
<PAGE>

                                           May 1, 1993

Congress Financial Corporation
1133 Avenue of the Americas
New York, NY 10036

                 Re: Fourth Amendment to Financing Agreements

Gentlemen:

   Reference is made to the Accounts Financing Agreement [Security Agreement] 
between Congress Financial Corporation ("Congress") and I.C. Isaacs & Co. 
L.P. ("Borrower") dated as of June 16, 1992 (the "Accounts Agreement") and 
all supplements thereto, and all other agreements, documents and instruments 
related thereto and executed in connection therewith including, the Covenant 
Supplement to Accounts Financing Agreement [Security Agreement] ("Covenant 
Supplement") and the Inventory and Equipment Security Agreement Supplement to 
Accounts Financing Agreement [Security Agreement] ("Inventory and Equipment 
Security Agreement"), as each is amended by the Amendment to Financing 
Agreements dated October 30, 1992, Second Amendment to Financing Agreements 
dated as of January 4, 1993 and the Third Amendment to Financing Agreements 
dated as of March 10, 1993, as the same now exists or may hereafter be 
further amended, modified, supplemented, extended, renewed, restated or 
replaced (collectively, the "Financing Agreements"). Capitalized terms used 
herein, unless otherwise defined herein shall have the meaning set forth in 
the Financing Agreements.

   Borrower has requested supplemental loans in an amount up to $2,500,000 
under the Financing Agreements and certain modifications to the Financing 
Agreements and Congress is willing to agree to such supplemental loans and 
modifications, subject to the terms and conditions set forth herein.

   In consideration of the foregoing, and the mutual agreements and covenants 
contained herein and for other good and valuable consideration, Borrower and 
Congress hereby agree as follows:

   1. Maximum Credit. All references to Maximum Credit in the Financing 
Agreements, including but not limited to Section 1.7 of the Accounts 
Agreement, shall be deemed and each such reference is hereby amended by 
replacing the figure "$11,000,000" with the figure "$14,000,000".

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   2. Supplemental Loans. Section 2.1 of the Accounts Agreement, as amended 
by the Third Amendment, is hereby deleted in its entirety and replaced with 
the following:

      "2.1. You shall, in your discretion, make loans to us from time to 
   time, at our request, of up to eighty percent (80%) of the Net Amount of 
   Eligible Accounts (or such greater or lesser percentage thereof as you 
   shall in your sole discretion determine from time to time). Subject to the 
   terms and conditions hereof, you may also, in your discretion, make loans 
   to us from time to time, at our request, of up to $2,500,000 in excess of 
   such lending formula until November 11, 1993, subject to reduction thereof 
   as hereafter set forth, (the "Supplemental Loans"); provided, however, the 
   maximum aggregate outstanding amount of such Supplemental Loans shall be 
   reduced, commencing September 10, 1993, in successive and cumulative 
   amount of $250,000 each on September 10, 1993 and the last business day of 
   each week thereafter. Notwithstanding anything to the contrary contained 
   herein the entire outstanding balance of all Supplemental Loans shall be 
   repaid in full not later than November 12, 1993."

   3. Supplemental Loan and Increased Line Fee. In partial consideration of 
the increase in the Maximum Credit and Supplemental Loans as set forth 
herein, Borrower agrees to pay Congress a fee in an amount equal to $45,000, 
payable simultaneously with the execution hereof, which fee is fully earned 
as of the date hereof. At Congress' option, Congress may charge such fee 
directly to Borrower's loan account.

   4. Unused Line Fee. Section 3.5 of the Accounts Agreement is amended by 
replacing the figure "$8,000,000" in two (2) places therein with the figure 
"$11,500,000" in such two (2) places.

   5. Effect and Entirety of this Amendment. Except as specifically modified 
pursuant hereto, no other changes or modifications to the Financing 
Agreements are intended or implied and, in all other respects, the Financing 
Agreements are hereby ratified and confirmed by all parties hereto as of the 
date hereof. This Amendment represents and incorporates the entire 
understanding and agreements of the parties with respect to the matters set 
forth herein and the parties hereto agree that there are no representations, 
warranties, covenants or understandings of any kind, nature or description 
whatsoever made by Congress to Borrower with respect to this Amendment, 
except as specifically set forth herein. This Amendment represents the final 
agreement between the parties and may not be contradicted by evidence or


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prior, contemporaneous or subsequent oral agreements of the parties.

     6.  Waiver, Modification, Etc.  No provision or term hereof may be 
modified, alter, waived, discharged or terminated orally, but only by an 
instrument in writing executed by the party against whom such modification, 
alteration, waiver, discharge or termination is sought.

     7.  Further Assurances.  The parties hereto shall execute and deliver 
such additional documents and take such additional action as may be necessary 
to effectuate the provisions and purposes of this Amendent.

     8.  Counterparts.  This Amendent may be executed in one or more 
counterparts which, taken together, shall constitute the agreement of the 
parties.  

                                       Very truly yours,

                                       I.C. ISAACS & CO. L.P.

                                       By:  ISBUYCO, INC., General Partner

                                            By: /s/ Gerald W. Lear
                                                --------------------------
                                            Title: CEO
                                                   --------------------------
Agreed and Accepted:

CONGRESS FINANCIAL CORPORATION

By: /s/ James DeSantis
    ---------------------------
Title: Vice President
       ------------------------

ACKNOWLEDGED:

/s/ Ira Hechler
-------------------------------
IRA HECHLER

/s/ Robert Arnot
-------------------------------
ROBERT ARNOT

/s/ Gerald Lear
-------------------------------
GERALD LEAR

/s/ Eugene Wielepski
-------------------------------
EUGENE WIELEPSKI

/s/ Gary Brashers
-------------------------------
GARY BRASHERS

/s/ Stanley Keller
-------------------------------
STANLEY KELLER


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