Document:

THIRD AMENDMENT TO LEASE AGREEMENT
                       ----------------------------------

     This Third Amendment to Lease Agreement is made and entered into this
                                                                           -----
day  of              , 2005, by and between POMEROY INVESTMENTS, LLC, a Kentucky
         ------------
limited  liability  corporation,  hereinafter  referred  to as "Landlord," whose
mailing  address  is  903  Squire  Oaks  Drive,  Villa Hills, Kentucky 41017 and
POMEROY  IT  SOLUTIONS,  INC.,  (f/k/a  "POMEROY  COMPUTER  RESOURCES,  INC.") a
Delaware corporation, hereinafter referred to as "Tenant," whose mailing address
is  1020  Petersburg  Road,  Hebron,  Kentucky  41048.

                                   WITNESSETH:

     WHEREAS,  Landlord  and  Tenant  entered  into  a  Lease  Agreement,  dated
September  5,  1995  ("Lease"),  for  approximately 36,000 square feet of office
space and 91,417 square feet of warehouse space consisting of Buildings A and B,
respectively,  on Lots 3 and 4 of Section 2 of Airpark International at Kentucky
20  and  Elijah  Creek  Road;

     WHEREAS,  Landlord and Tenant entered into an Amendment to Lease Agreement,
dated  May  6,  1997  ("Amendment"),  for  approximately  70,000  square feet of
expansion  space  in  Building  B;

     WHEREAS, thereafter, Landlord and Tenant entered into a Second Amendment to
Lease,  dated March 24, 2000, for approximately 22,000 square feet of additional
office  space  ("Building  C"),  which  is  adjacent  to  Buildings  A  and  B;

     WHEREAS, it is the intent of the parties to further amend the Lease for the
purpose  of  extending  the  term  of the lease for Buildings A, B, and C and to
provide  for  the  rental  rate for such Buildings during the term of this Third
Amendment;

     WHEREAS,  Landlord and Tenant hereby confirm and ratify, except as modified
below,  all  of  the  terms  and conditions, and covenants in that certain Lease
dated  September 5, 1995, and those certain Amendments thereto dated May 6, 1997
and  March  24,  2000;

     NOW  THERFORE,  in  consideration  of the aforesaid premises and the mutual
covenants  and  agreements set forth herein, Landlord and Tenant hereby covenant
and  agree  as  follows:

     1.   Section  1(d)  of  the  Lease,  as  amended,  shall be further amended
by replacing it, in its entirety with the following:

<TABLE>
<CAPTION>
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LEASE   BUILDING A        BUILDING B      BUILDING B       BUILDING B       BUILDING C
YEAR    36,000 SQ. FT.    158,084 SQ.     1,000 SQ. FT.    2,333 SQ. FT.    22,000 SQ. FT.
                          FT.             (MEZZANINE       (MEZZANINE
                                          STORAGE          OFFICE
                                          SPACE)           SPACE)
--------------------------------------------------------------------------------------------
<S>     <C>               <C>             <C>              <C>              <C>
Year 1  $ 9.49 / sq. ft.  $   4.08 / sq.  $    1.74 / sq.  $    7.15 / sq.  $ 13.47/ sq. ft.
                          ft.             ft.*             ft.
        ($28,470.00/      ($53,748.56/    ($145.00        ($1,390.08/       ($24.695.00/
        month)            month)          month)           month)           month)
--------------------------------------------------------------------------------------------
</TABLE>

     The  base  rent for Buildings A, B and C shall increase exactly 2% annually
     during  the  initial  ten  (10)  year  term  hereof  as  follows:

<TABLE>
<CAPTION>
<S>                                            <C>
     Year 1   . . . . . . . . . . . . . . . .  $108,448.64
     Year 2   . . . . . . . . . . . . . . . .  $110,617.61
     Year 3  . . . . . . . . . . . . . . . .   $112,829.96
     Year 4  . . . . . . . . . . . . . . . . . $115,086.56
     Year 5  . . . . . . . . . . . . . . . . . $117,388.29
     Year 6  . . . . . . . . . . . . . . . . . $119,736.06
     Year 7  . . . . . . . . . . . . . . . . . $122,130.78
     Year 8  . . . . . . . . . . . . . . . . . $124,573.40
     Year 9  . . . . . . . . . . . . . . . . . $127,064.87
     Year 10  . . . . . . . . . . . . . . . .  $129,606.17
</TABLE>

<PAGE>
     *  Rental Rate is applicable solely as long as this square footage is being
used  for  storage.  If  this square footage is converted for office use, Annual
Base  Rent  shall  be  determined by the Building B mezzanine office space rate.

     3.   Section 1(f) of the Lease, as amended, is further amended as follows:

          Lease Commencement Date:  Landlord and Tenant agree that "Commencement
Date" shall be August 1, 2005.

