Document:

Exhibit 4.7

               SIXTH AMENDMENT AGREEMENT

          This SIXTH AMENDMENT AGREEMENT, dated as of February
18, 2000 (the "Agreement"), is among Specialty Retailers, Inc.
(the "Borrower"), Stage Stores, Inc. (the "Parent"), the banks
named therein (the "Banks") and Credit Suisse First Boston, as
Administrative Agent, Collateral Agent, Swingline Bank and L/C
Bank (the "Administrative Agent").

                 PRELIMINARY STATEMENT

          WHEREAS, the Borrower, the Parent, the Banks and the
Administrative Agent are parties to the Credit Agreement, dated
as of June 17, 1997, as amended through the date hereof (the
"Credit Agreement");

          WHEREAS, the Borrower has requested the amendment of
certain provisions set forth in the Credit Agreement;

          WHEREAS, the Banks have agreed to amend the specific
provisions set forth herein under the terms and conditions set
forth herein;

          NOW, THEREFORE, the parties hereto hereby agree as
follows:

          SECTION 1.     Defined Terms.  Capitalized terms used
and not defined herein shall have the meanings assigned to such
terms in the Credit Agreement.

          SECTION 2.     Amendments.   The Banks hereby agree to
amend the Credit Agreement as follows:

     (a)  The definition of "Consolidated EBITDA" in Section 1.1
of the Credit Agreement is hereby amended by adding the following
before the "." at the end thereof:

          ", plus (ix) any special charges relating to the
closing of any stores other than the stores listed on Schedule 1
to the Sixth Amendment Agreement, dated as of February 18, 2000.
      (b) The definition of "Material Adverse Effect" in Section
1.1 of the Credit Agreement is hereby restated in its entirety as
follows:

          ""Material Adverse Effect" shall mean, measured from
the date of closing of the Senior Revolving Credit Facility, a
material adverse effect upon (i) the business, operations, proper
ties, assets or condition (financial or otherwise) of the Parent
and its Subsidiaries taken as a whole or (ii) the ability of any
Loan Party to perform, or of the Administrative Agent, any L/C
          Bank, the Swingline Bank, the Collateral Agent or any of the
Banks to enforce, any of the Obligations."

     (c)  Section 1.1 of the Credit Agreement is hereby amended
by adding the following definition:

          ""Senior Revolving Credit Facility" shall mean the
Senior Financing as defined in that Commitment Letter dated as of
February 18, 2000, substantially in the form attached hereto as
Exhibit A."

     (d)  The Credit Agreement is hereby amended by adding the
following new Section 6.2(k):

          "(k) Indebtedness under the Senior Revolving Credit
Facility."

     (e)  Section 6.3(g) of the Credit Agreement is hereby
amended by adding the following before the word "securing" in the
second line thereof:

          "or pursuant to any other document"

     (f)  The Credit Agreement is hereby amended by adding the
following new Section 6.3(k):

          "(k) Liens created by the Borrower or any Subsidiary
against inventory for the benefit of Senior Revolving Credit
Facility."

     (g)  The Credit Agreement is hereby amended by adding the
following new Section 2.10(d):

          "(d) Simultaneously with any required prepayment of the
Revolving Loans in accordance with the provisions of Section
2.12(i) , each Bank's Total Expansion Loan Commitment shall be
permanently reduced by such Bank's Pro Rata Share of the amount
of such prepayment."

     (h)  The Credit Agreement is hereby amended by adding the
following new Section 2.12(i):

          "(i) Store Closings.  On the tenth Business Day after
the end of the fiscal month after the termination of business at
a store (other than the stores listed on Schedule 1 to the Sixth
Amendment Agreement, dated as of February __, 2000), the Borrower
shall prepay the outstanding Expansion Loans in an amount equal
to 100% of the amount of the proceeds from liquidating the
existing inventory, furniture and fixtures at such store to be
closed at the commencement of a going out of business or similar
sale, less all cash costs associated with closing such store,
including but not limited to future lease or occupancy cost
payments, severance payments, costs of conducting such going out
of business or similar sale and taxes."

     (i)  The Credit Agreement is hereby amended by adding the
following new Section 4.28:

          "Section 4.28  Cash Balances.  The aggregate amount of
readily available cash or cash equivalent in the corporate
concentration account of the Borrower and its Subsidiaries does
not exceed at any time $20 million after giving effect to any
proposed borrowing."

     (j)  The Credit Agreement is hereby amended by adding the
following new Section 5.12:

          "Section 5.12  Cash Sweep.  The Borrower hereby
covenants on each Business Day to sweep cash held at stores and
local deposit or concentration accounts to the corporate
concentration account in accordance with customary and typical
past historical practices of the Borrower."

          SECTION 3.     Representations and Warranties; No
Defaults.  Each Loan Party hereby represents and warrants that
after giving effect to the amendments set forth in Section 2 of
this Agreement, (a) the representations and warranties contained
in the Credit Agreement and Loan Documents are correct on the
effective date of this Agreement, and (b) no Default or Event of
Default has occurred or is continuing on the date hereof and on
the effective date of this Agreement.

          SECTION 4.     Counterparts.  This Agreement (a) may be
executed in two or more counterparts, each of which shall be
deemed an original, but all of which taken together shall
constitute one and the same instrument, (b) shall be effective
only in this specific instance for the specific purpose set forth
herein, and (c) does not allow any other or further departure
from the terms of the Credit Agreement or the Loan Documents,
which terms shall continue in full force and effect.

          SECTION 5.     Conditions to Effectiveness.  This Agree
ment shall become effective as of the date hereof when (a) copies
hereof, when taken together, bearing the signatures of each of
the Loan Parties and the Required Banks have been received by the
Administrative Agent,  (b) the Borrower has granted the Banks a
first priority lien on the corporate concentration account to
secure the Obligations under the Existing Facility, (c) the
Borrower has granted the Banks a second priority lien on all
Eligible Inventory (to be defined) of the Borrower and its
Subsidiaries to secure an amount equal to the difference between
$50 million of borrowing under the Existing Facility minus the
amount of indebtedness under the Senior Revolving Credit Facility
outstanding on the date of the occurrence of an Event of Default
(as defined in the Senior Revolving Credit Facility), (d) the
Borrower has granted the Banks a first priority lien to secure
the Obligations under the Existing Facility on all tangible
personal property, including furniture, fixtures and equipment
and (e) the Senior Revolving Credit Facility is duly executed and
becomes effective.  The Borrower and Subsidiaries agree to effect
such additional documents or agreements as the Administrative
Agent may reasonably request in connection with the foregoing.

          SECTION 6.  Acknowledgments, Releases and Defenses.
Each Loan Party hereby (i) acknowledges and confirms that the
Administrative Agent and the Banks have performed fully all of
their respective obligations under the Credit Agreement and the
other Loan Documents and the instruments and agreements referred
to therein; (ii) releases the Administrative Agent, the Banks,
and the Administrative Agent's and Banks' respective officers,
directors, employees, agents, attorneys, affiliates, subsidiaries
and representatives from any an all actions, causes of action,
claims, demands, damages and liabilities of whatever kind or
nature, in law or in equity, now known or unknown, suspected or
unsuspected to the extent that any of the foregoing arises from
any action or failure to act on or prior to the date hereof;
(iii) acknowledges that it has no offsets or defenses to its
obligations under the Credit Agreement and the other Loan
Documents; and (iv) ratifies, acknowledges and affirms its
obligations under the Credit Agreement and the other Loan
Documents, including, without limitation, the amounts borrowed
thereunder.   Except as otherwise specified herein, there is no
amendment of any other term, condition or provision of the Credit
Agreement all of which are hereby ratified and confirmed by the
Borrower and the Parent.

          SECTION 7. Applicable Law.  THIS AGREEMENT SHALL BE
GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE
STATE OF NEW YORK.

          IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be duly executed by their duly authorized officers,
all as of the date and year first written above.

                         SPECIALTY RETAILERS, INC.

                         By: /s/ Charles M. Sledge___________________
                               Name: Charles M. Sledge
                               Title: SVP Finance & Treasurer

                         STAGE STORES, INC.

                         By: /s/ James A. Marcum __________________
                               Name: James A. Marcum
                               Title: Vice Chairman/CFO

                         CREDIT SUISSE FIRST BOSTON,
                            as Administrative Agent, Collateral Agent,
                            Swingline Bank and L/C Bank

                         By: /s/ Jan Kofol________________________
                               Name: Jan Kofol
                               Title: Director

                         By: /s/ Didier Siffer_____________________
                               Name: Didier Siffer
                               Title: Vice President

                         BANK UNITED

                         By: /s/ Gordon Kovacs__________________
                               Name: Gordon Kovacs
                               Title: Vice President

                         BANQUE WORMS CAPITAL CORPORATION

                         By: __________________________
                               Name:
                               Title:

                         BANQUE PARIBAS HOUSTON AGENCY

                         By: /s/ Albert A. Young Jr._____________
                               Name: Albert A. Young Jr.
                               Title: Director

                         By: /s/ Edward V. Canale______________
                               Name: Edward V. Canale
                               Title: Managing Director

                         BANK AUSTRIA CREDITANSTALT
                         CORPORATE FINANCE, INC.
                         F.K.A. Creditanstalt Corporate Finance, Inc.

                         By: __________________________
                               Name:
                               Title:

                         By: __________________________
                               Name:
                               Title:

                         HIBERNIA NATIONAL BANK

                         By: __________________________
                               Name:
                               Title:

                         IMPERIAL BANK, A CALIFORNIA BANKING CORPORATION

                         By: __________________________
                               Name:
                               Title:

                         ROYAL BANK OF SCOTLAND

                         By: /s/ Derek Bonnar_______________
                               Name: Derek Bonnar
                               Title: Vice President

                         THE FUJI BANK, LIMITED

                         By: __________________________
                               Name:
                               Title:

                         UNION BANK OF CALIFORNIA, N.A.

                         By: /s/ Richard P. DeGrey____________
                               Name: Richard P. DeGrey
                               Title: Vice President

                         FIRST COMMERCIAL BANK

                         By: __________________________
                               Name:
                               Title:

                         Bankers Life & Casualty

                         By: /s/ Eric Johnson_____________
                               Name: Eric Johnson
                               Title: Vice President

                         STEIN, ROE & FARNHAM / KEYPORT LIFE

                         By: /s/ Jim Fellows______________
                               Name: Jim Fellows
                               Title:

_______________________________
1There is a 'blank' Footer B here to retain soft page breaksExhibit 4.81

                        CREDIT AGREEMENT

                             among

                   SPECIALTY RETAILERS, INC.,
                          as Borrower

                      STAGE STORES, INC.,
                          as Guarantor

                    THE BANKS NAMED HEREIN,

                              and

                  CREDIT SUISSE FIRST BOSTON,
          as Administrative Agent and Collateral Agent

                   Dated as of March 6, 2000

                          $35,000,000

                       TABLE OF CONTENTS

                                                             Page

SECTION 1.  DEFINITIONS                                        1
      Section 1.1  Definitions                                 1

SECTION 2.  AMOUNT AND TERMS OF CREDIT FACILITIES             25
      Section 2.1  Revolving Loans                            25
      Section 2.2  Notice of Borrowing                        25
      Section 2.3  Disbursement of Funds                      26
      Section 2.4  Evidence of Indebtedness; Revolving Notes  26
      Section 2.5  Interest                                   27
      Section 2.6  Interest Periods                           28
      Section 2.7  Minimum Amount of Eurodollar Loans         28
      Section 2.8  Conversion or Continuation                 28
      Section 2.9  Voluntary and Mandatory Reductions of
                    Commitments                               29
      Section 2.10  Voluntary Prepayments                     29
      Section 2.11  Mandatory Prepayments                     29
      Section 2.12  Application of Prepayments                31
      Section 2.13  Method and Place of Payment               31
      Section 2.14  Fees                                      32
      Section 2.15  Interest Rate Unascertainable, Increased
                    Costs, Illegality                         32
      Section 2.16  Funding Losses                            34
      Section 2.17  Increased Capital                         34
      Section 2.18  Taxes                                     35
      Section 2.19  Action of Affected Banks                  36
      Section 2.20  Use of Proceeds                           36

SECTION 3.  CONDITIONS PRECEDENT                              36
      Section 3.1  Conditions Precedent to Initial Loans      36
      Section 3.2  Conditions Precedent to All Loans          39

SECTION 4.  REPRESENTATIONS AND WARRANTIES                    40
      Section 4.1  Corporate Status                           40
      Section 4.2  Corporate Power and Authority              40
      Section 4.3  No Violation                               41
      Section 4.4  Litigation                                 41
      Section 4.5  Financial Statements; Financial Condition;
                   etc.                                       41
      Section 4.6  [Intentionally left blank].                41
      Section 4.7  Projections                                41
      Section 4.8  Material Adverse Effect                    41
      Section 4.9  Use of Proceeds; Margin Regulations        42
      Section 4.10  Governmental Approvals                    42
      Section 4.11  Security Interests and Liens              42
      Section 4.12  Tax Returns and Payments                  42
      Section 4.13  ERISA                                     42
      Section 4.14  Investment Company Act; Public Utility
                    Holding Company Act                       43
      Section 4.15  Representations and Warranties in Loan
                    Documents                                 43
      Section 4.16  True and Complete Disclosure              43
      Section 4.17  Corporate Structure; Capitalization       43
      Section 4.18  Environmental Matters                     44
      Section 4.19  Insurance                                 44
      Section 4.20  Patents, Trademarks, etc.                 45
      Section 4.21  Ownership of Property                     45
      Section 4.22  No Default                                45
      Section 4.23  Licenses, etc.                            45
      Section 4.24  Compliance With Law                       45
      Section 4.25  No Burdensome Restrictions                45
      Section 4.26  Labor Matters                             45
      Section 4.27  Parent Business                           46
      Section 4.28  Cash Balances                             46

SECTION 5.  AFFIRMATIVE COVENANTS                             46
      Section 5.1  Information Covenants                      46
      Section 5.2  Books, Records and Inspections             50
      Section 5.3  Maintenance of Insurance                   50
      Section 5.4  Taxes                                      50
      Section 5.5  Corporate Franchises                       51
      Section 5.6  Compliance with Law                        51
      Section 5.7  Performance of Obligations                 51
      Section 5.8  Maintenance of Properties                  51
      Section 5.9  Further Assurances                         51
      Section 5.10  Receivables Program Refinancings.         52
      Section 5.11  Maintenance of Corporate Separateness     52
      Section 5.12  Post Closing Opinions                     52
      Section 5.13  Corporate Concentration Account           52
      Section 5.14  Cash Sweep                                53
      Section 5.15  Cash Equivalents                          53
      Section 5.16  Projections                               53

SECTION 6.  NEGATIVE COVENANTS                                53
      Section 6.1  Financial Covenants                        53
      Section 6.2  Indebtedness                               55
      Section 6.3  Liens                                      56
      Section 6.4  Restriction on Fundamental Changes         57
      Section 6.5  Sale of Assets                             57
      Section 6.6  Contingent Obligations                     58
      Section 6.7  Dividends                                  58
      Section 6.8  Advances, Investments and Loans            59
      Section 6.9  Transactions with Affiliates               60
      Section 6.10  Limitation on Voluntary Payments and
                    Modifications of Certain Documents        60
      Section 6.11  Changes in Business                       60
      Section 6.12  Certain Restrictions                      60
      Section 6.13  Sales and Leasebacks                      61
      Section 6.14  Plans                                     61
      Section 6.15  Limitation on Dispositions of Subsidiary
                    Stock                                     61
      Section 6.16  Fiscal Year; Fiscal Quarter               61
      Section 6.17  Receivables Program                       61

SECTION 7.  EVENTS OF DEFAULT                                 62
      Section 7.1  Events of Default                          62
      Section 7.2  Rights and Remedies                        64

SECTION 8.  THE ADMINISTRATIVE AGENT AND COLLATERAL AGENT     65
      Section 8.1  Appointment                                65
      Section 8.2  Delegation of Duties                       65
      Section 8.3  Exculpatory Provisions                     66
      Section 8.4  Reliance by Agent                          66
      Section 8.5  Notice of Default                          66
      Section 8.6  Non-Reliance on Agent and Other Banks      66
      Section 8.7  Indemnification                            67
      Section 8.8  Agent in its Individual Capacity           67
      Section 8.9  Successor Agent                            67

SECTION 9.  MISCELLANEOUS                                     68
      Section 9.1  Payment of Expenses, Indemnity, etc.       68
      Section 9.2  Right of Setoff                            69
      Section 9.3  Notices                                    69
      Section 9.4  Successors and Assigns; Participation;
                   Assignments                                70
      Section 9.5  Amendments and Waivers                     71
      Section 9.6  No Waiver; Remedies Cumulative             72
      Section 9.7  Sharing of Payments                        72
      Section 9.8  Governing Law; Submission to Jurisdiction  73
      Section 9.9  Counterparts                               73
      Section 9.10  Effectiveness                             73
      Section 9.11  Headings Descriptive                      73
      Section 9.12  Marshalling; Recapture                    73
      Section 9.13  Severability                              74
      Section 9.14  Survival                                  74
      Section 9.15  Domicile of Loans                         74
      Section 9.16  Limitation of Liability                   74
      Section 9.17  Calculations; Computations                74
      Section 9.18  Waiver of Trial by Jury                   75
      Section 9.19  Nature of Borrowers' Obligations          75

SECTION 10.  PARENT GUARANTY                                  76
      Section 10.1  The Parent Guaranty                       76
      Section 10.2  Bankruptcy                                76
      Section 10.3  Nature of Liability                       77
      Section 10.4  Independent Obligation                    77
      Section 10.5  Authorization                             77
      Section 10.6  Reliance                                  78
      Section 10.7  Subordination                             78
      Section 10.8  Waiver                                    78
      Section 10.9  Maximum Liability                         79

EXHIBITS

Exhibit A    -      Form of Notice of Borrowing
Exhibit B    -      Form of Revolving Note
Exhibit C-1  -      Form of Notice of Conversion
Exhibit C-2  -      Form of Notice of Continuation
Exhibit D    -      Form of Security Agreement
Exhibit E    -      Form of Subsidiary Guaranty
Exhibit F    -      Form of Warrant Agreement
Exhibit G    -      Form of Opinion of CW&T, counsel to the Loan Parties
Exhibit H    -      Form of Monthly Financials
Exhibit I    -      Form of Monthly Reports
Exhibit J    -      Form of Compliance Certificate
Exhibit K    -      Form of Excess Cash Flow Certificate
Exhibit L    -      Form of Transfer Supplement
Exhibit M    -      Form of Intercompany Note

SCHEDULES

Schedule I - Material Subsidiaries of Specialty and Stage
Schedule II  -      Receivables Program Documents
Schedule 4.8 -      Material Adverse Changes
Schedule 4.10       -    Governmental Approvals
Schedule 4.13       -    ERISA
Schedule 4.17       -    Corporate Structure; Capitalization
Schedule 4.18       -    Environmental Matters
Schedule 4.19       -    Insurance
Schedule 4.21       -    Ownership of Property
Schedule 4.26       -    Labor Matters
Schedule 6.2 -      Existing Indebtedness
Schedule 6.3 -      Existing Liens
Schedule 6.6 -      Contingent Obligations
Schedule 6.9 -      Leases

          CREDIT  AGREEMENT,  dated as of March  6,  2000,  among
SPECIALTY  RETAILERS, INC., a Texas corporation (the "Borrower"),
STAGE  STORES,  INC., a Delaware corporation (the "Parent"),  the
Banks  (such  term  and each other capitalized term  used  herein
having  the  meaning  assigned to such term in  Section  1),  and
CREDIT  SUISSE FIRST BOSTON, acting in its capacity as agent  for
the  Banks (in such capacity, the "Administrative Agent") and  in
its capacity as collateral agent for the Banks (in such capacity,
the "Collateral Agent").

          The Borrower has requested that the Banks extend credit
to  the  Borrower to enable the Borrower to borrow on a revolving
basis Revolving Loans in an aggregate principal amount up to (but
not to exceed) $35,000,000.

          The  proceeds of the Revolving Loans will be  used  for
working capital of the Borrower and its Subsidiaries.

          Accordingly, the Borrower, the Parent, the  Banks,  the
Administrative  Agent and the Collateral Agent  hereby  agree  as
follows:

SECTION 10  DEFINITIONS.

          Section  1.1   Definitions.  As used  herein,  the  fol
lowing terms shall have the meanings herein specified unless  the
context  otherwise  requires.  Defined terms  in  this  Agreement
shall include in the singular number the plural and in the plural
number the singular.

          "Adjusted  Leverage Ratio" shall mean on  any  day  the
ratio  on  such day of (i) Consolidated Total Debt  on  such  day
determined  on  a  Pro Forma Basis to (ii) Consolidated  Adjusted
EBITDA for the four consecutive quarters of the Parent (taken  as
one accounting period) most recently ended.

          "Administrative Agent" shall mean Credit  Suisse  First
Boston  acting  in its capacity as administrative agent  for  the
Banks  and  any  successor  agent appointed  in  accordance  with
Section 8.9.

          "Administrative Agent's Office" shall mean  the  office
of the Administrative Agent located at Eleven Madison Avenue, New
York, New York, 10010, or such other office as the Administrative
Agent  may  hereafter designate in writing as such to  the  other
parties hereto.

          "Affiliate" shall mean, with respect to any Person, any
other  Person  directly or indirectly controlling (including  but
not  limited  to  all  directors and officers  of  such  Person),
controlled  by, or under direct or indirect common  control  with
such  Person.  A Person shall be deemed to control a  corporation
if  such  Person possesses, directly or indirectly, the power  to
(i)  vote  10%  or more of the securities having ordinary  voting
power  for the election of directors of such corporation or  (ii)
direct  or cause the direction of the management and policies  of
such   corporation,  whether  through  the  ownership  of  voting
securities, by contract or otherwise.

          "Agent" shall have the meaning provided in Section 8.1.

          "Agreement"  shall mean this Credit  Agreement  as  the
same  may  from time to time hereafter be modified, supplemented,
restated, or amended.

          "Anticipated  Reinvestment  Amount"  shall  mean,  with
respect to any Reinvestment Election exercised with respect to an
Eligible  Asset  Sale, the amount specified in  the  Reinvestment
Notice  delivered by the Borrower in connection therewith as  the
amount  of the Net Cash Proceeds from the related Eligible  Asset
Sale  that the Borrower intends to use to purchase, construct  or
otherwise acquire Reinvestment Assets.

          "Asset  Sale"  shall mean the sale, transfer  or  other
disposition (whether voluntary or involuntary) by the  Parent  or
any of its Subsidiaries (including, without limitation, by way of
the  damage, destruction or condemnation thereof) to  any  Person
other  than  any  Loan  Party of (a) any  capital  stock  of  any
Subsidiary of the Parent or any of its Subsidiaries; (b)  substan
tially all the assets of any geographic or other division or line
of  business of the Parent or any of its Subsidiaries; or (c) any
other  asset or assets (excluding inventory and other assets  pur
chased for sale to others in the ordinary course of business  and
sales of Receivables pursuant to the Receivables Program) of  the
Parent  or  any of its Subsidiaries, provided that (i) any  asset
sale  included in clause (c) above shall be deemed not to  be  an
"Asset  Sale" until the aggregate amount of all such sales  after
the Closing Date by the Parent and its Subsidiaries, taken togeth
er,  that  have  not  previously become Asset  Sales  under  this
Agreement equals or exceeds $1,000,000,  (ii) any asset  sale  or
series  of  related  asset sales described in  clause  (c)  above
having  a value less than $100,000 shall not be deemed an  "Asset
Sale"  for purposes of this Agreement and (iii) any sale  of  (x)
the  aircraft owned by the Borrower, (y) any asset sale or series
of  asset  sales related to the sale of the C.R. Anthony  Company
corporate   headquarters  building  located  in  Oklahoma   City,
Oklahoma  or  the sale of equipment located at the  C.R.  Anthony
Company  distribution center located in Oklahoma  City,  Oklahoma
and  (z)  the sale of not more than five leasehold interests  per
year relating to stores closed in the ordinary course of business
(so  long  as the value of each such leasehold interest does  not
exceed  $500,000),  shall be deemed not to  be  an  "Asset  Sale"
hereunder.

          "Authorized  Officer" shall mean with  respect  to  any
Person  such Person's Chairman, President or Principal  Financial
Officer.

          "Bankruptcy  Code" shall mean Title 11  of  the  United
States Code entitled "Bankruptcy", as amended from time to  time,
and  any  successor statute or statutes, together with all  rules
promulgated in connection therewith.

          "Banks" shall mean the Persons listed on Annex 1 hereto
and the Persons which from time to time become a party hereto  in
accordance with Section 9.4(c).

          "Base  Rate" shall mean, for any day, a rate per  annum
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 Administrative 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
Administrative   Agent   to  obtain  sufficient   quotations   in
accordance with the terms thereof, the Base Rate shall  be  deter
mined 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 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, without notice
to the Borrower.

          "Base  Rate  Loans" shall mean Loans made and/or  being
maintained at a rate of interest based upon the Base Rate.

          "Bealls   Subordinated  Notes"  shall  mean   (i)   the
$14,982,914 12% Bealls Holding Subordinated Notes due 2002,  (ii)
the $14,312,959 7% Bealls Junior Subordinated Debentures due 2003
and  (iii)  the $4,381,185 7% FB Holdings Subordinated Notes  due
2000.

          "Borrower" shall have the meaning provided in the first
paragraph of this Agreement.

          "Borrower's Share of Excess Cash Flow" shall  mean  the
amount of Excess Cash Flow, determined on a cumulative basis from
January  30,  2000 through the last day of the fiscal  year  most
recently  ended prior to the date of determination, that  is  not
required to be applied to the prepayment of the Loans pursuant to
the  Existing Credit Agreement or Section 2.11(a)(iii) minus  the
amount  thereof  previously applied to  make  additional  Capital
Expenditures pursuant to Section 6.1(d).

          "Borrowing"  shall mean the incurrence of one  Type  of
Loan from all the Banks on a given date (or resulting from conver
sions  or continuations on a given date), having in the  case  of
Eurodollar Loans the same Interest Period.

          "Business  Day"  shall mean (i) for all purposes  other
than as covered by clause (ii) below, any day excluding Saturday,
Sunday  and  any  day which shall be in New  York  City  a  legal
holiday or a day on which banking institutions are authorized  or
required  by  law or other government actions to close  and  (ii)
with  respect  to  all notices and determinations  in  connection
with,  and  payments  of  principal and interest  on,  Eurodollar
Loans,  any  day which is a Business Day described in clause  (i)
and which is also a day for trading by and between banks for U.S.
dollar deposits in the London Interbank Eurodollar market.

          "Capital Expenditures" shall mean, for any period,  the
sum  of  expenditures  (whether paid in  cash  or  accrued  as  a
liability,  including  the portion of Capital  Leases  originally
incurred   during  such  period  that  is  capitalized   on   the
consolidated balance sheet of the Parent and its Subsidiaries) by
the  Parent  and  its Subsidiaries during such  period  that,  in
conformity  with  GAAP,  are included in "capital  expenditures",
"additions  to property, plant or equipment" or comparable  items
in  the  consolidated financial statements of the Parent and  its
Subsidiaries.

          "Capital  Lease" shall mean (i) any lease of  property,
real or personal, the obligations under which are capitalized  on
the   consolidated   balance  sheet  of  the   Parent   and   its
Subsidiaries,  and (ii) any other such lease to the  extent  that
the   then   present  value  of  the  minimum  rental  commitment
thereunder should, in accordance with GAAP, be capitalized  on  a
balance sheet of the lessee.

          "Capital  Lease Obligations" shall mean all obligations
of the Parent and its Subsidiaries under or in respect of Capital
Leases.

          "Cash Equivalents" shall mean (i) securities issued  or
directly and fully guaranteed or insured by the United States  of
America  or any agency or instrumentality thereof (provided  that
the  full  faith and credit of the United States  of  America  is
pledged  in support thereof) having maturities of not  more  than
365  days  from the date of acquisition, (ii) time  deposits  and
certificates  of  deposit of any Bank or any domestic  commercial
bank  of recognized standing having capital and surplus in excess
of  $500,000,000 with maturities of not more than 365  days  from
the   date   of  acquisition,  (iii)  fully  secured   repurchase
obligations  with a term of not more than 7 days  for  underlying
securities of the types described in clause (i) entered into with
any  bank  meeting the qualifications specified  in  clause  (ii)
above, and (iv) commercial paper issued by the parent corporation
of  any  Bank  or  any  domestic commercial  bank  of  recognized
standing having capital and surplus in excess of $500,000,000 and
commercial paper rated at least A-1 or the equivalent thereof  by
Standard  &  Poor's or at least P-1 or the equivalent thereof  by
Moody's and in each case maturing within 270 days after the  date
of acquisition.

          "Change  of  Control" shall mean (a) the  Parent  shall
cease to own, beneficially and of record, 100% of the outstanding
capital stock of the Borrower, (b) any Person or group of Persons
(within  the  meaning of Section 13 or 14 of  the  Exchange  Act)
shall  have acquired beneficial ownership (within the meaning  of
Rule  13d-3 promulgated by the Securities and Exchange Commission
under  the Exchange Act) of 35% or more of the outstanding shares
of   any  class  of  outstanding  common  stock  of  the  Parent,
(c) Continuing Directors shall cease to constitute a majority  of
the  board  of  directors of the Parent.   "Continuing  Director"
shall  mean  at  any  date  a member of  the  Parent's  board  of
directors  who was either a member of such board on  the  Closing
Date or was nominated for election to such board by at least two-
thirds  of  the  Continuing Directors then in  office  or  (d)  a
"Change  of  Control"  as  defined  in  either  the  Senior  Note
Indenture or the Senior Subordinated Note Indenture.

          "Cleanup"  shall  mean all actions  required  to:   (a)
cleanup,  remove,  treat or remediate Materials of  Environmental
Concern  in  the indoor or outdoor environment, (b)  prevent  the
Release of Materials of Environmental Concern so that they do not
migrate,  endanger  or  threaten to  endanger  public  health  or
welfare  or  the  indoor  or  outdoor  environment,  (c)  perform
pre-remedial   studies  and  investigations   and   post-remedial
monitoring  and  care, or (d) respond to any government  requests
for  information  or  documents in any way relating  to  cleanup,
removal,  treatment or remediation or potential cleanup, removal,
treatment or remediation of Materials of Environmental Concern in
the indoor or outdoor environment.

          "Closing  Date"  shall  mean  the  date  on  which  the
conditions  precedent  set  forth  in  Section  3.1   have   been
satisfied.

          "Code" shall mean the Internal Revenue Code of 1986, as
amended  from  time to time, and any successor statute,  together
with   all   rules  and  regulations  promulgated  in  connection
therewith.

          "Collateral"  shall mean all property and interests  in
property now owned or hereafter acquired in or upon which a  Lien
has  been or is purported or intended to have been granted to the
Collateral Agent under any of the Security Documents.

          "Collateral  Agent"  shall  mean  Credit  Suisse  First
Boston acting in its capacity as collateral agent for the Secured
Creditors under the Security Documents and any successor collater
al agent appointed in accordance with Section 8.9.

          "Commitment"  shall mean, for each Bank  at  any  given
time, its Revolving Loan Commitment.

          "Commitment  Fee" shall have the meaning set  forth  in
Section 2.14(b).

          "Commitment  Letter"  shall mean  that  certain  letter
agreement  among the Borrower, the Parent and each of the  Banks,
dated as of February 18, 2000, relating to the Transactions.

          "Compliance  Certificate" shall mean a  certificate  of
the  Principal Financial Officer of the Borrower in the  form  of
Exhibit J hereto and delivered pursuant to Section 5.1(h) hereto.

          "Consolidated Adjusted EBITDA" shall mean, for any peri
od,   the Consolidated EBITDA for such period determined on a Pro
Forma Basis.

          "Consolidated  Cash Interest Expense" shall  mean,  for
any  period, Consolidated Interest Expense for such period  minus
the  amount  of such Consolidated Interest Expense  not  paid  or
payable in cash.

          "Consolidated Current Assets" shall mean, at any  time,
the  current assets (other than cash and Cash Equivalents) of the
Parent  and  its  Subsidiaries at  such  time,  determined  on  a
consolidated basis in accordance with GAAP.

          "Consolidated Current Liabilities" shall mean,  at  any
time, the current liabilities (other than the current portion  of
all long-term Indebtedness) of the Parent and its Subsidiaries at
such  time, determined on a consolidated basis in accordance with
GAAP.

          "Consolidated EBITDA" shall mean, for any  period,  the
sum, without duplication, of (i) Consolidated Net Income for such
period  plus  (ii) Consolidated Interest Expense for such  period
plus  (iii) amortization of deferred Indebtedness issuance  costs
and  expenses for such period plus (iv) federal and state  income
taxes  deducted in calculating Consolidated Net Income  for  such
period,  plus  (v) to the extent deducted in the  calculation  of
Consolidated Net Income for such period, depreciation and  amorti
zation   expense  plus  (vi)  to  the  extent  deducted  in   the
calculation  of  Consolidated Net Income  for  such  period,  any
noncash charges related to the issuance by the Parent or  any  of
its  Subsidiaries of stock, warrants or options to  any  employee
thereof (or any exercise of any such warrants or options) or  any
re-valuation  of such stock, warrants or options,  minus  to  the
extent  added to the calculation of Consolidated Net  Income  for
such  period,  any noncash gain related to the  issuance  by  the
Parent  or any of its Subsidiaries of stock, warrants or  options
to  any employee thereof (or any exercise of any such warrants or
options)  or any re-valuation of such stock, warrants or options,
all  determined  on a consolidated basis for the Parent  and  its
Subsidiaries in accordance with GAAP plus, (vii) special  charges
for  restructuring (consisting of store closures, downsizing  and
inventory  and other valuation reserves) of up to $65,000,000  in
the aggregate taken in the fourth quarter of fiscal year 1999 and
the first two fiscal quarters of fiscal year 2000 as specified on
Schedule 1 to the Fifth Amendment Agreement, dated as of February
3,  2000,  to  the Existing Credit Agreement, by  and  among  the
parties  thereto,  or other costs, expenses or losses  associated
with  the  termination of employment of such  executives  not  to
exceed  amounts  otherwise  payable under  any  such  executive's
existing  employment  contract plus  (viii)  executive  severance
payments  pursuant  to the current terms of  existing  employment
contracts,  plus  (ix) any special charges (to  the  extent  such
charges  affect Consolidated EBITDA) relating to the  closing  of
any  stores other than stores listed on Schedule 1 to  the  Sixth
Amendment  Agreement,  dated as of  February  18,  2000,  to  the
Existing Credit Agreement, by and among the parties thereto.

