Document:

<PAGE>
                                                                    EXHIBIT 10.4

                    AMENDED AND RESTATED RETENTION AGREEMENT

         This Amended and Restated Retention Agreement ("Retention Agreement")
is effective as of July 21, 2001 by and between Allied Riser Operations
Corporation, (the "Company"), a Delaware corporation with its principal place of
business at 1700 Pacific Avenue, Dallas, Texas 75201, and Terri L. Compton, an
individual residing in Tarrant County, Texas ("Executive"). Terms not otherwise
defined herein shall have the meaning ascribed in the Employment Agreement.

                                    RECITALS:

         A. Executive and the Company are parties to that certain Employment
Agreement dated as of November 1, 2000;

         B. Effective May 24, 2001, as in inducement to Executive's continued
employment with the Company, Executive and the Company entered into an agreement
to amend the Employment Agreement ("May Retention Agreement"), pursuant to which
the Company agreed to make certain payments to Executive on each of July 21,
2001 and September 21, 2001 if Executive remained an employee of the Company on
such dates;

         C. Effective July 21, 2001, as a further inducement to Executive's
continued employment with the Company, Executive and the Company entered into a
further amendment of the Employment Agreement and the May Retention Agreement
("Amended Retention Agreement"); and

         D. The parties desire to further amend the terms of the Employment
Agreement, the May Retention Agreement, and the Amended Retention Agreement and
enter into this Amended and Restated Retention Agreement to reflect their
understanding and agreement.

         NOW THEREFORE, in consideration of the promises and of the mutual
covenants and agreements hereinafter set forth, the parties hereto acknowledge
and agree as follows:

1.       Retention Compensation. In lieu of (x) the retention and bonus payments
         and severance identified in the May Retention Agreement and the Amended
         Retention Agreement, (y) the severance identified in the Employment
         Agreement, and (z) the Company's previously announced performance bonus
         plan for 2001, the Company will pay Executive the following amounts
         ("Retention Compensation"):

         (a)      an amount equal to 75% of Executive's annual base salary as of
                  July 21, 2001, payable in 12 equal installments on each
                  regularly scheduled payroll date between July 21, 2001 and
                  December 31, 2001; and

         (b)      an amount equal to 75% of Executive's annual base salary as of
                  July 21, 2001, payable in seven equal installments on each
                  regularly scheduled payroll date between October 5, 2001 and
                  December 31, 2001.

<PAGE>

2.       Performance Incentive Bonus. In addition to any other compensation
         provided for herein and in the Employment Agreement, and based upon
         achievement of milestone objectives established by the Board of
         Directors of the Company, the Company shall pay Executive $187,800, in
         seven equal installments (the "Performance Incentive Bonus") on each
         regularly scheduled payroll date between October 5, 2001 and December
         31, 2001.

3.       Terms and Conditions of Payment. The Company shall pay Executive the
         Retention Compensation and the Performance Incentive Bonus in
         accordance with the following terms and conditions:

         a.       Each installment of Retention Compensation and Performance
                  Incentive Bonus will be made on regularly scheduled paydays
                  and will be subject to applicable withholdings.

         b.       Each installment of Retention Compensation and Performance
                  Incentive Bonus will be paid only if Executive is not, on such
                  payday, subject to a performance improvement plan or
                  disciplinary action.

         c.       Executive will forfeit all unpaid installments of Retention
                  Compensation and Performance Incentive Bonus if Executive
                  voluntarily terminates her employment prior to a payday, or if
                  Executive is involuntarily terminated for cause (as defined in
                  the Employment Agreement).

         d.       If Executive is terminated for any reason other than cause on
                  or before December 31, 2001, Executive will receive a final,
                  adjusted installment of Retention Compensation and Performance
                  Incentive Bonus no later than on the next payroll date
                  following Executive's termination, in an amount equal to the
                  greater of the following (less applicable withholdings):

                  (i)      The sum of the Retention Compensation and the
                           Performance Incentive Bonus, less any installments of
                           Retention Compensation and Performance Incentive
                           Bonus previously paid to Executive; or

                  (ii)     The amount of severance provided in the Employment
                           Agreement, less any installments of Retention
                           Compensation and Performance Incentive Bonus
                           previously paid to Executive.

