Document:

Exhibit B

     NEITHER  THIS  WARRANT NOR ANY OF THE  SECURITIES  ISSUABLE  UPON  EXERCISE
HEREOF HAVE BEEN  REGISTERED  UNDER THE SECURITIES  ACT OF 1933, AS AMENDED,  OR
QUALIFIED  UNDER  ANY  STATE  SECURITIES  LAWS.  NEITHER  THIS  WARRANT  NOR THE
SECURITIES ISSUABLE UPON EXERCISE THEREOF MAY BE OFFERED,  SOLD,  TRANSFERRED OR
OTHERWISE  DISPOSED OF WITHOUT SUCH  REGISTRATION OR THE DELIVERY TO THE COMPANY
OF AN OPINION OF COUNSEL,  REASONABLY  SATISFACTORY  TO THE  COMPANY,  THAT SUCH
DISPOSITION WILL NOT REQUIRE REGISTRATION OF SUCH WARRANT OR SECURITIES ISSUABLE
UPON EXERCISE  THEREOF UNDER THE SECURITIES ACT OF 1933, AS AMENDED.  THE HOLDER
OF THIS WARRANT MAY NOT SELL, OFFER,  CONTRACT TO SELL, PLEDGE, GRANT ANY OPTION
TO  PURCHASE OR  OTHERWISE  DISPOSE OF THIS  WARRANT  NOR ANY OF THE  SECURITIES
ISSUABLE UPON  EXERCISE  HEREOF PRIOR TO THE 90TH DAY AFTER THE DATE OF ISSUANCE
OF THIS WARRANT.

No. W - __                                  Warrant to Purchase ______ Shares of
                                            Common Stock (subject to adjustment)

                    CLASS B WARRANT TO PURCHASE COMMON STOCK

                                       of

                           WIRE ONE TECHNOLOGIES, INC.

     THIS CERTIFIES that, for value received, _____________________________, and
its  successors  and assigns (the  "Holder"),  is entitled to subscribe  for and
purchase  from  Wire  One  Technologies,   Inc.,  a  Delaware  corporation  (the
"Company"), upon the terms and conditions set forth herein, ______ shares of the
Company's  common  stock,  $.0001  par value per share  ("Common  Stock"),  at a
purchase price of $7.50 per share (the  "Exercise  Price") as adjusted from time
to time  pursuant to Section 7 hereof.  The Holder shall be entitled to exercise
this  Warrant at any time or from time to time after June 1, 2002 (or such later
date  that the  Holder  hereof is  subject  to the  indemnification  obligations
described in Section 9) until 5:00 P.M., New York time, on June 1, 2006. If this
Warrant is not  exercised by the Holder by that time,  then this  Warrant  shall
expire.  As used  herein,  the term "this  Warrant"  shall mean and include this
Warrant and any Warrant or Warrants  hereafter  issued as a  consequence  of the
partial exercise of this Warrant.

     1. Exercise of Warrant.

          (a) The purchase rights represented by this Warrant are exercisable by
     the Holder,  in whole or in part, at any time, or from time to time, during
     the term  hereof,  by the  surrender  of this  Warrant at the office of the
     Company (or such other office or agency of the Company as it may  designate
     by notice in writing to the Holder) along with either:

               (i) a Notice  of  Exercise  annexed  hereto  duly  completed  and
          executed  on  behalf  of the  Holder  (checking  the  first  box under
          paragraph  (1) of such Notice of  Exercise),  and payment in cash,  by
          wire  transfer or by check in an amount  equal to the  Exercise  Price
          multiplied by the number of shares of Common Stock being purchased; or

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               (ii) a Notice of  Exercise  annexed  hereto  duly  completed  and
          executed  on behalf  of the  Holder  (checking  the  second  box under
          paragraph  (1) of such  Notice of  Exercise),  in the  event  that the
          Holder wishes to exercise  ("Cashless  Exercise") this Warrant without
          payment of the Exercise Price; provided,  however, that the Holder may
          elect Cashless  Exercise only after one year from the date of original
          issuance of this  Warrant and only if a  registration  statement  with
          respect to the shares of Common  Stock  issuable  upon the exercise of
          this Warrant is not then in effect.  The presentation and surrender of
          this Warrant and a Notice of Exercise so  completed  shall be deemed a
          waiver of the  Holder's  obligation  to pay all or any  portion of the
          Exercise  Price in  respect  of the  number of shares of Common  Stock
          indicated  in such  Notice of  Exercise.  In the  event of a  Cashless
          Exercise,  the Holder  shall  exchange  its Warrant for that number of
          shares of Common Stock  determined by multiplying the number of shares
          of Common Stock being exercised by a fraction,  the numerator of which
          shall be the excess,  if any,  of the then  current  market  price per
          share of Common Stock over the Exercise Price,  and the denominator of
          which  shall be the then  current  market  price  per  share of Common
          Stock.  For purposes of any computation  under this Section  1(a)(ii),
          the then  current  market  price per share of Common Stock at any date
          shall be deemed to be the  average  for the five  consecutive  trading
          days immediately  prior to the Cashless  Exercise of the daily closing
          prices of Common Stock as reported by the Nasdaq National  Market,  or
          if not then listed on the Nasdaq National  Market,  the average of the
          highest  reported bid and lowest  reported asked prices as reported by
          the  National  Association  of  Securities  Dealers,   Inc.  Automated
          Quotations  System or if not then  publicly  traded,  the fair  market
          price  per  share  of  Common  Stock  as  determined  by the  Board of
          Directors of the Company.

          (b) This Warrant  shall be deemed to have been  exercised  immediately
     prior to the close of business on the date of its surrender for exercise as
     provided  above,  and the person  entitled  to receive the shares of Common
     Stock  issuable upon such exercise shall be treated for all purposes as the
     holder of record of such  shares as of the close of  business on such date.
     As promptly as  practicable  on or after such date and in any event  within
     ten (10) days  thereafter,  the Company,  at its  expense,  shall issue and
     deliver  to  the  person  or  persons  entitled  to  receive  the  same,  a
     certificate  or  certificates  for the number of full shares  issuable upon
     such exercise.

          (c) In the event that this Warrant is exercised in part,  the Company,
     at its  expense,  will  execute  and  deliver a new  Warrant  of like tenor
     exercisable  for the number of shares for which  this  Warrant  may then be
     exercised.

     2.  No  Fractional   Shares  or  Scrip.  No  fractional   shares  or  scrip
representing  fractional  shares  shall  be  issued  upon the  exercise  of this
Warrant.  In lieu of any fractional share to which the Holder would otherwise be
entitled,  the Company  shall make a cash payment  equal to the  Exercise  Price
multiplied by such fraction.

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     3. Replacement of Warrant. On receipt of evidence  reasonably  satisfactory
to the Company of the loss,  theft,  destruction  or  mutilation of this Warrant
and, in the case of loss,  theft or  destruction,  on  delivery of an  indemnity
agreement  reasonably  satisfactory  in form and substance to the Company or, in
the case of  mutilation,  on surrender and  cancellation  of this  Warrant,  the
Company,  at its expense,  shall execute and deliver, in lieu of this Warrant, a
new warrant of like tenor and amount.

     4. Rights of  Stockholders.  Subject to Section 7 this Warrant,  the Holder
shall not have, solely on account of its status as a holder of this Warrant, any
rights of a stockholder  of the Company,  either in law or in equity,  or to any
notice of meetings of  stockholders  or of any other  proceeding of the Company,
except as provided in this Warrant.

     5. Compliance with Securities Laws.

          (a) The Holder, by acceptance  hereof,  acknowledges that this Warrant
     is being acquired solely for the Holder's own account, and not as a nominee
     for any other party, and for investment  purposes only, and that the Holder
     will not offer,  sell or otherwise dispose of this Warrant or any shares of
     Common Stock to be issued upon exercise  hereof except under  circumstances
     that will not  result in a  violation  of the  Securities  Act of 1933,  as
     amended (the "Securities Act"), or any state securities laws. Upon exercise
     of this Warrant,  the Holder shall,  if requested by the Company and if the
     shares  of  Common  Stock  to  be  issued  upon  exercise  hereof  are  not
     registered,  confirm in writing,  in a form reasonably  satisfactory to the
     Company,  that the shares of Common Stock so purchased  are being  acquired
     solely for the  Holder's  own  account  and not as a nominee  for any other
     party, for investment, and not with a view toward distribution or resale.

          (b) The Holder  represents  and  warrants to the Company that it is an
     "accredited  investor" as such term is defined in Rule 501(a) of Regulation
     D  promulgated  under the  Securities  Act, or has entered into a purchaser
     representative agreement with a "purchaser  representative" as such term is
     defined in Rule 501(h) of  Regulation D  promulgated  under the  Securities
     Act.

          (c) This Warrant,  and any Warrant issued  pursuant to Section 1(c) or
     Section 3 of this Warrant,  shall be stamped or imprinted  with a legend in
     substantially  the  following  form (in addition to any legend  required by
     state  securities  laws);  provided,  however,  that in any Warrant  issued
     pursuant to Section 1(c) or Section 3, the third sentence shall be modified
     to refer to the original date of issuance of this Warrant:

               "NEITHER  THIS  WARRANT NOR ANY OF THE  SECURITIES
               ISSUABLE UPON EXERCISE HEREOF HAVE BEEN REGISTERED
               UNDER THE SECURITIES  ACT OF 1933, AS AMENDED,  OR
               QUALIFIED UNDER ANY STATE SECURITIES LAWS. NEITHER
               THIS  WARRANT  NOR THE  SECURITIES  ISSUABLE  UPON
               EXERCISE THEREOF MAY BE OFFERED, SOLD, TRANSFERRED
               OR OTHERWISE DISPOSED OF WITHOUT SUCH REGISTRATION
               OR THE  DELIVERY  TO THE  COMPANY OF AN OPINION OF
               COUNSEL,  REASONABLY  SATISFACTORY TO THE COMPANY,
               THAT   SUCH    DISPOSITION    WILL   NOT   REQUIRE
               REGISTRATION   OF  SUCH   WARRANT  OR   SECURITIES
               ISSUABLE   UPON   EXERCISE   THEREOF   UNDER   THE
               SECURITIES ACT OF 1933, AS AMENDED.  THE HOLDER OF
               THIS  WARRANT  MAY NOT SELL,  OFFER,  CONTRACT  TO
               SELL,  PLEDGE,  GRANT ANY  OPTION TO  PURCHASE  OR
               OTHERWISE  DISPOSE OF THIS  WARRANT NOR ANY OF THE
               SECURITIES  ISSUABLE UPON EXERCISE HEREOF PRIOR TO
               THE 90TH DAY  AFTER THE DATE OF  ISSUANCE  OF THIS
               WARRANT."

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<PAGE>

          (d) All shares of Common  Stock issued upon  exercise  hereof shall be
     stamped or imprinted with a legend,  if appropriate,  in substantially  the
     following  form (in  addition to any legend  required  by state  securities
     laws):

               "THESE  SECURITIES HAVE NOT BEEN REGISTERED  UNDER
               THE  SECURITIES  ACT  OF  1933,  AS  AMENDED,   OR
               QUALIFIED  UNDER ANY STATE  SECURITIES  LAWS.  THE
               SECURITIES MAY NOT BE OFFERED,  SOLD,  TRANSFERRED
               OR OTHERWISE DISPOSED OF WITHOUT SUCH REGISTRATION
               OR THE  DELIVERY  TO THE  COMPANY OF AN OPINION OF
               COUNSEL,  REASONABLY  SATISFACTORY TO THE COMPANY,
               THAT   SUCH    DISPOSITION    WILL   NOT   REQUIRE
               REGISTRATION   OF  SUCH   SECURITIES   UNDER   THE
               SECURITIES ACT OF 1933, AS AMENDED."

     6.  Reservation of Stock.  The Company  covenants that during the term this
Warrant is  exercisable,  the  Company  will  reserve  from its  authorized  and
unissued Common Stock a sufficient  number of shares to provide for the issuance
of Common Stock upon the exercise of this Warrant and,  from time to time,  will
take all steps  necessary to amend its Certificate of  Incorporation  to provide
sufficient  reserves of shares of Common  Stock  issuable  upon  exercise of the
Warrant.  The Company further covenants that all shares of Common Stock that may
be issued upon the exercise of this  Warrant will be free from all taxes,  liens
and charges in respect of the issue thereof  (other than taxes in respect of any
transfer by the Holder occurring contemporaneously). The Company agrees that its
issuance of this Warrant shall constitute full authority to its officers who are
charged with the duty of executing  stock  certificates to execute and issue the
necessary  certificates  for shares of Common  Stock upon the  exercise  of this
Warrant.

     7. Adjustments. The Exercise Price and the number of shares of Common Stock
purchasable hereunder are subject to adjustment from time to time as follows:

          7.1 Merger, Sale of Assets, Etc. If at any time while this Warrant, or
any  portion  hereof,  is  outstanding  and  unexpired,  there  shall be:  (i) a
reclassification,   reorganization  (other  than  a  combination,   exchange  or
subdivision  of  shares  otherwise  provided  for  herein);  (ii)  a  merger  or
consolidation of the Company with or into another entity in which the Company is
not the surviving entity, or a reverse triangular merger in which the Company is
the surviving entity but the shares of the Company's  capital stock  outstanding
immediately prior to the merger are converted by virtue of the merger into other
property, whether in the form of securities, cash, or otherwise; (iii) a sale or
transfer of the  Company's  properties  and assets as, or  substantially  as, an
entirety to any other person; or (iv) sale by the Company's  shareholders of 50%
or  more  of  the  Company's  outstanding  securities  in one  or  more  related
transactions then, as a part of such reclassification,  reorganization,  merger,
consolidation,  sale or  transfer,  lawful  provision  shall be made so that the
Holder shall  thereafter  be entitled to receive upon  exercise of this Warrant,
during the period  specified  herein and upon payment of the Exercise Price then
in  effect,  the  number  of  shares of stock or other  securities  or  property
resulting from such  reclassification,  reorganization,  merger,  consolidation,
sale or transfer that a holder of the shares  deliverable  upon exercise of this
Warrant  would  have  been   entitled  to  receive  in  such   reclassification,
reorganization, consolidation, merger, sale or transfer if this Warrant had been
exercised  immediately  before such  reclassification,  reorganization,  merger,
consolidation,  sale or transfer,  all subject to further adjustment as provided
in this Section 7. The foregoing  provisions of this Section 7.1 shall similarly

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apply to successive reclassifications, reorganizations, consolidations, mergers,
sales and transfers and to the stock or securities of any other corporation that
are at the time receivable  upon the exercise of this Warrant.  If the per-share
consideration  payable  to the Holder  for  shares in  connection  with any such
transaction  is in a form other  than cash or  marketable  securities,  then the
value of such  consideration  shall be determined in good faith by the Company's
Board of Directors. In all events, appropriate adjustment (as determined in good
faith by the Company's  Board of Directors)  shall be made in the application of
the  provisions  of this Warrant with respect to the rights and interests of the
Holder after the  transaction,  to the end that the  provisions  of this Warrant
shall be applicable  after that event, as near as reasonably may be, in relation
to any shares or other  property  deliverable  after that event upon exercise of
this Warrant.

     7.2 Dilutive Issuances.

          (a) Except as provided in Section  7.2(c),  if the Company at any time
     while  this  Warrant,  or any  portion  thereof,  remains  outstanding  and
     unexpired   shall  issue  or  sell  any  shares  of  Common   Stock  for  a
     consideration  per share less than the  Exercise  Price on the date of such
     issuance or sale,  the  Exercise  Price shall be adjusted as of the date of
     such issuance or sale so that the same shall equal the price  determined by
     dividing  (i)  the  sum of  (A)  the  number  of  shares  of  Common  Stock
     outstanding  immediately  prior to such issuance or sale  multiplied by the
     Exercise Price plus (B) the consideration received by the Company upon such
     issuance  and sale by (ii) the total  number  of  shares  of  Common  Stock
     outstanding after such issuance or sale.

          (b) Except as provided in Section  7.2(c),  if the Company at any time
     while  this  Warrant,  or any  portion  thereof,  remains  outstanding  and
     unexpired shall issue or sell any rights,  options,  warrants or securities
     convertible  into Common Stock  entitling  the holders  thereof to purchase
     Common Stock or to convert such securities into Common Stock at a price per
     share  (determined  by dividing (i) the total amount,  if any,  received or
     receivable by the Company in  consideration of the issuance or sale of such
     rights,  options,   warrants  or  convertible  securities  plus  the  total
     consideration,  if any,  payable to the Company upon exercise or conversion
     thereof (the "Total Consideration") by (ii) the number of additional shares
     of Common Stock  issuable upon  exercise or conversion of such  securities)
     less  than the then  current  Exercise  Price in effect on the date of such
     issuance or sale,  the  Exercise  Price shall be adjusted as of the date of
     such issuance or sale so that the same shall equal the price  determined by
     dividing  (i)  the  sum of  (A)  the  number  of  shares  of  Common  Stock
     outstanding on the date of such issuance or sale multiplied by the Exercise
     Price  plus (B) the  Total  Consideration  by (ii) the  number of shares of
     Common  Stock  outstanding  on the date of such  issuance  or sale plus the
     maximum number of additional  shares of Common Stock issuable upon exercise
     or conversion of such securities.

          (c) No adjustment in the Exercise  Price shall be required in the case
     of (i)  issuances  of shares of Common  Stock  pursuant to the  exercise or
     conversion of options,  warrants or shares of convertible  securities  that
     are  outstanding  as of the date of this  Warrant in  accordance  with such
     securities'  current  exercise or  conversion  terms,  (ii) the issuance of
     employee stock options after the date hereof and the issuance of any shares
     of Common Stock upon the exercise thereof,  (iii) the issuance of shares of
     Common  Stock or  options,  warrants  or other  convertible  securities  in
     connection  with an  underwritten  public  offering or (iv) the issuance of
     shares of Common Stock or options, warrants or other convertible securities
     in connection  with the acquisition of a business or assets by the Company.
     The number of shares of Common Stock set forth in this  Section  7.2(c) are
     subject to  adjustment  in  accordance  with any  anti-dilution  provisions
     existing on the date hereof  under the terms of the  instruments  governing
     their issuance.

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     7.3 Split, Subdivision or Combination of Shares. If the Company at any time
while this Warrant,  or any portion  hereof,  remains  outstanding and unexpired
shall split,  subdivide or combine the  securities as to which  purchase  rights
under this Warrant  exist,  into a different  number of  securities  of the same
class, the Exercise Price for such securities shall be proportionately decreased
in the case of a split or subdivision or  proportionately  increased in the case
of a combination and the number of shares issuable upon exercise of this Warrant
shall be  proportionately  increased  in the case of a split or  subdivision  or
proportionately decreased in the case of a combination.

     7.4 Certificate as to  Adjustments.  Upon the occurrence of each adjustment
or  readjustment  pursuant to this  Section 7, the Company at its expense  shall
promptly  compute such  adjustment or  readjustment in accordance with the terms
hereof and furnish to each Holder of this Warrant a  certificate  setting  forth
such adjustment or readjustment  and showing in detail the facts upon which such
adjustment  or  readjustment  is based.  The  Company  shall,  upon the  written
request,  at any time,  of any such Holder,  furnish or cause to be furnished to
such  Holder  a  like  certificate  setting  forth:  (i)  such  adjustments  and
readjustments;  (ii) the  Exercise  Price at the time in  effect;  and (iii) the
number of shares and the  amount,  if any,  of other  property  that at the time
would be received upon the exercise of the Warrant.

     7.5 Notice of Record  Dates.  The Company  shall provide the Holder with at
least 20  calendar  days  prior  written  notice of the date on which any of the
events described in Sections 7.1 through 7.3, inclusive, shall take place, or of
the  record  date if one  will be set for any  such  event  or for any  proposed
dividend or distribution by the Company. Such notice shall describe the material
terms and  conditions  of the  impending  event.  The Company  shall provide the
Holder  with  such  other  information  about  the  event  as the  Holder  shall
reasonably request.

     7.6 No Impairment.  The Company will not, by any voluntary action, avoid or
seek to avoid the  observance or  performance of any of the terms to be observed
or  performed  hereunder  by the  Company,  but will at all times in good  faith
assist in the  carrying out of all the  provisions  of this Section 7 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 impairment.

     7.7 Share Adjustment.

          (a) Upon each  adjustment of the Exercise  Price under this Section 7,
     the Holder shall thereafter be entitled to purchase,  at the Exercise Price
     resulting  from  such   adjustment,   the  number  of  shares  obtained  by
     multiplying  the  Exercise  Price  in  effect  immediately  prior  to  such
     adjustment by the number of shares purchasable  pursuant hereto immediately
     prior to such adjustment,  and dividing the product thereof by the Exercise
     Price resulting from such adjustment.

          (b) No adjustment in the Exercise Price shall be required  unless such
     adjustment  would  require an  increase  or  decrease of at least $0.05 per
     share of Common Stock;  provided,  however,  that any adjustments  which by
     reason of this Section  7.7(b) are not required to be made shall be carried
     forward  and  taken  into  account  in  any  subsequent   adjustment.   All
     calculations  under this  Section 7 shall be made to the nearest cent or to
     the nearest 1/l00th of a share, as the case may be.

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     8. Registration  Rights;  Lock-Up. The Holder shall have and be entitled to
the  registration  rights,  and be subject to the  obligations,  as set forth in
Section 14.8 of the Asset  Purchase  Agreement,  made as of May 30, 2001, by and
among the  Company,  GeoVideo  Networks,  Inc., a Delaware  corporation,  Thomas
Weisel  Capital  Partners  LLC,  a Delaware  limited  liability  company,  Crest
Communications Partners LP, a Delaware limited partnership,  East River Ventures
II L.P.,  a Delaware  limited  partnership,  and Lucent  Technologies,  Inc.,  a
Delaware  corporation (the "Asset Purchase  Agreement").  By its receipt of this
Warrant,  Holder  acknowledges that it has received a copy of the Asset Purchase
Agreement  and  Holder  and  each of its  assignees  agrees  to be  bound by the
provisions of the Asset Purchase Agreement applicable to it, including,  without
limitation,  the  lock-up  provision  set forth in  Section  14.6 of such  Asset
Purchase Agreement. Copies of the Asset Purchase Agreement may be obtained at no
cost by written  request  made by the Holder of record  hereof to the Company at
the address set forth in Section 10.

     9.  Indemnification.  The Holder acknowledges and agrees that the number of
Shares of Common Stock  issuable under this Warrant may be reduced to the extent
of any indemnification  obligation owed to the Company by the Holder pursuant to
the indemnification  provisions set forth in Sections 10, 12 and 13 of the Asset
Purchase Agreement. If an indemnification claim has been asserted by the Company
under the Asset  Purchase  Agreement and has not yet been resolved prior to June
1,  2002,  this  Warrant  shall not be  exercisable  until  such  claim has been
resolved.

     10. Notice. Any notice, request or demand required or permitted to be given
under this Warrant shall be in writing and shall be effective when (i) delivered
personally,  (ii) when mailed,  first class,  postage prepaid,  registered mail,
return receipt requested, or (iii) delivered by courier as follows:

          (a)  If to the Company to:

               Wire One Technologies, Inc.
               225 Long Avenue
               Hillside, New Jersey  07205
               Facsimile:  (973) 282-2033
               Attention:  Jonathan Birkhahn, Esq.

               with a copy to:

               Fulbright & Jaworski L.L.P.
               666 Fifth Avenue
               New York, New York  10103
               Facsimile:  (212) 318-3400
               Attention:  Neil Gold, Esq.

          (b)  If to the Holder to:

               with a copy to:

or at such other address as the Company or the Holder shall specify by notice to
the other party hereto.

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     11.  Amendments.  This  Warrant  and any term  hereof  may not be  amended,
modified, supplemented or terminated, and waivers or consents to departures from
the  provisions  hereof  may not be given,  except by  written  instrument  duly
executed by any and all effected parties.

     12. Headings and Entire Agreement.  The section and subsection  headings do
not constitute any part of this Warrant and are inserted  herein for convenience
of reference  only.  This Warrant and the Asset  Purchase  Agreement  embody the
entire  agreement  between the parties with respect to the subject matter hereof
and thereof and supersede and preempt all prior oral and written  understandings
and agreements  with respect to the subject  matter hereof and thereof,  and may
not be amended,  modified or changed  orally,  but only in writing signed by the
party against whom enforcement of any amendment,  modification,  change, waiver,
extension or discharge is sought.

     13. Governing Law. This Warrant is to be governed by and interpreted  under
the laws of the State of New York,  without  giving effect to the  principles of
conflicts of laws thereof.

     14.  Jurisdiction.  Any suit,  action or proceeding  seeking to enforce any
provision of, or based on any matter arising out of or in connection  with, this
Warrant  shall be  brought  exclusively  in a New York  State or  United  States
Federal  court  sitting  in New  York  County,  and each of the  parties  hereby
expressly  submits  to such  jurisdiction  and venue of such  court  (and of the
appropriate  appellate courts  therefrom) in any such suit, action or proceeding
and irrevocably  waives,  to the fullest extent  permitted by law, any objection
that it may now or  hereafter  have to the laying of the venue of any such suit,
action  or  proceeding  in any  such  court or that any  such  suit,  action  or
proceeding brought in any such court has been brought in an inconvenient forum.

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     IN WITNESS  WHEREOF,  the Company has caused this Warrant to be executed by
its officers thereunto duly authorized.

Dated: ____________, 2001

                                           WIRE ONE TECHNOLOGIES, INC.

                                           By:
                                              ----------------------------------
                                              Name:
                                              Title:

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<PAGE>

                               NOTICE OF EXERCISE

To: Wire One Technologies, Inc.

     (1) (Check one box below)

          [_]  The  undersigned  hereby elects to purchase ____ shares of Common
               Stock of Wire One Technologies,  Inc., pursuant to the provisions
               of the  attached  Warrant,  and tenders  herewith  payment of the
               purchase price for such shares in full; or

          [_]  The   undersigned   hereby  elects  to  surrender   _____  shares
               purchasable  under this  Warrant for such shares of Common  Stock
               issuable in exchange  therefor  pursuant to the Cashless Exercise
               provisions  of the within  Warrant,  as  provided  for in Section
               1(a)(ii) of such Warrant.

     (2) In  exercising  this  Warrant,  the  undersigned  hereby  confirms  and
acknowledges  that, unless  registered,  the shares of Common Stock to be issued
upon  exercise  thereof  are  being  acquired  solely  for  the  account  of the
undersigned  and  not as a  nominee  for any  other  party,  and for  investment
purposes  only,  and that the  undersigned  will not  offer,  sell or  otherwise
dispose of any such shares of Common Stock except under  circumstances that will
not  result in a  violation  of the  Securities  Act of 1933,  as  amended  (the
"Securities  Act"),  or any applicable  state  securities  laws. The undersigned
further confirms and acknowledges that (check one box below):

          [_]  it is an  "accredited  investor"  as such term is defined in Rule
               501(a) of Regulation D promulgated under the Securities Act; or

          [_]  it has entered into a purchaser  representative  agreement with a
               "purchaser representative" as such term is defined in Rule 501(h)
               of Regulation D promulgated under the Securities Act.

     (3) Please issue a certificate or certificates  representing said shares of
Common  Stock  in the  name  of the  undersigned  or in  such  other  name as is
specified below:

                                               ---------------------------------
                                                             (Name)

     (4) Please issue a new Warrant for the unexercised  portion of the attached
Warrant in the name of the  undersigned  or in such  other name as is  specified
below:

                                               ---------------------------------
                                                             (Name)

------------------------------
Name:
Date:--------------------------------------------------------------------------------

                                                                    Exhibit 10.1

                           REVOLVING CREDIT AGREEMENT

                            Dated as of April 2, 2001

                                      Among

                            CENTURY ALUMINUM COMPANY
                    CENTURY ALUMINUM OF WEST VIRGINIA, INC.,
                            BERKELEY ALUMINUM, INC.,
                             CENTURY KENTUCKY, INC.,
                                 METALSCO, LTD.
                                       and
                                    NSA, LTD.

                                  as Borrowers

              the Lending Institutions listed on Schedule 1 hereto

                                   as Lenders,

                           FLEET CAPITAL CORPORATION,

                                    as Agent,

                             FLEET SECURITIES INC.,

                                   as Arranger

                                       and

                           CREDIT SUISSE FIRST BOSTON

                              as Syndication Agent

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

<PAGE>

                                TABLE OF CONTENTS

1. DEFINITIONS AND RULES OF INTERPRETATION....................................1
       1.1.   Definitions.....................................................1
       1.2.   Rules of Interpretation.........................................24
2. THE REVOLVING CREDIT FACILITY..............................................25
       2.1.   Commitment to Lend..............................................25
       2.2.   Unused Revolving Credit Commitment Fee..........................25
       2.3.   Reduction of Total Revolving Credit Commitment..................25
       2.4.   The Revolving Credit Notes......................................26
       2.5.   Interest on Loans...............................................26
       2.6.   Requests for Loans..............................................27
              2.6.1.  General.................................................27
              2.6.2.  Swing Line..............................................27
       2.7.   Conversion Options..............................................28
              2.7.1.  Conversion to Different Type of Loan....................28
              2.7.2.  Continuation of Type of Loan............................28
              2.7.3.  Eurodollar Rate Loans...................................28
       2.8.   Funds for Loan..................................................29
              2.8.1.  Funding Procedures......................................29
              2.8.2.  Advances by Agent.......................................29
       2.9.   Change in Borrowing Base........................................30
       2.10.  Settlements.....................................................30
              2.10.1. General.................................................30
              2.10.2. Failure to Make Funds Available.........................31
              2.10.3. No Effect on Other Lenders..............................31
       2.11.  Repayments of Revolving Credit Loans Prior to Event of Default..32
              2.11.1. Credit for Funds Received in Fleet Blocked Account......32
              2.11.2. Application of Payments Prior to Event of Default.......32
       2.12.  Repayments of Loans After Event of Default......................33
3. REPAYMENT OF THE LOANS.....................................................33
       3.1.   Maturity........................................................33
       3.2.   Mandatory Repayments of Loans...................................33
       3.3.   Optional Repayments of Loans....................................34
4. LETTERS OF CREDIT..........................................................34
       4.1.   Letter of Credit Commitments....................................34
              4.1.1.  Commitment to Issue Letters of Credit...................34
              4.1.2.  Letter of Credit Applications...........................34
              4.1.3.  Terms of Letters of Credit..............................34
              4.1.4.  Reimbursement Obligations of Lenders....................35
              4.1.5.  Participations of Lenders...............................35

<PAGE>

                                      -ii-

       4.2.   Reimbursement Obligation of the Borrowers.......................35
       4.3.   Letter of Credit Payments.......................................36
       4.4.   Obligations Absolute............................................36
       4.5.   Reliance by Issuer..............................................37
       4.6.   Letter of Credit Fee............................................37
5. CERTAIN GENERAL PROVISIONS.................................................38
       5.1.   Closing Fee.....................................................38
       5.2.   Agent's Fee.....................................................38
       5.3.   Funds for Payments..............................................38
              5.3.1.  Payments to Agent.......................................38
              5.3.2.  No Offset, etc..........................................38
       5.4.   Computations....................................................39
       5.5.   Inability to Determine Eurodollar Rate..........................39
       5.6.   Illegality......................................................39
       5.7.   Additional Costs, etc...........................................40
       5.8.   Capital Adequacy................................................41
       5.9.   Change of Lending Office........................................41
       5.10.  Certificate.....................................................42
       5.11.  Indemnity.......................................................42
       5.12.  Interest After Default..........................................42
              5.12.1. Overdue Amounts.........................................42
              5.12.2. Amounts Not Overdue.....................................42
       5.13.  No Legal Impediment.............................................42
       5.14.  Governmental Regulation.........................................43
       5.15.  Concerning Joint and Several Liability of the Borrowers.........43
       5.16.  Replacement of Lender...........................................44
6. COLLATERAL SECURITY AND GUARANTIES.........................................45
       6.1.   Security of Borrower............................................45
       6.2.   Guaranties and Security of Guarantors...........................45
7. REPRESENTATIONS AND WARRANTIES.............................................45
       7.1.   Corporate Authority.............................................45
              7.1.1.  Incorporation; Good Standing............................45
              7.1.2.  Authorization...........................................46
              7.1.3.  Enforceability..........................................46
       7.2.   Governmental Approvals..........................................46
       7.3.   Title to Properties; Leases.....................................46
       7.4.   Financial Statements and Projections............................46
              7.4.1.  Fiscal Year.............................................46
              7.4.2.  Financial Statements....................................47
              7.4.3.  Projections.............................................47
       7.5.   No Material Changes, etc........................................47
       7.6.   Franchises, Patents, Copyrights, etc............................47
       7.7.   Litigation......................................................48

<PAGE>

                                      -iii-

       7.8.   No Materially Adverse Contracts, etc............................48
       7.9.   Compliance with Other Instruments, Laws, etc....................48
       7.10.  Tax Status......................................................48
       7.11.  No Event of Default.............................................48
       7.12.  Holding Company and Investment Company Acts.....................48
       7.13.  Absence of Financing Statements, etc............................49
       7.14.  Perfection of Security Interest.................................49
       7.15.  Certain Transactions............................................49
       7.16.  Employee Benefit Plans..........................................49
              7.16.1. In General..............................................49
              7.16.2. Terminability of Welfare Plans..........................50
              7.16.3. Guaranteed Pension Plans................................50
              7.16.4. Multiemployer Plans.....................................50
       7.17.  Use of Proceeds.................................................50
              7.17.1. General.................................................50
              7.17.2. Regulations U and X.....................................51
              7.17.3. Ineligible Securities...................................51
       7.18.  Environmental Compliance........................................51
       7.19.  Subsidiaries, etc...............................................52
       7.20.  Bank Accounts...................................................52
       7.21.  Chief Executive Office..........................................53
       7.22.  Insurance.......................................................53
       7.23.  Disclosure......................................................53
8. AFFIRMATIVE COVENANTS OF THE BORROWERS.....................................53
       8.1.   Punctual Payment................................................53
       8.2.   Maintenance of Office...........................................53
       8.3.   Records and Accounts............................................54
       8.4.   Financial Statements, Certificates and Information..............54
       8.5.   Notices.........................................................56
              8.5.1.  Defaults................................................56
              8.5.2.  Environmental Events....................................56
              8.5.3.  Notification of Claim against Collateral................56
              8.5.4.  Notices of Litigation and Judgments.....................56
              8.5.5.  Notification of Delinquent Payments and Pechiney
                      Net Worth Calculation...................................57
       8.6.   Corporate Existence; Maintenance of Properties..................57
       8.7.   Insurance.......................................................57
       8.8.   Taxes...........................................................57
       8.9.   Inspection of Properties and Books, etc.........................58
              8.9.1.  General.................................................58
              8.9.2.  Collateral Reports......................................58
       8.10.  Compliance with Laws, Contracts, Licenses, and Permits..........58
       8.11.  Employee Benefit Plans..........................................58
       8.12.  Use of Proceeds.................................................59

<PAGE>

                                      -iv-

       8.13.  Bank Accounts...................................................59
              8.13.1. General.................................................59
              8.13.2. Acknowledgment of Application...........................60
       8.14.  Ownership of Subsidiaries.......................................60
       8.15.  Permitted Acquisitions..........................................60
       8.16.  Environmental Reports, etc......................................60
       8.17.  Further Assurances..............................................60
9. CERTAIN NEGATIVE COVENANTS OF THE BORROWER.................................61
       9.1.   Restrictions on Indebtedness....................................61
       9.2.   Restrictions on Liens...........................................62
       9.3.   Restrictions on Investments.....................................64
       9.4.   Distributions...................................................65
       9.5.   Merger, Consolidation and Disposition of Assets.................66
              9.5.1.  Mergers and Acquisitions................................66
              9.5.2.  Disposition of Assets...................................66
       9.6.   Sale and Leaseback..............................................66
       9.7.   Compliance with Environmental Laws..............................66
       9.8.   Employee Benefit Plans..........................................67
       9.9.   Business Activities.............................................67
       9.10.  Fiscal Year.....................................................67
       9.11.  Transactions with Affiliates....................................67
       9.12.  Bank Accounts...................................................68
       9.13.  Limitations on Operation of Subsidiaries........................68
       9.14.  Derivative Obligations..........................................68
10. FINANCIAL COVENANTS OF THE BORROWER.......................................68
       10.1.  Capital Expenditures............................................68
11. REVOLVING CREDIT CLOSING CONDITIONS.......................................69
       11.1.  Proceedings and Loan Documents..................................69
              11.1.1. Proceedings.............................................69
              11.1.2. Loan Documents..........................................69
       11.2.  Certified Copies of Charter Documents...........................69
       11.3.  Corporate Action................................................69
       11.4.  Incumbency Certificate..........................................70
       11.5.  Validity of Liens...............................................70
       11.6.  Perfection Certificates and UCC Search Results..................70
       11.7.  Certificates of Insurance.......................................70
       11.8.  Agency Account Agreements.......................................70
       11.9.  Borrowing Base Report and Borrowing Availability................70
       11.10. Accounts Receivable Aging Report, Etc...........................71
       11.11. Solvency Certificate............................................71
       11.12. Litigation......................................................71
       11.13. Material Adverse Effect.........................................71
       11.14. Opinion of Counsel..............................................71
       11.15. Payment of Fees.................................................71

<PAGE>

                                      -v-

       11.16. Financial Statements and Projections............................71
       11.17. Payoff Letter...................................................72
       11.18. Disbursement Instructions.......................................72
       11.19. Consummation of the Hawesville Acquisition and Glencore
              Hawesville Acquisitions.........................................72
       11.20. Proceeds of First Mortgage Notes................................72
       11.21. Updated Collateral Audit........................................72
12. CONDITIONS TO ALL BORROWINGS..............................................73
       12.1.  Representations True; No Event of Default.......................73
       12.2.  Borrowing Base Report...........................................73
       12.3.  Permitted Acquisitions..........................................73
13. EVENTS OF DEFAULT; ACCELERATION; ETC......................................73
       13.1.  Events of Default and Acceleration..............................73
       13.2.  Termination of Commitments......................................76
       13.3.  Remedies........................................................77
       13.4.  Distribution of Collateral Proceeds.............................77
14. SETOFF....................................................................78
15. THE AGENT.................................................................79
       15.1.  Authorization...................................................79
       15.2.  Employees and Agents............................................79
       15.3.  No Liability....................................................79
       15.4.  No Representations..............................................80
              15.4.1. General.................................................80
              15.4.2. Closing Documentation, etc..............................80
       15.5.  Payments........................................................80
              15.5.1. Payments to Agent.......................................80
              15.5.2. Distribution by Agent...................................81
              15.5.3. Delinquent Lenders......................................81
       15.6.  Holders of Notes................................................81
       15.7.  Indemnity.......................................................82
       15.8.  Agent as Lender.................................................82
       15.9.  Resignation.....................................................82
       15.10. Notification of Defaults and Events of Default; Delivery
              of Information; Etc.............................................82
       15.11. Duties in the Case of Enforcement...............................83
       15.12. Replacement of Agent............................................83
16. EXPENSES AND INDEMNIFICATION..............................................83
       16.1.  Expenses........................................................83
       16.2.  Indemnification.................................................84
       16.3.  Survival........................................................85
17. TREATMENT OF CERTAIN CONFIDENTIAL INFORMATION.............................85
       17.1.  Sharing of Information with Section 20 Subsidiary...............85
       17.2.  Confidentiality.................................................85
       17.3.  Prior Notification..............................................86

<PAGE>
                                      -vi-

       17.4.  Other...........................................................86
18. SURVIVAL OF COVENANTS, ETC................................................86
19. ASSIGNMENT AND PARTICIPATION..............................................87
       19.1.  Conditions to Assignment by Lenders.............................87
       19.2.  Certain Representations and Warranties; Limitations; Covenants..87
       19.3.  Register........................................................88
       19.4.  New Notes.......................................................89
       19.5.  Participations..................................................89
       19.6.  Disclosure......................................................89
       19.7.  Assignee or Participant Affiliated with the Borrowers...........90
       19.8.  Miscellaneous Assignment Provisions.............................90
       19.9.  Assignment by Borrowers.........................................91
20. NOTICES, ETC..............................................................91
21. GOVERNING LAW.............................................................91
22. HEADINGS..................................................................92
23. COUNTERPARTS..............................................................92
24. ENTIRE AGREEMENT, ETC.....................................................92
25. WAIVER OF JURY TRIAL......................................................92
26. CONSENTS, AMENDMENTS, WAIVERS, ETC........................................92
27. SEVERABILITY..............................................................94

<PAGE>

                                     -vii-

                             Schedules and Exhibits

Schedule 1          Commitments; Banks' Offices
Schedule 2          Permitted Inventory Locations; Approved Parties
Schedule 7.3        Title to Properties; Leases
Schedule 7.7        Litigation
Schedule 7.16       Employee Benefit Plans
Schedule 7.18       Environmental
Schedule 7.19       Subsidiaries
Schedule 7.20       Bank Accounts
Schedule 7.21       Chief Executive Offices
Schedule 7.22       Insurance
Schedule 9.1        Permitted Existing Indebtedness
Schedule 9.2        Permitted Existing Liens
Schedule 9.3        Permitted Existing Investments
Schedule 9.11       Transactions with Affiliates

Exhibit A           Form of Borrowing Base Report
Exhibit B           Form of Revolving Credit Note
Exhibit C           Form of Loan Request
Exhibit D           Form of Compliance Certificate
Exhibit E           Form of Assignment and Acceptance
Exhibit F           Form of Accession Agreement
Exhibit G           Form of Bailee Certificate
Exhibit H           Form of Customs Agent Agreement
Exhibit I           Form of Guaranty
Exhibit J           Form of Security Agreement
Exhibit K           Form of Non-Setoff Agreement

<PAGE>

                           REVOLVING CREDIT AGREEMENT

     This REVOLVING  CREDIT  AGREEMENT is made as of April 2, 2001, by and among
(a) CENTURY ALUMINUM COMPANY, a Delaware corporation ("Century  Aluminum"),  (b)
BERKELEY  ALUMINUM,  INC.,  a Delaware  corporation  ("Berkeley"),  (c)  CENTURY
ALUMINUM OF WEST  VIRGINIA,  INC., a Delaware  corporation  ("Century  WV"), (d)
CENTURY  KENTUCKY,  INC., a Delaware  corporation  ("Century  K"), (e) METALSCO,
LTD.,  a  Georgia  company  ("Metalsco"),  (f)  NSA,  LTD,  a  Kentucky  limited
partnership (("NSA") and, together with Century Aluminum,  Berkeley, Century WV,
Century K, and Metalsco,  collectively,  the "Borrowers" and each individually a
"Borrower"),  (e) the Lenders (as defined in ss.1 below),  and (g) FLEET CAPITAL
CORPORATION as Agent (as defined in ss.1 below).

