Document:

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                                                                    Exhibit 4.01

THIS NOTE IS A GLOBAL NOTE WITHIN THE MEANING OF THE INDENTURE HEREINAFTER
REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE THEREOF.
UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR NOTES IN CERTIFICATED
FORM, THIS NOTE MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITORY TRUST
COMPANY, A NEW YORK CORPORATION ("DTC"), TO A NOMINEE OF DTC OR BY DTC OR ANY
SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR
DEPOSITARY. UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF DTC
TO SALOMON SMITH BARNEY HOLDINGS INC. OR ITS AGENT FOR REGISTRATION OF TRANSFER,
EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO.
OR IN SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND
ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR
VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED
OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

No. R-1                                           INITIAL PRINCIPAL AMOUNT
CUSIP [        ]                                  REPRESENTED $[        ]
                                                  representing [        ] ELKS
                                                  ($10 per ELKS)

                       SALOMON SMITH BARNEY HOLDINGS INC.
                   Equity Linked Securities (ELKS(SM)) based upon
               the Common Stock of Intel Corporation due [ ], 2003

         Salomon Smith Barney Holdings Inc., a New York corporation (hereinafter
referred to as the "Company", which term includes any successor corporation
under the Indenture herein referred to), for value received and on condition
that this Note is not redeemed by the Company prior to [ ], 2003 (the "Stated
Maturity Date"), hereby promises to pay to CEDE & CO., or its registered
assigns, the Maturity Payment (as defined below), on the Stated Maturity Date.
This Note will bear semi-annual payments of interest, is not subject to any
sinking fund, is not subject to redemption at the option of the Holder thereof
prior to the Stated Maturity Date, and is not subject to the defeasance
provisions of the Indenture.

         Payment of the Maturity Payment with respect to this Note shall be made
upon presentation and surrender of this Note at the corporate trust office of
the Trustee in the Borough of Manhattan, The City and State of New York, in such
coin or currency of the United States as at the time of payment is legal tender
for payment of public and private debts or, if applicable, in the common stock
of Intel Corporation ("Intel").

         This Note is one of the series of Equity Linked Securities based upon
the common stock of Intel Corporation due [ ], 2003 (the "ELKS").
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COUPON

         A coupon of $[ ] per ELKS will be paid in cash on [ ], 2002 and a
coupon of $[ ] per ELKS will be paid in cash on [ ], 2003. The [ ], 2002 coupon
will be composed of $[ ] of interest and a partial payment of an option premium
in the amount of $[ ]. The [ ], 2003 coupon will be composed of $[ ] of interest
and a partial payment of an option premium in the amount of $[ ]. Coupon
payments will be payable to the persons in whose names the ELKS are registered
at the close of business on the Business Day preceding each Interest Payment
Date. If an Interest Payment Date falls on a day that is not a Business Day, the
coupon payment to be made on such Interest Payment Date will be made on the next
succeeding Business Day with the same force and effect as if made on such
Interest Payment Date, and no additional interest will accrue as a result of
such delayed payment.

         "Business Day" means any day that is not a Saturday, a Sunday or a day
on which the AMEX or banking institutions or trust companies in the City of New
York are authorized or obligated by law or executive order to close.

         The interest portion of the coupon will represent interest accruing at
a rate of [ ]% per annum from [ ], 2002 or from the most recent Interest Payment
Date to which the interest portion of the coupon has been paid or provided for
until maturity. The interest portion of the coupon will be computed on the basis
of a 360-day year of twelve 30-day months.

PAYMENT AT MATURITY

         On the Stated Maturity Date, Holders of the ELKS will receive for each
ELKS the Maturity Payment described below.

DETERMINATION OF THE MATURITY PAYMENT

         The Maturity Payment for each ELKS equals either:

         -        a number of shares of Intel common stock equal to the Exchange
                  Rate, if the Trading Price of Intel common stock on any
                  Trading Day after [ ], 2002 up to and including the third
                  Trading Day before the Stated Maturity Date (whether intra-day
                  or at the close of trading on any day) is less than or equal
                  to $[ ] (approximately 65% of the initial share price), or

         -        $10 in cash.

         In lieu of any fractional share of Intel common stock otherwise payable
in respect of any ELKS, at the Stated Maturity Date, the Holder of this Note
will receive an amount in cash equal to the value of such fractional share of
Intel common stock, based on the Closing Price of Intel common stock on the
third Trading Day before the Stated Maturity Date. The number of full shares of
Intel common stock, and any cash in lieu of a fractional share, to be delivered
at the Stated Maturity Date to the Holder of this Note will be calculated based
on the aggregate number of ELKS held by such Holder.

                                       2
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         The "Closing Price" of Intel common stock (or any other security for
which a Closing Price must be determined) on any date of determination will be
(1) if the common stock is listed on a national securities exchange on that date
of determination, the closing sale price or, if no closing sale price is
reported, the last reported sale price on that date on the principal U.S.
exchange on which the common stock is listed or admitted to trading, (2) if the
common stock is not listed on a national securities exchange on that date of
determination, or if the closing sale price or last reported sale price is not
obtainable (even if the common stock is listed or admitted to trading on such
exchange), and the common stock is quoted on the Nasdaq National Market, the
closing sale price or, if no closing sale price is reported, the last reported
sale price on that date as reported on the Nasdaq, and (3) if the common stock
is not quoted on the Nasdaq on that date of determination or, if the closing
sale price or last reported sale price is not obtainable (even if the common
stock is quoted on the Nasdaq), the last quoted bid price for the common stock
in the over-the-counter market on that date as reported by the OTC Bulletin
Board, the National Quotation Bureau or a similar organization. If no closing
sale price or last reported sale price is available pursuant to clauses (1), (2)
or (3) of the preceding sentence or if there is a Market Disruption Event, the
Closing Price on any date of determination will be the arithmetic mean, as
determined by the calculation agent, of the bid prices of the common stock
obtained from as many dealers in such stock (which may include Salomon Smith
Barney Inc. or any of our other subsidiaries or affiliates), but not exceeding
three such dealers, as will make such bid prices available to the calculation
agent. A security "quoted on the Nasdaq National Market" will include a security
included for listing or quotation in any successor to such system and the term
"OTC Bulletin Board" will include any successor to such service.

         The "Initial Share Price" will equal $[ ], the price per share of Intel
common stock at the market close on [ ], 2002.

         The "Exchange Rate" will equal [          ].

         A "Market Disruption Event" means the occurrence or existence of any
suspension of or limitation imposed on trading (by reason of movements in price
exceeding limits permitted by any exchange or market or otherwise) of, or the
unavailability, through a recognized system of public dissemination of
transaction information, of accurate price, volume or related information in
respect of, (1) the shares of Intel common stock on any exchange or market, or
(2) any options contracts or futures contracts relating to the shares of Intel
common stock, or any options on such futures contracts, on any exchange or
market if, in each case, in the determination of the calculation agent, any such
suspension, limitation or unavailability is material.

         A "Trading Day" means a day, as determined by the calculation agent, on
which trading is generally conducted (or was scheduled to have been generally
conducted, but for the occurrence of a Market Disruption Event) on the New York
Stock Exchange, the AMEX, the Nasdaq National Market, the Chicago Mercantile
Exchange and the Chicago Board Options Exchange, and in the over-the-counter
market for equity securities in the United States.

         The "Trading Price" of Intel common stock (or any other common stock
for which a Trading Price must be determined) on any date of determination will
be (1) if the common stock is listed on a national securities exchange on that
date of determination, any reported sale price,

                                       3
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regular way, of the principal trading session on that date on the principal U.S.
exchange on which the common stock is listed or admitted to trading, (2) if the
common stock is not listed on a national securities exchange on that date of
determination, or if the reported sale price on such exchange is not obtainable
(even if the common stock is listed or admitted to trading on such exchange),
and the common stock is quoted on the Nasdaq National Market, any reported sale
price of the principal trading session on that date as reported on the Nasdaq,
and (3) if the common stock is not quoted on the Nasdaq on that date of
determination, or if the reported sale price on the Nasdaq is not obtainable
(even if the common stock is quoted on the Nasdaq), any reported sale price of
the principal trading session on the over-the-counter market on that date as
reported on the OTC Bulletin Board, the National Quotation Bureau or a similar
organization. The determination of the Trading Price by the calculation agent in
the event of a Market Disruption Event may be deferred by the calculation agent
for up to five consecutive Trading Days on which a Market Disruption Event is
occurring. If no reported sale price of the principal trading session is
available pursuant to clauses (1), (2) or (3) above or if there is a Market
Disruption Event, the Trading Price on any date of determination, unless
deferred by the calculation agent as described in the preceding sentence, will
be the arithmetic mean, as determined by the calculation agent, of the bid
prices of the common stock obtained from as many dealers in such stock (which
may include Salomon Smith Barney Inc. or any of our other subsidiaries or
affiliates), but not exceeding three such dealers, as will make such bid prices
available to the calculation agent. A security "quoted on the Nasdaq National
Market" will include a security included for listing or quotation in any
successor to such system and the term "OTC Bulletin Board" will include any
successor to such service.

