CENTURY ALUMINUM CO
EX-10.1: PURCHASE AGREEMENT
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<TYPE>EX-10.1
<SEQUENCE>4
<FILENAME>y68427exv10w1.htm
<DESCRIPTION>EX-10.1: PURCHASE AGREEMENT
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<P align="right" style="font-size: 10pt"><B>Exhibit&nbsp;10.1</B>

<P align="right" style="font-size: 10pt">EXECUTION COPY



<P align="center" style="font-size: 10pt"><B>PURCHASE AGREEMENT</B>



<P align="center" style="font-size: 10pt"><B>dated as of</B>



<P align="center" style="font-size: 10pt"><B>May&nbsp;17, 2004</B>



<P align="center" style="font-size: 10pt"><B>among</B>



<P align="center" style="font-size: 10pt"><B>KAISER ALUMINUM &#038; CHEMICAL CORPORATION<BR>
and<BR>
KAISER BAUXITE COMPANY</B>



<P align="center" style="font-size: 10pt"><B>and</B>



<P align="center" style="font-size: 10pt"><B>GRAMERCY ALUMINA LLC<BR>
and<BR>
ST. ANN BAUXITE LIMITED</B>



<P align="center" style="font-size: 10pt">&nbsp;
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<P align="center" style="font-size: 10pt"><B>TABLE OF CONTENTS</B>


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<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE I DEFINITIONS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">1.1 Definitions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
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<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">1.2 Certain Interpretive Matters</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
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<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">1.2.1 Certain References</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">1.2.2 Titles and Headings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">1.2.3 Participation in Drafting</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE II PURCHASE AND SALE; TREATMENT OF LIABILITIES</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">2.1 Sale and Transfer of Assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">2.2 Assumed Liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">2.3 Retained Liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">2.4 Nonassignable Contracts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">2.4.1 Nonassignability</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">2.4.2 Efforts to Obtain Consents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">2.4.3 Alternative Arrangements If Consents Not Obtained</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">2.4.4 Obligation of Buyers to Perform</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">2.5 Arrangements with Respect to KJBC Owned Real Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">2.6 Conditions Precedent</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">2.7 Permitted Liens</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE III PURCHASE PRICE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">3.1 Aggregate Purchase Price</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">3.2 Deposit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">3.3 Adjustment of Purchase Price</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">3.3.1 Closing Balance Sheet</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">3.3.2 Cooperation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
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<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">3.3.3 Review of Closing Statements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">3.3.4 Adjustment to Purchase Price</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">3.3.5 Estimate of Purchase Price Adjustment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">3.4 Physical Inventory</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">3.5 Purchase Price Allocation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">3.6 Intercompany Accounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
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<P align="center" style="font-size: 10pt"><B>TABLE OF CONTENTS</B><BR>(continued)

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    <TD nowrap align="center" colspan="3"><B>Page</B><HR size="1" noshade></TD>
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    <TD><DIV style="margin-left:30px; text-indent:-10px">3.6.1 KBC</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">3.6.2 Alpart</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE IV CLOSING</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">4.1 Closing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">4.2 Documents to be Delivered by Buyers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.2.1 Purchase Price</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.2.2 Compliance Certificate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.2.3 Officer&#146;s Certificate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.2.4 Assumption Documents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.2.5 Secretary&#146;s Certificate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">4.3 Documents to be Delivered by Sellers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.3.1 Receipt</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.3.2 Compliance Certificate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.3.3 Officer&#146;s Certificate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.3.4 Transfer Documents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.3.5 Secretary&#146;s Certificate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.3.6 Technology Licenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">4.4 Other Documents to be Delivered</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.4.1 Transition and Shared Services Agreement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">4.4.2 Environmental Escrow Agreement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE V REPRESENTATIONS AND WARRANTIES OF SELLERS GENERALLY AND WITH RESPECT TO
KJBC AND KBC</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.1 Organization</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.2 Corporate Authority</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.3 Consents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.4 Partnership Interests</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.4.1 Partners&#146; Respective Holdings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.4.2 No Other Obligation to Transfer Partnership Interest</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.4.3 Title to Partnership Interest</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.5 Interest in Other Persons</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
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<P align="center" style="font-size: 10pt">ii
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<P align="center" style="font-size: 10pt"><B>TABLE OF CONTENTS</B><BR>(continued)

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<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
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    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
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    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Page</B><HR size="1" noshade></TD>
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    <TD><DIV style="margin-left:20px; text-indent:-10px">5.6 Financial Statements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.7 Sufficiency of Assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.8 KBC Inventory</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.9 Conduct of Business</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.10 Real Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.10.1 KJBC Owned Real Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.10.2 KJBC Leased Real Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.10.3 KBC Owned Real Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.10.4 KBC Leased Real Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.10.5 Possession</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.10.6 Zoning and Other Restrictions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.11 Tangible Personal Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.11.1 KJBC Owned Tangible Personal Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.11.2 KJBC Leased Tangible Personal Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.11.3 KBC Owned Tangible Personal Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.11.4 KBC Leased Tangible Personal Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.12 Material Contracts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.12.1 KJBC Material Contracts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.12.2 KBC Material Contracts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.12.3 Agreements Provided</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.13 Intellectual Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.13.1 KJBC Owned Intellectual Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.13.2 KJBC Licensed Intellectual Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.13.3 KBC Owned Intellectual Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.13.4 KBC Licensed Intellectual Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.13.5 No Unresolved Claims</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.14 Permits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.14.1 List of Permits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.14.2 Permit Compliance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.15 Compliance with Law</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt">iii
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="center" style="font-size: 10pt"><B>TABLE OF CONTENTS</B><BR>(continued)

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="94%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Page</B><HR size="1" noshade></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.16 Litigation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.17 Environmental Matters</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.17.1 Environmental Compliance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.17.2 Disposal Sites</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.17.3 List of Environmental Permits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.17.4 Environmental Permit Compliance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.18 Employees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.18.1 Compliance with Laws</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.18.2 Employment and Severance Agreements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.18.3 Liabilities Satisfied</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.19 Labor Matters</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.19.1 Collective Bargaining Agreements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.19.2 No Other Labor Organization</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.20 KBC Plans and Employee Compensation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.21 Administration of KBC Plans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">

    <TD><DIV style="margin-left:20px; text-indent:-10px">5.22 Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.23 Tax Matters</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.23.1 Tax Returns</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.23.2 Unresolved Items</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">5.23.3 Stamp Duty</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.24 Related Party Transactions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.25 Brokers and Finders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">5.26 Title to KBC Purchased Assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE VI REPRESENTATIONS AND WARRANTIES OF KAISER WITH RESPECT TO THE GRAMERCY
PURCHASED ASSETS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.1 Sufficiency of Assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.2 Gramercy Inventory</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.3 Conduct of Business</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.4 Real Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.4.1 Owned Real Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt">iv
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="center" style="font-size: 10pt"><B>TABLE OF CONTENTS</B><BR>(continued)

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="94%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Page</B><HR size="1" noshade></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.4.2 Leased Real Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.4.3 Possession</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.4.4 Zoning and Other Restrictions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.5 Tangible Personal Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.5.1 Owned Tangible Personal Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.5.2 Leased Tangible Personal Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.5.3 Condition of Assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.6 Gramercy Material Contracts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.6.1 Gramercy Material Contracts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.6.2 Agreements Provided</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.7 Intellectual Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.7.1 Owned Intellectual Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.7.2 Licensed Intellectual Property</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.7.3 No Unresolved Claims</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.8 Permits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.8.1 List of Permits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.8.2 Permit Compliance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">38</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.9 Compliance with Law</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">38</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.10 Litigation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">38</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.11 Environmental Matters</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">38</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.11.1 Environmental Compliance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">38</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.11.2 Disposal Sites</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">38</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.11.3 List of Environmental Permits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">38</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.11.4 Environmental Permit Compliance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.12 Labor Matters</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.12.1 Collective Bargaining Agreements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.12.2 No Other Labor Organization</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.13 Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.14 Tax Matters</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.14.1 Tax Returns</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt">v
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="center" style="font-size: 10pt"><B>TABLE OF CONTENTS</B><BR>(continued)

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="94%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Page</B><HR size="1" noshade></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">6.14.2 Unresolved Items</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">6.15 Title to Gramercy Purchased Assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE VII REPRESENTATIONS AND WARRANTIES OF BUYER</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">7.1 Organization</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">7.2 Corporate Authority</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">7.3 Consents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">7.4 Representations Exclusive</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">7.5 Sufficiency of Funds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">7.6 Investment Intent</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">7.7 Brokers and Finders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE VIII CERTAIN COVENANTS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.1 Conduct of the Business; Transition Planning</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.1.1 Certain Restrictions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.1.2 Transition Planning</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.2 Access to Information; Confidentiality</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.3 Commercially Reasonable Efforts; Regulatory Matters</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.3.1 Efforts to Close</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.3.2 Notice of Breaches</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.4 Bankruptcy Court Approval</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.4.1 Sales Process and Approval Motion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.4.2 Hearing for the Bidding Procedures Order</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.5 Sales Order; Cooperation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.5.1 Sales Order</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.5.2 Cooperation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.6 Public Announcements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.7 Tax Matters</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">47</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.7.1 Cooperation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">47</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.7.2 Treatment of Payments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">47</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.7.3 Tax Elections</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">47</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.7.4 Allocation of Taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">47</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt">vi
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="center" style="font-size: 10pt"><B>TABLE OF CONTENTS</B><BR>(continued)

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="94%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Page</B><HR size="1" noshade></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.7.5 Tax Returns and Payments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.7.6 Contests</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.8 KBC Employees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.8.1 Employment Offers for KBC Represented Employees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.8.2 Employment Offers for Non-Represented KBC Employees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.8.3 KBC Labor Agreements and Pension Plans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.8.4 Benefits Maintenance for KBC Represented Employees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.8.5 No Employment Guarantee</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.8.6 No Prohibition on Amendment of Plans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.8.7 Elimination of Severance and Redundancy Obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.9 Seller Employees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.9.1 Employment Offer to Seller Employees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.9.2 Release of Seller Employees; No Solicitation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.10 Gramercy Employees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.10.1 Employment Offers to Gramercy Salaried Employees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">51</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.10.2 Release of Gramercy Salaried Employees; No Solicitation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">51</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.10.3 Collective Bargaining</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">51</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.10.4 Form&nbsp;W-2</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">51</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.10.5 No Employment Guarantee</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">51</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.10.6 WARN Act</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">51</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.11 Plan of Reorganization</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">51</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.12 Financial Statements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.13 Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.14 Confidential Information</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.15 Gramercy Environmental Conditions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.15.1 Scheduled Environmental Conditions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.15.2 Environmental Escrow Agreement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.15.3 Environmental Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.15.4 Release</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.16 Demolition of La Roche Site</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt">vii
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="center" style="font-size: 10pt"><B>TABLE OF CONTENTS</B><BR>(continued)

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="94%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Page</B><HR size="1" noshade></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.17 Procurement of BFPP Letter</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.17.1 Kaiser Assistance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.17.2 Gramercy Environmental History</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.17.3 Coordination with Kaiser</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">55</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.17.4 LDEQ Approval</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">55</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">8.17.5 Alternative Measures</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">55</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.18 LDEQ Compliance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">55</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.19 Trade Names</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.20 Name Change</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">8.21 Further Assurances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE IX CONDITIONS TO CLOSING</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">9.1 Conditions to the Obligations of Each Party</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.1.1 No Injunction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.1.2 HSR</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.1.3 Third Party Consents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.1.4 Bankruptcy Court Approval</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.1.5 Consent Under DIP Facility</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">9.2 Conditions to the Obligations of Sellers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.2.1 Compliance by Buyers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.2.2 Accuracy of Buyers&#146; Representations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.2.3 Assumption Documents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.2.4 Payment of Purchase Price</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.2.5 Resolutions of Buyers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">9.3 Conditions to the Obligations of Buyers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.3.1 Compliance by Sellers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.3.2 Accuracy of Each Seller&#146;s Representations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.3.3 Transfer Documents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.3.4 Environmental Escrow Agreement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.3.5 No Material Adverse Change</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.3.6 Sales Order</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt">viii
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="center" style="font-size: 10pt"><B>TABLE OF CONTENTS</B><BR>(continued)

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="94%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Page</B><HR size="1" noshade></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.3.7 KBC Contracts and Gramercy Contracts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.3.8 Resolutions of Sellers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.3.9 Technology Licenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.3.10 Alcan License</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">9.3.11 Property Taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE X TERMINATION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">10.1 Termination</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">10.1.1 Mutual Consent</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">10.1.2 Sellers Termination</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">10.1.3 Buyers Termination</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">60</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">10.2 Effect of Termination</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">62</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">10.3 Termination Fee</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">62</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE XI INDEMNIFICATION</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">62</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">11.1 Survival of Representations and Warranties</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">11.2 Indemnification by Buyers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">11.3 Indemnification by Sellers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">11.4 Limitations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">11.4.1 Basket and Cap</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">11.4.2 Netting of Insurance Proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">11.5 Procedures</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">11.5.1 Notice of Claim; Information</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">11.5.2 Right to Defense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">65</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">11.6 Exclusive Remedies</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">65</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:10px; text-indent:-10px">ARTICLE XII MISCELLANEOUS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">65</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.1 Entire Agreement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">65</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.2 Notices</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">65</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.3 Amendments and Waivers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">12.3.1 Writing Required</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">12.3.2 No Implied Waiver</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.4 Expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt">ix
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="center" style="font-size: 10pt"><B>TABLE OF CONTENTS</B><BR>(continued)

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="94%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Page</B><HR size="1" noshade></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">12.4.1 Expenses Relating to this Agreement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">12.4.2 Consents and Transfers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">12.4.3 Certain Other Obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">68</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">12.4.4 Certain Jamaican Filings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">68</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:30px; text-indent:-10px">12.4.5 Rights to Refunds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">68</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-10px">12.4.6 Certain Prohibitions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">68</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.5 Damages</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">68</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.6 Successors and Assigns</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.7 Governing Law</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.8 Bulk Sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.9 Knowledge</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.10 Consent to Jurisdiction; Arbitration</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:40px; text-indent:-10px">12.10.1 During Bankruptcy Cases</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:40px; text-indent:-10px">12.10.2 Post-Bankruptcy</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:40px; text-indent:-10px">12.10.3 Disputes as to Arbitration</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:40px; text-indent:-10px">12.10.4 Service of Process</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #eeeeee">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.11 Severability</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:20px; text-indent:-10px">12.12 Counterparts; Effectiveness</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">70</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt">x
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<P align="center" style="font-size: 10pt"><B>TABLE OF SCHEDULES AND EXHIBITS</B>



<P align="left" style="font-size: 10pt"><B>SCHEDULES</B>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="27%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="68%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;1.1(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Excluded Assets</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;1.1(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Excluded Contracts</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;1.1(c)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Excluded Assets</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;1.1(d)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Excluded Contracts</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;3.5</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Purchase Price Allocation</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.3</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Seller Consents</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.6</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Financial Statements</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.8</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Inventory Statement</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.9</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Conduct of KJBC Operations</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.10.1(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Owned Real Property Liens</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.10.1(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Owned Real Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.10.2(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Leased Real Property Liens</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.10.2(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Leased Real Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.10.3(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Owned Real Property Liens</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.10.3(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Owned Real Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.10.4(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Leased Real Property Liens</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.10.4(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Leased Real Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.10.5</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Possession; Encroachment</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.10.6(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Zoning Restrictions</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.10.6(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Zoning Applications</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.11.1(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Owned Tangible Personal Property Liens</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.11.1(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Owned Tangible Personal Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.11.2(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Leased Tangible Personal Property Rights</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.11.2(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Leased Tangible Personal Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.11.3(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Owned Tangible Personal Property Liens</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.11.3(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Owned Tangible Personal Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.11.4(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Leased Tangible Personal Property Rights</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.11.4(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Leased Tangible Personal Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.12.1(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Material Contracts</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.12.1(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Disputes Under KJBC Material Contracts</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.12.2(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Material Contracts</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.12.2(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Disputes Under KBC Material Contracts</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.13.1(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Owned Intellectual Property Rights</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.13.1(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Owned Intellectual Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.13.2(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Licensed Intellectual Property Rights</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.13.2(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Licensed Intellectual Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.13.3(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Owned Intellectual Property Rights</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.13.3(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Owned Intellectual Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.13.4(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Licensed Intellectual Property Rights</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.13.4(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Licensed Intellectual Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.14.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC/KBC Permits</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.14.2</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC/KBC Permit Compliance</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt">xi
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="27%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="68%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.15</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC/KBC Compliance with Law</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.16</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC/KBC Litigation</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.17.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC/KBC Environmental Matters</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.17.2</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC/KBC Disposal Sites</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.17.3</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC/KBC Environmental Permits</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.17.4</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC/KBC Environmental Permit Compliance</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.18.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Employees</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.18.2</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Employment and Severance Agreements</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.19.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC/KBC Labor and Collective Bargaining Agreements</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.20</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Plans</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.21</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Administration of KBC Plans</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.22</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Insurance Policies</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.23.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Tax Returns</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;5.23.2</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Unresolved Items</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.2</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Inventory Statement</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.3</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Conduct of Gramercy Operations</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.4.1(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Owned Real Property Liens</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.4.1(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Owned Real Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.4.2(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Leased Real Property Liens</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.4.2(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Leased Real Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.4.4(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Zoning Restrictions</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.4.4(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Zoning Applications</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.5.1(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Owned Tangible Personal Property Liens</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.5.1(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Owned Tangible Personal Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.5.2(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Leased Tangible Personal Property Rights</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.5.2(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Leased Tangible Personal Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.5.3</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Condition of Assets</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.6.1(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Material Contracts</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.6.1(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Disputes Under Gramercy Material Contracts</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.7.1(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Owned Intellectual Property Rights</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.7.1(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Owned Intellectual Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.7.2(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Licensed Intellectual Property Rights</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.7.2(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Licensed Intellectual Property</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.8.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Permits</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.8.2</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Permit Compliance</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.9</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Compliance with Law</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.10</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Litigation</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.11.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Environmental Matters</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.11.2</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Disposal Sites</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.11.3</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Environmental Permits</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.11.4</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Environmental Permit Compliance</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.12.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Labor and Collective Bargaining Agreements</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.13</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Insurance Policies</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.14.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Tax Returns</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;6.14.2</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Unresolved Items</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;7.3</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Buyers Consents</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt">xii
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="27%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="68%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;8.1.1(a)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Conduct of the Businesses</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;8.1.1(b)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KJBC Capital Spending Plans</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;8.1.1(c)</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Capital Spending Plans</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;8.8.3</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KBC Pension Plans</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;8.9.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Seller Employees</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;8.10.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Salaried Employees</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;8.15.1</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gramercy Scheduled Environmental Conditions</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;9.1.3</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Third Party Consents</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Schedule&nbsp;12.9</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Sellers&#146; Knowledge</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="left" style="font-size: 10pt"><B>EXHIBITS</B>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="85%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="14%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="81%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Exhibit&nbsp;A</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Bidding and Auction Procedures</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Exhibit&nbsp;B</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Environmental Escrow Agreement</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Exhibit&nbsp;C</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Escrow Agreement</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Exhibit&nbsp;D</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Sample Calculation of Closing Gramercy Inventory
Statement</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Exhibit&nbsp;E</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Sample Calculation of Modified Working Capital</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Exhibit&nbsp;F</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Sample Calculation of Closing KBC Inventory Statement</TD>

</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Exhibit&nbsp;G</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Sales Process and Approval Motion</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Exhibit&nbsp;H</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Sales Order</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Exhibit&nbsp;I</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of KJBC Technology License Agreement</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Exhibit&nbsp;J</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Gramercy Technology License Agreement</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt">xiii
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<P align="center" style="font-size: 10pt"><B>PURCHASE AGREEMENT</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This PURCHASE AGREEMENT (this &#147;Agreement&#148;) is made and entered into as of
May&nbsp;17, 2004, by and among Kaiser Aluminum &#038; Chemical Corporation, a Delaware
corporation (&#147;Kaiser&#148;), Kaiser Bauxite Company, a Nevada corporation (&#147;KBC,&#148;
and collectively with Kaiser, &#147;Sellers&#148;), St. Ann Bauxite Limited, a Jamaican
private limited company (&#147;KJBC Buyer&#148;), and Gramercy Alumina LLC, a Delaware
limited liability company (&#147;Gramercy Buyer&#148; and collectively with KJBC Buyer,
&#147;Buyers&#148;).


<P align="center" style="font-size: 10pt"><B>RECITALS:</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A.&nbsp;Kaiser Jamaica Bauxite Company (&#147;KJBC&#148;) is a Jamaican registered
partnership between KBC and Jamaica Bauxite Mining Company Ltd., a Government
of Jamaica state-owned corporation (&#147;JBM&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B.&nbsp;KBC is a wholly-owned subsidiary of Kaiser.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C.&nbsp;KBC and JBM, doing business as KJBC, own and operate a bauxite mining
operation on the north coast of Jamaica, including drying, storage and shipping
facilities located at Port Rhoades, Discovery Bay (the &#147;KJBC Operations&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D.&nbsp;Under the Partnership Agreement (as defined below), ownership of all
real and personal property of KJBC is vested in the partners of KJBC in
proportion to each partner&#146;s Partnership Interest (as defined below), and
therefore, legal title to the property used in the KJBC Operations is held by
KBC and JBM, as tenants in common, for the use and benefit of KJBC.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;E.&nbsp;Kaiser owns and operates an alumina refinery (&#147;Gramercy&#148;) located on
the Mississippi River in Gramercy, Louisiana, including drying and material
handling facilities, a power house for steam and electricity production, a deep
water dock and a third party barge loading facility (the &#147;Gramercy Operations&#148;
and together with the KJBC Operations, the &#147;Combined Operations&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;F.&nbsp;On February&nbsp;12, 2002 (the &#147;Kaiser Petition Date&#148;) Kaiser filed, and on
January&nbsp;14, 2003 (the &#147;KBC Petition Date&#148;) KBC filed, voluntary petitions for
relief under chapter 11 of title 11 of the United States Code (as now in effect
or hereafter amended, the &#147;Bankruptcy Code&#148;) with the United States Bankruptcy
Court for the District of Delaware (the &#147;Bankruptcy Court&#148;), and those chapter
11 cases (collectively, the &#147;Bankruptcy Cases&#148;) have been consolidated for
procedural purposes only and are being administered jointly as Case No.
02-10429 (JKF).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;G.&nbsp;Sellers desire to sell, and Buyers desire to purchase, the KBC
Purchased Assets (as defined below) and the Gramercy Purchased Assets (as
defined below), pursuant to, inter alia, Sections&nbsp;363 and 365 of the Bankruptcy
Code, on the terms and subject to the conditions hereinafter set forth.


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="center" style="font-size: 10pt"><B>AGREEMENTS:</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NOW, THEREFORE, in consideration of the representations, warranties and
covenants set forth in this Agreement, and for other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged,
Sellers and Buyers hereby agree as follows:


<P align="center" style="font-size: 10pt"><B>ARTICLE I<BR>
DEFINITIONS</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 Definitions. The following capitalized terms used in this Agreement
shall have the respective meanings ascribed to them in this Section&nbsp;1.1:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;ACC&#148; has the meaning set forth in Section&nbsp;8.14.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Adjustment&#148; has the meaning set forth in Section&nbsp;3.3.4.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Adjustment Request&#148; has the meaning set forth in Section&nbsp;3.3.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Affiliate&#148; means, with respect to any Person, any other Person who
directly or indirectly controls, is controlled by or is under the common
control with that Person. For the purposes of this definition, the term
&#147;control,&#148; when used with respect to any Person, means the possession, directly
or indirectly, of the power to direct or cause the direction of the management
and policies of that Person, whether through the ownership of voting
securities, by contract or otherwise.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Agreement&#148; has the meaning set forth in the introductory paragraph of
this purchase agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Alcan License&#148; has the meaning set forth in Section&nbsp;9.3.10.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Alpart&#148; means Alumina Partners of Jamaica.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Assumed Liabilities&#148; means the KBC Assumed Liabilities and the Gramercy
Assumed Liabilities.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Assumption Documents&#148; means those instruments of assumption and other
instruments and documents as may be necessary or appropriate to effect or to
evidence assumption of the Assumed Liabilities by Buyers in accordance with the
terms of this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Auction&#148; has the meaning set forth in the Bidding and Auction Procedures.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Balance Sheet&#148; has the meaning set forth in Section&nbsp;5.6.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Balance Sheet Date&#148; has the meaning set forth in Section&nbsp;5.6.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Balance Sheet Date Gramercy Inventory Statement&#148; has the meaning set

forth in Section&nbsp;6.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Balance Sheet Date KBC Inventory Statement&#148; has the meaning set forth in
Section&nbsp;5.8.


<P align="center" style="font-size: 10pt">2
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Bankruptcy Cases&#148; has the meaning set forth in Recital F to this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Bankruptcy Code&#148; has the meaning set forth in Recital F to this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Bankruptcy Court&#148; has the meaning set forth in Recital F to this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Bankruptcy Laws&#148; means the Bankruptcy Code, the Federal Rules of
Bankruptcy Procedure, as amended, and the local rules of the Bankruptcy Court.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Bankruptcy Pleadings&#148; means all pleadings relating to this Agreement
filed with the Bankruptcy Court by either Seller or any other Person.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Basket&#148; has the meaning set forth in Section&nbsp;11.4.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;BFPP Letter&#148; means a document from the LDEQ addressed to Gramercy Buyer
in form and substance acceptable to Gramercy Buyer, confirming the status of
Gramercy Buyer as a &#147;bona fide prospective purchaser&#148; as contemplated under
LSA-R.S. 30:2271-2283 with respect to the Gramercy Site.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Bidding and Auction Procedures&#148; means the bidding and auction procedures,
substantially in the form attached hereto as Exhibit&nbsp;A, to be followed in
connection with the proposed sale by the Sellers of the Purchased Assets as
approved by the Bidding Procedures Order.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Bidding Procedures Hearing&#148; has the meaning set forth in Section&nbsp;8.4.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Bidding Procedures Order&#148; has the meaning set forth in Section&nbsp;8.4.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Book Value&#148; has the meaning set forth in Section&nbsp;3.3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Buyer Indemnified Parties&#148; has the meaning set forth in Section&nbsp;11.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Buyers&#148; has the meaning set forth in the introductory paragraph to this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Buyers&#146; Proposed Calculations&#148; has the meaning set forth in Section
3.3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Closing&#148; means the consummation of the purchase and sale of the Purchased
Assets contemplated by this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Closing Balance Sheet&#148; has the meaning set forth in Section&nbsp;3.3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Closing Date&#148; has the meaning set forth in Section&nbsp;4.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Closing Employee Loan Statement&#148; has the meaning set forth in Section
3.3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Closing Gramercy Inventory&#148; has the meaning set forth in Section&nbsp;3.3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Closing Gramercy Inventory Statement&#148; has the meaning set forth in
Section&nbsp;3.3.1.


<P align="center" style="font-size: 10pt">3
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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Closing KBC Inventory&#148; has the meaning set forth in Section&nbsp;3.3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Closing KBC Inventory Statement&#148; has the meaning set forth in Section
3.3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Closing Modified Working Capital&#148; has the meaning set forth in Section
3.3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Closing Statements&#148; has the meaning set forth in Section&nbsp;3.3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Combined Operations&#148; has the meaning set forth in Recital E to this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Confidentiality Agreement&#148; means the Confidentiality Agreement, dated
June&nbsp;14, 2003, between Kaiser and Century Aluminum Company.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Consent&#148; means any consent, waiver, approval, order or authorization of,
or registration, declaration or filing with or notice to, any Person, including
any required passage of time or waiting period after any such registration,
declaration or filing.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Deposit&#148; has the meaning set forth in Section&nbsp;3.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;DIP Facility&#148; means the Post-Petition Credit Agreement, dated as of
February&nbsp;12, 2002, among Kaiser Aluminum &#038; Chemical Corporation, Kaiser
Aluminum Corporation, certain financial institutions party thereto and Bank of
America, N.A., as Agent (as amended, modified, supplemented, restated or
replaced from time to time).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Dispute Notice&#148; has the meaning set forth in Section&nbsp;3.5.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Effective Time&#148; means 11:59&nbsp;p.m. on the Closing Date.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Election A&#148; has the meaning set forth in the Bidding and Auction
Procedures.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Election B&#148; has the meaning set forth in the Bidding and Auction
Procedures.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Eligible Participants&#148; has the meaning set forth in the Bidding and
Auction Procedures.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Environment&#148; means any land (including soil, surface land and sub-surface
strata, sea bed or river bed under any water referred to below and any natural
or man-made structures), any waters (including coastal and inland waters,
surface waters, ground waters, aquifers and water in pipes, drains or other
conduits) and air (including ambient air and air within buildings and other
natural or man-made structures above or below ground).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Environmental Deposit&#148; has the meaning set forth in Section&nbsp;8.15.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Environmental Escrow Agent&#148; means Bank of Texas, N.A.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Environmental Escrow Agreement&#148; means the environmental escrow agreement,
substantially in the form attached hereto as Exhibit&nbsp;B, to be executed and
delivered by and among, Kaiser, Gramercy Buyer and the Environmental Escrow
Agent prior to Closing.


