Sales Contract

     THIS SALES  CONTRACT  (the  "Contract")  is made and entered into as of the
27th day of October,  1999, by and between World Business  Investors  Group (the
"Buyer"), an entity of legal status organized and existing to engage in commerce
under  the  laws  of  the  country  of  Peru,  and  Daedalus  Building  Systems,
Incorporated (the "Seller"), a corporation organized and existing under the laws
of  Delaware,  United  States of  America.  This  Contract  shall be  designated
Contract Number 46-045-99.

     WHEREAS, the Seller offered to sell and the Buyer has agreed to buy certain
structural units,  components,  finishings,  and other items related to Daedalus
Building Systems(TM).

     NOW THEREFORE,  in consideration  of the mutual covenants  contained herein
and subject to the terms and conditions  described  herein,  the Parties to this
Contract agree as follows:

1. Definitions. For the purpose of this Contract, the following terms shall have
the following meanings, unless otherwise defined; all other terms shall have the
usual and customary meaning ascribed to them.

     a.  "Dollars" or "$" shall mean the currency of the United States of
         America.

     b.  "Incoterms  1990"  means  the  definition  for the  referenced  term as
         adopted by the  International  Chamber of  Commerce in Paris in 1990 or
         subsequent adoptions.

     c.  "Components"  shall mean such items as panels of the Daedalus  Building
         Systems(TM)  and related  fasteners that are required for assembly of a
         structural  unit,  which does not  include  tools  required to complete
         assembly.

     d.  "Finishings"  shall mean those  materials  used to finish the  interior
         surfaces of the structures and other items, such as sinks, showers, and
         toilets.

2. Unit Pricing.  Unit pricing,  as specified in Annex "B," attached  hereto and
made a part  hereof,  shall be fixed for the term of the  Contract.  Pricing  is
valid for all units  ordered  and  shipped  within the  effective  period of the
Contract. Prices may be adjusted if delivery extends beyond the period specified
in Paragraph 6.


3. Purchase.  The minimum  amount of purchase  provided under the Contract Value
will be  22,000,000  square  feet  (2,043,800  square  meters)  of panels of the
Daedalus Building Systems (Metal), pursuant to Annex A.


4. Contract Value.  The Contract Value shall be in dollars and is based upon the
sales price as specified in Annex "A" which shall form an integral  part of this
contract.  The minimum  contract  value is one hundred twenty million and 00/100
Dollars ($120,000,000.00) and represents the purchase of a minimum of 22,000,000
square feet (2,043,800 square meters) of panels of the Daedalus Building Systems
(Metal),  pursuant to Annex A, over three years,  commencing at the date of this
contract.



<PAGE>

         a.       Freight.  Freight  will be arranged by the seller and added to
                  the  account  of,  and  paid by,  the  buyer.  Freight  is not
                  considered as a part of the contract value.

         b.       Insurance.  Estimated insurance will be paid by the Seller and
                  added to the account of, and paid by, the buyer.  Insurance is
                  not considered as a part of the contract value.

         c.       Additional Costs. All additional costs for freight, insurance,
                  forwarding  fees, and any other expenses that are pre-advised,
                  incurred  by the seller and added to the account of the buyer,
                  or  billed by the  seller,  are due and  payable  by the buyer
                  within 30 days of payment or billing by the seller. Additional
                  Costs are not considered as a part of the contract value.

5.       Individual Purchase Orders.  Execution of the Contract shall be through
         issuance  and  use  of  Individual  Purchase  Orders,  each  Individual
         Purchase Order issued for a minimum of ________ of panels,  pursuant to
         Annex A.


6.       Effective  Date. This Contract will enter into full force and effect on
         the date written above.


7.       Duration. The duration of this Contract will be from the effective date
         and extend 36 months from the issuance of the first Individual Purchase
         Order under the Contract.


8.       Termination  Date.  The Contract  shall  terminate and be of no further
         force and effect on the earlier of: (i) the  Contract  Value being paid
         in full; or (ii)  pursuant to the  provision of Paragraph 12 below;  or
         (iii) in accordance with the provided Duration.


