<PAGE>   1

                                                                   EXHIBIT 10.22

THE SECURITIES REPRESENTED HEREBY HAVE BEEN ACQUIRED FOR INVESTMENT AND HAVE NOT
BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. THESE SECURITIES
MAY NOT BE OFFERED, SOLD OR TRANSFERRED ABSENT SUCH REGISTRATION OR AN EXEMPTION
THEREFROM UNDER SAID ACT.

                        PLANET POLYMER TECHNOLOGIES, INC.
                     WARRANT TO PURCHASE UP TO A MAXIMUM OF
                          50,000 SHARES OF COMMON STOCK

        In consideration of the sum of good and valuable consideration, the
receipt of which is hereby acknowledged by PLANET POLYMER TECHNOLOGIES, INC., a
California corporation (the "Company"), LBC CAPITAL (the "Holder"), is hereby
granted the right to purchase, at any time from the date hereof until 5:00 P.M.,
Pacific Standard Time, on March 30, 2004 (the "Expiration Date") up to all or
any part of fifty thousand (50,000) fully paid and non-assessable shares of the
Company's common stock, without par value ("Common Stock").

1. EXERCISE OF WARRANT. This Warrant is exercisable at a price of $4.1250 per
share of Common Stock issuable hereunder (the "Exercise Price") payable in cash
or by certified or official bank check. Upon surrender of this Warrant together
with a subscription form substantially in the form of Exhibit A hereto duly
executed, together with payment of the Exercise Price for the shares of Common
Stock purchased, at the principal executive offices of the Company, 9985
Businesspark Avenue, Suite A, San Diego, California, 92131, or at such other
office as the Company may designate by notice in writing, the Holder shall be
entitled to receive, as promptly as practicable after surrender of the Warrant,
a certificate or certificates for the shares of Common Stock so purchased. Upon
exercise of this Warrant as set forth in the preceding sentence, the Holder
shall be deemed to be the holder of record of the shares of Common Stock
issuable upon such exercise.

The purchase rights represented by this Warrant are exercisable at the option of
the Holder hereof, in whole or in part (but not as to fractional shares of the
Common Stock), during any period in which this Warrant may be exercised as set
forth above. In the case of the purchase of less than all the shares of Common
Stock purchasable under this Warrant, the Company shall cancel this Warrant upon
the surrender hereof and shall execute and deliver a new Warrant of like kind
for the balance of the shares of Common Stock purchasable hereunder.

2. ISSUANCE OF STOCK CERTIFICATES. The issuance of certificates for shares of
Common Stock upon the exercise of this Warrant shall be made without charge to
the Holder hereof any tax which may be payable in respect to the issuance
thereof, and such certificates shall (subject to the provisions of Sections 3
and 5 hereof) be issued in the name of, or in such names as may be directed by,
the Holder hereof; provided, however, that the Company shall not be required to
pay any tax which may be payable in respect to any transfer involved in the
issuance and delivery of any such certificate in a name other than that of the
Holder and the Company shall not be required to issue or deliver such
certificates unless or until the person or persons requesting the issuance
thereof shall have paid to the Company the amount of such tax or shall have
established to the satisfaction of the Company that such tax has been paid, and
provided that the issuance of certificates for such shares of Common Stock shall
not violate the securities laws.


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3. TRANSFER, DIVISION AND COMBINATION.

        3.1 TRANSFER. Subject to compliance with Section 5.9, the Holder of this
Warrant may transfer this Warrant at any time to any subsidiary or affiliate of
the Holder. Transfer of this Warrant and all rights hereunder, in whole or in
part, shall be registered on the books of the Company to be maintained for such
purpose, upon surrender of this Warrant at the principal office of the Company
or the office or agency designated by the Company, together with a written
assignment of this Warrant substantially in the form of Exhibit B hereto duly
executed by Holder or its agent or attorney and funds sufficient to pay any
transfer taxes payable upon the making of such transfer. Upon such surrender
and, if required, such payment, the Company shall, subject to Section 5.9,
execute and deliver a new Warrant or Warrants in the name of the assignee or
assignees and in the denomination specified in such instrument of assignment,
and shall issue to the assignor a new Warrant evidencing the portion of this
Warrant not so assigned, and this Warrant shall promptly be canceled. A Warrant,
if properly assigned in compliance with Section 5.9, may be exercised by a new
Holder for the purchase of shares of Common Stock without having a new Warrant
issued.

        3.2 DIVISION AND COMBINATION. Subject to Section 5.9, this Warrant may
be divided or combined with other Warrants upon presentation hereof at the
aforesaid office or agency of the Company, together with a written notice
specifying the names and denominations in which new Warrants are to be issued,
signed by Holder or its agent or attorney. Subject to compliance with Section
3.1 and with Section 5, as to any transfer which may be involved in such
division or combination, the Company shall execute and deliver a new Warrant or
Warrants in exchange for the Warrant or Warrants to be divided or combined in
accordance with such notice.

