Document:

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                                                                    Exhibit 10.1

                                 LEASE AGREEMENT

     THIS LEASE, dated January 29, 1990, is made by and between The Prudential
Insurance Company of America, a New Jersey corporation (herein called "Lessor"),
and Unit Distribution of Utah, Inc., a Utah corporation (herein called
"Lessee").

                              W I T N E S S E T H:

     1.  Lease of Premises. Lessor hereby leases to Lessee and Lessee leases
from Lessor for the term, at the rental, and upon all of the conditions set
forth herein, that certain real property situated in 1051 South Industrial
Parkway, Clearfield, Utah 84015, and legally described on Exhibit A attached
hereto and made a part hereof, together with all improvements and appurtenances
belonging to or in any way pertaining to said property and non-exclusive use and
benefit of all guaranties, warranties, licenses and other rights which affect
the Premises (such as real estate, improvements and appurtenances hereinafter
sometimes referred to as the "Premises," and the building located thereon is
hereafter sometimes referred to as the "Building").

     2.  Term.

     2.1 Initial Term. The term of this Lease for which the Premises are hereby
demised shall commence on January 29, 1990, and end on December 31, 2003, unless
sooner terminated as provided herein.

     2.2 Option to Renew. Provided this Lease is in full force and effect and
provided further that Lessee is not then in default under this Lease, the Lessor
hereby grants to Lessee the option to extend the term of this Lease for an
additional three (3)-year period (the "Option Period") commencing on the day
following the end of the initial Lease term on the same terms and conditions set
forth in this Lease except as set forth in the following sentence. Subject to
adjustment as provided in Section 3.2 below. Subject to adjustment as provided
in Section 3.2 below, the Basic Rent during the extension period shall equal the
lesser of the prevailing market rate on the day after the date the initial Lease
term ends or the Basic Rent at the commencement of this Lease increased by five
(5) percent per annum. In no event, however, shall the rent during the Option
Period be less than the existing rental rate immediately prior to the
commencement of such Option Period. Lessee shall give Lessor not less than nine
(9) months prior written notice of the exercise of the foregoing option, time
being of the essence. If not so exercised, Lessee's option under this paragraph
shall be null and void. For a period of fifteen (15) days after Lessee gives
notice of its election to exercise its option, Lessee and Lessor shall attempt
to agree on the prevailing market rate. If the parties are unable to agree on
such rate within such fifteen (15) day period, Lessor and Lessee shall within
fifteen (15) days thereafter agree on an independent appraiser, who shall be a
member of a nationally recognized appraisal firm, to determine the prevailing
market rate. On the date the appraiser is appointed, each party shall
simultaneously submit to the appraiser its proposed prevailing market rate, and
the appraiser shall within thirty (30) days of his appointment determine whether
Lessor's or Lessee's proposed rate is closer to the actual prevailing market
rate. The proposed rate which the appraiser determines is closer to

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the prevailing market rate shall then be the rental rate during the Option
Period. In no event shall the appraiser have the right to compromise between the
proposed rates or choose some other rate. The appraiser may examine the Premises
and any other information which the appraiser deems applicable to the
determination of the prevailing market rate, and the parties may submit any
additional information which is applicable to the determination. If the parties
hereto cannot agree on the appraiser within fifteen (15) days, either party may
thereafter apply to the American Arbitration Association for the appointment of
the appraiser. The decision of the appraiser shall be final and binding upon the
parties hereto, except that Lessee may revoke its election to exercise its
option by notice to Lessor within thirty (30) days of the decision by the
appraiser if Lessee disagrees with the decision of the appraiser, in which case
Lessee's option shall be null and void. All costs and expenses of the appraiser
shall be paid by the losing party in the appraisal.

     3.  Rent.

     3.1 Basic Rent. Lessee shall pay annually to Lessor as rent for the
Premises hereof EIGHT HUNDRED EIGHTY-FIVE THOUSAND SIX HUNDRED DOLLARS
($885,600.00) in equal monthly installments of SEVENTY-THREE THOUSAND EIGHT
HUNDRED DOLLARS ($73,800.00) in advance, on the first day of each calendar month
(the "Basic Rent"). Basic Rent for any period during the term hereof which is
for less than one month shall be a pro rata portion of the monthly installment.
Basic Rent shall be payable in lawful money of the United States to Lessor at
the address stated herein or to such other persons or at such other places as
Lessor may designate in writing. Basic Rent shall be payable without deduction
or offset except as set forth in Section 5.1 below.

     3.2 CPI Adjustment. Commencing June 1, 1990, and on each annual anniversary
date thereafter (each such date being referred to herein as an "Adjustment
Date"), the Basic Rent for the original term of this Lease shall be increased by
the percentage increase in the "Revised Consumer Price Index for all Urban
Consumers - U.S. City Average (1982-1984 = 100)" published by the Bureau of
Labor Statistics of the United States Department of Labor (the "CPI") for the
twelve-month period immediately preceding such Adjustment Date. Notwithstanding
the foregoing, in no event shall the Basic Rent during the original term of this
Lease increase on any Adjustment Date by more than four (4) percent of the Basic
Rent payable immediately prior to such Adjustment Date. The Basic Rent for any
Option Period shall be adjusted on the first year anniversary of the
commencement of the Option Period and on each annual anniversary date thereafter
(each such date being referred to herein as an "Option Period Adjustment Date")
by the lesser of four (4) percent or the percentage increase in the CPI for the
twelve-month period immediately preceding such Option Period Adjustment Date.
The Basic Rent payable hereunder shall never be less than the Basic Rent set
forth in Section 3.1 as a result of decreases in the Consumer Price Index. If on
any Adjustment Date or any Option Period Adjustment Date, the change in the CPI
is not available, Lessee shall continue to pay rent at the existing rate until
such change is available, and shall pay Lessor any additional amounts due on the
first rental payment date after such changes become available.

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     3.3 Interest on Late Payments. If any Basic Rent to Lessor due hereunder is
not paid within two (2) business days of the due date, Lessee shall pay interest
to Lessor on such rent at a rate of three (3) percent over the base rate on
corporate loans at large U.S. money center commercial banks, as most recently
published by the Wall Street Journal, Midwest Edition, from time to time (the
"Default Rate").

     3.4 Additional Rent. Except as set forth herein, the, intention of this
Lease is that it is a "triple net" lease and that the rent payable hereunder
shall be absolutely net to Lessor; and, except as set forth herein, Lessee shall
pay when due hereunder all insurance, taxes, utility costs and maintenance
expenses accrued during the Lease term (hereinafter called "additional rent").

     4.  Use of Premises, etc.

     4.1 Use. Lessee covenants and agrees that the Premises are to be used and
occupied by Lessee for the purpose of warehousing and offices or any other use
not inconsistent with such uses. Except as may be otherwise set forth in Section
4.5 below regarding environmental matters, Lessee shall not use nor permit any
sublessee or occupant to use the Premises for any unlawful purpose, violate any
applicable zoning or building regulations or restrictions, suffer or permit any
condition which may make void or voidable any insurance then in force with
respect to the Premises or render unobtainable any coverages required hereunder
or materially increase any insurance after the end of the Lease term (except due
solely to vacation by Lessee) or otherwise suffer or permit any condition to
occur which will injure the reputation of the Premises or which would create
offensive or noxious odors, gases, noise or smoke or constitute a nuisance.
Lessee shall not use or permit the use of the Premises in any way that will
create waste.

     4.2 Compliance with Law. Except as may be otherwise set forth in Section
4.5 below regarding environmental matters, Lessee shall at all times during the
term hereof, at Lessee's expense, promptly comply and cause all sublessees and
occupants to comply with all statutes, ordinances, rules, regulations, orders,
and requirements of public authorities in effect on the commencement of this
Lease, including any extension thereof, applicable to or regulating Lessee's use
of the Premises (as opposed to those applicable to or regulating the Premises
itself which shall be governed by Section 5.1 below). Lessee, at its sole cost
and expense, after notice to Lessor, may contest, by appropriate proceedings
prosecuted diligently and in good faith, the validity, or applicability of any
law or requirement of any public authority, provided that (a) Lessor shall not
be subject to criminal penalty or to prosecution for a crime, or any other fine
or charge, nor shall the Premises or any part thereof or the Building, or any
part thereof, be subject to being condemned or vacated, nor shall the Premises
or Building, or any part thereof, be subjected to any lien or encumbrance in
excess of $25,000.00 (which amount shall be increased each January lst by the
increase in the CPI over the preceding year), by reason of non-compliance or
otherwise by reason of such contest unless adequate security is given as set
forth below; (b) before the commencement of such contest, if such contest may
result in a lien or other encumbrance in excess of $25,000.00 (which amount
shall be increased each January 1st by the increase in the CPI over the
preceding year), Lessee shall furnish to Lessor a cash deposit or other security
in amount, form and substance satisfactory to Lessor and shall indemnify Lessor
against the cost of such contest and against all liability for damages,
interest, penalties and

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expenses (including reasonable attorneys' fees and expenses), resulting from or
incurred in connection with such contest or non-compliance during such contest;
(c) such non-compliance or contest shall not constitute or result in any
violation of any mortgage of the Lessor's interest in the Premises, or if any
such mortgage shall permit such noncompliance or contest on condition of the
taking of action or furnishing of security by Lessor, such action shall be taken
and such security shall be furnished at the expense of Lessee; (d) such
non-compliance or contest shall not prevent Lessee from obtaining any and all
permits and licenses necessary in connection with the operation of the Building;
and (e) Lessee shall keep Lessor advised as to the status of such proceedings.
Without limiting the application of the above, Lessor shall be deemed subject to
prosecution for a crime if Lessor, or any officer, director, partner,
shareholder or employee of Lessor, as an individual, is charged with a crime of
any kind or degree whatsoever, whether by service of a summons or otherwise,
unless such charge is withdrawn before Lessor or such officer, director,
partner, shareholder or employee of Lessor (as the case may be) is required to
plead or answer thereto.

     4.3 Acceptance of Premises. Lessee hereby accepts the Premises subject to
all currently applicable zoning, municipal, county and state laws, ordinances
and regulations governing and regulating the use of the Premises and subject to
all easements and other exceptions to title existing as of the date of the
commencement of this Lease and accepts this Lease subject thereto and to all
matters disclosed thereby. Lessee, or an affiliate of Lessee, was the previous
owner of the Premises and is familiar with the Premises; and, therefore, Lessee
accepts the Premises "as is," i.e., in its current condition with no
representations or warranties.

     4.4 Utilities. Lessor does not guarantee that any utility services will be
available to the Premises, and no interruption in utility service will cause an
abatement in the rent due hereunder. No interruption in utility service will be
deemed a constructive eviction of Lessee or impose any liability on Lessor
except for interruption of utility service caused by actions of Lessor.

     4.5 Compliance with Environmental Laws. Subject to the provisions set forth
below, including, without limitation, Section 4.5(i) below, Lessee covenants and
agrees to be responsible for damage to the Premises resulting from violations of
Environmental Laws (as defined below) or any other violation of this Section 4.5
to the extent resulting from Lessee's actions or the actions of Lessee's
sublessees or occupants of the Premises during the term of this Lease. (In no
event, however, shall Lessee be responsible to Lessor for environmental
conditions caused by parties other than Lessee or Lessee's sublessees,
occupants, agents, contractors, employees or invitees, nor shall Lessee be
obligated to Lessor to improve, clean up or remediate the Premises to a lesser
level of contamination than existed on the Premises at the commencement of this
Lease.) In this context throughout the term of the Lease, Lessee, at its sole
cost, shall perform and abide by the following obligations:

         (a) Lessee's activities shall comply, and Lessee shall cause any
activities by any sublessee or occupant to comply, at all times during the term
of the Lease, with all federal, state, local or other governmental body's
environmental or pollution-related laws, statutes, rules, regulations,
ordinances or orders (including judicial interpretations thereof) (hereinafter

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"Environmental Laws"), including, without limitation, all such Environmental
Laws concerning the discovery, discharge, release, or cleanup of any "Hazardous
Substance" or "Toxic Substance" for which the Lessee is in any way responsible
under the Comprehensive Environmental Response Compensation and Liability Act,
42 U.S.C. (S) 9601 et seq. ("CERCLA"), the Hazardous Materials Transportation
Act, 49 U.S.C. (S) 1802, the Resource Conservation and Recovery Act, 42 U.S.C.
(S) 6901 et seq. ("RCRA"), the Toxic Substance Control Act of 1976, as amended,
15 U.S.C. (S) 2601 et seq., and so-called Superfund or Superlien law, or any
similar federal, state or local law.

          (b) Lessee shall obtain, or cause any sublessee or occupant to obtain,
all necessary permits, licenses, certifications and other necessary
authorizations (hereinafter "Permits") required by any federal, state, local or
other governmental body's Environmental Laws in connection with Lessee's or any
sublessee's or occupant's activities. Lessee shall comply at all times with the
terms and conditions of such Permits. Lessee shall not use the Premises, or
request a permit to use the Premises, as a treatment, storage or disposal
facility under RCRA or any similar federal, state or local Environmental Law,
without the prior written consent of Lessor (except, subject to the provisions
in Paragraph (c) immediately below, that the Premises may be used as a storage
facility to the extent such activity is ancillary to Lessee's business). Lessee
shall not install any underground storage tanks at the Premises without the
prior written consent of Lessor, and if such consent is granted, Lessee shall be
fully responsible for compliance with all technical and financial responsibility
requirements under any Environmental Law.

          (c) If Lessor determines that any activity on the Premises presents a
risk of serious environmental harm to the Premises which would require
substantial cleanup or remediation expenses, Lessor shall provide notice to
Lessee of such determination and the details thereof. Lessee shall have thirty
(30) days from receipt of this notice to provide written notice to Lessor of its
decision to either terminate the activity or provide to Lessor the guarantee of
GATX Corporation for the cost of cleanup of any environmental damage caused by
the specified activity. Lessee shall have sixty (60) days from the date of its
notice to Lessor to comply with Lessee's decision in the notice to Lessor.

          (d) For purposes of this Lease, the term "Hazardous Substances" shall
mean the following: (i) any "hazardous substance" defined as such in (or for
purposes of) CERCLA, as may be amended from time to time, or any so-called
"superfund" or "superlien" law, including the judicial interpretation thereof;
(ii) any "pollutant or contaminant" as defined in 42 U.S.C.A. (S) 9601(33);
(iii) any material defined as "hazardous waste" pursuant to 40 C.F.R. Part 260;
(iv) any petroleum or petroleum products, including crude oil or any fraction
thereof; (v) natural gas, natural gas liquids, liquified natural gas, or
synthetic gas usable for fuel; (vi) any "hazardous chemical" as defined pursuant
to 29 C.F.R. Part 1910; and (vii) any other substance, regardless of physical
form, that is subject to any other law or other present or future requirement of
any governmental authority regulating, relating to, or imposing obligations,
liability, or standards of conduct concerning the protection of the environment,
human health, plant life, animal life, natural resources, or property from the
presence in the environment of hazardous substances, from whatever source.

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          (e) During the term of this Lease, Lessee shall use its best efforts
not to cause or permit to exist, as a result of an intentional or unintentional
action or omission on its part, or on the part of any sublessee or other user or
occupant of the Premises, a releasing, spilling, leaking, pumping, emitting,
pouring, emptying or dumping (hereinafter "Release") of any Hazardous Substance
into the environment, including, without limitation, any surface or subsurface
waters (including groundwater), ambient air, or onto any land surface or
subsurface strata. Lessee shall give immediate oral and written notice of any
Releases of Hazardous Substances to Lessor which release also requires
notification to any governmental agency, detailing all relevant facts and
circumstances. All Releases of Hazardous Substances during the term of this
Lease by Lessee or any sublessee or other user or occupant of the Premises will
be promptly cleaned up or remedied to the satisfaction of the federal, state, or
local regulatory agency or official having jurisdiction, and all costs and
expenses associated with such cleanup or remediation shall be borne solely by
the Lessee.

          (f) Lessee shall at all times keep the Premises free of any lien or
encumbrance against the Premises arising out of any environmental law, statute,
ordinance, regulation, rules, judgments or orders (hereinafter "Environmental
Lien") and resulting from any activity of Lessee or Lessee's sublessees or
occupants of the Premises. In the event that an Environmental Lien caused by
Lessee or Lessee's sublessees or occupants of the Premises is filed against the
Premises, within thirty (30) days from the date that Lessee is given notice that
the Environmental Lien has been filed against the Premises, or within such
shorter period of time in the event that the governmental authority has
commenced steps to cause the Premises to be sold pursuant to the lien, then
Lessee shall either (i) pay the claim and remove the lien from the Premises, or
(ii) furnish (a) a bond satisfactory to Lessor in the amount of the claim out of
which the lien arises, (b) a cash deposit in the amount of the claim out of
which the lien arises, or (c) other security satisfactory to Lessor in an amount
sufficient to discharge the claim out of which the lien arises. If any
Environmental Lien is filed against the Premises which is not caused by Lessee
or Lessee's sublessees or occupants of the Premises, Lessee shall promptly
notify Lessor upon Lessee's obtaining knowledge of such lien.

          (g) Lessee shall promptly provide to Lessor true and complete copies
of any and all submissions, filings, applications, claims, citations, notices
and orders made by and between the Lessee and the United States Environmental
Protection Agency, the United States Occupational Safety and Health
Administration, or any other federal, state or local authority pursuant to any
Environmental Laws or any laws relating to occupational safety and health. Upon
Lessor's written request, Lessee shall also promptly provide to Lessor all other
documents, reports, directions and correspondence made by and between the Lessee
and the United States Environmental Protection Agency, the United States
Occupational Safety and Health Administration, or any other federal, state or
local authority pursuant to any Environmental Laws or any laws relating to
occupational safety and health, true and complete copies of any environmental
audits, sampling plans, sampling results, remedial investigations, feasibility
studies, or any other reports or findings dealing with the Lessee's compliance
with any Environmental Laws, or with any Releases of Hazardous Substances on the
Premises.

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          (h) The failure of Lessee to comply with any of the provisions of this
Lease relating to environmental matters which is not cured within the applicable
grace period set forth in Section 11 shall constitute a default by Lessee under
Section 11 of this Lease, entitling Lessor to all of the rights and remedies
provided therefor.

          (i) Notwithstanding anything to the contrary in this Lease, in no
event shall Lessee be obligated to Lessor to comply with Environmental Laws
except as expressly set forth in this Section 4.5. Moreover, in the event Lessee
is required to cleanup or remediate any Release of Hazardous Substance pursuant
to this Section 4.5, such cleanup or remediation need only be performed to a
level needed to comply with the Environmental Laws in effect on the date the
Release occurred; but Lessee shall not be responsible to Lessor with respect to
any Release for violations of Environmental Laws which are enacted after the
date the Release occurs.

          (j) Lessee hereby agrees to defend, indemnify and hold Lessor and its
successors and assigns harmless from and against any and all claims, proceedings
under CERCLA, RCRA, or any other so-called "Superfund" or "Superlien" law, law
suits, administrative proceedings, liabilities, losses, demands, fines,
penalties, judgments, orders, notice letters, damages (including consequential
damages), costs and expenses, foreseen or unforeseen (including, without
limitation, cleanup costs and reasonable attorneys' fees, engineers' fees and
consultants' fees arising by reason of any of the aforesaid or an action against
the Lessor under this indemnity), arising from, out of or by reason of any
breach of this Section occurring during the term of this Lease. This
indemnification and the terms and provisions of this Section 4.5 shall survive
the expiration or sooner termination of this Lease.

          (k) All reviews and approvals by Lessor pursuant to this Section 4.5
are for Lessor's benefit, and in no event shall Lessor have any liability to
Lessee for errors or omissions in connection with Lessor's review or approval of
any documents or other matters submitted by Lessee to Lessor for review or
approval.

     5.   Maintenance, Repairs and Alterations.

     5.1  Lessee's Obligations.

          (a) Lessee covenants throughout the term of the Lease, at Lessee's
sole cost and expense (except as set forth below), to (a) except as otherwise
specifically set forth in Section 4.5 above regarding environmental matters,
maintain the Premises, including any parking areas which constitute a part of
the Premises, in compliance with building, zoning, fire codes, and with all
other applicable laws, orders, ordinances, rules, regulations, requirements of
all federal, state and municipal governments or appropriate bodies, departments,
commissions and boards thereof currently in effect or hereafter in effect,
subject to Lessee's right to contest such matters in accordance with the
provisions of Section 4.2 above; (b) take good care of the Premises, including
the buildings and improvements now or at any time erected thereon, the
mechanical systems (including, without limitation, HVAC system, electrical
system, overhead doors, the grounds and all parking areas), equipment, fixtures,
motors and machinery thereof, fences and vaults, if any, and to keep the
Premises in the same order and condition as they are as of the date hereof,
subject to ordinary wear and tear; (c) make, within a reasonable time, all

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reasonably necessary repairs, interior and exterior, structural and
nonstructural, ordinary as well as extraordinary, foreseen as well as
unforeseen, including repairs necessitated by the acts of sublessees or
customers of Lessee; (d) comply with all covenants and restrictions applicable
to the Premises; (e) maintain all off-site facilities, the upkeep of which is
the obligation of the owner of the Premises; and (f) Lessee shall replace the
roof of the Premises no later than December 31, 1996 subject to provisions
regarding amortization of Approved Capital Expenditures set forth in Section
5.1(b) below.

          (b) If any Approved Capital Expenditures (as defined below) are
required during the Lease term because of Lessee's obligations set forth in (a)
through (e) above, the Approved Capital Expenditure will be amortized over the
useful life thereof. The useful life shall be determined in accordance with
generally accepted accounting principles ("GAAP"), with Lessee paying for the
portion of such Approved Capital Expenditure which will be amortized over the
Lease term and Lessor paying for the portion of such Approved Capital
Expenditure which will not be amortized during the Lease term. (If this Lease
gives Lessee an option to extend the Lease term and Lessee exercises such
option, Lessee shall reimburse Lessor as additional rent hereunder on the first
day of each lease year during such extension period for the portion of the
Approved Capital Expenditure allocable to such year which has been paid by
Lessor and amortized as set forth in the preceding sentence.) Lessee and Lessor
shall each pay their proportionate share of the Approved Capital Expenditure
directly to the contractor making such repair or improvement when payment is due
under the contractor's invoice. Payments of such proportionate share by Lessee
shall be deemed additional rent hereunder. If either party does not pay its
share of the Approved Capital Expenditure when due (for purposes of this Section
4.2, the "defaulting party"), the other party (for purposes of this Section 4.2,
the "paying party") may pay the defaulting party's share of the Approved Capital
Expenditure. In such case, the defaulting party shall pay to the paying party on
demand the amount the paying party has paid on behalf of the defaulting party
plus interest at the Default Rate from the date paid by the paying party to the
date reimbursed by the defaulting party. If Lessor fails to pay its share of any
Approved Capital Expenditure when due hereunder and Lessee pays such share,
Lessee shall be entitled to offset such amount against the Basic Rent due
hereunder. For purposes of this Lease, "Capital Expenditures" shall mean
expenditures for repairs or improvements costing in excess of $50,000 (which
amount shall be increased each January lst by the increase in the CPI over the
preceding year) which are capitalized in accordance with GAAP); and "Approved
Capital Expenditure" shall mean any Capital Expenditure approved by Lessor or
the third-party architect in accordance with the procedures set forth below in
this Section 5.1 or reasonable Capital Expenditures incurred in the event of an
emergency. Lessor and Lessee shall meet annually to review the condition of the
Premises and to determine whether any Capital Expenditures will be needed within
the following year and the reasonable cost of such Capital Expenditures. Lessor
or Lessee may also notify each other during the year if either one believes a
Capital Expenditure is necessary which was not addressed during the annual
meeting, except in the case of an emergency (in which case the Capital
Expenditure may be made without approval, but Lessee shall notify Lessor thereof
as soon as reasonably possible after incurring the same). Lessor shall not
unreasonably withhold its approval of any Capital Expenditure or the cost
thereof. If the cost of the Capital Expenditure will exceed the amount approved
by Lessor by more than fifty percent (50%) in the case of Capital Expenditures
of less than $100,000 or twenty-five percent (25%) in

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the case of Capital Expenditures costing $100,000 or more, Lessee shall obtain
Lessor's approval of the increased cost, which approval shall not be
unreasonably withheld. If Lessor and Lessee disagree on (i) whether an
expenditure is a Capital Expenditure, (ii) whether a Capital Expenditure is
needed, (iii) the reasonable cost of the Capital Expenditure, or (iv) on the
useful life of the Capital Expenditure, they shall agree, in the case of (ii)
and (iii) above, upon a qualified architect skilled in the area of required
expertise, and, in the case of (i) and (iv) above, an accountant from a
nationally recognized accounting firm. Such architect or accountant shall make
the decision within thirty (30) days, which decision shall be final and binding
on the parties hereto. If the parties hereto cannot agree on a qualified
architect or accountant within thirty (30) days, either party may apply to the
American Arbitration Association for the appointment of such architect or
accountant. Notwithstanding the provisions set forth above, Lessor and Lessee
hereby agree and stipulate that the useful life for any Capital Expenditure for
a roof replacement, in whole or in part, shall be 15 years. For any Capital
Expenditures, Lessor shall have the right to approve all plans and
specifications, any contractors, architects and engineers, any architectural and
engineering contracts, any general contracts (including, if it is an Approved
Capital Expenditure, the pricing thereunder), all insurance policies and
coverages relating to such work, and all governmental permits, licenses and
approvals, which approval by Lessor shall not be unreasonably withheld, and
shall be given or withheld in the time periods and in accordance with the
procedures set forth in Section 5.4(a). Notwithstanding the foregoing, Lessor's
review of the plans and specifications, contracts, insurance, governmental
licenses, permits and approvals, and contractors, architects and engineers are
only for Lessor's benefit, and Lessor assumes no liability for any errors or
omissions in connection with its review and approval thereof.

