Document:

<PAGE>

<TABLE>
<S>                                              <C>                                             <C>
------------------------------------------------ ----------------------------------------------- -----------------------------------
FIRST SECURITY BANK                              MIDWEST CABLE COMMUNICATIONS
FAYETTEVILLE BRANCH                              --------------------------------------------        SAR\  JWR  \\  02
P.O BOX 1246                                        ARKANSAS, INC.
FAYETTEVILLE, AR 72702                           --------------------------------------------
                                                   125 MCGUIRE STREET
                                                 --------------------                                Loan Number   27543767
                                                 FAYETTEVILLE, AR 72704                                          ----------
                                                 --------------------------------------------        Date AUGUST 23, 2000
                                                                                                          ---------------
                                                 --------------------------------------------        Maturity Date AUG. 22, 2002
           LENDER'S NAME AND ADDRESS                                                                               -------------
                                                                                                     Loan Amount  $       296,138.75
"You" means lender, its successors and assigns                                                                       ---------------
                                                          BORROWER'S NAME AND ADDRESS                Renewal Of
                                                  "I" includes each borrower above, joint                       --------------------
                                                                and severally.
------------------------------------------------ ----------------------------------------------- ----------------------------------
TERMS FOLLOWING A |_| APPLY ONLY IF CHECKED
</TABLE>

[_______] - For value received, I promise to pay to you, or your order, at your
address above, the principal sum of: TWO HUNDRED NINETY-SIX THOUSAND ONE HUNDRED
THIRTY-EIGHT AND 75/100 Dollars $ 296,138.75 , plus interest from 08/23/2000 at
the rate of 10.00 % per year until 08/22/2002 .

PAYMENT - I will pay this note as follows: ON DEMAND, BUT IF NO DEMAND IS MADE:

     (a)      |_| Interest due:
                               --------------------------------------

                  Principal due:
                                -------------------------------------

     (b)      |X| This note has 24 payments. The first payment will be in the
                  amount of $ 6291.34 and will be due 09/22/2000 . A payment of
                  $6,291.34 will be due on the 22 day of each MONTH thereafter.
                  The final payment of the entire unpaid balance of principal
                  and interest will be due AUGUST 22, 2002.
<TABLE>
<S>                                                                  <C>
INTEREST - Interest accrues on a 365/ACTUAL basis.                   |X|   POST-MATURITY INTEREST - Interest will accrue at the
|X|  MINIMUM  INTEREST  CHARGE - I agree to pay a minimum interest   rate of 11.00% per year on the balance of this note not
charge of $ 10.00 if I pay this loan off before you have             paid at maturity, including maturity by acceleration.
earned that much in interest.

|X|  LATE  CHARGE - I agree to pay a late charge equal to 0.000% of     THE PURPOSE OF THIS LOAN IS - __________________________
the |X| full amount of the scheduled payment  |_| unpaid  portion       PURCHASE EQUIPMENT _____________________________________
of he scheduled payment made more than 10 days after it is due,
up to a maximum of $  25.00.
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

SECURITY - You have certain rights that may affect my property as explained on
page 2. This loan |X| is |_| is not further secured.

     (a)      |X| This loan is secured by SECURITY AGREEMENT , dated 8/23/00 .

     (B)      |X| Security Agreement - I give you a security interest in the
              Property described below. The rights I am giving you in this
              Property and the obligations this agreement secures are defined on
              page 2 of this agreement.

              VEMEER D-50X100, DIRECTIONAL BORE DRILL, AUTOMATED ROD LOADER /
              STRIKE ALERT 15' ROCK/ 3 SPEED GREE BOX/ ANTIFREEZE SYSTEM/ 18"
              TRIPLE GREASERS/ 780' 3.5" FIRESTICK DRILLSYSTEM WITH 2 EXTRA ROD
              BOXES, ATLAS BORE LANNER, STANDARD DRILL HEAD, 150 GPM. APLEX
              PUMP, MODEL-D50X100A NAVIGATOR, SERIAL NUMBER 1VRS180YAY1000325

                               This Property will be used for BUSINESS purposes.

