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                                                                  EXHIBIT 10.101

                        AGREEMENT FOR WHOLESALE FINANCING
                       (Industrial/Construction - Rental)

This Agreement for Wholesale Financing ("Agreement") is made as of May 31, 1996
between Deutsche Financial Services Corporation ("DFS") and Western Traction
Company., a [___] SOLE PROPRIETORSHIP, [__] PARTNERSHIP, [XX] CORPORATION, [__]
LIMITED LIABILITY COMPANY (check applicable term) ("Dealer"), having a principal
place of business located at 1333 Atlantic Street, Union City, CA 94587.

         1. Extension of Credit. In the course of Dealer's business, Dealer
acquires new and used inventory and equipment ("Inventory") which is
manufactured or sold by, and/or which bears a trademark or trade name of: (a)
Svedala Industries, Inc./Dynapac Mfg. and Link-Belt Construction Equipment
Company or any of their subsidiaries or affiliated companies ("Vendor"), or (b)
other manufacturers or distributors. Subject to the terms of this Agreement,
DFS, in its sole discretion, may extend credit to Dealer from time to time to
purchase Inventory from Vendor or other manufacturers or distributors. If DFS
advances funds to Dealer following Dealer's execution of this Agreement, DFS
will be deemed to have entered into this Agreement with Dealer, whether or not
executed by DFS. DFS may combine all of DFS' advances to Dealer or on Dealer's
behalf, whether under this Agreement or any other agreement, and whether
provided by one or more of DFS' branch offices, together with all finance
charges, fees and expenses related thereto, to make one debt owed by Dealer.
DFS' decision to advance funds on any Inventory will not be binding until the
funds are actually advanced. DFS may, at any time and without notice to Dealer,
elect not to finance any Inventory sold by Vendor or another specific
manufacturer or distributor if Vendor or the specific manufacturer or
distributor is in default of its obligations to DFS, or with respect to which
DFS reasonably feels insecure.

         2. Financing Terms and Statements of Transaction. Dealer and DFS agree
that certain financial terms of any advance made by DFS under this Agreement,
whether regarding finance charges, other fees, maturities, curtailments or other
financial terms, are not set forth herein because such terms depend, in part,
upon the availability from time to time of discounts, payment terms or other
incentives from Vendor and other manufacturers and distributors, prevailing
economic conditions, and other economic factors which may vary over time. It is
therefore in DFS' and Dealer's best interest to set forth in this Agreement only
the general terms of Dealer's financing arrangement with DFS. Upon agreeing to
finance a particular item of Inventory for Dealer, DFS will send Dealer a
Statement of Transaction, and any amendment thereto ("Statement of
Transaction"), identifying such Inventory and the applicable financial terms.
Unless Dealer notifies DFS in writing of any objection within fifteen (15) days
after a Statement of Transaction is mailed to Dealer: (a) the amount shown on
such Statement of Transaction will be an account stated; (b) Dealer will have
agreed to all rates, charges and other terms shown on such Statement of
Transaction; (c) Dealer will have agreed that the items of Inventory referenced
in such Statement of Transaction are being financed by DFS at Dealer's request;
and (d) such Statement of Transaction will be incorporated herein by reference,
will be made a part hereof as if originally set forth herein, and will
constitute an addendum hereto. If Dealer objects to the terms of any Statement
of Transaction, Dealer will pay DFS for such Inventory

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in accordance with the most recent terms for similar Inventory to which Dealer
has not objected (or, if there are no prior terms, at the lesser of 16% per
annum or at the maximum lawful contract rate of interest permitted under
applicable law), but Dealer acknowledges that DFS may then elect to terminate
Dealer's financing program pursuant to Section 17, and cease making additional
advances to Dealer. However, such termination will not accelerate the maturities
of advances previously made, unless Dealer shall otherwise be in default of this
Agreement.

         3. Security Interest. To secure payment of all Dealer's current and
future debts to DFS, whether under this Agreement or any current or future
guaranty or other agreement, Dealer grants DFS a security interest in all of
Dealer's new and used inventory and equipment which is manufactured or sold by,
and/or which bears a trademark or trade name of, (a) Vendor, or (b) any other
manufacturer or distributor, in each case which is financed by DFS or against
which DFS has advanced monies, whether now owned or hereafter acquired by
Dealer, and all accounts, contract rights, chattel paper, security agreements,
deposit accounts, reserves, documents, general intangibles and instruments
arising from all such inventory and equipment, and all judgments, claims,
insurance policies and payments owed or made to Dealer thereon, and all
attachments, accessories, accessions, substitutions and replacements thereto and
all proceeds thereof. All such assets are collectively referred to herein as the
"Collateral." All of such terms for which meanings are provided in the Uniform
Commercial Code of the applicable state are used herein with such meanings. All
Collateral financed by DFS, and all proceeds thereof, will be held in trust by
Dealer for DFS solely for release or distribution to DFS, with such proceeds
being payable solely to DFS in accordance with Section 9.

         4. Affirmative Warranties and Representations. Dealer warrants and
represents to DFS that: (a) Dealer has good title to all Collateral; (b) DFS'
security interest in the Collateral is not now and will not become subordinate
to the security interest, lien, encumbrance or claim of any person; (c) Dealer
will execute all documents DFS requests to perfect and maintain DFS' security
interest in the Collateral; (d) Dealer will deliver to DFS immediately upon each
request, and DFS may retain, each Certificate of Title or Statement of Origin
issued for Collateral; (e) Dealer will at all times be duly organized, existing,
in good standing, qualified and licensed to do business in each state, county,
or parish, in which the nature of its business or property so requires; (f)
Dealer has the right and is duly authorized to enter into this Agreement; (g)
Dealer's execution of this Agreement does not constitute a breach of any
agreement to which Dealer is now or hereafter becomes bound; (h) there are and,
to the best of Dealer's knowledge will be, no actions or proceedings pending or
threatened against Dealer which might result in any material adverse change in
Dealer's financial or business condition or which might in any way adversely
affect any of Dealer's assets; (i) Dealer will maintain the Collateral in good
condition and repair; (j) Dealer has duly filed and will duly file all tax
returns required by law; (k) Dealer has paid and will pay when due all taxes,
levies, assessments and governmental charges of any nature; (1) Dealer will keep
and maintain all of its books and records pertaining to the Collateral at its
principal place of business designated in this Agreement; (m) Dealer will
promptly supply DFS with such information concerning it or any guarantor as DFS
hereafter may reasonably request; (n) all Collateral will be kept at Dealer's
principal place of business listed above, and such other locations, if any, of
which Dealer has notified DFS in writing or as listed on any current or future
Exhibit "A" attached hereto which written notice(s) to DFS and Exhibit A(s) are

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incorporated herein by reference; (0) Dealer will give DFS thirty (30) days
prior written notice of any change in Dealer's identity, name, form of business
organization, ownership, management, principal place of business, Collateral
locations or other business locations, and before moving any books and records
to any other location; (p) Dealer will observe and perform all matters required
by any lease, license, concession or franchise forming part of the Collateral in
order to maintain all the rights of DFS thereunder; (q) Dealer will advise DFS
of the commencement of material legal proceedings against Dealer or any
guarantor; and (r) Dealer will comply with all applicable laws and will conduct
its business in a manner which preserves and protects the Collateral and the
earnings and incomes thereof.

         5. Negative Covenants. Dealer will not at any time (without DFS' prior
written consent): (a) other than in the ordinary course of its business, sell,
demonstrate, lease or otherwise dispose of or transfer any of its assets; (b)
demonstrate, consign, or use any Collateral; or (c) merge or consolidate with
another entity.

         6. Insurance. Dealer will immediately notify DFS of any loss, theft or
damage to any Collateral. Dealer will keep the Collateral insured for its full
insurable value under an "all risk" property insurance policy with a company
acceptable to DFS, naming DFS as a lender loss-payee or mortgagee and containing
standard lender's loss payable and termination provisions. Dealer will provide
DFS with written evidence of such property insurance coverage and lender's
loss-payee or mortgagee endorsement.

         7. Financial Statements. Dealer will deliver to DFS: (a) within ninety
(90) days after the end of each of Dealer's fiscal years, a reasonably detailed
balance sheet as of the last day of such fiscal year and a reasonably detailed
income statement covering Dealer's operations for such fiscal year, in a form
satisfactory to DFS; (b) within forty-five (45) days after the end of each of
Dealer's fiscal quarters, a reasonably detailed balance sheet as of the last day
of such quarter and an income statement covering Dealer's operations for such
quarter, in a form satisfactory to DFS; and (c) within thirty (30) days after
request therefor by DFS, any other report requested by DFS relating to the
Collateral or the financial condition of Dealer. Dealer warrants and represents
to DFS that all financial statements and information relating to Dealer or any
guarantor which have been or may hereafter be delivered by Dealer or any
guarantor are true and correct and have been and will be prepared in accordance
with generally accepted accounting principles consistently applied and, with
respect to such previously delivered statements or information, there has been
no material adverse change in the financial or business condition of Dealer or
any guarantor since the submission to DFS, either as of the date of delivery,
or, if different, the date specified therein, and Dealer acknowledges DFS'
reliance thereon.

         8. Reviews. Dealer grants DFS an irrevocable license to enter Dealer's
business locations during normal business hours without notice to Dealer to: (a)
account for and inspect all Collateral; (b) verify Dealer's compliance with this
Agreement; and (c) examine and copy Dealer's books and records related to the
Collateral.

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         9. Payment Terms. Dealer will immediately pay DFS the principal
indebtedness owed DFS on each item of Inventory financed by DFS or against which
DFS has advanced funds on the earliest occurrence of any of the following
events: (a) (i) when such Inventory is lost, stolen or damaged - immediately if
such loss, theft or damage is not covered completely by insurance, or (ii) if
completely covered by insurance, then upon Dealer's receipt of the insurance
proceeds therefor or thirty (30) days following the loss theft or damage,
whichever occurs first; (b) when such Inventory is sold, transferred or
otherwise disposed of; provided, however, if any item of Inventory financed by
DFS or against which DFS has advanced funds is sold and Dealer does not receive
payment for such item at the time of sale, Dealer will pay DFS the full amount
of the principal balance owed DFS on such item of Inventory within thirty (30)
days immediately following the sale date of such item of Inventory or
immediately upon Dealer's receipt of payment for such items of Inventory,
whichever occurs first; (c) in strict accordance with any curtailment schedule
for such Inventory (as shown on the Statement of Transaction identifying such
Inventory); (d) when any item of such Inventory matures (as shown on the
Statement of Transaction identifying such Inventory). With respect to Inventory
financed by DFS or against which DFS has advanced funds and held for rent and/or
lease, Dealer will owe DFS and agree to pay DFS monthly the percentage of the
principal balance owed on each item of such Inventory that is required under the
terms of Dealer's financing program with DFS. However, if any Inventory financed
by DFS or against which DFS has advanced funds and held for rent and/or lease:
(A) is sold and Dealer does not receive payment for such item at the time of
sale, Dealer will pay DFS the full amount of the principal balance owed to DFS
on such item of Inventory within thirty (30) days immediately following the sale
date of such item of Inventory or immediately upon Dealer's receipt of payment
for such item of Inventory, whichever occurs first; or (B) is stolen, destroyed
or otherwise disposed of, Dealer will immediately pay DFS the full amount of
Dealer's outstanding indebtedness owed to DFS for such Inventory. If Dealer from
time to time is required to make immediate payment to DFS of any past due
obligation discovered during any Inventory audit, or at any other time, Dealer
agrees that acceptance of such payments by DFS will not be construed to have
waived or amended the terms of its financing program. Dealer will send all
payments to DFS' branch office(s) responsible for Dealer's account. DFS may
apply: (i) payments to reduce finance charges first and then principal,
regardless of Dealer's instructions; and (ii) principal payments to the oldest
(earliest) invoice for Inventory financed by DFS, but, in any event, all
principal payments will first be applied to such Inventory which is sold, lost,
stolen, damaged, rented, leased, or otherwise disposed of or unaccounted for.
Any third party discount, rebate, bonus or credit granted to Dealer for any
Inventory will not reduce the debt Dealer owes DFS until DFS has received
payment therefor in cash. Dealer will: (1) pay DFS even if any Inventory
financed by DFS or against which DFS has advanced funds is defective or fails to
conform to any warranties extended by any third party; (2) not assert against
DFS any claim or defense Dealer has against any third party; and (3) indemnify
and hold DFS harmless against all claims and defenses asserted by any buyer of
the Inventory relating to the condition of, or any representations regarding,
any of the Inventory. Dealer waives all rights of offset and counterclaims which
Dealer may have against DFS.

         10. Calculation of charges. Dealer will pay finance charges to DFS on
the outstanding principal debt Dealer owes DFS for each item of Inventory
financed-by DFS at the rate(s) shown on the Statement of Transaction identifying
such Inventory, unless Dealer objects thereto as provided in

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Section 2. The finance charges attributable to the rate shown on the Statement
of Transaction will: (a) be computed based on a 360 day year; (b) be calculated
by multiplying the Daily Charge (as defined below) by the actual number of days
in the applicable billing period; and (C) accrue from the invoice date of the
Inventory identified on such Statement of Transaction until DFS receives full
payment of the principal debt Dealer owes DFS for each item of such Inventory in
accordance with DFS' payment recognition policy and DFS applies such payment to
Dealer's principal debt in accordance with the terms of this Agreement. The
"Daily Charge" is the product of the Daily Rate (as defined below) multiplied by
the Average Daily Balance (as defined below) The "Daily Rate" is the quotient of
the annual rate shown on the Statement of Transaction divided by 360, or the
monthly rate shown on the Statement of Transaction divided by 30. The "Average
Daily Balance" is the quotient of: (i) the sum of the outstanding principal debt
owed DFS on each day of a billing period for each item of Inventory identified
on a Statement of Transaction; divided by (ii) the actual number of days in such
billing period. Dealer will also pay DFS $100 for each check returned unpaid for
insufficient funds (an "NSF check") (such $100 payment repays DFS' estimated
administrative costs; it does not waive the default caused by the NSF check).
Dealer acknowledges that DFS intends to strictly conform to the applicable usury
laws governing this Agreement. Regardless of any provision contained herein or
in any other document executed or delivered in connection herewith or therewith,
DFS shall never be deemed to have contracted for, charged or be entitled to
receive, collect or apply as interest on this Agreement (whether termed interest
herein or deemed to be interest by judicial determination or operation of law),
any amount in excess of the maximum amount allowed by applicable law, and, if
DFS ever receives, collects or applies as interest any such excess, such amount
which would be excessive interest will be applied first to the reduction of the
unpaid principal balances of advances under this Agreement, and, second, any
remaining excess will be paid to Dealer. In determining whether or not the
interest paid or payable under any specific contingency exceeds the highest
lawful rate, Dealer and DFS shall, to the maximum extent permitted under
applicable law: (A) characterize any non-principal payment (other than payments
which are expressly designated as interest payments hereunder) as an expense or
fee rather than as interest; (B) exclude voluntary pre-payments and the effect
thereof; and (C) spread the total amount of interest throughout the entire term
of this Agreement so that the interest rate is uniform throughout such term. The
annual percentage rate of the finance charges relating to any item of Inventory
financed by DFS will be calculated from the invoice date of such Inventory,
regardless of any period during which any finance charge subsidy will be paid or
payable by any third party.

         11. Billing Statement. DFS will send Dealer a monthly billing statement
identifying all charges due on Dealer s account with DFS. The charges specified
on each billing statement will be: (a) due and payable in full upon receipt; and
(b) an account stated, unless DFS receives Dealer's written objection thereto
within 15 days after it is mailed to Dealer. If DFS does not receive, by the
25th day of any given month, payment of all charges accrued to Dealer's account
with DFS during the immediately preceding month, Dealer will (to the extent
allowed by law) pay DFS a late fee ("Late Fee") equal to the greater of $5 or 5%
of the amount of such finance charges (payment of the Late Fee does not waive
the default caused by the late payment). DFS may adjust the billing statement at
any time to conform to applicable law and this Agreement.

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         12. Rental Contracts. Dealer may rent the Inventory financed by DFS or
against which DFS has advanced funds pursuant to the terms of Dealer's rental
contracts ("Rental Contracts"). Such Inventory will thereafter be subject to the
rates and terms of DFS' financing program in effect for goods which are rented,
as reflected in the Statement of Transaction for such Inventory. All of Dealer's
Rental Contracts, agreements, and rental transactions will be in a form
satisfactory to DFS and will be in accordance with all applicable Federal, State
and local laws. Dealer will indemnify DFS against any loss or damage which DFS
suffers, whether direct or indirect, resulting in any way from the Rental
Contracts, agreements, or rental transactions which fail to comply with such
laws. All Rental Contracts will be transferable to DFS. Dealer will indemnify
DFS against any claims by its customers regarding Dealer's obligations under the
Rental Contracts. Dealer will immediately, upon DFS' request, deliver to DFS all
Rental Contracts and all related documents. This assignment is a transfer for
security only, and, until DFS has foreclosed its interest in the Rental
Contracts, will not be deemed to delegate any of Dealer's duties under the
Rental Contracts to DFS, nor is it intended to alter or impair performance by
either party to the Rental Contracts. DFS may, from time to time, verify the
accuracy of the Rental Contracts, and Dealer will immediately, upon DFS'
request, provide DFS with the following information regarding Rental Contracts
which are in effect on the date of such request: (a) the name, address and
telephone number of each customer who has executed a Rental Contract; (b) the
location of the Inventory; (c) the date of each Rental Contract; (d) the date
when the Inventory is to be returned under each Rental Contract; and, (e) any
other information which DFS may reasonably request. If the rental period under
the Rental Contract is ninety (90) days or longer, Dealer will stamp the
original of such Rental Contract with the following legend:

         `FOR VALUE RECEIVED, THIS AGREEMENT HAS BEEN ASSIGNED TO DEUTSCHE
         FINANCIAL SERVICES CORPORATION AND THERE ARE NO DEFENSES AGAINST THE
         ASSIGNEE.'

Other than to DFS, Dealer will not assign, sell, pledge, convey or by any other
means transfer any Rental Contracts or chattel paper, without DFS' prior written
consent. Dealer will not enter into any Rental Contracts for Inventory financed
by DFS or against which DFS has advanced funds pursuant to which: (i) the
original term of the Rental Contract is greater than three hundred sixty (360)
days; (ii) the original term of the Rental Contract is equal to or greater than
the remaining economic life of such Inventory; (iii) the customer is bound to
renew the Rental Contract for the economic life of such Inventory or is bound to
become the owner of such Inventory; or, (iv) the customer has an option to renew
the Rental Contract for the remaining economic life of such Inventory, or to
become the owner of such Inventory, for nominal consideration, or for
consideration which is less than the unpaid balance owed to DFS for such
Inventory. If any such Rental Contracts are issued, Dealer will take any action
which DFS may reasonably require to perfect and/or protect DFS' security
interest in such Rental Contracts and/or the Inventory subject thereto.

         13. Default. Dealer will be in default under this Agreement if: (a)
Dealer breaches any terms, warranties or representations contained herein, in
any Statement of Transaction to which Dealer has not objected as provided in
Section 2, or in any other agreement between DFS and Dealer; (b) any guarantor
of Dealer's debts to DFS breaches any terms, warranties or representations
contained in

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any guaranty or other agreement between the guarantor and DFS; (c) any
representation, statement, report or certificate made or delivered by Dealer or
any guarantor to DFS is not accurate when made; (d) Dealer fails to pay any
portion of Dealer's debts to DFS when due and payable hereunder or under any
other agreement between DFS and Dealer; (e) Dealer abandons any Collateral; (f)
Dealer or any guarantor is or becomes in default in the payment of any debt owed
to any third party; (g) a money judgment issues against Dealer or any guarantor;
(h) an attachment, sale or seizure issues or is executed against any assets of
Dealer or of any guarantor; (i) the undersigned dies while Dealer's business is
operated as a sole proprietorship, any general partner dies while Dealer's
business is operated as a general or limited partnership, or any member dies
while Dealer's business is operated as a limited liability company, as
applicable; (j) any guarantor dies; (k) Dealer or any guarantor shall cease
existence as a corporation, partnership, limited liability company or trust, as
applicable; (1) Dealer or any guarantor ceases or suspends business; (m) Dealer,
any guarantor or any member while Dealer's business is operated as a limited
liability company, as applicable, makes a general assignment for the benefit of
creditors; (n) Dealer, any guarantor or any member while Dealer's business is
operated as a limited liability company, as applicable, becomes insolvent or
voluntarily or involuntarily becomes subject to the Federal Bankruptcy Code, any
state insolvency law or any similar law; (0) any receiver is appointed for any
assets of Dealer, any guarantor or any member while Dealer's business is
operated as a limited liability company, as applicable; (p) any guaranty of
Dealer's debts to DFS is terminated; (q) Dealer loses any franchise, permission,
license or right to sell or deal in any Inventory which DFS finances; or (r)
Dealer or any guarantor misrepresents Dealer's or such guarantor's financial
condition or organizational structure.

         14. Rights of DFS Upon Default. In the event of a default:

         (a)      DFS may at any time at DFS' election, without notice or demand
                  to Dealer, do any one or more of the following: declare all or
                  any part of the debt Dealer owes DFS immediately due and
                  payable, together with all costs and expenses of DFS'
                  collection activity, including, without limitation, all
                  reasonable attorney's fees; exercise any or all rights under
                  applicable law (including, without limitation, the right to
                  possess, transfer and dispose of the Collateral); and/or cease
                  extending any additional credit to Dealer (DFS' right to cease
                  extending credit will not be construed to limit the
                  discretionary nature of this credit facility)

         (b)      Dealer will segregate and keep the Collateral in trust for
                  DFS, and in good order and repair, and will not sell, rent,
                  lease, consign, otherwise dispose of or use any Collateral,
                  nor further encumber any Collateral.

         (c)      Upon DFS' oral or written demand, Dealer will immediately
                  deliver the Collateral to DFS, in good order and repair, at a
                  place specified by DFS, together with all related documents;
                  or DFS may, in DFS' sole discretion and without notice or
                  demand to Dealer, take immediate possession of the Collateral
                  together with all related documents.

         (d)      DFS may, without notice, apply a default finance charge to
                  Dealer's outstanding principal indebtedness equal to the
                  default rate specified in Dealer's financing program with DFS,
                  if any, or if there is none so specified, at the lesser of 3%
                  per annum above the rate in effect immediately prior to the
                  default, or the highest lawful contract rate

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                  of interest permitted under applicable law.

         (e)      Dealer grants DFS an irrevocable power of attorney to: execute
                  or endorse on Dealer's behalf any checks, drafts or other
                  forms of exchange received as payment on any Collateral for
                  deposit in DFS' account; execute financing statements,
                  instruments, Certificates of Title and Statements of Origin
                  pertaining to the Collateral; supply any omitted information
                  and correct errors in any documents between DFS and Dealer;
                  sell, assign, transfer, negotiate, demand, collect, receive,
                  settle, extend, or renew any amounts due on any of the
                  Collateral; do anything Dealer is obligated to do hereunder;
                  initiate and settle any insurance claim pertaining to the
                  Collateral; and do anything to preserve and protect the
                  Collateral and DFS' rights and interests therein.

         (f)      Upon DFS' oral or written demand, Dealer will immediately
                  deliver the original Rental Contracts to DFS, and DFS may
                  collect in DFS' name all amounts owed to Dealer under the
                  Rental Contracts.

All of DFS' rights and remedies are cumulative. DFS' failure to exercise any of
DFS' rights or remedies hereunder will not waive any of DFS' rights or remedies
as to any past, current or future default.

         15. Sale of Collateral. Dealer agrees that if DFS conducts a private
sale of any Collateral by requesting bids from 10 or more dealers or
distributors in that type of Collateral, any sale by DFS of such Collateral in
bulk or in parcels within 120 days of: (a) DFS' taking possession and control of
such Collateral; or (b) when DFS is otherwise authorized to sell such
Collateral; whichever occurs last, to the bidder submitting the highest cash bid
therefor, is a commercially reasonable sale of such Collateral under the Uniform
Commercial Code. Dealer agrees that the purchase of any Collateral by Vendor or
a manufacturer or distributor, as provided in any agreement between DFS and the
Vendor, manufacturer or distributor, is a commercially reasonable disposition
and private sale of such Collateral under the Uniform Commercial Code, and no
request for bids will be required. Dealer further agrees that 7 or more days
prior written notice will be commercially reasonable notice of any public or
private sale (including any sale to Vendor or a manufacturer or distributor).
Dealer irrevocably waives any requirement that DFS retain possession and not
dispose of any Collateral until after an arbitration hearing, arbitration award,
confirmation, trial or final judgment. If DFS disposes of any such Collateral
other than as herein contemplated, the commercial reasonableness of such
disposition will be determined in accordance with the laws of the state
governing this Agreement.

         16. Power of Attorney; Information. Dealer grants DFS an irrevocable
power of attorney to do anything necessary to preserve and protect the
Collateral and DFS' rights and interest therein. DFS may provide to any third
party any credit, financial or other information on Dealer that DFS may from
time to time possess. DFS may obtain from any Vendor, manufacturer or
distributor, any credit, financial or other information regarding Dealer that
such Vendor, manufacturer or distributor may from time to time possess.

         17. Termination. Either party may terminate this Agreement at any time
by written notice received by the other party. If DFS terminates this Agreement,
Dealer agrees that if Dealer: (a) is not in default hereunder, 30 days prior
notice of termination is reasonable and sufficient (although this

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provision shall not be construed to mean that shorter periods may not, in
particular circumstances, also be reasonable and sufficient); or (b) is in
default hereunder, no prior notice of termination is required. Dealer will riot
be relieved from any obligation to DFS arising out of DFS' advances or
commitments made before the effective termination date of this Agreement. DFS
will retain all of its rights, interests and remedies hereunder until Dealer has
paid all of Dealer's debts to DFS. All waivers set forth within this Agreement
will survive any termination of this Agreement.

         18. Binding Effect. Dealer cannot assign its interest in this Agreement
without DFS' prior written consent, although DFS may assign or participate DFS'
interest, in whole or in part, without Dealer's consent. This Agreement will
protect and bind DFS' and Dealer's respective heirs, representatives, successors
and assigns.

         19. Notices. Except as otherwise stated herein, all notices,
arbitration claims, responses, requests and documents will be sufficiently given
or served if mailed or delivered: (a) to Dealer at Dealer's principal place of
business specified above; and (b) to DFS at 655 Maryville Centre Drive, St.
Louis, Missouri 63141-5832, Attention: General Counsel, or such other address as
the parties may hereafter specify in writing.

         20. NO ORAL AGREEMENTS. ORAL AGREEMENTS OR COMMITMENTS TO LOAN MONEY,
EXTEND CREDIT OR TO FORBEAR FROM ENFORCING REPAYMENT OF A DEBT INCLUDING
PROMISES TO EXTEND OR RENEW SUCH DEBTS ARE NOT ENFORCEABLE. TO PROTECT DEALER
AND DFS FROM MISUNDERSTANDING OR DISAPPOINTMENT, ALL AGREEMENTS COVERING SUCH
MATTERS ARE CONTAINED IN THIS WRITING, WHICH IS THE COMPLETE AND EXCLUSIVE
STATEMENT OF THE AGREEMENT BETWEEN THE PARTIES, EXCEPT AS SPECIFICALLY PROVIDED
HEREIN OR AS THE PARTIES MAY LATER AGREE IN WRITING TO MODIFY IT. THERE ARE NO
UNWRITTEN AGREEMENTS BETWEEN THE PARTIES.

         21. Other Waivers. Dealer irrevocably waives notice of: DFS' acceptance
of this Agreement, presentment, demand, protest, nonpayment, nonperformance, and
dishonor. Dealer and DFS irrevocably waive all rights to claim any punitive
and/or exemplary damages.

         22. Severability. If any provision of this Agreement or its application
is invalid or unenforceable, the remainder of this Agreement will not be
impaired or affected and will remain binding and enforceable.

         23. Supplement. If Dealer and DFS (or any predecessor in interest to
DFS) have heretofore executed other agreements in connection with all or any
part of the Collateral, this Agreement shall supplement each and every other
agreement previously executed by and between Dealer and DFS (or any predecessor
in interest to DFS), and in that event this Agreement shall neither be deemed a
novation nor a termination of such previously executed agreement nor shall
execution of this Agreement be deemed a satisfaction of any obligation secured
by such previously executed agreement.

                                       9
<PAGE>   10

         24. Receipt of Agreement. Dealer acknowledges that it has received a
true and complete copy of this Agreement. Dealer acknowledges that it has read
and understood this Agreement. Notwithstanding anything herein to the contrary:
(a) DFS may rely on any facsimile copy, electronic data transmission or
electronic data storage of this Agreement, any Statement of Transaction, billing
statement, invoice from Vendor or any manufacturer or distributor, financial
statements or other reports, and (b) such facsimile copy, electronic data
transmission or electronic data storage will be deemed an original, and the best
evidence thereof for all purposes, including, without limitation, under this
Agreement or any other agreement between DFS and Dealer, and for all evidentiary
purposes before any arbitrator, court or other adjudicatory authority.

         25. Miscellaneous. Time is of the essence regarding Dealer's
performance of its obligations to DFS notwithstanding any course of dealing or
custom on DFS' part to grant extensions of time. Dealer's liability under this
Agreement is direct and unconditional and will not be affected by the release or
nonperfection of any security interest granted hereunder. DFS will have the
right 0 refrain from or postpone enforcement of this Agreement or any other
agreements between DFS and Dealer without prejudice and the failure to strictly
enforce these agreements will not be construed as having created a course of
dealing between DFS and Dealer contrary to the specific terms of the agreements
or as having modified, released or waived the same. The express terms of this
Agreement will not be modified by any course of dealing, usage of trade, or
custom of trade which may deviate from the terms hereof. If Dealer fails to pay
any taxes, fees or other obligations which may impair DFS' interest in the
Collateral, or fails to keep the Collateral insured, DFS may, but shall not be
required to, pay such taxes, fees or obligations and pay the cost to insure the
Collateral, and the amounts paid will be: (a) an additional debt owed by Dealer
to DFS, which shall be subject to finance charges as provided herein; and (b)
due and payable immediately in full. Dealer agrees to pay all of DFS' reasonable
attorneys' fees and expenses incurred by DFS in enforcing DFS' rights hereunder.
The Section titles used in this Agreement are for convenience only and do not
define or limit the contents of any Section.

         26. BINDING ARBITRATION.

         26.1     Arbitrable Claims. Except as otherwise specified below, all
                  actions, disputes, claims and controversies under common law,
                  statutory law or in equity of any type or nature whatsoever
                  (including, without limitation, all torts, whether regarding
                  negligence, breach of fiduciary duty, restraint of trade,
                  fraud, conversion, duress, interference, wrongful replevin,
                  wrongful sequestration, fraud in the inducement, usury or any
                  other tort, all contract actions, whether regarding express or
                  implied terms, such as implied covenants of good faith, fair
                  dealing, and the commercial reasonableness of any Collateral
                  disposition, or any other contract claim, all claims of
                  deceptive trade practices or lender liability, and all claims
                  questioning the reasonableness or lawfulness of any act),
                  whether arising before or after the date of this Agreement,
                  and whether directly or indirectly relating to: (a) this
                  Agreement and/or any amendments

                                       10
<PAGE>   11

                  and addenda hereto, or the breach, invalidity or termination
                  hereof; (b) any previous or subsequent agreement between DFS
                  (or any predecessor in interest to DFS) and Dealer; (c) any
                  act committed by DFS (or any predecessor in interest to DFS)
                  or by any parent company, subsidiary or affiliated company of
                  DFS (or any predecessor in interest to DFS) (collectively the
                  "DFS Companies"), or by any employee, agent, officer or
                  director of an DFS Company whether or not arising within the
                  scope and course of employment or other contractual
                  representation of the DFS Companies provided that such act
                  arises under a relationship, transaction or dealing between
                  DFS (or any predecessor in interest to DFS) and Dealer; and/or
                  (d) any other relationship, transaction or dealing between DFS
                  (or any predecessor in interest to DFS) and Dealer
                  (collectively the "Disputes"), will be subject to and resolved
                  by binding arbitration.

         26.2     Administrative Body. All arbitration hereunder will be
                  conducted in accordance with the Commercial Arbitration Rules
                  of The American Arbitration Association ("AAA"). If the AAA is
                  dissolved, disbanded or becomes subject to any state or
                  federal bankruptcy or insolvency proceeding, the parties will
                  remain subject to binding arbitration which will be conducted
                  by a mutually agreeable arbitral forum. The parties agree that
                  all arbitrator(s) selected will be attorneys with at least
                  five (5) years secured transactions experience. The
                  arbitrator(s) will decide if any inconsistency exists between
                  the rules of any applicable arbitral forum and the arbitration
                  provisions contained herein. If such inconsistency exists, the
                  arbitration provisions contained herein will control and
                  supersede such rules. The site of all arbitration proceedings
                  will be in the Division of the Federal Judicial District in
                  which AM maintains a regional office that is closest to
                  Dealer.

         26.3     Discovery. Discovery permitted in any arbitration proceeding
                  commenced hereunder is limited as follows. No later than
                  thirty (30) days after the filing of a claim for arbitration,
                  the parties will exchange detailed statements setting forth
                  the facts supporting the claim(s) and all defenses to be
                  raised during the arbitration, and a list of all exhibits and
                  witnesses. No later than twenty-one (21) days prior to the
                  arbitration hearing, the parties will exchange a final list of
                  all exhibits and all witnesses, including any designation of
                  any expert witness(es) together with a summary of their
                  testimony; a copy of all documents and a detailed description
                  of any property to be introduced at the hearing. Under no
                  circumstances will the use of interrogatories, requests for
                  admission, requests for the production of documents or the
                  taking of depositions be permitted. However, in the event of
                  the designation of any expert witness(es), the following will
                  occur: (a) all information and documents relied upon by the
                  expert witness(es) will be delivered to the opposing party,
                  (b) the opposing party will be permitted to depose the expert
                  witness(es), (c) the opposing party will be permitted to
                  designate rebuttal expert witness(es), and (d) the arbitration
                  hearing will be continued to the earliest possible date that
                  enables the foregoing limited discovery to be accomplished.

         26.4     Exemplary or Punitive Damages. The Arbitrator(s) will not have
                  the authority to award exemplary or punitive damages.

                                       11
<PAGE>   12

         26.5     Confidentiality of Awards. All arbitration proceedings,
                  including testimony or evidence at hearings, will be kept
                  confidential, although any award or order rendered by the
                  arbitrator(s) pursuant to the terms of this Agreement may be
                  entered as a judgment or order in any state or federal court
                  and may be confirmed within the federal judicial district
                  which includes the residence of the party against whom such
                  award or order was entered. This Agreement concerns
                  transactions involving commerce among the several states. The
                  Federal Arbitration Act, Title 9 U.S.C. Sections 1 et seq., as
                  amended ("FAA") will govern all arbitration(s) and
                  confirmation proceedings hereunder.

         26.6     Prejudgment and Provisional Remedies. Nothing herein will be
                  construed to prevent DFS' or Dealer's use of bankruptcy,
                  receivership, injunction, repossession, replevin, claim and
                  delivery, sequestration, seizure, attachment, foreclosure,
                  dation and/or any other prejudgment or provisional action or
                  remedy relating to any Collateral for any current or future
                  debt owed by either party to the other. Any such action or
                  remedy will not waive DFS' or Dealer's right to compel
                  arbitration of any Dispute.

         26.7     Attorneys' Fees. If either Dealer or DFS brings any other
                  action for judicial relief with respect to any Dispute (other
                  than those set forth in Section 26.6), the party bringing such
                  action will be liable for and immediately pay all of the other
                  party's costs and expenses (including attorneys' fees)
                  incurred to stay or dismiss such action and remove or refer
                  such Dispute to arbitration. If either Dealer or DFS brings or
                  appeals an action to vacate or modify an arbitration award and
                  such party does not prevail, such party will pay all costs and
                  expenses, including attorneys' fees, incurred by the other
                  party in defending such action. Additionally, if Dealer sues
                  DFS or institutes any arbitration claim or counterclaim
                  against DFS in which DFS is the prevailing party, Dealer will
                  pay all costs and expenses (including attorneys' fees)
                  incurred by DFS in the course of defending such action or
                  proceeding.

         26.8     Limitations. Any arbitration proceeding must be instituted:
                  (a) with respect to any Dispute for the collection of any debt
                  owed by either party to the other, within two (2) years after
                  the date the last payment was received by the instituting
                  party; and (b) with respect to any other Dispute, within two
                  (2) years after the date the incident giving rise thereto
                  occurred, whether or not any damage was sustained or capable
                  of ascertainment or either party knew of such incident.
                  Failure to institute an arbitration proceeding within such
                  period will constitute an absolute bar and waiver to the
                  institution of any proceeding, whether arbitration or a court
                  proceeding, with respect to such Dispute.

         26.9     Survival After Termination. The agreement to arbitrate will
                  survive the termination of this Agreement.

         27. INVALIDITY/UNENFORCEABILITY OF BINDING ARBITRATION. IF THIS
AGREEMENT IS FOUND TO BE NOT SUBJECT TO ARBITRATION, ANY LEGAL PROCEEDING WITH
RESPECT TO ANY DISPUTE WILL BE TRIED IN A COURT OF COMPETENT JURISDICTION BY A
JUDGE WITHOUT A JURY. DEALER AND DFS WAIVE ANY RIGHT TO A JURY TRIAL IN ANY SUCH
PROCEEDING.

                                       12
<PAGE>   13

         28. Governing Law. Dealer acknowledges and agrees that this and all
other agreements between Dealer and DFS have been substantially negotiated, and
will be substantially performed, in the state of Missouri. Accordingly, Dealer
agrees that all Disputes will be governed by, and construed in accordance with,
the laws of such state, except to the extent inconsistent with the provisions of
the FAA which shall control and govern all arbitration proceedings hereunder.

THIS CONTRACT CONTAINS BINDING ARBITRATION, JURY WAIVER AND PUNITIVE DAMAGE
WAIVER PROVISIONS.

IN WITNESS WHEREOF, Deals and DFS have executed this Agreement as of the date
first set forth hereinabove.

                                       13
<PAGE>   14

                       SECRETARY'S CERTIFICATE OF RESOLUTION

I certify that I am the Secretary or Assistant Secretary of the corporation
named below, and that the following completely and accurately sets forth certain
resolutions of the Board of Directors of the corporation adopted at a special
meeting thereof held on due notice (and with shareholder approval, if required
by law), at which meeting there was present a quorum authorized to transact the
business described below, and that the proceedings of the meeting were in
accordance with the certificate of incorporation, charter and by-laws of the
corporation, and that they have not been revoked, annulled or amended in any
manner whatsoever.

Upon motion duly made and seconded, the following resolution was unanimously
adopted after full discussion:

         "RESOLVED, That the several officers, directors, and agents of this
corporation, or any one or more of them, are hereby authorized and empowered on
behalf of this corporation: to obtain financing from Deutsche Financial Services
Corporation ("DFS") in such amounts and on such terms as such officers,
directors or agents deem proper; to enter into financing, security, pledge and
other agreements with DFS relating to the terms upon which such financing may be
obtained and security and/or other credit support is to be furnished by this
corporation therefor; from time to time to supplement or amend any such
agreements; and from time to time to pledge, assign, mortgage, grant security
interests, and otherwise transfer, to DFS as collateral security for any
obligations of this corporation to DFS, whenever and however arising, any assets
of this corporation, whether now owned or hereafter acquired; the Board of
Directors hereby ratifying, approving and confirming all that any of said
officers, directors or agents have done or may do with respect to the
foregoing."

IN WITNESS WHEREOF, I have executed and affixed the seal of the corporation on
the date stated below.

Dated May 31, 1996

                                       14
<PAGE>   15

                 AMENDMENT TO AGREEMENT FOR WHOLESALE FINANCING

         This Amendment to Agreement for Wholesale Financing is made to that
certain Agreement for Wholesale Financing entered into by and between Western
Traction Company ("Dealer") and Deutsche Financial Services Corporation ("DFS")
on May 31, 1996, as amended ("Agreement").

         FOR VALUE RECEIVED, Dealer and DFS agree to amend paragraph 17 of the
Agreement to provide as follows:

         17. Termination. Either party may terminate this Agreement at any time
         by written notice received by the other party. If DFS terminates this
         Agreement, Dealer agrees that if Dealer: (a) is not in default
         hereunder, 60 days prior notice of termination is reasonable and
         sufficient, or (b) is in default hereunder, no prior notice of
         termination is required. DFS will not, unless Dealer is in default
         hereunder, accelerate the indebtedness owed by Dealer to DFS but will
         allow Dealer to liquidate its indebtedness owed to DFS over the
         original financing terms provided by DFS on particular units financed
         by DFS. Dealer will not be relieved from any obligation to DFS arising
         out of DFS' advances or commitments made before the effective
         termination date of this Agreement. DFS will retain all of its rights,
         interests and remedies hereunder until Dealer has paid all of Dealer's
         debts to DFS. All waivers set forth within this Agreement will survive
         any termination of this Agreement.

Dealer waives notice of DFS' acceptance of this Amendment.

         All other terms as they appear in the Agreement, to the extent not
inconsistent with the foregoing, are ratified and remain unchanged and in full
force and effect.

         IN WITNESS WHEREOF, Dealer and DFS have executed this Amendment to
Agreement for Wholesale Financing July 15, 1996.

                                       15

<PAGE>   16
                       AGREEMENT FOR WHOLE SALE FINANCING
                       (Industrial/Construction - Rental)

This Agreement for Wholesale Financing ("Agreement") is made as of March 16,
1999 between Deutsche Financial Services Corporation ("DFS") and Machinery,
Inc., a [___] SOLE PROPRIETORSHIP, [__] PARTNERSHIP, [X] CORPORATION, [__]
LIMITED LIABILITY COMPANY (check applicable term) ("Dealer"), having a principal
place of business located at 4140 South 87th East Avenue, Tulsa, OK 74145.

         1. Extension of Credit. In the course of Dealer's business, Dealer
acquires new and used inventory and equipment ("Inventory") which is
manufactured or sold by, and/or which bears a trademark or trade name of:
(a) Diversified, PPH Cranes (Terrex), or any of their subsidiaries or affiliated
companies ("Vendor"), or (b) other manufacturers or distributors. Subject to the
terms of this Agreement, DFS, in its sole discretion, may extend credit to
Dealer from time to time to purchase Inventory from Vendor or other
manufacturers or distributors. If DFS advances funds to Dealer following
Dealer's execution of this Agreement, DFS will be deemed to have entered into
this Agreement with Dealer, whether or not executed by DFS. DFS may combine all
of DFS' advances to Dealer or on Dealer's behalf whether under this Agreement or
any other agreement, and whether provided by one or more of DFS' branch offices,
together with all finance charges, fees and expenses related thereto, to make
one debt owed by Dealer. DFS' decision to advance funds on any Inventory will
not be binding until the funds are actually advanced. DFS may, at any time and
without notice to Dealer, elect not to finance any Inventory sold by Vendor or
another specific manufacturer or distributor if Vendor or the specific
manufacturer or distributor is in default of its obligations to DFS, or with
respect to which DFS reasonably feels insecure.

         2. Financing Terms and Statements of Transaction. Dealer and DFS agree
that certain financial terms of any advance made by DFS under this Agreement,
whether regarding finance charges, other fees, maturities, curtailments or other
financial terms, are not set forth herein because such terms depend, in part,
upon the availability from time to time of discounts, payment terms or other
incentives from Vendor and other manufacturers and distributors, prevailing
economic conditions, and other economic factors which may vary over time. It is
therefore in DFS' and Dealer's best interest to set forth in this Agreement only
the general terms of Dealer's financing arrangement with DFS. Upon agreeing to
finance a particular item of Inventory for Dealer, DFS will send Dealer a
Statement of Transaction, and any amendment thereto ("Statement of
Transaction"), identifying such Inventory and the applicable financial terms.
Unless Dealer notifies DFS in writing of any objection within fifteen (15) days
after a Statement of Transaction is mailed to Dealer: (a) the amount shown on
such Statement of Transaction will be an account stated; (b) Dealer will have
agreed to all rates, charges and other terms shown on such Statement of
Transaction; (c) Dealer will have agreed that the items of Inventory referenced
in such Statement of Transaction are being financed by DFS at Dealer's request;
and (d) such Statement of Transaction will be incorporated herein by reference,
will be made a part hereof as if originally set forth herein, and will
constitute an addendum hereto. If Dealer objects to the terms of any Statement
of Transaction, Dealer will pay DFS for such Inventory in accordance with the
most recent terms for similar Inventory to which Dealer has not objected (or,

                                       1
<PAGE>   17
if there are no prior terms, at the lesser of 16% per annum or at the maximum
lawful contract rate of interest permitted under applicable law), but Dealer
acknowledges that DFS may then elect to terminate Dealer's financing program
pursuant to Section 17, and cease making additional advances to Dealer. However,
such termination will not accelerate the maturities of advances previously made,
unless Dealer shall otherwise be in default of this Agreement.

         3. Security Interest. To secure payment of all Dealer's current and
future debts to DFS, whether under this Agreement or any current or future
guaranty or other agreement, Dealer grants DFS a security interest in all of
Dealer's new and used inventory and equipment which is manufactured or sold by,
and/or which bears a trademark or trade name of, (a) Vendor, or (b) any other
manufacturer or distributor, in each case which is financed by DFS or against
which DFS has advanced monies, whether now owned or hereafter acquired by
Dealer, and all accounts, contract rights, chattel paper, security agreements,
deposit accounts, reserves, documents, general intangibles and instruments
arising from all such inventory and equipment, and all judgments, claims,
insurance policies and payments owed or made to Dealer thereon, and all
attachments, accessories, accessions, substitutions and replacements thereto and
all proceeds thereof. All such assets are collectively referred to herein as the
"Collateral." All of such terms for which meanings are provided in the Uniform
Commercial Code of the applicable state are used herein with such meanings. All
Collateral financed by DFS, and all proceeds thereof, will be held in trust by
Dealer for DFS solely for release or distribution to DFS, with such proceeds
being payable solely to DFS in accordance with Section 9.

         4. Affirmative Warranties and Representations. Dealer warrants and
represents to DFS that: (a) Dealer has good title to all Collateral; (b) DFS'
security interest in the Collateral is not now and will not become subordinate
to the security interest, lien, encumbrance or claim of any person; (c) Dealer
will execute all documents DFS requests to perfect and maintain DFS' security
interest in the Collateral; (d) Dealer will deliver to DFS immediately upon each
request, and DFS may retain, each Certificate of Title or Statement of Origin
issued for Collateral; (e) Dealer will at all times be duly organized, existing,
in good standing, qualified and licensed to do business in each state, county,
or parish, in which the nature of its business or property so requires; (f)
Dealer has the right and is duly authorized to enter into this Agreement; (g)
Dealer's execution of this Agreement does not constitute a breach of any
agreement to which Dealer is now or hereafter becomes bound; (h) there are and,
to the best of Dealer's knowledge will be, no actions or proceedings pending or
threatened against Dealer which might result in any material adverse change in
Dealer's financial or business condition or which might in any way adversely
affect any of Dealer's assets; (i) Dealer will maintain the Collateral in good
condition and repair; (j) Dealer has duly filed and will duly file all tax
returns required by law; (k) Dealer has paid and will pay when due all taxes,
levies, assessments and governmental charges of any nature; (1) Dealer will keep
and maintain all of its books and records pertaining to the Collateral at its
principal place of business designated in this Agreement; (m) Dealer will
promptly supply DFS with such information concerning it or any guarantor as DFS
hereafter may reasonably request; (n) all Collateral will be kept at Dealer's
principal place of business listed above, and such other locations, if any, of
which Dealer has notified DFS in writing or as listed on any current or future
Exhibit "A" attached hereto which written notice(s) to DFS and Exhibit A(s) are
incorporated herein by reference; (0) Dealer will give DFS thirty (30) days
prior written notice of any

                                       2
<PAGE>   18

change in Dealer's identity, name, form of business organization, ownership,
management, principal place of business, Collateral locations or other business
locations, and before moving any books and records to any other location; (p)
Dealer will observe and perform all matters required by any lease, license,
concession or franchise forming part of the Collateral in order to maintain all
the rights of DFS thereunder; (q) Dealer will advise DFS of the commencement of
material legal proceedings against Dealer or any guarantor; and (r) Dealer will
comply with all applicable laws and will conduct its business in a manner which
preserves and protects the Collateral and the earnings and incomes thereof.

         5. Negative Covenants. Dealer will not at any time (without DFS' prior
written consent): (a) other than in the ordinary course of its business, sell,
demonstrate, lease or otherwise dispose of or transfer any of its assets; (b)
demonstrate, consign, or use any Collateral; or (c) merge or consolidate with
another entity.

         6. Insurance. Dealer will immediately notify DFS of any loss, theft or
damage to any Collateral. Dealer will keep the Collateral insured for its full
insurable value under an "all risk" property insurance policy with a company
acceptable to DFS, naming DFS as a lender loss-payee or mortgagee and containing
standard lender's loss payable and termination provisions. Dealer will provide
DFS with written evidence of such property insurance coverage and lender's
loss-payee or mortgagee endorsement.

         7. Financial Statements. Dealer will deliver to DFS: (a) within ninety
(90) days after the end of each of Dealer's fiscal years, a reasonably detailed
balance sheet as of the last day of such fiscal year and a reasonably detailed
income statement covering Dealer's operations for such fiscal year, in a form
satisfactory to DFS; (b) within forty-five (45) days after the end of each of
Dealer's fiscal quarters, a reasonably detailed balance sheet as of the last day
of such quarter and an income statement covering Dealer's operations for such
quarter, in a form satisfactory to DFS; and (c) within thirty (30) days after
request therefor by DFS, any other report requested by DFS relating to the
Collateral or the financial condition of Dealer. Dealer warrants and represents
to DFS that all financial statements and information relating to Dealer or any
guarantor which have been or may hereafter be delivered by Dealer or any
guarantor are true and correct and have been and will be prepared in accordance
with generally accepted accounting principles consistently applied and, with
respect to such previously delivered statements or information, there has been
no material adverse change in the financial or business condition of Dealer or
any guarantor since the submission to DFS, either as of the date of delivery,
or, if different, the date specified therein, and Dealer acknowledges DFS'
reliance thereon.

         8. Reviews. Dealer grants DFS an irrevocable license to enter Dealer's
business locations during normal business hours without notice to Dealer to: (a)
account for and inspect all Collateral; (b) verify Dealer's compliance with this
Agreement; and (c) examine and copy Dealer's books and records related to the
Collateral.

                                       3
<PAGE>   19
         9. Payment Terms. Dealer will immediately pay DFS the principal
indebtedness owed DFS on each item of Inventory financed by DFS or against which
DFS has advanced funds on the earliest occurrence of any of the following
events: (a) (i) when such Inventory is lost, stolen or damaged - immediately if
such loss, theft or damage is not covered completely by insurance, or (ii) if
completely covered by insurance, then upon Dealer's receipt of the insurance
proceeds therefor or thirty (30) days following the loss theft or damage,
whichever occurs first; (b) when such Inventory is sold, transferred or
otherwise disposed of; provided, however, if any item of Inventory financed by
DFS or against which DFS has advanced funds is sold and Dealer does not receive
payment for such item at the time of sale, Dealer will pay DFS the full amount
of the principal balance owed DFS on such item of Inventory within thirty (30)
days immediately following the sale date of such item of Inventory or
immediately upon Dealer's receipt of payment for such items of Inventory,
whichever occurs first; (c) in strict accordance with any curtailment schedule
for such Inventory (as shown on the Statement of Transaction identifying such
Inventory); (d) when any item of such Inventory matures (as shown on the
Statement of Transaction identifying such Inventory). With respect to Inventory
financed by DFS or against which DFS has advanced funds and held for rent and/or
lease, Dealer will owe DFS and agree to pay DFS monthly the percentage of the
principal balance owed on each item of such Inventory that is required under the
terms of Dealer's financing program with DFS. However, if any Inventory financed
by DFS or against which DFS has advanced funds and held for rent and/or lease:
(A) is sold and Dealer does not receive payment for such item at the time of
sale, Dealer will pay DFS the full amount of the principal balance owed to DFS
on such item of Inventory within thirty (30) days immediately following the sale
date of such item of Inventory or immediately upon Dealer's receipt of payment
for such item of Inventory, whichever occurs first; or (B) is stolen, destroyed
or otherwise disposed of, Dealer will immediately pay DFS the full amount of
Dealer's outstanding indebtedness owed to DFS for such Inventory. If Dealer from
time to time is required to make immediate payment to DFS of any past due
obligation discovered during any Inventory audit, or at any other time, Dealer
agrees that acceptance of such payments by DFS will not be construed to have
waived or amended the terms of its financing program. Dealer will send all
payments to DFS' branch office(s) responsible for Dealer's account. DFS may
apply: (i) payments to reduce finance charges first and then principal,
regardless of Dealer's instructions; and (ii) principal payments to the oldest
(earliest) invoice for Inventory financed by DFS, but, in any event, all
principal payments will first be applied to such Inventory which is sold, lost,
stolen, damaged, rented, leased, or otherwise disposed of or unaccounted for.
Any third party discount, rebate, bonus or credit granted to Dealer for any
Inventory will not reduce the debt Dealer owes DFS until DFS has received
payment therefor in cash. Dealer will: (1) pay DFS even if any Inventory
financed by DFS or against which DFS has advanced funds is defective or fails to
conform to any warranties extended by any third party; (2) not assert against
DFS any claim or defense Dealer has against any third party; and (3) indemnify
and hold DFS harmless against all claims and defenses asserted by any buyer of
the Inventory relating to the condition of, or any representations regarding,
any of the Inventory. Dealer waives all rights of offset and counterclaims which
Dealer may have against DFS.