     4.   Section  1(g) of the Lease, as amended, is further amended as follows:

          Base  Rent  Commencement  Date:  Landlord  and  Tenant  agree  that
     "Base Rent Commencement Date" shall be August 1, 2005.

     5.   Section 1(h) of the Lease is amended as follows:

          Termination  Date:  Landlord  and Tenant agree that "Termination Date"
     shall be exactly Ten (10) Years from the Commencement Date - July 31, 2015;

     6.   Exhibit  G  to  the  Lease  shall  be  amended by deleting paragraph 1
therein  in  its  entirety and replacing paragraph 2 therein with the following:

     OPTION  TO  RENEW.  Provided that Tenant is not in default under any of its
     obligations  under  this  Third  Amendment to Lease Agreement, Tenant shall
     have  the exclusive right, privilege and option to renew this Lease for two
     (2)  consecutive  terms  of  five  (5)  year  renewal  terms. Notice of the
     exercise  of said option shall be given in writing to the Landlord at least
     ninety  (90)  days  prior  to  the then expiring term. All of the terms and
     conditions  of this Lease shall prevail during the renewal terms except the
     base  rent,  which  shall  increase  during  such renewal terms as mutually
     agreed  to,  in  writing,  by the parties in advance of the commencement of
     such  renewal  terms.

     Except  as  specifically  amended, modified and supplemented herein, all of
the  terms,  covenants,  conditions,  provisions and agreements contained in the
Lease, as amended, are, and shall remain, unchanged and in force and effect.

     IN WITNESS WHEREOF, Landlord and Tenant have signed this Third Amendment to
Lease Agreement on the day and year first written above.

SIGNED IN THE PRESENCE OF:              LANDLORD:

WITNESSES                               POMEROY  INVESTMENTS,  LLC

                                        BY:
-----------------------------------        ------------------------------------

                                        TITLE:
-----------------------------------            --------------------------------

                                        TENANT:

                                        POMEROY  IT  SOLUTIONS,  INC.

                                        BY:
-----------------------------------        ------------------------------------

                                        TITLE:
-----------------------------------            --------------------------------POMEROY IT SOLUTIONS, INC.
                              EMPLOYMENT AGREEMENT

     THIS  AGREEMENT  is  made  and entered into this       day of             ,
                                                      -----        ------------
2005,  by  and  between  POMEROY  IT  SOLUTIONS,  INC.  ("Company"),  a Delaware
corporation,  and  KEVIN  GREGORY  ("Employee").

                              W I T N E S S E T H:

     WHEREAS,  the Company desires to employ Employee and Employee desires to be
employed  by  the  Company;

     WHEREAS,  the  parties  desire  to  enter  into  an Employment Agreement to
provide responsibilities, duties, benefits, and compensation for Employee;

     NOW,  THEREFORE,  in consideration of the foregoing premises and the mutual
covenants  herein  set  forth, the parties hereby covenant and agree as follows:

     1.     Employment.     The  Company  agrees to employ the Employee, and the
            ----------
Employee  agrees  to  be  employed  by the Company, upon the following terms and
conditions.

     2.     Term.     The initial term of Employee's employment pursuant to this
            ----
Agreement  shall  begin  on  the  January  3, 2006 ("effective date"), and shall
continue  for  a period of three (3) years thereafter, unless terminated earlier
pursuant  to  the  provisions of Section 10, provided that Sections 8, 9, 10(b),
11,  if applicable, and 12, if applicable, shall survive the termination of such
employment and shall expire in accordance with the terms set forth therein.

     3.     Renewal  Term.     The  term  of  Employee's  employment  shall
            -------------
automatically  renew  for  additional  consecutive renewal terms of one (1) year
unless  either  party  gives  written  notice of his/its intent not to renew the
terms  of  the  Agreement  ninety  (90) days prior to the expiration of the then
expiring term.  Employee's base salary for each renewal term shall be negotiated
and  mutually  agreed upon by and between the Company and Employee.  However, in
no  event  shall Employee's annual base salary for any renewal term be less than
the  base  salary  in  effect  for  the  prior  year.

     4.     Duties.    Employee shall serve as Chief Financial Officer. Employee
            ------
shall  be responsible to and report directly to Steve Pomeroy, the President and
Chief  Executive  Officer of the Company. Employee shall devote his best efforts
and  substantially  all  his  time during normal business hours to the diligent,
faithful  and  loyal  discharge  of the duties of his employment and towards the
proper,  efficient  and  successful  conduct  of the Company's affairs. Employee
further  agrees  to  refrain  during  the term of this Agreement from making any
sales  of  competing services or products or from profiting from any transaction
involving  computer  services  or  products  for his account without the express
written  consent  of  Company.

     5.    Compensation.  For all services rendered by  the  Employee under this
           ------------
Agreement,  Employee  shall  receive compensation based on the compensation plan
attached hereto and incorporated herein by reference as Exhibit "A".