     THIS BANK DOES NOT COMMIT ITSELF TO REFINANCE A BALLON PAYMENT

<TABLE>
<CAPTION>
---------------------------- ---------------------- ------------------------- ---------------------------- -------------------------
<S>                          <C>                    <C>                       <C>                            <C>
  ANNUAL PERCENTAGE RATE        FINANCE CHARGE         AMOUNT FINANCED             TOTAL OF PAYMENTS         I have a rig to receive
   The cost of my credit    The dollar amount the    The amount of credit     The amount I will have paid        at this time an
      as a yearly rate        Credit will cost me.  Provided to me or on my       when I have made all         itemization of the
                                                            behalf                 scheduled payments            Amount Financed.
         10.000 %                 $49,871.82
                                                         $296,138.75                  $346,010.57
---------------------------- ----------------------- -------------------------- ------------------------------
                                                                                                                      YES - I want
                                                                                                               ------ an itemization
------------------------------ ----------------------- --------------------------- --------------------------
My Payment Schedule will be:
-------------------------------------------------------------------------------------------------------------
     Number of Payments          Amount of Payments                      When Payments are Due                    XX NO - I don't
                                                                                                               ----- want an
                                                                                                                     itemization
------------------------------ ----------------------- ------------------------------------------------------  ---------------------
                 23            $    6,291.34           MONTHLY BEGINNING 09/22/2000                            "e" means an estimate
------------------------------ ----------------------- ------------------------------------------------------- ---------------------
                  1            $  201,309.75           DUE 08/22/2002                                          $ 36.00   Filing Fees
                                                                                                               ---------
                                                                                                               $         Nonfiling
                                                                                                                -------  Insurance
----------------------------- ----------------------- -------------------------------------------------------- ---------------------
                               $
---------------------------- ------------------------ -------------------------------------------------------- ---------------------
                               $
---------------------------- ------------------------ -------------------------------------------------------- ---------------------

|X| This note has a demand feature.                   |_| This note is payable on demand and all disclosures are based on an assumed
                                                          maturity of one year.

Security - I am giving a security interest in:        |X| (brief description of other property)

   |X| the goods or property being purchased.                                   EQUIPMENT

   |_| collateral securing other loans with you may also secure this loan.

   |X| my deposit accounts and other rights to the payment of money from you.

|X| Late Charge - I will be charged a late charge equal to   0.000% of the      |X| full amount of the scheduled payment

|_| unpaid portion of the scheduled payment made more than 10 days after it is due, up to a maximum of $ 25.00 .

|_| Required Deposit - The annual percentage rate does not take into account my required deposit.

Prepayment - If I pay off this note early, I     |X| may     |_| will not     have to pay a minimum interest charge.

I can see my contract documents for any additional information about nonpayment, default, any required repayment before the
scheduled date, and prepayment refunds and penalties.
------------------------------------------------------------------------------------------------------------------------------------
CREDIT INSURANCE - Credit life insurance and credit disability insurance              ITEMIZATION OF AMOUNT FIANCED
are not required to obtain credit, and will not be provided unless I                    AMOUNT GIVEN TO ME DIRECTLY    $ 296,138.75
                                                                                                                        ------------
sign and agree to pay the additional costs.
--------------------------------------------------------------------------
Type                                Premium          Term                          AMOUNT PAID ON MY (LOAN) ACCOUNT    $
--------------------------------------------------------------------------                                              ------------
Credit Life                                                                                                            $
                                                                               ------------------------------------     ------------
--------------------------------------------------------------------------
Credit Disability                                                              AMOUNTS PAID TO OTHERS ON MY BEHALF:
--------------------------------------------------------------------------
Joint Credit Life                                                                            to Insurance Companies    $
--------------------------------------------------------------------------                                              ------------
                                                                                                to Public Officials    $
                                                                                                                        ------------
--------------------------------------------------------------------------     ------------------------------------    $
I   |_| do   |X| do not    want credit life insurance.                                                                  ------------
</TABLE>

<PAGE>

<TABLE>
<S>          <C>           <C>                                             <C>                                         <C>