         10. Calculation of Charges. Dealer will pay finance charges to DFS on
the outstanding principal debt Dealer owes DFS for each item of Inventory
financed-by DFS at the rate(s) shown on the Statement of Transaction identifying
such Inventory, unless Dealer objects thereto as provided in Section 2. The
finance charges attributable to the rate shown on the Statement of Transaction
will:

                                       4
<PAGE>   20

(a) be computed based on a 360 day year; (b) be calculated by multiplying the
Daily Charge (as defined below) by the actual number of days in the applicable
billing period; and (C) accrue from the invoice date of the Inventory identified
on such Statement of Transaction until DFS receives full payment of the
principal debt Dealer owes DFS for each item of such Inventory in accordance
with DFS' payment recognition policy and DFS applies such payment to Dealer's
principal debt in accordance with the terms of this Agreement. The "Daily
Charge" is the product of the Daily Rate (as defined below) multiplied by the
Average Daily Balance (as defined below) The "Daily Rate" is the quotient of the
annual rate shown on the Statement of Transaction divided by 360, or the monthly
rate shown on the Statement of Transaction divided by 30. The "Average Daily
Balance" is the quotient of: (i) the sum of the outstanding principal debt owed
DFS on each day of a billing period for each item of Inventory identified on a
Statement of Transaction; divided by (ii) the actual number of days in such
billing period. Dealer will also pay DFS $100 for each check returned unpaid for
insufficient funds (an "NSF check") (such $100 payment repays DFS' estimated
administrative costs; it does not waive the default caused by the NSF check).
Dealer acknowledges that DFS intends to strictly conform to the applicable usury
laws governing this Agreement. Regardless of any provision contained herein or
in any other document executed or delivered in connection herewith or therewith,
DFS shall never be deemed to have contracted for, charged or be entitled to
receive, collect or apply as interest on this Agreement (whether termed interest
herein or deemed to be interest by judicial determination or operation of law),
any amount in excess of the maximum amount allowed by applicable law, and, if
DFS ever receives, collects or applies as interest any such excess, such amount
which would be excessive interest will be applied first to the reduction of the
unpaid principal balances of advances under this Agreement, and, second, any
remaining excess will be paid to Dealer. In determining whether or not the
interest paid or payable under any specific contingency exceeds the highest
lawful rate, Dealer and DFS shall, to the maximum extent permitted under
applicable law: (A) characterize any non-principal payment (other than payments
which are expressly designated as interest payments hereunder) as an expense or
fee rather than as interest; (B) exclude voluntary pre-payments and the effect
thereof; and (C) spread the total amount of interest throughout the entire term
of this Agreement so that the interest rate is uniform throughout such term. The
annual percentage rate of the finance charges relating to any item of Inventory
financed by DFS will be calculated from the invoice date of such Inventory,
regardless of any period during which any finance charge subsidy will be paid or
payable by any third party.

         11. Billing Statement. DFS will send Dealer a monthly billing statement
identifying all charges due on Dealer s account with DFS. The charges specified
on each billing statement will be: (a) due and payable in full upon receipt; and
(b) an account stated, unless DFS receives Dealer's written objection thereto
within 15 days after it is mailed to Dealer. If DFS does not receive, by the
25th day of any given month, payment of all charges accrued to Dealer's account
with DFS during the immediately preceding month, Dealer will (to the extent
allowed by law) pay DFS a late fee ("Late Fee") equal to the greater of $5 or 5%
of the amount of such finance charges (payment of the Late Fee does not waive
the default caused by the late payment). DFS may adjust the billing statement at
any time to conform to applicable law and this Agreement.

                                       5
<PAGE>   21

         12. Rental Contracts. Dealer may rent the Inventory financed by DFS or
against which DFS has advanced funds pursuant to the terms of Dealer's rental
contracts ("Rental Contracts"). Such Inventory will thereafter be subject to the
rates and terms of DFS' financing program in effect for goods which are rented,
as reflected in the Statement of Transaction for such Inventory. All of Dealer's
Rental Contracts, agreements, and rental transactions will be in a form
satisfactory to DFS and will be in accordance with all applicable Federal, State
and local laws. Dealer will indemnify DFS against any loss or damage which DFS
suffers, whether direct or indirect, resulting in any way from the Rental
Contracts, agreements, or rental transactions which fail to comply with such
laws. All Rental Contracts will be transferable to DFS. Dealer will indemnify
DFS against any claims by its customers regarding Dealer's obligations under the
Rental Contracts. Dealer will immediately, upon DFS' request, deliver to DFS all
Rental Contracts and all related documents.

This assignment is a transfer for security only, and, until DFS has foreclosed
its interest in the Rental Contracts, will not be deemed to delegate any of
Dealer's duties under the Rental Contracts to DFS, nor is it intended to alter
or impair performance by either party to the Rental Contracts. DFS may, from
time to time, verify the accuracy of the Rental Contracts, and Dealer will
immediately, upon DFS' request, provide DFS with the following information
regarding Rental Contracts which are in effect on the date of such request: (a)
the name, address and telephone number of each customer who has executed a
Rental Contract; (b) the location of the Inventory; (c) the date of each Rental
Contract; (d) the date when the Inventory is to be returned under each Rental
Contract; and, (e) any other information which DFS may reasonably request. If
the rental period under the Rental Contract is ninety (90) days or longer,
Dealer will stamp the original of such Rental Contract with the following
legend:

         `FOR VALUE RECEIVED, THIS AGREEMENT HAS BEEN ASSIGNED TO DEUTSCHE
         FINANCIAL SERVICES CORPORATION AND THERE ARE NO DEFENSES AGAINST THE
         ASSIGNEE.'

Other than to DFS, Dealer will not assign, sell, pledge, convey or by any other
means transfer any Rental Contracts or chattel paper, without DFS' prior written
consent. Dealer will not enter into any Rental Contracts for Inventory financed
by DFS or against which DFS has advanced funds pursuant to which: (i) the
original term of the Rental Contract is greater than three hundred sixty (360)
days; (ii) the original term of the Rental Contract is equal to or greater than
the remaining economic life of such Inventory; (iii) the customer is bound to
renew the Rental Contract for the economic life of such Inventory or is bound to
become the owner of such Inventory; or, (iv) the customer has an option to renew
the Rental Contract for the remaining economic life of such Inventory, or to
become the owner of such Inventory, for nominal consideration, or for
consideration which is less than the unpaid balance owed to DFS for such
Inventory. If any such Rental Contracts are issued, Dealer will take any action
which DFS may reasonably require to perfect and/or protect DFS' security
interest in such Rental Contracts and/or the Inventory subject thereto.

         13. Default. Dealer will be in default under this Agreement if: (a)
Dealer breaches any terms, warranties or representations contained herein, in
any Statement of Transaction to which Dealer has not objected as provided in
Section 2, or in any other agreement between DFS and Dealer; (b) any

                                       6
<PAGE>   22
guarantor of Dealer's debts to DFS breaches any terms, warranties or
representations contained in any guaranty or other agreement between the
guarantor and DFS; (c) any representation, statement, report or certificate made
or delivered by Dealer or any guarantor to DFS is not accurate when made; (d)
Dealer fails to pay any portion of Dealer's debts to DFS when due and payable
hereunder or under any other agreement between DFS and Dealer; (e) Dealer
abandons any Collateral; (f) Dealer or any guarantor is or becomes in default in
the payment of any debt owed to any third party; (g) a money judgment issues
against Dealer or any guarantor; (h) an attachment, sale or seizure issues or is
executed against any assets of Dealer or of any guarantor; (i) the undersigned
dies while Dealer's business is operated as a sole proprietorship, any general
partner dies while Dealer's business is operated as a general or limited
partnership, or any member dies while Dealer's business is operated as a limited
liability company, as applicable; (j) any guarantor dies; (k) Dealer or any
guarantor shall cease existence as a corporation, partnership, limited liability
company or trust, as applicable; (1) Dealer or any guarantor ceases or suspends
business; (m) Dealer, any guarantor or any member while Dealer's business is
operated as a limited liability company, as applicable, makes a general
assignment for the benefit of creditors; (n) Dealer, any guarantor or any member
while Dealer's business is operated as a limited liability company, as
applicable, becomes insolvent or voluntarily or involuntarily becomes subject to
the Federal Bankruptcy Code, any state insolvency law or any similar law; (0)
any receiver is appointed for any assets of Dealer, any guarantor or any member
while Dealer's business is operated as a limited liability company, as
applicable; (p) any guaranty of Dealer's debts to DFS is terminated; (q) Dealer
loses any franchise, permission, license or right to sell or deal in any
Inventory which DFS finances; or (r) Dealer or any guarantor misrepresents
Dealer's or such guarantor's financial condition or organizational structure.

         14. Rights of DFS Upon Default. In the event of a default:

         (a)      DFS may at any time at DFS' election, without notice or demand
                  to Dealer, do any one or more of the following: declare all or
                  any part of the debt Dealer owes DFS immediately due and
                  payable, together with all costs and expenses of DFS'
                  collection activity, including, without limitation, all
                  reasonable attorney's fees; exercise any or all rights under
                  applicable law (including, without limitation, the right to
                  possess, transfer and dispose of the Collateral); and/or cease
                  extending any additional credit to Dealer (DFS' right to cease
                  extending credit will not be construed to limit the
                  discretionary nature of this credit facility)

         (b)      Dealer will segregate and keep the Collateral in trust for
                  DFS, and in good order and repair, and will not sell, rent,
                  lease, consign, otherwise dispose of or use any Collateral,
                  nor further encumber any Collateral.

         (c)      Upon DFS' oral or written demand, Dealer will immediately
                  deliver the Collateral to DFS, in good order and repair, at a
                  place specified by DFS, together with all related documents;
                  or DFS may, in DFS' sole discretion and without notice or
                  demand to Dealer, take immediate possession of the Collateral
                  together with all related documents.

         (d)      DFS may, without notice, apply a default finance charge to
                  Dealer's outstanding principal indebtedness equal to the
                  default rate specified in Dealer's financing program with DFS,
                  if any, or if there is none so specified, at the lesser of 3%
                  per annum above

                                       7
<PAGE>   23

                  the rate in effect immediately prior to the default, or the
                  highest lawful contract rate of interest permitted under
                  applicable law.

         (e)      Dealer grants DFS an irrevocable power of attorney to: execute
                  or endorse on Dealer's behalf any checks, drafts or other
                  forms of exchange received as payment on any Collateral for
                  deposit in DFS' account; execute financing statements,
                  instruments, Certificates of Title and Statements of Origin
                  pertaining to the Collateral; supply any omitted information
                  and correct errors in any documents between DFS and Dealer;
                  sell, assign, transfer, negotiate, demand, collect, receive,
                  settle, extend, or renew any amounts due on any of the
                  Collateral; do anything Dealer is obligated to do hereunder;
                  initiate and settle any insurance claim pertaining to the
                  Collateral; and do anything to preserve and protect the
                  Collateral and DFS' rights and interests therein.

         (f)      Upon DFS' oral or written demand, Dealer will immediately
                  deliver the original Rental Contracts to DFS, and DFS may
                  collect in DFS' name all amounts owed to Dealer under the
                  Rental Contracts.

All of DFS' rights and remedies are cumulative. DFS' failure to exercise any of
DFS' rights or remedies hereunder will not waive any of DFS' rights or remedies
as to any past, current or future default.

         15. Sale of Collateral. Dealer agrees that if DFS conducts a private
sale of any Collateral by requesting bids from 10 or more dealers or
distributors in that type of Collateral, any sale by DFS of such Collateral in
bulk or in parcels within 120 days of: (a) DFS' taking possession and control of
such Collateral; or (b) when DFS is otherwise authorized to sell such
Collateral; whichever occurs last, to the bidder submitting the highest cash bid
therefor, is a commercially reasonable sale of such Collateral under the Uniform
Commercial Code. Dealer agrees that the purchase of any Collateral by Vendor or
a manufacturer or distributor, as provided in any agreement between DFS and the
Vendor, manufacturer or distributor, is a commercially reasonable disposition
and private sale of such Collateral under the Uniform Commercial Code, and no
request for bids will be required. Dealer further agrees that 7 or more days
prior written notice will be commercially reasonable notice of any public or
private sale (including any sale to Vendor or a manufacturer or distributor).
Dealer irrevocably waives any requirement that DFS retain possession and not
dispose of any Collateral until after an arbitration hearing, arbitration award,
confirmation, trial or final judgment. If DFS disposes of any such Collateral
other than as herein contemplated, the commercial reasonableness of such
disposition will be determined in accordance with the laws of the state
governing this Agreement.

         16. Power of Attorney; Information. Dealer grants DFS an irrevocable
power of attorney to do anything necessary to preserve and protect the
Collateral and DFS' rights and interest therein. DFS may provide to any third
party any credit, financial or other information on Dealer that DFS may from
time to time possess. DFS may obtain from any Vendor, manufacturer or
distributor, any credit, financial or other information regarding Dealer that
such Vendor, manufacturer or distributor may from time to time possess.

         17. Termination. Either party may terminate this Agreement at any time
by written notice received by the other party. If DFS terminates this Agreement,
Dealer agrees that if Dealer: (a) is

                                       8
<PAGE>   24

not in default hereunder, 30 days prior notice of termination is reasonable and
sufficient (although this provision shall not be construed to mean that shorter
periods may not, in particular circumstances, also be reasonable and
sufficient); or (b) is in default hereunder, no prior notice of termination is
required. Dealer will riot be relieved from any obligation to DFS arising out of
DFS' advances or commitments made before the effective termination date of this
Agreement. DFS will retain all of its rights, interests and remedies hereunder
until Dealer has paid all of Dealer's debts to DFS. All waivers set forth within
this Agreement will survive any termination of this Agreement.

         18. Binding Effect. Dealer cannot assign its interest in this Agreement
without DFS' prior written consent, although DFS may assign or participate DFS'
interest, in whole or in part, without Dealer's consent. This Agreement will
protect and bind DFS' and Dealer's respective heirs, representatives, successors
and assigns.

         19. Notices. Except as otherwise stated herein, all notices,
arbitration claims, responses, requests and documents will be sufficiently given
or served if mailed or delivered: (a) to Dealer at Dealer's principal place of
business specified above; and (b) to DFS at 655 Maryville Centre Drive, St.
Louis, Missouri 63141-5832, Attention: General Counsel, or such other address as
the parties may hereafter specify in writing.

         20. NO ORAL AGREEMENTS. ORAL AGREEMENTS OR COMMITMENTS TO LOAN MONEY,
EXTEND CREDIT OR TO FORBEAR FROM ENFORCING REPAYMENT OF A DEBT INCLUDING
PROMISES TO EXTEND OR RENEW SUCH DEBTS ARE NOT ENFORCEABLE. TO PROTECT DEALER
AND DFS FROM MISUNDERSTANDING OR DISAPPOINTMENT, ALL AGREEMENTS COVERING SUCH
MATTERS ARE CONTAINED IN THIS WRITING, WHICH IS THE COMPLETE AND EXCLUSIVE
STATEMENT OF THE AGREEMENT BETWEEN THE PARTIES, EXCEPT AS SPECIFICALLY PROVIDED
HEREIN OR AS THE PARTIES MAY LATER AGREE IN WRITING TO MODIFY IT. THERE ARE NO
UNWRITTEN AGREEMENTS BETWEEN THE PARTIES.

         21. Other Waivers. Dealer irrevocably waives notice of: DFS' acceptance
of this Agreement, presentment, demand, protest, nonpayment, nonperformance, and
dishonor. Dealer and DFS irrevocably waive all rights to claim any punitive
and/or exemplary damages.

         22. Severability. If any provision of this Agreement or its application
is invalid or unenforceable, the remainder of this Agreement will not be
impaired or affected and will remain binding and enforceable.

         23. Supplement. If Dealer and DFS (or any predecessor in interest to
DFS) have heretofore executed other agreements in connection with all or any
part of the Collateral, this Agreement shall supplement each and every other
agreement previously executed by and between Dealer and DFS (or any predecessor
in interest to DFS), and in that event this Agreement shall neither be deemed a
novation nor a termination of such previously executed agreement nor shall

                                       9
<PAGE>   25

execution of this Agreement be deemed a satisfaction of any obligation secured
by such previously executed agreement.

         24. Receipt of Agreement. Dealer acknowledges that it has received a
true and complete copy of this Agreement. Dealer acknowledges that it has read
and understood this Agreement. Notwithstanding anything herein to the contrary:
(a) DFS may rely on any facsimile copy, electronic data transmission or
electronic data storage of this Agreement, any Statement of Transaction, billing
statement, invoice from Vendor or any manufacturer or distributor, financial
statements or other reports, and (b) such facsimile copy, electronic data
transmission or electronic data storage will be deemed an original, and the best
evidence thereof for all purposes, including, without limitation, under this
Agreement or any other agreement between DFS and Dealer, and for all evidentiary
purposes before any arbitrator, court or other adjudicatory authority.

         25. Miscellaneous. Time is of the essence regarding Dealer's
performance of its obligations to DFS notwithstanding any course of dealing or
custom on DFS' part to grant extensions of time. Dealer's liability under this
Agreement is direct and unconditional and will not be affected by the release or
nonperfection of any security interest granted hereunder. DFS will have the
right 0 refrain from or postpone enforcement of this Agreement or any other
agreements between DFS and Dealer without prejudice and the failure to strictly
enforce these agreements will not be construed as having created a course of
dealing between DFS and Dealer contrary to the specific terms of the agreements
or as having modified, released or waived the same. The express terms of this
Agreement will not be modified by any course of dealing, usage of trade, or
custom of trade which may deviate from the terms hereof. If Dealer fails to pay
any taxes, fees or other obligations which may impair DFS' interest in the
Collateral, or fails to keep the Collateral insured, DFS may, but shall not be
required to, pay such taxes, fees or obligations and pay the cost to insure the
Collateral, and the amounts paid will be: (a) an additional debt owed by Dealer
to DFS, which shall be subject to finance charges as provided herein; and (b)
due and payable immediately in full. Dealer agrees to pay all of DFS' reasonable
attorneys' fees and expenses incurred by DFS in enforcing DFS' rights hereunder.
The Section titles used in this Agreement are for convenience only and do not
define or limit the contents of any Section.

26.      BINDING ARBITRATION.

         26.1     Arbitrable Claims. Except as otherwise specified below, all
                  actions, disputes, claims and controversies under common law,
                  statutory law or in equity of any type or nature whatsoever
                  (including, without limitation, all torts, whether regarding
                  negligence, breach of fiduciary duty, restraint of trade,
                  fraud, conversion, duress, interference, wrongful replevin,
                  wrongful sequestration, fraud in the inducement, usury or any
                  other tort, all contract actions, whether regarding express or
                  implied terms, such as implied covenants of good faith, fair
                  dealing, and the commercial reasonableness of any Collateral
                  disposition, or any other contract claim, all claims of
                  deceptive trade practices or lender liability, and all claims
                  questioning the reasonableness or lawfulness of any act),
                  whether arising before or after the date of this Agreement,
                  and

                                       10
<PAGE>   26

                  whether directly or indirectly relating to: (a) this Agreement
                  and/or any amendments and addenda hereto, or the breach,
                  invalidity or termination hereof; (b) any previous or
                  subsequent agreement between DFS (or any predecessor in
                  interest to DFS) and Dealer; (c) any act committed by DFS (or
                  any predecessor in interest to DFS) or by any parent company,
                  subsidiary or affiliated company of DFS (or any predecessor in
                  interest to DFS) (collectively the "DFS Companies"), or by any
                  employee, agent, officer or director of an DFS Company whether
                  or not arising within the scope and course of employment or
                  other contractual representation of the DFS Companies provided
                  that such act arises under a relationship, transaction or
                  dealing between DFS (or any predecessor in interest to DFS)
                  and Dealer; and/or (d) any other relationship, transaction or
                  dealing between DFS (or any predecessor in interest to DFS)
                  and Dealer (collectively the "Disputes"), will be subject to
                  and resolved by binding arbitration.

         26.2     Administrative Body, All arbitration hereunder will be
                  conducted in accordance with the Commercial Arbitration Rules
                  of The American Arbitration Association ("AAA"). If the AAA is
                  dissolved, disbanded or becomes subject to any state or
                  federal bankruptcy or insolvency proceeding, the parties will
                  remain subject to binding arbitration which will be conducted
                  by a mutually agreeable arbitral forum. The parties agree that
                  all arbitrator(s) selected will be attorneys with at least
                  five (5) years secured transactions experience. The
                  arbitrator(s) will decide if any inconsistency exists between
                  the rules of any applicable arbitral forum and the arbitration
                  provisions contained herein. If such inconsistency exists, the
                  arbitration provisions contained herein will control and
                  supersede such rules. The site of all arbitration proceedings
                  will be in the Division of the Federal Judicial District in
                  which AM maintains a regional office that is closest to
                  Dealer.

         26.3     Discovery. Discovery permitted in any arbitration proceeding
                  commenced hereunder is limited as follows. No later than
                  thirty (30) days after the filing of a claim for arbitration,
                  the parties will exchange detailed statements setting forth
                  the facts supporting the claim(s) and all defenses to be
                  raised during the arbitration, and a list of all exhibits and
                  witnesses. No later than twenty-one (21) days prior to the
                  arbitration hearing, the parties will exchange a final list of
                  all exhibits and all witnesses, including any designation of
                  any expert witness(es) together with a summary of their
                  testimony; a copy of all documents and a detailed description
                  of any property to be introduced at the hearing. Under no
                  circumstances will the use of interrogatories, requests for
                  admission, requests for the production of documents or the
                  taking of depositions be permitted. However, in the event of
                  the designation of any expert witness(es), the following will
                  occur: (a) all information and documents relied upon by the
                  expert witness(es) will be delivered to the opposing party,
                  (b) the opposing party will be permitted to depose the expert
                  witness(es), (c) the opposing party will be permitted to
                  designate rebuttal expert witness(es), and (d) the arbitration
                  hearing will be continued to the earliest possible date that
                  enables the foregoing limited discovery to be accomplished.

                                       11
<PAGE>   27

         26.4     Exemplary or Punitive Damages. The Arbitrator(s) will not have
                  the authority to award exemplary or punitive damages.

         26.5     Confidentiality of Awards. All arbitration proceedings,
                  including testimony or evidence at hearings, will be kept
                  confidential, although any award or order rendered by the
                  arbitrator(s) pursuant to the terms of this Agreement may be
                  entered as a judgment or order in any state or federal court
                  and may be confirmed within the federal judicial district
                  which includes the residence of the party against whom such
                  award or order was entered. This Agreement concerns
                  transactions involving commerce among the several states. The
                  Federal Arbitration Act, Title 9 U.S.C. Sections 1 et seq., as
                  amended ("FAA") will govern all arbitration(s) and
                  confirmation proceedings hereunder.

         26.6     Prejudgment and Provisional Remedies. Nothing herein will be
                  construed to prevent DFS' or Dealer's use of bankruptcy,
                  receivership, injunction, repossession, replevin, claim and
                  delivery, sequestration, seizure, attachment, foreclosure,
                  dation and/or any other prejudgment or provisional action or
                  remedy relating to any Collateral for any current or future
                  debt owed by either party to the other. Any such action or
                  remedy will not waive DFS' or Dealer's right to compel
                  arbitration of any Dispute.

         26.7     Attorneys' Fees. If either Dealer or DFS brings any other
                  action for judicial relief with respect to any Dispute (other
                  than those set forth in Section 26.6), the party bringing such
                  action will be liable for and immediately pay all of the other
                  party's costs and expenses (including attorneys' fees)
                  incurred to stay or dismiss such action and remove or refer
                  such Dispute to arbitration. If either Dealer or DFS brings or
                  appeals an action to vacate or modify an arbitration award and
                  such party does not prevail, such party will pay all costs and
                  expenses, including attorneys' fees, incurred by the other
                  party in defending such action. Additionally, if Dealer sues
                  DFS or institutes any arbitration claim or counterclaim
                  against DFS in which DFS is the prevailing party, Dealer will
                  pay all costs and expenses (including attorneys' fees)
                  incurred by DFS in the course of defending such action or
                  proceeding.

         26.8     Limitations. Any arbitration proceeding must be instituted:
                  (a) with respect to any Dispute for the collection of any debt
                  owed by either party to the other, within two (2) years after
                  the date the last payment was received by the instituting
                  party; and (b) with respect to any other Dispute, within two
                  (2) years after the date the incident giving rise thereto
                  occurred, whether or not any damage was sustained or capable
                  of ascertainment or either party knew of such incident.
                  Failure to institute an arbitration proceeding within such
                  period will constitute an absolute bar and waiver to the
                  institution of any proceeding, whether arbitration or a court
                  proceeding, with respect to such dispute.

         26.9     Survival After Termination. The agreement to arbitrate will
                  survive the termination of this Agreement.

         27. INVALIDITY/UNENFORCEABILITY OF BINDING ARBITRATION. IF THIS
AGREEMENT IS FOUND TO BE NOT SUBJECT TO ARBITRATION, ANY LEGAL PROCEEDING WITH
RESPECT TO ANY DISPUTE WILL BE TRIED IN A COURT OF COMPETENT JURISDICTION BY A
JUDGE WITHOUT A JURY. DEALER AND DFS WAIVE

                                       12
<PAGE>   28

ANY RIGHT TO A JURY TRIAL IN ANY SUCH PROCEEDING.

         28. Governing Law. Dealer acknowledges and agrees that this and all
other agreements between Dealer and DFS have been substantially negotiated, and
will be substantially performed, in the state of Missouri. Accordingly, Dealer
agrees that all Disputes will be governed by, and construed in accordance with,
the laws of such state, except to the extent inconsistent with the provisions of
the FAA which shall control and govern all arbitration proceedings hereunder.

IN WITNESS WHEREOF, Dealer and DFS have executed this Agreement as of the date
first set forth hereinabove.

THIS CONTRACT CONTAINS BINDING ARBITRATION, JURY WAIVER AND PUNITIVE DAMAGE
WAIVER PROVISIONS.

                                       13
<PAGE>   29
                      SECRETARY'S CERTIFICATE OF RESOLUTION

         I certify that I am the Secretary of the corporation named below, and
that the following completely and accurately sets forth certain resolutions of
the Board of Directors of the corporation adopted at a special meeting thereof
held on due notice (and with shareholder approval, if required by law), at which
meeting there was present a quorum authorized to transact the business described
below, and that the proceedings of the meeting were in accordance with the
certificate of incorporation, charter and by-laws of the corporation, and that
they have not been revoked, annulled or amended in any manner whatsoever.

         Upon motion duly made and seconded, the following resolution was
unanimously adopted after full discussion:

         "RESOLVED, That the several officers, directors, and agents of this
corporation, or any one or more of them, are hereby authorized and empowered on
behalf of this corporation: to obtain financing from Deutsche Financial Services
Corporation ("DFS") in such amounts and on such terms as such officers,
directors or agents deem proper; to enter into financing, security, pledge and
other agreements with DFS relating to the terms upon which such financing may be
obtained and security and/or other credit support is to be furnished by this
corporation therefor; from time to time to supplement or amend any such
agreements; and from time to time to pledge, assign, mortgage, grant security
interests, and otherwise transfer, to DFS as collateral security for any
obligations of this corporation to DFS, whenever and however arising, any assets
of this corporation, whether now owned or hereafter acquired; the Board of
Directors hereby ratifying, approving and confirming all that any of said
officers, directors or agents have done or may do with respect to the
foregoing."

IN WITNESS WHEREOF, I have executed and affixed the seal of the corporation on
the date stated below.

Dated: March 16, 1999

                                       14
<PAGE>   30

                        AGREEMENT FOR WHOLESALE FINANCING
                       (Industrial/Construction - Rental)

This Agreement for Wholesale Financing ("Agreement") is made as of August 4,
1999 between Deutsche Financial Services Corporation ("DFS") and Solveson Crane
Rentals, Inc., a [___] SOLE PROPRIETORSHIP, [__] PARTNERSHIP, [X] CORPORATION,
[__] LIMITED LIABILITY COMPANY (check applicable term) ("Dealer"), having a
principal place of business located at 3820 Rhonda Way, Tracy, CA 95376.

         1. Extension of Credit. In the course of Dealer's business, Dealer
acquires new and used inventory and equipment ("Inventory") which is
manufactured or sold by, and/or which bears a trademark or trade name of: (a) P
& H and Grove, or any of their subsidiaries or affiliated companies ("Vendor"),
or (b) other manufacturers or distributors. Subject to the terms of this
Agreement, DFS, in its sole discretion, may extend credit to Dealer from time to
time to purchase Inventory from Vendor or other manufacturers or distributors.
If DFS advances funds to Dealer following Dealer's execution of this Agreement,
DFS will be deemed to have entered into this Agreement with Dealer, whether or
not executed by DFS. DFS may combine all of DFS' advances to Dealer or on
Dealer's behalf whether under this Agreement or any other agreement, and whether
provided by one or more of DFS' branch offices, together with all finance
charges, fees and expenses related thereto, to make one debt owed by Dealer.
DFS' decision to advance funds on any Inventory will not be binding until the
funds are actually advanced. DFS may, at any time and without notice to Dealer,
elect not to finance any Inventory sold by Vendor or another specific
manufacturer or distributor if Vendor or the specific manufacturer or
distributor is in default of its obligations to DFS, or with respect to which
DFS reasonably feels insecure.

         2. Financing Terms and Statements of Transaction. Dealer and DFS agree
that certain financial terms of any advance made by DFS under this Agreement,
whether regarding finance charges, other fees, maturities, curtailments or other
financial terms, are not set forth herein because such terms depend, in part,
upon the availability from time to time of discounts, payment terms or other
incentives from Vendor and other manufacturers and distributors, prevailing
economic conditions, and other economic factors which may vary over time. It is
therefore in DFS' and Dealer's best interest to set forth in this Agreement only
the general terms of Dealer's financing arrangement with DFS. Upon agreeing to
finance a particular item of Inventory for Dealer, DFS will send Dealer a
Statement of Transaction, and any amendment thereto ("Statement of
Transaction"), identifying such Inventory and the applicable financial terms.
Unless Dealer notifies DFS in writing of any objection within fifteen (15) days
after a Statement of Transaction is mailed to Dealer: (a) the amount shown on
such Statement of Transaction will be an account stated; (b) Dealer will have
agreed to all rates, charges and other terms shown on such Statement of
Transaction; (c) Dealer will have agreed that the items of Inventory referenced
in such Statement of Transaction are being financed by DFS at Dealer's request;
and (d) such Statement of Transaction will be incorporated herein by reference,
will be made a part hereof as if originally set forth herein, and will
constitute an addendum hereto. If Dealer objects to the terms of any Statement
of Transaction, Dealer will pay DFS for such Inventory in accordance with the
most recent terms for similar Inventory to which Dealer has not objected (or,

                                       1
<PAGE>   31

if there are no prior terms, at the lesser of 16% per annum or at the maximum
lawful contract rate of interest permitted under applicable law), but Dealer
acknowledges that DFS may then elect to terminate Dealer's financing program
pursuant to Section 17, and cease making additional advances to Dealer. However,
such termination will not accelerate the maturities of advances previously made,
unless Dealer shall otherwise be in default of this Agreement.

         3. Security Interest. To secure payment of all Dealer's current and
future debts to DFS, whether under this Agreement or any current or future
guaranty or other agreement, Dealer grants DFS a security interest in all of
Dealer's new and used inventory and equipment which is manufactured or sold by,
and/or which bears a trademark or trade name of, (a) Vendor, or (b) any other
manufacturer or distributor, in each case which is financed by DFS or against
which DFS has advanced monies, whether now owned or hereafter acquired by
Dealer, and all accounts, contract rights, chattel paper, security agreements,
deposit accounts, reserves, documents, general intangibles and instruments
arising from all such inventory and equipment, and all judgments, claims,
insurance policies and payments owed or made to Dealer thereon, and all
attachments, accessories, accessions, substitutions and replacements thereto and
all proceeds thereof. All such assets are collectively referred to herein as the
"Collateral." All of such terms for which meanings are provided in the Uniform
Commercial Code of the applicable state are used herein with such meanings. All
Collateral financed by DFS, and all proceeds thereof, will be held in trust by
Dealer for DFS solely for release or distribution to DFS, with such proceeds
being payable solely to DFS in accordance with Section 9.

         4. Affirmative Warranties and Representations. Dealer warrants and
represents to DFS that: (a) Dealer has good title to all Collateral; (b) DFS'
security interest in the Collateral is not now and will not become subordinate
to the security interest, lien, encumbrance or claim of any person; (c) Dealer
will execute all documents DFS requests to perfect and maintain DFS' security
interest in the Collateral; (d) Dealer will deliver to DFS immediately upon each
request, and DFS may retain, each Certificate of Title or Statement of Origin
issued for Collateral; (e) Dealer will at all times be duly organized, existing,
in good standing, qualified and licensed to do business in each state, county,
or parish, in which the nature of its business or property so requires; (f)
Dealer has the right and is duly authorized to enter into this Agreement; (g)
Dealer's execution of this Agreement does not constitute a breach of any
agreement to which Dealer is now or hereafter becomes bound; (h) there are and,
to the best of Dealer's knowledge will be, no actions or proceedings pending or
threatened against Dealer which might result in any material adverse change in
Dealer's financial or business condition or which might in any way adversely
affect any of Dealer's assets; (i) Dealer will maintain the Collateral in good
condition and repair; (j) Dealer has duly filed and will duly file all tax
returns required by law; (k) Dealer has paid and will pay when due all taxes,
levies, assessments and governmental charges of any nature; (1) Dealer will keep
and maintain all of its books and records pertaining to the Collateral at its
principal place of business designated in this Agreement; (m) Dealer will
promptly supply DFS with such information concerning it or any guarantor as DFS
hereafter may reasonably request; (n) all Collateral will be kept at Dealer's
principal place of business listed above, and such other locations, if any, of
which Dealer has notified DFS in writing or as listed on any current or future
Exhibit "A" attached hereto which written notice(s) to DFS and Exhibit A(s) are
incorporated herein by reference; (0) Dealer will give DFS thirty (30) days
prior written notice of any

                                       2
<PAGE>   32

change in Dealer's identity, name, form of business organization, ownership,
management, principal place of business, Collateral locations or other business
locations, and before moving any books and records to any other location; (p)
Dealer will observe and perform all matters required by any lease, license,
concession or franchise forming part of the Collateral in order to maintain all
the rights of DFS thereunder; (q) Dealer will advise DFS of the commencement of
material legal proceedings against Dealer or any guarantor; and (r) Dealer will
comply with all applicable laws and will conduct its business in a manner which
preserves and protects the Collateral and the earnings and incomes thereof.

         5. Negative Covenants. Dealer will not at any time (without DFS' prior
written consent): (a) other than in the ordinary course of its business, sell,
demonstrate, lease or otherwise dispose of or transfer any of its assets; (b)
demonstrate, consign, or use any Collateral; or (c) merge or consolidate with
another entity.

         6. Insurance. Dealer will immediately notify DFS of any loss, theft or
damage to any Collateral. Dealer will keep the Collateral insured for its full
insurable value under an "all risk" property insurance policy with a company
acceptable to DFS, naming DFS as a lender loss-payee or mortgagee and containing
standard lender's loss payable and termination provisions. Dealer will provide
DFS with written evidence of such property insurance coverage and lender's
loss-payee or mortgagee endorsement.

         7. Financial Statements. Dealer will deliver to DFS: (a) within ninety
(90) days after the end of each of Dealer's fiscal years, a reasonably detailed
balance sheet as of the last day of such fiscal year and a reasonably detailed
income statement covering Dealer's operations for such fiscal year, in a form
satisfactory to DFS; (b) within forty-five (45) days after the end of each of
Dealer's fiscal quarters, a reasonably detailed balance sheet as of the last day
of such quarter and an income statement covering Dealer's operations for such
quarter, in a form satisfactory to DFS; and (c) within thirty (30) days after
request therefor by DFS, any other report requested by DFS relating to the
Collateral or the financial condition of Dealer. Dealer warrants and represents
to DFS that all financial statements and information relating to Dealer or any
guarantor which have been or may hereafter be delivered by Dealer or any
guarantor are true and correct and have been and will be prepared in accordance
with generally accepted accounting principles consistently applied and, with
respect to such previously delivered statements or information, there has been
no material adverse change in the financial or business condition of Dealer or
any guarantor since the submission to DFS, either as of the date of delivery,
or, if different, the date specified therein, and Dealer acknowledges DFS'
reliance thereon.

         8. Reviews. Dealer grants DFS an irrevocable license to enter Dealer's
business locations during normal business hours without notice to Dealer to: (a)
account for and inspect all Collateral; (b) verify Dealer's compliance with this
Agreement; and (c) examine and copy Dealer's books and records related to the
Collateral.

                                       3
<PAGE>   33

         9. Payment Terms. Dealer will immediately pay DFS the principal
indebtedness owed DFS on each item of Inventory financed by DFS or against which
DFS has advanced funds on the earliest occurrence of any of the following
events: (a) (i) when such Inventory is lost, stolen or damaged - immediately if
such loss, theft or damage is not covered completely by insurance, or (ii) if
completely covered by insurance, then upon Dealer's receipt of the insurance
proceeds therefor or thirty (30) days following the loss theft or damage,
whichever occurs first; (b) when such Inventory is sold, transferred or
otherwise disposed of; provided, however, if any item of Inventory financed by
DFS or against which DFS has advanced funds is sold and Dealer does not receive
payment for such item at the time of sale, Dealer will pay DFS the full amount
of the principal balance owed DFS on such item of Inventory within thirty (30)
days immediately following the sale date of such item of Inventory or
immediately upon Dealer's receipt of payment for such items of Inventory,
whichever occurs first; (c) in strict accordance with any curtailment schedule
for such Inventory (as shown on the Statement of Transaction identifying such
Inventory); (d) when any item of such Inventory matures (as shown on the
Statement of Transaction identifying such Inventory). With respect to Inventory
financed by DFS or against which DFS has advanced funds and held for rent and/or
lease, Dealer will owe DFS and agree to pay DFS monthly the percentage of the
principal balance owed on each item of such Inventory that is required under the
terms of Dealer's financing program with DFS. However, if any Inventory financed
by DFS or against which DFS has advanced funds and held for rent and/or lease:
(A) is sold and Dealer does not receive payment for such item at the time of
sale, Dealer will pay DFS the full amount of the principal balance owed to DFS
on such item of Inventory within thirty (30) days immediately following the sale
date of such item of Inventory or immediately upon Dealer's receipt of payment
for such item of Inventory, whichever occurs first; or (B) is stolen, destroyed
or otherwise disposed of, Dealer will immediately pay DFS the full amount of
Dealer's outstanding indebtedness owed to DFS for such Inventory. If Dealer from
time to time is required to make immediate payment to DFS of any past due
obligation discovered during any Inventory audit, or at any other time, Dealer
agrees that acceptance of such payments by DFS will not be construed to have
waived or amended the terms of its financing program. Dealer will send all
payments to DFS' branch office(s) responsible for Dealer's account. DFS may
apply: (i) payments to reduce finance charges first and then principal,
regardless of Dealer's instructions; and (ii) principal payments to the oldest
(earliest) invoice for Inventory financed by DFS, but, in any event, all
principal payments will first be applied to such Inventory which is sold, lost,
stolen, damaged, rented, leased, or otherwise disposed of or unaccounted for.
Any third party discount, rebate, bonus or credit granted to Dealer for any
Inventory will not reduce the debt Dealer owes DFS until DFS has received
payment therefor in cash. Dealer will: (1) pay DFS even if any Inventory
financed by DFS or against which DFS has advanced funds is defective or fails to
conform to any warranties extended by any third party; (2) not assert against
DFS any claim or defense Dealer has against any third party; and (3) indemnify
and hold DFS harmless against all claims and defenses asserted by any buyer of
the Inventory relating to the condition of, or any representations regarding,
any of the Inventory. Dealer waives all rights of offset and counterclaims which
Dealer may have against DFS.

         10. Calculation of charges. Dealer will pay finance charges to DFS on
the outstanding principal debt Dealer owes DFS for each item of Inventory
financed-by DFS at the rate(s) shown on the Statement of Transaction identifying
such Inventory, unless Dealer objects thereto as provided in Section 2. The
finance charges attributable to the rate shown on the Statement of Transaction
will:

                                       4
<PAGE>   34

(a) be computed based on a 360 day year; (b) be calculated by multiplying the
Daily Charge (as defined below) by the actual number of days in the applicable
billing period; and (C) accrue from the invoice date of the Inventory identified
on such Statement of Transaction until DFS receives full payment of the
principal debt Dealer owes DFS for each item of such Inventory in accordance
with DFS' payment recognition policy and DFS applies such payment to Dealer's
principal debt in accordance with the terms of this Agreement. The "Daily
Charge" is the product of the Daily Rate (as defined below) multiplied by the
Average Daily Balance (as defined below) The "Daily Rate" is the quotient of the
annual rate shown on the Statement of Transaction divided by 360, or the monthly
rate shown on the Statement of Transaction divided by 30. The "Average Daily
Balance" is the quotient of: (i) the sum of the outstanding principal debt owed
DFS on each day of a billing period for each item of Inventory identified on a
Statement of Transaction; divided by (ii) the actual number of days in such
billing period. Dealer will also pay DFS $100 for each check returned unpaid for
insufficient funds (an "NSF check") (such $100 payment repays DFS' estimated
administrative costs; it does not waive the default caused by the NSF check).
Dealer acknowledges that DFS intends to strictly conform to the applicable usury
laws governing this Agreement. Regardless of any provision contained herein or
in any other document executed or delivered in connection herewith or therewith,
DFS shall never be deemed to have contracted for, charged or be entitled to
receive, collect or apply as interest on this Agreement (whether termed interest
herein or deemed to be interest by judicial determination or operation of law),
any amount in excess of the maximum amount allowed by applicable law, and, if
DFS ever receives, collects or applies as interest any such excess, such amount
which would be excessive interest will be applied first to the reduction of the
unpaid principal balances of advances under this Agreement, and, second, any
remaining excess will be paid to Dealer. In determining whether or not the
interest paid or payable under any specific contingency exceeds the highest
lawful rate, Dealer and DFS shall, to the maximum extent permitted under
applicable law: (A) characterize any non-principal payment (other than payments
which are expressly designated as interest payments hereunder) as an expense or
fee rather than as interest; (B) exclude voluntary pre-payments and the effect
thereof; and (C) spread the total amount of interest throughout the entire term
of this Agreement so that the interest rate is uniform throughout such term. The
annual percentage rate of the finance charges relating to any item of Inventory
financed by DFS will be calculated from the invoice date of such Inventory,
regardless of any period during which any finance charge subsidy will be paid or
payable by any third party.

         11. Billing Statement. DFS will send Dealer a monthly billing statement
identifying all charges due on Dealer s account with DFS. The charges specified
on each billing statement will be: (a) due and payable in full upon receipt; and
(b) an account stated, unless DFS receives Dealer's written objection thereto
within 15 days after it is mailed to Dealer. If DFS does not receive, by the
25th day of any given month, payment of all charges accrued to Dealer's account
with DFS during the immediately preceding month, Dealer will (to the extent
allowed by law) pay DFS a late fee ("Late Fee") equal to the greater of $5 or 5%
of the amount of such finance charges (payment of the Late Fee does not waive
the default caused by the late payment). DFS may adjust the billing statement at
any time to conform to applicable law and this Agreement.

                                       5
<PAGE>   35

         12. Rental Contracts. Dealer may rent the Inventory financed by DFS or
against which DFS has advanced funds pursuant to the terms of Dealer's rental
contracts ("Rental Contracts"). Such Inventory will thereafter be subject to the
rates and terms of DFS' financing program in effect for goods which are rented,
as reflected in the Statement of Transaction for such Inventory. All of Dealer's
Rental Contracts, agreements, and rental transactions will be in a form
satisfactory to DFS and will be in accordance with all applicable Federal, State
and local laws. Dealer will indemnify DFS against any loss or damage which DFS
suffers, whether direct or indirect, resulting in any way from the Rental
Contracts, agreements, or rental transactions which fail to comply with such
laws. All Rental Contracts will be transferable to DFS. Dealer will indemnify
DFS against any claims by its customers regarding Dealer's obligations under the
Rental Contracts. Dealer will immediately, upon DFS' request, deliver to DFS all
Rental Contracts and all related documents. This assignment is a transfer for
security only, and, until DFS has foreclosed its interest in the Rental
Contracts, will not be deemed to delegate any of Dealer's duties under the
Rental Contracts to DFS, nor is it intended to alter or impair performance by
either party to the Rental Contracts. DFS may, from time to time, verify the
accuracy of the Rental Contracts, and Dealer will immediately, upon DFS'
request, provide DFS with the following information regarding Rental Contracts
which are in effect on the date of such request: (a) the name, address and
telephone number of each customer who has executed a Rental Contract; (b) the
location of the Inventory; (c) the date of each Rental Contract; (d) the date
when the Inventory is to be returned under each Rental Contract; and, (e) any
other information which DFS may reasonably request. If the rental period under
the Rental Contract is ninety (90) days or longer, Dealer will stamp the
original of such Rental Contract with the following legend:

         `FOR VALUE RECEIVED, THIS AGREEMENT HAS BEEN ASSIGNED TO DEUTSCHE
         FINANCIAL SERVICES CORPORATION AND THERE ARE NO DEFENSES AGAINST THE
         ASSIGNEE.'

Other than to DFS, Dealer will not assign, sell, pledge, convey or by any other
means transfer any Rental Contracts or chattel paper, without DFS' prior written
consent. Dealer will not enter into any Rental Contracts for Inventory financed
by DFS or against which DFS has advanced funds pursuant to which: (i) the
original term of the Rental Contract is greater than three hundred sixty (360)
days; (ii) the original term of the Rental Contract is equal to or greater than
the remaining economic life of such Inventory; (iii) the customer is bound to
renew the Rental Contract for the economic life of such Inventory or is bound to
become the owner of such Inventory; or, (iv) the customer has an option to renew
the Rental Contract for the remaining economic life of such Inventory, or to
become the owner of such Inventory, for nominal consideration, or for
consideration which is less than the unpaid balance owed to DFS for such
Inventory. If any such Rental Contracts are issued, Dealer will take any action
which DFS may reasonably require to perfect and/or protect DFS' security
interest in such Rental Contracts and/or the Inventory subject thereto.

13. Default. Dealer will be in default under this Agreement if: (a) Dealer
breaches any terms, warranties or representations contained herein, in any
Statement of Transaction to which Dealer has not objected as provided in Section
2, or in any other agreement between DFS and Dealer; (b) any guarantor of
Dealer's debts to DFS breaches any terms, warranties or representations
contained in any guaranty or other agreement between the guarantor and DFS; (c)
any representation, statement,

                                       6
<PAGE>   36
report or certificate made or delivered by Dealer or any guarantor to DFS is not
accurate when made; (d) Dealer fails to pay any portion of Dealer's debts to DFS
when due and payable hereunder or under any other agreement between DFS and
Dealer; (e) Dealer abandons any Collateral; (f) Dealer or any guarantor is or
becomes in default in the payment of any debt owed to any third party; (g) a
money judgment issues against Dealer or any guarantor; (h) an attachment, sale
or seizure issues or is executed against any assets of Dealer or of any
guarantor; (i) the undersigned dies while Dealer's business is operated as a
sole proprietorship, any general partner dies while Dealer's business is
operated as a general or limited partnership, or any member dies while Dealer's
business is operated as a limited liability company, as applicable; (j) any
guarantor dies; (k) Dealer or any guarantor shall cease existence as a
corporation, partnership, limited liability company or trust, as applicable; (1)
Dealer or any guarantor ceases or suspends business; (m) Dealer, any guarantor
or any member while Dealer's business is operated as a limited liability
company, as applicable, makes a general assignment for the benefit of creditors;
(n) Dealer, any guarantor or any member while Dealer's business is operated as a
limited liability company, as applicable, becomes insolvent or voluntarily or
involuntarily becomes subject to the Federal Bankruptcy Code, any state
insolvency law or any similar law; (0) any receiver is appointed for any assets
of Dealer, any guarantor or any member while Dealer's business is operated as a
limited liability company, as applicable; (p) any guaranty of Dealer's debts to
DFS is terminated; (q) Dealer loses any franchise, permission, license or right
to sell or deal in any Inventory which DFS finances; or (r) Dealer or any
guarantor misrepresents Dealer's or such guarantor's financial condition or
organizational structure.

         14. Rights of DFS Upon Default. In the event of a default:

         (a)      DFS may at any time at DFS' election, without notice or demand
                  to Dealer, do any one or more of the following: declare all or
                  any part of the debt Dealer owes DFS immediately due and
                  payable, together with all costs and expenses of DFS'
                  collection activity, including, without limitation, all
                  reasonable attorney's fees; exercise any or all rights under
                  applicable law (including, without limitation, the right to
                  possess, transfer and dispose of the Collateral); and/or cease
                  extending any additional credit to Dealer (DFS' right to cease
                  extending credit will not be construed to limit the
                  discretionary nature of this credit facility)

         (b)      Dealer will segregate and keep the Collateral in trust for
                  DFS, and in good order and repair, and will not sell, rent,
                  lease, consign, otherwise dispose of or use any Collateral,
                  nor further encumber any Collateral.

         (c)      Upon DFS' oral or written demand, Dealer will immediately
                  deliver the Collateral to DFS, in good order and repair, at a
                  place specified by DFS, together with all related documents;
                  or DFS may, in DFS' sole discretion and without notice or
                  demand to Dealer, take immediate possession of the Collateral
                  together with all related documents.

         (d)      DFS may, without notice, apply a default finance charge to
                  Dealer's outstanding principal indebtedness equal to the
                  default rate specified in Dealer's financing program with DFS,
                  if any, or if there is none so specified, at the lesser of 3%
                  per annum above the rate in effect immediately prior to the
                  default, or the highest lawful contract rate of interest
                  permitted under applicable law.

         (e)      Dealer grants DFS an irrevocable power of attorney to: execute
                  or endorse on

                                       7
<PAGE>   37

                  Dealer's behalf any checks, drafts or other forms of exchange
                  received as payment on any Collateral for deposit in DFS'
                  account; execute financing statements, instruments,
                  Certificates of Title and Statements of Origin pertaining to
                  the Collateral; supply any omitted information and correct
                  errors in any documents between DFS and Dealer; sell, assign,
                  transfer, negotiate, demand, collect, receive, settle, extend,
                  or renew any amounts due on any of the Collateral; do anything
                  Dealer is obligated to do hereunder; initiate and settle any
                  insurance claim pertaining to the Collateral; and do anything
                  to preserve and protect the Collateral and DFS' rights and
                  interests therein.

         (f)      Upon DFS' oral or written demand, Dealer will immediately
                  deliver the original Rental Contracts to DFS, and DFS may
                  collect in DFS' name all amounts owed to Dealer under the
                  Rental Contracts.

All of DFS' rights and remedies are cumulative. DFS' failure to exercise any of
DFS' rights or remedies hereunder will not waive any of DFS' rights or remedies
as to any past, current or future default.

         15. Sale of Collateral. Dealer agrees that if DFS conducts a private
sale of any Collateral by requesting bids from 10 or more dealers or
distributors in that type of Collateral, any sale by DFS of such Collateral in
bulk or in parcels within 120 days of: (a) DFS' taking possession and control of
such Collateral; or (b) when DFS is otherwise authorized to sell such
Collateral; whichever occurs last, to the bidder submitting the highest cash bid
therefor, is a commercially reasonable sale of such Collateral under the Uniform
Commercial Code. Dealer agrees that the purchase of any Collateral by Vendor or
a manufacturer or distributor, as provided in any agreement between DFS and the
Vendor, manufacturer or distributor, is a commercially reasonable disposition
and private sale of such Collateral under the Uniform Commercial Code, and no
request for bids will be required. Dealer further agrees that 7 or more days
prior written notice will be commercially reasonable notice of any public or
private sale (including any sale to Vendor or a manufacturer or distributor).
Dealer irrevocably waives any requirement that DFS retain possession and not
dispose of any Collateral until after an arbitration hearing, arbitration award,
confirmation, trial or final judgment. If DFS disposes of any such Collateral
other than as herein contemplated, the commercial reasonableness of such
disposition will be determined in accordance with the laws of the state
governing this Agreement.

         16. Power of Attorney; Information. Dealer grants DFS an irrevocable
power of attorney to do anything necessary to preserve and protect the
Collateral and DFS' rights and interest therein. DFS may provide to any third
party any credit, financial or other information on Dealer that DFS may from
time to time possess. DFS may obtain from any Vendor, manufacturer or
distributor, any credit, financial or other information regarding Dealer that
such Vendor, manufacturer or distributor may from time to time possess.

         17. Termination. Either party may terminate this Agreement at any time
by written notice received by the other party. If DFS terminates this Agreement,
Dealer agrees that if Dealer: (a) is not in default hereunder, 30 days prior
notice of termination is reasonable and sufficient (although this provision
shall not be construed to mean that shorter periods may not, in particular
circumstances, also be reasonable and sufficient); or (b) is in default
hereunder, no prior notice of termination is

                                       8
<PAGE>   38

required. Dealer will riot be relieved from any obligation to DFS arising out of
DFS' advances or commitments made before the effective termination date of this
Agreement. DFS will retain all of its rights, interests and remedies hereunder
until Dealer has paid all of Dealer's debts to DFS. All waivers set forth within
this Agreement will survive any termination of this Agreement.

