AMENDMENT NO. 2
AMENDMENT NO. 2 dated as of January 29, 1998, between Polymer Group, Inc. ("PGI"); each of the other
"Borrowers" identified under the caption
"BORROWERS" on the signature pages hereto, each of the Domestic Non-Borrower Guarantors identified
under the caption "DOMESTIC NON-BORROWER GUARANTORS" on the signature pages hereto; each of
the lenders that is a signatory hereto identified under the caption "LENDERS" on the signature pages hereto; and
THE CHASE MANHATTAN BANK, as administrative agent for the Lenders (in such capacity, together with
its successors in such capacity, the "Administrative Agent").
PGI, the other Borrowers, the Domestic Non-Borrower Guarantors, the Lenders referred to therein and the
Administrative Agent are parties to a Second Amended, Restated and Consolidated Credit Agreement dated as
of July 3, 1997 (as heretofore amended, the "Credit Agreement"), providing for the Lenders to extend credit (by
way of revolving credit loans and letters of credit) to the Borrowers in U.S. Dollars and in certain Alternative
Currencies in an amount at any time not exceeding U.S. $325,000,000. PGI has now requested that the Lenders
extend additional credit to PGI by way of a single-draw term loan facility in U.S. Dollars in the amount of U.S.
$125,000,000 to be used by PGI to partially finance the acquisition of assets related to the nonwovens fabric
business of Dominion Textile Inc. following consummation of the Tender Offer referred to below. PGI, the other
Borrowers, the Domestic Non-Borrower Guarantors, the Lenders and the Administrative Agent wish to amend
the Credit Agreement in order to provide for such additional credit and in certain other respects, and,
accordingly, the parties hereto hereby agree as follows:
Section 1. Definitions. Except as otherwise defined in this Amendment No. 2, terms defined in the Credit
Agreement are used herein as defined therein.
Section 2. Amendments. Subject to the satisfaction of the condition precedent spe