Document:

<PAGE>

                                                                   EXHIBIT 10.14

                      FORM OF REGISTRATION RIGHTS AGREEMENT

      THIS REGISTRATION RIGHTS AGREEMENT (this "Agreement") is made and entered
into as of __________, 2004, by and among Great Wolf Resorts, Inc., a Delaware
corporation (the "Company"), and the persons listed on Schedule A attached
hereto, including their successors, assigns and transferees (herein referred to
collectively as the "Holders" and individually as a "Holder").

      WHEREAS, this Agreement is made pursuant to the Irrevocable Consent (the
"Irrevocable Consent") executed by or on behalf of each Holder in connection
with the transactions described in the Confidential Solicitation of Consents and
Private Placement Memorandum for Combination of Certain Businesses of The Great
Lakes Companies, Inc. and Offering of Common Stock of Great Wolf Resorts, Inc.,
dated July __, 2004 (the "Memorandum");

      WHEREAS, on the date hereof, each Holder will become the owner of Common
Stock (as defined below) of the Company in connection with the transactions
described in the Memorandum and the materials accompanying the Memorandum; and

      WHEREAS, in order to induce the Holders to execute the Irrevocable
Consent, the Company has agreed to provide the Holders with the registration
rights set forth in Section 2 hereof.

      NOW, THEREFORE, the parties hereto, in consideration of the foregoing, the
mutual covenants and agreements hereinafter set forth, and other good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, agree as follows:

      1.    CERTAIN DEFINITIONS.

      As used in this Agreement, the following capitalized defined terms shall
have the following meanings:

      "Common Stock" shall mean the Common Stock, par value $0.01 per share, of
the Company.

      "Company" shall have the meaning set forth in the preamble and also shall
include the Company's successors.

      "Exchange Act" shall mean the Securities Exchange Act of 1934, as amended
from time to time.

      "Holder" or "Holders" shall have the meaning set forth in the preamble.

      "Irrevocable Consent" shall have the meaning set forth in the preamble.

<PAGE>

      "Memorandum" shall have the meaning set forth in the preamble.

      "Private Placement" shall mean the issuance and sale of the Shares to the
Holders pursuant to the transactions contemplated by the Memorandum.

      "Prospectus" shall mean the prospectus included in any Registration
Statement, including any preliminary prospectus, and any amendment or supplement
thereto, including any supplement relating to the terms of the offering of any
portions of the Registrable Securities covered by the Registration Statement,
and in each case including all material incorporated therein by reference.

      "Registrable Securities" shall mean the Shares, excluding (i) Shares that
have been disposed of under any Registration Statement or any other effective
registration statement relating to such Registrable Securities, and (ii) Shares
sold or otherwise transferred pursuant to the safe harbor provided by Rule 144
promulgated under the Securities Act or other applicable exemption from
registration under the Securities Act.

      "Registration Expenses" shall mean any and all expenses incurred by the
Company in complying with the terms of this Agreement, including, without
limitation, all registration and filing fees, printing expenses, fees and
disbursements of counsel and independent public accountants for the Company,
fees and expenses (including counsel fees) incurred in connection with complying
with state securities or "blue sky" laws, fees of the National Association of
Securities Dealers, Inc., transfer taxes, fees of transfer agents and
registrars. Registration Expenses shall specifically exclude underwriting
discounts and commissions, the fees and disbursements of counsel representing a
selling Holder, and transfer taxes, if any, relating to the sale or disposition
of Registrable Securities by a selling Holder or Holders, all of which shall be
borne by such Holder in all cases.

      "Registration Statement" shall mean any registration statement of the
Company (and any other entity required to be a registrant with respect to such
registration statement pursuant to the requirements of the Securities Act) that
covers all of the Registrable Securities to be offered on a delayed or
continuous basis pursuant to Rule 415 promulgated under the Securities Act, or
any similar rule that may be adopted by the SEC, and all amendments (including
post-effective amendments) and supplements to such registration statement, and
all exhibits thereto and materials incorporated by reference therein.

      "SEC" shall mean the Securities and Exchange Commission.

      "Securities Act" shall mean the Securities Act of 1933, as amended from
time to time.

      "Shares" shall mean the Common Stock issued to the Holders in the Private
Placement on the date hereof.

      2.    SHELF REGISTRATION UNDER THE SECURITIES ACT.

      (a)   FILING OF REGISTRATION STATEMENT. The Company shall cause to be
filed on or before the sixtieth (60th) day following the date hereof a
Registration Statement providing for the sale by the Holders of all of the
Registrable Securities in accordance with the terms hereof.

                                     - 2 -
<PAGE>

Further, the Company shall use commercially reasonable efforts to cause such
Registration Statement to be declared effective by the SEC as soon as possible
following the filing thereof. Except as provided herein, the Company agrees to
use commercially reasonable efforts to keep the Registration Statement with
respect to the Registrable Securities continuously effective for a period
expiring on the earlier of (i) the date on which all of the Registrable
Securities covered by the Registration Statement have been sold pursuant thereto
and (ii) two (2) years following the date hereof, or such earlier time to the
extent that Rule 144(k) under the Securities Act is amended so as to shorten the
holding period for "restricted securities" (as such term is defined in Rule 144
under the Securities Act) (the "Applicable Period"). Subject to Section 3 of
this Agreement, the Company further agrees to amend any Registration Statement
if and as required by the rules, regulations or instructions applicable to the
registration form used by the Company for such Registration Statement or by the
rules and regulations of the SEC.

      (b)   EXPENSES. The Company shall pay all Registration Expenses in
connection with the registration made pursuant to Section 2(a) of this
Agreement. Each Holder shall pay all underwriting discounts, if any, and
commissions, the fees and disbursements of counsel representing such Holder, and
transfer taxes relating to the sale or disposition of such Holder's Registrable
Securities pursuant to the Registration Statement or Rule 144 promulgated under
the Securities Act.

      (c)   INCLUSION IN REGISTRATION STATEMENT. Any Holder who does not provide
the information reasonably requested by the Company in connection with the
Registration Statement as promptly as practicable after receipt of such request,
but in no event later than ten (10) business days thereafter, shall not be
entitled to have its Registrable Securities included in the Registration
Statement.