         18. Binding Effect. Dealer cannot assign its interest in this Agreement
without DFS' prior written consent, although DFS may assign or participate DFS'
interest, in whole or in part, without Dealer's consent. This Agreement will
protect and bind DFS' and Dealer's respective heirs, representatives, successors
and assigns.

         19. Notices. Except as otherwise stated herein, all notices,
arbitration claims, responses, requests and documents will be sufficiently given
or served if mailed or delivered: (a) to Dealer at Dealer's principal place of
business specified above; and (b) to DFS at 655 Maryville Centre Drive, St.
Louis, Missouri 63141-5832, Attention: General Counsel, or such other address as
the parties may hereafter specify in writing.

         20. NO ORAL AGREEMENTS. ORAL AGREEMENTS OR COMMITMENTS TO LOAN MONEY,
EXTEND CREDIT OR TO FORBEAR FROM ENFORCING REPAYMENT OF A DEBT INCLUDING
PROMISES TO EXTEND OR RENEW SUCH DEBTS ARE NOT ENFORCEABLE. TO PROTECT DEALER
AND DFS FROM MISUNDERSTANDING OR DISAPPOINTMENT, ALL AGREEMENTS COVERING SUCH
MATTERS ARE CONTAINED IN THIS WRITING, WHICH IS THE COMPLETE AND EXCLUSIVE
STATEMENT OF THE AGREEMENT BETWEEN THE PARTIES, EXCEPT AS SPECIFICALLY PROVIDED
HEREIN OR AS THE PARTIES MAY LATER AGREE IN WRITING TO MODIFY IT. THERE ARE NO
UNWRITTEN AGREEMENTS BETWEEN THE PARTIES.

         21. Other Waivers. Dealer irrevocably waives notice of: DFS' acceptance
of this Agreement, presentment, demand, protest, nonpayment, nonperformance, and
dishonor. Dealer and DFS irrevocably waive all rights to claim any punitive
and/or exemplary damages.

         22. Severability. If any provision of this Agreement or its application
is invalid or unenforceable, the remainder of this Agreement will not be
impaired or affected and will remain binding and enforceable.

         23. Supplement. If Dealer and DFS (or any predecessor in interest to
DFS) have heretofore executed other agreements in connection with all or any
part of the Collateral, this Agreement shall supplement each and every other
agreement previously executed by and between Dealer and DFS (or any predecessor
in interest to DFS), and in that event this Agreement shall neither be deemed a
novation nor a termination of such previously executed agreement nor shall
execution of this Agreement be deemed a satisfaction of any obligation secured
by such previously executed agreement.

                                       9
<PAGE>   39

         24. Receipt of Agreement. Dealer acknowledges that it has received a
true and complete copy of this Agreement. Dealer acknowledges that it has read
and understood this Agreement. Notwithstanding anything herein to the contrary:
(a) DFS may rely on any facsimile copy, electronic data transmission or
electronic data storage of this Agreement, any Statement of Transaction, billing
statement, invoice from Vendor or any manufacturer or distributor, financial
statements or other reports, and (b) such facsimile copy, electronic data
transmission or electronic data storage will be deemed an original, and the best
evidence thereof for all purposes, including, without limitation, under this
Agreement or any other agreement between DFS and Dealer, and for all evidentiary
purposes before any arbitrator, court or other adjudicatory authority.

         25. Miscellaneous. Time is of the essence regarding Dealer's
performance of its obligations to DFS notwithstanding any course of dealing or
custom on DFS' part to grant extensions of time. Dealer's liability under this
Agreement is direct and unconditional and will not be affected by the release or
nonperfection of any security interest granted hereunder. DFS will have the
right 0 refrain from or postpone enforcement of this Agreement or any other
agreements between DFS and Dealer without prejudice and the failure to strictly
enforce these agreements will not be construed as having created a course of
dealing between DFS and Dealer contrary to the specific terms of the agreements
or as having modified, released or waived the same. The express terms of this
Agreement will not be modified by any course of dealing, usage of trade, or
custom of trade which may deviate from the terms hereof. If Dealer fails to pay
any taxes, fees or other obligations which may impair DFS' interest in the
Collateral, or fails to keep the Collateral insured, DFS may, but shall not be
required to, pay such taxes, fees or obligations and pay the cost to insure the
Collateral, and the amounts paid will be: (a) an additional debt owed by Dealer
to DFS, which shall be subject to finance charges as provided herein; and (b)
due and payable immediately in full. Dealer agrees to pay all of DFS' reasonable
attorneys' fees and expenses incurred by DFS in enforcing DFS' rights hereunder.
The Section titles used in this Agreement are for convenience only and do not
define or limit the contents of any Section.

         26. BINDING ARBITRATION.

         26.1     Arbitrable Claims. Except as otherwise specified below, all
                  actions, disputes, claims and controversies under common law,
                  statutory law or in equity of any type or nature whatsoever
                  (including, without limitation, all torts, whether regarding
                  negligence, breach of fiduciary duty, restraint of trade,
                  fraud, conversion, duress, interference, wrongful replevin,
                  wrongful sequestration, fraud in the inducement, usury or any
                  other tort, all contract actions, whether regarding express or
                  implied terms, such as implied covenants of good faith, fair
                  dealing, and the commercial reasonableness of any Collateral
                  disposition, or any other contract claim, all claims of
                  deceptive trade practices or lender liability, and all claims
                  questioning the reasonableness or lawfulness of any act),
                  whether arising before or after the date of this Agreement,
                  and whether directly or indirectly relating to: (a) this
                  Agreement and/or any amendments and addenda hereto, or the
                  breach, invalidity or termination hereof; (b) any previous or
                  subsequent agreement between DFS (or any predecessor in
                  interest to DFS) and

                                       10
<PAGE>   40

                  Dealer; (c) any act committed by DFS (or any predecessor in
                  interest to DFS) or by any parent company, subsidiary or
                  affiliated company of DFS (or any predecessor in interest to
                  DFS) (collectively the "DFS Companies"), or by any employee,
                  agent, officer or director of an DFS Company whether or not
                  arising within the scope and course of employment or other
                  contractual representation of the DFS Companies provided that
                  such act arises under a relationship, transaction or dealing
                  between DFS (or any predecessor in interest to DFS) and
                  Dealer; and/or (d) any other relationship, transaction or
                  dealing between DFS (or any predecessor in interest to DFS)
                  and Dealer (collectively the "Disputes"), will be subject to
                  and resolved by binding arbitration.

         26.2     Administrative Body. All arbitration hereunder will be
                  conducted in accordance with the Commercial Arbitration Rules
                  of The American Arbitration Association ("AAA"). If the AAA is
                  dissolved, disbanded or becomes subject to any state or
                  federal bankruptcy or insolvency proceeding, the parties will
                  remain subject to binding arbitration which will be conducted
                  by a mutually agreeable arbitral forum. The parties agree that
                  all arbitrator(s) selected will be attorneys with at least
                  five (5) years secured transactions experience. The
                  arbitrator(s) will decide if any inconsistency exists between
                  the rules of any applicable arbitral forum and the arbitration
                  provisions contained herein. If such inconsistency exists, the
                  arbitration provisions contained herein will control and
                  supersede such rules. The site of all arbitration proceedings
                  will be in the Division of the Federal Judicial District in
                  which AM maintains a regional office that is closest to
                  Dealer.

         26.3     Discovery. Discovery permitted in any arbitration proceeding
                  commenced hereunder is limited as follows. No later than
                  thirty (30) days after the filing of a claim for arbitration,
                  the parties will exchange detailed statements setting forth
                  the facts supporting the claim(s) and all defenses to be
                  raised during the arbitration, and a list of all exhibits and
                  witnesses. No later than twenty-one (21) days prior to the
                  arbitration hearing, the parties will exchange a final list of
                  all exhibits and all witnesses, including any designation of
                  any expert witness(es) together with a summary of their
                  testimony; a copy of all documents and a detailed description
                  of any property to be introduced at the hearing. Under no
                  circumstances will the use of interrogatories, requests for
                  admission, requests for the production of documents or the
                  taking of depositions be permitted. However, in the event of
                  the designation of any expert witness(es), the following will
                  occur: (a) all information and documents relied upon by the
                  expert witness(es) will be delivered to the opposing party,
                  (b) the opposing party will be permitted to depose the expert
                  witness(es), (c) the opposing party will be permitted to
                  designate rebuttal expert witness(es), and (d) the arbitration
                  hearing will be continued to the earliest possible date that
                  enables the foregoing limited discovery to be accomplished.

         26.4     Exemplary or Punitive Damages. The Arbitrator(s) will not have
                  the authority to award exemplary or punitive damages.

         26.5     Confidentiality of Awards. All arbitration proceedings,
                  including testimony or evidence at hearings, will be kept
                  confidential, although any award or order rendered

                                       11
<PAGE>   41

                  by the arbitrator(s) pursuant to the terms of this Agreement
                  may be entered as a judgment or order in any state or federal
                  court and may be confirmed within the federal judicial
                  district which includes the residence of the party against
                  whom such award or order was entered. This Agreement concerns
                  transactions involving commerce among the several states. The
                  Federal Arbitration Act, Title 9 U.S.C.Sections 1 et seq., as
                  amended ("FAA") will govern all arbitration(s) and
                  confirmation proceedings hereunder.

         26.6     Prejudgment and Provisional Remedies. Nothing herein will be
                  construed to prevent DFS' or Dealer's use of bankruptcy,
                  receivership, injunction, repossession, replevin, claim and
                  delivery, sequestration, seizure, attachment, foreclosure,
                  dation and/or any other prejudgment or provisional action or
                  remedy relating to any Collateral for any current or future
                  debt owed by either party to the other. Any such action or
                  remedy will not waive DFS' or Dealer's right to compel
                  arbitration of any Dispute.

         26.7     Attorneys' Fees. If either Dealer or DFS brings any other
                  action for judicial relief with respect to any Dispute (other
                  than those set forth in Section 26.6), the party bringing such
                  action will be liable for and immediately pay all of the other
                  party's costs and expenses (including attorneys' fees)
                  incurred to stay or dismiss such action and remove or refer
                  such Dispute to arbitration. If either Dealer or DFS brings or
                  appeals an action to vacate or modify an arbitration award and
                  such party does not prevail, such party will pay all costs and
                  expenses, including attorneys' fees, incurred by the other
                  party in defending such action. Additionally, if Dealer sues
                  DFS or institutes any arbitration claim or counterclaim
                  against DFS in which DFS is the prevailing party, Dealer will
                  pay all costs and expenses (including attorneys' fees)
                  incurred by DFS in the course of defending such action or
                  proceeding.

         26.8     Limitations. Any arbitration proceeding must be instituted:
                  (a) with respect to any Dispute for the collection of any debt
                  owed by either party to the other, within two (2) years after
                  the date the last payment was received by the instituting
                  party; and (b) with respect to any other Dispute, within two
                  (2) years after the date the incident giving rise thereto
                  occurred, whether or not any damage was sustained or capable
                  of ascertainment or either party knew of such incident.
                  Failure to institute an arbitration proceeding within such
                  period with constitute an absolute bar and waiver to the
                  institution of any proceeding, whether arbitration or court
                  proceeding, with respect to such Dispute.

         26.9     Survival After Termination. The agreement to arbitrate will
                  survive the termination of this Agreement.

         27. INVALIDITY/UNENFORCEABILITY OF BINDING ARBITRATION. IF THIS
AGREEMENT IS FOUND TO BE NOT SUBJECT TO ARBITRATION, ANY LEGAL PROCEEDING WITH
RESPECT TO ANY DISPUTE WILL BE TRIED IN A COURT OF COMPETENT JURISDICTION BY A
JUDGE WITHOUT A JURY. DEALER AND DFS WAIVE ANY RIGHT TO A JURY TRIAL IN ANY SUCH
PROCEEDING.

                                       12
<PAGE>   42

         28. Governing Law. Dealer acknowledges and agrees that this and all
other agreements between Dealer and DFS have been substantially negotiated, and
will be substantially performed, in the state of Missouri. Accordingly, Dealer
agrees that all Disputes will be governed by, and construed in accordance with,
the laws of such state, except to the extent inconsistent with the provisions of
the FAA which shall control and govern all arbitration proceedings hereunder.

IN WITNESS WHEREOF, Dealer and DFS have executed this Agreement as of the date
first set forth hereinabove.

                  THIS CONTRACT CONTAINS BINDING ARBITRATION, JURY WAIVER AND
                  PUNITIVE DAMAGE WAIVER PROVISIONS.

                                       13
<PAGE>   43

                      SECRETARY'S CERTIFICATE OF RESOLUTION

I certify that I am the Secretary of the corporation named below, and that the
following completely and accurately sets forth certain resolutions of the Board
of Directors of the corporation adopted at a special meeting thereof held on due
notice (and with shareholder approval, if required by law), at which meeting
there was present a quorum authorized to transact the business described below,
and that the proceedings of the meeting were in accordance with the certificate
of incorporation, charter and by-laws of the corporation, and that they have not
been revoked, annulled or amended in any manner whatsoever.

Upon motion duly made and seconded, the following resolution was unanimously
adopted after full discussion:

         "RESOLVED, That the several officers, directors, and agents of this
corporation, or any one or more of them, are hereby authorized and empowered on
behalf of this corporation: to obtain financing from Deutsche Financial Services
Corporation ("DFS") in such amounts and on such terms as such officers,
directors or agents deem proper; to enter into financing, security, pledge and
other agreements with DFS relating to the terms upon which such financing may be
obtained and security and/or other credit support is to be furnished by this
corporation therefor; from time to time to supplement or amend any such
agreements; and from time to time to pledge, assign, mortgage, grant security
interests, and otherwise transfer, to DFS as collateral security for any
obligations of this corporation to DFS, whenever and however arising, any assets
of this corporation, whether now owned or hereafter acquired; the Board of
Directors hereby ratifying, approving and confirming all that any of said
officers, directors or agents have done or may do with respect to the
foregoing."

IN WITNESS WHEREOF, I have executed and affixed the seal of the corporation on
the date stated below.

Dated August 4, 1999

                                       14
<PAGE>   44

                        AGREEMENT FOR WHOLESALE FINANCING
                       (Industrial/Construction - Rental)

This Agreement for Wholesale Financing ("Agreement") is made as of December 2,
1999 between Deutsche Financial Services Corporation ("DFS") and Harvey
Equipment Center, Inc., a [___] SOLE PROPRIETORSHIP, [__] PARTNERSHIP, [X]
CORPORATION, [__] LIMITED LIABILITY COMPANY (check applicable term) ("Dealer"),
having a principal place of business located at 3585 Eastview Dr., Franklin, IN
46131.

         1. Extension of Credit. In the course of Dealer's business, Dealer
acquires new and used inventory and equipment ("Inventory") which is
manufactured or sold by, and/or which bears a trademark or trade name of: (a)
PPH Cranes or any of their subsidiaries or affiliated companies ("Vendor"), or
(b) other manufacturers or distributors. Subject to the terms of this Agreement,
DFS, in its sole discretion, may extend credit to Dealer from time to time to
purchase Inventory from Vendor or other manufacturers or distributors. If DFS
advances funds to Dealer following Dealer's execution of this Agreement, DFS
will be deemed to have entered into this Agreement with Dealer, whether or not
executed by DFS. DFS may combine all of DFS' advances to Dealer or on Dealer's
behalf, whether under this Agreement or any other agreement, and whether
provided by one or more of DFS' branch offices, together with all finance
charges, fees and expenses related thereto, to make one debt owed by Dealer.
DFS' decision to advance funds on any Inventory will not be binding until the
funds are actually advanced. DFS may, at any time and without notice to Dealer,
elect not to finance any Inventory sold by Vendor or another specific
manufacturer or distributor if Vendor or the specific manufacturer or
distributor is in default of its obligations to DFS, or with respect to which
DFS reasonably feels insecure.

         2. Financing Terms and Statements of Transaction. Dealer and DFS agree
that certain financial terms of any advance made by DFS under this Agreement,
whether regarding finance charges, other fees, maturities, curtailments or other
financial terms, are not set forth herein because such terms depend, in part,
upon the availability from time to time of discounts, payment terms or other
incentives from Vendor and other manufacturers and distributors, prevailing
economic conditions, and other economic factors which may vary over time. It is
therefore in DFS' and Dealer's best interest to set forth in this Agreement only
the general terms of Dealer's financing arrangement with DFS. Upon agreeing to
finance a particular item of Inventory for Dealer, DFS will send Dealer a
Statement of Transaction, and any amendment thereto ("Statement of
Transaction"), identifying such Inventory and the applicable financial terms.
Unless Dealer notifies DFS in writing of any objection within fifteen (15) days
after a Statement of Transaction is mailed to Dealer: (a) the amount shown on
such Statement of Transaction will be an account stated; (b) Dealer will have
agreed to all rates, charges and other terms shown on such Statement of
Transaction; (c) Dealer will have agreed that the items of Inventory referenced
in such Statement of Transaction are being financed by DFS at Dealer's request;
and (d) such Statement of Transaction will be incorporated herein by reference,
will be made a part hereof as if originally set forth herein, and will
constitute an addendum hereto. If Dealer objects to the terms of any Statement
of Transaction, Dealer will pay DFS for such Inventory in accordance with the
most recent terms for similar Inventory to which Dealer has not objected (or,

                                       1
<PAGE>   45

if there are no prior terms, at the lesser of 16% per annum or at the maximum
lawful contract rate of interest permitted under applicable law), but Dealer
acknowledges that DFS may then elect to terminate Dealer's financing program
pursuant to Section 17, and cease making additional advances to Dealer. However,
such termination will not accelerate the maturities of advances previously made,
unless Dealer shall otherwise be in default of this Agreement.

         3. Security Interest. To secure payment of all Dealer's current and
future debts to DFS, whether under this Agreement or any current or future
guaranty or other agreement, Dealer grants DFS a security interest in all of
Dealer's new and used inventory and equipment which is manufactured or sold by,
and/or which bears a trademark or trade name of, (a) Vendor, or (b) any other
manufacturer or distributor, in each case which is financed by DFS or against
which DFS has advanced monies, whether now owned or hereafter acquired by
Dealer, and all accounts, contract rights, chattel paper, security agreements,
deposit accounts, reserves, documents, general intangibles and instruments
arising from all such inventory and equipment, and all judgments, claims,
insurance policies and payments owed or made to Dealer thereon, and all
attachments, accessories, accessions, substitutions and replacements thereto and
all proceeds thereof. All such assets are collectively referred to herein as the
"Collateral." All of such terms for which meanings are provided in the Uniform
Commercial Code of the applicable state are used herein with such meanings. All
Collateral financed by DFS, and all proceeds thereof, will be held in trust by
Dealer for DFS solely for release or distribution to DFS, with such proceeds
being payable solely to DFS in accordance with Section 9.

         4. Affirmative Warranties and Representations. Dealer warrants and
represents to DFS that: (a) Dealer has good title to all Collateral; (b) DFS'
security interest in the Collateral is not now and will not become subordinate
to the security interest, lien, encumbrance or claim of any person; (c) Dealer
will execute all documents DFS requests to perfect and maintain DFS' security
interest in the Collateral; (d) Dealer will deliver to DFS immediately upon each
request, and DFS may retain, each Certificate of Title or Statement of Origin
issued for Collateral; (e) Dealer will at all times be duly organized, existing,
in good standing, qualified and licensed to do business in each state, county,
or parish, in which the nature of its business or property so requires; (f)
Dealer has the right and is duly authorized to enter into this Agreement; (g)
Dealer's execution of this Agreement does not constitute a breach of any
agreement to which Dealer is now or hereafter becomes bound; (h) there are and,
to the best of Dealer's knowledge will be, no actions or proceedings pending or
threatened against Dealer which might result in any material adverse change in
Dealer's financial or business condition or which might in any way adversely
affect any of Dealer's assets; (i) Dealer will maintain the Collateral in good
condition and repair; (j) Dealer has duly filed and will duly file all tax
returns required by law; (k) Dealer has paid and will pay when due all taxes,
levies, assessments and governmental charges of any nature; (1) Dealer will keep
and maintain all of its books and records pertaining to the Collateral at its
principal place of business designated in this Agreement; (m) Dealer will
promptly supply DFS with such information concerning it or any guarantor as DFS
hereafter may reasonably request; (n) all Collateral will be kept at Dealer's
principal place of business listed above, and such other locations, if any, of
which Dealer has notified DFS in writing or as listed on any current or future
Exhibit "A" attached hereto which written notice(s) to DFS and Exhibit A(s) are
incorporated herein by reference; (0) Dealer will give DFS thirty (30) days
prior written notice of any

                                       2
<PAGE>   46

change in Dealer's identity, name, form of business organization, ownership,
management, principal place of business, Collateral locations or other business
locations, and before moving any books and records to any other location; (p)
Dealer will observe and perform all matters required by any lease, license,
concession or franchise forming part of the Collateral in order to maintain all
the rights of DFS thereunder; (q) Dealer will advise DFS of the commencement of
material legal proceedings against Dealer or any guarantor; and (r) Dealer will
comply with all applicable laws and will conduct its business in a manner which
preserves and protects the Collateral and the earnings and incomes thereof.

         5. Negative Covenants. Dealer will not at any time (without DFS' prior
written consent): (a) other than in the ordinary course of its business, sell,
demonstrate, lease or otherwise dispose of or transfer any of its assets; (b)
demonstrate, consign, or use any Collateral; or (c) merge or consolidate with
another entity.

         6. Insurance. Dealer will immediately notify DFS of any loss, theft or
damage to any Collateral. Dealer will keep the Collateral insured for its full
insurable value under an "all risk" property insurance policy with a company
acceptable to DFS, naming DFS as a lender loss-payee or mortgagee and containing
standard lender's loss payable and termination provisions. Dealer will provide
DFS with written evidence of such property insurance coverage and lender's
loss-payee or mortgagee endorsement.

         7. Financial Statements. Dealer will deliver to DFS: (a) within ninety
(90) days after the end of each of Dealer's fiscal years, a reasonably detailed
balance sheet as of the last day of such fiscal year and a reasonably detailed
income statement covering Dealer's operations for such fiscal year, in a form
satisfactory to DFS; (b) within forty-five (45) days after the end of each of
Dealer's fiscal quarters, a reasonably detailed balance sheet as of the last day
of such quarter and an income statement covering Dealer's operations for such
quarter, in a form satisfactory to DFS; and (c) within thirty (30) days after
request therefor by DFS, any other report requested by DFS relating to the
Collateral or the financial condition of Dealer. Dealer warrants and represents
to DFS that all financial statements and information relating to Dealer or any
guarantor which have been or may hereafter be delivered by Dealer or any
guarantor are true and correct and have been and will be prepared in accordance
with generally accepted accounting principles consistently applied and, with
respect to such previously delivered statements or information, there has been
no material adverse change in the financial or business condition of Dealer or
any guarantor since the submission to DFS, either as of the date of delivery,
or, if different, the date specified therein, and Dealer acknowledges DFS'
reliance thereon.

         8. Reviews. Dealer grants DFS an irrevocable license to enter Dealer's
business locations during normal business hours without notice to Dealer to: (a)
account for and inspect all Collateral; (b) verify Dealer's compliance with this
Agreement; and (c) examine and copy Dealer's books and records related to the
Collateral.

                                       3
<PAGE>   47

         9. Payment Terms. Dealer will immediately pay DFS the principal
indebtedness owed DFS on each item of Inventory financed by DFS or against which
DFS has advanced funds on the earliest occurrence of any of the following
events: (a) (i) when such Inventory is lost, stolen or damaged - immediately if
such loss, theft or damage is not covered completely by insurance, or (ii) if
completely covered by insurance, then upon Dealer's receipt of the insurance
proceeds therefor or thirty (30) days following the loss theft or damage,
whichever occurs first; (b) when such Inventory is sold, transferred or
otherwise disposed of; provided, however, if any item of Inventory financed by
DFS or against which DFS has advanced funds is sold and Dealer does not receive
payment for such item at the time of sale, Dealer will pay DFS the full amount
of the principal balance owed DFS on such item of Inventory within thirty (30)
days immediately following the sale date of such item of Inventory or
immediately upon Dealer's receipt of payment for such items of Inventory,
whichever occurs first; (c) in strict accordance with any curtailment schedule
for such Inventory (as shown on the Statement of Transaction identifying such
Inventory); (d) when any item of such Inventory matures (as shown on the
Statement of Transaction identifying such Inventory). With respect to Inventory
financed by DFS or against which DFS has advanced funds and held for rent and/or
lease, Dealer will owe DFS and agree to pay DFS monthly the percentage of the
principal balance owed on each item of such Inventory that is required under the
terms of Dealer's financing program with DFS. However, if any Inventory financed
by DFS or against which DFS has advanced funds and held for rent and/or lease:
(A) is sold and Dealer does not receive payment for such item at the time of
sale, Dealer will pay DFS the full amount of the principal balance owed to DFS
on such item of Inventory within thirty (30) days immediately following the sale
date of such item of Inventory or immediately upon Dealer's receipt of payment
for such item of Inventory, whichever occurs first; or (B) is stolen, destroyed
or otherwise disposed of, Dealer will immediately pay DFS the full amount of
Dealer's outstanding indebtedness owed to DFS for such Inventory. If Dealer from
time to time is required to make immediate payment to DFS of any past due
obligation discovered during any Inventory audit, or at any other time, Dealer
agrees that acceptance of such payments by DFS will not be construed to have
waived or amended the terms of its financing program. Dealer will send all
payments to DFS' branch office(s) responsible for Dealer's account. DFS may
apply: (i) payments to reduce finance charges first and then principal,
regardless of Dealer's instructions; and (ii) principal payments to the oldest
(earliest) invoice for Inventory financed by DFS, but, in any event, all
principal payments will first be applied to such Inventory which is sold, lost,
stolen, damaged, rented, leased, or otherwise disposed of or unaccounted for.
Any third party discount, rebate, bonus or credit granted to Dealer for any
Inventory will not reduce the debt Dealer owes DFS until DFS has received
payment therefor in cash. Dealer will: (1) pay DFS even if any Inventory
financed by DFS or against which DFS has advanced funds is defective or fails to
conform to any warranties extended by any third party; (2) not assert against
DFS any claim or defense Dealer has against any third party; and (3) indemnify
and hold DFS harmless against all claims and defenses asserted by any buyer of
the Inventory relating to the condition of, or any representations regarding,
any of the Inventory. Dealer waives all rights of offset and counterclaims which
Dealer may have against DFS.

         10. Calculation of charges. Dealer will pay finance charges to DFS on
the outstanding principal debt Dealer owes DFS for each item of Inventory
financed-by DFS at the rate(s) shown on the Statement of Transaction identifying
such Inventory, unless Dealer objects thereto as provided in Section 2. The
finance charges attributable to the rate shown on the Statement of Transaction
will:

                                       4
<PAGE>   48

(a) be computed based on a 360 day year; (b) be calculated by multiplying the
Daily Charge (as defined below) by the actual number of days in the applicable
billing period; and (C) accrue from the invoice date of the Inventory identified
on such Statement of Transaction until DFS receives full payment of the
principal debt Dealer owes DFS for each item of such Inventory in accordance
with DFS' payment recognition policy and DFS applies such payment to Dealer's
principal debt in accordance with the terms of this Agreement. The "Daily
Charge" is the product of the Daily Rate (as defined below) multiplied by the
Average Daily Balance (as defined below) The "Daily Rate" is the quotient of the
annual rate shown on the Statement of Transaction divided by 360, or the monthly
rate shown on the Statement of Transaction divided by 30. The "Average Daily
Balance" is the quotient of: (i) the sum of the outstanding principal debt owed
DFS on each day of a billing period for each item of Inventory identified on a
Statement of Transaction; divided by (ii) the actual number of days in such
billing period. Dealer will also pay DFS $100 for each check returned unpaid for
insufficient funds (an "NSF check") (such $100 payment repays DFS' estimated
administrative costs; it does not waive the default caused by the NSF check).
Dealer acknowledges that DFS intends to strictly conform to the applicable usury
laws governing this Agreement. Regardless of any provision contained herein or
in any other document executed or delivered in connection herewith or therewith,
DFS shall never be deemed to have contracted for, charged or be entitled to
receive, collect or apply as interest on this Agreement (whether termed interest
herein or deemed to be interest by judicial determination or operation of law),
any amount in excess of the maximum amount allowed by applicable law, and, if
DFS ever receives, collects or applies as interest any such excess, such amount
which would be excessive interest will be applied first to the reduction of the
unpaid principal balances of advances under this Agreement, and, second, any
remaining excess will be paid to Dealer. In determining whether or not the
interest paid or payable under any specific contingency exceeds the highest
lawful rate, Dealer and DFS shall, to the maximum extent permitted under
applicable law: (A) characterize any non-principal payment (other than payments
which are expressly designated as interest payments hereunder) as an expense or
fee rather than as interest; (B) exclude voluntary pre-payments and the effect
thereof; and (C) spread the total amount of interest throughout the entire term
of this Agreement so that the interest rate is uniform throughout such term. The
annual percentage rate of the finance charges relating to any item of Inventory
financed by DFS will be calculated from the invoice date of such Inventory,
regardless of any period during which any finance charge subsidy will be paid or
payable by any third party.

         11. Billing Statement. DFS will send Dealer a monthly billing statement
identifying all charges due on Dealer s account with DFS. The charges specified
on each billing statement will be: (a) due and payable in full upon receipt; and
(b) an account stated, unless DFS receives Dealer's written objection thereto
within 15 days after it is mailed to Dealer. If DFS does not receive, by the
25th day of any given month, payment of all charges accrued to Dealer's account
with DFS during the immediately preceding month, Dealer will (to the extent
allowed by law) pay DFS a late fee ("Late Fee") equal to the greater of $5 or 5%
of the amount of such finance charges (payment of the Late Fee does not waive
the default caused by the late payment). DFS may adjust the billing statement at
any time to conform to applicable law and this Agreement.

                                       5
<PAGE>   49

         12. Rental Contracts. Dealer may rent the Inventory financed by DFS or
against which DFS has advanced funds pursuant to the terms of Dealer's rental
contracts ("Rental Contracts"). Such Inventory will thereafter be subject to the
rates and terms of DFS' financing program in effect for goods which are rented,
as reflected in the Statement of Transaction for such Inventory. All of Dealer's
Rental Contracts, agreements, and rental transactions will be in a form
satisfactory to DFS and will be in accordance with all applicable Federal, State
and local laws. Dealer will indemnify DFS against any loss or damage which DFS
suffers, whether direct or indirect, resulting in any way from the Rental
Contracts, agreements, or rental transactions which fail to comply with such
laws. All Rental Contracts will be transferable to DFS. Dealer will indemnify
DFS against any claims by its customers regarding Dealer's obligations under the
Rental Contracts. Dealer will immediately, upon DFS' request, deliver to DFS all
Rental Contracts and all related documents. This assignment is a transfer for
security only, and, until DFS has foreclosed its interest in the Rental
Contracts, will not be deemed to delegate any of Dealer's duties under the
Rental Contracts to DFS, nor is it intended to alter or impair performance by
either party to the Rental Contracts. DFS may, from time to time, verify the
accuracy of the Rental Contracts, and Dealer will immediately, upon DFS'
request, provide DFS with the following information regarding Rental Contracts
which are in effect on the date of such request: (a) the name, address and
telephone number of each customer who has executed a Rental Contract; (b) the
location of the Inventory; (c) the date of each Rental Contract; (d) the date
when the Inventory is to be returned under each Rental Contract; and, (e) any
other information which DFS may reasonably request. If the rental period under
the Rental Contract is ninety (90) days or longer, Dealer will stamp the
original of such Rental Contract with the following legend:

         `FOR VALUE RECEIVED, THIS AGREEMENT HAS BEEN ASSIGNED TO DEUTSCHE
         FINANCIAL SERVICES CORPORATION AND THERE ARE NO DEFENSES AGAINST THE
         ASSIGNEE.'

Other than to DFS, Dealer will not assign, sell, pledge, convey or by any other
means transfer any Rental Contracts or chattel paper, without DFS' prior written
consent. Dealer will not enter into any Rental Contracts for Inventory financed
by DFS or against which DFS has advanced funds pursuant to which: (i) the
original term of the Rental Contract is greater than three hundred sixty (360)
days; (ii) the original term of the Rental Contract is equal to or greater than
the remaining economic life of such Inventory; (iii) the customer is bound to
renew the Rental Contract for the economic life of such Inventory or is bound to
become the owner of such Inventory; or, (iv) the customer has an option to renew
the Rental Contract for the remaining economic life of such Inventory, or to
become the owner of such Inventory, for nominal consideration, or for
consideration which is less than the unpaid balance owed to DFS for such
Inventory. If any such Rental Contracts are issued, Dealer will take any action
which DFS may reasonably require to perfect and/or protect DFS' security
interest in such Rental Contracts and/or the Inventory subject thereto.

         13. Default. Dealer will be in default under this Agreement if: (a)
Dealer breaches any terms, warranties or representations contained herein, in
any Statement of Transaction to which Dealer has not objected as provided in
Section 2, or in any other agreement between DFS and Dealer; (b) any guarantor
of Dealer's debts to DFS breaches any terms, warranties or representations
contained in any guaranty or other agreement between the guarantor and DFS; (c)
any representation, statement,

                                       6
<PAGE>   50
report or certificate made or delivered by Dealer or any guarantor to DFS is not
accurate when made; (d) Dealer fails to pay any portion of Dealer's debts to DFS
when due and payable hereunder or under any other agreement between DFS and
Dealer; (e) Dealer abandons any Collateral; (f) Dealer or any guarantor is or
becomes in default in the payment of any debt owed to any third party; (g) a
money judgment issues against Dealer or any guarantor; (h) an attachment, sale
or seizure issues or is executed against any assets of Dealer or of any
guarantor; (i) the undersigned dies while Dealer's business is operated as a
sole proprietorship, any general partner dies while Dealer's business is
operated as a general or limited partnership, or any member dies while Dealer's
business is operated as a limited liability company, as applicable; (j) any
guarantor dies; (k) Dealer or any guarantor shall cease existence as a
corporation, partnership, limited liability company or trust, as applicable; (1)
Dealer or any guarantor ceases or suspends business; (m) Dealer, any guarantor
or any member while Dealer's business is operated as a limited liability
company, as applicable, makes a general assignment for the benefit of creditors;
(n) Dealer, any guarantor or any member while Dealer's business is operated as a
limited liability company, as applicable, becomes insolvent or voluntarily or
involuntarily becomes subject to the Federal Bankruptcy Code, any state
insolvency law or any similar law; (0) any receiver is appointed for any assets
of Dealer, any guarantor or any member while Dealer's business is operated as a
limited liability company, as applicable; (p) any guaranty of Dealer's debts to
DFS is terminated; (q) Dealer loses any franchise, permission, license or right
to sell or deal in any Inventory which DFS finances; or (r) Dealer or any
guarantor misrepresents Dealer's or such guarantor's financial condition or
organizational structure.

         14. Rights of DFS Upon Default. In the event of a default:

         (a)      DFS may at any time at DFS' election, without notice or demand
                  to Dealer, do any one or more of the following: declare all or
                  any part of the debt Dealer owes DFS immediately due and
                  payable, together with all costs and expenses of DFS'
                  collection activity, including, without limitation, all
                  reasonable attorney's fees; exercise any or all rights under
                  applicable law (including, without limitation, the right to
                  possess, transfer and dispose of the Collateral); and/or cease
                  extending any additional credit to Dealer (DFS' right to cease
                  extending credit will not be construed to limit the
                  discretionary nature of this credit facility)

         (b)      Dealer will segregate and keep the Collateral in trust for
                  DFS, and in good order and repair, and will not sell, rent,
                  lease, consign, otherwise dispose of or use any Collateral,
                  nor further encumber any Collateral.

         (c)      Upon DFS' oral or written demand, Dealer will immediately
                  deliver the Collateral to DFS, in good order and repair, at a
                  place specified by DFS, together with all related documents;
                  or DFS may, in DFS' sole discretion and without notice or
                  demand to Dealer, take immediate possession of the Collateral
                  together with all related documents.

         (d)      DFS may, without notice, apply a default finance charge to
                  Dealer's outstanding principal indebtedness equal to the
                  default rate specified in Dealer's financing program with DFS,
                  if any, or if there is none so specified, at the lesser of 3%
                  per annum above the rate in effect immediately prior to the
                  default, or the highest lawful contract rate of interest
                  permitted under applicable law.

                                       7
<PAGE>   51

         (e)      Dealer grants DFS an irrevocable power of attorney to: execute
                  or endorse on Dealer's behalf any checks, drafts or other
                  forms of exchange received as payment on any Collateral for
                  deposit in DFS' account; execute financing statements,
                  instruments, Certificates of Title and Statements of Origin
                  pertaining to the Collateral; supply any omitted information
                  and correct errors in any documents between DFS and Dealer;
                  sell, assign, transfer, negotiate, demand, collect, receive,
                  settle, extend, or renew any amounts due on any of the
                  Collateral; do anything Dealer is obligated to do hereunder;
                  initiate and settle any insurance claim pertaining to the
                  Collateral; and do anything to preserve and protect the
                  Collateral and DFS' rights and interests therein.

         (f)      Upon DFS' oral or written demand, Dealer will immediately
                  deliver the original Rental Contracts to DFS, and DFS may
                  collect in DFS' name all amounts owed to Dealer under the
                  Rental Contracts.

All of DFS' rights and remedies are cumulative. DFS' failure to exercise any of
DFS' rights or remedies hereunder will not waive any of DFS' rights or remedies
as to any past, current or future default.

         15. Sale of Collateral. Dealer agrees that if DFS conducts a private
sale of any Collateral by requesting bids from 10 or more dealers or
distributors in that type of Collateral, any sale by DFS of such Collateral in
bulk or in parcels within 120 days of: (a) DFS' taking possession and control of
such Collateral; or (b) when DFS is otherwise authorized to sell such
Collateral; whichever occurs last, to the bidder submitting the highest cash bid
therefor, is a commercially reasonable sale of such Collateral under the Uniform
Commercial Code. Dealer agrees that the purchase of any Collateral by Vendor or
a manufacturer or distributor, as provided in any agreement between DFS and the
Vendor, manufacturer or distributor, is a commercially reasonable disposition
and private sale of such Collateral under the Uniform Commercial Code, and no
request for bids will be required. Dealer further agrees that 7 or more days
prior written notice will be commercially reasonable notice of any public or
private sale (including any sale to Vendor or a manufacturer or distributor).
Dealer irrevocably waives any requirement that DFS retain possession and not
dispose of any Collateral until after an arbitration hearing, arbitration award,
confirmation, trial or final judgment. If DFS disposes of any such Collateral
other than as herein contemplated, the commercial reasonableness of such
disposition will be determined in accordance with the laws of the state
governing this Agreement.

         16. Power of Attorney; Information. Dealer grants DFS an irrevocable
power of attorney to do anything necessary to preserve and protect the
Collateral and DFS' rights and interest therein. DFS may provide to any third
party any credit, financial or other information on Dealer that DFS may from
time to time possess. DFS may obtain from any Vendor, manufacturer or
distributor, any credit, financial or other information regarding Dealer that
such Vendor, manufacturer or distributor may from time to time possess.

         17. Termination. Either party may terminate this Agreement at any time
by written notice received by the other party. If DFS terminates this Agreement,
Dealer agrees that if Dealer: (a) is not in default hereunder, 30 days prior
notice of termination is reasonable and sufficient (although this provision
shall not be construed to mean that shorter periods may not, in particular
circumstances,

                                       8
<PAGE>   52

also be reasonable and sufficient); or (b) is in default hereunder, no prior
notice of termination is required. Dealer will riot be relieved from any
obligation to DFS arising out of DFS' advances or commitments made before the
effective termination date of this Agreement. DFS will retain all of its rights,
interests and remedies hereunder until Dealer has paid all of Dealer's debts to
DFS. All waivers set forth within this Agreement will survive any termination of
this Agreement.

         18. Binding Effect. Dealer cannot assign its interest in this Agreement
without DFS' prior written consent, although DFS may assign or participate DFS'
interest, in whole or in part, without Dealer's consent. This Agreement will
protect and bind DFS' and Dealer's respective heirs, representatives, successors
and assigns.

         19. Notices. Except as otherwise stated herein, all notices,
arbitration claims, responses, requests and documents will be sufficiently given
or served if mailed or delivered: (a) to Dealer at Dealer's principal place of
business specified above; and (b) to DFS at 655 Maryville Centre Drive, St.
Louis, Missouri 63141-5832, Attention: General Counsel, or such other address as
the parties may hereafter specify in writing.

         20. NO ORAL AGREEMENTS. ORAL AGREEMENTS OR COMMITMENTS TO LOAN MONEY,
EXTEND CREDIT OR TO FORBEAR FROM ENFORCING REPAYMENT OF A DEBT INCLUDING
PROMISES TO EXTEND OR RENEW SUCH DEBTS ARE NOT ENFORCEABLE. TO PROTECT DEALER
AND DFS FROM MISUNDERSTANDING OR DISAPPOINTMENT, ALL AGREEMENTS COVERING SUCH
MATTERS ARE CONTAINED IN THIS WRITING, WHICH IS THE COMPLETE AND EXCLUSIVE
STATEMENT OF THE AGREEMENT BETWEEN THE PARTIES, EXCEPT AS SPECIFICALLY PROVIDED
HEREIN OR AS THE PARTIES MAY LATER AGREE IN WRITING TO MODIFY IT. THERE ARE NO
UNWRITTEN AGREEMENTS BETWEEN THE PARTIES.

         21. Other Waivers. Dealer irrevocably waives notice of: DFS' acceptance
of this Agreement, presentment, demand, protest, nonpayment, nonperformance, and
dishonor. Dealer and DFS irrevocably waive all rights to claim any punitive
and/or exemplary damages.

         22. Severability. If any provision of this Agreement or its application
is invalid or unenforceable, the remainder of this Agreement will not be
impaired or affected and will remain binding and enforceable.

         23. Supplement. If Dealer and DFS (or any predecessor in interest to
DFS) have heretofore executed other agreements in connection with all or any
part of the Collateral, this Agreement shall supplement each and every other
agreement previously executed by and between Dealer and DFS (or any predecessor
in interest to DFS), and in that event this Agreement shall neither be deemed a
novation nor a termination of such previously executed agreement nor shall
execution of this Agreement be deemed a satisfaction of any obligation secured
by such previously executed agreement.

                                       9
<PAGE>   53

         24. Receipt of Agreement. Dealer acknowledges that it has received a
true and complete copy of this Agreement. Dealer acknowledges that it has read
and understood this Agreement. Notwithstanding anything herein to the contrary:
(a) DFS may rely on any facsimile copy, electronic data transmission or
electronic data storage of this Agreement, any Statement of Transaction, billing
statement, invoice from Vendor or any manufacturer or distributor, financial
statements or other reports, and (b) such facsimile copy, electronic data
transmission or electronic data storage will be deemed an original, and the best
evidence thereof for all purposes, including, without limitation, under this
Agreement or any other agreement between DFS and Dealer, and for all evidentiary
purposes before any arbitrator, court or other adjudicatory authority.

         25. Miscellaneous. Time is of the essence regarding Dealer's
performance of its obligations to DFS notwithstanding any course of dealing or
custom on DFS' part to grant extensions of time. Dealer's liability under this
Agreement is direct and unconditional and will not be affected by the release or
nonperfection of any security interest granted hereunder. DFS will have the
right 0 refrain from or postpone enforcement of this Agreement or any other
agreements between DFS and Dealer without prejudice and the failure to strictly
enforce these agreements will not be construed as having created a course of
dealing between DFS and Dealer contrary to the specific terms of the agreements
or as having modified, released or waived the same. The express terms of this
Agreement will not be modified by any course of dealing, usage of trade, or
custom of trade which may deviate from the terms hereof. If Dealer fails to pay
any taxes, fees or other obligations which may impair DFS' interest in the
Collateral, or fails to keep the Collateral insured, DFS may, but shall not be
required to, pay such taxes, fees or obligations and pay the cost to insure the
Collateral, and the amounts paid will be: (a) an additional debt owed by Dealer
to DFS, which shall be subject to finance charges as provided herein; and (b)
due and payable immediately in full. Dealer agrees to pay all of DFS' reasonable
attorneys' fees and expenses incurred by DFS in enforcing DFS' rights hereunder.
The Section titles used in this Agreement are for convenience only and do not
define or limit the contents of any Section.

         26. BINDING ARBITRATION.

         26.1     Arbitrable Claims. Except as otherwise specified below, all
                  actions, disputes, claims and controversies under common law,
                  statutory law or in equity of any type or nature whatsoever
                  (including, without limitation, all torts, whether regarding
                  negligence, breach of fiduciary duty, restraint of trade,
                  fraud, conversion, duress, interference, wrongful replevin,
                  wrongful sequestration, fraud in the inducement, usury or any
                  other tort, all contract actions, whether regarding express or
                  implied terms, such as implied covenants of good faith, fair
                  dealing, and the commercial reasonableness of any Collateral
                  disposition, or any other contract claim, all claims of
                  deceptive trade practices or lender liability, and all claims
                  questioning the reasonableness or lawfulness of any act),
                  whether arising before or after the date of this Agreement,
                  and whether directly or indirectly relating to: (a) this
                  Agreement and/or any amendments and addenda hereto, or the
                  breach, invalidity or termination hereof; (b) any previous or
                  subsequent agreement between DFS (or any predecessor in
                  interest to DFS) and

                                       10
<PAGE>   54

                  Dealer; (c) any act committed by DFS (or any predecessor in
                  interest to DFS) or by any parent company, subsidiary or
                  affiliated company of DFS (or any predecessor in interest to
                  DFS) (collectively the "DFS Companies"), or by any employee,
                  agent, officer or director of an DFS Company whether or not
                  arising within the scope and course of employment or other
                  contractual representation of the DFS Companies provided that
                  such act arises under a relationship, transaction or dealing
                  between DFS (or any predecessor in interest to DFS) and
                  Dealer; and/or (d) any other relationship, transaction or
                  dealing between DFS (or any predecessor in interest to DFS)
                  and Dealer (collectively the "Disputes"), will be subject to
                  and resolved by binding arbitration.

         26.2     Administrative Body. All arbitration hereunder will be
                  conducted in accordance with the Commercial Arbitration Rules
                  of The American Arbitration Association ("AAA"). If the AAA is
                  dissolved, disbanded or becomes subject to any state or
                  federal bankruptcy or insolvency proceeding, the parties will
                  remain subject to binding arbitration which will be conducted
                  by a mutually agreeable arbitral forum. The parties agree that
                  all arbitrator(s) selected will be attorneys with at least
                  five (5) years secured transactions experience. The
                  arbitrator(s) will decide if any inconsistency exists between
                  the rules of any applicable arbitral forum and the arbitration
                  provisions contained herein. If such inconsistency exists, the
                  arbitration provisions contained herein will control and
                  supersede such rules. The site of all arbitration proceedings
                  will be in the Division of the Federal Judicial District in
                  which AM maintains a regional office that is closest to
                  Dealer.

         26.3     Discovery. Discovery permitted in any arbitration proceeding
                  commenced hereunder is limited as follows. No later than
                  thirty (30) days after the filing of a claim for arbitration,
                  the parties will exchange detailed statements setting forth
                  the facts supporting the claim(s) and all defenses to be
                  raised during the arbitration, and a list of all exhibits and
                  witnesses. No later than twenty-one (21) days prior to the
                  arbitration hearing, the parties will exchange a final list of
                  all exhibits and all witnesses, including any designation of
                  any expert witness(es) together with a summary of their
                  testimony; a copy of all documents and a detailed description
                  of any property to be introduced at the hearing. Under no
                  circumstances will the use of interrogatories, requests for
                  admission, requests for the production of documents or the
                  taking of depositions be permitted. However, in the event of
                  the designation of any expert witness(es), the following will
                  occur: (a) all information and documents relied upon by the
                  expert witness(es) will be delivered to the opposing party,
                  (b) the opposing party will be permitted to depose the expert
                  witness(es), (c) the opposing party will be permitted to
                  designate rebuttal expert witness(es), and (d) the arbitration
                  hearing will be continued to the earliest possible date that
                  enables the foregoing limited discovery to be accomplished.

         26.4     Exemplary or Punitive Damages. The Arbitrator(s) will not have
                  the authority to award exemplary or punitive damages.

         26.5     Confidentiality of Awards. All arbitration proceedings,
                  including testimony or evidence at hearings, will be kept
                  confidential, although any award or order rendered

                                       11
<PAGE>   55

                  by the arbitrator(s) pursuant to the terms of this Agreement
                  may be entered as a judgment or order in any state or federal
                  court and may be confirmed within the federal judicial
                  district which includes the residence of the party against
                  whom such award or order was entered. This Agreement concerns
                  transactions involving commerce among the several states. The
                  Federal Arbitration Act, Title 9 U.S.C.Sections 1 et seq., as
                  amended ("FAA") will govern all arbitration(s) and
                  confirmation proceedings hereunder.

         26.6     Prejudgment and Provisional Remedies. Nothing herein will be
                  construed to prevent DFS' or Dealer's use of bankruptcy,
                  receivership, injunction, repossession, replevin, claim and
                  delivery, sequestration, seizure, attachment, foreclosure,
                  dation and/or any other prejudgment or provisional action or
                  remedy relating to any Collateral for any current or future
                  debt owed by either party to the other. Any such action or
                  remedy will not waive DFS' or Dealer's right to compel
                  arbitration of any Dispute.

         26.7     Attorneys' Fees. If either Dealer or DFS brings any other
                  action for judicial relief with respect to any Dispute (other
                  than those set forth in Section 26.6), the party bringing such
                  action will be liable for and immediately pay all of the other
                  party's costs and expenses (including attorneys' fees)
                  incurred to stay or dismiss such action and remove or refer
                  such Dispute to arbitration. If either Dealer or DFS brings or
                  appeals an action to vacate or modify an arbitration award and
                  such party does not prevail, such party will pay all costs and
                  expenses, including attorneys' fees, incurred by the other
                  party in defending such action. Additionally, if Dealer sues
                  DFS or institutes any arbitration claim or counterclaim
                  against DFS in which DFS is the prevailing party, Dealer will
                  pay all costs and expenses (including attorneys' fees)
                  incurred by DFS in the course of defending such action or
                  proceeding.

         26.8     Limitations. Any arbitration proceeding must be instituted:
                  (a) with respect to any Dispute for the collection of any debt
                  owed by either party to the other, within two (2) years after
                  the date the last payment was received by the instituting
                  party; and (b) with respect to any other Dispute, within two
                  (2) years after the date the incident giving rise thereto
                  occurred, whether or not any damage was sustained or capable
                  of ascertainment or either party knew of such incident.
                  Failure to institute an arbitration proceeding within such
                  period will constitute an absolute bar and waiver to the
                  institution of any proceeding, whether arbitration or a court
                  proceeding, with respect to such Dispute.

         26.9     Survival After Termination. The agreement to arbitrate will
                  survive the termination of this Agreement.

         27. INVALIDITY/UNENFORCEABILITY OF BINDING ARBITRATION. IF THIS
AGREEMENT IS FOUND TO BE NOT SUBJECT TO ARBITRATION, ANY LEGAL PROCEEDING WITH
RESPECT TO ANY DISPUTE WILL BE TRIED IN A COURT OF COMPETENT JURISDICTION BY A
JUDGE WITHOUT A JURY. DEALER AND DFS WAIVE ANY RIGHT TO A JURY TRIAL IN ANY SUCH
PROCEEDING.

         28. Governing Law. Dealer acknowledges and agrees that this and all
other agreements between Dealer and DFS have been substantially negotiated, and
will be substantially performed, in

                                       12
<PAGE>   56

the state of Missouri. Accordingly, Dealer agrees that all Disputes will be
governed by, and construed in accordance with, the laws of such state, except to
the extent inconsistent with the provisions of the FAA which shall control and
govern all arbitration proceedings hereunder.

IN WITNESS WHEREOF, Dealer and DFS have executed this Agreement as of the date
first set forth hereinabove.

THIS CONTRACT CONTAINS BINDING ARBITRATION, JURY WAIVER AND PUNITIVE DAMAGE
WAIVER PROVISIONS.

                                       13
<PAGE>   57

                      SECRETARY'S CERTIFICATE OF RESOLUTION

         I certify that I am the Secretary of the corporation named below, and
that the following completely and accurately sets forth certain resolutions of
the Board of Directors of the corporation adopted at a special meeting thereof
held on due notice (and with shareholder approval, if required by law), at which
meeting there was present a quorum authorized to transact the business described
below, and that the proceedings of the meeting were in accordance with the
certificate of incorporation, charter and by-laws of the corporation, and that
they have not been revoked, annulled or amended in any manner whatsoever.

         Upon motion duly made and seconded, the following resolution was
unanimously adopted after full discussion:

         "RESOLVED, That the several officers, directors, and agents of this
corporation, or any one or more of them, are hereby authorized and empowered on
behalf of this corporation: to obtain financing from Deutsche Financial Services
Corporation ("DFS") in such amounts and on such terms as such officers,
directors or agents deem proper; to enter into financing, security, pledge and
other agreements with DFS relating to the terms upon which such financing may be
obtained and security and/or other credit support is to be furnished by this
corporation therefor; from time to time to supplement or amend any such
agreements; and from time to time to pledge, assign, mortgage, grant security
interests, and otherwise transfer, to DFS as collateral security for any
obligations of this corporation to DFS, whenever and however arising, any assets
of this corporation, whether now owned or hereafter acquired; the Board of
Directors hereby ratifying, approving and confirming all that any of said
officers, directors or agents have done or may do with respect to the
foregoing."