                   1. DEFINITIONS AND RULES OF INTERPRETATION.

     1.1. Definitions.  The following terms shall have the meanings set forth in
this ss.1 or elsewhere in the  provisions of this Credit  Agreement  referred to
below:

     Accounts  Receivable.  All  rights  of  any of the  Borrowers  (other  than
Metalsco) to payment for goods sold or leased in the ordinary course of business
and all rights of any of the  Borrowers to payment for services  rendered in the
ordinary  course of business and all sums of money or other proceeds due thereon
pursuant to transactions  with account  debtors,  except for that portion of the
sum of money or other proceeds due thereon that relate to sales, use or property
taxes in  conjunction  with such  transactions,  recorded on books of account in
accordance with GAAP.

     Acquisition.  Any  transaction,  or any  series  of  related  transactions,
consummated  after the Closing Date, in which a Borrower or any  Subsidiary of a
Borrower (in one  transaction  or as the most recent  transaction in a series of
transactions)  (a)  acquires  any  business or all or  substantially  all of the
assets of any Person or any division or business unit thereof,  whether  through
purchase of assets,  merger or otherwise,  (b) directly or  indirectly  acquires
control  of at least a  majority  (in  number of votes) of the  securities  of a
corporation  which have  ordinary  voting power for the election of directors or
(c)  directly or  indirectly  acquires  control of a majority  ownership  in any
partnership or joint venture.

     Acquisition Documents.  All agreements,  documents and instruments executed
and/or  delivered  in  connection  with  the  Hawesville   Acquisition  and  any
Acquisition.

     Acquisition Collateral.  Collateral of the Borrowers and their Subsidiaries
acquired through a Permitted Acquisition.

     Affiliate.  Any Person that would be  considered  to be an affiliate of any
Borrower  under  Rule 144 of the Rules and  Regulations  of the  Securities  and
Exchange  Commission,  as in effect on the date hereof,  if such  Borrower  were
issuing securities.

     Agency Account Agreement. See ss.8.13.1.

     Agent's  Head  Office.  The Agent's  head office  located at 1 South Wacker
Drive,  Suite 1400,  Chicago,  Illinois  60606, or at such other location as the
Agent may designate from time to time.

<PAGE>
                                      -2-

     Agent. Fleet Capital  Corporation  acting as administrative,  documentation
and collateral agent for the Lenders, and any successor agent appointed pursuant
toss.15.9.

     Agent's Fee. See ss.5.2.

     Agent's Special  Counsel.  Bingham Dana LLP or such other counsel as may be
approved by the Agent.

     Applicable Law. As to any Person,  any law (including common law),  treaty,
rule or regulation,  or any determination of any Governmental Authority, in each
case  applicable  to or binding upon such Person or any of its  Property,  or to
which such Person or any of its Property is subject.

     Applicable Margin.  With respect to any Loan,  Commitment Fees or Letter of
Credit Fee, the applicable  percentage set forth in the table below opposite the
Leverage  Ratio set forth  therein  as of the  relevant  date of  determination;
provided, however, that for the period commencing on the Closing Date and ending
on the date the  Lenders  receive  the  financial  statements  and  certificates
required  under  ss.8.4(c) and (d) for the fiscal year ended  December 31, 2001,
the Applicable Margin shall be as set forth opposite Level II below.

<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------------------
  Level       Leverage Ratio        Base Rate Loans       Eurodollar Rate Loans      Commitment Fee
-----------------------------------------------------------------------------------------------------
<S>                                      <C>                     <C>                     <C>
-----------------------------------------------------------------------------------------------------
    I      Greater than 3.5:1.0          1.500%                  3.000%                  0.500%
-----------------------------------------------------------------------------------------------------

-----------------------------------------------------------------------------------------------------
    II         Greater than              1.250%                  2.750%                  0.500%
            3.00:1.0 but less
             than or equal to
                 3.50:1.0
-----------------------------------------------------------------------------------------------------

-----------------------------------------------------------------------------------------------------
   III         Greater than              1.000%                  2.500%                  0.500%
            2.50:1.0 but less
             than or equal to
                 3.00:1.0
-----------------------------------------------------------------------------------------------------

-----------------------------------------------------------------------------------------------------
    IV      Less than or equal           .750%                   2.250%                  0.500%
               to 2.50:1.0
-----------------------------------------------------------------------------------------------------
</TABLE>

<PAGE>
                                      -3-

     Each  change  in the  Applicable  Margin  resulting  from a  change  in the
Leverage  Ratio shall be effective with respect to all Loans,  Revolving  Credit
Commitments and Letters of Credit  outstanding on and after the date of delivery
to the Agent of the Compliance  Certificate  required by ss.8.4(d)  (which shall
include attached thereto the financial  statements and certificates  required by
ss.8.4(c)  or  (d)  as  applicable)   indicating  such  change  until  the  date
immediately   preceding  the  next  delivery  of  such  Compliance   Certificate
indicating another such change.  Notwithstanding the foregoing,  (i) at any time
during  which  the  Borrowers  have  failed to timely  deliver  such  Compliance
Certificate  required by ss.8.4(d) and the financial statements and certificates
required by  ss.8.4(c)  or (d), or (ii) after the  occurrence  of and during the
continuance of an Event of Default,  the Leverage Ratio shall be deemed to be in
Level I for purposes of determining the Applicable Margin.

     Approval.   With  respect  to  any  of  the  Borrowers  and  any  of  their
Subsidiaries,  each and every  approval,  consent,  filing or registration by or
with any Governmental Authority, or any creditor or shareholder of such Borrower
or any of its  Subsidiaries,  necessary to  authorize  or permit the  execution,
delivery and  performance by such Borrower or such Subsidiary of any of the Loan
Documents to which it is a party, and to ensure the validity and  enforceability
of such Loan Documents.

     Approved Customs Broker.  A customs broker  satisfactory to the Agent which
has entered into a Customs Agent Agreement with the Agent and the Borrower.

     Approved  Party.  A  consignee  or  bailee  listed on  Schedule  2 (as such
Schedule 2 may be supplemented  from time to time with the consent of the Agent)
(a) from whom the Agent has received (i) a bailee  letter  substantially  in the
form of  Exhibit G hereto  (a  "Bailee  Certificate")  in  connection  with such
consignee's  or bailee's  possession of inventory of a Borrower,  (ii) financing
statements  in  form  and  substance  satisfactory  to the  Agent  executed  and
delivered by such Borrower as secured  party/bailor  and such  possessor of such
inventory as debtor/bailee,  for filing in the appropriate jurisdictions,  (iii)
an assignment in form and  substance  satisfactory  to the Agent by such secured
party/bailor  to the  Agent  of the  aforementioned  financing  statements,  (b)
located in a jurisdiction in which appropriate Uniform Commercial Code financing
statements  showing the  applicable  Borrower as debtor and the Agent as secured
party have been filed in the proper filing office or offices in order to perfect
the  Agent's  security  interest  therein  in the  Borrower's  inventory  in the
possession of such  consignee or bailee,  and (c) whose secured  creditors  have
received notice from the Agent, on behalf of the applicable Borrower, as to such
Borrower's  interest in  inventory  owned by such  Borrower  and which is in the
possession  of  such   consignee  or  bailee.   Notwithstanding   the  inventory
eligibility  requirements  contained in the definition of "Eligible  Inventory",
during the sixty (60) day period from and after the Closing Date, (i) any Bailee
Certificate  from any party in possession of inventory of the Borrowers and (ii)
any  requirement of clauses  (a)(ii) and (iii) and clause (c) hereof which would
be otherwise  necessary in order that such inventory would constitute  "Eligible
Inventory"  shall not be  required  so long as the Agent  shall  have  otherwise
perfected the Agent's  security  interest therein by filing in the proper filing
office or offices  appropriate  Uniform  Commercial  Code  financing  statements
showing such Borrower as debtor and the Agent as secured party.

<PAGE>
                                      -4-

     Approved  Shipper.  A shipper (a) from whom the Agent has received a Bailee
Certificate  in  connection  with such  shipper's  possession  of inventory of a
Borrower (b) which  transports  such inventory  through  jurisdictions  in which
appropriate Uniform Commercial Code financing  statements showing the applicable
Borrower as debtor and the Agent as secured  party have been filed in the proper
filing  office or offices  in order to perfect  the  Agent's  security  interest
therein in the Borrower's  inventory in the possession of such shipper,  and (c)
whose secured  creditors have received  notice from the Agent,  on behalf of the
applicable  Borrower,  as to such Borrower's interest in inventory owned by such
Borrower and which is in the  possession  of such shipper.  Notwithstanding  the
inventory  eligibility  requirements  contained in the  definition  of "Eligible
Inventory",  during the sixty (60) day period from and after the  Closing  Date,
(i) any Bailee  Certificate  from any shipper in  possession of inventory of the
Borrowers and (ii) any requirement of clause (c) hereof which would be otherwise
necessary in order that such inventory  would  constitute  "Eligible  Inventory"
shall not be required so long as the Agent shall have  otherwise  perfected  the
Agent's  security  interest  therein  by filing in the proper  filing  office or
offices  appropriate  Uniform Commercial Code financing  statements showing such
Borrower as debtor and the Agent as secured party.

     Arranger. Fleet Securities Inc.

     Assignment and Acceptance. See ss.19.1.

     Authorized  Officer.  With  respect to each  Borrower  or  Subsidiary  of a
Borrower,  any  of the  president,  chief  executive  officer,  chief  financial
officer, any vice president or the treasurer of such Borrower or such Subsidiary
to the extent that such officer is duly authorized by the respective Borrower or
Subsidiary to sign,  in the name and on behalf of such  Borrower or  Subsidiary,
the Loan  Documents,  and all  documents,  instruments,  certificates  and other
agreements  contemplated  in any Loan  Document,  and to give notice and to take
such other actions on behalf of such Borrower or such Subsidiary  under the Loan
Documents.

     Balance Sheet Date. December 31, 2000.

     Bailee Certificate. As defined in the definition of "Approved Party".

     Base Rate. The annual rate of interest publicly announced from time to time
by Fleet National Bank at its head office in Boston, Massachusetts, as its "base
rate."

     Base Rate Loans. Loans bearing interest calculated by reference to the Base
Rate.

     Berkeley. As defined in the preamble hereto.

     Borrowers. As defined in the preamble hereto.

     Borrowing  Availability.  At any time,  (a) the lesser of (i) the Borrowing
Base and (ii) the Total Revolving Credit Commitment,  minus (b) the aggregate of
(i) the Letter of Credit  Exposure  and (ii)  outstanding  Loans  (after  giving
effect to all amounts requested) as of the date of determination.

     Borrowing  Base.  At the  relevant  time of  reference  thereto,  an amount
determined by the Agent by reference to the most recent  Borrowing  Base Report,
which is equal to:

<PAGE>
                                      -5-

          (a) (i) 85.00% of Eligible  Accounts  Receivable (from account debtors
     other than  Glencore)  for which  invoices have been issued and are payable
     and (ii) the  lesser of (x) 85.00% of  Eligible  Accounts  Receivable  from
     Glencore  for which  invoices  have been  issued  and are  payable  and (y)
     $10,000,000; plus

          (b) 65.00% of the net book value of Eligible Inventory determined on a
     first-in  first-out basis and at lower of cost or market in conformity with
     GAAP; plus

          (c) the Discretionary Amount, minus

          (d) the Minimum Reserve Amount.

as adjusted by the Agent in accordance with ss.2.9.

     Borrowing  Base Report.  A Borrowing  Base Report  signed by an  Authorized
Officer of Century Aluminum and in substantially the form of Exhibit A hereto.

     Breakage Costs. See ss.5.11.

     Business   Day.  Any  day  on  which   banking   institutions   in  Boston,
Massachusetts  and New York, New York,  are open for the  transaction of banking
business  and,  in the case of  Eurodollar  Rate  Loans,  also a day  which is a
Eurodollar Business Day.

     Capital  Assets.  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 expense or depreciated over a
useful life of twelve (12) months or less in accordance with GAAP.

     Capital Expenditures. Amounts paid or Indebtedness incurred by any Borrower
or any of their  Subsidiaries  in  connection  with (i) the purchase or lease by
such  Borrower  or any of its  Subsidiaries  of  Capital  Assets  that  would be
required  to be  capitalized  and shown on the  balance  sheet of such Person in
accordance with GAAP or (ii) the lease of any assets by any such Borrower or any
of its  Subsidiaries as lessee under any Synthetic Lease to the extent that such
assets would have been Capital Assets had such Synthetic  Lease been treated for
accounting purposes as a Capitalized Lease.

     Capitalized  Leases.  Leases  under  which  any  Borrower  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 GAAP.

     Capital Stock. With respect to any Person, any and all shares of stock of a
corporation,  partnership  interests  or  other  equivalent  interests  (however
designated, whether voting or non-voting) in such person's equity, entitling the
holder to receive a share of the  profits  and  losses,  and a  distribution  of
assets, after liabilities, of such Person.

     Century Aluminum. As defined in the preamble hereto.

     Century K. As defined in the preamble hereto.

<PAGE>
                                      -6-

     Century  Kentucky,  LLC.  Century  Aluminum  of  Kentucky,  LLC, a Delaware
limited liability company.

     Century WV. As defined in the preamble hereto.

     CERCLA. See ss.7.18(a).

     Closing  Date.  The first date on which the  conditions  set forth in ss.11
have been  satisfied  or waived  and any Loans are  available  to be made or any
Letter of Credit is available to be issued hereunder.

     Closing Fee. See ss.5.1.

     Code. The Internal Revenue Code of 1986.

     Collateral. As defined in the Security Agreement.

     Combined or combined. With reference to any term defined herein, shall mean
such term as  applied  to the  accounts  of the  Borrowers  and the  Guarantors,
combined in accordance with GAAP.

     Combined  EBITDA.  For any  fiscal  period,  the  Combined  Net  Income (or
Deficit) for such period plus to the extent deducted in determining Combined Net
Income  (or  Deficit),  the  sum of  Combined  Total  Interest  Expense,  taxes,
depreciation and amortization,  in each case of the Borrowers and the Guarantors
for such period on a combined basis, all determined in accordance with GAAP plus
to the extent not included in determining Combined Net Income (or Deficit), cash
Distributions  actually  received  during such period by the  Borrowers  and the
Guarantors  from  Subsidiaries  that are not Borrowers or Guarantors or from the
European Subsidiary .

     Combined Net Income (or Deficit).  With respect to any fiscal  period,  the
combined  net income (or deficit) of the  Borrowers  and the  Guarantors,  after
deduction of all  expenses,  taxes,  and other  proper  charges,  determined  in
accordance with GAAP, after eliminating therefrom all extraordinary nonrecurring
items of income,  and also  excluding  therefrom any non-cash  charges or gains,
determined  in accordance  with GAAP,  related to hedging  contracts  (permitted
under ss.9.14) until such time as such contracts are settled.

     Combined  Total  Funded  Debt.  With  respect  to  the  Borrowers  and  the
Guarantors,   the  sum,  without   duplication,   of  the  aggregate  amount  of
Indebtedness of the Borrowers and the Guarantors,  on a combined basis, relating
to (i) the borrowing of money or the obtaining of credit, including the issuance
of notes or bonds,  (ii) the deferred purchase price of assets (other than trade
payables  incurred in the ordinary course of business),  (iii) in respect of any
Synthetic Leases or any Capitalized  Leases, and (iv) the maximum drawing amount
of all letters of credit outstanding;  provided,  however, Combined Total Funded
Debt shall not include (a) any  contingent  adjustments to the purchase price of
the Hawesville Acquisition until any such adjustments become due and payable and
(b) Derivative Obligations.

<PAGE>
                                      -7-

     Combined  Total  Interest  Expense.  For any fiscal  period,  the aggregate
amount of  interest  required  to be paid or  accrued by the  Borrowers  and the
Guarantors  during  such period on all  Indebtedness  of the  Borrowers  and the
Guarantors outstanding during all or any part of such period, to the extent such
interest was or is required, in accordance with GAAP, to be reflected as an item
of  expense,  including  payments  consisting  of  interest  in  respect  of any
Capitalized Lease, or any Synthetic Lease, and including commitment fees, agency
fees,  facility fees,  balance  deficiency  fees and similar fees or expenses in
connection with the borrowing of money.

     Commingled Accounts. The depository accounts of Century K or NSA into which
proceeds of Commingled Receivables are deposited.

     Commingled Receivables.  The accounts receivable relating to goods produced
at the Hawesville  Facility as to which Persons other than the Borrowers and the
Guarantors have an interest.

     Commitment Fees. See ss.2.2.

     Commitment Letter. The Commitment Letter,  dated as of March 9, 2001, among
the Borrowers, the Agent and the Arranger.

     Commitment  Percentage.  With respect to each Lender,  the  percentage  set
forth on Schedule 1 hereto as such Lender's  percentage  of the Total  Revolving
Credit Commitment of all of the Lenders.

     Compliance Certificate. See ss.8.4(d).

     Consolidated  or  consolidated.  With reference to any term defined herein,
shall mean that term as  applied to the  accounts  of Century  Aluminum  and its
Subsidiaries, consolidated in accordance with GAAP.

     Contractual  Obligation.  With respect to any Person,  any provision of any
security  issued  by  such  Person  or of any  contract,  agreement,  indenture,
mortgage,  guarantee,  debenture, pledge agreement or other document, instrument
or writing  (whether by formal  agreement,  letter or otherwise) under which any
obligation  is  evidenced,  assumed or  undertaken,  or any right to any Lien is
granted or perfected,  and to which such Person is a party or by which it or any
of its Property is bound.

     Conversion  Request.  A notice  given by the  Borrowers to the Agent of the
Borrowers' election to convert or continue a Loan in accordance with ss.2.7.

     Credit Agreement. This Revolving Credit Agreement,  including the Schedules
and Exhibits hereto.

     Customs Agent Agreement.  A Customs Agent  Agreement,  substantially in the
form of Exhibit H hereto,  entered into among the Agent,  the  Borrowers  and an
Approved Customs Broker.

     Default. See ss.13.1.

     Delinquent Lender. See ss.15.5.3.

<PAGE>
                                      -8-

     Derivative  Obligations:  Every  obligation  of a Person  under any forward
contract,  futures  contract,  swap,  option  or other  financing  agreement  or
arrangement  (including,  without limitation,  caps, floors, collars and similar
agreements),  the value of which is  dependent  upon  interest  rates,  currency
exchange rates, commodities or other indices.

     Discretionary Amount. As at any date of determination, an amount determined
by the Agent in its sole and  absolute  discretion  to preserve  and protect the
Collateral,  including  but not limited to  advances  to fund  payroll and other
advances  necessary for the operation of the  Borrowers,  which amount shall not
exceed  $5,000,000 at any time and which amount shall not be more than $0.00 for
more than any period of thirty (30) consecutive days.

     Distribution.  The  declaration or payment of any dividend on or in respect
of any shares of any class of capital stock of any of the Borrowers,  other than
dividends payable solely in shares of common stock of any of the Borrowers;  the
purchase,  redemption, or other retirement of any shares of any class of capital
stock of any of the  Borrowers,  directly or indirectly  through a Subsidiary of
any Borrower or otherwise;  the return of capital by any of the Borrowers to its
shareholders  as such; or any other  distribution on or in respect of any shares
of any class of capital stock of any of the Borrowers.

     Dollars or $. Dollars in lawful currency of the United States of America.

     Domestic Company.  A non-individual  Person organized under the laws of the
United States or any state thereof.

     Domestic Lending Office. Initially, the office of each Lender designated as
such in Schedule 1 hereto; thereafter, such other office of such Lender, if any,
located  within the United States that will be making or  maintaining  Base Rate
Loans.

     Drawdown Date. The date on which any Loan is made or is to be made, and the
date on which any Loan is converted or continued in accordance with ss.2.7.

     Eligible  Accounts  Receivable.  The  aggregate  of the unpaid  portions of
Accounts Receivable (net of any credits, rebates, contras, offsets, holdbacks or
other  adjustments or commissions  payable to third parties that are adjustments
to such Accounts  Receivable) (i) that the applicable Borrower reasonably and in
good faith  determines to be collectible;  (ii) that are with account debtors or
other  obligors that (A) are not Affiliates of any Borrower or any Subsidiary of
a Borrower,  (B)  purchased  the goods or services  giving rise to the  relevant
Account  Receivable  in an arm's length  transaction,  (C) are not  insolvent or
involved in any case or proceeding,  whether voluntary or involuntary, under any
bankruptcy,   reorganization,   arrangement,  insolvency,  adjustment  of  debt,
dissolution,  liquidation or similar law of any jurisdiction and (D) are, in the
Agent's  reasonable  judgment,  creditworthy;  (iii)  that  are  in  payment  of
obligations that have been fully performed,  do not consist of progress billings
or bill and hold  invoices  and are not subject to dispute or any other  similar
claims that would  reduce the cash amount  payable  therefor;  (iv) that are not
subject to any pledge,  restriction,  security interest or other Lien other than
those  created  by the Loan  Documents;  (v) in which  the Agent has a valid and
perfected first priority  security  interest;  (vi) that are not outstanding for
more than (A) sixty (60) days past the due date thereof or (B) 120 days past the

<PAGE>
                                      -9-

earlier to occur of the date of the respective  invoice  thereof and the date of
shipment; (vii) that are not due from an account debtor or other obligor located
in Minnesota unless such Borrower (A) has received a certificate of authority to
do business  and is in good  standing in such state or (B) has filed a notice of
business  activities report with the appropriate  office or agency of such state
for the current year;  (viii) that are not due from any single account debtor or
other obligor if more than fifty  percent  (50%) of the aggregate  amount of all
Accounts  Receivable  owing  from such  account  debtor or other  obligor  would
otherwise not be Eligible Accounts Receivable; (ix) that are payable in Dollars;
(x) that are not payable from an account  debtor  outside of the United  States,
unless (A) such  Accounts  Receivable  are secured by a letter of credit in form
and substance  satisfactory to the Agent and (y) the Agent has obtained a prior,
perfected  security  interest in such letter of credit or (z) which  pursuant to
the terms  thereof,  causes all drawings  made under such letter of credit to be
payable solely to one of the Operating Accounts or (B) (x) the account debtor is
located in the Dominion of Canada,  (y) the Agent is reasonably  satisfied  that
the Borrowers have taken all necessary steps to perfect the Agent's lien in such
accounts in the  Dominion of Canada and (z) the  aggregate  gross amount of such
accounts  receivable  included as Eligible  Accounts  Receivable does not exceed
$8,000,000;  provided  that  in  the  Agent's  discretion  up to  an  additional
$5,000,000  in the  aggregate  of Accounts  Receivable  payable  from an account
debtor  outside  of the  United  States  may  be  considered  Eligible  Accounts
Receivable; (xi) that are not secured by a letter of credit unless (A) the Agent
has obtained a prior,  perfected  security  interest in such letter of credit or
(B) pursuant to the terms thereof, all drawings made under such letter of credit
are payable solely to one of the Operating Accounts;  and (xii)  notwithstanding
the foregoing  clause (ii)(A) relating to Affiliates,  Accounts  Receivable from
Glencore may be considered Eligible Accounts Receivable so long as such Accounts
Receivable  (a) are subject to a  Non-Setoff  Agreement  between the  applicable
Borrowers and Glencore,  provided that no Accounts Receivable of Glencore of the
type described in paragraph four of the Non-Setoff  Agreement with Glencore Ltd.
may be considered  Eligible  Accounts  Receivable  hereunder,  and (b) otherwise
satisfy the eligibility criteria set forth in clauses (i) through (xi) hereof.

     Eligible  Assignee.  Any  of  (i) a  commercial  bank  or  finance  company
organized  under the laws of the  United  States,  or any State  thereof  or the
District of Columbia, and having total assets in excess of $1,000,000,000;  (ii)
a savings and loan  association or savings bank organized  under the laws of the
United  States,  or any State thereof or the District of Columbia,  and having a
net worth of at least $100,000,000,  calculated in accordance with GAAP; (iii) a
commercial  bank organized under the laws of any other country which is a member
of the Organization for Economic  Cooperation and Development (the "OECD"), or a
political  subdivision of any such country, and having total assets in excess of
$1,000,000,000,  provided  that such  bank is acting  through a branch or agency
located in the country in which it is organized or another country which is also
a member of the OECD;  (iv) the central bank of any country which is a member of
the OECD;  and (v) if,  but only if, any Event of Default  has  occurred  and is
continuing,  any other bank,  insurance  company,  commercial finance company or
other financial institution or other Person approved by the Agent, such approval
not to be unreasonably withheld.

<PAGE>
                                      -10-

     Eligible  Inventory.  Finished  goods,  work in progress and raw  materials
(including saleable scrap) owned by any Borrower (other than Metalsco); provided
that Eligible  Inventory  shall not include any  inventory (i) which  constitute
stores and supplies,  (ii) held on  consignment,  or not otherwise owned by such
Borrower,  or of a type no longer  sold by such  Borrower,  (iii) which has been
returned by a customer or is damaged or subject to any legal  encumbrance  other
than  Permitted  Liens,  (iv) which is not in the  possession or control of such
Borrower or Approved Party, at Permitted Inventory Locations unless it is (A) in
transit  from one  Permitted  Inventory  Location  within the  United  States of
America to another  Permitted  Inventory  Location  within the United  States of
America, or (B) In-Transit  Alumina,  (v) as to which either (A) appropriate UCC
financing  statements  showing such  Borrower as debtor and the Agent as secured
party  have not been filed in the  proper  filing  office or offices in order to
provide the Agent with a valid and perfected  first priority  security  interest
therein or (B) all  documents  of title  relating  to such  Inventory  have been
consigned to the Agent in a manner  reasonably  acceptable  to the Agent and the
Agent or an Approved  Customs  Broker is in possession of all documents of title
relating  to such  goods,  (vi) which has been  shipped  to a  customer  of such
Borrower regardless of whether such shipment is on a consignment basis, or (vii)
which is not located  within the United States of America,  (viii) any inventory
located at the Hawesville Facility,  unless, the Agent has received a Non-Setoff
Agreement  in the form of  Exhibit K hereto or (ix)  which the Agent  reasonably
deems to be obsolete or not marketable.

     Employee  Benefit  Plan.  Any  employee  benefit plan within the meaning of
ss.3(3) of ERISA  maintained  or  contributed  to by any of the Borrowers or any
ERISA Affiliate, other than a Guaranteed Pension Plan or a Multiemployer Plan.

     Environmental Laws. See ss.7.18(a).

     EPA. See ss.7.18(b).

     ERISA. The Employee Retirement Income Security Act of 1974.

     ERISA Affiliate.  Any Person which is treated as a single employer with any
of the Borrowers under ss.414 of the Code.

     ERISA  Reportable  Event.  A reportable  event with respect to a Guaranteed
Pension  Plan  within  the  meaning  of  ss.4043  of ERISA  and the  regulations
promulgated thereunder.

     Eurocurrency  Reserve Rate.  For any day with respect to a Eurodollar  Rate
Loan,  the maximum  rate  (expressed  as a decimal) at which any lender  subject
thereto would be required to maintain  reserves under  Regulation D of the Board
of  Governors  of the  Federal  Reserve  System  (or any  successor  or  similar
regulations  relating  to  such  reserve   requirements)  against  "Eurocurrency
Liabilities"  (as that term is used in Regulation D), if such  liabilities  were
outstanding.  The Eurocurrency  Reserve Rate shall be adjusted  automatically on
and as of the effective date of any change in the Eurocurrency Reserve Rate.

     Eurodollar  Business  Day. Any day on which  commercial  banks are open for
international  business  (including dealings in Dollar deposits) in London or if
commercial banks in London are not open, such other eurodollar  interbank market
as may be selected by the Agent in its sole discretion acting in good faith.

<PAGE>
                                      -11-

     Eurodollar Lending Office.  Initially, the office of each Lender designated
as such in Schedule 1 hereto;  thereafter,  such other office of such Lender, if
any, that shall be making or maintaining Eurodollar Rate Loans.

     Eurodollar  Rate. For any Interest Period with respect to a Eurodollar Rate
Loan, the rate of interest equal to (i) the arithmetic  average of the rates per
annum for each  Reference  Bank  (rounded  upwards  to the  nearest  1/16 of one
percent) of the rate at which such Reference Bank's Eurodollar Lending Office is
offered Dollar  deposits two Eurodollar  Business Days prior to the beginning of
such Interest Period in the interbank eurodollar market where the eurodollar and
foreign currency and exchange  operations of such Eurodollar  Lending Office are
customarily conducted, for delivery on the first day of such Interest Period for
the number of days comprised  therein and in an amount  comparable to the amount
of the Eurodollar Rate Loan of such Reference Bank to which such Interest Period
applies,  divided by (ii) a number equal to 1.00 minus the Eurocurrency  Reserve
Rate, if applicable.

     Eurodollar Rate Loans.  Loans bearing  interest  calculated by reference to
the Eurodollar Rate.

     European  Acquisition.  The  purchase on one  occasion by Century  Aluminum
(directly  or  indirectly)  of the majority of the stock or assets of a European
entity which is a Related Business.

     European Subsidiary. One or more direct or indirect subsidiaries of Century
Aluminum used to consummate the European Acquisition.

     Event of Default. See ss.13.1.

     Existing Facility. See ss.11.17.

     Fee Letter. The Fee Letter, dated as of March 9, 2001, among the Borrowers,
the Agent and the Arranger.

     Fees. The  Commitment  Fees, the Letter of Credit Fee, the Closing Fee, the
Agent's Fee and all other fees payable under ss.4.6.

     First  Mortgage  Notes.  $325,000,000  principal  amount  Eleven  and Three
Quarters  percent (11 3/4 %) Senior Secured First Mortgage Notes due 2008 issued
by Century Aluminum, dated April 2, 2001.

     First Mortgage Note Change of Control.

          (a) With respect to Century Aluminum, any "person" or "group" (as such
     terms are used for  purposes of Section  13(d) and 14(d) of the  Securities
     and Exchange Act of 1934 (the "Exchange Act")), other than (i) Glencore and
     (ii) any Person both the Capital Stock and the Voting Stock of which (or in
     the case of a trust,  the  beneficial  interest  in which) is owned  eighty
     percent (80%) by Glencore,  is or becomes the  "beneficial  owner" (as such
     term is used in Rules 13d-3 under the Exchange Act) directly or indirectly,
     of more than forty  percent  (40%) of the total  voting power of the Voting
     Stock of Century Aluminum,  provided that indirect beneficial  ownership of
     more than forty percent (40%) of the total voting power of the Voting Stock
     of Century Aluminum through direct or indirect ownership of Voting Stock or
     Capital  Stock of Glencore by (x) the  then-current  or former  officers or
     employees of Glencore or any of its Subsidiaries (the "Glencore Employees")
     and/or (y) by any Person controlled by the Glencore  Employees shall not be
     deemed to constitute a Change of Control if the composition of the Glencore
     Employees  continues to be comprised in a manner consistent with the manner
     in which it is comprised on the Closing Date; or

<PAGE>
                                      -12-

          (b) During a period of two (2)  consecutive  years  after the  Closing
     Date, individuals who at the beginning of such period constituted the board
     of directors of Century  Aluminum,  together with any new  directors  whose
     election by the board of directors or whose  nomination for election by the
     stockholders  of  Century  Aluminum  was  approved  by a  majority  of  the
     directors  still in office who were either  directors  at the  beginning of
     such period or whose  election or nomination for election was previously so
     approved,  cease for any reason to  constitute  a majority  of the board of
     directors of Century Aluminum then in office.

     Fleet. Fleet Capital Corporation, in its individual capacity.

     Fleet Blocked Account. See ss.8.13.1

     GAAP. (i) When used in ss.10 or in  calculating  the Leverage Ratio for the
determination of the Applicable  Margin,  whether directly or indirectly through
reference to a capitalized  term used  therein,  means (A)  principles  that are
consistent  with  the  principles   promulgated  or  adopted  by  the  Financial
Accounting  Standards Board and its predecessors,  in effect for the fiscal year
ended on the Balance  Sheet Date and giving  effect to the  changes  required by
F.A.S.  133,  and  (B)  to the  extent  consistent  with  such  principles,  the
accounting  practice of Century Aluminum  reflected in its financial  statements
for the year ended on the  Balance  Sheet  Date,  and (ii) when used in general,
other than as provided above,  means principles that are (A) consistent with the
principles  promulgated or adopted by the Financial  Accounting  Standards Board
and its  predecessors,  as in  effect  from time to time,  and (B)  consistently
applied with past  financial  statements of Century  Aluminum,  provided that in
each case referred to in this definition of "GAAP" a certified public accountant
would,  insofar as the use of such accounting  principles is pertinent,  be in a
position to deliver an unqualified opinion (other than a qualification regarding
changes in GAAP) as to financial  statements in which such  principles have been
properly applied.

     Glencore.   Glencore  International  AG,  a  Swiss  corporation,   and  its
Subsidiaries.

     Glencore Hawesville  Acquisition.  (a) The purchase by Glencore from NSA of
(i) the fifth (5th) pot line at the Hawesville  Facility,  (ii) a twenty percent
(20%)  interest  in  Century  Kentucky,  LLC and  (iii) a twenty  percent  (20%)
undivided   interest  in  certain  assets  at  the  Hawesville   Facility,   for
approximately  one-fifth  (1/5th ) of the purchase price to be paid to Southwire
Company pursuant to the Hawesville  Acquisition and (b) the purchase by Glencore
of  approximately  $25,000,000 of Century  Aluminum's 8% Cumulative  Convertible
Preferred Stock.

     Governing  Documents.  With  respect  to any  Person,  its  certificate  or
articles  of  incorporation,   its  by-laws,   partnership  agreement  or  other
organizational  documents,  including without limitation the operating agreement
of a limited liability company,  and all shareholder  agreements,  voting trusts
and similar arrangements applicable to any of its equity interests.

     Governmental Authority. Any foreign, federal, state, provincial,  regional,
local,  municipal or other  government,  or any department,  commission,  board,
bureau,  agency,  public authority or instrumentality  thereof,  or any court or
arbitrator.

<PAGE>
                                      -13-

     Guaranteed  Pension  Plan.  Any  employee  pension  benefit plan within the
meaning of ss.3(2) of ERISA maintained or contributed to by any of the Borrowers
or any ERISA  Affiliate the benefits of which are  guaranteed on  termination in
full or in part  by the  PBGC  pursuant  to  Title  IV of  ERISA,  other  than a
Multiemployer Plan.

     Guarantors.  Collectively, Vialco, Skyliner and each other Domestic Company
Subsidiary  of any  Borrower  (other  than  an  existing  Borrower  and  Century
Kentucky, LLC).

     Guarantees.  Collectively,  (a) the  Guaranty,  dated  or to be dated on or
prior to the Closing Date, made by Skyliner and Vialco in favor of the Agent and
(b) the several  Guarantees,  executed  and  delivered  from time to time by any
other  Subsidiary  of a Borrower  (other than an existing  Borrower  and Century
Kentucky,  LLC),  in favor of the Lenders  and the Agent  pursuant to which each
Guarantor guaranties to the Lenders and the Agent the payment and performance of
the Obligations, in each case in the form of Exhibit I hereto.

     Hawesville  Acquisition.  The  purchase by Century  Aluminum of one hundred
percent (100%) of the outstanding  shares of stock of Metalsco and certain other
assets from Southwire Company for approximately $460,000,000.

     Hawesville  Facility.  The  land,  pot  lines and  related  facilities  and
fixtures  from  time to time  located  at the NSA  aluminum  reduction  facility
located at Hawesville, Hancock County, Kentucky.

     Hazardous Substances. See ss.7.18(b).

     Indebtedness.  As to any Person and  whether  recourse  is secured by or is
otherwise  available  against all or only a portion of the assets of such Person
and whether or not contingent, but without duplication:

               (i) every obligation of such Person for money borrowed,

               (ii)  every   obligation  of  such  Person  evidenced  by  bonds,
          debentures, notes or other similar instruments,  including obligations
          incurred in connection  with the  acquisition  of property,  assets or
          businesses,

               (iii) every reimbursement  obligation of such Person with respect
          to letters  of  credit,  bankers'  acceptances  or similar  facilities
          issued for the account of such Person,

               (iv) every  obligation  of such  Person  issued or assumed as the
          deferred purchase price of property or services (including  securities
          repurchase  agreements but excluding trade accounts payable or accrued
          liabilities  arising in the ordinary  course of business which are not
          overdue or which are being contested in good faith),

               (v) every obligation of such Person under any Capitalized Lease,

<PAGE>
                                      -14-

               (vi) every obligation of such Person under any Synthetic Lease.

