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| 1.1 | ASSETS      PURCHASED.  Seller agrees to sell to Buyer and Buyer      agrees to purchase from Seller, on the terms and subject to the conditions      set forth in this Agreement, the following assets as set forth in Sections      1.1.1, 1.1.2 and 1.1.3 ("Assets"): |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | 1.1.1 | All      equipment, rolling stock, tools, assigned patents, trademarks, customer      lists, employment, sales representative and non-compete agreements, trade      and product names and miscellaneous inventory listed on Exhibit A,      together with any replacements or additions to the same made prior to the      Closing Date. |
|--|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | 1.1.2 | All      inventories and supplies owned by Seller listed on Exhibit A together with      any replacements or additions to the inventories made prior to the Closing      Date, but excluding inventory disposed of in the ordinary course of      Seller's business prior to the ClosingDate. |
|--|-------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | 1.1.3 | Seller's      goodwill and Customer List; such customers are identified on Exhibit      H. |
|--|-------|--------------------------------------------------------------------------------------------|

| 1.2 | ASSUMPTION OF      LIABILITIES.  Buyer shall assume certain of Seller’s      liabilities as listed in Exhibit Band Seller shall retain all of its other      liabilities, including Seller’s retained liabilities as listed in Exhibit      C. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 3.1 | Subject      to adjustment as provided below, the Total Purchase Price for the Assets      plus Premium shall equal the sum of the Net Purchase Price of Two Hundred      Seventeen Thousand Two Hundred Eighty Two and 11/100 Dollars      ($217,282.11)  plus a Premium of up to Fifty Thousand and 00/100      Dollars ($50,000.00), with both values in accordance with the Settlement      Worksheet attached hereto.  The Premium amount of up to Fifty      Thousand and 00/100 Dollars ($50,000.00) shall be subject to a post      closing reduction.  The amount of the reduction shall be the      amount of accounts receivable that Buyer purchased from Seller (“Accounts      Receivable”) that were not collected by Buyer within (90) days after the      Closing Date.   For purposes of clarity, if the amount of      uncollected Accounts Receivable equals $5,000 then Buyer shall pay to      Seller the reduced Premium amount of $45,000.00. The uncollected Accounts      Receivable shall be reassigned to Seller by Buyer which shall then have      the right to retain and collect on the uncollected accounts      receivable.  The Net Purchase Price shall be payable based on      the following arrangement: (i) $217,282.11 shall be paid by wire transfer      from the Buyer to the Seller on the Closing Date and (ii) the Premium      shall be paid by check on ninety (90) days from the Closing Date, subject      to adjustments provided for herein. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.2 | In      accordance with the Letter of Intent (“LOI”) dated November 30, 2009, and      no later than fourteen (14) calendar days after the Closing Date, the      Buyer and Licensor shall agree to a New Exclusive License Agreement as      well as related Agreements concerning the ownership and governance of the      Buyer, which Agreements shall be acceptable to both Buyer and Licensor,      not only for Licensor’s rights in Buyer and also to fiber and other novel      fiber products to be sold in Buyer’s business relating to the sales,      marketing, packaging and distribution of reinforcing and fibers in      congealable materials. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.3 | Buyer      and Seller shall each be responsible for one-half of all sales and      transfer taxes associated with the contemplated asset purchase      transaction; provided, however, each party agrees to execute or provide      whatever documents are necessary for such  transfer. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 3.4 | Personal      property taxes, if any, imposed upon Assets being transferred shall be pro      rated based on the taxation period and the ownership of the Assets during      the taxation period allocated with Seller paying for the period prior to      Closing and Buyer paying for the period after  Closing. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.1 | Non-competition      Agreements between Buyer & Seller and Buyer & Selling Shareholders      in the form of Exhibit E. |
|-----|--------------------------------------------------------------------------------------------------------------------------------|

| 4.2 | Commercial      Lease and Operating Agreement between Buyer and Seller in the form of      Exhibit F. |
|-----|-------------------------------------------------------------------------------------------------------|

