Document:

EX-10.1

VERTICALNET, INC.

2006 OMNIBUS EQUITY COMPENSATION PLAN

Section 1. Purpose

The purpose of the Plan is to provide designated (i) Employees of Verticalnet and its Subsidiaries,
(ii) Non-Employee Directors of Verticalnet and its Subsidiaries, and (iii) Consultants who perform
services for Verticalnet and its Subsidiaries, with the opportunity to receive grants of Options,
SARs, Stock Units, Performance Shares, Stock Awards and Other Stock-Based Awards. Verticalnet
believes that the Plan will encourage the Participants to contribute materially to the growth of
Verticalnet, thereby benefiting Verticalnet’s shareholders, and will align the economic interests
of the Participants with those of the shareholders. All capitalized terms shall be as defined in
Section 2 below.

Section 2. Definitions

Whenever used in this Plan, the following terms will have the respective meanings set forth below:

(a) “Board” means the Board of Directors of Verticalnet.

(b) “Change in Control” means the occurrence of any of the following events, each of which shall be
determined independently of the others:

(i) Any “person” (as such term is used in sections 13(d) and 14(d) of the Exchange Act) becomes a
“beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of
securities of Verticalnet representing more than 50% of the voting power of the then outstanding
securities of Verticalnet; or

(ii) The consummation of a (A) merger or consolidation of Verticalnet with another corporation
where the shareholders of Verticalnet, immediately prior to the merger or consolidation, will not
beneficially own, immediately after the merger or consolidation, shares entitling such shareholders
to more than 50% of all votes to which all shareholders of the surviving corporation would be
entitled in the election of directors (without consideration of the rights of any class of stock to
elect directors by a separate class vote), (B) sale or other disposition of all or substantially
all of the assets of Verticalnet, or (C) liquidation or dissolution of Verticalnet.

Notwithstanding the foregoing, the Committee may modify the definition of a Change in Control for a
particular Grant as the Committee deems appropriate to comply with section 409A of the Code.

(c) “Code” means the Internal Revenue Code of 1986, as amended.

(d) “Committee” means (i) with respect to Grants to Employees and Consultants, the Compensation
Committee of the Board or its delegate or successor, or such other committee appointed by the Board
to administer the Plan or its delegate or successor, and (ii) with respect to Grants made to
Non-Employee Directors, the Board or its delegate. Notwithstanding the foregoing, with respect to
Grants to Employees that are intended as “qualified performance-based compensation” (as defined
under section 162(m) of the Code), as well as to Employees who are officers of Verticalnet, the
Committee shall consist of two or more persons appointed by the Board, all of whom shall be
“outside directors” (as defined under section 162(m) of the Code and related Treasury regulations)
and “non-employee directors” as defined under Rule 16b-3 promulgated under the Exchange Act.

(e) “Company” means Verticalnet and any Subsidiary.

(f) “Consultant” means an advisor or consultant who performs services for the Company.

(g) “Date of Grant” means the date a Grant is effective; provided, however, that no retroactive
Grants will be made.

(h) “Effective Date” means May 20, 2006, subject to approval by the shareholders of Verticalnet.

(i) “Employee” means an employee of the Company (including an officer or director who is also an
employee).

(j) “Exchange Act” means the Securities Exchange Act of 1934, as amended.

(k) “Fair Market Value” means, as of any date, unless otherwise required by any applicable
provision of the Code or any regulations thereunder, (i) if the shares of Stock are publicly
traded, then the Fair Market Value per share of Stock shall be determined as follows (A) if the
principal trading market for the shares of Stock is a national securities exchange or the Nasdaq
National Market, the last reported sale price thereof on the relevant date or (if there were no
trades on that date) the latest preceding date upon which a sale was reported, or (B) if the shares
of Stock are not principally traded on such exchange or market, the mean between the last reported
“bid” and “asked” prices of shares of Stock on the relevant date, as reported on Nasdaq or, if not
so reported, as reported by the National Daily Quotation Bureau, Inc. or as reported in a customary
financial reporting service, as applicable and as the Committee determines, or (ii) if the shares
of Stock are not publicly traded or, if publicly traded, are not subject to reported transactions
or “bid” or “asked” quotations as set forth above, the Fair Market Value per share shall be as
determined by the Committee.

(l) “Grant” means an Option, SAR, Stock Unit, Performance Share, Stock Award or Other Stock-Based
Award granted under the Plan.

(m) “Grant Letter” means the written agreement that sets forth the terms and conditions of a Grant,
including all amendments thereto.

(n) “Incentive Stock Option” means a stock option that is intended to meet the requirements of
section 422 of the Code, as described in Section 7.

(o) “Non-Employee Director” means a member of the Board, or a member of the board of directors of a
Subsidiary, who is not an employee of the Company.

(p) “Nonqualified Stock Option” means a stock option that is not intended to meet the requirements
of section 422 of the Code, as described in Section 7.

(q) “Option” means an Incentive Stock Option or Nonqualified Stock Option to purchase shares of
Stock at an Option Price for a specified period of time.

(r) “Option Price” means an amount per share of Stock purchasable under an Option, as designated by
the Committee.

(s) “Other Stock-Based Award” means any Grant based on, measured by or payable in Stock (other than
Grants described in Sections 7, 8, 9, 10 and 11), as described in Section 12.

(t) “Parent” means a “parent corporation,” as defined in section 424(e) of the Code, of
Verticalnet.

(u) “Participant” means an Employee, Consultant or Non-Employee Director designated by the
Committee to receive a Grant under the Plan.

(v) “Performance Shares” means an award of phantom units, representing one or more shares of Stock,
as described in Section 10.

(w) “Plan” means this Verticalnet, Inc. 2006 Omnibus Equity Compensation Plan, as in effect from
time to time.

(x) “Stock” means the common stock, par value $0.01 per share, of Verticalnet or such other
securities of Verticalnet as may be substituted for Stock pursuant to Sections 5(d) or 18.

(y) “SAR” means an award of a stock appreciation right, as described in Section 8.

(z) “Stock Award” means an award of Stock, as described in Section 11.

(aa) “Stock Unit” means an award of a phantom unit, representing one or more shares of Stock, as
described in Section 9.

(bb) “Subsidiary” means a “subsidiary corporation,” as defined in section 424(f) of the Code, of
Verticalnet.

(cc) “Successor Participant” means the personal representative or other person entitled to succeed
to the rights of the Participant in accordance with Section 16.

(dd) “Verticalnet” means Verticalnet, Inc., a Pennsylvania corporation and any successor thereto.

Section 3. Administration

(a) Committee. The Plan shall be administered and interpreted by the Committee. Day to day
administrative functions may be performed by employees of Verticalnet, as approved by the
Committee.

(b) Committee Authority. The Committee shall have the sole authority to (i) determine the
Employees, Consultants and Non-Employee Directors to whom Grants shall be made under the Plan; (ii)
determine the type, size and terms of the Grants to be made to each Participant; (iii) determine
the time when the Grants will be made and the duration of any applicable exercise or restriction
period, including the criteria for exercisability and the acceleration of exercisability and
vesting; (iv) amend the terms of any previously issued Grant, subject to the provisions of Section
19; (v) adopt guidelines separate from the Plan that set forth the specific terms and conditions
for Grants under the Plan; and (vi) deal with any other matters arising under the Plan. However,
the Board may ratify or approve any Grants as it deems appropriate and has the authority to
administer the Plan. To the extent that the Board makes Grants and administers the Plan, references
in the Plan to the “Committee” shall be deemed to refer to the Board.

(c) Committee Determinations. The Committee shall have full power and express discretionary
authority to administer and interpret the Plan, to make factual determinations and to adopt or
amend such rules, regulations, agreements and instruments for implementing the Plan and for the
conduct of its business as it deems necessary or advisable, in its sole discretion. The Committee’s
interpretations of the Plan and all determinations made by the Committee pursuant to the powers
vested in it hereunder shall be conclusive and binding on all persons having any interest in the
Plan or in any Grants awarded hereunder. All powers of the Committee shall be executed in its sole
discretion, in the best interest of Verticalnet, not as a fiduciary, and in keeping with the
objectives of the Plan and need not be uniform as to similarly situated individuals.

Section 4. Grants

Grants under the Plan may consist of Options, SARs, Stock Units, Performance Shares, Stock Awards
and Other Stock-Based Awards. All Grants shall be subject to the terms and conditions set forth
herein and to such other terms and conditions consistent with the Plan as the Committee deems
appropriate and as are specified in writing by the Committee in separate guidelines or to the
individual in the Grant Letter or an amendment to the guidelines or Grant Letter. The Committee
shall approve the form and provisions of each Grant Letter. Grants under a particular Section of
the Plan need not be uniform as among the Participants. All Grants shall be made

conditional upon the Participant’s acknowledgement, in writing or by acceptance of the Grant, that
all decisions and determinations of the Committee shall be final and binding on the Participant,
his or her beneficiaries, and any other person having or claiming an interest under such Grant.

Section 5. Shares of Stock Subject to the Plan

(a) Shares Authorized. Subject to adjustment as described below, the aggregate number of shares of
Stock that may be issued or transferred under the Plan is 4,000,000 shares. The Shares may be
authorized, but unissued, shares of Stock or reacquired shares of Stock, including shares purchased
by Verticalnet on the open market for purposes of the Plan. Grants paid in cash shall not count
against the foregoing share limits.

(b) Share Counting. For administrative purposes, when the Committee makes a Grant payable in Stock,
the Committee shall reserve shares of Stock equal to the maximum number of shares of Stock that may
be payable under the Grant. If and to the extent Options or SARs granted under the Plan terminate,
expire, or are canceled, forfeited, exchanged or surrendered without having been exercised or if
any Stock Awards, Stock Units, Performance Shares or Other Stock-Based Awards are forfeited or
terminated, or otherwise not paid in full, the shares subject to such Grants which have not been
issued shall again be available for purposes of the Plan. To the extent any Grants are paid in
cash, and not in shares of Stock, any shares previously reserved for issuance or transfer pursuant
to such Grants shall again be available for issuance or transfer under the Plan.

(c) Individual Limits. All Grants under the Plan shall be expressed in shares of Stock. The maximum
aggregate number of shares of Stock with respect to which all Grants may be made under the Plan to
any individual during any calendar year shall be 500,000 shares, subject to adjustment as described
below. The individual limit described in this subsection (c) shall apply without regard to whether
the Grants are to be paid in Stock or in cash. All cash payments shall equal the Fair Market Value
of the shares of Stock to which the cash payment relates.

(d) Adjustments. If there is any change in the number or kind of shares of Stock outstanding (i) by
reason of a stock dividend, spinoff, recapitalization, stock split, or combination or exchange of
shares; (ii) by reason of a merger, reorganization or consolidation; (iii) by reason of a
reclassification or change in par value; or (iv) by reason of any other extraordinary or unusual
event affecting the outstanding Stock as a class without Verticalnet’s receipt of consideration, or
if the value of outstanding shares of Stock is substantially reduced as a result of a spinoff or
Verticalnet’s payment of an extraordinary dividend or distribution, the maximum number of shares of
Stock available for issuance under the Plan, the maximum number of shares of Stock for which any
individual may receive pursuant to Grants in any year, the number of shares covered by outstanding
Grants, the kind of shares to be issued or transferred under the Plan, and the price per share or
the applicable market value of such Grants shall be appropriately adjusted by the Committee to
reflect any increase or decrease in the number of, or change in the kind or value of, issued shares
of Stock to preclude, to the extent practicable, the enlargement or dilution of rights and benefits
under such Grants; provided, however, that any fractional shares resulting from such adjustment
shall be eliminated. Any adjustments determined by the Committee shall be final, binding and
conclusive.

Section 6. Eligibility for Participation

(a) Eligible Persons. All Employees, including Employees who are officers or members of the Board,
and all Non-Employee Directors shall be eligible to participate in the Plan. Consultants are
eligible to participate in the Plan if they perform bona fide services for the Company, the
services are not in connection with the offer or sale of securities in a capital-raising
transaction, and the Consultants do not directly or indirectly promote or maintain a market for
Verticalnet’s securities.

(b) Selection of Participants. The Committee shall select the Employees, Consultants and
Non-Employee Directors to receive Grants and shall determine the terms and conditions of the Grant
and the number of shares of Stock subject to each Grant.

