<PAGE>

________________________________________________________________________________











                     EarthFirst Technologies, Incorporated





                          2001 EQUITY INCENTIVE PLAN













________________________________________________________________________________
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                     EarthFirst Technologies, Incorporated
                          2001 EQUITY INCENTIVE PLAN


EarthFirst Technologies, Incorporated hereby establishes this Plan to be called
the EarthFirst Technologies 2001 Equity Incentive Plan to attract, retain and
motivate employees of the Company, to encourage employees, directors and
independent contractors to acquire an equity interest in the Company, to make
monetary payments to certain employees based upon the value of the Company's
Stock and provide employees, directors and independent contractors with an
incentive to maximize the success of the Company and to further the interests of
the shareholders.


                            SECTION 1  DEFINITIONS

     1.1  Definitions.  Whenever used herein, the masculine pronoun shall be
          -----------
deemed to include the feminine, the singular to include the plural, unless the
context clearly indicates otherwise, and the following capitalized words and
phrases are used herein with the meaning thereafter ascribed:

          (a)   "Administrator" means the Board or such committee or individual
                 -------------
to whom the Board delegates authority.

          (b)   "Award" means any Stock Option, Stock Appreciation Right or
                 -----
Stock Award granted under the Plan.

          (c)   "Beneficiary" means the person or persons designated by a
                 -----------
Participant to exercise an Award in the event of the Participant's death while
employed by the Company, or in the absence of such designation, the executor or
administrator of the Participant's estate.

          (d)   "Board" means the Board of Directors of the Company.
                 -----

          (e)   "Cause" means conduct by the Participant amounting to (1) fraud
                 -----
or dishonesty against the Company, (2) willful misconduct, repeated refusal to
follow the reasonable directions of an individual or group authorized to give
such directions, or knowing violation of law in the course of performance of the
duties of Participant's employment with the Company, (3) repeated absences from
work without a reasonable excuse, (4) intoxication with alcohol or drugs while
on the Company's premises during regular business hours, (5) a conviction or
plea of guilty or nolo contendere to a felony or a crime involving dishonesty,
                  ---- ----------
or (6) a breach or violation of the terms of any employment or other agreement
to which Participant and the Company are parties.

          (f)   "Change in Control" shall be deemed to have occurred if (i) a
                 -----------------
tender offer shall be made and consummated of the ownership of 50% or more of
the outstanding voting securities of the Company, (ii) the Company shall be
merged or consolidated with another corporation and as a result of such merger
or consolidation less than 50% of the outstanding voting securities of the
surviving or resulting corporation shall be owned in the aggregate by the

                                      -1-
<PAGE>

former shareholders of the Company, other than affiliates (within the meaning of
the Securities Exchange Act of 1934) of any party to such merger or
consolidation, (iii) the Company shall sell substantially all of its assets to
another corporation which corporation is not wholly owned by the Company, or
(iv) a person, within the meaning of Section 3(a)(9) or of Section 13(d)(3) (as
in effect on the date hereof) of the Securities Exchange Act of 1934, shall
acquire 50% or more of the outstanding voting securities of the Company (whether
directly, indirectly, beneficially or of record). For purposes hereof, ownership
of voting securities shall take into account and shall include ownership as
determined by applying the provisions of Rule 13d-3(d)(1)(i) ( as in effect on
the date hereof) pursuant to the Securities Exchange Act of 1934.

          (g)   "Code" means the Internal Revenue Code of 1986, as amended.
                 ----

          (h)   "Company" means EarthFirst Technologies, Incorporated, a Florida
                 -------
corporation.

          (i)   "Disability" has the same meaning as provided in the long-term
                 ----------
disability plan maintained by the Company.  In the event of a dispute, the
determination of Disability shall be made by the Administrator.  If at any time
during the period that this Plan is in operation, the Company does not maintain
a long term disability plan, Disability shall mean a physical or mental
condition which, in the judgment of the Administrator, permanently prevents a
Participant from performing his usual duties for the Company, any Subsidiary or
affiliate, or such other position or job which the Company makes available to
him and for which the Participant is qualified by reason of his education,
training and experience.  In making its determination the Administrator may, but
is not required to, rely on advice of a physician competent in the area to which
such Disability relates. The Administrator may make the determination in its
sole discretion and any decision of the Administrator will be binding on all
parties.

