| **1.** | **Products** |
|--------|--------------|

|   | **(a)** | **Products Covered by this      Agreement**      The products covered by this Agreement are those products and accessories      set forth in the attached Addendum A, together with the parts and      components necessary for the repair and replacement thereof, and all modifications,      improvements and developments pertaining thereto (collectively, the "Products").      Addendum A shall be amended automatically from time to time without      any further act of the parties to delete any Products the sale of which      has been generally discontinued by SUPPLIER. Products may also be added      to this Agreement pursuant to Section 1(b). |
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|   | **(b)** | **New Products**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |

|   |   | (1)    | SUPPLIER shall submit to DISTRIBUTOR      specifications and, where feasible, samples of each new product which SUPPLIER      intends to manufacture. Within sixty (60) days after such submission, DISTRIBUTOR      may acquire non-exclusive rights to promote, market, sell and distribute      such new products, by advising SUPPLIER in writing that DISTRIBUTOR is electing      to add such new products to the Products set forth in Addendum A.                                                                                                                                                     |
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|   |   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
|   |   | (2)    | Upon DISTRIBUTOR's election, in      its sole discretion, not to promote, market, sell and distribute such new      products on the terms and conditions of this Agreement, SUPPLIER shall be      free to market such new products as it deems fit; provided, however, that      SUPPLIER shall not at any time offer a third party the right to promote,      market, sell and distribute new products on terms and conditions other than      those set forth herein without first giving DISTRIBUTOR the opportunity,      on sixty (60) days' prior notice, to accept such revised terms and conditions. |

| **2.** | **Grant of Non-exclusive Distributorship** |
|--------|--------------------------------------------|
|   |                                       |

|   | (a) | SUPPLIER hereby grants to DISTRIBUTOR,      and DISTRIBUTOR hereby accepts, on the terms and conditions stated in this      Agreement, the non-exclusive right during the term of this Agreement to      promote, market, sell and distribute the Products throughout the United      States. |
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|   | (b) | Nothing in this Agreement shall      prohibit DISTRIBUTOR from promoting, marketing, selling and distributing      other articles, including ones that compete with the Products. |
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| **3.** | **Term and Renewal**      The initial term of this Agreement shall begin on the date set forth on      the signature page of this Agreement and shall continue for a period of      thirty-six (36) months, and, unless earlier terminated as set forth in Section      12 or by either party at the expiration of the then current term upon not      less than ninety (90) days' prior notice, shall thereafter renew automatically      for additional and successive terms of one (1) year each.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
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|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| **4.** | **Price and Payment**      The price to DISTRIBUTOR for the Products purchased pursuant to this Agreement      shall be the applicable price for such Products as set forth in Addendum      A. SUPPLIER may increase the prices for the Products no more than once in      any calendar year by giving notice to DISTRIBUTOR at least ninety (90) days      prior to the effective date of such change, which shall be on the first      day of January; provided, that such price increases shall be limited to      actual increases in SUPPLIER's costs; and provided further, that DISTRIBUTOR      shall have the right to request and receive written explanation of the increased      costs supporting such proposed price increases. Costing on new Products      shall be determined based on SUPPLIER's cost, increased to reflect SUPPLIER's      profit margin consistent with existing Products. Notwithstanding anything      contained herein to the contrary, all pricing information regarding the      Products shall be treated as "confidential" in accordance with Section 11      hereof. |
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| **5.** | **DISTRIBUTOR's Duties****DISTRIBUTOR shall:**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |

|   | (a) | Submit its order for Products      on DISTRIBUTOR's standard purchase order form, via electronic data interchange      or other method of electronic commerce. All purchase orders shall be governed      only by the terms and conditions of this Agreement, notwithstanding any      inconsistent preprinted terms or conditions appearing elsewhere on any other      DISTRIBUTOR or SUPPLIER document. |
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|   |     |                                                                                                                                                                                                                                                                                                                                                                                                            |
|   | (b) | Pay all invoiced amounts within      thirty (30) days of receipt of the Products; provided, that DISTRIBUTOR      shall be given a two percent (2%) discount thereon if all invoiced amounts      are paid within ten (10) days of receipt.                                                                                                                                                                |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                            |
|   | (c) | Communicate to SUPPLIER any modifications,      design changes or improvements respecting the Products suggested by any      customer in writing.                                                                                                                                                                                                                                                          |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                            |
|   | (d) | Advertise, promote, market, sell      and distribute the Products by methods which in the Supplier's and DISTRIBUTOR's      sole judgment are best suited for the sale of the Products.                                                                                                                                                                                                                    |