DILUTION ADJUSTMENTS

         If Intel, after the closing date of the offering of the ELKS,

         (1)      pays a stock dividend or makes a distribution with respect to
                  its common stock in shares of the stock,

         (2)      subdivides or splits the outstanding shares of its common
                  stock into a greater number of shares,

         (3)      combines the outstanding shares of the common stock into a
                  smaller number of shares, or

         (4)      issues by reclassification of shares of its common stock any
                  shares of other common stock of Intel,

then, in each of these cases, the Exchange Rate will be multiplied by a dilution
adjustment equal to a fraction, the numerator of which will be the number of
shares of common stock outstanding immediately after the event, plus, in the
case of a reclassification referred to in (4) above, the number of shares of
other common stock of Intel, and the denominator of which will be the number of
shares of common stock outstanding immediately before the event.

                                       4
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         If Intel, after the closing date, issues, or declares a record date in
respect of an issuance of, rights or warrants to all holders of its common stock
entitling them to subscribe for or purchase shares of its common stock at a
price per share less than the Then-Current Market Price of the common stock,
other than rights to purchase common stock pursuant to a plan for the
reinvestment of dividends or interest, then, in each of these cases, the
Exchange Rate will be multiplied by a dilution adjustment equal to a fraction,
the numerator of which will be the number of shares of common stock outstanding
immediately before the adjustment is effected, plus the number of additional
shares of common stock offered for subscription or purchase pursuant to the
rights or warrants, and the denominator of which will be the number of shares of
common stock outstanding immediately before the adjustment is effected by reason
of the issuance of the rights or warrants, plus the number of additional shares
of common stock which the aggregate offering price of the total number of shares
of common stock offered for subscription or purchase pursuant to the rights or
warrants would purchase at the Then-Current Market Price of the common stock,
which will be determined by multiplying the total number of shares so offered
for subscription or purchase by the exercise price of the rights or warrants and
dividing the product obtained by the Then-Current Market Price. To the extent
that, after the expiration of the rights or warrants, the shares of common stock
offered thereby have not been delivered, the Exchange Rate will be further
adjusted to equal the Exchange Rate which would have been in effect had the
adjustment for the issuance of the rights or warrants been made upon the basis
of delivery of only the number of shares of common stock actually delivered.

         If Intel, after the closing date, declares or pays a dividend or makes
a distribution to all holders of the common stock of any class of its capital
stock, the capital stock of one or more of its subsidiaries, evidences of its
indebtedness or other non-cash assets, excluding any dividends or distributions
referred to in the above paragraph, or issues to all holders of its common stock
rights or warrants to subscribe for or purchase any of its or one or more of its
subsidiaries' securities, other than rights or warrants referred to in the above
paragraph, then, in each of these cases, the Exchange Rate will be multiplied by
a dilution adjustment equal to a fraction, the numerator of which will be the
Then-Current Market Price of one share of the common stock, and the denominator
of which will be the Then-Current Market Price of one share of the common stock,
less the fair market value (as determined by a nationally recognized independent
investment banking firm retained for this purpose by the Company, whose
determination will be final) as of the time the adjustment is effected of the
portion of the capital stock, assets, evidences of indebtedness, rights or
warrants so distributed or issued applicable to one share of common stock.

         Notwithstanding the foregoing, in the event that, with respect to any
dividend or distribution to which the above paragraph would otherwise apply, the
denominator in the fraction referred to in the above formula is less than $1.00
or is a negative number, then the Company may, at its option, elect to have the
adjustment provided by this paragraph not be made and in lieu of this
adjustment, at maturity, each Holder of the ELKS will be entitled to receive an
additional amount of cash equal to the product of the number of ELKS held by the
holder multiplied by the fair market value of the capital stock, indebtedness,
assets, rights or warrants (determined, as of the date this dividend or
distribution is made, by a nationally recognized independent investment banking
firm retained for this purpose by the Company, whose

                                       5
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determination will be final) so distributed or issued applicable to a number of
shares of Intel common stock equal to the Exchange Rate.

         If Intel, after the closing date, declares a record date in respect of
a distribution of cash, other than any Permitted Dividends described below, any
cash distributed in consideration of fractional shares of common stock and any
cash distributed in a Reorganization Event referred to below, by dividend or
otherwise, to all holders of its common stock, or makes an Excess Purchase
Payment, then the Exchange Rate will be multiplied by a dilution adjustment
equal to a fraction, the numerator of which will be the Then-Current Market
Price of the common stock, and the denominator of which will be the Then-Current
Market Price of the common stock on the record date less the amount of the
distribution applicable to one share of common stock which would not be a
Permitted Dividend, or, in the case of an Excess Purchase Payment, less the
aggregate amount of the Excess Purchase Payment for which adjustment is being
made at the time divided by the number of shares of Intel common stock
outstanding on the record date.

         For the purposes of these adjustments:

         A "Permitted Dividend" is any quarterly cash dividend in respect of
Intel common stock, other than a quarterly cash dividend that exceeds the
immediately preceding quarterly cash dividend, and then only to the extent that
the per share amount of this dividend results in an annualized dividend yield on
the common stock in excess of 10%.

         An "Excess Purchase Payment" is the excess, if any, of (x) the cash and
the value (as determined by a nationally recognized independent investment
banking firm retained for this purpose by the Company, whose determination will
be final) of all other consideration paid by Intel with respect to one share of
common stock acquired in a tender offer or exchange offer by Intel, over (y) the
Then-Current Market Price of the common stock.

         Notwithstanding the foregoing, in the event that, with respect to any
dividend or distribution or Excess Purchase Payment to which the fifth paragraph
in this section would otherwise apply, the denominator in the fraction referred
to in the formula in that paragraph is less than $1.00 or is a negative number,
then the Company may, at its option, elect to have the adjustment provided by
the fifth paragraph in this section not be made and in lieu of this adjustment,
at maturity, each Holder of the ELKS will be entitled to receive an additional
amount of cash equal to the product of the number of ELKS held by the Holder
multiplied by the sum of the amount of cash plus the fair market value of other
consideration (determined, as of the date this dividend or distribution is made,
by a nationally recognized independent investment banking firm retained for this
purpose by the Company, whose determination will be final) so distributed or
applied to the acquisition of the common stock in the tender offer or exchange
offer applicable to a number of shares of Intel common stock equal to the
Exchange Rate.

         Each dilution adjustment will be effected as follows:

         -        in the case of any dividend, distribution or issuance, at the
                  opening of business on the Business Day next following the
                  record date for determination of holders of Intel common stock
                  entitled to receive this dividend, distribution or issuance
                  or, if

                                       6
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                  the announcement of this dividend, distribution, or issuance
                  is after this record date, at the time this dividend,
                  distribution or issuance was announced by Intel,

         -        in the case of any subdivision, split, combination or
                  reclassification, on the effective date of the transaction,

         -        in the case of any Excess Purchase Payment for which Intel
                  announces, at or prior to the time it commences the relevant
                  share repurchase, the repurchase price per share for shares
                  proposed to be repurchased, on the date of the announcement,
                  and

         -        in the case of any other Excess Purchase Payment, on the date
                  that the holders of the repurchased shares become entitled to
                  payment in respect thereof.

         All dilution adjustments will be rounded upward or downward to the
nearest 1/10,000th or, if there is not a nearest 1/10,000th, to the next lower
1/10,000th. No adjustment in the Exchange Rate will be required unless the
adjustment would require an increase or decrease of at least one percent
therein, provided, however, that any adjustments which by reason of this
sentence are not required to be made will be carried forward (on a percentage
basis) and taken into account in any subsequent adjustment. If any announcement
or declaration of a record date in respect of a dividend, distribution, issuance
or repurchase requiring an adjustment as described herein is subsequently
canceled by Intel, or this dividend, distribution, issuance or repurchase fails
to receive requisite approvals or fails to occur for any other reason, then,
upon the cancellation, failure of approval or failure to occur, the Exchange
Rate will be further adjusted to the Exchange Rate which would then have been in
effect had adjustment for the event not been made. If a Reorganization Event
described below occurs after the occurrence of one or more events requiring an
adjustment as described herein, the dilution adjustments previously applied to
the Exchange Rate will not be rescinded but will be applied to the new Exchange
Rate provided for below.

