Document:

<PAGE>

                                                                    Exhibit 10.7

                              MANAGEMENT AGREEMENT

     THIS MANAGEMENT AGREEMENT is made and entered into on the 1st day of
October, 1999, by and between Insight Kentucky Partners II, L.P., a Delaware
limited partnership (the "Company"), and Insight Communications Company, L.P., a
Delaware limited partnership ("Insight" and, together with any permitted assigns
hereunder, the "Manager").

                                 RECITALS
                                 --------

     A.  The Company owns and operates certain cable television systems and
certain other assets, as more fully described in the Midwest Partnership
Agreement.  The business and operations of the Company, as the same may be
conducted from and after the date hereof, are hereinafter referred to as the
"Business."

     B.  Manager has the experience and ability to manage the Business and is
willing to do so, and the Company desires to enter into this Agreement with
Manager providing for the management of the Business on the terms and conditions
set forth herein.

          C.  The Company is a subsidiary of Insight Midwest, L.P., a Delaware
limited partnership ("Insight Midwest"), and reference is hereby made to that
certain Limited Partnership Agreement, dated as of October 1, 1999, of Insight
Midwest (as the same may be amended from time to time, the "Midwest Partnership
Agreement").

                                 AGREEMENTS
                                 ----------

     In consideration of the covenants and agreements contained herein, the
Company and Manager agree as follows:

     SECTION 1  DEFINITIONS.  Except as otherwise defined herein, the following
                -----------
terms shall have the following meanings when used in this Agreement:

     Affiliate.  With respect to either the Company or Manager, any other Person
that directly or indirectly through one or more intermediaries controls or is
controlled by or under direct or indirect common control with such party.

     Applicable Law. Any statute, ordinance, law, rule or regulation of any
Governmental Authority, or any order, decree, injunction, writ, judgment or
award of any court, arbitrator or other Governmental Authority, applicable to
the Company or the Business.
<PAGE>

     Authorizations. Any governmental or non-governmental license, permit,
franchise or other authorization, and applications therefor, which are necessary
to conduct the Business.

     GAAP.  Generally accepted accounting principles as in effect from time to
time.

     Governmental Authority. Any governmental authority or regulatory body, or
any department, agency, division, bureau or other legal body thereof having
jurisdiction over the Company, the Business, or general jurisdiction over all
Persons.

     Person. Any individual, corporation, partnership, firm, limited liability
company, joint venture, association, trust, joint stock company, unincorporated
organization or other entity, or a government or any agency or political
subdivision thereof.

     Capitalized terms not otherwise defined herein shall have the meanings
given such terms in the Midwest Partnership Agreement.

     SECTION 2  APPOINTMENT.  On the terms and conditions hereinafter provided,
                -----------
the Company hereby appoints Manager, and Manager hereby accepts such
appointment, as manager for all of the operations and conduct of the Business
for a period commencing on the date hereof and expiring as provided in Section 5
of this Agreement.

     SECTION 3.  MANAGEMENT AUTHORITY; MANAGEMENT SERVICES.
                 -----------------------------------------

     3.1  Authority and Services To Be Performed By Manager.  (a)(i)  Subject to
          -------------------------------------------------
the limitations set forth in Section 3.1(b) below, Manager shall have full and
exclusive authority to do all such acts and things as may be incidental to, or
necessary, proper or advisable in the furtherance of, the management of the day-
to-day operations and conduct of the Business.  Subject to the terms and
conditions of this Agreement, Manager shall provide the Company with such
services as may, from time to time, be appropriate or reasonably required for
the proper and efficient operation and conduct of the Business in accordance
with sound business principles and practices customary in the cable television
industry (collectively, the "Management Services").  The Management Services
shall be provided both at such times as Manager may reasonably deem appropriate
and at such times as the Company may reasonably request.

