Document:

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                                                                    EXHIBIT 10.8

                                  $200,000,000

                          REMINGTON ARMS COMPANY, INC.

                          10-1/2% Senior Notes due 2011

                               PURCHASE AGREEMENT

                                                                January 17, 2003

Credit Suisse First Boston LLC
Goldman, Sachs & Co.
Wachovia Securities, Inc.
c/o  Credit Suisse First Boston LLC
     Eleven Madison Avenue
     New York, N.Y. 10010-3629

Ladies and Gentlemen:

             1.  Introductory. Remington Arms Company, Inc., a Delaware
corporation (the "Company"), proposes, subject to the terms and conditions
stated herein, to issue and sell to the several initial purchasers named in
Schedule A hereto (the "Purchasers") U.S.$200,000,000 principal amount of its
10-1/2% Senior Notes due 2011 (the "Notes"), to be issued under an indenture, to
be dated as of the Closing Date (as defined below) (the "Indenture"), among the
Company, the Guarantors (as defined below) party hereto and U.S. Bank National
Association, as Trustee on a private placement basis pursuant to an exemption
under Section 4(2) of the United States Securities Act of 1933 (the "Securities
Act").

          The holders of the Offered Securities (as defined below) will be
entitled to the benefits of a Registration Rights Agreement to be dated the
Closing Date among the Company, the Guarantors and the Purchasers (the
"Registration Rights Agreement"), pursuant to which the Issuers (as defined
below) will agree to use their reasonable best efforts to file a registration
statement with the Securities Exchange Commission (the "Commission") registering
the resale of the Offered Securities under the Securities Act.

          The Notes will be guaranteed by all existing domestic Subsidiaries and
by all Subsidiaries that in the future guarantee certain other indebtedness of
the Company, if any (as defined in the Indenture), each of which will become a
guarantor in accordance with the terms of the Indenture (collectively, the
"Guarantors") and will unconditionally guarantee the Notes (the "Guarantees")
subject in each case to release in accordance with the terms of the Indenture.
The Notes and Guarantees are referred to collectively as the "Offered
Securities." The Company and the Guarantors to be party to the Indenture on the
Closing Date are referred to collectively as the "Issuers."

          The Company and the Guarantors hereby agree with the several
Purchasers as follows:

             2.  Representations and Warranties of the Company. The Company
represents and warrants to, and agrees with, the several Purchasers that:

                 (a)  A preliminary offering circular and an offering circular
          relating to the Offered Securities to be offered by the Purchasers
          have been prepared by the Issuers. Such preliminary offering circular
          (the "Preliminary Offering Circular") and offering circular, as
          supplemented as of the date of this Agreement (the "Offering
          Circular"). On the date of this Agreement and on the Closing Date, the
          Offering Circular does not and will not include any untrue statement
          of a material fact or omit to state any material fact required to be
          stated therein or necessary in order to make the statements therein,
          in the light of the circumstances under which they were made, not

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          misleading. The preceding sentence does not apply to statements in or
          omissions from the Offering Circular based upon written information
          furnished to the Company by any Purchaser through Credit Suisse First
          Boston LLC ("CSFBC") specifically for use therein, it being understood
          and agreed that the only such information with respect to the Company
          is that described as such in Section 7(b) hereof. The Offering
          Circular, as of its date and as of the Closing Date, contains, or will
          contain, all of the information that, if requested by a prospective
          purchaser of the Notes, would be required to be provided to such
          prospective purchaser pursuant to Rule 144A(d)(4) under the Securities
          Act.

                 (b)  The Offered Securities have been duly authorized by each
          of the Issuers. When the Notes are delivered and paid for pursuant to
          this Agreement and the Indenture on the Closing Date, the Notes will
          have been duly executed, authenticated, issued and delivered and will
          conform to the description thereof contained in the Offering Circular
          and will constitute valid and legally binding obligations of the
          Company, entitled to the benefits provided in the Indenture and
          enforceable in accordance with their terms, subject to (i) bankruptcy,
          insolvency, reorganization, fraudulent conveyance, moratorium or other
          similar laws now or hereafter in effect relating to creditors' rights
          generally and (ii) general principles of equity (regardless of whether
          enforcement is considered in a proceeding in equity or at law) and the
          discretion of the court before which any proceeding therefor may be
          brought.

                 (c)  Each of the Issuers has been duly incorporated or
          organized and is an existing corporation or other entity in good
          standing under the laws of the State of Delaware, with power and
          authority (corporate and other organizational) to own its properties
          and conduct its business as described in the Offering Circular; and
          each of the Issuers is duly qualified to do business as a foreign
          corporation in good standing in all other jurisdictions in which its
          ownership or lease of property or the conduct of its business requires
          such qualification, except in such jurisdictions in which the failure
          to so qualify would not reasonably be expected to have, individually
          or in the aggregate, a material adverse effect on the business,
          properties, results of operations or condition (financial or other) of
          the Company and its subsidiaries taken as a whole ( a "Material
          Adverse Effect").

                 (d)  Each subsidiary of the Company listed on Schedule C hereto
          has been duly incorporated or organized and is an existing corporation
          or other entity in good standing under the laws of the jurisdiction of
          its incorporation, with power and authority (corporate and other
          organizational) to own its properties and conduct its business as
          described in the Offering Circular; and each subsidiary of the Company
          is duly qualified to do business as a foreign corporation in good
          standing in all other jurisdictions in which its ownership or lease of
          property or the conduct of its business requires such qualification,
          except in such jurisdictions in which the failure to so qualify would
          not reasonably be expected to have, individually or in the aggregate,
          a Material Adverse Effect; all of the issued and outstanding capital
          stock of each subsidiary of the Company has been duly authorized and
          validly issued and is fully paid and nonassessable; and the capital
          stock of each subsidiary owned by the Company, directly or through
          subsidiaries, is owned free from liens, encumbrances and defects,
          except as (i) would not reasonably be expected to have, individually
          or in the aggregate, a Material Adverse Effect, (ii) may exist or
          arise pursuant to or in connection with the existing credit agreement
          or (iii) disclosed in the Offering Circular.

                 (e)  The Indenture has been duly authorized by each Issuer; and
          when the Notes are delivered and paid for pursuant to this Agreement
          on the Closing Date, the Indenture will have been duly executed and
          delivered and will conform to the description thereof contained in the
          Offering Circular and the Indenture will constitute the valid and
          legally binding obligation of the

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          Issuers, enforceable in accordance with its terms, subject to
          bankruptcy, insolvency, fraudulent transfer, reorganization,
          moratorium and similar laws of general applicability relating to or
          affecting creditors' rights and to general equity principles.

                 (f)  Except as disclosed in the Offering Circular, there are no
          contracts, agreements or understandings between any Issuer and any
          person that would give rise to a valid claim against any Issuer or any
          Purchaser for a brokerage commission, finder's fee or other like
          payment in connection with the issuance and sale of the Notes.

                 (g)  No consent, approval, authorization, or order of, or
          filing with, any governmental agency or body or any court is required
          for the consummation of the transactions contemplated by this
          Agreement, the Registration Rights Agreement and the Offering Circular
          in connection with the issuance and sale of the Notes by the Company
          except for (i) the order of the Commission declaring the Exchange
          Offer Registration Statement or the Shelf Registration Statement (each
          as defined in the Registration Rights Agreement) effective, (ii) such
          consents, approvals, authorizations, orders or filings as may be
          required to be obtained or made under the Securities Act, the Trust
          Indenture Act of 1939, as amended (the "Trust Indenture Act") and
          applicable state securities laws as provided in the Registration
          Rights Agreement, (iii) such consents, approvals, authorizations,
          orders or filings as have been made or obtained, or (iv) as disclosed
          in the Offering Circular.

                 (h)  The execution, delivery and performance of the Indenture,
          this Agreement and the Registration Rights Agreement and the issuance
          and sale of the Notes and compliance with the terms and provisions
          thereof will not result in a breach or violation of any of the terms
          and provisions of, or constitute a default under, any statute, any
          rule, regulation or order of any governmental agency or body or any
          court, domestic or foreign, having jurisdiction over any Issuer or any
          subsidiary of any Issuer or any of their properties, or any agreement
          or instrument to which any Issuer or any such subsidiary is a party or
          by which any Issuer or any such subsidiary is bound or to which any of
          the properties of the Issuers or any such subsidiary is subject, or
          the charter, by-laws or other organizational documents of any Issuer
          or any such subsidiary, except for such breaches, violations and
          defaults (other than with respect to the charter of any Issuer or its
          subsidiaries) as would not, individually or in the aggregate,
          reasonably be expected to have a Material Adverse Effect, and each
          Issuer has full power and authority (corporate and other
          organizational) to authorize, issue and sell the Offered Securities as
          contemplated by this Agreement.

                 (i)  This Agreement has been duly authorized, executed and
          delivered by each Issuer.

                 (j)  Except as disclosed in the Offering Circular, the Issuers
          and their respective subsidiaries have good and marketable title to
          all real properties and good and valid title to all other properties
          and assets owned by them, in each case free from liens, encumbrances
          and defects, except for such failures to have such title and for such
          liens, encumbrances and defects as (i) would not reasonably be
          expected to have, individually or in the aggregate, a Material Adverse
          Effect, (ii) may exist or arise pursuant to or in connection with the
          existing credit agreement or (iii) disclosed in the Offering Circular;
          and except as disclosed in the Offering Circular, the Issuers and
          their respective subsidiaries hold any leased real or personal
          property under valid and enforceable leases, except for such failures
          to be so valid or enforceable as would not reasonably be expected to
          have, individually or in the aggregate, a Material Adverse Effect.

                 (k)  The Issuers and their respective subsidiaries possess
          adequate certificates, authorities

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          or permits issued by appropriate governmental agencies or bodies
          necessary to conduct the business now operated by them, except as
          would not reasonably be expected to have, individually or in the
          aggregate, a Material Adverse Effect, and have not received any notice
          of proceedings relating to the revocation or modification of any such
          certificate, authority or permit that would be reasonably expected to
          have, individually or in the aggregate, a Material Adverse Effect.

                 (l)  No labor dispute with the employees of the Issuers or any
          subsidiary exists or, to the knowledge of the Issuers, is threatened
          that would reasonably be expected to have, individually or in the
          aggregate, a Material Adverse Effect.

                 (m)  Except as disclosed in the Offering Circular, the Issuers
          and their respective subsidiaries own, possess or can acquire on
          reasonable terms adequate rights to use all material trademarks, trade
          names and other rights to inventions, know-how, patents, copyrights,
          confidential information and other intellectual property
          (collectively, "intellectual property rights") necessary to conduct
          the business now operated by them, or presently employed by them,
          except as would not reasonably be expected to have, individually or in
          the aggregate, a Material Adverse Effect, and have not received any
          notice of infringement of or conflict with asserted rights of others
          with respect to any intellectual property rights that would reasonably
          be expected to have, individually or in the aggregate, a Material
          Adverse Effect.

                 (n)  Except as disclosed in the Offering Circular, no Issuer or
          any of its subsidiaries is in violation of any applicable statute,
          rule, regulation, decision or order of any governmental agency or body
          or any court, domestic or foreign, relating to the use, disposal or
          release of hazardous or toxic substances or relating to the protection
          or restoration of the environment or human exposure to hazardous or
          toxic substances (collectively, "environmental laws"), owns or
          operates any real property contaminated with any substance that is
          subject to any applicable environmental laws, is liable for any
          off-site disposal or contamination pursuant to any applicable
          environmental laws, or is subject to any claim relating to any
          applicable environmental laws, which violation, contamination,
          liability or claim would reasonably be expected to have, individually
          or in the aggregate, a Material Adverse Effect; and, to the Company's
          knowledge, no such claim is threatened.

                 (o)  Except as disclosed in the Offering Circular, there are no
          pending actions, suits or proceedings against or affecting any of the
          Issuers, any of their respective subsidiaries or any of their
          respective properties that would reasonably be expected to have,
          individually or in the aggregate, a Material Adverse Effect, or would
          materially and adversely affect the ability of the Issuers to perform
          their respective obligations under the Indenture, this Agreement or
          the Registration Rights Agreement; and to the Issuers' knowledge, no
          such actions, suits or proceedings are threatened.

                 (p)  The historical consolidated financial statements
          (including the related notes) included in the Offering Circular
          present fairly in all material respects the financial position of the
          Company and its consolidated subsidiaries as of the dates shown and
          their results of operations and cash flows for the periods shown, and
          such financial statements have been prepared in conformity with
          generally accepted accounting principles in the United States applied
          on a consistent basis throughout the periods covered thereby; and the
          assumptions used in preparing the pro forma financial data included in
          the Offering Circular provide a reasonable basis for presenting the
          significant effects directly attributable to the transactions or
          events described therein, the related pro forma adjustments give
          appropriate effect to those assumptions, and the pro forma columns
          therein reflect the proper application of those adjustments to the
          corresponding historical financial

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          statement amounts.

                 (q)  Except as disclosed in the Offering Circular, since the
          date of the latest audited financial statements included in the
          Offering Circular there has been no development or event that would
          reasonably be expected to have, individually or in the aggregate, a
          Material Adverse Effect, and, except as disclosed in the Offering
          Circular, there has been no dividend or distribution of any kind
          declared, paid or made by the Company on any class of its capital
          stock.

                 (r)  The Company is exempt from reporting pursuant to Rule
          12g3-2(b) under the Securities Exchange Act of 1934 (the "Exchange
          Act").

                 (s)  The Company is not an open-end investment company, unit
          investment trust or face-amount certificate company that is required
          to be registered under Section 8 of the United States Investment
          Company Act of 1940 (the "Investment Company Act"); and the Company is
          not and, after giving effect to the offering and sale of the Notes and
          the application of the proceeds thereof as described in the Offering
          Circular, will not be an "investment company" as defined in the
          Investment Company Act.

                 (t)  No securities of the Company of the same class (within the
          meaning of Rule 144A(d)(3) under the Securities Act) as the Notes are
          listed on any national securities exchange registered under Section 6
          of the Exchange Act or quoted in a U.S. automated inter-dealer
          quotation system.

                 (u)  Assuming the accuracy of the representations, warranties
          and agreements of the Initial Purchasers contained in Section 4
          hereof, the offer and sale of the Notes by the Company and the offer
          of the Guarantees by the Guarantors to the several Purchasers in the
          manner contemplated by this Agreement will be exempt from the
          registration requirements of the Securities Act by reason of Section
          4(2) thereof and Regulation S thereunder and it is not necessary to
          qualify an indenture in respect of the Offered Securities under the
          United States Trust Indenture Act.

                 (v)  Neither the Company, nor any of its affiliates, nor any
          person acting on its or their behalf (other than the Purchasers, as to
          whom the Company makes no representation) (i) has, within the
          six-month period prior to the date hereof, offered or sold in the
          United States or to any U.S. person (as such terms are defined in
          Regulation S under the Securities Act) the Offered Securities or any
          security of the same class or series as the Offered Securities or (ii)
          has offered or will offer or sell the Offered Securities (A) in the
          United States by means of any form of general solicitation or general
          advertising within the meaning of Rule 502(c) under the Securities Act
          or (B) with respect to any such securities sold in reliance on Rule
          903 of Regulation S ("Regulation S") under the Securities Act, by
          means of any directed selling efforts within the meaning of Rule
          902(c) of Regulation S. The Issuers, their affiliates and any person
          acting on their behalf (other than the Purchasers, as to whom the
          Company makes no representation) have complied and will comply with
          the offering restrictions requirement of Regulation S. The Issuers
          have not entered and will not enter into any contractual arrangement
          with respect to the distribution of the Offered Securities except for
          this Agreement prior to its termination.

                 (w)  The statistical and market-related data included in the
          Offering Circular are based on or derived from sources that the
          Company reasonably believes to be reliable and accurate; and the
          Guarantors do not believe such sources to be unreliable or inaccurate.

                 (x)  There is no "substantial U.S. market interest" as defined
          in Rule 902(j) of Regulation

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          S in the Company's debt securities.

                 (y)  The Company (i) makes and keeps materially accurate books
          and records and (ii) maintains internal accounting controls that
          provide reasonable assurance that (A) transactions are executed in
          accordance with management's authorization, (B) transactions are
          recorded as necessary to permit preparation of its financial
          statements and to maintain accountability for its assets, (C) access
          to its assets is permitted only in accordance with management's
          authorization and (D) the reported accountability for its assets is
          compared with existing assets at reasonable intervals.

                 (z)  The Indenture conforms in all material respects to the
          requirements of the Trust Indenture Act and the rules and regulations
          of the Commission applicable to an indenture which is qualified
          thereunder.

                 (aa) On the Closing Date, the Guarantee of the Notes by each
          Guarantor will have been duly authorized by such Guarantor and will
          conform to the description thereof contained in the Offering Circular
          in all material respects. When the Notes have been issued, executed
          and authenticated in accordance with the Indenture and delivered to
          and paid for by the Purchasers in accordance with the terms of this
          Agreement, the Guarantee of each Guarantor will constitute a valid and
          legally binding obligation of such Guarantor, enforceable in
          accordance with its terms, subject to (i) bankruptcy, insolvency,
          reorganization, fraudulent conveyance, moratorium or other similar
          laws now or hereafter in effect relating to creditors' rights
          generally and (ii) general principles of equity (regardless of whether
          enforcement is considered in a proceeding in equity or at law) and the
          discretion of the court before which any proceeding therefor may be
          brought.

                 (bb) On the Closing Date, the Registration Rights Agreement
          will have been duly authorized, executed and delivered by the Issuers.
          When the Registration Rights Agreement has been duly executed and
          delivered, the Registration Rights Agreement will be a valid and
          binding agreement of the Issuers, enforceable against each Issuer in
          accordance with its terms, (x) except as to rights of indemnity or
          contribution, or both, that may be limited by state and federal laws
          or public policy underlying such laws and (y) subject to (i)
          bankruptcy, insolvency, reorganization, fraudulent conveyance,
          moratorium or other similar laws now or hereafter in effect relating
          to creditors' rights generally and (ii) general principles of equity
          (regardless of whether enforcement is considered in a proceeding in
          equity or at law) and the discretion of the court before which any
          proceeding therefor may be brought. On the Closing Date, the
          Registration Rights Agreement will conform as to legal matters to the
          description thereof in the Offering Circular in all material respects.

                 (cc) No Issuer or any of its subsidiaries is in violation of
          its respective charter, by-laws or other organizational documents or
          in default in any material respect in the performance of any
          obligation, agreement, covenant or condition contained in any
          indenture, loan agreement, mortgage, lease or other agreement or
          instrument, to which any Issuer or any of its subsidiaries is a party
          or by which any Issuer or any of its subsidiaries or their respective
          property is bound, except, in each case, as would not reasonably be
          expected to have, individually or in the aggregate, a Material Adverse
          Effect.

                 (dd) Neither the Company nor any of its subsidiaries nor any
          agent thereof acting on their behalf has taken, and none of them will
          take, any action that would cause this Agreement or the issuance or
          sale of the Notes to violate Regulation T, Regulation U or Regulation
          X of the Board of Governors of the Federal Reserve System.