<P align="center" style="font-size: 10pt">4
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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Environmental Laws&#148; means any and all Laws, and applicable standards
adopted by Governmental Entities with which compliance is mandatory, relating
to the protection of the Environment or releases of Hazardous Materials into
the Environment or otherwise relating to the manufacture, use, treatment,
storage, transport, disposal or handling of Hazardous Materials or the clean-up
or other remediation thereof.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Environmental Termination Date&#148; has the meaning set forth in Section
11.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;ERISA&#148; means the Employee Retirement Income Security Act of 1974, as
amended.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Escrow Agent&#148; means Bank of Texas, N.A.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Escrow Agreement&#148; means the escrow agreement, substantially in the form
attached hereto as Exhibit&nbsp;C, to be executed and delivered by and among
Sellers, Gramercy Buyer and the Escrow Agent simultaneously with the execution
and delivery of this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Estimated Balance Sheet&#148; has the meaning set forth in Section&nbsp;3.3.5.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Estimated Calculations&#148; has the meaning set forth in Section&nbsp;3.3.5.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Estimated Gramercy Inventory Statement&#148; has the meaning set forth in
Section&nbsp;3.3.5.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Estimated KBC Employee Loan Statement&#148; has the meaning set forth in
Section&nbsp;3.3.5.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Estimated KBC Inventory Statement&#148; has the meaning set forth in Section
3.3.5.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Estimated Purchase Price&#148; has the meaning set forth in Section&nbsp;3.3.5.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Estimated Statements&#148; has the meaning set forth in Section&nbsp;3.3.5.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Final Allocable Amount&#148; has the meaning set forth in Section&nbsp;3.5.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Final Allocation Statement&#148; has the meaning set forth in Section&nbsp;3.5.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Final Order&#148; means an order or judgment of the Bankruptcy Court (a)&nbsp;that
is not the subject of a pending appeal, petition for certiorari, motion for
reconsideration or other proceeding for review, rehearing or reargument, (b)
that has not been reversed, stayed, modified or amended, and (c)&nbsp;that the time
period in which to appeal, to petition for certiorari, to move for
reconsideration or to seek review, rehearing or reargument shall have expired,
as a result of which such order shall have become final in accordance with Rule
8002 of the Federal Rules of Bankruptcy Procedure and other applicable Laws.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Final Purchase Price&#148; has the meaning set forth in Section&nbsp;3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Futures Representative&#148; has the meaning set forth in Section&nbsp;8.14.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;General Termination Date&#148; has the meaning set forth in Section&nbsp;11.1.


<P align="center" style="font-size: 10pt">5
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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;GOJ Approval&#148; means (a)&nbsp;an agreement between KJBC Buyer and the
applicable Governmental Entities of Jamaica with respect to a fiscal regime for
KJBC Buyer relating to its ownership of the KBC Purchased Assets, including in
respect of income taxes, bauxite levies, bauxite royalties, property taxes,
customs duties, asset usage fees and land use, dedication and depletion fees,
that is consistent with the release of Sellers from any obligation to the
applicable Governmental Entities of Jamaica arising from the operation of the
KJBC Operations from and after Closing and (b)&nbsp;the consents listed or described
on Schedule&nbsp;5.3 required to be obtained from the applicable Governmental
Entities of Jamaica.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;GOJ Release&#148; has the meaning set forth in Section&nbsp;10.1.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Governmental Entity&#148; means any federal, state, parish, local, municipal,
foreign or other government or any provincial, departmental or political
subdivision thereof, or any entity, body or authority exercising or entitled to
exercise any administrative, executive, judicial, legislative, policy,
regulatory or taxing authority or power of any nature, or any court,
department, commission, board, bureau, agency, instrumentality or
administrative body of any of the foregoing, including any arbitral body.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy&#148; has the meaning set forth in Recital E to this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Assumed Liabilities&#148; means all liabilities and obligations
arising out of or relating to the ownership and use of the Gramercy Purchased
Assets or the operation of the Gramercy Operations after the Effective Time,
but excluding the Gramercy Retained Liabilities.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Buyer&#148; has the meaning set forth in the introductory paragraph
to this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Contracts&#148; means all licenses, contracts, agreements,
commitments and undertakings, whether written or oral, to which Kaiser is a
party or by which Kaiser is bound and that are included in the Gramercy
Purchased Assets.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Employees&#148; shall mean the Gramercy Salaried Employees and the
Gramercy Represented Employees.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Excluded Assets&#148; means: (a)&nbsp;cash and cash equivalents of
Kaiser; (b)&nbsp;accounts receivable of Kaiser; (c)&nbsp;insurance policies insuring the
Gramercy Operations or the Gramercy Purchased Assets; (d)&nbsp;Kaiser&#146;s corporate
seals, minute books, charter documents, Tax Returns and work papers related
thereto, corporate stock record books and records pertaining to organization,
existence or share capitalization and such books and records as are necessary
to enable Kaiser to file its Tax Returns and reports; (e)&nbsp;rights (including
rights to indemnification, contribution, subrogation or reimbursement, rights
under or pursuant to warranties and rights arising from or related to defense,
release, compromise, discharge or satisfaction), claims, actions, causes of
action, judgments, deferred charges, advance payments, prepaid items, security
and other deposits, claims for refunds, rights of offset and credits of
whatever nature relating to any of the assets referred to in any other clause
of this definition or to any of the Gramercy Retained Liabilities; (f)&nbsp;refunds
of Taxes attributable to any period or portion thereof ending on or prior to
the Effective Time (except for any refunds, claims for refunds or credits of
any Transfer Taxes paid by Buyers, either directly or indirectly as
reimbursement to Sellers, pursuant


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<P align="left" style="font-size: 10pt">to Section&nbsp;12.4); (g)&nbsp;the trademark &#147;Kaiser&#148; and any variation thereof,
whether alone or in combination with other words, and goodwill associated
therewith; (h)&nbsp;domain names and internet pages employing the name &#147;Kaiser&#148; and
internet protocol address space allocated to Kaiser; (i)&nbsp;access to Kaiser
telephone and computer networks, including internet mail; (j)&nbsp;rights of Kaiser
under this Agreement; and (k)&nbsp;all other assets listed or described on Schedule
1.1(a); provided, however, that by written notice to Buyers delivered prior to
June&nbsp;14, 2004, Sellers may designate any Gramercy Contract set forth on
Schedule&nbsp;1.1(b) as a Gramercy Excluded Asset.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Exit Agreement&#148; has the meaning set forth in Section&nbsp;10.1.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Inventory&#148; means, as of any particular date, all of Kaiser&#146;s
bauxite inventory, inventories of raw materials, work in process, finished
goods, processing supplies and stores owned by Kaiser and relating primarily to
the conduct of the Gramercy Operations.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Labor Agreement&#148; means the 2000 Labor Agreement, dated September
18, 2000, between Kaiser and United Steelworkers of America AFL-CIO, as
amended, including as amended by (a)&nbsp;the Settlement Agreement, dated September
18, 2000, between Kaiser and the United Steelworkers of America AFL-CIO, and
(b)&nbsp;Kaiser&#146;s final proposal to the United Steelworkers of America AFL-CIO under
11 U.S.C. Section&nbsp;1113 and 1114, dated January&nbsp;27, 2004, when and if effective.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Leased Real Property&#148; has the meaning set forth in Section
6.4.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Leased Tangible Personal Property&#148; has the meaning set forth in
Section&nbsp;6.5.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Licensed Intellectual Property&#148; has the meaning set forth in
Section&nbsp;6.7.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Listed Insurance Policies&#148; has the meaning set forth in Section
6.13.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Material Contracts&#148; means any Gramercy Contract (a)&nbsp;involves
aggregate future payments in excess of $1,000,000 or (b)&nbsp;extends for a period
of more than 12&nbsp;months and cannot be cancelled by Kaiser upon 90 or fewer days
prior notice without further payment or penalty.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Operations&#148; has the meaning set forth in Recital E to this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Owned Intellectual Property&#148; has the meaning set forth in
Section&nbsp;6.7.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Owned Real Property&#148; has the meaning set forth in Section&nbsp;6.4.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Owned Tangible Personal Property&#148; has the meaning set forth in
Section&nbsp;6.5.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Plan&#148; means any Plan, other than the Gramercy Labor Agreement,
used in connection with Gramercy Employees and sponsored or contributed to or
required to be contributed to by Kaiser or any other Person for the benefit of
the Gramercy Employees or former Gramercy Employees or their dependents.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Purchased Assets&#148; means Kaiser&#146;s right, title and interest in,
to and under the rights, properties and assets of every kind, character or
description, whether real, personal, or mixed, or fixed, contingent or
otherwise, wherever located, used by Kaiser primarily in connection with, or
relating primarily to, the conduct of the Gramercy Operations, including assets
in the categories listed on Exhibit&nbsp;D, but excluding the Gramercy Excluded
Assets.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Real Property&#148; has the meaning set forth in Section&nbsp;6.4.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Represented Employees&#148; has the meaning set forth in Section
8.10.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Retained Liabilities&#148; means all liabilities and obligations of
Kaiser (1)&nbsp;arising out of or relating to the ownership or use of the Gramercy
Purchased Assets or the operation of the Gramercy Operations at or prior to the
Effective Time (regardless of whether any such liabilities and obligations are
listed or described in the schedules to this Agreement), including: (a)&nbsp;all
accounts payable arising out of or relating to the ownership and use of the
Gramercy Purchased Assets at or prior to the Effective Time; (b)&nbsp;all
liabilities and obligations of Kaiser for any Taxes (including all such
liabilities and obligations arising under any Tax sharing agreement or similar
arrangement to which Kaiser is a party) arising out of or relating to the
ownership or use of the Gramercy Purchased Assets at or prior to the Effective
Time; (c)&nbsp;all liabilities and obligations of Kaiser with respect to any
warranty or similar liabilities or obligations relating to alumina sold at or
prior to the Effective Time; (d)&nbsp;all indemnification, warranty and similar make
whole obligations arising under the Gramercy Contracts in respect of or
resulting from acts, occurrences and omissions at or prior to the Effective
Time; (e)&nbsp;all liabilities and obligations that result from any breach of a
Gramercy Contract at or prior to the Effective Time, or any performance or
non-performance thereof or compliance or failure to comply therewith on the
part of either Seller, including for fraud, breach or misfeasance or under any
other theory, relating to either Seller&#146;s conduct at or prior to the Effective
Time; (f)&nbsp;all liabilities and obligations of Kaiser with respect to employees
and former employees of Kaiser, including the Gramercy Employees, arising at or
prior to the Effective Time; (g)&nbsp;all liabilities and obligations of Kaiser for
torts arising out of or resulting from acts, occurrences and omissions in
connection with the ownership or use of the Gramercy Purchased Assets at or
prior to the Effective Time; (h)&nbsp;all liabilities and obligations of Kaiser
under any Laws arising out of or resulting from acts, occurrences and omissions
in connection with the ownership or use of the Gramercy Purchased Assets at or
prior to the Effective Time; and (2) (a)&nbsp;all liabilities and obligations of
Kaiser arising out of or relating to the ownership or use of the Gramercy
Excluded Assets (whether prior to, on or after the Effective Time); (b)&nbsp;all
liabilities and obligations of Kaiser arising under the Gramercy Labor
Agreement, any Gramercy Plan or the National Labor Relations Act, including all
liabilities and obligations of Kaiser under Title IV of ERISA for any &#147;employee
pension benefit plan&#148; as defined in Section&nbsp;3(2) of ERISA; (c)&nbsp;all liabilities
and obligations of Kaiser arising under this Agreement or the transactions
contemplated hereby; (d)&nbsp;all liabilities and obligations of Kaiser with respect
to costs and expenses incurred by Kaiser in connection with this Agreement or
the administration of the Bankruptcy Cases; (e)&nbsp;all indebtedness for borrowed
money of Kaiser, including all liabilities and obligations of Kaiser under the
DIP Facility; (f)&nbsp;all liabilities and obligations payable pursuant to Section
365(b)(1)(A) or (B)&nbsp;of the Bankruptcy Code in order to effectuate, pursuant to
the Bankruptcy Code, the assumption by Sellers and assignment to Gramercy Buyer
of the Gramercy Contracts to the extent contemplated by this Agreement as of
the Effective Time pursuant to Bankruptcy Court approval; and (g)&nbsp;all
liabilities


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<P align="left" style="font-size: 10pt">and obligations under Environmental Laws arising from Offsite Disposal or
any Pre-Closing Environmental Release.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Salaried Employees&#148; has the meaning set forth in Section&nbsp;8.10.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Scheduled Environmental Conditions&#148; has the meaning set forth in
Section&nbsp;8.15.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Gramercy Site&#148; means all real property in St. John and St. James
Parishes, Louisiana, in which Kaiser has a real property interest of any kind,
including those interests listed or described on Schedule&nbsp;6.4.1(b) and Schedule
6.4.2(b).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Hazardous Materials&#148; means any substance defined as toxic, radioactive
and otherwise hazardous and regulated under Environmental Laws, including
substances the presence of which requires or may require remediation under any
Laws.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;HSR Act&#148; means the Hart-Scott-Rodino Antitrust Improvements Act of 1976,
as amended.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;HSR Filings&#148; means any filings required under the HSR Act.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Indemnification Claim&#148; has the meaning set forth in Section&nbsp;11.5.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Independent Auditor&#148; has the meaning set forth in Section&nbsp;3.5.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Independent Observer&#148; means such individual or individuals as Buyers and
Sellers mutually agree.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Intellectual Property&#148; means trademarks, trade names, brand names and
other marks or trade rights, and patents, copyrights, designs, patterns,
know-how, formulae, treatments, processes and all other intellectual property
or proprietary rights, whether registered or unregistered, domestic or foreign,
and all applications thereof and goodwill associated therewith.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Intercompany Obligations&#148; means all intercompany notes, cash advances and
payables between Sellers and their Affiliates (other than KJBC), on the one
hand, and KJBC, on the other hand, arising from transactions between Seller and
their Affiliates (other than KJBC), on the one hand, and KJBC, on the other
hand, prior to the Effective Time.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;JBM&#148; has the meaning set forth in Recital A to this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;JGAAP&#148; means accounting principles generally acceptable in Jamaica.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Kaiser&#148; has the meaning set forth in the introductory paragraph to this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Kaiser Petition Date&#148; has the meaning set forth in Recital F to this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC&#148; has the meaning set forth in the introductory paragraph to this
Agreement.


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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Assumed Liabilities&#148; means all liabilities and obligations of KBC
whatsoever arising out of or relating to the ownership and use of the KBC
Purchased Assets or the operation of the KJBC Operations (including liabilities
in the categories listed on Exhibit&nbsp;E, all liabilities and obligations arising
under the KBC Labor Agreements and KBC Plans, all liabilities and obligations
of KBC owing to KJBC and all liabilities and obligations of KBC for which it,
together with any other partner of KJBC, are jointly and severally liable
because such parties are liable for obligations of KJBC as a matter of law by
virtue of their status as a general partner of KJBC), whether arising prior to,
on or after the Petition Date, that have not been satisfied and discharged
prior to Closing, but excluding, in all cases, the KBC Retained Liabilities.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Contracts&#148; means all licenses, contracts, agreements, commitments and
undertakings, whether written or oral, to which KBC is a party or by which KBC
is bound that are included in the KBC Purchased Assets.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Employee Loans&#148; means outstanding loans made by KBC to KBC Employees
and classified on the balance sheet of KBC as &#147;Employee Receivables: Auto
Loan,&#148; &#147;Employee Receivables: Home Loan&#148; or &#147;Employee Receivables: Soft
Loans.&#148;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Employees&#148; has the meaning set forth in Section&nbsp;8.8.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Excluded Assets&#148; means: (a)&nbsp;cash and cash equivalents of KBC; (b)
accounts receivable of KBC (other than amounts due from KJBC and accounts
receivable owing from employees or former employees of KBC under KBC Employee
Loans); (c)&nbsp;insurance policies insuring the KJBC Operations or the KBC
Purchased Assets; (d)&nbsp;KBC&#146;s corporate seals, minute books, charter documents,
Tax Returns and work papers related thereto, corporate stock record books and
records pertaining to organization, existence or share capitalization and such
books and records as are necessary to enable KBC to file its Tax Returns and
reports; (e)&nbsp;rights (including rights to indemnification, contribution,
subrogation or reimbursement, rights under or pursuant to warranties and rights
arising from or related to defense, release, compromise, discharge or
satisfaction), claims, actions, causes of action, judgments, deferred charges,
advance payments, prepaid items, security and other deposits, claims for
refunds, rights of offset and credits of whatever nature relating to any of the
assets referred to in any other clause of this definition or to any of the KBC
Retained Liabilities; (f)&nbsp;refunds of Taxes (except for any refunds, claims for
refunds or credits of any Transfer Taxes paid by Buyers, either directly or
indirectly as reimbursement to Sellers, pursuant to Section&nbsp;12.4) attributable
to any period or portion thereof ending at or prior to the Effective Time; (g)
the trademark &#147;Kaiser&#148; and any variation thereof, whether alone or in
combination with other words, and goodwill associated therewith; (h)&nbsp;domain
names and internet pages employing the name &#147;Kaiser&#148; and internet protocol
address space allocated to Kaiser; (i)&nbsp;access to Kaiser telephone and computer
networks, including internet mail; (j)&nbsp;rights of KBC under this Agreement; (k)
rights of KBC under the Sherwin Contract; and (l)&nbsp;any other assets listed or
described on Schedule&nbsp;1.1(c); provided, however, that by written notice to
Buyers delivered prior to June&nbsp;14, 2004, Sellers may designate any KBC Contract
set forth on Schedule&nbsp;1.1(d) as a KBC Excluded Asset. The KBC Excluded Assets
shall not include any KJBC Assets.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Inventory&#148; means, as of any particular date, all of KBC&#146;s work in
process and bauxite inventories held for sale to customers in the ordinary
course of business.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Labor Agreements&#148; means (a)&nbsp;the Memorandum of Agreement, dated
December&nbsp;6, 1999, between KJBC and the Union of Technical, Administrative and
Supervisory Personnel, representing certain categories of salaried employees,
and (b)&nbsp;the Memorandum of Agreement, dated December&nbsp;2, 1999, between KJBC and
the University for Allied Workers Union, representing the Hourly-Paid
Bargaining Unit.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Leased Real Property&#148; has the meaning set forth in Section&nbsp;5.10.4.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Leased Tangible Personal Property&#148; has the meaning set forth in
Section&nbsp;5.11.4.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Licensed Intellectual Property&#148; has the meaning set forth in Section
5.13.4.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Material Contracts&#148; means any KBC Contract that (a)&nbsp;involves
aggregate future payments to, by or on behalf of KBC in excess of $1,000,000 or
(b)&nbsp;extends for a period of more than 12&nbsp;months and cannot be cancelled by KBC
upon 90 or fewer days prior notice without further payment or penalty.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Owned Intellectual Property&#148; has the meaning set forth in Section
5.13.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Owned Real Property&#148; has the meaning set forth in Section&nbsp;5.10.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Owned Tangible Personal Property&#148; has the meaning set forth in
Section&nbsp;5.11.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Partnership Interest&#148; means KBC&#146;s 49% Partnership Interest in KJBC.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Pension Plans&#148; means the pension plans administered pursuant to the
(a)&nbsp;Trust Deed for Kaiser Bauxite Company Hourly Retirement Plan, and (b)&nbsp;Trust
Deed for Kaiser Bauxite Company Salaried Retirement Plan.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Petition Date&#148; has the meaning set forth in Recital F to this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Plan&#148; means any Plan, other than the KBC Labor Agreements, sponsored
or contributed to or required to be contributed to by KBC or any other Person
for the benefit of KBC&#146;s employees or former employees or their dependents.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Purchased Assets&#148; means KBC&#146;s right, title and interest in, to and
under (a)&nbsp;the KBC Partnership Interest, (b)&nbsp;the KJBC Assets, and (c)&nbsp;the other
rights, properties and assets of every kind, character or description, whether
real, personal or mixed, or fixed, contingent or otherwise, wherever located,
used by KBC in connection with, or relating to, the conduct of the KJBC
Operations, including rights to all amounts due from KJBC, amounts receivable
from current and former employees of KBC under the KBC Employee Loans and
assets in the categories listed on Exhibit&nbsp;F, but excluding the KBC Excluded
Assets.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Real Property&#148; has the meaning set forth in Section&nbsp;5.10.4.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Represented Employees&#148; has the meaning set forth in Section&nbsp;8.8.1.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KBC Retained Liabilities&#148; means: (a)&nbsp;all accounts payable of KBC arising
out of or relating to the ownership or use of the KBC Purchased Assets at or
prior to the Effective Time other than amounts payable to KJBC; (b)&nbsp;all
liabilities and obligations of KBC for any Taxes (including all such
liabilities and obligations arising under any Tax sharing agreement or similar
arrangement to which KBC is a party) arising out of or relating to the
ownership or use of the KBC Purchased Assets at or prior to the Effective Time;
(c)&nbsp;all liabilities and obligations of KBC with respect to any warranty or
similar liabilities or obligations relating to bauxite sold at or prior to the
Effective Time; (d)&nbsp;all indemnification, warranty and similar make whole
obligations arising under the KBC Contracts in respect of or resulting from
acts, occurrences and omissions at or prior to the Effective Time; (e)&nbsp;all
liabilities and obligations that result from any breach of a KBC Contract at or
prior to the Effective Time, or any performance or non-performance thereof or
compliance or failure to comply therewith on the part of either Seller,
including for fraud, breach or misfeasance or under any other theory, relating
to either Seller&#146;s conduct at or prior to the Effective Time; (f)&nbsp;all
liabilities and obligations of KBC with respect to employees or former
employees of KBC, including the KBC Employees, arising at or prior to the
Effective Time, excluding liabilities and obligations arising under the KBC
Labor Agreements and KBC Plans (subject to Section&nbsp;8.8.3 in respect of the KBC
Pension Plans); (g)&nbsp;all liabilities and obligations of KBC arising out of or
relating to the ownership or use of the KBC Excluded Assets (whether prior to,
on or after the Effective Time); (h)&nbsp;all liabilities and obligations of KBC
arising on or prior to the KBC Petition Date that, under section 1141(d) of the
Bankruptcy Code, may be discharged pursuant to confirmation by the Bankruptcy
Court of a plan of reorganization in the Bankruptcy Cases; (i)&nbsp;all liabilities
and obligations of KBC with respect to costs and expenses incurred by KBC in
connection with this Agreement or the administration of the Bankruptcy Cases;
(j)&nbsp;all liabilities and obligations of KBC, in connection with the DIP Facility
or otherwise, under any loan or credit agreement, security agreement, guaranty,
indenture, mortgage, pledge or similar agreements or instruments relating to
indebtedness for borrowed money; (k)&nbsp;all liabilities and obligations payable
pursuant to Section&nbsp;365(b)(1)(A) or (B)&nbsp;of the Bankruptcy Code in order to
effectuate, pursuant to the Bankruptcy Code, the assumption by Sellers and
assignment to Buyers of the KBC Contracts to the extent contemplated by this
Agreement as of the Effective Time pursuant to Bankruptcy Court approval; (l)
all liabilities and obligations of KBC for torts arising out of or resulting
from acts, occurrences and omissions in connection with the ownership or use of
the KBC Purchased Assets at or prior to the Effective Time, excluding all
liabilities and obligations of KBC for which it, together with any other
partner of KJBC, is jointly and severally liable because such parties are
liable for obligations of KJBC as a matter of law by virtue of their status as
a general partner of KJBC; (m)&nbsp;all liabilities and obligations of KBC under any
Laws, including Environmental Laws, arising out of or resulting from acts,
occurrences and omissions in connection with the ownership or use of the KBC
Purchased Assets at or prior to the Effective Time, excluding all liabilities
and obligations of KBC for which it, together with any other partner of KJBC,
is jointly and severally liable because such parties are liable for obligations
of KJBC as a matter of law by virtue of their status as a general partner of
KJBC; and (n)&nbsp;all liabilities and obligations pursuant to the Sherwin Contract.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC&#148; has the meaning set forth in Recital A to this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Assets&#148; means all assets and property of every kind and nature,
wherever located, that are owned by KJBC, including bauxite and other
inventory, or by its partners as tenants in common for the use and benefit of
KJBC.


<P align="center" style="font-size: 10pt">12
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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Buyer&#148; has the meaning set forth in the introductory paragraph to
this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Financial Statements&#148; has the meaning set forth in Section&nbsp;5.6.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Leased Real Property&#148; has the meaning set forth in Section&nbsp;5.10.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Leased Tangible Personal Property&#148; has the meaning set forth in
Section&nbsp;5.11.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Licensed Intellectual Property&#148; has the meaning set forth in Section
5.13.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Listed Insurance Policies&#148; has the meaning set forth in Section
5.22.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Material Contracts&#148; means any (a)&nbsp;license, contract, agreement,
commitment and undertaking (whether written or oral) to which KJBC is a party
or by which it or any of the KJBC Assets is bound that (i)&nbsp;involves aggregate
future payments to, by or on behalf of KJBC in excess of $1,000,000 or (ii)
extends for a period of more than 12&nbsp;months and cannot be cancelled by KJBC
upon 90 or fewer days prior notice without further payment or penalty, or (b)
loan or credit agreement, security agreement, guaranty, indenture, mortgage,
pledge or other agreement or instrument evidencing indebtedness for borrowed
money of KJBC.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Operations&#148; has the meaning set forth in Recital C to this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Owned Intellectual Property&#148; has the meaning set forth in Section
5.13.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Owned Real Property&#148; has the meaning set forth in Section&nbsp;5.10.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Owned Tangible Personal Property&#148; has the meaning set forth in
Section&nbsp;5.11.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;KJBC Real Property&#148; has the meaning set forth in Section&nbsp;5.10.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;La Roche Demolition Contract&#148; means the Construction Contract, dated
January&nbsp;23, 2004, by and between Kaiser and Seco/American Wrecking Corporation.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Laws&#148; means all applicable laws, statutes, regulations, rules, judgments,
orders, injunctions and decrees of Governmental Entities.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;LDEQ&#148; means the Louisiana Department of Environmental Quality.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Lien&#148; means, with respect to any property or asset, any mortgage, lien,
claim, pledge, security interest or other encumbrance thereon.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Losses&#148; has the meaning set forth in Section&nbsp;11.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Management Agreement&#148; means the Management Agreement, dated October&nbsp;26,
1979, between KJBC and KBC, as amended.