          (ii) Without limiting the generality of the preceding paragraph, the
Management Services shall include the following, but subject to any applicable
limitations set forth in this Agreement:

          (1) (A)  Evaluation of new equipment, materials and techniques and
making recommendations in accordance with its evaluations, (B) establishment of
general technical standards and procedures and directing their implementation,
and (C) establishment of programs for preventive maintenance and monitoring
their effectiveness;
<PAGE>

          (2) Supervision of all construction and development arising out of or
related to the operation of the Business, including, without limitation, the
selection and appointment of all subcontractors, equipment suppliers and
vendors;

          (3) Supervision of the purchasing of property, real, personal or
mixed, and all materials and supplies, if any, necessary to complete any
construction and development arising out of or related to the Business;

          (4) Sale, lease, trade, exchange or other disposition of the Company's
assets in the ordinary course of business and the negotiation of, and entrance
into, in the name of and on behalf of the Company, of all agreements relating to
any of the foregoing;

          (5) Negotiation of, and entrance into, in the name of and on behalf of
the Company, of all, contracts, leases, deeds, releases, assignments and any
other agreements on behalf of the Company for the purchase, lease, license or
use of such properties and rights as may be necessary or reasonably desirable in
connection with the  Business;

          (6) Formulation and supervision of all advertising, marketing and
sales programs and engagement and appointment on behalf of the Company of
advertising, marketing and public relations agencies and consultants for such
purposes;

          (7) Subject to the provisions of all Authorizations, Applicable Law
and applicable agreements to which the Company is a party, the selection and
pricing of all services to be provided to the customers of the cable television
systems included in the Business;

          (8) Supervision of performance of all aspects of the daily operation
and maintenance of the Business, instruction and supervision of all personnel
necessary to conduct daily operations of the Business and the setting of
salaries and wages for such personnel (with all such employees to be paid by the
Company);

          (9) Entrance into, in the name of and on behalf of the Company, of any
agreements arising out of or related to the Business, including, without
limitation, cable television franchises or collective bargaining agreements with
employees of the Company;

          (10) Supervision of the maintenance of all accounting, bookkeeping,
billing, collections and other financial systems and records relating to the
Business;

          (11) Engagement of, on behalf of the Company, attorneys, accountants,
engineers, consultants and other qualified professionals;

          (12) Preparation and filing, or causing to be prepared and filed, all
necessary applications, filings, reports, statements and other documents as are
required in connection with the Business with Governmental Authorities
(including any income tax filings);

                                      -3-
<PAGE>

          (13) Purchase of such policies of insurance (including Manager's
blanket coverage) as Manager may from time to time consider necessary and
appropriate in accordance with normal industry practice, with such policy naming
both the Company and Manager (and any other partner of the Company) as insured
thereunder as their interests may appear;

          (14) Representation of the Company before all Governmental Authorities
with respect to any matter necessary or desirable to the management of the
Business; and

          (15) Taking of any other action in connection with the construction,
development, operation and maintenance of the Business in the ordinary course of
business which is commercially reasonable, appropriate and necessary.

          (b) Notwithstanding the foregoing in Section 3.1(a), the Manager
acknowledges that the Manager shall be subject to all express limitations of the
Midwest Partnership Agreement requiring approvals of the Partners of Insight
Midwest prior to taking of certain actions by the Company and shall otherwise be
subject to the terms of the Midwest Partnership Agreement.

     3.2  Standard of Care.  Manager will use reasonable commercial efforts in
          ----------------
managing the Business; provided, however, that notwithstanding anything
contained herein or Applicable Law to the contrary, neither Manager (nor any of
its direct or indirect partners, shareholders, members, officers, directors,
Affiliates, employees or agents) shall have any liability, express or implied,
for any action taken or omitted to be taken by Manager or for any failure or
delay in performing or exercising any obligation, duty, right, power or
authority possessed by Manager under this Agreement, or any other document
related hereto except for actual losses, if any, suffered by the Company that
are proximately caused either by Manager's gross negligence, willful misconduct
or willful breach of this Agreement.

     3.3  Compliance with Authorizations.  Notwithstanding anything in this
          ------------------------------
Agreement to the contrary, the Company shall continue to be the franchisee,
licensee and permittee, as applicable, of all Authorizations of any nature
whatsoever issued by any Governmental Authority in connection with the operation
of the Business and shall retain ultimate control over the Business.  The
Company shall also retain ultimate responsibility for compliance with all
Applicable Law and the terms of any applicable Authorizations.

