EMPLOYMENT AGREEMENT

        This agreement, effective as of July 1, 2003 (the “Agreement”) is made
by and between MEDICAL TECHNOLOGY SYSTEMS, INC., a Delaware corporation (the
“Company”), and MICHAEL P. CONROY, a resident of the State of Florida (the
“Executive”).

BACKGROUND

        The Company desires to continue to obtain the benefit of services by the
Executive, and the Executive desires to continue to render services to the
Company.

        The Compensation Committee of the Board of Directors of the Company (the
“Board”) has determined that it is in the Company’s best interest and that of
its stockholders to recognize the substantial contribution that the Executive
has made and is expected to make in the future to the Company’s business and to
continue to retain his services in the future.

        Accordingly, in consideration of the mutual covenants and
representations contained set forth below, the Company and the Executive agree
as follows:

TERMS

1.   Employment

  a. The Executive agrees to accept employment with the Company or one or more
of the Company’s subsidiary corporations to render the services specified in
this Agreement upon the terms and conditions and for the compensation provided
in this Agreement. All compensation paid to the Executive by the Company or any
subsidiary of the Company, and all benefits and perquisites received by the
Executive from the Company or any of its subsidiaries, will be aggregated in
determining whether the Executive has received the compensation and benefits
provided for herein.

  b. Term. The term (the “Term”) of this contract shall commence on July 1,
2003, and shall continue without interruption until March 31, 2006.

2.   Duties.

  a. General Duties. The Executive shall serve as Vice President and Chief
Financial Officer of the Company and shall continue to serve in those positions,
with duties and responsibilities that are customary for such executives.

  b. Full Time Employment. During the term of this Agreement and excluding any
periods of vacation, family or sick leave or holidays to which the Executive is
entitled, the Executive shall devote his full business time and energy to the
business, affairs and interests of the Company and its subsidiaries, and matters
related thereto, and shall use his reasonable commercial efforts and ability to
promote the interests of the Company and its subsidiaries. The Executive will
diligently endeavor to promote the business, affairs and interests of the
Company and its subsidiaries and perform services contemplated by this Agreement
in accordance with the policies established by the Board from time to time.

--------------------------------------------------------------------------------

  c. Certain Permissible Activities. The Executive may serve as a director or in
any other capacity of any business enterprise, including an enterprise whose
activities may involve or relate to the business of the Company or any of its
subsidiaries but only if such service is expressly approved by the Company in
writing. The Executive may (i) make and manage personal business investments of
his choice, (ii) teach at educational institutions and deliver lectures, and
(iii) serve in any capacity with any civic, educational or charitable
organization, or any governmental entity or trade association, in each such case
without seeking or obtaining approval by the Company so long as such activities
and service do not materially interfere or conflict with the performance of his
duties hereunder. It is agreed that to the extent that the Company shall have
approved any service of the Executive pursuant to the first sentence of this
Section 3(c) prior to a Change in Control Date (as defined in Section 7 below),
or to the extent that the Executive may have engaged in activities pursuant to
the second sentence of this Section 3(c) prior to such Change in Control Date,
the continued conduct of such activities or the conduct of activities during the
thirty-six months subsequent to such Change in Control Date shall be permissible
and not in violation of any provisions of this Agreement and such Company
approval may not be revoked or limited in any material respect during the
thirty-six months following such Change in Control Date.

3.   Compensation and Expenses.

  a. Base Salary. For the services of the Executive to be rendered under this
Agreement, the Company will pay the Executive an annual base salary (the “Base
Salary”) as follows:

  (i) For the period July 1, 2003 through March 31, 2004, the amount of
$160,855;

  (ii) For the period April 1, 2004 through March 31, 2005, the amount of
$167,289; and

  (iii) For the period April 1, 2005 through March 31, 2006, the amount of
$173,981.

        Provided, however, that such Base Salary shall be pro rated accordingly
over the time period that the Executive performs services under this Agreement
in any calendar year during which this Agreement shall terminate before March
31st of such year.

        The Company shall pay the Executive his Base Salary in equal
installments no less than semi-monthly.

  b. Base Salary Adjustment. The Base Salary may not be decreased hereunder
during the term of this Agreement, but may be increased upon review by and
within the sole discretion of the Board.

  c. Bonus. Executive shall be entitled to receive bonus compensation in
accordance with Exhibits “A”, “B”, “C” and “D”. Exhibit A may be amended
annually in accordance with the Company’s bonus program.

