2ND Amendment To Hourly Bargaining Unit Employees

SECOND AMENDMENT TO THE
QUANEX CORPORATION HOURLY BARGAINING
UNIT EMPLOYEES SAVINGS PLAN


THIS AGREEMENT by Quanex Corporation (the "Sponsor"),


WITNESSETH:


WHEREAS, the Sponsor maintains a qualified plan entitled "Quanex Corporation Hourly Bargaining Unit Employees Savings Plan" (the "Plan"); and


WHEREAS, the Sponsor retained the right in Section 10.1 of the Plan to amend the Plan from time to time;


NOW, THEREFORE, the Sponsor agrees that the Plan is hereby amended, effective as of February 1, 2000, to provide as follows:


(1) Section 1.16 of the Plan is hereby completely amended and restated to provide as follows:


1.16 "EMPLOYEE" means all persons who are ( ...