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| **6.** | **SUPPLIER's Duties** |
|--------|-----------------------|
|        |                  |

|   | (a) | Ship all Products as directed      by DISTRIBUTOR in accordance with the following: |
|--------|-----|-------------------------------------------------------------------------------------|

|   |   | (1)    | All Products shipped by SUPPLIER      to DISTRIBUTOR, if applicable, shall be shipped FOB DiaSys US or DiaSys      UK Destination, freight prepaid; via DISTRIBUTOR's specified carriers in      accordance with DISTRIBUTOR's most recently published routing guides and      shipping instructions. UPS or similar parcel-like shipments shall be shipped      by SUPPLIER to DISTRIBUTOR via UPS Consignee Billing.   |
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|   |   |   |                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |   | (2)    | All Products shipped by SUPPLIER      directly to DISTRIBUTOR's customers at DISTRIBUTOR's request; and where      DISTRIBUTOR pays freight, shall be shipped in accordance with DISTRIBUTOR's      most recently published routing guides and shipping instructions.                                                                                                                                                    |
|   |   |   |                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |   | (3)    | For all shipments, any applicable      UPS accessorial charges shall be borne by the Distributor, per published      UPS Tariffs.                                                                                                                                                                                                                                                                                        |
|   |   |   |                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |   | (4)    | Title and risk of loss of all      Products will pass to DISTRIBUTOR upon SUPPLIER's delivery of such Products      either directly to DISTRIBUTOR or DISTRIBUTOR's customers. Proof of delivery      will be required upon DISTRIBUTOR's request.                                                                                                                                                                       |
|   |   |   |                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |   | (5)    | SUPPLIER shall coordinate with      DISTRIBUTOR or DISTRIBUTOR's customers in pursuing claims for loss or damage      to Products in transit.                                                                                                                                                                                                                                                                            |
|   |   |   |                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |   | (6)    | Any deviation from the delivery      terms in this Section 6(a) must be agreed upon in writing by authorized      representatives of both SUPPLIER's and DISTRIBUTOR's Transportation departments,      respectively, prior to shipment. Failure by SUPPLIER to comply with DISTRIBUTOR's      most recent published routing guides and shipping instructions may result      in freight and administrative chargebacks. |

|   | (b)    | Transfer good and marketable      title to the Products, free and clear of any liens or encumbrances.                                                                                                                                                                                                                                                                                                                                                                                                                                |
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|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|   | (c)    | Pack, package, mark and otherwise      prepare all Products for shipment in a manner which is in accordance with      the standards of the International Safe Transit Association and good commercial      practice, acceptable to common carriers for shipment, and adequate to insure      their safe arrival at the named destination. SUPPLIER shall mark all containers      with necessary lifting, handling and shipping information, purchase order      number, date of shipment and the names of SUPPLIER and DISTRIBUTOR. |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|   | (d)    | Promptly furnish to DISTRIBUTOR,      when reasonably requested from time to time and at no cost, reasonable quantities      of original factory outer cartons and packaging materials.                                                                                                                                                                                                                                                                                                                                              |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|   | (e)    | Submit invoices to DISTRIBUTOR      with each shipment of Products which shall include: [purchase order numbers,      Product numbers, descriptions of Products, quantities, unit price and complete      bill to address for the Products so delivered.]                                                                                                                                                                                                                                                                            |