Section 7. Options

(a) General Requirements. The Committee may grant Options to any Employee, Consultant or
Non-Employee Director upon such terms and conditions as the Committee deems appropriate under this
Section 7.

(b) Number of Shares. The Committee shall determine the number of shares of Stock that will be
subject to each Grant of Options to Employees, Consultants and Non-Employee Directors.

(c) Type of Option and Price.

(i) The Committee may grant Incentive Stock Options or Nonqualified Stock Options or any
combination of Incentive Stock Options and Nonqualified Stock Options. Incentive Stock Options may
be granted only to Employees of Verticalnet or its Parent or Subsidiaries. Nonqualified Stock
Options may be granted to Employees, Consultants and Non-Employee Directors.

(ii) The Option Price shall be determined by the Committee and may be equal to or greater than the
Fair Market Value of the shares of Stock subject to the Grant on the Date of Grant; provided,
however, that an Incentive Stock Option may not be granted to an Employee who, at the Date of
Grant, owns stock possessing more than 10% of the total combined voting power of all classes of
stock of Verticalnet or any Parent or Subsidiary, unless the Option Price is not less than 110% of
the Fair Market Value on the Date of Grant.

(d) Option Term. The Committee shall determine the term of each Option. The term of an Option shall
not exceed ten years from the Date of Grant. However, an Incentive Stock Option that is granted to
an Employee who, at the Date of Grant, owns stock possessing more than 10% of the total combined
voting power of all classes of stock of Verticalnet, or any Parent or Subsidiary, may not have a
term that exceeds five years from the Date of Grant.

(e) Exercisability of Options. Options shall become exercisable in accordance with such terms and
conditions as may be determined by the Committee and specified in the Grant Letter. The Committee
may accelerate the exercisability of any or all outstanding Options at any time for any reason.

(f) Termination of Employment or Service. Except as provided in the Grant Letter, an Option may
only be exercised while the Participant is employed by, or providing service to, the Company. The
Committee shall specify in the Grant Letter under what circumstances and during what time periods a
Participant may exercise an Option after termination of employment or service.

(g) Exercise of Options. A Participant may exercise an Option that has become exercisable, in whole
or in part, by delivering a notice of exercise to Verticalnet or its designated agent. The
Participant shall pay the Option Price and any withholding taxes for the Option (i) in cash or by
certified or cashier’s check; (ii) with the approval of the Committee, by delivering shares of
Stock owned by the Participant and having a Fair Market Value on the date of exercise equal to the
Option Price or by attestation (on a form prescribed by the Committee) to ownership of shares of
Stock having an aggregate Fair Market Value on the date of exercise equal to the Option Price;
(iii) in cash, on the T+3 settlement date that occurs after the exercise date specified in the
notice of exercise, provided that the Participant exercises the Option through an irrevocable
agreement with a registered broker and the payment is made in accordance with procedures permitted
by Regulation T of the Federal Reserve Board and such procedures do not violate applicable law; or
(iv) by such other method as the Committee may approve, to the extent permitted by applicable law.
Shares of Stock used to exercise an Option pursuant to subsection (ii) shall have been held by the
Participant for the requisite period of time to avoid adverse accounting consequences to
Verticalnet with respect to the Option. Payment for the shares pursuant to the Option, and any
required withholding taxes, must be received by the time specified by the Committee depending on
the type of payment being made.

(h) Limits on Incentive Stock Options. Each Incentive Stock Option shall provide that if the
aggregate Fair Market Value on the Date of Grant with respect to which Incentive Stock Options are
exercisable for the first

time by a Participant during any calendar year, under the Plan or any other stock option plan of
Verticalnet or a Parent or Subsidiary, exceeds $100,000, then the Option, as to the excess, shall
be treated as a Nonqualified Stock Option.

Section 8. SARs

(a) General Requirements. The Committee may grant SARs to any Employee, Consultant or Non-Employee
Director, upon such terms and conditions as the Committee deems appropriate under this Section 8.
Each SAR shall represent the right of the Participant to receive, upon settlement of the SAR,
shares of Stock or cash equal to the amount by which the Fair Market Value of a share of Stock on
the date of exercise of the SAR exceeds the base amount of the SAR as described below in Section
8(c).

(b) Terms of SARs. The Committee shall determine the terms and conditions of SARs and may grant
SARs separately from or in tandem with any Option (for all or a portion of the applicable Option).
Tandem SARs may be granted either at the time the Option is granted or any time thereafter while
the Option remains outstanding; provided, however, that in the case of an Incentive Stock Option,
SARs may be granted only at the time of the grant of the Incentive Stock Option. The Committee will
determine the number of SARs to be granted, the base amount, the vesting and other restrictions
applicable to SARs and the period during which SARs will remain exercisable.

(c) Base Amount. The Committee shall establish the base amount of the SAR at the time the SAR is
granted; provided, however, that the base amount shall not be less than the Fair Market Value of a
share of Stock on the Date of Grant.

(d) Payment With Respect to SARs. The Committee shall determine whether the appreciation in an SAR
shall be paid in the form of cash, in Stock, or in a combination of the two, in such proportion as
the Committee deems appropriate. For purposes of calculating the number of shares of Stock to be
received, Stock shall be valued at its Fair Market Value on the date of exercise of the SAR. If
shares of Stock are to be received upon exercise of an SAR, cash shall be delivered in lieu of any
fractional share.

(e) Requirement of Employment or Service. The Committee shall determine in the Grant Letter under
what circumstances a Participant may retain SARs after termination of the Participant’s employment
or service, and the circumstances under which SARs may be forfeited.

Section 9. Stock Units

(a) General Requirements. The Committee may grant Stock Units to any Employee, Consultant or
Non-Employee Director, upon such terms and conditions as the Committee deems appropriate under this
Section 9. Each Stock Unit shall represent the right of the Participant to receive a share of Stock
or an amount based on the value of a share of Stock. All Stock Units shall be credited to accounts
on Verticalnet’s records for purposes of the Plan.

(b) Terms of Stock Units. The Committee may grant Stock Units that are payable if specified
performance goals or other conditions are met, or under other circumstances. Stock Units may be
paid at the end of a specified period, or payment may be deferred to a date authorized by the
Committee. The Committee shall determine the number of Stock Units to be granted and the
requirements applicable to such Stock Units.

(c) Payment With Respect to Stock Units. Payment with respect to Stock Units shall be made in cash,
in Stock, or in a combination of the two, as determined by the Committee. The Grant Letter shall
specify the maximum number of shares that shall be paid under the Stock Units.

(d) Requirement of Employment or Service. The Committee shall determine in the Grant Letter under
what circumstances a Participant may retain Stock Units after termination of the Participant’s
employment or service, and the circumstances under which Stock Units may be forfeited.

Section 10. Performance Shares

(a) General Requirements. The Committee may grant Performance Shares to an Employee, Consultant or
Non-Employee Director, upon such terms and conditions as the Committee deems appropriate under this
Section 10. Each Performance Share shall represent the right of the Participant to receive a share
of Stock or an amount based on the value of a share of Stock, if specified performance goals are
met. All Performance Shares shall be credited to accounts on Verticalnet’s records for purposes of
the Plan.

(b) Terms of Performance Shares. The Committee shall establish the performance goals and other
conditions for payment of Performance Shares. Performance Shares may be paid at the end of a
specified performance or other period, or payment may be deferred to a date authorized by the
Committee. The Committee shall determine the number of Performance Shares to be granted and the
requirements applicable to such Performance Shares.

(c) Payment With Respect to Performance Shares. Payment with respect to Performance Shares shall be
made in cash, in Stock, or in a combination of the two, as determined by the Committee. The
Committee shall establish in the Grant Letter a target amount to be paid under a Performance Share
based on achievement of the performance goals.

(d) Requirement of Employment or Service. The Committee shall determine in the Grant Letter under
what circumstances a Participant may retain Performance Shares after termination of the
Participant’s employment or service, and the circumstances under which Performance Shares may be
forfeited.

Section 11. Stock Awards

(a) General Requirements. The Committee may issue or transfer shares of Stock to an Employee,
Consultant or Non-Employee Director under a Stock Award, upon such terms and conditions as the
Committee deems appropriate under this Section 11. Shares of Stock issued or transferred pursuant
to Stock Awards may be issued or transferred for cash consideration or for no cash consideration,
and subject to restrictions or no restrictions, as determined by the Committee. The Committee may
establish conditions under which restrictions on Stock Awards shall lapse over a period of time or
according to such other criteria as the Committee deems appropriate, including restrictions based
upon the achievement of specific performance goals.

(b) Number of Shares. The Committee shall determine the number of shares of Stock to be issued or
transferred pursuant to a Stock Award and any restrictions applicable to such shares.

(c) Requirement of Employment or Service. The Committee shall determine in the Grant Letter under
what circumstances a Participant may retain Stock Awards after termination of the Participant’s
employment or service, and the circumstances under which Stock Awards may be forfeited.

(d) Restrictions on Transfer. While Stock Awards are subject to restrictions, a Participant may not
sell, assign, transfer, pledge or otherwise dispose of the shares of a Stock Award except upon
death as described in Section 16. Each certificate, or electronic book entry equivalent, for a
share of a Stock Award shall contain a legend giving appropriate notice of the restrictions in the
Grant. The Participant shall be entitled to have the legend removed when all restrictions on such
shares have lapsed. The Committee may retain possession of any stock certificates for Stock Awards
until all restrictions on such shares have lapsed.

(e) Right to Vote and to Receive Dividends. Unless the Committee determines otherwise, the
Participant shall have the right to vote shares subject to Stock Awards and to receive any
dividends or other distributions paid on such shares during the restriction period. The Committee
may determine that a Participant’s entitlement to dividends or other distributions with respect to
a Stock Award shall be subject to achievement of performance goals or other conditions.

Section 12. Other Stock-Based Awards

The Committee may grant other awards that are cash-based or based on, measured by or payable in
Stock to Employees, Consultants or Non-Employee Directors, on such terms and conditions as the
Committee deems appropriate under this Section 12. Other Stock-Based Awards may be granted subject
to achievement of performance goals or other conditions and may be payable in Stock or cash, or in
a combination of the two, as determined by the Committee in the Grant Letter.

Section 13. Qualified Performance-Based Compensation

(a) Designation as Qualified Performance-Based Compensation. The Committee may determine that Stock
Units, Performance Shares, Stock Awards or Other Stock-Based Awards granted to an Employee shall be
considered “qualified performance-based compensation” under section 162(m) of the Code. The
provisions of this Section 13 shall apply to any such Grants that are to be considered “qualified
performance-based compensation” under section 162(m) of the Code. To the extent that Grants of
Stock Units, Performance Shares, Stock Awards or Other Stock-Based Awards designated as “qualified
performance-based compensation” under section 162(m) of the Code are made, no such Grant may be
made as an alternative to another Grant that is not designated as “qualified performance based
compensation” but instead must be separate and apart from all other Grants made.

(b) Performance Goals. When Stock Units, Performance Shares, Stock Awards or Other Stock-Based
Awards that are to be considered “qualified performance-based compensation” are granted, the
Committee shall establish in writing (i) the objective performance goals that must be met; (ii) the
period during which performance will be measured; (iii) the maximum amounts that may be paid if the
performance goals are met; and (iv) any other conditions that the Committee deems appropriate and
consistent with the Plan and the requirements of section 162(m) of the Code for “qualified
performance-based compensation.” The performance goals shall satisfy the requirements for
“qualified performance-based compensation,” including the requirement that the achievement of the
goals be substantially uncertain at the time they are established and that the performance goals be
established in such a way that a third party with knowledge of the relevant facts could determine
whether and to what extent the performance goals have been met. The Committee shall not have
discretion to increase the amount of compensation that is payable upon achievement of the
designated performance goals, but the Committee may reduce the amount of compensation that is
payable upon achievement of the designated performance goals.

(c) Criteria Used for Objective Performance Goals. The Committee shall use objectively determinable
performance goals based on one or more of the following criteria: Stock price, earnings per share
of Stock, net earnings, operating earnings, return on assets, shareholder return, return on equity,
growth in assets, unit volume, sales, market share, or strategic business criteria consisting of
one or more objectives based on meeting specific revenue goals, market penetration goals,
geographic business expansion goals, cost goals, or goals relating to acquisitions or divestitures.
The performance goals may relate to the Participant’s business unit or the performance of
Verticalnet, a Subsidiary, or Verticalnet and its Subsidiaries as a whole, or any combination of
the foregoing. Performance goals need not be uniform as among Participants.

