MANUFACTURING AND PURCHASE AGREEMENT

Between

A.M.S. ELECTRONICS LTD. (AMS),

and

NEXUS TELOCATION SYSTEMS LTD., NEXUSDATA
(1993) LTD. and

NEXUSDATA, INC.

(NEXUS)

NEXUS agrees to order from AMS, and AMS agrees to manufacture and
supply to NEXUS over a thirty-six month period not less than $36 million of
products developed by NEXUS for vehicle location and automated meter reading
and described on attached Appendices 1 and 2,
as updated in writing by the parties from time to time (the Products) all in accordance with NEXUSs
Specifications and Quality Requirements, and AMS shall deliver the finished
Products exclusively to Nexus and to the NEXUS Customers in accordance with the
terms of this Agreement, all the foregoing subject to the terms and conditions set
out herein.  The purchasing of
customized items, components, manufacture, sale and purchase of the finished
Products will be governed by the terms and conditions of this Agreement.  Unless otherwise agreed to by the Parties,
AMS will provide all manufacturing technology, equipment, labor, materials and
facilities necessary to perform its obligations hereunder.

This Agreement consists of the attached Terms and Conditions and the
Appendices.

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|A.M.S. ELECTRONICS LTD. |  | NEXUS TELOCATION
  SYSTEMS LTD. |     | NEXUSDATA (1993) LTD.  
|----------------------- |  | ------------------------------- | --- | -----------------------
|                        |  |                                 |     |                        
|By:                     |  |                                 | By: |                        
|                        |  |                                 |     |                        
|Signature               |  | Signature                       |     | Signature              
|                        |  |                                 |     |                        
|                        |  |                                 |     |                        
|Typed or
  Printed Name |  | Typed or
  Printed Name         |     | Typed or
  Printed Name
|                        |  |                                 |     |                        
|                        |  |                                 |     |                        
|Title                   |  | Title                           |     | Title                  
|                        |  |                                 |     |                        
|                        |  |                                 |     |                        
|NEXUSDATA, INC.         |  |                                 |     |                        
|                        |  |                                 |     |                        
|By:                     |  |                                 |     |                        
|                        |  |                                 |     |                        
|Signature               |  |                                 |     |                        
|                        |  |                                 |     |                        
|                        |  |                                 |     |                        
|Typed or
  Printed Name |  |                                 |     |                        
|                        |  |                                 |     |                        
|                        |  |                                 |     |                        
|Title                   |  |                                 |     |                        

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MANUFACTURING
AND PURCHASE AGREEMENT

TABLE OF CONTENTS



|SECTION      SUBJECT | PAGE                                              
|-------------------- | --------------------------------------------------
|                     |                                                   
|                     | SIGNATURE
  PAGE                                  
|                     |                                                   
|1.                   | DEFINITIONS                                       
|                     |                                                   
|2.                   | TERM                                              
|                     |                                                   
|3.                   | LICENSE
  TO USE SOFTWARE                         
|                     |                                                   
|4.                   | PURCHASE
  ORDERS & PRODUCT PURCHASE ORDERS       
|                     |                                                   
|5.                   | NEXUS
  FORECASTS & PURCHASE ORDER ADJUSTMENTS    
|                     |                                                   
|6.                   | PROCUREMENT
  OF MATERIALS; INVENTORY MANAGEMENT  
|                     |                                                   
|7.                   | DESIGN,
  MATERIAL AND PROCESS CHANGES            
|                     |                                                   
|8.                   | PURCHASE
  PRICE AND PAYMENT TERMS                
|                     |                                                   
|9.                   | DELIVERY,
  DELAYS, ACCEPTANCE, RETURNS, & CARRIER
|                     |                                                   
|10.                  | WARRANTIES,
  REMEDIES, LIMITATION OF LIABILITY   
|                     |                                                   
|11                   | QUALITY
  AND INSPECTION                          
|                     |                                                   
|12.                  | NON-RECURRING
  ENGINEERING CHARGES               
|                     |                                                   
|13.                  | INVENTORY
  INDEMNIFICATION                       
|                     |                                                   
|14.                  | TERMINATION                                       
|                     |                                                   
|15.                  | REPRESENTATIONS,
  WARRANTIES AND COVENANTS       
|                     |                                                   
|16.                  | CONFIDENTIALITY;
  PROPRIETARY INFORMATION        
|                     |                                                   
|17.                  | INDEMNITIES                                       
|                     |                                                   
|18.                  | MISCELLANEOUS                                     

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|Appendix 1 -
  Products                                            | 
|------------------------------------------------------------------ | 
|                                                                   | 
|Appendix 2 -
  Product Pricing                                     | 
|                                                                   | 
|Appendix 3 -
  Unique Components                                   | 
|                                                                   | 
|Appendix 4 -
  Statement of Work (SOW)                             | 
|                                                                   | 
|Appendix 5 -
  Purchase Order Form                                 | 
|                                                                   | 
|Appendix 6 -
  [Intentionally Deleted]                             | 
|                                                                   | 
|Appendix 7 -
  Initial Inventory Purchase                          | 
|                                                                   | 
|Appendix 7A-
  NEXUS Components                                    | 
|                                                                   | 
|Appendix 8 
  NEXUS TELOCATION LTD. Specific Terms and Conditions | 
|                                                                   | 
|Appendix 9 
  NEXUSDATA LTD. Specific Terms and Conditions        | 
|                                                                   | 
|Appendix 10
   Product Life Test Reports                          | 
|                                                                   | 
|Appendix 11
  - Related Manufacturing Agreement                    | 
|                                                                   | 
|Appendix 12
  - Non-Disclosure Agreement                           | 
|                                                                   | 
|Appendix 13
  - QVL/AVL (B.O.M. With Manufacturers/Vendors)        | 
|                                                                   | 
|Appendix 14
  - Outstanding Matters                                | 

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TERMS AND CONDITIONS

|1. |  | DEFINITIONS                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
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|   |  | Whenever capitalized in this Agreement the following terms shall have
  the corresponding meanings:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |  | Affiliatewith respect to any entity,
  means any other controlling entity, controlled by or under common control
  with such entity.  As used in this
  definition, the term control means direct or indirect ownership or voting
  control of fifty percent (50%) or more of the equity or voting securities of
  the entity in question or having the power, by commitment or otherwise, to
  elect a majority of the Board of Directors (or similar governing body) of the
  entity in question.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |  | Agreementmeans this Manufacturing and
  Purchase Agreement between NEXUS and AMS.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |  | Assigneeshas the meaning set out in
  Section 18.9 (Authorized Personnel).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |  | B.O.M.means the bill of materials of a
  Product.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |  | Change Orderhas the meaning set out in
  Appendices 8 and 9 (Change to Purchase Orders).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |  | Confidential Informationmeans: (a) for
  NEXUS, including but not limited to, all data relating to NEXUS Proprietary
  Components supplied to AMS by NEXUS or a NEXUS Authorized Vendor, the Product
  Documentation, the Specifications, the Quality Requirements, the Production
  File, the Products, any Software, equipment or fixtures developed by or for
  NEXUS, and any trade secrets and intellectual property rights related to or
  arising from any of the foregoing; and (b) any information, including but not
  limited to any information relating to either Partys product plans, designs,
  costs, prices and names, finances, marketing plans, business opportunities,
  customers, potential customers, personnel, research, development or know-how,
  that is provided in connection with this Agreement in any and all medium; and
  (c) the terms and conditions of this Agreement;  provided, however, that Confidential Information will not
  include information that: (i) is or becomes generally known or available by
  publication, commercial use or otherwise through no fault of the receiving
  Party; (ii) is independently developed by the receiving Party as can be
  substantiated by written records; (iii) is lawfully obtained from a third
  party who has the right to make such disclosure; or (iv) is required to be
  disclosed pursuant to applicable laws, including securities laws or stock
  exchange regulations.

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| |  | Delivery or Delivermeans delivery of, or to deliver, the quantity
  of Products ordered by NEXUS in a particular Purchase Order to the Delivery
  Point.                                                                                                          
| |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |                                                                                                                                                                                                                                                                       
| |  | Delivery Pointmeans NEXUS Customers site
  or NEXUS offices, as shall be specified by NEXUS in the relevant Purchase
  Order.                                                                                                                                      
| |  |                                                                                                                                                                                                                                                                       
| |  | Effective Dateshall be defined as the
  first day of April 2002.                                                                                                                                                                                                    
| |  |                                                                                                                                                                                                                                                                       
| |  | Engineering Change Orderor ECOhas the meaning set out in Section
  7.2 (At NEXUSs Request).                                                                                                                                                                      
| |  |                                                                                                                                                                                                                                                                       
| |  | Forecasthas the meaning set out in
  Appendices 8 and 9 (Forecasts).                                                                                                                                                                                                
| |  |                                                                                                                                                                                                                                                                       
| |  | Marked Materials
  has the meaning set out in Section 16.3 (NEXUS Marks).                                                                                                                                                                                           
| |  |                                                                                                                                                                                                                                                                       
| |  | Nexusshall mean Nexus Telocation Systems
  Ltd., NexusData Ltd. and NexusData, Inc.                                                                                                                                                                                 
| |  |                                                                                                                                                                                                                                                                       
| |  | NEXUS Authorized Vendormeans (i) NEXUS,
  (ii) third parties selected, approved and qualified by NEXUS in writing,
  including but not limited to vendors which appear on a QVL/AVL, and (iii)
  with NEXUSs prior written approval, third parties selected by AMS.
| |  |                                                                                                                                                                                                                                                                       
| |  | NEXUS Componentsmeans components to be
  supplied by NEXUS Authorized Vendors to AMS from time to time for purposes of
  the assembly, manufacture and testing of the Products and/or Spare Parts
  hereunder.                                                      
| |  |                                                                                                                                                                                                                                                                       
| |  | NEXUS Customer means a NEXUS customer that
  has requested NEXUS to build and implement a custom designed solution for
  such customers use.                                                                                                                       
| |  |                                                                                                                                                                                                                                                                       
| |  | Nexus Data shall mean NexusData (1993)
  Ltd. and NexusData, Inc.                                                                                                                                                                                                   
| |  |                                                                                                                                                                                                                                                                       
| |  | NEXUS Markshas the meaning set out in
  Section 16.3 (NEXUS Marks).                                                                                                                                                                                                 

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| |  | NEXUS Proprietary Components means
  components that are special and/or unique components manufactured for NEXUS
  Products and/or Spare Parts based upon NEXUSs drawings and Specifications or
  at NEXUSs order, and all derivatives, enhancements, improvements,
  modifications, adaptations, upgrades and updates thereto.
| |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |                                                                                                                                                                                                                                                                                                                                    
| |  | Nexus Telocation shall mean Nexus
  Telocation Systems Ltd.                                                                                                                                                                                                                                                                      
| |  |                                                                                                                                                                                                                                                                                                                                    
| |  | Notice has the meaning set out in Section
  13.1 (Continuing Manufacturing Obligations).                                                                                                                                                                                                                                         
| |  |                                                                                                                                                                                                                                                                                                                                    
| |  | NRE has the meaning set out in Section 12
  (Non-Recurring Engineering Charges).                                                                                                                                                                                                                                                 
| |  |                                                                                                                                                                                                                                                                                                                                    
| |  | Pre-Production Deliverablesmeans those
  pre-production deliverables that are mutually agreed to by the Parties as
  part of the process of qualifying and introducing new Products.                                                                                                                                             
| |  |                                                                                                                                                                                                                                                                                                                                    
| |  | Procured Materialsmeans the components
  and other materials, if any, purchased by AMS to manufacture and/or deliver
  the Products to the NEXUS Customer under this Agreement.                                                                                                                                                  
| |  |                                                                                                                                                                                                                                                                                                                                    
| |  | Production Files or PF means the manufacturing production
  files in electronic format, including the process flow chart for each type of
  Product, which will be given to AMS by NEXUS prior to the commencement of
  manufacture of each Product.                                                                           
| |  |                                                                                                                                                                                                                                                                                                                                    
| |  | Product Catalog Numberhas the meaning set
  out in Section 4.1.                                                                                                                                                                                                                                                                  
| |  |                                                                                                                                                                                                                                                                                                                                    
| |  | Product Documentationmeans the materials
  making up the Production File which shall be provided by NEXUS to AMS in
  English, and may include some or all of the following, as they may be
  relevant to the performance of AMSs obligations under this Agreement:                                                             
| |  |                                                                                                                                                                                                                                                                                                                                    
| |  | (i)                                                                                                                                                                                                                                                                                                                                
| |  |                                                                                                                                                                                                                                                                                                                                    
| |  | (ii)                                                                                                                                                                                                                                                                                                                               
| |  |                                                                                                                                                                                                                                                                                                                                    
| |  | (iii)                                                                                                                                                                                                                                                                                                                              