      3.    REGISTRATION PROCEDURES.

      In connection with the obligations of the Company with respect to the
Registration Statement contemplated by Section 2 hereof, the Company shall:

      (a)   prepare and file with the SEC, as specified in this Agreement, the
Registration Statement that complies as to form in all material respects with
the requirements of the SEC;

      (b)   except as provided below in this Section 3, prepare and file with
the SEC such amendments and post-effective amendments to the Registration
Statement as may be necessary to keep the Registration Statement effective for
the Applicable Period, and comply with the provisions of the Securities Act with
respect to the disposition of all Registrable Securities covered by the
Registration Statement in accordance with the sellers' intended method of
disposition set forth in the Registration Statement for such period;

      (c)   furnish to each Holder of Registrable Securities, without charge,
such number of copies of the Registration Statement and the Prospectus included
therein (including each preliminary prospectus) as such persons reasonably may
request in order to facilitate the public sale or other disposition of the
Registrable Securities covered by the Registration Statement;

      (d)   use commercially reasonable efforts to register or qualify the
Registrable

                                     - 3 -
<PAGE>

Securities covered by the Registration statement under the securities or "blue
sky" laws of such jurisdictions as the sellers of Registrable Securities,
provided, however, that the Company shall not for any such purpose be required
to qualify generally to transact business as a foreign corporation in any
jurisdiction where it is not so qualified or to consent to general service of
process in any such jurisdiction;

      (e)   subject to the limitations described below in this Section 3, notify
each Holder of Registrable Securities promptly (i) when the Registration
Statement has become effective and when any post-effective amendments and
supplements thereto become effective, (ii) of the issuance by the SEC or any
state securities authority of any stop order suspending the effectiveness of the
Registration Statement or the initiation of any proceedings for that purpose,
(iii) of the happening of any event during the period the Registration Statement
is effective as a result of which the Registration Statement or the related
Prospectus contains any untrue statement of a material fact or omits to state
any material fact required to be stated therein or necessary to make the
statements therein not misleading, and (iv) upon the occurrence of any such
event and except as otherwise provided in this Section 3, use commercially
reasonable efforts to prepare promptly a supplement or post-effective amendment
to the Registration Statement or the Prospectus or any document incorporated
therein by reference or file any other required document so that, as thereafter
delivered to the purchasers of the Registrable Securities, such Prospectus will
not contain any untrue statement of a material fact or omit to state a material
fact required to be stated therein or necessary to make the statements therein,
in the light of the circumstances under which they were made, not misleading;

      (f)   use its commercially reasonable efforts to obtain the withdrawal of
any order suspending the effectiveness of the Registration Statement or any part
thereof as promptly as possible;

      (g)   use commercially reasonable efforts to list all Registrable
Securities on each securities exchange or quotation system on which the Common
Stock is then listed; and

      (h)   pay, or cause to be paid, the Registration Expenses.

The Company may require each Holder of Registrable Securities to furnish to the
Company in writing such information regarding the proposed distribution by such
Holder of such Registrable Securities as the Company may from time to time
reasonably request in writing.

      Following the effectiveness of the Registration Statement, the Company may
direct the Holders to suspend sales of Registrable Securities for such times as
the Company deems necessary or advisable, including for up to an aggregate of
120 days in any 12-month period in the event that the Company is in possession
of material, nonpublic information (including, without limitation, pending
negotiations relating to, or consummation of, a merger or acquisition
transaction or a recapitalization of the Company) which would require the
Registration Statement to be amended in order to avoid a violation of the
federal securities laws.

      Each Holder shall notify the Company at least one business day in advance
of any proposed sales of Registrable Securities under the Registration
Statement. The Company shall establish procedures by which the Holders shall be
obligated to notify the Company of a

                                     - 4 -
<PAGE>

potential sale of Registrable Securities and the Company shall notify each
Holder of such procedures prior to the 180th day following the date hereof. The
Company further agrees promptly to notify each Holder of any modification to
such procedures during the Applicable Period. Failure by any Holder to comply
with the procedures established by the Company shall render ineffective such
notice. In the case of an event or events that cause the Company to suspend the
effectiveness of the Registration Statement, the Company shall, in accordance
with the procedures the Company has established, provide notice (a "Suspension
Notice") to the Holders to suspend sales of the Registrable Securities. No
Holder shall effect any sales of the Registrable Securities pursuant to such
Registration Statement at any time after it has received a Suspension Notice
from the Company and, if so directed by the Company, will deliver to the Company
all copies of the Prospectus covering the Registrable Securities held by them at
the time of receipt of the Suspension Notice. The Holders may re-commence
effecting sales of the Registrable Securities pursuant to the Registration
Statement only following further notice to such effect from the Company, in
accordance with the procedures reasonably established by the Company.

      4.    INDEMNIFICATION; CONTRIBUTION.

      (a)   The Company will indemnify and hold harmless each seller of
Registrable Securities under the Registration Statement and such seller's
agents, employees, directors and officers, from and against any losses, claims,
damages or liabilities, joint or several, to which such seller may become
subject under the Securities Act or otherwise, insofar as such losses, claims,
damages or liabilities (or actions in respect thereof) arise out of or are based
upon (i) any untrue statement or alleged untrue statement of any material fact
contained in the Registration Statement, any preliminary prospectus or final
prospectus contained therein, or any amendment or supplement thereof, (ii) the
omission or alleged omission to state therein a material fact required to be
stated therein or necessary to make the statements therein not misleading, or
(iii) any violation of any applicable securities law, provided, however, that
the Company will not be liable in any such case if and to the extent that any
such loss, claim, damage or liability arises out of or is based upon an untrue
statement or alleged untrue statement or omission or alleged omission so made in
reliance upon and in conformity with information furnished by such seller or an
authorized officer of any such seller acting on behalf of such seller and each
other person, if any, who controls such seller within the meaning of the
Securities Act, or in writing by an authorized officer of the seller of
Registrable Securities or by an officer or duly authorized agent or employee of
such seller of Registrable Securities specifically for use in such Registration
Statement or Prospectus, and, provided further, however, that the Company will
not be liable in any such case to the extent that any such loss, claim, damage,
liability or action arises out of or is based upon an untrue or alleged untrue
statement or omission or an alleged omission made in any preliminary prospectus
or final prospectus if (1) the Company delivered to such Holder the final
prospectus or prospectus supplement, (2) such Holder failed to send or deliver a
copy of the final prospectus or prospectus supplement with or prior to the
delivery of written confirmation of the sale of the Registrable Securities, and
(3) the final prospectus or prospectus supplement would have corrected such
untrue statement or omission.

      (b)   Each seller of Registrable Securities under the Registration
Statement, severally and not jointly, will indemnify and hold harmless the
Company, each person, if any, who controls the Company within the meaning of the
Securities Act, each officer of the Company

                                     - 5 -
<PAGE>

who signs the Registration Statement and each director of the Company, against
all losses, claims, damages or liabilities, joint or several, to which the
Company or such officer, director or controlling person may become subject under
the Securities Act or otherwise, insofar as such losses, claims, damages or
liabilities (or actions in respect thereof) arise out of or are based upon (i)
any untrue statement or alleged untrue statement of any material fact by such
seller contained in the Registration Statement, any Prospectus contained
therein, or any amendment or supplement thereof, (ii) the omission or alleged
omission by such seller to state therein a material fact required to be stated
therein or necessary to make the statements therein not misleading, or (iii) any
violation of any applicable securities law by such seller, and will pay the
legal fees and other expenses of the Company and each such officer, director,
and controlling person incurred by them in connection with investigating or
defending any such loss, claim, damage, liability or action, provided, however,
that such seller will be liable hereunder in any such case if and only to the
extent that any such loss, claim, damage or liability arises out of or is based
upon an untrue statement or alleged untrue statement or omission or alleged
omission made in reliance upon and in conformity with information furnished in
writing to the Company by such seller specifically for use in such Registration
Statement or prospectus; provided, further, however, that such seller shall be
liable only to the extent of the net proceeds received by such seller in the
offering which contained such untrue statement or omission.