9.       Payment Terms. Payment of the Contract Value hereunder shall be made as
         set forth below:

         a.       Medium  Term  Financing.  The Seller  will assist the Buyer in
                  obtaining Medium Term Financing. However, it is understood and
                  agreed  by the  Parties  that  no  assurances  of  success  in
                  obtaining  such  Financing  are made or offered by the Seller.
                  Payment of 85% of the value of the Individual Purchase Orders,
                  under  Medium  Term  Financing,  shall be  financed  under the
                  Guarantee  Program of the  Export-Import  of the United States
                  ("Ex-Im  Bank")  through  a  lending  bank  acceptable  to the
                  Parties  ("Lending  Bank").   The  term  of  the  Medium  Term
                  Financing shall be five years.

                  The Buyer shall be responsible for obtaining the remaining 15%
                  non-Ex-Im  Bank financing  portion of the Individual  Purchase
                  Orders.  The 15% non-Ex-Im Bank financing portion shall be the
                  down payment  portions of the Individual  Purchase  Orders not
                  covered  by the Ex-Im Bank  Medium  Term  Financing.  The down
                  payments  shall  be  paid  coincident  with  issuance  of  the
                  Individual Purchase Orders.

         b.       Payment.  Payment of 85% of the  Contract  Value under  Medium
                  Term  Financing  is as  follows.  This  85%  payment  shall be
                  divided  into:  (i) a 70%  letter  of  credit;  and (ii) a 15%
                  advance payment:

                  i.  Seventy  percent  (70%)  of the  value  of the  Individual
                  Purchase  Orders is to be paid under a  confirmed  Irrevocable
                  Letter of Credit  subject to the Uniform  Customs and Practice
                  for  Documentary  Credits,  Publication  500, as published and


                                                                    Page 2 of 10


<PAGE>

                  updated  from  time to time by the  International  Chamber  of
                  Commerce.  The  Letter  of  Credit  shall  be  confirmed  by a
                  financial institution  acceptable to the Seller. The amount of
                  the Letter of Credit shall be equal to seventy  percent  (70%)
                  of the value of the  Individual  Purchase  Orders and shall be
                  available for three  hundred  sixty (360) days.  Any Letter of
                  Credit and amounts due  thereunder are payable in U.S dollars.
                  The Beneficiary  under all Letters of Credit shall be Daedalus
                  Building   Systems,   Incorporated,   8653  Richmond  Highway,
                  Alexandria, Virginia 22309-4206, USA.

         A.       The Letter of Credit shall be advised to the  Beneficiary  and
                  confirmed by a commercial bank acceptable to the Seller.
         B.       The Letter of Credit shall be  negotiated  by the  Beneficiary
                  through the confirming bank.
         C.       All fees with respect to the  services  rendered by the paying
                  and confirming  bank in advising,  confirming and  negotiating
                  the Letter of Credit and the documents thereunder shall be for
                  the account of the Seller.
         D.       Partial drawing is to be permitted.
         E.       Documents to be presented for payment:
                  I.  Commercial Invoice
                  II.  Certificate of Origin
                  III.  On Board Bill of Lading
                  IV.  Sight Draft Drawn on the Buyer

                  ii. All amounts  paid under the Letter of Credit in respect of
                  Section 9. a.(i) above will be financed by the Lending Bank as
                  follows:

         A.       All amounts paid under the Letter of Credit shall be evidenced
                  by a promissory  note payable to the Lending Bank, in form and
                  substance acceptable to the Lending Bank, issued by the Buyer.
                  Such  promissory  note shall provide for  principal  repayment
                  over a period of five years.

         B.       Equal  payments  of  principal,  with  concurrent  payments of
                  interest  thereon,  at an interest rate of ______  percent (%)
                  per annum (to be established  by the Lending  Bank),  shall be
                  payable no less  frequently  than  semiannually  commencing no
                  later than one hundred  eighty (180) days from the date of the
                  On Board  Bill of Lading,  evidencing  the  shipment  of goods
                  covered by the Contract Value.

                  iii.   The   promissory   note,   as  described  in  Paragraph
                  8(b)(ii)(A)  shall be  delivered by the Buyer to the Seller at
                  the time of the Buyer's presentation of an Individual Purchase
                  Order as provided in Paragraph  11.b hereof.  Such  promissory
                  note is to be executed  but is not to be dated with respect to
                  either the execution date or the first  repayment  date.  Upon
                  the issuance of an On Board Bill of Lading,  the Seller and/or
                  Lending Bank will  complete the  promissory  note by inserting
                  the date of the On Board Bill of Lading as the execution  date
                  and one  hundred  eighty  (180) days from the On Board Bill of
                  Lading  date as the date of first  repayment.  The buyer  will
                  sign any and all  documents  required to effect the  foregoing
                  and will  designate  the seller  and/or the  lending  bank the
                  necessary authority to complete and deliver the note.

                  iv. Advance  Payment.  Payment of fifteen percent (15%) of the
                  value of the  Individual  Purchase  Orders will be made by the
                  Buyer to the Seller, in cash and in a form satisfactory to the
                  Seller,  evidencing an advance  payment on the  Contract.  The
                  advance  payment  shall  be due  and  payable  at the  time of
                  closing of the Medium Term Financing.


