|   | December 8, 1999**Date** |
|--------|--------------------------|

| DiaSys Corporation             | Waterbury | CT        | 06702-2115 |
|--------------------------------|-----------|-----------|------------|
| **Supplier Name**              | **City**  | **State** | **Zip**    |
|                           |           |           |            |
| 49 Leavenworth Street          | Waterbury | CT        | 06702-2115 |
| **Supplier Address**           | **City**  | **State** | **Zip**    |
|                           |           |           |            |
| Same as above                  |           |           |            |
| **Address Purchase Orders To** | **City**  | **State** | **Zip**    |
|                           |           |           |            |
| Same as above                  |           |           |            |
| **Address Payment To**         | **City**  | **State** | **Zip**    |
|                           |           |           |            |
| Same as above                  |           |           |            |
| **Product Returns To**         | **City**  | **State** | **Zip**    |

| **Telephone#:**203/755-5083                               |   | **Corporate HIN #**06-1339248                             |   |
|-----------------------------------------------------------|--------|-----------------------------------------------------------|--------|
| **800 #:**800/360-2003           |   |                                                      |   |
| **Fax#:** 203/755-5105      |   |                                                      |   |
| 14 Days ARO                                               |   | Monday                                                    |   |
| **General Lead Time**                                     |   | **Preferred Day to Receive        Stock Purchase Orders** |   |

|  | Laboratory instruments which automate and standardize      routine urine sediment analysis |
|--|--------------------------------------------------------------------------------------------|

| o  Over      500 employees (Large Firm) | ý  Under      500 employees (Small Firm) |
|--------------------------------------------------------|---------------------------------------------------------|

| o  Not      Applicable | ý  Small | o  Small-Disadvantaged | o  Woman-Owned |
|---------------------------------------|-------------------------|---------------------------------------|-------------------------------|

| o  Sheltered      Workshop | ý  HUB      Enterprise Zone | o  Disabled      Am. Veteran-Owned |
|-------------------------------------------|--------------------------------------------|---------------------------------------------------|

----

| Medical Device  ý | Drug  o | Food  o | Cosmetic  o | Biologic  o |
|----------------------------------|------------------------|------------------------|----------------------------|----------------------------|

|   | YES, Registration #      N/A       | Yes o       No      o |
|--------|-------------------------------------------------------------------------------------------|--------------------------------------------------------------------|
|   | If yes, please provide a copy      of the Drug Listing Form FDA-2657                      |                                                                    |
|   | Are any products labeled as prescription      drugs?                                      | Yes o       No      o |

|   | YES, Registration #  1223854                                                                                                                                                                                     | Yes ý       No      o |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------|
|   | Are any product(s) pre-enactment      medical devices                                                                                                                                                                                                         | Yes o       No      ý |
|   | If yes, please provide a copy      of the Device Listing Form FDA-2892 Are any of the product(s) post-enactment      medical devices?                                                                                                                         | Yes ý       No      o |
|   | If yes, please provide a copy      of the FDA Premarket Notification (510k) clearance letter or the premarket      approval response. Also, please provide a copy of the Device Listing Form      FDA-2892. Are any products labeled as prescription devices? | Yes o       No      ý |

| Are any products expiration dated?                                                                                                                                                                                                                       | Yes o       No      ý |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------|
| Do any products contain natural rubber latex?                                                                                                                                                                                                            | Yes o       No      ý |
| Do any products require a warning as a Carcinogen      or Reproductive Toxicant as defined by California Proposition 65?                                                                                                                                 | Yes o       No      ý |
| Are any products labeled "Sterile"                                                                                                                                                                                                                       | Yes o       No      ý |
| Are any of your products manufactured with      or contain CFCs?                                                                                                                                                                                         | Yes o       No      ý |
| Are any of your products considered      hazardous (including Consumer Commodity, ORM-D) by the Department of Transportation      while in transit?                                                                                                      | Yes o       No      ý |
| Do any products have Material Safety Data Sheets?                                                                                                                                                                                                        | Yes o       No      ý |
| Do any product labels state storage temperature      ranges or requirements?                                                                                                                                                                             | Yes ý       No      o |
| Do any products require special shipping conditions      for temperature control?                                                                                                                                                                        | Yes o       No      ý |
| Are any of the products a chemical,      chemical reagent, or impregnated with a chemical (for example: detergent,      disinfectant, germicide, hand lotion, soap, alcohol swabs, cream, gel, paste,      powder, acid, base, solvent, adhesive, etc.)? | Yes o       No      ý |