               (vii) all (A) sales by such  Person of (x)  accounts  or  general
          intangibles  for  money  due or to  become  due,  (y)  chattel  paper,
          instruments or documents  creating or evidencing a right to payment of
          money or (z) other receivables (collectively  "receivables"),  whether
          pursuant to a purchase facility or otherwise, other than in connection
          with  the  disposition  of the  business  operations  of  such  Person
          relating  thereto  or  a  disposition  of  defaulted  receivables  for
          collection and not as a financing arrangement,  and (B) obligations of
          such  Person  to  pay  any  discount,   interest,  fees,  indemnities,
          penalties,   recourse,   expenses  or  other   amounts  in  connection
          therewith,

               (viii)  every  obligation  of such  Person  (an  "equity  related
          purchase  obligation")  (x) to purchase,  redeem,  retire or otherwise
          acquire for value any shares of capital  stock of any class  issued by
          such Person, or (y) to purchase,  redeem,  retire or otherwise acquire
          for value any  warrants,  options or other  rights to acquire any such
          shares, or any rights measured by the value of such shares,  warrants,
          options or other rights,

               (ix) Derivative Obligations,

               (x) every  obligation  in  respect of  Indebtedness  of any other
          entity  (including  any  partnership in which such Person is a general
          partner) to the extent that such Person is liable therefor as a result
          of such Person's ownership interest in or other relationship with such
          entity,  except  to the  extent  that the  terms of such  Indebtedness
          provide  that such  Person is not liable  therefor  and such terms are
          enforceable under applicable law,

               (xi) every  obligation,  contingent or otherwise,  of such Person
          guaranteeing,  or having the legal effect of  guarantying or otherwise
          acting as surety for,  any  obligation  of a type  described in any of
          clauses (i) through (x) (the "primary  obligation")  of another Person
          (the  "primary   obligor"),   in  any  manner,   whether  directly  or
          indirectly, and including,  without limitation, any obligation of such
          Person (A) to  purchase  or pay (or  advance  or supply  funds for the
          purchase of) any security for the payment of such primary  obligation,
          (B) to purchase  property,  securities  or services for the purpose of
          assuring  the payment of such primary  obligation,  or (C) to maintain
          working capital, equity capital or other financial statement condition
          or  liquidity  of the  primary  obligor  so as to enable  the  primary
          obligor to pay such primary obligation.

<PAGE>
                                      -15-

     The  "amount"  or  "principal  amount" of any  Indebtedness  at any time of
determination  represented  by (u) any  Indebtedness,  issued at a price that is
less than the principal amount at maturity  thereof,  shall be the amount of the
liability  in respect  thereof  determined  in  accordance  with  GAAP,  (v) any
Capitalized  Lease shall be the  principal  component  of the  aggregate  of the
rentals  obligation under such  Capitalized  Lease payable over the term thereof
that is not subject to  termination  by the lessee,  (w) any sale of receivables
shall be the  amount of  unrecovered  capital  or  principal  investment  of the
purchaser  (other  than any  Borrower or any of its  wholly-owned  Subsidiaries)
thereof,  excluding  amounts  representative of yield or interest earned on such
investment,  (x)  any  synthetic  lease  shall  be the  stipulated  loss  value,
termination value or other equivalent amount, (y) any derivative  contract shall
be the maximum amount of any termination or loss payment  required to be paid by
such Person if such derivative  contract were, at the time of determination,  to
be  terminated  by reason of any event of  default  or early  termination  event
thereunder,  whether or not such event of default or early termination event has
in fact occurred and (z) any equity  related  purchase  obligation  shall be the
maximum fixed redemption or purchase price thereof  inclusive of any accrued and
unpaid dividends to be comprised in such redemption or purchase price.

     Indenture. The Indenture dated as of April 2, 2001, among Century Aluminum,
the guarantors party thereto and Wilmington Trust Company as Trustee relating to
the First Mortgage Notes.

     Ineligible Securities. Securities which may not be underwritten or dealt in
by member banks of the Federal  Reserve  System under  Section 16 of the Banking
Act of 1933 (12 U.S.C.ss.24, Seventh), as amended.

     Interest  Payment Date.  (i) As to any Base Rate Loan,  the last day of the
calendar quarter with respect to interest accrued during such calendar  quarter,
including,  without limitation, the calendar quarter which includes the Drawdown
Date of such Base Rate Loan and (ii) as to any  Eurodollar  Rate Loan in respect
of which the  Interest  Period is (A) three (3) months or less,  the last day of
such Interest Period and (B) more than three (3) months,  the date that is three
(3) months from the first day of such Interest Period and, in addition, the last
day of such Interest Period.

     Interest  Period.  With  respect to each Loan,  (i)  initially,  the period
commencing  on the Drawdown  Date of such Loan and ending on the last day of one
of the periods set forth below,  as selected by the  Borrowers in a Loan Request
or as otherwise  required by the terms of this Credit Agreement (A) for any Base
Rate Loan, the last day of the calendar  quarter and (B) for any Eurodollar Rate
Loan, 1, 2, 3, or 6 months;  and (ii) thereafter,  each period commencing on the
last day of the next  preceding  Interest  Period  applicable  to such  Loan and
ending on the last day of one of the periods set forth above, as selected by the
Borrowers in a Conversion Request; provided that all of the foregoing provisions
relating to Interest Periods are subject to the following:

          (a) if any  Interest  Period with  respect to a  Eurodollar  Rate Loan
     would  otherwise  end on a day that is not a Eurodollar  Business Day, that
     Interest  Period  shall  be  extended  to the  next  succeeding  Eurodollar
     Business  Day unless the  result of such  extension  would be to carry such
     Interest  Period into another  calendar month, in which event such Interest
     Period shall end on the immediately preceding Eurodollar Business Day;

<PAGE>
                                      -16-

          (b) if any Interest  Period with respect to a Base Rate Loan would end
     on a day that is not a Business Day, that Interest  Period shall end on the
     next succeeding Business Day;

          (c) if the  Borrowers  shall  fail  to  give  notice  as  provided  in
     ss.2.7.1,  the Borrowers  shall be deemed to have requested a conversion of
     the affected  Eurodollar  Rate Loan to a Base Rate Loan and the continuance
     of all  Base  Rate  Loans  as Base  Rate  Loans on the last day of the then
     current Interest Period with respect thereto;

          (d) any  Interest  Period  relating to any  Eurodollar  Rate Loan that
     begins on the last Eurodollar Business Day of a calendar month (or on a day
     for which there is no numerically  corresponding  day in the calendar month
     at the  end of such  Interest  Period)  shall  end on the  last  Eurodollar
     Business Day of a calendar month; and

          (e) any  Interest  Period  that  would  otherwise  extend  beyond  the
     Maturity Date shall end on the Maturity Date.

     Interim Concentration Account. See ss.8.13.1.

     International  Standby  Practices.  With  respect to any standby  Letter of
Credit,  International Standby Practices (ISP98) as promulgated by the Institute
of International Banking Law & Practice,  Inc., or any successor code of standby
letter of credit  practices  among  banks  adopted  by the  Issuing  Bank in the
ordinary  course of its  business  as a standby  letter of credit  issuer and in
effect at the time of issuance of such Letter of Credit.

     In-Transit  Alumina.   Alumina  owned  by  any  Borrower,  which  otherwise
qualifies  as  Eligible  Inventory,  and which is being  transported  within the
United  States  by an  Approved  Shipper  to one  or  more  Permitted  Inventory
Locations  owned or leased by such  Borrower  and such  alumina  is insured in a
manner reasonably acceptable to the Agent.

     Investments.  All  expenditures  made and all  obligations  (contingent  or
otherwise)  for the  acquisition  of stock or  Indebtedness  of,  or for  loans,
advances,  capital  contributions  or transfers of property to, or in respect of
any  guaranties  (or other  commitments  as described  under  Indebtedness),  or
obligations of, any Person.  In determining the aggregate  amount of Investments
outstanding at any particular time: (i) the amount of any Investment represented
by a  guaranty  shall  be taken at not less  than the  principal  amount  of the
obligations guaranteed and still outstanding; (ii) there shall be included as an
Investment all interest  accrued with respect to  Indebtedness  constituting  an
Investment unless and until such interest is paid; (iii) there shall be deducted
in respect of each such  Investment  any amount  received as a return of capital
(but only by repurchase, redemption, retirement, repayment, liquidating dividend
or liquidating distribution); (iv) there shall not be deducted in respect of any
Investment  any amounts  received as  earnings  on such  Investment,  whether as
dividends,  interest or  otherwise,  except that  accrued  interest  included as
provided in the foregoing  clause (ii) may be deducted when paid;  and (v) there
shall not be deducted from the aggregate  amount of Investments  any decrease in
the value thereof.

     IR Bonds.  The Hancock  County,  Kentucky Solid Waste  Disposal  Facilities
Revenue Bonds (NSA Ltd.  Project),  Series 1998 in the original principal amount
of $7,815,000.

<PAGE>
                                      -17-

     Issuing Bank. With respect to any Letter of Credit,  Fleet National Bank, a
national banking association, and any successor Issuing Bank.

     Lenders. (a) The financial  institutions listed on Schedule 1 hereto (other
than  any  such  financial  institution  that has  ceased  to be a party  hereto
pursuant to an Assignment and Acceptance) and (b) any financial institution that
has become a party hereto (in accordance with the requirements  hereof) pursuant
to an Assignment and Acceptance.

     Letter of Credit. See ss.4.1.1.

     Letter of Credit Application. See ss.4.6.

     Letter of Credit Exposure.  At any time, the sum of (a) the Maximum Drawing
Amount with respect to all Letters of Credit,  and (b) all Unpaid  Reimbursement
Obligations.

     Letter of Credit Fee. See ss.4.6.

     Letter of Credit Guaranty.  Any guaranty pursuant to which the Agent or any
Affiliate or Subsidiary of the Agent shall  guaranty the payment or  performance
by the Borrowers of their reimbursement obligations under any letter of credit.

     Letter of Credit Office. The Agent's letter of credit office located at 400
Galleria Parkway,  Atlanta,  Georgia,  or such other place as the Agent may from
time to time designate.

     Letter of Credit Participation. See ss.4.1.4.

     Leverage Ratio. As of any date of determination,  the ratio of (a) Combined
Total Funded Debt as of such date  multiplied  by a fraction,  the  numerator of
which is the lesser of (i) three  hundred and sixty five (365) days and (ii) the
number of days  since the  Closing  Date and the  denominator  of which is three
hundred  and sixty five (365) to (b)  Combined  EBITDA for the four  consecutive
fiscal quarters then ended (or such shorter period beginning on the Closing Date
and ending on the last day of the most recently ended fiscal quarter).

     Lien. Any mortgage, security interest, pledge,  hypothecation,  assignment,
attachment,  deposit  arrangement,  encumbrance,  lien  (statutory,  judgment or
otherwise),  charge (whether fixed or floating),  preference,  priority or other
security agreement or preferential  arrangement of any kind or nature whatsoever
(including  any similar such interest  arising under the laws of any  applicable
domestic or foreign  jurisdiction  and including any  conditional  sale or other
title retention agreement,  any financing lease involving substantially the same
economic  effect  as  any of the  foregoing  and  the  filing  of any  financing
statement   under  the  UCC  or  comparable  law  of  any  domestic  or  foreign
jurisdiction).

     Loan  Documents.  This Credit  Agreement,  the Notes,  the Letter of Credit
Applications, the Letters of Credit, the Commitment Letter, any Letter of Credit
Guaranty  the Security  Documents  and any interest  rate  protection  agreement
between any Borrower and a Lender evidencing Derivative Obligations.

     Loan Request. See ss.2.6.

<PAGE>
                                      -18-

     Loans.  Revolving  credit  loans  made or to be made by the  Lenders to the
Borrowers pursuant to ss.2.

     Local Account. See ss.8.13.1.

     Majority  Lenders.  As of any date, the Lenders  holding at least fifty-one
percent (51%) of the outstanding principal amount of the Notes on such date; and
if no such  principal is  outstanding,  the Lenders  whose  aggregate  Revolving
Credit  Commitments  constitutes at least  fifty-one  percent (51%) of the Total
Revolving Credit Commitment.

     Materially  Adverse  Effect.  With  respect to any event or  occurrence  of
whatever  nature  (including  any  adverse   determination  in  any  litigation,
arbitration or governmental investigation or proceeding):

          (a)  a  materially   adverse  effect  on  the  business,   Properties,
     operations,   prospects  or  condition,  financial  or  otherwise,  of  the
     Borrowers,  their  Subsidiaries  and the European  Subsidiary on a combined
     basis, taken as a whole;

          (b) a  materially  adverse  effect  on  the  ability  of  any  of  the
     Borrowers,  their  Subsidiaries  and the European  Subsidiary on a combined
     basis,  taken  as a  whole  to  perform  any  of  their  payment  or  other
     obligations under any Loan Document to which it is a party; or

          (c) any material  impairment of the validity or  enforceability of any
     Loan  Document  or any  material  impairment  of the  rights,  remedies  or
     benefits available to the Agent or any Lender under any Loan Document.

     Maturity Date. March 31, 2006.

     Maximum Drawing Amount. The maximum aggregate amount that the beneficiaries
may at any time draw under  outstanding  Letters of  Credit,  as such  aggregate
amount may be reduced from time to time  pursuant to the terms of the Letters of
Credit.

     Metalsco. As defined in the Preamble.

     Minimum Reserve Amount. $30,000,000.

     Multiemployer  Plan. Any multiemployer  plan within the meaning of ss.3(37)
of ERISA maintained or contributed to by the Borrower or any ERISA Affiliate.

     Mt. Holly Owners  Agreement.  The Amended and  Restated  Owners  Agreement,
dated as of January 26, 1996,  relating to Berkeley's  ownership interest in the
Mt. Holly aluminum facility.

     Non-Collateral  Proceeds.  Cash which does not belong to the  Borrowers  or
Guarantors or which is not proceeds of the Collateral.

     Non-Setoff Agreement.  The (a) Non-Setoff  Agreement,  dated as of April 2,
2001,  between  Glencore Ltd.,  Century Aluminum and the Agent and (b) any other
Non-Setoff  Agreement,  executed and  delivered on or after the Closing Date, by
any other Person, in form and substance satisfactory to the Agent.

<PAGE>
                                      -19-

     Note Record. A Record with respect to a Note.

     Notes. See ss.2.4.

     NSA. As defined in the preamble hereto.

     Obligations. All indebtedness, obligations and liabilities of the Borrowers
and their  Subsidiaries  to any of the Lenders,  the Issuing Bank and the Agent,
individually or  collectively,  existing on the date of this Credit Agreement or
arising  thereafter,   direct  or  indirect,  joint  or  several,   absolute  or
contingent,  matured  or  unmatured,  liquidated  or  unliquidated,  secured  or
unsecured,  arising  by  contract,  operation  of law or  otherwise,  arising or
incurred  under this Credit  Agreement or any of the other Loan  Documents or in
respect of any of the Loans made or Reimbursement Obligations incurred or any of
the Notes,  Letter of Credit  Applications,  Letters of Credit,  any  Derivative
Obligations with any of the Lenders or other  instruments at any time evidencing
any thereof.

     Operating Accounts. See ss.2.6.2.

     outstanding.  With respect to the Loans,  the  aggregate  unpaid  principal
thereof as of any date of determination.

     Owners Agreement.  The Owners  Agreement,  dated as of April 2, 2001, among
NSA,  Glencore  Acquisition  I LLC and  Century  Kentucky,  LLC  relating to the
operation of the Hawesville Facility.

     Payment  Office.  The Agent's  office  located at One  Constitution  Plaza,
Hartford,  Connecticut, or such other place that the Agent may from time to time
designate.

     PBGC. The Pension Benefit Guaranty  Corporation  created by Section 4002 of
ERISA and any successor entity or entities having similar responsibilities.

     Pechiney Net Worth Calculation. See ss.8.4(d).

     Perfection  Certificates.  The  Perfection  Certificates  as defined in the
Security Agreements.

     Permitted   Acquisition.   Any   Acquisition   (other  than  the   European
Acquisition)  after the  Closing  Date by any  Borrower or any  Subsidiary  of a
Borrower of any business so long as, in each case,  either the Majority  Lenders
have given their  written  consent to such  Acquisition  or all of the following
conditions are satisfied:

          (a) the  aggregate  purchase  price (and the related fees and expenses
     incurred  in  connection  therewith)  of such  Acquisition,  plus all other
     Acquisitions  (other than the European  Acquisition)  consummated after the
     Closing Date, shall not exceed $25,000,000;

          (b) the target is a Domestic Company in a Related Business;

          (c) the Acquisition is on friendly terms;

<PAGE>
                                      -20-

          (d) after giving effect to the Acquisition, the assets comprising such
     business (as used in this definition, the "Acquired Assets") shall be owned
     or leased exclusively by such Borrower or such Subsidiary and substantially
     all of the Acquired Assets shall be located in the United States;

          (e) any  Indebtedness  incurred  or  assumed  in  connection  with the
     Acquisition is Permitted  Indebtedness or its incurrence is consented to by
     the Majority Lenders;

          (f) the surviving entity is a Borrower or a Guarantor;

          (g) if the Acquired  Assets are owned or leased by a  newly-formed  or
     newly-acquired  Subsidiary of Century Aluminum,  such Subsidiary  (together
     with any Subsidiary  thereof and any parent of such  Subsidiary that is not
     already a Guarantor) shall have executed and delivered to the Agent and the
     Lenders  (A) an  Accession  Agreement  substantially  in the form  attached
     hereto as Exhibit F pursuant  to the terms of which  such  Subsidiary  (and
     such parent or parents,  if applicable)  (i) becomes a party to this Credit
     Agreement as a Borrower or executes a Guaranty, (ii) becomes a party to the
     Security Agreement as an Assignor,  and becomes a party to any of the other
     Loan  Documents as the Agent may  reasonably  request,  and (iii) agrees to
     perform and observe all of the obligations and covenants of a Borrower or a
     Subsidiary of a Borrower hereunder,  and of the appropriate party under any
     Loan  Document  to which it becomes a party,  and (B) such  other  Security
     Documents  covering  collateral of the same type as the  Collateral in form
     and substance  satisfactory  to the Agent as may be reasonably  required by
     the Agent;

          (h) the Borrowers and their  Subsidiaries shall have complied with the
     requirements of ss.8.15 hereof;

          (i)  the  Borrowers  shall  have  Borrowing   Availability   (assuming
     pro-forma covenant compliance) after giving effect to the Acquisition of at
     least (A)  $20,000,000  if the  Obligations  are  rated  "BB-" or higher by
     Standard and Poor's  Rating  Group or "Ba3" or higher by Moody's  Investors
     Service,  Inc. or (B)  $25,000,000  in all  circumstances  other than those
     listed in part (A) of this paragraph (i);

          (j) the Agent shall have received  satisfactory  audits or independent
     accountant reviews of the target company;

          (k) no Default or Event of Default is continuing  immediately prior to
     such Acquisition, and no Default or Event of Default would result from such
     Acquisition;

          (l) the Agent  shall  have  received  satisfactory  evidence  that the
     business to be acquired has complied with, and,  following the consummation
     of the  Acquisition,  is in compliance  with, in all material  respects all
     Applicable  Laws,  (if  Real  Estate  is  being  acquired  as  part  of the
     Acquisition, the Agent shall have received a phase-one environmental survey
     reasonably satisfactory to the Agent);

<PAGE>
                                      -21-

          (m)  reports of  auditors  with  respect to  Accounts  Receivable  and
     inventory  components  of the  acquisition  to be included in the Borrowing
     Base (including  verification with respect to the amount,  aging,  identity
     and credit of the respective  account debtors and verification as to value,
     location and respective type of inventory)  satisfactory to the Agent shall
     have been delivered to the Agent prior to inclusion of the target company's
     assets in the Borrowing Base;

          (n)  prior to the  closing  of the  Acquisition,  the  Borrowers  have
     delivered to the Agent the  definitive  acquisition  documents  between the
     applicable  Borrower or Subsidiary of a Borrower and the applicable selling
     entities; and

          (o) the Agent  shall  have  received  to the extent  requested  by the
     Agent, a favorable legal opinion addressed to the Lenders and the Agent, in
     form and substance  satisfactory to the Agent, from counsel  (including any
     local counsel, as applicable) to the Borrowers.

     Permitted Distributions. Distributions permitted by ss.9.4.

     Permitted Indebtedness. Indebtedness permitted by ss.9.1.

     Permitted Inventory Locations. The distribution locations and manufacturing
facilities  of the  Borrowers or an Approved  Party located in the United States
and listed on Schedule 2 hereto,  as such  Schedule 2 may be  supplemented  from
time to time with the consent of the Agent.

     Permitted Liens. Liens, security interests and other encumbrances permitted
by ss.9.2.

     Person. Any individual,  corporation,  partnership,  trust,  unincorporated
association,  business,  or  other  legal  entity,  and  any  government  or any
governmental agency or political subdivision thereof.

     Property.  Any  interest in any kind of property  or asset,  whether  real,
personal or mixed, and whether tangible or intangible.

     RCRA. See ss.7.18(a).

     Real  Estate.  All real  property at any time owned or leased (as lessee or
sublessee) by the Borrowers or any of their Subsidiaries.

     Record.  The grid attached to a Note, or the  continuation of such grid, or
any other similar record,  including computer records,  maintained by any Lender
with respect to any Loan referred to in such Note.

     Reference  Banks.  Fleet National Bank, and any other Lender  identified by
the Agent as a reference bank if Fleet Capital Corporation is not the Agent.

     Register. See ss.19.3.

     Reimbursement  Obligation.  The  Borrower's  obligation  to  reimburse  the
Issuing  Bank and the  Lenders  on account  of any  drawing  under any Letter of
Credit as provided in ss.4.2.

     Related  Business.  The  business of  reducing,  refining,  processing  and
selling  alumina,  primary  aluminum  and  aluminum  products,  and any business
reasonably related, incidental or ancillary thereto

<PAGE>
                                      -22-

     Revolving Credit  Commitment.  With respect to each Lender,  the amount set
forth on  Schedule 1 hereto as the amount of such  Lender's  commitment  to make
Loans to, and to participate  in the issuance,  extension and renewal of Letters
of Credit for the account  of, the  Borrowers,  as the same may be reduced  from
time to time; or if such  commitment is  terminated  pursuant to the  provisions
hereof, zero.

     RISC. Ravenswood International Sales, Inc., a Barbados corporation.

     SARA. See ss.7.18(a).

     Section 20 Subsidiary. A Subsidiary of the bank holding company controlling
any Lender,  which Subsidiary has been granted  authority by the Federal Reserve
Board to underwrite and deal in certain Ineligible Securities.

     Security  Agreement.  The  Security  Agreement,  dated or to be dated on or
prior to the Closing Date,  between the Borrowers,  the Guarantors and the Agent
in the form of Exhibit J hereto.

     Security  Documents.  The Guarantees,  the Security  Agreement,  the Agency
Account  Agreements,  the Customs Agent Agreements and all other instruments and
documents, including without limitation UCC financing statements, required to be
executed or delivered pursuant to any Security Document.

     Security Instrument. Any security agreement, chattel mortgage,  assignment,
financing  or  similar  statement  or  notice,   continuation  statement,  other
agreement or Instrument  or amendment or  supplement  to any thereof,  providing
for, evidencing or perfecting any Lien.

     Settlement.  The making or receiving of payments,  in immediately available
funds,  by the Lenders,  to the extent  necessary to cause each Lender's  actual
share of the  outstanding  amount  of Loans  (after  giving  effect  to any Loan
Request) to be equal to such Lender's  Commitment  Percentage of the outstanding
amount of such Loans  (after  giving  effect to any Loan  Request),  in any case
where, prior to such event or action, the actual share is not so equal.

     Settlement Amount. See ss.2.10.1.

     Settlement  Date.  (a) The Drawdown Date relating to any Loan Request,  (b)
Friday of each week,  or if a Friday is not a Business  Day,  the  Business  Day
immediately  following  such  Friday,  (c) at the  option of the  Agent,  on any
Business Day  following a day on which the account  officers of the Agent active
upon the Borrower's  account become aware of the existence and continuance of an
Event of Default,  (d) any Business Day on which the amount of Loans outstanding
from Fleet plus Fleet's  Commitment  Percentage of the Letter of Credit Exposure
is equal to or greater than Fleet's Commitment Percentage of the Total Revolving
Credit Commitment,  (e) the Business Day immediately  following any Business Day
on which the amount of Loans  outstanding  increases  or  decreases by more than
$10,000,000  as compared to the previous  Settlement  Date, (f) any day on which
any conversion of a Base Rate Loan to a Eurodollar Rate Loan occurs,  or (g) any
Business Day on which (i) the amount of outstanding Loans decreases and (ii) the
amount of the Agent's Loans outstanding equals zero Dollars ($0).

     Settling Lender. See ss.2.10.1.

     Skyliner. Skyliner, Inc., a Delaware corporation.

<PAGE>
                                      -23-

     Subordinated Debt. Unsecured Indebtedness of the Borrowers or any Guarantor
that is expressly subordinated and made junior to the payment and performance in
full of the Obligations,  and evidenced as such by an intercreditor agreement or
by another written instrument  containing  subordination  provisions in form and
substance approved by the Agent in writing.

     Subordination  Documents.  Documents,  instruments or agreements evidencing
Subordinated Debt.

     Subsidiary. Any corporation,  association,  trust, or other business entity
of which the  designated  parent  shall at any time own  directly or  indirectly
through a Subsidiary or Subsidiaries at least a majority (by number of votes) of
the outstanding Voting Stock; provided,  however, that when used with respect to
the  Borrowers and the  Guarantors,  the term  Subsidiary  shall not include the
European Subsidiary.

     Synthetic  Lease. Any lease treated as an operating lease under GAAP and as
a loan or financing for U.S. income tax purposes.

     Total  Revolving  Credit  Commitment.  The  sum  of  the  Revolving  Credit
Commitments of the Lenders, as in effect from time to time.

     Type. As to any Loan,  its nature as a Base Rate Loan or a Eurodollar  Rate
Loan.

     UCC.  The  Uniform   Commercial  Code,  as  in  effect  in  the  applicable
jurisdiction.

     Uniform Customs.  With respect to any Letter of Credit, the Uniform Customs
and Practice for Documentary Credits (1993 Revision),  International  Chamber of
Commerce  Publication  No. 500 or any successor  version  thereto adopted by the
Issuing Bank in the ordinary course of its business as a letter of credit issuer
and in effect at the time of issuance of such Letter of Credit.

     Unpaid Reimbursement Obligation. Any Reimbursement Obligation or obligation
under any Letter of Credit Guaranty for which the Borrowers do not reimburse the
Issuing Bank, the Agent or the Lenders (as applicable) on the date specified in,
and in accordance with, ss.4.2.

     Vialco.   Virgin  Islands  Alumina  Corporation  LLC,  a  Delaware  limited
liability company.

     Voting Stock. Stock or similar interests,  of any class or classes (however
designated),  the holders of which are at the time entitled, as such holders, to
vote for the  election of a majority  of the  directors  (or persons  performing
similar  functions) of the  corporation,  association,  trust or other  business
entity  involved,  whether  or not the right so to vote  exists by reason of the
happening of a contingency.

<PAGE>
                                      -24-

     1.2. Rules of Interpretation.

          (a) A  reference  to any  document or  agreement  shall  include  such
     document or agreement  as amended,  modified or  supplemented  from time to
     time in accordance with its terms and the terms of this Credit Agreement.

          (b) The  singular  includes  the plural and the  plural  includes  the
     singular.

          (c) A reference  to any  Applicable  Law  includes  any  amendment  or
     modification to such Applicable Law.

          (d) A reference to any Person  includes its permitted  successors  and
     permitted assigns.

          (e)  Accounting  terms not otherwise  defined herein have the meanings
     assigned to them by GAAP  applied on a consistent  basis by the  accounting
     entity to which they refer.

          (f) The words "include", "includes" and "including" are not limiting.

          (g) All terms not specifically  defined herein or by GAAP, which terms
     are defined in the Uniform Commercial Code as in effect in the State of New
     York,  have  the  meanings   assigned  to  them  therein,   with  the  term
     "instrument"  being that defined under Article 9 of the Uniform  Commercial
     Code.

          (h)  Reference  to a  particular  "ss." refers to that section of this
     Credit Agreement unless otherwise indicated.

          (i) The words "herein", "hereof", "hereunder" and words of like import
     shall refer to this Credit  Agreement as a whole and not to any  particular
     section or subdivision of this Credit Agreement.

          (j)  Unless  otherwise  expressly  indicated,  in the  computation  of
     periods of time from a specified date to a later  specified  date, the word
     "from" means "from and including," the words "to" and "until" each mean "to
     but excluding," and the word "through" means "to and including."

          (k) This Credit Agreement and the other Loan Documents may use several
     different  limitations,  tests  or  measurements  to  regulate  the same or
     similar matters. All such limitations, tests and measurements are, however,
     cumulative and are to be performed in accordance with the terms thereof.

          (l) This Credit  Agreement and the other Loan Documents are the result
     of negotiation  among,  and have been reviewed by counsel to, among others,
     the  Agent  and the  Borrower  and  are  the  product  of  discussions  and
     negotiations among all parties.  Accordingly, this Credit Agreement and the
     other Loan Documents are not intended to be construed  against the Agent or
     any of the  Lenders  merely  on  account  of the  Agent's  or any  Lender's
     involvement in the preparation of such documents.

          (m)  References  in ss.7.14  and in  ss.9.2(i)  to the Agent  shall be
     deemed references to Fleet in its capacity as Agent.

<PAGE>
                                      -25-

                        2. THE REVOLVING CREDIT FACILITY.

     2.1.  Commitment to Lend.  Subject to the terms and conditions set forth in
this  Credit  Agreement,  each of the  Lenders  severally  agrees to lend to the
Borrowers and the Borrowers  may borrow,  repay,  and reborrow from time to time
from the Closing Date up to but not  including  the Maturity Date upon notice by
the  Borrowers to the Agent given in  accordance  with ss.2.6,  such sums as are
requested by the Borrowers up to a maximum aggregate amount  outstanding  (after
giving  effect to all amounts  requested) at any one time equal to such Lender's
Revolving  Credit  Commitment minus such Lender's  Commitment  Percentage of all
Letter of Credit  Exposure,  provided that the sum of the outstanding  amount of
the Loans  (after  giving  effect to all amounts  requested)  plus the Letter of
Credit  Exposure  shall  not at any time  exceed  the  lesser  of (i) the  Total
Revolving Credit Commitment and (ii) the Borrowing Base. The Loans shall be made
pro rata in accordance with each Lender's  Commitment  Percentage.  Each request
for a Loan  hereunder  shall  constitute  a  representation  and warranty by the
Borrowers that the conditions set forth in ss.11,  in the case of the conditions
to be satisfied on the Closing Date, and ss.12,  in the case of all other Loans,
have been satisfied on the date of such request.

     2.2. Unused Revolving Credit  Commitment Fee. The Borrowers agree to pay to
the Agent for the accounts of the Lenders in  accordance  with their  respective
Commitment  Percentages  a commitment  fee (the  "Commitment  Fee") in an amount
equal to the  Applicable  Margin  for  Commitment  Fees then in effect per annum
multiplied by the average  daily amount during such calendar  quarter or portion
thereof  by which the Total  Revolving  Credit  Commitment  minus the  Letter of
Credit Exposure exceeds the outstanding  amount of Revolving Credit Loans during
such calendar quarter.  The Commitment Fee shall be payable quarterly in arrears
on the first day of each calendar quarter for the immediately preceding calendar
quarter (or portion  thereof),  commencing on the first such date  following the
date hereof,  with a final  payment on the Maturity  Date or any earlier date on
which the Revolving Credit Commitments shall terminate.

     2.3.  Reduction of Total Revolving Credit  Commitment.  The Borrowers shall
have the right at any time and from time to time  upon  five (5)  Business  Days
prior  written  notice  to the  Agent to reduce  by  $5,000,000  or an  integral
multiple thereof or terminate  entirely the Total Revolving  Credit  Commitment,
whereupon the Revolving  Credit  Commitments of the Lenders shall be reduced pro
rata in accordance with their  respective  Commitment  Percentages of the amount
specified  in such  notice or, as the case may be,  terminated.  Promptly  after
receiving any notice of the  Borrowers  delivered  pursuant to this ss.2.3,  the
Agent will notify the Lenders of the substance thereof.  Upon the effective date
of any such reduction or  termination,  the Borrowers shall pay to the Agent for
the respective  accounts of the Lenders the full amount of any Revolving  Credit
Commitment Fee then accrued on the amount of the reduction.  The Total Revolving
Credit  Commitment  shall never be reduced  pursuant to this ss.2.3 to an amount
less  than the sum of (a) the then  outstanding  amount of the Loans and (b) the
Maximum  Drawing  Amount and all  Reimbursement  Obligations.  No  reduction  or
termination of the Revolving Credit Commitments may be reinstated.

<PAGE>
                                      -26-

     2.4. The Revolving  Credit Notes.  The Loans shall be evidenced by separate
promissory notes of the Borrowers in substantially  the form of Exhibit B hereto
(each a "Note"),  dated as of the Closing Date and  completed  with  appropriate
insertions. One Note shall be payable to the order of each Lender in a principal
amount equal to such  Lender's  Revolving  Credit  Commitment  or, if less,  the
outstanding  amount of all Loans  made by such  Lender,  plus  interest  accrued
thereon, as set forth below. Each Borrower irrevocably authorizes each Lender to
make or cause to be made,  at or about the time of the Drawdown Date of any Loan
or at the time of receipt of any payment of principal on such Lender's  Note, an
appropriate  notation on such Lender's Note Record reflecting the making of such
Loan or (as the case may be) the receipt of such payment. The outstanding amount
of the  Loans  set  forth on such  Lender's  Note  Record  shall be prima  facie
evidence of the principal  amount  thereof owing and unpaid to such Lender,  but
the  failure to record,  or any error in so  recording,  any such amount on such
Lender's Note Record shall not limit or otherwise  affect the obligations of the
Borrower  hereunder or under any Note to make  payments of principal or interest
on any Note when due.

     2.5. Interest on Loans. Except as otherwise provided in ss.5.12,

          (a) Each Base Rate Loan shall bear interest for the period  commencing
     with the  Drawdown  Date thereof and ending on the last day of the Interest
     Period with respect thereto at the rate per annum of the Base Rate plus the
     Applicable Margin.

          (b) Each  Eurodollar  Rate Loan  shall  bear  interest  for the period
     commencing with the Drawdown Date thereof and ending on the last day of the
     Interest  Period  with  respect  thereto  at  the  rate  per  annum  of the
     Eurodollar  Rate  determined  for such Interest  Period plus the Applicable
     Margin.

          (c) The Borrowers promise to pay interest on the Loans, or any portion
     thereof  outstanding  during  such  Interest  Period,  in  arrears  on each
     Interest Payment Date with respect thereto.

<PAGE>
                                      -27-

     2.6. Requests for Loans.

          2.6.1.  General.  The  Borrowers  shall give to the Agent (a)  written
     notice in the form of  Exhibit  C hereto,  (b)  telephonic  notice,  or (c)
     electronic  transmittal  in the form of  Exhibit  C  hereto,  of each  Loan
     requested  hereunder  (any such  request a "Loan  Request")  not later than
     12:00 noon (Chicago,  Illinois,  time) on the proposed Drawdown Date of any
     Base Rate Loan and (ii)  three (3)  Eurodollar  Business  Days prior to the
     proposed  Drawdown Date of any Eurodollar  Rate Loan;  provided that at all
     times  during  the  continuance  of a  Default  or Event of  Default,  each
     telephonic  notice shall be confirmed in a writing in the form of Exhibit C
     hereto. Each such notice shall specify (A) the principal amount of the Loan
     requested,  (B) the proposed  Drawdown Date of such Loan,  (C) the Interest
     Period for such Loan and (D) the Type of such Loan.  Promptly  upon receipt
     of any such  notice,  the Agent shall  notify each of the Lenders  thereof.
     Each Loan Request shall be irrevocable and binding on each of the Borrowers
     and shall  obligate  the  Borrowers to accept the Loan  requested  from the
     Lenders on the proposed  Drawdown  Date.  Each Loan Request for  Eurodollar
     Rate  Loans  shall be in a minimum  aggregate  amount of  $1,000,000  or an
     integral  multiple  of  $100,000 in excess  thereof.  Unless the  Borrowers
     specifically  direct  the  Agent  in  writing  not to  accept  or act  upon
     telephonic or electronic Loan Requests from any Borrower, neither the Agent
     nor any Lender shall have any  liability to the  Borrowers  for any loss or
     damage  suffered by the  Borrowers  as a result of Agent's or any  Lender's
     honoring   any  Loan  Request   communicated   to  it   telephonically   or
     electronically  and purporting to have been sent to Agent or a Lender by an
     Authorized  Officer of any  Borrower,  and neither the Agent nor any Lender
     shall have any duty to verify the origin of any such  communication  or the
     authority of the Person sending it.

          2.6.2.  Swing  Line.  Notwithstanding  the notice and  minimum  amount
     requirements  set forth in ss.2.6.1 but  otherwise in  accordance  with the
     terms and conditions of this Credit  Agreement,  the Agent may, in its sole
     discretion  and  without  conferring  with the  Lenders,  make Loans to the
     Borrowers (i) by entry of credits to Century  Aluminum's  operating account
     (No.  563-90229) or any other  account(s) of the Borrowers (the  "Operating
     Accounts")  with the  Agent or its  Affiliates  to  cover  checks  or other
     charges  which  the  applicable  Borrower  has drawn or made  against  such
     account or (ii) in an amount as otherwise  requested by the Borrowers.  The
     Borrowers  hereby request and authorize the Agent to make from time to time
     such Loans by means of  appropriate  entries of such credits  sufficient to
     cover checks and other charges then presented for payment from an Operating
     Account  or  as  otherwise  so  requested.  The  Agent  and  the  Borrowers
     acknowledge and agree that the making of such Loans shall, in each case, be
     subject in all respects to the  provisions  of this Credit  Agreement as if
     they were Loans covered by a Loan Request (other than the  requirement  for
     an immediate Settlement) including, without limitation, the limitations set
     forth in ss.2.1 and the  requirements  that the  applicable  provisions  of
     ss.11  (in the  case of  Loans  made on the  Closing  Date)  and  ss.12  be
     satisfied.  All actions  taken by the Agent  pursuant to the  provisions of
     this  ss.2.6.2  shall be  conclusive  and binding on the  Borrowers and the
     Lenders absent the Agent's gross  negligence or willful  misconduct.  Loans
     made pursuant to this ss.2.6.2 shall be Base Rate Loans until  converted in
     accordance  with the  provisions of the Credit  Agreement  and,  prior to a
     Settlement, such interest shall be for the account of the Agent.