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                 (ee) No "nationally recognized statistical rating organization"
          as such term is defined for purposes of Rule 436(g)(2) under the
          Securities Act (i) has imposed (or has informed any Issuer that it is
          considering imposing) any condition (financial or otherwise) on an
          Issuer retaining any rating assigned to any debt securities of such
          Issuer or (ii) has indicated to any Issuer that it is considering (a)
          the downgrading, suspension, or withdrawal of, or any review for a
          possible change that does not indicate the direction of the possible
          change in, any rating so assigned or (b) any change in the outlook for
          any rating on the debt securities of such Issuer.

                 (ff) No form of general solicitation or general advertising (as
          defined in Regulation D under the Securities Act) was used by the
          Issuers or any of their respective representatives (other than the
          Purchasers, as to whom the Issuers make no representation) in
          connection with the offer and sale of the Offered Securities
          contemplated hereby, including, but not limited to, articles, notices
          or other communications published in any newspaper, magazine or
          similar medium or broadcast over television or radio, or any seminar
          or meeting whose attendees have been invited by any general
          solicitation or general advertising. No securities of the same class
          as the Offered Securities have been issued and sold by any of the
          Issuers within the six-month period immediately prior to the date
          hereof.

                 (gg) Each of the Issuers has filed all necessary federal, state
          and foreign income and franchise tax returns, except where the failure
          to so file such returns would not reasonably be expected to have,
          individually or in the aggregate, a Material Adverse Effect, and has
          paid all taxes shown as due thereon; and other than tax deficiencies
          which the Issuers are contesting in good faith and for which adequate
          reserves have been provided in accordance with generally accepted
          accounting principles, there is no tax deficiency that has been
          asserted against the Company or any of its subsidiaries that would
          reasonably be expected to have, individually or in the aggregate, a
          Material Adverse Effect.

                 (hh) On the Closing Date, after giving effect to the offering
          and sale of the Notes and the application of the proceeds thereof as
          described in the Offering Circular, (i) the fair value and present
          fair saleable value of the assets of the Company and its subsidiaries
          on a going concern basis will exceed the sum of its stated liabilities
          and identified contingent liabilities; and (ii) each of the Company
          and its subsidiaries is not, nor will it be (a) left with unreasonably
          small capital with which to carry on its business as it is proposed to
          be conducted, (b) unable to pay its debts (contingent or otherwise) as
          they mature or (c) otherwise insolvent. In computing the amount of
          such contingent liabilities at any time, it is intended that such
          liabilities will be computed at the amount that, in the light of all
          the facts and circumstances existing at such time, represent the
          amount that can reasonably be expected to become an actual or matured
          liability.

             3.  Purchase, Sale and Delivery of Offered Securities. On the basis
of the representations, warranties and agreements herein contained, but subject
to the terms and conditions herein set forth, the Company agrees to sell to the
Purchasers, and the Purchasers agree, severally and not jointly, to purchase
from the Company the Notes, in the respective amounts of the Notes set forth
opposite the names of the several Purchasers in Schedule A hereto, at a purchase
price of 97.0% of the principal amount thereof.

          The Company will deliver against payment of the purchase price the
Notes in the form of one or more permanent global Securities in definitive form
(the "Global Securities") deposited with the Trustee as custodian for The
Depository Trust Company ("DTC") and registered in the name of Cede & Co., as
nominee for DTC. Interests in any permanent Global Securities will be held only
in book-entry form through DTC, except in the limited circumstances described in
the Offering Circular. Payment for the Notes shall be made by the Purchasers in
Federal (same day) funds by wire transfer to an account at a bank reasonably
acceptable to

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CSFBC drawn to such order as the Company shall direct. Delivery of the Global
Securities will be made at the office of Cahill Gordon & Reindel at 9:00 A.M.
(New York time), on January 24, 2003, or at such other time not later than seven
full business days thereafter as CSFBC and the Company determine, such time
being herein referred to as the "Closing Date", against delivery to the Trustee
as custodian for DTC of the Global Securities representing all of the Notes.

             4.  Representations by Purchasers; Resale by Purchasers.

                 (a)  Each Purchaser severally represents and warrants to the
          Company that it is an "accredited investor" within the meaning of
          Regulation D under the Securities Act.

                 (b)  Each Purchaser severally acknowledges that the Notes have
          not been registered under the Securities Act and may not be offered or
          sold within the United States or to, or for the account or benefit of,
          U.S. persons except in accordance with Regulation S or pursuant to an
          exemption from the registration requirements of the Securities Act.
          Each Purchaser severally represents and agrees that it has offered and
          sold the Notes, and will offer and sell the Notes, (i) as part of its
          distribution at any time and (ii) otherwise until the later of the
          commencement of the offering and the Closing Date, only in accordance
          with Rule 144A under the Securities Act ("Rule 144A") or Rule 903
          under the Securities Act. Accordingly, neither such Purchaser nor its
          affiliates, nor any persons acting on its or their behalf, has engaged
          or will engage in any directed selling efforts with respect to the
          Notes, and such Purchaser, its affiliates and all persons acting on
          its or their behalf have complied and will comply with the offering
          restrictions requirement of Regulation S. Each Purchaser severally
          agrees that, at or prior to confirmation of sale of the Notes, other
          than a sale pursuant to Rule 144A, such Purchaser will have sent to
          each distributor, dealer or person receiving a selling concession, fee
          or other remuneration that purchases the Notes from it during the
          restricted period a confirmation or notice to substantially the
          following effect:

                 "The Securities covered hereby have not been registered under
                 the U.S. Securities Act of 1933 (the "Securities Act") and may
                 not be offered or sold within the United States or to, or for
                 the account or benefit of, U.S. persons (i) as part of their
                 distribution at any time or (ii) otherwise until 40 days after
                 the later of the date of the commencement of the offering and
                 the closing date, except in either case in accordance with
                 Regulation S (or Rule 144A if available) under the Securities
                 Act. Terms used above have the meanings given to them by
                 Regulation S."

          Terms used in this subsection (b) have the meanings given to them by
          Regulation S.

                 (c)  Each Purchaser severally agrees that it and each of its
          affiliates has not entered and will not enter into any contractual
          arrangement with respect to the distribution of the Offered Securities
          except for any such arrangements with the other Purchasers or with the
          prior written consent of the Company.

                 (d)  Each Purchaser severally agrees that it and each of its
          affiliates will not offer or sell the Offered Securities in the United
          States by means of any form of general solicitation or general
          advertising within the meaning of Rule 502(c) under the Securities
          Act, including, but not limited to, (i) any advertisement, article,
          notice or other communication published in any newspaper, magazine or
          similar media or broadcast over television or radio, or (ii) any
          seminar or meeting whose attendees have been invited by any general
          solicitation or general advertising. Each Purchaser severally agrees,
          with respect to resales made in reliance on Rule 144A of any of the
          Offered Securities, to deliver either with the confirmation of such
          resale or otherwise prior to

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          settlement of such resale a notice to the effect that the resale of
          such Offered Securities has been made in reliance upon the exemption
          from the registration requirements of the Securities Act provided by
          Rule 144A.

             5.  Certain Agreements of the Issuers. The Company and as
applicable, each of the Issuers, agrees with the several Purchasers that:

                 (a)  The Company, on behalf of all of the Issuers, will advise
          CSFBC promptly of any proposal to amend or supplement the Offering
          Circular and will not effect such amendment or supplementation without
          CSFBC's consent (which consent shall not be unreasonably withheld).
          If, at any time prior to the completion of the resale of the Notes by
          the Purchasers, any event occurs as a result of which the Offering
          Circular as then amended or supplemented would include an untrue
          statement of a material fact or omit to state any material fact
          necessary in order to make the statements therein, in the light of the
          circumstances under which they were made, not misleading, or if it is
          necessary at any such time to amend or supplement the Offering
          Circular to comply with any applicable law, the Company, on behalf of
          all of the Issuers, promptly will notify CSFBC of such event and
          promptly will prepare, at its own expense, an amendment or supplement
          which will correct such statement or omission or effect such
          compliance. Neither CSFBC's consent to, nor the Purchasers' delivery
          to offerees or investors of, any such amendment or supplement shall
          constitute a waiver of any of the conditions set forth in Section 6.

                 (b)  The Company will furnish to CSFBC copies of any
          preliminary offering circular, the Offering Circular and all
          amendments and supplements to such documents, in each case as soon as
          available and in such quantities as CSFBC reasonably requests. At any
          time when the Offered Securities are outstanding and are "restricted
          securities" within the meaning of Rule 144(a)(3) under the Securities
          Act and the Issuers are not subject to Section 13 or 15(d) of the
          Exchange Act, the Company will promptly (or, in the case of any
          information relating to the Guarantors, upon request) furnish or cause
          to be furnished to CSFBC (and, upon request, to each of the other
          Purchasers) and, upon request of holders and prospective purchasers of
          the Offered Securities, to such holders and purchasers, copies of the
          information required to be delivered to holders and prospective
          purchasers of the Offered Securities pursuant to Rule 144A(d)(4) under
          the Securities Act (or any successor provision thereto) in order to
          permit compliance with Rule 144A in connection with resales by such
          holders of the Offered Securities. The Company will pay the expenses
          of printing and distributing to the Purchasers all such documents.

                 (c)  The Company will arrange for the qualification of the
          Notes for sale and the determination of their eligibility for
          investment under the laws of such jurisdictions in the United States
          and Canada as CSFBC reasonably designates and will continue such
          qualifications in effect so long as reasonably required for the
          initial resale of the Notes by the Purchasers, provided that none of
          the Issuers will be required to qualify as a foreign corporation or to
          file a general consent to service of process in any such jurisdiction
          or to subject any Issuer to taxation in respect of doing business in
          any state or jurisdiction in which such Issuer is not otherwise so
          subject.

                 (d)  During the period of two years hereafter, unless such
          documents are available electronically via the Electronic Data
          Gathering, Analysis, and Retrieval (EDGAR) system or any successor
          system maintained by the Commission, the Issuers will furnish to CSFBC
          and, upon request, to each of the other Purchasers, (i) as soon as
          available, a copy of each report or other document furnished by the
          Issuers to the Commission pursuant to Rule 12g3-2(b) under the
          Exchange Act.

                                       -9-

<PAGE>

                 (e)  During the period of two years after the Closing Date, the
          Company will, upon request, furnish to CSFBC, each of the other
          Purchasers and any holder of Notes a copy of the restrictions on
          transfer applicable to the Notes.

                 (f)  During the period of two years after the Closing Date, the
          Company will not, and will not permit any of their respective
          affiliates (as defined in Rule 144 under the Securities Act) to,
          resell any of the Offered Securities that have been reacquired by any
          of them, except for Notes purchased by the Company or any of its
          affiliates and resold in a transaction registered under the Securities
          Act.

                 (g)  During the period of two years after the Closing Date,
          none of the Issuers will be or become an open-end investment company,
          unit investment trust or face-amount certificate company that is or is
          required to be registered under Section 8 of the Investment Company
          Act.

                 (h)  The Company will pay all expenses incidental to the
          performance of its obligations under this Agreement, the Indenture and
          the Registration Rights Agreement, including (i) the fees and expenses
          of the Trustee and its professional advisers; (ii) all expenses in
          connection with the execution, issue, authentication, packaging and
          initial delivery of the Notes and, as applicable, the Exchange
          Securities (as defined in the Registration Rights Agreement), the
          preparation and printing of this Agreement, the Registration Rights
          Agreement, the Notes, the Indenture, the Offering Circular and
          amendments and supplements thereto, and any other document relating to
          the issuance, offer, sale and delivery of the Notes and, as
          applicable, the Exchange Securities; (iii) the cost of qualifying the
          Notes for trading in The Portal Market ("PORTAL") of The Nasdaq Stock
          Market, Inc. and any expenses incidental thereto; (iv) the cost of any
          advertising approved by the Company in connection with the issue of
          the Offered Securities; (v) any expenses (including reasonable fees
          and disbursements of counsel) incurred in connection with
          qualification of the Notes or the Exchange Securities for sale under
          the laws of such jurisdictions as CSFBC reasonably designates and the
          printing of memoranda relating thereto; (vi) any fees charged by
          investment rating agencies for the rating of the Offered Securities or
          the Exchange Securities and (vii) expenses incurred in distributing
          preliminary offering circulars and the Offering Circular (including
          any amendments and supplements thereto) to the Purchasers. The Company
          will reimburse the Purchasers for all travel expenses of the
          Purchasers' and the Issuers' officers and employees and any other
          expenses of the Purchasers and the Issuers in connection with
          attending or hosting meetings with prospective purchasers of the Notes
          from the Purchasers.

                 (i)  In connection with the offering, until CSFBC shall have
          notified the Company and the other Purchasers of the completion of the
          resale of the Notes, neither the Company nor any of their respective
          affiliates has or will, either alone or with one or more other
          persons, bid for or purchase for any account in which it or any of its
          affiliates has a beneficial interest any Notes or attempt to induce
          any person to purchase any Notes; and neither they nor any of their
          affiliates will make bids or purchases for the purpose of creating
          actual, or apparent, active trading in, or of raising the price of,
          the Notes.

                 (j)  For a period of 180 days after the date of the initial
          offering of the Offered Securities by the Purchasers, the Issuers will
          not offer, sell, contract to sell, pledge or otherwise dispose of,
          directly or indirectly, or file with the Commission a registration
          statement under the Securities Act with respect to, any United States
          dollar-denominated debt securities issued or guaranteed by any Issuer
          and having a maturity of more than one year from the date of issue, or
          publicly disclose the intention to make any such offer, sale, pledge
          or disposition, or filing, except (i) issuances of Exchange Securities
          pursuant to the Registration Rights Agreement or (ii) promissory notes
          or

                                      -10-

<PAGE>

          other debt securities issued or guaranteed in immaterial amounts in
          the ordinary course of business. The Issuers will not at any time
          offer, sell, contract to sell, pledge or otherwise dispose of,
          directly or indirectly, any securities under circumstances where such
          offer, sale, pledge, contract or disposition would cause the exemption
          afforded by Section 4(2) of the Securities Act to cease to be
          applicable to the offer and sale of the Notes.

                 (k)  The Issuers will apply the net proceeds from the sale of
          the Notes as set forth under "Use of Proceeds" in the Offering
          Circular.

             6.  Conditions of the Obligations of the Purchasers. The
obligations of the several Purchasers to purchase and pay for the Notes will be
subject to the accuracy of the representations and warranties on the part of the
Issuers herein, to the accuracy of the statements of officers of the Issuers
made pursuant to the provisions hereof, to the performance by the Issuers of
their respective obligations hereunder and to the following additional
conditions precedent:

                 (a)  The Purchasers shall have received a letter, dated the
          date of this Agreement, of PricewaterhouseCoopers LLP, substantially
          in the form of Exhibit B hereto or otherwise in form and substance
          reasonably satisfactory to the Purchasers concerning the financial
          information with respect to the Company set forth in the Offering
          Circular.

                 (b)  Subsequent to the execution and delivery of this
          Agreement, there shall not have occurred (i) any change, or any
          development or event that would reasonably be expected to result in a
          change, in the condition (financial or other), business, properties or
          results of operations of the Issuers and their respective subsidiaries
          taken as a whole which, in the reasonable judgment of a majority in
          interest of the Purchasers, including CSFBC is material and adverse
          and makes it impractical to proceed with completion of the offering or
          the sale of and payment for the Notes; (ii) any downgrading in the
          rating of any debt securities of the Issuers by any "nationally
          recognized statistical rating organization" (as defined for purposes
          of Rule 436(g) under the Securities Act), or any public announcement
          that any such organization has under surveillance or review its rating
          of any debt securities of the Issuers (other than an announcement with
          positive implications of a possible upgrading, and no implication of a
          possible downgrading, of such rating) or any announcement that the
          Company has been placed on negative outlook; (iii) any material
          adverse change in U.S. or international financial, political or
          economic conditions or currency exchange rates or exchange controls as
          would, in the reasonable judgment of a majority in interest of the
          Purchasers including CSFBC, be likely to prejudice materially the
          success of the proposed issue, sale or distribution of the Offered
          Securities, whether in the primary market or in respect of dealings in
          the secondary market; (iv) any material suspension or material
          limitation of trading in securities generally on the New York Stock
          Exchange or any setting of minimum prices for trading on such
          exchange, or any suspension of trading of any securities of the
          Issuers on any exchange or in the over-the-counter market; (v) any
          banking moratorium declared by U.S. Federal or New York authorities;
          (vi) any major disruption of settlements of securities or clearance
          services in the United States or (vii) any material attack on,
          outbreak or escalation of hostilities or act of terrorism involving
          the United States, any declaration of war by Congress or any other
          national or international calamity or emergency if, in the reasonable
          judgment of a majority in interest of the Purchasers including CSFBC,
          the effect of any such attack, outbreak, escalation, act, declaration,
          calamity or emergency makes it impractical to proceed with completion
          of the offering or sale of and payment for the Offered Securities.

                 (c)  The Purchasers shall have received an opinion, dated the
          Closing Date, of Debevoise & Plimpton, counsel for the Issuers,
          substantially in the form of Exhibit A hereto, or otherwise in form
          and substance reasonably satisfactory to the Purchasers:

                                      -11-

<PAGE>

                 (d)  The Purchasers shall have received from Cahill Gordon &
          Reindel, counsel for the Purchasers, such opinion or opinions, dated
          the Closing Date, with respect to the incorporation of the Issuers,
          the validity of the Notes, the Offering Circular, the exemption from
          registration for the offer and sale of the Offered Securities by the
          Issuers to the several Purchasers and the resales by the several
          Purchasers as contemplated hereby and other related matters as CSFBC
          may reasonably require, and the Issuers shall have furnished to such
          counsel such documents as they reasonably request for the purpose of
          enabling them to pass upon such matters.

                 (e)  The Purchasers shall have received a certificate, dated
          the Closing Date, of the President or any Vice President and a
          principal financial or accounting officer of each Issuer in which such
          officers shall state that, to their knowledge after due inquiry, the
          representations and warranties of the Issuers in this Agreement are
          true and correct, that the Issuers have complied with all agreements
          and satisfied all conditions on their part to be performed or
          satisfied hereunder at or prior to the Closing Date, and that, to
          their knowledge after due inquiry, subsequent to the dates of the most
          recent financial statements in the Offering Circular there has been no
          Material Adverse Effect, nor any development or event that would
          reasonably be expected to result in, individually or in the aggregate,
          a Material Adverse Effect, except as set forth in or contemplated by
          the Offering Circular.

                 (f)  The Purchasers shall have received a letter, dated the
          Closing Date, of PricewaterhouseCoopers LLP which meets the
          requirements of subsection (a) of this Section, except that the
          specified date referred to in such subsection will be a date not more
          than two days prior to the Closing Date for the purposes of this
          subsection.

                 (g)  The Company shall have furnished to the Purchasers such
          further certificates and documents confirming the representations and
          warranties, covenants and conditions contained herein and related
          matters (including with respect to subsection (i) below) as the
          Purchasers may reasonably have requested.

                 (h)  The Notes shall have been designated for trading on
          PORTAL.

                 (i)  Each of the Issuers and the Trustee shall have executed
          and delivered the Indenture in form and substance reasonably
          satisfactory to the Purchasers and the Indenture shall be in full
          force and effect.