----

| Do any products contain a microprocessor,      electronic controller, hardware or software that has a calendar or real      time clock? | Yes ý       No      o |
|-----------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------|

|   | If yes, do you certify that      all such products will function properly without regard to Year 2000 issues?             | Yes ý       No      o |
|--------|---------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------|
|   | If no, please attach a detailed      explanation of product related issues which may arise as a result of Year      2000. |                                                               |

| Do you anticipate manufacturing private label      products for Allegiance?        | Yes o       No      ý |
|------------------------------------------------------------------------------------|--------------------------------------------------------------------|
| Do any of your products require tracking to      the patient level per 21 CFR 821? | Yes o       No      ý |
|                                                                               |                                                               |
|                                                                               |                                                               |
|                                                                               |                                                               |
|                                                                               |                                                               |
|                                                                               |                                                               |
|                                                                               |                                                               |

----

| I.     | PRIMARY CONTACT(S)                              |             |         |           |
|--------|-------------------------------------------------|------------------|--------------|----------------|
|   | Name                                            | Title            | Phone        | E Mail         |
|   | Todd M. DeMatteo                                | President/CEO    | 203/755-5083 | diasyscorp.com |
|   | Marketing                                       |             |         |           |
|   |                                            |             |         |           |
|   | Todd M. DeMatteo                                | "                | "            | "              |
|   | Sales                                           |             |         |           |
|   |                                            |             |         |           |
|   | Carol Bopp                                      | Customer Service | "            | "              |
|   | Customer Service                                |             |         |           |
|   |                                            |             |         |           |
|   | N/A                                             |                  |              |                |
|   | National Accounts/Multi-Healthcare      Systems |             |         |
|   |                                            |             |         |           |
|   | Richard Manville                                | Manager-Finance  | "            | "              |
|   | Accounting                                      |             |         |           |
|   |                                            |             |         |           |
|   | Carol Bopp                                      | Customer Service | "            | "              |
|   | RA/QA                                           |             |         |           |
|   |                                            |             |         |           |
|   | Richard Manville                                | Manager-Finance  | "            | "              |
|   | Shipping                                        |             |         |           |
|   |                                            |             |         |           |
|   | Laura Marshall                                  | Field Services   | "            | "              |
|   | EDI                                             |             |         |           |
|   |                                            |             |         |           |
|   | Todd m. DeMatteo                                | President/CEO    | "            | "              |
|   | Pricing                                         |             |         |           |
|   |                                            |             |         |           |
| II.    | BACKGROUND INFORMATION                          |             |         |
| A.     | Marketing Overview                              |             |         |           |

|   | 1. | Description of Product Category(ies) | Laboratory testing of bodily      fluids.                                                                                                                                                                                                                                                                                                     |   |
|--------|----|--------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|   | 2. | Total Industry Sales per Category    | N/A                                                             |   |
|   | 3. | Supplier's Annual Sales Per Category | N/A                                                             |   |
|   | 4. | Current Sales Trend Per Category     | N/A                                                      Yellow |   |

|   | 5. | Top 3 Competitive Products       (include Supplier name) | 1) Iris         2) UF100      3) Kova  | - Iris      - Sysmex Corp of Am.       - Hycor Biomedical |
|--------|----|----------------------------------------------------------|-------------------------------------------------------|-----------------------------------------------------------|