         The "Then-Current Market Price" of the common stock, for the purpose of
applying any dilution adjustment, means the average Closing Price per share of
common stock for the 10 Trading Days immediately before this adjustment is
effected or, in the case of an adjustment effected at the opening of business on
the Business Day next following a record date, immediately before the earlier of
the date the adjustment is effected and the related Ex-Date. For purposes of
determining the Then-Current Market Price, the determination of the Closing
Price by the calculation agent in the event of a Market Disruption Event, as
described in the definition of Closing Price, may be deferred by the calculation
agent for up to five consecutive Trading Days on which a Market Disruption Event
is occurring.

         The "Ex-Date" with respect to any dividend, distribution or issuance is
the first date on which the shares of the common stock trade in the regular way
on their principal market without the right to receive this dividend,
distribution or issuance.

                                       7
<PAGE>
         In the event of any of the following "Reorganization Events":

         -        any consolidation or merger of Intel, or any surviving entity
                  or subsequent surviving entity of Intel, with or into another
                  entity, other than a merger or consolidation in which Intel is
                  the continuing corporation and in which the common stock
                  outstanding immediately before the merger or consolidation is
                  not exchanged for cash, securities or other property of Intel
                  or another issuer,

         -        any sale, transfer, lease or conveyance to another corporation
                  of the property of Intel or any successor as an entirety or
                  substantially as an entirety,

         -        any statutory exchange of securities of Intel or any successor
                  of Intel with another issuer, other than in connection with a
                  merger or acquisition, or

         -        any liquidation, dissolution or winding up of Intel or any
                  successor of Intel,

each Holder of the ELKS will have the right to receive cash in an amount per $10
principal amount of ELKS equal to the Exchange Rate multiplied by the
Transaction Value (as defined below).

         The "Transaction Value" will be the sum of:

         (1)      for any cash received in a Reorganization Event, the amount of
                  cash received per share of common stock,

         (2)      for any property other than cash or Marketable Securities
                  received in a Reorganization Event, an amount equal to the
                  market value on the date the Reorganization Event is
                  consummated of that property received per share of common
                  stock, as determined by a nationally recognized independent
                  investment banking firm retained for this purpose by the
                  Company, whose determination will be final, and

         (3)      for any Marketable Securities received in a Reorganization
                  Event, an amount equal to the Closing Price per share of these
                  Marketable Securities on the Trading Day immediately prior to
                  the maturity date or Exchange Date multiplied by the number of
                  these Marketable Securities received for each share of common
                  stock.

         "Marketable Securities" are any perpetual equity securities or debt
securities with a stated maturity after the maturity date, in each case that are
listed on a U.S. national securities exchange or reported by the Nasdaq Stock
Market. The number of shares of any equity securities constituting Marketable
Securities included in the calculation of Transaction Value pursuant to clause
(3) above will be adjusted if any event occurs with respect to the Marketable
Securities or the issuer of the Marketable Securities between the time of the
Reorganization Event and maturity that would have required an adjustment as
described above, had it occurred with respect to the Intel common stock or
Intel. Adjustment for these subsequent events will be as nearly equivalent as
practicable to the adjustments described above.

                                       8
<PAGE>
GENERAL

         This Note is one of a duly authorized issue of Debt Securities of the
Company, issued and to be issued in one or more series under a Senior Debt
Indenture, dated as of October 27, 1993, as supplemented by a First Supplemental
Indenture, dated as of November 28, 1997, a Second Supplemental Indenture, dated
as of July 1, 1999, and as further supplemented from time to time (the
"Indenture"), between the Company and The Bank of New York, as Trustee (the
"Trustee", which term includes any successor trustee under the Indenture), to
which Indenture reference is hereby made for a statement of the respective
rights, limitations of rights, duties and immunities thereunder of the Company,
the Trustee and the Holders of the ELKS, and the terms upon which the ELKS are,
and are to be, authenticated and delivered.

         If an Event of Default with respect to the ELKS shall have occurred and
be continuing, the principal of the ELKS may be declared due and payable in the
manner and with the effect provided in the Indenture. In such case, the amount
declared due and payable upon any acceleration permitted by the Indenture will
be determined by the calculation agent and will be equal to, with respect to
this Note, the Maturity Payment calculated as though the Stated Maturity Date of
this Note were the date of early repayment. In case of default at Maturity of
this Note, this Note shall bear interest, payable upon demand of the beneficial
owners of this Note in accordance with the terms of the ELKS, from and after
Maturity through the date when payment of such amount has been made or duly
provided for, at the rate of [ ]% per annum on the unpaid amount (or the cash
equivalent of such unpaid amount) due.

         The Indenture permits, with certain exceptions as therein provided, the
amendment thereof and the modification of the rights and obligations of the
Company and the rights of the Holders of the Debt Securities of each series to
be affected under the Indenture at any time by the Company and a majority in
aggregate principal amount of the Debt Securities at the time Outstanding of
each series affected thereby. The Indenture also contains provisions permitting
the Holders of specified percentages in aggregate principal amount of the Debt
Securities of any series at the time Outstanding, on behalf of the Holders of
all Debt Securities of such series, to waive compliance by the Company with
certain provisions of the Indenture and certain past defaults under the
Indenture and their consequences. Any such consent or waiver by the Holder of
this Note shall be conclusive and binding upon such Holder and upon all future
Holders of this Note and of any Note issued upon the registration of transfer
hereof or in exchange herefor or in lieu hereof, whether or not notation of such
consent or waiver is made upon this Note.

         The Holder of this Note may not enforce such Holder's rights pursuant
to the Indenture or the Notes except as provided in the Indenture. No reference
herein to the Indenture and no provision of this Note or of the Indenture shall
alter or impair the obligation of the Company to pay the Maturity Payment with
respect to this Note, and to pay any interest on any overdue amount thereof at
the time, place and rate, and in the coin or currency, herein prescribed.

         All terms used in this Note which are defined in the Indenture but not
in this Note shall have the meanings assigned to them in the Indenture.

                                       9
<PAGE>
         Unless the certificate of authentication hereon has been executed by
the Trustee by manual signature, this Note shall not be entitled to any benefit
under the Indenture or be valid or obligatory for any purposes.

                                       10
<PAGE>
         IN WITNESS WHEREOF, the Company has caused this instrument to be duly
executed under its corporate seal.

                                           SALOMON SMITH BARNEY HOLDINGS INC.

                                           By:
                                                ------------------------------
                                                Name: Mark I. Kleinman
                                                Title: Executive Vice President
                                                       and Treasurer

Corporate Seal
Attest:

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

Dated: [     ], 2002

CERTIFICATE OF AUTHENTICATION
   This is one of the Notes referred to in
   the within-mentioned Indenture.

The Bank of New York,
as Trustee

By:
     --------------------------------
     Authorized Signatory

                                       11<PAGE>
                                                                   Exhibit 10.6

[CLIFFORD CHANCE LOGO]

                                                                  EXECUTION COPY

                           NTL COMMUNICATIONS LIMITED
                                    AS PARENT

                         NTL INVESTMENT HOLDINGS LIMITED
                            AS POST-NOVATION BORROWER

                            NTL COMMUNICATIONS CORP.
                                    AS NTL CC

                                 J.P. MORGAN plc
                                       AND
                     MORGAN STANLEY DEAN WITTER BANK LIMITED
                      AS ARRANGERS AND JOINT BOOK MANAGERS

                      CHASE MANHATTAN INTERNATIONAL LIMITED
             AS AGENT, SECURITY TRUSTEE AND SECOND SECURITY TRUSTEE

                                       AND

                                     OTHERS

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

                         RESTATEMENT AMENDMENT AGREEMENT

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

                                   RELATING TO
  A CREDIT AGREEMENT AND A TRUST AGREEMENT EACH DATED 30 MAY 2000 (AS AMENDED)

<PAGE>

                                    CONTENTS

<TABLE>
<CAPTION>
CLAUSE                                                                              PAGE
------                                                                              ----
<S>                                                                                 <C>
1.    Definitions And Interpretation................................................2

2.    Conditions Precedent..........................................................3

3.    Representations...............................................................3

4.    Amendment To The Credit Agreement.............................................4

5.    Amendment To The Trust Agreement..............................................4

6.    Consent To Term Facility And Accession........................................4

7.    Accession To Restated Credit Agreement........................................4

8.    Accession To Restated Trust Agreement.........................................5

9.    Second Security Documents.....................................................5

10.   Continuity And Further Assurance..............................................5

11.   Miscellaneous.................................................................5

Schedule 1       THE GUARANTORS.....................................................7

Schedule 2       THE BANKS.........................................................12

Schedule 3       CONDITIONS PRECEDENT..............................................14

Schedule 4       RESTATED CREDIT AGREEMENT.........................................19

Schedule 5       RESTATED TRUST AGREEMENT.........................................248
</TABLE>

