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                                                                    EXHIBIT 10.2

                           REVOLVING CREDIT AGREEMENT

This Revolving Credit Agreement (the "AGREEMENT") is made and entered into by
and between the undersigned borrower (the "BORROWER") and the undersigned bank
(the "BANK") as of the date set forth on the last page of this Agreement.

                                ARTICLE I. LOANS

        1.1 REVOLVING CREDIT LOANS. From time to time prior to MARCH 31, 2003
(the "MATURITY DATE") or the earlier termination hereof, the Borrower may borrow
from the Bank for working capital purposes up to the aggregate principal amount
outstanding at any one time of the lesser of (i) $10,000,000.00 (the "LOAN
AMOUNT"), less letters of credit issued by the Bank, or (ii) if applicable, the
BORROWING BASE (defined below). All revolving loans hereunder will be evidenced
by a single promissory note of the Borrower payable to the order of the Bank in
the principal amount of the Loan Amount (the "NOTE"). Although the Note will be
expressed to be payable in the full Loan Amount, the Borrower will be obligated
to pay only the amounts actually disbursed hereunder, together with accrued
interest on the outstanding balance at the rates and on the dates specified
therein and such other charges provided for herein. In the event that the
principal amount outstanding under the Note exceeds the Borrowing Base at any
time, the Borrower will immediately, without request, prepay an amount
sufficient to eliminate such excess.

        1.2 BORROWING BASE. The Borrowing Base will be an amount equal to the
sum of (i) n/a% of the face amount of Eligible Accounts, and (ii) the lesser of
$n/a or n/a% of the Borrower's cost of Eligible Inventory, as such cost may be
diminished as a result of any event causing loss or depreciation in value of
Eligible Inventory less (iii) the current outstanding loan balance on note(s) in
the original amount(s) of $n/a, and less (iv) undrawn amounts of outstanding
letters of credit issued by Bank or any affiliate thereof. The Borrower will
provide the Bank with information regarding the Borrowing Base in such form and
at such times as the Bank may request. The terms used in this Section 1.2 will
have the meanings set forth in a supplement entitled "Financial Definitions," a
copy of which the Borrower acknowledges having received with this Agreement and
which is incorporated herein by reference.

        1.3 ADVANCES AND PAYING PROCEDURE. The Bank is authorized and directed
to credit any of the Borrower's accounts with the Bank (or to the account the
Borrower designates in writing) for all loans made hereunder, and the Bank is
authorized to debit such account or any other account of the Borrower with the
Bank for the amount of any principal or interest due under the Note or other
amount due hereunder on the due date with respect thereto. Each advance shall be
in the minimum amount of $5,000.

        1.4 CLOSING FEE. The Borrower will pay the Bank a one-time closing fee
of $1,000.00 contemporaneously with execution of this Agreement. This fee is in
addition to all other fees, expenses and other amounts due hereunder.

        1.5 LOAN FACILITY FEE. The Borrower will pay a loan facility fee equal
to:

        |_| $n/a per annum, payable annually in advance; (or)

        |_| n/a% per annum of the Loan Amount, payable annually in advance;
            (or)

        |_| n/a% per annum of the difference between the Loan Amount and the
            actual daily unpaid principal amount of the Note outstanding from
            time to time, payable quarterly, in arrears, on the last business
            day of each third calendar month, and at maturity; (or)

        |_| n/a% per annum of the actual daily unpaid principal amount of the
            Note outstanding from time to time, payable quarterly, in arrears,
            on the last business day of each third calendar month, and at
            maturity.

The loan facility fee is payable for the entire period that this Agreement is in
effect, regardless of whether any amounts are outstanding hereunder at any given
time.

        1.6 EXPENSES AND ATTORNEYS' FEES. The Borrower will reimburse the Bank
and any Participant (defined below) for all attorneys' fees and all other costs,
fees and out-of-pocket disbursements incurred by the Bank or any Participant in
connection with the preparation, execution, delivery, administration, defense
and enforcement of this Agreement or any of the other Loan Documents (defined
below), including attorneys' fees and all other costs and fees (a) incurred
before or after commencement of litigation or at trial, on appeal or in any
other proceeding, (b) incurred in any bankruptcy proceeding and (c) related to
any waivers or amendments with respect thereto (examples of costs and fees
include but are not limited to fees and costs for: filing, perfecting or
confirming the priority of the Bank's lien, title searches or insurance,
appraisals, environmental audits and other reviews related to the Borrower, any
collateral or the loans, if requested by the Bank). The Borrower will also
reimburse the Bank and any Participant for all costs of collection, including
all attorneys' fees, before and after judgment, and the costs of preservation
and/or liquidation of any collateral.

        1.7. COMPENSATING BALANCES. The Borrower will maintain on deposit with
the Bank in non-interest bearing accounts average daily collected balances, in
excess of that required to support account activity and other credit facilities
extended to the Borrower by the Bank, an amount at least equal to the sum of (i)
$n/a and (ii) n/a% of the Loan Amount as computed on a monthly basis. If the
Borrower fails to keep and maintain such balances, it will pay a deficiency fee,
payable within five days after receipt of a statement therefor calculated on the
amount by which the Borrower's average daily balances are less than the
requirements set forth above, computed at a rate equal to the rate set forth in
the Note.

        1.8 CONDITIONS TO BORROWING. The Bank will not be obligated to make (or
continue to make) advances hereunder unless (i) the Bank has received executed
originals of the Note and all other documents or agreements applicable to the
loans described herein, including but not limited to the documents specified in
Article III (collectively with this Agreement the "LOAN DOCUMENTS"), in form and
content satisfactory to the Bank; (ii) if the loan is secured, the Bank has
received confirmation satisfactory to it that the Bank has a properly perfected
security interest, mortgage or lien, with the proper priority; (iii) the Bank
has received certified copies of the

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Borrower's Articles of Incorporation and By-Laws, or its Partnership Agreement
(as appropriate), certification of corporate or partnership status satisfactory
to the Bank and all other relevant documents; (iv) the Bank has received a
certified copy of a resolution or authorization in form and content satisfactory
to the Bank authorizing the loan and all acts contemplated by this Agreement and
all related documents, and confirmation of proper authorization of all
guaranties and other acts of third parties contemplated hereunder; (v) if
required by the Bank, the Bank has been provided with an Opinion of the
Borrower's counsel in form and content satisfactory to the Bank confirming the
matters outlined in Section 2.2 and such other matters as the Bank requests;
(vi) no default exists under this Agreement or under any other Loan Documents,
or under any other agreements by and between the Borrower and the Bank; and
(vii) all proceedings taken in connection with the transactions contemplated by
this Agreement (including any required environmental assessments), and all
instruments, authorizations and other documents applicable thereto, are
satisfactory to the Bank and its counsel.

                      ARTICLE II. WARRANTIES AND COVENANTS

While any part of the credit granted to the Borrower under this Agreement or the
other Loan Documents is available or any obligations under any of the Loan
Documents are unpaid or outstanding, the Borrower continuously warrants and
agrees as follows:

        2.1 ACCURACY OF INFORMATION. All information, certificates or statements
given to the Bank pursuant to this Agreement and the other Loan Documents will
be true and complete when given.

        2.2 ORGANIZATION AND AUTHORITY; LITIGATION. If the Borrower is a
corporation or partnership, the Borrower is a validly existing corporation or
partnership (as applicable) in good standing under the laws of its state of
organization, and has all requisite power and authority, corporate or otherwise,
and possesses all licenses necessary, to conduct its business and own its
properties. The execution, delivery and performance of this Agreement and the
other Loan Documents (i) are within the Borrower's power; (ii) have been duly
authorized by proper corporate or partnership action (as applicable); (iii) do
not require the approval of any governmental agency, other entity or person; and
(iv) will not violate any law, agreement or restriction by which the Borrower is
bound. This Agreement and the other Loan Documents are the legal, valid and
binding obligations of the Borrower, enforceable against the Borrower in
accordance with their terms. There is no litigation or administrative proceeding
threatened or pending against the Borrower which would, if adversely determined,
have a material adverse effect on the Borrower's financial condition or its
property.

        2.3 EXISTENCE; BUSINESS ACTIVITIES; ASSETS. The Borrower will (i)
preserve its corporate or partnership (as applicable) existence, rights and
franchises; (ii) not make any material change in the nature or manner of its
business activities; (iii) not liquidate, dissolve, merge or consolidate with or
into another entity; and (iv) not sell, lease, transfer or otherwise dispose of
all or substantially all of its assets.

        2.4 USE OF PROCEEDS; MARGIN STOCK; SPECULATION. Advances by the Bank
hereunder will be used exclusively by the Borrower for working capital and other
regular and valid purposes. The Borrower will not, without the prior written
consent of the Bank, redeem, purchase, or retire any of the capital stock or
declare or pay any dividends, or make any other payments or distributions of a
similar type or nature. The Borrower will not use any of the loan proceeds to
purchase or carry "margin" stock (as defined in Regulation U of the Board of
Governors of the Federal Reserve System). No part of any of the proceeds will be
used for speculative investment purposes, including, without limitation,
speculating or hedging in the commodities and/or futures market.

        2.5 ENVIRONMENTAL MATTERS. Except as disclosed in a written schedule
attached to this Agreement (if no schedule is attached, there are no
exceptions), there exists no uncorrected violation by the Borrower of any
federal, state or local laws (including statutes, regulations, ordinances or
other governmental restrictions and requirements) relating to the discharge of
air pollutants, water pollutants or process waste water or otherwise relating to
the environment or Hazardous Substances as hereinafter defined, whether such
laws currently exist or are enacted in the future (collectively "ENVIRONMENTAL
LAWS"). The term "HAZARDOUS SUBSTANCES" will mean any hazardous or toxic wastes,
chemicals or other substances, the generation, possession or existence of which
is prohibited or governed by any Environmental Laws. The Borrower is not subject
to any judgment, decree, order or citation, or a party to (or threatened with)
any litigation or administrative proceeding, which assets that the Borrower (i)
has violated any Environmental Laws; (ii) is required to clean up, remove or
take remedial or other action with respect to any Hazardous Substances
(collectively "REMEDIAL ACTION"); or (iii) is required to pay all or a portion
of the cost of any Remedial Action, as a potentially responsible party. Except
as disclosed on the Borrower's environmental questionnaire provided to the Bank,
there are not now, nor to the Borrower's knowledge after reasonable
investigation have there ever been, any Hazardous Substances (or tanks or other
facilities for the storage of Hazardous Substances) stored, deposited, recycled
or disposed of on, under or at any real estate owned or occupied by the Borrower
during the periods that the Borrower owned or occupied such real estate, which
if present on the real estate or in soils or ground water, could require
Remedial Action. To the Borrower's knowledge, there are no proposed or pending
changes in Environmental Laws which would adversely affect the Borrower or its
business, and there are no conditions existing currently or likely to exist
while the Loan Documents are in effect which would subject the Borrower to
Remedial Action or other liability. The Borrower currently complies with and
will continue to timely comply with all applicable Environmental Laws; and will
provide the Bank, immediately upon receipt, copies of any correspondence,
notice, complaint, order or other document from any source asserting or alleging
any circumstance or condition which requires or may require a financial
contribution by the Borrower or Remedial Action or other response by or on the
part of the Borrower under Environmental Laws, or which seeks damages or civil,
criminal or punitive penalties from the Borrower for an alleged violation of
Environmental Laws.

        2.6 COMPLIANCE WITH LAWS. The Borrower has complied with all laws
applicable to its business and its properties, and has all permits, licenses and
approvals required by such laws, copies of which have been provided to the Bank.

        2.7 RESTRICTION ON INDEBTEDNESS. The Borrower will not create, incur,
assume or have outstanding any indebtedness for borrowed money (including
capitalized leases) except (i) any indebtedness owing to the Bank and its
affiliates, and (ii) any other indebtedness

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outstanding on the date hereof, and shown on the Borrower's financial statements
delivered to the Bank prior to the date hereof, provided that such other
indebtedness will not be increased.

        2.8 RESTRICTION ON LIENS. The Borrower will not create, incur, assume or
permit to exist any mortgage, pledge, encumbrance or other lien or levy upon or
security interest in any of the Borrower's property now owned or hereafter
acquired, except (i) taxes and assessments which are either not delinquent or
which are being contested in good faith with adequate reserves provided; (ii)
easements, restrictions and minor title irregularities which do not, as a
practical matter, have an adverse effect upon the ownership and use of the
affected property; (iii) liens in favor of the Bank and its affiliates; and (iv)
other liens disclosed in writing to the Bank prior to the date hereof.

        2.9 RESTRICTION ON CONTINGENT LIABILITIES. The Borrower will not
guarantee or become a surety or otherwise contingently liable for any
obligations of others, except pursuant to the deposit and collection of checks
and similar matters in the ordinary course of business.

        2.10 INSURANCE. The Borrower will maintain insurance to such extent,
covering such risks and with such insurers as is usual and customary for
businesses operating similar properties, and as is satisfactory to the Bank,
including insurance for fire and other risks insured against by extended
coverage, public liability insurance and workers' compensation insurance; and
will designate the Bank as loss payee with a "Lender's Loss Payable" endorsement
on any casualty policies and take such other action as the Bank may reasonably
request to ensure that the Bank will receive (subject to no other interests) the
insurance proceeds on the Bank's collateral.

        2.11 TAXES AND OTHER LIABILITIES. The Borrower will pay and discharge,
when due, all of its taxes, assessments and other liabilities, except when the
payment thereof is being contested in good faith by appropriate procedures which
will avoid foreclosure of liens securing such items, and with adequate reserves
provided therefor.

        2.12 FINANCIAL STATEMENTS AND REPORTING. The financial statements and
other information previously provided to the Bank or provided to the Bank in the
future are or will be complete and accurate and prepared in accordance with
generally accepted accounting principles. There has been no material adverse
change in the Borrower's financial condition since such information was provided
to the Bank. The Borrower will (i) maintain accounting records in accordance
with generally recognized and accepted principles of accounting consistently
applied throughout the accounting periods involved; (ii) provide the Bank with
such information concerning its business affairs and financial condition
(including insurance coverage) as the Bank may request; and (iii) without
request, provide the Bank with management-prepared financial statements:

        [X] quarterly within 60 days of the end of each quarter;

        |_| monthly within n/a days of the end of each month; and annual audited
financial statements prepared by an accounting firm acceptable to the Bank
within 90 days of the end of each fiscal year.

        2.13 INSPECTION OF PROPERTIES AND RECORDS; FISCAL YEAR. The Borrower
will permit representatives of the Bank to visit and inspect any of the
properties and examine any of the books and records of the Borrower at any
reasonable time and as often as the Bank may reasonably desire. The Borrower
will not change its fiscal year.

        2.14 FINANCIAL STATUS. The Borrower will maintain at all times:

        (i)    Net Working Capital in the amount of at least $n/a.

        (ii)   Tangible Net Worth in the amount of at least $n/a.

        (iii)  Debt to Worth Ratio of not more than n/a.

        (iv)   Current Ratio of at least n/a.

        (v)    Capital Expenditures not to exceed $n/a per fiscal year.

        (vi)   Cash Flow Coverage Ratio of at least n/a.

        (vii)  Officers, Directors, Partners, and Management Salaries and Other
               Compensation not to exceed $n/a per fiscal year.

The terms used in this Section 2.14 will have the meanings set forth in a
supplement entitled "Financial Definitions," a copy of which the Borrower hereby
acknowledges having received with this Agreement and which is incorporated
herein by reference.

        2.15 PAID-IN-FULL PERIOD. |_| If checked here, all revolving loans under
this Agreement and the Note must be paid in full for a period of at least n/a
consecutive days during each fiscal year.

                     ARTICLE III. COLLATERAL AND GUARANTIES

        3.1 COLLATERAL. This Agreement and the Note are secured by any and all
security interests, pledges, mortgages/deeds of trust or liens now or hereafter
in existence granted to the Bank to secure indebtedness of the Borrower to the
Bank, including without limitation as described in the following documents:

|_| Real Estate Mortgage(s)/Deed(s) of Trust dated __________ covering real
    estate located at ____________________.

|_| Security Agreement(s) dated __________.

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        [X] Collateral Pledge Agreement(s) dated 03/19/02

        |_|Other ____________________________________

        3.2 GUARANTIES. This loan is guaranteed by N/A

        3.3 CREDIT BALANCES; SETOFF. As additional security for the payment of
the obligations described in the Loan Documents and any other obligations of the
Borrower to the Bank of any nature whatsoever (collectively the "OBLIGATIONS"),
the Borrower hereby grants to the Bank a security interest in, a lien on and an
express contractual right to set off against all depository account balances,
cash and any other property of the Borrower now or hereafter in the possession
of the Bank and the right to refuse to allow withdrawals from any account
(collectively "SETOFF"). The Bank may, at any time upon the occurrence of a
default hereunder (notwithstanding any notice requirements or grace/cure periods
under this or other agreements between the Borrower and the Bank) Setoff against
the Obligations WHETHER OR NOT THE OBLIGATIONS (INCLUDING FUTURE INSTALLMENTS)
ARE THEN DUE OR HAVE BEEN ACCELERATED, ALL WITHOUT ANY ADVANCE OR
CONTEMPORANEOUS NOTICE OR DEMAND OF ANY KIND TO THE BORROWER, SUCH NOTICE AND
DEMAND BEING EXPRESSLY WAIVED.

        The information in this Article III is for information only and the
omission of any reference to an agreement will not affect the validity or
enforceability thereof. The rights and remedies of the Bank outlined in this
Agreement and the documents identified above are intended to be cumulative.

                              ARTICLE IV. DEFAULTS

        4.1 DEFAULTS. NOTWITHSTANDING ANY CURE PERIODS DESCRIBED BELOW, THE
BORROWER WILL IMMEDIATELY NOTIFY THE BANK IN WRITING WHEN THE BORROWER OBTAINS
KNOWLEDGE OF THE OCCURRENCE OF ANY DEFAULT SPECIFIED BELOW. Regardless of
whether the Borrower has given the required notice, the occurrence of one or
more of the following will constitute a default:

(a)   NONPAYMENT. The Borrower shall fail to pay (i) any interest due on the
      Note or any fees, charges, costs or expenses under the Loan Documents by 5
      days after the same becomes due; or (ii) any principal amount of the Note
      when due.

(b)   NONPERFORMANCE. The Borrower of any guarantor of Borrower's Obligations to
      the Bank ("GUARANTOR") shall fail to perform or observe any agreement,
      term, provision, condition, or covenant (other than a default occurring
      under (a), (c), (d), (e), (f) or (g) of this Section 4.1) required to be
      performed or observed by the Borrower or any Guarantor hereunder or under
      any other Loan Document or other agreement with or in favor of the Bank.

(c)   MISREPRESENTATION. Any financial information, statement, certificate,
      representation or warranty given to the Bank by the Borrower or any
      Guarantor (or any of their representatives) in connection with entering
      into this Agreement or the other Loan Documents and/or any borrowing
      thereunder, or required to be furnished under the terms thereof, shall
      prove untrue or misleading in any material respect (as determined by the
      Bank in the exercise of its judgment) as of the time when given.

(d)   DEFAULT ON OTHER OBLIGATIONS. The Borrower or any Guarantor shall be in
      default under the terms of any loan agreement, promissory note, lease,
      conditional sale contract or other agreement, document or instrument
      evidencing, governing or securing any indebtedness owing by the Borrower
      or any Guarantor to the Bank or any indebtedness in excess of $10,000
      owing by the Borrower to any third party, and the period of grace, if any,
      to cure said default shall have passed.

(e)   JUDGMENTS. Any judgment shall be obtained against the Borrower or any
      Guarantor which, together with all other outstanding unsatisfied judgments
      against the Borrower (or such Guarantor), shall exceed the sum of $10,000
      and shall remain unvacated, unbonded or unstayed for a period of 30 days
      following the date of entry thereof.

(f)   INABILITY TO PERFORM; BANKRUPTCY/INSOLVENCY. (i) The Borrower or any
      Guarantor shall die or cease to exist; or (ii) any Guarantor shall attempt
      to revoke any guaranty of the Obligations described herein, or any
      guaranty becomes unenforceable in whole or in part for any reason; or
      (iii) any bankruptcy, insolvency or receivership proceedings, or an
      assignment for the benefit of creditors, shall be commenced under any
      Federal or state law by or against the Borrower or any Guarantor; or (iv)
      the Borrower or any Guarantor shall become the subject of any out-of-court
      settlement with its creditors; or (v) the Borrower or any Guarantor is
      unable or admits in writing its inability to pay its debts as they mature.

(g)   ADVERSE CHANGE; INSECURITY. (i) There is a material adverse change in the
      business, properties, financial condition or affairs of the Borrower or
      any Guarantor, or in any collateral securing the Obligations; or (ii) the
      Bank in good faith deems itself insecure.

        4.2 TERMINATION OF LOANS; ADDITIONAL BANK RIGHTS. Upon the Maturity Date
or the occurrence of any of the events identified in Section 4.1, the Bank may
at any time (notwithstanding any notice requirements or grace/cure periods under
this or other agreements between the Borrower and the Bank) (i) immediately
terminate its obligation, if any, to make additional loans to the Borrower; (ii)
Setoff; and/or (iii) take such other steps to protect or preserve the Bank's
interest in any collateral, including without limitation, notifying account
debtors to make payments directly to the Bank, advancing funds to protect any
collateral and insuring collateral at the Borrower's expense; all without demand
or notice of any kind, all of which are hereby waived.

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        4.3 ACCELERATION OF OBLIGATIONS. Upon the Maturity Date or the
occurrence of any of the events identified in Sections 4.1(a) through 4.1(e) and
4.1(g), and the passage of any applicable cure periods, the Bank may at any time
thereafter, by written notice to the Borrower, declare the unpaid principal
balance of any Obligations, together with the interest accrued thereon and other
amounts accrued hereunder and under the other Loan Documents, to be immediately
due and payable; and the unpaid balance will thereupon be due and payable, all
without presentation, demand, protest or further notice of any kind, all of
which are hereby waived, and notwithstanding anything to the contrary contained
herein or in any of the other Loan Documents. Upon the occurrence of any event
under Section 4.1(f), the unpaid principal balance of any Obligations, together
with all interest accrued thereon and other amounts accrued hereunder and under
the other Loan Documents, will thereupon be immediately due and payable, all
without presentation, demand, protest or notice of any kind, all of which are
hereby waived, and notwithstanding anything to the contrary contained herein or
in any of the other Loan Documents. NOTHING CONTAINED IN SECTION 4.1, SECTION
4.2 OR THIS SECTION WILL LIMIT THE BANK'S RIGHT TO SETOFF AS PROVIDED IN SECTION
3.3 OR OTHERWISE IN THIS AGREEMENT.

        4.4 OTHER REMEDIES. Nothing in this Article IV is intended to restrict
the Bank's rights under any of the Loan Documents or at law, and the Bank may
exercise all such rights and remedies as and when they are available.

                             ARTICLE V. OTHER TERMS

        5.1 FINANCIAL DEFINITIONS SUPPLEMENT. If a Borrowing Base or covenants
regarding financial status apply to this loan, the "FINANCIAL DEFINITIONS"
Supplement identified in Sections 1.2 and 2.14 of this Agreement is hereby
incorporated into this Agreement. The Borrower acknowledges receiving a copy of
such Supplement.

        5.2 ADDITIONAL TERMS; ADDENDUM/SUPPLEMENTS. The warranties, covenants,
conditions and other terms described in this Section and/or in the Addendum
and/or other attached document(s) referenced in this Section are incorporated
into this Agreement:

        See Attached Addendum

                            ARTICLE VI. MISCELLANEOUS

        6.1 DELAY; CUMULATIVE REMEDIES. No delay on the part of the Bank in
exercising any right, power or privilege hereunder or under any of the other
Loan Documents will operate as a waiver thereof, nor will any single or partial
exercise of any right, power or privilege hereunder preclude other or further
exercise thereof or the exercise of any other right, power or privilege. The
rights and remedies herein specified are cumulative and are not exclusive of any
rights or remedies which the Bank would otherwise have.

        6.2 RELATIONSHIP TO OTHER DOCUMENTS. The warranties, covenants and other
obligations of the Borrower (and the rights and remedies of the Bank) that are
outlined in this Agreement and the other Loan Documents are intended to
supplement each other. In the event of any inconsistencies in any of the terms
in the Loan Documents, all terms will be cumulative so as to give the Bank the
most favorable rights set forth in the conflicting documents, except that if
there is a direct conflict between any preprinted terms and specifically
negotiated terms (whether included in an addendum or otherwise), the
specifically negotiated terms will control.

        6.3 PARTICIPATIONS; GUARANTORS. The Bank may, at its option, sell all or
any interests in the Note and other Loan Documents to other financial
institutions (the "PARTICIPANT"), and in connection with such sales (and
thereafter) disclose any financial information the Bank may have concerning the
Borrower to any such Participant or potential Participant. From time to time,
the Bank may, in its discretion and without obligation to the Borrower, any
Guarantor or any other third party, disclose information about the Borrower and
this loan to any Guarantor, surety or other accommodation party. This provision
does not obligate the Bank to supply any information or release the Borrower
from its obligation to provide such information, and the Borrower agrees to keep
all Guarantors advised of its financial condition and other matters which may be
relevant to the Guarantors' obligations to the Bank.

        6.4 SUCCESSORS. The rights, options, powers and remedies granted in this
Agreement and the other Loan Documents will extend to the Bank and to its
successors and assigns, will be binding upon the Borrower and its successors and
assigns and will be applicable hereto and to all renewals and/or extensions
hereof.

        6.5 INDEMNIFICATION. Except for harm arising from the Bank's willful
misconduct, the Borrower hereby indemnifies and agrees to defend and hold the
Bank harmless from any and all losses, costs, damages, claims and expenses of
any kind suffered by or asserted against the Bank relating to claims by third
parties arising out of the financing provided under the Loan Documents or
related to any collateral (including, without limitation, the Borrower's failure
to perform its obligations relating to Environmental Matters described in
Section 2.5 above). This indemnification and hold harmless provision will
survive the termination of the Loan Documents and the satisfaction of the
Obligations due the Bank.

        6.6 NOTICE OF CLAIMS AGAINST BANK; LIMITATION OF CERTAIN DAMAGES. In
order to allow the Bank to mitigate any damages to the Borrower from the Bank's
alleged breach of its duties under the Loan Documents or any other duty, if any,
to the Borrower, the Borrower agrees to give the Bank immediate written notice
of any claim or defense it has against the Bank, whether in tort or contract,
relating to any action or inaction by the Bank under the Loan Documents, or the
transactions related thereto, or of any defense to payment of the Obligations
for any reason. The requirement of providing timely notice to the Bank
represents the parties' agreed-to standard of performance regarding claims
against the Bank. Notwithstanding any claim that the Borrower may have against
the Bank,

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and regardless of any notice the Borrower may have given the Bank, THE BANK WILL
NOT BE LIABLE TO THE BORROWER FOR CONSEQUENTIAL AND/OR SPECIAL DAMAGES ARISING
THEREFROM, EXCEPT THOSE DAMAGES ARISING FROM THE BANK'S WILLFUL MISCONDUCT.

        6.7 NOTICES. Notice of any record shall be deemed delivered when the
record has been (a) deposited in the United States Mail, postage pre-paid, (b)
received by overnight delivery service, (c) received by telex, (d) received by
telecopy, (e) received through the internet, or (f) when personally delivered.

        6.8 PAYMENTS. Payments due under the Note and other Loan Documents will
be made in lawful money of the United States, and the Bank is authorized to
charge payments due under the Loan Documents against any account of the
Borrower. All payments may be applied by the Bank to principal, interest and
other amounts due under the Loan Documents in any order which the Bank elects.

        6.9 APPLICABLE LAW AND JURISDICTION; INTERPRETATION; JOINT LIABILITY;
SEVERABILITY. This Agreement and all other Loan Documents will be governed by
and interpreted in accordance with the internal laws of the State of OREGON,
except to the extent superseded by Federal law. Invalidity of any provisions of
this Agreement will not affect any other provision. THE BORROWER HEREBY CONSENTS
TO THE EXCLUSIVE JURISDICTION OF ANY STATE OR FEDERAL COURT SITUATED IN THE
COUNTY OR FEDERAL JURISDICTION OF THE BANK'S BRANCH WHERE THE LOAN WAS
ORIGINATED, AND WAIVES ANY OBJECTION BASED ON FORUM NON CONVENIENS, WITH REGARD
TO ANY ACTIONS, CLAIMS, DISPUTES OR PROCEEDINGS RELATED TO THIS AGREEMENT, THE
NOTE, THE COLLATERAL, ANY OTHER LOAN DOCUMENT, OR ANY TRANSACTIONS ARISING
THEREFROM, OR ENFORCEMENT AND/OR INTERPRETATION OF ANY OF THE FOREGOING. Nothing
herein will affect the Bank's rights to serve process in any manner permitted by
law, or limit the Bank's right to bring proceedings against the Borrower in the
competent courts of any other jurisdiction or jurisdictions. This Agreement, the
other Loan Documents and any amendments hereto (regardless of when executed)
will be deemed effective and accepted only upon the Bank's receipt of the
executed originals thereof. If there is more than one Borrower, the liability of
the Borrowers will be joint and several, and the reference to "Borrower" will be
deemed to refer to all Borrowers. Invalidity of any provision of this Agreement
shall not affect the validity of any other provision.

        6.10 COPIES; ENTIRE AGREEMENT; MODIFICATION. The Borrower hereby
acknowledges the receipt of a copy of this Agreement and all other Loan
Documents.

IMPORTANT: READ BEFORE SIGNING. THE TERMS OF THIS AGREEMENT SHOULD BE READ
CAREFULLY BECAUSE ONLY THOSE TERMS IN WRITING, EXPRESSING CONSIDERATION AND
SIGNED BY THE PARTIES ARE ENFORCEABLE. NO OTHER TERMS OR ORAL PROMISES NOT
CONTAINED IN THIS WRITTEN CONTRACT MAY BE LEGALLY ENFORCED. THE TERMS OF THIS
AGREEMENT MAY ONLY BE CHANGED BY ANOTHER WRITTEN AGREEMENT. THIS NOTICE SHALL
ALSO BE EFFECTIVE WITH RESPECT TO ALL OTHER CREDIT AGREEMENTS NOW IN EFFECT
BETWEEN BORROWER AND THE BANK. A MODIFICATION OF ANY OTHER CREDIT AGREEMENTS NOW
IN EFFECT BETWEEN BORROWER AND THE BANK, WHICH OCCURS AFTER RECEIPT BY BORROWER
OF THIS NOTICE, MAY BE MADE ONLY BY ANOTHER WRITTEN INSTRUMENT. ORAL OR IMPLIED
MODIFICATIONS TO SUCH CREDIT AGREEMENTS ARE NOT ENFORCEABLE AND SHOULD NOT BE
RELIED UPON.