2.

--------------------------------------------------------------------------------

  d. Expenses. In addition to any compensation received pursuant to Section 3,
the Company will reimburse or advance funds to the Executive for all reasonable,
ordinary and necessary travel, educational, seminar, trade shows, entertainment,
and miscellaneous expenses incurred in connection with the performance of his
duties under this Agreement, provided that the Executive properly accounts for
such expenses to the Company in accordance with the Company’s practices. Such
reimbursement shall include travel, lodging and food costs for Executive’s
immediate family to the extent they accompany Executive on business related
travel.

  e. Subsidiary and Affiliate Payments. In recognition of the fact that in the
course of the performance of his duties hereunder the Executive may provide
substantial benefits to the Company’s subsidiaries or affiliated companies, the
Executive and the Company may at any time and from time to time agree that all
or any portion of the compensation due the Executive under this Agreement may be
paid directly to the Executive by one or more of the Company’s subsidiaries or
affiliated companies.

4.   Benefits

  a. Vacation. For each year during the Term during which the Executive is
employed, the Executive shall be entitled to 20 vacation days (which shall
accrue and vest, except set forth below on each April 1st) without loss of
compensation or other benefits to which he is entitled under this Agreement.

    If the Executive is unable to take all of his vacation days during a year
for which he becomes vested, then the Executive, at his sole option, may elect
(a) to carry over any unused vacation to the next calendar year to be used
solely in that next year or (b) to receive an appropriate pro rata portion of
his Base Salary corresponding to the year in which the vacation days vested.

    The Executive shall take his vacation at such times as the Executive may
select and the affairs of the Company or any of its subsidiaries or affiliates
may permit.

  b. Employee Benefit Programs. In addition to the compensation to which the
Executive is entitled pursuant to the provisions of Section 3 of this Agreement,
during the Term, the Executive will be entitled to participate in any stock
option plan, stock purchase plan, pension or retirement plan, insurance or other
employee benefit plan that is maintained at that time by the Company for its
employees, including programs of life, disability, basic medical and dental,
supplemental medical and dental insurance.

    Notwithstanding any provision of this Agreement to the contrary, the Company
shall not be obligated to provide the Executive with any of the benefits
contained in this Section 4 (b) if the Executive, for any reason, is or becomes
uninsurable with respect to coverage relating to any such benefit(s).

  c. Automobile Allowance. During the term of this Agreement, the Company shall
pay Executive an additional $750.00 per month as an automobile allowance to be
applied to any automobile expense incurred by Executive.

  d. Financial and Tax Planning. During the term of this Agreement, and as
additional consideration hereunder, Executive shall be reimbursed for personal
financial planning, tax preparation services and accounting and legal fees
related to such financial and tax planning, up to a maximum of $2,000 per year.

3.

--------------------------------------------------------------------------------

5.   Termination

  a. Termination for Cause. The Company may terminate the Executive’s employment
pursuant to this Agreement at any time for cause upon written notice. Such
termination will become effective upon the giving of such notice. Upon any such
termination for cause, the Executive shall have no right to compensation, bonus
or reimbursement under Section 3 or to participate in any employee benefit
programs or other benefits to which he may be entitled under Section 4 for any
period subsequent to the effective date of termination. For purposes of this
Agreement, the term “cause” shall mean:

  (i) the Executive’s conviction of a felony and all appeals with respect
thereto have been extinguished or abandoned by the Executive;

  (ii) the Executive’s conviction of misappropriating assets or otherwise
defrauding the Company or any of its subsidiaries or affiliates;

  (iii) a material breach by the Executive of any provision of this Agreement,
after thirty (30) days written notice, and thirty days to materially cure such
breach.