      (c)   Promptly after receipt by an indemnified party hereunder of notice
of the commencement of any action, such indemnified party shall, if a claim in
respect thereof is to be made against the indemnifying party hereunder, notify
the indemnifying party in writing thereof, but the omission so to notify the
indemnifying party shall not relieve it from any liability that it may have to
such indemnified party other than under this Section 4 and shall only relieve it
from any liability that it may have to such indemnified party under this Section
4 if and to the extent the indemnifying party is prejudiced by such omission. In
case any such action shall be brought against any indemnified party and it shall
notify the indemnifying party of the commencement thereof, the indemnifying
party shall be entitled to participate in and, to the extent it shall wish, to
assume and undertake the defense thereof with counsel satisfactory to such
indemnified party, and, after notice from the indemnifying party to such
indemnified party of its election so to assume and undertake the defense
thereof, the indemnifying party shall not be liable to such indemnified party
under this Section 4 for any legal expenses subsequently incurred by such
indemnified party in connection with the defense thereof; provided, however,
that, if the defendants in any such action include both the indemnified party
and the indemnifying party and the indemnified party shall have reasonably
concluded that there may be reasonable defenses available to it which are
different from or additional to those available to the indemnifying party or if
the interests of the indemnified party reasonably may be deemed to conflict with
the interests of the indemnifying party, the indemnified party shall have the
right to select a separate counsel and to assume such legal defenses and
otherwise to participate in the defense of such action, with the expenses and
fees of such separate counsel and other expenses related to such participation
to be reimbursed by the indemnifying party as incurred, it being understood,
however, that the indemnifying party shall not, in connection with any one such
action or separate but substantially similar or related actions in the same
jurisdiction arising out of the same general allegations or circumstances, be
liable for the fees and expenses of more than one separate firm of attorneys
(together with appropriate local counsel as required by the local rules of such
jurisdiction) at any time for all such indemnified parties.

                                     - 6 -
<PAGE>

      (d)   In order to provide for just and equitable contribution to joint
liability under the Securities Act in any case in which either (i) any Holder
exercising rights under this Agreement, or any controlling person of any such
Holder, makes a claim for indemnification pursuant to this Section 4 but it is
judicially determined that such indemnification may not be enforced in such case
notwithstanding the fact that this Section 4 provides for indemnification in
such case, or (ii) contribution under the Securities Act may be required on the
part of any such selling Holder or any such controlling person in circumstances
for which indemnification is provided under this Section 4; then, and in each
such case, the Company and such Holder will contribute to the aggregate losses,
claims, damages or liabilities to which they may be subject (after contribution
from others) in such proportion so that such Holder is responsible for the
portion represented on the one hand (A) by the percentage that (i) the public
offering price of its Registrable Securities offered by the Registration
Statement less (ii) the purchase price deemed to have been originally paid by
such Holder in the Private Placement for such shares of Registrable Securities,
bears to the public offering price of all securities offered by the Registration
Statement, and (B) on the other hand, the relative fault of such Holder, other
Holders or the Company, and the Company is responsible for the remaining
portion; provided, however, that, in any such case, no person or entity guilty
of fraudulent misrepresentation (within the meaning of Section 11(f) of the
Securities Act) will be entitled to contribution from any person or entity who
was not guilty of such fraudulent misrepresentation. Notwithstanding the
provisions of this Section 4(d), the Holders shall not be required to contribute
any amount in excess of the net amount received by such Holder pursuant to the
sale of such Holder's Registrable Securities to the public.

      (e)   No indemnifying party shall, without the prior written consent of
the indemnified party, effect any settlement of any pending or threatened
action, suit or proceeding in respect of which any indemnified party is or could
have been a party and indemnity could have been sought hereunder by such
indemnified party, unless such settlement includes an unconditional release of
such indemnified party from all liability on claims that are the subject matter
of such action, suit or proceeding.

      5.    MISCELLANEOUS.

      (a)   AMENDMENTS AND WAIVERS. The provisions of this Agreement, including
the provisions of this sentence, may not be amended, modified, supplemented or
waived, nor may consent to departures therefrom be given, without the written
consent of the Company and the Holders of a majority of the outstanding
Registrable Securities; provided, however, that no amendment, modification,
supplement or waiver of, or consent to the departure from, the provisions of
Sections 2 or 4 hereof shall be effective as against any Holder of Registrable
Securities unless consented to in writing by such Holder of Registrable
Securities. Notice of any such amendment, modification, supplement, waiver or
consent adopted in accordance with this Section 5(a) shall be provided by the
Company to each Holder of Registrable Securities at least thirty (30) days prior
to the effective date of such amendment, modification, supplement, waiver or
consent.

      (b)   NOTICES. All notices and other communications provided for or
permitted hereunder shall be made in writing by hand-delivery, registered
first-class mail, telecopier, or any nationally recognized courier guaranteeing
overnight delivery, (i) if to a Holder, at the most current address given by
such Holder to the Company by means of a notice given in accordance

                                     - 7 -
<PAGE>

with the provisions of this Section 5(b), which address initially is, with
respect to each Holder, the address set forth next to such Holder's name on the
Consent, or (ii) if to the Company, at _____________, Attention: ____________.
The Company reserves the right to modify the method by which it delivers notices
under this Agreement, including, without limitation, to implement electronic (or
internet) methods of notice, and in the event of any such modification, the
Company shall, as soon as practicable, notify all Holders of Registrable
Securities of such modified method of notice.

      All such notices and communications shall be deemed to have been duly
given: at the time delivered by hand, if personally delivered; five business
days after being deposited in the mail, postage prepaid, if mailed; when receipt
is acknowledged, if sent by facsimile; or at the time delivered if delivered by
an air courier guaranteeing overnight delivery.

      (c)   SUCCESSORS AND ASSIGNS. This Agreement shall inure to the benefit of
and be binding upon the successors, assigns and transferees of each of the
parties, including, without limitation and without the need for an express
assignment, subsequent Holders. If any successor, assignee or transferee of any
Holder shall acquire Registrable Securities, in any manner, whether by operation
of law or otherwise, such Registrable Securities shall be held subject to all of
the terms of this Agreement, and by taking and holding such Registrable
Securities such person shall be entitled to receive the benefits hereof and
shall be conclusively deemed to have agreed to be bound by all of the terms and
provisions hereof.