        6.11 WAIVER OF JURY TRIAL. THE BORROWER AND THE BANK HEREBY JOINTLY AND
SEVERALLY WAIVE ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY ACTION OR PROCEEDING
RELATING TO ANY OF THE LOAN DOCUMENTS, THE OBLIGATIONS THEREUNDER, ANY
COLLATERAL SECURING THE OBLIGATIONS, OR ANY TRANSACTION ARISING THEREFROM OR
CONNECTED THERETO. THE BORROWER AND THE BANK EACH REPRESENTS TO THE OTHER THAT
THIS WAIVER IS KNOWINGLY, WILLINGLY AND VOLUNTARILY GIVEN.

        6.12 ATTACHMENTS. ALL DOCUMENTS ATTACHED HERETO, INCLUDING ANY
APPENDICES, SCHEDULES, RIDERS, AND EXHIBITS TO THIS AGREEMENT, ARE HEREBY
EXPRESSLY INCORPORATED BY REFERENCE.

IN WITNESS WHEREOF, the undersigned have executed this REVOLVING CREDIT
AGREEMENT as of MARCH 19, 2002.

                                            RADISYS CORPORATION
                                            ------------------------------------
(Individual Borrower)                       Borrower Name (Organization)

                              (SEAL)        a OREGON Corporation
------------------------------              ------------------------------------

Borrower Name      N/A                      By /s/ BRIAN BRONSON
              -------------                   ----------------------------------

                                            Name and Title Brian Bronson,
                                            Treasurer and Corporate Controller
                              (SEAL)
------------------------------
                                            By
Borrower Name     N/A                         ----------------------------------
              -------------
                                            Name and Title
                                                          ----------------------

                                            U.S. BANK N.A.                (Bank)
                                            ------------------------------

                                            By
                                              ----------------------------------

                                            Name and Title  ROSS BEATON,
                                                            VICE PRESIDENT
                                                           ---------------------

                                  Page 6 of 7
<PAGE>

Borrower Address: 5445 NE DAWSON CREEK DRIVE, HILLSBORO, OR  97124
                 ---------------------------------------------------------------

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

Borrower Telephone No.:
                       ---------------------------------------------------------

                                  Page 7 of 7
<PAGE>

                     ADDENDUM TO REVOLVING CREDIT AGREEMENT

This Addendum is made part of the Revolving Credit Agreement (the "AGREEMENT")
made and entered into by and between the undersigned borrower (the "BORROWER")
and the undersigned bank (the "BANK") as of the date identified below. The
warranties, covenants and other terms described below are hereby added to the
Agreement.

1.5 Loan Facility Fee. The Borrower will pay a loan facility fee equal to:

        Initial Drawdown fee of 1/4 of 1%. Once drawn, a fee of 10 basis points
on the unused portion of the line due quarterly in arrears.

Dated as of: March 19, 2002
             -----------------

(Individual Borrower)                       RADISYS CORPORATION
                                            ------------------------------------
                                            Borrower Name (Organization)

                              (SEAL)        a OREGON Corporation
------------------------------              ------------------------------------

                                            By /s/ BRIAN BRONSON
                                              ----------------------------------
Borrower Name N/A

                                            Name and Title Brian Bronson,
                                            Treasurer and Corporate Controller
                                            ------------------------------------

                              (SEAL)        By
------------------------------                ----------------------------------

Borrower Name N/A                           Name and Title
------------------------------                            ----------------------

                                            U.S BANK N.A.                 (Bank)
                                            ------------------------------------

                                            By
                                              ----------------------------------
                                            Name and Title ROSS BEATON,
                                            VICE PRESIDENT
                                            ------------------------------------

                                     Page 1
<PAGE>

                              REVOLVING CREDIT NOTE

$10,000,000.00                                                    March 19, 2002

        FOR VALUE RECEIVED, the undersigned borrower (the "BORROWER"), promises
to pay to the order of U.S. BANK N.A. (the "BANK"), the principal sum of TEN
MILLION AND NO/100 Dollars ($10,000,000.00), payable MARCH 31, 2003.

Interest.

The unpaid principal balance will bear interest at an annual rate described in
the Interest Rate Rider attached to this Note.

Payment Schedule.

Interest is payable beginning APRIL 1, 2002, and on the same date of each THIRD
month thereafter (except that if a given month does not have such a date, the
last day of such month), plus a final interest payment with the final payment of
principal.

Interest will be computed for the actual number of days principal is unpaid,
using a daily factor obtained by dividing the stated interest rate by 360.

Principal amounts remaining unpaid after the maturity thereof, whether at fixed
maturity or by reason of acceleration of maturity, shall bear interest from and
after maturity until paid at a rate of 5% per annum plus the rate otherwise
payable hereunder.

In no event will the interest rate hereunder exceed that permitted by applicable
law. If any interest or other charge is finally determined by a court of
competent jurisdiction to exceed the maximum amount permitted by law, the
interest or charge shall be reduced to the maximum permitted by law, and the
Bank may credit any excess amount previously collected against the balance due
or refund the amount to the Borrower.

Subject to applicable law, if any payment is not made on or before its due date,
the Bank may collect a delinquency charge of 5.00% of the unpaid amount.
Collection of the late payment fee shall not be deemed to be a waiver of the
Bank's right to declare a default hereunder.

Without affecting the liability of any Borrower, endorser, surety or guarantor,
the Bank may, without notice, renew or extend the time for payment, accept
partial payments, release or impair any collateral security for the payment of
this Note, or agree not to sue any party liable on it.

This Revolving Credit Note constitutes the Note issued under a Revolving Credit
Agreement dated as of the date hereof between the Borrower and the Bank, to
which Agreement reference is hereby made for a statement of the terms and
conditions under which loans evidenced hereby were or may be made and a
description of the terms and conditions upon which the maturity of this Note may
be accelerated, and for a description of the collateral securing this Note.

<PAGE>

                        ADDENDUM TO REVOLVING CREDIT NOTE

This Addendum is made part of the Revolving Credit Note made and entered into by
and between the undersigned borrower (the "Borrower") and the undersigned bank
(the "Bank") as of the date identified below. The warranties, covenants and
other terms described below are hereby added to the Note.

This Note is issued (i) in substitution for and replacement of, but not in
payment of, Borrower's promissory note dated NOVEMBER 3, 2000, payable to the
order of Bank in the face principal amount of $20,000,000.00, as amended,
supplemented, extended or otherwise modified from time to time prior to the date
hereof (the "Replaced Note"), and (ii) to evidence a decrease of $10,000,000.00
in the maximum principal amount that may be outstanding hereunder from time to
time, subject to the terms and conditions of the Revolving Credit Agreement. All
interest accrued but unpaid on the Replaced Note shall be due and payable in
full on the first interest payment date under this Note. All mortgages, deeds of
trust, security agreements, pledge agreements, assignments and other security
documents and instruments securing the Replaced Note or the indebtedness
evidenced thereby continue in full force and effect to secure this Note and all
indebtedness evidenced hereby, except to the extent that any such document or
instrument may have been wholly or partially released in a writing signed by
Bank.

Dated as of:  March 19, 2002

                                            RADISYS CORPORATION
                                            ------------------------------------
(Individual Borrower)                       Borrower Name (Organization)

                                            a OREGON Corporation
------------------------------              ------------------------------------

Borrower Name      N/A                      By: /s/ BRIAN BRONSON
             -----------------                 ---------------------------------

                                            Name and Title: Brian Bronson,
                                            Treasurer and Corporate Controller

Borrower Name     N/A
             -----------------

U.S. BANK N.A. (Bank)

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

Name and Title:  Ross Beaton, Vice President
               -------------------------------

<PAGE>

                               INTEREST RATE RIDER

        This Rider is made part of the Revolving Credit Note (the "NOTE") in the
original amount of $10,000,000.00 by the undersigned borrower (the "BORROWER")
in favor of U.S. BANK N.A. (the "BANK") as of the date identified below. The
following interest rate description is hereby added to the Note:

        Interest Rate Options. Interest on each advance hereunder shall accrue
at one of the following per annum rates selected by Borrower ("n/a" indicates
rate option is not available, but Prime Rate Loan option must always be
selected) (i) upon notice to the Bank, 0.000% plus the prime rate announced by
the Bank from time to time, as and when such rate changes (a "Prime Rate Loan");
(ii) upon a minimum of two New York banking days prior notice, 1.000% plus the
1, 2, 3, 6, or 12 month LIBOR rate quoted by the Bank from Telerate Page 3750 or
any successor thereto (which shall be the LIBOR rate in effect two New York
banking days prior to commencement of the LIBOR loan advance) (a "LIBOR Rate
Loan"); or (iii) upon notice to the Bank, n/a% plus the rate, determined solely
by the Bank, at which the Bank would be able to borrow funds of comparable
amounts in the Money Markets for a 1, 3, 6, or 12 month period, including FDIC
insurance, reserve requirements and other explicit or implicit costs levied by
any regulatory agency (a "Money Market Rate Loan"). The term "Money Markets"
refers to one or more wholesale funding markets available to the Bank, including
negotiable certificates of deposit, commercial paper, eurodollar deposits, bank
notes, federal funds and others. If a LIBOR Rate Loan or Money Market Rate Loan
is prepaid, whether by the Borrower, as a result of acceleration upon default or
otherwise, the Borrower agrees to pay all of the Bank's costs, expenses and
Interest Differential (as determined by the Bank) incurred as a result of such
prepayment. The term "Interest Differential" shall mean that sum equal to the
greater of 0 or the financial loss incurred by the Bank resulting from
prepayment, calculated as the difference between the amount of interest the Bank
would have earned (from like investments in the Money Markets as of the first
day of the LIBOR or Money Market Rate Loan) had prepayment not occurred and the
interest the Bank will actually earn (from like investments in the Money Markets
as of the date of prepayment) as a result of the redeployment of funds from the
prepayment. Because of the short-term nature of this facility, the Borrower
agrees that the Interest Differential shall not be discounted to its present
value. Any prepayment of a LIBOR Rate Loan or Money Market Rate Loan shall be in
an amount equal to the remaining entire principal balance of such loan. In the
event the Borrower does not timely select another interest rate option at least
two banking days before a LIBOR Rate Loan or Money Market Rate Loan expires, the
Bank may at any time thereafter convert the LIBOR Rate Loan or Money Market Rate
Loan to a Prime Rate Loan, but until such conversion, the funds advanced under
the expired LIBOR Rate Loan or Money Market Rate Loan shall continue to accrue
interest at the same rate as the interest rate under such expired LIBOR Rate
Loan or Money Market Rate Loan, as applicable. The Bank's internal records of
applicable interest rates shall be determinative in the absence of manifest
error. Each LIBOR or Money Market rate option selected shall apply to a minimum
principal amount of $100,000. For determining payment dates for LIBOR Rate
Loans, the New York banking day shall be the standard convention. In the event
after the date of initial funding any governmental authority subjects Bank to
any new or additional charge, fee, withholding or tax of any kind with respect
to any loans hereunder or changes the method of taxation of such loans or
changes the reserve or deposit requirements applicable to such loans, the
Borrower shall pay to the Bank such additional amounts as will compensate the
Bank for such costs or lost income resulting therefrom as reasonably determined
by the Bank.

Dated as of:   MARCH 19, 2002.
             -----------------

(Individual Borrower)                                 RADISYS CORPORATION
                                            ------------------------------------
                                            Borrower Name (Organization)

                              (SEAL)        a OREGON Corporation
------------------------------              ------------------------------------

                                            By /s/ BRIAN BRONSON
                                              ----------------------------------
Borrower Name       N/A
              ----------------
                                            Name and Title   BRIAN BRONSON
                                                             TREASURER &
                                                             Corp Controller
                              (SEAL)                       ---------------------
------------------------------
                                            By
                                              ----------------------------------

Borrower Name      N/A                      Name and Title
              ----------------                            ----------------------

<PAGE>

                           COLLATERAL PLEDGE AGREEMENT

        This Collateral Pledge Agreement (the "AGREEMENT") is made and entered
into by the undersigned borrower, guarantor and/or other obligor/pledgor (the
"DEBTOR") in favor of U.S. BANK N.A. (the "BANK") as of the date set forth on
the last page of this Agreement.

          ARTICLE I - COLLATERAL PLEDGE; SECURITY INTEREST; DEFINITIONS

        1.1 GRANT OF SECURITY INTEREST/COLLATERAL PLEDGE. In consideration of
any financial accommodation at any time granted by Bank to Debtor and/or RADISYS
CORPORATION (the "BORROWER") and to secure the Obligations (as defined below) to
Bank, Debtor hereby grants to Bank a security interest in and collaterally
assigns to Bank the Collateral (defined below). The intent of the parties hereto
is that the Collateral secures all Obligations of Debtor and Borrower to Bank,
whether or not such Obligations exist under this Agreement or any other
agreements between Debtor and Bank (or Borrower and Bank), whether now or
hereafter existing, including, without limitation, any note, any loan or
security agreement, any lease, any mortgage, any deed of trust, any pledge of an
interest in real or personal property, any guaranty, any letter of credit or
banker's acceptance, and any other agreement for services, financial
accommodations or credit extended by Bank to Debtor and/or Borrower even though
not specifically enumerated herein (together and individually, the "LOAN
DOCUMENTS").

        1.2 "COLLATERAL" means all of the following property whether now owned
or existing or hereafter acquired by Debtor (or by Debtor with spouse):
investment property (including any securities entitlements and/or securities
accounts held by Debtor); securities; certificates of deposit; instruments;
notes; deposit accounts; monies; any other property in the possession of Bank or
under the control of Bank (including any property held by a securities
intermediary; or held by third parties as possessory agent for Bank) now or
hereafter; letter of credit rights; all general intangibles related thereto; all
renewals thereof, substitutions therefor; and all proceeds and supporting
obligations thereof (such as stock splits, interest, dividends, profits and
monies).

|_| If box is checked, a further description of the Collateral continues on
EXHIBIT A hereto.

        1.3 "OBLIGATIONS" means all Debtor's and Borrower's debts (except for
consumer credit if Debtor or Borrower is a natural person), liabilities,
obligations, covenants, warranties and duties to Bank (plus its affiliates
including any credit card debt, but specifically excluding any type of consumer
credit), whether now or hereafter existing or incurred, whether liquidated or
unliquidated, whether absolute or contingent, whether arising out of the Loan
Documents or otherwise, and all other debts and obligations due Bank under any
lease, agricultural, real estate or other financing transaction and regardless
of whether such financing is related in time or type to the financing provided
at the time of grant of this security interest, and regardless of whether such
Obligations arise out of existing or future credit granted by Bank to any
Debtor, to any Borrower, to any Debtor or any Borrower and others, to others
guaranteed, endorsed or otherwise secured by any Debtor or any Borrower, or to
any debtor-in-possession or other successor-in-interest of any Debtor or any
Borrower and includes principal, interest, fees, expenses and charges relating
to any of the foregoing.

        1.4 OTHER DEFINITIONS. Unless otherwise defined, the terms set forth in
this Agreement shall have the meanings set forth in the Uniform Commercial Code
as adopted in the Loan Documents and as amended from time to time. The defined
terms hereunder shall be interpreted in a manner most favorable to Bank.

                      ARTICLE II - WARRANTIES AND COVENANTS

        In addition to all other warranties, representations and covenants in
the Loan Documents which are expressly incorporated herein (except those dealing
solely with Borrower described in the Loan Documents, if Debtor and Borrower are
different entities) as part of this Agreement and while any part of the credit
granted Debtor or Borrower under the Loan Documents is available or any
Obligations of Debtor or Borrower to Bank are unpaid or outstanding, Debtor
continuously warrants and agrees as follows:

        2.1 DEBTOR'S NAME, LOCATION; NOTICE OF LOCATION CHANGES. Except as
indicated in the Article 9 Certificate executed by Debtor and made a part
hereof, Debtor's name and organizational structure has remained the same during
the past five (5) years. Debtor will continue to use only the name set forth
with Debtor's signature unless Debtor gives Bank prior written notice of any
change. Furthermore, Debtor shall not do business under another name nor use any
trade name without giving ten (10) days prior written notice to Bank. Debtor
will not change its status or organizational structure without the prior written
consent of Bank. Debtor will not change its location or registration (if Debtor
is a

                                  Page 1 of 7
<PAGE>

registered organization) to another state without prior written notice to Bank.
The address appearing in the Article 9 Certificate is Debtor's chief executive
office (or residence if Debtor is a sole proprietor).

        2.2 ACCURACY OF INFORMATION/VERIFICATION. All information, certificates
and statements given to Bank pursuant to this Agreement will be accurate and
complete when given. Also, Bank may verify Collateral in any manner and Debtor
shall assist Bank in so doing.

        2.3 ORGANIZATION AND AUTHORITY. The execution, delivery and performance
of this Agreement and the other Loan Documents to which Debtor is a party: (i)
are within Debtor's power; (ii) have been duly authorized by proper corporate,
partnership or limited liability company action (if applicable); (iii) do not
require the approval of any governmental agency, other entity or person; and
(iv) will not violate any law, agreement or restriction by which Debtor is
bound. This Agreement is the legal, valid and binding obligation of Debtor, and
is enforceable against Debtor in accordance with its terms.

        2.4 WARRANTY OF TITLE/STATUS OF COLLATERAL. The Collateral is genuine
and Debtor has good title to the Collateral. The Collateral which evidences or
constitutes third-party payment obligations to Debtor is fully enforceable in
accordance with its terms, and not subject to dispute, setoff, adverse claims,
defense, or adjustment by such third party (including any securities
intermediary or issuer) except as permitted in writing by Bank. Debtor will
promptly provide Bank with written notice of anything that would impair the
ability of any third-party obligor as to the Collateral from making payment to
Debtor when due. The Collateral is not subject to any restrictions on transfer
and/or disposition by Debtor or Bank. Debtor acknowledges that the Collateral
constitutes "cash collateral" for purposes of 11 U.S.C. Section 363.

        2.5 OWNERSHIP; MAINTENANCE OF COLLATERAL; RESTRICTION ON LIENS AND
DISPOSITIONS. Debtor is the sole owner of the Collateral free of all liens,
claims, other encumbrances and security interests except as permitted in writing
by Bank. Debtor will: (i) maintain the Collateral, and not permit its value to
be impaired; (ii) not permit waste, removal or loss of identity of the
Collateral; (iii) keep the Collateral free from all liens, adverse claims,
executions, attachments, claims, encumbrances and security interests (other than
Bank's sole and paramount security interest and those interests permitted in
writing by Bank); (iv) defend the Collateral against all claims and legal
proceedings by persons other than Bank; (v) pay and discharge when due all
taxes, levies and other charges or fees which may be assessed against the
Collateral (except for payment of taxes contested by Debtor in good faith by
appropriate proceedings so long as no levy or lien has been imposed upon the
Collateral); (vi) not sell or transfer the Collateral to any party; (vii) not
permit the Collateral to be used or owned in violation of any applicable law,
regulation or policy of insurance; (viii) preserve Bank's rights and security
interest in the Collateral against all other parties; and (ix) not make any
instructions or entitlement orders which are contrary to the terms of this
Agreement. Debtor will promptly deliver to Bank a copy of any notices,
statements or communications received by Debtor regarding the Collateral.

        2.6 MAINTENANCE OF SECURITY INTEREST. Debtor will take any action
requested by Bank to preserve the Collateral and to perfect, establish the
priority of, continue perfection and enforce Bank's interest in the Collateral
and Bank's rights under this Agreement (including the delivery of any stock or
bond powers and endorsements deemed necessary by Bank); and Debtor will pay all
costs and expenses related thereto. Debtor shall also cooperate with Bank in
obtaining control (for purposes of perfection under the Uniform Commercial Code)
of Collateral consisting of deposit accounts, investment property, letter of
credit rights, electronic chattel paper and any other collateral where Bank may
obtain perfection through control. Debtor hereby authorizes Bank to take any and
all actions described above and in place of Debtor with respect to the
Collateral and hereby ratifies any such actions Bank has taken prior to the date
of this Agreement and hereafter, which actions may include, without limitation,
filing UCC financing statements and obtaining or attempting to obtain control
agreements from holders of the Collateral.

        2.7 INSURANCE. Debtor will be responsible for maintaining insurance on
the Collateral covering such risks and with such insurers as is usual and
customary; and Bank will not be responsible for insuring the Collateral.

        2.8 DELIVERY OF COLLATERAL; PROCEEDS

                (a) Except as permitted in writing by Bank, all proceeds of,
        substitutions for and distributions regarding the Collateral received by
        Debtor will be held by Debtor in express trust for Bank, will not be
        commingled with any other funds or property of Debtor, and will be
        turned over to Bank in precisely the form received (but endorsed by
        Debtor, if necessary) not later than the business day following the day
        of their receipt by Debtor; and all proceeds of, substitutions for and
        distributions relating to the Collateral will be held by Bank as
        Collateral hereunder.

                (b) Notwithstanding the provisions of 2.8(a) above and absent a
        default hereunder, Debtor may retain all regularly scheduled and/or
        announced cash dividends or distributions paid to Debtor regarding the
        Collateral.

                                  Page 2 of 7
<PAGE>

                (c) Debtor will immediately deliver in trust to Bank all
        original security certificates, safekeeping receipts and all other
        evidence of ownership and/or title to the Collateral ("Certificates").
        Furthermore, Debtor agrees to direct, in writing, that all banks and
        entities holding or controlling any Certificates promptly and directly
        transmit all such Certificates to Bank.

        2.9 POSSESSORY AGENCY AGREEMENTS; CONTROL AGREEMENTS; COLLATERAL IN
"STREET NAME". Upon the request of Bank, Debtor will promptly obtain from any
entity holding or controlling any Collateral or Certificates such documents as
Bank deems necessary to evidence its security interest in and exclusive
possession of such Collateral and Certificates, including, without limitation,
an exclusive possessory agency agreement or control agreement satisfactory to
Bank; or as to any securities account(s) or security entitlement(s), nominate
Bank as sole entitlement holder with respect thereto. Debtor agrees that Bank
has control over all investment property pledged by Debtor and directs any
securities intermediary (including Bank) and/or issuer to comply with any
instructions or entitlement orders of Bank as to the Collateral without further
consent of Debtor. In the event Bank also acts in the capacity of a securities
intermediary with respect to the Collateral, this Agreement shall give Bank
"control" of the Collateral, as that term is defined in the Uniform Commercial
Code. If any Collateral is not registered in Debtor's legal name, Debtor will
furnish Bank with satisfactory written proof of Debtor's bona fide ownership of
same. Upon request of Bank, Debtor will have any Collateral registered in
Debtor's legal name at Debtor's expense.

        2.10 BOOK-ENTRY GOVERNMENT SECURITIES; U.S. SAVINGS BONDS. As to any
item of Collateral constituting a book-entry U.S. Government security held under
the "treasury direct" system or any U.S. savings bond, such items of Collateral
will not be deemed acceptable Collateral.

        2.11 TAX FORMS. If requested by Bank, Debtor will complete and deliver
to Bank IRS Form W-9 (Payer's Request for Taxpayer Identification Number), or
any successor form thereto, for each item of Collateral pledged to Bank and any
other information tax filings required by federal and state taxing authorities
with regard to the Collateral.

        2.12 MINIMUM COLLATERAL COVERAGE; ACCEPTABLE COLLATERAL. At all times,
Debtor will maintain with Bank acceptable Collateral having a market value (as
determined by Bank) equal to 125% of the then outstanding principal amount of
the Obligations (the "MINIMUM COLLATERAL COVERAGE"). In the event Debtor fails
to maintain the Minimum Collateral Coverage, Debtor will deliver to Bank
additional acceptable Collateral necessary to restore the Minimum Collateral
Coverage upon five (5) business days prior written notice from Bank, or Bank may
declare Debtor in default hereunder.

        2.13 REGULATION U FORMS. If any Collateral is "margin stock" under
Regulation U of the Federal Reserve Board, Debtor will deliver to Bank a
completed Form U-I satisfactory to Bank upon request.

        2.14 HOLDING PERIODS. If any of the Collateral constituting a "security"
under any federal securities laws ("SECURITIES COLLATERAL") does not qualify
under SEC Rule 144[k] as being held for two (2) years in the hands of Bank at
any time, such Securities Collateral will not be deemed to qualify as acceptable
Collateral hereunder unless agreed to in writing by Bank (and Bank may require
Debtor to provide Bank with Securities Collateral which will meet such
qualifications under SEC Rule 144[k]). Debtor will promptly furnish to Bank such
information as Bank deems necessary to comply with federal and/or state
securities laws (including, without limitation, an opinion of counsel as to the
status of the Collateral under federal and state securities laws); all in form
satisfactory to Bank and at Debtor's expense.

                     ARTICLE III - RIGHTS AND DUTIES OF BANK

            In addition to all other rights (including setoff) of Bank under the
Loan Documents which are expressly incorporated herein as a part of this
Agreement, the following provisions will also apply:

        3.1 AUTHORITY TO PERFORM FOR DEBTOR/ENTITLEMENT HOLDER. To facilitate
Bank's ability to preserve and dispose of the Collateral, Debtor unconditionally
appoints any officer of Bank as Debtor's attorney-in-fact (coupled with an
interest and irrevocable while any Obligations remain unpaid) to do any of the
following upon default by Debtor hereunder (notwithstanding any notice
requirements or grace/cure periods under this or any other agreements between
Debtor and Bank): to file, endorse the name of Debtor on any Collateral,
financing statements, checks, drafts, money orders and insurance claims or
payments, and any documents needed to perfect, protect and/or realize upon
Bank's interest in the Collateral; to nominate itself as entitlement holder as
to any or all of the Collateral; and to do all such other acts and things
necessary to carry out Debtor's obligations under this Agreement and the other
Loan Documents. All acts taken by Bank pursuant to the above-described authority
are hereby ratified and approved, and Bank will not be liable to debtor for any
acts of commission or omission, nor for any errors of judgment or mistakes in
undertaking such actions except for Bank's willful misconduct. For good and
valuable consideration, Debtor agrees not to assert any claims against any
third-party

                                  Page 3 of 7
<PAGE>

(including any issuer or any securities intermediary) holding Collateral for
complying with Bank's requests hereunder, and Debtor waives any claims against
such third parties for actions taken at the request of Bank.

        3.2 COLLATERAL PRESERVATION. Bank will use all reasonable care as to any
Collateral in its physical possession but in determining such standard of
reasonable care, Debtor expressly acknowledges that Bank has no duty to: (i)
insure the Collateral against hazards; (ii) protect the Collateral from seizure,
levy, lien, claim or conversion by third parties, or acts of God; (iii) give to
Debtor any notices, account statements, proxies or communications received by
Bank regarding the Collateral; (iv) perfect or continue perfection of any
security interest in the Collateral in favor of Debtor; (v) inform Debtor of any
decline in the value of the Collateral or the existence of any option or
elections with respect to the Collateral; (vi) take any action to invest or
manage the Collateral; (vii) exercise, preserve or notify Debtor with respect to
any exchanges, puts, calls, redemptions, conversions, maturities, offers,
tenders and other rights or requirements regarding the Collateral or Debtor's
interest therein; or (viii) sue or otherwise take action to preserve Debtor's or
Bank's interest in the Collateral. Notwithstanding any failure by Bank to use
reasonable care in preserving the Collateral, Debtor agrees that Bank will not
be liable to Debtor for consequential or special damages arising from such
failure. The foregoing also apply if Bank is deemed entitlement holder as to any
Collateral.

        3.3 SETOFF. As additional security for the payment of the Obligations,
Debtor hereby grants to Bank a security interest in, a lien on and an express
contractual right to set off against all depository account balances, cash and
any other property of Debtor now or hereafter in the possession of Bank and the
right to refuse to allow withdrawals from any account (collectively "SETOFF").
Bank may, at any time upon the occurrence of a default hereunder
(notwithstanding any notice requirements or grace/cure periods under this or
other agreements between Debtor or Borrower and Bank), Setoff against the
Obligations WHETHER OR NOT THE OBLIGATIONS (INCLUDING FUTURE INSTALLMENTS) ARE
THEN DUE OR HAVE BEEN ACCELERATED, ALL WITHOUT ANY ADVANCE OR CONTEMPORANEOUS
NOTICE OR DEMAND OF ANY KIND TO DEBTOR, SUCH NOTICE AND DEMAND BEING EXPRESSLY
WAIVED.

                       ARTICLE IV - DEFAULTS AND REMEDIES

        4.1 DEFAULTS. NOTWITHSTANDING ANY CURE PERIODS DESCRIBED BELOW, DEBTOR
WILL IMMEDIATELY NOTIFY BANK IN WRITING WHEN DEBTOR OBTAINS KNOWLEDGE OF THE
OCCURRENCE OF ANY DEFAULT SPECIFIED IN THIS AGREEMENT OR ANY OF THE OTHER LOAN
DOCUMENTS. A default shall occur hereunder if Debtor and/or Borrower fails to
comply with the terms of any Loan Documents (including this Agreement or any
guaranty by Debtor), a demand for payment is made under a demand loan, or any
other obligor fails to comply with the terms of any Loan Documents for which
Debtor has given Bank a guaranty or pledge.

        4.2 TERMINATION OF LOANS; ADDITIONAL BANK RIGHTS. Upon the occurrence of
any of the events identified in Section 4.1, Bank may at any time
(notwithstanding any notice requirements or grace/cure periods under this or
other agreements between Debtor or Borrower and Bank): (i) immediately terminate
its obligation, if any, to make additional loans to Debtor and/or Borrower; (ii)
Setoff; and/or (iii) take such other steps to protect or preserve Bank's
interest in the Collateral; all without demand or further notice of any kind,
all of which are hereby waived. In addition to Bank's other rights, Debtor
irrevocably appoints Bank as attorney-in-fact, with full power of substitution
and revocation, to exercise Debtor's rights to take any action respecting the
Collateral or with regard to any issuer or transfer agent of the Collateral
thereof as fully as Debtor might do. This proxy remains effective so long as any
of the Obligations are unpaid.

