We have theoretically and experimentally studied how a Mach-Zehnder interferometer with an additional mirror transforms a light beam composed of the second lowest transverse modes,
HG10, HG01, LG01, and ${\mathrm{LG}}_{0\ensuremath{-}1}$ (HG denotes Hermite-Gaussian mode; LG denotes Laguerre-Gaussian mode). In certain conditions, the interferometer divides the incident beam into the
HG10 and
HG01 components as a transverse-mode beam splitter. We propose a practical device involving the two interferometers for quantum cryptography, in which a photon carries two bits corresponding to the polarization and the transverse mode.