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| |  | (iv)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Test and
  inspection procedures and assembly and disassembly instructions,
  troubleshooting procedures, alignment and calibration procedures and safety
  procedures;
| |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |                                                                                                                                                                        
| |  | (v)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 | Data sheets
  for commercially available components with NEXUS-approved sources of supply,
  cross-referenced to the schematics and vendor part number; and            
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |                                                                                                                                                                        
| |  | (vi)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Drawings and
  other materials relating to marking, labeling and packaging.                                                                                            
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |                                                                                                                                                                        
| |  | Product Warrantyhas
  the meaning set out in Section 10.1 (Product Warranty; Extended Warranty).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
| |  | Products means the products identified on Appendix 1, and such new Products as
  NEXUS may wish to add pursuant to Section 4.7 (New Products) as manufactured
  by AMS hereunder.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
| |  | Purchase Pricehas the meaning set out in
  Section 8.1 .                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
| |  | Quality Requirements means the quality
  requirements set forth in the SOW and other instruments, including without
  limitation, the Production File, as shall be provided by NEXUS to AMS in
  writing and updated from time to time. 
  IPC 610 C Class B standards shall be utilized.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
| |  | QVL/AVL means the Qualified Vendor
  List/Approved Vendor List, which is limited to manufacturers appearing in the
  list which shall be supplied by NEXUS in respect of each component to be used
  in the manufacture of the Products. 
  If NEXUS shall wish to make any changes to the QVL/AVL it shall notify
  AMS of the desired change.  Within
  seven (7) calendar days after AMSs receipt of notice of such change, AMS
  shall advise NEXUS in writing of any costs and other impacts arising from
  such change, and AMS shall not proceed to obtain such components until NEXUS
  has approved such impact in writing, following which approval AMS shall
  engage with such new QVL/AVL.  In the
  event that NEXUS does not approve such impact in writing, AMS shall continue
  with the procurement as before.
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
| |  | Related Manufacturing Agreementmeans the
  Related Manufacturing Agreement attached hereto as Appendix 11.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       

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| |  | Renewal Terms has the meaning set out in
  Section 2.1 (Term; Renewal Terms).                                                                                                                                                                                                                                                                                                                                                                                                      
| |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |  | RMA means return material authorization.                                                                                                                                                                                                                                                                                                                                                                                                                                           
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |  | Schedulehas the meaning set out in
  Appendices 8 and 9 (b).                                                                                                                                                                                                                                                                                                                                                                                                                       
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |  | Software means all or any portion of the
  software programs and custom software programs (in object code form), and any
  and all intellectual property rights therein and thereto, which are licensed
  to AMS by NEXUS to be integrated as part of the Product and to be used for
  the purposes set out herein.  Software
  shall also be deemed to include all corrections, modifications and updates to
  the Software and associated documentation provided by NEXUS to AMS.
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |  | Spare Parts
  means spare parts of each Product, as separately identified by NEXUS for such
  Product according to the terms hereof.                                                                                                                                                                                                                                                                                                                                               
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |  | Specifications means the specifications
  for a Product and associated Pre-Production Deliverables for such
  Product.  Specifications may be
  amended by NEXUS from time to time by documented Engineering Change Orders.                                                                                                                                                                                                                                                        
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |  | Standard Costof a component means the
  price of components quoted in the B.O.M. and actually being purchased by AMS
  from NEXUS Authorized Vendors (QVL or AVL) for the Products as may be
  adjusted from time to time by the mutual agreement of NEXUS and AMS to
  reflect changing vendor prices.                                                                                                                                                                            
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |  | Statement of Work or SOW means an initial Statement of Work
  attached to this Agreement as Appendix 4,
  describing the initial assembly, manufacturing and testing of the Products
  and Spare Parts hereunder on a Turnkey Basis, and any amendment thereto as
  may be agreed upon in writing by the Parties.                                                                                                                                                                
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |  | Termination Inventoryhas the meaning set
  out in Section 13.1 (Continuing Manufacturing Obligations).                                                                                                                                                                                                                                                                                                                                                                             
| |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |  | Toolingmeans the Product-specific
  manufacturing tooling used in the manufacture (assembly and testing) of a
  particular Product and/or Spare Part.                                                                                                                                                                                                                                                                                                                              

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|    |  | Turnkey Basismeans the delivery of the
  Products to the agreed Delivery Point after the performance of all of the
  following in accordance with this Agreement: purchasing of materials,
  manufacturing, testing and packaging.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|--- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|    |  | Unique Componentsmeans the components set
  forth in Appendix 3                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|    |  | Working
  Day means Sunday through Thursday, except for legal holidays and
  days when most Israeli banks are not accepting customers.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|2.  |  | TERM AND COMMITMENT                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|2.1 |  | Term; Renewal Terms.  Unless terminated as provided for below,
  the initial term of this Agreement shall be three (3) years from the
  Effective Date and, subject to the provisions hereof will be automatically
  renewed for one (1) year periods  (the
  Renewal Terms).  During the term of
  this Agreement it is the intention of NEXUS to only use AMS for the
  manufacture of the NEXUS products listed in Appendix 1 within the State of
  Israel.                                                                                                                                                                                                                                                                                                                    
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|2.2 |  | Commitment Amount.  Subject to Section 2.3, during the initial term (3 years) of
  this agreement Nexus agrees to purchase a minimum of $36 million of
  Products.  The minimum amounts to be
  purchased each year shall be $9 million during the first twelve (12) months,
  $12 million during the second twelve (12) months, and $15 million during the
  final twelve (12) months.  In the
  event that Nexus exceeds its minimum purchase amount in any given year such
  excess amount shall be deducted from the following years minimum purchase
  amount and such revised figure shall become the minimum purchase amount for
  such year, provided, however, that under no circumstances shall the actual
  purchase amount for the second year be less than $5 million.

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|2.3 |  | Nexus Penalties.  Notwithstanding Section 2.2 or the preamble of this Agreement,
  in the event that NEXUS purchases more than $30 million of Products over the
  three year term of this Agreement, NEXUS shall not be liable to pay penalties
  to AMS and AMS shall have no claim or cause of action against NEXUS
  hereunder.  In the event that NEXUS
  purchases Products for $30 million  or
  less over the three year term, for reasons other than due to termination of
  this Agreement by NEXUS due to breach hereof by AMS (Termination Due to
  AMSs Breach) , NEXUS shall pay a penalty to AMS in the amount of five
  percent (5%) of the difference between $36 million and the actual total amount
  of purchases made.  The parties agree
  that any accounting will only take place at the end of the 3 years, except in
  the event that NEXUS fails, for reasons other than due to Termination Due to
  AMSs Breach, to purchase at least 50% of the annual amounts set out in
  Section 2.2, in which case the following shall apply: (i) During the first
  year of the Agreement, if NEXUS fails to purchase at least $4.5 million, then
  NEXUS shall pay to AMS five percent (5%) of the difference (the First Year
  Difference) between $9 million and the actual purchase amount during such
  year (such amount hereinafter referred to as 
  the First Year Penalty); (ii) During the second year of the
  Agreement, (A) if NEXUS fails to purchase at least $6 million, then NEXUS
  shall pay 5% of the difference (the Second Year Difference) between $12
  million and the actual purchase amount during such year (such amount
  hereinafter referred to as  the
  Second Year Penalty), or (B) if NEXUS shall purchase an amount equal to at
  least the sum of $12 million plus the First Year Difference, then AMS shall
  repay to NEXUS the First Year Penalty; (iii) at the end of the third year of
  the Agreement, a final accounting will take place as follows: (A) if NEXUS
  purchases $30 million or more over the three year period, and paid to AMS a
  First Year Penalty and/or a Second Year Penalty, AMS shall repay such
  amount(s) to NEXUS; or (B) if NEXUS purchased less than $30 million over the
  three year period, for reasons other than Termination Due to AMSs Breach, then
  NEXUS must pay five percent (5%) of the difference between $36 million and
  the actual purchases made over the 3 year period (the Final Penalty);
  provided, however, that if NEXUS paid a First Year Penalty and/or a Second
  Year Penalty, then the Final Penalty shall be reduced by the First Year
  Penalty and/or a Second Year Penalty.
|--- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

---

|    |  | In no event
  shall any penalty payable hereunder, or any cumulative penalty payable
  hereunder exceed $1.8 million.  Any
  penalty amounts due hereunder shall be paid within thirty (30) calendar days
  of the end of the applicable anniversary 
  date hereof.  AMS shall have
  the discretion to determine if the Final Penalty, if any, shall be paid in
  cash or in NEXUS Telocations ordinary shares, the quantity of which shall be
  determined by reference to the average closing price per share in the market
  over twenty (20) consecutive trading days prior to the payment date.  Any shares which may be issued to AMS
  under this Section 2.3 shall have piggyback registration rights (i.e., AMS
  shall be entitled to have all such shares registered in any registrations
  effected by NEXUS Telocation, not including registrations on Form S-8 and
  Form F-4, with all related costs to be borne by NEXUS Telocation).  In the event that AMS shall wish to have
  demand registration, AMS shall bear all expenses related thereto and NEXUS
  undertakes to file the registration statement with the Securities Exchange
  Commission within three months from the date of request by AMS.
|--- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|3.  |  | LICENSE TO USE SOFTWARE                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|3.1 |  | NEXUS shall
  provide AMS the Software for the production of the Products. NEXUS grants to AMS a limited, non-exclusive,
  nontransferable, royalty free license during the term of this Agreement and
  any renewals thereof to use the Software solely for the manufacture of the
  Products and/or Spare Parts for the benefit of NEXUS in accordance with this
  Agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|3.2 |  | Title and Limitations.  Title to and ownership of the Software
  shall remain with NEXUS, and nothing herein shall be construed as a transfer
  thereof pursuant to this Agreement. All rights to patents, copyrights,
  trademarks and trade secrets, confidentiality and proprietary provisions and
  other intellectual property rights in and to the Software shall remain with
  NEXUS, and nothing herein shall be construed as a transfer thereof pursuant
  to this Agreement.  Without derogating
  from Section 6.8 and Section 16, AMS shall not, nor authorize or permit any
  other party to, (i) transfer or otherwise convey the Software or any part
  thereof, and (ii) reverse engineer, disassemble, decompile or otherwise
  attempt to derive the source code of the Software or create derivative works
  based on the Software.                                                                                                                                                                                                                                                                                                                                                                        