(d) Timing of Establishment of Goals. The Committee shall establish the performance goals in
writing either before the beginning of the performance period or during a period ending no later
than the earlier of (i) 90 days after the beginning of the performance period or (ii) the date on
which 25% of the performance period has been completed, or such other date as may be required or
permitted under applicable regulations under section 162(m) of the Code.

(e) Certification of Results. The Committee shall certify and announce the results for the
performance period to all Participants after Verticalnet announces Verticalnet’s financial results
for the performance period. The Committee shall determine the amount, if any, to be paid pursuant
to each Grant based on the achievement of the performance goals and the terms of each Grant Letter.

(f) Death, Disability or Other Circumstances. The Committee may provide in the Grant Letter that
Grants shall be payable, in whole or in part, in the event of the Participant’s death or
disability, a Change in Control or under other circumstances consistent with the Treasury
regulations and rulings under section 162(m) of the Code.

Section 14. Deferrals

The Committee may permit or require a Participant to defer receipt of the payment of cash or the
delivery of shares of Stock that would otherwise be due to the Participant in connection with any
Grant. The Committee shall establish rules and procedures for such deferrals, which shall be
consistent with the requirements of section 409A of the Code and the corresponding Treasury
regulations and rulings.

Section 15. Withholding of Taxes

(a) Required Withholding. All Grants under the Plan shall be subject to applicable federal
(including FICA), state and local tax withholding requirements. Verticalnet may (i) require that
the Participant or other person receiving or exercising Grants pay to the Company the amount of any
federal, state or local taxes that the Company is required to withhold with respect to such Grants,
or (ii) deduct from other wages paid by the Company the amount of any withholding taxes due with
respect to such Grants.

(b) Election to Withhold Shares. If the Committee so permits, a Participant may elect to satisfy
the Company’s tax withholding obligation with respect to Grants paid in Stock by having shares
withheld, at the time such Grants become taxable, up to an amount that does not exceed the minimum
applicable withholding tax rate for federal (including FICA), state and local tax liabilities. The
elections described in this subsection (b) must be in a form and manner prescribed by the Committee
and may be subject to the prior approval of the Committee.

Section 16. Transferability of Grants

(a) In General. Except as provided in this Section 16, only the Participant may exercise rights
under a Grant during the Participant’s lifetime. A Participant may not transfer those rights except
by will or by the laws of descent and distribution, or, with respect to Grants other than Incentive
Stock Options, if permitted in any specific case by the Committee, pursuant to a domestic relations
order. When a Participant dies, the Successor Participant may exercise such rights in accordance
with the terms of the Plan. A Successor Participant must furnish proof satisfactory to Verticalnet
of his or her right to receive the Grant under the Participant’s will or under the applicable laws
of descent and distribution.

(b) Transfer of Nonqualified Stock Options. Notwithstanding the foregoing, the Committee may
provide in a Grant Letter that a Participant may transfer Nonqualified Stock Options to family
members or other persons or entities, consistent with applicable securities laws, according to such
terms as the Committee may determine; provided that the Participant receives no consideration for
the transfer of a Nonqualified Stock Option and the transferred Nonqualified Stock Option shall
continue to be subject to the same terms and conditions as were applicable to the Nonqualified
Stock Option immediately before the transfer.

Section 17. Consequences of a Change in Control

(a) Assumption of Grants. Upon a Change in Control where Verticalnet is not the surviving
corporation (or survives only as a subsidiary of another corporation), unless the Committee
determines otherwise, all outstanding Options and SARs that are not exercised shall be assumed by,
or replaced with comparable options and rights by, the surviving corporation (or a parent or
subsidiary of the surviving corporation), and other Grants that remain outstanding shall be
converted to similar grants of the surviving corporation (or a parent or subsidiary of the
surviving corporation).

(b) Other Alternatives. Notwithstanding the foregoing, in the event of a Change in Control, the
Committee may take any of the following actions with respect to any or all outstanding Grants,
without the consent of any Participant: (i) determine that outstanding Options and SARs shall
accelerate and become exercisable, in whole

or in part; (ii) determine that the restrictions and conditions on outstanding Stock Awards shall
lapse, in whole or in part; (iii) provide that Participants holding outstanding Performance Shares
shall receive payment, in whole or in part, in settlement of such Performance Shares, in an amount
determined by the Committee, based on the Participant’s target payment for the performance period
and the portion of the performance period that precedes the Change in Control; (iv) determine that
outstanding Stock Units shall become payable, in whole or in part, in cash, Stock or other property
in an amount not less than their target amount, as determined by the Committee; (v) provide that
Other Stock-Based Awards shall become fully payable, in whole or in part, in cash, Stock or other
property, in amounts determined by the Committee; (vi) the Committee may require that Participants
surrender their outstanding Options and SARs in exchange for a payment by Verticalnet, in cash,
Stock or other property, as determined by the Committee, in an amount equal to the amount by which
the then Fair Market Value subject to the Participant’s unexercised Options and SARs exceeds the
Option Price of the Options or the base amount of the SARs, as applicable; (vii) after giving
Participants an opportunity to exercise their outstanding Options and SARs, the Committee may
terminate any or all unexercised Options and SARs at such time as the Committee deems appropriate;
and/or (viii) with respect to Participants holding Stock Units, Performance Shares or Other
Stock-Based Awards, the Committee may determine that such Participants shall receive a payment in
settlement of such Stock Units, Performance Shares or Other Stock-Based Awards, in such amount and
form as may be determined by the Committee. Such acceleration, surrender, termination or settlement
shall take place as of the date of the Change in Control or such other date as the Committee may
specify.

Section 18. Requirements for Issuance of Shares

No shares of Stock shall be issued or transferred in connection with any Grant hereunder unless and
until all legal requirements applicable to the issuance of such shares have been complied with to
the satisfaction of the Committee. The Committee shall have the right to condition any Grant made
to any Participant hereunder on such Participant’s undertaking in writing to comply with such
restrictions on his or her subsequent disposition of such shares of Stock as the Committee shall
deem necessary or advisable, and certificates representing such shares may be legended to reflect
any such restrictions. Certificates representing shares of Stock issued or transferred under the
Plan will be subject to such stop-transfer orders and other restrictions as may be required by
applicable laws, regulations and interpretations, including any requirement that a legend be placed
thereon.

Section 19. Amendment and Termination of the Plan

(a) Amendment. The Board may amend or terminate the Plan at any time; provided, however, that the
Board shall not amend the Plan without approval of the shareholders of Verticalnet if such approval
is required in order to comply with the Code or applicable laws, or to comply with applicable stock
exchange requirements. No amendment or termination of this Plan shall, without the consent of the
Participant, impair any rights or obligations under any Grant previously made to the Participant,
unless such right has been reserved in the Plan or the Grant Letter, or except as provided in
Section 20(b) below.

(b) No Repricing Without Shareholder Approval. Notwithstanding anything in the Plan to the
contrary, without the prior approval of Verticalnet’s shareholders, no Grant under the Plan may be
repriced, replaced, regranted through cancellation or modified if the effect would be to reduce the
exercise price for the shares underlying such Grant; provided, however, that the foregoing shall
not apply to any adjustment made to a Grant pursuant to Section 5(d) of the Plan. In addition,
without the prior approval of Verticalnet’s shareholders, the Committee may not cancel an
outstanding Grant that is underwater for the purpose of granting a replacement Grant of a different
type.

(c) Shareholder Approval for “Qualified Performance-Based Compensation.” If Stock Units,
Performance Shares, Stock Awards or Other Stock-Based Awards are granted as “qualified
performance-based compensation” under Section 13 above, the Plan must be reapproved by
Verticalnet’s shareholders no later than the first shareholders meeting that occurs in the fifth
year following the year in which the shareholders previously approved the provisions of Section 13,
if additional Grants are to be made under Section 13 and if required by section 162(m) of the Code
or the regulations thereunder.

(d) Termination of Plan. The Plan shall terminate on the day immediately preceding the tenth
anniversary of its Effective Date, unless the Plan is terminated earlier by the Board or is
extended by the Board with the approval of the shareholders. The termination of the Plan shall not
impair the power and authority of the Committee with respect to an outstanding Grant.

Section 20. Miscellaneous

(a) Grants in Connection with Corporate Transactions and Otherwise. Nothing contained in this Plan
shall be construed to (i) limit the right of the Committee to make Grants under this Plan in
connection with the acquisition, by purchase, lease, merger, consolidation or otherwise, of the
business or assets of any corporation, firm or association, including Grants to employees thereof
who become Employees, or for other proper corporate purposes, or (ii) limit the right of
Verticalnet to grant stock options or make other awards outside of this Plan. Without limiting the
foregoing, the Committee may make a Grant to an employee of another corporation who becomes an
Employee by reason of a corporate merger, consolidation, acquisition of stock or property,
reorganization or liquidation involving Verticalnet in substitution for a grant made by such
corporation. The terms and conditions of the substitute Grants may vary from the terms and
conditions required by the Plan and from those of the substituted stock incentives. The Committee
shall prescribe the provisions of the substitute Grants.

(b) Compliance with Law. The Plan, the exercise of Options and the obligations of Verticalnet to
issue or transfer shares of Stock under Grants shall be subject to all applicable laws and to
approvals by any governmental or regulatory agency as may be required. With respect to persons
subject to section 16 of the Exchange Act, it is the intent of Verticalnet that the Plan and all
transactions under the Plan comply with all applicable provisions of Rule 16b-3 or its successors
under the Exchange Act. In addition, it is the intent of Verticalnet that the Plan and applicable
Grants comply with the applicable provisions of sections 162(m), 409A and 422 of the Code. To the
extent that any legal requirement of section 16 of the Exchange Act or sections 162(m), 409A or 422
of the Code as set forth in the Plan ceases to be required under section 16 of the Exchange Act or
sections 162(m), 409A or 422 of the Code, that Plan provision shall cease to apply. The Committee
may revoke any Grant if it is contrary to law or modify a Grant to bring it into compliance with
any valid and mandatory government regulation. The Committee may also adopt rules regarding the
withholding of taxes on payments to Participants. The Committee may, in its sole discretion, agree
to limit its authority under this Section.

(c) Enforceability. The Plan shall be binding upon and enforceable against Verticalnet and its
successors and assigns.

(d) Funding of the Plan; Limitation on Rights. This Plan shall be unfunded. Neither Verticalnet nor
any other Company shall be required to establish any special or separate fund or to make any other
segregation of assets to assure the payment of any Grants under this Plan. Nothing contained in the
Plan and no action taken pursuant hereto shall create or be construed to create a fiduciary
relationship between Verticalnet or any other Company and any Participant or any other person. No
Participant or any other person shall under any circumstances acquire any property interest in any
specific assets of Verticalnet or any other Company. To the extent that any person acquires a right
to receive payment from Verticalnet hereunder, such right shall be no greater than the right of any
unsecured general creditor of Verticalnet.

(e) Rights of Participants. Nothing in this Plan shall entitle any Employee, Consultant,
Non-Employee Director or other person to any claim or right to receive a Grant under this Plan.
Neither this Plan nor any action taken hereunder shall be construed as giving any individual any
rights to be retained by or in the employment or service of the Company.

(f) No Fractional Shares. No fractional shares of Stock shall be issued or delivered pursuant to
the Plan or any Grant. The Committee shall determine whether cash, other awards or other property
shall be issued or paid in lieu of such fractional shares or whether such fractional shares or any
rights thereto shall be forfeited or otherwise eliminated.

(g) Employees Subject to Taxation Outside the United States. With respect to Participants who are
subject to taxation in countries other than the United States, the Committee may make Grants on
such terms and conditions as the Committee deems appropriate to comply with the laws of the
applicable countries, and the Committee may create such procedures, addenda and subplans and make
such modifications as may be necessary or advisable to comply with such laws.

