>
<CAPTION>

---------------------------------------------------------------- --------------- ---------------------- ------------------
                                                                                                        Jurisdictions of
                             Name                                    Status         Jurisdiction of          Foreign
                       (type of entity)                                                Formation          Qualification
---------------------------------------------------------------- --------------- ---------------------- ------------------
<S>                                                              <C>             <C>                    <C>
UNITED STATES SUBSIDIARIES:
---------------------------------------------------------------- --------------- ---------------------- ------------------
Aerospace Rivet Manufacturers Corporation (corporation)          Active          California
---------------------------------------------------------------- --------------- ---------------------- ------------------
Electronic Connections and Assemblies, Inc. (corporation)        Inactive        Delaware
---------------------------------------------------------------- --------------- ---------------------- ------------------
Ellison Ring & Washer, Inc. (corporation) (subsidiary of
     Ellison Holdings Ltd.)                                      Inactive        Virginia
---------------------------------------------------------------- --------------- ---------------------- ------------------
NORCO, Inc.  (corporation)                                       Active          Connecticut
---------------------------------------------------------------- --------------- ---------------------- ------------------
Palnut Fasteners, Inc. (corporation)                             Inactive        Delaware
---------------------------------------------------------------- --------------- ---------------------- ------------------
Rancho TransTechnology Corporation (corporation)                 Active          California
---------------------------------------------------------------- --------------- ---------------------- ------------------
Retainers, Inc. (corporation)                                    Active          New Jersey
---------------------------------------------------------------- --------------- ---------------------- ------------------
Seeger Inc. (corporation) (subsidiary of TransTechnology
     Seeger Inc.)                                                Inactive        Delaware               New Jersey
---------------------------------------------------------------- --------------- ---------------------- ------------------
SSP Industries (corporation)                                     Inactive        California
---------------------------------------------------------------- --------------- ---------------------- ------------------
SSP International Sales, Inc. (corporation) (subsidiary of
     SSP Industries)                                             Inactive        California
---------------------------------------------------------------- --------------- ---------------------- ------------------
TCR Corporation (corporation)                                    Active          Minnesota
---------------------------------------------------------------- --------------- ---------------------- ------------------
TransTechnology Acquisition Corporation (corporation)            Inactive        Delaware
---------------------------------------------------------------- --------------- ---------------------- ------------------
TransTechnology Engineered Components, LLC (limited liability
     company)                                                    Active          Delaware               Michigan -
                                                                                                        (to be filed)
                                                                                                        Ohio
---------------------------------------------------------------- --------------- ---------------------- ------------------
TransTechnology Engineered Rings USA, Inc. f/k/a Industrial      Active          New Jersey             Michigan
Retaining Ring Company (corporation)
---------------------------------------------------------------- --------------- ---------------------- ------------------
TransTechnology International Corporation (U.S.V.I.
     international business company)                             Active          US Virgin Islands
---------------------------------------------------------------- --------------- ---------------------- ------------------
TransTechnology Seeger Inc. (corporation)                        Active          Delaware
---------------------------------------------------------------- --------------- ---------------------- ------------------
TransTechnology Systems & Services, Inc. (corporation)           Inactive        Michigan
---------------------------------------------------------------- --------------- ---------------------- ------------------
INTERNATIONAL SUBSIDIARIES:
---------------------------------------------------------------- --------------- ---------------------- ------------------
TransTechnology Canada Corporation (Ontario corporation)         Active          Ontario
---------------------------------------------------------------- --------------- ---------------------- ------------------
</TABLE>

<PAGE>   82

SCHEDULE 5.1 CONTINUED
<TABLE>
<CAPTION>

------------------------------------------------------------------ ---------------- ---------------------- --------------------
                                                                                                            Jurisdictions of
                              Name                                     Status          Jurisdiction of           Foreign
                        (type of entity)                                                  Formation           Qualification
------------------------------------------------------------------ ---------------- ---------------------- --------------------
<S>                                                               <C>               <C>                     <C>
TransTechnology Australasia Pty, Ltd. (Australian corporation)     Inactive         Australia
------------------------------------------------------------------ ---------------- ---------------------- --------------------
TransTechnology Seeger-Orbis GmbH (German limited company)         Active           Germany
------------------------------------------------------------------ ---------------- ---------------------- --------------------
Subsidiaries of TransTechnology Seeger-Orbis
GmbH:
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     TransTechnology Brasil Ltda. f/k/a Seeger-Reno Industria e
          Commercia Ltda. (Brazilian limited company)              Active           Brazil
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     Seeger-Orbis Beteiligungsgesellschaft mbH (German
          limited holding company)                                 Active           Germany
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     Seeger-Orbis GmbH & Co. OHG  (German partnership)             Active           Germany
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     TransTechnology (GB) Limited (English limited company)        Active           England
------------------------------------------------------------------ ---------------- ---------------------- --------------------
Subsidiaries of TransTechnology (GB) Limited:
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     Ellison Holdings Ltd. (English limited company)               Active           England
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     Ellison Roettges & Co. GmbH (German limited company)          Inactive         Germany
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     Anderton (Predecessors) Limited, (English limited company)    Inactive         England
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     TransTechnology (Europe) Ltd. (English limited company)       Inactive         England
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     Ellison Circlips Limited, (English limited company)           Inactive         England
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     Ellison Circlips Exports Limited, (English limited company)   Inactive         England
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     Ellison Distribution Limited, (English limited company)       Inactive         England
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     Ellison Shaped Wire Limited, (English limited company)        Inactive         England
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     Morlock Industries Limited, (English limited company)         Inactive         England
------------------------------------------------------------------ ---------------- ---------------------- --------------------
     TransTechnology Espana, S.A., (Spanish limited company        Active           Spain
        (joint venture))
------------------------------------------------------------------ ---------------- ---------------------- --------------------
</TABLE>

<PAGE>   83

                                  SCHEDULES 5.3

                 GOVERNMENTAL AUTHORIZATION; THIRD PARTY CONSENT

1.   Consent of lenders under the Second Amended and Restated Credit Agreement
     by and among the Company and its Subsidiaries and by Fleet National Bank,
     as successor to BankBoston, N.A.,, as administrative agent, and the other
     lenders listed therein (the "Senior Credit Agreement").

<PAGE>   84

                                  SCHEDULE 5.8

                               TITLE TO PROPERTIES

All of the Company's assets, wherever located, are subject to liens held by
    Fleet National Bank as successor to BankBoston, N.A., pursuant to the
    Senior Credit Documents, including but not limited to:

1.   See attached summary list of UCC filings, UCC fixture filings, federal and
     state tax liens and judgment liens prepared by Bingham Dana LLP.

2.   See listing of patents attached as item A on Schedule 5.23.

3.   See listing of trademarks attached as item B on Schedule 5.23.

4.   Mortgages on Real Property:
     --------------------------

     (a)      Sand Canyon, California
     (b)      Irvington, New Jersey
     (c)      Mountainside, New Jersey
     (d)      Union, New Jersey
     (e)      Glen Head, New York
     (f)      Saltsburg, Pennsylvania
     (g)      Ridgefield, Connecticut
     (h)      Massillon, Ohio
     (i)      Hamilton, Ontario
     (j)      Wiesbadener Strasse/Fischbacher Strasse, Konigstein, Germany
     (k)      Wiesbadener Strasse, Konigstein, Germany
     (l)      Frittlingen, Germany
     (m)      "Hayfield", Colne Road, Glusburn, Keighley, West Yorkshire,
              England

<PAGE>   85
                                          TransTechnology Corporation
                                          Updated Lien Search Summary
                                                  1000/85321
                                                August 23, 2000
<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Corporation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                             <C>        <C>             <C>            <C>                           <C>
SOS, CA                          UCC       8/23/90         90209597       Ellco Leasing Corp            Leased equipment
    through 6/23/00
                                            3/2/95        95066C0388      same                          continuation of above

                                            3/7/95        95068C0726      same                          continuation of above

                                           8/27/90         90212064       Ellco Leasing Corp            Specific equipment

                                            3/7/95        95068C0727      same                          continuation of above

                                           11/6/90         90270423       Ellco Leasing Corp            Specific equipment

                                            5/9/95        95131C0292      same                          continuation of above

                                           11/6/90         90270424       Ellco Leasing Corp            Specific equipment

                                            5/9/95        95131C0293      same                          continuation of above

                                           2/21/91         91030315       Ellco Leasing Corp            Leased equipment

                                           9/22/95        95270C0623      same                          continuation of above

                                            7/3/95        9519260505      FNBB, as Agent                All assets

                                           8/28/95        95242C0686      same                          partial release

                                           3/28/96        96089C0281      same                          amending debtor address

                                           7/30/98        98212C0281      same                          Amending #9519260505 to
                                                                                                        replace collateral
                                                                                                        description and change SP
                                                                                                        name to BankBoston, N.A.,
                                                                                                        as Agent

                                           2/24/00        00055C0814      BankBoston, N.A., as agent    continuation of above
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
CA, SOS                          STL                                                                    No active filings
    through 06/23/00             FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Los Angeles County, CA           UCC       8/28/90        90-1488418      Ellco Leasing Corporation     Leased equipment
    through 6/26/98             Fixt
                                            3/6/95         95-347548      same                          continuation of above

                                            3/8/95         95-362341      same                          continuation of above

                                            9/6/90        90-1539313      Ellco Leasing Corporation     Specific equipment

                                           3/20/95         95-406818      same                          continuation of above

                                           11/7/90        90-1879076      Ellco Leasing Corporation     Specific equipment

                                           5/10/95         95-760021      same                          continuation of above

                                           11/16/90       90-1927846      Ellco Leasing Corporation     Leased equipment

                                           5/30/95         95-852508      same                          continuation of above
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
</TABLE>

<PAGE>   86

                                      -2-

<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Corporation (continued)
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                            <C>        <C>              <C>            <C>                           <C>
Los Angeles County, CA           STL                                                                    No active filings
    through 7/5/00               FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, FL                          UCC        7/5/95         95-133082      FNBB, as Agent                All assets
    through 6/28/00
                                           9/19/95         95-187803      same                          partial release

                                           3/27/96         96-062151      same                          amending debtor address

                                           7/30/98         98-169422      same                          amending name of secured
                                                                                                        party to BankBoston,
                                                                                                        N.A., as agent

                                           2/10/00        00-35767-1      BankBoston, N.A., as agent    Continuation

                                           7/27/95         95-149423      FNBB                          Fixture filing

                                            9/3/99         99-203589      same                          amending debtor address
                                                                                                        and name of secured party
                                                                                                        to BankBoston, N.A., as
                                                                                                        agent
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, FL                          FTL                                                                    No active filings
    through 7/7/00
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Broward Co., FL                  UCC       7/13/95         95-298471      FNBB                          Fixture Filing
    through 6/23/00             Fixt                       Bk. 23676
                                                            Pg. 0532

                                            9/8/99         99537783       same                          amending SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/15/00         100087193      BankBoston, N.A., as Agent    Continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Broward Co., FL                  FTL                                                                    No active filings
    through 6/23/00              STL
                               Judg't
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, IL                          UCC        7/3/95          3419683       FNBB, as Agent                All assets
    through 6/26/00
                                           8/31/95          3441918       same                          partial release

                                           3/28/96          3522779       same                          amending debtor address

                                           7/30/98          3887573       same                          Amending #3419683 to
                                                                                                        replace collateral
                                                                                                        description and change SP
                                                                                                        name to BankBoston, N.A.,
                                                                                                        as Agent

                                            2/9/00          4164337       BankBoston, N.A., as agent    continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, IL                          FTL                                                                    No active filings
    through 7/7/00
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------

</TABLE>

<PAGE>   87

                                      -3-

<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Corporation (continued)
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                             <C>       <C>           <C>               <C>                          <C>
Peoria Co., IL                   UCC                                                                    No active filings
    through 7/3/00              Fixt
                                 STL
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Stark Co., IL                    UCC                                                                    No active filings
    through 7/3/00              Fixt
                                 STL
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
MN, SOS                          UCC       4/18/97          1933980       FNBB, as Agent                All assets
    through 7/3/00
                                            8/6/98          2059015                                     Amending #1933980 to
                                                                                                        replace collateral
                                                                                                        description and change SP
                                                                                                        name to BankBoston, N.A.,
                                                                                                        as Agent

----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
MN, SOS                          STL                                                                    No active filings
    through 7/3/00               FTL
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
NJ, SOS                                    11/4/94          1601572       BancBoston Leasing Inc.       Leased equipment
    through 6/30/00
                                           10/11/95          same         same                          Assignment of above to
                                                                                                        The CIT Group/Equipment
                                                                                                        Financing, Inc.

                                           10/22/99          same         same                          continuation

                                            1/8/91          1378274       ELLCO Leasing Corporation     Specific equipment

                                           7/13/95           same         same                          continuation of above

                                           3/15/96          1686928       BancBoston Leasing Inc.       Leased equipment

                                            2/2/99           same         same                          Amending debtor address

                                           10/25/95         1663457       BancBoston Leasing Inc.       Leased equipment

                                            2/2/99           same         same                          Amending debtor address
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
</TABLE>

<PAGE>   88

                                      -4-

<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Corporation (continued)
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                            <C>         <C>           <C>              <C>                           <C>
NJ, SOS                          UCC       1/29/97          1746929       BancBoston Leasing Inc.       Leased equipment
    continued
                                            2/2/99           same         same                          Amending debtor address

                                           8/23/94          1588501       BancBoston Leasing Inc.       Leased equipment

                                           10/11/95          same         same                          Assignment of above to
                                                                                                        The CIT Group/Equipment
                                                                                                        Financing, Inc.

                                           6/10/99           same         same                          continuation

                                           9/20/94          1593232       BancBoston Leasing Inc.       Leased equipment

                                           10/11/95          same         same                          Assignment of above to
                                                                                                        The CIT Group/Equipment
                                                                                                        Financing, Inc.

                                           9/15/99           same         same                          continuation

                                           12/28/94         1610571       BancBoston Leasing Inc.       Leased equipment

                                           5/22/95           same         same                          Partial release

                                           10/11/95          same         same                          Partial Assignment of
                                                                                                        above to The CIT
                                                                                                        Group/Equipment
                                                                                                        Financing, Inc.

                                           12/22/99          same         same                          continuation

                                           3/28/95          1626164       BancBoston Leasing Inc.       Leased equipment

                                           10/11/95          same         same                          Assignment of above to
                                                                                                        The CIT Group/Equipment
                                                                                                        Financing, Inc.

                                           3/20/00           same         same                          continuation

                                            6/2/95          1637661       BancBoston Leasing Inc.       Leased equipment

                                           10/11/95          same         same                          Assignment of above to
                                                                                                        The CIT Group/Equipment
                                                                                                        Financing, Inc.

                                           5/24/00           same         same                          continuation

                                           6/29/95          1643219       BancBoston Leasing Inc.       Leased equipment

                                           10/11/95          same         same                          Assignment of above to
                                                                                                        The CIT Group/Equipment
                                                                                                        Financing, Inc.

                                           5/24/00           same         same                          continuation

                                           7/24/95          1647493       BancBoston Leasing Inc.       Leased equipment
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
</TABLE>

<PAGE>   89

                                      -5-

<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Corporation (continued)
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                           <C>         <C>            <C>              <C>                           <C>
NJ, SOS                          UCC       10/11/95          same         same                          Assignment of above to
    Continued                                                                                           The CIT Group/Equipment
                                                                                                        Financing, Inc.
                                           5/24/00           same         same                          continuation

                                            7/3/95          1644043       FNBB, as Agent                All assets

                                           3/28/96           same         same                          amending debtor address

                                           7/30/98           same         same                          Amendment to replace
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                            8/6/98           same         same                          Amendment to replace
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/10/00           same         same                          continuation

                                            4/9/98          1831382       MCS Business Solutions Inc.   Copier

                                           12/11/97         1806009       Lease Corporation of America  Telephone equipment

                                            7/3/95          1644109       FNBB, as Agent                All assets

                                           8/31/95           same         same                          partial release

                                           3/28/96           same         same                          amending debtor address

                                           7/30/98           same         same                          Amendment to replace
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/10/00           same         same                          continuation

                                            7/7/95          1644889       FNBB, as Agent                Fixture filing

                                            9/3/99           same         same                          Amending debtor address
                                                                                                        and SP name
                                           6/14/00           same         same                          continuation

                                           5/21/99          1907276       General Electric Capital      Leased equipment
                                                                          Corporation

                                           5/21/99          1907309       General Electric Capital      Leased equipment
                                                                          Corporation

                                           2/28/00          1961012       The CIT Group/Equipment       Leased equipment. Filed
                                                                          Financing, Inc.               to reinstate no. 1618376

                                           2/28/00          1961014       The CIT Group/Equipment       Leased equipment. Filed
                                                                          Financing, Inc.               to reinstate no. 1618377
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
</TABLE>

<PAGE>   90

                                      -6-

<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Corporation (continued)
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                           <C>         <C>          <C>                <C>                           <C>
NJ, SOS                          UCC        4/7/00          1967070       The CIT Group/Equipment       Leased equipment. Filed
    continued                                                             Financing, Inc.               to reinstate no. 1622418

                                            4/7/00          1967075       The CIT Group/Equipment       Leased equipment. Filed
                                                                          Financing, Inc.               to reinstate no. 1622420
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Superior Court, NJ               STL       12/3/99       750831005SNL     Division of Employment        $4,438.72
    through 7/6/00                                                        Security
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Superior Court, NJ             Judg't                                                                   No active filings
    through 7/6/00
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Mercer Co., NJ                   UCC                                                                    No active filings
     through 7/3/00             Fixt.
                                 FTL
                               J-liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Somerset Co., NJ                 UCC                                                                    No active filings
    through 7/5/00             Fixture
                                 FTL
                               Judg't
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Union Co., NJ                    UCC       6/22/95          002792        BancBoston Leasing Inc.       Leased equipment/fixture
    through 7/7/98              Fixt
                                           10/13/95          same         same                          Assignment of above to
                                                                                                        The CIT Group/Equipment
                                                                                                        Financing, Inc.

                                            7/6/95          002860        FNBB                          Fixture filing

                                            9/7/95           same         same                          amending SP name to
                                                                                                        BankBoston, N.A., as agent
                                           2/14/00           same         BankBoston, N.A., as agent    Continuation

                                           12/27/95         003692        OCE-BRUNING                   Specific equipment

                                           12/18/97         007071        Computer Sales                Specific equipment
                                                                          International, Inc.
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Union Co., NJ                    FTL                                                                    No active filings
    through 7/7/98             J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
DOS, NY                          UCC        7/3/95          134744        FNBB, as Agent                All assets
    through 7/6/00
                                            9/7/95          182317        same                          partial release of above

                                           3/28/96          062666        same                          amending debtor address

                                 UCC       7/30/98          164190        same                          Amending #134744 to
                                                                                                        replace collateral
                                                                                                        description and change SP
                                                                                                        name to BankBoston, N.A.,
                                                                                                        as Agent

                                 UCC       2/10/00          028281        BankBoston, N.A., as Agent    continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------

</TABLE>

<PAGE>   91

                                      -7-

<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Corporation (continued)
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                           <C>        <C>            <C>               <C>                           <C>
NY, SOS                          UCC        7/7/95          137779        FNBB                          Fixture filing
    continued

                                            9/3/99          178550        same                          Amending debtor address
                                                                                                        and SP name

                                           2/10/00          028278        BankBoston, N.A., as Agent    continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
DOS, NY                          FTL                                                                    No active filings
    through 7/6/00
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Nassau County, NY                UCC        5/7/95         95-010088      FNBB, as Agent                All assets
    through 7/3/00              Fixt
                                           8/25/95         95-013193      same                          partial release of above

                                            4/3/96         96-005173      same                          amending debtor address

                                            8/6/98        UC98-014010     same                          Amending #95-010088 to
                                                                                                        replace collateral
                                                                                                        description and change SP
                                                                                                        name to BankBoston, N.A.,
                                                                                                        as Agent

                                           5/17/00         UC00-8769      BankBoston, N.A., as Agent    continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Nassau County, NY                STL                                                                    No active filings
    through 7/3/00               FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, NC                          UCC        7/3/95          1240867       FNBB, as Agent                All assets
    through 6/28/00
                                           8/28/95          1258129       same                          partial release

                                            4/1/96          1324618       same                          Amending debtor address

                                            8/5/98        19980053264     same                          Amendment replacing
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/10/00        20000014472     BankBoston, N.A., as Agent    continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, NC                          FTL                                                                    No active filings
    through 6/28/00
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Mecklenburg County, NC           UCC                                                                    No active filings
    through 6/29/00             Fixt
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
</TABLE>

<PAGE>   92

                                      -8-

<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Corporation (continued)
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                           <C>        <C>           <C>                <C>                           <C>
SOS, PA                          UCC       8/24/90         18860648       Ellco Leasing Corporation     Leased equipment
    through 6/19/00
                                           2/27/95         24031028       same                          continuation of above

                                           8/29/90         18872556       Ellco Leasing Corporation     Leased equipment

                                            3/6/95         24051570       same                          continuation of above

                                           11/2/90         19100913       Ellco Leasing Corporation     Leased equipment

                                            5/4/95         24250625       same                          continuation of above

                                           11/9/90         19121395       Ellco Leasing Corporation     Leased equipment

                                           5/10/95         24270488       Same                          continuation of above

                                           9/18/91         20071025       General Electric Capital      Leased equipment
                                                                          Corporation

                                           3/26/96         25291760       same                          continuation of above

                                           3/27/95         24121034       BancBoston Leasing Inc.       Leased equipment

                                           10/11/95        24750984       same                          assignment to The CIT
                                                                                                        Group /Equipment
                                                                                                        Financing Inc.

                                           3/20/00         31410437       The CIT Group / Equipment     continuation
                                                                          Financing, Inc.

                                           6/12/95         24361417       BancBoston Leasing Inc.       Leased equipment

                                           10/11/95        24750978       same                          assignment to The CIT
                                                                                                        Group /Equipment
                                                                                                        Financing Inc.

                                           5/25/00         31661272       The CIT Group / Equipment     continuation
                                                                          Financing, Inc.

                                            7/3/95         24441186       FNBB, as Agent                All assets

                                           8/25/95         24611568       same                          partial release of above

                                           3/28/96         25301394       same                          amending debtor address

                                           12/20/96        26200701       same                          partial release of above

                                           7/30/98         29221761       same                          Amendment replacing
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/10/00         31270409       BankBoston, N.A., as Agent    continuation

                                            7/7/95         24451341       FNBB                          Fixture filing

                                            9/3/99         30691772       same                          Amendment changing
                                                                                                        address of debtor and
                                                                                                        name of SP to BankBoston,
                                                                                                        N.A., as Agent

                                           2/10/00         31270406       BankBoston, N.A.              continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
</TABLE>

<PAGE>   93

                                      -9-

<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Corporation (continued)
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                           <C>         <C>             <C>             <C>                           <C>
PA, SOS                          UCC       12/31/96        26221055       BancBoston Leasing Inc.       Leased equipment
    continued
                                            2/2/99         29870628       same                          Amendment changing debtor
                                                                                                        address

                                           5/21/99         30291281       General Electric Capital      Specific equipment
                                                                          Corporation

                                           5/21/99         30291470       General Electric Capital      Specific equipment
                                                                          Corporation

                                           2/28/00         31330360       The CIT Group / Equipment     Leased equipment.  To
                                                                          Financing, Inc.               Reinstate lapsed file no.
                                                                                                        23980207 dated 2/6/95

                                           2/28/00         31330364       The CIT Group / Equipment     Leased equipment.  To
                                                                          Financing, Inc.               Reinstate lapsed file no.
                                                                                                        23980205 dated 2/6/95

                                            5/1/00         31570727       The CIT Group / Equipment     Leased equipment.  To
                                                                          Financing, Inc.               Reinstate lapsed file no.
                                                                                                        24121034 dated 3/27/95
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Indiana County, Proth, PA        UCC       9/18/91          665-91        General Electric Capital      Leased equipment
    through 7/3/00                                                        Corporation
                                           3/26/96         20-665-91      same                          continuation of above

                                            7/3/95       21324 CD 1995    FNBB, as Agent                All assets

                                           8/25/95           same         same                          partial release of above

                                           3/28/96           same         same                          amending debtor address

                                           12/23/96          same         same                          partial release

                                            8/6/98           same         same                          Amendment replacing
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/14/00           same         BankBoston, N.A., as Agent    continuation

                                            7/5/95      2 1335 CD 1995    FNBB                          FIXTURE FILING

                                           12/30/96      22649 CD 1996    BancBoston Leasing Inc.       Leased equipment

                                            3/2/99           same         same                          amendment changing debtor
                                                                                                        address

                                           5/21/99       20922 CD 1999    General Electric Capital      Specific equipment
                                                                          Corporation

                                           5/21/99       20923 CD 1999    General Electric Capital      Specific equipment
                                                                          Corporation

                                           2/28/00       20402 CD 2000    The CIT Group / Equipment     Leased equipment.  To
                                                                          Financing, Inc.               Reinstate lapsed file no.
                                                                                                        20216CD1995 dated 2/6/95
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------

</TABLE>

<PAGE>   94

                                      -10-

<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Corporation (continued)
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                           <C>         <C>            <C>              <C>                           <C>
PA, SOS                                    2/28/00       20403 CD 2000    The CIT Group / Equipment     Leased equipment.  To
    continued                                                             Financing, Inc.               Reinstate lapsed file no.
                                                                                                        20217CD1995 dated 2/6/95

                                            4/7/00       20732 CD 2000    The CIT Group / Equipment     Leased equipment.  To
                                                                          Financing, Inc.               Reinstate lapsed file no.
                                                                                                        20373CD1995 dated 2/6/95

                                            4/7/00       20734 CD 2000    The CIT Group / Equipment     Leased equipment.  To
                                                                          Financing, Inc.               Reinstate lapsed file no.
                                                                                                        20536CD1995 dated 3/23/95