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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Material Adverse Effect&#148; means a material and adverse effect on (a)&nbsp;the
business, operations, properties, assets, condition (financial or otherwise) or
results of operations of the Combined Operations, taken as a whole, (b)&nbsp;the
value of the KJBC Contracts or the Gramercy Contracts, taken as a whole, (c)
the ability of Buyers to operate or conduct the Combined Operations in the
manner in which it is currently operated or conducted, or (d)&nbsp;the ability of
Sellers to consummate the transactions contemplated by this Agreement, other
than effects (i)&nbsp;resulting from the announcement of this Agreement or the
transactions contemplated hereby or from either Seller&#146;s compliance herewith
and performance of its respective obligations hereunder, (ii)&nbsp;resulting prior
to the date of this Agreement from the pending bankruptcy proceedings of the
Sellers or any of their Affiliates, or (iii)&nbsp;resulting from events, changes or
developments relating to the financial, banking, capital, energy or metals
markets or the economy in general or industry-wide developments affecting
Persons in businesses similar to the KJBC Operations or the Gramercy
Operations.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Modified Working Capital&#148; has the meaning set forth in Section&nbsp;3.3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;National Labor Relations Act&#148; means The National Labor Relations Act, 29
U.S.C. &#167;&#167; 151-169.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;New Labor Agreement&#148; has the meaning set forth in Section&nbsp;8.10.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;NFA&#148; means a written determination by LDEQ that further evaluation or
remedial action by LDEQ is not warranted at a particular site, including, where
applicable, under Louisiana Administrative Code 33.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Notice of Claim&#148; has the meaning set forth in Section&nbsp;11.5.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Offsite Disposal&#148; means the release or disposal of Hazardous Materials,
as arranged by Kaiser, on properties other than the Gramercy Site where such
Hazardous Materials did not migrate from the Gramercy Site following their
release or disposal on the Gramercy Site.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Other KBC Employees&#148; has the meaning set forth in Section&nbsp;8.8.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Partnership Agreement&#148; means the Deed of Partnership, dated October&nbsp;26,
1979, between KBC and JBM.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Partnership Interest&#148; means, with respect to any partner of KJBC, such
partner&#146;s entire right, title and interest in, to and under KJBC, including all
right, title and interest of such partner in, to and under the Partnership
Agreement, but not including the KJBC Assets.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Permitted Liens&#148; means (a)&nbsp;warehousemen&#146;s, materialmen&#146;s, contractor&#146;s
and carrier&#146;s liens and similar Liens arising as a matter of Law for
obligations which are not delinquent, (b)&nbsp;Liens related to Taxes, other than
income Taxes, that are not delinquent, (c)&nbsp;the rights of JBM arising under the
Partnership Agreement, (d)&nbsp;Liens that exist on or otherwise relate to the
Partnership Interest(s) held by JBM or the interest of JBM in the KJBC Assets,
in each case, to secure obligations of JBM or its Affiliates other than
obligations owed to KJBC, Sellers or their Affiliates, (e)&nbsp;rights reserved to
lessors, licensors and other owners of property that is leased or licensed to
another party or which another party otherwise has the right to use or possess
under


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<DIV style="font-family: 'Times New Roman',Times,serif">



<P align="left" style="font-size: 10pt">the applicable lease, license or other agreement, (f)&nbsp;Liens that are
created, suffered or assumed by Buyers, and (g)&nbsp;Liens that do not have,
individually or in the aggregate, a material adverse effect on either (i)&nbsp;the
Gramercy Operations and the Gramercy Purchased Assets, taken as a whole, on the
one hand, or (ii)&nbsp;the KJBC Operations, the KJBC Assets and the KBC Purchased
Assets, taken as a whole, on the other hand.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Person&#148; means an individual, corporation, partnership, limited liability
company, association, trust or other entity or organization, including a
Governmental Entity.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Plan&#148; means any benefit fund, plan, program or policy (including any
plan, program or policy providing for: severance or other payments in
connection with the termination of employment (whether voluntary or not);
medical, dental or vision benefits; life insurance or death benefits;
disability benefits, sick pay or other wage replacement; vacation, holiday or
sabbatical pay; pension or profit-sharing benefits; deferred compensation;
equity compensation; bonus or incentive pay; or other material fringe
benefits).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;PLL Policy&#148; has the meaning set forth in Section&nbsp;8.15.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Pre-Closing Environmental Release&#148; means any new environmental conditions
arising from a new release of Hazardous Materials at the Gramercy Site
occurring after the date of this Agreement and at or prior to the Effective
Time.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Pre-Hearing Termination Date&#148; means June&nbsp;11, 2004.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Prevailing Bid&#148; has the meaning set forth in the Bidding and Auction
Procedures.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Prevailing Bidder&#148; has the meaning set forth in the Bidding and Auction
Procedures.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Purchased Assets&#148; means the KBC Purchased Assets and the Gramercy
Purchased Assets.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Qualified Bid&#148; has the meaning set forth in the Bidding and Auction
Procedures.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Qualified Bidder&#148; has the meaning set forth in the Bidding and Auction
Procedures.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Retained Liabilities&#148; means the Gramercy Retained Liabilities and the KBC
Retained Liabilities.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Retained Names&#148; has the meaning set forth in Section&nbsp;8.19.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Sales Hearing&#148; has the meaning set forth in Section&nbsp;8.5.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Sales Order&#148; has the meaning set forth in Section&nbsp;8.5.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Sales Process and Approval Motion&#148; has the meaning set forth in Section
8.4.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Seller Employees&#148; has the meaning set forth in Section&nbsp;8.9.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Sellers&#148; has the meaning set forth in the introductory paragraph of this
Agreement.


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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Sellers Indemnified Parties&#148; has the meaning set forth in Section&nbsp;11.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Sherwin Contract&#148; means the Bauxite Purchase Agreement, dated November
13, 2001, between KBC and Sherwin Alumina, L.P., as amended, modified,
supplemented or restated from time to time.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Standard Exceptions&#148; has the meaning set forth in Section&nbsp;5.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Tax&#148; or &#147;Taxes&#148; means any and all taxes, fees, levies (including with
respect to bauxite), duties, tariffs, imposts and other charges of any kind
(together with any and all interest, penalties, additions to tax and additional
amounts imposed with respect thereto) imposed by any Governmental Entity,
including (a)&nbsp;taxes or other charges on or with respect to income, franchises,
windfall or other profits, gross receipts, property, sales, use, capital stock,
payroll, employment, social security, workers&#146; compensation, unemployment
compensation, or net worth and (b)&nbsp;taxes or other charges in the nature of
excise, withholding, ad valorem, stamp, transfer, value added, or gains taxes;
license, registration and documentation fees; and customs&#146; duties, and similar
charges.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Tax Return&#148; means any return, declaration, report, claim for refund,
information return or other document (including any related or supporting
estimates, elections, schedules, statements or information) filed or required
to be filed in connection with the determination, assessment or collection of
any Tax or the administration of any Laws relating to any Tax.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Tax Termination Date&#148; has the meaning set forth in Section&nbsp;11.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Technology Licenses&#148; has the meaning set forth in Section&nbsp;9.3.9.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Termination Dates&#148; has the meaning set forth in Section&nbsp;11.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Termination Fee&#148; has the meaning set forth in Section&nbsp;10.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Transfer&#148; has the meaning set forth in Section&nbsp;2.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Transfer Documents&#148; means such bills of sale, assignments, novations,
certificates of title, certificates of affidavit and other instruments of
transfer as may be necessary or appropriate to Transfer or evidence the
Transfer to Buyers all of Sellers&#146; right, title and interest in, to and under
the Purchased Assets.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Transfer Taxes&#148; has the meaning set forth in Section&nbsp;12.4.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Transition and Shared Services Committee&#148; has the meaning set forth in
Section&nbsp;8.1.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;UCC&#148; has the meaning set forth in Section&nbsp;8.14.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Unadjusted Purchase Price&#148; has the meaning set forth in Section&nbsp;3.3.4.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;USWA&#148; has the meaning set forth in Section&nbsp;8.10.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;WARN Act&#148; has the meaning set forth in Section&nbsp;8.10.6.


<P align="center" style="font-size: 10pt">16
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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 Certain Interpretive Matters.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2.1 Certain References. Unless the context otherwise requires, (a)&nbsp;all
references in this Agreement to Sections, Articles, Schedules or Exhibits are
to Sections, Articles, Schedules or Exhibits of or to this Agreement, (b)&nbsp;words
in the singular include the plural and vice versa, and (c)&nbsp;the verb &#147;will&#148; will
have a mandatory connotation, indicating the parties&#146; respective obligations to
each other. Whenever the words &#147;include,&#148; &#147;includes&#148; or &#147;including&#148; are used
in this Agreement, they will be deemed to be followed by the words &#147;without
limitation.&#148; All references to &#147;$&#148; or dollar amounts are to lawful currency of
the United States of America.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2.2 Titles and Headings. Titles and headings to Sections, Articles,
Schedules and Exhibits in this Agreement are inserted for convenience of
reference only, and are not intended to be a part of or to affect the meaning
or interpretation of this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2.3 Participation in Drafting. No provision of this Agreement shall be
interpreted in favor of, or against, any of the parties to this Agreement by
reason of the extent to which that party or its counsel participated in the
drafting thereof or by reason of the extent to which that provision is
inconsistent with any prior draft hereof or thereof.


<P align="center" style="font-size: 10pt"><B>ARTICLE II<BR>
PURCHASE AND SALE; TREATMENT OF LIABILITIES</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 Sale and Transfer of Assets. On the terms and subject to the
conditions set forth in this Agreement, as of the Effective Time, (a)&nbsp;KBC shall
sell, assign, transfer and convey (&#147;Transfer&#148;) to KJBC Buyer, and KJBC Buyer
shall purchase and accept from KBC, the KBC Purchased Assets, and (b)&nbsp;Kaiser
shall Transfer to Gramercy Buyer, and Gramercy Buyer shall purchase and accept
from Kaiser, the Gramercy Purchased Assets.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 Assumed Liabilities. On the terms and subject to the conditions
hereof, (a)&nbsp;KJBC Buyer shall assume as of the Effective Time, and thereafter in
due course pay, perform and/or discharge, the KBC Assumed Liabilities and (b)
Gramercy Buyer shall assume as of the Effective Time, and thereafter in due
course pay, perform and/or discharge, the Gramercy Assumed Liabilities.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 Retained Liabilities. KBC shall retain, and KJBC Buyer shall not
assume or be responsible for, the KBC Retained Liabilities, and Kaiser shall
retain, and Gramercy Buyer shall not assume or be responsible or liable for,
the Gramercy Retained Liabilities.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 Nonassignable Contracts.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4.1 Nonassignability. To the extent that any KBC Contract or Gramercy
Contract to be Transferred pursuant to the terms of Section&nbsp;2.1 is not capable
of being Transferred without the Consent of a third Person, or if such Transfer
or attempted Transfer would constitute a breach thereof or a violation of any
Law, nothing in this Agreement shall constitute a Transfer or an attempted
Transfer thereof prior to the time at which all Consents necessary for such
Transfer shall have been obtained.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4.2 Efforts to Obtain Consents. Sellers shall use commercially
reasonable efforts, and Buyers shall reasonably cooperate with Sellers in such
efforts, to obtain such Consents necessary to Transfer to Buyers all of the KBC
Contracts and Gramercy Contracts referred to in Section&nbsp;2.4.1 hereof.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4.3 Alternative Arrangements If Consents Not Obtained. To the extent
that the Consents referred to in Section&nbsp;2.4.1 are not obtained, if and to the
extent requested by Buyers, Sellers shall, during the term of the affected KBC
Contract or Gramercy Contract, use commercially reasonable efforts to (a)
provide to Buyers the benefits under any KBC Contract or Gramercy Contract
referred to in Section&nbsp;2.4.1, (b)&nbsp;cooperate in any reasonable and lawful
arrangement designed to provide such benefits to Buyers, and (c)&nbsp;enforce, at
the written request of Buyers, for the account of Buyers, any rights of Sellers
under the affected KBC Contract or Gramercy Contract (including the right to
elect to terminate such KBC Contract or Gramercy Contract in accordance with
the terms thereof upon the direction of Buyers). Buyers shall reasonably
cooperate with Sellers in order to enable Sellers to provide the benefits
contemplated by this Section&nbsp;2.4.3 to Buyers.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4.4 Obligation of Buyers to Perform. Buyers shall perform the
obligations of Sellers arising under each affected KBC Contract and Gramercy
Contract referred to in Section&nbsp;2.4.1, but only if and to the extent that
Sellers provide to Buyers the benefits thereof pursuant to Section&nbsp;2.4.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 Arrangements with Respect to KJBC Owned Real Property. With respect
to parcels of KJBC Owned Real Property for which Transfer Documents have not
been delivered to KJBC Buyer at Closing (to the extent permitted by Section
9.3.3), KBC will use its commercially reasonable efforts to deliver as soon as
practicable after Closing an instrument of transfer, in recordable form, in
favor of KJBC Buyer for KBC&#146;s interest therein. If requested by KJBC Buyer,
KBC will deliver to KJBC Buyer at Closing a power of attorney in the form
prescribed by the Registration of Titles Act of Jamaica permitting KJBC Buyer
to execute, on behalf of KBC, documents relating to the transfer of legal title
to KBC&#146;s interest in the KJBC Owned Real Property to KJBC Buyer. In addition,
if and to the extent requested by KJBC Buyer, KBC shall use commercially
reasonable efforts to take the legal steps necessary to Transfer to KJBC Buyer
legal title to KBC&#146;s interests in the KJBC Owned Real Property for which legal
title was not Transferred to KJBC Buyer at Closing.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 Conditions Precedent. Nothing in Section&nbsp;2.4 or Section&nbsp;2.5 shall
affect, or be construed as affecting, rights arising under Section&nbsp;9.1.3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 Permitted Liens. Nothing in the definition of &#147;Permitted Liens,&#148; any
provision of this Agreement referring to Permitted Liens or any disclosure of
Liens on or in respect of the Purchased Assets in the schedules to this
Agreement shall affect, or be construed to affect, the responsibility of KBC
for the KBC Retained Liabilities or the responsibility of Kaiser for the
Gramercy Retained Liabilities.


<P align="center" style="font-size: 10pt">18
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<P align="center" style="font-size: 10pt"><B>ARTICLE III<BR>
PURCHASE PRICE</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 Aggregate Purchase Price. At Closing, in addition to assuming the
Assumed Liabilities, Buyers shall pay to Sellers an amount equal to the
Estimated Purchase Price. The Estimated Purchase Price shall be subject to
adjustment as provided in Section&nbsp;3.3 (as increased or decreased pursuant to
Section&nbsp;3.3, the &#147;Final Purchase Price&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 Deposit. Upon execution of this Agreement, Buyers shall pay
$2,300,000 (the &#147;Deposit&#148;) to Sellers via wire transfer of immediately
available funds to the account set forth in the Escrow Agreement. Application
to payment of the Estimated Purchase Price, return and forfeiture of the
Deposit, among other things, shall be subject to the terms and provisions of
the Escrow Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 Adjustment of Purchase Price.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3.1 Closing Balance Sheet. As soon as practicable, but in no event
later than 120 calendar days, after the Closing Date, Buyers, at Buyers&#146; sole
expense, shall cause to be prepared and delivered to Sellers (a)&nbsp;an unaudited
consolidated balance sheet of KJBC as of the Effective Time (the &#147;Closing
Balance Sheet&#148;), (b)&nbsp;a listing of the KBC Inventory and the book value thereof
(&#147;Book Value&#148;) as of the Effective Time (the &#147;Closing KBC Inventory
Statement&#148;), (c)&nbsp;a listing of the Gramercy Inventory and the Book Value thereof
as of the Effective Time (the &#147;Closing Gramercy Inventory Statement&#148;), and (d)
a listing of the KBC Employee Loans outstanding as of the Effective Time and
the aggregate face value of such loans (the &#147;Closing Employee Loan Statement&#148;
and together with the Closing Balance Sheet, the Closing KBC Inventory
Statement and the Closing Gramercy Inventory Statement, the &#147;Closing
Statements&#148;). The Closing Balance Sheet shall be prepared from the books and
records of KJBC, and in accordance with JGAAP applied on a basis consistent
with the Balance Sheet. When the Closing Statements are delivered to Sellers,
Buyers shall deliver a statement containing Buyers&#146; calculations, based on the
Closing Statements (the &#147;Buyers&#146; Proposed Calculations&#148;), of (a)&nbsp;Modified
Working Capital as of the Effective Time (the &#147;Closing Modified Working
Capital&#148;), (b)&nbsp;the Book Value of the KBC Inventory as of the Effective Time
(the &#147;Closing KBC Inventory&#148;), and (c)&nbsp;the Book Value of the Gramercy Inventory
as of the Effective Time (the &#147;Closing Gramercy Inventory&#148;). For purposes of
this Agreement &#147;Modified Working Capital&#148; means the difference between (a)&nbsp;the
sum of (i)&nbsp;total current assets of KJBC in the categories listed on Exhibit&nbsp;E
and (ii)&nbsp;the aggregate face value of the KBC Employee Loans outstanding and (b)
total current liabilities of KJBC in the categories listed on Exhibit&nbsp;E,
including the current portion of long-term debt. The Closing Modified Working
Capital shall be calculated on the same basis as, and in accordance with, the
sample calculation of Modified Working Capital as of August&nbsp;31, 2003 attached
as Exhibit&nbsp;E, except as expressly otherwise provided in Exhibit&nbsp;E. The Closing
KBC Inventory Statement shall be prepared on the same basis as the Balance
Sheet Date KBC Inventory Statement and the Closing KBC Inventory will be
calculated on the same basis as, and in accordance with, the sample calculation
of the Book Value of the KBC Inventory as of August&nbsp;31, 2003 attached as
Exhibit&nbsp;F. The Closing Gramercy Inventory Statement shall be prepared on the
same basis as the Balance Sheet Date Gramercy Inventory Statement and the
Closing Gramercy Inventory will be calculated on the


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<P align="left" style="font-size: 10pt"> same basis as, and in accordance with, the sample calculation of the Book Value of the Gramercy
Inventory as of August&nbsp;31, 2003 attached as Exhibit&nbsp;D.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3.2 Cooperation. Without limiting the generality or effect of any other
provision hereof, Sellers shall take such actions as may be reasonably
requested by Buyers to close, or to assist Buyers in closing, as of the
Effective Time, the books and accounting records of KJBC and otherwise
reasonably cooperate with Buyers and Buyers&#146; accountants in the preparation of
the Closing Statements.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3.3 Review of Closing Statements. Within 30 calendar days from the date
of delivery of the Closing Statements and the accompanying statement of Buyers&#146;
Proposed Calculations, Sellers shall notify Buyers in writing of any
disagreement with Buyers&#146; Proposed Calculations; provided that Sellers may only
dispute Buyers&#146; Proposed Calculations to the extent that they deviate from the
requirements of Section&nbsp;3.3.1 or reflect mathematical error. If Sellers
dispute any such aspect of Buyers&#146; Proposed Calculations, Sellers shall have
the right to propose any adjustment thereto within such 30-day period. Any
such proposed adjustment shall be in writing (the &#147;Adjustment Request&#148;), shall
be submitted to Buyers within the 30-day period referred to in the first
sentence of this Section&nbsp;3.3.3, and shall specify (a)&nbsp;the amount of the
proposed adjustment and (b)&nbsp;the item to which such proposed adjustment relates.
Unless Sellers notify Buyers in writing within such 30-day period that they
object to the findings contained in Buyers&#146; Proposed Calculations, Buyers&#146;
Proposed Calculations shall be binding upon Buyers and Sellers. Buyers and
Sellers shall use their commercially reasonable efforts for 30 calendar days
after the submission of any Adjustment Request to agree upon any proposed
adjustment to Buyers&#146; Proposed Calculations. Any dispute as to the content or
preparation of Buyers&#146; Proposed Calculations which is not resolved by Buyers
and Sellers during such 30-day period shall be submitted for resolution to a
mutually acceptable independent public accounting firm, the costs of which
shall be divided equally between Buyers, on the one hand, and Sellers, on the
other hand. The decision of such firm shall be final and binding on Buyers and
Sellers.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3.4 Adjustment to Purchase Price. Upon the definitive determination
pursuant to Section&nbsp;3.3.3 of the Closing Modified Working Capital, the Closing
KBC Inventory, and the Closing Gramercy Inventory, the Final Purchase Price
shall be calculated. The Final Purchase Price shall be equal to $23,000,000
(the &#147;Unadjusted Purchase Price&#148;), adjusted as follows: (a)&nbsp;plus the amount,
if any, by which the Closing Modified Working Capital is greater than
$3,856,872 or minus the amount, if any, by which the Closing Modified Working
Capital is less than $3,856,872, (b)&nbsp;plus the amount, if any, by which the
Closing KBC Inventory is greater than $4,897,736 or minus the amount, if any,
by which the Closing KBC Inventory is less than $4,397,736, and (c)&nbsp;plus the
amount, if any, by which the Closing Gramercy Inventory is greater than
$20,418,251 or minus the amount, if any, by which the Closing Gramercy
Inventory is less than $18,918,251 (the amount added or subtracted from the
Unadjusted Purchase Price being referred to herein as the &#147;Adjustment&#148;). If
the Final Purchase Price exceeds the Estimated Purchase Price, Buyers shall pay
an amount equal to such excess to Sellers, and if the Final Purchase Price is
less than the Estimated Purchase Price, Sellers shall pay an amount equal to
such deficiency to Buyers. Any such payment shall be made in cash or same day
funds within 10 calendar days after the determination of the Adjustment
pursuant to this Section&nbsp;3.3.4. Any such payment shall bear interest
(calculated on the basis of a 360-day year consisting of 12&nbsp;months of 30
calendar days) from the Effective Time through and including the date


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<P align="left" style="font-size: 10pt">preceding
payment at a rate per annum equal to the &#147;Prime Rate&#148; as set forth on the
Closing Date in The Wall Street Journal &#147;Money Rates&#148; column plus 200 basis
points.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3.5 Estimate of Purchase Price Adjustment. Not later than the third
business day prior to the Closing Date, Sellers shall deliver to Buyers (a)&nbsp;an
estimated consolidated balance sheet of KJBC (the &#147;Estimated Balance Sheet&#148;) as
of the Effective Time, (b)&nbsp;an estimated listing of the KBC Inventory and the
Book Value thereof (the &#147;Estimated KBC Inventory Statement&#148;) as of the
Effective Time, (c)&nbsp;an estimated listing of the Gramercy Inventory and the Book
Value thereof (the &#147;Estimated Gramercy Inventory Statement&#148;) as of the
Effective Time, (d)&nbsp;an estimated listing of the KBC Employee Loans outstanding
as of the Effective Time and the aggregate face value thereof (the &#147;Estimated
KBC Employee Loan Statement&#148; and together with the Estimated Balance Sheet, the
Estimated KBC Inventory Statement and the Estimated Gramercy Inventory
Statement, the &#147;Estimated Statements&#148;) as of the Effective Time, and (e)&nbsp;a
statement setting forth calculations (the &#147;Estimated Calculations&#148;), based on
the Estimated Statements, of (i)&nbsp;the estimated Closing Modified Working
Capital, (ii)&nbsp;the estimated Closing KBC Inventory, and (iii)&nbsp;the estimated
Closing Gramercy Inventory. The Estimated Statements and Estimated
Calculations shall be prepared in good faith based upon Sellers&#146; review of
financial information then available to them and inquiries of personnel
responsible for the development and preparation of financial information of
KJBC, KBC and Kaiser in the ordinary course of business. The estimated
purchase price to be delivered at Closing (the &#147;Estimated Purchase Price&#148;),
which is intended to constitute an estimate of the Final Purchase Price, shall
equal the Unadjusted Purchase Price, adjusted as follows: (a)&nbsp;plus the amount,
if any, by which the estimated Closing Modified Working Capital is greater than
$3,856,872 or minus the amount, if any, by which the estimated Closing Modified
Working Capital is less than $3,856,872, (b)&nbsp;plus the amount, if any, by which
the estimated Closing KBC Inventory is greater than $4,897,736 or minus the
amount, if any, by which the estimated Closing KBC Inventory is less than
$4,397,736, and (c)&nbsp;plus the amount, if any, by which the estimated Closing
Gramercy Inventory is greater than $20,418,251 or minus the amount, if any, by
which the estimated Closing Gramercy Inventory is less than $18,918,251.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 Physical Inventory. In connection with the preparation of the Closing
Statements and the Buyers&#146; Proposed Calculations, Buyers and Sellers shall
cause a physical inventory of the KBC Inventory and the Gramercy Inventory
(excluding, in the case of the KBC Inventory, a physical inventory of stores)
to be taken as of the Effective Time. The Independent Observer shall report on
such physical inventory and furnish Buyers and Sellers a copy of such report
promptly upon its completion. Sellers, on the one hand, and Buyers, on the
other hand, and their respective representatives shall be entitled to be
present to observe such physical inventory. The report to be rendered by the
Independent Observer on the physical inventory shall be based upon procedures
reasonably acceptable to Buyers and Sellers. The fees, costs and expenses of
such physical inventory, including the fees, costs and expenses of the
Independent Observer, but excluding the salaries or the compensation of
individuals employed in the KJBC Operations or the Gramercy Operations
conducting the physical inventory, shall be divided equally between Buyers, on
the one hand, and Sellers, on the other hand.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5 Purchase Price Allocation. The Final Purchase Price plus the
aggregate amount of Assumed Liabilities included in the amount realized for
U.S. federal income tax purposes shall be allocated among the Purchased Assets
pursuant to this Section&nbsp;3.5 in accordance with their


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<P align="left" style="font-size: 10pt">fair market values and Schedule&nbsp;3.5). Within 60 calendar days after the
Final Purchase Price is determined, Buyers shall deliver to Sellers a statement
(the &#147;Final Allocation Statement&#148;) setting forth: (a)&nbsp;the Final Purchase Price
plus the aggregate amount of Assumed Liabilities to be included in the amount
realized for U.S. federal income tax purposes (the &#147;Final Allocable Amount&#148;);
and (b)&nbsp;the allocation of the Final Allocable Amount among the Purchased Assets
in accordance with their fair market values as of the Closing Date as
reasonably determined by the Buyers and Schedule&nbsp;3.5. Sellers shall take such
actions as may be reasonably requested by Buyers to assist Buyers in the
preparation of the Final Allocation Statement. Within 30 calendar days after
their receipt of the Final Allocation Statement, Sellers may deliver to Buyers
a written objection to the allocation set forth therein specifying in
reasonable detail the nature and basis of such objection (a &#147;Dispute Notice&#148;);
provided, however, that Sellers may only object to such allocation to the
extent it deviates from the requirements of this Section&nbsp;3.5. If Sellers do
not deliver a Dispute Notice to Buyers within such time period, then Buyers&#146;
allocation as set forth in the Final Allocation Statement shall be final and
binding on Sellers and Buyers. Sellers and Buyers shall consult with each
other and attempt to resolve in good faith any objections contained in a
Dispute Notice. If Sellers and Buyers, notwithstanding such good faith
efforts, cannot resolve the matters contained in a Dispute Notice within 30
calendar days after the Buyers&#146; receipt of the Dispute Notice, then Buyers and
Sellers shall engage, by mutual agreement, one of the &#147;Big Four&#148; accounting
firms or any other nationally recognized accounting firm (the &#147;Independent
Auditor&#148;) to resolve the matters remaining in dispute; provided that, the
Independent Auditor shall first determine whether Buyers&#146; allocation as to the
matters remaining in dispute is reasonable and consistent with the requirements
of this Section&nbsp;3.5 and, if the Independent Auditor determines that such
allocation is reasonable and consistent with the requirements of this Section
3.5, then Buyers&#146; allocations set forth in the Final Allocation Statement as to
such matters shall be final and binding on Sellers and Buyers. The decision of
the Independent Auditor shall be final and binding on the parties. The fees
and expenses of the Independent Auditor shall be borne equally by Buyers, on
the one hand, and Sellers, on the other hand. Each of the parties shall report
the purchase and sale of the Purchased Assets in all Tax Returns in accordance
with the allocation determined pursuant to this Section&nbsp;3.5; provided, however,
that Buyers&#146; aggregate basis in the Purchased Assets may exceed the total
amount allocated in order to reflect the Buyers&#146; capitalized transaction costs
not included in Final Purchase Price or Assumed Liabilities included in the
amount realized for U.S. federal income tax purposes, and Sellers&#146; aggregate
amount realized may be less than the total amount allocated in order to reflect
its transaction costs.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6 Intercompany Accounts.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6.1 KBC. All of KBC&#146;s rights in respect of Intercompany Obligations
between KBC and KJBC are included in the KBC Purchased Assets and all of KBC&#146;s
obligations in respect of such Intercompany Obligations are included in the KBC
Assumed Liabilities; consequently, KJBC Buyer will acquire all such rights and
assume all such obligations as of the Effective Time. Prior to the Effective
Time, the Sellers and KJBC Buyer shall engage in discussions regarding the
feasibility of offsetting, on or prior to Closing, Intercompany Obligations
between KJBC and KBC, provided that offsets shall not be required to be made if
they would have, in the reasonable opinion of KBC or Gramercy Buyer, negative
tax, accounting, regulatory or economic effects on KBC, KJBC or Buyers.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6.2 Alpart. Immediately prior to Closing, all Intercompany Obligations
between KJBC and Alpart due and payable as of the Effective Time or
attributable to any period ending on or prior to the Effective Time shall be
netted as between the appropriate obligors and obligees and the resulting
balances shall be settled at or prior to the Effective Time, with the result
that immediately following the Effective Time, such Intercompany Obligations
between KJBC and Alpart shall not exist.


