UNIVERSAL COMPRESSION HOLDINGS INC
EXHIBIT 10.3
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<TYPE>EX-10.3
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<FILENAME>a2146105zex-10_3.htm
<DESCRIPTION>EXHIBIT 10.3
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<P ALIGN="RIGHT"><FONT SIZE=2><B>Exhibit&nbsp;10.3  </B></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="lg1670_first_amendment_to_guarantee_and_collateral_agreement"> </A>
<A NAME="toc_lg1670_1"> </A>
<BR></FONT><FONT SIZE=2><B>FIRST AMENDMENT TO<BR>  GUARANTEE AND COLLATERAL AGREEMENT    <BR>    </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;THIS FIRST AMENDMENT TO GUARANTEE AND COLLATERAL AGREEMENT (this </FONT><FONT SIZE=2><B><I>"First Amendment"</I></B></FONT><FONT SIZE=2>) is made and entered into as of
the 25th day of October&nbsp;2004 (the </FONT><FONT SIZE=2><B><I>"Effective Date"</I></B></FONT><FONT SIZE=2>), by Universal Compression,&nbsp;Inc. and Universal Compression Holdings,&nbsp;Inc.
(together with any other entity that may become a party to the hereinafter defined Guarantee as provided therein, but excluding Universal Compression Holdings,&nbsp;Inc., the </FONT> <FONT SIZE=2><B><I>"Grantors"</I></B></FONT><FONT SIZE=2>), in
favor of WACHOVIA BANK, NATIONAL ASSOCIATION, formerly FIRST UNION NATIONAL BANK, as Administrative Agent (in such capacity, the
</FONT><FONT SIZE=2><B><I>"Secured Party"</I></B></FONT><FONT SIZE=2>) for the banks and other financial institutions or entities (the </FONT><FONT SIZE=2><B><I>"Lenders"</I></B></FONT><FONT SIZE=2>) from time to
time parties to the Credit Agreement referred to below, the Issuing Bank (as defined in the Credit Agreement) and, in the case of any Hedging Agreement referred to in the Guarantee, any Lender
Affiliate (as defined in the Credit Agreement). </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><I>R E C I T A L S:  </I></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A.&nbsp;&nbsp;&nbsp;&nbsp;On
even date herewith, Universal Compression,&nbsp;Inc., a Texas corporation (the </FONT><FONT SIZE=2><B><I>"US Borrower"</I></B></FONT><FONT SIZE=2>), Universal Compression
(Ontario)&nbsp;Ltd., a British Virgin Islands entity (the </FONT><FONT SIZE=2><B><I>"Canadian Borrower"</I></B></FONT><FONT SIZE=2>), Secured Party, Congress Financial Corporation (Canada), the Canadian
Administrative Agent and the Lenders party thereto are executing an Amended and Restated Senior Secured Revolving Credit Agreement (such agreement, as may from time to time be amended, supplemented or
restated, being hereinafter called the </FONT><FONT SIZE=2><B><I>"Credit Agreement"</I></B></FONT><FONT SIZE=2>) pursuant to which, upon the terms and conditions stated therein, the Lenders agree to make
loans to and extend credit on behalf of the Company and the Canadian Borrower, up to the aggregate maximum principal amount of $125,000,000, which Credit Agreement amends and restates that certain
Senior Secured Revolving Credit Agreement dated as of February&nbsp;9, 2001 among the US Borrower, the Lenders from time to time party thereto and the Secured Party as Administrative Agent for the
Lenders. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B.&nbsp;&nbsp;&nbsp;&nbsp;On
February&nbsp;9, 2001, Universal Compression Holdings,&nbsp;Inc. and Universal Compression,&nbsp;Inc. executed that certain Guarantee and Collateral Agreement in
favor of Wachovia Bank, National Association (formerly First Union National Bank) (as amended, modified or restated, the </FONT><FONT SIZE=2><B><I>"Guarantee"</I></B></FONT><FONT SIZE=2>) as a condition
precedent to the obligation of the Lenders (as defined in the Guarantee) to make certain revolving credit loans to and extensions of credit on behalf of Universal Compression,&nbsp;Inc. under the
Credit Agreement. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C.&nbsp;&nbsp;&nbsp;&nbsp;The
Grantors and the Secured Party mutually desire to amend certain aspects of the Guarantee to correct a typographical error. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NOW,
THEREFORE, in consideration of the mutual covenants and agreements herein contained, the Grantor and the Secured Party hereby agree that the Guarantee shall be amended as follows: </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;Certain Definitions.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;</FONT></P>

<UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;Terms Defined Above.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;As used in this First Amendment, the terms "Effective Date", "First Amendment",
"Grantors", "Guarantee", "Lenders" and "Secured Party" shall have the meanings indicated above. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;Terms Defined in Guarantee.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;Unless otherwise defined herein, all terms beginning with a capital letter which
are defined in the Guarantee shall have the same meanings herein as therein unless the context hereof otherwise requires. </FONT></P>

</UL>
<P ALIGN="CENTER"><FONT SIZE=2>1</FONT></P>

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<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;Amendment to Guarantee.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;</FONT></P>

<UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;The
following term is hereby added to Section&nbsp;1.1(b): </FONT></P>

<UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;"Credit
Agreement": that certain Amended and Restated Senior Secured Revolving Credit Agreement dated as of October&nbsp;25, 2004, among Universal Compression,&nbsp;Inc., a Texas
corporation, as US Borrower, Universal Compression (Ontario)&nbsp;Ltd., a British Virgin Islands entity, as Canadian Borrower, Wachovia Bank, National Association, as US Administrative Agent,
Congress Financial Corporation (Canada), as
Canadian Administrative Agent, and the Lenders from time to time party thereto (as such agreement may from time to time be amended, supplemented or restated)." </FONT></P>

</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;Section&nbsp;4.4
is hereby deleted in its entirety and the following is substituted in place thereof: </FONT></P>

<UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;"4.4</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;Jurisdiction of Organization.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;On the date hereof, such Grantors' jurisdiction of organization is specified
on </FONT><FONT SIZE=2><I>Schedule&nbsp;4."</I></FONT></P>

</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;Section&nbsp;5.5
is hereby deleted in its entirety and the following is substituted in place thereof: </FONT></P>

<UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;"5.5</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;Changes in Names, etc.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;Such Grantor will not, except upon 30&nbsp;days' prior written notice to the
Secured Party and delivery to the Secured Party of all additional financing statements and other documents reasonably requested by the Secured Party to maintain the validity, perfection and priority
of the security interests provided for herein, change its name, identity or corporate structure to such an extent that any financing statement filed by the Secured Party in connection with this
Agreement would become misleading." </FONT></P>

</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;&nbsp;&nbsp;Section&nbsp;4.5
is hereby deleted in its entirety and the following is substituted in place thereof: </FONT></P>

<UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;"4.5</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;</I></FONT><FONT SIZE=2>Intentionally Omitted."&nbsp;&nbsp;&nbsp;&nbsp;</FONT></P>

</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;&nbsp;&nbsp;Section&nbsp;9.15
of the Guarantee is hereby deleted in its entirety and the following is substituted in place thereof: </FONT></P>

<UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;"9.15</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;</I></FONT><FONT SIZE=2>Intentionally Omitted."&nbsp;&nbsp;&nbsp;&nbsp;</FONT></P>

</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;&nbsp;&nbsp;&nbsp;Annex
1 and Schedule&nbsp;5 to the Guarantee are hereby deleted in their entirety. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;&nbsp;&nbsp;Schedules&nbsp;2,
3, and 4 to the Guarantee are hereby deleted in their entirety and Schedules&nbsp;2, 3 and 4 attached hereto are substituted in place thereof. </FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;&nbsp;&nbsp;All
references in the Guarantee to Articles&nbsp;VIII, IX, X, XI and XII of the Credit Agreement, and any sections or subsections thereof, shall hereafter refer to
Articles&nbsp;IX, X, XI, XII and XIII of the Credit Agreement, respectively, and any corresponding sections or subsections thereof. </FONT></P>

</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;Conditions Precedent.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;In addition to all other applicable conditions precedent contained in the Guarantee,
the obligation of the Secured Party to enter into this First Amendment shall be conditioned upon the following conditions precedent: </FONT></P>

<UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;The
Secured Party shall have received a copy of this First Amendment, duly completed and executed by the Grantors; and </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;The
Secured Party shall have received such other information, documents or instruments as it or its counsel may reasonably request. </FONT></P>

</UL>
<P ALIGN="CENTER"><FONT SIZE=2>2</FONT></P>

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<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;Default.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;Any default under this First Amendment shall constitute a default under the Guarantee. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;Representations and Warranties.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;The Grantors represent and warrant to the Secured Party that: </FONT></P>

<UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;the
Grantors and the Guarantors have performed and complied with all covenants, agreements and conditions contained in the Guarantee, as hereby amended, required to be
performed or complied with by it; and </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;the
representations and warranties of the Grantors contained in the Guarantee, as amended, were true and correct when made, and are true and correct in all material
respects at and as of the time of delivery of this Second Amendment. </FONT></P>