  b. Death or Disability. This Agreement and the Company’s obligations under
this Agreement will terminate upon the death or disability of the Executive. For
purposes of this Section 5(b), “disability” shall mean that for a period of six
months in any twelve-month period the Executive is incapable of substantially
fulfilling the duties set forth in this Agreement because of physical, mental or
emotional incapacity resulting from injury, sickness or disease as determined by
an independent physician mutually acceptable to the Company and the Executive.
Upon any such termination upon death or disability, the Company will pay the
Executive or his legal representative, as the case may be, his Base Salary
(which may include any accrued, but unused vacation time) at such time pursuant
to Section 3(a) through the date of such termination of employment (or, if
terminated as a result of a disability, until the date upon which the disability
policy maintained pursuant to Section 4 (b) (ii) begins payment of benefits)
plus any other compensation that may be due and unpaid. In the event of death or
disability of the Executive, any obligations that the Executive may owe the
Company for repayment of loans or other amounts shall be forgiven.

  c. Voluntary Termination. Prior to the termination of this Agreement, the
Executive may, on sixty days prior written notice to the Company, at any time
terminate his employment. Upon any such termination, the Company shall pay the
Executive his Base Salary at such time pursuant to Section 3(a) through the date
of such termination of employment (which shall include any vested and accrued,
but unused vacation time).

  d. Additional Severance Upon Triggering Event. Upon any event, which (a)
causes a change of control as defined in Section 7.a.; and (b) the Executive is
terminated without cause (i.e., any reason other than death, disability or
termination for cause), ([a] and [b] referred to as a Triggering Event), the
following shall occur immediately and without further notice or action by
Executive:

  (i) All of the Company’s obligations under this Agreement to Executive shall
accelerate and become immediately performable and due and payable except for
salary for the balance of the term of this agreement, which shall become due and
payable only to the extent set forth in Section (d)(ii).

4.

--------------------------------------------------------------------------------

  (ii) In addition to any and all other compensation to Executive under this
Agreement, the Company shall pay to Executive an amount equal to 2.99 times the
Executive’s base salary for the fiscal year of the Company following the fiscal
year in which the triggering event occurs;

  (iii) At his option, notwithstanding the payment of the above items, Executive
may terminate his obligations to the Company under this Agreement, including any
loans payable to the Company; and

  (iv) The Company shall immediately assign to Executive any life insurance
policy insuring Executive’s life. The Company shall, prior to the assignment,
satisfy the balance of all premiums owed on the assigned policies and shall
insure that the designated beneficiary is not changed.

  (v) If any of the above benefits are deemed to violate Internal Revenue Code
280G and related regulations thereunder, as amended, then any excess benefits
will be paid during the next tax year if permitted by applicable law.

6.   Restrictive Covenants

  a. Competition with the Companies. The Executive covenants and agrees that,
during the Term of this Agreement, the Executive will not, without the prior
written consent of Company, directly or indirectly (whether as a sole
proprietor, partner, stockholder, director, officer, employee or in any other
capacity as principal or agent) , compete with the Company. Notwithstanding this
restriction, Executive shall be entitled to invest in stock of other competing
public companies so long as his ownership is less than 5% of such company’s
outstanding shares.

  b. Disclosure of Confidential Information. The Executive acknowledges that
during his employment he will gain and have access to confidential information
regarding the Company and its subsidiaries and affiliates. The Executive
acknowledges that such confidential information as acquired and used by the
Company or any of its subsidiaries or affiliates constitutes a special, valuable
and unique asset in which the Company or any of its subsidiaries or affiliates,
as the case may be, hold a legitimate business interest. All records, files,
materials and confidential informant (the “Trade Secrets”) obtained by the
Executive in the course of his employment with the Company shall be hereby
deemed confidential and proprietary and shall remain the exclusive property of
the Company or any of its subsidiaries or affiliates, as the case may be. The
Executive will not, except in connection with and as required by his performance
of his duties under this Agreement, for any reason use for his own benefit or
the benefit of any person or entity with which he may be associated, disclose
any Trade Secrets to any person, firm, corporation, association or other entity
for any reason or purpose whatsoever without the prior written consent of the
Board of Directors of the Companies, unless such information previously shall
have become public knowledge through no action by or omission of the Executive.

  c. Subversion, Disruption or Interference. At no time during the term hereof
shall Executive, directly or indirectly, interfere, induce, influence, combine
or conspire with, or attempt to induce, influence, combine or conspire with, any
of the employees or sponsors of, or consultants to, the Company to terminate
their relationship with or compete or ally against the Company or any of its
subsidiaries or affiliates of the Company in the business in which the Company
or any one of its subsidiaries or affiliates is presently engaged.

5.