<PAGE>
                                      -28-

     2.7. Conversion Options.

          2.7.1.  Conversion to Different  Type of Loan. The Borrowers may elect
     from time to time to  convert  any  outstanding  Loan to a Loan of  another
     Type, provided that (i) with respect to any such conversion of a Eurodollar
     Rate Loan to a Base Rate Loan, the Borrowers  shall give the Agent at least
     one (1)  Business  Day prior  written  notice of such  election;  (ii) with
     respect to any such  conversion  of a Base Rate Loan to a  Eurodollar  Rate
     Loan,  the  Borrowers  shall give the Agent at least  three (3)  Eurodollar
     Business Days prior written notice of such election;  (iii) with respect to
     any such  conversion of a Eurodollar  Rate Loan into a Base Rate Loan, such
     conversion  shall only be made on the last day of the Interest  Period with
     respect  thereto and (iv) no Loan may be converted  into a Eurodollar  Rate
     Loan when any Default or Event of Default has occurred  and is  continuing.
     On the date on which such  conversion  is being made each Lender shall take
     such action as is necessary to transfer its  Commitment  Percentage of such
     Loans to its Domestic Lending Office or its Eurodollar  Lending Office,  as
     the case may be.  All or any part of  outstanding  Loans of any Type may be
     converted into a Loan of another Type as provided herein, provided that any
     partial  conversion  shall be in a minimum  aggregate  principal  amount of
     $1,000,000  or an integral  multiple of  $100,000 in excess  thereof.  Each
     Conversion Request relating to the conversion of a Revolving Credit Loan to
     a Eurodollar Rate Loan shall be irrevocable by the Borrowers.

          2.7.2.  Continuation  of Type of  Loan.  Any  Loan of any  Type may be
     continued  as a Loan of the same Type upon the  expiration  of an  Interest
     Period with respect  thereto by compliance by the Borrowers with the notice
     provisions contained in ss.2.7.1; provided that no Eurodollar Rate Loan may
     be  continued as such when any Default or Event of Default has occurred and
     is continuing,  and during any Default or Event of Default  Eurodollar Rate
     Loans shall be automatically  converted to a Base Rate Loan on the last day
     of the first Interest Period relating thereto ending during the continuance
     of any Default or Event of Default of which  officers  of the Agent  active
     upon the Borrowers'  account have actual  knowledge.  In the event that the
     Borrowers fail to provide any such notice with respect to the  continuation
     of any Eurodollar  Rate Loan as such,  then such Eurodollar Rate Loan shall
     be automatically converted to a Base Rate Loan on the last day of the first
     Interest  Period relating  thereto.  The Agent shall notify the Lenders and
     the Borrowers promptly when any such automatic  conversion  contemplated by
     this ss.2.7 is scheduled to occur.

          2.7.3.  Eurodollar  Rate Loans.  Any conversion to or from  Eurodollar
     Rate Loans shall be in such amounts and be made pursuant to such  elections
     so that, after giving effect thereto, (a) the aggregate principal amount of
     all Eurodollar Rate Loans having the same Interest Period shall not be less
     than  $1,000,000 or an integral  multiple of $100,000 in excess thereof and
     (b) no more than five (5) Eurodollar Rate Loans shall be outstanding at any
     time.

<PAGE>
                                      -29-

     2.8. Funds for Loan.

          2.8.1.  Funding  Procedures.   Not  later  than  2:00  p.m.  (Chicago,
     Illinois,  time) on the  proposed  Drawdown  Date of any Loan,  each of the
     Lenders will make available to the Agent, at the Agent's Payment Office, in
     immediately  available  funds,  the  amount  of  such  Lender's  Commitment
     Percentage  of the amount of the  requested  Loan.  Upon  receipt from each
     Lender of such  amount,  and upon  receipt  of the  documents  required  by
     ss.ss.11  and 12 and the  satisfaction  of the other  conditions  set forth
     therein,  to the extent  applicable,  the Agent will make  available to the
     Borrowers the aggregate  amount of such Loan made available to the Agent by
     the Lenders.  The failure or refusal of any Lender to make available to the
     Agent at the  aforesaid  time and place on any Drawdown  Date the amount of
     its Commitment Percentage of the requested Loan shall not relieve any other
     Lender from its several obligation hereunder to make available to the Agent
     the amount of such other  Lender's  Commitment  Percentage of any requested
     Loan.

          2.8.2.  Advances  by Agent.  The Agent  may,  unless  notified  to the
     contrary by any Lender  prior to a Drawdown  Date,  assume that such Lender
     has made  available to the Agent on such  Drawdown  Date the amount of such
     Lender's  Commitment  Percentage  of the Loans to be made on such  Drawdown
     Date, and the Agent may (but it shall not be required to), in reliance upon
     such assumption, make available to the Borrowers a corresponding amount. If
     any Lender  makes  available  to the Agent such amount on a date after such
     Drawdown Date, such Lender shall pay to the Agent on demand an amount equal
     to the product of (i) the average  computed  for the period  referred to in
     clause (iii) below, of the weighted average interest rate paid by the Agent
     for federal  funds  acquired by the Agent  during each day included in such
     period,  times (ii) the amount of such  Lender's  Commitment  Percentage of
     such Loans, times (iii) a fraction, the numerator of which is the number of
     days that elapse from and including such Drawdown Date to the date on which
     the amount of such  Lender's  Commitment  Percentage  of such  Loans  shall
     become immediately  available to the Agent, and the denominator of which is
     365. A statement of the Agent  submitted to such Lender with respect to any
     amounts  owing under this  paragraph  shall be prima facie  evidence of the
     amount  due and owing to the Agent by such  Lender.  If the  amount of such
     Lender's  Commitment  Percentage of such Loans is not made available to the
     Agent by such Lender within three (3) Business Days following such Drawdown
     Date, the Agent shall be entitled to recover such amount from the Borrowers
     on demand,  with interest  thereon at the rate per annum  applicable to the
     Loans made on such Drawdown Date.

<PAGE>
                                      -30-

     2.9. Change in Borrowing Base.

          (a) The  Borrowing  Base shall be determined by the Agent by reference
     to  the  Borrowing  Base  Report  required  to  be  delivered  pursuant  to
     ss.8.4(f)(A).

          (b) The Agent may, in its  reasonable  discretion,  from time to time,
     reduce the  Borrowing  Base by such amounts  ("Reserves")  as the Agent may
     from time to time establish and revise (a) to reflect  events,  conditions,
     contingencies  or risks  which do or may  adversely  affect  either (A) any
     Collateral, the rights of the Agent or any of the Lenders in any Collateral
     or its value or (B) the security  interest and other rights of the Agent or
     any of  the  Lenders  in  the  Collateral  (including  the  enforceability,
     perfection and priority  thereof) or (b) to reflect the belief of the Agent
     that any  Borrowing  Base Report or other  collateral  report or  financial
     information  furnished by or on behalf of the Borrowers to the Agent or any
     of the Lenders is or may have been incomplete,  inaccurate or misleading in
     any  material  respect.  Reserves  may  include,  but are not  limited  to:
     reserves to reflect (a) an increase in the dilution of Accounts Receivable,
     (b) material  changes in the number of days turnover in inventory,  (c) the
     deterioration in any material respect of the liquidation value of inventory
     or a change in the mix of  inventory,  (d)  taxes  and  other  governmental
     charges, whether ad valorem,  personal property or otherwise and whether or
     not the tax claims  therefor may have  priority  over the Agent's  security
     interest in any of the Collateral,  (e) any customs, duty, freight or other
     out-of-pocket  costs or  expenses  required  or  advisable  to  "land"  any
     Eligible Inventory the purchase of which is supported by a Letter of Credit
     and (f) any offset  claims which an account  debtor has against any Account
     Receivable.

          (c) The Agent shall give to the Borrowers written notice of any change
     in the  Borrowing  Base  determined  by the  Agent.  Such  notice  shall be
     effective  immediately  upon its receipt by the Borrowers.  Notwithstanding
     anything  contained  in  this  Agreement  to the  contrary,  it  shall  not
     constitute  an Event of Default  (but shall  constitute  a Default)  to the
     extent  that the  Loans,  and all  Letter of Credit  Exposure  exceeds  the
     Borrowing Base as adjusted pursuant to this Section 2.9 until five (5) days
     after the Borrowers receipt of notice of such change in the Borrowing Base.

     2.10. Settlements.

          2.10.1.  General.  On each Settlement Date, the Agent shall, not later
     than 12:00 noon (Chicago,  Illinois,  time),  give  telephonic or facsimile
     notice (i) to the Lenders and the Borrowers of the  respective  outstanding
     amount  of  Loans  made by the  Agent on  behalf  of the  Lenders  from the
     immediately  preceding Settlement Date through the close of business on the
     prior day and the amount of any Eurodollar Rate Loans to be made (following
     the giving of notice pursuant to  ss.2.6.1(ii))  on such date pursuant to a
     Loan Request and (ii) to the Lenders of the amount (a "Settlement  Amount")
     that each Lender (a "Settling  Lender") shall pay to effect a Settlement of
     any  Loan.  A  statement  of the Agent  submitted  to the  Lenders  and the
     Borrowers or to the Lenders  with  respect to any amounts  owing under this
     ss.2.10  shall be prima facie  evidence  of the amount due and owing.  Each
     Settling Lender shall, not later than 2:00 p.m. (Chicago,  Illinois,  time)
     on such Settlement  Date,  effect a wire transfer of immediately  available
     funds to the Agent in the amount of the Settlement Amount for such Settling
     Lender.  All funds advanced by any Lender as a Settling  Lender pursuant to
     this  ss.2.10  shall for all  purposes  be  treated  as a Loan made by such
     Settling  Lender to the  applicable  Borrower and all funds received by any

<PAGE>
                                      -31-

     Lender  pursuant  to this  ss.2.10  shall for all  purposes  be  treated as
     repayment of amounts owed with respect to Loans made by such Lender. In the
     event that any  bankruptcy,  reorganization,  liquidation,  receivership or
     similar  cases or  proceedings  in which any of the  Borrowers are a debtor
     prevent a Settling  Lender from making any Loan to effect a  Settlement  as
     contemplated  hereby,  such Settling Lender will make such dispositions and
     arrangements  with the other Lenders with respect to such Loans,  either by
     way of purchase of  participations,  distribution,  pro tanto assignment of
     claims,  subrogation or otherwise as shall result in each Lender's share of
     the  outstanding  Loans being equal,  as nearly as may be, to such Lender's
     Commitment Percentage of the outstanding amount of the Loans.

          2.10.2.  Failure  to Make  Funds  Available.  The  Agent  may,  unless
     notified to the contrary by any Settling Lender prior to a Settlement Date,
     assume that such  Settling  Lender has made or will make  available  to the
     Agent  on  such  Settlement  Date  the  amount  of such  Settling  Lender's
     Settlement  Amount, and the Agent may (but it shall not be required to), in
     reliance upon such assumption,  make available to the applicable Borrower a
     corresponding  amount.  If any Settling Lender makes available to the Agent
     such amount on a date after such  Settlement  Date,  such  Settling  Lender
     shall pay to the Agent on demand an amount  equal to the product of (i) the
     average  computed for the period  referred to in clause (iii) below, of the
     weighted average interest rate paid by the Agent for federal funds acquired
     by the Agent during each day included in such period, times (ii) the amount
     of such Settlement Amount,  times (iii) a fraction,  the numerator of which
     is the number of days that elapse from and including such  Settlement  Date
     to the date on which the  amount of such  Settlement  Amount  shall  become
     immediately  available to the Agent, and the denominator of which is 360. A
     statement of the Agent  submitted to such  Settling  Lender with respect to
     any amounts owing under this ss.2.10.2 shall be prima facie evidence of the
     amount due and owing to the Agent by such Settling Lender. If such Settling
     Lender's  Settlement  Amount  is not made  available  to the  Agent by such
     Settling  Lender within three (3) Business Days following  such  Settlement
     Date,  the  Agent  shall  be  entitled  to  recover  such  amount  from the
     applicable  Borrower on demand, with interest thereon at the rate per annum
     applicable to the Loans as of such Settlement Date.

          2.10.3.  No Effect on Other  Lenders.  The  failure  or refusal of any
     Settling  Lender to make  available to the Agent at the aforesaid  time and
     place  on  any  Settlement  Date  the  amount  of  such  Settling  Lender's
     Settlement  Amount shall not (i) relieve any other Settling Lender from its
     several obligations  hereunder to make available to the Agent the amount of
     such other  Settling  Lender's  Settlement  Amount or (ii)  impose upon any
     Lender,  other  than the  Settling  Lender  so  failing  or  refusing,  any
     liability with respect to such failure or refusal or otherwise increase the
     Revolving Credit Commitment of such other Lender.

<PAGE>
                                      -32-

     2.11. Repayments of Revolving Credit Loans Prior to Event of Default.

          2.11.1.  Credit for Funds Received in Fleet Blocked Account.  Prior to
     the  occurrence of an Event of Default as to which the account  officers of
     the Agent active upon the Borrowers' account have actual knowledge, (i) all
     funds  and  cash  proceeds  in the form of  money,  checks  and like  items
     received in the Fleet Blocked  Account as  contemplated by ss.8.13 shall be
     credited,  on the same Business Day on which the Agent determines that good
     collected  funds  have been  received,  and,  prior to the  receipt of good
     collected  funds,  on a  provisional  basis  until  final  receipt  of good
     collected funds,  and applied as contemplated by ss.2.11.2,  (ii) all funds
     and cash  proceeds  in the form of a wire  transfer  received  in the Fleet
     Blocked  Account as  contemplated  by ss.8.13 shall be credited on the same
     Business  Day as the Agent's  receipt of such  amounts (or up to such later
     date as the Agent determines that good collected funds have been received),
     and  applied as  contemplated  by  ss.2.11.2,  and (iii) all funds and cash
     proceeds in the form of an automated  clearing house  transfer  received in
     the Fleet Blocked Account as contemplated by ss.8.13 shall be credited,  on
     the next Business Day following the Agent's  receipt of such amounts (or up
     to such later date as the Agent  determines  that good collected funds have
     been received),  and applied as contemplated by ss.2.11.2.  For purposes of
     the foregoing  provisions of this ss.2.11.1,  the Agent shall not be deemed
     to have received any such funds or cash proceeds on any day unless received
     by the Agent before 1:00 p.m. (Chicago,  Illinois,  time) on such day. Each
     of the Borrowers further  acknowledges and agrees that any such provisional
     credits or credits in respect of wire or  automatic  clearing  house  funds
     transfers shall be subject to reversal if final collection in good funds of
     the  related  item is not  received  by, or final  settlement  of the funds
     transfer is not made in favor of, the Agent in accordance  with the Agent's
     customary  procedures  and practices for  collecting  provisional  items or
     receiving settlement of funds transfers.

          2.11.2. Application of Payments Prior to Event of Default.

               (a) Prior to the  occurrence  of an Event of Default of which the
          account  officers of the Agent active on the  Borrowers'  account have
          knowledge,  all funds transferred to the Fleet Blocked Account and for
          which the  Borrowers  have  received  credits  shall be applied to the
          Obligations as follows:

                    (i) first,  to pay amounts  then due and payable  under this
               Credit Agreement, the Notes and the other Loan Documents;

                    (ii)  second,  to reduce  Loans  made by the Agent  pursuant
               to ss.2.6.2 and for which Settlement has not then been made;

                    (iii)  third,  to  reduce  other  Loans  which are Base Rate
               Loans;

                    (iv)  fourth,  to reduce  Loans  which are  Eurodollar  Rate
               Loans; and

                    (v) fifth,  except as otherwise  required by  ss.4.2(b)  and
               (c), to an Operating Account specified by Century Aluminum.

               (b) All  prepayments of Eurodollar Rate Loans prior to the end of
          an Interest  Period shall  obligate the  Borrowers to pay any Breakage
          Costs  associated  with such  Eurodollar Rate Loans in accordance with
          ss.5.11. Prior to the occurrence of an Event of Default, the Borrowers
          may elect to avoid such Breakage  Costs by having such funds placed in
          an Operating Account.

<PAGE>
                                      -33-

               (c) All prepayments of the Loans pursuant to this ss.2.11.2 shall
          be allocated  among the Lenders making such Loans,  in proportion,  as
          nearly as practicable,  to the respective  unpaid  principal amount of
          such Loans outstanding,  with adjustments to the extent practicable to
          equalize any prior  payments or repayments  not exactly in proportion.
          Prior to any Settlement  Date,  however,  all prepayments of the Loans
          shall  be  applied  in  accordance  with  this  ss.2.11.2,   first  to
          outstanding Loans of the Agent.

     2.12. Repayments of Loans After Event of Default.  Following the occurrence
and during the continuance of an Event of Default of which the account  officers
of the  Agent  active  on the  Borrowers'  account  have  knowledge,  all  funds
transferred  to the Fleet  Blocked  Account  and for which  the  Borrowers  have
received credits shall be applied to the Obligations in accordance with ss.13.4.

                           3. REPAYMENT OF THE LOANS.

     3.1. Maturity. The Borrowers absolutely and unconditionally and jointly and
severally promise to pay on the Maturity Date, and there shall become absolutely
due and payable on the Maturity Date, all of the Loans outstanding on such date,
together with any and all accrued and unpaid  interest  thereon and all fees and
expenses  incurred  by the  Lenders and the Agent in  connection  therewith  and
payable by the Borrowers hereunder.

     3.2.  Mandatory  Repayments  of  Loans.  If at  any  time  the  sum  of the
outstanding  amount of the Loans,  and all Letter of Credit Exposure exceeds the
lesser of (i) the Total Revolving Credit Commitment and (ii) the Borrowing Base,
then the Borrowers shall  immediately pay the amount of such excess to the Agent
for the respective accounts of the Lenders for application: first, to any Unpaid
Reimbursement  Obligations;  second,  to the Loans; and third, to provide to the
Agent cash collateral for Reimbursement Obligations as contemplated by ss.4.2(b)
and (c). Each payment of any Unpaid  Reimbursement  Obligations or prepayment of
Loans  shall be  allocated  among  the  Lenders,  in  proportion,  as  nearly as
practicable,  to  each  Reimbursement  Obligation  or (as the  case  may be) the
respective  unpaid  principal  amount of each Lender's Note, with adjustments to
the extent  practicable to equalize any prior payments or repayments not exactly
in proportion.

<PAGE>
                                      -34-

     3.3.  Optional  Repayments of Loans. The Borrowers shall have the right, at
their election,  to repay the outstanding  amount of the Loans, as a whole or in
part,  at any time without  penalty or premium (but subject to ss.5.11).  Except
for payments applied in accordance with ss.2.11.2,  the Borrowers shall give the
Agent,  no later than 11:00 a.m.,  Chicago,  Illinois,  time, at least three (3)
Business Days prior written notice of any proposed  prepayment  pursuant to this
ss.3.3 of Base Rate Loans,  and four (4) Eurodollar  Business Days notice of any
proposed  prepayment  pursuant to this ss.3.3 of Eurodollar  Rate Loans, in each
case  specifying  the proposed  date of  prepayment  of Loans and the  principal
amount to be prepaid.  Each such partial  prepayment of the Loans shall be in an
integral  multiple  of  $1,000,000  and  shall be  applied,  in the  absence  of
instruction by the Borrowers, first to the principal of Base Rate Loans and then
to the principal of Eurodollar Rate Loans,  at the Agent's option.  Each partial
prepayment  shall be allocated  among the Lenders,  in proportion,  as nearly as
practicable,  to the respective  unpaid  principal amount of each Lender's Note,
with adjustments to the extent  practicable to equalize any prior repayments not
exactly in proportion.

                              4. LETTERS OF CREDIT.

     4.1. Letter of Credit Commitments.

          4.1.1. Commitment to Issue Letters of Credit. Subject to the terms and
     conditions  hereof and the  execution  and  delivery by the  Borrowers of a
     letter  of credit  application  on the  Issuing  Bank's  customary  form (a
     "Letter of Credit Application"),  the Agent shall cause the Issuing Bank on
     behalf of the Lenders and in reliance upon the agreement of the Lenders set
     forth in  ss.4.1.4  and  upon the  representations  and  warranties  of the
     Borrowers  contained herein, in its individual  capacity,  to issue, extend
     and renew for the account of a Borrower one or more standby or  documentary
     letters of credit (individually, a "Letter of Credit"), in such form as may
     be requested from time to time by the applicable  Borrower and agreed to by
     the Issuing  Bank;  provided,  however,  that,  after giving effect to such
     request,  (a) the Letter of Credit Exposure shall not exceed $10,000,000 at
     any one time and (b) the sum of (i) the  Letter  of Credit  Exposure  plus,
     (ii) the amount of all Loans outstanding shall not exceed the lesser of (A)
     the Total Revolving Credit Commitment and (B) the Borrowing Base.

          4.1.2.   Letter  of  Credit   Applications.   Each  Letter  of  Credit
     Application  shall be completed to the satisfaction of the Issuing Bank. In
     the event that any provision of any Letter of Credit  Application  shall be
     inconsistent  with  any  provision  of  this  Credit  Agreement,  then  the
     provisions  of this  Credit  Agreement  shall,  to the  extent  of any such
     inconsistency, govern.

          4.1.3.  Terms of  Letters  of Credit.  Each  Letter of Credit  issued,
     extended or renewed  hereunder shall,  among other things,  (i) provide for
     the  payment  of sight  drafts  for  honor  thereunder  when  presented  in
     accordance  with the terms  thereof and when  accompanied  by the documents
     described therein, and (ii) have an expiry date no later than 365 days from
     the date of issuance  and a final expiry date no later than  fourteen  (14)
     days (or, if the Letter of Credit is  confirmed by a confirmer or otherwise
     provides for one or more nominated persons,  forty-five (45) days) prior to
     the  Maturity  Date.  Each Letter of Credit so issued,  extended or renewed
     shall be subject to the Uniform Customs or, in the case of a standby Letter
     of  Credit,  either  the  Uniform  Customs  or  the  International  Standby
     Practices.

<PAGE>
                                      -35-

          4.1.4.  Reimbursement  Obligations of Lenders.  Each Lender  severally
     agrees that it shall be absolutely liable, without regard to the occurrence
     of any  Default  or Event  of  Default  or any  other  condition  precedent
     whatsoever,  to the  extent  of such  Lender's  Commitment  Percentage,  to
     reimburse  the  Agent as issuer of the  Letter  of Credit  Guaranty  or, as
     applicable,  the Issuing  Bank, on demand for the amount of each draft paid
     by the  Issuing  Bank under each  Letter of Credit to the extent  that such
     amount  is not  reimbursed  by  the  Borrowers  pursuant  to  ss.4.2  (such
     agreement   for  a  Lender  being  called  herein  the  "Letter  of  Credit
     Participation" of such Lender).

          4.1.5.  Participations of Lenders.  Each such payment made by a Lender
     shall be treated as the purchase by such Lender of a participating interest
     in the Borrowers'  Reimbursement Obligation under ss.4.2 in an amount equal
     to  such  payment.   Each  Lender  shall  share  in  accordance   with  its
     participating interest in any interest which accrues pursuant to ss.4.2.

     4.2.  Reimbursement  Obligation  of the  Borrowers.  In order to induce the
Agent to issue the Letter of Credit  Guaranty,  and the  Issuing  Bank to issue,
extend and renew each Letter of Credit and the Lenders to  participate  therein,
each Borrower  hereby  jointly and  severally  agrees to reimburse or pay to the
Agent or, as applicable the Issuing Bank, for the account of the Agent,  Issuing
Bank or (as the case may be) the Lenders,  with respect to each Letter of Credit
issued, extended or renewed by the Issuing Bank hereunder,

          (a) except as otherwise  expressly  provided in ss.4.2(b)  and (c), on
     each date that any draft  presented  under such Letter of Credit is honored
     by the Issuing  Bank,  or the Issuing Bank  otherwise  makes a payment with
     respect  thereto,  (i) the amount  paid by the  Issuing  Bank under or with
     respect to such Letter of Credit,  and (ii) the amount of any taxes,  fees,
     charges or other costs and expenses whatsoever incurred by the Issuing Bank
     or any Lender in  connection  with any payment  made by the Issuing Bank or
     any Lender under, or with respect to, such Letter of Credit,

          (b) upon the reduction (but not  termination)  of the Total  Revolving
     Credit  Commitment to an amount less than the Maximum  Drawing  Amount,  an
     amount equal to such difference,  which amount shall be held by the Issuing
     Bank or by the Agent for the benefit of the  Lenders,  the Issuing Bank and
     the Agent as cash collateral for all Reimbursement Obligations, and

          (c) upon the termination of the Total Revolving Credit Commitment,  or
     the  acceleration  of the  Reimbursement  Obligations  with  respect to all
     Letters of Credit in  accordance  with ss.13,  an amount  equal to the then
     Maximum Drawing Amount on all Letters of Credit, which amount shall be held
     by the  Issuing  Bank or by the Agent for the benefit of the  Lenders,  the
     Issuing  Bank  and the  Agent  as  cash  collateral  for all  Reimbursement
     Obligations.

<PAGE>
                                      -36-

Each such payment shall be made to the Issuing Bank at the Issuing Bank's Letter
of Credit Office in immediately available funds. Interest on any and all amounts
remaining  unpaid by the  Borrower  under this  ss.4.2 at any time from the date
such  amounts  become due and  payable  (whether  as stated in this  ss.4.2,  by
acceleration  or  otherwise)  until  payment  in full  (whether  before or after
judgment)  shall be payable to the Issuing Bank on demand at the rate  specified
in ss.5.12 for overdue principal on the Revolving Credit Loans.

     4.3.  Letter of Credit  Payments.  If any draft shall be presented or other
demand for payment  shall be made under any Letter of Credit,  the Issuing  Bank
shall  notify the  Borrowers  of the date and amount of the draft  presented  or
demand for payment and of the date and time when it expects to pay such draft or
honor such demand for payment.  If the Borrowers  fails to reimburse the Issuing
Bank as  provided  in ss.4.2 on or  before  the date that such  draft is paid or
other  payment is made by the Issuing  Bank,  the  Issuing  Bank may at any time
thereafter  notify the  Lenders of the amount of any such  Unpaid  Reimbursement
Obligation.  No later  than 3:00 p.m.  (Boston  time) on the  Business  Day next
following  the receipt of such notice,  each Lender shall make  available to the
Agent, at the Agent's  Payment  Office,  in immediately  available  funds,  such
Lender's Commitment Percentage of such Unpaid Reimbursement Obligation, together
with an amount equal to the product of (i) the average,  computed for the period
referred to in clause (iii) below, of the weighted average interest rate paid by
the Issuing Bank for federal funds  acquired by the Issuing Bank during each day
included in such period, times (ii) the amount equal to such Lender's Commitment
Percentage of such Unpaid Reimbursement Obligation,  times (iii) a fraction, the
numerator of which is the number of days that elapse from and including the date
the Issuing Bank paid the draft presented for honor or otherwise made payment to
the  date  on  which  such  Lender's   Commitment   Percentage  of  such  Unpaid
Reimbursement obligation shall become immediately available to the Issuing Bank,
and the  denominator  of which is 360. The  responsibility  of the Agent and the
Issuing Bank to the Borrower and the Lenders shall be only to determine that the
documents  (including  each  draft)  delivered  under  each  Letter of Credit in
connection with such presentment shall be in conformity in all material respects
with such Letter of Credit.

     4.4.  Obligations  Absolute.  Each Borrower's  obligations  under this ss.4
shall be joint and  several and  absolute  and  unconditional  under any and all
circumstances  and  irrespective  of the  occurrence  of any Default or Event of
Default or any condition  precedent  whatsoever or any setoff,  counterclaim  or
defense to payment  which any  Borrower may have or have had against the Issuing
Bank, the Agent any Lender or any beneficiary of a Letter of Credit. Each of the
Borrowers  further  agrees with the Issuing Bank, the Agent and the Lenders that
the Issuing Bank,  the Agent and the Lenders shall not be  responsible  for, and
the Borrowers' Reimbursement  Obligations under ss.4.2 shall not be affected by,
among  other  things,  the  validity  or  genuineness  of  documents  or of  any
endorsements  thereon,  even if such documents should in fact prove to be in any
or all respects  invalid,  fraudulent or forged, or any dispute between or among
the  Borrowers,  the  beneficiary  of any  Letter  of  Credit  or any  financing
institution  or other party to which any Letter of Credit may be  transferred or
any claims or defenses  whatsoever of the Borrowers  against the  beneficiary of
any Letter of Credit or any such transferee. The Issuing Bank, the Agent and the
Lenders shall not be liable for any error,  omission,  interruption  or delay in
transmission,   dispatch  or   delivery  of  any  message  or  advice,   however
transmitted,  in connection with any Letter of Credit. Each Borrower agrees that
any action taken or omitted by the Issuing  Bank,  the Agent or any Lender under
or in  connection  with  each  Letter  of  Credit  and the  related  drafts  and
documents,  if done in good faith,  shall be binding upon each of the  Borrowers
and shall not result in any liability on the part of the Issuing Bank, the Agent
or any  Lender  to any of the  Borrowers.  Notwithstanding  the  foregoing,  the
Borrowers shall have no obligation hereunder to any Person indemnified hereunder
with respect to liabilities arising solely from such indemnified  Person's gross
negligence or willful misconduct.

<PAGE>
                                      -37-

     4.5. Reliance by Issuer.  To the extent not inconsistent  with ss.4.4,  the
Issuing  Bank and the  Agent  shall be  entitled  to  rely,  and  shall be fully
protected in relying upon,  any Letter of Credit,  draft,  writing,  resolution,
notice, consent, certificate,  affidavit, letter, cablegram, telegram, telecopy,
telex or teletype message,  statement, order or other document believed by it to
be  genuine  and  correct  and to have been  signed,  sent or made by the proper
Person or Persons and upon advice and statements of legal  counsel,  independent
accountants  and other experts  selected by the Issuing Bank and the Agent.  The
Issuing  Bank and the Agent shall be fully  justified  in failing or refusing to
take any action under this Credit  Agreement unless it shall first have received
such  advice or  concurrence  of the  Majority  Lenders as it  reasonably  deems
appropriate or it shall first be indemnified to its reasonable  satisfaction  by
the Lenders  against any and all  liability and expense which may be incurred by
it by reason of taking or continuing  to take any such action.  The Issuing Bank
and the Agent shall in all cases be fully protected in acting,  or in refraining
from acting,  under this Credit  Agreement in  accordance  with a request of the
Majority  Lenders,  and such  request  and any  action  taken or  failure to act
pursuant thereto shall be binding upon the Lenders and all future holders of the
Notes or of a Letter of Credit Participation.

     4.6.  Letter of Credit Fee. The Borrowers  shall pay to the Agent a fee (in
each  case,  a "Letter  of Credit  Fee") in  respect of Letters of Credit on the
average  daily  Maximum  Drawing  Amount at a rate per  annum  equal to (a) with
respect to each standby Letter of Credit,  the Applicable  Margin for Eurodollar
Rate Loans per annum from time to time  applicable  and (b) with respect to each
documentary  Letter of Credit,  the Applicable  Margin for Eurodollar Rate Loans
per annum from time to time  applicable  minus  one-half of one percent  (1/2%),
such Letter of Credit Fees being  payable  quarterly in arrears on the first day
of each calendar  quarter and on the Maturity  Date. A portion of such Letter of
Credit  Fees equal to  one-quarter  of one  percent  (1/4%)  per annum  shall be
payable to the Agent for its own  account  and the  remainder  of such Letter of
Credit  Fees  shall be  payable  to the Agent for the  ratable  accounts  of the
Lenders  in  accordance  with  their  respective  Commitment  Percentages.   The
Borrowers  shall  also pay to the  Issuing  Bank,  at such time or times as such
charges are customarily  made by the Issuing Bank, the Issuing Bank's  customary
issuance  fees or  amendment  fees,  as the case may be, and the Issuing  Bank's
customary time negotiation fees per document examination or other administrative
fees.

<PAGE>
                                      -38-

                         5. CERTAIN GENERAL PROVISIONS.

     5.1.  Closing Fee. The  Borrowers  agree to pay to the Agent on the Closing
Date a closing fee (the "Closing Fee") in the amounts and at the times set forth
in the Commitment Letter and Fee Letter.

     5.2. Agent's Fee. The Borrowers shall pay to the Agent, for the Agent's own
account,  an Agent's fee (the "Agent's Fee") in the amounts and at the times set
forth in the Commitment Letter and Fee Letter

     5.3. Funds for Payments.

          5.3.1.  Payments  to  Agent.  All  payments  of  principal,  interest,
     Reimbursement  Obligations,  Fees and any other  amounts due  hereunder  or
     under any of the other Loan Documents shall be made on the due date thereof
     to the Agent in Dollars, for the respective accounts of the Lenders and the
     Agent,  at the Agent's Payment Office or at such other place that the Agent
     may  from  time to time  designate,  in each  case at or about  12:00  p.m.
     (Chicago,  Illinois,  time or other local time at the place of payment) and
     in immediately available funds.

          5.3.2.  No Offset,  etc. All payments by the  Borrowers  hereunder and
     under any of the other Loan  Documents  shall be made  without  recoupment,
     setoff or counterclaim and free and clear of and without  deduction for any
     taxes, levies, imposts,  duties,  charges, fees, deductions,  withholdings,
     compulsory loans, restrictions or conditions of any nature now or hereafter
     imposed or levied by any jurisdiction or any political  subdivision thereof
     or taxing or other authority  therein unless the Borrowers are compelled by
     law to make  such  deduction  or  withholding.  If any such  obligation  is
     imposed  upon the  Borrowers  with  respect  to any  amount  payable  by it
     hereunder or under any of the other Loan Documents,  the Borrowers will pay
     to the Agent,  for the  account of the  Lenders or (as the case may be) the
     Agent,  on the date on which such  amount is due and payable  hereunder  or
     under such other Loan Document,  such additional amount in Dollars as shall
     be  necessary  to enable the  Lenders or the Agent to receive  the same net
     amount which the Lenders or the Agent would have  received on such due date
     had no such obligation been imposed upon the Borrowers.  The Borrowers will
     deliver promptly to the Agent  certificates or other valid vouchers for all
     taxes or other charges  deducted from or paid with respect to payments made
     by the Borrowers hereunder or under such other Loan Document.

<PAGE>
                                      -39-

     5.4. Computations.  All computations of interest on (a) Base Rate Loans and
of Commitment  Fees or other fees shall,  unless  otherwise  expressly  provided
herein,  be based on a 365-day  year (or 366-day  year,  as the case may be) and
paid for the actual number of days elapsed,  and (b)  Eurodollar  Rate Loans and
Letter of Credit Fees shall,  unless otherwise  expressly  provided  herein,  be
based on a 360-day year.  Except as otherwise  provided in the definition of the
term "Interest Period" with respect to Eurodollar Rate Loans, whenever a payment
hereunder or under any of the other Loan Documents  becomes due on a day that is
not a Business  Day, the due date for such payment shall be extended to the next
succeeding  Business Day, and interest shall accrue during such  extension.  The
outstanding  amount of the Loans as  reflected  on the Note Records from time to
time shall be considered  correct and binding on the Borrowers unless within ten
(10)  Business  Days  after  receipt  of any  notice  by the Agent or any of the
Lenders of such  outstanding  amount,  the Agent or such Lender shall notify the
Borrower to the contrary.

     5.5.  Inability to Determine  Eurodollar  Rate. In the event,  prior to the
commencement  of any Interest  Period  relating to any Eurodollar Rate Loan, the
Agent shall  determine or be notified by the Majority  Lenders that adequate and
reasonable  methods do not exist for ascertaining the Eurodollar Rate that would
otherwise determine the rate of interest to be applicable to any Eurodollar Rate
Loan during any Interest  Period,  the Agent shall forthwith give notice of such
determination  (which shall be  conclusive  and binding on the Borrowers and the
Lenders) to the Borrowers and the Lenders. In such event (i) any Loan Request or
Conversion  Request with respect to Eurodollar Rate Loans shall be automatically
withdrawn  and  shall be  deemed  a  request  for Base  Rate  Loans,  (ii)  each
Eurodollar  Rate Loan will  automatically,  on the last day of the then  current
Interest  Period  relating  thereto,  become a Base  Rate  Loan,  and  (iii) the
obligations  of the Lenders to make  Eurodollar  Rate Loans  shall be  suspended
until the Agent or the Majority Lenders determine that the circumstances  giving
rise to such suspension no longer exist, whereupon the Agent or, as the case may
be, the Agent upon the instruction of the Majority Lenders,  shall so notify the
Borrowers and the Lenders.

     5.6.  Illegality.  Notwithstanding  any  other  provisions  herein,  if any
present or future law, regulation,  treaty or directive or in the interpretation
or application thereof shall make it unlawful for any Lender to make or maintain
Eurodollar  Rate  Loans,  such  Lender  shall  forthwith  give  notice  of  such
circumstances  to the  Borrowers  and the other  Lenders and  thereupon  (i) the
commitment  of such  Lender to make  Eurodollar  Rate Loans or convert  Loans of
another Type to Eurodollar Rate Loans shall forthwith be suspended and (ii) such
Lender's  Loans then  outstanding  as Eurodollar  Rate Loans,  if any,  shall be
converted  automatically  to Base  Rate  Loans on the last day of each  Interest
Period applicable to such Eurodollar Rate Loans or within such earlier period as
may be required by law. The Borrowers hereby agree promptly to pay the Agent for
the account of such Lender,  upon demand by such Lender,  any additional amounts
necessary  to  compensate  such Lender for any costs  incurred by such Lender in
making any conversion in accordance with this ss.5.6,  including any interest or
fees payable by such Lender to lenders of funds  obtained by it in order to make
or maintain its Eurodollar Rate Loans hereunder.

<PAGE>
                                      -40-

     5.7.  Additional Costs, etc. If any present or future Applicable Law, which
expression,  as used herein, includes statutes, rules and regulations thereunder
and  interpretations  thereof by any competent  court or by any  governmental or
other  regulatory  body or  official  charged  with  the  administration  or the
interpretation thereof and requests, directives, instructions and notices at any
time or from time to time hereafter made upon or otherwise  issued to any Lender
or the Agent by any central bank or other  fiscal,  monetary or other  authority
(whether or not having the force of law), shall:

          (a) subject any Lender or the Agent to any tax,  levy,  impost,  duty,
     charge,  fee,  deduction or  withholding of any nature with respect to this
     Credit  Agreement,  the other Loan Documents,  any Letters of Credit,  such
     Lender's  Revolving  Credit  Commitment or the Loans (other than  franchise
     taxes or taxes  based  upon or  measured  by the  income or profits of such
     Lender or the Agent), or

          (b)  materially  change the basis of  taxation  (except for changes in
     franchise taxes or taxes on income or profits) of payments to any Lender of
     the principal of or the interest on any Loans or any other amounts  payable
     to any Lender or the Agent under this Credit  Agreement or any of the other
     Loan Documents, or

          (c) impose or increase or render  applicable (other than to the extent
     specifically  provided for elsewhere in this Credit  Agreement) any special
     deposit, reserve, assessment,  liquidity, capital adequacy or other similar
     requirements  (whether or not having the force of law) against  assets held
     by, or deposits in or for the account of, or loans by, or letters of credit
     issued by, or commitments of an office of any Lender, or

          (d)  impose  on any  Lender  or the  Agent  any  other  conditions  or
     requirements  with  respect  to  this  Credit  Agreement,  the  other  Loan
     Documents, any Letters of Credit, the Loans, such Lender's Revolving Credit
     Commitment,  or any class of loans,  letters  of credit or  commitments  of
     which any of the Loans or such Lender's  Commitments  forms a part, and the
     result of any of the foregoing is

               (i) to  increase  the  cost to any  Lender  of  making,  funding,
          issuing,  renewing,  extending or maintaining any of the Loans or such
          Lender's Revolving Credit Commitment or any Letter of Credit, or

               (ii) to reduce the amount of principal,  interest,  Reimbursement
          Obligation  or  other  amount  payable  to such  Lender  or the  Agent
          hereunder on account of such Lender's Revolving Credit Commitment, any
          Letter of Credit or any of the Loans, or

               (iii) to require  such Lender or the Agent to make any payment or
          to  forego  any  interest  or  Reimbursement  Obligation  or other sum
          payable hereunder, the amount of which payment or foregone interest or
          Reimbursement  Obligation  or other sum is  calculated by reference to
          the gross  amount of any sum  receivable  or deemed  received  by such
          Lender or the Agent from the Borrowers hereunder,

<PAGE>
                                      -41-

then, and in each such case, the Borrowers will, upon demand made by such Lender
or (as the case may be) the Agent at any time and from time to time and as often
as the  occasion  therefor  may  arise,  pay to such  Lender or the  Agent  such
additional  amounts as will be sufficient to compensate such Lender or the Agent
for  such  additional  cost,   reduction,   payment  or  foregone   interest  or
Reimbursement Obligation or other sum.