        4.3 ACCELERATION OF OBLIGATIONS. Upon the occurrence of an event of
default as provided in Section 4.1 above and the passage of any applicable cure
periods, Bank may at any time thereafter, by written notice to Debtor, declare
the unpaid principal balance of any Obligations, together with the interest
accrued thereon and other amounts accrued hereunder and under the other Loan
Documents, to be immediately due and payable; and the unpaid balance will
thereupon be due and payable, all without presentation, demand, protest or
further notice of any kind, all of which are hereby waived, and notwithstanding
anything to the contrary contained herein or in any of the other Loan Documents.
Notwithstanding the above, to the extent any of the Obligations referred to
herein are payable upon demand, nothing herein will restrict nor negate the
demand nature of such Obligations. NOTHING CONTAINED IN ARTICLE IV WILL LIMIT
BANK'S RIGHT TO SETOFF AS PROVIDED IN SECTIONS 3.3 AND 4.2.

        4.4 REMEDIES. After maturity of any of the Obligations, or a default
hereunder or under any of the other Loan Documents, and without notice or demand
of any kind, Bank may: (i) transfer any of the Collateral into its name or that
of its nominee, or deem itself to be entitlement holder as to any Collateral
without notice to or consent of Debtor; (ii) in Debtor's name or otherwise
dispose of and/or collect any Collateral by suit or otherwise; or surrender or
exchange all or any part of the Collateral; or compromise, extend, renew or
modify any obligation evidenced by the Collateral; (iii) exercise all of
Debtor's rights as an entitlement holder and/or owner of the Collateral; (iv)
dispose of the Collateral as provided for herein and at law; and (v) notify any
issuer, transfer agent or securities intermediary, or holder of any Collateral
or Certificates of this pledge of the Collateral, and direct such issuer,
transfer agent or securities intermediary to comply with

                                  Page 4 of 7
<PAGE>

all instructions and entitlement orders originated by Bank without further
consent of Debtor, and/or deliver directly in trust to Bank any Collateral,
Certificates and subsequent shares of stock, dividend payments or other
distributions pertaining to the Collateral or arising from Debtor's ownership of
the Collateral; and in each case Debtor hereby unconditionally directs such
parties to comply with Bank's requests in all respects.

        4.5 CUMULATIVE REMEDIES; NOTICE; WAIVER. In addition to the remedies set
forth herein, Bank will have all other rights and remedies for default provided
by the Uniform Commercial Code, as well as any other applicable law, INCLUDING,
WITHOUT LIMITATION, THE RIGHT TO REPOSSESS AND DISPOSE OF THE COLLATERAL WITHOUT
JUDICIAL PROCESS. The rights and remedies specified herein are cumulative and
are not exclusive of any rights or remedies which Bank would otherwise have.
With respect to such rights and remedies:

                (a) NOTICE OF DISPOSITION. Written notice, when required by law,
        sent to any address of Debtor in this Agreement or otherwise provided to
        Bank, at least five (5) calendar days (counting the day of sending)
        before the date of a proposed disposition of the Collateral will be
        deemed reasonable notice but less notice may be reasonable under the
        circumstances;

                (b) POSSESSION OF COLLATERAL/COMMERCIAL REASONABLENESS. Bank
        shall not, at any time, be obligated to either take or retain possession
        or control of the Collateral. With respect to Collateral in the
        possession or control of Bank, Debtor and Bank agree that as a standard
        for determining commercial reasonableness, (and in addition to the
        provisions of Section 3.2 above) Bank need not liquidate, collect, sell
        or otherwise dispose of any of the Collateral if Bank believes, in good
        faith, that disposition of the Collateral would not be commercially
        reasonable, would subject Bank to third-party claims or liability, would
        cause Bank to violate federal or state securities laws, that other
        potential purchasers could be attracted or that a better price could be
        obtained if Bank held the Collateral for up to 2 years. Bank may sell
        Collateral without giving any warranties and may specifically disclaim
        any warranties of title or the like. Furthermore, Bank may sell the
        Collateral on credit (and reduce the Obligations only when payment is
        received from the buyer), at wholesale and/or with or without an agent
        or broker; Bank need not register any securities collateral under state
        or federal law; and Bank need not complete, process, or otherwise
        prepare the Collateral prior to disposition. If the purchaser fails to
        pay for the Collateral, Bank may resell the Collateral and Debtor shall
        be credited with the cash proceeds of the sale. Bank may comply with any
        applicable state or federal law requirements in connection with a
        disposition of the Collateral and compliance will not be considered to
        adversely affect the commercial reasonableness of any sale of the
        Collateral.

                (c) WAIVER BY DEBTOR. Bank has no obligation and Debtor waives
        any obligation to attempt to satisfy the Obligations by collecting the
        obligations from any third parties and Bank may release, modify or waive
        any collateral provided by any third party to secure any of the
        Obligations, all without affecting Bank's rights against Debtor. Debtor
        further waives any obligation on the part of Bank to marshal any assets
        in favor of Debtor or in payment of the Obligations. Notwithstanding any
        provisions in this Agreement or any other agreement between Debtor and
        Bank, Debtor does not waive any statutory rights except to the extent
        that the waiver thereof is permitted by law.

                (d) WAIVER BY BANK. Bank may permit Debtor to attempt to remedy
        any default without waiving its rights and remedies hereunder, and Bank
        may waive any default without waiving any other subsequent or prior
        default by Debtor. Furthermore, delay on the part of Bank in exercising
        any right, power or privilege hereunder or at law will not operate as a
        waiver thereof, nor will any single or partial exercise of such right,
        power or privilege preclude other exercise thereof or the exercise of
        any other right, power or privilege. NO WAIVER OR SUSPENSION WILL BE
        DEEMED TO HAVE OCCURRED UNLESS BANK HAS EXPRESSLY AGREED IN WRITING TO
        SUCH WAIVER OR SUSPENSION.

                            ARTICLE V - MISCELLANEOUS

        5.1 RELATIONSHIP TO OTHER DOCUMENTS. The warranties, representations,
covenants and duties of Debtor (and the rights and remedies of Bank) that are
outlined in this Agreement and the other Loan Documents are intended to
supplement each other. In the event of any inconsistencies between the terms in
the Loan Documents and this Agreement, all such inconsistencies will be
construed so as to give Bank the most favorable rights. Furthermore, Debtor and
Bank waive any presumption or rule requiring construction of this Agreement
against the drafter.

        5.2 NOTICES. Notice of any record shall be deemed delivered when the
record has been (a) deposited in the United States Mail, postage pre-paid, (b)
received by overnight delivery service, (c) received by telex, (d) received by
telecopy, (e) received through the internet, or (f) when personally delivered.

        5.3 NATURE OF LIABILITY/SUCCESSORS. The rights, powers and remedies
granted in this Agreement to Bank will extend to Bank's successors, Participants
(as defined below) and assigns, and the provisions of this Agreement will be
binding upon Debtor and its successors and assigns. All Debtors are jointly and
severally liable under this Agreement.

                                  Page 5 of 7
<PAGE>

        5.4 EXPENSES AND ATTORNEYS' FEES. Debtor will reimburse Bank and any
participant in the Loan Documents (the "PARTICIPANT") for all fees and
out-of-pocket disbursements incurred by Bank and any Participant in connection
with: preparation of this Agreement; perfecting, establishing and confirming the
priority of Bank's security interest in the Collateral; any confirmations,
audits or appraisals of Debtor's business operations and the Collateral; the
amendment, administration, defense and enforcement of this Agreement or of any
of the other Loan Documents, and any waivers with respect thereto. Debtor also
will reimburse Bank and any Participant for all costs of collection, including
all attorneys' fees, before and after judgment, and all costs of preservation
and/or liquidation of the Collateral.

        5.5 APPLICABLE LAW AND JURISDICTION; INTERPRETATION AND MODIFICATION.
This Agreement and all other Loan Documents will be governed by and interpreted
in accordance with the laws of the State of OREGON. Invalidity of any provision
of this Agreement will not affect the validity of any other provision. The
provisions of this Agreement and the other Loan Documents will not be altered,
amended or waived without the express written consent of Bank (and Debtor, when
appropriate). DEBTOR HEREBY CONSENTS TO THE EXCLUSIVE JURISDICTION OF ANY STATE
OR FEDERAL COURT SITUATED IN THE COUNTY OR FEDERAL JURISDICTION OF BANK'S BRANCH
WHERE THE LOAN WAS ORIGINATED, AND WAIVES ANY OBJECTION BASED ON FORUM NON
CONVENIENS, WITH REGARD TO ANY ACTIONS, CLAIMS, DISPUTES OR PROCEEDINGS RELATING
TO THIS AGREEMENT, AND/OR INTERPRETATION OF ANY OF THE FOREGOING. Nothing herein
will affect Bank's rights to serve process in any manner permitted by law, or
limit Bank's right to bring proceedings against Debtor in the competent courts
of any other jurisdiction or jurisdictions. This Agreement and any amendments
hereto (regardless of when executed) will be deemed effective and accepted only
at Bank's main office, and only upon Bank's receipt of the executed originals
thereof.

        5.6 COPIES; ENTIRE AGREEMENT; MODIFICATION. Debtor hereby acknowledges
the receipt of a copy of this Agreement and the other Loan Documents.

IMPORTANT: READ BEFORE SIGNING. THE TERMS OF THIS AGREEMENT SHOULD BE READ
CAREFULLY BECAUSE ONLY THOSE TERMS IN WRITING, EXPRESSING CONSIDERATION AND
SIGNED BY THE PARTIES ARE ENFORCEABLE. NO OTHER TERMS OR ORAL PROMISES NOT
CONTAINED IN THIS WRITTEN CONTRACT MAY BE LEGALLY ENFORCED. DEBTOR AND BANK MAY
CHANGE THE TERMS OF THIS AGREEMENT ONLY BY ANOTHER WRITTEN AGREEMENT. THIS
NOTICE WILL ALSO BE EFFECTIVE WITH RESPECT TO ALL OTHER LOAN DOCUMENTS NOW IN
EFFECT BETWEEN DEBTOR AND/OR BORROWER AND BANK. A MODIFICATION OF ANY OTHER LOAN
DOCUMENTS NOW IN EFFECT BETWEEN DEBTOR AND/OR BORROWER AND BANK, WHICH OCCURS
AFTER RECEIPT BY DEBTOR OF THIS NOTICE, MAY BE MADE ONLY BY ANOTHER WRITTEN
INSTRUMENT. ORAL OR IMPLIED MODIFICATIONS TO SUCH LOAN DOCUMENTS ARE NOT
ENFORCEABLE AND SHOULD NOT BE RELIED UPON.

        5.7 WAIVER OF JURY TRIAL. DEBTOR AND BANK HEREBY JOINTLY AND SEVERALLY
WAIVE ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY ACTION OR PROCEEDING RELATING TO
ANY OF THE LOAN DOCUMENTS, THIS AGREEMENT, THE OBLIGATIONS THEREUNDER, THE
COLLATERAL OR ANY TRANSACTION ARISING THEREFROM OR CONNECTED THERETO. DEBTOR AND
BANK EACH REPRESENTS TO THE OTHER THAT THIS WAIVER IS KNOWINGLY, WILLINGLY AND
VOLUNTARILY GIVEN.

        5.8 ATTACHMENTS. ALL DOCUMENTS ATTACHED HERETO, INCLUDING ANY
APPENDICES, SCHEDULES, RIDERS, AND EXHIBITS TO THIS AGREEMENT, AREA HEREBY
EXPRESSLY INCORPORATED BY REFERENCE.

                           [SIGNATURE(S) ON NEXT PAGE]

                                  Page 6 of 7
<PAGE>

        IN WITNESS WHEREOF, the undersigned has/have executed this Collateral
Pledge Agreement as of MARCH 19, 2002 .

                                            RADISYS CORPORATION
                                            ------------------------------------
(INDIVIDUAL DEBTOR)                         Debtor Name (Organization)

                              (Seal)        a OREGON Corporation
------------------------------              ------------------------------------

Debtor Name N/A                             By /s/ BRIAN BRONSON
            ------------------                ----------------------------------

                                            Name and Title Brian Bronson,
                                            Treasurer and Corporate Controller

                              (Seal)
------------------------------
                                            By
                                              ----------------------------------
Debtor Name N/A
      ------------------------              Name and Title

                                  Page 7 of 7
<PAGE>

                                   ADDENDUM TO
                           COLLATERAL PLEDGE AGREEMENT

        This Addendum is made part of the Collateral Pledge Agreement (the
"Agreement") made and entered into by the undersigned in favor of the Bank. The
warranties, covenants and other terms described below are hereby added to the
Agreement.

        Section 1.2 "Collateral" of the Agreement is hereby amended in its
entirety to read as follows:

        1.2 "Collateral" means Account No. 19094580 in the name of Radisys
Corporation at U.S. Bancorp Investment, Inc., all securities, instruments,
financial assets, investment property, credit balances and other property now or
later contained in that account, all books and records relating to that account,
and all proceeds thereof.

Date:  [Insert Date of Pledge Agreement]

RADISYS CORPORATION

By: /s/ BRIAN BRONSON
   -------------------------------------

Its: Treasurer and Corporate Controller
    ------------------------------------

U.S. Bank N.A.

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

Its:
    ------------------------------------<PAGE>
Exhibit 10.1

                                                                  EXECUTION COPY
================================================================================

                              AMENDED AND RESTATED

                                     364-DAY

           COMPETITIVE ADVANCE AND REVOLVING CREDIT FACILITY AGREEMENT

                           Dated as of March 19, 2002

                                      among

                          AT&T WIRELESS SERVICES, INC.,

                            THE LENDERS PARTY HERETO,

                 JPMORGAN CHASE BANK and BANK OF AMERICA, N.A.,
                            as Administrative Agents,

                              JPMORGAN CHASE BANK,
                                as Paying Agent,

              CITIBANK, N.A. and MERRILL LYNCH CAPITAL CORPORATION,
                              as Syndication Agents

                                       and

            HSBC BANK USA and LEHMAN BROTHERS COMMERCIAL PAPER INC.,
                             as Documentation Agents

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

         J.P. MORGAN SECURITIES INC. and BANC OF AMERICA SECURITIES LLC,
                     as Joint Lead Arrangers and Bookrunners

================================================================================
                                                                [CS&M #6701-173]

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                          Page
                                                                                          ----
<S>             <C>                                                                       <C>
                                    ARTICLE I

                                   Definitions

SECTION 1.01.   Defined Terms................................................................1
SECTION 1.02.   Terms Generally.............................................................14

                                   ARTICLE II

                                   The Credits

SECTION 2.01.   Commitments.................................................................14
SECTION 2.02.   Loans.......................................................................15
SECTION 2.03.   Competitive Bid Procedure...................................................16
SECTION 2.04.   Standby Borrowing Procedure.................................................18
SECTION 2.05.   Conversion and Continuation of Standby Loans................................18
SECTION 2.06.   Fees........................................................................20
SECTION 2.07.   Extension of Maturity Date..................................................20
SECTION 2.08.   Repayment of Loans; Evidence of Debt........................................21
SECTION 2.09.   Interest on Loans...........................................................21
SECTION 2.10.   Default Interest............................................................22
SECTION 2.11.   Alternate Rate of Interest..................................................22
SECTION 2.12.   Termination and Reduction of Commitments....................................22
SECTION 2.13.   Prepayment..................................................................23
SECTION 2.14.   Reserve Requirements; Change in Circumstances...............................23
SECTION 2.15.   Change in Legality..........................................................25
SECTION 2.16.   Indemnity...................................................................26
SECTION 2.17.   Pro Rata Treatment..........................................................27
SECTION 2.18.   Sharing of Setoffs..........................................................27
SECTION 2.19.   Payments....................................................................28
SECTION 2.20.   Taxes.......................................................................28
SECTION 2.21.   Mandatory Assignment; Commitment Termination................................30
SECTION 2.22.   Change of Control...........................................................31

                                   ARTICLE III

                         Representations and Warranties

SECTION 3.01.   Organization; Powers........................................................32
</TABLE>

                                        i
<PAGE>

<TABLE>
<S>             <C>                                                                       <C>
SECTION 3.02.   Authorization...............................................................32
SECTION 3.03.   Enforceability..............................................................32
SECTION 3.04.   Governmental Approvals......................................................33
SECTION 3.05.   Financial Statements........................................................33
SECTION 3.06.   Litigation; Compliance with Laws............................................33
SECTION 3.07.   Federal Reserve Regulations.................................................34
SECTION 3.08.   Investment Company Act; Public Utility Holding Company Act..................34
SECTION 3.09.   Use of Proceeds.............................................................34
SECTION 3.10.   No Material Misstatements...................................................34
SECTION 3.11.   Tax Returns.................................................................34
SECTION 3.12.   ERISA.......................................................................34
SECTION 3.13.   Environmental Matters.......................................................34
SECTION 3.14.   Contribution................................................................35

                                   ARTICLE IV

                              Conditions of Lending

SECTION 4.01.   All Borrowings..............................................................35
SECTION 4.02.   Closing Date................................................................35

                                    ARTICLE V

                              Affirmative Covenants

SECTION 5.01.   Existence; Conduct of Business..............................................35
SECTION 5.02.   Financial Statements, Reports, etc..........................................36
SECTION 5.03.   Records; Inspection Rights..................................................36
SECTION 5.04.   Use of Proceeds.............................................................37
SECTION 5.05.   Notices of Material Events..................................................37
SECTION 5.06.   Payment of Obligations......................................................37
SECTION 5.07.   Maintenance of Properties; Insurance........................................37
SECTION 5.08.   Compliance with Laws........................................................37

                                   ARTICLE VI

                               Negative Covenants

SECTION 6.01.   Limitation on Liens.........................................................38
SECTION 6.02.   Limitations on Indebtedness.................................................39
SECTION 6.03.   Interest Coverage Test......................................................39
SECTION 6.04.   Payment of Dividends........................................................39
SECTION 6.05.   Consolidations, Mergers and Sales of Assets.................................39
</TABLE>

                                       ii
<PAGE>

<TABLE>
<S>             <C>                                                                       <C>
                                   ARTICLE VII

                                Events of Default

                                  ARTICLE VIII

                                   The Agents

                                   ARTICLE IX

                                  Miscellaneous

SECTION 9.01.   Notices.....................................................................44
SECTION 9.02.   Survival of Agreement.......................................................45
SECTION 9.03.   Binding Effect..............................................................45
SECTION 9.04.   Successors and Assigns......................................................45
SECTION 9.05.   Expenses; Indemnity.........................................................48
SECTION 9.06.   Applicable Law..............................................................49
SECTION 9.07.   Waivers; Amendment..........................................................49
SECTION 9.08.   Entire Agreement............................................................49
SECTION 9.09.   Severability................................................................50
SECTION 9.10.   Counterparts................................................................50
SECTION 9.11.   Headings....................................................................50
SECTION 9.12.   Jurisdiction, Etc...........................................................50
SECTION 9.13.   Waiver of Jury Trial........................................................50

Exhibits and Schedules

Exhibit A-1       Form of Competitive Bid Request
Exhibit A-2       Form of Notice of Competitive Bid Request
Exhibit A-3       Form of Competitive Bid
Exhibit A-4       Form of Competitive Bid Accept/Reject Letter
Exhibit A-5       Form of Standby Borrowing Request
Exhibit B         Administrative Questionnaire
Exhibit C         Form of Assignment and Acceptance
Exhibit D         Form of Opinion of Counsel for Borrower
Exhibit E         Form of Note

Schedule 2.01     Commitments
</TABLE>

                                      iii
<PAGE>

                                    AMENDED AND RESTATED 364-DAY COMPETITIVE
                             ADVANCE AND REVOLVING CREDIT FACILITY AGREEMENT
                             dated as of March 15, 2002, among AT&T WIRELESS
                             SERVICES, INC., a Delaware corporation (the
                             "Borrower"); the Lenders from time to time party
                             hereto; JPMORGAN CHASE ("JPMCB") and BANK OF
                             AMERICA, N.A., as administrative agents for the
                             Lenders (in such capacity, the "Administrative
                             Agents"); and JPMCB, as paying agent for the
                             Lenders (in such capacity, the "Paying Agent");

               On March 23, 2001, the Borrower, the Administrative Agents, the
Paying Agent and certain of the Lenders entered into a 364-Day Competitive
Advance and Revolving Credit Facility Agreement (the "Existing Credit
Agreement"). The parties hereto desire to amend the Existing Credit Agreement
and to restate it in its entirety giving effect to such amendment. Accordingly,
the parties hereto agree that the Existing Credit Agreement shall be amended and
restated to read in its entirety as set forth herein:

               The Borrower has requested the Lenders to extend credit to the
Borrower to enable it to borrow on a standby revolving credit basis at any time
and from time to time on and after the date hereof and prior to the Termination
Date (as herein defined) a principal amount not in excess of $1,250,000,000 at
any time outstanding. The Borrower has also requested the Lenders to establish
procedures pursuant to which the Borrower may invite the Lenders to bid on an
uncommitted basis on short-term borrowings by the Borrower maturing on or prior
to the Termination Date. The proceeds of borrowings hereunder are to be used for
working capital and other general corporate purposes, including capital and
other expenditures in connection with the build-out and operation of the
Borrower's wireless system and the provision of liquidity in connection with any
commercial paper program of the Borrower. The Lenders are willing to extend such
credit to the Borrower on the terms and subject to the conditions herein set
forth.

               Accordingly, the Borrower, the Lenders and the Agents agree as
follows:

                                   ARTICLE I

                                   Definitions

               SECTION 1.01. Defined Terms. As used in this Agreement, the
following terms shall have the meanings specified below:

               "ABR Borrowing" shall mean a Borrowing comprised of ABR Loans.

               "ABR Loan" shall mean any Standby Loan bearing interest at a rate
determined by reference to the Alternate Base Rate in accordance with the
provisions of Article II.

               "Administrative Agents" shall have the meaning specified in the
recital of parties to this Agreement.

<PAGE>
                                                                               2

               "Administrative Fees" shall have the meaning assigned to such
term in Section 2.06(c).

               "Administrative Questionnaire" shall mean an Administrative
Questionnaire in the form of Exhibit B hereto.

               "Affiliate" shall mean, when used with respect to a specified
person, another person that directly or indirectly controls or is controlled by
or is under common control with the person specified.

               "Agents" shall mean the Administrative Agents and the Paying
Agent.

               "Alternate Base Rate" shall mean, for any day, a rate per annum
(rounded upwards, if necessary, to the next 1/16 of 1%) equal to the greater of
(a) the Prime Rate in effect on such day and (b) the Federal Funds Effective
Rate in effect on such day plus 1/2 of 1%. If for any reason the Paying Agent
shall have determined (which determination shall be conclusive absent manifest
error) that it is unable to ascertain the Federal Funds Effective Rate for any
reason, including the inability of the Paying Agent to obtain sufficient
quotations in accordance with the terms thereof, the Alternate Base Rate shall
be determined without regard to clause (b) of the first sentence of this
definition until the circumstances giving rise to such inability no longer
exist. Any change in the Alternate Base Rate due to a change in the Prime Rate
or the Federal Funds Effective Rate shall be effective on the effective date of
such change in the Prime Rate or the Federal Funds Effective Rate, respectively.

               "Amendment and Restatement" shall mean the Amendment and
Restatement Agreement dated as of March 15, 2002, in respect of the Existing
Credit Agreement.

               "Applicable Rate" shall mean, for any day, with respect to any
Eurodollar Standby Loan, or with respect to the facility fees payable hereunder,
as the case may be, the applicable rate per annum set forth below under the
caption "Applicable Margin" or "Facility Fee Rate", as the case may be, based
upon the ratings of Moody's and S&P, respectively, applicable on such date to
the Index Debt:

<PAGE>
                                                                               3

<TABLE>
<CAPTION>
   INDEX DEBT RATINGS          APPLICABLE         FACILITY FEE
     (S&P/MOODY'S)               MARGIN               RATE
   ------------------          ----------         ------------
<S>                            <C>                <C>
       Category 1                0.345               0.080
    A-/A3 or higher

       Category 2                0.400               0.100
       BBB+/Baa1

       Category 3                0.625               0.125
        BBB/Baa2

       Category 4                0.825               0.175
       BBB-/Baa3

       Category 5                1.000               0.250
    lower than BBB-
   /Baa3 or unrated
</TABLE>

               For purposes of the foregoing, (a) if either S&P or Moody's shall
not have in effect a rating for the Index Debt (other than by reason of the
circumstances referred to in the last sentence of this definition), then such
rating agency shall be deemed to have established a rating in Category 5; (b) if
the ratings established or deemed to have been established by S&P and Moody's
for the Index Debt shall fall within different Categories, the Applicable Rate
shall be based on the higher of the two ratings unless (i) one of the two
ratings is two or more Categories lower than the other, in which case the
Applicable Rate shall be determined by reference to the Category next above that
of the lower of the two ratings or (ii) the Borrower's Short-Term Debt is rated
less than A2 or P2 or is unrated by either rating agency, in which case the
lower rating will apply, and (c) if the ratings established or deemed to have
been established by S&P or Moody's for the Index Debt shall be changed (other
than as a result of a change in the rating system of S&P or Moody's), such
change shall be effective as of the date on which it is first announced by the
applicable rating agency. Each change in the Applicable Rate shall apply during
the period commencing on the effective date of such change and ending on the
date immediately preceding the effective date of the next such change. If the
rating system of S&P or Moody's shall change, or if either such rating agency
shall cease to be in the business of rating corporate debt obligations, the
Borrower and the Lenders shall negotiate in good faith to amend this definition
to reflect such changed rating system or the unavailability of ratings from such
rating agency and, pending the effectiveness of any such amendment, the
Applicable Rate shall be determined by reference to the rating of such rating
agency most recently in effect prior to such change or cessation.

               "Assignment and Acceptance" shall mean an assignment and
acceptance entered into by a Lender and an assignee with the consent of the
Borrower, and accepted by the Paying Agent in accordance with Section 9.04(e),
in the form of Exhibit C hereto.

               "AT&T" shall mean AT&T Corp., a Delaware corporation.

<PAGE>
                                                                               4

               "AT&T Wireless Group" shall refer to such entity described in the
Form S-4.

               "AT&T Wireless Tracking Stock" shall refer to such stock
described in the Form S-4.

               "Board" shall mean the Board of Governors of the Federal Reserve
System of the United States.

               "Board of Directors" shall mean the Board of Directors of the
Borrower or any duly authorized committee thereof.

               "Borrowing" shall mean a group of Loans of a single Type made by
the Lenders (or, in the case of a Competitive Borrowing, by the Lender or
Lenders whose Competitive Bids have been accepted pursuant to Section 2.03) on a
single date and as to which a single Interest Period is in effect.

               "Business Day" shall mean any day (other than a day which is a
Saturday, Sunday or legal holiday in the State of New York) on which banks are
open for business in New York City; provided, however, that, when used in
connection with a Eurodollar Loan, the term "Business Day" shall also exclude
any day on which banks are not open for dealings in dollar deposits in the
London interbank market.

               "Capital Lease Obligations" of any Person shall mean the
obligations of such Person to pay rent or other amounts under any lease of (or
other arrangement conveying the right to use) real or personal property, or a
combination thereof, which obligations are required to be classified and
accounted for as capital leases on a balance sheet of such Person under GAAP,
and the amount of such obligations shall be the capitalized amount thereof
determined in accordance with GAAP.

               "Change of Control" shall have the meaning set forth in Section
2.22.

               "Closing Date" shall mean March 19, 2002.

               "Code" shall mean the Internal Revenue Code of 1986, as the same
may be amended from time to time.

               "Commitment" shall mean, with respect to each Lender, the
Commitment of such Lender as set forth in Schedule 2.01 hereto, as such
commitment may be (a) reduced from time to time pursuant to Section 2.12 and (b)
reduced or increased from time to time pursuant to assignments by or to such
Lender pursuant to Section 9.04.

               "Competitive Bid" shall mean an offer by a Lender to make a
Competitive Loan pursuant to Section 2.03.

               "Competitive Bid Accept/Reject Letter" shall mean a notification
made by the Borrower pursuant to Section 2.03(d) in the form of Exhibit A-4.

<PAGE>
                                                                               5

               "Competitive Bid Rate" shall mean, as to any Competitive Bid made
by a Lender pursuant to Section 2.03(b), (i) in the case of a Eurodollar Loan,
the Margin, and (ii) in the case of a Fixed Rate Loan, the fixed rate of
interest offered by the Lender making such Competitive Bid.

               "Competitive Bid Request" shall mean a request made pursuant to
Section 2.03 in the form of Exhibit A-1.

               "Competitive Borrowing" shall mean a Borrowing consisting of a
Competitive Loan or concurrent Competitive Loans from the Lender or Lenders
whose Competitive Bids for such Borrowing have been accepted by the Borrower
under the bidding procedure described in Section 2.03.

               "Competitive Loan" shall mean a Loan from a Lender to the
Borrower pursuant to the bidding procedure described in Section 2.03. Each
Competitive Loan shall be a Eurodollar Competitive Loan or a Fixed Rate Loan.

               "Consolidated" refers to the consolidation of accounts of the
Borrower and the Subsidiaries in accordance with GAAP.

               "Consolidated Interest Expense" shall mean, for any period, the
total interest expense of the Borrower and its Subsidiaries determined on a
consolidated basis in accordance with GAAP.

               "Consolidated Net Assets" shall mean, on any date, the total
assets of the Borrower and its Subsidiaries less the total liabilities of the
Borrower and its Subsidiaries, determined on a consolidated basis in accordance
with GAAP.

               "Contribution" shall mean the contribution by AT&T and its
Affiliates of virtually all the assets and liabilities of AT&T that are
allocated to AT&T Wireless Group to the Borrower.

               "Default" shall mean any event or condition which upon notice,
lapse of time or both would constitute an Event of Default.

               "Derivatives Obligations" of any Person shall mean all
obligations of such Person in respect of any rate swap transaction, basis swap,
forward rate transaction, commodity swap, commodity option, equity or equity
index swap, equity or equity index option, bond option, interest rate option,
foreign exchange transaction, cap transaction, floor transaction, currency
option, futures or any other similar transaction (including any option with
respect to any of the foregoing transactions) or any combination of the
foregoing transactions.