      (d)   COUNTERPARTS. This Agreement may be executed in any number of
counterparts, and by the parties hereto in separate counterparts, each of which
when so executed shall be deemed to constitute an original and all of which when
taken together shall constitute one and the same agreement.

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

      (f)   GOVERNING LAW. This Agreement shall be governed by and construed in
accordance with the laws of the State of Delaware without giving effect to the
conflicts of law provisions thereof.

      (g)   SPECIFIC PERFORMANCE. The parties hereto acknowledge that there
would be no adequate remedy at law if any party fails to perform any of its
obligations hereunder, and accordingly agree that each party, in addition to any
other remedy to which it may be entitled at law or in equity, shall be entitled
to compel specific performance of the obligations of any other party under this
Agreement in accordance with the terms and conditions of this Agreement in any
court of the United States or any State thereof having jurisdiction.

      (h)   ENTIRE AGREEMENT. This Agreement is intended by the parties as a
final expression of their agreement and intended to be a complete and exclusive
statement of the agreement and understanding of the parties hereto in respect of
the subject matter contained herein. This Agreement supercedes all prior
agreements and understandings between the parties with respect to such subject
matter.

                                     - 8 -
<PAGE>

      IN WITNESS WHEREOF, the parties have executed this Agreement effective as
of the date first written above.

                                                GREAT WOLF RESORTS, INC.

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

<PAGE>

                                               HOLDERS

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

                                               Name:
                                                    --------------------------
                                                    As Attorney-in-Fact for each
                                                    of the Holders listed on
                                                    Schedule A attached here to

                                     - 10 -
<PAGE>

                                   SCHEDULE A

                                  [To be Added]

                                     - 11 -<PAGE>
                                                                    Exhibit 10.1

                 SECOND AMENDMENT TO LOAN AND SECURITY AGREEMENT

            This Second Amendment to Loan and Security Agreement, dated as of
June 30, 2004 (this "Amendment"), is entered into by and among Jacuzzi Brands,
Inc., a Delaware corporation ("Parent"), the other borrowers named on the
signature page hereto (together with Parent, each a "Borrower" and,
collectively, "Borrowers"), Fleet Capital Corporation, a Rhode Island
corporation, as administrative agent and collateral agent (in such capacity,
"Administrative Agent") under the Loan and Security Agreement referred to below,
Silver Point Finance, LLC, as agent for the Term Loan B Lenders (in such
capacity, "Term Loan B Agent") under the Loan and Security Agreement referred to
below, the Revolving Credit Lenders under the Loan and Security Agreement
referred to below and the Term Loan B Lenders under the Loan and Security
Agreement referred to below.

                                    RECITALS

      A.    Borrowers, Administrative Agent, Term Loan B Agent, the Revolving
Credit Lenders and the Term Loan B Lenders are parties to that certain Loan and
Security Agreement, dated as of July 15, 2003 (as amended by the First Amendment
thereto, dated as of October 10, 2003 and as from time to time hereafter further
amended, restated, supplemented or otherwise modified and in effect, the "Loan
Agreement"), pursuant to which the Revolving Credit Lenders and the Term Loan B
Lenders have made and the Revolving Credit Lenders will hereafter continue to
make loans and advances and other extensions of credit to Borrowers.

      B.    Borrowers, Administrative Agent, Term Loan B Agent, the Revolving
Credit Lenders and the Term Loan B Lenders desire to amend the Loan Agreement as
and to the extent set forth herein and pursuant to, and subject to, the terms
and conditions set forth in this Amendment.

      C.    This Amendment shall constitute a Loan Document and these Recitals
shall be construed as part of this Amendment. Capitalized terms used herein
without definition are so used as defined in the Loan Agreement and Appendix A
thereto.

            NOW, THEREFORE, in consideration of the premises and the mutual
covenants hereinafter contained and the Revolving Credit Lenders and Term Loan B
Lenders continuing to make Loans available under the terms of the Loan Agreement
and other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, the parties hereto agree as follows:

1.    Amendments to Loan Agreement. The Loan Agreement is hereby amended as
      follows:

      1.1.  Definitions.

            (a)   The definition of the term "Consolidated Excess Cash Flow" is
hereby deleted from Appendix A of the Loan Agreement.

<PAGE>

            (b)   The definitions of the following terms in Appendix A of the
Loan Agreement are hereby amended in their entirety to read as follows:

            "Base Rate Loan - (i) any Revolving Credit Loan or Swing Line Loan
      which bears interest at a rate determined with reference to the Revolving
      Credit Base Rate and (ii) all or any portion of the Term Loan B which
      bears interest at a rate determined with reference to the Term Loan B Base
      Rate."

            "Interest Payment Date - (i) as to any Base Rate Loan, the first day
      of each month, and (ii) as to any LIBOR Loan, the last day of each
      Interest Period applicable to such LIBOR Loan; provided, however, that if
      any Interest Period for a LIBOR Loan exceeds three months, the date that
      falls three months after the beginning of such Interest Period and after
      each Interest Payment Date thereafter is also an Interest Payment Date."

            "LIBOR Loan - any Loan which bears interest at a rate determined
      with reference to the LIBOR."

            "LIBOR Option - the option granted pursuant to Section 3.1 of the
      Agreement to have the interest on all or any portion of the principal
      amount of any Loans based on the LIBOR."

            "LIBOR Request - a notice in writing (or by telephone confirmed
      electronically or by telecopy or other facsimile transmission on the same
      day as the telephone request) from Borrower Representative to
      Administrative Agent requesting that interest on a Revolving Credit Loan
      or all or a portion of the Term Loan B be based on the LIBOR, specifying:
      (i) the first day of the Interest Period (which shall be a Business Day);
      (ii) the length of the Interest Period; (iii) whether the LIBOR Loan is a
      new Loan, a conversion of a Base Rate Loan, or a continuation of a LIBOR
      Loan, and (iv) the dollar amount of the LIBOR Loan, which shall be in an
      amount not less than $1,000,000 or an integral multiple of $100,000 in
      excess thereof."

      1.2.  Interest on Term Loan B. Section 2.1.2 of the Loan Agreement is
hereby amended in its entirety to read as follows:

      "2.1.2 Term Loan B.

            (a)   Interest shall accrue on all or a portion of the principal
      amount of the Term Loan B that is a Base Rate Loan outstanding at the end
      of each day at a fluctuating rate per annum equal to the Term Loan B Base
      Rate plus three and one-quarter percent (3.25%). Such rate of interest
      shall increase or decrease by an amount equal to any increase or decrease
      in the Term Loan B Base Rate, effective as of the opening of business on
      the day that any such change in the Term Loan B Base Rate occurs.