4.       Performance Pool Bonus. In addition to the Retention Compensation and
         the Performance Incentive Bonus set forth above, Executive may be
         eligible to receive additional amounts based upon achievement of
         milestone objectives established by the Board of Directors of the
         Company to be allocated from the pool established on July 12, 2001 by
         the Board of Directors (any such amounts, a "Performance Pool Bonus").
         The amount of the Performance Pool Bonus will be determined by the CEO
         of the Company, and Executive must be employed by the Company at the
         time of such determination in order to receive a Performance Pool
         Bonus.

5.       Change of Control. In the event that an agreement is signed prior to
         October 31, 2001 that results in a Change of Control, Executive may
         receive, at the option of Executive,

<PAGE>
         either (i) the severance payment set forth in the Employment Agreement
         or (ii) a Performance Pool Bonus in an amount determined by the CEO of
         the Company, subject to, as of the effective date of the change of
         Control, (x) relinquishment by Executive of all outstanding stock
         options granted to Executive and (y) execution by Executive of a
         release in form reasonably satisfactory to the Company. For purposes of
         this Retention Agreement, a Change of Control shall mean any of the
         following events: (i) a sale or transfer to an unaffiliated third party
         of the power to elect a majority of the members of the Board of
         Directors of the Company or its sole stockholder, Allied Riser
         Communications Corporation ("ARCC"), (ii) a sale to an unaffiliated
         third party of substantially all of the assets of the Company or ARCC,
         (iii) a merger or other consolidation transaction with an unaffiliated
         third party following which the ability to elect a majority of the
         members of the Board of Directors of the Company or ARCC or a majority
         of the voting power of the surviving corporation is not held by the
         pre-transaction stockholder group.

6.       No Repayment or Forfeiture. Upon payment of an installment of Retention
         Compensation and Performance Incentive Bonus or payment of a
         Performance Pool Bonus, no amount of Retention Compensation,
         Performance Incentive Bonus, or Performance Pool Bonus so paid is
         subject to repayment or forfeiture by Executive.

7.       Survival of Employment Agreement. Unless expressly amended herein, all
         provisions of the Employment Agreement remain in full force and effect.
         The May Retention Agreement and the Amended Retention Agreement are
         hereby terminated and replaced in their entirety by this Retention
         Agreement and of no further force and effect. This Retention Agreement
         is the sole agreement between the parties regarding its subject matter.
         No prior agreement, statement or writing may be used to alter, amend or
         add to the terms herein, except to the extent that the Employment
         Agreement has been expressly incorporated herein by reference

                     [REMAINDER OF PAGE INTENTIONALLY BLANK]

<PAGE>

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

                                    ALLIED RISER OPERATIONS CORPORATION

                                    By: /s/ GERALD K. DINSMORE
                                        ---------------------------------------
                                    Name:  Gerald K. Dinsmore
                                    Title: President and Chief Executive Officer

                                    /s/ TERRI L. COMPTON
                                    -------------------------------------------
                                    Terri L. Compton<PAGE>
                                                                   EXHIBIT 10.24

                AMENDMENT NO. 3 TO REVOLVING CREDIT AGREEMENT

         This Amendment No. 3 to Revolving Credit Agreement (the "Amendment No.
3") is made and entered into effective as of, but not necessarily on, the 13th
day of November, 2001, by and among GAINSCO, Inc. ("GAINSCO"), GAINSCO Service
Corp. ("GSC") (GSC and GAINSCO being sometimes referred to herein collectively
as the "Borrowers"), the Subsidiary Pledgors (as such term is hereinafter
defined), and Bank One, NA (the "Lender)

                                   WITNESSETH:

         WHEREAS, the Borrowers and the Lender entered into that certain
Revolving Credit Agreement, dated as of November 13, 1998, as amended by that
certain First Amendment to Revolving Credit Agreement, dated as of October 4,
1999 ("Amendment No. 1"), as further amended by that certain Amendment No. 2 to
Revolving Credit Agreement, dated as of March 23, 2001 ("Amendment No. 2"), and
as supplemented by a consent dated April, 13, 2000, a waiver dated October 30,
2000 and a consent dated August 31, 2001 (such Revolving Credit Agreement, as
heretofore amended, modified and supplemented, being referred to herein as the
"Credit Agreement").

