1                                                      Exhibit 10(a)
                                                       FORM 10-Q for the Quarter
                                                       Ended September 30, 1996

     Amendment to the 1995 Senior Executive Annual Incentive Plan

     Pursuant to resolutions adopted by the Board of Directors of AT&T Capital
Corporation (dated October 1, 1996), the 1995 Senior Executive Annual Incentive
Plan (the "Plan") is hereby amended effective as of the Effective Time of the
merger among AT&T Capital Corporation, AT&T Corp., Hercules Limited, and Antigua
Acquisition Corporation, contemplated by the Agreement and Plan of Merger, dated
as of June 5, 1996, among such entities:

     RESOLVED: that the AT&T Capital Corporation 1995 Senior Executive Annual
Incentive Plan (the "Plan") is hereby amended, as set forth below, effective as
of the Effective Time of the merger among AT&T Capital Corporation, AT&T Corp.,
Hercules Limited, and Antigua Acquisition Corporation, contemplated by the
Agreement and Plan of Merger, dated as of June 5, 1996, among such entities.

     Section 3(b) of the Plan is hereby amended by adding a new sentence at the
end thereof to read as follows:

"Notwithstanding anything to the contrary in this Section 3(b), each Executive
who is an Executive on the last day of the 1996 Plan Year shall be entitled to
an Award for the 1996 Plan Year that is not less than such Executive's Target
Award for the 1996 Plan Year."