Document:

<PAGE>

                                                                   EXHIBIT 10.15

                              ENGAGEMENT AGREEMENT
                        BETWEEN PENGE CORP AND KC HOLMES

         This ENGAGEMENT AGREEMENT BETWEEN PENGE CORP AND KC Holmes (this
"Agreement"), signed on the dates set forth below to be effective as of
September 1st, 2004 (the "Effective Date"), is entered into by and between PENGE
CORP, a Nevada corporation (the "Company"), and KC Holmes a resident of the
State of Nevada ("Employee"). The Company and Employee are referred to
collectively herein as the "Parties."

         In consideration of the mutual covenants and promises contained herein,
and for other good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, the Parties hereby agree as follows:

         1. ENGAGEMENT. The Company hereby engages Employee to do Mergers and
Acquisitions for the Company. Employee hereby accepts such engagement and agrees
to perform those duties and undertake those responsibilities that are
customarily performed by professionals holding similar positions in similar
businesses, including, without limitation, the duties and responsibilities that
are assigned to Employee from time to time by the Directors of the Company.
Employee shall also perform the duties that are described in the Job Description
attached hereto as Exhibit 1.

         2. EMPLOYMENT EFFORTS. Employee shall work such necessary time for the
Company, and shall devote Employee's full time and attention to the performance
of Employee's obligations under this Agreement at such times as engaged therein.
Employee shall use his best efforts to promote the success of the Company's
business interests.

         3. TERM OF ENGAGEMENT. The term of Employee's engagement shall commence
on the Effective Date and, unless terminated earlier pursuant to the provisions
of this Agreement, shall continue for twenty four months (the "Initial Term").
The term of this Agreement as provided in this Section 3 is referred to herein
as the "Term."

         4. COMPENSATION.

                  (a) SALARY. The Company shall pay Employee compensation as
         follows:

         Fair and reasonable salaries and bonuses or benefits based on
         performance as reviewed by the executive team and the board of
         directors.

                  (b) BONUS. Employee shall receive such bonus amounts as the
         Directors may determine.

<PAGE>

                  (c) BENEFITS. Employee shall be entitled to participate in all
         the Company's benefit plans including health insurance, cell phone,
         expense account etc.

                  (d) CONFIDENTIALITY AGREEMENT. As a condition of Employee's
         engagement and as consideration to Company for entering into this
         Agreement with Employee, Employee and the Company will enter into the
         Employee Confidentiality (the "Confidentiality Agreement") dated as of
         the Effective Date, a copy of which is attached hereto as Exhibit 2.
         The attached Confidentiality Agreement is a part of this Agreement and
         is hereby incorporated herein by reference. The terms of the
         Confidentiality Agreement shall survive the termination of Employee's
         engagement by the Company under this Agreement for any reason for a
         period of one year.

         5. TERMINATION WITH OR WITHOUT CAUSE. The Company shall be entitled to
terminate Employee's engagement at any time with or without cause by giving the
Employee a written notice that has been approved by a majority of the board. If
the Company terminates the Employee's engagement, Employee shall be paid the
compensation provided for above through the life of this agreement. Employee
shall retain ownership of any Stock Options, which shall immediately vest in
full.

         6. MISCELLANEOUS.

                  (a) Payments made to or for the benefit of Employee under this
         Agreement shall be paid as W-2 wages.

                  (b) For purposes of this Agreement, notices, approvals and
         other communications provided for herein shall be in writing and shall
         be deemed to have been duly given when delivered in person, by
         facsimile transmission, by express courier, or by first class United
         States Mail, postage prepaid, return receipt requested. Notices to the
         Company shall be sent to the attention of the current Manager or as
         shall be provided in writing to Employee from time to time in
         accordance with this section. Notices to Employee shall be addressed to
         Employee's most recent address as set forth in the personnel records of
         the Company. Notices shall be effective upon receipt. Either party
         shall be entitled to change the address at which notice is to be given
         by providing notice to the other party of such change in the manner
         provided herein.