| 4.3 | Seller      and Shareholder Assignment Agreements, a License Termination and      Extinguishing Agreement, and a Bill of Sale in the forms of Exhibit      G. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.1 | CORPORATE      EXISTENCE.  Seller is now, and on the Closing Date will      be, a corporation duly organized and validly existing and in good standing      under the laws of the State of Delaware.  Seller has all      requisite corporate of power and authority to own, operate and/or lease      the Assets, as the case may be, and to carry on its business as now being      conducted. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.2 | AUTHORIZATION.  The      execution, delivery and performance of this Agreement have been duly      authorized and approved by the Board of Directors and Shareholders of      Seller, and will not violate the terms of any other agreement of Seller,      and this Agreement constitutes a valid and binding agreement of Seller in      accordance with its terms. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 5.3 | TITLE TO ASSETS AND      CONDITION.  Except as described in this Agreement, Seller      holds good and marketable title to the Assets, free and clear of      restrictions on or conditions to transfer or assignment, and free and      clear of liens, pledges, charges or encumbrances, except for liens that      will be terminated on the Closing Date.  Seller warrants that      all the Accounts Receivable are bona fide accounts receivable generated in      the ordinary course of the Business .  Buyer is purchasing the      Assets "as is" and "where is", Seller is making no representation or      warranty concerning the condition of the Assets, including, without      limitation warranties of merchantability or fitness for a particular      purpose. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.4 | BROKERS AND      FINDERS.  Neither Seller nor Shareholders have employed      any broker or finder in connection with the transaction contemplated by      this Agreement or taken action that would give rise to valid claims      against any party for a brokerage commission, finder's fee or other like      payment. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.5 | TRANSFER NOT SUBJECT TO      ENCUMBRANCES OR THIRD PARTY APPROVAL.  The execution and      delivery of this Agreement by Seller and Shareholders, and the      consummation of the contemplated transactions, will not result in the      creation or imposition of any valid lien, charge or encumbrance on any of      the Assets, and will not require the authorization, consent, or approval      of any third party, including any governmental division or regulatory      agency. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.6 | LABOR AGREEMENTS AND      DISPUTES.  Seller is neither a party to, nor otherwise      subject to, any collective bargaining or other agreement governing the      wages, hours or terms of employment of Seller's      employees.  Neither Seller nor Shareholders is aware of any      labor dispute or labor trouble involving employees of    Seller. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 5.7 | NONCANCELLABLE      CONTRACTS.  On the Closing Date, there will be no      material leases, employment contracts, contracts for services, or      maintenance, or other similar contacts, existing or related to or      connected with the operation of Seller's business that are not cancelable      within thirty (30) days except for the month-to-month Lease for the      Vineland location of Seller referenced in Article  4.2. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.8 | LITIGATION.  Seller      and Shareholders have no knowledge of any claim, litigation, proceeding,      or investigation pending or threatened against Seller that might result in      any material adverse change in the business or condition of the assets      being conveyed under thisAgreement. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.9 | ACCURACY OF REPRESENTATIONS AND      WARRANTIES.  None of the financial information provided      by Seller to Buyer, or representations or warranties of Seller or Selling      Shareholder to Buyer contains or will contain any untrue statements of a      material fact or omit or will omit or misstate a material fact necessary      in order to make statements      in this Agreement not misleading.   Seller and Shareholders      represent that information such as the Seller P&L, Income Statement      and Balance Sheet attached hereto as Exhibit I is true and correct in      accordance with generally accepted accounting      practices. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.1 | CORPORATE      EXISTENCE.  Buyer is an S corporation duly organized,      validly existing, and in good standing under the laws of the Commonwealth      of Pennsylvania.  Buyer has all requisite corporate power and      authority to enter into this Agreement and perform its obligations      hereunder. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 6.2 | AUTHORIZATION.  The      execution, delivery and performance of this Agreement have been duly      authorized and approved by the Board of Directors and shareholders of      Buyer, and this Agreement constitutes a valid and binding agreement of      Buyer in accordance with itsterms. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.3 | BROKERS AND      FINDERS.  Buyer has not employed any broker or finder in      connection with the transactions contemplated by this Agreement and has      taken no action that would give rise to a valid claim against any party      for a brokerage commission, finder’s fee or other like      payment. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.4 | ACCURACY OF REPRESENTATIONS AND      WARRANTIES.  None of the representations or warranties of      Buyer contain or will contain any untrue statement of a material fact or      omit or will omit or misstate a material fact necessary in order to make      the statements contained herein notmisleading. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7.1 | SELLER'S OPERATION OF BUSINESS      PRIOR TO THE CLOSING DATE.  Seller and Shareholders agree      that between the date of this Agreement and the Closing Date, Seller      will: |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.1.1 | Use      its normal commercial efforts to preserve its business organization and      preserve the continued operation of its business with its customers,      suppliers, and others having business relations with    Seller. |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7.1.2 | Not      assign, sell, lease or otherwise transfer or dispose of any of the Assets,      except to Buyer. |
|--------|-------|-----------------------------------------------------------------------------------------------------------|