               "DoCoMo" shall mean NTT DoCoMo Inc., a corporation organized
under the laws of Japan, and its successors and assigns.

<PAGE>
                                                                               6

               "DoCoMo Investment" shall mean the acquisition by DoCoMo of AT&T
Wireless Group Preferred Tracking Stock and Warrants for an aggregate purchase
price of $9,811,079,720 completed on January 22, 2001.

               "DoCoMo Repurchase Obligation" shall mean any obligation of the
Borrower or any Subsidiary to pay any amounts in respect of the repurchase of
(a) any Equity Interests that shall have been purchased by DoCoMo as part of the
DoCoMo Investment or (b) any Equity Interests or other securities received by
DoCoMo in exchange for or upon the conversion of the Equity Interests referred
to in the preceding clause (a) or in this clause (b); provided, that for
purposes of Article VII, a DoCoMo Repurchase Obligation shall be deemed to exist
only at such time as the Borrower shall be actually, and not merely
contingently, obligated to pay such amounts and, if AT&T or the Borrower has
exercised its right to cause DoCoMo to sell all or part of such Equity Interests
pursuant to the Investor Agreement dated as of December 20, 2000, shall be
calculated net of any proceeds that have been received by DoCoMo from, and only
after giving effect to, any such sale.

               "dollars" or "$" shall mean lawful money of the United States of
America.

               "Environmental Laws" shall mean all current and future federal,
state, local and foreign laws (including common law), treaties, regulations,
rules, ordinances, codes, decrees, judgments, injunctions, notices, directives
and orders (including consent orders), in each case, relating to protection of
the environment, natural resources, human health and safety or the presence,
Release of, or exposure to, Hazardous Materials, or the generation, manufacture,
processing, distribution, use, treatment, storage, transport, recycling of
handling of, or the arrangement for such activities with respect to, Hazardous
Materials. For purposes of this definition, "Release" shall mean release, spill,
emission, leaking, dumping, injection, pouring, deposit, disposal, discharge,
dispersal, leaching or migration into or through the environment or within or
upon any building, structure, facility or fixture; and "Hazardous Materials"
shall mean all explosive or radioactive substances, wastes or other pollutants,
including (i) any petroleum products or byproducts and all other hydrocarbons,
coal ash, radon gas, asbestos, urea formaldehyde foam insulation,
polychlorinated biphenyls, chlorofluorocarbons and all other ozone-depleting
substances, and radio-frequency and electromagnetic field radiation or emissions
and (ii) any chemical, material, substance or waste that is prohibited, limited
or regulated by or pursuant to any Environmental Law.

               "Equity Interests" shall mean, with respect to any Person, shares
of capital stock of (or other ownership or profit interests in) such Person,
warrants, options or other rights for the purchase or other acquisition from
such Person of shares of capital stock of (or other ownership or profit
interests in) such Person, securities convertible into or exchangeable for
shares of capital stock of (or other ownership or profit interests in) such
Person or warrants, rights or options for the purchase or other acquisition from
such Person of such shares (or such other interests), and other ownership or
profit interests in such Person (including, without limitation, partnership,
member or trust interests therein), whether voting or nonvoting, and whether or
not such shares, warrants, options, rights or other interests are authorized or
otherwise existing on any date of determination.

<PAGE>
                                                                               7

               "ERISA" shall mean the Employee Retirement Income Security Act of
1974, as amended from time to time.

               "ERISA Affiliate" shall mean any trade or business (whether or
not incorporated) that, together with the Borrower, is treated as a single
employer under Section 414(b) or (c) of the Code or, solely for purposes of
Section 302 of ERISA and Section 412 of the Code, is treated as a single
employer under Section 414 of the Code.

               "ERISA Event" shall mean (a) any "reportable event", as defined
in Section 4043 of ERISA or the regulations issued thereunder with respect to a
Plan (other than an event for which the 30-day notice period is waived); (b) the
existence with respect to any Plan of an "accumulated funding deficiency" (as
defined in Section 412 of the Code or Section 302 of ERISA), whether or not
waived; (c) the filing pursuant to Section 412(d) of the Code or Section 303(d)
of ERISA of an application for a waiver of the minimum funding standard with
respect to any Plan; (d) the incurrence by the Borrower or any of its ERISA
Affiliates of any liability under Title IV of ERISA with respect to the
termination of any Plan; (e) the receipt by the Borrower or any ERISA Affiliate
from the PBGC or a plan administrator of any notice relating to an intention to
terminate any Plan or Plans or to appoint a trustee to administer any Plan; (f)
the incurrence by the Borrower or any of its ERISA Affiliates of any liability
with respect to the withdrawal or partial withdrawal from any Plan or
Multiemployer Plan; or (g) the receipt by the Borrower or any ERISA Affiliate of
any notice, or the receipt by any Multiemployer Plan from the Borrower or any
ERISA Affiliate of any notice, concerning the imposition of Withdrawal Liability
or a determination that a Multiemployer Plan is, or is expected to be, insolvent
or in reorganization, within the meaning of Title IV of ERISA.

               "Eurodollar Borrowing" shall mean a Borrowing comprised of
Eurodollar Loans.

               "Eurodollar Competitive Loan" shall mean any Competitive Loan
bearing interest at a rate determined by reference to the LIBO Rate in
accordance with the provisions of Article II.

               "Eurodollar Loan" shall mean any Eurodollar Competitive Loan or
Eurodollar Standby Loan.

               "Eurodollar Standby Loan" shall mean any Standby Loan bearing
interest at a rate determined by reference to the LIBO Rate in accordance with
the provisions of Article II.

               "Event of Default" shall have the meaning assigned to such term
in Article VII.

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

               "Existing Credit Agreement" shall have the meaning assigned to
such term in the preamble hereto.

               "Facility Fee" shall have the meaning assigned to such term in
Section 2.06(a).

<PAGE>
                                                                               8

               "Federal Funds Effective Rate" shall mean, for any day, the
weighted average of the rates on overnight Federal funds transactions with
members of the Federal Reserve System arranged by Federal funds brokers, as
released on the next succeeding Business Day by the Federal Reserve Bank of New
York, or, if such rate is not so released for any day which is a Business Day,
the arithmetic average (rounded upwards to the next 1/100th of 1%), as
determined by the Paying Agent, of the quotations for the day of such
transactions received by the Paying Agent from three Federal funds brokers of
recognized standing selected by it.

               "Fee Letter" shall mean the Fee Letter dated February 19, 2002,
among the Borrower, the Joint Lead Arrangers and the Administrative Agents.

               "Fees" shall mean the Facility Fee, the Utilization Fee and the
Administrative Fees.

               "Financial Officer" of any corporation shall mean the chief
financial officer, principal accounting officer, Treasurer or Assistant
Treasurer of such corporation.

               "Five-Year Credit Agreement" shall mean the Borrower's Five-Year
Credit Agreement dated as of March 23, 2001, as amended from time to time.

               "Fixed Rate Borrowing" shall mean a Borrowing comprised of Fixed
Rate Loans.

               "Fixed Rate Loan" shall mean any Competitive Loan bearing
interest at a fixed percentage rate per annum (expressed in the form of a
decimal to no more than four decimal places) specified by the Lender making such
Loan in its Competitive Bid.

               "Form S-4" shall mean Amendment No. 1 to the Registration
Statement on Form S-4 of AT&T filed with the SEC on February 23, 2001.

               "GAAP" shall mean generally accepted accounting principles,
applied on a consistent basis.

               "Governmental Authority" shall mean any Federal, state, local or
foreign court or governmental agency, authority, instrumentality or regulatory
body.

               "Guarantee" of or by any Person (the "guarantor") means any
obligation, contingent or otherwise, of the guarantor guaranteeing or having the
economic effect of guaranteeing any Indebtedness of any other Person (the
"primary obligor") in any manner, whether directly or indirectly, and including
any obligation of the guarantor, direct or indirect, (a) to purchase or pay (or
advance or supply funds for the purchase or payment of) such Indebtedness or to
purchase (or to advance or supply funds for the purchase of) any security for
the payment thereof, (b) to purchase or lease property, securities or services
for the purpose of assuring the owner of such Indebtedness of the payment
thereof, (c) to maintain working capital, equity capital or any other financial
statement condition or liquidity of the primary obligor so as to enable the
primary obligor to pay such Indebtedness or (d) as an account party in respect
of any letter of credit or letter of guaranty issued to support such
Indebtedness; provided, that the

<PAGE>
                                                                               9

term "Guarantee" shall not include endorsements for collection or deposit in the
ordinary course of business.

               "Indebtedness" of any Person shall mean (a) all indebtedness for
money borrowed that is created, assumed or incurred in any manner by such
Person, (b) all obligations of such Person evidenced by bonds, debentures, notes
or other similar instruments, (c) all obligations of such Person in respect of
the deferred purchase price of property or services (excluding current accounts
payable incurred in the ordinary course of business), (d) all Capital Lease
Obligations of such Person and (e) all Guarantees of such Person; provided that,
solely for purposes of Section 6.02, Indebtedness shall be calculated net of (i)
cash and cash equivalents held by the Borrower and its Consolidated Subsidiaries
on the date of determination and (ii) prior to the Spin-Off, but without
duplication, the cash proceeds of the DoCoMo Investment and the Borrower's
senior unsecured notes to the extent they have been advanced in the form of a
loan to AT&T or a wholly owned subsidiary of AT&T.

               "Index Debt" shall mean senior, unsecured, long-term indebtedness
for borrowed money of the Borrower that is not guaranteed by any other Person or
subject to any other credit enhancement.

               "Interest Payment Date" shall mean, with respect to any Loan, the
last day of the Interest Period applicable thereto and, in the case of a
Eurodollar Loan with an Interest Period of more than three months' duration or a
Fixed Rate Loan with an Interest Period of more than 90 days' duration, each day
that would have been an Interest Payment Date for such Loan had successive
Interest Periods of three months' duration or 90 days' duration, as the case may
be, been applicable to such Loan and, in addition, the date of any conversion of
such Loan to a Loan of a different Type.

               "Interest Period" shall mean (a) as to any Eurodollar Borrowing,
the period commencing on the date of such Borrowing or on the last day of the
immediately preceding Interest Period applicable to such Borrowing, as the case
may be, and ending on the numerically corresponding day (or, if there is no
numerically corresponding day, on the last day) in the calendar month that is 1,
2, 3 or 6 months thereafter, as the Borrower may elect, (b) as to any ABR
Borrowing, the period commencing on the date of such Borrowing or on the last
day of the immediately preceding Interest Period applicable to such Borrowing,
as the case may be, and ending on the earliest of (i) the next succeeding March
31, June 30, September 30 or December 31, (ii) the Maturity Date, and (iii) the
date such Borrowing is converted to a Borrowing of a different Type in
accordance with Section 2.05 or repaid or prepaid in accordance with Section
2.08 or Section 2.13 and (c) as to any Fixed Rate Borrowing, the period
commencing on the date of such Borrowing and ending on the date specified in the
Competitive Bids in which the offer to make the Fixed Rate Loans comprising such
Borrowing were extended, which shall not be earlier than seven days after the
date of such Borrowing or later than 360 days after the date of such Borrowing;
provided, however, that if any Interest Period would end on a day other than a
Business Day, such Interest Period shall be extended to the next succeeding
Business Day unless, in the case of Eurodollar Loans only, such next succeeding
Business Day would fall in the next calendar month, in which case such Interest
Period shall end

<PAGE>
                                                                              10

on the next preceding Business Day. Interest shall accrue from and including the
first day of an Interest Period to but excluding the last day of such Interest
Period.

               "Japan Telecom" shall mean Japan Telecom Co., Ltd., a corporation
organized under the laws of Japan.

               "Joint Lead Arrangers" shall mean J.P. Morgan Securities Inc.,
and Banc of America Securities LLC, as joint lead arrangers and bookrunners for
the credit facility established hereby.

               "Lenders" means the Persons listed on Schedule 2.01 and any other
Person that shall have become a party hereto pursuant to an Assignment and
Acceptance, other than any such Person that shall have ceased to be a party
hereto pursuant to an Assignment and Acceptance.

               "LIBO Rate" shall mean, with respect to each Interest Period, a
rate of interest determined on the basis of at least two offered rates for
deposits in United States dollars for a period equal to such Interest Period
commencing on the first day of such Interest Period appearing on the Reuters
Screen LIBO Page as of 11:00 a.m. (London time) on the day that is two Business
Days prior to the first day of such Interest Period. If at least two such
offered rates appear on the Reuters Screen LIBO Page, the rate with respect to
each Interest Period will be the arithmetic average (rounded upwards to the next
1/16th of 1%) of such offered rates. If fewer than two offered rates appear,
"LIBO Rate" in respect of any Interest Period will be determined on the basis of
the rates at which deposits in United States dollars are offered by the Paying
Agent at approximately 11:00 a.m. (London time) on the day that is two Business
Days preceding the first day of such Interest Period to prime banks in the
London interbank market for a period equal to such Interest Period commencing on
the first day of such Interest Period.

               "Lien" shall mean any mortgage, pledge, security interest, lien,
charge or other encumbrance of any kind, or any other type of preferential
treatment that has substantially the same practical effect as a security
interest. For purposes hereof, the Borrower or any Subsidiary shall be deemed to
own subject to a Lien any asset which it has acquired or holds subject to the
interest of a vendor or lessor under any conditional sale agreement, capital
lease or other title retention agreement relating to such asset.

               "Loan" shall mean a Competitive Loan or a Standby Loan, whether
made as a Eurodollar Loan, an ABR Loan or a Fixed Rate Loan, as permitted
hereby.

               "Loan Documents" shall mean, collectively, this Agreement, the
Amendment and Restatement and the Notes, if any.

               "Margin" shall mean, as to any Eurodollar Competitive Loan, the
margin (expressed as a percentage rate per annum in the form of a decimal to no
more than four decimal places) to be added to or subtracted from the LIBO Rate
in order to determine the interest rate applicable to such Loan, as specified in
the Competitive Bid relating to such Loan.

<PAGE>
                                                                              11

               "Margin Regulations" shall mean Regulations T, U and X of the
Board as from time to time in effect, and all official rulings and
interpretations thereunder or thereof.

               "Margin Stock" shall have the meaning given such term under
Regulation U of the Board.

               "Material Adverse Effect" shall mean a materially adverse effect
on the business, financial condition or results of operations of the Borrower
and its Subsidiaries taken as a whole.

               "Material Financial Obligations" shall mean Indebtedness (except
Indebtedness outstanding hereunder) and/or payment or collateralization
obligations in respect of Derivatives Obligations of the Borrower and its
Subsidiaries exceeding in the aggregate $150,000,000.

               "Material Indebtedness" means Indebtedness (except Indebtedness
outstanding hereunder) of the Borrower and its Subsidiaries in an aggregate
principal amount exceeding $150,000,000.

               "Maturity Date" shall mean the Termination Date, unless extended
pursuant to Section 2.07, in which case "Maturity Date" shall mean the first
anniversary of the Termination Date.

               "Moody's" shall mean Moody's Investors Service, Inc. or any
successor rating agency.

               "Multiemployer Plan" shall mean a multiemployer plan as defined
in Section 4001(a)(3) of ERISA.

               "Note" shall mean a promissory note of the Borrower, issued
pursuant to Section 9.04(i) and payable to the order of any Lender, in
substantially the form of Exhibit E hereto, evidencing the aggregate
Indebtedness of the Borrower to such Lender resulting from the Loans made by
such Lender.

               "Operational EBITDA" shall mean, for any period, consolidated
operating income (or loss) of the Borrower and its Subsidiaries as reported in
the annual audited and quarterly unaudited financial statements of the Borrower
included in the SEC filings described in Section 5.02(a) and (b) increased, to
the extent such items were deducted in determining such operating income (loss),
by the sum of (a) depreciation and amortization, (b) asset impairment charges,
(c) restructuring and other charges and (d) non-cash compensation on the
Borrower's stock options; provided that Operational EBITDA shall be calculated
without regard to discontinued operations. If the Borrower acquires (whether by
purchase, merger, consolidation or otherwise) all or substantially all of the
assets or property of any other Person, or engages in any asset sale permitted
by Section 6.05, during any period in respect of which Operational EBITDA is to
be determined hereunder, such Operational EBITDA will be determined on a pro
forma basis as if such acquisition or such asset sale, and any related
incurrence or repayment of Indebtedness, occurred on the first day of the
relevant period if the Operational EBITDA attributable to such acquisition or
assets sold represents more than 10% of the Borrower's

<PAGE>
                                                                              12

Operational EBITDA calculated immediately prior to giving effect to such
acquisition or such asset sale.

               "Optional Termination" shall have the meaning set forth in
Section 2.22.

               "Paying Agent" shall have the meaning specified in the recital of
parties to this Agreement.

               "PBGC" shall mean the Pension Benefit Guaranty Corporation
referred to and defined in ERISA and any successor entity performing similar
functions.

               "Person" or "person" shall mean any natural person, corporation,
business trust, joint venture, association, company, partnership or government,
or any agency or political subdivision thereof.

               "Plan" shall mean any employee pension benefit plan (other than a
Multiemployer Plan) subject to the provisions of Title IV of ERISA or Section
412 of the Code or Section 302 of ERISA, and in respect of which the Borrower or
any ERISA Affiliate is (or, if such plan were terminated, would under Section
4069 of ERISA be deemed to be) an "employer" as defined in Section 3(5) of
ERISA.

               "Prime Rate" shall mean the rate of interest per annum publicly
announced from time to time by the Paying Agent as its prime rate in effect at
its principal office in New York City; each change in the Prime Rate shall be
effective on the date such change is publicly announced as effective.

               "Receivables Securitization Transaction" shall mean the transfer
or pledge of accounts receivable and related property, or of interests therein,
(a) to a trust, partnership, corporation or other entity, which transfer or
pledge is funded by such entity in whole or in part with the proceeds of
indebtedness or securities that are paid principally from the cash flow derived
from such accounts receivable or (b) directly to an investor or other purchaser
or financing party.

               "Register" shall have the meaning given such term in Section
9.04(d).

               "Regulation D" shall mean Regulation D of the Board as from time
to time in effect and all official rulings and interpretations thereunder or
thereof.

               "Related Transactions" shall mean (i) the Contribution, (ii) the
Spin-Off and (iii) the repayment of certain intercompany indebtedness and
redemption of certain intercompany preferred stock as contemplated by the Form
S-4.

               "Required Lenders" shall mean, at any time, Lenders having
Commitments representing more than 50% of the Total Commitment or, if the
Commitments shall have been terminated, or for purposes of acceleration pursuant
to clause (ii) of Article VII, Lenders holding Loans representing more than 50%
of the aggregate principal amount of the Loans outstanding.

<PAGE>
                                                                              13

               "Responsible Officer" of any corporation shall mean any executive
officer or Financial Officer of such corporation and any other officer or
similar official thereof responsible for the administration of the obligations
of such corporation in respect of the Loan Documents.

               "S&P" shall mean Standard & Poor's Ratings Services, a division
of The McGraw-Hill Companies, Inc. or any successor rating agency.

               "SEC" shall mean the United States Securities and Exchange
Commission.

               "Short-Term Debt" shall mean senior, unsecured short-term
Indebtedness for borrowed money of the Borrower that is not guaranteed by any
other Person or subject to any other credit enhancement.

               "Significant Subsidiary" shall mean any Subsidiary that would
meet the definition of a "significant subsidiary" set forth as of the date
hereof in Regulation S-X of the SEC.

               "Spin-Off" shall mean the distribution by AT&T to its existing
shareholders, and the redemption of AT&T Wireless Tracking Stock in exchange
for, some of or all the issued and outstanding capital stock of the Borrower as
contemplated by the Form S-4.

               "Standby Borrowing" shall mean a Borrowing consisting of
simultaneous Standby Loans from each of the Lenders.

               "Standby Borrowing Request" shall mean a request made pursuant to
Section 2.04 in the form of Exhibit A-5.

               "Standby Loans" shall mean the revolving loans made by the
Lenders to the Borrower pursuant to Section 2.04. Each Standby Loan shall be a
Eurodollar Standby Loan or an ABR Loan.

               "Subsidiary" shall mean, at any time, any Person, a majority of
the Voting Equity Interests of which are at such time controlled, directly or
indirectly, by the Borrower or by one or more Subsidiaries of the Borrower and
will in any event include all subsidiaries whose accounts and/or financial
statements are consolidated in accordance with GAAP with those of the Borrower
or any Subsidiary for purposes of the consolidated financial statements
furnished pursuant to Section 5.02. For purposes hereof, "Voting Equity
Interests" are Equity Interests entitled to vote in the election of directors
(or comparable management positions).

               "Taxes" shall have the meaning assigned to such term in Section
2.20(a).

               "Termination Date" shall mean March 18, 2003.

               "Total Commitment" shall mean, at any time, the aggregate amount
of Commitments of all the Lenders, as in effect at such time.

               "Type", when used in respect of any Loan or Borrowing, shall
refer to the Rate by reference to which interest on such Loan or on the Loans
comprising such Borrowing is

<PAGE>
                                                                              14

determined. For purposes hereof, "Rate" shall include the LIBO Rate, the
Alternate Base Rate and the Fixed Rate.

               "Utilization Fee" shall have the meaning assigned to such term in
Section 2.06(b).

               "Withdrawal Liability" means liability to a Multiemployer Plan as
a result of a complete or partial withdrawal from such Multiemployer Plan, as
such terms are defined in Part I of Subtitle E of Title IV of ERISA.

               SECTION 1.02. Terms Generally. The definitions in Section 1.01
shall apply equally to both the singular and plural forms of the terms defined.
Whenever the context may require, any pronoun shall include the corresponding
masculine, feminine and neuter forms. The words "include", "includes" and
"including" shall be deemed to be followed by the phrase "without limitation".
All references herein to Articles, Sections, Exhibits and Schedules shall be
deemed references to Articles and Sections of, and Exhibits and Schedules to,
this Agreement unless the context shall otherwise require. Except as otherwise
expressly provided herein, all terms of an accounting or financial nature shall
be construed in accordance with GAAP, as in effect from time to time; provided
that, if the Borrower notifies the Paying Agent that the Borrower wishes to
amend any covenant in Article VI to eliminate the effect of any change in GAAP
on the operation of such covenant (or if the Paying Agent notifies the Borrower
that the Required Lenders wish to amend Article VI for such purpose), then the
Borrower's compliance with such covenant shall be determined on the basis of
GAAP in effect immediately before the relevant change in GAAP became effective,
until either such notice is withdrawn or such covenant is amended in a manner
satisfactory to the Borrower and the Required Lenders.

                                   ARTICLE II

                                   The Credits

               SECTION 2.01. Commitments. Subject to the terms and conditions
and relying upon the representations and warranties herein set forth, each
Lender agrees, severally and not jointly, to make Standby Loans to the Borrower,
at any time and from time to time on and after the date hereof and until the
earlier of the Termination Date and the termination of the Commitment of such
Lender, in an aggregate principal amount at any time outstanding not to exceed
such Lender's Commitment minus the amount by which the Competitive Loans
outstanding at such time shall be deemed to have used such Commitment pursuant
to Section 2.17, subject, however, to the conditions that (i) at no time shall
(A) the sum of (x) the outstanding aggregate principal amount of all Standby
Loans made by all Lenders plus (y) the outstanding aggregate principal amount of
all Competitive Loans made by all Lenders exceed (B) the Total Commitment, and
(ii) at all times the outstanding aggregate principal amount of all Standby
Loans made by each Lender shall equal the product of (A) the percentage which
its Commitment represents of the Total Commitment times (B) the outstanding
aggregate principal amount of all Standby Loans made pursuant to Section 2.04.
Within the foregoing limits, the Borrower may borrow, pay or prepay and reborrow
Standby Loans hereunder, on and after the

<PAGE>
                                                                              15

Closing Date and prior to the Termination Date, subject to the terms, conditions
and limitations set forth herein.

               SECTION 2.02. Loans.

               (a) Each Standby Loan shall be made as part of a Borrowing
consisting of Loans made by the Lenders ratably in accordance with their
respective Commitments; provided, however, that the failure of any Lender to
make any Standby Loan shall not in itself relieve any other Lender of its
obligation to lend hereunder (it being understood, however, that no Lender shall
be responsible for the failure of any other Lender to make any Loan required to
be made by such other Lender). Each Competitive Loan shall be made in accordance
with the procedures set forth in Section 2.03. The Standby Loans or Competitive
Loans comprising any Borrowing shall be (i) in the case of Competitive Loans, in
an aggregate principal amount which is an integral multiple of $1,000,000 and
not less than $5,000,000 and (ii) in the case of Standby Loans, in an aggregate
principal amount which is an integral multiple of $5,000,000 and not less than
$10,000,000 (or an aggregate principal amount equal to the remaining balance of
the available Commitments).

               (b) Each Competitive Borrowing shall be comprised entirely of
Eurodollar Competitive Loans or Fixed Rate Loans, and each Standby Borrowing
shall be comprised entirely of Eurodollar Standby Loans or ABR Loans, as the
Borrower may request pursuant to Section 2.03 or 2.04, as applicable. Each
Lender may at its option make any Eurodollar Loan by causing any domestic or
foreign branch or Affiliate of such Lender to make such Loan; provided that any
exercise of such option shall not affect the obligation of the Borrower to repay
such Loan in accordance with the terms of this Agreement. Borrowings of more
than one Type may be outstanding at the same time; provided, however, that the
Borrower shall not be entitled to request any Borrowing which, if made, would
result in an aggregate of more than 20 separate Standby Borrowings comprised of
Eurodollar Standby Loans being outstanding hereunder at any one time. For
purposes of the foregoing, Loans having different Interest Periods, regardless
of whether they commence on the same date, shall be considered separate Loans.

               (c) Subject to Section 2.05, each Lender shall make each Loan to
be made by it hereunder on the proposed date thereof by wire transfer of
immediately available funds to the Paying Agent in New York, New York, not later
than 12:00 noon, New York City time, and the Paying Agent shall by 3:00 p.m.,
New York City time, credit the amounts so received to the general deposit
account of the Borrower with the Paying Agent or, if a Borrowing shall not occur
on such date because any condition precedent herein specified shall not have
been met, return the amounts so received to the respective Lenders. Competitive
Loans shall be made by the Lender or Lenders whose Competitive Bids therefor are
accepted pursuant to Section 2.03 in the amounts so accepted. Standby Loans
shall be made by the Lenders pro rata in accordance with Section 2.17. Unless
the Paying Agent shall have received notice from a Lender prior to the date (or
in the case of ABR Borrowings, prior to 12:00 noon New York City time on the
date of such Borrowing) of any Borrowing that such Lender will not make
available to the Paying Agent such Lender's portion of such Borrowing, the
Paying Agent may assume that such Lender has made such portion available to the
Paying Agent on the date of such Borrowing in accordance with this paragraph (c)
and the Paying Agent may, in reliance upon such assumption, make available to

<PAGE>
                                                                              16

the Borrower on such date a corresponding amount. If and to the extent that such
Lender shall not have made such portion available to the Paying Agent, such
Lender and the Borrower severally agree to repay to the Paying Agent forthwith
on demand such corresponding amount together with interest thereon, for each day
from the date such amount is made available to the Borrower until the date such
amount is repaid to the Paying Agent at (i) in the case of the Borrower, the
interest rate applicable at the time to the Loans comprising such Borrowing and
(ii) in the case of such Lender, the Federal Funds Effective Rate. If such
Lender shall repay to the Paying Agent such corresponding amount, such amount
shall constitute such Lender's Loan as part of such Borrowing for purposes of
this Agreement.

               SECTION 2.03. Competitive Bid Procedure.

               (a) In order to request Competitive Bids, the Borrower shall hand
deliver, telex or telecopy to the Paying Agent a duly completed Competitive Bid
Request in the form of Exhibit A-1 hereto, to be received by the Paying Agent
(i) in the case of a Eurodollar Competitive Borrowing, not later than 10:00
a.m., New York City time, four Business Days before a proposed Competitive
Borrowing and (ii) in the case of a Fixed Rate Borrowing, not later than 10:00
a.m., New York City time, one Business Day before a proposed Competitive
Borrowing. No ABR Loan shall be requested in, or made pursuant to, a Competitive
Bid Request. A Competitive Bid Request that does not conform substantially to
the format of Exhibit A-1 may be rejected in the Paying Agent's sole discretion,
and the Paying Agent shall promptly notify the Borrower of such rejection by
telex or telecopy. Each Competitive Bid Request shall refer to this Agreement
and specify (x) whether the Borrowing then being requested is to be a Eurodollar
Borrowing or a Fixed Rate Borrowing, (y) the date of such Borrowing (which shall
be a Business Day) and the aggregate principal amount thereof which shall be in
a minimum principal amount of $5,000,000 and in an integral multiple of
$1,000,000, and (z) the Interest Period with respect thereto (which may not end
after the Termination Date). Promptly after its receipt of a Competitive Bid
Request that is not rejected as aforesaid, the Paying Agent shall invite by
telex or telecopy (in the form set forth in Exhibit A-2 hereto) the Lenders to
bid, on the terms and conditions of this Agreement, to make Competitive Loans
pursuant to the Competitive Bid Request.