                                           5/24/00       21081 CD 2000    The CIT Group / Equipment     Leased equipment.  To
                                                                          Financing, Inc.               Reinstate lapsed file no.
                                                                                                        21030CD1995 dated 5/22/95
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Indiana County, Proth, PA        STL                                                                    No active filings
    through 7/3/00               FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Indiana County Recorder, PA     Fixt       9/25/91           2530         General Electric Capital      Specific equipment
    through 7/3/00                                                        Corporation

                                            4/2/96           2530         Same                          Continuation of above

                                            6/3/99           3147         General Electric Capital      Specific equipment
                                                                          Corporation

                                            6/3/99           3148         General Electric Capital      Specific equipment
                                                                          Corporation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, TX                       UCC           7/3/95          129256        FNBB, as Agent                All assets
    through 6/25/00
                                           10/9/95          719132        same                          partial release of above

                                           3/28/96         96639996       same                          amending debtor address

                                           7/30/98         98695359       same                          Amending #129256 to
                                                                                                        replace collateral
                                                                                                        description and change SP
                                                                                                        name to BankBoston, N.A.,
                                                                                                        as Agent

                                           2/24/00          1042797       same                          continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, TX                          FTL        6/6/83          123053        IRS                           $7,953.20 copy unavailable
    through 6/25/00
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Dallas County, TX                UCC        7/3/95        95004-00157     FNBB, as Agent                All assets
    through 6/29/00             Fixt
                                           9/26/95        95005-01566     same                          partial release

                                           3/28/96        96002-1227      same                          amending debtor address

                                            8/6/98        98004-01075     same                          Amending #95004-00157 to
                                                                                                        replace collateral
                                                                                                        description and change SP
                                                                                                        name to BankBoston, N.A.,
                                                                                                        as Agent

                                           2/29/00          252607        same                          continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
</TABLE>

<PAGE>   95

                                      -11-

<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Corporation (continued)
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                           <C>        <C>           <C>                <C>                          <C>
Dallas County, TX                STL                                                                    No active filings
    through 6/26/00              FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
VA, SOS                          UCC       7/21/99        990721-7814     BankBoston, N.A., as Agent    All assets
    through 7/5/00
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
VA, SOS                          FTL                                                                    No active filings
    through 7/5/00
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Roanoke City, VA                 UCC       7/21/99         990000568      BankBoston, N.A., as Agent    All assets
    through 7/3/00
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Roanoke City, VA                 STL                                                                    No active filings
    through 7/3/00               FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------

</TABLE>

<PAGE>   96

                                      -12-

<TABLE>
<CAPTION>
DEBTOR:  Aerospace Rivet Manufacturers Corporation
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                            <C>         <C>            <C>             <C>                          <C>
SOS, CA                          UCC        6/9/97        9716161244      Phoenixcor, Inc.             Specific equipment
    through 6/23/00
                                            7/2/98        9818460953      BankBoston, N.A., as Agent   All assets

                                           7/30/98        98212C0280      same                         Amending #9818460953 to
                                                                                                       replace collateral
                                                                                                       description and change SP
                                                                                                       name to BankBoston, N.A.,
                                                                                                       as Agent

----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
CA, SOS                          STL                                                                   No active filings
    through 6/23/00              FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
SOS, NJ                          UCC       7/30/98          1852489       BankBoston, N.A., as Agent   All assets
    through 6/30/00
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Somerset Co., NJ                 UCC                                                                   No active filings
    through 7/5/00              Fixt
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
</TABLE>

<PAGE>   97

                                      -13-

<TABLE>
<CAPTION>
DEBTOR:  Electronic Connections and Assemblies, Inc.
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                           <C>          <C>          <C>               <C>                           <C>
SOS, IL                          UCC        7/3/95          3419680       FNBB, as Agent                All assets
    through 6/26/00
                                            8/3/98          3888780       same                          Amendment to replace
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/23/00          4170769       same                          continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, IL                          FTL                                                                    No active filings
    through 7/7/00
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Peoria Co., IL                   UCC                                                                    No active filings
    through 7/3/00              Fixt
                                 STL
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, NJ                          UCC        7/3/95          1644114       FNBB, AS AGENT                ALL ASSETS
    through 6/30/00
CSC is checking for a                      7/30/98          1644114       same                          Amendment to replace
    continuation statement                                                                              collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Superior Court, NJ               STL                                                                    No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Somerset Co., NJ                 UCC                                                                    No active filings
    through 7/5/00              Fixt.
                                 FTL
                               J-liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, TX                          UCC        7/3/95         95-129257      FNBB, as Agent                All assets
    through 6/30/98
                                           7/30/98         95-129257      same                          Amendment to replace
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/24/00         95-129257      same                          continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, TX                          FTL                                                                    No active filings
    through 6/25/00
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Dallas, TX                       UCC                                                                    No active filings
    through 6/26/00             Fixt
                                 STL
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
</TABLE>

<PAGE>   98

                                      -14-

<TABLE>
<CAPTION>
DEBTOR:  Ellison Ring & Washer, Inc.
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                            <C>        <C>           <C>               <C>                          <C>
VA, SOS                          UCC       7/21/99        990721 7813     BankBoston, N.A., as Agent   All assets
    through 7/5/00
                                            9/3/99        9909037826      same                         Amendment changing debtor
                                                                                                       address to
                                                                                                       150 Allen Road,
                                                                                                       Liberty Corner, NJ
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
VA, SOS                          FTL                                                                   No active filings
    through 7/5/00
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Roanoke City, VA                 UCC       7/21/99          99-569        BankBoston, N.A., as Agent   All assets
    through 7/3/00
                                            9/3/99           same         same                         Amendment changing debtor
                                                                                                       address to
                                                                                                       150 Allen Road,
                                                                                                       Liberty Corner, NJ
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Roanoke City, VA                 STL                                                                   No active filings
    through 7/3/00               FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
</TABLE>

<PAGE>   99

                                      -15-

<TABLE>
<CAPTION>
DEBTOR:  Industrial Retaining Ring Company
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                            <C>        <C>          <C>                <C>                          <C>
SOS, NJ                          UCC        7/3/95          1644078       FNBB, as Agent                All assets
    through 6/30/00
                                           7/30/98          1644078       same                          Amendment8 to replace
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/10/00          1644078       same                          continuation

                                            9/9/99          1922478       Newcourt Communications       Leased equipment
                                                                          Finance Corporation

                                           6/14/99          1920000       Newcourt Communications       Leased equipment
                                                                          Finance Corporation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Essex Co., NJ                    UCC                                                                    No active filings
    through 6/2/00              Fixt
                                 STL
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Superior Court, NJ               STL                                                                    No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Somerset Co., NJ                 UCC                                                                    No active filings
    through 7/5/00              Fixt
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------

<CAPTION>

DEBTOR:  Norco, Inc.
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                           <C>        <C>           <C>                <C>                          <C>
SOS, CT                          UCC       7/30/98          1867651       BankBoston, N.A., as Agent   All assets
    through 8/2/00
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
SOS, CT                          STL                                                                   No active filings
    through 8/2/00               FTL
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
SOS, NJ                          UCC                                                                   No active filings
    through 7/10/00
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 8/3/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Somerset Co., NJ                 UCC                                                                   No active filings
    through 8/7/00              Fixt
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
</TABLE>

<PAGE>   100

                                      -16-

<TABLE>
<CAPTION>
DEBTOR:  Palnut Fasteners, Inc.
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                           <C>         <C>          <C>                <C>                           <C>
SOS, NJ                          UCC        7/3/95          1644089       FNBB, as Agent                All assets
    through 6/30/00
                                           3/28/96           same         same                          amending debtor address

                                           7/30/98           same         same                          Amending #1644089 to
                                                                                                        replace collateral
                                                                                                        description and change SP
                                                                                                        name to BankBoston, N.A.,
                                                                                                        as Agent

                                           2/14/00           same         same                          continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Superior Court, NJ               STL                                                                    No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Somerset Co., NJ                 UCC                                                                    No active filings
    through 7/5/00              Fixt.
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------

<CAPTION>

DEBTOR:  The Palnut Corporation
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                            <C>        <C>           <C>                <C>                        <C>
SOS, NJ                          UCC                                                                   No active filings
    through 6/30/00
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Somerset Co., NJ                 UCC                                                                   No active filings
    through 7/5/00              Fixt
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
</TABLE>

<PAGE>   101
                                      -17-
<TABLE>
<CAPTION>

DEBTOR:  Rancho TransTechnology Corporation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                            <C>        <C>           <C>                <C>                        <C>
SOS, CA                          UCC        7/3/95        9519260602      FNBB, as Agent                All assets
    through 6/23/00

                                           3/28/96        96089C0308      same                          amending debtor address

                                           7/30/98        98212C0278      same                          Amendment to replace
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/10/00         0041C0612      same                          continuation

                                            7/7/95        9519860676      FNBB                          Fixture filing

                                            9/3/99        99251C0619      same                          changing address of the
                                                                                                        debtor and name of SP to
                                                                                                        BankBoston, N.A. as Agent

                                           2/10/00         0041C0604      same                          continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, CA                          STL                                                                    No active filings
    through 6/23/00              FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, NJ                          UCC        7/3/95          1644116       FNBB, as Agent                All assets
    through 6/30/00
                                           3/28/96           same         same                          amending debtor address

                                           7/30/98           same         same                          Amendment to replace
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/14/00           same         same                          continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Superior Court, NJ               STL                                                                    No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Somerset Co., NJ                 UCC                                                                    No active filings
    through 7/5/00              Fixt.
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
</TABLE>

<PAGE>   102
                                      -18-
<TABLE>
<CAPTION>

DEBTOR:  Retainers, Inc.
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                            <C>        <C>           <C>                <C>                        <C>
SOS, NJ                          UCC        7/3/95          1644031       FNBB, as Agent               All assets
    through 6/30/00
                                           7/30/98           same         same                         Amendment to replace
                                                                                                       collateral description and
                                                                                                       change SP name to
                                                                                                       BankBoston, N.A., as Agent

                                           2/10/00           same         same                         continuation

                                            7/7/95          1644744       FNBB                         Fixture filing

                                            9/3/99           same         same                         amendment changing debtor
                                                                                                       address and SP name to
                                                                                                       BankBoston, N.A. as Agent

                                           2/10/00           same         same                         continuation
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Essex Co., NJ                    UCC        7/6/95           78284        FNBB                         Fixture filing
    through 6/2/00              Fixt
                                            9/3/99          190861        same                         amendment changing debtor
                                                                                                       address and SP name to
                                                                                                       BankBoston, N.A. as Agent

                                           5/17/00          289611        same                         continuation
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Essex Co., NJ                    FTL                                                                   No active filings
    through 6/2/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
</TABLE>

<PAGE>   103
                                      -19-
<TABLE>
<CAPTION>

DEBTOR:  Seeger Inc.
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                            <C>        <C>           <C>                <C>                        <C>
SOS, NJ                          UCC       12/14/95         1672243       FNBB, as Agent               All assets
    through 6/30/00
                                           10/29/96          same         same                         partial release of above

                                           8/11/98           same         same                         Amendment to replace
                                                                                                       collateral description,
                                                                                                       change debtor address and
                                                                                                       change SP name to
                                                                                                       BankBoston, N.A., as Agent

                                            7/3/95          1644041       FNBB, as Agent               All assets

                                           12/14/95          same         same                         amending  debtor  name from
                                                                                                       Waldes Truarc Inc.

                                           10/29/96          same         same                         partial release of above

                                           8/11/98           same         same                         Amendment to replace
                                                                                                       collateral description,
                                                                                                       change debtor address and
                                                                                                       change SP name to
                                                                                                       BankBoston, N.A., as Agent

                                           2/10/00           same         same                         continuation
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Somerset Co., NJ                 UCC                                                                   No active filings
    through 7/5/00              Fixt.
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
</TABLE>

<PAGE>   104
                                      -20-
<TABLE>
<CAPTION>

DEBTOR:  SSP Industries
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                            <C>        <C>           <C>                <C>                        <C>
SOS, NJ                          UCC        7/3/95          1644074       FNBB, as Agent               All assets
    through 6/30/00
                                           3/28/96           same         same                         amending debtor address

                                           7/30/98          1644074       FNBB, as Agent               Amending #1644074 to
                                                                                                       replace collateral
                                                                                                       description and change SP
                                                                                                       name to BankBoston, N.A.,
                                                                                                       as Agent

                                           2/10/00           same         same                         continuation
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Somerset Co., NJ                 UCC                                                                   No active filings
    through 7/5/00              Fixt.
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<CAPTION>

DEBTOR:  SSP International Sales, Inc.
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                            <C>        <C>           <C>               <C>                        <C>
SOS, NJ                          UCC        7/3/95          1644081       FNBB, as Agent               All assets
    through 6/30/00
                                           3/28/96           same         same                         amending debtor address

                                           7/30/98           same         same                         Amendment to replace
                                                                                                       collateral description and
                                                                                                       change SP name to
                                                                                                       BankBoston, N.A., as Agent

                                           2/10/00           same         same                         continuation
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Union Co., NJ                    UCC                                                                   No active filings
    through 7/7/00              Fixt
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Somerset Co., NJ                 UCC                                                                   No active filings
    through 7/5/00              Fixt
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
</TABLE>

<PAGE>   105
                                      -21-
<TABLE>
<CAPTION>

DEBTOR:  TCR Corporation
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                            <C>        <C>             <C>             <C>                          <C>
SOS, MN                          UCC       11/6/00          1801664       Northern States Power        Lighting
    through 7/3/00                                                        Company

                                            6/9/99          2138121       Banc One Leasing             Leased equipment
                                                                          Corporation

                                           6/30/99         21436841       Banc One Leasing             Leased equipment
                                                                          Corporation

                                           4/18/97          1933979       FNBB, as Agent               All assets

                                            8/6/98          2059014       same                         Amendment to replace
                                                                                                       collateral description and
                                                                                                       change SP name to
                                                                                                       BankBoston, N.A., as Agent

                                            9/3/99          2159982       same                         Amendment to debtor address
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
SOS, MN                          STL                                                                   No active filings
    through 7/3/00               FTL
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
SOS, NJ                          UCC       7/30/98          1852488       BankBoston, N.A.             All assets
    through 6/30/00
                                            9/3/99           same         same                         Amendment to debtor address
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Somerset Co., NJ                 UCC                                                                   No active filings
    through 7/5/00              Fixt.
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
</TABLE>

<PAGE>   106

                                      -22-

<TABLE>
<CAPTION>
DEBTOR:  TransTechnology Acquisition Corporation
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                             <C>        <C>            <C>             <C>                          <C>
SOS, NJ                          UCC        7/3/95          1644043       FNBB, as Agent               All assets
    through 6/30/00
                                           3/28/96           same         same                         amending debtor address

                                           7/30/98           same         same                         Amending #1644043 to
                                                                                                       replace collateral
                                                                                                       description and change SP
                                                                                                       name to BankBoston, N.A.,
                                                                                                       as Agent
                                                                                                       (Debtor name is
                                                                                                       incorrectly listed as
                                                                                                       TransTechnology
                                                                                                       Corporation)

                                            8/6/98           same         same                         Amending #1644043 to
                                                                                                       replace collateral
                                                                                                       description and change SP
                                                                                                       name to BankBoston, N.A.,
                                                                                                       as Agent

                                           2/10/00           SAME         SAME                         CONTINUATION.  DEBTOR NAME
                                                                                                       READS TRANSTECHNOLOGY
                                                                                                       CORPORATION

----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Somerset Co., NJ                 UCC                                                                   No active filings
    through 7/5/00              Fixt.
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
</TABLE>

<PAGE>   107
                                      -23-
<TABLE>
<CAPTION>

DEBTOR:  TransTechnology Engineered Components, LLC
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                             <C>        <C>            <C>             <C>                          <C>
SOS, NJ                          UCC        9/3/99          1927657       BankBoston, N.A., as Agent   All assets
    through 7/19/00
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Somerset Co., NJ                 UCC                                                                   No active filings
    through 8/15/00             Fixt
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Union Co., NJ                    UCC                                                                   No active filings
    through 8/14/00             Fixt
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 8/15/00            J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
OH, SOS                          UCC        9/2/99         AP0173177      BankBoston, N.A.             copy pending
    through 7/17/00
                                            9/2/99         AP0173178      BankBoston, N.A.             copy pending

                                            9/7/99         AP174406       BankBoston, N.A., as Agent   copy pending
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Medina Co., OH                   UCC                                                                   No active filings
    through 8/15/00             Fixt.
                                 STL
                                 FTL
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Stark Co., OH                    UCC        9/3/99           82572        BankBoston, N.A., as Agent   All assets
    through 8/15/00             Fixt
                                           10/6/99          83549 &       BankBoston, N.A., as Agent   Fixture filing
                                                          1999075419

----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Stark Co., OH                    STL                                                                   No active filings
    through 8/15/00              FTL
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------

<CAPTION>

DEBTOR:  TransTechnology Engineered Rings USA, Inc.
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                            <C>          <C>           <C>             <C>                        <C>
SOS, NJ                          UCC                                                                   No active filings
    through 7/19/00
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Essex Co., NJ                    UCC                                                                   No active filings
    through 8/14/00              FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 8/15/00            J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
</TABLE>

<PAGE>   108

                                      -24-
<TABLE>
<CAPTION>

DEBTOR:  TransTechnology International Corporation
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                            <C>        <C>           <C>                <C>                        <C>
CT, SOS                          UCC                                                                   No active filings
    through 7/26/00              STL
                                 FTL
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
SOS, NJ                          UCC        9/3/99          1927652       BankBoston, N.A., as Agent   All assets
    through 6/30/00
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Somerset Co., NJ                 FTL                                                                   No active filings
    through 7/5/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------

<CAPTION>

DEBTOR:  Transtechnology Seeger Inc.
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                            <C>        <C>             <C>             <C>                           <C>
SOS, NJ                          UCC       1/17/96          1677628       FNBB, as Agent                All assets
    through 6/30/00
                                           8/11/98           same         same                          Amenment to replace
                                                                                                        collateral description,
                                                                                                        change debtor address and
                                                                                                        change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                            7/3/95          1644086       FNBB, as Agent                All assets

                                           1/17/96           same         same                          amending     name     from
                                                                                                        TransTechnology
                                                                                                        Seeger-Orbis, Inc.

                                           3/28/96           same         same                          amending debtor address

                                           7/30/98           same         same                          Amendment to replace
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/10/00           same         same                          continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Superior Court, NJ               STL                                                                    No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Somerset Co., NJ                 UCC                                                                    No active filings
    through 7/5/00              Fixt
                                 FTL
                               J-liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
</TABLE>

<PAGE>   109

                                      -25-
<TABLE>
<CAPTION>

DEBTOR:  TransTechnology Systems & Services, Inc.
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                 Collateral/Comments
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
<S>                            <C>        <C>             <C>             <C>                           <C>
SOS, MI                          UCC        7/3/95          57999B        FNBB, as Agent                All assets
    through 6/19/00
                                           5/28/96          69068B        same                          amending debtor address

                                            8/4/98          D406523       same                          Amendment to replace
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/24/00          11443C        same                          continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, MI                          STL                                                                    No active filings
    through 6/19/00              FTL
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
SOS, NJ                          UCC        7/3/95          1644112       FNBB, as Agent                All assets
    through 6/30/00
                                           3/28/96           same         same                          amending debtor address

                                           7/30/98           same         same                          Amendment to replace
                                                                                                        collateral description
                                                                                                        and change SP name to
                                                                                                        BankBoston, N.A., as Agent

                                           2/10/00           same         same                          continuation
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Superior Court, NJ               STL                                                                    No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------
Somerset Co., NJ                 UCC                                                                    No active filings
    through 7/5/00              Fixt.
                                 FTL
                               J-liens
----------------------------- ---------- ------------- ------------------ ----------------------------- ---------------------------

<CAPTION>
DEBTOR:  T.T. Acquisition Corporation
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Jurisdiction                   Indices       Date          File No.       Secured Party                Collateral/Comments
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
<S>                            <C>        <C>             <C>             <C>                           <C>
SOS, NJ                          UCC                                                                   No active filings
    through 6/30/00
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Superior Court, NJ               STL                                                                   No active filings
    through 7/6/00             J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
Somerset Co., NJ                 UCC                                                                   No active filings
    through 7/5/00              Fixt
                                 FTL
                               J-Liens
----------------------------- ---------- ------------- ------------------ ---------------------------- ----------------------------
</TABLE>

<PAGE>   110

                                  SCHEDULE 5.9

                              USE OF REAL PROPERTY

1.   TransTechnology (GB) Limited is engaging in procedures to comply with the
     requirements for obtaining a fire certificate at the manufacturing facility
     in Keighley, England.

2.   Joint Meetings of Essex and Union Counties, New Jersey ("Joint Meeting")
     advised TransTechnology Engineered Rings USA, Inc. (f/k/a Industrial
     Retaining Ring Company) that it was in violation of Joint Meeting's
     self-monitoring reporting requirements for total cyanide and cyanide
     amendable for the months of January and February 1999. The matter was
     resolved by the parties through the entry of an Administrative Consent
     Order.

3.   List of facilities without Certificates of Occupancy:

     Aerospace Rivet Manufacturers Corporation (City of Industry, CA)
     TCR Corporation (Minneapolis, MN)
     The Palnut Company, a division of The Company (Mountainside, NJ)
     TransTechnology Engineered Components, LLC (Massillon, OH)
     TransTechnology Engineered Rings USA, Inc. (Irvington, NJ)

<PAGE>   111

                                  SCHEDULE 5.10

                                      TAXES

1.   There is an employment tax audit for fiscal year end March 31, 1995
     currently under appeal. A waiver of time for assessment is in place through
     December 2000.

2.   In the ordinary course of business, the Company and its Subsidiaries have
     filed for extensions of time in which to file federal, state and local
     income tax returns for the fiscal year ending March 31, 2000.

<PAGE>   112

                                  SCHEDULE 5.14

                      ABSENCE OF CERTAIN CHANGES OR EVENTS

1.   Since March 31, 2000, TransTechnology (GB) Limited sold its real property
     in Bingley, West Yorkshire, England.

<PAGE>   113

                                  SCHEDULE 5.15

                              ENVIRONMENTAL MATTERS

1.   See attached reports.

<PAGE>   114
SCHEDULE 5.15
-------------

A. TRANSTECHNOLOGY DIVISIONS THAT STORE HAZARDOUS MATERIALS:
------------------------------------------------------------

BREEZE EASTERN
BREEZE INDUSTRIAL PRODUCTS
TRANSTECHNOLOGY ENGINEERED RINGS USA (f/k/a INDUSTRIAL RETAINING RING)
PALNUT
NORCO
TCR
ARM
TRANSTECHNOLOGY ENGINEERED COMPONENTS (TTEC), MASSILLON, OH
TRANSTECHNOLOGY ENGINEERED COMPONENTS (TTEC), BRUNSWICK, OH
TRANSTECHNOLOGY ENGINEERED COMPONENTS (TTEC), ONTARIO, CANADA
TRANSTECHNOLOGY GREAT BRITAIN (TTGB)
SEEGER ORBIS KONIGSTEIN
PEBRA
TT BRASIL

B. PROPERTY DISCLOSURES (RELEASE OF HAZARDOUS MATERIALS AND/OR LISTED SITE):
----------------------------------------------------------------------------

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------
              SITE IDENTITY AND LOCATION                                    DESCRIPTION

------------------------------------------------------------------------------------------------------------
<S>                                                     <C>
FEDERAL LABORATORIES, SALTSBURG, PA                     THREE (3) PRINCIPAL AREAS OF ENVIRONMENTAL
(DIVESTED BUSINESS)                                     IMPAIRMENT (AREA 15A, AREA 11, AND THE EASTERN
                                                        PORTIONS OF THE PROPERTY).  SOIL, SURFACE WATER
                                                        AND GROUNDWATER IMPACTED WITH SPECIFIC METALS,
                                                        VOCs, AND SVOCs.
------------------------------------------------------------------------------------------------------------
INDUSTRIAL RETAINING RING COMPANY,                      SOIL AND GROUNDWATER IMPACTED WITH SPECIFIC METALS,
IRVINGTON, NJ                                           PETROLEUM HYDROCARBONS, AND VOCs.
------------------------------------------------------------------------------------------------------------
TRANSTECHNOLOGY ENGINEERED FASTENERS,                   SOIL AND GROUNDWATER IMPACTED WITH SPECIFIC
MASSILLON, OH                                           PETROLEUM HYDROCARBONS, SVOCs, AND VOCs.
------------------------------------------------------------------------------------------------------------
TRANSTECHNOLOGY ENGINEERED FASTENERS,                   THIRD PARTY RESPONSIBLE FOR ON-SITE GROUNDWATER
HAMILTON, ONTARIO, CANADA                               VOC IMPACTS.
------------------------------------------------------------------------------------------------------------
BREEZE EASTERN, UNION, NJ                               SOIL AND GROUNDWATER IMPACTED WITH SPECIFIC PETROLEUM
                                                        HYDROCARBONS AND VOCs.
------------------------------------------------------------------------------------------------------------
NORCO, INC., RIDGEFIELD, CT                             SOIL AND GROUNDWATER IMPACTED WITH SPECIFIC METALS,
                                                        PETROLEUM HYDROCARBONS, AND VOCs. TTC INDEMNIFIED BY
                                                        SELLER IN SHARE PURCHASE AGREEMENT FOR ENVIRONMENTAL
                                                        COST RISK RANGE FROM $50K TO $650K.
------------------------------------------------------------------------------------------------------------
TCR CORPORATION, MINNEAPOLIS, MN                        SITE RECENTLY (APRIL 2000) ACHIEVED MPCA CLOSURE
                                                        STATUS.
------------------------------------------------------------------------------------------------------------
TRANSTECHNOLOGY ELECTRONICS, WYOMING, IL                SOIL AND GROUNDWATER IMPACTED WITH SPECIFIC METALS
(DIVESTED BUSINESS)                                     AND VOCs.
------------------------------------------------------------------------------------------------------------
TRANSTECHNOLOGY SYSTEMS & SERVICES, GLEN                SOIL AND GROUNDWATER IMPACTED WITH SPECIFIC METALS
HEAD, NY                                                AND VOCs. CONTRIBUTION TO ONSITE CONTAMINATION BY
(DIVESTED BUSINESS)                                     OFF SITE SOURCES.
------------------------------------------------------------------------------------------------------------
</TABLE>