        3.3 EXPENSES. The Company shall prepare, issue and deliver at its own
expense (other than transfer taxes) the new Warrant or Warrants under this
Section 3.

        3.4 MAINTENANCE OF BOOKS. The Company agrees to maintain, at its
aforesaid office or agency, books for the registration and the registration of
transfer of the Warrants.

4. EXERCISE PRICE. The exercise price of this Warrant shall be $4.1250 per share
of Common Stock.

5. REGISTRATION AND REGISTRATION RIGHTS.

        5.1 RESTRICTED SECURITIES. The shares of Common Stock issuable upon
exercise of this Warrant (the "Warrant Stock") have not been registered under
the Securities Act of 1933, as amended ("the Securities Act").

        Except as otherwise provided in this Section 5, upon exercise, in part
or in whole, of this Warrant, the Warrant Stock shall bear the following legend:

               "The shares represented by this certificate have not been
               registered under the Securities Act of 1933, as amended. The
               shares have been acquired for investment and may not be sold,
               transferred, pledged or hypothecated in the absence of an
               effective registration statement for the shares under the
               Securities Act of 1933 or an opinion of counsel of the Company
               that registration is not required under said Act."


                                       2.
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        5.2 DEFINITIONS. For purposes of Section 5:

               (a) The term "Commission" means the Securities and Exchange
Commission;

               (b) The term "Exchange Act" means the Securities Exchange Act of
1934, as amended;

               (c) The terms "register," "registered," and "registration" refer
to a registration effected by preparing and filing a registration statement in
compliance with the Securities Act and the declaration or ordering of
effectiveness of such registration statement;

               (d) The term "Registrable Securities" means Common Stock issuable
or issued upon exercise of Warrants to purchase Common Stock of the Company
outstanding as of the filing of any registration statement subject to the
provisions of Section 5.3;

               (e) The term "Holder" means any investor holding Registrable
Securities and any other person holding Registrable Securities to whom these
registration rights have been transferred pursuant to Sections 3 and 5; and

               (f) The term "Securities Act" means the Securities Act of 1933,
as amended.

        5.3 COMPANY REGISTRATION.

               (a) If the Company at any time proposes to file on its behalf
and/or on behalf of any of its security holders (the "demanding security
holders") a registration statement under the Securities Act on any form (other
than a Registration Statement on Form S-4 or S-8 or any successor form for
securities to be offered in a transaction of the type referred to in Rule 145
under the Securities Act or to employees of the Company pursuant to any employee
benefit plan, respectively) for the general registration of securities to be
sold for cash with respect to its Common Stock or any other class of equity
security (as defined in Section 3(a)(11) of the Exchange Act) of the Company, it
will give written notice to all holders of Warrants or Warrant Stock at least
ten (10) days before the initial filing with the Commission of such registration
statement, which notice shall set forth the intended method of disposition of
the securities proposed to be registered by the Company. The notice shall offer
to include in such filing the aggregate number of shares of Warrant Stock, and
the number of shares of Common Stock for which this Warrant is exercisable, as
such holders may request.

               (b) Each holder of any such Warrants or any such Warrant Stock
desiring to have Warrant Stock registered under this Section 5.3 shall advise
the Company in writing within ten (10) days after the date of receipt of such
offer from the Company, setting forth the amount of such Warrant Stock for which
registration is requested. The Company shall thereupon include in such filing
the number of shares of Warrant Stock for which registration is so requested,
subject to the paragraph 5.3(c) below, and shall use its best efforts to effect
registration under the Securities Act of such shares.

               (c) If the registration of which the Company gives notice is for
a registered public offering involving an underwriting, the Company shall so
indicate in the notice given pursuant to Section 5.3(a). In such event the right
of any Holder to registration pursuant to this Section 5.3 shall be conditioned
upon such Holder's agreeing to participate in such underwriting


                                       3.
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and in the inclusion of the securities of the Holder to be so registered in the
underwriting to the extent provided herein. All Holders proposing to distribute
their securities through such underwriting shall (together with the Company and
the other holders distributing their securities through such underwriting) enter
into an underwriting agreement in customary form with the underwriter or
underwriters selected for such underwriting by the Company. Notwithstanding any
other provision of this Section 5.3, if the underwriter determines that
marketing factors require a limitation of the number of shares to be
underwritten, the underwriter may exclude some or all of the securities of the
Holders from such registration and underwriting (hereinafter an "Underwriter
Cutback"). In the event of an Underwriter Cutback, the Company shall so advise
the Holders distributing their securities through such underwriting, and the
number of Registrable Securities that may be included in the registration and
underwriting shall be allocated among the Holders in proportion, as nearly as
practicable, to the respective amounts of Registrable Securities held by such
Holders at the time of filing the registration statement; provided that in no
event shall the Company be required to include in the registration less than one
thousand (1,000) shares held by any Holder. If any Holder disapproves of the
terms of any such underwriting, such Holder may elect to withdraw therefrom by
written notice to the Company and the underwriter. Any securities excluded or
withdrawn from such underwriting shall be withdrawn from such registration.
Except as otherwise provided in Section 5.5, all expenses of such registration
shall be borne by the Company.