          (j)   "Disposition" means any conveyance, sale, transfer, assignment,
                 -----------
pledge or hypothecation, whether outright or as security, inter vivos or
testamentary, with or without consideration, voluntary or involuntary.

          (k)   "Equity Ownership Agreement" means an agreement between the
                 --------------------------
Company and a Participant or other documentation evidencing an Award.

          (l)   "Expiration Date" means, the last date upon which an Award can
                 ---------------
be exercised.

          (m)   "Fair Market Value" means, for any particular date, (i) for any
                 -----------------
period during which the Stock shall be listed for trading on a national
securities exchange or the National Association of Securities Dealers Automated
Quotation System ("NASDAQ"), the closing price per share of Stock on such
exchange or the NASDAQ closing bid price as of the close of such trading day, or
(ii) the market price per share of Stock as determined in good faith by the
Board in the event (i) above shall not be applicable. If the Fair Market Value
is to be determined as of a day when the securities markets are not open, the
Fair Market Value on that day shall be the Fair Market Value on the next
succeeding day when the markets are open.

                                      -2-
<PAGE>

          (n)   "Incentive Stock Option" means an incentive stock option, as
                 ----------------------
defined in Code Section 422, and described in Plan Section 3.2.

          (o)   "Involuntary Termination" means a Termination of Employment but
                 -----------------------
does not include a Termination of Employment for Cause or a Voluntary
Resignation.

          (p)   "Non-Qualified Stock Option" means a stock option, other than an
                 --------------------------
option qualifying as an Incentive Stock Option, described in Plan Section 3.2.

          (q)   "Option" means a Non-Qualified Stock Option or an Incentive
                 ------
Stock Option.

          (r)   "Over 10% Owner" means an individual who at the time an
                 --------------
Incentive Stock Option is granted owns Stock possessing more than 10% of the
total combined voting power of the Company or one of its Parents or
Subsidiaries, determined by applying the attribution rules of Code Section
424(d).

          (s)   "Parent" means any corporation (other than the Company) in an
                 ------
unbroken chain of corporations ending with the Company if, with respect to
Incentive Stock Options, at the time of granting of the Option, each of the
corporations other than the Company owns stock possessing 50% or more of the
total combined voting power of all classes of stock in one of the other
corporations in the chain.

          (t)   "Participant" means an individual who receives an Award
                 -----------
hereunder.

          (u)   "Plan" means this EarthFirst Technologies, Incorporated 2001
                 ----
Equity Incentive Plan.

          (v)   "Retirement" means a Termination of Employment after attaining
                 ----------
the age of 65.

          (w)   "Stock" means the Company's common stock.
                 -----

          (x)   "Stock Appreciation Right" means a stock appreciation right
                 ------------------------
described in Plan Section 3.3.

          (y)   "Stock Award" means a stock award described in Plan Section 3.4.
                 -----------

          (z)   "Subsidiary" means any corporation (other than the Company) in
                 ----------
an unbroken chain of corporations beginning with the Company if, with respect to
Incentive Stock Options, at the time of the granting of the Option, each of the
corporations other than the last corporation in the unbroken chain owns stock
possession 50% or more of the total combined voting power of all classes of
stock in one of the other corporations in the chain.

          (aa)  "Termination of Affiliation" means the termination of a business
                 --------------------------
relationship, for any reason, between an advisor or consultant who is a
Participant and the

                                      -3-
<PAGE>

Company or its affiliates. A Termination of Affiliation shall be deemed to have
occurred as of the date written notice to that effect is received by the
Participant.

          (ab)  "Termination of Employment" means the termination of the
                 -------------------------
employee-employer relationship between a Participant and the Company and its
affiliates regardless of the fact that severance or similar payments are made to
the Participant, for any reason, including, but not by way of limitation, a
Voluntary Resignation, Involuntary Termination, death, Disability or Retirement.
The Administrator shall, in its absolute discretion, determine the effect of all
matters and questions relating to Termination of Employment, including, but not
by way of limitation, the question of whether a leave of absence constitutes a
Termination of Employment, or whether a Termination of Employment is for Cause,
or is a Voluntary Resignation. With regard to a member of the Board who is not
an employee, Termination of Employment shall mean the date on which the
individual ceases to be a member of the Board for any reason.

          (ac)  "Vested" means that an Award is nonforfeitable and exercisable
                 ------
with regard to a designated number of shares of Stock.

          (ad)  "Voluntary Resignation" means a Termination of Employment as a
                 ---------------------
result of the Participant's resignation.