     5.8.  Capital  Adequacy.  If after the date  hereof any Lender or the Agent
determines  that (i) the  adoption of or change in any law,  governmental  rule,
regulation,  policy,  guideline or directive (whether or not having the force of
law) regarding  capital  requirements for banks or bank holding companies or any
change in the  interpretation or application  thereof by a court or Governmental
Authority with  appropriate  jurisdiction,  or (ii) compliance by such Lender or
the Agent or any corporation  controlling such Lender or the Agent with any law,
governmental rule,  regulation,  policy,  guideline or directive (whether or not
having the force of law) of any such entity regarding capital adequacy,  has the
effect of reducing the return on such  Lender's or the Agent's  commitment  with
respect to any Loans to a level  below that which such Lender or the Agent could
have  achieved  but  for  such  adoption,  change  or  compliance  (taking  into
consideration  such Lender's or the Agent's then existing  policies with respect
to capital adequacy and assuming full  utilization of such entity's  capital) by
any  amount  deemed  by such  Lender  or (as the  case  may be) the  Agent to be
material, then such Lender or the Agent may notify the Borrower of such fact. To
the  extent  that the amount of such  reduction  in the return on capital is not
reflected in the Base Rate,  the  Borrowers  agree to pay such Lender or (as the
case may be) the Agent for the amount of such reduction in the return on capital
as and when such reduction is determined upon presentation by such Lender or (as
the case may be) the Agent of a certificate in accordance  with ss.5.10  hereof.
Each Lender shall allocate such cost increases among its customers in good faith
and on an equitable basis.

     5.9. Change of Lending Office. Each Lender agrees that, upon the occurrence
of any event  giving rise to the  operation  of ss.ss.5.7 or 5.8 with respect to
such Lender,  it will, if requested by the  Borrowers,  use  reasonable  efforts
(subject to overall policy  consideration  of such Lender) to designate  another
lending  office  for any  Loans  affected  by such  event,  provided  that  such
designation is made on such terms that such Lender and its lending office suffer
no economic, legal or regulatory  disadvantage,  with the object of avoiding the
consequence  of the event  giving  rise to the  operation  of any such  Section.
Nothing in this ss.5.9 shall affect or postpone  any of the  obligations  of the
Borrowers or the right of any Lender provided in ss.ss.5.7 or 5.8.

<PAGE>
                                      -42-

     5.10.  Certificate.  A  certificate  setting forth any  additional  amounts
payable  pursuant to ss.ss.5.7 or 5.8 and an  explanation  of such amounts which
are  due,  submitted  by any  Lender  or the  Agent to the  Borrowers,  shall be
conclusive, absent manifest error, that such amounts are due and owing.

     5.11. Indemnity.  Each Borrower agrees to indemnify each Lender and to hold
each Lender harmless from and against any loss,  cost or expense  (collectively,
"Breakage  Costs") that such Lender may sustain or incur as a consequence of (i)
default by the Borrowers in payment of the  principal  amount of or any interest
on any  Eurodollar  Rate Loans as and when due and payable,  including  any such
loss or expense  arising from interest or fees payable by such Lender to lenders
of funds  obtained by it in order to maintain its  Eurodollar  Rate Loans,  (ii)
default by the Borrowers in making a borrowing or conversion after the Borrowers
have given (or are deemed to have given) a Loan Request,  notice or a Conversion
Request relating thereto in accordance with ss.2.6 or ss.2.7 or (iii) the making
of any payment of a Eurodollar  Rate Loan or the making of any conversion of any
such  Loan  to a Base  Rate  Loan  on a day  that  is not  the  last  day of the
applicable  Interest  Period with respect  thereto,  including  interest or fees
payable by such  Lender to lenders of funds  obtained by it in order to maintain
any such Loans.

     5.12. Interest After Default.

          5.12.1.  Overdue  Amounts.   Overdue  principal  and  (to  the  extent
     permitted by  Applicable  Law)  interest on the Loans and all other overdue
     amounts  payable  hereunder or under any of the other Loan Documents  shall
     bear interest  compounded monthly and payable on demand at a rate per annum
     equal to two percent (2.00%) above the Base Rate until such amount shall be
     paid in full (after as well as before judgment).

          5.12.2.  Amounts Not Overdue.  During the  continuance  of an Event of
     Default the  principal of the  Revolving  Credit  Loans not overdue  shall,
     until  such Event of Default  has been cured or  remedied  or such Event of
     Default has been waived by the  Majority  Lenders  pursuant to ss.26,  bear
     interest  at a rate per  annum  equal  to the  greater  of (i) two  percent
     (2.00%) above the rate of interest  otherwise  applicable to such Revolving
     Credit Loans pursuant to ss.2.5 and (ii) the rate of interest applicable to
     overdue principal pursuant to ss.5.12.1.

     5.13.  No Legal  Impediment.  Neither the Issuing Bank nor any Lender shall
have  any  obligation  to make  any  Loan  or to  participate  in the  issuance,
extension or renewal of any Letter of Credit if any change  shall have  occurred
in any law or  regulations  thereunder  or  interpretations  thereof that in the
reasonable  opinion of any Lender  would make it illegal for such Lender to make
such Loan or to participate in the issuance, extension or renewal of such Letter
of Credit or in the reasonable opinion of the Issuing Bank would make it illegal
for the Issuing Bank to issue, extend or renew such Letter of Credit.

<PAGE>
                                      -43-

     5.14.  Governmental  Regulation.  Neither the  Issuing  Bank nor any Lender
shall have any  obligation to make any Loan or to  participate  in the issuance,
extension or renewal of any Letter of Credit  unless such Lender or Issuing Bank
shall  have   received  such   statements  in  substance  and  form   reasonably
satisfactory to such Lender or Issuing Bank as such Lender or Issuing Bank shall
require for the purpose of compliance  with any  applicable  regulations  of the
Comptroller  of the Currency or the Board of  Governors  of the Federal  Reserve
System.

     5.15. Concerning Joint and Several Liability of the Borrowers

          (a) Each of the  Borrowers  is accepting  joint and several  liability
     hereunder in consideration of the financial  accommodations  to be provided
     by the Agent, the Issuing Bank and the Lenders under this Credit Agreement,
     for the mutual benefit,  directly and indirectly,  of each of the Borrowers
     and in consideration of the undertakings of each of the Borrowers to accept
     joint and several liability for the obligations of each of them.

          (b) Each of the Borrowers,  jointly and severally,  hereby irrevocably
     and  unconditionally  accepts,  not  merely  as  a  surety  but  also  as a
     co-debtor,  joint and  several  liability  with each other  Borrower,  with
     respect to the payment and performance of all of the Obligations,  it being
     the intention of the parties hereto that all the  Obligations  shall be the
     joint and several  obligations of all of the Borrowers without  preferences
     or distinction among them.

          (c) If and to the extent that any of the Borrowers  shall fail to make
     any payment  with respect to any of the  Obligations  as and when due or to
     perform any of such Obligations in accordance with the terms thereof,  then
     in each such event each other  Borrower will make such payment with respect
     to, or perform, such Obligation.

          (d) The  obligations  of each  Borrower  under the  provisions of this
     ss.5.15  constitute  the absolute  and  unconditional  obligations  of such
     Borrower  enforceable  against it to the full  extent  permitted  under the
     terms hereof, irrespective of the validity, regularity or enforceability of
     this Credit Agreement or any other circumstance whatsoever.

          (e) Except as otherwise  expressly provided for herein,  each Borrower
     hereby  waives  notice of  acceptance  of its joint and several  liability,
     notice  of the  Loans  made  under  this  Credit  Agreement,  notice of the
     occurrence  of any  Default or Event of  Default,  or of any demand for any
     payment under this Credit Agreement, notice of any action at any time taken
     or  omitted by the  Agent,  the  Issuing  Bank or the  Lenders  under or in
     respect of any of the  Obligations,  any  requirement  of  diligence  or to
     mitigate damages and, generally, all demands, notices and other formalities
     of every kind in  connection  with this  Credit  Agreement.  Each  Borrower
     hereby assents to, and waives notice of, any extension or  postponement  of
     the time for the payment of any of the  Obligations,  the acceptance of any
     partial  payment   thereon,   any  waiver,   consent  or  other  action  or
     acquiescence  by the Agent,  the Issuing Bank or the Lenders at any time or
     times in  respect of any  default by any  Borrowers  or  Guarantors  in the
     performance or satisfaction of any term,  covenant,  condition or provision
     of this Credit Agreement,  any and all other indulgences  whatsoever by the
     Agent, the Issuing Bank or the Lenders in respect of any of the obligations
     hereunder, and the taking,  addition,  substitution or release, in whole or
     in part, at any time or times, of any security for any of such  obligations
     or the  addition,  substitution  or  release,  in whole or in part,  of any
     Borrower  or  any  Guarantor.   Without  limiting  the  generality  of  the
     foregoing,  each Borrower assents to any other action or delay in acting or
     failure to act on the part of the Agent,  the  Issuing  Bank or the Lenders
     including, without limitation, any failure strictly or diligently to assert
     any right or to pursue any remedy or to comply fully with  Applicable  Laws
     thereunder,  which might,  but for the  provisions of this ss.5.15,  afford
     grounds for terminating,  discharging or relieving such Borrower,  in whole
     or in part,  from any of its Obligations  under this ss.5.15,  it being the
     intention of each Borrower that, so long as any of the  Obligations  remain
     unsatisfied,  the Obligations of such Borrower under this ss.5.15 shall not
     be  discharged  except by  performance  and then only to the extent of such
     performance.  Except as otherwise  expressly provided for herein, the joint
     and several  liability of the Borrowers  hereunder  shall  continue in full
     force and effect  notwithstanding any absorption,  merger,  amalgamation or
     any other change whatsoever in the name, membership,  constitution or place
     of formation of any Borrower or the Agent, the Issuing Bank or the Lenders.
     If at any time, any payment, or any part thereof, made in respect of any of
     the Obligations,  is rescinded or must otherwise be restored or returned by
     the Agent, the Issuing Bank or the Lenders upon the insolvency,  bankruptcy
     or reorganization of any of the Borrowers or Guarantors,  or otherwise, the
     provisions  of this ss.5.15  will  forthwith be  reinstated  in effect,  as
     though such payment had not been made.

<PAGE>
                                      -44-

     5.16. Replacement of Lender.

          (a) In the event that any  Lender  makes a demand  for  payment  under
     ss.5.7 or  ss.5.8 or  notifies  the  Agent of any  circumstances  requiring
     payment  pursuant to ss.5.6 or if the  Borrowers  are  required to make any
     payment to the Lender  pursuant to ss.5.3.2,  the  Borrowers may within 120
     days of such demand,  if no Default or Event of Default  then  exists,  (i)
     reduce the Total Revolving  Credit  Commitment,  in the full amount of such
     Lender's Commitment Percentage of the Total Revolving Credit Commitment and
     repay such  Lender in full or (ii)  replace  such  Lender  with an Eligible
     Assignee in accordance with ss.19.1  (including  execution of an Assignment
     and Acceptance).  If the Borrowers  accomplish the replacement or repayment
     of such Lender within 120 days  following the demand,  the Borrowers  shall
     only owe any such  Lenders  amounts  under  ss.5.6,  ss.5.7 or  ss.5.8,  as
     applicable,  hereof through the date of  replacement  or repayment.  If the
     Borrowers do not accomplish either  replacement or repayment of such Lender
     within such 120 days,  the  Borrowers  shall owe such Lender in  accordance
     with the terms of any  written  agreement  reached  between  Lender and the
     Borrowers,  and, if no such agreement has been reached, the Borrowers shall
     owe such  Lender in  accordance  with the terms and  provisions  of ss.5.6,
     ss.5.7 or ss.5.8,  as applicable.  If the Total Revolving Credit Commitment
     is reduced by the Borrower  pursuant to this ss.5.16(a),  the Borrowers and
     the Lenders agree that the  Commitment  Percentages  of each Lender will be
     automatically  ratably  adjusted  to reflect  such  reduction  of the Total
     Revolving Credit Commitment.

          (b) If (i) there  exists no  Default  or Event of  Default on any such
     date and no  Default  or Event of  Default  shall be caused  by the  action
     permitted  below and (ii) any Lender  refuses to consent to any  amendment,
     waiver  or  consent  to any  provision  hereof or in any Loan  Document  in
     accordance with the terms of ss.26 (other than an amendment to increase the
     Revolving Credit Commitment of such Lender), but to which each other Lender
     has  previously  agreed,  then,  the Borrowers  may, with the prior written
     consent  of the  Agent,  within  ninety  (90)  days  after the date of such
     consent,  amendment  or waiver,  replace  such Lender in whole with another
     Eligible  Assignee,  pursuant to an Assignment and Acceptance and otherwise
     in accordance with the terms of ss.19.

<PAGE>
                                      -45-

                     6. COLLATERAL SECURITY AND GUARANTIES.

     6.1.  Security of Borrower.  On or before the Closing Date, the Obligations
shall be secured by a perfected first priority  security  interest (subject only
to Permitted Liens entitled to priority under  Applicable Law) in all Collateral
of the Borrowers, whether now owned or hereafter acquired, pursuant to the terms
of the Security Documents to which each Borrower is a party.

     6.2.  Guaranties and Security of Guarantors.  The Obligations shall also be
guaranteed  pursuant  to the terms of the  Guarantees.  The  obligations  of the
Guarantors  under the  Guarantees  shall be in turn  secured  on or  before  the
Closing Date, by a perfected first priority  security  interest (subject only to
Permitted Liens entitled to priority under Applicable Law) in all Collateral and
Acquisition  Collateral of each such  Guarantor,  whether now owned or hereafter
acquired,  pursuant  to the  terms  of the  Security  Documents  to  which  such
Guarantor is a party.

                       7. REPRESENTATIONS AND WARRANTIES.

     Each Borrower represents and warrants to the Lenders,  the Issuing Bank and
the Agent as follows:

     7.1. Corporate Authority.

          7.1.1. Incorporation; Good Standing. Each of the Borrowers and each of
     their  Subsidiaries (i) is a corporation,  partnership or limited liability
     company duly organized and validly existing,  duly organized or established
     under the laws of its state of organization, (ii) is in good standing under
     the laws of the relevant  state of  organization,  (iii) has all  requisite
     power to own its property and conduct its business as now  conducted and as
     presently  contemplated,  and  (iv)  is  in  good  standing  as  a  foreign
     corporation  or  entity  and is  duly  authorized  to do  business  in each
     jurisdiction  where such  qualification is necessary except where a failure
     to be so qualified would not have a Materially Adverse Effect.

<PAGE>
                                      -46-

          7.1.2. Authorization.  The execution, delivery and performance of this
     Credit Agreement and the other Loan Documents to which the Borrowers or any
     of  their  Subsidiaries  is or is to  become a party  and the  transactions
     contemplated  hereby  and  thereby  (i) are within  the  authority  of such
     Person, (ii) have been duly authorized by all necessary proceedings,  (iii)
     do not  conflict  with or result  in any  breach  or  contravention  of any
     provision of  Applicable  Law, or any  Contractual  Obligation or Governing
     Document of any of the Borrowers or any of their Subsidiaries.

          7.1.3. Enforceability.

          The execution and delivery of this Credit Agreement and the other Loan
     Documents to which any of the Borrowers or any of their  Subsidiaries is or
     is to become a party will result in valid and legally  binding  obligations
     of such Person  enforceable  against it in accordance  with the  respective
     terms and  provisions  hereof  and  thereof,  except as  enforceability  is
     limited by bankruptcy, insolvency, reorganization, moratorium or other laws
     relating to or affecting generally the enforcement of creditors' rights and
     except  to  the  extent  that   availability  of  the  remedy  of  specific
     performance or injunctive  relief is subject to the discretion of the court
     before which any proceeding therefor may be brought.

     7.2.   Governmental   Approvals.   Except  for  the   transfer  of  certain
environmental  permits and notices to governmental  authorities,  the execution,
delivery and  performance by any of the Borrowers and any of their  Subsidiaries
of this  Credit  Agreement  and the  other  Loan  Documents  to which any of the
Borrowers  or any of  their  Subsidiaries  is or is to  become  a party  and the
transactions  contemplated  hereby and thereby do not require any Approval  that
has not already been obtained.

     7.3.  Title to  Properties;  Leases.  Except as  indicated  on Schedule 7.3
hereto,  the Borrowers and their Subsidiaries own all of the assets reflected in
the combined  balance sheet of Century  Aluminum and its  Subsidiaries as at the
Balance  Sheet  Date or  acquired  since  that  date  (except  Property  sold or
otherwise  disposed  of in the  ordinary  course of  business  since that date),
subject to no Liens or other rights of others except Permitted Liens.

     7.4. Financial Statements and Projections.

          7.4.1.  Fiscal Year. The Borrowers and each of their Subsidiaries have
     a fiscal year which is the twelve (12) months ending on December 31 of each
     calendar year.

<PAGE>
                                      -47-

          7.4.2.  Financial Statements.  There has been furnished to each of the
     Lenders (a) the  consolidated  balance  sheet of Century  Aluminum  and its
     Subsidiaries as at the Balance Sheet Date, and the  consolidated  statement
     of income and cash flow of Century  Aluminum and its  Subsidiaries  for the
     2000 fiscal year,  certified by Deloitte & Touche, and (b) the consolidated
     balance  sheet of NSA as at the Balance  Sheet Date,  and the  consolidated
     statement of income of NSA for the 2000 fiscal  year,  certified by Ernst &
     Young, LLP. Such balance sheets and statements of income and cash flow have
     been  prepared in  accordance  with GAAP and fairly  present the  financial
     condition of Century  Aluminum and NSA  respectively as of the date thereof
     and the results of operations for the fiscal year then ended.  There are no
     contingent liabilities of Century Aluminum or its Subsidiaries or NSA as of
     such date  involving  material  amounts,  known to the  officers of Century
     Aluminum,  which were not  disclosed in such  balance  sheets and the notes
     related thereto.

          7.4.3. Projections. The projections of the annual operating budgets of
     Century  Aluminum and its  Subsidiaries  on a consolidated  basis,  balance
     sheets and cash flow  statements for the 2001 to 2006 fiscal years,  copies
     of  which  have  been  delivered  to each  Lender,  disclose  all  material
     assumptions  made with respect to general  economic,  financial  and market
     conditions  used in  formulating  such  projections.  To the  knowledge  of
     Century  Aluminum  or  any  of  its  Subsidiaries,   no  facts  exist  that
     (individually  or in the  aggregate)  insofar as can reasonably be foreseen
     would  result  in any  material  change  in any of  such  projections.  The
     projections are based upon reasonable estimates and assumptions,  have been
     prepared  on the basis of the  assumptions  stated  therein and reflect the
     reasonable  estimates  of  Century  Aluminum  and its  Subsidiaries  of the
     results of operations and other information projected therein.

     7.5.  No Material  Changes,  etc.  Since the  Balance  Sheet Date there has
occurred no materially adverse change in the Properties,  operations,  financial
condition,  business or prospects of the Borrowers and their  Subsidiaries taken
as a whole as shown on or reflected in the consolidated balance sheet of Century
Aluminum and its  Subsidiaries as at the Balance Sheet Date, or the consolidated
statement  of income for the fiscal year then ended,  other than  changes in the
ordinary  course of business that have not had any  Materially  Adverse  Effect.
Since the Balance Sheet Date, the Borrowers have not made any Distribution other
than Permitted  Distributions and the purchase of the stock of Metalsco pursuant
to the Hawesville Acquisition.

     7.6. Franchises,  Patents, Copyrights, etc. Each of the Borrowers and their
Subsidiaries possesses all franchises,  patents,  copyrights,  trademarks, trade
names,  licenses and permits,  and rights in respect of the foregoing,  adequate
for the conduct of its business  substantially  as now  conducted  without known
conflict with any rights of others.

<PAGE>
                                      -48-

     7.7. Litigation. Except as set forth in Schedules 7.7 and 7.18 hereto or as
disclosed  in the  financial  statements  delivered  to the  Agent  pursuant  to
ss.7.4.2, there are no actions, suits, proceedings or investigations of any kind
pending or to the best of each Borrowers'  knowledge,  threatened against any of
the  Borrowers  or any of their  Subsidiaries  before  any  court,  tribunal  or
administrative  agency  or  board  that,  if  adversely  determined,   could  be
reasonably  expected  to,  either  in any case or in the  aggregate,  (a) have a
Materially  Adverse  Effect  or (b)  result  in any  substantial  liability  not
adequately  covered  by  insurance,  or for  which  adequate  reserves  are  not
maintained  on the  consolidated  balance  sheet  of  Century  Aluminum  and its
Subsidiaries, or (c) which question the validity of this Credit Agreement or any
of the other Loan Documents.

     7.8. No Materially Adverse Contracts, etc. None of the Borrowers nor any of
their Subsidiaries is subject to any Governing Document,  Contractual Obligation
or  Applicable  Law  that  has or in so far as can  reasonably  be  foreseen  is
expected in the future to have a Materially Adverse Effect.

     7.9.  Compliance with Other  Instruments,  Laws, etc. None of the Borrowers
nor any of their Subsidiaries is in violation of any provision of Applicable Law
or of  its  Governing  Documents,  or  Contractual  Obligations  (including  any
Acquisition Documents and/or Subordination  Documents) in a manner that would be
reasonably likely to result in the imposition of substantial  penalties or cause
a Materially Adverse Effect.

     7.10.  Tax Status.  Each of the Borrowers and their  Subsidiaries  (i) have
made or filed all federal and state  income and all other tax  returns,  reports
and  declarations  required by any jurisdiction to which any of them is subject,
(ii) have paid all taxes and other governmental assessments and charges shown or
determined to be due on such  returns,  reports and  declarations,  except those
being contested in good faith and by appropriate  proceedings and (iii) have set
aside on their books provisions reasonably adequate for the payment of all taxes
for  periods  subsequent  to the  periods  to which  such  returns,  reports  or
declarations apply.

     7.11. No Event of Default.  No Default or Event of Default has occurred and
is continuing.

     7.12.  Holding  Company and Investment  Company Acts. None of the Borrowers
nor any of their Subsidiaries is a "holding company",  or a "subsidiary company"
of a "holding company",  or an affiliate" of a "holding company",  as such terms
are defined in the Public  Utility  Holding  Company  Act of 1935;  nor is it an
"investment company", or an "affiliated company" or a "principal underwriter" of
an "investment company", as such terms are defined in the Investment Company Act
of 1940.

<PAGE>
                                      -49-

     7.13.  Absence  of  Financing  Statements,  etc.  Except  with  respect  to
Permitted Liens, there is no financing  statement,  security agreement,  chattel
mortgage,  real estate  mortgage or other  document  filed or recorded  with any
filing records,  registry or other public office, that purports to cover, affect
or give  notice of any Lien on any  Property  of the  Borrowers  or any of their
Subsidiaries.

     7.14.  Perfection  of  Security  Interest.  Each of the  Borrowers  and the
Guarantors  have  delivered to, or deposited  with,  the Agent all documents and
instruments  necessary  for the  filings,  assignments,  pledges  and all  other
actions to be taken that are necessary or advisable,  under  Applicable  Law, to
establish  and perfect  the Agent's  security  interest in the  Collateral.  The
Collateral and the Agent's rights with respect to the Collateral are not subject
to any setoff,  claims,  withholdings  or other  defenses  except for  Permitted
Liens.  The Borrowers or  Subsidiaries  of the  Borrowers  party to the Security
Agreement  are the  owners of their  respective  Collateral  free from any Lien,
except for Permitted Liens.

     7.15. Certain  Transactions.  Except for arm's length transactions pursuant
to which  the  Borrowers  or any of their  Subsidiaries  makes  payments  in the
ordinary  course of business upon terms no less favorable than such Borrowers or
any of their Subsidiaries could obtain from third parties, none of the officers,
directors,  or  employees  of the  Borrowers  or any of  their  Subsidiaries  is
presently  a  party  to any  transaction  with  the  Borrowers  or any of  their
Subsidiaries  (other than for services as  employees,  officers and  directors),
including  any  contract,  agreement  or  other  arrangement  providing  for the
furnishing  of  services  to or by,  providing  for  rental of real or  personal
property to or from,  or  otherwise  requiring  payments to or from any officer,
director or such  employee  or, to the  knowledge of any of the  Borrowers,  any
corporation,  partnership, trust or other entity in which any officer, director,
or any such  employee  has a  substantial  interest or is an officer,  director,
trustee or partner.

     7.16. Employee Benefit Plans.

          7.16.1.  In  General.  Except as  disclosed  on  Schedule  7.16,  each
     Employee Benefit Plan and each Guaranteed  Pension Plan has been maintained
     and operated in compliance in all material  respects with the provisions of
     ERISA and, to the extent applicable, the Code, including but not limited to
     the  provisions  thereunder  respecting  prohibited  transactions  and  the
     bonding of fiduciaries and other persons handling plan funds as required by
     ss.412 of ERISA.  The Borrowers have heretofore  delivered to the Agent the
     most  recently  completed  annual  report,  Form  5500,  with all  required
     attachments,  and  actuarial  statement  required  to  be  submitted  under
     ss.103(d) of ERISA, with respect to each Guaranteed Pension Plan.

<PAGE>
                                      -50-

          7.16.2.  Terminability  of  Welfare  Plans.  Except  as  disclosed  on
     Schedule  7.16,  no Employee  Benefit  Plan,  which is an employee  welfare
     benefit plan within the meaning of ss.3(1) or ss.3(2)(B) of ERISA, provides
     retiree  group  health  benefits,  except as required by Title I, Part 6 of
     ERISA or applicable state insurance laws.

          7.16.3.  Guaranteed  Pension  Plans.  Except as  disclosed on Schedule
     7.16, each contribution  required to be made to a Guaranteed  Pension Plan,
     whether  required  to be made to avoid  the  incurrence  of an  accumulated
     funding deficiency, the notice or lien provisions of ss.302(f) of ERISA, or
     otherwise,  has been  timely  made.  No  waiver of an  accumulated  funding
     deficiency  or extension of  amortization  periods has been  received  with
     respect to any  Guaranteed  Pension Plan, and none of the Borrowers nor any
     ERISA  Affiliate are obligated to or has posted security in connection with
     an amendment to a  Guaranteed  Pension Plan  pursuant to ss.307 of ERISA or
     ss.401(a)(29)  of the Code.  No liability to the PBGC (other than  required
     insurance  premiums,  all of which have been paid) has been incurred by the
     Borrowers or any ERISA  Affiliate  with respect to any  Guaranteed  Pension
     Plan and there has not been any ERISA Reportable Event (other than an ERISA
     Reportable  Event as to which the  requirement  of 30 days  notice has been
     waived),  or any other event or condition which presents a material risk of
     termination of any  Guaranteed  Pension Plan by the PBGC. As of the Closing
     Date, based on the latest valuation of each Guaranteed  Pension Plan (which
     in  each  case   occurred   within  twelve  months  of  the  date  of  this
     representation),  and on the actuarial methods and assumptions employed for
     that valuation,  the aggregate  benefit  liabilities of all such Guaranteed
     Pension  Plans  within  the  meaning of ss.4001 of ERISA did not exceed the
     aggregate value of the assets of all such Guaranteed  Pension Plans by more
     than $20,000,000, disregarding for this purpose the benefit liabilities and
     assets of any  Guaranteed  Pension  Plan with  assets in excess of  benefit
     liabilities.

          7.16.4.  Multiemployer  Plans.  None of the  Borrowers  nor any  ERISA
     Affiliate  has  incurred  any  material  liability   (including   secondary
     liability) to any  Multiemployer  Plan as a result of a complete or partial
     withdrawal  from such  Multiemployer  Plan  under  ss.4201 of ERISA or as a
     result of a sale of  assets  described  in  ss.4204  of ERISA.  None of the
     Borrowers nor any ERISA Affiliate has been notified that any  Multiemployer
     Plan is in  reorganization  or  insolvent  under and within the  meaning of
     ss.4241  or ss.4245 of ERISA or is at risk of  entering  reorganization  or
     becoming insolvent,  or that any Multiemployer Plan intends to terminate or
     has been terminated under ss.4041A of ERISA.

     7.17. Use of Proceeds.

          7.17.1.  General. The Borrowers will (a) use the proceeds of the Loans
     and (b) obtain  Letters of Credit solely (i) to fund the purchase  price of
     the  Hawesville  Acquisition,   the  European  Acquisition,  any  Permitted
     Acquisitions,  and related fees and expenses in connection  with any of the
     foregoing, (ii) to refinance existing Indebtedness of the Borrowers,  (iii)
     to fund future  capital  expenditures  and/or (iv) for working  capital and
     general corporate purposes.

<PAGE>
                                      -51-

          7.17.2. Regulations U and X. No portion of any Loan is to be used, and
     no portion of any Letter of Credit is to be  obtained,  for the  purpose of
     purchasing  or carrying  any "margin  security"  or "margin  stock" as such
     terms  are used in  Regulations  U and X of the Board of  Governors  of the
     Federal Reserve System, 12 C.F.R. Parts 221 and 224.

          7.17.3. Ineligible Securities. No portion of the proceeds of any Loans
     is to be used,  and no portion  of any Letter of Credit is to be  obtained,
     for the purpose of knowingly  purchasing,  or providing  credit support for
     the  purchase of,  during the  underwriting  or placement  period or within
     thirty (30) days  thereafter,  any Ineligible  Securities  underwritten  or
     privately placed by a Section 20 Subsidiary.

     7.18.  Environmental  Compliance.  The Borrowers  have taken all reasonable
steps  to  investigate  the  condition  and  usage of the  Real  Estate  and the
operations conducted thereon and, based upon such investigation,  has determined
that,  except as  disclosed  on Schedule  7.18  hereto,  and to the best of each
Borrowers' knowledge:

          (a) none of the Borrowers,  any of their  Subsidiaries or any operator
     of the Real Estate or any  operations  thereon is in violation,  or alleged
     violation, of any judgment, decree, order, law, license, rule or regulation
     pertaining to environmental  matters,  including without limitation,  those
     arising  under the Resource  Conservation  and Recovery Act  ("RCRA"),  the
     Comprehensive  Environmental  Response,  Compensation  and Liability Act of
     1980 as amended  ("CERCLA"),  the Superfund  Amendments and Reauthorization
     Act of 1986  ("SARA"),  the Federal  Clean Water Act, the Federal Clean Air
     Act, the Toxic  Substances  Control Act, or any  Applicable Law relating to
     health, safety or the environment (hereinafter "Environmental Laws"), which
     violation could reasonably be likely to have Materially Adverse Effect;

          (b)  except as would  not be  reasonably  likely to have a  Materially
     Adverse  Effect,  none of the Borrowers nor any of their  Subsidiaries  has
     received notice from any third party including any Governmental  Authority,
     (i)  that  any  one of  them  has  been  identified  by the  United  States
     Environmental  Protection Agency ("EPA") as a potentially responsible party
     under CERCLA with respect to a site listed on the National Priorities List,
     40 C.F.R. Part 300 Appendix B; (ii) that any hazardous waste, as defined by
     42 U.S.C.  ss.6903(5),  any  hazardous  substances  as defined by 42 U.S.C.
     ss.9601(14),   any  pollutant  or  contaminant  as  defined  by  42  U.S.C.
     ss.9601(33) and any toxic substances,  oil or hazardous  materials or other
     chemicals or substances  regulated by any  Environmental  Laws  ("Hazardous
     Substances")  which any one of them has generated,  transported or disposed
     of has been found at any site at which a  Governmental  Authority  or other
     third party has  conducted or has ordered that any of the  Borrowers or any
     of their Subsidiaries  conduct a remedial  investigation,  removal or other
     response action pursuant to any  Environmental  Law; or (iii) that it is or
     shall be a named party to any claim, action, cause of action, complaint, or
     legal or administrative  proceeding (in each case, contingent or otherwise)
     arising out of any third party's incurrence of costs,  expenses,  losses or
     damages of any kind  whatsoever in connection with the release of Hazardous
     Substances;

<PAGE>
                                      -52-

          (c)  except as would  not be  reasonably  likely to have a  Materially
     Adverse  effect:  (i) no portion  of the Real  Estate has been used for the
     handling, processing, storage or disposal of Hazardous Substances except in
     accordance with applicable  Environmental  Laws; and no underground tank or
     other underground storage receptacle for Hazardous Substances is located on
     any  portion  of the Real  Estate;  (ii) in the  course  of any  activities
     conducted by the Borrower, its Subsidiaries or operators of its properties,
     no Hazardous  Substances  have been generated or are being used on the Real
     Estate except in accordance with applicable Environmental Laws; (iii) there
     have  been no  releases  (i.e.  any past or  present  releasing,  spilling,
     leaking,  pumping, pouring,  emitting,  emptying,  discharging,  injecting,
     escaping,  disposing  or  dumping)  or  threatened  releases  of  Hazardous
     Substances on, upon, into or from the properties of any of the Borrowers or
     their Subsidiaries; (iv) there have been no releases on, upon, from or into
     any real property in the vicinity of any of the Real Estate which,  through
     soil or groundwater contamination,  may have come to be located on the Real
     Estate;  and (v) in  addition,  any  Hazardous  Substances  that  have been
     generated on any of the Real Estate and  transported  offsite from the Real
     Estate  have been  treated or  disposed of in  accordance  with  applicable
     Environmental Laws, which transporters and facilities have been and are, to
     the best of each  Borrower's  knowledge,  operating in compliance with such
     permits and applicable Environmental Laws; and

          (d) Except for the  transfers  of certain  environmental  permits  and
     notices to  governmental  authorities  in  connection  with the  Hawesville
     Acquistion, none of the Borrowers and their Subsidiaries or any of the Real
     Estate  is  subject  to any  applicable  environmental  law  requiring  the
     performance of Hazardous  Substances  site  assessments,  or the removal or
     remediation of Hazardous Substances,  or the recording or delivery to other
     Persons of an environmental  disclosure  document or statement by virtue of
     the transactions set forth herein and contemplated hereby.

     7.19.  Subsidiaries,  etc. All of the Subsidiaries of each of the Borrowers
and their  Subsidiaries  are set forth on Schedule 7.19.  Except as set forth on
Schedule 7.19 hereto,  neither the Borrowers nor any of their  Subsidiaries  are
engaged in any joint venture or partnership with any other Person.

     7.20.  Bank  Accounts.  Schedule  7.20 sets forth the  account  numbers and
location of all Local Accounts,  Interim  Concentration  Accounts and other bank
accounts of each of the Borrowers and Guarantors as of the Closing Date.

<PAGE>
                                      -53-

     7.21.  Chief  Executive  Office.  Set forth on  Schedule  7.21  hereto is a
complete and accurate list of the chief executive  office or registered  office,
as applicable,  of each of the Borrowers and each of their Guarantors,  at which
location such Person keeps its books and records.

     7.22.  Insurance.  Each of the  Borrowers  and each of  their  Subsidiaries
maintains with financially sound and reputable  insurers  insurance with respect
to its Properties and businesses  against such casualties and  contingencies  as
are in  accordance  with sound  business  practices  for  businesses  engaged in
similar  activities  in  similar  geographic  areas,  with the  details  of such
coverage being more fully described on Schedule 7.22 hereto.

     7.23.  Disclosure.  None of this Credit  Agreement or any of the other Loan
Documents  contains any untrue  statement of a material fact or omits to state a
material fact (known to the Borrowers or any of their  Subsidiaries  in the case
of any document or information  not furnished by it or any of its  Subsidiaries)
necessary  in order to make the  statements  herein or therein  not  misleading.
There is no fact  known  to any of the  Borrowers  or any of their  Subsidiaries
which  could  be  reasonably  expected  to  have a  Materially  Adverse  Effect,
exclusive  of effects  resulting  from changes in general  economic  conditions,
commodity prices, legal standards or regulatory conditions.

                   8. AFFIRMATIVE COVENANTS OF THE BORROWERS.

     Each of the  Borrowers  covenants  and  agrees  that,  so long as any Loan,
Unpaid Reimbursement Obligation,  Letter of Credit or Note is outstanding or any
Lender  has any  obligation  to make  any  Loans  or the  Issuing  Bank  has any
obligation to issue, extend or renew any Letters of Credit:

     8.1. Punctual Payment.  Each Borrower will duly and punctually pay or cause
to  be  paid  the  principal  and  interest  on  the  Loans,  all  Reimbursement
Obligations,  the  Fees,  and all  other  amounts  provided  for in this  Credit
Agreement  and the other Loan  Documents to which any of the Borrowers or any of
their  Subsidiaries is a party,  all in accordance with the terms of this Credit
Agreement and such other Loan Documents.

     8.2.  Maintenance of Office.  Each of the Borrowers and the Guarantors will
maintain its chief  executive  office at the location set forth in Schedule 7.21
hereto,  or at such other place in the United States of America as such Borrower
shall designate upon written notice to the Agent,  where notices,  presentations
and demands to or upon such  Borrower in respect of the Loan  Documents to which
such Borrower is a party may be given or made.

<PAGE>
                                      -54-

     8.3.  Records and Accounts.  The Borrowers will (i) keep, and cause each of
their  Subsidiaries to keep,  true and accurate  records and books of account in
which full,  true and correct entries will be made in accordance with GAAP, (ii)
maintain  adequate accounts and reserves for all taxes (including income taxes),
depreciation,  depletion,  obsolescence and amortization of their properties and
the properties of their  Subsidiaries,  contingencies,  and other reserves,  and
(iii) at all  times  engage  Deloitte  & Touche or other  independent  certified
public accountants satisfactory to the Agent as the independent certified public
accountants  of the  Borrowers and their  Subsidiaries  and will not permit more
than thirty (30) days to elapse  between  the  cessation  of such firm's (or any
successor firm's) engagement as the independent  certified public accountants of
the Borrowers and their  Subsidiaries  and the appointment in such capacity of a
successor firm as shall be satisfactory to the Agent.