          "Consolidated   Fixed  Charges"  shall  mean,   without
duplication,  for  any  period, the sum of (i)  all  Consolidated
Interest  Expense  for such period, plus (ii) scheduled  payments
due  in  the next succeeding four quarters for principal  of  the
Expansion Loans (as defined in the Existing Credit Agreement) and
other  Indebtedness (including the principal component of Capital
Leases  but  excluding amounts due on the Final  Maturity  Date),
plus (iii) Consolidated Rental Expense plus (iv) all federal  and
state  income  taxes paid or payable in cash during such  period,
all  as  determined  on a consolidated basis in  accordance  with
GAAP.

          "Consolidated  Interest Expense" shall  mean,  for  any
fiscal   period  of  the  Parent,  the  total  interest   expense
(including, without limitation, interest expense attributable  to
Capital  Leases  in accordance with GAAP) of the Parent  and  its
Subsidiaries  for  such  period,  minus  all  interest   earnings
received  by the Parent and its Subsidiaries in cash during  such
period,  minus  amortization  of deferred  Indebtedness  issuance
costs and expenses for such period, in each case determined on  a
consolidated basis in accordance with GAAP.

          "Consolidated Net Income" for any period, means the net
income  (or  loss)  of  the  Parent and  its  Subsidiaries  on  a
consolidated basis for such period (taken as a single  accounting
period)  determined in accordance with GAAP provided  that  there
shall be excluded (a) the income (or loss) of any Person in which
any  other  Person (other than the Borrower or any of its  wholly
owned  Subsidiaries  or any directors holding qualifying  shares)
has  a joint interest, except to the extent of the amount of divi
dends or other distributions actually paid to the Borrower or any
of  its  wholly  owned Subsidiaries by such  Person  during  such
period,  (b) the income (or loss) of any Person accrued prior  to
the   date  it  becomes  a  Subsidiary  or  is  merged  into   or
consolidated with the Borrower or any of its Subsidiaries or that
Person's  assets  are  acquired by the Borrower  or  any  of  its
Subsidiaries, (c) the income of any Subsidiary to the extent that
the  declaration or payment of dividends or similar distributions
by such Subsidiary of that income is not at the time permitted by
operation   of  the  terms  of  its  charter  or  any  agreement,
instrument,   judgment,   decree,   order,   statute,   rule   or
governmental  regulation applicable to such Subsidiary,  (d)  any
after tax gains or losses attributable to Asset Sales and (e) (to
the extent not included in clauses (a) through (d) above) any net
extraordinary gains or net non-cash extraordinary losses.

          "Consolidated Net Tangible Assets" shall mean,  at  any
particular  time,  the  aggregate  amount  of  all  assets  (less
applicable  reserves and other properly deductible  items)  after
deducting   therefrom  all  goodwill,  trade  names,  trademarks,
patents, unamortized debt issue costs (to the extent included  in
said  aggregate amount of assets) and other like intangibles,  as
set  forth on the most recent consolidated balance sheet  of  the
Parent and its Subsidiaries and computed in accordance with GAAP.

          "Consolidated Rental Expense" shall mean for any period
all rents accrued during such period under operating leases under
which  the  Parent or any of its Subsidiaries is the  lessee,  as
determined on a consolidated basis in accordance with GAAP.

          "Consolidated Total Debt" shall mean, at any time,  all
Indebtedness of the Parent and its Subsidiaries, as determined on
a consolidated basis in accordance with GAAP.

          "Consolidated  Total Senior Debt" shall  mean,  at  any
time,  all Indebtedness of the Parent and its Subsidiaries  other
than the Senior Subordinated Notes and Indebtedness which by  its
terms  is expressly subordinated to the Obligations and all other
senior obligations of the Parent and its Subsidiaries.

          "Consolidated Working Capital" shall mean at  any  time
an amount equal to Consolidated Current Assets minus Consolidated
Current Liabilities at such time.

          "Contingent Obligation" as to any Person shall mean any
obligation  of such Person guaranteeing or intended to  guarantee
any   Indebtedness,   leases,  dividends  or  other   obligations
("Primary  Obligations")  of  any  other  Person  (the   "Primary
Obligor")  in  any  manner, whether directly  or  indirectly,  in
cluding,  without  limitation, any  obligation  of  such  Person,
whether  or  not  contingent, (i) to purchase  any  such  Primary
Obligation  or  any  property  constituting  direct  or  indirect
security  therefor, (ii) to advance or supply funds (x)  for  the
purchase  or  payment of any such Primary Obligation  or  (y)  to
maintain working capital or equity capital of the Primary Obligor
or otherwise to maintain the net worth or solvency of the Primary
Obligor,  (iii)  to  purchase property,  securities  or  services
primarily  for  the  purpose of assuring the owner  of  any  such
Primary Obligation of the ability of the Primary Obligor to  make
payment of such Primary Obligation or (iv) otherwise to assure or
hold  harmless the owner of such Primary Obligation against  loss
in  respect  thereof; provided, however, that the term Contingent
Obligation  shall  not include endorsements  of  instruments  for
deposit  or  collection in the ordinary course of business.   The
amount  of  any Contingent Obligation shall be deemed  to  be  an
amount  equal to the stated or determinable amount of the Primary
Obligation in respect of which such Contingent Obligation is made
or,  if  not  stated  or  determinable, the  maximum  anticipated
liability in respect thereof (assuming such Person is required to
perform thereunder) as determined by such Person in good faith.

          "Corporate  Concentration  Account"  shall  mean   that
certain  deposit account at Chase Bank of Texas,  account  number
, or the Successor Corporate Concentration Account.

          "Credit  Exposure" shall have the meaning  provided  in
Section 9.4(b).

          "Custodial Account" shall have the meaning provided  in
Section 4.28.

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

          "Default  Rate"  shall  have the  meaning  provided  in
Section 2.5(c).

          "Dividends" shall have the meaning provided in  Section
6.7.

          "Domestic  Lending Office" shall mean, as to any  Bank,
the  office of such Bank designated as such on Annex 1,  or  such
other office designated by such Bank from time to time by written
notice to the Administrative Agent and the Borrower.

          "Eligible  Asset Sale" shall mean any Asset  Sale,  the
Net  Cash  Proceeds of which shall not exceed 5% of  Consolidated
Net  Tangible Assets at the time of such sale in the case of  any
individual Asset Sale or 10% of Consolidated Net Tangible  Assets
in the aggregate for all such Asset Sales.

          "Environmental Affiliate" shall mean, with  respect  to
any  Person,  any  other Person whose liability for  any  Environ
mental  Claim  such Person has or may have retained,  assumed  or
otherwise  become liable for (contingently or otherwise),  either
contractually or by operation of law.

          "Environmental  Approvals"  shall  mean   any   permit,
license, approval, ruling, variance, exemption or other authoriza
tion required under applicable Environmental Laws.

          "Environmental Claim" shall mean, with respect  to  any
Person,  any  notice,  claim,  demand  or  similar  communication
(written  or  oral)  by any other Person alleging  potential  lia
bility  for  investigatory  costs,  cleanup  costs,  governmental
response  costs,  natural  resources damages,  property  damages,
personal injuries, fines or penalties arising out of, based on or
resulting from (i) the presence, or release into the environment,
of any Material of Environmental Concern at any location, whether
or  not  owned by such Person or (ii) circumstances  forming  the
basis  of  any  violation, or alleged violation, of  any  Environ
mental Law.

          "Environmental  Laws" shall mean  all  federal,  state,
local  and foreign laws and regulations relating to pollution  or
protection of human health or the environment (including, without
limitation,  ambient  air,  surface  water,  ground  water,  land
surface or subsurface strata), including without limitation, laws
and  regulations relating to emissions, discharges,  releases  or
threatened  releases  of Materials of Environmental  Concern,  or
otherwise  relating to the manufacture, processing, distribution,
use,  treatment,  storage,  disposal, transport  or  handling  of
Materials of Environmental Concern.

          "Equity  Issuance" shall mean any issuance or  sale  by
the  Parent  or any of its Subsidiaries of any shares of  capital
stock  or  other  equity  securities  of  such  Person,  or   any
obligations convertible into or exchangeable for, or  giving  any
Person  a right, option or warrant to acquire such securities  or
such  convertible  or exchangeable obligations,  other  than  (a)
sales  or  issuances  to the Parent or any of  its  wholly  owned
Subsidiaries  and  (b)  sales or issuances  of  common  stock  or
options  to management or employees of the Parent or any  of  its
Subsidiaries  under any employee stock option or  stock  purchase
plan  or plan established pursuant to Section 401(k) of the  Code
in existence from time to time.

          "ERISA"  shall  mean  the  Employee  Retirement  Income
Security Act of 1974, as amended from time to time, together with
all  rules  and regulations promulgated in connection  therewith.
Section  references to ERISA are to ERISA, as in  effect  at  the
date  of  this Agreement and any subsequent provisions of  ERISA,
amendatory thereof, supplemental thereto or substituted therefor.

          "ERISA  Controlled Group" means a group  consisting  of
any  ERISA  Person  and  all members of  a  controlled  group  of
corporations and all trades or businesses (whether or not incorpo
rated) under common control with such Person that, together  with
such  Person, are treated as a single employer under  regulations
of the PBGC.

          "ERISA Person" shall have the meaning set forth in  Sec
tion 3(9) of ERISA for the term "person."

          "ERISA Plan" means any Plan that (i) is a Multiemployer
Plan  or  (ii)  has  Unfunded Benefit Liabilities  in  excess  of
$500,000.

          "Eurodollar Lending Office" shall mean, as to any Bank,
the  office of such Bank designated as such on Annex 1,  or  such
other office designated by such Bank from time to time by written
notice to the Administrative Agent and the Borrower.

          "Eurodollar  Loans" shall mean Loans made and/or  being
maintained at a rate of interest based upon the Eurodollar Rate.

          "Eurodollar  Rate" shall mean, for any Interest  Period
for each Eurodollar Loan, an interest rate per annum equal to the
rate  determined  by  the Administrative Agent  at  approximately
11:00  a.m. (London time) two Business Days before the first  day
of  such  Interest  Period by reference to the  British  Bankers'
Association Interest Settlement Rates for deposits in dollars (as
set  forth  by any services selected by the Administrative  Agent
which  has been nominated by the British Bankers' Association  as
an  authorized  information vendor for the purpose of  displaying
such  rates) for a period equal to the relevant Interest  Period;
provided  that,  to  the  extent that an  interest  rate  is  not
ascertainable  pursuant  to  the  foregoing  provisions  of  this
definition, the "Eurodollar Rate" shall be the interest rate  per
annum  determined by the Administrative Agent to be  the  average
(rounded upward to the nearest whole multiple of one-sixteenth of
one  percent (0.0625%) per annum, if such average is not  such  a
multiple) of the rates per annum at which deposits in dollars are
offered  to major banks in the London interbank market in London,
England  by  the  Reference  Banks at  approximately  11:00  a.m.
(London  time)  two Business Days before the first  day  of  such
Interest Period for such Interest Period.

          "Event  of Default" shall have the meaning provided  in
Section 7.

          "Excess  Cash  Flow" shall mean, with  respect  to  any
fiscal   period  of  the  Borrower,  an  amount  equal   to   (i)
Consolidated  Net  Income  for  such  fiscal  period,  plus  (ii)
depreciation and amortization expense to the extent  deducted  in
determining Consolidated Net Income for such fiscal period,  plus
(iii) Consolidated Interest Expense (other than Consolidated Cash
Interest Expense) during such fiscal period plus amortization  of
deferred  Indebtedness  issuance  costs  and  expenses  for  such
period,  plus  (or  minus)  (iv) any increase  (or  decrease)  in
deferred  taxes  during such fiscal period, plus (or  minus)  (v)
decreases (or increases) in Consolidated Working Capital from the
last  day of the preceding fiscal period to the last day of  such
fiscal period (excluding, however, decreases in Consolidated Work
ing  Capital  to  the extent such decreases are  attributable  to
Asset Sales), minus (vi) the aggregate amount paid or payable  in
cash  by  the  Borrower and its Subsidiaries during  such  fiscal
period  for  Capital Expenditures permitted pursuant  to  Section
6.1(d)  (except to the extent financed with Capital  Leases,  the
proceeds  of  purchase  money Indebtedness,  insurance  proceeds,
Retained  Equity  Proceeds, Retained  Offering  Proceeds  or  the
Borrower's  Share of Excess Cash Flow and except  to  the  extent
already  deducted in the calculation of Excess Cash Flow for  any
prior period), minus (vii) all scheduled principal repayments and
voluntary  prepayments of the Loans (as defined in  the  Existing
Credit Agreement) made during such fiscal period, but only to the
extent accompanied by a permanent reduction in the Expansion Loan
Commitment  (as  defined  in the Existing  Credit  Agreement)  or
Revolving  Loan  Commitment (as defined in  the  Existing  Credit
Agreement),  as the case may be, minus (vii) all regularly  sched
uled principal payments made during such fiscal period in respect
of  other  Indebtedness  to  the  extent  such  Indebtedness  and
payments  are  permitted to be incurred and made hereunder  minus
(viii)  the aggregate amount actually paid in cash by the  Parent
and  its Subsidiaries for Permitted Acquisitions (except  to  the
extent  financed with the proceeds of any Indebtedness, including
the Loans, or any Equity Issuance) minus (x) all payments made in
respect  of  the outstanding principal of the Bealls Subordinated
Notes to the extent permitted pursuant to Section 6.10(a)(iii).

          "Excess Cash Flow Certificate" shall mean a certificate
of the Principal Financial Officer of the Borrower in the form of
Exhibit K hereto and delivered pursuant to Section 5.1(h) hereof.

          "Existing Credit Agreement" shall mean the Amended  and
Restated  Credit  Agreement, dated as of June 17,  1997,  by  and
among  Specialty Retailers, Inc., Stage Stores, Inc., the various
lending  institutions  party  thereto  and  Credit  Suisse  First
Boston,  as  Administrative  Agent, Collateral  Agent,  Swingline
Bank,  and  L/C  Bank, as amended and restated by  the  Amendment
Agreement,  dated as of June 26, 1997, by and among  the  parties
thereto,  the Second Amendment Agreement, dated as of October  1,
1997,  by  and  among  the parties thereto, the  Third  Amendment
Agreement, dated as of October 7, 1998, by and among the  parties
thereto, the Fourth Amendment Agreement, dated as of January  27,
1999,  by  and  among  the parties thereto, the  Fifth  Amendment
Agreement, dated as of February 3, 2000, by and among the parties
thereto,  and the Sixth Amendment Agreement, dated as of February
18,  2000,  by  and  among the parties thereto  and  as  amended,
modified or otherwise supplemented from time to time.

          "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 published on the  next  succeeding
Business Day by the Federal Reserve Bank of New York or, if  such
rate is not so published for any day that is a Business Day,  the
average  of  the  quotations for the  day  of  such  transactions
received  by  the Administrative Agent from three  Federal  funds
brokers of recognized standing selected by it.

          "Federal  Reserve Board" shall mean the Board of  Gover
nors  of  the Federal Reserve System as constituted from time  to
time.

          "Fees"  shall  mean all fees and other amounts  payable
pursuant to the Loan Documents including, without limitation, the
fees payable pursuant to Section 2.14.

          "Final Maturity Date" shall mean June 14, 2002.

          "GAAP"  shall mean United States generally accepted  ac
counting  principles  as  in  effect  on  the  date  hereof   and
consistent  with those utilized in the preparation of  the  finan
cial statements referred to in Section 4.5.

          "Guaranteed Creditors" shall mean and include  each  of
the  Administrative Agent, the Collateral Agent and the Banks  to
the  extent such party constitutes a Secured Creditor  under  the
Security Documents.

          "Guaranteed  Obligations" shall mean (i) the  full  and
prompt  payment  when  due (whether at the  stated  maturity,  by
acceleration  or otherwise) of the principal of and  interest  on
each  Note  issued by the Borrower to each Bank, and Loans  made,
under  this  Agreement, together with all the  other  obligations
(including  obligations which, but for the automatic  stay  under
Section  362(a) of the Bankruptcy Code or any similar  provision,
would become due) and liabilities (including, without limitation,
indemnities, fees and interest thereon) of the Borrower  to  such
Bank now existing or hereafter incurred under, arising out of  or
in  connection with this Agreement or any other Loan Document and
the due performance and compliance with all the terms, conditions
and  agreements contained in the Loan Documents by  the  Borrower
and  (ii)  the  full  and prompt payment  when  due  (whether  by
acceleration   or   otherwise)  of  all  obligations   (including
obligations  which,  but  for the automatic  stay  under  Section
362(a)  of  the  Bankruptcy  Code,  would  become  due)  of  each
Guarantor  owing  under  the Parent Guaranty  or  the  Subsidiary
Guaranty.

          "Guarantor"  shall  mean the Parent and  each  Material
Subsidiary of the Borrower or the Parent specified on Schedule  I
hereto  and any Material Subsidiary of the Borrower or the Parent
which  shall  have  executed and delivered a Subsidiary  Guaranty
pursuant  to  Section 5.9(c) hereof, other than  the  Receivables
Subsidiary.

          "Indebtedness"  of  any  Person  shall  mean,   without
duplication,  (i)  all indebtedness of such Person  for  borrowed
money  or for the deferred purchase price of property or services
(other  than trade payables on terms of 90 days or less  incurred
in  the  ordinary  course of business of such Person),  (ii)  all
indebtedness of such Person evidenced by a note, bond,  debenture
or  similar  instrument,  (iii) the principal  component  of  all
Capital Lease Obligations of such Person, (iv) the face amount of
all  letters of credit issued for the account of such Person and,
without  duplication, all unreimbursed amounts drawn  thereunder,
(v)  all indebtedness of any other Person secured by any Lien  on
any   property  owned  by  such  Person,  whether  or  not   such
indebtedness has been assumed, (vi) all Contingent Obligations of
such  Person,  (vii) all net payment obligations of  such  Person
under  any interest rate protection agreement (including, without
limitation,  any interest rate swaps, caps, floors,  collars  and
similar agreements) and currency swaps and similar agreements and
(viii)  all indebtedness created or arising under any conditional
sale  or other title retention agreement with respect to property
acquired by such Person (even if the rights and remedies  of  the
seller  or  lender  thereunder upon  a  default  are  limited  to
repossession or sale of such property) .

          "Intercompany Note" shall mean a promissory note issued
by  the  Parent  to the Borrower substantially  in  the  form  of
Exhibit  M  hereto  evidencing the loans, if  any,  made  by  the
Borrower to the Parent pursuant to Section 6.8 (b)(ii) hereof.

          "Interest  Period"  shall  mean  with  respect  to  any
Eurodollar Loan:

           (i)  initially, the period commencing on the borrowing
     or  the conversion date, as the case may be, with respect to
     such   Eurodollar   Loan  and  ending  on  the   numerically
     corresponding calendar day in the calendar month that is one
     month  thereafter, as selected by the Borrower in its Notice
     of  Borrowing,  Notice of Conversion  or  Notice  of  Contin
     uation, as the case may be, given with respect thereto; and

          (ii)   thereafter, each period commencing on  the  last
     day of the next preceding Interest Period applicable to such
     Eurodollar Loan and ending one month thereafter, as selected
     by  the Borrower by irrevocable notice to the Administrative
     Agent  not less than three Business Days prior to  the  last
     day  of  the  then  current  Interest  Period  with  respect
     thereto;

provided  that,  all  of  the foregoing  provisions  relating  to
Interest Periods are subject to the following:

          (A)   if any Interest Period pertaining to a Eurodollar
     Loan  would  otherwise end on a day that is not  a  Business
     Day,  such  Interest Period shall be extended  to  the  next
     succeeding Business Day unless the result of such  extension
     would be to carry such Interest Period into another calendar
     month  in which event such Interest Period shall end on  the
     immediately preceding Business Day;

          (B)   no  Interest Period shall extend beyond any  date
     upon  which  a  scheduled reduction of  the  Revolving  Loan
     Commitments will be required pursuant to Section 2.9 if  the
     aggregate   principal  amount  of  Revolving  Loans   having
     Interest Periods extending beyond such date will exceed  the
     aggregate principal amount of the Revolving Loan Commitments
     after giving effect to such scheduled reduction;

          (C)   any  Interest Period that would otherwise  extend
     beyond  the  Final  Maturity Date shall  end  on  the  Final
     Maturity Date; and

          (D)   any  Interest Period pertaining to  a  Eurodollar
     Loan  that  begins on the last Business Day  of  a  calendar
     month  (or  on  a  day  for which there  is  no  numerically
     corresponding day in the calendar month at the end  of  such
     Interest  Period) shall end on the last Business  Day  of  a
     calendar month.

          "Inventory"  shall mean all of the Borrower's  and  its
Subsidiaries'  inventory, including, without limitation  (a)  all
goods, wares and merchandise held for sale or lease or leased  or
furnished or to be furnished under contracts of service;  and (b)
all  goods  returned  to,  reclaimed by  or  repossessed  by  the
Borrower.

          "Investment" shall have the meaning provided in Section
6.8.

          "Lending Office" shall mean, with respect to any  Bank,
a  collective reference to such Bank's Eurodollar Lending  Office
and Domestic Lending Office.

          "Leverage  Ratio" shall mean on any day  the  ratio  on
such  day  of  (i) Consolidated Total Debt on such  day  to  (ii)
Consolidated EBITDA for the four consecutive fiscal  quarters  of
the Parent (taken as one accounting period) most recently ended.

          "Lien"  shall mean any mortgage, pledge, hypothecation,
assignment, deposit arrangement, encumbrance, charge, lien  (stat
utory  or  other),  or  preference, priority  or  other  security
agreement  of  any kind or nature whatsoever, including,  without
limitation,  any conditional sale or other title retention  agree
ment, any financing lease having substantially the same effect as
any of the foregoing and the filing of any financing statement or
similar   instrument  under  the  Uniform  Commercial   Code   or
comparable law of any jurisdiction, domestic or foreign.

          "Loans" shall mean the Revolving Loans.

          "Loan   Documents"  shall  mean  this  Agreement,   the
Revolving  Notes, the Subsidiary Guaranty, the Warrant  Agreement
and the Security Documents and any other documents or instruments
executed or delivered in connection therewith, together with  all
amendments, restatements and modifications thereto or thereof.

          "Loan  Party" shall mean and include the Borrower,  the
Parent and each Guarantor.

          "Margin  Percentage"  shall  mean  at  any  time   that
percentage  (a)  to be added to the Base Rate or  the  Eurodollar
Rate,  as  appropriate, pursuant to Section 2.5, for purposes  of
determining the per annum rate of interest applicable  from  time
to time to Base Rate Loans or Eurodollar Loans and (b) to be used
in  computing the Commitment Fee pursuant to Section 2.14,  which
in  each case on any date shall be the applicable percentage  set
forth under the appropriate column below opposite the category in
which  the  Adjusted Leverage Ratio, determined (subject  to  the
last  sentence  hereof) as of the end of the most  recent  fiscal
quarter   for   which   financial   statements   and   Compliance
Certificates  are required to have been delivered  under  Section
5.1(a), (b) and (h) (whether or not such financial statements and
Compliance Certificates for any subsequent quarter shall in  fact
have been delivered):

                    Adjusted         Eurodollar     Base Rate
                    Leverage           Margin         Margin
                      Ratio

Category 1        <= 2.0 to 1.0          1.00%         0.00%

Category 2        <= 3.0 to 1.0          1.50%         0.50%
                and > 2.0 to 1.0

Category 3        <= 3.50 to 1.0         1.75%         0.75%
                and > 3.0 to 1.0

Category 4        <= 4.0 to 1.0          2.00%         1.00%
                and > 3.50 to 1.0

Category 5         <= 4.5 to 1           2.25%         1.25%
                 and > 4.0 to 1

Category 6         <= 5.0 to 1           3.0%           2.0%
                 and > 4.5 to 1

Category 7          >5.0 to 1           3.25%         2.25%

provided  that,  notwithstanding  the  foregoing,  (i)  from  the
Closing Date until a Compliance Certificate for the most recently
ended  fiscal  quarter has been received, the  Margin  Percentage
shall  be determined by reference to Category 7 and (ii)  at  any
time  during  which  the  Borrower  has  failed  to  deliver  the
financial  statements  and Compliance Certificates  described  in
Section  5.1(a), (b) and (h) with respect to a fiscal quarter  or
fiscal year in accordance with the provisions thereof, or at  any
time  during  which an Event of Default shall have  occurred  and
shall be continuing, the Margin Percentage shall be determined by
reference  to  Category 7.  Each change in the Margin  Percentage
shall  be applicable with respect to the Commitment Fees and  out
standing  Revolving Loans on the Business Day after the  date  on
which  the Administrative Agent shall have received the financial
statements  and Compliance Certificates required to be  delivered
pursuant to Section 5.1(a), (b) and (h)  provided, however,  that
on  the effective date of any Permitted Acquisition, the Borrower
shall be required to deliver an additional Compliance Certificate
(together  with pro forma financial statements) which  calculates
the  Adjusted Leverage Ratio as of such date after giving  effect
to such Permitted Acquisition and any other Permitted Acquisition
occurring during such period and any change in the Margin Percent
age shall become effective on the Business Day after the date  of
delivery of such additional Compliance Certificate.

          "Margin  Stock"  shall have the meaning  provided  such
term  in  Regulation  U and Regulation G of the  Federal  Reserve
Board.

          "Material Adverse Effect" shall mean a material adverse
effect  upon (i) the business, operations, properties, assets  or
condition  (financial  or  otherwise)  of  the  Parent  and   its
Subsidiaries  taken as a whole or (ii) the ability  of  any  Loan
Party  to perform, or of the Administrative Agent, the Collateral
Agent or any of the Banks to enforce, any of the Obligations.

          "Materials  of  Environmental Concern" shall  mean  and
include   chemicals,  pollutants,  contaminants,  wastes,   toxic
substances, petroleum and petroleum products.

          "Material  Subsidiary"  means,  as  of  any  date,  any
Subsidiary of the Parent (other than the Borrower), either  alone
or  together with its Subsidiaries, that has assets with  a  fair
market  value of $250,000 or more as of the last day of the  most
recently  ended  fiscal quarter of the Parent or annual  revenues
(or  annualized revenues in the case of any Person that  has  not
been a Subsidiary of the Parent for a full year) of $1,000,000 or
more as of the most recently ended fiscal quarter of the Parent.

          "Maximum  Amount" shall have the meaning set  forth  in
Section 6.1(d).

          "Moody's" shall mean Moody's Investors Service, Inc. or
any of its successors.

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

          "Net Cash Proceeds" shall mean (a) with respect to  any
Asset  Sale, the cash payments (including cash payments  received
by way of insurance proceeds, deferred payment pursuant to a note
receivable  or  otherwise,  but only as  and  when  so  received)
received  therefrom, net of (i) bona fide direct  costs  of  sale
(including  payment of (x) the outstanding principal  amount  of,
premium  or  penalty,  if any, and interest on  any  Indebtedness
(other than Loans) secured by or required to be repaid under  the
terms  thereof as a result of such Asset Sale and (y)  reasonable
fees associated with such Asset Sale paid to Persons that are not
Affiliates of the Parent and (ii) income taxes paid or reasonably
estimated to be payable in the year such Asset Sale occurs or  in
the  following year as a result thereof) and (b) with respect  to
any  incurrence  or  disposition of Indebtedness  or  any  Equity
Issuance,   the   cash  proceeds  received   therefrom   net   of
underwriting commissions or placement fees and expenses  directly
incurred in connection therewith.

          "Notes" shall mean and include each Revolving Note.

          "Notice  of Borrowing" shall mean a notice of borrowing
in the form of Exhibit A hereto.

          "Notice   of  Conversion"  shall  mean  a   notice   of
conversion in the form of Exhibit C-1 hereto.

          "Notice  of  Continuation"  shall  mean  a  notice   of
continuation in the form of Exhibit C-2 hereto.

          "Obligations"  shall mean all obligations,  liabilities
and  indebtedness of every nature of the Borrower  and  the  Guar
antors  from time to time owing to the Administrative Agent,  the
Collateral  Agent or any Bank, under or in connection  with  this
Agreement or any other Loan Document.

          "Parent"  shall have the meaning provided in the  first
paragraph of this Agreement.

          "Parent Guaranty" shall mean the guaranty of the Parent
pursuant to Section 10.

          "Participant"  shall  have  the  meaning  provided   in
Section 9.4(b).

          "Payment Date" shall mean the last Business Day of each
March, June, September and December of each year.

          "PBGC"  shall mean the Pension Benefit Guaranty Corpora
tion established under ERISA, or any successor thereto.

          "Permitted    Acquired   Indebtedness"    shall    mean
Indebtedness  of  any Subsidiary of the Parent  or  the  Borrower
acquired  pursuant to a Permitted Acquisition, which Indebtedness
existed  at  the time of the consummation of any such acquisition
and  was not created in contemplation thereof (and the provisions
of  which were not altered in contemplation thereof), so long  as
(x)   the  Parent  or  the  Borrower  and  its  other  respective
Subsidiaries  (other than the Subsidiary being so acquired)  have
no liability with respect to any such Indebtedness other than the
assumption of any such Indebtedness in connection with  a  merger
of   such  Subsidiary  with,  or  the  acquisition  of   all   or
substantially all of the assets of such Person by,  the  Borrower
or any Subsidiary of the Parent or the Borrower and (y) any Liens
securing such Indebtedness apply only to assets of the Subsidiary
so  acquired (and so long as additional assets of such Subsidiary
are  not  granted as security following, or in contemplation  of,
the respective Permitted Acquisition).

          "Permitted  Acquisition" shall mean the acquisition  by
the  Parent or the Borrower of assets constituting part of or  an
entire  business,  division or product line  of  any  Person  not
already  a Subsidiary of the Parent or the Borrower, as the  case
may  be,  or of 100% (or such lesser amount as shall be necessary
to  immediately consummate a statutory "short-form" merger  under
the  laws  of  the  relevant jurisdiction  and  which  merger  is
thereafter immediately consummated) of the capital stock  of  any
such Person, which Person shall, as a result of such acquisition,
become a Subsidiary; provided that an acquisition shall only be a
Permitted Acquisition if the following terms and conditions shall
be satisfied:

               (a)  (i)  the consideration paid by the Parent  or
     the Borrower, as the case may be, consists of cash or common
     stock,  the issuance of Indebtedness otherwise permitted  in
     Section  6.2 and the assumption/acquisition of any Permitted
     Acquired Indebtedness (calculated at face value) relating to
     such  business, division or product line of any Person which
     is  permitted to remain outstanding in accordance  with  the
     requirements of Section 6.2;

                    (ii)  the assets acquired, or the business of
     the  Person whose stock is acquired shall (A) be in the same
     line  of  business or reasonably incidental thereto  as  the
     business of the Parent or the Borrower, as the case may  be,
     and  (B)  be  merged  with  or  into  the  Borrower  or  any
     Subsidiary of the Borrower or the Parent or become a  direct
     Subsidiary of the Borrower or any Subsidiary of the Borrower
     or the Parent;

                    (iii)  in the case of the acquisition of 100%
     of the capital stock of any Person, such Person shall own no
     capital  stock of any other Person unless such  Person  owns
     100%  of  the  capital stock of such other  Person  or  such
     Investment is otherwise permitted by Section 6.8(h);

                    (iv)  no Default or Event of Default shall be
     in existence at the time of the consummation of the proposed
     Permitted  Acquisition or immediately  after  giving  effect
     thereto;

                    (v)   the Parent or the Borrower, as the case
     may  be, shall have given the Administrative Agent at  least
     13  Business  Days' prior written notice  of  any  Permitted
     Acquisition  for which the consideration to be  paid  is  in
     excess  of  $25,000,000 or at least 8 Business  Days'  prior
     written  notice of any Permitted Acquisition for  which  the
     consideration  to  be  paid  is  equal  to  or   less   than
     $25,000,000   (such  notices  to  include   the   compliance
     calculations referred to in clauses (vi) and (vii) below and
     a  brief  business description of the Permitted  Acquisition
     and  copies of which notices the Administrative Agent  shall
     promptly furnish to the Banks);

                    (vi)  calculations are made by the Parent  or
     the  Borrower,  as the case may be, of compliance  with  the
     covenants contained in Section 6.1 on a Pro Forma Basis  for
     the period of four consecutive fiscal quarters (taken as one
     accounting period) most recently ended prior to the date  of
     such  Permitted Acquisition (each, a "Calculation  Period"),
     as  if the respective Permitted Acquisition (as well as  all
     other  Permitted Acquisitions theretofore consummated  after
     the  first  day of such Calculation Period) had occurred  on
     the   first  day  of  such  Calculation  Period,  and   such
     recalculations  shall  show that  such  financial  covenants
     would  have  been complied with if the Permitted Acquisition
     had  occurred  on  the first day of such Calculation  Period
     (for  this  purpose,  if  the first day  of  the  respective
     Calculation  Period  occurs  prior  to  the  Closing   Date,
     calculated as if the covenants contained in said Section 6.1
     had  been  applicable from the first day of the  Calculation
     Period); provided that for the purposes of this clause  (vi)
     and   clause   (vii)  below  the  Adjusted  Leverage   Ratio
     demonstrated by such recalculations must be equal to or less
     than 4.0:1 from the Closing Date until the third anniversary
     of the Closing Date and must be equal to or less than 3.75:1
     at any time thereafter;

                    (vii)   based   on  good  faith   projections
     prepared by the Borrower for the period from the date of the
     consummation of the Permitted Acquisition to the date  which
     is  one  year thereafter, the level of financial performance
     measured by the covenants set forth in Section 6.1 shall  be
     better  than or equal to such level as would be required  to
     provide  that  no  Default or Event of Default  would  exist
     under  the financial covenants contained in Section  6.1  as
     compliance with such covenants would be required through the
     date which is one year from the date of the consummation  of
     the respective Permitted Acquisition;

                    (viii)  the  Administrative Agent shall  have
     been  satisfied  in  its  reasonable  discretion  that   the
     proposed  Permitted  Acquisition  could  not  reasonably  be
     expected  to  result  in  materially increased  tax,  ERISA,
     environmental or other contingent liabilities  with  respect
     to  the  Parent,  the  Borrower or any of  their  respective
     Subsidiaries;

                    (ix)   all   representations  and  warranties
     contained  herein and in the other Loan Documents  shall  be
     true  and  correct in all material respects  with  the  same
     effect  as  though such representations and  warranties  had
     been   made  on  and  as  of  the  date  of  such  Permitted
     Acquisition  (both before and after giving effect  thereto),
     unless stated to relate to a specific earlier date, in which
     case  such representations and warranties shall be true  and
     correct in all material respects as of such earlier date;

                    (x)  the Parent or the Borrower, as the  case
     may  be,  provides to the Administrative Agent  as  soon  as
     available  but  not  later than 5 Business  Days  after  the
     execution thereof, a copy of any executed purchase agreement
     or   similar  agreement  with  respect  to  such   Permitted
     Acquisition;

                    (xi)  the Parent or the Borrower, as the case
     may be, shall have delivered to the Administrative Agent  an
     officer's  certificate executed by an Authorized Officer  of
     the  Borrower, certifying to the best of his knowledge,  com
     pliance  with  the  requirements of preceding  clauses  (iv)
     through  (vii),  inclusive, (ix), and containing  the  calcu
     lations  required by the preceding clauses (vi)  and  (vii);
     and

                    (xii)   if  the  total  cash  purchase  price
     (including Indebtedness assumed) of any acquisition  exceeds
     $50,000,000, the Administrative Agent and the Required Banks
     shall have given their prior written consent thereto.