         WHEREAS, Certain of the direct or indirect subsidiaries of the
Borrowers have (i) heretofore executed and delivered Security Agreements and/or
other collateral documents pursuant to which such subsidiaries have granted
liens, security interests or other encumbrances, in favor of the Lender,
covering certain of their respective properties, as security for the
obligations, indebtedness and liabilities of the Borrowers under or in
connection with the Credit Agreement and/or the other Loan Documents, and/or
(ii) guaranteed certain of the obligations, indebtedness and liabilities of the
Borrowers under or in connection with the Credit Agreement and/or the other Loan
Documents (such subsidiaries being signatory parties hereto and being
collectively referred to herein as the "Subsidiary Pledgors").

         WHEREAS, the Borrowers, the Subsidiary Pledgors and the Lender have
agreed to further amend the Credit Agreement on the terms and conditions set
forth herein.

         NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged and agreed, the parties hereto
hereby agree as follows:

1. DEFINITIONS. Unless otherwise specifically defined herein, the terms used in
this Amendment No. 3 shall have the respective meanings ascribed to such terms
in the Credit Agreement.

2. AMENDMENTS TO CREDIT AGREEMENT.

                                      -1-

<PAGE>

         2.1 Section 1.1 of the Credit Agreement is hereby amended by adding or
restating (as the case may be) the following defined terms, which terms shall
also have the meanings given below when used in this Amendment No. 3:

                   "Amendment No. 3" shall mean that certain Amendment No. 3 to
             Revolving Credit Agreement dated as of November 13, 2001 between
             the Borrowers, the Subsidiary Pledgors, and the Lender.

                   "Amendment No. 3 Closing Date" shall mean the date of the
             Amendment No. 3 or such later date as may be agreed to in writing
             by the Lender.

                   "Amendments" shall mean, collectively, the Amendment No.1,
             the Amendment No. 2, and this Amendment No. 3.

                   "Available Proceeds" means (a) with respect to any
             disposition, the gross amount of all cash or readily marketable
             cash equivalents paid or delivered to, or for the account or
             benefit of, GAINSCO or any Subsidiary, or any of them, (including
             by way of a cash generating sale or discounting of a note or
             account receivable) in connection therewith, whether at the time of
             such disposition or subsequent thereto, or (b) with respect to any
             issuance of any equity securities of GAINSCO or any Subsidiary
             (other than to GAINSCO or any Subsidiary), the gross amount of all
             cash or readily marketable cash equivalents paid or delivered to,
             or for the account or benefit of, the Borrowers or any Subsidiary,
             or any of them, in connection therewith, whether at the time of
             such issuance or subsequent thereto, in all cases without reduction
             for any legal, title, accounting, recording, placement, commission,
             investment banking, financial advisory, or other costs, expenses
             and/or fees and without reduction for any payment(s) on any
             Indebtedness which is secured by any property, rights or interests
             subject thereto or which must otherwise be satisfied, in whole or
             in part, in connection therewith.

                   "Maturity Date" shall mean November 1, 2003, subject to the
             right of the Lender to accelerate the due date of the outstanding
             Principal Debt pursuant to the provisions hereof and/or any of the
             other Loan Documents.

         2.2 Section 2.5 of the Credit Agreement is hereby amended by deleting
subsection (b) thereof in its entirety and substituting the following in lieu
thereof:

                                     -2-
<PAGE>

                           "(b) PRINCIPAL PAYMENTS. The unpaid Principal Debt
                  shall be due and payable in installments as follows: (i)
                  $200,000 on the Amendment No. 3 Closing Date, (ii) $500,000 on
                  January 2, 2002, and (iii) $1,000,000 on the first Business
                  Day of each calendar quarter thereafter, beginning on April 1,
                  2002 and continuing on the first Business Day of each calendar
                  quarter thereafter until the Maturity Date (or such earlier
                  date as the Obligation shall have been fully paid), at which
                  time the remaining Principal Debt, if any, shall be due and
                  payable in full. The foregoing principal payments shall be
                  made in addition to, and without regard to, any other or
                  additional payments and/or prepayment required to be made
                  hereunder or under any of the other Loan Documents, including,
                  without limitation, any mandatory prepayment(s) required to be
                  made pursuant to subsection (d) of this Section 2.5."