</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;Extent of Amendments.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;Except as expressly herein set forth, all of the terms, conditions, defined terms,
covenants, representations, warranties and all other provisions of the Guarantee are herein ratified and confirmed and shall remain in full force and effect. </FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;Counterparts.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;This First Amendment may be executed in two or more counterparts, and it shall not be necessary
that the signatures of all parties hereto be contained on any one counterpart hereof; each counterpart shall be deemed an original, but all of which together shall constitute one and same instrument. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.</FONT><FONT
SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;References.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;On and after the Effective Date hereof, the terms "Guarantee", "hereof", "herein", "hereunder",
and terms of like import when used in the Guarantee shall, except where the context otherwise requires, refer to the Guarantee, as amended by this First Amendment. </FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B>THIS FIRST AMENDMENT, THE GUARANTEE, AS AMENDED HEREBY, THE CREDIT AGREEMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT BETWEEN THE PARTIES AND
MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.</B></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Signatures
on following page] </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>3</FONT></P>

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<P><FONT SIZE=2>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This First Amendment shall benefit and bind the parties hereto, as well as their respective assigns, successors, heirs and legal representatives. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;EXECUTED
as of the date first above written. </FONT></P>

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<TD WIDTH="47%"><FONT SIZE=2>US BORROWER:</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD COLSPAN=2><FONT SIZE=2>UNIVERSAL COMPRESSION,&nbsp;INC.</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="47%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="4%"><FONT SIZE=2><BR>
By:</FONT></TD>
<TD WIDTH="46%"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>J. MICHAEL ANDERSON</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE><FONT SIZE=2> J. Michael Anderson, Senior Vice President and Chief Financial Officer</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="47%"><FONT SIZE=2><BR>
GUARANTORS:</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=2><FONT SIZE=2><BR>
UNIVERSAL COMPRESSION HOLDINGS,&nbsp;INC.</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="47%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="4%"><FONT SIZE=2><BR>
By:</FONT></TD>
<TD WIDTH="46%"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>J. MICHAEL ANDERSON</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE><FONT SIZE=2> J. Michael Anderson, Senior Vice President and Chief Financial Officer</FONT></TD>
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<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This
First Amendment is acknowledged and consented to by the undersigned on behalf of the Lenders on this 25th day of October&nbsp;2004. </FONT></P>

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<TD WIDTH="47%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD COLSPAN=2><FONT SIZE=2>WACHOVIA BANK NATIONAL ASSOCIATION, Individually and as US Administrative Agent</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="47%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="8%"><FONT SIZE=2><BR>
By:</FONT></TD>
<TD WIDTH="42%"><FONT SIZE=2><BR>
/s/&nbsp;&nbsp;</FONT><FONT SIZE=2>PHILIP TRINDER</FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><HR NOSHADE></TD>
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<TD WIDTH="47%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="8%"><FONT SIZE=2>Name:</FONT></TD>
<TD WIDTH="42%"><FONT SIZE=2>Philip Trinder</FONT><HR NOSHADE></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="47%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="8%"><FONT SIZE=2>Title:</FONT></TD>
<TD WIDTH="42%"><FONT SIZE=2>Vice President</FONT><HR NOSHADE></TD>
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<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="li1670_schedule_2"> </A>
<A NAME="toc_li1670_1"> </A>
<BR></FONT><FONT SIZE=2><I>Schedule&nbsp;2    <BR>    </I></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><B>PLEDGED STOCK  </B></FONT></P>

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<TH WIDTH="27%" ALIGN="LEFT"><FONT SIZE=1><B>DEBTOR<BR> </B></FONT><HR NOSHADE></TH>
<TH WIDTH="3%"><FONT SIZE=1>&nbsp;</FONT></TH>
<TH WIDTH="12%" ALIGN="CENTER"><FONT SIZE=1><B>TYPE OF INTEREST</B></FONT><HR NOSHADE></TH>
<TH WIDTH="3%"><FONT SIZE=1>&nbsp;</FONT></TH>
<TH WIDTH="27%" ALIGN="CENTER"><FONT SIZE=1><B>NUMBER OF SHARES AND CERTIFICATE NUMBERS</B></FONT><HR NOSHADE></TH>
<TH WIDTH="3%"><FONT SIZE=1>&nbsp;</FONT></TH>
<TH WIDTH="27%" ALIGN="CENTER"><FONT SIZE=1><B>ISSUER</B></FONT><HR NOSHADE></TH>
</TR>
<TR BGCOLOR="#CCEEFF" VALIGN="TOP">
<TD WIDTH="27%"><FONT SIZE=2>Universal Compression,&nbsp;Inc.</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="12%"><FONT SIZE=2>Stock</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="27%"><FONT SIZE=2>100, Certificate No.&nbsp;1</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="27%"><FONT SIZE=2>Universal Compression International,&nbsp;Inc.</FONT></TD>
</TR>
<TR BGCOLOR="White" VALIGN="TOP">
<TD WIDTH="27%"><FONT SIZE=2><BR>
Universal Compression,&nbsp;Inc.</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="12%"><FONT SIZE=2><BR>
Stock</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="27%"><FONT SIZE=2><BR>
1,500, Certificate No.&nbsp;2</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="27%"><FONT SIZE=2><BR>
Compressor Systems International,&nbsp;Inc.</FONT></TD>
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<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="lk1670_schedule_3"> </A>
<A NAME="toc_lk1670_1"> </A>
<BR></FONT><FONT SIZE=2><I>Schedule&nbsp;3    <BR>    </I></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><B>FILINGS AND OTHER ACTIONS<BR>
REQUIRED TO PERFECT SECURITY INTERESTS  </B></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><I>Uniform Commercial Code Filings</I></FONT></P>