               (b)    The  Borrower  shall  cause  each  Material
Subsidiary which it or the Parent forms to effect, or it  or  the
Parent  acquires pursuant to, a Permitted Acquisition  to  comply
with,  and  to  execute  and deliver, all  of  the  documentation
required  by,  Section 5.9, to the satisfaction  of  the  Adminis
trative Agent.

               (c)   The  consummation  of each  Permitted  Acqui
sition shall be deemed to be a representation and warranty by the
Parent  and the Borrower that the certifications by the  Borrower
(or by one or more of its Authorized Officers) required by clause
(a)  above  are true and correct and that all conditions  thereto
have  been  satisfied  and  that such  Permitted  Acquisition  is
permitted  in accordance with the terms of this Agreement,  which
representation   and  warranty  shall   be   deemed   to   be   a
representation   and   warranty  for  all   purposes   hereunder,
including, without limitation, Sections 3 and 7.

          "Permitted   Senior   Debt"   shall   mean    unsecured
Indebtedness  of  the  Borrower if (i) such Indebtedness  has  no
amortization or required sinking fund payments and a final maturi
ty no earlier than, and provisions no more onerous or restrictive
on the Borrower and no less favorable to the Banks in any respect
deemed  material  by  the Required Banks than,  those  terms  and
provisions of the Senior Notes, (ii) the interest rate payable in
respect  of such Indebtedness shall be a market interest rate  as
of  the time of the incurrence thereof and shall not, in case  of
Indebtedness bearing interest at a floating rate, exceed the rate
of  interest  payable on the Loans, (iii) each of the  covenants,
events of default and other provisions thereof shall be customary
for  issuances of similar indebtedness by companies in a  similar
financial condition to the Borrower in accordance with prevailing
market  conditions in effect at the time of the issuance  thereof
and  in any event shall be no more onerous or restrictive on  the
Borrower  than those contained in the Senior Notes and  (iv)  the
Net  Cash  Proceeds  thereof  shall  have  been  applied  to  the
prepayment  of the Loans to the extent provided in  the  Existing
Credit Agreement or Section 2.11(a)(ii).

          "Permitted  Subordinated  Debt"  shall  mean  unsecured
subordinated   Indebtedness  of  the   Borrower   if   (i)   such
Indebtedness  has  no  amortization  or  required  sinking   fund
payments  and a final maturity no earlier than, and subordination
provisions no more onerous or restrictive on the Borrower and  no
less favorable to the Banks in any respect deemed material by the
Required  Banks than, those terms and provisions  of  the  Senior
Subordinated Notes, (ii) the interest rate payable in respect  of
such  Indebtedness shall be a market interest rate as of the time
of  the incurrence thereof and shall not, in case of Indebtedness
bearing  interest at a floating rate, exceed the rate of interest
payable  on  the  Revolving Loans, (iii) each of  the  covenants,
events of default and other provisions thereof shall be customary
for  issuances of similar indebtedness by companies in a  similar
financial condition to the Borrower in accordance with prevailing
market  conditions in effect at the time of the issuance  thereof
and  in any event shall be no more onerous or restrictive on  the
Borrower  than  those contained in the Senior Subordinated  Notes
and (iv) the Net Cash Proceeds thereof shall have been applied to
the  prepayment  of  the  Loans to the  extent  provided  in  the
Existing Credit Agreement or Section 2.11(a)(ii).

          "Person" shall mean and include any individual, partner
ship,   joint  venture,  firm,  corporation,  limited   liability
company, association, trust or other enterprise or any government
or political subdivision or agency, department or instrumentality
thereof.

          "Plan" means any employee benefit plan covered by Title
IV of ERISA, the funding requirements of which:

               (a)  were the responsibility of the Borrower or  a
member of its ERISA Controlled Group at any time within the  five
years immediately preceding the date hereof,

               (b)   are  currently  the  responsibility  of  the
Borrower or a member of its ERISA Controlled Group, or

               (c)   hereafter become the responsibility  of  the
Borrower or a member of its ERISA Controlled Group,

including  any such plans as may have been, or may hereafter  be,
terminated for whatever reason.

          "Prime Rate" shall mean the rate of interest per  annum
publicly announced from time to time by the Administrative  Agent
as  its Prime Rate in effect at its principal office in New  York
City.  The Prime Rate is a reference rate and is not intended  to
be  the  lowest  rate  of interest charged by the  Administrative
Agent  in  connection with extensions of credit.  Each change  in
the  Prime  Rate  shall be effective on the date such  change  is
publicly  announced  as  being effective without  notice  to  the
Borrower or the Guarantors.

          "Principal Financial Officer" shall mean, with  respect
to  any  Person, such Person's Chief Financial Officer, Treasurer
or Assistant Treasurer.

          "Pro  Forma Basis" shall mean, in connection  with  any
calculation of the Adjusted Leverage Ratio, Consolidated Adjusted
EBITDA  or  compliance with any financial covenant  or  financial
term,  the calculation thereof after giving effect on a pro forma
basis  to  (i)  the  incurrence of any Indebtedness   to  finance
Permitted  Acquisitions  after the  first  day  of  the  relevant
Calculation Period as if such Indebtedness had been incurred (and
the  proceeds  thereof applied) on the first day of the  relevant
Calculation   Period;  (ii)  the  permanent  repayment   of   any
Indebtedness  after  the  first day of the  relevant  Calculation
Period  as  if such Indebtedness had been retired or redeemed  on
the  first day of the relevant Calculation Period; and (iii)  the
Permitted Acquisitions, if any, then being consummated as well as
any  other Permitted Acquisitions consummated after the first day
of the relevant Calculation Period and on or prior to the date of
the  respective Permitted Acquisitions then being effected,  with
the following rules to apply in connection therewith:

               (a)   all such Indebtedness (x) incurred or issued
after  the first day of the relevant Calculation Period shall  be
deemed  to have been incurred or issued (and the proceeds thereof
applied)  on  the first day of the respective Calculation  Period
and  remain  outstanding through the date of  determination  (and
thereafter in the case of projections pursuant to clause (vii) of
the  definition  of  Permitted Acquisition) and  (y)  permanently
retired  or redeemed after the first day of the relevant  Calcula
tion  Period shall be deemed to have been retired or redeemed  on
the  first  day of the respective Calculation Period  and  remain
retired through the date of determination (and thereafter in  the
case of projections pursuant to clause (vii) of the definition of
Permitted Acquisition);

               (b)    all   such  Indebtedness  assumed   to   be
outstanding pursuant to the preceding clause (i) shall be  deemed
to  have  borne interest or dividends at (x) the rate  applicable
thereto, in the case of fixed rate indebtedness or (y) the  rates
which  would  have been applicable thereto during the  respective
period  when same was deemed outstanding, in the case of floating
rate  Indebtedness (although interest or dividends  expense  with
respect  to  any  Indebtedness actually  outstanding  during  the
respective  period  shall be calculated using  the  actual  rates
applicable thereto during such period); provided that for  purpos
es of the calculations pursuant to clause (vii) of the definition
of  Permitted Acquisition, all Indebtedness (whether actually out
standing  or deemed outstanding) bearing interest at  a  floating
rate  of  interest  shall be tested on the  basis  of  the  rates
applicable at the time the determination is made pursuant to said
provisions; and

               (c)   in  making any determination of Consolidated
Adjusted  EBITDA, (i) in the case of the acquisition of  100%  of
the  stock  of a Person, pro forma effect shall be given  to  any
Permitted  Acquisition  for the periods described  above,  taking
into account, cost savings and expenses which would otherwise  be
accounted  for  as  an  adjustment  pursuant  to  Article  11  of
Regulation  S-X under the Securities Act of 1933, as amended  and
as  in  effect  on the Closing Date, as if such cost  savings  or
expenses   were  realized  on  the  first  day  of  the  relevant
Calculation Period and (ii) in the case of an asset purchase, pro
forma effect shall be given to any Permitted Acquisition for  the
period  described  above, taking into account, cost  savings  and
expenses reasonably estimated to be realized based upon the  good
faith  estimates  of  management, as if  such  cost  savings  and
expenses   were  realized  on  the  first  day  of  the  relevant
Calculation Period.

          "Pro  Rata Share" as to any Bank shall mean a  fraction
(expressed as a percentage), the numerator of which shall be  the
aggregate amount of such Bank's Revolving Loan Commitment and the
denominator  of  which shall be the Total Revolving  Loan  Commit
ment.

          "Purchasing  Banks" shall have the meaning provided  in
Section 9.4(c).

          "Receivables"  means accounts, general  intangibles  or
other rights to payment from obligors arising from extensions  of
credit  to obligors, together with any finance charges  or  other
fees or charges related thereto, and any related assets which are
transferred under the Receivables Program Documents.

          "Receivables   Program"  shall  mean  the   receivables
securitization program conducted by the Borrower, the Receivables
Subsidiary  and any other special purpose receivables  Subsidiary
that  may be formed or become a Subsidiary in the future pursuant
to  the  Receivables Program Documents as in effect from time  to
time in accordance with the terms hereof.

          "Receivables   Program  Documents"   shall   mean   the
documents   listed  on  Schedule  II  hereto,   and   all   other
documentation,  agreements  and  instruments  entered   into   in
connection   therewith  or  pursuant  to  any  other  receivables
financing  program  created  in the  future  (including,  without
limitation, any such program of a Person in existence at the time
such Person is acquired pursuant to a Permitted Acquisition),  as
the  same  may  hereafter be amended, modified,  supplemented  or
refinanced  from time to time in accordance with  the  provisions
hereof and thereof.

          "Receivables  Subsidiary"  shall  mean  the  collective
reference to (i) SRI Receivables Purchase Company, Inc.,  a  Dela
ware  corporation, (ii) any other Subsidiary established  by  the
Parent or the Borrower in connection with the Receivables Program
and  whose  sole  business is to implement  and  carry  out  such
Receivables Program and (iii) any Subsidiary of the Borrower that
is  a  bank formed for the sole purpose, and whose sole  business
is,   financing  any  credit  card  program  implemented  by  the
Borrower.

          "Reference Banks" shall mean Credit Suisse First Boston
and Union Bank of California.

          "Regulation  D" shall mean Regulation D of the  Federal
Reserve Board as from time to time in effect and any successor to
all or any portion thereof.

          "Regulation  T" shall mean Regulation T of the  Federal
Reserve Board as from time to time in effect and any successor to
all or a portion thereof.

          "Regulation  U" shall mean Regulation U of the  Federal
Reserve  Board from time to time in effect and any  successor  to
all or a portion thereof.

          "Regulation  X" shall mean Regulation X of the  Federal
Reserve Board as from time to time in effect and any successor to
all or a portion thereof.

          "Reinvestment  Assets"  shall mean  any  assets  to  be
employed in the business of the Borrower and its Subsidiaries  as
conducted on the date hereof.

          "Reinvestment Election" shall have the meaning provided
in Section 2.11(a)(i).

          "Reinvestment  Notice"  shall  mean  a  written  notice
signed by an authorized officer of the Borrower stating that  the
Borrower,  in  good faith, intends and expects to use  all  or  a
specified  portion of the Net Cash Proceeds of an Eligible  Asset
Sale  to  purchase,  construct or otherwise acquire  Reinvestment
Assets.

          "Reinvestment  Prepayment  Amount"  shall  mean,   with
respect to any Reinvestment Election, the amount, if any, on  the
Reinvestment  Prepayment Date relating thereto by which  (a)  the
Anticipated  Reinvestment Amount in respect of such  Reinvestment
Election exceeds (b) the aggregate amount thereof expended by the
Borrower and its Subsidiaries to acquire Reinvestment Assets.

          "Reinvestment Prepayment Date" shall mean, with respect
to  any  Reinvestment Election, the earliest of (i) the date,  if
any,  upon  which  the Administrative Agent,  on  behalf  of  the
Required Banks, shall have delivered a written termination notice
to  the  Borrower, provided that such notice may  only  be  given
while  an  Event of Default exists, (ii) the date  occurring  one
year after such Reinvestment Election and (iii) the date on which
the  Borrower  shall  have  determined  not  to,  or  shall  have
otherwise  ceased to, proceed with the purchase, construction  or
other  acquisition of Reinvestment Assets with the related Antici
pated Reinvestment Amount.

          "Release"  shall  mean  any release,  spill,  emission,
discharge,  leaking, pumping, injection, deposit,  disposal,  dis
charge,  dispersal,  leaching or migration  into  the  indoor  or
outdoor environment (including, without limitation, ambient  air,
surface water, groundwater, and surface or subsurface strata)  or
into  or out of any property, including the movement of Materials
of  Environmental  Concern through or in the air,  soil,  surface
water, groundwater or property.

          "Reportable Event" has the meaning set forth in Section
4043(b)  of ERISA (other than a Reportable Event as to which  the
provision  of  30  days  notice  to  the  PBGC  is  waived  under
applicable  regulations),  or is the occurrence  of  any  of  the
events described in Section 4068 or 4063(a) of ERISA.

          "Required Banks" shall mean Banks holding more than 50%
of  the principal amount of Loans outstanding or, if no Loans are
outstanding,  more  than 50% of the Total Revolving  Loan  Commit
ment.

          "Restricted  Payment" shall mean (i) the authorization,
declaration or payment of any Dividend by the Parent  or  any  of
its  Subsidiaries  or  (ii) the making  of  any  payment  by  the
Borrower  or  any  of its Subsidiaries to the Parent,  including,
without limitation, any payments under the Tax Sharing Agreement.

          "Retained Equity Proceeds" shall mean at any  time  the
cumulative  amount of Net Cash Proceeds received by the  Borrower
from  Equity  Issuances to the extent such Net Cash Proceeds  are
not  required  to be applied to the prepayment of  the  Revolving
Loans  pursuant  to  the  Existing Credit  Agreement  or  Section
2.11(a)(v)  minus the amount thereof previously applied  to  make
additional  Capital  Expenditures  pursuant  to  Section  6.1(d).
Notwithstanding the foregoing, only 75% of the first  $50,000,000
of  Net  Cash Proceeds received from New Equity Issuances  during
the  period  from  September 30, 1998 and  thereafter,  shall  be
included in Retained Equity Proceeds.

          "Retained Offering Proceeds" shall mean at any time the
cumulative amount of (i) 30% of the Net Cash Proceeds received by
the  Borrower from the issuance of Permitted Senior Debt and (ii)
40%  of  the Net Cash Proceeds received by the Borrower from  the
issuance  of  Permitted Subordinated Debt, in each case,  to  the
extent  such Net Cash Proceeds are not required to be applied  to
the  prepayment of the Revolving Loans pursuant to  the  Existing
Credit  Agreement or Section 2.11(a)(ii) minus the amount thereof
previously   applied  to  make  additional  Capital  Expenditures
pursuant to Section 6.1(d).

          "Revolving Loan Commitment" shall mean at any time, for
any Bank, the amount set forth opposite such Bank's name on Annex
1  hereto under the heading "Revolving Loan Commitment," as  such
amount may be reduced from time to time pursuant to Sections  2.9
or 9.4(c).

          "Revolving  Loans" shall have the meaning  provided  in
Section 2.1(a).

          "Revolving  Note"  shall have the meaning  provided  in
Section 2.4(b).

          "Secured   Creditors"  shall  mean  the  Administrative
Agent, the Collateral Agent and the Banks.

          "Secured  Obligations" shall mean all Obligations  owed
by  the  Loan Parties to the Administrative Agent, the Collateral
Agent and the Banks.

          "Security Agreement" shall have the meaning provided in
Section 3.1(a)(iii) hereof.

          "Security   Documents"  shall  mean  and  include   the
Security  Agreement and any agreements, documents or  instruments
executed in connection therewith.

          "Senior Notes" shall mean the 81/2% Notes due 2005 issued
by the Borrower pursuant to the Senior Note Indenture.

          "Senior  Note  Documents" shall mean  the  Senior  Note
Indenture,  the  Senior Notes and  the Purchase Agreement,  dated
June  11,  1997,  among the Parent, the Borrower,  Credit  Suisse
First Boston Corporation, Bear, Stearns & Co. Inc, and Donaldson,
Lufkin & Jenrette Securities Corporation.

          "Senior Note Indenture" shall mean the Indenture  dated
as  of  June  17, 1997 between the Borrower and the  Senior  Note
Trustee pursuant to which the Borrower issued the Senior Notes.

          "Senior Note Trustee" shall mean State Street Bank  and
Trust  Company, in its capacity as trustee under the Senior  Note
Indenture.

          "Senior Subordinated Notes" shall mean the 9% Notes due
2007  issued  by the Borrower pursuant to the Senior Subordinated
Note Indenture.

          "Senior  Subordinated Note Documents"  shall  mean  the
Senior Subordinated Note Indenture, the Senior Subordinated Notes
and  the  Purchase  Agreement, dated June  11,  1997,  among  the
Parent,  the  Borrower, Credit Suisse First  Boston  Corporation,
Bear,  Stearns  &  Co.  Inc,  and Donaldson,  Lufkin  &  Jenrette
Securities Corporation.

          "Senior  Subordinated Note Indenture"  shall  mean  the
Indenture dated as of June 17, 1997 between the Borrower and  the
Senior  Subordinated Note Trustee pursuant to which the  Borrower
issued the Senior Subordinated Notes.

          "Senior  Subordinated Note Trustee"  shall  mean  State
Street  Bank  and Trust Company in its capacity as trustee  under
the Senior Subordinated Note Indenture.

          "Standard & Poor's" shall mean Standard & Poor's Rating
Services, a division of the McGraw-Hill Companies, Inc. or any of
its successors.

          "Subsidiary" of any Person shall mean and  include  (i)
any  corporation  50%  or more of whose stock  of  any  class  or
classes  having  by the terms thereof ordinary  voting  power  to
elect  a  majority  of  the directors of such  corporation  (irre
spective  of  whether or not at the time stock of  any  class  or
classes of such corporation shall have or might have voting power
by  reason  of the happening of any contingency) is at  the  time
owned  by such Person directly or indirectly through Subsidiaries
and  (ii)  any  partnership, association, joint venture,  limited
liability company or other entity in which such Person,  directly
or  indirectly through Subsidiaries, is either a general  partner
or has a 50% or more equity interest at the time.

          "Subsidiary  Guaranty" shall have the meaning  provided
in Section 3.1(a)(iv).

          "Successor Corporate Concentration Account" shall  have
the meaning provided in Section 5.13.

          "Tax  Sharing  Agreement"  shall  mean  a  tax  sharing
agreement among the Parent, the Borrower and its Subsidiaries, in
form and substance satisfactory to the Required Banks.

          "Termination Event" shall mean (i) a Reportable  Event,
or  (ii) the initiation of any action by the Borrower, any member
of  the  Borrower's  ERISA Controlled Group  or  any  ERISA  Plan
fiduciary to terminate an underfunded ERISA Plan (determined on a
Plan  termination basis) or the treatment of an amendment  to  an
underfunded  ERISA Plan (determined on a Plan termination  basis)
as  a  termination  under  ERISA, or  (iii)  the  institution  of
proceedings by the PBGC under Section 4042 of ERISA to  terminate
an  ERISA  Plan or to appoint a trustee to administer  any  ERISA
Plan.

          "Total  Revolving  Loan  Commitment"  shall  have   the
meaning set forth in Section 2.1(a).

          "Transactions" shall mean each of the transactions  con
templated by the Loan Documents.

          "Transferee" shall have the meaning provided in Section
9.4(d).

          "Transfer  Supplement" shall have the meaning  provided
in Section 9.4(c).

          "Type"  shall mean any type of Loan determined with  re
spect  to  the interest option applicable thereto, i.e.,  a  Base
Rate Loan or a Eurodollar Loan.

          "Unfunded  Benefit Liabilities" means with  respect  to
any  Plan  at  any  time, the amount (if any) by  which  (i)  the
actuarial  present  value of all benefit liabilities  under  such
Plan as defined in Section 4001(a)(16) of ERISA, exceeds (ii) the
fair  market value of all Plan assets allocable to such benefits,
all determined as of the then most recent valuation date for such
Plan  (on  the  basis of assumptions utilized by  such  Plan  for
minimum funding purposes under ERISA).

          "Warrant Agreement" shall have the meaning provided  in
Section 3.1(a)(v) hereof.

          "Weighted Average Life to Maturity" means, when applied
to  any Indebtedness at any date, the number of years obtained by
dividing  (a)  the  then  outstanding principal  amount  of  such
Indebtedness  into  (b)  the total of  the  product  obtained  by
multiplying  (x)  the amount of each then remaining  installment,
sinking  fund,  serial  maturity or other  required  payments  of
principal,  including  payment  at  final  maturity,  in  respect
thereof by (y) the number of years (calculated to the nearest one-
twelfth)  that  will elapse between such date and the  making  of
such payment.

SECTION 2.  AMOUNT AND TERMS OF CREDIT FACILITIES.

          Section 2.1  Revolving Loans.  (a)  Subject to and upon
the  terms  and conditions herein set forth, each Bank  severally
and  not jointly agrees, at any time and from time to time on and
after  the Closing Date and prior to the Final Maturity Date,  to
make  revolving  loans (collectively, "Revolving Loans")  to  the
Borrower, which Revolving Loans shall not exceed in the aggregate
principal  amount  at  any time outstanding  the  Revolving  Loan
Commitment of such Bank at such time; provided that no  Revolving
Loan shall be made if, after giving effect thereto and the use of
the proceeds thereof, the sum of the outstanding principal amount
of  Revolving  Loans would exceed the sum of the  Revolving  Loan
Commitments  of all the Banks (the "Total Revolving  Loan  Commit
ment").  The Total Revolving Loan Commitment on the Closing  Date
shall  be $35,000,000. The Revolving Loans of each Bank shall  be
maintained  at  the  option of the Borrower as  Base  Rate  Loans
and/or  Eurodollar Loans, in accordance with the provisions  here
of.

               (b)   Revolving  Loans may be voluntarily  prepaid
pursuant to Section 2.10, and, subject to the other provisions of
this  Agreement, any amounts so prepaid may be reborrowed.   Each
Bank's Revolving Loan Commitment shall expire, and each Revolving
Loan  shall  mature on, the Final Maturity Date, without  further
action on the part of the Banks or the Administrative Agent.

               (c)  Each Borrowing of Revolving Loans shall be in
the  aggregate minimum amount of $2,000,000 (or in the  aggregate
minimum  amount of $1,000,000 if the Borrowing of  $2,000,000  is
prohibited  by  the  terms of the Senior Note  Documents  or  the
Senior  Subordinated Note Documents) or any integral multiple  of
$100,000 in excess thereof.

          Section  2.2   Notice of Borrowing.  (a)  Whenever  the
Borrower  desires to borrow Revolving Loans, the  Borrower  shall
give  the  Administrative  Agent at  the  Administrative  Agent's
Office  prior to 11:00 a.m., (New York City time), at  least  one
Business  Day's  prior  telecopy or telephonic  notice  (promptly
confirmed in writing) of each Base Rate Loan, and at least  three
Business  Days'  prior  telecopy or telephonic  notice  (promptly
confirmed  in  writing) of each Eurodollar Loan to be  made  here
under.   Each  such  notice (a "Notice of  Borrowing")  shall  be
irrevocable, shall be in the form of Exhibit A hereto, and in any
event  shall  specify (i) the aggregate principal amount  of  the
requested  Revolving  Loans, (ii) the date  of  Borrowing  (which
shall  be a Business Day), and (iii) whether such Revolving Loans
shall  consist  of Base Rate Loans or Eurodollar  Loans  and,  if
Eurodollar  Loans, the initial Interest Period to  be  applicable
thereto, provided that no Notice of Borrowing with respect  to  a
Eurodollar  Loan  shall be delivered during  any  period  when  a
Default  or  Event  of  Default  shall  have  occurred   and   be
continuing.

               (b)   Promptly after receipt of a Notice of Borrow
ing,  the  Administrative Agent shall provide each Bank with  the
details of the Notice of Borrowing and inform each Bank as to its
Pro Rata Share of the Loans requested thereunder.

          Section 2.3  Disbursement of Funds.  (a)  No later than
12:00  p.m. (New York City time), on the date specified  in  each
Notice  of Borrowing, each Bank will make available its Pro  Rata
Share  of the Revolving Loans requested to be made on such  date,
in   U.S.  dollars  and  immediately  available  funds,  at   the
Administrative Agent's Office.  Promptly after the Administrative
Agent's  receipt  of  the proceeds of such Revolving  Loans,  the
Administrative Agent will make available to the Borrower by depos
iting  in  the  Borrower's account designated in writing  to  the
Administrative  Agent  the  aggregate  of  the  amounts  so  made
available in the type of funds actually received.

               (b)   Unless  the Administrative Agent shall  have
been  notified by any Bank prior to the date of a Borrowing  that
such Bank does not intend to make available to the Administrative
Agent its portion of the Revolving Loans to be made on such date,
the  Administrative Agent may assume that such Bank has made such
amount available to the Administrative Agent on such date and the
Administrative Agent in its sole discretion may, in reliance upon
such  assumption, make available to the Borrower a  corresponding
amount.   If such corresponding amount is not in fact made  avail
able   to   the  Administrative  Agent  by  such  Bank  and   the
Administrative  Agent  has  made such  amount  available  to  the
Borrower,  the Administrative Agent shall be entitled to  recover
such corresponding amount on demand from such Bank.  If such Bank
does  not  pay  such  corresponding  amount  forthwith  upon  the
Administrative Agent's demand therefor, the Administrative  Agent
shall  promptly notify the Borrower and the Borrower  shall  imme
diately  repay  such  corresponding amount to the  Administrative
Agent.   The  Administrative  Agent shall  also  be  entitled  to
recover  from  such Bank or the Borrower, as  the  case  may  be,
interest on such corresponding amount in respect of each day from
the  date  such  corresponding amount was made available  by  the
Administrative  Agent  to the Borrower to  the  date  such  corre
sponding  amount is recovered by the Administrative Agent,  at  a
rate per annum equal to (a) in the case of the Borrower, the then
applicable  rate  of  interest,  calculated  in  accordance  with
Section 2.5, for the respective Revolving Loans, and (b)  in  the
case  of  any  Bank, the Federal Funds Effective  Rate.   Nothing
herein shall be deemed to relieve any Bank from its obligation to
fulfill  its  commitments hereunder or to  prejudice  any  rights
which  the Borrower may have against any Bank as a result of  any
default   by  such  Bank  hereunder.   Notwithstanding   anything
contained  herein or in any other Loan Document to the  contrary,
the  Administrative  Agent may apply all funds  and  proceeds  of
Collateral available for the payment of any Obligations first  to
repay any amount owing by any Bank to the Administrative Agent as
a  result  of  such  Bank's failure to fund its  Revolving  Loans
hereunder.

          Section 2.4  Evidence of Indebtedness; Revolving Notes.
(a)  Each  Bank  shall  maintain in  accordance  with  its  usual
practice  an  account or accounts evidencing the indebtedness  to
such  Bank  and resulting from each Revolving Loan from  time  to
time, including the amounts of principal and interest payable and
paid  to  such Bank from time to time under this Agreement.   The
Administrative  Agent shall maintain accounts in  which  it  will
record (i) the amount of each Revolving Loan made hereunder,  the
Type  of  each Revolving Loan 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
Bank  hereunder and (iii) the amount of any sum received  by  the
Administrative Agent hereunder from the Borrower and each  Bank's
Pro  Rata  Share  thereof.   The entries  made  in  the  accounts
maintained  pursuant to this Section 2.4(a) shall be prima  facie
evidence of the existence and amounts of the obligations  therein
recorded; provided, however, that the failure of any Bank or  the
Administrative  Agent  to maintain such  accounts  or  any  error
therein  shall  not in any manner affect the obligations  of  the
Borrower  to repay the Revolving Loans in accordance  with  their
terms.

               (b)   Notwithstanding the foregoing, if  requested
by  any Bank, the Borrower's obligation to pay the principal  of,
and  interest on, such Bank's Revolving Loans shall be  evidenced
by  a  promissory  note (a "Revolving Note")  duly  executed  and
delivered by the Borrower substantially in the form of Exhibit  B
hereto in a principal amount equal to such Bank's Revolving  Loan
Commitment,  with  blanks appropriately completed  in  conformity
herewith.   Each  Revolving Note issued to a Bank  shall  (x)  be
payable  to  such  Bank, (y) be dated the Closing  Date  and  (z)
mature on the Final Maturity Date.

               (c)   Each  Bank  is  hereby  authorized,  at  its
option,  either  (i) to endorse on the schedule attached  to  its
Revolving Note (or on a continuation of such schedule attached to
such  Revolving  Note  and  made a part thereof)  an  appropriate
notation  evidencing the date and amount of each  Revolving  Loan
evidenced  thereby and the date and amount of each principal  and
interest  payment  in  respect thereof, or (ii)  to  record  such
Revolving Loans and such payments in its books and records.  Such
schedule or such books and records, as the case may be, shall con
stitute  prima facie evidence of the accuracy of the  information
contained  therein.   Failure to make any  such  endorsements  or
recordations  or any error in any such endorsements or  notations
shall  not  affect the Borrower's obligations in respect  of  any
Revolving Loan hereunder.

          Section 2.5  Interest.  (a)  The Borrower agrees to pay
interest  in respect of the unpaid principal amount of each  Base
Rate  Loan  from  the date of the making of such Base  Rate  Loan
until  such  Base Rate Loan shall be paid in full at a  rate  per
annum  which  shall be equal to the sum of the applicable  Margin
Percentage  plus the Base Rate in effect from time to time,  such
rate to change as and when the Base Rate changes.

               (b)   The  Borrower  agrees  to  pay  interest  in
respect  of  the unpaid principal amount of each Eurodollar  Loan
from  the  date of the making of such Eurodollar Loan until  such
Eurodollar  Loan shall be paid in full at a rate per annum  which
shall  be  equal  to the sum of the applicable Margin  Percentage
plus the relevant Eurodollar Rate.

               (c)   In  the event that, and for so long as,  any
Event  of Default shall have occurred and be continuing, the  out
standing  principal  amount of all Revolving  Loans  and  overdue
interest  in respect of all Revolving Loans and interest thereon,
shall  bear  interest  at a rate per annum (the  "Default  Rate")
equal  to the greater of (i) the sum of (x) two percent (2%)  and
(y)  the  Base  Rate and the highest Base Rate Margin  Percentage
applicable and (ii) the rate which is two percent (2%) in  excess
of  the  interest  rate otherwise applicable  hereunder  to  such
principal amount in effect from time to time.

               (d)   Interest on each Revolving Loan shall accrue
from  and  including  the date of the Borrowing  thereof  to  but
excluding  the date of any repayment thereof (provided  that  any
Revolving  Loan borrowed and repaid on the same day shall  accrue
one  day's interest) and shall be payable (i) in respect of  each
Base  Rate Loan, quarterly in arrears on each Payment Date,  (ii)
in  respect  of  each Eurodollar Loan, on the last  day  of  each
Interest Period applicable to such Loan, and (iii) in the case of
all  Revolving  Loans, on any prepayment or  conversion  (on  the
amount  prepaid  or converted); provided that if  such  Revolving
Loans  are Base Rate Loans, interest accrued on such Loans  shall
be  paid  quarterly in arrears on each Payment Date, at  maturity
(whether  by acceleration or otherwise) and, after such maturity,
on demand.

               (e)    The   Administrative  Agent   shall,   upon
determining the Eurodollar Rate for any Interest Period, promptly
notify the Borrower and the Banks thereof.

               (f)   The  Reference Banks shall  provide  to  the
Administrative Agent the information to be provided by them under
the  definition of "Eurodollar Rate" in accordance with the terms
hereof.

          Section  2.6   Interest  Periods.   (a)   The  Borrower
shall,  in  each  Notice of Borrowing, Notice  of  Conversion  or
Notice  of  Continuation in respect of the making of,  conversion
into  or  continuation of a Eurodollar Loan, select the  Interest
Period applicable to such Eurodollar Loan.

               (b)  If upon the expiration of any Interest Period
for  any Eurodollar Loan, the Borrower has failed to elect a  new
Interest  Period  to  be applicable to the respective  Eurodollar
Loan  as  provided above, the Borrower shall be  deemed  to  have
elected  to  convert such Eurodollar Loans into Base  Rate  Loans
effective  as  of  the expiration date of such  current  Interest
Period.

          Section  2.7  Minimum Amount of Eurodollar Loans.   All
borrowings, conversions, continuations, payments, prepayments and
selections  of  Interest  Periods  hereunder  shall  be  made  or
selected  so that, after giving effect thereto, (i) the aggregate
principal  amount of any Borrowing comprised of Eurodollar  Loans
shall  not  be less than $2,000,000 (or in the aggregate  minimum
amount of $1,000,000 if the Borrowing of $2,000,000 is prohibited
by  the  terms  of  the  Senior  Note  Documents  or  the  Senior
Subordinated Note Documents) or an integral multiple of  $100,000
in  excess  thereof,  and (ii) there shall be  no  more  than  18
Borrowings comprised of Eurodollar Loans outstanding at any time.

          Section  2.8  Conversion or Continuation.  (a)  Subject
to  the  other  provisions hereof, the Borrower  shall  have  the
option  (i) to convert at any time all or any part of outstanding
Base  Rate  Loans  which comprise part of the same  Borrowing  to
Eurodollar  Loans, (ii) to convert all or any part of outstanding
Eurodollar  Loans  which comprise part of the same  Borrowing  to
Base  Rate  Loans, on the expiration date of the Interest  Period
applicable  thereto, or (iii) to continue  all  or  any  part  of
outstanding  Eurodollar Loans which comprise  part  of  the  same
Borrowing as Eurodollar Loans for an additional Interest  Period,
on  the  expiration  of the Interest Period  applicable  thereto;
provided that no Revolving Loan may be continued as, or converted
into, a Eurodollar Loan when any Default or Event of Default  has
occurred and is continuing.