                  (c) This Agreement, together with Confidentiality Agreement
         attached hereto as Exhibit 2, sets forth the entire agreement of the
         parties with respect to the subject matter hereof, and supersedes all
         prior agreements, whether written or oral.

                                       2
<PAGE>

                  (d) This Agreement may not be assigned by Employee, but the
         Company may assign any or all of its rights under this Agreement to any
         affiliate or subsidiary company of the Company, so long as the Company
         remains liable for the performance by that affiliate or subsidiary of
         the payment obligations of the Company hereunder. Except as provided in
         the preceding sentences of this Section 11(d), this Agreement shall be
         binding upon, and inure to the benefit of, the parties and their
         respective personal representatives, successors and assigns.

                  (e) No provision of this Agreement shall be altered, amended,
         revoked or waived except by an instrument in writing signed by the
         Party sought to be charged with such amendment, revocation or waiver.

                  (f) No waiver of any provision of this Agreement shall be
         valid unless it is in writing and signed by the party against whom it
         is charged.

                  (g) The invalidity or unenforceability of any provision of
         this Agreement shall not affect the other provisions hereof, and this
         Agreement shall be construed as if such invalid or unenforceable
         provision were omitted.

                  (h) This Agreement shall be governed by and construed in
         accordance with the laws of the State of Nevada.

         IN WITNESS WHEREOF, the Parties have executed and delivered this
Agreement on the dates set forth below, to be effective as of the Effective
Date.

                                       PENGE CORP, a Nevada corporation

                                       By:
                                          --------------------------------------
                                       Name:
                                            ------------------------------------
                                       Title:
                                             -----------------------------------
                                       Date:
                                            ------------------------------------

                                       _______________________, Employee
                                       Date:

                                       3
<PAGE>

                                    EXHIBIT 1

                                 JOB DESCRIPTION
                                 ---------------

         Employee shall Mergers and Acquisitions for the Company with
responsibilities in such position as shall be determined from time to time by
the Directors of the Company.

         Without limiting the foregoing, Employee, doing Mergers and
Acquisitions for the Company, shall act as the Company's primary contact with
attorneys, financing sources, and other general corporate contacts. Doing
Mergers and Acquisitions for the Company, you shall have the general powers and
duties usually vested in this office, and shall have such other powers and
duties as may be reasonably prescribed by the Directors or Officers of the
Company.

<PAGE>

                                    EXHIBIT 2

                       EMPLOYEE CONFIDENTIALITY AGREEMENT
                       ----------------------------------

         This EMPLOYEE CONFIDENTIALITY AGREEMENT (this "Agreement"), signed on
the dates set forth below to be effective as of September 1st, 2004 (the
"Effective Date"), is entered into by and between PENGE CORP, a Nevada
corporation (the "Company"), and KC Holmes a resident of the State of Nevada
("Employee"). The Company and Employee are referred to collectively herein as
the "Parties."

                                    RECITALS

         A. As of the Effective Date, the Company and Employee have entered into
a separate Engagement Agreement (the "Engagement Agreement"). Unless otherwise
defined herein, capitalized terms used in this Agreement have the meanings given
in the Engagement Agreement. In the event of any conflict between the terms of
this Agreement and the Engagement Agreement, the terms of the Engagement
Agreement shall govern.

         B. Employee's employment by the Company creates a relationship of
confidence and trust between Employee and the Company with respect to certain
information applicable to the business of the Company and its clients or
customers.

         C. The Company possesses and will continue to possess information that
has commercial value and is treated by Company as confidential. Such information
may include information belonging to Company's owners, Directors, clients,
business partners, and its subsidiaries, customers or suppliers. All such
information is hereinafter called "Confidential Information," provided that
Confidential Information shall not include information provided to the Company
by Employee. Confidential Information for purposes of this Agreement includes,
without limitation, all of the following, to the extent and only to the extent
that they relate to the Company's business developments, designs, improvements,
inventions, blueprints, structures, software, processes, computer programs,
know-how, data, techniques, formulas, marketing, and business plans and
outlines, strategies, budgets, forecasts, projections, unpublished financial
statements, costs, fee schedules, client and supplier lists, client and
prospective client databases, access codes and similar security information and
procedures, and all patents, copyrights, maskworks, trade secrets and other
proprietary rights relating thereto; also provided, however, that the term
"Confidential Information" shall not include any of the foregoing that is in the
public domain other than as the result of a breach of an obligation of
confidentiality.