               (b) Each Lender invited to bid may, in its sole discretion, make
one or more Competitive Bids to the Borrower responsive to the Borrower's
Competitive Bid Request. Each Competitive Bid by a Lender must be received by
the Paying Agent via telex or telecopy, in the form of Exhibit A-3 hereto, (i)
in the case of a Eurodollar Competitive Borrowing, not later than 9:30 a.m., New
York City time, three Business Days before a proposed Competitive Borrowing and
(ii) in the case of a Fixed Rate Borrowing, not later than 9:30 a.m., New York
City time, on the day of a proposed Competitive Borrowing. Multiple bids will be
accepted by the Paying Agent. Competitive Bids that do not conform substantially
to the format of Exhibit A-3 may be rejected by the Paying Agent after
conferring with, and upon the instruction of, the Borrower, and the Paying Agent
shall notify the Lender making such nonconforming bid of such rejection as soon
as practicable. Each Competitive Bid shall refer to this Agreement and specify
(x) the principal amount (which shall be in a minimum principal amount of
$5,000,000 and in an integral multiple of $1,000,000 and which may equal the
entire principal amount of the

<PAGE>
                                                                              17

Competitive Borrowing requested by the Borrower) of the Competitive Loan or
Loans that the Lender is willing to make to the Borrower, (y) the Competitive
Bid Rate or Rates at which the Lender is prepared to make the Competitive Loan
or Loans and (z) the Interest Period and the last day thereof. If any Lender
invited to bid shall elect not to make a Competitive Bid, such Lender shall so
notify the Paying Agent via telex or telecopy (I) in the case of Eurodollar
Competitive Loans, not later than 9:30 a.m., New York City time, three Business
Days before a proposed Competitive Borrowing, and (II) in the case of Fixed Rate
Loans, not later than 9:30 a.m., New York City time, on the day of a proposed
Competitive Borrowing; provided, however, that failure by any Lender to give
such notice shall not cause such Lender to be obligated to make any Competitive
Loan as part of such Competitive Borrowing. A Competitive Bid submitted by a
Lender pursuant to this paragraph (b) shall be irrevocable.

               (c) The Paying Agent shall promptly notify the Borrower, by telex
or telecopy, of all the Competitive Bids made, the Competitive Bid Rate and the
principal amount of each Competitive Loan in respect of which a Competitive Bid
was made and the identity of the Lender that made each bid. The Paying Agent
shall send a copy of all Competitive Bids to the Borrower for its records as
soon as practicable after completion of the bidding process set forth in this
Section 2.03.

               (d) The Borrower may in its sole and absolute discretion, subject
only to the provisions of this paragraph (d), accept or reject any Competitive
Bid referred to in paragraph (c) above. The Borrower shall notify the Paying
Agent by telephone, confirmed by telex or telecopy in the form of a Competitive
Bid Accept/Reject Letter, whether and to what extent it has decided to accept or
reject any of or all the bids referred to in paragraph (c) above, (x) in the
case of a Eurodollar Competitive Borrowing, not later than 10:30 a.m., New York
City time, three Business Days before a proposed Competitive Borrowing, and (y)
in the case of a Fixed Rate Borrowing, not later than 10:30 a.m., New York City
time, on the day of a proposed Competitive Borrowing; provided, however, that
(i) the failure by the Borrower to give such notice shall be deemed to be a
rejection of all the bids referred to in paragraph (c) above, (ii) the Borrower
shall not accept a bid made at a particular Competitive Bid Rate if it has
decided to reject a bid made at a lower Competitive Bid Rate, (iii) the
aggregate amount of the Competitive Bids accepted by the Borrower shall not
exceed the principal amount specified in the Competitive Bid Request, (iv) if
the Borrower shall accept a bid or bids made at a particular Competitive Bid
Rate but the amount of such bid or bids shall cause the total amount of bids to
be accepted by the Borrower to exceed the amount specified in the Competitive
Bid Request, then the Borrower shall accept a portion of such bid or bids in an
amount equal to the amount specified in the Competitive Bid Request less the
amount of all other Competitive Bids accepted with respect to such Competitive
Bid Request, which acceptance, in the case of multiple bids at such Competitive
Bid Rate, shall be made pro rata in accordance with the amount of each such bid
at such Competitive Bid Rate, and (v) except pursuant to clause (iv) above, no
bid shall be accepted for a Competitive Loan unless such Competitive Loan is in
a minimum principal amount of $5,000,000 and an integral multiple of $1,000,000;
provided further, however, that if a Competitive Loan must be in an amount less
than $5,000,000 because of the provisions of clause (iv) above, such Competitive
Loan may be for a minimum of $1,000,000 or any integral multiple thereof, and in
calculating the pro rata allocation of acceptances of portions of multiple bids
at a particular Competitive Bid

<PAGE>
                                                                              18

Rate pursuant to clause (iv) the amounts shall be rounded to integral multiples
of $1,000,000 in a manner which shall be in the discretion of the Borrower. A
notice given by the Borrower pursuant to this paragraph (d) shall be
irrevocable.

               (e) The Paying Agent shall promptly notify each bidding Lender
whether or not its Competitive Bid has been accepted (and if so, in what amount
and at what Competitive Bid Rate) by telex or telecopy sent by the Paying Agent,
and each successful bidder will thereupon become bound, subject to the other
applicable conditions hereof, to make the Competitive Loan in respect of which
its bid has been accepted.

               (f) A Competitive Bid Request shall not be made within five
Business Days after the date of any previous Competitive Bid Request. No
Competitive Borrowing shall be requested or made hereunder if after giving
effect thereto any of the conditions set forth in Section 2.01 would not be met.

               (g) If the Paying Agent shall elect to submit a Competitive Bid
in its capacity as a Lender, it shall submit such bid directly to the Borrower
one quarter of an hour earlier than the latest time at which the other Lenders
are required to submit their bids to the Paying Agent pursuant to paragraph (b)
above.

               (h) All notices required by this Section 2.03 shall be given in
accordance with Section 9.01.

               SECTION 2.04. Standby Borrowing Procedure. In order to request a
Standby Borrowing, the Borrower shall hand deliver, telex or telecopy to the
Paying Agent a duly completed Standby Borrowing Request in the form of Exhibit
A-5 (a) in the case of a Eurodollar Standby Borrowing, not later than 10:30
a.m., New York City time, three Business Days before a proposed Borrowing and
(b) in the case of an ABR Borrowing, not later than 10:30 a.m., New York City
time, on the day of a proposed Borrowing. No Fixed Rate Loan shall be requested
or made pursuant to a Standby Borrowing Request. Such notice shall be
irrevocable and shall in each case specify (i) whether the Borrowing then being
requested is to be a Eurodollar Standby Borrowing or an ABR Borrowing; (ii) the
date of such Standby Borrowing (which shall be a Business Day) and the amount
thereof; and (iii) if such Borrowing is to be a Eurodollar Standby Borrowing,
the Interest Period with respect thereto, which shall not end after the
Termination Date. If no election as to the Type of Standby Borrowing is
specified in any such notice, then the requested Standby Borrowing shall be an
ABR Borrowing. If no Interest Period with respect to any Eurodollar Standby
Borrowing is specified in any such notice, then the Borrower shall be deemed to
have selected an Interest Period of one month's duration. Notwithstanding any
other provision of this Agreement to the contrary, the Borrower shall not be
entitled to request any Standby Borrowing if the Interest Period requested with
respect to such Standby Borrowing would end after the Termination Date. The
Paying Agent shall promptly advise the Lenders of any notice given pursuant to
this Section 2.04 and of each Lender's portion of the requested Borrowing.

               SECTION 2.05. Conversion and Continuation of Standby Loans. The
Borrower shall have the right at any time upon prior irrevocable notice to the
Paying Agent (i) not later

<PAGE>
                                                                              19

than 10:30 a.m., New York City time, on the day of the conversion, to convert
all or any part of any Eurodollar Standby Borrowing into an ABR Borrowing, (ii)
not later than 10:30 a.m., New York City time, three Business Days prior to
conversion or continuation, to convert any ABR Borrowing into a Eurodollar
Standby Borrowing or to continue any Eurodollar Standby Borrowing as a
Eurodollar Standby Borrowing for an additional Interest Period and (iii) not
later than 10:30 a.m., New York City time, three Business Days prior to
conversion, to convert the Interest Period, with respect to any Eurodollar
Standby Borrowing to another permissible Interest Period, subject in each case
to the following:

               (a) if less than all the outstanding principal amount of any
        Standby Borrowing shall be converted or continued, the aggregate
        principal amount of the Standby Borrowing converted or continued shall
        be an integral multiple of $5,000,000 and not less than $10,000,000;

               (b) accrued interest on a Standby Borrowing (or portion thereof)
        being converted shall be paid by the Borrower at the time of conversion;

               (c) if any Eurodollar Standby Borrowing is converted at a time
        other than the end of the Interest Period applicable thereto, the
        Borrower shall pay, upon demand, any amounts due to the Lenders pursuant
        to Section 2.16;

               (d) any portion of a Standby Borrowing maturing or required to be
        repaid in less than one month may not be converted into or continued as
        a Eurodollar Standby Borrowing;

               (e) any portion of a Eurodollar Standby Borrowing which cannot be
        continued as a Eurodollar Standby Borrowing by reason of clause (d)
        above shall be automatically converted at the end of the Interest Period
        in effect for such Eurodollar Standby Borrowing into an ABR Borrowing;
        and

               (f) no Interest Period may be selected for any Eurodollar Standby
        Borrowing that would end later than the Maturity Date.

               Each notice of the Borrower pursuant to this Section 2.05 shall
be irrevocable and shall refer to this Agreement and specify (i) the identity
and amount of the Standby Borrowing that the Borrower requests to be converted
or continued, (ii) whether such Standby Borrowing is to be converted to or
continued as a Eurodollar Standby Borrowing, or an ABR Borrowing, (iii) if such
notice requests a conversion, the date of such conversion (which shall be a
Business Day) and (iv) if such Standby Borrowing is to be converted to or
continued as a Eurodollar Standby Borrowing, the Interest Period with respect
thereto. If no Interest Period is specified in any such notice with respect to
any conversion to or continuation as a Eurodollar Standby Borrowing, the
Borrower shall be deemed to have selected an Interest Period of one month's
duration. If the Borrower shall not have given notice in accordance with this
Section 2.05 to convert or continue any Standby Borrowing, such Standby
Borrowing shall, at the end of the Interest Period applicable thereto (unless
repaid pursuant to the terms hereof), automatically be converted or continued
into a new Interest Period as an ABR Borrowing.

<PAGE>
                                                                              20

               SECTION 2.06. Fees.

               (a) The Borrower agrees to pay to each Lender, through the Paying
Agent, on each March 31, June 30, September 30 and December 31 (with the first
payment being due on March 31, 2001), on each date on which the Commitment of
such Lender shall be terminated or reduced as provided herein and on the
Maturity Date, a facility fee (a "Facility Fee") on the average daily amount of
the Commitment of such Lender, whether used or unused, and after the termination
of the Commitment of such Lender, on the average daily amount of the Loans of
the Lender, during the preceding quarter (or other period commencing on the date
of this Agreement, or ending with the Maturity Date or any date on which the
Commitment of such Lender shall be terminated or reduced) at a rate per annum
equal to the Applicable Rate in effect from time to time. All Facility Fees
shall be computed on the basis of the actual number of days elapsed in a year of
360 days. The Facility Fee due to each Lender shall commence to accrue on the
date of this Agreement and shall cease to accrue on the date on which such
Lender shall have no outstanding Loans or Commitment.

               (b) The Borrower agrees to pay to each Lender, through the Paying
Agent, on each March 31, June 30, September 30 and December 31, on each date on
which the Commitment of such Lender shall be terminated or reduced as provided
herein and on the Maturity Date, for each day on which the sum of the Loans and
the loans outstanding under the Five-Year Credit Agreement is greater than 50%
of the sum of the Total Commitment and the commitments outstanding under the
Five-Year Credit Agreement, and for each day on which any Loan is outstanding
after the termination of the Commitments, a utilization fee (a "Utilization
Fee") equal to a pro rata portion (based on the ratio of such Lender's
Commitment to the Total Commitment or, following the termination of the
Commitments, on the ratio of such Lender's Loans to the aggregate principal
amount of all the outstanding Loans) of 0.125% per annum on the principal amount
of the outstanding Loans, including Competitive Loans, whether or not made by
such Lender, for each day during the preceding quarter (or other period
commencing on the date hereof or ending with the Maturity Date or any later date
on which all the Loans of such Lender shall have been repaid).

               (c) The Borrower agrees to pay the Administrative Agents, for
their own accounts, and the Paying Agent, for its own account, the agency and
other fees referred to in the Fee Letter or separately agreed to with the Paying
Agent (the "Administrative Fees") at the times and in the amounts agreed upon.

               (d) All Fees shall be paid on the dates due, in immediately
available funds, to the Paying Agent for distribution, if and as appropriate,
among the Lenders. Once paid, none of the Fees shall be refundable under any
circumstances.

               SECTION 2.07. Extension of Maturity Date. The Borrower may by
written notice delivered to the Paying Agent not less than ten and not more than
20 days prior to the Termination Date extend the Maturity Date from the
Termination Date to the first anniversary of the Termination Date; provided that
no Default or Event of Default shall have occurred and be continuing as of the
Termination Date.

<PAGE>
                                                                              21

               SECTION 2.08. Repayment of Loans; Evidence of Debt.

               (a) The Borrower hereby agrees that the outstanding principal
balance of each Standby Loan shall be payable on the Maturity Date, and that the
outstanding principal balance of each Competitive Loan shall be payable on the
last day of the Interest Period applicable thereto. Each Loan shall bear
interest on the outstanding principal balance thereof as set forth in Section
2.09.

               (b) each Lender shall maintain in accordance with its usual
practice an account or accounts evidencing the indebtedness of the Borrower to
the appropriate lending office of such Lender resulting from each Loan made by
such lending office of such Lender from time to time, including the amounts of
principal and interest payable and paid such lending office of such Lender from
time to time under this Agreement.

               (c) The Paying Agent shall maintain the Register pursuant to
Section 9.04(d), and a sub-account for each Lender, in which Register and
accounts (taken together) shall be recorded (i) the amount of each Loan made
hereunder, the Type of each Loan made and the Interest Period applicable
thereto, (ii) the amount of any principal or interest due and payable or to
become due and payable from the Borrower to each Lender hereunder and (iii) the
amount of any sum received by the Paying Agent hereunder from the Borrower and
each Lender's share thereof.

               (d) The entries made in the Register and accounts maintained
pursuant to paragraph (b) and (c) of this Section 2.08 shall, to the extent
permitted by applicable law, be prima facie evidence of the existence and
amounts of the obligations of the Borrower therein recorded; provided, however,
that the failure of any Lender or the Paying Agent to maintain such account,
such Register or such subaccount, as applicable, or any error therein shall not
in any manner affect the obligation of the Borrower to repay the Loans made to
the Borrower by such Lender in accordance with their terms.

               SECTION 2.09. Interest on Loans.

               (a) Subject to the provisions of Section 2.10 and paragraph (e)
below, the Loans comprising each Eurodollar Borrowing shall bear interest
(computed on the basis of the actual number of days elapsed over a year of 360
days) at a rate per annum equal to (i) in the case of each Eurodollar Standby
Loan, the LIBO Rate for the Interest Period in effect for such Borrowing plus
the Applicable Margin from time to time in effect and (ii) in the case of each
Eurodollar Competitive Loan, the LIBO Rate for the Interest Period in effect for
such Borrowing plus the Margin offered by the Lender making such Loan and
accepted by the Borrower pursuant to Section 2.03.

               (b) Subject to the provisions of Section 2.10 and paragraph (e)
below, the Loans comprising each ABR Borrowing shall bear interest (computed on
the basis of the actual number of days elapsed over a year of 365 or 366 days,
as the case may be, for periods during which the Alternate Base Rate is
determined by reference to the Prime Rate and 360 days for periods during which
the Alternate Base Rate is determined by reference to the Federal Funds
Effective Rate) at a rate per annum equal to the Alternate Base Rate.

<PAGE>
                                                                              22

               (c) Subject to the provisions of Section 2.10, each Fixed Rate
Loan shall bear interest at a rate per annum (computed on the basis of the
actual number of days elapsed over a year of 360 days) equal to the fixed rate
of interest offered by the Lender making such Loan and accepted by the Borrower
pursuant to Section 2.03.

               (d) Interest on each Loan shall be payable on each Interest
Payment Date applicable to such Loan except as otherwise provided in this
Agreement. The applicable LIBO Rate or Alternate Base Rate for each Interest
Period or day within an Interest Period, as the case may be, shall be determined
in good faith by the Paying Agent, and such determination shall be conclusive
absent manifest error.

               (e) Subject to the provisions of Section 2.10, following the
Termination Date, each Standby Loan shall bear interest at a rate per annum
equal to 0.250% per annum plus the rate otherwise applicable to such Loan as
provided in the preceding paragraphs of this Section 2.09.

               SECTION 2.10. Default Interest. If the Borrower shall default in
the payment of the principal of or interest on any Loan or any other amount
becoming due hereunder, whether by scheduled maturity, notice of prepayment,
acceleration or otherwise, the Borrower shall on demand from time to time from
the Paying Agent pay interest, to the extent permitted by law, on such defaulted
amount up to (but not including) the date of actual payment (after as well as
before judgment) at a rate per annum (computed on the basis of the actual number
of days elapsed over a year of 360 days) equal to the Alternate Base Rate plus
2%.

               SECTION 2.11. Alternate Rate of Interest. In the event, and on
each occasion, that on the day two Business Days prior to the commencement of
any Interest Period for a Eurodollar Borrowing the Paying Agent shall have
determined in good faith (i) that dollar deposits in the principal amounts of
the Eurodollar Loans comprising such Borrowing are not generally available in
the London interbank market or (ii) that reasonable means do not exist for
ascertaining the LIBO Rate, the Paying Agent shall, as soon as practicable
thereafter, give telex or telecopy notice of such determination to the Borrower
and the Lenders. In the event of any such determination under clauses (i) or
(ii) above, until the Paying Agent shall have advised the Borrower and the
Lenders that the circumstances giving rise to such notice no longer exist, (x)
any request by the Borrower for a Eurodollar Competitive Borrowing pursuant to
Section 2.03 shall be of no force and effect and shall be denied by the Paying
Agent and (y) any request by the Borrower for a Eurodollar Standby Borrowing
pursuant to Section 2.04 shall be deemed to be a request for an ABR Borrowing.
In the event a Lender notifies the Paying Agent that the rates at which dollar
deposits are being offered will not adequately and fairly reflect the cost to
such Lender of making or maintaining its Eurodollar Loan during such Interest
Period, the Paying Agent shall notify the Borrower of such notice and until the
Lender shall have advised the Paying Agent that the circumstances giving rise to
such notice no longer exist, any request by the Borrower for a Eurodollar
Standby Borrowing shall be deemed a request for an ABR Borrowing for the same
Interest Period with respect to such Lender. Each determination by the Paying
Agent hereunder shall be in good faith and conclusive absent manifest error.

               SECTION 2.12. Termination and Reduction of Commitments.

<PAGE>
                                                                              23

               (a) Unless previously terminated, the Commitments shall be
automatically terminated on the Termination Date.

               (b) Upon at least three Business Days' prior irrevocable telex or
telecopy notice to the Paying Agent, the Borrower may at any time in whole
permanently terminate, or from time to time in part permanently reduce, the
Total Commitment; provided, however, that (i) each partial reduction of the
Total Commitment shall be in an integral multiple of $5,000,000 and in a minimum
principal amount of $10,000,000 and (ii) no such termination or reduction shall
be made which would reduce the Total Commitment to an amount less than the
aggregate outstanding principal amount of the Competitive Loans.

               (c) Each reduction in the Total Commitment hereunder shall be
made ratably among the Lenders in accordance with their respective Commitments.
The Borrower shall pay to the Paying Agent for the account of the Lenders, on
the date of each termination or reduction of the Commitment, the Facility Fees
on the amount of the Commitments so terminated or reduced accrued through the
date of such termination or reduction.

               SECTION 2.13. Prepayment.

               (a) The Borrower shall have the right at any time and from time
to time to prepay any Standby Borrowing, in whole or in part, upon giving telex
or telecopy notice (or telephone notice promptly confirmed by telex or telecopy
notice) to the Paying Agent: (i) before 10:00 a.m., New York City time, three
Business Days prior to prepayment, in the case of Eurodollar Loans and (ii)
before 10:00 a.m., New York City time, one Business Day prior to prepayment, in
the case of ABR Loans; provided, however, that each partial prepayment shall be
in an amount which is an integral multiple of $5,000,000 and not less than
$10,000,000. The Borrower shall not have the right to prepay any Competitive
Borrowing.

               (b) On the date of any termination or reduction of the
Commitments pursuant to Section 2.12, the Borrower shall pay or prepay so much
of the Standby Borrowings as shall be necessary in order that the aggregate
principal amount of the Competitive Loans and Standby Loans outstanding will not
exceed the Total Commitment, after giving effect to such termination or
reduction; provided that the Borrower shall not be required hereby to repay
Standby Loans on the Termination Date if the Maturity Date has been extended
pursuant to Section 2.07.

               (c) Each notice of prepayment from the Borrower shall specify the
prepayment date and the principal amount of each Borrowing (or portion thereof)
to be prepaid, shall be irrevocable and shall commit the Borrower to prepay such
Borrowing (or portion thereof) by the amount stated therein on the date stated
therein. All prepayments under this Section 2.13 shall be subject to Section
2.16 but otherwise without premium or penalty. All prepayments under this
Section 2.13 shall be accompanied by accrued interest on the principal amount
being prepaid to the date of payment.

               SECTION 2.14. Reserve Requirements; Change in Circumstances.

<PAGE>
                                                                              24

               (a) Notwithstanding any other provision herein, if after the date
of this Agreement any change in applicable law or regulation or in the
interpretation or administration thereof by any governmental authority charged
with the interpretation or administration thereof (whether or not having the
force of law) shall result in the imposition, modification or applicability of
any reserve, special deposit or similar requirement against assets or deposits
with or for the account of or credit extended by any Lender, or shall result in
the imposition on such Lender or the London interbank market of any other
condition affecting this Agreement, such Lender's Commitment or any Eurodollar
Loan or Fixed Rate Loan made by such Lender, and the result of any of the
foregoing shall be to increase the cost to such Lender of making or maintaining
any Eurodollar Loan or Fixed Rate Loan or to reduce the amount of any sum
received or receivable by such Lender hereunder (whether of principal, interest
or otherwise) by an amount deemed by such Lender to be material, then the
Borrower will pay to such Lender such additional amount or amounts as will
compensate such Lender for such additional costs incurred or reduction suffered.
Notwithstanding the foregoing, no Lender shall be entitled to request
compensation under this paragraph with respect to any Competitive Loan if the
change giving rise to such request was applicable to such Lender at the time of
submission of the Competitive Bid pursuant to which such Competitive Loan shall
have been made.

               (b) If any Lender shall have determined that the applicability of
any law, rule, regulation or guideline adopted after the date hereof pursuant to
or arising out of the July 1988 report of the Basle Committee on Banking
Regulations and Supervisory Practices entitled "International Convergence of
Capital Measurement and Capital Standards", or the adoption after the date
hereof of any other law, rule, regulation or guideline regarding capital
adequacy, or any change in any of the foregoing or in the interpretation or
administration of any of the foregoing by any governmental authority, central
bank or comparable agency charged with the interpretation or administration
thereof, or compliance by any Lender (or any lending office of such Lender) or
any Lender's holding company with any request or directive regarding capital
adequacy (whether or not having the force of law) of any such authority, central
bank or comparable agency, has or would have the effect of reducing the rate of
return on such Lender's capital or on the capital of such Lender's holding
company, if any, as a consequence of this Agreement, such Lender's Commitment or
the Loans made by such Lender pursuant hereto to a level below that which such
Lender or such Lender's holding company could have achieved but for such
adoption, change or compliance (taking into consideration such Lender's policies
and the policies of such Lender's holding company with respect to capital
adequacy) by an amount deemed by such Lender to be material, then from time to
time the Borrower shall pay to such Lender such additional amount or amounts as
will compensate such Lender or such Lender's holding company for any such
reduction suffered. It is acknowledged that this Agreement is being entered into
by the Lenders on the understanding that the Lenders will not be required to
maintain capital against their Commitments under currently applicable laws,
regulations and regulatory guidelines.

               (c) A certificate of the Lender setting forth such amount or
amounts (including computation of such amount or amounts) as shall be necessary
to compensate the Lender or its holding company as specified in paragraph (a) or
(b) above, as the case may be, shall be delivered to the Borrower and such
amount or amounts may be reviewed by the Borrower.

<PAGE>
                                                                              25

Unless the Borrower disagrees in good faith with the computation of the amount
or amounts in such certificate, the Borrower shall pay to the Lender, within 10
Business Days after receipt by the Borrower of such certificate delivered by the
Lender, the amount shown as due on any such certificate. If the Borrower, after
receipt of any such certificate from the Lender, disagrees with the Lender on
the computation of the amount or amounts owed to the Lender pursuant to
paragraph (a) or (b) above, the Lender and the Borrower shall negotiate in good
faith to promptly resolve such disagreement. In either case, however, the Lender
shall have a duty to mitigate the damages that may arise as a consequence of
paragraph (a) or (b) above to the extent that such mitigation will not, in the
judgment of the Lender, entail any cost or disadvantage to the Lender that the
Lender is not reimbursed or compensated for by the Borrower.

               (d) Failure on the part of any Lender to demand compensation for
any increased costs or reduction in amounts received or receivable or reduction
in return on capital with respect to any period shall not constitute a waiver of
such Lender's right to demand compensation with respect to such period or any
other period. The protection of this Section shall be available to each Lender
regardless of any possible contention of the invalidity or inapplicability of
the law, rule, regulation, guideline or other change or condition which shall
have occurred or been imposed.

               SECTION 2.15. Change in Legality.

               (a) Notwithstanding any other provision herein, if after the date
hereof any change in any law or regulation or in the interpretation thereof by
any Governmental Authority charged with the administration or interpretation
thereof shall make it unlawful for any Lender to make or maintain any Eurodollar
Loan or to give effect to its obligations as contemplated hereby with respect to
any Eurodollar Loan, then, by 30 days' (or such shorter period as shall be
required in order to comply with applicable law) written notice to the Borrower
and to the Paying Agent, such Lender may:

               (i) declare that Eurodollar Loans will not thereafter be made by
        such Lender hereunder, whereupon such Lender shall not submit a
        Competitive Bid in response to a request for Eurodollar Competitive
        Loans and any request by the Borrower for a Eurodollar Standby Borrowing
        shall, as to such Lender only, be deemed a request for an ABR Loan
        unless such declaration shall be subsequently withdrawn; and

               (ii) require that all outstanding Eurodollar Loans made by it be
        converted to ABR Loans, in which event all such Eurodollar Loans shall
        be automatically converted to ABR Loans as of the effective date of such
        notice as provided in paragraph (b) below.

In the event any Lender shall exercise its rights under (i) or (ii) above, all
payments and prepayments of principal which would otherwise have been applied to
repay the Eurodollar Loans that would have been made by such Lender or the
converted Eurodollar Loans of such Lender shall instead be applied to repay the
ABR Loans made by such Lender in lieu of, or resulting from the conversion of,
such Eurodollar Loans.

<PAGE>
                                                                              26

               (b) For purposes of this Section 2.15, a notice to the Borrower
by any Lender shall be effective as to each Eurodollar Loan, if lawful, on the
last day of the Interest Period currently applicable to such Eurodollar Loan; in
all other cases such notice shall be effective on the date of receipt by the
Borrower. Before giving any such notice, such Lender shall designate a different
lending office if such designation will avoid the need for giving such notice
and will not, in the judgment of such Lender, be otherwise disadvantageous to
such Lender.

               SECTION 2.16. Indemnity. The Borrower shall indemnify each Lender
against any out-of-pocket loss or expense which such Lender may sustain or incur
as a consequence of (a) any failure by the Borrower to borrow or to refinance,
convert or continue any Loan hereunder after irrevocable notice of such
borrowing, refinancing, conversion or continuation has been given pursuant to
Section 2.03, 2.04 or 2.05, (b) any payment, prepayment or conversion, or an
assignment required under Section 2.21, of a Eurodollar Loan by the Borrower
required by any other provision of this Agreement or otherwise made or deemed
made on a date other than the last day of the Interest Period, if any,
applicable thereto, (c) any default by the Borrower in payment or prepayment of
the principal amount of any Loan or any part thereof or interest accrued
thereon, as and when due and payable (at the due date thereof, whether by
scheduled maturity, acceleration, irrevocable notice of prepayment or otherwise)
or (d) the occurrence of any Event of Default.

               In the case of a Eurodollar Loan, such out-of-pocket loss or
expense shall be limited to an amount equal to the excess, if any, of (i) such
Lender's cost of obtaining the funds for the Loan being paid, prepaid, converted
or not borrowed, converted or continued (based on the LIBO Rate applicable
thereto) for the period from the date of such payment, prepayment, conversion or
failure to borrow, convert or continue to the last day of the Interest Period
for such Loan (or, in the case of a failure to borrow, convert or continue, the
Interest Period for such Loan which would have commenced on the date of such
failure) over (ii) the amount of interest that would be realized by such Lender
in reemploying the funds so paid, prepaid, converted or not borrowed, converted
or continued for such period or Interest Period, as the case may be. In the case
of an ABR Loan, such out-of-pocket loss or expense shall be limited to an amount
equal to the excess, if any, of (i) such Lender's cost of obtaining the funds
for the ABR Loan being paid, prepaid, converted or not borrowed, converted or
continued for the period from the date of such payment, prepayment, conversion
or failure to borrow, convert or continue to the next Business Day for such ABR
Loan over (ii) the amount of interest that would be realized by such Lender in
reemploying the funds so paid, prepaid, converted or not borrowed, converted or
continued until the next Business Day, as the case may be.

               A certificate of the Lender setting forth such amount or amounts
(including the computation of such amount or amounts) as shall be necessary to
compensate the Lender or its holding company for the out-of-pocket expenses
defined herein shall be delivered to the Borrower and such amount or amounts may
be reviewed by the Borrower. If the Borrower, after receipt of any such
certificate from the Lender, disagrees in good faith with the Lender on the
computation of the amount or amounts owed to the Lender pursuant to this Section
2.16, the Lender and the Borrower shall negotiate in good faith to promptly
resolve such disagreement.

<PAGE>
                                                                              27

               Each Lender shall have a duty to mitigate the damages to such
Lender that may arise as a consequence of clause (a), (b), (c) or (d) above to
the extent that such mitigation will not, in the judgment of such Lender, entail
any cost or disadvantage to such Lender that such Lender is not reimbursed or
compensated for by the Borrower.