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|   | 7.1.3 | Maintain      all of its Assets other than inventories in their present conditions,      reasonable wear and tear and ordinary usage accepted and maintain the      inventories at levels normallymaintained. |
|--------|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7.2 | ACCESS TO PREMISES AND      INFORMATION.  At reasonable times after the execution      date of this Agreement and prior to the closing on March 31, 2010, Seller      will provide Buyer and its representatives with reasonable access during      business hours to Seller’s business premises to inspect the assets to be      purchased under this Agreement, including any titles, contracts and      records of Seller and Seller shall furnish such additional information      concerning Seller's businesses as Buyer may from time to time reasonably      request.  From the date of execution by the parties of this      Agreement through March 31, 2010,  (a) Seller will give Buyer      and Buyer’s management personnel, legal counsel, accountants, and      technical and financial advisors, full access and opportunity to inspect,      investigate and audit the books, records, contracts, and other documents      of Seller as they relate to Seller’s business and all of Seller’s assets      and liabilities (actual or contingent), including, without limitation,      inspecting Seller’s property and conducting additional environmental      inspections of Seller’s property and reviewing financial records,      contracts, operating plans, and other business records, for the purposes      of evaluating issues related to the operation of Seller’s business; and      (b) Buyer will provide Seller and the Shareholders with such financial      information relating to Buyer to allow them to assess the ability of Buyer      to consummate the transactions contemplated by this Agreement and to      operate the business (all activities described in this Section 7.2 to be      performed by Buyer shall constitute “Due Diligence”). After the Closing      Date, Buyer shall have access to such financial information as necessary      and in accordance with provisions of Article  14.1. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 7.3  | EMPLOYEE      MATTERS. |
|-----------|------------------------|

|  | 7.3.1 | Prior      to the Closing Date, Seller will deliver to Buyer lists of the names of      all persons on the payroll of Seller, together with a statement of amounts      paid to each during Seller's most recent fiscal year and amounts paid for      services from the beginning of the current fiscal year to the Closing      Date.  Seller will also provide Buyer with a schedule of all      employee bonus arrangements and a schedule of other material compensation      or personnel benefits or policies ineffect. |
|--|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | 7.3.2 | Prior      to the Closing Date, Seller will not, without Buyer's prior written      consent, enter into any material agreements with its employees, increase      the rate of compensation or bonus      payable to or to become payable to any employee or effect any change in      the management, personnel policies, or employee benefits, except in      accordance with existing employment  practices. |
|--|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | 7.3.3 | As      of or prior to the Closing Date, Seller will terminate all of its      employees and will pay each employee all wages, commissions, and accrued      vacation pay earned up to the time of termination, including overtime pay,      required by applicable law. |
|--|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7.4 | CONDITIONS AND BEST      EFFORTS.  Seller and Shareholders will use their best      efforts to effectuate the transactions contemplated by this Agreement and      to fulfill all the conditions of the obligations of Seller and      Shareholders under this Agreement, and will do all acts and things as may      be required to carry out their respective obligations under this Agreement      and to consummate and complete thisAgreement. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.1 | CONDITIONS AND BEST      EFFORTS.  Buyer will use its best efforts to effectuate      the transaction contemplated by this Agreement and to fulfill all the      conditions of Buyer's obligations under this Agreement, and shall do all      acts and things as may be required to carry out Buyer's obligations and to      consummate this Agreement. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 8.2 | CONFIDENTIAL      INFORMATION.  If for any reason the sale of Assets is not      closed pursuant to this Agreement, the Parties will not use or disclose to      third parties any confidential information received from the other in the      course of investigating, negotiating, and performing the transactions      contemplated by this Agreement and in accordance with the Confidentiality      Agreement already executed by the Licensor and Buyer and the Letter of      Intent already executed by theParties. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 9.1 | REPRESENTATIONS,      WARRANTIES AND COVENANTS OF SELLER AND  SHAREHOLDERS. |
|-----|-----------------------------------------------------------------------------|