                           SECTION 2  GENERAL TERMS

     2.1  Purpose of the Plan.  The Plan is intended to (a) provide incentive to
          -------------------
employees of the Company and its affiliates to stimulate their efforts toward
the continued success of the Company and to operate and manage the business in a
manner that will provide for the long-term growth and profitability of the
Company; (b) encourage stock ownership by employees, directors and independent
contractors by providing them with a means to acquire a proprietary interest in
the Company by acquiring shares of Stock or to receive compensation which is
based upon appreciation in the value of Stock; and (c) provide a means of
obtaining and rewarding employees, directors, independent contractors and
advisors.

     2.2  Stock Subject to the Plan.  Subject to adjustment in accordance with
          -------------------------
Section 5.2, 20,000,000 shares of Stock (the "Maximum Plan Shares") are hereby
reserved and subject to issuance under the Plan.  At no time shall the Company
have outstanding Awards and shares of Stock issued in respect to Awards in
excess of the Maximum Plan Shares. To the extent permitted by law, the shares of
Stock attributable to the nonvested, unpaid, unexercised, unconverted or
otherwise unsettled portion of any Award that is forfeited, canceled, expired or
terminated for any reason without becoming vested, paid, exercised, converted or
otherwise settled in full shall again be available for purposes of the Plan.

     2.3  Administration of the Plan.  The Plan shall be administered by the
          --------------------------
Administrator.  The Administrator shall have full authority in its discretion to
determine the employees of the Company or its affiliates to whom Awards shall be
granted and the terms and provisions of Awards, subject to the Plan.  Subject to
the provisions of the Plan, the Administrator shall have full and conclusive
authority to interpret the Plan; to prescribe, amend and rescind rules and
regulations relating to the Plan; to determine the terms and provisions of the
respective Equity

                                      -4-
<PAGE>

Ownership Agreements and to make all other determinations necessary or advisable
for the proper administration of the Plan. The Administrator's determination
under the Plan need not be uniform and may be made by it selectively among
persons who receive, or are eligible to receive, Awards under the Plan (whether
or not such persons are similarly situated). The Administrator's decisions shall
be final and binding on all Participants.

     2.4  Eligibility and Limits.  Participants in the Plan shall be selected by
          ----------------------
the Administrator.  No Participant may be granted Awards in excess of 10,000,000
Shares.  In the case of Incentive Stock Options, the aggregate Fair Market Value
(determined as at the date an Incentive Stock Option is granted) of Stock with
respect to which Stock Options intended to meet the requirements of Code Section
422 become exercisable for the first time by an individual during any calendar
year under all plans of the Company and its Parents and Subsidiaries shall not
exceed $100,000; provided further, that if the limitation is exceeded, the
Incentive Stock Option(s) which cause the limitation to be exceeded shall be
treated as Non-Qualified Stock Option(s).


                          SECTION 3  TERMS OF AWARDS

     3.1  Terms and Conditions of All Awards.
          ----------------------------------

          (a)   The number of shares of Stock as to which an Award shall be
granted shall be determined by the Administrator in its sole discretion, subject
to the provisions of Sections 2.2 and 2.4 as to the total number of shares
available for grants under the Plan.

          (b)   Each Award shall be evidenced by an Equity Ownership Agreement
in such form as the Administrator may determine is appropriate, subject to the
provisions of the Plan.

          (c)   The date an Award is granted shall be the date on which the
Administrator has approved the terms and conditions of the Equity Ownership
Agreement and has determined the recipient of the Award and the number of shares
covered by the Award and has taken all such other action necessary to complete
the grant of the Award.

          (d)   The Administrator may provide in any Equity Ownership Agreement
a vesting schedule. The vesting schedule shall specify when such Awards shall
become Vested and thus exercisable. The Administrator may accelerate the vesting
schedule set forth in the Equity Ownership Agreement if the Administrator
determines that it is in the best interests of the Company and Participant to do
so. In addition, the Administrator may provide in the Equity Ownership Agreement
that vesting will be accelerated in the event of a Change of Control.

          (e)   Awards shall not be transferable or assignable except by will or
by the laws of descent and distribution and shall be exercisable, during the
Participant's lifetime, only by the Participant, or in the event of the
Disability of the Participant, by the legal representative of the Participant.

