Document:

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                                                                     EXHIBIT 4.6

                            DATED 20TH NOVEMBER 1997

                             COTT BEVERAGES LIMITED
                           (FORMERLY COTT UK LIMITED)

                                       and

                               LLOYDS TSB BANK PLC

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                                CREDIT AGREEMENT
               (AS AMENDED ON 14TH JULY 1998 AND ON 5TH JULY 1999
                 AND AS AMENDED AND RESTATED ON 27TH MARCH 2000)
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                               DENTON WILDE SAPTE
                                  1 Fleet Place
                                 London EC4M 7WS

                               Tel. 020 7246 7000
                               Fax. 020 7246 7777

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                         REF. VAE/IMR/116004/BF409150.07

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                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
CLAUSE        HEADING                                                                               PAGE NUMBER
------        -------                                                                               -----------
<S>           <C>                                                                                           <C>
1.            DEFINITIONS AND INTERPRETATION..................................................................1
1.1           Definitions.....................................................................................1
1.2           Headings.......................................................................................19
1.3           Interpretation.................................................................................19
2.            FACILITIES.....................................................................................21
3.            PURPOSE........................................................................................21
3.1           Purpose of the Term Loan Facility..............................................................21
3.2           Purpose of the Revolving Credit Facility.......................................................21
3.3           Purpose of Ancillary Facility..................................................................22
3.4           Undertaking by the Borrower....................................................................22
3.5           No liability...................................................................................22
4.            CONDITIONS PRECEDENT...........................................................................22
4.1           Conditions precedent...........................................................................22
4.2           Confirmation of satisfaction...................................................................22
5.            TERM LOAN FACILITY AND REVOLVING CREDIT FACILITY...............................................22
5.1           Drawdown of Term Loan Facility.................................................................22
5.2           Utilisation of Revolving Credit Facility.......................................................22
5.3           Conditions to each Advance.....................................................................23
5.4           Drawdown Notice................................................................................24
6.            THE OPTIONAL OVERDRAFT FACILITY AND THE ANCILLARY FACILITY.....................................24
6.1           Nature of Facilities...........................................................................24
6.2           Utilisation of Optional Overdraft Facility.....................................................24
6.3           Utilisation of Ancillary Facility..............................................................25
6.4           FFE Contracts..................................................................................25
6.5           Guarantees.....................................................................................26
6.6           Counter indemnity from the Borrower............................................................26
6.7           Interest on payments...........................................................................26
7.            INTEREST.......................................................................................27
7.1           Interest rate..................................................................................27
7.2           Margin ratchet.................................................................................27
7.3           Interest Periods...............................................................................28
7.4           Default interest...............................................................................29
7.5           Interest, commission and fees under the Optional Overdraft Facility and Ancillary Facility.....29
7.6           Calculation and payment of interest............................................................30
8.            REPAYMENT AND PREPAYMENT.......................................................................30
8.1           Repayment of Term Loan.........................................................................30
8.2           Repayment of Revolving Advances................................................................31
8.3           Mandatory prepayment of Disposal Proceeds......................................................31
8.4           Mandatory Prepayment of Extraordinary Proceeds.................................................32
8.5           Mandatory prepayment on Change of Control, Sale or Listing.....................................32
8.6           Voluntary prepayment of Term Loan..............................................................33
8.7           No re-borrowing of Term Loan...................................................................33
8.8           Application of Prepayments.....................................................................33
9.            CANCELLATION OF REVOLVING CREDIT FACILITY AND ANCILLARY FACILITY...............................33
9.1           Cancellation of Revolving Credit Facility......................................................33
9.2           Cancellation of Ancillary Facility.............................................................34
9.3           Notice.........................................................................................34
9.4           Limitation.....................................................................................34
</TABLE>

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<TABLE>
<S>           <C>                                                                                           <C>
10.           CHANGES IN CIRCUMSTANCES.......................................................................34
10.1          Illegality.....................................................................................34
10.2          Increased Costs................................................................................35
10.3          Market disruption..............................................................................36
10.4          Mitigation.....................................................................................37
10.5          Certificates...................................................................................37
11.           PAYMENTS.......................................................................................37
11.1          Place and time.................................................................................37
11.2          Funds..........................................................................................38
11.3          Business Days..................................................................................38
11.4          Currency.......................................................................................38
11.5          Accounts as evidence...........................................................................38
11.6          Partial payments...............................................................................38
11.7          Set-off and counterclaim.......................................................................38
11.8          Grossing-up....................................................................................38
12.           SECURITY.......................................................................................40
12.1          Security Documents.............................................................................40
12.2          Interest Rate Protection Agreements............................................................40
12.3          Release of security on Disposals...............................................................40
12.4          Vendor Collateral Account......................................................................40
13.           REPRESENTATIONS AND WARRANTIES.................................................................41
13.1          Representations and warranties.................................................................41
13.2          Repetition.....................................................................................45
14.           UNDERTAKINGS...................................................................................45
14.1          Information undertakings.......................................................................45
14.2          Positive undertakings..........................................................................48
14.3          Negative undertakings..........................................................................51
14.4          Financial undertakings.........................................................................55
15.           DEFAULT........................................................................................59
15.1          Default........................................................................................59
15.2          Acceleration, etc..............................................................................62
16.           SET-OFF........................................................................................63
17.           FEES AND EXPENSES..............................................................................63
17.1          Expenses.......................................................................................63
17.2          Arrangement....................................................................................64
17.3          Commitment fees................................................................................64
17.4          Documentary Taxes indemnity....................................................................64
17.5          VAT............................................................................................65
17.6          Indemnity payments.............................................................................65
17.7          Debiting Authority.............................................................................65
18.           AMENDMENTS AND WAIVERS.........................................................................65
18.1          Writing........................................................................................65
18.2          No implied waivers; remedies cumulative........................................................65
19.           MISCELLANEOUS..................................................................................66
19.1          Severance......................................................................................66
19.2          Counterparts...................................................................................66
19.3          Publicity......................................................................................66
19.4          Euro...........................................................................................66
20.           NOTICES........................................................................................66
20.1          Method.........................................................................................66
20.2          Delivery.......................................................................................66
20.3          Addresses......................................................................................67
20.4          Deemed receipt.................................................................................67
21.           ASSIGNMENTS AND TRANSFERS......................................................................68
</TABLE>

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<TABLE>
<S>           <C>                                                                                           <C>
21.1          Benefit of Agreement...........................................................................68
21.2          Assignments and transfers by the Borrower......................................................68
21.3          Assignments by the Bank........................................................................68
21.4          Transfers by the Bank..........................................................................68
21.5          Grant of Participations........................................................................68
21.6          Disclosure.....................................................................................68
22.           INDEMNITIES....................................................................................69
22.1          Breakage costs indemnity.......................................................................69
22.2          Currency indemnity.............................................................................69
22.3          Transaction Indemnity..........................................................................69
22.4          General........................................................................................70
23.           LAW............................................................................................70

SCHEDULE 1    CONDITIONS PRECEDENT...........................................................................
SCHEDULE 2    DRAWDOWN NOTICE................................................................................
SCHEDULE 3    GROUP COMPANIES................................................................................
SCHEDULE 4    MANDATORY COST RATE............................................................................
SCHEDULE 5    PART I -- REPAYMENT OF TERM LOAN...............................................................
              PART II -- PERFORMANCE CRITERIA................................................................
SCHEDULE 6    FORM OF NET ASSETS LETTER......................................................................
SCHEDULE 7    THE PROPERTIES.................................................................................
</TABLE>

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THIS AGREEMENT is made on 20th November 1997

BY:

(1)  COTT BEVERAGES LIMITED (formerly COTT UK LIMITED), a company incorporated
     in England and Wales with registered number 2836071 of Citrus Grove, Side
     Ley, Kegworth, Derbyshire DE74 2FJ (the "BORROWER");

(2)  LLOYDS TSB BANK PLC of St. George's House, 6-8 Eastcheap, London EC3M 1AE
     (the "BANK").

WHEREAS

(A)  This Agreement sets out the terms on which the Bank has agreed to make
     available to the Borrower a sterling term loan facility of
     (pound)49,000,000, a sterling revolving loan facility of (pound)13,000,000
     (incorporating an optional overdraft facility) and certain ancillary
     facilities of (pound)7,500,000.

(B)  The facilities to be made available under this Agreement are for the
     respective purposes specified in Clauses 3.1, 3.2 and 3.3.

IT IS AGREED as follows:

1.   DEFINITIONS AND INTERPRETATION

1.1  DEFINITIONS

     In this Agreement (including the Recitals):

     "ACCOUNTANTS' REPORT" means the report dated on or about 19th November 1997
     (which for the avoidance of doubt includes the covering letter and
     documents referred to therein) prepared by Messrs. Coopers & Lybrand
     relating to the Borrower and the report dated on or about 15th September
     1997 relating to the Target and its Subsidiaries, each addressed to the
     Bank Parties.

     "ACCOUNTING PERIOD" has the meaning specified in Clause 14.1(b).

     "ACCOUNTING PRINCIPLES" means the GAAP used in the Accounts of the Borrower
     for its Financial Year ended 31st January 1997;

     "ACCOUNTS" means in relation to a Group Company, its audited accounts
     (which shall be consolidated in the case of the Borrower) (including all
     additional information and notes to the accounts) together with the
     relevant directors' report and auditors' report.

     "ACQUISITION COSTS" means those fees, commissions, costs and expenses
     properly incurred by the Borrower in relation to its acquisition of the
     Target Shares and the Target Assets.

     "ACQUISITION DOCUMENTS" means:

     (a)  the Share Purchase Agreement together with all other documents entered
          into by the Borrower in connection with the acquisition of the Target
          Shares;

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     (b)  the Hive-Up Agreement together with all other documents entered into
          by the Borrower in connection with the acquisition of the Target
          Assets;

     (c)  the Crystal Asset Sale Agreement together with all other documents
          entered into by the Borrower in connection with the acquisition of
          certain of the Crystal Assets;

     (d)  the Crystal Lease Agreements together with all other documents entered
          into by the Borrower in connection with the lease to it of certain of
          the Crystal Assets;

     but, for the avoidance of doubt, shall not include the Vendors' Disclosure
     Letter.

     "ACQUISITION GOODWILL" means the net goodwill arising on the acquisition of
     the Target Shares, the Target Assets (but not the Crystal Assets).

     "ACT" means the Companies Act 1985.

     "ADVANCE" means a Term Advance or a Revolving Advance.

     "AFFILIATE" means, in relation to a company, a Subsidiary or a Holding
     Company (as defined in section 736 of the Act) of such company and any
     other subsidiary of such a Holding Company.

     "ANCILLARY FACILITY" means the ancillary facility referred to in Clause 6
     under which Guarantees, FFE Contracts and other accommodation may be made
     available to the Borrower by the Bank.

     "ANCILLARY LIMIT" means (pound)7,500,000 or such lower figure as the Bank
     may specify.

     "ANCILLARY OUTSTANDINGS" means the aggregate of:

     (a)  the Guaranteed Amount of each Guarantee issued by the Bank;

     (b)  such amount calculated on a mark to market basis as the Bank may, in
          accordance with its then current credit policy, accord as a risk
          weighting to all outstanding FFE Contracts; and

     (c)  in relation to any other facilities or financial accommodation
          provided under the Ancillary Facility, such other amounts as the Bank
          determines fairly represents the aggregate exposure at that time of
          the Bank in respect of that facility or accommodation.

     "AUDITORS" means, in relation to each Group Company, Coopers & Lybrand or
     any other firm of chartered accountants of internationally recognised
     standing that has been appointed as auditors of such Group Company.

     "AVAILABLE ANCILLARY FACILITY" means, at any time, the Ancillary Limit less
     the aggregate of the Ancillary Outstandings.

     "AVAILABLE REVOLVING CREDIT COMMITMENT" means, in relation to the Bank, its
     Revolving Credit Commitment less its Revolving Advances and the amount of
     the Optional Overdraft Limit.

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     "BANK PARTICIPANTS" means the financial institutions to whom the Bank
     grants sub-participation in any of the facilities provided by this
     Agreement.

     "BANK PARTIES" means the Bank, RBS and any Bank Participant and any person
     to whom they transfer their interest whether by assignment, novation,
     sub-participation or in any other way.

     "BCB" means BCB Beverages Limited, a company incorporated under the laws of
     the Republic of Ireland with registered number 220550.

     "BCB DEBT" has the meaning given to it in Clause 14.3(n).

     "BORROWING BASE" means in respect of the Borrower an amount equal to the
     aggregate of:

     (a)  an amount equal to 70 per cent. of the consolidated book value of its
          accounts receivable (as determined in accordance with Canadian GAAP);
          and

     (b)  an amount equal to 40 per cent. of the consolidated book value of its
          inventory (as determined in accordance with Canadian GAAP).

     "BUSINESS DAY" means a day (other than a Saturday or Sunday) on which banks
     and foreign exchange markets are open for business in London.

     "BUSINESS PLAN" means the business plan for the Group prepared by the
     Management in the agreed form.

     "CANADIAN GAAP" means the accounting principles, concepts, bases and
     policies generally adopted and accepted in Canada.

     "CAPITAL EXPENDITURE" has the meaning given to that term by GAAP but shall
     exclude those fixed asset additions qualifying as Finance Lease
     Expenditure.

     "CASHFLOW" means, in respect of the Group in relation to any period, the
     aggregate of PBIT and Depreciation charged to the profit and loss account
     for that period:

     (a)  plus the net proceeds of all fixed assets disposed of during that
          period including those proceeds applied in prepayment of the Term Loan
          in accordance with Clause 8.1.4, 8.3.1 or 8.4 (but provided that no
          account shall be taken for the purposes of determining Cashflow of
          receipts attributable to transactions in respect of which the proceeds
          have been paid to the credit of a Disposal Proceeds Bridging Account
          in accordance with Clause 14.3(b)(ii));

     (b)  plus any decrease, or minus any increase, in Net Working Capital
          during that period;

     (c)  plus any receipts by way of Extraordinary Items and minus any payments
          by way of Extraordinary Items, in each case, received or made during
          that period;

     (d)  minus any dividends paid in respect of minority interests for that
          period;

     (e)  plus any dividends received from other fixed assets investments during
          that period;

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     (f)  plus income from participating interests in associated undertakings
          and joint ventures to the extent received in cash and minus any
          payment made to associated undertakings and joint ventures during that
          period;

     (g)  plus any increase or minus any decrease in provisions for liabilities
          and charges (including in respect of pensions) made in respect of that
          period to the extent included within PBIT;

     (h)  minus Capital Expenditure and Finance Lease Expenditure in respect of
          that period paid or contractually required to be paid during that
          period;

     (i)  plus realised exchange gains and minus realised exchange losses
          received or paid during that period to the extent not already taken
          account of in PBIT for that period;

     (j)  minus the aggregate of all corporation or other similar Taxes paid
          during that period;

     (k)  minus any amount paid or contractually required to be paid under any
          hire agreement, credit sale agreement, hire purchase agreement,
          conditional sale agreement or instalment sale and purchase agreement
          which is not a Finance Lease;

     (l)  plus any amount amortised in respect of Acquisition Costs in
          accordance with FRS4 and any amount written off the value attributed
          to Acquisition Goodwill, in each case during that period and to the
          extent included within PBIT;

     (m)  plus in respect of any period ending on or before 31st January 1999,
          any amounts not exceeding (pound)2,000,000 received in cash by the
          Borrower as the proceeds of subscription for equity share capital in
          the Borrower;

     (n)  minus (to the extent not otherwise taken into account) any
          restructuring costs paid by the Borrower during that period;

     (o)  plus any amounts received by the Borrower during that period from Cott
          (or any other member of the Cott Group other than a Group Company) as
          the proceeds of subscription by them for equity share capital in the
          Borrower or by way of Subordinated Loan; and

     (p)  minus any management charges (other than under the Retail Brands
          Management Agreement) paid by the Borrower or any Group Company to
          Cott or any other Cott Group Company (not being a Group Company).

     For the purposes of paragraph (o) of this definition the (pound)10,000,000
     paid by Cott to the Borrower on 30th December 1999 shall be deemed to have
     been received by the Borrower on 10 January 2000 or, if later, on the date
     the payment is applied by way of subscription for fully paid up ordinary
     share capital of the Borrower and for the purposes of this definition:

     (i)  "NET WORKING CAPITAL" means the aggregate of Current Assets (excluding
          all of cash at bank and cash in hand, all assets in relation to Tax
          and accrued interest receivable) less the aggregate of Current
          Liabilities (excluding moneys

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          due in relation to the Facilities and the Deferred Consideration and
          liabilities in relation to Tax, Extraordinary Items and dividends
          payable); and

     (ii) "CURRENT ASSETS" means, in relation to the Group, the aggregate value
          of its assets which are treated as current assets in accordance with
          GAAP; and

    (iii) "CURRENT LIABILITIES" means, in relation to the Group, the aggregate
          value of its liabilities which are treated as current liabilities in
          accordance with GAAP excluding any such liabilities relating to
          management charges (other than under the Retail Brands Management
          Agreement) payable by the Borrower and any other Group Company to Cott
          or another Cott Group Company (not being a Group Company) and
          excluding in respect of the Financial Year ended 31 December 2000 only
          any liabilities relating to any restructuring of the Borrower and its
          business up to the Restructuring Costs Limit relating to the
          Borrower's management and organisational restructuring but including
          any such liabilities to the extent relating to the outsourcing and/or
          restructuring of the Borrower's distribution facilities.

     "CERTIFIED COPY" means, in relation to a document, a copy of that document
     bearing the endorsement "Certified a true, complete and accurate copy of
     the original, which has not been amended otherwise than by a document, a
     Certified Copy of which is attached hereto", which has been signed and
     dated by a duly authorised officer of the relevant company and which
     complies with that endorsement.

     "CHANGE" means, in relation to the Bank (or any company of which the Bank
     is a Subsidiary), the introduction, implementation, repeal, withdrawal or
     change in, or in the interpretation or application of, (a) any law,
     regulation, practice or concession, or (b) any directive, requirement,
     request or guidance (whether or not having the force of law but if not
     having the force of law, one which applies generally to a class or category
     of financial institutions of which the Bank (or that company) forms part
     and compliance with which is in accordance with the general practice of
     those financial institutions) of the European Community, any central bank
     or any other fiscal, monetary, regulatory or other authority.

     "CHANGE OF CONTROL" means the Borrower ceasing to be a wholly owned direct
     or indirect Subsidiary of Cott provided that, for the purpose of
     considering whether the Borrower is so wholly owned, no account shall be
     taken of any options held by any member of Management to acquire not more
     than 5 per cent. of the shares of any company of which the Borrower is a
     Subsidiary.

     "COMMITMENT" means, in relation to the Bank, the aggregate of its Term Loan
     Commitment and its Revolving Credit Commitment.

     "COMPLETION" means the completion of all of (i) the sale and purchase of
     the Target Shares pursuant to the Share Purchase Agreement, (ii) the sale
     and purchase of the Target Assets pursuant to the Hive-Up Agreement (iii)
     completion of the Crystal Lease Agreement and (iv) completion of the
     Crystal Asset Sale Agreements.

     "COMPLIANCE CERTIFICATE" has the meaning given to that term in Clause
     14.1(e).

     "COTT" means Cott Corporation, a company incorporated under the laws of
     Canada.

     "COTT GROUP" means Cott and each of its direct and indirect Subsidiaries;
     and COTT GROUP COMPANY means any one of them.

                                       5

<PAGE>   11

     "COTT NOTES DOCUMENTS" means each indenture and prospectus in respect of
     the 9 3/8% $160,000,000 senior notes due 2005 and the 8 1/2% $125,000,000
     senior notes due 2007 of Cott and "COTT NOTES DOCUMENT" means any of them.

     "COTT SUPPLY AGREEMENT" means the agreement dated on or about 2nd January
     2000 between Cott and the Borrower providing for the long term supply of
     concentrates.

     "CRYSTAL" means Crystal Drinks Limited, a company incorporated under the
     laws of England and Wales with registered number 2186825.

     "CRYSTAL ASSETS" means the assets sold under the terms of the Crystal Asset
     Sale Agreement and leased by the Crystal Lease Agreements.

     "CRYSTAL ASSET SALE AGREEMENT" means the agreement dated on or about the
     date of this Agreement made between Crystal and the Borrower providing for
     the sale of the stock and work in progress of Crystal to the Borrower.

     "CRYSTAL LEASE AGREEMENTS" means the master lease agreement dated on or
     about the date of this Agreement ("Master Lease Agreement") relating to the
     leasing by Crystal to the Borrower of certain of the Crystal assets and
     made between Crystal and the Borrower together with the Premises Lease, the
     Plant & Machinery Lease and the Business Assets Lease (as defined in the
     Master Lease Agreement).

     "CRYSTAL SUBORDINATED LOAN NOTES" means the notes issued by the Borrower to
     Crystal and subordinated to the Bank.

     "DANGEROUS MATERIALS" means any element or substance, whether consisting of
     gas, liquid, solid or vapour, identified by any Environmental Law to be, to
     have been, or to be capable of being or becoming, harmful to mankind or any
     living organism or damaging to the Environment.

     "DEBENTURE" means the debenture dated 31st January 1994 given by the
     Borrower (then called Benjamin Shaw (Pontefract) Limited) to the Bank.

     "DEBT" means all Indebtedness of the Borrower and the other Group Companies
     excluding:

     (a)  Indebtedness to the Vendors in respect of Deferred Consideration;

     (b)  Indebtedness of a Group Company to another Group Company; and

     (c)  Indebtedness of the Borrower to Cott or any other member of the Cott
          Group other than a Group Company in respect of any Subordinated Loans.

     "DEFAULT" means any event specified as such in Clause 15.1.

     "DEFAULT NOTICE" has the meaning given to that term in Clause 15.2.1.

     "DEFERRED CONSIDERATION" means the deferred consideration paid or to be
     paid by the Borrower to the Vendors pursuant to clause 4 and schedule 3 of
     the Share Purchase Agreement.

     "DEPRECIATION" has the meaning given to that term by GAAP.

                                       6

<PAGE>   12

     "DISPOSAL" means a sale, transfer or other disposal (including by way of
     lease or loan) by a person of all or part of its assets, whether by one
     transaction or a series of transactions and whether at the same time or
     over a period of time.

     "DISPOSAL PROCEEDS" means, in respect of a Disposal by a Group Company, the
     gross consideration receivable by that Group Company for that Disposal less
     all Taxes, costs and expenses directly incurred in respect of that
     Disposal.

     "DISPOSAL PROCEEDS BRIDGING ACCOUNT" has the meaning given to that term in
     Clause 14.3(b)(ii)(y).

     "DISTRIBUTION RESTRUCTURING COSTS" means any costs incurred in relation to
     the outsourcing and/or restructuring of the Borrower's distribution
     facilities.

     "DORMANT SUBSIDIARY" means, on any given date, a Group Company (a) which
     has been dormant within the meaning of section 250(3) of the Act for the
     period of 12 months ending on that date and (b) in respect of which neither
     its assets nor its liabilities exceed in aggregate (pound)5,000 (or, in the
     case of Target only, whose assets do exceed (pound)5,000 where those assets
     consist solely of its paid up share capital and a right to repayment from
     the Borrower of the balance of the consideration for the Target Assets
     under the Hive-Up Agreement).

     "DRAWDOWN DATE" means the date on which an Advance is made, or is proposed
     to be made.

     "DRAWDOWN NOTICE" means a notice substantially in the form set out in
     Schedule 2.

     "ENCUMBRANCE" means any mortgage, charge, assignment by way of security,
     pledge, hypothecation, lien, right of set-off, retention of title
     provision, trust or flawed asset arrangement (for the purpose of, or which
     has the effect of, granting security) or any other security interest of any
     kind whatsoever, or any agreement, whether conditional or otherwise, to
     create any of the same, or any agreement to sell or otherwise dispose of
     any asset on terms whereby such asset is or may be leased to or re-acquired
     or acquired by any Group Company.