IN WITNESS WHEREOF, I have executed and affixed the seal of the corporation on
the date stated below.

Dated: December 2, 1999

                                       14
<PAGE>   58

                  ADDENDUM TO AGREEMENT FOR WHOLESALE FINANCING

         This Addendum is made to that certain Agreement for Wholesale Financing
entered into by and between Crescent Machinery Company ("Dealer") and Deutsche
Financial Services Corporation ("DFS") on April 6, 1998, as amended
("Agreement").

         FOR VALUE RECEIVED, DFS and Dealer agree that the following paragraph
is incorporated into the Agreement as if fully and originally set forth therein:

         "Dealer will at all times maintain:

         (a) a Tangible Net Worth in the amount of not less than twenty million
         dollars ($20,000,000.00); and

         (b) a ratio of Debt to Tangible Net Worth of not more than five to one
         (5.0:1).

         For purposes of this paragraph: (i) 'Tangible Net Worth' means the book
         value of Dealer's assets less liabilities, excluding from such assets
         all Intangibles; (ii) 'Intangibles' means and includes general
         intangibles (as that term is defined in the Uniform Commercial Code);
         accounts receivable and advances due from officers, directors,
         employees, stockholders and affiliates; leasehold improvements net of
         depreciation; licenses; good will; prepaid expenses; escrow deposits;
         covenants not to compete; franchise fees; organizational costs; finance
         reserves held for recourse obligations; capitalized research and
         development costs; and such other similar items as DFS may from time to
         time determine in DFS' sole discretion; (iii) 'Debt' means all of
         Dealer's liabilities and indebtedness for borrowed money of any kind
         and nature whatsoever, whether direct or indirect, absolute or
         contingent, and including obligations under capitalized leases,
         guaranties, or with respect to which Dealer has pledged assets to
         secure performance, whether or not direct recourse liability has been
         assumed by Dealer; and (iv) 'Subordinated Debt' means all of Dealer's
         Debt which is subordinated to the payment of Dealer's liabilities to
         DFS by an agreement in form and substance satisfactory to DFS. The
         foregoing terms shall be determined in accordance with generally
         accepted accounting principles consistently applied, and, if
         applicable, on a consolidated basis."

All other terms and provisions of the Agreement, to the extent not inconsistent
with the foregoing, are ratified and remain unchanged and in full force and
effect.

IN WITNESS WHEREOF, Dealer and DFS executed this Addendum on this 12th day of
April 1999.

<PAGE>   59

                                    GUARANTY

TO:      DEUTSCHE FINANCIAL SERVICES CORPORATION

In consideration of financing provided or to be provided by you to Western
Traction Company ("Dealer"), and for other good and valuable consideration
received, we jointly, severally, unconditionally and absolutely guaranty to you,
from property held separately, jointly or in community, the immediate payment
when due of all current and future liabilities owed by Dealer to you, whether
such liabilities are direct, indirect or owed by Dealer to a third party and
acquired by you ("Liabilities"). We will pay you on demand the full amount of
all sums owed by Dealer to you, together with all costs and expenses (including,
without limitation, reasonable attorneys' fees). We also indemnify and hold you
harmless from and against all (a) losses, costs and expenses you incur and/or
are liable for (including, without limitation, reasonable attorneys' fees) and
(b) claims, actions and demands made by Dealer or any third party against you,
which in any way relate to any relationship or transaction between you and
Dealer.

Our guaranty will not be released, discharged or affected by, and we hereby
irrevocably consent to, any: (a) change in the manner, place, interest rate,
finance or other charges, or terms of payment or performance in any current or
future agreement between you and Dealer, the release, settlement or compromise
of or with any party liable for the payment or performance thereof or the
substitution, release, non-perfection, impairment, sale or other disposition of
any collateral thereunder; (b) change in Dealer's financial condition; (c)
interruption of relations between Dealer and you or us; (d) claim or action by
Dealer against you; and/or (e) increases or decreases in any credit you may
provide to Dealer. We will pay you even if you have not: (i) notified Dealer
that it is in default of the Liabilities, and/or that you intend to accelerate
or have accelerated the payment of all or any part of the Liabilities, or (ii)
exercised any of your rights or remedies against Dealer, any other person or any
current or future collateral. This Guaranty is assignable by you and will inure
to the benefit of your assignee. If Dealer hereafter undergoes any change in its
ownership, identity or organizational structure, this Guaranty will extend to
all current and future obligations which such new or changed legal entity owes
to you.

We irrevocably waive: notice of your acceptance of this Guaranty, presentment,
demand, protest, nonpayment, nonperformance, notice of breach or default, notice
of intent to accelerate and notice of acceleration of any indebtedness of
Dealer, any right of contribution from other guarantors, dishonor, the amount of
indebtedness of Dealer outstanding at any time, the number and amount of
advances made by you to Dealer in reliance on this Guaranty and any claim or
action against Dealer; all other demands and notices required by law; all rights
of offset and counterclaims against you or Dealer; all defenses to the
enforceability of this Guaranty (including, without limitation, fraudulent
inducement). We further waive all defenses based on suretyship or impairment of
collateral, and defenses which the Dealer may assert on the underlying debt,
including but not limited to, failure of consideration, breach of warranty,
fraud, payment, statute of frauds, bankruptcy, lack of legal capacity, statute
of limitations, lender liability, deceptive trade practices, accord and
satisfaction and usury. We also waive all rights to claim, arbitrate for or sue
for any punitive or exemplary damages.

                                       1
<PAGE>   60

In addition, we hereby irrevocably subordinate to you any and all of our present
and future rights and remedies: (a) of subrogation against Dealer to any of your
rights or remedies against Dealer, (b) of contribution, reimbursement,
indemnification and restoration from Dealer; and (c) to assert any other claim
or action against Dealer directly or indirectly relating to this Guaranty, such
subordinations to last until you have been paid in full for all Liabilities. All
of our waivers and subordinations herein will survive any termination of this
Guaranty.

We have made an independent investigation of the financial condition of Dealer
and give this Guaranty based on that investigation and not upon any
representation made by you. We have access to current and future Dealer
financial information which enables us to remain continuously informed of
Dealer's financial condition. We represent and warrant to you that we have
received and will receive substantial direct or indirect benefit by making this
Guaranty and incurring the Liabilities. We will provide you with financial
statements on us each year within ninety (90) days after the end of Dealer's
fiscal year end. We warrant and represent to you that all financial statements
and information relating to us or Dealer which have been or may hereafter be
delivered by us or Dealer to you are true and correct and have been and will be
prepared in accordance with generally accepted accounting principles
consistently applied and, with respect to previously delivered statements and
information, there has been no material adverse change in the financial or
business condition of us or Dealer since the submission to you, either as of the
date of delivery, or if different, the date specified therein, and we
acknowledge your reliance thereon. This Guaranty will survive any federal and/or
state bankruptcy or insolvency action involving Dealer. We are solvent and our
execution of this Guaranty will not make us insolvent. If you are required in
any action involving Dealer to return or rescind any payment made to or value
received by you from or for the account of Dealer, this Guaranty will remain in
full force and effect and will be automatically reinstated without any further
action by you and notwithstanding any termination of this Guaranty or your
release of us. Any delay or failure by you, or your successors or assigns, in
exercising any of your rights or remedies hereunder will not waive any such
rights or remedies. Oral agreements or commitments to loan money, extend credit
or to forbear from enforcing repayment of a debt including promises to extend or
renew such debt are not enforceable. To protect us and you from misunderstanding
or disappointment, any agreements we reach covering such matters are contained
in this writing, which is the complete and exclusive statement of the agreement
between us, except as specifically provided herein or as we may later agree in
writing to modify it. Notwithstanding anything herein to the contrary: (a) you
may rely on any facsimile copy, electronic data transmission or electronic data
storage of this Guaranty, any agreement between you and Dealer, any Statement of
Transaction, billing statement, invoice from a vendor, financial statements or
other report, and (b) such facsimile copy, electronic data transmission or
electronic data storage will be deemed an original, and the best evidence
thereof for all purposes, including, without limitation, under this Guaranty or
any other agreement between you and us, and for all evidentiary purposes before
any arbitrator, court or other adjudicatory authority. We may terminate this
Guaranty by a written notice to you, the termination to be effective sixty (60)
days after you receive and acknowledge it, but the termination will not
terminate our obligations hereunder for Liabilities arising prior to the
effective termination date. We have read and understood all terms and provisions
of this Guaranty. We acknowledge receipt of a true copy of this Guaranty and of
all agreements between you and Dealer. The meanings of all terms herein are
equally applicable to both the singular and plural forms of such terms.

                                       2
<PAGE>   61

BINDING ARBITRATION. Except as otherwise specified below, all actions, disputes,
claims and controversies under common law, statutory law or in equity of any
type or nature whatsoever (including, without limitation, all torts, whether
regarding negligence, breach of fiduciary duty, restraint of trade, fraud,
conversion, duress, interference, wrongful replevin, wrongful sequestration,
fraud in the inducement, usury or any other tort, all contract actions, whether
regarding express or implied terms, such as implied covenants of good faith,
fair dealing, and the commercial reasonableness of any collateral disposition,
or any other contract claim, all claims of deceptive trade practices or lender
liability, and all claims questioning the reasonableness or lawfulness of any
act), whether arising before or after the date of this Guaranty, and whether
directly or indirectly relating to this Guaranty and/or any amendments and
addenda hereto, or the breach, invalidity or termination hereof (collectively
the "Disputes"), will be subject to and resolved by binding arbitration.

All arbitration hereunder will be conducted in accordance with The Commercial
Arbitration Rules of The American Arbitration Association ("AAA"). If the AAA is
dissolved, disbanded or becomes subject to any state or federal bankruptcy or
insolvency proceeding, the parties will remain subject to binding arbitration
which will be conducted by a mutually agreeable arbitral forum. The parties
agree that all arbitrator(s) selected will be attorneys with at least five (5)
years secured transactions experience. The arbitrator(s) will decide if any
inconsistency exists between the rules of any applicable arbitral forum and the
arbitration provisions contained herein. If such inconsistency exists, the
arbitration provisions contained herein will control and supersede such rules.
The site of all arbitrations will be in the Division of the Federal Judicial
District in which AAA maintains a regional office that is closest to Dealer.

         Discovery permitted in any arbitration proceeding commenced hereunder
is limited as follows: No later than thirty (30) days after the filing of a
claim for arbitration, the parties will exchange detailed statements setting
forth the facts supporting the claim(s) and all defenses to be raised during the
arbitration, and a list of all exhibits and witnesses. No later than twenty-one
(21) days prior to the arbitration hearing, the parties will exchange a final
list of all exhibits and all witnesses, including any designation of any expert
witness(es) together with a summary of their testimony; a copy of all documents
and a detailed description of any property to be introduced at the hearing.
Under no circumstances will the use of interrogatories, requests for admission,
requests for the production of documents or the taking of depositions be
permitted. However, in the event of the designation of any expert witness(es),
the following will occur: (a) all information and documents relied upon by the
expert witness(es) will be delivered to the opposing party, (b) the opposing
party will be permitted to depose the expert witness(es), (c) the opposing party
will be permitted to designate rebuttal expert witness(es), and (d) the
arbitration hearing will be continued to the earliest possible date that enables
the foregoing limited discovery to be accomplished.

         The Arbitrator(s) will not have the authority to award exemplary or
punitive damages.

         All arbitration proceedings, including testimony or evidence at
hearings, will be kept

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<PAGE>   62

confidential, although any award or order rendered by the arbitrator(s) pursuant
to the terms of this Guaranty may be entered as a judgment or order in any state
or federal court and may be entered as a judgment or order within the federal
judicial district which includes the residence of the party against whom such
award or order was entered. This Guaranty concerns transactions involving
commerce among the several states. The Federal Arbitration Act ("FAA") will
govern all arbitration(s) and confirmation proceedings hereunder.

Nothing herein will be construed to prevent your or our use of bankruptcy,
receivership, injunction, repossession, replevin, claim and delivery,
sequestration, seizure, attachment, foreclosure, dation and/or any other
prejudgment or provisional action or remedy relating to any collateral for any
current or future debt owed by either party to the other. Any such action or
remedy will not waive your or our right to compel arbitration of any Dispute.

         If either we or you bring any other action for judicial relief with
respect to any Dispute (other than those set forth in the immediately preceding
paragraph), the party bringing such action will be liable for and immediately
pay all of the other party's costs and expenses (including attorneys' fees)
incurred to stay or dismiss such action and remove or refer such Dispute to
arbitration. If either we or you bring or appeal an action to vacate or modify
an arbitration award and such party does not prevail, such party will pay all
costs and expenses, including attorneys' fees, incurred by the other party in
defending such action. Additionally, if we sue you or institute any arbitration
claim or counterclaim against you in which you are the prevailing party, we will
pay all costs and expenses (including attorneys' fees) incurred by you in the
course of defending such action or proceeding.

         Any arbitration proceeding must be instituted: (a) with respect to any
Dispute for the collection of any debt owed by either party to the other, within
two (2) years after the date the last payment was received by the instituting
party; and (b) with respect to any other Dispute, within two (2) years after the
date the incident giving rise thereto occurred, whether or not any damage was
sustained or capable of ascertainment or either party knew of such incident.
Failure to institute an arbitration proceeding within such period will
constitute an absolute bar and waiver to the institution of any proceeding with
respect to such Dispute. Except as otherwise stated herein, all notices,
arbitration claims, responses, requests and documents will be sufficiently given
or served if mailed or delivered: (i) to us at our address below; (ii) to you at
655 Maryville Centre Drive, St. Louis, Missouri 63141-5832, Attention: General
Counsel; or such other address as the parties may specify from time to time in
writing.

         The agreement to arbitrate will survive the termination of this
Guaranty.

         IF THIS GUARANTY IS FOUND TO BE NOT SUBJECT TO ARBITRATION, ANY LEGAL
PROCEEDING WITH RESPECT TO ANY DISPUTE WILL BE TRIED IN A COURT OF COMPETENT
JURISDICTION BY A JUDGE WITHOUT A JURY. WE WAIVE ANY RIGHT TO A JURY TRIAL IN
ANY SUCH PROCEEDING.

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<PAGE>   63

We acknowledge and agree that this Guaranty and all agreements between Dealer
and you have been substantially negotiated, and will be performed, in the state
of Missouri. Accordingly, we agree that all Disputes will be governed by, and
construed in accordance with, the laws of such state, except to the extent
inconsistent with the provisions of the FAA which will control and govern all
arbitration proceedings hereunder.

THIS GUARANTY CONTAINS BINDING ARBITRATION, JURY WAIVER AND PUNITIVE DAMAGES
WAIVER PROVISIONS.

Date: October 26, 1998

                             SECRETARY'S CERTIFICATE

I hereby certify that I am the Secretary or Assistant Secretary of Crescent
Machinery Company ("Guarantor") and that execution of the above Guaranty was
ratified, approved and confirmed by the Shareholders at a meeting, if necessary,
and pursuant to a resolution of the Board of Directors of Guarantor at a meeting
of the Board of Directors duly called, and which is currently in effect, which
resolution was duly presented, seconded and adopted and read as follows:

"BE IT RESOLVED that any executive officer of this corporation is hereby
authorized to execute a guaranty of the obligations of Western Traction Company
("Dealer") to Deutsche Financial Services Corporation on behalf of the
corporation, which instrument may contain such terms as the above named persons
may see fit including, but not limited to a waiver of notice of the acceptance
of the guaranty; presentment; demand; protest; notices of nonpayment,
nonperformance, dishonor, the amount of indebtedness of Dealer outstanding at
any time, any legal proceedings Dealer, and any other demands and notices
required by law; and any right of ___________ from other guarantors * RIDER 1."

                                       5
<PAGE>   64

                                    RIDERS TO
                             SECRETARY'S CERTIFICATE
       DEUTSCHE FINANCIAL SERVICES CORPORATION/CRESCENT MACHINERY COMPANY

RIDER 1:

; provided, however, that, in the case of any such executive officer who is not
also an executive officer of Crescent Operating, Inc., a Delaware corporation,
such authorization is limited to one or more transactions having an aggregate
value of no greater than Five Hundred Thousand Dollars ($500,000.00).

                                       6
<PAGE>   65

                             COLLATERALIZED GUARANTY

TO:      DEUTSCHE FINANCIAL SERVICES CORPORATION ("DFS")

1. Guaranty and Indemnification. In consideration of financing provided or to be
provided by you to Crescent Machinery Company ("Dealer"), and for other good and
valuable consideration received, the undersigned (individually and/or
collectively "Guarantor") unconditionally and absolutely guaranty to DFS, from
property held separately, jointly or in community, the immediate payment when
due of all current and future liabilities owed by Dealer to DFS, whether such
liabilities are direct, indirect or owed by Dealer to a third party and acquired
by DFS ("Liabilities"). Guarantor will pay DFS on demand the full amount of all
sums owed by Dealer to DFS, together with all costs and expenses (including,
without limitation, reasonable attorneys fees). Guarantor also indemnifies and
holds DFS harmless from and against all (a) losses, costs and expenses DFS
incurs and/or is liable for (including, without limitation, reasonable
attorneys' fees) and (b) claims, actions and demands made by Dealer or any third
party against DFS; which in any way relate to any relationship or transaction
between DFS and Dealer.

2. Consents. This Guaranty will not be released, discharged or affected by, and
Guarantor hereby irrevocably consents to, any: (a) change in the manner, place,
interest rate, finance or other charges, or terms of payment or performance in
any current or future agreement between DFS and Dealer, the release, settlement
or compromise of or with any party liable for the payment or performance thereof
or the substitution, release, non-perfection, impairment, sale or other
disposition of any collateral thereunder; (b) change in Dealer's financial
condition; (c) interruption of relations between Dealer and DFS or Guarantor;
(d) claim or action by Dealer against DFS; and/or (e) increases or decreases in
any credit DFS may provide to Dealer.

3. Unconditional Obligations. Guarantor will pay DFS even if DFS has not: (a)
notified Dealer that it is in default of the Liabilities, and/or that DFS
intends to accelerate or has accelerated the payment of all or any part of the
Liabilities, or (b) exercised any of DFS' rights or remedies against Dealer, any
other person or any current or future collateral. If Dealer hereafter undergoes
any change in its ownership, identity or organizational structure, this Guaranty
will extend to all current and future obligations which such new or changed
legal entity owes to DFS.

4. Waivers. Guarantor irrevocably waives: notice of DFS' acceptance of this
Guaranty, presentment, demand, protest, nonpayment, nonperformance, notice of
breach or default, notice of intent to accelerate and notice of acceleration of
any indebtedness of Dealer, any right of contribution from other guarantors,
dishonor, the amount of indebtedness of Dealer outstanding at any time, the
number and amount of advances made by DFS to Dealer in reliance on this Guaranty
and any claim or action against Dealer; all other demands and notices required
by law; all rights of offset and counterclaims against DFS or Dealer; all
defenses to the enforceability of this Guaranty (including, without limitation,
fraudulent inducement). Guarantor further waives all defenses based on
suretyship or impairment of collateral, and defenses which the Dealer may assert
on the underlying debt, including but not limited to, failure of consideration,
breach of warranty, fraud, payment,

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<PAGE>   66

statute of frauds, bankruptcy, lack of legal capacity, statute of limitations,
lender liability, deceptive trade practices, accord and satisfaction and usury.
Guarantor also waives all rights to claim, arbitrate for or sue for any punitive
or exemplary damages. In addition, Guarantor hereby irrevocably subordinates to
DFS any and all of Guarantor's present and future rights and remedies: (a) of
subrogation against Dealer to any of DFS' rights or remedies against Dealer, (b)
of contribution, reimbursement, indemnification and restoration from Dealer; and
(c) to assert any other claim or action against Dealer directly or indirectly
relating to this Guaranty, such subordinations to last until DFS has been paid
in full for all Liabilities. All of Guarantor's waivers and subordinations
herein will survive any termination of this Guaranty.

5. Warranties and Representations. Guarantor has made an independent
investigation of the financial condition of Dealer and gives this Guaranty based
on that investigation and not upon any representation made by DFS. Guarantor has
access to current and future Dealer financial information which enables
Guarantor to remain continuously informed of Dealer's financial condition.
Guarantor represents and warrants to DFS that Guarantor has received and will
receive substantial direct or indirect benefit by making this Guaranty and
incurring the Liabilities. Guarantor also represents and warrants to DFS that
Guarantor is solvent and Guarantor's execution of this Guaranty will not make
Guarantor insolvent. Guarantor further represents and warrants to DFS that: (a)
the present fair salable value of Guarantor's assets is greater than the amount
required to pay Guarantor's liabilities (including contingent, subordinated,
unmatured and unliquidated liabilities); (b) Guarantor is able to pay all of its
liabilities (including contingent, subordinated, unmatured and unliquidated
liabilities) as they become absolute and matured; and (c) Guarantor does not
have unreasonably small capital.

6. Grant of Security Interest. To secure payment of all Liabilities and all of
Guarantor's current and future debts to DFS, whether under this Guaranty or any
current or future guaranty or other agreement, Guarantor grants DFS a security
interest in all of Guarantor's (1) new and used inventory and equipment which is
financed by DFS for, or against which DFS has loaned monies to, Guarantor or
Dealer or any of their subsidiaries or affiliated companies, whether now owned
or hereafter acquired and whether or not transferred among such entities or any
of their subsidiaries or affiliated companies, and (2) all accounts, contract
rights, chattel paper, security agreements, deposit accounts, reserves,
documents, general intangibles and instruments arising from the sale, lease,
rental or other disposition of all such inventory and equipment, and all
judgments, claims, insurance policies and payments owed or made to Guarantor
thereon, and all attachments, accessories, accessions, substitutions and
replacements thereto and all cash and non-cash proceeds of all of the foregoing.
All such assets are collectively referred to herein as the "Collateral." All of
such terms for which meanings are provided in the Uniform Commercial Code of the
applicable state are used herein with such meanings. All Collateral financed by
DFS for Dealer or Guarantor, and all proceeds thereof, will be held in trust by
Guarantor for DFS.

7. Additional Warranties and Representations. Guarantor warrants and represents
to DFS that: (a) Guarantor has good title to all Collateral; (b) DFS' security
interest in the Collateral financed by DFS for Dealer or Guarantor is not now
and will not become subordinate to the security interest, lien, encumbrance or
claim of any person; (c) Guarantor will execute all documents DFS requests to

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<PAGE>   67

perfect and maintain DFS' security interest in the Collateral; (d) Guarantor
will deliver to DFS immediately upon each request, and DFS may retain, each
Certificate of Title or Statement of Origin issued for Collateral financed by
DFS for Dealer or Guarantor; (e) Guarantor will at all times be duly organized,
existing, in good standing, qualified and licensed to do business in each state,
county, or parish, in which the nature of its business or property so requires;
(f) Guarantor has the right and is duly authorized to enter into this Guaranty;
(g) Guarantor's execution of this Guaranty does not constitute a breach of any
agreement to which Guarantor is now or hereafter becomes bound; (h) there are
and will be no actions or proceedings pending or threatened against Guarantor
which might result in any material adverse change in Guarantor's financial or
business condition or which might in any way adversely affect any of Guarantor's
assets; (i) Guarantor will maintain the Collateral in good condition and repair;
(j) Guarantor has duly filed and will duly file all tax returns required by law;
(k) Guarantor has paid and will pay when due all taxes, levies, assessments and
governmental charges of any nature; (I) Guarantor will keep and maintain all of
its books and records pertaining to the Collateral at its principal place of
business designated below; (m) Guarantor will promptly supply DFS with such
information concerning it as DFS hereafter may reasonably request; (n) all
Collateral will be kept at Dealer's principal place of business or Guarantor's
place of business listed below, and such other locations, if any, of which
Dealer or Guarantor has notified DFS in writing or as listed on any current or
future Exhibit "A" attached to any Agreement for Wholesale Financing or security
agreement between Dealer and DFS or this Guaranty which written notice(s) to DFS
and Exhibit A(s) are incorporated herein by reference; (o) Guarantor will give
DFS thirty (30) days prior written notice of any change in Guarantor's identity,
name, form of business organization, ownership, management, principal place of
business, Collateral locations or other business locations, and before moving
any books and records to any other location; (p) Guarantor will observe and
perform all matters required by any lease, license, concession or franchise
forming part of the Collateral in order to maintain all the rights of DFS
thereunder; (q) Guarantor will advise DFS of the commencement of material legal
proceedings against Dealer or Guarantor; and (r) Guarantor will comply with all
applicable laws and will conduct its business in a manner which preserves and
protects the Collateral and the earnings and incomes thereof.

8. Negative Covenants. Guarantor will not at any time (without DFS' prior
written consent): (a) other than in the ordinary course of its business, sell,
lease or otherwise dispose of or transfer any of its assets; (b) rent, lease,
demonstrate, consign, or use any Collateral financed by DFS for Dealer or
Guarantor; or (c) merge or consolidate with another entity.

9. Insurance. Guarantor will immediately notify DFS of any loss, theft or damage
to any Collateral. Guarantor will keep the Collateral insured for its full
insurable value under an "all risk" property insurance policy with a company
acceptable to DFS, naming DFS as a lender loss-payee and containing standard
lender's loss payable and termination provisions. Guarantor will provide DFS
with written evidence of such property insurance coverage and lender's
loss-payee endorsement.

10. Financial Statements. Guarantor will provide DFS with financial statements
on it each year within ninety (90) days after the end of Dealer's fiscal year
end. Guarantor warrants and represents

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<PAGE>   68
to DFS that all financial statements and information relating to Guarantor or
Dealer which have been or may hereafter be delivered by Guarantor or Dealer to
DFS are true and correct and have been and will be prepared in accordance with
generally accepted accounting principles consistently applied and, with respect
to previously delivered statements and information, there has been no material
adverse change in the financial or business condition of Guarantor or Dealer
since the submission to DFS, either as of the date of delivery, or if different,
the date specified therein, and Guarantor acknowledges DFS' reliance thereon.

11. Reviews. Guarantor grants DFS an irrevocable license to enter Guarantor's
business locations during normal business hours without notice to Guarantor to:
(a) account for and inspect all Collateral; (b) verify Guarantor's compliance
with this Guaranty; and (c) examine and copy Guarantor's books and records
related to the Collateral.

12. Default. Guarantor will be in default under this Guaranty if: (a) Dealer
breaches any terms, warranties or representations contained in any Agreement for
Wholesale Financing, in any Statement of Transaction to which Dealer has not
objected, or in any other agreement between DFS and Dealer; (b) Guarantor
breaches any terms, warranties or representations contained herein or in any
other agreement between Guarantor and DFS; (c) any representation, statement,
report or certificate made or delivered by Dealer or Guarantor to DFS is not
accurate when made; (d) Dealer fails to pay any portion of Dealer's debts to DFS
when due and payable under any agreement between DFS and Dealer; (e) Guarantor
fails to pay any portion of Guarantor's debts to DFS when due and payable under
any agreement between DFS and Guarantor; (f) Dealer or Guarantor abandons any
Collateral; (g) Dealer or Guarantor is or becomes in default in the payment of
any debt owed to any third party; (h) a money judgment issues against Dealer or
Guarantor; (i) an attachment, sale or seizure issues or is executed against any
assets of Dealer or Guarantor; (j) Guarantor dies if Guarantor is an individual,
any general partner dies while Guarantor is a general or limited partnership, or
any member dies while Guarantor is a limited liability company, as applicable;
(k) Dealer or Guarantor shall cease existence as a corporation, partnership,
limited liability company or trust, as applicable; (l) Dealer or Guarantor
ceases or suspends business; (m) Dealer, Guarantor or any member while Dealer or
Guarantor is a limited liability company, as applicable, makes a general
assignment for the benefit of creditors; (n) Dealer, Guarantor or any member
while Dealer or Guarantor is a limited liability company, as applicable, becomes
insolvent or voluntarily or involuntarily becomes subject to the Federal
Bankruptcy Code, any state insolvency law or any similar law; (o) any receiver
is appointed for any assets of Dealer, Guarantor or any member while Dealer or
Guarantor is a limited liability company, as applicable; (p) this Guaranty or
any other guaranty of Dealer's debts to DFS is terminated; (q) Dealer or
Guarantor loses any franchise, permission, license or right to sell or deal in
any Collateral which DFS finances for Dealer or Guarantor; (r) Dealer or
Guarantor misrepresents their respective financial condition or organizational
structure; or (5) DFS determines in good faith that it is insecure with respect
to any of the Collateral or the payment of any part of Dealer's or Guarantor's
obligation to DFS.

                                       4
<PAGE>   69

13. Rights of DFS Upon Default. In the event of a default:

         (a)      DFS may at any time at DFS' election, without notice or demand
                  to Dealer or Guarantor, do any one or more of the following:
                  declare all or any part of the debt Guarantor owes DFS,
                  whether contingent or noncontingent and whether arising
                  hereunder or under any other agreement between Guarantor and
                  DFS, immediately due and payable, together with all costs and
                  expenses of DFS' collection activity, including, without
                  limitation, all reasonable attorneys' fees; exercise any or
                  all rights under applicable law (including, without
                  limitation, the right to possess, transfer and dispose of the
                  Collateral); and/or cease extending any additional credit to
                  Guarantor, if applicable, or Dealer (DFS' right to cease
                  extending credit shall not be construed to limit the
                  discretionary nature of any credit facility)

         (b)      Guarantor will segregate and keep the Collateral in trust for
                  DFS, and in good order and repair, and will not sell, rent,
                  lease, consign, otherwise dispose of or use any Collateral,
                  nor further encumber any Collateral.

         (c)      Upon DFS' oral or written demand, Guarantor will immediately
                  deliver the Collateral to DFS, in good order and repair, at a
                  place specified by DFS, together with all related documents;
                  or DFS may, in DFS' sole discretion and without notice or
                  demand to Guarantor, take immediate possession of the
                  Collateral together with all related documents.

                  All of DFS' rights and remedies are cumulative. DFS' failure
                  to exercise any of DFS' rights or remedies hereunder will not
                  waive any of DFS' rights or remedies as to any past, current
                  or future default.

14. Sale of Collateral. Guarantor agrees that if DFS conducts a private sale of
any Collateral by requesting bids from 10 or more dealers or distributors in
that type of Collateral, any sale by DFS of such Collateral in bulk or in
parcels within 120 days of: (a) DFS' taking possession and control of such
Collateral; or (b) when DFS is otherwise authorized to sell such Collateral;
whichever occurs last, to the bidder submitting the highest cash bid therefor,
is a commercially reasonable sale of such Collateral under the Uniform
Commercial Code. Guarantor agrees that the purchase of any Collateral by a
vendor, as provided in any agreement between DFS and the vendor, is a
commercially reasonable disposition and private sale of such Collateral under
the Uniform Commercial Code, and no request for bids shall be required.
Guarantor further agrees that 7 or more days prior written notice will be
commercially reasonable notice of any public or private sale (including any sale
to a Vendor). Guarantor irrevocably waives any requirement that DFS retain
possession and not dispose of any Collateral until after an arbitration hearing,
arbitration award, confirmation, trial or final judgment. If DFS disposes of any
such Collateral other than as herein contemplated, the commercial reasonableness
of such disposition will be determined in accordance with the laws of the state
governing this Guaranty.

15. Power of Attorney. Guarantor grants DFS an irrevocable power of attorney to:
execute or endorse on Guarantor's behalf any checks, financing statements,
instruments, Certificates of Title and Statements of Origin pertaining to the
Collateral; supply any omitted information and correct errors in any documents
between DFS and Guarantor; initiate and settle any insurance claim pertaining to
the Collateral; and do anything to preserve and protect the Collateral and DFS'
rights and interest therein.

                                       5
<PAGE>   70

16. Termination. Guarantor may terminate this Guaranty by a written notice to
DFS, the termination to be effective sixty (60) days after DFS receives and
acknowledges it, but the termination will not terminate Guarantor's obligations
hereunder for Liabilities arising prior to the effective termination date.

17. Binding Effect. Guarantor cannot assign this Guaranty without DFS' prior
written consent, although DFS may assign its interest herein without notice to,
or consent from, Guarantor. This Guaranty will protect and bind DFS' and
Guarantor's respective heirs, representatives, Successors and assigns.

18. Notices. Except as otherwise stated herein, all notices, arbitration claims,
responses, requests and documents will be sufficiently given or served if mailed
or delivered: (a) to Guarantor at its address below; (b) to DFS at 655 Maryville
Centre Drive, St. Louis, Missouri 63141-5832, Attention: General Counsel; or
such other address as the parties may specify from time to time in writing.

19. Severability. If any provision of this Guaranty or its application is
invalid or unenforceable, the remainder of this Guaranty will not be impaired or
affected and will remain binding and enforceable.

20. Supplement. If Guarantor and DFS have heretofore executed other guaranties
or agreements in connection with all or any part of the Collateral, this
Guaranty shall supplement each and every other such guaranty and agreement
previously executed by and between Guarantor and DFS, and in that event this
Guaranty shall neither be deemed a novation nor a termination of such previously
executed guaranty or agreement nor shall execution of this Guaranty be deemed a
satisfaction of any obligation secured by such previously executed guaranty or
agreement.

21. Receipt of Guaranty. Guarantor has read and understood all terms and
provisions of this Guaranty. Guarantor acknowledges receipt of a true copy of
this Guaranty and of all agreements between DFS and Dealer. The meanings of all
terms herein are equally applicable to both the singular and plural forms of
such terms. Notwithstanding anything herein to the contrary: (a) DFS may rely on
any facsimile copy, electronic data transmission or electronic data storage of
this Guaranty, any agreement between DFS and Dealer, any Statement of
Transaction, billing statement, invoice from a vendor, financial statements or
other report, and (b) such facsimile copy, electronic data transmission or
electronic data storage will be deemed an original, and the best evidence
thereof for all purposes, including, without limitation, under this Guaranty or
any other agreement between DFS and Guarantor, and for all evidentiary purposes
before any arbitrator, court or other adjudicatory authority.

22. NO ORAL AGREEMENTS. Oral agreements or commitments to loan money, extend
credit or to forbear from enforcing repayment of a debt including promises to
extend or renew such debt

                                       6
<PAGE>   71

are not enforceable. To protect Guarantor and DFS from misunderstanding or
disappointment, any agreements Guarantor and DFS or Dealer and DFS reach
covering such matters are contained in this Guaranty, an Agreement for Wholesale
Financing, or another agreement between Guarantor and DFS or between Dealer and
DFS, which agreement(s) is (are) the complete and exclusive statement of the
agreement between Guarantor and DFS and between Dealer and DFS, except as
specifically provided herein, in such other agreement(s) or as Guarantor and DFS
or Dealer and DFS may later agree in writing.

23. Miscellaneous. This Guaranty will survive any federal and/or state
bankruptcy or insolvency action involving Dealer. If DFS is required in any
action involving Dealer to return or rescind any payment made to or value
received by DFS from or for the account of Dealer, this Guaranty will remain in
full force and effect and will be automatically reinstated without any further
action by DFS and notwithstanding any termination of this Guaranty or DFS'
release of Guarantor. Any delay or failure by DFS, or DFS' successors or
assigns, in exercising any of DFS' rights or remedies hereunder will not waive
any such rights or remedies. If Guarantor fails to pay any taxes, fees or other
obligations which may impair DFS' interest in the Collateral, or fails to keep
the Collateral insured, DFS may, but shall not be required to, pay such taxes,
fees or obligations and pay the cost to insure the Collateral, and the amounts
paid will be: (a) an additional debt directly owed by Guarantor to DFS, which
shall be subject to finance charges at the highest rate allowed by law; and (b)
due and payable immediately in full. Guarantor agrees to pay all of DFS'
reasonable attorneys fees and expenses incurred by DFS in enforcing DFS' rights
hereunder. The Section titles used in this Guaranty are for convenience only and
do not define or limit the contents of any Section.

24. BINDING ARBITRATION.

         24.1 Arbitrable Claims. Except as otherwise specified below, all
actions, disputes, claims and Controversies under common law, statutory law or
in equity of any type or nature whatsoever (including, without limitation, all
torts, whether regarding negligence, breach of fiduciary duty, restraint of
trade, fraud, conversion, duress, interference, wrongful replevin, wrongful
sequestration, fraud in the inducement, usury or any other tort, all contract
actions, whether regarding express or implied terms, such as implied covenants
of good faith, fair dealing, and the commercial reasonableness of any collateral
disposition, or any other contract claim, all claims of deceptive trade
practices or lender liability, and all claims questioning the reasonableness or
lawfulness of any act), whether arising before or after the date of this
Guaranty, and whether directly or indirectly relating to: (a) this Guaranty
and/or any amendments and addenda hereto, or the breach, invalidity or
termination hereof; (b) any previous or subsequent agreement between DFS and us;
(c) any act committed by DFS or by any parent company, subsidiary or affiliated
company of DFS (the "DFS Companies"), or by an employee, agent, officer or
director of a DFS Company, whether or not arising within the scope and course of
employment or other contractual representation of the DFS Companies provided
that such act arises under a relationship, transaction or dealing between DFS
and Dealer or DFS and Guarantor; and/or (d) any other relationship, transaction,
dealing or agreement between DFS and Dealer or DFS and Guarantor (collectively
the "Disputes"), will be subject to and resolved by binding arbitration.

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<PAGE>   72

         24.2 Administrative Body. All arbitration hereunder will be conducted
in accordance with The Commercial Arbitration Rules of The American Arbitration
Association ("AAA"). If the AAA is dissolved, disbanded or becomes subject to
any state or federal bankruptcy or insolvency proceeding, the parties will
remain subject to binding arbitration which will be conducted by a mutually
agreeable arbitral forum. The parties agree that all arbitrator('s) selected
will be attorneys with at least five (5) years secured transactions experience.
The arbitrator(s) will decide if any inconsistency exists between the rules of
any applicable arbitral forum and the arbitration provisions contained herein.
If such inconsistency exists, the arbitration provisions contained herein will
control and supersede such rules. The site of all arbitrations will be in the
Division of the Federal Judicial District in which AAA maintains a regional
office that is closest to Dealer.

         24.3 Discovery. Discovery permitted in any arbitration proceeding
commenced hereunder is limited as follows: No later than thirty (30) days after
the filing of a claim for arbitration, the parties will exchange detailed
statements setting forth the facts supporting the claim(s) and all defenses to
be raised during the arbitration, and a list of all exhibits and witnesses. No
later than twenty-one (21) days prior to the arbitration hearing, the parties
will exchange a final list of all exhibits and all witnesses, including any
designation of any expert witness(es) together with a summary of their
testimony; a copy of all documents and a detailed description of any property to
be introduced at the hearing. Under no circumstances will the use of
interrogatories, requests for admission, requests for the production of
documents or the taking of depositions be permitted. However, in the event of
the designation of any expert witness(es), the following will occur: (a) all
information and documents relied upon by the expert witness(es) will be
delivered to the opposing party, (b) the opposing party will be permitted to
depose the expert witness(es), (c) the opposing party will be permitted to
designate rebuttal expert witness(es), and (d) the arbitration hearing will be
continued to the earliest possible date that enables the foregoing limited
discovery to be accomplished.

         24.4 Exemplary or Punitive Damages. The Arbitrator(s) will not have the
authority to award exemplary or punitive damages.

         24.5 Confidentiality of Awards. All arbitration proceedings, including
testimony or evidence at hearings, will be kept confidential, although any award
or order rendered by the arbitrator(s) pursuant to the terms of this Guaranty
may be entered as a judgment or order in any state or federal court and may be
entered as a judgment or order within the federal judicial district which
includes the residence of the party against whom such award or order was
entered. This Guaranty concerns transactions involving commerce among the
several states. The Federal Arbitration Act ("FAA") will govern all
arbitration(s) and confirmation proceedings hereunder.

         24.6 Prejudgment and Provisional Remedies. Nothing herein will be
Construed to prevent DFS' or Guarantor's use of bankruptcy, receivership,
injunction, repossession, replevin, claim and delivery, sequestration, seizure,
attachment, foreclosure, dation and/or any other prejudgment or provisional
action or remedy relating to any collateral for any current or future debt owed
by either party to the other. Any such action or remedy will not waive DFS' or
Guarantor's right to compel arbitration of any Dispute.

                                       8
<PAGE>   73

         24.7 Attorneys' Fees. If either Guarantor or DFS bring any other action
for judicial relief with respect to any Dispute (other than those set forth in
the immediately preceding paragraph), the party bringing such action will be
liable for and immediately pay all of the other party's costs and expenses
(including attorneys' fees). incurred to stay or dismiss such action and remove
or refer such Dispute to arbitration. If either Guarantor or DFS bring or appeal
an action to vacate or modify an arbitration award and such party does not
prevail, such party will pay all costs and expenses, including attorneys' fees,
incurred by the other party in defending such action. Additionally, if Guarantor
sues DFS or institutes any arbitration claim or counterclaim against DFS in
which DFS is the prevailing party, Guarantor will pay all costs and expenses
(including attorneys' fees) incurred by DFS in the course of defending such
action or proceeding.

         24.8 Limitations. Any arbitration proceeding must be instituted: (a)
with respect to any Dispute for the collection of any debt owed by either party
to the other, within two (2) years after the date the last payment was received
by the instituting party; and (b) with respect to any other Dispute, within two
(2) years after the date the incident giving rise thereto occurred, whether or
not any damage was sustained or capable of ascertainment or either party knew of
such incident. Failure to institute an arbitration proceeding within such period
will constitute an absolute bar and waiver to the institution of any proceeding
with respect to such Dispute.

         24.9 Survival After Termination. The agreement to arbitrate will
survive the termination of this Guaranty.

25. INVALIDITY/UNENFORCEABILITY OF BINDING ARBITRATION. IF THIS GUARANTY IS
FOUND TO BE NOT SUBJECT TO ARBITRATION, ANY LEGAL PROCEEDING WITH RESPECT TO ANY
DISPUTE WILL BE TRIED IN A COURT OF COMPETENT JURISDICTION BY A JUDGE WITHOUT A
JURY. DFS AND GUARANTOR WAIVE ANY RIGHT TO A JURY TRIAL IN ANY SUCH PROCEEDING.

26. Governing Law. Guarantor acknowledges and agrees that this Guaranty and all
agreements between Dealer and DFS have been substantially negotiated, and will
be performed, in the state of Missouri. Accordingly, Guarantor agrees that all
Disputes will be governed by, and construed in accordance with, the laws of such
state, except to the extent inconsistent with the provisions of the FAA which
will control and govern all arbitration proceedings herein.

THIS CONTRACT CONTAINS BINDING ARBITRATION, JURY WAIVER AND PUNITIVE DAMAGE
WAIVER PROVISIONS.

Date: April 12, 1999

                                       9
<PAGE>   74

                            "SECRETARY'S CERTIFICATE

I hereby certify that I am the Secretary or Assistant Secretary of Harvey
Equipment Center, Inc. ("Guarantor") and that execution of the above Guaranty
was ratified, approved and confirmed by the Shareholders at a meeting, if
necessary, and pursuant to a resolution of the Board of Directors of Guarantor
at a meeting of the Board of Directors duly called, and which is currently in
effect, which resolution was duly presented, seconded and adopted and reads as
follows:

"BE IT RESOLVED that any officer of this corporation is hereby authorized to
execute a guaranty of the obligations of Crescent Machinery Company ("Dealer")
to Deutsche Financial Services Corporation ("DFS") on behalf of the corporation,
which instrument may contain such terms as the above named persons may see fit
including, but not limited to a waiver of notice of the acceptance of the
guaranty; presentment; demand; protest; notices of nonpayment, nonperformance,
dishonor, the amount of indebtedness of Dealer outstanding at any time, any
legal proceedings against Dealer, and any other demands and notices required by
law; and any right of contribution from other guarantors. As security for such
guaranty to DFS, any officer of this corporation is hereby authorized to pledge,
assign, mortgage, grant security interests, and otherwise transfer to DFS as
collateral security for any obligations of this corporation to DFS, whenever and
however arising, any assets of this corporation, whether now owned or hereafter
acquired."

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the corporate seal
on this 12th day of April, 1999.

                                       10
<PAGE>   75

                             COLLATERALIZED GUARANTY

TO:      DEUTSCHE FINANCIAL SERVICES CORPORATION ("DFS")

1. Guaranty and Indemnification. In consideration of financing provided or to be
provided by you to Harvey Equipment Center, Inc. ("Dealer"), and for other good
and valuable consideration received, the undersigned (individually and/or
collectively "Guarantor") unconditionally and absolutely guaranty to DFS, from
property held separately, jointly or in community, the immediate payment when
due of all current and future liabilities owed by Dealer to DFS, whether such
liabilities are direct, indirect or owed by Dealer to a third party and acquired
by DFS ("Liabilities"). Guarantor will pay DFS on demand the full amount of all
sums owed by Dealer to DFS, together with all costs and expenses (including,
without limitation, reasonable attorneys fees). Guarantor also indemnifies and
holds DFS harmless from and against all (a) losses, costs and expenses DFS
incurs and/or is liable for (including, without limitation, reasonable
attorneys' fees) and (b) claims, actions and demands made by Dealer or any third
party against DFS; which in any way relate to any relationship or transaction
between DFS and Dealer.

2. Consents. This Guaranty will not be released, discharged or affected by, and
Guarantor hereby irrevocably consents to, any: (a) change in the manner, place,
interest rate, finance or other charges, or terms of payment or performance in
any current or future agreement between DFS and Dealer, the release, settlement
or compromise of or with any party liable for the payment or performance thereof
or the substitution, release, non-perfection, impairment, sale or other
disposition of any collateral thereunder; (b) change in Dealer's financial
condition; (c) interruption of relations between Dealer and DFS or Guarantor;
(d) claim or action by Dealer against DFS; and/or (e) increases or decreases in
any credit DFS may provide to Dealer.

3. Unconditional Obligations. Guarantor will pay DFS even if DFS has not: (a)
notified Dealer that it is in default of the Liabilities, and/or that DFS
intends to accelerate or has accelerated the payment of all or any part of the
Liabilities, or (b) exercised any of DFS' rights or remedies against Dealer, any
other person or any current or future collateral. If Dealer hereafter undergoes
any change in its ownership, identity or organizational structure, this Guaranty
will extend to all current and future obligations which such new or changed
legal entity owes to DFS.

4. Waivers. Guarantor irrevocably waives: notice of DFS' acceptance of this
Guaranty, presentment, demand, protest, nonpayment, nonperformance, notice of
breach or default, notice of intent to accelerate and notice of acceleration of
any indebtedness of Dealer, any right of contribution from other guarantors,
dishonor, the amount of indebtedness of Dealer outstanding at any time, the
number and amount of advances made by DFS to Dealer in reliance on this Guaranty
and any claim or action against Dealer; all other demands and notices required
by law; all rights of offset and counterclaims against DFS or Dealer; all
defenses to the enforceability of this Guaranty (including, without limitation,
fraudulent inducement). Guarantor further waives all defenses based on
suretyship or impairment of collateral, and defenses which the Dealer may assert
on the underlying debt, including but not limited to, failure of consideration,
breach of warranty, fraud, payment,

                                       1
<PAGE>   76

statute of frauds, bankruptcy, lack of legal capacity, statute of limitations,
lender liability, deceptive trade practices, accord and satisfaction and usury.
Guarantor also waives all rights to claim, arbitrate for or sue for any punitive
or exemplary damages. In addition, Guarantor hereby irrevocably subordinates to
DFS any and all of Guarantor's present and future rights and remedies: (a) of
subrogation against Dealer to any of DFS' rights or remedies against Dealer, (b)
of contribution, reimbursement, indemnification and restoration from Dealer; and
(c) to assert any other claim or action against Dealer directly or indirectly
relating to this Guaranty, such subordinations to last until DFS has been paid
in full for all Liabilities. All of Guarantor's waivers and subordinations
herein will survive any termination of this Guaranty.

5. Warranties and Representations. Guarantor has made an independent
investigation of the financial condition of Dealer and gives this Guaranty based
on that investigation and not upon any representation made by DFS. Guarantor has
access to current and future Dealer financial information which enables
Guarantor to remain continuously informed of Dealer's financial condition.
Guarantor represents and warrants to DFS that Guarantor has received and will
receive substantial direct or indirect benefit by making this Guaranty and
incurring the Liabilities. Guarantor also represents and warrants to DFS that
Guarantor is solvent and Guarantor's execution of this Guaranty will not make
Guarantor insolvent. Guarantor further represents and warrants to DFS that: (a)
the present fair salable value of Guarantor's assets is greater than the amount
required to pay Guarantor's liabilities (including contingent, subordinated,
unmatured and unliquidated liabilities); (b) Guarantor is able to pay all of its
liabilities (including contingent, subordinated, unmatured and unliquidated
liabilities) as they become absolute and matured; and (c) Guarantor does not
have unreasonably small capital.

6. Grant of Security Interest. To secure payment of all Liabilities and all of
Guarantor's current and future debts to DFS, whether under this Guaranty or any
current or future guaranty or other agreement, Guarantor grants DFS a security
interest in all of Guarantor's (1) new and used inventory and equipment which is
financed by DFS for, or against which DFS has loaned monies to, Guarantor or
Dealer or any of their subsidiaries or affiliated companies, whether now owned
or hereafter acquired and whether or not transferred among such entities or any
of their subsidiaries or affiliated companies, and (2) all accounts, contract
rights, chattel paper, security agreements, deposit accounts, reserves,
documents, general intangibles and instruments arising from the sale, lease,
rental or other disposition of all such inventory and equipment, and all
judgments, claims, insurance policies and payments owed or made to Guarantor
thereon, and all attachments, accessories, accessions, substitutions and
replacements thereto and all cash and non-cash proceeds of all of the foregoing.
All such assets are collectively referred to herein as the "Collateral." All of
such terms for which meanings are provided in the Uniform Commercial Code of the
applicable state are used herein with such meanings. All Collateral financed by
DFS for Dealer or Guarantor, and all proceeds thereof, will be held in trust by
Guarantor for DFS.

7. Additional Warranties and Representations. Guarantor warrants and represents
to DFS that: (a) Guarantor has good title to all Collateral; (b) DFS' security
interest in the Collateral financed by DFS for Dealer or Guarantor is not now
and will not become subordinate to the security interest, lien, encumbrance or
claim of any person; (c) Guarantor will execute all documents DFS requests to

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<PAGE>   77

perfect and maintain DFS' security interest in the Collateral; (d) Guarantor
will deliver to DFS immediately upon each request, and DFS may retain, each
Certificate of Title or Statement of Origin issued for Collateral financed by
DFS for Dealer or Guarantor; (e) Guarantor will at all times be duly organized,
existing, in good standing, qualified and licensed to do business in each state,
county, or parish, in which the nature of its business or property so requires;
(f) Guarantor has the right and is duly authorized to enter into this Guaranty;
(g) Guarantor's execution of this Guaranty does not constitute a breach of any
agreement to which Guarantor is now or hereafter becomes bound; (h) there are
and will be no actions or proceedings pending or threatened against Guarantor
which might result in any material adverse change in Guarantor's financial or
business condition or which might in any way adversely affect any of Guarantor's
assets; (i) Guarantor will maintain the Collateral in good condition and repair;
(j) Guarantor has duly filed and will duly file all tax returns required by law;
(k) Guarantor has paid and will pay when due all taxes, levies, assessments and
governmental charges of any nature; (I) Guarantor will keep and maintain all of
its books and records pertaining to the Collateral at its principal place of
business designated below; (m) Guarantor will promptly supply DFS with such
information concerning it as DFS hereafter may reasonably request; (n) all
Collateral will be kept at Dealer's principal place of business or Guarantor's
place of business listed below, and such other locations, if any, of which
Dealer or Guarantor has notified DFS in writing or as listed on any current or
future Exhibit "A" attached to any Agreement for Wholesale Financing or security
agreement between Dealer and DFS or this Guaranty which written notice(s) to DFS
and Exhibit A(s) are incorporated herein by reference; (o) Guarantor will give
DFS thirty (30) days prior written notice of any change in Guarantor's identity,
name, form of business organization, ownership, management, principal place of
business, Collateral locations or other business locations, and before moving
any books and records to any other location; (p) Guarantor will observe and
perform all matters required by any lease, license, concession or franchise
forming part of the Collateral in order to maintain all the rights of DFS
thereunder; (q) Guarantor will advise DFS of the commencement of material legal
proceedings against Dealer or Guarantor; and (r) Guarantor will comply with all
applicable laws and will conduct its business in a manner which preserves and
protects the Collateral and the earnings and incomes thereof.

8. Negative Covenants. Guarantor will not at any time (without DFS' prior
written consent): (a) other than in the ordinary course of its business, sell,
lease or otherwise dispose of or transfer any of its assets; (b) rent, lease,
demonstrate, consign, or use any Collateral financed by DFS for Dealer or
Guarantor; or (c) merge or consolidate with another entity.

9. Insurance. Guarantor will immediately notify DFS of any loss, theft or damage
to any Collateral. Guarantor will keep the Collateral insured for its full
insurable value under an "all risk" property insurance policy with a company
acceptable to DFS, naming DFS as a lender loss-payee and containing standard
lender's loss payable and termination provisions. Guarantor will provide DFS
with written evidence of such property insurance coverage and lender's
loss-payee endorsement.