               (b)   In  order to elect to convert or continue  a
Revolving Loan under this Section 2.8, the Borrower shall deliver
an  irrevocable Notice of Continuation or a Notice of  Conversion
to  the Administrative Agent no later than 11:00 a.m., (New  York
City  time),  (i)  at least one Business Day in  advance  of  the
proposed  conversion date in the case of a conversion to  a  Base
Rate Loan and (ii) at least three Business Days in advance of the
proposed conversion or continuation date in the case of a  conver
sion to, or a continuation of, a Eurodollar Loan.  Each Notice of
Conversion  or Notice of Continuation shall be in  the  forms  of
Exhibits  C-1 and C-2 hereto and in any event shall  specify  (w)
the  requested conversion or continuation date (which shall be  a
Business  Day),  (x)  the  amount of the  Revolving  Loan  to  be
converted  or continued, (y) whether a conversion or continuation
is requested, and (z) in the case of a conversion to, or a contin
uation  of,  a  Eurodollar Loan, the requested  Interest  Period.
Promptly  after receipt of a Notice of Conversion  or  Notice  of
Continuation under this Section 2.8(b), the Administrative  Agent
shall notify each Bank of the details thereof.

          Section  2.9   Voluntary  and Mandatory  Reductions  of
Commitments.  (a) Upon at least three Business Days' prior irrevo
cable written notice (or telephonic notice promptly confirmed  in
writing)   to   the  Administrative  Agent  (which   notice   the
Administrative  Agent  shall promptly transmit  to  each  of  the
Banks),  the  Borrower shall have the right, without  premium  or
penalty, to permanently reduce each Bank's Pro Rata Share of  all
or part of the Total Revolving Loan Commitment, provided that any
such partial reductions shall be in a minimum aggregate amount of
$1,000,000 or any integral multiple of $100,000 in excess thereof
(or  any  lesser  amounts if the Total Revolving Loan  Commitment
shall be reduced in full).

               (b)   Simultaneously with any required  prepayment
of  the  Revolving  Loans in accordance with  the  provisions  of
Section 2.11 or 2.12, each Bank's Total Revolving Loan Commitment
shall be permanently reduced by such Bank's Pro Rata Share of the
amount of such prepayment.

          Section  2.10   Voluntary  Prepayments.   The  Borrower
shall have the right to prepay the Revolving Loans in whole or in
part  from  time  to time on the following terms and  conditions:
(i)  the  Borrower  shall give the Administrative  Agent  written
notice  (or telephonic notice promptly confirmed in writing)  not
later than 10:00 a.m. (New York City time), which notice shall be
irrevocable,  of  its  intent to prepay the Revolving  Loans,  at
least  three  Business Days prior to a prepayment  of  Eurodollar
Loans and at least one Business Day prior to a prepayment of Base
Rate  Loans, which notice shall specify the amount of such prepay
ment and what Types of Revolving Loans are to be prepaid and,  in
the  case of Eurodollar Loans, the specific Borrowing(s) pursuant
to  which  made, and which notice the Administrative Agent  shall
promptly  transmit  to  each of the Banks, (ii)  each  prepayment
shall  be in an aggregate principal amount of $1,000,000  or  any
integral  multiple of $100,000 in excess thereof (or, any  lesser
amounts if all of the Loans shall be prepaid in full), and  (iii)
any such prepayment shall be accompanied by any additional amount
due pursuant to Section 2.16 hereof.

          Section 2.11  Mandatory Prepayments.  (a)  On and after
the  date  upon which all Obligations (as defined in the Existing
Credit Agreement) then due and payable have been paid in full  or
the   Existing  Credit  Agreement  shall  have  been   refinanced
substantially  in  its entirety, mandatory prepayments  shall  be
made hereunder with respect to the following:

                    (i)   Asset  Sales.   On  each  Business  Day
     immediately after the date on which the Parent or any of its
     Subsidiaries  receives any Net Cash Proceeds from  an  Asset
     Sale,  the  Borrower shall prepay the outstanding  Revolving
     Loans  in an amount equal to 100% of the amount of such  Net
     Cash  Proceeds, in accordance with the provisions of Section
     2.12,  provided  that Net Cash Proceeds from Eligible  Asset
     Sales shall not be required to be used to so repay Revolving
     Loans  to  the  extent the Borrower elects,  as  hereinafter
     provided,  to cause such Net Cash Proceeds to be  reinvested
     in  Reinvestment  Assets (a "Reinvestment  Election").   The
     Borrower may exercise its Reinvestment Election with respect
     to  an  Eligible Asset Sale if (x) no Default  or  Event  of
     Default  exists and (y) the Borrower delivers a Reinvestment
     Notice to the Administrative Agent on the Business Day after
     the  date  of  the  consummation of the respective  Eligible
     Asset  Sale, with such Reinvestment Election being effective
     with respect to the Net Cash Proceeds of such Eligible Asset
     Sale  equal to the Anticipated Reinvestment Amount specified
     in such Reinvestment Notice.  Notwithstanding the foregoing,
     the  Borrower shall in any event prepay the Revolving  Loans
     to  the extent necessary to avoid any requirement to make an
     "Offer"  under and as defined in Section 5.07 of the  Senior
     Note Indenture and the Senior Subordinated Note Indenture.

                    (ii)  Issuance of Indebtedness.  On each date
     on  which the Parent or any of its Subsidiaries receives any
     Net  Cash  Proceeds from the issuance of any debt securities
     or  the  incurrence  of any other Indebtedness  (other  than
     Indebtedness permitted by Section 6.2 (other than clause (g)
     thereof)  as  in effect on the Closing Date),  the  Borrower
     shall  prepay the outstanding Revolving Loans in  an  amount
     equal to 50% of such Net Cash Proceeds, if on such date  the
     Borrower's senior unsecured Indebtedness is rated less  than
     BBB  by  Standard & Poor's or Baa2 by Moody's, in accordance
     with  the provisions of Section 2.12.  No prepayments  under
     this Section shall be required if the preceding sentence  is
     not  applicable  at  the  time  such  prepayment  would   be
     otherwise required hereby.

                    (iii)    Excess  Cash  Flow.   On  the   date
     occurring 90 days after the close of each fiscal year of the
     Borrower (or, if earlier, the seventh day following delivery
     of the financial statements referred to in Section 5.1(b) in
     respect of such fiscal year) commencing with the fiscal year
     ending  January 30, 2000, the Borrower shall prepay the  out
     standing  Revolving Loans in an amount equal to (i)  if  the
     Adjusted  Leverage Ratio as of the last day of  such  fiscal
     year  is  greater than 3.5:1.0, 75% of the Excess Cash  Flow
     for  such  preceding fiscal year and (ii)  if  the  Adjusted
     Leverage  Ratio  as of the last day of such fiscal  year  is
     less than or equal to 3.5:1.0 and greater than 2.5:1.0,  50%
     of the Excess Cash Flow for such preceding fiscal year, each
     in  accordance  with  the provisions of  Section  2.12.   No
     prepayments under this Section shall be required if  neither
     clause  (i)  or (ii) hereof is applicable at the  time  such
     prepayment would be otherwise required hereby.

                    (iv)   Reinvestment Prepayment Date.  On  the
     Reinvestment  Prepayment Date with respect to a Reinvestment
     Election,  an  amount  equal to the Reinvestment  Prepayment
     Amount,  if  any,  for such Reinvestment Election  shall  be
     applied  as a repayment of the principal amount of the  then
     outstanding   Revolving  Loans  in   accordance   with   the
     provisions of Section 2.12.

                    (v)  Equity Issuances.  On each date on which
     the  Parent or any of its Subsidiaries receives any Net Cash
     Proceeds  from  any Equity Issuance (other  than  an  Equity
     Issuance  substantially contemporaneous with  any  Permitted
     Acquisition to the extent that the Net Cash Proceeds thereof
     are  used  to  finance such Permitted Acquisition),  if  the
     Adjusted  Leverage Ratio as of the last day  of  the  fiscal
     quarter  most  recently ended prior to such date  for  which
     financial statements have been delivered pursuant to Section
     5.1(a)  or  (b) is greater than 3.5:1.0, the Borrower  shall
     prepay the outstanding Revolving Loans in an amount equal to
     50%  of such Net Cash Proceeds, in accordance with the provi
     sions  of  Section 2.12.  Notwithstanding the foregoing,  no
     prepayment  of Revolving Loans under this Section 2.11(a)(v)
     shall  be  required for the first $50,000,000  of  Net  Cash
     Proceeds  received by the Parent or any of its  Subsidiaries
     from  Equity  Issuances  other  than  Equity  Issuances   in
     connection   with  the  exercise  of  outstanding   options,
     warrants, purchase rights or conversion rights ("New  Equity
     Issuances").  The amount of Net Cash Proceeds received  from
     New  Equity  Issuances  in excess of  $50,000,000  shall  be
     applied  in  accordance  with the  first  sentence  of  this
     Section 2.11(a)(v).

                    (vi)   Store Closings.  On the tenth Business
     Day  after the end of the fiscal month after the termination
     of  business  at  a store (other than the stores  listed  on
     Schedule  1  to the Sixth Amendment Agreement, dated  as  of
     February   18,   2000),  the  Borrower  shall   prepay   the
     outstanding Revolving Loans in an amount equal  to  100%  of
     the  amount  of  the Net Cash Proceeds in  respect  of  such
     store.

          Notwithstanding anything to the contrary  contained  in
this  Section  2.11, no Net Cash Proceeds shall be payable  under
this Agreement until all prepayments required to be prepaid under
the  Existing  Credit  Agreement  are  made  thereunder,  or  the
Existing  Credit Agreement has been substantially  refinanced  or
the Loans (as defined in the Existing Credit Agreement) have been
paid in full.

               (b)     Voluntary    and   Mandatory    Commitment
Reductions.   On  each  day  on which the  Total  Revolving  Loan
Commitment is reduced pursuant to Section 2.9, the Borrower shall
prepay  the  Revolving Loans, to the extent,  if  any,  that  the
outstanding principal amount of the Revolving Loans at such  time
exceeds such reduced Total Revolving Loan Commitment.

          Section  2.12   Application of  Prepayments.   All  pre
payments of the Revolving Loans required by Section 2.11 shall be
applied  first  to  Base Rate Loans to the  full  extent  thereof
before  application to Eurodollar Loans, in each case in a manner
which minimizes the amount of any payments required to be made by
the Borrower pursuant to Section 2.16.

          Section 2.13  Method and Place of Payment.  (a)  Except
as  otherwise  specifically provided  herein,  all  payments  and
prepayments under this Agreement and the Revolving Notes shall be
made  to  the Administrative Agent for the account of  the  Banks
entitled thereto not later than 12:00 p.m. (New York City  time),
on  the  date when due and shall be made in lawful money  of  the
United  States of America in immediately available funds  at  the
Administrative  Agent's Office, and any  funds  received  by  the
Administrative  Agent  after such time shall,  for  all  purposes
hereof (including the following sentence), be deemed to have been
paid  on  the next succeeding Business Day.  Except as  otherwise
specifically  provided  herein, the  Administrative  Agent  shall
thereafter cause to be distributed on the date of receipt thereof
to  each  Bank  in like funds its Pro Rata Share of  payments  so
received.

               (b)  Whenever any payment to be made hereunder  or
under any Revolving Note shall be stated to be due on a day which
is  not a Business Day, the due date thereof shall be extended to
the next succeeding Business Day and, with respect to payments of
principal,  interest and Fees shall be payable at the  applicable
rate during such extension.

               (c)   All  payments made by the Borrower hereunder
and under the other Loan Documents shall be made irrespective of,
and without any reduction for, any setoff or counterclaims.

          Section 2.14  Fees.  (a)  The Borrower agrees to pay to
the Administrative Agent for its own account and for distribution
to  the  Banks  as separately agreed between each  Bank  and  the
Administrative Agent the fees and expenses in the amounts and  on
the dates specified in the Commitment Letter.

               (b)    The   Borrower  agrees  to   pay   to   the
Administrative  Agent for the account of each Bank  a  commitment
fee (the "Commitment Fee"), computed at a per annum rate equal to
0.50%  on  the  average  daily  unused  portion  of  such  Bank's
Revolving Loan Commitment, from and including the Closing Date to
the  Final  Maturity Date, payable quarterly in arrears  on  each
Payment Date and on the Final Maturity Date or such earlier date,
if  any,  on  which  the  Total Revolving Loan  Commitment  shall
terminate in accordance with the terms hereof.

          Section  2.15  Interest Rate Unascertainable, Increased
Costs,  Illegality.   (a)  In the event that  the  Administrative
Agent, in the case of clause (i) below, or any Bank, in the  case
of  clauses  (ii)  and (iii) below, shall have determined  (which
determination  shall, absent manifest error,  be  final  and  con
clusive and binding upon all parties hereto):

                    (i)   on any date for determining the Eurodol
     lar  Rate  for  any Interest Period, that by reason  of  any
     changes  arising after the date of this Agreement  affecting
     the interbank Eurodollar market, adequate and fair means  do
     not  exist for ascertaining the applicable interest rate  on
     the  basis  provided for in the definition of the Eurodollar
     Rate; or

                    (ii)    at   any  time,  that  the   relevant
     Eurodollar  Rate  applicable to any of its  Revolving  Loans
     shall  not represent the effective pricing to such Bank  for
     funding or maintaining a Eurodollar Loan, or such Bank shall
     incur  increased costs or reductions in the amounts received
     or  receivable hereunder in respect of any Eurodollar  Loan,
     in any such case because of (x) any change since the date of
     this  Agreement in any applicable law or governmental  rule,
     regulation, guideline or order or any interpretation thereof
     and  including  the introduction of any new  law  or  govern
     mental  rule,  regulation, guideline or order (such  as  for
     example  but not limited to a change in official reserve  re
     quirements, but, in all events, excluding reserves  required
     under Regulation D to the extent included in the computation
     of  the Eurodollar Rate), whether or not having the force of
     law and whether or not failure to comply therewith would  be
     unlawful, and/or (y) other circumstances affecting such Bank
     or  the interbank Eurodollar market or the position of  such
     Bank in such market; or

                    (iii)   at  any  time,  that  the  making  or
     continuance by it of any Eurodollar Loan has become unlawful
     by  compliance by such Bank in good faith with  any  law  or
     governmental  rule, regulation, guideline or order  (whether
     or not having the force of law and whether or not failure to
     comply therewith would be unlawful) or has become impractica
     ble as a result of a contingency occurring after the date of
     this  Agreement which materially and adversely  affects  the
     interbank Eurodollar market;

then,  and  in any such event, the Administrative Agent  or  such
Bank shall, promptly after making such determination, give notice
(by  telephone promptly confirmed in writing) to the Borrower and
(if  applicable)  the Administrative Agent of such  determination
(which notice the Administrative Agent shall promptly transmit to
each  of the other Banks).  Thereafter (x) in the case of  clause
(i) above, the Borrower's right to request Eurodollar Loans shall
be  suspended, and any Notice of Borrowing, Notice of  Conversion
or  Notice of Continuation given by the Borrower with respect  to
any  Borrowing of Eurodollar Loans, which has not yet  been  made
shall  be deemed cancelled and rescinded by the Borrower, (y)  in
the  case  of clause (ii) above, the Borrower shall pay  to  such
Bank, upon such Bank's delivery of written demand therefor to the
Borrower, with a copy to the Administrative Agent, such  addition
al  amounts (in the form of an increased rate of interest,  or  a
different method of calculating interest, or otherwise,  as  such
Bank in its sole discretion shall determine) as shall be required
to  compensate such Bank for such increased costs or reduction in
amounts  received or receivable hereunder and (z) in the case  of
clause  (iii) above, the Borrower shall take one of  the  actions
specified in clause (b) below as promptly as possible and, in any
event,  within  the  time period required by  law.   The  written
demand provided for in clause (y) shall demonstrate in reasonable
detail  the calculation of the amounts demanded and shall, absent
manifest error, be final and conclusive and binding upon  all  of
the parties hereto.

               (b)   In  the  case  of  any  Eurodollar  Loan  or
requested Eurodollar Loan affected by the circumstances described
in clause (a)(ii) above, the Borrower may, and in the case of any
Eurodollar Loan affected by the circumstances described in clause
(a)(iii)  above  the  Borrower shall,  either  (i)  if  any  such
Eurodollar Loan has not yet been made but is then the subject  of
a  Notice  of  Borrowing,  a Notice of Conversion  or  Notice  of
Continuation,  be  deemed to have cancelled  and  rescinded  such
notice,  or (ii) if any such Eurodollar Loan is then outstanding,
require  the  affected Bank to convert each such Eurodollar  Loan
into  a  Base  Rate  Loan at the end of the  applicable  Interest
Period  or such earlier time as may be required by law,  in  each
case  by  giving  the Administrative Agent notice  (by  telephone
promptly  confirmed in writing) thereof on the Business Day  that
the  Borrower  was notified by the Bank pursuant  to  clause  (a)
above;  provided, however, that all Banks whose Eurodollar  Loans
are  affected by the circumstances described in clause (a)  above
shall be treated in the same manner under this clause (b).

               (c)   In  the event that the Administrative  Agent
determines  at any time following its giving of notice  based  on
the conditions described in clause (a)(i) above that none of such
conditions  exist, the Administrative Agent shall  promptly  give
notice  thereof  to  the Borrower and the  Banks,  whereupon  the
Borrower's right to request Eurodollar Loans from the  Banks  and
the Banks' obligation to make Eurodollar Loans shall be restored.

               (d)   In  the event that a Bank determines at  any
time  following  its giving of a notice based on  the  conditions
described  in clause (a)(iii) above that none of such  conditions
exist,  such  Bank  shall promptly give  notice  thereof  to  the
Borrower  and the Administrative Agent, whereupon the  Borrower's
right  to request Eurodollar Loans from such Bank and such Bank's
obligation to make Eurodollar Loans shall be restored.

               (e)   If  any  Bank determines that any applicable
law, rule, or regulation or any change therein, or any change  in
the  interpretation or administration thereof by any governmental
authority,  central bank, or comparable agency charged  with  the
interpretation or administration thereof, or compliance  by  such
Bank  with  any request or directive (whether or not  having  the
force  of law) of any such authority, central bank, or comparable
agency  shall  make it unlawful or impossible for  such  Bank  to
maintain  its  Commitment, then upon notice to the Administrative
Agent  and the Borrower by the Bank, the Commitment of such  Bank
shall terminate.

          Section  2.16   Funding  Losses.   The  Borrower  shall
compensate  each  Bank, upon such Bank's delivery  of  a  written
demand  therefor  to  the Borrower, with a copy  to  the  Adminis
trative  Agent  (which demand shall, absent  manifest  error,  be
final and conclusive and binding upon all of the parties hereto),
for  all  reasonable losses, expenses and liabilities (including,
without  limitation, any loss, expense or liability  incurred  by
such  Bank in connection with the liquidation or reemployment  of
deposits  or funds required by it to make or carry its Eurodollar
Loans   but  excluding  anticipated  profits),  that  such   Bank
sustains:   (i) if for any reason (other than a default  by  such
Bank)  a  Borrowing of, or conversion from or into, or a  continu
ation  of,  Eurodollar Loans does not occur on a  date  specified
therefor in a Notice of Borrowing, Notice of Conversion or Notice
of  Continuation,  (whether or not rescinded, cancelled  or  with
drawn  or  deemed rescinded, cancelled or withdrawn, pursuant  to
Section  2.15(a) or 2.15(b) or otherwise), (ii) if any  repayment
(including,  without limitation, payment after  acceleration)  or
conversion of any of its Eurodollar Loans occurs on a date  which
is  not  the last day of the Interest Period applicable  thereto,
(iii)  if  any prepayment of any of its Eurodollar Loans  is  not
made on any date specified in a notice of prepayment given by the
Borrower, or (iv) as a consequence of any default by the Borrower
in  repaying  its  Eurodollar Loans, or any other  amounts  owing
hereunder in respect of its Eurodollar Loans when required by the
terms of this Agreement.  Calculation of all amounts payable to a
Bank under this Section 2.16 shall be made on the assumption that
such  Bank  has funded its relevant Eurodollar Loan  through  the
purchase  of  a Eurodollar deposit bearing interest at  the  Euro
dollar  Rate in an amount equal to the amount of such  Eurodollar
Loan with a maturity equivalent to the Interest Period applicable
to  such  Eurodollar  Loan,  and through  the  transfer  of  such
Eurodollar  deposit from an offshore office of  such  Bank  to  a
domestic  office  of such Bank in the United States  of  America,
provided  that  each Bank may fund its Eurodollar  Loans  in  any
manner  that it in its sole discretion chooses and the  foregoing
assumption  shall  only  be made in order  to  calculate  amounts
payable under this Section 2.16.

          Section 2.17    Increased Capital.  If at any time  any
Bank determines that the introduction after the Closing Date  of,
or  any  change after the Closing Date in, any applicable law  or
governmental  rule,  regulation, order, guideline,  directive  or
request  (whether  or  not having the force  of  law)  concerning
capital  adequacy,  or  any  change after  the  Closing  Date  in
interpretation  or  administration thereof  by  any  governmental
authority,  central  bank or comparable  agency,  will  have  the
effect  of increasing the amount of capital required or  expected
to be maintained by such Bank or any corporation controlling such
Bank  based on the existence of such Bank's Commitments hereunder
or  its  obligations  hereunder, or shall  change  the  basis  of
taxation  of any amounts payable to any Bank under this Agreement
or  the  Revolving Notes in respect of any such  Revolving  Loans
(other  than taxes imposed on the overall net income of any  Bank
for  any  of  such Loans by the jurisdiction where such  Bank  is
located) then the Borrower shall pay to such Bank, within 15 days
after  its  written demand therefor, such additional  amounts  as
shall   be  required  to  compensate  such  Bank  or  such  other
corporation  for the increased cost to such Bank  or  such  other
corporation or the reduction in the rate of return to  such  Bank
or such other corporation as a result of such increase of capital
or change in basis.  In determining such additional amounts, each
Bank will act reasonably and in good faith and will use averaging
and  attribution methods which are reasonable, provided that such
Bank's reasonable good faith determination of compensation  owing
under  this Section 2.17 shall, absent manifest error,  be  final
and conclusive and binding on all the parties hereto.  Each Bank,
upon  determining  that any additional amounts  will  be  payable
pursuant  to  this Section 2.17, will give prompt written  notice
thereof  to the Borrower, which notice shall show the  basis  for
calculation of such additional amounts, although the  failure  to
give  any  such notice shall not release or diminish any  of  the
Borrower's Obligations to pay additional amounts pursuant to this
Section 2.17.

          Section  2.18  Taxes.  (a)  All payments  made  by  the
Borrower  under this Agreement shall be made free and  clear  of,
and  without reduction or withholding for or on account  of,  any
present  or future income, stamp or other taxes, levies, imposts,
duties,  charges,  fees,  deductions  or  withholdings,  now   or
hereafter imposed, levied, collected, withheld or assessed by any
governmental   authority  excluding,   in   the   case   of   the
Administrative  Agent  and each Bank, net  income  and  franchise
taxes  imposed on the Administrative Agent or such  Bank  by  the
jurisdiction under the laws of which the Administrative Agent  or
such  Bank  is organized or any political subdivision  or  taxing
authority  thereof  or therein, or by any jurisdiction  in  which
such Bank's Lending Office, as the case may be, is located or any
political subdivision or taxing authority thereof or therein (all
such non-excluded taxes, levies, imposts, deductions, charges  or
withholdings being hereinafter called "Taxes").  If any Taxes are
required  to  be  withheld  from  any  amounts  payable  to   the
Administrative Agent or any Bank hereunder or under the Revolving
Notes, the amounts so payable to the Administrative Agent or such
Bank  shall be increased to the extent necessary to yield to  the
Administrative Agent or such Bank (after payment  of  all  Taxes)
interest or any such other amounts payable hereunder at the rates
or  in  the amounts specified in this Agreement and the Revolving
Notes.   Whenever  any  Taxes are payable  by  the  Borrower,  as
promptly as possible thereafter, the Borrower shall send  to  the
Administrative  Agent for its own account or for the  account  of
such  Bank,  a  certified  copy of an original  official  receipt
received  by  the  Borrower  showing  payment  thereof  or  other
evidence of payment reasonably satisfactory to the Administrative
Agent or such Bank.  If the Borrower fails to pay any Taxes  when
due  to the appropriate taxing authority or fails to remit to the
Administrative  Agent  the required receipts  or  other  required
documentary   evidence,   the  Borrower   shall   indemnify   the
Administrative  Agent  and the Banks for any  incremental  taxes,
interest   or   penalties  that  may  become   payable   by   the
Administrative Agent or any Bank as a result of any such failure.
The agreements in this Section 2.18 shall survive the termination
of  this Agreement and the payment of the Revolving Notes and all
other Obligations.

               (b)   Each  Bank  (including each Purchasing  Bank
that  becomes a party to this Agreement pursuant to Section  9.4)
that  is not incorporated under the laws of the United States  of
America or a state thereof (a "Non-U.S. Bank") agrees that, prior
to the first date on which any payment is due to it hereunder, it
will deliver to the Borrower and the Administrative Agent (i) two
duly  completed copies of United States Internal Revenue  Service
Form  W-8BEN or W-8ECI or successor applicable form, as the  case
may  be,  certifying in each case that such Bank is  entitled  to
receive  payments  under this Agreement and the  Revolving  Notes
payable  to  it, without deduction or withholding of  any  United
States  federal income taxes, or (ii) in the case of  a  Non-U.S.
Bank claiming exemption from U.S. federal withholding taxes under
Section 871(h) or 881(c) of the Code with respect to payments  of
"portfolio  interest," an Internal Revenue Service  Form  W-8  or
successor  applicable form, as the case may be, to  establish  an
exemption from United States backup withholding tax together with
a certificate to the effect that such Non-U.S. Bank is not a bank
for  purposes of Section 881(c) of the Code, is not a 10  percent
shareholder  (within the meaning of Section 871(h)(3)(B)  of  the
Code)  of  the Borrower, is not a controlled foreign  corporation
related  to the Borrower (within the meaning of Section 864(d)(4)
of  the  Code) and is entitled to a complete exemption from  U.S.
federal  withholding  taxes.  Each Bank  which  delivers  to  the
Borrower and the Administrative Agent a Form W-8BEN or W-8ECI and
Form W-8 pursuant to the preceding sentence further undertakes to
deliver  to the Borrower and the Administrative Agent two further
copies  of Form W-8BEN or W-8ECI and Form W-8 (together with  the
accompanying  certificate),  or successor  applicable  forms,  or
other  manner of certification, as the case may be, on or  before
the  date that any such form expires or becomes obsolete or after
the occurrence of any event requiring a change in the most recent
form  previously  delivered  by it  to  the  Borrower,  and  such
extensions or renewals thereof as may reasonably be requested  by
the  Borrower, certifying in the case of a Form W-8BEN or  W-8ECI
that  such Bank is entitled to receive payments under this  Agree
ment  without  deduction  or withholding  of  any  United  States
federal  income taxes, unless in any such case an  event  (includ
ing, without limitation, any change in treaty, law or regulation)
has  occurred prior to the date on which any such delivery  would
otherwise  be  required which renders all such forms inapplicable
or  which  would  prevent  such Bank  from  duly  completing  and
delivering any such form with respect to it and such Bank advises
the Borrower that it is not capable of receiving payments without
any deduction or withholding of United States federal income tax,
and  in  the  case of a Form W-8, establishing an exemption  from
United States backup withholding tax.

          Section  2.19   Action  of Affected  Banks.   Upon  the
written  request  of  the  Borrower,  each  Bank  agrees  to  use
reasonable  efforts (including reasonable efforts to  change  the
lending office for its Loans) to avoid or minimize any illegality
or  any  amounts which might otherwise be payable by the Borrower
pursuant  to Sections 2.15 or 2.18; provided, however, that  such
efforts shall not cause, in the sole determination of such  Bank,
the  imposition on such Bank of any additional costs or legal  or
regulatory  burdens and shall not be deemed by such  Bank  to  be
otherwise  contrary  to its policies.  In  the  event  that  such
reasonable  efforts are insufficient to avoid all such illegality
or all amounts that might be payable pursuant to Sections 2.15 or
2.18,  then  such  Bank  (the  "Affected  Bank")  shall  use  its
reasonable efforts to transfer to any other Bank (which itself is
not then an Affected Bank) its Loans and Commitments, subject  to
the  provisions  of  Section 9.4; provided,  however,  that  such
transfer  shall not be deemed by such Affected Bank, in its  sole
discretion,  to  be  disadvantageous to it  or  contrary  to  its
policies.   In  the event that the Affected Bank  is  unable,  or
otherwise is unwilling, so to transfer its Loans and Commitments,
the  Borrower  may  designate  an  alternate  lender  (reasonably
acceptable to the Administrative Agent) to purchase the  Affected
Bank's  Loans  and  Commitments, at  par  and  including  accrued
interest,  and,  subject to the provisions of  Section  9.4,  the
Affected  Bank  shall transfer its Commitments to such  alternate
lender  and  such alternate lender shall become a Bank hereunder.
Any   fee  payable  to  the  Administrative  Agent  pursuant   to
subsection 9.4(c) in connection with such transfer shall  be  for
the account of the Borrower.

          Section  2.20   Use of Proceeds.  The proceeds  of  the
Revolving Loans shall be used for working capital of the Borrower
and  its  Subsidiaries in accordance with customary  and  typical
past historical practice.

SECTION 3.  CONDITIONS PRECEDENT.

          Section  3.1   Conditions Precedent to  Initial  Loans.
The obligation of each Bank to make its initial Loans, is subject
to  the satisfaction on the Closing Date (unless otherwise waived
in  writing  by the Administrative Agent) of the following  condi
tions precedent:

               (a)  Loan Documents.

                    (i)   Credit  Agreement.  The  Borrower,  the
     Parent  and  each other party to this Agreement  shall  have
     executed  and delivered this Agreement to the Administrative
     Agent.

                    (ii)   Revolving  Notes.  The Borrower  shall
     have executed and delivered to each Bank which has requested
     Revolving  Notes  the  appropriate Revolving  Notes  in  the
     amount, maturity and as otherwise provided herein.

                    (iii)   Security Agreement.  Each of the  Bor
     rower,  the Parent and the Material Subsidiaries shall  have
     executed  and delivered to the Collateral Agent  a  security
     agreement  substantially in the form set forth as Exhibit  D
     hereto  (as amended, modified or supplemented from  time  to
     time, the "Security Agreement").

                    (iv)   Subsidiary  Guaranty.   Each  of   the
     Parent and the Material Subsidiaries shall have executed and
     delivered  to  the Collateral Agent a guaranty substantially
     in  the  form  set  forth as Exhibit E hereto  (as  amended,
     modified  or supplemented from time to time, the "Subsidiary
     Guaranty").

                    (v)   Warrant  Agreement.  The  Parent  shall
     have  executed  and  delivered to the  Administrative  Agent
     separate  warrant  agreements  for  each  Bank  for  further
     delivery to such Bank substantially in the form set forth as
     Exhibit F hereto (as amended, modified or supplemented  from
     time to time, the "Warrant Agreement").

               (b)  Opinions of Counsel.

                    (i)   The Administrative Agent shall have  re
     ceived  a  legal  opinion,  dated  the  Closing  Date,  from
     Cadwalader, Wickersham & Taft, counsel to the Loan  Parties,
     substantially in the form set forth as Exhibit G hereto, and
     the  Borrower hereby instructs such counsel to deliver  such
     opinion.

                    (ii)   The  Administrative Agent  shall  have
     received  a  legal  opinion, dated the  Closing  Date,  from
     Skadden,  Arps,  Slate, Meagher & Flom  (Illinois),  special
     counsel to the Administrative Agent.

               (c)    Corporate  Documents.   The  Administrative
Agent  shall  have  received  the  Articles  or  Certificate   of
Incorporation of each of the Loan Parties as amended, modified or
supplemented  to the Closing Date, certified to be true,  correct
and  complete by the appropriate Secretary of State as of a  date
not  more than five days prior to the Closing Date, together with
a  good standing certificate from such Secretary of State  and  a
good  standing certificate from the Secretaries of State (or  the
equivalent thereof) of each other State in which each of them  is
required to be qualified to transact business, each to be dated a
date not more than five days prior to the Closing Date.

               (d)      Certified    Resolutions,    etc.     The
Administrative  Agent shall have received a  certificate  of  the
Secretary or Assistant Secretary of each of the Loan Parties  and
dated  the  Closing  Date  certifying  (i)  the  names  and  true
signatures of the incumbent officers of such Person authorized to
sign  the  applicable Loan Documents, (ii) the  By-Laws  of  such
Person as in effect on the Closing Date, (iii) the resolutions of
such  Person's  Board of Directors approving and authorizing  the
execution,  delivery  and  performance  of  all  Loan   Documents
executed by such Person, and (iv) that there have been no changes
in  the  Articles or Certificate of Incorporation of such  Person
since  the date of the most recent certification thereof  by  the
appropriate Secretary of State.

               (e)   Officer's  Certificate.  The  Administrative
Agent  and  the  Banks shall have received a  certificate  of  an
Authorized  Officer  of  the Borrower, dated  the  Closing  Date,
certifying that (i) each of the Loan Parties and, to the best  of
his  or  her  knowledge, the other parties to the Loan Documents,
have  performed  or  complied in all material respects  with  all
agreements  and conditions contained in such Loan  Documents  and
any  agreements or documents referred to therein required  to  be
performed  or  complied with by each of them  on  or  before  the
Closing Date, and (ii) subject to the foregoing, neither any Loan
Party  nor,  to the best of his or her knowledge, any such  other
party is in default in the performance or compliance with any  of
the  terms  or  provisions thereof, except  to  the  extent  that
performance thereof or compliance therewith or default  has  been
waived with the prior written consent of the Banks.

               (f)   Insurance.  The Administrative  Agent  shall
have  received a certificate of insurance demonstrating insurance
coverage  in  respect of each of the Loan Parties  of  types,  in
amounts, with insurers and with other terms satisfactory  to  the
Banks.

               (g)   Lien  Search  Reports.   The  Administrative
Agent  shall  have received satisfactory reports of UCC  and  tax
lien  searches  conducted  by a search  firm  acceptable  to  the
Administrative  Agent  and the Banks with  respect  to  the  Loan
Parties  in  such  locations  as  the  Administrative  Agent  may
request.

               (h)   UCC-1 Financing Statements.   The Administra
tive  Agent shall have received copies (or other evidence of  fil
ing) of each UCC-1 financing statement signed by Borrower and the
other  Loan  Parties  as debtors naming the Collateral  Agent  as
secured party to be filed in each of the jurisdictions set  forth
on  Annex C to the Security Agreement and such other locations as
the Administrative Agent may request.