<PAGE>

THIS AGREEMENT is made on 26 September 2001

BETWEEN

(1)     NTL COMMUNICATIONS LIMITED, a company incorporated in England and Wales
        with company number 3521915 (the "PARENT");

(2)     NTL INVESTMENT HOLDINGS LIMITED, a company incorporated in England and
        Wales with company number 3173552 (the "POST-NOVATION BORROWER");

(3)     NTL COMMUNICATIONS CORP., a company incorporated in Delaware ("NTL CC");

(4)     THE COMPANIES listed in Schedule 1 (The Guarantors) in their capacity as
        guarantors (together, the "GUARANTORS");

(5)     J.P. MORGAN PLC and MORGAN STANLEY DEAN WITTER BANK LIMITED as arrangers
        and joint book managers of the Revolving Facility (the "ARRANGERS");

(6)     CHASE MANHATTAN INTERNATIONAL LIMITED as agent for the Banks (the
        "AGENT");

(7)     CHASE MANHATTAN INTERNATIONAL LIMITED as security trustee for the
        Finance Parties (the "SECURITY TRUSTEE");

(8)     CHASE MANHATTAN INTERNATIONAL LIMITED as security trustee for the Term
        Banks and the Agent (the "SECOND SECURITY TRUSTEE");

(9)     THE FINANCIAL INSTITUTIONS named in Part A of Schedule 2 (The Banks) as
        revolving banks (the "REVOLVING BANKS");

(10)    THE FINANCIAL INSTITUTIONS named in Part B of Schedule 2 (The Banks) as
        term banks (the "TERM BANKS"); and

(11)    THE FINANCIAL INSTITUTIONS named in Part C of Schedule 2 (The Banks) as
        secured ancillary facilities providers (the "SECURED ANCILLARY
        FACILITIES PROVIDERS").

RECITALS

(A)     Pursuant to the Credit Agreement the Revolving Banks made available a
        sterling loan facility of Pound Sterling 2,500,000,000 to the
        Pre-Novation Borrower.

(B)     By a novation agreement dated 21 February 2001, the Pre-Novation
        Borrower transferred all of its rights and obligations under the Credit
        Agreement to the Post-Novation Borrower.

(C)     The parties to the Credit Agreement have agreed to amend the Credit
        Agreement in the manner set out herein and the parties to the Trust
        Agreement have agreed to amend the Trust Agreement in the manner set out
        herein.

(D)     Each Term Bank has agreed to accede to the Credit Agreement in the
        capacity of a Term Bank and to accede to the Restated Trust Agreement in
        the capacity of a Secured Party.

                                       1
<PAGE>

(E)     The Second Security Trustee has agreed to accede to the Credit Agreement
        in the capacity of a security trustee for the Term Banks and the Agent.

IT IS AGREED as follows.

1.      DEFINITIONS AND INTERPRETATION

1.1     DEFINITIONS

        In this Agreement:

        "CREDIT AGREEMENT" means the credit agreement made on 30 May 2000
        between the Parent, the Pre-Novation Borrower as borrower, NTL CC, the
        Agent, the Arrangers and the Revolving Banks, as amended or waived by a
        letter dated 6 June 2000 from the Agent to the Parent, the Pre-Novation
        Borrower and the CWC Parent, amendment agreements dated 8 June 2000, 30
        June 2000 and 4 September 2000 between certain of the parties hereto,
        letters dated 22 December 2000 and 29 January 2001 from the Agent
        (following receipt of Instructing Group consent) to the Parent, the
        Pre-Novation Borrower and the CWC Parent and a novation agreement dated
        21 February 2001 whereby the Pre-Novation Borrower novated all its
        rights and obligations to the Post-Novation Borrower.

        "RESTATED CREDIT AGREEMENT" means the Credit Agreement as amended and
        restated pursuant to this Agreement and set out in Schedule 4 (Restated
        Credit Agreement).

        "RESTATED TRUST AGREEMENT" means the Trust Agreement as amended and
        restated pursuant to this Agreement and set out in Schedule 5 (Restated
        Trust Agreement).

        "TERM EXECUTION DATE" means the date of this Agreement.

        "TRUST AGREEMENT" means the trust agreement relating to the Security
        dated 30 May 2000 between (among others) the Parent, the Agent, the
        Security Trustee and the Banks referred to therein as amended by an
        amendment agreement dated 4 September 2000.

1.2     INCORPORATION OF DEFINED TERMS

        Terms defined in the Restated Credit Agreement shall, unless otherwise
        defined herein, have the same meaning herein.

1.3     INTERPRETATION

        Clauses 1.2 (Interpretation) to 1.6 (Time) of the Restated Credit
        Agreement shall apply in this Agreement as if set out in full.

1.4     CLAUSES

        In this Agreement any reference to a "CLAUSE" or a "SCHEDULE" is, unless
        the context otherwise requires, a reference to a Clause or a Schedule of
        this Agreement. Clause headings are for ease of reference only.

                                       2
<PAGE>

1.5     THIRD PARTY RIGHTS

        A person who is not a party to this Agreement has no right under the
        Contracts (Rights of Third Parties) Act 1999 to enforce any term of this
        Agreement.

2.      CONDITIONS PRECEDENT

2.1     CONDITIONS PRECEDENT

        The amendments and accessions effected by Clause 4 (Amendment to Credit
        Agreement), Clause 5 (Amendment to Trust Agreement), Clause 7 (Accession
        to Restated Credit Agreement) and Clause 8 (Accession to Restated Trust
        Agreement) shall only become effective from the date (the "TERM
        EFFECTIVE Date") on which the Agent has confirmed to:

        (a)     the Post-Novation Borrower, the Term Banks, the Revolving Banks
                and the Secured Ancillary Facilities Providers that it has
                received all of the documents and other evidence listed in Part
                A of Schedule 3 (Conditions Precedent) and that each is, in form
                and substance, satisfactory to it; and

        (b)     the Post-Novation Borrower, the Revolving Banks and the Secured
                Ancillary Facilities Providers that all of the documents and
                other evidence listed in Part B of Schedule 3 (Conditions
                Precedent) have been received by, and that each is, in form and
                substance satisfactory to, the Term Banks or such receipt has
                been waived by the Term Banks.

2.2     OBLIGATIONS NOT DISCHARGED

        Neither the obligations of each party under this Agreement, nor the
        rights, powers and remedies conferred upon each of the Arrangers, the
        Revolving Banks, the Term Banks, the Secured Ancillary Facilities
        Providers, the Agent, the Security Trustee and the Second Security
        Trustee by this Agreement or by law shall be discharged, impaired or
        otherwise affected by any of the obligations of any Obligor or any other
        person hereunder being or becoming illegal, invalid, unenforceable or
        ineffective in any respect.

3.      REPRESENTATIONS

        Each Obligor makes the Repeated Representations and the representations
        and warranties expressed to be made by it in sub-clause 20.1.6 of Clause
        20.1 (Representing Parties) of the Restated Credit Agreement as if each
        reference therein to "this Agreement" or "the Finance Documents"
        includes a reference to (a) this Agreement and (b) the Restated Credit
        Agreement and as if the references to the Term Effective Date were
        references to the date of this Agreement.

4.      AMENDMENT TO THE CREDIT AGREEMENT

        Subject to Clause 2 (Conditions Precedent) the Credit Agreement shall be
        amended and restated so that it shall be read and construed for all
        purposes as set out in Schedule 4 (Restated Agreement).

                                       3
<PAGE>

5.      AMENDMENT TO THE TRUST AGREEMENT

        Subject to Clause 2 (Conditions Precedent) the Trust Agreement shall be
        amended and restated so that it shall be read and construed for all
        purposes as set out in Schedule 5 (Restated Trust Agreement).

6.      CONSENT TO TERM FACILITY AND ACCESSION

        Each of the Parent, NTL CC, the Post-Novation Borrower, the Guarantors,
        the Arrangers, the Revolving Banks, the Agent and the Security Trustee
        consents to:

        (a)     the Term Banks becoming Term Banks under the Credit Agreement as
                amended hereby;

        (b)     the Term Banks making the Term Facility available to the
                Post-Novation Borrower;

        (c)     the granting and the subsistence of the Second Security and the
                giving of any notices of assignment in accordance with the terms
                of the Second Security Documents;

        (d)     the Second Security Trustee becoming party to the Credit
                Agreement as amended hereby;

        (e)     certain other amendments being made to the Credit Agreement; and

        (f)     the Term Banks and the Second Security Trustee becoming parties
                to the Intercreditor Agreement and any amendments necessary to
                the Intercreditor Agreement as a consequence of this Agreement,

        (in the case of paragraphs (a), (b), (d) and (e) only) on the terms and
        subject to the conditions specified in the Restated Credit Agreement.