---

---

|4.  |  | PURCHASE ORDERS & PRODUCT PURCHASE PRICES                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|--- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|4.1 |  | Production Files (PFs). NEXUS hereby
  provides a written PF to AMS for each and every Product.  Each PF references this Agreement contains
  the applicable Product catalog number (Product Catalog Number), Product
  Documentation, Specifications, Quality Requirements, and components
  applicable for each Product.  The PF
  is governed by the terms and conditions of this Agreement and the SOW
  attached hereto.  AMS shall
  manufacture the Products exclusively for NEXUS, subject to the terms and
  conditions set forth in this Agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|4.2 |  | Purchase Orders (PO).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|    |  | (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|    |  | (b)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|    |  | (c)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|4.3 |  | Authorized Purchasing Officials.  NEXUS will advise AMS in writing of the
  names of those NEXUS personnel that are authorized to commit NEXUS to
  Purchase Orders and other commitments relative to this Agreement.  As of the Effective Date the authorized
  personnel for NEXUS Telocation is Antony Freedman and for Nexus Data David
  Treichler.  The list of authorized
  purchasing officials may be revised from time to time by NEXUS, and NEXUS
  shall provide to AMS written notification thereof.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|4.4 |  | Tooling. 
  The costs and sources of Tooling, if any, for each Product shall be
  mutually agreed upon between AMS and NEXUS and specified in the applicable
  PF.  All Tooling provided or otherwise
  paid for by NEXUS shall be the property of NEXUS, and shall be used by AMS
  only for the manufacture, assembly and testing of Products and spare parts
  hereunder.  All Tooling provided or
  otherwise paid for by AMS shall be the property of AMS and may be used by AMS
  for any and all purposes, provided this does not interfere with AMSs
  obligations hereunder.  AMS shall be
  responsible for all aspects of maintenance and calibration of all test
  systems and fixtures as required to maintain system accuracy and
  certifications.  AMS shall not be
  responsible for replacement or repair of systems due to obsolescence or
  exceeding normal equipment life. 
  NEXUS shall provide training of AMS personnel for maintenance
  procedures in connection with Tooling and fixtures provided by NEXUS.
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|4.5 |  | Review Rights.  NEXUS shall be given the opportunity to review, on a reasonable
  basis, at its cost, at AMSs premises, and upon provision of reasonable advance
  notice to AMS, the books and records of AMS and its Affiliates relevant  to its obligations hereunder to ensure
  compliance with the undertakings and principles included in this Agreement,
  including requesting the appropriate entity to provide reasonable
  documentation.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    

---

---

|4.6 |  | New Products.  NEXUS may add new Products to this Agreement from time to
  time.  The Parties shall negotiate in
  good faith the terms of payment and Delivery of such new Products, and NEXUS
  shall provide AMS with a PF regarding such new Products as set forth in
  Section 4.1 hereto.  NEXUS shall be
  solely responsible for determining new Products, the Specifications, Quality
  Requirements, and components included in each new Product.  The Parties will be jointly responsible
  for the identification of pre-production services and PreProduction
  Deliverables for new Products.                                                                                                                                                                                                                       
|--- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|4.7 |  | Provision of NEXUS Inventory and NEXUS Components.  AMS shall purchase NEXUSs initial
  inventory of components at the fees set out and as specified in Appendix 7 (Initial Inventory
  Purchase).  NEXUS shall provide and
  deliver to AMS the NEXUS Components listed in Appendix 7A (NEXUS Components)
  and on terms and conditions to be agreed upon.  Without derogating from the generality of the foregoing and
  without being deemed as derogating from any remedies available to AMS under
  applicable law or this Agreement, it is clarified that any failure of NEXUS
  to provide the NEXUS Components according to AMSs request may result in
  delays in the performance by AMS of its undertakings hereunder.  In such event, such delay shall not be
  deemed to be a breach of AMSs obligations hereunder.
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|5.  |  | NEXUS FORECASTS & PURCHASE ORDER ADJUSTMENTS                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|    |  | The NEXUS
  Forecasts and Purchase Order Adjustment procedures are set out in Appendices 8 (for Nexus Telocation) and 9 (for NexusData).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          

---

---

|6.  |  | PROCUREMENT OF MATERIALS; INVENTORY MANAGEMENT                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|--- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|6.1 |  | Procured Materials.  AMS shall perform all materials
  procurement from NEXUS Authorized Vendors, unless NEXUS shall notify AMS that
  NEXUS wishes to procure certain materials. 
  The warranty for any materials or components acquired by AMS from
  third party suppliers shall be passed through to NEXUS.                                                                                                                                                                                                                                                                                                                                                                                                               
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|6.2 |  | NEXUS Authorized Vendors.  AMS will procure materials only from NEXUS
  Authorized Vendors for the Products and/or Spare Parts.  NEXUS hereby provides AMS with a QVL/AVL
  for each B.O.M. item of a Product to be manufactured as set out in Appendix
  13.  AMS may not change to other
  vendors without NEXUSs advance written approval.  In no event shall AMS change to a vendor that does not appear
  on the relevant QVL/AVL without NEXUSs express prior written consent (in
  NEXUSs sole discretion), such consent not to be unreasonably withheld.  AMS shall pass through to NEXUS the
  component intellectual property (software licenses or licenses for
  intellectual property rights) where applicable.
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|6.3 |  | Supply of Components by NEXUS.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|    |  | Notwithstanding
  Section 6.2 (NEXUS Authorized Vendors), whenever AMS shall be required to
  purchase new components for the Products and/or Spare Parts, NEXUS shall be
  entitled to supply such components unless AMS is able to supply such
  component at a price less than offered by NEXUS.  If NEXUS shall decide for tax and duty purposes to supply
  components, AMS will purchase these components from NEXUS at terms equal to
  terms negotiated with NEXUS suppliers, subject to the aforesaid qualification
  regarding pricing.                                                                                                                                                                              
|   
|6.4 |  | Procurement Through AMS.  NEXUS shall be entitled, from time to
  time, to purchase Spare Parts, components or materials through AMSs
  procurement department, provided that NEXUS reimburses AMS for its cost of
  such procurement, plus 4%.                                                                                                                                                                                                                                                                                                                                                                                                                                                                               

---

---

|6.5 |  | Inventory Management.  Without derogating from the other
  provisions of this Agreement, AMS shall purchase and manage its inventory of
  Procured Materials in a manner:                                                                                                                                                                                                                                       
|--- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                 
|    |  | 6.5.1                                                                                                                                                                                                                                                                                                                                                                                                           
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                 
|    |  | 6.5.2                                                                                                                                                                                                                                                                                                                                                                                                           
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                 
|    |  | 6.5.3                                                                                                                                                                                                                                                                                                                                                                                                           
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                 
|    |  | 6.5.4                                                                                                                                                                                                                                                                                                                                                                                                           
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                 
|6.6 |  | Product End-of-Life; Disengagement.  Nexus shall use its best efforts to notify
  AMS in writing at least four (4) months prior to Nexus ceasing to purchase
  Product(s) and Spare Parts (whether due to Product end-of-life or
  disengagement), which notice shall include Nexus requirements for such
  Product(s) during such four (4) months, or longer, period.  Upon receipt of such notice, AMS shall:
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                 
|    |  | 1.                                                                                                                                                                                                                                                                                                                                                                                                              

---

---

|    |  | 2.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | Provide
  Nexus, upon request, with an inventory exposure report for excess finished
  goods (including yield excess finished goods), work-in-process and material
  inventory on hand at AMS which identifies any partial reels of components
  that may be remaining.
|--- |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |                                                                                                                                                                                                                                                                        
|    |  | 3.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | Provide
  Nexus with documentation reasonably requested, within a mutually agreed upon
  time frame, indicating the quantities and type of inventory.                                                                                                                  
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|    |  | AMS shall
  not reallocate Procured Materials to the manufacture of products for a
  customer other than NEXUS such that it affects the delivery of NEXUS products
  without the prior written approval of NEXUS. 
  NEXUS shall be required to purchase from AMS all products, materials
  and components which may be of no further use due to NEXUSs actions
  hereunder, provided that AMS provides satisfactory evidence to NEXUS that AMS
  fulfilled its obligations hereunder inclusive of Sections 6.6 (1) through 6.6
  (3). .                                                                                                                                                                                                                                                                                                                 
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|6.7 |  | Unique Components. Set forth in Appendix 3, as updated from time to time
  by the parties, shall be a list of Unique Components per Product Catalog Number
  and a cancellation window thereof. If any components contain or utilize
  software or licenses for intellectual property rights they shall be
  identified on this list.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|6.8 |  | Use of NEXUS Proprietary Products and Components.  Without derogating from the generality of
  Section 16 (Confidentiality; Proprietary Information), AMS agrees to use
  NEXUS Proprietary Components and Software for the sole purpose of
  manufacturing the Products and Spare Parts for NEXUS and not for any other
  purpose, and agrees not to engage in, nor will it authorize others to engage
  in, the reverse engineering, disassembly or the decompilation of any NEXUS
  Products or any of NEXUSs Proprietary Component or Software, unless
  authorized by NEXUS in advance in writing.                                                                                                                                                                                                                                                  
|    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|6.9 |  | Reports and Notices.  AMS shall provide to NEXUS, copies of
  electronic or written reports on, including but not limited to, Open POs,
  MRP recommendations, Projected Excess stock (valued), current inventory and
  production scheduling & Quality Requirements at the same frequency such
  reports shall be prepared for AMSs internal purposes, but in any event, at
  least on  a weekly obligation
  hereunder unless consent is given for a different frequency by NEXUS. AMS
  will supply to NEXUS, upon request, the acceptance reports performed on
  components purchased according to Nexus Specifications.  AMS shall also provide Nexus notices of
  discontinued components within three (3) Working Days upon receipt from the
  manufacturer to provide the Nexus Design teams adequate lead time to find a
  suitable substitute.

---

---

|6.10 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Packaging
  and Printed Materials.  All packaging,
  product graphics, instructional materials and other NEXUS specified print
  matter related to the Products, if any, shall be created, developed and
  produced by AMS in accordance with NEXUS commercially reasonable
  requirements.
|---- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    
|6.11 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Program
  Managers. NEXUS and AMS will name a person in writing to be a single point of
  contact to handle matters related to the day-to-day administration of this
  Agreement.                                                                                                          
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                            
|     | For NEXUS
  Data:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | David
  Triechler                                                                                                                                                                                                                                                                          
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Tel:
  817-416-9805                                                                                                                                                                                                                                                                        
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Fax:
  817-416-8336                                                                                                                                                                                                                                                                        
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Email:davidt@nexusdata.com                                                                                                                                                                                                                                                                 
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                            
|     | For NEXUS
  Telocation: Antony Freedman                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Tel:
  972-3-572-3111                                                                                                                                                                                                                                                                      
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Fax:
  972-3-571-6911                                                                                                                                                                                                                                                                      
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Email:
  antonyf@nexus.co.il                                                                                                                                                                                                                                                               
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                            
|     | For AMS:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | Daniel
  Mitlansky                                                                                                                                                                                                                                                                         
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Tel:
  972-8-997-2929                                                                                                                                                                                                                                                                      
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Fax:
  972-8-997-1287                                                                                                                                                                                                                                                                      
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | Email:
  amselc@netvision.net.il                                                                                                                                                                                                                                                           
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                            
|7.   | DESIGN, MATERIAL AND PROCESS CHANGES                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|7.1  | At AMSs Request.  AMS shall not change any Product or Spare Part, including any
  component or material, or any production methodology used in any Product  or Spare Part, without obtaining NEXUSs
  prior written consent.  AMSs request
  shall specify any cost, schedule or other impact of such change.  If NEXUS requests, AMS shall also provide
  on mutually agreed terms, sample units of the modified Product or Spare Part
  for NEXUS evaluation. NEXUS shall attempt to approve or disapprove AMSs
  request within fifteen (15) calendar days after receipt or, at a minimum,
  within such period advise AMS of the estimated date such decision will be
  made by NEXUS.