     "ENVIRONMENT" means all or any of the following media: air (including air
     within buildings or other structures and whether above or below ground);
     land (including buildings and any other structures or erections in, on or
     under it and any soil and anything below the surface of land); land covered
     with water; and water (including sea, ground and surface water).

     "ENVIRONMENTAL LAW" means any statutory or common law, treaty, convention,
     directive or regulation having legal or judicial effect whether of a
     criminal or civil nature, concerning:

     (a)  pollution or contamination of the Environment;

     (b)  harm by pollution or contamination, whether actual or potential, to
          mankind and human senses, living organisms and ecological systems;

     (c)  the generation, manufacture, processing, distribution, use (including
          abuse), treatment, storage, disposal, transport or handling of
          Dangerous Materials; or

                                       7
<PAGE>   13

     (d)  the emission, leak, release or discharge into the Environment of
          noise, vibration, dust, fumes, gas, odours, smoke, steam, effluvia,
          heat, light, radiation (of any kind), infection, electricity or any
          Dangerous Material and any matter or thing capable of constituting a
          nuisance or an actionable tort of any kind in respect of such matters.

     "ENVIRONMENTAL REPORT" means the report dated on or about 27th October 1997
     prepared by Willis Corroon Group plc relating to the Borrower, Crystal and
     Target and addressed to the Bank Parties.

     "EXCEPTIONAL ITEMS" has the meaning given to that term in FRS3, but
     excluding those items listed in paragraph 20 of FRS3.

     "EXTRAORDINARY ITEMS" has the meaning given to that term in FRS3, but
     including those items listed in paragraph 20 of FRS3.

     "EXTRAORDINARY PROCEEDS" means any proceeds (other than Disposal Proceeds)
     received in cash of any transaction otherwise than in the ordinary course
     of trading of a Group Company (including the proceeds of any claim for
     breach of warranty or contract in respect of the Acquisition Documents and
     any insurance proceeds not applied to reinstate property in accordance with
     the Security Documents).

     "EXTRAORDINARY PROCEEDS ACCOUNT" has the meaning given to that term in
     Clause 8.4(b).

     "FACILITIES" means the Term Loan Facility, the Revolving Credit Facility
     and the Ancillary Facility; and "FACILITY" shall be construed accordingly.

     "FEES LETTER" means the letter dated the same date as this Agreement from
     the Bank to the Borrower relating to certain fees payable to the Bank by
     the Borrower in relation to this Agreement, being described on its face as
     the "Fees Letter".

     "FFE CONTRACT" means a forward foreign exchange contract made or to be made
     between the Bank and the Borrower.

     "FFE CONTRACT AMOUNT" means, in relation to an FFE Contract:

     (a)  if under that FFE Contract the Borrower is obliged to pay an amount in
          Sterling, that amount; and

     (b)  if under that FFE Contract the Borrower is obliged to pay an amount in
          a currency other than Sterling, the equivalent in Sterling of that
          amount (where the equivalent is calculated by reference to the Bank's
          spot rate at or about 11.00 a.m. on the day the calculation falls to
          be made for the purchase of Sterling with that currency).

     "FINAL MATURITY DATE" means in relation to both the Term Loan Facility and
     the Revolving Credit Facility, 31st January 2005 (or if not a Business Day
     the next preceding Business Day).

     "FINANCE LEASE" means any lease, hire agreement, credit sale agreement,
     hire purchase agreement, conditional sale agreement or instalment sale and
     purchase agreement which

                                       8
<PAGE>   14

     should be treated in accordance with SSAP 21 (or any successor to SSAP 21)
     as a finance lease or in the same way as a finance lease.

     "FINANCE LEASE EXPENDITURE" means the capital value of any asset the
     subject of a Finance Lease to which a Group Company is a party.

     "FINANCIAL GUARANTEE" means a Guarantee being a direct credit substitute to
     which the Bank of England attributes a credit conversion factor of 100 per
     cent. for the purpose of risk asset weighting calculations in accordance
     with its notice "Implementation in the United Kingdom of the Solvency Ratio
     Directive" (BSD/1990/3) as amended, supplemented or replaced from time to
     time.

     "FINANCIAL YEAR", in relation to a company, has the meaning given to that
     expression in section 223 of the Act.

     "FINANCING DOCUMENTS" means this Agreement, the Fees Letter, the Interest
     Rate Protection Agreements, the Security Documents and the Amendment and
     Restatement Agreement dated 27th March 2000 between the parties hereto.

     "FRS" together with a number means the financial reporting standard issued
     by the Accounting Standards Board for application in England and Wales and
     identified by reference to that number.

     "GAAP" means, in relation to a company, accounting principles, concepts,
     bases and policies generally adopted and accepted in England and Wales.

     "GROSS OPTIONAL OVERDRAFT LIMIT" means (pound)18,000,000 or such lower
     figure as the Bank may specify.

     "GROSS OVERDRAFT OUTSTANDINGS" means all amounts outstanding by way of
     overdraft under the Optional Overdraft Facility.

     "GROUP" means the Borrower, the Target and each of their respective
     Subsidiaries; and "GROUP COMPANY" means any one of them.

     "GROUP TRADING AGREEMENTS" means the Cott Supply Agreement, the Retail
     Brands Management Agreement and the Crystal Lease Agreements.

     "GUARANTEE" means any guarantee, bond, indemnity, letter of credit,
     documentary or other credit, or any other instrument of suretyship or
     payment, issued, undertaken or made or, as the case may be, proposed to be
     issued, undertaken or made by the Bank under the Optional Overdraft
     Facility.

     "GUARANTEED AMOUNT" means, in relation to a Guarantee, the maximum
     aggregate amount of the actual and contingent liabilities of the Bank under
     that Guarantee.

     "HALF YEAR" means each period from and including 1st February to and
     including 31st July and each period from and including 1st August to and
     including 31st January.

     "HERO IP LICENCE" means the trade mark Licence dated on or about the date
     of this Agreement between Hero AG and the Borrower relating to certain
     trade marks of Hero AG.

                                       9

<PAGE>   15

     "HERO LICENCE" means the licence dated on or about the date of this
     Agreement between Target and the Borrower in respect of the use by the
     Borrower of the property at Unit 16, Trent Lane, Castle Donington.

     "HIVE-UP AGREEMENT" means the sale and purchase agreement dated on or about
     the date of this Agreement the date of this Agreement relating to the sale
     by Target and the purchase by the Borrower of the Target Assets and made
     between Target and the Borrower.

     "INDEBTEDNESS" means, in relation to a person, its obligation (whether
     present or future, actual or contingent, as principal or surety) for the
     payment or repayment of money (whether in respect of interest, principal or
     otherwise) incurred in respect of:

     (a)  moneys borrowed or raised;

     (b)  any bond, note, loan stock, debenture or similar instrument;

     (c)  any acceptance credit, bill discounting, note purchase, factoring or
          documentary credit facility;

     (d)  the supply of any goods or services which is more than 45 days past
          the expiry of the period customarily allowed by the relative supplier
          after the due date;

     (e)  any Finance Lease;

     (f)  any guarantee, bond, stand-by letter of credit or other similar
          instrument issued in connection with the performance of contracts;

     (g)  any interest rate or currency swap agreement or any other hedging or
          derivatives instrument or agreement (calculated, in the case of a swap
          agreement, on a net basis);

     (h)  any arrangement pursuant to which any asset sold or otherwise disposed
          of by that person is or may be leased to or re-acquired by a Group
          Company (whether following the exercise of an option or otherwise); or

     (i)  any guarantee, indemnity or similar insurance against financial loss
          given in respect of the obligation of any person.

     "INFORMATION PACKAGE" means:

     (a)  the Accountants' Report;

     (b)  the Legal Due Diligence Report;

     (c)  the Market Report;

     (d)  the Business Plan;

     (e)  the Valuation;

     (f)  the Environmental Report; and

                                       10

<PAGE>   16

     (g)  the Original Accounts.

     "INSTALMENT" has the meaning given to that term in Clause 8.1.

     "INSTALMENT REPAYMENT DATE" has the meaning given to that term in Clause
     8.1.

     "INTELLECTUAL PROPERTY RIGHTS" means all patents, trade marks, service
     marks, trade names, design rights, copyright (including rights in computer
     software and moral rights and in published and unpublished work), titles,
     rights to know-how and other intellectual property rights, in each case
     whether registered or unregistered and including applications for the grant
     of any of the foregoing and all rights or forms of protection having
     equivalent or similar effect to any of the foregoing which may subsist
     anywhere in the world.

     "INTEREST DATE" means the last day of an Interest Period.

     "INTEREST PERIOD" means each period determined in accordance with Clause 7
     for the purpose of calculating interest on Advances or overdue amounts.

     "INTEREST RATE PROTECTION AGREEMENTS" means each agreement entered into or
     to be entered into by the Borrower with the Bank for the purpose of hedging
     the Borrower's interest rate liabilities in relation to all or any part of
     the Term Loan.

     "LEGAL DUE DILIGENCE REPORT" means the report entitled "Legal Due Diligence
     Report" dated on or about the date of this Agreement prepared by Messrs.
     Hammond Suddards and addressed to the Bank Parties.

     "LENDING OFFICE" means, in relation to the Bank, its office at 6-8
     Eastcheap, London EC3M 1AE or such other office in the United Kingdom
     through which the Bank's Commitment is maintained.

     "LIBOR" means, in respect of an Advance or other sum and in respect of a
     particular Interest Period:

     (a)  the rate of the offered quotation for Sterling deposits for a period
          comparable to that Interest Period which appears on the display
          designated as "Page 3750" on the Telerate Service (or such other page
          or service as may replace it for the purpose of displaying London
          interbank offered rates of prime banks for Sterling) at or about 11.00
          a.m. on the first day of that Interest Period);

     (b)  if no such offered quotation appears on "Page 3750" on the Telerate
          Service, the arithmetic mean (rounded upwards to 4 decimal places) of
          the rates per annum (as quoted to the Bank at its request) at which
          each Reference Bank was offering deposits in Sterling in an amount
          comparable with that Advance or other sum, as the case may be, to
          leading banks in the London interbank market for a period equal to
          that Interest Period at or about 11.00 a.m. on the first day of that
          Interest Period.

     "LISTING" means the admission of any of the Borrower's shares to the
     Official List of the London Stock Exchange Limited or any other recognised
     investment exchange (as defined in section 207 of the Financial Services
     Act 1986) and their respective share dealing markets.

                                       11

<PAGE>   17

     "LOANS" means the Term Loan and the Revolving Loan; and "LOAN" shall be
     construed accordingly.

     "MANAGEMENT" means Neil Thompson, Gary Saunders, Brian Mackie and Chris
     Birrell.

     "MANAGEMENT ACCOUNTS" has the meaning given to that term in Clause 14.1(b).

     "MANDATORY COST RATE" means the rate determined in accordance with Schedule
     4.

     "MARGIN" means, subject to Clause 7.2, 2.00 per cent. per annum.

     "MARKET REPORT" means the market due diligence reports prepared by OC&C
     Strategy Consultants:

     (a)  dated 27th October 1997 and 13th November 1997 addressed to the Bank
          Parties; and

     (b)  dated 15th September 1997 addressed to the Borrower,

     each in respect of the Target.

     "MATERIAL ADVERSE EFFECT" means a material adverse effect on (a) the
     ability of any Group Company to comply with its obligations under any
     Financing Document or (b) the business, financial condition or assets of
     the Group taken as a whole.

     "NET PROFIT" means, in relation to any period, the consolidated profit of
     the Group for that period (including, for the avoidance of doubt,
     Exceptional Items and Extraordinary Items) after Taxation and Total Debt
     Costs and not taking into account any management charges (other than under
     the Retail Brands Management Agreement) up to (pound)1,000,000 per annum
     (pro rata for any other period) payable by the Borrower or any other Group
     Company to Cott or any other member of the Cott Group (not being a Group
     Company).

     "OPERATING BUDGET" means, in relation to the Group and the period starting
     not later than the date of this Agreement and ending on 31st January 1998,
     the Business Plan, and in relation to each successive 12 month period
     thereafter during the Security Period:

     (a)  a projected balance sheet;

     (b)  a projected profit and loss account;

     (c)  a projected cash flow statement; and

     (d)  projected covenant calculations relating to each financial undertaking
          contained in Clause 14.4,

     relative to each such period and on a month by month basis and with the
     Management's commentary drawing on the performance in the previous period.

     "OPTIONAL OVERDRAFT FACILITY" means the optional overdraft facility
     referred to in Clause 6 under which overdrafts may be made available by the
     Bank to the Borrower.

     "OPTIONAL OVERDRAFT LIMIT" means (pound)13,000,000 or such lower figure as
     the Bank may specify.

                                       12

<PAGE>   18

     "ORIGINAL ACCOUNTS" means:

     (a)  the Accounts of the Borrower for its Financial Year ended 31st January
          1997; and

     (b)  the Accounts of the Target for its Financial Year ended 31st December
          1996.

     "OVERDRAFT OUTSTANDINGS" means all amounts outstanding by way of overdraft
     under the Optional Overdraft Facility (net of any credit balance on any
     account of the Borrower with the Bank to the extent that such credit
     balance is freely available to be set off by the Bank against liabilities
     owed to the Bank by the Borrower).

     "PARENT LOAN" means a loan of (pound)4,000,000 from the Borrower to Cott
     Retail Brands Limited.

     "PARTICIPATION AGREEMENT" means an agreement which the Bank may enter into
     granting participation in the facilities provided by this Agreement to
     other banks.

     "PARTY" means a party to this Agreement.

     "PBIT" means, in relation to any period, the consolidated profit of the
     Group for that period (including, for the avoidance of doubt, Exceptional
     Items) before Taxation and Total Debt Costs, but taking into account, for
     the avoidance of doubt, all restructuring costs and credits including any
     Distribution Restructuring Costs but excluding:

     (a)  all restructuring costs and credits charged in the Financial Year
          ended 31 December 1999 and all restructuring costs (other than any
          Distribution Restructuring Costs) up to the Restructuring Costs Limit
          incurred in the Financial Year ended 31 December 2000 only;

     (b)  profit attributable to minority interests;

     (c)  Extraordinary Items;

     (d)  any profit or loss arising on the disposal of fixed assets;

     (e)  any amount amortised in respect of Acquisition Costs in accordance
          with FRS4;

     (f)  amounts written off the value of investments;

     (g)  amounts written off the value attributed to Acquisition Goodwill;

     (h)  income from participating interests in associated undertakings and
          income from any other fixed asset investment;

     (i)  realised and unrealised exchange gains and losses; and

     (j)  all management charges (other than under the Retail Brands Management
          Agreement) up to (pound)1,647,000 in respect of the year ending 31
          December 1999 and up to (pound)1,000,000 per annum (pro rata for any
          other period) thereafter

                                       13

<PAGE>   19

          payable by the Borrower and any other Group Company to Cott or any
          other members of the Cott Group (not being a Group Company).

     "PBITDA" means, in relation to any period, the aggregate of:

     (a)  PBIT;

     (b)  Depreciation charged to the consolidated profit and loss account of
          the Group; and

     (c)  amounts written off the value of Acquisition Goodwill and any amount
          amortised in respect of Acquisition Costs to the extent charged to the
          consolidated profit and loss account of the Group in accordance with
          FRS 4.

     "PERMITTED ENCUMBRANCE" means:

     (a)  any Encumbrance created under the Financing Documents;

     (b)  any right of set-off or lien, in each case arising by operation of
          law;

     (c)  any retention of title to goods supplied to the Borrower in the
          ordinary course of its trading activities;

     (d)  any right of set-off over credit balances on bank accounts of Group
          Companies arising in the ordinary course of the banking arrangements
          of the Group;

     (e)  any agreement entered into by the Borrower in the ordinary course of
          its trading activities to sell or otherwise dispose of any asset on
          terms whereby that asset is or may be leased to or re-acquired or
          acquired by a Group Company;

     (f)  any Encumbrance over an asset of a company which becomes a Subsidiary
          of the Borrower (other than by reason of its incorporation) after the
          date of this Agreement, being an Encumbrance which is in existence at
          the time at which that company becomes such a Subsidiary but only if
          (i) that Encumbrance was not created in contemplation of that company
          becoming such a Subsidiary, (ii) the principal amount secured by that
          Encumbrance has not been and shall not be increased and (iii) that
          Encumbrance is discharged within 6 months of the date on which that
          company became such a Subsidiary;

     (g)  any Encumbrance over an asset acquired by the Borrower after the date
          of this Agreement and subject to which that asset is acquired but only
          if (i) that Encumbrance was not created in contemplation of its
          acquisition by that company, (ii) the amount secured by that
          Encumbrance has not been increased in contemplation of, or since the
          date of, its acquisition by that company and (iii) that Encumbrance is
          discharged within 6 months of the date of its acquisition by that
          company.

     "PERMITTED INDEBTEDNESS" means:

     (a)  Indebtedness under any Financing Document;

     (b)  Indebtedness existing at the date of this Agreement between Group
          Companies;

                                       14

<PAGE>   20

     (c)  Indebtedness under any Finance Lease permitted under Clause 14.4.1(f);

     (d)  Indebtedness (subject to Clause 14.3(f)) of any Group Company to a
          Cott Group Company;

     (e)  Indebtedness of any Group Company to the extent it is the subject of a
          Guarantee;

     (f)  Indebtedness in respect of Deferred Consideration; and

     (g)  three forward contracts entered into by Target and in existence on the
          date of this Agreement for values of $850,000, DM459,177 and
          DM300,000.

     "POST RESTRUCTURING PBIT" means, in relation to any period, PBIT but
     calculated on the basis that all restructuring costs are taken into account
     and included in calculating such PBIT and including in the calculation of
     PBIT any amounts amortised in respect of Acquisition Costs in accordance
     with FRS4 and amounts written off the value attributed to Acquisition
     Goodwill.

     "POTENTIAL DEFAULT" means an event or omission which, with the giving of
     any notice, the lapse of time, the determination of materiality or the
     satisfaction of any other condition under Clause 15.1, would be a Default.

     "PROPERTIES" means all freehold and leasehold properties listed in
     Schedule 7.

     "QUALIFYING BANK" means an institution which is a bank for the purposes of
     section 349 of the Income and Corporation Taxes Act 1988.

     "QUARTER" means each period of 3 months ending on a Quarter Date.

     "QUARTER DATE" means each 31st March, 30th June, 30th September and 31st
     December.

     "QUARTERLY ACCOUNTING PERIOD" means the three Accounting Periods ending on
     or about a Quarter Date.

     "RBS" means The Royal Bank of Scotland PLC.

     "REFERENCE BANKS" means the Bank and RBS and/or such other bank or banks
     which represent the Bank Participants as may be agreed between the Bank and
     the Borrower from time to time.

     "RESERVATIONS" means the principle that equitable remedies are remedies
     which may be granted or refused at the discretion of the court, the
     limitation of enforcement by laws relating to bankruptcy, insolvency,
     liquidation, reorganisation, court schemes, moratoria, administration and
     other laws generally affecting the rights of creditors, the time barring of
     claims under the Limitation Act 1980, the possibility that an undertaking
     to assume liability for or to indemnify against non-payment of United
     Kingdom stamp duty may be void, defences of set-off or counterclaim and
     similar principles.

     "RESTRUCTURING COSTS LIMIT" means (pound)1,300,000 less any amount by which
     actual restructuring costs and credits for the Financial Year ended 31
     December 1999 on a net basis are less than (pound)534,000 in credit.

                                       15

<PAGE>   21

     "RETAIL BRANDS MANAGEMENT AGREEMENT" means the management agreement dated
     on or about the date of this Agreement between the Borrower, Cott Europe
     Trading Limited and Cott Retail Brands Limited.

     "RETENTION" has the meaning given to that term in the Share Purchase
     Agreement.

     "REVOLVING ADVANCE" means an advance made or to be made to the Borrower
     under the Revolving Credit Facility or, as the case may be, the outstanding
     principal amount of any such advance.

     "REVOLVING CREDIT COMMITMENT" means, in relation to the Bank,
     (pound)13,000,000.

     "REVOLVING CREDIT COMMITMENT PERIOD" means the period from and including
     the date of this Agreement to but excluding the Final Maturity Date.

     "REVOLVING CREDIT FACILITY" means the Sterling revolving loan facility
     referred to in Clause 2.1.1(b).

     "REVOLVING CREDIT FACILITY LIMIT" means, subject to Clause
     9,(pound)13,000,000.

     "REVOLVING LOAN" means, at any time, all Revolving Advances at that time.

     "ROYAL CROWN" means Royal Crown Cola Corporation.

     "ROYAL CROWN CONTRACT" means the agreement whose terms are set out in a
     letter dated 28th January 1994 from Royal Crown to Cott and BCB
     International Limited.

     "SALE" means the sale of the whole of the issued share capital of the
     Borrower to a single purchaser or to one or more purchasers as part of a
     single transaction.

     "SECURITY DOCUMENTS" means:

     (a)  the Debenture; and

     (b)  any guarantee and any document creating security executed and
          delivered after the date of this Agreement as security for any of the
          obligations and liabilities of the Borrower and the other Group
          Companies under any Financing Document.

     "SECURITY PERIOD" means the period starting on the date of this Agreement
     and ending on the date on which all of the obligations and liabilities of
     the Group Companies under each Financing Document are discharged in full,
     and the Bank has no continuing obligation in relation to the Facilities.

     "SHARE PURCHASE AGREEMENT" means the sale and purchase agreement dated on
     or before the date of this Agreement relating to the sale and purchase of
     the Target Shares and the Target Debt and made between the Vendors and the
     Borrower.

     "SSAP" together with a number means the statement of standard accounting
     practice issued by the Institute of Chartered Accountants for application
     in England and Wales and identified by reference to that number.

                                       16

<PAGE>   22

     "SUBORDINATED LOANS" means any non-interest bearing subordinated loans to
     the extent permitted by the Cott Notes Documents and made by Cott (or any
     other member of the Cott Group other than a Group Company) to the Borrower
     on terms approved by the Bank in writing.

     "SUBSIDIARY" means a subsidiary within the meaning of Section 736 of the
     Act.

     "TANGIBLE NET WORTH" means, on any date, the aggregate amount of the paid
     up share capital of the Borrower as at that date including amounts standing
     to the credit of the share premium account and any capital redemption
     reserves plus or minus, as the case may be, the aggregate amount standing
     in the Borrower's capital and revenue reserves (on a consolidated basis) as
     at that date:

     (a)  adjusted as may be appropriate to take account of any variation in
          that share capital account and share premium account since the date to
          which such accounts shall have been made up;

     (b)  deducting any amounts attributable to any intangible asset included as
          an asset in the Borrower's latest consolidated balance sheet excluding
          amounts attributable to Acquisition Goodwill;

     (c)  excluding any capital accounts or reserves derived from any writing up
          of book value of any assets of any Group Company above historic cost
          less accumulated Depreciation at any time after Completion;

     (d)  adding back any diminution due to the writing off of Acquisition
          Goodwill;

     (e)  excluding any minority interest arising on consolidation;

     (f)  including exchange gains and losses arising on consolidation accounted
          for through reserves in accordance with SSAP 20;

     (g)  adding back any finance or issue costs arising from the transactions
          contemplated by the Transaction Documents to which any Group Company
          is a party, in accordance with FRS4, to the extent that they have been
          written off against either the capital or revenue reserves; and

     (h)  adding or deducting, as the case may be, any credit or any debit
          balance on the Borrower's consolidated profit and loss account (but
          not to the extent that the same arises as a result of any
          Extraordinary Items) attributable to the period in relation to which
          the calculation falls to be made;

     (i)  deducting any amount set aside for Tax or deferred Tax;

     (j)  adding an amount equal to the cumulative interest charged from
          completion to the Borrower's consolidated profit and loss account in
          respect of the Deferred Consideration as at that date (before and
          after payment of the Deferred Consideration); and

     (k)  including any amount equal to the principal amount of any Subordinated
          Loans;

     in each case, without double counting.