7.      ACCESSION TO RESTATED CREDIT AGREEMENT

7.1     ACCESSION OF TERM BANKS

        With effect from the date on which this Agreement becomes effective
        pursuant to Clause 2.1 (Conditions Precedent), each Term Bank agrees
        with each of the Post-Novation Borrower, the Parent, NTL CC, the
        Guarantors, the Arrangers, the Revolving Banks, the Agent, the Security
        Trustee and the Second Security Trustee, to observe and be bound by the
        terms of the Restated Credit Agreement as a Term Bank.

7.2     ACCESSION OF SECOND SECURITY TRUSTEE

        With effect from the date on which this Agreement becomes effective
        pursuant to Clause 2.1 (Conditions Precedent), the Second Security
        Trustee agrees with each of the Post-Novation Borrower, the Parent, NTL
        CC, the Guarantors, the Arrangers, the Revolving Banks, the Term Banks,
        the Agent and the Security Trustee, to observe and be bound by the terms
        of the Restated Credit Agreement as a Second Security Trustee.

                                       4
<PAGE>

8.      ACCESSION TO RESTATED TRUST AGREEMENT

        With effect from the date on which this Agreement becomes effective
        pursuant to Clause 2.1 (Conditions Precedent):

        (a)     each Term Bank agrees with each of the Parent, the Obligors, the
                Revolving Banks, the Secured Ancillary Facilities Providers, the
                Agent and the Security Trustee, to observe and be bound by the
                terms of the Restated Trust Agreement as a Secured Party; and

        (b)     the Security Trustee agrees with each Term Bank to act as
                Security Trustee on behalf of such Term Bank in accordance with
                the terms of the Restated Trust Agreement.

9.      SECOND SECURITY DOCUMENTS

        If, at the time the Security Documents are discharged or the Term Banks
        demonstrate to the satisfaction of the Security Trustee (acting
        reasonably) that the Security Documents are incapable of being enforced,
        the Term Loan is still outstanding, the Security Trustee will promptly
        deliver to the Second Security Trustee all certificates and other
        documents in its possession in its role as Security Trustee.

10.     CONTINUITY AND FURTHER ASSURANCE

10.1    DESIGNATION AS A FINANCE DOCUMENT

        The Agent and the Parent designate this Agreement a Finance Document.

10.2    CONTINUING OBLIGATIONS

        The provisions of the Finance Documents shall, save as amended hereby,
        continue in full force and effect.

10.3    FURTHER ASSURANCE

        The Post-Novation Borrower, the Parent, NTL CC and each Guarantor shall,
        at the request of the Agent and at its own expense, do all such acts and
        things necessary or desirable to give effect to the amendments effected
        or to be effected pursuant to this Agreement.

11.     MISCELLANEOUS

11.1    INCORPORATION OF TERMS

        The provisions of Clause 35.1 (Binding Agreement), Clause 40 (Remedies
        and Waiver, Partial Invalidity), Clause 44 (Governing Law) and Clause 45
        (Jurisdiction) of the Credit Agreement shall be incorporated into this
        Agreement as if set out in full herein and as if references therein to
        "this Agreement" or "the Finance Documents" are references to this
        Agreement.

                                       5
<PAGE>

11.2    COUNTERPARTS

        This Agreement may be executed in any number of counterparts, all of
        which taken together shall constitute one and the same instrument.

THIS AGREEMENT HAS BEEN ENTERED INTO ON THE DATE STATED AT THE BEGINNING OF THIS
AGREEMENT.

                                       6
<PAGE>

                                   SCHEDULE 1
                                 THE GUARANTORS

ANDOVER CABLEVISION LIMITED
BERKHAMSTED PROPERTIES & BUILDING CONTRACTORS LIMITED
BRACKNELL CABLE TV LIMITED
CABLE TELEVISION LIMITED
CABLE THAMES VALLEY LIMITED
CABLETEL (UK) LIMITED
CABLETEL CARDIFF LIMITED
CABLETEL CENTRAL HERTFORDSHIRE LIMITED
CABLETEL HERTFORDSHIRE LIMITED
CABLETEL HERTS AND BEDS LIMITED
CABLETEL INVESTMENTS LIMITED
CABLETEL LIMITED
CABLETEL NEWPORT
CABLETEL NORTH BEDFORDSHIRE LIMITED
CABLETEL NORTHERN IRELAND LIMITED
CABLETEL SCOTLAND LIMITED
CABLETEL SURREY AND HAMPSHIRE LIMITED
CABLETEL TELECOM SUPPLIES LIMITED
CABLETEL WEST GLAMORGAN LIMITED
CABLETEL WEST RIDING LIMITED
COLUMBIA MANAGEMENT LIMITED
COMTEL CABLE SERVICES LIMITED
COMTEL COVENTRY LIMITED
DIGITAL TELEVISION NETWORK LIMITED
DTELS LIMITED
ENABLIS LIMITED
HEARTLAND CABLEVISION (UK) LIMITED
HEARTLAND CABLEVISION II (UK) LIMITED
LANBASE EUROPEAN HOLDINGS LIMITED
LANBASE LIMITED
LICHFIELD CABLE COMMUNICATIONS LIMITED
MAZA LIMITED
METRO HERTFORDSHIRE LIMITED
METRO SOUTH WALES LIMITED
NATIONAL TRANSCOMMUNICATIONS LIMITED
NTL (AYLESBURY AND CHILTERN) LIMITED
NTL (B) LIMITED
NTL (BROADLAND) LIMITED
NTL (CHICHESTER) LIMITED
NTL (CITY & WESTMINSTER) LIMITED
NTL (COUNTY DURHAM) LIMITED
NTL (CRUK) LIMITED
NTL (CWC HOLDINGS)

                                       7
<PAGE>

NTL (CWC) CORPORATION LIMITED
NTL (CWC) LIMITED
NTL (CWC) MANAGEMENT LIMITED
NTL (CWC) NO. 2 LIMITED
NTL (CWC) NO. 3 LIMITED
NTL (CWC) NO. 4 LIMITED
NTL (CWC) PROGRAMMING LIMITED
NTL (CWC) UK
NTL (EALING) LIMITED
NTL (EASTBOURNE AND HASTINGS) LIMITED
NTL (FENLAND) LIMITED
NTL (GREENWICH AND LEWISHAM) LIMITED
NTL (HAMPSHIRE) LIMITED
NTL (HARROGATE) LIMITED
NTL (HARROW) LIMITED
NTL (KENT) LIMITED
NTL (LAMBETH AND SOUTHWARK) LIMITED
NTL (LEEDS) LIMITED
NTL (NORWICH) LIMITED
NTL (PETERBOROUGH) LIMITED
NTL (SOUTH EAST) LIMITED
NTL (SOUTH LONDON) LIMITED
NTL (SOUTHAMPTON AND EASTLEIGH) LIMITED
NTL (SUNDERLAND) LIMITED
NTL (THAMESMEAD) LIMITED
NTL (V) PLC
NTL (WANDSWORTH) LIMITED
NTL (WEARSIDE) LIMITED
NTL (WEST LONDON) LIMITED
NTL (YORCAN) LIMITED
NTL (YORK) LIMITED
NTL ACQUISITION COMPANY LIMITED
NTL BOLTON CABLEVISION HOLDING COMPANY
NTL BUSINESS (IRELAND) LIMITED
NTL BUSINESS LIMITED
NTL CABLECOMMS BOLTON
NTL CABLECOMMS BROMLEY
NTL CABLECOMMS BURY AND ROCHDALE
NTL CABLECOMMS CHESHIRE
NTL CABLECOMMS DERBY
NTL CABLECOMMS EAST LANCASHIRE
NTL CABLECOMMS GREATER MANCHESTER
NTL CABLECOMMS GROUP PLC
NTL CABLECOMMS HOLDINGS NO. 1 LIMITED
NTL CABLECOMMS HOLDINGS NO. 2 LIMITED
NTL CABLECOMMS LANCASHIRE NO. 1