                                                                    Page 3 of 10

<PAGE>


10.      Terms of Sale.  The sale of the Units shall be on Incoterms  1990,  FOB
         Ontario, Canada.

         a.       The Buyer will  arrange  for and prepay,  as may be  required,
                  transportation,  insurance,  and freight  forwarding  charges,
                  which will be added to the account of, and paid by, the buyer,
                  as provided in Paragraph 4. The Buyer shall be responsible for
                  obtaining  insurance  in such amounts and types as required by
                  the Lending Bank.

         b.       The Seller will assist the Buyer in  providing  all  available
                  documentation  necessary  to clear the goods  from  customs as
                  soon as possible.

11.      Procedures.  In addition to the operational  and logistical  procedures
         described in other sections of this Contract, the Parties also agree as
         follows:

         a.       The  Buyer  agrees  to  obtain  any and all  necessary  import
                  permits  and to  provide a copy of such  permits to the Seller
                  immediately upon receipt of such Permits by the Buyer.

         b.       The Buyer agrees to submit an Individual Purchase Order to the
                  Seller  to  initiate  each  order  under  the  Contract.   The
                  Individual  Purchase  Order is  required  to be in the form of
                  Annex C, attached hereto.

         c.       The Buyer agrees to timely consummate and enter into force all
                  Medium Term Financing for the first Individual Purchase Order,
                  as provided for in  Paragraph  9.a,  above,  no later than one
                  hundred twenty (120) days from the Effective Date.  Failure by
                  the Buyer to fully  consummate  the Medium Term  Financing and
                  pay the advance payment as provided for herein,  including the
                  execution   and   entry   into   force   of   all   applicable
                  documentation,   shall  cause  this   Contract  to   terminate
                  immediately  and become null and void without notice to either
                  the Buyer or Seller as of the expiry date of such time period.
                  Such termination will be deemed to be a breach of contract and
                  will not  afford  either the Buyer or the Seller any claim for
                  any damages whatsoever.

         d.       The Buyer agrees to submit an Individual  Purchase Order for a
                  minimum  of  _______   unfinished,   basic  structural  units,
                  pursuant to Annex A, or structural equivalents,  and agrees to
                  accept partial shipments.

         e.       The first  container  shipped in  accordance  with the initial
                  Individual   Purchase  Order  of  the  Contract  will  contain
                  articles   designated  for   "inspection  and  acceptance"  in
                  accordance  with  specifications  agreed upon by the  Parties.
                  Further shipments under the initial Individual  Purchase Order
                  will commence upon  completion of inspection and acceptance of
                  assembled structures,  which both parties agree to assemble as
                  soon and as rapidly as possible.

         f.       Subject to the terms hereof and the  availability  of an ocean
                  vessel,  the Seller  agrees to ship a completed  order  within
                  three  hundred  sixty (360) days of receipt and  acceptance by
                  the Seller of a Individual Purchase Order.

12.      Cancellation  and  Termination.  Other  than by breach  by the  Parties
         hereto,  except as provided in Section 11.c.  hereof,  either party may
         cancel  this  Contract  after three  hundred  sixty (360) days from the
         Effective  Date.  Such  intent to cancel  must be conveyed to the other
         Party in writing, as provided herein, sixty (60) days prior to the date
         of cancellation.



                                                                    Page 4 of 10

<PAGE>


13.      Penalties.  Material breach of this Contract by either Party shall give
         rise to a claim by the  damaged  Party.  Such claim shall be limited to
         the actual cost of damages and expenses  associated with the claim, but
         in no event shall such claim  exceed ten percent  (10%) of the value of
         any Individual  Purchase Order  hereunder.  The Seller's  obligation to
         repair or replace existing housing units or components thereof shall be
         the Buyer's sole and exclusive remedy under the Contract.