<PAGE>   115

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------
<S>                                                     <C>
AEROSPACE RIVET MANUFACTURING                           SOIL AND GROUNDWATER IMPACTED WITH SPECIFIC METALS
CORPORATION, SANTA FE, CA                               SPRINGS AND VOCS. TTC INDEMNIFIED FOR SUBSURFACE RISK
(FORMER LEASED PROPERTY. ARM IS NO LONGER               BY SELLER.
LOCATED IN SANTA FE SPRINGS, CA)
------------------------------------------------------------------------------------------------------------
SPACE ORDNANCE SYSTEMS, PLACERITA CANYON                GROUNDWATER IMPACTED WITH SPECIFIC VOCS. SITE
SITE, SANTA CLARITA, CA                                 UNDERGOING LONG-TERM GROUNDWATER REMEDIATION.
(DIVESTED BUSINESS)
------------------------------------------------------------------------------------------------------------
SPACE ORDNANCE SYSTEMS, CALAVERAS                       GROUNDWATER IMPACTED WITH SPECIFIC VOCs. SITE
RESERVOIR, MILPITAS, CA                                 UNDERGOING MNA GROUNDWATER REMEDY.
(DIVESTED BUSINESS)
------------------------------------------------------------------------------------------------------------
GESSNER HOWARD MILLER, WORCESTER, MA                    SOIL AND GROUNDWATER IMPACTED WITH SPECIFIC
(DIVESTED BUSINESS)                                     PETROLEUM HYDROCARBONS.
------------------------------------------------------------------------------------------------------------
STAINLESS STEEL PRODUCTS, BURBANK, CA                   SOIL AND GROUNDWATER IMPACTED WITH SPECIFIC VOCs.
(DIVESTED BUSINESS)
------------------------------------------------------------------------------------------------------------
TRANSTECHNOLOGY GB LTD., GLUSBURN, WEST                 NO MATERIAL SITE ENVIRONMENTAL IMPAIRMENT.
YORKSHIRE, UK
------------------------------------------------------------------------------------------------------------
ANDERTON INTERNATIONAL, BINGLEY,                        SOIL AND GROUNDWATER IMPACTED WITH SPECIFIC VOCs.
WEST YORKSHIRE, UK                                      SITE DIVESTED 7/31/00.
------------------------------------------------------------------------------------------------------------
TRANSTECHNOLOGY BRASIL, LTDA., DIADEMA,                 SOIL AND GROUNDWATER IMPACTED WITH SPECIFIC VOCs.
SAO PAULO, BRAZIL
------------------------------------------------------------------------------------------------------------
ADJOINING PROPERTIES                                    PROPERTIES ADJOINING EXISTING OR DIVESTED TTC
                                                        BUSINESSES WHERE HAZARDOUS MATERIALS MAY HAVE BEEN
                                                        RELEASED (CONDITIONS CURRENTLY UNKNOWN TO TTC).
------------------------------------------------------------------------------------------------------------
</TABLE>

C. AFFIRMATIVE OBLIGATIONS UNDER ORDERS, DECREES, JUDGMENTS, AND AGREEMENTS
---------------------------------------------------------------------------

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------
     SITE/MATTER TO WHICH OBLIGATION IS ATTACHED                           DESCRIPTION
------------------------------------------------------------------------------------------------------------
<S>                                                    <C>
FEDERAL LABORATORIES, SALTSBURG, PA                    CONSENT ORDER & AGREEMENT WITH PADEP FOR AREA 15A.
(DIVESTED BUSINESS)
------------------------------------------------------------------------------------------------------------
SPACE ORDINANCE SYSTEMS, CALAVERAS                     1) RWQCB ORDER ISSUED TO TTC AND SRI FOR, AMONG OTHER
RESERVOIR, MILPITAS, CA                                SUBORDINATE ISSUES, MNA GROUNDWATER REMEDY.
(DIVESTED BUSINESS)
                                                       2) TTC HAS ENTERED INTO A 50/50 COST SHARING
                                                       AGREEMENT WITH ANOTHER PRP WHICH CONTEMPLATES PRESENT
                                                       AND FUTURE ENVIRONMENTAL RESPONSE COSTS INCURRED AT
                                                       THE SITE.
------------------------------------------------------------------------------------------------------------
CAE ELECTRONICS, SUNNYVALE, CA                         RWQCB ORDERS ISSUED TO CAE, TTC AND OTHERS FOR, AMONG
                                                       OTHER SUBORDINATE ISSUES, O&M OF EXISTING GROUNDWATER
                                                       REMEDIATION SYSTEM AND FURTHER REGIONAL GROUNDWATER
                                                       INVESTIGATION ACTIVITIES. CONTRIBUTION TO ONSITE
                                                       CONTAMINATION BY OFF SITE SOURCES.

------------------------------------------------------------------------------------------------------------
AQUA-TECH CERCLA MATTER, GREER, SC                     TWO FORMER TTC BUSINESSES ARE NAMED PRPs ON VARIOUS
                                                       USEPA ORDERS RELATED TO ON-GOING
                                                       INVESTIGATION/REMEDIATION ACTIVITIES AT THIS FORMER
                                                       TSDF.
------------------------------------------------------------------------------------------------------------
FOUR COUNTY LANDFILL STATE SUPERFUND                   TWO FORMER TTC BUSINESSES ARE NAMED PRPs ON VARIOUS
MATTER, DE LONG, IN                                    RIDEM ORDERS RELATED TO ON-GOING
                                                       INVESTIGATION/REMEDIATION ACTIVITIES AT THIS FORMER
                                                       TSDF.
------------------------------------------------------------------------------------------------------------
</TABLE>

<PAGE>   116

<TABLE>

------------------------------------------------------------------------------------------------------------
<S>                                                    <C>
SPECTRON CERCLA SITE, ELKTON, MD                       ONE TTC BUSINESS IS A NAMED PRP ON VARIOUS USEPA
                                                       ORDERS RELATED TO ON-GOING INVESTIGATION/REMEDIATION
                                                       ACTIVITIES AT THIS FORMER TSDF.
------------------------------------------------------------------------------------------------------------
WARDEN OIL STATE SUPERFUND SITE,                       ONE TTC BUSINESS IS A NAMED PRP ON VARIOUS USEPA
MINNEAPOLIS, MN                                        ORDERS RELATED TO ON-GOING INVESTIGATION/REMEDIATION
                                                       ACTIVITIES AT THIS FORMER TSDF.
------------------------------------------------------------------------------------------------------------
FRONTIER CHEMICAL SITE, NIAGARA FALLS, NY              TWO FORMER TTC BUSINESSES ARE NAMED PRPS ON USEPA
                                                       ORDER RELATED TO A COMPLETED WASTE REMOVAL ACTION AT
                                                       THIS FORMER TSDF.
------------------------------------------------------------------------------------------------------------
STAINLESS STEEL PRODUCTS, BURBANK, CA                  TTC HAS ENTERED INTO A 30 (TTC)/70 (SSP) COST SHARING
(DIVESTED BUSINESS)                                    AGREEMENT WITH CURRENT PROPERTY OPERATOR WHICH
                                                       CONTEMPLATES PRESENT AND FUTURE ENVIRONMENTAL RESPONSE
                                                       COSTS INCURRED AT THE SITE.
------------------------------------------------------------------------------------------------------------
BREEZE INDUSTRIAL PRODUCTS (BIP),                      BIP ISSUED A CONSENT ORDER RELATED TO PAST INSTANCES
SALTSBURG, PA                                          OF SANITARY SEWERAGE DISCHARGE NON-COMPLIANCE. CO
                                                       REQUIRED THE UPGRADING OF BIP'S EXISTING PRE-TREATMENT
                                                       SYSTEM (COMPLETED 1999). UPGRADED SYSTEM FUNCTIONING
                                                       PER DESIGN.
------------------------------------------------------------------------------------------------------------
</TABLE>

D. ENVIRONMENTAL LITIGATION
---------------------------

<TABLE>
<CAPTION>

------------------------------------------------------------------------------------------------------------
    SITE/MATTER TO WHICH LITIGATION IS                                 DESCRIPTION
             ASSOCIATED
------------------------------------------------------------------------------------------------------------
<S>                                                    <C>
CAE ELECTRONICS, SUNNYVALE, CA                         ON-GOING PAST ENVIRONMENTAL COST RECOVERY LITIGATION
                                                       AGAINST TTC BY CURRENT CAE BUSINESS.
------------------------------------------------------------------------------------------------------------
</TABLE>

E. OTHER DIVESTED BUSINESSES SITES (REMEDIATED AND CLOSED OR FOR WHICH NO
-------------------------------------------------------------------------
CURRENT ACTION IS IDENTIFIED)
-----------------------------

EASTERN ROTOCRAFT (DOYLESTOWN, PA)
SIDEREAL (PORTLAND, OR)
LUNDY UK (PORTSMOUTH, ENGLAND)
HOWARD BROTHERS (AUBURN, MA)
LLOYD MANUFACTURING (WARREN, RI)
BELFORT INSTRUMENTS (BALTIMORE, MD)
LUNDY FINANCIAL SYSTEMS (CHARLOTTE, NC)
LUNDY TECHNICAL CENTER (POMPANO BEACH, FL)

<PAGE>   117
                     OFFICE OF ENVIRONMENTAL AFFAIRS REPORT
                           PERIOD ENDING JUNE 30, 2000
                           ---------------------------

The following table and narrative outline the current status of TransTechnology
Corporation's Environmental Projects/Matters. These projects are being managed
by the TransTechnology Corporation Office of Environmental Affairs ("TTC OEA").
Those sites or environmental issues not listed or discussed below have no
substantively new or updated information to convey. BOLDED TEXT INDICATES THAT
NEW OR UPDATED INFORMATION IS PROVIDED.

--------------------------------------------------------------------------------
   SITE/MATTER           ISSUE                        CURRENT STATUS
   -----------           -----                        --------------
--------------------------------------------------------------------------------
FEDERAL             TTC/TVA/AEC Site        CRA completed an Act 2 compliant
LABORATORIES        Activities - Area       clean-up plan required under the
(FL),               15A (CNS tear gas       PADEP COA submitted to PADEP in
SALTSBURG, PA       drum disposal area)     early January 2000. PADEP responded
                    and Remedial design     by disapproving the plan on a
                    of groundwater RA       technical basis in late March. This
                    for Area 15A on TTC     action was expected by TTC OEA.
                    owned property          PADEPs primary issues relate to 1)
                                            the lack of complete vertical and
                                            horizontal delineation of
                                            groundwater contamination emanating
                                            from the Area 15A source location
                                            and 2) no media specific remedy was
                                            proposed in the clean-up plan.
                                            Strategically, TTC OEA omitted
                                            reference to a specific remedy so
                                            that other (perhaps more cost
                                            effective) 'innovative' technologies
                                            could be field evaluated prior to
                                            committing to groundwater
                                            extraction. TTC has acquired
                                            approximately 210 acres of land from
                                            ICI, thus providing TTC OEA with
                                            unrestricted access to the property
                                            down gradient of Area 15A.
                                            ADDITIONAL GROUNDWATER AND
                                            OVERBURDEN SITE CHARACTERIZATION IN
                                            AREA 15A IS CURRENTLY TAKING PLACE
                                            AND IS ANTICIPATED TO BE COMPLETE IN
                                            JULY (2Q FY01). Following completion
                                            of this phase of field work, TTC
                                            will proceed to evaluate and then
                                            select a favorable remedial
                                            alternative, revise the clean-up
                                            plan, and submit the document to
                                            PADEP for approval. It is likely
                                            that the remedy will now be sited on
                                            the property acquired from ICI.
                                            Relocation of the remediation system
                                            away from the immediate contaminant
                                            source area may provide some value
                                            and long term cost savings to the
                                            company. The remedy implementation
                                            schedule has a duration of
                                            approximately 1.5 years. Otherwise,
                                            no change in status of technical
                                            issues since last report.
--------------------------------------------------------------------------------
FL                  PaDEP Consent           No change in status of COA issues
                    Order and               since last report.
                    Agreement (COA)
                    for Area
                    15A/TTC-DOJ
                    liability issues
--------------------------------------------------------------------------------
TTC ELECTRONICS     Detailed design         No change in status since last
(TTE),  WYOMING,    of shallow              report.
IL                  groundwater
                    remedy
--------------------------------------------------------------------------------
SOS, PLACERITA      Property                QUARTERLY GROUNDWATER MONITORING
CANYON FACILITY     Development             REPORTS SUMMARIZING GROUNDWATER
(SOS PCF), CA       -Groundwater            REMEDIATION ACTIVITIES CONTINUE TO
                    mitigation              BE SUBMITTED TO THE RWQCB AND DTSC.
                                            THE RWQCB ASSIGNED A CASE OFFICER TO
                                            THIS PROJECT DURING 1Q FY01 (THE
                                            BOARD HAS NOT ASSIGNED A CASE
                                            OFFICER TO THIS PROJECT SINCE
                                            APPROXIMATELY 1995 DUE TO
                                            INSUFFICIENT STAFFING AT THE BOARD).
                                            THE RWQCB WILL ONCE AGAIN BE
                                            REVIEWING QUARTERLY REPORTS AS THEY
                                            DID IN THE 1980S AND EARLY 1990S.
                                            TTC DOES NOT ANTICIPATE ANY CHANGES
                                            BASED ON THIS MORE ACTIVE OVERSIGHT
                                            BY THE RWQCB. No change in the
                                            technical status since last report.
--------------------------------------------------------------------------------
STAINLESS STEEL     Soil                    CRA submitted a proposed ISVE system
PRODUCTS (SSP),     remediation             closure plan to the CA RWQCB in
BURBANK, CA         project                 December 1999. As expected, the plan
                                            was rejected due to the presence of
                                            VOC concentrations in the 'deeper
                                            zone' underlying the site exceeding
                                            calculated numerical screening
                                            criteria. Consequently, the ISVE
                                            system will remain operative through
                                            FY 01.

                                            For reasons that are unclear, the
                                            RWQCB has requested that SSP and
                                            other regional PRPs perform an
                                            investigation regarding the historic
                                            use of chromium (Cr) at their sites,
                                            conduct additional on-site
                                            groundwater sampling for the Cr
                                            parameter, and then report the
                                            resulting data. TTC PREPARED A
                                            PACKAGE OF MATERIAL SUMMARIZING THE
                                            CR PARAMETER AS IT RELATES TO
                                            HISTORIC OPERATIONS AND PREVIOUS
                                            CHARACTERIZATION AT THE SITE AND
                                            SUBMITTED THE PACKAGE TO THE RWQCB.
                                            TO DATE THE RWQCB HAS NOT RESPONDED
                                            TO THE SUBMITTAL.
--------------------------------------------------------------------------------
<PAGE>   118
--------------------------------------------------------------------------------
INDUSTRIAL          Additional site         NJDEP required that TTC 1) further
RETAINING RING      investigation           investigate other areas of the site
COMPANY (IRR),      and remedial            where metals not characteristic of
IRVINGTON, NJ       actions                 regional fill material have been
                                            measured above NJDEP soil cleanup
                                            criteria (e.g., mercury and
                                            antimony), 2) evaluate and then
                                            certify the integrity of many
                                            subgrade structures (e.g, sumps)
                                            present at the site, and 3) perform
                                            an additional groundwater sampling
                                            event in order to support TTC's
                                            assertion that groundwater
                                            contamination observed beneath the
                                            IRR site is predominantly the result
                                            of multiple off-site
                                            releases/sources. MOST OF THESE
                                            FIELD ACTIVITIES WERE COMPLETED
                                            DURING 1Q FY01. TTC STILL NEEDS TO
                                            OBTAIN SEVERAL SHALLOW SOIL SAMPLES
                                            FROM THE CONRAIL EASEMENT ADJACENT
                                            TO THE IRR PROPERTY. AN ACCESS
                                            AGREEMENT HAS BEEN SIGNED AND
                                            RETURNED TO CONRAIL AND TTC
                                            ANTICIPATES THAT THE REMAINING FIELD
                                            WORK WILL BE COMPLETED DURING JULY
                                            OR EARLY AUGUST. FOLLOWING
                                            COMPLETION OF THE ANALYSIS OF
                                            SAMPLES COLLECTED DURING THE
                                            INVESTIGATION, TTC WILL SUMMARIZE
                                            THE RESULTS IN A REPORT WHICH WILL
                                            BE SUBMITTED TO NJDEP.
--------------------------------------------------------------------------------
TCR CORPORATION     Soil and                The MN MPCA approved the groundwater
(TCR),              groundwater             remediation closure report submitted
MINNEAPOLIS, MN     assessment              to the agency in November 1999. MPCA
                                            PROVIDED WRITTEN NOTIFICATION THAT
                                            NO ADDITIONAL ACTION IS REQUIRED AND
                                            MONITORING WELLS WERE ABANDONED
                                            DURING 1Q FY00. THE PROJECT HAS BEEN
                                            SUCCESSFULLY COMPLETED.
--------------------------------------------------------------------------------
NORCO, INC.         Soil and                CTDEP approved a modified Haley &
(NORCO),            groundwater             Aldrich (site consultant) Phase III
RIDGEFIELD, CT      assessment              workplan in February 2000 and the
                                            scope of work was successfully
                                            implemented in mid-March.
                                            GROUNDWATER DATA INDICATE THAT
                                            ELEVATED LEVELS OF METALS (PRIMARILY
                                            ARSENIC) ARE PRESENT IN GROUNDWATER
                                            BENEATH THE SITE. THESE ELEVATED
                                            METALS CONCENTRATIONS MAY BE
                                            NATURALLY OCCURRING AND RELATED TO
                                            THE MATRIX MATERIAL IN WHICH THE
                                            WATER OCCURS. IN AN EFFORT TO
                                            DETERMINE WHETHER THE ELEVATED
                                            METALS CONCENTRATIONS ARE NATURALLY
                                            OCCURRING (BACKGROUND), TTC
                                            REQUESTED THAT THE CORE SAMPLES
                                            OBTAINED DURING DRILLING BE ANALYZED
                                            FOR METALS. TTC OEA IS CURRENTLY
                                            AWAITING THE RESULTS OF THESE
                                            ADDITIONAL ANALYSES.
--------------------------------------------------------------------------------
BREEZE EASTERN      Environmental           Issues related to property
(BE), UNION, NJ     issues                  divestiture, site development, and
                    associated with         the NJDEP MOA are described below:
                    the sale of an
                    undeveloped             I. MOA ISSUES: SOIL BORINGS WERE
                    parcel of land          CONDUCTED IN AND AROUND THE FORMER
                    located at BE           LOCATION OF A 20,000 GALLON
                                            UNDERGROUND STORAGE TANK (UST).
                    BE NJDEP ISRA           BASED ON THE RESULTS OF THE FIELD
                    MOA                     INVESTIGATION, THE TANK APPEARS TO
                                            HAVE BEEN REMOVED AND THE EXCAVATION
                                            BACKFILLED WITH FILL MATERIAL.
                                            RESULTS OF THE ANALYSIS OF THE SOIL
                                            SAMPLES COLLECTED DURING THE
                                            INVESTIGATION ARE PENDING.

                                            II. PROPERTY DEVELOPMENT ISSUES: No
                                            change in status of technical issues
                                            since last report.

                                            III. ADMINISTRATIVE ISSUES RELATED
                                            TO PROPERTY DEVELOPMENT: No change
                                            in status since last report.

                                            IV. ISO 14001: BE successfully
                                            completed the last ISO audit and
                                            remains ISO 14001 registered.
--------------------------------------------------------------------------------
FORMER LUNDY        Environmental           THE SITE HAS BEEN LISTED ON THE NEW
SYSTEMS AND         site mitigation         YORK REGISTRY OF INACTIVE HAZARDOUS
SERVICES (TTSS)     program                 WASTE SITES. TTC DOES NOT ANTICIPATE
SITE, GLEN HEAD,                            ANY SHORT-TERM REGULATORY ACTION
NY                                          BASED ON THIS LISTING.
--------------------------------------------------------------------------------
CAE ELECTRONICS,    CERCLA                  No change in status since last
INC. (CAE) COST     (Federal/CA             report.
RECOVERY MATTER,    Superfund) Cost
SUNNYVALE, CA       Recovery Action
                    related to the
                    former SOS
                    operation
--------------------------------------------------------------------------------
<PAGE>   119

--------------------------------------------------------------------------------
FOUR COUNTY         PRP Group DE            No change in status since last
LANDFILL SITE       MINIMIS                 report.
(FCLF), DELONG, IN  settlement

                    CERCLA
                    (State
                    Superfund)
                    liability
--------------------------------------------------------------------------------
CALAVERAS           Calaveras               No change in status since last
RESERVOIR/SRI       Reservoir Site          report.
SITE, SAN           groundwater
FRANCISCO, CA       remedy
--------------------------------------------------------------------------------
ANDERTON            Soil and                There has been no substantive change
INTERNATIONAL,      groundwater             in status of the soil/groundwater
BINGLEY, WEST       investigation           environmental project since issuance
YORKSHIRE, UK       and remediation         of the last report(s). TTGB
                    PROJECT                 PERSONNEL ARE CURRENTLY EVALUATING
                                            ISSUES RELATED TO ASBESTOS REMOVAL
                                            DURING POTENTIAL REMODEL/DEMOLITION
                                            ACTIVITIES AT THE ANDERTON FACILITY.
                                            TTC OEA is also providing limited
                                            environmental support related to
                                            closure of the business.
--------------------------------------------------------------------------------
TT GB, LTD.         Various                 TTC OEA is providing technical
(TTGB), GLUSBURN,   environmental           support at TTGB in connection with
WEST YORKSHIRE, UK  projects and            the following projects/initiatives:
                    compliance              (i) providing internal and external
                    initiatives             oversight/resources for a potable
                                            water source, security of supply,
                                            and redistribution
                                            evaluation/project (where
                                            significant progress is being made),
                                            (ii) internal and external oversight
                                            for the deburring area wastewater
                                            treatment evaluation project, (iii)
                                            internal and external oversight for
                                            the on-going water and waste
                                            minimization project, and (iv)
                                            institution of the TTC OEA TSDF
                                            audit project pursuant to TTC Policy
                                            & Procedure. (V) ANTICIPATED
                                            COMMENCEMENT OF RISK ASSESSMENTS
                                            DURING THE SECOND HALF OF FY01.
------------------- ----------------- ------------------------------------------
TT BRASIL LTDA.     Soil and                TTC OEA intends to perform: 1)
(TTB), SAO PAULO,   groundwater             follow-up potable water, 2) third
BRAZIL              investigation           party water supplier, and 3)
                    and remediation         groundwater sampling events at TTB
                    project,                in mid-April 2000 and 2) continues
                    potable water           to assist with the new DEM team
                    project                 transition and integration.

                                            TTB successfully completed the
                                            latest surveillance audit and
                                            remains ISO 14001 registered.

                                            There has been no substantive change
                                            in status of the soil/groundwater
                                            environmental project since issuance
                                            of the last report(s). LOCAL
                                            AUTHORITIES HAVE REQUESTED THAT TTB
                                            REPLACE THE PUMP IN THE ONSITE WATER
                                            SUPPLY WELL. TTC IS UNCLEAR AS TO
                                            THE RATIONALE FOR THIS REQUEST SINCE
                                            THE PUMP WAS RECENTLY REPLACED AND
                                            IS FUNCTIONING PROPERLY. TTC IS
                                            CURRENTLY EVALUATING THIS REQUEST.
--------------------------------------------------------------------------------
WARDEN OIL (WO)     MERLA (MN State         No change in status since last
PRP MATTER,         Superfund)              report.
MINNEAPOLIS, MN     liability
--------------------------------------------------------------------------------
TT ENGINEERED       Site remedial           As reported previously, TTC and
COMPONENTS LLC      investigation           Eaton jointly administered a site
(TTEC)              project                 investigation project at the TTEC
MASSILLON, OH                               Massillon, OH facility. Resultant
                                            chemical data were generally
                                            consistent with that collected
                                            previously by Eaton.
                                            Chlorinated/aromatic VOCs, certain
                                            metals, and SVOCs were detected
                                            locally in site soil and
                                            groundwater. An area of petroleum
                                            (gasoline) contaminated soil, not
                                            previously observed, was identified
                                            proximal to an active on-site AST.
                                            No gasoline constituents were,
                                            however, detected in groundwater. A
                                            supporting human health risk
                                            assessment (HHRA) was also prepared
                                            for the site. The HHRA, with certain
                                            qualifications, concluded that the
                                            site poses no unacceptable risk to
                                            the receptor base considered. Ohio
                                            EPA has published no numerical
                                            soil/groundwater screening or
                                            remediation criteria so there is no
                                            firm guidance as to 'reportability
                                            or 'actionability' of the data. The
                                            site has been scrutinized by various
                                            regulators (Federal and State) since
                                            the mid-1980's with no resulting
                                            cause of action. This fact
                                            considered in conjunction with the
                                            conclusions of the HHRA suggest that
                                            TTC consider termination of site
                                            environmental investigative
                                            activities with no regulatory
                                            interface/concurrence. TTC OEA
                                            CONTINUES TO DISCUSS AND EVALUATE
                                            THIS ALTERNATIVE WITH LOCAL
                                            ENVIRONMENTAL COUNSEL AND TTC
                                            GENERAL COUNSEL.
--------------------------------------------------------------------------------

<PAGE>   120

--------------------------------------------------------------------------------
TTC OEA INTERNAL    Multimedia              TTC OEA WILL PROVIDE REVIEW AND
DEPARTMENT          environmental           CORRECTIVE ACTION REQUESTS FOR SELF
PROJECTS UPDATE -   auditing                AUDITS CONDUCTED DURING THE FIRST
FY 00/01            programs                HALF OF FY01. SELF AUDITS WILL BE
                                            COMPLETED BY ALL DOMESTIC FACILITIES
                                            EXCEPT THOSE CURRENTLY PURSUING ISO
                                            14001 REGISTRATION. TTC OEA
                                            CONTINUES TO SEARCH FOR AN
                                            APPROPRIATE AUDIT PROTOCOL FOR TT
                                            CANADA.