     8.4. Financial Statements, Certificates and Information. The Borrowers will
deliver to the Agent:

          (a) as soon as  practicable,  but in any event not later  than  ninety
     (90) days after the end of each fiscal year of Century Aluminum, commencing
     with the fiscal year ended  December 31,  2001,  the  consolidated  balance
     sheet  of  Century   Aluminum  and  its   Subsidiaries,   and  the  related
     consolidated  statement of income and  consolidated  statements of retained
     earnings  and cash flow for such year,  each setting  forth in  comparative
     form the figures  for the  previous  fiscal year and all such  consolidated
     statements to be in reasonable  detail,  prepared in accordance  with GAAP,
     and  certified  without  qualification  by  Deloitte  & Touche  or by other
     independent  certified  public  accountants   satisfactory  to  the  Agent,
     together with (i) a written  statement from such  accountants to the effect
     that they have read a copy of this Credit  Agreement,  and that,  in making
     the  examination  necessary to said  certification,  they have  obtained no
     knowledge  of any  Default or Event of  Default  arising as a result of the
     Borrowers' failure to comply with any of the covenants  contained in ss.10,
     or, if such accountants shall have obtained  knowledge of any then existing
     Default or Event of Default they shall  disclose in such statement any such
     Default or Event of Default;  provided that such  accountants  shall not be
     liable to the  Lenders for  failure to obtain  knowledge  of any Default or
     Event of Default and (ii) copies of any management letters delivered to any
     of the Borrowers by such  accountants in connection with such  accountants'
     preparation of such consolidated and consolidating financial statements;

          (b) as soon as practicable, but in any event not later than forty-five
     (45) days after the end of each of the first  three (3) fiscal  quarters in
     each fiscal year of Century  Aluminum,  commencing  with the fiscal quarter
     ending March 31, 2001, copies of the unaudited  consolidated  balance sheet
     of Century Aluminum and its Subsidiaries as at the end of such quarter, and
     the related consolidated  statement of income and consolidated statement of
     retained  earnings  and cash flow for such  quarter  and for the portion of
     Century  Aluminum's fiscal year then elapsed,  all in reasonable detail and
     prepared in  accordance  with GAAP,  together  with a  certification  by an
     Authorized  Officer of Century  Aluminum that the information  contained in
     such financial statements fairly presents the financial position of Century
     Aluminum  and its  Subsidiaries  on the date  thereof  (subject to year-end
     adjustments);

<PAGE>
                                      -55-

          (c) as soon as  practicable,  but in any event within thirty (30) days
     after the end of each month in each  fiscal year of Century  Aluminum,  (i)
     unaudited monthly consolidated financial statements of Century Aluminum and
     its  Subsidiaries  for such month,  (ii)  unaudited  monthly  consolidating
     financial  statements  of Century  Aluminum and its  Subsidiaries  for such
     month and (iii)  unaudited  monthly  combined  financial  statements of the
     Borrowers  and the  Guarantors  for such  month and the  portion of Century
     Aluminum's  fiscal year and fiscal  quarter ended  through such date,  each
     prepared in  accordance  with GAAP,  together  with a  certification  by an
     Authorized  Officer of Century  Aluminum that the information  contained in
     such  financial  statements  fairly  presents  the  financial  condition of
     Century  Aluminum  and its  Subsidiaries  on the date  thereof  (subject to
     year-end adjustments);

          (d) beginning with the compliance  certificate  relating to the period
     ending December 31, 2001, simultaneously with the delivery of the financial
     statements referred to in subsection (c) for periods ending on the last day
     of a fiscal  quarter of  Century  Aluminum,  a  statement  certified  by an
     Authorized Officer of Century Aluminum in substantially the form of Exhibit
     D hereto (a "Compliance  Certificate"),  setting forth in reasonable detail
     computations (i) of the Applicable Margins, (ii) evidencing compliance with
     the covenants contained in ss.10 and (iii) Century Aluminum's  consolidated
     net worth ("Pechiney Net Worth Calculation");

          (e)  promptly  after the  filing  or  mailing  thereof,  copies of all
     material of a  financial  nature  filed with the  Securities  and  Exchange
     Commission or sent to the stockholders of Century Aluminum;

          (f) within (A) fifteen (15) days after the end of each calendar  month
     or at such earlier time as the Agent may  reasonably  request,  a Borrowing
     Base Report setting forth the Borrowing Base as at the end of such calendar
     month or other date so requested  by the Agent,  and (B) if at any time the
     Borrowing  Availability is less than  $10,000,000,  during such time, three
     (3) Business Days after the end of each calendar  week, (i) a report of the
     sales  and  collections  of  each  of the  Borrowers  for  the  immediately
     preceding  calendar  week,  and (ii) other  information as may from time to
     time be requested by the Agent relating to the Borrowers' inventory,  which
     information  can  be  provided  by  the  Borrowers  without   substantially
     disrupting their respective businesses.

          (g) within fifteen (15) days after the end of each calendar  month, an
     Accounts Receivable aging report;

          (h) not later than thirty (30) days  following  the  beginning of each
     fiscal year,  beginning with the fiscal year commencing on January 1, 2002,
     operating budgets and forecasts by division of the Borrowers and Guarantors
     with respect to such fiscal year,  prepared (x) on a consolidated basis and
     (y) on a quarterly basis, in form satisfactory to the Agent; and

          (i) from  time to time  such  other  financial  data  and  information
     (including  accountants',  management  letters) as the Agent may reasonably
     request.

<PAGE>
                                      -56-

     8.5. Notices.

          8.5.1.  Defaults.  The  Borrowers  will  promptly  notify the Agent in
     writing of the occurrence of any Default or Event of Default. If any Person
     shall  give any  notice or take any other  action in  respect  of a claimed
     default (whether or not constituting an Event of Default) under this Credit
     Agreement,  or  any  other  material  note  or  evidence  of  indebtedness,
     indenture or other  material  obligation  to which or with respect to which
     the Borrowers or any of their Subsidiaries are a party or obligor,  whether
     as principal, guarantor, surety or otherwise, the Borrowers shall forthwith
     give written notice  thereof to the Agent,  describing the notice or action
     and the nature of the claimed default.

          8.5.2.  Environmental  Events. The Borrowers will promptly give notice
     to the Agent (i) of any material  violation of any  Environmental  Law that
     any of the Borrowers or any of their Subsidiaries  reports in writing or is
     reportable  by such  Person in  writing  (or for which any  written  report
     supplemental to any oral report is made) to any Governmental  Authority and
     (ii)  upon   becoming   aware   thereof,   of  any   inquiry,   proceeding,
     investigation,  or other  action,  including  a notice  from any  agency of
     potential environmental  liability, of any Governmental Authority,  that is
     reasonably likely to have a Materially Adverse Effect.

          8.5.3.  Notification of Claim against Collateral.  The Borrowers will,
     promptly upon becoming  aware  thereof,  notify the Agent in writing of any
     setoff,  claims to which any of the Collateral,  or the Agent's rights with
     respect to the Collateral,  are subject and which are reasonably  likely to
     have a Materially Adverse Effect.

          8.5.4.  Notices of Litigation and Judgments.  The Borrowers  will, and
     will  cause  each of their  Subsidiaries  to,  give  notice to the Agent in
     writing  within  fifteen (15) days of becoming  aware of any  litigation or
     proceedings threatened in writing or any pending litigation and proceedings
     affecting any of the Borrowers or any of their Subsidiaries or to which any
     of the  Borrowers  or any of  their  Subsidiaries  is or  becomes  a  party
     involving an uninsured  claim  against any of the Borrowers or any of their
     Subsidiaries that could reasonably be expected to have a Materially Adverse
     Effect and stating the nature and status of such litigation or proceedings.
     Each of the Borrowers will, and will cause each of their  Subsidiaries  to,
     give notice to the Agent,  in writing,  in form and detail  satisfactory to
     the Agent,  within ten (10) days of any judgment not covered by  insurance,
     final  or  otherwise,  against  any  of  the  Borrowers  or  any  of  their
     Subsidiaries in an amount in excess of $1,000,000.

<PAGE>
                                      -57-

          8.5.5.  Notification  of  Delinquent  Payments  and Pechiney Net Worth
     Calculation.  The Borrowers  will,  promptly upon becoming  aware  thereof,
     notify the Agent in writing (a) of a delinquency  by Berkeley in the weekly
     payment of owner's and operating  expenses  required to be paid by Berkeley
     under  the  owner's  agreement  with  Alumax  of South  Carolina,  Inc.  in
     connection  with the Mt. Holly  Facility  located in Berkeley  City,  South
     Carolina,  or (b) if the Borrowers'  Pechiney Net Worth  Calculation  shall
     fall below $200,000,000.

     8.6. Corporate Existence;  Maintenance of Properties. The Borrowers will do
or cause to be done all things  necessary to preserve and keep in full force and
effect their corporate or partnership existence, rights and franchises and those
of their  Subsidiaries  and will not,  and will not cause or permit any of their
Subsidiaries to, convert to a limited  liability  company or a limited liability
partnership.  They (i) will  cause  all of their  properties  and those of their
Subsidiaries  used or useful in the conduct of their business or the business of
their  Subsidiaries  to be  maintained  and  kept in good  operating  condition,
ordinary  wear and tear  excepted,  and (ii) will,  and will cause each of their
Subsidiaries to, continue to engage primarily in the businesses now conducted by
them and in related  businesses;  provided  that  nothing in this  ss.8.6  shall
prevent the Borrowers from discontinuing the operation and maintenance of any of
their  properties or any of those of their  Subsidiaries if such  discontinuance
is, in the judgment of the  Borrowers,  desirable in the conduct of its or their
business and that do not have a Materially Adverse Effect.

     8.7.  Insurance.  Century Aluminum will maintain with financially sound and
reputable   insurers   insurance  with  respect  to  the  Borrowers'  and  their
Subsidiaries'  properties and business against such casualties and contingencies
as shall be in accordance  with the general  practices of businesses  engaged in
similar activities in similar  geographic areas and in amounts,  containing such
terms,  in such forms and for such periods as may be reasonable  and prudent and
in accordance with the terms of the Security Agreements.

     8.8.  Taxes.  Each of the  Borrowers  will,  and will  cause  each of their
Subsidiaries  to, duly pay and  discharge,  or cause to be paid and  discharged,
before  the  same  shall  become  overdue,  all  taxes,  assessments  and  other
governmental  charges  imposed  upon  it and  its  real  properties,  sales  and
activities,  or any part thereof,  or upon the income or profits  therefrom,  as
well as all claims for labor, materials, or supplies that if unpaid might by law
become a Lien upon any of its Property;  provided that any such tax, assessment,
charge,  levy or claim need not be paid if the validity or amount  thereof shall
currently  be  contested in good faith by  appropriate  proceedings  and if such
Borrower or such Subsidiary shall have set aside on its books adequate  reserves
with respect thereto.

<PAGE>
                                      -58-

     8.9. Inspection of Properties and Books, etc.

          8.9.1.  General.  Each Borrower shall permit the Lenders,  through the
     Agent or any of the Lenders' other designated representatives, to visit and
     inspect  any  of  the   properties   of  the  Borrowers  or  any  of  their
     Subsidiaries,  to examine the books of account of the  Borrowers  and their
     Subsidiaries  (and to make copies thereof and extracts  therefrom),  and to
     discuss the  affairs,  finances  and  accounts of the  Borrowers  and their
     Subsidiaries  with,  and to be  advised  as to the same by,  its and  their
     officers,  all at such  reasonable  times and intervals as the Agent or any
     Lender may reasonably request.

          8.9.2.  Collateral  Reports.  No more  frequently than three (3) times
     during each calendar year, or more frequently as determined by the Agent if
     an Event of Default shall have occurred and be continuing, upon the request
     of the Agent,  the Borrowers  will obtain and deliver to the Agent,  or, if
     the  Agent  so  elects,  will  cooperate  with  the  Agent  in the  Agent's
     obtaining,  a report of an independent  collateral auditor  satisfactory to
     the Agent (which may be affiliated with one of the Lenders) with respect to
     the Accounts Receivable and inventory  components included in the Borrowing
     Base,  which report shall indicate whether or not the information set forth
     in the  Borrowing  Base  Report most  recently  delivered  is accurate  and
     complete in all material  respects  based upon a review by such auditors of
     the Accounts Receivable (including verification with respect to the amount,
     aging,  identity  and  credit of the  respective  account  debtors  and the
     billing practices of the Borrowers or Guarantors) and inventory  (including
     verification  as to the value,  location and  respective  types).  All such
     collateral  value reports shall be conducted and made at the expense of the
     Borrowers;  provided,  however,  so long as no  Default or Event of Default
     exists,  the Agent may not conduct more than one (1) such collateral report
     during any 12 month  period in which the Loans  outstanding  plus Letter of
     Credit Exposure do not exceed $10,000,000.

     8.10. Compliance with Laws, Contracts,  Licenses, and Permits. Except where
non-compliance  would  not be  reasonably  likely to have a  Materially  Adverse
Effect,  each of the Borrowers  will, and will cause each of their  Subsidiaries
to, comply with (i) the  Applicable  Laws wherever  their business is conducted,
including  all  Environmental   Laws,  (ii)  the  provisions  of  its  Governing
Documents,  (iii)  all their  Contractual  Obligations  and (iv) all  applicable
decrees, orders, and judgments. The Borrowers will, or (as the case may be) will
cause  their  Subsidiaries  to,  immediately  take  or  cause  to be  taken  all
reasonable  steps within the power of the  Borrowers or any such  Subsidiary  to
obtain any  Approval at any time  required to be obtained  and furnish the Agent
and the Lenders with evidence thereof.

     8.11.  Employee Benefit Plans. Each of the Borrowers will (i) promptly upon
filing the same with the  Department of Labor or Internal  Revenue  Service upon
request of the Agent,  furnish to the Agent a copy of the most recent  actuarial
statement  required to be submitted  under ss.103(d) of ERISA and Annual Report,
Form 5500, with all required attachments,  in respect of each Guaranteed Pension
Plan and (ii)  promptly  upon  receipt  or  dispatch,  furnish  to the Agent any
notice,  report or demand sent or received  in respect of a  Guaranteed  Pension
Plan under  ss.ss.302,  4041, 4042, 4043, 4063, 4065, 4066 and 4068 of ERISA, or
in respect of a Multiemployer Plan, under ss.ss.4041A, 4202, 4219, 4242, or 4245
of ERISA.

<PAGE>
                                      -59-

     8.12.  Use of Proceeds.  The Borrowers will use the proceeds of their Loans
and will obtain Letters of Credit solely for the purposes set forth in ss.7.17.

     8.13. Bank Accounts.

          8.13.1.  General.  On or prior to the Closing Date,  the Borrowers and
     Guarantors  will,  (i)  establish  depository  blocked  accounts with Fleet
     National Bank (the "Fleet  Blocked  Account")  under the sole and exclusive
     dominion  and  control of the Agent for the  benefit of the Lenders and the
     Agent, in the name of Century  Aluminum,  (ii) instruct all account debtors
     and other  obligors,  pursuant  to notices of  assignment  and  instruction
     letters in form and substance  satisfactory to the Agent, to remit all cash
     proceeds of Accounts  Receivable to (x) local  depository  accounts ("Local
     Accounts") or concentration  depository  accounts  ("Interim  Concentration
     Accounts")  with Fleet  National Bank or any other  financial  institutions
     which have entered into  three-party  blocked  account  agreements  and, if
     applicable, lock box agreements (collectively, "Agency Account Agreements")
     in form and  substance  satisfactory  to the Agent,  (y) the Fleet  Blocked
     Account  or  (z)  the   Commingled   Account  with  respect  to  Commingled
     Receivables,  (iii) direct all depository  institutions with Local Accounts
     to cause all funds held in each such Local  Account  to be  transferred  no
     less   frequently   than  once  each  day  to,  and  only  to,  an  Interim
     Concentration  Account  or the  Fleet  Blocked  Account,  (iv)  direct  all
     depository  institutions with Interim  Concentration  Accounts to cause all
     funds  of the  Borrowers  and  their  Subsidiaries  held  in  such  Interim
     Concentration  Accounts to be transferred  daily to, and only to, the Fleet
     Blocked  Account,  (v) direct all depository  institutions  with Commingled
     Accounts to cause all proceeds of the Collateral in the Commingled Accounts
     to be transferred daily (or with respect to proceeds of Accounts Receivable
     due from Beck Aluminum Corporation, no less frequently than weekly) to, and
     only to, the Interim  Concentration  Accounts or the Fleet Blocked  Account
     and (vi) at all times ensure that immediately upon any of the Borrowers' or
     any of their Subsidiaries'  receipt of any funds constituting cash proceeds
     of any  Collateral,  all such amounts shall have been  deposited in a Local
     Account,  an Interim  Concentration  Account,  a Commingled  Account or the
     Fleet Blocked Account.  The Borrowers shall  immediately  provide the Agent
     with  notice  amending  Schedule  7.20 if any new Local  Accounts,  Interim
     Concentration  Accounts  and  other  bank  accounts  of the  Borrowers  and
     Guarantors are opened after the Closing Date.

<PAGE>
                                      -60-

          8.13.2.  Acknowledgment  of Application.  The Borrowers  hereby agrees
     that all amounts received by the Agent in the Fleet Blocked Account will be
     under the sole and  exclusive  dominion  and control of the Agent,  for the
     accounts of the Lenders and the Agent, to be applied in accordance  ss.2.11
     or  ss.2.12  as  applicable  or  as  otherwise  permitted  by  this  Credit
     Agreement.

     8.14.  Ownership of Subsidiaries.  Except as otherwise  permitted by ss.9.5
hereof,  Century  Aluminum  shall,  directly or  indirectly  through one or more
Subsidiaries,  maintain  legal and beneficial  ownership of one hundred  percent
(100%) of the equity  interests of each of the other Borrowers and the Borrowers
shall  maintain  legal and  beneficial  ownership of one hundred  percent (100%)
(other  than  qualifying  shares  required to be held by  directors  pursuant to
Applicable  Law)  of the  equity  interests  of each  of the  other  Guarantors;
provided,  that the  Borrowers  shall be  permitted  to dissolve  RISC,  Vialco,
Metalsco, Skyliner and NSA with the consent of the Agent.

     8.15.  Permitted  Acquisitions.  (a)In the case of any property acquired by
any of the Borrowers or any of their Subsidiaries in connection with a Permitted
Acquisition  which  constitutes  Collateral  (i) pledge such  Collateral (to the
maximum  extent  permitted by  Applicable  Law) to the Agent as security for the
payment in full of all the Obligations,  pursuant to documentation  satisfactory
to the  Agent,  and (ii)  perform  any  filings,  recordings  or  other  actions
necessary  in the  reasonable  judgment  of the  Agent to create in favor of the
Agent a  perfected  first-priority  security  interest  in all  such  Collateral
(subject only to Permitted Liens).

          (b)  Deliver  to the Agent  within ten (10) days after the date of any
     Permitted   Acquisition,   true,  complete,  and  correct  copies  of  each
     instrument  of transfer,  officer's  certificate,  legal  opinion and other
     material  instrument or agreement  executed and delivered by the applicable
     seller  and/or the  applicable  Borrower  or  Subsidiary  of a Borrower  in
     connection with such Permitted Acquisition.

     8.16.  Environmental  Reports,  etc..  Within  fifteen  (15)  days  of  the
Borrowers'  receipt  thereof,  the Borrowers will make available for the Agent's
review at one central location  reasonably  agreed upon by the Borrowers and the
Agent, copies of all material  environmental  assessment  reports,  any material
plans of the  Borrowers for  remediation  and all other  material  environmental
communications with environmental regulatory agencies.

     8.17. Further  Assurances.  Each of the Borrowers will, and will cause each
of the Guarantors to,  cooperate with the Lenders and the Agent and execute such
further  instruments and documents as the Lenders or the Agent shall  reasonably
request to carry out to their satisfaction the transactions contemplated by this
Credit Agreement and the other Loan Documents.

<PAGE>
                                      -61-

                 9. CERTAIN NEGATIVE COVENANTS OF THE BORROWER.

     Each of the  Borrowers  covenants  and  agrees  that,  so long as any Loan,
Unpaid Reimbursement Obligation,  Letter of Credit or Note is outstanding or any
Lender  has any  obligation  to make  any  Loans  or the  Issuing  Bank  has any
obligations to issue, extend or renew any Letters of Credit:

     9.1.  Restrictions  on  Indebtedness.  The Borrowers will not, and will not
permit any of the  Guarantors  to,  create,  incur,  assume,  guarantee or be or
remain liable, contingently or otherwise, with respect to any Indebtedness other
than:

          (a)  Indebtedness  to the  Lenders,  the  Issuing  Bank and the  Agent
     arising under any of the Loan Documents;

          (b) endorsements for collection, deposit or negotiation and warranties
     of products or services,  in each case  incurred in the ordinary  course of
     business;

          (c) Subordinated Debt; provided that the aggregate principal amount of
     such Indebtedness of the Borrowers and their  Subsidiaries shall not exceed
     the aggregate amount of $3,000,000 at any one time;

          (d) Indebtedness incurred in connection with the acquisition after the
     date hereof of any real or  personal  property by a Borrower or a Guarantor
     or under any  Capitalized  Lease,  provided  that the  aggregate  principal
     amount of such  Indebtedness of the Borrowers and the Guarantors  shall not
     exceed the aggregate amount of $5,000,000 at any one time;

          (e) Derivative Obligations to the extent permitted by ss.9.14;

          (f) Indebtedness  existing on the date hereof and listed and described
     on Schedule 9.1 hereto;

          (g)  Indebtedness  of a Borrower or Guarantor  to another  Borrower or
     Guarantor;

          (h) commissions  and other transfers  payable by Century WV to RISC in
     accordance  with  applicable  Code  regulations  to satisfy  RISC's federal
     income tax liabilities  and to pay for reasonable  accounting and corporate
     maintenance expenses;

          (i) the First Mortgage Notes and guaranties  thereof by the Guarantors
     and  the  Borrowers,  upon  the  terms  and  conditions  set  forth  in the
     Indenture;

          (j)  Indebtedness  of up to $7,815,000  principal  amount under the IR
     Bonds assumed pursuant to the Hawesville Acquisition;

          (k) Indebtedness  consisting of contingent adjustments to the purchase
     price  of the  Hawesville  Acquisition  in  accordance  with  the  purchase
     documents as in effect on the Closing Date;

<PAGE>
                                      -62-

          (l) repurchases of stock to the extent permitted by Section 9.4; and

          (m) other  Indebtedness;  provided that the aggregate principal amount
     of such  Indebtedness of the Borrowers and the Guarantors  shall not exceed
     the aggregate amount of $1,000,000 at any one time.

     9.2. Restrictions on Liens. The Borrowers will not, and will not permit any
of the Guarantors to, (i) create or incur or suffer to be created or incurred or
to exist  any Lien upon any of their  Property  whether  now owned or  hereafter
acquired,  or upon the income or profits  therefrom;  (ii)  transfer any of such
Property or the income or profits  therefrom for the purpose of  subjecting  the
same to the payment of  Indebtedness  or performance of any other  obligation in
priority  to  payment  of its  general  creditors;  (iii)  acquire,  or agree to
acquire,  any property or assets upon  conditional sale or other title retention
or purchase  money security  agreement,  device or  arrangement;  (iv) suffer to
exist for a period of more than  thirty (30) days after the same shall have been
incurred any  Indebtedness or claim or demand against it that if unpaid might by
law or upon  bankruptcy  or  insolvency,  or  otherwise,  be given any  priority
whatsoever over its general  creditors;  (v) sell,  assign,  pledge or otherwise
transfer any  "receivables"  as defined in clause (vii) of the definition of the
term "Indebtedness,"  with or without recourse;  or (vi) enter into or permit to
exist any  arrangement or agreement,  enforceable  under  Applicable  Law, which
directly or indirectly  prohibits the Borrowers or the Guarantors  from creating
or  incurring  any Lien on  Collateral  other than in favor of the Agent for the
benefit of the  Lenders and the Agent  under the Loan  Documents  and other than
customary anti-assignment  provisions in leases and licensing agreements entered
into by a  Borrower  or a  Guarantor  in the  ordinary  course of its  business;
provided,  that the Borrowers or any Subsidiary may create or incur or suffer to
be created or incurred or to exist:

          (a)  Liens in  favor of a  Borrower  on all or part of the  assets  of
     Subsidiaries of such Borrower securing  Indebtedness  owing by Subsidiaries
     of such Borrower to such Borrower;

          (b) Liens to secure taxes, assessments and other government charges in
     respect of obligations  not overdue or Liens on properties to secure claims
     for labor, material or supplies in respect of obligations not overdue;

          (c) deposits or pledges made in connection  with, or to secure payment
     of, workmen's  compensation,  unemployment  insurance,  old age pensions or
     other  social  security  obligations  or  similar  laws,  or to secure  the
     performance of bids,  tenders or contracts (other than for the repayment of
     borrowed money) or to secure indemnity,  performance or other similar bonds
     for the  performance  of bids,  tenders or  contracts  (other  than for the
     repayment of borrowed money) or to secure statutory obligations (other than
     Liens arising under ERISA or Environmental Laws) or surety or appeal bonds,
     or to secure indemnity,  performance or other similar bonds in the ordinary
     course of business;

<PAGE>
                                      -63-

          (d) Liens on  properties  in respect of  judgments or awards that have
     been in force for less than the applicable  period for taking an appeal (or
     liens  securing  an  appeal  bond)  so  long  as  execution  is not  levied
     thereunder or in respect of which such Borrower or such Guarantor  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;

          (e) Liens of carriers,  warehousemen,  mechanics and materialmen,  and
     other like Liens on  properties,  (i) in existence  less than 120 days from
     the date of creation thereof in respect of obligations not overdue, or (ii)
     which are being contested by appropriate proceedings diligently pursued;

          (f)  encumbrances  on Real Estate  consisting of easements,  rights of
     way,  zoning  restrictions,  restrictions  on the use of real  property and
     defects and  irregularities  in the title  thereto,  landlord's or lessor's
     liens under leases to which a Borrower or  Guarantor is a party,  and other
     minor Liens or  encumbrances  none of which in the opinion of the Borrowers
     interferes materially with the use of the property affected in the ordinary
     conduct of the business of the Borrowers and the Guarantors,  which defects
     do not individually or in the aggregate have a Materially Adverse Effect;

          (g) Liens  existing  on the date  hereof  and listed on  Schedule  9.2
     hereto;

          (h) purchase money security  interests in or purchase money  mortgages
     on real or  personal  property  acquired  after  the date  hereof to secure
     purchase money  Indebtedness of the type and amount permitted by ss.9.1(d),
     incurred  in  connection  with  the  acquisition  of such  property,  which
     security interests or mortgages cover only the real or personal property so
     acquired;

          (i) Liens in favor of the Agent for the benefit of the Lenders and the
     Agent under the Loan Documents;

          (j) (I) Liens in favor of holders of the First  Mortgage Notes and the
     trustee  and any other agent  therefor  referred  to in the  Indenture  and
     related security documents and (II) transfers referred to in clause (ii) of
     the introductory  paragraph to this Section 9.2, claims or demands referred
     to in clause (iv) of the  introductory  paragraph  to this  Section 9.2 and
     arrangements or agreements  referred to in clause (vi) of the  introductory
     paragraph  to this  Section  9.2,  in each case to the extent they arise in
     connection with the First Mortgage Notes; provided that such Liens, claims,
     demands,  arrangements or agreements do not extend to the Collateral (other
     than  restrictions  contained in the First Mortgage Notes on the ability to
     grant Liens to secure Indebtedness other than the Obligations);

          (k) Liens to secure the IR Bonds; and

<PAGE>
                                      -64-

          (l) Liens, claims, demands and arrangements under the Owners Agreement
     and the Mt. Holly Owners Agreement,  so long as such Liens, claims, demands
     and arrangements (A) do not relate to the Accounts  Receivable,  and (B) to
     the extent they relate to inventory of the Borrowers,  such Liens,  claims,
     demands and  arrangements  are subject to (x) in the case of the Mt.  Holly
     Owners Agreement,  the bailee letter between Fleet Capital  Corporation and
     Alumax of South Carolina,  Inc., dated as of April 26, 2000, and (y) in the
     case of the Owners Agreement, a Non-Setoff Agreement in the form of Exhibit
     K hereto.

     9.3. Restrictions on Investments.  None of the Borrowers will, and will not
permit  any of  the  Guarantors  to,  make  or  permit  to  exist  or to  remain
outstanding any Investment except that the Borrowers and the Guarantors may make
Investments in:

          (a) marketable  direct or guaranteed  obligations of the United States
     of America that mature within one (1) year from the date of purchase by the
     Borrower or Guarantor;

          (b) demand deposits,  certificates of deposit, bankers acceptances and
     time  deposits of United  States  banks  having  total  assets in excess of
     $1,000,000,000;

          (c)  securities  commonly  known as  "commercial  paper"  issued  by a
     corporation  organized and existing  under the laws of the United States of
     America or any state  thereof that at the time of purchase  have been rated
     and the  ratings  for  which  are not less  than "P 1" if rated by  Moody's
     Investors  Service,  Inc., and not less than "A 1" if rated by Standard and
     Poor's Rating Group;

          (d) mutual funds, money markets,  and other pooled investment vehicles
     which invest in investments of the type set forth in items (a), (b) and (c)
     above;

          (e) Investments existing on the date hereof and listed on Schedule 9.3
     hereto;

          (f) Investments with respect to Indebtedness permitted by ss.9.1(g) so
     long as such entities remain Borrowers or Guarantors;

          (g) Investments consisting of the Guarantees;

          (h) Investments constituting Permitted Acquisitions;

          (i) Investments consisting of promissory notes received as proceeds of
     asset dispositions permitted by 9.5.2;

          (j)  Investments  made by any Borrower or any  Guarantor  (i) in or to
     Century  Kentucky,  LLC to fund the  general  operating  activities  of the
     Hawesville  Facility to the extent required from time to time by the Owners
     Agreement  plus up to $500,000 and (ii) as required by the Mt. Holly Owners
     Agreement  to fund  the  general  operating  activities  of the  Mt.  Holly
     aluminum facility;

          (k)  Investments  made by any  Borrower or any  Guarantor in or to any
     other Borrower or Guarantor;

<PAGE>
                                      -65-

          (l)  Investments  consisting  of loans and advances to  employees  for
     moving,  entertainment,  travel and other similar  expenses in the ordinary
     course of business not to exceed  $1,000,000  in the  aggregate at any time
     outstanding;

          (m) Derivative Obligations;

          (n)  equipment  or  real  property  to be used  in the  business  of a
     Borrower or Guarantor so long as the acquisition  costs to such Borrower or
     Guarantor  of  such   equipment  or  real   property   constitute   Capital
     Expenditures permitted hereunder;

          (o)  goods  held for sale or lease or to be used by such  Borrower  or
     Guarantor in the ordinary course of business;

          (p)  current  assets  arising  from  the sale or lease of goods or the
     rendition of services in the ordinary  course of business of such  Borrower
     or Guarantor;

          (q)  Investments  by the  Borrowers or  Guarantors  consisting  of the
     purchase  price  or  expenses  incurred  in the  European  Acquisition  and
     capitalization of, and intercompany loans to the European Subsidiary not to
     exceed $15,000,000 in the aggregate at any time outstanding; provided, that
     the Borrowers shall have Borrowing  Availability after giving effect to the
     European  Acquisition of at least (A)  $20,000,000 if the  Obligations  are
     rated "BB-" or higher by Standard and Poor's Rating Group or "Ba3 or higher
     by Moody's Investors Service,  Inc. or (B) $25,000,000 in all circumstances
     other than listed in part (A) of this paragraph (q);

          (r) one or more  contributions  by Century WV of up to an aggregate of
     300 acres of land to one or more Persons to facilitate the  construction of
     a power facility at Ravenswood, West Virginia;

          (s) the  "Reconstitution"  permitted  by  Section  9.1.3 of the Owners
     Agreement;

          (t) the Hawesville Acquisition; and

          (u)  Investments  consisting of the  guarantees of the First  Mortgage
     Notes, including pursuant to the security documents with respect thereto.

     9.4.  Distributions.  The  Borrowers and the  Guarantors  will not make any
Distributions; provided, however, that so long as no Default or Event of Default
has occurred and is continuing,  or would result therefrom,  (a) Subsidiaries of
the Borrowers  (including  any Borrower) may make  Distributions  in the form of
cash  dividends to a Borrower or any  Guarantor,  (b) Century  Aluminum may make
Distributions  relating to the purchase of the stock of Metalsco pursuant to the
Hawesville  Acquisition on the Closing Date, (c) Century Aluminum may repurchase
stock of officers,  directors and employees and former  officers,  directors and
employees so long as such  repurchases to not exceed  $4,000,000 per fiscal year
and $8,000,000 in the aggregate following the Closing Date, (d) Century Aluminum
may redeem,  repurchase or make other  Distributions on account of its preferred
stock or common  stock so long as such  payments  do not exceed  $2,500,000  per
fiscal year,  provided  that any amount  permitted to be paid in any fiscal year
may be  paid  in  any  subsequent  fiscal  year,  and  (e)  in  addition  to the
Distributions  permitted in the foregoing clauses (a), (b), (c) and (d), Century
Aluminum may make  Distributions  (including for the purposes referred to in the
foregoing clauses (a), (b), (c) and (d) above) so long as the amount of all such
Distributions does not exceed $5,000,000 in the aggregate for any fiscal year.

<PAGE>
                                      -66-

     9.5. Merger, Consolidation and Disposition of Assets.

          9.5.1. Mergers and Acquisitions.  The Borrowers will not, and will not
     permit  any of their  Subsidiaries  to,  become a party  to any  merger  or
     consolidation,  or  agree  to or  effect  any  asset  acquisition  or stock
     acquisition (other than the acquisition of assets in the ordinary course of
     business  consistent  with past  practices)  except  for (a) the  merger or
     consolidation  of one or more of the  Subsidiaries  of a Borrower  with and
     into a Borrower or  Guarantor,  (b) the merger or  consolidation  of two or
     more  Subsidiaries of any of the Borrowers so long as the surviving  entity
     is a Borrower  or a  Guarantor  or (c)  Investments  permitted  by Sections
     9.3(h),(k),(n),(o),(p),(q), (r), (s), (t) or (u).

          9.5.2.  Disposition  of Assets.  The Borrowers  will not, and will not
     permit  any of  their  Subsidiaries  to,  become  a party to or agree to or
     effect  any  disposition  of  material  assets,  other than (a) the sale of
     inventory,  the licensing of intellectual  property, and the disposition of
     obsolete assets, in each case in the ordinary course of business consistent
     with  past  practices,   (b)  the  Glencore  Hawesville  Acquisition,   (c)
     Investments  permitted by Section 9.3(a), (b), (c), (d), (k), (r), (s), (t)
     or (u),  (d) any sale of stock or assets of the  European  Subsidiary,  (e)
     sales of electrical power,  including for load management purposes,  in the
     ordinary  course of  business,  and (f)  dispositions  of other  assets not
     consisting of  Collateral  which  individually  and in the aggregate do not
     have a fair market value in excess of $25,000,000.

     9.6. Sale and Leaseback. The Borrowers will not, and will not permit any of
their  Subsidiaries  to,  enter into any  arrangement,  directly or  indirectly,
whereby any Borrower or any  Subsidiary  of any Borrower  shall sell or transfer
any property  owned by it in order then or  thereafter to lease such property or
lease other property that such Borrower or such Subsidiary of a Borrower intends
to use  for  substantially  the  same  purpose  as the  property  being  sold or
transferred.

     9.7.  Compliance with Environmental  Laws. The Borrowers will not, and will
not permit any of their  Subsidiaries  to, (i) except to the extent  required in
the  day-to-day  conduct of their  business,  use any of the Real  Estate or any
portion thereof for the handling,  processing,  storage or disposal of Hazardous
Substances,  (ii)  except to the extent  required in the  day-to-day  conduct of
their business,  generate any Hazardous  Substances on any of the Real Estate or
own or operate any underground tank or other underground  storage receptacle for
any  Hazardous  Substances  in any manner  that  would  materially  violate  any
Environmental  Law or bring such Real  Estate  into  material  violation  of any
Environmental Law, or (iii) otherwise conduct any activity at any Real Estate or
use any Real Estate in any manner that would  violate any  Environmental  Law or
bring such Real Estate in violation of any  Environmental  Law,  except any such
use or violation as would not be reasonably likely to have a Materially  Adverse
Effect.

<PAGE>
                                      -67-

     9.8.  Employee Benefit Plans. None of the Borrowers nor any ERISA Affiliate
will,

          (a)  engage in any  "prohibited  transaction"  within  the  meaning of
     ss.406 of ERISA or  ss.4975 of the Code  which  could  result in a material
     liability for any of the Borrowers or any of their Subsidiaries; or

          (b)  permit  any  Guaranteed  Pension  Plan to incur  an  "accumulated
     funding deficiency", as such term is defined in ss.302 of ERISA, whether or
     not such deficiency is or may be waived; or

          (c) fail to  contribute  to any  Guaranteed  Pension Plan to an extent
     which,  or terminate any Guaranteed  Pension Plan in a manner which,  could
     result in the imposition of a Lien on the assets of any of the Borrowers or
     any of their Subsidiaries pursuant to ss.302(f) or ss.4068 of ERISA; or

          (d) amend any Guaranteed  Pension Plan in circumstances  requiring the
     posting of security pursuant toss.307 of ERISA orss.401(a)(29) of the Code;
     or

          (e)  permit or take any action  which  would  result in the  aggregate
     benefit  liabilities  (with  the  meaning  of  ss.4001  of  ERISA)  of  all
     Guaranteed  Pension Plans  exceeding  the value of the aggregate  assets of
     such Plans by more than  $100,000,000,  disregarding  for this  purpose the
     benefit  liabilities  and assets of any such Plan with  assets in excess of
     benefit liabilities.

     9.9. Business  Activities.  The Borrowers will not, and will not permit any
of  their  Subsidiaries  to  engage  directly  or  indirectly  (whether  through
Subsidiaries  or  otherwise) in any type of business  other than the  businesses
conducted by them on the Closing Date and in Related Businesses.

     9.10.  Fiscal Year.  The Borrowers will not, and will not permit any of the
Guarantors  to,  change the date of the end of their  fiscal  year from that set
forth in ss.7.4.1.

     9.11.  Transactions  with Affiliates.  Except as set forth on Schedule 9.11
and except for transactions solely between or among any Borrowers or Guarantors,
the Borrowers will not, and will not permit any of their Subsidiaries to, engage
in any  transaction  with any  Affiliate  (other than for services as employees,
officers and directors),  including any contract, agreement or other arrangement
providing for the furnishing of services to or by,  providing for rental of real
or personal property to or from, or otherwise  requiring payments to or from any
such  Affiliate or, to the knowledge of any of the Borrowers,  any  corporation,
partnership, trust or other entity in which any such Affiliate has a substantial
interest or is an officer, director, trustee or partner, on terms more favorable
to such Person than would have been obtainable on an  arm's-length  basis in the
ordinary course of business.

<PAGE>
                                      -68-

     9.12.  Bank  Accounts.  The Borrowers  will not, and will not permit any of
their  Subsidiaries  to, (i) establish any bank accounts  other than those Local
Accounts,  Interim  Concentration  Accounts  and other  accounts,  all listed on
Schedule 7.20,  without the Agent's prior written  consent,  (ii) violate in any
material  respect  directly or indirectly any Agency Account  Agreement or other
bank agency or lock box  agreement  in favor of the Agent for the benefit of the
Lenders and the Agent with respect to such account, or (iii) deposit into any of
the payroll  accounts  listed on Schedule  7.20 any amounts in excess of amounts
necessary to pay current payroll obligations from such accounts.

