EXHIBIT 4.1 THIRD AMENDMENT THIRD AMENDMENT, dated as of February 28, 1997 (this "Amendment"), to the Amended and Restated Credit Agreement, dated as of October 7, 1994 (as amended, supplemented or otherwise modified from time to time, the "Credit Agreement"), among LANDSTAR SYSTEM HOLDINGS, INC., a Delaware corporation (the "Borrower"), LANDSTAR SYSTEM, INC., a Delaware corporation (the "Parent"), the lenders parties thereto (the "Lenders") and THE CHASE MANHATTAN BANK, a New York banking corporation, as agent (in such capacity, the "Agent"). W I T N E S S E T H: WHEREAS, the Borrower, the Parent, the Lenders and the Agent are parties to the Credit Agreement; and WHEREAS, the Borrower and the Parent have requested that the Lenders agree to amend certain provisions of the Credit Agreement and the Lenders are agreeable to such request upon the terms and subject to the conditions set forth herein; NOW, THEREFORE, in consideration of the premises and mutual agreements contained herein, and for other valuable consideration the receipt of which is hereby acknowledged, the Borrower, the Parent, the Lenders and the Agent hereby agree as follows: 1. Definitions. All terms defined in the Credit Agreement shall have such defined meanings when used herein unless otherwise defined herein. 2. Amendment of Subsection 1.1. Subsection 1.1 of the Credit Agreement is hereby amended by amending or adding definitions in alphabetical order therein such that the following definitions shall, in their entirety, be as follows: "Insurance Subsidiary": a wholly owned corporate Subsidiary of the Borrower organized under the insurance laws of the Cayman Islands for the purpose of engaging in the business of providing insurance to the Borrower, its Subsidiaries and/or independent contractors doing business with the Borrower and/or any of its Subsidiaries. "Permitted Insurance Company Investments": any investments (i) in Cash Equivalents, (ii) constituting loans and advances to the Borrower or any of its Subsidiaries and (iii) in obligations which, at the time the investment in question is made, are rated one, two or three by the Securities Valuation Office of the National Association of Insurance Commissioners. "Subsidiary Guarantors": the Subsidiaries of the Borrower listed on Schedule 1.1(b) hereto and the Insurance Subsidiary. 3. Amendment to Subsection 6.4. Subsection 6.4 of the Credit Agreement is hereby amended by inserting therein, immediately following the phrase "the same general type as now conducted by it", the following parenthetical clause: "(except that the Insurance Subsidiary shall be permitted to engage in the business of providing insurance to the Borrower, its Subsidiaries and/or independent contractors doing business with the Borrower and/or any of its Subsidiaries)". 4. Amendment of Subsection 7.10. Subsection 7.10 of the Credit Agreement is hereby amended by deleting paragraph (b) in its entirety and substituting in lieu thereof the following new paragraph (b): "(b) investments in Cash Equivalents and investments by the Insurance Subsidiary in Permitted Insurance Company Investments;" 5. Amendment to Subsection 7.16. Subsection 7.16 of the Credit Agreement is hereby amended by inserting therein, immediately following the phrase "subsection 7.10(k)", the following: "; provided, further, that the Insurance Subsidiary shall be permitted to engage in the business of providing insurance to the Borrower, its Subsidiaries and/or independent contractors doing business with the Borrower and/or any of its Subsidiaries provided that, in the case of insurance for independent contractors, the premiums charged by the Insurance Subsidiary in connection therewith are consistent in all material respects with those prevailing in the industry for similar risks (based on the good faith judgment of the Insurance Subsidiary)". 6. Amendment to Subsection 7.17. Subsection 7.17 of the Credit Agreement is hereby amended by inserting therein, immediately following the phrase "equal to $5,000,000", the following: "; provided, further, that the Borrower shall be permitted to form the Insurance Subsidiary". 7. Amendment to Schedule 1.1(b). Schedule 1.1(b) to the Credit Agreement is hereby amended by deleting Schedule 1.1(b) in its entirety and substituting in lieu thereof Schedule 1.1(b) attached hereto. 8. Representations; No Default. On and as of the date hereof, and after giving effect to this Amendment, the Borrower confirms, reaffirms and restates that the representations and warranties set forth in Section 4 of the Credit Agreement are true and correct in all material respects, provided that the references to the Credit Agreement therein shall be deemed to be references to this Amendment and to the Credit Agreement as amended by this Amendment. 