| 9.2 | LICENSES AND      PERMITS.  Buyer shall have obtained all licenses and      permits from public authorities necessary to authorize the ownership and      operation of the business ofSeller. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 9.3 | CONDITIONS OF THE      BUSINESS.  There shall have been no material adverse      change in the manner in of operation of Seller's business prior to the      Closing Date. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 9.4 | Buyer      shall have satisfactorily completed its Due Diligence and acquisition      audit showing that the assets of Seller and any actual or contingent      liabilities against those assets, and the prospective business operations      by Buyer of Seller’s business are substantially the same as currently      understood by Buyer as of the date of execution of this Agreement      (determined without regard to any documents which Seller or any party may      have previously delivered toBuyer). |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 9.5 | NO SUITS OR      ACTIONS.  At the Closing Date, no suit, action or other      proceeding shall have been threatened or instituted to restrain, enjoin or      otherwise prevent the consummation of this Agreement or the contemplated      transactions. Should any such proceeding occur, the Seller shall indemnify      and hold harmless the Buyer. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 9.6 | OTHER      DELIVERIES.  Customary evidence as to good standing,      authorization and authority must be delivered, the content of which shall      be mutually agreed upon. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 9.7. | SUCCESSFUL      FINANCING.  Buyer must secure the approval for any debt      or equity financing necessary to acquire the Assets of    Seller. |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

| 9.8. | ENVIRONMENTAL.  An      environmental inspection by a licensed environmental inspection firm      contracted and paid for by Buyer must show the Assets of Seller to be free      from significant environmental liabilities.  Buyer shall be      given access to the property of Seller and documents as necessary for      Buyer and its agents to conduct the inspection and prepare the reports at      the Buyer’s cost.  At Seller’s request, it will be supplied with      a copy of such report.  Selling Shareholder and Seller shall      represent and warrant as a condition of closing that to the best of their      knowledge there are no material adverse environmental liabilities      associated with Seller, with Seller’s products, assets or the property it      owns. |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 10.1 | All      representations and warranties made in this Agreement by Buyer shall be      true as of the execution      date of this Agreement as fully as though such representations and      warranties have been made on and as of the Closing Date, and Buyer shall      not have violated or shall not have failed to perform in accordance with      any covenant contained in thisAgreement. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 10.2 | Customary      evidence as to good standing, authorization and authority must be      delivered. |
|------|--------------------------------------------------------------------------------------------------|

| 10.3  | The      execution by Seller and Seller Shareholder of the Seller and      Shareholder      License Termination and Extinguishing Agreement attached hereto as Exhibit      G. |
|------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 12.1 | SURVIVAL OF REPRESENTATIONS AND      WARRANTIES.  All representations and warranties made in      this Agreement shall survive the closing of this Agreement, except that      any party to whom a representation or warranty has been made in this      Agreement shall be deemed to have waived any misrepresentation or breach      of representation or warranty which such party had knowledge of prior to      the Closing Date.  Any party learning of a misrepresentation or      breach of representation or warranty under this Agreement shall      immediately give notice thereof to all other parties to this      Agreement.  The representations and warranties in this Agreement      shall terminate eighteen months (18) from the Closing Date, and such      representations or warranties shall thereafter be without force or effect,      except any claim with respect to which notice has been given to the party      to be charged prior to such expirationdate. |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 12.2 | SELLER’S      AND SHAREHOLDERS INDEMNIFICATION. |
|------|-------------------------------------------------------|

|   | 12.2.1 | Seller      and Shareholder’s each hereby agree to indemnify and hold Buyer, its      successors and assigns harmless from and  against: |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (1) | Any      and all claims, liabilities and obligations of every kind and description,      contingent or otherwise, arising out of or related to the operation of      Seller's business (including Seller’s agreement to pay liabilities of      Seller retained by Seller when due in the ordinary course), prior to the      close of business on the day before the Closing Date, except for claims,      liabilities and obligations of Seller expressly assumed by Buyer under      this Agreement. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | Any      and all damages, deficiencies, or fees, including reasonable attorneys’      fees, resulting from any material misrepresentation or breach of warranty      or covenant, or non-fulfillment of any agreement on the part of Seller or      the Shareholders under thisAgreement. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 12.2.2 | Seller’s and Shareholder’s indemnity obligations      under 12.2.1 shall be subject to      thefollowing: |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------|