                                                                           ------------------------------------       --------------
I   |_| do   |X| do not    want credit disability insurance.                                                           $
                                                                           ------------------------------------         ------------
I   |_| do   |X| do not    want joint credit life insurance.                                                           $
                                                                           ------------------------------------         ------------
I   |_| do   |_| do not    want                                insurance.          (less) PREPAID FINANCE CHARGE(S)    $
                                ------------------------------                                                          ------------
X                                           DOB
-----------------------------------------------
X                                           DOB                                             Amount Financed    $        296,138.75
--------------------------------------------------------------                                                   -----------------
I may obtain   |_| Property Insurance       |_| VSI Insurance   from
anyone I want that is acceptable to you. I get the insurance from or
through you I will pay $                     for           coverage.
                         -------------------     ---------
|_| I am giving you a security interest in property to secure this loan. I        (Add all items financed and subtract prepaid
understand that I must keep this property insured against loss, expense or        finance charges.)
damage due to fire, theft, collision or other such risks in the amounts you       SIGNATURES - I AGREE TO THE TERMS SET OUT ON
require. If I fail to do so, you may add the cost to the amount I owe you.        PAGE 1 AND 2 OF THIS AGREEMENT. I HAVE RECEIVED A
---------------------------------------------------------------------------       COPY OF THIS DOCUMENT ON TODAY'S DATE.

                                                                                   COSIGNERS - SEE NOTICE ON PAGE 2 BEFORE SIGNING.

                                                                                Signature
                                                                                         ------------------------------------------
                                                                                         BONNIE L. CAPWELL, PRESIDENT

                                                                                Signature
                                                                                         -----------------------------------------
                                                                                Form 6   BONNIE L. CAPWELL, PRESIDENT
 </TABLE>

 -----------------------------------------------------------------------
      FIRST SECURITY BANK FAYETEVILLE BRANCH
 -----------------------------------------------------------------------
      Signed                                           for Lender
             -----------------------------------------

      Title
            ------------------------------------------------------------

 -----------------------------------------------------------------------

<TABLE>
<S>                                                                        <C>
-------------------------------------------------------------------------- --------------------------------------------------------
SIMPLE INTEREST NOTE, DISCLOSURE, AND SECURITY AGREEMENT                                     CONSUMER LOAN - NOT FOR OPEN-END CREDIT
(C)1981, 1988 Bankers Systems, Inc., St. Cloud, MN (1-800-397-2341) FORM                                               (page 1 of 2)
NDS-SI-AR 6/27/97
</TABLE>

(C) 1981, 1988 Bankers Systems, Inc., St. Cloud, MN (1-800-397-2341)

<PAGE>

DEFINITIONS - "I", "me" or "my" means each Borrower who signs this note and each
other person or legal entity (including guarantors, endorsers, and sureties) who
agrees to pay this note (together referred to as "us"). "You" or "your" means
the Lender and its successors and assigns.

APPLICABLE LAW - This note and any agreement securing this note will be governed
by the laws of the state of Arkansas. The federal Truth-in-Lending disclosures
on page 1 are disclosures only and are not intended to be terms of this
agreement. The fact that any part of this note cannot be enforced will not
affect the rest of this note. Any change to this note or any agreement securing
this note must [be in writing] and signed by you and me.

PAYMENTS - Each payment I make on this note will be applied first to any charges
I owe other than principal and interest, then to interest that is due, and
finally to principal that is due. No late charge will be assessed on any payment
when the [very] delinquency is due to late fees assessed on earlier payments and
the payment otherwise a full payment. The actual amount of my final payment will
depend on my payment record.

PREPAYMENT - I may prepay this loan in whole or in part at any time. If I prepay
in part, I must still make each later payment in the original amount as it
becomes due until this note is paid in full.

USURY - The interest rate and other charges on this loan will never exceed the
interest rate or charge allowed by law for this loan.

ACCRUAL METHOD - The amount of interest rate that I will pay on this loan will
be calculated using the interest rate and accrual method stated on page 1. For
interest calculation, the accrual method will determine the number of days in a
year. If no accrual method is stated, then you may use any reasonable accrual
method for calculating interest.

POST MATURITY INTEREST - Interest will accrue on the principal balance remaining
unpaid after final maturity at the rate specified on page 1. For purposes of
this section, final maturity occurs:

   If this loan is payable on demand, on the date you make demand for payment;

   If this loan is payable on demand with alternate payment date(s), on the date
you make demand for payment or on the final alternate payment date, whichever is
earlier;

   On the date of the last scheduled payment of principal; or

   On the date you accelerate the due date of this loan (demand immediate
payment).

