<PAGE>
                                                                     EXHIBIT 4.8

                                                                       July 1999


                           MOBILITY ELECTRONICS, INC.
                            (A Delaware corporation)

            13% BRIDGE PROMISSORY NOTE AND WARRANT PURCHASE AGREEMENT



         MOBILITY ELECTRONICS, INC., a Delaware corporation (the "Company"),
whose address is 5528 Eubank Boulevard N.E., Suite 3, Albuquerque, New Mexico
87111, hereby agrees with the undersigned Purchaser as follows:

1. TRANSACTION

         Pursuant to a Private Placement Memorandum, dated May 19, 1999, the
Company is offering up to $5 million of 13% Bridge Promissory Notes of the
Company (with an over-allotment option of up to an additional $1,000,000), in
the form attached hereto as Exhibit A (the "Notes"), together with warrants (the
"Warrants") to purchase common stock, par value $0.01 per share (the "Common
Stock"), as follows: (i) for investments of less than $100,000, 22,000 Warrants
per $100,000 principal amount of Notes; or (ii) for investments of $100,000 or
more, 25,000 Warrants per $100,000 principal amount of Notes. The warrants are
in the form of which is attached hereto as Exhibit B (the "Warrants"). The Note
and Warrant are sometimes collectively referred to herein as the "Securities").
The minimum subscription amount is $25,000 per investor. The Company may pay
commissions to brokers, if any, involved in this offering of Notes.


2. PURCHASE AND SALE

         2.1 The Securities. Subject to all of the terms and conditions of this
Agreement, the Company will issue and sell to you (sometimes referred to as
"Holder") the principal amount of the Notes shown on the signature page hereof
(in which event you will also be deemed to have purchased the Warrant for the
applicable number of shares of Common Stock as provided above for no additional
consideration) and you will purchase the same from the Company; provided that
all other terms and conditions set forth in this Purchase Agreement are
satisfied.

         2.2 Closing. The purchase by and sale and delivery to you of the
Securities (the "Closing") shall take place at the executive offices of the
Company as set forth above at such date and time as determined by the Company
(such date being hereinafter called the "Closing Date"). At the Closing, the
Company shall deliver to you: (i) a Note in the principal amount accepted by the
Company; (ii) a Warrant on the terms provided for in Section 1 above; and (iii)
such other items as are required to be delivered to it pursuant to this Purchase
Agreement. The Securities are being offered by the Company subject to the right
of the Company to reject, at its discretion, any subscription, in whole or in
part, for any reason, and to accept subscriptions notwithstanding the order in
which they are received. Any portion of a subscription not accepted by the
Company shall be promptly returned to you, without interest or deduction.


3. REPRESENTATIONS, WARRANTIES AND AGREEMENTS OF THE COMPANY

         As an inducement to you to enter into this Agreement, the Company
represents, warrants and agrees that:

         3.1 Corporate Power. The Company has all required corporate power and
authority to own its own properties and to carry on its business as presently
conducted. The Company has all required power and authority to execute and
deliver this Agreement, to issue and sell the Securities, and to carry out the
transactions contemplated by this Agreement.


                                    Page -1-

<PAGE>



         3.2 Authority for Agreement. This Agreement has been duly authorized by
all necessary action of the Company and, when executed and delivered by the
Company, will be a legal, valid and binding obligation of the Company,
enforceable in accordance with its terms, except to the extent that the
enforceability hereof may be limited by bankruptcy, insolvency, reorganization,
moratorium or other laws affecting creditors' rights generally or by general
principles of equity, and except that the indemnification provisions of the
Agreement may be held to be violative of public policy under either federal or
state laws in the context of the offer or sale of securities.

         3.3 Validity of Stock. The shares of Common Stock issuable upon
exercise of the Warrant will, when issued in accordance with the terms of the
Warrant, be duly authorized, legally issued shares of Common Stock.

         3.4 No Conflicting Rights. The holders of the outstanding capital stock
of the Company are not entitled to pre-emptive or other rights to subscribe for
the Securities.


4. REPRESENTATIONS, WARRANTIES AND AGREEMENTS BY YOU

         You hereby represent, warrant and agree that:

         4.1 Authority. You have full power and authority to enter into this
Agreement and it constitutes your legal, valid and binding obligation,
enforceable in accordance with its terms.

         4.2 Purchase For Own Account. You are acquiring the Securities for your
own account, for investment purposes and not for resale or with a view to any
distribution, or in connection with any distribution thereof you are able to (i)
bear the economic risk of your investment in the Securities, (ii) hold the
Securities for an indefinite period of time, and (iii) afford a complete loss of
your investment.

         4.3 Investment Experience. You have the requisite knowledge and
experience in financial and business matters, including investments of this
type, to be capable of evaluating the merits and risks of an investment in the
Securities and of making an informed investment decision with respect thereto.