                                       17

<PAGE>   23

     "TARGET" means Hero Drinks Group (UK) Limited, a company incorporated under
     the laws of England and Wales with registered number 340485.

     "TARGET ASSETS" means the Assets (as defined in the Hive-Up Agreement).

     "TARGET DEBT" means the Existing Group Loan Stock as defined in the Share
     Purchase Agreement.

     "TARGET SHARES" means all of the issued share capital of the Target.

     "TARGET SUBORDINATED LOAN NOTES" means the notes issued by the Borrower to
     Target and subordinated to the Bank.

     "TAXES" includes all present and future taxes, charges, imposts, duties,
     levies, deductions, withholdings or fees of any kind whatsoever, or any
     amount payable on account of or as security for any of the foregoing, by
     whomsoever on whomsoever and wherever imposed, levied, collected, withheld
     or assessed, together with any penalties, additions, fines, surcharges or
     interest relating thereto; and "TAX" and "TAXATION" shall be construed
     accordingly.

     "TERM ADVANCE" means the advance made or to be made to the Borrower under
     the Term Loan Facility or, as the case may be, the outstanding principal
     amount of that advance, and each advance into which a Term Advance is split
     pursuant to Clause 7.3.4.

     "TERM LOAN" means, at any time, the aggregate of all Term Advances
     outstanding at that time.

     "TERM LOAN COMMITMENT" means, in relation to the Bank, (pound)49,000,000.

     "TERM LOAN FACILITY" means the term loan facility referred to in Clause
     2.1.1(a).

     "TOTAL DEBT COSTS" means, in relation to any period, all interest,
     commissions, periodic fees and other financing charges payable (including
     any premium payable in respect of interest rate protection agreements) by
     the Group Companies during that period (including the interest element
     payable under any Finance Lease) less any interest receivable in respect of
     cash balances, less any sums receivable or plus any sums payable by the
     Borrower under any interest rate protection agreement of whatever
     description during that period and for the avoidance of doubt excluding (i)
     any fees and commission paid in relation to the acquisition of the Target
     Shares, the Target Debt and/or the Target Assets and (ii) any amounts
     amortised on finance costs arising from the acquisition of the Target
     Shares and/or the Target Assets in accordance with FRS4 and (iii) any
     interest charged to the profit and loss account (but not paid in cash) in
     respect of the Deferred Consideration.

     "TOTAL FUNDING COSTS" means, in relation to any period, the aggregate of:

     (a)  Total Debt Costs for that period;

     (b)  all scheduled payments of Deferred Consideration falling due during
          that period;

     (c)  all scheduled repayments of the Term Loan and all repayments and/or
          prepayments of the Term Loan required to be made under Clause 8
          falling due

                                       18

<PAGE>   24

          during that period (including in respect of the relevant period the
          amount paid on 30th April 1999);

     (d)  in respect of the Financial Year ended 31st December 2000 only, the
          (pound)10,000,000 prepayment made on 30th December 1999 which for this
          purpose shall be treated as having been made on 10th January 2000; and

     (e)  the capital element of all rentals or, as the case may be, other
          payments payable in that period under any Finance Lease entered into
          by any Group Company.

     "TRANSACTION DOCUMENTS" means, in relation to a Group Company, each of the
     following documents to which it is a party: the Financing Documents, the
     Group Trading Agreements and the Acquisition Documents.

     "2005 INDENTURE" means the indenture dated as of 27 June 1995 executed by
     Cott in respect of certain 9-3/8% senior notes due 2005.

     "VALUATION" means the valuation report prepared by King Sturge & Co. dated
     29th October 1997 in respect of the Properties numbered 1, 2, 3 and 4 in
     Schedule 7 below and addressed to the Bank Parties.

     "VAT" means value added tax as provided for in the Value Added Tax Act 1994
     and legislation (or purported legislation and whether delegated or
     otherwise) supplemental to that Act or in any primary or secondary
     legislation promulgated by the European Community or any official body or
     agency of the European Community, and any tax similar or equivalent to
     value added tax imposed by any country other than the United Kingdom and
     any similar or turnover Tax replacing or introduced in addition to any of
     the same.

     "VAT GROUP" means, in respect of a person, its "group" within the meaning
     of section 43 of the Value Added Tax Act 1994.

     "VENDOR COLLATERAL ACCOUNT" means the Borrower's account with the Bank
     entitled "LTSB plc re Cott Beverages Ltd".

     "VENDORS" means Renshaw Scott Limited and Hero AG.

     "VENDORS' DISCLOSURE LETTER" has the meaning given to the term "Disclosure
     Letter" in the Share Purchase Agreement.

     "VIRGIN SUPPLY AGREEMENT" means the sourcing agreement made between Cott
     and the Virgin Cola Company Limited dated 28th October 1994 under which the
     Borrower is classified as a "Cott Related Party".

1.2  HEADINGS

     The headings in this Agreement are for convenience only and shall be
     ignored in construing this Agreement.

1.3  INTERPRETATION

1.3.1 In this Agreement (unless otherwise provided):

                                       19
<PAGE>   25

     (a)  words importing the singular shall include the plural and vice versa;

     (b)  references to Clauses and Schedules are to be construed as references
          to the clauses of, and schedules to, this Agreement;

     (c)  references to any Financing Document or any other document shall be
          construed as references to that Financing Document or that other
          document, as amended, varied, novated or supplemented, as the case may
          be;

     (d)  references to any statute or statutory provision include any statute
          or statutory provision which amends, extends, consolidates or replaces
          the same, or which has been amended, extended, consolidated or
          replaced by the same, and shall include any orders, regulations,
          instruments or other subordinate legislation made under the relevant
          statute;

     (e)  references to a document being "IN THE AGREED FORM" means that
          document the form and content of which has been approved by the Bank;

     (f)  references to "ASSETS" shall include revenues and the right to
          revenues and property and rights of every kind, present, future and
          contingent and whether tangible or intangible (including uncalled
          share capital);

     (g)  the words "INCLUDING" and "IN PARTICULAR" shall be construed as being
          by way of illustration or emphasis only and shall not be construed as,
          nor shall they take effect as, limiting the generality of any
          foregoing words;

     (h)  the words "OTHER" and "OTHERWISE" shall not be construed ejusdem
          generis with any foregoing words where a wider construction is
          possible;

     (i)  references to a "PERSON" shall be construed so as to include that
          person's assigns, transferees or successors in title and shall be
          construed as including references to an individual, firm, partnership,
          joint venture, company, corporation, unincorporated body of persons or
          any state or any agency of a state;

     (j)  where there is a reference in this Agreement to any amount, limit or
          threshold specified in Sterling, in ascertaining whether or not that
          amount, limit or threshold has been attained, broken or achieved, as
          the case may be, a non-Sterling amount shall be counted on the basis
          of the equivalent in Sterling of that amount using the Bank's relevant
          spot rate of exchange;

     (k)  accounting terms shall be construed so as to be consistent with GAAP;
          and

     (l)  references to time are to London time.

1.3.2  For the purposes of Clause 7.2 (Margin Ratchet) and Clause 14.4
       (financial undertakings) and the related definitions, the
       (pound)10,000,000 paid by Cott to the Borrower on 30th December 1999
       shall be deemed to have been received by the Borrower on 10th January
       2000 or, if later, on the date the payment is applied by way of
       subscription for fully paid up ordinary share capital of the Borrower
       (but without prejudice to any Default which shall occur by virtue of
       Clause 15.1(u) (New Capital Injection)).

                                       20

<PAGE>   26

2.     FACILITIES

2.1.1  Subject to the terms of this Agreement the Bank agrees to make the
       following facilities available to the Borrower:

     (a)  a Sterling term loan facility in the maximum principal amount
          of(pound)49,000,000;

     (b)  a Sterling revolving loan facility in the maximum principal amount
          of(pound)13,000,000 incorporating an optional overdraft facility; and

     (c)  the Ancillary Facility in the maximum principal amount
          of(pound)7,500,000.

2.1.2  Notwithstanding any other term of this Agreement:

     (a)  the Term Loan shall not, at any time, exceed the Term Loan Commitment;
          and

     (b)  the aggregate of (i) all Revolving Advances and (ii) the Overdraft
          Outstandings shall not, at any time, exceed the Revolving Credit
          Commitment.

     (c)  the aggregate of all Ancillary Outstandings shall not, at any time,
          exceed the Ancillary Limit.

3.   PURPOSE

3.1  PURPOSE OF THE TERM LOAN FACILITY

     The proceeds of the Term Loan Facility shall only be used to pay amounts
     required to be paid by the Borrower in connection with the acquisition of
     the Target namely:

     (a)  the consideration payable to the Vendors by the Borrower for the
          Target Shares and the Target Debt purchased by it pursuant to the
          Share Purchase Agreement; and

     (b)  the Acquisition Costs.

3.2  PURPOSE OF THE REVOLVING CREDIT FACILITY

3.2.1 The proceeds of Revolving Advances shall only be used:

     (a)  to fund the working capital requirements of the Borrower from time to
          time (and, for the avoidance of doubt, not (i) to make prepayments of
          the Term Loan, (ii) to finance the making of any loan to any Cott
          Group Company or (iii) to finance the payment of any dividend or other
          distribution in respect of the Borrower's share capital);

     (b)  to repay maturing Revolving Advances; and

     (c)  to enable the Borrower to comply with its obligations under any of
          Clauses 15.2.2, 15.2.3 and 15.2.4 following demand by the Bank.

3.2.2 The Optional Overdraft Facility shall only be used for the purposes
      specified in Clause 3.2.1(a).

                                       21

<PAGE>   27

3.3  PURPOSE OF ANCILLARY FACILITY

     The Ancillary Facility shall only be used for the purposes specified in
     Clause 3.2.1(a) and, in the case of FFE Contracts, for the purpose of
     hedging against foreign exchange rate exposure arising in the ordinary
     course of trading by the Borrower.

3.4  UNDERTAKING BY THE BORROWER

     The Borrower undertakes that it will only utilise the Facilities as
     permitted by this Clause 3.

3.5  NO LIABILITY

     The Bank shall not be concerned as to the use or application of the
     proceeds of the Advances or the use or applications of amounts made
     available under any Facility.

4.   CONDITIONS PRECEDENT

4.1  CONDITIONS PRECEDENT

     Notwithstanding any other term of this Agreement, the Bank shall not be
     under any obligation to make the Facilities available to the Borrower
     unless it has notified the Borrower that all the conditions set out in
     Schedule 1 have been satisfied on or prior to 21st November 1997.

4.2  CONFIRMATION OF SATISFACTION

     The Bank shall, at the request of the Borrower, certify whether or not any
     one or more of the conditions set out in Schedule 1 have been satisfied or,
     as the case may be, waived.

5.   TERM LOAN FACILITY AND REVOLVING CREDIT FACILITY

5.1  DRAWDOWN OF TERM LOAN FACILITY

     Subject to the other terms of this Agreement, the Term Loan Facility shall
     be drawn down in one Term Advance of (pound)49,000,000 at Completion when
     requested by the Borrower by means of a Drawdown Notice in accordance with
     Clause 5.4.

5.2  UTILISATION OF REVOLVING CREDIT FACILITY

5.2.1 Subject to the other terms of this Agreement, Revolving Advances shall be
      made to the Borrower at any time during the Revolving Credit Commitment
      Period when requested by the Borrower by means of a Drawdown Notice in
      accordance with Clause 5.4. At close of business on the last day of the
      Revolving Credit Commitment Period the Revolving Credit Facility shall
      cease to be available for utilisation.

5.2.2 No utilisation of the Revolving Credit Facility may be made unless the
      Term Advance has been made.

                                       22

<PAGE>   28

5.2.3 The following limitations apply to Revolving Advances:

     (a)  the Drawdown Date of a Revolving Advance shall be a Business Day
          during the Revolving Credit Commitment Period;

     (b)  the principal amount of a Revolving Advance shall be:

          (i)  a minimum amount of(pound)250,000 and an integral multiple
               of(pound)50,000; or

          (ii) the amount of the Available Revolving Credit Facility;

     (c)  no Revolving Advance shall be made if the making of that Revolving
          Advance would result in the aggregate of all Revolving Advances
          exceeding the Revolving Credit Facility Limit; and

     (d)  no more than 5 Revolving Advances may be outstanding at any one time.

5.2.4  The Borrower shall ensure that for a period of at least 10 successive
       days in each of its Financial Years there are no Revolving Advances and
       no Overdraft Outstandings outstanding (on a net basis in relation to any
       net facilities).

5.2.5  Without prejudice to Clause 15, if the Bank gives notice to the Borrower
       at any time to cancel the Revolving Credit Facility pursuant to this
       Clause 5.2.5, the Revolving Credit Facility Limit shall (except to the
       extent the Bank specifies any smaller reductions and/or later dates in
       writing (in which case such smaller reductions and/or later dates shall
       apply)) be automatically reduced by the amount set out in Column 1 below
       at 11.00 a.m. on the date set out opposite such amount in Column 2
       below:-

<TABLE>
<CAPTION>
                Column 1                                                Column 2
                --------                                                --------
         (Amount of Reduction)                                            (Date)
         ---------------------                                            ------
<S>                                                        <C>
      (pound)5,000,000                                      45th day after notice given to Borrower

      (pound)5,000,000                                      90th day after notice given to Borrower

       Amount of the Revolving Credit Facility Limit        120th day after notice given to Borrower
</TABLE>

       For the avoidance of doubt, Clause 9.1.2 shall apply in respect of any
       such cancellation.

5.3    CONDITIONS TO EACH ADVANCE

5.3.1  Subject to Clause 5.3.2, the obligation of the Bank to make an Advance is
       subject to the conditions that on the date on which the relevant Drawdown
       Notice is given and on the relevant Drawdown Date:

       (a)    the representations and warranties in Clause 13 to be repeated on
              those dates are correct and will be correct immediately after the
              Advance is made; and

       (b)    no Default or Potential Default has occurred and is continuing or
              would occur on the making of the Advance.

                                       23

<PAGE>   29

5.3.2  In respect of a Revolving Advance to be made for the sole purpose of
       repaying an outstanding Revolving Advance (or an amount of Overdraft
       Outstanding) in a matching amount, the Revolving Advance shall be made,
       notwithstanding the occurrence and continuation of a Default or a
       Potential Default or any of the representations and warranties to be
       repeated not being correct, unless the Bank shall have served a Default
       Notice.

5.4    DRAWDOWN NOTICE

5.4.1  Whenever the Borrower wishes to draw down an Advance, it shall give a
       duly completed Drawdown Notice to the Bank to be received not later than
       11.00 a.m. on the first Business Day before that Drawdown Date.

5.4.2  A Drawdown Notice shall be irrevocable and the Borrower shall be obliged
       to borrow in accordance with its terms.

6.     THE OPTIONAL OVERDRAFT FACILITY AND THE ANCILLARY FACILITY

6.1    NATURE OF FACILITIES

6.1.1  The Optional Overdraft Facility forms part of the Revolving Credit
       Facility and, subject to the terms of this Agreement, shall be available
       for utilisation by the Borrower, provided that, without prejudice to the
       continued operation of the Revolving Credit Facility, the Optional
       Overdraft Facility may be terminated and cancelled by the Bank at any
       time.

6.1.2  The Optional Overdraft Facility shall be made available by the Bank in a
       maximum amount equal to the Optional Overdraft Limit. Prior to the
       Optional Overdraft Facility being terminated, the Bank shall not transfer
       or assign any of its Revolving Credit Commitment if the relevant transfer
       or assignment would result in it ceasing to have a Revolving Credit
       Commitment at least equal to the Optional Overdraft Limit.

6.1.3  The Ancillary Facility shall be subject to the terms of this Agreement
       and a separate facility letter agreed between the Borrower and the Bank
       which may be varied and amended from time to time.

6.1.4  The Ancillary Facility shall be made available by the Bank in a maximum
       amount equal to the Ancillary Limit.

6.1.5  Each of the Optional Overdraft Facility and the Ancillary Facility shall
       cease to be available on the Final Maturity Date for the Revolving Credit
       Facility or such earlier date on which it is cancelled in accordance with
       the terms of this Agreement.

6.1.6  The Borrower shall complete such mandate and other like documents in
       respect of the Optional Overdraft Facility and the Ancillary Facility as
       the Bank may reasonably require.

6.1.7  The Bank may specify sub-limits from time to time at its discretion on
       the different types of accommodation available under the Ancillary
       Facility.

6.2    UTILISATION OF OPTIONAL OVERDRAFT FACILITY

6.2.1  Subject to the terms of this Agreement, the Bank agrees to make the
       Optional Overdraft Facility available on a revolving basis to the
       Borrower to be utilised on any Business Day

                                       24

<PAGE>   30

       by way of overdraft on usual banking terms including a term that amounts
       outstanding by way of overdraft are repayable on demand.

6.2.2  No utilisation of the Optional Overdraft Facility under Clause 6.2.1
       shall be made if it would result in:

       (a)    the aggregate of (i) all Revolving Advances and (ii) the Overdraft
              Outstandings exceeding the Revolving Credit Facility Limit;

       (b)    the Overdraft Outstandings exceeding the Optional Overdraft Limit;
              or

       (c)    the Gross Overdraft Outstandings exceeding the Gross Optional
              Overdraft Limit.

6.2.3  For the avoidance of doubt, the Bank may, without liability, return
       cheques unpaid if the payment of those cheques would result in a breach
       of Clause 6.2.2.

6.3    UTILISATION OF ANCILLARY FACILITY

6.3.1  Subject to the terms of this Agreement, the Bank agrees to make available
       the Ancillary Facility on a revolving basis to the Borrower to be
       utilised on any Business Day:

       (a)    by way of issue of Guarantees up to an aggregate maximum face
              amount of(pound)1,000,000;

       (b)    by way of FFE Contracts;

       (c)    by way of such other facilities or financial accommodation as the
              Bank and the Borrower may agree.

6.3.2  No utilisation of the Ancillary Facility under Clause 6.3.1 shall be made
       if it would result in the Ancillary Outstandings exceeding the Ancillary
       Limit.

6.3.3  For the avoidance of doubt, Interest Rate Protection Agreements shall not
       be and shall not be deemed to be part of the Ancillary Facilities.

6.4    FFE CONTRACTS

6.4.1  An FFE Contract shall:

       (a)    be on the usual terms of the Bank;

       (b)    be of a duration of not more than 12 months;

       (c)    be on terms that the Bank shall have no obligation to make
              payments under it at any time after the Final Maturity Date unless
              the Bank (in its sole discretion and upon such terms as it
              requires) agrees otherwise; and

       (d)    only be entered into on a Business Day.

6.4.2  All obligations and liabilities owing to the Bank under or in respect of
       an FFE Contract shall be deemed to be obligations and liabilities owing
       to the Bank under this Agreement.

                                       25
<PAGE>   31

6.5    GUARANTEES

6.5.1  The Bank shall not be obliged to issue any Guarantee unless it has
       approved the form of the proposed Guarantee.

6.5.2  No Guarantee shall be issued under which a claim could be made at a time
       after the Final Maturity Date unless the Bank (in its sole discretion and
       upon such terms as it requires) agrees otherwise.

6.5.3  Each Guarantee shall be denominated in Sterling and shall state on its
       face the maximum amount payable under it and its expiry date.

6.5.4  A Guarantee shall only be issued by the Bank on a Business Day.

6.6    COUNTER INDEMNITY FROM THE BORROWER

6.6.1  The Borrower shall:

       (a)    indemnify the Bank and keep the Bank indemnified from and against
              all actions, suits, proceedings, claims, demands, liabilities,
              damages, costs, expenses, losses and charges in relation to or
              arising out of any Guarantee issued on its behalf; and

       (b)    pay to the Bank on demand the amount of all payments made (whether
              directly or by way of set-off, counterclaim or otherwise) and all
              losses, costs and expenses suffered or incurred by the Bank under
              or by reason of each such Guarantee.

6.6.2  The Bank is irrevocably authorised by the Borrower to comply with the
       terms of any demand served or purporting to be served on the Bank
       pursuant to any Guarantee without any reference to, or further authority
       from, the Borrower and without any enquiry into the justification for
       that demand or its validity. Any payment which the Bank shall make in
       accordance or purporting to be in accordance with such a demand shall be
       binding on the Borrower and be accepted by the Borrower as conclusive and
       binding evidence that the Bank was liable to comply with the terms of
       such demand and was liable to do so in the manner and for the amount in
       which the Bank effected such compliance.

6.6.3  The liability of the Borrower under this Clause 6.6 shall not be
       discharged, lessened or impaired by any time being given or by anything
       being done or other circumstance whatsoever which, but for this
       provision, would or might operate to exonerate or discharge the Borrower.

6.6.4  The indemnity contained in this Clause 6.6 shall constitute and be a
       continuing security to the Bank and shall extend to each Guarantee as it
       may be varied, modified, amended or extended.

6.7    INTEREST ON PAYMENTS

       The Borrower shall pay interest on the amount of each payment, loss, cost
       and expense made, suffered or incurred by the Bank under or by reason of
       any Guarantee issued on its behalf from and including the date upon which
       such payment, loss, cost or expense is made, suffered or incurred up to
       and including the date upon which payment or reimbursement of such amount
       is demanded from the Borrower. The amount of such

                                       26

<PAGE>   32

       interest shall be calculated in accordance with Clause 7.4. For the
       avoidance of doubt, interest on sums demanded under Clause 6.6 shall also
       accrue in accordance with Clause 7.4.

7.     INTEREST

7.1    INTEREST RATE

       Interest shall accrue on each Advance from and including the relevant
       Drawdown Date to but excluding the date the Advance is repaid at the rate
       determined by the Bank to be the aggregate of:

       (a)    the Margin;

       (b)    LIBOR; and

       (c)    the Mandatory Cost Rate.

7.2    MARGIN RATCHET

7.2.1  In respect of each Quarter beginning after 31st December 1999, the Margin
       shall reduce or increase in accordance with the other provisions of this
       Clause 7.2, provided that the Margin shall at no time be greater than
       2.00 per cent. per annum or less than 1.25 per cent. per annum.

7.2.2  In this Clause 7.2, "RELEVANT FINANCIAL PERIOD" means, in relation to a
       Quarter, the 12 month period ending on the Quarter Date falling
       immediately before the beginning of that Quarter.

7.2.3  Subject to the other provisions of this Clause 7.2, in respect of a
       Quarter, the Margin shall be 1.75 per cent. per annum if the ratio of
       Debt: Post Restructuring PBIT for the Relevant Financial Period is less
       than 3.25:1.

7.2.4  Subject to the other provisions of this Clause 7.2, in respect of a
       Quarter, the Margin shall be 1.5 per cent. per annum if the ratio of
       Debt: Post Restructuring PBIT for the Relevant Financial Period is less
       than 2.75:1.

7.2.5  Subject to the other provisions of this Clause 7.2, in respect of a
       Quarter, the Margin shall be 1.25 per cent. per annum if the ratio of
       Debt: Post Restructuring PBIT for the Relevant Financial Period is less
       than 2.50:1.

7.2.6  In relation to a Quarter, for the purpose of this Clause 7.2, any
       reduction or increase in the Margin shall be determined on the day
       immediately following receipt by the Bank of the Management Accounts for
       the Accounting Period ending on or about the Quarter Date occurring at
       the end of that Quarter. Any reduction or increase shall, subject to
       Clause 7.2.8, take effect on the fifth Business Day following receipt by
       the Bank of those Management Accounts. If the Borrower does not deliver
       the relevant Management Accounts to the Bank in accordance with the terms
       of Clause 14.1(b), the Margin shall, as from the date immediately
       following the last date on which such Management Accounts should have
       been delivered to the Bank pursuant to Clause 14.1(b) (other than where
       such non-delivery is beyond the control of the Borrower) until the date
       once such Management Accounts have been so delivered, be reinstated to
       2.00 per cent. per annum.