REAL ESTATE SECURITY - If this loan is secured by real estate the existence of a
default and your remedies for such a default will be determined by applicable
law, by the terms of any separate instrument creating the security interest and,
to the extent not prohibited by law and not contrary to the terms of the
separate security instrument, by this agreement.

DEFAULT - Subject to any limitations in the "REAL ESTATE SECURITY" paragraph
above, I will be in default if any one or more of the following occurs:

   I fail to make a payment in full when due;

   I die, am declared incompetent, or become insolvent;

   I fail to keep any promise I have made in connection with this loan;

   I fail to pay, or keep any other promise, on any other loan or agreement I
have with you;

   I make any written statement or provide any financial information that is
untrue or inaccurate at the time it is provided;

   Any creditor of mine attempts to collect any debt I owe through court
proceedings, set-off or self-help repossession;

   The Property is damaged, destroyed or stolen;

   I fail to provide any additional security that you may require;

   Any legal entity (such as a partnership or corporation) that has agreed to
pay this note merges, dissolves, reorganizes, ends its business or existence, or
a partner or majority stockholder dies or is declared incompetent; or

   Anything else happens that causes you to believe that you will have
   difficulty collecting the amount I owe you.

   If any of us are in default on this note or any security agreement, you may
exercise your remedies against any or all of us.

REMEDIES - Subject to any limitations in the "REAL ESTATE SECURITY" paragraph
above, if I am in default on this loan or any agreement securing this loan, you
may:

   Make unpaid principal, earned interest and all other agreed charges I owe you
under this loan immediately due;

   Use the right of set-off as explained below;

   Demand more security or new parties obligated to pay this loan (or both) in
return for not using any other remedy;

   Make a claim for any and all insurance benefits or refunds that may be
available from my default;

   Use any remedy you have under state or federal law; and

   Use any remedy given to you in any agreement securing this loan.

   By choosing any one or more of these remedies you do not give up your right
to use another remedy later. By deciding not to use any remedy should I be in
default, you do not waive your right to later consider the event a default if it
happens again.

COSTS OF COLLECTION AND ATTORNEY'S FEES - I agree to pay you all reasonable
costs you incur to collect this debt or realize on any security. This includes,
unless prohibited by law, reasonable attorney's fees. This provision also will
apply if I file a petition or any other claim for relief under any bankruptcy
rule or law of the United States, or if such petition or other claim for relief
is filed against me by another.

SET OFF - I agree that you may set off any amount due and payable under this
note against any right I have to receive money from you.

   "Right to receive money from you" means:

   Any deposit account balance I have with you;

   Any money owed to me on an item presented to you or in your possession for
   collection or exchange; and

   Any repurchase agreement or other nondeposit obligation.

   "Any amount due and payable under this note" means the total amount of which
you are entitled to demand payment under the terms of this note at the time you
set off. This total includes any balance the due date for which you properly
accelerate under this note.

   If my right to receive money from you is also owned by someone who has not
agreed to pay this note, your right of set off will apply to my interest in the
obligation and to any other amounts I could withdraw on my sole request or
endorsement. Your right of set off does not apply to an account or other
obligation where my rights arise only in a representative capacity. It also does
not apply to any Individual Retirement Account or other tax-deferred retirement
account.

   You will not be liable for the dishonor of any check when the dishonor occurs
because you set off this debt against any of my accounts. I agree to hold you
harmless from any such claims arising as a result of your exercise of your right
to set off.

OTHER SECURITY - Any present or future agreement securing any other debt I owe
you also will secure the payment of this loan. Property securing another debt
will not secure this loan if such property is my principal dwelling and you fail
to provide any required notice of right of rescission. Also, property securing
another debt will not secure this loan to the extent such property is in
household goods.

OBLIGATIONS INDEPENDENT - I understand that my obligation to pay this loan is
independent of the obligation of any other person who has also agreed to pay it.
You may, without notice, release me or any of us, give up any right you may have
against any of us, extend new credit to any of us, or renew or change this note
one or more times and for any term, and I will still be obligated to pay this
loan. You may, without notice, fail to perfect your security interest in,
impair, or release the security and I will still be obligated to pay this
loan.

WAIVER - I waive (to the extent permitted by law) demand, presentment, protest,
notice of dishonor and notice of protest.