----

| B. | Specific Supplier Information |
|----|-------------------------------|

|        | 1.     | Is your Business | o  Domestic      | o  International       | ý  Both? |
|--------|--------|------------------|---------------------------------|---------------------------------------|-------------------------|
|   |   |             |                            |                                  |                    |
|   | 2.     | Is your Company  | o  International | ý  Publicly      Held? |                    |
|   |   |             |                            |                                  |

|   | 3. | Is your company a subsidiary or division of      a larger entity? | o  Yes            ý   No |   |
|--------|----|-------------------------------------------------------------------|---------------------------------------------------------------------------------|--------|

|  |  | If yes, please indicate the name      and address of the parent company.       N/A |
|--|--|------------------------------------------------------------------------------------|

|   | 4.     | Do you Participate in Rebate Programs?       | ý  Yes            o   No            |   |
|--------|--------|----------------------------------------------|--------------------------------------------------------------------------------------------|--------|
|   |   |                                         |                                                                                       |   |
|   | 5.     | Do you Currently Employ a Sales Force?       | ý  Yes--How        Many  8  o   No            |   |
|   |   | Manufacturing Reps?                          | o  Yes--How        Many      ý   No |   |
|   |   |                                         |                                                                                       |   |
|   | 6.     | What is your Current Method of Distribution? | o  Direct          ý  Distributors                      |   |

|  |   | Please List: | Direct in U.S.  Bayer Inc. in Canada  Multiple distribution outside North America |
|--|--------|--------------|-----------------------------------------------------------------------------------|

|   | 7. | Where are your Manufacturing Locations? |
|--------|----|-----------------------------------------|

|  |   |  | 49 Leavenworth Street |
|--|--------|--|-----------------------|
|  |   |  | Waterbury, CT 06702   |

|   | 8. | Primary Shipping Mode (circle      One): UPS/RPS LTL (Less than Truckload) |
|--------|----|----------------------------------------------------------------------------|

|        | 9.     | Shipment Origin(s): | Primary:   | Waterbury | CT     | 06702  |        |
|--------|--------|---------------------|------------|-----------|--------|--------|--------|
|        |   |                |       | City      | State  | IL     |        |
|        |   |                |       |      |   |   |        |
|        |   |                | Secondary: | N/A       |        |        |        |
|   |   |                |       | City      | State  | IL     |   |
|   |   |                |       |      |   |   |   |
|   |   |                | Other:     | N/A       |        |        |   |
|   |   |                |       | City      | State  | IL     |   |
|   |   |                |       |      |   |   |   |
|   |   |                |       |      |   |   |   |

----

|   | 10. | Will you ship directly to the end user? If      Yes, is there a: |
|--------|-----|------------------------------------------------------------------|

|   |   | - | Minimum order    | No |                                               |
|--------|--------|---|------------------|----|----------------------------------------------------|
|   |   | - | Dropship fee     | No | We prefer to drop ship for for      safety reasons |
|   |   | - | Loss of discount | No |                                               |
|   |   | - | Other penalties  | No |                                               |

|   | 11. | Please Check Where You Are EDI Ready: |
|--------|-----|---------------------------------------|

|   |   | o  850-Stock      PO | o  856-Ship        Notice | ý  810-Invoice |   |
|--------|--------|-------------------------------------|------------------------------------------|-------------------------------|--------|

|   |   | o  832      Price/Sales Catalog | o  845        Contract Notification |   |
|--------|--------|------------------------------------------------|----------------------------------------------------|--------|

|   | 12.    | Are all your EDI systems ANSI (X12)?                                | o  Yes            ý   No |   |
|--------|--------|---------------------------------------------------------------------|---------------------------------------------------------------------------------|--------|
|   |   |                                                                |                                                                            |   |
|   |   | If no, are all your EDI systems      otherwise Year 2000 compliant? | o  Yes            ý   No |   |

|   |  | If no, please provide detailed      written explanation: |
|--------|--|----------------------------------------------------------|

|   |   |   |                         |
|--------|--------|--------|------------------------------|
|        |   |        | We do not currently use EDI. |
|        |   |        |                              |

|   | 13. | Will your company be able to provide products      without interruption caused by Year 2000 System issues? | ý  Yes            o   No |   |
|--------|-----|------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------|--------|

|   |  | If no, please provide detailed      written explanation: |
|--------|--|----------------------------------------------------------|

|   |   |   |   |
|--------|--------|--------|--------|
|        |   |        |        |
|        |   |        |        |

|   |   |                                                                                                |                                                                            |   |
|--------|--------|-----------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------|--------|
|   | 14.    | Do you Participate in Hospital Group Purchasing      Contracts?      Please list or attach listing: | ý  Yes            o   No |   |

|   |   | Amerinet, Magnet, InSource, Smithkline Kaiser Permanente, numerous local networks. |
|--------|--------|------------------------------------------------------------------------------------|
|   |   |                                                                               |