         2.3 Section 2.5 of the Credit Agreement is hereby further amended by
deleting subsection (d) thereof in its entirety and substituting the following
in lieu thereof:

                           "(d) MANDATORY PREPAYMENTS. In addition to any other
                  or additional payments and/or prepayments that may be required
                  hereunder or under any of the other Loan Documents, Borrowers
                  shall prepay the Principal Debt within two Business Days
                  following the issuance of any equity securities (other than
                  pursuant to options heretofore granted to any employee or
                  director of GAINSCO or any of the Subsidiaries) and the
                  receipt of Available Proceeds therefrom by GAINSCO or any
                  Subsidiary (other than to GAINSCO or a Subsidiary) after March
                  23, 2001 or the sale or other disposition by GAINSCO or any
                  Subsidiary (other than an Insurance Subsidiary) of any of its
                  assets in an amount equal to 50% of the Available Proceeds
                  attributable to any such issuance or disposition, as
                  applicable. Notwithstanding the foregoing, Borrowers shall not
                  be required to prepay the Principal Debt in respect of
                  dispositions (i) of Investments by GAINSCO and its
                  Subsidiaries in the ordinary course of business to the extent
                  that the proceeds thereof are reinvested in Investments
                  permitted under SECTION 7.5, (ii) of obsolete equipment in the
                  ordinary course of business to the extent that the proceeds
                  thereof are used to purchase replacement items within 90 days
                  or (iii) of other items to the extent that the aggregate
                  Available Proceeds therefrom do not exceed $250,000 in any
                  calendar year. Additionally, the following shall not be
                  considered to be sales or dispositions of assets by GAINSCO or
                  any Subsidiary for purposes of this SECTION 2.5(d): (v) the
                  conversion to cash of portfolio securities, issued by a Person
                  other than any of the Companies, by GAINSCO or any Subsidiary,
                  (w) the declaration, making

                                      -3-
<PAGE>

                  and/or payment of dividends by any Subsidiary to GAINSCO
                  (whether made directly to GAINSCO or through one or more
                  Subsidiaries), (x) transfers of cash between and among GAINSCO
                  and the Subsidiaries that are not Insurance Subsidiaries, made
                  in the ordinary course of business of both the transferee and
                  the transferor, (y) transfers of cash between and among
                  GAINSCO and the Subsidiaries (including the Insurance
                  Subsidiaries), made in the ordinary course of business of both
                  the transferee and the transferor, to the extent that such
                  transfer consists solely of the distribution to an Insurance
                  Subsidiary of insurance premiums and/or commissions
                  attributable to insurance premiums previously remitted to the
                  transferor by, or for the account of, the applicable insurance
                  policyholder(s), or (z) transfers of cash between and among
                  GAINSCO and the Subsidiaries (including the Insurance
                  Subsidiaries), made in the ordinary course of business of both
                  the transferee and the transferor, to the extent that such
                  transfer consists solely of the payment by the transferor of
                  payroll amounts or other costs and expenses attributable to
                  Insurance Subsidiaries and the amounts thereof, in the
                  aggregate, have previously been funded, or will substantially
                  contemporaneously with such transfer be reimbursed to the
                  transferor, by the applicable Insurance Subsidiary(ies)."

         2.4 Section 7.14 of the Credit Agreement is hereby amended to read in
its entirety as follows:

                           7.14 SALE AND LEASEBACK. Borrowers shall not, and
                  shall not permit any of the other Companies to, enter into any
                  arrangement with any Person pursuant to which any Company will
                  lease, as lessee, any property which it owned as of the date
                  hereof and which it sold, transferred, or otherwise disposed
                  of to such other Person, except that GAIC may sell its
                  premises at 500 Commerce Street, Fort Worth, Texas 76102 and
                  lease back, as lessee, said premises, provided that such sale
                  and such lease back satisfy the following requirements: (i)
                  the cash portion of the purchase price, payable to GAIC at the
                  closing of the sale transaction in immediately available
                  funds, is at least $5,000,000, (ii) GAIC is the only Company
                  that is liable, in whole or in part, with respect to such
                  lease of such premises, (iii) such lease of such premises is
                  for a term (inclusive of any and all extensions) of not more
                  than eighteen (18) months, and (iv) such lease of such
                  premises is at a lease rate, and contains other terms and
                  conditions, that are commercially reasonable for such premises
                  at the time such lease is entered into by GAIC. A sale of such
                  premises by GAIC in

                                      -4-
<PAGE>

                  accordance with the foregoing requirements shall not be
                  subject to the mandatory prepayment provisions of SECTION
                  2.5(d) hereof.