10. Financial Statements. Guarantor will provide DFS with financial statements
on it each year within ninety (90) days after the end of Dealer's fiscal year
end. Guarantor warrants and represents

                                       3
<PAGE>   78
to DFS that all financial statements and information relating to Guarantor or
Dealer which have been or may hereafter be delivered by Guarantor or Dealer to
DFS are true and correct and have been and will be prepared in accordance with
generally accepted accounting principles consistently applied and, with respect
to previously delivered statements and information, there has been no material
adverse change in the financial or business condition of Guarantor or Dealer
since the submission to DFS, either as of the date of delivery, or if different,
the date specified therein, and Guarantor acknowledges DFS' reliance thereon.

11. Reviews. Guarantor grants DFS an irrevocable license to enter Guarantor's
business locations during normal business hours without notice to Guarantor to:
(a) account for and inspect all Collateral; (b) verify Guarantor's compliance
with this Guaranty; and (c) examine and copy Guarantor's books and records
related to the Collateral.

12. Default. Guarantor will be in default under this Guaranty if: (a) Dealer
breaches any terms, warranties or representations contained in any Agreement for
Wholesale Financing, in any Statement of Transaction to which Dealer has not
objected, or in any other agreement between DFS and Dealer; (b) Guarantor
breaches any terms, warranties or representations contained herein or in any
other agreement between Guarantor and DFS; (c) any representation, statement,
report or certificate made or delivered by Dealer or Guarantor to DFS is not
accurate when made; (d) Dealer fails to pay any portion of Dealer's debts to DFS
when due and payable under any agreement between DFS and Dealer; (e) Guarantor
fails to pay any portion of Guarantor's debts to DFS when due and payable under
any agreement between DFS and Guarantor; (f) Dealer or Guarantor abandons any
Collateral; (g) Dealer or Guarantor is or becomes in default in the payment of
any debt owed to any third party; (h) a money judgment issues against Dealer or
Guarantor; (i) an attachment, sale or seizure issues or is executed against any
assets of Dealer or Guarantor; (j) Guarantor dies if Guarantor is an individual,
any general partner dies while Guarantor is a general or limited partnership, or
any member dies while Guarantor is a limited liability company, as applicable;
(k) Dealer or Guarantor shall cease existence as a corporation, partnership,
limited liability company or trust, as applicable; (l) Dealer or Guarantor
ceases or suspends business; (m) Dealer, Guarantor or any member while Dealer or
Guarantor is a limited liability company, as applicable, makes a general
assignment for the benefit of creditors; (n) Dealer, Guarantor or any member
while Dealer or Guarantor is a limited liability company, as applicable, becomes
insolvent or voluntarily or involuntarily becomes subject to the Federal
Bankruptcy Code, any state insolvency law or any similar law; (o) any receiver
is appointed for any assets of Dealer, Guarantor or any member while Dealer or
Guarantor is a limited liability company, as applicable; (p) this Guaranty or
any other guaranty of Dealer's debts to DFS is terminated; (q) Dealer or
Guarantor loses any franchise, permission, license or right to sell or deal in
any Collateral which DFS finances for Dealer or Guarantor; (r) Dealer or
Guarantor misrepresents their respective financial condition or organizational
structure; or (5) DFS determines in good faith that it is insecure with respect
to any of the Collateral or the payment of any part of Dealer's or Guarantor's
obligation to DFS.

                                       4
<PAGE>   79

13. Rights of DFS Upon Default. In the event of a default:

         (a)      DFS may at any time at DFS' election, without notice or demand
                  to Dealer or Guarantor, do any one or more of the following:
                  declare all or any part of the debt Guarantor owes DFS,
                  whether contingent or noncontingent and whether arising
                  hereunder or under any other agreement between Guarantor and
                  DFS, immediately due and payable, together with all costs and
                  expenses of DFS' collection activity, including, without
                  limitation, all reasonable attorneys' fees; exercise any or
                  all rights under applicable law (including, without
                  limitation, the right to possess, transfer and dispose of the
                  Collateral); and/or cease extending any additional credit to
                  Guarantor, if applicable, or Dealer (DFS' right to cease
                  extending credit shall not be construed to limit the
                  discretionary nature of any credit facility)

         (b)      Guarantor will segregate and keep the Collateral in trust for
                  DFS, and in good order and repair, and will not sell, rent,
                  lease, consign, otherwise dispose of or use any Collateral,
                  nor further encumber any Collateral.

         (c)      Upon DFS' oral or written demand, Guarantor will immediately
                  deliver the Collateral to DFS, in good order and repair, at a
                  place specified by DFS, together with all related documents;
                  or DFS may, in DFS' sole discretion and without notice or
                  demand to Guarantor, take immediate possession of the
                  Collateral together with all related documents.

                  All of DFS' rights and remedies are cumulative. DFS' failure
                  to exercise any of DFS' rights or remedies hereunder will not
                  waive any of DFS' rights or remedies as to any past, current
                  or future default.

14. Sale of Collateral. Guarantor agrees that if DFS conducts a private sale of
any Collateral by requesting bids from 10 or more dealers or distributors in
that type of Collateral, any sale by DFS of such Collateral in bulk or in
parcels within 120 days of: (a) DFS' taking possession and control of such
Collateral; or (b) when DFS is otherwise authorized to sell such Collateral;
whichever occurs last, to the bidder submitting the highest cash bid therefor,
is a commercially reasonable sale of such Collateral under the Uniform
Commercial Code. Guarantor agrees that the purchase of any Collateral by a
vendor, as provided in any agreement between DFS and the vendor, is a
commercially reasonable disposition and private sale of such Collateral under
the Uniform Commercial Code, and no request for bids shall be required.
Guarantor further agrees that 7 or more days prior written notice will be
commercially reasonable notice of any public or private sale (including any sale
to a Vendor). Guarantor irrevocably waives any requirement that DFS retain
possession and not dispose of any Collateral until after an arbitration hearing,
arbitration award, confirmation, trial or final judgment. If DFS disposes of any
such Collateral other than as herein contemplated, the commercial reasonableness
of such disposition will be determined in accordance with the laws of the state
governing this Guaranty.

15. Power of Attorney. Guarantor grants DFS an irrevocable power of attorney to:
execute or endorse on Guarantor's behalf any checks, financing statements,
instruments, Certificates of Title and Statements of Origin pertaining to the
Collateral; supply any omitted information and correct errors in any documents
between DFS and Guarantor; initiate and settle any insurance claim pertaining to
the Collateral; and do anything to preserve and protect the Collateral and DFS'
rights and interest therein.

                                       5
<PAGE>   80

16. Termination. Guarantor may terminate this Guaranty by a written notice to
DFS, the termination to be effective sixty (60) days after DFS receives and
acknowledges it, but the termination will not terminate Guarantor's obligations
hereunder for Liabilities arising prior to the effective termination date.

17. Binding Effect. Guarantor cannot assign this Guaranty without DFS' prior
written consent, although DFS may assign its interest herein without notice to,
or consent from, Guarantor. This Guaranty will protect and bind DFS' and
Guarantor's respective heirs, representatives, Successors and assigns.

18. Notices. Except as otherwise stated herein, all notices, arbitration claims,
responses, requests and documents will be sufficiently given or served if mailed
or delivered: (a) to Guarantor at its address below; (b) to DFS at 655 Maryville
Centre Drive, St. Louis, Missouri 63141-5832, Attention: General Counsel; or
such other address as the parties may specify from time to time in writing.

19. Severability. If any provision of this Guaranty or its application is
invalid or unenforceable, the remainder of this Guaranty will not be impaired or
affected and will remain binding and enforceable.

20. Supplement. If Guarantor and DFS have heretofore executed other guaranties
or agreements in connection with all or any part of the Collateral, this
Guaranty shall supplement each and every other such guaranty and agreement
previously executed by and between Guarantor and DFS, and in that event this
Guaranty shall neither be deemed a novation nor a termination of such previously
executed guaranty or agreement nor shall execution of this Guaranty be deemed a
satisfaction of any obligation secured by such previously executed guaranty or
agreement.

21. Receipt of Guaranty. Guarantor has read and understood all terms and
provisions of this Guaranty. Guarantor acknowledges receipt of a true copy of
this Guaranty and of all agreements between DFS and Dealer. The meanings of all
terms herein are equally applicable to both the singular and plural forms of
such terms. Notwithstanding anything herein to the contrary: (a) DFS may rely on
any facsimile copy, electronic data transmission or electronic data storage of
this Guaranty, any agreement between DFS and Dealer, any Statement of
Transaction, billing statement, invoice from a vendor, financial statements or
other report, and (b) such facsimile copy, electronic data transmission or
electronic data storage will be deemed an original, and the best evidence
thereof for all purposes, including, without limitation, under this Guaranty or
any other agreement between DFS and Guarantor, and for all evidentiary purposes
before any arbitrator, court or other adjudicatory authority.

22. NO ORAL AGREEMENTS. Oral agreements or commitments to loan money, extend
credit or to forbear from enforcing repayment of a debt including promises to
extend or renew such debt

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<PAGE>   81

are not enforceable. To protect Guarantor and DFS from misunderstanding or
disappointment, any agreements Guarantor and DFS or Dealer and DFS reach
covering such matters are contained in this Guaranty, an Agreement for Wholesale
Financing, or another agreement between Guarantor and DFS or between Dealer and
DFS, which agreement(s) is (are) the complete and exclusive statement of the
agreement between Guarantor and DFS and between Dealer and DFS, except as
specifically provided herein, in such other agreement(s) or as Guarantor and DFS
or Dealer and DFS may later agree in writing.

23. Miscellaneous. This Guaranty will survive any federal and/or state
bankruptcy or insolvency action involving Dealer. If DFS is required in any
action involving Dealer to return or rescind any payment made to or value
received by DFS from or for the account of Dealer, this Guaranty will remain in
full force and effect and will be automatically reinstated without any further
action by DFS and notwithstanding any termination of this Guaranty or DFS'
release of Guarantor. Any delay or failure by DFS, or DFS' successors or
assigns, in exercising any of DFS' rights or remedies hereunder will not waive
any such rights or remedies. If Guarantor fails to pay any taxes, fees or other
obligations which may impair DFS' interest in the Collateral, or fails to keep
the Collateral insured, DFS may, but shall not be required to, pay such taxes,
fees or obligations and pay the cost to insure the Collateral, and the amounts
paid will be: (a) an additional debt directly owed by Guarantor to DFS, which
shall be subject to finance charges at the highest rate allowed by law; and (b)
due and payable immediately in full. Guarantor agrees to pay all of DFS'
reasonable attorneys fees and expenses incurred by DFS in enforcing DFS' rights
hereunder. The Section titles used in this Guaranty are for convenience only and
do not define or limit the contents of any Section.

24. BINDING ARBITRATION.

         24.1 Arbitrable Claims. Except as otherwise specified below, all
actions, disputes, claims and Controversies under common law, statutory law or
in equity of any type or nature whatsoever (including, without limitation, all
torts, whether regarding negligence, breach of fiduciary duty, restraint of
trade, fraud, conversion, duress, interference, wrongful replevin, wrongful
sequestration, fraud in the inducement, usury or any other tort, all contract
actions, whether regarding express or implied terms, such as implied covenants
of good faith, fair dealing, and the commercial reasonableness of any collateral
disposition, or any other contract claim, all claims of deceptive trade
practices or lender liability, and all claims questioning the reasonableness or
lawfulness of any act), whether arising before or after the date of this
Guaranty, and whether directly or indirectly relating to: (a) this Guaranty
and/or any amendments and addenda hereto, or the breach, invalidity or
termination hereof; (b) any previous or subsequent agreement between DFS and us;
(c) any act committed by DFS or by any parent company, subsidiary or affiliated
company of DFS (the "DFS Companies"), or by an employee, agent, officer or
director of a DFS Company, whether or not arising within the scope and course of
employment or other contractual representation of the DFS Companies provided
that such act arises under a relationship, transaction or dealing between DFS
and Dealer or DFS and Guarantor; and/or (d) any other relationship, transaction,
dealing or agreement between DFS and Dealer or DFS and Guarantor (collectively
the "Disputes"), will be subject to and resolved by binding arbitration.

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<PAGE>   82

         24.2 Administrative Body. All arbitration hereunder will be conducted
in accordance with The Commercial Arbitration Rules of The American Arbitration
Association ("AAA"). If the AAA is dissolved, disbanded or becomes subject to
any state or federal bankruptcy or insolvency proceeding, the parties will
remain subject to binding arbitration which will be conducted by a mutually
agreeable arbitral forum. The parties agree that all arbitrator('s) selected
will be attorneys with at least five (5) years secured transactions experience.
The arbitrator(s) will decide if any inconsistency exists between the rules of
any applicable arbitral forum and the arbitration provisions contained herein.
If such inconsistency exists, the arbitration provisions contained herein will
control and supersede such rules. The site of all arbitrations will be in the
Division of the Federal Judicial District in which AAA maintains a regional
office that is closest to Dealer.

         24.3 Discovery. Discovery permitted in any arbitration proceeding
commenced hereunder is limited as follows: No later than thirty (30) days after
the filing of a claim for arbitration, the parties will exchange detailed
statements setting forth the facts supporting the claim(s) and all defenses to
be raised during the arbitration, and a list of all exhibits and witnesses. No
later than twenty-one (21) days prior to the arbitration hearing, the parties
will exchange a final list of all exhibits and all witnesses, including any
designation of any expert witness(es) together with a summary of their
testimony; a copy of all documents and a detailed description of any property to
be introduced at the hearing. Under no circumstances will the use of
interrogatories, requests for admission, requests for the production of
documents or the taking of depositions be permitted. However, in the event of
the designation of any expert witness(es), the following will occur: (a) all
information and documents relied upon by the expert witness(es) will be
delivered to the opposing party, (b) the opposing party will be permitted to
depose the expert witness(es), (c) the opposing party will be permitted to
designate rebuttal expert witness(es), and (d) the arbitration hearing will be
continued to the earliest possible date that enables the foregoing limited
discovery to be accomplished.

         24.4 Exemplary or Punitive Damages. The Arbitrator(s) will not have the
authority to award exemplary or punitive damages.

         24.5 Confidentiality of Awards. All arbitration proceedings, including
testimony or evidence at hearings, will be kept confidential, although any award
or order rendered by the arbitrator(s) pursuant to the terms of this Guaranty
may be entered as a judgment or order in any state or federal court and may be
entered as a judgment or order within the federal judicial district which
includes the residence of the party against whom such award or order was
entered. This Guaranty concerns transactions involving commerce among the
several states. The Federal Arbitration Act ("FAA") will govern all
arbitration(s) and confirmation proceedings hereunder.

         24.6 Prejudgment and Provisional Remedies. Nothing herein will be
Construed to prevent DFS' or Guarantor's use of bankruptcy, receivership,
injunction, repossession, replevin, claim and delivery, sequestration, seizure,
attachment, foreclosure, dation and/or any other prejudgment or provisional
action or remedy relating to any collateral for any current or future debt owed
by either party to the other. Any such action or remedy will not waive DFS' or
Guarantor's right to compel arbitration of any Dispute.

                                       8
<PAGE>   83

         24.7 Attorneys' Fees. If either Guarantor or DFS bring any other action
for judicial relief with respect to any Dispute (other than those set forth in
the immediately preceding paragraph), the party bringing such action will be
liable for and immediately pay all of the other party's costs and expenses
(including attorneys' fees). incurred to stay or dismiss such action and remove
or refer such Dispute to arbitration. If either Guarantor or DFS bring or appeal
an action to vacate or modify an arbitration award and such party does not
prevail, such party will pay all costs and expenses, including attorneys' fees,
incurred by the other party in defending such action. Additionally, if Guarantor
sues DFS or institutes any arbitration claim or counterclaim against DFS in
which DFS is the prevailing party, Guarantor will pay all costs and expenses
(including attorneys' fees) incurred by DFS in the course of defending such
action or proceeding.

         24.8 Limitations. Any arbitration proceeding must be instituted: (a)
with respect to any Dispute for the collection of any debt owed by either party
to the other, within two (2) years after the date the last payment was received
by the instituting party; and (b) with respect to any other Dispute, within two
(2) years after the date the incident giving rise thereto occurred, whether or
not any damage was sustained or capable of ascertainment or either party knew of
such incident. Failure to institute an arbitration proceeding within such period
will constitute an absolute bar and waiver to the institution of any proceeding
with respect to such Dispute.

         24.9 Survival After Termination. The agreement to arbitrate will
survive the termination of this Guaranty.

25. INVALIDITY/UNENFORCEABILITY OF BINDING ARBITRATION. IF THIS GUARANTY IS
FOUND TO BE NOT SUBJECT TO ARBITRATION, ANY LEGAL PROCEEDING WITH RESPECT TO ANY
DISPUTE WILL BE TRIED IN A COURT OF COMPETENT JURISDICTION BY A JUDGE WITHOUT A
JURY. DFS AND GUARANTOR WAIVE ANY RIGHT TO A JURY TRIAL IN ANY SUCH PROCEEDING.

26. Governing Law. Guarantor acknowledges and agrees that this Guaranty and all
agreements between Dealer and DFS have been substantially negotiated, and will
be performed, in the state of Missouri. Accordingly, Guarantor agrees that all
Disputes will be governed by, and construed in accordance with, the laws of such
state, except to the extent inconsistent with the provisions of the FAA which
will control and govern all arbitration proceedings herein.

THIS CONTRACT CONTAINS BINDING ARBITRATION, JURY WAIVER AND PUNITIVE DAMAGE
WAIVER PROVISIONS.

Dated: April 12, 1999

                                       9
<PAGE>   84

                            "SECRETARY' S CERTIFICATE

I hereby certify that I am the Secretary or Assistant Secretary of Crescent
Machinery Company ("Guarantor") and that execution of the above Guaranty was
ratified, approved and confirmed by the Shareholders at a meeting, if necessary,
and pursuant to a resolution of the Board of Directors of Guarantor at a meeting
of the Board of Directors duly called, and which is currently in effect, which
resolution was duly presented, seconded and adopted and reads as follows:

"BE IT RESOLVED that any officer of this corporation is hereby authorized to
execute a guaranty of the obligations of Harvey Equipment Center, Inc.
("Dealer") to Deutsche Financial Services Corporation ("DFS") on behalf of the
corporation, which instrument may contain such terms as the above named persons
may see fit including, but not limited to a waiver of notice of the acceptance
of the guaranty; presentment; demand; protest; notices of nonpayment,
nonperformance, dishonor, the amount of indebtedness of Dealer outstanding at
any time, any legal proceedings against Dealer, and any other demands and
notices required by law; and any right of contribution from other guarantors. As
security for such guaranty to DFS, any officer of this corporation is hereby
authorized to pledge, assign, mortgage, grant security interests, and otherwise
transfer to DFS as collateral security for any obligations of this corporation
to DFS, whenever and however arising, any assets of this corporation, whether
now owned or hereafter acquired."

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the corporate seal
on this 12th day of April, 1999.

                                       10
<PAGE>   85

                             COLLATERALIZED GUARANTY

TO:      DEUTSCHE FINANCIAL SERVICES CORPORATION ("DFS")

1. Guaranty and Indemnification. In consideration of financing provided or to be
provided by you to Machinery, Inc. ("Dealer"), and for other good and valuable
consideration received, the undersigned (individually and/or collectively
"Guarantor") unconditionally and absolutely guaranty to DFS, from property held
separately, jointly or in community, the immediate payment when due of all
current and future liabilities owed by Dealer to DFS, whether such liabilities
are direct, indirect or owed by Dealer to a third party and acquired by DFS
("Liabilities"). Guarantor will pay DFS on demand the full amount of all sums
owed by Dealer to DFS, together with all costs and expenses (including, without
limitation, reasonable attorneys' fees). Guarantor also indemnifies and holds
DFS harmless from and against all (a) losses, costs and expenses DFS incurs
and/or is liable for (including, without limitation, reasonable attorneys' fees)
and (b) claims, actions and demands made by Dealer or any third party against
DFS; which in any way relate to any relationship or transaction between DFS and
Dealer.

2. Consents. This Guaranty will not be released, discharged or affected by, and
Guarantor hereby irrevocably consents to, any: (a) change in the manner, place,
interest rate, finance or other charges, or terms of payment or performance in
any current or future agreement between DFS and Dealer, the release, settlement
or compromise of or with any party liable for the payment or performance thereof
or the substitution, release, non-perfection, impairment, sale or other
disposition of any collateral thereunder; (b) change in Dealer's financial
condition; (c) interruption of relations between Dealer and DFS or Guarantor;
(d) claim or action by Dealer against DFS; and/or (e) increases or decreases in
any credit DFS may provide to Dealer.

3. Unconditional Obligations. Guarantor will pay DFS even if DFS has not: (a)
notified Dealer that it is in default of the Liabilities, and/or that DFS
intends to accelerate or has accelerated the payment of all or any part of the
Liabilities, or (b) exercised any of DFS' rights or remedies against Dealer, any
other person or any current or future collateral. If Dealer hereafter undergoes
any change in its ownership, identity or organizational structure, this Guaranty
will extend to all current and future obligations which such new or changed
legal entity owes to DFS.

4. Waivers. Guarantor irrevocably waives: notice of DFS' acceptance of this
Guaranty, presentment, demand, protest, nonpayment, nonperformance, notice of
breach or default, notice of intent to accelerate and notice of acceleration of
any indebtedness of Dealer, any right of contribution from other guarantors,
dishonor, the amount of indebtedness of Dealer outstanding at any time, the
number and amount of advances made by DFS to Dealer in reliance on this Guaranty
and any claim or action against Dealer; all other demands and notices required
by law; all rights of offset and counterclaims against DFS or Dealer; all
defenses to the enforceability of this Guaranty (including, without limitation,
fraudulent inducement). Guarantor further waives all defenses based on
suretyship or impairment of collateral, and defenses which the Dealer may assert
on the underlying debt, including but not limited to, failure of consideration,
breach of warranty, fraud, payment,

                                       1
<PAGE>   86

statute of frauds, bankruptcy, lack of legal capacity, statute of limitations,
lender liability, deceptive trade practices, accord and satisfaction and usury.
Guarantor also waives all rights to claim, arbitrate for or sue for any punitive
or exemplary damages. In addition, Guarantor hereby irrevocably subordinates to
DFS any and all of Guarantor's present and future rights and remedies: (a) of
subrogation against Dealer to any of DFS' rights or remedies against Dealer, (b)
of contribution, reimbursement, indemnification and restoration from Dealer; and
(c) to assert any other claim or action against Dealer directly or indirectly
relating to this Guaranty, such subordinations to last until DFS has been paid
in full for all Liabilities. All of Guarantor's waivers and subordinations
herein will survive any termination of this Guaranty.

5. Warranties and Representations. Guarantor has made an independent
investigation of the financial condition of Dealer and gives this Guaranty based
on that investigation and not upon any representation made by DFS. Guarantor has
access to current and future Dealer financial information which enables
Guarantor to remain continuously informed of Dealer's financial condition.
Guarantor represents and warrants to DFS that Guarantor has received and will
receive substantial direct or indirect benefit by making this Guaranty and
incurring the Liabilities. Guarantor also represents and warrants to DFS that
Guarantor is solvent and Guarantor's execution of this Guaranty will not make
Guarantor insolvent. Guarantor further represents and warrants to DFS that: (a)
the present fair salable value of Guarantor's assets is greater than the amount
required to pay Guarantor's liabilities (including contingent, subordinated,
unmatured and unliquidated liabilities); (b) Guarantor is able to pay all of its
liabilities (including contingent, subordinated, unmatured and unliquidated
liabilities) as they become absolute and matured; and (c) Guarantor does not
have unreasonably small capital.

6. Grant of Security Interest. To secure payment of all Liabilities and all of
Guarantor's current and future debts to DFS, whether under this Guaranty or any
current or future guaranty or other agreement, Guarantor grants DFS a security
interest in all of Guarantor's (1) new and used inventory and equipment which is
financed by DFS for, or against which DFS has loaned monies to, Guarantor or
Dealer or any of their subsidiaries or affiliated companies, whether now owned
or hereafter acquired and whether or not transferred among such entities or any
of their subsidiaries or affiliated companies, and (2) all accounts, contract
rights, chattel paper, security agreements, deposit accounts, reserves,
documents, general intangibles and instruments arising from the sale, lease,
rental or other disposition of all such inventory and equipment, and all
judgments, claims, insurance policies and payments owed or made to Guarantor
thereon, and all attachments, accessories, accessions, substitutions and
replacements thereto and all cash and non-cash proceeds of all of the foregoing.
All such assets are collectively referred to herein as the "Collateral." All of
such terms for which meanings are provided in the Uniform Commercial Code of the
applicable state are used herein with such meanings. All Collateral financed by
DFS for Dealer or Guarantor, and all proceeds thereof, will be held in trust by
Guarantor for DFS.

7. Additional Warranties and Representations. Guarantor warrants and represents
to DFS that: (a) Guarantor has good title to all Collateral; (b) DFS' security
interest in the Collateral financed by DFS for Dealer or Guarantor is not now
and will not become subordinate to the security interest, lien, encumbrance or
claim of any person; (c) Guarantor will execute all documents DFS requests to

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<PAGE>   87

perfect and maintain DFS' security interest in the Collateral; (d) Guarantor
will deliver to DFS immediately upon each request, and DFS may retain, each
Certificate of Title or Statement of Origin issued for Collateral financed by
DFS for Dealer or Guarantor; (e) Guarantor will at all times be duly organized,
existing, in good standing, qualified and licensed to do business in each state,
county, or parish, in which the nature of its business or property so requires;
(f) Guarantor has the right and is duly authorized to enter into this Guaranty;
(g) Guarantor's execution of this Guaranty does not constitute a breach of any
agreement to which Guarantor is now or hereafter becomes bound; (h) there are
and will be no actions or proceedings pending or threatened against Guarantor
which might result in any material adverse change in Guarantor's financial or
business condition or which might in any way adversely affect any of Guarantor's
assets; (i) Guarantor will maintain the Collateral in good condition and repair;
(j) Guarantor has duly filed and will duly file all tax returns required by law;
(k) Guarantor has paid and will pay when due all taxes, levies, assessments and
governmental charges of any nature; (I) Guarantor will keep and maintain all of
its books and records pertaining to the Collateral at its principal place of
business designated below; (m) Guarantor will promptly supply DFS with such
information concerning it as DFS hereafter may reasonably request; (n) all
Collateral will be kept at Dealer's principal place of business or Guarantor's
place of business listed below, and such other locations, if any, of which
Dealer or Guarantor has notified DFS in writing or as listed on any current or
future Exhibit "A" attached to any Agreement for Wholesale Financing or security
agreement between Dealer and DFS or this Guaranty which written notice(s) to DFS
and Exhibit A(s) are incorporated herein by reference; (o) Guarantor will give
DFS thirty (30) days prior written notice of any change in Guarantor's identity,
name, form of business organization, ownership, management, principal place of
business, Collateral locations or other business locations, and before moving
any books and records to any other location; (p) Guarantor will observe and
perform all matters required by any lease, license, concession or franchise
forming part of the Collateral in order to maintain all the rights of DFS
thereunder; (q) Guarantor will advise DFS of the commencement of material legal
proceedings against Dealer or Guarantor; and (r) Guarantor will comply with all
applicable laws and will conduct its business in a manner which preserves and
protects the Collateral and the earnings and incomes thereof.

8. Negative Covenants. Guarantor will not at any time (without DFS' prior
written consent): (a) other than in the ordinary course of its business, sell,
lease or otherwise dispose of or transfer any of its assets; (b) rent, lease,
demonstrate, consign, or use any Collateral financed by DFS for Dealer or
Guarantor; or (c) merge or consolidate with another entity.

9. Insurance. Guarantor will immediately notify DFS of any loss, theft or damage
to any Collateral. Guarantor will keep the Collateral insured for its full
insurable value under an "all risk" property insurance policy with a company
acceptable to DFS, naming DFS as a lender loss-payee and containing standard
lender's loss payable and termination provisions. Guarantor will provide DFS
with written evidence of such property insurance coverage and lender's
loss-payee endorsement.

10. Financial Statements. Guarantor will provide DFS with financial statements
on it each year within ninety (90) days after the end of Dealer's fiscal year
end. Guarantor warrants and represents

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<PAGE>   88

to DFS that all financial statements and information relating to Guarantor or
Dealer which have been or may hereafter be delivered by Guarantor or Dealer to
DFS are true and correct and have been and will be prepared in accordance with
generally accepted accounting principles consistently applied and, with respect
to previously delivered statements and information, there has been no material
adverse change in the financial or business condition of Guarantor or Dealer
since the submission to DFS, either as of the date of delivery, or if different,
the date specified therein, and Guarantor acknowledges DFS' reliance thereon.

11. Reviews. Guarantor grants DFS an irrevocable license to enter Guarantor's
business locations during normal business hours without notice to Guarantor to:
(a) account for and inspect all Collateral; (b) verify Guarantor's compliance
with this Guaranty; and (c) examine and copy Guarantor's books and records
related to the Collateral.

12. Default. Guarantor will be in default under this Guaranty if: (a) Dealer
breaches any terms, warranties or representations contained in any Agreement for
Wholesale Financing, in any Statement of Transaction to which Dealer has not
objected, or in any other agreement between DFS and Dealer; (b) Guarantor
breaches any terms, warranties or representations contained herein or in any
other agreement between Guarantor and DFS; (c) any representation, statement,
report or certificate made or delivered by Dealer or Guarantor to DFS is not
accurate when made; (d) Dealer fails to pay any portion of Dealer's debts to DFS
when due and payable under any agreement between DFS and Dealer; (e) Guarantor
fails to pay any portion of Guarantor's debts to DFS when due and payable under
any agreement between DFS and Guarantor; (f) Dealer or Guarantor abandons any
Collateral; (g) Dealer or Guarantor is or becomes in default in the payment of
any debt owed to any third party; (h) a money judgment issues against Dealer or
Guarantor; (i) an attachment, sale or seizure issues or is executed against any
assets of Dealer or Guarantor; (j) Guarantor dies if Guarantor is an individual,
any general partner dies while Guarantor is a general or limited partnership, or
any member dies while Guarantor is a limited liability company, as applicable;
(k) Dealer or Guarantor shall cease existence as a corporation, partnership,
limited liability company or trust, as applicable; (l) Dealer or Guarantor
ceases or suspends business; (m) Dealer, Guarantor or any member while Dealer or
Guarantor is a limited liability company, as applicable, makes a general
assignment for the benefit of creditors; (n) Dealer, Guarantor or any member
while Dealer or Guarantor is a limited liability company, as applicable, becomes
insolvent or voluntarily or involuntarily becomes subject to the Federal
Bankruptcy Code, any state insolvency law or any similar law; (o) any receiver
is appointed for any assets of Dealer, Guarantor or any member while Dealer or
Guarantor is a limited liability company, as applicable; (p) this Guaranty or
any other guaranty of Dealer's debts to DFS is terminated; (q) Dealer or
Guarantor loses any franchise, permission, license or right to sell or deal in
any Collateral which DFS finances for Dealer or Guarantor; (r) Dealer or
Guarantor misrepresents their respective financial condition or organizational
structure; or (5) DFS determines in good faith that it is insecure with respect
to any of the Collateral or the payment of any part of Dealer's or Guarantor's
obligation to DFS.

                                       4
<PAGE>   89

13. Rights of DFS Upon Default. In the event of a default:

         (a)      DFS may at any time at DFS' election, without notice or demand
                  to Dealer or Guarantor, do any one or more of the following:
                  declare all or any part of the debt Guarantor owes DFS,
                  whether contingent or noncontingent and whether arising
                  hereunder or under any other agreement between Guarantor and
                  DFS, immediately due and payable, together with all costs and
                  expenses of DFS' collection activity, including, without
                  limitation, all reasonable attorneys' fees; exercise any or
                  all rights under applicable law (including, without
                  limitation, the right to possess, transfer and dispose of the
                  Collateral); and/or cease extending any additional credit to
                  Guarantor, if applicable, or Dealer (DFS' right to cease
                  extending credit shall not be construed to limit the
                  discretionary nature of any credit facility)

         (b)      Guarantor will segregate and keep the Collateral in trust for
                  DFS, and in good order and repair, and will not sell, rent,
                  lease, consign, otherwise dispose of or use any Collateral,
                  nor further encumber any Collateral.

         (c)      Upon DFS' oral or written demand, Guarantor will immediately
                  deliver the Collateral to DFS, in good order and repair, at a
                  place specified by DFS, together with all related documents;
                  or DFS may, in DFS' sole discretion and without notice or
                  demand to Guarantor, take immediate possession of the
                  Collateral together with all related documents.

                  All of DFS' rights and remedies are cumulative. DFS' failure
                  to exercise any of DFS' rights or remedies hereunder will not
                  waive any of DFS' rights or remedies as to any past, current
                  or future default.

14. Sale of Collateral. Guarantor agrees that if DFS conducts a private sale of
any Collateral by requesting bids from 10 or more dealers or distributors in
that type of Collateral, any sale by DFS of such Collateral in bulk or in
parcels within 120 days of: (a) DFS' taking possession and control of such
Collateral; or (b) when DFS is otherwise authorized to sell such Collateral;
whichever occurs last, to the bidder submitting the highest cash bid therefor,
is a commercially reasonable sale of such Collateral under the Uniform
Commercial Code. Guarantor agrees that the purchase of any Collateral by a
vendor, as provided in any agreement between DFS and the vendor, is a
commercially reasonable disposition and private sale of such Collateral under
the Uniform Commercial Code, and no request for bids shall be required.
Guarantor further agrees that 7 or more days prior written notice will be
commercially reasonable notice of any public or private sale (including any sale
to a Vendor). Guarantor irrevocably waives any requirement that DFS retain
possession and not dispose of any Collateral until after an arbitration hearing,
arbitration award, confirmation, trial or final judgment. If DFS disposes of any
such Collateral other than as herein contemplated, the commercial reasonableness
of such disposition will be determined in accordance with the laws of the state
governing this Guaranty.

15. Power of Attorney. Guarantor grants DFS an irrevocable power of attorney to:
execute or endorse on Guarantor's behalf any checks, financing statements,
instruments, Certificates of Title and Statements of Origin pertaining to the
Collateral; supply any omitted information and correct errors in any documents
between DFS and Guarantor; initiate and settle any insurance claim pertaining to
the Collateral; and do anything to preserve and protect the Collateral and DFS'
rights and interest therein.

                                       5
<PAGE>   90

16. Termination. Guarantor may terminate this Guaranty by a written notice to
DFS, the termination to be effective sixty (60) days after DFS receives and
acknowledges it, but the termination will not terminate Guarantor's obligations
hereunder for Liabilities arising prior to the effective termination date.

17. Binding Effect. Guarantor cannot assign this Guaranty without DFS' prior
written consent, although DFS may assign its interest herein without notice to,
or consent from, Guarantor. This Guaranty will protect and bind DFS' and
Guarantor's respective heirs, representatives, Successors and assigns.

18. Notices. Except as otherwise stated herein, all notices, arbitration claims,
responses, requests and documents will be sufficiently given or served if mailed
or delivered: (a) to Guarantor at its address below; (b) to DFS at 655 Maryville
Centre Drive, St. Louis, Missouri 63141-5832, Attention: General Counsel; or
such other address as the parties may specify from time to time in writing.

19. Severability. If any provision of this Guaranty or its application is
invalid or unenforceable, the remainder of this Guaranty will not be impaired or
affected and will remain binding and enforceable.

20. Supplement. If Guarantor and DFS have heretofore executed other guaranties
or agreements in connection with all or any part of the Collateral, this
Guaranty shall supplement each and every other such guaranty and agreement
previously executed by and between Guarantor and DFS, and in that event this
Guaranty shall neither be deemed a novation nor a termination of such previously
executed guaranty or agreement nor shall execution of this Guaranty be deemed a
satisfaction of any obligation secured by such previously executed guaranty or
agreement.

21. Receipt of Guaranty. Guarantor has read and understood all terms and
provisions of this Guaranty. Guarantor acknowledges receipt of a true copy of
this Guaranty and of all agreements between DFS and Dealer. The meanings of all
terms herein are equally applicable to both the singular and plural forms of
such terms. Notwithstanding anything herein to the contrary: (a) DFS may rely on
any facsimile copy, electronic data transmission or electronic data storage of
this Guaranty, any agreement between DFS and Dealer, any Statement of
Transaction, billing statement, invoice from a vendor, financial statements or
other report, and (b) such facsimile copy, electronic data transmission or
electronic data storage will be deemed an original, and the best evidence
thereof for all purposes, including, without limitation, under this Guaranty or
any other agreement between DFS and Guarantor, and for all evidentiary purposes
before any arbitrator, court or other adjudicatory authority.

22. NO ORAL AGREEMENTS. Oral agreements or commitments to loan money, extend
credit or to forbear from enforcing repayment of a debt including promises to
extend or renew such debt

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<PAGE>   91

are not enforceable. To protect Guarantor and DFS from misunderstanding or
disappointment, any agreements Guarantor and DFS or Dealer and DFS reach
covering such matters are contained in this Guaranty, an Agreement for Wholesale
Financing, or another agreement between Guarantor and DFS or between Dealer and
DFS, which agreement(s) is (are) the complete and exclusive statement of the
agreement between Guarantor and DFS and between Dealer and DFS, except as
specifically provided herein, in such other agreement(s) or as Guarantor and DFS
or Dealer and DFS may later agree in writing.

23. Miscellaneous. This Guaranty will survive any federal and/or state
bankruptcy or insolvency action involving Dealer. If DFS is required in any
action involving Dealer to return or rescind any payment made to or value
received by DFS from or for the account of Dealer, this Guaranty will remain in
full force and effect and will be automatically reinstated without any further
action by DFS and notwithstanding any termination of this Guaranty or DFS'
release of Guarantor. Any delay or failure by DFS, or DFS' successors or
assigns, in exercising any of DFS' rights or remedies hereunder will not waive
any such rights or remedies. If Guarantor fails to pay any taxes, fees or other
obligations which may impair DFS' interest in the Collateral, or fails to keep
the Collateral insured, DFS may, but shall not be required to, pay such taxes,
fees or obligations and pay the cost to insure the Collateral, and the amounts
paid will be: (a) an additional debt directly owed by Guarantor to DFS, which
shall be subject to finance charges at the highest rate allowed by law; and (b)
due and payable immediately in full. Guarantor agrees to pay all of DFS'
reasonable attorneys fees and expenses incurred by DFS in enforcing DFS' rights
hereunder. The Section titles used in this Guaranty are for convenience only and
do not define or limit the contents of any Section.

24. BINDING ARBITRATION.

         24.1 Arbitrable Claims. Except as otherwise specified below, all
actions, disputes, claims and Controversies under common law, statutory law or
in equity of any type or nature whatsoever (including, without limitation, all
torts, whether regarding negligence, breach of fiduciary duty, restraint of
trade, fraud, conversion, duress, interference, wrongful replevin, wrongful
sequestration, fraud in the inducement, usury or any other tort, all contract
actions, whether regarding express or implied terms, such as implied covenants
of good faith, fair dealing, and the commercial reasonableness of any collateral
disposition, or any other contract claim, all claims of deceptive trade
practices or lender liability, and all claims questioning the reasonableness or
lawfulness of any act), whether arising before or after the date of this
Guaranty, and whether directly or indirectly relating to: (a) this Guaranty
and/or any amendments and addenda hereto, or the breach, invalidity or
termination hereof; (b) any previous or subsequent agreement between DFS and us;
(c) any act committed by DFS or by any parent company, subsidiary or affiliated
company of DFS (the "DFS Companies"), or by an employee, agent, officer or
director of a DFS Company, whether or not arising within the scope and course of
employment or other contractual representation of the DFS Companies provided
that such act arises under a relationship, transaction or dealing between DFS
and Dealer or DFS and Guarantor; and/or (d) any other relationship, transaction,
dealing or agreement between DFS and Dealer or DFS and Guarantor (collectively
the "Disputes"), will be subject to and resolved by binding arbitration.

                                       7
<PAGE>   92

         24.2 Administrative Body. All arbitration hereunder will be conducted
in accordance with The Commercial Arbitration Rules of The American Arbitration
Association ("AAA"). If the AAA is dissolved, disbanded or becomes subject to
any state or federal bankruptcy or insolvency proceeding, the parties will
remain subject to binding arbitration which will be conducted by a mutually
agreeable arbitral forum. The parties agree that all arbitrator('s) selected
will be attorneys with at least five (5) years secured transactions experience.
The arbitrator(s) will decide if any inconsistency exists between the rules of
any applicable arbitral forum and the arbitration provisions contained herein.
If such inconsistency exists, the arbitration provisions contained herein will
control and supersede such rules. The site of all arbitrations will be in the
Division of the Federal Judicial District in which AAA maintains a regional
office that is closest to Dealer.

         24.3 Discovery. Discovery permitted in any arbitration proceeding
commenced hereunder is limited as follows: No later than thirty (30) days after
the filing of a claim for arbitration, the parties will exchange detailed
statements setting forth the facts supporting the claim(s) and all defenses to
be raised during the arbitration, and a list of all exhibits and witnesses. No
later than twenty-one (21) days prior to the arbitration hearing, the parties
will exchange a final list of all exhibits and all witnesses, including any
designation of any expert witness(es) together with a summary of their
testimony; a copy of all documents and a detailed description of any property to
be introduced at the hearing. Under no circumstances will the use of
interrogatories, requests for admission, requests for the production of
documents or the taking of depositions be permitted. However, in the event of
the designation of any expert witness(es), the following will occur: (a) all
information and documents relied upon by the expert witness(es) will be
delivered to the opposing party, (b) the opposing party will be permitted to
depose the expert witness(es), (c) the opposing party will be permitted to
designate rebuttal expert witness(es), and (d) the arbitration hearing will be
continued to the earliest possible date that enables the foregoing limited
discovery to be accomplished.

         24.4 Exemplary or Punitive Damages. The Arbitrator(s) will not have the
authority to award exemplary or punitive damages.

         24.5 Confidentiality of Awards. All arbitration proceedings, including
testimony or evidence at hearings, will be kept confidential, although any award
or order rendered by the arbitrator(s) pursuant to the terms of this Guaranty
may be entered as a judgment or order in any state or federal court and may be
entered as a judgment or order within the federal judicial district which
includes the residence of the party against whom such award or order was
entered. This Guaranty concerns transactions involving commerce among the
several states. The Federal Arbitration Act ("FAA") will govern all
arbitration(s) and confirmation proceedings hereunder.

         24.6 Prejudgment and Provisional Remedies. Nothing herein will be
Construed to prevent DFS' or Guarantor's use of bankruptcy, receivership,
injunction, repossession, replevin, claim and delivery, sequestration, seizure,
attachment, foreclosure, dation and/or any other prejudgment or provisional
action or remedy relating to any collateral for any current or future debt owed
by either party to the other. Any such action or remedy will not waive DFS' or
Guarantor's right to compel arbitration of any Dispute.

                                       8
<PAGE>   93

         24.7 Attorneys' Fees. If either Guarantor or DFS bring any other action
for judicial relief with respect to any Dispute (other than those set forth in
the immediately preceding paragraph), the party bringing such action will be
liable for and immediately pay all of the other party's costs and expenses
(including attorneys' fees). incurred to stay or dismiss such action and remove
or refer such Dispute to arbitration. If either Guarantor or DFS bring or appeal
an action to vacate or modify an arbitration award and such party does not
prevail, such party will pay all costs and expenses, including attorneys' fees,
incurred by the other party in defending such action. Additionally, if Guarantor
sues DFS or institutes any arbitration claim or counterclaim against DFS in
which DFS is the prevailing party, Guarantor will pay all costs and expenses
(including attorneys' fees) incurred by DFS in the course of defending such
action or proceeding.

         24.8 Limitations. Any arbitration proceeding must be instituted: (a)
with respect to any Dispute for the collection of any debt owed by either party
to the other, within two (2) years after the date the last payment was received
by the instituting party; and (b) with respect to any other Dispute, within two
(2) years after the date the incident giving rise thereto occurred, whether or
not any damage was sustained or capable of ascertainment or either party knew of
such incident. Failure to institute an arbitration proceeding within such period
will constitute an absolute bar and waiver to the institution of any proceeding
with respect to such Dispute.

         24.9 Survival After Termination. The agreement to arbitrate will
survive the termination of this Guaranty.

25. INVALIDITY/UNENFORCEABILITY OF BINDING ARBITRATION. IF THIS GUARANTY IS
FOUND TO BE NOT SUBJECT TO ARBITRATION, ANY LEGAL PROCEEDING WITH RESPECT TO ANY
DISPUTE WILL BE TRIED IN A COURT OF COMPETENT JURISDICTION BY A JUDGE WITHOUT A
JURY. DFS AND GUARANTOR WAIVE ANY RIGHT TO A JURY TRIAL IN ANY SUCH PROCEEDING.

26. Governing Law. Guarantor acknowledges and agrees that this Guaranty and all
agreements between Dealer and DFS have been substantially negotiated, and will
be performed, in the state of Missouri. Accordingly, Guarantor agrees that all
Disputes will be governed by, and construed in accordance with, the laws of such
state, except to the extent inconsistent with the provisions of the FAA which
will control and govern all arbitration proceedings herein.

THIS CONTRACT CONTAINS BINDING ARBITRATION, JURY WAIVER AND PUNITIVE DAMAGE
WAIVER PROVISIONS.

Date: March 16, 1999

                                       9
<PAGE>   94

                            "SECRETARY' S CERTIFICATE

I hereby certify that I am the Secretary or Assistant Secretary of Crescent
Machinery Company, Inc. ("Guarantor") and that execution of the above Guaranty
was ratified, approved and confirmed by the Shareholders at a meeting, if
necessary, and pursuant to a resolution of the Board of Directors of Guarantor
at a meeting of the Board of Directors duly called, and which is currently in
effect, which resolution was duly presented, seconded and adopted and reads as
follows:

"BE IT RESOLVED that any officer of this corporation is hereby authorized to
execute a guaranty of the obligations of Machinery, Inc. ("Dealer") to Deutsche
Financial Services Corporation ("DFS") on behalf of the corporation, which
instrument may contain such terms as the above named persons may see fit
including, but not limited to a waiver of notice of the acceptance of the
guaranty; presentment; demand; protest; notices of nonpayment, nonperformance,
dishonor, the amount of indebtedness of Dealer outstanding at any time, any
legal proceedings against Dealer, and any other demands and notices required by
law; and any right of contribution from other guarantors. As security for such
guaranty to DFS, any officer of this corporation is hereby authorized to pledge,
assign, mortgage, grant security interests, and otherwise transfer to DFS as
collateral security for any obligations of this corporation to DFS, whenever and
however arising, any assets of this corporation, whether now owned or hereafter
acquired."

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the corporate seal
on this 16th day of March, 1999.

                                       10
<PAGE>   95

                             COLLATERALIZED GUARANTY

TO:      DEUTSCHE FINANCIAL SERVICES CORPORATION ("DFS")

1. Guaranty and Indemnification. In consideration of financing provided or to be
provided by you to Solvenson Crane Rentals, Inc. ("Dealer"), and for other good
and valuable consideration received, the undersigned (individually and/or
collectively "Guarantor") unconditionally and absolutely guaranty to DFS, from
property held separately, jointly or in community, the immediate payment when
due of all current and future liabilities owed by Dealer to DFS, whether such
liabilities are direct, indirect or owed by Dealer to a third party and acquired
by DFS ("Liabilities"). Guarantor will pay DFS on demand the full amount of all
sums owed by Dealer to DFS, together with all costs and expenses (including,
without limitation, reasonable attorneys' fees). Guarantor also indemnifies and
holds DFS harmless from and against all (a) losses, costs and expenses DFS
incurs and/or is liable for (including, without limitation, reasonable
attorneys' fees) and (b) claims, actions and demands made by Dealer or any third
party against DFS; which in any way relate to any relationship or transaction
between DFS and Dealer.

2. Consents. This Guaranty will not be released, discharged or affected by, and
Guarantor hereby irrevocably consents to, any: (a) change in the manner, place,
interest rate, finance or other charges, or terms of payment or performance in
any current or future agreement between DFS and Dealer, the release, settlement
or compromise of or with any party liable for the payment or performance thereof
or the substitution, release, non-perfection, impairment, sale or other
disposition of any collateral thereunder; (b) change in Dealer's financial
condition; (c) interruption of relations between Dealer and DFS or Guarantor;
(d) claim or action by Dealer against DFS; and/or (e) increases or decreases in
any credit DFS may provide to Dealer.

3. Unconditional Obligations. Guarantor will pay DFS even if DFS has not: (a)
notified Dealer that it is in default of the Liabilities, and/or that DFS
intends to accelerate or has accelerated the payment of all or any part of the
Liabilities, or (b) exercised any of DFS' rights or remedies against Dealer, any
other person or any current or future collateral. If Dealer hereafter undergoes
any change in its ownership, identity or organizational structure, this Guaranty
will extend to all current and future obligations which such new or changed
legal entity owes to DFS.

4. Waivers. Guarantor irrevocably waives: notice of DFS' acceptance of this
Guaranty, presentment, demand, protest, nonpayment, nonperformance, notice of
breach or default, notice of intent to accelerate and notice of acceleration of
any indebtedness of Dealer, any right of contribution from other guarantors,
dishonor, the amount of indebtedness of Dealer outstanding at any time, the
number and amount of advances made by DFS to Dealer in reliance on this Guaranty
and any claim or action against Dealer; all other demands and notices required
by law; all rights of offset and counterclaims against DFS or Dealer; all
defenses to the enforceability of this Guaranty (including, without limitation,
fraudulent inducement). Guarantor further waives all defenses based on
suretyship or impairment of collateral, and defenses which the Dealer may assert
on the underlying debt, including but not limited to, failure of consideration,
breach of warranty, fraud, payment,

                                       1
<PAGE>   96

statute of frauds, bankruptcy, lack of legal capacity, statute of limitations,
lender liability, deceptive trade practices, accord and satisfaction and usury.
Guarantor also waives all rights to claim, arbitrate for or sue for any punitive
or exemplary damages. In addition, Guarantor hereby irrevocably subordinates to
DFS any and all of Guarantor's present and future rights and remedies: (a) of
subrogation against Dealer to any of DFS' rights or remedies against Dealer, (b)
of contribution, reimbursement, indemnification and restoration from Dealer; and
(c) to assert any other claim or action against Dealer directly or indirectly
relating to this Guaranty, such subordinations to last until DFS has been paid
in full for all Liabilities. All of Guarantor's waivers and subordinations
herein will survive any termination of this Guaranty.

5. Warranties and Representations. Guarantor has made an independent
investigation of the financial condition of Dealer and gives this Guaranty based
on that investigation and not upon any representation made by DFS. Guarantor has
access to current and future Dealer financial information which enables
Guarantor to remain continuously informed of Dealer's financial condition.
Guarantor represents and warrants to DFS that Guarantor has received and will
receive substantial direct or indirect benefit by making this Guaranty and
incurring the Liabilities. Guarantor also represents and warrants to DFS that
Guarantor is solvent and Guarantor's execution of this Guaranty will not make
Guarantor insolvent. Guarantor further represents and warrants to DFS that: (a)
the present fair salable value of Guarantor's assets is greater than the amount
required to pay Guarantor's liabilities (including contingent, subordinated,
unmatured and unliquidated liabilities); (b) Guarantor is able to pay all of its
liabilities (including contingent, subordinated, unmatured and unliquidated
liabilities) as they become absolute and matured; and (c) Guarantor does not
have unreasonably small capital.

6. Grant of Security Interest. To secure payment of all Liabilities and all of
Guarantor's current and future debts to DFS, whether under this Guaranty or any
current or future guaranty or other agreement, Guarantor grants DFS a security
interest in all of Guarantor's (1) new and used inventory and equipment which is
financed by DFS for, or against which DFS has loaned monies to, Guarantor or
Dealer or any of their subsidiaries or affiliated companies, whether now owned
or hereafter acquired and whether or not transferred among such entities or any
of their subsidiaries or affiliated companies, and (2) all accounts, contract
rights, chattel paper, security agreements, deposit accounts, reserves,
documents, general intangibles and instruments arising from the sale, lease,
rental or other disposition of all such inventory and equipment, and all
judgments, claims, insurance policies and payments owed or made to Guarantor
thereon, and all attachments, accessories, accessions, substitutions and
replacements thereto and all cash and non-cash proceeds of all of the foregoing.
All such assets are collectively referred to herein as the "Collateral." All of
such terms for which meanings are provided in the Uniform Commercial Code of the
applicable state are used herein with such meanings. All Collateral financed by
DFS for Dealer or Guarantor, and all proceeds thereof, will be held in trust by
Guarantor for DFS.