         D. Employee recognizes that any unauthorized use or disclosure of
Confidential Information would cause serious injury to Company, and that the
Company's willingness to employ Employee depends upon Employee's commitment to
protect Company's Confidential Information and to comply with all of the
provisions of this Agreement.

                                       1
<PAGE>

                                    AGREEMENT

         Therefore, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the Company and Employee hereby
agrees as follows.

         1. PROTECTION OF THE CONFIDENTIAL INFORMATION. At all times during and
after Employee's engagement, Employee shall hold all Confidential Information in
confidence. Employee shall not disclose, retain, copy, or permit any
unauthorized person to disclose or copy any of the Confidential Information,
except as may be necessary for the conduct of the Company's business. Employee
shall not use Confidential Information except as necessary to perform Employee's
duties as an employee of the Company as provided in this Agreement and in the
Engagement Agreement.

         2. CONFIDENTIAL INFORMATION BELONGING TO THIRD PARTIES. In the event
that Employee has or has had access to any Confidential Information belonging to
any third party, including but not limited to any of Employee's previous
employers, Employee shall hold all such Confidential Information in confidence
and shall comply with the terms of all agreements between Employee or Company
and any third party with respect to such Confidential Information.

         3. EXCEPTIONS. This Agreement does not prevent the use or disclosure by
Employee of information that (a) is required by law to be disclosed, but only to
the extent that such disclosure is legally required, (b) becomes a part of the
public knowledge other than by a breach of an obligation of confidentiality, or
(c) is rightfully received from a third party and neither the Company nor
Employee is obligated to hold such information confidential.

         4. RETURN OF CONFIDENTIAL INFORMATION. Upon the Company's request, and
in any event upon termination of Employee's engagement by the Company for any
reason, Employee shall promptly return to Company all materials in Employee's
possession or control that contain or represent Confidential Information,
including but not limited to documents, drawings, diagrams, flow charts,
computer programs or files, memoranda, notes, and every other medium, and all
copies thereof.

         5. MISCELLANEOUS.

                  (a) EQUITABLE REMEDIES. Employee acknowledges that breach of
         this Agreement would cause Company to suffer irreparable harm for which
         monetary damages would be inadequate compensation. Employee agrees that
         Company will be entitled to an injunction restraining any actual or
         threatened breach of this Agreement, or specific performance, if
         applicable, in addition to any monetary damages.

                  (b) ENGAGEMENT RELATIONSHIP. The relationship between Employee
         and the Company is governed by the Employment Agreement and, as
         applicable, this Agreement.

                                       2
<PAGE>

                  (c) ENTIRE AGREEMENT. This Agreement and the Engagement
         Agreement to which this Agreement is attached as an exhibit set forth
         the entire agreement of the parties with respect to the subject matter
         hereof, and supersedes all prior agreements, whether written or oral.

                  (d) WAIVER AND AMENDMENT. This Agreement may be amended only
         by a writing signed by both parties hereto. No oral waiver, amendment
         or modification of this Agreement shall be effective under any
         circumstances. The waiver by the Company of a breach of any provision
         of this Agreement shall not operate or be construed as a waiver of any
         other or subsequent breach of this Agreement by Employee.

                  (e) TERM OF AGREEMENT. This Agreement will remain in force
         during Employee's engagement by the Company and will continue
         thereafter for one year after termination of Employee's engagement by
         the Company.

                  (f) SURVIVAL. The provisions of this Agreement shall survive
         termination or expiration of this Agreement and termination of the
         Engagement Agreement, for any reason, for a period of one year after
         termination of the Term of the Engagement Agreement.