----

----

| Accepted by:                         |   |
|--------------------------------------|--------|
|                                      |   |
| Signature                            |   |
|                                 |   |
| Todd M. DeMatteo Name (please print) |   |
|                                 |   |
| President/CEO Title                  |   |
|                                 |   |
| 12/8/99 Date                         |   |

----

| 1. | AREEMENT: This order is Buyer's      offer to Seller and becomes a binding contract, subject to the terms hereof,      when accepted by acknowledgment or commencement of performance by Seller.      Buyer objects to all additions, exceptions, or changes to these terms, whether      contained in any printed form of Seller or elsewhere, unless such terms      are approved by Buyer in writing. To the extent there are any inconsistencies      between such terms and those written on the face of this order, the former      will control. This order constitutes the entire agreement between the parties      with respect to the goods and/or services reflected in this order and all      prior understandings between the parties related to such goods and/or services      are superseded except to the extent that the terms of this order are in      conflict with a written agreement fully executed by both parties in which      case the terms of the fully executed agreement control. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 2. | PRICE AND PACKING: Unless otherwise      specified, the prices stated on the front of this order include all charges      for packing, hauling, storage, and transportation to point of delivery.      Sales and use taxes not subject to exemption shall be stated separately      in Seller's invoice. Seller warrants that the prices quoted in this order      are no greater than those currently charged any other buyer for similar      quantities of goods or services. Any price reduction extended to others      by Seller prior to delivery shall also be extended to Buyer. In the event      Seller breaches this warranty, the prices of the products shall be reduced      accordingly retroactively to the date of such breach.                                                                                                                                                                                                                                                                   |
| 3. | The products shall be packed and      shipped by Seller in accordance with Seller's policies and practices and      good commercial practice and so as to insure that no damage shall result      from weather or transportation.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 4. | CHANGES: Buyer may give written      notice at any time to make changes in the delivery date, scope, or quantity      of the goods or services covered by this order or in other terms hereof,      in which event an equitable adjustment will be made to any price, time of      performance, and other provisions of this order if appropriate. Claims for      such an adjustment must be made within fifteen (15) days from the date of      receipt by Seller of notice of the change. Substitutions or changes in package      count or size or quantities or specifications or changes in labels, labeling      or packaging of goods private labeled for Buyer by Seller shall not be made      without Buyer's prior written approval.                                                                                                                                                                                                                                                                    |
| 5. | OVERSHIPMENTS: Overshipments of      goods not approved by Buyer in writing will be returned at Seller's expense      if such overshipment exceeds 5% of the total quantity.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| 6. | WARRANTY:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |

|   |   | (a) | Seller warrants that the Product      will perform to its published specifications and be free from defects in      material and workmanship under normal use and service for a period of twelve      (12) months from date of Delivery. Seller's sole responsibility under this      warranty is limited to the repair or replacement of any defective part of      such Product which may, in Seller's discretion, be performed at Seller's      or Buyer's premises. The cost of such repair or replacement, including labor      and parts and shipping by UPS ground, is the responsibility of Seller. This      warranty is void if Buyer fails to maintain electrical power and environmental      conditions described in Seller's published specifications or instructions,      or if the Product or any part thereof, has been subject to any unauthorized      modification, accident, neglect, misuse, use of unauthorized software or      media, tampering, or any event other than ordinary and/or authorized use. |
|--------|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   | (b) | Seller warrants that the goods:      (1) are not adulterated or misbranded within the meaning of the Federal      Food, Drug and Cosmetic Act as amended (the "Act"), or within the meaning      of any applicable state or municipal law in which the definitions of "adulteration"      and "misbranding" are substantially identical with those contained in the      Act; (2) are not goods which may not under the provisions of Sections 404,505,512,515,      or 516 of the Act be introduced into interstate commerce, or which may not      under substantially similar provisions of any state or municipal law be      introduced into commerce; and (3) are in full compliance with the Biological      Products section of the Public Health Service Act. |
|--------|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   | (c) | Seller warrants that all products      sold to Allegiance shall be Year 2000 compliant and Seller's supply of product      to Allegiance under this order shall not be interrupted due to problems      relating to the Year 2000.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |   | (d) | AII these warranties and other      warranties as may be prescribed by law shall extend to Buyer, its successors,      assigns, and customers and to users of the goods or services and shall run      through any expiration date stated on the goods, or, if no expiration date      is stated, then for a period of one (1) year after delivery. Claims under      these warranties must be made within the applicable period proscribed by      statute.                                                                                                                                                                                                                                                                                                           |

