Document:

UNISYS CORPORATION
                        DIRECTOR STOCK UNIT PLAN

     1.   Purpose.  The purpose of the Unisys Corporation Director Stock
Unit Plan (the "Plan") is to provide a vehicle through which all or a portion
of the remuneration paid to Directors of Unisys Corporation (the
"Corporation") who are not employees of the Corporation may be paid in a form
which (1) more closely aligns directors' and stockholders' interests and (ii)
permits Directors to defer recognition of income until termination of service
with the Corporation.

     2.   Effective Date.  The Board of Directors (the "Board") approved the
Plan on November 21, 1991.  The Plan has been amended and restated from time
to time since its original adoption and the effective date of this amended
and restated Plan is September 22, 2000.

     3.   Definitions.

          (A)  "Account" means, for any Director, each memorandum account
established for the Director under Section 7.

          (B)  "Beneficiary" means the person or persons designated from
time to time in writing by a participating Director to receive payments after
the death of such Director or, in the absence of any such designation or in
the event that such designated person or persons shall predecease such
Director, his/her estate.

          (C)  "Board" shall mean the Board of Directors of the
Corporation.

          (D)  "Change in Control" shall have the same meaning as is
ascribed to that term under the 1990 Long-Term Incentive Plan, or any
successor stock option plan.

          (E)  "Committee" means the Corporate Governance and Compensation
Committee of the Board.

          (F)  "Compensation" includes remuneration (other than that paid
in accordance with Section 4(B) hereof) for services as a Director, including
Directors' retainer fees ("Retainer Fees")and Board and Committee meeting
fees ("Meeting Fees").

          (G)  "Compensation Payment Date" means, with respect to a
Retainer Fee, the first business day of the month for which such monthly
Retainer Fee or Meeting Fee is due and payable or such other date as may be
designated by the Board or Committee from time to time as the payment date
for Retainer Fees or Meeting Fees.  If Unisys Common Stock is not traded on
such date, the Compensation Payment Date shall be the next preceding trading
day.

          (H)  "Corporation" means Unisys Corporation.

          (I)  "Deferred Compensation" means the amount the Director elects
to defer pursuant to Section 4(A) hereof.

          (J)  "Director" means a member of the Board who is not an
employee of the Corporation.

          (K)  "Fair Market Value" means, on any date, the sales price of a
share of Unisys Common Stock as of the official close of the New York Stock
Exchange at 4:00 p.m. U.S. Eastern Standard Time on such date

          (L)  "Option for Stock Units" means an option, created pursuant
to a Director's election in accordance with Section 6 that, if exercised by
the Director, will result in the crediting of Stock Units to the Director's
Account.

          (M)  "Stock Units" means Unisys common stock-equivalent units,
which may be awarded pursuant to the Plan as Elective or Non-elective Stock
Units or may be credited to a Director's Account as a result of the
Director's exercise of an Option for Stock Units.  Stock Units also include
Frozen Stock Units held under the Directors Deferred Compensation Plan and
transferred to this Plan effective July 25, 1996.

          (N)  "Stock Unit Award Value" means the dollar amount of the
Retainer Fee or Meeting Fee, as established by the Board from time to time,
payable on a Compensation Payment Date.

          (O)  "Valuation Date" means any business day as of which the
value of a Director's Accounts are determined.

     4.   Crediting of Stock Units.

          (A)  \	Elective Stock Units.  Prior to or during any calendar
year, a Director may elect (i) to defer all or a portion of his or her cash
Compensation that would be paid to him for services rendered during the
following calendar year or for the remainder of the current calendar year, as
applicable, and (ii) to be credited in lieu of such amount with Stock Units.

          (B)  Non-Elective Stock Unit Awards.  On the Compensation Payment
Date, each Director's Account shall be credited with Stock Units equal to the
Stock Unit Award Value.  The Board shall have the discretion to make
additional Stock Unit awards at such times and in such amounts as it deems
appropriate.

          (C)  Amount Credited.  The number of Stock Units to be credited
to a Director's Account under Sections 4(A) and (B) shall be the quotient of
(a) divided by (b) where (a) equals the Deferred Compensation or Stock Unit
Award Value, as applicable, and (b) equals the Fair Market Value on the
Compensation Payment Date.