            (b)   If Borrower Representative exercises the LIBOR Option as
      provided in Section 3.1 with respect to all or a portion of the Term Loan
      B,

                                      -2-
<PAGE>

      interest shall accrue on that portion of the Term Loan B that is a LIBOR
      Loan outstanding at the end of each day at a rate per annum equal to the
      LIBOR applicable to such LIBOR Loan for the corresponding Interest Period
      plus five percent (5.00%)."

      1.3.  Reimbursement of Expenses. The second sentence of Section 2.8 of the
Loan Agreement is hereby amended in its entirety to read as follows:

      "All amounts chargeable to Borrowers under this Section 2.8 shall be
      Obligations secured by all of the Collateral, shall be payable on demand
      to Administrative Agent, Term Loan B Agent or such Lender, as the case may
      be, and, unless earlier charged as a Revolving Credit Loan, shall bear
      interest from the date 7 Business Days after such demand is made until
      paid in full at the rate applicable to Base Rate Loans or, in the case of
      amounts relating to the Term Loan B, the rate applicable to that portion
      of the Term Loan B that is a Base Rate Loan, from time to time."

      1.4.  Reimbursement of Charges. Section 2.11 of the Loan Agreement is
hereby amended in its entirety to read as follows:

      "2.11 Payment of Charges. All amounts chargeable to Borrowers under this
      Agreement shall be Obligations secured by all of the Collateral, shall be,
      unless specifically otherwise provided, payable on demand and shall bear
      interest from the date demand was made or such amount is due, as
      applicable, until paid in full at the rate applicable to Base Rate Loans
      or, in the case of amounts relating to the Term Loan B, the rate
      applicable to that portion of the Term Loan B that is a Base Rate Loan,
      from time to time."

      1.5.  Conversion of Base Rate Loans. The first sentence of Section 3.1.8
of the Loan Agreement is hereby amended in its entirety to read as follows:

      "Provided that as of both the date of the LIBOR Request and the first day
      of the Interest Period, no Default or Event of Default exists or, if a
      Default or Event of Default exists, neither Administrative Agent nor
      Majority Revolving Credit Lenders (with respect to Revolving Credit Loans)
      or Majority Term Loan B Lenders (with respect to the Term Loan B) have
      elected to suspend the LIBOR Option during the continuance of such Default
      or Event of Default, Borrower Representative may, on any Business Day,
      convert any Base Rate Loan into a LIBOR Loan."

      1.6.  Continuation of LIBOR Loans. The first sentence of Section 3.1.9 of
the Loan Agreement is hereby amended in its entirety to read as follows:

      "Provided that as of both the date of the LIBOR Request and the first day
      of the Interest Period, no Default or Event of Default exists or, if a
      Default or Event of Default exists, neither Administrative Agent nor
      Majority Revolving Credit Lenders (with respect to Revolving Credit Loans)
      or Majority Term Loan B Lenders (with respect to the Term Loan B) have
      elected to suspend the LIBOR

                                      -3-
<PAGE>

      Option during the continuance of such Default or Event of Default,
      Borrower Representative may, on any Business Day, continue any LIBOR Loans
      into a subsequent Interest Period of the same or a different permitted
      duration."

      1.7.  Inability to Make LIBOR Loans. Section 3.1.10 of the Loan Agreement
is hereby amended by deleting each reference to "Revolving Credit Lender" and
"Revolving Credit Lenders" therein and substituting in lieu thereof the terms
"Lender" and "Lenders", respectively.

      1.8.  Payments; Principal; Term Loan B. Section 3.2.1(b) of the Loan
Agreement is hereby amended in its entirety to read as follows:

            "(b)  Term Loan. Subject to the provisions of Section 3.4 hereof,
      the outstanding unpaid principal amount and all accrued and unpaid
      interest under the Term Loan B shall be due and payable on the earliest of
      (i) July 15, 2009, (ii) subject to the provisions of subsection 10.2.3,
      the acceleration of the Term Loan B after an Event of Default and (iii)
      unless Borrowers shall have entered into a replacement or extension
      revolving credit facility that is projected to provide for unused
      borrowing base availability thereunder of not less than $20,000,000 at all
      times, the termination of the Revolving Credit Facility."

      1.9.  Prepayment of/Failure to Borrow LIBOR Loans. Section 3.2.5 of the
Loan Agreement is hereby amended as follows:

            (a)   Section 3.2.5 of the Loan Agreement (other than the last
sentence thereof) is hereby amended by deleting each reference to the terms
"Revolving Credit Lender" and "Revolving Credit Lenders" therein and
substituting in lieu thereof the terms "Lender" and "Lenders", respectively.

            (b)   The last sentence of Section 3.2.5 of the Loan Agreement is
hereby amended in its entirety to read as follows:

      "If by reason of an Event of Default, Administrative Agent or Majority
      Revolving Credit Lenders elect to declare the Obligations to be
      immediately due and payable or Administrative Agent exercises enforcement
      rights and remedies against Borrowers at the direction of Term Loan B
      Agent pursuant to Section 10.2.3, then any yield maintenance fee that
      would be payable with respect to a LIBOR Loan shall become due and payable
      in the same manner as though Borrowers had exercised such right of
      prepayment on the date that the Obligations are declared immediately due
      and payable."

      1.10. Mandatory and Optional Prepayments; Consolidated Excess Cash Flow
Recapture. Section 3.3.2 of the Loan Agreement is hereby amended in its entirety
to read as follows:

            "3.3.2 Intentionally Omitted."

                                      -4-
<PAGE>

      1.11. Basis for Determining Interest Rate Inadequate. Section 3.9 of the
Loan Agreement is hereby amended by deleting each reference to the term
"Revolving Credit Lender" therein and substituting in lieu thereof the term
"Lender".

      1.12. Exhibit 8.3. Exhibit 8.3 of the Loan Agreement is hereby amended by
deleting such Exhibit in its entirety and substituting in lieu thereof new
Exhibit 8.3, which is attached hereto as Annex I.

2.    Representations and Warranties.

      2.1.  The execution, delivery and performance of this Amendment have been
or will be duly authorized by all necessary corporate or other relevant action
and do not and will not (i) contravene the charter, articles or certificate of
incorporation, memorandum of association, partnership agreement, certificate of
formation, by-laws, limited liability agreement, operating agreement or other
organizational documents (as the case may be) of any Borrower or any of its
Subsidiaries; (ii) violate, or cause any Borrower or any of its Subsidiaries to
be in default under, any provision of any law, rule, regulation, order, writ,
judgment, injunction, decree, determination or award in effect having
applicability to any Borrower or any of its Subsidiaries, the violation of which
could reasonably be expected to have a Material Adverse Effect; (iii) result in
a breach of or constitute a default under any indenture or loan or credit
agreement, including, without limitation, the New Senior Secured Notes
Indenture, or any other agreement, lease or instrument to which any Borrower or
any of its Subsidiaries is a party or by which it or its Properties may be bound
or affected, the breach of or default under which could reasonably be expected
to have a Material Adverse Effect; or (iv) result in, or require, the creation
or imposition of any Lien (other than Permitted Liens) upon or with respect to
any of the Properties now owned or hereafter acquired by any Borrower or any of
its Subsidiaries.