                  (g) SUCCESSORS AND ASSIGNS. This Agreement may not be assigned
         by Employee, but the Company may assign any or all of its rights under
         this Agreement to any affiliate or subsidiary company of the Company,
         so long as the Company remains liable for the performance by that
         affiliate or subsidiary of the payment obligations of the Company
         hereunder. Except as provided in the preceding sentence, this Agreement
         shall be binding upon, and inure to the benefit of, the parties and
         their respective personal representatives, successors and assigns.

                  (h) SEVERABILITY. Should any provision of this Agreement be
         considered unenforceable by a court of law, the remainder of this
         Agreement shall remain in force to the fullest extent permitted by law.

                  (i) GOVERNING LAW. This Agreement shall be governed by and
         interpreted in accordance with the laws of the State of Nevada.
         Employee hereby consents to the personal jurisdiction of the state and
         federal courts located in the State of Nevada in connection with any
         litigation related to this Agreement and agrees that the exclusive
         venue for any such litigation shall be in such courts located in the
         State of Nevada.

         IN WITNESS WHEREOF, the Parties have executed and delivered this
Agreement on the dates set forth below, to be effective as of the Effective
Date.

                                            PENGE CORP, a Nevada corporation

                                            By:
                                               ---------------------------------
                                            Name:
                                                 -------------------------------
                                            Title:
                                                  ------------------------------
                                            Date:
                                                 -------------------------------

                                            _______________________, Employee
                                            Date:
                                                 -------------------------------

                                       3
<PAGE><PAGE>

                                                                   EXHIBIT 10.16

                       CONVERTIBLE NOTE PURCHASE AGREEMENT

         THIS CONVERTIBLE NOTE PURCHASE AGREEMENT, dated as of March 31, 2004
(the "AGREEMENT"), is made by and between Penge Corp., a Nevada corporation
("PENGE") and the purchaser identified as the Purchaser on the signature page
hereof (the "PURCHASER"). In consideration of the mutual promises contained
herein and for other valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, the parties hereto, intending to be legally
bound, hereby agree as follows:

1. SALE AND ISSUANCE OF THE NOTE. Subject to the terms and conditions of this
Agreement, the Purchaser agrees to purchase and the Company agrees to sell and
issue to Purchaser a convertible promissory note (the "NOTE") in the original
principal amount of $300,000 (the "PURCHASE PRICE") made up of $150,000 from
each of the two entities listed below. The Note shall be in the form attached to
this Agreement as EXHIBIT B. Immediately following the execution of this
Agreement, the Company shall deliver the Note to the Purchaser and the Purchaser
shall deliver to the Company the amount of the Purchase Price for such Note in
immediately available funds.

2. CONVERSION. The Purchaser shall have the option of converting the entire
outstanding principal amount of the Note, and any accrued interest thereon, into
shares of the Company's common stock (the "COMMON STOCK") pursuant to the terms
and conditions set forth in the Note. If the Note is converted into Common Stock
as provided above, no fractional shares will be issued in connection with such
conversion. In lieu of fractional shares which would otherwise be issuable, the
Company shall pay cash equal to the product of such fraction multiplied by the
Conversion Price.

3. STOCK BUY BACK. The Purchaser shall have the option of requiring the Company
to buy back some or all of the shares of Common Stock the Holder receives upon
the conversion of the Note in accordance with Section 2 above. The price at
which the Company shall buy back such shares of Common Stock will be thirty four
and a half cents per share ($0.345). This buy back option is valid on the date
of conversion only unless extended by the mutual written agreement of the
parties hereto.

4. REPRESENTATIONS AND WARRANTIES OF PURCHASER. The Purchaser hereby represents
and warrants to the Company that:

         (a) AUTHORIZATION. This Agreement constitutes the Purchaser's valid and
legally binding obligation, enforceable in accordance with its terms subject to
applicable bankruptcy, insolvency, and other similar laws affecting creditors'
rights, and rules of law governing specific performance, and the Purchaser has
full power and authority to enter into this Agreement.