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|   | (f) | Properly and courteously resolve      billing disputes with DISTRIBUTOR and provide DISTRIBUTOR with such information      or assistance as DISTRIBUTOR may reasonably require to resolve billing disputes      with its customers or freight claims with carriers.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
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|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   | (g) | Except as otherwise agreed, deliver      Products to DISTRIBUTOR having at least six (6) months of shelf-life remaining      from the date of delivery to their expiration dates.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   | (h) | Provide the warranties as set      forth in Section 9.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   | (i) | Promptly refer to DISTRIBUTOR      any inquiries or orders SUPPLIER may receive respecting the promotion, sale,      marketing or distribution of the Products which are reasonably identifiable      as having been generated by DISTRIBUTOR's advertising or sales promotion      efforts.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   | (j) | During the term of this Agreement      and for a period of [three (3)] years following its termination or expiration,      procure and maintain, at its sole cost and expense, with insurers reasonably      acceptable to DISTRIBUTOR, general comprehensive liability insurance covering      each occurrence of bodily injury and property damage in an amount of not      less than $2,000,000 combined single limit (or such other higher limits      as DISTRIBUTOR may reasonably request) with endorsements for product and      completed operations, blanket contractual liability, and broad form vendor's      liability. Such policy of insurance shall name DISTRIBUTOR as an additional      insured thereunder. SUPPLIER shall furnish to DISTRIBUTOR before shipment      of any Products a certificate of insurance evidencing the foregoing endorsements,      coverages and limits, and providing that such insurance shall not be cancelable      or materially changed without at least thirty (30) days' prior written notice      to DISTRIBUTOR. |
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|   | (k) | Timely furnish DISTRIBUTOR, at      no cost, with material safety data sheets and any other documentation reasonably      necessary to enable DISTRIBUTOR to comply with any then prevailing applicable      federal, state, municipal or local law, rule or regulation (collectively,      "Laws") relating to the Products, reasonable quantities of SUPPLIER's sales      literature, product insert sheets and customer instruction manuals and catalogs      for each Product, and, upon request, suitable copy and photographs for use      by DISTRIBUTOR in advertising and cataloging.                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   | (l) | Comply (or cause compliance) in      all material respects with any Laws applicable to the conduct of SUPPLIER's      business or the manufacture, packaging, labeling and sale to DISTRIBUTOR      of Products pursuant to this Agreement including, but not limited to, the      following:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |

|   |   | (1)    | Immediately notifying DISTRIBUTOR      upon becoming aware of any defect or condition (actual or alleged) which      in any way may. alter the specifications or quality of any Products, render      any Products in violation of any Laws including, without limitation, the      Federal Food, Drug and Cosmetic Act, as amended from time to time, and the      regulations issued thereunder (the "Act"), cause revocation of any regulatory      approval with respect to any Products or their sale, give rise to a claim      against DISTRIBUTOR by any third party, or otherwise negatively affect the      salability of any Products. |
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|   |   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   |   | (2)    | Promptly notifying DISTRIBUTOR      of any Products affected by holds or recalls, and reimburse DISTRIBUTOR      for the full price paid for any Products returned to DISTRIBUTOR by a customer,      or to SUPPLIER by DISTRIBUTOR, due to a                                                                                                                                                                                                                                                                                                                                                                                                     |