<P align="center" style="font-size: 10pt"><B>ARTICLE IV<BR>
CLOSING</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 Closing. Unless this Agreement has been terminated and the
transactions contemplated under this Agreement have been abandoned pursuant to
Article&nbsp;X, and subject to the fulfillment or, if permitted, waiver of the
conditions set forth in Article&nbsp;IX, Closing shall take place at the offices of
Jones Day, 2727 North Harwood Street, Dallas, Texas, at 10:00&nbsp;a.m. local time
on the tenth business day following the fulfillment or, if permissible, waiver
of the conditions set forth in Article&nbsp;IX (other than those conditions set
forth in Article&nbsp;IX that are to be fulfilled at Closing), unless another place,
date or time is agreed to in writing by the parties to this Agreement or
ordered by the Bankruptcy Court (the date of Closing being referred to herein
as the &#147;Closing Date&#148;). Closing shall be deemed effective as of the Effective
Time.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 Documents to be Delivered by Buyers. At Closing, Buyers shall deliver
to Sellers:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2.1 Purchase Price. Evidence of wire transfer of cash in an amount
equal to the Estimated Purchase Price minus (i)&nbsp;the amount of the Deposit
calculated pursuant to the Escrow Agreement (including the deduction of any
Fees (as defined in the Escrow Agreement)) as of the close of business on the
last business day immediately preceding the Closing Date and (ii)&nbsp;an amount
equal to the Environmental Deposit.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2.2 Compliance Certificate. A certificate, dated the Closing Date,
executed on behalf of each Buyer in the form described in Section&nbsp;9.2.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2.3 Officer&#146;s Certificate. A certificate, dated the Closing Date,
executed on behalf of each Buyer in the form described in Section&nbsp;9.2.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2.4 Assumption Documents. Such Assumption Documents as Sellers
reasonably request, each of which shall be duly executed by or on behalf of
Buyers, if appropriate, and in form and substance reasonably satisfactory to
Sellers.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2.5 Secretary&#146;s Certificate. A copy of the resolutions adopted by the
board of directors of each Buyer, approving the execution of this Agreement and
each of the other documents delivered by such Buyer hereunder and authorizing
the consummation of the transactions contemplated hereby and thereby, certified
by the secretary or an assistant secretary of such Buyer.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3 Documents to be Delivered by Sellers. At Closing, Sellers shall
deliver to Buyers:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3.1 Receipt. Sellers shall execute and deliver a receipt whereby
Sellers acknowledge receipt of an amount equal to the Estimated Purchase Price.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3.2 Compliance Certificate. A certificate, dated the Closing Date,
executed on behalf of each Seller in the form described in Section&nbsp;9.3.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3.3 Officer&#146;s Certificate. A certificate, dated the Closing Date,
executed on behalf of each Seller in the form described in Section&nbsp;9.3.2.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3.4 Transfer Documents. Such Transfer Documents as are required to
effect the transfers contemplated by this Agreement to occur as of the
Effective Time or as Buyers reasonably request, including a deed of assignment
of all patents included on Schedule&nbsp;6.7.2(b) except those patents licensed
pursuant to the Technology Licenses, with each Transfer Document duly executed
by or on behalf of Sellers, if appropriate, and in form and substance
reasonably satisfactory to Buyers and, in the case of the deed of assignment of
patents, in form acceptable for recordation with the U.S. Patent and Trademark
Office.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3.5 Secretary&#146;s Certificate. A copy of the resolutions adopted by the
board of directors of each Seller, approving the execution and delivery of this
Agreement and each of the other documents delivered by such Seller hereunder
and authorizing the consummation of the transactions contemplated hereby and
thereby, certified by the secretary or an assistant secretary of such Seller.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3.6 Technology Licenses. Copies of the Technology Licenses, each
executed by all parties thereto.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4 Other Documents to be Delivered. At Closing:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4.1 Transition and Shared Services Agreement. Buyers and Sellers shall
execute and deliver a transition and shared services agreement (subject to
Section&nbsp;8.1.2).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4.2 Environmental Escrow Agreement. Gramercy Buyer and Kaiser shall
execute and deliver the Environmental Escrow Agreement.


<P align="center" style="font-size: 10pt"><B>ARTICLE V<BR>
REPRESENTATIONS AND WARRANTIES OF SELLERS<BR>
GENERALLY AND WITH RESPECT TO KJBC AND KBC</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Sellers hereby represent and warrant to Buyers as follows:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 Organization. KBC is a corporation duly organized and validly
existing under the laws of the State of Nevada, is duly registered or otherwise
qualified to do business as a foreign corporation under the Laws of Jamaica and
has full power and authority to own the KBC Purchased Assets owned by it and to
conduct its business as currently conducted. Kaiser is a corporation duly
organized and validly existing under the laws of the State of Delaware, is duly
qualified to do business as a foreign corporation under the laws of the State
of Louisiana and has full power and authority to own the Gramercy Purchased
Assets and to conduct the Gramercy Operations as currently conducted. KJBC is
a partnership established and validly existing under the laws of Jamaica
pursuant to the Partnership Agreement and has full power and authority to own
the KJBC Assets owned by it and to conduct its business as currently conducted.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 Corporate Authority. Each Seller has the requisite corporate power
and authority to execute and deliver this Agreement and to consummate the
transactions contemplated hereby. The execution and delivery of this Agreement
and the Escrow Agreement by each Seller and the performance by each Seller of
the obligations contemplated to be performed by each Seller hereunder and
thereunder have been duly authorized by all necessary corporate actions of that
Seller, and the execution and delivery of the Transition and Shared Services
Agreement (subject to Section&nbsp;8.1.2), the Environmental Escrow Agreement and
the Technology Licenses by each Seller party thereto and the performance by
each such Seller of the obligations contemplated to be performed by it
thereunder will be duly authorized by all necessary corporate actions of that
Seller as of the Closing. This Agreement and the Escrow Agreement have been
duly executed and delivered by each Seller party hereto and thereto, and the
Transition and Shared Services Agreement (subject to Section&nbsp;8.1.2), the
Environmental Escrow Agreement and the Technology Licenses will be duly
executed and delivered by each Seller party thereto as of the Closing, and
subject to the approval of the Bankruptcy Court, each of this Agreement and the
Escrow Agreement is, and each of the Transition and Shared Services Agreement
(subject to Section&nbsp;8.1.2), the Environmental Escrow Agreement and the
Technology Licenses will be as of the date of its execution and delivery, a
valid and binding obligation of each Seller, as applicable, enforceable against
each Seller, as applicable, in accordance with its terms, except that (a)&nbsp;the
enforceability hereof and thereof may be subject to applicable bankruptcy,
insolvency or other similar Laws now or hereafter in effect affecting
creditors&#146; rights generally, (b)&nbsp;the availability of the remedy of specific
performance or injunctive or other forms of equitable relief may be subject to
equitable defenses and would be subject to the discretion of the court before
which any proceeding therefor may be brought, and (c)&nbsp;the rights to
indemnification may be limited by public policy considerations (the exceptions
set forth in clauses (a), (b)&nbsp;and (c)&nbsp;being referred to herein as the &#147;Standard
Exceptions&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3 Consents. No Consent is required in connection with the execution or
delivery by Sellers of, or the performance by Sellers of their obligations
under, this Agreement, except for (a)&nbsp;the Consents listed or described on
Schedule&nbsp;5.3, (b)&nbsp;the making of applicable HSR Filings, if any, and the
expiration or termination of the applicable waiting period thereunder, (c)&nbsp;the
approval of the Bankruptcy Court, and (d)&nbsp;Consents that would not reasonably be
expected to have, individually or in the aggregate, a Material Adverse Effect
if not obtained or made. Except as listed or described on Schedule&nbsp;5.3,
assuming that, as of the Closing, the Consents referred to in the preceding
sentence have been obtained or made and remain in full force and effect, the
execution and delivery of this Agreement by Sellers do not, and the performance
by Sellers of their obligations under this Agreement will not, conflict with or
result in the violation of, or constitute a default under, or give rise to a
right of termination, cancellation or acceleration of any obligation under, (a)
the certificate or articles of incorporation or bylaws of either Seller, (b)
the Partnership Agreement, (c)&nbsp;any Law to which Sellers, KJBC or any of the
Purchased Assets is subject, or (d)&nbsp;any KJBC Material Contract, KBC Material
Contract or Gramercy Material Contract; except in the case of clauses (c)&nbsp;and
(d), such conflicts, violations, defaults or rights that would not reasonably
be expected to have, individually or in the aggregate, a Material Adverse
Effect or give rise to the creation of any Lien on the Purchased Assets.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4 Partnership Interests.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4.1 Partners&#146; Respective Holdings. As of the date of this Agreement,
the sole partners of record of KJBC are JBM, with a 51.0% Partnership Interest,
and KBC, with a 49.0% Partnership Interest, and immediately prior to Closing,
KBC shall hold no less than a 49.0% Partnership Interest.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4.2 No Other Obligation to Transfer Partnership Interest. Except as
contemplated herein and in the Partnership Agreement, (a)&nbsp;none of the Sellers
or any of their Affiliates has any obligation, absolute or contingent, to
Transfer any Partnership Interest to any Person or to enter into any agreement
with respect thereto, and (b)&nbsp;KJBC has no obligation, absolute or contingent,
to issue or redeem after the date hereof any Partnership Interest, to effect
any merger, consolidation or other reorganization or sale of the KJBC Assets
(other than sales of inventory and obsolete tangible personal property in the
ordinary course of business and consistent with past practice) after the date
hereof or to enter into any agreement with respect thereto.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4.3 Title to Partnership Interest. KBC has good and valid title to the
KBC Partnership Interest. At Closing and upon delivery of the KBC Partnership
Interest and payment therefor pursuant hereto, Buyers will acquire good and
valid title to the KBC Partnership Interest free and clear of all Liens, except
as may be created by either Buyer and except for transfer restrictions under
applicable securities Laws.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5 Interest in Other Persons. Except for the KBC Partnership Interest
and shares of Alpart Farms (Jamaica), Ltd., a Delaware corporation, owned by
KBC, neither KBC nor KJBC owns, directly or indirectly, any capital stock or
equity securities of any corporation or have any direct or indirect equity or
ownership interest in any other Person.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.6 Financial Statements. Attached as Schedule&nbsp;5.6 are the following
(collectively, the &#147;KJBC Financial Statements&#148;): (a)&nbsp;the audited financial
statements of KJBC as of and for the fiscal year ended December&nbsp;31, 2002; (b)
the unaudited financial statements of KJBC as of and for the eight-month period
ended August&nbsp;31, 2003 (the August&nbsp;31, 2003 unaudited balance sheet being
referred to as the &#147;Balance Sheet&#148; and such date, the &#147;Balance Sheet Date&#148;);
and (c)&nbsp;the unaudited financial statements of KJBC as of and for the fiscal
year ended December&nbsp;31, 2003. The KJBC Financial Statements (a)&nbsp;have been
prepared in accordance with the books and records of KJBC, (b)&nbsp;have been
prepared in accordance with JGAAP in a manner consistent with KJBC&#146;s historic
JGAAP accounting practices, except that the unaudited financial statements do
not have notes thereto and are subject to year-end adjustments, and (c)&nbsp;present
fairly, in all material respects, the financial position of KJBC as of their
respective dates and the mining charges accounts and cash flows of KJBC for the
respective fiscal periods then ended, subject, in the case of the unaudited
financial statements, to year-end adjustments.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7 Sufficiency of Assets. The KJBC Assets and the KBC Purchased Assets,
when utilized by a labor force substantially similar to that used in the
conduct of the KJBC Operations as of the date of this Agreement, and assuming
appropriate post-closing services are available to and utilized by KJBC Buyer
under the Transition and Shared Services Agreement, will be adequate to conduct
the KJBC Operations immediately after the Effective Time in the same


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<P align="left" style="font-size: 10pt">manner in all material respects as such operations are conducted under
KBC&#146;s management as of the date of this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.8 KBC Inventory. Sellers have delivered to Buyers an inventory
statement, dated as of the Balance Sheet Date (the &#147;Balance Sheet Date KBC
Inventory Statement&#148;), a copy of which is attached hereto as Schedule&nbsp;5.8,
which Balance Sheet Date KBC Inventory Statement presents fairly the KBC
Inventory and the Book Value thereof as of the Balance Sheet Date and, except
as specified in the notes thereto, was prepared in all material respects using
valuation and other accounting practices based on KBC&#146;s standard inventory
costs consistent with KBC&#146;s past practice.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.9 Conduct of Business. Since the Balance Sheet Date, except as listed
or described on Schedule&nbsp;5.9, (a)&nbsp;the KJBC Operations have been conducted in
the ordinary course of business in all material respects, and (b)&nbsp;no event has
occurred that, individually or in the aggregate with other events, would
reasonably be expected to have a Material Adverse Effect.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10 Real Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10.1 KJBC Owned Real Property. Except as listed or described on
Schedule&nbsp;5.10.1(a), all of the real property owned by KJBC or owned by the
partners of KJBC as tenants in common for the use and benefit of KJBC (the
&#147;KJBC Owned Real Property&#148;) is free and clear of all Liens except for Permitted
Liens. Schedule&nbsp;5.10.1(b) sets forth in all material respects a true and
complete list as of the date of this Agreement of the KJBC Owned Real Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10.2 KJBC Leased Real Property. Except as listed or described on
Schedule&nbsp;5.10.2(a), KJBC has, or the partners of KJBC as tenants in common for
the use and benefit of KJBC have, a valid leasehold interest in or valid rights
to all of the real property interests of KJBC, or held by the partners of KJBC
as tenants in common for the use and benefit of KJBC, other than the KJBC Owned
Real Property (the &#147;KJBC Leased Real Property&#148; and together with the KJBC Owned
Real Property, the &#147;KJBC Real Property&#148;) free and clear of all Liens except
Permitted Liens. Schedule&nbsp;5.10.2(b) sets forth in all material respects a true
and complete list as of the date of this Agreement of all of the KJBC Leased
Real Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10.3 KBC Owned Real Property. Except as listed or described on Schedule
5.10.3(a), all of the real property owned by KBC and used primarily with
respect to the KJBC Operations other than the KJBC Owned Real Property (the
&#147;KBC Owned Real Property&#148;) is free and clear of all Liens except Permitted
Liens. Schedule&nbsp;5.10.3(b) sets forth in all material respect a true and
complete list as of the date of this Agreement of the KBC Owned Real Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10.4 KBC Leased Real Property. Except as listed or described on
Schedule&nbsp;5.10.4(a), KBC has a valid leasehold interest in or valid rights to
all of the real property interests of KBC used primarily with respect to the
KJBC Operations other than the KBC Owned Real Property, KJBC Owned Real
Property and the KJBC Leased Real Property (the &#147;KBC Leased Real Property&#148; and
together with the KBC Owned Real Property, the &#147;KBC Real


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<P align="left" style="font-size: 10pt">Property&#148;). Schedule
5.10.4(b) sets forth in all material respects a true and complete list as of
the date of this Agreement of all of the KBC Leased Real Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10.5 Possession. Except as listed or described on Schedule&nbsp;5.10.5, KJBC
and KBC are in all material respects in peaceful and undisturbed possession of
the KJBC Real Property and KBC is in all material respects in peaceful and
undisturbed possession of the KBC Real Property. Except as listed or described
on Schedule&nbsp;5.10.5, none of the structures on the KJBC Real Property or KBC
Real Property encroaches upon real property of another Person, except such
encroachments that would not reasonably be expected to have a material adverse
effect on the value of such property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10.6 Zoning and Other Restrictions.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Except as listed or described on Schedule&nbsp;5.10.6(a), there is no
material violation of any building, planning, zoning or similar Laws with
respect to any of the KJBC Real Property or KBC Real Property, and (subject to
compliance with Laws of general application) there are no contractual or legal
restrictions that preclude or restrict in any material respect the ability to
mine the KJBC Real Property and KBC Real Property that is held for mining.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Except as listed or described on Schedule&nbsp;5.10.6(b), there is no
material zoning or other land use or planning application relating to the KJBC
Real Property or KBC Real Property that has been submitted to a Governmental
Entity which is pending, which has been denied (and which is necessary for the
conduct of the KJBC Operations as presently conducted and as proposed to be
conducted), or which is the subject matter of any pending appeal.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.11 Tangible Personal Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.11.1 KJBC Owned Tangible Personal Property. Except as listed or
described on Schedule&nbsp;5.11.1(a), KJBC has, or the partners of KJBC as tenants
in common for the use and benefit of KJBC have, valid title to all of the
tangible personal property owned by KJBC or owned by the partners of KJBC as
tenant in common for the use and benefit of KJBC (the &#147;KJBC Owned Tangible
Personal Property&#148;) free and clear of all Liens except for Permitted Liens.
Schedule&nbsp;5.11.1(b) sets forth in all material respects a true and complete list
as of the date of this Agreement of all of the KJBC Owned Tangible Personal
Property, except for inventory and individual items of tangible personal
property having a book value of less than $250,000.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.11.2 KJBC Leased Tangible Personal Property. Except as listed or
described on Schedule&nbsp;5.11.2(a), KJBC has, or the partners of KJBC as tenants
in common for the use and benefit of KJBC have, a valid leasehold interest in
or valid rights to the material tangible personal property that is leased to or
otherwise used by KJBC, other than the KJBC Owned Tangible Personal Property,
in connection with the conduct of the KJBC Operations (the &#147;KJBC Leased
Tangible Personal Property&#148;) in accordance with the terms of the applicable
contract. Schedule&nbsp;5.11.2(b) sets forth in all material respects a true and
complete list as of the date of this Agreement of all of the KJBC Leased
Tangible Personal Property.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.11.3 KBC Owned Tangible Personal Property. Except as listed or
described on Schedule&nbsp;5.11.3(a), KBC has valid title to all of the tangible
personal property owned by KBC and used primarily with respect to the KJBC
Operations, except for KJBC Owned Tangible
Personal Property (the &#147;KBC Owned Tangible Personal Property&#148;) free and
clear of all Liens except for Permitted Liens. Schedule&nbsp;5.11.3(b) sets forth
in all material respects a true and complete list as of the date of this
Agreement of all of the KBC Owned Tangible Personal Property, except for
inventory and other items of tangible personal property having a book value of
less than $250,000.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.11.4 KBC Leased Tangible Personal Property. Except as listed or
described on Schedule&nbsp;5.11.4(a), KBC has a valid leasehold interest in or valid
rights to all of the material tangible personal property that is leased to KBC
and used primarily with respect to the KJBC Operations, other than the KBC
Owned Tangible Personal Property, KJBC Owned Tangible Personal Property and
KJBC Leased Tangible Personal Property (the &#147;KBC Leased Tangible Personal
Property&#148;) in accordance with the applicable contract. Schedule&nbsp;5.11.4(b) sets
forth in all material respects a true and complete list as of the date of this
Agreement of all of the KBC Leased Tangible Personal Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12 Material Contracts.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12.1 KJBC Material Contracts. Schedule&nbsp;5.12.1(a) sets forth a true and
complete list as of the date of this Agreement of each KJBC Material Contract.
Except as listed or described in Schedule&nbsp;5.12.1(b), neither KJBC nor, to
Sellers&#146; knowledge, any counterparty to any KJBC Material Contract is in breach
of, or in default under, any KJBC Material Contract in any material respect,
and there is no pending or, to Sellers&#146; knowledge, threatened dispute in
relation to any material matter under any KJBC Material Contract. As of the
date of this Agreement, each of the KJBC Material Contracts to which KJBC is a
party is, in all material respects, a valid and binding obligation of KJBC
enforceable against KJBC in accordance with its terms, subject to the Standard
Exceptions. As of the Effective Time, each of the KJBC Material Contracts,
other than KJBC Material Contracts that expire by their terms or may be
terminated without violation of Section&nbsp;8.1.1 prior to the Effective Time, to
which KJBC is a party will be, in all material respects, a valid and binding
obligation of KJBC, enforceable against KJBC in accordance with its terms,
subject to the Standard Exceptions.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12.2 KBC Material Contracts. Schedule&nbsp;5.12.2(a) sets forth a true and
complete list as of the date of this Agreement of each KBC Material Contract.
Except as listed or described in Schedule&nbsp;5.12.2(b), neither KBC nor, to
Sellers&#146; knowledge, any counterparty to any KBC Material Contract is in breach
of, or in default under, any KBC Material Contract in any material respect, and
there is no pending or, to Sellers&#146; knowledge, threatened dispute in relation
to any material matter under any KBC Material Contract. As of the date of this
Agreement, each of the KBC Material Contracts to which KBC is a party is, in
all material respects, a valid and binding obligation of KBC enforceable
against KBC in accordance with its terms, subject to the Standard Exceptions.
As of the Effective Time, each of the KBC Material Contracts, other than KBC
Material Contracts that expire by their terms or may be terminated without
violation of Section&nbsp;8.1.1 prior to the Effective Time, to which KBC is a party
will be, in all material respects, a valid and binding obligation of KBC,
enforceable against KBC in accordance with its terms, subject to the Standard
Exceptions.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12.3 Agreements Provided. Sellers have made available to Buyers true
and complete copies of each KJBC Material Contract, KBC Material Contract, KBC
Labor Agreement and KBC Plan, including all amendments thereto.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.13 Intellectual Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.13.1 KJBC Owned Intellectual Property. Except as listed or described on
Schedule&nbsp;5.13.1(a), (a)&nbsp;KJBC owns, or the partners of KJBC as tenants in common
for the use and benefit of KJBC own, the entire right, title and interest in
and to all of the Intellectual Property owned by KJBC or owned by the partners
of KJBC as tenants in common for the use and benefit of KJBC (the &#147;KJBC Owned
Intellectual Property&#148;) free and clear of all Liens except Permitted Liens, and
(b)&nbsp;none of KJBC, KBC or to Sellers&#146; knowledge, JBM has granted any license to
any other Person relating to any of the KJBC Owned Intellectual Property.
Schedule&nbsp;5.13.1(b) sets forth in all material respects a true and complete list
as of the date of this Agreement of all of the KJBC Owned Intellectual
Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.13.2 KJBC Licensed Intellectual Property. Except as listed or described
on Schedule&nbsp;5.13.2(a), KJBC is entitled to the use of the material Intellectual
Property other than the KJBC Owned Intellectual Property that is used by KJBC
or for the benefit of KJBC in connection with the conduct of the KJBC
Operations (the &#147;KJBC Licensed Intellectual Property&#148;) and no payments in
respect of the KJBC Licensed Intellectual Property are payable to any Person in
connection with the use of the KJBC Licensed Intellectual Property by KJBC or
for the benefit of KJBC or will become payable to any Person as a result of the
transactions contemplated by this Agreement. Schedule&nbsp;5.13.2(b) sets forth in
all material respects a true and complete list as of the date of this Agreement
of all of the KJBC Licensed Intellectual Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.13.3 KBC Owned Intellectual Property. Except as listed or described on
Schedule&nbsp;5.13.3(a), (a)&nbsp;KBC owns the entire right, title and interest in and to
all of the Intellectual Property owned by KBC and used primarily in connection
with the conduct of the KJBC Operations other than the KJBC Owned Intellectual
Property (the &#147;KBC Owned Intellectual Property&#148;) free and clear of all Liens
except Permitted Liens, and (b)&nbsp;KBC has not granted any license to any other
Person relating to any of the KBC Owned Intellectual Property. Schedule
5.13.3(b) sets forth in all material respects a true and complete list as of
the date of this Agreement of all of the KBC Owned Intellectual Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.13.4 KBC Licensed Intellectual Property. Except as listed or described
on Schedule&nbsp;5.13.4(a), KBC is entitled to the use of the material Intellectual
Property other than the KBC Owned Intellectual Property, KJBC Owned
Intellectual Property and KJBC Licensed Intellectual Property that is used by
KBC primarily in connection with the conduct of the KJBC Operations (the &#147;KBC
Licensed Intellectual Property&#148;) and no payments in respect of the KBC Licensed
Intellectual Property are payable to any Person in connection with the use of
the KBC Licensed Intellectual Property by KBC or will become payable to any
Person as a result of the transactions contemplated by this Agreement.
Schedule&nbsp;5.13.4(b) sets forth in all material respects a true and complete list
as of the date of this Agreement of all of the KBC Licensed Intellectual
Property.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.13.5 No Unresolved Claims. There is no unresolved material claim
against KJBC asserting infringement by or of the KJBC Owned Intellectual
Property or, to Sellers&#146; knowledge, the KJBC Licensed Intellectual Property, or
any other unresolved material claim against KJBC asserting a conflict with the
rights of others in connection with KJBC&#146;s use of any of the KJBC Owned
Intellectual Property or the KJBC Licensed Intellectual Property, and, to
Sellers&#146; knowledge, there is no basis for any such claim to be brought. There
is no unresolved material claim against KBC asserting infringement by or of the
KBC Owned Intellectual Property or, to Sellers&#146; knowledge, the KBC Licensed
Intellectual Property, or any other unresolved material claim against KBC
asserting a conflict with the rights of others in connection with KBC&#146;s use of
any of the KBC Owned Intellectual Property or the KBC Licensed Intellectual
Property, and, to Sellers&#146; knowledge, there is no basis for any such claim to
be brought.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.14 Permits.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.14.1 List of Permits. Schedule&nbsp;5.14.1 sets forth a true and complete
list as of the date of this Agreement of all material licenses, permits and
authorizations from Governmental Entities required to be maintained by each of
KJBC and KBC in connection with the conduct of the KJBC Operations (other than
those required under Environmental Laws, which are addressed in Section&nbsp;5.17).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.14.2 Permit Compliance. Except as set forth in Schedule&nbsp;5.14.2, each of
KJBC and KBC has, maintains and is in compliance in all material respects with
all licenses, permits and authorizations from Governmental Entities required to
be maintained by each of them in connection with the conduct of the KJBC
Operations (other than those required under Environmental Laws, which are
addressed in Section&nbsp;5.17). Neither KJBC nor KBC has received from any
Governmental Entity specific written notification that, and to Sellers&#146;
knowledge, there is no reasonable basis for a claim that, any material permit
or authorization (a)&nbsp;is not in full force and effect, (b)&nbsp;has been violated in
any material respect, or (c)&nbsp;is subject to any suspension, revocation or
cancellation.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.15 Compliance with Law. Except as listed or described on Schedule&nbsp;5.15,
KJBC is in compliance in all material respects with all applicable Laws (other
than Environmental Laws, which are addressed in Section&nbsp;5.17). KBC is in
compliance, in all material respects, with all applicable Laws in respect of
its ownership of the KBC Purchased Assets and its operation of the KJBC
Operations.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.16 Litigation. Except as listed or described on Schedule&nbsp;5.16, there
are no civil, criminal, administrative, arbitral or similar proceedings,
actions or suits pending or, to Sellers&#146; knowledge, threatened by or against
KJBC or KBC arising out of or relating to the conduct of the KJBC Operations,
or otherwise pertaining to or affecting the KBC Purchased Assets or the KJBC
Assets (other than proceedings, actions or suits arising out of or relating to
any violations of Environmental Laws which are addressed in Section&nbsp;5.17), that
have a stated claim amount in excess of $50,000 and to Sellers&#146; knowledge,
there is no basis for any such proceeding, action or suit.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.17 Environmental Matters.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.17.1 Environmental Compliance. Except as listed or described on
Schedule&nbsp;5.17.1, (a)&nbsp;KJBC and KBC are in compliance in all material respects
with all Environmental Laws applicable to the KJBC Operations and (b)&nbsp;there is
no civil, criminal or administrative action or suit pending against KJBC or KBC
that alleges any material violation of Environmental Laws arising from the
conduct of the KJBC Operations, and to Sellers&#146; knowledge, no such action or
suit is threatened against KJBC or KBC.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.17.2 Disposal Sites. Schedule&nbsp;5.17.2 sets forth a true and complete
list and description as of the date of this Agreement of all disposal sites
used in the KJBC Operations since January&nbsp;1, 1994, whether or not located on
any KJBC Real Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.17.3 List of Environmental Permits. Schedule&nbsp;5.17.3 sets forth a true
and complete list as of the date of this Agreement of all material licenses,
permits and authorizations from Governmental Entities required to be maintained
under Environmental Laws by each of KJBC and KBC in connection with the conduct
of the KJBC Operations.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.17.4 Environmental Permit Compliance. Except as set forth in Schedule
5.17.4, each of KJBC and KBC has, maintains and is in compliance in all
material respects with all licenses, permits and authorizations from
Governmental Entities required to be maintained under Environmental Laws by
each of them in connection with the conduct of the KJBC Operations. Neither
KJBC nor KBC has received from any Governmental Entity specific written
notification that, and to Sellers&#146; knowledge, there is no reasonable basis for
a claim that, any material permit or authorization (a)&nbsp;is not in full force and
effect, (b)&nbsp;has been violated in any material respect, or (c)&nbsp;is subject to any
suspension, revocation or cancellation.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.18 Employees.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.18.1 Compliance with Laws. Schedule&nbsp;5.18.1 sets forth a true and
complete list, as of the date of this Agreement, of the names of all KBC
Employees or individuals to whom KBC has made an outstanding offer of
employment. KBC and KJBC have complied in all material respects with all
applicable Laws related to the employment of employees and, to Sellers&#146;
knowledge, except as listed or described on Schedule&nbsp;5.18.1, since January&nbsp;1,