         4.4 Receipt Of Information. You have received from the Company all of
the information concerning the Company which you consider to be material in
making your investment decision, which information has been requested by you if
not already furnished by the Company. You have had full access to the books and
records of the Company and to its officers, directors and accountants for the
purpose of obtaining and verifying such information and you have had an
opportunity to ask questions and receive answers from the officers of the
Company regarding the terms and conditions of this transaction and the Company's
business and financial condition. No representations or warranties, oral or
otherwise, have been made to you, including without limitation, any
representations concerning the future prospects of the Company, by the Company
or any agent, employee or affiliate of the Company, and in entering into this
action you are not relying upon any information other than the results of your
own independent investigation. You have obtained sufficient information to
evaluate the merits and risks of your investment and to make an informed
investment decision.

         4.5 Restricted Securities. You understand and acknowledge that the
Securities you are purchasing hereunder are "restricted securities" under United
States federal and state securities laws insofar as they have not been
registered under the Securities Act of 1933, as amended (the "Act"), or the
securities laws of any other jurisdiction, that they may not be resold or
transferred without compliance with the registration or qualification provisions
of the Act or applicable federal and state securities laws of any state or other
jurisdiction or an opinion of counsel acceptable to the Company that an
exemption from such registration and qualification requirements is available.


                                    Page -2-

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         4.6 Limitations on Disposition. Without in any way limiting the
representations set forth above, you further agree not to make any disposition
of all or any portion of the Securities unless and until: (i) there is then in
effect a registration statement under the Act covering such proposed disposition
and such disposition is made in accordance with such registration statement; or
(ii) you shall have notified the Company of the proposed disposition and shall
have furnished the Company with a statement of the circumstances surrounding the
proposed disposition and you have furnished the Company with an opinion of
counsel, reasonably satisfactory to the Company, that such disposition will not
require registration of such securities under the Act and applicable securities
laws of any state or other jurisdiction.

         4.7 Illiquid Investments. Your overall commitment to investments which
are not readily marketable is not disproportionate to your net worth and your
investment in the Securities will not cause such overall commitment to become
excessive. You have adequate means of providing for your current needs and
personal contingencies.

         4.8 Accredited Investor. You are an "Accredited Investor" as that term
is defined in Section 501(a) of Regulation D promulgated under the Act
("Regulation D").

         4.9 Company Reliance. You understand, acknowledge and agree that the
Company, in entering into and performing under this Agreement, is relying on the
accuracy of the responses by you in this Agreement, which responses you warrant
to be true, complete and correct.


5. CONDITIONS TO YOUR OBLIGATIONS

         Your obligations to purchase the Securities under this Agreement are
subject to the fulfillment on or before the Closing of each of the following
conditions:

         5.1 Representations and Warranties. The representations and warranties
of the Company contained in Section 3 above shall be true on and as of the
Closing with the same effect as though made on and as of the date thereof.

         5.2 Company Performance. The Company shall have performed and complied
with all agreements, obligations and conditions contained in this Agreement,
which performance or compliance are required of it on or before the Closing.


6. CONDITIONS TO THE COMPANY'S OBLIGATIONS

         The obligations of the Company to sell and issue the Securities to you
are subject to the fulfillment on or before the Closing of each of the following
conditions by you:

         6.1 Representations and Warranties. Your representations and warranties
contained in Section 4 above shall be true on and as of the Closing with the
same effect as though made on and as of the date thereof.

         6.2 Payment. You shall have delivered to the company an executed copy
of this Agreement, together with the payment of the subscription price for the
Securities being purchased by you.

         6.3 Blue Sky Qualification. The Company shall have received any permits
or authorization from any state securities law authority which may be necessary
to qualify the offer and sale of the Securities to you.


                                    Page -3-

<PAGE>



7. REGISTRATION RIGHTS

         The Company hereby grants to Holder the registration rights set forth
in Appendix I attached hereto, subject to the remainder of this Agreement.
Appendix I is incorporated into, and made a part of, this Agreement.


8. FURTHER AGREEMENTS

         You agree that:

         8.1 No Transfer or Assignment. You will not transfer or assign this
Agreement or any of your interest herein except as provided in Section 4.6
above.

         8.2 Successors and Assigns. You may not cancel or revoke this Agreement
and this Agreement shall be binding upon your successors and assigns, except as
provided by certain state laws.

         8.3 Indemnification. You shall indemnify, hold harmless and defend the
Company and its affiliates and agents with respect to any and all loss, damage,
expense, claim, action or liability any of them may incur as a result of the
breach or untruth of any representations or warranties made by you herein, and
you agree that in the event of any breach or untruth of any representations or
warrants made by you herein, the Company may, at its option, forthwith rescind
the sale of the Securities to you, in addition to any other rights or remedies
which the Company may have.