(h) Governing Law. The validity, construction, interpretation and effect of the Plan and Grant
Letters issued under the Plan shall be governed and construed by and determined in accordance with
the laws of the Commonwealth of Pennsylvania, without giving effect to the conflict of laws
provisions thereof.Page 36 of 32

                                                    Exhibit 10.1

                   THIRD AMENDED AND RESTATED
                   LOAN AND SECURITY AGREEMENT

  It is hereby agreed as of the 6th day of July, 2006, by and
between HALIFAX CORPORATION, a Virginia corporation ("Halifax"),
HALIFAX ENGINEERING, INC., a Virginia corporation
("Engineering"), MICROSERV LLC, a Delaware limited liability
company ("Microserv") and HALIFAX ALPHANATIONAL ACQUISITION,
INC., a Delaware corporation ("AlphaNational"; collectively with
Halifax, Engineering and Microserv, "Borrower"), and PROVIDENT
BANK, a Maryland banking corporation ("Bank"), of Baltimore,
Maryland, and the successor by merger to Southern Financial Bank
that this Third Amended and Restated Loan and Security Agreement
(the "Agreement") combines, amends and replaces the Second
Amended and Restated Loan and Security Agreement dated June 29,
2005 executed by Borrower and Bank, as amended.  The terms of
the Agreement are as follows:

I.    DEFINITIONS

  A.  Specific Definitions.  The following terms have the
      following definitions (each definition is equally
      applicable to the singular and plural forms of the terms
      used, as the context requires):

      1."Account Debtor" means any person or entity who is or who
         may become obligated to make payments to Borrower, including,
         but not limited to, payments owed to Borrower under, with
         respect to, or on account of Receivables.

      2."Assignment of Claims Act" means, collectively, the
         Assignment of Claims Act of 1940, as amended, 31 U.S.C. Section
         3727, 41 U.S.C. Section  15, any applicable rules, regulations
         and interpretations issued pursuant thereto, and any amendments
         to any of the foregoing.

      3."Auxiliary Borrowing Base" has the meaning ascribed to such
         term in the Formula Advance Addendum executed the date hereof by
         and between Borrower and Bank.

      4."Auxiliary Maximum Credit Amount" means One Million Dollars
         ($1,000,000).

      5."Auxiliary Revolver Facility" means the revolver loan
         facility extended by Bank to Borrower pursuant to Paragraph
         II.A.2 of this Agreement and otherwise in accordance with the
         terms of this Agreement.

      6."Borrowing Base" has the meaning ascribed to such term in
         the Formula Advance Addendum executed the date hereof by and
         between Borrower and Bank.

      7."Collateral" means all of the now owned and hereafter
         acquired assets, properties and property rights of Borrower with
         respect to which Borrower has at any time granted a security
         interest or lien to Bank or has at any time otherwise assigned
         or pledged to Bank as security for any of the Obligations.

      8."Equipment" means all of the now owned and hereafter
         acquired machinery, equipment, furniture, fixtures (whether or
         not attached to real property), vehicles, supplies and other
         personal property of Borrower other than inventory, including
         any leasehold interests therein and all substitutions,
         replacement parts and annexations thereto,  and including all
         improvements and accessions thereto and all spare parts, tools,
         accessories and attachments now owned or hereafter acquired in
         connection therewith, and any maintenance agreements applicable
         thereto, and all proceeds and products thereof, including sales
         proceeds, and all rights thereto.

      9.   "G.A.A.P." means, with respect to any date of
           determination, generally accepted accounting principles as used
           by the Financial Accounting Standards Board and/or the American
           Institute of Certified Public Accountants consistently applied
           and maintained throughout the periods indicated.

      10.  "Government" means the United States of America or any
           agency or instrumentality thereof.

      11.  "Government Contract" means any contract with the
           Government under which Borrower is the prime contractor.

      12.  "Inventory" means all of Borrower's now owned and hereafter
           acquired inventory, wherever located, including, but not limited
           to, goods, wares, merchandise, materials, raw materials, parts,
           containers, goods in process, finished goods, work in progress,
           bindings or component materials, packaging and shipping
           materials and other tangible or intangible personal property
           held for sale or lease or furnished or to be furnished under
           contracts of service or which contribute to the finished
           products or the sale, promotion, storage and shipment thereof,
           all goods returned for credit, repossessed, reclaimed or
           otherwise reacquired by Borrower, whether located at facilities
           owned or leased by Borrower, in the course of transport to or
           from Account Debtors, placed on consignment, or held at storage
           locations, and all proceeds and products thereof and all rights
           thereto, including, but not limited to all sales proceeds, all
           chattel paper related to any of the foregoing and all documents,
           including, but not limited to, documents of title, bills of
           lading and warehouse receipts related to any of the foregoing.

      13.  "Line of Credit" means any line of credit facility extended
           by Bank to Borrower pursuant to Paragraph II.A.1 of this
           Agreement and otherwise in accordance with the terms of this
           Agreement.

      14.  "Loan" means one or more credit facilities, including any
           Line of Credit and the Auxiliary Revolver Facility, provided by
           Bank to Borrower pursuant to the terms of this Agreement and all
           accompanying Loan documents, including, but not limited to, one
           or more promissory notes of Borrower payable to the order of
           Bank, as the same may be amended, modified, extended, renewed,
           supplemented, restated or replaced from time to time.

      15.  "Maximum Line of Credit Amount" means Twelve Million
           Dollars ($12,000,000) less any amounts outstanding pursuant to
           the Auxiliary Revolver Facility.

      16.  "Obligations" means collectively the obligations of
           Borrower to pay to Bank:  (i) any and all sums due to Bank under
           or pursuant to the Loan or otherwise under the terms of this
           Agreement or any accompanying Loan documents; (ii) any and all
           sums advanced by Bank to preserve or protect the Collateral or
           to preserve, protect, or perfect Bank's security interests and
           liens in the Collateral; (iii) the expenses of retaking,
           holding, preparing for sale, selling or otherwise disposing of
           or realizing on the Collateral, or of any exercise by Bank of
           Bank's rights in the event of a default by Borrower, together
           with Bank's attorneys' fees, expenses of collection, and court
           costs; and (iv) any other indebtedness or liability of Borrower
           to Bank, whether direct or indirect (by way of endorsement,
           guaranty, pledge or otherwise), liquidated or unliquidated,
           joint or several, absolute or contingent, contemplated or
           uncontemplated, or otherwise arising from any loan, note, letter
           of credit, guaranty, overdraft, or any other duty owed by
           Borrower to Bank, now existing or hereafter arising.

      17.  "Other Obligor" means any person or entity that is now or
           hereafter liable, directly, contingently or otherwise, upon or
           in connection with any of the Obligations or that has granted
           any lien or security interest to or for the benefit of Bank to
           secure any of the Obligations, including, but not limited to,
           any guarantor, surety, endorser, or co-maker of any of the
           Obligations.

      18.  "Receivables" means all of Borrower's now owned and
           hereafter acquired and/or created Accounts, accounts receivable,
           contracts, contract rights, Instruments, Documents, Chattel
           Paper, Deposit Accounts, notes, notes receivable, drafts,
           acceptances, General Intangibles (including, but not limited to,
           trademarks, tradenames, licenses, copyrights and patents), and
           other choses in action (not including salary or wages), and all
           proceeds and products thereof, and all rights thereto,
           including, but not limited to, proceeds of Inventory and
           returned goods and proceeds arising from the sale or lease of or
           the providing of Inventory, goods, or services by Borrower, as
           well as all other rights of any kind, contingent or non-
           contingent, of Borrower to receive payment, benefit, or credit
           from any person or entity, including, but not limited to, the
           right to receive tax refunds or tax rebates.

      19.  "VDOT Contract" means Contract #844 between Halifax
           Technology Services Company (predecessor by merger to Halifax)
           and Virginia Department of Transportation and Virginia
           Retirement Systems for Provision of Services for Information
           Technology/Enterprise Architecture, dated November 1, 1998, as
           amended.

      20.  "VDOT Vendor Liens/Assignments" means liens on or
           assignments of receivables from the VDOT Contract given to
           vendors supplying equipment and software provided by Borrower to
           the customer pursuant to the VDOT Contract, but only to the
           extent they relate to the acquisition of such equipment and
           software.

  B.  UCC Definitions.  The terms "Accounts,"  "As-Extracted
      Collateral," "Chattel Paper,"  "Deposit Accounts,"
      "Documents,"  "Electronic Chattel Paper," "Fixtures,"
      "General Intangibles," "Goods," "Investment Property,"
      Instruments, " "Letter-of-Credit Rights," "Payment
      Intangibles," "Software" and "Tangible Chattel Paper" have
      the respective meanings given to those terms in Maryland
      Uniform Commercial Code - Secured Transactions, Title 9,
      Commercial Law Article, Annotated Code of Maryland, as
      amended ("Article 9").

  C.  Accounting Terms.  The accounting terms used in this
      Agreement have the meanings customarily given them in
      accordance with G.A.A.P., unless this Agreement expressly
      provides a different meaning.

II.   BASIC TERMS OF LOAN

      A.1  Line of Credit.  Subject to the continued compliance
      of Borrower with the terms of this Agreement and all other
      accompanying Loan documents and the continued absence of
      any default by Borrower or any Other Obligor hereunder and
      thereunder, Bank may advance to Borrower, for use by
      Borrower as hereafter provided, such sums as Borrower may
      request, but which shall not exceed in the aggregate at
      any one time outstanding the lesser of the Borrowing Base
      or the Maximum Line of Credit Amount.  Borrower shall not
      request any advance of proceeds of the Line of Credit
      which exceeds the Maximum Line of Credit Amount or the
      Borrowing Base or which would cause the aggregate amount
      of advances made and outstanding under the Line of Credit
      to exceed the Maximum Line of Credit Amount or the
      Borrowing Base.  If the aggregate amount of advances made
      and outstanding under the Line of Credit shall at any time
      and for any reason exceed the Maximum Line of Credit
      Amount or the Borrowing Base, Borrower shall immediately
      pay Bank the excess.  Each advance shall be by automatic
      credit.  Bank shall make all advances by depositing funds
      in Borrower's commercial account number 20-65310679 or
      such Bank account as may be agreed upon by Borrower and
      Bank.  Borrower shall use the proceeds of the Line of
      Credit for short term working capital purposes including
      the financing of Borrower's contracts and accounts
      receivable.  Within such limitations and subject to all of
      the terms and conditions set forth herein and in the other
      accompanying Loan documents, Borrower may borrow, repay,
      and reborrow funds under the Line of Credit in accordance
      with the terms and conditions of this Agreement.

  A.2Auxiliary Revolver Facility.  Subject to the continued
      compliance of Borrower with the terms of this Agreement
      and all other accompanying Loan documents and the
      continued absence of any default by Borrower or any Other
      Obligor hereunder and thereunder, Bank may advance to
      Borrower, for use by Borrower as hereafter provided, such
      sums as Borrower may request, but which shall not exceed
      in the aggregate at any one time outstanding the lesser of
      the Auxiliary Borrowing Base or the Auxiliary Maximum
      Credit Amount.  Borrower shall not request any advance of
      proceeds of the Auxiliary Revolver Facility which exceeds
      the Auxiliary Maximum Credit Amount or the Auxiliary
      Borrowing Base or which would cause the aggregate amount
      of advances made and outstanding under the Auxiliary
      Revolver Facility to exceed the Auxiliary Maximum Credit
      Amount or the Auxiliary Borrowing Base.  If the aggregate
      amount of advances made and outstanding under the
      Auxiliary Revolver Facility shall at any time and for any
      reason exceed the Auxiliary Maximum Credit Amount or the
      Auxiliary Borrowing Base, Borrower shall immediately pay
      Bank the excess.  Each advance shall be by automatic
      credit.  Bank shall make all advances by depositing funds
      in Borrower's commercial account number 20-65310679 or
      such Bank account as may be agreed upon by Borrower and
      Bank.  Borrower shall use the proceeds of the Auxiliary
      Revolver Facility for costs related to the commencement of
      any new contract (a "Permitted Auxiliary Use").  Within
      such limitations and subject to all of the terms and
      conditions set forth herein and in the other accompanying
      Loan documents, Borrower may borrow, repay, and reborrow
      funds under the Auxiliary Revolver Facility in accordance
      with the terms and conditions of this Agreement.
      Notwithstanding the foregoing, the Borrower cannot request
      any advances under the Auxiliary Revolver Facility after
      March 31, 2007, and one-third of the principal amount
      outstanding on such date shall be paid on each of May 1,
      2007, June 1, 2007 and July 1, 2007.