         2.5 The Lender hereby agrees that it will not unreasonably withhold its
consent to any proposed sale of any assets of the Borrowers or any Subsidiary
if, and to the extent that, (i) no Event of Default or Potential Default would
exist at the time of, or after giving effect to, such proposed sale (assuming
Lender's consent to such proposed sale), (ii) such sale is to be made to an
unaffiliated third party, in an arms-length transaction for fair consideration,
(iii) the consideration to be received by the Borrowers and/or the Subsidiaries,
as applicable, in connection with such sale consists entirely of cash, in
immediately available funds, and (iv) in connection with each such sale, the
Borrowers make the mandatory prepayment of the Principal Debt required by
Section 2.5(d) of the Credit Agreement in a timely manner. The Lender further
agrees that, to the extent that all of the foregoing conditions are satisfied in
connection with each such sale, the Lender shall release its Liens with respect
to the asset(s) covered by such sale(s) without requiring that any additional
prepayment (i.e., other than the mandatory prepayment of the Principal Debt
required by Section 2.5(d) of the Credit Agreement) of the Principal Debt be
made to the Lender.

         2.6 The Credit Agreement is hereby amended by deleting Section 7.21
thereof in its entirety.

         2.7 For purposes of notices and other communications to the Lender
under the Credit Agreement and the other Loan Documents, the address of the
Lender is hereby changed to the following address:

                     Bank One, NA
                     Managed Assets Division
                     1717 Main Street, 4th Floor
                     Dallas, Texas 75201
                     Attention: C. Dianne Wooley, First Vice President
                     Telephone: (214) 290-2719
                     Facsimile: (214) 290-2740

         2.8 Exhibit "D" to the Credit Agreement is hereby deleted in its
entirety and Exhibit "D" hereto is hereby substituted in lieu thereof.

3. LIENS AND SECURITY INTERESTS. In order to induce the Lender to enter into
this Amendment No. 3 and in order to secure the payment of the Indebtedness and
the performance of the Obligation, the Borrowers and each of the Subsidiary
Pledgors hereby grant to the Lender a first lien and security interest upon all
Collateral and all other property presently securing all or any portion of the
Obligation. Except to the extent that any Subsidiary is precluded by applicable
Legal Requirements from doing so, GAINSCO

                                      -5-
<PAGE>

and each Subsidiary shall, prior to December 31, 2001 and from time to time
thereafter, execute and deliver to the Lender all security agreements, financing
statements, collateral assignments, deeds of trust, guaranties, lien instruments
and other collateral documentation which the Lender may reasonably require in
order to grant, create, perfect, maintain, continue or otherwise effectuate
and/or evidence a perfected, first priority (subject only to Permitted Liens)
Lien, in favor of the Lender, in, to and covering all assets of such entities.
The terms, provisions and forms of such documents shall be such as are
reasonably acceptable to the Lender. The Borrowers and the Subsidiary Pledgors
further acknowledge and agree that the failure of GAINSCO and/or any Subsidiary
to fully comply in a timely manner with the covenants and agreements of such
parties contained herein shall immediately, and without any necessity for notice
from the Lender or otherwise and without any cure or grace period (all of which
are hereby expressly waived by the Borrowers and the Subsidiary Pledgors),
constitute an Event of Default under the Credit Agreement and the other Loan
Documents.

4. REPRESENTATIONS AND WARRANTIES. In order to induce the Lender to enter into
this Amendment No. 3, the Borrowers and each of the Subsidiary Pledgors hereby
represent, warrant, and commit to the Lender as follows:

         (a)      The Borrowers and each of the Subsidiary Pledgors have the
                  power and authority to enter into and perform this Amendment
                  No. 3 and all documents and actions required or contemplated
                  hereunder to which they are parties; all actions necessary or
                  appropriate for the execution and performance of this
                  Amendment No. 3 and all documents and actions required or
                  contemplated hereby have been taken; and the Credit Agreement,
                  as amended hereby, and the other Loan Documents constitute the
                  legal, valid, and binding obligations of the Borrowers and the
                  Subsidiary Pledgors, as applicable, enforceable in accordance
                  with their respective terms.