| 7. | INSPECTIONS; TESTING: Goods or services purchased      under this order are subject to. Buyer's reasonable inspection, testing,      and approval at Buyer's destination at time of delivery. Buyer reserves      the right to reject and refuse acceptance of goods or services which are      not in accordance with this order or Seller's representations or warranties,      express or implied. Rejected goods or services may be returned to Seller,      or held by Buyer, at Seller's risk and expense. Payment for any goods or      services under this order shall not be deemed acceptance of the goods or      services. |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 8. | RECALL: In the event that a recall of the goods      or product corrective action is necessitated by a defect, a failure to conform      to the specifications, applicable laws, or any other reason within Seller's      control not due to Buyer's negligent act or omission, Seller shall bear      all costs and expenses of such recall or corrective action including without      limitation, costs of notifying customers, customer refunds, costs of returning      goods, lost profits, and other expenses incurred to meet obligations to      third parties.                                                               |
| 9. | SPECIAL LAWS: In filling this order, Seller      will comply with all applicable federal, state, and local laws, ordinances,      regulations, rules, declarations, interpretations and orders issued thereunder,      including the following:                                                                                                                                                                                                                                                                                                                                                                                        |

|   |   | (a) | Executive Order 11246 as amended,      which provides in part that Seller will take affirmative action with regard      to recruiting and retaining minorities in all levels of its workplace, including      all requirements set forth in Section 202 of the Executive Order which are      incorporated by reference; |
|--------|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   | (b) | laws prohibiting discrimination      on the basis of an applicant's or employee's protected status; and,                                                                                                                                                                                                                 |

----

|   |   | (c) | the affirmative action and nondiscrimination      requirements provided by 41 CFR 60- 250.4(m) and 41 CFR 65.741.4(1) protecting      the interests of handicapped workers and disabled and Vietnam-era veterans.      Seller also represents that:                                                                                                                                |
|--------|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   | (d) | the goods are consistent with,      and can be used in compliance with, the Occupational Safety and Health Act      of 1970 (OSHA), that services to be performed on Buyer's premises will be      consistent with OSHA provisions, and that Seller will provide Buyer a current      material safety data sheet (MSDS) for hazardous chemical substances as required      by law; |
|   |   | (e) | for any order over $10,000, Seller      shall have an approved plan for small business concerns and small disadvantaged      business concerns as specified under Public Law 95-507 unless Seller itself      is one of these concerns;                                                                                                                                            |
|   |   | (f) | the goods and services are provided      in compliance with federal, state and local environmental laws and regulations      according to the terms of Seller's insurance coverage,                                                                                                                                                                                                |

| 10. | INDEMNIFICATION: Seller shall      defend, indemnify, and hold Buyer, its successors, assigns, officers, directors,      employees, customers, and users of the goods or services harmless with respect      to all claims, liability, damage, loss and expenses, including attorney's      fees, incurred relating to or caused by, or arising from: |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   | (a) | actual or alleged patent, copyright,      or trademark, infringement or violation of other proprietary rights, arising      out of the purchase, sale, or use of the goods or services covered by this      order,                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|--------|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   | (b) | actual or alleged      defects in the services or in the design, manufacture or material of t he      goods;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|   |   | (c) | actual or alleged breach of warranty;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|   |   | (d) | failure of Seller to deliver the      goods or services on a timely basis: including liquidated damages and costs      to recover; or,                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   |   | (e) | failure of the goods or services      to meet the requirements of the applicable federal, state, and. local law,      ordinances, regulations, rules, declarations, interpretations and orders.      law including without limitation the following statutes: Federal Food, Drug,      and Cosmetic Act; Biological Products section of the Public Health Service      Act; Federal Insecticide, Fungicide, and Rodenticide Act; Resource Conservation      and Recovery Act; Federal Caustic Poison Act; Toxic Substances Control Act;      Flammable Fabrics Act; Fair Packaging and Labeling Act; Wool Products Labeling      Act; Magnuson-Moss Warranty Federal Trade Commission Improvement Act; Fair      Labor Standards Act; "Special Laws" stated in Paragraph 9 above; and Occupational      Safety and Health Act of 1970.       In the event of a claim under this paragraph, Buyer may at its option terminate      this order or defer acceptance of the balance of the goods or services ordered      until the claim is resolved. If Buyer is enjoined from use of the goods,      Seller shall, at Seller's option, either procure for Buyer the right to      continue using the goods, replace the goods with substantially equivalent      goods, modify the goods so as to be usable by Buyer, or repurchase the goods      at the price set forth in this order. This Paragraph 10 shall not be construed      to indemnify Buyer for any loss to the extent it is attributable to Buyer's      design, specification, or negligence. |