                                            TT GB, SOF, AND SOK HAVE ELECTED TO
                                            PERFORM STATUTORILY REQUIRED
                                            OCCUPATIONAL RISK ASSESSMENTS RATHER
                                            THAN CONDUCTING EHS AUDITS DURING
                                            THE 2000-01 AUDIT PERIOD. SOF AND
                                            SOK HAVE INITIATED THESE
                                            ASSESSMENTS. Conducting the risk
                                            assessments to identify workplace
                                            risk is an essential element of
                                            health and safety practice in Europe
                                            and will 1) reduce employee exposure
                                            to occupational injuries and 2)
                                            consequently limit TTC's long term
                                            liability to worker compensation
                                            type claims. Once the risk
                                            assessments have been completed in
                                            the UK and Germany, conventional EHS
                                            auditing will resume at these
                                            exempted facilities.
--------------------------------------------------------------------------------
INTERNAL            TTC OEA                 THE TTC DIRECTOR OF ENVIRONMENTAL
DEPARTMENT                                  AFFAIRS, JEFF FORGANG, LEFT
PROJECT UPDATE -                            TRANSTECHNOLOGY EFFECTIVE 6/16/00 TO
FY 00/01                                    PURSUE OTHER CAREER ACTIVITIES.
                                            SONJA DONALDSON, AN ENVIRONMENTAL
                                            CONSULTANT TO TTC FOR THE PAST 7
                                            YEARS, IS CURRENTLY SERVING AS THE
                                            ACTING DIRECTOR OF ENVIRONMENTAL
                                            AFFAIRS FOR TTC. THE ANNUAL
                                            ENVIRONMENTAL CONFERENCE WAS
                                            CONDUCTED IN MINNEAPOLIS, MN ON JUNE
                                            26 AND 27, 2000. THE CONFERENCE WAS
                                            ATTENDED BY THE TTC GENERAL COUNSEL
                                            AND REPRESENTATIVES FROM MOST
                                            DOMESTIC AND INTERNATIONAL OPERATION
                                            UNITS. THE FOCUS OF THE CONFERENCE
                                            WAS ISO 14001 REGISTRATION AND
                                            CURRENT HEALTH AND SAFETY ISSUES,
                                            INCLUDING ERGONOMICS AND METAL
                                            WORKING FLUIDS.
--------------------------------------------------------------------------------
INTERNAL            ISO 14001               A brief description of the scope of
DEPARTMENT          Standard                the ISO 14001 program and TTC OEA FY
PROJECT UPDATE   -  Registration            00/01 objectives are as follows:
FY 00/01
                                            PHASE 1: External 'gap' analysis
                                            phase. Five TTC operations (see list
                                            below) will undergo baseline ISO gap
                                            auditing during FY 01. These audits
                                            will evaluate business processes,
                                            practices, and state of conformance
                                            to the elements of the ISO 14001
                                            standard. STATUS: This work is being
                                            initiated at NORCO, TCR, and TT EC
                                            (excluding Palnut). TTC OEA is
                                            providing on-site Steering Committee
                                            training (basic and advanced EMS)
                                            and technical support.

                                            PHASE 2: The second phase is termed
                                            the "initial review". During this
                                            phase the lead firm, site personnel,
                                            and/or TTC OEA develop specific
                                            plans for correcting the gaps and
                                            deficiencies identified during Phase
                                            1. It is during this phase that the
                                            actual development of the overall
                                            program(s) and strategies for
                                            certification occur. ISO Registrars
                                            are also selected during this phase.
                                            STATUS: THIS PROCESS HAS BEEN
                                            COMPLETED AT BI, AND IS IN PROGRESS
                                            AT NORCO, TCR, AND TT EC.

                                            PHASE 3: This "implementation phase"
                                            consists of the integration (as
                                            practical) of our existing ISO/QS
                                            9000 programs with the ISO 14001
                                            system and development of
                                            programs/procedures required for
                                            certification. This phase includes
                                            all required personnel training.
                                            STATUS: THIS PROCESS HAS BEEN
                                            COMPLETED AT BI, AND IS ANTICIPATED
                                            TO OCCUR DURING 2Q FY01 AT NORCO,
                                            TCR, AND TT EC.

                                            PHASE 4: This phase includes the
                                            actual Registrar Stage I and II
                                            registration audits.
                                            STATUS: THIS PROCESS HAS BEEN
                                            COMPLETED AT BI, AND IS ANTICIPATED
                                            TO OCCUR DURING 3Q AND 4Q FY01 AT
                                            NORCO, TCR, AND TT EC.

                                            As indicated above, TCR, NORCO, and
                                            the three newly acquired TT
                                            Engineered Components companies have
                                            initiated the ISO 14001 registration
                                            process.

                                            BI OBTAINED ISO 14001 REGISTRATION
                                            DURING Q1 FY 01.

                                            The implementation of ISO 14001
                                            within TTC will be phased through at
                                            least three (3) fiscal years
                                            commencing FY 99.
<PAGE>   121

                                  SCHEDULE 5.17
                                  -------------

                                  SUBSIDIARIES
                                  ------------

1.   Refer to Schedule 5.1 for a list of the Subsidiaries and their
     jurisdictions of incorporation and foreign qualification.

2.   The Company's and its Subsidiaries' shares are pledged to Fleet National
     Bank, as successor to BankBoston, N.A., and the Lenders (as defined
     therein) pursuant to the Amended and Restated Securities Pledge Agreement
     dated as of August 31, 1999.

3.   The Company owns a 60% interest in the Spanish limited company (joint
     venture), TransTechnology Espana, S.A.

<PAGE>   122

                                  SCHEDULE 5.18
                                  -------------

                                 CAPITALIZATION
                                 --------------

1.   Options and awards granted from 01/01/90 to 08/18/00 and outstanding as of
     08/18/00:

             Restricted Stock Awards                              3,635

             Non-Qualified Stock                                210,487

             Incentive Stock Options                            260,964
             ===========================================================

             Total                                              475,086

2.   There are no warrants, rights or securities convertible into capital stock.

<PAGE>   123

                                  SCHEDULE 5.20
                                  -------------

                       BROKER'S, FINDER'S OR SIMILAR FEES
                       ----------------------------------

1.   Placement fee to FleetBoston Robertson Stephens, Inc.

<PAGE>   124

                                  SCHEDULE 5.21
                                  -------------

                                 LABOR RELATIONS
                                 ---------------

1.   Collective Bargaining Agreements:
     --------------------------------

     a.  Collective Bargaining Agreement between TransTechnology Corporation,
         Engineered Components Massillon Division, and the United Paperworker's
         International Union affiliated with the AFL-CIO-CLC, Union No. 7334,
         effective June 30, 1999 to June 30, 2004.

     b.  Collective Bargaining Agreement between TransTechnology Corporation,
         Breeze Industrial Products Division, and the Automotive Chauffeurs,
         parts and garage Employees, Local union No. 926, an affiliate of the
         International Brotherhood of teamsters, Chauffeurs, Warehousemen, and
         Helpers of America, effective September 1, 1997 to August 31, 2002.

     c.  Collective Bargaining Agreement between Breeze-Eastern Division of The
         Company and Local No. 267 of the International Union United Automobile
         Aerospace, Agricultural Implement Workers of America, effective
         November 8, 1999 to October 1, 2004.

2.   Employment Agreements:
     ---------------------

     TransTechnology (GB) Limited and John Young

     Ellison Holdings Ltd. (assumed by TransTechnology (GB) Limited) and:
         Andrew Crabtree
         Michael Ellison
         Simon Ellison

     TransTechnology Engineered Rings USA, Inc, (f/k/a Industrial Retaining
     Ring Company) and Eric Luopy

     TransTechnology Engineered Components, LLC and:
         Majid Daneshvar
         Mary Allen
         Anderson Dobbins
         Nigel Ware
         Robert Windsor

     TransTechnology Canada Corporation and Michael Sheehy

     Aerospace Rivet Manufacturers Corporation and:
         Caesar Bansil
         Claudette Gillis
         Ali Naqvi

<PAGE>   125

SCHEDULE 5.21 CONTINUED

     NORCO, Inc. and:
         Surin Malhotra
         William Miller

     Seeger-Orbis GmbH & Co. OHG and Sven Wolber

3.   Executive Severance Agreements:
     ------------------------------

     The Company and:
         Michael Berthelot
         Stanley Erman
         John Funk
         Gerald Harvey
         Peter Lowe
         Surin Malhotra
         Edson Pardini
         Michael Rott
         Joseph Spanier
         Robert Tunno
         Thomas Watson
         Robert White
         Sven-Uwe Wolber
         John Young

4.   Consulting Agreements:
     ---------------------

     The Company and:
         John Dalton (director)
         Ulf Jemsby

     NORCO, Inc. and Joseph Metz

5.   An election administered by the National Labor Relations Board was held
     June 22, 2000 at The Palnut Company, a division of The Company, pursuant to
     which the United Auto Workers won the right to recognition.

6.   Scheduled negotiations with respect to the pension contribution under the
     current collective bargaining agreement for the TransTechnology Engineered
     Components, LLC, Massillon facility identified in Item 1(a) of this
     Schedule 5.21 are currently in process.

7.   TransTechnology (GB) Limited is currently negotiating a recognition
     agreement with the Amalgamated Engineers and Electricians Union with
     respect to employees at its Glusburn, West Yorkshire, England Plant.

<PAGE>   126

                                SCHEDULE 5.22(a)
                                ----------------

         EMPLOYEE BENEFIT PLANS: EMPLOYEE BENEFIT PLANS AND LIABILITIES
         --------------------------------------------------------------

1.   List of Employee Benefit Plans and Arrangements:
     -----------------------------------------------

     TransTechnology Corporation Retirement Savings Plan

     TransTechnology Engineered Components, LLC Hourly Employees 401(k) Savings
         Plan

     Pension Plan for the Hourly Rate Employees of the Engineered Components
         Operations Massillon Division

     Post Retirement Health Care Benefits Plan for Breeze Eastern Union
         Employees (frozen)

     TransTechnology Corporation's 1996 - 1998 Incentive Compensation Plan

     TransTechnology Corporation 1999-2000 Incentive Compensation Plan - DEV
         Plan

     TransTechnology Corporation Annual Cash Bonus Plan

     TransTechnology Corporation Amended and Restated 1992 Long Term Incentive
         Compensation Plan

     1998 Non-Employee  Director Stock Option Plan

     1999 Long Term Incentive Plan of the Company.

     The Palnut Company Gainsharing Plan

     TransTechnology Canada Corporation Profit Sharing Plan

     Seeger-Orbis GmbH & Co. OHG Pension Plan

     Seeger-Orbis GmbH & Co. Social Plan

     TransTechnology Canada Corporation Pension Plan (in formation)

     TransTechnology Canada Corporation Profit Sharing Plan

     TransTechnology Canada Corporation Health Plans (Salaried plan and Hourly
         plan)

     TransTechnology Canada Corporation (Sun Life Assurance Company of Canada
         Contract Nos. 25251 & 56251)

     The Anderton Pension Plan (at TransTechnology (GB) Limited)

     The Anderton Retirement and Life Assurance Plan (at TransTechnology (GB)
         Limited)

<PAGE>   127

SCHEDULE 5.22(a) CONTINUED

     All Employee Benefit Plans and Arrangements referred to in the following
         Employee Handbooks:

         TransTechnology Policy and Procedure Manual

         TCR Corporation Employee Handbook

         The Palnut Company Employee Handbook

         Breeze Eastern Salaried Employment Handbook

         Aerospace Rivet Manufacturers Corporation Employee Handbook

2.   Other than (a) the Electronics Local 431 Pension Fund relating to employees
     of Seeger Inc., a subsidiary of The Company, and (b) the Western
     Pennsylvania Teamster and Employers pension Fund relating to employees of
     the Company's Breeze-Industrial division, neither the Company nor any ERISA
     affiliate is a member of any multi-employer plan.

3.   See attached list of welfare benefit plans.

4.   See Schedule 5.21 for a listing of Executive Severance Agreements and
     Schedule 5.22(e) for reference to retiree medical plans.

<PAGE>   128
                           TRANSTECHNOLOGY CORPORATION
                           WELFARE BENEFIT PLAN REVIEW
                                  CONTROL SHEET
                                  -------------

Please attach an additional  sheet for plans not listed below.  Please  indicate
"not applicable" or "N/A" for those plans that the company does not provide.

<TABLE>
<CAPTION>

   Benefit                  Plan Sponsor                  Plan Name              Plan No.
   -------                  ------------                  ---------              --------
<S>                         <C>                        <C>                        <C>
Medical                      TTEC                      Hometown Healthnet            501
Dental                       TTEC                      HometownHealthnet             501
Vision                       Included in medical
125/POP/Flex/FSA             TTEC                      Ceridian                      501
Basic Life                   TTEC                      MetLife                       502
Voluntary Life               TTEC                      MetLife                       502
Basic AD&D                   TTEC                      MetLife                       502
Voluntary AD&D               TTEC                      MetLife                       502
Dependent Life               TTEC                      MetLife                       502
Dependent AD&D               N/A
STD                          TTEC                      CNA                           503
LTD                          TTEC                      CNA                           503
BTA                          N/A
Long Term Care               N/A
Voluntary Dental             N/A
Voluntary Medical            N/A
Prepaid Legal                N/A
EAP                          TTEC                      Ceridian
Pension (already             TTEC                      MassMutual
included)
</TABLE>

<TABLE>
<CAPTION>

                                                                                                Exempt/
   Benefit                   Plan Year              Trust Name             Trust Year          Non-Exempt
                             ---------              ----------             ----------          ----------
<S>                          <C>                   <C>                     <C>                <C>
Medical                          2000
Dental                           2000
Vision
125/POP/Flex/FSA                 2000
Basic Life                       2000
Voluntary Life                   2000
Basic AD&D                       2000
Voluntary AD&D                   2000
Dependent Life                   2000
Dependent AD&D
STD                              2000
LTD                              2000
BTA
Long Term Care
Voluntary Dental
Voluntary Medical
Prepaid Legal
EAP                              2000
Pension (already                 2000
included)
</TABLE>

<PAGE>   129

                                 TCR CORPORATION
                           TRANSTECHNOLOGY CORPORATION
                           WELFARE BENEFIT PLAN REVIEW
                                  CONTROL SHEET
                                  -------------

Please attach an additional sheet for plans not listed below. Please indicate
"not applicable" or "N/A" for those plans that the company does not provide.

<TABLE>
<CAPTION>

     Benefit                  Plan Sponsor                  Plan Name              Contract No.
     -------                  ------------                  ---------              ------------
<S>                          <C>                       <C>                         <C>
Medical                      Health Partners           Choice                        3377
Dental                       Delta Dental              Premier                       006060-0001
Vision                       N/A
125/POP/Flex/FSA             N/A
Basic Life                   SunLife of Canada                                       44474
                                                                                     Group 007
Voluntary Life               SunLife of Canada
Basic AD&D                   SunLife of Canada
Voluntary AD&D               SunLife of Canada
Dependent Life               SunLife of Canada

Dependent AD&D               N/A
STD                          N/A
LTD                          SunLife of Canada
BTA                          N/A
Long Term Care               N/A
Voluntary Dental             N/A
Voluntary Medical            N/A
Prepaid Legal                N/A
EAP                          N/A
</TABLE>

<TABLE>
<CAPTION>

                                                                                               Exempt/
     Benefit                 Plan Year              Trust Name             Trust Year         Non-Exempt
     -------                 ----------             ----------             ----------         ----------
<S>                          <C>                    <C>                    <C>                <C>
Medical                         7/1/99-
                                6/30/00

Dental                          1/1/00-
                                12/31/00

Vision
125/POP/Flex/FSA

Basic Life                      6/1/99-
                                5/31/00
Voluntary Life
Basic AD&D
Voluntary AD&D
Dependent Life

Dependent AD&D
STD
LTD
BTA
Long Term Care
Voluntary Dental
Voluntary Medical
Prepaid Legal
EAP
</TABLE>

<PAGE>   130

                           TRANSTECHNOLOGY CORPORATION
                           WELFARE BENEFIT PLAN REVIEW
                                  CONTROL SHEET

Please attach an additional sheet for plans not listed below. Please indicate
"not applicable" or "N/A" for those plans that the company does not provide.

<TABLE>
<CAPTION>

          Benefit                      Plan Sponsor                   Plan Name              Plan No.
          -------                      ------------                   ---------              --------
<S>                             <C>                               <C>                    <C>
Medical                         Industrial Retaining Ring             Oxford PPO              PC019
Dental                          Industrial Retaining Ring            Delta Dental           3559-0003
Vision                                     N/A                           N/A                   N/A
125/POP/Flex/FSA                           N/A                           N/A                   N/A
Basic Life                      Industrial Retaining Ring         Sun Life of Canada          44474
Voluntary Life                  Industrial Retaining Ring         Sun Life of Canada          44474
Basic AD&D                      Industrial Retaining Ring         Sun Life of Canada          44474
Voluntary AD&D                  Industrial Retaining Ring         Sun Life of Canada          44474
Dependent Life                  Industrial Retaining Ring         Sun Life of Canada          44474
Dependent AD&D                             N/A                           N/A                   N/A
STD                             Industrial Retaining Ring           NJ State Plan           Employer #
LTD                             Industrial Retaining Ring         Sun Life of Canada          44474
BTA                                        N/A                           N/A                   N/A
Long Term Care                             N/A                           N/A                   N/A
Voluntary Dental                           N/A                           N/A                   N/A
Voluntary Medical                          N/A                           N/A                   N/A
Prepaid Legal                              N/A                           N/A                   N/A
EAP                                        N/A                           N/A                   N/A
</TABLE>

<TABLE>
<CAPTION>

                                                                                                   Exempt/
          Benefit                  Plan Year            Trust Name             Trust Year        Non-Exempt
          -------                  ---------            ----------             ----------        ----------

<S>                               <C>                   <C>                      <C>             <C>
Medical                              1-Aug                  N/A                    N/A              Both
Dental                               1-Aug                  N/A                    N/A              Both
Vision                                N/A                   N/A                    N/A               N/A
125/POP/Flex/FSA                      N/A                   N/A                    N/A               N/A
Basic Life                          31-Jul                  N/A                    N/A              Both
Voluntary Life                      31-Jul                  N/A                    N/A              Both
Basic AD&D                          31-Jul                  N/A                    N/A              Both
Voluntary AD&D                      31-Jul                  N/A                    N/A               N/A
Dependent Life                      31-Jul                  N/A                    N/A              Both
Dependent AD&D                        N/A                   N/A                    N/A               N/A
STD                                   N/A                   N/A                    N/A              Both
LTD                                 31-Jul                  N/A                    N/A              Both
BTA                                   N/A                   N/A                    N/A               N/A
Long Term Care                        N/A                   N/A                    N/A               N/A
Voluntary Dental                      N/A                   N/A                    N/A               N/A
Voluntary Medical                     N/A                   N/A                    N/A               N/A
Prepaid Legal                         N/A                   N/A                    N/A               N/A
EAP                                   N/A                   N/A                    N/A               N/A
</TABLE>

<PAGE>   131

<TABLE>
<CAPTION>

                                            AEROSPACE RIVET
                                       WELFARE BENEFIT PLAN REVIEW
                                             CONTROL SHEET
                                            JANUARY 10, 2000

BENEFIT                 PLAN SPONSOR           PLAN NAME                    PLAN NO.        PLAN DESC
----------------------  ---------------------- ---------------------------- --------------  ---------------  -
<S>                     <C>                   <C>                          <C>             <C>
MEDICAL

         HMO            ARM                    Blue Cross of Calif          56075-A         100/10
         POS            ARM                    Blue Cross of Calif          56075-E         ZX-1B
       Out of State     ARM                    Blue Cross of Calif          1312TA          71A
DENTAL

         DMO            ARM                    Prudential HealthCare        89469
         Alternate      ARM                    Prudential HealthCare        89469
VISION                  ARM                    Self-Insured
125/POP/FSA             TransTechnology        Tribus Companies
BASIC LIFE              TransTechnology        Sun Life of Canada
VOL LIFE                N/A
BASIC AD&D              TransTechnology        Sun Life of Canada
VOL AD&D                N/A
DEPENDENT LIFE          N/A
DEPENDENT               N/A
AD&D

STD                     N/A
LTD                     TransTechnology        Sun Life of Canada
BTA                     N/A
LONG TERM CARE          N/A
VOL DENTAL              N/A
VOL MEDICAL             N/A
PREPAID LEGAL           N/A
EAP                     N/A
</TABLE>

<TABLE>
<CAPTION>

                                         AEROSPACE RIVET
                                    WELFARE BENEFIT PLAN REVIEW
                                          CONTROL SHEET
                                        JANUARY 10, 2000

BENEFIT                       PLAN YEAR  TRUST NAME         TRUST YEAR          EXEMPT         NON-EXEMPT
----------------------   --------------  -----------------  ---------------- ------------- ------------------
<S>                       <C>             <C>                <C>               <C>          <C>
MEDICAL

         HMO                    10/1/99                                            X               X
         POS                    10/1/99
       Out of State             10/1/99
DENTAL

         DMO                    10/1/99
         Alternate              10/1/99                                            X               X
VISION                          10/1/99                                            X               X
125/POP/FSA                      1/1/00                                            X               X
BASIC LIFE                                                                         X               X
VOL LIFE
BASIC AD&D                                                                         X               X
VOL AD&D
DEPENDENT LIFE
DEPENDENT
AD&D

STD
LTD                                                                                X               X
BTA
LONG TERM CARE
VOL DENTAL
VOL MEDICAL
PREPAID LEGAL
EAP
</TABLE>

<PAGE>   132

                           TRANSTECHNOLOGY CORPORATION
                           WELFARE BENEFIT PLAN REVIEW
                                  CONTROL SHEET

Please attach an additional sheet for plans not listed below. Please indicate
"not applicable" or "N/A" for those plans that the company does not provide.

<TABLE>
<CAPTION>

     Benefit                   Plan Sponsor                  Plan Name              Plan No.
     -------                   ------------                  ---------              --------
<S>                         <C>                        <C>                         <C>
Medical                      Norco, Inc.                Employee Welfare
                                                        Benefit Plan                 25873ASO
Dental                       N/A
Vision                       N/A
125/POP/Flex/FSA             Norco, Inc.
Basic Life                   *
Voluntary Life               *
Basic AD&D                   *
Voluntary AD&D               *
Dependent Life               *
Dependent AD&D               *
STD                          Norco, Inc.                Employee Welfare
                                                        Benefit Plan                 25873ASO
LTD                          *
BTA
Long Term Care               N/A
Voluntary Dental             N/A
Voluntary Medical            N/A
Prepaid Legal                N/A
EAP                          Norco, Inc.                N/A Contract Only  (Not considered Welfare Plan)

* Sun Life
</TABLE>

<TABLE>
<CAPTION>

                                                                                            Exempt/
     Benefit                Plan Year            Trust Name            Trust Year          Non-Exempt
     -------                ---------            ----------            ----------          ----------

<S>                         <C>                  <C>                   <C>                 <C>
Medical
                               10/1-9/30
Dental
Vision
125/POP/Flex/FSA               1/1-12/31
Basic Life
Voluntary Life
Basic AD&D
Voluntary AD&D
Dependent Life
Dependent AD&D
STD
                               10/1-9/30
LTD
BTA
Long Term Care
Voluntary Dental
Voluntary Medical
Prepaid Legal
EAP                                            N/A Contract Only  (Not considered Welfare Plan)

* Sun Life
</TABLE>

<PAGE>   133

                           TRANSTECHNOLOGY CORPORATION
                           WELFARE BENEFIT PLAN REVIEW
                                  CONTROL SHEET

Please attach an additional sheet for plans not listed below. Please indicate
"not applicable" or "X = NA" for those plans that the company does not provide.

<TABLE>
<CAPTION>

          Benefit                   Plan Sponsor                   Plan Name                 Plan No.
          -------                   ------------                   ---------                 --------
<S>                             <C>                      <C>
Medical                          Breeze-Eastern (BE)      Breeze Eastern Health Plan
Dental                                   BE               Breeze Eastern Health Plan
Vision                                  X NA                          NA
125/POP/Flex/FSA                         BE                 Flexible Spending Plan             *(1)
Basic Life                         TransTechnology                 Sun Life
Voluntary Life                     TransTechnology                 Sun Life
Basic AD&D                         TransTechnology                 Sun Life
Voluntary AD&D                          X NA
Dependent Life                     TransTechnology                 Sun Life
Dependent AD&D                     TransTechnology                 Sun Life
STD                               (New Jersey State
                                        Plan)
LTD                                TransTechnology                 Sun Life
BTA                                     X NA
Long Term Care                          X NA
Voluntary Dental                        X NA
Voluntary Medical                       X NA
Prepaid Legal                           X NA
EAP                                     X NA
</TABLE>

<TABLE>
<CAPTION>

                                                      Trust Name            Trust Year            Exempt/
          Benefit                 Plan Year              (N/A)                 (N/A)             Non-Exempt
          -------                 ---------           ----------            -----------          ----------
<S>                               <C>                 <C>                   <C>                <C>
Medical                           Calendar                                                     All employees
Dental                            Calendar                                                     All employees
Vision                               NA                                                              NA
125/POP/Flex/FSA                  Calendar                                                     All employees
Basic Life                                                                                     All employees
Voluntary Life                                                                                 Salaried only
Basic AD&D                                                                                     All employees
Voluntary AD&D                                                                                       NA
Dependent Life                                                                                 Salaried only
Dependent AD&D                                                                                 Salaried only
STD                               Calendar                                                     All employees
LTD                                                                                            Salaried only
BTA                                                                                                (N/A)
Long Term Care                                                                                       "
Voluntary Dental                                                                                     "
Voluntary Medical                                                                                    "
Prepaid Legal                                                                                        "
EAP                                                                                                  "
</TABLE>

*(1) Our FSA reporting is done thru TT's Combined Annual Return #526.

<PAGE>   134

                           TRANSTECHNOLOGY CORPORATION
                           WELFARE BENEFIT PLAN REVIEW
                                  CONTROL SHEET

CORPORATE

Please attach an additional sheet for plans not listed below. Please indicate
"not applicable" or "N/A" for those plans that the company does not provide.