---

---

|7.2 | At NEXUSs Request.  Should NEXUS desire modifications in the
  design of a Product, NEXUS will submit a written request to AMS to make the
  change (an Engineering Change Order
  or ECO). Within three (3)
  Working Days after AMS receipt of the ECO, AMS shall advise NEXUS in writing
  of the direct labor and materials cost, schedule or other impact of such
  change, and shall not implement any such change unless and until NEXUS has
  approved such impact in writing.  The
  hourly regular labor tariff will be $12.
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|    | AMS shall
  use its best commercial efforts to implement the required changes in a timely
  manner which is mutually agreeable to NEXUS and AMS, and which shall comply
  with the applicable Product Lead Times. NEXUS shall own all right and title
  in and to any modifications and/or engineering changes made hereunder. Any
  cost savings resulting from an engineering change proposed by NEXUS shall be
  reflected in the Purchase Price of the applicable Product.                                                             
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|7.3 | Emergency Changes.  If NEXUS submits an emergency ECO clearly identified as such,
  AMS shall commence implementation of such ECO within twenty-four (24) hours;
  provided, that AMS has advised NEXUS of, and NEXUS has approved in writing
  any estimated cost or other impact of such change and the required components
  are available.  If the required
  components are not available, AMS shall use its best commercial efforts to
  procure such components as soon as possible.                                                

---

---

|8.  | PURCHASE PRICE AND PAYMENT TERMS                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|8.1 | Purchase Price.  The initial purchase prices for the Products (Purchase Prices) are set forth in Appendix 2 for each Product and are
  effective for the period(s) and on the terms stated therein.  The purchase price for Spare Parts shall
  be agreed upon between the parties. 
  The Purchase Price beyond the initial Purchase Price shall be
  determined in accordance with the procedures set out in Appendices 8 and 9.  AMS shall be solely responsible for its
  own taxes based on its revenues or property ownership, including, without
  limitation, municipality taxes and similar payments.  For the avoidance of doubt, NEXUS shall
  not be charged separately for any taxes except for VAT and any other taxes
  which NEXUS is able to recover from the taxing authority.  For the avoidance of further doubt the
  Purchase Prices shall be adjusted to reflect any cost changes resulting from
  an engineering change consistent with the provisions set out in Section 7.2.                                                                                                                                                                                                                                                                                                                                                                                                                     
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|8.2 | Payment Terms.  All payments shall be made by NEXUS to AMS in U.S.  Dollars or Israeli Shekels at the
  representative exchange rate on the payment day.  AMS shall issue an invoice upon Freight-on-board at the Israeli
  port as stated on the PO, or otherwise at NEXUSs Israeli premises.  Upon receipt of a verified invoice, NEXUS
  shall pay AMS the Purchase Price for the Products and the agreed price for
  Spare Parts shipped and any applicable shipment and delivery costs in
  accordance with Section 9 plus VAT as applicable within current terms plus 60
  days.  Past due payments will accrue
  interest at a rate equal to 0.75% compounded monthly; for avoidance of doubt,
  this shall not be deemed as derogating from any remedies which may be
  available to AMS under any applicable law or this Agreement.  In addition to the foregoing, if NEXUSDATA
  becomes delinquent by more than 30 days, then the terms and conditions as
  specified in the Related Manufacturing Agreement (Appendix 11) shall apply. For avoidance of doubt, execution,
  delivery and/or performance of the Related Manufacturing Agreement shall not
  be deemed or interpreted as any release by AMS of NexusData of any of
  NexusDatas obligations and undertakings towards AMS, or as any waiver by AMS
  of any rights, demands, claims or suits it may have against NexusData under
  this Agreement.

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---

|9.  | DELIVERY, DELAYS, ACCEPTANCE & RETURNS                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|9.1 | Delivery. 
  Upon fulfillment of AMSs obligations under the applicable Purchase
  Order, AMS shall Deliver on a Turnkey Basis the total number of Products and
  Spare Parts ordered in such Purchase Order to the Delivery Point on the date
  specified either in such Purchase Order or Nexus Production Schedule, subject
  to the provisions in Appendices 8 and 9
  (NEXUS Forecasts, Purchase Order & Adjustments).  All Products delivered shall be suitably
  and carefully packed for shipment in accordance with NEXUSs instructions, if
  any.  Delivery shall be considered
  late if made one (1) or more Working Days late.  In the event that AMS shall wish to deliver prior to the
  Delivery date for other than NexusData products, AMS shall request NEXUSs approval,
  which shall be subject to NEXUSs sole discretion.  Labeling and reports shall conform to the Nexus or Nexus
  customer specifications and requirements, which shall be provided in writing.
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|9.2 | Delay Notification.  AMS shall maintain a sufficient number of
  qualified staff to enable AMS to fulfill its obligations under the terms and
  conditions of this Agreement.  Should
  AMS discover that an agreed upon Delivery date cannot be met, AMS shall
  immediately notify NEXUS in writing or by electronic means, stating the cause
  for the delay and an estimate of when the Delivery can be made.  NEXUSDATA shall monitor the installation
  days in buffer for each customer and shall provide AMS with weekly reports of
  this information.                                                                                                                                                                                                                                                                                                                                                                                                                             
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|9.3 | Acceptance and Return.  NEXUS shall notify AMS of any
  discrepancies in the shipment quantity. 
  AMS shall be responsible for promptly shipping, at its sole expense,
  any missing components, units or documentation to the Delivery Point.  If units of Product are returned to the
  AMS pursuant to Sections 9.4 (In-Warranty Returns) or 9.5 (Returns After
  First Use) below, NEXUS shall obtain an RMA from AMS, and NEXUS will be under
  no obligation to pay the Purchase Price or Delivery costs for any such
  Products.                                                                                                                                                                                                                                                                                                                                                                                                                                                    

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---

|9.4  | In-Warranty Returns.  AMS shall accept returns of Products
  during the warranty period set forth in Section 10 (WARRANTIES, REMEDIES,
  LIMITATION OF LIABILITY) hereof.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|---- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|9.5  | Returns After First Use.  NEXUS may return any Product to AMS, which
  is found, upon first use by the NEXUS Customer or NEXUS, to be damaged or
  defective (for reasons other than misuse or mishandling either during
  shipping including as a result of inadequate packaging design from NEXUS, or
  by the NEXUS Customer or where the defect is caused by errors or defects in
  the PFs), including without limitation any electrical, mechanical,
  performance, or cosmetic defect.  AMS
  shall accept such return and replace such damaged or defective Product with a
  replacement unit which performs in accordance with the relevant PF
  specifications, shipped with next regular shipment to the Delivery Point or
  within fifteen (15) calendar days from receipt of the returned Product if the
  delivery point is within Israel, all at AMSs cost and expense.  If the product is discontinued by NEXUS
  and unrepairable, AMS will credit NEXUS the cost of the unit.                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|     | If AMS is
  not able to comply with this Section and the NEXUS Data Customer with which
  the Related Manufacturing Agreement is signed, cancels the agreement between
  NEXUS and such customer due to damaged or defective Products, it shall be
  construed to be grounds for termination of the Agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|10.  | WARRANTIES, REMEDIES, LIMITATION OF LIABILITY                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|10.1 | Product Warranty; Extended Warranty.  AMS warrants to NEXUS that all material
  and supplies used by AMS in its performance or the performance of any
  authorized subcontractor hereunder and each Product and Spare Part shall (i)
  be free from defects in workmanship and materials, (ii) conform to the PFs
  provided by NEXUS, and where design is AMSs responsibility, will be free
  from defects in design, (iii) be Delivered to Nexus or the NEXUS Customer
  free and clear of any lien, encumbrance or other claim by any person or
  entity other than NEXUS, and (iv) be manufactured and shipped by AMS without
  infringing on any  contractual or
  intellectual property right of any other manufacturer, person or entity (the
  Product Warranty).  Except for the
  Product Warranty against third party claims  subsections (iii) and (iv)
  above, which shall not be limited in time, the Product Warranty for any
  Product or Spare Part shall be effective for fifteen (15) months from the
  date of shipment from the factory. AMS shall pass through to NEXUS the
  component intellectual property warranty and/or indemnification received from
  NEXUS Authorized Vendors and shall cooperate with NEXUS in pursuing
  intellectual property claims.  The
  warranty period shall be identified in the shipment data files provided to
  NEXUS and NEXUS customers per the reports specifications provided.
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|     | 10.1.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|     | 10.1.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              

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|10.2 | Warranty Limitations and Exclusions.
|---- | ------------------------------------
|     |                                     
|     | 10.2.1                              
|     |                                     
|     | 10.2.2                              
|     |                                     
|     | 10.2.3                              

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---

|10.3 | Remedy on Breach of Warranties.  NEXUSs exclusive remedy for any breach of
  the Product Warranty shall be, at AMSs option, repair by AMS at a facility
  of its choice, replacement of the defective Product with a functionally
  equivalent product, or return of the Purchase Price.  For repair or replacement of the Product
  or Spare Part, AMS shall perform such repair or replacement, as applicable,
  within five (5) calendar days from the date the Product or Spare Part is
  delivered to AMS for a Product or Spare Part that is in production, and
  twenty (20) calendar days from the date the Product or Spare Part is
  delivered to AMS for a Product or Spare Part that is currently not in
  production. For a credit or refund, the purchase price of the Product or
  Spare Part shall be refunded or credited within thirty (30) calendar days
  from AMSs receipt of the Product or Spare Part.  AMS shall be responsible for all shipping costs.
|---- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|     | In the event
  that AMS repairs a defective Product or Spare Part, AMS will affix to each
  repaired or replacement Product a new date code specifying the week and year
  in which the repaired or replacement Product was scheduled to be delivered to
  NEXUS. The applicable Product warranty period shall automatically be extended
  with no additional charge  for an
  additional fifteen (15) months following the date the repaired Product is
  shipped to the NEXUS Delivery Point.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|10.4 | Survival of Warranties.  AMSs warranties under Section 10 shall
  survive any inspection, delivery, acceptance of, or payment by NEXUS for the
  Products manufactured by AMS, and shall survive the termination or expiration
  of this Agreement for any reason whatsoever, and shall benefit NEXUS, its
  successors and assigns. AMS shall notify NEXUS of any error, inaccuracy or
  incompleteness that AMS identifies within the PFs, including without
  limitation, any drawings, Product Specifications and Product Documentation,
  which NEXUS provides to AMS.                                                                                                                                                                                                                                                                                                                                                                                                      
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|11.  | QUALITY AND INSPECTION                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|11.1 | Quality Requirements. AMS shall manufacture
  the Products and Spare Parts in accordance with the NEXUS Quality
  Requirements.  The Quality
  Requirements shall specify the cosmetic standards to be applicable.  Such cosmetic standards  shall be based upon samples to be provided
  by NEXUS acceptable to AMS prior to manufacturing.  AMS shall provide NEXUS weekly reports and analysis of all test
  results and the yields of each of the quality tests performed in accordance
  with NEXUSs Quality Requirements. AMS shall also provide NEXUS its failure
  analysis reports, corrective action reports and defect containment plan. AMS
  will supply to NEXUS the acceptance reports performed on components purchased
  according to Nexus Specifications.                                                                                                                                                                                                     

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|11.2 | Inspections by NEXUS                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|---- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|     | (i)                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|     | (ii)                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|11.3 | Agency Approvals.  AMS will be responsible, at its expense, for obtaining any
  governmental body, agency, third party and/or regulatory approvals in
  connection with the manufacture of the Products or which are required in connection
  with the execution, delivery and performance of this Agreement; provided,
  however, that NEXUS will provide AMS all information and assistance
  reasonably requested by AMS for the purpose of obtaining such approvals.
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|12.  | NON-RECURRING ENGINEERING CHARGES                                                                                                                                                                                                                                                                                                                                                                                                                                       
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|12.1 | NEXUS and
  AMS will mutually agree on AMS provided non-recurring engineering charges and
  set-up fees (NRE) required to
  manufacture the Products.  NRE charges
  will be billed to NEXUS as mutually agreed upon.                                                                                                                                                                                                                                                 
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|12.2 | New Product Introduction and Non Recurring Expense
   The unit pricing of this contract includes all New Product Introduction
  costs and non-recurring expense except the one-time cost of new stencils if
  not provided by NEXUS for initial manufacture.                                                                                                                                                                                                           
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|13.  | INVENTORY INDEMNIFICATION                                                                                                                                                                                                                                                                                                                                                                                                                                               
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|13.1 | Continuing Manufacturing Obligations.  Upon cancellation of a Purchase Order, or
  upon expiration of this Agreement or termination of this Agreement other than
  for a material breach by AMS, AMS will be obligated, subject to Section
  14.1(iii) (Effect of Termination) to manufacture and sell to NEXUS, at its
  request, and NEXUS thereupon shall be responsible for the purchase and
  payment of:                                                          
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|     | (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|     | (b)                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|     | (c)                                                                                                                                                                                                                                                                                                                                                                                                                                                                     