                                       27

<PAGE>   33

7.2.7  Where in respect of any Quarter, the Margin has been adjusted on the
       basis of Management Accounts and the next Accounts delivered to the Bank
       show that such adjustment should not have been made, the said adjustment
       shall be cancelled on the next Interest Date to occur after delivery of
       those Accounts to the Bank and the Borrower and the Bank shall promptly
       make such payments as may be necessary to put themselves in the position
       they would have been in if the correct adjustment had originally been
       made as shown by reference to the Accounts.

7.2.8  Notwithstanding any other term of this Clause 7.2, if a Default has
       occurred and is continuing, the Margin shall be 2.00 per cent. per annum
       and any decrease which would otherwise have applied shall not take effect
       unless and until such Default ceases to be continuing or is waived in
       writing by the Bank.

7.2.9  Notwithstanding any other term of this Clause 7.2, the maximum reduction
       in the Margin from one Quarter to the next Quarter shall be 0.25 per
       cent. per annum.

7.2.10 For the avoidance of doubt, if in respect of any Quarter of the Borrower,
       none of the conditions set out in Clause 7.2.3 to 7.2.6 (inclusive) are
       satisfied in relation to the Relevant Financial Period, the Margin for
       that Quarter shall be 2.00 per cent. per annum.

7.3    INTEREST PERIODS

7.3.1  Interest payable on each Advance shall be calculated by reference to
       Interest Periods of 1, 3 or 6 months duration (or such other Interest
       Period as the Bank, may allow) as selected by the Borrower in accordance
       with this Clause 7.3 provided that each Interest Period ending on or
       before 30th April 1998 shall be of one month's duration.

7.3.2  The Borrower shall select an Interest Period for a Revolving Advance in
       the relevant Drawdown Notice. The Borrower may select an Interest Period
       for a Term Advance in either the Drawdown Notice (in the case of the
       first Interest Period for that Advance) or (in the case of any subsequent
       Interest Period for that Advance) by notice received by the Bank no later
       than 3 Business Days before the commencement of that Interest Period.

7.3.3  In respect of Term Advances, interest shall be calculated by reference to
       successive Interest Periods. The first Interest Period for a Term Advance
       shall begin on the Drawdown Date of that Advance. Each succeeding
       Interest Period for that Advance shall begin on the Interest Date of the
       previous Interest Period.

7.3.4  The Borrower may, by notice to the Bank at least 3 Business Days before
       an Interest Date relating to a Term Advance, elect that that Term Advance
       be split into two or more Term Advances of at least (pound)1,000,000 each
       (and being multiples of (pound)500,000) or such lesser amount equal to
       the amount of the Instalment falling due on the next Instalment Repayment
       Date. Any such notice shall specify the Interest Periods applicable to
       those Term Advances and shall take effect in accordance with its terms
       from that Interest Date, provided that there shall not be more than 5
       Term Advances outstanding at any one time.

7.3.5  Subject to the other terms of this Agreement, if the Interest Periods for
       two or more Term Advances end on the same day those Term Advances shall
       be deemed to be a single Term Advance from that day.

7.3.6  If the Borrower fails to select an Interest Period for an Advance in
       accordance with Clause 7.3.2, that Interest Period shall, subject to the
       other provisions of this Clause 7, be 3 months.

                                       28

<PAGE>   34

7.3.7  If an Interest Period would otherwise end on a day which is not a
       Business Day, that Interest Period shall instead end on the next Business
       Day in the same calendar month (if there is one) or the preceding
       Business Day (if there is not).

7.3.8  If an Interest Period begins on the last Business Day in a calendar month
       or on a Business Day for which there is no numerically corresponding day
       in the calendar month in which that Interest Period is to end, it shall
       end on the last Business Day in that later calendar month.

7.3.9  In respect of Term Advances, the Borrower shall select such Interest
       Periods to ensure that, on each Instalment Repayment Date, there are Term
       Advances with an Interest Period ending on that Instalment Repayment Date
       which are, in aggregate, at least equal to the Instalment due on that
       Instalment Repayment Date.

7.3.10 If an Interest Period for an Advance would otherwise extend beyond the
       Final Maturity Date, it shall be shortened so that it ends on the Final
       Maturity Date.

7.4    DEFAULT INTEREST

7.4.1  If the Borrower fails to pay any amount payable under any Financing
       Document on the due date, it shall pay default interest on the overdue
       amount from the due date to the date of actual payment calculated by
       reference to successive Interest Periods (each of such duration as the
       Bank may select and the first beginning on the relevant due date) at the
       rate per annum being the aggregate of (a) 2 per cent. per annum, (b) the
       Margin, (c) LIBOR and (d) the Mandatory Cost Rate.

7.4.2  So long as the overdue amount remains unpaid, the default interest rate
       shall be recalculated in accordance with the provisions of this Clause
       7.4 on the last day of each such Interest Period and any unpaid interest
       shall be compounded at the end of each Interest Period.

7.5    INTEREST, COMMISSION AND FEES UNDER THE OPTIONAL OVERDRAFT FACILITY AND
       ANCILLARY FACILITY

7.5.1  Interest on all amounts outstanding by way of overdraft under the
       Optional Overdraft Facility shall accrue at the rate per annum which is
       the aggregate of:

       (a)    the Margin; and

       (b)    the most recently published base rate of the Bank.

7.5.2  Interest under Clause 7.5.1 on amounts outstanding by way of overdraft
       shall be paid by the Borrower to the Bank on the Bank's usual quarterly
       charging days and the Final Maturity Date.

7.5.3  In respect of each Guarantee, the Borrower shall pay a commission to the
       Bank on the Guaranteed Amount of that Guarantee at a rate per annum equal
       to the Margin. Such commission shall be paid in advance in accordance
       with the Bank's usual practice.

7.5.4  In respect of each FFE Contract, the Borrower shall pay fees and
       commissions to the Bank in accordance with the Bank's usual charging
       scales as notified to the Borrower from time to time for entering into
       forward foreign exchange contracts.

                                       29

<PAGE>   35

7.5.5  The Bank may debit all interest, fees and commissions payable by the
       Borrower under this Clause 7.5 to any account held by the Borrower with
       the Bank.

7.6    CALCULATION AND PAYMENT OF INTEREST

7.6.1  At the beginning of each Interest Period, the Bank shall notify the
       Borrower of the duration of the Interest Period and the rate and amount
       of interest payable for the Interest Period (but in the case of any
       default interest calculated under Clause 7.4, any such notification need
       not be made more frequently than weekly).

7.6.2  Interest due from the Borrower under this Agreement shall:

       (a)    accrue from day to day at the rate calculated under this Clause 7;

       (b)    except as otherwise provided in this Agreement, be paid by the
              Borrower to the Bank in arrear on the last day of each Interest
              Period, provided that for any Interest Period which is for longer
              than 3 months, the Borrower shall pay interest 3 monthly in arrear
              during that Interest Period;

       (c)    be calculated on the basis of the actual number of days elapsed
              and a 365 day year; and

       (d)    be payable both before and after judgment.

8.     REPAYMENT AND PREPAYMENT

8.1    REPAYMENT OF TERM LOAN

8.1.1  The Borrower shall repay the Term Loan by payment to the Bank on or up to
       45 days before each date set out in Column 1 of Part I of Schedule 5
       (each date being an "INSTALMENT REPAYMENT DATE") of the amount (each an
       "INSTALMENT") set out in Column 2 of Part I of Schedule 5 opposite the
       relevant Instalment Repayment Date (so that the Term Loan is repaid in
       full on or before the Final Maturity Date).

8.1.2  The Borrower shall make additional repayments ("PERFORMANCE REPAYMENTS")
       of the Term Loan on the dates and subject to the conditions specified in
       Part II of Schedule 5 provided that if the relevant date is not an
       Interest Date of the Term Loan the Borrower shall procure that:-

       (a)    the relevant Performance Repayment is made on the next Interest
              Date relating to the Term Loan and to the extent that the
              Performance Repayment exceeds (after repayment of any Instalment
              which is repayable on such Interest Date) the amount of the Term
              Advance(s) whose Interest Date(s) expire on that date, the next
              succeeding Interest Date(s)); and

       (b)    pending any such Performance Repayment, an amount equal to the
              required Performance Repayment is credited to a bank account
              ("Proceeds Account") held with the Bank.

8.1.3  Each Performance Repayment shall be applied against unpaid Instalments in
       inverse order to maturity and the Borrower authorises the Bank to apply
       relevant amounts standing to the

                                       30
<PAGE>   36

       credit of the Proceeds Account in fulfilment of the Borrower's
       obligations under Clause 8.1.2.

8.1.4  The Borrower shall on or before 31st May 1999 prepay all or part of one
       or more Term Advances, equal in aggregate to:

       (a)    in the event that the Required Disposal takes place on or before
              31st May 1999, the sum of (pound)3,500,000 minus the amount (if a
              lesser figure) of Disposal Proceeds in respect of the Required
              Disposal applied in prepayment (or credited to a Proceeds Account
              in accordance with Clause 8.3.1(b)) of the Term Loan pursuant to
              Clause 8.3.1 on or before 31st May 1999; or

       (b)    in the event that the Required Disposal does not take place on or
              before 31st May 1999, (pound)2,500,000,

       where "REQUIRED DISPOSAL" means a sale of the Property numbered 1 in
       Schedule 7.

8.1.5  The Borrower shall immediately on receipt pay 50% of the net proceeds of
       its legal claim relating to the benzene contamination which occurred in
       1998 to the Bank in prepayment of the Term Loan and the balance shall be
       paid into the Borrower's current account with the Bank.

8.1.6  Each prepayment pursuant to Clause 8.1.4 shall be applied against unpaid
       Instalments in inverse order to maturity and each prepayment pursuant to
       Clause 8.1.5 shall be applied against unpaid Instalments pro rata.

8.2    REPAYMENT OF REVOLVING ADVANCES

8.2.1  Subject to Clause 8.2.3, each Revolving Advance shall be repaid in full
       on the Interest Date of the Interest Period relating to that Revolving
       Advance.

8.2.2  Subject to the terms of this Agreement, any amounts repaid under Clause
       8.2.1 may be re-borrowed.

8.2.3  If all or part of an existing Revolving Advance made to the Borrower is
       to be repaid from the proceeds of all or part of a new Revolving Advance
       to be made to the Borrower, then, as between the Bank and the Borrower,
       the amount to be repaid by the Borrower shall be set off against the
       amount to be advanced by the Bank in relation to the new Revolving
       Advance and the party to whom the smaller amount is to be paid shall pay
       to the other party a sum equal to the difference between the two amounts.

8.2.4  Subject to Clauses 8, 10 and 11 the Borrower may not prepay any Revolving
       Advance before the end of its Interest Period.

8.3    MANDATORY PREPAYMENT OF DISPOSAL PROCEEDS

8.3.1  The Borrower shall procure that:

       (a)    the Disposal Proceeds of any Disposal (other than those set out in
              Clause 14.3(b)) made by a Group Company are applied in prepayment
              of the Term Loan on the next Interest Date relating to the Term
              Loan (and to the extent that the Disposal Proceeds exceed (after
              repayment of any Instalment which is

                                       31

<PAGE>   37

              repayable on such Interest Date) the amount of the Term Advance(s)
              whose Interest Date(s) expire on that date, the next succeeding
              Interest Date(s)); and

       (b)    pending any such prepayment, the relevant Disposal Proceeds are
              credited to the Proceeds Account.

8.3.2  The Borrower authorises the Bank to apply relevant amounts standing to
       the credit of the Proceeds Account in fulfilment of the Borrower's
       obligations under Clause 8.3.1(a).

8.4    MANDATORY PREPAYMENT OF EXTRAORDINARY PROCEEDS

       The Borrower shall procure that:

       (a)    all Extraordinary Proceeds of Group Companies are applied in
              repayment of the Term Loan on each Interest Date for a Term
              Advance immediately following each date on which the relevant
              Extraordinary Proceeds are received by a Group Company (and to the
              extent that the Extraordinary Proceeds exceed (after repayment of
              any Instalment which is repayable on such Interest Date) the
              amount of the Term Advance(s) whose Interest Date(s) expire on
              that date, the next succeeding Interest Date(s)) provided that,
              for the purposes of this Clause 8.4 no account shall be taken,
              during any Financial Year of the Borrower, of Extraordinary
              Proceeds received by the Borrower in that Financial Year which do
              not exceed(pound)50,000; and

       (b)    pending any such prepayment, the relevant Extraordinary Proceeds
              are credited to a bank account (an "EXTRAORDINARY PROCEEDS
              ACCOUNT") held with the Bank.

8.5    MANDATORY PREPAYMENT ON CHANGE OF CONTROL, SALE OR LISTING

8.5.1  Notwithstanding Clauses 8.1 and 8.2, if so required by the Bank, on any
       date a Sale or a Listing occurs or the date falling 30 days after any
       Change of Control occurs (each a "PREPAYMENT DATE"):

       (a)    the Term Loan shall be repaid in full;

       (b)    all Revolving Advances shall be repaid in full; and

       (c)    any amount outstanding by way of overdraft under the Optional
              Overdraft Facility shall be repaid in full; and

       (d)    the Bank's obligations under this Agreement shall be terminated
              and its Commitments shall be cancelled.

8.5.2  On a Prepayment Date, the Borrower shall in respect of each Guarantee
       issued on its behalf:

       (a)    use its reasonable endeavours to procure the release of the Bank
              from each such Guarantee; and

       (b)    without prejudice to paragraph (a) above, pay to the credit of
              such account as the Bank shall stipulate an amount equal to the
              Guaranteed Amount of that

                                       32

<PAGE>   38

              Guarantee and charge such account in favour of the Bank in such
              manner and on such terms as the Bank may stipulate.

8.5.3  On a Prepayment Date, each outstanding FFE Contract shall, if the Bank so
       specifies, be terminated and closed out. Upon such termination and
       close-out, the Bank shall determine in good faith the applicable closing
       gain or loss payable by or to it for the outstanding FFE Contracts,
       calculated by reference to the netting of the respective amounts in each
       currency which the Bank is contracted to deliver and receive under all
       such FFE Contracts. Any amount payable to the Bank or to the Borrower in
       respect of the FFE Contracts pursuant to this Clause 8.5.3 shall, subject
       to all rights of set-off, be immediately due and payable upon such
       termination and close-out.

8.5.4  The Borrower shall give the Bank at least 30 days' prior notice of the
       date upon which a Sale or Listing is proposed to occur and shall notify
       the Bank as soon as the Borrower becomes aware that a Change of Control
       is proposed to occur.

8.5.5  Any prepayment shall be made together with accrued interest on the amount
       prepaid and any amounts payable under Clause 22.1.

8.6    VOLUNTARY PREPAYMENT OF TERM LOAN

8.6.1  The Borrower may, by giving the Bank not less than 5 Business Days' prior
       written notice, prepay the whole or part (but if in part, in a minimum
       amount of (pound)1,000,000 and an integral multiple of (pound)500,000) of
       any Term Advance at any time, but subject always to Clause 22.

8.6.2  Any notice of prepayment shall be irrevocable, shall specify the date on
       which the prepayment is to be made and the amount of the prepayment, and
       shall oblige the Borrower to make that prepayment.

8.6.3  Any prepayment shall be made together with accrued interest on the amount
       prepaid and any amounts payable under Clause 22.1.

8.7    NO RE-BORROWING OF TERM LOAN

       Any amount repaid or prepaid in relation to the Term Loan may not be
       re-borrowed and shall reduce rateably the Bank's Term Loan Commitment.

8.8    APPLICATION OF PREPAYMENTS

       Each prepayment of the Term Loan under this Clause 8 shall be applied
       against the unpaid Instalments pro rata (other than repayment of an
       Instalment made up to 45 days before the relevant Instalment Repayment
       Date).

9.     CANCELLATION OF REVOLVING CREDIT FACILITY AND ANCILLARY FACILITY

9.1    CANCELLATION OF REVOLVING CREDIT FACILITY

9.1.1  The Borrower may, by giving the Bank not less than 5 Business Days' prior
       written notice, cancel all or part of the Available Revolving Credit
       Facility, including any unutilised part

                                       33
<PAGE>   39

       of the Optional Overdraft Facility (but if in part, in a minimum amount
       of (pound)1,000,000 and an integral multiple of (pound)500,000).

9.1.2  The Borrower may not utilise any part of the Revolving Credit Facility
       which has been cancelled. Any cancellation of the Revolving Credit
       Facility shall reduce the Bank's Revolving Credit Commitment rateably and
       shall reduce the Revolving Credit Facility Limit by the aggregate amount
       so cancelled. Any cancellation of the Optional Overdraft Facility shall
       reduce the Optional Overdraft Limit by the aggregate amount so cancelled.
       Any amount cancelled may not be reinstated.

9.2    CANCELLATION OF ANCILLARY FACILITY

       The Borrower may, by giving the Bank not less than 5 Business Days' prior
       written notice, cancel all or part of the Available Ancillary Facility
       and the Ancillary Limit shall be reduced accordingly. Any amount
       cancelled may not be reinstated.

9.3    NOTICE

       Any notice of cancellation shall be irrevocable and shall specify the
       date on which the cancellation shall take effect and the amount of the
       cancellation.

9.4    LIMITATION

       The Borrower may not cancel all or part of the Revolving Credit Facility
       or the Ancillary Facility except as expressly provided in this Agreement.

10.    CHANGES IN CIRCUMSTANCES

10.1   ILLEGALITY

10.1.1 If it is or becomes illegal for the Bank to maintain all or part of its
       Commitment in all or any part of the Facilities, then:

       (a)    the Bank shall notify the Borrower; and

       (b)    (i)    the Commitment of the Bank shall be cancelled immediately;
                     and

              (ii)   the Borrower shall prepay to the Bank all Advances
                     (together with accrued interest on the amount prepaid and
                     all other amounts owing to that Bank under this Agreement)
                     within 5 Business Days of demand by the Bank (or, if
                     permitted by the relevant law, on the last day of the
                     Interest Period of the relevant Advances).

       Any such prepayment under paragraph (ii) above shall be subject to
       Clause 22.

10.1.2 If it is or becomes illegal for the Bank to issue or leave outstanding
       any Guarantee, the Ancillary Facility shall cease to be available for the
       issue of Guarantees and the Borrower shall use their best endeavours to
       procure the release of each Guarantee outstanding at such time.

                                       34

<PAGE>   40

10.2   INCREASED COSTS

10.2.1 If, after the date of this Agreement, a Change occurs which causes an
       Increased Cost (as defined in Clause 10.2.3) to the Bank (or any company
       of which the Bank is a Subsidiary) then the Borrower shall pay (as
       additional interest) to the Bank within 5 Business Days of demand all
       amounts which the Bank certifies to be necessary to compensate it (or any
       company of which that Bank is a Subsidiary) for the Increased Cost.

10.2.2 Any demand made under Clause 10.2.1 shall set out in reasonable detail so
       far as is practicable the basis of computation of the Increased Cost.

10.2.3 In this Clause 10.2:

       "INCREASED COST" means any cost to, or reduction in the amount payable
       to, or reduction in the return on capital or regulatory capital achieved
       by, the Bank (or any company of which the Bank is a Subsidiary) to the
       extent that it arises, directly or indirectly, as a result of the Change
       and is attributable to the Commitment of the Bank or the funding of any
       Advance including:

       (a)    any Tax Liability (other than Tax on Overall Net Income) incurred
              by the Bank;

       (b)    any changes in the basis or timing of Taxation of the Bank in
              relation to its Commitment or Participation in the Facilities or
              to the funding of any Advance;

       (c)    the cost to the Bank (or any company of which the Bank is a
              Subsidiary) of complying with, or the reduction in the amount
              payable to or reduction in the return on capital or regulatory
              capital achieved by the Bank (or any company of which the Bank is
              a Subsidiary) as a result of complying with, any capital adequacy
              or similar requirements howsoever arising, including as a result
              of an increase in the amount of capital to be allocated to any
              Facility or of a change to the weighting of the Bank's Commitment;
              and

       (d)    the cost to the Bank of complying with any reserve, cash ratio,
              special deposit or liquidity requirements (or any other similar
              requirements).

       "TAX LIABILITY" means, in respect of any person:

       (a)    any liability or any increase in the liability of that person to
              make any payment of or in respect of Tax;

       (b)    the loss of any relief, allowance, deduction or credit in respect
              of Tax which would otherwise have been available to that person;

       (c)    the setting off against income, profits or gains or against any
              Tax liability of any relief, allowance, deduction or credit in
              respect of Tax which would otherwise have been available to that
              person; and

       (d)    the loss or setting off against any Tax liability of a right to
              repayment of Tax which would otherwise have been available to that
              person.

       For the purposes of this definition of "Tax Liability", any question of
       whether or not any relief, allowance, deduction, credit or right to
       repayment of Tax has been lost or set off,

                                       35

<PAGE>   41

       and if so, the date on which that loss or set-off took place, shall be
       conclusively determined by the relevant person's auditors.

       "TAX ON OVERALL NET INCOME" means, in relation to the Bank, Tax (other
       than Tax deducted or withheld from any payment) imposed on the net
       profits of the Bank by the jurisdiction in which its Lending Office or
       its head office is situated.

10.2.4 The Borrower shall not be obliged to make a payment in respect of an
       Increased Cost under this Clause 10.2 if and to the extent that the
       Increased Cost has been compensated for by the payment of Mandatory Cost
       Rate or the operation of Clause 11.8 or would have been so compensated
       but for the operation of Clause 11.8.3.

10.2.5 If the Borrower is required to pay any amount to the Bank under this
       Clause 10.2, then, without prejudice to that obligation and so long as
       the circumstances giving rise to the relevant Increased Cost are
       continuing and subject to the Borrower giving the Bank not less than 5
       Business Days' prior written notice (which shall be irrevocable), the
       Borrower may prepay all, but not part, of the Bank's Commitment together
       with accrued interest on the amount prepaid. Any such prepayment shall be
       subject to Clause 22.1. On any such prepayment the Commitment of the Bank
       shall be automatically cancelled.

10.3   MARKET DISRUPTION

10.3.1 If, in relation to an Advance and a particular Interest Period the Bank
       determines that, because of circumstances affecting the London interbank
       market generally, reasonable and adequate means do not exist for
       ascertaining LIBOR for that Advance for that Interest Period the Bank
       shall promptly notify the Borrower of that event (such notice being a
       "MARKET DISRUPTION NOTICE").

10.3.2 If a market disruption notice applies to a proposed Advance, that Advance
       shall not be made. Instead, the Bank and the Borrower shall immediately
       enter into negotiations for a period of not more than 30 days with a view
       to agreeing a substitute basis for calculating the interest rate for the
       Advance or for funding the Advance. Any substitute basis agreed by the
       Bank and the Borrower shall take effect in accordance with its terms and
       be binding on all the Parties.

10.3.3 If a market disruption notice applies to an outstanding Term Advance,
       then:

       (a)    the Bank and the Borrower shall immediately enter into
              negotiations for a period of not more that 30 days with a view to
              agreeing a substitute basis for calculating the rate of interest
              for the Advance or for funding the Advance;

       (b)    any substitute basis agreed under Clause 10.3.3(a) by the Bank and
              the Borrower shall take effect in accordance with its terms and be
              binding on all the Parties;

       (c)    if no substitute basis is agreed under Clause 10.3.3(a), then,
              subject to Clause 10.3.4, the Bank shall certify before the last
              day of the Interest Period to which the market disruption notice
              relates a substitute basis for maintaining the Advance which shall
              reflect the cost to the Bank of funding the Advance from whatever
              sources it selects plus the Margin and Mandatory Cost Rate; and

       (d)    each substitute basis so certified shall be binding on the
              Borrower and the Bank and treated as part of this Agreement.