                 (j)  Each of the Issuers shall have executed and delivered the
          Registration Rights Agreement in form and substance reasonably
          satisfactory to the Purchasers and the Registration Rights Agreement
          shall be in full force and effect.

                 (k)  The Purchasers shall have received a certificate, dated
          the Closing Date, of the President or any Vice President and a
          principal financial or accounting officer of the Company in which such
          officers shall state that, as of the Closing Date, to their knowledge
          after due inquiry, the representations and warranties set forth in
          Section 2(hh) of this Agreement are true and correct.

          The Company will furnish the Purchasers with such conformed copies of
such opinions, certificates, letters and documents as the Purchasers reasonably
request. CSFBC may in its sole discretion waive on behalf of the Purchasers
compliance with any conditions to the obligations of the Purchasers hereunder,
whether in respect of the Closing Date or otherwise.

                                      -12-

<PAGE>

             7.  Indemnification and Contribution.

                 (a)  The Issuers will indemnify and hold harmless each
          Purchaser, its partners, directors and officers and each person, if
          any, who controls such Purchaser within the meaning of Section 15 of
          the Securities Act, against any losses, claims, damages or
          liabilities, joint or several, to which such Purchaser may become
          subject, under the Securities Act or the Exchange Act or otherwise,
          insofar as such losses, claims, damages or liabilities (or actions in
          respect thereof) arise out of any untrue statement or alleged untrue
          statement of any material fact contained in the Offering Circular, or
          any amendment or supplement thereto, or any related preliminary
          offering circular, or arise out of or are based upon the omission or
          alleged omission to state therein a material fact required to be
          stated therein or necessary in order to make the statements therein,
          in the light of the circumstances under which they were made, not
          misleading, including any losses, claims, damages or liabilities
          arising out of or based upon the Issuers' failure to perform its
          obligations under Section 5(a) of this Agreement, and will reimburse
          each Purchaser for any legal or other expenses reasonably incurred by
          such Purchaser in connection with investigating or defending any such
          loss, claim, damage, liability or action as such expenses are
          incurred; provided, however, that the Issuers will not be liable in
          any such case to the extent that any such loss, claim, damage or
          liability arises out of or is based upon an untrue statement or
          alleged untrue statement in or omission or alleged omission from any
          of such documents in reliance upon and in conformity with written
          information furnished to the Issuers by any Purchaser through CSFBC
          specifically for use therein, it being understood and agreed that the
          only such information consists of the information described as such in
          subsection (b) below, and provided, further, that the foregoing
          indemnity with respect to the preliminary offering circular shall not
          inure to the benefit of any Purchaser from whom the person asserting
          any such losses, claims, damages or liabilities purchased Notes, to
          the extent that any such losses, claims, damages or liabilities of
          such Purchaser result solely from the fact that such Purchaser sold
          Notes to a person in an initial resale to whom there was not sent or
          given at or prior to the written confirmation of the sale of such
          Notes, a copy of the final offering circular (as amended and
          supplemented), if the Company had previously furnished copies thereof
          to such Purchaser sufficient to allow for a timely distribution prior
          to confirmation of the sale of such Notes to such person by such
          Purchaser and the losses, claims, damages or liabilities of such
          Purchaser result from an untrue statement or omission of a material
          fact contained in the preliminary offering circular, which was
          corrected in the final offering circular.

                 (b)  Each Purchaser will severally and not jointly indemnify
          and hold harmless each Issuer, its directors and officers and each
          person, if any, who controls such Issuer within the meaning of Section
          15 of the Securities Act, against any losses, claims, damages or
          liabilities to which such Issuer may become subject, under the
          Securities Act or the Exchange Act or otherwise, insofar as such
          losses, claims, damages or liabilities (or actions in respect thereof)
          arise out of or are based upon any untrue statement or alleged untrue
          statement of any material fact contained in the Offering Circular, or
          any amendment or supplement thereto, or any related preliminary
          offering circular, or arise out of or are based upon the omission or
          the alleged omission to state therein a material fact required to be
          stated therein or necessary in order to make the statements therein,
          in the light of the circumstances under which they were made, not
          misleading, in each case to the extent, but only to the extent, that
          such untrue statement or alleged untrue statement or omission or
          alleged omission was made in reliance upon and in conformity with
          written information furnished to the Issuers by such Purchaser through
          CSFBC specifically for use therein, and will reimburse any legal or
          other expenses reasonably incurred by the Company in connection with
          investigating or defending any such loss, claim, damage, liability or
          action as such expenses are incurred, it being understood and agreed
          that the only such information furnished by any Purchaser consists of
          the following information in the Offering Circular furnished on behalf
          of each Purchaser in the

                                      -13-

<PAGE>

          eighth and ninth paragraphs and the fourth sentence of the tenth
          paragraph under the caption "Plan of Distribution"; provided, however,
          that the Purchasers shall not be liable for any losses, claims,
          damages or liabilities arising out of or based upon the Company's
          failure, after notice of such failure is provided to the Company, to
          perform its obligations under Section 5(a) of this Agreement.

                 (c)  Promptly after receipt by an indemnified party under this
          Section of notice of the commencement of any action, such indemnified
          party will, if a claim in respect thereof is to be made against the
          indemnifying party under subsection (a) or (b) above, notify the
          indemnifying party of the commencement thereof; but the omission so to
          notify the indemnifying party will not relieve it from any liability
          which it may have to any indemnified party otherwise than under
          subsection (a) or (b) above. In case any such action is brought
          against any indemnified party and it notifies the indemnifying party
          of the commencement thereof, the indemnifying party will be entitled
          to participate therein and, to the extent that it may wish, jointly
          with any other indemnifying party similarly notified, to assume the
          defense thereof, with counsel reasonably satisfactory to such
          indemnified party (who shall not, except with the consent of the
          indemnified party, be counsel to the indemnifying party), and after
          notice from the indemnifying party to such indemnified party of its
          election so to assume the defense thereof, the indemnifying party will
          not be liable to such indemnified party under this Section for any
          legal or other expenses subsequently incurred by such indemnified
          party in connection with the defense thereof other than reasonable
          costs of investigation. No indemnifying party shall, without the prior
          written consent of the indemnified party, effect any settlement of any
          pending or threatened action in respect of which any indemnified party
          is or could have been a party and indemnity could have been sought
          hereunder by such indemnified party unless such settlement includes
          (i) an unconditional release of such indemnified party from all
          liability on any claims that are the subject matter of such action and
          (ii) does not include a statement as to or an admission of fault or
          failure to act by or on behalf of any indemnified party.

                 (d)  If the indemnification provided for in this Section is
          unavailable or insufficient to hold harmless an indemnified party
          under subsection (a) or (b) above, then each indemnifying party shall
          contribute to the amount paid or payable by such indemnified party as
          a result of the losses, claims, damages or liabilities referred to in
          subsection (a) or (b) above (i) in such proportion as is appropriate
          to reflect the relative benefits received by the Company on the one
          hand and the Purchasers on the other from the offering of the Offered
          Securities or (ii) if the allocation provided by clause (i) above is
          not permitted by applicable law, in such proportion as is appropriate
          to reflect not only the relative benefits referred to in clause (i)
          above but also the relative fault of the Issuers on the one hand and
          the Purchasers on the other in connection with the statements or
          omissions which resulted in such losses, claims, damages or
          liabilities as well as any other relevant equitable considerations.
          The relative benefits received by the Issuers on the one hand and the
          Purchasers on the other shall be deemed to be in the same proportion
          as the total net proceeds from the offering (before deducting
          expenses) received by the Issuers bear to the total discounts and
          commissions received by the Purchasers from the Issuers under this
          Agreement. The relative fault shall be determined by reference to,
          among other things, whether the untrue or alleged untrue statement of
          a material fact or the omission or alleged omission to state a
          material fact relates to information supplied by the Company or the
          Purchasers and the parties' relative intent, knowledge, access to
          information and opportunity to correct or prevent such untrue
          statement or omission. The amount paid by an indemnified party as a
          result of the losses, claims, damages or liabilities referred to in
          the first sentence of this subsection (d) shall be deemed to include
          any legal or other expenses reasonably incurred by such indemnified
          party in connection with investigating or defending any action or
          claim which is the subject of this subsection (d). Notwithstanding the

                                      -14-

<PAGE>

          provisions of this subsection (d), no Purchaser shall be required to
          contribute any amount in excess of the amount by which the total price
          at which the Notes purchased by it were resold exceeds the amount of
          any damages which such Purchaser has otherwise been required to pay by
          reason of such untrue or alleged untrue statement or omission or
          alleged omission. The Purchasers' obligations in this subsection (d)
          to contribute are several in proportion to their respective purchase
          obligations and not joint.

                 (e)  The obligations of the Issuers under this Section shall be
          in addition to any liability which the Issuers may otherwise have and
          shall extend, upon the same terms and conditions, to each person, if
          any, who controls any Purchaser within the meaning of the Securities
          Act or the Exchange Act; and the obligations of the Purchasers under
          this Section shall be in addition to any liability which the
          respective Purchasers may otherwise have and shall extend, upon the
          same terms and conditions, to each person, if any, who controls the
          Company within the meaning of the Securities Act or the Exchange Act.

             8.  Default of Purchasers. If any Purchaser or Purchasers default
in their obligations to purchase Notes hereunder and the aggregate principal
amount of Notes that such defaulting Purchaser or Purchasers agreed but failed
to purchase does not exceed 10% of the total principal amount of Notes, CSFBC
may make arrangements satisfactory to the Company for the purchase of such Notes
by other persons, including any of the Purchasers, but if no such arrangements
are made by the Closing Date, the non-defaulting Purchasers shall be obligated
severally, in proportion to their respective commitments hereunder, to purchase
the Notes that such defaulting Purchasers agreed but failed to purchase. If any
Purchaser or Purchasers so default and the aggregate principal amount of Notes
with respect to which such default or defaults occur exceeds 10% of the total
principal amount of Notes and arrangements satisfactory to CSFBC and the Company
for the purchase of such Notes by other persons are not made within 36 hours
after such default, this Agreement will terminate without liability on the part
of any non-defaulting Purchaser or the Issuers, except as provided in Section 9.
As used in this Agreement, the term "Purchaser" includes any person substituted
for a Purchaser under this Section. Nothing herein will relieve a defaulting
Purchaser from liability for its default.

             9.  Survival of Certain Representations and Obligations; Payment of
Expenses. The respective indemnities, agreements, representations, warranties
and other statements of the Issuers or its officers and of the several
Purchasers set forth in or made pursuant to this Agreement will remain in full
force and effect, regardless of any investigation, or statement as to the
results thereof, made by or on behalf of any Purchaser, the Issuers or any of
their respective representatives, officers or directors or any controlling
person, and will survive delivery of and payment for the Notes. If this
Agreement is terminated pursuant to Section 8 or if for any reason the purchase
of the Notes by the Purchasers is not consummated, the Company shall remain
responsible for the expenses to be paid or reimbursed by it pursuant to Section
5 and the respective obligations of the Issuers and the Purchasers pursuant to
Section 7 shall remain in effect. If the purchase of the Notes by the Purchasers
is not consummated for any reason other than solely because of the termination
of this Agreement pursuant to Section 8 or the occurrence of any event specified
in clause (iii), (iv), (v), (vi) or (vii) of Section 6(b), the Issuers will
reimburse the Purchasers for all reasonable out-of-pocket expenses (including
fees and disbursements of counsel) reasonably incurred by them in connection
with the offering of the Offered Securities.

             10. Notices. All communications hereunder will be in writing and,
if sent to the Purchasers will be mailed, delivered or telegraphed and confirmed
to the Purchasers, c/o Credit Suisse First Boston LLC, Eleven Madison Avenue,
New York, N.Y. 10010-3629, Attention: Investment Banking Department Transactions
Advisory Group, or, if sent to the Company, will be mailed, delivered or
telegraphed and confirmed to it at 870 Remington Drive, P.O. Box 700, Madison,
North Carolina 27025-0700, Attention:

                                      -15-

<PAGE>

Chief Financial Officer; provided, however, that any notice to a Purchaser
pursuant to Section 7 will be mailed, delivered or telegraphed and confirmed to
such Purchaser.

             11. Successors. This Agreement will inure to the benefit of and be
binding upon the parties hereto and their respective successors and the
controlling persons referred to in Section 7, and no other person will have any
right or obligation hereunder, except that holders of Offered Securities shall
be entitled to enforce the agreements for their benefit contained in the second
and third sentences of Section 5(b) hereof against the Issuers as if such
holders were parties thereto.

             12. Counterparts. This Agreement may be executed in any number of
counterparts, each of which shall be deemed to be an original, but all such
counterparts shall together constitute one and the same Agreement.

             13. Applicable Law; Submission to Jurisdiction.

          This Agreement and the rights and duties of the parties hereto
hereunder shall be governed by and construed and interpreted in accordance with
laws of the State of New York, without giving effect to its principles or rules
of conflict of laws to the extent such principles or rules are not mandatorily
applicable by statute and would require or permit the application of the laws of
another jurisdiction.

          Each Issuer hereby submits to the non-exclusive jurisdiction of the
Federal and state courts in the Borough of Manhattan in The City of New York in
any suit or proceeding arising out of or relating to this Agreement or the
transactions contemplated hereby.

                                      -16-

<PAGE>

          If the foregoing is in accordance with the Purchasers' understanding
of our agreement, kindly sign and return to us one of the counterparts hereof,
whereupon it will become a binding agreement between the Issuers and the several
Purchasers in accordance with its terms.

                                            Very truly yours,

                                            REMINGTON ARMS COMPANY, INC.

                                            By    /s/ Thomas L. Millner
                                               --------------------------------
                                               Name:  Thomas L. Millner
                                               Title: President and Chief
                                                       Executive Officer

                                            RBC HOLDING, INC.

                                            By    /s/ Mark A. Little
                                               --------------------------------
                                               Name:  Mark A. Little
                                               Title: Executive Vice President,
                                                       Chief Financial Officer
                                                       and Treasurer

                                            RA BRANDS, L.L.C.

                                            By    /s/ Thomas L. Millner
                                               --------------------------------
                                               Name:  Thomas L. Millner
                                               Title: President and Chief
                                                        Executive Officer

                                            RA FACTORS, INC.

                                            By    /s/ Mark A. Little
                                               --------------------------------
                                               Name:  Mark A. Little
                                               Title: Executive Vice President,
                                                       Chief Financial Officer
                                                       and Treasurer

                                      -17-

<PAGE>

The foregoing Purchase Agreement
  is hereby confirmed and accepted
  as of the date first above written.

CREDIT SUISSE FIRST BOSTON LLC
GOLDMAN, SACHS & CO.
WACHOVIA SECURITIES, INC.

  Acting on behalf of themselves
  and as the Representatives of
  the several Purchasers

CREDIT SUISSE FIRST BOSTON LLC

By:    /s/ Edward P. Garden
    ------------------------------
    Name:  Edward P. Garden
    Title: Managing Director

GOLDMAN, SACHS & CO.

By:  /s/ Goldman, Sachs & Co.
    ------------------------------
        (GOLDMAN, SACHS & CO.)

WACHOVIA SECURITIES, INC.

By:    /s/ Trip Morris
    ------------------------------
    Name:  Trip Morris
    Title: Vice President

                                      -18-

<PAGE>

                                   SCHEDULE A

                                                       PRINCIPAL AMOUNT OF
                  MANAGERS                             OFFERED SECURITIES
                  --------                             -------------------
Credit Suisse First Boston LLC.....................    $       140,000,000
Goldman, Sachs & Co................................             40,000,000
Wachovia Securities, Inc...........................             20,000,000
                                                       -------------------
                          Total....................    $       200,000,000
                                                       ===================

<PAGE>

                                   SCHEDULE B

Guarantors

RBC Holding, Inc.

RA Brands, L.L.C.

RA Factors, Inc.

<PAGE>

                                   SCHEDULE C

Subsidiaries

RBC Holding, Inc.

RA Brands, L.L.C.

RA Factors, Inc.<PAGE>

                                                                    EXHIBIT 10.9

                                                                  CONFORMED COPY

================================================================================

                              INVESTMENT AGREEMENT

                                      among

                               RACI HOLDING, INC.

                                       and

                 THE CLAYTON AND DUBILIER PRIVATE EQUITY FUND IV
                               LIMITED PARTNERSHIP

                                       and

                   BRUCKMANN, ROSSER, SHERRILL & CO. II, L. P.

                          Dated as of December 19, 2002

================================================================================

<PAGE>

                                                                  CONFORMED COPY

                                TABLE OF CONTENTS

                                                                     PAGE
                                                                     ----

ARTICLE I INVESTMENT ...................................................2

    1.1  Sale and Purchase of Shares....................................2
    1.2  Closing........................................................2

ARTICLE II REPRESENTATIONS AND WARRANTIES OF C&D FUND IV ...............3

    2.1  Organization...................................................3
    2.2  Authorizations, etc............................................3
    2.3  No Conflicts; Consents and Approvals, etc......................3

ARTICLE III REPRESENTATIONS AND WARRANTIES OF RACI .....................4

    3.1  Corporate Status and Authority.................................4
    3.2  No Conflicts; Consents and Approvals, etc......................5
    3.3  Capitalization.................................................5
    3.4  Title to Investor Shares.......................................6
    3.5  Material Subsidiaries..........................................6
    3.6  SEC Reports and Financial Statements...........................6
    3.7  Absence of Undisclosed Liabilities.............................7
    3.8  Real Property; Assets..........................................7
    3.9  Contracts......................................................8
    3.10 Employment Matters, etc........................................8
    3.11 Intellectual Property..........................................9
    3.12 Governmental Authorizations; Compliance with Law..............10
    3.13 Litigation....................................................10
    3.14 Taxes   ......................................................11
    3.15 Absence of Changes............................................11
    3.16 Environmental Matters.........................................12
    3.17 Affiliate Transactions........................................13
    3.18 Brokers.......................................................13

ARTICLE IV REPRESENTATIONS AND WARRANTIES OF THE INVESTOR .............13

    4.1  Corporate Status and Authority................................13
    4.2  No Conflicts; Consents and Approvals, etc.....................14
    4.3  Financial Ability to Perform..................................14
    4.4  Litigation....................................................14
    4.5  Investment Intention..........................................14
    4.6  Ability to Bear Risk..........................................15
    4.7  Access to Information.........................................15

                                        i

<PAGE>

                                                                  CONFORMED COPY

                                TABLE OF CONTENTS
                                   (continued)

                                                                     PAGE
                                                                     ----

    4.8  Brokers.......................................................15

ARTICLE V COVENANTS ...................................................15

    5.1  Satisfaction of Closing Conditions............................15
    5.2  Access and Information........................................16
    5.3  Publicity.....................................................16
    5.4  Conduct of Business, etc......................................16
    5.5  Certain Transactions..........................................17
    5.6  Compliance with Securities Laws...............................20
    5.7  Legends.......................................................20

ARTICLE VI CONDITIONS PRECEDENT .......................................22

    6.1  Conditions to Obligations of Both Parties.....................22
    6.2  Conditions to Obligations of RACI.............................22
    6.3  Conditions to Obligations of the Investor.....................23

ARTICLE VII DEFINITIONS ...............................................24

    7.1  Definition of Certain Terms...................................24

ARTICLE VIII GENERAL PROVISIONS .......................................29

    8.1  Non-survival of Representations, Warranties and Agreements....29
    8.2  Modification; Waiver..........................................30
    8.3  Entire Agreement..............................................30
    8.4  Certain Limitations...........................................30
    8.5  Termination...................................................30
    8.6  Fees and Expenses.............................................32
    8.7  Further Actions...............................................32
    8.8  Notices.......................................................32
    8.9  Assignment....................................................33
    8.10 No Third Party Beneficiaries..................................34
    8.11 Counterparts..................................................34
    8.12 Interpretation................................................34
    8.13 Governing Law.................................................34
    8.14 Consent to Jurisdiction, etc..................................34
    8.15 Specific Performance..........................................35
    8.16 Waiver of Punitive and Other Damages and Jury Trial...........35

                                       ii

<PAGE>

                                                                  CONFORMED COPY

                              INVESTMENT AGREEMENT

         INVESTMENT AGREEMENT, dated as of December 19, 2002, among Bruckmann,
Rosser, Sherrill & Co. II, L. P., a Delaware limited partnership, (the
"Investor"), RACI Holding, Inc., a Delaware corporation ("RACI") and The Clayton
and Dubilier Private Equity Fund IV Limited Partnership ("C&D Fund IV").
Capitalized terms used in this Agreement have the meanings set forth in Article
VII.