          (D)  Transfer of Previously Deferred Amounts.  Upon the election
of a Director, all or any portion of a Director's Account held under the
terms of the Deferred Compensation Plan for Directors of Unisys Corporation
may be transferred and credited under this Plan as Elective Stock Units,
based on the Fair Market Value on the date of transfer.  Payment of a
Director's Stock Units credited to the Plan under this Section 4(D) shall be
made in accordance with the Director's original deferral election, subject to
any subsequent elections permitted under this Plan.

     5.   Elections.

          (A)  A Director's election to defer Compensation shall be
executed in writing on a form furnished by the Secretary of the Corporation
on or before the date that is (I) no later than December 31 of the year
preceding the calendar year to which the election applies or (II) at least
three months and one day before the date on which the Retainer Fee or Meeting
Fee to be deferred, absent deferral, would be paid to the Director, provided,
however, that an individual who becomes a Director after January 1 of a
calendar year may make an Election with respect to Compensation that has not
been paid and, absent deferral, would be paid to him or her during the
remainder of the calendar year in which he or she has become a Director, by
executing the required written election on or before the date that is 30 days
after the date on which he or she becomes a Director.  The election must
specify that the Director desires to be credited Stock Units in lieu of
receiving his/her Compensation in cash.

          (B)  An election, once made, shall be irrevocable with respect to
Compensation payable for the calendar year or years to which it applies.

          (C)  An election must specify either a percentage or a certain
dollar amount of the Compensation to be deferred under the Plan.

          (D)  Any amounts distributed under the Plan on or after April 26,
2000 shall be distributed in the form of shares of common stock of the
Corporation.

          (E)  An election shall specify the date on which payment of the
amount deferred is to commence, subject to Sections 9 and 10 hereof, and may
specify that such payment is to commence as of:

                (1)  the Director's termination of service as a member of
the Board (including as a result of disability); or

                (2)  a specific date (which may be determined by reference
to the Director's termination of service) that is at least two years after
the date on which the initial amounts to be deferred, absent deferral, would
be paid to the Director.

          (F)  The Director must specify the manner in which payment of his
or her Account is to be made and may specify that such payment is to be made
either in a single sum or in annual installments.

          (G)  Notwithstanding the foregoing, a Director may not elect a
time of benefit commencement and/or a form of payment to the extent that such
an election would cause any payments to be made after the March 31 first
following the date that is 20 years after the date of the Director's
termination of service.

          (H)  Deferrals of a Director's Compensation shall be credited to
the Plan at the time at which the Compensation, absent deferral, would
otherwise be payable to the Director.

          (I)  Unless the Election form specifically provides otherwise, an
Election shall expire as of the last day of the calendar year that includes
the first day on which any compensation, absent deferral, would be paid to
the Director.

          (J)  Additional payment elections with respect to Non- Elective
Stock Unit Awards may be provided if deemed necessary and appropriate by
the Committee.

     6.   Options for Stock Units.  A Director who holds an option for
Corporation common stock that was awarded to him or her under any plan
maintained by the Corporation may elect, to the extent permitted under that
plan or otherwise by the Committee, to convert all or part of that option to
an Option for Stock Units in accordance with the provisions of this Section
6.

          (a)  Election to Convert Option.  A Director can elect to convert
all or a portion of an outstanding option to an Option for Stock Units by
providing written notice to the Corporation, which must be received by the
Corporate Executive Compensation Department, at least six months before the
expiration date of the option.  The election must specify the number of
shares of Corporation common stock subject to the option that are to become
subject to the Option for Stock Units.  The election must also specify the
date on which the Stock Units to be credited to the Director's Account upon
the exercise of the Option for Stock Units are to be paid to the Director;
such date may be (1) the Director's termination of service or (2) a specific
date (which may be determined by reference to the Director's termination of
service or by reference to the date of the Director's exercise of the Option
for Stock Units).