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|   |   |  | recall or other manufacturing      defect, plus all taxes, transportation and other costs and expenses incurred      by DISTRIBUTOR in the return thereof. |
|--------|--------|--|------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (m)    | Assist DISTRIBUTOR's promotion      activities including, without limitation, having SUPPLIER's personnel accompany      DISTRIBUTOR's sales personnel on sales presentations at such times, at such      places and with expenses allocated as may be agreed upon from time to time      by DISTRIBUTOR and SUPPLIER. SUPPLIER's assistance shall focus particularly      in promoting the technical features, capabilities and benefits of the Products.      SUPPLIER shall also provide DISTRIBUTOR's customers from time to time with      reasonable quantities of sample Consumable Products at no charge, and make      demonstration Products owned by SUPPLIER available from time to time for      demonstrations at the facilities of DISTRIBUTOR's customers, with not less      than 30 days advance notice. |
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|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   | (n)    | Develop and conduct training programs      for DISTRIBUTOR's employees with respect to the Products at such times and      places as may be agreed upon from time to time by DISTRIBUTOR and SUPPLIER,      to be held in group presentations only.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   | (o)    | Make any claims for unpaid invoices      in writing within one (1) year of the date of SUPPLIER's first invoice for      such amount. DISTRIBUTOR shall not be obligated to make payments for, or      investigate, claims which are dated more than one (1) year prior to SUPPLIER's      written claim or request for investigation.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   | (p)    | During the term of this Agreement      and for a period of three (3) years following its termination or expiration,      keep and maintain in accordance with GAAP complete and accurate records,      books of account, reports and other data related to SUPPLIER's sales of      Products to DISTRIBUTOR during the prior three (3) year period.                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   | (q)    | Issue return goods authorizations      without any restocking charges for Products purchased by DISTRIBUTOR as      part of DISTRIBUTOR's initial stocking order, if such Products remain unsold      by DISTRIBUTOR after a period of one (1) year from the date of SUPPLIER's      invoice based upon written notification from Distributor.                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   | (r)    | Notify DISTRIBUTOR, in writing      and no less than thirty (30) days prior to renewal, whenever SUPPLIER reduces      DISTRIBUTOR's margin on Special Price Quotation (SPQ's) renewals.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |

| **7.** | **Force Majeure** |
|--------|-------------------|

|   | (a)    | In the event either party is prevented      from performing its obligations under this Agreement solely by circumstances      beyond the reasonable control and without the fault or negligence of the      party obligated to perform (including, without limitation, strikes or other      labor difficulties except those involving either party, war, shortages of      power or raw material, Laws or acts of God), upon the prompt giving of notice      to the other party detailing such force majeure event and its anticipated      duration, the obligations of the party so prevented shall be excused during      such period of delay, and such party shall take whatever reasonable steps      are necessary to relieve the effect of such cause as rapidly as possible.      The party invoking a force majeure event shall notify the other party promptly      upon the termination of such event. |
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|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|   | (b)    | During the period that the performance      by one of the parties of its obligations under this Agreement has been suspended      by reason of a force majeure event, the other party may likewise suspend      the performance of all or part of its obligations hereunder to the extent      that such suspension is commercially reasonable.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |

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| **8.** | **Proprietary Rights** |
|--------|------------------------|

|   | (a)    | **Patents and Infringement**      SUPPLIER shall prosecute diligently each application for United States patent      which is now or hereafter pending covering some one or more of the Products      and on issuance diligently prosecute each infringer thereof. SUPPLIER shall      repurchase from DISTRIBUTOR, at a price equivalent to the full purchase      price paid by DISTRIBUTOR, any quantity of Products in DISTRIBUTOR's inventory      which DISTRIBUTOR reasonably believes it should not or cannot sell, based      on an opinion of DISTRIBUTOR's counsel that future sales by DISTRIBUTOR      may result in patent, trade name, trademark, service mark, copyright or      trademark infringement, or violation of any other proprietary right, or      because of a decision, whether interlocutory or final, rendered in an action      alleging any such infringement or violation. |
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|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   | (b)    | **Ownership of Proprietary      Rights**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |

|   |   | (1)    | SUPPLIER recognizes that DISTRIBUTOR      is the owner of certain brand names, trademarks, trade names, logos and      other intellectual property connoting DISTRIBUTOR which is proprietary to      DISTRIBUTOR and which DISTRIBUTOR may elect to use in the promotion, marketing,      sale and distribution of the Products, and' that SUPPLIER has no right or      interest in or to any of such intellectual property.                                                                                                                                                                                                                             |
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|   |   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   |   | (2)    | Except as otherwise contemplated      by this Agreement, neither SUPPLIER nor DISTRIBUTOR shall, without the prior      written consent of an authorized officer of the other party, use any of      such other party's brand names, trademarks, trade names or logos, or adopt,      use or register any words, phrases or symbols so nearly resembling any of      such other party's brand names, trademarks, trade names or logos as to be      likely to lead to confusion or uncertainty, or to impair or infringe the      same in any manner, or otherwise imply any endorsement by one party of the      other party or its products or services. |
|   |   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |

|   | (c) | **License**      SUPPLIER hereby grants to DISTRIBUTOR the royalty-free right and license      to use SUPPLIER's manuals, logos, copyrighted information, brand names,      trademarks and trade names on, and in the promotion, marketing, sale and      distribution of, the Products during the term of this Agreement, it being      expressly understood that DISTRIBUTOR shall discontinue the use thereof      upon depletion of DISTRIBUTOR's inventory of the Products following any      expiration or termination of this Agreement. SUPPLIER shall use its best      efforts to register such brand names, trademarks, trade names and logos      where necessary or useful to the successful distribution of the Products. |
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| **9.** | **Product Warranties** |
|--------|------------------------|

|   |   |                                                                                                                                                                                                                                                                                                                         |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | (a)    | As a condition of this Agreement,      SUPPLIER specifically represents and warrants to DISTRIBUTOR that all Products      shipped by SUPPLIER to or on the order of DISTRIBUTOR, its subsidiaries,      affiliates, divisions, subdistributors, agents, representatives or customers,      as of the date of such shipment: |

|   |   | (1) | Are free from defects in design,      operation, workmanship and materials, conform in all respects with all labeling      and product insert sheets and other product specifications and claims made      by SUPPLIER for them, are produced consistent |
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|   |   |     | with good manufacturing practices      and good quality control practices, and are merchantable and fit for their      intended purposes.                                                                                                                                                                                                                                                                                                                                                                                                                |
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|   |   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|   |   | (2) | Do not infringe upon any patent,      trade name, trademark, service mark, copyright, or other proprietary rights      of third parties.                                                                                                                                                                                                                                                                                                                                                                                                                 |
|   |   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|   |   | (3) | Are not products which may not      be introduced into commerce, adulterated or misbranded, or banned devices,      within the meaning of the Act or other Laws.                                                                                                                                                                                                                                                                                                                                                                                         |
|   |   | (4) | Are manufactured, priced, sold,      labeled and packaged in compliance with all Laws applicable to the Products      including, without limitation, environmental protection, health and safety,      energy and employment and labor laws and regulations, applicable industry      codes and standards and the California Safe Drinking Water and Toxic Enforcement      Act of 1986, as amended from time to time.                                                                                                                                   |
|   |   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|   |   | (5) | Are not hazardous substances or,      if they are hazardous substances, are not misbranded or banned hazardous      substances within the meaning of the Federal Hazardous Substances Act, as      amended from time to time (including the former Federal Caustic Poison Act),      and are labeled and packaged in accordance with all Laws relating to hazardous      substances.                                                                                                                                                                     |
|   |   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|   |   | (6) | To the extent such Products are      subject to the Flammable Fabrics Act, as amended from time to time, and      regulations thereunder, have reasonably and representatively been tested      as prescribed by the Consumer Product Safety Commission to ensure conformity,      at the time of shipment, to the flammability standards in effect under the      Flammable Fabrics Act, as amended from time to time, any applicable codes      of the National Fire Protection Association, and any other Laws relating      to flammable substances. |

|   | (b)    | SUPPLIER authorizes DISTRIBUTOR      to pass through all warranties to DISTRIBUTOR's customers.                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
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|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|   | (c)    | SUPPLIER shall promptly replace,      at no cost to DISTRIBUTOR, any Product which, in DISTRIBUTOR's sole judgment,      is defective or non-conforming, with a non-defective or conforming Product      (as applicable) or, at DISTRIBUTOR's option, credit DISTRIBUTOR's account      for all amounts paid with respect to the defective or non-conforming Product.      SUPPLIER shall pay all taxes, transportation and other costs and expenses      incurred by DISTRIBUTOR in the replacement of any defective or non-conforming      Product. |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |

| **10.** | **Indemnification by Supplier** |
|---------|---------------------------------|

|   | (a) | **Indemnification**      SUPPLIER shall indemnify, defend, and hold harmless each of DISTRIBUTOR,      its subsidiaries, affiliates, divisions, subdistributors, agents, employees,      representatives and customers, and its or their respective successors and      assigns (each, an "Indemnified Party") from and against, and in respect      of, any and all actions, claims, suits, judgments, damages, liabilities,      losses, penalties, costs and expenses (including, without limitation, attorneys'      fees) of every kind whatsoever (collectively, "Damages") arising in any      manner out of or from, or in connection with any actual or alleged (i) patent,      copyright or trademark infringement, or violation of any other proprietary      right, arising out of the purchase, sale, distribution or use of any Product,      (ii) breach by SUPPLIER of any term or provision of this Agreement, (iii)      personal injury, wrongful death or property damage arising out of or relating      to any Product including, but not limited to, the use of any |
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|   |     | Product, and (iv) wrongful or      negligent act or omission by SUPPLIER and its officers, directors, shareholders,      agents, servants, employees, representatives or subcontractors; provided,      that this Section 10(a) shall not obligate SUPPLIER to indemnify any Indemnified      Party for any portion of Damages (except for Damages. based on theories      of strict liability) directly attributable to, and directly caused by, the      gross negligence of an Indemnified Party or any unauthorized warranty relating      to the Products by DISTRIBUTOR.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
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|   | (b) | Procedure Each Indemnified Party      shall notify SUPPLIER of any third party claim for which such Indemnified      Party seeks indemnification under this Agreement; provided, that the failure      to deliver such notice shall not affect SUPPLIER's obligations to any Indemnified      Party under this Section 10 except to' the extent that such failure results      in (i) the failure of actual notice to SUPPLIER, and (ii) damage to SUPPLIER,      or an increase in SUPPLIER's indemnification liability, solely as a result      thereof. SUPPLIER may, but is not obligated to, assume the defense of any      claim to which this Section 10 relates or may relate, and may appoint legal      counsel responsible for such defense; provided, that if SUPPLIER chooses      to assume such defense, any Indemnified Party may, at its own expense, select      its own counsel to represent it; and provided further, that SUPPLIER may      not settle any such claim against an Indemnified Party without the prior      written consent of such Indemnified Party. If SUPPLIER elects not to assume      such defense, such Indemnified Party may elect to do so and SUPPLIER shall      pay all costs and expenses of counsel selected by such Indemnified Party      in connection with such defense. Any legal counsel appointed by SUPPLIER      to defend such a claim shall be experienced in the type of litigation involved      and shall be reasonably satisfactory to DISTRIBUTOR. SUPPLIER and each Indemnified      Party shall cooperate fully in connection with all matters related to the      defense of any such claim. |
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| **11.** | **Confidentiality** |
|---------|---------------------|

|   | (a)    | **Information**      During the term of this Agreement, each party may have or may be provided      access to the other party's confidential information and materials (including,      without limitation, marketing, sales and new product development information).      All such information which, if in written or other tangible form, is clearly      designated as "confidential" or, if disclosed orally, is designated as "confidential"      in a written memorandum delivered by the disclosing party promptly following      such oral disclosure, shall be retained in confidence in accordance with      the terms of this Agreement and any applicable separate nondisclosure agreement      between SUPPLIER and DISTRIBUTOR. Further, neither party shall (except as      expressly authorized herein during the term of this Agreement), either during      the term of this Agreement or after its termination or expiration, use,      publish or disclose or cause or permit anyone else to use, publish or disclose      any such information, unless the disclosing party can show by written evidence      that such information was known to it at the time of receipt thereof from      the other party, or until such information becomes publicly available through      no fault of the disclosing party, and except as disclosure may be required      by, or pursuant to, Laws or other act or order of any court, government      or governmental agency, as to which the disclosing party shall give the      party whose information is being disclosed prompt notice, and with whom      the disclosing party shall consult on the possibility of seeking a protective      order or other means to preserve the confidentiality of the information      required to be disclosed. |
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|   | (b) | **Termination**                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|   |     | Upon termination or expiration      of this Agreement, each party shall either return all copies of any confidential      information of the other party described in Section 11(a) in such first      party's possession or control, or certify in writing that all such tangible      information has been destroyed.                                                                                                                                                          |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|   | (c) | **Remedy**      Each party recognizes and acknowledges that the other party would not have      any adequate remedy at law for the breach by the first party of anyone or      more of its obligations contained in this Section 11, and agrees that in      the event of any such actual or potential breach, the non-breaching party      may, in addition to the other remedies which may be available to it, file      a suit in equity to enjoin the other party therefrom. |