               SECTION 2.17. Pro Rata Treatment. Except as required under
Sections 2.11, 2.14, 2.15, 2.16, 2.20, 2.21 and 2.22, each Standby Borrowing,
each payment or prepayment of principal of any Standby Borrowing, each payment
of interest on the Standby Loans, each payment of the Facility Fees and
Utilization Fees, each reduction of the Commitments and each refinancing or
conversion of any Borrowing with a Standby Borrowing of any Type, shall be
allocated pro rata among the Lenders in accordance with their respective
Commitments (or, if such Commitments shall have expired or been terminated, in
accordance with the respective principal amounts of their outstanding Standby
Loans). Each payment of principal of any Competitive Borrowing shall be
allocated pro rata among the Lenders participating in such Borrowing in
accordance with the respective principal amounts of their outstanding
Competitive Loans comprising such Borrowing. Each payment of interest on any
Competitive Borrowing shall be allocated pro rata among the Lenders
participating in such Borrowing in accordance with the respective amounts of
accrued and unpaid interest on their outstanding Competitive Loans comprising
such Borrowing. For purposes of determining the available Commitments of the
Lenders at any time, each outstanding Competitive Borrowing shall be deemed to
have utilized the Commitments of the Lenders (including those Lenders which
shall not have made Loans as part of such Competitive Borrowing) pro rata in
accordance with their respective Commitments. Each Lender agrees that in
computing such Lender's portion of any Borrowing to be made hereunder, the
Paying Agent may, in its discretion, round each Lender's percentage of such
Borrowing to the next higher or lower whole dollar amount.

               SECTION 2.18. Sharing of Setoffs. Each Lender agrees that if it
shall, through the exercise of a right of banker's lien, setoff or counterclaim
against the Borrower, or pursuant to a secured claim under Section 506 of Title
11 of the United States Code or other security or interest arising from, or in
lieu of, such secured claim, received by such Lender under any applicable
bankruptcy, insolvency or other similar law or otherwise, or by any other means,
obtain payment (voluntary or involuntary) in respect of any Standby Loan or
Loans as a result of which the unpaid principal portion of the Standby Loans of
such Lender shall be proportionately less than the unpaid principal portion of
the Standby Loans of any other Lender, it shall be deemed simultaneously to have
purchased from such other Lender at face value, and shall promptly pay to such
other Lender the purchase price for, a participation in the Standby Loans of
such other Lender, so that the aggregate unpaid principal amount of the Standby
Loans and participations in the Standby Loans held by each Lender shall be in
the same proportion to the aggregate unpaid principal amount of all Standby
Loans then outstanding as the principal amount of its Standby Loans prior to
such exercise of banker's lien, setoff or counterclaim or other event was to the
principal amount of all Standby Loans outstanding prior to such exercise of
banker's lien, setoff or counterclaim or other event; provided, however, that,
if any such purchase or purchases or adjustments shall be made pursuant to this
Section 2.18 and the payment giving rise thereto shall thereafter be recovered,
such purchase or purchases or adjustments shall be rescinded to the extent of
such recovery and the purchase price or prices or adjustment restored

<PAGE>
                                                                              28

without interest. The Borrower expressly consents to the foregoing arrangements
and agrees that any Lender holding a participation in a Standby Loan deemed to
have been so purchased may exercise any and all rights of banker's lien, setoff
or counterclaim with respect to any and all moneys owing by the Borrower to such
Lender by reason thereof as fully as if such Lender had made a Standby Loan
directly to the Borrower in the amount of such participation.

               SECTION 2.19. Payments.

               (a) The Borrower shall make each payment (including principal of
or interest on any Borrowing or any Fees or other amounts) due hereunder from an
account in the United States not later than 12:00 noon, New York City time, on
the date when due in dollars to the Paying Agent at its offices at 270 Park
Avenue, New York, New York, in immediately available funds.

               (b) Whenever any payment (including principal of or interest on
any Borrowing or any Fees or other amounts) hereunder shall become due, or
otherwise would occur, on a day that is not a Business Day, such payment may be
made on the next succeeding Business Day, and such extension of time shall in
such case be included in the computation of interest or Fees or other amounts,
if applicable.

               SECTION 2.20. Taxes.

               (a) Any and all payments by the Borrower hereunder shall be made,
in accordance with Section 2.19, free and clear of and without deduction for any
and all present or future taxes, levies, imposts, deductions, charges or
withholdings, and all liabilities with respect thereto imposed by the United
States or any political subdivision or taxing authority thereof, excluding taxes
imposed on the Paying Agent or any Lender's (or any transferee's or assignee's,
including a participation holder's (any such entity a "Transferee")) net income
and franchise taxes imposed on the Paying Agent or any Lender (or Transferee) by
the United States or any political subdivision or taxing authority thereof (all
such nonexcluded taxes, levies, imposts, deductions, charges, withholdings and
liabilities being hereinafter referred to as "Taxes"). If the Borrower shall be
required by law to deduct any Taxes from or in respect of any sum payable
hereunder to any Lender (or any Transferee) or the Paying Agent, (i) the sum
payable shall be increased by the amount necessary so that after making all
required deductions (including deductions applicable to additional sums payable
under this Section 2.20) such Lender (or Transferee) or the Paying Agent (as the
case may be) shall receive an amount equal to the sum it would have received had
no such deductions been made, (ii) the Borrower shall make such deductions and
(iii) the Borrower shall pay the full amount deducted to the relevant taxing
authority or other Governmental Authority in accordance with applicable law.

               (b) In addition, the Borrower agrees to pay any present or future
stamp or documentary taxes or any other excise or property taxes, charges or
similar levies which arise from any payment made hereunder or from the
execution, delivery or registration of, or otherwise with respect to, this
Agreement imposed by the United States or any political subdivision or taxing
authority thereof (hereinafter referred to as "Other Taxes").

<PAGE>
                                                                              29

               (c) The Borrower will indemnify each Lender (or Transferee) and
the Paying Agent for the full amount of Taxes and Other Taxes (including any
Taxes or Other Taxes on amounts payable under this Section 2.20) paid by such
Lender (or Transferee) or the Paying Agent, as the case may be, with respect to
the Borrower and any liability (including penalties, interest and reasonable
out-of-pocket expenses) arising therefrom or with respect thereto (other than
any such liability that results from the negligence or willful misconduct of the
Lender (or Transferee) or the Paying Agent), whether or not such Taxes or Other
Taxes were correctly or legally asserted by the relevant taxing authority or
other Governmental Authority. Such indemnification shall be made within 30 days
after the date any Lender (or Transferee) or the Paying Agent, as the case may
be, makes written demand therefor. If the Borrower or any Lender (or Transferee)
or the Paying Agent shall determine that Taxes or Other Taxes may not have been
correctly or legally assessed by the relevant taxing authority or other
Governmental Authority, and that a Lender (or Transferee) or the Paying Agent
may be entitled to receive a refund in respect of Taxes or Other Taxes, it shall
promptly notify the other party of the availability of such refund and such
Lender (or Transferee) or the Paying Agent shall, within 30 days after receipt
of a request by the Borrower, apply for such refund at the Borrower's expense.
If any Lender (or Transferee) or the Paying Agent receives a refund or credit or
offset against another tax liability in respect of any Taxes or Other Taxes for
which such Lender (or Transferee) or the Paying Agent has received payment from
the Borrower hereunder it shall promptly repay such refund or credit or offset
against another tax liability (including any interest received by such Lender
(or Transferee) or the Paying Agent from the taxing authority with respect to
the refund with respect to such Taxes or Other Taxes) to the Borrower, net of
all out-of-pocket expenses of such Lender; provided that the Borrower, upon the
request of such Lender (or Transferee) or the Paying Agent, agrees to return
such refund or credit or offset against another tax liability (plus penalties,
interest or other charges) to such Lender (or Transferee) or the Paying Agent in
the event such Lender (or Transferee) or the Paying Agent is required to repay
such refund or credit or offset against another tax liability. For purposes of
the preceding sentence, the Paying Agent or any Lender shall determine in good
faith and in its discretion the amount of any credit or offset against another
tax liability and shall be under no obligation to make available to the Borrower
any of its tax returns or any other information that it deems to be
confidential.

               (d) As soon as practicable after the date of any payment of Taxes
or Other Taxes withheld by the Borrower in respect of any payment to any Lender
(or Transferee) or the Paying Agent, the Borrower will furnish to the Paying
Agent, at its address referred to in Section 9.01, the original or a certified
copy of a receipt evidencing payment thereof.

               (e) Without prejudice to the survival of any other agreement
contained herein, the agreements and obligations contained in this Section 2.20
shall survive the payment in full of the principal of and interest on all Loans
made hereunder.

               (f) Each Lender (or Transferee) which is organized outside the
United States shall, prior to the due date of the first payment by the Borrower
to such Lender (or Transferee) hereunder, deliver to the Borrower such
certificates, documents or other evidence, as required by the Code or Treasury
Regulations issued pursuant thereto, including Internal Revenue Service

<PAGE>
                                                                              30

Form W-8BEN or Form W-8ECI, or any successor or other form prescribed by the
Internal Revenue Service properly completed and duly executed by such Lender (or
Transferee) establishing that such payment is (i) not subject to withholding
under the Code because such payment is effectively connected with the conduct by
such Lender (or Transferee) of a trade or business in the United States or (ii)
totally exempt from United States tax under a provision of an applicable tax
treaty. Each such Lender (or Transferee) that changes its funding office shall
promptly notify the Borrower of such change and, upon written request from the
Borrower, shall deliver any new certificates, documents or other evidence
required pursuant to the preceding sentence prior to the immediately following
due date of any payment by the Borrower hereunder. Unless the Borrower and the
Paying Agent have received forms or other documents satisfactory to them
indicating that payments hereunder are not subject to United States withholding
tax, notwithstanding paragraph (a), the Borrower or the Paying Agent shall
withhold taxes from such payments at the applicable statutory rate in the case
of payments to or for any Lender (or Transferee) organized under the laws of a
jurisdiction outside the United States.

               (g) The Borrower shall not be required to pay any additional
amounts to any Lender (or Transferee) in respect of Taxes and Other Taxes
pursuant to paragraphs (a), (b) and (c) above if the obligation to pay such
additional amounts would not have arisen but for a failure by such Lender (or
Transferee) to comply with the provisions of paragraph (f) above unless such
Lender (or Transferee) is unable to comply with paragraph (f) because of (i) a
change in applicable law, regulation or official interpretation thereof or (ii)
an amendment, modification or revocation of any applicable tax treaty or a
change in official position regarding the application or interpretation thereof,
in each case after the date hereof (and, in the case of a Transferee, after the
date of assignment or transfer).

               (h) Any Lender (or Transferee) claiming any additional amounts
payable under this Section 2.20 shall (i) to the extent legally able to do so,
upon written request from the Borrower, file any certificate or document if such
filing would avoid the need for or reduce the amount of any such additional
amounts which may thereafter accrue, and the Borrower shall not be obligated to
pay such additional amounts if, after the Borrower's request, any Lender (or
Transferee) could have filed such certificate or document and failed to do so;
or (ii) consistent with legal and regulatory restrictions, use reasonable
efforts to change the jurisdiction of its applicable lending office if the
making of such change would avoid the need for or reduce the amount of any
additional amounts which may thereafter accrue and would not, in the sole
determination of such Lender (or Transferee), be otherwise disadvantageous to
such Lender (or Transferee).

               SECTION 2.21. Mandatory Assignment; Commitment Termination. In
the event any Lender delivers to the Paying Agent or the Borrower, as
appropriate, a certificate in accordance with Section 2.14(c) or a notice in
accordance with Section 2.11 or 2.15, or the Borrower is required to pay any
additional amounts or other payments in accordance with Section 2.20, the
Borrower may, at its own expense, and in its sole discretion (a) require such
Lender to transfer and assign in whole or in part, without recourse (in
accordance with Section 9.04), all or part of its interests, rights and
obligations under this Agreement (other than outstanding Competitive Loans) to
an assignee which shall assume such assigned obligations

<PAGE>
                                                                              31

(which assignee may be another Lender, if a Lender accepts such assignment);
provided that (i) such assignment shall not conflict with any law, rule or
regulation or order of any court or other Governmental Authority and (ii) the
Borrower or such assignee shall have paid to the assigning Lender in immediately
available funds the principal of and interest accrued to the date of such
payment on the Loans made by it hereunder and all other amounts owed to it
hereunder or (b) terminate the Commitment of such Lender and prepay all
outstanding Loans (other than Competitive Loans) of such Lender; provided that
(x) such termination of the Commitment of such Lender and prepayment of Loans
does not conflict with any law, rule or regulation or order of any court or
Governmental Authority and (y) the Borrower shall have paid to such Lender in
immediately available funds the principal of and interest accrued to the date of
such payment on the Loans (other than Competitive Loans) made by it hereunder
and all other amounts owed to it hereunder.

               SECTION 2.22. Change of Control. If a Change of Control shall
occur, the Borrower shall, within ten days after the occurrence thereof, give
each Lender notice thereof, which notice shall describe in reasonable detail the
facts and circumstances giving rise thereto and shall specify an Optional
Termination Date for purposes of this Section 2.22 (the "Optional Termination
Date"), which date shall not be less than 30 nor more than 60 days after the
date of such notice. Each Lender may, by notice to the Borrower and the Paying
Agent given not less than three Business Days prior to the Optional Termination
Date, terminate its Commitment (if any), which shall thereupon be terminated,
and declare the Loans held by it (together with accrued interest thereon) and
any other amounts payable hereunder for its account to be, and such Loans and
such other amounts shall thereupon become, due and payable without presentment,
demand, protest or other notice of any kind, all of which are hereby waived by
the Borrower, in each case effective as of the Optional Termination Date. For
purposes of this Section, "Change of Control" shall mean (a) at any time prior
to the Spin-Off, acquisitions of ownership, directly or indirectly, beneficially
or of record, by Persons other than AT&T or wholly owned subsidiaries of AT&T of
issued and outstanding Equity Interests of the Borrower that in the aggregate
represent more than 20% of the aggregate ordinary voting power represented by
the issued and outstanding Equity Interests of the Borrower, and (b) at any time
at or after the Spin-Off, (i) the acquisition of ownership, directly or
indirectly, beneficially or of record, by any Person or group (within the
meaning of the regulations adopted by the SEC under the Exchange Act) of issued
and outstanding Equity Interests of the Borrower representing the greater of (x)
30% of the aggregate ordinary voting power represented by the issued and
outstanding Equity Interests in the Borrower and (y) the aggregate percentage of
such voting power so held by AT&T and its consolidated subsidiaries, taken as a
whole; or (ii) the occupation of a majority of the seats (other than vacant
seats) on the board of directors of the Borrower by Persons who were neither (A)
nominated by the board of directors of the Borrower nor (B) appointed by
directors so nominated.

<PAGE>
                                                                              32

                                  ARTICLE III

                         Representations and Warranties

               The Borrower represents and warrants to each of the Lenders that:

               SECTION 3.01. Organization; Powers. The Borrower (a) is a
corporation duly organized, validly existing and in good standing under the laws
of the jurisdiction of its organization, (b) has all requisite power and
authority to own its property and assets and to carry on its business as now
conducted and as proposed to be conducted, (c) is qualified to do business in
every jurisdiction where such qualification is required, except where the
failure so to qualify would not reasonably be expected to result in a Material
Adverse Effect, and (d) has all requisite corporate power and authority to
execute, deliver and perform its obligations under this Agreement and to borrow
funds hereunder.

               SECTION 3.02. Authorization.

               (a) The execution, delivery and performance by the Borrower of
each Loan Document, the Borrowings hereunder and the use of the proceeds thereof
(i) have been duly authorized by all requisite corporate action and (ii) will
not (A) violate (1) any provision of any law, statute, rule or regulation
(including, without limitation, the Margin Regulations) or of the certificate of
incorporation or other constitutive documents or by-laws of the Borrower, (2)
any order of any Governmental Authority or (3) any provision of any indenture,
agreement or other instrument to which the Borrower is a party or by which the
Borrower or any of its property is or may be bound, (B) be in conflict with,
result in a breach of or constitute (alone or with notice or lapse of time or
both) a default under any such indenture, agreement or other instrument or (iii)
result in the creation or imposition of any Lien upon any property or assets of
the Borrower.

               (b) The Related Transactions (i) were (or will at the time they
occur have been) duly authorized by all requisite corporate action of the
Borrower and (ii) did not or will not, as the case may be, violate (A) any
provision of any law, statute, rule or regulation or of the certificate of
incorporation or other constitutive documents or by-laws of the Borrower, (B)
any order of any Governmental Authority or (C) any provision of any indenture,
agreement or other instrument to which the Borrower is a party or by which the
Borrower or any of its property is or may be bound, in each case where such
violation would reasonably be expected to result in a Material Adverse Effect.

               SECTION 3.03. Enforceability. This Agreement has been, and each
Note when executed and delivered shall be, duly executed and delivered by the
Borrower and this Agreement constitutes, and each Note when executed and
delivered shall constitute, a legal, valid and binding obligation of the
Borrower, in each case enforceable against the Borrower in accordance with its
terms, subject to applicable bankruptcy, insolvency, reorganization, moratorium
or other laws affecting creditors' rights generally and subject to general
principles of equity, regardless of whether considered in a proceeding in equity
or at law.

<PAGE>
                                                                              33

               SECTION 3.04. Governmental Approvals. No action, consent or
approval of, registration or filing with or any other action by any Governmental
Authority is or will be required in connection with the execution, delivery or
performance by the Borrower of any Loan Document, the Borrowings hereunder or
the use of the proceeds thereof or in connection with any performance by the
Borrower of its obligations in connection with the Related Transactions, except
such as have been obtained or made and are in full force and effect or, in the
case of the Related Transactions, such as will be obtained prior to the Spin-Off
or the failure to have obtained which would not reasonably be expected to result
in a Material Adverse Effect.

               SECTION 3.05. Financial Statements.

               (a) The Borrower has heretofore furnished to the Agents and the
Lenders copies of (i) the combined financial statements for the year ended
December 31, 2000 of AT&T Wireless Group, which were included in the Annual
Report on Form 10-K dated April 2, 2001, of AT&T filed with the SEC under the
Exchange Act and (ii) the Borrower's combined financial statements for the nine
months ended September 30, 2001, which were included in the Quarterly Report on
Form 10-Q dated November 7, 2001 of the Borrower filed with the SEC under the
Exchange Act. Such financial statements present fairly, in all material
respects, the consolidated financial condition and the results of operations of
AT&T Wireless Group or the Borrower, as the case may be, as of such dates in
accordance with GAAP.

               (b) As of the date hereof, there has been no material adverse
change since December 31, 2000, in the business, financial condition or results
of operations of the Borrower and its Consolidated Subsidiaries, taken as a
whole.

               SECTION 3.06. Litigation; Compliance with Laws.

               (a) There are no actions or proceedings filed or (to the
knowledge of the Borrower) investigations pending or overtly threatened against
the Borrower in any court or before any Governmental Authority or arbitration
board or tribunal which question the validity or legality of or seek damages in
connection with any Loan Document or any action taken or to be taken pursuant to
any Loan Document and no order or judgment has been issued or entered
restraining or enjoining the Borrower from the execution, delivery or
performance of any Loan Document nor is there any action or proceeding which
involves a probable risk of an adverse determination which would have any such
effect; nor is there as of the date hereof any other action or proceeding filed
or (to the knowledge of the Borrower) investigation pending or overtly
threatened against the Borrower in any court or before any Governmental
Authority or arbitration board or tribunal which involves a probable risk of a
material adverse decision which would reasonably be expected to result in a
Material Adverse Effect or materially to restrict the ability of the Borrower to
comply with its obligations under any Loan Document.

               (b) Neither the Borrower nor any of its Subsidiaries is in
violation of any law, rule or regulation, or in default with respect to any
judgment, writ, injunction or decree of any Governmental Authority, where such
violation or default would reasonably be expected to result in a Material
Adverse Effect.

<PAGE>
                                                                              34

               SECTION 3.07. Federal Reserve Regulations.

               (a) Neither the Borrower nor any of its Subsidiaries is engaged
principally, or as one of its important activities, in the business of extending
credit for the purpose of purchasing or carrying Margin Stock.

               (b) No part of the proceeds of any Loan will be used, whether
directly or indirectly, and whether immediately, incidentally or ultimately, for
any purpose which entails a violation of, or which is inconsistent with, the
provisions of the Margin Regulations.

               SECTION 3.08. Investment Company Act; Public Utility Holding
Company Act. Neither the Borrower nor any of its Subsidiaries is (a) an
"investment company" as defined in, or subject to regulation under, the
Investment Company Act of 1940 or (b) a "holding company" as defined in, or
subject to regulation under, the Public Utility Holding Company Act of 1935.

               SECTION 3.09. Use of Proceeds. All proceeds of the Loans shall be
used for working capital and other general corporate purposes, including capital
and other expenditures in connection with the build-out and operation of the
Borrower's wireless system and the provision of liquidity in connection with any
commercial paper program of the Borrower.

               SECTION 3.10. No Material Misstatements. No report, financial
statement or other written information furnished by or on behalf of the Borrower
to any Agent or any Lender pursuant to Section 3.05 or Section 5.02 hereof
contains or will contain any material misstatement of fact or omits or will omit
to state any material fact necessary to make the statements therein, taken as a
whole, in the light of the circumstances under which they were or will be made,
not misleading.

               SECTION 3.11. Tax Returns. Each of the Borrower and its
Subsidiaries has timely filed or caused to be filed all tax returns and reports
required to have been filed and has paid or caused to be paid all Taxes required
to have been paid by it, except (a) any Taxes that are being contested in good
faith by appropriate proceedings and for which the Borrower or such Subsidiary,
as applicable, has set aside on its books adequate reserves or (b) to the extent
that the failure to do so would not reasonably be expected to result in a
Material Adverse Effect.

               SECTION 3.12. ERISA. No ERISA Event has occurred or is reasonably
expected to occur that, when taken together with all other ERISA Events that
have occurred or are reasonably expected to occur, would reasonably be expected
to result in a Material Adverse Effect.

               SECTION 3.13. Environmental Matters. Except with respect to any
matters that, individually or in the aggregate, would not reasonably be expected
to result in a Material Adverse Effect, none of the Borrower and its
Subsidiaries (a) has failed to comply with any Environmental Laws or to obtain,
maintain or comply with any permit, license or other approval required under any
Environmental Laws, (b) has become subject to any liability under any
Environmental Laws, (c) has received notice of any claim with respect to any
Environmental Laws or (d) knows of any basis for any liability under any
Environmental Laws.

<PAGE>
                                                                              35

               SECTION 3.14. Contribution. [Intentionally deleted.]

                                   ARTICLE IV

                              Conditions of Lending

               The obligations of the Lenders to make Loans hereunder are
subject to the satisfaction of the following conditions:

               SECTION 4.01. All Borrowings. On the date of each Borrowing:

               (a) The Paying Agent shall have received a notice of such
        Borrowing as required by Section 2.03 or Section 2.04, as applicable.

               (b) The representations and warranties set forth in Article III
hereof shall be true and correct in all material respects on and as of the date
of such Borrowing with the same effect as though made on and as of such date,
except to the extent such representations and warranties expressly relate to an
earlier date.

               (c) The Borrower shall be in compliance with all the terms and
        provisions set forth herein in all material respects and, at the time of
        and immediately after such Borrowing, no Event of Default or Default
        shall have occurred and be continuing.

Each Borrowing shall be deemed to constitute a representation and warranty by
the Borrower on the date of such Borrowing as to the matters specified in
paragraphs (b) and (c) of this Section 4.01.

               SECTION 4.02. Closing Date. [Intentionally deleted.]

                                   ARTICLE V

                              Affirmative Covenants

               The Borrower covenants and agrees with each Lender and each Agent
that so long as this Agreement shall remain in effect or the principal of or
interest on any Loan, any Fees or any other expenses or amounts payable
hereunder shall be unpaid, unless the Required Lenders shall otherwise consent
in writing:

               SECTION 5.01. Existence; Conduct of Business. The Borrower will
do or cause to be done all things necessary to preserve, renew and keep in full
force and effect its legal existence, and the rights, licenses, permits,
privileges and franchises material to the conduct of business; provided that the
foregoing shall not prohibit any merger, consolidation, liquidation or
dissolution permitted under Section 6.05.

<PAGE>
                                                                              36

               SECTION 5.02. Financial Statements, Reports, etc. The Borrower
will furnish to the Paying Agent for distribution to the Lenders:

               (a) promptly after the filing or sending thereof and in any event
        not later than (i) 105 days after the end of each fiscal year, a copy of
        the Borrower's report on Form 10-K which the Borrower files with the SEC
        for such year and (ii) 15 days after being sent to its public security
        holders, a copy of the Borrower's annual report;

               (b) promptly after the filing thereof, and in any event within 60
        days after the end of each of the first three fiscal quarters during
        each fiscal year, the Borrower's report on Form 10-Q which the Borrower
        files with the SEC for such quarter;

               (c) concurrently with any delivery of information under paragraph
        (a) or (b) above, a certificate of a Financial Officer certifying that
        no Event of Default or Default has occurred, or, if such an Event of
        Default or Default has occurred, specifying the nature and extent
        thereof and any corrective action taken or proposed to be taken with
        respect thereto, and setting forth computations demonstrating that the
        Borrower is in compliance with Sections 6.01, 6.02 and 6.03;

               (d) promptly after the same become publicly available, copies of
        all other reports filed by it with the SEC, or any Governmental
        Authority succeeding to any of or all the functions of the SEC, or
        distributed to its shareholders, as the case may be; and

               (e) promptly after the same become publicly available, notice
        that either or both of the ratings in respect of the Index Debt or the
        Short-Term Debt have changed from the immediately preceding ratings
        previously reported to the Paying Agent by the Borrower.

               Reports required to be delivered pursuant to subsections (a), (b)
and (d) of this Section 5.02 shall be deemed to have been delivered on the date
on which the Borrower posts such reports on the Borrower's website on the
Internet at the website address listed on the signature pages hereof or when
such report is posted on the SEC's website at www.sec.gov; provided that the
Borrower shall deliver paper copies of the reports referred to in subsections
(a), (b) and (d) of this Section 5.02 to any Agent or any Lender who requests
the Borrower to deliver such paper copies until written notice to cease
delivering paper copies is given by such Agent or such Lender; provided further,
that in every instance the Borrower shall provide paper copies of the
certificate required by subsection (c) and the notice required by subsection (e)
to the Paying Agent and each of the Lenders until such time as the Paying Agent
shall provide the Borrower written notice otherwise.

               SECTION 5.03. Records; Inspection Rights. The Borrower will
record, summarize and report all financial information in accordance with GAAP.
The Borrower will, and will cause each of its Significant Subsidiaries to,
permit any representatives designated by the Paying Agent or any Lender, upon
reasonable prior notice, to visit and inspect its properties, to examine and
make extracts from its books and records and to discuss its affairs, finances
and condition with its officers and (with representatives of the Borrower
present) independent accountants, all at such reasonable times and as often as
reasonably requested.

<PAGE>
                                                                              37

               SECTION 5.04. Use of Proceeds. The Borrower will use the proceeds
of the Loans only for the purposes set forth in Section 3.09.

               SECTION 5.05. Notices of Material Events. The Borrower will
furnish to the Paying Agent and each Lender prompt written notice of the
following:

               (a) the occurrence of any Default;

               (b) the filing or commencement of any action, suit or proceeding
        by or before any arbitrator or Governmental Authority against or
        affecting the Borrower or any Affiliate thereof with respect to which
        there is a reasonable possibility of an adverse determination and that,
        if adversely determined, could reasonably be expected to result in a
        Material Adverse Effect; and

               (c) the occurrence of any ERISA Event that, alone or together
        with any other ERISA Events that have occurred, could reasonably be
        expected to result in liability of the Borrower and its Subsidiaries in
        an aggregate amount exceeding $150,000,000.

Each notice delivered under this Section shall be accompanied by a statement of
a Financial Officer of the Borrower setting forth the details of the event or
development requiring such notice and any action taken or proposed to be taken
with respect thereto.

               SECTION 5.06. Payment of Obligations. The Borrower will, and will
cause each of its Subsidiaries to, pay its obligations that, if not paid, could
reasonably be expected to result in a Material Adverse Effect before the same
shall become delinquent or in default, except where (a) the validity or amount
thereof is being contested in good faith by appropriate proceedings, (b) the
Borrower or such Subsidiary has set aside on its books adequate reserves with
respect thereto in accordance with GAAP and (c) the failure to make payment
pending such contest would not reasonably be expected to result in a Material
Adverse Effect.

               SECTION 5.07. Maintenance of Properties; Insurance. The Borrower
will, and will cause each of its Significant Subsidiaries to, (a) keep and
maintain all property material to the conduct of its business in good working
order and condition, ordinary wear and tear excepted, and (b) maintain, with
financially sound and reputable insurance companies, insurance in such amounts
and against such risks as are, taken as a whole, reasonably consistent with
coverages customarily maintained by companies engaged in the same or similar
businesses operating in the same or similar locations.

               SECTION 5.08. Compliance with Laws. The Borrower will, and will
cause each of its Subsidiaries to, comply with all laws, rules, regulations and
orders of any Governmental Authority applicable to it or its property, except
where the failure to do so, individually or in the aggregate, would not
reasonably be expected to result in a Material Adverse Effect.

<PAGE>
                                                                              38

                                   ARTICLE VI

                               Negative Covenants

               SECTION 6.01. Limitation on Liens. Neither the Borrower nor any
Subsidiary will create, assume or suffer to exist any Lien on any asset now
owned or hereafter acquired by it securing Indebtedness or any DoCoMo Repurchase
Obligation or arising in connection with any Receivables Securitization
Transaction, except:

               (a) Liens existing on the date of this Agreement securing
        Indebtedness outstanding on the date of this Agreement in an aggregate
        principal or face amount not exceeding $50,000,000;

               (b) any Liens existing on any asset of any Person securing
        Indebtedness at the time such Person becomes a Subsidiary and not
        created in contemplation of such event;

               (c) any Lien on any fixed or capital asset securing Indebtedness
        incurred or assumed for the purpose of financing all or any part of the
        cost of acquiring such asset; provided that such Lien attaches to such
        asset concurrently with or within 180 days of the acquisition thereof;

               (d) any Lien securing Indebtedness on any asset of any Person
        that shall not have been a Subsidiary existing at the time such Person
        is merged or consolidated with or into the Borrower or a Subsidiary and
        not created in contemplation of such event;

               (e) any Lien securing Indebtedness existing on any asset prior to
        the acquisition thereof by the Borrower or a Subsidiary and not created
        in contemplation of such acquisition;

               (f) any Lien arising out of the refinancing, replacement,
        extension, renewal or refunding of any Indebtedness secured by any Lien
        permitted by any of the foregoing clauses of this Section 6.01; provided
        that such Indebtedness is not increased and is not secured by any
        additional assets;

               (g) Liens arising in connection with Receivables Securitization
        Transactions in which the aggregate outstanding principal amount of
        obligations incurred in connection therewith and payable to Persons that
        are not the Borrower or wholly owned Subsidiaries does not exceed
        $1,500,000,000; and

               (h) Liens not otherwise permitted by the foregoing clauses of
        this Section securing Indebtedness or the DoCoMo Repurchase Obligation
        or arising in connection with Receivables Securitization Transactions in
        an aggregate principal or face amount not at any time exceeding the
        lesser of (i) 15% of Consolidated Net Assets less, without duplication,
        the aggregate principal or face amount of Indebtedness of Consolidated
        Subsidiaries permitted under the proviso to Section 6.02(b) and (ii) 10%
        of Consolidated Net Assets.