                                       36
<PAGE>   42

10.3.4 If no substitute basis is agreed under Clause 10.3.3(a), then, so long as
       the circumstances giving rise to the market disruption notice continue
       and subject to the Borrower giving the Bank not less than 5 Business
       Days' prior written notice (which shall be irrevocable), the Borrower may
       prepay the Advance to which the market disruption notice applies together
       with accrued interest on the amount prepaid. Any such prepayment shall be
       subject to Clause 22.

10.4   MITIGATION

10.4.1 If any circumstances arise in respect of the Bank which would, or upon
       the giving of notice would, result in the operation of Clause 10.1, 10.2,
       10.3 or 11.8 to the detriment of the Borrower, then the Bank shall:

       (a)    promptly upon becoming aware of those circumstances and their
              results, notify the Borrower; and

       (b)    in consultation with the Borrower, take all such steps as it
              determines are reasonably open to it to mitigate the effects of
              those circumstances (including consulting with the Borrower with a
              view to transferring some or all of its rights and obligations
              under this Agreement to another bank or other financial
              institution acceptable to the Borrower) in a manner which will
              avoid the circumstances in question and on terms acceptable to the
              Borrower and the Bank,

       provided that the Bank shall not be obliged to take any steps which in
       its opinion would or might have an adverse effect on its business or
       financial condition or the management of its Tax affairs or cause it to
       incur any material costs or expenses.

10.4.2 Nothing in this Clause 10.4 shall limit, reduce, affect or otherwise
       qualify the rights of the Bank or the obligations of the Borrower under
       Clauses 10.1, 10.2, 10.3 and 11.8.

10.5   CERTIFICATES

       The certificate or notification of the Bank as to any of the matters
       referred to in this Clause 10 shall be in reasonable detail and shall be
       conclusive and binding on the Borrower except for any manifest error.

11.    PAYMENTS

11.1   PLACE AND TIME

       All payments to be made by the Borrower in relation to this Agreement
       shall be made to the Bank's account (number 0002727) at Treasury
       Division, Faryners House, PO Box 545, 25 Monument Street, London EC3R 3BP
       (sort code 30-15-57) quoting reference "Loans Admin re: Cott Beverages
       Ltd" or such other account at such office or bank in London as the Bank
       may notify the Borrower for this purpose, provided that all payments to
       be made by the Borrower to the Bank in relation to the Optional Overdraft
       Facility or the Ancillary Facility shall be made in accordance with usual
       procedures for the operation of the Optional Overdraft Facility or, as
       the case may be, the Ancillary Facility.

                                       37

<PAGE>   43

11.2   FUNDS

       All payments to the Bank under this Agreement shall be made for value on
       the due date in freely transferable and readily available funds.

11.3   BUSINESS DAYS

       If a payment under this Agreement is due on a day which is not a Business
       Day, the due date for that payment shall instead be the next Business Day
       in the same calendar month (if there is one) or the preceding Business
       Day (if there is not).

11.4   CURRENCY

       All payments relating to costs, losses, expenses or Taxes shall be made
       in the currency in which the relative costs, losses, expenses or Taxes
       were incurred. Any other amount payable under this Agreement shall,
       except as otherwise provided, be made in Sterling.

11.5   ACCOUNTS AS EVIDENCE

       The Bank shall maintain in accordance with its usual practice an account
       which shall, as between the Borrower and the Bank, be prima facie
       evidence of the amounts from time to time advanced by, owing to, paid and
       repaid to the Bank under this Agreement.

11.6   PARTIAL PAYMENTS

11.6.1 If the Bank receives a payment insufficient to discharge all the amounts
       then due and payable by the Borrower under this Agreement, the Bank shall
       apply that payment towards the obligations of the Borrower in the
       following order:

       (a)    first, in or towards payment pro rata of any accrued interest due
              by the Borrower but unpaid under this Agreement;

       (b)    second, in or towards payment pro rata of any principal due by the
              Borrower but unpaid under this Agreement; and

       (c)    third, in or towards payment pro rata of any other sum due by the
              Borrower but unpaid under the Financing Documents.

11.6.2 Clauses 11.6.1 shall override any appropriation made by the Borrower.

11.7   SET-OFF AND COUNTERCLAIM

       All payments by the Borrower under this Agreement shall be made without
       set-off or counterclaim.

11.8   GROSSING-UP

11.8.1 Subject to Clause 11.8.2, all sums payable to the Bank pursuant to or in
       connection with any Financing Document shall be paid in full free and
       clear of all deductions or withholdings whatsoever except only as may be
       required by law.

                                       38

<PAGE>   44

11.8.2 If any deduction or withholding is required by law in respect of any
       payment due from the Borrower to the Bank pursuant to or in connection
       with any Financing Document, the Borrower shall:

       (a)    ensure or procure that the deduction or withholding is made and
              that it does not exceed the minimum legal requirement therefor;

       (b)    pay, or procure the payment of, the full amount deducted or
              withheld to the relevant Taxation or other authority in accordance
              with the applicable law;

       (c)    increase the payment in respect of which the deduction or
              withholding is required so that the net amount received by the
              payee (which expression when used in this Clause 11.8.2 shall mean
              the Bank) after the deduction or withholding (and after taking
              account of any further deduction or withholding which is required
              to be made as a consequence of the increase) shall be equal to the
              amount which the payee would have been entitled to receive in the
              absence of any requirement to make any deduction or withholding;
              and

       (d)    promptly deliver or procure the delivery to the relative payee of
              receipts evidencing each deduction or withholding which has been
              made.

11.8.3 The Borrower shall not be required to pay an additional amount under this
       Clause 11.8 if the payment in respect of which the deduction or
       withholding is required is a payment of interest on an Advance and:

       (a)    at the time that Advance was made, the Bank was not a Qualifying
              Bank otherwise than as a consequence of a Change occurring after
              the date of this Agreement (and the obligation to deduct or
              withhold would not have arisen if that Advance had been made by a
              Qualifying Bank); or

       (b)    at the time when the interest is paid, the Bank is not
              beneficially entitled to it or, being beneficially entitled to it,
              the Bank is not within the charge to United Kingdom corporation
              tax as respects it otherwise than as a consequence of a Change
              occurring after the date of this Agreement (and the obligation to
              deduct or withhold would not have arisen if the Bank had been
              beneficially entitled to the interest and had been within the
              charge to United Kingdom corporation tax as respects it).

11.8.4 If the Bank determines, in its absolute discretion, that it has received,
       realised, utilised and retained a Tax benefit by reason of any deduction
       or withholding in respect of which the Borrower has made an increased
       payment under this Clause 11.8, the Bank shall pay to the Borrower (to
       the extent that that Bank can do so without prejudicing the amount of the
       benefit or repayment and the right of the Bank to obtain any other
       benefit, relief or allowance which may be available to it) such amount,
       if any, as the Bank, in its absolute discretion shall determine, will
       leave the Bank in no worse position than it would have been in if the
       deduction or withholding had not been required, provided that:

       (a)    the Bank shall have an absolute discretion as to the time at which
              and the order and manner in which it realises or utilises any Tax
              benefit and shall not be obliged to arrange its business or its
              Tax affairs in any particular way in order to be eligible for any
              credit or refund or similar benefit;

       (b)    the Bank shall not be obliged to disclose any information
              regarding its business, Tax affairs or Tax computations;

                                       39

<PAGE>   45

       (c)    if the Bank has made a payment to the Borrower pursuant to this
              Clause 11.8.4 on account of any Tax benefit and it subsequently
              transpires that the Bank did not receive that Tax benefit, or
              received a lesser Tax benefit, the Borrower shall, on demand, pay
              to the Bank such sum as the Bank may determine as being necessary
              to restore its after-tax position to that which it would have been
              had no adjustment under this Clause 11.8.4 been made. Any sums
              payable by the Borrower to the Bank under this Clause 11.8.4 shall
              be subject to Clause 17.6.

11.8.5 The Bank shall not be obliged to make any payment under Clause 11.8.4 if,
       by doing so, it would contravene the terms of any applicable law or any
       notice, direction or requirement of any governmental or regulatory
       authority (whether or not having the force of law).

11.8.6 If the Borrower is required to make an increased payment for the account
       of the Bank under Clause 11.8.3, then, without prejudice to that
       obligation and so long as such requirement exists and subject to the
       Borrower giving the Bank not less than 5 Business Days' prior written
       notice (which shall be irrevocable), the Borrower may prepay all, but not
       part, of the Advances together with accrued interest on the amount
       prepaid. Any such prepayment shall be subject to Clause 22 (Indemnities).
       On any such prepayment the Commitment of the Bank shall be automatically
       cancelled.

12.    SECURITY

12.1   SECURITY DOCUMENTS

       The obligations and liabilities of the Borrower to the Bank under the
       Financing Documents shall be secured by the interests and rights granted
       in favour of the Bank under the Security Documents.

12.2   INTEREST RATE PROTECTION AGREEMENTS

       All obligations and liabilities of the Borrower to the Bank under or in
       connection with any Interest Rate Protection Agreement shall be treated,
       for all purposes (other than Clause 11.7), as obligations and liabilities
       incurred under this Agreement and, for the avoidance of doubt, the
       Borrower's obligations and liabilities under any Interest Rate Protection
       Agreement shall be secured obligations and liabilities under the
       Debenture ranking pari passu with the obligations of the Borrower under
       this Agreement.

12.3   RELEASE OF SECURITY ON DISPOSALS

       In respect of any Disposal made by a Group Company which falls within
       paragraphs (i) to (v) of Clause 14.3(b) the Bank shall on the completion
       of that Disposal release, at the cost and expense of the Borrower, from
       the Security Documents, the assets which are the subject of that
       Disposal.

12.4   VENDOR COLLATERAL ACCOUNT

       The Bank shall on or before 31 January 2000 and provided that no Default
       or Potential Default has then occurred and is continuing release from the
       Vendor Collateral Account to the Borrower's current account with the Bank
       any amounts standing to the credit of the Vendor Collateral Account and
       such account shall thereupon be closed.

                                       40

<PAGE>   46

13.    REPRESENTATIONS AND WARRANTIES

13.1   REPRESENTATIONS AND WARRANTIES

       The Borrower represents and warrants to the Bank that:

       (a)    STATUS: each Group Company is a limited company duly incorporated
              under the laws of England and Wales, and it possesses the capacity
              to sue and be sued in its own name and has the power to carry on
              its business and to own its property and other assets;

       (b)    POWERS AND AUTHORITY: each Group Company has power to execute,
              deliver and perform its obligations under the Transaction
              Documents to which it is party and to carry out the transactions
              contemplated by those documents and all necessary corporate,
              shareholder and other action has been or will be taken to
              authorise the execution, delivery and performance of the same;

       (c)    BINDING OBLIGATIONS: subject to the Reservations, the obligations
              of each Group Company under the Transaction Documents to which it
              is party constitute its legal, valid, binding and enforceable
              obligations;

       (d)    CONTRAVENTIONS: the execution, delivery and performance by each
              Group Company of the Transaction Documents to which it is party
              does not:

              (i)    contravene any applicable law or regulation or any order of
                     any governmental or other official authority, body or
                     agency or any judgment, order or decree of any court having
                     jurisdiction over it;

              (ii)   conflict with, or result in any breach of any of the terms
                     of, or constitute a default under, (x) any agreement or
                     other instrument to which it is a party or any licence or
                     other authorisation to which it is subject or by which it
                     or any of its property is bound or (y) any Cott Notes
                     Document; or

              (iii)  contravene or conflict with the provisions of its
                     memorandum and articles of association;

       (e)    INSOLVENCY: no Group Company has taken any action nor have any
              steps been taken or legal proceedings been started or threatened
              against it for winding-up, dissolution or re-organisation, the
              enforcement of any Encumbrance over its assets or for the
              appointment of a receiver, administrative receiver, or
              administrator, trustee or similar officer of it or of any of its
              assets;

       (f)    NO DEFAULT: no Group Company is (nor would be with any of the
              giving of notice, the lapse of time, the determination of
              materiality, or the satisfaction of any other condition) in breach
              of or in default under any agreement to which it is a party or
              which is binding on it or any of its assets;

       (g)    LITIGATION: no action, litigation, arbitration or administrative
              proceeding has been commenced, or, to the best of the Borrower's
              information, knowledge and belief, is pending or threatened,
              against any Group Company which, if decided

                                       41

<PAGE>   47

              adversely, would result in an award or judgment being made against
              the relevant Group Company for an amount in excess of
              (pound)250,000 nor is there subsisting any unsatisfied judgment or
              award given against any of them by any court, arbitrator or other
              body;

       (h)    ACCOUNTS:

              (i)    the Original Accounts and each of the latest Accounts of
                     the Group Companies required to be delivered under Clause
                     14.1(a) is prepared in accordance with GAAP and gives a
                     true and fair view of the financial position of the
                     relevant company as at the date to which they were prepared
                     and for the Financial Year of that company then ended; and

              (ii)   each of the latest set of Management Accounts required to
                     be delivered under Clause 14.1(b) shows with reasonable
                     accuracy the financial position of each of the Group
                     Companies during the period to which it relates;

       (i)    ENCUMBRANCES: no Encumbrance other than a Permitted Encumbrance
              exists over all or any part of the assets of any Group Company;

       (j)    NO ENCUMBRANCES CREATED: the execution of the Transaction
              Documents by the Borrower and the exercise of each of its rights
              and the performance of each of its obligations under the
              Transaction Documents will not result in the creation of, or any
              obligation to create, any Encumbrance over or in respect of any of
              its assets;

       (k)    AUTHORISATIONS: other than registrations at the Land Registry, the
              giving of notice in respect of any contracts being assigned, the
              stamping of the Acquisition Documents and the filing of the
              statutory declarations referred to in paragraph 1(d) in Schedule
              1, all authorisations, approvals, licences, consents, filings,
              registrations, payment of duties or taxes and notarisations
              required:

              (i)    for the conduct of the business, trade and ordinary
                     activities of each Group Company;

              (ii)   for the performance and discharge of the obligations of the
                     Group Companies under the Transaction Documents; and

              (iii)  in connection with the execution, delivery, validity,
                     enforceability or admissibility in evidence of the
                     Transaction Documents,

                         are in full force and effect;

       (l)    TAXES: each Group Company has complied in all material respects
              with all Taxation laws in all jurisdictions in which it is subject
              to Taxation and has paid all Taxes due and payable by it and no
              claims are being asserted against it in respect of Taxes except
              for assessments in relation to the ordinary course of its business
              or claims contested in good faith and in respect of which adequate
              provision has been made and disclosed in the latest Accounts or
              other information delivered to the Bank under this Agreement;

                                       42

<PAGE>   48

       (m)    INFORMATION PACKAGE: to the best of the Borrower's information,
              knowledge and belief:

              (i)    the factual information contained in the Information
                     Package was, at the date of the relevant report or
                     document, true and accurate in all material respects and
                     not misleading in any material respect, there are no other
                     facts the omission of which would make any fact or
                     statement in the Information Package misleading in any
                     material respect and nothing has occurred which would
                     render any fact or statement in the Information Package
                     untrue or misleading in any material respect; and

              (ii)   all estimates, forecasts and projections contained or
                     referred to in the Information Package, and all assumptions
                     and presumptions upon the basis of which the same were
                     made, were fair and reasonable at the time they were made,
                     and nothing has occurred since the date the same were made
                     which would necessitate a material revision to any of those
                     estimates, forecasts or projections in order for them to be
                     fair and reasonable;

       (n)    ACCOUNTING REFERENCE DATE: the accounting reference date of each
              Group Company is 31st December (or, if not a Saturday, the nearest
              Saturday thereto);

       (o)    CERTIFICATES OF TITLE: the factual information contained in the
              certificates of title referred to in paragraph 2(d) in Schedule 1
              is at the respective dates of those certificates of title, true
              and accurate in all material respects;

       (p)    CORPORATE STRUCTURE: immediately prior to Completion the Borrower
              has and has had no Subsidiaries (other than Cott Beverages Limited
              (now called Cott UK Limited) a Dormant Subsidiary) and:

              (i)    the details of the Target and its Subsidiaries set out in
                     Schedule 3 are accurate and complete in all respects;

              (ii)   the Target has no Subsidiaries other than those companies,
                     relevant details of which are set out in Part II of
                     Schedule 3; and

              (iii)  each company listed in Part II of Schedule 3 is a Dormant
                     Subsidiary;

       (q)    DISCLOSURES: there is no disclosure made in the Vendors'
              Disclosure Letter or any other disclosure to the Acquisition
              Documents which has or may have a material adverse effect on any
              of the information, prospects, estimates, forecasts and
              projections contained or referred to in the Information Package;

       (r)    STATUTORY DECLARATIONS: each of the directors of Target has
              properly made the statutory declarations required to be made by
              him under section 155 of the Act and has otherwise procured
              compliance with all the relevant provisions of the Act in relation
              to the lawful giving of financial assistance directly or
              indirectly for the purpose of reducing or discharging the
              Borrower's liability incurred in connection with its acquisition
              of the Target Shares;

                                       43

<PAGE>   49

       (s)    ENVIRONMENTAL: save as disclosed in the Environmental Report, each
              Group Company has and has at all times complied with all
              applicable laws including all Environmental Law, every consent,
              authorisation, licence or approval required under or pursuant to
              any Environmental Law by each Group Company in connection with the
              conduct of its business and the ownership, use, exploitation or
              occupation of its assets has been obtained and is in full force
              and effect, there has been no default in the observance of the
              conditions and restrictions (if any) imposed in, or in connection
              with, any of the same, and no circumstances have arisen (i) which
              would entitle any person to revoke, suspend, amend, vary, withdraw
              or refuse to amend any of the same or (ii) which might give rise
              to a claim against any Group Company the cost of meeting which
              could reasonably be expected to exceed (pound)250,000;

       (t)    INTELLECTUAL PROPERTY:

              (i)    each Group Company owns or has the legal right to use all
                     of the Intellectual Property Rights which are material to
                     the conduct of its business or are required by it in order
                     for it to carry on its business in all material respects;

              (ii)   the operations of each Group Company do not infringe, or
                     are not likely to infringe, any Intellectual Property
                     rights held by any third party which infringement has or
                     might reasonably be expected to have a Material Adverse
                     Effect;

              (iii)  no claim has been made in writing by any third party which
                     alleges any infringing act or process which would fall
                     within paragraph (ii) above or which otherwise disputes the
                     right of any Group Company to use any Intellectual Property
                     Rights relating to that company's business the unfavourable
                     outcome of which dispute has or might reasonably be
                     expected to have a Material Adverse Effect and no Group
                     Company is aware of any circumstances (including any act or
                     omission to act) reasonably likely to give rise to such a
                     claim;

              (iv)   there exists no actual or threatened infringement by any
                     third party of any Intellectual Property Rights relating to
                     the business of any Group Company or any event likely to
                     constitute such an infringement where such an infringement
                     or threatened infringement has or might reasonably be
                     expected to have a Material Adverse Effect;

              (v)    all Intellectual Property Rights owned by it and which are
                     material to the conduct of the business of the Group are
                     subsisting and no act has been done or omitted to be done
                     and no event has occurred or is likely to occur which may
                     render any registered Intellectual Property Rights subject
                     to revocation, compulsory licence, cancellation or
                     amendment the absence of which Intellectual Property Rights
                     has or might reasonably be expected to have a Material
                     Adverse Effect;

       (u)    TITLE TO ASSETS: each Group Company had on the respective dates of
              the Original Accounts good and marketable title to or valid leases
              of substantially all its assets which are reflected in the
              Original Accounts;

                                       44

<PAGE>   50

       (v)    NO MATERIAL ADVERSE CHANGE: since 15th September 1997 no event has
              occurred which has had or could be reasonably expected to have a
              Material Adverse Effect;

       (w)    MANAGEMENT FEES: the only management fees payable by the Borrower
              are payable under the Retail Brands Management Agreement and to
              Cott at a reasonable commercial rate for goods and services
              supplied; and

       (x)    GROUP TRADING AGREEMENTS: the Group Trading Agreements are the
              only agreements between the Borrower and other members of the Cott
              Group which are necessary or desirable to allow the Borrower to
              carry on its business as presently carried on and as envisaged by
              the Business Plan; and

       (y)    INTER-COMPANY DEBT: the inter-company debt due from Cott to the
              Borrower of the (pound)4,000,000 was paid in full by Cott to the
              Borrower on or before 30th April 1999.

13.2   REPETITION

       The representations and warranties set out in Clause 13.1 shall survive
       the execution of this Agreement and shall be deemed to be repeated as
       follows:

       (a)    each of the said representations and warranties shall be deemed to
              be repeated on the first Drawdown Date; and

       (b)    each of the said representations and warranties (other than those
              made under Clauses 13.1(e), (f), (g), (j), (m), (q), (r), (s), and
              (v) inclusive) shall be repeated on each Drawdown Date (other than
              the first Drawdown Date) and each Interest Date,

       in each case, as if made with reference to the facts existing at the time
       of repetition.

14.    UNDERTAKINGS

14.1   INFORMATION UNDERTAKINGS

       The Borrower undertakes that during the Security Period it shall, unless
       the Bank otherwise agrees:

       (a)    ANNUAL ACCOUNTS: as soon as the same become available (and in any
              event within 120 days after the end of each of its Financial
              Years), deliver to the Bank the Accounts for each such Financial
              Year of each Group Company together with:

              (i)    the unconsolidated profit and loss account, balance sheet
                     and cashflow for the Borrower for each such Financial Year;
                     and

              (ii)   a copy of the management letter (if any) addressed by the
                     auditors to the directors of each such company in
                     connection with its auditing of the relevant Accounts as
                     soon as reasonably practicable after receipt of the letter
                     by such company;

                                       45

<PAGE>   51

       (b)    MANAGEMENT ACCOUNTS: as soon as the same become available (and in
              any event within 30 days or, prior to 31st March 1998, 45 days
              after the end of each successive accounting period (none of which
              shall be more than 5 weeks in duration) (each an "ACCOUNTING
              PERIOD") during each of its Financial Years, deliver to the Bank
              the management accounts (the "MANAGEMENT ACCOUNTS") of each Group
              Company (and together with, in the case of the Borrower, its
              consolidated management accounts) for (x) each such Accounting
              Period and (y) the period ("AGGREGATE ACCOUNTING PERIOD") from and
              including 1st January in that Financial Year to and including the
              last day of that Accounting Period and in such a form as is
              acceptable to the Bank (acting reasonably) so as to disclose with
              reasonable accuracy the financial position of the Group or, as the
              case may be, of the Borrower and which shall include the following
              information in respect of each such Accounting Period and
              Aggregate Accounting Period:

              (i)    a statement of profit and loss;

              (ii)   a balance sheet; and

              (iii)  a cashflow statement,

              together with a comparison, where appropriate, of all such
              information with the estimates, forecasts and projections in the
              relevant Operating Budget (or any replacement or substitution made
              therefor) in relation to each such Accounting Period and Aggregate
              Accounting Period including an analysis justifying any variations
              therefrom and, if necessary, revised estimates, forecasts and
              projections. The Management Accounts shall when delivered to the
              Bank be certified by 2 directors of the Borrower as providing a
              true and fair view of the financial position of the Borrower and
              the Group as at the end of the relevant Accounting Period and
              Aggregate Accounting Period.