<TABLE>
<CAPTION>

  Benefit                  Plan Sponsor                  Plan Name                Plan No.
  -------                  ------------                  ---------                --------
<S>                       <C>                         <C>                         <C>
Medical                      The Palnut                Oxford                        PC01901 BG03
                             Company                   COBRA                         PV01901 BG03C

Dental                       The Palnut                Delta Dental                  3559-0002
                             Company
Vision                       The Palnut                Eye Care Plan of              N/A
Palnut/ IRR                  Company                   America
125/POP/Flex/FSA             TTC                       TTC Section 125 Plan          526
Basic Life                   TTC                       Sun Life of Canada            509

                                                                                     44474 001

Voluntary Life               TTC                       Sun Life of Canada            Same as Life
Basic AD&D                   TTC                       Sun Life of Canada            Same as Life
Voluntary AD&D               TTC                       Sun Life of Canada            Same as Life
Dependent Life               TTC                       Sun Life of Canada            Same as Life
Dependent AD&D               N/A
STD                          TTC                       UNUM                          389688
LTD                          TTC                       Sun Life of Canada            Same as Life
BTA                          Travelers                 Policy Covers all TTC
                                                       Divisions
Long Term Care               N/A

</TABLE>

<TABLE>
<CAPTION>

                                                                                           Exempt/
  Benefit                  Plan Year             Trust Name           Trust Year          Non-Exempt
  -------                  ---------             ----------           ----------          ----------
<S>                        <C>                  <C>                   <C>                 <C>
Medical                      Aug 1 - Jul 31      N/A                       N/A              Both

Dental                        Aug 1 - Jul 31      N/A                       N/A              Both

Vision                        Sep 1 - Aug 31      TTC pays 9.65             N/A              Both
Palnut/ IRR                                       Per Employee

125/POP/Flex/FSA              Jan 1 - Dec 31      N/A                       N/A              Both
Basic Life                    Jun 1 - Jul 31      N/A                       N/A              Both

Voluntary Life
Basic AD&D
Voluntary AD&D
Dependent Life
Dependent AD&D
STD                           Oct 1 - Oct 1       N/A                       N/A              Both
LTD
BTA

Long Term Care

</TABLE>

<PAGE>   135

                           TRANSTECHNOLOGY CORPORATION
                           WELFARE BENEFIT PLAN REVIEW

                                 CONTROL SHEET

PALNUT

Please attach an additional sheet for plans not listed below. Please indicate
"not applicable" or "N/A" for those plans that the company does not provide.

<TABLE>
<CAPTION>

  Benefit                   Plan Sponsor                  Plan Name              Plan No.
  -------                   ------------                  ---------              --------
<S>                        <C>                          <C>                         <C>
Medical                     Oxford                       Oxford Health Plan          PC01901
Dental                      Delta                        Delta Dental                3559-01
Vision                      N/A
125/POP/Flex/FSA            Tribus Financial Group       TTC FSA Plan                1/1-12/
Basic Life                  Sun Life                     Sun Life of Canada          44474
Voluntary Life              Sun Life                     Sun Life of Canada          44474
Basic AD&D                  Sun Life                     Sun Life of Canada          44474
Voluntary AD&D              Sun Life                     Sun Life of Canada          44474
Dependent Life              Sun Life                     Sun Life of Canada          44474
Dependent AD&D              Sun Life                     Sun Life of Canada          44474
STD                         UNUM                         UNUM Ins.                   0378976
LTD                         Sun Life                     Sun Life                    44474
BTA                         N/A
Long Term Care              N/A
Voluntary Dental            N/A
Voluntary Medical           N/A
Prepaid Legal               N/A
EAP                         N/A
Vol Life                    Provident Life               Provident Life              33037
</TABLE>

<TABLE>
<CAPTION>

                                                                                            Exempt/
  Benefit                   Plan Year            Trust Name            Trust Year          Non-Exempt
  -------                   ---------            ----------            ----------          ----------
<S>                             <C>                     <C>                    <C>                 <C>
Medical                           8/1-7/31
Dental                            8/1-7/31
Vision
125/POP/Flex/FSA                  1/1-12/31
Basic Life                        8/1-7/31
Voluntary Life                    8/1-7/31
Basic AD&D                        8/1-7/31
Voluntary AD&D                    8/1-7/31
Dependent Life                    8/1-7/31
Dependent AD&D                    8/1-7/31
STD                               8/1-7/31
LTD                               8/1-7/31
BTA
Long Term Care
Voluntary Dental
Voluntary Medical
Prepaid Legal
EAP
Vol Life                          8/1-7/31                                  * No enrollment after 10/1/93
</TABLE>

<PAGE>   136

                                BREEZE INDUSTRIAL
                           WELFARE BENEFIT PLAN REVIEW

                                  CONTROL SHEET

Please attach an additional sheet for plans not listed below. Please indicate
"not applicable" or "N/A" for those plans that the company does not provide.

<TABLE>
<CAPTION>

  Benefit                   Plan Sponsor                  Plan Name              Plan No.
  -------                   ------------                  ---------              --------
<S>                        <C>                         <C>                       <C>
Medical                     Blue Cross of Western                                    41883-01
                            PA - Select Blue

Dental                      Blue Cross of Western                                    41883-01
                            PA - Blue Shield

Vision                      Vision Benefits of                                       812/269
                            America

125/POP/Flex/FSA            N/A

Basic Life                                              Sun Life                     44474
Voluntary Life              N/A
Basic AD&D                                              Sun Life                     44474
Voluntary AD&D              N/A
Dependent Life                                          Sun Life                     44474
Dependent AD&D                                          Sun Life                     44474
STD                         N/A - Self Insured
LTD                                                     Sun Life                     44474
BTA                         N/A
Long Term Care              N/A
Voluntary Dental            N/A
Voluntary Medical           N/A
Prepaid Legal               N/A
EAP                         N/A
</TABLE>

<TABLE>
<CAPTION>

                                                                                             Exempt/
  Benefit                     Plan Year           Trust Name           Trust Year          Non-Exempt
  -------                     ---------           ----------           ----------          ----------
<S>                          <C>                 <C>                   <C>                <C>
Medical                       02/01/99 -
                              01/31/00

Dental                        02/01/99 -
                              01/31/00

Vision                        02/01/99 -
                              01/31/01

125/POP/Flex/FSA

Basic Life                    06/01-05/31
Voluntary Life
Basic AD&D                    06/01-05/31
Voluntary AD&D
Dependent Life                06/01-05/31
Dependent AD&D                06/01-05/31
STD
LTD                           06/01-05/31
BTA
Long Term Care
Voluntary Dental
Voluntary Medical
Prepaid Legal
EAP
</TABLE>

<PAGE>   137

                                 TRANSTECHNOLOGY BRASIL LTDA
                                     BENEFITS PROGRAM
<TABLE>
<CAPTION>

                                                                          LEVELS             BASED
                                                                         COVERAGE             ON
----------------------------------------------------------------------------------------------------
COMPULSORY
----------------------------------------------------------------------------------------------------
<S>                                                                     <C>             <C>
13th Salary                                                                All                CLT
Bonus by Results                                                           All                CLT
Employee Transport Ticket                                                  All                CLT
Pension Plan (Welfare)                                                     All               INSS
Public Health Insurance (Welfare)                                          All               INSS
Severance Pay Fund (FGTS + Prior Notice)                                   All            CLT + Union
Sick Leave or Accident Payment Complement                                  All               Union
Vacation (30 days)                                                         All                CLT
----------------------------------------------------------------------------------------------------
NON COMPULSORY
----------------------------------------------------------------------------------------------------
Cafeteria                                                                  All            TTB-Policy
Education Assistance                                                       All            TTB-Policy
Life Insurance (co-paid)                                                   All            TTB-Policy
Medicines Support Program (40%)                                            All            TTB-Policy
Private Heath Insurance                                                    All            TTB-Policy
Car                                                                       A / B*          TTB-Policy
Medicines and Dental Support Program (75%)                                A / B           TTB-Policy
Private Pension Plan                                                      A / B           TTB-Policy
----------------------------------------------------------------------------------------------------
CLT = Labor Laws Consolidation                                                Human Resources
INSS = National Institute of Social Security                                   APR. 28, 2000
Level A = Managing Director                                                    GERRY_BENEFITS
Level B = managers
B* = Just for commercial Manager
----------------------------------------------------------------------------------------------------
</TABLE>

<PAGE>   138

                                SCHEDULE 5.22(b)
                                ----------------

                     EMPLOYEE BENEFIT PLANS: PLAN COMPLIANCE
                     ---------------------------------------

Each of the Plans have received a favorable determination letter except for the
following:

1.   TransTechnology Engineered Components, LLC Hourly Employees 401(k) Savings
     Plan which TransTechnology Engineered Components, LLC for which a request
     has been made; and

2.   Pension Plan for the Hourly Rate Employees of the Engineered Components
     Operations Massillon Division, which was recently adopted and the time for
     application for favorable determination has not yet expired.

<PAGE>   139

                                SCHEDULE 5.22(c)
                                ----------------

                 EMPLOYEE BENEFIT PLANS: PROHIBITED TRANSACTIONS
                 -----------------------------------------------

NONE

<PAGE>   140

                                SCHEDULE 5.22(d)
                                ----------------

                          EMPLOYEE BENEFIT PLANS: COBRA
                          -----------------------------

NONE

<PAGE>   141

                                SCHEDULE 5.22(e)
                                ----------------

                      EMPLOYEE BENEFIT PLANS: MISCELLANEOUS
                      -------------------------------------

1.   The Executive Severance Agreements listed at Schedule 5.21 are structured
     to preclude penalization under the Internal Revenue Code regarding excess
     parachute payments. However, the agreements allow the executive's election
     of a payment which might constitute an excess parachute payment.

2.   TransTechnology Engineered Components, LLC ("TTEC") is currently advancing,
     on behalf of Eaton Corporation, retiree medical benefits to Massillon Union
     Employees who retired prior to August 31, 1999 (the date on which TTEC
     acquired these operations).

<PAGE>   142

                                  SCHEDULE 5.23
                                  -------------

                            PATENTS, TRADEMARKS, ETC.
                            -------------------------

A.   See attached listing of patents in which a security interest has been
     granted to by Fleet National Bank, as successor to BankBoston, N.A.,
     pursuant to the Amended and Restated Patent Collateral Assignment and
     Security Agreement, dated as of August 31, 1999.

B.   See attached listing of trademarks in which a security interest has been
     granted to by Fleet National Bank, as successor to BankBoston, N.A.,
     pursuant to the Amended and Restated Trademark Collateral Security and
     Pledge Agreement, dated as of August 31, 1999.

C.   License Agreements:
     ------------------

     1.  Purchase and Sale Agreement between Eaton Corporation, through its
         Engineered Fasteners Division, and Com-Corp Industries, Inc.

     2.  Dacromet 320 License Agreement between Metal Coatings International,
         Inc. and the Palnut division of The Company subject to termination
         pursuant to notice received August 25, 2000.

     3.  Assignment and Assumption of Dacromet licenses for Ohio and Canada
         facilities by and among Eaton Corporation, Eaton Yale, Ltd.,
         TransTechnology Engineered Components, LLC and TransTechnology Canada
         Corporation.

     4.  License Agreement between McDonnell Douglas Corporation and Aerospace
         Rivet Manufacturers Corporation.

D.   The Company has under review a complaint for filing in the U.S. District
     Court for the Eastern District of Michigan against JATCO TransTechnology
     ("JATCO") and certain affiliated entities alleging infringement of the
     Company's rights in the name "TransTechnology".

E.   The Company opposed the trademark application filed in the United Kingdom
     by JCS Hi-Torque Limited related to the mark "Hi-Torque". Applicant
     withdrew the trademark application.

<PAGE>   143
                                                                 SCHEDULE 5.23.A

                                   SCHEDULE A
                                   ----------
                             (LIST OF U.S. PATENTS)

TRANSTECHNOLOGY CORPORATION

<TABLE>
<CAPTION>
Title                                                                                              Patent No.
-----                                                                                              ----------

<S>                                                                                                 <C>
PUSH-ON TYPE FASTENER FOR AUTOMATIC FEED AND INSTALLATION EQUIPMENT                                 5,195,860
TWIST-OFF PUSHNUT FASTENER                                                                          5,110,246
PUSH-IN FASTENER CLIP                                                                               4,925,351
PUSH-NUT TYPE FASTENER                                                                              4,911,594
LINEAR ADJUSTMENT APPARATUS                                                                         4,679,905
HELICOPTER CARGO HOOK                                                                               4,678,219
FASTENER CLIP                                                                                       4,610,588
SHEET FEEDER SYSTEMS                                                                                4,522,385
METHOD AND APPARATUS FOR SECURING A WHEELED VEHICLE                                                 4,479,746
METHOD AND APPARATUS FOR STORING A LENGTH OF WEB                                                    4,418,874
ANGULAR-LINEAR SHEET TRANSPORTS                                                                     4,362,298
BATTERY BACKUP SUPPLY CONTROL MEANS AND METHOD                                                      4,354,118
SELF-RETAINING SPRING WASHER                                                                        4,300,866
BLIND CLIP FASTENER                                                                                 4,300,865
RELEASABLE HOSE FITTING                                                                             4,270,777
SELF-ERECTING MATERIAL HANDLING SLING                                                               3,934,919
TERMINATION APPARATUS FOR CONDUIT, CABLE, AND BRAIDED BUNDLE                                        5,508,475
DIGITAL IMAGE PROCESSING TECHNIQUE INCLUDING IMPROVED GRAY SCALE COMPRESSION                        5,163,104
PRINT GAP OPTIMIZER                                                                                 5,118,209
DOCUMENT TRANSPORT APPARATUS                                                                        5,064,186
LIGHT SENSOR APPARATUS FOR SHEET TRANSPORT                                                          5,006,720
OPTICAL CHARACTER READER WITH SKEW RECOGNITION                                                      4,941,189
DOCUMENT TRANSPORT APPARATUS                                                                        4,927,132
OPTICAL CHARACTER READER WITH SKEW RECOGNITION                                                      4,876,730
TIEDOWN CHAIN                                                                                       4,850,768
STACKING METHODS AND APPARATUS                                                                      4,805,894
ADJUSTABLE SUPPORT FOR OPTICAL DEVICE                                                               4,784,359
CLAMPING BODY                                                                                        D289,141
CONNECTOR MECHANICAL INTERLOCK USING BALL DETENTS                                                   4,610,496
SELF-LOCKING COUPLING NUT                                                                           4,592,122
QUICK DISCONNECT CONNECTOR WITH POSITIVE LOCKING DEVICE                                             4,445,743
METHOD OF AND APPARATUS FOR WRAPPING PRODUCTS                                                       4,439,975
CABLE TENSIONING DEVICE                                                                             4,227,678
METHOD OF AND APPARATUS FOR WRAPPING PRODUCTS                                                       4,189,894
PACKAGING MACHINE                                                                                   4,102,112
WEB ABRADING ASSEMBLY                                                                               3,973,359
</TABLE>

<PAGE>   144
                                      -2-

                                   SCHEDULE A
                                   ----------
                             (LIST OF U.S. PATENTS)

SEEGER INC.

<TABLE>
<CAPTION>

Title                                                                                              Patent No.
-----                                                                                              ----------

<S>                                                                                                 <C>
HAND APPLICATOR FOR RADIALLY ASSEMBLED SPRING RETAINING RINGS                                       4,592,122
RADIALLY ASSEMBLED SPRING RETAINING RING AND POWER GUN FOR ASSEMBLING SAME                          4,667,399
</TABLE>

NORCO INC.

<TABLE>
<CAPTION>
Title                                                                                        Registration No.
-----                                                                                        ----------------

<S>                                                                                                 <C>
MECHANICAL DRIVE ASSEMBLY INCORPORATING COUNTER-SPRING BIASED, RADIALLY-ADJUSTABLE                  5,860,324
ROLLERS
MECHANICAL OSCILLATOR                                                                               5,709,127
MECHANICAL DRIVE ASSEMBLY INCORPORATING COUNTER-SPRING BIASED RADIALLY-ADJUSTABLE                   5,680,795
ROLLERS
HEAVY-DUTY MECHANICAL OSCILLATOR                                                                    5,644,950
MECHANICAL OSCILLATOR                                                                               5,592,852
STRUT CONSTRUCTION                                                                                  5,366,313
HINGED STRUT CONSTRUCTION                                                                           5,364,201
STRUT CONSTRUCTION                                                                                  5,265,970
LATCH CONSTRUCTION                                                                                  5,192,098
ANTI-FRICTION NUT                                                                                   5,191,805
LATCH CONSTRUCTION                                                                                  5,044,679
RELEASABLE FASTENER                                                                                 4,392,281
EXTENSIBLE & RETRACTABLE STRUT WITH SAFETY LATCH                                                    4,362,415
BALL-TYPE MECHANICAL TRANSMISSION                                                                   4,199,999
MECHANICAL SCREW TRANSMISSION                                                                       4,198,872
REVERSING NUT FOR DIAMOND THREAD SCREW                                                              4,031,765
ANTI-BACKLASH AUTOMATICALLY REVERSING NUT FOR A DIAMOND THREAD SCREW                                4,022,076
FLOATING NUT CONSTRUCTION                                                                           4,008,625
TELESCOPING STRUT CONSTRUCTION                                                                      3,945,744
RECIPROCATING DRIVE                                                                                 3,792,616
REVERSING NUT FOR A DIAMOND THREAD SCREW                                                            3,779,094
ECCENTRIC-ACTUATED HOOK-TYPE FASTENING DEVICE                                                       3,712,653
RELEASABLE PANEL FASTENER                                                                           3,675,531
LOCKING-TYPE MACHINE NUT                                                                            3,589,423
POWER OR MANUALLY RELEASED CARGO LATCH                                                              3,578,373
VARIABLE EFFICIENCY MECHANICAL TRANSMISSION                                                         3,766,800
RADIAL ROLLER ANTI-FRICTION TRANSMISSION WITH ECCENTRIC BUSHINGS                                    3,766,788
POWER OR MANUALLY RELEASED CARGO                                                                    3,360,562
</TABLE>

<PAGE>   145
                                      -3-

                                   SCHEDULE A
                                   ----------
                             (LIST OF U.S. PATENTS)

TRANSTECHNOLOGY ENGINEERED COMPONENTS, LLC

<TABLE>
<CAPTION>
Title                                                                                                Patent No.
-----                                                                                                ----------
<S>                                                                                                    <C>
STUD RETAINING FASTENER &METH F PRODUCING SAME                                                         4,385,431
SLOTTED DOUBLE THREAD IMPRESSION FASTENER                                                              4,440,535
IMPROVED FASTENING DEVICE                                                                              4,508,477
SELF-LOCKING PREVAILING TORQUE FASTENER                                                                4,595,325
REMOVABLE FASTENING ASSEMBLY                                                                           4,606,688
HEADLIGHT ADJUSTER GEAR ASSEMBLY                                                                       4,665,469
FASTENER ASSEMBLY FOR CYLINDRICAL OPENING                                                              4,735,534
STUD FASTENER                                                                                          4,776,740
HEADLIGHT POSITION ADJUSTMENT ASSEMBLY                                                                 4,796,494
VARIABLE DIAMETER SCREW FASTENER                                                                       4,826,375
STUD AND STUD RETAINING FASTENER ASSEMBLY                                                              4,834,603
TUBE UNION REINFORCING CLIP                                                                            4,913,468
VEHICLE HEADLIGHT POSITION ADJUSTMENT ASSEMBLY                                                         5,023,759
PUSH-IN FASTENER CLIP                                                                                  5,036,567
VEHICLE HEADLAMP POSITION ADJUSTMENT ASSEMBLY                                                          5,045,987
PIVOT ASSEMBLY FOR VEHICLE HEADLIGHT POSITION ADJUSTMENT                                               5,063,481
PUSH-IN FASTENER                                                                                       5,108,239
CLIP-ON FASTENER                                                                                       5,256,018
RETAINING RING AND CUTTER THEREFOR                                                                     5,352,079
TUBE CLIP                                                                                              5,567,074
SNAP-IN FASTENER                                                                                       5,593,263
TRIM CLIP                                                                                              5,774,949
HEADLIGHT POSITION ADJUSTMENT ASSEMBLY                                                                 5,775,795
PREVAILING TORQUE CLIP FOR THIN WALL PANEL                                                             5,829,934
THREADED NUT EXPANSION FASTENER                                                                        5,873,690
CAGED NUT FASTENER                                                                                     5,893,694
THE BLIND MAN                                                                                            pending
INSTANT HEAT FOR MOTOR VEHICLE                                                                           pending
POLYMER LIGHT SHIELD                                                                                     pending
CURTAIN RAIL RETENTION CLIP                                                                              pending
HEADLAMP ADJUSTER LAMP ATTACHMENT NUT                                                                    pending
CUT-OFF HEAD FOR WIRE AND STRIP                                                                          pending
COMBINED LIGHT  SHIELD AND HEAT SHIELD FOR HEADLIGHT                                                     pending
FLEXIBLE ADJUSTER FOR HEADLAMPS                                                                          pending
VEHICLE HEADLAMP AIMING DEVICE                                                                           pending
</TABLE>

<PAGE>   146
                                      -4-

                                   SCHEDULE A
                                   ----------
                            (LIST OF FOREIGN PATENTS)

SEEGER INC.

<TABLE>
<CAPTION>
Title                                                                                 Patent No.           Country
-----                                                                                 ----------           -------

<S>                                                                                      <C>
METHODS AND APPARATUS FOR INSTALLING A RADIALLY ASSEMBLED SPRING                         162,356            Mexico
RETAINING RING INTO AN EXTERNAL GROOVE OF A WORKPIECE
</TABLE>

TRANSTECHNOLOGY ENGINEERED COMPONENTS, LLC

<TABLE>
<CAPTION>
Title                                                                           Registration No.           Country
-----                                                                           ----------------           -------

<S>                                                                              <C>                <C>
PREVAILING TORQUE CLIP FOR THIN WALL PANEL                                               pending            Brazil
CAGED NUT FASTENER                                                                       pending            Brazil
THREADED NUT EXPANSION FASTENER                                                          pending            Brazil
SNAP IN FASTENER                                                                         pending            Canada
PREVAILING TORQUE CLIP FOR THIN WALL PANEL                                               pending            Canada
TRIM CLIP                                                                                pending            Canada
HEADLIGHT POSITION ADJUSTMENT ASSEMBLY                                                   pending            Canada
CAGED NUT FASTENER                                                                       pending            Canada
COMBINED LIGHT SHIELD AND HEAT SHIELD FOR HEADLIGHT                                      pending            Canada
THREADED NUT EXPANSION FASTENER                                                          pending            Canada
STUD RETAINING FASTENER & METH F PRODUCING SAME                                        1,134,652            Canada
FASTENER                                                                               1,141,516            Canada
SLOTTED DOUBLE THREAD IMPRESSION FASTENER                                              1,183,030            Canada
IMPROVED FASTENING DEVICE                                                              1,220,371            Canada
IMPROVED SLOTTED FASTENER                                                              1,229,251            Canada
SELF-LOCKING PREVAILING TORQUE FASTENER                                                1,246,907            Canada
FASTENING DEVICE                                                                       1,254,409            Canada
HEADLIGHT POSITION ADJUSTMENT ASSEMBLY                                                 1,283,088            Canada
STUD FASTENER                                                                          1,302,749            Canada
TUBE UNION REINFORCING CLIP                                                            2,013,616            Canada
CLIP-ON FASTENER                                                                       2,102,174            Canada
PREVAILING TORQUE CLIP FOR THIN WALL PANEL                                               pending               EPC
TRIM CLIP                                                                                pending               EPC
HEADLIGHT POSITION ADJUSTMENT ASSEMBLY                                                   pending               EPC
CAGED NUT FASTENER                                                                       pending               EPC
COMBINED LIGHT SHIELD AND HEAT SHIELD FOR HEADLIGHT                                      pending               EPC
THREADED NUT EXPANSION FASTENER                                                          pending               EPC
SHEET METAL NAIL                                                                       EP0014084               EPC
REUSABLE RELEASABLE FASTENER                                                           EP0021849               EPC
IMPROVED FASTENING DEVICE                                                              EP0106451               EPC
SNAP-IN FASTENER                                                                         pending     Great Britain
</TABLE>

<PAGE>   147
                                      -5-

<TABLE>

<S>                                                                                      <C>                <C>
TUBE CLIP                                                                                pending            Mexico
SNAP-IN FASTENER                                                                         pending            Mexico
</TABLE>

TRANSTECHNOLOGY CANADA CORPORATION

<TABLE>
<CAPTION>

Title                                                                           Registration No.           Country
-----                                                                           ----------------           -------

<S>                                                                                    <C>                  <C>
SNAP-IN FASTENER                                                                       2,175,508            Canada
PREVAILING TORQUE CLIP FOR THIN WALL PANEL                                             2,250,940            Canada
TRIM CLIP                                                                              2,242,312            Canada

HEADLIGHT POSITION ADJUSTMENT ASSEMBLY                                                 2,240,698            Canada
CAGED NUT FASTENER                                                                     2,246,037            Canada
COMBINED LIGHT SHIELD AND HEAT SHIELD FOR HEADLIGHT                                    2,262,171            Canada
THREADED NUT EXPANSION FASTENER                                                        2,257,062            Canada
STUD RETAINING FASTENER & METH F PRODUCING SAME                                        1,134,652            Canada
FASTENER                                                                               1,141,516            Canada
SLOTTED DOUBLE THREAD IMPRESSION FASTENER                                              1,183,030            Canada
IMPROVED FASTENING DEVICE                                                              1,220,371            Canada
IMPROVED SLOTTED FASTENER                                                              1,229,251            Canada
SELF-LOCKING PREVAILING TORQUE FASTENER                                                1,246,907            Canada
FASTENING DEVICE                                                                       1,254,409            Canada
HEADLIGHT POSITION ADJUSTMENT ASSEMBLY                                                 1,283,088            Canada
STUD FASTENER                                                                          1,302,749            Canada
TUBE UNION REINFORCING CLIP                                                            2,013,616            Canada
CLIP-ON FASTENER                                                                       2,102,174            Canada
</TABLE>

<PAGE>   148
                                                                 SCHEDULE 5.23.B

                                   SCHEDULE A
                                   ----------
                            (LIST OF U.S. TRADEMARKS)
                          U.S. TRADEMARK REGISTRATIONS

TRANSTECHNOLOGY CORPORATION

<TABLE>
<CAPTION>
  Trademark or Service Mark                                                  Registration No.
  -------------------------                                                  ----------------

<S>                                                                                <C>
  MAKE-A-CLAMP                                                                        975,772
  ON-SERT                                                                             882,005
  PAL                                                                                 340,210
  PALNUT                                                                              556,075
  POWER-SEAL S                                                                        869,921
  PUSHNUT                                                                             617,710
  YMC                                                                                 962,336
  CURTIS & MARBLE                                                                     686,245
  MILLER                                                                            1,034,505
  TAG-O-MATIC                                                                         838,728
  TRANSCOLORIZER                                                                      888,222
  AEROVANE                                                                            988,905
  FRIEZ                                                                               552,482
  MAGNESYN                                                                            388,445
  MAGNESYN                                                                            396,990
  PSYCHRON                                                                            650,065
  TRANSFRISKER                                                                        878,559
  FEDERAL LABORATORIES INC. SALTSBURG, PENNA.                                         904,554
  MINI-STREAMER                                                                       877,271
  SKAT SHELL                                                                          957,550
  TRIPLE-CHASER                                                                       864,805
  TEXICON                                                                             399,214
  AERO-SEAL                                                                         1,723,241
  BREEZE                                                                            1,147,031
  CONSTANT-TORQUE                                                                   1,307,639
  EURO-SEAL                                                                         1,985,466
  HI-TORQUE                                                                         1,892,921
  SPOON NUT                                                                         2,073,414
  BREEZE                                                                            1,134,995
  PACK TECH                                                                         1,181,853
  TUFFER                                                                            1,293,917
  BELFORT                                                                           1,259,284
  BI-PRO                                                                            1,261,528
  BI-SHELL                                                                          1,115,971
  BREEZE                                                                            1,135,036
  MT                                                                                1,249,749
  PLATFORMATION                                                                     1,446,147
  SIGNAMATION                                                                       1,446,146
  TELLERMATION                                                                      1,453,017
  ULTRAGRAF                                                                         1,200,315
  FEDERAL LABORATORIES                                                              1,725,445
</TABLE>

<PAGE>   149
                                      -2-

SEEGER INC.