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---

|13.2 | Efforts to Reduce Termination Inventory.  AMS will make every reasonable effort to
  use the Termination Inventory other than NEXUS Proprietary Components on
  other current programs, will cancel all outstanding material orders with
  vendors, and will attempt to return piece parts to vendors.  NEXUS will be responsible for costs,
  charges and fees actually incurred by AMS to cancel or return any portion of
  the Termination Inventory to vendors and, upon mutual agreement, the cost to
  modify the Products for other programs.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|---- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|13.3 | Purchase of Remaining Termination Inventory.  Within thirty (30) days from termination
  or cancellation, AMS will invoice, and NEXUS will purchase, the Termination
  Inventory remaining after vendor cancellations and returns and after other
  program use, as follows:  (i) for
  Unique Components, at AMS s Standard Cost; (ii) for WIP, at a mutually
  agreed upon reasonable pro rata percentage of the finished Product purchase
  price; and (iii) for finished Product, at the Purchase Price in effect at
  termination or cancellation.  NEXUS
  will be responsible for any negative price differentials between the price
  AMS paid for the Unique Components and the price at which AMS was able to
  return and/or utilize the items on other programs.  AMS will credit NEXUS for any positive price differentials. For
  the avoidance of any doubt, nothing contained in this Section shall be
  construed to impose an obligation of payment for a sum higher than the actual
  value of any Purchase Order placed by NEXUS, accepted by AMS and subsequently
  canceled hereunder.
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|13.4 | AMSs Records.  NEXUS shall be entitled to request that AMS provide reasonable
  documentation and invoices to substantiate any and all payments requested to
  be made hereunder.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           

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|14.  | TERMINATION
|---- | -----------
|     |            
|14.1 | (i)        
|     |            
|     | (ii)       
|     |            
|     | (iii)      
|     |            
|     |            

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---

| |  | (b) | NEXUS will
  pay AMS the price for all Products Delivered to NEXUS as of the termination
  date;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
| |  | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |  | (c) | Each Party
  will return to the other, freight collect, all materials that contain the
  others Confidential Information, including all manufacturing files of NEXUS
  and all copies thereof and all documents or things containing any portion of
  any Confidential Information, or if the other Party gives written
  instructions to do so, destroy all such materials and copies thereof and all
  documents or things containing any portion of any Confidential Information,
  and provide the other a written certificate of destruction within thirty (30)
  days after such destruction; and
| |  |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |  | (d) | AMS shall
  use no less than commercially reasonable efforts to cancel without charge any
  outstanding purchase order with third party suppliers relating to this
  Agreement, unless otherwise requested by NEXUS.                                                                                                                                                                                                                                                                                                                                                                                    

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---

|     |                                                             | (e)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | In the event
  of Termination under Section 14.2, except as otherwise provided in this
  Agreement, neither Party shall be liable to the other Party hereto for
  damages, losses, indemnity, compensation or expenses of any kind or character
  whatsoever on account of the expiration or termination of this Agreement in
  accordance with the terms hereof, whether such damages, losses, costs or
  expenses arise from loss of prospective sales, or expenses incurred or
  investments made in connection with the establishment, development or
  maintenance of a Partys business, creation of goodwill, markets and
  customers for the Products or any other reason whatsoever.  Subject to survival, notwithstanding
  anything to the contrary contained herein, expiration or termination of the
  Agreement shall not affect any claim, demand, liability or right of a Party
  arising pursuant to this Agreement prior to the expiration or termination
  hereof.
|---- | ----------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|     |                                                             | (f)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | In the event
  that NEXUS should seek another manufacturer in Israel during the term of the
  agreement, NEXUS agrees not to enter into any agreement for manufacture if
  the price per unit is not greater than $1 less expensive than the offer from
  AMS.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|     |                                                             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|15.  | REPRESENTATIONS, WARRANTIES AND COVENANTS                  
|     |                                                            
|15.1 | AMS. 
  AMS hereby represents, warrants and covenants that:
|     |                                                             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|     | 15.1.1                                                      | all
  corporate and other proceedings required to be taken by or on behalf of it,
  to authorize the execution, delivery and performance of this Agreement and
  all documents and agreements ancillary hereto, has been duly taken, it has
  full authority to enter into this Agreement and all documents and agreements
  ancillary hereto, and the person signing and executing this Agreement and all
  documents and agreements ancillary hereto on AMSs behalf is duly authorized
  to bind it;

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|     | 15.1.2                                                          | it has the
  necessary experience, expertise, capability and manpower to carry out its
  obligations and undertakings under this Agreement and all documents and
  agreements ancillary hereto;                                                                                                                                                                                                                                                                                                               
|---- | --------------------------------------------------------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|     | 15.1.3                                                          | any
  approval, permit or consent of, or filing with any governmental body,
  official authority or any other third party required in connection with the
  execution, delivery and performance of this Agreement and all documents and
  agreements ancillary hereto by AMS has been obtained;                                                                                                                                                                                                               
|     |                                                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|     | 15.1.4                                                          | it has
  obtained and will continue to maintain an ISO 9002 Statement of Compliance;
  and                                                                                                                                                                                                                                                                                                                                                                                                                    
|     |                                                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|     | 15.1.5                                                          | the
  execution and delivery of this Agreement and all documents and agreements
  ancillary hereto, and/or the consummation of the transactions contemplated
  hereby, will not give rise to a right to terminate, result in a breach of
  terms and conditions of, constitute a default under or violate any other
  agreement or undertaking of AMS and any other third party, which may have a
  material adverse effect on AMS.                                                                           
|     |                                                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|15.2 | NEXUS. 
  NEXUS hereby represents, warrants and covenants that:
|     |                                                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|     | 15.2.1                                                          | all
  corporate and other proceedings required to be taken by or on behalf of it,
  to authorize the execution, delivery and performance of this Agreement and
  all documents and agreements ancillary hereto, have been duly taken, it has
  full authority to enter into this Agreement and all documents and agreements
  ancillary hereto, and the person signing and executing this Agreement and all
  documents and agreements ancillary hereto on NEXUSs behalf is duly
  authorized to bind it; and

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|     | 15.2.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | the
  execution and delivery of this Agreement and all documents and agreements
  ancillary hereto, and/or the consummation of the transactions contemplated
  hereby, will not give rise to a right to terminate, result in a breach of
  terms and conditions of, constitute a default under or violate any other
  agreement or undertaking of NEXUS and any other third party, which may have a
  material adverse effect on NEXUS.
|---- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                                                                                                                                                                                        
|16.  | CONFIDENTIALITY; PROPRIETARY INFORMATION                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|16.1 | Confidentiality. Each Party shall protect
  the other Partys Confidential Information from unauthorized dissemination
  and shall prevent disclosure of Confidential Information to any third party,
  and shall treat the Confidential Information with at least the same degree of
  care that each such Party uses to protect its own like information, but at a
  minimum, with a reasonable degree of care or, a higher standard of care if
  reasonable under the circumstances. 
  Each Party shall not use the other Partys Confidential Information
  for purposes other than those necessary to perform this Agreement and only
  employees, consultants and permitted subcontractors (collectively for
  purposes of this section employees) of the receiving Party who have a need
  to know such Confidential Information will have access thereto, which
  employees shall be bound by confidentiality undertakings no less stringent
  than set out herein.  A party
  receiving from the other party any information in the form of hardware,
  products or any other tangible form of equipment (Units), shall not allow
  access to the Units by any other third party, nor shall such receiving party
  make any attempt to open the Units, remove any seal or remove any screw or
  connector from the Units. Except as permitted under this Agreement, each
  Party shall not disclose to third parties the other Partys Confidential Information
  without the prior written consent of the other Party.  Immediately upon termination or expiration
  of this Agreement, or upon the request of a Party prior to the termination or
  expiration of this Agreement, each Party shall return the other Partys Confidential
  Information,  and all copies thereof
  and all documents or things containing any portion of any Confidential
  Information, or obtain written approval for the destruction of the other
  Partys Confidential Information, and all copies thereof at the disclosing
  partys option, and in such case, shall provide a written certificate of
  destruction within thirty (30) days after such destruction.

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|     | Upon the
  execution and delivery of this Agreement, the Non-Disclosure Agreement dated
  January 1, 2002 between the Parties shall be superceded by the provisions of
  this Agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|---- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|16.2 | Proprietary Information.  All Confidential Information of NEXUS and
  any improvements to any designs, plans, inventions, concepts or ideas of
  NEXUS, including, without limitation, during AMSs performance under this
  Agreement, are proprietary to NEXUS and shall at their inception be and
  remain the sole and exclusive property of NEXUS and nothing contained herein
  shall be construed as giving AMS any license or rights with respect to any
  thereof. AMS agrees that any idea, discovery or improvement which is
  conceived or first reduced to practice by AMS or NEXUS in connection with any
  work performed by AMS, or AMS using the Confidential Information of NEXUS
  shall be the sole property of NEXUS. 
  AMS agrees to make prompt and complete disclosure to NEXUS of all such
  ideas, discoveries or improvements 
  and AMS agrees to execute any and all documents reasonably requested
  by NEXUS, including but not limited to patent applications, to perfect,
  secure or record NEXUSs property rights therein.
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|     | All
  Confidential Information of AMS and any improvements to any designs, plans,
  inventions, concepts or ideas of AMSs not related specifically to NEXUSs
  Products including, without limitation, during AMSs performance under this
  Agreement, are proprietary to AMS and shall at their inception be and remain
  the sole and exclusive property of AMS.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          

|16.3 | NEXUS Marks.  AMS will not, without NEXUSs prior written consent, use any
  NEXUS trademarks, service marks, trade names, logos or other commercial or
  product designations or any other intellectual property right of NEXUS or any
  of its Affiliates (the NEXUS Marks),
  for any purpose other than with respect to 
  the Products and Spare Parts, including, but not limited to, use in
  connection with any AMS products, promotions, advertisements or
  exhibitions.  No license or permission
  to use any of the NEXUS Marks is granted except for the purpose of
  manufacturing goods for NEXUS which are delivered to NEXUS or a third party
  designated by NEXUS.  AMS warrants
  that any goods manufactured, assembled or obtained by AMS which contain any
  of the NEXUS Marks shall be sold or Delivered to NEXUS pursuant to this
  Agreement and shall not be Delivered, sold or conveyed to any third
  party.  For any materials manufactured
  by AMS and/or Delivered to AMS by NEXUS, or that otherwise are obtained by
  AMS containing any of the NEXUS Marks (the Marked
  Materials), AMS agrees to maintain control over and an accurate
  account of all the Marked Materials. 
  Except as used by AMS in connection with its performance under this
  Agreement, AMS shall return to NEXUS all unused Marked Materials or (at
  NEXUSs option) provide NEXUS with a written report identifying all Marked
  Materials that have been destroyed during AMSs performance hereunder.  AMS shall not retain, sell or dispose of
  any goods containing or bearing the NEXUS Marks without NEXUSs prior written
  consent.
|---- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|16.4 | Equitable Enforcement.  Each party hereby acknowledges the
  significance of the confidentiality and intellectual property concerns of the
  other party and acknowledges that the provisions of this Section 16 are
  essential to the other party, and of extreme importance to its ongoing
  business operations.  Each party
  accordingly acknowledges and agrees that in the event of any breach or
  threatened breach by such party or its representatives of the provisions of
  this Section 16, money damages alone will be inadequate to compensate the
  other party, and, accordingly, each party agrees that the other party may
  seek, obtain and have enforced equitable relief, including preliminary,
  temporary or permanent injunctions issued by a court of competent
  jurisdiction restraining and prohibiting the breaching or threatening party and
  its representatives from such breach or threatened breach.  Each party acknowledges that the other
  partys rights to obtain such equitable relief are in addition to (and are
  not meant to replace) any other 
  remedies (legal, equitable or otherwise) which may be available to
  such other party.                                                                                                                                                                                                                                                                                                                                                                                                                                                                         