          (b)  Exercise of Options for Stock Units.  A Director may not
exercise an Option for Stock Units until the expiration of the six-month
period beginning on the date on which the Director's option is converted to
an Option for Stock Units.  Thereafter, but only until the expiration of the
period during which the option that the Director converted to an Option for
Stock Units could, in accordance with its original terms be exercised, a
Director may exercise Options for Stock Units by providing written notice of
exercise to the place designated by the Committee.  At the time of the
exercise of an Option for Stock Units, the Director must certify to the
Corporation or its designee that he or she currently owns shares of
Corporation common stock sufficient to pay the aggregate option price and, if
the shares were acquired for services to the Corporation that he or she has
held those shares for at least six months.

          (c)  Effect of Exercise.

                (1)  As soon as practicable following receipt of a
Director's notice of exercise under Section 6(b), Stock Units will be
credited to the Director's Account.  The number of Stock Units to be so
credited will be equal to (A) the difference between (i) the aggregate Fair
Market Value (as defined in the Directors Stock Option Plan) on the date of
exercise of the shares of Corporation common stock relating to the portion of
the Option for Stock Units that the Director has elected to exercise and (ii)
the sum of (a) the aggregate exercise price and (b) any Social Security,
Medicare or state or local income tax required to be withheld with respect to
the exercise, divided by (B) the Fair Market Value (as defined in Directors
Stock Option Plan)  of a share of Corporation common stock on the date of
exercise.

                (2)  Notwithstanding a Director's election of a payment
date under Section 6(a), if the Director exercises an Option for Stock Units
later than two years before the payment date elected, the Stock Units
credited to his or her Account as a result of the exercise will be paid as
soon as practicable after the second anniversary of the date of exercise.

          (d)  Effect of Termination of Service.  If a Director
terminates service before exercising an Option for Stock Units, the Option
for Stock Units will remain exercisable to the extent that the option that
the Director converted to the Option for Stock Units would have remained
exercisable absent conversion.  If, however, the Director (or his or her
Beneficiary) subsequently exercises the Option for Stock Units after his or
her Account Balance has been paid or has begun to be paid as a result of his
or her termination of service, the Stock Units acquired upon such exercise
will be distributed immediately.  If the Director (or his or her Beneficiary)
fails to exercise the Option for Stock Units before the date on which the
option that the Director converted to an Option for Stock Units would have
expired or terminated, then the Director's (or Beneficiary's) right to
exercise the Option for Stock Units will likewise terminate.

     7.   Memorandum Account.  The Corporation shall establish on its books
a separate memorandum account for each Director for each year in which Stock
Units are awarded to the Director.  Stock Units, dividends and other
adjustments shall be credited to the account and payments made to the
Director or Beneficiary shall be debited to the account.  No assets shall be
segregated or earmarked in respect of any amounts credited to the Account and
no Director shall have any right to assign, transfer, pledge or hypothecate
his or her interest or any portion thereof in his or her Account.  The Plan
and the crediting of Accounts hereunder shall not constitute a trust and
shall be merely for the purpose of recording an unsecured contractual
obligation.

     8.   Dividends and Other Adjustments.  If the Corporation shall issue a
stock dividend on the common stock, stock dividend equivalents shall be
credited to the Account, as of the dividend payment date, as Stock Units in
the same amount as the stock dividends to which the Director would have been
entitled if the Stock Units were shares of common stock.  Cash dividends, if
any, shall be credited to the Account, as of the dividend payment date, in
the form of Stock Units determined in the manner set forth in Section 4(C)
hereof based on the Fair Market Value of the Common Stock on the dividend
payment date.  The Account shall be appropriately adjusted to reflect splits,
reverse splits, or comparable changes to the Corporation's common stock.

     9.   Distribution of Accounts.

          (A)  Payment Election.  Except as otherwise provided in Section
10, payment of an Account shall commence as of the Valuation Date next
following the date or dates specified in the Election or Elections or (where
applicable) the Revised Election or Elections; provided, however, that where
the Election or Elections or (where applicable) the Revised Election or
Elections specify that payments with respect to an Account are to commence as
of a specified date or specified dates not determined by reference to the
Director's termination of service and the Director terminates service prior
to such date or dates, payment of the portion of the Director's Account that
was to commence on such date or dates shall commence as of the Valuation Date
next following the Director's termination of service, but in the same form
specified in the Director's Election or Elections or (where applicable) the
Revised Election or Elections.