        5.4 FURNISH INFORMATION. It shall be a condition precedent to the
obligations of the Company to take any action pursuant to Section 5 that the
Holders shall furnish to the Company such information regarding them, the
Registrable Securities held by them, and the intended method of disposition of
such securities as the Company shall reasonably request and as shall be required
in connection with the action to be taken by the Company.

        5.5 COMPANY REGISTRATION EXPENSES. All expenses incurred in complying
with Section 5, including, without limitation, all registration and filing fees,
printing expenses, fees and disbursements of counsel for the Company, the
reasonable fees and expenses of one counsel for the selling security holders
(selected by those holding a majority of the shares being registered), expenses
of any special audits incident to or required by any such registration and
expenses of complying with the securities or blue sky laws of any jurisdictions
pursuant to Section 5, shall be paid by the Company, except that the Company
shall not be liable for any fees, discounts or commissions to any underwriter or
any fees or disbursements of counsel for any underwriter in respect of the
securities sold by such Holder of Warrant Stock.

        5.6 DELAY OF REGISTRATION. No Holder shall have any right to take any
action to restrain, enjoin, or otherwise delay any registration as the result of
any controversy that might arise with respect to the interpretation or
implementation of this Section 5.

        5.7 INDEMNIFICATION. In the event any Registrable Securities are
included in a registration statement under Section 5:

               (a) To the extent permitted by law, the Company will indemnify
and hold harmless each Holder, each of such Holder's directors and officers and
each other person who is requesting or joining in a registration, any
underwriter (as defined in the Securities Act) for it, and each other person, if
any, who controls such Holder or underwriter within the meaning of the
Securities Act, against any losses, claims, damages, or liabilities, joint or
several, to which they may become subject under the Securities Act or otherwise,
insofar as such losses, claims,


                                       4.
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damages, or liabilities (or actions in respect thereof) arise out of or are
based on any untrue or alleged untrue statement of any material fact contained
in such registration statement, including any preliminary prospectus or final
prospectus contained therein or any amendments or supplements thereto, or arise
out of or are based upon the omission or alleged omission to state therein a
material fact required to be stated therein, or necessary to make the statements
therein not misleading or arise out of any violation by the Company of any rule
or regulation promulgated under the Securities Act applicable to the Company and
relating to action or inaction required of the Company in connection with any
such registration; and will reimburse each such Holder, director, officer,
participating person, underwriter, or controlling person for any legal or other
expenses reasonably incurred by them in connection with investigating or
defending any such loss, claim, damage, liability, or action; provided, however,
that the indemnity agreement contained in this Section 5.7(a) shall not apply to
amounts paid in settlement of any such loss, claim, damage, liability, or action
if such settlement is effected without the consent of the Company nor shall the
Company be liable in any such case for any such loss, claim, damage, liability,
or action to the extent that it arises out of or is based upon an untrue
statement or alleged untrue statement or omission or alleged omission made in
connection with such registration statement, preliminary prospectus, final
prospectus, or amendments or supplements thereto, in reliance upon and in
conformity with written information furnished expressly for use in connection
with such registration by any such Holder, director, officer, other
participating person, underwriter, or controlling person. Such indemnity shall
remain in full force and effect regardless of any investigation made by or on
behalf of such Holder or such director, officer, participating person,
underwriter or controlling person, and shall survive the transfer of such
Securities by such Holder.

               (b) To the extent permitted by law, each Holder requesting or
joining in a registration will indemnify and hold harmless the Company, each of
its directors, each of its officers who has signed the registration statement,
each person, if any, who controls the Company within the meaning of the
Securities Act, and each agent and any underwriter for the Company (within the
meaning of the Securities Act) against any losses, claims, damages, or
liabilities to which the Company or any such director, officer, controlling
person, agent, or underwriter may become subject, under the Securities Act or
otherwise, insofar as such losses, claims, damages, or liabilities (or actions
in respect thereto) arise out of or are based upon any untrue statement or
alleged untrue statement of any material fact contained in such registration
statement, including any preliminary prospectus or final prospectus contained
therein or any amendments or supplements thereto, or arise out of or are based
upon the omission or alleged omission to state therein a material fact required
to be stated therein or necessary to make the statements therein not misleading,
in each case to the extent, but only to the extent, that such untrue statement
or alleged untrue statement or omission or alleged omission was made in such
registration statement, preliminary or final prospectus, or amendments or
supplements thereto, in reliance upon and in conformity with written information
furnished by such Holder expressly for use in connection with such registration;
and each such Holder will reimburse any legal or other expenses reasonably
incurred by the Company or any such director, officer, controlling person,
agent, or underwriter in connection with investigating or defending any such
loss, claim, damage, liability, or action; provided, however, that the indemnity
agreement contained in this Section 5.7(b) shall not apply to amounts paid in
settlement of any such loss, claim, damage, liability, or action if such
settlement is effected without the consent of such Holder (which consent shall
not be unreasonably withheld).