---

---

|16.5 | No Waiver. 
  The failure of a Party to enforce any provision of this Section 16
  (Confidentiality; Proprietary Information) shall not constitute a waiver of
  any term hereof.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|---- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|16.6 | Survival. 
  The rights and obligations of the Parties under this Section 16
  (Confidentiality; Proprietary Information) shall survive any termination or
  expiration of this Agreement for a period of two (2) years.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|17   | INDEMNITIES                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|17.1 | Infringement by NEXUS.Except
  in the event that AMS designs Products or portions of the Products, NEXUS
  shall be responsible for the design of the Products.  Upon AMSs demand, NEXUS will promptly
  defend, indemnify and hold AMS, its officers, directors, employees, agents,
  successors and assigns, harmless from and against reasonable direct cost,
  expense or loss (including reasonable attorneys fees and legal costs)
  directly relating to any claim or threatened claim: (a) that any Product or
  portion of a Product violates the intellectual property rights of a third
  party (foreign or domestic); (b) that the Product has a design defect; or (c)
  arising from or related to the distribution, sale or use of any Product or
  portion of a Product.  The immediately
  preceding sentence will apply whether the claim is based upon contract, tort
  or any other legal theory.
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|17.2 | Infringement by AMS. Upon NEXUSs demand, AMS will promptly
  defend, indemnify, and hold  NEXUS,
  its officers, directors, employees, agents, successors and assigns, harmless
  from and against reasonable direct cost, expense or loss (including
  reasonable attorneys fees and legal costs) directly relating to any claim or
  threatened claim arising out of or in connection with a third party claim or
  action, whether the claim is based upon contract, tort or any other legal
  theory, alleging:                                                                                                                                                                                                                                                                                                                                                                                                 

---

---

|     | (i)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | that AMSs
  manufacturing process and materials (other than those provided by NEXUS or
  any vendor or supplier listed in the initial QVL/AVL supplied under this
  Agreement) incorporated by AMS into a Product, portion of a Product or Spare
  Parts violates the intellectual property rights of a third party (foreign or
  domestic)..  In the event that any new
  supplier or vendor is added to the QVL/AVL, the party adding such supplier or
  vendor shall ensure that any materials acquired from such vendor or supplier
  for the purposes hereunder do not infringe any patent, copyright, license,
  trademark right, trade secret, mask work right or other proprietary right of
  any kind of any third party; and
|---- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|     | (ii)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | in any way
  directly arising out of or directly associated with AMS noncompliance with
  laws, regulations or ordinances, including penalties and expenses.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|17.3 | Conditions. A Partys obligation to indemnify the other under this section
  (Indemnities) is conditioned upon and subject to: (a) the indemnified Party
  giving the indemnifying Party reasonably prompt notice in writing of any such
  charge of infringement, claim or suit and permitting the indemnifying Party
  through counsel of its choice, to answer the charge of infringement and
  defend such claim or suit; (b) the indemnified Party providing the
  indemnifying Party information, assistance and authority, at the indemnifying
  Partys expense, to enable the indemnifying Party to defend the suit; and (c)
  the indemnifying Party will not be responsible for any settlement made by the
  indemnified Party without its prior written consent.  The indemnifying Party agrees not to
  disclose or publicize the terms of any settlement of a suit against the
  indemnified Party without first obtaining the indemnified Partys written
  permission.
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|18.  | MISCELLANEOUS                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|18.1 | Entire Agreement.  This Agreement and its attachments contain the entire agreement
  between the parties regarding the subject matter hereof.  This Agreement supersedes all prior oral
  and written agreements and understandings between the parties relating to the
  subject matter hereof, and may only be amended or modified in writing signed
  by an authorized representative of each party.  The terms and conditions of any Purchase Order, Schedule, or
  any other form or document of NEXUS or AMS shall not apply unless agreed in
  writing, as an amendment to this Agreement.                                                                                                                                                                                                                                                                                                                                                                                     

---

---

|18.2 | Survival. 
  In addition to provisions elsewhere in this Agreement, the obligations
  of the Parties under Sections 2.3 (NEXUS Penalties), 10 (Warranties,
  Remedies, Limitation of Liability), 13 (Inventory Indemnification), 17
  (Indemnities), 18.3, 18.8 18.10, 18.11 and 18.12 and anything by their nature
  should survive termination or expiration hereof shall survive any termination
  or expiration of this Agreement.          
|---- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|18.3 | Limitation of Liability.  Each partys liabilities under this
  Agreement is limited to direct damages only. Neither partys liability for
  direct damages under this Agreement (whether in contract or tort) shall
  exceed one million eight hundred thousand dollars ($1,800,000).                                                                                                                                                          
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|     | Notwithstanding
  the above, if Nexus is assessed penalties by its Customers as a result of
  workmanship caused defects AMS shall be liable for these penalties.                                                                                                                                                                                                                                                                               
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|18.4 | Insurance. AMS hereby represents to NEXUS that it has and will maintain
  adequate insurance as is required by law or as is the common practice in
  AMSs trade or business throughout the term of this Agreement and any
  renewals hereof.  AMS shall provide to
  NEXUS within one (1) week from the date this Agreement is signed a letter
  confirming the types and amounts of coverage AMS has relevant to its
  undertakings hereunder.
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|18.5 | Beneficial Parties.  This Agreement is intended solely for the
  benefit of the executing parties and their permitted successors and
  assigns.  No other person or entity
  shall have any rights under or in connection with this Agreement.                                                                                                                                                                                                  

---

---

|18.6 | Assignment. Neither party may sell, transfer or assign any right, duty or
  obligation granted or imposed upon it under this Agreement without the
  prior  written consent of the other
  party, which consent shall not be unreasonably withheld or delayed.  Provided, however, that either party
  retains the right to assign its rights under this Agreement to Affiliated
  Companies or under the Related Manufacturing Agreement(s).  Provided, further, that such consent shall
  not be required for a Party to assign or transfer its rights under this
  Agreement to a successor to all or substantially all of such Partys assets
  or business relating to the subject matter of this Agreement, whether by
  merger, reorganization, operation of law or by the sale or transfer of all or
  substantially all of such Partys assets or business relating to the subject
  matter of this Agreement, provided such successor shall assume in writing the
  obligations of such party under this Agreement in a written assumption
  agreement delivered to the other parties.
|---- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|18.7 | Subcontractors.  AMS will not subcontract its obligations with respect to the
  production of the Products hereunder unless NEXUS consents in writing in each
  instance, such consent not to be unreasonably withheld, and the subcontractor
  (i) enters a non-disclosure agreement substantially in the form set out in Appendix 12, and (ii) is located in
  Israel.  NEXUSs consent to any
  subcontractor shall not relieve AMS from any obligation imposed by this
  Agreement, and the warranties granted by AMS hereunder shall also apply to
  any manufacture of components by or services provided by any subcontractor.                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|18.8 | Force Majeure. Neither party shall be liable for damages and costs to the other
  party arising out of delays or failures to perform under this Agreement if
  such delays or failures result from causes beyond the reasonable control of a
  party, and are not caused by an act or omission of such party.  Notice of any such delays or failures and
  explanation of their causes must be given to the other party within
  reasonable time of the occurrence.  As
  soon as it is reasonably apparent that the occurrence will likely cause a
  delay of more than one hundred and eighty (180) days, the party against whom
  this section is invoked shall have the right to terminate this agreement.                                                                                                                                                                                                                                                                                                                                                                                  

---

---

|18.9  | Authorized Personnel.   NEXUS is the only
  entity authorized to purchase Products hereunder and the individual executing
  this Agreement certifies they  have
  the legal authority to bind NEXUS. 
  Any affiliates, subsidiaries, and permitted assigns (Assignees) of
  NEXUS which NEXUS wishes to purchase Products hereunder must execute a copy
  of this Agreement and NEXUS warrants that any and all obligations and debts
  of the Assignees will be discharged in a timely fashion.                                                                                                                                                                                                                                                                                                                            
|----- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|18.10 | Governing Law; Arbitration.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|      | 18.10.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|      | 18.10.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|18.11 | Independent Contractor.  Each party represents that it is acting on
  its own behalf as an independent contractor and is not acting as an agent for
  or on behalf of any third party.  This
  Agreement and the relations hereby established by and between the parties do
  not constitute a partnership, joint venture, franchise,  agency or contract of employment.  Neither party is granted, and shall not
  exercise, the right or authority to assume or create any obligation or
  responsibility on behalf of or in the name of the other party or its
  Affiliates.  Neither party nor their
  employees, agents or subcontractors are agents or employees of the other
  party, and therefore are not entitled to any employee benefits of the other
  party, including but not limited to, any type of insurance.

---

---

|18.12 | Notices. 
  All notices and other communications under this Agreement shall be in
  writing and shall be deemed to have been given one (1) Working Day after
  being sent by facsimile or electronic mail with return receipt requested, or
  five (5) Working Days by certified mail. 
  All notices and other communications under this Agreement shall be
  given to the party to which such notice is directed at the following
  addresses or addressed to a person or party at such other address as that
  party may have given by written notice in accordance with this provision:
|----- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      | For NEXUS
  Data:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      | For NEXUS
  Telocation: Antony Freedman                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      | For AMS:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            

---

---

|18.13 Guarantee. 
  NEXUS undertakes to provide to AMS a bank guarantee, guaranteeing the
  performance by NEXUS of its undertakings hereunder any payment of any damages
  which may be due by it under this Agreement (the Guarantee). Such Guarantee
  shall be provided by an Israeli reputable bank acceptable to AMS within six
  months from the date hereof.  The
  amount of the Guarantee shall be $1.25 million.                                                                                                                                                                                                                                                                                             
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|In order to
  secure the grant of the Guarantee, NEXUS will issue 600,000 Ordinary Shares
  of NEXUS Telocation (the Escrow Shares), to be held in escrow by Adv. Orly
  Tsioni (the Escrow Agent).  The
  Escrow Shares shall be included in the next registration statement to be
  filed by NEXUS Telocation with the Securities Exchange Commission.  Immediately after the grant of the
  Guarantee the Escrow Agent shall transfer the Escrow Shares per the
  instructions of NEXUS.  In the event
  that NEXUS will not grant the Guarantee, the Escrow Agent will sell the
  Escrow Shares and the consideration of this sale shall be held as a deposit
  to secure NEXUS liabilities under this Agreement.
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|Upon the
  deposit of the Escrow Shares with the Escrow Agent NEXUS shall provide the
  Escrow Agent with an irrevocable letter of instructions acceptable to AMS.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|18.14. V.A.T.  V.A.T. is to be added to any payment or amount which may be due
  under this Agreement, if applicable.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|18.15 Outstanding Matters. The parties shall complete all outstanding
  matters as set out in Appendix 14 within the timeframe set out therein.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           

---

---

APPENDIX 1

Products

|GS0001      | American Residential Gas Transmitter            
|----------- | ------------------------------------------------
|            |                                                 
|GS0002      | Invensys Residential Gas Transmitter            
|            |                                                 
|GS0003      | Schlumberger Residential Gas Transmitter        
|            |                                                 
|GS0005      | Invensys Commercial / Industrial Gas Transmitter
|            |                                                 
|GS0006      | American Commercial / Industrial Gas Transmitter
|           
|RMU 1.7 UHF
|           
|RMU 1.7 VHF

---

---

APPENDIX 2

Product Pricing

|For NEXUSDATA, pricing is predicated upon a minimum quantity of
  200,000 units in the aggregate within each 12 month period.
|-----------------------------------------------------------------------------------------------------------------------------
|                                                                                                                             
|GS0001                                                                                                                       
|                                                                                                                             
|GS0002                                                                                                                       
|                                                                                                                             
|GS0003                                                                                                                       
|                                                                                                                             
|GS0005                                                                                                                       
|                                                                                                                             
|GS0006                                                                                                                       
|                                                                                                                             
|The above prices 2-6 are based on a table received from NEXUS Data.                                                          

---

---

1. Manufacturing Prices (RMU-1.7-UHF)

Condition A: Based on annual quantity between 25,000 to 50,000 pcs.

|Item |  | Description                                       |  | RMU-1.7-UHF
|---- |  | ------------------------------------------------- |  | -----------
|     |  |                                                   |  |            
|1.   |  | Material Cost CIF Arad
  The details attached (*) |  | US$        
|2.   |  | Logistics (1.5%)                                  |  | US$        
|3.   |  | Manufacturing cost                                |  | US$        
|4.   |  | Overhead cost (14.5%)                             |  | US$        
|5.   |  | Scrap (1%)                                        |  | US$        
|6    |  | Mfg Profit (8%)                                   |  | US$        
|     |  | Total:                                            |  | US$        

All
prices in US$ + VAT
(*) Data provided by Nexus Communication Ltd

Condition B: Based on annual quantity between 50,000
to 75,000 pcs.

|Item |  | Description          |  | RMU-1.7-UHF
|---- |  | -------------------- |  | -----------
|     |  |                      |  |            
|1.   |  | RMU-1.7-UHF complete |  | US$        

All prices in US$ + VAT

1.1 Conditions of Offer

|1.1.1 | Base of Offer
|----- | -------------
|      | A.           
|      |              
|      |              
|      | B.           
|      |              
|      | C.           

| | Item |  | Description                        |  | Quantity | 
| | ---- |  | ---------------------------------- |  | -------- | 
| |      |  |                                    |  |          | 
| | 1.   |  | TOP Assembly
  of RMU-1.7-UHF unit |  | One      | 

|1.1.2 | Prices and Fees                           
|----- | ------------------------------------------
|      | All prices
  in USD + VAT FOB Arad Israel.