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|   | (1) | If      any claim is asserted against Buyer that would give rise to a claim by      Buyer against Seller and Shareholders for indemnification under the      provisions of this paragraph, the Buyer shall promptly give written notice      to Seller and Shareholder concerning such claim so Seller and Shareholder      shall, at no expense to Buyer, defend such  claim. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | The      maximum aggregate liability of Seller and Shareholders under this      Agreement shall not exceed, and Seller and Shareholders shall not be      required to indemnify Buyer for an amount that exceeds the total of Three      Hundred Thousand and 00/100 Dollars ($300,000) (“Liability      Cap”).  No direct claim shall be made by Buyer against Seller or      the Shareholders unless and until the aggregate of all such claims against      them aggregates in excess of Ten Thousand and 00/100 Dollars      ($10,000.00).  The parties acknowledged that Seller has a      General Liability, Professional Liability and Environmental Liability      Policy Number 000126500 from Ironshore Specialty Insurance Company      (“Insurance Policy”).  Notwithstanding the first sentence of      this Section 12.2.2, the parties agree that if an indemnity claim by Buyer      is covered by and coverage is accepted under the Insurance Policy, Buyer      may seek indemnity in excess of the Liability Cap, to the extent and only      to the extent of the accepted coverage paid under the Insurance Policy,      with their being no recovery by Buyer for any  deductable. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 12.3 | BUYER’S      INDEMNIFICATION.  Buyer agrees to defend, indemnify and      hold harmless Seller and Shareholders from and  against: |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------|

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|  | 12.3.1 | Any      and all claims, liabilities and obligations of every kind and description      arising out of or related to the operation of the business following the      Closing Date or arising out of Buyer’s agreement to pay liabilities of      Seller assumed by Buyer under Section 1.2 when due in the ordinary course      pursuant to this Agreement. |
|--|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | 12.3.2 | Any      and all damages, deficiencies, or fees, including reasonable attorneys’      fees, resulting from any material misrepresentation or breach of warranty      or covenant, or non-fulfillment of any agreement on the part of Buyer      under this Agreement. |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 13.1 | TIME AND      PLACE.  The closing for the purchase of the Assets shall      be at the offices of Seller on the 31st day of March, 2010 or such other      date, time and place as the parties may agree in writing (the “Closing      Date”).  If the Closing Date has not been extended by the      parties or occurred on or before March 31, 2010, then either party may      elect to terminate this Agreement.  If, however, the Closing      Date has not occurred because of a breach of contract by one or more of      the parties, the breaching party or parties shall remain liable for breach      of contract. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 13.2 | OBLIGATIONS OF SELLERS AND      SHAREHOLDERS AT CLOSING DATE.  On the Closing Date,      Seller and Shareholders shall deliver to Buyer the    following: |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.2.1 | Bills      of Sale, Assignments, properly endorsed Certificate of Titles, and other      instruments of transfer, in form and substance reasonably satisfactory to      counsel for Buyer, necessary to transfer and convey all of the Assets to      Buyer. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.2.2 | The      Agreements referenced in Section 4. |
|--------|--------|----------------------------------------------|

|   | 13.2.3 | Such      other certificates and documents as may be called for by the provisions of      this Agreement. |
|--------|--------|-----------------------------------------------------------------------------------------------------------|

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|   | 13.2.4 | Any      payments required under Section13.4. |
|--------|--------|-----------------------------------------------|

|   | 13.3 | OBLIGATIONS OF      BUYER AT CLOSING.  At the closing Buyer shall deliver to      Seller the following: |
|--------|------|-------------------------------------------------------------------------------------------------------------------|

|   | 13.3.1 | An      Assumption of Assets and Liability and such other certificates and      documents as may be called for by the provisions of this      Agreement. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 13.2.2 | Any      payments required under Section 3 of this  Agreement. |
|--------|--------|----------------------------------------------------------------|