         (b)      After giving effect to this Amendment No. 3, none of the
                  Borrowers or any of the Subsidiary Pledgors are in default
                  under or violating any provisions of their respective Articles
                  or Certificates of Incorporation or Bylaws (or other
                  organizational and/or internal governance documentation), and
                  none of the Borrowers or any of the Subsidiary Pledgors are in
                  default under or violating any material provisions of any
                  indenture, mortgage, lien, agreement, contract, deed, lease,
                  loan or credit agreement, note, order, judgment, decree, or
                  other instrument or restriction of any kind or character to
                  which any one or more of them is a party or by which anyone or
                  more of them is bound, or to which any of their respective
                  assets are subject, which default would have a material
                  adverse effect on the ability of any of the Borrowers and/or
                  Subsidiary Pledgors to perform their respective obligations
                  hereunder, thereunder, or under any of the other Loan
                  Documents; and neither the execution and delivery of this
                  Amendment No. 3 nor compliance with the terms, conditions, and
                  provisions hereof will conflict with or result in the breach
                  of, or constitute a default under, any of the foregoing.

                                       -6-

<PAGE>

         (c)      After giving effect to this Amendment No. 3, neither any Event
                  of Default nor any Potential Default exists under, or in
                  connection with, the Credit Agreement or any of the other Loan
                  Documents.

         (d)      Each representation and warranty contained in the Credit
                  Agreement and the Amendments is true and correct as of the
                  date of this Amendment No. 3 except as previously disclosed to
                  the Lender in writing.

         (e)      Each financial statement of the Companies heretofore furnished
                  to the Lender was prepared in conformity with GAAP and, when
                  read together with the notes thereto, presents fairly the
                  financial condition of the Companies as the date thereof.
                  Since the date of the last such financial statement there has
                  been no materially adverse change in the financial condition
                  or business prospects of the Companies.

         (f)      None of the Articles or Certificates of Incorporation or
                  by-laws (or other organizational and/or internal governance
                  documentation) of any of the Companies have been modified,
                  rescinded or revoked since November 13, 1998, except as
                  heretofore disclosed to the Lender in writing or as set forth
                  in certificates delivered to the Lender on the Amendment No. 3
                  Closing Date, and the same are currently in full force and
                  effect, except as aforesaid.

         (g)      The Subsidiary Pledgors and MGA Agency, Inc., a Texas
                  corporation, constitute all of the Subsidiaries (other than
                  Insurance Subsidiaries). Each of the Insurance Subsidiaries is
                  prohibited by applicable Legal Requirement from guaranteeing
                  the Obligation, or any portion thereof, and/or encumbering any
                  of its respective assets as security for the Obligation, or
                  any portion thereof.

6.      RELEASE. TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, IN
CONSIDERATION OF THE LENDER'S EXECUTION OF THIS AMENDMENT NO. 3, EACH OF THE
BORROWERS AND EACH OF THE SUBSIDIARY PLEDGORS, IN EACH CASE ON BEHALF OF ITSELF
AND EACH OF THEIR SUCCESSORS AND ASSIGNS (COLLECTIVELY, THE "RELEASORS"), DOES
HEREBY FOREVER RELEASE, DISCHARGE AND ACQUIT THE LENDER AND EACH OF ITS PARENT,
SUBSIDIARIES AND AFFILIATE CORPORATIONS OR PARTNERSHIPS, AND THEIR RESPECTIVE
OFFICERS, DIRECTORS, PARTNERS, TRUSTEES, SHAREHOLDERS, AGENTS, ATTORNEYS AND
EMPLOYEES, AND THEIR RESPECTIVE SUCCESSORS, HEIRS AND ASSIGNS (COLLECTIVELY, THE
"RELEASEES") OF AND FROM ANY AND ALL CLAIMS, DEMANDS, LIABILITIES,
RESPONSIBILITIES, DISPUTES, CAUSES OF ACTION (WHETHER AT LAW OR EQUITY),
INDEBTEDNESS AND OBLIGATIONS (COLLECTIVELY, "CLAIMS"), OF EVERY TYPE, KIND,
NATURE, DESCRIPTION OR