                                       5.
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               (c) Promptly after receipt by an indemnified party under this
section of notice of the commencement of any action, such indemnified party
will, if a claim in respect thereof is to be made against any indemnifying party
under this section, notify the indemnifying party in writing of the commencement
thereof and the indemnifying party shall have the right to participate in, and,
to the extent the indemnifying party so desires, jointly with any other
indemnifying party similarly noticed, to assume the defense thereof with counsel
mutually satisfactory to the parties. The failure to notify an indemnifying
party promptly of the commencement of any such action, if prejudicial to his
ability to defend such action, shall relieve such indemnifying party of any
liability to the indemnified party under this section, but the omission so to
notify the indemnifying party will not relieve him of any liability that he may
have to any indemnified party otherwise than under this section.

        5.8 REPORTS UNDER THE EXCHANGE ACT. With a view to making available to
the Holders the benefits of Rule 144 promulgated under the Securities Act and
any other rule or regulation of the Commission that may at any time permit a
Holder to sell securities of the Company to the public without registration, the
Company agrees to use its best efforts to:

               (a) make and keep public information available, as those terms
are understood and defined in Rule 144, at all times subsequent to the date
hereof;

               (b) file with the Commission in a timely manner all reports and
other documents required of the Company under the Securities Act and the
Exchange Act; and

               (c) furnish to any Holder so long as such Holder owns any of the
Registrable Securities forthwith upon request a written statement of the Company
that it has complied with the reporting requirements of Rule 144, and of the
Securities Act and the Exchange Act (at any time after it has become subject to
such reporting requirements), a copy of the most recent annual or quarterly
report of the Company, and such other reports and documents so filed by the
Company as may be reasonably requested in availing any Holder of any rule or
regulation of the Commission permitting the selling of any such securities
without registration.

        5.9 LOCKUP AGREEMENT. In consideration for the Company agreeing to its
obligations under this Section 5, each Holder agrees in connection with any
registration of the Company's securities that, upon the request of the Company
or the underwriters managing any underwritten offering of the Company's
securities, not to sell, make any short sale of, loan, grant any option for the
purchase of, or otherwise dispose of any Warrants or Warrant Stock (other than
those included in the registration) without the prior written consent of the
Company or such underwriters, as the case may be, for such period of time (not
to exceed one hundred eighty (180) days) from the effective date of such
registration as the Company or the underwriters may specify.

6. ADJUSTMENTS OF PURCHASE PRICE AND NUMBER OF SHARES.

        6.1 SUBDIVISION AND COMBINATION. In case the Company shall at any time
subdivide or combine the outstanding shares of Common Stock, the Exercise Price
shall forthwith be proportionately decreased in the case of subdivision or
increased in the case of combination.

        6.2 ADJUSTMENT IN NUMBER OF SHARES. Upon each adjustment of the Exercise
Price pursuant to the provisions of this Section 6 (including Sections 6.4
through 6.7 below), the


                                       6.
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number of shares of Common Stock issuable upon the exercise of each Warrant
shall be adjusted to the nearest full share by multiplying the Exercise Price in
effect immediately prior to such adjustment by the number of shares of Common
Stock issuable upon exercise of the Warrant immediately prior to such adjustment
and dividing the product so obtained by the adjusted Exercise Price.

        6.3 ANTI-DILUTION PROVISIONS. The Exercise Price in effect at any time
and the number and kind of securities purchasable upon the exercise of this
Warrant shall also be subject to adjustment from time to time upon the happening
of any of the events set forth in Sections 6.4 through 6.7.

        6.4 In the event the Company shall issue or sell any shares of Common
Stock (except as provided in Section 6.7) for a consideration per share less
than the Exercise Price in effect immediately prior to such issue or sale, then
the Exercise Price in effect immediately prior to such issue or sale shall be
reduced to such lesser price (calculated to the nearest cent) as shall be
determined by multiplying the Exercise Price in effect immediately prior thereto
by a fraction, the numerator of which shall be the sum of (i) the number of
shares of Common Stock outstanding immediately prior to the issuance or sale of
such additional shares and (ii) the number of shares of Common Stock which the
aggregate consideration received for the issuance or sale of such additional
shares would purchase at the Exercise Price then in effect, and the denominator
of which shall be the number of shares of Common Stock outstanding immediately
after the issuance or sale of such additional shares. For purposes of this
Section 6.4, all shares of Common Stock issuable upon exercise of outstanding
options and warrants, and all shares of Common Stock issuable upon exercise of
this Warrant, shall be deemed to be outstanding.