| 14.1 | BOOKS AND      RECORDS.  This sale does not include the books of account      and records of Seller's business.  However, possession and      custody of such books and records, including Seller's general ledger and      systems, shall be retained by Buyer for a period of up to twelve (12)      months.  During this period, Buyer and Seller or its agents      shall have access to such books and records during normal business hours      upon advance notice and may make copies thereof.   Buyer      will exercise reasonable care in the safekeeping of such      records.  Seller shall retain its general ledger but shall make      it available for inspection by Buyer from time to time upon reasonable      request. |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 14.2 | SELLER'S RIGHT TO      PAY.  In the event Buyer fails to make any payment of      taxes, assessments, insurance premiums, or other charges that Buyer is      required to pay to third parties under this Agreement, Seller shall have      the right, but not the obligation, to pay the same.  Buyer will      reimburse Seller for any such payment immediately upon Seller's demand,      together with interest at the annual rate of 8% from the date of Seller's      payment until Buyer reimburses Seller.  Any such payment by      Seller shall not constitute a waiver by Seller of any remedy available by      reason of Buyer's default for failure to make the  payments. |
|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 14.3 | LICENSE. No later than      fourteen (14) calendar days after the Closing Date, the Buyer and Licensor      shall agree to a New Exclusive License Agreement and related Agreements      concerning the ownership and governance of the Buyer, which Agreements      shall be acceptable to both Buyer and Licensor, for Licensor’s rights in      Buyer and also to fiber and other novel fiber products to be sold in      Buyer’s business relating to the sales, marketing, packaging and      distribution of reinforcing and fibers in congealable      materials. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 14.4 | RELEASE AND CERTAIN      REPRESENTATIONS AND WARRANTIES. Licensor is one of two directors of      the Seller.  Licensor has at the request of Seller been involved      with some of the operational details of the Seller.  Seller and      Shareholder, their respective affiliates, officers, directors, employees      and agents hereby release Licensor from any and all claims or liabilities,      causes of action and damages, whether known or unknown, contingent or      accrued, including all legal fees, witness fees and costs of suit, arising      from or relating to the Business and operation of the Seller, including,      but not limited to any claims presented by Buyer under Section 12.2 of the      Asset Purchase Agreement, as well as any and all third party claims      arising thereunder from the beginning of time through the date of this      Agreement (“Release”).  In consideration of the foregoing      Release and as an exclusion from the Release, Licensor hereby covenants,      represents and warrants to Seller and Shareholder the following      (“Exclusions”): (i) Licensor took no actions or omissions to intentionally      harm the Business and/or operation of Seller; (ii) Licensor has not      suppressed any orders or accounts for the Business and to Licensor’s      knowledge there are no pending orders or accounts with respect to the      Business other than orders of the Buyer; and (iii) to Licensor’s knowledge      the representations and warranties in Section 5.8 and 5.9 of this      Agreement are true and correct as of the Closing Date.  The      parties agree that the Release and Exclusions survive the Closing      Date.  The Release does not bar or prevent any action by Seller      or Shareholder for damages against the Licensor based on the Exclusions      being false or not true. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 16.1 | This      Agreement may be terminated by mutual written consent of Buyer and      Seller. |
|------|-------------------------------------------------------------------------------------------|

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| 16.2 | BREACH OF REPRESENTATIONS AND      WARRANTIES; FAILURE OF CONDITIONS.  Buyer may elect by      notice to Seller, and Seller may elect by notice to Buyer, to terminate      this Agreement if; |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 16.2.1 | The      terminating party shall have discovered a material error, misstatement, or      omission in the representations and warranties made in this Agreement by      the other party. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | 16.2.2 | All      of the conditions precedent of the terminating party's obligations under      this Agreement as set forth in either Section 9 or 10, as the case may be,      have not occurred and have not been waived by the terminating party on or      prior to the Closing Date. |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 16.3 | CLOSING NOTWITHSTANDING THE      RIGHT TO TERMINATE.  The party with a right to terminate      this Agreement pursuant to Section 16.2.1 or 16.2.2 shall not be bound to      exercise such right, and its failure to exercise such right shall not      constitute a waiver of any other right it may have under this Agreement,      including but not limited to remedies for breach of a representation,      warranty, or covenant. |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 19.1 | The      provisions of this Agreement shall be binding upon and inure to the      benefit of the heirs, personal representatives, successors, and assigns of      the parties.  Any dispute arising out of or relating to this      Agreement shall be submitted by either party for arbitration to the      American Arbitration Association in Bucks County Pennsylvania and decided      in accordance with its rules and procedures.  The decision of      the Arbitration Panel or Arbitrator shall be final and binding on the      parties. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 19.2 | Any      notice or other communication required or permitted to be given under this      Agreement shall be in writing and shall be mailed by certified mail,      return receipt requested, postage prepaid, addressed to the parties as      follows: |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 19.3 | No      waiver of any provision of this Agreement shall be deemed, or shall      constitute, a waiver of any other provision, whether or not similar, nor      shall any waiver constitute a continuing      waiver.  No waiver shall be binding unless executed in writing      by the party making thewaiver. |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 19.4 | This      Agreement shall be governed by and shall be construed in accordance with      the laws of the Commonwealth ofPennsylvania. |
|------|--------------------------------------------------------------------------------------------------------------------------------------|