     5.2 Surrender. On the last day of the term or extended term hereof, or on
any sooner termination, Lessee shall surrender the Premises to Lessor in the
same condition as when received (with all repairs, if any, completed which were
required to be completed under that certain Purchase and Sale Agreement, which
is being entered into concurrently herewith by Lessor, GATX Corporation and Unit
Development Corporation and any repairs necessitated by the acts of sublessees
or customers of Lessee), broom clean, except for ordinary wear and tear,
alterations which Lessee is permitted under this Lease, environmental matters to
the extent Lessee is not responsible therefor pursuant to Section 4.5 above,
and, to the extent Lessee is not required to repair hereunder, damage by fire or
other casualty. Lessee shall repair any damage to the Premises occasioned by the
removal of Lessee's trade fixtures, furnishings and equipment, which repair
shall include, but not be limited to, the patching and filling of holes and
repair of any structural damage.

     5.3 Lessor's Rights. If Lessee fails to perform Lessee's obligations under
this Section 5, Lessor may at its option (but shall not be required to) enter
upon the Premises, after ten (10) days' prior written notice to Lessee (except
for cases of emergency or imminent threat of damage to person or property where
such notice will not be required) and put the same in good order, condition and
repair, which shall include the right to cause the Premises to comply with all
requirements set forth in Paragraph 5.1 hereinabove, and the cost thereof shall
become due and payable to Lessor together with Lessee's next rental installment;
provided, however, if Lessee commences to perform such obligations within such
ten (10) day period and diligently pursues

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such performance thereafter and completes the same within a reasonable time,
subject to force majeure (defined for purposes of this Lease as events outside
the reasonable control of Lessee), Lessor shall not have any right to perform
such obligations.

     5.4 Alterations.

     (a) Lessee shall not, without Lessor's prior written consent, make any
structural alterations to the Premises or any alterations costing in excess of
$100,000 (which amount shall be increased each January l/st/ by the increase in
the CPI over the preceding year); provided, however, such consent shall not be
unreasonably withheld unless such alterations adversely affect the Building's
mechanical systems or affect the structural walls, roofs or other load-bearing
supports on the Premises. Without limiting the foregoing, the erecting of inside
partitions, walls, offices and mounting of trade fixtures is considered
nonstructural and therefore does not require Lessor's approval so long as these
alterations do not exceed $100,000 per alteration (which amount shall be
increased each January 1st by the increase in the CPI over the preceding year).
Should Lessee make any alterations requiring Lessor's approval without approval
having been given, Lessor may require Lessee to remove any or all of the same
upon demand. If Lessee desires to make any alterations requiring Lessor's
approval, Lessee shall so notify Lessor and submit to Lessor plans and
specifications for such alterations and reasonable evidence of the availability
of funds to pay for such alterations. Lessor shall have twenty (20) days to
respond to such submissions; and if Lessor fails to respond to such submissions
within such twenty (20) day period, they shall be deemed approved, provided that
Lessor's reasonable request for more information shall not be deemed a failure
to respond. Upon Lessor's approval of the plans and specifications, Lessee will
obtain workmen's compensation and other insurance (including, without
limitation, builder's risk insurance) necessary in connection with such work, in
amounts reasonably satisfactory to Lessor, and all necessary governmental
licenses, permits and approvals, and Lessee shall provide Lessor with evidence
of such before the work commences. Lessor shall also have the right to
reasonably approve the contractor for any alteration which requires Lessor's
consent. Notwithstanding the foregoing, Lessor's review of the plans and
specifications, insurance, governmental licenses, permits and approvals are only
for Lessor's benefit, and Lessor assumes no liability for any errors or
omissions of Lessor in connection with any such review and approval. All
alterations shall be done in a workmanlike manner using materials comparable in
quality to those found on the Premises and shall comply with all applicable
governmental laws, ordinances, regulations and terms and conditions of all
licenses and permits for such work.

     (b) Lessee has no authority or power to cause or permit any lien or
encumbrance of any kind whatsoever, whether created by act of Lessee, operation
of law or otherwise, to attach to or be placed upon Lessor's title or interest
in the Building or Premises, and any and all liens and encumbrances created by
Lessee shall attach to Lessee's interest only. Except as set forth below, Lessee
covenants and agrees not to suffer or permit any lien of mechanics, materialmen,
laborers or any similar lien to be placed against the Building or the Premises
with respect to work or services claimed to have been performed for, or
materials claimed to have been furnished to, Lessee or to the Premises by
contractors retained by Lessee, or any sublessee or occupant of the Premises;
and in case of any such lien attaching, or claim

                                       10

<PAGE>

thereof being asserted, Lessee covenants and agrees within thirty (30) days of
learning thereof to cause it to be released and removed of record, if it is
possible to do so without satisfying the lien. In the event such lien cannot be
released and removed through appropriate proceedings within such thirty (30) day
period, Lessee shall cause such lien to be bonded or insured over by a title
insurer or surety reasonably satisfactory to Lessor, or provide Lessor with a
letter of credit, certificate of deposit or other comparable security in the
amount of 125% of the amount of such lien (provided, however, that Lessee shall
not be required to post such bond or other security for liens of less than
$25,000.00 [which amount shall be increased each January l/st/ by the increase
in the CPI over the preceding year] in amount). Lessee thereafter shall be
entitled to contest such lien as long as Lessee shall contest such lien
diligently by appropriate proceedings (provided such contest shall not cause any
sale, foreclosure or forfeiture of the Premises by reason of such nonpayment)
and cause the same to be removed or discharged prior to entry of any order
foreclosing the same. In the event that any such lien is not so released and
removed, bonded over or secured against, or in the event Lessee shall fail to
contest such lien as required by the preceding sentence, Lessor may, upon notice
to Lessee, take all action necessary to release and remove such lien and avail
itself of any security therefor provided by Lessee (without any duty to
investigate the validity thereof), and Lessee shall promptly upon notice
reimburse Lessor for all sums, costs and expenses (including, without
limitation, reasonable attorneys' fees and expenses) incurred by Lessor (and not
covered by insurance, bond or other security provided by Lessee) in connection
with the release and removal of such lien.

          (c) Lessee shall be required to remove all alterations which Lessee
has constructed during the Lease term which cost in excess of $25,000 to remove
at the time the alteration is to be removed (which amount shall be increased
each January l/st/ after the date hereof by the increase in the CPI over the
preceding year). Notwithstanding the preceding sentence, prior to making any
alterations Lessee shall have the right to request that Lessor decide whether
Lessee shall be required to remove such alterations at the end of the Lease
term; and Lessee will not be required to remove such alterations unless Lessor
notifies Lessee, at the time Lessee makes such request, that Lessee will be
required to remove the alteration at the end of the Lease term. All other
alterations made under this Lease and not removed by Lessee shall become the
property of Lessor and shall remain upon and be surrendered with the Premises at
the expiration of the term of this Lease unless Lessee shall elect to remove any
such alterations and restore the Premises to its condition prior to the making
of such alterations, provided, however, that Lessee may not remove any
structural alterations, or alterations required to keep the Premises in
compliance with applicable laws without the Lessor's prior written consent in
its sole discretion.

     5.5  Rail Spur Agreements. Lessee covenants to maintain, comply with and
renew, when necessary, any rail spur agreements with respect to the Premises,
provided that if Lessee desires to cancel any such agreement, Lessee may do so
upon thirty (30) days notice to Lessor if (i) the cost of maintaining such
agreement goes up by 100% or more from the date hereof, (ii) Lessee is not then
using the rail spur, and (iii) Lessee is not required to have rail service
available to the Premises under any sublease in effect with respect to the
Premises, unless Lessor elects within such thirty (30) day period to pay all
charges accruing under such agreement after such thirty (30) day period. If
Lessee at any time thereafter desires to use such rail service, Lessee

                                       11

<PAGE>

shall so notify Lessor in writing, and Lessee shall thereupon resume
responsibility for maintaining, complying with and renewing such agreements
(subject to the foregoing provisions of this Section 5.5). In addition, Lessee
shall pay Lessor fifty percent (50%) of all charges incurred by Lessor pursuant
to the preceding sentence from the date of Lessor's assumption of such
agreements through the date of Lessee's notice.

     6.  Insurance; Indemnity.

     6.1 Insurance. Lessee shall obtain and pay for all insurance required
hereunder, subject to being commercially available.

     6.2 Liability Insurance. Lessee shall obtain and keep in force during the
term of this Lease a policy of commercial general liability insurance, including
contractual liability insurance, insuring Lessee against liability arising out
of the ownership, use, occupancy or maintenance of the Premises and all areas
appurtenant thereto. Such insurance shall be in an amount of not less than
$1,000,000 for injury to or death of one person in any one accident or
occurrence and in an amount of not less than $5,000,000 for injury to or death
of more than one person in any one accident or occurrence. Such insurance shall
further insure Lessee against liability for property damage of at least
$5,000,000 per accident or occurrence, or such insurance can be obtained with a
combined single limit per occurrence, subject to being commercially available,
of $10,000,000 per location without reduction for events at other locations. All
such insurance policies may provide for commercially reasonable deductibles,
which, as long as such insurance is part of the GATX Corporation insurance
program (with GATX Corporation being responsible for payment of such
deductibles) may be up to $2,000,000. Such insurance policies shall name Lessor
and Lessor's mortgagee as additional insured's and shall contain a clause in
favor of Lessor and Lessor's mortgagee stating that the policy not be cancelled
without thirty (30) days prior notice to Lessor. The insurance limits set forth
herein shall be adjusted from time to time in accordance with the limits
customarily maintained in the industry for similar properties in similar
locations; provided such insurance limits shall never be less than those set
forth herein. If Lessee shall fail to procure and maintain said insurance,
Lessor may, but shall not be required to, procure and maintain the same upon
notice to Lessee, but at the expense of Lessee, which expense shall be paid upon
demand.

     6.3 Property Insurance. Lessee shall obtain and keep in force during the
term of this Lease a policy or policies of insurance covering loss or damage to
the Building, excluding footings, foundations and excavations, if any, in an
amount, or with an agreed amount clause, sufficient to prevent Lessee or Lessor
from becoming co-insurers under provisions of applicable policies of insurance,
but in no event less than 80% (subject to periodic review and reasonable
approval by Lessor) of the full replacement value thereof, but excluding
foundations, against all perils included within the classification of "all risk
coverage" or special coverage. All such insurance policies may provide for
commercially reasonable deductibles which, as long as such insurance is part of
the GATX Corporation insurance program (with GATX Corporation being responsible
for payment of such deductibles), may be up to $500,000. If a specified perils
policy applies, then the policy or policies of insurance maintained shall
include or a separate policy shall provide "difference in conditions" through
the endorsement or the separate policy;

                                       12

<PAGE>

provided, however, Lessee shall not be required to obtain earthquake insurance
in amounts in excess of those maintained in the industry on similar properties
in similar locations. Lessee shall also obtain boiler and machinery insurance if
applicable. All of the foregoing insurance shall contain a standard Mortgagee's
or Lessor's interest clause in favor of Lessor and Lessor's mortgagee. Said
insurance shall provide for payment of losses thereunder to the Lessee and the
Lessor (and, if requested by Lessor in writing, to the holder of a first
mortgage or deed of trust on the Premises, as a trustee holding said funds on
behalf of Lessor, to be used in discharge of Lessee's obligations hereunder), as
their respective interests may appear. Lessee shall have the right to adjust all
losses unless this Lease is terminated pursuant to Section 7.1 below, in which
case Lessor shall have the right to adjust all losses. Any insurance proceeds
payable to Lessee under the policies of insurance required under this Paragraph
6.3 in amounts of $100,000 or less (or $5,000,000 or less if an affiliate of
GATX Corporation is the Lessee and if GATX agrees in writing [the form and
content of which must be reasonably satisfactory to Lessor] that such proceeds
will be applied in the manner required by this Lease) (which amount shall be
increased each January 1st by an increase in the CPI over the preceding year),
shall be paid to Lessee and applied by Lessee to pay the costs of repair and
restoration in accordance with this Section 6, and any balance held upon
completion of the repairs as provided for in this Section 6 shall be the sole
property of Lessee. Any insurance proceeds payable to Lessee under the policies
of insurance required under this Paragraph 6.3 in excess of $100,000 (or
$5,000,000 if an affiliate of GATX Corporation is the Lessee) (which amount
shall be increased each January l/st/ by an increase in the CPI over the
preceding year), shall be held by the first mortgagee as set forth above or by
an insurance trustee mutually agreed upon by Lessee and Lessor, who shall apply
such funds to restoration in accordance with procedures customarily used for
construction loans. Any insurance payments hereunder which are to be payable to
Lessee shall be assigned and endorsed over to Lessee if paid to Lessor. The
insurance policy or policies obtained hereunder shall provide that they may not
be cancelled without thirty (30) days prior notice to Lessor. If Lessee shall
fail to procure and maintain any such insurance, Lessor may, but shall not be
required to, upon notice to Lessee, procure and maintain the same at the expense
of Lessee.

     6.4 Insurance Policies. Insurance required hereunder shall be in companies
or Groups rated B+-XII or better in "Best's Insurance Reports Property-Casualty"
or any other company reasonably acceptable to Lessor. Lessee shall deliver to
Lessor certificates evidencing the existence and amounts of such insurance and
shall deliver to Lessee copies of the portions of such policies applicable to
the Premises certified as true and correct by the Lessee. No such policy shall
be cancellable or subject to other material modification (defined as increase in
the deductible, reduction in limits or additional exclusions) except after
thirty (30) days' prior written notice to Lessor. Lessee shall, prior to the
expiration of such policies, furnish Lessor with renewals or "binders" thereof,
or in the event Lessee fails to do so, Lessor may order, upon notice to Lessee,
such insurance and charge the cost thereof to Lessee, which amount shall be
payable by Lessee upon demand.

     6.5 Waiver of Subrogation. Lessee shall, in obtaining any policies of
insurance required hereunder covering damage to the Premises, obtain policies
including a waiver of the insurer's rights of subrogation against Lessor, if the
same are obtainable.

                                       13

<PAGE>

     6.6 Indemnity. Except as may be otherwise set forth in Section 4.5 above,
Lessee shall indemnify and hold harmless Lessor from and against any and all
claims arising from Lessee's use of the Premises, or from the conduct of
Lessee's business or from any activity, work or things done, permitted or
suffered by Lessee in or about the Premises, and shall further indemnify and
hold harmless Lessor from and against any and all claims arising from any breach
or default in the performance of any obligation on Lessee's part to be performed
under the terms of this Lease, or arising from any negligence of the Lessee, or
any of Lessee's agents or contractors, or arising from any action, damage or
injury, however occurring, on the Premises, or and from and against all costs,
attorney's fees, expenses and liabilities incurred in the defense of any such
claim or any action or proceeding brought thereon; and in case any action or
proceeding be brought against Lessor by reason of any such claim, Lessee upon
notice from Lessor shall defend the same at Lessee's expense with counsel
reasonably approved by Lessor. Notwithstanding the foregoing, Lessee shall not
be obligated to indemnify and hold Lessor harmless to the extent any claims
arise out of Lessor's own negligence or willful misconduct. Lessor agrees to
indemnify, defend and hold harmless Lessee against any claims or costs,
including reasonable attorney's fees, arising from Lessor's negligence or
willful misconduct during the term of this Lease or from such acts or conduct of
any employee, agent or contractor of Lessor; provided, however, Lessor's
negligence and willful misconduct shall not include negligence or misconduct
imputed to Lessor on account of any condition in or about the Premises unless
caused by the affirmative act of Lessor or its employees or its agents (which
for purposes hereof shall not include Lessee).

     6.7 Self-Insurance. Subject to the approval of Lessor, which shall not be
unreasonably withheld, Lessee may elect not to obtain such insurance but instead
self-insure for up to $10,000,000 as part of GATX Corporation's corporate
insurance program as long as Lessee is an affiliate of GATX Corporation. In the
event Lessee elects to self-insure, Lessee shall deliver to Lessor a certificate
certifying that Lessee is part of GATX Corporation's self-insurance program. In
connection with such approval by Lessor, Lessee shall deliver to Lessor such
information regarding such self-insurance program as Lessor may reasonably
require to evaluate such program.

     7.  Damage or Destruction.

     7.1 Damage During Term. Except as set forth below, if the Premises are
damaged during the term of this Lease, Lessee shall, at Lessee's expense, repair
such damage as soon as reasonably possible, subject to delays due to force
majeure, and this Lease shall continue in full force and effect. Subject to
Section 6, any insurance proceeds received or to be received by Lessor or any
mortgagee named as loss payee shall be made available to Lessee to effect such
repair. Before any repair or restoration costing more than $100,000 (which
amount shall be increased each January l/st/ by the increase in the CPI over the
preceding year) is made, Lessee shall provide Lessor with information showing
that the insurance proceeds, together with other funds available to Lessee, are
adequate for the repair or restoration and that it is feasible to rebuild the
Premises. In no event shall the rent due hereunder abate as a result of any such
damage unless this Lease is terminated as set forth below. Notwithstanding the
foregoing, if the Building and other improvements on the Premises are
substantially destroyed during the last two

                                       14

<PAGE>

years of the Lease term (or during the last two years of any Option Period if
Lessee has exercised any renewal option herein), Lessee shall have the option,
exercisable by written notice given by Lessee within sixty (60) days of such
destruction, to terminate this Lease, effective as of the date of destruction,
without rebuilding the Premises by (i) assigning to Lessor all of its right,
title and interest in any insurance proceeds on the Premises and (ii) paying to
Lessor any coinsurance amounts and deductibles applicable thereto at the time
the insurance proceeds are so paid. In addition, if the Building and other
improvements on the Premises are substantially destroyed before the last two
years of the Lease term (or the last two years of any Option Period if Lessee
has exercised any renewal option herein), Lessee shall have the option,
exercisable by written notice given by Lessee within sixty (60) days of such
destruction, to (a) not rebuild the Premises and to place the insurance proceeds
(together with an amount equal to all co-insurance and deductibles under the
applicable policies) in escrow pursuant to an escrow agreement and with an
escrow agent reasonably satisfactory to Lessor and Lessee, and (b) continue to
pay the Basic Rent and additional rent to the Lessor until the end of the term
of the Lease. Any interest earned on the insurance proceeds placed in escrow
shall be payable to Lessee. Lessee shall have the right to decide how the funds
held in escrow are invested, provided Lessor shall have the right to approve any
investments which approval shall not be unreasonably withheld; provided,
however, if Lessee elects to invest the funds in securities backed by the United
States government or in investment grade debt obligations, no such approval
shall be required. At the end of the Lease term all such insurance proceeds
shall be payable to Lessor. If Lessee chooses not to rebuild within such sixty
(60)-day period, Lessor and Lessee shall both have the right, at any time before
one year prior to the expiration of the Lease, to choose to use the insurance
proceeds put in escrow to rebuild the Premises. If Lessee so chooses to rebuild,
Lessee shall give written notice thereof to Lessor; and (subject to the
requirements of this Lease regarding restoration by Lessee and payment and
application of insurance proceeds) Lessee shall be entitled to use the amounts
so deposited in escrow for such rebuilding. If Lessor so chooses to rebuild the
Premises at any time, (i) this Lease shall terminate (except as to the
obligation of Lessee to pay Basic Rent and additional rent provided immediately
below), effective as of the date of the exercise of Lessor's option to rebuild
the Premises, (ii) Lessee shall assign to Lessor all of its right, title and
interest in any insurance proceeds, and (iii) Lessee shall also pay to Lessor
Basic Rent and additional rent (provided such additional rent shall not exceed
that customarily paid in the past under the terms of this Lease) for a period of
one year from the date of the exercise of Lessor's option to rebuild the
Premises and terminate this Lease.

     7.2 Termination -- Advance Payments. Upon termination of this Lease
pursuant to this Section 7, an equitable adjustment shall be made concerning any
advance payments made by Lessee to Lessor or on Lessor's behalf pursuant to
Section 8.

     8.  Real Property Taxes.

     8.1 Payment of Taxes. Lessee shall pay all real property taxes which are
due and payable (or are assessed during the Lease term and payable within a
period of two years after the end of the Lease term) with respect to the
Premises during the term of this Lease; provided, however, Lessee shall not be
required to pay any special assessments which are assessed, but not payable,
during the term of this Lease. All such payments shall be made prior to the
delinquency

                                       15

<PAGE>

date of such payment, provided, however, that if, by law, any such tax is
payable, or may at the option of the taxpayer be paid, in installments (whether
or not interest shall accrue on the unpaid balance of such tax), Lessee shall
pay the same together with any accrued interest on the unpaid balance of such
tax in installments as the same respectively become due and before any fine,
penalty, interest or cost may be added thereto for the non-payment of any such
installment and interest. Lessee shall promptly furnish Lessor with satisfactory
evidence that such taxes have been paid. If any such taxes paid or to be paid by
Lessee shall cover any period of time after the expiration of the term hereof,
Lessee's share of such taxes shall be equitably prorated to cover only the
period of time within the year during which the term of this Lease shall be in
effect, and Lessor shall pay or reimburse Lessee, as the case may be, to the
extent required. With respect to any real property tax for public improvements
or benefits which by law is payable, or at the option of the taxpayer may be
paid in installments, Lessee shall pay those installments which become due and
payable during the term of this Lease, provided the taxes shall be equitably
prorated as provided above. If Lessee shall fail to pay any such taxes, Lessor
shall have the right to pay the same, in which case Lessee shall repay such
amount to Lessor with Lessee's next rent installment.

     8.2 Definition of "Real Property" Tax. As used herein, the term "real
property taxes" shall include any form of assessment, levy, surcharge, penalty
or tax imposed by any authority having the direct or indirect power to tax,
including any city, county, state or federal governmental, or any school,
agricultural, lighting, drainage, industrial waste treatment or other
improvement district thereof, as against the Premises. Nothing in this Lease
shall require Lessee to pay franchise, estate, inheritance, succession, capital
levy or transfer tax of Lessor, or any income, excess profits or revenue tax or
any other tax, assessments, charge or levy upon the rent payable by Lessee under
this Lease, except that Lessee shall pay any such tax which is, in whole or in
part, in substitution for any other real property tax. If any such substitute
real property tax shall be imposed on a graduated scale, Lessee shall be liable
for only such substitute real property tax as would be payable if the rent
payable under this Lease were the only income subject thereto and the Premises
and Lessor's interest under this Lease were the only property of Lessor subject
thereto.