                                      -5-
<PAGE>

     3.2  Terms and Conditions of Options. At the time any Option is granted,
          -------------------------------
the Administrator shall determine whether the Option is to be an Incentive Stock
Option or a Non-Qualified Stock Option, and the Option shall be clearly
identified as to its status as an Incentive Stock Option or a Non-Qualified
Stock Option. At the time any Incentive Stock Option is exercised, the Company
shall be entitled to place a legend on the certificates representing the shares
of Stock purchased pursuant to the Option to clearly identify them as shares of
Stock purchased upon exercise of an Incentive Stock Option. An Incentive Stock
Option may only be granted within ten (10) years from the date the Plan is
adopted or the date such Plan is approved by the Company's stockholders,
whichever is earlier. Incentive Stock Options may only be granted to employees
of the Company.

          (a) Option Price. Subject to adjustment in accordance with Section
              ------------
5.2 and the other provisions of this Section 3.2, the exercise price (the
"Exercise Price") per share of the Stock purchasable under any Option shall be
in the applicable Equity Ownership Agreement at the time the Option is granted.
With respect to each grant of an Incentive Stock Option to a Participant who is
not an Over 10% Owner, the Exercise Price per share shall not be less than the
Fair Market Value on the date the Option is granted. With respect to each grant
for an Incentive Stock Option to a Participant who is an Over 10% Owner, the
Exercise Price shall not be less than 110% of the Fair Market Value on the date
the Option is granted.

          (b) Option Term. The Equity Ownership Agreement shall set forth the
              -----------
term of each option. Any Incentive Stock Option granted to a Participant who is
not an Over 10% Owner shall not be exercisable after the expiration of ten (10)
years after the date the Option is granted. Any Incentive Stock Option granted
to an Over 10% Owner shall not be exercisable after the expiration of five (5)
years after the date the Option is granted. In either case, the Administrator
may specify a shorter term and state such term in the Equity Ownership
Agreement.

          (c) Payment. Payment for all shares of Stock purchased pursuant to
              -------
exercise of an Option shall be made in any form or manner authorized by the
Administrator in the Equity Ownership Agreement or by amendment thereto,
including, but not limited to, cash or, if the Equity Ownership Agreement
provides, (i) by delivery or deemed delivery (based on an attestation to the
ownership thereof) to the Company of a number of shares of Stock which have been
owned by the holder for at least six (6) months prior to the date of exercise
having an aggregate Fair Market Value on the date of exercise equal to the
Exercise Price or (ii) by tendering a combination of cash, Stock and/or note.
Payment shall be made at the time that the Option or any part thereof is
exercised, and no shares shall be issued or delivered upon exercise of an option
until full payment has been made by the Participant.  The holder of an Option,
as such, shall have none of the rights of a stockholder.

          (d) Conditions to the Exercise of an Option. Each Option granted
              ---------------------------------------
under the Plan shall be exercisable by whom, at such time or times, or upon the
occurrence of such event or events, and in such amounts, as the Administrator
shall specify in the Equity Ownership Agreement; provided, however, that
subsequent to the grant of an Option, the Administrator, at any time before
complete termination of such Option, may accelerate the time or times at which
such Option may be exercised in whole or in part, including, without limitation,
upon a Change in Control and may permit the Participant or any other designated
person acting for the benefit of

                                      -6-
<PAGE>

the Participant to exercise the Option, or any portion thereof, for all or part
of the remaining Option term notwithstanding any provision of the Equity
Ownership Agreement to the contrary.

          (e) Termination of Incentive Stock Option. With respect to an
              -------------------------------------
Incentive Stock Option, in the event of Termination of Employment of a
Participant, the Option or portion thereof held by the Participant which is
unexercised shall expire, terminate, and become unexercisable no later than the
expiration of three (3) months after the date of Termination of Employment;
provided, however, that in the case of a holder whose Termination of Employment
is due to death or Disability, one (1) year shall be substituted for such three
(3) month period. For purposes of this Subsection (e), Termination of Employment
of the Participant shall not be deemed to have occurred if the Participant is
employed by another corporation (or a parent or subsidiary corporation of such
other corporation) which has assumed the Incentive Stock Option of the
Participant in a transaction to which Code Section 424(a) is applicable.

          (f) Special Provisions for Certain Substitute Options. Notwithstanding
              -------------------------------------------------
anything to the contrary in this Section 3.2, any Option issued in substitution
for an option previously issued by another entity, which substitution occurs in
connection with a transaction to which Code Section 424(a) is applicable, may
provide for an exercise price computed in accordance with such Code Section and
the regulations thereunder and may contain such other terms and conditions as
the Administrator may prescribe to cause such substitute Option to contain as
nearly as possible the same terms and conditions (including the applicable
vesting and termination provisions) as those contained in the previously issued
option being replaced thereby.