               (i)   Financial  Statements.   The  Administrative
Agent shall have received the audited financial statements of the
Parent  and the Borrower for the fiscal years ending January  30,
1999,  January  31, 1998 and February 1, 1997 and  the  unaudited
financial statements of the Borrower for the fiscal period ending
on October 30, 1999.

               (j)   Environmental  Matters.  The  Administrative
Agent  shall be satisfied that neither the Borrower, any  of  its
Subsidiaries  nor  any Loan Party is subject to  any  present  or
contingent  environmental  liability which  could  reasonably  be
expected to have a Material Adverse Effect.

               (k)   Fees and Expenses.  The Administrative Agent
shall have received, for its account and for the account of  each
Bank, as applicable, all Fees and other fees and expenses due and
payable  hereunder  on  or  before  the  Closing  Date  (if  then
invoiced),  including, without limitation, the fees and  expenses
set  forth in the Commitment Letter and the reasonable  fees  and
expenses  accrued  through the Closing Date,  of  Skadden,  Arps,
Slate, Meagher & Flom (Illinois) and its affiliates in connection
with the Transactions.

               (l)   Consents,  Licenses,  Approvals,  etc.   The
Administrative Agent shall have received copies of all  consents,
licenses  and approvals, if any, required in connection with  the
execution,  delivery and performance by the  Borrower,  the  Loan
Parties or any of their respective Subsidiaries, and the validity
and  enforceability, of the Loan Documents, or in connection with
any  of  the Transactions, and such consents, licenses and approv
als shall be in full force and effect.

               (m)   Projections.  The Administrative Agent shall
have  received  projections prepared by the Parent  demonstrating
the  projected  consolidated financial condition and  results  of
operations of the Parent and its Subsidiaries after giving effect
to  the  Transactions,  for  each  fiscal  year  for  the  period
commencing  on the Closing Date and ending on the Final  Maturity
Date  and  for  each  fiscal quarter for the fiscal  year  ending
February  3,  2001, which projections shall be accompanied  by  a
written  statement of the assumptions underlying the projections,
and all of the foregoing shall be satisfactory to the Banks.

               (n)  [Intentionally left blank.]

               (o)   Amendment.  The Administrative  Agent  shall
have  received  evidence that all conditions to the effectiveness
of  the  Sixth Amendment, dated as of February 18, 2000,  to  the
Existing Credit Agreement have been fully satisfied or waived  by
the parties thereto.

               (p)  Additional Matters.  The Administrative Agent
shall  have received such other certificates, opinions, documents
and  instruments relating to the Transactions as  may  have  been
reasonably requested by the Administrative Agent or any Bank, and
all  corporate  and  other proceedings and  all  other  documents
(including, without limitation, all documents referred to  herein
and  not  appearing as exhibits hereto) and all legal matters  in
connection  with the Transactions shall be satisfactory  in  form
and substance to the Banks.

          Section  3.2  Conditions Precedent to All  Loans.   The
obligation of each Bank to make any Revolving Loan, including the
initial  Revolving Loan on the Closing Date, is  subject  to  the
satisfaction on the date of such Revolving Loan of the  following
conditions precedent:

               (a)   Representations and Warranties.   The  repre
sentations and warranties contained herein and in the other  Loan
Documents  (other  than  representations  and  warranties   which
expressly speak only as of a different date which representations
and warranties shall be true and correct in all material respects
as  of  such  date)  shall be true and correct  in  all  material
respects on such date both before and after giving effect to such
Revolving Loan.

               (b)   No  Default or Event of Default.  No Default
or Event of Default shall have occurred and be continuing on such
date either before or after giving effect to such Revolving Loan.

               (c)   No  Injunction  or Litigation.   No  law  or
regulation shall have been adopted, no order, judgment or  decree
of  any  governmental authority shall have been  issued,  and  no
litigation,  proceeding  or investigation  shall  be  pending  or
threatened, which has not been previously disclosed on  or  prior
to  February 22, 2000 and which in the reasonable judgment of the
Banks would (i) enjoin, prohibit or restrain, or impose or result
in the imposition of any Material Adverse Effect upon, the making
or  repayment of the Revolving Loans or the Transactions or  (ii)
affect   the  legality,  validity  or  enforceability   of   this
Agreement,  any of the Loan Documents, the Transactions,  or  any
document  to  be executed in connection therewith and  the  Banks
shall  be  satisfied  as  to any other  material  litigation  and
contingent  obligations to which the Borrower or its Subsidiaries
may be subject.

               (d)  No Material Adverse Effect.  No event, act or
condition  shall  have occurred from and after the  Closing  Date
which, in the reasonable judgment of the Required Banks, has  had
or  could  reasonably  be  expected to have  a  Material  Adverse
Effect.

               (e)   Notice  of  Borrowing.   The  Administrative
Agent shall have received a fully executed Notice of Borrowing in
respect of the Loans, if any, to be made on such date.

          The  acceptance of the proceeds of each Revolving  Loan
shall constitute a representation and warranty by the Borrower to
each  of  the  Banks that all of the conditions  required  to  be
satisfied  under this Section 3 in connection with the making  of
such Revolving Loan have been satisfied.

          All  of  the Revolving Notes, certificates, agreements,
legal opinions and other documents and papers referred to in this
Section 3, unless otherwise specified, shall be delivered to  the
Administrative  Agent for the account of each of the  Banks  and,
except  for  the Revolving Notes, in sufficient counterparts  for
each  of  the  Banks,  and  shall be  satisfactory  in  form  and
substance to each Bank in its sole discretion.

SECTION 4.  REPRESENTATIONS AND WARRANTIES.

          In  order  to  induce  the  Administrative  Agent,  the
Collateral  Agent and Banks to enter into this Agreement  and  to
make  the  Revolving Loans, each of the Parent and  the  Borrower
makes  the following representations and warranties, which  shall
survive  the  execution and delivery of this  Agreement  and  the
Revolving Notes and the making of the Revolving Loans:

          Section 4.1  Corporate Status.  Each Loan Party (i)  is
a  duly  organized  and  validly  existing  corporation  in  good
standing under the laws of the jurisdiction of its incorporation,
(ii)  has  the corporate power and authority to own its  property
and assets and to transact the business in which it is engaged or
presently proposes to engage and (iii) has duly qualified and  is
authorized  to do business and is in good standing as  a  foreign
corporation in every jurisdiction in which it owns or leases real
property or in which the nature of its business requires it to be
so   qualified,   except  where  the  failure  to   so   qualify,
individually  or  in  the  aggregate,  could  not  reasonably  be
expected to have a Material Adverse Effect.

          Section 4.2  Corporate Power and Authority.  Each  Loan
Party  has the corporate power and authority to execute,  deliver
and  carry  out  the terms and provisions of  each  of  the  Loan
Documents  to  which  it is a party and has taken  all  necessary
corporate  action  to  authorize  the  execution,  delivery   and
performance  by it of such Loan Documents.  Each Loan  Party  has
duly  executed  and delivered each such Loan Document,  and  each
such  Loan  Document  constitutes its legal,  valid  and  binding
obligation, enforceable in accordance with its terms.

          Section  4.3   No  Violation.  Neither  the  execution,
delivery  or performance by any Loan Party of the Loan  Documents
to  which it is a party, nor compliance by it with the terms  and
provisions thereof nor the consummation of the Transactions,  (i)
will  contravene  any applicable provision of any  law,  statute,
rule,  regulation, order, writ, injunction or decree of any court
or  governmental  instrumentality or (ii)  will  conflict  or  be
inconsistent  with or result in any breach of any of  the  terms,
covenants, conditions or provisions of, or constitute  a  default
under,  or  result  in  the creation or  imposition  of  (or  the
obligation to create or impose) any Lien (except pursuant to  the
Security  Documents) upon any of the property or  assets  of  any
Loan Party pursuant to the terms of any indenture, mortgage, deed
of  trust, agreement or other instrument to which such Loan Party
is  a  party or by which it or any of its property or  assets  is
bound  or  to which it may be subject, or (iii) will violate  any
provision  of  the  Articles or Certificate of  Incorporation  or
By-Laws of any Loan Party.

          Section 4.4  Litigation.  There are no actions,  suits,
investigations or proceedings pending, or to the Parent's or  the
Borrower's  best  knowledge,  threatened  which  have  not   been
disclosed  to the Administrative Agent on or before February  22,
2000  (i)  with  respect  to any of the  Loan  Documents  or  the
Transactions  or (ii) that could, individually or  in  the  aggre
gate,  reasonably  be expected to result in  a  Material  Adverse
Effect.

          Section 4.5  Financial Statements; Financial Condition;
etc.   Each  of  the financial statements delivered  pursuant  to
Section 3.1(i) were prepared in accordance with GAAP consistently
applied  and  fairly  present  the financial  condition  and  the
results  of  operations of the entities covered  thereby  on  the
dates and for the periods covered thereby, except as disclosed in
the   notes  thereto  and,  with  respect  to  interim  financial
statements,  subject to normally recurring year-end  adjustments.
As  of the Closing Date, no Loan Party has any material liability
(contingent  or  otherwise)  not  reflected  in  such   financial
statements  or in the notes thereto other than as  set  forth  on
Schedule 6.6 hereto.

          Section 4.6  [Intentionally left blank.]

          Section  4.7   Projections.  The projections  delivered
pursuant to Section 3.1(m) have been prepared on the basis of the
assumptions   accompanying  them,  and   such   projections   and
assumptions, as of the date of preparation thereof and as of  the
Closing  Date,  are  reasonable and represent the  Parent's  good
faith  estimate  of  its future financial performance,  it  being
understood that nothing contained in this Section 4.7  shall  con
stitute  a  representation or warranty that such future financial
performance or results of operations will in fact be achieved.

          Section  4.8  Material Adverse Effect.  Except  as  set
forth on Schedule 4.8, from and after the Closing Date, there has
occurred  no  event, act or condition which  has  had,  or  could
reasonably be expected to have, a Material Adverse Effect.

          Section 4.9  Use of Proceeds; Margin Regulations.   All
proceeds of each Revolving Loan will be used by the Borrower only
in  accordance with the provisions of Section 2.20.  No  part  of
the  proceeds of any Revolving Loan will be used by the  Borrower
to  purchase  or  carry any Margin Stock or to extend  credit  to
others  for  the  purpose of purchasing or  carrying  any  Margin
Stock.   Neither the making of any Revolving Loan nor the use  of
the  proceeds  thereof will violate or be inconsistent  with  the
provisions of Regulations T, U or X of the Federal Reserve Board.

          Section   4.10   Governmental  Approvals.   No   order,
consent, approval, license, authorization, or validation  of,  or
filing,  recording  or registration with, or  exemption  by,  any
governmental  or  public body or authority,  or  any  subdivision
thereof,  is required to authorize, or is required in  connection
with  (i)  the execution, delivery and performance  of  any  Loan
Document or the consummation of any of the Transactions  or  (ii)
the  legality, validity, binding effect or enforceability of  any
Loan Document, except (x) those listed on Schedule 4.10 that have
already  been duly made or obtained and remain in full force  and
effect  and (y) the filing of UCC-1 financing statements  in  the
appropriate filing offices.

          Section  4.11   Security  Interests  and  Liens.    The
Security  Documents  create, as security  for  the  Secured  Obli
gations, valid and enforceable Liens on all of the Collateral, in
favor  of  the  Collateral Agent for the ratable benefit  of  the
Secured Creditors, and subject to no other Liens other than Liens
permitted by Section 6.3 hereunder.  Upon the satisfaction of the
conditions precedent described in Section 3.1(h), such  Liens  on
the  Collateral shall be superior to and prior to the  rights  of
all  third parties (except as disclosed on Schedule 6.3), and  no
further  recordings or filings are or will be required in  connec
tion  with the creation, perfection or enforcement of such Liens,
other  than  the filing of continuation statements in  accordance
with applicable law.

          Section 4.12  Tax Returns and Payments.  The Parent and
each of its Subsidiaries has filed all tax returns required to be
filed by it and has paid all taxes and assessments payable by  it
which  have  become due, other than those not yet  delinquent  or
those that are reserved against in accordance with GAAP which are
being   diligently  contested  in  good  faith   by   appropriate
proceedings.

          Section  4.13  ERISA.  As of the Closing Date, no  Loan
Party has any Plans other than those listed on Schedule 4.13.  No
accumulated funding deficiency (as defined in Section 412 of  the
Code  or  Section 302 of ERISA) or Reportable Event has  occurred
with  respect  to  any  Plan.  As of the Closing  Date,  Unfunded
Benefit  Liabilities under the Plans do not,  in  the  aggregate,
exceed  $6,000,000.  As of the Closing Date, neither the Borrower
nor any member of its ERISA Controlled Group is a party to or has
any  responsibility, contingent or otherwise, with respect to any
Multiemployer  Plan.  To the best knowledge of the  Borrower  and
each  member of its ERISA Controlled Group, no Multiemployer Plan
is  or  is likely to be in reorganization (as defined in  Section
4241  of  ERISA  or Section 418 of the Code) or is insolvent  (as
defined  in  Section  4245  of  ERISA)  which  reorganization  or
insolvency  could  reasonably  be expected  to  have  a  Material
Adverse  Effect.  No liability to the PBGC (other  than  required
premium payments), the Internal Revenue Service, any Plan or  any
trust  established  under  Title IV of  ERISA  has  been,  or  is
expected  by  the Borrower or any member of its ERISA  Controlled
Group  to be, incurred by the Borrower or any member of its ERISA
Controlled Group which liability could reasonably be expected  to
result  in  a  Material  Adverse  Effect.   Except  as  otherwise
disclosed on Schedule 4.13 hereto, neither the Borrower  nor  any
member  of its ERISA Controlled Group has any material contingent
liability  with respect to any post-retirement benefit under  any
"welfare plan" (as defined in Section 3(1) of ERISA), other  than
liability  for continuation coverage under Part 6 of Title  I  of
ERISA or other similar statute.  No lien under Section 412(n)  of
the  Code  or Section 302(f) of ERISA or requirement  to  provide
security under Section 401(a)(29) of the Code or Section  307  of
ERISA  has been or is reasonably expected by the Borrower or  any
member  of its ERISA Controlled Group to be imposed on the assets
of the Borrower or any member of its ERISA Controlled Group.

          Section  4.14   Investment Company Act; Public  Utility
Holding  Company Act.  No Loan Party nor any of its  Subsidiaries
is  (x) an "investment company" or a company "controlled"  by  an
"investment  company,"  within  the  meaning  of  the  Investment
Company  Act  of 1940, as amended, (y) a "holding company"  or  a
"subsidiary company" of a "holding company" or an "affiliate"  of
either  a "holding company" or a "subsidiary company" within  the
meaning  of  the Public Utility Holding Company Act of  1935,  as
amended,  or  (z) subject to any other federal or  state  law  or
regulation which purports to restrict or regulate its ability  to
borrow money.

          Section  4.15  Representations and Warranties  in  Loan
Documents.  All representations and warranties made by  any  Loan
Party  in  the Loan Documents, and, to the best of the Borrower's
knowledge, all representations made by each other Person in  such
Loan Documents, are true and correct in all material respects  as
of the Closing Date.  None of such representations and warranties
are inconsistent in any material respect with the representations
and warranties of any Loan Party made herein or in any other Loan
Document.

          Section  4.16   True  and  Complete  Disclosure.    All
factual information (taken as a whole) furnished by or on  behalf
of  any Loan Party in writing to the Administrative Agent or  any
Bank  on  or  prior to the Closing Date, for purposes  of  or  in
connection with this Agreement or any of the Transactions is, and
all  other  such factual information (taken as a whole) hereafter
furnished  by  or on behalf of any Loan Party in writing  to  the
Administrative  Agent or any Bank will be, true and  accurate  in
all material respects on the date as of which such information is
dated  or  furnished and not incomplete by omitting to state  any
material  fact  necessary to make such information  (taken  as  a
whole)  not  misleading at such time.  As of  the  Closing  Date,
there  are  no facts, events or conditions known to the  Borrower
which, individually or in the aggregate, have or could reasonably
be expected to have a Material Adverse Effect.

          Section 4.17  Corporate Structure; Capitalization.   As
of the Closing Date, Schedule 4.17 hereto sets forth, both before
and after giving effect to the Transactions to be consummated  on
the  Closing Date, the number of authorized and issued shares  of
capital  stock  of  the  Parent, the Borrower  and  each  of  its
Subsidiaries,  the  par  value  thereof  and,  in  the  case   of
Subsidiaries,  the  registered owner(s)  thereof.   All  of  such
issued  stock has been duly and validly issued and is fully  paid
and non-assessable.  Except as set forth in such Schedule, as  of
the  Closing Date neither the Parent, the Borrower nor  any  such
Subsidiary  has  outstanding any securities convertible  into  or
exchangeable  for  its  capital stock nor does  the  Parent,  the
Borrower  or any such Subsidiary have outstanding any  rights  to
subscribe for or to purchase, or any options for the purchase of,
or any agreements providing for the issuance (contingent or other
wise)  of,  or any calls, commitments or claims of any  character
relating to, its capital stock.

          Section  4.18  Environmental Matters.  (a)   Except  as
set  forth  in  Schedule  4.18,  (i)  each  Loan  Party  and  its
Subsidiaries  are in compliance with all applicable Environmental
Laws,  (ii) each Loan Party and its Subsidiaries have all Environ
mental  Approvals  required to operate their businesses  as  pres
ently conducted or as reasonably anticipated to be conducted, all
such  Environmental Approvals are in effect, no appeal  or  other
action is pending to revoke any such Environmental Approval,  and
each  Loan Party and each of its Subsidiaries are in full  compli
ance  with all terms and conditions of such Environmental  Approv
als,  (iii) no Loan Party, its Subsidiaries nor any of their Envi
ronmental  Affiliates has received any communication (written  or
oral),  whether  from a governmental authority,  citizens  group,
employee  or  otherwise, that alleges that a Loan Party  or  such
Subsidiary  or Environmental Affiliate is not in full  compliance
with  all  Environmental Laws, and (iv) to the Parent's  and  the
Borrower's best knowledge after due inquiry, there are no  circum
stances  that may prevent or interfere with such full  compliance
in the future.

               (b)   Except as set forth in Schedule 4.18,  there
is  no Environmental Claim pending or threatened against any Loan
Party, any of its Subsidiaries or any Environmental Affiliate.

               (c)   Except as set forth in Schedule 4.18,  there
are  no past or present actions, activities, circumstances, condi
tions,  events  or incidents, including, without limitation,  the
release,  emission,  discharge or disposal  of  any  Material  of
Environmental  Concern, that could form the  basis  of  any  Envi
ronmental  Claims against any Loan Party, any of its Subsidiaries
or  any  of  their Environmental Affiliates, which  Environmental
Claims,  individually or in the aggregate,  could  reasonably  be
expected to have a Material Adverse Effect.

               (d)   No  Release or Cleanup has occurred  at  any
property currently or formerly owned or leased by any Loan  Party
or  its  Subsidiaries that could reasonably be expected to result
in  the  assertion or creation of a Lien on said property by  any
governmental  body or agency with respect thereto,  nor  has  any
such  assertion of a Lien been made by any governmental  body  or
agency with respect thereto.

               (e)   The  Borrower has heretofore delivered  true
and  correct copies of all environmental studies, assessments  or
reports conducted of the Parent or any of its Subsidiaries and of
each  property  currently or formerly owned or  operated  by  the
Parent  or any of its Subsidiaries, including but not necessarily
limited  to Phase I or Phase II environmental assessments,  under
ground  storage tank investigation reports, or asbestos  surveys,
that  were prepared within the last five years, except that  such
time limitation shall not apply to asbestos surveys.

               (f)  Without in any way limiting the generality of
the  foregoing, except as disclosed in Schedule 4.18,  (i)  there
are  no  underground storage tanks located on property  owned  or
leased  by any Loan Party or any of its Subsidiaries and (ii)  no
polychlorinated  biphenyls (PCB's) are  used  or  stored  at  any
property  owned or leased by the Borrower or any of its Subsidiar
ies.

          Section  4.19  Insurance.  Schedule 4.19 sets  forth  a
complete  and  accurate description of all policies of  insurance
maintained  by the Parent and its Subsidiaries as of the  Closing
Date.  The Borrower has paid all premiums due on or prior to  the
Closing  Date  in respect of such policies and all such  policies
are in full force and effect.

          Section  4.20   Patents, Trademarks,  etc.   Each  Loan
Party  and its Subsidiaries has obtained and holds in full  force
and  effect  all patents, trademarks, servicemarks, trade  names,
copyrights   and   other  such  rights,  free   from   burdensome
restrictions, which are reasonably necessary for the operation of
its  business  as  presently  conducted.   No  material  product,
process, method, substance, part or other material presently sold
by  or  employed by any Loan Party or any of its Subsidiaries  in
connection  with  such business infringes any patent,  trademark,
service mark, trade name, copyright, license or other right owned
by  any other Person.  There is not pending or overtly threatened
any  claim or litigation against or affecting any Loan  Party  or
any  of its Subsidiaries contesting its right to sell or use  any
such  product, process, method, substance, part or other material
which  would  be  reasonably likely to have  a  Material  Adverse
Effect.

          Section  4.21   Ownership of Property.   Schedule  4.21
sets forth all the real property owned or leased by the Parent or
any of its Subsidiaries as of the Closing Date and identifies the
street address, whether such property is leased or owned and,  if
owned,   the   current  owner  thereof.   The  Parent   and   its
Subsidiaries  have  good and marketable fee simple  title  to  or
valid  leasehold interests in all of such real property and  good
title  or  valid  leasehold interests to all  of  their  personal
property  subject to no Lien of any kind except  Liens  permitted
hereby.  The Parent and its Subsidiaries enjoy peaceful and undis
turbed  possession under all of their respective  leases,  except
where  the  failure would not reasonably be expected  to  have  a
Material Adverse Effect.

          Section 4.22  No Default.  No Loan Party nor any of its
Subsidiaries is in default under or with respect to Loan Document
or  any other agreement, instrument or undertaking to which it is
a  party or by which it or any of its property is bound in any re
spect  which could reasonably be expected to result in a Material
Adverse Effect.  No Default or Event of Default exists.

          Section  4.23  Licenses, etc.  Each Loan Party and  its
Subsidiaries have obtained and hold in full force and effect, all
material  franchises, licenses, permits, certificates,  authoriza
tions, qualifications, easements, rights of way and other rights,
consents  and  approvals which are reasonably necessary  for  the
operation of their respective businesses as presently conducted.

          Section 4.24  Compliance With Law.  Each Loan Party and
each  of its Subsidiaries is in compliance with all laws,  rules,
regulations,  orders, judgments, writs and decrees  except  where
such non-compliance, individually or in the aggregate, could  not
reasonably be expected to have a Material Adverse Effect.

          Section  4.25   No  Burdensome Restrictions.   No  Loan
Party nor any of its Subsidiaries is a party to any agreement  or
instrument  or subject to any other obligation or any charter  or
corporate  restriction or any provision of  any  applicable  law,
rule or regulation which, individually or in the aggregate, could
reasonably be expected to have a Material Adverse Effect.

          Section  4.26  Labor Matters.  Except as set  forth  on
Schedule  4.26,  as of the Closing Date there are  no  collective
bargaining  agreements  or Multiemployer Plans  covering  the  em
ployees  of any Loan Party or any of its Subsidiaries.   None  of
the  Loan  Parties  has  suffered  any  strikes,  walkouts,  work
stoppages or other material labor difficulty within the last five
years  and to the best knowledge of such Persons, there are  none
now threatened.

          Section 4.27  Parent Business.  As of the Closing Date,
the  Parent conducts no business other than the ownership of 100%
of  the  capital  stock  of the Borrower and  has  no  assets  or
liabilities   other  than  those  reflected  in   the   financial
statements previously delivered to the Banks.  At any time  after
the Closing Date, the Parent conducts no business other than that
expressly  permitted  by the terms of this Agreement,  including,
without  limitation,  the  consummation  of,  and  ownership   of
Subsidiaries   purchased  or  created  pursuant   to,   Permitted
Acquisitions.

          Section  4.28  Cash Balances.  The aggregate amount  of
readily  available  cash  or  Cash Equivalent  in  the  Corporate
Concentration Account of the Borrower and its Subsidiaries  shall
not at any time in the aggregate exceed $20 million, including at
all such times, after giving effect to any proposed Borrowing.

SECTION 5.  AFFIRMATIVE COVENANTS.

          The Parent and the Borrower covenant and agree that  on
and  after  the  Closing Date and until the Total Revolving  Loan
Commitment has terminated, and the Obligations are paid in full:

          Section  5.1  Information Covenants.  With  respect  to
the  information required to be delivered pursuant to clauses (a)
through   (d)   below,  the  Borrower  shall   furnish   to   the
Administrative  Agent sufficient copies of such  information  for
the Administrative Agent to promptly furnish such information  to
the  Banks  and  with respect to the information required  to  be
delivered in clauses (e) through (k), the Borrower shall  furnish
to each Bank and to the Administrative Agent:

               (a)   Quarterly Financial Statements.   Within  45
days  after the close of each quarterly accounting period in each
fiscal  year  of  the  Parent (other than  the  fourth  quarterly
accounting  period),  the consolidated and consolidating  balance
sheet  of the Parent and its Subsidiaries as at the end  of  such
quarterly  period  and  the  related consolidated  statements  of
income,  cash  flow  and shareholders' equity  and  consolidating
statements  of  income, for such quarterly  period  and  for  the
elapsed  portion of the fiscal year ended with the  last  day  of
such  quarterly  period,  and in the case  of  such  consolidated
statements  of income setting forth comparative figures  for  the
related periods in the prior fiscal year.

               (b)   Annual Financial Statements.  Within 90 days
after  the  close of each fiscal year of the Parent, the  consoli
dated  and  consolidating balance sheet of  the  Parent  and  its
Subsidiaries  as at the end of such fiscal year and  the  related
consolidated  statements of income, cash flow  and  shareholders'
equity  and  consolidating statements of income for  such  fiscal
year,  setting forth, in the case of such consolidated  financial
statements,  comparative figures for the  preceding  fiscal  year
and,  with  respect  to  such consolidated financial  statements,
certified without qualification by Price Waterhouse or any  other
independent  certified public accountants of recognized  national
standing  reasonably acceptable to the Required  Banks,  in  each
case  together with a report of such accounting firm stating that
in  the course of its regular audit of the consolidated financial
statements  of  the  Borrower,  which  audit  was  conducted   in
accordance  with  generally  accepted  auditing  standards,  such
accounting firm has obtained no knowledge of any Default or Event
of  Default  under  Section 6.1, or if in  the  opinion  of  such
accounting  firm such a Default or Event of Default has  occurred
and is continuing, a statement as to the nature thereof.

               (c)  Monthly Financial Statements.  Within 30 days
after  the  end  of each monthly reporting period  following  the
Closing Date, the consolidated and consolidating balance sheet of
the  Parent  and its Subsidiaries as at the end of  such  monthly
reporting  period and the related consolidated and  consolidating
statements  of income for such monthly reporting period  and  for
the  elapsed portion of current fiscal year ended on the last day
of such monthly reporting period, and in each case setting forth,
in  the  case of such consolidated financial statements,  compara
tive  figures  for the related periods in the prior fiscal  year,
including, without limitation, a division sales analysis  in  the
form of Exhibit H attached hereto.

               (d)   Monthly Reporting.  Within 30 days after the
end  of each month a monthly report and officer's certificate  in
the form of Exhibit I attached hereto.

               (e)   Weekly Cash Flow Reports.  Within 3 business
days  after  the close of each calendar week, a cash flow  report
for  the  preceding week and a cash flow projection for not  less
than  the  next  five  weeks thereafter, in each  case  in  form,
substance  and  detail reasonably satisfactory  to  the  Required
Banks.

               (f)    Management  Letters.   Promptly  after  the
Borrower's  or  the  Parent's receipt  thereof,  a  copy  of  any
"management  letter"  or other material report  received  by  the
Borrower or the Parent from its certified public accountants.

               (g)   Budgets.  Within 45 days after the first day
of  each  fiscal  year  of  the Parent, a  quarterly  budget  and
quarterly financial forecast of results of operations and sources
and uses of cash (in form satisfactory to the Required Banks) for
the  Parent  and  its Subsidiaries and for the Borrower  and  its
Subsidiaries prepared by the Parent for such fiscal year, accompa
nied by a written statement of the assumptions used in connection
therewith, together with a certificate of the Principal Financial
Officer  of the Parent to the effect that such budget  and  finan
cial  forecast  and assumptions are reasonable and represent  the
Borrower's   good   faith  estimate  of  its   future   financial
requirements and performance.  The financial statements  required
to  be delivered pursuant to clauses (a), (b) and (c) above shall
be  accompanied  by a comparison of the actual financial  results
set  forth in such financial statements to those contained in the
forecasts delivered pursuant to this clause (e) together with  an
explanation   of  any  material  variations  from   the   results
anticipated in such forecasts.

               (h)   Officer's Certificates.  At the time of  the
delivery of the financial statements under clauses (a),  (b)  and
(c)  above,  a compliance certificate of the Principal  Financial
Officer  of  the Borrower in the form of Exhibit J (a "Compliance
Certificate")  which  certifies that  such  financial  statements
fairly  present the financial condition and the results of  opera
tions  of the Parent and the Borrower and their respective Subsid
iaries  on  the dates and for the periods indicated, subject,  in
the  case  of interim financial statements, to normally recurring
year-end adjustments and at the time of delivery of the financial
statements  under  clauses  (a) and (b)  above,  such  Compliance
Certificate  shall  certify that such officer  has  reviewed  the
terms  of the Loan Documents and has made, or caused to  be  made
under  his  or her supervision, a review in reasonable detail  of
the  business  and condition of the Parent and the  Borrower  and
their   respective  Subsidiaries  during  the  accounting  period
covered  by  such financial statements, and that as a  result  of
such  review such officer has concluded that no Default or  Event
of  Default  has  occurred during the period  commencing  at  the
beginning  of  the  accounting period covered  by  the  financial
statements accompanied by such certificate and ending on the date
of  such  certificate or, if any Default or Event of Default  has
occurred,  specifying  the  nature and  extent  thereof  and,  if
continuing, the action the Borrower has taken or proposes to take
in   respect  thereof.   The  Compliance  Certificate   delivered
pursuant to the financial statements delivered under clauses  (a)
and  (b)  above shall also set forth the calculations as required
to  establish (i) whether the Parent was in compliance  with  the
provisions  of  Section 6.1 during and  as  at  the  end  of  the
accounting period covered by the financial statements accompanied
by  such  certificate,  (ii) the Adjusted Leverage  Ratio  as  in
effect on the date of such statements for purposes of determining
the  Margin  Percentage, and (iii) the amount of  the  Borrower's
Share of Excess Cash Flow and Retained Equity Proceeds as of  the
date  of  such statements.  At the time of delivery of the  finan
cial  statements  delivered pursuant to  clause  (b)  above,  the
Borrower  shall furnish a certificate in the form of  Exhibit   K
hereto  (the  "Excess Cash Flow Certificate")  of  the  Principal
Financial  Officer of the Borrower setting forth the  calculation
of the amount of Excess Cash Flow for the relevant fiscal year.

               (i)   Notice  of Default or Litigation.   Promptly
and  in any event within three Business Days after any Loan Party
obtains  knowledge thereof, notice of (i) the occurrence  of  any
Default  or Event of Default, (ii) any litigation or governmental
proceeding  pending or threatened against any  Loan  Party  which
could  reasonably  be expected to result in  a  Material  Adverse
Effect  and  (iii) any other event, act or condition which  could
reasonably be expected to result in a Material Adverse Effect.

               (j)  ERISA.

                    (i)   As  soon as possible and in  any  event
     within  10  days after any Loan Party or any member  of  its
     ERISA Controlled Group knows, that:

                         (A)   any Termination Event has occurred
     or will occur, or

                         (B)   any  condition exists with respect
     to  a  Plan which, in the case of an ERISA Plan, presents  a
     material risk of termination of the ERISA Plan and,  in  the
     case of any Plan, presents a material risk of the imposition
     of  a  material excise tax or other liability  on  any  Loan
     Party or any member of its ERISA Controlled Group, or

                         (C)  any Loan Party or any member of its
     ERISA Controlled Group has applied for a waiver of the  mini
     mum  funding  standard under Section  412  of  the  Code  or
     Section 302 of ERISA, or

                         (D)  any Loan Party or any member of its
     ERISA  Controlled Group has engaged in a "prohibited transac
     tion,"  as  defined  in  Section 4975  of  the  Code  or  as
     described in Section 406 of ERISA, that is not exempt  under
     Section 4975 of the Code and Section 408 of ERISA where such
     transaction could reasonably be expected to have a  Material
     Adverse Effect, or

                         (E)   the aggregate present value of the
     Unfunded Benefit Liabilities under all Plans has in any year
     increased to an amount in excess of $10,000,000,  or

                         (F)   any  condition exists with respect
     to a Multiemployer Plan which presents a material risk of  a
     partial or complete withdrawal (as described in Section 4203
     or  4205  of ERISA) by any Loan Party or any member  of  its
     ERISA  Controlled Group from a Multiemployer Plan that would
     have a Material Adverse Effect, or

                         (G)  any Loan Party or any member of its
     ERISA  Controlled  Group  is in  "default"  (as  defined  in
     Section 4219(c)(5) of ERISA) with respect to payments  to  a
     Multiemployer Plan, or

                         (H)    a   Multiemployer  Plan   is   in
     "reorganization" (as defined in Section 418 of the  Code  or
     Section  4241  of ERISA) or is "insolvent"  (as  defined  in
     Section 4245 of ERISA), or

                         (I)   the potential withdrawal liability
     (as  determined in accordance with Title IV of ERISA) of any
     Loan  Party  and  the members of its ERISA Controlled  Group
     with  respect to all Multiemployer Plans has in any year  in
     creased to an amount in excess of  $5,000,000, or

                         (J)   there is an action brought against
     any  Loan Party or any member of its ERISA Controlled  Group
     under  Section 502 of ERISA with respect to its  failure  to
     comply with Section 515 of ERISA,

          a  certificate  of an Authorized  Officer  of  the
          Borrower setting forth the details of each of  the
          events described in clauses (A) through (F)  above
          as applicable and the action which the Borrower or
          the  applicable  member of  its  ERISA  Controlled
          Group  has taken or proposes to take with  respect
          thereto,  together with a copy of  any  notice  or
          filing  from the PBGC or which may be required  by
          the  PBGC  or  other agency of the  United  States
          government with respect to each of the  events  de
          scribed in clauses (A) through (J) above, as appli
          cable.