     9.13.  Limitations  on Operation of  Subsidiaries.  The Borrowers  will not
permit any  Subsidiary  which is not a Borrower or a Guarantor  to (a) engage in
any business or operations of any kind, (b) have any  Indebtedness  owing to any
Borrower  or any  Guarantor,  or (c) hold  assets of more than  $100,000  in the
aggregate,  at any time unless such Subsidiary becomes a Borrower or a Guarantor
pursuant  to the  provisions  of  this  Credit  Agreement  and  the  other  Loan
Documents;  provided,  however,  that  Century  Kentucky,  LLC may engage in the
business and operations,  incur Indebtedness  (other than Indebtedness for money
borrowed) and hold assets, all as contemplated by the Owners Agreement.

     9.14. Derivative  Obligations.  The Borrowers will not, and will not permit
any of their  Subsidiaries to, enter into any Derivative  Obligation  except for
(a)  Derivative  Obligations  with  any  of  the  Lenders  under  interest  rate
protection   agreements  or  foreign  exchange   agreements  or  (b)  Derivative
Obligations entered into for bona fide hedging purposes, and not for speculative
purposes.

                    10. FINANCIAL COVENANTS OF THE BORROWER.

     Each of the  Borrowers  covenants  and  agrees  that,  so long as any Loan,
Unpaid Reimbursement Obligation,  Letter of Credit or Note is outstanding or any
Lender  has any  obligation  to make  any  Loans  or the  Issuing  Bank  has any
obligation to issue, extend or renew any Letters of Credit:

     10.1.  Capital  Expenditures.  The Borrowers  will not permit the aggregate
amount of Capital Expenditures of the Borrowers and their Subsidiaries to exceed
(a)  during  the  2001  fiscal  year,   $30,000,000  (excluding  the  Hawesville
Acquisition  and the  European  Acquisition),  and (b) during  each  fiscal year
thereafter, the sum of (i) $20,000,000 plus (ii) fifty percent (50%) of Combined
EBITDA (on an annualized  basis in respect of  Subsidiaries  owned for less than
the full  previous  fiscal year) in excess of  $90,000,000  for the  immediately
preceding fiscal year (excluding the European Acquisition).

<PAGE>
                                      -69-

                    11. REVOLVING CREDIT CLOSING CONDITIONS.

     The obligations of the Lenders to make the Loans and of the Issuing Bank to
issue  any  Letters  of  Credit  shall be  subject  to the  satisfaction  of the
following conditions precedent on or prior to the Closing Date:

     11.1. Proceedings and Loan Documents.

          11.1.1.  Proceedings.   All  actions  required  of  the  Borrowers  in
     connection with the transactions contemplated by this Credit Agreement, the
     other Loan  Documents  and all other  documents  incident  thereto shall be
     satisfactory  in substance  and in form to the Lenders and to the Agent and
     the Agent's Special  Counsel,  and the Lenders,  the Agent and such counsel
     shall have  received  all  information  and such  counterpart  originals or
     certified  or other copies of such  documents  as the Agent may  reasonably
     request.

          11.1.2.  Loan  Documents.  Each of the Loan Documents  shall have been
     duly executed and delivered by the respective parties thereto,  shall be in
     full force and effect and shall be in form and  substance  satisfactory  to
     each of the Lenders.  Each Lender shall have received a fully executed copy
     of each such document.

     11.2. Certified Copies of Charter Documents. Each of the Lenders shall have
received from each of the Borrowers and each  Guarantor a copy,  certified by an
Authorized  Officer,  secretary or assistant secretary of such Person to be true
and  complete  on the  Closing  Date,  of  each  of (i)  its  charter  or  other
incorporation documents as in effect on such date of certification, and (ii) its
by-laws as in effect on such date.

     11.3.  Corporate  Action.  All  corporate  action  necessary  for the valid
execution,  delivery and  performance  by each of the  Borrowers and each of the
Guarantors of this Credit  Agreement and the other Loan Documents to which it is
or is to become a party shall have been duly and effectively taken, and evidence
thereof  satisfactory  to the  Lenders  shall have been  provided to each of the
Lenders.

<PAGE>
                                      -70-

     11.4.  Incumbency  Certificate.  Each of the Lenders shall have received an
incumbency certificate, dated as of the Closing Date, covering the Borrowers and
the  Guarantors  signed  by an  Authorized  Officer  of the  Borrowers  and  the
Guarantors,  and  giving  the name and  bearing  a  specimen  signature  of each
individual  who shall be  authorized:  (i) to sign, in the name and on behalf of
each of such  Borrower or such  Guarantor,  each of the Loan  Documents to which
such Borrower or such Guarantor is or is to become a party;  (ii) in the case of
the Borrowers,  to make Loan Requests and  Conversion  Requests and to apply for
Letters of Credit;  and (iii) to give  notices  and to take other  action on its
behalf under the Loan Documents.

     11.5. Validity of Liens.

     After the filings, recordings and other actions referred to in this Section
11.5 have been made,  the  Security  Documents  shall be  effective to create in
favor of the Agent a legal,  valid and  enforceable  first priority  (except for
Permitted Liens entitled to priority under Applicable Law) security  interest in
and Lien upon the  Collateral.  The Agent shall have  received all documents and
instruments necessary for the filings and recordings and other actions necessary
or desirable in the opinion of the Agent to protect and preserve  such  security
interests.  The Agent shall have received evidence thereof in form and substance
satisfactory to the Agent.

     11.6. Perfection  Certificates and UCC Search Results. The Agent shall have
received a completed and fully executed Perfection  Certificate covering each of
the  Borrowers and  Guarantors  and the Agent shall have received the results of
UCC searches  with  respect to the  Collateral,  indicating  no Liens other than
Permitted Liens and otherwise in form and substance satisfactory to the Agent.

     11.7.   Certificates  of  Insurance.   The  Agent  shall  have  received  a
certificate of insurance from an  independent  insurance  broker dated as of the
Closing Date,  identifying insurers,  types of insurance,  insurance limits, and
policy terms, and otherwise describing the insurance obtained in accordance with
the provisions of the Security Agreements.

     11.8. Agency Account  Agreements.  The Borrowers shall have established the
Fleet  Blocked  Account,  and the Agent shall have  received  an Agency  Account
Agreement  executed by each  depository  institution  with a Local Account or an
Interim Concentration Account.

     11.9.  Borrowing  Base Report and Borrowing  Availability.  The Agent shall
have received from the Borrowers the initial  Borrowing  Base Report dated as of
the Closing Date,  using financial  information as of February 28, 2001 and such
Borrowing  Base  Report  shall  evidence  that,   after  giving  effect  to  all
transactions  to occur on the Closing Date,  the Borrowers  shall have Borrowing
Availability,  under ss.2.1 of the Credit  Agreement on the Closing Date, of not
less than $10,000,000.

<PAGE>
                                      -71-

     11.10.  Accounts  Receivable  Aging  Report,  Etc..  The Agent  shall  have
received from the Borrowers the most recent Accounts  Receivable aging report of
the  Borrowers  and their  Subsidiaries  dated as of the end of February and the
Borrowers  shall have  notified  the Agent in writing on the Closing Date of any
material  deviation  from  the  Accounts  Receivable  values  reflected  in such
Accounts  Receivable  aging  report and shall have  provided the Agent with such
supplementary documentation as the Agent may reasonably request.

     11.11.  Solvency  Certificate.  Each of the Lenders  shall have received an
officer's certificate of Century Aluminum dated as of the Closing Date as to the
solvency of the Borrowers and the Guarantors  following the  consummation of the
transactions  contemplated herein and in form and substance  satisfactory to the
Lenders.

     11.12.  Litigation.  As of the  Closing  Date,  there  shall be no actions,
suits,  proceedings or investigations of any kind pending or, to the best of any
of the Borrowers'  knowledge,  threatened against any of the Borrowers or any of
their  Subsidiaries  before any  Governmental  Authority,  that (a) if adversely
determined,  would,  either in any case or in the  aggregate,  (i) be reasonably
likely to have a  Materially  Adverse  Effect or (ii) result in any  substantial
liability not adequately  covered by insurance,  or (b) question the validity or
enforceability of any of the Loan Documents,  or any action taken or to be taken
pursuant hereto or thereto.

     11.13.  Material  Adverse Effect.  Since the Balance Sheet Date there shall
have occurred no Materially Adverse Effect.

     11.14.  Opinion of  Counsel.  Each of the  Lenders and the Agent shall have
received  favorable legal opinions addressed to the Lenders and the Agent, dated
as of the Closing Date, in form and  substance  satisfactory  to the Lenders and
the Agent,  from each of Curtis,  Mallet-Prevost,  Colt & Mosle, LLP and Bowles,
Rice, McDavid, Graff & Love, PLLC, counsel to the Borrowers and the Guarantors.

     11.15. Payment of Fees. The Borrowers shall have paid to the Lenders or the
Agent, as appropriate, any Fees due pursuant to ss.ss.4.6, 5.1 and 5.2.

     11.16. Financial Statements and Projections.  The Agent shall have received
copies of the financial statements and projections described in ss.7.4.

<PAGE>
                                      -72-

     11.17.  Payoff  Letter.  The Agent shall have received a payoff letter from
Fleet  National  Bank,  indicating  the  amount of the loan  obligations  of the
Borrowers,  if any, and terminating the commitments  under the Revolving  Credit
and Term  Loan  Agreement  dated as of March  31,  1999,  among  certain  of the
Borrowers,  the lenders thereto, and Fleet Capital Corporation as administrative
agent and collateral  agent (the "Existing  Facility"),  to be discharged on the
Closing Date.

     11.18.   Disbursement   Instructions.   The  Agent   shall  have   received
disbursement  instructions from the Borrowers,  indicating that a portion of the
proceeds of the Loan, in an amount equal to the aggregate  loan  obligations  of
the Borrowers to Fleet National Bank pursuant to the Existing Facility, are paid
to Fleet National Bank.

     11.19.  Consummation of the Hawesville  Acquisition and Glencore Hawesville
Acquisitions. The Hawesville Acquisition and the Glencore Hawesville Acquisition
shall  close  on the  Closing  Date on  terms  substantially  similar  to  those
previously disclosed to the Agent. The Agent shall receive fully executed copies
of each of the agreements, documents and instruments executed in connection with
the Hawesville Acquisition and the Glencore Hawesville Acquisition.

     11.20.  Proceeds  of First  Mortgage  Notes.  On the  Closing  Date (a) the
issuance of the First  Mortgage  Notes  shall be  consummated  substantially  in
accordance  with the  Preliminary  Offering  circular  dated  March  9,  2001 or
otherwise on terms and conditions reasonably  satisfactory to the Agent, and (b)
the  Century  Aluminum  shall  receive a minimum of  $315,000,000  in gross cash
proceeds from the sale of the First  Mortgage  Notes,  the net proceeds of which
shall be applied in full to the purchase price in connection with the Hawesville
Acquisition  and fees and expenses in connection  with the First Mortgage Notes,
this  Agreement,   the  Hawesville   Acquisition  and  the  Glencore  Hawesville
Acquisition.  The Agent shall receive at such time fully executed copies of each
of the  agreements,  documents and  instruments  executed in connection with the
First Mortgage Notes.

     11.21.  Updated  Collateral  Audit.  The Agent shall have reviewed and been
satisfied  with the  update  of the  collateral  audit of the  Borrower  and the
Guarantors performed by the Agent's field examiners.

<PAGE>
                                      -73-

                        12. CONDITIONS TO ALL BORROWINGS.

     The obligations of the Lenders to make any Loans and of the Issuing Bank to
issue,  extend or renew any Letter of Credit,  in each case  whether on or after
the Closing  Date,  shall also be subject to the  satisfaction  of the following
conditions precedent:

     12.1.   Representations   True;   No   Event  of   Default.   Each  of  the
representations  and  warranties  of any of the  Borrowers  and  the  Guarantors
contained in this Credit Agreement,  the other Loan Documents or in any document
or instrument  delivered pursuant to or in connection with this Credit Agreement
shall be true as of the date as of which  they were made and shall  also be true
at and as of the time of the making of such Loan or the  issuance,  extension or
renewal of such  Letter of Credit,  with the same effect as if made at and as of
that  time  (except  to  the  extent  of  changes  resulting  from  transactions
contemplated or permitted by this Credit  Agreement and the other Loan Documents
and changes  occurring in the ordinary  course of business that singly or in the
aggregate do not result in a Materially  Adverse Effect,  and to the extent that
such  representations and warranties relate expressly to an earlier date) and no
Default or Event of Default shall have occurred and be continuing.

     12.2.  Borrowing Base Report. The Agent shall have received the most recent
Borrowing Base Report  required to be delivered to the Agent in accordance  with
ss.8.4(f)  and, if requested by the Agent,  a Borrowing Base Report dated within
five  (5) days of the  Drawdown  Date of such  Loan or of the date of  issuance,
extension or renewal of such Letter of Credit.

     12.3.  Permitted  Acquisitions.  Prior  to the  making  of each  Loan,  the
proceeds  of  which  are to be  used  to fund  an  Acquisition,  all  conditions
precedent for such  Acquisition to be a Permitted  Acquisition  set forth in the
definition thereof shall have been satisfied or waived and an Authorized Officer
of the  applicable  Borrower  shall  have  delivered  to the Agent an  officer's
certificate certifying that such conditions have been met.

                    13. EVENTS OF DEFAULT; ACCELERATION; ETC.

     13.1.  Events of Default and  Acceleration.  If any of the following events
("Events of Default" or, if the giving of notice or the lapse of time or both is
required, then, prior to such notice or lapse of time, "Defaults") shall occur:

          (a) any of the Borrowers  shall fail to pay any principal of the Loans
     or any Reimbursement Obligation when the same shall become due and payable,
     whether at the stated date of maturity or any accelerated  date of maturity
     or at any other date fixed for payment;

          (b) any of the  Borrowers or any of the  Guarantors  shall fail to pay
     any interest on the Loans,  any Fees,  or other sums due hereunder or under
     any of the  other  Loan  Documents,  when the  same  shall  become  due and
     payable,  whether at the stated date of maturity or any accelerated date of
     maturity or at any other date fixed for payment;

          (c)  any of  the  Borrowers  shall  fail  to  comply  with  any of its
     covenants contained in ss.ss.8.1,  8.2, 8.4 (except for 8.4(f)(B) and (g)),
     8.5 through 8.10, 8.12, 8.13, 8.14, 8.15, 9.1 through 9.6, 9.9 through 9.14
     or 10;

<PAGE>
                                      -74-

          (d) any of (i) the  Borrowers  shall fail to comply with its covenants
     contained in  ss.ss.8.4(f)(B)  and 8.4(g) for two (2) days after written or
     telephonic  notice of such  failure has been given to the  Borrowers by the
     Agent or (ii) the  Borrowers  or the  Guarantors  shall fail to perform any
     term,  covenant or agreement  contained  herein or in any of the other Loan
     Documents (other than those specified elsewhere in this ss.13.1) for thirty
     (30) days  after  written  notice  of such  failure  has been  given to the
     Borrowers by the Agent;

          (e) any  representation  or  warranty of any of the  Borrowers  or the
     Guarantors in this Credit  Agreement or any of the other Loan  Documents or
     in any other document or instrument  delivered pursuant to or in connection
     with this Credit  Agreement  shall prove to have been false in any material
     respect upon the date when made or deemed to have been made or repeated;

          (f) any of the  Borrowers or any of their  Subsidiaries  shall fail to
     pay at maturity,  or within any applicable  period of grace, any obligation
     for borrowed money or credit received (including,  without limitation,  the
     First  Mortgage  Notes and the IR Bonds) or in respect  of any  Capitalized
     Leases,  or fail to observe or  perform  any  material  term,  covenant  or
     agreement  contained in any  agreement by which it is bound,  evidencing or
     securing borrowed money or credit received (including,  without limitation,
     the First Mortgage Notes and the IR Bonds) or in respect of any Capitalized
     Leases  for such  period of time as would  permit  (assuming  the giving of
     appropriate  notice if  required)  the holder or holders  thereof or of any
     obligations  issued thereunder to accelerate the maturity  thereof,  or any
     such holder or holders  shall  rescind or shall have a right to rescind the
     purchase of any such obligations;

          (g) any of the  Borrowers or any of their  Subsidiaries  shall make an
     assignment for the benefit of creditors,  or admit in writing its inability
     to pay or generally  fail to pay its debts as they mature or become due, or
     shall  petition  or  apply  for  the  appointment  of a  trustee  or  other
     custodian,  liquidator  or receiver of any of the Borrowers or any of their
     Subsidiaries  or of  any  substantial  part  of  the  assets  of any of the
     Borrowers or any of their  Subsidiaries or shall commence any case or other
     proceeding  relating to any of the  Borrowers or any of their  Subsidiaries
     under any bankruptcy, reorganization, arrangement, insolvency, readjustment
     of debt, dissolution or liquidation or similar law of any jurisdiction, now
     or  hereafter  in  effect,  or shall  take any  action to  authorize  or in
     furtherance of any of the foregoing, or if any such petition or application
     shall  be filed or any such  case or other  proceeding  shall be  commenced
     against any of the  Borrowers or any of their  Subsidiaries  and any of the
     Borrowers or any of their Subsidiaries shall indicate its approval thereof,
     consent  thereto or  acquiescence  therein or such petition or  application
     shall not have been  dismissed  within sixty (60) days following the filing
     thereof;

          (h) a  decree  or  order  is  entered  appointing  any  such  trustee,
     custodian,  liquidator or receiver or adjudicating  any of the Borrowers or
     any of their Subsidiaries bankrupt or insolvent, or approving a petition in
     any such  case or other  proceeding,  or a decree  or order  for  relief is
     entered  in  respect  of any  of the  Borrowers  or any  Subsidiary  of any
     Borrower in an  involuntary  case under federal  bankruptcy  laws as now or
     hereafter constituted;

<PAGE>
                                      -75-

          (i)  there  shall  remain  in  force,  undischarged,  unsatisfied  and
     unstayed,  for more than forty (40) days,  whether or not consecutive,  any
     final judgment (not  adequately  covered by insurance with respect to which
     the  relevant  insurance  company  has  acknowledged  coverage or for which
     adequate  reserves are not maintained on the consolidated  balance sheet of
     the  Borrowers)  against any of the Borrowers or any of their  Subsidiaries
     that, with other outstanding final judgments,  undischarged, against any of
     the  Borrowers  or any  of  their  Subsidiaries  exceeds  in the  aggregate
     $3,000,000;

          (j) if any of the  Loan  Documents  shall  be  cancelled,  terminated,
     revoked  or  rescinded  or the  Agent's  security  interests  or Liens in a
     substantial portion of the Collateral shall cease to be perfected, or shall
     cease to have the priority  contemplated by the Security  Documents in each
     case  otherwise  than in  accordance  with the  terms  thereof  or with the
     express  prior  written  agreement,  consent or  approval of the Lenders or
     other than due to an act or  omission  of the Agent or any  Lender,  or any
     action at law,  suit or in  equity or other  legal  proceeding  to  cancel,
     revoke or rescind any of the Loan  Documents  shall be  commenced  by or on
     behalf of any of the  Borrowers or any of the  Guarantors  party thereto or
     any  of  their  respective   stockholders,   or  any  court  or  any  other
     Governmental Authority of competent jurisdiction shall make a determination
     that, or issue a judgment,  order, decree or ruling to the effect that, any
     one or more of the Loan Documents is illegal,  invalid or  unenforceable in
     accordance with the terms thereof;

          (k) any of the Borrowers or any ERISA  Affiliate  incurs any liability
     to the PBGC or a Guaranteed  Pension Plan  pursuant to Title IV of ERISA in
     an aggregate  amount exceeding  $1,000,000,  or any of the Borrowers or any
     ERISA Affiliate is assessed  withdrawal  liability  pursuant to Title IV of
     ERISA by a Multiemployer Plan requiring aggregate annual payments exceeding
     $1,000,000,  or any of the  following  occurs with  respect to a Guaranteed
     Pension  Plan:  (i) an  ERISA  Reportable  Event,  or a  failure  to make a
     required  installment or other payment  (within the meaning of ss.302(f)(1)
     of ERISA),  provided that the Agent determines in its reasonable discretion
     that such event (A) could be expected to result in  liability of any of the
     Borrowers  or any of  their  Subsidiaries  to the  PBGC or such  Guaranteed
     Pension  Plan in an aggregate  amount  exceeding  $1,000,000  and (B) could
     constitute  grounds for the termination of such Guaranteed  Pension Plan by
     the PBGC, for the  appointment by the  appropriate  United States  District
     Court of a trustee to administer  such  Guaranteed  Pension Plan or for the
     imposition of a Lien in favor of such Guaranteed  Pension Plan; or (ii) the
     appointment  by a United States  District  Court of a trustee to administer
     such  Guaranteed  Pension  Plan;  or (iii) the  institution  by the PBGC of
     proceedings to terminate such Guaranteed Pension Plan;

          (l)  any  of the  Borrowers  or any of  their  Subsidiaries  shall  be
     enjoined,  restrained  or in any way prevented by the order of any court or
     any  administrative  or regulatory agency from conducting any material part
     of its  business  and such  order  shall  continue  in effect for more than
     thirty (30) days;

<PAGE>
                                      -76-

          (m)  there  shall  occur any  material  damage  to, or loss,  theft or
     destruction  of, any  Collateral,  whether or not  insured,  or any strike,
     lockout, labor dispute, embargo,  condemnation, act of God or public enemy,
     or other  casualty,  which in any such case  causes,  for more than fifteen
     (15) consecutive days, the cessation or substantial  curtailment of revenue
     producing  activities  at any  facility of any of the  Borrowers  or any of
     their Subsidiaries if such event or circumstance is not covered by business
     interruption insurance and would have a Materially Adverse Effect;

          (n) there  shall  occur  the loss,  suspension  or  revocation  of, or
     failure to renew,  any license or permit now held or hereafter  acquired by
     any of the Borrowers or any of their Subsidiaries if such loss, suspension,
     revocation or failure to renew would have a Materially Adverse Effect;

          (o) a First  Mortgage  Note Change of Control  shall have occurred and
     the Borrowers shall not have  demonstrated to the satisfaction of the Agent
     that the Borrowers have commitments  sufficient to redeem in full the First
     Mortgage Notes;

          (p) any person (other than  Glencore) or group of persons  (within the
     meaning  of the  Exchange  Act) shall have  acquired  beneficial  ownership
     (within  the  meaning  of Rule  13d-3  promulgated  by the  Securities  and
     Exchange  Commission under said Act) of fifty-one  percent (51%) or more of
     the outstanding shares of common stock of Century Aluminum; or

          (q) Century  Aluminum  shall  (subject to ss.8.6  hereof) at any time,
     directly  or  indirectly  through  one or  more  Subsidiaries,  legally  or
     beneficially  own less than one hundred percent (100%) of the shares of the
     capital  stock  and  other  outstanding  equity  interests  of  each of the
     Borrowers (other than itself) and the other Guarantors.

then, and in any such event,  so long as the same may be  continuing,  the Agent
may, and upon the request of the Majority Lenders shall, by notice in writing to
the Borrower  declare all amounts  owing with respect to this Credit  Agreement,
the Notes and the other Loan Documents and all Reimbursement  Obligations to be,
and they shall thereupon  forthwith become,  immediately due and payable without
presentment,  demand,  protest  or other  notice of any  kind,  all of which are
hereby  expressly  waived by the  Borrowers;  provided  that in the event of any
Event of  Default  specified  in  ss.ss.13.1(g),  13.1(h) or  13.1(j),  all such
amounts shall become  immediately due and payable  automatically and without any
requirement of notice from the Agent or any Lender.

     13.2.  Termination  of  Commitments.  If any one or more of the  Events  of
Default  specified in ss.13.1(g)  or ss.13.1(h)  shall occur with respect to any
Borrower,  any unused portion of the credit hereunder shall forthwith  terminate
and each of the Lenders  shall be relieved  of all further  obligations  to make
Loans to the  Borrowers  and the  Issuing  bank shall be relieved of all further
obligations to issue,  extend or renew Letters of Credit.  If any other Event of
Default  shall have  occurred and be  continuing,  or if on any Drawdown Date or
other  date for  issuing,  extending  or  renewing  any  Letter  of  Credit  the
conditions precedent to the making of the Loans to be made on such Drawdown Date
or (as the case may be) to issuing,  extending or renewing such Letter of Credit
on such other date are not satisfied, the Agent may and, upon the request of the
Majority  Lenders,  shall,  by notice to the  Borrowers,  terminate  the  unused
portion of the credit  hereunder,  and upon such notice  being given such unused
portion of the credit  hereunder  shall  terminate  immediately  and each of the
Lenders shall be relieved of all further obligations to make Loans and the Agent
shall be relieved of all further  obligations to issue,  extend or renew Letters
of Credit. No termination of the credit hereunder shall relieve the Borrowers or
any of the Guarantors of any of the Obligations.

<PAGE>
                                      -77-

     13.3. Remedies. In case any one or more of the Events of Default shall have
occurred  and  be  continuing,  and  whether  or  not  the  Lenders  shall  have
accelerated the maturity of the Loans pursuant to ss.13.1,  each Lender, if owed
any amount with respect to the Loans or the Reimbursement Obligations, may, with
the consent of the Majority  Lenders but not  otherwise,  proceed to protect and
enforce  its  rights  by suit in  equity,  action  at law or  other  appropriate
proceeding,  whether for the specific  performance  of any covenant or agreement
contained  in  this  Credit  Agreement  and  the  other  Loan  Documents  or any
instrument  pursuant  to which the  Obligations  to such  Lender are  evidenced,
including  as  permitted  by  applicable  law  the  obtaining  of the  ex  parte
appointment  of a  receiver,  and,  if such  amount  shall have  become  due, by
declaration  or otherwise,  proceed to enforce the payment  thereof or any other
legal or equitable  right of such Lender.  No remedy herein  conferred  upon any
Lender or the  Agent or the  holder of any Note or  purchaser  of any  Letter of
Credit  Participation  is intended to be  exclusive of any other remedy and each
and every  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 any other provision of law.

     13.4. Distribution of Collateral Proceeds. In the event that, following the
occurrence  or during the  continuance  of any Default or Event of Default,  the
Agent or any Lender,  as the case may be, receives any monies in connection with
the enforcement of any the Security Documents,  as the case may be, or otherwise
with respect to the realization upon any of the Collateral, such monies shall be
distributed for application as follows:

          (a)  First,   to  the  payment  of,  or  (as  the  case  may  be)  the
     reimbursement  of the  Agent for or in  respect  of all  reasonable  costs,
     expenses,  disbursements  and  losses  which  shall have been  incurred  or
     sustained by the Agent in connection  with the collection of such monies by
     the Agent, for the exercise,  protection or enforcement by the Agent of all
     or any of the rights,  remedies,  powers and  privileges of the Agent under
     this Credit  Agreement or any of the other Loan  Documents or in respect of
     the Collateral or in support of any provision of adequate  indemnity to the
     Agent  against  any taxes or Liens  which by law shall  have,  or may have,
     priority over the rights of the Agent to such monies;

          (b)  Second,   to  all  other   Obligations   (other  than  Derivative
     Obligations)  in such  order or  preference  as the  Majority  Lenders  may
     determine; provided, however, that (i) distributions shall be made (A) pari
     passu among Obligations with respect to the Agent's Fee payable pursuant to
     ss.5.2 and all other  Obligations  (other than Derivative  Obligations) and
     (B) with respect to each type of Obligation  owing to the Lenders,  such as
     interest,  principal,  Fees and expenses,  among the Lenders pro rata,  and
     (ii) the Agent may in its  discretion  make proper  allowance  to take into
     account any Obligations not then due and payable;

          (c) Third,  to the  Obligations  which are Derivative  Obligations pro
     rata among such Banks who are participants in such Derivative Obligations;

          (d) Fourth,  upon payment and satisfaction in full or other provisions
     for payment in full satisfactory to the Lenders and the Agent of all of the
     Obligations to the payment of any obligations  required to be paid pursuant
     to ss.9-504(1)(c) of the UCC of the State of New York; and

          (e) Fifth,  the excess,  if any, shall be returned to the Borrowers or
     to such other Persons as are entitled thereto.

<PAGE>
                                      -78-

                                   14. SETOFF.

     Regardless of the adequacy of any collateral, during the continuance of any
Event of Default,  any deposits or other sums credited by or due from any of the
Lenders to the Borrowers and any  securities or other  property of the Borrowers
in the  possession  of such  Lender may be applied to or set off by such  Lender
against the payment of Obligations and any and all other liabilities, direct, or
indirect,  absolute  or  contingent,  due or to  become  due,  now  existing  or
hereafter arising,  of the Borrowers to such Lender.  Each of the Lenders agrees
with each other  Lender  that (i) if an amount to be set off is to be applied to
Indebtedness of the Borrowers to such Lender, other than Indebtedness  evidenced
by the Notes held by such Lender or constituting  Reimbursement Obligations owed
to such Lender,  such amount shall be applied ratably to such other Indebtedness
and to the  Indebtedness  evidenced  by all such  Notes  held by such  Lender or
constituting  Reimbursement  Obligations  owed to such Lender,  and (ii) if such
Lender shall receive from any of the  Borrowers,  whether by voluntary  payment,
exercise of the right of setoff, counterclaim,  cross action, enforcement of the
claim evidenced by the Notes held by, or constituting  Reimbursement Obligations
owed to, such Lender by  proceedings  against any of the  Borrowers at law or in
equity  or  by  proof  thereof  in  bankruptcy,   reorganization,   liquidation,
receivership or similar proceedings, or otherwise, and shall retain and apply to
the payment of the Note or Notes held by, or Reimbursement  Obligations owed to,
such Lender any amount in excess of its ratable portion of the payments received
by all of the  Lenders  with  respect to the Notes  held by,  and  Reimbursement
Obligations owed to, all of the Lenders,  such Lender will make such disposition
and arrangements  with the other Lenders with respect to such excess,  either by
way of distribution, pro tanto assignment of claims, subrogation or otherwise as
shall  result in each  Lender  receiving  in  respect of the Notes held by it or
Reimbursement  obligations owed it, its proportionate payment as contemplated by
this Credit  Agreement;  provided that if all or any part of such excess payment
is thereafter  recovered from such Lender,  such  disposition  and  arrangements
shall be rescinded and the amount  restored to the extent of such recovery,  but
without interest.

<PAGE>
                                      -79-

                                 15. THE AGENT.

     15.1. Authorization.

          (a) The Agent is  authorized  to take such action on behalf of each of
     the Lenders and to exercise all such powers as are  hereunder and under any
     of the other Loan  Documents  and any related  documents  delegated  to the
     Agent,  together  with such  powers  as are  reasonably  incident  thereto,
     provided that no duties or responsibilities not expressly assumed herein or
     therein shall be implied to have been assumed by the Agent.

          (b) The relationship between the Agent and each of the Lenders is that
     of  an  independent  contractor.  The  use  of  the  term  "Agent"  is  for
     convenience  only and is used to  describe,  as a form of  convention,  the
     independent  contractual  relationship  between  the  Agent and each of the
     Lenders.  Nothing  contained  in this Credit  Agreement  nor the other Loan
     Documents shall be construed to create an agency,  trust or other fiduciary
     relationship between the Agent and any of the Lenders.

          (c) As an independent  contractor empowered by the Lenders to exercise
     certain rights and perform  certain duties and  responsibilities  hereunder
     and  under  the  other  Loan   Documents,   the  Agent  is  nevertheless  a
     "representative"  of the  Lenders,  as that term is defined in Article 1 of
     the UCC,  for  purposes  of actions  for the benefit of the Lenders and the
     Agent with respect to all collateral  security and guaranties  contemplated
     by the Loan Documents. Such actions include the designation of the Agent as
     "secured party" or the like on all financing statements and other documents
     and instruments, whether recorded or otherwise, relating to the attachment,
     perfection, priority or enforcement of any security interests in collateral
     security  intended  to secure  the  payment  or  performance  of any of the
     Obligations, all for the benefit of the Lenders and the Agent.

     15.2.  Employees and Agents.  The Agent may exercise its powers and execute
its duties by or through  employees or agents and shall be entitled to take, and
to rely on, advice of counsel  concerning  all matters  pertaining to its rights
and duties under this Credit  Agreement and the other Loan Documents.  The Agent
may utilize the services of such Persons as the Agent in its sole discretion may
reasonably  determine,  and all reasonable fees and expenses of any such Persons
shall be paid by the Borrowers.

     15.3.  No  Liability.  Neither  the  Agent  nor  any of  its  shareholders,
directors,  officers or employees nor any other Person  assisting  them in their
duties  nor any  agent or  employee  thereof,  shall be liable  for any  waiver,
consent or approval given or any action taken,  or omitted to be taken,  in good
faith by it or them  hereunder or under any of the other Loan  Documents,  or in
connection herewith or therewith,  or be responsible for the consequences of any
oversight or error of judgment  whatsoever,  except that the Agent or such other
Person,  as the  case  may be,  may be  liable  for  losses  due to its  willful
misconduct or gross negligence.

<PAGE>
                                      -80-

     15.4. No Representations.

          15.4.1.  General. The Agent shall not be responsible for the execution
     or validity or  enforceability  of this Credit  Agreement,  the Notes,  the
     Letters of Credit, any of the other Loan Documents or any instrument at any
     time constituting,  or intended to constitute,  collateral security for the
     Notes,  or for  the  value  of any  such  collateral  security  or for  the
     validity,  enforceability  or collectability of any such amounts owing with
     respect to the Notes,  or for any  recitals or  statements,  warranties  or
     representations made herein or in any of the other Loan Documents or in any
     certificate or instrument  hereafter furnished to it by or on behalf of any
     of the Borrowers or any of their Subsidiaries,  or be bound to ascertain or
     inquire  as  to  the  performance  or  observance  of  any  of  the  terms,
     conditions, covenants or agreements herein or in any instrument at any time
     constituting, or intended to constitute,  collateral security for the Notes
     or to  inspect  any of  the  properties,  books  or  records  of any of the
     Borrowers  or any of their  Subsidiaries.  The Agent  shall not be bound to
     ascertain whether any notice, consent, waiver or request delivered to it by
     any of the Borrowers or any holder of any of the Notes shall have been duly
     authorized or is true,  accurate and  complete.  The Agent has not made nor
     does it now make any representations or warranties, express or implied, nor
     does it assume any  liability  to the  Lenders,  with respect to the credit
     worthiness or financial  conditions of any of the Borrowers or any of their
     Subsidiaries.  Each  Lender  acknowledges  that it has,  independently  and
     without  reliance upon the Agent or any other  Lender,  and based upon such
     information and documents as it has deemed appropriate, made its own credit
     analysis and decision to enter into this Credit Agreement.

          15.4.2.  Closing  Documentation,  etc.  For  purposes  of  determining
     compliance  with the conditions set forth in ss.10,  11 and 12, each Lender
     that has executed this Credit  Agreement  shall be deemed to have consented
     to, approved or accepted, or to be satisfied with, each document and matter
     either sent, or made available, by the Agent or the Arranger to such Lender
     for consent, approval,  acceptance or satisfaction,  or required thereunder
     to be to be consent to or approved by or acceptable or satisfactory to such
     Lender,  unless an officer  of the Agent or the  Arranger  active  upon the
     Borrowers'  account  shall have  received  notice from such Lender not less
     than five  (5)days  prior to the Closing  Date,  specifying  such  Lender's
     objection  thereto  and such  objection  shall not have been  withdrawn  by
     notice  to the  Agent or the  Arranger  to such  effect  on or prior to the
     Closing Date.

     15.5. Payments.

          15.5.1.  Payments to Agent.  A payment by any of the  Borrowers to the
     Agent  hereunder or any of the other Loan  Documents for the account of any
     Lender shall constitute a payment to such Lender. The Agent agrees promptly
     to  distribute  to each  Lender  such  Lender's  pro rata share of payments
     received by the Agent for the account of the  Lenders  except as  otherwise
     expressly provided herein or in any of the other Loan Documents.

<PAGE>
                                      -81-

          15.5.2.  Distribution  by Agent.  If in the  opinion  of the Agent the
     distribution of any amount received by it in such capacity hereunder, under
     the Notes or under any of the other  Loan  Documents  might  involve  it in
     liability,  it may refrain from making distribution until its right to make
     distribution   shall  have  been   adjudicated  by  a  court  of  competent
     jurisdiction.  If a court of competent  jurisdiction shall adjudge that any
     amount received and  distributed by the Agent is to be repaid,  each Person
     to whom any such  distribution  shall have been made shall  either repay to
     the Agent its proportionate share of the amount so adjudged to be repaid or
     shall  pay over the same in such  manner  and to such  Persons  as shall be
     determined by such court.

          15.5.3.  Delinquent Lenders.  Notwithstanding anything to the contrary
     contained in this Credit Agreement or any of the other Loan Documents,  any
     Lender that fails (i) to make  available to the Agent its pro rata share of
     any Loan or to  purchase  any  Letter  of Credit  Participation  or (ii) to
     comply with the provisions of ss.14 with respect to making dispositions and
     arrangements  with the other  Lenders,  where  such  Lender's  share of any
     payment received,  whether by setoff or otherwise,  is in excess of its pro
     rata share of such payments due and payable to all of the Lenders,  in each
     case as, when and to the full extent  required  by the  provisions  of this
     Credit Agreement,  shall be deemed  delinquent (a "Delinquent  Lender") and
     shall be deemed a Delinquent  Lender until such time as such delinquency is
     satisfied. A Delinquent Lender shall be deemed to have assigned any and all
     payments due to it from the  Borrowers,  whether on account of  outstanding
     Loans, Unpaid Reimbursement  Obligations,  interest,  fees or otherwise, to
     the remaining  nondelinquent  Lenders for application to, and reduction of,
     their  respective  pro rata  shares of all  outstanding  Loans  and  Unpaid
     Reimbursement  Obligations.  The  Delinquent  Lender hereby  authorizes the
     Agent  to  distribute  such  payments  to  the  nondelinquent   Lenders  in
     proportion to their respective pro rata shares of all outstanding Loans and
     Unpaid  Reimbursement  Obligations.  A Delinquent Lender shall be deemed to
     have  satisfied  in  full  a  delinquency  when  and  if,  as a  result  of
     application of the assigned  payments to all  outstanding  Loans and Unpaid
     Reimbursement  Obligations  of  the  nondelinquent  Lenders,  the  Lenders'
     respective   pro  rata   shares  of  all   outstanding   Loans  and  Unpaid
     Reimbursement  Obligations  have  returned  to those in effect  immediately
     prior to such  delinquency  and  without  giving  effect to the  nonpayment
     causing such delinquency.

     15.6.  Holders of Notes. The Agent may deem and treat the payee of any Note
or the purchaser of any Letter of Credit  Participation as the absolute owner or
purchaser  thereof for all purposes hereof until it shall have been furnished in
writing with a different name by such payee or by a subsequent holder,  assignee
or transferee.

<PAGE>
                                      -82-

     15.7.  Indemnity.  The Lenders  ratably  agree hereby to indemnify and hold
harmless  the Agent and its  affiliates  from and  against  any and all  claims,
actions and suits (whether  groundless or otherwise),  losses,  damages,  costs,
expenses  (including  any expenses for which the Agent or such affiliate has not
been reimbursed by the Borrowers as required by ss.16), and liabilities of every
nature and  character  arising out of or related to this Credit  Agreement,  the
Notes,  or any of the other Loan Documents or the  transactions  contemplated or
evidenced  hereby  or  thereby,  or  the  Agent's  actions  taken  hereunder  or
thereunder,  except to the extent that any of the same shall be directly  caused
by the Agent's willful misconduct or gross negligence.