          (a)     Signing  Bonus - The Company hereby agrees to provide Employee
with  a  signing  bonus,  in  the  form of 50,000 fully vested stock options, as
additional consideration for his execution of and agreement to the terms of this
Agreement.  Employee  understands that the Company's award of such stock options
is contingent upon his execution of this Agreement with the Company and that the
award  shall  be made on the effective date hereof as follows: Employee shall be
awarded  the  right  to acquire 50,000 shares of common stock, .01 par value, of
Pomeroy  IT  Solutions,  Inc.,  which  shall  be fully vested and subject to the
conditions  contained  in  the  Pomeroy  IT  Solutions,  Inc., Non-Qualified and
Incentive  Stock  Option  Plan  and  the  Award Agreement. The term of the Award
Agreement  shall  be  five (5) years. Such award of the stock options to acquire
the  common  stock  of  Pomeroy  IT Solutions, Inc., shall be at the fair market
value  of  such  common  stock  as  of the applicable date. For purposes of this
Agreement,  the  fair  market  value  as  of the applicable date shall mean with
respect  to  the common shares, the average between the high and low bid and ask
prices  for  such shares on the over-the-counter market on the last business day
prior  to the date on which the value is to be determined (or the next preceding
date on which sales occurred if there were no sales on such date).

               Furthermore,  so long as Employee remains employed by the Company
during  the term of this Agreement, he shall be awarded (a) the right to acquire
25,000 shares of common stock, $.01 par value, of Pomeroy IT Solutions, Inc., at
the  end  of  the  first year of the initial term of this Agreement; and (b) the
right  to  acquire  25,000  shares  of

<PAGE>
common  stock,  $.01 par value, of Pomeroy IT Solutions, Inc., at the end of the
second  year  of  the initial term of this Agreement.  Employee acknowledges and
understands  that  any such stock options awarded to him hereunder at the end of
the first and second year of the initial term of this Agreement shall be subject
to  a  three (3) year vesting schedule and any other conditions contained in the
Pomeroy  IT  Solutions,  Inc., Non-Qualified and Incentive Stock Option Plan and
the  Award  Agreement.  Such  award  of  the stock options to acquire the common
stock  of  Pomeroy IT Solutions, Inc., shall be at the fair market value of such
common  stock  as  of  the applicable date.  For purposes of this Agreement, the
fair  market  value  as  of  the  applicable date shall mean with respect to the
common  shares, the average between the high and low bid and ask prices for such
shares on the over-the-counter market on the last business day prior to the date
on  which  the  value  is  to be determined (or the next preceding date on which
sales  occurred  if  there  were  no  sales  on  such  date).

          (b)     Employee  hereby  acknowledges that Company reserves the right
to  modify,  alter,  or amend such pay plan, at any time, in the event there are
changes in the Company's business model due to events which include, but are not
necessarily  limited  to  mergers,  acquisitions,  corporate
re-organization/re-structure,  material  changes  to  industry  standards  or
practices which affect the Company. Any and all such modifications shall be made
by  mutual  agreement of the parties, reduced to writing as an amendment to this
Agreement  and  signed  by  both  parties.  So  long  as any such modifications,
alterations  or  amendments  to the compensation plan provided in this Section 5
and  Exhibit  A  hereto  are  agreed to in writing by the parties same shall not
constitute  a  breach  of this Agreement or otherwise qualify as a default event
hereunder.

     6.     Fringe  Benefits.  During the term of this Agreement, Employee shall
            ----------------
be  entitled  to  the  following  benefits:

          (a)     Health Insurance - During the term of this Agreement, Employee
shall  be  provided  with  the  standard  medical  health and insurance coverage
maintained by Company on its employees.

          (b)     Vacation  -  Employee shall be entitled each year to three (3)
weeks  vacation,  during  which  time  his compensation will be paid in full, in
accordance with the Company's standard written policy for same.

          (c)     Retirement  Plan  -  Employee shall participate, after meeting
eligibility requirements, in any qualified retirement plans and/or welfare plans
maintained by the Company during the term of this Agreement.

          (d)     Automobile  Allowance - Company shall provide Employee with an
automobile  allowance  as provided for on Exhibit A hereto in the sum of $900.00
per  month  during the term of this Agreement. Employee shall be responsible for
all  maintenance  and  repairs  to  such  vehicle and for any insurance coverage
relating  thereto.

          (e)     Communications Allowance - Company shall provide Employee with
a  communication  allowance  as  provided  for on Exhibit A hereto in the sum of
$250.00  per  month  during  the  term  of  this  Agreement.  Said communication
allowance  is intended to defray or offset expenses incurred by Employee for use
of  any  and  all  remote  communication  devices  in  the  course  and scope of
Employee's  employment  hereunder,  including,  but  not  limited  to,  mobile
telephones,  hand-held  wireless  devices  and/or  Internet  access.