PRIVACY - I agree that from time to time you may receive credit information
about me from others, including other lenders and credit reporting agencies. I
agree that you may furnish on a regular basis credit and experience information
regarding my debt to others seeking such information. To the extent permitted
by law, I agree that you will not be liable for any claim arising from the use
of information provided to you by others or for providing such information to
others.

FINANCIAL STATEMENTS - I will give you any financial statements or information
that you feel is necessary. All financial statements and information I give you
will be correct and complete.

PURCHASE MONEY LOAN - If this is a purchase money loan, you may include the
name of the lender on the check or draft of the bank.

SECURED OBLIGATIONS - This security agreement secures this loan (including all
extensions, renewals, refinancings and modifications) and any other debt I have
with you now or later. Property described in this security agreement will not
secure other such debts if you fail to give any required notice of the right of
rescission with respect to the Property. Also, this security agreement will not
secure other debts if this security interest is in household goods and the other
debt is a consumer loan.

<PAGE>

This security agreement will last until it is discharged in writing.

   For the sole purpose of determining the extent of a purchase money security
interest arising under this security agreement:

(a) Payments on any nonpurchase money loan also secured by this agreement will
  not be deemed to apply to the purchase money loan; and

(b) Payments on the purchase money loan will be deemed to apply first to the
  nonpurchase money portion of the loan, if any, and then to the purchase money
  obligations in the order in which the items were acquired.

   No security interest will be terminated by application of this formula.
"Purchase money loan" means any loan the proceeds of which, in whole or in part,
are used to acquire any property securing the loan and all extensions, renewals,
consolidations and refinancings of such loan.

PROPERTY - The word "Property" as used here, includes all property that is
listed in the security agreement on page 1. If a general description is used,
the word Property includes all my property fitting the general description.
Property also means all benefits that arise from the described Property
(including all proceeds, insurance benefits, payments from other interest,
dividends, stock splits and voting rights). It also means property that now or
later is attached to, is a part of, or results from the Property.

OWNERSHIP AND DUTIES TOWARD PROPERTY - Unless a co-owner(s) of the Property
signed a third party agreement, I represent that I own all the Property. I will
defend the Property against any other claim. I agree to do whatever you require
to perfect your interest and keep your priority. I will not do anything to harm
your position.

   I will keep the Property in my possession (except if pledged and delivered to
you). I will keep it in good repair and use it only for its intended purposes. I
will keep it at my address unless we agree otherwise in writing.

   I will not try to sell or transfer the Property, or permit the Property to
become attached to any real estate, without your written consent. I will pay all
taxes and charges on the Property as they become due. I will inform you of any
loss or damage to the Property. You have the right of reasonable access in order
to inspect the Property.

INSURANCE - I agree to buy insurance on the Property against the risks of loss
or damage for the amounts you require and to furnish you continuing proof of
coverage. I will name you as loss payee on any such policy. You may require
added security on this loan if you agree that insurance proceeds may be used to
repair or replace the Property. I agree that if the insurance proceeds do not
cover the amounts I still owe you, I will pay the difference. I will buy the
insurance from a firm authorized to do business in Arkansas. The firm will be
reasonably acceptable to you. I will keep the insurance until all debts secured
by this agreement are paid. If I fail to obtain or maintain this insurance, or
name you as a loss payee, you may obtain insurance to protect your interest in
the Property. This insurance may include coverages not required by me. This
insurance may be written by a company other than one I would choose. It may be
written at a rate higher than a rate I could obtain if I purchased the property
insurance required by this Contract. You will add the premium for this insurance
to the amount I owe you. Any amount you pay will be due immediately. This amount
will earn finance charges from the date paid.

DEFAULT AND REMEDIES - If I am in default, in addition to the remedies listed in
the note portion of this document and subject to any of the limitations in the
"REAL ESTATE SECURITY" paragraph, you may (after giving notice and waiting a
period of time, if required by law):

(a) Pay taxes or other charges, or purchase any required insurance , if I fail
   to do these things (but you are not required to do so). You may add the
   amount you pay to this loan and accrue interest on that amount at the
   interest rate disclosed on page 1 until paid in full;

(b) Require me to gather the Property and any related records and make it
   available to you in a reasonable fashion;

(c) Take immediate possession of the Property, but in doing so you may not
   breach the peace or unlawfully enter onto my premises. You may sell, lease or
   dispose of the Property as provided by law. You may apply what you receive
   from the sale of the Property to your expenses and then to the debt. If what
   you receive from the sale of the Property is less than what I owe you, you
   may take me to court to recover the difference (to the extent permitted by
   law); and

(d) Keep the property to satisfy the debt.