                    (ii)   As  soon as possible and in any  event
     (i) within three Business Days after the receipt by any Loan
     Party or (ii) within ten Business Days after the receipt  by
     any  member of its ERISA Controlled Group of a demand letter
     from  the  PBGC notifying such Loan Party or such member  of
     its  ERISA  Controlled Group of its final  decision  finding
     liability and the date by which such liability must be paid,
     a  copy  of such letter, together with a certificate of  the
     president  or  Principal Financial Officer of  the  Borrower
     setting  forth  the  action which such Loan  Party  or  such
     member  of its ERISA Controlled Group has taken or  proposes
     to take with respect thereto.

               (k)   SEC  Filings.   Promptly  upon  transmission
thereof,  copies  of all regular and periodic  financial  informa
tion, proxy materials and other information and reports, if  any,
which  any Loan Party shall file with the Securities and Exchange
Commission or any governmental agencies substituted therefore  or
which any Loan Party shall send to its stockholders.

               (l)   Environmental.  Promptly and  in  any  event
within  two  Business  Days after the existence  of  any  of  the
following  conditions, a certificate of an Authorized Officer  of
the  Borrower  specifying in detail the nature of such  condition
and  the applicable Loan Party's proposed response thereto:   (i)
the  receipt  by any Loan Party of any communication (written  or
oral),  whether  from a governmental authority,  citizens  group,
employee  or otherwise, that alleges that such Loan Party  or  an
Environmental  Affiliate  is  not in compliance  with  applicable
Environmental  Laws,  or (ii) any Loan Party shall obtain  actual
knowledge  that there exists any Environmental Claim  pending  or
threatened against such Loan Party or Environmental Affiliate.

               (m)   Other Information.  From time to time,  such
other  information or documents (financial or otherwise)  as  the
Administrative Agent or any Bank may reasonably request.

          Section 5.2  Books, Records and Inspections.  Each Loan
Party  shall, and shall cause each of its Subsidiaries  to,  keep
proper  books  of  record and account in  which  full,  true  and
correct  entries in conformity with GAAP and all requirements  of
law shall be made of all dealings and transactions in relation to
its  business and activities.  Each Loan Party shall,  and  shall
cause each of its Subsidiaries to, permit officers and designated
representatives  of  any Bank to visit and  inspect  any  of  its
properties,  and to examine its books of record and account,  and
discuss the affairs, finances and accounts of each Loan Party  or
any  of its Subsidiaries with, and be advised as to the same  by,
its  and  their  officers and independent accountants,  all  upon
reasonable notice and at such reasonable times as such  Bank  may
desire.  Nothing contained in this Section 5.2 shall preclude any
Loan  Party  from  attending any meeting with such  Loan  Party's
independent accountants.

          Section 5.3  Maintenance of Insurance.  Each Loan Party
shall, and shall cause each of its Subsidiaries to, maintain with
financially sound and reputable insurance companies insurance  on
itself and its properties in at least such amounts and against at
least  such risks as are customarily insured against in the  same
general  area  by  companies engaged in the  same  or  a  similar
business,  which  insurance shall in any event  not  provide  for
materially  less  coverage than the insurance in  effect  on  the
Closing Date as set forth on Schedule 4.19.

          Section 5.4  Taxes.  (a)  Each Loan Party shall pay  or
cause to be paid, and shall cause each of its Subsidiaries to pay
or cause to be paid, when due, all taxes, charges and assessments
and  all  other lawful claims required to be paid  by  such  Loan
Party or such Subsidiaries, except as contested in good faith and
by  appropriate  proceedings diligently  conducted,  if  adequate
reserves have been established with respect thereto in accordance
with GAAP.

               (b)  No Loan Party shall, and shall not permit any
of  its  Subsidiaries to, file or consent to the  filing  of  any
consolidated tax return with any Person (other than the  Borrower
and its Subsidiaries and the Parent).

          Section  5.5   Corporate Franchises.  Each  Loan  Party
shall,  and shall cause each of its Subsidiaries to, do or  cause
to  be  done, all things necessary to preserve and keep  in  full
force  and  effect  its  existence and its  patents,  trademarks,
servicemarks,   tradenames,  copyrights,  franchises,   licenses,
permits,     certificates,    authorizations,     qualifications,
accreditation,  easements,  rights  of  way  and  other   rights,
consents  and approvals except where the failure to  so  preserve
any  of  the foregoing (other than existence) could not, individu
ally  or in the aggregate, reasonably be expected to result in  a
Material Adverse Effect.

          Section  5.6   Compliance with Law.   Each  Loan  Party
shall,  and shall cause each of its Subsidiaries to, comply  with
all  applicable laws, rules, statutes, regulations,  decrees  and
orders  of,  and  all  applicable restrictions  imposed  by,  all
governmental  bodies,  domestic or foreign,  in  respect  of  the
conduct  of  their business and the ownership of their  property,
including,  without  limitation, all Environmental  Laws,  except
such  non-compliance as could not, individually or in  the  aggre
gate,  reasonably  be expected to result in  a  Material  Adverse
Effect.

          Section  5.7   Performance of Obligations.   Each  Loan
Party shall, and shall cause each of its Subsidiaries to, perform
all  of  its obligations under the terms of each mortgage,  inden
ture, security agreement, debt instrument, lease, undertaking and
contract  by  which it or any of its properties is  bound  or  to
which it is a party if the failure to so perform, individually or
in  the  aggregate, could reasonably be expected to result  in  a
Material Adverse Effect.

          Section  5.8   Maintenance of  Properties.   Each  Loan
Party  shall, and shall cause each of its Subsidiaries to, ensure
that its properties reasonably necessary to its business are kept
in good repair, working order and condition, normal wear and tear
excepted,  except to the extent no Material Adverse Effect  could
result therefrom.

          Section  5.9   Further  Assurances.   (a)   The  Parent
shall,  and shall cause each Loan Party to, execute any  and  all
further   documents,   financing   statements,   agreements   and
instruments,  and  take  all  further  action  (including  filing
Uniform Commercial Code and other financing statements, mortgages
and deeds of trust), that may be required under applicable law or
which  the  Required  Banks,  the  Administrative  Agent  or  the
Collateral  Agent may reasonably request, in order to  effectuate
the  Transactions  and in order to grant, preserve,  protect  and
perfect  the validity and first priority of the Liens created  or
intended to be created by the Security Documents.

               (b)   In  addition, from time to time,  each  Loan
Party,  at  its  own cost and expense, will promptly  secure  the
Secured  Obligations by pledging or creating, or  causing  to  be
pledged  or  created, perfected Liens with respect to its  assets
and  properties (and the assets and properties of  its  Subsidiar
ies) of a nature similar to the Collateral as of the Closing Date
as   the  Administrative  Agent  or  the  Required  Banks   shall
reasonably request (it being understood that it is the intent  of
the  parties  that the Secured Obligations shall  be  secured  by
substantially  all  such  assets  of  the  Loan  Parties  granted
pursuant  to  the  Security Documents (including  those  acquired
subsequent  to  the Closing Date)).  Such Liens will  be  created
under  the  Security Documents or such other security agreements,
mortgages, deeds of trust and other instruments and documents  as
are  satisfactory to the Collateral Agent, and  each  Loan  Party
shall  deliver  or  cause to be delivered to  the  Administrative
Agent   all  such  instruments  and  documents  (including  legal
opinions, title insurance policies, surveys and lien searches) as
the   Collateral  Agent  shall  reasonably  request  to  evidence
compliance with this Section 5.9.  The Borrower agrees to provide
such evidence as the Collateral Agent or the Required Banks shall
reasonably  request as to the perfection and priority  status  of
each such Lien.

               (c)   The Parent shall cause each Material  Subsid
iary incorporated or organized after the Closing Date (other than
a  Receivables  Subsidiary) to promptly  execute  and  deliver  a
counterpart  of  the Subsidiary Guaranty, the Security  Agreement
and  any  other instruments or documents related thereto  as  the
Collateral Agent shall reasonably request.

          Section 5.10  Receivables Program Refinancings.  On  or
prior  to  45  days before the maturity date of  the  Receivables
Program,   the   Borrower  shall  furnish   evidence   reasonably
satisfactory to the Required Banks demonstrating either (x)  that
the  Borrower  has refinanced, extended, renewed or replaced  the
Receivables Program, or has written binding commitments therefor,
in  either  case in such amounts and pursuant to such  terms  and
provisions  as  are  sufficient  to  provide  the  Borrower  with
sufficient liquidity for the twelve months following such date or
(y) that on a Pro Forma Basis, it shall have sufficient liquidity
for  such  twelve month period without the renewal,  refinancing,
extension or replacement of the Receivables Program.

          Section  5.11   Maintenance of Corporate  Separateness.
The  Parent  will,  and will cause each of its  Subsidiaries  to,
satisfy customary corporate formalities, including the holding of
regular board of directors' and shareholders' meetings or  action
by   directors  or  shareholders  without  a  meeting   and   the
maintenance  of  corporate  offices  and  records.   Other   than
pursuant  to  any Parent Guaranty or Subsidiary Guaranty  entered
into  pursuant to this Agreement, neither the Parent nor  any  of
its  Subsidiaries  shall make any payment to a  creditor  of  any
other  Subsidiary in respect of any liability of any such  Subsid
iary,  and  no bank account of any Subsidiary shall be commingled
with any bank account of the Parent or any other Subsidiary.  Any
financial  statements distributed to any creditors of any  Subsid
iary   shall   clearly  establish  or  indicate   the   corporate
separateness  of such Subsidiary from the Parent  and  its  other
Subsidiaries.   Finally,  neither  the  Parent  nor  any  of  its
Subsidiaries shall take any action, or conduct its affairs  in  a
manner,  which is likely to result in the corporate existence  of
the  Parent or any of its Subsidiaries being ignored, or  in  the
assets  and  liabilities of the Parent or any of its Subsidiaries
being  substantively consolidated with those of  any  other  such
Person  in  a  bankruptcy,  reorganization  or  other  insolvency
proceeding.

          Section  5.12  Post Closing Opinions.  On or before  10
Business  Days  following  the Closing Date,  the  Administrative
Agent  shall  have received favorable legal opinions  from  local
counsel  satisfactory  to  the  Administrative  Agent  in  Texas,
Oklahoma,  Louisiana and Arkansas with respect to the  perfection
of security interests in the Collateral.

          Section 5.13  Corporate Concentration Account.   On  or
before  45  days  following the Closing Date, the Borrower  shall
transfer  the  cash in the Corporate Concentration Account  to  a
bank  account  in  either California or Illinois (the  "Successor
Corporate  Concentration Account") and shall grant the Banks  (as
defined  in the Existing Credit Agreement) a first priority  lien
in the Successor Corporate Concentration Account.

          Section   5.14    Cash  Sweep.   The  Borrower   hereby
covenants  on each Business Day to sweep cash held at stores  and
local   deposit  or  concentration  accounts  to  the   Corporate
Concentration  Account in accordance with customary  and  typical
past historical practices of the Borrower.

          Section  5.15  Cash Equivalents.  The Borrower and  its
Subsidiaries   shall   hold,  directly  or   beneficially,   Cash
Equivalents  only in a custodial account in which the  Banks  (as
defined  in  the  Existing  Credit Agreement)  have  a  perfected
security  interest held at the same institution as the  Corporate
Concentration Account (the "Custodial Account") and in  no  other
account.

          Section  5.16   Projections.   On  or  before  30  days
following  the  Closing Date, the Borrower shall deliver  to  the
Administrative Agent projections for each fiscal quarter for  the
fiscal  year  ending  closest to December  31,  2001  in  a  form
satisfactory to the Administrative Agent.

SECTION 6.  NEGATIVE COVENANTS.

          Each  of  the  Parent  and the Borrower  covenants  and
agrees  that  on  and  after the Closing  Date  until  the  Total
Revolving Loan Commitment has terminated, and the Obligations are
paid in full:

          Section 6.1  Financial Covenants.

               (a)   Leverage Ratios.  (i)  From February 3, 2001
and thereafter, the Parent shall not permit the Adjusted Leverage
Ratio, as of the last day of each four consecutive fiscal quarter
period then ended (taken as one accounting period), to exceed the
ratio of 4.5:1.

                    (ii)   From  February 3, 2001 and thereafter,
the  Parent  shall  not  permit the ratio of  Consolidated  Total
Senior  Debt to Consolidated Adjusted EBITDA, as of the last  day
of  each four consecutive fiscal quarter period then ended (taken
as one accounting period) to exceed the ratio of 4.0:1.

               (b)   Interest  Coverage Ratio.  The Parent  shall
not  permit  the  ratio  of Consolidated EBITDA  to  Consolidated
Interest Expense for each four consecutive fiscal quarter  period
ended  during  the  time periods set forth below  (taken  as  one
accounting period), to be less than the ratio set forth below:

              Four Fiscal
          Quarters Ending on            Ratio

          February 3, 2001              2.24:1

          From May 5, 2001              2.25:1
          and thereafter

               (c)   Fixed Charge Coverage Ratio.  From  February
3,  2001 and thereafter, the Parent shall not permit the ratio of
(x)  the  sum  of (i) Consolidated EBITDA plus (ii)  Consolidated
Rental  Expense to (y) Consolidated Fixed Charges for  each  four
consecutive  fiscal  quarter  period  (taken  as  one  accounting
period), ending on or after the Closing Date to be less than  the
ratio of 1.25:1.

               (d)   Capital  Expenditures.  The Parent  and  the
Borrower shall not make or incur (or commit to make or incur) and
shall  not  permit any of its Subsidiaries to make or  incur  (or
commit to make or incur) any Capital Expenditures, except Capital
Expenditures  of the Parent and its Subsidiaries  in  any  fiscal
year  of  the  Borrower set forth below not  in  excess,  in  the
aggregate  of the amount (the "Maximum Amount") set  forth  below
opposite such fiscal year:

          Fiscal Year Ending
          Closest to December 31        Maximum Amount

          2000                          $15,000,000

          2001                          $20,000,000 plus 2/3 of the
                                        Retained Equity Proceeds
                                        not to exceed $76,000,000

          2002                          $20,000,000 plus 2/3 of the
                                        Retained Equity Proceeds
                                        not to exceed $84,000,000

provided  that (a) up to $15,000,000 of any Capital  Expenditures
permitted to be incurred during any fiscal year and not  made  in
such fiscal year may be carried over and expended during the next
succeeding fiscal year (it being understood and agreed  that  any
Capital Expenditures made during such next succeeding fiscal year
shall  count, first, against the amount permitted to  be  carried
over to such next succeeding fiscal year pursuant to this proviso
and, second, against any amounts permitted to be made during such
next succeeding fiscal year as set forth in the table above)  and
(b)  the  amount of Capital Expenditures permitted to be incurred
during any fiscal year may be increased to the extent of the then
available Retained Equity Proceeds and Retained Offering Proceeds
and  the  Borrower's  Share of Excess Cash Flow.   Any  Permitted
Acquisition that would otherwise constitute a Capital Expenditure
in  accordance with GAAP shall not be included in the computation
of  the  amount  of  Capital Expenditures  permitted  under  this
Section  6.1(d).  Upon the occurrence of a Permitted  Acquisition
(the  Banks  hereby agree that the Maximum Amount for the  fiscal
year  in  which  such Permitted Acquisition occurs (the  "Subject
Year")  and each fiscal year thereafter will increase by  $20,000
per  store (net of any stores scheduled to be closed as a  result
of  such  Permitted Acquisition) being acquired pursuant to  such
Permitted Acquisition, with the amount of such increase  for  the
Subject Year to be proportionately decreased by multiplying  such
amount  by  a  fraction where the numerator equals the  remaining
number  of  full  months remaining in the Subject  Year  and  the
denominator is twelve.

               (e)   Minimum  Consolidated  EBITDA.   The  Parent
shall  not  permit  the Consolidated EBITDA as  determined  on  a
cumulative basis for the periods beginning on January  30,  2000,
and  ending  on the last day of each fiscal quarter ending  on  a
date  set  forth  below  (in each case taken  as  one  accounting
period), to be less than the amount set forth opposite such date:

                         Minimum Consolidated
          Date                                EBITDA

          First Quarter                     $8,000,000
          Second Quarter                   $20,000,000
          Third Quarter                    $36,000,000

          Section  6.2  Indebtedness.  The Parent shall not,  and
shall  not  permit any of its Subsidiaries to, create, incur,  as
sume,  suffer to exist or otherwise become or remain directly  or
indirectly liable with respect to, any Indebtedness, other than:

               (a)   Indebtedness hereunder and under  the  other
Loan  Documents and any Indebtedness, if any, in relation to  the
Receivables Program;

               (b)   Indebtedness outstanding on the Closing Date
and  set  forth on Schedule 6.2 hereto and (without  duplication)
Indebtedness  (whether  or not outstanding)  under  the  Existing
Credit  Agreement  (including,  without  limitation  and  without
duplication,  with respect to the Existing Credit Agreement,  the
Senior  Notes  and the Senior Subordinated Notes,  including  the
guarantees  thereof  by  the Parent, in the  aggregate  principal
amount not in excess of $500,000,000);

               (c)   Indebtedness of the Borrower or any  of  its
Subsidiaries permitted under Section 6.6;

               (d)   Indebtedness of the Borrower or any  of  its
Subsidiaries  with respect to Capital Leases and  other  purchase
money  Indebtedness,  in each case incurred  to  finance  Capital
Expenditures  permitted under Section 6.1(d), not  in  excess  of
$6,000,000 in the aggregate at any one time outstanding; provided
that any such Indebtedness shall not exceed the purchase price or
the fair market value of the asset so financed;

               (e)   Indebtedness owed by (x) Subsidiaries of the
Borrower  to the Borrower or (y) by any Loan Party to  any  other
Loan Party;

               (f)   Unsecured letters of credit in an  aggregate
stated  amount  equal  to the L/C Sublimit  (as  defined  in  the
Existing   Credit   Agreement)  minus  the  Letters   of   Credit
Outstanding (as defined in the Existing Credit Agreement);

               (g)  Permitted Acquired Indebtedness;

               (h)   Any  other  unsecured  Indebtedness  of  the
Parent and its Subsidiaries in an aggregate outstanding principal
amount not to exceed at any time $1,000,000;

               (i)   Indebtedness of the Borrower resulting  from
the refinancing of Indebtedness permitted by Sections (b) through
(i)  above; provided, however, that (i) the principal  amount  of
any  such refinancing Indebtedness (as determined as of the  date
of  the incurrence of such refinancing Indebtedness in accordance
with  GAAP) does not exceed the principal or face amount  of  the
Indebtedness  refinanced thereby on such date; (ii) the  Weighted
Average  Life to Maturity of such Indebtedness is not  decreased;
(iii)  the  covenants, defaults and similar provisions applicable
to  such  refinancing  Indebtedness or obligations  are  no  more
restrictive  in any material respect than the Indebtedness  being
refinanced and do not conflict in any material respect  with  the
provisions   of   this  Agreement  and  (iv)   such   refinancing
Indebtedness  is  otherwise upon terms  and  conditions  no  more
onerous or restrictive in any material respect (as determined  by
the  Required Banks) on the Borrower than the Indebtedness  being
refinanced; and

               (j)  Indebtedness consisting of trade payables  on
terms  of  more than 90 days incurred in the ordinary  course  of
business  to the extent that such Indebtedness is being contested
in  good faith and by proper proceedings and appropriate reserves
are being maintained with respect thereto; provided, however, the
aggregate amount of such Indebtedness outstanding at any one time
shall not exceed $2.5 million.

          Section  6.3  Liens.  The Parent shall not,  and  shall
not  permit any of its Subsidiaries to, create, incur, assume  or
suffer  to exist, directly or indirectly, any Lien on any of  its
property now owned or hereafter acquired, other than:

               (a)   Liens existing on the Closing Date  and  set
forth on Schedule 6.3 hereto;

               (b)   Liens  created  or contemplated  by  the  Re
ceivables  Program Documents on the Receivables of  the  Borrower
and  its  Subsidiaries transferred to the Receivables  Subsidiary
pursuant thereto;

               (c)   inchoate  Liens  for taxes,  assessments  or
governmental charges not yet due or which are being contested  in
good  faith  by appropriate proceedings diligently conducted  and
with  respect to which adequate reserves are being maintained  in
accordance with GAAP;

               (d)   Statutory Liens of landlords  and  Liens  of
carriers,  warehousemen, mechanics, materialmen and  other  Liens
imposed  by law (other than any Lien imposed by ERISA or pursuant
to  any  Environmental Law) or created in the ordinary course  of
business for amounts not yet due or which are being contested  in
good  faith  by appropriate proceedings diligently conducted  and
with  respect to which adequate bonds have been posted  or  which
are solely informational in nature and do not, and do not purport
to, create a security interest;

               (e)   Liens (other than any Lien imposed by  ERISA
or  pursuant to any Environmental Law) incurred or deposits  made
in  the  ordinary course of business in connection with  workers'
compensation,  unemployment insurance and other types  of  social
security,  or  to  secure the performance of  tenders,  statutory
obligations,  surety and appeal bonds, bids,  leases,  government
contracts,  performance  and  return-of-money  bonds  and   other
similar obligations (exclusive of obligations for the payment  of
borrowed money);

               (f)   Easements (including construction, operating
and  reciprocal easement agreements), rights-of-way,  zoning  and
similar  restrictions  and other similar  charges,  covenants  or
encumbrances  not interfering with the ordinary  conduct  of  the
business of the Borrower or any of its Subsidiaries and which  do
not  detract materially from the value of the property  to  which
they  attach or impair materially the use thereof by the Borrower
or  any  of  its Subsidiaries or materially adversely affect  the
Liens of the Collateral Agent or the Banks therein;

               (g)  Liens granted to the Collateral Agent for the
benefit  of  the  Secured  Creditors  pursuant  to  the  Security
Documents securing the Secured Obligations;

               (h)   Judgment Liens so long as the claims secured
thereby do not exceed $10,000,000 in the aggregate and are  being
contested in good faith pursuant to appropriate proceedings;

               (i)   Liens created pursuant to Capital Leases and
to secure other purchase-money Indebtedness permitted pursuant to
Section  6.2(d), provided that such Liens are only in respect  of
the   property  or  assets  subject  to,  and  secure  only,  the
respective Capital Lease or other purchase-money Indebtedness;

               (j)   Liens  in  addition to  those  listed  above
provided  that the obligations secured thereby shall  not  exceed
$50,000 for any such Lien or $1,000,000 in the aggregate for  all
such Liens; and

               (k)  Liens under the Existing Credit Agreement.

          Section 6.4  Restriction on Fundamental Changes.

               (a)   The  Parent shall not, and shall not  permit
any   of   its  Subsidiaries  to,  enter  into  any   merger   or
consolidation, or liquidate, wind-up or dissolve (or  suffer  any
liquidation or dissolution), discontinue its business or  convey,
lease, sell, transfer or otherwise dispose of, in one transaction
or  series  of transactions, all or any substantial part  of  its
business  or property, whether now or hereafter acquired,  except
(i)  as  otherwise  permitted under Section  6.5,  and  (ii)  any
wholly-owned Subsidiary of the Borrower may merge into or convey,
sell,  lease or transfer all or substantially all of  its  assets
to,  the  Borrower  or any other wholly-owned Subsidiary  of  the
Borrower.

               (b)  The Parent shall not and shall not permit any
of its Subsidiaries to, amend its certificate of incorporation or
by-laws  to the extent such amendment is adverse to the Banks  in
any respect.

          Section 6.5  Sale of Assets.  The Parent shall not, and
shall not permit any of its Subsidiaries to, convey, lease, sell,
transfer or otherwise dispose of (or agree to do so at any future
time) all or any part of its property or assets, except (i) sales
of  inventory in the ordinary course of business; (ii)  sales  in
the ordinary course of business of furniture, fixtures, leasehold
improvements and equipment which, consistent with past  practice,
is  uneconomic,  obsolete or no longer useful  in  its  business;
(iii) sales of Receivables pursuant to and in accordance with the
provisions  of the Receivables Program Documents; (iv)  sales  in
connection with store closings provided that such party  complies
with  the  Existing  Credit  Agreement  and  Section  2.11(a)(vi)
hereof; (v) sale of the Hawker 400 corporate aircraft for a  fair
value  provided  the  parties comply  with  the  Existing  Credit
Agreement and sales permitted under Section 6.13 hereof and  (vi)
sales  of  other  assets  of the Borrower  and  its  Subsidiaries
provided  that  (x)  at least 80% of the aggregate  consideration
therefor  shall  be in the form of cash or Cash Equivalents,  (y)
the  aggregate Net Cash Proceeds or net book value, whichever  is
greater, of all assets sold or otherwise disposed of pursuant  to
this clause (vi) shall not exceed 5% of Consolidated Net Tangible
Assets  during any fiscal year of the Borrower and  (z)  the  Net
Cash  Proceeds  of each such sale are applied in accordance  with
the  provisions  of  the  Existing Credit  Agreement  or  Section
2.11(a).

          Section 6.6  Contingent Obligations.  The Parent  shall
not,  and shall not permit any of its Subsidiaries to, create  or
become  or  be liable with respect to any Contingent  Obligation,
except:

               (a)   pursuant to the Parent Guaranty,  Subsidiary
Guaranty,  the  Security  Documents or  the  Receivables  Program
Documents; and

               (b)  Contingent Obligations which are in existence
on  the  Closing  Date and which are set forth on  Schedule  6.6,
including,  without limitation, the guarantees, if  any,  by  the
Borrower  of the obligations under the Existing Credit Agreement,
of the Senior Notes and of the Senior Subordinated Notes.

          Section  6.7   Dividends.  The Parent  shall  not,  and
shall  not  permit  any  of  its Subsidiaries  to  (x)  make  any
Restricted  Payment  or (y) declare or pay any  dividends  (other
than  dividends payable solely in common stock),  or  return  any
capital  to,  its  stockholders or authorize or  make  any  other
distribution,  payment or delivery of property  or  cash  to  its
stockholders as such, or redeem, retire, purchase or otherwise ac
quire,  directly or indirectly, any shares of any  class  of  its
capital  stock  now or hereafter outstanding (or any  options  or
warrants issued with respect to its capital stock), or set  aside
any  funds  for any of the foregoing purposes (all the  foregoing
"Dividends"), except that

               (a)   Dividends may be made to the Borrower or any
of its Subsidiaries by any of its wholly-owned Subsidiaries;

               (b)   so  long as there shall exist no Default  or
Event  of  Default (both before and after giving  effect  to  the
payment thereof) the Borrower may make Restricted Payments to the
Parent, so long as the proceeds thereof are promptly used by  the
Parent  to  pay  operating  and administrative  expenses  in  the
ordinary  course of business and other similar corporate overhead
costs   and  expenses;  provided  that  the  maximum  amount   of
Restricted  Payments  made pursuant to this  clause  (b)  in  any
fiscal  year  of  the Borrower shall not exceed $500,000  in  the
aggregate  and shall only be made if there exists no  Default  or
Event  of  Default (both before and after giving  effect  to  the
payment thereof);

               (c)   so  long as the Borrower is a member of  the
same  consolidated  group as the Parent for  federal  income  tax
purposes,  payments required by such Person pursuant to  the  Tax
Sharing  Agreement  as  in effect on the Closing  Date  shall  be
permitted; and

               (d)  the Parent may make, and the Borrower may pay
cash  Restricted Payments to the Parent to enable the  Parent  to
make,  payments  to repurchase the Parent's common  stock  and/or
options  to purchase the Parent's common stock held by directors,
executive  officers,  member of management or  employees  of  the
Parent  or  any  of  its Affiliates upon the  death,  disability,
retirement  or termination of such director, executive  officers,
member  of  management or employee, so long as (x) no Default  or
Event  of Default then exists or would exist after giving  effect
thereto and (y) the aggregate net amount of cash expended by  the
Borrower and the Parent pursuant to this clause (d) in any fiscal
year shall not exceed $2,000,000.

          Section  6.8   Advances, Investments  and  Loans.   The
Parent  shall  not, and shall not permit any of its  Subsidiaries
to,  lend money or credit or make advances to any Person,  or  di
rectly  or  indirectly purchase or acquire any stock, obligations
or  securities of, or any other interest in, or purchase  all  or
substantially all of the assets of, or make any capital  contribu
tion  to  any  Person  (each an "Investment"),  except  that  the
following shall be permitted:

               (a)   accounts receivable owned by the Parent  and
its  Subsidiaries,  if  created in the  ordinary  course  of  the
business  of  the  Parent  and its Subsidiaries  and  payable  or
dischargeable in accordance with customary trade terms;

               (b)  (i) intercompany loans and advances permitted
by  Section 6.2(e) and  (ii) loans by the Borrower to the  Parent
to  finance  the  cash  portion  of Permitted  Acquisitions,  the
proceeds  of which shall be used within one Business Day directly
or   indirectly  by  the  Parent  to  consummate  such  Permitted
Acquisition,  which loans shall be evidenced by  an  Intercompany
Note pledged by the Borrower to the Collateral Agent;

               (c)   loans and advances by the Borrower  and  its
Subsidiaries  to their employees in the ordinary  course  of  its
business  not exceeding $5,000,000 in the aggregate  at  any  one
time outstanding;

               (d)   Investments  by  the  Borrower  in  the   Re
ceivables   Subsidiary  to  the  extent   contemplated   by   the
Receivables Program;

               (e)   evidences of Indebtedness issued by the  pur
chaser  of  assets and received by the Borrower  or  any  of  its
Subsidiaries  in  connection  with  asset  sales  to  the  extent
permitted by Section 6.5(vi);

               (f)   extensions of credit to the customers of the
Parent or its Subsidiaries in the ordinary course of the business
of  the  Parent  or such Subsidiary pursuant to any  credit  card
programs  to enable such customer to purchase inventory from  the
Parent or any of its Subsidiaries;

               (g)   Investments  by the Parent or  the  Borrower
constituting  a Permitted Acquisition and related Investments  by
the  Parent  or the Borrower in one or more of their Subsidiaries
in  connection  with,  and substantially contemporaneously  with,
such  Permitted  Acquisition; provided that the  Parent  and  the
Borrower shall have complied with all of the terms and conditions
set forth in the definition of Permitted Acquisition;

               (h)  other Investments by the Parent, the Borrower
or  any Subsidiary not to exceed $5,000,000 in any fiscal year of
the Borrower;

               (i)  Investments in customers of the Parent or its
Subsidiaries  received  in the ordinary  course  of  business  in
exchange  for receivables owed by such customer to the Parent  or
such Subsidiary as a result of the workout of such receivable  or
the bankruptcy of such customer; and

               (j)  the Borrower and its Subsidiaries may acquire
and hold Cash Equivalents held in the Custodial Account.

          Section 6.9  Transactions with Affiliates.  The  Parent
shall not, and shall not permit any of its Subsidiaries to, enter
into  any transaction or series of related transactions,  whether
or  not  in  the ordinary course of business, with any  Affiliate
(other than a Loan Party), other than (i) on terms and conditions
substantially  as favorable to the Parent or such  Subsidiary  as
would  be  obtainable  at  the time in a comparable  arm's-length
transaction with a Person other than an Affiliate, (ii)  pursuant
to  the  Receivables Program, (iii) Restricted Payments permitted
to  be paid to the extent provided in Section 6.7, (iv) leases in
existence on the date hereof entered into with PR Investments and
described  on  Schedule 6.9 hereto, (v) the consulting  agreement
dated  as of February 1, 1997, by and among the Parent and Bernie
Fuchs  and  described  on  Schedule 6.9  hereto  and  (vi)  those
Investments permitted pursuant to Section 6.8.

          Section  6.10   Limitation on  Voluntary  Payments  and
Modifications  of Certain Documents.  The Parent shall  not,  and
shall  not  permit any of its Subsidiaries to, (a) make  any  vol
untary  or  optional payment or prepayment on  or  redemption  or
acquisition for value of (including, without limitation,  by  way
of  depositing  with the trustee with respect  thereto  money  or
securities before due for the purpose of paying when due)  or  ex
change  of  any  Indebtedness other  than  (i)  the  Indebtedness
hereunder and under the other Loan Documents, (ii) so long as  no
Default  or Event of Default has occurred and is continuing,  any
Indebtedness outstanding under the Existing Credit Agreement  and
the Loan Documents (as defined in the Existing Credit Agreement),
(b) amend, modify, supplement, or waive, or permit the amendment,
modification, supplementation, or waiver of, any provision of any
Transaction   Document  (as  defined  in  the   Existing   Credit
Agreement) provided, however, that any such Transaction  Document
may  be amended, modified, supplemented or waived in a manner not
materially  adverse to the Administrative Agent or the  Banks  or
(c) resign as Servicer under the Receivables Program.

          Section  6.11   Changes in Business.  The Parent  shall
not,  and shall not permit any of its Subsidiaries to, enter into
any  business  which  is  substantially different  from,  or  not
reasonably  incidental to, that conducted by the Parent  or  such
Subsidiary, as the case may be, on the Closing Date after  giving
effect  to  the Transactions; provided that the Parent shall  not
incur,  and  shall  not  become  liable  with  respect  to,   any
Indebtedness  other  than  as  expressly  permitted  pursuant  to
Section 6.2.

          Section  6.12  Certain Restrictions.  The Parent  shall
not,  and shall not permit any of its Subsidiaries or any  Person
controlling the Borrower to, enter into any agreement (other than
the   Loan   Documents  and  agreements  evidencing  Indebtedness
outstanding on the Closing Date, in each case as in effect on the
Closing Date) which restricts the ability of the Parent or any of
its  Subsidiaries (other than the Receivables Subsidiary) to  (a)
enter into amendments, modifications or waivers of the Loan  Docu
ments,  (b)  sell, transfer or otherwise dispose  of  its  assets
(other than the Receivables), (c) create, incur, assume or suffer
to  exist  any  Lien  upon any of its property  (other  than  the
Receivables),  (d)  create, incur, assume,  suffer  to  exist  or
otherwise become liable with respect to any Indebtedness, or  (e)
pay  any  Dividend,  provided that Capital Leases  or  agreements
governing  purchase money Indebtedness which contain restrictions
of  the  types referred to in clauses (b) or (c) with respect  to
the  property  covered  thereby shall be permitted.   The  Parent
shall  not, and shall not permit any of its Subsidiaries  or  any
Person  controlling the Borrower to, enter into any amendment  of
the  Receivables Program Documents as in effect  on  the  Closing
Date  or  any refinancing of the Receivables Program  that  would
materially  and  adversely affect any  Loan  Party's  ability  to
perform  its Obligations under this Agreement or any  other  Loan
Document.