         WHEREAS, C&D Fund IV owns 750,000 shares of Class A common stock, par
value $.01 per share, of RACI ("Common Stock"), representing approximately 87.1
% of the capital stock of RACI, on a fully-diluted basis, taking into account
all Options and Deferred Shares;

         WHEREAS, the Investor wishes to subscribe for and purchase from RACI
shares of Common Stock and RACI wishes to issue the Investor Shares to the
Investor, on the terms and conditions and for the consideration set forth in
this Agreement (the "Investment");

         WHEREAS, certain employees, members of management and directors of RACI
and its wholly-owned subsidiary, Remington Arms Company, Inc., a Delaware
corporation ("Remington", and together with RACI, the "Company") may wish to
subscribe for and purchase from RACI additional shares of Common Stock for an
aggregate purchase price of up to $6 million;

         WHEREAS, Remington proposes to refinance the indebtedness under (i) its
9.5% Senior Subordinated Notes due 2003, governed by the Indenture, dated
November 30, 1993 (the "Existing Indenture" and such indebtedness, the "Existing
High Yield Debt"), which will mature on December 1, 2003, and to issue new
senior notes in an aggregate amount equal to at least $175 million (the "New
High Yield Debt"), and (ii) its $170 million revolving credit facility (the
"Existing Credit Facility") made available under the Credit Agreement, dated
November 30, 1993 (the "Existing Credit Agreement"), and to enter into a new
senior secured credit agreement for an amount equal to at least $100 million
(the "New Credit Facility");

         WHEREAS, RACI wishes to (i) repurchase a portion of the outstanding
shares of Common Stock at a per share purchase price equal to the Purchase Share
Price (as defined below) in cash and the issuance of a senior note or notes, and
(ii) to cancel, redeem, repurchase or make a special payment in respect of all
or a portion of the vested Options and Deferred Shares on the terms and
conditions set forth in this Agreement;

         WHEREAS, C&D Fund IV wishes to sell a portion of its shares of Common
Stock to RACI; and

<PAGE>

         WHEREAS, RACI, the Investor and C&D Fund IV propose to enter into a
shareholders agreement that will govern their relationship following the closing
of the Investment,

         NOW, THEREFORE, the parties agree as follows:

                                    ARTICLE I

                                   INVESTMENT

         1.1   Sale and Purchase of Shares.

         Subject to all of the terms and conditions of this Agreement and in
reliance upon the representations and warranties contained in this Agreement, at
the Closing provided for in Section 1.2, the Investor hereby subscribes for and
will purchase, and RACI will issue and sell to the Investor, 136,171 shares of
Common Stock (the "Investor Shares") for a cash purchase price at $220.31 per
share (the "Purchase Share Price") for an aggregate purchase price of
$29,999,833.00 (the "Aggregate Purchase Price"), which Investor Shares,
immediately following the Closing, will, after giving effect to the transactions
contemplated by this Agreement (including the Repurchase), represent no less
than 48% of the capital stock of RACI on a fully-diluted basis, taking into
account all Options, Deferred Shares and other securities but excluding (a) any
Options, Deferred Shares and other securities that may be granted or issued by
RACI's board of directors after the Closing in accordance with the Shareholders
Agreement and (b) Deferred Shares that may be granted pursuant to the Election
Forms with a fair market value (as defined in the Remington Stock Plans) on the
date the cash portion of the applicable employee's bonus is paid equal to an
aggregate amount of up to $788,640.00.

         1.2   Closing.

               (a)   The closing of the purchase and sale of the Investor Shares
contemplated by this Agreement (the "Closing") will take place at the offices of
Debevoise & Plimpton, 919 Third Avenue, New York, New York 10022 at 10:00 A.M.
New York City time on the third Business Day following the satisfaction or
waiver of the conditions set forth in Article VI or at such other place, time or
date as the parties may agree in writing (the "Closing Date").

               (b)   At the Closing:

               (i)   RACI will deliver to the Investor a stock certificate
         registered in the Investor's name and representing the Investor Shares,
         which certificate will bear the legends set forth in Section 5.7; and

                                        2

<PAGE>

               (ii)  the Investor will deliver an amount equal to the Aggregate
         Purchase Price in immediately available funds by wire transfer to an
         account of RACI, which account will be designated in writing by RACI at
         least two Business Days prior to the Closing Date.

                                   ARTICLE II

                  REPRESENTATIONS AND WARRANTIES OF C&D FUND IV

         C&D Fund IV represents and warrants to the Investor as follows:

         2.1   Organization.

         C&D Fund IV has been duly organized and is an existing limited
partnership in good standing under the laws of the State of Connecticut.

         2.2   Authorizations, etc.

         C&D Fund IV has full right, power and authority to enter into this
Agreement and the other Transaction Agreements to which it is a party to perform
fully its obligations under this Agreement and the other Transaction Agreements
to which it is a party. This Agreement and the other Transaction Agreements to
which it is a party have been or will be at the Closing duly executed and
delivered by C&D Fund IV and constitute or will constitute the legal, valid and
binding obligations of C&D Fund IV enforceable against it in accordance with
their respective terms, except as limited by laws affecting the enforcement of
creditors' rights generally or by general equitable principles.

         2.3   No Conflicts; Consents and Approvals, etc.

               (a)   The execution, delivery and performance by C&D Fund IV of
this Agreement and the other Transaction Agreements to which it is a party and
the consummation of the transactions contemplated hereby and thereby, do not and
will not (with or without the giving of notice, the lapse of time, or both)
result in a violation or breach of, or require approval under (i) any Applicable
Law applicable to C&D Fund IV or any of the properties or assets of C&D Fund IV
or (ii) any Contract to which C&D Fund IV is a party or by which C&D Fund IV or
any of its properties or assets may be bound or affected, except in the case of
clause (ii) for such violations, breaches or approvals which would not,
individually or in the aggregate, reasonably be expected to have a Material
Adverse Effect or materially impair the ability of C&D Fund IV to consummate the
transactions contemplated by this Agreement and for the Consent of the general
partner of C&D Fund IV, and the Consent of the limited partners of C&D Fund IV
in connection with the Additional Investment, to the extent required under the
terms of the C&D Fund IV Limited Partnership Agreement.

                                        3

<PAGE>

               (b)   No Governmental Approval is required to be obtained by C&D
Fund IV in connection with the execution and delivery of this Agreement and the
other Transaction Agreements to which it is a party or the consummation of the
transactions contemplated hereby and thereby, except where the failure to do so
would not, individually or in the aggregate, reasonably be expected to have or
result in a Material Adverse Effect or materially impair the ability of C&D Fund
IV to consummate the transactions contemplated by this Agreement.

                                   ARTICLE III

                     REPRESENTATIONS AND WARRANTIES OF RACI

         Except as disclosed in the SEC Reports filed prior to the date of this
Agreement, RACI represents and warrants to the Investor as follows:

         3.1   Corporate Status and Authority.

               (a)   RACI. RACI is a corporation duly organized and validly
existing under the laws of the State of Delaware and has all requisite corporate
power and authority to own, lease and operate its properties and to carry on its
business as presently conducted. RACI is duly qualified and in good standing (if
applicable) as a foreign corporation duly authorized to do business in all
jurisdictions in which the failure to be so qualified would reasonably be
expected to have a Material Adverse Effect. The execution, delivery and
performance of this Agreement (other than the Repurchase) and the other
Transaction Agreements to which it is a party have been duly authorized by
RACI's board of directors, which constitutes all necessary corporate action on
the part of RACI for such authorization. This Agreement has been and the other
Transaction Agreements to which RACI is a party will have been duly executed and
delivered by RACI and constitutes or will constitute the valid and binding
obligation of RACI, enforceable against RACI in accordance with their respective
terms, except as limited by laws affecting the enforcement of creditors' rights
generally or by general equitable principles.

               (b)   Significant Subsidiaries. Each of the significant
subsidiaries (as defined in Rule 1-02 of Regulation S-X promulgated by the SEC
under the Securities Act) of RACI, including Remington (collectively, the
"Material Subsidiaries"), is a corporation, partnership or other legal entity
duly organized and validly existing and in good standing (if applicable) under
the laws of its jurisdiction of organization and has all requisite power and
authority to own, lease and operate its properties and to carry on its business
as presently conducted. Each Material Subsidiary is duly qualified and in good
standing (if applicable) as a foreign corporation duly authorized to do business
in all jurisdictions in which the failure to be so qualified would reasonably be
expected to have a Material Adverse Effect.

                                        4

<PAGE>

         3.2   No Conflicts; Consents and Approvals, etc.

               (a)   The execution and delivery of this Agreement and the other
Transaction Agreements to which it is a party by RACI and the performance of its
obligations hereunder and thereunder will not result in (i) any violation of the
Organizational Documents of RACI or any of its Material Subsidiaries, (ii) any
breach or violation of or default under any Applicable Law applicable to RACI or
any Material Contract to which RACI or any of its Material Subsidiaries is a
party or by which any of them or their respective properties or assets are bound
or (iii) the creation or imposition of any Liens other than Liens created by or
resulting from the actions of the Investor or any of its Affiliates, except in
the case of clauses (ii) and (iii) for such breaches, violations or defaults and
such Liens which would not, individually or in the aggregate, reasonably be
expected to have a Material Adverse Effect, and for Consents required under the
Existing Credit Agreement and the Existing Indenture, which agreements will be
terminated at the Closing.

               (b)   No Governmental Approval is required to be obtained by RACI
or any of its Material Subsidiaries in connection with the execution and
delivery of this Agreement and the other Transaction Agreements to which it is a
party or the consummation of the transactions contemplated hereby except where
the failure to do so would not, individually or in the aggregate, reasonably be
expected to have a Material Adverse Effect.

         3.3   Capitalization.

               (a)   Capital Stock. The authorized capital stock of RACI
consists of (i) 1,250,000 shares of Common Stock, of which, as at the date of
this Agreement, 771,839 shares are issued and outstanding, and (ii) 1,250,000
shares of Class B Common Stock, par value $.01 per share, of which none are
issued and outstanding.

               (b)   Remington Stock Plans. There are 184,580 shares of Common
Stock reserved for issuance to certain employees, officers and directors of the
Company pursuant to the Amended and Restated RACI Holding, Inc. Stock Option
Plan (the "Option Plan"), the RACI Holding, Inc. 1994 Director Stock Plan (the
"1994 Director Stock Plan"), the RACI Holding, Inc. Stock Purchase Plan (the
"1994 Director Stock Purchase Plan"), the RACI Holding, Inc. Director Stock
Purchase Plan (the "1997 Director Stock Purchase Plan"), the RACI Holding, Inc.
Director Stock Option Plan (the "Director Stock Option Plan") and the RACI
Holding, Inc. Stock Incentive Plan (the "1999 Stock Incentive Plan", and
together with the Option Plan, the 1994 Director Stock Plan, the 1994 Director
Stock Purchase Plan, the 1997 Director Stock Option Plan, the "Remington Stock
Plans"). As at the date of this Agreement, there were grants for 24,191 deferred
shares of Common Stock made under the Remington Stock Plans (the

                                        5

<PAGE>

"Deferred Shares"), and options to purchase 65,527 shares of Common Stock
outstanding under the Remington Stock Plans (the "Options").

               (c)   Agreements with Respect to Common Stock. There are no
phantom stock, profit participation or similar securities of RACI outstanding
and no preemptive or similar rights on the part of any holder of any class of
securities of RACI, other than such rights as may be set forth in the
Registration and Participation Agreement, as included in the Options and
Deferred Shares, or relating to normal cash bonuses under annual bonus plans.
Except for the Options, the Deferred Shares and the Election Forms, no options,
warrants, conversion or other rights, agreements, commitments, arrangements or
understandings of any kind obligating RACI, contingently or otherwise, to issue
or sell any shares of its capital stock of any class or any securities
convertible into or exchangeable for any such shares are outstanding, and no
authorization therefor has been given.

         3.4   Title to Investor Shares.

         The Investor Shares, when issued, delivered and paid for in accordance
with Section 1.2, will be duly and validly issued, fully paid and
non-assessable, and free and clear of any Liens other than the restrictions on
transfer set forth in this Agreement and the Shareholders Agreement.

         3.5   Material Subsidiaries.

         All of the issued and outstanding shares or other ownership interests
of each Material Subsidiary are owned directly or indirectly by RACI, free and
clear of all Liens except for Liens created or to be created under any of the
Financing Agreements, and have been duly authorized and validly issued and are
fully paid and non-assessable. There are no outstanding options, warrants,
conversion or other rights or agreements, commitments, arrangements or
understandings of any kind for the purchase or acquisition from, or the sale or
issuance by, RACI or any of its Material Subsidiaries of any shares of capital
stock of any of such Material Subsidiaries, and no authorization therefor has
been given.

         3.6   SEC Reports and Financial Statements.

               (a)   Since January 1, 2000, RACI has timely filed with the SEC
all forms and documents required to be filed by it pursuant to the Existing
Indenture under the Securities Act and the Exchange Act (collectively, the "SEC
Reports"). As of their respective dates, the SEC Reports (i) did not contain any
untrue statement of a material fact or omit to state a material fact required to
be stated therein or necessary in order to make the statements therein, in light
of the circumstances under which they were made, not misleading and (ii)
complied as to form in all material respects with the applicable

                                        6

<PAGE>

requirements of the Exchange Act and the Securities Act, as applicable, and the
applicable rules and regulations of the SEC thereunder.

               (b)   The consolidated financial statements included in the SEC
Reports (including the September 2002 Balance Sheet) have been prepared in
accordance with U.S. GAAP applied on a consistent basis during the periods
involved (except as otherwise noted therein and except that the quarterly
financial statements are subject to year-end adjustment and do not contain all
footnote disclosures required by U.S. GAAP) and fairly present in all material
respects the consolidated financial position and the consolidated results of
operations and cash flows of RACI and its consolidated Subsidiaries as at the
dates thereof or for the periods presented therein.

         3.7   Absence of Undisclosed Liabilities.

         Except (i) as and to the extent reflected on and reserved against in
the September 2002 Balance Sheet, (ii) as disclosed in the SEC Reports filed
with the SEC and publicly available prior to the date of this Agreement and in
any amendments filed with respect thereto prior to the date of this Agreement
(the "Filed SEC Reports") or (iii) for liabilities or obligations incurred in
the ordinary course of business since September 30, 2002 that are not material
to the business conducted by RACI and its Subsidiaries and for borrowings made
in the ordinary course of business under the Existing Credit Agreement, RACI and
its Subsidiaries have not incurred any liabilities or obligations that would be
required to be reflected or reserved against in a consolidated balance sheet of
RACI and its consolidated Subsidiaries prepared in accordance with U.S. GAAP in
a manner consistent with the financial statements and balance sheets contained
in the Filed SEC Reports or reflected in the notes thereto.

         3.8   Real Property; Assets.

               (a)   RACI and its Subsidiaries have good and marketable title to
all material items of real property owned by RACI or its Subsidiaries (the
"Owned Real Property") and valid leasehold interests in all material items of
real property leased by RACI or its Subsidiaries (the "Leased Real Property"),
in each case free and clear of all Liens except for Permitted Liens.

               (b)   Each lease (including any option to purchase contained
therein) pursuant to which RACI or its Subsidiary leases any Leased Real
Property (the "Leases") is in full force and effect and, to the knowledge of
RACI, is enforceable against the landlord which is party thereto in accordance
with its terms. There exists no material default or event of default (or any
event that with notice or lapse of time or both would become a material default)
on the part of RACI or any of its Subsidiaries under any Leases. Neither RACI
nor any of its Subsidiaries has received any written notice of any

                                        7

<PAGE>

default under any lease by which RACI or any of its Subsidiaries leases the
Leased Real Property nor any other written termination notice with respect
thereto.

               (c)   RACI and its Subsidiaries have legal and beneficial
ownership of all of their respective tangible personal property and assets
included in the September 2002 Balance Sheet, except for properties and assets
disposed of in the ordinary course of business since the date of the September
2002 Balance Sheet, in each case free and clear of all Liens, except for
Permitted Liens. Except as would not reasonably be expected to have a Material
Adverse Effect, RACI and its Subsidiaries own or have the right to use all of
the properties and assets necessary for the conduct of their business as
currently conducted. Each such tangible asset has been maintained in accordance
with normal industry practice, is in good operating condition and repair
(subject to normal wear and tear) and is suitable for the purpose for which it
is currently used.

         3.9   Contracts.

         Each material contract (as defined in Rule 601(10) of Regulation S-K
promulgated by the SEC under the Securities Act) of RACI and its Subsidiaries
(collectively, the "Material Contracts") is a valid and binding agreement of
RACI or one of its Subsidiaries and is in full force and effect. Neither RACI
nor any of its Subsidiaries nor, to the knowledge of RACI, any other Person is
in default under any Material Contract, except for such defaults which would
not, individually or in the aggregate, reasonably be expected to have a Material
Adverse Effect.