--------------------------------------------------------------------------------

  d. Enforcement of Restrictions. The parties hereby agree that any violation by
Executive of the covenants contained in this Section 6 will cause irreparable
damage to the Company or any of its subsidiaries and affiliates and may, as a
matter of course, be restrained by process issued out of a court of competent
jurisdiction, in addition to any other remedies provided by law.

7.   Change of Control

  a. For the purposes of this Agreement, a “Change of Control” shall be deemed
to have taken place if any person, other than the JADE Partnership or the Siegel
Family Revocable Trust, including a “group” as defined in Section 13(d)(3) of
the Securities Exchange Act of 1934, as amended, becomes the owner or beneficial
owner of the Company’s securities, after the date of this Agreement, having more
than 50% of the combined voting power of the then outstanding securities of the
Company that may be cast for the election of directors of the Company (other
than as a result of an issuance of securities specifically approved by the
Company and specifically excluded from the provisions of this Section 7 by
subsequent written agreement of the Executive); provided, however, that a Change
of Control shall not be deemed to have occurred if the person who becomes the
owner of more than 50% of the combined voting power of the Company is Todd E.
Siegel or an entity (or entities) controlled by Todd E. Siegel.

  b. The Company and Executive agree that, if Executive is in the employ of the
Company on the date on which a Change of Control occurs (the “Change of Control
Date”) , the Company will continue to employ the Executive and the Executive
will remain in the employ of the Company for the period commencing on the Change
of Control Date and ending on the expiration of the Term, to exercise such
authority and perform such executive duties as are commensurate with the
authority being exercised and duties being performed by the Executive
immediately prior to the Change of Control Date. If after a Change of Control,
the Executive is requested, and, in his sole and absolute discretion, consents
to change his principal business location outside of Pinellas or Hillsborough
Counties, Florida, the Company will reimburse the Executive for his relocation
expenses, including without limitation, moving expenses, temporary living and
travel expenses for a time while arranging to move his residence to the changed
location, closing costs, if any, associated with the sale of his existing
residence and the purchase of a replacement residence at the changed location,
plus an additional amount representing a gross-up of any state or federal taxes
payable by Executive as a result of any such reimbursements. If the Executive
shall not consent to change his business location, the Executive may continue to
provide the services required of him under this Agreement in Pinellas County,
Florida and the Company shall continue to maintain an office for the Executive
at that location similar to the Company’s office prior to the Change of Control
Date.

  c. During the remaining Term after the Change of Control Date, the Company
will (i) continue to honor the terms of this Agreement, including as to Base
Salary and other compensation set forth in Section 3, and (ii) continue employee
benefits as set forth in Section 4 at levels in effect on the Change of Control
Date (but subject to such reductions as may be required to maintain such plans
in compliance with applicable federal law regulating employee benefits).

6.

--------------------------------------------------------------------------------

  d. If during the remaining Term on or after the Change of Control Date (i) the
Executive’s employment is terminated by the Company other than for cause (as
defined in Section 5), or (ii) there shall have occurred a material reduction in
Executive’s compensation or employment related benefits, or a material change in
Executive’s status, working conditions or management responsibilities, or a
material change in the business objectives or policies of the Company and the
Executive voluntarily terminates employment within sixty days of any such
occurrence, or the last in a series of occurrences, then the Executive shall be
entitled to receive, subject to the provisions of subparagraphs (e) and (f)
below, a lump-sum payment equal to 299% of Executive’s current Base Salary in
addition to any other compensation that may be due and owing to the Executive
under Section 3 and Section 4.

  e. The amounts payable to the Executive under any other compensation
arrangement maintained by the Company which became payable, after payment of the
lump-sum provided for in paragraph (d), upon or as a result of the exercise by
Executive of rights which are contingent on a Change of Control (and would be
considered a “parachute payment” under Internal Revenue Code 280G and
regulations thereunder), shall be reduced to the extent necessary so that such
amounts, when added to such lump-sum, do not exceed 299% of the Executive’s Base
Salary (as computed in accordance with provisions of the Internal Revenue Code
of 1986, as amended and any regulations promulgated thereunder) for determining
whether the Executive has received an excess parachute payment. Any such excess
amount shall be deferred and paid in the next tax year.

  f. In the event of a proposed Change in Control, the Company will allow the
Executive to participate in all meetings and related negotiations related.