2002, neither KBC or KJBC has received any notice of any claim that (a)&nbsp;it has
not complied in any material respect with any Laws relating to the employment
of employees, including any provision thereof relating to wages, hours or
employee safety, or (b)&nbsp;it is liable for any arrearage of wages or any Taxes or
penalties for failure to comply with any of the foregoing. All of the KBC
Employees are employed in Jamaica exclusively in the KJBC Operations. All
outstanding offers of employment made by KBC were made only in the ordinary
course of business.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.18.2 Employment and Severance Agreements. Except as set forth in
Schedule&nbsp;5.18.2 or 5.19.1 or permitted by Section&nbsp;8.1, KBC is not a party to,
is not bound by, and has no outstanding obligations under, any employment,
compensation, severance, consulting, retainer or other similar agreement,
arrangement or understanding, including any arrangement or agreement to make
payments to any Person in connection with the continued employment or the
termination of their employment, in each case, written or oral. Sellers have


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<P align="left" style="font-size: 10pt">made available to Buyers copies
of all such agreements or summaries of the material terms of any oral
arrangements or understanding.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.18.3 Liabilities Satisfied. All obligations and liabilities of KBC
owing to the KBC Employees, former employees of KBC and their dependents,
including all obligations and liabilities for (a)&nbsp;wages, salaries and other
compensation payments, (b)&nbsp;all payments and other liabilities under all KBC
Plans (including all collective bargaining agreements), and (c)&nbsp;all liabilities
under Laws relating to terms and conditions of employment, (i)&nbsp;have been, to
the extent due or payable, fully satisfied or (ii)&nbsp;are or will be reflected as
current liabilities on the financial statements of KBC to the extent required
under U.S. generally accepted accounting principles.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.19 Labor Matters.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.19.1 Collective Bargaining Agreements. Schedule&nbsp;5.19.1 sets forth a
true and complete list of each labor or collective bargaining agreement to
which KBC or KJBC is a party.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.19.2 No Other Labor Organization. Sellers have no knowledge of any
activity or proceeding of any labor organization (or representatives thereof)
to organize any KBC Employees, nor of any concerted activities, strikes,
slowdowns, work stoppages, lockouts or threats thereof by or with respect to
any KBC Employees.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.20 KBC Plans and Employee Compensation. Schedule&nbsp;5.20 sets forth a true
and complete list of each KBC Plan. With respect to each KBC Plan, Sellers
have delivered or made available to Buyers a true, complete and correct copy of
such KBC Plan (or, if not written, a written summary of its material terms) and
the most recent summary plan description, if any, related to such KBC Plan.
With respect to Other KBC Employees, Sellers have made available to Buyers the
current base pay and incentive compensation of such Other KBC Employees.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.21 Administration of KBC Plans. Except as listed or described on
Schedule&nbsp;5.21, each KBC Plan has been administered in accordance with its terms
and all applicable Laws in all material respects, and all contributions
required to be made to any KBC Plan have been timely made in accordance with
its terms and all applicable Laws. To Sellers&#146; knowledge, no event has
occurred, and there exists no condition or set of circumstances (other than
general economic conditions), that would reasonably be expected to result in
material liabilities (other than routine benefit liabilities) under the terms
of, or with respect to, any such KBC Plan.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.22 Insurance. Schedule&nbsp;5.22 sets forth a true and complete list of all
insurance policies (collectively, &#147;KJBC Listed Insurance Policies&#148;) and
describes all self-insurance arrangements as of the date of this Agreement of
or for the benefit of KJBC covering any aspect of the KJBC Operations. As of
the date of this Agreement, all of the KJBC Listed Insurance Policies are in
full force and effect through the respective dates set forth on Schedule&nbsp;5.22.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.23 Tax Matters.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.23.1 Tax Returns. Except as listed or described on Schedule&nbsp;5.23.1:
(a)&nbsp;all Tax Returns required to be filed as of the date hereof with respect to
the KBC Purchased Assets, KJBC, any KJBC Assets or the KJBC Operations have
been timely filed other than Tax Returns


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<P align="left" style="font-size: 10pt">that do not involve a material amount of Taxes; (b)&nbsp;all Taxes shown to be
due on such Tax Returns have been timely paid or otherwise discharged; (c)&nbsp;all
such Tax Returns are true, correct and complete in all material respects; (d)
no material adjustment relating to such Tax Returns has been proposed formally
or, to Sellers&#146; knowledge, informally by any Tax authority and, to Sellers&#146;
knowledge, no basis exists for any such adjustment; (e)&nbsp;there are no pending
or, to Sellers&#146; knowledge, threatened actions or proceedings for the assessment
or collection of material Taxes relating to the KBC Purchased Assets, KJBC, any
KJBC Assets or the KJBC Operations; and (f)&nbsp;to Sellers&#146; knowledge, there are no
Tax liens on any KJBC Assets or any of the KBC Purchased Assets other than
Permitted Liens.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.23.2 Unresolved Items. Except as listed or described on Schedule
5.23.2: (a)&nbsp;there are no outstanding waivers or agreements extending the
statute of limitations for any period with respect to any material Tax to which
the KBC Purchased Assets, KJBC Assets, KJBC or the KJBC Operations may be
subject; (b)&nbsp;there are no requests for information from any Tax authority
currently outstanding that could materially and adversely affect the Taxes on
or in respect of the KBC Purchased Assets, KJBC, any KJBC Assets or the KJBC
Operations; and (c)&nbsp;to Sellers&#146; knowledge, there are no proposed reassessments
of any property included in the KBC Purchased Assets, the KJBC Assets or the
KJBC Operations that could materially increase the amount of any Tax to which
the KBC Purchased Assets, the KJBC Assets or the KJBC Operations would be
subject.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.23.3 Stamp Duty. To Sellers&#146; knowledge, all documents and instruments
relating to the KBC Purchased Assets or any KJBC Assets and which are subject
to a material amount of stamp duty (other than as a result of the transactions
contemplated by this Agreement) have been properly stamped.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.24 Related Party Transactions. Neither KBC nor KJBC is a party to any
contract, agreement, arrangement or understanding, written or oral, with either
of the Sellers or any of their Affiliates that is not listed on Schedule&nbsp;5.12.1
or Schedule&nbsp;5.12.2. KJBC has no Intercompany Obligations other than
Intercompany Obligations between KJBC and KBC and Intercompany Obligations
between KJBC and Alpart.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.25 Brokers and Finders. None of Sellers or their Affiliates have
employed any broker or finder or incurred any liability for any brokerage fees,
commission or finders fees in connection with the transactions contemplated
hereby, except for the employment of, and related fees and expenses payable to,
Lazard Fr&#232;res &#038; Co. LLC, which will be borne by Sellers or their Affiliates.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.26 Title to KBC Purchased Assets. Except as set forth in Section&nbsp;2.5,
(a)&nbsp;KBC has good and valid title to the KBC Purchased Assets and KJBC has good
and valid title to the KJBC Assets, and (b)&nbsp;at Closing and upon delivery of the
KBC Purchased Assets and payment therefore pursuant hereto, KJBC Buyer will
acquire good and valid title to the KBC Purchased Assets and KJBC will continue
to have good and valid title to the KJBC Assets.


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<P align="center" style="font-size: 10pt"><B>ARTICLE VI<BR>
REPRESENTATIONS AND WARRANTIES OF KAISER WITH<BR>
RESPECT TO THE GRAMERCY PURCHASED ASSETS</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Kaiser hereby represents and warrants to Buyers as follows:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 Sufficiency of Assets. The Gramercy Purchased Assets, when utilized
by a labor force substantially similar to that used by Kaiser in connection
with the Gramercy Operations as of the date of this Agreement, assuming
appropriate post-closing services are available to and utilized by Gramercy
Buyer under the Transition and Shared Services Agreement, will be adequate to
conduct the Gramercy Operations immediately after the Effective Time in the
same manner in all material respects as such operations are conducted as of the
date of this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2 Gramercy Inventory. Sellers have delivered to Buyers an inventory
statement, dated as of the Balance Sheet Date (the &#147;Balance Sheet Date Gramercy
Inventory Statement&#148;), a copy of which is attached hereto as Schedule&nbsp;6.2,
which Balance Sheet Date Gramercy Inventory Statement presents fairly the
Gramercy Inventory and the Book Value thereof as of the Balance Sheet Date and,
except as specified in the notes thereto, was prepared in all material respects
using valuation and other accounting practices based on Kaiser&#146;s standard
inventory costs consistent with Kaiser&#146;s past practice.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3 Conduct of Business. Since the Balance Sheet Date, except as listed
or described on Schedule&nbsp;6.3, (a)&nbsp;Kaiser has not conducted the Gramercy
Operations in a manner outside the ordinary course of business in any material
respect, and (b)&nbsp;no event has occurred that, individually or in the aggregate,
would reasonably be expected to have a Material Adverse Effect.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4 Real Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4.1 Owned Real Property. Except as listed or described on Schedule
6.4.1(a), all of the real property owned by Kaiser and used primarily with
respect to the Gramercy Operations (the &#147;Gramercy Owned Real Property&#148;) is free
and clear of all Liens except Permitted Liens. Schedule&nbsp;6.4.1(b) sets forth in
all material respects a true and complete list as of the date of this Agreement
of the Gramercy Owned Real Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4.2 Leased Real Property. Except as listed or described on Schedule
6.4.2(a), Kaiser has a valid leasehold interest in or valid rights to all of
the real property interests of Kaiser used primarily with respect to the
Gramercy Operations other than the Gramercy Owned Real Property (the &#147;Gramercy
Leased Real Property&#148; and together with the Gramercy Owned Real Property, the
&#147;Gramercy Real Property&#148;). Schedule&nbsp;6.4.2(b) sets forth in all material
respects a true and complete list as of the date of this Agreement of all of
the Gramercy Leased Real Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4.3 Possession. Kaiser is in all material respects in peaceful and
undisturbed possession of the Gramercy Owned Real Property. None of the
structures on the Gramercy Owned Real Property encroaches upon real property of
another Person, except such encroachments that would not reasonably be expected
to have a material adverse effect on the value of such property.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4.4 Zoning and Other Restrictions.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Except as listed or described on Schedule&nbsp;6.4.4(a), there is no
material violation of any building, planning, zoning or similar Laws with
respect to any of the Gramercy Real Property, and (subject to compliance with
Laws of general application) there are no contractual or legal restrictions
that preclude or restrict in any material respect the ability to use such
Gramercy Real Property as currently used.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Except as listed or described on Schedule&nbsp;6.4.4(b), there is no
material zoning or other land use or planning application relating to the
Gramercy Real Property that has been submitted to a Governmental Entity which
is pending, which has been denied (and which is necessary for the conduct of
the Gramercy Operations as presently conducted), or which is the subject matter
of any pending appeal.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5 Tangible Personal Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5.1 Owned Tangible Personal Property. Except as listed or described on
Schedule&nbsp;6.5.1(a), Kaiser has valid title to all of the tangible personal
property owned by Kaiser and used primarily with respect to the Gramercy
Operations (the &#147;Gramercy Owned Tangible Personal Property&#148;) free and clear of
all Liens except for Permitted Liens. Schedule&nbsp;6.5.1(b) sets forth in all
material respects a true and complete list as of the date of this Agreement of
all of the Gramercy Owned Tangible Personal Property, except for inventory and
items of tangible personal property having a book value of less than $250,000.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5.2 Leased Tangible Personal Property. Except as listed or described on
Schedule&nbsp;6.5.2(a), Kaiser has a valid leasehold interest in or valid rights to
the material tangible personal property that is leased to Kaiser and used
primarily with respect to the Gramercy Operations other than the Gramercy Owned
Tangible Personal Property (the &#147;Gramercy Leased Tangible Personal Property&#148;).
Schedule&nbsp;6.5.2(b) sets forth in all material respects a true and complete list
as of the date of this Agreement of all of the Gramercy Leased Tangible
Personal Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5.3 Condition of Assets. Except as listed or described on Schedule
6.5.3, the Gramercy Owned Tangible Personal Property and the Gramercy Leased
Tangible Personal Property listed on Schedules 6.5.1(b) and 6.5.2(b),
considered collectively and not on an item by item basis, is in good repair and
operating condition, ordinary wear and tear excepted, except where failure to
be in such condition would not reasonably be expected to have a Material
Adverse Effect.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.6 Gramercy Material Contracts.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.6.1 Gramercy Material Contracts. Schedule&nbsp;6.6.1(a) sets forth a true
and complete list as of the date of this Agreement of each Gramercy Material
Contract. Except as listed or described in Schedule&nbsp;6.6.1(b), neither Kaiser
nor, to Sellers&#146; knowledge, any counterparty to any Gramercy Material Contract
is in breach of, or in default under, any Gramercy Material Contract in any
material respect, and there is no pending or, to Sellers&#146; knowledge, threatened
dispute in relation to any material matter under any Gramercy Material
Contract. As of the date of this Agreement, each of the Gramercy Material
Contracts to which


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<P align="left" style="font-size: 10pt">Kaiser is a party is, in all material respects, a valid and binding
obligation of Kaiser enforceable against Kaiser in accordance with its terms,
subject to the Standard Exceptions. As of the Effective Time, each of the
Gramercy Material Contracts, other than Gramercy Material Contracts that expire
by their terms or may be terminated without violation of Section&nbsp;8.1.1 prior to
the Effective Time, to which Kaiser is a party will be, in all material
respects, a valid and binding obligation of Kaiser, enforceable against Kaiser
in accordance with its terms, subject to the Standard Exceptions.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.6.2 Agreements Provided. Sellers have made available to Buyers true and
complete copies of each Gramercy Material Contract, including all amendments
thereto.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.7 Intellectual Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.7.1 Owned Intellectual Property. Except as listed or described on
Schedule&nbsp;6.7.1(a), (a)&nbsp;Kaiser owns the entire right, title and interest in and
to all of the Intellectual Property owned by Kaiser and used primarily with
respect to the Gramercy Operations (the &#147;Gramercy Owned Intellectual Property&#148;)
free and clear of all Liens except Permitted Liens, and (b)&nbsp;Kaiser has not
granted any license to any other Person relating to any of the Gramercy Owned
Intellectual Property. Schedule&nbsp;6.7.1(b) sets forth in all material respects a
true and complete list as of the date of this Agreement of all of the Gramercy
Owned Intellectual Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.7.2 Licensed Intellectual Property. Except as listed or described on
Schedule&nbsp;6.7.2(a), Kaiser is entitled to the use of the material Intellectual
Property other than the Gramercy Owned Intellectual Property that is used by
Kaiser primarily in connection with the conduct of the Gramercy Operations (the
&#147;Gramercy Licensed Intellectual Property&#148;) and no payments in respect of the
Gramercy Licensed Intellectual Property are payable to any Person in connection
with the use of the Gramercy Licensed Intellectual Property by Kaiser or will
become payable to any Person as a result of the transactions contemplated by
this Agreement. Schedule&nbsp;6.7.2(b) sets forth in all material respects a true
and complete list as of the date of this Agreement of all of the Gramercy
Licensed Intellectual Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.7.3 No Unresolved Claims. There is no unresolved material claim against
Kaiser asserting infringement by or of the Gramercy Owned Intellectual Property
or, to Kaiser&#146;s knowledge, the Gramercy Licensed Intellectual Property, or any
other unresolved material claim against Kaiser asserting a conflict with the
rights of others in connection with Kaiser&#146;s use of any of the Gramercy Owned
Intellectual Property or the Gramercy Licensed Intellectual Property, and, to
Kaiser&#146;s knowledge, there is no basis for any such claim to be brought.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.8 Permits.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.8.1 List of Permits. Schedule&nbsp;6.8.1 sets forth a true and complete list
as of the date of this Agreement of all material licenses, permits and
authorizations from Governmental Entities required to be maintained by Kaiser
in connection with the conduct of the Gramercy Operations (other than those
required under Environmental Laws, which are addressed in Section&nbsp;6.11).


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.8.2 Permit Compliance. Except as set forth in Schedule&nbsp;6.8.2, Kaiser
has, maintains and is in compliance in all material respects with all licenses,
permits and authorizations from Governmental Entities required to be maintained
by it in connection with the conduct of the Gramercy Operations (other than
those required under Environmental Laws, which are addressed in Section&nbsp;6.11).
Kaiser has not received from any Governmental Entity specific written
notification that, and to Kaiser&#146;s knowledge there is no reasonable basis for a
claim that, any material permit or authorization (a)&nbsp;is not in full force and
effect, (b)&nbsp;has been violated in any material respect, or (c)&nbsp;is subject to any
suspension, revocation, or cancellation.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.9 Compliance with Law. Except as listed or described on Schedule&nbsp;6.9,
Kaiser is in compliance in all material respects with all applicable Laws
(other than Environmental Laws, which are addressed in Section&nbsp;6.11) with
respect to the conduct of the Gramercy Operations. Kaiser is in compliance, in
all material respects, with all applicable Laws in respect of its ownership of
the Gramercy Purchased Assets.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.10 Litigation. Except as listed or described on Schedule&nbsp;6.10, there
are no civil, criminal, administrative, arbitral or similar proceedings,
actions or suits pending or, to Kaiser&#146;s knowledge, threatened against Kaiser
arising out of or relating to the conduct of the Gramercy Operations, or
otherwise pertaining to or affecting the Gramercy Purchased Assets (other than
proceedings, actions or suits arising out of or relating to any violation of
Environmental Laws which are addressed in Section&nbsp;6.11) that have a stated
claim amount in excess of $100,000, and to Kaiser&#146;s knowledge there is no basis
for any such proceeding, action or suit.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.11 Environmental Matters.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.11.1 Environmental Compliance. Except as listed or described on
Schedule&nbsp;6.11.1, (a)&nbsp;to its knowledge, Kaiser is in material compliance with
all Environmental Laws applicable to the Gramercy Operations and (b)&nbsp;there is
no civil, criminal or administrative action or suit pending against Kaiser that
alleges any material violation of Environmental Laws arising from the conduct
of the Gramercy Operations, and to Kaiser&#146;s knowledge, no such action or suit
is threatened against Kaiser.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.11.2 Disposal Sites. Schedule&nbsp;6.11.2 sets forth a true and complete
list and description as of the date of this Agreement of all disposal sites
used in the Gramercy Operations since January&nbsp;1, 1994, whether or not located
on any Gramercy Real Property.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.11.3 List of Environmental Permits. Schedule&nbsp;6.11.3 sets forth a true
and complete list as of the date of this Agreement of all material licenses,
permits and authorizations from Governmental Entities required to be maintained
under Environmental Laws by Kaiser in connection with the conduct of the
Gramercy Operations.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.11.4 Environmental Permit Compliance. Except as set forth in Schedule
6.11.4, to its knowledge, Kaiser has, maintains and is in compliance in all
material respects with all licenses, permits and authorizations from
Governmental Entities required to be maintained under Environmental Laws by it
in connection with the conduct of the Gramercy Operations. Kaiser has not
received from any Governmental Entity specific written notification that, and
to Kaiser&#146;s knowledge there is no reasonable basis for a claim that, any such
permit or


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<P align="left" style="font-size: 10pt">authorization
that is material (a)&nbsp;is not in full force and effect, (b)&nbsp;has been
violated in any material respect, or (c)&nbsp;is subject to any suspension,
revocation, or cancellation.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.12 Labor Matters.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.12.1 Collective Bargaining Agreements. Schedule&nbsp;6.12.1 sets forth a
true and complete list of each labor or collective bargaining agreement related
to the Gramercy Operations to which Kaiser is a party.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.12.2 No Other Labor Organization. Kaiser has no knowledge of any
activity or proceeding of any labor organization (or representatives thereof)
to organize any Gramercy Employees, nor of any concerted activity, strikes,
slowdowns, work stoppages, lockouts or threats thereof by or with respect to
any Gramercy Employees.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.13 Insurance. Schedule&nbsp;6.13 sets forth a true and complete list of all
insurance policies (collectively, &#147;Gramercy Listed Insurance Policies&#148;) and
describes all self-insurance arrangements as of the date of this Agreement of
or for the benefit of Kaiser covering any aspect of the Gramercy Operations.
As of the date of this Agreement, all of the Gramercy Listed Insurance Policies
are in full force and effect through the respective dates set forth on Schedule
6.13.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.14 Tax Matters.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.14.1 Tax Returns. Except as listed or described on Schedule&nbsp;6.14.1, to
Sellers&#146; knowledge, (a)&nbsp;there are no pending or threatened actions or
proceedings for the assessment or collection of material property or ad valorem
taxes relating to the Gramercy Purchased Assets, and (b)&nbsp;there are no Tax Liens
on any of the Gramercy Purchased Assets.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.14.2 Unresolved Items. Except as listed or described on Schedule
6.14.2, (a)&nbsp;there are no outstanding waivers or agreements extending the
statute of limitations for any period with respect to any material property or
ad valorem tax to which the Gramercy Purchased Assets may be subject, (b)&nbsp;there
are no requests for information from any Tax authority currently outstanding
that could materially adversely affect any property or ad valorem taxes on or
in respect of the Gramercy Purchased Assets, and (c)&nbsp;to Seller&#146;s knowledge,
there are no proposed reassessments of any property included in the Gramercy
Purchased Assets that could reasonably be expected to materially increase the
amount of any property or ad valorem tax to which the Gramercy Purchased Assets
would be subject.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.15 Title to Gramercy Purchased Assets. Kaiser has good and valid title
to the Gramercy Purchased assets. At Closing and upon delivery of the Gramercy
Purchased Assets and payment therefore pursuant hereto, Gramercy Buyer will
acquire good and valid title to the Gramercy Purchased Assets.


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<P align="center" style="font-size: 10pt"><B>ARTICLE VII<BR>
REPRESENTATIONS AND WARRANTIES OF BUYER</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Buyers hereby represents and warrants to Sellers as follows:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 Organization. KJBC Buyer is a private limited company duly organized
and validly existing under the laws of Jamaica. Gramercy Buyer is a limited
liability company duly organized and validly existing under the laws of the
State of Delaware.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2 Corporate Authority. Each Buyer has the requisite organizational
power and authority to execute and deliver this Agreement and to consummate the
transactions contemplated hereby. The execution and delivery of this Agreement
and the Escrow Agreement by each Buyer, as applicable, and the performance by
each Buyer of the obligations contemplated to be performed by each Buyer
hereunder and thereunder, as applicable, have been duly authorized by all
necessary organizational actions of that Buyer, and the execution and delivery
of the Transition and Shared Services Agreement (subject to Section&nbsp;8.1.2), the
Environmental Escrow Agreement and the Technology Licenses by each Buyer party
thereto and the performance by each such Buyer of the obligations contemplated
to be performed by it thereunder will be duly authorized by all necessary
organizational actions of that Buyer as of the Closing. This Agreement and the
Escrow Agreement have been duly executed and delivered by each Buyer party
hereto and thereto, and the Transition and Shared Services Agreement (subject
to Section&nbsp;8.1.2), the Environmental Escrow Agreement and the Technology
Licenses will be duly executed and delivered by each Buyer party thereto as of
the Closing, and each of this Agreement and the Escrow Agreement is, and each
of the Transition and Shared Services Agreement (subject to Section&nbsp;8.1.2), the
Environmental Escrow Agreement and the Technology Licenses will be as of the
date of its execution and delivery, a valid and binding obligation of each
Buyer, as applicable, enforceable against each Buyer, as applicable, in
accordance with its terms, subject to the Standard Exceptions.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.3 Consents. No Consent is required in connection with the execution or
delivery by Buyers of, or the performance by Buyers of their obligations under,
this Agreement, except for (a)&nbsp;the Consents listed or described on Schedule
7.3, (b)&nbsp;the making of applicable HSR Filings, if any, and the expiration or
termination of the applicable waiting period thereunder, and (c)&nbsp;Consents that
would not have, individually or in the aggregate, a material adverse effect on
the ability of Buyers to consummate the transactions contemplated by this
Agreement if not obtained or made. Except as listed or described on Schedule
7.3, assuming that, as of the Closing, the Consents referred to in the
preceding sentence have been obtained or made and remain in full force and
effect, the execution and delivery of this Agreement by Buyers do not, and the
performance by Buyers of their obligations under this Agreement will not,
conflict with or result in the violation of, or constitute a default under, or
give rise to a right of termination, cancellation or acceleration of any
obligation under, (a)&nbsp;the charter or bylaws or similar documents of either
Buyer, (b)&nbsp;any Law to which either Buyer is subject, or (c)&nbsp;any agreement or
contract to which either Buyer is a party or by which either Buyer is bound;
except in the case of clauses (b)&nbsp;and (c)&nbsp;such conflicts, violations, defaults
or rights that would not reasonably be expected to have, individually or in the
aggregate, a material adverse effect on the ability of Buyers to consummate the
transactions contemplated by this Agreement.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.4 Representations Exclusive. Each Buyer acknowledges that except as
expressly set forth in this Agreement, Sellers have made no representation or
warranty as to KJBC, the Combined Operations, the Purchased Assets or the
Assumed Liabilities. Each Buyer further acknowledges that this Agreement is
subject to any applicable order or act of the Bankruptcy Court.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.5 Sufficiency of Funds. Buyers have unencumbered cash on hand or credit
arrangements with financially responsible third parties, or a combination
thereof, in an aggregate amount sufficient, when combined with the Deposit, to
enable them to pay the Final Purchase Price and all fees and expenses payable
by them in connection with this Agreement and the transactions contemplated
hereby.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.6 Investment Intent. The general partnership interest in KJBC included
in the KBC Partnership Interest is being purchased by KJBC Buyer for investment
and not with a view to distribution of all or any portion thereof, and neither
the KBC Partnership Interest as a whole nor any portion thereof will be
disposed of by KJBC Buyer without registration under the Securities Act of
1933, as amended, or pursuant to an exemption from such registration
requirements.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.7 Brokers and Finders. None of Buyers or their Affiliates have employed
any broker or finder or incurred any liability for any brokerage fees,
commissions or finders fees in connection with the transactions contemplated
hereby.