     15.8.  Agent as Lender.  In its individual  capacity,  Fleet shall have the
same  obligations  and the same rights,  powers and privileges in respect to its
Revolving Credit  Commitments and the Loans made by it, and as the holder of any
of the Notes and as the purchaser of any Letter of Credit Participations,  as it
would have were it not also the Agent.

     15.9.  Resignation.  The Agent may resign at any time by giving  sixty (60)
days prior written  notice  thereof to the Lenders and the  Borrowers.  Upon any
such  resignation,  the  Majority  Lenders  shall  have the  right to  appoint a
successor Agent. Unless a Default or Event of Default shall have occurred and be
continuing,  such successor Agent shall be reasonably  acceptable to each of the
Borrowers.  If no  successor  Agent shall have been so appointed by the Majority
Lenders and shall have accepted such  appointment  within thirty (30) days after
the retiring  Agent's giving of notice of  resignation,  then the retiring Agent
may,  on behalf of the  Lenders,  appoint a  successor  Agent,  which shall be a
financial  institution having a rating of not less than "A" or its equivalent by
Standard & Poor's  Corporation.  Upon the acceptance of any appointment as Agent
hereunder by a successor Agent,  such successor Agent shall thereupon succeed to
and become  vested with all the  rights,  powers,  privileges  and duties of the
retiring  Agent,  and the retiring Agent shall be discharged from its duties and
obligations hereunder. After any retiring Agent's resignation, the provisions of
this Credit  Agreement and the other Loan Documents shall continue in effect for
its benefit in respect of any  actions  taken or omitted to be taken by it while
it was acting as Agent.

     15.10.  Notification  of  Defaults  and  Events  of  Default;  Delivery  of
Information; Etc..

          (a) Each Lender hereby agrees that,  upon learning of the existence of
     a  Default  or an Event of  Default,  it shall  promptly  notify  the Agent
     thereof. The Agent hereby agrees that upon receipt of any notice under this
     ss.15.10 it shall  promptly  notify the other  Lenders of the  existence of
     such Default or Event of Default.

          (b) The Agent hereby  agrees that upon receipt of any of the financial
     statements, certificates or information delivered to the Agent under ss.8.4
     it shall promptly deliver copies thereof to the other Lenders.

          (c) The Agent  hereby  agrees  that upon  receipt of any notice  under
     ss.8.5 it shall  promptly  notify the other  Lenders of the content of such
     notice.

<PAGE>
                                      -83-

     15.11.  Duties in the Case of  Enforcement.  In case one of more  Events of
Default have occurred and shall be continuing,  and whether or not  acceleration
of the Obligations shall have occurred,  the Agent shall, if (i) so requested by
the  Majority  Lenders  and (ii) the  Lenders  have  provided  to the Agent such
additional  indemnities and assurances  against  expenses and liabilities as the
Agent may reasonably request,  proceed to enforce the provisions of the Security
Documents,  as the case may be, authorizing the sale or other disposition of all
or any part of the  Collateral  and  exercise  all or any such  other  legal and
equitable  and  other  rights  or  remedies  as it may have in  respect  of such
Collateral.  The  Majority  Lenders  may  direct  the Agent in writing as to the
method and the extent of any such sale or other disposition,  the Lenders hereby
agreeing to indemnify and hold the Agent, harmless from all liabilities incurred
in respect of all actions taken or omitted in accordance  with such  directions,
provided  that the Agent need not comply with any such  direction  to the extent
that the Agent reasonably believes the Agent's compliance with such direction to
be unlawful or commercially unreasonable in any applicable jurisdiction.

     15.12.  Replacement  of Agent.  Notwithstanding  anything  to the  contrary
contained  in  this  Credit  Agreement,  at any  time  that  Fleet's  Commitment
Percentage  shall be less than fifteen percent (15%), the Borrowers may, so long
as no Default or Event of Default is then  continuing,  replace  Fleet as Agent;
provided,  however,  that any successor Agent proposed by the Borrowers shall be
subject to the  approval of the Majority  Lenders.  Upon the  acceptance  of any
appointment  as Agent  hereunder by the  Borrower,  such  successor  Agent shall
thereupon succeed to and become vested with all the rights,  powers,  privileges
and duties of the Agent,  and Fleet in its capacity as Agent shall be discharged
from its duties  and  obligations  hereunder.  After any such  replacement,  the
provisions of this Credit  Agreement and the other Loan Documents shall continue
in effect for its benefit in respect of any actions taken or omitted to be taken
by Fleet while it was acting as Agent.

                        16. EXPENSES AND INDEMNIFICATION.

     16.1.  Expenses.  The Borrowers  agree to pay (i) the  reasonable  costs of
producing and reproducing  this Credit  Agreement,  the other Loan Documents and
the other agreements and instruments mentioned herein, (ii) any taxes (including
any interest and penalties in respect  thereto) payable by any of the Agent, the
Issuing Bank or any of the Lenders (other than  franchise  taxes and taxes based
upon any of the  Agent's,  the Issuing  Bank's or any Lender's net income) on or
with respect to the  transactions  contemplated  by this Credit  Agreement  (the
Borrowers  hereby agreeing to indemnify each of the Agent,  the Issuing and each
Lender  with  respect  thereto),   (iii)  the  reasonable  fees,   expenses  and
disbursements  of the Agent's  Special Counsel or any local counsel to the Agent
incurred in connection  with the  preparation,  syndication,  administration  or
interpretation  of the Loan Documents and other  instruments  mentioned  herein,
each closing hereunder, any amendments,  modifications,  approvals,  consents or
waivers  hereto or  hereunder,  or the  cancellation  of any Loan  Document upon
payment in full in cash of all of the  Obligations  or  pursuant to any terms of
such Loan Document for providing for such cancellation,  (iv) the fees, expenses
and disbursements of the Agent or any of its affiliates incurred by the Agent or
such affiliate in connection with the preparation,  syndication,  administration
or interpretation of the Loan Documents and other instruments  mentioned herein,
including all title insurance  premiums and surveyor,  engineering and appraisal

<PAGE>
                                      -84-

charges, (v) any fees, costs, expenses and bank charges,  including bank charges
for  returned  checks,  incurred by the Agent in  establishing,  maintaining  or
handling  agency  accounts,  lock  box  accounts  and  other  accounts  for  the
collection of any of the Collateral;  (vi) all reasonable out-of-pocket expenses
(including  without  limitation  reasonable  attorneys'  fees and  costs,  which
attorneys  may  be  employees  of  any  Lender  or  the  Agent,  and  reasonable
consulting,   accounting,   appraisal,  audit  investment  banking  and  similar
professional fees and charges) incurred by any Lender or the Agent in connection
with (A) the  enforcement  of or  preservation  of rights  under any of the Loan
Documents  against  any  of the  Borrowers  or  any  of  the  Guarantors  or the
administration thereof after the occurrence of a Default or Event of Default and
(B)  any  litigation,   proceeding  or  dispute  whether  arising  hereunder  or
otherwise, in any way related to any Lender's or the Agent relationship with any
of the  Borrowers  or any of the  Guarantors  and  (vii)  all  reasonable  fees,
expenses and  disbursements  of any Lender or the Agent  incurred in  connection
with UCC searches, UCC filings or mortgage recordings.

     16.2.  Indemnification.  The Borrowers agree to indemnify and hold harmless
the  Arranger,  the  Issuing  Bank,  the Agent,  the  Lenders  and each of their
Affiliates  from and  against  any and all  claims,  actions  and suits  whether
groundless or otherwise,  and from and against any and all liabilities,  losses,
damages and  expenses of every nature and  character  arising out of this Credit
Agreement or any of the other Loan  Documents or the  transactions  contemplated
hereby  including,  without  limitation,  (i) any actual or proposed  use by the
Borrowers  or any of their  Subsidiaries  of the proceeds of any of the Loans or
Letters of Credit,  (ii) the reversal or withdrawal of any  provisional  credits
granted by the Agent upon the  transfer  of funds from lock box,  bank agency or
concentration  accounts or in connection with the provisional honoring of checks
or other  items,  (iii)  any  actual  or  alleged  infringement  of any  patent,
copyright,  trademark,  service mark or similar right of any of the Borrowers or
any of the Guarantors comprised in the Collateral,  (iv) the Borrowers or any of
the Guarantors  entering into or performing this Credit  Agreement or any of the
other  Loan  Documents  or (v) with  respect to any of the  Borrowers  and their
Subsidiaries and their respective Properties, the violation of any Environmental
Law, the presence,  disposal,  escape, seepage,  leakage,  spillage,  discharge,
emission,  release or  threatened  release of any  Hazardous  Substances  or any
action, suit,  proceeding or investigation brought or threatened with respect to
any Hazardous Substances (including,  but not limited to, claims with respect to
wrongful death, personal injury or damage to property),  in each case including,
without  limitation,  the  reasonable  fees and  disbursements  of  counsel  and
allocated  costs  of  internal  counsel  incurred  in  connection  with any such
investigation, litigation or other proceeding. In litigation, or the preparation
therefor,  the Arranger,  the Issuing Bank,  the Lenders and the Agent and their
Affiliates shall be entitled to select their own counsel and, in addition to the
foregoing indemnity, the Borrowers agree to pay promptly the reasonable fees and
expenses of such counsel.  Notwithstanding  the foregoing,  the Borrowers  shall
have no obligation hereunder to any Person indemnified hereunder with respect to
liabilities  arising solely from such  indemnified  Person's gross negligence or
willful  misconduct.  If, and to the extent that the  obligations  of any of the
Borrowers  under this  ss.16.2 are  unenforceable  for any  reason,  each of the
Borrowers  hereby  agrees to make the  maximum  contribution  to the  payment in
satisfaction of such obligations which is permissible under Applicable Law.

<PAGE>
                                      -85-

     16.3. Survival. The covenants contained in this ss.16 shall survive payment
or satisfaction in full of all other Obligations.

               17. TREATMENT OF CERTAIN CONFIDENTIAL INFORMATION.

     17.1.  Sharing of  Information  with Section 20  Subsidiary.  The Borrowers
acknowledge that from time to time financial  advisory,  investment  banking and
other  services  may be offered or provided to the  Borrowers  or one or more of
their Subsidiaries,  in connection with this Credit Agreement or otherwise, by a
Section 20 Subsidiary.  Each Borrower,  for itself and each of its Subsidiaries,
hereby  authorizes  (a) such Section 20  Subsidiary  to share with the Agent and
each Lender any  information  delivered  to such Section 20  Subsidiary  by such
Borrower or any of its Subsidiaries,  and (b) the Agent and each Lender to share
with such Section 20 Subsidiary any information  delivered to such Agent or such
Lender by such  Borrower  or any of its  Subsidiaries  pursuant  to this  Credit
Agreement,  or in connection with the decision of such Lender to enter into this
Credit Agreement;  it being  understood,  in each case, that any such Section 20
Subsidiary  receiving  such  information  shall be bound by the  confidentiality
provisions  of this  Credit  Agreement.  Such  authorization  shall  survive the
payment and satisfaction in full of all of Obligations.

     17.2. Confidentiality.  Each of the Lenders and the Agent 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 their customary procedures for handling confidential information
of the same nature and in accordance with safe and sound banking practices,  any
non-public  information  supplied  to  it by  the  Borrowers  or  any  of  their
Subsidiaries pursuant to this Credit Agreement that is identified by such Person
as being  confidential  at the time the same is  delivered to the Lenders or the
Agent,  provided  that  nothing  herein shall limit the  disclosure  of any such
information  (a) after such  information  shall have  become  public  other than
through a violation of this ss.17, (b) to the extent required by statute,  rule,
regulation  or  judicial  process,  (c) to counsel for any of the Lenders or the
Agent,  (d)  to  bank  examiners  or  any  other  regulatory   authority  having
jurisdiction over any Lender or the Agent, or to auditors or accountants, (e) to
the Agent,  any of the Lenders or any Section 20  Subsidiary,  (f) in connection
with any  litigation  to which any one or more of the Lenders,  the Agent or any
Section 20  Subsidiary  is a party,  or in connection  with the  enforcement  of
rights  or  remedies  hereunder  or under  any  other  Loan  Document,  (g) to a
Subsidiary  or  affiliate  of such  Lender as  provided in ss.17.1 or (h) to any
assignee or participant (or prospective assignee or participant) so long as such
assignee  or  participant  agrees  to be bound  by the  provisions  of  ss.19.6.
Moreover,  the  Agent,  the  Lenders  and any  Section 20  Subsidiary  is hereby
expressly  permitted by the Borrowers to refer to any of the Borrowers and their
Subsidiaries  in  connection  with  any  advertising,   promotion  or  marketing
undertaken  by such Agent,  such Lender or such Section 20  Subsidiary  and, for
such purpose,  such Agent, such Lender or such Section 20 Subsidiary may utilize
any trade name, trademark,  logo or other distinctive symbol associated with any
of the Borrowers or any of their Subsidiaries or any of their businesses.

<PAGE>
                                      -86-

     17.3. Prior Notification.  Unless specifically prohibited by Applicable Law
or court  order,  each of the Lenders and the Agent shall,  prior to  disclosure
thereof,  notify  the  Borrowers  of any  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  Lender by such  governmental  agency) or  pursuant  to legal
process.

     17.4. Other. In no event shall any of the Lenders or the Agent be obligated
or required to return any materials furnished to it or any Section 20 Subsidiary
by the Borrowers or any of their  Subsidiaries.  The  obligations of each Lender
under this ss.17 shall  supersede  and replace  the  obligations  of such Lender
under any  confidentiality  letter  in  respect  of this  financing  signed  and
delivered by such Lender to the Borrowers  prior to the date hereof and shall be
binding upon any assignee of, or purchaser of any participation in, any interest
in any of the Loans or Reimbursement Obligations from any Lender.

                         18. SURVIVAL OF COVENANTS, ETC.

     All covenants,  agreements,  representations and warranties made herein, in
the  Notes,  in any of the other Loan  Documents  or in any  documents  or other
papers  delivered  by or on  behalf  of  any of the  Borrowers  or any of  their
Subsidiaries  pursuant  hereto  shall be deemed to have been  relied upon by the
Lenders,  the  Issuing  Bank and the Agent,  notwithstanding  any  investigation
heretofore or hereafter made by any of them, and shall survive the making by the
Lenders  of any of the Loans  and the  issuance,  extension  or  renewal  of any
Letters of Credit, as herein contemplated,  and shall continue in full force and
effect  so long as any  Letter of Credit or any  amount  due under  this  Credit
Agreement or the Notes or any of the other Loan Documents remains outstanding or
any  Lender has any  obligation  to make any Loans or the  Issuing  Bank has any
obligation to issue,  extend or renew any Letter of Credit, and for such further
time as may be  otherwise  expressly  specified  in this Credit  Agreement.  All
statements  contained in any certificate or other paper delivered to any Lender,
the  Issuing  Bank  or the  Agent  at any  time  by or on  behalf  of any of the
Borrowers or any of the  Guarantors  pursuant  hereto or in connection  with the
transactions contemplated hereby shall constitute representations and warranties
by such Borrowers or such Guarantor hereunder.

<PAGE>
                                      -87-

                        19. ASSIGNMENT AND PARTICIPATION.

     19.1. Conditions to Assignment by Lenders.  Except as provided herein, each
Lender  may  assign to one or more  Eligible  Assignees  all or a portion of its
interests,  rights and obligations under this Credit Agreement (including all or
a portion of its Commitment  Percentages and Commitments and the same portion of
the Loans at the time owing to it,  the Notes  held by it and its  participating
interest in the risk relating to any Letters of Credit);  provided that (i) each
of the Agent and,  unless a Default or Event of Default  shall have occurred and
be continuing,  the Borrower shall have given its prior written  consent to such
assignment,   which  consent,  in  the  case  of  the  Borrowers,  will  not  be
unreasonably  withheld  (any  increase  in  costs  to  the  Borrowers  shall  be
considered  reasonable  grounds for the Borrowers'  withholding  consent to such
assignment),  (ii)  each  such  assignment  shall  be of a  constant,  and not a
varying,  percentage of all the assigning  Lender's rights and obligations under
this  Credit  Agreement,  (iii)  each  assignment  shall  be in  the  amount  of
$5,000,000 or an integral multiple of $1,000,000  thereof,  unless it is for all
of the assigning  Lender's  interests,  rights and obligations under this Credit
Agreement,  and (iv) the parties to such assignment shall execute and deliver to
the Agent, for recording in the Register (as hereinafter defined), an Assignment
and  Acceptance,  substantially  in the form of Exhibit E hereto (an "Assignment
and Acceptance"),  together with any Notes subject to such assignment. Upon such
execution, delivery, acceptance and recording, from and after the effective date
specified in each  Assignment and  Acceptance,  which effective date shall be at
least five (5)  Business  Days after the  execution  thereof,  (i) the  assignee
thereunder  shall  be a  party  hereto  and,  to the  extent  provided  in  such
Assignment  and  Acceptance,  have  the  rights  and  obligations  of  a  Lender
hereunder,  and (ii) the assigning  Lender shall, to the extent provided in such
assignment and upon payment to the Agent of the  registration fee referred to in
ss.19.3, be released from its obligations under this Credit Agreement.

     19.2. Certain  Representations and Warranties;  Limitations;  Covenants. By
executing  and  delivering  an  Assignment  and  Acceptance,  the parties to the
assignment thereunder confirm to and agree with each other and the other parties
hereto as follows:

          (a) other than the  representation  and warranty  that it is the legal
     and beneficial  owner of the interest being assigned thereby free and clear
     of any adverse  claim,  the  assigning  Lender makes no  representation  or
     warranty, express or implied, and assumes no responsibility with respect to
     any statements, warranties or representations made in or in connection with
     this Credit Agreement or the execution, legality, validity, enforceability,
     genuineness,  sufficiency or value of this Credit Agreement, the other Loan
     Documents or any other instrument or document  furnished pursuant hereto or
     the  attachment,  perfection  or  priority  of  any  security  interest  or
     mortgage,

          (b) the  assigning  Lender  makes no  representation  or warranty  and
     assumes no  responsibility  with respect to the financial  condition of the
     Borrowers  and  their   Subsidiaries  or  any  other  Person  primarily  or
     secondarily liable in respect of any of the Obligations, or the performance
     or observance by the Borrowers and their  Subsidiaries  or any other Person
     primarily or secondarily liable in respect of any of the Obligations of any
     of their  obligations  under this Credit Agreement or any of the other Loan
     Documents or any other instrument or document  furnished pursuant hereto or
     thereto;

<PAGE>
                                      -88-

          (c) such assignee  confirms that it has received a copy of this Credit
     Agreement,  together  with copies of the most recent  financial  statements
     referred to in ss.7.4 and ss.8.4 and such other  documents and  information
     as it has deemed  appropriate to make its own credit  analysis and decision
     to enter into such Assignment and Acceptance;

          (d) such assignee will,  independently  and without  reliance upon the
     assigning Lender, the Agent or any other Lender and based on such documents
     and information as it shall deem appropriate at the time,  continue to make
     its own credit  decisions in taking or not taking  action under this Credit
     Agreement;

          (e) such  assignee  represents  and  warrants  that it is an  Eligible
     Assignee;

          (f) such  assignee  appoints  and  authorizes  the  Agent to take such
     action as agent on its behalf and to exercise such powers under this Credit
     Agreement and the other Loan Documents as are delegated to the Agent by the
     terms  hereof  or  thereof,  together  with such  powers as are  reasonably
     incidental thereto;

          (g) such assignee agrees that it will perform in accordance with their
     terms all of the obligations that by the terms of this Credit Agreement are
     required to be performed by it as a Lender;

          (h)  such  assignee   represents  and  warrants  that  it  is  legally
     authorized to enter into such Assignment and Acceptance; and

          (i) such assignee  acknowledges that it has made arrangements with the
     assigning Lender satisfactory to such assignee with respect to its pro rata
     share of Letter of Credit Fees in respect of outstanding Letters of Credit.

     19.3.  Register.  The Agent shall  maintain a copy of each  Assignment  and
Acceptance  delivered to it and a register or similar list (the  "Register") for
the  recordation  of the names and  addresses of the Lenders and the  Commitment
Percentage  of, and principal  amount of the Loans owing to and Letter of Credit
Participations  purchased by, the Lenders from time to time.  The entries in the
Register  shall  be  conclusive,  in the  absence  of  manifest  error,  and the
Borrowers,  the Agent  and the  Lenders  may treat  each  Person  whose  name is
recorded in the Register as a Lender  hereunder  for all purposes of this Credit
Agreement.  The Register  shall be available for inspection by the Borrowers and
the Lenders at any reasonable time and from time to time upon  reasonable  prior
notice.  Upon each such  recordation,  the assigning Lender agrees to pay to the
Agent a registration fee in the sum of $3,500.

<PAGE>
                                      -89-

     19.4. New Notes. Upon its receipt of an Assignment and Acceptance  executed
by the  parties  to such  assignment,  together  with each Note  subject to such
assignment,  the Agent shall (i) record the information contained therein in the
Register,  and (ii) give prompt notice  thereof to the Borrowers and the Lenders
(other than the assigning  Lender).  Within five (5) Business Days after receipt
of such notice, the Borrowers,  at its own expense, shall execute and deliver to
the Agent,  in exchange  for each  surrendered  Note, a new Note to the order of
such Eligible Assignee in an amount equal to the amount assumed by such Eligible
Assignee pursuant to such Assignment and Acceptance and, if the assigning Lender
has retained some portion of its obligations  hereunder, a new Note to the order
of the  assigning  Lender  in an  amount  equal  to the  amount  retained  by it
hereunder.  Such new Notes  shall  provide  that they are  replacements  for the
surrendered  Notes,  shall  be in an  aggregate  principal  amount  equal to the
aggregate  principal  amount  of the  surrendered  Notes,  shall  be  dated  the
effective  date of such  Assignment  and  Acceptance  and shall  otherwise be in
substantially  the form of the assigned Notes.  The  surrendered  Notes shall be
cancelled and returned to the Borrower.

     19.5.  Participations.  Each Lender may sell  participations to one or more
banks  or  other  entities  in all or a  portion  of such  Lender's  rights  and
obligations  under this Credit Agreement and the other Loan Documents;  provided
that  (i)  each  such  participation  shall be in an  amount  of not  less  than
$5,000,000,  (ii) any such sale or participation shall not affect the rights and
duties of the selling Lender hereunder to the Borrowers, (iii) each Borrower and
the Agent shall  continue to deal solely and directly with the selling Lender in
connection with the selling  Lender's  rights and obligations  under this Credit
Agreement  and the other Loan  Documents,  and (iv) no Lender shall  transfer or
grant any  participating  interest  under  which the  participant  has rights to
approve any  amendment to, or any consent or waiver with respect to, this Credit
Agreement or any other Loan Document,  and all amounts  payable by the Borrowers
hereunder shall be determined as if such Lender had not sold such participation;
except that,  if amounts  outstanding  under this Credit  Agreement  are due and
unpaid,  or shall have been  declared or shall have become due and payable  upon
the occurrence of an Event of Default,  each participant shall be deemed to have
the right of set-off in respect of its  participating  interest in amounts owing
under  this  Credit  Agreement  to  the  same  extent  as if the  amount  of its
participating  interest were owing  directly to it as a Lender under this Credit
Agreement.

     19.6. Disclosure.  The Borrowers agree that in addition to disclosures made
in  accordance  with  standard and  customary  banking  practices any Lender may
disclose  information  obtained by such Lender pursuant to this Credit Agreement
to assignees or participants and potential assignees or participants  hereunder;
provided  that  such  assignees  or  participants  or  potential   assignees  or
participants shall agree (i) to treat in confidence such information unless such
information  otherwise  becomes  public  knowledge,  (ii) not to  disclose  such
information  to a third  party,  except as required by law or legal  process and
(iii) not to make use of such information for purposes of transactions unrelated
to such contemplated  assignment or participation.  For purposes of this ss.19.6
an assignee or  participant or potential  assignee or participant  may include a
counterparty  with whom such Lender has entered into or potentially  might enter
into a derivative contract referenced to credit or other risks or events arising
under this Credit Agreement or any other Loan Document.

<PAGE>
                                      -90-

     19.7.  Assignee  or  Participant  Affiliated  with  the  Borrowers.  If any
assignee Lender is an Affiliate of any of the Borrowers,  then any such assignee
Lender  shall  have no right to vote as a Lender  hereunder  or under any of the
other  Loan  Documents  for  purposes  of  granting  consents  or waivers or for
purposes of agreeing to  amendments  or other  modifications  to any of the Loan
Documents or for purposes of making requests to the Agent pursuant to ss.13.1 or
ss.13.2, and the determination of the Majority Lenders shall for all purposes of
this Credit  Agreement  and the other Loan  Documents be made without  regard to
such  assignee   Lender's   interest  in  any  of  the  Loans  or  Reimbursement
Obligations. If any Lender sells a participating interest in any of the Loans or
Reimbursement  Obligations to a participant,  and such participant is a Borrower
or an  Affiliate  of any of the  Borrowers,  then such  transferor  Lender shall
promptly notify the Agent of the sale of such participation. A transferor Lender
shall have no right to vote as a Lender hereunder or under any of the other Loan
Documents  for  purposes  of  granting  consents  or waivers or for  purposes of
agreeing to  amendments  or  modifications  to any of the Loan  Documents or for
purposes of making  requests to the Agent  pursuant to ss.13.1 or ss.13.2 to the
extent  that such  participation  is  beneficially  owned by a  Borrower  or any
Affiliate of any of the Borrowers, and the determination of the Majority Lenders
shall for all purposes of this Credit  Agreement and the other Loan Documents be
made without  regard to the interest of such  transferor  Lender in the Loans or
Reimbursement Obligations to the extent of such participation.

     19.8.  Miscellaneous  Assignment  Provisions.  Any  assigning  Lender shall
retain its rights to be indemnified pursuant to ss.16 with respect to any claims
or actions arising prior to the date of such  assignment.  On or before the date
it becomes a party to this  Credit  Agreement  and from time to time  thereafter
upon any change in status  rendering  any  certificate  or  document  previously
delivered  pursuant  to  ss.5.7  invalid  or  inaccurate,  each  Lender  that is
organized under the laws of a jurisdiction outside the United States shall (but,
with  respect  to any  renewal or change in  status,  if legally  able to do so)
deliver to the Borrowers and the Agent  certification  as to its exemption  from
deduction or withholding  of any United States  federal  income taxes,  and each
such Lender shall comply with all Applicable Laws with respect to such exemption
and any renewal or extension thereof. If any Reference Bank transfers all of its
interest,  rights and obligations under this Credit Agreement,  the Agent shall,
in consultation with the Borrowers and with the consent of the Borrowers and the
Majority  Lenders,  appoint another Lender to act as a Reference Bank hereunder.
Anything contained in this ss.19 to the contrary notwithstanding, any Lender may
at any time  pledge all or any  portion of its  interest  and rights  under this
Credit  Agreement  (including  all or any  portion  of its  Notes) to any of the
twelve (12) Federal  Reserve Banks  organized  under ss.4 of the Federal Reserve
Act, 12 U.S.C.  ss.341. No such pledge or the enforcement  thereof shall release
the pledgor Lender from its obligations hereunder or under any of the other Loan
Documents.

<PAGE>
                                      -91-

     19.9.  Assignment  by  Borrowers.  None of the  Borrowers  shall  assign or
transfer  any of their  rights or  obligations  under any of the Loan  Documents
without the prior written consent of each of the Lenders.

                                20. NOTICES, ETC.

     Except as  otherwise  expressly  provided  in this  Credit  Agreement,  all
notices and other  communications  made or required to be given pursuant to this
Credit Agreement or the Notes or any Letter of Credit  Applications  shall be in
writing and shall be delivered in hand,  mailed by United  States  registered or
certified first class mail, postage prepaid,  sent by overnight courier, or sent
by telegraph, telecopy, facsimile or telex and confirmed by delivery via courier
or postal service, addressed as follows:

          (a) if to the Borrower, at Century Aluminum Company, 2511 Garden Road,
     Building A, Suite 200, Monterey, CA 93940, Attention: Mr. Daniel Krofcheck,
     or at such  other  address  for  notice as the  Borrowers  shall  last have
     furnished in writing to the Person giving the notice;

          (b) if to the Agent,  at 1 South Wacker  Drive,  Suite 1400,  Chicago,
     Illinois, 60606, Attention:  Audrey Pengelly, Senior Vice President or such
     other address for notice as the Agent shall last have  furnished in writing
     to the Person giving the notice;

          (c) if to any Lender, at such Lender's address set forth on Schedule 1
     hereto,  or such other  address for notice as such  Lender  shall have last
     furnished in writing to the Person giving the notice.

     Any such  notice or demand  shall be deemed to have been duly given or made
and to have become  effective  (i) if  delivered by hand,  overnight  courier or
facsimile to a responsible officer of the party to which it is directed,  at the
time of the receipt thereof by such officer or the sending of such facsimile and
(ii) if sent by registered or certified  first-class mail,  postage prepaid,  on
the third Business Day following the mailing thereof.

                               21. GOVERNING LAW.

     THIS  CREDIT  AGREEMENT  AND,  EXCEPT AS  OTHERWISE  SPECIFICALLY  PROVIDED
THEREIN,  EACH OF THE OTHER LOAN  DOCUMENTS ARE CONTRACTS  UNDER THE LAWS OF THE
STATE OF NEW YORK AND SHALL FOR ALL PURPOSES BE CONSTRUED IN ACCORDANCE WITH AND
GOVERNED BY THE LAWS OF SAID STATE OF NEW YORK (EXCLUDING THE LAWS APPLICABLE TO
CONFLICTS OR CHOICE OF LAW).  EACH OF THE BORROWERS  AGREE THAT ANY SUIT FOR THE
ENFORCEMENT  OF THIS CREDIT  AGREEMENT OR ANY OF THE OTHER LOAN DOCUMENTS MAY BE
BROUGHT  IN THE  COURTS OF THE STATE OF NEW YORK OR ANY  FEDERAL  COURT  SITTING
THEREIN AND CONSENTS TO THE NONEXCLUSIVE  JURISDICTION OF SUCH COURT AND SERVICE
OF PROCESS IN ANY SUCH SUIT BEING MADE UPON ANY OF THE  BORROWERS BY MAIL AT THE
ADDRESS  SPECIFIED IN ss.20.  EACH OF THE BORROWERS  HEREBY WAIVES ANY OBJECTION
THAT IT MAY NOW OR  HEREAFTER  HAVE TO THE  VENUE OF ANY  SUCH  SUIT OR ANY SUCH
COURT OR THAT SUCH SUIT IS BROUGHT IN AN INCONVENIENT COURT.

<PAGE>
                                      -92-

                                  22. HEADINGS.

     The captions in this Credit Agreement are for convenience of reference only
and shall not define or limit the provisions hereof.

                                23. COUNTERPARTS.

     This Credit  Agreement and any amendment  hereof may be executed in several
counterparts  and by each  party on a separate  counterpart,  each of which when
executed and delivered  shall be an original,  and all of which  together  shall
constitute  one  instrument.  In proving  this Credit  Agreement it shall not be
necessary to produce or account for more than one such counterpart signed by the
party against whom enforcement is sought.

                           24. ENTIRE AGREEMENT, ETC.

     The Loan Documents and any other documents executed in connection  herewith
or therewith express the entire understanding of the parties with respect to the
transactions  contemplated  hereby.  Neither this Credit  Agreement nor any term
hereof may be changed, waived,  discharged or terminated,  except as provided in
ss.26.

                            25. WAIVER OF JURY TRIAL.

     Each of the Borrowers  hereby waives its right to a jury trial with respect
to any action or claim arising out of any dispute in connection with this Credit
Agreement,  the  Notes  or  any of the  other  Loan  Documents,  any  rights  or
obligations  hereunder  or  thereunder  or the  performance  of such  rights and
obligations.  Except as prohibited  by law, each of the Borrowers  hereby waives
any right it may have to claim or recover in any  litigation  referred to in the
preceding sentence any special, exemplary,  punitive or consequential damages or
any damages other than, or in addition to, actual damages. Each of the Borrowers
(i)  certifies  that no  representative,  agent or attorney of any Lender or the
Agent has  represented,  expressly or  otherwise,  that such Lender or the Agent
would not, in the event of litigation, seek to enforce the foregoing waivers and
(ii) acknowledges that the Agent and the Lenders have been induced to enter into
this Credit Agreement, the other Loan Documents to which it is a party by, among
other things, the waivers and certifications contained herein.

                     26. CONSENTS, AMENDMENTS, WAIVERS, ETC.

     (a) Any consent or approval  required or permitted by this Credit Agreement
to be given by the Lenders may be given, and any term of this Credit  Agreement,
the other Loan  Documents or any other  instrument  related  hereto or mentioned
herein may be amended, and the performance or observance by the Borrowers or any
of their  Subsidiaries  of any terms of this  Credit  Agreement,  the other Loan
Documents or such other instrument or the continuance of any Default or Event of
Default may be waived (either  generally or in a particular  instance and either
retroactively or prospectively)  with, but only with, the written consent of the
Borrowers and the written consent of the Majority Lenders.  Notwithstanding  the
foregoing:

        (i)     the rate of interest on the Notes (other than interest  accruing
                pursuant to ss.5.12.2 following the effective date of any waiver
                by the  Majority  Lenders  of the  Default  or Event of  Default
                relating thereto) or the amount of any Commitment Fees or Letter
                of Credit Fees may not be decreased  without the written consent
                of each Lender affected thereby;

<PAGE>
                                      -93-

        (ii)    No Lender's Revolving Credit Commitment may be increased without
                the written consent of such Lender and the Borrower;

        (iii)   the  Maturity  Date may not be  postponed  without  the  written
                consent of each Lender affected thereby;

        (iv)    the advance rates set forth in the  definition of Borrowing Base
                may not be increased  without the written  consent of all of the
                Lenders,

        (v)     this ss.26 and the  definitions  of Majority  Lenders may not be
                amended, without the written consent of all of the Lenders;

        (vi)    the  definition  of Minimum  Reserve  Amount may not be amended,
                without the written  consent of the Agent and Lenders holding at
                least  sixty-six  and  two  thirds  percent  (66  2/3%)  of  the
                outstanding  principal  amount of the Notes on such date, and if
                no such principal is  outstanding,  the Lenders whose  aggregate
                Revolving Credit Commitments  constitutes at least sixty-six and
                two  thirds  percent  (66  2/3%) of the Total  Revolving  Credit
                Commitment;

        (vii)   the amount of the Agent's  Fee  payable for the Agent's  account
                and ss.15 may not be amended  without the written consent of the
                Agent;  and the  amount of any fees in  respect  of  Letters  of
                Credit payable for the Issuing Bank's account may not be amended
                without the written consent of the Issuing Bank;

        (viii)  no such amendment,  modification,  waiver or release which would
                release any  Collateral  (except any permitted  asset sale under
                ss.9.5 or as otherwise expressly permitted in this Agreement and
                the  other  Loan  Documents)  from  the  lien  of  the  Security
                Documents shall be effective without the written consent of each
                Lender;

        (ix)    no such amendment,  modification,  waiver or release which would
                have the effect of reducing the principal  amount of any Loan of
                any Lender  shall be  effective  without the written  consent of
                each Lender affected thereby.

No waiver  shall  extend to or affect any  obligation  not  expressly  waived or
impair any right consequent  thereon.  No course of dealing or delay or omission
on the part of the Agent or any Lender in exercising  any right shall operate as
a waiver  thereof or otherwise be  prejudicial  thereto.  No notice to or demand
upon any of the Borrowers shall entitle any of the Borrowers to other or further
notice or demand in similar or other circumstances.

     (b) Notwithstanding anything to the contrary contained in clause (a) above,
the Agent may (i) enter into amendments to the Security Documents or Replacement
Security  Documents,  as the case may be, for the  purpose of adding  additional
Subsidiaries  of the  Borrowers as parties  thereto and (ii) enter into security
documents  to satisfy the  requirements  of  ss.ss.8.15  and 8.17,  in each case
without the consent of the Majority Lenders.

<PAGE>
                                      -94-

     (c) Notwithstanding anything to the contrary contained above in this ss.26,
Schedules 7.19, 7.20 and 7.21 may be supplemented or amended and restated by the
Borrowers in connection with any Permitted Acquisition,  to the extent that such
supplement or amendment and restatement  reflects  changes that are permitted by
this Credit Agreement and the other Loan Documents. Such supplement or amendment
and restatement shall become effective upon the Borrowers'  delivery of the same
to the Agent,  together with a certificate  of an Authorized  Officer of Century
Aluminum that such supplement or amendment and restatement reflects changes that
are permitted by this Credit  Agreement and the other Loan Documents.  The Agent
shall promptly  distribute to each Lender a copy of such supplement or amendment
and  restatement,  together with the  certificate of the  Authorized  Officer of
Century Aluminum referred to above.

                                27. SEVERABILITY.

     The provisions of this Credit Agreement are severable and if any one clause
or provision  hereof shall be held invalid or  unenforceable in whole or in part
in any jurisdiction,  then such invalidity or unenforceability shall affect only
such clause or provision,  or part thereof, in such jurisdiction,  and shall not
in any manner affect such clause or provision in any other jurisdiction,  or any
other clause or provision of this Credit Agreement in any jurisdiction.

<PAGE>

     IN  WITNESS  WHEREOF,  the  undersigned  have  duly  executed  this  Credit
Agreement as a sealed instrument as of the date first set forth above.

                                         CENTURY ALUMINUM COMPANY

                                         By: ___________________________________
                                                Name:
                                                Title:

                                         CENTURY ALUMINUM OF WEST VIRGINIA, INC.

                                         By: ___________________________________
                                                Name:
                                                Title:

                                         BERKELEY ALUMINUM, INC.

                                         By: ___________________________________
                                                Name:
                                                Title:

                                         CENTURY KENTUCKY, INC.

                                         By: ___________________________________
                                                Name:
                                                Title:

<PAGE>

                                         METALSCO, LTD.

                                         By: ___________________________________
                                                Name:
                                                Title:

                                         NSA, Ltd., by Metalsco, LTD., its
                                         General Partner

                                         By: ___________________________________
                                                Name:
                                                Title:

<PAGE>

                                         FLEET CAPITAL  CORPORATION,
                                         individually and as Agent.

                                         By: ___________________________________
                                                Name: Mark K. Gertzof
                                                Title: Senior Vice President

<PAGE>

                                         THE CIT GROUP/BUSINESS CREDIT, INC.

                                         By: ___________________________________
                                                Name:
                                                Title:

<PAGE>

                                         CONGRESS FINANCIAL CORPORATION

                                         By: ___________________________________
                                                Name:
                                                Title:

<PAGE>

                                         LASALLE BUSINESS CREDIT, INC.

                                         By: ___________________________________
                                                Name:
                                                Title:

<PAGE>

                                         TRANSAMERICA BUSINESS CAPITAL
                                         CORPORATION

                                         By: ___________________________________
                                                Name:
                                                Title:

<PAGE>

                                         NATIONAL BANK OF CANADA

                                         By: ___________________________________
                                                Name:
                                                Title:

                                         By: ___________________________________
                                                Name:
                                                Title:

<PAGE>

                                         CREDIT SUISSE FIRST BOSTON

                                         By: ___________________________________
                                                Name:
                                                Title:

                                         By: ___________________________________
                                                Name:
                                                Title:

<PAGE>

                                         CITIZENS BUSINESS CREDIT COMPANY, a
                                         Division of Citizens Leasing, Inc.,
                                         a Massachusetts Corporation

                                         By: ___________________________________
                                                Name:
                                                Title:

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