          Section  6.13  Sales and Leasebacks.  The Parent  shall
not, and shall not permit any of its Subsidiaries to, become  lia
ble,  directly or indirectly, with respect to any lease,  whether
an  operating lease or a Capital Lease, of any property  (whether
real  or  personal  or  mixed) whether  now  owned  or  hereafter
acquired,  (i) which the Parent or such Subsidiary  has  sold  or
transferred  or  is to sell or transfer to any other  Person,  or
(ii)  which the Parent or such Subsidiary intends to use for  sub
stantially the same purposes as any other property which has been
or  is  to  be  sold  or  transferred by  the  Borrower  or  such
Subsidiary  to  any other Person in connection with  such  Lease,
other  than such transactions the Net Cash Proceeds of  which  in
the  aggregate  do  not  exceed $10,000,000  plus  the  Net  Cash
Proceeds   from   any  sale,  transfer  or  assignment   of   the
Jacksonville    Distribution    Center;    provided,     however,
notwithstanding anything contained in this Agreement, the  Parent
and  any  of  its Subsidiaries may sell, transfer or  assign  the
Jacksonville  Distribution  Center provided  that  the  Net  Cash
Proceeds  resulting therefrom are used to prepay the loans  under
the  Existing  Credit Agreement in accordance with  that  certain
letter dated February 3, 2000.

          Section  6.14  Plans.  The Parent shall not, nor  shall
it  permit any member of its ERISA Controlled Group to, take  any
action  which would increase the aggregate present value  of  the
Unfunded  Benefit Liabilities under all Plans  to  an  amount  in
excess of $15,000,000.

          Section  6.15  Limitation on Dispositions of Subsidiary
Stock.   The  Parent shall not, nor shall it permit  any  of  its
Subsidiaries to, directly or indirectly sell, assign,  pledge  or
otherwise encumber or dispose of, or issue or permit any  of  its
Subsidiaries to issue to any other Person, any shares of  capital
stock  or  other  equity securities of (or  warrants,  rights  or
options to acquire shares or other equity securities of)  any  of
their Subsidiaries except (i) to the extent permitted by the Loan
Documents,  (ii)  to  qualify directors  if  and  to  the  extent
required by applicable law, (iii) to the Borrower or any  wholly-
owned  Subsidiary of the Borrower and (iv) sales of equity securi
ties pursuant to the Receivables Program as in effect on the date
hereof.

          Section 6.16  Fiscal Year; Fiscal Quarter.  The  Parent
shall  not,  and  shall  not permit any of its  Subsidiaries  to,
change its fiscal year or any of its fiscal quarters, except that
any  Subsidiary acquired after the date hereof shall be permitted
to  change its fiscal quarters and fiscal year to conform to  the
fiscal quarters and fiscal year of the Parent.

          Section 6.17  Receivables Program.  The Borrower  shall
not  take  any  action  to  diminish  the  equity  value  of  the
Receivables  Subsidiary  other  than  to  pay  dividends  in  the
ordinary  course  of business consistent with past  practice  and
will  continue  to  operate  the Receivables  Subsidiary  in  the
ordinary course of business consistent with past practice.

          Section  6.18   Custodial Account.  The Borrower  shall
not  grant  any party control over, or allow any party  to  enter
into  a  control agreement with respect to, the Custodial Account
except  for the Administrative Agent (as defined in the  Existing
Credit Agreement) for the benefit of the Banks (as defined in the
Existing Credit Agreement).

SECTION 7.  EVENTS OF DEFAULT.

          Section  7.1  Events of Default.  Each of the following
events, acts, occurrences or conditions shall constitute an Event
of  Default  under  this Agreement, regardless  of  whether  such
event,  act,  occurrence or condition is voluntary or involuntary
or  results  from the operation of law or pursuant  to  or  as  a
result  of  compliance by any Person with any  judgment,  decree,
order,  rule  or  regulation of any court  or  administrative  or
governmental body:

               (a)  Failure to Make Payments.  The Borrower shall
(i)  default  in  the payment when due of any  principal  of  the
Revolving Loans or (ii) default, and such default shall  continue
unremedied  for three or more Business Days, in the payment  when
due of any interest on the Revolving Loans or in the payment when
due of any Fees or any other amounts owing hereunder.

               (b)   Breach  of Representation or Warranty.   Any
representation or warranty made by any Loan Party  herein  or  in
any  other Loan Document or in any certificate or statement deliv
ered  pursuant  hereto  or thereto shall prove  to  be  false  or
misleading  in any material respect on the date as of which  made
or deemed made.

               (c)  Breach of Covenants.

                    (i)  Any Loan Party shall fail to perform  or
     observe any agreement, covenant or obligation arising  under
     Sections 5.1(i), 5.5 or 6.

                    (ii)  Any Loan Party shall fail to perform or
     observe any agreement, covenant or obligation arising  under
     this  Agreement (except those described in subsections  (a),
     (b)  and (c)(i) above), and such failure shall continue  for
     fifteen days.

                    (iii)   Any Loan Party shall fail to  perform
     or  observe  any  agreement, covenant or obligation  arising
     under  any  provision of the Loan Documents other than  this
     Agreement, which failure shall continue after the end of the
     applicable grace period, if any, provided therein.

               (d)   Default  Under Other Agreements.   Any  Loan
Party shall default in the payment when due (whether by scheduled
maturity, required prepayment, acceleration, demand or otherwise)
of  any  amount owing in respect of any Indebtedness (other  than
the  Obligations  or  Indebtedness  pursuant  to  Section  6.2(j)
hereof) in the aggregate principal amount of $2,000,000 or  more;
or  any Loan Party shall default in the performance or observance
of  any obligation or condition with respect to any such Indebted
ness  or any other event shall occur or condition exist,  if  the
effect  of such default, event or condition is to accelerate  the
maturity of any such Indebtedness or to permit (without regard to
any  required  notice  or lapse of time) the  holder  or  holders
thereof,  or any trustee or agent for such holders, to accelerate
the  maturity  of any such Indebtedness, or any such Indebtedness
shall  become or be declared to be due and payable prior  to  its
stated  maturity other than as a result of a regularly  scheduled
payment.

               (e)   Receivables Program.  Any default shall have
occurred  and be continuing under any Receivable Program Document
and  as a result of such default, the Receivables Program or  any
successor program may be terminated or be suspended prior to  the
Final Maturity Date.

               (f)   Bankruptcy, etc.  (i) Any Loan Party or  any
of  its  Subsidiaries shall commence a voluntary case  concerning
itself under the Bankruptcy Code; or (ii) an involuntary case  is
commenced  against any Loan Party or any of its Subsidiaries  and
the  petition is not controverted within 10 days, or is  not  dis
missed within 60 days, after commencement of the case; or (iii) a
custodian  (as defined in the Bankruptcy Code) is appointed  for,
or  takes charge of, all or substantially all of the property  of
any  Loan  Party or any of its Subsidiaries or any Loan Party  or
any of its Subsidiaries commences any other proceedings under any
reorganization,  arrangement,  adjustment  of  debt,  relief   of
debtors, dissolution, insolvency or liquidation or similar law of
any  jurisdiction whether now or hereafter in effect relating  to
any  Loan  Party or any of its Subsidiaries or there is commenced
against  any  Loan  Party  or any of its  Subsidiaries  any  such
proceeding which remains undismissed for a period of 60 days;  or
(iv)  any order of relief or other order approving any such  case
or  proceeding is entered; or (v) any Loan Party or  any  of  its
Subsidiaries is adjudicated insolvent or bankrupt;  or  (vi)  any
Loan Party or any of its Subsidiaries suffers any appointment  of
any  custodian or the like for it or any substantial part of  its
property which continues undischarged or unstayed for a period of
60 days; or (vii) any Loan Party or any of its Subsidiaries makes
a  general assignment for the benefit of creditors; or (viii) any
Loan Party or any of its Subsidiaries shall fail to pay, or shall
state  that it is unable to pay, or shall be unable to  pay,  its
debts generally as they become due; or (ix) any Loan Party or any
of its Subsidiaries shall call a meeting of its creditors with  a
view  to  arranging a composition or adjustment of its debts;  or
(x) any Loan Party or any of its Subsidiaries shall by any act or
failure to act consent to, approve of or acquiesce in any of  the
foregoing;  or  (xi) any corporate action is taken  by  any  Loan
Party or any of its Subsidiaries for the purpose of effecting any
of the foregoing.

               (g)   ERISA.   (i)   Any Termination  Event  shall
occur,  or  (ii)  any  Plan shall incur an  "accumulated  funding
deficiency" (as defined in Section 412 of the Code or Section 302
of  ERISA), whether or not waived or (iii) any Loan Party or  any
member  of its ERISA Controlled Group shall fail to pay when  due
any  amount which it shall have become liable to pay to the PBGC,
any  Plan or a trust established under Title IV of ERISA, or (iv)
a condition shall exist by reason of which the PBGC would be enti
tled to obtain a decree adjudicating that, for financial reasons,
an  ERISA  Plan must be terminated or a trustee must be appointed
to  administer any ERISA Plan, or (v) any Loan Party or a  member
of  its  ERISA  Controlled Group is in "default" (as  defined  in
Section  4219(c)(5)  of  ERISA) with respect  to  payments  to  a
Multiemployer  Plan, or (vi) any other event or  condition  shall
occur  or exist with respect to any Plan which could subject  any
Loan  Party  or any member of its ERISA Controlled Group  to  any
tax, penalty or other liability, which in any such case described
in clauses (i) through (vi) above could reasonably be expected to
result in a Material Adverse Effect.

               (h)   Loan  Documents.  Any of the Loan  Documents
(i) shall for any reason cease to be in full force and effect  or
the  Borrower or any other Loan Party which is a party to any  of
the  Loan Documents shall so assert, or (ii) shall cease to  give
the  Administrative Agent or the Banks, as the case may  be,  the
Liens,  rights,  powers and privileges purported  to  be  created
thereby including, without limitation, a perfected first priority
security interest in, and Lien on, all of the Collateral in accor
dance with the terms thereof.

               (i)  Parent Guaranty and Subsidiary Guaranty.  The
Parent Guaranty, the Subsidiary Guaranty or any provision thereof
shall  cease to be in full force and effect, or any Guarantor  or
any Person acting by or on behalf of any Guarantor shall deny  or
disaffirm  all  or  any  portion of such Guarantor's  obligations
hereunder or under such Parent Guaranty or Subsidiary Guaranty.

               (j)  Change of Control.  A Change of Control shall
have occurred.

               (k)   Judgments.  One or more judgments or decrees
in  an aggregate amount of $2,000,000 or more shall be entered by
a  court  or courts of competent jurisdiction against the  Parent
and/or its Subsidiaries (other than any judgment as to which, and
only  to  the  extent, a reputable insurance company has  acknowl
edged  coverage  of  such  claim in writing)  and  (i)  any  such
judgments  or  decrees  shall not be  stayed,  discharged,  paid,
bonded  or vacated within 30 days or (ii) enforcement proceedings
shall  be  commenced  by any creditor on any  such  judgments  or
decrees.

               (l)   Environmental Matters.  (i)  Any  Environmen
tal  Claim shall have been asserted against the Parent or any  of
its Subsidiaries or any Environmental Affiliate thereof which, if
determined  adversely, could be reasonably  expected  to  have  a
Material Adverse Effect, or (ii) the Parent or any of its  Subsid
iaries  or  Environmental Affiliates shall have failed to  obtain
any Environmental Approval necessary for the management, use, con
trol, ownership, or operation of its business, property or assets
or  any such Environmental Approval shall be revoked, terminated,
or  otherwise cease to be in full force and effect, in each case,
if  the  existence of such condition could be reasonably expected
to have a Material Adverse Effect.

               (m)   Inventory Value.  The value of the Inventory
(at  cost)  as  set forth on the Borrower's financial  statements
furnished pursuant hereto and in accordance with GAAP,  shall  at
any time be less than $100,000,000.

          Section  7.2  Rights and Remedies.  Upon the occurrence
of  any Event of Default described in Section 7.1(f) with respect
to any Loan Party, the Commitments shall automatically and immedi
ately  terminate and the unpaid principal amount of and  any  and
all  accrued  interest on the Revolving Loans  and  any  and  all
accrued  Fees  and  other Obligations shall automatically  become
immediately  due and payable, with all additional  interest  from
time to time accrued thereon and without presentation, demand, or
protest  or  other  requirements of any kind (including,  without
limitation,  valuation and appraisement, diligence,  presentment,
notice  of  intent to demand or accelerate and  notice  of  accel
eration),  all of which are hereby expressly waived by  Borrower,
and  the  obligation  of  each Bank to make  any  Revolving  Loan
hereunder shall thereupon terminate; and upon the occurrence  and
during  the continuance of any other Event of Default, the  Admin
istrative Agent shall at the request, or may with the consent, of
the  Required Banks, by written notice to Borrower,  (i)  declare
that  the  Commitments are terminated, whereupon the  Commitments
and  the  obligation  of  each Bank to make  any  Revolving  Loan
hereunder  shall  immediately terminate,  and  (ii)  declare  the
unpaid  principal  amount of and any and all accrued  and  unpaid
interest on the Revolving Loans and any and all accrued Fees  and
other  Obligations to be, and the same shall thereupon be, immedi
ately  due and payable with all additional interest from time  to
time accrued thereon and without presentation, demand, or protest
or other requirements of any kind (including, without limitation,
valuation  and  appraisement, diligence, presentment,  notice  of
intent  to demand or accelerate and notice of acceleration),  all
of which are hereby expressly waived by the Borrower.

          Upon  an  Event of Default, each of the Parent and  its
Subsidiaries shall permit any designated representative or  repre
sentatives of the Administrative Agent, including, but not  limit
ed  to,  environmental consultants or other  professionals,  upon
reasonable notice to the Borrower or its Subsidiaries,  to  enter
any  property owned or operated by the Borrower or its  Subsidiar
ies  for the purpose of conducting an environmental investigation
of  said property.  Said investigations may include, but  not  be
limited  to, testing the integrity of underground storage  tanks;
taking soil and groundwater borings and samples; testing for  the
presence  of  radon;  and  collecting samples  to  test  for  the
presence   of   asbestos.   The  Borrower  shall  reimburse   the
Administrative  Agent  for  all  reasonable  costs  and  expenses
incurred    in   connection  with  any  investigation   conducted
hereunder.

SECTION 8.  THE ADMINISTRATIVE AGENT AND COLLATERAL AGENT.

          Section  8.1   Appointment.  Each Bank hereby  irrevoca
bly,  subject  to  Section  8.9 hereof, designates  and  appoints
Credit Suisse First Boston as the Administrative Agent and Credit
Suisse First Boston as Collateral Agent (the Administrative Agent
and  the  Collateral Agent for the purposes of this  Section  are
collectively referred to as the "Agent") of such Bank under  this
Agreement  and  each  other Loan Document,  and  each  such  Bank
irrevocably  authorizes Credit Suisse First Boston as  the  Agent
for  such Bank, to take such action on its behalf under the provi
sions  of  this  Agreement and each other Loan  Document  and  to
exercise  such  powers and perform such duties as  are  expressly
delegated  to the Agent by the terms of this Agreement  and  each
other  Loan Document, together with such other powers as are  rea
sonably incidental thereto.  Notwithstanding any provision to the
contrary  elsewhere in this Agreement, the Agent shall  not  have
any  duties or responsibilities, except those expressly set forth
herein,  or  any  fiduciary relationship with any  Bank,  and  no
implied  covenants, functions, responsibilities,  duties,  obliga
tions or liabilities on the part of the Agent shall be read  into
this  Agreement or otherwise exist against the Agent.  The  provi
sions  of this Section 8 are solely for the benefit of the  Agent
and  the Banks and no Loan Party shall have any rights as a third
party  beneficiary  or  otherwise under  any  of  the  provisions
hereof.   In  performing its functions and duties  hereunder  and
under the other Loan Documents, the Agent shall act solely as the
agent  of  the Banks and does not assume nor shall be  deemed  to
have  assumed any obligation or relationship of trust  or  agency
with  or for any Loan Party or any of their respective successors
and permitted assigns.

          Section  8.2   Delegation of  Duties.   The  Agent  may
execute any of its duties under this Agreement or the other  Loan
Documents by or through agents or attorneys-in-fact and shall  be
entitled  to advice of counsel concerning all matters  pertaining
to  such  duties.   The  Agent shall not be responsible  for  the
negligence  or  misconduct  of  any agents  or  attorneys-in-fact
selected by it with reasonable care.

          Section  8.3  Exculpatory Provisions.  The Agent  shall
not be (i) liable for any action lawfully taken or omitted to  be
taken  by it or any Person described in Section 8.2 under  or  in
connection with this Agreement or any other Loan Document (except
for  its  own  gross negligence or willful misconduct),  or  (ii)
responsible  in any manner to any of the Banks for any  recitals,
statements, representations or warranties made by any Loan  Party
contained in this Agreement or any other Loan Document or in  any
certificate, report, statement or other document referred  to  or
provided  for in, or received under or in connection  with,  this
Agreement  or any other Loan Document or for the value, validity,
effectiveness, genuineness, enforceability or sufficiency of this
Agreement, or any other Loan Document or for any failure  of  any
Loan  Party to perform their obligations hereunder or thereunder.
The  Agent shall not be under any obligation to any Bank to ascer
tain or to inquire as to the observance or performance of any  of
the agreements contained in, or conditions of, this Agreement  or
any  other Loan Document, or to inspect the properties, books  or
records  of any Loan Party.  This Section is intended  solely  to
govern  the relationship between the Agent, on the one hand,  and
the Banks, on the other.

          Section  8.4   Reliance by Agent.  The Agent  shall  be
entitled  to rely, and shall be fully protected in relying,  upon
any   Revolving  Note,  writing,  resolution,  notice,   consent,
certificate,  affidavit, letter, cablegram,  telegram,  telecopy,
telex or teletype message, statement, order or other document  or
conversation believed by it to be genuine and correct and to have
been  signed,  sent or made by the proper Person or  Persons  and
upon  advice and statements of legal counsel (including,  without
limitation,  counsel to any Loan Party), independent  accountants
and  other experts selected by the Agent.  The Agent may deem and
treat  the  payee of any Revolving Note as the owner thereof  for
all  purposes  unless the Agent shall have received  an  executed
Transfer Supplement in respect thereof.  The Agent shall be fully
justified  in failing or refusing to take any action  under  this
Agreement  or  any  other Loan Document  unless  it  shall  first
receive  such advice or concurrence of the Required Banks  as  it
deems  appropriate  or  it  shall first  be  indemnified  to  its
satisfaction  by  the  Banks against any and  all  liability  and
expense  which  may  be incurred by it by  reason  of  taking  or
continuing to take any such action.  The Agent shall in all cases
be fully protected in acting, or in refraining from acting, under
this Agreement and the other Loan Documents in accordance with  a
request  of  the Required Banks, and such request and any  action
taken  or  failure to act pursuant thereto shall be binding  upon
all the Banks and all future holders of the Revolving Notes.

          Section 8.5  Notice of Default.  The Agent shall not be
deemed  to  have  knowledge or notice of the  occurrence  of  any
Default or Event of Default unless the Agent has received  notice
from  a Bank or the Borrower referring to this Agreement, describ
ing such Default or Event of Default and stating that such notice
is  a  "notice of default".  In the event that the Agent receives
such  a  notice, the Agent shall promptly give notice thereof  to
the Banks.  The Agent shall take such action with respect to such
Default  or Event of Default as shall be directed by the Required
Banks;  provided  that  unless and until  the  Agent  shall  have
received  such directions, the Agent may (but shall not  be  obli
gated  to) take such action, or refrain from taking such  action,
with  respect  to such Default or Event of Default as  the  Agent
shall deem advisable and in the best interests of the Banks.

          Section  8.6   Non-Reliance on Agent and  Other  Banks.
Each Bank expressly acknowledges that neither the Agent, nor  any
of  its officers, directors, employees, agents, attorneys-in-fact
or  affiliates has made any representations or warranties  to  it
and  that no act by the Agent hereafter taken, including, without
limitation, any review of the affairs of any Loan Party, shall be
deemed to constitute any representation or warranty by the Agent.
Each  Bank  represents and warrants to the  Agent  that  it  has,
independently and without reliance upon the Agent  or  any  other
Bank and based on such documents and information as it has deemed
appropriate, made its own appraisal of and investigation into the
business,  operations, property, prospects, financial  and  other
conditions and creditworthiness of the Loan Parties and made  its
own  decision  to  make its Loans hereunder and enter  into  this
Agreement.  Each Bank also represents that it will, independently
and  without reliance upon the Agent or any other Bank, and based
on such documents and information as it shall deem appropriate at
the  time,  continue to make its own credit analysis,  appraisals
and  decisions  in taking or not taking action under  this  Agree
ment,  and  to  make such investigation as it deems necessary  to
inform  itself  as  to the business, operations,  property,  pros
pects, financial and other condition and creditworthiness of  the
Loan  Parties.   Except for notices, reports and other  documents
expressly  required under the Loan Documents to be  furnished  to
the  Banks  by the Agent, the Agent shall not have  any  duty  or
responsibility  to  provide any Bank with  any  credit  or  other
information  concerning the business, operations, property,  pros
pects,  financial and other condition or creditworthiness of  the
Loan  Parties which may come into the possession of the Agent  or
any    of    its   officers,   directors,   employees,    agents,
attorneys-in-fact or affiliates.

          Section  8.7   Indemnification.   The  Banks  agree  to
indemnify  the  Agent  and  its officers,  directors,  employees,
representatives and agents (to the extent not reimbursed  by  the
Loan  Parties  and without limiting the obligation  of  the  Loan
Parties  to  do so), ratably according to their Pro Rata  Shares,
from  and  against any and all liabilities, obligations,  losses,
damages, penalties, actions, judgments, suits, costs, expenses or
disbursements  of any kind or nature whatsoever (including,  with
out  limitation,  the fees and disbursements of counsel  for  the
Agent  or  such  Person in connection with any investigative,  or
judicial proceeding commenced or threatened, whether or  not  the
Agent  or  such Person shall be designated a party thereto)  that
may  at  any  time (including, without limitation,  at  any  time
following the payment of the Obligations) be imposed on, incurred
by  or asserted against the Agent or such Person as a result  of,
or  arising out of, or in any way related to or by reason of, any
of  the Transactions or the execution, delivery or performance of
any  Loan  Document  (but excluding any such liabilities,  obliga
tions,  losses,  damages, penalties, actions,  judgments,  suits,
costs, expenses or disbursements resulting solely from the  gross
negligence or willful misconduct of the Agent or such  Person  as
finally determined by a court of competent jurisdiction).  In the
event  the Agent shall recover any amounts paid by any  Bank  pur
suant  to  this Section 8.7, it shall reimburse such payments  to
each Bank on a Pro Rata basis.

          Section  8.8   Agent in its Individual  Capacity.   The
Agent and its affiliates may make loans to, accept deposits  from
and  generally  engage  in any kind of  business  with  the  Loan
Parties as though the Agent were not the Agent hereunder or under
any other Loan Document.  With respect to Revolving Loans made or
renewed  by  it  and any Revolving Note issued to it,  the  Agent
shall have the same rights and powers under this Agreement as any
Bank  and may exercise the same as though it were not the  Agent,
and  the terms "Bank" and "Banks" shall include the Agent in  its
individual capacity.

          Section 8.9  Successor Agent.  The Agent may resign  as
Agent  upon  30  days' written notice to the  Borrower  and   the
Banks.   If the Agent shall resign as Agent under this Agreement,
then  the Required Banks during such 30-day period shall  appoint
from  among the Banks a successor agent which shall be reasonably
acceptable to the Borrower.  If no successor shall have  been  so
appointed  by  the  Required Banks and shall have  accepted  such
appointment within 30 days after the retiring Agent gives written
notice of its resignation, then the retiring Agent may, on behalf
of  the  Banks, appoint a successor 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  which shall be reasonably acceptable to the Borrower.   Any
such  successor  agent shall succeed to the  rights,  powers  and
duties  of  the  Agent  and  the term  "Agent"  shall  mean  such
successor  agent, effective upon its appointment, and the  former
Agent's  rights, powers and duties as Agent shall be  terminated,
without  any  other or further act or deed on the  part  of  such
former  Agent  or  any of the parties to this  Agreement  or  any
holders  of  the  Notes.  After any retiring Agent's  resignation
hereunder as Agent, the provisions of this Section 8 and  Section
9.1 shall inure to its benefit as to any actions taken or omitted
to be taken by it while it was Agent under this Agreement.

SECTION 9.  MISCELLANEOUS.

          Section 9.1  Payment of Expenses, Indemnity, etc.   The
Parent and the Borrower shall:

               (a)  whether or not the transactions hereby contem
plated  are  consummated, pay all reasonable out-of-pocket  costs
and expenses of the Administrative Agent and the Collateral Agent
in  connection  with the negotiation, preparation,  execution  or
delivery  of the Loan Documents and the documents and instruments
referred  to  therein, the creation, perfection or protection  of
the  Liens in the Collateral (including, without limitation, fees
and expenses for title and lien searches and filing and recording
fees);  and  the  reasonable fees and disbursements  of  Skadden,
Arps,  Slate,  Meagher  &  Flom (Illinois)  and  its  affiliates,
special  counsel to the Administrative Agent and any other  attor
neys retained by the Administrative Agent);

               (b)   pay  all reasonable out-of-pocket costs  and
expenses  of  the  Administrative Agent and Collateral  Agent  in
connection with any amendment, waiver or consent relating to  any
of   the  Loan  Documents  (including,  without  limitation,  the
reasonable  fees and disbursements of counsel for the  Administra
tive Agent and Collateral Agent);

               (c)   pay  all reasonable out-of-pocket costs  and
expenses  of the Administrative Agent, the Collateral  Agent  and
each  Bank  in connection with the preservation of rights  under,
and  enforcement  of, the Loan Documents and  the  documents  and
instruments  referred  to  therein  or  in  connection  with  any
restructuring  or  rescheduling of  the  Obligations  (including,
without  limitation,  the reasonable fees  and  disbursements  of
counsel  for  each  of the Administrative Agent,  the  Collateral
Agent  and each of the Banks), including, without limitation,  if
requested  by  the Administrative Agent no more  than  once  each
fiscal year, the reasonable costs and expenses of a bank audit of
the  assets  of the Borrower and its Subsidiaries (the  scope  of
such  bank  audit to be acceptable to the Administrative  Agent),
provided  that  after  the occurrence  of  an  Event  of  Default
hereunder,  the Parent and the Borrower shall pay the  reasonable
costs  and  expenses  of any additional  bank  audit  as  may  be
requested by the Administrative Agent;

               (d)   pay, and hold the Administrative Agent,  the
Collateral Agent and each of the Banks harmless from and against,
any  and  all present and future stamp, excise and other  similar
taxes  with respect to the foregoing matters and hold the Adminis
trative  Agent, the Collateral Agent and each Bank harmless  from
and  against any and all liabilities with respect to or resulting
from any delay or omission (other than to the extent attributable
to such Bank) to pay such taxes; and

               (e)    indemnify  the  Administrative  Agent,  the
Collateral   Agent  and  each  Bank,  its  officers,   directors,
employees,  representatives, affiliates and agents (each  an  "In
demnitee") from, and hold each of them harmless against, any  and
all  losses, liabilities, claims, damages, expenses, obligations,
penalties,  actions, judgments, suits, costs or disbursements  of
any kind or nature whatsoever (including, without limitation, the
fees  and disbursements of counsel for such Indemnitee in  connec
tion   with   any  investigative,  administrative   or   judicial
proceeding   commenced  or  threatened,  whether  or   not   such
Indemnitee shall be designated a party thereto) that may  at  any
time  (including, without limitation, at any time  following  the
payment of the Obligations) be imposed on, asserted against or in
curred by any Indemnitee as a result of, or arising out of, or in
any  way  related to or by reason of, (i) any of the Transactions
or  the  execution, delivery or performance of any Loan Document,
(ii)  any violation by any Loan Party or its Environmental Affili
ate  of any applicable Environmental Law, (iii) any Environmental
Claim  arising out of the management, use, control, ownership  or
operation of property or assets by any of the Loan Parties or any
of their Environmental Affiliates, including, without limitation,
all  on-site  and  off-site  activities  involving  Materials  of
Environmental  Concern,  (iv)  the breach  of  any  environmental
representation  or warranty set forth in Section  4.18,  (v)  the
grant  to the Administrative Agent, the Collateral Agent  or  the
Banks  of  any Lien in any property or assets of any of the  Loan
Parties or any stock or other equity interest in any of the  Loan
Parties,  and (vi) the exercise by the Administrative Agent,  the
Collateral  Agent  or  the  Banks of their  rights  and  remedies
(including, without limitation, foreclosure) under any agreements
creating any such Lien (but excluding, as to any Indemnitee,  any
such losses, liabilities, claims, damages, expenses, obligations,
penalties,  actions,  judgments, suits,  costs  or  disbursements
incurred  solely  by  reason of the gross negligence  or  willful
misconduct of such Indemnitee as finally determined by a court of
competent  jurisdiction).  The Borrower's obligations under  this
Section  shall survive the termination of this Agreement and  the
payment of the Obligations.

          Section  9.2   Right  of Setoff.  In  addition  to  any
rights  now  or hereafter granted under applicable law  or  other
wise,  and not by way of limitation of any such rights, upon  the
occurrence  and during the continuance of any Event  of  Default,
each  Bank is hereby authorized at any time or from time to time,
without presentment, demand, protest or other notice of any  kind
to  any Loan Party or to any other Person, any such notice  being
hereby expressly waived, to set off and to appropriate and  apply
any  and  all  deposits  (general or  special,  time  or  demand,
provisional or final) and any other indebtedness at any time held
or owing by such Bank (including, without limitation, by branches
and  agencies of such Bank wherever located) to or for the credit
or  the  account of any Loan Party against and on account of  the
Obligations of the Loan Parties to such Bank under this Agreement
or under any of the other Loan Documents, including, without limi
tation,  all  interests  in Obligations purchased  by  such  Bank
pursuant to Section 9.7, and all other claims of any nature or de
scription arising out of or connected with this Agreement or  any
other  Loan  Document, irrespective of whether or not  such  Bank
shall   have   made  any  demand  hereunder  and  although   said
Obligations,  liabilities or claims, or any  of  them,  shall  be
contingent or unmatured.

          Section  9.3   Notices.  Except as otherwise  expressly
provided herein, all notices, requests and demands to or upon the
respective  parties hereto to be effective shall  be  in  writing
(including  by telecopy), and shall be deemed to have  been  duly
given  or  made when delivered by hand, or five days after  being
sent  by  certified  or  registered United States  mail,  postage
prepaid,  or, in the case of telecopy notice, when sent,  or,  in
the  case  of a nationally recognized overnight courier  service,
one  Business  Day  after delivery to such  courier  service,  ad
dressed,  in  the  case  of each party  hereto,  at  its  address
specified  opposite  its signature below or  on  the  appropriate
Transfer  Supplement, or to such other address as  may  be  desig
nated  by  any  party in a written notice to  the  other  parties
hereto,   provided  that  notices  and  communications   to   the
Administrative Agent shall not be effective until received by the
Administrative Agent.

          Section  9.4   Successors  and Assigns;  Participation;
Assignments.

               (a)  Successors and Assigns.  This Agreement shall
be  binding  upon  and inure to the benefit of  the  Parent,  the
Borrower,  the  Banks, the Administrative Agent,  the  Collateral
Agent, all future holders of the Revolving Notes and their respec
tive  successors and assigns, except that neither the Parent  nor
the  Borrower may assign or transfer any of its rights or  obliga
tions  under this Agreement without the prior written consent  of
each  Bank.  No Bank may participate, assign or sell any  of  its
Credit  Exposure  (as  defined in clause  (b)  below)  except  as
required  by  operation of law, in connection  with  the  merger,
consolidation or dissolution of any Bank or as provided  in  this
Section 9.4.

               (b)  Participation.  Any Bank may at any time sell
to one or more Persons (each a "Participant") participating inter
ests  in any Loan owing to such Bank, any Revolving Note held  by
such Bank, any Commitment of such Bank, or any other interest  of
such  Bank  hereunder (in respect of any such Bank,  its  "Credit
Exposure").   Notwithstanding  any  such  sale  by  a   Bank   of
participating interests to a Participant, such Bank's rights  and
obligations  under  this Agreement shall remain  unchanged,  such
Bank shall remain solely responsible for the performance thereof,
such Bank shall remain the holder of any such Revolving Note  for
all  purposes under this Agreement (except as expressly  provided
below),  and  the  Borrower  and the Administrative  Agent  shall
continue to deal solely and directly with such Bank in connection
with  such  Bank's rights and obligations under  this  Agreement.
The  Borrower agrees that if any Obligations are due and  unpaid,
or  shall have been declared or shall have become due and payable
upon the occurrence and during the continuance of an Event of  De
fault,  each  Participant shall be deemed, to the fullest  extent
permitted by law, to have the right of setoff in respect  of  its
participating interest in amounts owing under this Agreement  and
any  Revolving  Note to the same extent as if the amount  of  its
participating interest were owing directly to it as a Bank  under
this Agreement or any Revolving Note, provided that such right of
setoff shall be subject to the obligations of such Participant to
share  with  the Banks as provided in Section 9.7.  The  Borrower
also  agrees  that  each Participant shall  be  entitled  to  the
benefits  of  Sections 2.15, 2.16, 2.17, 2.18 and  9.1,  provided
that  no  Participant  shall be entitled to receive  any  greater
amount  pursuant to such sections than the transferor Bank  would
have  been  entitled to receive in respect of the amount  of  the
participating  interest transferred by such  transferor  Bank  to
such Participant had no such transfer occurred.  Each Bank agrees
that any agreement between such Bank and any such Participant  in
respect  of  such participating interest shall not restrict  such
Bank's  right  to agree to any amendment, supplement,  waiver  or
modification to this Agreement or any other Loan Document, except
where  the result of any of the foregoing would be to extend  the
final  maturity  of  any  Obligation or any  regularly  scheduled
installment  thereof or reduce the rate or  extend  the  time  of
payment  of  interest  or fees thereon or  reduce  the  principal
amount  thereof  or  release  all or  substantially  all  of  the
Collateral (except as expressly provided in the Loan Documents).