  B.  Advance Procedure.  With respect to each advance and all
      matters and transactions in connection therewith, Borrower
      hereby irrevocably authorizes Bank to accept, rely upon,
      act upon and comply with any oral or written instructions,
      requests, confirmations and orders of any employee or
      representative of Borrower who is so authorized or
      designated as a signer of Loan documents under the
      provisions of Borrower's most recent Banking and Borrowing
      Resolutions or similar document on file with Bank.
      Borrower acknowledges that the transmission between
      Borrower and Bank of any such instructions, requests,
      confirmations and orders involves the possibility of
      errors, omissions, mistakes and discrepancies and agrees
      to adopt such internal measures and operational procedures
      as may be necessary to protect its interest.  By reason
      thereof, Borrower hereby assumes all risk of loss and
      responsibility for, releases and discharges Bank from any
      and all responsibility or liability for, and agrees to
      indemnify, reimburse on demand and hold Bank harmless
      from, any and all claims, actions, damages, losses,
      liability and expenses by reason of, arising out of, or in
      any way connected with or related to: (i) Bank's
      accepting, relying and acting upon, complying with or
      observing any such instruction, request, confirmation or
      order; and (ii) any such error, omission, mistake, or
      discrepancy, provided such error, omission, mistake or
      discrepancy is not the result of negligence on the part of
      Bank.  Borrower may request an advance under the Auxiliary
      Revolver Facility only if such request is accompanied with
      documents, acceptable to the Bank in its sole discretion,
      supporting the request and indicating that the proceeds of
      such advance will be used only for a Permitted Auxiliary
      Use.

  C.  Evidence of Loan; Terms of Repayment.  The interest rates
      on the Loan and the method of calculating interest upon
      the Loan, the term of the Loan, the method and times of
      repayment, and other conditions pertaining to the
      repayment of the Loan shall at the option of Bank be
      evidenced by Bank's form of promissory note or as
      otherwise set forth in appropriate writings between the
      parties as determined by Bank.  The Loans shall be subject
      to annual internal reviews of the Bank concurrent with the
      delivery of the Borrowers' annual modified financial
      statements.  In the absence of a promissory note or other
      applicable writing, the Loan shall be deemed to be
      otherwise conclusively evidenced by Bank's record of
      advances of proceeds of the Loan and Bank's record of
      receipt of repayments and other bookkeeping entries
      reflecting the payment of principal and interest, and
      interest shall be deemed to accrue at the interest rate
      reflected on Bank's records.

  D.  Statement of Account.  Bank may at any time or from time
      to time render a statement or statements of account to
      Borrower for the Obligations or any portion thereof.  Each
      such statement shall be deemed to be correct and
      conclusively binding on Borrower unless Borrower notifies
      Bank to the contrary in writing within thirty (30) days
      from the date of any such statement which Borrower deems
      to be incorrect.

  E.  ARTS Fee.  Borrower shall pay Bank a monthly ARTS fee of
      $1,000 per month subject to change as announced by the
      Bank from time to time.  Bank may debit Borrower's
      operating account to effectuate such payment, payable in
      arrears.

  F.  Unused Commitment Fee.  Borrower agrees to pay an unused
      commitment fee on any difference between the Maximum Line
      of Credit Amount and the amount of advances under the Line
      of Credit, determined by the average of the daily amount
      of credit outstanding during the specified period.  The
      fee will be calculated by multiplying such difference by
      one-quarter percent (0.25%).  This fee is due on September
      30, 2006, and on the last day of each following quarter
      until the Line of Credit has been terminated, payable in
      arrears.  Bank may debit Borrower's operating account to
      effectuate such payment.

  G.  Commitment Fee.  Prior to the execution of this Agreement,
      Borrower has paid Bank a non-refundable commitment fee of
      Thirty Thousand Dollars ($30,000).

III.  GRANT OF SECURITY INTEREST

  A.  Collateral.   As collateral security for all Obligations
      of Borrower to Bank, and in consideration of advances from
      Bank to Borrower, Borrower hereby confirms and restates
      its prior grant and pledge to Bank of, a continuing
      security interest in all of the following property:

      1.   All of Borrower's Equipment;

      2.   All of Borrower's Receivables;

      3.   All of Borrower's Inventory;

      4.   All of Borrower's now owned or hereafter acquired Goods,
           Chattel Paper (including without limitation all Electronic
           Chattel Paper and Tangible Chattel Paper), Instruments,
           Documents, Investment Property, General Intangibles (including
           without limitation all Payment Intangibles and Software),
           Deposit Accounts, Letter-of-Credit Rights, As-Extracted
           Collateral  and Fixtures.

      5.   Other:  Federal Assignment Claims Act assignment on all
           U.S. Government contracts in excess of $100,000.00 and for a
           term of six (6) months or more.

      Borrower also confirms and restates its prior grant and
      pledge to Bank of a continuing security interest in: (i)
      all proceeds (including insurance proceeds) and products
      of the above-described Collateral; (ii) any of Borrower's
      assets in which Bank has been or is hereafter granted a
      security interest under any other security agreements,
      notes or other obligations or liabilities between Borrower
      and Bank; (iii) any accounts, property, securities,
      Investment Property or monies of Borrower which may at any
      time be maintained at, assigned to, delivered to, or come
      into possession of, Bank, as well as all proceeds and
      products thereof; and (iv) all of the books and records
      pertaining to any of the above-described items of
      Collateral.

  B.  Borrower's Obligations.  Borrower's Obligations under this
      Agreement are irrevocable, absolute and unconditional, and
      direct, immediate and primary.

IV.   REPRESENTATIONS AND WARRANTIES

  Borrower represents and warrants that:

  A.  Accuracy.  All information, financial statements and data
      submitted to Bank by Borrower or any Other Obligor are
      true, accurate and complete in all material respects.

  B.  Authority.  Halifax is duly organized and existing in good
      standing under the laws of the Commonwealth of Virginia.
      Engineering, Microserv and AlphaNational are each duly
      organized and existing in good standing under the laws of
      the State of Delaware.  Borrower is qualified to do
      business and in good standing in all jurisdictions where
      it conducts its business or its Receivables are located,
      and has all requisite power, authority, licenses and
      permits to own its property and carry on its business, and
      Borrower shall deliver to Bank a written opinion of
      counsel to such effect if requested by Bank.  None of the
      terms and conditions herein, or of any other agreement
      executed by Borrower, are in violation of the charter or
      by-laws, or other organizational documents of Borrower,
      any contractual obligation Borrower may have with any
      third party, or any order or decree by which Borrower is
      bound, and the execution and delivery of this Agreement
      have been duly authorized by appropriate corporate,
      limited liability company or partnership action, and
      Borrower shall deliver to Bank a written opinion of
      counsel to such effect if requested by Bank.

  C.  Litigation.  No litigation or other proceeding before any
      court or administrative agency is pending, or to the
      knowledge of Borrower, is threatened against Borrower, the
      outcome of which could materially impair Borrower's
      financial condition or its ability to carry on its
      business.  Borrower is not the subject of any pending
      bankruptcy proceeding nor subject to the continuing
      jurisdiction of a bankruptcy court as the result of an
      approved plan of reorganization.

  D.  Financing Statements.  No financing statement relating to
      any of the Collateral is on file in any place, except for
      any financing statement, (i) naming Bank as secured party
      or (ii) which solely identifies VDOT Vendor
      Liens/Assignments.

  E.  Assurance of Title.  Borrower is the owner of all of the
      Collateral, or, if proceeds of any note or notes secured
      hereby are being used to purchase the Collateral, Borrower
      shall be the owner thereof, free and clear of all claims,
      encumbrances, charges and liens, except for VDOT Vendor
      Liens/Assignments, purchase money security interests or as
      herein provided.

  F.  Addresses.  The principal place of business of Borrower,
      the books and records relating to Borrower's business and
      the Collateral, and the Collateral (other than trunk
      stock) are located at the address(es) set forth on Exhibit
      A to this Agreement.

  G.  Hazardous Substances.  Borrower has never received any
      notification, citation, complaint or notice of
      investigation relating to the making, storing, handling,
      generating or transporting of any materials or substances
      which under applicable laws require special handling in
      collection, storage, treatment or disposal ("Hazardous
      Substances"), and Borrower does not own, make, store,
      handle, dispose of or transport any Hazardous Substances
      in violation of any applicable laws.

  H.  ERISA.  Borrower and each of its affiliates and
      subsidiaries ("ERISA Affiliates") which are under common
      control, or are part of a controlled group, within the
      meaning of the Employee Retirement Income Security Act of
      1974, as amended ("ERISA"), are in compliance with all
      applicable provisions of ERISA with regard to each of its
      employee benefit plans (as defined in ERISA) ("Employee
      Benefit Plans").  Neither a reportable event (as defined
      in ERISA) nor a prohibited transaction (as defined in
      ERISA) has occurred with respect to any Employee Benefit
      Plan of Borrower or any ERISA Affiliate.  Immediately upon
      the occurrence of any such reportable event, Borrower
      shall promptly furnish to Bank notice thereof, as filed
      with Pension Benefit Guaranty Corporation ("PBGC").
      Neither Borrower nor any ERISA Affiliate has completely or
      partially withdrawn from any multiemployer plan and no
      such multiemployer plan is in reorganization, all as
      provided by ERISA.  Borrower and each ERISA Affiliate has
      met its minimum funding requirements and has no
      unfulfilled obligations under ERISA to contribute to any
      Employee Benefit Plan.  Borrower shall promptly notify
      Bank of any assertion by PBGC of liability of Borrower or
      any ERISA Affiliate under Title IV of ERISA.  The failure
      of Borrower to pay within 30 days the amount of any
      liability under Title IV of ERISA demanded by PBGC shall
      constitute a default hereunder.

  I.  Taxes.  There are no unpaid Federal, State, city, county,
      or other taxes owed by Borrower, there are no Federal,
      State, city, county or other tax liens presently filed
      against Borrower, and there are no outstanding personal
      property taxes of any kind.

  J.  Debarment and Suspension.  No event has occurred and, to
      the knowledge of Borrower, no condition exists that may
      result in the debarment or suspension of Borrower from any
      contracting with the Government, and neither Borrower nor
      any affiliate of Borrower has been subject to any such
      debarment or suspension prior to the date of this
      Agreement.

  K.  Subsidiaries.  Except for Engineering, AlphaNational and
      Microserv, Halifax does not have any subsidiaries with
      assets having a value in excess of $100.  None of
      Engineering, AlphaNational and Microserv has any
      subsidiaries with assets having a value in excess of $100.
      Halifax Realty Inc. ("Realty") is a wholly-owned
      subsidiary of Halifax that has assets worth less than
      $100.

  L.  VDOT Contract.  Borrower has provided Bank a true and
      complete copy of the VDOT Contract (including any
      amendments to the original contract).

V.    COVENANTS

  Borrower covenants that:

  A.  Costs.  Borrower shall pay all costs and expenses incident
      to the making of the Loan and perfection of Bank's
      security interests hereunder, including, but not limited
      to, all attorneys' fees (to the extent not prohibited by
      law) and all recordation costs and taxes incident to
      filing of financing statements and continuation statements
      in respect thereof.

  B.  Further Documents.  Borrower shall execute and deliver to
      Bank from time to time any instruments or documents,
      including, but not limited to, financing statements,
      amendments, continuation statements, mortgages, loss
      payable endorsements for insurance policies, and
      assignments of insurance policies and proceeds, and shall
      do all things necessary or convenient to carry into effect
      the provisions of this Agreement.  Borrower designates
      Bank or any of its officers as attorney-in-fact to sign
      Borrower's name on any such instruments or documents, to
      file the same as may be appropriate, and to request and
      endorse Borrower's name to any and all requests described
      in Section 9-210 of Article 9.  Borrower agrees that filed
      photocopies of financing statements and continuation
      statements shall be sufficient to perfect Bank's security
      interest hereunder.

  C.  Taxes.  Borrower shall pay and discharge, when due, all
      taxes, levies, liens, and other charges on any of its
      assets and shall pay promptly, when due, all other taxes,
      including withholding taxes.

  D.  Laws.  Borrower shall comply at all times with all laws,
      ordinances, rules and regulations of any Federal, State,
      municipal or other public authorities having jurisdiction
      over Borrower, the Collateral or any of Borrower's other
      assets, including, but not limited to, ERISA and all laws
      relating to Hazardous Substances.

  E.  Name and Location.  Borrower shall immediately advise Bank
      in writing of the opening of any new place of business or
      the closing of any of its existing places of business, and
      of any change in Borrower's name or the location of the
      places where the Collateral, or books and records
      pertaining to the Collateral, are kept.