| 12.    | **Termination**      Either party shall have the right to terminate this Agreement, effective      immediately upon notice and without prejudice to any of its other rights      or remedies, if the other party: |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                              |

|   | (a) | **Bankruptcy or Insolvency**      Becomes insolvent, bankrupt or shall generally fail to pay its debts as      such debts become due; admits in writing its inability to pay its debts;      has a receiver or trustee appointed for it or its property; makes an assignment      for the benefit of its creditors; has commenced by, for or against it any      proceedings under any Law related to bankruptcy, insolvency or the reorganization      or the release of debtors; or becomes liquidated or dissolved.                                                                                        |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
|   | (b) | **Force Majeure**      Is affected by a force majeure event which continues for more than six (6)      consecutive months.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
|   | (c) | **Default or Breach**      Defaults or is in breach of any material term or provision of this Agreement,      and fails (i) within ten (10) days following delivery by the terminating      party of a notice specifying such default or breach, to notify the terminating      party that such default or breach has been cured or shall be cured within      thirty (30) days following delivery of such notice, or (ii) within thirty      (30) days following delivery by the terminating party of such notice, to      remedy such default or breach to the terminating party's reasonable satisfaction. |

| **13.** | **Procedures on Termination      or Expiration** |
|---------|--------------------------------------------------|

|   | (a)    | **Windup**      For a period of sixty (60) days following the effective date of termination      of this Agreement by DISTRIBUTOR pursuant to Sections 12(h) through .(.d).,      SUPPLIER shall continue to honor DISTRIBUTOR's orders for Products, and      DISTRIBUTOR shall pay for the Products on the terms and conditions of this      Agreement.                           |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                |
|   | (b)    | **Repurchase of Inventory**      Within thirty (30) days after the effective date of termination or expiration      of this Agreement for any reason other than a termination by SUPPLIER pursuant      to Section 12(c), upon written request from DISTRIBUTOR, SUPPLIER shall      repurchase DISTRIBUTOR's inventory of the Products, at the full price paid      by DISTRIBUTOR |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                |

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|   |     | therefor, plus all taxes, transportation      and other costs and expenses incurred by DISTRIBUTOR in connection therewith,      provided however, that such products have greater than six (6) months shelf      life to expiration if applicable. |
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|   |     |                                                                                                                                                                                                                                                     |
|   | (c) | **Survival**      The provisions of Sections 5(b), 6(b), 6(f), 6(J),      6(l), 6(o), 6(p), 6(r), 8, 9,      10, 11 and this 13 shall remain in full force and effect      following the termination or expiration of this Agreement.               |

| **14.** | **Miscellaneous** |
|---------|-------------------|

|   | (a) | **Notices**      All notices required by this Agreement shall be in writing, and shall be      effective on receipt if delivered personally, on the first business day      following the date of mailing if sent by a nationally recognized courier      guaranteeing next day delivery, or . on the third business day following      the date of mailing if sent by certified mail, postage prepaid, addressed      as follows (or to such other addresses as may be designated by similar notice      from time to time delivered to the other party): |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   |   | If to SUPPLIER, to: |
|--------|--------|--------|---------------------|