          (f)     Moving  Allowance  - The Company shall provide Employee with a
moving  allowance  of  up  to  a  maximum  of $65,000.00. The allowance shall be
provided  to  Employee  as  follows:

               (i)  up  to  $15,000.00  for  expenses  directly  related  to and
incurred  incident  to  Employee's  travel,  lodging and meal expenses for house
hunting related activities in the Greater Cincinnati area and for a professional
moving  company  to  transport  Employee's  personal  property  from his current
Michigan  residence  to  his  new residence in the Greater Cincinnati area.  All
such  expenses  shall  be  documented, substantiated, and directly billed to the
Company  by  a  third party in order for such expenses to be paid for under this
Section  6(f)(i).    Employee understands, agrees and acknowledges that he shall
be  responsible  for  obtaining  three (3) competitive bids for the professional
moving  services  contemplated hereunder , that Employee shall provide copies of
such  bids  to Company and that Employee shall contract the services of the best
and  lowest  professional bidder.  In no event, however, shall the allowance for
the  above  referenced  expenses  exceed  $15,000.00.

                                      - 2 -
<PAGE>
               (ii)  Up  to  $50,000.00 in the form of reimbursement to Employee
for  real  estate agent/broker commissions related to or arising out of the sale
of  Employee's current Michigan residence and closing costs incurred by Employee
incident  to  the  closing  on the sale of his current Michigan residence and/or
closing  and financing costs incurred by Employee incident to the closing on the
purchase  of  his  new  residence  in  the  Greater  Cincinnati area.   All such
commissions  and/or  closing  costs must be submitted to Company by Employee for
reimbursement,  along  with  copies  of  Settlement  Statements or other closing
documents  that  substantiate  Employee's  claim  for  reimbursement  under this
Section  6(f)(ii).  In  addition,  the  Company  understands that Employee shall
provide  it  with  a  statement  of  such  amounts,  along with an analysis that
includes  the grossed up tax effect on such sums in order for Employee to claim,
subject to the $50,000.00 cap stated above, reimbursement from the Company under
this  Section  6(f)(ii)  for  the taxes on the underlying reimbursements made to
Employee  hereunder  for  commission,  closing and financing costs.  In no event
shall  the  reimbursement  that  Employee  is  eligible  for  under this Section
6(f)(ii)  exceed  $50,000.00.

               (iii)  In  the  event  Employee  voluntarily  terminates  his
employment  with  Pomeroy  within  one (1) year from the date of this Agreement,
Employee understands, acknowledges and agrees that he must reimburse Pomeroy, in
full,  for  all  payments  made to or on behalf of Employee by the Company under
this  Section  6(f).

          (g)     Country  Club  Membership  -  Subject  to  the  CEO's  final
approval,  Employee shall be entitled to select and join a club of his choice in
the Greater Cincinnati/Northern Kentucky area.  The Company shall be responsible
for  the payment of the initiation fee charged by such club incident to Employee
becoming  a  member so long as such membership has been approved by the CEO.  In
addition,  the  Company  shall  be responsible for the recurring membership dues
charged  for  Employee  to  be  a  member of the club.  Employee understands and
acknowledges  that  the  membership  shall  be  established  in  the name of the
Company,  but shall be designated as a membership established for the benefit of
and use by Employee.  Any and all rights and interest in the membership shall be
vested  in  the  Company.  Employee  shall  be responsible for any and all other
expenses  or  costs  associated  with  the  club  membership, including, but not
limited  to charges for food, beverages, greens fees, cart fees, and court time,
unless  such  expenses  are  incurred  for  business  purposes and are otherwise
reimbursable  by  the Company under the Company's standard expense reimbursement
policy.

          (h)     Life  Insurance - If applicable, Company shall maintain on the
life  of  Employee,  provided  he  is  insurable  at  standard rates a term life
insurance policy in the amount provided for on Exhibit A hereto.  Employee shall
have  the right to designate the beneficiary of such policy.  Employee agrees to
take  any  and  all physicals that are necessary incident to the issuance and/or
renewal  of  said  policy.  In  addition,  Employee  agrees  to take any and all
physicals that are necessary incident to the procurement of key person insurance
upon  his  life  by  Company.  In  the  even  that  Employee is not insurable at
standard  rates  during  the  term  of  this  Agreement, but Employee is able to
procure  rated coverage, Employee shall have the right to procure coverage for a
lower  amount of insurance, the cost of which is equivalent to the standard term
rate  cost of the amount of coverage stated on Exhibit A.  In the event Employee
is  not  insurable,  then  Company  shall  pay  Employee  an amount equal to the
projected  cost  of  the  contemplated  term  insurance  in the amount stated on
Exhibit  A  at  standard  rates.

          (i)     Employee  shall be responsible for any and all taxes, owed, if
any, on the fringe benefits provided to him pursuant to this Section 6.