         3.10  Employment Matters, etc.

               (a)   ERISA. All Plans subject to the Employee Retirement Income
Security Act of 1974, as amended ("ERISA"), currently maintained or contributed
to by RACI or any of its Subsidiaries (the "ERISA Plans") comply in all respects
with their terms and the requirements of ERISA and the Internal Revenue Code of
1986, as amended (the "Code"), except for any failures to comply that would not,
individually or in the aggregate, reasonably be expected to have a Material
Adverse Effect. No ERISA Plan (other than a multiemployer plan as defined in
Section 3(37) of ERISA) to which RACI or any member of the same controlled group
of corporations as RACI within the meaning of Section 4001(a)(3) of ERISA
contributes and that is subject to Part 3 of Subtitle B of Title I of ERISA has
incurred any "accumulated funding deficiency" within the meaning of Section 302
of ERISA or Section 412 of the Code; no material liability (other than for
annual premiums) to the Pension Benefit Guaranty Corporation has been incurred
by RACI or any of its Subsidiaries with respect to any such ERISA Plan; and to
the knowledge of RACI, no "reportable event," within the meaning of Section 4043
of ERISA, has occurred with respect to any ERISA Plan that is subject to Title
IV of ERISA that would reasonably be expected to result in the termination of
such ERISA Plan. None of RACI or any of its Subsidiaries has incurred any
liability for any tax or penalty

                                        8

<PAGE>

imposed by Section 4975 of the Code or Section 502(i) of ERISA, except for any
liabilities that would not, individually or in the aggregate, reasonably be
expected to have a Material Adverse Effect. No ERISA Plan is a multiemployer
plan, as defined in Section 3(37) of ERISA. There are no pending or, to the
knowledge of RACI, threatened claims by or on behalf of any of the ERISA Plans
or by any employee involving any such plan (other than routine claims for
benefits), except for any claims that would not, individually or in the
aggregate, reasonably be expected to have a Material Adverse Effect. All
contributions required to have been made by RACI or any of its Subsidiaries to
any ERISA Plan or to any other employee benefit plan (within the meaning of
Section 3(3) of ERISA) under the terms of any such plan or pursuant to any
applicable collective bargaining agreement or Applicable Law (including ERISA
and the Code) have been timely made.

               (b)   Tax Qualification. Each ERISA Plan intended to be qualified
under Section 401(a) of the Code, has received a favorable determination letter
from the IRS as to its qualification under the Code, and, to knowledge of RACI,
nothing has occurred since the date of such determination letter that will
adversely affect such qualification.

               (c)   Triggering Events. Except as otherwise provided in this
Agreement, neither the execution of this Agreement nor the consummation of the
transactions described in this Agreement by themselves will require a payment,
or cause acceleration of vesting of a right to payment, under any Material
Contract within the meaning of Rule 601(10)(iii) of Regulation S-K promulgated
by the SEC under the Securities Act. The consummation of the transactions
contemplated by this Agreement will not (either alone or upon the occurrence of
additional acts or events) result in any payment under any Plan or employment
agreement that would constitute an "excess parachute payment" for purposes of
Section 280G or 4999 of the Code.

         3.11  Intellectual Property.

               (a)   Except as would not individually or in the aggregate
reasonably be expected to have a Material Adverse Effect, RACI or a Subsidiary
owns (the "Owned Intellectual Property"), free and clear of all Liens except for
Permitted Liens, or is licensed to use all trademarks, trade names, service
marks, copyrights and patents that are registered or subject to an application
for registration (collectively, "Intellectual Property") and necessary for the
conduct of the business of RACI or any of its Subsidiaries. RACI and its
Subsidiaries have taken commercially reasonable steps in accordance with normal
industry practice to protect and maintain in force the Owned Intellectual
Property and to protect the confidentiality of trade secrets used in the
operation of the business. To RACI's knowledge, except for infringements,
claims, demands, proceedings and defects in rights that would not, individually
or in the aggregate, reasonably be expected to have a Material Adverse Effect,
(x) the use of the

                                        9

<PAGE>

Owned Intellectual Property by RACI and its Subsidiaries as currently used does
not infringe on the Intellectual Property rights of any Person and (y) there is
no claim or demand of any Person or entity pertaining to, or any proceeding that
is pending or threatened that challenges the rights of RACI or any of its
Subsidiaries in respect of, any Owned Intellectual Property.

               (b)   Neither RACI nor any of its Subsidiaries, nor, to RACI's
knowledge, any other party thereto, is in default under any material written
licenses to Intellectual Property or trade secrets (other than licenses for
"off-the-shelf" software) to which RACI or any of its Subsidiaries is a party,
pursuant to which (x) RACI or such Subsidiary permits any Person to use any of
the Owned Intellectual Property or trade secrets owned by RACI or such
Subsidiary, or (y) any Person permits RACI or such Subsidiary to use any
Intellectual Property or trade secrets not owned by RACI or such Subsidiary that
are necessary for the conduct of the business of RACI or any of its Subsidiaries
as currently conducted (collectively, the "Licenses"). Each License is in full
force and effect as to RACI or any Subsidiary party thereto and, to RACI's
knowledge, as to each other party thereto, except for such defaults and failures
to be so in full force and effect as would not, individually or in the
aggregate, reasonably be expected to have a Material Adverse Effect.

         3.12  Governmental Authorizations; Compliance with Law.

         All of the licenses, permits and other governmental authorizations
necessary to conduct the business of RACI and its Subsidiaries as presently
conducted have been duly obtained, are held by RACI or its Subsidiaries and are
in full force and effect, except in each case where such a failure would not
reasonably be expected to have a Material Adverse Effect. None of RACI or any of
its Subsidiaries has received any written notice of any violation of any law,
statute, rule, regulation, judgment, order, decree, permit, concession,
franchise or other governmental authorization or approval applicable to it or to
any of its properties, except for violations which would not, individually or in
the aggregate, reasonably be expected to have a Material Adverse Effect. This
Section 3.12 does not relate to employee benefits matters which are instead the
subject of Section 3.10, tax matters which are instead the subject of Section
3.14 or environmental matters which are instead the subject of Section 3.16.

         3.13  Litigation.

         There are no judicial or administrative actions, proceedings or
investigations pending or, to the knowledge of RACI, threatened which (a)
individually or in the aggregate, have a reasonable likelihood of being
determined in a manner that would reasonably be expected to have a Material
Adverse Effect or (b) question the validity of this Agreement or any action
taken or to be taken by RACI or any of its Subsidiaries in connection with this
Agreement.

                                       10

<PAGE>

         3.14  Taxes.

               (a)   Except as reflected or reserved against in the financial
statements included in the SEC Reports, (i) each Tax Return required to have
been filed by RACI or any of its Subsidiaries has been filed and is correct and
complete in all respects, (ii) all amounts shown as due on such Tax Returns have
been paid, and (iii) all employment and withholding Taxes required to be paid or
withheld by or on behalf of RACI or any of its Subsidiaries have been paid or
properly set aside in accounts for such purpose, except, in each case, for any
failure to file, be correct and complete, withhold, set aside or pay that,
individually or in the aggregate, would not reasonably be expected to have a
Material Adverse Effect. As of the date of this Agreement, there are not pending
any audits, examinations, investigations or other proceedings in respect of
Taxes payable by RACI or any of its Subsidiaries, which if determined in a
manner adverse to RACI would reasonably be expected to have a Material Adverse
Effect. "Taxes" means all U.S. or non-U.S. federal, national, state or local
taxes, assessments, levies or other governmental charges in the nature of taxes,
including all income, franchise, withholding, unemployment insurance, social
security, sales, use, excise, real and personal property, stamp, transfer, VAT
and workers' compensation taxes, together with all interest, penalties and
additions payable with respect thereto. "Tax Return" means all returns and
reports required to be supplied to a taxing authority relating to Taxes.

               (b)   Except as would not reasonably be expected to have a
Material Adverse Effect, (i) none of RACI or any of its Subsidiaries is a
beneficiary of an extension of time within which to file any Tax Return that has
not yet been filed, (ii) none of RACI or any of its Subsidiaries has entered
into an agreement or waiver extending any statute of limitations relating to the
payment or collection of any material Taxes, (iii) no written claim has been
made by a taxing authority in a jurisdiction where any of RACI or its
Subsidiaries has not filed Tax Returns that such entity is subject to Tax by
that jurisdiction, (iv) there are no security interests or liens on any of the
assets of any of RACI or its Subsidiaries that arose in connection with any
failure (or alleged failure) to pay any Tax (other than inchoate liens for Taxes
not yet due), and (v) none of RACI or any of its Subsidiaries has made any
adjustments under Section 481 of the Code or similar adjustment under state or
local income Tax law that would give rise to Tax liability following the Closing
Date.

         3.15  Absence of Changes.

         Since September 30, 2002, other than in connection with the
transactions contemplated by this Agreement:

               (a)   RACI and its Subsidiaries have conducted their business in
the ordinary course in substantially the same manner in which it has been
previously conducted;

                                       11

<PAGE>

               (b)   there has been no change in such business which
individually or in the aggregate would reasonably be expected to have a Material
Adverse Effect;

               (c)   RACI has not declared, set aside or paid any dividend or
other distribution with respect to its capital stock or redeemed or repurchased
any of its capital stock, except for repurchases of shares of Common Stock,
Deferred Shares and cancellation of Options upon or following termination of
employment pursuant to the Management Agreements; and

               (d)   neither RACI nor its Subsidiaries have paid any fees to
their shareholders, directors or officers of RACI and its Subsidiaries or the
Affiliates of such Persons, except pursuant to the C&D Agreements, the
Management Agreements and remuneration and compensation to management
shareholders under customary employment arrangements in the ordinary course of
business, including director fees.

         3.16  Environmental Matters.

         Except as would not, individually or in the aggregate, reasonably be
expected to have a Material Adverse Effect:

               (a)   RACI and its Subsidiaries are in compliance with all
applicable Environmental Laws;

               (b)   RACI and its Subsidiaries have obtained, and are in
compliance with, all permits and authorizations required under applicable
Environmental Laws;

               (c)   neither RACI nor any of its Subsidiaries has received from
any Governmental Authority any written notice of violation, alleged violation,
non-compliance, liability or potential liability regarding compliance with
applicable Environmental Laws, other than matters that have been resolved or
that are no longer outstanding;

               (d)   no judicial proceeding or governmental or administrative
action is pending under any applicable Environmental Law pursuant to which RACI
or any of its Subsidiaries is named as a party;

               (e)   neither RACI nor any of its Subsidiaries has entered into
any agreement with any Governmental Authority pursuant to which RACI or any of
its Subsidiaries has any continuing obligations with respect to the remediation
of any condition resulting from the release or threatened release of Hazardous
Substances;

               (f)   to RACI's knowledge, neither RACI nor any of its
Subsidiaries has manufactured, treated, stored, disposed of, arranged for or
permitted the disposal of, transported, handled or released any Hazardous
Substance in a manner that currently

                                       12

<PAGE>

gives rise to liabilities for environmental site investigation or cleanup, or
injuries to persons, property or natural resources under applicable
Environmental Laws; and

               (g)   to RACI's knowledge, there are no Hazardous Substances
present at any facility or property now owned, leased or operated by RACI or any
of its Subsidiaries that currently gives rise to liabilities for environmental
site investigation or clean-up, or injuries to persons, property or natural
resources, under applicable Environmental Laws.

         Notwithstanding any of the representations and warranties contained
elsewhere in this Agreement, environmental matters shall be governed exclusively
by this Section 3.16.

         3.17  Affiliate Transactions.

         Neither RACI nor any of its Subsidiaries is a party to any agreement
with any shareholder, director or officer of RACI or any of its Subsidiaries or
any Affiliate of such Persons, except for the C&D Agreements, the Management
Agreements and customary employment arrangements.

         3.18  Brokers.

         All negotiations relating to this Agreement and the transactions
contemplated hereby have been carried out without the intervention of any Person
acting on behalf of RACI in such manner as to give rise to any valid claim
against the Investor, C&D Fund IV, RACI or RACI's Subsidiaries for any brokerage
or finder's commission, fee or similar compensation, including under the C&D
Consulting Agreement.

                                   ARTICLE IV

                 REPRESENTATIONS AND WARRANTIES OF THE INVESTOR

         The Investor represents and warrants to RACI as follows:

         4.1   Corporate Status and Authority.

         The Investor is a limited partnership duly organized, validly existing
and in good standing under the laws of the State of Delaware and has the power
and authority to execute and deliver this Agreement and the other Transaction
Agreements to which it is a party and perform its obligations hereunder and
thereunder. The execution, delivery and performance of this Agreement and the
other Transaction Agreements to which it is a party have been duly authorized by
all necessary corporate or partnership action on the part of the Investor for
such authorization. This Agreement has been and the other Transaction Agreements
will have been duly executed and delivered by the Investor and

                                       13

<PAGE>

constitutes or will constitute the valid and binding obligation of the Investor,
enforceable against the Investor in accordance with its terms, except as limited
by laws affecting the enforcement of creditors' rights generally or by general
equitable principles.

         4.2   No Conflicts; Consents and Approvals, etc.

               (a)   The execution and delivery of this Agreement and the other
Transaction Agreements to which it is a party by the Investor and the
performance of its obligations hereunder and thereunder will not result in (i)
any violation of the Organizational Documents of the Investor, (ii) any breach
or violation of or default under any Applicable Law applicable to the Investor
or any Contract to which the Investor is a party or by which it or its
properties or assets are bound or (iii) the creation or imposition of any Liens,
except in the case of clauses (ii) and (iii) for such breaches, violations or
defaults and such Liens which would not, individually or in the aggregate,
reasonably be expected to materially impair the ability of the Investor to
consummate the transactions contemplated hereby.

               (b)   No Governmental Approval is required to be obtained by the
Investor in connection with the execution and delivery of this Agreement and the
other Transaction Agreements to which it is a party or the consummation of the
transactions contemplated hereby or thereby except where the failure to do so
would not, individually or in the aggregate, reasonably be expected to
materially impair the ability of the Investor to consummate the transactions
contemplated hereby or thereby.

         4.3   Financial Ability to Perform.

         The Investor has capital commitments in an amount in the aggregate
sufficient to consummate the transactions contemplated by this Agreement.

         4.4   Litigation.

         There are no judicial or administrative actions, proceedings or
investigations pending or, to the knowledge of the Investor, threatened which
question the validity of this Agreement or any action taken or to be taken by
the Investor in connection herewith.

         4.5   Investment Intention.

         The Investor is acquiring the Investor Shares solely for the Investor's
own account for investment and not with a view to or for sale in connection with
any distribution thereof.

                                       14

<PAGE>

         4.6   Ability to Bear Risk.

               (a)   The Investor is an accredited investor, the financial
situation of the Investor is such that the Investor can afford to bear the
economic risk of holding the Investor Shares for an indefinite period, and the
Investor can afford to suffer the complete loss of the Investor's investment in
the Investor Shares.

               (b)   All information contained in any documents and any other
written materials concerning the status of the Investor furnished by the
Investor to RACI in connection with any requests by RACI to substantiate the
Investor's status as an accredited investor in connection with the issuance of
Investor Shares are true, complete and correct in all material respects.

         4.7   Access to Information.

         The Investor has been granted the opportunity to ask questions of, and
receive answers from, representatives of RACI concerning the terms and
conditions of the purchase of the Investor Shares and to obtain any additional
information that the Investor deems necessary to verify the accuracy of the
information contained in such materials, and the Investor's knowledge and
experience in financial and business matters is such that the Investor is
capable of evaluating the risks of an investment in the Investor Shares.

         4.8   Brokers.

         All negotiations relating to this Agreement and the transactions
contemplated by this Agreement have been carried out without the intervention of
any Person acting on behalf of the Investor in such manner as to give rise to
any valid claim against the Investor, RACI or C&D Fund IV for any brokerage or
finder's commission, fee or similar compensation.

                                    ARTICLE V

                                    COVENANTS

         5.1   Satisfaction of Closing Conditions.

         Each of the parties will use its commercially reasonable efforts to
bring about the satisfaction as promptly as practicable of all the conditions
contained in Article VI. Without limiting the generality of the foregoing, RACI
will apply for and diligently prosecute all applications for, and shall use its
best efforts promptly to obtain, such Consents and Governmental Approvals from
such third parties and Governmental Authorities as are necessary to permit the
consummation of the transactions contemplated by this Agreement.

                                       15

<PAGE>

         5.2   Access and Information.

         RACI and each of its Subsidiaries will give the Investor and its
representatives reasonable access to the properties, books and records and key
personnel of RACI and its Subsidiaries and will furnish such information and
documents in its possession relating to RACI and its Subsidiaries as the
Investor may reasonably request, provided that the Investor will not be entitled
to any such access, information or documents for the purposes of conducting any
examination of the Company's products or other trade secrets without the prior
written consent of RACI. All such information and documents obtained by the
Investor shall be subject to the terms of the Confidentiality Agreement, dated
as of December 8, 2002 (the "Confidentiality Agreement"), between the Investor
and RACI.

         5.3   Publicity.

         The initial public announcement of the execution of this Agreement and
the transactions contemplated hereby will be subject to the approval of the
Investor, RACI and C&D Holding. No subsequent press release or public
announcement related to this Agreement, or the transactions contemplated hereby,
may be issued or made without the approval of RACI, the Investor and C&D Fund
IV, unless required by Applicable Law (in the reasonable opinion of counsel) in
which case the Investor, RACI or C&D Fund IV, as the case may be, will have the
right to review such press release or announcement prior to publication. None of
RACI and it Subsidiaries will use the name of the Investor in any press release
or other publicly disclosed document without the prior approval of the Investor,
unless required by Applicable Law (in the reasonable opinion of counsel) in
which case the Investor will have the right to review such document.

         5.4   Conduct of Business, etc.

         From the date of this Agreement until the Closing, except as provided
for in this Agreement (including Section 5.5) or as otherwise consented to by
the Investor in writing, such consent not to be unreasonably withheld:

               (a)   RACI will and will cause and each of its Subsidiaries to
conduct its business in the ordinary course in substantially the same manner in
which it previously has been conducted;

               (b)   RACI will not declare, set aside or pay any dividend or
other distribution with respect to its capital stock or redeem or repurchase any
of its capital stock, except for repurchases of shares of Common Stock, Deferred
Shares and Options upon or following termination of employment pursuant to the
Management Agreements;

               (c)   neither RACI nor any of its Subsidiaries will issue any
shares of any class of its capital stock or other ownership interest, any
securities convertible into or exchangeable for any such shares or interest or
any profit participation interest, other than

                                       16

<PAGE>

upon exercise of any outstanding Options, in respect of outstanding Deferred
Shares, pursuant to the Election Forms or relating to normal cash bonuses under
annual bonus plans;

               (d)   neither RACI nor any of its Subsidiaries will pay, grant or
commit to grant any material increase in any remuneration of any shareholder,
director or member of senior management of the Company;

               (e)   neither RACI nor any of its Subsidiaries will enter into
any transactions with any shareholder, director or officer of RACI or any of its
Subsidiaries or any Affiliate of such Persons; and

               (f)   neither RACI nor any of its Subsidiaries will pay Clayton,
Dubilier & Rice, Inc. a deal fee or any other similar transaction fee under the
C&D Consulting Agreement in connection with the transactions contemplated by
this Agreement.

         5.5   Certain Transactions.

               (a)   Subject to the approval of the Repurchase by the board of
directors of RACI, RACI will offer to repurchase (the "Repurchase") such number
of outstanding shares of Common Stock at the Purchase Share Price such that
immediately following the Repurchase, after giving effect to the Investment and
the other transactions contemplated by this Agreement (including the Additional
Investment), the total issued and outstanding shares of Common Stock (assuming a
per share value equal to the Purchase Share Price) plus the initial aggregate
principal amount of all outstanding RACI B Senior Notes (as defined below) will
have an aggregate value of no greater than $62.5 million, and C&D Fund IV will
own no more than 49% of the issued and outstanding shares of Common Stock. The
consideration used to effect the Repurchase will consist of cash, senior notes
with an aggregate principal amount of up to $20 million, with terms no more
favorable to the holder than those set forth in Exhibit A-1 (each, a "RACI A
Senior Note"), and, if necessary, additional senior notes with terms no more
favorable to the holder than those set forth in Exhibit A-2 (each, a "RACI B
Senior Note"). RACI will effect the Repurchase through either a merger of a
newly formed corporation into RACI, with RACI as the surviving entity, or an
offer to repurchase shares of Common Stock by RACI. The Investor will take such
actions as RACI may reasonably request to effect the Repurchase by merger,
including making the Investment in a newly formed corporation to be merged into
RACI, provided that the organizational and other documents required to effect
the Repurchase and the Investment through a merger will be reasonably acceptable
to the Investor.