|   | DiaSys Corporation           |
|--------|------------------------------|
|   | 81 West Main Street          |
|   | Waterbury, CT 06702          |
|   | Attention: Richard Sledziona |

|   |   |   | If to DISTRIBUTOR, to: |
|--------|--------|--------|------------------------|

|   | VWR International, Inc.      |
|--------|------------------------------|
|   | 1310 Goshen Parkway          |
|   | West Chester, PA 19380       |
|   | Attention:__________________ |

|   | (b) | **Merger, Modification and      Waiver**      This Agreement shall be binding upon and inure to the benefit of the parties      hereto and their respective successors and permitted assigns and designees;      provided, however, that SUPPLIER shall not have the right to transfer, assign      or delegate its rights or obligations under this Agreement or any portion      thereof without the prior Merger, Modification and Waiver This Agreement,      the attached Addenda and DISTRIBUTOR's most recently published routing guides      and shipping instructions are the entire agreement between the parties with      respect to the subject matter hereof, there being no prior or contemporaneous      written or oral promises or representations not incorporated herein. No      amendment, modification or waiver of the terms of this Agreement shall be      binding on either party unless reduced to writing and signed by an authorized      officer of the party to be bound and, in the case of a waiver, shall be      effective only in the specific instance, and for the specific purpose for      which given, and shall not be construed as a waiver of any subsequent breach.      The failure of either party to enforce at any time or for any period of      time any of the provisions of this Agreement shall not be construed as a      waiver of such provisions or of the right of such party thereafter to enforce      each and every such provision. |
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|   | (c) | **Construction and Interpretation**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
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|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   |     | The captions in this Agreement      have been inserted for convenience of reference only and do not constitute      a part of, and shall not be considered in construing, this Agreement. If      any portion of this Agreement is held by a court of competent jurisdiction      to be invalid for any reason, the remainder of this Agreement shall not      be deemed invalid but shall remain in full force and effect. No course of      dealing, usage of trade or course of performance shall supplement, explain      or amend any term, condition or instruction of this Agreement, or any shipment      of Products hereunder.                                                                                                                                                                     |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   | (d) | **Applicable Law and Venue**      This Agreement is made pursuant to, and shall be construed and enforced      exclusively in accordance with, the internal laws of the Commonwealth of      Pennsylvania (and United States federal law, to the extent applicable),      without giving effect to otherwise applicable principles of conflicts of      law. The United Nations Convention on Contracts for the International Sales      of Goods expressly does not apply. Any lawsuit arising from or related to      this Agreement shall be brought exclusively before the United States District      Court for the Eastern District of Pennsylvania or any Commonwealth court      sitting in Chester County, Pennsylvania, and each party hereby consents      to the jurisdiction of any such court. |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   | (e) | **Authority to Enter Into      Agreement**      SUPPLIER represents and warrants that it is authorized to enter into this      Agreement and that in so doing it is not in violation of the terms or conditions      of any contract or other agreement to which it may be a party.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   | (f) | **Assignment**      This Agreement shall be binding upon and inure to the benefit of the parties      hereto and their respective successors and permitted assigns and designees;      provided, however, that SUPPLIER shall not have the right to transfer, assign      or delegate its rights or obligations under this Agreement or any portion      thereof without the prior written consent of an authorized representative      of DISTRIBUTOR (except that SUPPLIER may assign this Agreement to a parent,      subsidiary or successor corporation without such consent).                                                                                                                                                                                                                          |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   | (g) | **Nature of Relationship**      Neither party, its agents or employees shall, under any circumstances, be      considered to be an agent, partner, joint venturer or representative of      the other party, or anything other than an independent contractor for all      purposes of this Agreement, and except as may be authorized specifically      in writing, neither party has express or implied authority to bind the other      in any manner whatsoever by virtue of this Agreement.                                                                                                                                                                                                                                                                                                             |
|   |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   | (h) | **Counterparts**      For convenience of the parties, this Agreement may be executed in one or      more counterparts, each of which shall be deemed an original for all purposes.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |

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