       (c)    OPERATING BUDGETS:

              (i)    provide to the Bank (in a format acceptable to the Bank
                     (acting reasonably)) an Operating Budget for each Financial
                     Year of the Borrower during the Security Period, prior to
                     (or, in the case of each Financial Year of the Borrower
                     other than that ending 31st January 1999, 3 days prior to)
                     the start of each such Financial Year, together with a
                     comparison of the information, estimates, forecasts and
                     projections contained therein with any relevant
                     information, estimates, forecasts and projections contained
                     in the Accountants' Report and the Business Plan including
                     an analysis justifying any variations therefrom; and

              (ii)   if the Borrower shall determine that any of the estimates,
                     forecasts or projections made in relation to any of its
                     Financial Years should be different from those set out in
                     the then current Operating Budget (or any substitution
                     therefor subsequently made and agreed by the Bank), provide
                     to the Bank revised estimates, forecasts or projections in
                     respect of any part of each such Financial Year and such
                     revised estimates, forecasts or projections shall apply
                     immediately following their approval by the boards of
                     directors of the relevant company and the Borrower;

                                       46

<PAGE>   52

       (d)    OTHER INFORMATION: notify the Bank at least 30 days prior to
              making any loan permitted under Clause 14.3(f)(ii) and, promptly
              following the Bank's request, provide to the Bank such other
              information, estimates, forecasts or projections in relation to
              any Group Company and any of their respective businesses, assets,
              financial condition, ownership or prospects as the Bank may
              reasonably require;

       (e)    COMPLIANCE CERTIFICATES: provide to the Bank within 30 days or,
              prior to 31st March 1998, 45 days of each Quarterly Accounting
              Period a certificate (a "COMPLIANCE CERTIFICATE") executed by
              2 Directors of the Borrower under the authority of its board of
              directors, certifying that in relation to the twelve month period
              ending on the last day of that Quarterly Accounting Period (or if
              shorter, the period starting on the date of this Agreement and
              ending on the last day of that Quarterly Accounting period) all
              the undertakings on the part of the Borrower under this Agreement
              are for the time being complied with and including calculations
              relating to the financial undertakings set out in Clause 14.4.1:
              (For the purpose of this Clause 14.1(e), the calculations shall
              (other than in respect of the financial undertaking set out in
              Clause 14.4.1(g)) be made by reference to the Management Accounts
              prepared for the period in relation to which the relevant
              Compliance Certificate is to be given and, in relation to a
              Compliance Certificate given in relation to each Financial Year,
              the Borrower shall use reasonable endeavours to procure that the
              Auditors shall, if they are so satisfied, confirm when delivering
              the relevant Accounts, in a confirmation addressed to the Bank
              that the calculations contained in the relevant certificate are in
              their opinion, based on the Accounts, fair and reasonable,
              provided that if there have been any breaches of those
              undertakings at any time during the period to which that
              certificate relates then the Borrower shall include in that
              certificate relevant details of all those breaches);

       (f)    GAAP: ensure that all Accounts and other financial information
              submitted to the Bank have been prepared in accordance with GAAP;
              and

       (g)    DEFAULT, LITIGATION, ETC: promptly, upon becoming aware of the
              same, notify the Bank of:

              (i)    any Default or Potential Default;

              (ii)   any litigation, arbitration or administrative proceeding
                     commenced against any Group Company involving a potential
                     liability of any Group Company exceeding (pound)250,000;

              (iii)  any Encumbrance (other than a Permitted Encumbrance)
                     attaching to any of the assets of any Group Company;

              (iv)   any notice, order, direction, requisition, permission or
                     other like matter whatsoever issued by any landlord or any
                     competent local or government authority or department to
                     any Group Company relating to any Property the effect of
                     which could reasonably be expected adversely to affect the
                     use of that Property by a Group Company;

                                       47

<PAGE>   53

              (v)    any occurrence relating to a Group Company (including any
                     third party claim or liability) which could reasonably be
                     expected to have a Material Adverse Effect; and

              (vi)   any breach by a Cott Group Company of, or event of default
                     howsoever described arising under, any Cott Notes Document.

14.2   POSITIVE UNDERTAKINGS

       The Borrower undertakes that during the Security Period it shall, and it
       shall procure that each Group Company shall, unless the Bank otherwise
       agrees:

       (a)    PAY TAXES: pay and discharge all Taxes and governmental charges
              payable by or assessed upon it prior to the date on which the same
              become overdue unless, and only to the extent that, such Taxes and
              charges shall be contested in good faith by appropriate
              proceedings, pending determination of which payment may lawfully
              be withheld, and there shall (if the Auditors so advise) be set
              aside adequate reserves with respect to any such Taxes or charges
              so contested in accordance with GAAP;

       (b)    INSURANCE: comply with all its obligations relating to insurances
              contained in the Security Documents;

       (c)    AUTHORISATIONS: obtain, maintain and comply with the terms of any
              authorisation, approval, licence, consent, exemption, clearance,
              filing or registration:

              (i)    which are material and are required for the conduct of its
                     business, trade and ordinary activities; and

              (ii)   required to enable it to perform its obligations under, or
                     for the validity, enforceability or admissibility in
                     evidence of, any Financing Document;

       (d)    ACCESS: upon reasonable notice being given to the Borrower by the
              Bank, permit the Bank and any person (being an accountant,
              auditor, solicitor, valuer or other professional adviser of the
              Bank) authorised by the Bank to have, at all reasonable times
              during normal business hours, access to the property, premises and
              accounting books and records of any Group Company and to the
              officers of any Group Company and the Management;

       (e)    FURTHER DOCUMENTS: at the request of the Bank, do or procure the
              doing of all such things and execute or procure the execution of
              all such documents as are, in the opinion of the Bank, necessary
              or desirable to ensure that the Bank (i) obtains all its rights
              and benefits under the Financing Documents and (ii) to ensure that
              the Borrower's obligations to the Bank under this Agreement are
              secured on all the Borrower's assets (including executing legal
              mortgages) and (iii) obtains a legal mortgage over the land and
              property numbered 3 and 4 in Schedule 7 to secure the Borrower's
              obligations in respect of the Term Loan Facility provided, for the
              avoidance of doubt, that the Borrower shall not be required to do
              anything which would constitute a breach of the Cott Notes
              Documents;

                                       48

<PAGE>   54

       (f)    DELIVERY OF DECLARATIONS, ETC: within any relevant period laid
              down in any applicable statute, law or regulation make all
              necessary declarations and deliver all necessary forms and
              documents required to be delivered to, filed with or registered
              with any United Kingdom governmental, statutory or other body or
              agency by it in connection with the Transaction Documents and any
              of the transactions contemplated under the Transaction Documents;

       (g)    HEDGING: within 30 days of the date of this Agreement enter into
              such interest rate protection agreements with the Bank as may be
              stipulated by the Bank and comply with and discharge its
              obligations and liabilities under those agreements (save that, the
              Borrower may close out the (pound)10,000,000 interest rate cap
              (strike price 8%) due to mature 31st January 2001);

       (h)    COMPLIANCE WITH ENVIRONMENTAL LAW: comply in all material respects
              with Environmental Law and implement the recommendations and
              proposals contained in the Environmental Report substantially
              within the time periods specified in that report, or if no such
              time periods are specified, as soon as reasonably practicable and
              address the category A/B and B issues as recommended in the Report
              within 6 months from Completion (unless the Bank agrees to the
              Borrower doing something other than take the recommended action);

       (i)    DANGEROUS MATERIALS: ensure that all Dangerous Materials treated,
              kept and stored, produced, manufactured, generated, refined or
              used from, in, upon, or under any of the real property owned by
              any Group Company are held and kept upon such real property in
              such a manner and up to such standards as they would be kept by a
              prudent company carrying on the same trade as that Group Company;

       (j)    COMPLIANCE WITH SECTION 151 OF THE ACT: comply in all respects
              with sections 151 to 158 inclusive of the Act, including in
              relation to the execution of the Security Documents and the
              payment of amounts due under this Agreement;

       (k)    AUDITORS' CONFIRMATION: use all reasonable endeavours to procure
              that, within 10 Business Days of the date of appointment as
              auditors of the Borrower, the relevant accountants deliver to the
              Bank a letter from such newly appointed auditors confirming that
              they are aware of the provisions of Clauses 1, 7.2 and 14.4.1 of
              this Agreement;

       (l)    DORMANT COMPANIES: procure that none of the companies set out in
              Part II of Schedule 3 cease being a Dormant Subsidiary, other than
              as a result of a liquidation of any such company which would not
              be a Default, and do not acquire any assets and do not assume any
              liabilities and use its reasonable endeavours to procure that
              neither Target's assets nor its liabilities exceed in aggregate
              (pound)5,000 as soon as reasonably practicable after the date of
              this Agreement;

       (m)    TRANSMISSION BANKING BUSINESS: ensure that all transmission
              banking business of the Group in the United Kingdom shall be
              transferred to the Bank within 90 days of Completion and be
              maintained with the Bank throughout the Security Period;

                                       49

<PAGE>   55

       (n)    PROTECTION OF RIGHTS UNDER THE ACQUISITION DOCUMENTS: take all
              reasonable and practical steps to preserve and enforce its rights
              arising under any Acquisition Document and notify the Bank of any
              breach by any party, or any claim by any party under, any
              Acquisition Document;

       (o)    INTELLECTUAL PROPERTY RIGHTS: take all necessary action to
              protect, maintain and keep in full force and effect all the rights
              and benefits of each Group Company in relation to Intellectual
              Property Rights and notify the Bank of any infringement by any
              third party of the Intellectual Property Rights of any Group
              Company and any claim by any third party against any Group Company
              in relation to any infringement or alleged infringement of
              Intellectual Property Rights;

       (p)    SUB-PARTICIPATION: provide at its own cost such information and
              assistance (including presentations and site visits) as the Bank
              Parties reasonably require in connection with the grant of
              participation in the Facilities (or some of them) pursuant to the
              Participation Agreement and enter into direct contractual
              arrangements with Bank Participants to put them in the same
              position as they would have been in had the Facilities been
              syndicated and the Bank Participants been members of the syndicate
              PROVIDED THAT nothing in this Clause shall require a Group Company
              to enter into any arrangement which would represent a breach of
              the Cott Notes Documents;

       (q)    EMPLOYMENT CONTRACTS: in the case of the Borrower only, maintain
              in place a deed of restrictive covenants with each of the
              Management on terms approved by the Bank and on or before 31 March
              2000 enter into a deed of restrictive covenants with Neil Thompson
              and Gary Saunders on terms approved by the Bank, in each case such
              approval not to be unreasonably withheld or delayed;

       (r)    CHANGE OF MANAGEMENT: notify the Bank if any of the Management
              ceases to be employed by the Borrower and appoint a replacement
              approved by the Bank (such approval not to be unreasonably
              withheld or delayed) within 180 days of such cessation unless the
              Bank is satisfied that a replacement is unnecessary;

       (s)    HIVE-UP AGREEMENT: at or immediately after Completion enter into
              the Hive-Up Agreement and, as soon as possible afterwards, do what
              is necessary to vest title to the Target Assets in the Borrower;

       (t)    PROPERTY ASSIGNMENT: use its reasonable endeavours to procure the
              consent of the landlord of the leasehold property at Unit 16,
              Trent Lane, Castle Donington to the assignment of the property to
              the Borrower within 60 days of Completion and shall (within ten
              working days of the issue of such consent) complete the assignment
              to the Borrower;

       (u)    SYSTEMS: as soon as reasonably possible (and in a time scale to
              assist sub-participation by the Bank it being recognised that
              item (i) is likely to take 6 months) (i) put in place a business
              and system disaster recovery plan for its information technology
              and systems, (ii) agree an action plan to deal with year 2000
              issues and nominate a board member to be responsible for that, and
              (iii) appoint a team to look into the EMU issue and nominate a
              board member to be responsible for that;

                                       50

<PAGE>   56

       (v)    FURTHER DUE DILIGENCE: the Borrower will employ at its own cost
              Coopers & Lybrand to carry out further financial due diligence
              (on terms agreed between the Bank and Coopers & Lybrand following
              consultation with the Borrower) in relation to forecasts and
              sensitivities to assist in sub-participation of the Facilities;

       (w)    MARKET REPORT: use its reasonable endeavours to procure that OC&C
              Strategy Consultants address the report referred to in paragraph
              (ii) of the definition of "Market Report" to the Bank Parties;

       (x)    FEATHERSTONE DISPOSAL: in the case of the Borrower only, use its
              utmost endeavours to procure a Disposal of the Property numbered 1
              in Schedule 7 on or before 31st May 1999 and comply with its
              obligation under 14.1(c)(ii) to produce a revised Operating Budget
              within 30 days of that Disposal; and

       (y)    YEAR 2000 COMPLIANCE: procure that on or before 30th September
              1999 the computer systems and production equipment of each Group
              Company are compliant with Year 2000 Conformity (within the
              meaning of British Standards Institute document PD 2000-1:1998)
              save to the extent any failure to be so compliant could not
              reasonably be expected to have a Material Adverse Effect.

14.3   NEGATIVE UNDERTAKINGS

       The Borrower undertakes that during the Security Period it shall not, and
       it shall procure that no Group Company shall, unless the Bank otherwise
       agrees:

       (a)    NEGATIVE PLEDGE: create or permit to subsist any Encumbrance over
              any of its assets other than Permitted Encumbrances;

       (b)    DISPOSAL OF ASSETS: dispose of any of the Target Shares or make
              any other Disposal other than a disposal of an asset:

              (i)    in the ordinary course of its trading activities on arms'
                     length terms; or

              (ii)   where the proceeds of the Disposal are used within:

                     (x)    3 months; or

                     (y)    where the relevant Disposal Proceeds are paid to the
                            credit of a bank account (a "DISPOSAL PROCEEDS
                            BRIDGING ACCOUNT") held with the Bank pending their
                            application as specified in this Clause 14.3(b)(ii),
                            6 months,

                     of that Disposal for the purchase of an asset to replace
                     directly the asset the subject of that Disposal; or

              (iii)  a Disposal of an asset which is obsolete for the purpose
                     for which such an asset is normally utilised where the
                     aggregate value of the assets so disposed in any Financial
                     Year of the Borrower does not exceed (pound)250,000; or

                                       51

<PAGE>   57

              (iv)   a Disposal of cash on terms not otherwise prohibited by
                     this Agreement; or

              (v)    a Disposal on arm's length terms where the aggregate value
                     of the assets the subject of a Disposal by Group Companies
                     other than in accordance with paragraphs (i) to (iv) above
                     in any Financial Year of the Borrower does not exceed
                     (pound)250,000,

              (for the purposes of this Clause 14.3(b), the value of any asset
              shall be the greater of its book value and the consideration
              received for it);

       (c)    CHANGE OF BUSINESS: make any substantial change to the general
              nature or scope of the business of the Group as a whole from that
              carried on at the date of this Agreement;

       (d)    MERGERS: enter into any amalgamation, demerger, merger or
              reconstruction or any joint venture or partnership agreement;

       (e)    FEES: pay any fees or commissions to any person other than (i) on
              open market terms and for the purpose of and in the ordinary
              course of its trade or (ii) fees incurred under any Transaction
              Document;

       (f)    LOANS: make any loans or grant any credit to or for the benefit of
              any person, other than:

              (i)    amounts of credit allowed by the relevant company in the
                     normal course of its trading activities; or

              (ii)   loans made on arms length terms by a Group Company to a
                     Cott Group Company (all the terms of which are set out in
                     writing and signed by both parties); or

              (iii)  loans made by a Group Company to its employees where such
                     loans do not, when aggregated with all such loans made by
                     all Group Companies, exceed (pound)25,000 at any time;

       (g)    INDEBTEDNESS: incur or permit to subsist any Indebtedness other
              than Permitted Indebtedness;

       (h)    ACQUISITIONS: acquire any business of, or shares or securities of,
              any company;

       (i)    INCORPORATION OF SUBSIDIARIES: incorporate any company as its
              Subsidiary;

       (j)    PAYMENTS OF DEFERRED CONSIDERATION: in respect of the Borrower
              only, pay, prepay or purchase all or any part of the Deferred
              Consideration provided that the Borrower may (i) make scheduled
              payments of the Deferred Consideration and (ii) pay interest, if
              any, on the Deferred Consideration in accordance with the terms of
              the Share Purchase Agreement (as in force at the date of this
              Agreement), so long as:

              (A)    no sum is due and unpaid under this Agreement;

              (B)    no Default or Potential Default has occurred and is
                     continuing;

                                       52

<PAGE>   58

              (C)    the making of such scheduled payment or repayment or the
                     payment of such interest will not in the period of 6 months
                     immediately following the making of such payment or
                     repayment (as the case may be) result in a breach of any of
                     the financial undertakings contained in Clause 14.4.1 and 2
                     directors of the Borrower have issued a certificate to the
                     Bank to that effect; and

              (D)    the Borrower shall have delivered to the Bank one or more
                     Compliance Certificates required under this Agreement in
                     relation to the period in respect of which such payment or
                     repayment (as the case may be) is to be paid (including the
                     provision of any applicable Auditor's confirmation);

       (k)    VAT GROUP: permit:

              (i)    any person (other than a Group Company) to become a part of
                     the Borrower's VAT Group; or

              (ii)   any Group Company to have any VAT liability in respect of
                     any person who is not a Group Company (other than where the
                     liability of that person relates to a VAT liability of a
                     Group Company);

       (l)    VARIATION OF TRANSACTION DOCUMENTS: permit or effect any
              variations, novations or amendments to: (i) the Acquisition
              Documents, (ii) the Cott Notes Documents, or (iii) the Group
              Trading Agreements (and the Bank must give consent unless, in its
              reasonable opinion, such variation, novation or amendment would
              (or would be likely) to be adverse to the interests of any Group
              Company or Bank Party);

       (m)    OPERATING LEASE PAYMENTS: other than under leases of real
              property, make a payment under any hire agreement, credit sale
              agreement, hire purchase agreement, conditional sale agreement or
              instalment sale and purchase agreement which is not a Finance
              Lease if the aggregate of all such payments made by the Group
              Companies, in any Financial Year of the Borrower, will exceed
              (pound)1,300,000;

     (n)      COTT SUPPLY AGREEMENT: do or omit to do anything which would cause
              or might give rise to a breach by the Borrower or Cott of the Cott
              Supply Agreement or by Cott or BCB International Limited or BCB of
              the Royal Crown Contract or make any payment to BCB or any other
              Cott Group Company in respect of the amount of (pound)2,000,000
              owed by the Borrower and outstanding as at 1st April 1999 in
              respect of the supply of cola or non-cola concentrate (the "BCB
              DEBT") provided that the Borrower may, so long as there is no sum
              due and unpaid under this Agreement and no Default or Potential
              Default has occurred and is continuing make payment of:

     (i)      up to (pound)1,000,000 of the BCB Debt at any time 15
              days or more after the Borrower has delivered to the Bank the
              Management Accounts for the Period starting on 1st January 2000
              and ending on 30 June 2000 provided that such Management Accounts
              show that PBIT for that period is equal to or greater than
              (pound)3,556,000; and

                                       53

<PAGE>   59

              (ii)   the balance of the BCB Debt at any time 15 days or more
                     after the Borrower has delivered to the Bank the Management
                     Accounts for the period starting on 1st January 2000 and
                     ending on 30th September 2000 provided that such Management
                     Accounts show PBIT for that period is equal to or greater
                     than (pound)6,380,000

       (o)    ROYAL CROWN EXCLUSIVITY: do or omit to do anything which would
              entitle Royal Crown Cola Corporation to supply any cola or
              non-cola concentrates to a person who is not a Cott Group Company;

       (p)    COTT NOTES DOCUMENTS: not do or suffer anything to be done or
              omitted to be done which would give rise to any breach of the
              terms of any Cott Notes Documents;

       (q)    GROUP TRADING AGREEMENTS: not do anything which might cause the
              Group Trading Agreements to be terminated and not pay any
              management or similar fees to a company in the Cott Group other
              than:

              (i)    under the Retail Brands Management Agreement; and

              (ii)   to Cott at a reasonable commercial rate for goods or
                     services supplied but not exceeding (pound)
                     1,647,000 in the Financial Year ending on or about
                     31 December 1999 and (pound)1,000,000 in any
                     Financial Year thereafter

              provided always that no Group Company may pay any management,
              consultancy or similar fees to any Cott Group Company in any
              Financial Year except to the extent (but subject always to a
              maximum payment in respect of such fees of (pound)572,000 in the
              Financial Year ending 31st December 1999; (pound)1,075,000 in the
              Financial Year ending 31st December 2000 and (pound)1,000,000 in
              any subsequent Financial Year) that Cott or another Cott Group
              Company (not being a Group Company) has, in the case of the
              Financial Year ending 31st December 2000, during that Financial
              Year first paid at least (pound)1,647,000 (in addition to the
              (pound)10,000,000 referred to in Clause 15.1(u)) to the Borrower
              (which sum of at least (pound)1,647,000 shall be paid to the
              Borrower on or before 29th March 2000) and, in the case of any
              subsequent Financial Year, has during that Financial Year first
              paid an amount at least equal to the aggregate of such management,
              consultancy and similar fees to the Borrower in any case by way of
              either:

              (iii)  subscription for fully paid up ordinary share capital of
                     the Borrower; or

              (iv)   to the extent permitted to do so under the Cott Notes
                     Documents, Subordinated Loan (on terms approved by the Bank
                     in writing); and

       (r)    VIRGIN SUPPLY AGREEMENT: permit or effect any variations,
              novations or amendments to the Virgin Supply Agreement which might
              adversely affect the interests of the Group.