         (b) REPRESENTATIONS NOT MADE BY COMPANY. The Purchaser represents and
affirms that none of the following information has ever been represented,
guaranteed or warranted to the Purchaser, expressly or by implication, by any
person: (i) the approximate or exact length of time that the Purchaser will be
required to remain a security holder of the Company; (ii) the percentage of
profit and/or amount of or type of consideration, profit or loss to be realized,
if any, as a result of an investment in the Company; or (iii) the possibility
that the past performance or experience on the part of the Company or any
affiliate, or any officer, director, employee or agent of the foregoing, might
in any way indicate or predict the results of ownership of any of the Securities
(as defined below) or the potential success of the Company's operations.

                                       1
<PAGE>

         (c) PURCHASE FOR OWN ACCOUNT. The Purchaser is the sole and true party
in interest, is acquiring the Note and the Common Stock that may be issuable in
connection therewith (collectively, the "SECURITIES") for its own account for
investment, is not purchasing the Securities for the benefit of any other
person, and has no present intention of holding or managing the Securities with
others or of selling, distributing or otherwise disposing of any portion of the
Securities. If an entity, the Purchaser is duly organized and in good standing
in its jurisdiction of organization and has its principal place of business in
the state set forth below the Purchaser's name on the signature page hereof. If
an individual, the Purchaser has his or her principal residence in the state set
forth below the Purchaser's name on the signature page hereof.

         (d) DISCLOSURE AND REVIEW OF INFORMATION. The Purchaser acknowledges
and represents that it has received and reviewed a copy of the Summary (as
defined below). In addition, the Purchaser acknowledges and represents that the
Purchaser has been given a reasonable opportunity to review all documents, books
and records of the Company pertaining to this investment, and has been supplied
with all additional information concerning the Company and the Securities that
has been requested by the Purchaser, has had a reasonable opportunity to ask
questions of and receive answers from the Company or its representatives
concerning this investment, and that all such questions have been answered to
the full satisfaction of the Purchaser. The Purchaser has received, and
acknowledges that it is receiving, no representations, written or oral, from the
Company or its officers, directors, employees, attorneys or agents other than
those contained in this Agreement and the Summary. In making its decision to
purchase the Securities, the Purchaser has relied solely upon its review of the
Summary, this Agreement, and independent investigations made by it or its
representatives without assistance of the Company.

         (e) SPECULATIVE INVESTMENT. The Purchaser understands that (i) it must
bear the economic risk of the investment in the Securities for an indefinite
period of time because the Securities have not been registered under the
Securities Act or qualified under the Securities Act of 1933, as amended (the
"SECURITIES ACT") or the securities laws of any other jurisdiction and (ii) its
investment in the Company represented by the Securities is highly speculative in
nature and is subject to a high degree of risk of loss in whole or in part. The
Purchaser has adequate means of providing for its current needs and possible
contingencies, and is able to bear the high degree of economic risk of this
investment, including, but not limited to, the possibility of the complete loss
of the Purchaser's entire investment and the limited transferability of the
Securities, which may make the liquidation of this investment impossible for the
indefinite future.

         (f) ACCREDITED INVESTOR STATUS. The Purchaser is an "accredited
investor" within the meaning of Rule 501(a) promulgated under the Securities
Act.

         (g) INVESTMENT EXPERIENCE. The Purchaser has experience as an investor
in securities and acknowledges that it can bear the economic risk of its
investment in the Securities. By reason of the Purchaser's business or financial
experience or the business or financial experience of its professional advisors
who are unaffiliated with and who are not compensated by the Company or any
affiliate or selling agent of the Company, directly or indirectly, the Purchaser
has the capacity to protect its own interests in connection with its purchase of
the Securities. The Purchaser has the financial capacity to bear the risk of
this investment and has received from the Company all information it has
requested and considers necessary or appropriate for deciding whether to
purchase the Securities. If an entity, the Purchaser has not been organized
solely for the purpose of acquiring the Securities.

         (h) RESTRICTED SECURITIES. The Purchaser understands that the
Securities are and will be "restricted securities" under the Securities Act
inasmuch as they are being acquired from the Company in a transaction not
involving a public offering, and that, under the Securities Act and applicable
regulations thereunder, such Securities may be resold without registration under
the Securities Act only in certain limited circumstances. In this connection,
the Purchaser represents that it is familiar with Rule 144 promulgated under the
Securities Act, as presently in effect, and understands the resale limitations
imposed thereby and by the Securities Act.