        6.5 For the purposes of Section 6.4 above, the following subparagraphs
(a) to (d), inclusive, shall be applicable:

               (a) If at any time the Company shall issue or sell any rights to
subscribe for, or any rights or options to purchase, Common Stock or any stock
or other securities convertible into or exchangeable for Common Stock (such
convertible or exchangeable stock or securities being hereinafter called
"Convertible Securities"), whether or not such rights or options or the right to
convert or exchange any such Convertible Securities shall be immediately
exercisable, and the price per share for which Common Stock shall be issuable
upon the exercise of such rights or options or upon conversion or exchange of
such Convertible Securities (determined by dividing (1) the total amount, if
any, received or receivable by the Company as consideration for the granting of
such rights or options, plus the minimum aggregate amount of additional
consideration payable to the Company upon the exercise of such rights or
options, plus, in the case of any such rights or options which shall relate to
Convertible Securities, the minimum aggregate amount of additional
consideration, if any, payable upon the issue or sale of such Convertible
Securities and upon the conversion or exchange thereof, by (2) the total number
of shares of Common Stock issuable upon the exercise of such rights or options
or upon the conversion or exchange of all such Convertible Securities issuable
upon the exercise of such rights or options) shall be less than the Exercise
Price in effect immediately prior to the time of the issue or sale of such
rights or options, then the total number of shares of Common Stock issuable upon
the exercise of such rights or options or upon conversion or exchange of the
total amount of such Convertible Securities issuable upon the exercise of such
rights or options shall (as of the date of granting of such rights or options)
be deemed to be outstanding and to have been issued for such price per share,
and except as provided in Section 6.6, no further adjustments of the Exercise
Price shall be made upon the actual issue of


                                       7.
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such Common Stock or of such Convertible Securities, upon the exercise of such
rights or options or upon the actual issue of such Common Stock upon conversion
or exchange of such Convertible Securities.

               (b) If at any time the Company shall issue or sell any
Convertible Securities, whether or not the rights to exchange or convert
thereunder shall be immediately exercisable, and the price per share for which
Common Stock shall be issuable upon such conversion or exchange (determined by
dividing (1) the total amount received or receivable by the Company as
consideration for the issue or sale of such Convertible Securities, plus the
minimum aggregate amount of additional consideration, if any, payable to the
Company upon the conversion or exchange thereof, by (2) the total number of
shares of Common Stock issuable upon the conversion or exchange of all such
Convertible Securities) shall be less than the Exercise Price in effect
immediately prior to the time of such issue or sale, then the total number of
shares of Common Stock issuable upon conversion or exchange of all such
Convertible Securities shall (as of the date of the issue or sale of such
Convertible Securities) be deemed to be outstanding and to have been issued for
such price per share, and, except as provided in Section 6.6 no further
adjustments of the Exercise Price shall be made upon the actual issue of such
Common Stock upon conversion or exchange of such Convertible Securities. In
addition, if any issue or sale of such Convertible Securities shall be made upon
exercise of any rights to subscribe for or to purchase or any option to purchase
any such Convertible Securities for which adjustments of the Exercise Price
shall have been or shall be made pursuant to other provisions of this Section
6.5, no further adjustment of the Exercise Price shall be made by reason of such
issue or sale.

               (c) If at any time any shares of Common Stock or Convertible
Securities or any rights or options to purchase any such Common Stock or
Convertible Securities shall be issued or sold for cash, the consideration
received therefor shall be deemed to be the amount received by the Company
therefor, without deduction therefrom of any expenses incurred or any
underwriting commissions or concessions or discounts paid or allowed by the
Company in connection therewith. In case any shares of Common Stock or
Convertible Securities or any rights or options to purchase any such Common
Stock or Convertible Securities shall be issued or sold for a consideration
other than cash, the amount of the consideration other than cash received by the
Company shall be deemed to be the fair value of such consideration as determined
by the Board of Directors, without deduction therefrom of any expenses incurred
or any underwriting commissions or concessions or discounts paid or allowed by
the Company in connection therewith. In case any shares of Common Stock or
Convertible Securities or any rights or options to purchase any such Common
Stock or Convertible Securities shall be issued in connection with any merger of
another corporation into the Company, the amount of consideration therefor shall
be deemed to be the fair value of the net assets of such merged corporation as
determined by the Board of Directors after deducting therefrom all cash and
other consideration (if any) paid by the Company in connection with such merger.