     7.     Expenses.  During  the  term  of  Employee's  employment  hereunder,
            --------
Employee  shall  be  entitled  to  receive  prompt  reimbursement  for all other
reasonable  and customary expenses incurred by Employee in fulfilling Employee's
duties  and responsibilities hereunder, provided that such expenses are incurred
and  accounted for in accordance with the policies and procedures established by
Company  and such expenses should not otherwise be paid for directly by Employee
incident to the home office/communication allowance, automobile allowance and/or
entertainment allowance referred to herein above in Section 6.

     8.     Non-Competition  &  Non-Solicitation.  In  connection  with  the
            ------------------------------------
diligent,  faithful  and  loyal discharge of the duties of Employee's employment
under  this  Agreement,  Employee  agrees  that so long as he is employed by the
Company  (whether  or  not pursuant to the provisions of this Agreement) he will
not,  directly or indirectly, be employed by, or otherwise give assistance to or
be  affiliated  with  (as an employee, consultant, independent contractor of any
type,  director  or  otherwise) any person, firm, corporation or entity which is
directly  or  indirectly  engaged  in  a  competitive  business  with

                                      - 3 -
<PAGE>
that carried on by the Company or any of its subsidiaries.  Employee agrees that
so  long  as he is employed by the Company, he will not own, engage in, conduct,
manage,  operate,  participate  in, be employed by or be connected in any manner
whatsoever  with any competitive business with that carried on by Company or any
of  its  subsidiaries  or become associated with, in any capacity, or solicit or
sell  to,  customers of the Company or any its subsidiaries or employ or attempt
to  employ  any  current  or  future  employee  of  the  Company  or  any of its
subsidiaries or induce any employee of the Company or of any of its subsidiaries
to  leave  its  employ.

     In  addition,  as an inducement for and as additional consideration for the
Company  entering  into this Agreement, Employee agrees that for a period of one
(1) year commencing on the termination of employment, he will not with any other
person,  corporation  or  entity,  directly  or  indirectly,  by  stock or other
ownership,  investment, employment, or otherwise, or in any relation whatsoever:

          (1)     solicit,  divert or take away or attempt to solicit, divert or
take  away  any  of  the  business,  customers  or patronage of the Company, its
parent,  its  subsidiaries  or  of  any  of  its  subsidiaries;

          (2)     attempt  to  seek  or  cause any customers of the Company, its
parent, its subsidiaries or affiliates thereof, to refrain from continuing their
patronage;

          (3)     engage  in  any business that is competitive with that carried
on  by the Company, its parent company, any of the parent company's subsidiaries
or Company's affiliates, including, but not limited to the business of providing
lifecycle  services,  infrastructure  solutions, enterprise consulting, staffing
and recruiting services, performing outsourcing or co-sourcing services, being a
value  added  reseller or integrator, after the date of this Agreement, within a
100  mile radius of any city within any Region in which the Company, its parent,
its  subsidiaries  or  Company  affiliates  have  a  physical office location or
otherwise  actively  conducts  business  during  the term of this Agreement and,
without  regard  to  any  geographical  limitation,  any  Customer  account that
Employee, either directly or indirectly, managed, serviced, called on, solicited
or interfaced with incident to Employee's employment with Company during the one
(1)  year  prior  to  Employee's  termination.

          (4)     knowingly  employ  or  attempt  to  employ in any capacity any
employee or agent of Company, or any of its subsidiaries.

          (5)     perform  services,  either  as an employee or as a consultant,
for  any  competitive  business.

     For  purposes  of  this  Section  8,  a competitive business shall mean any
person,  corporation,  partnership  or  other  legal entity engaged, directly or
indirectly, through subsidiaries or affiliates, in any of the following business
activities:

          (i)     distributing  of  computer  hardware,  software,  peripheral
devices,  and  related  products  and  services;

          (ii)     sale  or servicing, whether at the wholesale or retail level,
or  leasing  or  renting,  of computer hardware, software, peripheral devices or
related  products;

          (iii)     any  other  business  activity  which  can  reasonably  be
determined  to be competitive with the principal business activity being engaged
in  by  the  Company,  its  parent,  or  any  of its subsidiaries or affiliates,
including,  but  not  limited  to  lifecycle  services,  enterprise  consulting,
infrastructure  solutions,  staffing and recruiting, outsourcing and co-sourcing
services;  and

          (iv)     any other business activity which Company, its parent, or any
of its subsidiaries or affiliates subsequently become involved in after the date
of  this  Agreement.

     This  one  (1)  year  non-competition  provision  commencing on the date of
Employee's  termination of employment shall not be applicable if the Employee is
terminated  by  the  Company  without  cause  pursuant to Section 10(a)(v) or if
Company  does  not renew this Agreement after the expiration of the initial term
of  this  Agreement  or  any renewal term.  Provided, however, such one (1) year
non-competition  provision  shall  be applicable in any of such instances in the
event Company elects in writing to compensate Employee pursuant to Section 11 of
this  Agreement.