     8.3 Personal Property Taxes. Lessee shall pay prior to delinquency all
taxes assessed against, levied or payable during the Lease term upon trade
fixtures, furnishings, equipment and all other personal property of Lessee
contained in the Premises.

     8.4 Lessee's Right to Contest Real Property Taxes. All other provisions of
this Lease to the contrary notwithstanding, Lessee shall not be required to pay,
discharge or remove any real property taxes or real property tax liens so long
as Lessee shall in good faith and with due diligence contest the same or the
validity thereof by appropriate legal proceedings, provided that: (a) Lessee
shall first make all contested payments, under protest if it desires, unless
such proceedings shall suspend the collection thereof; (b) neither the Premises,
the Building, nor any part thereof or interest therein are at any time in any
danger of being sold, forfeited, lost or interfered with; and (c) pending any
such legal proceedings, Lessee shall deposit with Lessor cash or other security
reasonably satisfactory to Lessor in an amount equal to not less than 125% of
the amount of the real property taxes or real property tax liens so contested if
the taxes or lien

                                       16

<PAGE>

equal or exceed $25,000 (which amount shall be increased each January 1st by the
increase in the CPI over the preceding year). Lessee will consult with Lessor in
connection with any such contest. Lessor shall not be required to join in any
such proceeding unless it shall be necessary for it to do so in order to
properly prosecute such proceeding and Lessor shall have been fully indemnified
against all costs and expenses in connection therewith, nor shall Lessor be
subjected to any liability for the payment of any costs or expenses in
connection with any proceeding brought by Lessee, and Lessee shall indemnify and
save harmless Lessor from any such costs or expenses (including, without
limitation, reasonable attorneys' fees and expenses). In the event that Lessee
at any time institutes suit to recover any real property taxes paid by Lessee
under protest in Lessor's name, and provided all of the requirements of this
section are met, Lessee shall have the right, at its sole expense, to institute
and prosecute such suit or suits in Lessor's name, in which event Lessee
covenants and agrees to indemnify Lessor and save it harmless from and against
all costs, charges or liabilities in connection with any such suit, including,
without limitation, reasonable attorneys' fees and expenses. All funds recovered
as a result of any such suit shall belong to Lessee. Pending the diligent
prosecution of any such legal proceedings, Lessor shall not have the right to
pay, remove or discharge the real property taxes or real property tax liens so
contested; provided, however, that if Lessee fails to prosecute such contest
with due diligence, or if a default has occurred under this Lease, or if, at the
conclusion of such contest, Lessee fails to pay the real property taxes, Lessor
may pay any item for which Lessor would be entitled to make advances under
Section 8.1 hereof. Upon the termination of such legal proceedings, Lessee shall
pay all amounts necessary for the removal and discharge of said real property
taxes, if any, then payable and the interest and penalties in connection
therewith, and the charges accruing in such legal proceedings. If Lessee is
unsuccessful in such legal proceedings, it shall promptly comply, at its sole
cost and expense, with any final decision rendered in connection with such
proceeding, and Lessor may, upon the final disposition of such contest, apply
the money deposited as security pursuant to subsection (c) of this section in
satisfying the requirements of any such adverse decision. Notwithstanding the
foregoing, Lessee shall not be entitled to contest any real property taxes or
real property tax liens, without Lessor's prior written consent, which is not to
be unreasonably withheld, if the determination in any such contest will be
binding upon Lessor upon expiration of the term of this Lease. Lessor shall have
the right to participate, at its sole election and cost, in any proceedings
which would be binding on Lessor.

     8.5 Proration. Nine months prior to the termination of this Lease, Lessee
shall make a deposit with Lessor for any real property tax assessed against the
Premises during the term of this Lease which is the responsibility of Lessee
hereunder and that is not due and payable prior to the end of the term. The
amount of the deposit shall equal the real estate tax discounted at the base
rate on corporate loans at large U.S. money center commercial banks, as most
recently published by the Wall Street Journal, Midwest Edition, from the date of
deposit to the last due date of each installment of the real estate tax. If the
amount of tax is not known at the time the Lease terminates, the amount of
deposit shall be equal to the most recent ascertainable tax times 105% per year
from the year of the most recent ascertainable tax to the year for which such
amounts are being deposited. Such tax shall then be reprorated when the actual
amount of the tax becomes known. Lessee shall be given a credit for the full
pre-discounted amount deposited with Lessor when the taxes are paid or
re-prorated.

                                       17

<PAGE>

     9.   Utilities. Lessee shall pay for all water, gas, heat, light, power,
telephone and other utilities and services supplied to the Premises during the
term of this Lease, together with any taxes thereon.

     10.  Assignment and Sublettting.

     10.1 Lessor's Consent Required. Except as set forth below, Lessee shall not
voluntarily or by operation of law assign, transfer, mortgage, or otherwise
transfer or encumber all or any part of Lessee's interest in this Lease or in
the Premises, without Lessor's prior written consent. Any attempted assignment,
transfer, mortgage or encumbrance without such consent shall be void, and shall
constitute a breach of this Lease.

     10.2 Lessee Affiliate. Notwithstanding the provisions of Paragraph 10.1
hereof, but subject to the provisions of the following sentence, Lessee may
assign this Lease without Lessor's consent, to Associated Unit Companies, Inc.
("Associated") or any corporation controlled by Associated, or to any
corporation resulting from the merger or consolidation with Lessee, or to any
person or entity which acquires substantially all the assets of Lessee as a
going concern, provided said assignee assumes, in full, the obligations of
Lessee under this Lease. Notwithstanding the foregoing, (i) Lessee shall not
become a subsidiary of GATX Corporation or any other entity controlling,
controlled by or under common control with GATX Corporation, directly or
indirectly, other than Associated (or a wholly-owned subsidiary, either directly
or through any number of parent-subsidiary affiliations, of Associated), nor
(ii) shall Lessee transfer or permit to be transferred the interests or
operations, including assets used therein, of Lessee in the Premises to GATX
Corporation or any entity controlling, controlled by or under common control
with GATX Corporation other than Associated (or a wholly-owned subsidiary,
either directly or through any number of parent-subsidiary affiliations, of
Associated) (unless the entity acquiring the assets, interests, operations of
Lessee shall join in the guaranty of this Lease given by Associated to Lessor at
the time this Lease was executed).

     10.3 Subleases. Notwithstanding the provisions of Paragraph 10.1, Lessee
may sublease the Premises or any part thereof without Lessor's consent provided
that the terms of such subleases will not result in the violation of any terms
of this Lease and no subleases shall be entered into which extend beyond the
term of this Lease.

     10.4 Trade Fixtures. Notwithstanding the provisions of Paragraph 10.1,
Lessor and Lessee acknowledge that Lessor has no interest in Lessee's trade
fixtures, and therefore Lessee may install and remove these fixtures at any
time, subject to Paragraph 5.2, and Lessee may mortgage or transfer these trade
fixtures without Lessor's consent. For purposes of this Lease, trade fixtures
shall mean any items attached to the Premises which are not integral to the
operation of the Building which are used for serving Lessee's sublessees or
customers in the conduct of the business being carried on at the Premises,
including, but not limited to, racks, conveyors and cranes (excluding overhead
cranes, which shall be considered the property of Lessor and not trade
fixtures). In no event shall any item which is required to keep the Premises in
compliance with any law be considered a trade fixture. If Lessor and Lessee
cannot agree upon whether any item is a trade fixture hereunder, either party
may apply to the American

                                       18

<PAGE>

Arbitration Association for the appointment of an impartial third party to
arbitrate the dispute. All costs and expenses of the arbitration shall be paid
by the losing party in such arbitration. Lessor shall not be obligated to join
in any severance agreements or to subject its interest in the Premises to any
liens relating to any trade fixture.

     10.5 No Release Of Lessee. Regardless of Lessor's consent, no subletting or
assignment shall release Lessee or alter the liability of Lessee to pay the rent
and to perform all other obligations to be performed by Lessee hereunder. The
acceptance of rent by Lessor from any other person shall not be deemed to be a
waiver by Lessor of any provision hereof. Consent to one assignment shall not be
deemed consent to any subsequent assignment.

     10.6 Subrogation. Upon default of Lessee, which default is not cured within
the applicable grace period, Lessor shall become subrogated to the rights of
Lessee against any sublessees or assignees of Lessee's interest hereunder.

     11.  Defaults; Remedies.

     11.1 Defaults. The occurrence of any one or more of the following events
shall constitute a default hereunder by Lessee:

          (a) The failure by Lessee to make any payment of Basic Rent required
to be made by Lessee hereunder, as and when due, and such failure shall continue
for a period of three (3) business days after written notice thereof by Lessor
to Lessee;

          (b) The failure by Lessee to make any payment of additional rent
required to be made by Lessee hereunder, as and when due, and such failure shall
continue for ten (10) days after written notice thereof by Lessor to Lessee;

          (c) The failure by Lessee to observe or perform any of the covenants,
conditions or provisions of this Lease to be observed or performed by Lessee,
other than described in paragraphs (a) and (b) above, and such failure shall
continue for a period of thirty (30) days after written notice thereof from
Lessor to Lessee; provided, however, that if the nature of Lessee's default is
such that more than thirty (30) days are reasonably required for its cure, then
Lessee shall not be deemed to be in default if Lessee has commenced such cure
within said thirty day period and thereafter diligently pursues such cure to
completion and cures the default within six (6) months of written notice from
Lessor of the default unless such cure cannot be accomplished within six (6)
months because of a third party, in which case, such default shall be cured (i)
within one (1) year after written notice from Lessor if the delay is due to a
third party which is not a governmental entity or (ii) prior to the expiration
of the Lease term if the delay is due to a governmental entity;

          (d) (i) The making by Lessee of any general assignment or general
arrangement for the benefit of creditors; (ii) the filing by or against Lessee
of a petition to have Lessee adjudged a bankrupt or a petition for
reorganization or arrangement under any bankruptcy, insolvency or other laws
relating to the readjustment of indebtedness generally (unless, in the case of a
petition filed against Lessee, the same is dismissed within sixty (60)

                                       19

<PAGE>

days); (iii) the appointment of a trustee or receiver to take possession of
substantially all of Lessee's assets located at the Premises or of Lessee's
interest in this Lease, where possession is not restored to Lessee within sixty
(60) days; or (iv) the attachment, execution or other judicial seizure of
substantially all of Lessee's assets located at the Premises or of Lessee's
interest in this Lease, where such seizure is not discharged within sixty (60)
days;

          (e) Any default by any lessee, including any successor or assignee,
under any other lease listed on Exhibit B which is not cured within the
applicable grace period therein.

     11.2 Remedies. In the event of any such default by Lessee, Lessor may at
any time thereafter, with or without notice or demand and without limiting
Lessor in the exercise of any right or remedy which Lessor may have under the
laws of the state where the Premises is located by reason of such default,
terminate this Lease or terminate Lessee's right to possession of the Premises
without terminating this Lease; and in either case Lessee shall immediately
surrender possession of the Premises to Lessor. In such event Lessor shall be
entitled to recover from Lessee: (a) all damages incurred by Lessor by reason of
Lessee's default including, but not limited to, the cost of recovering
possession of the Premises; reasonable expenses of reletting, including
necessary renovation and alteration of the Premises, reasonable attorney's fees,
and any reasonable real estate commission actually paid; and the value of the
rent and all other sums provided herein to be paid by Lessee to or for the
benefit of Lessor or the Premises for the remainder of the Lease term, less the
fair rental value of the Premises (including any other sums which would be paid
for the benefit of the Premises as part of such fair rental value) for said
period, discounted to present value at the rate of ten percent (10%) per annum,
or (b) hold Lessee liable for rent and all other charges required to be paid by
Lessee up to the time of such termination of Lessee's right to possession under
this Lease, or of recovery of possession of the Premises by Lessor, as the case
may be, and thereafter, Lessee agrees to pay the amount of rent reserved herein
and all other charges required to be paid by Lessee, less the net avails of
reletting, if any, and the same shall be due and payable by Lessee to Lessor on
the days when payment of such amounts would be payable under this Lease. If
Lessor elects to pursue its remedies under subparagraph (b) above, then upon the
Lessor's recovering possession of the Premises, Lessor shall use reasonable
diligence to relet the Premises or such part or parts thereof as may be
practicable, for the account of the Lessee or otherwise, and receive and collect
the rents therefor, applying the same first to the payment of such reasonable
expenses as Lessor may have incurred in recovering possession of the Premises,
including reasonable attorneys' fees, and in putting the same into good order or
condition for preparing or altering the same for re-rental (including costs and
expenses for subdividing space by demising walls or otherwise, or leasing to
multiple tenants or users), and all other reasonable expense, commissions, and
charges paid, assumed, or incurred by Lessor in or about reletting the Premises,
and then to the fulfillment of the covenants of Lessee hereunder. Any such
reletting herein provided for may be for the remainder of the term of this Lease
as originally granted or for a longer or shorter period.

     11.3 Lessor's Right to Payment. Wherever this Lease requires that Lessee
make payments for the benefit of Lessor or the Premises, Lessor shall have the
right after a default by Lessee which is not cured within the applicable grace
period, to make such payment upon prior written notice to Lessee. The amount so
paid by Lessor shall become immediately due and

                                       20

<PAGE>

payable from Lessee to Lessor, and Lessee shall pay Lessor interest on such
amounts paid by Lessor at the rate set forth in Section 3.3 above.

     11.4 Escrow for Taxes and Insurance. Upon the occurrence of any default by
Lessee which is not cured within the applicable grace period, Lessor may require
Lessee to make payments on a monthly basis of the sums required to be paid under
the Lease by Lessee for real estate taxes and insurance premiums.

     12.  Condemnation. If the Premises or any area comprising part of the
Premises are taken under the power of eminent domain, or sold to a governmental
body under the threat of the exercise of said power (all of which are herein
called "condemnation"), this Lease shall terminate as to the part so taken as of
the date the condemning authority takes title or possession, whichever first
occurs. If the portion of the Premises taken under the power of eminent domain
is such that the remaining portion of the Premises can be economically used for
its intended purposes, this Lease shall remain in full force and effect as to
the portion of the Premises remaining, except that the rent shall be reduced in
the proportion that any Building floor area taken bears to the total floor area
of the Building, and shall be equitably reduced in the event of a reduction of
land areas not covered by the Building; provided, however, that there shall be
no abatement in rent if the condemnation award is sufficient to restore the
Premises completely and is made available to Lessee for such restoration.
Notwithstanding the foregoing, if less than five percent (5%) of the land area
of the Premises, not including the Building or any parking, is taken by
condemnation, and the remaining portion of the Premises can be economically used
for its intended purposes, there shall be no rent reduction. If there is a
temporary taking of the Premises, or-a portion thereof, Lessee shall not be
entitled to any rent abatement, but shall be entitled to any award from the
condemning authority payable for any period falling within the Lease term. Any
award for the taking of all or any part of the Premises under the power of
eminent domain or any payment made under threat of the exercise of such power
shall be the property of Lessor, whether such award shall be made as
compensation for diminution in value of the leasehold or for the taking of the
fee, or as severance damages; provided, however, that Lessee shall be entitled
to any award for loss of or damage to Lessee's trade fixtures and removable
personal property or for moving expenses. Lessee shall be entitled to make a
separate claim for business interruption provided any award therefor does not
reduce the Lessor's award, but Lessor agrees not to make a claim for business
interruption. In the event that this Lease is not terminated by reason of such
condemnation, Lessor shall make available to Lessee any severance damages
received by Lessor in connection with such condemnation so that Lessee may
repair any damage to the Premises caused by such condemnation. The cost of such
repair, to the extent it exceeds such severance damages, shall be amortized over
the useful life of the repair, with Lessee paying for the portion of such cost
which will be amortized over the Lease term and Lessor paying for the portion of
such cost which will not be amortized during the Lease term except that if the
cost of repair exceeds such severance damages either party can terminate this
Lease.

     13.  Holding Over. If Lessee remains in possession of the Premises after
expiration of the term hereof, Lessee shall be a tenant-at-will and shall pay
Lessor rent at the rate of 125% of the rental rate in effect at the end of the
Lease term; provided, however, nothing herein shall be

                                       21

<PAGE>

deemed to give Lessee a right to remain in possession of the Premises after the
expiration of the Lease term.

     14.  Broker's Fee. Lessor and Lessee both represent and warrant they have
dealt with no broker with regard to this transaction, and agree to indemnify and
hold each other harmless from any brokerage claims, demands or suits that might
arise out of any facts constituting a breach of such representation and
warranty.

     15.  General Provisions.

     15.1 Estoppel Certificate.

          (a) Either party shall at any time upon not less than twenty-one (21)
days' prior written notice from the other party execute, acknowledge and deliver
to the other party a statement in writing in the form attached hereto as
Exhibits C and D respectively, (i) certifying that this Lease is unmodified and
in full force and effect (or, if modified, stating the nature of such
modification and certifying that this Lease, as so modified, is in full force
and effect) and the date to which the rent and other charges are paid in
advance, if any, (ii) acknowledging that there are not, to such party's
knowledge, any uncured defaults on the part of the other party hereunder, or
specifying such defaults if any are claimed, and (iii) certifying to such other
matters as may be reasonably requested by the other party. Any such statement
may be conclusively relied upon by any prospective party having an interest in
the Premises.

          (b) Either party's failure to deliver such statement within such time
shall be conclusive upon such party (i) that this Lease is in full force and
effect, without modification except as may be represented by the other party,
and (ii) that there are no uncured defaults in the other party's performance.

     15.2 Severability. The invalidity of any provision of this Lease, as
determined by a court of competent jurisdiction, shall in no way affect the
validity of any other provision hereof.

     15.3 Incorporation Of Prior Agreements; Amendments. This Lease contains all
agreements of the parties with respect to any matter mentioned herein. No prior
Agreement or understanding pertaining to any such matter shall be effective.
This Lease may be modified in writing only, signed by the parties in interest at
the time of the modification.

     15.4 Notices. Notices shall be either (i) personally delivered (including
delivery by Federal Express or other reputable courier service) to the offices
set forth below, in which case they shall be deemed delivered on the date of
delivery to said offices; (ii) sent by Western Union telegram, in which case
they shall be deemed delivered on the date Western Union delivers its telephonic
communication; (iii) sent by telecopy, in which case they shall be deemed
delivered on the date receipt of the same is confirmed by the receiving party;
or (iv) sent by certified mail, return receipt requested, in which case they
shall be deemed delivered on the date shown on the receipt unless delivery is
refused or delayed by the addressee, in which event they shall be deemed
delivered two (2) days after the date of deposit in the U.S. mail. For purposes
of Notices, the addresses of the parties shall, until changed as herein
provided, be given as follows:

                                       22

<PAGE>

         To Lessor:

         The Prudential Insurance Company of America
         c/o The Prudential Realty Group
         751 Broad Street
         4 Prudential Plaza
         Newark, New Jersey 07102-3777
         Attention: Stephen Parker

With a copy to:

         Sonnenschein Carlin Nath & Rosenthal
         8000 Sears Tower
         Chicago, Illinois 60606
         Attention: Mark F. Mehlman, Esq.
                    Scott A. Lindquist, Esq.

To Lessee:

         Associated Unit Companies, Inc.
         1800 Gulf Life Tower
         Jacksonville, Florida 32207
         Attention: President

With a copy to:

         GATX Corporation
         120 South Riverside Plaza
         Chicago, Illinois 60606
         Attention: General Counsel

The parties hereto and their respective successors, legal representatives and
assigns shall have the right to specify as its address any other address by
giving at least ten (10) days' written notice to the other party.

         15.5 Waivers. No waiver by Lessor of any provision hereof shall be
deemed a waiver of any other provision hereof or of any subsequent breach by
Lessee of the same or any other provision. Lessor's consent to or approval of
any act shall not be deemed to render unnecessary the obtaining of Lessor's
consent to or approval of any subsequent act of Lessee. The acceptance of rent
hereunder by Lessor shall not be a waiver of any preceding breach or the failure
of Lessee to pay the particular rent so accepted, regardless of Lessor's
knowledge of such preceding breach at the time of acceptance of such rent.

         15.6 Cumulative Remedies. No remedy or election hereunder shall be
deemed exclusive but shall, whenever possible, be cumulative with all other
remedies at law or in equity.

                                       23

<PAGE>

     15.7 Binding Effect; Choice Of Law. Subject to any provisions hereof
restricting assignment by Lessee, this Lease shall bind the parties, their
successors and assigns. This Lease shall be governed by the laws of the state
where the Premises are located.

     15.8 Subordination.

          (a) This Lease, at Lessor's option, shall be subordinate to any
mortgage or deed of trust now or hereafter placed upon the Premises and to any
and all advances made on the security thereof and to all renewals,
modifications, consolidations, replacements and extensions thereof, provided the
holder of such mortgage or deed of trust agrees that Lessee's right to quiet
possession of the Premises shall not be disturbed so long as Lessee shall pay
the rent and observe and perform all of the provisions of this Lease. Lessor
agrees to deliver to Lessee, concurrently with the execution of any mortgage or
deed of trust which is prior to this Lease; (i) a non-disturbance agreement of
the mortgagee or trustee, in form reasonably requested by the mortgagee or
trustee, assuring the Lessee's quiet enjoyment of the Premises so long as Lessee
is not in default, and (ii) the Agreement of the mortgagee or trustee permitting
the use of insurance and condemnation proceeds as provided for herein. If any
mortgagee or trustee shall elect to have this Lease prior to the lien of its
mortgage or deed of trust, and shall give written notice thereof to Lessee, this
Lease shall be deemed prior to such mortgage or deed of trust, whether this
Lease is dated prior or subsequent to the date of said mortgage or deed of trust
or the date of recording thereof. Lessee shall attorn, as lessee under this
Lease, to the purchaser at any foreclosure sale or to the mortgagee, if the
mortgagee becomes owner of the fee estate, and this Lease shall continue in
force and effect as a direct Lease between Lessee and purchaser or mortgagee.

          (b) Subject to the provisions of Paragraph 15.8(a) hereof, Lessee
agrees to execute any documents reasonably required to effectuate such
subordination or to make this Lease prior to the lien of any mortgage or deed of
trust, as the case may be.

     15.9 Lessor's Access. Lessor and Lessor's agents shall have the right to
enter the Premises at reasonable times upon reasonable notice for the purpose of
inspecting the same (provided no notice shall be required in the event of an
emergency), and showing the same to prospective purchasers or lenders provided
they do not disturb the conduct of Lessee's business. Lessor shall indemnify and
hold Lessee harmless from all claims and liabilities resulting from Lessor's
acts and omissions in connection with such entry. Lessor may, with Lessee's
permission, place on or about the Premises any ordinary "For Sale" signs and
Lessor may without Lessee's permission, at any time during the last one hundred
twenty (120) days of the term hereof, place on or about the Premises any
ordinary "For Lease" signs, all without rebate of rent or liability to Lessee.
Lessor shall also have the right to enter the Premises at any time to cure any
defaults hereunder by Lessee which Lessor is permitted at that time to cure.
Lessor shall use reasonable efforts to keep confidential any information
regarding Lessee's operations which Lessor learns while on the Premises.

                                       24

<PAGE>

     15.10 Corporate Authority. Lessor and Lessee each represent and warrant to
the other that it is duly authorized to execute and deliver this Lease and that
this Lease is binding upon it in accordance with its terms.

     15.11 Consents. Whenever in this Lease the consent of one party is required
to an act of the other party such consent may be withheld in such party's sole
discretion unless this Lease requires that such consent not be unreasonably
withheld. A failure by any party to respond to a request for consent within
thirty (30) days of notice shall be deemed consent by such party.