     3.3  Terms and Conditions of Stock Appreciation Rights.  A Stock
          -------------------------------------------------
Appreciation Right may be granted in connection with all or any portion of a
previously or contemporaneously granted Award or not in connection with an
Award.  A Stock Appreciation Right shall entitle the Participant to receive the
excess of (1) the Fair Market Value of a specified or determinable number of
shares of the Stock at the time of payment or exercise over (2) a specified
price which, in the case of a Stock Appreciation Right granted in connection
with an Option, shall be not less than the Exercise Price for that number of
shares.  The Exercise Price shall not be less than the Fair Market Value of the
corresponding Stock on the date of the grant.  A Stock Appreciation Right
granted in connection with an Award may only be exercised to the extent that the
related Award has not been exercised, paid or otherwise settled.  The exercise
of a Stock Appreciation Right granted in connection with an Award shall result
in a pro rata surrender or cancellation of any related Award to the extent the
Stock Appreciation Right has been exercised.

          (a) Exercise.  Upon exercise of a Stock Appreciation Right, the
              --------
Company shall pay to the Participant the appreciation in cash or shares of Stock
(valued at the aggregate Fair Market Value on the date of payment or exercise)
as provided in the Equity Ownership Agreement or, in the absence of such
provision, as the Administrator may determine.

          (b) Conditions to Exercise.  Each Stock Appreciation Right granted
              ----------------------
under the Plan shall be exercisable or payable at such time or times, or upon
the occurrence of such event or events, and in such amounts, as the
Administrator shall specify in the Equity Ownership Agreement; provided,
however, that subsequent to the grant of a Stock Appreciation Right, the
Administrator, at any time before complete termination of such Stock
Appreciation Right, may

                                      -7-
<PAGE>

accelerate the time or times at which such Stock Appreciation Right may be
exercised or paid in whole or in part.

     3.4  Terms and Conditions of Stock Awards.  The number of shares of Stock
          ------------------------------------
subject to a Stock Award and restrictions or conditions on such shares, if any,
shall be as the Administrator determines, and the certificate for such shares
shall bear evidence of any restrictions or conditions.  Subsequent to the date
of the grant of the Stock Award, the Administrator shall have the power to
permit, in its discretion, an acceleration of the expiration of an applicable
restriction period with respect to any part or all of the shares awarded to a
Participant.  The Administrator may require a cash payment from the Participant
in an amount no greater than the aggregate Fair Market Value of the shares of
Stock awarded determined at the date of grant in exchange for the grant of a
Stock Award or may grant a Stock Award without the requirement of a cash
payment.

     3.5  Treatment of Awards Upon Termination of Employment or Affiliation.
          -----------------------------------------------------------------
Except as otherwise provided by Plan Section 3.2(e), any Award to a Participant
who incurs a Termination of Employment or Affiliation may be canceled,
accelerated, paid or continued, as provided in the Equity Ownership Agreement
or, in the absence of such provision, as the Administrator may determine.  The
portion of any Award exercisable in the event of continuation or the amount of
any payment due under a continued Award may be adjusted by the Administrator to
reflect the Participant's period of service from the date of grant through the
date of the Participant's Termination of Employment or Affiliation or such other
factors as the Administrator determines are relevant to its decision to continue
the Award.

                       SECTION 4  RESTRICTIONS ON STOCK

     4.1  Escrow of Shares.  Any certificates representing the shares of Stock
          ----------------
issued under the Plan shall be issued in the Participant's name, but, if the
Equity Ownership Agreement so provides, the shares of Stock shall be held by a
custodian designated by the Administrator (the "Custodian").  Each Equity
Ownership Agreement providing for transfer of shares of Stock to the Custodian
shall appoint the Custodian as the attorney-in-fact for the Participant for the
term specified in the Equity Ownership Agreement, with full power and authority
in the Participant's name, place and stead to transfer, assign and convey to the
Company any shares of Stock held by the Custodian for such Participant, if the
Participant forfeits the shares under the terms of the Equity Ownership
Agreement.  During the period that the Custodian holds the shares subject to
this Section, the Participant shall be entitled to all rights, except as
provided in the Equity Ownership Agreement, applicable to shares of Stock not so
held.  Any dividends declared on shares of Stock held by the Custodian shall, as
the Administrator may provide in the Equity Ownership Agreement, be paid
directly to the Participant or, in the alternative, be retained by the Custodian
until the expiration of the term specified in the Equity Ownership Agreement and
shall then be delivered, together with any proceeds, with the shares of Stock to
the Participant or the Company, as applicable.