----

| 11. | INSURANCE: Seller shall, at its      sole expense, obtain and keep in force, for three years after the last delivery      under this order, the following insurance covering the Seller and the Seller's      agents, employees, representatives and subcontractors: |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   | (a) | **Comprehensive or Commercial      General Liability** in an amount not less than $3 Million each occurrence      combined single limit for bodily injury and property damage for: (1) Premises-Operations,      (2) Products/Completed Operations Liability (3) Vendors Liability (4) Blanket      Contractual Liability (5) Personal injury (6) Independent Contractor's Protective      Liability (if subcontractors employed to perform portions of the Services). |
|--------|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | If services are to be performed      under this order while on Buyer's premises, the above insurance obligations      of Seller shall also include: |
|--|-----------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   | (b) | Comprehensive Automobile Liability      for owned, hired and nonowned motor vehicles with the same coverage amounts      as specified above;                                                                                                                                                                                                                                                                              |
|--------|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   | (c) | Workers' Compensation in accordance      with applicable statutory requirements and Employer's Liability in an amount      of not less than $1 Million;                                                                                                                                                                                                                                                                   |
|   |   | (d) | if equipment installation or      refurbishing/remodeling/minor construction of existing facilities is part      of this order, All Risk Installation Floater Property Insurance covering      loss or damage to the Seller's property damage arising out of the installation,      assembly, or testing of equipment or construction at Buyer's facility;                                                                |
|   |   | (e) | Prior to any delivery of product,      service or equipment under this order, Seller shall furnish Buyer with certificates      of insurance evidencing the required insurance, which shall name Buyer as      an additional insured as regards to paragraphs (a) and (b), and require      at least thirty (30) days' written notice to Buyer prior to any cancellation,      nonrenewal or material change in coverage. |

| 12.    | RISK OF LOSS: Risk of loss or      damage to the products shall be on Seller until the products have been delivered      to and accepted by Buyer notwithstanding any other terms contained herein.      All products will be received by Buyer subject to its right of inspection      and rejection which shall occur within 15 days following Delivery.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 13.    | BUYER-FURNISHED MATERIAL: Seller      shall not use, reproduce, or appropriate for or disclose to anyone other      than Buyer, any material, tooling, dies, drawings, designs, or other proprietary      information of Buyer ("Material") nor shall Seller use the same to manufacture      more products than are required hereunder without Buyer's prior written      approval. Title to all Material shall remain in Buyer at all times, and.      where practicable the Material shall be clearly marked or tagged to indicate      this ownership. Seller shall bear the risk of loss or damage to the Material      until it is returned to Buyer. All Material, whether or not soiled or used,      shall be returned to Buyer at termination or completion of this ordered      unless Buyer shall otherwise direct. This provision shall survive termination      of this order, the products and to notify Seller of any non-conformance      with the terms and conditions of the order. Buyer may reject any products      which do not conform to the terms and conditions of this order. Product      so rejected may be returned to Seller or held by Buyer at Seller's risk      and expense. |