8.   Assignability. The rights and obligations of the Company under this
Agreement shall inure to the benefit of and be binding upon the successors and
assigns of the Company, provided that such successor or assign shall acquire all
or substantially all of the assets and business of the Company. The Executive’s
rights and obligations under this Agreement may not be assigned or alienated and
any attempt to do so by the Executive will be void and constitute a material
breach hereunder.

9.   Indemnification. The Company and the Executive acknowledge that the
Executive’s service as an officer of the Company exposes the Executive to risks
of personal liability arising from, and pertaining to, the Executive’s
participation in the management of the Company. The Company shall defend,
indemnify and hold harmless the Executive from any actual cost, loss, damages,
attorneys fees, or liability suffered or incurred by the Executive arising out
of, or connected to, the Executive’s service as an officer of the Company or any
of its current, former, or future subsidiaries to the fullest extent allowed by
law. The Company will not have any obligation to the Executive under this
section for any loss suffered if the Executive voluntarily pays, settles,
compromises, confesses judgment for, or admits liability with respect to without
the approval of the Company. Within thirty days after the Executive receives
notice of any claim or action which may give rise to the application of this
section, the Executive shall notify the Company in writing of the claim or
action. The Executive’s failure to timely notify the Company of the claim or
action will relieve the Company from any obligation to the Executive under this
section.

6.

--------------------------------------------------------------------------------

10.   Severability. If any provision of this Agreement otherwise is deemed to be
invalid or unenforceable or is prohibited by the laws of the state or
jurisdiction where it is to be performed, this Agreement shall be considered
divisible as to such provision and such provision shall be inoperative in such
state or jurisdiction and shall not be part of the consideration moving from
either of the parties to the other. The remaining provisions of this Agreement
shall be valid and binding and of like effect as though such provision were not
included.

11.   Prior Employment Agreements. The Executive represents that he has not
executed any agreement with any previous Company which may impose restrictions
on his employment with the Company.

12.   Notice. Notices given pursuant to the provisions of this Agreement shall
be sent by certified mail, postage prepaid, or by overnight courier, or
telecopier to the following addresses:

  If to the Company:

  Medical Technology Systems, Inc.
12920-M Automobile Blvd.
Clearwater, FL  34622

  If to the Executive:

  Michael P. Conroy
20 Stanton Circle
Oldsmar, FL  34677

        Either party may, from time to time, designate any other address to
which any such notice to it or him shall be sent. Any such notice shall be
deemed to have been delivered upon the earlier of actual receipt or four days
after deposit in the mail, if by certified mail.

13.   Miscellaneous.

  a. Governing Law. This Agreement shall be governed by and construed and
enforced in accordance with the laws Florida without giving effect to the
conflict of laws rules thereof.

  b. Waiver/Amendment. The waiver by any party to this Agreement of a breach of
any provision hereof by any other party shall not be construed as a waiver of
any subsequent breach by any party. No provision of this Agreement may be
terminated, amended, supplemented, waived or modified other than by an
instrument in writing signed by the party against whom the enforcement of the
termination, amendment, supplement, waiver or modification is sought.

  c. Attorney’s Fees. In the event any action is commenced to enforce any
provision of this agreement, the prevailing party shall be entitled to
reasonable attorneys fees, costs and expenses.

8.

--------------------------------------------------------------------------------

  d. Entire Agreement. This Agreement, and the attached Exhibits A and B,
comprise the entire agreement between the Executive and the Company. This
Agreement supersedes all prior agreements and understandings between the parties
with respect to the subject matter hereof and may not be modified or terminated
orally. No modification, termination, or attempted waiver shall be valid unless
it is in writing and is executed by each of the parties.

  e. Counterparts. This Agreement may be executed in counterparts, all of which
shall constitute one and the same instrument.

        IN WITNESS WHEREOF, the Company and the Executive have executed this
Agreement as of the day and year first above written.

  WITNESSES:     EXECUTIVE            

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

 

--------------------------------------------------------------------------------

        MICHAEL P. CONROY    Print Name:

--------------------------------------------------------------------------------

               

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

                Print Name:

--------------------------------------------------------------------------------

     

        COMPANY                    MEDICAL TECHNOLOGY SYSTEMS, INC.,    

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

  a Delaware corporation              Print Name:

--------------------------------------------------------------------------------

  By:

--------------------------------------------------------------------------------

            

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

  Print Name:

--------------------------------------------------------------------------------

             Print Name:

--------------------------------------------------------------------------------

  As:

--------------------------------------------------------------------------------

 

9.