                (1)  All payments shall be made in the form or forms
specified in the Election or Elections or (where applicable) the Revised
Election or Elections.

                (2)  To the extent a Director has not specified the form or
time of payment of all or a part of his or her Account, payment of the
amounts not specified will be made in a single sum as soon as
administratively practicable, but within 90 days, after the first Valuation
Date following the Director's termination of service as a Director.

                (3)  Where a Director has elected payment in the form of
annual installments, each installment payment after the initial installment
payment shall be made on or about March 31 of each year following the year in
which the first installment was paid.  With respect to each Election made by
a Director, the amount of each annual installment payment to be made to the
Director shall be determined by dividing the portion of the Director's
Account covered by such Election as of the latest Valuation Date preceding
the date of payment by the number of installments remaining to be paid under
such Election.

                (4)  Notwithstanding any election made by a Director, any
portion of a Director's Account that has not been paid to the Director as of
the date of his or her death shall be paid to the Director's Beneficiary in a
single sum as soon as administratively practicable, but within 90 days
following the Valuation Date on which the Corporation receives notification
of the Director's death.

          (B)  Revised Election.

                (1)  Pursuant to a Revised Election, a Director may specify:

                     (I)   a date for the commencement of the payment of
the Director's Account that is after the date specified in the Director's
Election; and/or

                     (II)  a form of payment that calls for a greater
number of annual installment payments than that specified in the Director's
Election, or a number of annual installment payments where the Director
specified a single sum payment in his or her Election; and/or

                     (III) Notwithstanding the foregoing, a Director may
not elect a time of benefit commencement and/or a form of payment to the
extent that such an election would cause any payments to be made after the
March 31 first following the date that is 20 years after the date of the
Director's termination of service as a Director.

                (2)  To be effective, a Revised Election must be:

                     (I)   made in writing by the Director on a form
furnished for such purpose by the Secretary of the Corporation;

                     (II)  submitted to the Secretary of the Corporation on
or before the date that is three months and one day before the date on which
the portion of the Director's Account that is the subject of the Revised
Election would, absent the Revised Election, first become payable; and

                     (III) approved by the Secretary of the Corporation.  A
Revised Election will be deemed to have been approved by the Secretary of the
Corporation if it is not disapproved by the Secretary of the Corporation
within ten days of the date on which it is received.

                (3)  A Director may only make three revised elections with
respect to each of his or her accounts.

          (C)  Valuation of Account.  In determining the amount to be paid
upon termination of service, the cash value of a Director's Account shall
equal the product of the number of Stock Units credited to the Account
multiplied by the Fair Market Value as of the applicable Valuation Date. The
value of Stock Units payable in stock shall equal shares of Unisys Common
Stock equal to the number of whole Stock Units.  The value of fractional
Stock Units shall be paid in cash.  The amount of each annual installment
payment shall be determined by dividing the value determined in according
with the preceding sentence as of the date of the installment payment by the
number of installments remaining to be paid.

          (D)  No Early Withdrawals.  No early withdrawal of a Director's
Account shall be permitted.  Except as provided in Section 9 hereof or as
provided in an Election or Revised Election, distribution of a Director's
Account may be made only upon termination of service as a Director.

     9.   Accelerated Payment.

          (A)  Change in Control.

                (1)  Notwithstanding any other provision of the Plan to the
contrary, in the event of a "change in control," each Director may elect to
receive a single sum payment of all or any portion of his or her Stock Unit
Account balance.  Such election shall only be effective if delivered to the
Secretary of the Corporation within the ninety-day period immediately
following the date of the occurrence of the change in control.

                (2)  If an election is timely made, the Director (or
Beneficiary) will be entitled to receive, as soon as practicable after the
expiration of the ninety-day period, an amount equal to (a) the full value or
any portion thereof of the Stock Unit Account minus (b) an early withdrawal
penalty equal to 8% of the total value of (a).  The Committee, upon advice of
counsel, may modify the early withdrawal penalty described above in any way
it deems appropriate and consistent with the purposes of the Plan.