7. Additional Warranties and Representations. Guarantor warrants and represents
to DFS that: (a) Guarantor has good title to all Collateral; (b) DFS' security
interest in the Collateral financed by DFS for Dealer or Guarantor is not now
and will not become subordinate to the security interest, lien, encumbrance or
claim of any person; (c) Guarantor will execute all documents DFS requests to

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<PAGE>   97

perfect and maintain DFS' security interest in the Collateral; (d) Guarantor
will deliver to DFS immediately upon each request, and DFS may retain, each
Certificate of Title or Statement of Origin issued for Collateral financed by
DFS for Dealer or Guarantor; (e) Guarantor will at all times be duly organized,
existing, in good standing, qualified and licensed to do business in each state,
county, or parish, in which the nature of its business or property so requires;
(f) Guarantor has the right and is duly authorized to enter into this Guaranty;
(g) Guarantor's execution of this Guaranty does not constitute a breach of any
agreement to which Guarantor is now or hereafter becomes bound; (h) there are
and will be no actions or proceedings pending or threatened against Guarantor
which might result in any material adverse change in Guarantor's financial or
business condition or which might in any way adversely affect any of Guarantor's
assets; (i) Guarantor will maintain the Collateral in good condition and repair;
(j) Guarantor has duly filed and will duly file all tax returns required by law;
(k) Guarantor has paid and will pay when due all taxes, levies, assessments and
governmental charges of any nature; (I) Guarantor will keep and maintain all of
its books and records pertaining to the Collateral at its principal place of
business designated below; (m) Guarantor will promptly supply DFS with such
information concerning it as DFS hereafter may reasonably request; (n) all
Collateral will be kept at Dealer's principal place of business or Guarantor's
place of business listed below, and such other locations, if any, of which
Dealer or Guarantor has notified DFS in writing or as listed on any current or
future Exhibit "A" attached to any Agreement for Wholesale Financing or security
agreement between Dealer and DFS or this Guaranty which written notice(s) to DFS
and Exhibit A(s) are incorporated herein by reference; (o) Guarantor will give
DFS thirty (30) days prior written notice of any change in Guarantor's identity,
name, form of business organization, ownership, management, principal place of
business, Collateral locations or other business locations, and before moving
any books and records to any other location; (p) Guarantor will observe and
perform all matters required by any lease, license, concession or franchise
forming part of the Collateral in order to maintain all the rights of DFS
thereunder; (q) Guarantor will advise DFS of the commencement of material legal
proceedings against Dealer or Guarantor; and (r) Guarantor will comply with all
applicable laws and will conduct its business in a manner which preserves and
protects the Collateral and the earnings and incomes thereof.

8. Negative Covenants. Guarantor will not at any time (without DFS' prior
written consent): (a) other than in the ordinary course of its business, sell,
lease or otherwise dispose of or transfer any of its assets; (b) rent, lease,
demonstrate, consign, or use any Collateral financed by DFS for Dealer or
Guarantor; or (c) merge or consolidate with another entity.

9. Insurance. Guarantor will immediately notify DFS of any loss, theft or damage
to any Collateral. Guarantor will keep the Collateral insured for its full
insurable value under an "all risk" property insurance policy with a company
acceptable to DFS, naming DFS as a lender loss-payee and containing standard
lender's loss payable and termination provisions. Guarantor will provide DFS
with written evidence of such property insurance coverage and lender's
loss-payee endorsement.

10. Financial Statements. Guarantor will provide DFS with financial statements
on it each year within ninety (90) days after the end of Dealer's fiscal year
end. Guarantor warrants and represents

                                       3
<PAGE>   98

to DFS that all financial statements and information relating to Guarantor or
Dealer which have been or may hereafter be delivered by Guarantor or Dealer to
DFS are true and correct and have been and will be prepared in accordance with
generally accepted accounting principles consistently applied and, with respect
to previously delivered statements and information, there has been no material
adverse change in the financial or business condition of Guarantor or Dealer
since the submission to DFS, either as of the date of delivery, or if different,
the date specified therein, and Guarantor acknowledges DFS' reliance thereon.

11. Reviews. Guarantor grants DFS an irrevocable license to enter Guarantor's
business locations during normal business hours without notice to Guarantor to:
(a) account for and inspect all Collateral; (b) verify Guarantor's compliance
with this Guaranty; and (c) examine and copy Guarantor's books and records
related to the Collateral.

12. Default. Guarantor will be in default under this Guaranty if: (a) Dealer
breaches any terms, warranties or representations contained in any Agreement for
Wholesale Financing, in any Statement of Transaction to which Dealer has not
objected, or in any other agreement between DFS and Dealer; (b) Guarantor
breaches any terms, warranties or representations contained herein or in any
other agreement between Guarantor and DFS; (c) any representation, statement,
report or certificate made or delivered by Dealer or Guarantor to DFS is not
accurate when made; (d) Dealer fails to pay any portion of Dealer's debts to DFS
when due and payable under any agreement between DFS and Dealer; (e) Guarantor
fails to pay any portion of Guarantor's debts to DFS when due and payable under
any agreement between DFS and Guarantor; (f) Dealer or Guarantor abandons any
Collateral; (g) Dealer or Guarantor is or becomes in default in the payment of
any debt owed to any third party; (h) a money judgment issues against Dealer or
Guarantor; (i) an attachment, sale or seizure issues or is executed against any
assets of Dealer or Guarantor; (j) Guarantor dies if Guarantor is an individual,
any general partner dies while Guarantor is a general or limited partnership, or
any member dies while Guarantor is a limited liability company, as applicable;
(k) Dealer or Guarantor shall cease existence as a corporation, partnership,
limited liability company or trust, as applicable; (l) Dealer or Guarantor
ceases or suspends business; (m) Dealer, Guarantor or any member while Dealer or
Guarantor is a limited liability company, as applicable, makes a general
assignment for the benefit of creditors; (n) Dealer, Guarantor or any member
while Dealer or Guarantor is a limited liability company, as applicable, becomes
insolvent or voluntarily or involuntarily becomes subject to the Federal
Bankruptcy Code, any state insolvency law or any similar law; (o) any receiver
is appointed for any assets of Dealer, Guarantor or any member while Dealer or
Guarantor is a limited liability company, as applicable; (p) this Guaranty or
any other guaranty of Dealer's debts to DFS is terminated; (q) Dealer or
Guarantor loses any franchise, permission, license or right to sell or deal in
any Collateral which DFS finances for Dealer or Guarantor; (r) Dealer or
Guarantor misrepresents their respective financial condition or organizational
structure; or (5) DFS determines in good faith that it is insecure with respect
to any of the Collateral or the payment of any part of Dealer's or Guarantor's
obligation to DFS.

                                       4
<PAGE>   99

13. Rights of DFS Upon Default. In the event of a default:

         (a)      DFS may at any time at DFS' election, without notice or demand
                  to Dealer or Guarantor, do any one or more of the following:
                  declare all or any part of the debt Guarantor owes DFS,
                  whether contingent or noncontingent and whether arising
                  hereunder or under any other agreement between Guarantor and
                  DFS, immediately due and payable, together with all costs and
                  expenses of DFS' collection activity, including, without
                  limitation, all reasonable attorneys' fees; exercise any or
                  all rights under applicable law (including, without
                  limitation, the right to possess, transfer and dispose of the
                  Collateral); and/or cease extending any additional credit to
                  Guarantor, if applicable, or Dealer (DFS' right to cease
                  extending credit shall not be construed to limit the
                  discretionary nature of any credit facility)

         (b)      Guarantor will segregate and keep the Collateral in trust for
                  DFS, and in good order and repair, and will not sell, rent,
                  lease, consign, otherwise dispose of or use any Collateral,
                  nor further encumber any Collateral.

         (c)      Upon DFS' oral or written demand, Guarantor will immediately
                  deliver the Collateral to DFS, in good order and repair, at a
                  place specified by DFS, together with all related documents;
                  or DFS may, in DFS' sole discretion and without notice or
                  demand to Guarantor, take immediate possession of the
                  Collateral together with all related documents.

                  All of DFS' rights and remedies are cumulative. DFS' failure
                  to exercise any of DFS' rights or remedies hereunder will not
                  waive any of DFS' rights or remedies as to any past, current
                  or future default.

14. Sale of Collateral. Guarantor agrees that if DFS conducts a private sale of
any Collateral by requesting bids from 10 or more dealers or distributors in
that type of Collateral, any sale by DFS of such Collateral in bulk or in
parcels within 120 days of: (a) DFS' taking possession and control of such
Collateral; or (b) when DFS is otherwise authorized to sell such Collateral;
whichever occurs last, to the bidder submitting the highest cash bid therefor,
is a commercially reasonable sale of such Collateral under the Uniform
Commercial Code. Guarantor agrees that the purchase of any Collateral by a
vendor, as provided in any agreement between DFS and the vendor, is a
commercially reasonable disposition and private sale of such Collateral under
the Uniform Commercial Code, and no request for bids shall be required.
Guarantor further agrees that 7 or more days prior written notice will be
commercially reasonable notice of any public or private sale (including any sale
to a Vendor). Guarantor irrevocably waives any requirement that DFS retain
possession and not dispose of any Collateral until after an arbitration hearing,
arbitration award, confirmation, trial or final judgment. If DFS disposes of any
such Collateral other than as herein contemplated, the commercial reasonableness
of such disposition will be determined in accordance with the laws of the state
governing this Guaranty.

15. Power of Attorney. Guarantor grants DFS an irrevocable power of attorney to:
execute or endorse on Guarantor's behalf any checks, financing statements,
instruments, Certificates of Title and Statements of Origin pertaining to the
Collateral; supply any omitted information and correct errors in any documents
between DFS and Guarantor; initiate and settle any insurance claim pertaining to
the Collateral; and do anything to preserve and protect the Collateral and DFS'
rights and interest therein.

                                       5
<PAGE>   100

16. Termination. Guarantor may terminate this Guaranty by a written notice to
DFS, the termination to be effective sixty (60) days after DFS receives and
acknowledges it, but the termination will not terminate Guarantor's obligations
hereunder for Liabilities arising prior to the effective termination date.

17. Binding Effect. Guarantor cannot assign this Guaranty without DFS' prior
written consent, although DFS may assign its interest herein without notice to,
or consent from, Guarantor. This Guaranty will protect and bind DFS' and
Guarantor's respective heirs, representatives, Successors and assigns.

18. Notices. Except as otherwise stated herein, all notices, arbitration claims,
responses, requests and documents will be sufficiently given or served if mailed
or delivered: (a) to Guarantor at its address below; (b) to DFS at 655 Maryville
Centre Drive, St. Louis, Missouri 63141-5832, Attention: General Counsel; or
such other address as the parties may specify from time to time in writing.

19. Severability. If any provision of this Guaranty or its application is
invalid or unenforceable, the remainder of this Guaranty will not be impaired or
affected and will remain binding and enforceable.

20. Supplement. If Guarantor and DFS have heretofore executed other guaranties
or agreements in connection with all or any part of the Collateral, this
Guaranty shall supplement each and every other such guaranty and agreement
previously executed by and between Guarantor and DFS, and in that event this
Guaranty shall neither be deemed a novation nor a termination of such previously
executed guaranty or agreement nor shall execution of this Guaranty be deemed a
satisfaction of any obligation secured by such previously executed guaranty or
agreement.

21. Receipt of Guaranty. Guarantor has read and understood all terms and
provisions of this Guaranty. Guarantor acknowledges receipt of a true copy of
this Guaranty and of all agreements between DFS and Dealer. The meanings of all
terms herein are equally applicable to both the singular and plural forms of
such terms. Notwithstanding anything herein to the contrary: (a) DFS may rely on
any facsimile copy, electronic data transmission or electronic data storage of
this Guaranty, any agreement between DFS and Dealer, any Statement of
Transaction, billing statement, invoice from a vendor, financial statements or
other report, and (b) such facsimile copy, electronic data transmission or
electronic data storage will be deemed an original, and the best evidence
thereof for all purposes, including, without limitation, under this Guaranty or
any other agreement between DFS and Guarantor, and for all evidentiary purposes
before any arbitrator, court or other adjudicatory authority.

22. NO ORAL AGREEMENTS. Oral agreements or commitments to loan money, extend
credit or to forbear from enforcing repayment of a debt including promises to
extend or renew such debt

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<PAGE>   101

are not enforceable. To protect Guarantor and DFS from misunderstanding or
disappointment, any agreements Guarantor and DFS or Dealer and DFS reach
covering such matters are contained in this Guaranty, an Agreement for Wholesale
Financing, or another agreement between Guarantor and DFS or between Dealer and
DFS, which agreement(s) is (are) the complete and exclusive statement of the
agreement between Guarantor and DFS and between Dealer and DFS, except as
specifically provided herein, in such other agreement(s) or as Guarantor and DFS
or Dealer and DFS may later agree in writing.

23. Miscellaneous. This Guaranty will survive any federal and/or state
bankruptcy or insolvency action involving Dealer. If DFS is required in any
action involving Dealer to return or rescind any payment made to or value
received by DFS from or for the account of Dealer, this Guaranty will remain in
full force and effect and will be automatically reinstated without any further
action by DFS and notwithstanding any termination of this Guaranty or DFS'
release of Guarantor. Any delay or failure by DFS, or DFS' successors or
assigns, in exercising any of DFS' rights or remedies hereunder will not waive
any such rights or remedies. If Guarantor fails to pay any taxes, fees or other
obligations which may impair DFS' interest in the Collateral, or fails to keep
the Collateral insured, DFS may, but shall not be required to, pay such taxes,
fees or obligations and pay the cost to insure the Collateral, and the amounts
paid will be: (a) an additional debt directly owed by Guarantor to DFS, which
shall be subject to finance charges at the highest rate allowed by law; and (b)
due and payable immediately in full. Guarantor agrees to pay all of DFS'
reasonable attorneys fees and expenses incurred by DFS in enforcing DFS' rights
hereunder. The Section titles used in this Guaranty are for convenience only and
do not define or limit the contents of any Section.

24. BINDING ARBITRATION.

         24.1 Arbitrable Claims. Except as otherwise specified below, all
actions, disputes, claims and Controversies under common law, statutory law or
in equity of any type or nature whatsoever (including, without limitation, all
torts, whether regarding negligence, breach of fiduciary duty, restraint of
trade, fraud, conversion, duress, interference, wrongful replevin, wrongful
sequestration, fraud in the inducement, usury or any other tort, all contract
actions, whether regarding express or implied terms, such as implied covenants
of good faith, fair dealing, and the commercial reasonableness of any collateral
disposition, or any other contract claim, all claims of deceptive trade
practices or lender liability, and all claims questioning the reasonableness or
lawfulness of any act), whether arising before or after the date of this
Guaranty, and whether directly or indirectly relating to: (a) this Guaranty
and/or any amendments and addenda hereto, or the breach, invalidity or
termination hereof; (b) any previous or subsequent agreement between DFS and us;
(c) any act committed by DFS or by any parent company, subsidiary or affiliated
company of DFS (the "DFS Companies"), or by an employee, agent, officer or
director of a DFS Company, whether or not arising within the scope and course of
employment or other contractual representation of the DFS Companies provided
that such act arises under a relationship, transaction or dealing between DFS
and Dealer or DFS and Guarantor; and/or (d) any other relationship, transaction,
dealing or agreement between DFS and Dealer or DFS and Guarantor (collectively
the "Disputes"), will be subject to and resolved by binding arbitration.

                                       7
<PAGE>   102

         24.2 Administrative Body. All arbitration hereunder will be conducted
in accordance with The Commercial Arbitration Rules of The American Arbitration
Association ("AAA"). If the AAA is dissolved, disbanded or becomes subject to
any state or federal bankruptcy or insolvency proceeding, the parties will
remain subject to binding arbitration which will be conducted by a mutually
agreeable arbitral forum. The parties agree that all arbitrator('s) selected
will be attorneys with at least five (5) years secured transactions experience.
The arbitrator(s) will decide if any inconsistency exists between the rules of
any applicable arbitral forum and the arbitration provisions contained herein.
If such inconsistency exists, the arbitration provisions contained herein will
control and supersede such rules. The site of all arbitrations will be in the
Division of the Federal Judicial District in which AAA maintains a regional
office that is closest to Dealer.

         24.3 Discovery. Discovery permitted in any arbitration proceeding
commenced hereunder is limited as follows: No later than thirty (30) days after
the filing of a claim for arbitration, the parties will exchange detailed
statements setting forth the facts supporting the claim(s) and all defenses to
be raised during the arbitration, and a list of all exhibits and witnesses. No
later than twenty-one (21) days prior to the arbitration hearing, the parties
will exchange a final list of all exhibits and all witnesses, including any
designation of any expert witness(es) together with a summary of their
testimony; a copy of all documents and a detailed description of any property to
be introduced at the hearing. Under no circumstances will the use of
interrogatories, requests for admission, requests for the production of
documents or the taking of depositions be permitted. However, in the event of
the designation of any expert witness(es), the following will occur: (a) all
information and documents relied upon by the expert witness(es) will be
delivered to the opposing party, (b) the opposing party will be permitted to
depose the expert witness(es), (c) the opposing party will be permitted to
designate rebuttal expert witness(es), and (d) the arbitration hearing will be
continued to the earliest possible date that enables the foregoing limited
discovery to be accomplished.

         24.4 Exemplary or Punitive Damages. The Arbitrator(s) will not have the
authority to award exemplary or punitive damages.

         24.5 Confidentiality of Awards. All arbitration proceedings, including
testimony or evidence at hearings, will be kept confidential, although any award
or order rendered by the arbitrator(s) pursuant to the terms of this Guaranty
may be entered as a judgment or order in any state or federal court and may be
entered as a judgment or order within the federal judicial district which
includes the residence of the party against whom such award or order was
entered. This Guaranty concerns transactions involving commerce among the
several states. The Federal Arbitration Act ("FAA") will govern all
arbitration(s) and confirmation proceedings hereunder.

         24.6 Prejudgment and Provisional Remedies. Nothing herein will be
Construed to prevent DFS' or Guarantor's use of bankruptcy, receivership,
injunction, repossession, replevin, claim and delivery, sequestration, seizure,
attachment, foreclosure, dation and/or any other prejudgment or provisional
action or remedy relating to any collateral for any current or future debt owed
by either party to the other. Any such action or remedy will not waive DFS' or
Guarantor's right to compel arbitration of any Dispute.

                                       8
<PAGE>   103

         24.7 Attorneys' Fees. If either Guarantor or DFS bring any other action
for judicial relief with respect to any Dispute (other than those set forth in
the immediately preceding paragraph), the party bringing such action will be
liable for and immediately pay all of the other party's costs and expenses
(including attorneys' fees). incurred to stay or dismiss such action and remove
or refer such Dispute to arbitration. If either Guarantor or DFS bring or appeal
an action to vacate or modify an arbitration award and such party does not
prevail, such party will pay all costs and expenses, including attorneys' fees,
incurred by the other party in defending such action. Additionally, if Guarantor
sues DFS or institutes any arbitration claim or counterclaim against DFS in
which DFS is the prevailing party, Guarantor will pay all costs and expenses
(including attorneys' fees) incurred by DFS in the course of defending such
action or proceeding.

         24.8 Limitations. Any arbitration proceeding must be instituted: (a)
with respect to any Dispute for the collection of any debt owed by either party
to the other, within two (2) years after the date the last payment was received
by the instituting party; and (b) with respect to any other Dispute, within two
(2) years after the date the incident giving rise thereto occurred, whether or
not any damage was sustained or capable of ascertainment or either party knew of
such incident. Failure to institute an arbitration proceeding within such period
will constitute an absolute bar and waiver to the institution of any proceeding
with respect to such Dispute.

         24.9 Survival After Termination. The agreement to arbitrate will
survive the termination of this Guaranty.

25. INVALIDITY/UNENFORCEABILITY OF BINDING ARBITRATION. IF THIS GUARANTY IS
FOUND TO BE NOT SUBJECT TO ARBITRATION, ANY LEGAL PROCEEDING WITH RESPECT TO ANY
DISPUTE WILL BE TRIED IN A COURT OF COMPETENT JURISDICTION BY A JUDGE WITHOUT A
JURY. DFS AND GUARANTOR WAIVE ANY RIGHT TO A JURY TRIAL IN ANY SUCH PROCEEDING.

26. Governing Law. Guarantor acknowledges and agrees that this Guaranty and all
agreements between Dealer and DFS have been substantially negotiated, and will
be performed, in the state of Missouri. Accordingly, Guarantor agrees that all
Disputes will be governed by, and construed in accordance with, the laws of such
state, except to the extent inconsistent with the provisions of the FAA which
will control and govern all arbitration proceedings herein.

THIS CONTRACT CONTAINS BINDING ARBITRATION, JURY WAIVER AND PUNITIVE DAMAGE
WAIVER PROVISIONS.

Date: August 8, 1999

                                       9
<PAGE>   104

                            "SECRETARY'S CERTIFICATE

I hereby certify that I am the Secretary or Assistant Secretary of Crescent
Machinery Company. ("Guarantor") and that execution of the above Guaranty was
ratified, approved and confirmed by the Shareholders at a meeting, if necessary,
and pursuant to a resolution of the Board of Directors of Guarantor at a meeting
of the Board of Directors duly called, and which is currently in effect, which
resolution was duly presented, seconded and adopted and reads as follows:

"BE IT RESOLVED that any officer of this corporation is hereby authorized to
execute a guaranty of the obligations of Solvenson Crane Rentals, Inc.
("Dealer") to Deutsche Financial Services Corporation ("DFS") on behalf of the
corporation, which instrument may contain such terms as the above named persons
may see fit including, but not limited to a waiver of notice of the acceptance
of the guaranty; presentment; demand; protest; notices of nonpayment,
nonperformance, dishonor, the amount of indebtedness of Dealer outstanding at
any time, any legal proceedings against Dealer, and any other demands and
notices required by law; and any right of contribution from other guarantors. As
security for such guaranty to DFS, any officer of this corporation is hereby
authorized to pledge, assign, mortgage, grant security interests, and otherwise
transfer to DFS as collateral security for any obligations of this corporation
to DFS, whenever and however arising, any assets of this corporation, whether
now owned or hereafter acquired."

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the corporate seal
on this 4th day of August, 1999.

                                       10
<PAGE>   105
                        AGREEMENT FOR WHOLESALE FINANCING
                       (Industrial/Construction - Rental)

This Agreement for Wholesale Financing ("Agreement") is made as of April 6, 1998
between Deutsche Financial Services Corporation ("DFS") and Moody-Day, Inc., a
[___] SOLE PROPRIETORSHIP, [__] PARTNERSHIP, [X] CORPORATION, [__] LIMITED
LIABILITY COMPANY (check applicable term) ("Dealer"), having a principal place
of business located at 2323 Irving Blvd. Dallas, TX 75207.

         1. Extension of Credit. In the course of Dealer's business, Dealer
acquires new and used inventory and equipment ("Inventory") which is
manufactured or sold by, and/or which bears a trademark or trade name of: (a)
JCB, Ingersoll-Rand, P & H Cranes, Pioneer Boom Trucks, Super Pac and Broderson
or any of their subsidiaries or affiliated companies ("Vendor"), or (b) other
manufacturers or distributors. Subject to the terms of this Agreement, DFS, in
its sole discretion, may extend credit to Dealer from time to time to purchase
Inventory from Vendor or other manufacturers or distributors. If DFS advances
funds to Dealer following Dealer's execution of this Agreement, DFS will be
deemed to have entered into this Agreement with Dealer, whether or not executed
by DFS. DFS may combine all of DFS' advances to Dealer or on Dealer's behalf,
whether under this Agreement or any other agreement, and whether provided by one
or more of DFS' branch offices, together with all finance charges, fees and
expenses related thereto, to make one debt owed by Dealer. DFS' decision to
advance funds on any Inventory will not be binding until the funds are actually
advanced. DFS may, at any time and without notice to Dealer, elect not to
finance any Inventory sold by Vendor or another specific manufacturer or
distributor if Vendor or the specific manufacturer or distributor is in default
of its obligations to DFS, or with respect to which DFS reasonably feels
insecure.

         2. Financing Terms and Statements of Transaction. Dealer and DFS agree
that certain financial terms of any advance made by DFS under this Agreement,
whether regarding finance charges, other fees, maturities, curtailments or other
financial terms, are not set forth herein because such terms depend, in part,
upon the availability from time to time of discounts, payment terms or other
incentives from Vendor and other manufacturers and distributors, prevailing
economic conditions, and other economic factors which may vary over time. It is
therefore in DFS' and Dealer's best interest to set forth in this Agreement only
the general terms of Dealer's financing arrangement with DFS. Upon agreeing to
finance a particular item of Inventory for Dealer, DFS will send Dealer a
Statement of Transaction, and any amendment thereto ("Statement of
Transaction"), identifying such Inventory and the applicable financial terms.
Unless Dealer notifies DFS in writing of any objection within fifteen (15) days
after a Statement of Transaction is mailed to Dealer: (a) the amount shown on
such Statement of Transaction will be an account stated; (b) Dealer will have
agreed to all rates, charges and other terms shown on such Statement of
Transaction; (c) Dealer will have agreed that the items of Inventory referenced
in such Statement of Transaction are being financed by DFS at Dealer's request;
and (d) such Statement of Transaction will be incorporated herein by reference,
will be made a part hereof as if originally set forth herein, and will
constitute an addendum hereto. If Dealer objects to the terms of any Statement
of Transaction, Dealer will pay DFS for such Inventory

                                       1
<PAGE>   106

in accordance with the most recent terms for similar Inventory to which Dealer
has not objected (or, if there are no prior terms, at the lesser of 16% per
annum or at the maximum lawful contract rate of interest permitted under
applicable law), but Dealer acknowledges that DFS may then elect to terminate
Dealer's financing program pursuant to Section 17, and cease making additional
advances to Dealer. However, such termination will not accelerate the maturities
of advances previously made, unless Dealer shall otherwise be in default of this
Agreement.

         3. Security Interest. To secure payment of all Dealer's current and
future debts to DFS, whether under this Agreement or any current or future
guaranty or other agreement, Dealer grants DFS a security interest in all of
Dealer's new and used inventory and equipment which is manufactured or sold by,
and/or which bears a trademark or trade name of, (a) Vendor, or (b) any other
manufacturer or distributor, in each case which is financed by DFS or against
which DFS has advanced monies, whether now owned or hereafter acquired by
Dealer, and all accounts, contract rights, chattel paper, security agreements,
deposit accounts, reserves, documents, general intangibles and instruments
arising from all such inventory and equipment, and all judgments, claims,
insurance policies and payments owed or made to Dealer thereon, and all
attachments, accessories, accessions, substitutions and replacements thereto and
all proceeds thereof. All such assets are collectively referred to herein as the
"Collateral." All of such terms for which meanings are provided in the Uniform
Commercial Code of the applicable state are used herein with such meanings. All
Collateral financed by DFS, and all proceeds thereof, will be held in trust by
Dealer for DFS solely for release or distribution to DFS, with such proceeds
being payable solely to DFS in accordance with Section 9.

         4. Affirmative Warranties and Representations. Dealer warrants and
represents to DFS that: (a) Dealer has good title to all Collateral; (b) DFS'
security interest in the Collateral is not now and will not become subordinate
to the security interest, lien, encumbrance or claim of any person; (c) Dealer
will execute all documents DFS requests to perfect and maintain DFS' security
interest in the Collateral; (d) Dealer will deliver to DFS immediately upon each
request, and DFS may retain, each Certificate of Title or Statement of Origin
issued for Collateral; (e) Dealer will at all times be duly organized, existing,
in good standing, qualified and licensed to do business in each state, county,
or parish, in which the nature of its business or property so requires; (f)
Dealer has the right and is duly authorized to enter into this Agreement; (g)
Dealer's execution of this Agreement does not constitute a breach of any
agreement to which Dealer is now or hereafter becomes bound; (h) there are and,
to the best of Dealer's knowledge will be, no actions or proceedings pending or
threatened against Dealer which might result in any material adverse change in
Dealer's financial or business condition or which might in any way adversely
affect any of Dealer's assets; (i) Dealer will maintain the Collateral in good
condition and repair; (j) Dealer has duly filed and will duly file all tax
returns required by law; (k) Dealer has paid and will pay when due all taxes,
levies, assessments and governmental charges of any nature; (1) Dealer will keep
and maintain all of its books and records pertaining to the Collateral at its
principal place of business designated in this Agreement; (m) Dealer will
promptly supply DFS with such information concerning it or any guarantor as DFS
hereafter may reasonably request; (n) all Collateral will be kept at Dealer's
principal place of business listed above, and such other locations, if any, of
which Dealer has notified DFS in writing or as listed on any current or future
Exhibit "A" attached hereto which written notice(s) to DFS and Exhibit A(s) are

                                       2
<PAGE>   107

incorporated herein by reference; (0) Dealer will give DFS thirty (30) days
prior written notice of any change in Dealer's identity, name, form of business
organization, ownership, management, principal place of business, Collateral
locations or other business locations, and before moving any books and records
to any other location; (p) Dealer will observe and perform all matters required
by any lease, license, concession or franchise forming part of the Collateral in
order to maintain all the rights of DFS thereunder; (q) Dealer will advise DFS
of the commencement of material legal proceedings against Dealer or any
guarantor; and (r) Dealer will comply with all applicable laws and will conduct
its business in a manner which preserves and protects the Collateral and the
earnings and incomes thereof.

         5. Negative Covenants. Dealer will not at any time (without DFS' prior
written consent) : (a) other than in the ordinary course of its business, sell,
demonstrate, lease or otherwise dispose of or transfer any of its assets; (b)
demonstrate, consign, or use any Collateral; or (c) merge or consolidate with
another entity.

         6. Insurance. Dealer will immediately notify DFS of any loss, theft or
damage to any Collateral. Dealer will keep the Collateral insured for its full
insurable value under an "all risk" property insurance policy with a company
acceptable to DFS, naming DFS as a lender loss-payee or mortgagee and containing
standard lender's loss payable and termination provisions. Dealer will provide
DFS with written evidence of such property insurance coverage and lender's
loss-payee or mortgagee endorsement.

         7. Financial Statements. Dealer will deliver to DFS: (a) within ninety
(90) days after the end of each of Dealer's fiscal years, a reasonably detailed
balance sheet as of the last day of such fiscal year and a reasonably detailed
income statement covering Dealer's operations for such fiscal year, in a form
satisfactory to DFS; (b) within forty-five (45) days after the end of each of
Dealer's fiscal quarters, a reasonably detailed balance sheet as of the last day
of such quarter and an income statement covering Dealer's operations for such
quarter, in a form satisfactory to DFS; and (c) within thirty (30) days after
request therefor by DFS, any other report requested by DFS relating to the
Collateral or the financial condition of Dealer. Dealer warrants and represents
to DFS that all financial statements and information relating to Dealer or any
guarantor which have been or may hereafter be delivered by Dealer or any
guarantor are true and correct and have been and will be prepared in accordance
with generally accepted accounting principles consistently applied and, with
respect to such previously delivered statements or information, there has been
no material adverse change in the financial or business condition of Dealer or
any guarantor since the submission to DFS, either as of the date of delivery,
or, if different, the date specified therein, and Dealer acknowledges DFS'
reliance thereon.

         8. Reviews. Dealer grants DFS an irrevocable license to enter Dealer's
business locations during normal business hours without notice to Dealer to: (a)
account for and inspect all Collateral; (b) verify Dealer's compliance with this
Agreement; and (c) examine and copy Dealer's books and records related to the
Collateral.

                                       3
<PAGE>   108

         9. Payment Terms. Dealer will immediately pay DFS the principal
indebtedness owed DFS on each item of Inventory financed by DFS or against which
DFS has advanced funds on the earliest occurrence of any of the following
events: (a) (i) when such Inventory is lost, stolen or damaged - immediately if
such loss, theft or damage is not covered completely by insurance, or (ii) if
completely covered by insurance, then upon Dealer's receipt of the insurance
proceeds therefor or thirty (30) days following the loss theft or damage,
whichever occurs first; (b) when such Inventory is sold, transferred or
otherwise disposed of; provided, however, if any item of Inventory financed by
DFS or against which DFS has advanced funds is sold and Dealer does not receive
payment for such item at the time of sale, Dealer will pay DFS the full amount
of the principal balance owed DFS on such item of Inventory within thirty (30)
days immediately following the sale date of such item of Inventory or
immediately upon Dealer's receipt of payment for such items of Inventory,
whichever occurs first; (c) in strict accordance with any curtailment schedule
for such Inventory (as shown on the Statement of Transaction identifying such
Inventory); (d) when any item of such Inventory matures (as shown on the
Statement of Transaction identifying such Inventory). With respect to Inventory
financed by DFS or against which DFS has advanced funds and held for rent and/or
lease, Dealer will owe DFS and agree to pay DFS monthly the percentage of the
principal balance owed on each item of such Inventory that is required under the
terms of Dealer's financing program with DFS. However, if any Inventory financed
by DFS or against which DFS has advanced funds and held for rent and/or lease:
(A) is sold and Dealer does not receive payment for such item at the time of
sale, Dealer will pay DFS the full amount of the principal balance owed to DFS
on such item of Inventory within thirty (30) days immediately following the sale
date of such item of Inventory or immediately upon Dealer's receipt of payment
for such item of Inventory, whichever occurs first; or (B) is stolen, destroyed
or otherwise disposed of, Dealer will immediately pay DFS the full amount of
Dealer's outstanding indebtedness owed to DFS for such Inventory. If Dealer from
time to time is required to make immediate payment to DFS of any past due
obligation discovered during any Inventory audit, or at any other time, Dealer
agrees that acceptance of such payments by DFS will not be construed to have
waived or amended the terms of its financing program. Dealer will send all
payments to DFS' branch office(s) responsible for Dealer's account. DFS may
apply: (i) payments to reduce finance charges first and then principal,
regardless of Dealer's instructions; and (ii) principal payments to the oldest
(earliest) invoice for Inventory financed by DFS, but, in any event, all
principal payments will first be applied to such Inventory which is sold, lost,
stolen, damaged, rented, leased, or otherwise disposed of or unaccounted for.
Any third party discount, rebate, bonus or credit granted to Dealer for any
Inventory will not reduce the debt Dealer owes DFS until DFS has received
payment therefor in cash. Dealer will: (1) pay DFS even if any Inventory
financed by DFS or against which DFS has advanced funds is defective or fails to
conform to any warranties extended by any third party; (2) not assert against
DFS any claim or defense Dealer has against any third party; and (3) indemnify
and hold DFS harmless against all claims and defenses asserted by any buyer of
the Inventory relating to the condition of, or any representations regarding,
any of the Inventory. Dealer waives all rights of offset and counterclaims which
Dealer may have against DFS.

         10. Calculation of charges. Dealer will pay finance charges to DFS on
the outstanding principal debt Dealer owes DFS for each item of Inventory
financed-by DFS at the rate(s) shown on the Statement of Transaction identifying
such Inventory, unless Dealer objects thereto as provided in

                                       4
<PAGE>   109

Section 2. The finance charges attributable to the rate shown on the Statement
of Transaction will: (a) be computed based on a 360 day year; (b) be calculated
by multiplying the Daily Charge (as defined below) by the actual number of days
in the applicable billing period; and (C) accrue from the invoice date of the
Inventory identified on such Statement of Transaction until DFS receives full
payment of the principal debt Dealer owes DFS for each item of such Inventory in
accordance with DFS' payment recognition policy and DFS applies such payment to
Dealer's principal debt in accordance with the terms of this Agreement. The
"Daily Charge" is the product of the Daily Rate (as defined below) multiplied by
the Average Daily Balance (as defined below) The "Daily Rate" is the quotient of
the annual rate shown on the Statement of Transaction divided by 360, or the
monthly rate shown on the Statement of Transaction divided by 30. The "Average
Daily Balance" is the quotient of: (i) the sum of the outstanding principal debt
owed DFS on each day of a billing period for each item of Inventory identified
on a Statement of Transaction; divided by (ii) the actual number of days in such
billing period. Dealer will also pay DFS $100 for each check returned unpaid for
insufficient funds (an "NSF check") (such $100 payment repays DFS' estimated
administrative costs; it does not waive the default caused by the NSF check) .
Dealer acknowledges that DFS intends to strictly conform to the applicable usury
laws governing this Agreement. Regardless of any provision contained herein or
in any other document executed or delivered in connection herewith or therewith,
DFS shall never be deemed to have contracted for, charged or be entitled to
receive, collect or apply as interest on this Agreement (whether termed interest
herein or deemed to be interest by judicial determination or operation of law),
any amount in excess of the maximum amount allowed by applicable law, and, if
DFS ever receives, collects or applies as interest any such excess, such amount
which would be excessive interest will be applied first to the reduction of the
unpaid principal balances of advances under this Agreement, and, second, any
remaining excess will be paid to Dealer. In determining whether or not the
interest paid or payable under any specific contingency exceeds the highest
lawful rate, Dealer and DFS shall, to the maximum extent permitted under
applicable law: (A) characterize any non-principal payment (other than payments
which are expressly designated as interest payments hereunder) as an expense or
fee rather than as interest; (B) exclude voluntary pre-payments and the effect
thereof; and (C) spread the total amount of interest throughout the entire term
of this Agreement so that the interest rate is uniform throughout such term. The
annual percentage rate of the finance charges relating to any item of Inventory
financed by DFS will be calculated from the invoice date of such Inventory,
regardless of any period during which any finance charge subsidy will be paid or
payable by any third party.

         11. Billing Statement. DFS will send Dealer a monthly billing statement
identifying all charges due on Dealer s account with DFS. The charges specified
on each billing statement will be: (a) due and payable in full upon receipt; and
(b) an account stated, unless DFS receives Dealer's written objection thereto
within 15 days after it is mailed to Dealer. If DFS does not receive, by the
25th day of any given month, payment of all charges accrued to Dealer's account
with DFS during the immediately preceding month, Dealer will (to the extent
allowed by law) pay DFS a late fee ("Late Fee") equal to the greater of $5 or 5%
of the amount of such finance charges (payment of the Late Fee does not waive
the default caused by the late payment). DFS may adjust the billing statement at
any time to conform to applicable law and this Agreement.

                                       5
<PAGE>   110

         12. Rental Contracts. Dealer may rent the Inventory financed by DFS or
against which DFS has advanced funds pursuant to the terms of Dealer's rental
contracts ("Rental Contracts"). Such Inventory will thereafter be subject to the
rates and terms of DFS' financing program in effect for goods which are rented,
as reflected in the Statement of Transaction for such Inventory. All of Dealer's
Rental Contracts, agreements, and rental transactions will be in a form
satisfactory to DFS and will be in accordance with all applicable Federal, State
and local laws. Dealer will indemnify DFS against any loss or damage which DFS
suffers, whether direct or indirect, resulting in any way from the Rental
Contracts, agreements, or rental transactions which fail to comply with such
laws. All Rental Contracts will be transferable to DFS. Dealer will indemnify
DFS against any claims by its customers regarding Dealer's obligations under the
Rental Contracts. Dealer will immediately, upon DFS' request, deliver to DFS all
Rental Contracts and all related documents. This assignment is a transfer for
security only, and, until DFS has foreclosed its interest in the Rental
Contracts, will not be deemed to delegate any of Dealer's duties under the
Rental Contracts to DFS, nor is it intended to alter or impair performance by
either party to the Rental Contracts. DFS may, from time to time, verify the
accuracy of the Rental Contracts, and Dealer will immediately, upon DFS'
request, provide DFS with the following information regarding Rental Contracts
which are in effect on the date of such request: (a) the name, address and
telephone number of each customer who has executed a Rental Contract; (b) the
location of the Inventory; (c) the date of each Rental Contract; (d) the date
when the Inventory is to be returned under each Rental Contract; and, (e) any
other information which DFS may reasonably request. If the rental period under
the Rental Contract is ninety (90) days or longer, Dealer will stamp the
original of such Rental Contract with the following legend:

         `FOR VALUE RECEIVED, THIS AGREEMENT HAS BEEN ASSIGNED TO DEUTSCHE
         FINANCIAL SERVICES CORPORATION AND THERE ARE NO DEFENSES AGAINST THE
         ASSIGNEE.'

Other than to DFS, Dealer will not assign, sell, pledge, convey or by any other
means transfer any Rental Contracts or chattel paper, without DFS' prior written
consent. Dealer will not enter into any Rental Contracts for Inventory financed
by DFS or against which DFS has advanced funds pursuant to which: (i) the
original term of the Rental Contract is greater than three hundred sixty (360)
days; (ii) the original term of the Rental Contract is equal to or greater than
the remaining economic life of such Inventory; (iii) the customer is bound to
renew the Rental Contract for the economic life of such Inventory or is bound to
become the owner of such Inventory; or, (iv) the customer has an option to renew
the Rental Contract for the remaining economic life of such Inventory, or to
become the owner of such Inventory, for nominal consideration, or for
consideration which is less than the unpaid balance owed to DFS for such
Inventory. If any such Rental Contracts are issued, Dealer will take any action
which DFS may reasonably require to perfect and/or protect DFS' security
interest in such Rental Contracts and/or the Inventory subject thereto.

         13. Default. Dealer will be in default under this Agreement if: (a)
Dealer breaches any terms, warranties or representations contained herein, in
any Statement of Transaction to which Dealer has not objected as provided in
Section 2, or in any other agreement between DFS and Dealer; (b) any guarantor
of Dealer's debts to DFS breaches any terms, warranties or representations
contained in

                                       6
<PAGE>   111
any guaranty or other agreement between the guarantor and DFS; (c) any
representation, statement, report or certificate made or delivered by Dealer or
any guarantor to DFS is not accurate when made; (d) Dealer fails to pay any
portion of Dealer's debts to DFS when due and payable hereunder or under any
other agreement between DFS and Dealer; (e) Dealer abandons any Collateral; (f)
Dealer or any guarantor is or becomes in default in the payment of any debt owed
to any third party; (g) a money judgment issues against Dealer or any guarantor;
(h) an attachment, sale or seizure issues or is executed against any assets of
Dealer or of any guarantor; (i) the undersigned dies while Dealer's business is
operated as a sole proprietorship, any general partner dies while Dealer's
business is operated as a general or limited partnership, or any member dies
while Dealer's business is operated as a limited liability company, as
applicable; (j) any guarantor dies; (k) Dealer or any guarantor shall cease
existence as a corporation, partnership, limited liability company or trust, as
applicable; (1) Dealer or any guarantor ceases or suspends business; (m) Dealer,
any guarantor or any member while Dealer's business is operated as a limited
liability company, as applicable, makes a general assignment for the benefit of
creditors; (n) Dealer, any guarantor or any member while Dealer's business is
operated as a limited liability company, as applicable, becomes insolvent or
voluntarily or involuntarily becomes subject to the Federal Bankruptcy Code, any
state insolvency law or any similar law; (0) any receiver is appointed for any
assets of Dealer, any guarantor or any member while Dealer's business is
operated as a limited liability company, as applicable; (p) any guaranty of
Dealer's debts to DFS is terminated; (q) Dealer loses any franchise, permission,
license or right to sell or deal in any Inventory which DFS finances; or (r)
Dealer or any guarantor misrepresents Dealer's or such guarantor's financial
condition or organizational structure.

         14. Rights of DFS Upon Default. In the event of a default:

         (a)      DFS may at any time at DFS' election, without notice or demand
                  to Dealer, do any one or more of the following: declare all or
                  any part of the debt Dealer owes DFS immediately due and
                  payable, together with all costs and expenses of DFS'
                  collection activity, including, without limitation, all
                  reasonable attorney's fees; exercise any or all rights under
                  applicable law (including, without limitation, the right to
                  possess, transfer and dispose of the Collateral); and/or cease
                  extending any additional credit to Dealer (DFS' right to cease
                  extending credit will not be construed to limit the
                  discretionary nature of this credit facility)

         (b)      Dealer will segregate and keep the Collateral in trust for
                  DFS, and in good order and repair, and will not sell, rent,
                  lease, consign, otherwise dispose of or use any Collateral,
                  nor further encumber any Collateral.

         (c)      Upon DFS' oral or written demand, Dealer will immediately
                  deliver the Collateral to DFS, in good order and repair, at a
                  place specified by DFS, together with all related documents;
                  or DFS may, in DFS' sole discretion and without notice or
                  demand to Dealer, take immediate possession of the Collateral
                  together with all related documents.

         (d)      DFS may, without notice, apply a default finance charge to
                  Dealer's outstanding principal indebtedness equal to the
                  default rate specified in Dealer's financing program with DFS,
                  if any, or if there is none so specified, at the lesser of 3%
                  per annum above the rate in effect immediately prior to the
                  default, or the highest lawful contract rate of interest
                  permitted under applicable law.

                                       7
<PAGE>   112
         (e)      Dealer grants DFS an irrevocable power of attorney to: execute
                  or endorse on Dealer's behalf any checks, drafts or other
                  forms of exchange received as payment on any Collateral for
                  deposit in DFS' account; execute financing statements,
                  instruments, Certificates of Title and Statements of Origin
                  pertaining to the Collateral; supply any omitted information
                  and correct errors in any documents between DFS and Dealer;
                  sell, assign, transfer, negotiate, demand, collect, receive,
                  settle, extend, or renew any amounts due on any of the
                  Collateral; do anything Dealer is obligated to do hereunder;
                  initiate and settle any insurance claim pertaining to the
                  Collateral; and do anything to preserve and protect the
                  Collateral and DFS' rights and interests therein.

         (f)      Upon DFS' oral or written demand, Dealer will immediately
                  deliver the original Rental Contracts to DFS, and DFS may
                  collect in DFS' name all amounts owed to Dealer under the
                  Rental Contracts.

All of DFS' rights and remedies are cumulative. DFS' failure to exercise any of
DFS' rights or remedies hereunder will not waive any of DFS' rights or remedies
as to any past, current or future default.

         15. Sale of Collateral. Dealer agrees that if DFS conducts a private
sale of any Collateral by requesting bids from 10 or more dealers or
distributors in that type of Collateral, any sale by DFS of such Collateral in
bulk or in parcels within 120 days of: (a) DFS' taking possession and control of
such Collateral; or (b) when DFS is otherwise authorized to sell such
Collateral; whichever occurs last, to the bidder submitting the highest cash bid
therefor, is a commercially reasonable sale of such Collateral under the Uniform
Commercial Code. Dealer agrees that the purchase of any Collateral by Vendor or
a manufacturer or distributor, as provided in any agreement between DFS and the
Vendor, manufacturer or distributor, is a commercially reasonable disposition
and private sale of such Collateral under the Uniform Commercial Code, and no
request for bids will be required. Dealer further agrees that 7 or more days
prior written notice will be commercially reasonable notice of any public or
private sale (including any sale to Vendor or a manufacturer or distributor).
Dealer irrevocably waives any requirement that DFS retain possession and not
dispose of any Collateral until after an arbitration hearing, arbitration award,
confirmation, trial or final judgment. If DFS disposes of any such Collateral
other than as herein contemplated, the commercial reasonableness of such
disposition will be determined in accordance with the laws of the state
governing this Agreement.

         16. Power of Attorney; Information. Dealer grants DFS an irrevocable
power of attorney to do anything necessary to preserve and protect the
Collateral and DFS' rights and interest therein. DFS may provide to any third
party any credit, financial or other information on Dealer that DFS may from
time to time possess. DFS may obtain from any Vendor, manufacturer or
distributor, any credit, financial or other information regarding Dealer that
such Vendor, manufacturer or distributor may from time to time possess.

         17. Termination. Either party may terminate this Agreement at any time
by written notice received by the other party. If DFS terminates this Agreement,
Dealer agrees that if Dealer: (a) is not in default hereunder, 30 days prior
notice of termination is reasonable and sufficient (although this

                                       8
<PAGE>   113

provision shall not be construed to mean that shorter periods may not, in
particular circumstances, also be reasonable and sufficient); or (b) is in
default hereunder, no prior notice of termination is required. Dealer will riot
be relieved from any obligation to DFS arising out of DFS' advances or
commitments made before the effective termination date of this Agreement. DFS
will retain all of its rights, interests and remedies hereunder until Dealer has
paid all of Dealer's debts to DFS. All waivers set forth within this Agreement
will survive any termination of this Agreement.

         18. Binding Effect. Dealer cannot assign its interest in this Agreement
without DFS' prior written consent, although DFS may assign or participate DFS'
interest, in whole or in part, without Dealer's consent. This Agreement will
protect and bind DFS' and Dealer's respective heirs, representatives, successors
and assigns.

         19. Notices. Except as otherwise stated herein, all notices,
arbitration claims, responses, requests and documents will be sufficiently given
or served if mailed or delivered: (a) to Dealer at Dealer's principal place of
business specified above; and (b) to DFS at 655 Maryville Centre Drive, St.
Louis, Missouri 63141-5832, Attention: General Counsel, or such other address as
the parties may hereafter specify in writing.

         20. NO ORAL AGREEMENTS. ORAL AGREEMENTS OR COMMITMENTS TO LOAN MONEY,
EXTEND CREDIT OR TO FORBEAR FROM ENFORCING REPAYMENT OF A DEBT INCLUDING
PROMISES TO EXTEND OR RENEW SUCH DEBTS ARE NOT ENFORCEABLE. TO PROTECT DEALER
AND DFS FROM MISUNDERSTANDING OR DISAPPOINTMENT, ALL AGREEMENTS COVERING SUCH
MATTERS ARE CONTAINED IN THIS WRITING, WHICH IS THE COMPLETE AND EXCLUSIVE
STATEMENT OF THE AGREEMENT BETWEEN THE PARTIES, EXCEPT AS SPECIFICALLY PROVIDED
HEREIN OR AS THE PARTIES MAY LATER AGREE IN WRITING TO MODIFY IT. THERE ARE NO
UNWRITTEN AGREEMENTS BETWEEN THE PARTIES.

         21. Other Waivers. Dealer irrevocably waives notice of: DFS' acceptance
of this Agreement, presentment, demand, protest, nonpayment, nonperformance, and
dishonor. Dealer and DFS irrevocably waive all rights to claim any punitive
and/or exemplary damages.

         22. Severability. If any provision of this Agreement or its application
is invalid or unenforceable, the remainder of this Agreement will not be
impaired or affected and will remain binding and enforceable.

         23. Supplement. If Dealer and DFS (or any predecessor in interest to
DFS) have heretofore executed other agreements in connection with all or any
part of the Collateral, this Agreement shall supplement each and every other
agreement previously executed by and between Dealer and DFS (or any predecessor
in interest to DFS), and in that event this Agreement shall neither be deemed a
novation nor a termination of such previously executed agreement nor shall
execution of this Agreement be deemed a satisfaction of any obligation secured
by such previously executed agreement.

                                       9
<PAGE>   114

         24. Receipt of Agreement. Dealer acknowledges that it has received a
true and complete copy of this Agreement. Dealer acknowledges that it has read
and understood this Agreement. Notwithstanding anything herein to the contrary:
(a) DFS may rely on any facsimile copy, electronic data transmission or
electronic data storage of this Agreement, any Statement of Transaction, billing
statement, invoice from Vendor or any manufacturer or distributor, financial
statements or other reports, and (b) such facsimile copy, electronic data
transmission or electronic data storage will be deemed an original, and the best
evidence thereof for all purposes, including, without limitation, under this
Agreement or any other agreement between DFS and Dealer, and for all evidentiary
purposes before any arbitrator, court or other adjudicatory authority.

         25. Miscellaneous. Time is of the essence regarding Dealer's
performance of its obligations to DFS notwithstanding any course of dealing or
custom on DFS' part to grant extensions of time. Dealer's liability under this
Agreement is direct and unconditional and will not be affected by the release or
nonperfection of any security interest granted hereunder. DFS will have the
right 0 refrain from or postpone enforcement of this Agreement or any other
agreements between DFS and Dealer without prejudice and the failure to strictly
enforce these agreements will not be construed as having created a course of
dealing between DFS and Dealer contrary to the specific terms of the agreements
or as having modified, released or waived the same. The express terms of this
Agreement will not be modified by any course of dealing, usage of trade, or
custom of trade which may deviate from the terms hereof. If Dealer fails to pay
any taxes, fees or other obligations which may impair DFS' interest in the
Collateral, or fails to keep the Collateral insured, DFS may, but shall not be
required to, pay such taxes, fees or obligations and pay the cost to insure the
Collateral, and the amounts paid will be: (a) an additional debt owed by Dealer
to DFS, which shall be subject to finance charges as provided herein; and (b)
due and payable immediately in full. Dealer agrees to pay all of DFS' reasonable
attorneys' fees and expenses incurred by DFS in enforcing DFS' rights hereunder.
The Section titles used in this Agreement are for convenience only and do not
define or limit the contents of any Section.

         26. BINDING ARBITRATION.

         26.1     Arbitrable Claims. Except as otherwise specified below, all
                  actions, disputes, claims and controversies under common law,
                  statutory law or in equity of any type or nature whatsoever
                  (including, without limitation, all torts, whether regarding
                  negligence, breach of fiduciary duty, restraint of trade,
                  fraud, conversion, duress, interference, wrongful replevin,
                  wrongful sequestration, fraud in the inducement, usury or any
                  other tort, all contract actions, whether regarding express or
                  implied terms, such as implied covenants of good faith, fair
                  dealing, and the commercial reasonableness of any Collateral
                  disposition, or any other contract claim, all claims of
                  deceptive trade practices or lender liability, and all claims
                  questioning the reasonableness or lawfulness of any act),
                  whether arising before or after the date of this Agreement,
                  and whether directly or indirectly relating to: (a) this
                  Agreement and/or any amendments

                                       10
<PAGE>   115

                  and addenda hereto, or the breach, invalidity or termination
                  hereof; (b) any previous or subsequent agreement between DFS
                  (or any predecessor in interest to DFS) and Dealer; (c) any
                  act committed by DFS (or any predecessor in interest to DFS)
                  or by any parent company, subsidiary or affiliated company of
                  DFS (or any predecessor in interest to DFS) (collectively the
                  "DFS Companies"), or by any employee, agent, officer or
                  director of an DFS Company whether or not arising within the
                  scope and course of employment or other contractual
                  representation of the DFS Companies provided that such act
                  arises under a relationship, transaction or dealing between
                  DFS (or any predecessor in interest to DFS) and Dealer; and/or
                  (d) any other relationship, transaction or dealing between DFS
                  (or any predecessor in interest to DFS) and Dealer
                  (collectively the "Disputes"), will be subject to and resolved
                  by binding arbitration.