                                       8
<PAGE>

NTL CABLECOMMS LANCASHIRE NO. 2
NTL CABLECOMMS LIMITED
NTL CABLECOMMS MACCLESFIELD
NTL CABLECOMMS MANCHESTER LIMITED
NTL CABLECOMMS OLDHAM AND TAMESIDE
NTL CABLECOMMS SOLENT
NTL CABLECOMMS STAFFORDSHIRE
NTL CABLECOMMS STOCKPORT
NTL CABLECOMMS SURREY
NTL CABLECOMMS SUSSEX
NTL CABLECOMMS WESSEX
NTL CABLECOMMS WEST SURREY LIMITED
NTL CABLECOMMS WIRRAL
NTL CHARTWELL HOLDINGS LIMITED
NTL COMMUNICATIONS LIMITED
NTL COMMUNICATIONS SERVICES LIMITED
NTL DERBY CABLEVISION HOLDING COMPANY
NTL EQUIPMENT NO. 1 LIMITED
NTL EQUIPMENT NO. 2 LIMITED
NTL GLASGOW
NTL GLASGOW HOLDINGS LIMITED
NTL GROUP LIMITED
NTL HOLDINGS (BROADLAND) LIMITED
NTL HOLDINGS (EAST LONDON) LIMITED
NTL HOLDINGS (FENLAND) LIMITED
NTL HOLDINGS (LEEDS) LIMITED
NTL HOLDINGS (NORWICH) LIMITED
NTL HOLDINGS (PETERBOROUGH) LIMITED
NTL INTERNET LIMITED
NTL INVESTMENT HOLDINGS LIMITED
NTL KIRKLEES
NTL KIRKLEES HOLDINGS LIMITED
NTL LIMITED
NTL MANCHESTER CABLEVISION HOLDING COMPANY
NTL MICROCLOCK SERVICES LIMITED
NTL MILTON KEYNES LIMITED
NTL NETWORKS LIMITED
NTL PARTCHEER COMPANY LIMITED
NTL SIDEOFFER LIMITED
NTL SOLENT TELEPHONE AND CABLE TV COMPANY LIMITED
NTL SOUTH CENTRAL LIMITED
NTL SOUTH WALES LIMITED
NTL STREETUNIQUE PROJECTS LIMITED
NTL STREETUNIT PROJECTS LIMITED
NTL STREETUSUAL SERVICES LIMITED
NTL STREETVISION SERVICES LIMITED

                                       9
<PAGE>

NTL STREETVITAL SERVICES LIMITED
NTL STREETWARM SERVICES LIMITED
NTL STREETWIDE SERVICES LIMITED
NTL STRIKEAGENT TRADING LIMITED
NTL STRIKEAMOUNT TRADING LIMITED
NTL STRIKEAPART TRADING LIMITED
NTL SYSTEMS LIMITED
NTL TECHNICAL SUPPORT COMPANY LIMITED
NTL TELECOM SERVICES LIMITED
NTL UK TELEPHONE AND CABLE TV HOLDING COMPANY LIMITED
NTL WESTMINSTER LIMITED
NTL WINSTON HOLDINGS LIMITED
NTL WIRRAL TELEPHONE AND CABLE TV COMPANY
OXFORD CABLE LIMITED
PROSPECTRE LIMITED
SCANNERS (EUROPE) LIMITED
SCANNERS TELEVISION OUTSIDE BROADCASTS LIMITED
SECURE BACKUP SYSTEMS LIMITED
STAFFORD COMMUNICATIONS LIMITED
SWINDON CABLE LIMITED
TAMWORTH CABLE COMMUNICATIONS LIMITED
VISION NETWORKS SERVICES UK LIMITED
WESSEX CABLE LIMITED
X-TANT LIMITED
CHARTWELL INVESTORS LP
NNS UK HOLDINGS 1, INC.
NNS UK HOLDINGS 2, INC.
NORTH CABLECOMMS LLC
NORTH CABLECOMMS HOLDINGS, INC.
NORTH CABLECOMMS MANAGEMENT, INC.
NTL BROMLEY COMPANY
NTL CABLECOMMS GROUP, INC.
NTL CHARTWELL HOLDINGS, INC.
NTL CHARTWELL HOLDINGS 2, INC.
NTL NORTH CABLECOMMS HOLDINGS, INC.
NTL NORTH CABLECOMMS MANAGEMENT, INC.
NTL PROGRAMMING SUBSIDIARY COMPANY
NTL SOLENT COMPANY
NTL SOUTH CABLECOMMS HOLDINGS, INC.
NTL SOUTH CABLECOMMS MANAGEMENT, INC.
NTL SURREY COMPANY
NTL SUSSEX COMPANY
NTL UK CABLECOMMS HOLDINGS, INC.
NTL WESSEX COMPANY
NTL WINSTON HOLDINGS, INC.
NTL WIRRAL COMPANY
SOUTH CABLECOMMS HOLDINGS, INC.

                                       10
<PAGE>

SOUTH CABLECOMMS LLC
SOUTH CABLECOMMS MANAGEMENT, INC.
WINSTON INVESTORS LLC

                                       11
<PAGE>

                                   SCHEDULE 2
                                    THE BANKS

                                     PART A
                               THE REVOLVING BANKS

The Chase Manhattan Bank
Morgan Stanley Dean Witter Bank Limited
Morgan Stanley Senior Funding, Inc.
Bank of America, N.A.
BNP Paribas
CIBC World Markets plc
Citibank, N.A.
Deutsche Bank AG London
The Royal Bank of Scotland plc
IntesaBci S.p.A., London Branch
The Bank of Nova Scotia
Bankgesellschaft Berlin AG
The Governor and Company of the Bank of Scotland
Bayerische Landesbank Girozentrale acting through its London Branch
Credit Lyonnais
Fortis Bank S.A./N.V.
HSBC Bank plc
Westdeutsche Landesbank Girozentrale
Abbey National Treasury Services plc
Bayerische Hypo- und Vereinsbank AG, London Branch
Cooperatieve Centrale Raiffeisen-Boerenleenbank B.A. (trading as Rabobank
International, London Branch)
Dresdner Bank AG London Branch
Lloyds TSB Bank plc
The Dai-Ichi Kangyo Bank, Limited
Fleet National Bank
Credit Agricole Indosuez
Credit Industriel et Commercial
The Bank of Tokyo-Mitsubishi, Ltd.
Barclays Bank PLC
IBM United Kingdom Financial Services Limited
Natexis Banques Populaires (London Branch)
ABC International Bank plc
The Governor and Company of the Bank of Ireland
N M Rothschild & Sons Ltd
The Sumitomo Trust & Banking Co., Ltd
Singer & Friedlander Limited

                                     PART B

                                       12
<PAGE>

                                 THE TERM BANKS

GE Capital Structured Finance Group Limited

                                     PART C
                   THE SECURED ANCILLARY FACILITIES PROVIDERS

The Chase Manhattan Bank

HSBC Bank plc

                                       13
<PAGE>

                                   SCHEDULE 3
                              CONDITIONS PRECEDENT

                                     PART A

1.      CORPORATE DOCUMENTS

        In relation to each Obligor:

        (a)     a copy, certified as at the date of this Agreement a true and
                up-to-date copy by an Authorised Signatory of such Obligor, of
                the constitutional documents of such Obligor or a confirmation,
                given by an Authorised Signatory of such Obligor, certifying
                that, as at the date hereof, there has been no change (save as
                notified in writing to the Agent prior to the date hereof) to
                the constitutional documents most recently delivered by such
                Obligor pursuant to the Credit Agreement;

        (b)     a copy, certified as at the date of this Agreement a true and
                up-to-date copy by an Authorised Signatory of such Obligor, of a
                board resolution or managers' or partners' resolution of such
                Obligor approving the execution, delivery and performance of
                this Agreement and the terms and conditions hereof and
                authorising a named person or persons to sign this Agreement and
                any documents to be delivered by such Obligor pursuant hereto;

        (c)     a certificate of an Authorised Signatory of such Obligor setting
                out the names and signatures of the persons authorised to sign,
                on behalf of such Obligor, this Agreement and any documents to
                be delivered by such Obligor pursuant hereto or a confirmation,
                given by an Authorised Signatory of such Obligor, certifying
                that, as at the date hereof, there has been no change (save as
                notified in writing to the Agent prior to the date hereof) to
                the authorised signatory certificate most recently delivered by
                such Obligor pursuant to the Credit Agreement; and

        (d)     in relation to the Parent, the Post-Novation Borrower, the
                Covenant Group members and each Guarantor (each a "TERM
                OBLIGOR") a copy of the certificate referred to in paragraph
                1(a)(iii) of Part B of this Schedule.

2.      OPINION

        An opinion of Clifford Chance, English legal counsel to the Arrangers,
        addressed to the Revolving Banks.

3.      MISCELLANEOUS

        (a)     Evidence that GE Capital Structured Finance Group Limited is not
                "connected" with any Obligor within the meaning of Section 249
                of the Insolvency Act 1986.

        (b)     Payment in full of the amendment fee referred to in the Parent's
                letter to the Agent dated 26 July 2001.