     15.12 Quiet Possession. Lessor covenants and agrees that upon Lessee's
paying the rent reserved hereunder and observing and performing all of the
covenants, conditions and provisions on Lessee's part to be observed and
performed hereunder, Lessee shall not be disturbed in its possession of the
Premises by any act of Lessor, its agents, employees, lessees and contractors,
so long as Lessee timely performs its obligations under this Lease.

     15.13 Captions. Section and paragraph captions are not a part hereof.

     15.14 Time of Essence. Time is of the essence of this Lease, and all
provisions herein specifying time periods shall be strictly construed.

     15.15 Relocation. For a period of one year after expiration of the primary
term of this Lease and only so long as the initial Lessor (or another
"institutional" purchaser which is not in the business of developing or
operating warehouses, but for this purpose ownership of warehouses operated by
others shall not be deemed "operating" warehouses) owns the Premises, Lessee
shall not transfer any of Lessee's business being conducted on the Premises at
the termination of the primary term of this Lease to any warehouse developed by
Lessee or its affiliates that is within a ten (10) mile radius of the Premises
(a "Lessee Warehouse") unless the Premises are no longer suitable for the
business being conducted thereon. If Lessee determines that the Premises are no
longer suitable for the business being conducted thereon, Lessee shall deliver
to Lessor an affidavit executed by an officer of GATX Corporation on behalf of
such corporation certifying that the Premises are no longer suitable for the
business being conducted thereon and setting forth the reasons why. Upon receipt
of such affidavit Lessor shall have the right to make the Premises suitable to
Lessee, if possible, at Lessor's sole cost and expense, within the time
reasonably required by Lessee. If Lessor is able to make the Premises suitable
for Lessee within the time reasonably required by Lessee, Lessee shall not be
permitted to transfer the business to a Lessee Warehouse unless Lessee agrees to
extend the Lease term for one (1) additional year after the expiration of the
primary term of this Lease. Such extension shall be at the rate for Basic Rent
in effect for the period immediately prior to such extension adjusted in the
manner provided in Section 3.2 for adjustments during the primary term of this
Lease. Lessee shall be under no obligation to use or occupy the Premises during
such extension period provided it pays all Basic Rent and additional rent due
hereunder, and this Lease shall terminate at the end of such one (1) year period
without any further restrictions pursuant to this Section 15.15. In no event
shall the provisions of this Section 15.15 apply if Lessee has exercised any
option to renew the term of this Lease.

                                       25

<PAGE>

     15.16 No Personal Liability of Lessor. Any liability of Lessor under this
Lease shall be limited to its interest in the Premises, and in no event shall
any personal liability be asserted against Lessor in connection with this Lease.
Notwithstanding the foregoing, Lessor shall remain personally liable for any
obligations to make contributions for Capital Expenditures as set forth under
this Lease and for claims and liabilities to third parties resulting from
Lessor's acts and omissions in connection with Lessor's entry onto the Premises.

     15.17 Meaning of "Lessor." The term "Lessor" as used in this Lease, means
only the lessor from time to time, and upon transferring its interest in the
Premises, such transferring lessor shall be relieved from any further obligation
or liability accruing after the transfer of its interest, so long as the
successor lessor agrees to be bound by all of the transferring lessor's
obligations under this Lease.

                                       26

<PAGE>

     IN WITNESS WHEREOF, the parti6s hereto have executed this Lease on the date
first above written.

                                               Lessor

                                               THE PRUDENTIAL INSURANCE
                                                 COMPANY OF AMERICA,
                                                 a New Jersey corporation

     ATTEST:

        /s/ ILLEGIBLE                          By:        /s/ ILLEGIBLE
     ---------------------------                   -----------------------------
     Secretary                                     Title: Vice President

                                               Lessee

                                               UNIT DISTRIBUTION OF UTAH, INC.,
                                               a Utah corporation

     ATTEST:                                   By:        /s/ ILLEGIBLE
                                                   -----------------------------
                                                   Title: Vice President

        /s/ ILLEGIBLE
     ---------------------------
     Secretary

                                       27

<PAGE>

                                    EXHIBIT A

PARCEL A:

A part of Section 12, Township 4 North, Range 2 West, Salt Lake Base and
Meridian, U.S. Survey:

Beginning at a point on the Easterly right-of-way of the Denver and Rio Grande
Western Railroad Company at a point North 89(degree) 48' 24" West 797.03 feet
along the Quarter Section Line from the center of said Section 12, running
thence North 34(degree) 41'43" West along said Easterly right-of-way line
parallel with an 33.0 feet distant Northeasterly measured at right angle from
the centerline of the main track of said railroad company as now constructed and
operated, a distance of 1588.60 feet to the Southwest corner of the property
conveyed to Clearfield City Corporation in Book 518 on Page 736-7 of Official
Records; thence along the South line of said property, North 55(degree) 18' 17"
East 954.03 feet to a point 8.5 feet Northeasterly from the centerline of lead
tract A-28; thence five courses parallel and 8.5 feet Northeasterly along said
track as follows: South 16(degree) 24' 40" East 50.54 feet; along the arc of a
5712.65 foot radius curve to the left 67.44 feet (Long Chord bears South
16(degree) 44' 57" East 67.44 feet); South 17(degree) 05' 15" East 432.22 feet;
along the arc of a 450.78 foot radius curve to the left 138.44 feet (Long Chord
bears South 25(degree) 53' 07" East 137.89 feet) and South 34(degree) 41' East
263.66 feet; thence South 79(degree) 41' East 59.39 feet; thence South
33(degree) 05' 24" East 359.15 feet; thence South 35(degree) 56' 10" East 457.12
feet; thence South 10(degree) 19' West 59.39 feet to a point 8.5 feet
Northeasterly of said track; thence South 34(degree) 41' East 51.96 feet
parallel and 8.5 feet Northeasterly of said track; thence South 55(degree)
18'17" West a distance of 765.92 feet (765.28 feet to close) to a point on the
Easterly right-of-way line of the Denver and Rio Grande Railroad Company; thence
North 34(degree) 41' 43" West along said line 287.43 feet to the point of
beginning.

EXCEPTING THEREFROM the following described property:

BEGINNING at a point South 89(degree) 48' 25" East 359.04 feet and South
0(degree) 10' 55" West 497.05 feet to the Easterly line of the D & R G `Railroad
right-of-way and South 34(degree) 41' 43" East 1023.0 feet along said
right-of-way, and North 55(degree) 18' 17" East 41.0 feet from the Northwest
corner of Section 12, Township 4 North, Range 2 West, Salt Lake Meridian, in the
City of Clearfield, and running thence South 34(degree) 41' 43" East 281.0 feet;
thence North 55(degree) 18' 17" East 99.25 feet to an existing fence; thence
Northeasterly 399 feet, more or less, along said fence to a point North
55(degree) 18' 17" East 340.95 feet from the point of beginning; thence South
55(degree) 18' 17" West 340.95 feet to the point of beginning.

PARCEL B:

A parcel of land situated in Section 12, Township 4 North, Range 2 West, Salt
Lake Base and Meridian, in Clearfield City, Davis County, Utah, more
particularly described as follows:

BEGINNING at a point an the Northeasterly right-of-way line of the Denver & Rio
Grande Western Railroad Company, at a point 797.03 feet North 89(degree) 48' 24"
West, along the Quarter Section line and 287.41 feet South 34(degree) 41' 43"
East from the center of said Section 12, said point

<PAGE>

being the most Southerly corner of that certain parcel of land heretofore
conveyed by National Distribution Systems to Freeport Industrial Center by
Special Warranty Deed dated July 29, 1975, recorded on the records of Davis
County, October 25, 1979, Book 798, Page 372, thence along the Southerly line of
said conveyed parcel, North 55(degree) 18' 17" East, a distance of 434.80 feet;
thence South 34(degree) 46' 20" East, along the Northeasterly line of an
existing building a distance of 885.50 feet; thence South 55(degree) 22'12"
West, a distance of 436.18 feet, to a point on the Northeasterly right-of-way
line of said Denver & Rio Grande Western Railroad Company; thence North
34(degree) 41'00" West, a distance of 885.00 feet to the point of beginning.

PARCEL C:

A part of Section 12, Township 4 North, Range 2 West, Salt Lake Base and
Meridian, U.S. Survey:

Beginning at a point 797.03 feet North 89(degree) 48' 24" West along the Quarter
Section line; 287.41 feet South 34(degree) 41' 43" East; and 434.80 feet North
55(degree) 18' 17" East from the Center of said Section 12; running thence North
55(degree) 18' 17" East 330.48 feet to the Westerly line of the Oregon Short
Line Railroad property; thence two (2) courses along said Westerly line as
follows: South 34(degree) 41' East 530.71 feet and South 29(degree) 57' East
406.02 feet to the Northeast corner of the Americold Corporation Property;
thence South 55(degree) 22' 12" West 731.78 feet along the Northerly line of
said property to the Easterly line of the Denver and Rio Grande Western Railroad
property; thence North 34(degree) 41' West 49.50 feet along said Easterly line;
thence North 55(degree) 22' 12" East 436.18 feet to the Easterly edge of an
existing building extended; thence North 34(degree) 46' 20" West 885.50 feet
along said building and building extended to the point of beginning.

PARCEL D.

TOGETHER WITH a 60 foot right-of-way, the West line of which is described as
follows: (right-of-way Easement "A").

BEGINNING at a point South 89(degree) 48' 25" East 359.04 feet and South
0(degree) 10' 55" West 33.00 feet from the Northwest corner of Section 12,
Township 4 North, Range 2 West, Salt Lake Base and Meridian, and running thence
South 0(degree) 10' 55" West 464.05 feet; thence South 34(degree) 41' 43" East
1023.00 feet to the Northwest corner of said property, said 60 foot right-of-way
being contiguous with the public right-of-way of 700 South Street.

                                       29

<PAGE>

                                    Exhibit B

                                     Leases

1.   That certain lease dated as of January. 29, 1990 between The Prudential
     Insurance Company of America, as lessor, and Unit Distribution of
     California, Inc., as lessee, for the property located at 5600 East Francis
     Street, Ontario, California 91746.

2.   That certain lease dated as of January 29, 1990 between The Prudential
     Insurance Company of America, as lessor, and Unit Distribution of
     California, Inc., as lessee, for the property located at 5590 East Francis
     Street, Ontario, California 91746.

3.   That certain lease dated as of January 29, 1990 between The Prudential
     Insurance Company of America, as lessor, and Unit Distribution of Utah,
     Inc., as lessee, for the property located at Freeport Industrial Center,
     1201 South Industrial Parkway, Clearfield, Utah 84015.

4.   That certain lease dated as of January 29, 1990 between The Prudential
     Insurance Company of America, as lessor, and Unit Distribution of Utah,
     Inc., as lessee, for the property located at Freeport Industrial Center,
     1051 South Industrial Parkway, Clearfield, Utah 84015.

<PAGE>

                                    EXHIBIT C

                    FORM OF LESSEE'S ESTOPPEL CERTIFICATE/1/

Lessor                                          [Lessor's Mortgagee
________________________________                _______________________________
________________________________                _______________________________
Attention: _____________________                Attention: ____________________]

     Re:  Lease dated ________________, 1990 (the
          "Lease"), by and between  __________________________
          ("Lessee"), as lessee, and ___________________________
          ("Lessor"), as lessor.

Ladies and Gentlemen:

     With respect to the Lease, Lessee does hereby certify to Lessor,
[________________ ("Lessor's Mortgagee") or _____________________________
("Lessor's Purchaser"), and its [their respective) successors and assigns, the
matters set forth herein. We understand that in Section 15.1 of the Lease,
Lessor has required a certification from us in the form set forth herein. (we
have been informed that Lessor will be assigning all of its right, title and
interest in and to the Lease to Lessor's Mortgagee/Lessor's Purchaser. We
understand that as a condition precedent to (Lessor's Mortgagee disbursing a
loan to Lessor/Lessor's Purchaser acquiring the Premises), Lessor's
Mortgagee/Lessor's Purchaser has required a certification from us in the form
set forth herein.] Accordingly, in consideration of the matters herein
contained, and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, we hereby certify as follows:

          1. The Lessee is the lessee under that certain Lease dated __________,
     1990 by and between Lessee and Lessor, covering those premises demised
     under the Lease (the "Premises"), consisting of certain real property and
     appurtenances thereto, together with a building (the "Building") located at
     [ADDRESS], [CITY], [STATE], [ZIP CODE].

__________________________
/1/ All references in brackets (e.g., references to the Lessor's Mortgagee, or
to the Lessor's Purchaser, etc.) are for inclusion where the estoppel
certificate will be used to induce Lessor's Mortgagee to fund a loan, or to
induce Lessor's Purchaser to consummate a sale.

<PAGE>

                                [GRAPHIC OMITTED]

                                       32<PAGE>

                                                                    Exhibit 10.2

                                    SUBLEASE

     This Sublease made on the 6th day of July, 1994, by and between UNIT
DISTRIBUTION OF UTAH, INC., a Utah Corporation ("Sublessor"), and PROFORM
FITNESS PRODUCTS, INC., a Utah Corporation and WESLO, INC., a Utah Corporation
(hereafter collectively "Sublessee").

                                    RECITALS:

     A.   Unit Distribution of Utah, Inc. is the Lessee from the Prudential
insurance Company of America of Warehouse Premises located in Clearfield, Utah,
and desires to sublease said Premises to ProForm. Fitness Products, Inc. and
Weslo, Inc. under certain terms and conditions as set forth herein.

     B.   ProForm Fitness Products, Inc. and Weslo, Inc. desire to sublease a
portion of said Premises from Unit Distribution of Utah, Inc.

     C.   A copy of the Lease Agreement between the Prudential Insurance Company
of America and Unit Distribution of Utah, Inc. has been received and reviewed by
all parties and is attached as Exhibit "A".

     NOW, THEREFORE, in consideration of the covenants and promises hereinafter
set forth, and other good and valuable consideration, the receipt sufficiency of
which is hereby acknowledged, the parties agree as follows:

1.   PARTIES.

     This Sublease is made between Unit Distribution of Utah, Inc., a Utah
     Corporation, and ProForm, Fitness Products, Inc., a Utah Corporation, and
     Weslo, Inc., a Utah Corporation.

2.   MASTER LEASE.

     Sublessor is the Lessee under a written lease (hereafter "Master Lease,,)
     attached and incorporated as Exhibit "A", dated January 29, 1990, wherein
     the Prudential Insurance Company of America, a New Jersey Corporation
     ("Lessor"), leased to Sublessor the real property located in Clearfield,
     Weber County, Utah, described as that certain real property situated at
     1051 South Industrial Parkway, consisting of a warehouse building
     containing approximately 615,000 square feet, together with all
     improvements and appurtenances belonging to said property (hereafter
     "Master Premises").

3.   PREMISES.

     Sublessor hereby subleases to Sublessee a portion of the Premises located
     at 1051 South Industrial Parkway, Clearfield, Weber County, Utah, which is
     approximately 325,325 square feet of warehouse space located at the
     southerly end of the building on the Master Premises and approximately
     3,750 square feet of office space in the Building

<PAGE>

     (approximately the northwest one-fourth of the office space) of the Master
     Premises, plus the exclusive use of a portion of the parking facilities
     adjacent to the north end of the building. The warehouse space, office
     space and parking facilities subleased by Sublessee are shown and outlined
     in red on Exhibit "B" attached and incorporated and are referenced
     collectively as "Premises". The Premises include exclusive use of 30
     parking stalls as shown on Exhibit B, with reasonable access to the same
     (hereafter "Parking"). All space as shown on Exhibit "B" will be made
     available to Sublessee as agreed. In addition Sublessee is granted a
     non-exclusive easement for parking, loading and unloading of
     tractor/trailers and use by other shipping vehicles and containers on the
     west side of the Building, i.e., north of the storage pond and between the
     Building and the road hereafter "Trailer Parking"). Sublessee will be
     responsible for 54.20% of the maintenance costs of the Trailer Parking area
     during the Sublease term. The Premises also include reasonable and adequate
     rights of ingress and egress and for utility service from the Premises to a
     publicly dedicated road and public utilities.

4.   WARRIANTIES BY SUBLESSOR.

     Sublessor warrants and represents to Sublessee as follows:

     (a)  As of the date hereof, the Master Lease has not been amended or
     modified.

     (b)  As of the date of this Sublease that the Master Lease is in full force
     and effect in accordance with its terms and that Sublessor is not now and
     at this time knows of no events which will cause it to be in default or
     breach of any of the provisions of the Master Lease.

     (c)  Sublessor has no knowledge of any claim by Lessor that Sublessor is in
     default or breach of any of the provisions of the Master Lease.

     (d)  Sublessor has the right to enter into this Sublease Agreement with
     Sublessee, without the prior written consent of Lessor.

     (e)  Sublessor will defend the Sublessee's right to possession of the
     Premises against any and all claims and causes of action, except any
     arising through the fault or neglect of Sublessee.

     (f)  Sublessor shall timely perform all acts required of it under the
     Master Lease with Lessor in regard to payment of rent, notices, accounting,
     making reports and otherwise so as to maintain the Master Lease with Lessor
     in full force and effect and avoid any default thereunder.

5.   TERM AND RENEWAL.

     Providing this Sublease is fully executed by both parties no later than
     July 8, 1994, the term of this Sublease shall commence on July 21, 1994
     ("Commencement Date"). This Sublease shall terminate" on June 30, 1999
     ("Termination Date"), unless otherwise sooner terminated in accordance with
     the provisions of this Sublease, or unless extended as herein provided.
     Sublessor hereby grants to Sublessee a right to renew the Sublease until
     December 31, 2003, provided Sublessee is not in default, has fully
     performed all its

                                       -2-

<PAGE>

     obligations stated herein at the time for such renewal, and provided
     Sublessee gives written notice to Sublessor at least three (3) months prior
     to June 30, 1999. Upon Sublessee's written notice to Sublessor, this
     Sublease shall be extended for the period July 1, 1999, through, and
     including, December 31, 2003 ("Option Period"). The rental rate during said
     Option Period shall be as follows: Commencing July 1, 1999, through the
     next adjustment date as established in Section 7.1 below, the minimum rent
     shall remain the same as that paid for the previous month. During the term
     of the Option Period, the minimum rent shall be increased on the first day
     of the next month after the adjustment date by the percentage increase in
     the CPI for the twelve (12) month period immediately preceding said
     adjustment date. However, notwithstanding the foregoing, in no event shall
     the minimum rent during this Option Period increase on any adjustment date
     by more than three percent (3%) of the minimum rent payable immediately
     prior to such adjustment date.

6.   POSSESSION.

     Sublessor and Sublessee agree that possession of the Premises shall be
     delivered to the Sublessee as follows:

     a.   July 21, 1994                 75,000 sq. ft., 3,750 sq. ft. of Office
                                        Space, and all Parking

     b.   August 5, 1994                An additional 75,000 sq. ft.

     c.   August 20, 1994               An additional 75,000 sq. ft.

     d.   September 4, 1994             100,325 sq. ft. and all remainder of the
                                        Premises

     TOTAL                              329,075 sq. ft.
                                        ===============

     The selection of the area to which possession is given to Sublessee shall
     be as reasonably selected by Sublessor and approved by Sublessee and shall
     be contiguous to that of which Sublessee is already in possession.

     Sublessor has been advised by Sublessee that it is a material term of this
     Sublease that possession be delivered in a timely manner.

7.   RENT.

     7.1  Minimum Rent. Sublessee shall pay to Sublessor as a minimum rent,
          without deduction, setoff, notice, or demand, at 1301 Gulf Life Drive,
          Suite 1800, Jacksonville, Florida 32207, or at such other place as
          Sublessor shall designate from time to time by notice to Sublessee,
          the sum of Sixty-Five Thousand Sixty-Five Dollars ($65,065.00) per
          month, in advance on the first day of each month of the term. If the
          Commencement Term begins or ends on a day other than the first or last
          day of a month, the rent for the partial month shall be prorated on a
          per diem basis. During the term of this Sublease, the minimum rent
          shall be increased on the annual anniversary date by the percentage
          increase in the CPI for the

                                       -3-

<PAGE>

          twelve (12) month period immediately preceding said adjustment date.
          However, notwithstanding the foregoing, in no event shall the minimum
          rent during the term of this Sublease increase on any adjustment date
          by more than three percent (3%) of the minimum rent payable
          immediately prior to such adjustment date. Since possession of the
          Premises shall be given to Sublessee on an incremental basis, as set
          forth in Section 6 above, the prorated rent shall be the square
          footage of which Sublessee is in possession divided by 329,075
          multiplied by $65,065.00 (rate of $.20 per square foot per month).
          There shall be no adjustments for the Trailer Parking or Parking.

     7.2  Taxes and Insurance Costs. Sublessee shall pay to Sublessor as
          additional rent .5351 percent (53.51%) of the taxes and insurance as
          required by the Master Lease on the Master Premises, prorated `as of
          the Commencement Date and/or the Termination Date, whichever the case
          may be, to cover only the period of time within the year or policy
          period during which the term of this Lease shall be in effect. The
          insurance shall name Sublessee as an additional insured and costs
          chargeable to Sublessee shall be reasonably apportioned based upon the
          square footage of the Premises, but in no event shall such costs
          chargeable to Sublessee be greater than that which Sublessee can
          obtain directly for comparable coverage from an insurance carrier with
          a rating as good or better than that coverage through which Sublessor
          insures as shown by "Best' s Insurance Reports Property - Casualty".
          Sublessor shall provide Sublessee with a copy of the insurance
          policies with the insurance coverages as required by this Sublease and
          by the Master Lease and agrees to keep the same in full force and
          effect with a thirty (30) day notice to Sublessee prior to
          cancellation" provision in each such policy.

     7.3. Operating Costs. Except as specifically otherwise provided in this
          Sublease, if the Master Lease requires Sublessor to pay to Lessor all
          or a portion of the expenses of operating, maintaining, repairing, or
          replacing the building and/or project, or the components thereof, of
          which the Premises are a part ("Operating Costs"), including, but not
          limited to taxes, utilities, insurance, exterior and interior
          maintenance, and common area maintenance, the Sublessee shall pay to
          Sublessor as additional rent .5351 percent (53.51%) of the amounts
          payable by Sublessor for Operating Costs incurred during the Term.
          Such additional rent shall be payable as and when Operating Costs are
          payable by Sublessor to Lessor. If the Master Lease provides for the
          payment by Sublessor of Operating Costs on the basis of an estimate
          thereof, then as and when adjustments between estimated and actual
          Operating Costs are made under the Master Lease, the obligations of
          Sublessor and Sublessee hereunder shall be adjusted in a like manner;
          and if any such adjustment shall occur after the expiration or earlier
          termination of the Term, then the obligations of Sublessor and
          Sublessee under this Subsection 7.3 shall survive such expiration or
          termination. Sublessor shall, upon request by Sublessee, furnish
          Sublessee with copies of all statements submitted by Lessor of actual
          or estimated Operating Costs during the Term.

                                       -4-

<PAGE>

8.   UTILITY COSTS.

     In the office space (3,750 square feet an the Premises out of 15,000 square
     feet of office space in the Master Premises), charges for gas, electrical
     and other utilities that are not separately metered shall be paid on a pro
     rata basis, i.e., twenty-five percent (25%) to Sublessee and seventy-five
     percent (75%) to Sublessor. in the warehouse space (325,325 square feet on
     the Premises out of 600,000 square feet of warehouse space in the Master
     Premises), charges for gas and other utilities that are not separately
     metered shall be paid on a pro rata basis, i.e., fifty-four and two tenths
     percent (54.2%) to Sublessee and forty-five and eight tenths percent
     (45.8%) to Sublessor. Electric usage shall be separately metered for the
     warehouse space.

9.   OTHER OPERATING/MAINTENANCE COSTS AND FUNCTIONS.

     (a)  Sublessor shall be granted access to the Premises on a reasonable
     basis to take appropriate action to maintain Sublessor's food grade status.
     Such access shall be no more frequently than once weekly, shall be
     scheduled so as to not interfere with Sublessor's business /warehouse
     operations, and shall be at Sublessor's sole expense. Sublessor warrants
     that such actions by Sublessor shall have no effect on Sublessee's business
     operations, employees, products or other property, nor shall such access by
     Sublessor cause Sublessee any increase in its costs of doing business.