         8.4 Legend. A legend in substantially the following form will be placed
on all documents or certificates evidencing the Securities and the shares of
Common Stock underlying the Warrants:

         "THE SECURITIES EVIDENCED BY THIS INSTRUMENT HAVE NOT BEEN REGISTERED
         UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), OR UNDER THE
         SECURITIES LAW OF ANY STATE OR OTHER JURISDICTION AND SUCH SECURITIES
         MAY NOT BE SOLD, ASSIGNED, PLEDGED, HYPOTHECATED OR OTHERWISE
         TRANSFERRED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FOR
         SUCH SECURITIES UNDER THE ACT, AND APPLICABLE SECURITIES LAWS OF ANY
         STATE OR OTHER JURISDICTION, OR AN OPINION OF COUNSEL SATISFACTORY TO
         THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED."

         8.5 Subordination. Section 4 of the Notes provides that the Notes are
subordinated to certain indebtedness of the Company. Holder hereby grants to the
executive officers of the Company, or any of them, a power-of-attorney to
execute and deliver on behalf of Holder any and all documents, instruments or
agreements which such officer deems necessary or advisable in order to evidence
and/or confirm such subordination. The above referenced power-of-attorney is
coupled with an interest and shall be irrevocable.

9. GENERAL AND MISCELLANEOUS

         9.1 Survival. The warranties, representations and covenants of the
parties contained in this Agreement shall survive the execution and delivery of
this Agreement and the Closing.

         9.2 Entire Agreement. This Agreement constitutes the entire agreement
among the parties with respect to the subject matter hereof, and no party shall
be liable or bound to any other party in any manner by any warranties,
representations, guarantees or covenants except as specifically set forth in
this Agreement. The terms and conditions of this Agreement shall inure to the
benefit of and be binding upon the respective successors and assigns of the
parties. Nothing in this Agreement, express or implied, is intended to confer
upon any party other than the parties hereto or their respective successors and
assigns any rights, remedies, obligations, or liabilities under or by reason of
this Agreement,

                                    Page -4-

<PAGE>



except as expressly provided in this Agreement.

         9.3 Governing Law. This Agreement shall be governed by and construed
under the internal laws of the State of Delaware without regard to conflicts of
law.

         9.4 Notices. All notices, requests, demands and other communications
under this Agreement shall be in writing and shall be deemed to have been duly
given on the date of service if served personally on the party to whom notice is
to be given, or on the tenth day after the date of mailing if mailed to the
party to whom notice is to be given, by first class mail, registered or
certified, postage prepaid, and properly addressed as follows: if to the
purchaser, at his address as shown in the Company records; and if to the
Company, at its principal office. Any party may change its address for purposes
of this paragraph by giving the other party written notice of the new address in
the manner set forth above.

         9.5 Severability. If one or more provisions of this Agreement are held
to be unenforceable under applicable law, such provision shall be excluded from
this Agreement and the balance of the Agreement shall be interpreted as if such
provision were so excluded and shall be enforceable in accordance with its
terms.

         9.6 Acceptance. All questions as to the validity, form, eligibility
(including time of receipt) and acceptance of completed Purchase Agreements will
be determined by the Company, which determination will be final and binding. The
Company reserves the absolute right to reject any Purchase Agreement, in its
sole and absolute discretion. The Company also reserves the right to waive any
irregularities in, or conditions of, the submission of any Purchase Agreements,
and the Company's interpretation of the terms and conditions for the purchase of
Securities (including these instructions) shall be final and binding. The
Company shall be under no duty to give any notification of irregularities in
connection with any attempted subscription for Securities or incur any liability
for failure to give such notification. Until such irregularities have been cured
or waived, no subscription for Securities shall be deemed to have been made. Any
Purchase Agreement that is not properly completed and as to which defects have
not been cured or waived will be returned by the Company to the subscriber as
soon as practicable.

         9.7 Counterparts. This Agreement may be executed in two or more
counterparts, each of which shall be deemed an original, but all of which
together shall constitute one and the same instrument.


                                    Page -5-

<PAGE>



                     PURCHASE AGREEMENT GENERAL INSTRUCTIONS

GENERAL INSTRUCTIONS

         This Purchase Agreement contains all documents necessary to subscribe
for Securities. You may subscribe for Securities by completing the Purchase
Agreement in the following manner:

1.       On line (a) of the signature page state the principal amount of the
         Notes you wish to purchase.

2.       Sign and state your address, telephone number and social security or
         other taxpayer identification number on the lines provided on the
         signature page to the Purchase Agreement and deliver the completed
         Purchase Agreement to the Company with payment of the entire purchase
         price of the Securities subscribed for in the following manner:

                  A wire transfer or check payable to the order of the Company:

                  Wire transfer instructions are as follows:

                    United Missouri Bank of Kansas City, N.A.
                    10th & Grand
                    Kansas City, Missouri 64105
                    ABA # 1010-0069-5
                    Zurich Yieldwise
                    Bank Account # 9870838818
                    To the benefit of Electronics Accessory Specialists
                    Account # 80-89754385-1


                  Checks should be sent overnight to:

                    Mr. Charles R. Mollo
                    Mobility Electronics, Inc.
                    5528 Eubank Blvd., N.E., Suite 3
                    Albuquerque, New Mexico  87111
                    Ph: 505/292-1624

         Following receipt of your completed subscription documents and check,
         the Company will accept or reject your subscription, in its sole
         discretion. If your subscription is rejected, your funds will be
         returned to you promptly, without any interest paid thereon. The
         Company may reject a subscription for any reason in its sole
         discretion.