               (d) The number of shares of Common Stock outstanding at any given
time shall not include shares owned or held by or for the account of the
Company, provided that such shares are neither issued, sold or otherwise
distributed by the Company.

        6.6 If the purchase or exercise price provided for in any right or
option referred to in Section 6.5, or the rate at which any Convertible
Securities referred to in Section 6.5 (a) or (b) shall be convertible into or
exchangeable for Common Stock, shall change or a different purchase or exercise
price or rate shall become effective at any time or from time to time (including
any change resulting from termination of such right, option or convertible
security),


                                       8.
<PAGE>   9


then, upon such change becoming effective, the Exercise Price then in effect
hereunder shall forthwith be increased or decreased to such Exercise Price as
would have been obtained had the adjustments made upon the granting or issuance
of such rights or options or Convertible Securities been made upon the basis of
(a) the issuance of the number of shares of Common Stock theretofore actually
delivered upon the exercise of such options or rights or upon the conversion or
exchange of such Convertible Securities for the consideration received therefor
and (b) the granting or issuance at the time of such change of any such options,
rights or Convertible Securities then still outstanding for the consideration,
if any, received by the Company therefor and to be received on the basis of such
changed price.

        6.7 The Company shall not be required to make any adjustment to the
Exercise Price in the case of:

               (a) the granting, after the date hereof, by the Company of stock
options under the Company's 1995 Stock Option Plan, so long as the shares of
Common Stock underlying such options are covered by the 500,000 shares currently
reserved for issuance under such Plan as of the date hereof;

               (b) the issuance of shares of Common Stock, pursuant to the
exercise of the options referred to in Section 6.7(a) above or the exercise of
any other options or warrants outstanding as of the date hereof;

               (c) the issuance of shares of Common Stock upon the conversion of
any shares of the Company's Series A Convertible Preferred Stock or upon the
exercise of any of the Warrants originally issued to Special Situations Private
Equity Fund, L.P. on September 24, 1997; and

               (d) the issuance of shares of Common Stock upon the exercise of
any options or warrants outstanding as of the date hereof.


        6.8 RECLASSIFICATION, CONSOLIDATION, MERGER, ETC. In case of any
reclassification or change of the outstanding shares of Common Stock (other than
a change in par value to no par value, or from no par value to par value, or as
a result of a subdivision or combination), or in the case of any consolidation
of the Company with, or merger of the Company into, another corporation (other
than a consolidation or merger in which the Company is the surviving corporation
and which does not result in any reclassification or change of the outstanding
shares of Common Stock, except a change as a result of a subdivision or
combination of such shares or conveyance to another corporation of the property
of the Company as an entirety), the Holder of this Warrant shall thereafter have
the right to purchase the kind and number of shares of stock and other
securities and property receivable upon such reclassification, change,
consolidation, merger, sale or conveyance at an aggregate price equal to the
product of (x) the number of shares issuable upon exercise of this Warrant and
(y) the Exercise Price in effect immediately prior to the record date for such
reclassification, change, consolidation, merger, sale or conveyance as if such
Holder had exercised this Warrant prior to such record date.


                                       9.
<PAGE>   10


        6.9 APPROVAL AND NOTICE OF ADJUSTMENT IN EXERCISE PRICE. Any adjustment
of the Exercise Price made pursuant to this Section 6 shall be made or approved
by the Company's independent public accountants at the time of such adjustment.

7. FINANCIAL AND BUSINESS INFORMATION.

        7.1 ANNUAL INFORMATION. The Company will deliver to each Holder as soon
as practicable after the end of each fiscal year of the Company, and in any
event within 90 days thereafter, one copy of:

               (a) an audited consolidated balance sheet of the Company and its
subsidiaries as at the end of such year, and

               (b) audited consolidated statements of income, retained earnings
and changes in financial position of the Company and its subsidiaries for such
year; setting forth in each case in comparative form the figures for the
corresponding periods in the previous fiscal year; all prepared in accordance
with GAAP, and which audited financial statements shall be accompanied by (i) an
opinion thereon of the independent certified public accountants regularly
retained by the Company, or any other form of independent certified public
accountants of recognized national standing selected by the Company and (ii) a
report of such independent certified public accountants confirming any
adjustment made pursuant to Section 6 during such year.

8. REPRESENTATIONS OF HOLDER.

        8.1 ACQUISITION OF WARRANT FOR PERSONAL ACCOUNT. The Holder represents
and warrants that it is acquiring the Warrant solely for its account for
investment and not with a view to or for sale or distribution of said Warrant or
any part thereof. The Holder also represents that the entire legal and
beneficial interests of the Warrant and Warrant Stock is being acquired for, and
will be held for, its account only.