9. Conditions to Effectiveness. This Amendment shall become effective on the date on which the Agent shall have received each of the following: (a) counterparts of this Amendment, duly executed and delivered by a duly authorized officer of each of the Borrower, the Parent, each Guarantor which is a party to the Subsidiaries Guarantee and the Required Lenders; (b) a supplement to the Subsidiaries Guarantee, in substantially the form attached to the Subsidiaries Guarantee as Exhibit A thereto, executed and delivered by a duly authorized officer of the Insurance Subsidiary; and (c) an opinion of counsel to the Insurance Subsidiary, in form and substance satisfactory to the Agent, with respect to the documents delivered pursuant to clause (b) above. 10. Limited Effect. Except as expressly amended herein, the Credit Agreement shall continue to be, and shall remain, in full force and effect. This Amendment shall not be deemed to be a waiver of, or consent to, or a modification or amendment of, any other term or condition of the Credit Agreement or to prejudice any other right or rights which the Lenders may now have or may have in the future under or in connection with the Credit Agreement or any of the instruments or agreements referred to therein, as the same may be amended from time to time. 11. Costs and Expenses. The Borrower agrees to pay or reimburse the Agent for all its reasonable and customary out-of-pocket costs and expenses incurred in connection with this Amendment, including, without limitation, the reasonable fees and disbursements of its counsel. 12. Counterparts. This Amendment may be executed by one or more of the parties hereto in any number of separate counterparts, and all of said counterparts taken together shall be deemed to constitute one and the same instrument. 13. GOVERNING LAW. THIS AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK. IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed and delivered by their respective duly authorized officers as of the date first above written. LANDSTAR SYSTEM HOLDINGS, INC. By: Robert C. LaRose Title: Vice President Finance and Treasurer LANDSTAR SYSTEM, INC. By: Robert C. LaRose Title: Vice President Finance and Treasurer THE CHASE MANHATTAN BANK, as Agent and as a Lender By: Rosemary Bradley Title: Vice President ABN AMRO BANK N.V. By: Nancy W. Lanzoni Title: Group Vice President By: Thomas T. Rogers Title: Assistant Vice President AMSOUTH BANK OF ALABAMA By: John J. Hooker Title: Commercial Banking Officer THE BANK OF NEW YORK By: Ken Sneider Title: Vice President BARNETT BANK OF JACKSONVILLE, N.A. By: Pamela Fitch Title: Vice President CORESTATES BANK, N.A. By: Verna R. Prentice Title: Vice President THE FIRST NATIONAL BANK OF BOSTON By: Michael J. Blake Title: Director FLEET BANK, NATIONAL ASSOCIATION By: John V. Raliegh Title: Vice President THE LONG-TERM CREDIT BANK OF JAPAN, LIMITED, NEW YORK BRANCH By: Nobru Kubota Title: Deputy General Manager NATIONSBANK N.A. (CAROLINAS) By: Thomas J. Kane Title: Vice President PNC BANK, NATIONAL ASSOCIATION By: Sarah McClintock Title: Vice President FIRST UNION NATIONAL BANK OF NORTH CAROLINA By: Rey Giallongo, Jr. Title: Senior Vice President The undersigned Guarantors do hereby consent and agree to the execution and delivery by the Borrower and the Parent of the foregoing Amendment: LANDSTAR GEMINI, INC. (f.k.a. GEMINI TRANSPORTATION SERVICES, INC.) LANDSTAR EXPEDITED, INC. LANDSTAR GEMINI ACQUISITION LANDSTAR CORPORATE SERVICES, INC. LANDSTAR RANGER, INC. (f.k.a. RANGER TRANSPORTATION,INC.) LANDSTAR LIGON, INC. (f.k.a. LIGON NATIONWIDE, INC.) LANDSTAR POOLE, INC. (f.k.a. POOLE TRUCK LINE, INC.) RISK MANAGEMENT CLAIM SERVICES, INC. LANDSTAR LOGISTICS, INC. (f.k.a. LANDSTAR TRANSPORTATION SERVICE, INC.) LANDSTAR EXPRESS AMERICA, INC. LANDSTAR T.L.C., INC. LANDSTAR INWAY, INC. (f.k.a. INDEPENDENT FREIGHTWAY, INC.) By: Robert C. LaRose Title: Vice President Schedule 1.1(b) Subsidiary Guarantors Landstar Gemini, Inc. (f.k.a. Gemini Transportation Services, Inc.) Landstar Expedited, Inc. Landstar Gemini Acquisition Landstar Corporate Services, Inc. Landstar Ranger, Inc. (f.k.a. Ranger Transportation, Inc.) Landstar Ligon, Inc. (f.k.a. Ligon Nationwide, Inc.) Landstar Poole, Inc. (f.k.a. Poole Truck Line, Inc.) Risk Management Claim Services, Inc. Landstar Logistics, Inc. (f.k.a. Landstar Transportation Service, Inc.) Landstar Express America, Inc. Landstar T.L.C., Inc. Landstar Inway, Inc. (f.k.a. Independent Freightway, Inc.)