3.       Send all documents to:

                    Mr. Charles R. Mollo
                    Mobility Electronics, Inc.
                    5528 Eubank Blvd., N.E., Suite 3
                    Albuquerque, New Mexico  87111

THE COMPLETED SUBSCRIPTION AGREEMENT SHOULD BE RETURNED IN ITS ENTIRETY TO THE
COMPANY AT THE ADDRESS DESIGNATED ABOVE.


                                    Page -6-

<PAGE>



                      SUBSCRIPTION AGREEMENT SIGNATURE PAGE


PLEASE PRINT OR TYPE.  USE INK ONLY.
(ALL PARTIES MUST SIGN)

         The undersigned investor hereby certifies that he or she (i) agrees to
all the terms and conditions of this Purchase Agreement, (ii) meets the
suitability standards set forth in this Purchase Agreement and (iii) is a
resident of the state or foreign jurisdiction indicated below.

         (a) THE UNDERSIGNED IRREVOCABLY SUBSCRIBES FOR $_____________ PRINCIPAL
AMOUNT OF NOTES.





<TABLE>
<S>                                                        <C>
---------------------------------------------------
Name of Subscriber (Print)

                                                            If other than Individual check one and
                                                            indicate capacity of signatory under the
                                                            signature:

                                                           ------
                                                                  Trust
---------------------------------------------------        ------
Name of Joint Subscriber (if any) (Print)                         Estate
                                                           ------
                                                                  Uniform Gifts to Minors Act of State of
                                                           ------
X                                                                 Attorney-in-fact
---------------------------------------------------        ------
Signature of Subscriber                                           Corporation
                                                           ------
                                                                  Other
                                                           ------
X
---------------------------------------------------
Signature of Joint Subscriber (if any)                      If Joint Ownership, check one:


                                                           ------
                                                                  Joint Tenants with Right of Survivorship
---------------------------------------------------        ------
Capacity of Signatory (if applicable)                             Tenants in Common
                                                           ------
                                                                  Tenants by the Entirety
                                                           ------
                                                                  Community Property
---------------------------------------------------        ------
Social Security or Taxpayer Identification Number
                                                            Backup Withholding Statement:
                                                            Please check this box only if the investor is subject to:

---------------------------------------------------        ------
Residence Address                                                 backup withholding.
                                                           ------

                                                            Foreign Person:

---------------------------------------------------        ------ nonresident alien, foreign corporation, foreign partnership,
City                   State               Zip Code


                                                           ------ foreign trust or foreign estate

Telephone (     )
                 --------------------

</TABLE>

The investor agrees to the terms of this Purchase Agreement and, as required by
the Regulations pursuant to the Internal Revenue Code, certifies under penalty
of perjury that (1) the Social Security Number or Taxpayer Identification Number
and address provided above is correct, (2) the investor is not subject to backup
withholding (unless the Backup Withholding Statement box is checked) either
because he has not been notified that he is subject to backup withholding as a
result of a failure to report all interest or dividends or because the Internal
Revenue Service has notified him that he is no longer subject to backup
withholding and (3) the investor (unless the Foreign Person box above is
checked) is not a nonresident alien, foreign partnership, foreign trust or
foreign estate.



<PAGE>



         THE SUBSCRIPTION FOR $____________________ PRINCIPAL AMOUNT OF 13%
BRIDGE PROMISSORY NOTES OF MOBILITY ELECTRONICS, INC. BY THE ABOVE NAMED
SUBSCRIBER(S) IS ACCEPTED AS OF THE _________ DAY OF _________________, 1999.


                                    MOBILITY ELECTRONICS, INC.


                                    By:
                                       -----------------------------------------
                                       Charles R. Mollo, Chief Executive Officer



<PAGE>



                                   Appendix I
                               Registration Rights

1. Registration Rights. The Company covenants and agrees with you as follows:

     1.1 Definitions. For purposes of this Appendix I:

         (a) The term "Holder" means any person owning or having the right to
     acquire Registrable Securities or any assignee thereof in accordance with
     Section 1.11 hereof.

         (b) The term "1934 Act" shall mean the Securities Exchange Act of
     1934, as amended.

         (c) The term "Public Company" means a corporation which has a class of
     equity securities registered pursuant to Section 12 of the 1934 Act, or
     which is required to file periodic reports pursuant to Section 15(d) of the
     1934 Act.

         (d) The term "register," "registered," and "registration" refer to a
     registration effected by preparing and filing a registration statement or
     similar document in compliance with the Act, and the declaration or
     ordering of effectiveness of such registration statement or document.