      2.2.  This Amendment is a legal, valid and binding obligation of each
Borrower and each of its Subsidiaries party hereto, enforceable against it in
accordance with its respective terms subject to applicable bankruptcy,
insolvency, reorganization, moratorium, fraudulent conveyance and other laws
affecting creditors' rights generally, and subject to general principles of
equity, regardless of whether considered in a proceeding in equity or at law.

3.    Conditions to Effectiveness. The effectiveness of this Amendment is
expressly conditioned upon the satisfaction of each of the following conditions
precedent in a manner acceptable to Administrative Agent:

      3.1.  Administrative Agent's receipt of counterparts of this Amendment,
duly executed by Borrowers, Agents and Lenders, and duly acknowledged by each of
the Guarantors.

      3.2.  After giving effect to this Amendment, no Default or Event of
Default shall have occurred and be continuing or would result from the
effectiveness of this Amendment or the consummation of any of the transactions
contemplated hereby.

4.    Reference to and Effect Upon the Loan Agreement and other Loan Documents.

                                      -5-
<PAGE>

      4.1.  The Loan Agreement, the Notes and each other Loan Document shall
remain in full force and effect and each is hereby ratified and confirmed by
Borrowers and each other Loan Party. Without limiting the foregoing, the Liens
granted pursuant to the Security Documents shall continue in full force and
effect and the guaranties of the Guarantors shall continue in full force and
effect.

      4.2.  The execution, delivery and effect of this Amendment shall be
limited precisely as written and shall not be deemed to (a) be a consent to any
waiver of any term or condition of, or to any amendment or modification of, any
term or condition (except as specifically set forth herein) of the Loan
Agreement or any other Loan Document or (b) prejudice any right, power or remedy
which the Administrative Agent or any Lender now has or may have in the future
under or in connection with the Loan Agreement, the Notes or any other Loan
Document.

      4.3.  Each reference in the Loan Agreement to "this Agreement",
"hereunder", "hereof", "herein" or any other word or words of similar import
shall mean and be a reference to the Loan Agreement as amended hereby, and each
reference in any other Loan Document to the Loan Agreement or any word or words
of similar import shall be and mean a reference to the Loan Agreement as amended
hereby.

5.    Counterparts. This Amendment may be executed in any number of
counterparts, each of which when so executed shall be deemed an original but all
such counterparts shall constitute one and the same instrument. A counterpart
signature page delivered by fax transmission shall be as effective as delivery
of an originally executed counterpart.

6.    Costs and Expenses. As provided in Section 2.8 of the Loan Agreement,
Borrowers shall pay the fees, costs and expenses incurred by Administrative
Agent and Term Loan B Agent in connection with the preparation, execution and
delivery of this Amendment (including, without limitation, reasonable attorneys'
fees).

7.    GOVERNING LAW. THIS AMENDMENT SHALL BE GOVERNED BY AND CONSTRUED AND
ENFORCED IN ACCORDANCE WITH THE INTERNAL LAWS (AS OPPOSED TO CONFLICTS OF LAW
PROVISIONS) OF THE STATE OF NEW YORK.

8.    Headings. Section headings in this Amendment are included herein for
convenience of reference only and shall not constitute a part of this Amendment
for any other purpose.

                            [SIGNATURE PAGES FOLLOW]

                                      -6-
<PAGE>

            IN WITNESS WHEREOF, this Amendment has been duly executed as of the
date first written above.

                                          BORROWERS:

                                          JACUZZI BRANDS, INC.
                                          BATHCRAFT, INC.
                                          ELJER PLUMBINGWARE, INC.
                                          GATSBY SPAS, INC.
                                          JACUZZI, INC.
                                          JUSI HOLDINGS, INC.
                                          REDMONT, INC.
                                          REXAIR, INC.
                                          SUNDANCE SPAS, INC.
                                          ZURN PEX, INC.
                                          USI AMERICAN HOLDINGS, INC.
                                          USI GLOBAL CORP.
                                          ZURCO, INC.
                                          ZURN INDUSTRIES, INC.

                                          By: /s/ Steven C. Barre
                                              -------------------------------
                                          Name:  Steven C. Barre
                                          Title: Vice President

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

            Each of the undersigned Guarantors hereby acknowledges the foregoing
Second Amendment to Loan and Security Agreement and ratifies and confirms that
each of the Loan Documents to which it is a party shall remain in full force and
effect.

                                   GUARANTORS:

                          Asteria Company (f/k/a Elite Bath Company)
                          Baylis Brothers Inc.
                          Bruckner Manufacturing Corp. (f/k/a Farberware
                          Inc.)
                          Carlsbad Corp. (f/k/a Odyssey Sports, Inc.)
                          Compax Corp.
                          Eljer Industries, Inc.
                          Environmental Energy Company
                          Gary Concrete Products, Inc.
                          HL Capital Corp.
                          Jacuzzi Whirlpool Bath, Inc.
                          KLI, Inc. (f/k/a Keller Ladders, Inc.)
                          Krikles Canada U.S.A., Inc.  (f/k/a Selkirk Canada
                          U.S.A., Inc.)
                          Krikles Europe U.S.A., Inc.  (f/k/a Selkirk Europe
                          U.S.A., Inc.)
                          Krikles, Inc.  (f/k/a Selkirk, Inc.)
                          Lokelani Development Corporation
                          Luxor Industries Inc.
                          Maili Kai Land Development Corporation
                          Mobilite, Inc.
                          Nissen Universal Holdings Inc.
                          Outdoor Products LLC
                          PH Property Development Company
                          PLC Realty Inc. (f/k/a Prescolite Lite Controls, Inc.)
                          Rexair Holdings, Inc.
                          Sanitary - Dash Manufacturing Co., Inc.
                          SH 1 Inc.
                          Strategic Capital Management, Inc.
                          Strategic Membership Company
                          Streamwood Corporation (f/k/a Quantum
                          Performance Films, Inc.)
                          TA Liquidation Corp. (f/k/a Tommy Armour Golf
                          Company)
                          Trimfoot Co.
                          TT Liquidation Corp.
                          UGE Liquidation Inc. (f/k/a W.K. 25, Inc.)
                          USI Atlantic Corp.
                          USI Capital, Inc.
                          USI Funding, Inc.