  F.  Books and Records.  Borrower shall maintain such records
      with respect to the Collateral and the condition
      (financial and otherwise) and operation of Borrower's
      business as Bank may request from time to time, and shall
      furnish Bank such information with respect to the
      Collateral, Account Debtors, and the condition (financial
      and otherwise) and operation of Borrower's business,
      including, but not limited to, balance sheets, operating
      statements, and other financial information, as Bank may
      request from time to time.  Bank may at any time and
      without prior notice to Borrower and without the consent
      of Borrower directly contact Account Debtors and verify or
      confirm the status of the Receivables.  Borrower shall
      furnish Bank or cause to be furnished to Bank such
      financial information with respect to any Other Obligor,
      including, but not limited to, balance sheets, operating
      statements, personal financial statements and other
      financial information, as Bank may request from time to
      time.  Bank may discuss the affairs, finances and accounts
      of Borrower with any of Borrower's officers and directors
      and its independent accountants.

  G.  Field Examination.  Bank or any of its agents or
      representatives may from time to time, during normal
      business hours, inspect, check, make copies of or extracts
      from the books, records and files of Borrower, and visit
      and inspect Borrower's offices and any of the Collateral
      wherever located.  Borrower shall make same available at
      any time for such purposes, and shall pay all expenses
      related to such inspections.  Unless an Event of Default
      has occurred and is continuing, such examinations will not
      be conducted more frequently than semi-annually.

  H.  Reporting Requirements.  In addition to such other
      information (financial and otherwise) as Bank may require
      from time to time, Borrower shall submit to Bank all
      information to be submitted pursuant to the Reporting
      Requirements Addendum attached hereto, as amended from
      time to time.

  I.  Misrepresentation.  Borrower shall not make or furnish
      Bank any representation, warranty, or certificate in
      connection with or pursuant to this Agreement which is
      materially false.

  J.  Insurance.  Borrower has and shall maintain insurance on
      all of its assets and properties, including, but not
      limited to, the Collateral, at all times and against
      hazards, with companies, in amounts and in form acceptable
      to Bank.  Borrower shall annually submit to Bank original
      insurance certificates providing that such insurance
      policies have a Lenders Loss Payable Clause and Additional
      Insured, and shall be noncancellable unless thirty (30)
      days prior notice of cancellation is provided to Bank.  In
      event of any loss thereunder, the carriers named therein
      are hereby directed to make such payment for loss solely
      to Bank, and not to Borrower and Bank jointly or to any
      other person.  If any insurance losses are paid by check,
      draft or other instruments payable to Borrower or to
      Borrower and Bank jointly, Bank may endorse the name of
      Borrower thereon and do such other things as Bank may deem
      advisable in order to reduce the same to cash.  In
      addition, Borrower shall maintain at all times, public
      liability insurance and all other coverages required by
      Bank, naming Bank as additional insured, with companies,
      in amounts and in form acceptable to Bank.  All loss
      recoveries received by Bank upon any insurance may be
      applied and credited by Bank at its discretion to the
      Obligations.

  K.  Bank's Duty of Care.  Except as provided in this Paragraph
      V.K., Bank's sole duty with respect to the Collateral
      shall be to use reasonable care in the custody, use,
      operation and preservation of the Collateral in its
      possession, and Borrower shall reimburse Bank for all
      costs and expenses, including insurance costs, taxes and
      other charges, incurred in connection with the custody,
      use, operation, care or preservation of the Collateral,
      such reimbursement to be secured as provided above in
      Paragraph III.  In the event that Bank takes possession of
      the Collateral by foreclosure as provided in Paragraph
      VII.C. herein or otherwise, Bank may, but shall be under
      no obligation to, take such actions as it may deem
      appropriate to protect the Collateral by insurance or
      otherwise, and any expense so incurred shall likewise be
      reimbursed and secured as provided above in Paragraph III.
      Bank shall incur no liability to Borrower for any failure
      to provide adequate protection or insurance for the
      Collateral acquired by Bank.  Bank shall not be obligated
      to take any steps necessary to preserve any rights in any
      of the Collateral against prior parties, and Borrower
      hereby agrees to take such steps.  Borrower hereby waives
      the defense of unjustifiable impairment of collateral with
      respect to the Collateral and any other collateral for any
      of the Obligations.

  L.  Equipment.  If the Collateral includes Equipment, then the
      covenants in this Paragraph V.L. apply:

      1.   Repair.  Borrower shall keep and maintain the
           Equipment in good order and repair and in working
           condition.

      2.   Personalty.  The Equipment shall be and shall remain
           personal property and nothing shall affect the
           character of the same or cause the same to become
           realty without the written consent of Bank, or
           prevent Bank in its option from removing same from
           premises on which they may become attached, in event
           of default hereunder.

      3.   No Sale of Equipment.  Without the prior written
           consent of Bank, Borrower shall not sell or otherwise
           dispose of any of the Equipment, except that items of
           Equipment may be sold or exchanged if such Equipment
           either (a) is replaced in the ordinary course of
           Borrower's business to the satisfaction of Bank by
           Equipment of a similar value and which is subject to
           a security interest of Bank that is prior to all
           liens other than purchase money security interests or
           (b) has a fair market value (in the aggregate) of
           less than Ten Thousand Dollars ($10,000).

      4.   Vehicles.  If the Collateral includes a motor vehicle
           for which a certificate of title is issuable,
           Borrower shall deliver to Bank the certificate of
           title issued with respect to such vehicle and shall
           cause a statement of Bank's security interest to be
           noted as a lien on such certificate of title.

  M.  Receivables.  If the Collateral includes Receivables, then
      the covenants in this Paragraph V.M. apply:

      1.   Bona Fide.  Each and every Receivable shall (i) be
           bona fide, be for a certain undisputed claim or
           demand for the amount Borrower represented to be
           owing thereon, (ii) represent a sale and delivery of
           personal property sold or work and labor done, (iii)
           not be subject to any set-off, counterclaim, or
           contingent liability upon the fulfillment of any
           contract or condition whatsoever, and (iv) shall not
           be subject to any prohibition or limitation upon
           assignment except as required by the Assignment of
           Claims Act.

      2.   Books.  If requested by Bank, Borrower shall make all
           necessary entries in its books to disclose the grant
           of a security interest in Receivables to Bank, and
           permit Bank to verify Receivables.

      3.   Mail.  Upon demand, Borrower shall open all mail only
           in the presence of a representative of Bank, who may
           take therefrom any remittance on Receivables securing
           the Obligations.  Bank is also granted the power of
           attorney to have mail delivered to Bank, and not to
           Borrower, and to open all mail and take therefrom any
           remittance on any Receivables.

      4.   Signatures.  Bank or its representative may endorse
           or sign the name of Borrower on remittances in
           respect of Receivables, invoices, assignments,
           financing statements, notices to Account Debtors,
           bills of lading, storage receipts, or other
           instruments or documents in respect of Receivables or
           the property covered thereby.

      5.   Collections.  Borrower shall notify all Account
           Debtors to make payment of their Receivables to Bank
           for the deposit to the Cash Collateral Account as
           herein provided.  Each Account Debtor shall be
           instructed to pay its Receivables (i) if by paper
           check, by mailing such check to the following
           address:  Halifax Corporation, P.O. Box 9002,
           Warrenton, VA 20188, and (ii) if by electronic funds
           transfer, by wiring funds to Halifax Corporation, a/c
           # 76-65310763, Provident Bank ABA # 2520 7301 8.  If
           Borrower receives any payment of a Receivable, it
           shall receive such payments on accounts as agent of
           and for Bank and shall transmit to Bank, on the day
           thereof, or at other mutually agreed upon intervals,
           all original checks, drafts, acceptances, notes and
           other evidences of payment received in payment of or
           on account of Receivables, including all cash monies
           similarly received by Borrower.  For such purpose,
           Borrower does hereby grant to Bank access to any post
           office boxes in which mail is received.  Until
           delivery of all such remittances to Bank, Borrower
           shall keep the same separate and apart from
           Borrower's own funds, capable of identification as
           the property of Bank, and shall hold the same in
           trust for Bank.  Further, Borrower agrees that Bank
           may pay, for the account of Borrower, any taxes,
           levies, or other charges affecting Borrower's assets,
           including, but not limited to, Inventory or Equipment
           which Borrower fails to pay, including all other
           taxes and levies, and any such payment shall
           constitute a liability of Borrower.  Bank shall have
           the right to receive, indorse, assign and deliver in
           Bank's name or Borrower's name any and all checks,
           drafts and other instruments for the payment of money
           relating to the Receivables, and Borrower hereby
           waives notice of presentment, protest and non-payment
           of any instrument so endorsed.  Borrower constitutes
           Bank or Bank's designee as Borrower's attorney-in-
           fact with power with respect to the Receivables:  (i)
           to endorse Borrower's name upon any notes,
           acceptances, checks, drafts, money orders or other
           evidences of payment of Collateral that may come into
           Bank's possession; (ii) to sign Borrower's name on
           any invoices relating to any of the Receivables,
           drafts against Account Debtors, assignments and
           verifications of Receivables and notices to Account
           Debtors; (iii) to notify the post office authorities
           to change the address for delivery of mail addressed
           to Borrower to such address as Bank may designate;
           (iv) to receive, open, and dispose of mail addressed
           to Borrower; (v) to do all other acts and things
           necessary, proper, or convenient to carry out the
           terms and conditions and purposes and intent of this
           Agreement.  The power of attorney hereby granted,
           being coupled with an interest, is irrevocable while
           any of the Obligations remain unpaid or unperformed.
           Bank may, without notice to or consent from Borrower
           and without affecting Borrower's obligations
           hereunder, sue upon or otherwise collect, extend the
           time of payment of or compromise or settle for cash,
           credit or otherwise upon any terms, any of the
           Receivables or any securities, guaranties,
           instruments or insurances applicable thereto or
           release the obligor thereon.  Bank is authorized and
           empowered to accept the return of any Collateral
           represented by any of the Receivables without notice
           to or consent by Borrower, all without discharging or
           in any way affecting Borrower's liability to Bank.
           Bank does not, by anything herein or in any
           assignment or otherwise, assume any of Borrower's
           obligations under any contract or agreement assigned
           to Bank, and Bank shall not be responsible in any way
           for the performance by Borrower of any of the terms
           and conditions thereof.

      6.   Cash Collateral Account.  All remittances in payment
           of the Receivables securing the Obligations shall be
           deposited with Bank (or any other bank designated by
           Bank) in an account designated as "Provident Bank
           (name of Borrower), Cash Collateral Account", if the
           Bank should desire.  Such deliveries and deposits
           shall be made daily and each deposit shall be
           accompanied by a report in such form as Bank shall
           require.  All funds held in the Cash Collateral
           Account may be applied against the Obligations at the
           discretion of Borrower.  In the event any checks or
           drafts deposited in the Cash Collateral Account are
           dishonored, Bank is hereby irrevocably authorized to
           debit any other account of Borrower at Bank in an
           amount equal to the amount of the checks or drafts
           dishonored and deposit such sums in the Cash
           Collateral Account.  If thereafter the dishonored
           check or draft is honored and Bank receives
           immediately available funds therefore, Bank shall
           deposit such funds into the account of Borrower which
           was previously debited.  If any checks or drafts
           deposited in the Cash Collateral Account are drawn on
           a financial institution located outside of the United
           States of America, Bank is hereby irrevocably
           authorized to debit any other account of Borrower at
           Bank in an amount equal to the United States dollar
           equivalent of the amount of such checks or drafts and
           deposit such sums in the Cash Collateral Account.
           Upon receipt of immediately available funds for any
           such checks or drafts Bank shall deposit the
           collected funds into Borrower's account at Bank which
           was previously debited.  All of the Borrower's
           primary operating accounts shall be maintained with
           the Bank as long as this Agreement is in effect.

     7.   Cancellation of Contracts.  Borrower shall notify Bank in
           writing of any cancellation of a contract having annual
            revenues in excess of $250,000.

      8.   Government Contracts.  In the event any Receivables
           arise out of contracts with the Government, Borrower
           shall assign to Bank all Government Contracts with
           amounts payable of $100,000 or greater and in
           duration of six (6) months or longer, and execute all
           other agreements, instruments and documents and shall
           perform all further acts that Bank may require to
           ensure compliance with the Assignment of Claims Act
           with respect to such Government Contracts.