                (3)  If litigation is brought by the Director or the
Beneficiary after a change in control to enforce or interpret any provision
of the Plan, the Corporation to the extent permitted by applicable law shall
reimburse the Director (or Beneficiary) for the reasonable fees and
disbursements of counsel incurred in such litigation.

          (B)  Change in Circumstances.  Notwithstanding any other
provision of this Plan to the contrary, the Committee in its sole discretion
may accelerate the payment of Stock Units Accounts to all or any group of
similarly situated Directors or Beneficiaries, whether before or after the
Director's termination of service, in response to changes in the tax laws or
accounting principles.

     10.  Amendment and Termination.  The Board may modify or amend, in
whole or in part, any or all of the provisions of the Plan, or suspend or
terminate it entirely; provided, however, that any such modification,
amendment, suspension or termination may not, without the participating
Director's consent, adversely affect any amount credited to his/her Account
for any period prior to the effective date of such modification, amendment,
suspension or termination.  The Plan shall remain in effect until terminated
pursuant to this provision.

     11.  Administration.  The Plan shall be administered by the Committee.
Any decision made or action taken by the Committee arising out of or in
connection with the construction, administration, interpretation, or effect
of the Plan shall be within the absolute discretion of the Committee and
shall be conclusive and binding on all parties.

     12.  Expenses and Taxes.  All expenses and costs in connection with the
operation of this Plan shall be borne by the Corporation.  The Corporation
shall have the right to deduct from any payment to be made pursuant to this
Plan any federal, state or local taxes required by law to be withheld.

     13.  Governing Law.  The Plan shall be construed and its provisions
enforced and administered in accordance with the laws of the Commonwealth of
Pennsylvania except as such laws may be superseded by any federal law.

     14.  SEC Rule 16b.  The Plan is intended to comply with SEC Rule 16b-3
as adopted by the Securities and Exchange Commission effective November 1,
1996, and as amended thereafter, and the Committee is authorized to interpret
the Plan, modify the Plan and/or adopt rules pursuant to the Plan in order to
comply with Rule 16b-3 or such other exemptions as may be applicable.
Specifically, the Committee may delay payment of accounts which have been
deferred or credited for a period of less than six months as of the payment
date.NOVEX SYSTEMS INTERNATIONAL, INC.

                           Certificate of Designation,

                              Preference and Rights

              Of Series A, Convertible Redeemable Preferred Shares

     The Undersigned,  being the President of Novex Systems International,  Inc.
("Novex") , a corporation  organized and existing under the laws of the State of
New York, do hereby certify that, pursuant to authority conferred upon the Board
of Directors by the Certificate of Incorporation, the Board of Directors adopted
the  following  resolution  providing  for the issuance of a series of Preferred
Stock:

     RESOLVED  that,  pursuant to authority  vested in the Board of Directors by
Section 2 of the Certificate of Incorporation of this  Corporation,  a series of
Preferred  Stock is hereby  established,  the  distinctive  designation of which
shall be Series A Preferred Stock (hereinafter  "Series A"), and the preferences
and relative,  participating,  optional or other special rights of Series A, and
the qualifications, limitations or restrictions thereof shall be as follows:

       (i)    The number of shares which shall constitute  Series A shall be two
              million  (2,000,000)  which  number may be  increased or decreased
              from time to time by resolution of the Board of Directors. One (1)
              share of Series A shall  equal one  dollar  ($1.00).  Novex  shall
              issue  one  share  of  Series A for each  one  dollar  ($1.00)  of
              indebtedness  owed  by  Novex  to  The  Sherwin-Williams   Company
              (hereinafter  "Sherwin-Williams") pursuant to a Loan Agreement and
              Promissory Note ("Note") both dated, August 13, 1999.