               (b)   In the event that RACI effects the Repurchase through an
offer to repurchase shares of Common Stock, C&D Fund IV will tender to such
offer such amount of shares of Common Stock and take such other actions as
reasonably necessary

                                       17

<PAGE>

such that, following the consummation of the Repurchase and after giving effect
to the Investment, C&D Fund IV will own no more than 49% of the issued and
outstanding shares of Common Stock.

               (c)   RACI will offer (the "Offer") to repurchase from each
holder of Common Stock (other than C&D Fund IV) (each an "Other Shareholder") a
percentage of such Other Shareholder's shares of Common Stock equal to the
percentage of C&D Fund IV's shares of Common Stock that RACI will repurchase
from C&D Fund IV pursuant to this Section 5.5. Such repurchase from each Other
Shareholder will be on the same terms and at the Purchase Share Price and will
be paid either entirely in cash or in the same proportion of cash and notes as
the repurchase from C&D Fund IV, at the option of such Other Shareholder. In the
event any of the Other Shareholders elects to receive payments entirely in cash,
the principal amount of the RACI A Senior Note and RACI B Senior Note, if any,
to be issued to C&D Fund IV and the Other Shareholders electing to receive a
portion of their consideration in notes pursuant to the Repurchase will be
increased accordingly, and the cash consideration to be paid to C&D Fund IV and
such Other Shareholders will be decreased accordingly.

               (d)   If the consummation of the transactions contemplated hereby
results in a "change in control" as defined in the Remington Stock Plans,
immediately prior to the Closing, shares of Common Stock in respect of the
Deferred Shares will be distributed to each holder of Deferred Shares (each, a
"Deferred Shareholder"), such Deferred Shares will be extinguished and such
holders will be entitled to participate in the Offer, except to the extent that
such Deferred Shareholder gives written notice to RACI before December 31, 2002
of an election to continue to defer all or a portion of such Deferred Shares. In
the event a Deferred Shareholder elects to continue to defer all or a portion of
the Deferred Shares, the payments to such holder and reductions to his or her
Deferred Share account will be adjusted accordingly. Notwithstanding the
foregoing, if the consummation of the transactions contemplated hereby does not
result in a "change in control" as defined in the Remington Stock Plans, then
the shares of Common Stock in respect of the Deferred Shares will not be
distributed to the Deferred Shareholders and RACI will instead (A) pay to each
Deferred Shareholder an amount of cash equal to the product of (i) the number of
Deferred Shares held by such Deferred Shareholder multiplied by the percentage
of C&D Fund IV's shares of Common Stock that RACI will repurchase from C&D Fund
IV pursuant to Section 5.5(a) (the "Number") and (ii) the Purchase Share Price
and (B) adjust such Deferred Shareholder's Deferred Share account to reduce the
number of Deferred Shares held by such Deferred Shareholder by the Number,
unless such Deferred Shareholder gives written notice to RACI before December
31, 2002 of an election to continue to hold all or a portion of such Deferred
Shares, in which case the payments to such holder and reduction in his or her
Deferred Share account shall be adjusted accordingly.

                                       18

<PAGE>

               (e)   If the consummation of the transactions contemplated hereby
results in a "change in control" as defined in the Remington Stock Plans,
immediately prior to the Closing, RACI will cancel all outstanding Options,
whether or not vested, in exchange for a cash payment equal to the excess, if
any, of (i) the Purchase Share Price over (ii) the exercise price of the Options
cancelled. Notwithstanding the foregoing, if the consummation of the
transactions contemplated hereby does not result in a "change in control" as
defined in the Remington Stock Plans, then the outstanding Options will not be
canceled in exchange for a cash payment and RACI will instead offer to make a
cash payment in cancellation of any vested Options in an amount equal to the
product of (x) the number of vested Options that such holder chooses to have
cancelled and (y) the excess of (A) the Purchase Share Price over (B) the
exercise price for the Options repurchased from such holder. Any vested Option
not surrendered for cancellation pursuant to the foregoing sentence will remain
outstanding in accordance with its terms.

               (f)   RACI may issue additional shares of Common Stock to certain
employees, managers and directors of the Company for an aggregate purchase price
of up to $6 million at a price per share equal to the Purchase Share Price (the
"Additional Investment").

               (g)   The parties intend that the Repurchase of C&D Fund IV's
Common Stock contemplated by this Agreement will be treated as "substantially
disproportionate" within the meaning of Section 302(b)(2) of the Code. The
parties agree to use reasonable best efforts to cause the Repurchase to be so
treated, including (in the case of the Investor) providing to C&D Fund IV such
information regarding its beneficial ownership and capital structure and such
assistance as may be reasonably requested in order to permit C&D Fund IV to
determine whether the Repurchase satisfies the requirements of Sections
302(b)(2) and 318 of the Code. C&D Fund IV agrees that it will not disclose any
information provided to it by the Investor pursuant to this Section 5.5(e)
without the consent of the Investor, other than (i) to C&D Fund IV's Affiliates
and their officers, directors, employees, agents and advisors, and then only on
a confidential basis or (ii) as requested or required by any taxing authority.

               (h)   Subject to the first sentence of Section 5.5(a), at the
closing of the Repurchase, the principal amount of the RACI Senior A Notes and
RACI Senior B Notes issued to, and the number of shares of Common Stock
repurchased from, C&D Fund IV (and, to the extent required by the Registration
and Participation Agreement, the Other Shareholders) shall, if necessary, be
adjusted upward so as to ensure that, after consummation of the transactions
contemplated hereby, C&D Fund IV will own no more than 49% of the outstanding
Common Stock (determined by taking into account the rules of Sections 302(c) and
318 of the Code).

                                       19

<PAGE>

         5.6   Compliance with Securities Laws.

         The Investor acknowledges and agrees that:

               (a)   the Investor will not, directly or indirectly, offer,
transfer, sell, pledge, hypothecate or otherwise dispose of any of the Investor
Shares (or solicit any offers to buy, purchase or otherwise acquire or take a
pledge of any Investor Shares), except in compliance with the Securities Act,
and the rules and regulations of the SEC thereunder, and in compliance with the
Shareholders Agreement and applicable state and foreign securities or "blue sky"
laws;

               (b)   none of the Investor Shares may be transferred, sold,
pledged, hypothecated or otherwise disposed of (i) unless the provisions of this
Agreement and the Shareholders Agreement have been complied with or have
expired, (ii) unless (A) such disposition is pursuant to an effective
registration statement under the Securities Act, (B) the Investor delivers to
RACI an opinion of counsel, which opinion and counsel to be reasonably
satisfactory to RACI, to the effect that such disposition is exempt from the
provisions of Section 5 of the Securities Act or (C) a no-action letter from the
SEC, reasonably satisfactory to RACI, is obtained with respect to such
disposition, unless this clause (ii) is waived by RACI, and (iii) unless such
disposition is pursuant to registration under any applicable state securities
laws or an exemption therefrom; and

               (c)   if any of the Investor Shares are to be disposed of in
accordance with Rule 144, the Investor will transmit to RACI an executed copy of
Form 144 (if required by Rule 144) no later than the time such form is required
to be transmitted to the SEC for filing and such other documentation as RACI may
reasonably require to assure compliance with Rule 144 in connection with such
disposition.

         5.7   Legends.

         The Investor acknowledges that the certificate or certificates
representing the Investor Shares will bear an appropriate legend, which will
include, without limitation, the following language:

         "THE SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO THE TRANSFER
         RESTRICTIONS, HOLDBACK AND OTHER PROVISIONS OF AN INVESTMENT AGREEMENT,
         DATED AS OF DECEMBER 19, 2002, AS THE SAME MAY BE AMENDED OR
         SUPPLEMENTED FROM TIME TO TIME AND NEITHER THIS CERTIFICATE NOR THE
         SHARES REPRESENTED BY IT ARE ASSIGNABLE OR OTHERWISE TRANSFERABLE
         EXCEPT IN ACCORDANCE WITH THE PROVISIONS OF SUCH INVESTMENT AGREEMENT,
         A COPY OF WHICH IS ON FILE WITH THE SECRETARY OF THE COMPANY. THE
         SHARES

                                       20

<PAGE>

         REPRESENTED BY THIS CERTIFICATE ARE ENTITLED TO CERTAIN OF THE
         BENEFITS OF AND ARE BOUND BY THE OBLIGATIONS SET FORTH IN AN AMENDED
         AND RESTATED REGISTRATION AND PARTICIPATION AGREEMENT, DATED AS OF
         FEBRUARY 12, 2003, AND A SHAREHOLDERS AGREEMENT, DATED AS OF FEBRUARY
         12, 2003, EACH AS AMENDED, AND ANY AMENDMENTS, SUPPLEMENTS OR
         MODIFICATIONS THERETO, AMONG THE COMPANY AND CERTAIN STOCKHOLDERS OF
         THE COMPANY, A COPY OF THE CURRENT FORMS OF WHICH IS ON FILE WITH THE
         SECRETARY OF THE COMPANY."

         "THE SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED
         UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR UNDER ANY STATE OR
         FOREIGN SECURITIES LAWS AND MAY NOT BE TRANSFERRED, SOLD, PLEDGED,
         HYPOTHECATED OR OTHERWISE DISPOSED OF UNLESS (i) (A) SUCH DISPOSITION
         IS PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES
         ACT OF 1933, AS AMENDED, (B) THE HOLDER HEREOF SHALL HAVE DELIVERED TO
         THE COMPANY AN OPINION OF COUNSEL, WHICH OPINION AND COUNSEL SHALL BE
         REASONABLY SATISFACTORY TO THE COMPANY, TO THE EFFECT THAT SUCH
         DISPOSITION IS EXEMPT FROM THE PROVISIONS OF SECTION 5 OF SUCH ACT OR
         (C) A NO-ACTION LETTER FROM THE SECURITIES AND EXCHANGE COMMISSION,
         REASONABLY SATISFACTORY TO COUNSEL FOR THE COMPANY, SHALL HAVE BEEN
         OBTAINED WITH RESPECT TO SUCH DISPOSITION, UNLESS CLAUSE (i) IS WAIVED
         BY THE COMPANY, AND (ii) SUCH DISPOSITION IS PURSUANT TO REGISTRATION
         UNDER ANY APPLICABLE STATE SECURITIES LAWS OR AN EXEMPTION THEREFROM."

         5.8   Registration; Restrictions on Sale upon Public Offering.

         The Investor will be entitled to the rights and subject to the
obligations created under the Registration and Participation Agreement to the
extent provided in the Registration and Participation Agreement, and the
Investor Shares will constitute "Registrable Securities" for the purposes of the
Registration and Participation Agreement.

                                       21

<PAGE>

                                   ARTICLE VI

                              CONDITIONS PRECEDENT

         6.1   Conditions to Obligations of Both Parties.

         The obligations of RACI and the Investor to consummate the transactions
contemplated by this Agreement shall be subject to the fulfillment on or prior
to the Closing Date of the following conditions:

               (a)   No Injunction. There shall not be in effect any injunction
or other order issued by a court of competent jurisdiction restraining or
prohibiting the consummation of the transactions contemplated by this Agreement.

               (b)   Refinancing. Remington shall have refinanced (i) its
Existing High Yield Debt and obtained the cash proceeds of additional debt
financing through the issuance of the New High Yield Debt, substantially on the
terms and conditions described in the draft dated December 10, 2002 of the
"Description of Notes" to be included in the Offering Circular, a copy of which
draft has been provided to the Investor, and (ii) its Existing Credit Facility
with the cash proceeds of debt financing through the New Credit Facility,
substantially on the terms of the Term Sheet, dated December 9, 2002.

         6.2   Conditions to Obligations of RACI.

         The obligations of RACI to consummate the transactions contemplated by
this Agreement shall be subject to the fulfillment on or prior to the Closing
Date of the following additional conditions:

               (a)   Representations and Warranties of the Investor. The
representations and warranties of the Investor in Article IV shall be true and
correct in all material respects when made and at and as of the Closing with the
same effect as though made at and as of such time (except that those
representations and warranties which are made as of a specified date shall be
true and correct in all material respects only as of such date) with such
exceptions as would not, individually or in the aggregate, impair the ability of
the Investor to fulfill its obligations under this Agreement. The Investor shall
have duly performed and complied in all material respects with all agreements
contained herein required to be performed or complied with by it at or before
the Closing.

               (b)   Officer's Certificate. The Investor shall have delivered to
RACI a certificate, dated the Closing Date and signed by a senior executive
officer of the Investor, as to the fulfillment of the conditions set forth in
Section 6.2(a).

               (c)   Repurchase. The Repurchase shall have been consummated as
permitted under Section 5.5.

                                       22

<PAGE>

               (d)   Shareholders Agreement. The Investor shall have entered
into the Shareholders Agreement on substantially the terms set forth in Exhibit
B and otherwise on terms reasonably satisfactory to RACI.

               (e)   Amended and Restated Registration and Participation
Agreement. The Investor shall have entered into the Amended and Restated
Registration and Participation agreement on substantially the terms set forth in
Exhibit B and otherwise on terms reasonably satisfactory to RACI.

         6.3   Conditions to Obligations of the Investor.

         The obligations of the Investor to consummate the transactions
contemplated by this Agreement shall be subject to the fulfillment on or prior
to the Closing Date of the following additional conditions:

               (a)   Representations and Warranties of C&D Fund IV. The
representations and warranties of C&D Fund IV in Article II shall be true and
correct in all material respects when made and at and as of the Closing with the
same effect as though made at and as of such time (except that those
representations and warranties which are made as of a specified date shall be
true and correct in all material respects only as of such date) with such
exceptions as would not, individually or in the aggregate, impair the ability of
C&D Fund IV to fulfill its obligations under this Agreement. C&D Fund IV shall
have duly performed and complied in all material respects with all agreements
contained herein required to be performed or complied with by C&D Fund IV at or
before the Closing.

               (b)   Representations and Warranties of RACI. The representations
and warranties of RACI in Article III shall be true and correct when made and at
and as of the Closing with the same effect as though made at and as of such time
(without regard to any materiality or Material Adverse Effect qualification
included in such representation or warranty and except that those
representations and warranties which are made as of a specified date shall be
true and correct only as of such date) with such exceptions as have not had and
would not reasonably be expected to have, individually or in the aggregate, a
Material Adverse Effect. RACI shall have duly performed and complied in all
material respects with all agreements contained herein required to be performed
or complied with by it at or before the Closing.

               (c)   C&D Fund IV's Officer's Certificate. C&D Fund IV shall have
delivered to the Investor a certificate, dated the Closing Date and signed by an
officer of C&D Fund IV's general partner, as to the fulfillment of the
conditions set forth in Section 6.3(a).

                                       23

<PAGE>

               (d)   RACI's Officer's Certificate. RACI shall have delivered to
the Investor a certificate, dated the Closing Date and signed by its President
or a Vice President, as to the fulfillment of the conditions set forth in
Section 6.3(b).

               (e)   Repurchase. The Repurchase shall have been consummated as
permitted under Section 5.5.

               (f)   Material Adverse Effect There shall not have occurred any
fact, event or circumstance that has had or would reasonably be expected to have
a Material Adverse Effect since the date of this Agreement

               (g)   Board of Directors. The number of members of the Boards of
Directors of RACI and Remington, effective as of the Closing Date, shall have
been increased to twelve and two new members nominated by the Investor shall
have been appointed as directors of such Boards of Directors.

               (h)   Shareholders Agreement. Each of RACI and C&D Fund IV shall
have entered into the Shareholders Agreement on substantially the terms set
forth in Exhibit B and otherwise on terms reasonably satisfactory to the
Investor.

               (i)   BRS Consulting Agreement. RACI shall have entered into the
BRS Consulting Agreement.

               (j)   BRS Indemnification Agreement. RACI shall have entered into
the BRS Indemnification Agreement.

               (k)   Amended and Restated Registration and Participation
Agreement. RACI and C&D Fund IV shall have entered into the Amended and Restated
Registration and Participation Agreement on substantially the terms set forth in
Exhibit B and otherwise on terms reasonably satisfactory to the Investor.

                                   ARTICLE VII

                                   DEFINITIONS

         7.1   Definition of Certain Terms.

         The terms defined in this Article VII, whenever used in this Agreement,
have the respective meanings indicated below for all purposes of this Agreement
(each such meaning to be equally applicable to the singular and the plural forms
of the respective terms so defined). All references in this Agreement to a
Section, Article or Schedule are to a Section, Article or Schedule of or to this
Agreement, unless otherwise indicated and the words "hereof" and "hereunder"
will be deemed to refer to this Agreement as a whole

                                       24

<PAGE>

and not to any particular provision. The words "includes" and "including" will
be deemed to be followed by the words "without limitation" whenever used.

         "Additional Investment": as defined in Section 5.5(f).

         "Affiliate": any Person directly or indirectly controlling,controlled
by or under common control with any other Person.

         "Aggregate Purchase Price":  as defined in Section 1.1.

         "Amended and Restated Participation Agreement": an Amended and Restated
Participation Agreement, amending and restating the Registration and
Participation Agreement in its entirety, on substantially the terms set forth in
Exhibit B.

         "Applicable Laws": all applicable provisions of all (i) constitutions,
treaties, statutes, laws (including the common law), rules, regulations,
ordinances, codes or orders of any Governmental Authority, (ii) Governmental
Approvals and (iii) orders, decisions, injunctions, judgments, awards and
decrees of or agreements with any Governmental Authority.

         "Business Day":  a day other than a Saturday, Sunday or other day on
which commercial banks in The City of New York are authorized or required to
close.

         "BRS": Bruckmann, Rosser, Sherrill & Co., L.L.C.

         "BRS Consulting Agreement": a Consulting Agreement to be entered into
between RACI and BRS on substantially the same terms as the C&D Consulting
Agreement.

         "BRS Indemnification Agreement": an Indemnification Agreement to be
entered into between RACI and the Investor on substantially the same terms as
the C&D Consulting Agreement.

         "C&D Agreements": the Stock Subscription Agreement, dated as of
November 30, 1993, between RACI and C&D Fund IV, the C&D Consulting Agreement,
and the C&D Indemnification Agreement.

         "C&D Consulting Agreement": the Amended and Restated Consulting
Agreement, dated as of January 1, 2001, between RACI and Clayton, Dubilier &
Rice, Inc.

         "C&D Indemnification Agreement": the Indemnification Agreement, dated
as of November 30, 1993, between RACI and C&D Fund IV.

                                       25

<PAGE>

         "Closing": as defined in Section 1.2.

         "Closing Date": as defined in Section 1.2.

         "Code": as defined in Section 3.10(a).

         "Common Stock": as defined in the Recitals.

         "Company": as defined in the Recitals.

         "Confidentiality Agreement": as defined in Section 5.2.