<PAGE>
                                                                              39

               SECTION 6.02. Limitations on Indebtedness.

               (a) As of the last day of each fiscal quarter, the ratio of
Consolidated Indebtedness of the Borrower and its Consolidated Subsidiaries on
such day to Consolidated Operational EBITDA of the Borrower and its Consolidated
Subsidiaries for the period of four consecutive fiscal quarters ending on such
day shall not exceed 4.0:1.0.

               (b) The Borrower will not permit any Consolidated Subsidiary to
        create, incur, assume or permit to exist any Indebtedness (including,
        solely for purposes of this Section and Section 6.01(h), any Guarantee
        of the DoCoMo Repurchase Obligation) (other than Indebtedness (i) owed
        to the Borrower or any other Consolidated Subsidiary and not assigned or
        pledged by the obligee to any other Person, (ii) Indebtedness incurred
        in connection with a Receivables Securitization Transaction to the
        extent any related Liens are permitted pursuant to Section 6.01 or (iii)
        if the Borrower requests such exclusion, existing at the time such
        Consolidated Subsidiary (not having previously been a Subsidiary) (A)
        becomes a Consolidated Subsidiary or (B) is merged or consolidated with
        or into a Consolidated Subsidiary); provided, that Consolidated
        Subsidiaries may create, incur, assume or permit to exist Indebtedness
        not permitted by the foregoing provisions of this Section in an
        aggregate principal or face amount not greater than 15% of Consolidated
        Net Assets (excluding any amount of such Consolidated Net Assets
        attributable to any Consolidated Subsidiary whose Indebtedness is
        excluded under clause (ii) of the parenthetical above) less, without
        duplication, the aggregate principal or face amount of Indebtedness and
        the DoCoMo Repurchase Obligation secured by Liens, and the Receivables
        Securitization Transactions, permitted under Section 6.01(h).

               SECTION 6.03. Interest Coverage Test. The ratio of Consolidated
Operational EBITDA of the Borrower and its Consolidated Subsidiaries to
Consolidated Interest Expense of the Borrower and its Consolidated Subsidiaries
for any period of four consecutive fiscal quarters shall equal or exceed
3.5:1.0.

               SECTION 6.04. Payment of Dividends. [Intentionally deleted.]

               SECTION 6.05. Consolidations, Mergers and Sales of Assets.
Nothing contained in this Agreement shall prevent any consolidation of the
Borrower with, or merger of the Borrower into, another corporation or
corporations (whether or not affiliated with the Borrower), or successive
consolidations or mergers to which the Borrower or its successor or successors
shall be a party or parties, or shall prevent any sale or conveyance of the
property of the Borrower (including stock of Subsidiaries) as an entirety or
substantially as an entirety to any other corporation (whether or not affiliated
with the Borrower) authorized to acquire and own or operate the same; provided,
however, that the Borrower hereby covenants and agrees that, upon any such
consolidation, merger, sale or conveyance, the due and punctual payment of the
principal of and interest on all the Loans and the due and punctual performance
and observance of all the covenants and conditions of this Agreement to be
performed or observed by the Borrower shall be expressly assumed, by one or more
agreements, reasonably satisfactory in form to the Required Lenders, executed
and delivered to the Paying Agent by the corporation formed by such
consolidation, or into which the Borrower shall have been merged, or which

<PAGE>
                                                                              40

shall have acquired such property. In the case of any such consolidation,
merger, sale or conveyance, and following such an assumption by the successor
corporation, such successor corporation shall succeed to and be substituted for
the Borrower, with the same effect as if it had been named herein.

                                  ARTICLE VII

                                Events of Default

               In case of the happening of any of the following events (each an
"Event of Default"):

               (a) any representation or warranty made or deemed made in or in
        connection with the execution and delivery of this Agreement or the
        Borrowings hereunder, shall prove to have been false or misleading in
        any material respect when so made, deemed made or furnished;

               (b) default shall be made in the payment of any principal of any
        Loan when and as the same shall become due and payable, whether at the
        due date thereof or at a date fixed for prepayment thereof or by
        acceleration thereof or otherwise;

               (c) default shall be made in the payment of any interest on any
        Loan or any Fee or any other amount (other than an amount referred to in
        paragraph (b) above) due hereunder, when and as the same shall become
        due and payable, and such default shall continue unremedied for a period
        of ten days;

               (d) default shall be made in the due observance or performance of
        any covenant, condition or agreement contained in Section 5.01, 5.04,
        5.05 or Article VI;

               (e) default shall be made in the due observance or performance of
        any covenant, condition or agreement contained herein (other than those
        specified in (b), (c) or (d) above) and such default shall continue
        unremedied for a period of 30 days after notice thereof from the Paying
        Agent or any Lender to the Borrower;

               (f) a court or governmental agency having jurisdiction in the
        premises shall enter a decree or order for relief in respect of the
        Borrower in an involuntary case under any applicable bankruptcy,
        insolvency or other similar law now or hereafter in effect, or
        appointing a receiver, liquidator, assignee, custodian, trustee,
        sequestrator (or similar official) of the Borrower or for any
        substantial part of its property or ordering the winding up or
        liquidation of its affairs, and such decree or order shall remain
        unstayed and in effect for a period of 30 consecutive days;

               (g) the Borrower shall commence a voluntary case under any
        applicable bankruptcy, insolvency or other similar law now or hereafter
        in effect, or consent to the entry of an order for relief in an
        involuntary case under any such law; or consent to the

<PAGE>
                                                                              41

        appointment or taking possession by a receiver, liquidator, assignee,
        custodian, trustee, sequestrator (or similar official) of the Borrower
        or for any substantial part of its property or make any general
        assignment for the benefit of creditors; or the Borrower shall admit in
        writing its inability to pay its debts generally as they become due, or
        corporate action shall be taken by the Borrower in furtherance of any of
        the aforesaid purposes;

               (h) the failure by the Borrower or any Subsidiary to make
        payments in respect of Material Financial Obligations when due or within
        any applicable grace period; or the occurrence of any event or condition
        that results in the acceleration of the maturity of Material
        Indebtedness;

               (i) one or more judgments for the payment of money in an
        aggregate amount in excess of $150,000,000 shall be rendered against the
        Borrower, any Significant Subsidiary or any combination thereof and the
        same shall remain undischarged for a period of 30 consecutive days
        during which execution shall not be effectively stayed, or any action
        shall be legally taken by a judgment creditor to attach or levy upon any
        assets of the Borrower or any Significant Subsidiary to enforce any such
        judgment;

               (j) an ERISA Event shall have occurred that, when taken together
        with all other ERISA Events that have occurred, would reasonably be
        expected to result in a liability of the Borrower and its Subsidiaries
        in an aggregate amount exceeding $150,000,000;

               (k) the Spin-Off shall be consummated (i) absent a favorable
        ruling by the Internal Revenue Service that the Spin-Off qualifies in
        all material respects as a tax free transaction or an unqualified tax
        opinion of Wachtell, Lipton, Rosen & Katz, based on customary
        representations, that the Spin-Off will qualify in all material respects
        as a tax free transaction, or (ii) if, after giving effect thereto and
        to all repayments, discharges, cancellations and incurrences of
        intercompany obligations and other transactions which occur in
        connection therewith, the Borrower is not in pro forma compliance with
        Sections 6.02 and 6.03 of this Agreement as at and for the four
        consecutive fiscal quarters ending on the last day of the most recent
        fiscal quarter for which financial statements for the Borrower and its
        Consolidated Subsidiaries have been delivered under Section 5.02(a) or
        (b), determined as if the Spin-Off and any such repayments, discharges,
        cancellations, incurrences and other transactions occurred as of the
        first day of such four fiscal quarter period; or

               (l) the existence of any DoCoMo Repurchase Obligation, unless the
        Borrower is in pro forma compliance with Sections 6.02 and 6.03 of this
        Agreement (with such DoCoMo Repurchase Obligation being treated for
        purposes of testing such pro forma compliance as Indebtedness) as at and
        for the four consecutive fiscal quarters ending on the last day of the
        most recent fiscal quarter for which financial statements for the
        Borrower and its Consolidated Subsidiaries have been delivered under
        Section 5.02(a) or (b), determined as if such DoCoMo Repurchase
        Obligation, any payment that shall have been made in respect thereof and
        any related incurrence of Indebtedness had occurred as of the first day
        of such four fiscal quarter period;

<PAGE>
                                       42

then, and in every such event (other than an event described in paragraph (f) or
(g) above), and at any time thereafter during the continuance of such event, the
Paying Agent, at the request of the Required Lenders, shall, by notice to the
Borrower, take either or both of the following actions, at the same or different
times: (i) terminate forthwith the Commitments and (ii) declare the Loans then
outstanding to be forthwith due and payable in whole or in part, whereupon the
principal of the Loans so declared to be due and payable, together with accrued
interest thereon and any unpaid accrued Fees and all other liabilities of the
Borrower accrued hereunder, shall become forthwith due and payable, without
presentment, demand, protest or any other notice of any kind, all of which are
hereby expressly waived by the Borrower, anything contained herein to the
contrary notwithstanding; and, in any event with respect to the Borrower
described in paragraph (f) or (g) above, the Commitments shall automatically
terminate and the principal of the Loans then outstanding, together with accrued
interest thereon and any unpaid accrued Fees and all other liabilities of the
Borrower accrued hereunder, shall automatically become due and payable, without
presentment, demand, protest or any other notice of any kind, all of which are
hereby expressly waived by the Borrower, anything contained herein to the
contrary notwithstanding.

                                  ARTICLE VIII

                                   The Agents

               In order to expedite the transactions contemplated by this
Agreement, JPMCB is hereby appointed to act as Paying Agent on behalf of the
Lenders, and JPMCB and Bank of America, N.A. are hereby appointed to act as
Administrative Agents on behalf of the Lenders. Each of the Lenders hereby
authorizes each Agent to take such actions on behalf of such Lender and to
exercise such powers as are specifically delegated to such Agent by the terms
and provisions hereof, together with such actions and powers as are reasonably
incidental thereto. The Paying Agent is hereby expressly authorized by the
Lenders, without hereby limiting any implied authority, (a) to receive on behalf
of the Lenders all payments of principal of and interest on the Loans and all
other amounts due to the Lenders hereunder, and promptly to distribute to each
Lender its proper share of each payment so received; (b) to give notice on
behalf of each of the Lenders to the Borrower of any Event of Default specified
in this Agreement of which the Paying Agent has actual knowledge acquired in
connection with its agency hereunder; and (c) to distribute to each Lender
copies of all notices, financial statements and other materials delivered by the
Borrower pursuant to this Agreement as received by the Paying Agent. It is
understood that the Agents shall not have any duties or obligations except those
expressly set forth herein.

               Neither any Agent nor any of its directors, officers, employees
or agents shall be liable as such for any action taken or omitted by any of them
except for its or his own gross negligence or willful misconduct, or be
responsible for any statement, warranty or representation herein or the contents
of any document delivered in connection herewith, or be required to ascertain or
to make any inquiry concerning the performance or observance by the Borrower of
any of the terms, conditions, covenants or agreements contained in this
Agreement. No Agent shall be responsible to the Lenders for the due execution,
genuineness, validity, enforceability or effectiveness of this Agreement or
other instruments or agreements. Each Agent may deem and

<PAGE>
                                                                              43

treat the Lender which makes any Loan as the holder of the indebtedness
resulting therefrom for all purposes hereof until, in the case of the Paying
Agent, the Paying Agent shall have received notice from such Lender or, in the
case of any other Agent, such Agent shall have received notice from the Paying
Agent that it received such notice from such Lender, in each case, given as
provided herein, of the transfer thereof. Each Agent shall in all cases be fully
protected in acting, or refraining from acting, in accordance with written
instructions signed by the Required Lenders (or when expressly required hereby,
all the Lenders) and, except as otherwise specifically provided herein, such
instructions and any action or inaction pursuant thereto shall be binding on all
the Lenders. Each Agent shall, in the absence of knowledge to the contrary, be
entitled to rely on any instrument or document believed by it in good faith to
be genuine and correct and to have been signed or sent by the proper person or
persons. Neither any Agent nor any of its directors, officers, employees or
agents shall have any responsibility to the Borrower on account of the failure
of or delay in performance or breach by any Lender of any of its obligations
hereunder or to any Lender on account of the failure of or delay in performance
or breach by any other Lender or the Borrower of any of their respective
obligations hereunder or in connection herewith. Each Agent may execute any and
all duties hereunder by or through agents appointed in good faith by such Agent
or employees of any thereof and shall be entitled to rely upon the advice of
legal counsel selected by it with respect to all matters arising hereunder and
shall not be liable for any action taken or suffered in good faith by it in
accordance with the advice of such counsel.

               The Lenders hereby acknowledge that each Agent shall be under no
duty to take any discretionary action permitted to be taken by it pursuant to
the provisions of this Agreement unless it shall be requested in writing to do
so by the Required Lenders.

               Subject to the appointment and acceptance of a successor Paying
Agent as provided below, any Agent may resign at any time by notifying the
Lenders and the Borrower. Upon any such resignation of the Paying Agent, the
Required Lenders shall have the right to appoint a successor Paying Agent
acceptable to the Borrower. If no successor shall have been so appointed by the
Required Lenders and shall have accepted such appointment within 30 days after
the retiring Paying Agent gives notice of its resignation, then the retiring
Paying Agent may, on behalf of the Lenders, appoint a successor Paying Agent
which shall be a bank with an office in New York, New York, having a combined
capital and surplus of at least $500,000,000 or an Affiliate of any such bank.
Upon the acceptance of any appointment as a Paying Agent hereunder by a
successor bank, such successor shall succeed to and become vested with all the
rights, powers, privileges and duties of the retiring Paying Agent and the
retiring Paying Agent shall be discharged from its duties and obligations
hereunder. After any Agent's resignation hereunder, the provisions of this
Article and Section 9.05 shall continue in effect for its benefit in respect of
any actions taken or omitted to be taken by it while it was acting as an Agent.

               With respect to the Loans made by it hereunder, any Agent in its
individual capacity and not as an Agent shall have the same rights and powers as
any other Lender and may exercise the same as though it were not an Agent, and
each Agent and its Affiliates may accept deposits from, lend money to and
generally engage in any kind of business with the Borrower or any Subsidiary or
other Affiliate thereof as if it were not an Agent.

<PAGE>
                                                                              44

               Each Lender agrees (i) to reimburse the Paying Agent, on demand,
in the amount of its pro rata share (based on its Commitment hereunder) of any
expenses incurred for the benefit of the Lenders by such Agent, including
reasonable counsel fees and compensation of agents and employees paid for
services rendered on behalf of the Lenders, which shall not have been reimbursed
by the Borrower, and (ii) to indemnify and hold harmless each Agent and any of
its directors, officers, employees or agents, on demand, in the amount of such
pro rata share, from and against any and all liabilities, taxes, obligations,
losses, damages, penalties, actions, judgments, suits, costs, expenses or
disbursements of any kind or nature whatsoever which may be imposed on, incurred
by or asserted against it in its capacity as an Agent or any of them in any way
relating to or arising out of this Agreement or any action taken or omitted by
it or any of them under this Agreement to the extent the same shall not have
been reimbursed by the Borrower; provided that no Lender shall be liable to any
Agent for any portion of such liabilities, obligations, losses, damages,
penalties, actions, judgments, suits, costs, expenses or disbursements resulting
from the gross negligence or willful misconduct of such Agent or any of its
directors, officers, employees or agents.

               Each Lender acknowledges that it has, independently and without
reliance upon any Agent or any other Lender and based on such documents and
information as it has deemed appropriate, made its own credit analysis and
decision to enter into this Agreement. Each Lender also acknowledges that it
will, independently and without reliance upon any Agent or any other Lender and
based on such documents and information as it shall from time to time deem
appropriate, continue to make its own decisions in taking or not taking action
under or based upon this Agreement or any related agreement or any document
furnished hereunder or thereunder.

               Each of the Borrower and its Subsidiaries and the Lenders
acknowledges that Merrill Lynch Capital Corporation and Citibank, N.A. have no
responsibilities or obligations pursuant to this Agreement in their capacity as
syndication agents.

                                   ARTICLE IX

                                  Miscellaneous

               SECTION 9.01. Notices. Notices and other communications provided
for herein shall be in writing and shall be delivered by hand or overnight
courier service, mailed or sent by telex, telecopy, graphic scanning or other
telegraphic communications equipment of the sending party, as follows:

               (a) if to the Borrower, to it at AT&T Wireless Services, Inc., if
        by courier, to 7277 164th Avenue NE-Bldg 1, Redmond, Washington 98052,
        and if by mail, to P.O. Box 97061, Redmond, Washington 98073-9761,
        Attention of Timothy L. McLaughlin, Vice President and Controller
        (Facsimile No. 425-580-8470) and Gregory P. Landis, Senior Vice
        President and General Counsel (Facsimile No. 425-580-8333), with a copy
        to Davis Polk & Wardwell, 450 Lexington Avenue, New York, New York
        10017, Attention of Peter S. W. Levin (Facsimile No. 212-450-4800);

<PAGE>
                                                                              45

               (b) if to the Paying Agent, to it at 270 Park Avenue, New York,
        New York 10017, Attention of Constance Coleman (Facsimile No.
        212-270-4584) with a copy to Ganesh Persaud (Facsimile No.
        212-552-5700), Loan & Agency Services, JPMorgan Chase Bank, 1 Chase
        Plaza, 8th Floor, New York, New York 10081;

               (c) if to an Administrative Agent, to it at its address (or
        telecopy number) set forth in Schedule 2.01; and

               (d) if to a Lender, to it at its address (or telecopy number) set
        forth in Schedule 2.01 or in the Assignment and Acceptance pursuant to
        which such Lender became a party hereto.

All notices and other communications given to any party hereto in accordance
with the provisions of this Agreement shall be deemed to have been given on the
date of receipt if delivered by hand or overnight courier service or sent by
telex, telecopy, graphic scanning or other telegraphic communications equipment
of the sender, or on the date five Business Days after dispatch by certified or
registered mail if mailed, in each case delivered, sent or mailed (properly
addressed) to such party as provided in this Section 9.01 or in accordance with
the latest unrevoked direction from such party given in accordance with this
Section 9.01.

               SECTION 9.02. Survival of Agreement. All covenants, agreements,
representations and warranties made by the Borrower herein and in the
certificates or other instruments prepared or delivered in connection with or
pursuant to this Agreement shall be considered to have been relied upon by the
Lenders and shall survive the making by the Lenders of the Loans regardless of
any investigation made by the Lenders or on their behalf, and shall continue in
full force and effect as long as the principal of or any accrued interest on any
Loan or any Fee or any other amount payable under this Agreement is outstanding
and unpaid and so long as the Commitments have not been terminated.

               SECTION 9.03. Binding Effect. This Agreement shall become
effective as provided in the Amendment and Restatement and thereafter shall be
binding upon and inure to the benefit of the Borrower, each Agent and each
Lender and their respective successors and assigns, except that the Borrower
shall not have the right to assign its respective rights or duties hereunder or
any interest herein without the prior consent of all the Lenders and any
attempted assignment without such consent shall be void.

               SECTION 9.04. Successors and Assigns.

               (a) Whenever in this Agreement any of the parties hereto is
referred to, such reference shall be deemed to include the successors and
assigns of such party; and all covenants, promises and agreements by or on
behalf of the Borrower, the Agents or the Lenders that are contained in this
Agreement shall bind and inure to the benefit of their respective successors and
assigns.

               (b) Each Lender may assign to one or more assignees all or a
portion of its interests, rights and obligations under this Agreement (including
all or a portion of its

<PAGE>
                                                                              46

Commitment and the Loans at the time owing to it); provided, however, that (i)
except in the case of an assignment to an Affiliate of such Lender, the Borrower
must give its prior written consent to such assignment (which consent shall not
be unreasonably withheld), (ii) in the case of an assignment made by a Lender to
a Person other than a Lender or an Affiliate of a Lender, the amount of the
Commitment of the assigning Lender subject to each such assignment (determined
as of the date the Assignment and Acceptance with respect to such assignment is
delivered to the Paying Agent) shall not be less than $15,000,000 (or the
remaining balance of its Commitment) and the amount of the Commitment of such
Lender remaining after such assignment shall not be less than $15,000,000 or
shall be zero, (iii) the parties to each such assignment shall execute and
deliver to the Paying Agent an Assignment and Acceptance, and a processing and
recordation fee of $3,000 and (iv) the assignee, if it shall not be a Lender,
shall deliver to the Paying Agent an Administrative Questionnaire. Upon
acceptance and recording pursuant to paragraph (e) of this Section 9.04, from
and after the effective date specified in each Assignment and Acceptance, which
effective date shall be at least five Business Days after the execution thereof,
(A) the assignee thereunder shall be a party hereto and, to the extent of the
interest assigned by such Assignment and Acceptance, have the rights and
obligations of a Lender under this Agreement, (B) the assigning Lender
thereunder shall, to the extent of the interest assigned by such Assignment and
Acceptance, be released from its obligations under this Agreement (and, in the
case of an Assignment and Acceptance covering all or the remaining portion of an
assigning Lender's rights and obligations under this Agreement, such Lender
shall cease to be a party hereto (but shall continue to be entitled to the
benefits of Sections 2.14, 2.16, 2.20 and 9.05, as well as to any Fees accrued
for its account hereunder and not yet paid)) and (C) Schedule 2.01 shall be
deemed amended to give effect to such assignment. Notwithstanding the foregoing,
any Lender assigning its rights and obligations under this Agreement may retain
any Competitive Loans made by it outstanding at such time, and in such case
shall retain its rights hereunder in respect of any Loans so retained until such
Loans have been repaid in full in accordance with this Agreement.

               (c) By executing and delivering an Assignment and Acceptance, the
assigning Lender thereunder and the assignee thereunder shall be deemed to
confirm to and agree with each other and the other parties hereto as follows:
(i) such assigning Lender warrants that it is the legal and beneficial owner of
the interest being assigned thereby free and clear of any adverse claim, (ii)
except as set forth in (i) above, such assigning Lender makes no representation
or warranty and assumes no responsibility with respect to any statements,
warranties or representations made in or in connection with this Agreement, or
the execution, legality, validity, enforceability, genuineness, sufficiency or
value of this Agreement or any other instrument or document furnished pursuant
hereto or the financial condition of the Borrower or the performance or
observance by the Borrower of any of its obligations under this Agreement or any
other instrument or document furnished pursuant hereto; (iii) such assignee
represents and warrants that it is legally authorized to enter into such
Assignment and Acceptance; (iv) such assignee confirms that it has received a
copy of this Agreement, together with copies of the most recent financial
statements delivered pursuant to Section 5.02 and such other documents and
information as it has deemed appropriate to make its own credit analysis and
decision to enter into such Assignment and Acceptance; (v) such assignee will
independently and without reliance upon any Agent, such assigning Lender or any
other Lender and based on such documents and
<PAGE>
                                                                              47

information as it shall deem appropriate at the time, continue to make its own
credit decisions in taking or not taking action under this Agreement; (vi) such
assignee appoints and authorizes each Agent to take such action as agent on its
behalf and to exercise such powers under this Agreement as are delegated to such
Agent by the terms hereof, together with such powers as are reasonably
incidental thereto; and (vii) such assignee agrees that it will perform in
accordance with their terms all the obligations which by the terms of this
Agreement are required to be performed by it as a Lender.

               (d) The Paying Agent shall maintain at one of its offices in the
City of New York a copy of each Assignment and Acceptance delivered to it and a
register for the recordation of the names and addresses of the Lenders, and the
Commitment of, and the principal amount of the Loans owing to, each Lender
pursuant to the terms hereof from time to time (the "Register"). The entries in
the Register shall be conclusive in the absence of manifest error and the
Borrower, the Agents and the Lenders may treat each person whose name is
recorded in the Register pursuant to the terms hereof as a Lender hereunder for
all purposes of this Agreement. The Register shall be available for inspection
by the Borrower and each Lender, at any reasonable time and from time to time
upon reasonable prior notice.

               (e) Upon its receipt of a duly completed Assignment and
Acceptance executed by an assigning Lender and an assignee together with an
Administrative Questionnaire completed in respect of the assignee (unless the
assignee shall already be a Lender hereunder), the processing and recordation
fee referred to in paragraph (b) above and, if required, the written consent of
the Borrower to such assignment, the Paying Agent shall (i) accept such
Assignment and Acceptance and (ii) record the information contained therein in
the Register.

               (f) Each Lender may, without the consent of the Borrower or any
of the Agents, sell participations to one or more banks or other entities in all
or a portion of its rights and obligations under this Agreement (including all
or a portion of its Commitment and the Loans owing to it); provided, however,
that (i) such Lender's obligations under this Agreement shall remain unchanged,
(ii) such Lender shall remain solely responsible to the other parties hereto for
the performance of such obligations, (iii) each participating bank or other
entity shall be entitled to the benefit of the cost protection provisions
contained in Sections 2.14, 2.16 and 2.20 to the same extent as if it was the
selling Lender, except that all claims and petitions for payment and payments
made pursuant to such Sections shall be made through such selling Lender, and
(iv) the Borrower, the Agents and the other Lenders shall continue to deal
solely and directly with such selling Lender in connection with such Lender's
rights and obligations under this Agreement, and such Lender shall retain the
sole right (and participating banks or other entities shall have no right) to
enforce the obligations of the Borrower relating to the Loans and to approve any
amendment, modification or waiver of any provision of this Agreement (other than
amendments, modifications or waivers decreasing any fees payable hereunder or
the amount of principal of or the rate at which interest is payable on the
Loans, or extending any scheduled principal payment date or date fixed for the
payment of interest on the Loans).

               (g) Any Lender or participant may, in connection with any
assignment or participation or proposed assignment or participation pursuant to
this Section 9.04, disclose to the assignee or participant or proposed assignee
or participant any information relating to the

<PAGE>
                                                                              48

Borrower furnished to such Lender by or on behalf of the Borrower; provided
that, prior to any such disclosure, each such assignee or participant or
proposed assignee or participant shall execute an agreement whereby such
assignee or participant shall agree (subject to customary exceptions) to
preserve the confidentiality of any such confidential information relating to
the Borrower.

               (h) The Borrower shall not assign or delegate any of its
respective rights and duties hereunder without the prior written consent of all
Lenders and any attempted assignment without such consent shall be void.

               (i) Any Lender may at any time pledge all or any portion of its
rights under this Agreement to a Federal Reserve Bank; provided that no such
pledge shall release any Lender from its obligations hereunder or substitute any
such Bank for such Lender as a party hereto. In order to facilitate such an
assignment to a Federal Reserve Bank, the Borrower shall, at the request of the
assigning Lender, duly execute and deliver to the assigning Lender a promissory
note or notes in the form of Exhibit E hereto evidencing the Loans made to the
Borrower by the assigning Lender hereunder.

               SECTION 9.05. Expenses; Indemnity.

               (a) The Borrower agrees to pay all reasonable out-of-pocket
expenses incurred by any Agent in connection with entering into this Agreement
or by the Paying Agent in connection with any amendments, modifications or
waivers of the provisions hereof, or by any Agent or any Lender in connection
with the enforcement or protection of its rights in connection with this
Agreement or the Loans made hereunder, including the reasonable fees and
disbursements of a single counsel for the Agents or, in the case of enforcement
or protection, counsel for the Lenders.

               (b) The Borrower agrees to indemnify the Agents, the Lenders,
their respective Affiliates, and their respective directors, officers, employees
and agents (each such person being called an "Indemnitee") against, and to hold
each Indemnitee harmless from, any and all losses, claims, damages, liabilities
and related expenses, including reasonable counsel fees and expenses, incurred
by or asserted against any Indemnitee arising out of (i) the execution or
delivery of this Agreement or any agreement or instrument contemplated thereby,
the performance by the parties thereto of their respective obligations
thereunder or the consummation of the transactions contemplated thereby, (ii)
the use of the proceeds of the Loans or (iii) any claim, litigation,
investigation or proceeding relating to any of the foregoing, whether or not any
Indemnitee is a party thereto; provided that such indemnity shall not, as to any
Indemnitee, be available to the extent that such losses, claims, damages,
liabilities or related expenses are determined by a court of competent
jurisdiction to have resulted from the gross negligence or willful misconduct of
any Indemnitee.

               (c) The provisions of this Section 9.05 shall remain operative
and in full force and effect regardless of the expiration of the term of this
Agreement, the consummation of the transactions contemplated hereby, the
repayment of any of the Loans, the invalidity or unenforceability of any term or
provision of this Agreement or any investigation made by or on

<PAGE>
                                                                              49

behalf of any Agent or any Lender. All amounts due under this Section 9.05 shall
be payable on written demand therefor.

               (d) All out-of-pocket expenses that any Lender may sustain or
incur as a consequence of (a), (b), (c) or (d) of Section 2.16 but that are not
included in the calculations made pursuant to the second and third sentences of
Section 2.16, shall be included in the amount or amounts payable to such Lender
and in the manner provided pursuant to this Section 9.05.

               SECTION 9.06. Applicable Law. THIS AGREEMENT SHALL BE CONSTRUED
IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK.

               SECTION 9.07. Waivers; Amendment.