     4.2  Forfeiture of Shares.  Notwithstanding any vesting schedule set forth
          --------------------
in any Equity Ownership Agreement, in the event that the Participant violates a
non-competition agreement as set forth in the Equity Ownership Agreement, all
Awards and shares of Stock issued to the holder pursuant to the Plan shall be
forfeited; provided, however, that the Company

                                      -8-
<PAGE>

shall return to the holder the lesser of any consideration paid by the
Participant in exchange for Stock issued to the Participant pursuant to the Plan
or the then Fair Market Value of the Stock forfeited hereunder.

     4.3  Restrictions on Transfer.  The Participant shall not have the right to
          ------------------------
make or permit to exist any Disposition of the shares of Stock issued pursuant
to the Plan except as provided in the Plan or the Equity Ownership Agreement.
Any Disposition of the shares of Stock issued under the Plan by the Participant,
not made in accordance with the Plan or the Equity Ownership Agreement,
including, but not limited to, any right of repurchase or right of first
refusal, shall be void.  The Company shall not recognize, or have the duty to
recognize, any Disposition not made in accordance with the Plan and the Equity
Ownership Agreement, and the shares of Stock so transferred shall continue to be
bound by the Plan and the Equity Ownership Agreement.


                         SECTION 5  GENERAL PROVISIONS


     5.1  Withholding.  The Company shall deduct from all cash distributions
          -----------
under the Plan any taxes required to be withheld by federal, state or local
government.  Whenever the Company proposes or is required to issue or transfer
shares of Stock under the Plan or upon the vesting of any Stock Award, the
Company shall have the right to require the recipient to remit to the Company an
amount sufficient to satisfy any federal, state and local withholding tax
requirements prior to the delivery of any certificate or certificates for such
shares or the vesting of such Stock Award.  A Participant may pay the
withholding tax in cash, or, if the Equity Ownership Agreement provides, a
Participant may also elect to have the number of shares of Stock he is to
receive reduced by, or with respect to a Stock Award, tender back to the
Company, the smallest number of whole shares of Stock which, when multiplied by
the Fair Market Value of the shares determined as of the Tax Date (defined
below), is sufficient to satisfy federal, state and local, if any, withholding
taxes arising from exercise or payment of an Award (a "Withholding Election").
A Participant may make a Withholding Election only if both of the following
conditions are met:

          (a) The Withholding Election must be made on or prior to the date on
which the amount of tax required to be withheld is determined (the "Tax Date")
by executing and delivering to the Company a properly completed notice of
Withholding Election as prescribed by the Administrator; and

          (b) Any Withholding Election made will be irrevocable; however, the
Administrator may in its sole discretion approve or give no effect to the
Withholding Election.


     5.2  Changes in Capitalization; Merger; Liquidation.
          ----------------------------------------------

          (a) The number of shares of Stock reserved for the grant of Options,
Stock Appreciation Rights and Stock Awards; the number of shares of Stock
reserved for issuance upon the exercise or payment, as applicable, of each
outstanding Option and Stock Appreciation Right and upon vesting or grant, as
applicable, of each Stock Award; the Exercise Price of each

                                      -9-
<PAGE>

outstanding Option and the specified number of shares of Stock to which each
outstanding Stock Appreciation Right pertains may be proportionately adjusted by
the Administrator for any increase or decrease in the number of issued shares of
Stock resulting from a subdivision or combination of shares or the payment of a
stock dividend in shares of Stock to holders of outstanding shares of Stock or
any other increase or decrease in the number of shares of Stock outstanding
effected without receipt of consideration by the Company.

          (b) In the event of a merger, consolidation or other reorganization of
the Company or tender offer for shares of Stock, the Administrator may make such
adjustments with respect to awards and take such other action as it deems
necessary or appropriate to reflect or in anticipation of such merger,
consolidation, reorganization or tender offer, including, without limitation,
the substitution of new awards, the termination or adjustment of outstanding
awards, the acceleration of awards or the removal of restrictions on outstanding
awards. Any adjustment pursuant to this Section 5.2 may provide, in the
Administrator's discretion, for the elimination without payment therefore of any
fractional shares that might otherwise become subject to any Award.