                                       54

<PAGE>   60

14.4   FINANCIAL UNDERTAKINGS

14.4.1 The Borrower undertakes to ensure that during the Security Period, unless
       the Bank otherwise agrees:

       (a)    PBIT TO TOTAL DEBT COSTS

              the ratio of PBIT to Total Debt Costs for each period referred to
              in Column A below shall not be less than the ratio set out in
              Column B below opposite that period:

<TABLE>
<CAPTION>
             COLUMN A                                                                       COLUMN B
              PERIOD                                                                         RATIO
             --------                                                                       --------
<S>                                                                                        <C>
              The four Quarterly Accounting Periods ending on or about 31.12.99              0.80:1

              The four Quarterly Accounting Periods ending on or about 31.3.00               0.825:1
              The four Quarterly Accounting Periods ending on or about 30.6.00               1.375:1
              The four Quarterly Accounting Periods ending on or about 30.9.00                1.85:1
              The four Quarterly Accounting Periods ending on or about 31.12.00               2.00:1

              The four Quarterly Accounting Periods ending on or about 31.3.01                2.25:1
              The four Quarterly Accounting Periods ending on or about 30.6.01                2.50:1
              The four Quarterly Accounting Periods ending on or about 30.9.01                2.75:1
              The four Quarterly Accounting Periods ending on or about 31.12.01               3.00:1

              The four Quarterly Accounting Periods ending on or about 31.3.02                3.00:1
              The four Quarterly Accounting Periods ending on or about 30.6.02                3.00:1
              The four Quarterly Accounting Periods ending on or about 30.9.02                3.00:1
              The four Quarterly Accounting Periods ending on or about 31.12.02               3.00:1

              The four Quarterly Accounting Periods ending on or about 31.3.03                3.00:1
              The four Quarterly Accounting Periods ending on or about 30.6.03                3.00:1
              The four Quarterly Accounting Periods ending on or about 30.9.03                3.00:1
              The four Quarterly Accounting Periods ending on or about 31.12.03               3.00:1

              The four Quarterly Accounting Periods ending on or about 31.3.04                3.00:1
              The four Quarterly Accounting Periods ending on or about 30.6.04                3.00:1
              The four Quarterly Accounting Periods ending on or about 30.9.04                3.00:1
              The four Quarterly Accounting Periods ending on or about 31.12.04               3.00:1
</TABLE>

                                       55

<PAGE>   61

       (b)    CASHFLOW TO TOTAL FUNDING COSTS

              the ratio of Cashflow to Total Funding Costs for each period
              referred to in Column A below shall not be less than the ratio set
              out in Column B below opposite that period:

<TABLE>
<CAPTION>
             COLUMN A                                                                       COLUMN B
              PERIOD                                                                         RATIO
             --------                                                                       --------
<S>                                                                                        <C>
              The four Quarterly Accounting Periods ending on or about 31.12.99              0.70:1

              The four Quarterly Accounting Periods ending on or about 31.3.00               0.93:1
              The four Quarterly Accounting Periods ending on or about 30.6.00               0.83:1
              The four Quarterly Accounting Periods ending on or about 30.9.00               1.00:1
              The four Quarterly Accounting Periods ending on or about 31.12.00              1.00:1

              The four Quarterly Accounting Periods ending on or about 31.3.01               1.00:1
              The four Quarterly Accounting Periods ending on or about 30.6.01               1.00:1
              The four Quarterly Accounting Periods ending on or about 30.9.01               1.00:1
              The four Quarterly Accounting Periods ending on or about 31.12.01              1.00:1

              The four Quarterly Accounting Periods ending on or about 31.3.02               1.00:1
              The four Quarterly Accounting Periods ending on or about 30.6.02               1.00:1
              The four Quarterly Accounting Periods ending on or about 30.9.02               1.00:1
              The four Quarterly Accounting Periods ending on or about 31.12.02              1.00:1

              The four Quarterly Accounting Periods ending on or about 31.3.03               1.00:1
              The four Quarterly Accounting Periods ending on or about 30.6.03               1.00:1
              The four Quarterly Accounting Periods ending on or about 30.9.03               1.00:1
              The four Quarterly Accounting Periods ending on or about 31.12.03              1.00:1

              The four Quarterly Accounting Periods ending on or about 31.3.04               1.00:1
              The four Quarterly Accounting Periods ending on or about 30.6.04               1.00:1
              The four Quarterly Accounting Periods ending on or about 30.9.04               1.00:1
              The four Quarterly Accounting Periods ending on or about 31.12.04              1.00:1
</TABLE>

       (c)    MINIMUM TANGIBLE NET WORTH

              (i)    Tangible Net Worth shall not at any time during each period
                     referred to in Column A below be less than the amount set
                     out opposite that period in Column B below:

<TABLE>
<CAPTION>
             COLUMN A                                                                       COLUMN B
              PERIOD                                                                         AMOUNT
             --------                                                                       --------
                                                                                          ((POUND)000)
<S>                                                                                        <C>
              The Quarterly Accounting Period ending on or about 31.12.99                    27,000

              The Quarterly Accounting Period ending on or about 31.3.00                     36,500
              The Quarterly Accounting Period ending on or about 30.6.00                     38,500
              The Quarterly Accounting Period ending on or about 30.9.00                     39,250
              The Quarterly Accounting Period ending on or about 31.12.00                    39,750
</TABLE>

                                       56
<PAGE>   62

<TABLE>
<CAPTION>
             COLUMN A                                                                       COLUMN B
              PERIOD                                                                         AMOUNT
             --------                                                                       --------
                                                                                          ((POUND)000)
<S>                                                                                        <C>
              The Quarterly Accounting Period ending on or about 31.3.01                     39,750 + Y
              The Quarterly Accounting Period ending on or about 30.6.01                     39,750 + Y
              The Quarterly Accounting Period ending on or about 30.9.01                     39,750 + Y
              The Quarterly Accounting Period ending on or about 31.12.01                    39,750 + Y

              The Quarterly Accounting Period ending on or about 31.3.02                     39,750 + Y
              The Quarterly Accounting Period ending on or about 30.6.02                     39,750 + Y
              The Quarterly Accounting Period ending on or about 30.9.02                     39,750 + Y
              The Quarterly Accounting Period ending on or about 31.12.02                    39,750 + Y

              The Quarterly Accounting Period ending on or about 31.3.03                     39,750 + Y
              The Quarterly Accounting Period ending on or about 30.6.03                     39,750 + Y
              The Quarterly Accounting Period ending on or about 30.9.03                     39,750 + Y
              The Quarterly Accounting Period ending on or about 31.12.03                    39,750 + Y

              The Quarterly Accounting Period ending on or about 31.3.04                     39,750 + Y
              The Quarterly Accounting Period ending on or about 30.6.04                     39,750 + Y
              The Quarterly Accounting Period ending on or about 30.9.04                     39,750 + Y
              The Quarterly Accounting Period ending on or about 31.12.04                    39,750 + Y
</TABLE>

              where Y equals 75% of the Net Profit of the Group for the whole of
              the period from 31st December 2000 to the relevant testing date
              within the relevant Quarterly Accounting Period provided always
              that in respect of any Quarterly Account Period if Y would have a
              value less than zero then Y shall and shall be deemed to be zero
              and if Y would have a value less than the value (if any)
              attributed to Y in the previous Quarterly Accounting Period Y
              shall and shall be deemed to have the same value.

       (d)    PBIT

              PBIT for the Quarterly Accounting Period ending on or about 31st
              March 1999 shall be not less than (pound)539,000

       (e)    NET CASH OUTFLOW

              Net Cash Outflow for the Quarterly Accounting Period ending on or
              about 31st March 1999 and the two Quarterly Accounting Periods
              ending on or about 30th June 1999 shall be not greater than,
              respectively, (pound)13,000,000 and (pound)9,500,000 (where "NET
              CASH OUTFLOW" IS The amount by which Total Funding Costs
              (expressed as a positive amount) exceeds Cashflow (whether a
              positive or negative amount)).

       (f)    CAPITAL EXPENDITURE AND FINANCE LEASE EXPENDITURE

              no Group Company shall incur any Capital Expenditure or Finance
              Lease Expenditure if it would result in the aggregate Capital
              Expenditure and Finance Lease Expenditure incurred by the Group
              Companies in any period set out in Column A below exceeding the
              amount set out opposite such period in Column B below:

                                       57

<PAGE>   63

<TABLE>
<CAPTION>
              COLUMN A                                          COLUMN B
               PERIOD                                       AMOUNT ((POUND)000)
               ------                                       -------------------
              <S>                                             <C>
              Closing to 31.1.99                                6,000

              12 months to 31.1.00                              6,000

              12 months to 31.1.01                              6,000

              12 months to 31.1.02                              6,000

              12 months to 31.1.03                              6,000

              12 months to 31.1.04                              6,000

              12 months to 31.1.05                              6,000
</TABLE>

              provided that, if in respect of a period referred to in Column A
              above, the Group incurs Capital Expenditure and Finance Lease
              Expenditure in aggregate less than the amount set opposite such
              period in Column B above, the difference being "ADDITIONAL
              AVAILABLE EXPENDITURE", the amount set out in Column B above
              opposite the next succeeding period shall be deemed to be
              increased by the amount of the Additional Available Expenditure up
              to a maximum of 25 per cent. of the amount set opposite the
              preceding period.

       (g)    BORROWING BASE

              the aggregate of (i) all Revolving Advances, (ii) the Overdraft
              Outstandings and (iii) the Ancillary Outstandings shall not at any
              time exceed the Borrowing Base at that time.

       (h)    COTT BORROWING BASE

              the Indebtedness of Cott and its Restricted Subsidiaries of the
              type referred to in section 4.03(i) of the 2005 Indenture does not
              exceed the limits specified in that section (for the purposes of
              this Clause 14.4.1(h) the terms "INDEBTEDNESS" and "RESTRICTED
              SUBSIDIARIES" have the meanings specified in the 2005 Indenture).

       (i)    ADJUSTMENTS

              (a)    if the Parent Loan is written off (in whole or in part)
                     then the amount written off shall:

                     (i)    be added to Tangible Net Worth for the purpose of
                            testing the minimum Tangible Net Worth covenant; and

                     (ii)   (if it is written off through the profit and loss
                            account) be added to PBIT for the period in which
                            that happens.

              (b)    for the purpose of testing the Tangible Net Worth Covenant,
                     the outstanding nominal amount of the Crystal Subordinated
                     Loan

                                       58

<PAGE>   64

                     Notes shall be added to Tangible Net Worth during the
                     period of 60 days from Completion.

14.4.2 (a)    If the directors of any Group Company determine at any time during
              the Security Period that the accounting reference date of that
              Group Company has or should be changed or any of the accounting
              principles applied in the preparation of any of the Accounts and
              the Management Accounts shall be different from the Accounting
              Principles, or if as a result of the introduction or
              implementation of any SSAP or FRS or any change in any of them or
              in any applicable law such accounting principles are required to
              be changed, the Borrower shall promptly give notice to the Bank of
              that change, determination or requirement.

       (b)    If the Bank believes that the financial undertakings set out in
              this Clause 14.4 need to be amended as a result of any such
              change, determination or requirement or as a result of the
              Required Disposal (as defined in Clause 8.1.4), the Borrower shall
              negotiate with the Bank in good faith to amend the existing
              financial undertakings so as to provide the Bank with
              substantially the same protections as the financial undertakings
              set out in this Clause 14.4 (but which are not materially more
              onerous).

       (c)    If the Borrower and the Bank cannot agree such amended financial
              undertakings within 30 days of that notice, the Borrower and the
              Bank shall jointly nominate a firm of chartered accountants to
              settle the amended financial undertakings, or in default of such
              nomination the Bank shall request the President for the time being
              of the Institute of Chartered Accountants in England and Wales to
              nominate a firm of chartered accountants for that purpose. Such
              accountants shall act as experts and not arbitrators and their
              decision shall be final and binding on the Parties. The costs of
              such accountants shall be paid by the Borrower.

14.4.3 The calculation of ratios and other amounts under this Clause 14.4 shall
       be made by the Bank by reference to the latest Accounts, Management
       Accounts and other financial information of the Group Companies (or, in
       relation to Clause 14.4.1(h), Cott Group Companies) for the Financial
       Year of the Borrower, or other period in relation to which the
       calculation falls to be made. Each determination of the Bank under this
       Clause 14.4 shall be conclusive and binding on the Borrower except for
       any manifest error.

15.    DEFAULT

15.1   DEFAULT

       Each of the following shall be a Default:

       (a)    NON-PAYMENT: subject to Clause 15.2.5, the Borrower does not pay
              on the due date any amount payable by it under this Agreement at
              the place at and in the currency and funds in which it is
              expressed to be payable unless the failure to pay such amount is
              due solely to administrative or technical delays in the
              transmission of funds which are not the fault of that the Borrower
              and such amount is paid within 2 Business Days after its due date
              for payment; or

                                       59

<PAGE>   65

       (b)    OTHER DEFAULTS: a Group Company breaches any of its obligations
              under any Financing Document (other than the obligations referred
              to in Clause 15.1(a)) and, if that breach is capable of remedy, it
              is not remedied within 5 Business Days after notice of that breach
              has been given by the Bank to the Borrower; or

       (c)    BREACH OF REPRESENTATION OR WARRANTY: any representation, warranty
              or statement made or deemed to be repeated by a Group Company
              under any Financing Document or in any document delivered by or on
              behalf of a Group Company under or in connection with any
              Financing Document is incorrect when made or deemed to have been
              repeated; or

       (d)    UNLAWFULNESS, INVALIDITY OR REPUDIATION: it is unlawful for a
              Group Company to perform or comply with, or a Group Company
              repudiates, any of its obligations under any Financing Document or
              the Debenture is invalid or any Cott Group Company contests the
              validity of the Debenture; or

       (e)    CROSS-DEFAULT: any Indebtedness of all or any Cott Group Companies
              in excess of, in aggregate,(pound)3,000,000:

              (i)    is not paid when due or within any originally applicable
                     grace period; or

              (ii)   is declared to be or otherwise becomes due and payable
                     prior to its specified maturity,

              or any creditor of all or any of Cott Group Companies becomes
              entitled to declare any such Indebtedness due and payable prior to
              its specified maturity; or

       (f)    DEFAULT TO BANK PARTICIPANT: the Borrower fails to fully observe
              and perform its obligations under any agreement between it and a
              Bank Participant (which relates to this Facility); or

       (g)    ATTACHMENT OR DISTRESS: a creditor or encumbrancer attaches or
              takes possession of, or a distress, execution, sequestration or
              other process is levied or enforced upon or sued out against, any
              of the assets of any Group Company (having a value of at least
              (pound)5,000) and such process is not discharged within 14 days;
              or

       (h)    ENFORCEMENT OF SECURITY: any Encumbrance over any of the assets of
              any Group Company becomes enforceable; or

       (i)    INABILITY TO PAY DEBTS: any Group Company (other than a Dormant
              Subsidiary):

              (i)    suspends payment of its debts or is unable or admits its
                     inability to pay its debts as they fall due; or

              (ii)   begins negotiations with any creditor with a view to the
                     readjustment or rescheduling of any of its Indebtedness; or

              (iii)  proposes or enters into any composition or other
                     arrangement for the benefit of its creditors generally or
                     any class of creditors; or

                                       60

<PAGE>   66

       (j)    INSOLVENCY PROCEEDINGS: any person takes any action or any legal
              proceedings are started or other steps taken (including the
              presentation of a petition) for:

              (i)    any Group Company (other than a Dormant Subsidiary) to be
                     adjudicated or found insolvent; or

              (ii)   the winding-up or dissolution of any Group Company other
                     than (A) in respect of a Dormant Subsidiary, (B) in
                     connection with a solvent reconstruction, the terms of
                     which have been previously approved in writing by the Bank,
                     or (C) a winding-up petition which is proved to the
                     satisfaction of the Bank to be frivolous or vexatious and
                     which is, in any event, discharged within 14 days of its
                     presentation and before it is advertised provided always
                     that no Advances shall be made at any time after any
                     winding up petition has been presented and remains
                     undischarged; or

              (iii)  the appointment of a trustee, receiver, administrative
                     receiver or similar officer in respect of any Group Company
                     or any of its assets; or

       (k)    ADJUDICATION OR APPOINTMENT: any adjudication, order or
              appointment is made under or in relation to any of the proceedings
              referred to in Clause 15.1(j); or

       (l)    ADMINISTRATION ORDER: an application is made to the court for an
              administration order under the Insolvency Act 1986 with respect to
              any Group Company (other than a Dormant Subsidiary); or

       (m)    ANALOGOUS PROCEEDINGS: any event occurs or proceeding is taken
              with respect to any Group Company (other than a Dormant
              Subsidiary) in any jurisdiction to which it is subject which has
              an effect equivalent or similar to any of the events mentioned in
              Clause 15.1(g), (i), (j), (k) or (l); or

       (n)    CESSATION OF BUSINESS: any Group Company (other than a Dormant
              Subsidiary) suspends, ceases or threatens to suspend or cease to
              carry on all or a substantial part of its business; or

       (o)    COTT SUPPLY AGREEMENT: The Royal Crown Contract or the Cott Supply
              Agreement is terminated or notice of termination of the Royal
              Crown Contract or the Cott Supply Agreement is given by either
              party thereto or any material variation or alteration is made to
              the terms of the Royal Crown Contract or the Cott Supply Agreement
              other than where (in the case of a termination or notice of
              termination) the Bank has previously approved alternative
              arrangements for the supply to the Group of cola and non-cola
              concentrates or (in the case of a material variation or
              alteration) the variation or alteration has been previously
              approved by the Bank; or

       (p)    MATERIAL ADVERSE CHANGE: any event or series of events occur
              which, in the opinion of the Bank, has or could reasonably be
              expected to have a Material Adverse Effect; or

                                       61

<PAGE>   67

       (q)    AMENDMENT OF ARTICLES OF THE BORROWER: the Borrower, without the
              prior written consent of the Bank, amends any of its articles of
              association;

       (r)    REDEMPTION OF SHARES BY THE BORROWER: the Borrower, without the
              prior written consent of the Bank, makes any redemption of any of
              its shares, purchases any of its shares or otherwise reduces its
              issued share capital; or

       (s)    ADDITIONAL CAPITAL: within 60 days of Completion the ordinary
              share capital of the Borrower is not increased by an amount equal
              to the nominal amount of the Crystal Subordinated Loan Notes and
              the Crystal Subordinated Loan Notes are not redeemed;

       (t)    FURTHER ADDITIONAL CAPITAL: the paid up ordinary issued share
              capital of the Borrower is not increased by each of:

              (i)    (pound)1,000,000 on or before 31st May 1999; and

              (ii)   an amount equal to (x) the amount which the Borrower is
                     required to apply in repayment of the Term Loan pursuant to
                     Clause 8.1.4 less (y) the amount (if any) of Disposal
                     Proceeds in respect of the Required Disposal (as defined in
                     Clause 8.1.4) applied in repayment of the Term Loan
                     pursuant to Clause 8.1.4; and

       (u)    NEW CAPITAL INJECTION: the (pound)10,000,000 paid by Cott to the
              Borrower on 30th DecembeR 1999 has not on or prior to 29th
              February 2000 been applied by way of either:

              (a)    subscription for fully paid up ordinary share capital of
                     the Borrower; or

              (b)    to the extent permitted to do so under the Cott Notes
                     Documents, Subordinated Loan (on terms approved by the Bank
                     in writing).

15.2   ACCELERATION, ETC.

15.2.1 If a Default occurs and remains unremedied the Bank may by notice (a
       "DEFAULT NOTICE") to the Borrower cancel the Facilities and require the
       Borrower immediately to repay each Loan together with accrued interest
       and all other sums payable under this Agreement, whereupon they shall
       become immediately due and payable. Upon the service of any Default
       Notice the Bank's obligations under this Agreement shall be terminated
       and its Commitment shall be cancelled.

15.2.2 Immediately upon the Bank either serving a Default Notice or making
       demand, the Borrower shall in respect of each Guarantee issued on its
       behalf:

       (a)    use its reasonable endeavours to procure the release of the Bank
              from that Guarantee; and

       (b)    without prejudice to paragraph (a) above, pay to the credit of
              such account as the Bank shall stipulate an amount equal to the
              Guaranteed Amount of that Guarantee and charge such account in
              favour of the Bank, in such manner and on such terms as the Bank
              may stipulate.

                                       62

<PAGE>   68

15.2.3 Immediately upon the Bank either serving a Default Notice or making
       demand, each outstanding FFE Contract shall be, if so specified by the
       Bank, terminated and closed out. Upon such termination and close-out, the
       Bank shall determine in good faith the applicable closing gain or loss
       payable by or to it for the outstanding FFE Contracts, calculated by
       reference to the netting of the respective amounts in each currency which
       the Bank is contracted to deliver and receive under all such FFE
       Contracts. Any amount payable to the Bank or to the Borrower in respect
       of the FFE Contracts pursuant to this Clause 15.2.3 shall, subject to all
       rights of set-off, be immediately due and payable.

15.2.4 Immediately upon the Bank either serving a Default Notice or making
       demand, the Bank shall:

       (a)    make demand on each overdraft made available under the Optional
              Overdraft Facility; and

       (b)    terminate all facilities or financial accommodation made available
              by it under the Ancillary Facility (and which are not referred to
              in Clauses 15.2.2 and 15.2.3),

       whereupon any moneys owing to the Bank shall be immediately due and
       payable and the Bank may apply any credit balance on any account of the
       Borrower with the Bank against any liability owed to the Bank by the
       Borrower (to the extent that any such credit balance is freely available
       to be set off in this manner).

15.2.5 If the Bank makes a demand under any overdraft provided under the
       Optional Overdraft Facility or any facility or financial accommodation
       provided under the Ancillary Facility, that demand shall not be a Default
       for the purposes of Clause 15.1(a), and the Bank shall not take any steps
       to enforce the Security Documents in respect of that demand if (a) that
       demand is satisfied in full within 5 Business Days of the date of that
       demand and (b) no other Default has occurred and is continuing during
       that period. For the avoidance of doubt, if any other Default has
       occurred, the Bank may exercise all its rights under this Clause 15 and
       may enforce the Security Documents, in respect of the amount so demanded
       by the Bank.

16.    SET-OFF

       The Bank may set off any matured obligation owed by the Borrower under
       any Financing Document against any obligation (whether or not matured)
       owed by the Bank to the Borrower, regardless of the place of payment,
       booking branch or currency of either obligation. If the obligations are
       in different currencies, the Bank may convert either obligation at the
       relevant spot rate of exchange of the Bank for the purpose of the
       set-off.

17.    FEES AND EXPENSES

17.1   EXPENSES

       The Borrower shall on demand (x) reimburse the Bank for its own account
       at such reasonable daily and/or hourly rates as the Bank shall from time
       to time reasonably determine for the cost of utilising its management
       time and/or other resources and (y) pay all expenses incurred by the Bank
       (including legal, valuation and accounting fees but, in

                                       63

<PAGE>   69

       relation to paragraphs (a) and (c) below, only to the extent the same are
       reasonable in amount), and any VAT on those expenses in each case in
       connection with:

       (a)    the negotiation, preparation and execution of the Financing
              Documents and the other documents contemplated by the Financing
              Documents;

       (b)    the sub-participation of the Facilities;

       (c)    the granting of any release, waiver or consent or in connection
              with any amendment or variation of any Financing Document; and

       (d)    enforcing, perfecting, protecting or preserving (or attempting so
              to do) any of their rights, or in suing for or recovering any sum
              due from the Borrower or any other person under any Financing
              Document, or in investigating any possible Default.

17.2   ARRANGEMENT

       The Borrower shall pay to the Bank arrangement and agency fees in
       accordance with the terms of the Fees Letter. For the avoidance of doubt,
       all liabilities and obligations of the Borrower under the Fees Letter
       shall be deemed to be incurred under this Agreement and shall be secured
       by the Security Documents.

17.3   COMMITMENT FEES

17.3.1 The Borrower shall pay a commitment fee in Sterling to the Bank at the
       rate of 0.75 per cent. per annum on the Term Loan Commitment less the
       aggregate of all Term Advances. This commitment fee shall be calculated
       on a day-to-day basis and a 365 day year in respect of the period from
       the date of this Agreement to full drawdown of the Term Advance and shall
       be paid on the last day of that period or on any earlier date on which
       the Term Loan Commitment equals zero.

17.3.2 The Borrower shall pay a commitment fee in Sterling to the Bank at the
       rate of 0.75 per cent. per annum (or, if lower at a rate equal to half
       the Margin from time to time) on the Revolving Credit Commitment less the
       aggregate of all Revolving Advances and the Overdraft Outstandings. The
       commitment fee shall be calculated on a day-to-day basis and a 365 day
       year in respect of the Revolving Credit Commitment Period and shall be
       payable in arrear on each Quarter Date and also on the last day of the
       Revolving Credit Commitment Period or on any earlier date on which the
       Revolving Credit Commitment equals zero.

17.4   DOCUMENTARY TAXES INDEMNITY

       All stamp, documentary, registration or other like duties or Taxes,
       including any penalties, additions, fines, surcharges or interest
       relating to those duties and Taxes, which are imposed or chargeable on or
       in connection with any Financing Document shall be paid by the Borrower.
       The Bank shall be entitled but not obliged to pay any such duties or
       Taxes (whether or not they are its primary responsibility). If the Bank
       does so the Borrower shall on demand indemnify the Bank against those
       duties and Taxes and against any costs and expenses incurred by the Bank
       in discharging them.

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<PAGE>   70

17.5   VAT

17.5.1 All payments made by the Borrower under the Financing Documents are
       calculated without regard to VAT. If any such payment constitutes the
       whole or any part of the consideration for a taxable or deemed taxable
       supply (whether that supply is taxable pursuant to the exercise of an
       option or otherwise) by the Bank, the amount of that payment shall be
       increased by an amount equal to the amount of VAT which is chargeable in
       respect of the taxable supply in question.

17.5.2 No payment or other consideration to be made or furnished to the Borrower
       by the Bank pursuant to or in connection with any Financing Document or
       any transaction or document contemplated in any Financing Document may be
       increased or added to by reference to (or as a result of any increase in
       the rate of) any VAT which shall be or may become chargeable in respect
       of any taxable supply.

17.6   INDEMNITY PAYMENTS

       Where in any Financing Document the Borrower has an obligation to
       indemnify or reimburse the Bank in respect of any loss or payment, the
       calculation of the amount payable by way of indemnity or reimbursement
       shall take account of the likely Tax treatment in the hands of the Bank
       (as determined by the relevant party's auditors) of the amount payable by
       way of indemnity or reimbursement and of the loss or payment in respect
       of which that amount is payable.

17.7   DEBITING AUTHORITY

       The Borrower authorises the Bank to debit from the Borrower's current
       account all fees and expenses arising from time to time under this
       Agreement.

18.    AMENDMENTS AND WAIVERS

18.1   WRITING

18.1.1 Any term of any Financing Document may be amended or waived with the
       written agreement of the Borrower and the Bank.