                                       14
<PAGE>

                                     PART B

1.      CORPORATE DOCUMENTS

        (a)     In relation to each Term Obligor:

                (i)     a copy, certified by an Authorised Signatory of each
                        Term Obligor to be true and up-to-date as at the Term
                        Effective Date, of the constitutional documents of such
                        Term Obligor;

                (ii)    a copy, certified by an Authorised Signatory of each
                        Term Obligor to be true and up-to-date as at the Term
                        Effective Date, of a board resolution or managers' or
                        partners' resolution of such Term Obligor specifically
                        approving the execution, delivery and performance of
                        each Finance Document to which that Term Obligor is a
                        party (including without limitation the granting of
                        security and giving of guarantees under the Finance
                        Documents as applicable; and in the case of the
                        Post-Novation Borrower authorising the obtaining of the
                        Term Advance) and the terms and conditions of each
                        Finance Document to which that Term Obligor is a party
                        and authorising a named person or persons to sign on its
                        behalf such Finance Documents and any other documents to
                        be delivered by such Term Obligor pursuant thereto; and

                (iii)   a certificate from an Authorised Signatory of each Term
                        Obligor setting out the names and signatures of the
                        persons authorised to sign on behalf of such Term
                        Obligor the Finance Documents to which such Term Obligor
                        is a party and any documents to be delivered by such
                        Term Obligor pursuant thereto.

        (b)     A group structure chart showing NTL Inc. and all of its
                subsidiaries (specifically identifying members of the UK Group)
                certified by an Authorised Signatory of the Parent to be true
                and up-to-date in respect of the NTL Holding Group and the UK
                Group as at the Term Effective Date.

2.      ACCOUNTS AND REPORTS

        (a)     The NTL Inc Business Plan.

        (b)     In relation to each property over which fixed security is held
                by the Security Trustee on the Term Execution Date, a Report on
                Title addressed to the Term Banks and the Second Security
                Trustee in the form provided (in relation to each such property)
                to the Security Trustee and the Agent, together with an
                undertaking from the relevant Obligor to review such reports and
                to revise them as necessary (but without any obligation to
                perform additional searches) together with the persons who
                prepared such original reports within a period agreed by the
                Term Banks.

        (c)     Copies of the following financial statements, certified as true
                and complete copies as at the Term Effective Date by an
                Authorised Signatory of such Term Obligor:

                                       15
<PAGE>

                (i)     in relation to the Parent, its most recent audited
                        consolidated annual financial statements;

                (ii)    in relation to the Post-Novation Borrower, its most
                        recent audited unconsolidated annual financial
                        statements; and

                (iii)   in relation to the UK Group the most recent unaudited
                        consolidated quarterly financial statements.

3.      CONFIRMATIONS

        A certificate from an Authorised Signatory of each Term Obligor
        confirming as at the Term Effective Date that all necessary consents,
        licences, authorisations and approvals required to be obtained by it in
        connection with the entry by it into the Finance Documents (subject to
        any exceptions that may be agreed with the Term Banks) executed on or
        about the Term Execution Date have been obtained.

4.      FINANCE DOCUMENTS

        (a)     Executed copies of each Finance Document to which the Term Banks
                are a party (including but not limited to this Agreement, the
                Second Security Documents and the Second Security Trust
                Agreement) duly executed and delivered by all parties thereto.

        (b)     An agreement amending the Intercreditor Agreement, duly signed
                and delivered by the parties thereto, to, inter alia, allow the
                Term Banks to become party to such agreement and making changes
                including those referred to in paragraph (c) below.

        (c)     A copy, certified by an Authorised Signatory of the Parent, to
                be a true and up-to-date copy as at the Term Execution Date of
                the letter effecting certain changes to the Working Capital
                Facility Agreement necessitated by the amendment of the Credit
                Agreement by this Agreement (including in order to add reference
                to the Term Banks, the Term Facility and other terms as
                appropriate so as to ensure similar rights for the Term Banks
                under the Intercreditor Agreement as are enjoyed by the
                Revolving Banks), together with evidence satisfactory to the
                Term Banks that all conditions precedent to the effectiveness
                thereof have been satisfied or waived.

        (d)     A copy, certified by an Authorised Signatory of the Parent to be
                a true, complete and up-to-date copy as at the Term Effective
                Date of the original or a conformed copy of each Finance
                Document (other than the fee letters referred to in the
                definition of that term, any Finance Document from which an
                Obligor has been released, any agreement amending the Credit
                Agreement solely for the purpose of syndicating the Revolving
                Facility and any Finance Document which is executed by the Term
                Banks).

5.      LEGAL OPINIONS

                                       16
<PAGE>

        (a)     A legal opinion addressed to the Term Banks from Weil, Gotshal &
                Manges, London as the Term Banks' English counsel.

        (b)     A legal opinion addressed to the Term Banks from Skadden, Arps,
                Slate, Meagher & Flom LLP, NTL CC's Delaware counsel, in form
                and substance satisfactory to the Term Banks.

        (c)     A legal opinion addressed to the Term Banks from their Northern
                Irish counsel in respect of the Second Indenture of Mortgage, in
                form and substance satisfactory to the Term Banks.

        (d)     A legal opinion addressed to the Term Banks from Tods Murray WS
                in respect of the Second Standard Securities and the Second
                Share Pledge, in form and substance satisfactory to the Term
                Banks.

6.      MISCELLANEOUS

        (a)     Payment in full of all fees and expenses then due to the Term
                Banks under any Finance Documents including without limitation
                the fees and expenses referred to in the commitment letter dated
                27 April 2001 between General Electric Capital Corporation and
                NTL Holdings (and its attachments), as amended and supplemented
                from time to time in writing, including by the letter agreement
                between General Electric Capital Corporation, SFG VI Inc., NTL
                Inc. and NTL Holdings dated 22 June 2001 (and its attachments)
                and the letter agreement between NTL Holdings General Electric
                Capital Corporation dated 18 July 2001 (and its attachments).

        (b)     Evidence satisfactory to the Term Banks that NTL Group Limited
                has agreed to act as the agent of NTL CC for the service of
                process in England in respect of:

                (i)     this Agreement (on behalf of NTL CC);

                (ii)    the Second NTL CC Security Over Cash Agreement; and

                (iii)   any other document to which NTL CC is a party.

        (c)     Evidence satisfactory to the Term Banks that all necessary
                filings, applications and actions have been taken pursuant to
                the Second Security Documents to provide valid and continuing
                perfected security in favour of the Second Security Trustee in
                accordance with the terms of the Second Security Documents
                (subject to any exceptions that may be agreed with the Term
                Banks).

                                       17
<PAGE>

                                   SIGNATURES

THE PARENT

NTL COMMUNICATIONS LIMITED

By: /s/ Robert Mackenzie

THE POST-NOVATION BORROWER

NTL INVESTMENT HOLDINGS LIMITED

By: /s/ Robert Mackenzie

NTL CC

NTL COMMUNICATIONS CORP.

By: /s/ Richard J. Lubasch

THE GUARANTORS

By: /s/ Robert Mackenzie

FOR AND ON BEHALF OF
ANDOVER CABLEVISION LIMITED
BERKHAMSTED PROPERTIES & BUILDING CONTRACTORS LIMITED
BRACKNELL CABLE TV LIMITED
CABLE TELEVISION LIMITED
CABLE THAMES VALLEY LIMITED
CABLETEL (UK) LIMITED
CABLETEL CARDIFF LIMITED
CABLETEL CENTRAL HERTFORDSHIRE LIMITED
CABLETEL HERTFORDSHIRE LIMITED
CABLETEL HERTS AND BEDS LIMITED
CABLETEL INVESTMENTS LIMITED
CABLETEL LIMITED
CABLETEL NEWPORT
CABLETEL NORTH BEDFORDSHIRE LIMITED
CABLETEL NORTHERN IRELAND LIMITED
CABLETEL SCOTLAND LIMITED
CABLETEL SURREY AND HAMPSHIRE LIMITED
CABLETEL TELECOM SUPPLIES LIMITED