     3.4  Payment of Expenses.  The Company shall be responsible for the payment
          -------------------
of all costs, expenses and liabilities of any nature whatsoever in connection
with the construction, development, operation, maintenance, repair and ownership
of the Business and the Company shall be the responsible party under all
agreements entered into on behalf of the Company by Manager pursuant hereto.

     3.5  Inspection of Records.  Originals or copies of all books and records
          ---------------------
related to this Management Agreement shall be maintained at the principal office
of Manager and shall be open

                                      -4-
<PAGE>

to the inspection and examination of the Company and Insight Midwest's Partners
during normal business hours upon reasonable notice.

     SECTION 4  COMPENSATION AND EXPENSES.
                -------------------------

     4.1  Management Fee.  As compensation to Manager for the performance of its
          --------------
services hereunder, the Company shall pay to Manager a management fee
("Management Fee") for each twelve month period during the term of this
Agreement, commencing on the date hereof, equal to three percent (3%) of the
total Gross Operating Revenues of the Company for that year.

     4.2  Gross Operating Revenues.  The term "Gross Operating Revenues" means
          ------------------------
all revenues arising out of or in connection with the operation of the Business,
but exclusive of all proceeds from the sale of assets or from other
extraordinary or non-recurring items and exclusive of all interest, dividends,
royalties, and other similar types of investment income that do not arise from
the operation of the Business in the ordinary course.

     4.3  Quarterly Statement.  Within 30 days after the end of each fiscal
          -------------------
quarter, the Manager shall submit to the Company a quarterly and a cumulative
year-to-date Gross Operating Revenues statement indicating the quarterly
Management Fee payable and the cumulative year-to-date Management Fee payable to
Manager together with appropriate supporting documentation.  Each quarterly
Management Fee payable hereunder shall be adjusted to reflect any cumulative
year-to-date adjustments in Gross Operating Revenues.  The Management Fee shall
be payable each quarter within 10 days after the Management Fee statement for
such quarter has been received by the Company.

     4.4  Annual Statement.  Within 90 days after the end of each fiscal year,
          ----------------
the Company shall cause its independent public accountants to determine the
Gross Operating Revenues of the Company for that year and the amount of the
Management Fee payable to Manager for that year and deliver a copy to Manager.
Manager shall have the right to consult with the accountants regarding the
determination of Gross Operating Revenues prior to the final determination of
Gross Operating Revenues by the accountants.  The accountants' determination
shall be final and binding on the Company and Manager.

     4.5  Expense Reimbursement.  The Management Fee described above shall be
          ---------------------
exclusive of reimbursement by the Company to Manager for all direct, out-of-
pocket expenditures incurred by or on behalf of Manager relating to its
obligations under this Agreement as provided for herein, including without
limitation, reimbursement for travel expenses.  Manager shall be entitled to
reimbursement by the Company for services that would ordinarily be direct
expenditures of the Company. Manager shall act in good faith and in a reasonable
manner in making determinations of reimbursement.  It is understood and agreed
that the intent of the expense reimbursement provisions contained in this
Section 4.5 is to reimburse Manager only for expenses incurred that are directly
related to the operation of the Business and

                                      -5-
<PAGE>

not to reimburse Manager for any corporate overhead (including bonuses and
health, welfare, retirement and other benefits and overhead expenses of its
corporate office management, development, internal accounting and finance
management personnel), which shall be paid out of the Management Fee. Payment of
expense reimbursement shall be made monthly by the Company to Manager within
five days after receipt by the Company of a statement (the "Monthly Expense
Statement") of Manager's estimated reimbursable expenses for the preceding
month. The Monthly Expense Statement shall include an adjustment to reflect the
amount by which actual reimbursable expenses incurred during the month
immediately preceding the month of payment exceeded, or were exceeded by,
Manager's estimated reimbursable expenses with respect to such month.

     4.6  Subordination.  Manager acknowledges and agrees that notwithstanding
          -------------
anything else contained herein, payment of the Management Fee may be limited by
the provisions of loan agreements of the Company (including, without limitation,
the Amended and Restated Revolving Credit and Term Loan Agreement, dated as of
October 1, 1999, among Insight Kentucky Partners I, L.P., the financial
institutions party thereto and Toronto Dominion (Texas), Inc. as Administrative
Agent (the "IKP-I Loan Agreement"), and that the Management Fee shall be paid if
and only to the extent that such payment will not create a default under such
loan agreements.  To the extent that all or any portion of the Management Fee
may not be paid because of the terms of the loan agreements, any portion of the
Management Fee that is deferred shall be paid as soon as the same may be paid
without violating the provisions of the loan agreements.  Payments of any
outstanding Management Fees (whether or not deferred) shall be paid prior to
payment of any partners distributions or similar payments to the partners of the
Company.