---

---

|1.1.3 | Delivery Schedule                                                                                                                                                                                   
|----- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|      | Based on
  monthly batch order placement, and the products quoted herein can be
  delivered within 4 weeks after receipt of a firm purchasing order. Weekly
  shipment can be obtained upon request.
|      |                                                                                                                                                                                                     
|1.1.4 | Warranty Policy                                                                                                                                                                                     
|      | According to
  the agreement .                                                                                                                                                                      
|      |                                                                                                                                                                                                     
|1.1.5 | Cost Down Objective                                                                                                                                                                                 
|      | There will
  be around additional 3% cost down for annual volume over 75,000pcs.                                                                                                                    
|      |                                                                                                                                                                                                     
|1.1.6 | Cost Reduction Process                                                                                                                                                                              
|      | According
  the agreement.                                                                                                                                                                          
|      |                                                                                                                                                                                                     
|1.1.7 | Terms of payment                                                                                                                                                                                    
|      | According to
  the agreement.                                                                                                                                                                       

---

---

1.Manufacturing Prices (RMU-1.7-VHF)

Condition A:
Based on annual quantity between 25,000 to 50,000 pcs.

|Item |  | Description                                       |  | RMU-1.7-VHF
|---- |  | ------------------------------------------------- |  | -----------
|     |  |                                                   |  |            
|1.   |  | Material Cost CIF Arad
  The details attached (*) |  | US$        
|2.   |  | Logistics (1.5%)                                  |  | US$        
|3.   |  | Manufacturing cost                                |  | US$        
|4.   |  | Overhead cost (14.5%)                             |  | US$        
|5.   |  | Scrap (1%)                                        |  | US$        
|6.   |  | Mfg Profit (8%)                                   |  | US$        
|     |  | Total:                                            |  | US$        

Condition
B: Based on annual quantity between 50,000 to 75,000 pcs.

|Item |  | Description          |  | RMU-1.7-VHF
|---- |  | -------------------- |  | -----------
|     |  |                      |  |            
|1.   |  | RMU-1.7-VHF complete |  | US$        

All prices in US$ + VAT

1.1 Conditions of Offer

|1.1.1 | Base of Offer
|----- | -------------
|      | A.           
|      |              
|      | B.           
|      |              
|      | C.           



| | Item |  | Description                        |  | Quantity | 
| | ---- |  | ---------------------------------- |  | -------- | 
| |      |  |                                    |  |          | 
| | 1    |  | TOP Assembly
  of RMU-1.7-VHF unit |  | One      | 

|1.1.2 | Prices and Fees                           
|----- | ------------------------------------------
|      | All prices
  in USD + VAT FOB Arad Israel.

---

---

|1.1.3 | Delivery Schedule                                                                                                                                                                                   
|----- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|      | Based on
  monthly batch order placement, and the products quoted herein can be
  delivered within 4 weeks after receipt of a firm purchasing order. Weekly
  shipment can be obtained upon request.
|      |                                                                                                                                                                                                     
|1.1.4 | Warranty Policy                                                                                                                                                                                     
|      | According to
  the agreement                                                                                                                                                                        
|      |                                                                                                                                                                                                     
|1.1.5 | Cost Down Objective                                                                                                                                                                                 
|      | There will
  be around additional 3% cost down for annual volume over 75,000pcs.                                                                                                                    
|      |                                                                                                                                                                                                     
|1.1.6 | Cost Reduction Process                                                                                                                                                                              
|      | According
  the agreement.                                                                                                                                                                          
|      |                                                                                                                                                                                                     
|1.1.7 | Terms of payment                                                                                                                                                                                    
|      | According to
  the agreement .                                                                                                                                                                      

---

---

APPENDIX 3

Unique Components

| | Component                    | Cancellation
| | ---------------------------- | ------------
| |                              |             
| | NexusData ASIC               | NCNR        
| |                              |             
| | NexusData MicroController    | NCNR        
| |                              |             
| | NexusData Plastic Enclosures | NCNR        
| | (5 model types)              |             
| |                              |             
| | Nexus Telocation (will be    |             
| | provided later)              |             

---

---

APPENDIX 4

Statement of Work (SOW)  RMU 1.7

|1. | This
  document defines the Statement of Work and deliverables regarding the Turnkey
  production of Nexus RMU 1.7 products.
|-- | ----------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                             
|2. | Applicable Documents                                                                                                        
|   |                                                                                                                             
|   | 2.1                                                                                                                         
|   |                                                                                                                             
|   | 2.2                                                                                                                         
|   |                                                                                                                             
|3. | Deliverables                                                                                                                
|   |                                                                                                                             
|   | 3.1                                                                                                                         
|   |                                                                                                                             
|   | 3.2                                                                                                                         
|   |                                                                                                                             
|   | 3.3                                                                                                                         
|   |                                                                                                                             
|   | 3.4                                                                                                                         
|   |                                                                                                                             
|   | 3.5                                                                                                                         
|   |                                                                                                                             
|   | 3.6                                                                                                                         
|   |                                                                                                                             
|   | 3.7                                                                                                                         

---

---

|4. | Warranty.      As
  detailed in the Agreement.
|-- | ----------------------------------------------

SOW- NEXUS DATA  AMR PROJECT

|Process 
  battery pack
|------------------------
|                        
|1.                      
|                        
|                        
|2.                      
|                        
|                        
|3.                      
|                        
|                        
|4.                      
|                        
|                        
|5.                      
|                        
|6.                      
|                        
|                        
|                        

|Processes 
  main unit
|-----------------------
|                       
|1.                     
|                       
|                       
|                       
|                       
|2.                     
|                       
|                       
|                       
|3.                     
|                       
|                       
|4.                     
|                       
|                       

---

---

|5.  | Functional
  testing         
|--- | -----------------------------
|    | o                            
|    | o                            
|    | o                            
|    | o                            
|    | o                            
|6.  | Cleaning                     
|    | o                            
|    | o                            
|    | o                            
|    | o                            
|7.  | Conformal
  coating.         
|    | o                            
|    | o                            
|    | o                            
|    | o                            
|8.  | Mechanical
  assembly phase 1
|    | o                            
|    | o                            
|    |                              
|    | o                            
|    | o                            
|    | o                            
|9.  | RTV
  dispensing             
|    | o                            
|    | o                            
|    | o                            
|    | o                            
|    | o                            
|    | o                            
|    | o                            
|10. | Mechanical
  assembly phase 2
|    | o                            
|    | o                            
|    | o                            
|    | o                            
|    | o                            
|11. | Battery
  pack assembly      
|    | o                            
|    | o                            
|12. | Activation
  station         
|    | o                            
|    | o                            
|    | o                            
|13. | Mechanical
  assembly phase 3
|    | o                            
|    | o                            

---

---

|14. | Packaging
|--- | ---------
|    | o        
|    | o        

---

---

APPENDIX 5

Purchase Order Form

---

---

APPENDIX 6

[INTENTIONALLY DELETED]

---

---

APPENDIX 7

Initial Inventory Purchase

For NexusData components for approximately
10,000 Residential and Commercial/ Industrial Gas Transmitters.

Nexus Telocation  - will be provided at a later stage in accordance with the terms
of Appendix 14.

---

---

APPENDIX 7A

NEXUS Components

| | Component                    | Cancellation
| | ---------------------------- | ------------
| |                              |             
| | NexusData ASIC               | NCNR        
| |                              |             
| | NexusData MicroController    | NCNR        
| |                              |             
| |                              |             
| | Nexus Telocation in          |             
| |                              |             
| | accordance with the terms of |             
| |                              |             
| | Appendix 14                  |             

---

---

APPENDIX 8

NEXUS TELOCATION LTD. - Specific terms and
conditions

|1. | Cost Reductions.  Purchase Prices will be reviewed by NEXUS Telocation and AMS on
  the first week of each financial quarter, and will be increased or decreased
  by mutual consent according to the most cost effective cost per component,
  presented by either Party.  AMS will be
  proactive and make every effort to reduce costs both of the materials
  purchased and of the development of the manufacturing process. Such cost
  reductions shall be shared equally between AMS and NEXUS Telocation if the
  cost reduction was initiated by AMS or be entirely transferred and enjoyed
  solely by NEXUS Telocation if initiated by NEXUS Telocation.  The revised Purchase Prices shall become
  effective on the 1stday of the following month or earlier if
  applicable.  In the event of component
  shortages, allocation to NEXUS Telocation shall be not less favorable than,
  on a proportional basis, compared to other customers purchase orders
  requiring the same components during the said period.
|-- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|2. | Forecasts. 
  Initially, NEXUS Telocation will provide AMS, every calendar month
  during the Term, a rolling forecast covering the period of at least three (3)
  calendar months (the Forecast) in addition to 3 month PO.  The Forecast will specify the number of
  units of the Products NEXUS Telocation anticipates purchasing during such
  three (3) month period.  The Forecast
  will be non-binding and will not be regarded by either Party as a commitment
  to order, purchase, deliver or meet any volume commitment specified therein
  with the exception of NCNR components specified in Appendix 3, whose actual
  lead time is longer than 3 months. 
  NEXUS Telocation may adjust the Forecast at its reasonable discretion
  at any time.                                                                                                                                                                                                                                                                
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|3. | Purchase Order Adjustments and Rescheduling                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|   | (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                

---

---

| | (b) | Rescheduling of Products.The
  parties will agree on a suitable schedule for Delivery in any Purchase Order
  (the Appendix). From time to
  time, NEXUS Telocation may request reports as to the progress of the Product
  production in accordance with the then outstanding Purchase Order. NEXUS
  Telocation shall be entitled to reschedule the Delivery dates of Products
  under a Purchase Order without any extra charge pursuant to the chart below.
  NEXUS Telocation shall have the right to decrease, increase or cancel
  Products which could have been decreased/increased or cancelled under
  Sections 2(a) and 2(c).
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
| | (c) | Increase of Products. NEXUS Telocation may increase the quantity
  of Products previously set forth in any Purchase Order, in accordance with
  the chart set forth below without any extra charge pertaining to AMS ability
  to acquire necessary components.                                                                                                                                                                                                                                                                                                                                                                           
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
| | (d) | Change to Purchase Orders Which are not Covered by Chart Below.  NEXUS Telocation shall confirm in writing
  delivered to AMS any changes (Change
  Order) to a Purchase Order, and AMS shall acknowledge such
  changes in writing within two (2) working days of NEXUSs Telocation
  confirmation, which shall include a quote of the cost and/or schedule impact,
  if any, of implementing the change, and which shall be subject to the written
  confirmation of NEXUS Telocation.                                                                                                                                                
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
| | (e) | Permissible Percentages of Change.  The following chart defines the permissible
  percentage of change by periods covered by any Purchase Order:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           