         (e) The term "Registrable Securities" means (i) the shares of Common
     Stock issued or issuable upon the exercise of the Warrants and (ii) any
     Common Stock issued as (or issuable upon the conversion or exercise of any
     warrant, right or other security which is issued as) a dividend or other
     distribution with respect to, or in exchange for or in replacement of the
     shares referenced in (i) above, excluding in all cases, however, any
     Registrable Securities (I) sold by a person in a transaction in which his
     rights under this Section 1 are not assigned (II) registered under the Act,
     the registration statement in connection therewith has been declared
     effective, and such shares have been disposed by such holder pursuant to
     such registration statement; provided, however, that in either case of (i)
     or (ii) above, any such securities shall cease to be Registrable Securities
     if the registration rights granted hereunder are not transferred in
     accordance with the provisions of Section 1.11 below.

         (f) The number of shares of "Registrable Securities then outstanding"
     shall be determined by the number of shares of Common Stock issued or
     issuable upon exercise of the Warrants which are Registrable Securities.

         (g)  The term "SEC" shall mean the Securities and Exchange Commission.

         (h) All other capitalized terms used herein which are not defined
     herein shall have the meaning given elsewhere in this Agreement.

     1.2 Lock-up Agreement. Each Holder hereby agrees that if requested by the
Company or the underwriters in any underwritten offering, such Holder shall not,
for the period of 180 days after the effective date of an underwritten public
offering of shares of Common Stock, without the prior written approval of the
Company or such underwriters (as the case may be), directly or indirectly, sell,
offer to sell, contract to sell (including without limitation, any short sale),
grant any option to purchase or otherwise transfer or dispose of any shares of
Common Stock underlying the Warrants legally or beneficially owned by such
Holder; provided, however, in the event of an initial public offering of Common
Stock, no request shall be necessary, with the consent of such Holder to the
above provisions in this Section 1.2 being hereby granted and accepted, provided
that if the managing underwriter in such initial public offering requests that
Holder execute and deliver a lock-up letter, Holder agrees to do so, which
lock-up letter shall be in such managing underwriter's customary form. In order
to enforce the foregoing covenant, the Company may impose stop-transfer
instructions with respect to the Registrable Securities of each Holder (and the
shares or securities of every other person subject to the foregoing restriction)
until the end of such period.



                                       A-1

<PAGE>



     1.3 S-3 Registrations.

         (a) Once the Company is eligible to effect a registration of its
     securities under Form S-3 (or successor form), the Holders will have the
     right to request and have effected (but only one registration per twelve
     month period) registrations of Registrable Securities on Form S-3 as long
     as the aggregate proposed offering price is not less $3 million for any
     such registration. Upon written request of Holders holding at least $3
     million of Registrable Securities, the Company will promptly notify in
     writing all other Holders of Registrable Securities of such request, which
     Holders shall within twenty days following such notice from the Company,
     notify the Company in writing whether such persons desire to have
     Registrable Securities held by them included in such offering. Following
     the expiration of such twenty day period, the Company will use all
     reasonable efforts to cause the registration of all Registrable Securities
     proposed to be included in the offering on Form S-3 or such successor form
     to the extent so requested. Notwithstanding the above, the Company shall
     not be required under this Section 1.3 to include any of the Holders'
     Registrable Securities in any offering on Form S-3 which involves an
     underwriting unless such Holders accept the terms of such underwriting as
     agreed upon between the Company and the underwriters selected by it.

         (b) Notwithstanding anything in this Section 1.3 to the contrary, the
     Company shall not be obligated to prepare or file any registration
     statement pursuant to this Section 1.3 or to prepare or file any amendment
     or supplement thereto, at any time when the Company, in the good faith
     judgment of its Board of Directors, reasonably believes that the filing
     thereof at the time requested, or the offering of securities pursuant
     thereto, (i) would materially adversely affect a pending or proposed public
     offering of the Company's securities, or an acquisition, merger,
     recapitalization, consolidation, reorganization or similar transaction,
     negotiations, discussions or pending proposals with respect thereto or (ii)
     would materially adversely affect the business or prospects of the Company
     in view of the disclosures that may be required thereby of information
     about the business, assets, liabilities or operations of the Company not
     theretofore disclosed; provided, however, that the filing of a registration
     statement, or any supplement or amendment thereto, by the Company may be
     deferred pursuant to this Section 1.3 for no longer than 180 days (but only
     once in every twelve month period) after the delivery of such demand
     notice.