                                       18
<PAGE>

CABLETEL WEST GLAMORGAN LIMITED
CABLETEL WEST RIDING LIMITED
COLUMBIA MANAGEMENT LIMITED
COMTEL CABLE SERVICES LIMITED
COMTEL COVENTRY LIMITED
DIGITAL TELEVISION NETWORK LIMITED
DTELS LIMITED
ENABLIS LIMITED
HEARTLAND CABLEVISION (UK) LIMITED
HEARTLAND CABLEVISION II (UK) LIMITED
LANBASE EUROPEAN HOLDINGS LIMITED
LANBASE LIMITED
LICHFIELD CABLE COMMUNICATIONS LIMITED
MAZA LIMITED
METRO HERTFORDSHIRE LIMITED
METRO SOUTH WALES LIMITED
NATIONAL TRANSCOMMUNICATIONS LIMITED
NTL (AYLESBURY AND CHILTERN) LIMITED
NTL (B) LIMITED
NTL (BROADLAND) LIMITED
NTL (CHICHESTER) LIMITED
NTL (CITY & WESTMINSTER) LIMITED
NTL (COUNTY DURHAM) LIMITED
N (CRUK) LIMITED
NTL (CWC HOLDINGS)
NTL (CWC) CORPORATION LIMITED
NTL (CWC) LIMITED
NTL (CWC) MANAGEMENT LIMITED
NTL (CWC) NO. 2 LIMITED
NTL (CWC) NO. 3 LIMITED
NTL (CWC) NO. 4 LIMITED
NTL (CWC) PROGRAMMING LIMITED
NTL (CWC) UK
NTL (EALING) LIMITED
NTL (EASTBOURNE AND HASTINGS) LIMITED
NTL (FENLAND) LIMITED
NTL (GREENWICH AND LEWISHAM) LIMITED
NTL (HAMPSHIRE) LIMITED
NTL (HARROGATE) LIMITED
NTL (HARROW) LIMITED
NTL (KENT) LIMITED
NTL (LAMBETH AND SOUTHWARK) LIMITED
NTL (LEEDS) LIMITED
NTL (NORWICH) LIMITED
NTL (PETERBOROUGH) LIMITED
NTL (SOUTH EAST) LIMITED

                                       19
<PAGE>

NTL (SOUTH LONDON) LIMITED
NTL (SOUTHAMPTON AND EASTLEIGH) LIMITED
NTL (SUNDERLAND) LIMITED
NTL (THAMESMEAD) LIMITED
NTL (V) PLC
NTL (WANDSWORTH) LIMITED
NTL (WEARSIDE) LIMITED
NTL (WEST LONDON) LIMITED
NTL (YORCAN) LIMITED
NTL (YORK) LIMITED
NTL ACQUISITION COMPANY LIMITED
NTL BOLTON CABLEVISION HOLDING COMPANY
NTL BUSINESS (IRELAND) LIMITED
NTL BUSINESS LIMITED
NTL CABLECOMMS BOLTON
NTL CABLECOMMS BROMLEY
NTL CABLECOMMS BURY AND ROCHDALE
NTL CABLECOMMS CHESHIRE
NTL CABLECOMMS DERBY
NTL CABLECOMMS EAST LANCASHIRE
NTL CABLECOMMS GREATER MANCHESTER
NTL CABLECOMMS GROUP PLC
NTL CABLECOMMS HOLDINGS NO. 1 LIMITED
NTL CABLECOMMS HOLDINGS NO. 2 LIMITED
NTL CABLECOMMS LANCASHIRE NO. 1
NTL CABLECOMMS LANCASHIRE NO. 2
NTL CABLECOMMS LIMITED
NTL CABLECOMMS MACCLESFIELD
NTL CABLECOMMS MANCHESTER LIMITED
NTL CABLECOMMS OLDHAM AND TAMESIDE
NTL CABLECOMMS SOLENT
NTL CABLECOMMS STAFFORDSHIRE
NTL CABLECOMMS STOCKPORT
NTL CABLECOMMS SURREY
NTL CABLECOMMS SUSSEX
NTL CABLECOMMS WESSEX
NTL CABLECOMMS WEST SURREY LIMITED
NTL CABLECOMMS WIRRAL
NTL CHARTWELL HOLDINGS LIMITED
NTL COMMUNICATIONS LIMITED
NTL COMMUNICATIONS SERVICES LIMITED
NTL DERBY CABLEVISION HOLDING COMPANY
NTL EQUIPMENT NO. 1 LIMITED
NTL EQUIPMENT NO. 2 LIMITED
NTL GLASGOW
NTL GLASGOW HOLDINGS LIMITED

                                       20
<PAGE>

NTL GROUP LIMITED
NTL HOLDINGS (BROADLAND) LIMITED
NTL HOLDINGS (EAST LONDON) LIMITED
NTL HOLDINGS (FENLAND) LIMITED
NTL HOLDINGS (LEEDS) LIMITED
NTL HOLDINGS (NORWICH) LIMITED
NTL HOLDINGS (PETERBOROUGH) LIMITED
NTL INTERNET LIMITED
NTL INVESTMENT HOLDINGS LIMITED
NTL KIRKLEES
NTL KIRKLEES HOLDINGS LIMITED
NTL LIMITED
NTL MANCHESTER CABLEVISION HOLDING COMPANY
NTL MICROCLOCK SERVICES LIMITED
NTL MILTON KEYNES LIMITED
NTL NETWORKS LIMITED
NTL PARTCHEER COMPANY LIMITED
NTL SIDEOFFER LIMITED
NTL SOLENT TELEPHONE AND CABLE TV COMPANY LIMITED
NTL SOUTH CENTRAL LIMITED
NTL SOUTH WALES LIMITED
NTL STREETUNIQUE PROJECTS LIMITED
NTL STREETUNIT PROJECTS LIMITED
NTL STREETUSUAL SERVICES LIMITED
NTL STREETVISION SERVICES LIMITED
NTL STREETVITAL SERVICES LIMITED
NTL STREETWARM SERVICES LIMITED
NTL STREETWIDE SERVICES LIMITED
NTL STRIKEAGENT TRADING LIMITED
NTL STRIKEAMOUNT TRADING LIMITED
NTL STRIKEAPART TRADING LIMITED
NTL SYSTEMS LIMITED
NTL TECHNICAL SUPPORT COMPANY LIMITED
NTL TELECOM SERVICES LIMITED
NTL UK TELEPHONE AND CABLE TV HOLDING COMPANY LIMITED
NTL WESTMINSTER LIMITED
NTL WINSTON HOLDINGS LIMITED
NTL WIRRAL TELEPHONE AND CABLE TV COMPANY
OXFORD CABLE LIMITED
PROSPECTRE LIMITED
SCANNERS (EUROPE) LIMITED
SCANNERS TELEVISION OUTSIDE BROADCASTS LIMITED
SECURE BACKUP SYSTEMS LIMITED
STAFFORD COMMUNICATIONS LIMITED
SWINDON CABLE LIMITED
TAMWORTH CABLE COMMUNICATIONS LIMITED

                                       21
<PAGE>

VISION NETWORKS SERVICES UK LIMITED
WESSEX CABLE LIMITED
X-TANT LIMITED
CHARTWELL INVESTORS LP
NNS UK HOLDINGS 1, INC.
NNS UK HOLDINGS 2, INC.
NORTH CABLECOMMS LLC
NORTH CABLECOMMS HOLDINGS, INC.
NORTH CABLECOMMS MANAGEMENT, INC.
NTL BROMLEY COMPANY
NTL CABLECOMMS GROUP, INC.
NTL CHARTWELL HOLDINGS, INC.
NTL CHARTWELL HOLDINGS 2, INC.
NTL NORTH CABLECOMMS HOLDINGS, INC.
NTL NORTH CABLECOMMS MANAGEMENT, INC.
NTL PROGRAMMING SUBSIDIARY COMPANY
NTL SOLENT COMPANY
NTL SOUTH CABLECOMMS HOLDINGS, INC.
NTL SOUTH CABLECOMMS MANAGEMENT, INC.
NTL SURREY COMPANY
NTL SUSSEX COMPANY
NTL UK CABLECOMMS HOLDINGS, INC.
NTL WESSEX COMPANY
NTL WINSTON HOLDINGS, INC.
NTL WIRRAL COMPANY
SOUTH CABLECOMMS HOLDINGS, INC.
SOUTH CABLECOMMS LLC
SOUTH CABLECOMMS MANAGEMENT, INC.
WINSTON INVESTORS LLC

THE ARRANGERS

J.P. MORGAN PLC

By: /s/ Authorized Signatory

MORGAN STANLEY DEAN WITTER BANK LIMITED

By: /s/ Authorized Signatory

                                       22
<PAGE>

THE AGENT

CHASE MANHATTAN INTERNATIONAL LIMITED

By: /s/ Authorized Signatory

THE SECURITY TRUSTEE

CHASE MANHATTAN INTERNATIONAL LIMITED

By: /s/ Authorized Signatory

THE SECOND SECURITY TRUSTEE

CHASE MANHATTAN INTERNATIONAL LIMITED

By: /s/ Authorized Signatory

THE REVOLVING BANKS

CHASE MANHATTAN INTERNATIONAL LIMITED FOR THE REVOLVING BANKS WITH THE PRIOR
CONSENT OF ALL OF THE REVOLVING BANKS

By: /s/ Authorized Signatory

THE TERM BANKS

GE CAPITAL STRUCTURED FINANCE GROUP LIMITED
By: /s/ Authorized Signatory

THE SECURED ANCILLARY FACILITIES PROVIDERS

THE CHASE MANHATTAN BANK

By: /s/ Authorized Signatory

HSBC BANK PLC

By: /s/ Authorized Signatory

                                       23

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00038-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00038-of-00352.parquet"}]]