| 19.5 | This      Agreement constitutes the entire agreement between the parties pertaining      to its subject matter and it supersedes all prior contemporaneous      agreements, representations, and understandings of the      parties.  No supplement, modification, or amendment of this      Agreement shall be binding unless executed in writing by all parties.      Witness the signatures of the parties this the 31st      day of March, 2010. |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| SELLER:                                  |
|------------------------------------------|
| NEW      NYCON, INC.                     |
|                                     |   |
| BY:                                      | /s/  Brent Kopenhaver,      Treasurer |
|                                     |   |
| PURE      EARTH, INC.                    |
| SHAREHOLDER:                             |
|                                     |   |
| /s/  Mark Alsentzer,      President |
| By:                                      | MarkAlsentzer |

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| BUYER:                                |
|---------------------------------------|
| NYCON CORPORATION, INC.               |
|                                  |
| /s/  Barry  Fleck           |
| BARRY      FLECK                      |
|                                  |
| LICENSOR:                             |
|                                  |
|   /s/ Paul      Bracegirdle |
| PAULBRACEGIRDLE                       |

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| Assets                                                         |   |              |       |
|----------------------------------------------------------------|--------|-------------------|------------|
| AR      (not including amounts over 90 days)                   |   | $                 | 103,449.03 |   |
| Inventory      (as adjusted by the parties)                    |   | $                 | 238,377.00 |   |
| Fixed      Assets (all RI & NJ office and plant equipment) |   | $                 | 12,372.00  |   |
| TOTAL ASSETS                                                   |   | $                 | 363,198.03 |   |
|                                                           |   |              |       |   |
| Liabilities                                                    |   |              |       |   |
| Net      AP (excluding amounts to be retained by Seller)       |   | $                 | 132,915.92 |   |
| Accrued      expenses (sales commissions)                      |   | $                 | 13,000.00  |   |
| TOTAL LIABILITIES                                              |   | $                 | 145,915.92 |   |
|                                                           |   |              |       |   |
| Net Purchase Price (ASSETS –      LIABILITIES)           |   | $                 | 217,282.11 |   |
|                                                           |   |              |       |   |
| Premium      (minus post closing adjustments @ 90 days)        |   | $      <50,000 |       |

| AP Retained by Seller: |   |   |              |
|------------------------|--------|--------|-------------------|
| Global      Directions |   | $      | 19,473            |   |
| Pitney      Bowes      |   | $      | 300/mo      lease |   |

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|   | Table of Omitted      Schedules |
|--------|---------------------------------|
|   |                            |

| Schedule or Exhibit |   | Description                                                                                                                             |
|-------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------|
|                          |   |                                                                                                                                    |
| Exhibit      E                |   | Shareholder      and Seller Noncompetition Agreements                                                                                   |
|                          |   |                                                                                                                                    |
| Exhibit      F                |   | Commercial      Lease and Operating Agreement                                                                                           |
|                          |   |                                                                                                                                    |
| Exhibit      G                |   | Seller      and Shareholder Assignment Agreements and Seller and Shareholder License      Termination and Extinguishment Agreement |
|                          |   |                                                                                                                                    |
| Exhibit      H                |   | Seller      Customer List                                                                                                               |
|                          |   |                                                                                                                                    |
| Exhibit      I                |   | Seller      PL, Income Statement and BalanceSheet                                                                                       |

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