     1.4 Piggyback Registration. If (but without any obligation to do so) the
Company proposes to register (including for this purpose a registration effected
by the Company for stockholders other than the Holders) any of its Common Stock
or other securities under the Act in connection with the public offering of such
securities solely for cash (other than an initial public offering, registration
relating solely to the sale of securities to participants in a Company stock
option, stock purchase or similar employee benefit plan, a registration on any
form which does not include substantially the same information as would be
required to be included in a registration statement covering the sale of the
Registrable Securities (including Form S-4 or any form substitution thereof) or
a registration in which the only Common Stock being registered is Common Stock
issuable upon conversion of debt securities which are also being registered or a
SEC Rule 145 transaction), the Company shall, at such time, promptly give each
Holder written notice of such registration. Upon the written request of each
Holder given within twenty days after mailing of such notice by the Company, the
Company shall, subject to the provisions of Section 1.8, use all reasonable
efforts to cause to be registered under the Act and any applicable state
securities laws all of the Registrable Securities that each such Holder has
requested to be registered.

     1.5 Obligations of the Company. Whenever under this Section 1 the Company
effects the registration of any Registrable Securities, the Company shall, as
expeditiously as reasonably possible:

         (a) Prepare and file with the SEC on any appropriate form a
     registration statement with respect to the Registrable Securities proposed
     to be registered and use its best efforts to cause such registration
     statement to become effective;

         (b) Unless such registration is a firm commitment underwriting, prepare
     and file with the SEC such amendments (including post-effective amendments)
     and supplements to such registration statement and the prospectus used in
     connection therewith as may be necessary to keep such registration
     statement effective and to comply with the provisions of the Act with
     respect to the disposition of all Registrable Securities and other
     securities covered by such registration statement for a period of 180 days.


                                       A-2

<PAGE>



         (c) Furnish to the Holders such numbers of copies of a prospectus,
     including a preliminary prospectus, in conformity with the requirements of
     the Act, and such other documents as they may reasonably request in order
     to facilitate the disposition of Registrable Securities owned by them.

         (d) Use its best efforts to register or qualify all Registrable
     Securities and other securities covered by such registration statement
     under such other securities or "blue sky" laws of such jurisdictions as the
     underwriter or such sellers (not to exceed ten jurisdictions) shall
     reasonably request and do any and all other acts and things as may be
     reasonably necessary to consummate the disposition in such jurisdictions of
     the Registrable Securities covered by such registration statement, except
     that the Company shall not for any such purpose be required to qualify
     generally to do business as a foreign corporation in any jurisdiction
     wherein it is not so qualified, or to subject itself to taxation in respect
     of doing business in any such jurisdiction, or to consent to general
     service of process in any such jurisdiction.

         (e) Immediately notify each seller of Registrable Securities covered by
     such registration statement, at any time when a prospectus relating thereto
     is required to be delivered under the Act, of the happening of any event as
     a result of which the prospectus included in such registration statement,
     as then in effect, includes an untrue statement of a material fact or omits
     to state any material fact required to be stated therein or necessary to
     make the statements therein not misleading in the light of the
     circumstances then existing or if its is necessary, in the opinion of
     counsel to the Company, to amend or supplement such prospectus to comply
     with law, and at the request of any such seller prepare and to such seller
     a reasonable number of copies of a supplement to or any amendment of such
     prospectus as may be necessary so that, as thereafter delivered to the
     purchasers of such Registrable Securities, such prospectus shall not
     include an untrue statement of a material fact or omit to state a material
     fact required to be stated therein or necessary to make the statements
     therein not misleading in the light of the circumstances then existing and
     shall otherwise comply in all material respects with law and so that such
     prospectus, as amended or supplemented, will comply with law.

         (f) Otherwise use its best efforts to comply with all applicable rules
     and regulations of the SEC, any make available to its securityholders, as
     soon as reasonably practicable, an earnings statement covering the period
     of at least twelve (12) months, beginning with the first month of the first
     fiscal quarter after the effective date of such registration statement,
     which earnings statement shall satisfy the provisions of Section 11 (a) of
     the Act.

         (g) In the event of any underwritten public offering, enter into and
     perform its obligations under an underwriting agreement, in usual and
     customary form, with the managing underwriter of such offering. Each Holder
     participating in such underwriting shall also enter into and perform its
     obligations under such an agreement.

         (h) Notify each Holder of Registrable Securities covered by such
     registration statement at any time when a prospectus relating thereto is
     required to be delivered under the Act of the happening of any event as a
     result of which the prospectus included in such registration statement, as
     then in effect, includes an untrue statement of a material fact or omits to
     state a material fact required to be stated therein or necessary to make
     the statements therein not misleading in the light of the circumstances
     then existing.

         (i) Cause all such Registrable Securities registered pursuant hereunder
     to be listed on each securities exchange or automated trading system on
     which similar securities issued by the Company are then listed.

         (j) Provide a transfer agent and registrar for all Registrable
     Securities registered pursuant hereunder and a CUSIP number for all such
     Registrable Securities, in each case not later than the effective date of
     such registration.

     1.6 Furnish Information. It shall be a condition precedent to the
obligations of the Company to take any action pursuant to this Section 1 with
respect to the Registrable Securities of any selling Holder that such Holder
shall furnish to the Company such information regarding itself, the Registrable
Securities held by it, and the intended method of disposition of such securities
as shall be required to effect the registration of such Holder's Registrable
Securities.