   I agree that when you must give notice to me of your intended sale or
disposition of the Property, the notice is reasonable if it is sent to me at my
last known address by first class mail 10 days before the intended sale or
disposition. I agree to inform you in writing of any change in my address.

FILING - A copy of this security agreement may be used as a financing statement
when allowed by law.

----------------------------------------------------------------------

                        THIRD PARTY AGREEMENT

   For the purposes of the provisions within this enclosure, "I," "me" or "my"
means the person signing below and "you" means the Lender identified on page 1.

   I agree to give you a security interest in the Property that is described on
page 1. I agree to the terms of this note and security agreement but I am in no
way personally liable for payment of the debt. This means that if the Borrower
defaults, my interest in the secured Property may be used to satisfy the
Borrower's debt. I agree that you may, without releasing me or the Property from
this Third Party Agreement and without notice or demand upon me, extend new
credit to any borrower, renew or change this note or security agreement one or
more times an for any term, or fail to perfect your security interest in,
impair, or release any security (including guaranties) for the obligations of
any borrower.

   I HAVE RECEIVED A COMPLETED COPY OF THIS NOTE AND SECURITY
AGREEMENT.

NAME:
     -----------------------------------------------------------------
X
----------------------------------------------------------------------

----------------------------------------------------------------------

                         NOTICE TO COSIGNER

   You (the cosigner) are being asked to guaranty this debt. Think carefully
before you do. If the borrower doesn't pay the debt, you will have to. Be sure
you can afford to pay if you have to, and that you want to accept this
responsibility.

   You may have to pay up to the full amount of the debt if the borrower does
not pay. You also may have to pay late fees or collection costs, which increase
this amount.

   The creditor can collect this debt from you without first trying to collect
from the borrower. The creditor can use the same collection methods against you
that can be used against the borrower, such as suing you, garnishing your wages,
etc. If this debt is over in default, that fact may become part of your credit
record.

   This notice is not the contract that makes you liable for the debt.

----------------------------------------------------------------------

                   Attach FTC "Preservation of Consumer Claims
                       and Defenses" Notice if Applicable

                                                                   (page 2 of 2)<PAGE>

<TABLE>
<S>                                      <C>                                    <C>
---------------------------------------- -------------------------------------- --------------------------------------
BONNIE L. CAPWELL                        FIRST SECURITY BANK                    MIDWEST CABLE COMMUNICATIONS OF
                                         FAYETTEVILLE BRANCH                    ARKANSAS, INC.
                                         P.O. BOX 1246                          7125 McGUIRE STREET
                                         FAYETTEVILLE, AR  72702                FAYETTEVILLE AR  72704

                                                                                     BORROWER'S NAME AND ADDRESS
     GUARANTOR'S NAME AND ADDRESS              LENDER'S NAME AND ADDRESS         "Borrower" means each person above.
 "I" includes each guarantor, jointly         "You" means the Lender, its
            and severally.                      successors and assigns.
---------------------------------------- -------------------------------------- --------------------------------------
</TABLE>

                                    GUARANTY

For good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, and to induce you, at your option, to make loans engage in
any other transactions with borrower from time to time. I absolutely and
unconditionally guarantee the full payment of the following debts (as defined
herein) when due (whether at maturity or on acceleration):

PRESENT DEBT GUARANTY

__x_ I absolutely and unconditionally guarantee to you the payment and
performance of the following described debt (including all renewals, extensions,
refinancings and modifications) of the borrower: LOAN #27543768 DATED 08/23/00
FOR $296,138.75.

PRESENT AND FUTURE DEBT GUARANTY

____ I absolutely and unconditionally guarantee to you the payment and
performance of each and every debt, of every type and description, that the
borrower may now or at any time in the future owe you including, but not limited
to, the following described
debt(s):_______________________________________________________________________

____ I absolutely and unconditionally guarantee to you the payment and
performance of each and every debt, of every type and description, that the
borrower may now or at any time in the future owe to you, up to the principal
amount of $________ plus accrued interest, attorneys' fees and collection costs
referable thereto (when permitted by law), and all other amounts agreed to be
paid under all agreements evidencing the debt and securing the payment of the
debt. You may, without notice, apply this guaranty to such debts of the borrower
as you may select from time to time.