                                       2
<PAGE>

         (i) LEGENDS. The Purchaser understands that the certificates evidencing
the Common Stock will bear the legend set forth below, together with any other
legends required by applicable law:

                  THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES
                  ACT OF 1933, AS AMENDED, OR QUALIFIED UNDER APPLICABLE STATE
                  SECURITIES LAWS AND HAVE BEEN TAKEN FOR INVESTMENT PURPOSES
                  ONLY AND NOT WITH A VIEW TO OR FOR SALE IN CONNECTION WITH ANY
                  DISTRIBUTION THEREOF. THESE SECURITIES MAY NOT BE SOLD OR
                  OTHERWISE TRANSFERRED UNLESS A REGISTRATION STATEMENT UNDER
                  THE SECURITIES ACT OF 1933, AS AMENDED, IS IN EFFECT WITH
                  RESPECT TO SUCH SECURITIES OR THE COMPANY HAS RECEIVED AN
                  OPINION FROM LEGAL COUNSEL IN FORM AND SUBSTANCE SATISFACTORY
                  TO THE COMPANY PROVIDING THAT AN EXEMPTION FROM THE
                  REGISTRATION REQUIREMENTS OF THE SECURITIES ACT OF 1933, AS
                  AMENDED, IS AVAILABLE.

The legend set forth above shall be removed by the Company from any certificate
evidencing any of the Common Stock only (i) upon receipt by the Company of an
opinion from legal counsel in form and substance satisfactory to the Company
that such legend may be removed pursuant to Rule 144 promulgated under the
Securities Act, or (ii) upon confirmation that a registration statement under
the Securities Act is at that time in effect with respect to the legended Common
Stock and that such transfer will not jeopardize the exemption or exemptions
from registration pursuant to which the respective Common Stock was issued.

         (j) INDEMNIFICATION. The Purchaser acknowledges that it understands the
meaning and legal consequences of the representations and warranties set forth
in this Section 3 and that the Company and the officers, directors, employees
and agents of the Company have relied and will rely upon such representations
and warranties. The Purchaser hereby agrees to indemnify and hold harmless the
Company and each of its respective officers, directors, employees and agents
from and against any and all loss, claim, damage, liability, cost or expense
(including attorneys' fees) to which any such person may become subject due to
or arising out of: (i) any breach by the Purchaser of any such representation or
warranty; (ii) any inaccuracy in the representations and warranties hereinabove
set forth; (iii) the disposition of any of the Securities by the Purchaser
contrary to the foregoing representations and warranties; and (iv) any action,
suit, proceeding, demand, assessment or judgment incident to or based upon any
of the matters so indemnified against. Notwithstanding the foregoing, however,
no representation, warranty, acknowledgement or agreement made herein by the
Purchaser shall in any manner be deemed to constitute a waiver of any rights
granted to it under federal or state securities laws.

         (k) SUMMARY. For purposes of this Section 3, the "SUMMARY" shall mean

                  1.       The Company Business Plan dated 2004 (the "BUSINESS
                           PLAN"); and

                  2.       The Risk Factors / Capitalization Table delivered to
                           Purchaser with the Business Plan.

                                       3
<PAGE>

5. MISCELLANEOUS.

         (a) ENTIRE AGREEMENT. This Agreement and the Note contain a final and
complete integration of all prior expressions of the parties with respect to the
subject matter hereof and thereof and shall constitute the entire agreement
between the parties hereto with respect to the subject matter hereof and
thereof, superseding all prior oral and written or written understandings.

         (b) NOTICES. Any notice or other communication provided for under this
Agreement or the Note shall be in writing and shall be sent by (a) personal
delivery, (b) registered or certified mail (return receipt requested) or (c)
nationally recognized overnight courier service, to Company or to the Purchaser
at their respective addresses set forth on the signature pages hereto. A notice
or other communication shall be deemed to have been duly received (a) if
personally delivered, on the date of such delivery, (b) if mailed, on the date
set forth on the signed return receipt or (c) if delivered by overnight courier,
on the date of actual delivery (as evidenced by the receipt of the overnight
courier service).