        8.2 SECURITIES ARE NOT REGISTERED.

               (a) The Holder recognizes that this Warrant and Warrant Stock
being acquired by it must be held indefinitely unless they are subsequently
registered under the Act or an exemption from such registration is available.
The Holder recognizes that, except as set forth in Section 5 hereof, the Company
does not have any obligation to register this Warrant or the Warrant Stock or to
comply with any exemption from such registration.

               (b) The Holder is aware that neither this Warrant nor the Warrant
Stock may be sold pursuant to Rule 144 adopted under the Act unless certain
conditions are met and until the Holder has held the Warrant Stock for at least
one year. Among the conditions for use of Rule 144 is the availability of
current information to the public about the Company. The Holder understands that
the Company has not made such information available and has no present plans to
do so.

               (c) The Holder represents and warrants that it is an "accredited
investor" as such term is defined in Rule 501(a) under the Act. Specifically,
the Holder represents and


                                      10.
<PAGE>   11


warrants that it is either a corporation or partnership, not formed for the
specific purpose of acquiring securities of the Company, with total assets in
excess of $5,000,000.

        8.3 DISPOSITION OF WARRANT AND WARRANT STOCK.

               (a) The Holder further agrees not to make any disposition of all
or any part of this Warrant or the Warrant Stock in any event unless and until:

                      (i) The Company shall have received a letter secured by
the Holder from the Securities and Exchange Commission stating that no action
will be recommended to the Commission with respect to the proposed disposition;
or

                      (ii) There is then in effect a registration statement
under the Act covering such proposed disposition and such disposition is made in
accordance with said registration statement; or

                      (iii) The Holder shall have notified the Company of the
proposed disposition and shall have furnished the Company with a detailed
statement of the circumstances surrounding the proposed disposition, the Holder
shall have furnished the Company with an opinion of counsel for the Holder to
the effect that such disposition will not require registration of such Warrant
or shares under the Act, and such opinion of counsel for the Holder shall have
been concurred in by the Company's counsel and the Company shall advise the
Holder of such concurrence.

                      (iv) Notwithstanding the provisions of paragraphs (i),
(ii) and (iii) above, no such Securities and Exchange Commission letter,
registration statement or opinion of counsel shall be required (i) for any
transfer of this Warrant or any shares issuable upon exercise of this Warrant in
compliance with SEC Rule 144 or 144A, or (ii) for any transfer of this Warrant
or shares issuable upon exercise of this Warrant by a Holder that is a
partnership or a corporation to (A) a partner of such partnership or shareholder
or affiliate of such corporation, (B) a retired partner or shareholder, or (iii)
for the transfer by gift, will or intestate succession by any Holder to his or
her spouse or lineal descendants or ancestors or any trust for any of the
foregoing.

9. EXCHANGE AND REPLACEMENT OF WARRANT. This Warrant is exchangeable without
expense, upon the surrender hereof by the registered Holder at the principal
executive office of the Company, for a new Warrant of like kind and date
representing in the aggregate the right to purchase the same number of shares as
are purchasable hereunder in such denominations and in the name(s) of such
assignee(s) as shall be designated by the registered Holder hereof at the time
of such surrender.

        Upon receipt by the Company of evidence reasonably satisfactory to it of
the loss, theft or destruction of this Warrant, of indemnity or security
reasonably satisfactory to it, and reimbursement to the Company of all
reasonable expenses incidental thereto, and upon surrender and cancellation of
this Warrant, if mutilated, the Company will make and deliver a new Warrant of
like kind, in lieu of this Warrant.

10. FRACTIONAL SHARES. No fractional shares or scrip representing fractional
shares shall be issued upon the exercise of this Warrant. With respect to any
fraction of a share called for


                                      11.
<PAGE>   12


upon any exercise hereof, the Company shall pay to the Holder an amount in cash
equal to such fraction multiplied by the current market value of a share of
Common Stock, as determined in good faith by the Board of Directors of the
Company.

11. RESERVATION AND LISTING OF SHARES. The Company shall at all times reserve
and keep available out of its authorized shares of Common Stock, solely for the
purpose of issuance upon the exercise of this Warrant, such number of shares of
Common Stock as shall be issuable upon the exercise hereof. The Company
covenants and agrees that, upon exercise of this Warrant and payment of the
Exercise Price therefor, all shares of Common Stock issuable upon such exercise
shall be duly and validly issued, fully paid and non-assessable, provided that
the Exercise Price per share shall equal or exceed the par value of the Common
Stock. As long as the Warrant shall be outstanding, the Company shall use its
best efforts to cause all shares of Common Stock issuable upon the exercise of
the Warrant to be listed (subject to official notice of issuance) on all
securities exchanges on which the Common Stock may then be listed.