          (c) The existence of the Plan and the Awards granted pursuant to the
Plan shall not affect in any way the right or power of the Company to make or
authorize any adjustment, reclassification, reorganization or other change in
its capital or business structure, any merger or consolidation of the Company,
any issue of debt or equity securities having preferences or priorities as to
the Stock or the rights thereof, the dissolution or liquidation of the Company,
any sale or transfer of all or any part of its business or assets, or any other
corporate act or proceeding.

     5.3  Cash Awards.  The Administrator may, at any time and in its
          -----------
discretion, grant to any holder of an Award the right to receive, at such times
and in such amounts as determined by the Administrator in its discretion, a cash
amount which is intended to reimburse such person for all or a portion of the
federal, state and local income taxes imposed upon such person as a consequence
of the receipt of the Award or the exercise of rights thereunder.

     5.4  Compliance with Code.  All Incentive Stock Options to be granted
          --------------------
hereunder are intended to comply with Code Section 422, and all provisions of
the Plan and all Incentive Stock Options granted hereunder shall be construed in
such manner as to effectuate that intent.

     5.5  Right to Terminate Employment.  Nothing in the Plan or in any Award
          -----------------------------
shall confer upon any Participant the right to continue as an employee or
officer of the Company or any of its affiliates or affect the right of the
Company or any of its affiliates to terminate the Participant's employment at
any time.

     5.6  Restrictions on Delivery and Sale of Shares; Legends.  Each Award is
          ----------------------------------------------------
subject to the condition that if at any time the Administrator, in its
discretion, shall determine that the listing, registration or qualification of
the shares covered by such Award upon any securities exchange or under any state
or federal law is necessary or desirable as a condition of or in connection with
the granting of such Award or the purchase or delivery of shares thereunder, the
delivery of any or all shares pursuant to such Award may be withheld unless and
until such listing, registration or qualification shall have been effected.  If
a registration statement is not in

                                      -10-
<PAGE>

effect under the Securities Act of 1933 or any applicable state securities laws
with respect to the shares of Stock purchasable or otherwise deliverable under
Awards then outstanding, the Administrator may require, as a condition of
exercise of any Option or as a condition to any other delivery of Stock pursuant
to an Award, that the Participant or other recipient of an Award represent, in
writing, that the shares received pursuant to the Award are being acquired for
investment and not with a view to distribution and agree that shares will not be
disposed of except pursuant to an effective registration statement, unless the
Company shall have received an opinion of counsel that such disposition is
exempt from such requirement under the Securities Act of 1933 and any applicable
state securities laws. The Company may include on certificates representing
shares delivered pursuant to an Award such legends referring to the foregoing
representations or restrictions or any other applicable restrictions on resale
as the Company, in its discretion, shall deem appropriate.

     5.7  Non-alienation of Benefits.  Other than as specifically provided with
          --------------------------
regard to the death of a Participant, no benefit under the Plan shall be subject
in any manner to anticipation, alienation, sale, transfer, assignment, pledge,
encumbrance or charge; and any attempt to do so shall be void.  No such benefit
shall, prior to receipt by the Participant, be in any manner liable for or
subject to the debts, contracts, liabilities, engagements or torts of the
Participant.

     5.8  Termination and Amendment of the Plan.  The Board at any time may
          -------------------------------------
amend or terminate the Plan without stockholder approval; provided, however,
that the Board may condition any amendment on the approval of stockholders of
the Company if such approval is necessary or advisable with respect to tax,
securities or other applicable laws.  No such termination or amendment  without
the consent of the holder of an Award shall adversely affect the rights of the
Participant under such Award.

     5.9  Stockholder Approval.  The Plan shall be submitted to the stockholders
          --------------------
of the Company for their approval within twelve (12) months before or after the
adoption of the Plan by the Board.  If such approval is not obtained, any Award
granted hereunder shall be void.

     5.10 Choice of Law.  The laws of the State of Florida shall govern the
          -------------
Plan, to the extent not preempted by federal law.

     5.11 Effective Date of Plan.  The Plan shall be effective as of July 27,
          ----------------------
2001.


                     *   *   *   *   *   *   *   *   *   *


                                     EarthFirst Technologies, Incorporated


                                     By: /s/ John D. Stanton
                                         ---------------------------------


                                     Title: President
                                            ------------------------------

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