     SECTION 5  DEFAULT AND TERMINATION.
                -----------------------

     5.1  A default by Manager or the Company shall occur under this Agreement
if Manager or the Company shall willfully breach in any material respect any
material covenant of this Agreement to be kept and performed by it.

     5.2  Subject to Section 5.3 hereof, this Agreement shall be terminated
automatically upon the termination of the Company and may be terminated as
follows:

          (a) by either the Company or Manager on written notice to the other
party in the event of any default (as defined in Section 5.1 hereof) by the
other party, as provided in Section 5.1, which is not cured within 90 days after
written notice thereof is received by the defaulting party (or if not curable
within that time period, within a reasonable time thereafter);

          (b) by either the Company or Manager on written notice to the other
party upon a sale or other disposition of all or substantially all of the assets
of the Company.

                                      -6-
<PAGE>

          (c) Upon the resignation or removal of Insight as General Partner of
Insight Midwest pursuant to and in accordance with the terms of the Midwest
Partnership Agreement, other than in connection with a transfer by Insight of
its Partnership Interest in Insight Midwest to an Affiliate of Insight that is
permitted under the terms of the Midwest Partnership Agreement.

     5.3  Subject to Section 4.6 herein, in the event of termination of this
Agreement pursuant to the terms hereof, Manager shall be entitled to receive
promptly following termination, and in any event within 30 days thereafter, the
amount of any accrued but unpaid Management Fees and any expense reimbursements.

     SECTION 6  INDEMNIFICATION.
                ---------------

     6.1  Indemnification by the Company.  The Company will indemnify and hold
          ------------------------------
harmless Manager, its Affiliates, and all direct and indirect officers,
directors, employees, stockholders, partners, members and agents of Manager and
its Affiliates (individually, a "Manager Indemnitee") from and against any and
all claims, demands, costs, damages, losses, liabilities, joint and several,
expenses of any nature (including reasonable attorneys', accountants' and
experts' fees and disbursements, all of which shall be paid by the Company as
incurred by the Manager Indemnitee(s)), judgments, fines, settlements and other
amounts (collectively, "Damages") arising from any and all claims, demands,
actions, suits or proceedings, civil, criminal, administrative, or investigative
(collectively "Claims") in which a Manager Indemnitee may be involved or
threatened to be involved, as a party or otherwise, arising out of Manager's
performance of its obligations under this Agreement or arising out of, related
to or in connection with, the Business regardless of whether this Agreement
continues to be in effect or such Manager Indemnitee continues to be an
Affiliate, or an officer, director, employee, stockholder, partner or agent of
Manager, at the time any such Claims are made or Damages incurred, provided that
in respect of any matter in which indemnification is sought, to the extent
applicable: (i) the Manager Indemnitee acted in good faith and in a manner it
reasonably believed to be in the best interest of the Company and, with respect
to any criminal proceeding, had no reasonable cause to believe its conduct was
unlawful, and (ii) the Manager Indemnitee's conduct for which indemnification is
sought did not constitute gross negligence, willful misconduct or a willful
breach of this Agreement.  Any indemnification hereunder will be satisfied
solely out of the assets of the Company.

     6.2  Indemnification by Manager.  Manager will indemnify and hold harmless
          --------------------------
the Company, its Affiliates, and all officers, directors, employees,
stockholders, partners, members and agents of the Company and its Affiliates
(individually, a "Company Indemnitee") from and against all Damages arising from
any Claim in which a Company Indemnitee may be involved or threatened to be
involved, as a party or otherwise, arising out of Manager's gross negligence,
willful misconduct or willful breach of this Agreement.