14.      Force  Majeure.  In the event of a Force  Majeure,  which  affects  the
         performance   of  either  Party   hereunder,   the  Contract  shall  be
         temporarily  suspended  and  automatically  extended  for the period of
         suspension. Force Majeure shall only include war, natural catastrophes,
         and other occurrences,  including new legislation,  which forecloses or
         prevents the  possibility  of further  performance  under the Contract.
         Force Majeure shall not include labor disputes, civil commotion or poll
         congestion.

15.      Disputes.  All disputes  arising in connection with this contract shall
         be finally settled under the Rules of  Conciliation  and Arbitration of
         the  International  Chamber  of  Commerce  by one or  more  arbitrators
         appointed in accordance  with the Rules.  The Parties hereto agree that
         all rulings  under the Rules shall be binding and  enforceable  with no
         further  appeal  whatsoever  and any  right of  judicial  action on any
         matter subject to arbitration hereunder is hereby waived.  However, any
         judicial court may enforce the resolution of the  arbitrator(s) and any
         Party  shall have the right to sue in court to  enforce an  arbitration
         award. Notwithstanding any possible issue submitted for Arbitration, in
         all cases the location of  arbitration  shall be in Northern  Virginia.
         This paragraph shall survive any termination of this Contract.

16.      Notices.  All  notices to each Party  under this  Contract  shall be in
         writing,  in  the  English  language,  and  delivered  to  the  address
         designated in the signature  block of this  Contract.  Notices shall be
         deemed given when sent by registered mail or by telefax communications,
         which are electronically acknowledged as received.

17.      Warranty.  All units sold under this  Contract are warranted to be free
         from  defects  in  material  and   workmanship  and  shall  conform  to
         applicable U.S. Standards. The warranty of the Seller does not apply to
         defects not caused by the Seller,  including but not limited to acts of
         God, abuse,  improper assembly or installation.  All notices for claims
         of defects, under this warranty,  must be made to the Seller in writing
         within  thirty (30) days of the  discovery  of the defect by the Buyer.
         The sole  responsibility  of the  Seller  shall be, at its  option,  to
         replace or repair the defective  housing unit and auxiliary  buildings.
         This warranty  shall commence from the date of transfer of title to the
         Buyer and shall last for a period of one (1) year.  All  housing  units
         and auxiliary  buildings and  components  thereof shall be deemed to be
         irrevocably  accepted by the Buyer,  thirty (30) days after the date of
         installation  at the site or sites.  With the  exception  of title,  no
         other warranties,  expressed or implied,  whether of merchantability or
         fitness for a  particular  purpose,  other than those set forth  above,
         shall apply to the units or components thereof' sold hereunder,  and no
         alteration or  modification  of the foregoing  shall be binding against
         the Seller unless signed by an executive officer of the Seller.

18.      Law.  This  contract  shall he governed by and  construed in accordance
         with the laws of the Commonwealth of Virginia, U.S.A.


                                                                    Page 5 of 10

<PAGE>



19.      Assignment. This Contract is assignable by either Party upon receipt by
         the assigning  Party of an acceptance from the other Party of a written
         notice  of  assignment  from the  assigning  Party to the  Party  being
         notified. Such notice of acceptance shall not unreasonably be withheld.


20.      Authority.  Each Party  warrants and covenants to the other that it has
         full  power,  authority,  and legal right and has taken all other legal
         action  necessary  to  authorize  the  execution  of this  Contract and
         perform the undertakings hereunder.


21.      Amendment. Amendments to this Contract must be in writing and signed by
         an executive  officer of the Seller and the Buyer.  No other actions or
         approvals shall constitute amendments to this Contract.


22.      Conflicts. This Contract,  including the Annex attached hereto, and all
         amendments hereto, may be executed in both English and _______ language
         versions.  In the event of conflict  between the versions,  the English
         version shall control.  In the event of conflict between this Contract,
         including the Annexes attached hereto, and any working drawings, plans,
         product  descriptions,   publications  or  other  representations,  the
         Contract and Annex will control.

23.      Entire Contract.  This document  represents the entire Contract between
         the  Parties.  The  Parties  agree to enter  into all other  contracts,
         conform to all local laws and requirements,  and perform other actions,
         which are necessary to fulfill their obligations under this Contract.

         IN WITNESS THEREOF, the Parties hereto have caused this Agreement to be
duly executed as of the date first written above.