         26.2     Administrative Body. All arbitration hereunder will be
                  conducted in accordance with the Commercial Arbitration Rules
                  of The American Arbitration Association ("AAA"). If the AAA is
                  dissolved, disbanded or becomes subject to any state or
                  federal bankruptcy or insolvency proceeding, the parties will
                  remain subject to binding arbitration which will be conducted
                  by a mutually agreeable arbitral forum. The parties agree that
                  all arbitrator(s) selected will be attorneys with at least
                  five (5) years secured transactions experience. The
                  arbitrator(s) will decide if any inconsistency exists between
                  the rules of any applicable arbitral forum and the arbitration
                  provisions contained herein. If such inconsistency exists, the
                  arbitration provisions contained herein will control and
                  supersede such rules. The site of all arbitration proceedings
                  will be in the Division of the Federal Judicial District in
                  which AM maintains a regional office that is closest to
                  Dealer.

         26.3     Discovery. Discovery permitted in any arbitration proceeding
                  commenced hereunder is limited as follows. No later than
                  thirty (30) days after the filing of a claim for arbitration,
                  the parties will exchange detailed statements setting forth
                  the facts supporting the claim(s) and all defenses to be
                  raised during the arbitration, and a list of all exhibits and
                  witnesses. No later than twenty-one (21) days prior to the
                  arbitration hearing, the parties will exchange a final list of
                  all exhibits and all witnesses, including any designation of
                  any expert witness(es) together with a summary of their
                  testimony; a copy of all documents and a detailed description
                  of any property to be introduced at the hearing. Under no
                  circumstances will the use of interrogatories, requests for
                  admission, requests for the production of documents or the
                  taking of depositions be permitted. However, in the event of
                  the designation of any expert witness(es), the following will
                  occur: (a) all information and documents relied upon by the
                  expert witness(es) will be delivered to the opposing party,
                  (b) the opposing party will be permitted to depose the expert
                  witness(es), (c) the opposing party will be permitted to
                  designate rebuttal expert witness(es), and (d) the arbitration
                  hearing will be continued to the earliest possible date that
                  enables the foregoing limited discovery to be accomplished.

         26.4     Exemplary or Punitive Damages. The Arbitrator(s) will not have
                  the authority to award exemplary or punitive damages.

                                       11
<PAGE>   116

         26.5     Confidentiality of Awards. All arbitration proceedings,
                  including testimony or evidence at hearings, will be kept
                  confidential, although any award or order rendered by the
                  arbitrator(s) pursuant to the terms of this Agreement may be
                  entered as a judgment or order in any state or federal court
                  and may be confirmed within the federal judicial district
                  which includes the residence of the party against whom such
                  award or order was entered. This Agreement concerns
                  transactions involving commerce among the several states. The
                  Federal Arbitration Act, Title 9 U.S.C.Sections 1 et seq., as
                  amended ("FAA") will govern all arbitration(s) and
                  confirmation proceedings hereunder.

         26.6     Prejudgment and Provisional Remedies. Nothing herein will be
                  construed to prevent DFS' or Dealer's use of bankruptcy,
                  receivership, injunction, repossession, replevin, claim and
                  delivery, sequestration, seizure, attachment, foreclosure,
                  dation and/or any other prejudgment or provisional action or
                  remedy relating to any Collateral for any current or future
                  debt owed by either party to the other. Any such action or
                  remedy will not waive DFS' or Dealer's right to compel
                  arbitration of any Dispute.

         26.7     Attorneys' Fees. If either Dealer or DFS brings any other
                  action for judicial relief with respect to any Dispute (other
                  than those set forth in Section 26.6), the party bringing such
                  action will be liable for and immediately pay all of the other
                  party's costs and expenses (including attorneys' fees)
                  incurred to stay or dismiss such action and remove or refer
                  such Dispute to arbitration. If either Dealer or DFS brings or
                  appeals an action to vacate or modify an arbitration award and
                  such party does not prevail, such party will pay all costs and
                  expenses, including attorneys' fees, incurred by the other
                  party in defending such action. Additionally, if Dealer sues
                  DFS or institutes any arbitration claim or counterclaim
                  against DFS in which DFS is the prevailing party, Dealer will
                  pay all costs and expenses (including attorneys' fees)
                  incurred by DFS in the course of defending such action or
                  proceeding.

         26.8     Limitations. Any arbitration proceeding must be instituted:
                  (a) with respect to any Dispute for the collection of any debt
                  owed by either party to the other, within two (2) years after
                  the date the last payment was received by the instituting
                  party; and (b) with respect to any other Dispute, within two
                  (2) years after the date the incident giving rise thereto
                  occurred, whether or not any damage was sustained or capable
                  of ascertainment or either party knew of such incident.
                  Failure to institute an arbitration proceeding within such
                  period will constitute an absolute bar and waiver to the
                  institution of any proceeding, whether arbitration or a court
                  proceeding, with respect to such Dispute.

         26.9     Survival After Termination. The agreement to arbitrate will
                  survive the termination of this Agreement.

         27. INVALIDITY/UNENFORCEABILITY OF BINDING ARBITRATION. IF THIS
AGREEMENT IS FOUND TO BE NOT SUBJECT TO ARBITRATION, ANY LEGAL PROCEEDING WITH
RESPECT TO ANY DISPUTE WILL BE TRIED IN A COURT OF COMPETENT JURISDICTION BY A
JUDGE WITHOUT A JURY. DEALER AND DFS WAIVE ANY RIGHT TO A JURY TRIAL IN ANY SUCH
PROCEEDING.

                                       12
<PAGE>   117

         28. Governing Law. Dealer acknowledges and agrees that this and all
other agreements between Dealer and DFS have been substantially negotiated, and
will be substantially performed, in the state of Missouri. Accordingly, Dealer
agrees that all Disputes will be governed by, and construed in accordance with,
the laws of such state, except to the extent inconsistent with the provisions of
the FAA which shall control and govern all arbitration proceedings hereunder.

IN WITNESS WHEREOF, Dealer and DFS have executed this Agreement as of the date
first set forth hereinabove.

THIS CONTRACT CONTAINS BINDING ARBITRATION, JURY WAIVER AND PUNITIVE DAMAGE
WAIVER PROVISIONS.

                                       13
<PAGE>   118

                      SECRETARY'S CERTIFICATE OF RESOLUTION

         I certify that I am the Secretary of the corporation named below, and
that the following completely and accurately sets forth certain resolutions of
the Board of Directors of the corporation adopted at a special meeting thereof
held on due notice (and with shareholder approval, if required by law), at which
meeting there was present a quorum authorized to transact the business described
below, and that the proceedings of the meeting were in accordance with the
certificate of incorporation, charter and by-laws of the corporation, and that
they have not been revoked, annulled or amended in any manner whatsoever.

         Upon motion duly made and seconded, the following resolution was
unanimously adopted after full discussion:

         "RESOLVED, That the several officers, directors, and agents of this
corporation, or any one or more of them, are hereby authorized and empowered on
behalf of this corporation: to obtain financing from Deutsche Financial Services
Corporation ("DFS") in such amounts and on such terms as such officers,
directors or agents deem proper; to enter into financing, security, pledge and
other agreements with DFS relating to the terms upon which such financing may be
obtained and security and/or other credit support is to be furnished by this
corporation therefor; from time to time to supplement or amend any such
agreements; and from time to time to pledge, assign, mortgage, grant security
interests, and otherwise transfer, to DFS as collateral security for any
obligations of this corporation to DFS, whenever and however arising, any assets
of this corporation, whether now owned or hereafter acquired; the Board of
Directors hereby ratifying, approving and confirming all that any of said
officers, directors or agents have done or may do with respect to the
foregoing."

IN WITNESS WHEREOF, I have executed and affixed the seal of the corporation on
the date stated below.

Dated: December 2, 1999

                                       14<PAGE>   1
                                                                  EXHIBIT 10.102

                            MASTER SECURITY AGREEMENT
                      (Wholesale and Fleet Rental Finance)

This Master Security Agreement (this "Agreement") is entered into by and between
Associates Commercial Corporation ("Secured Party") and the party signing below
as debtor ("Debtor"). Debtor and Secured Party agree (hat the security interest
granted herein is limited to Inventory upon which indebtedness or obligation is
owed by Debtor to Secured Party.

1. INVENTORY

1.1 Inventory. Debtor is now or may hereafter be engaged in the business of
selling or renting to Debtor's retail customers the types of property described
in any Supplemental Security Agreement now or hereafter executed by Secured
Party and Debtor relating to this Agreement. The property described on such
Supplemental Security Agreements, together with all attachments exchanges,
replacement parts, repairs and additions to any such property (whether a part of
such property at the time of Debtor's purchase or incorporated in or attached to
such property by Debtor at a later time) is individually referred to in this
Agreement as an "item of Inventory", by classification as a "type of Inventory"
and is collectively referred to in this Agreement as "Inventory."

1.2 Wholesale Inventory. "Wholesale Inventory" is an item of Inventory or type
of Inventory subject to the terms of this Agreement which is (a) acquired or
held by Debtor solely for the purpose of sale and not for the purpose of rental
and/or lease, or (b) acquired by Debtor under the terms of a Special Finance
Plan (as defined below) designating the item or type of Inventory as Wholesale
Inventory. Any item or type of Inventory subject to the terms of this Agreement
and which is not Fleet Rental Inventory (as defined below) will be considered
Wholesale Inventory.

1.3 Fleet Rental Inventory. "Fleet Rental Inventory" is an item of Inventory or
type of Inventory subject to the terms of this Agreement which is (a) designated
by Debtor with the written consent of Secured Party as being acquired or held by
Debtor for the purposes of rental or lease as well as for the purposes of sale,
or (b) acquired by Debtor under the terms of a Special Finance Plan (as defined
below) designating the item or type of Inventory as Fleet Rental Inventory. An
item of Inventory classified as wholesale Inventory may be re-classified as
Fleet Rental Inventory only upon the written consent and agreement of Secured
Party. An item of Wholesale Inventory re-classified as Fleet Rental Inventory
will be considered as reclassified effective as of the first day of the month in
which the written consent and agreement to re-classification is executed or as
otherwise provided in such agreement.

2. ADVANCES AND INTEREST

2.1 Advances. Debtor has requested that Secured Party from time to time make
loans or otherwise extend credit (herein individually referred to as "Advances")
to or on behalf of Debtor, the proceeds of which will be used by Debtor to
acquire one or more items of Inventory or for other legitimate purposes of
Debtor in carrying on the business for which Debtor is acquiring or maintaining

                                       1
<PAGE>   2

the Inventory. Debtor agrees and acknowledges that any Advance to or on behalf
of Debtor will be in the sole discretion of Secured Party and that no Advance
made by Secured Party will obligate Secured Party to make any additional
Advance.

2.2 Special Finance Plans. From time to time, a manufacturer or distributor
(herein called "Manufacturer") of one or more items of Inventory may arrange
with Secured Party for Secured Party to offer special finance terms with respect
to Advances made by Secured Party on behalf of Debtor which are used by Debtor
to acquire specified items or types of Inventory from a Manufacturer (herein
called a "Special Finance Plan"). Neither Secured Party nor any Manufacturer
will be obligated in any way to arrange or continue a Special Finance Plan or
offer or continue offering the terms of any Special Finance Plan to Debtor. In
the event a Manufacturer arranges for a Special Finance Plan, Secured Party
offers the Special Finance Plan to Debtor and Debtor accepts the terms of the
Special Finance Plan, Debtor will evidence Debtor's acceptance by executing an
appropriate Special Finance Plan Supplemental Agreement which outlines the terms
of the Special Finance Plan. Secured Party may, in its sole discretion, modify
the terms of a Special Finance Plan with respect to Advances made under the
Special Finance Plan after the date of notice to Debtor and Debtor's acceptance
of Advances after the date of notice will be Debtor's consent to the
modification to the Special Finance Plan. Debtor hereby directs Secured Party to
disburse the proceeds of any Advance made under a Special Finance Plan directly
to the Manufacturer based upon sales invoices presented to Secured Party from
time to time by the Manufacturer which evidence the sale by the Manufacturer to
Debtor of one or more items of Inventory. The Advance to the Manufacturer will
be considered made on the date of the Manufacturer's invoice upon which the
Advance is made regardless of any special funding instructions agreed upon
between Secured Party and Manufacturer.

2.3 Wholesale Inventory/Payment and Interest. Debtor agrees to pay to Secured
Party the unpaid balance of each Advance with respect to an item of Wholesale
Inventory as follows: (a) an Advance which is evidenced by a Supplemental
Security Agreement will be payable as provided in the Supplemental Security
Agreement, (b) an Advance made pursuant to a Special Finance Plan will be
payable as provided in the Special Finance Plan Supplemental Agreement, and (c)
an Advance not subject to a Special Finance Plan or evidenced by a Supplemental
Security Agreement will be payable upon demand.

Debtor agrees to pay Secured Party promptly as billed at the beginning of each
month interest and other charges on the unpaid balance of each Advance from time
to time outstanding with respect to an item of Wholesale Inventory, computed in
accordance with the terms of this section. Interest charges for each item of
Wholesale Inventory for which an Advance was outstanding during the prior month
shall be computed and accrued at the lesser of (a) the Applicable Wholesale Rate
(as defined below) which is in effect on the first business day of the month in
which the interest accrues, or (b) the Maximum Legal Rate (as defined below).
The "Applicable Wholesale Rate" with respect to each Advance is as follows: (a)
the Applicable Wholesale Rate with respect to an Advance evidenced by a
Supplemental Security Agreement will be the rate of interest provided in such
Supplemental Security Agreement, (b) the Applicable Wholesale Rate with respect
to an Advance made pursuant to a Special Finance Plan will be the rate of
interest provided in the Special Finance Plan, and (c) the

                                       2
<PAGE>   3

Applicable Wholesale Rate with respect to an Advance not subject to a Special
Finance Plan or evidenced by a Supplemental Security Agreement will be a simple
interest per annum rate equal to the greater of N/A % per annum or the Base Rate
(as defined below).

2.4 Fleet Rental Inventory Payment and Interest. Debtor agrees to pay Secured
Party the unpaid balance of each Advance outstanding with respect to an item of
Fleet Rental Inventory as follows: (a) an Advance which is evidenced by a
Supplemental Security Agreement will be payable as provided in the Supplemental
Security Agreement, (b) an Advance made pursuant to a Special Finance Plan will
be payable as provided in the Special Finance Plan, and (c) an Advance not
subject to a Special Finance Plan or evidenced by a Supplemental Security
Agreement will be payable in monthly installments such that the unpaid balance
will be repaid in full no later than 24 months after the earlier of(a) the date
of Secured Party's Advance with respect to the item of Inventory (whether the
Advance was made based upon a classification of the item of Inventory as
Wholesale Inventory or Fleet Rental Inventory) and (b), if the Advance was made
by Secured Party to enable the Debtor to acquire the item of Inventory from a
manufacturer (whether or not pursuant to a Special Finance Plan), the date of
the manufacturer's invoice to Debtor with respect to the item of Inventory. The
amount of each monthly installment payment will be in amount equal to the
greater of(a) the amount necessary to repay the Advance in full in substantially
equal monthly payments as provided above, and (b) 80% of the Revenues invoiced
by Debtor upon the rental of the item of Inventory during the prior calendar
month.

Debtor agrees to pay Secured Party promptly as billed at the beginning of each
month interest and other charges on the unpaid balance of each Advance from time
to time outstanding with respect to an item of Fleet Rental Inventory, computed
in accordance with the terms of this section. Interest charges for each item of
Fleet Rental Inventory for which an Advance was outstanding during the prior
month shall be computed and accrued at the lesser of (a) the Applicable Fleet
Rental Rate (as defined below) which is in effect on the first business day of
the month in which the interest accrues, or (b) the Maximum Legal Rate (as
defined below). The "Applicable Fleet Rental Rate" with respect to each Advance
is as follows: (a) the Applicable Fleet Rental Rate with respect to an Advance
evidenced by a Supplemental Security Agreement will be the rate of interest
provided in such Supplemental Security Agreement, (b) the Applicable Fleet
Rental Rate with respect to an Advance made pursuant to a Special Finance Plan
will be the rate of interest provided in the Special Finance Plan, and (c) the
Applicable Fleet Rental Rate with respect to an Advance not subject to a Special
Finance Plan or evidenced by a Supplemental Security Agreement will be a simple
interest per annum rate equal to the greater of N/A % per annum the Base Rate
(as defined below).

2.5 Interest Free Periods. If the terms of a Special Finance Plan provide that
interest will not accrue with respect to specified Advances on specified items
or types of Inventory for an initial period of time (the "Interest Free
Period"), so long as Debtor is in compliance with the conditions or restrictions
contained in the Special Finance Plan and is not in default under the terms of
this Agreement, interest will not accrue or be payable on such Advances for the
period from the date of the Advance until the earlier of the date the Advance is
payable to Secured Party or the end of the Interest Free Period. If, however,
Debtor at any time defaults in any obligation to Associates with

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<PAGE>   4

respect to an item of Inventory to which the Advance relates, Debtor will
forfeit Debtor's rights with respect to the Interest Free Period, and interest
will accrue on the related Advance as provided in this Agreement from the date
of such Advance.

2.6 Administrative Charges. Debtor further agrees to pay Secured Party, promptly
as billed, any charge ("Flat Charge") related to each item of Inventory or
Advance which is specified in the Supplemental Security Agreement or under a
Special Finance Plan applicable to such item of Inventory or Advance.

2.7 Calculations of Interest Rate. Wherever used in this Agreement, in any
Supplemental Security Agreement referring to this Agreement or in any Special
Finance Plan Supplemental Agreement, the term "Base Rate" shall mean the Prime
Rate as published from time to time in the Money Rates section of the Wall
Street Journal as the base rate on corporate loans. If more than one Prime Rate
or a range of rates is published, the Prime Rate will be the highest of the
published rates. In the event the Prime Rate as published in the Wall Street
Journal ceases to exist or the Wall Street Journal ceases publishing a Prime
Rate, Associates will substitute a comparable index which is outside the control
of Associates. In the event of an error by the Wall Street Journal, the "Prime
Rate" will be based upon the Prime Rate as corrected. Interest will be computed
at the option of Secured Party on the basis of a 360-day year for the actual
number of days elapsed.

2.8 Maximum Legal Rate. In no event shall the interest rate or other charges
provided in this Agreement or in any Supplemental Security Agreement or Special
Finance Plan exceed the highest rate or charges that Debtor can legally obligate
itself to pay or Secured Party can legally collect (the "Maximum Legal Rate").
If at any time the implementation if any provision of this Agreement would
function to raise the interest rate or other charges of Secured Party above the
Maximum Legal Rate, if any, in effect from time to time in the jurisdiction
whose laws govern this Agreement, including ally applicable Federal laws, for
loans to borrowers of the type, in the amount, for the purposes, and otherwise
of the kind contemplated in this Agreement, then the interest rate or other
charges will be limited to the Maximum Legal Rate and any excess interest or
charges inadvertently collected will be deemed a partial prepayment of the
principal portion of the Advances and applied or reapplied by Secured Party
accordingly.

2.9 Statement of Account. Secured Party will furnish to Debtor from time to time
on a monthly or other periodic basis a statement of Debtor's account with
Secured Party, prepared from Secured Party's records showing all applicable
credits and debits, including all Advances, other charges and payments with
respect to each item of Inventory against which an Advance has been made
pursuant to this Agreement (any error in the identification of one or more items
of Inventory on such statement will not prejudice Secured Party's security
interest in such item). Each such statement will be considered true and correct
and to have been accepted by Debtor and will be conclusively binding on Debtor
with respect to all matters contained therein, unless Debtor notifies Secured
Party in writing of any discrepancy or exception within 30 days of the date of
the mailing by Secured Party to Debtor of any such statement. All payments will
be applied, at Secured Party's option, to accrued changes and interest and then
to principal.

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<PAGE>   5

2.10 Miscellaneous Payment Provisions. Debtor's obligation to pay Secured Party
the entire amount of each Advance will be absolute and unconditional
notwithstanding any contrary agreement, modification or substitution with any
Manufacturer. All amounts payable pursuant to this Agreement are payable at
Secured Party's address set forth below or at such other address as Secured
Party may specify from time to time in writing. After the maturity of any such
payment or upon the acceleration of all indebtedness under this Agreement,
Debtor agrees to pay interest thereon at the rate of 1 1/2% per month if not
prohibited by law, otherwise at the highest rate permitted by applicable law.
Any instrument or agreement which is executed by Debtor and specifies an amount
payable will evidence indebtedness and not payment.

3. SECURITY INTEREST

3.1 Security Interest. To secure payment of all Advances which Secured Party may
elect to make pursuant to this Agreement from time to time, Debtor hereby grants
to Secured Party a security interest in all of the Collateral as described and
defined in any Supplemental Security Agreement executed by Debtor and Secured
Party in connection with this Agreement from time to time (collectively herein
called "Collateral"). Debtor agrees that at any time and from time to time, upon
the request of Secured Party, Debtor will promptly (a) deliver to Secured Party
all Collateral other than Inventory, (b) mark all chattel paper, documents and
instruments and debtor's books of account, ledger cards and other records
relative to the Collateral with a notation satisfactory to Secured Party
disclosing that they are subject to Secured Party's security interest, (c)
execute and deliver to Secured Party such instruments, Uniform Commercial Code
financing statements, statements and agreements as Secured Party may request to
further evidence each Advance and the security interests granted under this
Agreement, provided, however, Debtor's failure to comply with such request shall
not affect or limit Secured Party's security interest or other rights in and to
the Collateral, and (d) permit Secured Party or its representatives to examine
the Collateral and Debtor's books and records at any and all reasonable times.
Debtor shall pay all expenses and costs of any nature whatsoever incurred by
Secured Party in connection with any Advances made pursuant hereto, including,
but not limited to, all filing fees and recording costs, and stamp taxes
actually incurred.

4. SALE AND LEASE OF INVENTORY

4.1 Location. The Collateral shall be kept at Debtor's place of business at the
address set forth below Debtor's signature or at one of the following places of
business of Debtor except when the Collateral is being leased or demonstrated
pursuant to the provisions of this Agreement: Dallas, TX; Houston, TX; Corpus
Christi, TX; Beaumont, TX; San Antonio, TX: Austin, TX; Tulsa, OK; Oklahoma
City, OK; Van Wert, Ohio

4.2 Lease of Fleet Rental Inventory. So long as Debtor is not in default under
this Agreement, Debtor may lease any item of Fleet Rental Inventory to retail
customers in the normal course of Debtor's business in accordance with the
following terms and conditions: (a) each lease agreement (herein called a
"Lease") relating to one or more items of Fleet Rental Inventory shall: (i) be
in a

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<PAGE>   6

form approved by Secured Party and be in conformity with all applicable
governmental laws and regulations, (ii) provide that any assignee of the lessor
shall not be obligated to perform or fulfill any of lessor's obligations
thereunder, including, without limitation, any obligation to furnish
maintenance, repairs, or services or to provide insurance, (iii) contain a
waiver by the lessee thereunder of all rights to any set-off, abatement,
defense, counterclaim or cross-claim against an assignee of the lessor, (iv) be
the only agreement (other than this Agreement) then covering the items of
Inventory being leased thereunder, (v) be the entire agreement between Debtor
and the lessee thereunder relating to the items of Inventory being leased
thereunder, (vi) not contain any purchase or renewal options or grant any rights
to the lessee thereunder or any other third parties in or to any Fleet Rental
Inventory, except as approved in writing by Secured Party, and (vii) otherwise
conform to such requirements as Secured Party may specify from time to time; (b)
Debtor will comply with all of its warranties and other obligations under the
Lease; and (c) Debtor will report in writing to Secured Party each month (or at
such other times as Secured Party may request) the location of the Inventory,
the name and address of each lessee, the Revenues billed during such period and
such other information as Secured Party may request. Neither the leasing of any
Inventory nor any Lease shall relieve Debtor of any of its obligations to
Secured Party under this Agreement, and the assignment of and security interest
granted in the Documents shall not be construed as authorizing Debtor to do
anything with the Inventory other than to lease the same in accordance with the
provisions hereof. Debtor agrees that Secured Party does not, by this Agreement
or otherwise, assume any of the obligations of Debtor under the Lease or other
Documents. Debtor hereby grants to Secured Party the right (in debtor's name or
otherwise, and without affecting Debtor's obligations to Secured Party) to
demand, receive, compromise extend the time of payment of, or give a discharge
for, any and all Revenues, to endorse any checks or other instruments or orders
in connection with the Revenues and to file any claims or take such actions or
institute such proceedings as Secured Party may deem necessary or desirable to
protect Secured Party's interests. Debtor shall have no authority to, and will
not, without Secured Party's prior written consent, accept collections,
repossess, substitute or consent to the return of the Inventory or modify the
terms of the Documents, provided, however, until Secured Party notifies Debtor
to the contrary, Debtor may collect the rents and monies owing under the
Documents as the same become due but not otherwise. Debtor agrees, upon request
of Secured Party, to notify the lessees and all other obligors under the
Documents of the interest of Secured Party and to direct the lessees and all
other obligors under the Documents to pay all Revenues directly to Secured
Party. Debtor agrees to promptly render monthly billings to all lessees of the
Inventory.

4.3 Sale of Inventory. So long as Debtor is not in default under this Agreement,
Debtor may sell any item of Inventory in the regular course of Debtor's business
for a price not less than the amount of the Advance applicable thereto except as
otherwise agreed to in writing by Secured Party. All sales of Inventory shall be
for cash or upon such terms and conditions as Secured Party may approve in
writing. Upon the sale of any item of Inventory (with or without the consent of
Secured Party) the amount of the Advance applicable thereto shall become
immediately due and payable and Debtor shall immediately pay such amount in cash
to Secured Party without notice or demand. All Collateral resulting from such
sale shall be held by Debtor in trust for Secured Party, separated from all
other funds and assets of Debtor.

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<PAGE>   7

5. REPRESENTATIONS AND WARRANTIES

5.1 Representations and Warranties. Debtor warrants and agrees that: the
execution of and performance by Debtor under the terms of this Agreement has
been approved for Debtor by all necessary action and by Debtor's partners or
board of directors, as applicable; the Inventory is currently and will continue
be maintained in good operating condition, repair and appearance and is
currently and will continue be used and operated with care only by qualified
personnel in the regular course of Debtor's business and in conformity with all
applicable governmental laws and regulations, manufacturer's specifications and
the restrictions contained in any insurance policy insuring the Inventory; the
Inventory is not currently and will not be used in conjunction with the storage,
transportation or disposal of substances considered to be toxic or hazardous or
in conjunction with any activity or for any use that would subject the Inventory
to seizure or confiscation by any governmental body; and the Inventory is
currently located at and will be kept by Debtor at the location set forth in
this Agreement and will not be removed from said location without the prior
written consent of Secured Party. Secured Party shall have the right to inspect
the Inventory at all reasonable times and from time to time.

Debtor further warrants and agrees that: the security interest in the Collateral
granted to or retained by Secured Party is and will continue to be superior to
any title to or interest in the Inventory now or hereafter held or claimed by
any other party; the Collateral is free from and will be kept free from all
liens, claims, security interests and encumbrances (whether superior or inferior
to the interests of Secured Party) other than that created by this Agreement;
notwithstanding Secured Party's interest in proceeds, Debtor will not and will
not allow any other party to consign, sell, rent, lend, encumber, pledge,
transfer, secrete or otherwise dispose of any of the Collateral other than as
authorized in this Agreement without Secured Party's prior written consent;
Debtor will do everything Secured Party deems necessary or expedient to perfect
or preserve the interests granted to Secured Party under this Agreement and the
first priority of such interests; any Manufacturer's Statement or Certificate of
Origin or Certificate of Title relating to the Inventory shall be immediately
delivered to Secured Party and, if a Certificate of Title or registration is
required to be issued for any item of Inventory, Debtor will cooperate with
Secured Party in obtaining the Certificate of Title or registration disclosing
the interests of Debtor and Secured Party in the Inventory; Debtor will defend
any action, proceeding or claim affecting the Collateral or the interests of
Secured Party in the Collateral; Debtor shall promptly pay all amounts payable
in conjunction with the storage, maintenance or repair of the Inventory and all
taxes, assessments, license fees and other public or private charges levied or
assessed in conjunction with the ownership, operation or use of the Inventory or
levied or assessed against the Collateral, this Agreement or any accompanying
note except for those which are being contested by Debtor in good faith by
appropriate proceedings and which do not constitute a lien or encumbrance upon
the Collateral; and Debtor will from time to time furnish Secured Party with
such financial statements and other information as Secured Party may reasonably
request.

5.2 Insurance and Risk of Loss. Debtor will at all times bear all risk of loss
of, damage to or destruction of the Inventory. Debtor agrees to immediately
procure and maintain insurance on the Inventory for the full insurable value
thereof and for the life of this Agreement, in the form of "All

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<PAGE>   8
Risk" or similar insurance (insuring the Inventory for fire, extended coverage,
vandalism, theft and collision and containing only those exclusions from
coverage which are acceptable to Secured Party) plus such other insurance as
Secured Party may specify from time to time, all in form and amount and with
insurers satisfactory to Secured Party. Debtor agrees to deliver promptly to
Secured Party certificates or, if requested, policies of insurance satisfactory
to Secured Party, each with a standard long-form loss-payable endorsement naming
Secured Party or assigns as loss-payee and providing that Secured Party's rights
under such policy will not be invalidated by any act, omission or neglect of
anyone other than Secured Party, and containing the insurers agreement to give
30 days prior written notice to Secured Party before any cancellation of or
material change in the policy(s) will be effective as to Secured Party, whether
such cancellation or change is at the direction of Debtor or insurer. Secured
Party's acceptance of policies in lesser amounts or risks will not be a waiver
of Debtor's obligation to procure insurance complying with the provisions hereof
promptly after notice from Secured Party. Debtor assigns to Secured Party all
proceeds of any physical damage or credit insurance which is maintained by
Debtor in accordance herewith, including returned and unearned premiums, up to
the amount owing hereunder by Debtor. Debtor directs all insurers to pay such
proceeds solely to the order of Secured Party for application to Debtor's
indebtedness to Secured Party. Secured Party may, at its option, apply any such
proceeds received by Secured Party to the final maturing installments due
hereunder in the inverse order of their maturity.

5.3 Performance by Secured Party, If Debtor fails to perform any of Debtor's
obligations pursuant to Paragraphs 1 or 2 above, Secured Party may perform the
same for the account of Debtor. Any such action by Secured Party will be in
Secured Party's sole discretion and Secured Party will not be obligated in any
way to do so. Secured Party's performance on behalf of Debtor will not obligate
Secured Party to perform the same or any similar act in the future and will not
cure or waive Debtor's failure of performance as an event of default hereunder.
All sums advanced or costs and expenses incurred by Secured Party pursuant to
this Paragraph, including the reasonable fees of any attorney retained by
Secured Party, will be for the account of Debtor, will constitute indebtedness
secured by Secured Party's security interest in the Collateral, will bear
interest at the rate as specified on the reverse side of this Agreement in the
event of acceleration and, unless Secured Party, in Secured Party's sole
discretion agrees otherwise in writing, shall be immediately due and payable.

6. DEFAULT

6.1 Events of Default. Time is of the essence. An event of default will occur
if: (a) Debtor fails to pay when due any amount owed by it to Secured Party
under this Agreement or under the terms of any promissory note delivered in
conjunction with this Agreement or if Debtor fails to pay when due any amount
owed by it to Secured Party or to any affiliate of Secured Party under any other
document, agreement or instrument; (b) Debtor fails to perform in compliance
with any of its agreements hereunder or any warranty made by Debtor in this
Agreement is or becomes incorrect or if Debtor fails to perform or observe any
term or provision to be performed or observed by it under any other document,
instrument or agreement furnished by Debtor to Secured Party or any affiliate of
Secured Party or otherwise acquired by Secured Party or any affiliate of Secured
Party; (c) any

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<PAGE>   9

information, representation, or warranty furnished by Debtor to Secured Party or
to any affiliate of Secured Party is inaccurate or incorrect in any material
respect when furnished; (d) Debtor becomes insolvent or ceases to do or is
prohibited by any court order or govern mental action from conducting the
business in which Debtor is principally engaged on the date of this Agreement as
a going concern; (e) any surety or bonding company assumes any of Debtor's
responsibilities under any contract or job; (f) if any of the Inventory is lost,
stolen, destroyed, confiscated by any governmental agency, abandoned, or
relocated, used or maintained in violation of the terms hereof or if Debtor
attempts to consign, sell, rent, lend or encumber any of the Inventory or allows
another to do so; (g) Debtor files a petition in bankruptcy, or for an
arrangement, reorganization, or similar relief, or makes an assignment for the
benefit of creditors, or applies for the appointment of a receiver or trustee
for a substantial part of its assets or for any of the Inventory, or attempt to
take advantage of any process or proceeding for the relief of debtors, or if any
such action is taken against Debtor; (h) any other party attempts to attach,
repossess or execute upon any of the Collateral; (i) Debtor ceases to exist as a
legal entity or Debtor or any party in control of Debtor takes any action
looking to Debtor's dissolution as a legal entity; (1) there shall be a material
change in the management, ownership or control of Debtor; or (k) Secured Party
in good faith believes that the prospect of payment or performance hereunder is
impaired. Secured Party's inaction with respect to an event of default shall not
be a waiver of such default and Secured Party's waiver of any default shall not
be a waiver of any other default.

6.2 Remedies Upon Default. Upon the occurrence of an event of default, and at
any time thereafter as long as the default continues, Secured Party may, at its
option, with or without notice to Debtor (i) declare this Agreement to be in
default, (ii) declare the indebtedness hereunder to be immediately due and
payable, (iii) declare all other debts then owing by Debtor to Secured Party to
be immediately due and payable, (iv) cancel any insurance and credit any refund
to the indebtedness, and (v) exercise all of the rights and remedies of a
Secured Party under the Uniform Commercial Code and any other applicable laws,
including, without limitation, the right to require Debtor to assemble the
Inventory and deliver it to Secured Party at a place to be designated by Secured
Party which is reasonably convenient to both parties and to lawfully enter any
premises where the Collateral may be without judicial process and take
possession thereof. Acceleration of any or all indebtedness, if so elected by
Secured Party, shall be subject to all applicable laws including those
pertaining to refunds and rebates of unearned charges. Any property other than
the Collateral which is in or upon the Collateral at the time of repossession
may be taken and held without liability until its return is requested by Debtor.
Any sale or other disposition of any of the Collateral may be made at public or
private sale or through public auction for a wholesale or retail price at the
option of Secured Party. Secured Party may buy at any sale and become the owner
of the Collateral. Unless otherwise provided by law, any requirement of
reasonable notice which Secured Party may be obligated to give regarding the
sale or other disposition of Collateral will be met if such notice is mailed to
Debtor at its address shown herein at least ten days before the time of sale or
other disposition. Debtor agrees that Secured Party may bring any legal
proceedings it deems necessary to enforce the payment and performance of
Debtor's obligations hereunder in any court in the State shown in Secured
Party's address set forth herein, and service of process may be made upon Debtor
by mailing a copy of the summons to Debtor at its address shown herein. The
filing by Secured Party of any action or

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<PAGE>   10
proceeding with respect to the Collateral or any of Debtor's obligations
hereunder shall not constitute an election by Secured Party of Secured Party's
remedies or a waiver of Secured Party's rights to take possession of the
Collateral as provided above. Expenses of retaking, holding, preparing for sale,
selling and the like shall include (a) the reasonable fees of any attorneys
retained by Secured Party, (b) any amounts advanced or expenses incurred by
Secured Party pursuant to Paragraph 3 hereof and (c) all other legal and other
expenses incurred by Secured Party. Debtor agrees that it is liable for and will
promptly pay any deficiency remaining after any disposition of Collateral after
default and all costs and expenses, including the reasonable fees of any
attorney, incurred by Secured Party in the collection of any such deficiency.

7. ADDITIONAL PROVISIONS

7.1 Power of Attorney. Debtor hereby appoints Secured Party or any duly
authorized officer or employee of Secured Party as Debtor's attorney-in-fact to,
in Debtor's or Secured Party's name: (a) prepare, execute and submit any notice
or proof of loss in order to realize the benefits of any insurance policy
insuring the Collateral; (b) prepare, execute and file any instrument which. in
Secured Party's opinion, is required by law to perfect and give or modify public
notice of Secured Party's interest in the Collateral; and (c) endorse Debtor's
name on any remittance representing proceeds of any insurance insuring the
Collateral or the proceeds of the sale, or other disposition of any of the
Collateral (whether or not such disposition is a default hereunder). This power
is coupled with an interest and is irrevocable so long as any indebtedness
secured hereunder remains unpaid.

7.2 Assignment. Debtor shall not assign this Agreement without the prior written
consent of Secured Party. Secured Party may assign this Agreement with or
without notice to or the consent of Debtor. Upon assignment, the term "Secured
Party" shall mean and refer to any assignee who is the holder of this Agreement.
After assignment of this Agreement by Secured Party, the assignor will not be
the assignee's agent for any purpose and Debtor's obligations to the assignee
will be absolute and unconditional and, to the extent permitted by applicable
law, will not be subject to any abatement, reduction, recoupment, defense,
set-off or counterclaim available to Debtor for breach of warranty or for any
other reason whatsoever. Upon full payment of all obligations secured by this
Agreement, the assignee may deliver all original papers to the assignor for
Debtor.

7.3 Miscellaneous. (A) All of Secured Party's rights hereunder are cumulative
and not alternative. (B) The inclusion of a trade name or division name in the
identification of Debtor hereunder does not limit Secured Party's rights, after
the occurrence of an event of default, to proceed against all of Debtor's
assets, including those held or used by Debtor individually or under another
trade or division name. (C) If permitted by law, Debtor agrees that a carbon,
photographic or other reproduction of this Agreement or of a financing statement
may be filed as a financing statement. (D) Secured Party may correct patent
errors herein and fill in blanks. (E) All of the terms and provisions hereof
will apply to and be binding upon Debtor, its heirs, personal representatives,
successors and assigns and shall inure to the benefit of Secured Party, its
successors and assigns. (F) Debtor and Secured Party hereby waive any right to
trial by jury in any action or proceeding relating to this Agreement or the

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<PAGE>   11
transaction contemplated hereby. (G) Debtor hereby expressly waives notice of
nonpayment, presentment, protest, dishonor, default, intent to accelerate the
maturity hereof and of acceleration of the maturity hereof. (H) Deleted (I) To
the extent allowed by law, Debtor hereby waives any exemptions or appraisals.
(J) No waiver or change in this Agreement or in any related note will be binding
upon Secured Party, or Secured Party's assignee, unless such waiver or change is
in writing and signed by one of its officers and any such waiver or change shall
then be effective only upon the terms and to the extent provided in such
writing. (K) The acceptance by Secured Party of any remittance from a party
other than Debtor will in no way constitute Secured Party's consent to the
transfer of any of the Collateral to such party. (L) Any captions or headings
included in this Agreement are for convenience of reference only and shall not
limit or otherwise affect the meaning of any provision contained in this
Agreement. (M) Any provision contained herein which is contrary to, prohibited
by or invalid under applicable laws or regulations will be deemed inapplicable
and omitted herefrom, but shall not invalidate the remaining provisions hereof
(N) The only copy of this Agreement which constitutes "chattel paper" is the
original executed copy designated as "Original For Associates".

8. GOVERNING LAW

8.1 Governing Law. This Agreement shall in all respects be governed by, and
construed in accordance with, the laws of the State of Texas including all
matters of construction, validity and performance. No oral agreement, guaranty,
promise. representation or warranty shall be binding upon Secured Party.

Dated: January 5, 1999

Crescent Machinery Company

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<PAGE>   12
                                   Schedule A
                             (Inventory Description)

This Schedule A (Description of Inventory) is attached to and made a part of
that certain Master Security Agreement (Wholesale and Fleet Rental Finance) (the
"Agreement") dated January 5,1999 between Associates Commercial Corporation
("Secured Party") and Crescent Machinery Company ("Debtor").

I. Description of Inventory. The following items or types of inventory are
subject to the terms of the Agreement and to the security interest granted by
Debtor to Secured Party pursuant to the Agreement:

All new and used equipment, machines, products, attachments and/or parts
financed by Secured Party and upon which any financing or related charges remain
unpaid.

                                       12
<PAGE>   13

                            MASTER SECURITY AGREEMENT
                      (Wholesale and Fleet Rental Finance)

This Master Security Agreement (this "Agreement") is entered into by and between
Associates Commercial Corporation ("Secured Party") and the party signing below
as debtor ("Debtor"). Debtor and Secured Party agree (hat the security interest
granted herein is limited to Inventory upon which indebtedness or obligation is
owed by Debtor to Secured Party.

1. INVENTORY

1.1 Inventory. Debtor is now or may hereafter be engaged in the business of
selling or renting to Debtor's retail customers the types of property described
in any Supplemental Security Agreement now or hereafter executed by Secured
Party and Debtor relating to this Agreement. The property described on such
Supplemental Security Agreements, together with all attachments exchanges,
replacement parts, repairs and additions to any such property (whether a part of
such property at the time of Debtor's purchase or incorporated in or attached to
such property by Debtor at a later time) is individually referred to in this
Agreement as an "item of Inventory", by classification as a "type of Inventory"
and is collectively referred to in this Agreement as "Inventory."

1.2 Wholesale Inventory. "Wholesale Inventory" is an item of Inventory or type
of Inventory subject to the terms of this Agreement which is (a) acquired or
held by Debtor solely for the purpose of sale and not for the purpose of rental
and/or lease, or (b) acquired by Debtor under the terms of a Special Finance
Plan (as defined below) designating the item or type of Inventory as Wholesale
Inventory. Any item or type of Inventory subject to the terms of this Agreement
and which is not Fleet Rental Inventory (as defined below) will be considered
Wholesale Inventory.

1.3 Fleet Rental Inventory. "Fleet Rental Inventory" is an item of Inventory or
type of Inventory subject to the terms of this Agreement which is (a) designated
by Debtor with the written consent of Secured Party as being acquired or held by
Debtor for the purposes of rental or lease as well as for the purposes of sale,
or (b) acquired by Debtor under the terms of a Special Finance Plan (as defined
below) designating the item or type of Inventory as Fleet Rental Inventory. An
item of Inventory classified as wholesale Inventory may be re-classified as
Fleet Rental Inventory only upon the written consent and agreement of Secured
Party. An item of Wholesale Inventory re-classified as Fleet Rental Inventory
will be considered as reclassified effective as of the first day of the month in
which the written consent and agreement to re-classification is executed or as
otherwise provided in such agreement.

2. ADVANCES AND INTEREST

2.1 Advances. Debtor has requested that Secured Party from time to time make
loans or otherwise extend credit (herein individually referred to as "Advances")
to or on behalf of Debtor, the proceeds of which will be used by Debtor to
acquire one or more items of Inventory or for other legitimate purposes of
Debtor in carrying on the business for which Debtor is acquiring or maintaining

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<PAGE>   14

the Inventory. Debtor agrees and acknowledges that any Advance to or on behalf
of Debtor will be in the sole discretion of Secured Party and that no Advance
made by Secured Party will obligate Secured Party to make any additional
Advance.

2.2 Special Finance Plans. From time to time, a manufacturer or distributor
(herein called "Manufacturer") of one or more items of Inventory may arrange
with Secured Party for Secured Party to offer special finance terms with respect
to Advances made by Secured Party on behalf of Debtor which are used by Debtor
to acquire specified items or types of Inventory from a Manufacturer (herein
called a "Special Finance Plan"). Neither Secured Party nor any Manufacturer
will be obligated in any way to arrange or continue a Special Finance Plan or
offer or continue offering the terms of any Special Finance Plan to Debtor. In
the event a Manufacturer arranges for a Special Finance Plan, Secured Party
offers the Special Finance Plan to Debtor and Debtor accepts the terms of the
Special Finance Plan, Debtor will evidence Debtor's acceptance by executing an
appropriate Special Finance Plan Supplemental Agreement which outlines the terms
of the Special Finance Plan. Secured Party may, in its sole discretion, modify
the terms of a Special Finance Plan with respect to Advances made under the
Special Finance Plan after the date of notice to Debtor and Debtor's acceptance
of Advances after the date of notice will be Debtor's consent to the
modification to the Special Finance Plan. Debtor hereby directs Secured Party to
disburse the proceeds of any Advance made under a Special Finance Plan directly
to the Manufacturer based upon sales invoices presented to Secured Party from
time to time by the Manufacturer which evidence the sale by the Manufacturer to
Debtor of one or more items of Inventory. The Advance to the Manufacturer will
be considered made on the date of the Manufacturer's invoice upon which the
Advance is made regardless of any special funding instructions agreed upon
between Secured Party and Manufacturer.

2.3 Wholesale Inventory/Payment and Interest. Debtor agrees to pay to Secured
Party the unpaid balance of each Advance with respect to an item of Wholesale
Inventory as follows: (a) an Advance which is evidenced by a Supplemental
Security Agreement will be payable as provided in the Supplemental Security
Agreement, (b) an Advance made pursuant to a Special Finance Plan will be
payable as provided in the Special Finance Plan Supplemental Agreement, and (c)
an Advance not subject to a Special Finance Plan or evidenced by a Supplemental
Security Agreement will be payable upon demand.

Debtor agrees to pay Secured Party promptly as billed at the beginning of each
month interest and other charges on the unpaid balance of each Advance from time
to time outstanding with respect to an item of Wholesale Inventory, computed in
accordance with the terms of this section. Interest charges for each item of
Wholesale Inventory for which an Advance was outstanding during the prior month
shall be computed and accrued at the lesser of (a) the Applicable Wholesale Rate
(as defined below) which is in effect on the first business day of the month in
which the interest accrues, or (b) the Maximum Legal Rate (as defined below).
The "Applicable Wholesale Rate" with respect to each Advance is as follows: (a)
the Applicable Wholesale Rate with respect to an Advance evidenced by a
Supplemental Security Agreement will be the rate of interest provided in such
Supplemental Security Agreement, (b) the Applicable Wholesale Rate with respect
to an Advance made pursuant to a Special Finance Plan will be the rate of
interest provided in the Special Finance Plan, and (c) the

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<PAGE>   15

Applicable Wholesale Rate with respect to an Advance not subject to a Special
Finance Plan or evidenced by a Supplemental Security Agreement will be a simple
interest per annum rate equal to the greater of N/A % per annum or the Base Rate
(as defined below).

2.4 Fleet Rental Inventory Payment and Interest. Debtor agrees to pay Secured
Party the unpaid balance of each Advance outstanding with respect to an item of
Fleet Rental Inventory as follows: (a) an Advance which is evidenced by a
Supplemental Security Agreement will be payable as provided in the Supplemental
Security Agreement, (b) an Advance made pursuant to a Special Finance Plan will
be payable as provided in the Special Finance Plan, and (c) an Advance not
subject to a Special Finance Plan or evidenced by a Supplemental Security
Agreement will be payable in monthly installments such that the unpaid balance
will be repaid in full no later than 24 months after the earlier of(a) the date
of Secured Party's Advance with respect to the item of Inventory (whether the
Advance was made based upon a classification of the item of Inventory as
Wholesale Inventory or Fleet Rental Inventory) and (b), if the Advance was made
by Secured Party to enable the Debtor to acquire the item of Inventory from a
manufacturer (whether or not pursuant to a Special Finance Plan), the date of
the manufacturer's invoice to Debtor with respect to the item of Inventory. The
amount of each monthly installment payment will be in amount equal to the
greater of(a) the amount necessary to repay the Advance in full in substantially
equal monthly payments as provided above, and (b) 80% of the Revenues invoiced
by Debtor upon the rental of the item of Inventory during the prior calendar
month.

Debtor agrees to pay Secured Party promptly as billed at the beginning of each
month interest and other charges on the unpaid balance of each Advance from time
to time outstanding with respect to an item of Fleet Rental Inventory, computed
in accordance with the terms of this section. Interest charges for each item of
Fleet Rental Inventory for which an Advance was outstanding during the prior
month shall be computed and accrued at the lesser of (a) the Applicable Fleet
Rental Rate (as defined below) which is in effect on the first business day of
the month in which the interest accrues, or (b) the Maximum Legal Rate (as
defined below). The "Applicable Fleet Rental Rate" with respect to each Advance
is as follows: (a) the Applicable Fleet Rental Rate with respect to an Advance
evidenced by a Supplemental Security Agreement will be the rate of interest
provided in such Supplemental Security Agreement, (b) the Applicable Fleet
Rental Rate with respect to an Advance made pursuant to a Special Finance Plan
will be the rate of interest provided in the Special Finance Plan, and (c) the
Applicable Fleet Rental Rate with respect to an Advance not subject to a Special
Finance Plan or evidenced by a Supplemental Security Agreement will be a simple
interest per annum rate equal to the greater of N/A % per annum the Base Rate
(as defined below).

2.5 Interest Free Periods. If the terms of a Special Finance Plan provide that
interest will not accrue with respect to specified Advances on specified items
or types of Inventory for an initial period of time (the "Interest Free
Period"), so long as Debtor is in compliance with the conditions or restrictions
contained in the Special Finance Plan and is not in default under the terms of
this Agreement, interest will not accrue or be payable on such Advances for the
period from the date of the Advance until the earlier of the date the Advance is
payable to Secured Party or the end of the Interest Free Period. If, however,
Debtor at any time defaults in any obligation to Associates with

                                       3
<PAGE>   16

respect to an item of Inventory to which the Advance relates, Debtor will
forfeit Debtor's rights with respect to the Interest Free Period, and interest
will accrue on the related Advance as provided in this Agreement from the date
of such Advance.

2.6 Administrative Charges. Debtor further agrees to pay Secured Party, promptly
as billed, any charge ("Flat Charge") related to each item of Inventory or
Advance which is specified in the Supplemental Security Agreement or under a
Special Finance Plan applicable to such item of Inventory or Advance.

2.7 Calculations of Interest Rate. Wherever used in this Agreement, in any
Supplemental Security Agreement referring to this Agreement or in any Special
Finance Plan Supplemental Agreement, the term "Base Rate" shall mean the Prime
Rate as published from time to time in the Money Rates section of the Wall
Street Journal as the base rate on corporate loans. If more than one Prime Rate
or a range of rates is published, the Prime Rate will be the highest of the
published rates. In the event the Prime Rate as published in the Wall Street
Journal ceases to exist or the Wall Street Journal ceases publishing a Prime
Rate, Associates will substitute a comparable index which is outside the control
of Associates. In the event of an error by the Wall Street Journal, the "Prime
Rate" will be based upon the Prime Rate as corrected. Interest will be computed
at the option of Secured Party on the basis of a 360-day year for the actual
number of days elapsed.

2.8 Maximum Legal Rate. In no event shall the interest rate or other charges
provided in this Agreement or in any Supplemental Security Agreement or Special
Finance Plan exceed the highest rate or charges that Debtor can legally obligate
itself to pay or Secured Party can legally collect (the "Maximum Legal Rate").
If at any time the implementation if any provision of this Agreement would
function to raise the interest rate or other charges of Secured Party above the
Maximum Legal Rate, if any, in effect from time to time in the jurisdiction
whose laws govern this Agreement, including ally applicable Federal laws, for
loans to borrowers of the type, in the amount, for the purposes, and otherwise
of the kind contemplated in this Agreement, then the interest rate or other
charges will be limited to the Maximum Legal Rate and any excess interest or
charges inadvertently collected will be deemed a partial prepayment of the
principal portion of the Advances and applied or reapplied by Secured Party
accordingly.

2.9 Statement of Account. Secured Party will furnish to Debtor from time to time
on a monthly or other periodic basis a statement of Debtor's account with
Secured Party, prepared from Secured Party's records showing all applicable
credits and debits, including all Advances, other charges and payments with
respect to each item of Inventory against which an Advance has been made
pursuant to this Agreement (any error in the identification of one or more items
of Inventory on such statement will not prejudice Secured Party's security
interest in such item). Each such statement will be considered true and correct
and to have been accepted by Debtor and will be conclusively binding on Debtor
with respect to all matters contained therein, unless Debtor notifies Secured
Party in writing of any discrepancy or exception within 30 days of the date of
the mailing by Secured Party to Debtor of any such statement. All payments will
be applied, at Secured Party's option, to accrued changes and interest and then
to principal.

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<PAGE>   17

2.10 Miscellaneous Payment Provisions. Debtor's obligation to pay Secured Party
the entire amount of each Advance will be absolute and unconditional
notwithstanding any contrary agreement, modification or substitution with any
Manufacturer. All amounts payable pursuant to this Agreement are payable at
Secured Party's address set forth below or at such other address as Secured
Party may specify from time to time in writing. After the maturity of any such
payment or upon the acceleration of all indebtedness under this Agreement,
Debtor agrees to pay interest thereon at the rate of 1 1/2% per month if not
prohibited by law, otherwise at the highest rate permitted by applicable law.
Any instrument or agreement which is executed by Debtor and specifies an amount
payable will evidence indebtedness and not payment.