<P align="center" style="font-size: 10pt"><B>ARTICLE VIII<BR>
CERTAIN COVENANTS</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1 Conduct of the Business; Transition Planning.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1.1 Certain Restrictions. During the period between the signing of this
Agreement by the parties hereto and Closing, Sellers shall use their
commercially reasonable efforts to ensure that, except as otherwise
contemplated by this Agreement, as required by the Bankruptcy Court, as
required by Law, or as listed or described on Schedule&nbsp;8.1.1(a), (a)&nbsp;the
Combined Operations are conducted in the ordinary course thereof consistent
with past practices, including with respect to maintenance of insurance
relating to the Combined Operations, (b)&nbsp;material relationships related to the
Combined Operations, including those with employees and suppliers, are
preserved, and (c)&nbsp;the condition of the Purchased Assets is materially
preserved. Without limiting the generality of the foregoing, during the period
between the signing of this Agreement by the parties hereto and Closing, except
as listed or described on Schedule&nbsp;8.1.1(a) or with the prior consent of
Buyers, which consent shall not be unreasonably withheld, Sellers shall not
cause, and shall direct the members of KJBC&#146;s executive committee appointed by
Sellers not to cause:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;the taking of any action or the exercise of any of the powers
described in Article&nbsp;XIII of the Partnership Agreement;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;any arrangement with any contractor for such contractor to perform
any of the acts or exercise any of the powers described in Article&nbsp;XIII of the
Partnership Agreement;


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)&nbsp;the taking of any action described in Section&nbsp;4.03 of the Management
Agreement;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)&nbsp;the creation, termination or amendment of any KJBC Material Contract,
KBC Material Contract or Gramercy Material Contract, including those set forth
on Schedules 5.12.1(a), 5.12.2(a) and 6.6.1(a);


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)&nbsp;any acquisition or disposition of any KJBC Assets, the KBC Purchased
Assets or Gramercy Purchased Assets outside the ordinary course of conduct of
the Gramercy Operations or the KJBC Operations (as applicable) or any
acquisition or disposition that is reasonably likely to involve consideration
in excess of $250,000;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)&nbsp;any capital expenditures to be made by or on behalf of KJBC except as
contemplated in the KJBC Capital Spending Plan 2004 &#151; 2005 attached hereto as
Schedule&nbsp;8.1.1(b);


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)&nbsp;any capital expenditures to be made with respect to Gramercy except
as contemplated in the 2004 GBU Capital Spending Plan attached hereto as
Schedule&nbsp;8.1.1(c);


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii)&nbsp;either Seller to grant or otherwise suffer to exist any Lien on any
of the Purchased Assets, other than Permitted Liens;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix)&nbsp;the creation of any agreement or arrangement with any Governmental
Entity that is competent to impose or collect amounts payable in respect of any
Taxes relating to the Purchased Assets arising after the Closing Date;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x)&nbsp;any offer to be made by or on behalf of KBC to employ any individual
not currently employed by KBC for a salary or fee in excess of $100,000 per
annum or any offer to be made by or on behalf of Kaiser to employ any
individual with respect to the Gramercy Operations not currently employed by
Kaiser for a salary or fee in excess of $100,000 per annum;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi)&nbsp;the termination, other than for cause, of any KBC Employee who is
material to the KJBC Operations or any Gramercy Employee who is material to the
Gramercy Operations;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii)&nbsp;the termination, other than for cause, of all or substantially all
KBC Employees in any department that is material to the KJBC Operations or all
or substantially all Gramercy Employees in any department that is material to
the Gramercy Operations;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii)&nbsp;a material increase in the aggregate number of KBC Employees or in
the aggregate number of Gramercy Employees;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv)&nbsp;the amendment of any of the material terms of employment of or
benefits made available to, or the increase in pay and benefits of, any KBC
Employee, Gramercy Employee or Seller Employee, except for (A)&nbsp;in the case of
KBC Represented Employees, increases in pay or benefits required under the
terms of the applicable KBC Labor Agreement and KBC Plans, (B)&nbsp;in the case of
Gramercy Employees subject to the Gramercy Labor


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<P align="left" style="font-size: 10pt">Agreement, increases in pay or benefits required under the terms of the
Gramercy Labor Agreement and Gramercy Plans, and (C)&nbsp;in the case of the Seller
Employees, increases in pay or benefits required under employment or benefits
agreements in effect on the date hereof or discretionary bonuses in amounts,
and payable on dates, consistent with past practice and otherwise in the
ordinary course of business;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv)&nbsp;the filing of any renditions with the local property tax authorities
of the State of Louisiana prior to the applicable filing date related to any
such rendition;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi)&nbsp;the creation of any Intercompany Obligations other than Intercompany
Obligations between KJBC and KBC and Intercompany Obligations between KJBC and
Alpart, consistent with past practice and otherwise in the ordinary course of
business; or


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii)&nbsp;either Seller or KJBC to enter into any agreement to do any of the
foregoing.


<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">Buyers shall respond to any request by Sellers for a consent required under
this Section&nbsp;8.1.1 within three business days of delivery of such request, or
such shorter period of time as Sellers reasonably requested.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1.2 Transition Planning. During the period between the signing of this
Agreement by the parties hereto and Closing, Sellers shall supply to Buyers,
promptly after they are produced, copies of (a)&nbsp;all regular management accounts
relating to the Gramercy Operations or the KJBC Operations, (b)&nbsp;all senior
management reports relating to the Gramercy Operations or the KJBC Operations,
and (c)&nbsp;all other material reports and information provided to Sellers by
KJBC&#146;s executive committee. Solely for the purpose of effecting an orderly
transition of ownership of the Purchased Assets and the operation of the
Combined Operations, the parties shall form a transition committee comprised of
one or two individuals selected by Sellers and one or two individuals selected
by Buyers (the &#147;Transition and Shared Services Committee&#148;), which shall meet
(in person or by telephone) at least twice a week (and on any other occasion
reasonably requested by a member of the Transition and Shared Services
Committee) during the period prior to Closing to discuss issues relating to the
operation of the Combined Operations, including identification of specific
post-closing transition services to be provided by Sellers and their Affiliates
to Buyers, on the one hand, and by Buyers and their Affiliates to Sellers and
their assignees, on the other hand, in each case, for a term of not more than
six months on a cost reimbursement basis consistent with Kaiser&#146;s historical
intercompany cost reimbursement practices. The Transition and Shared Services
Committee shall also (a)&nbsp;discuss and report to Kaiser and Gramercy Buyer as to
whether particular items of property located at or used in the Gramercy
Operations are primarily used in the Gramercy Operations, for the purposes of
the definition of &#147;Gramercy Purchased Assets&#148; and (b)&nbsp;with respect to personnel
and property that are used in both the Gramercy Operations and other Kaiser
operations, make recommendations to the parties as to the manner and terms on
which the party that will not employ such personnel or own such property after
Closing shall continue to receive the benefit of such personnel and/or the use
of such property, to the same extent as currently employed or used in the
Gramercy Operations or Kaiser&#146;s other operations, as the case may be, until
such non-employer or non-owner party is able to make reasonable alternative
arrangements. Sellers and Buyers shall use


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<P align="left" style="font-size: 10pt">commercially reasonable efforts to agree upon the terms and provisions of
a transition and shared services agreement prior to the Pre-Hearing Termination
Date. Neither the Transition and Shared Services Committee nor any member
thereof in such member&#146;s capacity as such shall have the power to amend this
Agreement, waive any provisions hereof, or bind either Seller, either Buyer, or
any of their respective Affiliates.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2 Access to Information; Confidentiality. Sellers shall afford to
Buyers (and each of their employees, representatives and agents) reasonable
access (subject, however, to existing confidentiality and similar
non-disclosure obligations, in which case, if requested by Buyers, Sellers
shall use commercially reasonable efforts to obtain necessary consents of third
parties to allow disclosure of the requested information to Buyers), during
normal business hours and upon reasonable notice during the period between the
signing of this Agreement by the parties hereto and Closing, to all of KJBC&#146;s
properties, books and records and personnel and Sellers&#146; properties, books and
records that are or relate to the Purchased Assets and the Combined Operations
and, during that period, Sellers shall furnish as promptly as practicable to
Buyers any information (subject, however, to existing confidentiality and
similar nondisclosure obligations, in which case, if requested by Buyers,
Sellers shall use commercially reasonable efforts to obtain necessary consents
of third parties to allow disclosure of the requested information to Buyers)
concerning KJBC, the Purchased Assets and the Combined Operations that Buyers
may from time to time reasonably request. Each Buyer shall hold, and shall
cause its employees, representatives, agents and Affiliates to hold, any
nonpublic information obtained from Sellers in confidence to the extent
required by, and in accordance with the provisions of, the Confidentiality
Agreement as if such Buyer were a party thereto and each reference therein to
&#147;Century&#148; was a reference to such Buyer.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3 Commercially Reasonable Efforts; Regulatory Matters.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3.1 Efforts to Close. On the terms and subject to the conditions set
forth in this Agreement, each of the parties shall use its commercially
reasonable efforts to take, or cause to be taken, all actions, and do, or cause
to be done, and assist and cooperate with the other party or parties, as the
case may be, in doing, all things necessary, proper or advisable to consummate,
in the most expeditious manner practicable, the transactions contemplated
hereby on the terms and subject to the conditions set forth in this Agreement,
including the satisfaction of the conditions set forth in Article&nbsp;IX and
arranging and coordinating contacts with third parties to facilitate obtaining
the Consents contemplated by this Agreement. Without limiting the generality
or effect of the foregoing, each of the parties hereto shall (a)&nbsp;if required,
make promptly its respective HSR Filing, and thereafter make any other required
submissions, with respect to the transactions contemplated hereby under the HSR
Act, and (b)&nbsp;use its commercially reasonable efforts to take, or cause to be
taken, all other appropriate actions, and to do, or cause to be done, all other
things necessary, proper or advisable under applicable Laws to consummate and
make effective the transactions contemplated by this Agreement, including using
its commercially reasonable efforts to obtain all Consents of Governmental
Entities, if any, that are necessary for the consummation of the transactions
contemplated hereby and to fulfill the conditions thereto and to procure in the
name of Buyers, or effect the transfer to Buyers of, all permits (other than
permits held directly by KJBC) that relate to, or are required in connection
with the ownership and operation of the KJBC Assets and the Purchased Assets or
in the conduct of the Combined Operations.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.3.2 Notice of Breaches. During the period between the signing of this
Agreement by the parties hereto and Closing, Sellers, on the one hand, and
Buyers, on the other hand, shall promptly notify the other in writing of all
events, circumstances, facts and occurrences which (a)&nbsp;result in any breach of
the notifying party&#146;s covenants in this Agreement or which have the effect of
making any of its representations or warranties in this Agreement untrue or
incorrect; (b)&nbsp;will or are reasonably likely to prevent any of the conditions
precedent set forth in Article&nbsp;IX from being satisfied; or (c)&nbsp;challenge the
transactions contemplated hereby or the entry of the Bidding Procedures Order
or the Sales Order. Sellers shall promptly notify Buyers of the commencement
of any investigation, inquiry or review by any Governmental Entity with respect
to the KJBC Operations or the Gramercy Operations or if any such investigation,
inquiry or review, to the knowledge of either Seller, becomes contemplated.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.4 Bankruptcy Court Approval.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.4.1 Sales Process and Approval Motion. Sellers shall file a motion in
substantially the form attached hereto as Exhibit&nbsp;G (the &#147;Sales Process and
Approval Motion&#148;) with the Bankruptcy Court seeking, among other things, (i)
the entry of an order of the Bankruptcy Court (the &#147;Bidding Procedures Order&#148;)
that approves the Bidding and Auction Procedures, and (ii)&nbsp;the entry of an
order of the Bankruptcy Court that authorizes the sale of the Purchased Assets
to the Prevailing Bidder in the event of an Auction or to Buyers without
conducting an Auction if no Qualified Bid is received. Seller shall file the
Sales Process and Approval Motion with the Bankruptcy Court as promptly as
practicable on or after the date hereof, subject to first obtaining a written
statement of counsel for the UCC indicating that the UCC supports the filing of
the Sales Process and Approval Motion; provided, however, that such written
statement of counsel for the UCC may reserve the right of the UCC to make a
contingent objection if (i)&nbsp;KJBC Buyer shall have not obtained GOJ Approval or
(ii)&nbsp;Gramercy Buyer has not agreed with the USWA regarding a New Labor
Agreement, in each case, prior to the objection deadline related to the entry
of the Bidding Procedures Order.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.4.2 Hearing for the Bidding Procedures Order. Promptly after the filing
of the Sales Process and Approval Motion, Sellers shall use their commercially
reasonable efforts to obtain a hearing (the &#147;Bidding Procedures Hearing&#148;) on
the entry of the Bidding Procedures Order at the earliest permissible date on
which the Bankruptcy Court has previously scheduled an omnibus hearing in the
Bankruptcy Case and will hear the matter after expiration of the applicable
notice period, which notice period shall not be less than 35 calendar days,
unless a shorter period is approved by the Bankruptcy Court. Promptly after
obtaining such hearing date, Sellers shall give notice of the Sales Process and
Approval Motion and the Bidding Procedures Hearing as and when required by
applicable provisions of the Bankruptcy Laws and orders of the Bankruptcy
Court. Sellers shall promptly, but in any event within 48 hours of giving such
notice, deliver to Buyers a copy of that notice, and Sellers shall provide
Buyers with copies of any and all objections or other Bankruptcy Pleadings
related to the entry of the Bidding Procedures Order promptly after Sellers&#146;
receipt thereof. Sellers shall use their commercially reasonable efforts to
obtain the prompt entry of the Bidding Procedures Order.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5 Sales Order; Cooperation.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5.1 Sales Order. If, in accordance with the Bidding and Auction
Procedures, Buyers are determined to be the Prevailing Bidder, Sellers shall
use their commercially reasonable efforts to obtain a hearing (the &#147;Sales
Hearing&#148;) on the entry of an order of the Bankruptcy Court (the &#147;Sales Order&#148;)
authorizing and approving the sale to Buyers of the Purchased Assets (on the
terms set forth in this Agreement or such improved terms as Buyers may have
offered in any Auction or otherwise pursuant to the Bidding and Auction
Procedures) on the first day that the Bankruptcy Court is available to hold
such hearing on or after July&nbsp;19, 2004. The Sales Order shall be in the form
attached hereto as Exhibit&nbsp;H, with such changes as shall be reasonably
acceptable to Buyers. Sellers shall provide Buyers with copies of any and all
objections or other Bankruptcy Pleadings related to the entry of the Sales
Order promptly after Sellers&#146; receipt thereof. If, in accordance with the
Bidding and Auction Procedures, Buyers are determined to be the Prevailing
Bidder, Sellers shall use their commercially reasonable efforts to obtain to
prompt approval and entry of the Sales Order.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.5.2 Cooperation. If, in accordance with the Bidding and Auction
Procedures, Buyers are determined to be the Prevailing Bidder, (a)&nbsp;Sellers
shall actively support, not oppose, not object to, and use their commercially
reasonable efforts to seek and obtain the approval of the Sales Order by the
Bankruptcy Court, and (b)&nbsp;without limiting the foregoing, Sellers shall
cooperate with Buyers and their representatives in connection with seeking
entry of the Sales Order. Buyers shall use commercially reasonable efforts to
assist Sellers with responding to, and providing evidence with respect to,
objections or challenges to the transactions contemplated by this Agreement.
In the event that there is an Auction and Buyers are not the Prevailing Bidder,
Buyers acknowledge and agree that the sale of the Purchased Assets by Sellers
to the Prevailing Bidder may be consummated as contemplated by the Bidding and
Auction Procedures, whereupon Buyers&#146; sole right will be to receive the
Termination Fee as contemplated by Section&nbsp;10.3. Seller acknowledges that (a)
Buyers&#146; agreement that the Auction shall be conducted in accordance with the
Bidding and Auction Procedures does not constitute the agreement of Buyers or
their direct or indirect shareholders that the assignment to and assumption by
persons selected as Eligible Participants of contracts for the sale of alumina
from Sellers to such shareholders would involve adequate assurance to such
shareholders of performance of such contracts as required by Section&nbsp;365 of the
Bankruptcy Code and (b)&nbsp;Buyers shall not be deemed to have waived their right
to receive adequate assurance of performance as required by Section&nbsp;365 of the
Bankruptcy Code by virtue of Buyers&#146; right to receive the Termination Fee.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.6 Public Announcements. Buyers, on the one hand, and Sellers, on the
other hand, shall provide each other the opportunity to review and comment
upon, any press release or other public statement with respect to the
transactions contemplated hereby, and shall not issue any such press release or
make any such public statement prior to obtaining each other&#146;s consent, except
as may be required by applicable Law or by the Bankruptcy Court. In the event
a press release or public statement is required by applicable Law or by the
Bankruptcy Court, Buyers, on the one hand, or Sellers, on the other hand, shall
nevertheless consult with the other parties prior to issuing such press release
or making such public announcement if reasonably practicable.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7 Tax Matters.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7.1 Cooperation. Buyers, on the one hand, and Sellers, on the other
hand, shall (a)&nbsp;provide each other, upon request, with any assistance that may
reasonably be requested by any of them in connection with the preparation of
any Tax Return (including those contemplated by Section&nbsp;8.7.5(a)), audit or
other examination by any taxing authority or judicial or administrative
proceedings relating to liability for Taxes, (b)&nbsp;provide each other, upon
request, with any records or other information in their respective possession
that may be relevant to that Tax Return, audit, examination or proceeding, (c)
provide each other with any final determination of any such audit, examination
or proceeding that affects any amount required to be shown on any Tax Return of
the other for any period, and (d)&nbsp;use their commercially reasonable efforts,
upon request, to obtain any certificate or other document from any Governmental
Entity or any other Person as may be necessary to mitigate, reduce or eliminate
any Tax that could be imposed on any party in connection with the transactions
contemplated by this Agreement. Without limiting the generality of the
foregoing, Buyers, on the one hand, and Sellers, on the other hand, shall
retain, until the applicable statutes of limitations (including any extensions)
have expired, copies of all records or information that may be relevant to Tax
Returns filed by the other party for all Tax periods or portions thereof ending
before or including the Effective Time.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7.2 Treatment of Payments. Sellers and Buyers agree to treat all
payments made under Section&nbsp;3.3 and Article&nbsp;XI as purchase price adjustments
for Tax purposes, unless otherwise required by Law.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7.3 Tax Elections. From and after the date of this Agreement, Sellers
shall not without the prior written consent of Buyers (which consent may not be
unreasonably withheld) make, or cause or permit to be made, any Tax election
not consistent with prior practices that could be reasonably expected to result
in an increase in either Buyers&#146; or KJBC&#146;s Tax obligations or to have a
Material Adverse Effect.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7.4 Allocation of Taxes. In the case of any Tax payable with respect to
a taxable period that begins before the Effective Time and ends after the
Effective Time, the portion of any such Tax that is allocable to the ownership
or use of the Purchased Assets or the operation of the Combined Operations
prior to the Effective Time:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;in the case of Taxes that are either (x)&nbsp;based upon or related to
income, receipts, production, shipments or similar items or (y)&nbsp;imposed in
connection with any sale or other transfer or assignment of property (real or
personal, tangible or intangible) (other than conveyances pursuant to this
Agreement governed by Section&nbsp;12.4), shall be deemed equal to the amount which
would be payable if the taxable period ended on the Effective Time; and


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;in the case of Taxes imposed on a periodic basis shall be deemed to be
the amount of such Taxes for the entire period (or, in the case of such Taxes
determined on an arrears basis, the amount of such Taxes for the immediately
preceding period) multiplied by a fraction the numerator of which is the number
of calendar days in the taxable period ending on the Effective Time and the
denominator of which is the number of calendar days in the entire taxable
period.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7.5 Tax Returns and Payments.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;From the date of this Agreement through and after the Effective Time,
Sellers shall prepare and file or otherwise furnish in proper form to the
appropriate Governmental Entity (or cause to be prepared and filed or so
furnished) in a timely manner all Tax Returns relating to the Purchased Assets
and the Combined Operations that are due on or before or relate to any taxable
period ending on or before the Effective Time. Buyers shall prepare and file
or otherwise furnish in proper form to the appropriate Governmental Entity (or
cause to be prepared or so furnished) in a timely manner all Tax Returns
(excluding those of Sellers) relating to the Purchased Assets and the Combined
Operations for any taxable period that begins prior to the Effective Time and
ends after the Effective Time and that are not yet filed. The Tax Returns
described in the preceding two sentences, and the Tax Returns of the Sellers
insofar as they relate to the Purchased Assets and the Combined Operations,
shall be prepared in a manner consistent with past practices or in accordance
with KBC&#146;s new Jamaican fiscal regime effective beginning January&nbsp;1, 2003,
provided that such Tax Returns may be prepared in a manner not consistent with
past practices, but only to the extent that preparation in such a manner does
not materially and adversely affect the non-filing party. Buyers shall prepare
and file or cause to be prepared and filed all Tax Returns with respect to any
taxable period relating to the Purchased Assets and the Combined Operations for
any taxable period that begins after the Effective Time. No Tax Return
relating to the Purchased Assets or the Combined Operations covering any period
(a)&nbsp;ending on or before the Effective Time or (b)&nbsp;beginning before the
Effective Time and ending after the Effective Time shall be amended by Buyers
without the prior written consent of Sellers, which consent shall not be
unreasonably withheld.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;With respect to any Tax Return required to be filed by Buyers with
respect to the Purchased Assets or the Combined Operations and as to which an
amount of Tax is allocable to the other party under Section&nbsp;8.7.4, Buyers shall
provide Sellers and their authorized representatives with a copy of such
completed Tax Return and a statement setting forth the amount of Tax shown on
such Tax Return that is so allocable to Sellers, together with appropriate
supporting information and schedules at least 30 calendar days prior to the due
date (including any extension thereof) for the filing of such Tax Return, and
Sellers and their authorized representatives shall have the right to review and
comment on such Tax Return and statement prior to the filing of such Tax
Return. Sellers and Buyers agree to consult and resolve in good faith any
issue arising out of the review of any such Tax Return. In the event the
parties are unable to resolve any dispute within 15 calendar days following the
delivery of such Tax Return by Buyers to Sellers, Sellers and Buyers shall
submit the items remaining in dispute to the Independent Auditor to be chosen
as provided by Section&nbsp;3.4. The decision of the Independent Auditor shall be
final and binding on the parties. The fees and expenses of the Independent
Auditor will be borne equally by Buyers, on the one hand, and Sellers, on the
other hand. The Independent Auditor shall make any such determination no later
than five calendar days before the Tax Return is due.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.7.6 Contests. Inquiries, claims, assessments, audits or similar events
with respect to Taxes for which the Sellers may be liable under Article&nbsp;XI
shall be governed in accordance with the procedures set forth in Section&nbsp;11.5.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8 KBC Employees.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8.1 Employment Offers for KBC Represented Employees. As of the
Effective Time, KJBC Buyer shall offer employment to all of the individuals who
are employees of KBC (including employees on sick leave, short or long term
disability or leave of absence due to work related injury or illness) as of the
Effective Time and covered by a KBC Labor Agreement (the &#147;KBC Represented
Employees&#148;). The offer for each such KBC Represented Employee shall be for pay
and benefits satisfying KJBC Buyer&#146;s obligations under this Section&nbsp;8.8.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8.2 Employment Offers for Non-Represented KBC Employees. As of the
Effective Time, KJBC Buyer in its sole discretion may offer employment to any
or all of the individuals who are employees of KBC (including temporary and
part time employees, employees of Kaiser who have been seconded to KBC and
employees on sick leave, short or long term disability or leave of absence due
to work related injury or illness) not covered by a KBC Labor Agreement (the
&#147;Other KBC Employees&#148; and together with the KBC Represented Employees, the &#147;KBC
Employees&#148;) as of the Effective Time. The terms of the offer, if any, for each
such Other KBC Employee shall be determined in the sole discretion of KJBC
Buyer.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8.3 KBC Labor Agreements and Pension Plans. As of the Effective Time,
KJBC Buyer shall assume (a)&nbsp;the KBC Labor Agreements and (b)&nbsp;each KBC Plan for
the benefit of KBC Employees and provide benefits to the KBC Represented
Employees in compliance with the KBC Labor Agreements and KBC Plans, as
applicable, and the requirements of applicable Laws. If the KBC Pension Plans
are underfunded by more than $2,000,000 as of the Effective Time, as determined
under Statement of Financial Accounting Standards No.&nbsp;132 utilizing the
assumptions outlined on Schedule&nbsp;8.8.3, consistently applied, then KBC shall
pay KJBC Buyer any such underfunded amount in excess of $2,000,000 promptly
after the amount of underfunding is determined.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8.4 Benefits Maintenance for KBC Represented Employees. Commencing as
of the Effective Time and continuing until expiration of the applicable KBC
Labor Agreement, KJBC Buyer shall provide base pay, incentive compensation and
employee benefits to each KBC Represented Employee that are comparable in the
aggregate to the base pay, incentive compensation and employee benefits
provided by KBC to such KBC Represented Employees immediately prior to the
Effective Time.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8.5 No Employment Guarantee. Except as otherwise provided in this
Section&nbsp;8.8, nothing contained herein shall be deemed to be a commitment on the
part of KJBC Buyer or KJBC to provide employment to any KBC Represented
Employee for any period of time.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8.6 No Prohibition on Amendment of Plans. Except as otherwise provided
in this Section&nbsp;8.8, nothing contained herein shall be deemed to prevent KJBC
Buyer or KJBC from amending or terminating any KBC Plan in accordance with its
terms.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.8.7 Elimination of Severance and Redundancy Obligations.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;KBC and KJBC Buyer shall cooperate to reduce or eliminate to the
fullest extent possible any severance or redundancy liability arising as a
result of the migration of


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<P align="left" style="font-size: 10pt">the KBC Employees from KBC to KJBC Buyer. Without
limiting the generality or effect of the
foregoing, KBC and KJBC Buyer will cooperate in the preparation and
delivery to the KBC Employees as promptly as practicable of an appropriate
joint notice of the termination of employment by KBC and the offer of
employment by KJBC Buyer as of the Effective Time.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;To the extent a KBC Employee has received an appropriate joint notice
of the termination of employment by KBC and the offer of employment by KJBC
Buyer but cannot be terminated by KBC as of the Effective Time without
resulting in severance or redundancy liability because the applicable notice
period has not then expired, nothing in this Agreement shall constitute a
termination of such KBC Employee prior to the expiration of such notice period.
In such circumstances, KBC and KJBC Buyer shall cooperate in any reasonable
and lawful arrangement designed to provide the services of the affected KBC
Employee to KJBC Buyer during the period between the Effective Time and the
expiration of the applicable notice period. KJBC Buyer shall be responsible
for paying base pay, incentive compensation and employee benefits to be
provided to such KBC Employee during the period between the Effective Time and
the expiration of the applicable notice period. Upon expiration of the
applicable notice period, the employment of such KBC Employee with KBC shall
terminate and such KBC Employee may accept the offer of employment by KJBC
Buyer.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9 Seller Employees.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9.1 Employment Offer to Seller Employees. KJBC Buyer may, in its sole
discretion, offer employment to any one or more of the individuals listed on
Schedule&nbsp;8.9.1 (the &#147;Seller Employees&#148;). Within 45 calendar days after the
date of this Agreement, KJBC Buyer shall deliver to Sellers a notice listing
each Seller Employee to which KJBC Buyer intends to make an offer of employment
and the terms of such offer. The terms of the offer, if any, for each such
Seller Employee shall be determined in the sole discretion of KJBC Buyer.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.9.2 Release of Seller Employees; No Solicitation. Kaiser shall release
from any and all employment obligations to or from Kaiser, any Seller Employee
who accepts an offer made by KJBC Buyer, and for two years following the
Effective Time, no Seller nor any of their Affiliates shall, directly or
indirectly, on its own behalf or otherwise, solicit or make any offer of
employment or otherwise offer any incentive to any Seller Employee who is hired
by KJBC Buyer or to any Seller Employee to leave the employ of KJBC Buyer or
KJBC while such person remains an employee of KJBC Buyer or KJBC; provided,
however, that the foregoing shall not apply to any such Seller Employee who (a)
initiates discussions regarding such employment without any direct or indirect
solicitation by either Seller or any of their Affiliates, or (b)&nbsp;responds to
any public advertisement placed by either Seller or any of their Affiliates.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10 Gramercy Employees.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10.1 Employment Offers to Gramercy Salaried Employees. Gramercy Buyer
may, in its sole discretion, offer employment to any one or more of the
individuals listed on Schedule&nbsp;8.10.1 (the &#147;Gramercy Salaried Employees&#148;).
Within 45 calendar days after the date of this Agreement, Gramercy Buyer shall
deliver to Sellers a notice listing each Gramercy Salaried Employee to which
Gramercy Buyer intends to make an offer of employment and the terms of