12. CERTIFICATE AS TO ADJUSTMENTS. Upon the occurrence of each adjustment or
readjustment of the Exercise Price, the Company, at its expense, shall promptly
compute such adjustment or readjustment in accordance with the terms hereof and
prepare and furnish to the Holder a certificate of the chief financial officer
of the Company setting forth such adjustment or readjustment and showing in
detail the facts upon which such adjustment or readjustment is based. The
Company shall, upon the written request at any time of the Holder, furnish to
the Holder a like certificate setting forth (i) such adjustments and
readjustments, (ii) the Exercise Price at the time in effect, and (iii) the
number of shares of Common Stock and the amount, if any, of other property which
at the time would be received upon the exercise of this Warrant.

13. RIGHTS OF WARRANT HOLDERS. Nothing contained in this Warrant shall be
construed as conferring upon the Holder hereof the right to vote or to consent
or to receive notice as a shareholder in respect of any meetings or shareholders
for the election of directors or any other matter, or as having any rights
whatsoever as a shareholder of the Company.

14. NOTICES. All notices, requests, consents and other communications hereunder
shall be in writing and shall be deemed to have been duly made when delivered in
person, or mailed by registered or certified mail, return receipt requested:

               (a) If to the registered Holder or Holders of this Warrant, to
the address of such Holder as shown on the books of the Company; or

               (b) If to the Company, to the address set forth on the first page
of this Warrant or to such other address as the Company may designate by notice
to the Holders.

15. REMEDIES. Each holder of Warrant and Warrant Stock, in addition to being
entitled to exercise all rights granted by law, including recovery of damages,
will be entitled to specific performance of its rights under Section 5 of this
Warrant. The Company agrees that monetary damages would not be adequate
compensation for any loss incurred by reason of a breach by it of the provisions
of Section 5 of this Warrant and hereby agrees to waive the defense in any
action for specific performance that a remedy at law would be adequate.

16. AMENDMENT. This Warrant and all other Warrants may be modified or amended or
the provisions hereof waived with the written consent of the Company and the
Holder or Holders,


                                      12.
<PAGE>   13


provided that no such Warrant may be modified or amended to reduce the number of
shares of Common Stock for which such Warrant is exercisable or to increase the
price at which such shares may be purchased upon exercise of such Warrant
(before giving effect to any adjustment as provided therein) without the prior
written consent of the Holder thereof.

17. SEVERABILITY. Wherever possible, each provision of this Warrant shall be
interpreted in such manner as to be effective and valid under applicable law,
but if any provision of this Warrant shall be prohibited by or invalid under
applicable law, such provision shall be ineffective to the extent of such
prohibition or invalidity, without invalidating the remainder of such provision
or the remaining provisions of this Warrant.

18. SUCCESSORS. All the covenants, agreements, representations and warranties
contained in this Warrant shall bind the parties hereto and their respective
heirs, executors, administrators, distributes, successors and assigns.

19. HEADINGS. The Section headings in this Warrant are inserted for purposes of
convenience only and shall have no substantive effect.

20. LAW GOVERNING. This Warrant shall be construed and enforced in accordance
with, and governed by, the laws of the State of California.

        WITNESS the seal of the Company and the signature of its duly authorized
officer.

Dated: March 29, 1999

                                   PLANET POLYMER TECHNOLOGIES, INC.


                                   By:
                                      ------------------------------------------
                                   Robert J. Petcavich,
                                   Chief Executive Officer


                                      13.
<PAGE>   14


                                    EXHIBIT A

                                SUBSCRIPTION FORM
                    (To be Executed by the Registered Holder
                        in Order to Exercise the Warrant)


        The undersigned hereby irrevocably elects to exercise the right to
purchase _____ shares of Common Stock of Planet Polymer Technologies, Inc.
covered by the Warrant to which this Exhibit A is attached, according to the
conditions of such Warrant, and herewith makes payment of the Exercise Price of
such shares in full.

                     INSTRUCTIONS FOR REGISTRATION OF STOCK

NAME
    ----------------------------------
ADDRESS
       -------------------------------

                                           -------------------------------------
                                           Signature


Dated:
      --------------------------------



<PAGE>   15


                                    EXHIBIT B

                                 ASSIGNMENT FORM


        FOR VALUE RECEIVED, the undersigned registered owner of the Warrant to
which this Exhibit B is attached hereby sells, assigns and transfers unto the
Assignee named below all of the rights of the undersigned under such Warrant,
with respect to the number of shares of Common stock set forth below:

NAME AND ADDRESS OF ASSIGNEE               NO. OF SHARES OF COMMON STOCK
--------------------------------------     -------------------------------------







and does hereby irrevocably constitute and appoint _________ attorney-in-fact to
register such transfer on the books of Planet Polymer Technologies, Inc.
maintained for the purpose, with full power of substitution in the premises.


Dated:                                     -------------------------------------
      ------------------------             Signature