                                      - 4 -
<PAGE>
     Employee  has carefully read and has given careful consideration to all the
terms  and  conditions  of this Agreement and agrees that they are necessary for
the  reasonable  and  proper protection of the Company's business.  The Employee
acknowledges  that  the  Company  has  entered  into  this  Agreement because of
Employee's  promise  that  he  will  abide  by and be bound by each of the terms
contained in this Section 8.  The Employee agrees that Company shall be entitled
to  injunctive  relief  to  enforce  these  terms in addition to all other legal
remedies.  Employee  acknowledges  that  each and every one of the terms of this
provision  is  reasonable  in  all  respects  including  their  subject  matter,
duration, scope and the geographical area embraced herein and waives any and all
right  to  compensation  and/or  benefits  herein  mentioned  or  referred to if
Employee  violates  the  provisions  of  this  Section  8.

     9.     Non-Disclosure  and  Assignment  of  Confidential  Information.  The
            --------------------------------------------------------------
Employee  acknowledges  that  the  Company's  trade secrets and confidential and
proprietary  information,  including  without  limitation:

          (a)  unpublished  information  concerning  the  Company's:

             (i) research  activities  and  plans,
             (ii)    marketing  or  sales  plans,
             (iii)   pricing  or  pricing  strategies,
             (iv)    operational  techniques,
             (v)     customer  and  supplier  lists,  and
             (vi)    strategic  plans;

          (b)     unpublished  financial  information,  including  unpublished
information  concerning  revenues,  profits  and  profit  margins;

          (c)     internal  confidential  manuals;  and

          (d)     any  "material  inside information" as such phrase is used for
purposes  of  the  Securities  Exchange  Act  of  1934,  as  amended;

all  constitute  valuable,  special  and  unique  proprietary  and  trade secret
information  of  the  Company.  In recognition of this fact, the Employee agrees
that  the  Employee  will not disclose any such trade secrets or confidential or
proprietary information (except (i) information which becomes publicly available
without  violation  of  this Employment Agreement, (ii) information of which the
Employee did not know and should not have known was disclosed to the Employee in
violation of any other person's confidentiality obligation, and (iii) disclosure
required  in connection with any legal process), nor shall the Employee make use
of  any such information for the benefit of any person, firm, operation or other
entity  except  the  Company and its subsidiaries or affiliates.  The Employee's
obligation  to  keep  all  of  such  information confidential shall be in effect
during  and  for  a  period  of  five  (5)  years  after  the termination of his
employment; provided, however, that the Employee will keep confidential and will
not  disclose  any  trade  secret  or similar information protected under law as
intangible  property  (subject  to  the  same  exceptions  set  forth  in  the
parenthetical  clause  above)  for  so  long  as  such  protection  under law is
extended.

     10.     Termination.
             -----------

     (a)     The Employee's employment with the Company may be terminated at any
time  as  follows:

          (i)     By  the  Employee  at  his  discretion,  upon  sixty (60) days
written  notice  to  Company;

          (ii)     By  Employee's  death;

          (iii)     By  Employee's  physical  or mental disability which renders
Employee  unable  to  perform  his  duties  hereunder.

          (iv)     By  the Company, for cause upon three (3) days written notice
to  Employee.  For  purposes  of  this  Agreement,  the  term "cause" shall mean
termination  upon:  (i)  the  failure  by  Employee to substantially perform his
duties

                                      - 5 -
<PAGE>
with  the  Company; (ii) the engaging by Employee in conduct which is materially
injurious  to the Company, monetarily or otherwise, including but not limited to
any  material  misrepresentation related to the performance of his duties; (iii)
the  conviction of Employee of a felony or other crime involving theft or fraud,
(iv)  Employee's  neglect  or  misconduct  in  carrying out his duties hereunder
resulting,  in  either  case,  in  material  harm  to  the  Company;
(v)insubordination;(vi)  dereliction  of  duties or (vii) any material breach by
Employee  of  this  Agreement.

          (v)     By  the  Company at its discretion, without cause, upon ninety
(90)  days  written  notice  to  Employee.

     (b)  Compensation  upon  Termination

          (i)     In the event Employee's employment hereunder is terminated for
cause,  Employee  shall  receive  his base compensation through the date of such
termination  and  Employee  shall  be entitled to his accrued benefits under the
terms of the plans, policies and procedures of the Company.

          (ii)     In  the  event  of termination of employment, the Employee or
his  estate,  in the event of death, shall be entitled to his annual base salary
and  other  benefits  provided  hereunder  to  the  date of his termination.  If
applicable,  Employee  or  his  estate  shall be entitled to receive any bonuses
accrued  to  the date of such termination of employment and any vested incentive
compensation that may be deemed due and undisputed by Company.