DEFINTIONS - As used in this agreement, the terms "I," "we," and "my" mean all
persons signing this guaranty agreement, individually and jointly, and their
heirs, executors, administrators and assigns.

         The term "debt" means all debts, liabilities, and obligation of the
borrower (including, but not limited to, all amounts agreed to be paid under the
terms of any notes or agreements securing the payment of any debt, liability or
obligation, overdrafts, letters of credit, guaranties, advances for taxes,
insurance, repairs and storage, and all extensions, renewals, refinancings and
modifications of these debts) whether now existing or created or incurred in the
future, due ro to become due, or absolute or contingent, except for any
obligations incurred by borrower after the date of this guaranty for which the
borrower meets your standard of creditworthiness based on the borrower's own
assets and income without the addition of a guaranty, or to which, although you
require the addition of a guaranty, the borrower chooses someone other than me
to guaranty the obligation.

APPLICABLE LAW - This agreement is governed by the law of the state in which you
are located. Any term of this agreement that does not comply with applicable law
will not be effective if that law does not expressly or impliedly permit
variations by agreement. If any part of this agreement cannot be enforced
according to its terms, this fact will not affect the balance of this agreement.

REVOCATION - I agree that this is an absolute and continuing guaranty. If this
guaranty is limited to the payment of a specific debt of the borrower described
above, this agreement cannot be revoked and will remain in effect until the debt
is paid in full. If this guaranty covers both the borrower's present and future
debts, I agree that this guaranty will remain binding on me, whether or not
there are any debts outstanding, until you have actually received written notice
of my revocation or written notice of my death or incompetence.

         Notice of revocation or notice of my death or incompetence will not
affect my obligations under this guaranty with respect to any debts incurred by
or for which you have made a commitment to borrower before you actually receive
such notice, and all renewals, extensions, refinancings and modifications of
such debts. I agree that if any other person signing this agreement provides a
notice of revocation to you, I will still be obligated under this agreement
until I provide a notice of revocation to you. If any other person signing this
agreement dies or is declared incompetent, such fact will not affect my
obligations under this agreement.

OBLIGATIONS INDEPENDENT _ I agree that I am obligated to pay according to the
terms of this guaranty even if any other person has agreed to pay the borrower's
debt. My obligation to pay according to the terms of this guaranty shall not be
affected by the illegality, invalidity or unenforceability of any notes or
agreements evidencing the debt, the violation of any applicable usury laws,
forgery or any other circumstances which make the indebtedness unenforceable
against the borrower.

         I will remain obligated to pay on this guaranty even if any other
person who is obligated to pay the borrower's debt, including the borrower, has
such obligation discharged in bankruptcy, foreclosure or otherwise discharged by
law. In such situations, my obligation shall include post-bankruptcy petition
interest and attorneys' fees and other amounts which borrower is discharged from
paying or which do not otherwise accrue to borrower's indebtedness due to
borrower's discharge. I will also be obligated to pay you, to the fullest extent
permitted by law, any deficiency remaining after foreclosure of any mortgage or
security interest securing borrower's debt, whether or not the liability of
borrower or any other obligor for such deficiencies discharged by statute or
judicial decision, or are in any way recouped or recovered from you

51121
<PAGE>

for any reason (including, without limitation, the bankruptcy, insolvency or
reorganization of borrower or any other obligor) then I am obligated to
reimburse or indemnify you for the full amount you so pay together with costs,
interest, attorneys' fees and all other expenses which you incur in connection
therewith. I also agree that if my liability is limited to a stated principal
amount (plus other agreed charges), you may allow the borrower to incur debt in
excess of the specified amount and apply to the payment of such excess any
amounts you received for payment of the debt from the borrower or any other
person, any amounts resulting from any collateral or amounts received from any
other source, without affecting my obligations under this agreement.