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<P align="left" style="font-size: 10pt">such
offer. The terms of the offer, if any, for such Gramercy Salaried Employee
shall be determined in the sole discretion of Gramercy Buyer.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10.2 Release of Gramercy Salaried Employees; No Solicitation. Kaiser
shall release from any and all employment obligations to or from Kaiser, any
Gramercy Salaried Employee who accepts an offer made by Gramercy Buyer, and for
two years following the Effective Time, no Seller nor any of their Affiliates
shall, directly or indirectly, on its own behalf or otherwise, solicit or make
any offer of employment or otherwise offer any incentive to any Gramercy
Salaried Employee who is hired by Gramercy Buyer or to any Gramercy Salaried
Employee to leave the employ of Gramercy Buyer while such person remains an
employee of Gramercy Buyer; provided, however, that the foregoing shall not
apply to any such Gramercy Salaried Employee who (a)&nbsp;initiates discussions
regarding such employment without any direct or indirect solicitation by either
Seller or any of their Affiliates, or (b)&nbsp;responds to any public advertisement
placed by either Seller or any of their Affiliates.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10.3 Collective Bargaining. Gramercy Buyer may engage in discussions
with the United Steelworkers of America AFL-CIO (the &#147;USWA&#148;) regarding a new
collective bargaining agreement (a &#147;New Labor Agreement&#148;) that would cover
employees represented by the USWA and employed at the Gramercy site (the
&#147;Gramercy Represented Employees&#148;) from and after the Effective Time. As of the
Effective Time, Gramercy Buyer shall offer the Gramercy Represented Employees
as of the Effective Time employment, pay and benefits in accordance with the
New Labor Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10.4 Form W-2. Pursuant to the &#147;Alternative Procedure&#148; provided in
section 5 of Revenue Procedure 96-60, 1996-2 C.B. 399, (a)&nbsp;Gramercy Buyer and
Kaiser shall report on a predecessor/successor basis set forth therein, (b)
Kaiser shall be relieved from filing a Form W-2 with respect to each Gramercy
Employee, and (c)&nbsp;Gramercy Buyer shall undertake to file (or cause to be filed)
a Form W-2 for each Gramercy Employee for the year that includes the Closing
Date (including the portion of such year that such Gramercy Employee was
employed by Kaiser). Kaiser shall provide Gramercy Buyer on a timely basis
with all payroll and employment-related information with respect to each
Gramercy Employee.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10.5 No Employment Guarantee. Nothing contained in this Section&nbsp;8.10
shall be deemed to be a commitment on the part of Gramercy Buyer to provide
employment to any Gramercy Employee for any period of time.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.10.6 WARN Act. For a period of 90&nbsp;days upon and after the Effective
Time, Gramercy Buyer shall not cause any of the Gramercy Employees to suffer
&#147;employment loss&#148; for purposes of the Worker Adjustment and Retraining
Notification Act, 29 U.S.C. &#167;&#167; 2101-2109, and related regulations (the &#147;WARN
Act&#148;), if such employment loss would create any liability under the WARN Act
for Kaiser or any of its Affiliates.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.11 Plan of Reorganization. Sellers shall take such actions as are
necessary to provide that their plan of reorganization or plan of liquidation
in conjunction with the Bankruptcy Cases will not alter the rights and
obligations of the parties under this Agreement, or affect the validity and
continuing force and effect of this Agreement.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.12 Financial Statements. Sellers will cause to be prepared, upon
Buyers&#146; request, (a)&nbsp;consolidated statements of income and cash flows for the
Combined Operations for the fiscal years ended December&nbsp;31, 2001, December&nbsp;31,
2002 and December&nbsp;31, 2003 and consolidated
balance sheets for the Combined Operations as of December&nbsp;31, 2002 and
December&nbsp;31, 2003, in each case audited by Kaiser&#146;s certified public
accountants and (b)&nbsp;unaudited consolidated statements of income and cash flows
and a balance sheet for the Combined Operations as of and for an interim period
(to be specified by Buyers) ended on or prior to the Closing Date; provided
that Sellers shall have first received a written undertaking from Buyers (in
form and substance reasonably acceptable to Sellers) that Buyers shall promptly
reimburse Sellers for all costs and expenses related to the preparation of such
financial statements. If requested by a shareholder of either Buyer, Sellers
will use reasonable efforts to cause their auditors to consent to the inclusion
of the audited financial statements described in clause (a)&nbsp;of this Section
8.12 in the filings of a shareholder of either Buyer with the Securities and
Exchange Commission; provided, however, Sellers shall not be required to incur
any out-of-pocket expense with respect to their efforts to obtain such consent.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.13 Insurance. Prior to the Effective Time, Kaiser shall maintain, and
cause KBC to maintain, all insurance policies and self-insurance arrangements
currently in effect with respect to the Gramercy Operations and the KJBC
Operations, respectively. Buyers acknowledge that Kaiser and its Affiliates
intend to terminate coverage with respect to KJBC, the KJBC Operations, the
Gramercy Site and the Gramercy Operations under all KJBC Listed Insurance
Policies and Gramercy Listed Insurance Policies held by Kaiser or any of its
Affiliates (other than KJBC) for periods from and after the Effective Time. To
the extent any such termination of insurance coverage results in a refund of
insurance premiums to KJBC (either directly or indirectly), Buyers shall cause
KJBC to pay to Sellers the entire amount of such refund promptly upon receipt
thereof.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.14 Confidential Information. Without the prior written consent of
Buyers, Sellers shall not (a)&nbsp;for a period of three years following the
Effective Time, reveal or make accessible to any Person any confidential
information relating to the Combined Operations or (b)&nbsp;for a period of three
years following the date of this Agreement, reveal or make accessible to any
Person any confidential information relating to either Buyer (or any Affiliate
of either Buyer), including confidential information prepared or developed by
the Buyers in connection with the negotiation of this Agreement and the
transactions contemplated hereby (&#147;confidential information&#148;). For purposes of
this Section, the term &#147;confidential information&#148; shall not include information
(a)&nbsp;which is already available to the public or becomes available to the public
other than as a result of a breach of this Section&nbsp;8.14, (b)&nbsp;which is the
proprietary information of either Seller, or (c)&nbsp;which is used by either Seller
or any of their Affiliates in conjunction with any of its or their respective
businesses, including the operations conducted at the alumina refinery owned by
Queensland Alumina Limited in Queensland, Australia; provided that information
relating exclusively to KJBC and which is not already available to the public
shall be included in the term &#147;confidential information&#148; until such time as
such information becomes available to the public other than in breach of this
Section&nbsp;8.14. Notwithstanding the foregoing, Sellers may disclose such
confidential information to the extent permitted by Section&nbsp;8.2 or required to
comply with any valid or effective subpoena or order issued by a Governmental
Entity, with applicable Law or with any requirement of any exchange upon which
the securities of either of the Sellers or any of their Affiliates are traded;
provided that in the event either Seller receives


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<P align="left" style="font-size: 10pt">any such request or demand to
disclose all or any part of the confidential information, such Seller shall
promptly notify Buyers of the existence and terms of such request or demand,
and, at Buyers&#146; request and expense, shall cooperate with Buyers to obtain a
protective order or other
appropriate remedy to maintain the confidentiality of such information;
and, provided further, if such Seller is required to disclose confidential
information for any such reason, such Seller shall disclose only such portion
thereof which, in the opinion of its legal counsel, it is legally required to
disclose, and shall use its commercially reasonable efforts to obtain
confidential treatment of such disclosed information. Nothing contained in
this Agreement, including this Section&nbsp;8.14, shall preclude any Seller or any
Affiliate of any Seller from disclosing confidential information (a)&nbsp;to the
Bankruptcy Court or any court in which appeals or other applications for review
of orders or judgments of such Bankruptcy Court may be made so long as the
disclosure made to the court is filed under seal or is otherwise disclosed to
the court only after the implementation of appropriate court measures (such as
in camera proceedings) to ensure that the confidential information so disclosed
will remain confidential, (b)&nbsp;to members of the statutory committee of
unsecured creditors appointed in the Bankruptcy Cases (the &#147;UCC&#148;), to members
of the statutory committee of asbestos claimants appointed in the Bankruptcy
Cases (the &#147;ACC&#148;), to the legal representative of the class of future asbestos
personal injury claimants appointed in the Bankruptcy Cases (the &#147;Futures
Representative&#148;), to advisers to the UCC, the ACC or the Futures
Representative, in each case, so long as they are contractually obligated to
any Seller or any Affiliate of any Seller to keep confidential any such
confidential information.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.15 Gramercy Environmental Conditions.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.15.1 Scheduled Environmental Conditions. Schedule&nbsp;8.15.1 specifies the
sites at the Gramercy Site comprising the &#147;Gramercy Scheduled Environmental
Conditions.&#148; Gramercy Buyer shall take the actions indicated on Schedule
8.15.1 with respect to each of the Gramercy Scheduled Environmental Conditions,
including obtaining a NFA designation for sites 1 through 4 as listed on
Schedule&nbsp;8.15.1. Gramercy Buyer shall have no obligation, however, with regard
to any other environmental conditions at the Gramercy Site, including any
Pre-Closing Environmental Release, except as set forth on Schedule&nbsp;8.15.1 or
otherwise provided in Section&nbsp;8.17 in connection with Gramercy Buyer&#146;s efforts
to obtain the BFPP letter.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.15.2 Environmental Escrow Agreement. At or prior to Closing, Kaiser,
Gramercy Buyer and the Environmental Escrow Agent shall execute and deliver the
Environmental Escrow Agreement. At Closing, $2,500,000 (the &#147;Environmental
Deposit&#148;) of the Estimated Purchase price shall be deposited with the
Environmental Escrow Agent as contemplated by the Environmental Escrow
Agreement. Application of the Environmental Deposit shall be governed by the
terms and provisions of the Environmental Escrow Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.15.3 Environmental Insurance. Gramercy Buyer acknowledges that Kaiser
intends to purchase an insurance policy (the &#147;PLL Policy&#148;), to be effective as
of the Effective Time naming Gramercy Buyer as the named insured and Kaiser as
an additional insured and having a deductible of up to $100,000 per occurrence,
covering third party claims for personal injury or property damage relating to,
or asserting a legal duty to perform an investigation or remediation of all
Gramercy environmental conditions, whether known or unknown. Coverage shall be
effective for the sites listed as 1 through 4 on Schedule&nbsp;8.15.1 from and only
after the time at which Gramercy Buyer obtains an NFA designation with respect
to those sites. Kaiser


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<P align="left" style="font-size: 10pt">shall use commercially reasonable efforts in obtaining
the PLL Policy with terms and conditions reasonable acceptable to Kaiser but
obtaining a PLL Policy shall not be a condition of Closing. Kaiser shall give
Gramercy Buyer full access to the insurer during the application process and
shall make full disclosure to insurer of all environmental conditions
known to Kaiser and shall allow Gramercy Buyer the opportunity to make full
disclosure to the insurer of all environmental conditions known to Gramercy
Buyer. Kaiser shall pay the premium. To the extent that a claim is made under
the PLL Policy by either party, Gramercy Buyer shall be responsible for the
payment of the deductible, which deductible shall be paid from the
Environmental Deposit to the extent available.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.15.4 Release. Buyers forever release and discharge the Sellers from all
claims, including contribution claims, Buyers would otherwise have against
Sellers for Losses resulting from or arising out of Environmental Laws and
relating to any environmental conditions at the Gramercy Site (excluding any
Pre-Closing Environmental Release), whether known or unknown. The foregoing
release shall be without prejudice to (a)&nbsp;any rights which Buyers may have not
to proceed with Closing under this Agreement, and (b)&nbsp;any rights or claims
which Kaiser or Gramercy Buyer may have under the PLL Policy.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.16 Demolition of La Roche Site. As of the Effective Time, Gramercy
Buyer shall assume the La Roche Demolition Contract.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.17 Procurement of BFPP Letter.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.17.1 Kaiser Assistance. Gramercy Buyer may engage in discussions with
LDEQ in an effort to obtain a BFPP Letter and Kaiser shall assist and cooperate
with such effort to the extent reasonably requested by Gramercy Buyer.
Gramercy Buyer (or any Person on behalf of Gramercy Buyer) may not engage,
however, in any additional sampling or testing at the Gramercy Site or the
installation of new monitoring wells at the Gramercy Site whether requested by
LDEQ or otherwise, without the prior written consent of Kaiser (such consent
not to be unreasonably withheld). Notwithstanding the foregoing Gramercy Buyer
(or any person on behalf of Gramercy Buyer) may, without the prior written
consent of Kaiser, engage in additional sampling or testing at the Gramercy
Site with respect to Gramercy Scheduled Environmental Conditions, to further
characterize or delineate, at the request of LDEQ, a particular Gramercy
Scheduled Environmental Condition.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.17.2 Gramercy Environmental History. Gramercy Buyer, in connection with
its efforts to obtain the BFPP Letter, shall inform the LDEQ of all Gramercy
Scheduled Environmental Conditions, including those conditions for which NFA
designation has previously been obtained. As part of its submittal to LDEQ,
Gramercy Buyer shall provide LDEQ a Phase I environmental survey that describes
the environmental history of the Gramercy Site known to Gramercy Buyer.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.17.3 Coordination with Kaiser. Reasonably in advance of any substantive
discussions between Gramercy Buyer and LDEQ or the provision of any written
materials by Gramercy Buyer to LDEQ, including a Phase I environmental survey,
Gramercy Buyer shall notify Kaiser of the planned discussions or submissions
and the subject matter thereof, including proposed sampling plans and
protocols, and provide Kaiser with an opportunity to share its


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<P align="left" style="font-size: 10pt">views with
Gramercy Buyer. Promptly (and, in any event, within 24 hours following) any
substantive discussions between Gramercy Buyer and LDEQ regarding the BFPP
Letter, Gramercy Buyer shall notify Kaiser of such discussions and describe to
Kaiser the substance of
such discussions in reasonable detail. All costs and expenses associated
with the effort to obtain the BFPP Letter shall be borne by Gramercy Buyer, and
Gramercy Buyer shall promptly, upon written request, reimburse Kaiser for any
reasonable out-of-pocket costs or expenses incurred by Kaiser in connection
with any request by Gramercy Buyer for cooperation and assistance in connection
with the effort to obtain the BFPP Letter. Upon request by Kaiser, Gramercy
Buyer shall promptly inform Kaiser with respect to the progress and status of
Gramercy Buyer&#146;s efforts to obtain a NFA designation for Sites 1 through 4 as
listed on Schedule&nbsp;8.15.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.17.4 LDEQ Approval. Gramercy Buyer shall use commercially reasonable
efforts to obtain the approval of the LDEQ , before the Effective Time, of
Gramercy Buyer&#146;s BFPP proposal and the reasonable steps contained therein and
listed on Schedule&nbsp;8.15.1, which reasonable steps Gramercy Buyer shall perform
at its sole expense. To the extent that Gramercy Buyer obtains the BFPP
Letter, it shall further perform at its sole cost and expense any action which
may be required by LDEQ as a condition of issuing the BFPP Letter.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.17.5 Alternative Measures. If Gramercy Buyer does not obtain the BFPP
Letter, Gramercy Buyer shall commence at its own expense, within 90 calendar
days after Closing, the appropriate regulatory process to obtain a NFA
designation under the LDEQ&#146;s Risk Evaluation/Corrective Action Program, for
sites 1 through 4 as listed on Schedule&nbsp;8.15.1 and shall comply with Section
8.18 of this Agreement but shall not be obligated to perform other steps with
respect to the other Gramercy Scheduled Environmental Conditions except as
provided in Schedule&nbsp;8.15.1.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.18 LDEQ Compliance. Gramercy Buyer acknowledges that Kaiser maintains
spent bauxite, or &#147;red mud,&#148; and other solid-wastes in various impoundments and
facilities situated on the Gramercy Site and that Kaiser is required to
demonstrate financial responsibility for liability coverage, closure and
post-closure for all such facilities, as specified in LAC 33:VII.727.A.1 and
A.2. Prior to Closing, Kaiser and Gramercy Buyer will cooperate in securing
LDEQ&#146;s consent to the substitution of Gramercy Buyer for Kaiser for all
purposes under the these requirements, effective as of the Effective Time. In
connection therewith, Gramercy Buyer shall provide to LDEQ as promptly as
practicable (and, in any event within 30&nbsp;days) after the Effective Time (a)&nbsp;the
required proof of financial assurance for the solid waste facilities at the
Gramercy Site, as required by LAC 33:VII.727.A.1 and A.2, and (b)&nbsp;the
information required in LAC 33:I.1701, and Gramercy Buyer shall use
commercially reasonable efforts to cause LDEQ to release Kaiser&#146;s existing
demonstration of financial assurance as promptly as practicable.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.19 Trade Names. To the extent the &#147;Kaiser&#148; or &#147;Kaiser Jamaica Bauxite
Company&#148; names (the &#147;Retained Names&#148;) appear on (a)&nbsp;any plant, building or
equipment, or (b)&nbsp;any stationary, business forms, packaging, container, sign or
other property (real or personal) included in the Purchased Assets, Kaiser
grants, and/or confirms the grant by its Affiliates of, a royalty free license
to Buyers to use the Retained Names on such Purchased Assets until removal can
be effected from such Purchased Assets or until such materials are used and
exhausted (provided any such stationary or business forms so utilized are
marked or stickered so as to clearly indicate that the Buyers and KJBC are not
affiliated with Kaiser); provided that Buyers


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<P align="left" style="font-size: 10pt">shall use reasonable efforts in a
timely fashion to effect obliteration of the Retained Names from all Purchased
Assets and, in any event, cease using the Retained Names no later than six
months
after Closing. Nothing contained in this Section&nbsp;8.19 shall preclude the
use of the name &#147;Gramercy&#148; by Buyers.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.20 Name Change. KJBC Buyer shall, within 30&nbsp;days following the
Effective Time, deliver to Seller evidence of an amendment to the Partnership
Agreement to change its name from Kaiser Jamaica Bauxite Company to a name
which is not deceptively similar to &#147;Kaiser Jamaica Bauxite Company&#148; or
&#147;Kaiser.&#148; KJBC shall, within 60&nbsp;days following the Effective Time, take such
actions and file such documents as shall be necessary to reflect such name
change in all jurisdictions in which KJBC is qualified to do business as a
foreign corporation, and shall deliver to Sellers copies of such documents
evidencing such name change filings.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.21 Further Assurances. From time to time after the Effective Time,
without further consideration, the parties shall cooperate with each other and
shall execute and deliver such documents and instruments and do such other
commercially reasonable acts and things, as may be reasonably necessary for the
purpose of carrying out the intent of this Agreement. Without limiting the
generality of the foregoing, the parties shall cooperate to procure any
Consents that are required to be obtained in connection with the transactions
contemplated hereby, and which have not been obtained prior to Closing.


<P align="center" style="font-size: 10pt"><B>ARTICLE IX<BR>
CONDITIONS TO CLOSING</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1 Conditions to the Obligations of Each Party. The obligations of each
Buyer and each Seller to consummate the Transfer of the Purchased Assets are
subject to the satisfaction of the following conditions:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1.1 No Injunction. There shall not have been entered a preliminary or
permanent injunction, temporary restraining order or other judicial or
administrative order or decree issued by any Governmental Entity having proper
jurisdiction, the effect of which prohibits Closing.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1.2 HSR. Any applicable waiting period under the HSR Act shall have
expired or been terminated.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1.3 Third Party Consents. The Consents identified on Schedule&nbsp;9.1.3
shall have been obtained.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1.4 Bankruptcy Court Approval. The Sales Order shall have been entered
and not been vacated, and no stay of the Sales Order pending appeal shall have
been entered.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1.5 Consent Under DIP Facility. Sellers shall have received all
Consents required under the DIP Facility.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2 Conditions to the Obligations of Sellers. The obligation of Sellers
to consummate the Transfer of the Purchased Assets is subject to the
satisfaction (or written waiver by Sellers) of each of the following further
conditions:


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2.1 Compliance by Buyers. Each Buyer shall have performed and complied,
in all material respects, with all obligations required to be performed or
complied with by it under this Agreement at or prior to the Closing, and
Sellers shall have received a certificate signed by an executive officer of
such Buyer to the foregoing effect.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2.2 Accuracy of Buyers&#146; Representations. The representations and
warranties of each Buyer contained in this Agreement that are qualified as to
materiality shall be true in all respects, and those that are not so qualified
shall be true in all material respects, at and as of the Effective Time as if
made at and as of that time (other than representations and warranties made as
of a specific time or date which will speak at and as of that specific time or
date), and Sellers shall have received a certificate signed by an executive
officer or other comparable authorized representative of such Buyer to the
foregoing effect.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2.3 Assumption Documents. Buyers shall have executed and delivered such
Assumption Documents as Sellers reasonably request, each of which shall be in
form and substance reasonably satisfactory to Sellers.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2.4 Payment of Purchase Price. Buyers shall have paid, via wire
transfer of immediately available funds (a)&nbsp;to an account or accounts
designated by Sellers, cash in an amount equal to the Estimated Purchase Price
less (i)&nbsp;the amount of the Deposit (including the deduction of any Fees (as
defined in the Escrow Agreement)) as of the close of business on the last
business day immediately preceding the Closing Date and (ii)&nbsp;the amount of the
Environmental Deposit, and (b)&nbsp;to the Environmental Escrow Agent, cash in an
amount equal to the Environmental Deposit as contemplated by the Environmental
Escrow Agreement, and the Escrow Agent shall have distributed the Deposit to
Sellers in accordance with the Escrow Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.2.5 Resolutions of Buyers. Sellers shall have received from each Buyer
a copy of the resolutions adopted by its Managers or Directors (as appropriate)
approving the execution and delivery of this Agreement and the consummation of
the transactions contemplated hereby, certified by the secretary, assistant
secretary or other authorized representative of such Buyer.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3 Conditions to the Obligations of Buyers. The obligation of Buyers to
consummate the Transfer of the Purchased Assets is subject to the satisfaction
(or written waiver by Buyers) of each of the following further conditions:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.1 Compliance by Sellers. Each Seller shall have performed and
complied, in all material respects, with all obligations required to be
performed or complied with by it under this Agreement at or prior to the
Closing, and Buyers shall have received a certificate signed by an executive
officer of such Seller to the foregoing effect.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.2 Accuracy of Each Seller&#146;s Representations. The representations and
warranties of each Seller contained in this Agreement that are qualified as to
materiality shall be true in all respects, and those that are not so qualified
shall be true in all material respects, at and as of the Effective Time as if
made at and as of that time (other than representations and warranties made as
of a specific time or date which will speak at and as of that specific time or


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<P align="left" style="font-size: 10pt">date), and Buyers shall have received a certificate signed by an executive
officer of such Seller to the foregoing effect.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.3 Transfer Documents. Each Seller shall have executed and delivered
Transfer Documents, together with certificates of title or other appropriate
documentation for unregistered lands, with respect to the KJBC Owned Real
Property, in recordable form, and such other Transfer Documents as Buyers
reasonably request, each of which shall be in form and substance reasonably
satisfactory to Buyers; it being understood that, Sellers&#146; obligations to
deliver Transfer Documents for the KJBC Owned Real Property shall be deemed
satisfied notwithstanding Sellers&#146; failure to deliver Transfer Documents with
respect to one or more parcels of KJBC Owned Real Property, provided that the
failure to transfer legal title to such parcels of KJBC Owned Real Property,
individually or in the aggregate, would not reasonably be expected to have a
Material Adverse Effect.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.4 Environmental Escrow Agreement. Kaiser and the Environmental Escrow
Agent shall have executed and delivered the Environmental Escrow Agreement, and
the Environmental Escrow Agent shall have received the Environmental Deposit as
contemplated thereby.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.5 No Material Adverse Change. Since the date of this Agreement, no
event shall have occurred and no circumstances shall have come into existence
that has had, or reasonably would be expected to have, a Material Adverse
Effect.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.6 Sales Order. The Sales Order shall have become a Final Order.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.7 KBC Contracts and Gramercy Contracts. All defaults of Sellers under
each KBC Contract and Gramercy Contract in existence as of Closing (other than
defaults or breaches that arise solely from the filing of Sellers&#146; petitions to
commence the Bankruptcy Cases) shall have been cured by Sellers, or Sellers
shall have provided adequate assurance that any such defaults shall be promptly
cured by Sellers (which defaults, as between Buyers and all parties to the KBC
Contracts and Gramercy Contracts in existence as of Closing other than Sellers,
shall for all purposes be deemed irrevocably cured by Sellers&#146; provision of
adequate assurance).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.8 Resolutions of Sellers. Buyers shall have received from each Seller
a copy of the resolutions adopted by its board of directors approving the
execution and delivery of this Agreement and the consummation of the
transactions contemplated hereby, certified by the corporate secretary of such
Seller.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.9 Technology Licenses. Kaiser, KBC and KJBC Buyer shall have entered
into a technology license agreement, in substantially the form attached hereto
as Exhibit&nbsp;I, and Kaiser and Gramercy Buyer shall have entered into a
technology license agreement, in substantially the form attached hereto as
Exhibit&nbsp;J (together, the &#147;Technology Licenses&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.10 Alcan License. Gramercy Buyer shall have received an assignment,
in form and substance reasonably satisfactory to Gramercy Buyer, of Kaiser&#146;s
rights under the License Agreement, dated May&nbsp;16, 2000, by and between Kaiser
and Alcan International Limited (the &#147;Alcan License&#148;).


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.3.11 Property Taxes. Kaiser shall have made arrangements for the 2002
property tax liabilities of Kaiser described on Schedule&nbsp;6.14.1 to be paid to
the appropriate tax authorities of St. James Parish, Louisiana and St. John
Parish, Louisiana contemporaneously with Closing and for any Lien related to
such Taxes to be extinguished.


<P align="center" style="font-size: 10pt"><B>ARTICLE X<BR>
TERMINATION</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.1 Termination.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.1.1 Mutual Consent. This Agreement may be terminated and the
transactions contemplated hereby may be abandoned at any time prior to Closing
by mutual written consent of Sellers and Buyers.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.1.2 Sellers Termination. This Agreement may be terminated and the
transactions contemplated hereby may be abandoned at any time prior to Closing
by Sellers upon written notice to Buyers,


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;if Closing has not occurred on or before September&nbsp;30, 2004, so long
as failure to close is not due to a material breach of this Agreement by
Sellers;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;so long as no Seller is then in material breach of any of its
representations, warranties or covenants in this Agreement, if Buyers are in
material breach of any of its representations, warranties or covenants
contained in this Agreement and such breach shall be incapable of being cured,
or if capable of being cured, shall not have been cured within 30 calendar days
following delivery to Buyers of written notice of such breach (specifying in
reasonable detail the claimed breach and demand of its cure or satisfaction);


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;if termination is directed pursuant to an order of the Bankruptcy
Court;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;if Buyers are the Prevailing Bidder, prior to entry of the Sales Order
if the Sales Order has not been entered by (i)&nbsp;the date that is 30 calendar
days after the date on which the Sales Hearing concludes or (ii)&nbsp;such later
date as is agreed to in writing by the parties to this Agreement;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;prior to receipt by Sellers of written evidence, in form and substance
satisfactory to Sellers, that KJBC Buyer has obtained GOJ Approval, if, on or
prior to the Pre-Hearing Termination Date, KJBC Buyer has not obtained GOJ
Approval and Sellers have not received written evidence thereof in form and
substance reasonably satisfactory to Sellers (provided that Sellers have given
written notice to Buyers of their intention to terminate pursuant to this
clause (e)&nbsp;at least three business days in advance of such termination);


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;prior to receipt by Sellers of written evidence, in form and substance
reasonably satisfactory to Sellers, that Gramercy Buyer has agreed with the
USWA regarding a New Labor Agreement (and such agreement has been ratified by
the Gramercy Represented Employees), if, on or prior to the Pre-Hearing
Termination Date, Gramercy Buyer has not agreed with the USWA regarding a New
Labor Agreement (or such agreement has not been ratified by


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<P align="left" style="font-size: 10pt">the Gramercy Represented Employees) and Sellers have not received written
evidence thereof in form and substance reasonably satisfactory to Sellers
(provided that Sellers have given written notice to Buyers of their intention
to terminate pursuant to this clause (f)&nbsp;at least three business days in
advance of such termination);


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;if on or prior to the Pre-Hearing Termination Date, Kaiser has not
reached agreement with the USWA with respect to the release of Sellers from any
obligations arising from or relating to the Gramercy Labor Agreement from and
after the Effective Time with respect to employees represented by the USWA and
employed at the Gramercy Site (the &#147;Gramercy Exit Agreement&#148;) (provided that
Sellers may no longer exercise their rights of termination under this clause
(g)&nbsp;after Kaiser has reached agreement with the USWA with respect to a Gramercy
Exit Agreement);


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;if on or prior to the Pre-Hearing Termination Date, Sellers shall not
have obtained from the applicable Governmental Entities of Jamaica agreement
with respect to the release of Sellers from any obligations to such
Governmental Entities arising from or relating to the operation of the KJBC
Operations (the &#147;GOJ Release&#148;) from and after the Effective Time (provided that
Sellers may no longer exercise their rights of termination under this clause
(h)&nbsp;after Sellers have obtained the GOJ Release); or


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;if in accordance with the Bidding and Auction Procedures a Qualified
Bidder submits the Prevailing Bid; it being expressly understood that, subject
to clauses (h)&nbsp;and (i)&nbsp;of Section&nbsp;10.1.3 and without prejudice to any other
rights Buyers may have to terminate this Agreement if the transactions
contemplated by the Prevailing Bid are subsequently abandoned and Sellers
determine to consummate the sale of the Purchased Assets to Buyers, Buyers
shall remain bound by the terms of this Agreement (including the Final Purchase
Price set forth herein or the highest amount that Buyers bid at the Auction)
until the delivery of a written termination notice in accordance with this
Section&nbsp;10.1.2.