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                          USI Properties, Inc.
                          USI Realty Corp.
                          Zurn (Cayman Islands), Inc.
                          Zurn Constructors, Inc. (f/k/a Advanco
                          Constructors, Inc.)
                          Zurn EPC Services, Inc. (f/k/a National Energy
                          Production Corporation)
                          Zurnacq of California, Inc.

                          By: /s/ Steven C. Barre
                              ------------------------------------------
                              Name:  Steven C. Barre
                              Title: Vice President

                          JBI HOLDINGS LIMITED

                          By: /s/ Steven C. Barre
                              ------------------------------------------
                              Name:  Steven C. Barre
                              Title: Director

                           By: /s/ Jeffrey B. Park
                               -----------------------------------------
                               Name:  Jeffrey B. Park
                               Title: Director

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                         FLEET CAPITAL CORPORATION, as
                                         Administrative Agent and as a Revolving
                                         Credit Lender

                                         By: /s/ Suzanne Cozine
                                             --------------------------------
                                         Name:  Suzanne Cozine
                                         Title: Vice President

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                         SILVER POINT FINANCE, LLC, as Term Loan
                                         B Agent

                                         By: /s/ Thomas J. Steiglehner
                                             --------------------------------
                                         Name:  Thomas J. Steiglehner
                                         Title:

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                         TRS THEBE LLC, as a Term Loan B Lender

                                         By: /s/ Edward Schaffer
                                             --------------------------------
                                         Name:  Edward Schaffer
                                         Title: Vice President

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                              WINGATE CAPITAL LTD., as a Term
                              Loan B Lender
                              By: Citadel Limited Partnership, Portfolio Manager
                              By: GLB Partners, L.P., its General Partner
                              By: Citadel Investment Group, L.L.C,
                                  its General Partner

                              By: /s/ Adam Cooper
                                  ----------------------------------------------
                              Name:  Adam Cooper
                              Title: General Counsel

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                         CYPRESS POINT TRADING LLC, as a Term
                                         Loan B Lender

                                         By: /s/ Diana M. Himes
                                             --------------------------------
                                         Name:  Diana M. Himes
                                         Title: Assistant Vice President

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                         CREDIT SUISSE FIRST BOSTON, acting
                                         through its Cayman Islands Branch, as a
                                         Revolving Credit Lender

                                         By: /s/ Phillip Ho
                                             --------------------------------
                                         Name:  Phillip Ho
                                         Title: Director

                                         By: /s/ Rianka Mohan
                                             --------------------------------
                                         Name:  Rianka Mohan
                                         Title: Associate

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                      BANK ONE, NA, as a Revolving Credit Lender

                                      By: /s/ Randy Abrams
                                          --------------------------------
                                      Name:  Randy Abrams
                                      Title: Associate Director

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                         UBS AG, STAMFORD BRANCH, as a Revolving
                                         Credit Lender

                                         By: /s/ Patricia O'Kicki
                                             --------------------------------
                                         Name:  Patricia O'Kicki
                                         Title: Director

                                         By: /s/ Doris Mesa
                                             --------------------------------
                                         Name:  Doris Mesa
                                         Title: Associate Director

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                         HSBC BUSINESS CREDIT (USA), INC., as a
                                         Revolving Credit Lender

                                         By: /s/ Dan Byeno
                                             --------------------------------
                                         Name:  Dan Byeno
                                         Title: Vice President

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                         LASALLE BUSINESS CREDIT, LLC., as a
                                         Revolving Credit Lender

                                         By: /s/ Jeffrey G. Saperstein
                                             --------------------------------
                                         Name:  Jeffrey G. Saperstein
                                         Title: Vice President

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                         THE CIT GROUP/BUSINESS CREDIT, INC., as
                                         a Revolving Credit Lender

                                         By: /s/ Evelyn Kusold
                                             --------------------------------
                                         Name:  Evelyn Kusold
                                         Title: AVP

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                       WEBSTER BUSINESS CREDIT
                                       CORPORATION, as a Revolving Credit Lender

                                         By: /s/ Otto Brunke
                                             --------------------------------
                                         Name:  Otto Brunke
                                         Title: Asst. Vice President

                SECOND AMENDMENT TO JACUZZI BRANDS LOAN AGREEMENT

<PAGE>

                                                                         ANNEX 1

                                   EXHIBIT 8.3

                               FINANCIAL COVENANTS

DEFINITIONS

            CONSOLIDATED EBITDA - for any period, the sum, without duplication,
of the amounts for such period of (i) Consolidated Net Income, (ii) Consolidated
Interest Expense, (iii) provisions for taxes based on income, (iv) total
depreciation expense, (v) total amortization expense, (vi) all unusual expenses
and all other non-capitalized restructuring expenses (including costs and
expenses attributable to employee severance obligations and facility
consolidation costs) for such period to the extent not disallowed by
Administrative Agent and Term Loan B Agent in their sole discretion, and (vii)
other non-cash items (other than any such non-cash item to the extent that it
represents an accrual of or reserve for cash expenditures in any future period),
less other non-cash items added in the calculation of Consolidated Net Income
(other than any such non-cash item to the extent that it will result in the
receipt of cash payments in any future period), all of the foregoing as
determined on a Consolidated basis for Parent and its Subsidiaries in conformity
with GAAP; provided, that (a) in the event any Loan Party makes an acquisition
of any Person or any division or any business unit permitted hereunder or
consented to by the Lenders holding the requisite amount of Obligations set
forth in Section 11.10 during such period, if Parent provides Administrative
Agent and Lenders financial statements with respect to the business so acquired
(which financial statements shall have been audited by one of the "Big 4"
accounting firms or another nationally recognized accounting firm reasonably
satisfactory to Administrative Agent or financial statements otherwise
satisfactory to Administrative Agent) reasonably satisfactory to Majority
Lenders, Consolidated EBITDA for such period shall be calculated on a pro forma
basis, taking into account the elimination of non-recurring expenses, based on
the results of such acquired Person or acquired assets as if such acquisition
had occurred on the first day of such period, and (b) in the event any Loan
Party makes a disposition permitted under subsection 8.2.9 (or any other
disposition of any Person or any division or any business unit permitted
hereunder or consented to by the Lenders holding the requisite amount of
Obligations set forth in Section 11.10) during such period, Consolidated EBITDA
for such period shall be calculated on a pro forma basis, based on the results
of such disposed Person or disposed assets as if such disposition had occurred
on the first day of such period. The foregoing notwithstanding, Consolidated
EBITDA for: (i) the fiscal quarter ended December 31, 2002 shall be deemed to
equal to $21,720,000; and (ii) for the fiscal quarter ended March 31, 2003 shall
be deemed to equal to $30,922,000.