         No modification of this agreement is effective unless in writing and
signed by you and me, except that you may, without notice to me and without the
addition of a signed writing or my approval: (1) release any borrower or other
person who may be liable for borrower's debt, (2) release or substitute any
collateral, (3) fail to perfect any security interest or otherwise impair any
collateral, (4) waive or impair any right you may have against any borrower or
other person who may be liable for borrower's debt, (5) settle or compromise any
claim against the borrower or any person who may be liable for the borrower's
debt, (6) procure any additional security or persons who agree to be liable for
borrower's debt, (7) delay or fail to pursue enforcement of the debt, (8) apply
amounts you receive from the borrower or other persons to payment of the debt in
any order you select, (9) make any election with respect to the debt provided by
law or any agreement with any person liable for the debt, (10)exercise or fail
to exercise any rights you have with respect to the debt, (11) extend new credit
to the borrower, or (12) renew, extend, refinance or modify the borrower's debt
on any terms agreed to by you and the borrower (including, but not limited to,
changes in the interest rate or in the method, time, place or amount of payment)
without affecting my obligation to pay under this Guaranty.

WAIVER - I waive presentment, demand, protest notice of dishonor, and notice of
acceptance of this guaranty. I also waive, to the extent permitted by law, all
notices, all defenses and claims that the borrower could assert any right to
require you to pursue any remedy or seek payment from any other person before
seeking payment under this agreement, and all other defenses to the debt, except
payment in full. You may without notice to me and without my consent, enter into
agreements with the borrower from time to time for purposes of creating or
continuing the borrower's debt as allowed by this guaranty. I agree that I will
be liable, to the fullest extent permitted by applicable law, for any deficiency
remaining after foreclosure (or repossession) and sale of any collateral without
regard to whether borrower's obligation to pay such deficiency is discharged by
law. If any payments on the debt are set aside, recovered or required to be
returned in the event of the insolvency, bankruptcy or reorganization of the
borrower, my obligations under this agreement will continue as if such payments
had never been made.

         I also waive and relinquish all present and future claims, rights and
remedies against borrower or any other obligated party arising out of the
creation or my performance of this guaranty. My waiver includes, but is not
limited to, the right of contribution, reimbursement, indemnification,
subrogation, exoneration and any right to participate in any claim or remedy you
may have against the borrower, collateral or other party obligated for
borrower's debts, whether or not such claim, remedy or right arises in equity,
or under contract, statute or common law.

REMEDIES - If I fail to keep any promise contained in this agreement or any
agreement securing this agreement, you may make this agreement and the
borrower's debt immediately due and payable, you may set-off this obligation
against any right I have to receive money from you (however, you may not set-off
against any accounts in which my rights are only as a fiduciary or my IRA or
other tax-deferred retirement account), you may use any remedy you have under
state or federal law, and you may use any remedy given to you by any agreement
securing this agreement. If I die, am declared incompetent or become insolvent
(either because my liabilities exceed my assets or because I am unable to pay my
debts as they become due), you may make the debt immediately due and payable.

COLLECTION COSTS - Except when prohibited by law, I agree to pay the reasonable
costs and expenses you incur to enforce and collect this agreement, including
attorneys' fees and court costs.

SECURITY - This guaranty is ___ unsecured  ___ secured by ____________________.

<TABLE>
<S>                                                          <C>
------------------------------------------------------------

                    NOTICE TO COSIGNER

    You are being asked to guarantee the debts described     In witness where of, I have signed my name and affixed
above.  If you are making a "Present and Future Debt         my seal on this 23rd day of August, 2000, and by
Guaranty" as identified above, you are being asked to        doing so, agree to the terms of this guaranty and
guarantee present as well as future debts of the borrower    acknowledge having read the Notice to Cosigner.
entered into with this lender.  Think carefully before you
do.  If the borrower doesn't pay these debts, you will
have to.  Be sure you can afford to ay if you have to, and   ________________________________________________(SEAL)
that you want to accept this responsibility.                 BONNIE L. CAPWELL

    You may have to pay up to the full amount of these
debts if the borrower does not pay. You may also have to
pay late fees or collection costs, which increases this
amount.
<PAGE>

    The lender can collect these debts from you without
first trying to collect from a borrower. The lender can
use the same collection methods against you that can be
used against the borrower, such as suing you, garnishing
your wages, etc.If these debts are ever in default, that
fact may become part of your credit record.
------------------------------------------------------------
</TABLE>

51121

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00047-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00047-of-00352.parquet"}]]