     (b)  Sublessee, at its expense, shall provide its own security and
     janitorial services to the Premises and shall maintain the same in a manner
     consistent with that as evidenced by the Sublessor. Sublessor, at its
     expense, shall provide its own security and janitorial services for the
     balance of the Master Premises.

     (c)  Sublessor shall provide and pay for all roof and structural repair,
     replacement and maintenance, subject to the provisions of Section 9 (e)
     below. Sublessor agrees to commence with the replacement of the roof on the
     Master Premises by no later than September 30, 1994, and shall diligently
     proceed to complete the replacement in a timely manner.

     (d)  At the commencement of this sublease, Sublessor shall make the
     necessary repairs to Sublessee's portion of the parking lot marked for
     Sublessee's exclusive use on Exhibit "B" of this Agreement. It shall be
     Sublessee's responsibility to maintain and/or repair this portion of the
     parking lot as needed during this Sublease term, or any extension thereof.
     Sublessor agrees to he responsible for the maintenance or repair of the
     main access road (Industrial Parkway). The drivelanes on the Master
     Premises used on a non-exclusive basis by both parties shall be maintained
     .5351 percent (53.51%) by Sublessee and .4649 percent (46.49%) by
     Sublessor.

     (e)  Sublessor and Sublessee shall each be responsible for any damages
     caused to the Premises by its own negligence or due to the acts of their
     respective agents, employees, customers or invitees, respectively.

     (f)  Except as specifically otherwise provided, Sublessee shall be
     responsible for all other operating, repair and maintenance expenses of the
     Premises and Sublessor shall be

                                       -5-

<PAGE>

     responsible for all other operating, repair and maintenance expenses of the
     Master Premises (excluding the Premises).

     (g)  Sublessor agrees that Sublessee shall incur no expenses for repair,
     maintenance or replacement of the mechanical systems (including without
     limitation, HVAC system, electrical system, overhead doors and plumbing
     system) for 30 days after the Commencement Date and Sublessor shall pay for
     the same, except as caused through acts of Sublessee as provided in Section
     9.e., above.

10.  ADVANCE RENT PAYMENT.

     As security for Sublessee's faithful performance of Sublessee's obligations
     hereunder, Sublessee shall, concurrent with the execution of this Sublease,
     deliver to Sublessor the sum of One Hundred Thirty Thousand One Hundred and
     Thirty Dollars ($130,130.00) ("Advance Rent").

     Of the Advance Rent $65,065.00 shall be a prepayment of the first full
     month's rent after Sublessee has received possession of all the Premises,
     and the other $65,065.00 shall be security for Sublessee's performance of
     the terms of this Sublease.

     If during the first year of the Sublease term, Sublessee does not receive
     written notification from Sublessor that it has defaulted on any of its
     obligations, as set forth in this Sublease, then it may apply the
     $65,065.00 Advance Rent towards the fourteenth (14th) calendar month for
     which rent is due. In the event Sublessee does default on any of its
     obligations during the first year of the Sublease term, then Sublessee will
     be required to maintain the Advance Rent throughout the balance of the
     Sublease term.

11.  DAMAGE AND DESTRUCTION.

     (a)  Sublessee shall notify Sublessor in writing immediately upon the
     occurrence of any damage large enough to be subject to an insurance claim
     to the Premises. If the Premises shall be partially damaged by fire or any
     other casualty insured under Sublessor's insurance policy, Sublessor shall,
     upon receipt of the insurance proceeds, repair the Premises and until
     repair is complete the rent shall he abated proportionately as to that
     portion of the Premises rendered untenantable. Notwithstanding the
     foregoing, if: (a) the Premises by reason of such occurrence are rendered
     wholly untenantable for Sublessee's purposes, or (b) the Premises should be
     damaged as a result of a risk which is not covered by Sublessor's
     insurance, or (c) the Premises or the building of which it is a part,
     whether the Premises are damaged or not, should be damaged to the extent of
     forty percent (40%) or more of the then-monetary value, then and in any
     such events, Sublessor may either elect to repair the damage or may cancel
     this Sublease by notice of cancellation within thirty (30) days after such
     event and thereupon this Sublease shall expire, and Sublessee shall vacate
     and surrender the Premises to Sublessor within a reasonable time.
     Sublessee's liability for rent upon the termination of this Sublease shall
     cease as of the day following Sublessor's giving notice of cancellation. In
     the event Sublessor elects to repair any damage, any abatement of rent
     shall end five (5) days after notice by Sublessor to Sublessee that the
     Premises have been repaired.

                                       -6-

<PAGE>

     (b)  During the last year of the Lease, if the Premises is partially or
     totally destroyed by any cause whatsoever, and regardless of whether any
     insurance proceeds are available, this Sublease shall terminate as of the
     date the destruction occurred, at the election of either party, and
     Sublessee shall assign any insurance proceeds on the Premises to Sublessor.

12.  HAZARDOUS MATERIALS.

     (a)  As used in this Sublease, the term "Hazardous Material" means any
     flammable items, explosives, radioactive materials, hazardous or toxic
     substances, material or waste or related materials, including any
     substances defined as or included in the definition of "hazardous
     substances", "hazardous wastes", "hazardous materials" or "toxic
     substances" now or subsequently regulated under any applicable Federal,
     State or local laws or regulation, including without limitation
     petroleum-based products, paints, solvents, lead, cyanide, DDT, printing
     inks, acids, pesticides, ammonia compounds and other chemical products,
     asbestos, PCBs and similar compounds, and including any different products
     and materials which are subsequently found to have adverse effects on the
     environment or the health and safety of persons. Sublessee shall not cause
     or permit any Hazardous Material to be generated, produced, brought upon,
     used, stored, treated or disposed of in or about the Premises by Sublessee,
     its agents, employees, contractors, or invitees without prior written
     consent of Sublessor. Consent is hereby given to Sublessee's use of
     standard cleaning agents, labeling paints and inks used in the ordinary
     course of a warehouse business operation. Sublessee agrees to provide
     Sublessor concurrent with the execution of this Sublease a written list
     with the substance and approximate quantity to be stored at any time on the
     Premises. Sublessee is responsible for making any required modifications to
     meet current codes regarding storage of such substances. If storage of such
     substances causes Sublessor's insurance costs to increase, Sublessee shall
     be responsible for payment of the amount of such increased costs.

     (b)  During the term hereof, Sublessee shall comply with the requirements
     of all applicable Federal, state and local environmental, health, safety
     and sanitation laws, ordinances, codes, rules and regulations and orders of
     any regulatory and administrative authority with respect to Sublessee's
     occupancy and actions of its employees, invitees, or agents.

     (c)  During the term hereof, Sublessor shall comply with the requirements
     of all applicable Federal, state and local environmental, health, safety
     and sanitation laws, ordinances, codes, rules and regulations and orders of
     any regulatory and administrative authority with respect to Sublessor's
     occupancy and actions of its employees, invitees, or agents.

     (d)  Sublessee agrees to indemnify, defend and hold harmless the Sublessor
     from and against all loss, liability, damage and expense, including costs
     associated with administrative and judicial proceedings, remediation to
     acceptable standards, and attorney's fees, ever suffered or incurred by
     Sublessor on account of Sublessee's occupancy and actions or non-actions of
     its employees, agents or invitees for (i) failure to comply with any
     environmental, health, safety or sanitation law, code, ordinance, rule or
     regulation or any interpretation or order of any regulatory or
     administrative authority with

                                       -7-

<PAGE>

     respect thereto; (ii) release of hazardous materials or substances on,
     upon, in or from the premises; and (iii) all damages to natural resources
     or real property and/or harm or injury to persons resulting or alleged to
     have resulted from such failure to comply and/or release of hazardous
     material or substances. Sublessee shall not be responsible for any
     environmental conditions existing prior to its use or occupancy of the
     Premises or caused by other Tenants or Sublessor. As of the commencement
     date of this Sublease, Sublessor represents, or the best of its knowledge
     or belief, that there exists no environmental violation of any law or
     regulation on the Master Premises.

     (e)  Sublessor agrees to indemnify, defend and hold harmless the Sublessee
     from and against all loss, liability, damage and expense, including costs
     associated with administrative and judicial proceedings, remediation to
     acceptable standards, and attorney's fees, ever suffered or incurred by
     Sublessee on account of Sublessor's business use, condition on, or
     substances maintained upon the Master Premises (excluding the Premises) and
     actions or non-actions of its employees, agents or invitees for (i) failure
     to comply with any environmental, health, safety or sanitation law, code,
     ordinance, rule or regulation or any interpretation or order of any
     regulatory or administrative authority with respect thereto; (ii) release
     of hazardous materials or substances on, upon in or from the premises; and
     (iii) all damages to natural resources or real property and/or harm or
     injury to persons resulting or alleged to have resulted from such failure
     to comply and/or release of hazardous material or substances.

     (f)  The provisions of Sections 9a through 9e shall survive the termination
     of this Sublease for a period of three (3) years.

13.  USE OF PREMISES.

     The Premises shall be used and occupied only for warehousing, assembly,
     offices, and for no other uses or purposes.

14.  ASSIGNMENT AND SUBLETTING.

     (a)  Sublessee shall not assign this Sublease, or further sublet all or any
     part of the Premises, without the prior written consent of Sublessor (and
     the consent of Lessor, if such is required under the terms of the Master
     Lease), which consent cannot be unreasonably refused, and which consent
     must be given in a timely manner.

     (b)  Sublessee shall pay to Sublessor as Additional Rent under the Lease
     fifty percent (50%) of the Profit (defined below) on such transaction as
     and when received by Sublessee. The "Profit" means all amounts paid to
     Tenant for such assignment or sublease, including "buy-in" money and
     monthly rent in excess of the monthly rent payable under the Lease.
     Sublessee is entitled to recover such costs and expenses directly incurred
     by Sublessee in connection with the execution and performance of such
     sublease or assignment (for real estate broker's commissions and costs of
     renovation or construction of tenant improvements required under such
     assignment or sublease) before Sublessee is obligated to pay to Sublessor
     its share of any Profit.

                                       -8-

<PAGE>

15.  LANDLORD'S CONSENT.

     Sublessee's request for consent to any transfer shall set forth in writing
     the details of the proposed transfer, including the name, business and
     financial condition of the prospective transferee, financial details of the
     proposed transfer (e.g., the term of and the rent and security deposit
     payable under any proposed assignment or sublease), and any other
     information Sublessor deems relevant.

16.  SUBLESSOR'S RIGHTS, DUTIES AND RESPONSIBILITIES.

     (a)  Sublessor shall provide Sublessee with copies of any minutes/records
     of meetings with the Lessor, annual inspection reports or Approved Capital
     Expenditures, as provided in the Master Lease, and shall disclose any
     material defects or conditions for which the costs for remedy of the same
     are chargeable to Sublessee under this Sublease or which conditions will
     have a material adverse effect on Sublessee's use of the Premises.

     (b)  Sublessor hereby irrevocably and unconditionally waives, releases and
     relinquishes any claim to a Landlord's" lien, against any property of
     Sublessee on the Premises, including but not limited to inventory and
     equipment. In connection with this, Sublessor agrees to execute such
     documents as may be reasonably required by Sublessee's lender.

     (c)  Sublessor agrees, at its expense, to provide and install interior
     chain link fencing no less than 12 feet (12') in a secure height dividing
     the warehouse Premises from the Master Premises. The fencing shall be
     installed within fourteen (14) days after the date Sublessee is scheduled
     to receive possession of all the Premises.

     (d)  Sublessor warrants the Railroad Spur Agreement is in full force and
     effect. Sublessee shall incur no costs for said Agreement unless it chooses
     to utilize railroad spur services. If Sublessee utilizes the railroad spur
     services, it will pay 53.51% of the cost thereafter incurred to maintain
     the Railroad Spur Agreement in full force and effect. Sublessor shall keep
     the Railroad Spur Agreement in full force and effect during the term of
     this Sublease.

     (e)  On or before the date on which sublessee is delivered possession of
     all the Premises, Sublessor shall at its expense provide a separate
     electrical meter for the warehouse portion of the Premises.

     (f)  Sublessor agrees to relocate the area currently housing its pesticides
     to a location contained entirely within Sublessor's premises and copies of
     Material Safety Data Sheets for all pesticides so stored will be supplied
     to Sublessee in a timely manner.

17.  SUBLESSEE'S RIGHTS, DUTIES AND RESPONSIBILITIES.

     (a)  Sublessee may display and/or erect reasonable signage on the Premises
     to protect its use and rights provided herein and for its reasonable
     business purposes. All signs must have Sublessor's prior written approval
     and must be in accordance with any applicable code.

                                       -9-

<PAGE>

     (b)  Sublessee shall not make any alterations to the Premises without the
     prior written consent of Sublessor, which may not be unreasonably withheld.

     (c)  Section 15.15 of the Master Lease has no application to Sublessee and
     sublessor agrees that said section shall only apply to Sublessor and
     specifically releases Sublessee from application of said section.

18.  ADDITIONAL SUBLESSOR WARRANTIES.

     (a)  Sublessor agrees that so long as Sublessee fully complies with all of
     the terms, covenants and conditions herein contained on sublessee's part to
     be kept and performed, Sublessee shall and may peaceably and quietly have,
     hold and enjoy the Premises during the sublease term hereof without such
     possession being disturbed or interfered with by Sublessor or by any person
     claiming by, through or under, Sublessor. Sublessor further covenants and
     represents that Sublessor has full right, power and authority to make,
     execute and deliver the Sublease.

     (b)  Sublessor has received no notice, nor to the best of its knowledge
     does Sublessor know of any pending or threatened legal actions regarding
     its occupancy of the Premises or Master Premises.

     (c)  Sublessor has received no notice, nor to the best of its knowledge
     does Sublessor know of any fire, zoning, health, building code or other
     federal, state or local violation of law regarding the Premises or Master
     Premises.

     (d)  Sublessor has no actual knowledge of the existence of Hazardous
     Materials (in excess of quantities otherwise permitted under Environmental
     Laws) on the Premises or Master Premises. Sublessor warrants the Premises
     to be free from any hazardous materials and in compliance with all
     environmental laws and regulations. Sublessor further warrants and agrees
     to use its best efforts to keep the Master Premises free from the same.

19.  OTHER PROVISIONS OF SUBLEASE.

     Except as otherwise modified herein, all clearly applicable terms and
     conditions of the Master Lease are incorporated into and made a part of
     this Sublease as if Sublessor were the lessor thereunder, Sublessee the
     lessee thereunder, and the Premises the Master Premises. If any provisions
     of this Sublease conflict with provisions of the Master Lease, the
     provisions of this Sublease shall govern.

     The following terms and conditions of the Master Lease are modified as
     follows:

          Article 2.2., Option to Renew, deleted in its entirety.

          Article 5, Maintenance, Repairs and Alterations; modified as follows:

               Replace 5.1(c) with: Sublessor shall be responsible for roof and
               structural maintenance; however, Sublessee shall be responsible
               for the cost of any

                                      -10-

<PAGE>

               roof or structural repairs necessitated by the acts of Sublessee,
               its employees, agents, customers or invitees. See Section 9(c)
               herein.

               5.1(f) shall be deleted in its entirety.

               Article 5.4., Alterations; delete in its entirety. Replace with:
               Sublessee shall not make any alterations to the Premises without
               the prior written consent of Sublessor, which may be reasonably
               withheld.

          Article 10, Assignment and Subletting; replace 10.1, 10.2, 10.3 with
          Section 14 of this Sublease.

          Article 14, Broker's Fee; replaced by Section 23 of this Sublease.

          Article 15.4, Notices; replaced by Section 24 of this Sublease.

20.  FIRST RIGHT OF REFUSAL

     Sublessor hereby grants Sublessee a first right of refusal on the Master
     Premises (excluding the Premises) at the time all or any portion of the
     Master Premises is offered for sublease. Sublessor shall give written
     notice to Sublessee as to the space availability.

     Sublessee shall have ten (10) days from the date of receipt thereof within
     which to advise Sublessor, in writing, of its desire to sublease the
     additional space, subject to the terms and conditions of this Sublease
     Agreement. The space must be taken by Sublessee, if it elects to sublease
     the space, coterminous with the balance of the Term and at the then current
     rate, subject to the annual CPI increases.

     This first right of refusal shall extend with and run with the Master
     Premises or any portion thereof. Any failure of Sublessee to exercise the
     first right of refusal shall not waive its right to exercise the same as to
     any subsequent lease or sublease of all or any portion of the Master
     Premises by Sublessor.

     As used in this paragraph 20, the word "Sublessor" includes its successors,
     assigns, sublessees and tenants. The words "lease", "sublease" or "rental"
     include any assignment of interest in all or any portion of the Master
     Premises or rights in the same.

21.  PRE-POSSESSION INSPECTION.

     Prior to taking possession of the Premises the parties shall jointly
     conduct an inspection of the same and shall note existing problems, repair
     requirements and damages. Excepting those items attributable to normal wear
     and tear, a report of the inspection shall be signed and dated by the
     parties and attached as Exhibit "C" to this Sublease. In no event shall
     Sublessee become responsible for rectifying any problems, making any
     repairs or correcting any damages existing at the time that Sublessee took
     possession.

22.  ATTORNEY'S FEES.

                                      -11-

<PAGE>

     If Sublessor or Sublessee shall commence an action against the other
     arising out of or in connection with this Sublease, the prevailing party
     shall be entitled to recover its costs of suit and reasonable attorney's
     fees.

23.  AGENCY DISCLOSURE.

     Sublessor and Sublessee each warrant that they have dealt with no other
     real estate broker in connection with this transaction except GATX
     Logistics Properties, Inc. and CB Commercial Real Estate Group, Inc. who
     represents Sublessor, and consolidated Realty Group who represents
     Sublessee. Each party to the Sublease agrees to indemnify, and hold
     harmless the other party from claims of any other broker making claims
     through that party.

24.  NOTICES.

     All notices and demands which may or are to he required or permitted to be
     given by either party on the other hereunder shall be in writing. All
     notices and demands by the Sublessor to Sublessee shall be sent by United
     States Mail, postage prepaid, addressed to the Sublessee at the Premises,
     and to the address hereinbelow, or to such other places as Sublessee may
     from time to time designate in a notice to the Sublessor. All notices and
     demands by the Sublessee to Sublessor shall be sent by United States Mail,
     postage prepaid, addressed to the Sublessor at the address set forth
     herein, and to such other person or place as the Sublessor may from time to
     time designate in a notice to the Sublessee.

     To Sublessor:      Unit Distribution of Utah, Inc. c/o GATX Logistics,
                        Inc./1301 Gulf Life Drive, Suite 1800, Jacksonville,
                        Florida 32207 Attn: Real Estate

     To sublessee:      ProForm Fitness Products, Inc./1500 South 1000 West,
                        Logan, Utah 84321-0270

                        Weslo, Inc./1500 South 1000 West, Logan, Utah 84321-0270

25.  TIME.

     Time is of the essence of this Sublease.

26.  REMEDIES.

     Each party may have such remedies upon breach of this Sublease as may be
     provided by statutory or common law.

27.  TRAILER DROP LOT.

     Sublessor agrees to make available to Sublessee that unimproved portion of
     the site consisting of approximately 4 acres directly north of, and
     adjacent to, the paved parking lot adjoining the northerly most section of
     the warehouse building, for the purpose of creating a drop lot for its
     trailers. Sublessee shall be solely responsible for any and all

                                      -12-

<PAGE>

     costs associated with the permits, improvements and maintenance expenses
     required for their specified use of this site, and must insure that it is
     in compliance with all applicable and governing codes and ordinances.

     Sublessee may request the use of this area at any time during the term of
     Sublease. The rental rate shall be $4,800.00 per acre, per year, and shall
     be calculated based upon the actual acreage required by Sublessee.

                                        UNIT DISTRIBUTION OF UTAH, INC.

                                        By:     /s/ ILLEGIBLE
                                           -------------------------------------
                                        Title:   C.O.O.
                                              ----------------------------------
                                        Date:    7-6-94
                                             -----------------------------------

                                                        SUBLESSOR

                                        PROFORM FITNESS PRODUCTS, INC.

                                        By:     /s/ S. Fred Beck
                                           -------------------------------------
                                        Title:   CFO
                                              ----------------------------------
                                        Date:    7/5/94
                                             -----------------------------------

                                        WESLO, INC.

                                        By:     /s/ S. Fred Beck
                                           -------------------------------------
                                        Title:   CFO
                                              ----------------------------------
                                        Date:    7/5/94
                                             -----------------------------------

                                                        SUBLESSEE

                                      -13-

<PAGE>

                           FIRST AMENDMENT TO SUBLEASE

1.   Identification and Parties.

     This First Amendment to Sublease (this "Amendment") is made and entered
into this 31st day of July, 1994, by and between UNIT DISTRIBUTION OF UTAH,
INC., a Utah Corporation ("Sublessor") and PROFORM FITNESS PRODUCTS, INC. and
WESLO, INC., both Utah Corporations (collectively "Sublessee").

2.   Recitals.

     2.1. On or about July 6, 1994, Sublessor and Sublessee entered into that
certain sublease whereby Sublessor subleased to Sublessee approximately 325,325
square foot of warehouse space and 3,750 square foot of office space contained
within the 615,000 square foot warehouse building located at 1051 South
Industrial Parkway in Clearfield, Utah.

     2.2. It is the desire of the parties to amend the Sublease to change the
amount of the minimum rent due for each full month during the initial 12-month
period of the Sublease. The defined terms used herein shall have the same
meaning assigned to them in the Sublease unless a definition appears herein.

3.   Amendment.

     3.1. The minimum rent figure shown in Section 7.1, "Minimum Rent", of the
Sublease shall be changed from $65,065.00 to SIXTY FIVE THOUSAND EIGHT HUNDRED
FIFTEEN AND N0/100 DOLLARS ($65,815.00).

     3.1. Except as expressly modified herein, all of the terms and conditions
of the Sublease, as amended, shall remain in full force and effect.

     IN WITNESS WHEREOF, the parties have executed this instrument on the year
and date first above written.

"SUBLESSOR"                              "SUBLESSEE"

UNIT DISTRIBUTION OF UTAH, INC., A       PROFORM FITNESS PRODUCTS, INC., a
Utah Corporation                         Utah Corporation

By:    /s/ ILLEGIBLE                     By:    /s/ S. Fred Beck
   -------------------------------          ------------------------------

Title: Chief Financial Officer           Title:        CFO
      ----------------------------             ---------------------------

Date:   8/22/94                          Date:        8/22/94
     -----------------------------            ----------------------------

<PAGE>

                          SECOND AMENDMENT TO SUBLEASE

1.   Identification and Parties.

     This Second Amendment to Sublease (this "Amendment") is made and entered
into this 28th day of April, 1995, by and between UNIT DISTRIBUTION OF UTAH,
INC., a Utah Corporation ("Sublessor") and ICON HEALTH AND FITNESS,INC.,
formerly known as PRO-FORM FITNESS, INC. and WESLO, INC., both Utah Corporations
(collectively, "Sublessee").

2.   Recitals.

     2.1   On or about July 6, 1994, Sublessor and Sublessee entered into that
certain Sublease whereby Sublessor subleased to Sublessee approximately 325,325
square feet of warehouse space and 3,750 square feet of office space contained
within the 615,000 square foot warehouse building located at 1051 South
Industrial Parkway in Clearfield, Utah.

     2.2   On or about July 31, 1994, said Sublease was amended by the First
Amendment to Sublease whereby the minimum rent due for each full month during
the initial 12-month period was increased to $65,815.00.

     2.3   It is the desire of the parties to now further amend the Sublease to
reflect an increase in the amount of Subleased warehouse space and minimum
monthly rend as follows:

3.   Amendment

     3.1   The warehouse square footage figure shown in Section 3. "Premises" of
the Sublease shall be changed from 325,325 square feet to 328,650 square feet.