                                      -7-
<PAGE>

     6.3  Right to Indemnification Not Exclusive Remedy.  The indemnification
          ---------------------------------------------
rights contained in this Section 6 will be cumulative of and in addition to any
and all other rights, remedies and recourse to which a Manager Indemnitee or a
Company Indemnitee, its heirs, successors, assigns and administrators are
entitled, whether pursuant to some other provision of this Agreement, at law or
in equity; provided, however, it is understood and agreed that notwithstanding
anything contained herein to the contrary, neither Manager (nor any of its
shareholders, officers, directors, employees or agents) shall have any liability
with respect to a breach of, or non-performance under this Agreement except as
expressly specified in this Agreement.  The indemnification provided in this
Section 6 will inure to the benefit of the heirs, successors, assigns and
administrators of each Manager Indemnitee and Company Indemnitee.

     6.4  Insurance.  Manager may purchase, at the Company's expense, and
          ---------
maintain insurance on behalf of Manager and such other persons as Manager may
reasonably determine against any liability that may be asserted against it or
them in connection with the performance of Manager's obligations under this
Agreement; provided, however, that Manager will not purchase or maintain
insurance against liabilities of Manager or any other person arising out of acts
or omissions which were not made in good faith or which constituted gross
negligence, willful misconduct or a willful breach of this Agreement.

     6.5  Interested Transactions.  A Manager Indemnitee will not be denied
          -----------------------
indemnification in whole or in part under this Section 6 solely because the
Manager Indemnitee had an interest in the transaction with respect to which the
indemnification applies if the transaction was otherwise permitted by the terms
of this Agreement.

     SECTION 7  MISCELLANEOUS.
                -------------

     7.1  Relationship Among the Parties.  Nothing herein contained shall be
          ------------------------------
deemed to make Manager a partner, co-venturer or other participant in the
business or operations of the Company or in any manner to render Manager liable
as a principal, surety, guarantor, agent or otherwise for any of the debts,
obligations or liabilities of the Company, whether incurred directly by the
Company or by Manager on behalf of the Company in accordance with this
Agreement.

     7.2  Other Activities of Manager.  Nothing in this Agreement shall limit or
          ---------------------------
restrict the right of Manager to engage in any other business or to devote its
time and attention to the management or other aspects of any other business or
to render services of any kind.  The Company acknowledges that Manager and its
Affiliates own, manage or operate cable television systems throughout the United
States.  Manager will devote such of its attention, time, efforts and resources
to the Business as shall be reasonably necessary for it to carry out its duties
hereunder.

     7.3  Notices.  All notices and other communications given or made pursuant
          -------
to this Agreement shall be in writing and shall be deemed to have been duly
given or made as of the date delivered if delivered by hand, by telecopier
device (confirmed by hand delivery or

                                      -8-
<PAGE>

overnight courier service) or by overnight courier service to the parties at the
following address (or at such other address for a party as shall be specified by
like notice):

          if to the Company, to:

          c/o Insight Communications Company, Inc.
          126 E. 56th Street
          New York, New York  10022
          Attention:  Mr. Michael Willner
          Telecopier:  (212) 371-1549

          with a copy to:

          Tele-Communications, Inc. (d/b/a/ AT&T Broadband and Internet
           Services)
          9197 Peoria Street
          Englewood, Colorado 80111
          Attention:  Mr. Derek Chang
          Telecopier:  (720) 875-5396

          if to Manager, to:

          c/o Insight Communications Company, Inc.
          126 E. 56th Street
          New York, New York  10022
          Attention:  Mr. Michael Willner
          Telecopier:  (212) 371-1549

     7.4  Assignability; Benefit and Binding Effect.  The Company agrees that
          -----------------------------------------
Manager may assign this Agreement, without the consent of the Company, to any
Affiliate of Manager, or any successor to Manager by merger, consolidation or
otherwise.  Except as set forth in the preceding sentence, neither party hereto
may assign this Agreement without the prior written consent of the other party.
This Agreement shall be binding upon and inure to the benefit of the parties
hereto and their respective successors and permitted assigns.

     7.5  Governing Law.  This Agreement shall be governed by the laws of the
          -------------
State of Delaware as to all matters, including but not limited to matters of
validity, construction, effect, performance and remedies (without giving effect
to the principles of conflicts of law thereof).