         (c) BINDING EFFECT; ASSIGNABILITY. This Agreement shall be binding upon
and inure to the benefit of Company and Purchaser and their respective
successors and permitted assigns. Neither party may assign this Agreement or any
of its rights hereunder without the prior written consent of the other party
hereto.

         (d) EXECUTION IN COUNTERPARTS; SEVERABILITY. This Agreement may be
executed in counterparts, both of which when so executed shall be deemed to be
an original and both of which when taken together shall constitute one and the
same agreement. Signature pages transmitted via facsimile shall be deemed to be
original. In case any provision in or obligation under this Agreement shall be
invalid, illegal or unenforceable in any jurisdiction, the validity, legality
and enforceability of the remaining provisions or obligations, or of such
provision or obligation in any other jurisdiction, shall not in any way be
affected or impaired thereby.

         (e) AMENDMENT AND WAIVER. This Agreement and any provision hereof may
be changed, waived, discharged or terminated only by a written instrument signed
by both of the parties hereto.

         (f) GOVERNING LAW. This Agreement shall be governed by and construed in
accordance with the laws of the State of Nevada. The Company and the Purchaser
hereby irrevocably consent to the exclusive jurisdiction and venue of State and
federal courts within the city of Las Vegas, Nevada for any dispute arising out
of this Agreement.

         (g) SURVIVAL OF REPRESENTATIONS AND WARRANTIES. The representations and
warranties of the parties contained in or made pursuant to this Agreement shall
survive the execution and delivery of this Agreement.

                            [SIGNATURE PAGE FOLLOWS]

                                       4
<PAGE>

         IN WITNESS WHEREOF, the parties hereto have executed or caused this
Convertible Note Purchase Agreement to be executed by their duly authorized
representatives as of the date first written above.

"PURCHASER"

           MONITOR FINANCE LC                             LC
         ----------------------                      ---------------
         Print Name of Purchaser                     Type of Entity

         /S/ MILES PITCHER
         -----------------
         Signature of  Authorized Representative

         MANAGING MEMBER
         ---------------
         Capacity of Signatory
         (i.e. President, Manager, Member, etc)

         BY SIGNING ABOVE, THE PURCHASER REPRESENTS AND WARRANTS TO THE COMPANY
THAT IT HAS REVIEWED THE DEFINITION OF "ACCREDITED INVESTOR" ON EXHIBIT A
ATTACHED HERETO AND THAT PURCHASER IS AN ACCREDITED INVESTOR UNDER PART
_____8_______ OF THAT DEFINITION. _______________
                                  (INITIAL HERE)

(THIS CONVERTIBLE NOTE PURCHASE AGREEMENT IS NOT COMPLETE IF THE FOREGOING HAS
NOT BEEN COMPLETED AND INITIALED)

1.       Purchaser's state of principal place of business or principal
         residence: UTAH

2.       Purchaser's mailing address for all communications:
           3191 N. Canyon Road
           --------------------
           Provo, UT 84604
           --------------------
           --------------------
           --------------------

         ACCEPTED BY THE COMPANY AS OF MARCH 31, 2004:

         PENGE CORP.,
         a Nevada corporation

         By: /S/ KC HOLMES
             --------------------------
         KC Holmes, Its President

         Address:          1930 Village Center Circle, Suite 3-446
                           Las Vegas, Nevada  89134
                           Facsimile: (702) 562-3174

                                       5
<PAGE>

         IN WITNESS WHEREOF, the parties hereto have executed or caused this
Convertible Note Purchase Agreement to be executed by their duly authorized
representatives as of the date first written above.