     3.2   The minimum rent figure shown in Section 7.1 "Minimum Rent" of the
Sublease, and which was changed pursuant to the First Amendment to Sublease,
shall be increased from $65,815.00 to Sixty-six Thousand Four Hundred Eighty and
00/00 Dollars ($66,480.00).

     3.3   Both of the Changes set forth in 3.1 and 3.2 above shall be deemed to
have taken effect as of January 1, 1995.

     3.4   Except as expressly modified herein, all of the terms and conditions
of the Sublease, as amended, shall remain in full force and effect.

<PAGE>

     IN WITNESS WHEREOF, the parties have executed this instrument on the year
and date first written above.

"SUBLESSOR"                                "SUBLESSEE"

UNIT DISTRIBUTION OF UTAH, INC., A         PROFORM FITNESS PRODUCTS, INC., a
Utah Corporation                           Utah Corporation

By:     /s/ ILLEGIBLE                      By:   /s/ S. Fred Beck
   ----------------------------------         ----------------------------------

Title:      CFO                            Title:         CFO
      -------------------------------            -------------------------------

Date:    4/28/95                           Date:       4/18/95
     --------------------------------           --------------------------------

                                       -2-

<PAGE>

                           THIRD AMENDMENT TO SUBLEASE

         The Third Amendment to Sublease made this ____ day of________________,
1996, by and between UNIT DISTRIBUTION OF UTAH, INC., a Utah corporation
("Sublessor") and ICON HEALTH AND FITNESS, INC., formerly know as PRO-FORM
FITNESS, INC., and WESLO, INC., both Utah corporations (collectively,
"Sublessee").

                                    RECITALS

         A. Sublessor and Sublessee entered into that certain Sublease dated
July 6, 1994, for approximately 325,325 square feet of warehouse space and
approximately 3,750 feet of office space in the Building consisting of
approximately 615,000 square feet located at 1051 South Industrial Parkway,
Clearfield, Weber County, Utah, together with the exclusive use of a portion of
the parking facilities adjacent to the north end of the Building and other
parking facilities and amenities as set forth therein.

         B. The Sublease was amended by First Amendment to Sublease dated July
31, 1994 (the First Amendment"), and the Second Amendment to Sublease dated
April 28, 1995 (the "Second Amendment"), to increase the minimum rent required
by Section 7.1 of the Sublease for the initial 12 month period of the Sublease
to $66,480.00 and to enlarge the square footage of subleased warehouse space
from 325,325 square feet to 328,650 square feet of warehouse space so that the
total square footage of warehouse and office space leased to Sublessee under the
Sublease is 332,400 square feet.

         The Sublease described in paragraph A above, as amended by the First
Amendment and the Second Amendment, shall hereinafter be referred to as the
"Sublease."

         C. Sublessor and Sublessee desire to amend the Sublease on the terms
and conditions hereinafter set forth.

         NOW, THEREFORE, in consideration of the covenants and promises
hereinafter set forth, and other good and valuable consideration, the receipt
and sufficiency of which is hereby acknowledged, the parties agree as follows:

         1. The Sublease is hereby amended to enlarge the Premises to include
the additional 282,600 square feet of space in the Building located at 1051
South Industrial Parkway, Clearfield, Weber County, Utah, which was not
heretofore included in the Premises, together with the exclusive right to use
all of the parking facilities and amenities now serving the Building

<PAGE>

as identified on the Site Plan attached hereto as Exhibit "A." (the "Additional
Space") As of the date of this Third Amendment, the portion of the Building not
occupied by Sublessee is being used by Sublessor, but will be turned over
incrementally to Sublessee in broom clean condition on the schedule set forth on
Exhibit "B" attached hereto. Each incremental portion of the 282,600 square feet
shall become a part of the Premises on the date upon which possession is
delivered to Sublessee, and the term of the Sublease with respect to such
Additional Space shall end on December 31, 2003, unless sooner terminated or
further extended as provided herein.

                  2. Sublessee hereby exercises its option pursuant to Paragraph
5 of the Sublease to extend the term of the Sublease as amended for an
additional term commencing on July 1, 1999, and ending on December 31, 2003.

         3. Rent shall continue to be paid on the 332,400 square feet of
warehouse and office space leased by Sublessee under the Sublease prior to this
Third Amendment, at the minimum rent rate as set forth in paragraph 7.1 of the
Sublease as amended by the First Amendment and the Second Amendment, subject to
annual adjustment as set forth in the Sublease. With respect to the additional
282,600 square feet of Additional Space, commencing on May 1, 1996, Sublessee
shall pay to Sublessor as a minimum rent for such Additional Space, without
deduction or right of set off and without notice or demand, at the initial rate
of $3.15 per square foot per annum, payable in equal monthly installments, in
advance on the first date of each month during the term of the Sublease as
amended hereby (except as otherwise provided in Exhibit "B" attached hereto).
During the term of this Sublease, the minimum rent for the Additional Space
shall be increased annually commencing on June 1, 1997, and continuing on June 1
of each successive year thereafter through the term of the Sublease as amended
hereby, by the percentage increase in the CPI for the twelve (12) month period
immediately preceding said adjustment date. However, notwithstanding the
foregoing, in no event shall the minimum rent for the Additional Space during
the term of this Sublease increase on any adjustment date by more than three
percent (3%) of the minimum rent payable immediately prior to such adjustment
date, with each installment of rent due under this Sublease. With each
installment of rent or additional rent due under the Sublease, Sublessee shall
pay to Sublessor all sales tax due upon such rental payment.

                                      -2-

<PAGE>

         4. Notwithstanding anything to the contrary set forth in paragraph 10
of the Sublease, Sublessor shall retain throughout the remainder of the term of
the Sublease, as amended hereby, the $65,065.00 paid to Sublessor upon
commencement of the term of the Sublease as security for Sublessee's performance
of its obligations under the Sublease.

         5. Paragraph 7.2 of the Sublease is hereby amended to delete ".5351
percent (53.51%)" as set forth in line 2 thereof and to substitute "100%" in its
place.

         6. Paragraph 7.3 of the Sublease is hereby amended to delete ".5351
percent (53.51%)" in line 10 thereof and substitute "100%" in its place.

         7. Paragraph 16(d) of the Sublease is hereby amended to delete "53.51%"
as set forth in line 5 thereof and to substitute "100%" in its place.

         8. Paragraph 3 of the Sublease is hereby amended to delete "54.20%" as
set forth in line 22 thereof and to substitute "100%" in its place.

         9. Sublessee at its own expense, shall maintain in good condition and
repair all portions of the parking area subject to exclusive use by Sublessee as
shown on Exhibit "A" attached hereto, including 100% of the cost of the drive
lanes on the Master Premises described in paragraph 9(d) of the Sublease.

         10. Sublessee shall pay for all gas, electrical and other utilities
furnished to the Premises. Effective upon June 1, 1996, Sublessee shall obtain
all required utility services through accounts in its own name directly with the
utility providers.

         11. Provided (i) that Sublessee is not in default under the terms of
the Sublease, (ii) that Sublessee has fully performed all of its obligations
stated herein, and (iii) that the Master Lease is then in full force and effect,
Sublessee shall have the option to extend the term of the Sublease as amended
hereby, on the entire 615,000 square feet of the Premises for an additional
three (3) year term commencing on January 1, 2004, and terminating on December
31, 2006, by giving written notice to Sublessor not later than January 1, 2003.
Such extension shall be on the same terms and conditions as set forth herein
except that minimum rent for the entire 615,000 square feet of the Premises for
the first year of such extended term shall be the same minimum rent as was in
effect for the Additional Space as of December 31, 2003. The minimum rent on the
Premises shall be increased annually on January 1, 2005, and January 1, 2006, by
the percentage increase in the CPI for the twelve (12) month period immediately
preceding said

                                      -3-

<PAGE>

adjustment date. However, notwithstanding the foregoing, in no event shall the
minimum rent during such extended term increase on any adjustment date by more
than five percent (5%) of the minimum rent payable immediately prior to such
adjustment date.

         12. The Sublease is hereby amended to delete paragraph 27 thereof.

         13. Sublessee acknowledges that the Master Landlord is responsible to
coordinate the maintenance and repairs of the access road to the Building in
which the Premises are located. Sublessor will use its best efforts to assist
Sublessee in a non-monetary manner in addressing any maintenance or repair
issues relating to the road with the Master Landlord.

         14. Any terms of the Sublease not inconsistent with this Third
Amendment are hereby ratified and confirmed and shall continue in full force and
effect.

         IN WITNESS WHEREOF, the undersigned have executed this Amendment as of
the day and year first above written.

Signed, sealed and delivered           UNIT DISTRIBUTION OF UTAH, INC.,
in the presence of:

__________________________________     By:______________________________________
Print: ___________________________          Print:______________________________
                                            Its: ___________________ President

__________________________________
Print: ___________________________                   (Corporate Seal)

                                       ICON HEALTH AND FITNESS, INC.

__________________________________     By:______________________________________
Print: ___________________________          Print:______________________________
                                            Its: ___________________ President

__________________________________
Print: ___________________________                   (Corporate Seal)

                                      -4-

<PAGE>

                                   EXHIBIT "B"

The Premises shall be incrementally enlarged by the addition to the Premises of
282,600 square feet of additional space on the following schedule:

     1.   Possession of an additional area consisting of approximately 100,000
          square feet of space shall be delivered by Sublessor to Sublessee
          between April 15, 1996 and April 30, 1996. Rent shall commence to be
          paid on such additional space in advance on May 1, 1996, and continue
          to be paid on the first day of each consecutive month thereafter
          throughout the term of the Sublease.

     2.   Possession of an additional area consisting of approximately 112,600
          square feet of space shall be delivered by Sublessor to Sublessee
          between May 1, 1996, and May 15, 1996. Rent shall commence to be paid
          on such additional space on May 15, 1996. Rent for the period from May
          15, 1996, through May 31, 1996, shall be paid in arrears on June 1,
          19096. All other rent for such additional space shall be paid monthly
          in advance commencing on June 1, 1996, and continue to be paid on the
          first day of each month thereafter throughout the term of this
          Sublease.

     3.   Possession of the remaining area consisting of approximately 60,000
          square feet of warehouse and office space shall be delivered by
          Sublessor to Sublessee on or before August 1, 1996. Rent shall be
          payable on such additional area in advance commencing on August 1,
          1996, and continuing on the first day of each month thereafter
          throughout the term of this Sublease.

All space delivered by Sublessor to Sublessee under clauses 1., 2., and 3. above
shall be contiguous to warehouse or office space already in Sublessee's
possession.

Notwithstanding anything to the contrary set forth in paragraphs 5, 6, 7, 8 or 9
of the Third Amendment, until such time as Sublessee is in possession of the
entire 615,000 square feet of the Premises, Sublessee shall be required to pay
only a pro rata share of the costs required by paragraphs 7.2, 7.3, 16(d), 3 of
Sublease to be paid by Sublessee and a prorata share of the cost of maintenance
of the parking area, equal to a fraction the numerator of which is the number of
square feet of the Premises then in Sublessee's possession and the denominator
of which is 615,000.

                                       -5-

<PAGE>

                                  ADDENDUM "A"

                ICON SUBLEASE CPI INCREASE AND RENTAL ADJUSTMENT

Increase @ 1.6843% - New rent $73,223.15 beginning Jue 1998

Months           Adj. Monthly/Yearly Rent  Monthly/Yearly Rent Paid  Balance Due
------           ------------------------  ------------------------  -----------
June 1998 thru
May 1999         $73,223.15 - $878,677.80  $72,010.28 - $864,123.36  $14,554.44
                                                                     ----------

Increase @ 1.9632% - New rent $74,660.67 beginning June 99

Month            Adjusted Monthly Rent     Monthly Rent Paid         Balance Due
-----            ---------------------     -----------------         -----------
June 1999        $74,660.67                72,010.28                 $2,650.39
                                                                     ---------

Monthly rental for the extension term from September 1, 1999 through December
31, 1999, $76,900.49 (including the 1999 CPI increase).

Month            Adjusted Monthly Rent     Monthly Paid       Balance Due
-----            ---------------------     ------------       -----------
September        $76,900.49                $72,010.28         $4,890.21.
                                                              ----------

Total Due GATX Logistics, Inc.:
                              $14.554/44 June 1998-May 1999
                              $ 2,650.39 June 1999
                              --------------------
                        Total $17,204.83 for recapture of 1998/1999 CPI increase
                              $ 4,890.21 underpaid from September
                              ----------
                              $22,095.04 Total Due

                                       -6-

<PAGE>

                           FIFTH AMENDMENT TO SUBLEASE

     This FIFTH AMENDMENT TO SUBLEASE (the "Amendment") is entered into as of
this 9/th/ day of September, 1999 by and between GATX LOGISTICS, INC., a Florida
corporation ("Sublessor"), and ICON HEALTH AND FITNESS, INC., a Utah corporation
(formerly known as Proform Fitness Products, Inc. and Weslo, Inc.)
("Sublessee").

                                    Recitals

     A.   Pursuant to that certain Sublease dated July 6, 1994, as amended on
July 31, 1994, April 28, 1995, August 27, 1996 and June 28, 1999 (collectively,
the "Sublease") by and between Sublessor's predecessor-in-interest (Unit
Distribution of Utah, Inc.) and Sublessee (or its predecessor-in-interest),
Sublessee subleased certain premises consisting of approximately 332,400
rentable square feet comprised of approximately 328,650 rentable square feet of
warehouse space and approximately 3,750 square feet of office space in a
building commonly known as 1051 South Industrial Parkway, Clearfield, Weber
County, Utah (the "Subleased Premises").

     B.   Sublessor and Sublessee desire to amend the Sublease to, among other
things, extend the term of the Sublease, all in accordance with the terms and
conditions set forth below.

     C.   All capitalized terms used herein not specifically defined shall have
the meanings ascribed to such terms in the Sublease. The term "Sublease" where
used in the Sublease shall hereinafter refer to the Sublease as amended by this
Amendment.

     NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, Sublessor and Sublessee hereby
agree as follows:

     1.   Extension of Term. The term of the Sublease is hereby extended for a
period of four (4) months from September 1, 1999 through December 31, 1999 (such
period from September 1, 1999 through December 31, 1999 shall be referred to
herein as the "Extension Term"). Sublessee agrees to vacate and surrender the
Subleased Premises to Sublessor in good condition and repair on or before
December 31, 1999.

     2.   Minimum Rent. The minimum rent payable by Sublessee to Sublessor for
the Extension Term shall be Seventy Six Thousand Nine Hundred and 49/100
($76,900.49) per month. Concurrently with the execution of this Amendment,
Tenant shall pay the foregoing sum for the minimum rent payable for the month of
September, 1999. Additionally, Sublessee shall

<PAGE>

pay to Sublessor Sublessee's proportionate share of taxes, insurance costs and
operating costs within five (5) days of Sublessor's demand therefor.

     3.   Past Due Rent: Holdover: Effectiveness of this Amendment.
Notwithstanding anything to the contrary contained in the Sublease or this
Amendment, Sublessee hereby acknowledges and agrees that it has not made various
payments of rent that were payable to Sublessor and are now past due in the
aggregate sum of Twenty Two Thousand Ninety-Five and 04/100 Dollars ($22,095.04)
(the "Past Due Amount"), and Sublessee hereby agrees that it shall pay the
entire Past Due Amount, in addition to all other rental payable hereunder as set
forth in Section 2 above, on or before September 15, 1999 (the "Outside Date").
Sublessee further agrees that notwithstanding anything to the contrary contained
in the Sublease or herein, if Sublessee fails to pay the Past Due Amount to
Sublessor in immediately available funds on or before the Outside Date, then, at
Sublessor's sole election, the extension of the term set forth in Section 1
shall be null and void and of no force or effect and Sublessee shall be
considered to have a subtenancy at sufferance which may be terminable by
Sublessor at any time in its sole discretion subject to all the terms contained
in the Sublease, except that the minimum rent payable hereunder shall be equal
to 200% of the last applicable monthly minimum rent, which shall not be prorated
for any partial month. Acceptance of such rent shall not constitute a waiver by
Sublessor of any re-entry or any rights of Sublessor nor shall it be deemed an
extension or renewal of the Sublease term without a written election thereof by
Sublessor. In addition, Sublessee shall be liable for all damages incurred by
Sublessor as a result of such holdover.

     4.   Sublessee's Acceptance of the Premises "As Is". Sublessee acknowledges
that it has previously been occupying the Subleased Premises under the Sublease,
and Sublessee agrees to continue to accept the Subleased Premises in its
presently existing "as is" condition, without representation or warranty by
Sublessor whatsoever.

     5.   Attorney's Fees. In the event either party shall commence an action to
enforce any provision of this Amendment, the prevailing party in such action
shall be entitled to receive from the other party, in addition to damages,
equitable or other relief, and all costs and expenses incurred, including
reasonable attorneys fees and court costs and fees incurred to enforce any
judgement obtained.

     6.   Severability. This provision with respect to attorneys fees incurred
to enforce a judgement shall be severable from all other provisions of this
Amendment, shall survive any judgement, and shall not be deemed merged into the
judgement.

     7.   Authority. Sublessee has full power and authority to enter this
Amendment and the person signing on behalf of Sublessee has been fully
authorized to do so by all necessary corporate action on the part of Sublessee.

     8.   Estoppel. Sublessee warrants, represents and certifies to Sublessor
that as

<PAGE>

of the date of this Amendment: (a) Sublessor is not in default under the
Sublease; and (b) Sublessee does not have any defenses or offsets to payment of
rent and performance of its obligations under the Sublease as when same becomes
due.

     9.   Sublease in Full Force. Except for those provisions which are
inconsistent with this Amendment, all other terms, covenants and conditions of
the Sublease shall remain unmodified and in full force and effect.

     IN WITNESS WHEREOF, this Amendment is executed as of the date first written
above.

Sublessor                                 Sublessee:

GATX LOGISTICS, INC.                      ICON HEALTH AND FITNESS, INC. a
                                          Utah Corporation

By:      /s/ Michael J. Gardner           By:     /s/ Kent S. Lundgreen
   --------------------------------          -----------------------------
    Name:  Michael J. Gardner                Name:  Kent S. Lundgreen
         --------------------------                 ----------------------
    Title: Executive V.P. and C.O.O          Title: Materials Manager
           ------------------------                 ----------------------
    Date:  September 17, 1999
           ------------------------

<PAGE>

                           SIXTH AMENDMENT TO SUBLEASE

     This SIXTH AMENDMENT TO SUBLEASE (the "Amendment") is entered into as of
this 1/st/ Day of December, 1999 by and between GATX LOGISTICS, INC., a Florida
corporation ("Sublessor"), and ICON HEALTH AND FITNESS, INC., a Utah corporation
(formerly known as Proform Fitness Products, Inc. and Weslo, Inc.)
("Sublessee").

                                    Recitals

     A.   Pursuant to that certain Sublease dated July 6, 1994, as amended on
July 31, 1994, April 28, 1995, August 27, 1996, June 28, 1999 and September 9,
1999 (collectively, the "Sublease") by and between Sublessor's
predecessor-in-interest (Unit Distribution of Utah, Inc.) and Sublessee (or its
predecessor-in-interest), Sublessee subleased certain premises consisting of
approximately 332,400 rentable square feet comprised of approximately 328,650
rentable square feet of warehouse space and approximately 3,750 square feet of
office space in a building commonly known as 1051 South Industrial Parkway,
Clearfield, Weber County, Utah (the "Subleased Premises").

     B.   Sublessor and Sublessee desire to amend the Sublease to, among other
things, extend the term of the Sublease, all in accordance with the terms and
conditions set forth below.

     C.   All capitalized terms used herein not specifically defined shall have
the meanings ascribed to such terms in the Sublease. The term "Sublease" where
used in the Sublease shall hereinafter refer to the Sublease as amended by this
Amendment.

     NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, Sublessor and Sublessee hereby
agree as follows:

     1.   Extension of Term. The term of the Sublease is hereby extended for a
period of three (3) months from January 1, 2000 through March 31, 2000 (such
period from January 1, 2000 through March 31, 2000 shall be referred to herein
as the "Extension Term"). Sublease agrees to vacate and surrender the Subleased
Premises to Sublessor in good condition and repair on or before March 31, 2000.

     2.   Minimum Rent. The minimum rent payable by Sublessee to Sublessor for
the Extension Term shall be Seventy Six Thousand Nine Hundred and 49/100 Dollars
($76,900.49) per month. Additionally, Sublessee shall pay to Sublessor
Sublessee's demand therefor.

     3.   Sublease's Acceptance of the Premises "As Is". Sublessee acknowledges
that it has previously been occupying the Subleased Premises under the Sublease,
and Sublessee agrees to continue to accept the Subleased Premises in its
presently existing "as is" condition without representation or warranty by
Sublessor whatsoever.

<PAGE>

     4.   Attorney's Fees. In the event either party shall commence an action to
enforce any provision of this Amendment, the prevailing party is such action
shall be entitled to receive from the other party, in addition to damages,
equitable or other relief, and all costs and expenses incurred, including
reasonable attorneys fees and court costs and fees incurred to enforce any
judgement obtained.

     5.   Severability. This provision with respect to attorneys fees incurred
to enforce a judgement shall be severable from all other provisions of this
Amendment, shall survive any judgement, and shall not be deemed merged into the
judgement.

     6.   Authority. Sublessee has full power and authority to enter into this
Amendment and the person signing on behalf of Sublessee has bee fully authorized
to do so by all necessary corporate action on the part of Sublessee.

     7.   Estoppel. Sublessee warrants, represents and certifies to Sublessor
that as of the date of this Amendment: (a) Sublessor is not in default under the
Sublease; and (b) Sublessee does not have any defenses or offsets to payment of
rent and performance of its obligations under the Sublease as and when same
becomes due.

     8.   Sublease in Full Force. Except for those provisions which are
inconsistent with this Amendment, all other terms, covenants and conditions of
the Sublease shall remain unmodified and in full force and effect.

     IN WITNESS WHEROF, this Amendment is executed as of the date first written
above.

Sublessor                                 Sublessee:

GATX LOGISTICS, INC.                      ICON HEALTH AND FITNESS, INC. a
                                          Utah Corporation

By:      /s/ Michael J. Gardner           By:     /s/ Kent S. Lundgreen
   --------------------------------          -----------------------------
    Name:  Michael J. Gardner                Name:  Kent S. Lundgreen
         --------------------------                 ----------------------
    Title: Executive V.P. and C.O.O          Title: Materials Manager
           ------------------------                 ----------------------
    Date:  December 13, 1999
           ------------------------

<PAGE>

                          SEVENTH AMENDMENT TO SUBLEASE

     This SEVENTH AMENDMENT TO SUBLEASE (the "Amendment") is entered into as of
this 31st day of March, 2000 by and between GATX LOGISTICS, INC., a Florida
corporation ("Sublessor"), and ICON HEALTH AND FITNESS, INC., a Utah corporation
(formerly known as Proform Fitness Products, Inc. and Weslo, Inc.)
("Sublessee").

                                    Recitals

     A.   Pursuant to that certain Sublease dated July 6, 1994, as amended on
July 31, 1994, April 28, 1995, August 27, 1996, June 28, 1999, September 9, 1999
and December 1, 1999 (collectively, the "Sublease") by and between Sublessor's
predecessor-in-interest (Unit Distribution of Utah, Inc.) and Sublessee (or its
predecessor-in-interest), Sublessee subleased certain premises consisting of
approximately 332,400 rentable square feet comprised of approximately 328,650
rentable square feet of warehouse space and approximately 3,750 square feet of
office space, as forth on the attached Exhibit "A", in building commonly known
as 1051 South Industrial Parkway, Clearfield, Weber County, Utah (the "Subleased
Premises").

     B.   Sublessor and Sublessee desire to amend the Sublease to, among other
things, extend the term of the Sublease, all in accordance with the terms and
conditions set forth below.