      9.   VDOT Contract Amendments.  Borrower shall promptly
           provide Bank with copies of all amendments to the
           VDOT Contract.

      10.  VDOT Vendor Liens/Assignments.  Upon request,
           Borrower shall promptly provide Bank with copies of
           all documents effectuating or related to any VDOT
           Vendor Liens/Assignments.

  N.  Inventory.  If the Collateral includes Inventory, then the
      covenants in this Paragraph V.N. apply:

      1.   Signatures.  Bank or its representative may endorse
           or sign the name of Borrower on remittances in
           respect to Inventory, assignments, invoices,
           financing statements, notices to debtors, bills of
           lading, notices to suppliers, storage or other
           instruments or documents in respect to Inventory or
           the property covered thereby.

      2.   Audit.  Bank or its representative may from time to
           time verify Inventory, through actual count or
           otherwise, and Borrower shall make same available at
           any time for such purpose.

      3.   Sales.  So long as neither Borrower nor any Other
           Obligor is in default of any of the Obligations,
           Inventory subject to Bank's continuing security
           interests may be sold by Borrower in the ordinary
           course of business, but shall not otherwise be taken
           or removed from Borrower's premises.

  O.  Investment Property.  If the Collateral includes stocks,
      bonds or other Investment Property of Borrower, then the
      covenants in this Paragraph V.O. apply:

      1.   Transfers.  All certificates or instruments
           representing or evidencing such investment property
           shall be in suitable form for transfer by delivery,
           shall be in form and substance satisfactory to Bank
           and shall be delivered to and held by or on behalf of
           Bank; Bank is hereby authorized, at its option and
           without any obligation to do so, to transfer to or to
           register in the name of its nominee(s) all of any
           part of such Investment Property, and to do so before
           or after default or the maturity of the Obligations
           secured hereby, with or without notice to Borrower;
           Bank shall have the right at any time to exchange
           certificates or instruments representing or
           evidencing such Investment Property  for certificates
           or instruments of smaller or larger denominations;
           Bank shall have control over any securities accounts
           or security entitlements which constitute Collateral,
           pursuant to terms acceptable to Bank.

      2.   Dividends.  In the event that a stock dividend is
           declared, or any stock split-up made, with respect to
           any security pledged hereunder, or cash or other
           property is distributed in connection with a partial
           or total liquidation or dissolution or in connection
           with a reduction of capital, capital surplus or paid-
           in surplus, or property other than cash is
           distributed as a dividend, all the certificates for
           the shares representing such stock dividend or stock
           split-up, and all of such cash and other property,
           shall be delivered, duly endorsed, to Bank as
           additional security hereunder.

      3.   Attorney-in-Fact.  Borrower hereby appoints Bank
           Borrower's attorney-in-fact with full authority in
           the place and stead of Borrower and in the name of
           Borrower or otherwise, from time to time in Bank's
           discretion to take any action and to execute any
           instrument which Bank may deem necessary or advisable
           to accomplish the purposes of this Agreement,
           including, but not limited to, receiving, endorsing
           and collecting all checks and other Instruments made
           payable to Borrower representing any dividend,
           interest payment, or other distribution in respect of
           the pledged Investment Property or any part thereof
           and giving full discharge for the same.

  P.  Government Contract Audits.  Promptly after Borrower's
      receipt thereof, Borrower shall furnish Bank with notice
      of any final decision of a contracting officer disallowing
      costs aggregating more than $100,000 which disallowed
      costs arise out of any audit of Government Contracts of
      Borrower.

  Q.    Subsidiaries.  If any Borrower creates or acquires a
      subsidiary containing assets having a value in excess of $100,
      Borrower shall cause such subsidiary to become a Borrower or
      Other Obligor hereunder (in a form acceptable to Bank).
      Borrower will not transfer or permit the transfer of any assets
      to Realty, and will cause Realty to be liquidated as soon as
      practicable.

  R.    Change in Control or Sale.   Without the prior written
      consent of Bank, Borrower shall not permit a change in ownership
      of more than 25% of the stock or other equity interests of
      Halifax, Engineering, AlphaNational, Microserv or any other
      entity constituting a Borrower, or permit any such entity to
      enter into any merger or consolidation, or sell or lease
      substantially all of its assets.

  S.    Sale or Assignment of Contract or Subsidiary.  Without the
      prior written consent of Bank, Borrower shall not sell or assign
      any or all interest in any (i) contract or (ii) any subsidiary
      of Halifax, Engineering, AlphaNational, Microserv or any other
      entity constituting a Borrower.

  T.    Dividends.  Without the prior written consent of Bank,
      Borrower shall not make any distributions on behalf of equity or
      pay any dividends.

  U.    Payments of Debt.  Without the prior written consent of
      Bank, Borrower shall not make any payments of debt to any person
      or entity, or make any distributions (including loans or
      withdrawals) of any kind to any officers, employees or members,
      other than (i) purchase money financings permitted hereunder,
      (ii) payments to employees (including loans and travel advances)
      made in the ordinary course of business, and (iii) payments to
      the Bank.

  V.    Further Covenants.  Without the prior written consent of
      Bank, Borrower shall not:  (i) other than purchase money
      security interests or VDOT Vendor Liens/Assignments, pledge or
      grant any security interest in any Collateral to anyone except
      Bank, nor permit any financing statement (except Bank's
      financing statement) to be on file in any public office with
      respect thereto; (ii) other than purchase money security
      interests or VDOT Vendor Liens/Assignments, permit or suffer any
      lien, levy or other encumbrance to attach to any of the
      Collateral or to any other assets of Borrower, except for liens
      and encumbrances in favor of Bank; (iii) permit a material
      change in any Receivable, or a material change in the terms of
      any contract giving rise to a Receivable; (iv) make any
      agreement, compromise, settlement, bulk sale, lease or transfer
      of assets other than in the normal course of business;
      (v) create, incur or assume any liability for borrowed money,
      except borrowings from Bank, trade debt, and purchase money
      financings not to exceed $250,000 in any one year; (vi) assume,
      guarantee, endorse or otherwise become liable in connection with
      the obligations of any person, firm or corporation, except by
      endorsement of instruments for deposit or collection or similar
      transactions in the ordinary course of business; or
      (vii) purchase or acquire substantially all of the assets or the
      obligations or stock of any person, firm or corporation or other
      enterprises whatsoever, other than the direct obligations of the
      United States or Bank.

VI.   EVENTS OF DEFAULT.  The following shall constitute a
  default hereunder if existing ten (10) days after written
  notice thereof has been given to the Borrower; provided,
  however, that the occurrence of an event under Paragraphs
  VI.C, VI.D, VI.F, VI.H, VI.I or VI.J or a failure by Borrower
  to comply with Paragraph V.M.6 or make any payment hereunder
  when due shall automatically be a default hereunder:

  A.  Nonperformance.  Default by Borrower under, or breach of
      any provision, covenant or warranty of, this Agreement,
      any other instrument, agreement or document in connection
      with any of the Obligations, or any other instrument,
      agreement or document of Borrower with Bank, whether such
      instrument, agreement or document presently exists or is
      hereafter executed; or default by any Other Obligor under,
      or breach of any provision or warranty of, this Agreement,
      any other instrument, agreement or document in connection
      with any of the Obligations, or any other instrument,
      agreement or document of any Other Obligor with Bank,
      whether such instrument, agreement or document presently
      exists or is hereafter executed;

  B.  Representations and Warranties.  Any warranty,
      representation, or statement made to Bank by or on behalf
      of Borrower or any Other Obligor proving to have been
      incorrect in any material respect when made or furnished;

  C.  Financial Condition.  A determination by Bank in good
      faith, but in its sole discretion, that the financial
      condition of Borrower or any Other Obligor is
      unsatisfactory; insolvency of Borrower or any Other
      Obligor; suspension of business, or commission of an act
      amounting to business failure by Borrower or any Other
      Obligor;

  D.  Assignments.  Any assignment made by Borrower or any Other
      Obligor for the benefit of creditors;

  E.  Judgments.  The entry of any final judgment against
      Borrower or any Other Obligor for the payment of money in
      excess of $100,000.00;

  F.  Bankruptcy.  Institution of bankruptcy, insolvency,
      reorganization or receivership proceedings by or against
      Borrower or any Other Obligor in any State or Federal
      court or the appointment of a receiver, assignee,
      custodian, trustee or similar official under any Federal
      or State insolvency or creditors' rights law for any
      property of Borrower or any Other Obligor; provided that
      Borrower shall have sixty (60) days to dismiss any
      involuntary bankruptcy proceeding to which it does not
      consent;

  G.  Extraordinary Acts. A dissolution, liquidation or
      reorganization of Borrower or any Other Obligor which is a
      corporation, partnership, limited liability company or
      other legal entity;

  H.  Attachments. The levy upon or attachment of any property
      of Borrower or any Other Obligor, or the recordation of
      any Federal, State or local tax lien against Borrower or
      any Other Obligor that has not been removed or satisfied
      within thirty (30) days;

  I.  Change in Ownership. A change in more than 25% of the
      ownership of Halifax without the prior written consent of
      Bank;

  J.  Cross-Default.  The occurrence of any event which is, or
      would be with the passage of time or the giving of notice
      or both, a default under any indebtedness in excess of
      $100,000 of Borrower or any Other Obligor to Bank or to
      any person other than Bank;

  K.  Loss or Damage; Transfer or Encumbrance. Any material
      loss, theft or substantial damage not fully insured for
      the benefit of Bank to any of the assets of Borrower or
      any Other Obligor or the transfer or encumbrance of any
      material part of the assets of Borrower or any Other
      Obligor other than in the ordinary course of business of
      Borrower or such Other Obligor;

  L.  Debarment or Suspension.  The debarment or suspension of
      Borrower or any Other Obligor from any contracting with
      the Government; or

  M.   Financial Information. The failure of Borrower or any Other
      Obligor to furnish Bank such financial information as Bank may
      require from time to time.

VII.  REMEDIES

  A.  Specific Rights and Remedies. In addition to all other
      rights and remedies provided by law and the Loan
      documents, Bank, on the occurrence of any default, may:
      (i) accelerate and call due and payable any and all of the
      Obligations, including all principal, accrued interest and
      other sums due as of the date of default; (ii) impose the
      default rate of interest provided in any promissory note
      evidencing the Loan, with or without acceleration; (iii)
      file suit against Borrower or against any Other Obligor;
      (iv) seek specific performance or injunctive relief to
      enforce performance of the Obligations, whether or not a
      remedy at law exists or is adequate; (v) exercise any
      rights of a secured creditor under the Uniform Commercial
      Code, including the right to take possession of the
      Collateral without the use of judicial process or hearing
      of any kind and the right to require Borrower to assemble
      the Collateral at such place as Bank may specify; (vi)
      cease making advances or extending credit to Borrower and
      stop and retract the making of any advance which may have
      been requested by Borrower; and (vii) reduce the Maximum
      Line of Credit Amount. Borrower also hereby authorizes
      Bank, upon a default, but without prior notice to or
      demand upon Borrower and without prior opportunity of
      Borrower to be heard, to institute an action for replevin,
      with or without bond as Bank may elect, to obtain
      possession of any of the Collateral. In such action for
      replevin, a copy of this Agreement verified by affidavit
      of Bank or sworn on behalf of Bank shall constitute
      evidence of Bank's right to possession of the Collateral.

  B.  Costs of Collection. Upon the occurrence of any default,
      Bank shall be entitled to recover from Borrower reasonable
      attorneys' fees, plus court costs and other expenses which
      may be incurred by Bank in the enforcement or attempted
      enforcement of its rights hereunder, whether against any
      third party, Borrower, or any Other Obligor. Expenses
      recoverable from Borrower shall (to the extent not
      prohibited by law) include costs of collection, including
      such portion of Bank's overhead as Bank shall allocate to
      collection and enforcement of the Obligations in Bank's
      sole but reasonable discretion, salaries, out-of-pocket
      travel, living expenses and the hiring of agents,
      consultants, accountants, or otherwise. All sums of money
      thus expended, and all other monies expended by Bank to
      protect its interest in the Collateral (including
      insurance, taxes or repairs) shall be repayable by
      Borrower to Bank on demand, such repayment to be secured
      as provided in Paragraph III hereof.