<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">Buyers hereby acknowledge that, as contemplated by the Bidding and Auction
Procedures, in the circumstances contemplated by clause (i)&nbsp;of the immediately
preceding sentence, (a)&nbsp;Sellers may, prior to any termination hereof, enter
into agreements with respect to the Prevailing Bid, and (b)&nbsp;Sellers are not
required to deliver a written termination notice to Buyers until the
consummation of the transaction contemplated by the Prevailing Bid.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.1.3 Buyers Termination. This Agreement may be terminated and the
transactions contemplated hereby may be abandoned at any time prior to Closing
by Buyers, upon written notice to Sellers,


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;if Closing has not occurred on or before September&nbsp;30, 2004, so long
as the failure to close is not due to a material breach of this Agreement by
Buyers;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;so long as Buyers are not then in material breach of any of its
representations, warranties or covenants contained in this Agreement, if
Sellers are in material breach of any of their representations, warranties or
covenants contained in this Agreement and such breach shall be incapable of
being cured, or if capable of being cured, shall not have been


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<P align="left" style="font-size: 10pt">cured within 30 calendar days following delivery to Sellers of written
notice of such breach (specifying in reasonable detail the claimed breach and
demand of its cure or satisfaction);


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;if Buyers are the Prevailing Bidder, (i)&nbsp;prior to conclusion of the
Sales Hearing if the Sales Hearing has not concluded by (A)&nbsp;the date that is 90
calendar days after the date of this Agreement or (B)&nbsp;such later date as is
agreed to in writing by the parties to this Agreement, or (ii)&nbsp;prior to entry
of the Sales Order if the Sales Order has not been entered by (A)&nbsp;the date that
is ten business days after the date on which the Sales Hearing concludes or (B)
such later date as is agreed to in writing by the parties to this Agreement;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;if termination is directed pursuant to an order of the Bankruptcy
Court;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;if on or prior to the Pre-Hearing Termination Date, (i)&nbsp;Gramercy Buyer
has not obtained the BFPP Letter, (ii)&nbsp;KJBC Buyer shall not have obtained GOJ
Approval, or (iii)&nbsp;Gramercy Buyer has not agreed with the USWA regarding a New
Labor Agreement (or such agreement has not been ratified by the Gramercy
Represented Employees); provided, that in the case of clause (e)(i) of this
sentence, the Buyers must exercise their right of termination no later than the
second business day following the Pre-Hearing Termination Date or it shall be
irrevocably waived and, in the case of clauses (e)(ii) and (iii), respectively,
the Buyers may no longer exercise their rights of termination after GOJ
Approval has been obtained and a New Labor Agreement has been agreed to (and
ratified by the Gramercy Represented Employees), respectively;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;prior to the earlier of (i)&nbsp;receipt by Buyers of written evidence, in
form and substance reasonably satisfactory to Buyers, that Kaiser has agreed
with the USWA regarding a Gramercy Exit Agreement and (ii)&nbsp;waiver by Sellers of
their right to terminate pursuant to clause (g)&nbsp;of Section&nbsp;10.1.2, if, on or
prior to the Pre-Hearing Termination Date, Kaiser has not agreed with the USWA
regarding a Gramercy Exit Agreement and Buyers have not received evidence
thereof in form and substance reasonably satisfactory to Buyers (provided that
Buyers have given written notice to Sellers of their intention to terminate
pursuant to this clause (f)&nbsp;at least three business days in advance of such
termination);


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;prior to the earlier of (i)&nbsp;receipt by Buyers of written evidence, in

form and substance reasonably satisfactory to Buyers, that Sellers have
obtained the GOJ Release and (ii)&nbsp;waiver by Sellers of their right to terminate
pursuant to clause (h)&nbsp;of Section&nbsp;10.1.2, if, on or prior to the Pre-Hearing
Termination Date, Sellers have not obtained the GOJ Release and Buyers have not
received evidence thereof in form and substance reasonably satisfactory to
Buyers (provided that Buyers have given written notice to Sellers of their
intention to terminate pursuant to this clause (g)&nbsp;at least three business days
in advance of such termination);


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;if in accordance with the Bidding and Auction Procedures (i)&nbsp;a
Qualified Bidder submits the Prevailing Bid, (ii)&nbsp;at the Auction, Buyers make
Election A, and (iii)&nbsp;the Bankruptcy Court enters an order approving the sale
contemplated by the Prevailing Bid; or


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;if (i)&nbsp;in accordance with the Bidding and Auction Procedures (A)&nbsp;a
Qualified Bidder submits the Prevailing Bid, (B)&nbsp;at the Auction, Buyers makes
Election B, and (C)&nbsp;the Bankruptcy Court enters an order approving the sale
contemplated by the Prevailing Bid and (ii)&nbsp;Closing has not occurred on or
before the date that is 30 calendar days after entry of the Bankruptcy Court
order approving the sale contemplated by the Prevailing Bid.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.2 Effect of Termination. In the event of the termination of this
Agreement pursuant to Section&nbsp;10.1, this Agreement, except for the provisions
of this Section&nbsp;10.2 and Sections&nbsp;8.14, 8.17.3 (the last sentence only), 10.3,
12.4, 12.5, 12.7, 12.8, and 12.11, will forthwith become null and void and have
no effect, without any liability on the part of any party to this Agreement or
their respective Affiliates. Nothing in this Article&nbsp;X will, however, relieve
any party to this Agreement of liability for breach of this Agreement occurring
prior to that termination, or for breach of any provision of this Agreement
which specifically survives termination hereunder. Moreover, notwithstanding
the termination of this Agreement, the Escrow Agreement shall remain in full
force and effect in accordance with its terms, including with respect to the
distributions of the escrow funds held thereunder. Nothing in this Agreement
shall require that the Bankruptcy Court approve the termination of this
Agreement in order for such termination to be effective.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.3 Termination Fee. Subject to the provisions of any order of the
Bankruptcy Court, if (a)&nbsp;at the Auction Buyers make Election B or makes neither
Election A nor Election B and this Agreement is terminated either by Sellers
pursuant to clause (i)&nbsp;of the first sentence of Section&nbsp;10.1.2 or by Buyers
pursuant to clause (i)&nbsp;of Section&nbsp;10.1.3 and (b)&nbsp;no later than 120 calendar
days after the entry of the Bankruptcy Court order approving the sale
contemplated by the Prevailing Bid in accordance with the Bidding and Auction
Procedures such sale is consummated, then Sellers shall pay to Buyers promptly
(and, in any event, within two business days) following such consummation of
such transaction a fee of $1,050,000 (the &#147;Termination Fee&#148;).


<P align="center" style="font-size: 10pt"><B>ARTICLE XI<BR>
INDEMNIFICATION</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.1 Survival of Representations and Warranties. EXCEPT AS EXPRESSLY SET
FORTH IN THIS AGREEMENT, THERE ARE NO REPRESENTATIONS OR WARRANTIES OF ANY KIND
(INCLUDING ANY REPRESENTATIONS OR WARRANTIES AS TO THE QUALITY OR FITNESS OF
THE PURCHASED ASSETS OR THE ASSETS OF KJBC FOR THEIR INTENDED PURPOSES OR ANY
PARTICULAR PURPOSE), EXPRESSED OR IMPLIED, WITH RESPECT TO SELLERS, KJBC, THE
COMBINED BUSINESS, THE PURCHASED ASSETS OR THE ASSUMED LIABILITIES. WITHOUT
LIMITING THE GENERALITY OF THE FOREGOING, SELLERS MAKE NO REPRESENTATIONS OR
WARRANTIES WITH RESPECT TO (a)&nbsp;ANY PROJECTIONS, ESTIMATES OR BUDGETS DELIVERED
TO OR MADE AVAILABLE TO BUYERS OR THEIR REPRESENTATIVES RELATING TO THE FUTURE
RESULTS OF OPERATIONS, CASH FLOWS OR FINANCIAL CONDITION (OR ANY COMPONENT OF
ANY OF THEM) OF KJBC OR THE COMBINED BUSINESS OR (b)&nbsp;ANY OTHER INFORMATION OR
DOCUMENTS MADE AVAILABLE TO BUYERS OR THEIR REPRESENTATIVES REGARDING SELLERS,
KJBC, THE COMBINED BUSINESS, THE PURCHASED ASSETS


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<P align="left" style="font-size: 10pt">OR THE ASSUMED LIABILITIES. The representations and warranties of the
parties contained in this Agreement (or in any certificate delivered pursuant
hereto) other than those contained in Section&nbsp;5.22, Section&nbsp;6.11 or Section
6.14 will expire 24&nbsp;months after the Closing Date (the &#147;General Termination
Date&#148;), except with respect to claims asserted with respect to those
representations and warranties prior to the General Termination Date in which
case they will survive until the resolution of those claims in accordance with
this Article&nbsp;XI. The representations and warranties of the parties contained
in Section&nbsp;6.11 will expire at Closing (the &#147;Environmental Termination Date&#148;).
The representations and warranties of the parties contained in Section&nbsp;5.22 and
Section&nbsp;6.14 will expire 30&nbsp;days after expiration of the applicable statutes of
limitations on assessment of Taxes that would be indemnifiable by Sellers under
this Agreement (the end of such period, the &#147;Tax Termination Date&#148; and together
with the General Termination Date and the Environmental Termination Date, the
&#147;Termination Dates&#148;). The covenants of the parties contained in this Agreement
which by their terms require performance in whole or in part, after Closing
will remain operative and in full force and effect without any time limitation,
except as any such covenant is limited in duration by the express terms of this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.2 Indemnification by Buyers. From and after Closing, Buyers shall
indemnify, defend and hold Sellers and their Affiliates, and their respective
directors, officers, partners, managers, members, representatives, employees
and agents (collectively the &#147;Sellers Indemnified Parties&#148;), harmless from and
against any and all claims, actions, suits, demands, assessments, judgments,
losses, liabilities, damages, costs, royalties, payments, license fees and
expenses (including interest, penalties, attorneys&#146; fees, accounting fees and
investigation costs) (collectively, &#147;Losses&#148;) resulting from or arising out of
(a)&nbsp;any breach of any representation or warranty of Buyers contained herein or
in any certificate delivered by Buyers pursuant hereto (provided that Sellers
properly notify Buyers of the claim that a representation or warranty has been
breached and that notice is given by Sellers in writing prior to the applicable
Termination Date), (b)&nbsp;any breach of any covenant of Buyers contained herein
(including those contained in Section&nbsp;8.15.1), unless such breach occurred at
or prior to Closing and was specified in the certificate delivered by Buyers
pursuant to Section&nbsp;9.2.1, (c)&nbsp;any of the Assumed Liabilities, or (d)&nbsp;the
operation by Buyers of the Combined Operations or the ownership or use by
Buyers of the Purchased Assets after Closing, except to the extent Sellers are
obligated to indemnify Buyers with respect thereto.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.3 Indemnification by Sellers. From and after Closing, Sellers shall
indemnify, defend and hold Buyers and their Affiliates, and their respective
directors, officers, partners, managers, members, representatives, employees
and agents (collectively, the &#147;Buyer Indemnified Parties&#148;), harmless from and
against any and all Losses resulting from or arising out of (a)&nbsp;any breach of
any representation or warranty of Sellers contained herein or in any
certificate delivered by Sellers pursuant hereto (provided that Buyers properly
notify Sellers of the claim that a representation or warranty has been breached
and that notice is given to Sellers in writing prior to the applicable
Termination Date), (b)&nbsp;any breach of any covenant of Sellers contained herein,
unless such breach occurred at or prior to Closing and was specified in the
certificate delivered by Sellers pursuant to Section&nbsp;9.3.1, or (c)&nbsp;any of the
Retained Liabilities. Notwithstanding anything to the contrary herein
contained, Sellers shall not be obligated to indemnify, defend or hold any
Buyer Indemnified Party harmless from or against Losses resulting from or
arising out of Environmental Laws and relating to any environmental conditions
at the Gramercy Site (excluding any Pre-Closing Environmental Release), whether
known or unknown.


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<P align="left" style="font-size: 10pt">Notwithstanding any of the foregoing, the exclusions from the indemnity
obligations of Sellers hereunder shall not limit any rights or claims which
Kaiser or Gramercy Buyer may have under the PLL Policy, and no limitation on
rights, claims or recoveries under the PLL Policy shall affect any exclusion
from the indemnity obligations of Sellers hereunder.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.4 Limitations.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.4.1 Basket and Cap. Notwithstanding anything to the contrary contained
in this Agreement, no indemnified party shall be entitled to receive any amount
in respect of breaches of representations and warranties made by the
indemnifying parties in this Agreement except to the extent, and only to the
extent, that the aggregate amount of all Losses suffered by the Buyer
Indemnified Parties or the Seller Indemnified Parties, as applicable, exceeds
$500,000 (the &#147;Basket&#148;), in which case the indemnifying parties will only be
liable for that excess. The aggregate liability of Sellers and Buyers,
respectively, with respect to Losses suffered by Buyer Indemnified Parties or
the Seller Indemnified Parties, as applicable, as a result of breaches of
representations and warranties shall not exceed $5,000,000.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.4.2 Netting of Insurance Proceeds. Except in the case of fraud, no
indemnified party shall be entitled to indemnification from Sellers for any
Losses (a)&nbsp;unless and until such indemnified party or, if such indemnified
party is not a party hereto, the party hereto through whom the indemnifying
party derives its rights to indemnification, and its Affiliates have taken
reasonable steps to pursue all claims for insurance available with respect to
those Losses and (b)&nbsp;to the extent of the amount of insurance recovered by such
party or its Affiliates with respect to those Losses.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.5 Procedures.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.5.1 Notice of Claim; Information. After obtaining knowledge of any
facts that have given rise to, or could reasonably give rise to, a claim for
indemnification under this Article&nbsp;XI (an &#147;Indemnification Claim&#148;), an
indemnified party shall give written notice to the indemnifying party of such
Indemnification Claim (&#147;Notice of Claim&#148;); provided, however, that the failure
to give a Notice of Claim to the indemnifying party shall not relieve the
indemnifying party from any liability that it may have to an indemnified party
hereunder to the extent the indemnifying party is not prejudiced by such
failure. The Notice of Claim shall set forth the amount (or a reasonable
estimate, if then practicable) of the Losses suffered, or which may be
suffered, by an indemnified party as a result of such Indemnification Claim.
The indemnified party will furnish to the indemnifying party such information
(in reasonable detail) it may have with respect to such Indemnification Claim
(including copies of any summons, complaint or other pleading that may have
been served on it and any written claim, demand, invoice, billing or other
document evidencing or asserting the same).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.5.2 Right to Defense. In the event any claim set forth in the Notice
of Claim is a claim asserted against an indemnified party by a third party,
upon delivery by the indemnifying party to the indemnified party of written
notice, the indemnifying party may assume and control the defense thereof with
counsel of its choice, and thereafter the indemnifying party will not be liable
to the indemnified party hereunder for any fees of other counsel subsequently
accrued by the indemnified party in connection with the defense thereof.


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<P align="left" style="font-size: 10pt">In the event a Notice of Claim is delivered under this Article&nbsp;XI, so long
as there is no actual or reasonably anticipated conflict, the indemnifying
party and the indemnified party will cooperate fully with each other, at the
indemnifying parties&#146; cost and expense, in connection with the defense,
negotiation or settlement of the claim covered by such Notice of Claim. If the
indemnifying party assumes the defense of an action, (a)&nbsp;the indemnified party
will be entitled to participate therein at its sole cost and expense and (b)&nbsp;no
settlement or compromise thereof which involves an admission of guilt or
liability on the part of the indemnified party or which does not include a full
and unconditional release of the indemnified party in connection with the
subject matter of the action such assessment or claim may be effected by the
indemnifying party without the consent of the indemnified party. If the
indemnifying party does not assume the defense of an action, the indemnified
party may defend, compromise or settle the action, but no compromise or
settlement thereof may be effected at the expense of the indemnifying party
without the written consent of the indemnifying party; provided, however, that
if it is ultimately determined in a proceeding in accordance with Section&nbsp;12.9
that the indemnifying party has liability with respect to such action pursuant
to the terms of this Agreement, the indemnifying party shall be bound by such
compromise or settlement notwithstanding that the indemnifying party did not
consent in writing to such compromise or settlement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.6 Exclusive Remedies. From and after Closing, (a)&nbsp;except in the case
of fraud, the parties&#146; right to indemnification under this Article&nbsp;XI with
respect to any Losses shall be its sole and exclusive remedy for damages under
or with respect to this Agreement or the transactions contemplated hereby, and
it shall not be entitled to pursue, and hereby expressly waives, any and all
rights that may otherwise be available either at law or in equity with respect
thereto and (b)&nbsp;without limiting the generality of the foregoing, each party
waives to the fullest extent permitted by law any claim or cause of action
which it might otherwise assert, including under the common law or federal or
state securities, trade regulations or other Laws, by reason of this Agreement
or the transactions contemplated hereby, except for claims and causes of action
brought pursuant to this Article&nbsp;XI.


<P align="center" style="font-size: 10pt"><B>ARTICLE XII<BR>
MISCELLANEOUS</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.1 Entire Agreement. This Agreement, including the Schedules and
Exhibits to this Agreement, the Escrow Agreement and the Confidentiality
Agreement constitute the entire agreement of the parties to this Agreement with
respect to the subject matter hereof and thereof and supersede all prior
agreements and undertakings, both written and oral, with respect to the subject
matter hereof and thereof.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.2 Notices. All notices, requests, claims, demands and other
communications to any party hereunder must be in writing and must be given by
hand delivery, by courier service or by facsimile to the applicable party at
the following address or facsimile number:


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;if to Sellers or either Seller, to:

<P align="left" style="font-size: 10pt; margin-left: 6%">Kaiser Aluminum &#038; Chemical Corporation<BR>
5847 San Felipe, Suite&nbsp;2500<BR>
Houston, Texas 77057-3010<BR>
Facsimile: (713)&nbsp;332-4605<BR>
Attention: General Counsel


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;with copies to:

<P align="left" style="font-size: 10pt; margin-left: 6%">Jones Day<BR>
2727 North Harwood Street<BR>
Dallas, Texas 75201<BR>
Facsimile: (214)&nbsp;969-5100<BR>
Attention: Troy B. Lewis, Esq.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;and

<P align="left" style="font-size: 10pt; margin-left: 6%">Official Committee of Unsecured Creditors<BR>
of Kaiser Aluminum &#038; Chemical Corporation<BR>
c/o Akin Gump Strauss Hauer &#038; Feld LLP<BR>
590 Madison Avenue<BR>
New York, New York 10022<BR>
Facsimile: (212)&nbsp;872-1002<BR>
Attention: Lisa G. Beckerman, Esq.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;if to Buyers or either Buyer, to:

<P align="left" style="font-size: 10pt; margin-left: 6%">c/o Century Aluminum Company<BR>
2511 Garden Road<BR>
Building A, Suite&nbsp;200<BR>
Monterey, CA 93940<BR>
Facsimile: (831)&nbsp;642-9328<BR>
Attention: General Counsel


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;and

<P align="left" style="font-size: 10pt; margin-left: 6%">c/o Noranda, Inc.<BR>
181 Bay Street, Suite&nbsp;200<BR>
Toronto M5J 2T3<BR>
Ontario, Canada<BR>
Facsimile: (416)&nbsp;982-7490<BR>
Attention: Martin Schady, Senior Vice President


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;with copies to:

<P align="left" style="font-size: 10pt; margin-left: 6%">Curtis, Mallet-Prevost, Colt &#038; Mosle LLP<BR>
101 Park Avenue<BR>
New York, NY 10178<BR>
Facsimile: (212)&nbsp;697-1559<BR>
Attention: Matias A. Vega, Esq. &#038;
<DIV align="left" style="font-size: 10pt; margin-left: 13%">&nbsp;Roman A. Bninski, Esq.
</DIV>

<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;and

<P align="left" style="font-size: 10pt; margin-left: 6%">Kirksey &#038; McNamee PLC<BR>
5250 Virginia Way, Suite&nbsp;240<BR>
Brentwood, TN 37027<BR>
Facsimile: (615)&nbsp;371-8810<BR>
Attention: Gerald B. Kirksey, Esq.


<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">or any other address or facsimile number as a party may hereafter specify by
notice to the other parties to this Agreement in accordance with this Section
12.2. Delivery of each notice, request or other communication will be
effective (a)&nbsp;if given by hand delivery or courier service, when delivered at
the address specified in this Section&nbsp;12.2, or (b)&nbsp;if given by facsimile
transmission, when the facsimile is transmitted to the facsimile number
specified in this Section&nbsp;12.2 and the appropriate confirmation is received.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.3 Amendments and Waivers.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.3.1 Writing Required. Any provision of this Agreement may be amended
or waived if, and only if, the amendment or waiver is in writing and signed, in
the case of an amendment, by Sellers and Buyers, or in the case of a waiver, by
the party against whom the waiver is to be effective.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.3.2 No Implied Waiver. No failure or delay by any party hereto in
exercising any right, power or privilege hereunder will operate as a waiver
thereof nor will any single or partial exercise thereof preclude any other or
further exercise thereof or the exercise of any other right, power or
privilege.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.4 Expenses.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.4.1 Expenses Relating to this Agreement. Except as otherwise provided
in this Agreement, all costs and expenses incurred in connection with this
Agreement and the consummation of the transactions contemplated hereby will be
paid by the party incurring the cost or expense.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.4.2 Consents and Transfers. All filing fees associated with Consents
of Governmental Entities necessary to consummate the Transfers contemplated
hereby (including those associated with any HSR Filings) will be borne solely
by Buyers.


<P align="center" style="font-size: 10pt">67
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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.4.3 Certain Other Obligations. All transfer, documentary, sales, use,
stamp, registration and other similar transaction type Taxes, and all duties,
conveyance fees, recording charges and other fees and charges (including any
penalties and interest) incurred in connection with consummation of the
transactions contemplated by this Agreement (collectively &#147;Transfer Taxes&#148;),
shall be paid by Buyers when due, and, except to the extent Sellers receive
refunds of Transfer Taxes paid by Buyers (either directly or indirectly as
reimbursement to Sellers) under this Section&nbsp;12.4, notwithstanding any
provision of the Laws of Jamaica which may entitle them to do so, Buyers shall
not seek recovery or reimbursement from Sellers by any means. Buyers will, at
their own expense, file all necessary Tax Returns and other documentation with
respect to all such Transfer Taxes.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.4.4 Certain Jamaican Filings. If, under the Laws of Jamaica, Sellers
are required to actually pay or remit any Transfer Taxes referred to in Section
12.4.3 to the applicable Tax authorities, Sellers and Buyers shall work jointly
to prepare and file the necessary Tax Returns and other documentation (at
Buyers&#146; sole expense), and Buyers shall reimburse Sellers for the same amounts
Sellers paid to such Tax authorities on the same day(s) as such payment(s).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.4.5 Rights to Refunds. Any and all refunds of filing fees and Transfer
Taxes paid by Buyers (either directly or indirectly as reimbursement to
Sellers) under this Section&nbsp;12.4 shall be for the account of Buyers, and
Sellers acknowledge and agree that any and all such refunds shall be deemed the
legal property of Buyers, and that no right, title or interest in the proceeds
of any such refunds shall vest with or be conferred upon Sellers. Sellers
shall act as Buyers&#146; agent with respect to any such refunds received by
Sellers, and shall hold all such amounts in trust for Buyers until transferred
to Buyers in accordance with Buyers&#146; instructions (which shall occur within
five business days of Sellers&#146; receipt thereof). Upon Buyers&#146; request, and at
Buyers&#146; sole expense, Sellers shall assist Buyers (including the filing of any
Tax Returns required to be filed by Sellers) with such actions as are
reasonably necessary to obtain the refund of any Transfer Taxes paid by Buyers
(either directly or indirectly as reimbursement to Sellers) pursuant to this
Section&nbsp;12.4.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.4.6 Certain Prohibitions. Prior to Closing, no Buyer or Seller shall
carry, deliver or ship an original of this Agreement into Jamaica. Following
Closing no Seller shall carry, deliver or ship an original of this Agreement
into Jamaica without the prior written consent of Buyers.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.5 Damages. No party will be liable for punitive, exemplary,
consequential or special damages for violation of the terms of this Agreement
under any circumstances.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.6 Successors and Assigns. The provisions of this Agreement shall be
binding upon and inure to the benefit of the parties to this Agreement and
their respective successors and permitted assigns. No Seller or Buyer may
sell, assign, transfer, convey or delegate any of its rights or obligations
under this Agreement without the prior written consent of Buyers in the case of
assignments by a Seller or Sellers in the case of assignments by a Buyer.
Notwithstanding anything to the contrary contained in this Agreement, except as
provided in Article&nbsp;XI (which Article is intended to confer a benefit on, and
be enforceable by, the third parties referred to therein as express third party
beneficiaries of this Agreement), nothing in this Agreement,


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<P align="left" style="font-size: 10pt">expressed or implied, is intended to confer on any Person, other than the
parties to this Agreement or their respective successors and permitted assigns,
any rights, remedies, obligations or liabilities under or by reason of this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.7 Governing Law. This Agreement shall be construed in accordance with
and governed by the internal substantive law of the State of Delaware
regardless of the laws that might otherwise govern under principles of conflict
of laws applicable thereto. This Agreement is subject to any order or act of
the Bankruptcy Court applicable hereto.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.8 Bulk Sales. Buyers waive compliance by Sellers with the provisions
of the so-called &#147;bulk sales&#148; Laws of any jurisdiction.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.9 Knowledge. For purposes of this Agreement, references to &#147;knowledge&#148;
of Sellers or Kaiser refer to the actual knowledge of the individuals listed on
Schedule&nbsp;12.9 after due inquiry.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.10 Consent to Jurisdiction; Arbitration.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.10.1 During Bankruptcy Cases. The Bankruptcy Court will have
jurisdiction over any dispute arising out of or in connection with the
transactions contemplated by this Agreement through the date of entry of the
order approving the final decree in one or more of Sellers&#146; Bankruptcy Cases.
The parties to this Agreement consent to the exclusive jurisdiction of the
Bankruptcy Court (and of the appropriate appellate courts therefrom) in any
such dispute and irrevocably waive, to the fullest extent permitted by Law, any
objection that they may now or hereafter have to the laying of the venue of any
such dispute in the Bankruptcy Court or that any such dispute brought in the
Bankruptcy Court has been brought in an inconvenient forum.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.10.2 Post-Bankruptcy. Any dispute which remains unresolved or which
arises following approval of Sellers&#146; plan of reorganization and emergence from
bankruptcy, shall be submitted to and resolved by arbitration conducted in the
State of Delaware, County of New Castle, in accordance with the then existing
Commercial Rules of the American Arbitration Association. Judgment on any
arbitration award may be entered in any court having jurisdiction.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.10.3 Disputes as to Arbitration. Any dispute as to the interpretation
of the arbitration clause of the Agreement will be submitted only to a federal
or state court of competent jurisdiction sitting in the State of Delaware,
County of New Castle.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.10.4 Service of Process. Process may be served on any party anywhere
in the world, whether within or without the jurisdiction of any court to which
the parties have submitted herein. Without limiting the foregoing, each party
to this Agreement agrees that service of process on that party may be made upon
the designated Person at the address provided in Section&nbsp;12.2 and will be
deemed to be effective service of process on that party.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.11 Severability. If any provision of this Agreement is determined by a
Governmental Entity to be invalid, void or unenforceable, the remainder of the
provisions of this Agreement will remain in full force and effect and will in
no way be affected, impaired or invalidated.


<P align="center" style="font-size: 10pt">69
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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.12 Counterparts; Effectiveness. This Agreement may be executed in any
number of counterparts, each of which will be an original, with the same effect
as if the signatures thereto were upon the same instrument. Subject to the
Bankruptcy Court entering the Sales Order, this Agreement will become effective
when each party to this Agreement shall have received counterparts hereof
signed by the other parties to this Agreement.


<P align="center" style="font-size: 10pt"><B>&#091;SIGNATURES ON NEXT PAGE&#093;</B>



<P align="center" style="font-size: 10pt">70
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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>IN WITNESS WHEREOF, </B>the parties to this Agreement have caused this
Agreement to be duly executed by their respective authorized officers as of the
day and year first above written.

<DIV align="right">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="65%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="11%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="6%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="69%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" valign="top" align="left"><B>SELLERS:</B></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" valign="top" align="left"><B>KAISER ALUMINUM &#038; CHEMICAL CORPORATION</B></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ Edward F. Houf</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><HR size="1" noshade>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Edward F. Houf</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President, Secretary and General Counsel</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" valign="top" align="left"><B>KAISER BAUXITE COMPANY</B></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ Edward F. Houf</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><HR size="1" noshade>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Edward F. Houf</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President, Secretary and General Counsel</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" valign="top" align="left"><B>BUYERS:</B></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" valign="top" align="left"><B>GRAMERCY ALUMINA LLC</B></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ Gerald J. Kitchen</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><HR size="1" noshade>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gerald J. Kitchen</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Manager</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" valign="top" align="left"><B>ST. ANN BAUXITE LIMITED</B></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ Gerald J. Kitchen</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><HR size="1" noshade>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Gerald J. Kitchen</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Manager</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

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