     C.   All capitalized terms used herein not specifically defined shall have
the meanings ascribed to such terms in the Sublease. The term "Sublease" where
used in the Sublease shall hereinafter refer to the Sublease as amended by this
Amendment.

     NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, Sublessor and Sublessee hereby
agree as follows:

     1.   Extension of Term. The term of the Sublease is hereby extended for a
period commencing April 1, 2000 through March 31, 2001 (such period from April
1, 2000 through March 31, 2001 shall be referred to herein as the "Extension
Term"). Sublessee agrees to vacate and surrender the Subleased Premises to
Sublessor in good condition and repair and in accordance with the terms of the
Sublease, on or before March 31, 2001.

     2.   Minimum Rent. The minimum rent payable by Sublessee to Sublessor for
the Extension Term shall be Seventy-Six Thousand Nine Hundred and 49/100 Dollars
($76,900.49) per month. In accordance with the terms of the Master Lease,
Section 7.1 Minimum Rent, the Minimum Rent stated herein shall be subject to a
CPI increase as set forth in the section referenced above. Additionally,
Sublessee shall pay to Sublessor Sublease's proportionate share of property
taxes, insurance costs and operating costs within five (5) days of Sublessor's
demand therfor.

     3.   Expansion Space: Provided that Sublessee is not then in default of the
Sublease and subject to space availability and Sublessor's sole discretion,
Sublessor shall offer to Sublessee any additional vacant space contained within
the remainder of the building in which

<PAGE>

the "Subleased Premises" are a part, under the same terms and conditions as set
forth within the Sublease. Sublessor shall notify Sublessee in writing of the
availability of such expansion space and Sublessee shall have five (5) days
following receipt of notice to, in writing, accept or reject the offered space.

     4. Sublessee's Acceptance of the Premises "As Is". Sublessee acknowledges
that it has previously been occupying the Subleased Premises under the Sublease,
and Sublessee agrees to continue to accept the Subleased Premises in its
presently existing "as is" condition, without representation or warranty by
Sublessor whatsoever.

     5. Attorney's Fees. In the event either party shall commence an action to
enforce any provision of this Amendment, the prevailing party in such action
shall be entitled to receive from the other party, in addition to damages,
equitable or other relief, and all costs and expenses incurred, including
reasonable attorneys fees and court costs and fees incurred to enforce any
judgement obtained.

     6. Severability. This provision with respect to attorneys fees incurred to
enforce a judgement shall be severable from all other provisions of this
Amendment, shall survive any judgement, and shall not be deemed merged into the
judgement.

     7. Authority. Sublessee has full power and authority to enter into this
Amendment and the person signing on behalf of Sublessee has been fully
authorized to do so by all necessary corporated action on the part of Sublessee.

     8. Estoppel. Sublessee warrants, represents and certifies to Sublessor that
as of Sublease; and (b) Sublessee does not have any defenses or offsets to
payment of rent and performance of its obligations under the Sublease as and
when the date of this Amendment: (a) Sublessor is not in default under the same
becomes due.

     9. Sublease in Full Force. Except for those provisions which are
inconsistent with this Amendment, all other terms, covenants and conditions of
the Sublease shall remain unmodified and in full force and effect.

IN WITNESS WHEROF, this Amendment is executed as of the date first written
above.

Sublessor                                 Sublessee:

GATX LOGISTICS, INC.                      ICON HEALTH AND FITNESS, INC. a
                                          Utah Corporation

By:      /s/ ILLEGIBLE                    By:    /s/ Jon M. White
   --------------------------------          -----------------------------
    Name:   [ILLEGIBLE]                      Name:  Jon M. White
         --------------------------                 ----------------------
    Title:  [ILLEGIBLE]                      Title: SR. V.P. of Mfg.
           ------------------------                 ----------------------
    Date:   [ILLEGIBLE]
           ------------------------

<PAGE>

                          EIGHTH AMENDMENT TO SUBLEASE

     This EIGHTH AMENDMENT TO SUBLEASE (the "Amendment") is entered into as of
the 1/st/ day of April, 2001 by and between APL LOGISTICS WAREHOUSE MANAGEMENT
SERVICES, INC., a Florida corporation, fka GATX Logistics, Inc. ("Sublessor"),
and ICON HEALTH AND FITNESS, INC., a Utah corporation (fka Proform Fitness
Products, Inc. and Welso, Inc.) ("Sublessee").

                                    Recitals

     A.   Pursuant to that certain Sublease dated July 6, 1994 (the "Original
Sublease"), as amended on July 31, 1994, April 28, 1995, August 27, 1996, June
28, 1999, September 9, 1999, December 1, 1999 and March 31, 2000 (collectively,
the "Sublease") by and between Sublessor's predecessor-in-interest (Unit
Distribution of Utah, Inc.) and Sublessee (or its predecessor-in-interest),
Sublessee subleases from Sublessor certain premises consisting of approximately
332,400 rentable square feet comprised of approximately 328,650 rentable square
feet of warehouse space and approximately 3,750 rentable square feet of office
space in a building commonly known as 1051 South Industrial Parkway, Clearfield,
Weber County, Utah, as depicted on Exhibit "A" attached hereto (the "Subleased
Premises", or "Premises"). The Sublease is subject and subordinate to the master
lease relating to the Subleased Premises under which Sublessor is the prime
lessee (as the same may be amended and supplemented, the "Master Lease").

     B.   Sublessor and Sublessee desire to amend the Sublease to, among other
things, (I) extend the term of the Sublease, and (ii) add to the Subleased
Premises, on an incremental basis, the remainder of the Master Premises (defined
in Section 2 of the Original Sublease and containing a total of 615,000 rentable
square feet, which square footage includes 15,000 square feet of office space),
which remainder contains an additional 282,600 rentable square feet contiguous
to the Subleased Premises, all in accordance with the terms and conditions set
forth below.

     C.   All capitalized terms used herein not specifically defined shall have
the meanings ascribed to such terms in the Sublease. The term "Sublease" where
used in the Sublease shall hereafter refer to the Sublease as amended by this
Amendment.

                                    Agreement

      NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, Sublessor and Sublessee hereby
agree as follows:

<PAGE>

      1.    Extension of Term. The term of the Sublease is hereby extended for a
period of thirty-three (33) months, from April 1, 2001 (the "Renewal
Commencement Date") through December 31, 2003 (the "Expiration Date"). Sublessee
agrees to vacate and surrender the Subleased Premises (including the Must Take
Space, as defined blow) to Sublessor in good condition and repair on or before
the Expiration Date and otherwise in accordance with the terms of the Sublease.
The period commencing on the Renewal Commencement Date and ending on the
Expiration Date is referred to herein as the "Extended Term".

      2.    Must-Take Space. Sublessee hereby agrees to (a) add to the Subleased
Premises, on the date that is thirty (30) days after the date of the mutual
execution of this Amendment, approximately 50,000 additional rentable square
feet of ware house space contiguous to the original Subleased Premises, as such
space is designated by Sublessor (the "First Must Take Space"); (b) add to the
Subleased Premises, on the date that is sixty (60) days after the date of the
mutual execution of this Amendment, approximately 50,000 additional rentable
square feet of warehouse space contiguous to the First Must Take Space, as such
space is designated by Sublessor (the "Second Must Take Space"); and (c) add to
the Subleased Premises, on the date that is six (6) months after the date of the
mutual execution of this Amendment, the remainder of the Master Premises,
containing approximately 182,600 additional rentable square feet of warehouse
space contiguous to the Second Must Take Space (the "Third Must Take Space), as
such space is designated by Sublessor. The square footages of the First Must
Take Space, Second Must Take Space and Third Must Take Space set forth in this
Section 2 are hereby stipulated by Sublessor and Sublessee to be true and
correct. The effective date of Sublessee's lease of the First Must Take Space
shall be the date that is thirty (30) days after the date of the mutual
execution of this Amendment (the "First Must Take Commencement Date), the
effective date of Sublessee's lease of the Second Must Take Space shall be the
date that is sixty (60) days after the date of the mutual execution of this
Amendment (the "Second Must Take Commencement Date") and the effective date of
Sublessee's lease of the Third Must Take Space shall be the date that is six (6)
months after the date of the mutual execution of this Amendment (the "Third Must
Take Commencement Date"). Sublessee's lease of the First Must Take Space, Second
Must Take Space and Third Must Take Space shall be on the same terms and
conditions as affect the original Subleased Premises; provided, however, that
(A) Sublessee's proportionate share of taxes, insurance, Operating Costs, and
all other items for which Sublessee is responsible for its proportionate share
under the Sublease shall be increased to take into account the additional number
of rentable square feet of the First Must Take Space, Second Must Take Space and
Third Must Take Space, as further set forth in Section 4 below, and (ii) the
First Must Take Space, Second Must Take Space and Third Must Take Space shall be
leased to Sublessee in their then current condition, subject to the improvements
to be constructed pursuant to Section 6 below, without any representations or
warranties. The term of Sublessee's lease for the First Must Take Space, Second
Must Take Space and Third Must Take Space, and Sublessee's obligation to pay
rent and all other charges with respect to the First Must Take Space, Second
Must Take Space and Third Must Take Space shall commence upon the First Must
Take Commencement Date, Second Must Take Commencement Date and Third Must Take
Commencement Date respectively, and shall expire on the "Expiration Date".
Sublessor shall not be liable to Sublessee or otherwise be in default hereunder
in the event that Sublessor is unable to deliver the First Must Take Space,
Second Must Take Space or Third Must Take Space

<PAGE>

to Sublessee on the projected delivery date thereof, and in the event Sublessor
is unable to deliver the First Must Take Space, Second Must Take Space, or Third
Must Take Space as applicable, on the projected date, then the First Must Take
Commencement Date, Second Must Take Commencement Date and Third Must Take
Commencement Date, as applicable, shall be the date that Sublessor delivers the
First Must Take Space, Second Must Take Space or Third Must Take Space, as
applicable, to Sublessee. Within ten (10) days after Sublessor's written
request, if any, Sublessee shall execute a commencement date memorandum with
respect to the Sublease, on Sublessor's then standard form (which forms hall be
reasonably satisfactory to Sublessee), adding the First Must Take Space to the
Subleased Premises upon the terms and conditions set forth in this Section 2;
failure by Sublessee to timely execute such memorandum shall constitute a
default under the Sublease. Within then (10) days after Sublessor's written
request, if any, Sublessee shall execute a commencement date memorandum with
respect to the Sublease, on Sublessor's then standard form (which form shall be
reasonably satisfactory to Sublessee), adding to the Second Must Take Space to
the Subleased Premises upon the terms and conditions set forth in this Section
2; failure by Sublessee to timely execute such memorandum shall constitute a
default under the Sublease. Within ten (10) days after Sublessor's written
request, if any, Sublessee shall execute a commencement date memorandum with
respect to the Sublease, on Sublessor's then standard form (which form shall be
reasonably satisfactory to Sublessee), adding the Second Must Take Space to the
Subleased Premises upon the terms and conditions set forth in this Section 2;
failure by Sublessee to timely execute such memorandum shall constitute a
default under the Sublease. Within ten (10) days after Sublessor's written
request, if any, Sublessee shall execute a commencement date memorandum with
respect to the Sublease, on Sublessor's then standard form (which form shall be
reasonably satisfactory to Sublessee), adding the Third Must Take Space to the
Subleased Premises upon the terms and conditions set forth in this Section 2;
failure by Sublessee to timely execute such memorandum shall constitute a
default under the Sublease. The First Must Take Space, Second Must Take Space
and Third Must Take Space are referred to collectively herein as the "Must Take
Space". Notwithstanding that memorandums may not be executed in connection with
the addition of the Must Take Space to the Subleased Premises, the First Must
Take Space, Second Must Take Space and Third Must Take Space shall be deemed
part of the "Subleased Premises" and "Premises" under the Sublease on the First
Must Take Commencement Date, Second Must Take Commencement Date and Third Must
Take Commencement Date, as applicable, upon and subject to the terms and
conditions of this Amendment.

      3.    Minimum Rent. (a) Commencing on the Renewal Commencement Date, the
minimum rent payable by Sublessee to Sublessor for the Subleased Premises shall
equal Seventy-Nine Thousand Seven Hundred Seventy-Six and 00/100 Dollars
($79,776.00) per month (i.e., $0.24 per rentable square foot per month).
Additionally, Sublessee shall continue to be required to pay to Sublessor
Sublessee's proportionate share (as such proportionate share is modified in
Section 4 below) of taxes, insurance costs and Operating Costs within five (5)
days of Sublessor's demand therefor, as further set forth in the Sublease.

      (b)   Commencing on the First Must Take Commencement Date, the minimum
rent for the Subleased Premises shall be increased by an amount equal to Twelve
Thousand and 00/100 Dollars ($12,000.00) per month (i.e., the square footage of
the First Must Take Space, 50,000,

<PAGE>

multiplied by $0.24 per rentable square foot per month) (in addition to the
minimum rent for the original Subleased Premises), thereby increasing the
minimum rent payable by Sublessor to Sublessee for the Subleased Premises to
equal Ninety-One Thousand Seven Hundred Seventy-Six and 00/100 Dollars
($91,776.00) per month. Such amount shall further increase as set forth below.
Additionally, Sublessee shall continue to be required to pay to Sublessor
Sublessee's proportionate share (as such proportionate share is modified in
Section 4 below) of taxes, insurance costs and Operating Costs within five (5)
days of Sublessor's demand therefor, as further set forth in the Sublease.

      (c)   Commencing on the Second Must Take Commencement Date, the minimum
rent for the Subleased Premises shall be increased by an amount equal to Twelve
Thousand and 00/100 Dollars ($12,000.00) per month (i.e., the square footage of
the First Must Take Space, 50,000, multiplied by $0.24 per rentable square foot
per month) (in addition to the minimum rent for the original Subleased Premises
and First Must Take Space), thereby increasing the minimum rent payable by
Sublessor to Sublessee for the Subleased Premises to equal One Hundred Three
Thousand Seven Hundred Seventy-Six and 00/100 Dollars ($103,776.00) per month.
Such amount shall further increase as set forth below. Additionally, Sublessee
shall continue to be required to pay to Sublessor Sublessee's proportionate
share (as such proportionate share is modified in Section 4 below) of taxes,
insurance costs and Operating Costs within five (5) days of Sublessor's demand
therefor, as further set forth in the Sublease.

      (d)   Commencing on the Third Must Take Commencement Date, the minimum
rent for the Subleased Premises shall be increased by Forty-Three Thousand Eight
Hundred Twenty-Four and 00/100 Dollars ($43,824.00) per month (i.e., the
rentable square footage of the Third Must Take Space, 182,600, multiplied by
$0.24 per rentable square foot per month) (in addition to the minimum rent for
the original Subleased Premises, First Must Take Space and Second Must Take
Space), thereby increasing the minimum rent payable by Sublessor to Sublessee
for the Subleased Premises to equal One Hundred Forty-Seven Thousand Six Hundred
and 00/100 Dollars ($147,600.00) per month. Additionally, Sublessee shall
continue to be required to pay to the Sublessor Sublessee's proportionate shares
(as such proportionate share is modified in Section 4 below) of taxes, insurance
costs and Operating Costs within five (5) days of Sublessor's demand therefor,
as further set forth in the Sublease.

      4.    Proportionate Share; Pass Throughs. (a) Sublessor and Sublessee
acknowledge and agree that, notwithstanding anything to the contrary contained
in the Sublease, (i) Sublessee's proportionate share of taxes, insurance,
Operating Costs, and all other items for which Sublessee is responsible for its
proportionate share under the Sublease, is currently equal to Fifty-Four and
05/100 Percent (54.05%), (ii) notwithstanding the foregoing, Sublessee's
proportionate share of warehouse space (the "Warehouse Proportionate Share") is
currently equal to Fifty-Four and 78/100 Percent (54.78%) (i.e., 328,650
rentable square feet of warehouse space in the Subleased Premises out of 600,000
rentable square feet of warehouse space in the Master Premises), and (iii)
Sublessee's proportionate share of office space (the "Office Proportionate
Share") is currently equal to Twenty-Five Percent (25%) (i.e., 3,750 rentable
square feet of office space in the Subleased Premises out of 15,000 rentable
square feet of warehouse space in the Master Premises), as set forth in the
Sublease; accordingly, notwithstanding the foregoing, any amounts

<PAGE>

for which Sublessee is responsible under the Sublease that are calculated based
upon the separate proportionate shares of the office space and warehouse space
respectively (e.g., utilities that are not separately metered and amounts for
maintenance of the Trailer Parking area, all as more particularly described in
the Sublease) shall be calculated using such proportionate shares of the
warehouse and office space, which shares shall increase in accordance with the
provisions of subsections (b), (c) and (d) below.

      (b)   Notwithstanding subsection (a) above, effective on the First Must
Take Commencement Date, until the Second Must Take Commencement Date, (i)
Sublessee's proportionate share of taxes, insurance, Operating Costs, and all
other items for which Sublessee is responsible for its proportionate share under
the Sublease, shall equal Sixty-Two and 18/100 Percent (62.18%), (ii)
notwithstanding the foregoing, the Warehouse Proportionate Share shall be
increased to equal Sixty-Three and 11/100 Percent (63.11%) (i.e., 378,650
rentable square feet of warehouse space in the Subleased Premises and First Must
Take Space out of 600,000 rentable square feet of warehouse space in the Master
Premises), and (iii) notwithstanding the foregoing, the Office Proportionate
Share shall remain at Twenty-Five Percent (25%).

      (c)   Notwithstanding subsections (a) and (b) above, effective on the
Second Must Take Commencement Date, until the Third Must Take Commencement Date,
(i) Sublessee's proportionate share of taxes, insurance, Operating Costs, and
all other items for which Sublessee is responsible for its proportionate share
under the Sublease, shall be increased to equal Seventy and 31/100 Percent
(70.31%), (ii) notwithstanding the foregoing, the Warehouse Proportionate Share
shall be increased to equal Seventy-One and 45/100 Percent (71.45%), and (iii)
notwithstanding the foregoing, the Office Proportionate Share shall remain at
Twenty Five and 00/100 Percent (25%).

      (d)   Notwithstanding subsections (a), (b) and (c) above, effective on the
Third Must Take Commencement Date, for the remainder of the term of Sublease,
(i) Sublessee's proportionate share of taxes, insurance, Operating Costs, and
all other items for which Sublessee is responsible for its proportionate share
under the Sublease, shall be increased to equal One Hundred Percent (100%), (ii)
notwithstanding the foregoing, the Warehouse Proportionate Share shall be
increased to equal One Hundred Percent (100%), and (iii) notwithstanding the
foregoing, the Office Proportionate Share shall be increased to equal One
Hundred Percent (100%).

      (e)   The last sentence of Section 9(b) of the Original Sublease is hereby
deleted in its entirety and shall be of nor further force and effect.

      (f)   Sublessor hereby agrees that, effective as of the First Must Take
Commencement Date, the monthly amount charged to Sublessee for Sublessee's share
of taxes, insurance, Operating Costs (other than utilities) and Sublessor's
repair obligations under the Original Sublease shall not exceed a total of two
and one-half cents ($0.025) per rentable square foot of the subleased Premises
per monthly, calculated on a cumulative basis (the "Cap"). Nothing contained
herein shall limit (i) the costs of utilities for which Sublessee is responsible
under the Sublease (and notwithstanding anything to the contrary contained
herein, Sublessee shall be

<PAGE>

liable for all utilities used relating to the Subleased Premises), or (ii) any
other repair and/or maintenance obligations of Sublessee under the Sublease.

      5.    Letter of Credit. Concurrently with Sublessee's execution of this
Amendment, Sublessee shall deliver to Sublessor and irrevocable standby letter
of credit ("Letter of Credit") in the amount of One Hundred Forty-Seven Thousand
Six Hundred and 00/100 Dollars ($147,600.00) (the " Commitment Fee Amount")
which Letter of Credit shall (i) be issued by a financial institution reasonably
acceptable to Sublessor, (ii) have a Standard and Poor's rating of "A-" or
better, (iii) be acceptable in form and content to Sublessor, (iv) have an
initial term of at least twelve (12) months, and be renewed at least thirty (30)
days prior to expiration for additional period of twelve (12) months, and be
renewed at least thirty (3) days prior to expiration for additional periods of
twelve (12) months each until sixtieth (60/th/) day following the Expiration
Date, (iv) show Sublessor as beneficiary and Sublessee as account party, (v) be
in the form and content of Exhibit "C" attached hereto, and (vi) contain such
additional terms and conditions as may be reasonably required by any lender of
Sublessor, or by the issuing financial institution. The Letter of credit shall
be held by Sublessor as security for the full and faithful performance by
Sublessee of the terms, covenants and conditions of the Sublease. Sublessee
shall pay all expenses, points and/or fees incurred by Sublessee in obtaining
Letter of Credit.

      Without limiting the rights of Sublessor under the Sublease, and subject
to Sublessor's rights in the immediately following sentence, if Sublessee
breaches or defaults under any provisions of the Sublease, including but not
limited to the payment of minimum rent or other amounts payable by Sublessee
under the Sublease, and such breach or default continues beyond the expiration
of any applicable notice and cure period specifically provided for in the
Sublease for such breach or default, then Sublessor may draw on all or the
portion of such Letter of Credit determined by Sublessor in its reasonable
discretion to be necessary, and use, apply or retain such drawn funds for the
payment of any rent other sums in default or to compensate Sublessor for any
other loss or damage which Sublessor may suffer by reason Sublessee's default,
to compensate Sublessor for any loss or damage which Sublessor may suffer
thereby, to reimburse Sublessor for costs incurred in connection with the
Sublease (including, without limitation, costs incurred to improve the Subleased
Premises, any improvement costs and any brokerage commissions and attorneys'
fees), or as prepaid rent to be applied against Sublessee's rent and other
payment obligations. The proceeds received from any draw shall constitute
Sublessor's property, and not Sublessee's property or the property of the
bankruptcy estate of Sublessee. If Sublessee (i) breaches or defaults under any
provision of the Sublease more than once n any twelve (12) monthly period,
including but not limited to the payment of rent, or (ii) fails to renew the
Letter of Credit at least thirty (30) days prior to its expiration, then
Sublessor, in its sole and absolute discretion, shall be entitled to draw upon
the entire Commitment Fee Amount. The use, application or retention of the
Letter of Credit, or any portion thereof, shall not prevent Sublessor from
exercising any other rights or remedies provided under the Sublease, and shall
not operate as a limitation on any recovery to which Sublessor may otherwise be
entitled. Any amount of the Letter of Credit which is drawn upon by Sublessor
shall be used, applied or retained by Sublessor to apply in payment of rent or
to cure any other default. If Sublessor so uses or applies all or any portion of
said drawn Letter of Credit Sublessee shall within five (5) business days after
written demand therefore replace the original Letter of Credit with a new Letter
of Credit in

<PAGE>

the same amount as the Commitment Fee Amount as of the sate the Letter of Credit
was drawn upon by Sublessor, and in substantially the same form as the original
Letter of Credit. Sublessor shall not be required to keep said Letter of Credit
or any drawn funds thereunder separate from its general accounts. If Sublessee
performs all of Sublessee's obligations under the Sublease, then within sixty
(60) days following the expiration of the term of the Sublease, and after
Sublessee has vacated the Subleased Premises and surrendered the same to
Sublessor in accordance with the terms and conditions of the Sublease, the
Letter of Credit shall be returned to Sublessee. No trust relationship is
created herein between Sublessor and Sublessee with respect to the Letter of
Credit. Sublessee acknowledges that Sublessor has the right to sell, transfer or
mortgage its interest in the Subleased Premises and in the Sublease and
Sublessee agrees that in the event of any such sale, transfer or mortgage,
Sublessor shall have the right to transfer or assign the Letter of Credit to the
transferee or mortgagee, and in the event of any such transfer or mortgage (i)
Sublessee shall look solely to such transferee or mortgagee for the return of
the Letter of Credit and (ii) Sublessee shall pay all transfer fees or charges
imposed by the issuing banks as a result of such transfer.