---

---

|TYPE OF
  CHANGE |  | DAYS                                                                                |  | % OF
  PERMISSIBLE
  ADJUSTMENT
|---------------- |  | ----------------------------------------------------------------------------------- |  | -------------------------------
|                 |  |                                                                                     |  |                                
|                 |  |                                                                                     |  |                                
|Decrease or      |  | 0-30 Days                                                                           |  | 0%                             
|Cancellation     |  | 30-60 Days                                                                          |  | 30%                            
|                 |  | 60-90 Days                                                                          |  | 60%                            
|                 |  | Over 90 Days                                                                        |  | Unlimited                      
|                 |  |                                                                                     |  |                                
|Rescheduling     |  | 0-30 days
  past the scheduled Delivery
    date for the applicable Purchase Order. |  | Unlimited                      
|                 |  |                                                                                     |  |                                
|Increase         |  | 0-30                                                                                |  | 30%                            
|                 |  | 30-60                                                                               |  | 60%                            
|                 |  | Over 90 Days                                                                        |  | Unlimited                      

|*  | Days means the number of calendar days
  between NEXUSs order adjustment and the Delivery date, as amended in the PO.                                                  
|-- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                           
|** | Adjustment means the percentage of any
  Product ordered for Delivery on such Delivery date that NEXUS may add to or
  subtract from (as applicable) the Purchase Order.
|   |                                                                                                                                                                           
|   | (e)                                                                                                                                                                       

---

---

|   | (f)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | The
  flexibility agreed upon in the above table is based on the assumption that
  the monthly quantities will be equally distributed throughout each month.
|-- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                             
|4. | Product Lead Time Reduction Program. AMS and
  NEXUS shall meet quarterly to discuss options to effect reductions in Product
  Lead Times to allow improved flexibility in ordering and delivery.  The agenda for each meeting will include
  identification of such options, schedules for determination of associated
  cost and schedules for implementation.                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|5. | Manufacturing Site.  NEXUS will be entitled to choose within
  each Purchase Order (and AMS shall accept such choice) the site where the
  assembly and manufacture of the Product shall take place, should AMS acquire
  additional assembly or manufacturing sites.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|6. | Assembly Lead-Time.  NEXUS will issue rolling manufacturing
  forecasts and Purchase Orders, to guide AMS in purchasing the required
  components per Product Catalog Number for the required number of Products
  under the relevant PO.  For the
  avoidance of any doubt: (i) AMS shall not commence assembly or manufacture of
  a Product prior to the expiration of 50 calendar days prior to the delivery
  date under the Purchase Order; and (ii) the foregoing shall not derogate from
  AMSs obligation to Deliver Products in the volumes appearing in the Forecast
  and the Purchase Order.                                                                                                                                                                                                                                  
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|7. | Inspections by NEXUS AMS will inform NEXUS
  Telocation of Delivery dates at least five (5) Working Days prior to any
  Delivery date, and AMS shall make the Products and/or Spare Parts to be
  Delivered available to NEXUS Telocation for the performance of acceptance
  tests at least one (1) full Working Day prior to the Delivery date.  If NEXUS Telocation did not perform the acceptance
  tests within such period, after being duly and timely notified by AMS as
  aforesaid, AMS shall be entitled to Deliver such Products and/or Spare Parts.
  Notwithstanding such inspections, or the lack thereof, NEXUS Telocation may
  return defective or non-conforming Products to AMS, at AMSs expense, during
  the Warranty Period, in accordance with the RMA procedure described in
  Section 9.4 (Acceptance and Return)

---

---

|8. | Consequences of Delay.  AMS shall utilize all best commercial
  efforts in order to remedy the anticipated delay, to expedite the Delivery
  and give highest priority and attention to the matter, including the
  engagement and involvement of senior management. If AMS is more than seven
  (7) days late in Delivery of the Products to the Delivery Point,  AMS shall be liable for late Delivery
  charges of 1% per week (at the end of each week starting from the second
  week). This will be applicable only in a case where Nexus Telocation will
  show AMS  that damage was caused.
|-- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|9. | Additional Cost of Expedited Freight.  AMS will pay the difference between
  expedited freight mode and normal freight mode on scheduled shipments that
  were missed due to AMSs failure to meet its obligations hereunder.                                                                                                                                                                                                                                                                                                                                                                      

---

---

APPENDIX 9

NEXUSDATA LTD. - Specific Terms and Conditions

|1. | Purchase Price Adjustments.  AMS shall agree to use best commercial
  efforts to obtain thirty-six (36) month fixed price contracts with all
  component suppliers.  In the event
  that any such contracts are terminated or not available, AMS and NEXUSDATA
  shall meet to determine the current best price available for replacement
  agreements.  Beginning in March, 2003
  until the end of the term of the Agreement, and any renewals thereof, each
  year on the first Working Day in March AMS and NEXUSDATA shall meet to
  determine the change in the B.O.M. resulting from the new component supply
  contracts.  The Purchase Price of
  Products will then be adjusted up or down by the change in the cost of the
  B.O.M. as determined and agreed as per the above.  The result of this process shall then fix the Purchase Price
  for the next twelve (12) months.
|-- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|2. | Forecasts. 
  NEXUS Data will provide AMS, every calendar month during the Term, a
  rolling forecast covering the period of at least six (6) calendar months (the
  Forecast). The Forecast will specify the number of units of the Products
  NEXUS Data anticipates purchasing during such period.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|3. | Purchase Order Adjustments and Rescheduling.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   | (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   | (b)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       

---

---

| | (c) | Increase of Products.  NEXUS Data may increase the quantity of
  Products previously set forth in any Purchase Order, in accordance with the
  chart set forth below without any extra charge.                                                                                                                                                                                                                                      
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                     
| | (d) | Change to Purchase Orders.  NEXUS Data shall confirm in writing
  delivered to AMS any changes (Change
  Order) to a Purchase Order, and AMS shall acknowledge such
  changes in writing within two (2) working days of NEXUS Datas confirmation,
  which shall include a quote of the cost and/or schedule impact, if any, of
  implementing the change, and which shall be subject to the written
  confirmation of NEXUS Data.
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                     
| | (e) | Permissible Percentages of Change.  The following chart defines the
  permissible percentage of change by periods covered by any Purchase Order:                                                                                                                                                                                                                                                                                    

|TYPE OF
  CHANGE  |  | DAYS         |  | % OF
  PERMISSIBLE
  ADJUSTMENT
|----------------- |  | ------------ |  | -------------------------------
|                  |  |              |  |                                
|                  |  |              |  |                                
|Increase          |  | 0-60 Days    |  | 0%                             
|Decrease          |  | 61-120 Days  |  | 10%                            
|Rescheduling
  or |  | 121-180 Days |  | 30%                            
|Cancellation      |  |              |  |                                

---

---

|*  | Days means the number of calendar days
  between NEXUS Datas order adjustment and the Delivery date, as amended in
  the PO.                                                                                                                                                                                                                                                                                                                                                              
|-- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|** | Adjustment means the percentage of any
  Product ordered for Delivery on such Delivery date that NEXUS Data may add to
  or subtract from (as applicable) the Purchase Order.                                                                                                                                                                                                                                                                                                              
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|   | (f)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|4. | Expedited deliveriesfrom time to time
  NexusData may require an expedited delivery of product. AMS shall use best
  commercial efforts to comply with these requests and shall be entitled to
  charge additional expediting and air delivery fees to NexusData.                                                                                                                                                                                                                            
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|5. | AMS agrees to execute a Related Manufacturing Agreementwith
  a specific NexusData customer for products to be delivered under a purchase
  order to be executed  under this
  contract, as set forth in Appendix 11 to the Agreement.                                                                                                                                                                                                                                                       
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|6. | Shared Technical ExpertiseAMS shall utilize
  NexusData technical personnel during the first year of production or longer
  if necessary to put into effect the turnkey production systems necessary to
  meet the terms and conditions of this contract.  AMS and NexusData shall mutually agree to the personnel and
  charges for these technical services.                                                                                                                               
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|7. | Shutdown Periods Directed by NEXUSData. In
  the event NEXUS should require AMS to cease production for a period greater than
  24 hours of regularly scheduled production time for other than New Product
  Introductions, AMS shall be entitled to direct damages. Payment will be made
  to AMS thirty (30) days after receipt of invoice for such charges.  The aforesaid shall not apply if the
  shutdown occurs due to noncompliance or breach by AMS of its undertakings
  hereunder.

---

---

|8. | Deliveries. 
  All Deliveries made under this Agreement shall be by sea freight.  Notwithstanding the above the initial
  quantities shall be Delivered by airfreight. 
  By January 28, 2002, AMS and NEXUS DATA shall discuss and agree on the
  time schedule and initial quantity which shall be Delivered by
  airfreight.  All such airfreight costs
  to be borne by NEXUS.  AMS declares
  that it will make commercially reasonable efforts in order to expedite
  commencement of delivery by way of sea freight.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|-- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|9. | Consequences of Delay.  AMS shall utilize all best commercial
  efforts in order to remedy the anticipated delay, to expedite the Delivery
  and give highest priority and attention to the matter, including the
  engagement and involvement of senior management.  If AMS is unable to deliver NexusData products Freight on Board
  at the Israeli port at least six weeks prior to the scheduled delivery date,
  it shall at its cost airfreight the products to the scheduled delivery point.
  AMS shall bear all incremental costs, including without limitation, for the
  expedited Delivery and costs for overtime. 
  Notwithstanding the above, NEXUS Data hereby declares that it will not
  demand delivery by way of airfreight unless commercially needed, such
  determination to be made at NEXUS Datas sole discretion.  In addition, and without derogating from
  other remedies available to NEXUS Data under this Agreement and/or applicable
  law, AMS shall be liable for late Delivery charges equal to penalties
  assessed against Nexus Data by its customer as described in  Article II and Article VIII of the NEXUS
  Data IMServe Purchase and License Agreement, a copy of which is attached as
  Schedule A hereto.  It is agreed that
  NEXUS Data will not penalize AMS for delay of the first supply of up to 30
  days resulting from deficiency of components.

---

---

APPENDIX 10

Product Life Test Reports

---

---

APPENDIX
11

Related Manufacturing Agreement

---

---

APPENDIX
12

Non-Disclosure Agreement

---

---

APPENDIX
13

QVL/AVL (B.O.M. With Manufacturers/Vendors)

---

---

APPENDIX
14

Outstanding Matters

|1. | Appendix 3 -Unique Components:  NEXUS Telocation to submit by March 1,
  2002                                                                           
|-- | --------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                         
|2. | Appendix 5 -Purchase Order Form:  NEXUS Data to provide by January 17, 2002                                                                             
|   |                                                                                                                                                         
|3. | Appendix 7 -Initial Inventory
  Purchase:  NEXUS Data to complete
  purchase by January 31, 2002                                                        
|   |                                                                                                                                                         
|4. | Appendix 7 and 7A - Initial Inventory
  Purchase:  NEXUS Telocation to provide
  within one (1) week of request by AMS                                  
|   |                                                                                                                                                         
|5. | Appendix 13 - QVL/AVL (B.O.M. With
  Manufacturers/Vendors): NEXUS Telocation to provide by February 1, 2002                                            
|   |                                                                                                                                                         
|6. | AMS to
  provide summary of insurance coverage and amounts in accordance with Section
  18.4 within one (1) week from the date this Agreement is signed.
|   |                                                                                                                                                         
|7. | NEXUS to
  provide AMS with the Letter of Instructions to the Escrow Agent within one
  (1) week from the date this Agreement is signed.                

---

---

APPENDIX 15

NEXUSDATA LTD.

Specific Terms and Conditions

---

---