          (iii)     In the event Employee terminates this Agreement prior to the
end  of  the  initial  term  or  during  any renewal term hereof, Employee shall
forfeit  and waive his right to any compensation provided to him hereunder which
is  not  deemed  due and undisputed, earned and/or vested as of the date of such
termination.  So  long  as Employee has not otherwise breached this Agreement or
is  not  otherwise in default under the terms hereof, Employee shall be entitled
to  receive his base salary through his termination date, along with any bonuses
accrued  as  of  date of such termination of employment and any vested incentive
compensation  that may be deemed due and undisputed as of such termination date.

          (iv)     In  the  event  the  Company terminates Employee's employment
hereunder  without cause pursuant to paragraph 10(a)(v), Employee shall continue
to  receive his base annual salary compensation, then in effect, for a period of
six  (6)  months  commencing  on  the  date that Company gives written notice to
Employee  of  its  intent to terminate his employment without cause, pursuant to
Section  10(a)(v)  above,  provided  he  is not, during such time, employed by a
competitor  or  otherwise in breach of this Agreement.  Payment of any such base
compensation  shall  be made in the ordinary course of the Company's business in
accordance  with  its  usual  and  customary  payroll  practices.

     11.     Payments  to  Extend  Covenant  Not to Compete of Employee.  In the
             ----------------------------------------------------------
event  Company  does not renew this Agreement upon the expiration of the initial
term of this Agreement or any renewal term, Company shall have the option to pay
Employee  an  amount equal to his base annual salary that was in effect prior to
such  non-renewal  of  his Employment Agreement in twelve (12) consecutive equal
monthly  installments  commencing thirty (30) days after the date of termination
of  employment  in  consideration  for Employee not competing with Company for a
period  of twelve (12) months from the date of the termination of his employment
for any of the reasons set forth above, as applicable.

     12.     Disability.  In  the  event  that  Employee  becomes  temporarily
             ----------
disabled  and/or totally and permanently disabled, physically or mentally, which
renders  him  unable to perform his duties hereunder, Employee shall receive one
hundred  percent (100%) of his base annual salary (in effect at the time of such
disability)  for  a  period  of  one (1) year following the initial date of such
disability  (offset  by  any  payments  to  the  Employee  received  pursuant to
disability  benefit  plans,  if  any, maintained by the Company.)  Such payments
shall  be  payable  in  twelve  consecutive equal monthly installments and shall
commence  thirty  (30)  days  after  the determination by the physicians of such
disability  as  set  forth  below.

     For  purposes of this Agreement, Employee shall be deemed to be temporarily
disabled and/or totally and permanently disabled if attested to by two qualified
physicians,  (one to be selected by Company and the other by Employee) competent
to  give  opinions in the area of the disabled Employee's physical and/or mental
condition.  If the two physicians disagree, they shall select a third physician,
whose  opinion  shall  control.  Employee  shall  be  deemed  to  be temporarily
disabled  and/or totally and permanently disabled if he shall become disabled as
a  result of any medically determinable impairment of mind or body which renders
it impossible for such Employee to perform satisfactorily his duties

                                      - 6 -
<PAGE>
hereunder,  and  the  qualified physician(s) referred to above certify that such
disability  does,  in  fact,  exist.  The  opinion of the qualified physician(s)
shall  be  given by such physician(s), in writing directed to the Company and to
Employee.  The  physician(s)  decision  shall  include  the date that disability
began,  if  possible,  and  the 12th month of such disability, if possible.  The
decision of such physician(s) shall be final and conclusive and the cost of such
examination  shall  be  paid  by  Company.

     13.     Severability.  In  case  any  one  (1) or more of the provisions or
             ------------
part  of  a  provision  contained in this Agreement shall be held to be invalid,
illegal  or  unenforceable  in  any  respect,  such  invalidity,  illegality  or
unenforceability  shall not affect any other provision or part of a provision of
this  Agreement.  In  such  a  situation,  this  Agreement shall be reformed and
construed  as  if such invalid, illegal or unenforceable provision, or part of a
provision,  had never been contained herein, and such provision or part shall be
reformed  so  that it will be valid, legal and enforceable to the maximum extent
possible.

     14.     Governing  Law,  Jurisdiction  and  Venue.  This Agreement shall be
             -----------------------------------------
governed  and  construed  under  the  laws of the Commonwealth of Kentucky.  The
parties consent to exclusive jurisdiction and venue in the state courts of Boone
County,  Kentucky,  or if there is federal jurisdiction, the U.S. District Court
for  the  Eastern  District  of  Kentucky, shall have exclusive jurisdiction and
venue over any dispute arising out of this Agreement.

     15.     Notices.  All  notices,  requests, demands and other communications
             -------
relating  to this Agreement shall be in writing and shall be deemed to have been
duly  given  if  delivered personally or mailed by certified or registered mail,
return  receipt  requested,  postage  prepaid:

     If to Company, to:        Pomeroy IT Solutions, Inc.
                               Attention:  Legal Counsel
                               1020 Petersburg Road
                               Hebron, Kentucky  41048

     If  to Employee, to the Employee's residential address, as set forth in the
Company's  records.