                                       -7-
<PAGE>
CHARACTER, INCLUDING, WITHOUT LIMITATION, ANY SO-CALLED "LENDER LIABILITY"
CLAIMS OR DEFENSES, AND IRRESPECTIVE OF HOW, WHY OR BY REASON OF WHAT FACTS,
WHETHER SUCH CLAIMS HAVE HERETOFORE ARISEN, ARE NOW EXISTING OR HEREAFTER ARISE,
OR WHICH COULD, MIGHT, OR MAY BE CLAIMED TO EXIST, OF WHATEVER KIND OR NAME,
WHETHER KNOWN OR UNKNOWN, SUSPECTED OR UNSUSPECTED, LIQUIDATED OR UNLIQUIDATED,
EACH AS THOUGH FULLY SET FORTH HEREIN AT LENGTH, WHICH IN ANY WAY ARISE OUT OF,
ARE CONNECTED WITH OR IN ANY WAY RELATE TO ACTIONS OR OMISSIONS WHICH OCCURRED
ON OR PRIOR TO THE DATE HEREOF WITH RESPECT TO ANY OF THE RELEASORS, THE
OBLIGATION, THIS AMENDMENT NO. 3, THE CREDIT AGREEMENT, ANY LOAN DOCUMENT OR ANY
THIRD PARTIES LIABLE IN WHOLE OR IN PART FOR THE OBLIGATION. EACH OF THE
RELEASORS FURTHER AGREES TO INDEMNIFY THE RELEASEES AND HOLD EACH OF THE
RELEASEES HARMLESS FROM AND AGAINST ANY AND ALL SUCH CLAIMS WHICH MIGHT BE
BROUGHT AGAINST ANY OF THE RELEASEES ON BEHALF OF ANY PERSON OR ENTITY,
INCLUDING, WITHOUT LIMITATION, OFFICERS, DIRECTORS, AGENTS, TRUSTEES, CREDITORS
OR SHAREHOLDERS OF ANY OF THE RELEASORS. FOR PURPOSES OF THE RELEASE CONTAINED
IN THIS PARAGRAPH, ANY REFERENCE TO ANY RELEASOR SHALL MEAN AND INCLUDE, AS
APPLICABLE, SUCH PERSON'S OR PERSONS' SUCCESSORS AND ASSIGNS, INCLUDING, WITHOUT
LIMITATION, ANY RECEIVER, TRUSTEE OR DEBTOR-IN-POSSESSION, ACTING ON BEHALF OF
SUCH PARTIES.

7. CONDITIONS PRECEDENT. The effectiveness of this Amendment No. 3 is subject to
the satisfaction of the following conditions precedent:

                  (a) Deliveries. The Lender shall have received all of the
         following (with respect to each such document, instrument or agreement
         to be delivered hereunder, same shall be dated the Amendment No. 3
         Closing Date, unless otherwise indicated herein) in form and substance
         acceptable to the Lender:

                           (i) Amendment No. 3. The Borrowers and each of the
                  Subsidiary Pledgors shall have executed and delivered to the
                  Lender this Amendment No. 3.

                           (ii) Guaranty Agreement(s). Each Subsidiary Pledgor
                  and MGA Agency, Inc., a Texas corporation, shall have executed
                  and delivered to the Lender a guaranty agreement, in form and
                  substance acceptable to the Lender, pursuant to which each
                  such Subsidiary shall have unconditionally guaranteed the
                  payment and performance of the Obligation of the Borrowers, or
                  either of them, to the Lender.

                                       -8-
<PAGE>

                           (iii) Notice of Final Agreement. The Borrowers, each
                  of the Subsidiary Pledgors and each other Subsidiary that
                  executes and delivers any Loan Document pursuant to this
                  Amendment No. 3 shall have executed and delivered to the
                  Lender a Notice of Final Agreement in form and substance
                  acceptable to the Lender.

                           (iv) Closing Opinion(s) of Legal Counsel. The Lender
                  shall have received closing opinion(s), in form and substance
                  acceptable to the Lender, of legal counsel for the Borrowers,
                  each of the Subsidiary Pledgors and each other Subsidiary that
                  executes and delivers any Loan Document pursuant to this
                  Amendment No. 3 with respect to such matters as the Lender
                  shall deem appropriate.

                           (v) Amendment Fee. The Borrowers shall have paid to
                  the Lender a fully-earned and non-refundable amendment fee, in
                  the amount of $50,000.00, in connection with this Amendment
                  No. 3.

                           (vi) Attorneys' Fees and Expenses. The costs and
                  expenses (including attorneys' fees) referred to in Section
                  9.3 of the Credit Agreement, to the extent incurred, shall
                  have been paid in full by the Borrowers.

                           (vii) Additional Information. The Lender shall have
                  received such additional approvals, opinions, information,
                  agreements and/or documents as the Lender may reasonably
                  request.

                  (b) No Default. No Event of Default or Default shall be
         continuing.

                  (c) Representations and Warranties. All of the representations
         and warranties contained in Section 5 of the Credit Agreement, as
         amended by the Amendments, and in the other Loan Documents shall be
         true and correct on and as of the date of this Amendment No. 3 with the
         same force and effect as if such representations and warranties had
         been made on and as of such date, except as modified hereby.