     7.6   Headings.  The headings preceding the text of sections and
           --------
subsections of this Agreement are included for ease of reference only and shall
not be deemed part of this Agreement.

                                      -9-
<PAGE>

     7.7  Gender and Number.  Words used herein, regardless of the gender and
          -----------------
number specifically used, shall be deemed and construed to include any other
gender, masculine, feminine or neuter, and any other number, singular or plural,
as the context requires.

     7.8  Entire Agreement.  This Agreement represents the entire understanding
          ----------------
and agreement between the Company and Manager with respect to the specific
subject matter hereof.  This Agreement supersedes all prior negotiations between
the parties and cannot be amended, supplemented or changed except by an
agreement in writing which makes specific reference to this Agreement or an
agreement delivered pursuant hereto, as the case may be, and which is signed by
the party against which enforcement of any such amendment, supplement or
modification is sought.

     7.9  Further Assurances.  The parties shall take any actions and execute
          ------------------
any other documents that may be necessary or desirable to the implementation and
consummation of this Agreement or that may be reasonably requested by any other
party hereto.  Each party will cooperate with the other party and provide any
assistance reasonably requested by the other party to effectuate the intent of
this Agreement.

     7.10  Severability.  If any provision of this Agreement or the application
           ------------
thereof to any person or circumstance shall be held invalid or unenforceable to
any extent by any court of competent jurisdiction, the remainder of this
Agreement and the application of such provision to other persons or
circumstances shall not be affected thereby and shall be enforced to the
greatest extent permitted by law.

     7.11  Counterparts.  This Agreement may be signed in counterparts, each of
           ------------
which shall be deemed to be an original but which, when taken together, shall
constitute one and the same instrument.

                             [SIGNATURES NEXT PAGE]

                                      -10-
<PAGE>

     IN WITNESS WHEREOF, this Management Agreement has been executed by the
parties hereto as of the date first above written.

                                    THE COMPANY:

                                    INSIGHT KENTUCKY PARTNERS II, L.P.

                                    By:  Insight Kentucky Partners I, L.P.,
                                         its general partner
                                    By:  Insight Communications of Kentucky,
                                         L.P., its general partner
                                    By:  Insight Capital Partners, L.P., its
                                         general partner [If High Yield does not
                                         Close October 1, 1999]
                                    By:  Insight Midwest, L.P., its general
                                         partner
                                    By:  Insight Communications Company, L.P.,
                                         its general partner
                                    By:  Insight Communications Company, Inc.,
                                         its general partner

                                    By:_______________________________________
                                    Name:  Kim D. Kelly
                                    Title: Executive Vice President, Chief
                                           Operating Officer and Chief Financial
                                           Officer

                                    MANAGER:

                                    INSIGHT COMMUNICATIONS COMPANY, L.P.

                                    By:  Insight Communications Company, Inc.,
                                         General Partner

                                    By:_______________________________________
                                    Name:  Kim D. Kelly
                                    Title: Executive Vice President, Chief
                                           Operating Officer and Chief Financial
                                           Officer

                                      -11-<PAGE>

                                                                    EXHIBIT 10.1

                                AMENDMENT NO. 1
                                    TO THE
                   RESTATED AND AMENDED EMPLOYMENT AGREEMENT
                                    BETWEEN
                             HARRY M. CORNELL, JR.
                                      AND
                         LEGGETT & PLATT, INCORPORATED

     This Amendment No. 1 to the Restated Agreement is made as of January 1,
1999 by Leggett & Platt, Incorporated (the "Company") and Harry M. Cornell, Jr.
(the "Executive").

                                   RECITALS
                                   --------

     The Company and the Executive entered into a Restated and Amended
Employment Agreement as of August 14, 1996 (collectively, the "Employment
Agreement"). The Company and the Executive now desire to amend the Employment
Agreement as set out below.

                                   AGREEMENT
                                   ---------

     NOW, THEREFORE, for good and valuable consideration, the Company and the
Executive agree as follows:

     1.   Section 1 (Employment) of the Employment Agreement, first paragraph,
     is hereby amended to read in its entirety as follows:

          1. Employment
             ----------
             The Company hereby reaffirms its employment of the Executive as its
             Chairman of the Board and Chief Executive Officer, and the
             Executive hereby confirms his employment in that capacity.
             Beginning on May 13, 1999, the Executive shall no longer be the
             Chief Executive Officer of the Company, but shall remain as
             Chairman of the Board (if so elected by the Board), Chairman of the
             Executive Committee (if so elected by the Board) and an employee of
             the Company.