         "Consent": any consent, approval, authorization, waiver, permit, grant,
franchise, concession, agreement, license, certificate, exemption, order,
registration, declaration, filing, report or notice of, with or to any Person.

         "Contract": any agreement, contract, commitment, instrument,
undertaking or arrangement, whether written or oral.

         "Deferred Shares": as defined in Section 3.3(b).

         "Election Forms": elections made pursuant to the Remington Stock Plans
to receive a specified percentage of future bonuses in Deferred Shares.

         "Environmental Law": any foreign, federal, state, or local law,
statute, rule, regulation, ordinance, code, order or other binding requirement
of law relating to (i) the manufacture, transport, use, treatment, storage,
disposal or release of Hazardous Substances, or (ii) the protection of the
environment (including, without limitation, natural resources, air and surface
or subsurface land or waters).

         "ERISA": as defined in Section 3.10(a).

         "ERISA Plan": as defined in Section 3.10(a).

         "Exchange Act": the Securities Exchange Act of 1934, as amended.

         "Filed SEC Reports": as defined in Section 3.6.

         "Financing Agreements": the Existing Credit Agreement, the Credit
Agreement to be entered into by Remington on or prior to the Closing pursuant to
which the New Credit Facility will be made available, the Existing Indenture and
the Indenture to be entered into by Remington on or prior to the Closing which
will govern the New High Yield Debt.

                                       26

<PAGE>

         "Governmental Approval": any Consent of, made with or obtained from,
any Governmental Authority.

         "Governmental Authority": any Federal, state, local or foreign court,
arbitrator or governmental agency, authority, instrumentality or regulatory
body, and any self-regulatory organization.

         "Hazardous Substance": any material or substance that is (a) listed,
classified or regulated as a "hazardous waste" or "hazardous substance" pursuant
to any applicable Environmental Law or (b) any petroleum product or by-product,
friable asbestos, radioactive materials, urea formaldehyde insulation or
polychlorinated biphenyls.

         "Intellectual Property": as defined in Section 3.11(a).

         "IRS": the U.S. Internal Revenue Service.

         "Investor": as defined in the preamble to this Agreement.

         "Investor Shares": as defined in Section 1.1.

         "Leased Real Property": as defined in Section 3.8.

         "Leases": as defined in Section 3.8.

         "Licenses": as defined in Section 3.11(b).

         "Liens": liens, charges, encumbrances, security interests, options or
rights or other claims of others of any character whatsoever with respect
thereto.

         "Management Agreements": collectively, the Stock Subscription
Agreements, Stock Option Agreements, Deferred Shares Award Agreements and
Election Forms that have been entered into from time to time among RACI and
certain employees, management and directors of the Company pursuant to the
Remington Stock Plans and the Registration and Participation Agreement.

         "Material Adverse Effect": any change or effect that is materially
adverse to the financial condition, business or results of operations of RACI
and its Subsidiaries taken as a whole.

         "Material Contracts": as defined in Section 3.9.

         "Material Subsidiaries": as defined in Section 3.1(b).

         "Number": as defined in Section 5.4(d).

                                       27

<PAGE>

         "Options": as defined in Section 3.3(b).

         "Organizational Documents": as to any Person, if a corporation, its
articles or certificate of incorporation or memorandum and articles of
association and by-laws, or if a partnership, its partnership agreement.

         "Owned Intellectual Property": as defined in Section 3.11(a).

         "Owned Real Property": as defined in Section 3.8.

         "Permitted Liens": (i) Liens created or to be created under any of the
Financing Agreements, (ii) Liens for Taxes and other governmental charges and
assessments that are not yet due and payable or that are being contested in good
faith by appropriate proceedings, (iii) Liens of carriers, warehousemen,
mechanics and materialmen and other like Liens arising in the ordinary course of
business, (iv) easements, rights of way, title imperfections and restrictions,
zoning ordinances and other similar encumbrances affecting the real property,
(v) statutory Liens in favor of lessors arising in connection with any property
leased to RACI or its Subsidiaries, (vi) Liens reflected in the financial
statements included in the SEC Reports and (vii) any other Liens which do not
materially interfere with the current use of properties affected thereby.

         "Person": any natural person, firm, partnership, association,
corporation, company, trust, business trust, Governmental Authority or other
entity.

         "Plan": any profit sharing, pension, retirement, bonus, incentive
compensation, stock option, deferred compensation or other employee benefit
plan, agreement, contract or commitment maintained for the benefit of the
employees of the Company or its Subsidiaries.

         "RACI A Senior Note": as defined in Section 5.5(a).

         "RACI B Senior Note": as defined in Section 5.5(a).

         "Registration and Participation Agreement": the Registration and
Participation Agreement, dated as of November 30, 1993, between RACI and C&D
Fund IV, as amended from time to time.

         "Rule 144": Rule 144 promulgated under the Securities Act.

         "Purchase Share Price": as defined in Section 1.1.

         "Remington Stock Plans": as defined in Section 3.3(b).

         "Repurchase": as defined in Section 5.5(a).

                                       28

<PAGE>

         "SEC": the U.S. Securities and Exchange Commission.

         "SEC Reports": as defined in Section 3.6.

         "Securities Act": the Securities Act of 1933, as amended.

         "September 2002 Balance Sheet": the unaudited consolidated balance
sheet of RACI and its consolidated Subsidiaries as of September 30, 2002.

         "Shareholders Agreement": a shareholders agreement among RACI, the
Investor and C&D Fund IV on substantially the terms set forth in Exhibit B.

         "Sellers": as defined in the preamble to this Agreement.

         "Shares": as defined in recitals to this Agreement.

         "Subsidiaries": each corporation or other Person in which a Person owns
or controls, directly or indirectly, capital stock or other equity interests
representing at least 50% of the outstanding voting stock or other equity
interests.

         "Tax Return": as defined in Section 3.14.

         "Taxes": as defined in Section 3.14.

         "Transaction Agreements": this Agreement, the Shareholders Agreement,
the BRS Consulting Agreement, the BRS Indemnification Agreement and the Amended
and Restated Registration and Participation Agreement.

         "U.S. GAAP": generally accepted accounting principles as applied in the
United States.

                                  ARTICLE VIII

                               GENERAL PROVISIONS

         8.1   Non-survival of Representations, Warranties and Agreements.

         Other than with respect to Sections 3.3 and 3.17, the representations
and warranties contained in this Agreement or in any instrument delivered
pursuant to this Agreement will not survive beyond the Closing, and none of the
parties nor their respective officers, directors or shareholders will have any
liability with respect thereto. Covenants or agreements which by their terms
contemplate performance by or at the Closing Date will not survive the Closing
Date, except for Sections 5.4 and 5.5, which will survive the Closing Date,
except as to any non-compliance therewith waived by the

                                       29

<PAGE>

Investor in writing in connection with the Closing. This Section 8.1 does not
limit, however, any covenant or agreement which by its terms contemplates
performance after the Closing Date.

         8.2   Modification; Waiver.

         This Agreement may be modified only by a written instrument executed by
the parties. Any of the terms and conditions of this Agreement may be waived in
writing at any time on or prior to the Closing Date by the party entitled to the
benefits thereof.

         8.3   Entire Agreement.

         This Agreement, the Confidentiality Agreement and the other Transaction
Agreements constitute the entire agreement of the parties with respect to the
subject matter hereof and supersede all other prior agreements, understandings,
documents, projections, financial data, statements, representations and
warranties, oral or written, express or implied, between the parties hereto and
their respective Affiliates, representatives and agents in respect of the
subject matter hereof.

         8.4   Certain Limitations.

         It is the explicit intent and understanding of each of the parties that
no party nor any of its Affiliates, representatives or agents is making any
representation or warranty whatsoever, oral or written, express or implied,
other than those set forth in Articles II, III and IV and none of the parties is
relying on any statement, representation or warranty, oral or written, express
or implied, made by the other party or such other party's Affiliates,
representatives or agents, except for the representations and warranties set
forth in such sections. EXCEPT AS OTHERWISE SPECIFICALLY SET FORTH IN THIS
AGREEMENT, THE PARTIES EXPRESSLY DISCLAIM ANY IMPLIED WARRANTY OR REPRESENTATION
AS TO CONDITION, MERCHANTABILITY OR SUITABILITY AS TO ANY OF THE ASSETS OF THE
BUSINESS. The parties agree that this is an arm's length transaction in which
the parties' undertakings and obligations are limited to the performance of
their obligations under this Agreement. The Investor acknowledges that it is a
sophisticated investor, that it has undertaken a full investigation of the
Company, and that it has only a contractual relationship with RACI, based solely
on the terms of this Agreement, and that there is no special relationship of
trust or reliance between the Investor and RACI.

         8.5   Termination.

               (a)   This Agreement may be terminated:

               (i)   at any time prior to the Closing Date by mutual consent of
         the Investor, RACI and C&D Fund IV;

                                       30

<PAGE>

               (ii)  by the Investor or RACI, if the Closing has not taken place
         on or before February 28, 2003 or such later date as the parties may
         agree to in writing;

               (iii) by either the Investor or RACI by written notice to the
         other party if any event, fact or condition occurs or exists that
         otherwise makes it impossible to satisfy a condition precedent to the
         terminating party's obligations to consummate the transactions
         contemplated by this Agreement, and such event, fact or condition is
         not cured or waived by the non-terminating party within 30 days, unless
         the occurrence or existence of such event, fact or condition is due to
         the failure of the terminating party to perform or comply with any of
         the agreements or covenants of this Agreement to be performed or
         complied with by such party prior to the Closing; or

               (iv)  by either the Investor or RACI if the Repurchase has not
         been duly authorized by the board of directors of RACI on or before
         January 31, 2003.

               (b)   In the event of termination by RACI or the Investor
pursuant to this Section 8.5, RACI or the Investor, as applicable, will give
written notice forthwith to the other party and the transactions contemplated by
this Agreement will be terminated without further action by either party. If the
transactions contemplated by this Agreement are terminated as provided in this
Section 8.5:

               (1)   The Investor will return to RACI all documents and other
         materials received from RACI, its Affiliates or its agents (including
         all copies of or materials developed from any such documents or other
         materials) relating to the transactions contemplated hereby, whether
         obtained before or after the execution hereof, or certify to RACI as to
         their destruction.

               (2)   All confidential information received by the Investor with
         respect to RACI and its Affiliates or its agents shall be treated in
         accordance with the Confidentiality Agreement which will remain in full
         force and effect notwithstanding the termination of this Agreement.

               (3)   If this Agreement is terminated as provided in this Section
         8.5, this Agreement will become null and void and of no further force
         or effect, except for the Confidentiality Agreement, Section 5.3
         relating to publicity, and Section 8.6 relating to certain expenses.
         Nothing in this Section 8.5 will be deemed to release either party from
         any liability for any breach by such party of the terms and provisions
         of this Agreement or to impair the right of either party to compel
         specific performance by the other party of its obligations under this
         Agreement.

                                       31

<PAGE>

         8.6   Fees and Expenses.

         RACI will pay its own fees and expenses and reimburse C&D Fund IV and
the Investor their fees and expenses incident to the preparation, negotiation
and performance of this Agreement and the other Transaction Agreements only if
the transactions contemplated in this Agreement are consummated. Otherwise, the
Investor will be responsible for its own fees and expenses incidental to the
preparation, negotiation and performance of this Agreement and the other
Transaction Agreements. All transfer, sales, use and similar taxes and fees
(including notarial fees) arising out of the issuance and sale of the Investor
Shares pursuant to this Agreement shall be paid (or caused to be paid) promptly
after the Closing by the Company.

         8.7   Further Actions.

         Each party will execute and deliver such certificates and other
documents and take such other actions as may reasonably be requested by the
other party in order to consummate or implement the transactions contemplated by
this Agreement.

         8.8   Notices.

         All notices, requests, demands and other communications under this
Agreement must be in writing and will be deemed to have been duly given or made
as follows: (a) if sent by registered or certified mail in the United States
return receipt requested, upon receipt; (b) if sent by reputable overnight air
courier (such as DHL or Federal Express), two business days after mailing; (c)
if sent by facsimile transmission, with a copy mailed on the same day in the
manner provided in (a) or (b) above, when transmitted and receipt is confirmed
by telephone; or (d) if otherwise actually personally delivered, when delivered
and shall be delivered as follows:

(i)  if to RACI:

         RACI Holding, Inc.
         c/o Remington Arms Company, Inc.
         870 Remington Drive
         P.O. Box 700
         Madison, NC 27025-0700
         Fax Number: (336) 548-7779
         Attention:  Chief Financial Officer

or to C&D Fund IV:

         The Clayton & Dubilier Private Equity Fund IV Limited Partnership
         270 Greenwich Avenue

                                       32

<PAGE>

         Greenwich, Connecticut 06830
         Attention:  Clayton & Dubilier Associates IV Limited Partnership

and, in either case, with a copy to:

         Debevoise & Plimpton
         919 Third Avenue
         New York, New York  10022
         Fax Number:  (212) 909-6836
         Attention:  Paul S. Bird, Esq.

If to the Investor:

         c/o Bruckmann, Rosser, Sherrill & Co, Inc.
         126 East 56th Street
         New York, New York  10022
         Fax Number:  (212) 521-3799
         Attention:  Stephen Sherrill

with a copy to:

         Kirkland & Ellis
         Citigroup Center
         153 East 53rd Street
         New York, New York  10022-4675
         Fax Number:  (212) 446-4900
         Attention:  Kim Taylor, Esq.

or to such other address or to such other person as any party last designates by
notice to the other party.

         8.9   Assignment.

               (a)   Subject to Section 8.9(b), this Agreement is binding upon
and will inure to the benefit of the parties and their respective successors and
assigns.

               (b)   Any assignment, by operation of law or otherwise, by either
party will require the prior written consent of the other party and any
purported assignment or other transfer without such consent will be void and
unenforceable, except that the Investor may assign the right to purchase up to
$1 million of shares of Common Stock to each of Julie Frist and Marilena Tibrea,
subject to such individual becoming a party to this Agreement by executing and
delivering to RACI a counterpart of this Investment

                                       33

<PAGE>

Agreement. Any such assignment will not relieve the Investor of any of its
obligations under this Agreement.

         8.10  No Third Party Beneficiaries.

         Nothing in this Agreement confers any rights upon any person or entity
which is not a party or a successor or permitted assignee of a party to this
Agreement.

         8.11  Counterparts.

         This Agreement may be executed in counterparts, each of which will
constitute one and the same instrument.

         8.12  Interpretation.

         The section headings in this Agreement are for convenience of reference
only and will not be deemed to alter or affect the meaning or interpretation of
any provision of this Agreement. Any references to RACI's knowledge or the
knowledge of RACI means the actual knowledge of any of Thomas L. Millner and
Mark A. Little obtained in the normal course of their respective duties as
officers of the Company, but without any further investigation or inquiry by any
of them.

         8.13  Governing Law.

         This Agreement will be construed, performed and enforced in accordance
with the laws of the State of New York, without regard to the conflict of laws
principles of such state that would require the substantive laws of another
jurisdiction to apply.

         8.14  Consent to Jurisdiction, etc.

               (a)   Each of the parties hereby irrevocably and unconditionally
submits, for itself and its property, to the exclusive jurisdiction of any New
York State court or Federal court of the United States of America sitting in New
York City, and any appellate court from any thereof, in any action or proceeding
arising out of or relating to this Agreement or the transactions contemplated
hereby or for recognition or enforcement of any judgment relating thereto, and
each of the parties hereby irrevocably and unconditionally agrees that all
claims in respect of any such action or proceeding may be heard and determined
in such New York State court or, to the extent permitted by law, in such Federal
court. Each of the parties hereto agrees that a final judgment in any such
action or proceeding will be conclusive and may be enforced in other
jurisdictions by suit on the judgment or in any other manner provided by law.

               (b)   Each of the parties hereby irrevocably and unconditionally
waives, to the fullest extent it may legally and effectively do so, any
objection which it may now

                                       34

<PAGE>

or hereafter have to the laying of venue of any suit, action or proceeding
arising out of or relating to this Agreement or the transactions contemplated
hereby in any New York State or Federal court. Each of the parties hereby
irrevocably waives, to the fullest extent permitted by law, the defense of an
inconvenient forum to the maintenance of such action or proceeding in any such
court.

               (c)   Each party to this Agreement irrevocably consents to
service of process in the manner provided for notices in Section 8.8. Nothing in
this Agreement will affect the right of any party to this Agreement to serve
process in any other manner permitted by Applicable Law.

         8.15  Specific Performance.

         It is understood and agreed that money damages would not be a
sufficient remedy for any breach of this Agreement and that RACI and the
Investor will be entitled to specific performance and injunctive relief as
remedies for any such breach, without the necessity of posting any bond. Such
remedies will not be the exclusive remedies for a breach of this Agreement but
will be in addition to all other remedies available at law or in equity.

         8.16  Waiver of Punitive and Other Damages and Jury Trial.

               (a)   THE PARTIES TO THIS AGREEMENT EXPRESSLY WAIVE AND FOREGO
ANY RIGHT TO RECOVER PUNITIVE, LOST PROFITS, CONSEQUENTIAL OR SIMILAR DAMAGES IN
ANY ARBITRATION, LAWSUIT, LITIGATION OR PROCEEDING ARISING OUT OF OR RESULTING
FROM ANY CONTROVERSY OR CLAIM ARISING OUT OF OR RELATING TO THIS AGREEMENT OR
THE TRANSACTIONS CONTEMPLATED HEREBY.

               (b)   EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY
WHICH MAY ARISE UNDER THIS AGREEMENT IS LIKELY TO INVOLVE COMPLICATED AND
DIFFICULT ISSUES, AND THEREFORE IT HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES
ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY
OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS
CONTEMPLATED HEREBY.

               (c)   EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT (i) NO
REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY
OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK
TO ENFORCE EITHER OF THE FOREGOING WAIVERS, (ii) IT UNDERSTANDS AND HAS
CONSIDERED THE IMPLICATIONS OF SUCH WAIVERS, (iii) IT MAKES SUCH WAIVERS

                                       35

<PAGE>

VOLUNTARILY, AND (iv) IT HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG
OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 8.16.

                                       36

<PAGE>

         IN WITNESS WHEREOF, the parties have caused this Agreement to be
executed as of the date first above written.

                                    BRUCKMANN, ROSSER, SHERRILL &
                                     CO. II, L. P.

                                    By: BRSE, L.L.C., its general partner

                                    By         /s/ Stephen Sherrill
                                        -----------------------------------
                                        Name:    Stephen Sherrill
                                        Title:   Managing Director

                                    RACI HOLDING, INC.