              The initial issuance of Series A shares to Sherwin-Williams, to be
              evidenced  by duly  authorized  certificate(s),  shall  be for one
              million  two  hundred and eighty one  thousand  three  hundred and
              fifty shares  (1,281,350),  plus one additional  share of Series A
              for every one dollar ($1.00) of accrued and  outstanding  interest
              on the Note on the date such Note shall be  converted  into shares
              of Series A  (hereinafter  the value of the  initial  issuance  of
              Series  A  shares  shall  be  referred  to as "the  Face  Value").
              Thereafter,  on  each  anniversary  date of  this  Certificate  of
              Designation up to the Final  Redemption  Date (as defined  below),
              Novex  shall   issue  to   Sherwin-Williams   a  duly   authorized
              certificate(s)  evidencing  ownership  of Series A shares  for all
              annual and special dividends that have accumulated in the previous
              twelve month period.

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       (ii)   Novex  shall  have the sole  right to redeem  for cash  payable in
              United States currency, any or all of the Face Value of the Series
              A  shares,  including  any  and  all  outstanding  accrued  annual
              dividends at any time prior to 5:00 p.m. on the second anniversary
              date of this  Certificate  of  Designation  (  hereinafter  "Final
              Redemption  Date").  If the Final  Redemption Date shall fall on a
              weekend or national  holiday the next business day shall be deemed
              the Final Redemption Date. If Novex shall redeem only a portion of
              the  Series A shares,  it shall be  obligated  to also  redeem all
              outstanding   accrued  dividends  on  the  redeemed  shares.   Any
              remaining  outstanding  Series A shares  shall  continue to accrue
              dividends  until such shares are redeemed or converted into common
              stock on the Final Redemption  Date,  subject to the terms of this
              Certificate  of  Designation.  There  shall be no penalty  for any
              early redemption of the Series A shares.

              Notice of any  partial or full  redemption  shall be in writing to
              the holders of Series A shares,  by regular U.S.  Mail with a copy
              transmitted by facsimsile pursuant to Section xi. The notice shall
              specify the number of Series A shares to be redeemed  and the date
              that payment  shall be made to redeem such  shares.  If fewer than
              all  the  Series  A  shares  represented  by any  certificate  are
              redeemed,  a new certificate  representing the unredeemed Series A
              shares shall be issued to the holder thereof without cost.

       (iii)  The outstanding  Series A shares shall accrue  dividends at a rate
              equal to ten  percent  (10%)  per  annum of the Face  Value of the
              Series A shares.  On the anniversary  date of this  Certificate of
              Designation,  Novex shall issue to Sherwin-Williams  one (1) share
              of  Series A  shares  for each one  dollar  ($1.00)  of  dividends
              payable  to  Sherwin-Williams.  In the event the  Series A shares,
              including  all shares  issued as  dividends,  are not  redeemed in
              entirety on, or prior to, the Final  Redemption  Date, Novex shall
              be  obligated  to issue to  Sherwin-Williams  additional  Series A
              shares  that shall be equal to fifteen  percent  (15%) of the Face
              Value of the  Series A shares  (hereinafter  "Special  Dividend").
              Novex shall not declare and pay any cash or stock dividends on any
              other class of its equity securities prior to the Final Redemption
              Date,  or the  full  redemption  of all the  outstanding  Series A
              shares, whichever the case may be.

       (iv)   In the event any of the Series A shares are not redeemed  prior to
              the Final  Redemption  Date,  all  outstanding  shares of Series A
              (including all annual and special dividends) shall,  automatically
              and without further notice to  Sherwin-Williams or action by Novex
              other than for the issuance of  certificates  of its common stock,
              be converted  into shares of Novex's  $.001 par value common stock
              ("Common Shares") at a rate equal to eighty-five  percent (85%) of
              the average final trading price for Novex's

<PAGE>

              Common  Shares for twenty  consecutive  trading  days prior to the
              Final Redemption Date. Upon the conversion of Series A shares into
              Common Shares all rights,  preferences and  obligations  hereunder
              shall  terminate and shall no longer be in effect and all Series A
              shares shall be deemed  cancelled and returned to treasury shares.
              Any Common Shares issueable to Sherwin-Williams will have the same
              rights and  privileges  as all other  common  shareholders  owning
              Novex's  Common  Shares  on  the  date  of  this   Certificate  of
              Designation,  subject  only to any  changes  that  Novex's  common
              shareholders  shall  elect to modify at a duly  called  special or
              annual meeting of its shareholders.

