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[LOGO OF PLAYBOY]                      PLAYBOY
                                       POLICY

DATE:            June 11, 1993         ISSUED BY:   Howard Shapiro
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DATE EFFECTIVE:  July 1, 1993          CODE:        207-2 (replaces 1/1/92)
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SUBJECT:         EXECUTIVE CAR LEASE PROGRAM
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SCOPE:           Covers all U.S. locations of Playboy Enterprises, Inc. and its
                 U.S. departments, divisions and subsidiaries (collectively
                 "Playboy").

                 This program does not cover Playboy's ownership of service
                 vehicles or autos leased for the use of non-executive level
                 employees for a specific, operational and repetitive purpose
                 (e.g., sales force cars for sales calls). Such uses are to be
                 justified and approved under established procedures, including
                 the annual Business Plan process. (Acquisition and assignment
                 of autos for such uses outside of this Program are to be
                 administered by, and subject to the approval of, the Exec. Vice
                 President, Law and Administration.)

POLICY:          It is the policy of Playboy that key executives be expected and
                 encouraged to drive late model automobiles for the following
                 purposes:

                           i)   the convenience of Playboy in the executives'
                      conduct of company business in and around their base
                      locations;
                           ii)  attracting and retaining highly qualified key
                      executives.

PROGRAM:         The Corporation shall provide a leased car or cash allowance
                 for all U.S. based executives at or above a salary grade E-5.

                 Should the executive opt for a leased car, he/she shall choose
                 the make, model and options (see "Administration of Program"
                 attached), and Playboy shall make the lease payments directly
                 to the auto leasing company.

                 Should the executive opt for a cash allowance, the allowance
                 will be received via the bi-weekly paycheck subject to all
                 regular payroll deductions.


 
EXECUTIVE CAR LEASE PROGRAM
PAGE TWO



          The standard Gross Allowance shall be $770 per month for Senior
          Executives (Salary Grade E3 and above) and $550 per month for all
          other U.S. based executives at or above salary grade E-5 ("Non-Senior
          Executives").

          The executive's lease may be more or less than the Standard Gross
          Allowance. If his/her monthly lease payment is greater, the excess
          amount will be deducted from the last paycheck of each month, via the
          payroll system.

TAX RESPON-
SIBILITY: The lesser of the Standard Gross Allowance or the actual
          cost of the car lease will be included in the participant's
          compensation as reported on his/her W-2 statement. Withholding of all
          applicable federal and state taxes will be made on a bi-weekly basis.

          Each participant will have the option of documenting and deducting the
          costs associated with the business use of the leased car on his/her
          personal tax return. IRS Form 2106 can be used for this purpose.
          Executives covered by the Program will not be entitled to any expense
          account reimbursement for mileage, maintenance or repairs, traffic
          violations or any other expenses not included in the actual lease and
          will not be entitled to reimbursement for non-business related parking
          or tolls.

PREVIOUS
PROGRAM:  This Program supercedes and replaces the executive Automobile Lease
          Policy dated June 6, 1977, reissued April 18, 1978, January 1, 1980,
          January 28, 1983, January 1, 1988, January 1, 1991 and January 1,
          1992.

ADMINIS-
TRATION:  The Exec. Vice President, Law and Administration shall have
          responsibility for administering this Program under the senior
          management supervision of the Chairman. The Exec. Vice President, Law
          and Administration shall issue procedures consistent with the Proqram
          for its effective administration.