<TABLE>
<CAPTION>
  Trademark or Service Mark                                                  Registration No.
  -------------------------                                                  ----------------

<S>                                                                               <C>
  CRESCENT                                                                            615,340
  GRIPRING                                                                            721,293
  KLIPRING                                                                          1,035,195
  PRONG-LOCK                                                                        1,026,539
  RETAINING RING DESIGN                                                             1,330,849
  RETAINING RING DESIGN                                                               780,219
  RING-JECTOR                                                                       1,172,920
  RING-MOUNT                                                                          737,496
  RING-O-MAT                                                                          721,869
  ROL-PAK                                                                           1,179,814
  SEEGER                                                                            1,437,708
  SEEGER AND DESIGN                                                                 1,444,876
  SNAP-PAK                                                                            708,065
  TRUARC (BLOCK LETTERS)                                                            1,001,237
  TRUARC RADIAL POWER-GUN                                                           1,329,250
  WALDES TRUARC                                                                     2,073,279
</TABLE>

AEROSPACE RIVET MANUFACTURERS CORPORATION

<TABLE>
<CAPTION>
 Trademark or Service Mark                                                   Registration No.
 -------------------------                                                   ----------------

<S>                                                                                 <C>
 AR                                                                                 1,849,781
</TABLE>

NORCO INC.

<TABLE>
<CAPTION>
 Trademark or Service Mark                                                   Registration No.
 -------------------------                                                   ----------------

<S>                                                                                 <C>
 NORCO INC.                                                                         1,153,612
 BALL REVERSER                                                                      1,144,720
 NORCO                                                                              2,209,301
</TABLE>

TRANSTECHNOLOGY ENGINEERED COMPONENTS, LLC

<TABLE>
<CAPTION>
 Trademark or Service Mark                                                   Registration No.
 -------------------------                                                   ----------------

<S>                                                                                   <C>
 SPEED NUT                                                                            517,759
 SPEED NUTS (WITH DESIGN)                                                             352,168
 T                                                                                    927,128
 TINNERMAN                                                                            918,766
</TABLE>

<PAGE>   150
                                      -3-

TRADEMARK APPLICATIONS

TRANSTECHNOLOGY CORPORATION

<TABLE>
<CAPTION>
 Trademark or Service Mark                                                                   Serial No.
 -------------------------                                                                   ----------

<S>                                                                                          <C>
 ENGINEERED PRODUCTS FOR GLOBAL PARTNERS                                                     75-657,953
 TT                                                                                          75-657,952
</TABLE>

NORCO, INC.

<TABLE>
<CAPTION>
 Trademark or Service Mark                                                                   Serial No.
 -------------------------                                                                   ----------

<S>                                                                                          <C>
 NORLAB CALIBRATION GASES AND EQUIPMENT A DIVISION OF NORCO, INC.                            75-376,348
</TABLE>

TCR CORPORATION

<TABLE>
<CAPTION>
 Trademark or Service Mark                                                                   Serial No.
 -------------------------                                                                   ----------

<S>                                                                                          <C>
 TCR                                                                                         75-446,359
</TABLE>

<PAGE>   151
                                      -4-

                                   SCHEDULE A
                                   ----------
                          (LIST OF FOREIGN TRADEMARKS)

SEEGER INC.

<TABLE>
<CAPTION>
 Trademark or Service Mark                     Registration No.            Country
 -------------------------                     ----------------            -------

<S>                                            <C>                         <C>
 GRIPRING (stylized)                           1,478,547                   France
 KLIPRING                                      1,244,673                   France
 MULTIARC                                      347,047                     Canada
 MULTIARC                                      1,244,672                   France
 MULTIARC                                      2258136                     Japan
 RETAINING RING (device)                       1,478,542                   France
 RING-GUN (word)                               1,478,543                   France
 RING-JECTOR (word)                            1,478,546                   France
 RING-O-MAT (word)                             1,478,545                   France
 ROL-PAK (word)                                1,478,544                   France
 SNAP-PAK (word)                               1,478,541                   France
 TRUARC                                        113/1947                    Denmark
 TRUARC                                        1,403,335                   France
 TRUARC                                        490,235                     Italy
 TRUARC                                        62,631                      Sweden
 TRUARC                                        A106152                     Australia
 TRUARC                                        21,274                      Austria
 TRUARC                                        041,123                     Benelux
 TRUARC                                        UCA 18695                   Canada
 TRUARC                                        335,460                     Chile
 TRUARC                                        285,851                     India
 TRUARC                                        285,853                     India
 TRUARC                                        36,809                      Israel
 TRUARC                                        37,198                      Israel
 TRUARC                                        383,007                     Mexico
 TRUARC                                        39911                       Norway
 TRUARC                                        56,957                      Singapore
 TRUARC                                        KOR 3802                    Thailand
 TRUARC                                        630,996                     U.K.
 TRUARC                                        B716,372                    U.K.
 TRUARC                                        76103-F                     Venezuela
 TRUARC                                        619,687                     West Germany
 TRUARC (block letters)                        168460                      Uruguay
 TRUARC (stylized)                             0196015                     Spain
 TRUARC (stylized)                             351,903                     Switzerland
 TRUARC RADIAL POWER GUN                       94 544 805                  France
 TRUARC RADIAL POWER-GUN                       501,118                     Italy
 TRUARC RADIAL POWER-GUN                       328,509                     Canada
 TRUARC RADIAL POWER-GUN                       1,087,422                   Germany
 WALDES TRUARC                                 367596                      Canada
 WALDES TRUARC                                 335,459                     Chile
 WALDES TRUARC                                 361,878                     Mexico
</TABLE>

<PAGE>   152
                                      -5-

TRANSTECHNOLOGY ENGINEERED COMPONENTS, LLC

<TABLE>
<CAPTION>
 Trademark or Service Mark                               Registration No.                       Country
 -------------------------                               ----------------                       -------

<S>                                                           <C>                                <C>
 SPEED NUT                                                     TMDA 52380                        Canada
 TINNERMAN                                                    TMA 277,215                        Canada
 TINNERMAN                                                         128350                        Mexico
</TABLE>

TRANSTECHNOLOGY CANADA CORPORATION

<TABLE>
<CAPTION>
 Trademark or Service Mark                               Registration No.                       Country
 -------------------------                               ----------------                       -------

<S>                                                           <C>                                <C>
 SPEED NUT                                                     TMDA 52380                        Canada
 TINNERMAN                                                    TMA 277,215                        Canada
</TABLE>

(PENDING)

SEEGER INC.

<TABLE>
<CAPTION>
Trademark or Service Mark                                      Serial No.                       Country
-------------------------                                      ----------                       -------

<S>                                                          <C>                                 <C>
TRUARC RADIAL POWER GUN                                                AP                        Mexico
WALDES TRUARC - CL. 7                                        AP 819927031                        Brazil
WALDES TRUARC - CL. 8                                        AP 819927090                        Brazil
</TABLE>

<PAGE>   153

                                  SCHEDULE 5.24
                                  -------------

                         POTENTIAL CONFLICTS OF INTEREST
                         -------------------------------

NONE

<PAGE>   154

                                  SCHEDULE 5.26
                                  -------------

                             OUTSTANDING BORROWINGS
                             ----------------------

1.

                                                                AMOUNT AS
                                                             OF JULY 2, 2000
                                                             ---------------

          Breeze-Industrial PA Development Authority          $    956,000

          IRR-Northwestern Mutual Life                        $    394,000
          Revolving Credit Facility (8.83%)                   $148,079,000
          Revolving Credit Facility (10.75%)                  $ 10,000,000
          Term Loan (9.44%)                                   $ 44,375,000
          Bridge Loan (16.69%)                                $ 75,211,000

2.    See Schedules 5.8 and 5.17.

<PAGE>   155

                                  SCHEDULE 5.28
                                  -------------

                                    INSURANCE
                                    ---------

1.   See attached report.

2.   See Schedule 5.22(a) for health care policies.

<PAGE>   156

<TABLE>
<CAPTION>
<S>                                         <C>
TransTechnology Corporation

COVERAGE:                                    Aircraft Products Liability

INSURER:                                     Aircraft Builders Council of London - Lloyds of London and
                                             Other London Companies

POLICY NUMBER:                               AW7400200

INCEPTION/EXPIRATION:                        04/01/2000 - 04/01/2001

LIMITS:                                               $50,000,000 Bodily Injury (Including Personal Injury) and Property
                                                                  Damage for any one Occurrence and in the Aggregate,
                                                                  including within such limit Grounding Liability for any one
                                                                  Occurrence and in the Aggregate

                                                     $100,000,000 Separate Limit for ARMC; Combined Single Limit for Bodily
                                                                  Injury and Property Damage for any one Occurrence and
                                                                  Aggregate including with such Limit Grounding Liability for
                                                                  $100M

DEDUCTIBLE:                                                  None

TERRITORY:                                              Worldwide

NET PREMIUM:                                             $240,520
</TABLE>

08/03/00                                                                 Page 1

<PAGE>   157

<TABLE>
<CAPTION>
<S>                                          <C>

TransTechnology Corporation

COVERAGE:                                    Crime

INSURER:                                     Federal Insurance Company (Chubb)

POLICY NUMBER:                               8158-77-71

INCEPTION/EXPIRATION:                        04/01/1999 - 04/01/2001

LIMITS:                                                $5,000,000 Employee Theft
                                                        5,000,000 Premises
                                                        5,000,000 Transit
                                                        5,000,000 Depositors Forgery
                                                        5,000,000 Computer Theft & Funds Transfer
                                                        5,000,000 Money Order & Counterfeit Currency
                                                        5,000,000 Credit Card Forgery

DEDUCTIBLE:                                                  None Money Order & Counterfeit Currency
                                                             None Credit Card Forger
                                                           10,000 All Other Coverages

CANCELLATION:                                                  90 Days

AMENDMENTS:                                  Worldwide Territory Coverage
                                             ERISA Coverage
                                             Student / Volunteer Coverage
                                             Temporary Personnel Extension
                                             Noncompensated Officers Covered As "Employees"
                                             Directors and Trustees Covered As "Employees"
                                             Included as Insured is any Benefit
                                             Program, Employee Benefit Plan, or
                                             program located anywhere in the
                                             world sponsored or administered by
                                             a TTC company.

COMMENTS:                                    Covers TransTechnology Engineered Components, LLC and
                                             TransTechnology Canada Corporation beginning 08/31/99 at
                                             no additional premium.

NET PREMIUM:                                              $20,000

</TABLE>

08/03/00                                                                 Page 2

<PAGE>   158

<TABLE>
<CAPTION>
<S>                                          <C>

TransTechnology Corporation

COVERAGE:                                    Directors and Officers Liability

INSURER:                                     Federal Insurance Company (Chubb)

POLICY NUMBER:                               8158-77-72

INCEPTION/EXPIRATION:                        04/01/1999 - 04/01/2001

LIMITS:                                      $10,000,000 Annual Aggregate, Including Defense Costs

DEDUCTIBLE:                                          -0- Insuring Clause 1 -Per Individual
                                                         Director/Officer

                                                $250,000 Insuring Clause 2 - Corporate Reimbursement
                                                 250,000 Insuring Clause 3 - Applies only to Defense
                                                         Costs and is waived if the claim is resolved without an
                                                         indemnity obligation

COMMENTS:                                    Includes a Separate $10 Million Limit for Outside
                                             Directorships in Nonprofit Entities or in Scheduled Entities.
                                             One Year Extended Reporting Period for 65% of Annual
                                             Premium
                                             Continuity Date is 0l-Apr-88
                                             Has Two Year Program Endorsement.
                                             Includes Marital Estate Extension.
                                             Automatic Subsidiary Coverage for Newly Acquired or
                                             Created Companies up to 20% of Total Assets.
                                             Insuring Clause 1: Pays on behalf of Insured Persons losses
                                             that are not indemnified by the Insured Organization.
                                             Insuring Clause 2: Pays on behalf of the Insured Organization
                                             losses for which the Insured Organization indemnifies Insured
                                             Persons.
                                             Insuring Clause 3: Pays on behalf
                                             of any Insured Organization losses
                                             on claims arising from a Wrongful
                                             Act (specifically, Securities
                                             Related Transactions).
                                             Covers TransTechnology Engineered
                                             Components, LLC and TransTechnology
                                             Canada Corporation beginning
                                             08/31/99 at no additional premium.

CANCELLATION:                                               90 Days

NET PREMIUM:                                          $118,500

</TABLE>

08/03/00                                                                 Page 3

<PAGE>   159

<TABLE>
<CAPTION>

<S>                                          <C>
TransTechnology Corporation

COVERAGE:                                    Excess Directors and Officers Liability

INSURER:                                     Zurich American Insurance Company

POLICY NUMBER:                               DOC 3774037 02

INCEPTION/EXPIRATION:                        04/01/2000 - 04/01/2001

LIMITS:                                       $10,000,000   Excess of $10MM Primary (Annual Aggregate)

COMMENTS:                                    Pending or Prior Litigation Exclusion is 01-Apr-97
                                             Excess Follow Form of Chubb's D&O
                                             (including Entity Coverage for
                                             Securities Transactions) and
                                             Outside Directorship Liability
                                             Sections
                                             Prior Notice Exclusion
                                             Covers TransTechnology Engineered
                                             Components, LLC and TransTechnology
                                             Canada Corporation beginning
                                             08/31/99

NET PREMIUM:                                           $49,560
</TABLE>

08/03/00                                                                 Page 4

<PAGE>   160

<TABLE>
<CAPTION>

<S>                                          <C>
TransTechnology Corporation

COVERAGE:                                    Fiduciary Liability

INSURER:                                     Federal Insurance Company (Chubb)

POLICY NUMBER:                               8148-77-72

INCEPTION/EXPIRATION:                        04/01/1999 - 04/01/2001

LIMITS:                                            $10,000,000  Annual Aggregate, Including Defense Costs

DEDUCTIBLE:                                                -0-  Each Loss, For Non-Indemnifiable Loss
                                                           -0-  Each Loss, For Indemnifiable Loss

EXTENDED REPORTING:                                   One Year  Discovery Period
                                                           65%  Of Annual Premium

CONTINUITY DATE:                                     01-Apr-88

CANCELLATION:                                               60  Days

COMMENTS:                                    Coverage is for any Benefit Program, Employee Benefit Plan,
                                             Insured Plan, or program located anywhere in the world
                                             sponsored, operated, maintained, or administered by a TTC
                                             company.
                                             Covers TransTechnology Engineered
                                             Components, LLC and TransTechnology
                                             Canada Corporation beginning
                                             08/31/99 at no additional premium.

NET PREMIUM:                                           $14,834
</TABLE>

08/03/00                                                                 Page 5

<PAGE>   161

<TABLE>
<CAPTION>
<S>                                         <C>

TransTechnology Corporation

COVERAGE:                                    Blanket Travel Accident (Accidental Death and
                                             Dismemberment)

INSURER:                                     Zurich Insurance Company

POLICY NUMBER:                               GTU 8338450

INCEPTION/EXPIRATION:                        04/01/1999 - 04/01/2002

PRINCIPAL SUM:                                          $300,000       Class I, All Directors
                                                     "Three (3) times  Class II, All Other Employees
                                                  Annual Earnings* to
                                                        $500,000 max"

                                             *annual earnings excludes commissions, bonuses, and overtime

TOTAL LIMIT OF LIABILITY:                              $2,500,000  Maximum Payment Per Aircraft Accident

INSURED COMPANIES:                           This policy covers named divisions and subsidiaries
                                             Breeze-Eastern          Breeze Industrial Products
                                             Norco, Inc.             Waldes/Industrial Retaining Ring
                                             TCR Corporation         ARMC
                                             Palnut                  TT Engineered Components, LLC
                                             TransTechnology Canada Corporation
                                             Seeger Reno Industria e Comercio Ltda. (Brazil)
                                             Seeger-Orbis GmbH (Germany)

BENEFIT:                                     Principal Sum is payable for a)
                                             death, b) loss of speech and
                                             hearing, or c) loss of two or more
                                             "members" (member means hand, foot,
                                             or eye). Partial benefit is payable
                                             for a) loss of speech or hearing,
                                             b) loss of thumb and index finger,
                                             or c) loss of one "member."

HAZARDS INSURED:                             Provides 24 hour coverage for accidents occurring while
                                             traveling on TTC business. Traveling means away from the
                                             TTC premises in the employee's city of permanent assignment.
                                             Does not cover commuting between home and work. Covers
                                             "personal deviations" while on business trips (an activity not
                                             reasonably related to business and not incidental to the
                                             business trip).

COMMENTS:                                    Covers TransTechnology Engineered Components, LLC and
                                             TransTechnology Canada Corporation beginning 08/31/99

NET PREMIUM:                                           $3,941  Premium for second annual installment,
                                                                     which includes the Tinnerman companies
</TABLE>

08/03/00                                                                 Page 6

<PAGE>   162

<TABLE>
<CAPTION>
<S>                                          <C>

TransTechnology Corporation

COVERAGE:                                    Foreign General Liability & Auto Liability

INSURER:                                     ACE American Insurance Co. (formerly CIGNA)

POLICY NUMBER:                               PHF-054250

INCEPTION/EXPIRATION:                        04/01/2000 - 04/01/2001

LIMITS:                                      Commercial General Liability

                                                       $1,000,000  Each Accident

                                                        1,000,000  Products & Completed Operations Aggregate
                                                        1,000,000  Premises Damage Limit (per occurrence)
                                                           10,000  Medical Expense Limit (any one person)

                                             Contingent Auto Liability & Physical Damage
                                                       $1,000,000  Combined Single Limit for Hired &
                                                                   Nonowned Autos Excess of any Local
                                                                   Compulsory Insurance
                                                            1,000  Physical Damage for any one Hired Auto
                                                           10,000  Physical Damage for Hired Auto in Policy
                                                                   Period

                                             Employee Benefits Liability Endorsement (Claims Made Form)
                                                       $1,000,000  Employee Benefit Programs Negligent Acts,
                                                                   Per Occurrence and Annual Aggregate

                                             Employers Responsibility Coverage (Foreign WC)
                                                    State of Hire  Foreign WC Benefits for North Americans
                                                       $1,000,000  Employers Liability
                                                          250,000  Repatriation (with Executive Assistance)

DEDUCTIBLE:                                                $1,000  Employee Benefit Programs Negligent Acts
                                                              -0-  All Other Coverages

COMMENTS:                                    Policy Territory is Worldwide Excluding the United State, Its
                                                 Territories and Possessions and Puerto Rico.
                                             Policy Jurisdiction is Worldwide.
                                             Excludes Coverage for Aircraft Products.
                                             Foreign WC coverage added 04/01/2000.

NET PREMIUM:                                              $10,621  Foreign Liability
                                                            2,607  Foreign WC
                                                            -----
                                                          $13,228
</TABLE>

08/03/00                                                                 Page 7

<PAGE>   163

<TABLE>
<CAPTION>

<S>                                          <C>
TransTechnology Corporation

COVERAGE:                                    Vehicle Liability

INSURER:                                     Travelers Indemnity Company of Illinois

POLICY NUMBER:                               TJ-CAP-752G3532-TIL-00

INCEPTION/EXPIRATION:                        04/01/2000 - 04/01/2001

LIMITS:                                                $1,000,000  Bodily Injury and Property Damage
                                                        1,000,000  Uninsured Motorists
                                                        1,000,000  Underinsured Motorists
                                                            5,000  Medical Payments
                                                              ACV  Owned Autos - Actual Cash Value for Damage
                                                           30,000  Hired Autos - Max Value for Physical Damage

DEDUCTIBLE:                                                  None  Liability
                                                             $100  Comprehensive
                                                              250  Collision

CANCELLATION:                                                  90  Days

COVERAGES:                                   Provides Drive Other Car Coverage
                                             Covers All Owned and Long-Term Leased Autos
                                             Covers Liability for Hired and Nonowned Autos
                                             Provides Physical Damage Coverage for Hired Autos

RATE PER UNIT:                                               $900  Per unit for auto liability - 39 at inception
                                                              245  Per unit for auto physical damage - 39 at
                                                                   inception

NET PREMIUM:                                              $44,655  Deposit at Inception
</TABLE>

08/03/00                                                                 Page 8

<PAGE>   164
TransTechnology Corporation

                            VEHICLE LIABILITY POLICY

Report newly acquired vehicles to obtain a proof of insurance identification
card. This card must be carried in the glove compartment at all times. Call Greg
Johnson (805-497-6200) to report changes in owned or leased vehicles.

The TransTechnology business auto policy provides these coverages:

-        Liability

         -        Owned Vehicles. We have liability coverage (both bodily injury
                  and property damage) for accidents involving owned vehicles.

         -        Hired (Rented) Vehicles in U.S. and Canada Only. The
                  TransTechnology policy automatically provides liability
                  insurance for the Corporation when employees use rented
                  vehicles.

         -        Nonowned (Employee-Owned) Vehicles. The TT auto policy
                  protects TT and its subsidiaries from liability suits when
                  employees use their own cars on company business. IMPORTANT -
                  THE CORPORATE POLICY PROTECTS THE CORPORATION ONLY. It will
                  not compensate employees for damage to their own vehicles nor
                  will it protect employees from claims filed against them
                  personally.

-         Physical Damage

         -        Owned Vehicles. Owned or leased vehicles are covered for
                  physical damage loss. They are insured at actual cash value up
                  to $30,000. The deductible for collision damage is $250.

         -        Hired (Rented) Vehicles in U.S. and Canada Only. Vehicles are
                  automatically covered for physical damage by the corporate
                  auto policy. You do not need to purchase the Collision Damage
                  Waiver. Rented vehicles are insured at actual cash value up to
                  $30,000.

         -        Nonowned (Employee-Owned) Vehicles. TT does not provide
                  coverage for physical damage to nonowned (employee-owned)
                  vehicles!

08/03/00                                                                 Page 9

<PAGE>   165

<TABLE>
<CAPTION>

<S>                                <C>
TransTechnology Corporation

COVERAGE:                          Commercial General Liability

INSURER:                           Chubb Custom Insurance Company

POLICY NUMBER:                     7947-96-76 CWD

INCEPTION/                         04/01/2000 - 04/01/2001
EXPIRATION:

LIMITS:                                      $2,000,000  General Aggregate For Other Than Products &
                                                         Completed Operations
                                              1,000,000  Products and Completed Operations Aggregate Limit
                                              1,000,000  Each Occurrence Limit for Bodily Injury and
                                                         Property Damage
                                              1,000,000  Personal and Advertising Injury Limit
                                              1,000,000  Employee Benefit Liability (Claims Made)
                                                 50,000  Property Damage to Rented Premises
                                                  1,000  Medical Expense

SELF-INSURED                                   $500,000  For Discontinued Operations
RETENTION:                                       10,000  For Continuing Operations
                                                    Nil  For Premises Liability

                                                 50,000  Employee Benefit Liability (Deductible)
CANCELLATION:                                        60  Days

POLICY TERMS:                      This is the third year of a three-year program
                                   Covers occurrences and suits in the U.S., Canada, and Puerto Rico
                                   Claim Handling service is provided by Constitution State
                                   Includes Travel Accident coverage for 13 directors and officers
                                   Defense Costs erode self-insured retention
                                   Defense Costs do not reduce policy limits

REPORTING                                  $193,601,800  Projected revenue - U.S. & Canada
                                                   1.40  Rate per $1,000 revenue for first $175M
                                                   1.12  Rate per $1,000 revenue above $175M

NET PREMIUM:                       $265,834 Deposit at Inception
</TABLE>

08/03/00                                                                Page 10

<PAGE>   166

<TABLE>
<CAPTION>

<S>                               <C>
TransTechnology Corporation

COVERAGE:                          Primary Umbrella Liability

INSURER:                           Chubb Insurance Company of New Jersey

POLICY NUMBER:                     7975-17-56 CAS

INCEPTION/                         04/01/1998 - 04/01/2001
EXPIRATION:

LIMITS:                                     $20,000,000  Each Occurrence
                                             20,000,000  Aggregate Excess of Scheduled Underlying

SELF-INSURED                                        -0-
RETENTION:

CANCELLATION:                                        60  Days

POLICY TERMS:                      Covers Industrial Retaining Ring and TCR beginning 04/01/98.
                                   Covers ARMC beginning 06/29/98.
                                   Covers Norco beginning 07/28/98.
                                   Covers TransTechnology Engineered Components, LLC and
                                   TransTechnology Canada Corporation beginning 08/31/99.