--------------------------------------------------------------------------------

EXHIBIT A

ANNUAL BONUS

The executive shall receive an annual bonus determined as follows:

1. Annual base salary times 50% (“Bonus Base”).

2. Bonus Base times * % of Bonus Base as provide below.

  • The bonus compensation schedule shall be adjusted for each fiscal year no
later than the first day of the new fiscal year.

  • The annual bonus shall be payable no later than June 30th following the
fiscal year ending March 31, 2003. The Company may at it option, elect to make
payments prior to June 30 of any year.

*As provided on attached schedule.

--------------------------------------------------------------------------------

EXHIBIT A

Annual Bonus

FISCAL YEAR 2004 - BONUS COMPENSATION SCHEUDLE

  EBITDA $   % OF EBITDA   % OF BONUS BASE  

--------------------------------------------------------------------------------

 

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

    $7,381,352   120% and above   140%      $7,073,796   115% - 119.9%   130%  
   $6,766,240   110% - 114.9%   120%      $6,458,683   105% - 109.9%   110%  
Budget EBITDA  $6,151,127   100% - 104.9%   100% *    $6,089,616   99% - 99.9%  
98%      $6,028,104   98%   95%      $5,966,593   97%   80%      $5,905,082  
96%   70%      $5,843,571   95%   60%      $5,782,059   94%   50%     
$5,720,548   93%   40%      $5,659,037   92%   30%      $5,600,000   91%   25%  

--------------------------------------------------------------------------------

EXHIBIT B

LONG-TERM INCENTIVE BONUS

1. Each executive will earn a long-term incentive bonus based upon the average
return on capital achieved by the company over a three-year time period.

2. Return on capital is the percentage derived by dividing the net income
available to common shareholders for each fiscal year by the total long-term
capital invested in the company at the end of each fiscal year.

3. Long-term capital is the sum of (1) stockholders equity; and (2) total
long-term debt, minus the amount borrowed on the revolving line of credit.

4. The amount of the long-term incentive bonus is determined based upon the
following formula.

  (Annual Salary x 30%) x Percentage of Bonus Earned

5. Percentage of Bonus Earned is determined based upon the average return on
capital achieved as follows:

Average ROC Achieved   Percentage of Bonue Earned

--------------------------------------------------------------------------------

 

--------------------------------------------------------------------------------

16.0%-20.0%                         25.0% 21.0%   50.0% 21.6%   55.0% 22.2%  
60.0% 22.8%   65.0% 23.4%   70.0% 24.0%   75.0% 24.6%   80.0% 25.2%   85.0%
25.8%   90.0% 26.4%   95.0%

--------------------------------------------------------------------------------

 

--------------------------------------------------------------------------------

27.0%   100.0%     If 3-Year Average ROC Exceeds Target ROC     27.6%   105.0%
28.2%   110.0% 28.8%   115.0% 29.4%   120.0% 30.0%   125.0% 30.6%   130.0% 31.2%
  135.0% 31.8%   140.0% 32.4%   145.0% 33.0%   150.0%

6. The average ROC is determined at the end of each fiscal year and paid to the
executive as follows:

  a. In the year ending March 31, 2004, one-third (1/3) of the LTIB earned shall
be paid no later than June 30, 2004; one-third (1/3) no later than June 30,
2005; and one-third (1/3) no later than June 30, 2006.

  b. In the fiscal year ending March 31, 2005, one-half (1/2) on June 30, 2005
and one-half on June 30, 2006.

  c. In the fiscal year ending March 31, 2006, on hundred per cent (100%) on
June 30, 2006.

--------------------------------------------------------------------------------

EXHIBIT C

ONE-TIME BONUS

        The executive shall receive a one-time payment of sixty-five thousand
dollars ($65,000) upon the signing of the Agreement.

--------------------------------------------------------------------------------

EXHIBIT D

COMMON STOCK BONUS

        The executive shall receive fifty thousand (50,000) shares of
unregistered common stock of the Company on June 30, 2006 provided the executive
has remained an employee of the Company up to and including June 30, 2006.