     16.     Entire Agreement.  This Agreement contains the entire understanding
             ----------------
of  the  parties  with respect to the subject matter contained herein and may be
altered,  amended  or  superseded only by an agreement in writing, signed by the
party against whom enforcement of any waiver, change, modification, extension or
discharge  is  sought.

     17.     Parties in Interest.  This Agreement shall inure to the benefit and
             -------------------
shall  be  binding  upon  the  Company,  the  Employee,  and  their  respective
successors,  assigns  and  heirs.  The  rights of any party under this Agreement
shall  not  be assignable, except that Company reserves the right to assign this
Agreement  to any of its affiliates or subsidiaries, without Employee's consent.
Any  assignee of Company shall be entitled to all rights and benefits of Company
contained  in  this  Agreement.

          The Company will require any successor (whether direct or indirect, by
purchase, merger, consolidation or otherwise) to all or substantially all of the
assets  of  the  Company  or  the  business with respect to which the duties and
responsibilities  of  Employee  are principally related, to expressly assume and
agree  to  perform this Agreement in the same manner and to the same extent that
Company  would  have been required to perform it if no such succession had taken
place.  As  used  in  this  Agreement,  "Company"  shall  mean  the  Company  as
hereinbefore  defined  and  any  successor  to  its  business  and/or  assets as
aforesaid  which  executes and delivers the assumption agreement provided for in
this Section or which otherwise becomes bound by all the terms and provisions of
this  Agreement  by  operation  of  law.

     18.     Representation  of Employee.  Employee represents and warrants that
             ---------------------------
he  is  not  party  to  or  bound by any agreement or contract or subject to any
restrictions  including without limitation any restriction imposed in connection
with  previous  employment  which  prevents  Employee  from  entering  into  and
performing  his  obligations  under  this  Agreement.

                                      - 7 -
<PAGE>
     19.     Prior  Agreement.  This  Agreement  shall  supersede and cancel any
             ----------------
previous  agreement  entered  into  by  and  between  the  Employee  and Company
regarding  the  subject  matter.

     IN  WITNESS  WHEREOF,  this Agreement has been executed effective as of the
day and year first above written.

WITNESSES:                         POMEROY  IT  SOLUTIONS,  INC.

                                   By:
-----------------------------          -----------------------------

                                   Title:
-----------------------------             --------------------------

                                   X
-----------------------------       --------------------------------
                                           KEVIN GREGORY
-----------------------------

                                      - 8 -
<PAGE>
<TABLE>
<CAPTION>
                                                                                      EXHIBIT A TO EMPLOYMENT AGREEMENT
                                                                                      ---------------------------------

                                                     KEVIN GREGORY
                                                CHIEF FINANCIAL OFFICER
<S>                                     <C>
Salary                                  $300,000 (1)
------

Signing Bonus                           50,000 options upon effective date of Employment Agreement, which shall be
-------------                           fully vested with five (5) year term;
                                        25,000 options granted upon 1st anniversary (subject to three year vesting);
                                        and
                                        25,000 options granted upon 2nd anniversary (subject to three year vesting)

Communication Allowance                 $ 250.00 per month
-----------------------

Auto Allowance                          $ 900.00 per month
--------------

Country Club Membership                 Entitled to one membership that includes initiation fees and membership dues.
-----------------------                 Final approval by CEO.

Restricted Stock Program                Employee to be eligible after one (1) year of employment.
------------------------

Relocation Allowance                    Up to $65,000.00
--------------------

Disability                              one year's base salary
----------

Life Insurance                          500,000.00 during first year of employment; and
--------------
                                        750,000 during second and third year of employment

Quarterly Bonus based on Company NPBT
-------------------------------------

>X% NPBT =                              $15,000.00
>Y% NPBT =                              $20,000.00
>Z% NPBT =                              $25,000.00

Quarterly Bonus based on Company DSO's
--------------------------------------

<X days =                               $15,000.00
<Y days =                               $20,000.00
<Z days =                               $25,000.00

Year End Total Company Bonus
----------------------------
Minimum of X NPBT required

> X million in sales =                  $50,00.00 + 25,000 options (2)
> Y million in sales =                  $75,000.00 + 35,000 options (2)
> Z million in sales =                  $100,000.00 + 45,000 options (2)
</TABLE>

To  the  extent  certain  of the criteria for the bonus schedules above have not
been  finalized,  the parties agree that once the applicable business plans have
been finalized for the applicable fiscal periods, such criteria shall be reduced
to writing, signed by both parties and made a part of this Agreement.

(1) If terminated without cause then employee is entitled to 6 months severance.
(2)Options are subject to a 3-year vesting schedule. 50% of cash bonus will vest
over  a  3-year  period.

                                      - 9 -

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