NET PREMIUM:                                   $255,607  Flat three year prepaid
                                                 26,793  Flat additional premium for Tinnerman acquisition (1)
                                               --------
                                               $282,400
</TABLE>

(1) Additional premium billed on 04/01/2000. $9,871 of the additional
premium was charged to Tinnerman in FY1999-2000 and $16,922 was charged to
Tinnerman in FY2000-2001.

08/03/00                                                                Page 11

<PAGE>   167

<TABLE>
<CAPTION>

<S>                                <C>
TransTechnology Corporation

COVERAGE:                          Excess Umbrella Liability

INSURER:                           American Home (National Union)

POLICY NUMBER:                     3466936

INCEPTION/EXPIRATION:              04/01/2000 - 04/01/2001

LIMITS:                            $20,000,000  Each Occurrence & Aggregate Excess of Primary
                                                Umbrella
NET PREMIUM:                           $30,000
</TABLE>

08/03/00                                                                Page 12

<PAGE>   168

<TABLE>
<CAPTION>
<S>                           <C>

TransTechnology Corporation

COVERAGE:                     Combined Property and Boiler & Machinery

INSURER:                      American Guarantee & Liability Insurance Company (Zurich)

POLICY NUMBER:                ERP3589392-00

INCEPTION/EXPIRATION:         04/01/2000 - 04/01/2001

LIMITS:                              $467,039,546  Blanket Limit for Real and Personal Property including
                                                   Boiler & Machinery, Rental Insurance, Business
                                                   Interruption, EDP Media/Equipment
                                      100,000,000  Flood, per occurrence and annual aggregate
                                      100,000,000  Earth Movement excluding California
                                        2,500,000  Earth Movement in California (ARMC)
                                       25,000,000  Accounts Receivable or Valuable Papers
                                       25,000,000  Building Ordinance and Demolition & Increased Cost of
                                                   Construction
                                       25,000,000  Newly Acquired Buildings & Personal Property at
                                                   locations with sprinklers
                                        5,000,000  Newly Acquired Buildings & Personal Property at
                                                   locations without sprinklers
                                       10,000,000  Contingent Business Interruption
                                       10,000,000  Service Interruption
                                       10,000,000  Extra Expense at Scheduled Locations
                                       10,000,000  EDP Reconstruction
                                        5,000,000  Miscellaneous Unnamed Locations
                                        5,000,000  Or 25% of loss for Debris Removal
                                        2,500,000  Expediting Expense
                                        1,000,000  Decontamination Expense
                                        1,000,000  Transit, per conveyance, per disaster
                                          250,000  Leasehold Interest

DEDUCTIBLES:                              $25,000  All Perils, Except
                                    24 Hrs + $25K  Service Interruption
                                           50,000  Flood & Earth Movement (excluding CA)
                                          250,000  Flood & Sewer Backup at Millburn, NJ
                                     5% of values  Earth Movement in CA (subject to $100,000 min)

NET PREMIUM:                             $268,000  Property Premium
                                           11,913  California Earth Movement
                                         --------
                                         $279,913  Total Premium
</TABLE>

08/03/00                                                                Page 13

<PAGE>   169

<TABLE>
<CAPTION>
<S>                               <C>

TransTechnology Corporation

COVERAGE:                          Marine Cargo

INSURER:                           Liberty Mutual - GRE

POLICY NUMBER:                     OMC 8059

INCEPTION/EXPIRATION:              Continuous Until Canceled

LIMITS:                                        $750,000  Any one Vessel
                                                750,000  Any one Aircraft
                                                  1,000  Any one package by Mail or Parcel Post
                                                500,000  Contingent Domestic Transit, including Canada and
                                                         Mexico (this is backup
                                                         coverage in case the
                                                         cargo is supposed to be
                                                         insured by another
                                                         party, but in fact, is
                                                         not)
                                                500,000  Truck Shipments to Mexico
                                                100,000  Location & Exhibition Coverage

DEDUCTIBLE:                                        $100 Per Occurrence

RATES:                                              .07 Per $100 of international sales

REPORTING:                         Premium adjustable based on annual report of international sales
                                   Estimated shipments at inception = $17,520,000

NET PREMIUM:                                    $12,000 Annual Deposit
</TABLE>

08/03/00                                                                Page 14

<PAGE>   170

<TABLE>
<CAPTION>

<S>                                <C>
TransTechnology Corporation

COVERAGE:                          Workers' Compensation

INSURER:                           The Travelers Indemnity Company

POLICY NUMBER:                     TC2J-UB-752G351-9-00

INCEPTION/EXPIRATION:              04/01/2000 - 04/01/2001

LIMITS:                                       Statutory Workers' Compensation
                                             $1,000,000 Employers' Liability

PROGRAM FACTORS:                   Loss Responsive Rating Plan - High Deductible
                                   Policy excludes monopolistic states (e.g., Ohio)
                                            $52,290,232  Estimated payroll at inception
                                                150,000  Deductible, each accident
                                                 43,102  State surcharges, deferred until audit
                                                  .0911  Rate per $100 of payroll for administrative expense
                                                  .2529  Rate per $100 of payroll for deductible premium
                                                 1.2899  Rate per $100 of payroll for maximum loss content
                                                    10%  Loss conversion factor (claim handling fee)

NET PREMIUM:                                   $179,878 Program expenses
                                                 38,000 Estimated claim handling fees
                                                385,000 Cash collateral & loss fund
                                                 43,102 Deferred surcharges (due 18 mos after inception)
                                               --------
                                               $645,980
</TABLE>

08/03/00                                                                Page 15

<PAGE>   171

<TABLE>
<CAPTION>

<S>                                <C>
TransTechnology Corporation

COVERAGE:                          Excess Difference in Conditions - Earthquake (at ARMC only)

INSURER:                           Clarendon National

POLICY NUMBER:                     EQ98000944

INCEPTION/EXPIRATION:              04/18/2000 - 04/01/2001

LIMITS:                                      $7,500,000  Policy Limit, per occurrence and annual aggregate;
                                                         EXCESS of $2.5 MM Primary (see Property policy)
                                                250,000  Pollution Cleanup & Removal, per occurrence and
                                                         annual aggregate

DEDUCTIBLE:                        This is an excess policy.  The primary Property policy from Zurich
                                   (page 13) sets the deductible for Earthquake coverage.

COMMENTS:                          Insures Earthquake at City of Industry, CA location only
                                   Covers personal property, business interruption, EDP, extra expense
                                   Valuation is Replacement Cost.
                                   Does NOT cover Buildings
                                   Does NOT cover Building Ordinance
                                   Does NOT cover Earthquake Sprinkler Leakage (see Property policy)

PREMIUM:                           $19,060             Prorated premium
                                       150             CAT fee
                                   -------
                                   $19,210
</TABLE>

08/03/00                                                                Page 16

<PAGE>   172

<TABLE>
<CAPTION>
<S>                                         <C>

TransTechnology Corporation

COVERAGE:                                    Flood (at Norco only)

INSURERS:                                    Travelers
                                             National Flood Insurance Program

POLICY NUMBER:                               2-5658-1440-5        (Travelers)
                                             1933015842           (National Flood Insurance Program)

INCEPTION/EXPIRATION:                        09/30/1999 - 09/30/2000 (Travelers)
                                             10/24/1999 - 10/24/2000 (NFIP)

LIMITS:                                                  $500,000 Building
                                                          500,000 Contents

COMMENTS:                                    Travelers policy covers building at 141 Ethan Allen Highway
                                             NFIP policy covers building at 139 Ethan Allen Highway

NET PREMIUM:                                               $4,744 (Travelers)
                                                            4,744 (NFIP)

</TABLE>

08/03/00                                                                Page 17

<PAGE>   173

<TABLE>
<CAPTION>

<S>                                         <C>
TransTechnology Canada Corporation

COVERAGE:                                    Vehicle Liability (Canada only)

INSURER:                                     Travelers Casualty & Surety Company of Canada

POLICY NUMBER:                               232D0323

INCEPTION/EXPIRATION:                        04/01/2000 - 04/01/2001

LIMITS:                                                $1,000,000  Bodily Injury and Property Damage

DEDUCTIBLE:                                                  None  Liability
                                                           $1,000  Comprehensive & Collision for owned autos
                                                              500  Comprehensive & Collision for hired autos

NET PREMIUM:                                              C$3,939  Deposit at Inception
                                                         US$2,805  Premium in US$ at inception exchange rate
</TABLE>

08/03/00                                                                Page 18

<PAGE>   174

<TABLE>
<CAPTION>

<S>                                         <C>
TransTechnology Canada Corporation

COVERAGE:                                    Commercial General Liability (Canada only)

INSURER:                                     Travelers Casualty & Surety Company of Canada

POLICY NUMBER:                               232D0335

INCEPTION/EXPIRATION:                        04/01/2000 - 04/01/2001

LIMITS:                                                $2,000,000 General Aggregate for other than Products
                                                                  & Completed Operations
                                                        1,000,000 Each Occurrence Limit for Bodily Injury
                                                                  and Property Damage
                                                        1,000,000 Personal and Advertising Injury Limit
                                                           50,000 Property Damage to Rented Premises
                                                            1,000 Medical Expense
                                                        1,000,000 Employee Benefits Liability (Claims Made)
                                                                  Retroactive date = August 1, 1999

DEDUCTIBLE:                                                $1,000 Each Employee for Employee Benefits
                                                                  Liability

NET PREMIUM:                                              C$1,200 Deposit at Inception
                                                           US$880 Premium in US$ at inception exchange rate

</TABLE>

08/03/00                                                                Page 19
<PAGE>   175
                                  SCHEDULE 6.6
                                  ------------

                                   LITIGATION
                                   ----------

                                      NONE

<PAGE>   176

                                  SCHEDULE 9.6
                                  ------------

                              DISPOSITION OF ASSETS
                              ---------------------

                    REAL ESTATE FROM DISCONTINUED OPERATIONS
                    ----------------------------------------

                          Union, New Jersey Real Estate

                         Glen Head, New York Real Estate

                        Placerita, California Real Estate

                          Wyoming, Illinois Real Estate

<PAGE>   177

                                  SCHEDULE 9.11
                                  -------------

                                   INVESTMENTS
                                   -----------

                                                             As of July 30, 2000

1.   ELECSYS INCORPORATED
         Notes        $3,269,869
         Warrant      $3,170,000
                      ----------
         Total        $6,439,869

2.

                                                      NUMBER
         COMPANY NAME                                OF SHARES           TYPE
         ------------                                ---------           ----
         Textron                                        100             Common
         SPS Technologies, Inc.                         100             Common
         Fairchild Corp.                                100             Common
         Illinois Tool Works                            100             Common
         Penn Engineering & Manufacturing Corp.         100             Common
         Federal Screw Works                            100             Common
         Chicago Rivet & Machine Co.                    100             Common
         Black & Decker                                 100             Common
         Dev Tech Corp                                  100             Common

<PAGE>   178

                                  SCHEDULE 9.12
                                  -------------

                             CONTINGENT OBLIGATIONS
                             ----------------------

1.   Currency Hedges - TransTechnology Corporation Forward Contracts for sale of
     DM executed 9-17-99 and maturing on 9-18-00 and sale of Sterling executed
     on 10-23-99 with contract maturity date of 10-23-00.

2.   TransTechnology  Interest Rate Swap Agreements  effective 5-4-99 and 3-3-00
     with maturity dates 5-4-02 and 3-3-03, respectively.

3.   Currency Hedges - Seeger-Orbis Forward Contracts for future payments to
     TransTechnology (GB) Limited purchase of Sterling executed on 2-18-00,
     2-22-00 and 3-13-00 with contract maturity dates on 9-6-00, 9-7-00,
     10-6-00, 11-7-00, 12-7-00, 1-5-01, 2-6-01, 3-6-01, and 4-6-01.

4.   TransTechnology (GB) Limited Foreign Currency Forward Contracts for sale of
     Euros for sterling with contract maturity dates from 8-31-99 through
     1-15-01 and sale of dollars for sterling with contract maturity dates from
     9-11-00 through 12-11-00.

6.   ISDA Master Agreement between The Company and Bank One, N.A.

7.   TransTechnology   Corporation   guaranty  of  debts  and   liabilities   of
     TransTechnology  (GB) Limited and Ellison Holdings Ltd.  (through  November
     31, 2000)

8.   TransTechnology   Corporation  guaranty  of  Altersteilzeit   Pension  Plan
     (Seeger-Orbis).

9.   Earnout Agreement with the Sellers under acquisition agreements for:

        a.       Aerospace Rivet Manufacturers Corporation;
        b.       NORCO, Inc.; and
        c.       Ellison Holdings plc

<PAGE>   179

                                  SCHEDULE 9.13
                                  -------------

                        MANAGEMENT FEES AND COMPENSATION
                        --------------------------------

1.   Consulting Agreement between The Company and John Dalton (director).<PAGE>   1
                                                                Exhibit 10.38(i)

                                     WARRANT

                                                                 August 29, 2000

THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES
ACT OF 1933, AS AMENDED, OR THE SECURITIES LAW OF ANY STATE AND MAY NOT BE SOLD,
TRANSFERRED OR OTHERWISE DISPOSED OF EXCEPT PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER SUCH ACT AND APPLICABLE STATE SECURITIES LAWS OR
PURSUANT TO AN APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF SUCH
ACT AND SUCH LAWS.

                                                     Warrant to Purchase 171,041
                                                          Shares of Common Stock

                           TRANSTECHNOLOGY CORPORATION

                          COMMON STOCK PURCHASE WARRANT

                           VOID AFTER AUGUST 29, 2010

TransTechnology Corporation (the "COMPANY"), a Delaware corporation, hereby
certifies that for value received, J. H. Whitney Mezzanine Fund, L.P. ("WMF"), a
Delaware limited partnership, or its successors or assigns (the "Holder"), is
entitled to purchase, subject to the terms and conditions hereinafter set forth,
an aggregate of 171,041 fully paid and nonassessable shares of Common Stock (as
hereinafter defined) of the Company, at an exercise price equal to the Purchase
Price, as defined herein, subject to adjustment as provided herein, at any time
or from time to time beginning on the date hereof and prior to 5:00 P.M., New
York City time, on August 29, 2010 (the "Expiration Date").

This Warrant is issued pursuant to the Securities Purchase Agreement (the
"PURCHASE AGREEMENT"), dated as of the date hereof, among the Company, J.H.
Whitney Mezzanine Fund, L.P. ("WMF"), Albion Alliance Mezzanine Fund I, L.P.
("ALBION I"), Albion Alliance Mezzanine Fund II, L.P. ("ALBION II", and together
with Albion I, the "ALBION FUNDS"), The Equitable Life Assurance Society of the
United States ("EQUITABLE"), Fleet Corporate Finance, Inc. ("FLEET") and
Citizens Capital Incorporated ("CITIZENS", and together with WMF, the Albion
Funds, Equitable and Fleet, the "PURCHASERS"), and is subject to the terms
thereof. Capitalized terms used herein and not otherwise defined shall have the
respective meanings assigned to such terms in the Purchase Agreement. The Holder
is entitled to the rights and subject to the obligations contained in the
Purchase Agreement and the Registration Rights Agreement relating to this
Warrant and the shares of Common Stock issuable upon exercise of this Warrant.

<PAGE>   2

     1.  DEFINITIONS. For the purposes of this Warrant, the following terms
shall have the meanings indicated:

           "APPLICABLE PRICE" shall mean the higher of (a) the Current Market
Price per share of Common Stock on the applicable record or other relevant date
and (b) the Dilution Price.

           "BUSINESS DAY" shall mean any day other than a Saturday, Sunday or
other day on which commercial banks in the City of New York are authorized or
required by law or executive order to close.

           "CLOSING PRICE" shall mean, with respect to each share of Common
Stock for any day, (a) the last reported sale price or, in case no such sale
takes place on such day, the average of the closing bid and asked prices, in
either case as reported on the principal national securities exchange on which
the Common Stock is listed or admitted for trading or (b) if the Common Stock is
not listed or admitted for trading on any national securities exchange, the last
reported sale price or, in case no such sale takes place on such day, the
average of the highest reported bid and the lowest reported asked quotation for
the Common Stock, in either case as reported on the NASDAQ or a similar service
if NASDAQ is no longer reporting such information.

           "CO-INVESTOR WARRANTS" shall mean all warrants, other than the
Warrant, to purchase Common Stock issued pursuant to the Purchase Agreement and
any subsequent warrants issued pursuant to the terms of such warrants.

           "COMMON STOCK" means the common stock, par value $.01 per share, of
the Company, and any class of stock resulting from successive changes or
reclassification of such Common Stock.

           "COMPANY" has the meaning ascribed to such term in the first
paragraph of this Warrant.

           "CURRENT MARKET PRICE" shall be determined in accordance with
Subsection 3(e).

           "DILUTION PRICE" shall mean, with respect to each share of Common
Stock, the Purchase Price, subject to appropriate adjustment for events
described in Subsection 3(a).

           "EXERCISE DATE" has the meaning ascribed to such term in Subsection
2(d).

           "EXPIRATION DATE" has the meaning ascribed to such term in the first
paragraph of this Warrant.

           "HOLDER" has the meaning ascribed to such term in the first paragraph
and Section 9 of this Warrant.

           "ISSUABLE WARRANT SHARES" means the shares of Common Stock issuable
at any time upon exercise of the Warrant.

                                       2
<PAGE>   3

           "ISSUED WARRANT SHARES" means any shares of Common Stock issued upon
exercise of the Warrant.

           "NASDAQ" shall mean the Automatic Quotation System of the National
Association of Securities Dealers, Inc.

           "PERSON" shall mean any individual, firm, corporation, limited
liability company, partnership, trust, incorporated or unincorporated
association, joint venture, joint stock company, government (or an agency or
political subdivision thereof) or other entity of any kind, and shall include
any successor (by merger or otherwise) of such entity.

           "PURCHASE AGREEMENT" has the meaning ascribed to such term in the
second paragraph of this Warrant.

           "PURCHASE PRICE" shall mean, if the Exercise Date is (a) prior to
August 29, 2001, $9.93, or (b) on or after August 29, 2001, the lesser of (i)
$9.93, or (ii) the average Closing Price of the Company's Common Stock for the
ten (10) consecutive Business Days prior to August 29, 2001.

           "WARRANT" shall mean this Warrant and any subsequent Warrant issued
pursuant to the terms of this Warrant.

           "WARRANT REGISTER" has the meaning ascribed to such term in
Subsection 9(c).

           "WMF PLEDGE" shall mean any pledge of the WMF Note, the WMF Warrant
or the shares of stock issued upon exercise of the WMF Warrant pursuant to the
terms of the partnership agreement or other agreement of WMF, pursuant to which
WMF issued any bonds, promissory notes or other evidence of indebtedness.

     2.  EXERCISE OF WARRANT.

           (a) EXERCISE. This Warrant may be exercised, in whole or in part, at
any time or from time to time during the period beginning on the date hereof and
ending on the Expiration Date, by surrendering to the Company at its principal
office this Warrant, with the form of Election to Purchase Shares (the "Election
to Purchase Shares") attached hereto as EXHIBIT A duly executed by the Holder
and accompanied by payment of the Purchase Price for the number of shares of
Common Stock specified in such form.

           (b) DELIVERY OF SHARES; PAYMENT OF PURCHASE PRICE. As soon as
practicable after surrender of this Warrant and receipt of payment, the Company
shall promptly issue and deliver to the Holder a certificate or certificates for
the number of shares of Common Stock set forth in the Election to Purchase
Shares, in such name or names as may be designated by such Holder, along with a
check for the amount of cash to be paid in lieu of issuance of fractional
shares, if any. Payment of the Purchase Price may be made as follows (or by any
combination of the following): (i) in United States currency by cash or delivery
of a certified check, bank draft or postal or express money order payable to the
order of the Company, (ii) by assigning to the Company all or any part of the
unpaid principal amount of the WMF Note held by the Holder in a principal amount
equal to

                                       3
<PAGE>   4

the Purchase Price, (iii) by surrender of a number of shares of Common Stock
held by the Holder equal to the quotient obtained by dividing (A) the Purchase
Price payable with respect to the portion of this Warrant then being exercised
by (B) the Current Market Price per share of Common Stock on the Exercise Date,
or (iv) by cancellation of any portion of this Warrant with respect to the
number of shares of Common Stock equal to the quotient obtained by dividing (A)
the aggregate Purchase Price payable with respect to the portion of this Warrant
then being exercised by (B) the difference between (1) Current Market Price per
share of Common Stock on the Exercise Date, and (2) the Purchase Price per share
of Common Stock.

           (c) PARTIAL EXERCISE. If this Warrant is exercised for less than all
of the shares of Common Stock purchasable under this Warrant, the Company shall
cancel this Warrant upon surrender hereof and shall execute and deliver to the
Holder a new Warrant of like tenor for the balance of the shares of Common Stock
purchasable hereunder.

           (d) WHEN EXERCISE EFFECTIVE. The exercise of this Warrant shall be
deemed to have been effective immediately prior to the close of business on the
Business Day on which this Warrant is surrendered to and the Purchase Price is
received by the Company as provided in this Section 2 (the "Exercise Date") and
the Person in whose name any certificate for shares of Common Stock shall be
issuable upon such exercise, as provided in Subsection 2(b), shall be deemed to
be the record holder of such shares of Common Stock for all purposes on the
Exercise Date.

           (e) ISSUED WARRANT SHARES FULLY PAID, NONASSESSABLE. The Company
shall take all actions necessary to ensure that following exercise of this
Warrant in accordance with the provisions of this Section 2, the Issued Warrant
Shares issued hereunder shall, without further action by the Holder, be fully
paid and nonassessable.

           (f) CONTINUED VALIDITY. A Holder of shares of Common Stock issued
upon the exercise of this Warrant, in whole or in part, shall continue to be
entitled to all of the rights and subject to all of the obligations set forth in
Section 9.

     3.  ADJUSTMENT OF PURCHASE PRICE AND NUMBER OF SHARES. The Purchase Price
and the number of shares of Common Stock issuable upon exercise of this Warrant
shall be adjusted from time to time upon the occurrence of the following events:

           (a) DIVIDEND, SUBDIVISION, COMBINATION OR RECLASSIFICATION OF COMMON
STOCK. If the Company shall, at any time or from time to time, (i) declare a
dividend on the Common Stock payable in shares of its capital stock (including
Common Stock), (ii) subdivide the outstanding Common Stock into a larger number
of shares of Common Stock, (iii) combine the outstanding Common Stock into a
smaller number of shares of its Common Stock, or (iv) issue any shares of its
capital stock in a reclassification of the Common Stock (including any such
reclassification in connection with a consolidation or merger in which the
Company is the continuing corporation), THEN in each such case, the Purchase
Price in effect at the time of the record date for such dividend or of the
effective date of such subdivision, combination or reclassification, and the
number and kind of shares of capital stock issuable on such date shall be
proportionately adjusted so that the Holder of any Warrant exercised after such
date shall be entitled to receive, upon payment of the same aggregate amount as
would have been payable before such date, the aggregate number and kind of

                                       4
<PAGE>   5

shares of capital stock which, if such Warrant had been exercised immediately
prior to such date, such Holder would have owned upon such exercise and been
entitled to receive by virtue of such dividend, subdivision, combination or
reclassification. Any such adjustment shall become effective immediately after
the record date of such dividend or the effective date of such subdivision,
combination or reclassification. Such adjustment shall be made successively
whenever any event listed above shall occur. If a dividend is declared and such
dividend is not paid, the Purchase Price shall again be adjusted to be the
Purchase Price in effect immediately prior to such record date (giving effect to
all adjustments that otherwise would be required to be made pursuant to this
Section 3 from and after such record date).

           (b) ISSUANCE OF RIGHTS TO PURCHASE COMMON STOCK BELOW CURRENT MARKET
PRICE OR DILUTION PRICE. If the Company shall, at any time or from time to time,
fix a record date for the issuance of rights, options or warrants to all holders
of Common Stock (other than pursuant to Plans) entitling them to subscribe for
or purchase Common Stock, or securities convertible into Common Stock at a price
per share of Common Stock or having a conversion price per share of Common Stock
if a security is convertible into Common Stock (determined in either such case
by dividing (x) the total consideration payable to the Company upon exercise,
conversion or exchange of such rights, options, warrants or other securities
convertible into Common Stock by (y) the total number of shares of Common Stock
covered by such rights, options, warrants or other securities convertible into
Common Stock) which is lower than either the Current Market Price per share of
Common Stock on such record date (or, if an ex-dividend date has been
established for such record date, on the day next preceding such ex-dividend
date) or the Dilution Price, THEN, the Purchase Price shall be reduced to the
price determined by multiplying the Purchase Price in effect immediately prior
to such record date by a fraction, the numerator of which shall be the sum of
the number of shares of Common Stock outstanding on such record date plus the
number of additional shares of Common Stock which the aggregate offering price
of the total number of shares of Common Stock so to be offered (or the aggregate
initial conversion price of the convertible securities so to be offered) would
purchase at the Applicable Price and the denominator of which shall be the
number of shares of Common Stock outstanding on such record date plus the number
of additional shares of Common Stock to be offered for subscription or purchase
(or into which the convertible securities so to be offered are initially
convertible). In case such price for subscription or purchase may be paid in a
consideration part or all of which shall be in a form other than cash, the value
of such consideration shall be determined in good faith by the Board of
Directors of the Company. Any such adjustment shall become effective immediately
after the record date for such rights or warrants. Such adjustment shall be made
successively whenever such a record date is fixed. If such rights, options or
warrants are not so issued, the Purchase Price shall be adjusted to the Purchase
Price that otherwise would be in effect but for the fact such record date was
fixed (giving effect to all adjustments that otherwise would be required to be
made pursuant to this Section 3 from and after such record date).