3. SECURITY INTEREST

3.1 Security Interest. To secure payment of all Advances which Secured Party may
elect to make pursuant to this Agreement from time to time, Debtor hereby grants
to Secured Party a security interest in all of the Collateral as described and
defined in any Supplemental Security Agreement executed by Debtor and Secured
Party in connection with this Agreement from time to time (collectively herein
called "Collateral"). Debtor agrees that at any time and from time to time, upon
the request of Secured Party, Debtor will promptly (a) deliver to Secured Party
all Collateral other than Inventory, (b) mark all chattel paper, documents and
instruments and debtor's books of account, ledger cards and other records
relative to the Collateral with a notation satisfactory to Secured Party
disclosing that they are subject to Secured Party's security interest, (c)
execute and deliver to Secured Party such instruments, Uniform Commercial Code
financing statements, statements and agreements as Secured Party may request to
further evidence each Advance and the security interests granted under this
Agreement, provided, however, Debtor's failure to comply with such request shall
not affect or limit Secured Party's security interest or other rights in and to
the Collateral, and (d) permit Secured Party or its representatives to examine
the Collateral and Debtor's books and records at any and all reasonable times.
Debtor shall pay all expenses and costs of any nature whatsoever incurred by
Secured Party in connection with any Advances made pursuant hereto, including,
but not limited to, all filing fees and recording costs, and stamp taxes
actually incurred.

4. SALE AND LEASE OF INVENTORY

4.1 Location. The Collateral shall be kept at Debtor's place of business at the
address set forth below Debtor's signature or at one of the following places of
business of Debtor except when the Collateral is being leased or demonstrated
pursuant to the provisions of this Agreement: Union City, CA; Fresno, CA;
Pleasant Grove, CA; Sparks, Nevada; Honolulu, Hawaii.

4.2 Lease of Fleet Rental Inventory. So long as Debtor is not in default under
this Agreement, Debtor may lease any item of Fleet Rental Inventory to retail
customers in the normal course of Debtor's business in accordance with the
following terms and conditions: (a) each lease agreement (herein called a
"Lease") relating to one or more items of Fleet Rental Inventory shall: (i) be
in a form approved by Secured Party and be in conformity with all applicable
governmental laws and

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<PAGE>   18

regulations, (ii) provide that any assignee of the lessor shall not be obligated
to perform or fulfill any of lessor's obligations thereunder, including, without
limitation, any obligation to furnish maintenance, repairs, or services or to
provide insurance, (iii) contain a waiver by the lessee thereunder of all rights
to any set-off, abatement, defense, counterclaim or cross-claim against an
assignee of the lessor, (iv) be the only agreement (other than this Agreement)
then covering the items of Inventory being leased thereunder, (v) be the entire
agreement between Debtor and the lessee thereunder relating to the items of
Inventory being leased thereunder, (vi) not contain any purchase or renewal
options or grant any rights to the lessee thereunder or any other third parties
in or to any Fleet Rental Inventory, except as approved in writing by Secured
Party, and (vii) otherwise conform to such requirements as Secured Party may
specify from time to time; (b) Debtor will comply with all of its warranties and
other obligations under the Lease; and (c) Debtor will report in writing to
Secured Party each month (or at such other times as Secured Party may request)
the location of the Inventory, the name and address of each lessee, the Revenues
billed during such period and such other information as Secured Party may
request. Neither the leasing of any Inventory nor any Lease shall relieve Debtor
of any of its obligations to Secured Party under this Agreement, and the
assignment of and security interest granted in the Documents shall not be
construed as authorizing Debtor to do anything with the Inventory other than to
lease the same in accordance with the provisions hereof. Debtor agrees that
Secured Party does not, by this Agreement or otherwise, assume any of the
obligations of Debtor under the Lease or other Documents. Debtor hereby grants
to Secured Party the right (in debtor's name or otherwise, and without affecting
Debtor's obligations to Secured Party) to demand, receive, compromise extend the
time of payment of, or give a discharge for, any and all Revenues, to endorse
any checks or other instruments or orders in connection with the Revenues and to
file any claims or take such actions or institute such proceedings as Secured
Party may deem necessary or desirable to protect Secured Party's interests.
Debtor shall have no authority to, and will not, without Secured Party's prior
written consent, accept collections, repossess, substitute or consent to the
return of the Inventory or modify the terms of the Documents, provided, however,
until Secured Party notifies Debtor to the contrary, Debtor may collect the
rents and monies owing under the Documents as the same become due but not
otherwise. Debtor agrees, upon request of Secured Party, to notify the lessees
and all other obligors under the Documents of the interest of Secured Party and
to direct the lessees and all other obligors under the Documents to pay all
Revenues directly to Secured Party. Debtor agrees to promptly render monthly
billings to all lessees of the Inventory.

4.3 Sale of Inventory. So long as Debtor is not in default under this Agreement,
Debtor may sell any item of Inventory in the regular course of Debtor's business
for a price not less than the amount of the Advance applicable thereto except as
otherwise agreed to in writing by Secured Party. All sales of Inventory shall be
for cash or upon such terms and conditions as Secured Party may approve in
writing. Upon the sale of any item of Inventory (with or without the consent of
Secured Party) the amount of the Advance applicable thereto shall become
immediately due and payable and Debtor shall immediately pay such amount in cash
to Secured Party without notice or demand. All Collateral resulting from such
sale shall be held by Debtor in trust for Secured Party, separated from all
other funds and assets of Debtor.

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<PAGE>   19

5. REPRESENTATIONS AND WARRANTIES

5.1 Representations and Warranties. Debtor warrants and agrees that: the
execution of and performance by Debtor under the terms of this Agreement has
been approved for Debtor by all necessary action and by Debtor's partners or
board of directors, as applicable; the Inventory is currently and will continue
be maintained in good operating condition, repair and appearance and is
currently and will continue be used and operated with care only by qualified
personnel in the regular course of Debtor's business and in conformity with all
applicable governmental laws and regulations, manufacturer's specifications and
the restrictions contained in any insurance policy insuring the Inventory; the
Inventory is not currently and will not be used in conjunction with the storage,
transportation or disposal of substances considered to be toxic or hazardous or
in conjunction with any activity or for any use that would subject the Inventory
to seizure or confiscation by any governmental body; and the Inventory is
currently located at and will be kept by Debtor at the location set forth in
this Agreement and will not be removed from said location without the prior
written consent of Secured Party. Secured Party shall have the right to inspect
the Inventory at all reasonable times and from time to time.

Debtor further warrants and agrees that: the security interest in the Collateral
granted to or retained by Secured Party is and will continue to be superior to
any title to or interest in the Inventory now or hereafter held or claimed by
any other party; the Collateral is free from and will be kept free from all
liens, claims, security interests and encumbrances (whether superior or inferior
to the interests of Secured Party) other than that created by this Agreement;
notwithstanding Secured Party's interest in proceeds, Debtor will not and will
not allow any other party to consign, sell, rent, lend, encumber, pledge,
transfer, secrete or otherwise dispose of any of the Collateral other than as
authorized in this Agreement without Secured Party's prior written consent;
Debtor will do everything Secured Party deems necessary or expedient to perfect
or preserve the interests granted to Secured Party under this Agreement and the
first priority of such interests; any Manufacturer's Statement or Certificate of
Origin or Certificate of Title relating to the Inventory shall be immediately
delivered to Secured Party and, if a Certificate of Title or registration is
required to be issued for any item of Inventory, Debtor will cooperate with
Secured Party in obtaining the Certificate of Title or registration disclosing
the interests of Debtor and Secured Party in the Inventory; Debtor will defend
any action, proceeding or claim affecting the Collateral or the interests of
Secured Party in the Collateral; Debtor shall promptly pay all amounts payable
in conjunction with the storage, maintenance or repair of the Inventory and all
taxes, assessments, license fees and other public or private charges levied or
assessed in conjunction with the ownership, operation or use of the Inventory or
levied or assessed against the Collateral, this Agreement or any accompanying
note except for those which are being contested by Debtor in good faith by
appropriate proceedings and which do not constitute a lien or encumbrance upon
the Collateral; and Debtor will from time to time furnish Secured Party with
such financial statements and other information as Secured Party may reasonably
request.

5.2 Insurance and Risk of Loss. Debtor will at all times bear all risk of loss
of, damage to or destruction of the Inventory. Debtor agrees to immediately
procure and maintain insurance on the Inventory for the full insurable value
thereof and for the life of this Agreement, in the form of "All Risk" or similar
insurance (insuring the Inventory for fire, extended coverage, vandalism, theft
and collision and containing only those exclusions from coverage which are
acceptable to Secured Party)

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<PAGE>   20
plus such other insurance as Secured Party may specify from time to time, all in
form and amount and with insurers satisfactory to Secured Party. Debtor agrees
to deliver promptly to Secured Party certificates or, if requested, policies of
insurance satisfactory to Secured Party, each with a standard long-form
loss-payable endorsement naming Secured Party or assigns as loss-payee and
providing that Secured Party's rights under such policy will not be invalidated
by any act, omission or neglect of anyone other than Secured Party, and
containing the insurers agreement to give 30 days prior written notice to
Secured Party before any cancellation of or material change in the policy(s)
will be effective as to Secured Party, whether such cancellation or change is at
the direction of Debtor or insurer. Secured Party's acceptance of policies in
lesser amounts or risks will not be a waiver of Debtor's obligation to procure
insurance complying with the provisions hereof promptly after notice from
Secured Party. Debtor assigns to Secured Party all proceeds of any physical
damage or credit insurance which is maintained by Debtor in accordance herewith,
including returned and unearned premiums, up to the amount owing hereunder by
Debtor. Debtor directs all insurers to pay such proceeds solely to the order of
Secured Party for application to Debtor's indebtedness to Secured Party. Secured
Party may, at its option, apply any such proceeds received by Secured Party to
the final maturing installments due hereunder in the inverse order of their
maturity.

5.3 Performance by Secured Party, If Debtor fails to perform any of Debtor's
obligations pursuant to Paragraphs 1 or 2 above, Secured Party may perform the
same for the account of Debtor. Any such action by Secured Party will be in
Secured Party's sole discretion and Secured Party will not be obligated in any
way to do so. Secured Party's performance on behalf of Debtor will not obligate
Secured Party to perform the same or any similar act in the future and will not
cure or waive Debtor's failure of performance as an event of default hereunder.
All sums advanced or costs and expenses incurred by Secured Party pursuant to
this Paragraph, including the reasonable fees of any attorney retained by
Secured Party, will be for the account of Debtor, will constitute indebtedness
secured by Secured Party's security interest in the Collateral, will bear
interest at the rate as specified on the reverse side of this Agreement in the
event of acceleration and, unless Secured Party, in Secured Party's sole
discretion agrees otherwise in writing, shall be immediately due and payable.

6. DEFAULT

6.1 Events of Default. Time is of the essence. An event of default will occur
if: (a) Debtor fails to pay when due any amount owed by it to Secured Party
under this Agreement or under the terms of any promissory note delivered in
conjunction with this Agreement or if Debtor fails to pay when due any amount
owed by it to Secured Party or to any affiliate of Secured Party under any other
document, agreement or instrument; (b) Debtor fails to perform in compliance
with any of its agreements hereunder or any warranty made by Debtor in this
Agreement is or becomes incorrect or if Debtor fails to perform or observe any
term or provision to be performed or observed by it under any other document,
instrument or agreement furnished by Debtor to Secured Party or any affiliate of
Secured Party or otherwise acquired by Secured Party or any affiliate of Secured
Party; (c) any information, representation, or warranty furnished by Debtor to
Secured Party or to any affiliate of Secured Party is inaccurate or incorrect in
any material respect when furnished; (d) Debtor becomes

                                       8
<PAGE>   21

insolvent or ceases to do or is prohibited by any court order or govern mental
action from conducting the business in which Debtor is principally engaged on
the date of this Agreement as a going concern; (e) any surety or bonding company
assumes any of Debtor's responsibilities under any contract or job; (f) if any
of the Inventory is lost, stolen, destroyed, confiscated by any governmental
agency, abandoned, or relocated, used or maintained in violation of the terms
hereof or if Debtor attempts to consign, sell, rent, lend or encumber any of the
Inventory or allows another to do so; (g) Debtor files a petition in bankruptcy,
or for an arrangement, reorganization, or similar relief, or makes an assignment
for the benefit of creditors, or applies for the appointment of a receiver or
trustee for a substantial part of its assets or for any of the Inventory, or
attempt to take advantage of any process or proceeding for the relief of
debtors, or if any such action is taken against Debtor; (h) any other party
attempts to attach, repossess or execute upon any of the Collateral; (i) Debtor
ceases to exist as a legal entity or Debtor or any party in control of Debtor
takes any action looking to Debtor's dissolution as a legal entity; (1) there
shall be a material change in the management, ownership or control of Debtor; or
(k) Secured Party in good faith believes that the prospect of payment or
performance hereunder is impaired. Secured Party's inaction with respect to an
event of default shall not be a waiver of such default and Secured Party's
waiver of any default shall not be a waiver of any other default.

6.2 Remedies Upon Default. Upon the occurrence of an event of default, and at
any time thereafter as long as the default continues, Secured Party may, at its
option, with or without notice to Debtor (i) declare this Agreement to be in
default, (ii) declare the indebtedness hereunder to be immediately due and
payable, (iii) declare all other debts then owing by Debtor to Secured Party to
be immediately due and payable, (iv) cancel any insurance and credit any refund
to the indebtedness, and (v) exercise all of the rights and remedies of a
Secured Party under the Uniform Commercial Code and any other applicable laws,
including, without limitation, the right to require Debtor to assemble the
Inventory and deliver it to Secured Party at a place to be designated by Secured
Party which is reasonably convenient to both parties and to lawfully enter any
premises where the Collateral may be without judicial process and take
possession thereof. Acceleration of any or all indebtedness, if so elected by
Secured Party, shall be subject to all applicable laws including those
pertaining to refunds and rebates of unearned charges. Any property other than
the Collateral which is in or upon the Collateral at the time of repossession
may be taken and held without liability until its return is requested by Debtor.
Any sale or other disposition of any of the Collateral may be made at public or
private sale or through public auction for a wholesale or retail price at the
option of Secured Party. Secured Party may buy at any sale and become the owner
of the Collateral. Unless otherwise provided by law, any requirement of
reasonable notice which Secured Party may be obligated to give regarding the
sale or other disposition of Collateral will be met if such notice is mailed to
Debtor at its address shown herein at least ten days before the time of sale or
other disposition. Debtor agrees that Secured Party may bring any legal
proceedings it deems necessary to enforce the payment and performance of
Debtor's obligations hereunder in any court in the State shown in Secured
Party's address set forth herein, and service of process may be made upon Debtor
by mailing a copy of the summons to Debtor at its address shown herein. The
filing by Secured Party of any action or proceeding with respect to the
Collateral or any of Debtor's obligations hereunder shall not constitute an
election by Secured Party of Secured Party's remedies or a waiver of Secured
Party's rights to take

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<PAGE>   22
possession of the Collateral as provided above. Expenses of retaking, holding,
preparing for sale, selling and the like shall include (a) the reasonable fees
of any attorneys retained by Secured Party, (b) any amounts advanced or expenses
incurred by Secured Party pursuant to Paragraph 3 hereof and (c) all other legal
and other expenses incurred by Secured Party. Debtor agrees that it is liable
for and will promptly pay any deficiency remaining after any disposition of
Collateral after default and all costs and expenses, including the reasonable
fees of any attorney, incurred by Secured Party in the collection of any such
deficiency.

7. ADDITIONAL PROVISIONS

7.1 Power of Attorney. Debtor hereby appoints Secured Party or any duly
authorized officer or employee of Secured Party as Debtor's attorney-in-fact to,
in Debtor's or Secured Party's name: (a) prepare, execute and submit any notice
or proof of loss in order to realize the benefits of any insurance policy
insuring the Collateral; (b) prepare, execute and file any instrument which. in
Secured Party's opinion, is required by law to perfect and give or modify public
notice of Secured Party's interest in the Collateral; and (c) endorse Debtor's
name on any remittance representing proceeds of any insurance insuring the
Collateral or the proceeds of the sale, or other disposition of any of the
Collateral (whether or not such disposition is a default hereunder). This power
is coupled with an interest and is irrevocable so long as any indebtedness
secured hereunder remains unpaid.

7.2 Assignment. Debtor shall not assign this Agreement without the prior written
consent of Secured Party. Secured Party may assign this Agreement with or
without notice to or the consent of Debtor. Upon assignment, the term "Secured
Party" shall mean and refer to any assignee who is the holder of this Agreement.
After assignment of this Agreement by Secured Party, the assignor will not be
the assignee's agent for any purpose and Debtor's obligations to the assignee
will be absolute and unconditional and, to the extent permitted by applicable
law, will not be subject to any abatement, reduction, recoupment, defense,
set-off or counterclaim available to Debtor for breach of warranty or for any
other reason whatsoever. Upon full payment of all obligations secured by this
Agreement, the assignee may deliver all original papers to the assignor for
Debtor.

7.3 Miscellaneous. (A) All of Secured Party's rights hereunder are cumulative
and not alternative. (B) The inclusion of a trade name or division name in the
identification of Debtor hereunder does not limit Secured Party's rights, after
the occurrence of an event of default, to proceed against all of Debtor's
assets, including those held or used by Debtor individually or under another
trade or division name. (C) If permitted by law, Debtor agrees that a carbon,
photographic or other reproduction of this Agreement or of a financing statement
may be filed as a financing statement. (D) Secured Party may correct patent
errors herein and fill in blanks. (E) All of the terms and provisions hereof
will apply to and be binding upon Debtor, its heirs, personal representatives,
successors and assigns and shall inure to the benefit of Secured Party, its
successors and assigns. (F) Debtor and Secured Party hereby waive any right to
trial by jury in any action or proceeding relating to this Agreement or the
transaction contemplated hereby. (G) Debtor hereby expressly waives notice of
nonpayment, presentment, protest, dishonor, default, intent to accelerate the
maturity hereof and of acceleration

                                       10
<PAGE>   23
of the maturity hereof. (H) Deleted (I) To the extent allowed by law, Debtor
hereby waives any exemptions or appraisals. (J) No waiver or change in this
Agreement or in any related note will be binding upon Secured Party, or Secured
Party's assignee, unless such waiver or change is in writing and signed by one
of its officers and any such waiver or change shall then be effective only upon
the terms and to the extent provided in such writing. (K) The acceptance by
Secured Party of any remittance from a party other than Debtor will in no way
constitute Secured Party's consent to the transfer of any of the Collateral to
such party. (L) Any captions or headings included in this Agreement are for
convenience of reference only and shall not limit or otherwise affect the
meaning of any provision contained in this Agreement. (M) Any provision
contained herein which is contrary to, prohibited by or invalid under applicable
laws or regulations will be deemed inapplicable and omitted herefrom, but shall
not invalidate the remaining provisions hereof (N) The only copy of this
Agreement which constitutes "chattel paper" is the original executed copy
designated as "Original For Associates".

8. GOVERNING LAW

8.1 Governing Law. This Agreement shall in all respects be governed by, and
construed in accordance with, the laws of the State of Texas including all
matters of construction, validity and performance. No oral agreement, guaranty,
promise. representation or warranty shall be binding upon Secured Party.

Dated: January 5, 1999

Western Traction Company

                                       11
<PAGE>   24
                                   Schedule A
                             (Inventory Description)

This Schedule A (Description of Inventory) is attached to and made a part of
that certain Master Security Agreement (Wholesale and Fleet Rental Finance) (the
"Agreement") dated January 5,1999 between Associates Commercial Corporation
("Secured Party") and Western Traction Company ("Debtor").

I. Description of Inventory. The following items or types of inventory are
subject to the terms of the Agreement and to the security interest granted by
Debtor to Secured Party pursuant to the Agreement:

All new and used equipment, machines, products, attachments and/or parts
financed by Secured Party and upon which any financing or related charges remain
unpaid.

                                       12
<PAGE>   25

                               SECURITY AGREEMENT

         Made this 31 day of August 1994, by Associates Commercial Corporation,
a Delaware corporation (herein called "CREDIT"), having a place of business at
P.O. Box 162234 Sacramento, CA and Western Traction Company a California
Corporation, with its chief executive office at 1333 Atlantic St., Union City,
CA 94587, and additional places of business at 2330 E. Date, Fresno, CA 93706,
870 S. Rock Blvd., Sparks, NV 89431 and 7518 Pacific Avenue, Pleasant Grove, CA
95668 (herein called "DEALER").

1. STATEMENT OF PURPOSE

         Dealer normally purchases and maintains a substantial inventory of
Products and Parts for sale to its customers. In addition, DEALER purchases
Products which it rents or leases to its customers. In the course of these
activities, DEALER may desire financing of many different varieties.

         CREDIT is engaged in making financing available to DEALER on a
continuing basis.

         CREDIT, at its option, when DEALER requests, will make loans to DEALER
to finance DEALER's acquisition of Products or Parts to be held as inventory for
ultimate sale to DEALER's customers or to be held for rental or lease to
DEALER's customers, and further at its option, will furnish financing to
DEALER's customers, and may make loans for such other purposes as may be
mutually agreed by DEALER and CREDIT.

         Since it is expected that financing activities between DEALER and
CREDIT will be continuing and that there will be numerous separate transactions,
the parties intend by this agreement to establish herein, without the need for
further documentation, a Security Interest in all Collateral to secure all
Liability of DEALER to CREDIT, and to further establish certain obligations of
DEALER to CREDIT.

2. DEFINITIONS

         When capitalized in this Agreement, the terms defined in this Section 2
have the meanings specified below:

         2.1 Account - has the meaning accorded it by the Uniform Commercial
Code as in effect from time to time under applicable state law.

         2.2 Account Debtor - has the meaning accorded it by the Uniform
Commercial Code as in effect from time to time under applicable state law.

         2.3 Chattel Paper - has the meaning accorded it by the Uniform
Commercial Code as in effect from time to time under applicable state law.

<PAGE>   26

         2.4 Collateral - means all of the following, whether now owned or
hereafter acquired: (a) Products; (b) Parts; (c) returned or repossessed
Products or Parts; (d) Accounts and Chattel Paper arising out of or relating to
the sale, lease, rental or other disposition of Products or Parts; and (e) all
proceeds of any of the foregoing items described in (a)-(d).

         2.5 Financed Inventory - means Products or Parts which are now or
hereafter financed by CREDIT.

         2.6 Financing Plan - means the policies announced to DEALER by CREDIT
from time to time as the amounts that will be loaned to finance the acquisition
of any Financed Inventory and the amounts that will be loaned for other
purposes, the terms of any such loan and interest, service charge and conditions
thereof and any related terms or conditions, whether such policies are contained
in a finance manual or other documents, including any separate agreement or
documents relating to the financing extended to DEALER by CREDIT.

         2.7 Inventory - has the meaning accorded it by the Uniform Commercial
Code as in effect time to time under applicable state law.

         2.8 Liability - means any and all direct and indirect obligations,
contingent or otherwise, of DEALER to CREDIT, of every kind and description, now
existing or hereafter arising, whether under this Agreement or otherwise.
Liability includes obligations to perform acts or refrain from taking action, as
well as obligations to pay money.

         2.9 Parts - means Inventory consisting of service and replacements
parts and kits of parts for repair or modification, for use on Products or
similar goods.

         2.10 Products - means Inventory whether now or owned or hereafter
acquired by DEALER consisting of: (i) all trenching, construction, material
handling, agricultural, road building, earth moving, compaction, paving, mining,
logging, forestry, commercial or industrial equipment or other similar goods;
and (ii) accessory items and attachments for use or installation on goods of the
type listed in (i) above.

         2.11 Security Interest - has the meaning accorded it by the Uniform
Commercial Code as in effect from time to time under applicable state law.

3. GRANT OF SECURITY INTEREST

         To secure performance or payment of Liability, DEALER hereby grants to
CREDIT a security interest in the Collateral. As additional security for
Liability, DEALER hereby assigns to CREDIT, as its interests may appear, all of
DEALER's right, title and interest in and to insurance proceeds payable to
DEALER by reason of loss of or damage to all or any part of the Collateral.

<PAGE>   27

4. FINANCING TERMS

         4.1 CREDIT will announce from time to time its Financing Plans. DEALER
shall abide by and adhere to the applicable Financing Plan, which may be changed
from time to time in whole or in part without prior notice to DEALER.

         4.2 When DEALER wishes to obtain financing from CREDIT for itself or
for DEALER's customers, it shall request such financing in accordance with
applicable procedures established by CREDIT in the Financing Plan.

         4.3 If CREDIT, at its sole option, agrees to provide financing
requested by DEALER, such financing shall be on such terms and subject to such
condition as may be established in accordance with this Agreement, the
Applicable Financing Plan or otherwise by CREDIT and DEALER.

         4.4 CREDIT may, from time to time, prepare and deliver to DEALER one or
more statements of account reflecting the loans and financing extended by CREDIT
to DEALER hereunder. Unless DEALER objects thereto within 10 days of receipt of
any such statement of account, the terms, conditions and contents of such
statements of account shall be conclusively deemed accurate and correct and
shall constitute a valid and binding obligation of the DEALER to pay the amounts
set forth therein at the time specified therein.

         4.5 DEALER agrees to execute and deliver to CREDIT any and all
documents requested by CREDIT, including but not limited to promissory notes, in
connection with the financing extended by CREDIT to DEALER hereunder.

5. DISPOSITION OF FINANCED INVENTORY

         5.1 Financed Inventory may be sold by DEALER only in the ordinary
course of business and only in accordance with the terms and upon the conditions
of the applicable Financing Plan in effect from time to time. In the event any
piece of Financed Inventory is sold by DEALER, DEALER shall remit to CREDIT the
unpaid balance of the amount financed by CREDIT plus all interest due at the
earliest of (a) The expiration of 24 hours after DEALER receives the proceeds of
such sale or (b) 30 days after such sale DEALER shall hold all proceeds of any
disposition of Financed Inventory as trustee for CREDIT and shall not sell,
assign or otherwise dispose of all or any part of such proceeds without the
prior written consent of CREDIT.

         5.2 Financed Inventory may be placed in the possession of a customer
for demonstration purposes only in accordance with the terms of the applicable
Financing Plan.

         5.3 DEALER will not rent or lease any piece of Financed Inventory that
has not previously been identified by CREDIT as being held by DEALER for lease
or rental and for which DEALER has not previously submitted to and had approved
CREDIT a Request for Rental Financing. The rental or lease by DEALER of any
piece of Financed Inventory shall at all times comply and be in accordance with
the terms of the applicable Financing Plan.

<PAGE>   28

         5.4 The sale of any Financed Inventory for which CREDIT is not paid as
required by Section 5.1 and the lease or rental of any Financed Inventory
without the prior written consent of CREDIT, will constitute an "Out-of-Trust"
occurrence in violation of this Agreement.

6. COVENANTS OF DEALER

         DEALER covenants and warrants to CREDIT as follows:

         6.1 Payment or Performance of Liability - Dealer shall pay when due all
Liability and shall observe or perform all Liability in accordance with the
terms thereof. The obligation of DEALER to pay such Liability shall be absolute
and unconditional and shall not be affected by any offset, counterclaim or
occurrence whatsoever, whether against CREDIT or any other person, including but
not limited to any damage to, loss or destruction of, or defect in any of the
Products.

         6.2 Maintenance of Collateral - Dealer shall maintain and preserve the
Collateral in good order and condition; shall not permit the Collateral to be
wasted or destroyed, and shall protect the Security Interest of CREDIT. DEALER
will not cause or permit the removal of any component or accessory from a piece
of Financed Inventory except during the course of maintenance or repair. If
Financed Inventory shall not, in the opinion of CREDIT, be maintained in good
order and condition, CREDIT may, without prejudice to any other rights, give
written notice to DEALER to put such Financed Inventory in good order and
condition, and if DEALER does not, within the (10) days from the date of such
notice, comply with the requirements therein set forth, CREDIT may cause such
Financed Inventory to be put in good order and condition, the expense thereof to
be paid or reimbursed by DEALER on demand. DEALER will immediately notify CREDIT
of any loss of or damage to, or material diminution in value (including but not
limited to diminution in value through demonstration to prospective customers)
or any occurrence which adversely affects the value of the Collateral. If
CREDIT, in its dole discretion, determines there has been any such loss, damage
or diminution in value, DEALER shall upon the request of CREDIT, pay to CREDIT,
within such period as specified by CREDIT, such amount as CREDIT has determined
to represent the amount of such loss, damage or diminution in value.

         6.3 Taxes - DEALER shall be liable for all taxes, fees or assessments
in the Collateral, or the use thereof and shall reimburse CREDIT for amounts
equal to all taxes, fees, or assessments including penalties and interest levied
or based on the Agreement, the Collateral or the use or operation thereof,
excepting only franchise taxes or taxes measured by net income or net worth of
CREDIT.

         6.4 Liability and Insurance - DEALER shall indemnify, save and hold
CREDIT harmless in respect to all claims, demands, suits and expenses on account
of bodily injury, sickness or disease, including death, sustained by any person
or persons, injury to or the destruction or property, and any and all other
losses, accidents, claims, suits and expenses whatsoever and howsoever arising
or incurred in the course of the business activities carried on by DEALER.
DEALER assumes all risk of physical loss or damage to the Collateral and shall
provide and maintain insurance evidencing fire, extended coverage perils,
vandalism and malicious mischief and theft insurance in an amount not less than
the full insurable value of the Collateral. Such insurance shall include a loss
payable clause

<PAGE>   29

showing DEALER and CREDIT as loss payees, as their interest may appear. DEALER,
at its own expense, shall also carry public liability insurance with bodily
injury limits of not less than $250,000.00/$500,000.00 and with property damage
limits of not less than $100,000.00 per accident for the contractual liability
coverage of the hold harmless clause provided herein. DEALER shall furnish to
CREDIT certificates evidencing the insurance coverage required herein which
certificates shall require ten (10) days' prior written notice to CREDIT prior
to cancellation. If DEALER does not secure any or all of the insurance required
to be carried hereunder, CREDIT may, but it not obligated to, purchases such
insurance, the cost of which must be reimbursed to CREDIT by DEALER immediately.

         6.5 Records - DEALER shall maintain at its permanent office full and
complete records with respect to COLLATERAL, which records shall include the
location of each item of Collateral at all times. Such records shall be
available as all times to CREDIT or its duly authorized representatives for
purposes of inspection, and CREDIT and its representatives shall have free
access at all reasonable time to inspect any item of Collateral.

         6.6 Security Interest - DEALER shall sign and execute alone or with
CREDIT any financing statement or other document or certificate of title or
procure any document or certificate of title, and pay all connected costs,
necessary or desirable to perfect or otherwise protect CREDIT's Security
Interest under this Agreement against the rights or interest of third persons.
If permitted by applicable law, DEALER authorizes CREDIT to sign and file on
behalf of DEALER any financing statement or amendment thereof necessary or
desirable to perfect the Security Interest of CREDIT. A carbon, photographic or
other reproduction of this Agreement is sufficient as a financing statement and
may be filed by CREDIT, at its option, in such filing offices as it deems
appropriate.

         6.7 Notification of Account Debtors - DEALER agrees that at any time or
times, CREDIT may notify any Account Debtor or other person obligated on any
Account, Chattel Paper or other item of Collateral of the interest of CREDIT
therein. If DEALER is in default under this Agreement, CREDIT may further notify
such Account Debtor or other person that such Account Debtor or other Person
shall make all payments directly to CREDIT. DEALER shall, at the request of
CREDIT, execute any such notifications.

         6.8 Signatory Authorization - DEALER hereby constitutes and appoints
such of CREDIT's employees or designees as CREDIT may decide from time to time
as DEALER's true and lawful attorney-in-fact to perform the following: (a) to
write in the description of Products, the quantities, prices, interest rates,
repayment schedules and other details of the transaction on the instruments
evidencing DEALER's obligation to CREDIT, which instruments shall be
substantially in the form of promissory note as designated by CREDIT from time
to time; (b) to sign in DEALER's name by use of a facsimile signature or by any
other appropriate means, and promissory notes or other evidences of
indebtedness; and (c) to execute on behalf of DEALER the notification letters
described in Section 6.7 hereof.

DEALER further agrees that, if DEALER is in default hereunder and, as a result
of such default, Liability is accelerated by CREDIT, any employee or authorized
representative of CREDIT may

<PAGE>   30

execute, sign, endorse and transfer in the name of DEALER notes, checks, drafts,
or other instruments for the payment of money and receipts, certificate of
origin and applications for certificates of title or other documents, necessary
to evidence, perfect and realize upon the Security Interest and Liability.

         6.9 Name Change - DEALER shall notify CREDIT of any proposed changed in
its name, identity, ownership or structure not less than thirty (30) days before
such change is effective. If any such change would, in the opinion of CREDIT,
adversely affect its Security Interest or otherwise adversely affect its
interest under this Agreement or otherwise, CREDIT in its sole discretion, may
notify DEALER of corrective action it will be required to take (including,
without limitation, execution and filing any financing statements evidencing
such change). DEALER shall promptly comply with all the terms of any such
notification.

         6.10 Location of Collateral; Offices - Except for a sale, lease or
rental of Products and Parts in accordance with this Agreement, DEALER shall
keep the Collateral in its possession or control at one of DEALER's places of
business specified in this Agreement, unless CREDIT consents in writing to
removal of such Collateral to another location. DEALER shall promptly notify
CREDIT in writing of any proposed change of the location of its chief executive
office, and of all proposed additional places of its business.

         6.11 Partnership - If DEALER is a partnership, all Liability shall
remain in force and shall apply to and shall be binding upon those individuals
or entities which are the partners at the time this Agreement is signed and any
individuals or entities who subsequently become partners DEALER, notwithstanding
any changes in the individuals or entities comprising the partnership. The term
"DEALER" shall include any alternate or successor partnerships.

         6.12 Transactions with Affiliates - Without the prior approval of
CREDIT, DEALER shall not sell, transfer, assign or otherwise convey any item of
Collateral to any person or entity which controls, is controlled by, or is under
common control with DEALER.

         6.13 Financial Statements - DEALER shall furnish to CREDIT as soon as
available and in any event within 120 days after the end of each fiscal year a
copy of the financial statements of DEALER and each of its affiliates (including
balance sheet and statement of income and retained earnings) for such year,
prepared in accordance with generally accepted accounting principles and, except
as otherwise permitted by CREDIT, audited by independent auditors. DEALER shall
also furnish other periodic financial statements and reports as shall be
requested by CREDIT.

         6.14 Accuracy of Statement - DEALER covenants and warrants that all
representations and warranties now or hereafter made to CREDIT, whether in this
Agreement or in any supporting or supplemental reports, statements or
documentation, including, without limitation, statements relating to the
Collateral and financial statements, are, and shall continue to be, true and
correct.

<PAGE>   31
7.       Default

         DEALER shall be in default on this Agreement upon the happening of any
of the following events.

         7.1 Failure to pay, perform or observe any Liability in accordance with
its terms, including without limitation any Out-Of-Trust occurrence.

         7.2 Insolvency of DEALER or the making of an assignment for the benefit
of creditors by Dealer or the commencement of proceedings in bankruptcy or for a
receivership by or against DEALER.

         7.3 Breach by DEALER of any terms, conditions or covenants of this
Agreement or any Financing Plan of CREDIT in effect from time to time or any
term of any other agreement previously or hereafter entered into between DEALER
and CREDIT or any of CREDIT's subsidiaries or affiliates.

         7.4 Termination of or failure to renew, for any reason, any agreement
which is material to DEALER's or any affiliate of DEALER, business pursuant to
which the manufacturer name in such agreement has appointed DEALER or any
affiliate of DEALER a distributor of Products.

         7.5 At any time that CREDIT in good faith believe the prospect of
payment or performance hereunder is impaired or the Collateral is insecure,
including without limitation DEALER's default under any agreement with any third
party which default materially and adversely affects DEALER's business.

8. REMEDIES

         If any of the events of Default specified herein shall occur, all
Liability due or to become due shall accelerate and become immediately due and
payable without notice or demand and CREDIT may exercise and shall have any and
all rights and remedies accorded to it by the Uniform Commercial Code as in
effect from time to time under applicable state law. In addition, CREDIT may
require DEALER to assemble the Collateral and make it available to CREDIT at a
place designated by CREDIT which is reasonably convenient to all parties. CREDIT
is also hereby authorized and empowered to enter in a lawful manner and without
breaching the peace, any premises of DEALER or other place where Collateral may
be located and take possession of the Collateral without notice or demand, and
DEALER waives any rights DEALER may have to such notice or demand. CREDIT may
take possession of Collateral wherever found except as otherwise provided by
applicable law. In connection with the enforcement of its Security Interest
hereunder, CREDIT may take possession of any goods installed in, affixed to or
otherwise in or upon the Collateral at the time of repossession, an hold such
goods for DEALER at DEALER's risk without any liability on the part of CREDIT.
As to any Collateral which is rented to a customer of DEALER, CREDIT shall be
deemed to have taken possession of DEALER's interest in such Collateral by
giving notice to the lessee of such Collateral that CREDIT has acquired DEALER's
interest. DEALER agrees that notice sent to it by any of the methods provided in
Section 10.1 hereof at least five (5) days before the action or occurrence
described in such notice shall, constitute reasonable notice under applicable
law; provided

<PAGE>   32

however, that is the circumstances indicate that a shorter period of notice is
reasonable, such shorter period shall constitute reasonable notice under
applicable law. DEALER shall pay CREDIT on demand any and all expenses,
including reasonable attorney's fees and court costs, incurred or paid by CREDIT
in protecting or enforcing any of their rights or remedies hereunder. Rights and
remedies provided for herein are cumulative, and shall not limit rights or
remedies otherwise available to CREDIT under any other agreement or applicable
law.

9.       APPLICATION OF PAYMENTS - OFFSET

         DEALER waives any right it may have to direct the application of any
payments made by it to CREDIT, and CREDIT may at its option offset and deduct
any Liability of DEALER from any or all sums owed by it to DEALER.

10.      GENERAL

         10.1 Notices - Any notice required or permitted under the terms of this
Agreement may be delivered in person to the party to whom the notice is being
given and shall be in writing; or may be sent by facsimile transmission or
mailed by ordinary, certified or registered mail, potage fully prepaid, in a
properly addressed envelope to the party to whom notice is being given at the
last know address.

         10.2 Waivers - Failure of any party at any time to require performance
of any provision shall not affect the right to require full performance thereof
at any time thereafter, and the waiver by any party of a breach of any such
provision shall not constitute a waiver of any subsequent breach.

         10.3 Assignment - This Agreement shall be binding upon and inure to the
benefit of the successors and assigns of the parties hereto; provided, however,
DEALER shall not without the prior written consent of CREDIT assign any right to
credit advances from CREDIT or delegate any of its obligations under this
Agreement to any third party. CREDIT may assign its rights and obligations under
this Agreement at any time.

         10.4 Effective Date; Prior Agreements - This Agreement shall take
effect on the first date above written and shall govern the relationship of the
parties in respect to its subject matter after such date. If DEALER and CREDIT
or any of CREDIT's subsidiaries or affiliates have previously executed a
security agreement or related financing agreements, such agreements shall not be
terminated by this Agreement.

         10.5 Applicable Law - THE AGREEMENT IS ENTERED INTO AND ALL LOANS AND
OTHER EXTENSIONS OF CREDIT ARE GRANTED IN THE CITY OF BUCHANAN, STATE OF
MICHIGAN AND THIS AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED
BY THE LAWS OF THE STATE OF CALIFORNIA. IF ANY PROVISION HEREOF IS PROHIBITED BY
SUCH LAW OR ANY OTHER LAW WHICH IS FOUND TO BE APPLICABLE, SUCH PROVISIONS SHALL
BE INEFFECTIVE WITHOUT INVALIDATING THE REMAINING PROVISIONS HEREOF.

<PAGE>   33

         10.6 Jury Waiver - IN ANY LITIGATION ARISING OUT OF OR RELATING TO ANY
OF THE MATTERS CONTAINED HEREIN, OR ANY OTHER DOCUMENTS EXECUTED IN CONNECTION
HEREWITH, IN WHICH THE DEALER AND CREDIT ARE ADVERSE PARTIES, THE DEALER WAIVES
TRIAL BY JURY.

<PAGE>   34

                         ADDENDUM TO SECURITY AGREEMENTS

THIS ADDENDUM, is by and between Associates Commercial Corporation ("Secured
Party"), Western Traction Company ("Western") and Crescent Machinery Company,
(Western and Crescent shall hereafter be referred to individually and
collectively as "Crescent").

WHEREAS, Crescent and Secured Party have entered into that certain Security
Agreement dated _______________________; and

WHEREAS, Crescent and Secured Party have entered into that certain Security
Agreement dated _______________________; and

WHEREAS Secured Party and Crescent hereby desire to modify the terms of the
Security Agreements referenced above (collectively the "Security Agreements").

Now therefore, for good and valuable consideration, the receipt and sufficiency
of which is hereby acknowledged, Secured Party and Crescent agreed that the
following terms shall be incorporated into the Security Agreements as if
originally set forth therein:

1. Definitions. As used herein, the following terms have the following meanings:

         "GAAP" means generally accepted accounting principles, applied on a
         consistent basis, as set forth in opinions of the Accounting Principles
         Board of the American Institute of Certified Public Accountants and/or
         in statements of the Financial Accounting Standards Board and/or their
         respective successors and which are applicable in the circumstances as
         of the date in question. Accounting principles are applied on a
         "consistent basis" when the accounting principles observed in a current
         period are comparable in all material respects to those accounting
         principles applied in a preceding period.

         "Minimum Tangible Net Worth" means a Tangible Net Worth that is the
         greater of Twenty Million and no/dollars ($20,000,000) or 80% of the
         internal credit limit established by Secured Party for wholesale and
         fleet and rental as set forth in that certain letter dated 1/19/99,
         from Secured Party to Crescent, which letter is attached hereto as
         Exhibit 1 and incorporated herein by reference.

         "Tangible Net Worth" means, at any particular time, all amounts which,
         in conformity with GAAP, would be included as stockholders' equity on a
         balance sheet of Crescent; provided, however, there shall be excluded
         therefrom: (a) any amount at which shares of capital stock of Crescent
         appear as an asset on Crescent's balance sheet, (b) goodwill, including
         any amounts, however designated, that represent the excess of the
         purchase price paid for assets or stock over the value assigned
         thereto, (c) patents, trademarks, trade names, and

                                       1
<PAGE>   35

         copyrights, (d) deferred expenses, (e) loans and advances to any
         stockholder, director, officer, or employee of Crescent or any
         Subsidiary or any Affiliate, and (f) all other assets which are
         properly classified as intangible assets.

2. Tangible Net Worth Covenant. Crescent will at all times, during the term of
any of the Security Agreements, maintain a Tangible Net Worth in an amount not
less than the Minimum Tangible Net Worth. If at any time the Tangible Net Worth
of Crescent falls below the Minimum Tangible Net Worth, Crescent shall, within
30 days thereof, either increase its Tangible Net Worth to an amount not less
than the Minimum Tangible Net Worth or reduce the amount of Crescent's
outstandings under the Security Agreements to an amount which is less than
Crescent's Tangible Net Worth. Commensurate with any such reduction in
Crescent's outstandings under the Security Agreements, Secured Party may in its
sole discretion, and as otherwise outlined in Exhibit I, adjust its internal
credit limits to reflect an amount not in excess of Crescent's then Tangible Net
Worth. If the Tangible Net Worth of Crescent thereafter increases, Associates
may, in its sole discretion, elect to increase Crescent's internal credit
limits.

3. Reporting Requirements. Crescent will furnish to Secured Party:

         a.       Annual Financial Statements. As soon as available, and in any
                  event within one hundred eighty (180) days after the end of
                  each fiscal year of Crescent, beginning with the fiscal year
                  ending December 31, 1998, (i) a copy of the annual audit
                  report of Crescent for such fiscal year containing, on a
                  consolidated basis, balance sheets, statements of income,
                  statements of retained earnings, statements of changes in
                  financial position, and cash flows as at the end of such
                  fiscal year and for the 12-month period then ended, in each
                  case setting forth in comparative form the figures for the
                  preceding fiscal year, all in reasonable detail and audited
                  and certified by Ernst Young or other independent certified
                  public accountants of recognized standing acceptable to
                  Secured Party, to the effect that such report has been
                  prepared in accordance with GAAP; and (ii) a certificate from
                  the Vice President of Finance of Crescent to Secured Party (A)
                  stating that to their knowledge no event of default and no
                  event which with notice or lapse of time or both would be an
                  event of default has occurred and is continuing, or if in
                  their opinion an event of default or such event has occurred
                  and is continuing, a statement as to the nature thereof, and
                  (13)confirming the calculations set forth in the officer's
                  certificate delivered simultaneously therewith;

         b.       Quarterly Financial Statements. As soon as available, and in
                  any event within thirty (30) days after the end of each
                  calendar quarter a copy of an unaudited financial report of
                  Crescent as of the end of such calendar quarter and for the
                  portion of the fiscal year then ended, containing, on a
                  consolidated basis, balance sheets, statements of income,
                  statements of retained earnings, statements of changes in
                  financial position, and cash flows, in each case setting forth
                  in comparative form the figures for the corresponding period
                  of the preceding fiscal year, all in reasonable detail
                  certified by the Vice President of Finance of Crescent to have
                  been prepared in accordance with

                                       2
<PAGE>   36

                  GAAP and to fairly and accurately present (subject to year-end
                  audit adjustments) the financial condition and results of
                  operations of Crescent, on a consolidated basis, at the date
                  and for the periods indicated therein;

         c.       General Information. Promptly, such other information
                  concerning Crescent as Secured Party may from time to time
                  reasonably request.

All terms not specifically defined herein shall have the same meanings as forth
in the respective Crescent Security Agreements.

Crescent and Secured Party acknowledge and agree that (i) the Security
Agreements as amended hereby do not obligate Crescent to borrow any monies from
Secured Party and do not obligate Secured Party to advance fluids to Crescent
and that (ii) the Secured Party's internal guidelines are one of many factors
considered by Secured Party when reviewing a specific request for an advance to
Crescent. The guidelines are not a commitment by Secured Party to make any
particular advance. Crescent further represents and warrants to Secured Party
that Western is a wholly owned subsidiary of Crescent.

                                       3

<PAGE>   37

                               CONTINUING GUARANTY

For Valuable Consideration, the receipt and sufficiency of which is hereby
acknowledged, the undersigned, for themselves, their heirs, executors, personal
representatives, successors and assigns (individually called "Guarantor" end
collectively called "Guarantors") jointly and severally and in solido, hereby
unconditionally guarantee to Associates Commercial Corporation, its successors,
endorsees end assigns, (collectively called "Associates") that Western Traction
Company (the "Company") whose address is 1333 Atlantic Street, Union City, CA
94587 shall promptly and fully perform, pay and discharge all of its present and
future liabilities, obligations and indebtedness to Associates, whether direct
or indirect, joint or several, absolute or contingent, secured or unsecured,
matured or unmatured, and whether originally contracted with or otherwise
acquired by Associates (all of which liabilities, obligations and indebtedness
are herein individually and collectively called the "Indebtedness"). This
Guaranty is an absolute and unconditional guarantee of payment and not of
collectibility. The liability of each Guarantor hereunder is not conditional or
contingent upon the genuineness, validity, sufficiency or enforceability of the
Indebtedness or any instruments, agreements or chattel paper related thereto
(collectively called "Agreements") or any security or collateral therefor
(collectively called "Security") or the pursuit by Associates of any rights or
remedies which it now has or may hereafter have. If the Company fails to pay the
indebtedness promptly as the same becomes due, or otherwise fails to perform any
obligation under any of the Agreements, each Guarantor agrees to pay on demand
the entire Indebtedness and all losses, costs, attorneys' fees and expenses
which may be suffered by Associates by reason of the Company's default or the
default of any Guarantor hereunder, and agrees to be bound by and to pay on
demand any deficiency established by the sale of any of the Agreements or
Security, all without relief from valuation and appraisement laws and without
requiring Associates to (i) proceed against the Company by suit or otherwise,
(ii) foreclose, proceed against, liquidate or exhaust any of the Agreements or
Security, or (iii) exercise, pursue or enforce any right or remedy Associates
may have against the Company, any co-Guarantor (whether hereunder or under a
separate instrument) or any other party. Each Guarantor agrees that: this
Guaranty shall not be discharged or affected by any circumstances which
constitute a legal or equitable discharge of a Guarantor or surety, or by the
death of any Guarantor; the records of Associates shall be received as
conclusive evidence of the amount of the Indebtedness at any time owing; one or
more successive or concurrent suits may be brought and maintained against any or
all of the Guarantors, at the option of Associates, with or without joinder of
the Company or any of the other Guarantors as parties thereto; such Guarantor
will not avail itself of any defense whatsoever which the Company may have
against Associates, other than full payment of the Indebtedness; and such
Guarantor will not seek a change of venue from any jurisdiction or court in
which any action, proceeding or litigation is commenced.

EACH GUARANTOR HEREBY WAIVES NOTICE OF ANY ADVERSE CHANGE IN THE COMPANY'S
CONDITION OR OF ANY OTHER FACT WHICH MIGHT MATERIALLY INCREASE SUCH GUARANTOR'S
RISK, WHETHER OR NOT ASSOCIATES HAS KNOWLEDGE OF THE SAME. EACH GUARANTOR ALSO
HEREBY WAIVES ANY CLAIM, RIGHT OR REMEDY WHICH SUCH GUARANTOR MAY NOW HAVE OR
HEREAFTER ACQUIRE AGAINST THE COMPANY THAT ARISES HEREUNDER AND/OR FROM THE

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<PAGE>   38

PERFORMANCE BY ANY GUARANTOR HEREUNDER INCLUDING, WITHOUT LIMITATION, ANY CLAIM,
REMEDY OR RIGHT OF SUBROGATION, REIMBURSEMENT, EXONERATION, CONTRIBUTION,
INDEMNIFICATION, OR PARTICIPATION IN ANY CLAIM, RIGHT OR REMEDY OF ASSOCIATES
AGAINST THE COMPANY OR ANY SECURITY WHICH ASSOCIATES NOW HAS OR HEREAFTER
ACQUIRES; WHETHER OR NOT SUCH CLAIM, RIGHT OR REMEDY ARISES IN EQUITY, UNDER
CONTRACT, BY STATUTE, UNDER COMMON LAW OR OTHERWISE.

No termination hereof shall be effective until the Guarantors deliver to
Associates a written notice signed by them electing not to guarantee any new
extension of credit that may be granted by Associates to the Company after its
receipt of such notice, but such notice shall not effect the obligations of the
guarantors hereunder as to any and all Indebtedness existing at the time such
notice is received. Each Guarantor hereby waives (i) notice of acceptance hereof
and notice of extensions of credit given by Associates to the Company from time
to time; (ii) presentment, demand, protest, and notice of non-payment or protest
as to any note or other evidence of indebtedness signed, accepted, endorsed or
assigned to Associates by the Company, (iii) all exemptions and homestead laws;
(iv) any other demands and notices required by law; and (v) any right to trial
by jury. Associates may at any time and from time to time, without notice to or
the consent of any Guarantor, and without affecting or impairing the obligation
of any Guarantor hereunder; (a) renew, extend or refinance any part or all of
the Indebtedness of the Company or any Indebtedness of its customers, or of any
co-Guarantor (whether hereunder or under a separate instrument) or any other
party; (b) accept partial payments of the Indebtedness and apply such payments
to any part of the Indebtedness; (c) settle, release (by operation of law or
otherwise), compound, compromise, collect or liquidate, in any manner, any of
the Indebtedness, any Security, or any Indebtedness of any Guarantor (whether
hereunder or under a separate instrument) or any other party; (d) consent to the
transfer of any Security; (e) bid end purchase at any sale of any of the
Agreements or Security; and (f) exercise any and all rights and remedies
available to Associates by law or agreement even if the exercise thereof may
affect, modify or eliminate any rights or remedies which a Guarantor may have
against the Company. Each Guarantor shall continue to be liable under this
Guaranty, the provisions hereof shall remain in full force and effect, and
Associates shall not be estopped from exercising any rights hereunder,
notwithstanding (i) Associates waiver of or failure to enforce any of the terms,
covenants or conditions contained in any of the Agreements; (iii) any release
of, or failure on the part of Associates to perfect any security interest in or
foreclose, proceed against, or exhaust, any Security; or (iii) Associates
failure to take new, additional or substitute security or collateral for the
Indebtedness.

Each Guarantor agrees that Associates may bring any legal proceedings it deems
necessary to enforce any or all of such Guarantor's obligations hereunder in any
court in the State in which Associates' office administering the Indebtedness is
located; and service of process may be made upon such Guarantor by mailing a
copy of the summons to such Guarantor at its address last known to Associates.
All rights and remedies of Associates are cumulative and not alternative. Each
provision of this Guaranty is intended to be severable. Any term or provision
hereof declared to be contrary to, prohibited by or invalid under applicable
laws or regulations shall be inapplicable and deemed omitted herefrom, but shall
not invalidate the remaining terms and provisions hereof.

IN WITNESS WHEREOF, the Guarantors have executed this Guaranty on 08/10/98.

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<PAGE>   39

                                   Schedule A

Attached to and made a part of a Uniform Commercial Code Financing Statement
Form UCC-1 between Associates Commercial Corporation as Secured Party and
Western Traction Company as Debtor.

All of the Debtor's new and used inventory and equipment which is financed by
Secured Party or against which Secured Party has advanced monies and for which
Secured Party has not been paid in full, whether now owned or hereafter acquired
by Debtor, together with all present and future attachments, accessories,
exchanges, repairs, and additions thereto, and all chattel paper, documents,
general intangibles, instruments, accounts and contract rights now existing or
hereafter arising with respect to any thereof, and all cash and non-cash
proceeds of any of the foregoing.

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