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     1.7 Expenses of Registration. All expenses incurred in connection with
registrations, filings or qualifications pursuant to this Section 1 in
connection with all piggyback registrations and all S-3 registrations including,
without limitation, all registration, filing and qualification fees, printers'
and accounting fees, fees and disbursements of counsel for the Company (but
excluding underwriter's commissions and fees and any fees of others employed by
a selling Holder) shall be borne by the Company.

     1.8 Underwriting Requirements; Cut-backs.

         (a) In connection with any offering involving an underwriting of shares
     of the Company's capital stock, the Company shall not be required to
     include any Holders' Registrable Securities in such underwriting unless
     they accept the terms of the underwriting as agreed upon between the
     Company and the underwriters selected by it (or by other persons entitled
     to select the underwriters), and then only in such quantity as the
     underwriters determine in their sole discretion will not materially
     jeopardize or in any way reduce the success of the offering by the Company.

         (b) The Company has previously granted "piggyback" registration rights
     to certain of its securityholders (the "Other Holders"). Notwithstanding
     any thing in this Section 1 to the contrary, in the event of any request
     for registration hereunder, the Company shall provide each Other Holder the
     notice required with respect to their registration rights and will allow
     such Other Holders to participate in any such registration to the extent of
     such registration rights; it being acknowledged and agreed that if the
     total amount of securities, including Registrable Securities, requested by
     security holders to be included in such offering exceeds the amount of
     securities that the underwriters determine in their sole discretion is
     compatible with the success of the offering (excluding any securities to be
     offered by the Company), then the Company shall be required to include in
     the offering only that number of such securities, including Registrable
     Securities, which the underwriters determine in their sole discretion will
     not jeopardize the success of the offering (the securities so included to
     be apportioned pro rata among the selling security holders (including
     Holders) according to the total amount of securities entitled to be
     included therein owned by each selling shareholder (including Holders) or
     in such other proportions as shall mutually be agreed to by such selling
     shareholders (including Holders)).

     1.9 Delay of Registration. No Holder shall have any right to obtain or seek
an injunction restraining or otherwise delaying any such registration as the
result of any controversy that might arise with respect to the interpretation or
implementation of this Section 1.

     1.10 Indemnification. In the event any Registrable Securities are included
in a registration statement under this Section 1:

         (a) To the extent permitted by law, the Company will indemnify and hold
     harmless each Holder, any underwriter (as defined in the Act) for such
     Holder and each person, if any, who controls such Holder or underwriter
     within the meaning of the Act or the 1934 Act against any losses, claims,
     damages, or liabilities, joint or several) to which they may become subject
     under the Act, the 1934 Act or other federal or state law, insofar as such
     losses, claims, damages, or liabilities (or actions in respect thereof)
     arise out of or are based upon any of the following statements, omissions
     or violations (collectively a "Violation"): (i) any untrue statement or
     alleged untrue statement of a material fact contained in such registration
     statement, including any preliminary prospectus or final prospectus
     contained therein or any amendments or supplements thereto, (ii) the
     omission or alleged omission to state therein a material fact required to
     be stated therein, or necessary to make the statements therein not
     misleading, or (iii) any violation or alleged violation by the Company of
     the Act, the 1934 Act, any state securities law or any rule or regulation
     promulgated under the, the 1934 Act or any state securities law; and,
     subject to subsection 1.10 (c) below, the Company will pay to each such
     Holder, underwriter or controlling person, as incurred, any legal or other
     expenses reasonably incurred by them in connection with investigating or
     defending any such loss, claim, damage, liability, or action; provided,
     however, that the indemnity agreement contained in this subsection 1.10(a)
     shall not apply to amounts paid in settlement of any such loss, claim,
     damage, liability, or action if such settlement is effected without the
     consent of the Company (which consent shall not be reasonably withheld),
     nor shall the

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<PAGE>



     Company be liable in any such case for any such loss, claim, damage,
     liability, or action to the extent that it arises out of or is based upon a
     Violation which occurs in reliance upon and in conformity with written
     information furnished expressly for use in connection with such
     registration by any such Holder, underwriter or controlling person.

         (b) To the extent permitted by law, each selling Holder will indemnify
     and hold harmless the Company, each of its directors, each of its officers
     who has signed the registration statement, each person, if any, who
     controls the Company within the meaning of the Act, any underwriter, any
     other Holder selling securities in such registration statement and any
     controlling person of any such underwriter or other Holder, and any agent
     of the Company, against any losses, claims, damages, or liabilities joint
     or several) to which any of the foregoing persons may become subject, under
     the Act, the 1934 Act or other federal or state law, insofar as such
     losses, claims, damages, or liabilities (or actions in respect thereto)
     arise out of or are based upon any Violation, in each case to the extent
     (and only to the extent) that such Violation occurs in reliance upon and in
     conformity with written information furnished by such Holder expressly for
     use in connection with such registration; and each such Holder will pay, as
     incurred, any legal or other expenses reasonably incurred by any person
     intended to be indemnified pursuant to this subsection 1.10(b), in
     connection with investigating or defending any such loss, claim, damage,
     liability, or action; provided, however, that the indemnity agreement
     contained in this subsection 1.10(b) shall not apply to amounts paid in
     settlement of any such loss, claim, damage, liability or action if such
     settlement is effected without the consent of the Holder, which consent
     shall not be reasonably withheld; provided, that, in no event shall any
     indemnity under this subsection 1.10(b) exceed the gross proceeds from the
     offering received by such Holder.