18.2   NO IMPLIED WAIVERS; REMEDIES CUMULATIVE

       The rights of the Bank under the Financing Documents:

       (a)    may be exercised as often as necessary;

       (b)    are cumulative and not exclusive of its rights under the general
              law; and

       (c)    may be waived only in writing and specifically.

       Delay in exercising or non-exercise of any such right is not a waiver of
       that right.

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<PAGE>   71

19.    MISCELLANEOUS

19.1   SEVERANCE

       If any provision of this Agreement is or becomes illegal, invalid or
       unenforceable in any jurisdiction, that shall not effect:

       (a)    the legality, validity or enforceability in that jurisdiction of
              any other provision of this Agreement; or

       (b)    the legality, validity or enforceability in any other jurisdiction
              of that or any other provision of this Agreement.

19.2   COUNTERPARTS

       This Agreement may be executed in any number of counterparts and this
       shall have the same effect as if the signatures on the counterparts were
       on a single copy of this Agreement.

19.3   PUBLICITY

       The Borrower shall not commission or authorise any press or media
       publicity in relation to this transaction and its financing without first
       consulting the Bank and if using the name of a Bank Party, such name
       shall only be used in such manner as the relevant Party may reasonably
       require. All costs of any agreed publicity shall be for the account of
       the Borrower.

19.4   EURO

       If Sterling is, or is to be replaced by the Euro, the Bank may notify the
       Borrower of any amendments to this Agreement, the other Financing
       Documents or any other document entered into pursuant to this Agreement
       it reasonably considers necessary in order to ensure (i) that the terms
       of this Agreement or any other such document reflect market practice at
       such time with regard to the introduction of monetary union within the
       European Community and/or to reflect market practice applicable to the
       Euro (including any rate applicable as LIBOR); and (ii) insofar as
       reasonably possible and without prejudice to market practice at such
       time, that the Parties shall be left in no worse position than they might
       otherwise have been in had the event mentioned in this Clause not
       occurred. Any such amendments shall take effect as and when specified by
       the Bank in such notice and shall thereupon be and become binding on all
       Parties.

20.    NOTICES

20.1   METHOD

       Each notice or other communication to be given under this Agreement shall
       be given in writing in English and, unless otherwise provided, shall be
       made by telex, fax or letter.

20.2   DELIVERY

       Any notice or other communication to be given by one Party to another
       under this Agreement shall (unless one Party has by 10 Business Days'
       notice to the other Party

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<PAGE>   72

       specified another address) be given to that other Party, at the
       respective addresses given in Clause 20.3.

20.3   ADDRESSES

       The address, telex number, answerback and fax number of the Borrower and
       the Bank are:

       (A)    the Borrower:

              Citrus Grove
              Side Ley
              Kegworth  DE74 2FJ

              Attention:       Finance Director
              Fax:             01509 674683

       (B)    the Bank:

              Lloyds TSB Bank Plc
              Bank House
              Wine Street
              Bristol
              BS1 2AN

              Attention:       Loans Administration
              Fax:             0117 923 3367

              with a copy to:

              Lloyds TSB Bank Plc
              St. George's House
              PO Box 787
              6-8 Eastcheap
              London
              EC3M 1AE

              Attention:       Capital Markets
              Fax:             0171 661 4677

20.4   DEEMED RECEIPT

20.4.1 Any notice or other communication given by the Bank shall be deemed to
       have been received:

       (a)    if sent by telex with the relevant answerback appearing at the
              beginning and end of the telex, on the day on which transmitted;

       (b)    if sent by fax, with a confirmed receipt of transmission from the
              receiving machine, on the day on which transmitted;

       (c)    in the case of a written notice given by hand, on the day of
              actual delivery; and

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<PAGE>   73

       (d)    if posted, on the second Business Day following the day on which
              it was despatched by first class mail postage prepaid,

       provided that a notice given in accordance with the above but received on
       a day which is not a Business Day or after normal business hours in the
       place of receipt shall only be deemed to have been received on the next
       Business Day.

20.4.2 Any notice or other communication given to the Bank shall be deemed to
       have been given only on actual receipt.

21.    ASSIGNMENTS AND TRANSFERS

21.1   BENEFIT OF AGREEMENT

       This Agreement shall be binding upon and enure to the benefit of each
       Party and its successors and assigns.

21.2   ASSIGNMENTS AND TRANSFERS BY THE BORROWER

       The Borrower shall not be entitled to assign or transfer any of its
       rights or obligations under this Agreement.

21.3   ASSIGNMENTS BY THE BANK

       The Bank may assign any of its rights and benefits under the Financing
       Documents to a Qualifying Bank.

21.4   TRANSFERS BY THE BANK

       The Bank may transfer, in accordance with this Clause 21.4, any of its
       rights and obligations under the Financing Documents subject (unless the
       transfer is to an Affiliate of a Bank) to the prior consent of the
       Borrower, not to be unreasonably withheld or delayed.

21.5   GRANT OF PARTICIPATIONS

       It is intended that the Bank will grant participations in all or some of
       the Facilities to a number of banks and financial institutions. The
       Borrower agrees to co-operate with the Bank in granting those
       participations and to enter into the Participation Agreement (or such
       other documents as the Bank reasonably requires) to put the Borrower, the
       Bank and any Bank Participants in the same position they would have been
       in (as near as possible) had this Agreement been a syndicated facility,
       the Bank been the facility agent and the Bank Participants been banks or
       bank transferees under such a syndicated facility. It is intended to
       enable Bank Participants to transfer their participations in a manner
       similar to the transfer of commitments and participations under a
       syndicated facility.

21.6   DISCLOSURE

       The Bank (and any Bank Participant) may disclose information about the
       Borrower and this Facility to anyone to whom it intends to transfer or
       sub-participate its rights under this Facility.

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<PAGE>   74

22.    INDEMNITIES

22.1   BREAKAGE COSTS INDEMNITY

       The Borrower shall indemnify the Bank on demand against any loss or
       expense (including any loss of Margin or any other loss or expense on
       account of funds borrowed, contracted for or utilised to fund any amount
       payable under this Agreement, any amount repaid or prepaid under this
       Agreement or any Advance) which the Bank has sustained or incurred as a
       consequence of:

       (a)    an Advance not being made following the service of a Drawdown
              Notice (except as a result of the failure of the Bank to comply
              with its obligations under this Agreement);

       (b)    the failure of the Borrower to make payment on the due date of any
              sum due under this Agreement;

       (c)    the occurrence of any Default or the operation of Clause 15.2; or

       (d)    any prepayment or repayment of (i) a Revolving Advance otherwise
              than on the last day of the Interest Period in relation to that
              Advance or (ii) a Term Advance otherwise than on an Interest Date
              relative to that Advance.

22.2   CURRENCY INDEMNITY

22.2.1 Any payment made to or for the account of or received by the Bank in
       respect of any moneys or liabilities due, arising or incurred by the
       Borrower to the Bank in a currency (the "CURRENCY OF PAYMENT") other than
       the currency in which the payment should have been made under this
       Agreement (the "CURRENCY OF OBLIGATION") in whatever circumstances
       (including as a result of a judgment against the Borrower) and for
       whatever reason shall constitute a discharge to the Borrower only to the
       extent of the Currency of Obligation amount which the Bank is able on the
       date of receipt of such payment (or if such date of receipt is not a
       Business Day, on the next succeeding Business Day) to purchase with the
       Currency of Payment amount at its spot rate of exchange (as conclusively
       determined by the Bank) in the London foreign exchange market.

22.2.2 If the amount of the Currency of Obligation which the Bank is so able to
       purchase falls short of the amount originally due to the Bank under this
       Agreement, then the relevant Borrower shall immediately on demand
       indemnify the Bank against any loss or damage arising as a result of that
       shortfall by paying to the Bank that amount in the Currency of Obligation
       certified by the Bank as necessary so to indemnify it.

22.3   TRANSACTION INDEMNITY

22.3.1 The Borrower agrees to indemnify and hold the Bank and its directors,
       officers and agents (the "INDEMNIFIED PARTIES") harmless from and against
       any and all claims, damages, liabilities, taxes, costs and expenses
       (including reasonable and proper legal fees, travel and other expenses
       and disbursements) which may be incurred by or asserted against any
       Indemnified Party in connection with or arising out of any investigation,
       litigation or proceedings relating to this Agreement or the financing of
       the acquisition of the Target Shares and/or the Target Assets (except for
       any arising out of such Indemnified Party's gross negligence or wilful
       default) whether or not the Indemnified Parties are parties thereto, and
       will pay all costs and expenses of the Indemnified Parties (including all

                                       69
<PAGE>   75

       reasonable and proper legal fees, expenses and disbursements) incurred or
       sustained by the Indemnified Parties in connection with the same whether
       or not the Facilities are utilised or the acquisition of the Target
       Shares and/or the Target Assets is completed.

22.3.2 Any Indemnified Party that proposes to assert the right to be indemnified
       under this Clause 22.3 will, promptly after receipt of notice of
       commencement of any action, suit or proceeding against such party in
       respect of which a claim is to be made against the Borrower under this
       Clause 22.3 notify the Borrower of the commencement of such action, suit
       or proceeding, enclosing a copy of all papers served, but the omission so
       to notify the Borrower of any such action, suit or proceeding shall not
       relieve the Borrower from any liability that it may have to any
       Indemnified Party unless the Borrower is effectively precluded from
       exercising any of its material rights to contest such claim as a result
       of such omission to notify.

22.3.3 In case any such action, suit or proceeding shall be brought against any
       Indemnified Party and notification has been made to the Borrower of the
       commencement thereof, the Borrower shall be entitled to participate in
       such action, suit or proceeding.

22.4   GENERAL

22.4.1 The indemnities in this Clause 22 shall constitute separate and
       independent obligations from the other obligations contained in this
       Agreement, shall give rise to separate and independent causes of action,
       shall apply irrespective of any indulgence granted from time to time and
       shall continue in full force and effect notwithstanding any judgment or
       order for a liquidated sum or sums in respect of amounts due under this
       Agreement or under any such judgment or order.

22.4.2 The certificate of the Bank as to the amount of any loss or damage
       sustained or incurred by it shall be conclusive and binding on the
       Borrower except for any manifest error.

23.    LAW

       This Agreement is governed by and shall be construed in accordance with
       English law.

IN WITNESS the Parties have caused this Agreement to be duly executed on the
date set out above.

                                       70

<PAGE>   76

THE BORROWER

SIGNED by                                 )
BRIAN R MACKIE                            )            /s/ B R MACKIE
for and on behalf of                      )
COTT UK LIMITED                           )
(now called COTT BEVERAGES LIMITED)       )
                                          )

THE BANK

SIGNED by                                 )
PETER J CANNON                            )            /s/ P J CANNON
for and on behalf of                      )
LLOYDS BANK PLC                           )
(now called LLOYDS TSB BANK PLC)

                                       71<PAGE>   1

                                                                    EXHIBIT 10.1

                              TERMINATION AGREEMENT

     TERMINATION AGREEMENT ("Agreement") made the first day of November, 1999 by
and among PREMIUM BEVERAGE PACKERS, INC., a Pennsylvania corporation having an
address of 1090 Spring Street, Reading, Pennsylvania 19610 ("Premium"), JEFFREY
D. HETTINGER, an adult individual having an address of 1090 Spring Street,
Reading, Pennsylvania 19610 ("Hettinger"), COTT BEVERAGES USA, INC., a Georgia
corporation having an address of 5405 Cypress Center Drive, Suite 100, Tampa,
Florida 33609 ("Cott USA"), and COTT CORPORATION, a Canadian corporation having
an address of 207 Queen's Quay Way, Suite 340, Toronto, Ontario M5J 1A7 (Cott
Canada").

     WHEREAS, Premium, Cott USA and Cott Canada executed an Asset Purchase
Agreement dated February 11, 1997 (the "Purchase Agreement"), wherein, among
other things, Premium agreed to sell to Cott USA various assets used by Premium
in the business of manufacturing, bottling, distributing and selling Private
Label Beverage products;

     WHEREAS, closing under the Purchase Agreement occurred on February 11,
1997, effective January 27, 1997;

     WHEREAS, in conjunction with the Purchase Agreement (i) Premium and Cott
USA executed a Contract Packing Agreement dated February 11, 1997 (the "Contract
Packing Agreement"), (ii) Hettinger, Cott USA and Cott Canada executed a
Non-Competition and Confidentiality Agreement dated February 11, 1997 (the
"Hettinger Non-Competition Agreement"), (iii) Premium, Cott USA and Cott Canada
executed a Non-Competition and Confidentiality Agreement dated February 11, 1997
(the "Premium Non-Competition Agreement"), and (iv) Hettinger, Premium and Cott
USA executed a Stock and Asset Purchase Option dated February 11, 1997 (the
"Option Agreement");

     WHEREAS, various transactions under the Purchase Agreement were to be
performed after its execution, including, without limitation, Cott USA's payment
of the portion of the purchase price known as the Additional Amount;

<PAGE>   2

     WHEREAS, the parties desire to (i) provide for a fixed, lump sum payment by
Cott USA to Premium in lieu of future payments of the Additional Amount, (ii)
reconcile various amounts owed among them, (iii) terminate the Purchase
Agreement, (iv) amend and restate the Option Agreement, (v) amend and restate
the Contract Packing Agreement, (vi) amend the Hettinger Non-Competition
Agreement and the Premium Non-Competition Agreement, and (vii) grant releases to
each other; and

     WHEREAS, the parties have reached an agreement concerning the foregoing
matters and desire to set forth their agreement in writing.

     NOW, THEREFORE, in consideration of the mutual covenants set forth in this
Agreement, and intending to be legally bound, the parties agree as follows:

     1. Defined Terms. All defined terms used in this Agreement and not defined
in this Agreement shall have the meanings given to those terms in the Purchase
Agreement.

     2. Lump Sum Payment by Cott USA to Premium; Provision of Equipment,
Improvements and Services. In lieu of further payments of the Additional Amount,
Cott USA agrees as follows:

     (a) upon the execution of this Agreement, Cott USA shall pay Premium the
amount of $25,000,000 in immediately available United States Dollars
("Immediately Available Funds") by wire transfer to a bank account or accounts
designated by Premium in accordance with wiring instructions furnished by
Premium to Cott USA.;

     (b) pursuant to and in accordance with the Amended and Restated Contract
Packing Agreement referenced in Section 5 below, Cott USA shall pay Premium the
amount of $ * [CONFIDENTIAL TREATMENT HAS BEEN REQUESTED] in equipment,
improvements and services.

     3. Reconciliation of Amounts Owed . Upon the execution of this Agreement,
Premium shall pay Cott USA the amount of $ * [CONFIDENTIAL TREATMENT HAS BEEN

                                       2

<PAGE>   3

REQUESTED] in Immediately Available Funds by wire transfer to a bank account or
accounts designated by Cott USA in accordance with wiring instructions furnished
by Cott USA to Premium. This payment constitutes a reconciliation of amounts
payable under the Purchase Agreement and the Contract Packing Agreement, which
amounts are particularly described in the attached Exhibit "A".

     4. Termination of Duties, Liabilities and Obligations Under Purchase
Agreement. Effective the date of this Agreement, Premium and Cott USA agree that
each of them shall have no further duties, liabilities or obligations to the
other under the Purchase Agreement, except for and excluding the following
duties, liabilities and obligations, which shall survive in full force and
effect (collectively, the "Surviving Obligations"):

     (a) the duties, liabilities and obligations set forth in Sections 2.2, 4.2,
5.10 and Articles 10 and 12 of the Purchase Agreement;

     (b) the obligation of Premium under Subsection 8.1(a) of the Purchase
Agreement to indemnify Cott USA for a breach of Sections 2.2, 4.2 and 5.10 of
the Purchase Agreement (no other duties, liabilities or obligations arising
under Subsection 8.1(a) of the Purchase Agreement shall survive);

     (c) the duties, liabilities and obligations set forth in Subsections
8.1(b), 8.1(d), 8.1(e), 8.1(f), 8.1(g) and Section 8.3 of the Purchase
Agreement.; and

     (d) the duties, liabilities and obligations set forth in Subsection 8.1(c),
provided that Premium shall have no indemnification obligation with respect to
breaches under the contracts referenced in such Subsection which occurred (i)
after February 11, 1997 in the case of oral contracts and written contracts for
which consents to assignment were not obtained prior to the date hereof, (ii)
after the third party to such contract gave its written consent to the
assignment of the contract to Cott USA, in the case of written contracts for
which consents were obtained after closing and prior to the date hereof.

                                       3

<PAGE>   4

     5. Amendment and Restatement of Contract Packing Agreement. Upon the
execution of this Agreement, Premium and Cott USA shall execute and deliver an
Amended and Restated Contract Packing Agreement in the form of Exhibit "B"
attached hereto.

     6. Amendment of Hettinger Non-Competition Agreement and Premium
Non-Competition Agreement. Upon the execution of this Agreement (i) Hettinger,
Cott USA and Cott Canada shall execute and deliver a First Amendment to
Non-Competition and Confidentiality Agreement in the form of Exhibit "C"
attached hereto which amends the Hettinger Non-Competition Agreement, and (ii)
Premium, Cott USA and Cott Canada shall execute and deliver a First Amendment to
Non-Competition and Confidentiality Agreement in the form of Exhibit "D"
attached hereto which amends the Premium Non-Competition Agreement.

     7. Amendment and Restatement of Option Agreement. Upon the execution of
this Agreement, Hettinger, Premium and Cott USA shall execute and deliver an
Amended and Restated Stock and Asset Purchase Option in the form of Exhibit "E"
attached hereto.

     8. Intellectual Property. Cott USA agrees that Premium and its affiliates,
successors and assigns shall have the perpetual and irrevocable right to use all
Intellectual Property sold to Cott USA under the Purchase Agreement to the
extent that the Premium Non-Competition Agreement does not prohibit Premium from
manufacturing, distributing or marketing the products and services relating to
such Intellectual Property.

     9. Releases.

     (a) Premium and Hettinger (collectively, the "Premium Releasing Parties")
hereby, except as provided below, remise, release and forever discharge Cott USA
and Cott Canada and their respective officers, directors, employees, agents,
contractors, affiliates, successors and assigns (collectively, the "Cott
Released Parties") of and from all, and all manner of, actions, causes of
action, suits, debts, dues, accounts, covenants, promises, contracts,
agreements, duties, obligations, liabilities, judgments, claims and demands
whatsoever, known and unknown, at law or in equity, which against the Cott
Released Parties (or any of them) the

                                       4

<PAGE>   5

Premium Releasing Parties (or any of them) ever had, now have, or hereafter can,
shall or may have, for or by reason of any cause, matter, thing, fact or
circumstance existing as of the date of this Agreement, including without
limitation, any obligations relating to the Additional Amount, provided that the
foregoing release shall not apply to (i) actions, causes of action, suits,
debts, dues, accounts, covenants, promises, contracts, agreements, duties,
obligations, liabilities, judgments, claims and demands set forth in or arising
under (A) this Agreement, and (B) the Amended and Restated Contract Packing
Agreement, (C) the Hettinger Non-Competition Agreement, as amended on the date
hereof, (D) the Premium Non-Competition Agreement, as amended on the date
hereof, and (E) the Amended and Restated Stock and Asset Purchase Option, but
only if based upon an act, omission, event, cause, matter, thing, fact or
circumstance which arises after, and does not exist on, the date of this
Agreement, (ii) Cott USA's obligations to Premium under the Contract Packing
Agreement or otherwise with respect to trade mark infringement claims by third
parties against Premium for products manufactured and packaged by Premium
pursuant to and in accordance with the provisions of the Contract Packing
Agreement, (iii) the obligations of the parties under the Contract Packing
Agreement to reconcile Premium's inventory of raw materials supplied by Cott
USA, and (iv) the Surviving Obligations.

     (b) Cott USA and Cott Canada (collectively, the "Cott Releasing Parties")
hereby, except as provided below, remise, release and forever discharge Premium
and Hettinger and their respective officers, directors, employees, agents,
contractors, affiliates, heirs, personal representatives, successors and assigns
(collectively, the "Premium Released Parties") of and from all, and all manner
of, actions, causes of action, suits, debts, dues, accounts, covenants,
promises, contracts, agreements, duties, obligations, liabilities, judgments,
claims and demands whatsoever, known and unknown, at law or in equity, which
against the Premium Released Parties (or any of them) the Cott Releasing Parties
(or any of them) ever had, now have, or hereafter can, shall or may have, for or
by reason of any cause, matter, thing, fact or circumstance existing as of the
date of this Agreement, provided that the foregoing release shall not apply to
(i) actions, causes of action, suits, debts, dues, accounts, covenants,
promises, contracts, agreements, duties, obligations, liabilities, judgments,
claims and demands set forth in or arising under (A) this Agreement, and (B) the
Amended and Restated Contract Packing Agreement, (C) the Hettinger
Non-Competition Agreement, as amended on the date hereof, (D) the Premium
Non-Competition Agreement, as amended on the date hereof, and (E) the Amended

                                       5
<PAGE>   6

and Restated Stock and Asset Purchase Option, but only if based upon an act,
omission, event, cause, matter, thing, fact or circumstance which arises after,
and does not exist on, the date of this Agreement, (ii) Premium's obligations to
Cott USA under the Contract Packing Agreement or otherwise with respect to
claims against Cott USA and/or its Affiliates and all customers of Cott USA
and/or its Affiliates and their respective employees, officers, directors,
agents, shareholders, successors and assigns relating to the manufacture,
warehousing, handling or distribution of any products by or on behalf of Premium
which involve products manufactured and packaged by Premium under the Contract
Packing Agreement, (iii) the obligations of the parties under the Contract
Packing Agreement to reconcile Premium's inventory of raw materials supplied by
Cott USA, and (iv) the Surviving Obligations.

     10. General Contract Provisions. This Agreement shall be construed under
and governed by the internal, domestic laws (but not the law of conflict of
laws) of the Commonwealth of Pennsylvania. Each party submits itself to the
non-exclusive jurisdiction of the Court of Common Pleas of Berks County,
Pennsylvania and the United States District Court for the Eastern District of
Pennsylvania, in any suit filed therein which relates in any way to this
Agreement or any of the agreements referenced herein. This Agreement shall inure
to the benefit of and be binding upon the parties and their respective heirs,
personal representatives, successors and assigns. This Agreement sets forth the
entire understanding and agreement among the parties with respect to the matters
addressed herein and supersedes all prior understandings and agreements, both
oral and written, among the parties with respect to such matters. This Agreement
may be modified only by means of a written agreement executed by the party
alleged to be bound by the modification, and this Agreement may not be modified
by any oral agreement or course of dealings among any of the parties. The
foregoing WHEREAS clauses and the Exhibits attached to this Agreement are
integral and substantive parts of this Agreement and are incorporated into this
Agreement by reference.

                                       6

<PAGE>   7

     IN WITNESS WHEREOF, the parties have executed and delivered this
Termination Agreement on the day and year first above written.

Attest:                                 PREMIUM BEVERAGE PACKERS, INC.

/S/ Michele K. Hettinger                By: /S/ Jeffrey D. Hettinger
------------------------                    ------------------------
Title: Asst. Secretary                      Title: President

Witness:

/S/ Ernest Choquette                    /S/ Jeffrey D. Hettinger
--------------------                    ------------------------
                                        JEFFREY D. HETTINGER

Attest:                                 COTT BEVERAGES USA, INC.

/S/ Stephen Bloom                       By: /S/ P. Richardson  /S/ Mark Halperin
                                            ------------------------------------
Title:                                      Title: Exec VP.   SVP & Secy

Attest:                                 COTT CORPORATION

/S/ Mark Halperin                       By: /S/ P. Richardson
-----------------                           -----------------
Title:                                      Title: Exec VP

                                       7
<PAGE>   8

EXHIBIT A
- [CONFIDENTIAL TREATMENT HAS BEEN REQUESTED]

                                        8

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