               (c)   Assignments to Purchasing Banks.   Any  Bank
may,  in  the  ordinary course of its business and in  accordance
with  applicable  law, at any time assign  to  any  Bank  or  any
affiliate  thereof  or,  with the prior written  consent  of  the
Borrower and the Administrative Agent, which consent shall not be
unreasonably  withheld, to any other Person ("Purchasing  Banks")
all  or  any part of its Credit Exposure pursuant to a supplement
to  this Agreement, substantially in the form of Exhibit L hereto
(a "Transfer Supplement"), executed by such Purchasing Bank, such
transferor Bank and the Administrative Agent; provided  that  the
minimum  amount  of the Credit Exposure of any Bank  so  assigned
shall  not  be  less  than $5,000,000 (or if the  assignor  shall
assign its entire Credit Exposure, any lesser amount).  Upon  (i)
such  execution of such Transfer Supplement, (ii) delivery of  an
executed  copy  thereof  to the Borrower and  the  Administrative
Agent  and (iii) payment by such Purchasing Bank to such transfer
or  Bank  of an amount equal to the purchase price agreed between
such transferor Bank and such Purchasing Bank and payment to  the
Administrative Agent by such Purchasing or Transferor Bank a non-
refundable  processing fee of $3,500, such transferor Bank  shall
be  released from its obligations hereunder to the extent of such
assignment and such Purchasing Bank shall for all purposes  be  a
Bank  party  to this Agreement and shall have all the rights  and
obligations of a Bank under this Agreement to the same extent  as
if  it  were an original party hereto, and no further consent  or
action  by  the  Borrower, the Banks or the Administrative  Agent
shall  be required.  Such Transfer Supplement shall be deemed  to
amend  this  Agreement to the extent, and  only  to  the  extent,
necessary  to reflect the addition of such Purchasing Bank  as  a
Bank  and  the resulting adjustment of the Commitments,  if  any,
arising  from the purchase by such Purchasing Bank of  all  or  a
portion of the Credit Exposure of such transferor Bank.   If  the
transferor  Bank shall then be in possession of a Revolving  Note
and  if  requested  by the Purchasing Bank,  promptly  after  the
consummation  of  any  transfer to  a  Purchasing  Bank  pursuant
hereto, the transferor Bank, the Administrative Agent and the Bor
rower shall, at the expense of the Purchasing Bank, make appropri
ate  arrangements so that a replacement Note is  issued  to  such
transferor  Bank and a new Revolving Note is issued to  such  Pur
chasing  Bank, in each case in principal amounts reflecting  such
transfer.

               (d)   Disclosure of Information.  The Borrower  au
thorizes  each Bank to disclose to any Participant or  Purchasing
Bank  (each,  a "Transferee") and any prospective Transferee  any
and all financial and other information in such Bank's possession
concerning the Borrower which has been delivered to such Bank  by
the  Borrower  pursuant  to  this Agreement  or  which  has  been
delivered  to such Bank by the Borrower in connection  with  such
Bank's  credit evaluation of the Borrower prior to entering  into
this Agreement.

               (e)   Federal Reserve Banks.  Notwithstanding  the
limitations set forth in paragraph (c) above, any Bank may at any
time assign all or any portion of its rights under this Agreement
or  any  Revolving Note for purposes of assignment to  a  Federal
Reserve Bank without the prior written consent of the Borrower or
the  Administrative Agent, provided that no such assignment shall
release  a  Bank  from  any  of  its  obligations  hereunder   or
substitute any such Federal Reserve Bank for such Bank as a party
hereto.

          Section  9.5   Amendments and  Waivers.   Neither  this
Agreement, any Revolving Note, any other Loan Document  to  which
the  Parent  or the Borrower is a party nor any terms  hereof  or
thereof  may be amended, supplemented, modified or waived  except
in  accordance with the provisions of this Section.  The Required
Banks, the Parent and the Borrower may, from time to time,  enter
into  written amendments, supplements, modifications  or  waivers
for  the  purpose of adding, deleting, changing  or  waiving  any
provisions to this Agreement, the Revolving Notes, or  the  other
Loan  Documents to which the Parent or the Borrower is  a  party,
provided  that  no  such amendment, supplement,  modification  or
waiver  shall  (a) extend the Final Maturity Date or  reduce  the
rate  or  extend the time of payment of interest  on  any  Obliga
tions,  or reduce the principal amount of any Obligations  or  re
duce  any fee payable to the Banks hereunder, or release  all  or
substantially  all  of  the  Collateral  (except   as   expressly
contemplated by the Loan Documents) or change the amount  of  any
Commitment  of any Bank, or amend, modify or waive any  provision
of  this  Section  9.5 or the definition of  Required  Banks,  or
consent  to or permit the assignment or transfer by the  Borrower
of  any of its rights and obligations under this Agreement or any
other Loan Document, in each case without the written consent  of
all  the  Banks effected thereby, (b) amend, modify or waive  any
provision  of Section 8 or any other provision of any  Loan  Docu
ment  if the effect thereof is to affect the rights or duties  of
the Administrative Agent, without the written consent of the then
Administrative Agent, or (c) release the Parent from any  of  its
obligations  under  Section 10.  Any such amendment,  supplement,
modification  or waiver shall apply to each of the Banks  equally
and  shall  be binding upon the Parent, the Borrower, the  Banks,
the  Administrative Agent and all future holders of the Revolving
Notes.  In the case of any waiver, the Parent, the Borrower,  the
Banks  and  the Administrative Agent shall be restored  to  their
former  position  and rights hereunder and under the  outstanding
Notes, and any Default or Event of Default waived shall be deemed
to  be  cured and not continuing, but no such waiver shall extend
to any subsequent or other Default or Event of Default, or impair
any right consequent thereon.

          Section  9.6  No Waiver; Remedies Cumulative.  No  fail
ure  or  delay  on  the  part  of the Administrative  Agent,  the
Collateral Agent, any Bank, or any holder of a Revolving Note  in
exercising any right, power or privilege hereunder or  under  any
other  Loan  Document and no course of dealing between  any  Loan
Party  and  the Administrative Agent, the Collateral  Agent,  any
Bank  or  the  holder of any Revolving Note shall  operate  as  a
waiver  thereof; nor shall any single or partial exercise of  any
right,  power  or  privilege hereunder or under  any  other  Loan
Document  preclude any other or further exercise thereof  of  the
exercise  of  any  other right, power or privilege  hereunder  or
thereunder.   The  rights and remedies herein expressly  provided
are  cumulative and not exclusive of any rights or remedies which
the  Administrative Agent, the Collateral Agent, any Bank or  the
holder of any Revolving Note would otherwise have.  No notice  to
or  demand on any Loan Party in any case shall entitle  any  Loan
Party  to  any  other or further notice or demand in  similar  or
other  circumstances or constitute a waiver of the rights of  the
Administrative  Agent,  the Banks, the Collateral  Agent  or  the
holder  of  any Revolving Note to any other or further action  in
any circumstances without notice or demand.

          Section  9.7  Sharing of Payments.  Each of  the  Banks
agrees that if it should receive any amount hereunder (whether by
voluntary payment, by realization upon security, by the  exercise
of the right of setoff or banker's lien, by counterclaim or cross
action, by the enforcement of any right under the Loan Documents,
or   otherwise)  which  is  applicable  to  the  payment  of  any
Obligations,  of a sum which with respect to the related  sum  or
sums received by other Banks is in a greater proportion than  the
total of such Obligation then owed and due to such Bank bears  to
the  total  of such Obligation then owed and due to  all  of  the
Banks immediately prior to such receipt, then such Bank receiving
such  excess payment shall purchase for cash without recourse  or
warranty  from  the other Banks an interest in  such  Obligations
owing  to  such  Banks  in  such amount  as  shall  result  in  a
proportional  participation by all of the Banks in  such  amount;
provided  that  if  all or any portion of such excess  amount  is
thereafter  recovered  from such Bank,  such  purchase  shall  be
rescinded and the purchase price restored to the extent  of  such
recovery, but without interest.

          Section 9.8  Governing Law; Submission to Jurisdiction.
(a)  THIS  AGREEMENT AND THE OTHER LOAN DOCUMENTS AND THE  RIGHTS
AND  OBLIGATIONS  OF THE PARTIES HEREUNDER AND THEREUNDER  SHALL,
EXCEPT  AS  OTHERWISE PROVIDED IN THE MORTGAGES, BE CONSTRUED  IN
ACCORDANCE WITH AND BE GOVERNED BY THE LAWS OF THE STATE  OF  NEW
YORK (WITHOUT GIVING EFFECT TO THE PRINCIPLES THEREOF RELATING TO
CONFLICTS OF LAW).

               (b)   Any  legal action or proceeding with respect
to  this Agreement or any other Loan Document and any action  for
enforcement of any judgment in respect thereof may be brought  in
the  courts of the State of New York or of the United  States  of
America  for the Southern District of New York, and, by execution
and  delivery of this Agreement, the Borrower hereby accepts  for
itself  and  in  respect of its property, generally  and  uncondi
tionally, the non-exclusive jurisdiction of the aforesaid  courts
and  appellate courts from any thereof.  The Borrower irrevocably
consents   to  the  service  of  process  out  of  any   of   the
aforementioned  courts in any such action or  proceeding  by  the
mailing  of  copies  thereof  by registered  or  certified  mail,
postage  prepaid, the Borrower at its address set forth  opposite
its  signature below.  The Borrower hereby irrevocably waives any
objection  which it may now or hereafter have to  the  laying  of
venue of any of the aforesaid actions or proceedings arising  out
of  or  in  connection  with this Agreement  or  any  other  Loan
Document  brought  in  the courts referred to  above  and  hereby
further  irrevocably waives and agrees not to plead or  claim  in
any  such court that any such action or proceeding brought in any
such  court  has been brought in an inconvenient forum.   Nothing
herein  shall affect the right of the Administrative  Agent,  any
Bank,  or any holder of a Revolving Note to serve process in  any
other manner permitted by law or to commence legal proceedings or
otherwise proceed against the Borrower in any other jurisdiction.

          Section  9.9   Counterparts.   This  Agreement  may  be
executed  in  any  number of counterparts and  by  the  different
parties  hereto on separate counterparts, each of which  when  so
executed  and  delivered shall be an original, but all  of  which
shall together constitute one and the same instrument.

          Section  9.10   Effectiveness.   This  Agreement  shall
become  effective on the date on which all of the parties  hereto
shall  have signed a counterpart hereof and shall have  delivered
the  same to the Administrative Agent which delivery, in the case
of  the  Banks,  may  be  given to the  Administrative  Agent  by
telecopy  (with the originals delivered promptly to  the  Adminis
trative Agent via overnight courier service).

          Section  9.11  Headings Descriptive.  The  headings  of
the  several  Sections  and subsections  of  this  Agreement  are
inserted for convenience only and shall not in any way affect the
meaning or construction of any provision of this Agreement.

          Section  9.12   Marshalling;  Recapture.   Neither  the
Administrative Agent, the Collateral Agent nor any Bank shall  be
under any obligation to marshall any assets in favor of any  Loan
Party  or any other party or against or in payment of any or  all
of  the Obligations.  To the extent any Bank receives any payment
by  or  on  behalf of any Loan Party, which payment or  any  part
thereof is subsequently invalidated, declared to be fraudulent or
preferential,  set aside or required to be repaid  to  such  Loan
Party  or  its estate, trustee, receiver, custodian or any  other
party under any bankruptcy law, state or federal law, common  law
or  equitable cause, then to the extent of such payment or  repay
ment, the obligation or part thereof which has been paid, reduced
or  satisfied by the amount so repaid shall be reinstated by  the
amount so repaid and shall be included within the liabilities  of
such Loan Party to such Bank as of the date such initial payment,
reduction or satisfaction occurred.

          Section  9.13  Severability.  In case any provision  in
or obligation under this Agreement or the Notes or the other Loan
Documents  shall  be  invalid, illegal or  unenforceable  in  any
jurisdiction,  the validity, legality and enforceability  of  the
remaining  provisions  or obligations, or of  such  provision  or
obligation in any other jurisdiction, shall not in any way be  af
fected or impaired thereby.

          Section  9.14   Survival.  All  indemnities  set  forth
herein  including,  without limitation, in Sections  2.15,  2.16,
2.17, 2.18, 8.7 and 9.1 and the limitation of liability set forth
in  Section 9.16 shall survive the execution and delivery of this
Agreement and the Revolving Notes and the making and repayment of
the Revolving Loans hereunder.

          Section  9.15   Domicile  of  Loans.   Each  Bank   may
transfer and carry its Revolving Loans at, to or for the  account
of any branch office, subsidiary or affiliate of such Bank.

          Section 9.16  Limitation of Liability.  No claim may be
made by any Loan Party or any other Person against the Administra
tive  Agent,  the Collateral Agent, any Bank, or the  Affiliates,
directors, officers, employees, attorneys or agent of any of them
for  any special, indirect, consequential or punitive damages  in
respect  of any claim for breach of contract or any other  theory
of liability arising out of or related to the transactions contem
plated  by this Agreement or any other Transactions, or any  act,
omission  or  event occurring in connection therewith;  and  each
Loan Party hereby waives, releases and agrees not to sue upon any
claim for any such damages, whether or not accrued and whether or
not known or suspected to exist in its favor.

          Section  9.17  Calculations; Computations.   The  finan
cial  statements to be furnished to the Administrative Agent  and
the  Banks  pursuant hereto shall be made and prepared  in  accor
dance  with  GAAP  consistently applied  throughout  the  periods
involved  and consistent with GAAP as used in the preparation  of
the  financial statements referred to in Section 4.5, and, except
as  otherwise  specifically provided herein, all computations  of
Excess  Cash  Flow,  Borrower's Share of  Excess  Cash  Flow  and
Retained  Equity Proceeds and computations determining compliance
with  Section  6 hereof shall utilize GAAP.  All computations  of
interest (other than interest calculated by reference to the Base
Rate  during  such  periods that the Base Rate is  determined  by
reference  to  the Prime Rate), Commitment Fees  and  other  Fees
shall  be made on the basis of a year of 360 days for the  actual
number  of days (including the first day but excluding  the  last
day)  occurring in the period for which such interest, Commitment
Fee  or  other  Fees are payable.  All computations  of  interest
calculated by reference to the Base Rate during such periods that
the  Base Rate is determined by reference to the Prime Rate shall
be  made on the basis of a year of 365 days for the actual number
of  days  (including the first day but excluding  the  last  day)
occurring in the period for which such interest is payable.

          Section  9.18  Waiver of Trial by Jury.  TO THE  EXTENT
PERMITTED  BY  APPLICABLE LAW, EACH OF THE PARENT, THE  BORROWER,
THE ADMINISTRATIVE AGENT, THE CO-AGENTS, THE COLLATERAL AGENT AND
THE BANKS HEREBY IRREVOCABLY WAIVES ALL RIGHT OF TRIAL BY JURY IN
ANY  ACTION,  PROCEEDING OR COUNTERCLAIM ARISING  OUT  OF  OR  IN
CONNECTION WITH THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT OR  ANY
MATTER ARISING HEREUNDER OR THEREUNDER.

           Section  9.19  Nature of Borrowers' Obligations.   (a)
The Borrower agrees that the Obligations will be paid strictly in
accordance with the terms of this Agreement, the Revolving  Notes
and  the  other Loan Documents, regardless of any law, regulation
or order now or hereafter in effect in any jurisdiction affecting
any  of  such  terms or the rights of any Secured  Creditor  with
respect thereto.  The liability of the Borrower shall be absolute
and  unconditional, in accordance with its terms and shall remain
in  full  force and effect without regard to, and  shall  not  be
released, suspended, discharged, terminated or otherwise affected
by, any circumstance or occurrence whatsoever, including, without
limitation:   (i)  any change in the time,  place  or  manner  of
payment  of,  or in any other term of, all or any of  the  Obliga
tions,  any waiver, indulgence, renewal, extension, amendment  or
modification  of,  or  addition, consent  or  supplement  to,  or
deletion  from, or any other action or inaction under, or  in  re
spect  of  this  Agreement, any Revolving Note,  any  other  Loan
Document or any documents, instruments or agreements relating  to
the Obligations or any other instrument or agreement referred  to
therein  or any assignment or transfer of any thereof;  (ii)  any
lack  of  validity  or  enforceability  of  this  Agreement,  any
Revolving  Note, any other Loan Document or any other  documents,
instruments  or agreements referred to therein or any  assignment
or  transfer  of any thereof; (iii) any furnishing  of  any  addi
tional  security to the Secured Creditors or their  assignees  or
any  acceptance  thereof or any release of any  security  by  the
Secured Creditors, or their assignees; (iv) any limitation on any
party's  liability  or obligations under any such  instrument  or
agreement or any invalidity or unenforceability, in whole  or  in
part,  of  any such instrument or agreement, or any term thereof;
(v)  any  bankruptcy,  insolvency,  reorganization,  composition,
adjustment,  dissolution, liquidation or  other  like  proceeding
relating  to  the Borrower, or any action taken with  respect  to
this  Agreement by any trustee or receiver, or by any  court,  in
any  such  proceeding,  whether or not the  Borrower  shall  have
notice  or  knowledge of any of the foregoing  and  the  Borrower
waives  any  right to the deferral or modification of its  obliga
tions  hereunder by reason of any such proceeding;  (vi)  any  ex
change, release or nonperfection of any other collateral, or  any
release, or amendment or waiver of, or consent to, departure from
any  guaranty  or  security, for all or any of  the  Obligations;
(vii)  any direction as to application of payment by the Borrower
or  by  any  other party; (viii) any dissolution, termination  or
increase,  decrease or change in personnel by  the  Borrower;  or
(ix)  any  other circumstance which might otherwise constitute  a
defense  available  to, or a discharge of,  the  Borrower.   This
Agreement shall continue to be effective or be reinstated, as the
case may be, if at any time any payment of any of the Obligations
is  rescinded  or  must  otherwise be  returned  by  any  Secured
Creditor upon the insolvency, bankruptcy or reorganization of the
Borrower  or  any  Guarantor or otherwise,  all  as  though  such
payment had not been made.

          (c)    The   Borrower  hereby  irrevocably  agrees   to
subordinate  any  Subrogation Rights (as defined  below)  to  the
rights  of any Secured Creditor to recover from the Borrower  all
Obligations.  "Subrogation Rights" shall mean any and all  rights
of subrogation, reimbursement, exoneration, contribution or indem
nification,  any right to participate in any claim or  remedy  of
the  Secured Creditors or any collateral which the Administrative
Agent, any other Secured Creditor or the Collateral Agent now has
or hereafter acquires in connection with the payment, performance
or enforcement of the Borrower's obligations under this Agreement
or  any Loan Document, whether or not such claim, remedy or right
arises  in  equity,  or under contract, statute  or  common  law,
including  the right to take or receive, directly or  indirectly,
in  cash  or other property or by set-off or in any other manner,
payment or security on account of such claim or other rights.  To
effectuate such subordination, the Borrower hereby agrees that it
shall  not be entitled to any payment by the Borrower in  respect
of  any Subrogation Right until all of the Obligations have  been
indefeasibly paid in full.  If any amount shall be  paid  to  the
Borrower  in violation of the preceding sentence and  the  Obliga
tions  shall not have been paid in full or any commitment of  any
Secured Creditor under this Agreement shall not have been  irrevo
cably  terminated, such amount shall be deemed to have been  paid
to  the  Borrower for the benefit of, and held in trust for,  the
Administrative  Agent for the benefit of the  Secured  Creditors,
and  shall  forthwith be paid to the Administrative Agent  to  be
credited and applied to the Obligations, whether matured or  unma
tured.  The Borrower acknowledges that it will receive direct and
indirect benefits from the financing arrangements contemplated by
this  Agreement  and that the subordination  set  forth  in  this
Section is knowingly made in contemplation of such benefits.

SECTION 10.  PARENT GUARANTY.

          Section 10.1  The Parent Guaranty.  In order to  induce
the  Administrative  Agent  and the  Banks  to  enter  into  this
Agreement  and to extend credit hereunder, and in recognition  of
the  direct  benefits  to  be received by  the  Parent  from  the
proceeds  of  the Revolving Loans, the Parent hereby agrees  with
the  Guaranteed  Creditors as follows: the  Parent  hereby  uncon
ditionally and irrevocably guarantees as primary obligor and  not
merely  as  surety the full and prompt payment when due,  whether
upon  maturity, acceleration or otherwise, of any and all of  the
Guaranteed   Obligations  of  the  Borrower  to  the   Guaranteed
Creditors.   If any or all of the Guaranteed Obligations  of  the
Borrower  to  the  Guaranteed Creditors become  due  and  payable
hereunder, the Parent irrevocably and unconditionally promises to
pay  such indebtedness to the Guaranteed Creditors, or order,  on
demand,  together with any and all expenses which may be incurred
by  the  Guaranteed Creditors in collecting any of the Guaranteed
Obligations.  If claim is ever made upon any Guaranteed  Creditor
for  repayment or recovery of any amount or amounts  received  in
payment  or  on account of any of the Guaranteed Obligations  and
any of the aforesaid payees repays all or part of said amount  by
reason  of  (i)  any judgment, decree or order of  any  court  or
administrative body having jurisdiction over such payee or any of
its  property or (ii) any settlement or compromise  of  any  such
claim  effected  by such payee with any such claimant  (including
the  Borrower), then and in such event the Parent agrees that any
such  judgment, decree, order, settlement or compromise shall  be
binding  upon the Parent, notwithstanding any revocation of  this
Parent Guaranty, and the Parent shall be and remain liable to the
aforesaid  payees hereunder for the amount so repaid or recovered
to  the  same extent as if such amount had never originally  been
received by any such payee.

          Section  10.2   Bankruptcy.  Additionally,  the  Parent
unconditionally and irrevocably guarantees the payment of any and
all  of  the  Guaranteed Obligations to the Guaranteed  Creditors
whether or not due or payable by the Borrower upon the occurrence
of  any  of  the events specified in Section 7.1(f), and  uncondi
tionally  promises  to pay such indebtedness  to  the  Guaranteed
Creditors,  or  order, on demand, in lawful money of  the  United
States.

          Section  10.3   Nature of Liability.  The liability  of
the Parent hereunder is exclusive and independent of any security
for  or  other  guaranty  of the Guaranteed  Obligations  whether
executed  by  the  Parent, any other guarantor or  by  any  other
party,  and the liability of the Parent hereunder is not affected
or  impaired by (a) any direction as to application of payment by
the  Borrower or by any other party, or (b) any other  continuing
or  other  guaranty,  undertaking  or  maximum  liability  of   a
guarantor or of any other party as to the Guaranteed Obligations,
or  (c) any payment on or in reduction of any such other guaranty
or  undertaking, or (d) any dissolution, termination or increase,
decrease  or  change  in personnel by the Borrower,  or  (e)  any
payment made to any Guaranteed Creditor on the Guaranteed  Obliga
tions  which any such Guaranteed Creditor repays to the  Borrower
pursuant  to  court  order  in  any  bankruptcy,  reorganization,
arrangement,  moratorium or other debtor relief  proceeding,  and
Parent  waives any right to the deferral or modification  of  its
obligations hereunder by reason of any such proceeding.

          Section  10.4  Independent Obligation.  The obligations
of the Parent hereunder are independent of the obligations of any
other  guarantor, any other party or the Borrower, and a separate
action  or  actions  may  be brought and prosecuted  against  the
Parent  whether or not action is brought against any  other  guar
antor,  any  other party or the Borrower and whether or  not  any
other guarantor, any other party or the Borrower be joined in any
such  action  or actions.  The Parent waives, to the full  extent
permitted  by  law,  the  benefit of any statute  of  limitations
affecting  its  liability hereunder or the  enforcement  thereof.
Any  payment by the Borrower or other circumstance which operates
to  toll  any  statute of limitations as to  the  Borrower  shall
operate  to  toll the statute of limitations as  to  the  Parent.
This  Parent Guaranty is a continuing one and all liabilities  to
which  it  applies or may apply under the terms hereof  shall  be
conclusively presumed to have been created in reliance hereon.

          Section 10.5  Authorization.  The Parent authorizes the
Guaranteed Creditors without notice or demand (except as shall be
required by applicable statute and cannot be waived), and without
affecting or impairing its liability hereunder, from time to time
to:

               (a)   change the manner, place or terms of payment
of,  and/or  change  or  extend the time of  payment  of,  renew,
increase,  accelerate or alter, any of the Guaranteed Obligations
(including  any  increase or decrease in  the  rate  of  interest
thereon),  any  security  therefor,  or  any  liability  incurred
directly  or  indirectly  in  respect  thereof,  and  the  Parent
Guaranty herein made shall apply to the Guaranteed Obligations as
so changed, extended, renewed or altered;

               (b)  take and hold security for the payment of the
Guaranteed  Obligations and sell, exchange,  release,  surrender,
realize  upon  or otherwise deal with in any manner  and  in  any
order any property by whomsoever at any time pledged or mortgaged
to  secure, or howsoever securing, the Guaranteed Obligations  or
any  liabilities  (including  any of  those  hereunder)  incurred
directly  or indirectly in respect thereof or hereof, and/or  any
offset there against;

               (c)   exercise  or  refrain  from  exercising  any
rights  against the Borrower, any other Loan Party or  others  or
otherwise act or refrain from acting;

               (d)    release  or  substitute  any  one  or  more
endorsers, guarantors, the Borrower or other obligors;
               (e)   settle  or compromise any of the  Guaranteed
Obligations,  any  security therefor or any liability  (including
any  of  those  hereunder)  incurred directly  or  indirectly  in
respect thereof or hereof, and may subordinate the payment of all
or  any part thereof to the payment of any liability (whether due
or  not)  of the Borrower to its creditors other than the  Guaran
teed Creditors;

               (f)   apply any sums by whomsoever paid  or  howso
ever realized to any liability or liabilities of the Borrower  to
the  Guaranteed Creditors regardless of what liability or liabili
ties of the Parent, the Borrower remain unpaid;

               (g)   consent to or waive any breach  of,  or  any
act,  omission  or default under, this Agreement or  any  of  the
instruments or agreements referred to herein, or otherwise amend,
modify  or  supplement  this  Agreement  or  any  of  such  other
instruments or agreements; and/or

               (h)   take  any  other action which  would,  under
otherwise  applicable principles of common law, give  rise  to  a
legal  or  equitable discharge of the Parent from its liabilities
under this Parent Guaranty.

          Section  10.6  Reliance.  It is not necessary  for  any
Guaranteed Creditor to inquire into the capacity or powers of the
Borrower or the officers, directors, partners or agents acting or
purporting to act on their behalf, and any Guaranteed Obligations
made  or created in reliance upon the professed exercise of  such
powers shall be guaranteed hereunder.

          Section  10.7   Subordination.  Any of the indebtedness
of  the  Borrower now or hereafter owing to the Parent, is hereby
subordinated to the Guaranteed Obligations of the Borrower  owing
to  the Guaranteed Creditors; and if the Administrative Agent  so
requests  at  a  time when an Event of Default exists,  all  such
indebtedness  of the Borrower to the Parent shall  be  collected,
enforced  and  received  by the Parent for  the  benefit  of  the
Guaranteed Creditors and be paid over to the Administrative Agent
on   behalf  of  the  Guaranteed  Creditors  on  account  of  the
Guaranteed  Obligations of the Borrower to the  Guaranteed  Credi
tors,  but  without  affecting or impairing  in  any  manner  the
liability of the Parent under the other provisions of this Parent
Guaranty.   Prior to the transfer by the Parent of  any  note  or
negotiable instrument evidencing any of the indebtedness  of  the
Borrower  to  the  Parent, the Parent shall  mark  such  note  or
negotiable  instrument with a legend that the same is subject  to
this  subordination.   Without limiting  the  generality  of  the
foregoing, the Parent hereby agrees with the Guaranteed Creditors
that  it will not exercise any right of subrogation which it  may
at  any  time otherwise have as a result of this Parent  Guaranty
(whether contractual, under Section 509 of the Bankruptcy Code or
otherwise) until all Guaranteed Obligations have been irrevocably
paid in full in cash.

          Section 10.8  Waiver.  (a)  The Parent waives any right
(except as shall be required by applicable statute and cannot  be
waived) to require any Guaranteed Creditor to (i) proceed against
the  Borrower,  any  other guarantor or  any  other  party,  (ii)
proceed  against or exhaust any security held from the  Borrower,
any  other guarantor or any other party or (iii) pursue any other
remedy in any Guaranteed Creditor's power whatsoever.  The Parent
waives any defense based on or arising out of any defense of  the
Borrower,  any  other guarantor or any other  party,  other  than
payment  in  full  of  the Guaranteed Obligations,  based  on  or
arising  out  of  the  disability  of  the  Borrower,  any  other
guarantor  or  any  other  party, or the  validity,  legality  or
unenforceability  of  the  Guaranteed  Obligations  or  any  part
thereof  from any cause, or the cessation from any cause  of  the
liability  of  the Borrower other than payment  in  full  of  the
Guaranteed Obligations.  The Guaranteed Creditors may,  at  their
election, foreclose on any security held by the Collateral Agent,
or  any  other  Guaranteed Creditor by one or  more  judicial  or
nonjudicial sales, whether or not every aspect of any  such  sale
is  commercially reasonable (to the extent such sale is permitted
by  applicable  law), or exercise any other right or  remedy  the
Guaranteed  Creditors may have against the  Borrower,  any  other
party or any security, without affecting or impairing in any  way
the  liability of the Parent hereunder except to the  extent  the
Guaranteed  Obligations have been paid.  The  Parent  waives  any
defense  arising  out  of  any such election  by  the  Guaranteed
Creditors, even though such election operates to impair or  extin
guish any right of reimbursement or subrogation or other right or
remedy of the Parent against the Borrower, any other party or any
security.

               (b)   The  Parent waives all presentments, demands
for   performance,   protests  and  notices,  including   without
limitation notices of nonperformance, notices of protest, notices
of  dishonor, notices of acceptance of this Parent Guaranty,  and
notices  of  the  existence, creation  or  incurring  of  new  or
additional  Guaranteed  Obligations.   The  Parent  assumes   all
responsibility  for  being and keeping  itself  informed  of  the
Borrower's  financial  condition and assets,  and  of  all  other
circumstances  bearing  upon  the  risk  of  nonpayment  of   the
Guaranteed  Obligations and the nature, scope and extent  of  the
risks  which the Parent assumes and incurs hereunder, and  agrees
that  neither  the  Agents nor any Bank shall have  any  duty  to
advise  the  Parent of information known to them  regarding  such
circumstances or risks.

          Section 10.9  Maximum Liability.  It is the desire  and
intent  of  the  Parent and the Guaranteed  Creditors  that  this
Parent  Guaranty  shall be enforced against  the  Parent  to  the
fullest  extent  permissible under the laws and  public  policies
applied in each jurisdiction in which enforcement is sought.  If,
however,  and to the extent that, the obligations of  the  Parent
under this Parent Guaranty shall be adjudicated to be invalid  or
unenforceable  for  any  reason (including,  without  limitation,
because  of  any  applicable state or  federal  law  relating  to
fraudulent  conveyances or transfers), then  the  amount  of  the
Guaranteed  Obligations of the Parent shall be deemed  to  be  re
duced  and  the  Parent  shall pay  the  maximum  amount  of  the
Guaranteed   Obligations  which  would   be   permissible   under
applicable law.

          IN  WITNESS  WHEREOF, the parties  hereto  have  caused
their  duly authorized officers to execute and deliver this Agree
ment as of the date first written above.

                         SPECIALTY RETAILERS, INC., AS BORROWER

                         By: /s/ James A. Marcum
                            Name: James A. Marcum
                            Title: Vice Chairman/CFO

                            10201 Main Street
                            Houston, Texas 77025
                            Attn: James A. Marcum
                            Telephone:  (713) 669-2832
                            Facsimile:   (713) 669-2709

                         STAGE STORES, INC., AS GUARANTOR

                         By: /s/ James A. Marcum
                            Name: James A. Marcum
                            Title: Vice Chairman/CFO

                            10201 Main Street
                            Houston, Texas 77025
                            Attn:  James A. Marcum
                            Telephone:  (713) 669-2832
                            Facsimile:   (713) 669-2709

                         CREDIT  SUISSE FIRST BOSTON, as  Adminis
                         trative Agent and Collateral Agent,  and
                         as a Bank

                         By: /s/ Julia P. Kingsbury
                            Name: Julia P. Kingsbury
                            Title: Vice President

                         By: /s/ Didier Siffer
                            Name: Didier Siffer
                            Title: Vice President

                            Eleven Madison Avenue
                            New York, New York 10010-3629
                            Attn:  Jan Kofol
                            Telephone:  (212) 325-9057
                            Facsimile:    (212) 325-0304

                         BANK UNITED

                         By: /s/ Gordon A. Kovacs
                            Name: Gordon A. Kovacs
                            Title:  Senior Special Asset  Manager
                                 & Vice President

                            3200 Southwest Freeway
                            19th Floor
                            Houston, Texas 77027
                            Attn:  Gordon Kovacs
                            Telephone:  (713) 543-7951
                            Facsimile:  (713) 543-7117

                         PARIBAS

                         By: /s/ Albert A. Young, Jr.
                            Name: Albert A. Young, Jr.
                            Title: Director

                         By: /s/ Amy Kirschner
                            Name: Amy Kirschner
                            Title: Vice President

                            787 Seventh Avenue
                            New York, New York 10019
                            Attn:  Albert Young
                            Telephone:  (212) 841-2329
                            Facsimile:  (212) 841-3565

                         STEIN, ROE & FARNHAM, AS AGENT FOR
                         KEYPORT LIFE INSURANCE COMPANY

                         By: /s/ James R. Fellows
                            Name: James R. Fellows
                            Title: Vice President

                            One South Wacker Drive
                            33rd Floor
                            Chicago, Illinois 60606
                            Attn:  Jim Fellows
                            Telephone:  (312) 368-5641
                            Facsimile:  (312) 368-7857

                         BANKERS LIFE AND CASUALTY COMPANY

                         By: /s/ Eric R. Johnson
                            Name: Eric R. Johnson
                            Title: Vice President
                            (By Conseco Capital Management, Inc.
                              acting as Investment Advisor.)

                            11825 N. Pennsylvania Street
                            Carmel, Indiana 46032
                            Attn:  John Nasser
                            Telephone:  (317) 817-6069
                            Facsimile:  (317) 575-2001

                         UNION BANK OF CALIFORNIA, N.A.

                         By: /s/ Richard P. DeGrey
                            Name: Richard P. DeGrey
                            Title: Vice President

                            445 South Figueroa Street
                            15th Floor
                            Los Angeles, California  90071-1602
                            Attn:    Richard  P.   DeGrey,   Vice
                                     President
                            Telephone:  (213) 236-6064
                            Facsimile:  (213) 236-6089

                                                   Annex 1 to
                                                 Credit Agreement

                      Banks and Commitments

     Name of Bank                              Revolving Commitment

     Credit Suisse First Boston                $10,208,334.00

     Bank United                               $10,208,333.00

     Union Bank of California, N.A.            $10,208,333.00

     Paribas                                   $ 1,750,000.00

     Stein, Roe & Farnham, as agent for
            Keyport Life Insurance Company     $ 1,750,000.00

     Bankers Life and Casualty Company         $   875,000.00

     Total Commitment:                         $35,000,000.00

_______________________________
1FOOTER B CONTAINS FILENAME ONLY

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