       (v)    In the case Novex shall be  liquidated  pursuant to a voluntary or
              involuntary  bankruptcy  proceeding,  dissolution or winding-up of
              its  affairs,  the holders of Series A shares shall be entitled to
              receive  payment of one dollar  ($1.00)  per share of  outstanding
              Series A shares,  plus all accrued and unpaid dividends,  thereon,
              from the assets remaining,  after paying the debts and liabilities
              of Novex, before payment shall be made to the holders of shares of
              any other  class of equity  securities,  but the  Series A holders
              shall not be entitled to participate  further in the  distribution
              of any remaining assets owned by Novex.

       (vi)   As part of its issuance of Series A shares, Sherwin-Williams shall
              terminate  all rights,  and any  obligations,  it has in the Note,
              Loan  Agreement  (except as provided  for below in section  viii),
              Security Agreement and Mortgage,  including all security, mortgage
              or collateral interests,  liens, and encumbrances it has in assets
              owned by Novex  and it shall  undertake  to  execute  and file all
              necessary  documents to terminate its secured  creditor  interests
              arising  from the Security  Agreement,  Loan  Agreement,  Note and
              Mortgage  all of which were  entered into with Novex on August 13,
              1999.

       (vii)  As part of its issuance of Series A shares, Sherwin-Williams shall
              waive  any  and  all  rights  to  liquidated   damages  under  the
              Registration Rights Agreement dated August 13, 1999, between Novex
              and Sherwin-Williams.

       (viii) Novex  shall  agree  to  incorporate   into  this  Certificate  of
              Designation  and  adhere  to,  other  than with the prior  written
              consent of  Sherwin-Williams,  only those obligations set forth in
              Section  IV  (subsections  A through  C),  Section  V (except  for
              subsections  (B) and (D)  which  shall  be  deemed  void  upon the
              issuance of Series A shares) and Section VII of the aforementioned
              Loan   Agreement,   said   agreement   being  annexed  hereto  and
              incorporated herein as part of this Certificate of Designation.

       (ix)   In exchange  for  Sherwin-Williams  agreeing to convert its rights
              under the Note into Series A shares, Novex shall waive any and all
              potential claims

<PAGE>

              relating to any  alleged  breach of a  representation  or warranty
              made by Sherwin-Williams  with respect to the Financial Statements
              as defined in Section  3.02 of the Amended and  Restated  Purchase
              Agreement dated August 13, 1999.

       (x)    The  Shares  of  Series  A shall  not have  any  relative  powers,
              preferences  and rights,  nor any  qualifications,  limitations or
              restrictions thereof, other than as set forth herein or in Novex's
              Certificate of Incorporation. In particular, the holders of Series
              A shares shall have no right to vote such shares.

       (xi)   All notices  required  by, or made as part of the  Certificate  of
              Designation shall be as follows:

              To:    The Sherwin-Williams Company
                     101 Prospect Avenue, N.W.
                     Cleveland, Ohio 44115-1075

                     Attn: Vice President, Corporate Planning and Development
                     Facsimile: 216-566-2947

              To:    Novex Systems International, Inc.
                     16 Cherry Street
                     Clifton, New Jersey 07014

                     Attn: President and Chief Executive Officer
                     Facsimile: 973-777-7713

IN WITNESS  WHEREOF,  the  Corporation has made under its corporate seal and the
hands of its duly empowered officers,  the foregoing certificate and have caused
the corporate seal of said  corporation  to be hereunto  affixed this 7th day of
July, 2000.

NOVEX SYSTEMS INTERNATIONAL, INC.

By: /s/ Daniel W. Dowe
    -----------------------------------
    Daniel W. Dowe, President

THE SHERWIN-WILIIAMS COMPANY

By: /s/ Conway G. Ivy
    -----------------------------------
    Conway G. Ivy, Vice President

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