"PURCHASER"

         FIRST CAPITAL FUNDING LC                           LC
         ---------------------------------------     --------------
         Print Name of Purchaser                     Type of Entity

         /S/ DEREK OLLIVIER
         ---------------------------------------
         Signature of  Authorized Representative

         MEMBER
         ---------------------------------------
         Capacity of Signatory
         (i.e. President, Manager, Member, etc)

         BY SIGNING ABOVE, THE PURCHASER REPRESENTS AND WARRANTS TO THE COMPANY
THAT IT HAS REVIEWED THE DEFINITION OF "ACCREDITED INVESTOR" ON EXHIBIT A
ATTACHED HERETO AND THAT PURCHASER IS AN ACCREDITED INVESTOR UNDER PART
___8_________ OF THAT DEFINITION. _______________
                                  (INITIAL HERE)

(THIS CONVERTIBLE NOTE PURCHASE AGREEMENT IS NOT COMPLETE IF THE FOREGOING HAS
NOT BEEN COMPLETED AND INITIALED)

1.       Purchaser's state of principal place of business or principal
         residence: UTAH

2.       Purchaser's mailing address for all communications:
           3191 N. Canyon
           --------------------
           Provo, UT 84604
           --------------------
           --------------------
           --------------------

         ACCEPTED BY THE COMPANY AS OF MARCH 31, 2004:

         PENGE CORP.,
         a Nevada corporation

         By: /S/ KC HOLMES
             ---------------------------------
         KC HOLMES, its PRESIDENT

         Address:          1930 Village Center Circle, Suite 3-446
                           Las Vegas, Nevada  89134
                           Facsimile: (702) 562-3174

                                       6
<PAGE>

                                    EXHIBIT A
                                    ---------

                        DEFINITION OF ACCREDITED INVESTOR

"ACCREDITED INVESTOR" shall mean any person who comes within any of the
following categories, or who the issuer reasonably believes comes within any of
the following categories, at the time of the sale of the securities to that
person:

     (1) Any bank as defined in section 3(a)(2) of the Securities Act, or any
savings and loan association or other institution as defined in section
3(a)(5)(A) of the Securities Act whether acting in its individual or fiduciary
capacity; any broker or dealer registered pursuant to section 15 of the
Securities Exchange Act of 1934; any insurance company as defined in section
2(13) of the Securities Act; any investment company registered under the
Investment Company Act of 1940 or a business development company as defined in
section 2(a)(48) of that Act; any Small Business Investment Company licensed by
the U.S. Small Business Administration under section 301(c) or (d) of the Small
Business Investment Act of 1958; any plan established and maintained by a state,
its political subdivisions, or any agency or instrumentality of a state or its
political subdivisions for the benefit of its employees, if such plan has total
assets in excess of $5,000,000; any employee benefit plan within the meaning of
the Employee retirement Income Security Act of 1974 if the investment decision
is made by a plan fiduciary, as defined in section 3(21) of such Act, which is
either a bank, savings and loan association, insurance company, or registered
investment adviser, or if the employee benefit plan has total assets in excess
of $5,000,000 or, if a self-directed plan, with investment decisions made solely
by persons that are accredited investors;

     (2) Any private business development company as defined in section
202(a)(22) of the Investment Advisers Act of 1940;

     (3) Any organization described in Section 501(c)(3) of the Internal Revenue
Code, corporation, Massachusetts or similar business trust, or partnership, not
formed for the specific purpose of acquiring the securities offered, with total
assets in excess of $5,000,000;

     (4) Any director, executive officer, or general partner of the issuers of
the securities being offered or sold, or any director, executive officer, or
general partner of a general partner of that issuer;

     (5) Any natural person whose individual net worth, or joint net worth with
that person's spouse, at the time of his purchase exceed $1,000,000;

     (6) Any natural person who had an individual income in excess of $200,000
in each of the two most recent years or joint income with that person's spouse
in excess of $300,000 in each of those years and has a reasonable expectation of
reaching the same income level in the current year;

     (7) Any trust, with total assets in excess of $5,000,000, not formed for
the specific purpose of acquiring the securities offered whose purchase is
directed by a sophisticated person as described in ss. 230.506(b)(2)(ii); and

     (8) Any entity in which all of the equity owners are accredited investors.

<PAGE>

                                    EXHIBIT B
                                    ---------

                              THE CONVERTIBLE NOTE

                       [Filed separately as Exhibit 10.11]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00076-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00076-of-00352.parquet"}]]