         Sublessor and Sublessee acknowledge and agree that in no event or
circumstance shall the Letter of Credit or any renewal thereof or substitute
therefor be deemed to be or treated or intended to serve as a "security deposit"
within the meaning of applicable state law. The parties hereto (A) recite that
the Letter of Credit is not intended to serve as a security deposit, and any and
all other laws, rules and regulations applicable to security deposits in the
commercial context ("Security Deposit Laws") shall have no applicable or
relevance thereto and (B) waive any and all rights, duties and obligations
either party may now or, in the future, will have relating to or arising from
the Security Deposit Laws.

         6.  Acceptance of Subleased Premises and Must Take Space; Improvements.

         (a) Sublessee hereby acknowledges that it has been in occupancy of the
Subleased Premises, as described above. The Subleased Premises and Must Take
Space shall be leased by Sublessor to Sublessee in their current condition,
"With All Faults", "Without Any Representations or Warranties". Notwithstanding
the foregoing, Sublessor shall, at it s sole cost and expense (subject to the
Heater Reimbursement, as such terms defined below), using Sublessor's standard
materials, specifications, guidelines and procedures, perform, or cause the
lessor under the Master Lease to perform, the following work in the Subleased
Premises (collectively, "Sublessor's Work"): (a) re-carpet the office portion of
the Subleased Premises existing as of the date of this Amendment, using
industrial grade carpet; (b) re-paint the painted walls in the office portion of
the Subleased Premises existing as of the date of this Amendment; (c) install
industrial grade ceiling tile, vinyl tile and vinyl base in the office portion
of the Subleased Premises existing as of the date of this Amendment, in areas
determined by Sublessor; (d) install and additional five (5) dock doors in the
warehouse portion of the Subleased Premises, in areas to be mutually agreed upon
by Sublessor and Sublessee; (e) cause the floors in the Must Take Space to be in
reasonably good working order (taking into the age of the Must Take Space); and
(f) perform the improvements and repairs set forth on Exhibit "B" attached
hereto. Notwithstanding the foregoing, Sublessee shall reimburse to Sublessor,
within five (5) days after demand by Sublessor (the "Heater Reimbursement"), all
costs and expenses incurred by

<PAGE>

Sublessor in connection with any replacement of heaters in the Subleased
Premises, up to a maximum of One Thousand Nine Hundred and 00/100 Dollars
($1,900.00) per heater. Additionally, Sublessor and Sublessee acknowledge and
agree that: (i) Sublessor's Work may be performed while Sublessee is in
occupancy of the Subleased Premises (including any portion of the Must Take
Space), Sublessee hereby permitting access to the Subleased Premises to
accomplish the same; (ii) Sublessee shall not (and shall direct its agents to
not) interfere with Sublessor while Sublessor's Work is being performed; (iii)
Sublessor shall use commercially reasonable efforts to not materially and
unreasonably interfere with Sublessee's use of the Subleased Premises while
Sublessor's Work is being performed, and (iv) Sublessee will not be entitled to
any abatement of rent (however denominated) on account of the performance of
Sublessor's Work while Sublessee is in occupancy of the Subleased Premises
(including any portion of the Must Take Space), Sublessee hereby waiving any
such rights.

         Notwithstanding the foregoing, Sublessor hereby agrees that it will not
pass through to Sublessee the costs of the work described in this Section 6(a),
subject, however, to the Heater Requirement.

         (b) Sublessor and Sublessee hereby agree that, subject to reimbursement
by Sublessee (as described below), Sublessor shall repair and maintain the
Concrete Dock Areas and Floors (as such terms are defined below), and Sublessee
shall pay all costs incurred by Sublessor in connection therewith (subject to
the Cap) together with the Sublessee's payments of monthly minimum rent.
Sublessor and Sublessee acknowledge that concrete dock areas are currently
located in the warehouse portion of the original Subleased Premises (the
"Concrete Dock Areas"). Sublessors and Sublessee hereby agree that if repairs to
the concrete floors in the Premises (the "Floors') or to the Concrete Dock Areas
are required at any time during the term of the Sublease as a result of (A) the
usage of the Concrete Dock Areas and/or Floors in a manner not recommended by
the manual therefor, or in a manner exceeding the manufacturer's recommendations
therefore, by Sublessee or its employees, agents, contractors, licensees and/or
invitees, or (B) the negligence or willful acts of Sublessee or its employees,
agents, contractors, licensee and/or invitees, then Sublessee shall, at its sole
cost and expense, cause the Concrete Dock Areas and the Floors to be repaired,
and such repairs shall be performed in accordance with the terms of Section 7
below, and shall accordingly be considered "Sublessee Repairs" (provided,
however, that the Repair Date, as defined in Section 7, shall not be applicable
to such repairs).

         (c) Sublessee hereby agrees and warrants that it has investigated and
inspected the condition of the Subleased Premises and Must Take Space and the
suitability of same for Sublessee's purposes, and Sublessee does hereby waive
and disclaim any objection to, cause of action based upon, or claim that its
obligations hereunder should be reduced or limited because of the condition of
the Subleased Premises or the Must Take Space or the suitability of same for
Sublessee's purposes. Sublessee acknowledges that neither Sublessor nor any
agent nor any employee or Sublessor has made any representations or warranty
with respect to the Subleased Premises or the Must Take Space or with respect to
the suitability of the same for the conduct of Sublessee's business, and
Sublessee expressly warrants and represents that Sublessee has relied solely on
it sown investigation and inspection of the Subleased Premises and Must Take
Space in its decision to enter into this Amendment and let the Subleased
Premises and Must Take Space in

<PAGE>

their current condition. All representations and warranties contained in his
section shall be subject tot he Sublessor's improvements listed above in
paragraph 6(a), the Tenant's walk through inspection list detailed in Exhibit B
attached hereto, and subject to defects in workmanship or materials utilized in
such improvements performed by Sublessor, their agents, employees, or
representatives.

         7. Sublessee Repairs. Within sixty (60) days after the mutual execution
and delivery of this Amendment (the "Repair Date"), Sublessee shall, at
Sublessee's sole cost and expense, perform maintenance and repairs to the
lighting fixtures in the subleased Premises, as set forth on Exhibit "B"
attached hereto (collectively, the "Sublessee Repairs"). The Sublessee Repairs
shall be subject to the terms of the Sublease, and shall be performed by
Sublessee using materials and workmanship of similar quality tot hat already
installed,, all in a manner reasonable satisfactory to Sublessor. Sublessor
shall have the right, but not the obligation, to oversee and monitor the
Sublessee Repairs. All items in connection with the Sublessee Repairs
(including, without limitation, plans and specifications therefor) shall be
subject to the prior written approval of Sublessor. In connection with the
Sublessee Repairs, Sublessee shall not interfere with Sublessor's performance of
the Sublessor's Work or with any other actives of Sublessor at the Master
Premises. Any costs or expenses incurred by Sublessor in connection with the
Sublessee Repairs shall be reimbursed by Sublessee within five (5) days after
demand by Sublessor. Sublessee shall at its sole cost and expense obtain all
necessary approvals and permits pertaining to the Sublessee Repairs. Sublessee
shall perform the Sublessee Repairs in a good and workmanlike manner, in
accordance with all applicable federal, state, county and municipal laws, rules
and regulations, pursuant to a valid building permit, if applicable, and in
conformance with Sublessor's construction rules and regulations. Sublessee
hereby indemnifies, defends and agrees to hold Sublessor free and harmless from
all liens and claims of lien, and all other liability, claims and demands
arising out of any work done or material supplied to the Subleased Premises by
or at the request of Sublessee in connection with the Sublessee Repairs.
Sublessee shall at all time s keep the Subleased Premises and Master Premises
free all liens. Sublessee shall provide Sublessor with evidence that Sublessee
carries "builder's All Risk" insurance in an amount approved by Sublessor
covering the performance of the Sublessee Repairs, and such other insurance as
Sublessor may reasonable require, it being understood that all Sublessee Repairs
shall be insured by Sublessee pursuant to the Sublease immediately upon
completion thereof. In addition, Sublessor may, in its discretion, require
Sublessee to obtain a lien and completion bond or some alternate form of
security satisfactory to Sublessor in an amount sufficient to ensure the
lien-free completion of the Sublessee Repairs and naming Sublessor as a
co-obligee.

         8. Attorney's Fees. In the event either party shall commence an action
to enforce any provision of this Amendment, the prevailing party in such action
shall be entitled to receive from the other party, in addition to damages,
equitable or other relief, and all costs and expenses incurred, including
reasonable attorneys fees and court costs and fees incurred to enforce any
judgment obtained.

         9. Severability. This provision with respect to attorneys fees incurred
to enforce a judgment shall be severable from all other provisions of this
Amendment, shall survive and judgment, and shall not be deemed merged into the
judgment.

<PAGE>

         10. Authority. Sublessee has full power and authority to enter into
this Amendment and the person signing on behalf of Sublessee has been fully
authorized to do so by all necessary corporate action on part of Sublessee.

         11. Estoppel. Sublessee warrants, represents and certifies to Sublessor
that as of the date of this Amendment: (a) Sublessor is not in default under the
Sublease; and (b) Sublessee does not have nay defenses or offsets to payment of
rent and performance of its obligations under the Sublease as and when becomes
due.

         12. Square Footage. The square footages set forth in this Amendment
(including, without limitation, those set forth in the Recitals to this
Amendment) are hereby stipulated by Sublessor and Sublessee to be true and
correct.

         13. Landlord's Waiver. Within five (5) days after the mutual execution
and delivery of this Amendment, provided that Sublessee is not in material
breach or default under the Sublease, and, without limiting the foregoing,
Sublessee has paid all amounts due and owing under the Sublease and has
delivered the Letter of Credit to Sublessor pursuant to this Amendment, then
Sublessor and Sublessee shall execute a "Landlord's Waiver" in the form and
content attached hereto as Exhibit "D".

         14. Sublease in Full Force. Except for those provisions which are
inconsistent with this Amendment, all other terms, covenants and conditions of
the Sublease shall remain unmodified and in full force and effect.

         IN WITNESS WHEREOF, this Amendment is executed as of the date first
written above.

Sublessor:                                  Sublessee:

APL LOGISTICS WAREHOUSE                     ICON HEALTH AND FITNESS, INC., a
MANAGEMENT SERVICES, INC., a                Utah Corporation
Florida corporation, fka GATX               By:      /s/ Jon M. White
Logistics, Inc.                                ---------------------------------
                                               Name: Jon M. White
                                                    ----------------------------
By:         /s/ M. Gardner                     Title:  Sr. V.P. of Mfg
    ------------------------------------             ---------------------------
     Name:  M. Gardner
          ------------------------------
     Title:     COO
            ----------------------------

                                            By: ________________________________

                                                Name:___________________________

                                                Title:__________________________

<PAGE>

                                   EXHIBIT "A"

                               SUBLEASED PREMISES

<PAGE>

                                   EXHIBIT "B"

                                      WORK

<PAGE>

Clearfield Distribution Center - Bldg #1
ICON Requested Improvements

<TABLE>
<CAPTION>
Item #     Description Reference - Landlord Repairs                               Cost of Work      Respons. Party
<S>        <C>                                                                    <C>               <C>
1.1        Repair/correct areas along perimeter well where there                  Included below
           slight settling has occurred

1.2        Clean shop area walls and floor and paint surfaces,                      $     3,820     APLL
           allowance value

1.3        Repair concrete slab stress cracking (ICON and ___________)              $    10,795     APLL
           ICON affected area approximately 8895 s.f.

1.4        Repair spelled and gouged areas at construction joints on                $       728     APLL
           concrete slab affected area approximately 110 s.f.

1.5        Retrofit of Interior rail to provide same elevation as                 pricing below     N/A
           remaining Pricing separated for review as an alternate
           consideration

1.6        Repair unit heaters and or heat exchanger in warehouse                   $    11,872     ICON/APLL
           area (53 each @ $224/each)

1.7-A      Install dock doors at 4 existing oversized knock out locations
           Structural engineering costs and permits                                 $     3,193
           Sawcutting and Install dock doors                                        $    19,062
           Construct pit & furnish & install dock leveler                           $    25,850
           Furnish & Install vehicular restraint                                    $    15,930     None
           Electrical feeder to level and Vehicular restraint                       $     1,711
           Furnish & install dock seals                                             $     2,788
           New electrical panel for door circuitry                                  $       634
                                                                                  -------------
                                                             Subtotal               $    70,178     Ten Imp
                                           Cost per each door $17,544

1.7-B      Install dock doors at 6 new locations                                                    APLL
           Structural engineering costs and permits                                 $     6,293
           Sawcutting & Install dock doors                                          $     38,125    $75,440
           Construct Plt & furnish & install dock leveler                           $    51,690
           Furnish a Install vehicular restraint                                    $    33,860
           Electrical feeder to level and vehicular restraint                       $     3,512
           Furnish & Install dock seals                                             $     5,591     M/L
           New electrical panel for door circuitry                                  $     1,270
                                                                                  -------------

                                                             Subtotal               $   140,380
                        Cost per each door including electric $17,544               $   105,284 @ __ doors

1.8        Repair rain water gutters (completed in 2000 payment                     $     1,575     APLL
           outstanding)

1.9        Repair exterior light fixture (completed in 2000 payment                 $     3,918     APLL
           outstanding)

1.1        Replace, Where required, existing vertical caulk precast                 $     2,000     APLL
           panel joints (recaulk all vertical joints $9713, where                       maximum
           required allow $2000)

1.11       Repair existing dock doors including material handling
           equipment
           Dock Door #19 - replace truck restraint & service leveler                $     4,388     APLL
           Dock Door #20 - replace with steel faced bumper & service leveler        $       448     "
           Dock Door #21 - replace truck restraint & repair pit welds               $       872     "
           Dock Door #22 - servicedock leveler                                      $       139     "
           Dock Door #23 - reweld pit frame, grout corner of frame
           with concrete re-anchor dock bumpers and dock leveler                    $       338
           Dock Door #24 - remove and replace dock leveler in new
           concrete pit replace truck restraint                                     $     7,616     "
           Dock Door #25 - replace with steel faced bumper & service                $               "
           leveler                                                                  $       448     "
           Dock Door #26 - service dock leveler                                     $               "
           Dock Door #27 - service dock leveler                                     $       134
           Dock Door #28 - service dock leveler                                     $       134
                                                                                    $       134
                                                                                  -------------
                                                                                    $    14,426     APLL
</TABLE>

<PAGE>

Clearfield Distribution Center - Bldg #1
ICON Requested Improvements

<TABLE>
<S>                                                                                        <C>             <C>
1.12      Office Finishes - standard industrial grade finishes only
          Demolition of existing floor finishes and haul off                                $     3,136
          Repair existing drywall and paint                                                 $    14,952
          Carpet square replacement in computer room                                        $     3,906
          Carpet replacement                                                                $    17,117
          Vinyl composition tile and vinyl base - replacement                               $     8,502
          Rubber flooring at entry                                                          $     3,276
          Paint - doors and casings throughout office area                                  $     4,301
          Remove ceiling tile throughout offices and replace with new tile                  $    13,256
          Replace toilet petitions at tower office area                                     $     1,344
          Repair and or finish existing drywall at tower office                             $       560
          Final clean up of all office areas                                                $     2,240
                                                                                            -----------
                                          Subtotal                                          $    72,490    APLL

1.13      Recaulk exterior windows on south elevation of building                           $     2,000    APLL
          (recaulk all exterior windows on south elevation of building $5600)                   maximum
          (recaulk where required south elevation of building allow $2000)

1.14      Repair roof leak over private office (Northeast corner of Bldg)                   $     1,344    APLL

1.15      Asphalt overlays on driveway access and repair to truck court area             see 1.17 below    *74/26%
          Roadway overlay from City Road 700 South to and of Naptech property               $    22,899
          Roadway overlay from Naptech property to ProLogic south property line             $    37,050

1.16      Asphalt patching and or repair in truck court area between Bldg 1& 2           Include below

1.17      Road Improvements associated with Building #1                                     $    44,362    see 1.15
          Demolition of truck court area serving Bldg #1. regrade to obtain
          approp. elevation at dock doors and install new concrete truck apron
          (Cost information to be finalized after completion of civil engineered
          survey and construction plan)                                                                    Amort (a)
          Concrete demo                                                                     $     1,815    Amort (a)
          Asphalt grinding and reuse as asphalt base material                               $     2,000    Amort (a)
          Fine grading all base areas for proper slope and gradiant and install 4'          $    20,045
          asphalt section                                                                                  Amort (a)
          Install 8' x 3ft concrete water way, 3 (2x2) catch basins & 12 RCP tied           $    13,923
           to existing storm drain system                                                                  Amort (a)
          Install 8' reinforced concrete truck apron                                        $    42,500    Amort (a)
          Install 2' asphalt overlay in truck court                                         $    12,480    APLL
                                          Subtotal                                          $   137,125

1.18      Replace and/or repair, where required, overhead high bay                          $    16,132    ICON/APLL
          lighting ballast and lamps (52 each  $310/each)
</TABLE>

<PAGE>

ICON Health & Fitness, Inc.                                        June 13, 2001

GATX WALK THROUGH INSPECTION

* . Battery room add on floor
  . 2 Doors metal missing from door frame
  . Cinder black broken out around door frame
* . Drain plugged up with dirt and acid drippings

    Truckers back office
* . Forklift damage to all sheet rock around outside of office
  . Ink spillage and markings over power panel
  . All major seams in floor have wide cracks
* . Major cracking through all warehoues on GATX's side
    (NOT MAJOR)

  . Southeast corner of GATX side:
*   10' x 20' Floor needs to be cut out and replaced (located in 50,000 of
    adjacent to ICON)
*   4' x 4' Floor needs to be cut out and replaced
* . Many holes through warehouse need to be patched, 6" to 12" area's many
    other areas need repaching
  . Concern about all concrete "Age"
  . High volume usage forklift traffic (all 5000 lbs lifts)

* . R-3 Fire Exit Door - water was running in when it was raining
* . Northeast Bay Door - train access door, bottom 2 panels are bent over

  . R-4 Fire Exit Door - wall by inside door is cracked badly
* . Train Access Bay Door - bottom 2 panels bowed out

    Dock #5
  . #3 panel is bent
  . Outside dock curtain is broken
  . Cement all around is cracked
* . Dock frame broken, needs welding

*   All items will be replaced or repaired as indicated.

ALL OTHER ITEMS ARE NOTED AS THE CURRENT CONDITION OF THE PROPERTY UPON
OCCUPANCY BY ICON.

    Dock #6
  . Bottom 2 panels bowed out
  . Cement is broken and cracked all around
  . Outside dock curtain is broken

    Dock #7
  . 3 bottom panels are bowed out

    Dock #8
  . Cement is cracked all around
* . Dock bumpers are broken
  . Heavy patching is needed around dock

  * Dock #9 Replace dock leveler from 20,000 lb.
  . Heavy metal patching has been done around dock
* . Dock bumpers on both sides are broken will be replaced with dock levelers

    Dock #10  Replace dock leveler from 20,000 lb
  . Heavy patching has been done around dock
  . Cement settling around dock are "High and Low"

<PAGE>

*  . Bumper pad left side will be replaced - included in costs of dock leveler

     Dock #11
   . Bottom panel bowed out
   . Heavy metal patching has been done around dock * o Bumper pad's are both
     broken - replace

     Dock #12
*  . Door latch is broken
   . Bottom panel is bowed out
*  . Bumper is broken and the cement is broken out on the right side

     Dock #13
   . Ok inside
*  . Both bumpers broken, the cement is breaking away on the outside

     Dock #14
   . Cement around the dock is broken
*  . Bumper guards are both broken

     Dock #15
   . Dock plate, had had metal patching done
*  . Bumper guards are both broken
   . Electrical box is open, wires are exposed

   . Outside wall seems are cracked badly and crackle is coming out
*  . Rain gutter is bowed down and seams are leaking down the wall
*  . Needs down spout repaired or replaced

   . [ILLEGIBLE] Pedestrian walk 10' section settling Approximately 2"
   . 53' trailers landing pad indents into the asphalt

     Offices

*  . Sheet rock missing from ceiling by locker room, approximately 3 sheets
*  . Several roof leaks by restrooms and hallways
   . Looks like water is leaking between window panels through front office

<PAGE>

                                   EXHIBIT "C"

                            FORM OF LETTER OF CREDIT

[ISSUING BANK]
BENEFICIARY:                        APL LOGISTICS WAREHOUSE MANAGEMENT SERVICES,
                                    INC., a Florida corporation (fka GATX
                                    Logisictics, Inc.), and its successors and
                                    assigns

CUSTOMER                            ICON HEALTH AND FITNESS, INC., a Utah
                                    corporation ("ICON")

MAXIMUM AMOUNT                               ($147,600.00) (USD)

DATE:                                        ___________________________________

EXPIRY DATE:                                 ___________________________________

LETTER OF CREDIT NO.:                        ___________________________________

TO:  APL LOGISTICS WAREHOUSE MANAGEMENT SERVICES, INC., a Florida corporation,
and its successors and assigns

Ladies and Gentlemen:

     At the request of our customer, ICON, for valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, we hereby issue in
favor of APL LOGISTICS WAREHOUSE MANAGEMENT SERVICES INC., a Florida
corporation, and its successors and assigns (collectively, "APL), this
irrevocable standby letter of credit (the "Letter of Credit") in the amount of
One Hundred Forty-Seven Thousand Six Hundred and 00/100 Dollars ($147,600.00)
(the "Commitment Fee Amount"). This Letter of Credit shall remain in effect up
to and including [insert date which is one (1) year from date of issuance] (the
"Expiry Date"). APL may draw against the Commitment Fee Amount under this Letter
of Credit on demand and at sight, without any period of grace, by presenting to
us at:

                                    ____________________________________________

                                    ____________________________________________

                                    ____________________________________________

in person, or by facsimile, on or before the Expiry Date, during the hours in
which we are open for business, the following documents (the "Documents").

<PAGE>

      1.    APL's written demand for payment, signed by an individual purporting
            to be an officer or agent of APL, certifying that (a) ICON is in
            breach or default beyond the applicable notice and cure periods
            under the terms of that certain Sublease dated July 6, 1994 (as
            amended from time to time, the "Sublease"), or (b) there has been
            any filing of a voluntary petition by ICON (or involuntary petition
            by ICON's creditors) under the United States Bankruptcy Code, or (c)
            ICON has not timely renewed the Letter of Credit pursuant to the
            Sublease;

      2.    The original of this Letter of Credit; if by facsimile, the original
            shall follow via courier.

      Partial drawings shall be permitted. Forthwith upon receipt of the
Documents, we shall pay to APL the indemnity amount, to a maximum amount of the
Commitment Fee Amount, without inquiring whether APL has a right to such amount
as between APL and our customer.

      This Letter of Credit shall be automatically extended for additional
consecutive one (1) year periods unless at thirty (30) days prior to the then
applicable Expiry Date we shall notify you in writing by registered or certified
mail (return receipt requested) to the above address or to such other address
provided to us in writing, that we elect not to renew this Letter of Credit for
such additional year. Notwithstanding the foregoing, this Letter of Credit shall
expire in full and final on the date that is sixty (60) days after the
Expiration Date (as such term is defined in the Sublease) of the Sublease.

      This Letter of Credit is freely transferable in its entirety without
consent or approval. In the event of such transfer, the transferees shall be
deemed the beneficiaries hereunder in the full place and stead and with all
rights hereunder of APL

      Except as otherwise expressly stated, this Letter of Credit is subject to
the International Standby Practices (ISP98), International Chamber of Commerce
Publication No. 590 (the "ISP98"). As to matters not covered by ISP98, this
Letter of Credit shall be subject to and governed by the laws of the State of
Utah.

      We hereby undertake to APL that drafts drawn and negotiated in compliance
with the terms of this Letter of Credit shall meet with honor upon presentation
to us.

                                                 Very truly yours,
                                                 [Name of Issuing Bank]

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