July 6, 1995 Mr. John J. McDonough 717 Forest Avenue Lake Forest, Illinois 60045 Dear John: This letter will: (i) amend Section A, Paragraph 5 ("Section A,5") of the Letter Agreement dated February 8, 1995 between you and the Company; and, (ii) set forth the terms of a Sub-Sublease between you and the Company. Notwithstanding the present language of Section A,5, you will be entitled to use your current office in Lake Forest Illinois ("Lake Forest Office") at the Company's expense through December 31, 1995. You will, however, be responsible for the cost of the use of any secretarial services after September 30, 1995. Effective January 1, 1996 you agree to Sub-Sublease the Lake Forest Office on a year-to-year basis in accordance with all other terms and conditions of the Sublease dated December 9, 1993 between Packaging Resources Inc. ("Sublessor") and DENTSPLY International Inc. ("Sublessee"), a copy of which is attached hereto as Exhibit I. As Sub-Sublessee, you agree to perform all of the obligations of the Sublessee under the terms of the Sublease set forth in Exhibit I. The Sub-Sublease shall automatically renew for the calendar year 1997 if you do not give Dentsply written notice of termination on or before July 1, 1996. If this letter correctly sets forth our agreement, please sign four copies of this letter and obtain the written consents of the Master Landlord and the Sublessor to the Sub-Sublease granted to you hereunder. Very truly yours, DENTSPLY International Inc. By: ______________________________ Chairman of the Board and Chief Executive Officer Accepted this 6th day of July, 1995. - --------------------------------- John J. McDonough 103 APPROVED LANDLORD: SHOWGATE PARTNERS By: ---------------------------------- Market Square Limited Partnership, its managing general partner By: ---------------------------------- Broadacre Market Square, Inc., its general partner By: ---------------------------------- President SUBLESSOR: PACKAGING RESOURCES, INCORPORATED By: ---------------------------------- Vice President 104