     2.   Section 2.1 (Term) of the Employment Agreement is hereby amended to
     read in its entirety as follows:

          2. Term
             ----
             The term of this Restated Agreement commenced on May 9, 1979 and
             shall end on May 10, 2000, unless terminated earlier in accordance
             with
<PAGE>

             the provisions of this Restated Agreement. Upon mutual agreement
             between the Executive and the Company, the term of this Restated
             Agreement may be extended for an additional one-year period.

     3.   Section 3 (Duties and Authority) of the Employment Agreement is hereby
     amended to add a new paragraph at the end of such Section that reads as
     follows:

          Notwithstanding the foregoing, beginning on May 13, 1999, (i) the
          Executive shall no longer be required to devote his full business time
          to the affairs of the Company nor shall he be prohibited from devoting
          substantial time to personal business interests, (ii) the Executive
          shall no longer serve as the Chief Executive Officer of the Company,
          and (iii) the discretion and control exercised by the Board after such
          date shall be such as is exercised by a board of directors over a
          chairman of the board.

     4.   Section 4.1 (Base Salary) of the Employment Agreement is hereby
     amended to add a new paragraph to the end of such Section that reads as
     follows:

          Notwithstanding the foregoing, beginning May 13, 1999, the Executive
          shall be paid salary at an annual rate of $600,000 and the provisions
          of paragraph 1 of this Section 4.1 shall no longer be applicable after
          such date.

     5.   Section 4.2 (Annual Cash Bonus) of the Employment Agreement is hereby
     amended to add a new paragraph to the end of such Section that reads as
     follows:

          Beginning on May 13, 1999, the Executive shall no longer be entitled
          to earn an incentive cash bonus. However, he shall be entitled to a
          prorated incentive bonus for 1999 payable in February 2000 based on
          such May 13, 1999 date (i.e. 132 days out of a 365-day year). In
          addition, Executive shall be entitled to a guaranteed bonus at an
          annual rate of $400,000 beginning on May 13, 1999 (which shall be paid
          in equal bi-weekly installments).

     6.   Section 4.3 (Vacations; Other Benefits) of the Employment Agreement,
     paragraph 3, is hereby amended by deleting the phrase "or Chief Executive
     Officer of the Company."

     7.   Section 8 (Executive's Option to Terminate Agreement) of the
     Employment Agreement, paragraph (a), is hereby amended by deleting the
     phrase "or Chief Executive Officer of the Company."

     8.   Section 9 (Consulting Agreement) of the Employment Agreement,
     paragraph (c), is hereby amended to read in its entirety as follows:
<PAGE>

          (c)  In consideration for the consulting services to be rendered by
               the Executive, the Company shall pay the Executive during the
               first and second years of consultation an amount equal to 100%
               and 75%, respectively, of the total compensation ("Total
               Compensation") accrued by the Company for services rendered by
               the Executive during 1998. Total Compensation shall be computed
               in the manner described in Section 6.3.

     9.   Section 9 (Consulting Agreement) of the Employment Agreement is hereby
     amended to add a new paragraph to the end of such Section that reads as
     follows:

          The Executive shall be entitled to defer receipt of future consulting
          payments. The deferral election may be made under the Company's
          Deferred Compensation Program, or, if the Executive is not then
          eligible to participate in the Deferred Compensation Program, such
          other program with substantially the same economic benefits as are
          available under the Deferred Compensation Program.

IN WITNESS WHEREOF, the Company and the Executive have signed this Amendment No.
1 as of the date first above written.

Executive                      Leggett & Platt, Incorporated

/s/ HARRY M. CORNELL, JR.      By:  /s/ ERNEST C. JETT
-------------------------           -------------------------
Harry M. Cornell, Jr.
                               Name:  Ernest C. Jett
                                      -----------------------
                               Title: Vice President
                                      -----------------------

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00005-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00005-of-00352.parquet"}]]