8. FURTHER ASSURANCES. The Companies will execute and deliver such writings and
take such other actions as the Lender may request from time to time to carry out
the intent of the Credit Agreement, this Amendment No. 3 and the other Loan
Documents and to perfect or give further assurances of any right granted or
provided for therein or herein.

9. RATIFICATION, ETC. The terms and provisions set forth in this Amendment No. 3
shall modify and supersede all inconsistent terms and provisions set forth in
the Credit Agreement and the other Loan Documents and, except as expressly
modified and superseded by this Amendment No.3, the terms and provisions of the
Credit Agreement and all other Loan Documents are ratified and confirmed and
shall continue in full force and effect. The Borrowers, the Subsidiary Pledgors
and the Lender agree that the

                                       -9-
<PAGE>

Credit Agreement and the other Loan Documents, as amended hereby, shall continue
to be legal, valid, binding and enforceable in accordance with their respective
terms.

10. SURVIVAL. All representations and warranties made in this Amendment No. 3 or
any other Loan Document, including any Loan Document furnished in connection
with this Amendment No. 3, shall survive the execution and delivery of this
Amendment No. 3 and the other Loan Documents, and no investigation by the Lender
or any closing shall affect the representations and warranties or the right of
the Lender to rely upon them.

11. AMENDED REFERENCES. Each of the Loan Documents, including the Credit
Agreement and any and all other agreements, documents, or instruments now or
hereafter executed and delivered pursuant to the terms hereof or pursuant to the
terms of the Credit Agreement as amended hereby, are hereby amended so that any
reference in such Loan Documents to the Credit Agreement shall mean a reference
to the Credit Agreement as amended by the Amendments.

12. NO INVALIDITY. Any provision of this Amendment No. 3 held by a court of
competent jurisdiction to be invalid or unenforceable shall not impair or
invalidate the remainder of this Amendment No. 3 and the effect thereof shall be
confined to the provision so held to be invalid or unenforceable.

13. PERFORMANCE. This Amendment No. 3 and all other Loan Documents executed
pursuant hereto shall be deemed to have been made and to be performable in
Dallas, Dallas County, Texas.

14. COUNTERPARTS, ETC. To facilitate execution, this Amendment No. 3 may be
executed in any number of counterparts as may be convenient or necessary, and it
shall not be necessary that the signatures of all parties hereto be contained on
anyone counterpart hereof. Additionally, the parties hereto hereby agree that,
for purposes of facilitating the execution of this Amendment No. 3, (a) the
signature pages taken from separate individually executed counterparts of this
Amendment No. 3 may be combined to form multiple fully executed counterparts and
(b) a facsimile transmission shall be deemed to be an original signature. All
executed counterparts of this Amendment No. 3, shall be deemed to be originals,
but all such counterparts taken together or collectively, as the case may be,
shall constitute one and the same agreement.

         THE CREDIT AGREEMENT AND THE OTHER LOAN DOCUMENTS, AS AMENDED BY THE
AMENDMENTS, REPRESENT THE FINAL AGREEMENT AMONG THE PARTIES AND MAY NOT BE
CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS
OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS AMONG THE PARTIES.

         IN WITNESS WHEREOF, the parties hereto have executed this Amendment No.
3 effective as of the date first above written.

                                      -10-
<PAGE>

BORROWERS:                                  GAINSCO, INC.

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

                                            GAINSCO SERVICE CORP.

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

SUBSIDIARY PLEDGORS:                        AGENTS PROCESSING SYSTEMS, INC

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

                                            RISK RETENTION ADMINISTRATORS, INC.

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

                                            GENERAL AGENTS PREMIUM FINANCE
                                            COMPANY

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

                                      -11-
<PAGE>

                                            MGA PREMIUM FINANCE COMPANY

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

                                            NATIONAL SPECIALTY LINES, INC.

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

                                            DLT INSURANCE ADJUSTERS, INC.
                                            (formerly known as De La Torre
                                            Insurance Adjusters, Inc.)

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

                                            LALANDE FINANCIAL GROUP, INC.

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

LENDER:                                     BANK ONE, NA

                                            By:
                                                -------------------------------
                                                  C. Dianne Wooley
                                                  First Vice President

                                      -12-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00031-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00031-of-00352.parquet"}]]