               (a) No failure or delay of any Agent or any Lender in exercising
any power or right hereunder shall operate as a waiver thereof, nor shall any
single or partial exercise of any such right or power, or any abandonment or
discontinuance of steps to enforce such a right or power, preclude any other or
further exercise thereof or the exercise of any other right or power. The rights
and remedies of the Agents and the Lenders hereunder are cumulative and are not
exclusive of any rights or remedies which they would otherwise have. No waiver
of any provision of this Agreement or consent to any departure by the Borrower
therefrom shall in any event be effective unless the same shall be permitted by
paragraph (b) below, and then such waiver or consent shall be effective only in
the specific instance and for the purpose for which given. No notice or demand
on the Borrower in any case shall entitle the Borrower to any other or further
notice or demand in similar or other circumstances.

               (b) Neither this Agreement nor any provision hereof may be
waived, amended or modified except pursuant to an agreement or agreements in
writing entered into by the Borrower and the Required Lenders; provided,
however, that no such agreement shall (i) decrease the principal amount of, or
extend the maturity of or any scheduled principal payment date or date for the
payment of any interest on any Loan, or waive or excuse any such payment or any
part thereof, or decrease the rate of interest on any Loan, without the prior
written consent of each Lender affected thereby, (ii) increase the Commitment or
decrease the Facility Fee of any Lender without the prior written consent of
such Lender, or (iii) amend or modify the provisions of Section 2.17 or Section
9.04(h), the provisions of this Section or the definition of the "Required
Lenders", without the prior written consent of each Lender; provided further,
however, that no such agreement shall amend, modify or otherwise affect the
rights or duties of any Agent hereunder without the prior written consent of
such Agent. Each Lender shall be bound by any waiver, amendment or modification
authorized by this Section and any consent by any Lender pursuant to this
Section shall bind any assignee of its rights and interests hereunder.

               SECTION 9.08. Entire Agreement. This Agreement, any promissory
notes issued hereunder, and the Fee Letter constitute the entire contract among
the parties relative to the subject matter hereof. Any previous agreement among
the parties with respect to the subject matter hereof is superseded by this
Agreement and the Fee Letter. Nothing in this Agreement or the Fee Letter
expressed or implied, is intended to confer upon any party other than the
parties

<PAGE>
                                                                              50

hereto any rights, remedies, obligations or liabilities under or by reason of
this Agreement or the Fee Letter.

               SECTION 9.09. Severability. In the event any one or more of the
provisions contained in this Agreement should be held invalid, illegal or
unenforceable in any respect, the validity, legality and enforceability of the
remaining provisions contained herein shall not in any way be affected or
impaired thereby. The parties shall endeavor in good-faith negotiations to
replace the invalid, illegal or unenforceable provisions with valid provisions
the economic effect of which comes as close as possible to that of the invalid,
illegal or unenforceable provisions.

               SECTION 9.10. Counterparts. This Agreement may be executed in two
or more counterparts, each of which shall constitute an original but all of
which when taken together shall constitute but one contract, and shall become
effective as provided in Section 9.03.

               SECTION 9.11. Headings. Article and Section headings and the
Table of Contents used herein are for convenience of reference only, are not
part of this Agreement and are not to affect the construction of, or to be taken
into consideration in interpreting, this Agreement.

               SECTION 9.12. Jurisdiction, Etc.

               (a) Each of the parties hereto hereby irrevocably and
unconditionally submits, for itself and its property, to the nonexclusive
jurisdiction of any New York State court or Federal court of the United States
of America sitting in New York City, and any appellate court from any thereof,
in any action or proceeding arising out of or relating to this Agreement or for
recognition or enforcement of any judgment, and each of the parties hereto
hereby irrevocably and unconditionally agrees that all claims in respect of any
such action or proceeding may be heard and determined in any such New York State
court or, to the fullest extent permitted by law, in such Federal court. Each of
the parties hereto agrees that a final judgment in any such action or proceeding
shall be conclusive and may be enforced in other jurisdictions by suit on the
judgment or in any other manner provided by law. Nothing in this Agreement shall
affect any right that any party may otherwise have to bring any action or
proceeding relating to this Agreement in the courts of any jurisdiction.

               (b) Each of the parties hereto irrevocably and unconditionally
waives, to the fullest extent it may legally and effectively do so, any
objection that it may now or hereafter have to the laying of venue of any suit,
action or proceeding arising out of or relating to this Agreement in any New
York State or Federal court. Each of the parties hereto hereby irrevocably
waives, to the fullest extent permitted by law, the defense of an inconvenient
forum to the maintenance of such action or proceeding in any such court.

               SECTION 9.13. Waiver of Jury Trial. Each of the Borrower, the
Agents and the Lenders irrevocably waives all right to trial by jury in any
action, proceeding or counterclaim (whether based on contract, tort or
otherwise) arising out of or relating this Agreement or the actions of any Agent
or any Lender in the negotiation, administration, performance or enforcement
thereof.

<PAGE>
                                                                              51

               IN WITNESS WHEREOF, the Borrower, the Agents and the Lenders have
caused this Agreement to be duly executed by their respective authorized
officers as of the day and year first above written.

                                   AT&T WIRELESS SERVICES, INC.,

                                       by
                                          --------------------------------------
                                          Name:
                                          Title:
                                          Website:

                                   JPMORGAN CHASE BANK, individually and as
                                   an Agent,

                                       by
                                          --------------------------------------
                                          Name:
                                          Title:

                                   BANK OF AMERICA, N.A., individually and as an
                                   Agent,

                                       by
                                          --------------------------------------
                                          Name:
                                          Title:

                                   [OTHER BANKS],

                                       by
                                          --------------------------------------
                                          Name:
                                          Title:

<PAGE>
                                                                     EXHIBIT A-1

                         FORM OF COMPETITIVE BID REQUEST

JPMorgan Chase Bank, as Paying Agent
  for the Lenders referred to below,
270 Park Avenue
New York, N.Y. 10017

                                                               Attention: [Date]

Ladies and Gentlemen:

               The undersigned, AT&T Wireless Services, Inc. (the "Borrower"),
refers to the Amended and Restated 364-Day Competitive Advance and Revolving
Credit Facility Agreement dated as of March 19, 2002 (as it may be amended,
modified, extended or restated from time to time, the "Credit Agreement"), among
the Borrower, the Lenders named therein, JPMorgan Chase Bank ("JPMCB") and Bank
of America, N.A., as Administrative Agents, and JPMCB, as Paying Agent.
Capitalized terms used herein and not otherwise defined herein shall have the
meanings assigned to such terms in the Credit Agreement. The Borrower hereby
gives you notice pursuant to Section 2.03(a) of the Credit Agreement that it
requests a Competitive Borrowing under the Credit Agreement, and in that
connection sets forth below the terms on which such Competitive Borrowing is
requested to be made:

               (A)  Date of Competitive Borrowing (which is a Business Day)

               (B)  Principal Amount of Competitive Borrowing(1)

               (C)  Interest rate basis(2)

               (D)  Interest Period and the last day thereof(3)

--------

   (1) Not less than $5,000,000 (and in integral multiples of $1,000,000) or
greater than the Total Commitment then available.

   (2) Eurodollar Loan or Fixed Rate Loan.

   (3) Which shall be subject to the definition of "Interest Period" and end not
later than the Termination Date.

<PAGE>
                                                                               2

               Upon acceptance of any or all of the Loans offered by the Lenders
in response to this request, the Borrower shall be deemed to have represented
and warranted that the conditions to lending specified in Section 4.01(b) and
(c) of the Credit Agreement have been satisfied.

Very truly yours,

AT&T WIRELESS SERVICES, INC.,

    by_______________________________
        Name:
        Title: [Responsible Officer]

<PAGE>
                                                                     EXHIBIT A-3

                    FORM OF NOTICE OF COMPETITIVE BID REQUEST

[Name of Lender]
[Address]

                                                               Attention: [Date]

Ladies and Gentlemen:

               Reference is made to the Amended and Restated 364-Day Competitive
Advance and Revolving Credit Facility Agreement dated as of March 19, 2002 (as
it may be amended, modified, extended or restated from time to time, the "Credit
Agreement"), among AT&T Wireless Services, Inc. (the "Borrower"), the Lenders
named therein, JPMorgan Chase Bank ("JPMCB") and Bank of America, N.A., as
Administrative Agents, and JPMCB, as Paying Agent. Capitalized terms used herein
and not otherwise defined herein shall have the meanings assigned to such terms
in the Credit Agreement. The Borrower made a Competitive Bid Request on [ ],
[2002][2003], pursuant to Section 2.03(a) of the Credit Agreement, and in that
connection you are invited to submit a Competitive Bid by [Date]/[Time].(4) Your
Competitive Bid must comply with Section 2.03(b) of the Credit Agreement and the
terms set forth below on which the Competitive Bid Request was made:

               (A)  Date of Competitive Borrowing

               (B)  Principal amount of Competitive Borrowing

               (C)  Interest rate basis

               (D)  Interest Period and the last day thereof

Very truly yours,

JPMORGAN CHASE BANK, as Paying Agent,

    by_______________________________
        Name:
        Title: [Responsible Officer]

--------

   (4) The Competitive Bid must be received by the Paying Agent (i) in the case
of Eurodollar Loans, not later than 9:30 a.m., New York City time, three
Business Days before a proposed Competitive Borrowing, and (ii) in the case of
Fixed Rate Loans, not later than 9:30 a.m., New York City time, on the Business
Day of a proposed Competitive Borrowing.

<PAGE>
                                                                     EXHIBIT A-3

                             FORM OF COMPETITIVE BID

JPMorgan Chase Bank, as Paying Agent
  for the Lenders referred to below,
270 Park Avenue
New York, N.Y. 10017

Attention:

Ladies and Gentlemen:

               The undersigned, [Name of Lender], refers to the Amended and
Restated 364-Day Competitive Advance and Revolving Credit Facility Agreement
dated as of March 19, 2002 (as it may be amended, modified, extended or restated
from time to time, the "Credit Agreement"), among AT&T Wireless Services, Inc.
(the "Borrower"), the Lenders named therein, JPMorgan Chase Bank ("JPMCB") and
Bank of America, N.A., as Administrative Agents, and JPMCB, as Paying Agent.
Capitalized terms used herein and not otherwise defined herein shall have the
meanings assigned to such terms in the Credit Agreement. The undersigned hereby
makes a Competitive Bid pursuant to Section 2.03(b) of the Credit Agreement, in
response to the Competitive Bid Request made by the "Borrower on [         ],
[2002][2003], and in that connection sets forth below the terms on which such
Competitive Bid is made:

               (A)  Principal Amount(5)

               (B)  Competitive Bid Rate(6)

               (C)  Interest Period and last day thereof

--------

   (5) Not less than $5,000,000 or greater than the requested Competitive
Borrowing and in integral multiples of $1,000,000. Multiple bids will be
accepted by the Paying Agent.

   (6) i.e., LIBO Rate + or -    %, in the case of Eurodollar Loans or    %, in
the case of Fixed Rate Loans.

<PAGE>
                                                                               2

               The undersigned hereby confirms that it is prepared, subject to
the conditions set forth in the Credit Agreement, to extend credit to the
Borrower upon acceptance by the Borrower of this bid in accordance with Section
2.03(d) of the Credit Agreement.

Very truly yours,

[NAME OF LENDER],

    by_______________________________
        Name:
        Title:

<PAGE>
                                                                     EXHIBIT A-4

                  FORM OF COMPETITIVE BID ACCEPT/REJECT LETTER

JPMorgan Chase Bank, as Paying Agent
  for the Lenders referred to below,
270 Park Avenue
New York, N.Y. 10017

Attention:

Ladies and Gentlemen:

               The undersigned, AT&T Wireless Services, Inc. (the "Borrower"),
refers to the Amended and Restated 364-Day Competitive Advance and Revolving
Credit Facility Agreement dated as of March 19, 2002 (as it may be amended,
modified, extended or restated from time to time, the "Credit Agreement"), among
the Borrower, the Lenders named therein, JPMorgan Chase Bank ("JPMCB") and Bank
of America, N.A., as Administrative Agents, and JPMCB, as Paying Agent.

               In accordance with Section 2.03(c) of the Credit Agreement, we
have received a summary of bids in connection with our Competitive Bid Request
dated ___________ and in accordance with Section 2.03(d) of the Credit
Agreement, we hereby accept the following bids for maturity on [date]:

<TABLE>
<CAPTION>
Principal Amount             Fixed Rate Margin                      Lender
----------------             -----------------                      ------
<S>                          <C>                                    <C>
$                              [%]/[+/-.   %]
$
</TABLE>

We hereby reject the following bids:

<TABLE>
<CAPTION>
Principal Amount             Fixed Rate Margin                      Lender
----------------             -----------------                      ------
<S>                          <C>                                    <C>
$                              [%]/[+/-.   %]
$
</TABLE>

<PAGE>
                                                                               2

               The $      should be deposited in JPMorgan Chase Bank account
number [      ] on [date].

Very truly yours,

AT&T WIRELESS SERVICES, INC.,

    by

        Name:
        Title:

<PAGE>
                                                                       EXHIBIT B

                        FORM OF STANDBY BORROWING REQUEST

JPMorgan Chase Bank, as Paying Agent
  for the Lenders referred to below,
270 Park Avenue
New York, N.Y. 10017

                                                                Attention:[Date]

Ladies and Gentlemen:

               The undersigned, AT&T Wireless Services, Inc. (the "Borrower"),
refers to the Amended and Restated 364-Day Competitive Advance and Revolving
Credit Facility Agreement dated as of March 19, 2002 (as it may be amended,
modified, extended or restated from time to time, the "Credit Agreement"), among
the Borrower, the Lenders named therein, JPMorgan Chase Bank ("JPMCB") and Bank
of America, N.A., as Administrative Agents, and JPMCB, as Paying Agent.
Capitalized terms used herein and not otherwise defined herein shall have the
meanings assigned to such terms in the Credit Agreement. The Borrower hereby
gives you notice pursuant to Section 2.04 of the Credit Agreement that it
requests a Standby Borrowing under the Credit Agreement, and in that connection
sets forth below the terms on which such Standby Borrowing is requested to be
made:

               (A)  Date of Standby Borrowing (which is a Business Day)

               (B)  Principal Amount of Standby Borrowing(7)

               (C)  Interest rate basis(8)

               (D)  Interest Period and the last day thereof(9)

--------

   (7) Not less than $10,000,000 (and in integral multiples of $5,000,000) or
greater than the Total Commitment then available.

   (8) Eurodollar Loan or ABR Loan.

   (9) Which shall be subject to the definition of "Interest Period" and end not
later than the Termination Date.

<PAGE>
                                                                               2

               Upon acceptance of any or all of the Loans made by the Lenders in
response to this request, the Borrower shall be deemed to have represented and
warranted that the conditions to lending specified in Section 4.01(b) and (c) of
the Credit Agreement have been satisfied.

Very truly yours,

AT&T WIRELESS SERVICES, INC.,

    by

        Name:
        Title: [Responsible Officer]

<PAGE>
                                                                       EXHIBIT C

                          AT&T WIRELESS SERVICES, INC.
                          ADMINISTRATIVE QUESTIONNAIRE

Please accurately complete the following information and return via FAX to the
attention of Gloria Javier at JPMorgan Chase Bank as soon as possible.

FAX Number:  212-552-5700

LEGAL NAME TO APPEAR IN DOCUMENTATION:

________________________________________________________________________________

GENERAL INFORMATION - DOMESTIC LENDING OFFICE:

Institution Name: ______________________________________________________________

Street Address: ________________________________________________________________

City, State, Zip Code: _________________________________________________________

GENERAL INFORMATION - EURODOLLAR LENDING OFFICE:

Institution Name: ______________________________________________________________

Street Address: ________________________________________________________________

City, State, Zip Code: _________________________________________________________

CONTRACTS/NOTIFICATION METHODS:
CREDIT CONTACTS:

Primary Contact: _______________________________________________________________

Street Address: ________________________________________________________________

City, State, Zip Code: _________________________________________________________

Phone Number: __________________________________________________________________

FAX Number: ____________________________________________________________________

E-mail address: ________________________________________________________________

Backup Contact: ________________________________________________________________

Street Address: ________________________________________________________________

City, State, Zip Code: _________________________________________________________

Phone Number: __________________________________________________________________

FAX Number: ____________________________________________________________________

E-mail address: ________________________________________________________________

TAX WITHHOLDING:

Non Resident Alien  __________ Y*     __________  N

* Form W-8BEN or W-8ECI Enclosed

Tax ID Number  _______________________________

<PAGE>
                                                                               2

CONTACTS/NOTIFICATION METHODS:
ADMINISTRATIVE CONTACTS--BORROWINGS, PAYDOWNS, INTEREST, FEES, ETC.

Contact: _______________________________________________________________________

Street Address: ________________________________________________________________

City, State, Zip Code: _________________________________________________________

Phone Number: __________________________________________________________________

FAX Number: ____________________________________________________________________

E-mail Address: ________________________________________________________________

Backup Contact: ________________________________________________________________

Street Address: ________________________________________________________________

City, State, Zip Code: _________________________________________________________

Phone Number: __________________________________________________________________

FAX Number: ____________________________________________________________________

E-mail address: ________________________________________________________________

BID LOAN NOTIFICATION:

Contact: _______________________________________________________________________

Street Address: ________________________________________________________________

City, State, Zip Code: _________________________________________________________

Phone Number: __________________________________________________________________

FAX Number: ____________________________________________________________________

E-mail Address: ________________________________________________________________

PAYMENT INSTRUCTIONS:

Name of Bank where funds are to be transferred: ________________________________

Routing Transit/ABA number of Bank where funds are to be transferred: __________

Name of Account, if applicable: ________________________________________________

Account Number: ________________________________________________________________

Additional Information: ________________________________________________________

It is very important that all of the above information is accurately filled in
and returned promptly. If there is someone other than yourself who should
receive this questionnaire, please notify us of their name and FAX number and we
will FAX them a copy of the questionnaire. If you have any questions, please
call me at 212-552-7440.

<PAGE>
                                                                       EXHIBIT C

                                    [FORM OF]

                            ASSIGNMENT AND ACCEPTANCE

               Reference is made to the Amended and Restated 364-Day Competitive
Advance and Revolving Credit Facility Agreement dated as of March 19, 2002 (as
the same may be modified, amended, extended or restated from time to time, the
"Credit Agreement"), among AT&T Wireless Services, Inc. (the "Borrower"), the
lenders party thereto (the "Lenders"), JPMorgan Chase Bank ("JPMCB") and Bank of
America, N.A., as Administrative Agents, and JPMCB, as Paying Agent for the
Lenders (in such capacity, the "Paying Agent"). Terms defined in the Credit
Agreement are used herein with the same meanings.

               1. The Assignor hereby sells and assigns, without recourse, to
the Assignee, and the Assignee hereby purchases and assumes, without recourse,
from the Assignor, effective as of the Effective Date set forth below, the
interests set forth below (the "Assigned Interest") in the Assignor's rights and
obligations under the Credit Agreement, including, without limitation, the
interests set forth herein in the Commitment of the Assignor on the Effective
Date and the Competitive Loans (if noted on the attached Schedule) and Standby
Loans owing to the Assignor which are outstanding on the Effective Date,
together with unpaid interest accrued on the assigned Loans to the Effective
Date. Each of the Assignor and the Assignee hereby makes and agrees to be bound
by all the representations, warranties and agreements set forth in Section
9.04(c) of the Credit Agreement, a copy of which has been received by each such
party. From and after the Effective Date (i) the Assignee shall be a party to
and be bound by the provisions of the Credit Agreement and, to the extent of the
interests assigned by this Assignment and Acceptance, have the rights and
obligations of a Lender thereunder and (ii) the Assignor shall, to the extent of
the interests assigned by this Assignment and Acceptance, relinquish its rights
and be released from its obligations under the Credit Agreement [(and such
Assignor shall cease to be a party to the Credit Agreement (but shall continue
to be entitled to the benefits of Sections 2.14, 2.16, 2.20 and 9.05 thereof, as
well as to the Fees accrued for its accounts under the Credit Agreement and not
yet paid))](10)

               2. This Assignment and Acceptance is being delivered to the
Paying Agent together with (i) if the Assignee is organized under the laws of a
jurisdiction outside the United States, the forms specified in Section 2.20(f)
of the Credit Agreement, duly completed and executed by such Assignee, (ii) if
the Assignee is not already a Lender under the Credit Agreement, an
Administrative Questionnaire in the form of Exhibit B to the Credit Agreement
and (iii) a processing and recordation fee of $3,000.

               3. This Assignment and Acceptance shall be governed by and
construed in accordance with the laws of the State of New York.

Date of Assignment:

--------

   (10) To be included in the case of an Assignment and Acceptance covering all
or the remaining portion of an Assignor's rights and obligations under the
Credit Agreement.

<PAGE>
                                                                               2

Legal Name of Assignor:

Legal Name of Assignee:

Assignee's Address for Notices:
Effective Date of Assignment
(may not be fewer than 5 Business
Days after the Date of Assignment):

                                                      Percentage Assigned of
                                                      Facility and Commitment
                                                      thereunder (set forth,
                                                      to at least 8 decimals,
                       Principal Amount Assigned      as a percentage of the
                       (and identifying information   Facility and the aggregate
                       as to individual Competitive   Commitments of all Lenders
                       Loans)                         thereunder)
Commitment Assigned:   $                              %

Standby Loans:

Competitive Loans, if any:

The terms set forth above and on the
reverse side hereof are hereby agreed to:      Accepted: as of _________________

_________________________, as Assignor         AT&T WIRELESS SERVICES, INC.

By: _____________________________________      By: _____________________________

Name: ___________________________________      Name: ___________________________

Title: __________________________________      Title: __________________________

________________________, as Assignor

By: _____________________________________

Name: ___________________________________

Title: __________________________________

<PAGE>
                                                                       EXHIBIT D

                                     FORM OF

                             OPINION OF COUNSEL(11)

               1. AT&T Wireless Services, Inc. (i) is a corporation duly
organized, validly existing and in good standing under the laws of the State of
Delaware, (ii) has all requisite power and authority to own its property and
assets and to carry on its business as now conducted, (iii) is qualified to do
business in every jurisdiction within the United States where such qualification
is required, except where the failure so to qualify would not reasonably be
expected to result in a Material Adverse Effect on AT&T Wireless Services, Inc.,
and (iv) has all requisite corporate power and authority to execute, deliver and
perform its obligations under the Credit Agreement and to borrow funds
thereunder.

               2. The execution, delivery and performance by AT&T Wireless
Services, Inc. of each Loan Document, the Borrowings thereunder and the use of
the proceeds thereof (i) have been duly authorized by all requisite corporate
action and (ii) will not (a) violate (1) any provision of law, statute, rule or
regulation (including without limitation, the Margin Regulations), or of the
certificate of incorporation or other constitutive documents or by-laws of AT&T
Wireless Services, Inc., (2) any order of any Governmental Authority the effect
of which would reasonably be expected to result in a Material Adverse Effect or
(3) any provision of any Material Agreement, (b) be in conflict with, result in
a breach of or constitute (alone or with notice or lapse of time or both) a
default under any Material Agreement or (c) result in the creation or imposition
of any lien upon any property or assets of AT&T Wireless Services, Inc. As used
herein, "Material Agreements" means those agreements and documents attached as
exhibits to the following forms filed by AT&T Wireless Services, Inc. with the
Securities and Exchange Commission: Form S-1/A filed on July 6, 2001; Form S-4
filed on August 15, 2001; and Form S-4 filed on November 28, 2001.

               3. The Credit Agreement has been, and each Note when executed and
delivered shall be, duly executed and delivered by AT&T Wireless Services, Inc.
and the Credit Agreement constitutes, and each Note when executed and delivered
shall constitute, a legal, valid and binding obligation of AT&T Wireless
Services, Inc., in each case enforceable against AT&T Wireless Services, Inc. in
accordance with its terms, subject as to the enforceability of rights and
remedies to any applicable bankruptcy, reorganization, insolvency, moratorium or
other similar laws affecting creditors' rights generally and subject to general
principles of equity, regardless of whether considered in a proceeding in equity
or at law.

               4. No action, consent or approval of, registration or filing
with, or any other action by, any Governmental Authority is or will be required
in connection with the execution,

--------

   (11) Capitalized terms used but not otherwise defined herein shall have the
meanings assigned to such terms in the Amended and Restated 364-Day Competitive
Advance and Revolving Credit Facility Agreement dated as of March 19, 2002,
among AT&T Wireless Services, Inc., the lenders listed in Schedule 2.01 thereto,
JPMorgan Chase Bank ("JPMCB") and Bank of America, N.A., as Administrative
Agents, and JPMCB, as Paying Agent (the "Credit Agreement").

<PAGE>
                                                                               2

delivery or performance by AT&T Wireless Services, Inc. of any Loan Document,
the Borrowings thereunder or the use of proceeds thereof, except such as have
been made or obtained and are in full force and effect.

               5. Neither AT&T Wireless Services, Inc. nor any of its
subsidiaries is (a) an "investment company" as defined in, or subject to
regulation under, the Investment Company Act of 1940 or (b) a "holding company"
as defined in, or subject to regulation under, the Public Utility Holding
Company Act of 1935.

<PAGE>
                                                                       EXHIBIT E

                                    [FORM OF]
                                      NOTE

                            364-Day Credit Agreement

$[Amount of Commitment]                                       New York, New York
                                                                          [Date]

               FOR VALUE RECEIVED, the undersigned, AT&T Wireless Services,
Inc., a Delaware corporation (the "Borrower"), hereby promises to pay to the
order of [Name of Lender] (the "Lender"), at the office of JPMorgan Chase Bank
(the "Paying Agent") at 270 Park Avenue, New York, New York 10017, on the
Termination Date (as defined in the Amended and Restated 364-Day Competitive
Advance and Revolving Credit Facility Agreement dated as of March 19, 2002 (as
amended, modified or supplemented from time to time, the "Credit Agreement")),
among the Borrower, the Lenders named therein, JPMorgan Chase Bank and Bank of
America, N.A., as Administrative Agents, and the Paying Agent) the lesser of the
principal sum of [amount of Commitment in words] ($[ ]) and the aggregate unpaid
principal amount of all Loans (as defined in the Credit Agreement) made to the
Borrower by the Lender pursuant to the Credit Agreement, in lawful money of the
United States of America, in immediately available funds, and to pay interest on
the principal amount hereof from time to time outstanding, in like funds, at
said office, at the rate or rates per annum, from the dates and payable on the
dates provided in the Credit Agreement.

               The Borrower promises to pay interest, on demand, on any overdue
principal and, to the extent permitted by law, overdue interest from their due
dates at the rate or rates provided in the Credit Agreement.

               The Borrower hereby waives diligence, presentment, demand,
protest and notice of any kind whatsoever. The nonexercise by the holder of any
of its rights hereunder in any particular instance shall not constitute a waiver
thereof in that or any subsequent instance.

               All borrowings evidenced by this Note and all payments and
prepayments of the principal hereof and interest hereon and the respective dates
and maturity dates thereof shall be endorsed by the holder hereof on the
schedule attached hereto and made a part hereof or on a continuation thereof
which shall be attached hereto and made a part hereof, or otherwise recorded by
such holder in its internal records; provided, however, that the failure of the
holder to make such a notation or any error in such a notation shall not affect
the obligations of the Borrower under this Note.

               The Loans evidenced hereby are Loans referred to in the Credit
Agreement, which, among other things, contains provisions for the acceleration
of the maturity thereof upon the happening of certain events, for optional and
mandatory prepayment of the principal thereof prior to the maturity thereof and
for the amendment or waiver of certain provisions of the Credit Agreement, all
upon the terms and conditions therein specified.

<PAGE>
                                                                               2

THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF
THE STATE OF NEW YORK.

                                        AT&T WIRELESS SERVICES, INC.

                                        By: _______________________________

                                        Name:  ____________________________

                                        Title:  ___________________________

<PAGE>
                                                                               2

                               Loans and Payments

<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------------
                                                                           Unpaid       Name of
                 Amount                                                   Principal     Person
                and Type    Maturity                                       Balance      Making
    Date        of Loan       Date      Principal   Payments   Interest    of Note     Notation
    ----        -------       ----      ---------   --------   --------    -------     --------
<S>             <C>         <C>         <C>         <C>        <C>        <C>          <C>
---------------------------------------------------------------------------------------------------

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

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

---------------------------------------------------------------------------------------------------
</TABLE>

<PAGE>

                                  SCHEDULE 2.01

                                TOTAL COMMITMENTS

                            364-DAY CREDIT AGREEMENT

<TABLE>
<CAPTION>
                                                                          COMMITMENT
                                                                          ----------
                                                                         (IN MILLIONS)
<S>                                                                      <C>
ADMINISTRATIVE AGENTS

JPMorgan Chase Bank                                                          $70.0
     270 Park Avenue
     New York, New York 10017
     Attention: Constance Coleman, Ganesh Persaud
     Facsimile: 212-270-4584, 212-552-5700

Bank of America, N.A.                                                        $70.0
     901 Main St. (64th Floor)
     Dallas, TX 75202
     Attention: Niles Chura
     Facsimile: 214-209-9390

SYNDICATION AGENTS
Citibank, N.A.                                                               $70.0
Merrill Lynch Capital Corporation                                            $70.0

DOCUMENTATION AGENTS
HSBC Bank USA                                                                $70.0
Lehman Brothers Commercial Paper Inc.                                        $70.0

MANAGING AGENTS
Bank One, N.A.                                                               $60.5
Barclays Bank PLC                                                            $60.5
Bear Stearns Corporate Lending                                               $60.5
BNP Paribas                                                                  $60.5
Credit Suisse First Boston                                                   $60.5
Deutsche Bank AG, New York Branch                                            $60.5
Morgan Stanley Bank                                                          $60.5
Societe Generale                                                             $60.5
The Bank of Tokyo Mitsubishi, Ltd., New York Branch                          $60.5
The Royal Bank of Scotland plc                                               $60.5

CO-AGENTS
CIBC Inc.                                                                    $50.0
The Fuji Bank, Limited                                                       $50.0

PARTICIPANTS
Bayerische Landesbank Girozentrale                                           $25.0
IntesaBci, New York Branch                                                   $25.0
National Australia Bank                                                      $25.0
Northern Trust Company                                                       $25.0
SunTrust Bank                                                                $25.0
                                                                          --------
TOTAL COMMITMENT                                                          $1,250.0
                                                                          ========
</TABLE>

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