         (c) Promptly after receipt by an indemnified party under this Section
     1.10 of notice of the commencement of any action (including any
     governmental action), such indemnified party will, if a claim in respect
     thereof is to be made against any indemnifying party under this Section
     1.10, deliver to the indemnifying party a written notice of the
     commencement thereof and the indemnifying party shall have the right to
     participate in, and, to the extent the indemnifying party so desires,
     jointly with any other indemnifying party receiving similar notice, to
     assume the defense thereof with counsel reasonably satisfactory to the
     parties; provided, however, that an indemnified party (together with all
     other indemnified party which may be represented without conflict by one
     counsel) shall have the right to retain one separate counsel, with the fees
     and expenses to be paid by the indemnifying party, if representation of
     such indemnified party by the counsel retained by the indemnifying party
     would be inappropriate due to actual or potential differing interests
     between such indemnified party and any other party represented by such
     counsel in such proceeding; otherwise, the indemnified party shall be
     responsible for the fees and expenses of its counsel. The failure to
     deliver written notice to the indemnifying party within a reasonable time
     of the commencement of any such action, if prejudicial to its ability to
     defend such action, shall relieve such indemnifying party of any liability
     to the indemnified party under this Section 1.10.

         (d) Except as provided in the last sentence of subsection 1.10(c)
     above, if the indemnification provided for in this Section 1.10 is held by
     a court of competent jurisdiction to be unavailable to an indemnified party
     with respect to any loss, liability, claim, damage, or expense referred to
     therein, then the indemnifying party, in lieu of indemnifying such
     indemnified party hereunder, shall contribute to the amount paid or payable
     by such indemnified party as a result of such loss, liability, claim,
     damage, or expense in such proportion as is appropriate to reflect the
     relative fault of the indemnifying party on the one hand and of the
     indemnified party on the other in connection with the statements or
     omissions that resulted in such loss, liability, claim, damage, or expense
     as well as any other relevant equitable considerations. The relative fault
     of the indemnifying party and of the indemnified party shall be determined
     by reference to, among other things, whether the untrue or alleged untrue
     statement of a material fact or the omission to state a material fact
     relates to information supplied by the indemnifying party or by the
     indemnified party.

         (e) Notwithstanding the foregoing, to the extent that the provisions on
     indemnification and contribution contained in the underwriting agreement
     entered into in connection with the underwritten public offering are in
     conflict with the foregoing provisions, the provisions in the underwriting
     agreement shall control.



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<PAGE>


         (f) The obligations of the Company and Holders under this Section 1.10
     shall survive the completion of any offering of Registrable Securities
     pursuant to a registration statement under this Section 1.

     1.11 Assignment of Registration Rights. The registration rights of the
Holders under this Section 1 may be assigned (but only with all related
obligations) by a Holder to a transferee or assignee of such securities who
purchases from such Holder at least 10,000 shares of Registrable Securities
(subject to appropriate adjustment for stock splits, stock dividends,
combinations and other recapitalizations), provided: (a) the Company is promptly
after such transfer, furnished with written notice of the name and address of
such transferee or assignee and the securities with respect to which such
piggyback registration rights are being assigned; (b) such transferee or
assignee agrees in writing to be bound by and subject to the terms and
conditions of this Agreement, including without limitation the provisions of
Section 1.12 below; and (c) such assignment shall be effective only if
immediately following such transfer the further disposition of such securities
by the transferee or assignee is restricted under the Act.

     1.12 Termination of Registration Rights. Notwithstanding anything in this
Section 1 to the contrary, no Holder shall be entitled to exercise any right
provided for in this Section 1: (i) at any time more than two (2) years
following the date after the Company becomes a Public Company or (ii) at such
time as such Holder is able to sell all of such Holder's Registrable Securities
in a single three-month period in compliance with Rule 144.

     1.13 Amendments and Waivers. Any term or provision of the registration
rights stated in this Section 1 may be amended and the observance of any term of
such rights may be waived (either generally or in a particular instance and
either retroactively or prospectively), only with the written consent of the
Company and the holders of at a majority of the Registrable Securities then
outstanding. Any amendment or waiver effected in accordance with this Section
1.13 shall be binding upon each holder of any Registrable Securities then
outstanding, each future holder of any Registrable Securities, and the Company.




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