----

| 14. | NOTICE OF LABOR DISPUTES: Whenever      an actual or potential labor dispute is delaying or threatens to delay the      timely performance of this order, Seller shall immediately give notice thereof,      including all relevant information with respect thereto, to Buyer, Seller      shall insert the substances of this paragraph in any subcontract hereunder      so that each such subcontract shall provide that in the event its timely      performance is delayed or threatened by delay by any actual or potential      labor dispute, the subcontractor shall immediately notify Seller of all      relevant information with respect to such dispute. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 15. | TRADEMARKS: Buyer warrants that      all of the trademarks Buyer requests Seller to affix to the products purchased      are those owned by Buyer and it is understood Seller shall not acquire or      claim any rights, title, or interest therein, or sue any such trademarks      on any products produced for itself or anyone other than Buyer.                                                                                                                                                                                                                                                                                                                   |
| 16. | REFERENCES TO BUYER: Except to      the extent required by law, Seller shall make no reference, advertisement,      or promotion regarding Buyer or Buyer's purchase or use of the goods or      services covered by this order without prior written consent of Buyer.                                                                                                                                                                                                                                                                                                                                                                                                 |
| 17. | USE OF SELLER'S INFORMATION: All      information disclosed to Buyer in connection with this order is furnished      as part of the consideration for Buyer's placement of this order. This information      is not to be treated as confidential or proprietary, and no claim will be      asserted against Buyer, its assigns, or customers for its disclosure or      use.                                                                                                                                                                                                                                                                                           |
| 18. | TERMINATION:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |

|   |   | (a) | Buyer may terminate this order,      in whole or in part, without liability to Buyer, if Buyer anticipates Seller's      breach of this order and Seller does not provide adequate assurance of its      performance within ten (10) days of Buyer's request; if deliveries are not      made at the time or in the quantities specified; or in the event of a breach      or failure by Seller to meet other terms of this order which remains uncured      within ten (10) days following Buyer's request. This right shall be in addition      to any other remedies provided Buyer by law.                                                                                                                                                                                                                                                                         |
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|   |   | (b) | Buyer may terminate this order,      in whole or in part, at any time for its convenience by notice to Seller      in writing. Upon receipt of such notice, Seller shall, to the extent specified      in such notice, stop work under this order (by itself and permitted subcontractors).      Seller's sole compensation for such termination shall be payment by Buyer      of all product property Delivered at time of termination, plus the percentage      of the total order price corresponding to the proportion of work completed      in filling the order termination, plus prior to such notice, plus any reasonable      expenses incurred by Seller in terminating orders and work in progress.      Such termination claim must be submitted to Buyer within sixty (60) days      of the date of termination and shall be subject to audit by Buyer. |
|   |   | (c) | Upon any termination under this      paragraph, title to all equipment, materials, work-in-progress, finished      products, plans, drawings, specifications, information, special tooling,      and any other items for which Seller may submit a claim shall vest in Buyer      and Seller shall promptly deliver these items to Buyer and take all necessary      action to protect such property prior to such delivery. The provisions of      paragraph 5 through 18 and 20 shall survive any expiration or termination      of this order.                                                                                                                                                                                                                                                                                                                      |

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|   |   | (d) | Buyer shall have the right to      audit all elements of any termination claim and Seller shall make available      to Buyer on request all books, records, and papers relating thereto. Buyer      shall pay all expenses of and associated with such au |
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| 19. | SETOFF: Any counterclaims against      Seller or any of its related entities by Buyer or any of its related entities      which arise out of this or any other transaction may be set off against      any money due Seller under this order.                                                                                                                                                                                                             |
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| 20. | ASSIGNMENT; SUBCONTRACTING: Seller      shall not assign this order or subcontract any material portion of the performance      of it without Buyer' prior written consent. If any goods are made to Buyer's      design, all subcontracting by Seller shall be subject to Buyer's prior written      consent. Seller's right to receive payment under this order may not be assigned      to any person or entity without Buyer's prior written consent. |
| 21. | CONTROLLING LAW: This order and      the performance under it shall be controlled and governed by the law of      the state shown in Buyer's address on the face of this order, and Seller      hereby submits to the jurisdiction of the courts of that state for purposes      of resolving any dispute.                                                                                                                                                |
| 22. | GENERAL: All warranties shall      be construed as conditions as well as warranties. No waiver or a breach      or of any provision of this order shall constitute a waiver of any other      breach or provision. No modification or change in, or departure from, or      waiver of the provisions of this order shall be valid or binding unless      approved by Buyer and Seller in writing.                                                         |

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