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<TH WIDTH="32%" ALIGN="LEFT"><FONT SIZE=1><B>State<BR> </B></FONT><HR NOSHADE></TH>
<TH WIDTH="3%"><FONT SIZE=1>&nbsp;</FONT></TH>
<TH WIDTH="64%" ALIGN="CENTER"><FONT SIZE=1><B>Office</B></FONT><HR NOSHADE></TH>
</TR>
<TR BGCOLOR="#CCEEFF" VALIGN="TOP">
<TD WIDTH="32%"><FONT SIZE=2>Texas</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="64%"><FONT SIZE=2>Secretary of State</FONT></TD>
</TR>
<TR BGCOLOR="White" VALIGN="TOP">
<TD WIDTH="32%"><FONT SIZE=2>Delaware</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="64%"><FONT SIZE=2>Secretary of State</FONT></TD>
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<P ALIGN="CENTER"><FONT SIZE=2><I>Actions with respect to Pledged Securities </I></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>Deliver
stock certificates and stock powers to Secured Party </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>Other Actions </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>None </FONT></P>

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<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ll1670_schedule_4"> </A>
<A NAME="toc_ll1670_1"> </A>
<BR></FONT><FONT SIZE=2><I>Schedule&nbsp;4    <BR>    </I></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><B>JURISDICTION OF ORGANIZATION  </B></FONT></P>

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<TR VALIGN="BOTTOM">
<TH WIDTH="83%" ALIGN="LEFT"><FONT SIZE=1><B>Grantor<BR> </B></FONT><HR NOSHADE></TH>
<TH WIDTH="3%"><FONT SIZE=1>&nbsp;</FONT></TH>
<TH WIDTH="14%" ALIGN="CENTER"><FONT SIZE=1><B>Jurisdiction</B></FONT><HR NOSHADE></TH>
</TR>
<TR BGCOLOR="#CCEEFF" VALIGN="TOP">
<TD WIDTH="83%"><FONT SIZE=2>Universal Compression,&nbsp;Inc.</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="14%"><FONT SIZE=2>Texas</FONT></TD>
</TR>
<TR BGCOLOR="White" VALIGN="TOP">
<TD WIDTH="83%"><FONT SIZE=2>Universal&nbsp;Compression&nbsp;Holdings,&nbsp;Inc.</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="14%"><FONT SIZE=2>Delaware</FONT></TD>
</TR>
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<P ALIGN="CENTER"><FONT SIZE=2><B>CHIEF EXECUTIVE OFFICE WHERE RECORDS ARE KEPT  </B></FONT></P>

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<TH WIDTH="72%" ALIGN="LEFT"><FONT SIZE=1><B>Street Address<BR> </B></FONT><HR NOSHADE></TH>
<TH WIDTH="3%"><FONT SIZE=1>&nbsp;</FONT></TH>
<TH WIDTH="25%" ALIGN="CENTER"><FONT SIZE=1><B>City, State</B></FONT><HR NOSHADE></TH>
</TR>
<TR BGCOLOR="#CCEEFF" VALIGN="TOP">
<TD WIDTH="72%"><FONT SIZE=2>4444 Brittmoore</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="25%"><FONT SIZE=2>Houston,&nbsp;Texas&nbsp;77041</FONT></TD>
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<P style='page-break-before:always'></p>
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<P><br><A NAME="04HOU1670_4">QuickLinks</A><br></P><!-- TOC_BEGIN -->
<FONT SIZE=2><A HREF="#toc_lg1670_1">FIRST AMENDMENT TO GUARANTEE AND COLLATERAL AGREEMENT</A></FONT><BR>
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<FONT SIZE=2><A HREF="#toc_li1670_1">Schedule 2</A></FONT><BR>
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<FONT SIZE=2><A HREF="#toc_lk1670_1">Schedule 3</A></FONT><BR>
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<FONT SIZE=2><A HREF="#toc_ll1670_1">Schedule 4</A></FONT><BR>

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