           (c) CERTAIN DISTRIBUTIONS. If the Company shall, at any time or from
time to time, fix a record date for the distribution to all holders of Common
Stock (including any such distribution made in connection with a consolidation
or merger in which the Company is the continuing corporation) of evidences of
indebtedness, assets or other property (other than regularly scheduled cash
dividends or cash distributions payable out of consolidated earnings or earned
surplus or dividends payable in capital stock for which adjustment is made under
Subsection 3(a)) or

                                       5
<PAGE>   6

subscription rights, options or warrants (excluding those referred to in
Subsection 3(b)), THEN the Purchase Price shall be reduced to the price
determined by multiplying the Purchase Price in effect immediately prior to such
record date by a fraction (which shall in no event be less than zero), the
numerator of which shall be the Current Market Price per share of Common Stock
on such record date (or, if an ex-dividend date has been established for such
record date, on the next day preceding such ex-dividend date), less the fair
market value (as determined in good faith by the Board of Directors of the
Company) of the portion of the assets, evidences of indebtedness, other
property, subscription rights or warrants so to be distributed applicable to one
share of Common Stock and the denominator of which shall be such Current Market
Price per share of Common Stock. Any such adjustment shall become effective
immediately after the record date for such distribution. Such adjustments shall
be made successively whenever such a record date is fixed. In the event that
such distribution is not so made, the Purchase Price shall be adjusted to the
Purchase Price in effect immediately prior to such record date (giving effect to
all adjustments that otherwise would be required to be made pursuant to this
Section 3 from and after such record date).

     (d)  ISSUANCE OF COMMON STOCK BELOW CURRENT MARKET PRICE OR DILUTION PRICE.

           (i) If the Company shall, at any time and from time to time, after
the date hereof, directly or indirectly, sell or issue shares of Common Stock
(regardless of whether originally issued or from the Company's treasury), or
rights, options, warrants or convertible or exchangeable securities containing
the right to subscribe for or purchase shares of Common Stock) at a price per
share of Common Stock (determined, in the case of rights, options, warrants or
convertible or exchangeable securities, by dividing (x) the total consideration
received or receivable by the Company in consideration of the sale or issuance
of such rights, options, warrants or convertible or exchangeable securities,
plus the total consideration payable to the Company upon exercise or conversion
or exchange thereof, by (y) the total number of shares of Common Stock covered
by such rights, options, warrants or convertible or exchangeable securities)
which is lower than either the Current Market Price per share of Common Stock or
the Dilution Price immediately prior to such sale or issuance, THEN, subject to
clause 3(d)(ii), the Purchase Price shall be reduced to a price determined by
multiplying the Purchase Price in effect immediately prior thereto by a
fraction, the numerator of which shall be the sum of the number of shares of
Common Stock outstanding immediately prior to such sale or issuance plus the
number of shares of Common Stock which the aggregate consideration received
(determined as provided below) for such sale or issuance would purchase at the
Applicable Price and the denominator of which shall be the total number of
shares of Common Stock outstanding immediately after such sale or issuance. Such
adjustment shall be made successively whenever such sale or issuance is made.
For the purposes of such adjustments, the shares of Common Stock which the
holder of any such rights, options, warrants, or convertible or exchangeable
securities shall be entitled to subscribe for or purchase shall be deemed to be
issued and outstanding as of the date of such sale or issuance and the
consideration "received" by the Company therefor shall be deemed to be the
consideration actually received or receivable by the Company (plus any
underwriting discounts or commissions in connection therewith) for such rights,
options, warrants or convertible or exchangeable securities, plus the
consideration stated in such rights, options, warrants or convertible or
exchangeable securities to be payable to the Company for the shares of Common
Stock covered thereby. If the Company shall sell or issue shares of Common Stock
for a consideration consisting, in whole or in part, of property other than cash
or its equivalent,

                                       6
<PAGE>   7

then in determining the "price per share of Common Stock" and the
"consideration" received or receivable by or payable to the Company for purposes
of the first sentence and the immediately preceding sentence of this Subsection
3(d), the fair value of such property shall be determined in good faith by the
Board of Directors of the Company. The determination of whether any adjustment
is required under this Subsection 3(d) by reason of the sale and issuance of
rights, options, warrants or convertible or exchangeable securities and the
amount of such adjustment, if any, shall be made only at the time of such
issuance or sale and not at the subsequent time of issuance of shares of Common
Stock upon the exercise of such rights to subscribe or purchase.

           (ii) No adjustment shall be made to the Purchase Price pursuant to
clause 3(d)(i) in connection with the issuance of (A) shares issued in any of
the transactions described in Subsections 3(a), (b) and (c) hereof; (B) shares
issued upon exercise of this Warrant or the Co-Investor Warrants; (C) additional
issuances of options to purchase shares of Common Stock pursuant to the
Company's existing stock option plans, under which the Company is authorized to
issue an aggregate of 1,250,000 shares of Common Stock, granted at an exercise
price of not less than the Current Market Price of Common Stock at the time of
grant and issued consistent with previous grants under the Company's stock
option plans; and (D) in any arm's length institutional financing of debt in
which shares of Common Stock or rights, options, warrants or convertible or
exchangeable securities containing the right to subscribe for or purchase shares
of Common Stock are issued as part of a unit, if such shares would otherwise be
included in clause 3(d)(i).

           (iii) Notwithstanding any provision in Section 3 to the contrary and
without limitation to any other provision contained in Section 3, in the event
any securities of the Company (other than this Warrant or the Co-Investor
Warrants), including, without limitation, those securities set forth as
exceptions in Subsection 3(d)(ii) (for purposes of this Subsection,
collectively, the "SUBJECT SECURITIES"), are amended or otherwise modified by
operation of its terms or otherwise (including, without limitation, by operation
of such Subject Securities' anti-dilution provisions other than antidilution
provisions substantially similar to those contained in Section 3(a) hereof) in
any manner whatsoever that results in (i) the reduction of the exercise,
conversion or exchange price of such Subject Securities payable upon the
exercise for, or conversion or exchange into, Common Stock or other securities
exercisable for, or convertible or exchangeable into, Common Stock and/or (ii)
such Subject Securities becoming exercisable for, or convertible or exchangeable
into (A) more shares or dollar amount of such Subject Securities which are, in
turn exercisable for, or convertible or exchangeable into, Common Stock, or (B)
more shares of Common Stock, THEN such amendment or modification shall be
treated for purposes of Section 3 as if the Subject Securities which have been
amended or modified have been terminated and new securities have been issued
with the amended or modified terms. The Company shall make all necessary
adjustments (including successive adjustments if required) to the Purchase Price
in accordance with Section 3, but in no event shall the Purchase Price be
greater than it was immediately prior to the application of this Subsection to
the transaction in question. On the expiration or termination of any such
amended or modified Subject Securities for which adjustment has been made
pursuant to the operation of the provisions of this Subsection under Section
3(b) or 3(d), as the case may be, without such Subject Securities having been
exercised, converted or exchanged in full pursuant to their terms, the adjusted
Purchase Price shall be appropriately readjusted in the manner specified in such
Section.

                                       7
<PAGE>   8

           (e) DETERMINATION OF CURRENT MARKET PRICE. For the purpose of any
computation under Subsections (b), (c) or (d) of this Section 3 or any other
provision of this Warrant, the Current Market Price per share of Common Stock on
any date shall be deemed to be the average of the daily Closing Prices per share
of Common Stock for the 10 consecutive trading days commencing 15 trading days
before such date. If on any such date the shares of Common Stock are not listed
or admitted for trading on any national securities exchange or quoted by NASDAQ
or a similar service, then the Company, on the one hand, and Holder on the other
hand, shall each promptly appoint as an appraiser an individual who shall be a
member of a nationally recognized investment banking firm. Each appraiser shall
be instructed to, within 30 days of appointment, determine the Current Market
Price per share of Common Stock which shall be deemed to be equal to the fair
market value per share of Common Stock as of such date. If the two appraisers
are unable to agree on the Current Market Price per share of Common Stock within
such 30 day period, then the two appraisers, within 10 days after the end of
such 30 day period shall jointly select a third appraiser. The third appraiser
shall, within 30 days of its appointment, determine, in good faith, the Current
Market Price per share of Common Stock and such determination shall be
controlling. If any party fails to appoint an appraiser or if one of the two
initial appraisers fails after appointment to submit its appraisal within the
required period, the appraisal submitted by the remaining appraiser shall be
controlling. The cost of the foregoing appraisals shall be shared one-half by
the Company and one-half by WMF, PROVIDED, HOWEVER, in the event a third
appraiser is utilized and one of the two initial appraisals (but not the other
initial appraisal) is greater than or less than the appraisal by such third
appraiser by 10% or more, then the cost of all of the foregoing appraisals shall
be borne by the party who appointed the appraiser who made such initial
appraisal.

           (f) DE MINIMIS ADJUSTMENTS. No adjustment in the Purchase Price shall
be made if the amount of such adjustment would result in a change in the
Purchase Price per share of less than $0.05, but in such case any adjustment
that would otherwise be required to be made shall be carried forward and shall
be made at the time of and together with the next subsequent adjustment, which
together with any adjustment so carried forward, would result in a change in the
Purchase Price of $0.05 per share or more. If the Company shall, at any time or
from time to time, issue Common Stock by way of dividends on any stock of the
Company or subdivide or combine the outstanding shares of the Common Stock, such
amount of $0.05 (as theretofore increased or decreased, if such amounts shall
have been adjusted in accordance with the provisions of this clause) shall
forthwith be proportionately increased in the case of a combination or decreased
in the case of a subdivision or stock dividend so as appropriately to reflect
the same. Notwithstanding the provisions of the first sentence of this
Subsection 3(f), any adjustment postponed pursuant to this Subsection 3(f) shall
be made no later than the earlier of (i) three years from the date of the
transaction that would, but for the provisions of the first sentence of this
Section 3(f), have required such adjustment, (ii) an Exercise Date or (iii) the
Expiration Date.

           (g) ADJUSTMENTS TO OTHER SHARES. In the event that at any time, as a
result of an adjustment made pursuant to Subsection 3(a), the Holder shall
become entitled to receive, upon exercise of this Warrant, any shares of capital
stock of the Company other than shares of Common Stock, the number of such other
shares so receivable upon exercise of this Warrant shall be subject to
adjustment from time to time in a manner and on terms as nearly equivalent as
practicable to the provisions with respect to the shares of Common Stock
contained in Subsections 3(a), (b), (c) and

                                       8
<PAGE>   9

(d), inclusive, and the provisions of Sections 2, 5, 6 and 7 with respect to the
shares of Common Stock shall apply on like terms to any such other shares.

           (h) ADJUSTMENT OF NUMBER OF SHARES ISSUABLE UPON EXERCISE. Upon each
adjustment of the Purchase Price as a result of the calculations made in
Subsections 3(a), (b), (c) or (d), this Warrant shall thereafter evidence the
right to receive, at the adjusted Purchase Price, that number of shares of
Common Stock (calculated to the nearest one-hundredth) obtained by dividing (x)
the product of the aggregate number of shares of Common Stock covered by this
Warrant immediately prior to such adjustment and the Purchase Price in effect
immediately prior to such adjustment of the Purchase Price by (y) the Purchase
Price in effect immediately after such adjustment of the Purchase Price.

           (i) REORGANIZATION, RECLASSIFICATION, MERGER AND SALE OF ASSETS. If
there occurs any capital reorganization or any reclassification of the Common
Stock of the Company, the consolidation or merger of the Company with or into
another Person (other than a merger or consolidation of the Company in which the
Company is the continuing corporation and which does not result in any
reclassification or change of outstanding shares of its Common Stock) or the
sale or conveyance of all or substantially all of the assets of the Company to
another Person, THEN the Holder will thereafter be entitled to receive, upon the
exercise of this Warrant in accordance with the terms hereof, the same kind and
amounts of securities (including shares of stock) or other assets, or both,
which were issuable or distributable to the holders of outstanding Common Stock
of the Company upon such reorganization, reclassification, consolidation,
merger, sale or conveyance, in respect of that number of shares of Common Stock
then deliverable upon the exercise of this Warrant if this Warrant had been
exercised immediately prior to such reorganization, reclassification,
consolidation, merger, sale or conveyance; and, in any such case, appropriate
adjustments (as determined in good faith by the Board of Directors of the
Company) shall be made to assure that the provisions hereof (including
provisions with respect to changes in, and other adjustments of, the Purchase
Price) shall thereafter be applicable, as nearly as reasonably may be
practicable, in relation to any securities or other assets thereafter
deliverable upon exercise of this Warrant.

     4.  CERTIFICATE AS TO ADJUSTMENTS. Whenever the Purchase Price and the
number of shares of Common Stock issuable, or the securities or other property
deliverable, upon the exercise of this Warrant shall be adjusted pursuant to the
provisions hereof, the Company shall promptly give written notice thereof to the
Holder, in accordance with Section 13, in the form of a certificate signed by
the Chairman of the Board, President or one of the Vice Presidents of the
Company, and by the Chief Financial Officer, Treasurer or one of the Assistant
Treasurers of the Company, stating the adjusted Purchase Price, the number of
shares of Common Stock issuable, or the securities or other property
deliverable, upon exercise of the Warrant and setting forth in reasonable detail
the method of calculation and the facts requiring such adjustment and upon which
such calculation is based. Each adjustment shall remain in effect until a
subsequent adjustment is required.

     5. FRACTIONAL SHARES. Notwithstanding an adjustment pursuant to Section
3(h) in the number of shares of Common Stock covered by this Warrant or any
other provision of this Warrant, the Company shall not be required to issue
fractions of shares upon exercise of this Warrant or to distribute certificates
which evidence fractional shares. In lieu of fractional shares, the Company may

                                       9
<PAGE>   10

make payment to the Holder, at the time of exercise of this Warrant as herein
provided, of an amount in cash equal to such fraction multiplied by the
Applicable Price.

     6.  NOTICE OF PROPOSED ACTIONS. In case the Company shall propose at any
time or from time to time (a) to declare or pay any dividend payable in stock of
any class to the holders of Common Stock or to make any other distribution to
the holders of Common Stock (other than a regularly scheduled cash dividend),
(b) to offer to the holders of Common Stock rights or warrants to subscribe for
or to purchase any additional shares of Common Stock or shares of stock of any
class or any other securities, rights or options, (c) to effect any
reclassification of its Common Stock, (d) to effect any consolidation, merger or
sale, transfer or other disposition of all or substantially all of the property,
assets or business of the Company which would, if consummated, adjust the
Purchase Price or the securities issuable upon exercise of the Warrants, (e) to
effect the liquidation, dissolution or winding up of the Company, or (f) to take
any other action that would require a vote of the Company's stockholders, then,
in each such case, the Company shall give to the Holder, in accordance with
Section 13, a written notice of such proposed action, which shall specify (i)
the record date for the purposes of such stock dividend, distribution of rights
or warrants or vote of the stockholders of the Company, or if a record is not to
be taken, the date as of which the holders of shares of Common Stock of record
to be entitled to such dividend, distribution of rights or warrants, or vote is
to be determined, or (ii) the date on which such reclassification,
consolidation, merger, sale, transfer, disposition, liquidation, dissolution or
winding up is expected to become effective, and such notice shall be so given as
promptly as possible but in any event at least five (5) Business Days prior to
the applicable record, determination or effective date specified in such notice.

     7.  NO DILUTION OR IMPAIRMENT. The Company will not, by amendment of its
Certificate of Incorporation or through any reorganization, transfer of assets,
consolidation, merger, dissolution, issue or sale of securities or any other
action, avoid or seek to avoid the observance or performance of any of the terms
of this Warrant, but will at all times in good faith assist in the carrying out
of all such terms and in the taking of all such action as may be necessary or
appropriate in order to protect the rights of the Holder of this Warrant against
dilution or other impairment. Without limiting the generality of the foregoing,
the Company (a) will not increase the par value of any shares of stock
receivable on the exercise of this Warrant above the amount payable therefor on
such exercise, (b) will at all times reserve and keep available the maximum
number of its authorized shares of Common Stock, free from all preemptive rights
therein, which will be sufficient to permit the full exercise of this Warrant,
and (c) will take all such action as may be necessary or appropriate in order
that all shares of Common Stock as may be issued pursuant to the exercise of
this Warrant will, upon issuance, be duly and validly issued, fully paid and
nonassessable, and free from all taxes, liens and charges with respect to the
issue thereof.

     8.  REPLACEMENT OF WARRANTS. On receipt by the Company of an affidavit of
an authorized representative of the Holder stating the circumstances of the
loss, theft, destruction or mutilation of this Warrant (and in the case of any
such mutilation, on surrender and cancellation of such Warrant), the Company at
its expense will promptly execute and deliver, in lieu thereof, a new Warrant of
like tenor which shall be exercisable for a like number of shares of Common
Stock. If required by the Company, such Holder must provide an indemnity bond or
other indemnity sufficient in the

                                       10
<PAGE>   11

judgment of the Company to protect the Company from any loss which it may suffer
if a lost, stolen or destroyed Warrant is replaced.

     9.  RESTRICTIONS ON TRANSFER.

           (a) Subject to the provisions of this Section 9 and Section 11.3 of
the Purchase Agreement, this Warrant may be transferred or assigned, in whole or
in part, by the Holder at any time, and from time to time. The term "Holder" as
used herein shall also include any transferee of this Warrant whose name has
been recorded by the Company in the Warrant Register (as hereinafter defined).
Each transferee of the Warrant or the Common Stock issuable upon the exercise of
the Warrant acknowledges that the Warrant or the Common Stock issuable upon the
exercise of the Warrant has not been registered under the Securities Act and may
be transferred only pursuant to an effective registration under the Securities
Act or pursuant to an applicable exemption from the registration requirements of
the Securities Act.

           (b) With respect to a transfer (other than in connection with the WMF
Pledge) that should occur prior to the time that the Warrant or the Common Stock
issuable upon the exercise thereof is registered under the Securities Act, such
Holder shall request an opinion of counsel (which shall be rendered by counsel
reasonably acceptable to the Company) that the proposed transfer may be effected
without registration or qualification under any Federal or state securities or
blue sky law. Counsel shall, as promptly as practicable, notify the Company and
the Holder of such opinion and of the terms and conditions, if any, to be
observed in such transfer, whereupon the Holder shall be entitled to transfer
this Warrant or such shares of Common Stock (or portion thereof), subject to any
other provisions and limitations of this Warrant. In the event this Warrant
shall be exercised as an incident to such transfer, such exercise shall relate
back and for all purposes of this Warrant be deemed to have occurred as of the
date of such notice regardless of delays incurred by reason of the provisions of
this Section 9 which may result in the actual exercise on any later date.

           (c) The Company shall maintain a register (the "Warrant Register") in
its principal office for the purpose of registering the Warrant and any transfer
thereof, which register shall reflect and identify, at all times, the ownership
of any interest in the Warrant. Upon the issuance of this Warrant, the Company
shall record the name of the initial purchaser of this Warrant in the Warrant
Register as the first Holder. Upon surrender for registration of transfer or
exchange of this Warrant together with a properly executed Form of Assignment
attached hereto as EXHIBIT B at the principal office of the Company, the Company
shall, at its expense, execute and deliver one or more new Warrants of like
tenor which shall be exercisable for a like aggregate number of shares of Common
Stock, registered in the name of the Holder or a transferee or transferees.

           (d) Notwithstanding any provision in this Warrant to the contrary,
the Holder shall not sell, assign, or otherwise transfer to any Person (a
"Transferee") any Issued Warrant Shares prior to the Expiration Date (other than
pursuant to the WMF Pledge) unless such Transferee agrees in writing to be bound
in the same manner as the Holder by the provisions of this Section 9 (to the
extent such provisions have not terminated or expired) as they relate to the
Issued Warrant Shares. The Company acknowledges that each Transferee is an
intended third party beneficiary of, and shall be entitled to, all rights of the
Holder under Sections 12, 13, 14 and 15 hereof with respect to any Issued
Warrant Shares purchased by such Transferee.

                                       11
<PAGE>   12

     10.  NO RIGHTS OR LIABILITY AS A STOCKHOLDER. This Warrant does not entitle
the Holder hereof to any voting rights or other rights as a stockholder of the
Company. No provisions hereof, in the absence of affirmative action by the
Holder hereof to purchase Common Stock, and no enumeration herein of the rights
or privileges of the Holder shall give rise to any liability of such Holder as a
stockholder of the Company.

     11.  CHARGES, TAXES AND EXPENSES. Issuance of certificates for shares of
Common Stock upon the exercise of this Warrant shall be made without charge to
the Holder hereof for any issue or transfer tax, or other incidental expense, in
respect of the issuance or delivery of such certificates or the securities
represented thereby, all of which taxes and expenses shall be paid by the
Company.

     12.  AMENDMENT OR WAIVER. Subject to the terms of the Section 11.4 of the
Purchase Agreement, this Warrant and any term hereof may be amended, waived,
discharged or terminated only by and with the written consent of the Company and
the Holder.

     13.  NOTICES. Any notice or other communication (or delivery) required or
permitted hereunder shall be made in writing and shall be by registered mail,
return receipt requested, telecopier, courier service or personal delivery to
the Company at its principal office as specified in Section 11.2 of the Purchase
Agreement and to the Holder at its address as it appears in the Warrant
Register. All such notices and communications (and deliveries) shall be deemed
to have been duly given: when delivered by hand, if personally delivered; when
delivered by courier, if delivered by commercial overnight courier service; five
Business Days after being deposited in the mail, postage prepaid, if mailed; and
when receipt is acknowledged, if telecopied.

     14.  CERTAIN REMEDIES. The Holder shall be entitled to an injunction or
injunctions to prevent breaches of the provisions of this Warrant and to enforce
specifically the terms and provisions of this Warrant in any court of the United
States or any state thereof having jurisdiction, this being in addition to any
other remedy to which such Holder may be entitled at law or in equity.

     15.  GOVERNING LAW. This Agreement shall be governed by, construed in
accordance with, and enforced under, the Law of the State of New York applicable
to agreements or instruments entered into and performed entirely within such
State.

     16.  HEADINGS. The headings in this Warrant are for convenience of
reference only and shall not limit or otherwise affect the meaning hereof.

                                       TRANSTECHNOLOGY CORPORATION

                                       By:  /s/ Joseph F. Spanier
                                            -------------------------------
                                            Name:   Joseph F. Spanier
                                            Title:  Vice President, Chief
                                                    Financial Officer

                                       12
<PAGE>   13

                                       13
<PAGE>   14

                                                          Exhibit A to Common
                                                          Stock Purchase Warrant
                                                          ----------------------

                                    [FORM OF]
                           ELECTION TO PURCHASE SHARES

     The undersigned hereby irrevocably elects to exercise the Warrant to
purchase _____ shares of Common Stock, par value $.01 per share ("Common
Stock"), of [Name of Issuer] (the "Company") and hereby [makes payment of
$_______ therefor] [or] [makes payment therefor by assignment to the Company
pursuant to Section 2(b)(ii) of the Warrant of $_____________ aggregate
principal amount of [WMF] Note (as defined in the Warrant)] [or] [makes payment
therefore by surrendering pursuant to Section 2(b)(iii) _____ shares of Common
Stock of the Company] [or] [makes payment therefor by cancellation pursuant to
Section 2(b)(iv) of a portion of the Warrant with respect to _________ shares of
Common Stock]. The undersigned hereby requests that certificates for such shares
be issued and delivered as follows:

ISSUE TO:
         -----------------------------------------------------------------------
                                     (NAME)

--------------------------------------------------------------------------------
                          (ADDRESS, INCLUDING ZIP CODE)

--------------------------------------------------------------------------------
                  (SOCIAL SECURITY OR OTHER IDENTIFYING NUMBER)

DELIVER TO:
           ---------------------------------------------------------------------
                                     (NAME)

--------------------------------------------------------------------------------
                          (ADDRESS, INCLUDING ZIP CODE)

     If the number of shares of Common Stock purchased hereby is less than the
number of shares of Common Stock covered by the Warrant, the undersigned
requests that a new Warrant representing the number of shares of Common Stock
not purchased be issued and delivered as follows:

ISSUE TO:
         -----------------------------------------------------------------------
                                (NAME OF HOLDER)

--------------------------------------------------------------------------------
                          (ADDRESS, INCLUDING ZIP CODE)

DELIVER TO:
           ---------------------------------------------------------------------
                                (NAME OF HOLDER)

--------------------------------------------------------------------------------
                          (ADDRESS, INCLUDING ZIP CODE)

Dated:                                       [NAME OF HOLDER]
      ----------------------

                                             By:
                                                --------------------------------
                                                Name:
                                                Title:

-----------------------
(1)  Name of Holder must conform in all respects to name of Holder as specified
     on the face of the Warrant.

                                       14
<PAGE>   15

                                                          Exhibit B to Common
                                                          Stock Purchase Warrant
                                                          ----------------------

                              [FORM OF] ASSIGNMENT

     FOR VALUE RECEIVED, the undersigned hereby sells, assigns, and transfers
unto the Assignee named below all of the rights of the undersigned to purchase
Common Stock, par value $.01 per share ("Common Stock"), of TRANSTECHNOLOGY
CORPORATION represented by the Warrant, with respect to the number of shares of
Common Stock set forth below:

NAME OF ASSIGNEE                ADDRESS           NO. OF SHARES

and does hereby irrevocably constitute and appoint ____________________________
Attorney to make such transfer on the books of TRANSTECHNOLOGY CORPORATION
maintained for that purpose, with full power of substitution in the premises.

Dated:                                       [NAME OF HOLDER(1)]
      ---------------------------

                                              By:
                                                 -------------------------------
                                                 Name:
                                                 Title:

------------------------
(1)  Name of Holder must conform in all respects to name of Holder as specified
     on the face of the Warrant.

                                       15

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00015-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00015-of-00352.parquet"}]]