                                    By           /s/ Mark A. Little
                                        -----------------------------------
                                        Name:    Mark A. Little
                                        Title:   Executive Vice President, CFO
                                                  and Treasurer

                                    CLAYTON & DUBILIER PRIVATE
                                      EQUITY FUND IV LIMITED
                                      PARTNERSHIP

                                    By: Clayton & Dubilier Associates IV
                                        Limited Partnership, the general partner

                                    By:       /s/ Joseph L. Rice, III
                                        ------------------------------------
                                        Name:    Joseph L. Rice, III
                                        Title:   Chairman

                                       37

<PAGE>

                                                                  CONFORMED COPY

                                   EXHIBIT A-1

                     Summary of Terms of RACI A Senior Note

Issuer:                         RACI

Holder:                         C&D Fund IV

Principal Amount:               $20,000,000/1/

Maturity:                       The outstanding principal amount of
                                the Note and any accrued and unpaid interest
                                thereon will be due and payable on the 8th
                                anniversary of the date of issuance (the
                                "Maturity Date"). [To have the same maturity as
                                the New High Yield Debt]

Interest:                       Payable semi-annually in cash on the
                                outstanding principal amount of the Note at a
                                rate of 12% per annum (the "Interest Rate").
                                Interest must be paid to the extent permitted
                                under the New Credit Facility and indenture
                                governing the New High Yield Debt. In the event
                                that any interest is not paid on any required
                                payment date, interest will accrue on such
                                unpaid interest at the Interest Rate.

Mandatory Repayment:            The Note must be repaid in
                                full plus all accrued and unpaid interest
                                immediately (i) upon a change of control of RACI
                                or Remington (as determined under the New Credit
                                Facility or the indenture governing the New High
                                Yield Debt) or sale of all or substantially all
                                the assets of RACI or Remington, (ii)
                                concurrently with the closing of an initial
                                public offering of RACI that includes a primary
                                offering, and prior to the closing of an initial
                                public offering of RACI that includes a
                                secondary offering only, or (iii) upon receipt
                                of notice from C&D Fund IV of (A) an
                                acceleration of Indebtedness (as defined in the
                                Indenture governing the New High Yield Debt)
                                under the New High

----------
/1/   Amount subject to finalization to ensure C&D Fund IV will own under 50% of
      RACI's outstanding stock post-closing.

<PAGE>

                                Yield Debt or the New Credit Facility or any
                                refinancing thereof, or if none of such
                                Indebtedness is then outstanding, an
                                acceleration of Indebtedness in an aggregate
                                amount in excess of $7.5 million or (B) a
                                payment default on the Note.

Mandatory Prepayment:           RACI will use available liquidity to prepay
                                principal to the extent permitted under the New
                                Credit Facility and the indenture governing the
                                New High Yield Debt.

Optional Prepayment             RACI may prepay all or a portion of the
                                principal at any time without any prepayment
                                penalty to the extent permitted under the New
                                Credit Facility and the indenture governing the
                                New High Yield Debt.

Dividends, Etc.                 So long as the Note remains outstanding, RACI
                                will not pay any dividends or distributions
                                (including in redemption of shares) to its
                                equity holders, excluding repurchases of shares
                                of Common Stock, Deferred Shares and Options
                                upon or following termination of employment
                                pursuant to the Management Agreements or other
                                management stock option plans approved by the
                                board of directors of RACI.

Other Covenants.                None.

Ranking:                        The Note will rank pari passu with the RACI B
                                Senior Note and be senior to all other
                                indebtedness of RACI.

Transfer Restrictions:          The Note will be freely transferable in whole or
                                in part, subject to compliance with applicable
                                securities laws and subject to the Investor's
                                right of first offer described below.

Right of First Offer            The Investor will have a right of first offer on
                                customary terms over any proposal to sell all or
                                a portion of the Note to any person other than
                                (i) an affiliate of the holder, or (ii) pursuant
                                to a distribution to C&D Fund IV's partners and

                                        2

<PAGE>

                                thereafter, to the partners and former partners
                                of its general partner.

Governing Law:                  New York

                                        3

<PAGE>

                                   EXHIBIT A-2

                     Summary of Terms of RACI B Senior Note

Issuer:                         RACI

Holder:                         C&D Fund IV

Principal Amount:               To be determined prior to or at Closing.2

Maturity:                       The outstanding principal amount of the Note and
                                any accrued and unpaid interest thereon will be
                                due and payable on the 9th anniversary of the
                                date of issuance (the "Maturity Date").

Interest:                       Payable semi-annually in cash on the outstanding
                                principal amount of the Note at a rate of 15%
                                per annum (the "Interest Rate"). Interest must
                                be paid to the extent permitted under the New
                                Credit Facility and indenture governing the New
                                High Yield Debt. In the event that any interest
                                is not paid on any required payment date,
                                interest will accrue on such unpaid interest at
                                the Interest Rate.

Mandatory Repayment:            The Note must be repaid in full plus all accrued
                                and unpaid interest and the Applicable Premium,
                                if any, immediately (i) upon a change of control
                                of RACI or Remington (as determined under the
                                New Credit Facility or the indenture governing
                                the New High Yield Debt) or sale of all or
                                substantially all the assets of RACI or
                                Remington, (ii) concurrently with the closing of
                                an initial public offering of RACI that includes
                                a primary offering, and prior to the closing of
                                an initial public offering of RACI that includes
                                a secondary offering only, or (iii) upon receipt
                                of notice from C&D Fund IV of a payment default
                                on the Note.

----------
/2/   Amount subject to finalization to ensure C&D Fund IV will own under 50% of
      RACI's outstanding stock post-closing.

                                        4

<PAGE>

Optional Prepayment:            RACI may prepay all or a portion of the
                                principal of the Note at any time for an amount
                                equal to the sum of such principal (or portion
                                thereof), a ratable share of accrued and unpaid
                                interest, and the Applicable Premium, to the
                                extent permitted under the New Credit Facility
                                and the indenture governing the New High Yield
                                Debt.

Applicable Premium:             With respect to a repayment of the Note as
                                described under "Mandatory Repayment" or
                                "Optional Prepayment" above, the "Applicable
                                Premium" will equal an amount sufficient to
                                provide the holder with an internal rate of
                                return of 18% in respect of the principal of the
                                Note (or in the case of a partial prepayment, in
                                respect of such portion of the principal of the
                                Note that is prepaid).

Dividends, Etc.:                So long as the Note remains outstanding, RACI
                                will not pay any dividends or distributions
                                (including in redemption of shares) to its
                                equity holders, excluding repurchases of shares
                                of Common Stock, Deferred Shares and Options
                                upon or following termination of employment
                                pursuant to the Management Agreements or other
                                management stock option plans approved by the
                                board of directors of RACI.

Other Covenants:                None.

Ranking:                        The Note will rank pari passu with the RACI A
                                Senior Note and be senior to all other
                                indebtedness of RACI.

Transfer Restrictions:          The Note will be freely transferable in whole or
                                in part, subject to compliance with applicable
                                securities laws and subject to the Investor's
                                right of first offer described below.

Right of First Offer            The Investor will have a right of first offer on
                                customary terms over any proposal to sell all or
                                a portion of the Note to any person other than
                                (i) an affiliate of the holder, or (ii) pursuant
                                to a distribution to C&D Fund IV's partners and

                                        5

<PAGE>

                                thereafter, to the partners and former partners
                                of its general partner.

Governing Law:                  New York.

                                        6

<PAGE>

                                                                  CONFORMED COPY

                                    EXHIBIT B

                   Summary of Terms of Shareholders Agreement

Parties to Agreement:           RACI
                                C&D Fund IV (including all partners of C&D Fund
                                IV and any partners or former partners of the
                                general partner of C&D Fund IV) Investor

Board of Directors of RACI:     RACI will be managed by a board of directors
                                consisting of initially 12, and following the
                                resignation of the first Initial Independent
                                Director (as defined below), 11 members.

                                C&D Fund IV will have the right to nominate to
                                the board (i) two members for so long as C&D
                                Fund IV holds at least 10% of the outstanding
                                shares of Common Stock and (ii) one member for
                                so long as C&D Fund IV holds at least 1% but
                                less than 10% of the outstanding shares of
                                Common Stock.

                                The Investor will have the right to nominate to
                                the board (i) two members for so long as the
                                Investor holds at least 10% of the outstanding
                                shares of Common Stock and (ii) one member for
                                so long as the Investor holds at least 1% but
                                less than 10% of the outstanding shares of
                                Common Stock.

<PAGE>

                                Each of C&D Fund IV and the Investor will agree
                                to vote its shares of Common Stock to elect each
                                of B. Charles Ames, Hubbard C. Howe, Leon J.
                                Hendrix, Jr. and Thomas L. Millner (the "Named
                                Existing Directors") as a director of RACI:

                                (i) in the case of B. Charles Ames, Hubbard C.
                                Howe and Leon J. Hendrix, Jr., for so long as
                                such director owns at least 1% of the
                                outstanding shares of Common Stock; and

                                (ii) in the case of Thomas L. Millner, for so
                                long as he remains the Chief Executive Officer
                                of RACI,

                                provided that C&D Fund IV and the Investor may
                                mutually agree to remove any person described in
                                clause (i) or (ii).

                                The appointment, removal and replacements of the
                                remaining four members will be mutually agreed
                                upon by the Investor and C&D Fund IV, with the
                                initial members (the "Initial Independent
                                Directors") to be agreed upon prior to the
                                closing of the Investment. The Investor and C&D
                                Fund IV will appoint by mutual agreement any
                                replacement director to fill any vacancy in the
                                seats held by the Named Existing Directors.

                                        2

<PAGE>

                                Notwithstanding the foregoing, following the
                                repayment in full of the RACI A Senior Notes and
                                the RACI B Senior Notes, (i) the appointment,
                                removal and replacement of the Initial
                                Independent Directors may be made by a majority
                                vote of the outstanding shares of Common Stock,
                                (ii) the appointment of any new director to fill
                                a vacancy created by the resignation of any
                                Named Existing Director may be made by a
                                majority vote of the outstanding shares of
                                Common Stock, and (iii) the number of directors
                                will be increased so that the appointment,
                                removal and replacement of a majority of the
                                members of the board (including the Initial
                                Independent Directors and any new director to
                                fill a vacancy created by the resignation of any
                                Named Existing Director) may be made by a
                                majority vote of the outstanding shares of
                                Common Stock.

Board of Directors of           The board of directors of Remington will consist
Remington:                      of the same number of directors, and will have
                                the same composition, as the board of directors
                                of RACI.

Decisions of the Board of       Except for those matters specified in Schedule
Directors of RACI and           A, all matters will be determined by the board
Remington:                      of directors through a simple majority vote of
                                the directors present. The matters specified in
                                Schedule A will require the affirmative vote of
                                nine directors until the RACI A Senior Notes and
                                the RACI B Senior Notes are repaid in full, at
                                which time such matters will be determined
                                through a simple majority vote of the directors
                                present.

Executive Committee of the      The Executive Committee will consist of four
Board of Directors of RACI and  directors. The initial members of the Executive
Remington:                      Committee will be Leon J, Hendrix, Jr., Thomas
                                L. Millner, one director nominated by C&D Fund
                                IV and one director nominated by the Investor.
                                Any replacements of Leon J. Hendrix, Jr. and
                                Thomas L. Millner will be appointed by mutual
                                agreement by the Investor and C&D Fund IV.

Other Board Committees:         As determined by the board of directors of RACI
                                or Remington, as applicable.

                                        3

<PAGE>

Decisions of Shareholders:      Except as set forth below, all matters to be
                                determined by shareholders under Delaware law
                                shall be determined through a simple majority
                                vote in accordance with Delaware law. In no
                                event will RACI or Remington take any of the
                                following actions without the prior written
                                approval of each of C&D Fund IV and the
                                Investor:

                                (a) a sale of RACI or Remington through a sale
                                    of shares, merger, recapitalization, sale of
                                    substantially all of the assets of RACI and
                                    its Subsidiaries, taken as a whole, or other
                                    similar transaction (a "Sale of the
                                    Company");

                                (b) the appointment and termination of the Chief
                                    Executive Officer of RACI and Remington;

                                (c) any amendment to the charter and bylaws of
                                    RACI and Remington or this Shareholders
                                    Agreement;

                                (d) any increase or decrease in the number of
                                    directors of the boards of directors of RACI
                                    and Remington;

                                (e) any transaction between RACI or its
                                    Subsidiaries, on the one hand, and any
                                    shareholder, director or officer of RACI or
                                    any of its Subsidiaries or affiliate of any
                                    such Persons, on the other hand, having a
                                    value in excess of $500,000, other than
                                    customary transactions with any management
                                    shareholders in connection with customary
                                    employment arrangements; and

                                (f) any termination or amendment of the C&D
                                    Consulting Agreement or the BRS Consulting
                                    Agreement.

                                Notwithstanding the foregoing, following the
                                repayment in full of the RACI A Senior Notes and
                                the RACI B Senior Notes:

                                (a) a Sale of the Company will not require the
                                    prior written approval of C&D Fund IV;
                                    instead, C&D Fund IV, or any of its
                                    Affiliates, will have a right of first offer
                                    on customary terms to purchase RACI

                                        4

<PAGE>

                                    or Remington, as the case may be, provided,
                                    that if neither C&D Fund IV nor any of its
                                    Affiliates exercise such right of first
                                    offer, C&D Fund IV and its Affiliates shall
                                    (i) consent to, vote for, participate in (on
                                    the same terms and conditions as the
                                    Investor) and raise no objection against a
                                    Sale of the Company, and (ii) exercise any
                                    "drag-along" right or other similar right
                                    granted to C&D Fund IV and/or its Affiliates
                                    with respect to the capital stock, stock
                                    appreciation rights, profit participation
                                    interests or other similar rights of RACI or
                                    its Subsidiaries; and

                                (b) the appointment and termination of the Chief
                                    Executive Officer of RACI and Remington will
                                    not require the prior written approval of
                                    C&D Fund IV; instead, such appointment and
                                    termination will require the affirmative
                                    vote of at least 73% of all directors then
                                    in office.

Transfer Restrictions:          No transfer of shares other than in accordance
                                with the transfer restrictions contained in the
                                Shareholders Agreement and applicable securities
                                laws.

Permitted Transfers             Each party may transfer to any of its affiliates
                                so long as such transferee agrees to be bound by
                                the Shareholders Agreement. Each of the Investor
                                and C&D Fund IV may distribute its shares of
                                Common Stock to its partners and thereafter, to
                                the partners and former partners of its general
                                partner, which shares will be subject to the
                                Shareholders Agreement and each transferee will
                                be deemed to have granted an irrevocable power
                                of attorney to the Investor's or C&D Fund IV's
                                general partner, as applicable, granting it the
                                power to vote and to dispose of such shares in
                                its sole discretion and to take any other action
                                contemplated by the Shareholders Agreement.

Tag-Along Rights:               Each party will have tag-along rights, on
                                customary terms, in the event of a transfer by
                                C&D Fund IV or the Investor of all or any
                                portion of its shares of Common Stock to any
                                person other than an affiliate of

                                        5

<PAGE>

                                the transferor.

Right of First Offer:           Each of C&D Fund IV and the Investor will have a
                                right of first offer on customary terms over any
                                proposal to sell any shares of Common Stock by
                                the other to any person other than an affiliate
                                of the transferor. Any third party purchaser of
                                Common Stock following a waiver of a right of
                                first offer will be required to agree to be
                                bound by the Shareholders Agreement.

Pre-emptive Rights:             No shareholder will have pre-emptive rights,
                                except that each of C&D Fund IV and the Investor
                                shall have preemptive rights with respect to any
                                issuance of shares of capital stock or
                                securities convertible into shares of capital
                                stock of RACI or its Subsidiaries to any person,
                                except pursuant to the existing management stock
                                option plan or any other management stock option
                                plan approved by the board of directors of RACI.

Registration Rights:            Each party will be entitled to the rights and
                                subject to the obligations set forth in the
                                Registration and Participation Agreement, dated
                                as of November 30, 1993, which will be amended
                                and restated in its entirety at the Closing. The
                                shares of Common Stock issued to the Investor
                                will constitute "Registrable Securities". The
                                Amended and Restated Registration and
                                Participation Agreement will provide for the
                                following:

                                        6

<PAGE>

       Demand Registration      Holders of 50% or more of the outstanding Common
       Rights:                  Stock comprising Registrable Securities may
                                initiate an initial registration.

                                Holders of 20% or more of the outstanding Common
                                Stock comprising Registrable Securities may
                                initiate subsequent registrations.

       Piggy-Back Registration  Holders of Registrable Securities have customary
       Rights:                  piggy-back registration rights.

       Expenses:                RACI will bear the registration expenses of the
                                first five demand registrations. In relation to
                                all other demand registrations, the expenses
                                will be apportioned among the participating
                                holders.

       Underwriters' Lock-up:   If RACI files a registration statement for an
                                underwritten public offering of Common Stock, no
                                holder of Registrable Securities may transfer
                                any shares of Common Stock in a public sale
                                (including a sale under Rule 144) during the 20
                                days before and the 180 days after the effective
                                date of the registration statement, or such
                                shorter period as the underwriters may agree. In
                                no event will the Investor be subject to a
                                longer lockup period than any other shareholder.

Information Rights              RACI will provide the Investor and C&D Fund IV
                                with annual, quarterly and monthly financial
                                statements of RACI and its Subsidiaries and such
                                other information as the Investor may reasonably
                                request.

Access                          RACI will provide each of C&D Fund IV and the
                                Investor with such access to information and
                                management as it may reasonably request.

Repurchases from Employees:     In the event that C&D Fund IV is given the
                                opportunity to exercise any right of first
                                refusal or other right to repurchase any options
                                or shares of capital stock from any employees of
                                the Company, the Investor will be given the
                                opportunity to purchase its pro rata share of
                                such options or shares of capital

                                        7

<PAGE>

                                stock.

Amendment                       The Shareholders Agreement may only be amended
                                by written agreement executed by C&D Fund IV,
                                the Investor and RACI.

Termination:                    The Shareholders Agreement will terminate upon
                                an initial public offering of shares of Common
                                Stock.

Governing Law:                  New York

                                        8

<PAGE>

                                   SCHEDULE A

                          Supermajority Voting Matters

         1.     The entry by RACI or its Subsidiaries into a line of business
unrelated to the lines of businesses that RACI or Remington has at closing.

         2.     The incurrence by RACI or its Subsidiaries of indebtedness for
borrowed money (or the guarantee of indebtedness of any Person other than RACI
or a Subsidiary of RACI) in excess of $5 million at any time outstanding.

         3.     The acquisition by RACI or its Subsidiaries of any assets,
outside of the ordinary course of business, having a value in excess of $5
million.

         4.     The disposition by RACI or its Subsidiaries of any assets,
outside of the ordinary course of business, having a value in excess of $5
million.

         5.     Any voluntary liquidation or dissolution of RACI or Remington.

         6.     Any issuance of shares of capital stock or securities
convertible into shares of capital stock, stock appreciation rights, profit
participation interests or other similar rights of RACI or its Subsidiaries to
any person, except pursuant to any management stock option plan approved by a
supermajority of the board of directors of RACI following the Closing, or
pursuant to the Management Agreements in effect at the Closing.

         7.     The declaration of dividends or other distributions or
repurchases or redemptions of capital stock or options by RACI or Remington,
other than dividends by Remington to RACI to enable RACI to pay interest and
principal on the Note, and repurchases of shares of Common Stock, Deferred
Shares and Options upon or following termination of employment pursuant to the
Management Agreements or other management stock options approved by the board of
directors of RACI.

         8.     The appointment or termination of senior management, other than
the Chief Executive Officer, of RACI or Remington.

         9.     The creation of any compensation or option plan and the setting
of annual compensation for any members of senior management of RACI and its
Subsidiaries.

                                        9

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