For the Seller:  /s/                       For the Buyer: /s/
                     -------------------                     -------------------


The Daedalus Project, Incorporated                World Business Investors Group
Edward A. McCulloch                                   Ing. Edgar Espinoza Chacon
President                                              Presidente del Directorio
8653 Richmond Highway                                         Alamanda 199 Surco
Alexandria, Virginia  22309 USA                                       Lima, Peru



                                                                    Page 6 of 10



<PAGE>


                                     ANNEX A

            General Specifications--Daedalus Building Systems (Metal)

1.       Daedalus  Building  Systems  (Metal).  The  Daedalus  Building  Systems
         (Metal)  consists of panels , consisting of structural  units assembled
         from panels, which are fabricated from recycled composites.

2.       Basic  structural  unit.  The  basic  structural  unit of the  Daedalus
         Building  Systems  (Metal) is an  unfinished  structure,  consisting of
         metal panels with polyurethane.

3.       Structural  Panel.  The  standard  structural  panel  of  the  Daedalus
         Building  Systems  (Metal) is a composite  panel that is  approximately
         1.25 X 1.25 X .10 meters, weighing approximately 10 kilograms.

4.       Structural equivalent. A structural equivalent of the "basic structural
         unit" is any structure that:

         a. is combination or configuration of structures that would utilize the
         same,  or greater  number of full size panels of the Daedalus  Building
         Systems (Metal), i.e., 60 panels

         b.  sixty or more full size  panels of the  Daedalus  Building  Systems
         (Metal)







                                                                    Page 7 of 10

<PAGE>

<TABLE>

<CAPTION>


                                     ANNEX B
                                     Pricing

Type            Dimensions      Area       Area    Price          Price       Price     Price        Price       Price
Unit            in feet         sq.        sq.     (USD) per      (USD)       (USD)      (USD)        Per        (USD) per
                                Meters     feet    unfinished     square       per      finished     square      square
                                                   structures     meter       square    structures   meter       foot
                                                                              foot
<S>            <C>              <C>       <C>      <C>            <C>         <C>        <C>        <C>         <C>

Basic          12.38x12.38      14        153.1    $1875.00       $133.93     $12.24    $2,300.00   $164.29     $15.02
Structural
Unit,
single
Unit


Hybrid         16.51x12.38      18.75     201.7    $2,000.00      $106.67     $9.91     $2,500.00   $133.33     $12.39
Single
Unit


Enlarged       20.63x12.38      23.44     252.2    $2300.00       $98.12      $9.12     $2,900.00   $123.72     $11.50
Single
Unit


Double         24.75x12.38      28.12     302.5    $2,750.00      $97.80      $9.09     $3,450.00   $122.69     $11.40
Unit

Triple         37.12x12.38      42.19     453.9    $3,900.00      $92.44      $.59      $4,900.00   $116.14     $10.80
Unit


Peruvian       37.12x12.38      51.56     554.7    $4,750.00      $92.12      $8.56     %5950.00    $115.39     $10.73
Special
Unit I


Peruvian       37.12x12.38      56.25     605.2    $5,150.00      $91.54      $8.51     $6,450.00   $114.67     $10.66
Special
Unit II


</TABLE>






                                                                    Page 8 of 10





<PAGE>


                                     Annex C
                            Individual Purchase Order

       Name

                                               Individual Purchase Order No.:
       Address                                 Date:
       Country
       Telephone:  011-51-1-                   Facsimile:  011-51-1

================================================================================
To:  The Daedalus Project, Inc.
       8653 Richmond Highway                   Contract Reference:  00000000
       Alexandria, Virginia  22309 USA         Daedalus Reference: Pro forma No.
                                               Point of Contact:


--------------------------------------------------------------------------------
   Item      Quantity     Model No.    Description      Unit Price     Extension
--------------------------------------------------------------------------------








--------------------------------------------------------------------------------
TOTAL

--------------------------------------------------------------------------------
 0                                                                            0
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
Total FOB Ontario, Canada : Export packed in 40 ft. container:        $
Export processing, packaging, prepaid inland/ocean freight
to ____________ & forwarder's handling charges ex-works:              $
Freight and insurance                                                 $
Estimated total costs:                                                $
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
    Estimated gross weight:              Estimated cube:  2,560 cubic feet/73
    4575kg./10100 lbs.                   cubic meters


--------------------------------------------------------------------------------
Banking Information
First Virginia Bank
International Department
6400 Arlington Blvd.
Falls Church, Virginia  22046
USA
Fax:  703-241-3464
ABA#:
Account #:
The Daedalus Project, Inc.







                                                                    Page 9 of 10