            CONSOLIDATED FIXED CHARGE COVERAGE RATIO - for any period, the ratio
of (i) Consolidated EBITDA, for such period minus (x) the sum of (a) any
positive provision for income taxes (excluding deferred tax charges) included in
the determination of net earnings (or loss) for such period plus (b)
non-financed Capital Expenditures during such period, plus (c) non-financed
Permitted Investments plus (d) cash payments made within the applicable period
for non-capitalized restructuring expenses, including costs and expenses
attributed to employee severance obligations and facility consolidation costs,
but specifically excluding cash restructuring payments made on or before
September 30, 2003 which were accrued or committed

                               Exhibit 8.3 - Page 1
<PAGE>

to be paid on or before the Closing Date as set forth on Schedule I to this
Exhibit 8.3, plus (y) without double counting under clause (vi) of the
definition of Consolidated EBITDA, in the fiscal years ended on or about
September 30, 2004 and September 30, 2005, respectively, Eljer restructuring
expenses not to exceed $2,500,000 in any fiscal quarter during either such
fiscal year (which amount if and to the extent not so included in such a fiscal
quarter may be carried forward to any other fiscal quarter in such fiscal year),
not to exceed $10,000,000 in the aggregate for each of such fiscal years and not
to exceed $20,000,000 in the aggregate for both of such fiscal years combined,
to (ii) Consolidated Fixed Charges for such period, all as determined for the
Parent and its Subsidiaries in accordance with GAAP.

            CONSOLIDATED FIXED CHARGES - with respect to any period, the sum of:
(i) scheduled principal payments required to be made during such period in
respect to Indebtedness for Money Borrowed (including the principal portion of
Capitalized Lease Obligations) plus (ii) scheduled reductions of the Trademark
Advance Limit under the Revolving Credit Facility plus (iii) Consolidated
Interest Expense for such period, all determined for Parent and its Subsidiaries
on a Consolidated basis and in accordance with GAAP.

            CONSOLIDATED LEVERAGE RATIO, as at any date, the ratio of (a)
Consolidated Total Debt as at such date to (b) Consolidated EBITDA for the
consecutive four fiscal quarters ending on the last day of the most recently
ended fiscal quarter.

            CONSOLIDATED INTEREST EXPENSE - for any period, (i) total interest
expense of Parent and its Subsidiaries on a Consolidated basis with respect to
all outstanding Indebtedness of Parent and its Subsidiaries, including, without
limitation, all commissions, discounts and other fees and charges owed with
respect to letters of credit and bankers' acceptance financing and net costs
under interest rate agreements, but excluding amortization of capitalized
financing costs related to the transactions which closed on the Closing Date
minus (ii) total interest income.

            CONSOLIDATED NET INCOME, for any period, the net income (or loss) of
Parent and its Subsidiaries on a Consolidated basis for such period taken as a
single accounting period determined in conformity with GAAP; provided that there
shall be excluded (i) the income (or loss) of any Person (other than a
Subsidiary of Parent) in which any other Person (other than Parent or any of its
Subsidiaries) has a joint interest, except to the extent of the amount of
dividends or other distributions actually paid to Parent or any of its
Subsidiaries by such Person during such period, (ii) the income (or loss) of any
Person accrued prior to the date it becomes a Subsidiary of Parent or is merged
into or consolidated with Parent or any of its Subsidiaries or that Person's
assets are acquired by Parent or any of its Subsidiaries, (iii) the income of
any Subsidiary of Parent to the extent that the declaration or payment of
dividends or similar distributions by that Subsidiary of that income is not at
the time permitted by operation of the terms of its charter or any agreement,
instrument, judgment, decree, order, statute, rule or governmental regulation
applicable to that Subsidiary, (iv) any after-tax gains or losses attributable
to Asset Sales or returned surplus assets of any Pension Plan, (v) any LIFO
reserves to the extent such LIFO reserves decrease or increase net income, and
(vi) (to the extent not included in clauses (i) through (v) above) any net
extraordinary gains or net extraordinary losses.

            CONSOLIDATED TOTAL DEBT - means as at any date of determination, the
aggregate stated balance sheet amount (which shall include the face amount of
undrawn Letters of Credit)

                               Exhibit 8.3 - Page 2

<PAGE>

of all Money Borrowed of Parent and its Subsidiaries on the last day of the most
recently ended fiscal quarter, determined on a Consolidated basis in accordance
with GAAP.

                               Exhibit 8.3 - Page 3
<PAGE>

COVENANTS

            CONSOLIDATED FIXED CHARGE COVERAGE RATIO. Borrowers shall not permit
the Consolidated Fixed Charge Coverage Ratio as of any date set forth below to
be less than the amount opposite such date:*

<TABLE>
<CAPTION>
                    PERIOD                                              RATIO
                    ------                                              -----
<S>                                                                   <C>
For the Quarter ended September 30, 2003                              1.00 to 1.0
For the Two Quarters ended December 31, 2003                          1.00 to 1.0
For the Three Quarters ended March 31, 2004                           1.00 to 1.0
For the Four Quarters ended June 30, 2004 and September 30, 2004      1.05 to 1.0
For the Four Quarters ended December 31, 2004 and March 31, 2005      1.10 to 1.0
For the Four Quarters ended June 30, 2005 and each September 30,
December 31, March 31, and June 30 thereafter                         1.15 to 1.0
</TABLE>

--------
*  To be tested at the end of each fiscal quarter of Parent and its
   Subsidiaries during which Availability at any time during such fiscal quarter
   is less than $20,000,000 and as of the end of the fiscal quarter ending
   immediately prior to such fiscal quarter.

                               Exhibit 8.3 - Page 4
<PAGE>

                            SCHEDULE I TO EXHIBIT 8.3

          CASH RESTRUCTURING PAYMENTS TO BE EXCLUDED FROM CONSOLIDATED
                           FIXED CHARGE COVERAGE RATIO

<TABLE>
<S>                                                                   <C>
Jacuzzi Inc closure & corporate restructuring:
   Severance                                                           3,427,387
   Roy Jacuzzi SERP                                                      900,000
   Relocation costs for Company personnel                                550,000
   Retained search and relocation costs for new positions                350,000
   Abandoned lease                                                       198,873
   Name change and other costs                                           707,773
                                                                      ----------
        Jacuzzi Inc restructure accrual                                6,134,033

B&P corporate office closure                                              71,398

Dallas lease                                                           7,433,546
                                                                      ----------
Balance accrued as of June 2003                                       13,638,977
                                                                      ----------
Additional amounts committed - not accrued
Severance                                                                632,352
Name change and other costs                                              342,227
                                                                      ----------
                                                                         974,579
                                                                      ----------
Total committed                                                       14,613,556
                                                                      ==========
</TABLE>

                               Exhibit 8.3 - Page 5

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00070-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00070-of-00352.parquet"}]]