  C.  Foreclosure. Upon the occurrence of any default, in
      addition to other remedies provided under the Uniform
      Commercial Code, Bank at any time then or thereafter, in
      its discretion, may lawfully enter any of Borrower's
      premises or the premises where the Collateral is located,
      and with or without judicial process, lawfully remove,
      under Section 9-609 of the Uniform Commercial Code, the
      Collateral or records thereof to such place as Bank may
      deem advisable, or require Borrower to assemble and make
      any or all such Collateral available at such reasonable
      place as Bank may direct, and realize upon (by public or
      private sale or in any other manner) all or any part of
      the Collateral and, unless the Collateral is perishable or
      threatens to decline speedily in value, or is of a type
      customarily sold on a recognized market, Bank shall give
      Borrower, and other parties entitled to notice, reasonable
      notice in writing before the sale of the Collateral or any
      part thereof at public auction or private sale, in one or
      more sales, at such price or prices, and upon such terms
      either for cash or credit or future delivery as Bank may
      elect, and at any such public sale Bank may bid for and
      become the purchaser of any or all of such Collateral;
      and/or Bank may foreclose its security interest in the
      Collateral in any way permitted by law. In connection with
      any notices to be given pursuant to this Paragraph VII.C.,
      it is agreed in all instances that five (5) business days
      notice constitutes reasonable notice. Any such notice
      shall be deemed given when delivered or deposited in the
      U.S. mail with first class postage. The net proceeds of
      any such sale or sales and any amounts received in
      liquidation of the Collateral, less all costs and expenses
      incurred in connection therewith, including the costs of
      collection described in Paragraph VII.B above and, at the
      option of Bank or as required by law, less any prior lien
      claims, shall be applied against the Obligations in the
      order that Bank in its sole discretion shall decide, and
      Borrower or other party entitled thereto shall be entitled
      to any surplus resulting therefrom. No action taken by
      Bank pursuant hereto shall affect Borrower's continuing
      liability to Bank for any deficiency remaining after any
      foreclosure.  It is mutually agreed that it is
      commercially reasonable for Bank to disclaim all
      warranties which arise with respect to the disposition of
      the Collateral.

  D.  Redemption. The purchaser at any such sale shall
      thereafter hold the Collateral absolutely free from any
      claim or right of whatsoever kind including any equity of
      redemption of Borrower, and such demand, notice or right
      in equity are hereby expressly waived and released by
      Borrower.

  E.  Offset. Upon the occurrence of any default, Bank is
      authorized to charge the sum then due to Bank against any
      and all monies held by or on deposit with Bank on account
      of Borrower or its affiliates, and to offset any amounts
      against any demand or depository accounts which Borrower,
      or its affiliates, may have with Bank and to enforce such
      other remedies as may be available at law or in equity,
      without necessity of election.

  F.  Alternative Remedies. Bank may exercise its rights and
      remedies hereunder either alternatively or concurrently
      with its rights under any and all other agreements between
      Bank and Borrower and shall have the full right to realize
      upon all available Collateral, collecting on the same or
      instituting proceedings in connection therewith, until
      Bank receives payment in full of all amounts owing to Bank
      under any of its agreements with Borrower, including
      principal, interest, costs and expenses, and costs of
      enforcement or attempted enforcement of this or any other
      agreement among or between Bank and Borrower or any Other
      Obligors. Bank shall be under no obligation to pursue
      Bank's rights against any Other Obligor or any of the
      collateral of any Other Obligor securing any of the
      Obligations before pursuing Bank's rights against
      Borrower, or the Collateral.

VIII.GENERAL PROVISIONS

  A.  Continuity and Termination.  This Agreement shall become
      effective immediately and remain in effect so long as any
      of the Obligations are outstanding and unpaid, provided
      that the security interests hereunder shall continue in
      full force and effect and are noncancellable by Borrower
      prior to the termination of this Agreement.  This
      Agreement may be terminated by Borrower upon actual
      delivery of written notice to Bank of such intention, and
      payment in full of all then existing Obligations;
      provided, however, that such notice and payment shall in
      no way affect, and this Agreement shall remain fully
      operative with respect to, any Obligations (including
      contingent Obligations), or commitments which may become
      Obligations, entered into between Borrower and Bank prior
      to receipt of such notice or payment, whichever is later.

  B.  Right of Bank to Act with Respect to Other Obligors and
      Collateral.  Borrower hereby assents to any and all terms
      and agreements between Bank and any Other Obligor, and all
      amendments and modifications thereof, whether presently
      existing or hereafter made and whether oral or in writing.
      Bank may, without compromising, impairing, diminishing, or
      in any way releasing Borrower from the Obligations and
      without notifying or obtaining the prior approval of
      Borrower, at any time or from time to time:  (i) waive or
      excuse any default by any Other Obligor, or delay in the
      exercise by Bank of any or all of Bank's rights or
      remedies with respect to such default; (ii) grant
      extensions of time for payment or performance by any Other
      Obligor; (iii) release, substitute, exchange, surrender,
      or add collateral of any Other Obligor, or waive, release,
      or subordinate, in whole or in part, any lien or security
      interest held by Bank on any real or personal property
      securing payment or performance, in whole or in part, of
      the obligations of any Other Obligor; (iv) release any
      Other Obligor; (v) apply payments made by any Other
      Obligor, to any sums owed by any Other Obligor to Bank, in
      any order or manner, or to any specific account or
      accounts, as Bank may elect; and (vi) modify, change,
      renew, extend, or amend, in any respect Bank's agreement
      with any Other Obligor, or any document, instrument, or
      writing, embodying, or reflecting the same.

  C.  Waivers By Borrower.  Borrower waives:  (i) any and all
      notices whatsoever with respect to this Agreement or with
      respect to any of the obligations of any Other Obligor to
      Bank, including, but not limited to, notice of:  (a)
      Bank's acceptance hereof or Bank's intention to act, or
      Bank's action, in reliance hereon; (b) the present
      existence or future incurring of any of the obligations of
      any Other Obligor to Bank or any terms or amounts thereof
      or any change therein; (c) any default by any Other
      Obligor; and (d) the obtaining or release of any guaranty
      or surety agreement, pledge, assignment, or other security
      for any of the obligations of any Other Obligor to Bank;
      (ii) presentment and demand for payment of any sum due
      from any Other Obligor and protest of nonpayment; (iii)
      demand for performance by any Other Obligor; and
      (iv) defenses based on suretyship or impairment of
      collateral.

  D.  Information Concerning Collateral or Other Obligors.  Bank
      shall have no present or future duty or obligation to
      discover or to disclose to Borrower any information,
      financial or otherwise, concerning any Other Obligor or
      any collateral securing the Obligations.  Borrower waives
      any right to claim or assert any such duty or obligation
      on the part of Bank.  Borrower agrees to obtain all
      information which Borrower considers appropriate or
      relevant to this Agreement from sources other than Bank
      and to become and remain at all times current and
      continuously apprised of all information concerning Other
      Obligors and any Collateral which is material and relevant
      to the Obligations of Borrower under this Agreement.

  E.  Other Documents.  The Obligations are or shall be
      evidenced by notes, guaranties, addenda or other documents
      which are separate agreements and may be negotiated by
      Bank without releasing Borrower, any Collateral or any
      Other Obligor.  Without limitation of the foregoing,
      Borrower may have executed and delivered to Bank a Formula
      Advance Addendum, a Reporting Requirements Addendum and/or
      a Financial Covenants Addendum which modify and supplement
      this Agreement and Borrower's obligations hereunder.  This
      Agreement specifically incorporates by reference all of
      the language and provisions of such notes, guaranties,
      addenda or other documents.  Borrower consents to any
      extension of time of payment of any Obligations.  If there
      is more than one Borrower or Other Obligor, the obligation
      of each of them shall be primary, joint and several.

  F.  Remedies Cumulative.  All rights, remedies and powers of
      Bank hereunder are irrevocable and cumulative, and not
      alternative or exclusive, and shall be in addition to all
      other rights, remedies and powers of Bank whether in or by
      any other instruments, agreements or any laws, including,
      but not limited to, the Uniform Commercial Code, now
      existing or hereafter enacted.

  G.  Non-Waiver.  No indulgence or delay on the part of Bank in
      exercising any power, privilege or right hereunder or
      under any other agreement executed by Borrower to Bank in
      connection herewith shall operate as a waiver thereof.  No
      single or partial exercise of any power, privilege or
      right shall preclude other or further exercise thereof, or
      the exercise of any other power, privilege or right.

  H.  Governing Law; Severability.  This Agreement shall be
      construed and governed by the laws of the State of
      Maryland,  If any part of this Agreement shall be adjudged
      invalid or unenforceable as of any term of court, then
      such partial invalidity or unenforceability shall not
      cause the remainder of this Agreement to be or become
      invalid or unenforceable, and if a provision hereof is
      held invalid or unenforceable in one or more of its
      applications, that provision shall remain in effect in all
      valid or enforceable applications that are severable from
      the invalid or unenforceable application or applications.

  I.  Litigation.  In the event of any litigation with respect
      to this Agreement, the promissory note(s) or other
      agreements evidencing and securing the Obligations, the
      Collateral, or any other document or agreement applicable
      thereto, Borrower waives all defenses (including the
      defense of statute of limitations).  Borrower consents to
      the jurisdiction and venue of the courts of any county or
      city in the State of Maryland and to the jurisdiction and
      venue of the United States District Court for the District
      of Maryland in any action or judicial proceeding brought
      to enforce, construe or interpret this Agreement.

  J.  Construction.  All accounting terms not otherwise defined
      in this Agreement shall be interpreted in accordance with
      G.A.A.P.  The captions are inserted only as a matter of
      convenience and for reference and in no way define, limit
      or describe the scope of this Agreement nor the intent of
      any provision thereof.  If this Agreement is signed by two
      or more parties as Borrowers, the term "Borrower" shall
      mean each and every party signing this Agreement as a
      Borrower.  The use of singular herein may also refer to
      the plural, and vice versa, and the use of the neuter or
      any gender shall be applicable to any other gender or the
      neuter.

  K.  Assignment.  None of the parties shall be bound by any
      assignment not expressed in writing.  This Agreement shall
      inure to and be binding upon the heirs, personal
      representatives, successors, and assigns of Borrower and
      Bank, and the terms "Borrower" and "Bank" shall include
      and mean, respectively, the successors and assigns of
      Borrower and Bank.

  L.  Time.  Time is of the essence of all Obligations.

  M.  Joint And Several Obligations.  In the event there is more
      than one Borrower hereunder, all obligations and
      liabilities under this Agreement shall be joint and
      several obligations and liabilities of each Borrower.  In
      addition, all covenants and agreements of Borrower
      hereunder shall be applicable to each Borrower
      individually and all Borrowers collectively.  The
      occurrence of any event or occurrence set forth herein as
      a default to any one Borrower shall constitute a default
      under this Agreement as to all Borrowers.

  N.  Notices.  Any notice or demand required or permitted by or
      in connection with this Agreement or any other loan
      document shall be in writing and shall be made by hand
      delivery, by Federal Express or other similar overnight
      delivery service, or by certified mail, unrestricted
      delivery, return receipt requested, postage prepaid,
      addressed to the respective parties at the appropriate
      address set forth on the signature page hereof or to such
      other address as may be hereafter specified by written
      notice by the respective parties.  Notice shall be
      considered given as of the date of facsimile or hand
      delivery, one (1) calendar day after delivery to Federal
      Express or similar overnight delivery service, or three
      (3) calendar days after the date of mailing, independent
      of the date of actual delivery or whether delivery is ever
      in fact made, as the case may be, provided the giver of
      notice can establish the fact that notice was given as
      provided herein.  If notice is tendered pursuant to the
      provisions of this section and is refused by the intended
      recipient thereof, the notice, nevertheless, shall be
      considered to have been given and shall be effective as of
      the date herein provided.  Notwithstanding anything to the
      contrary, all notices and demands for payment from the
      holder actually received in writing by Borrower shall be
      considered to be effective upon the receipt thereof by
      Borrower regardless of the procedure or method utilized to
      accomplish delivery thereof to Borrower.

IX.   ADDITIONAL COVENANTS

  A.  Primary Depository.  As long as this Agreement or any
      other credit agreement between Borrower and Bank remains
      in effect, Borrower shall make Bank its primary depository
      and cash management financial institution.  All of
      Borrower's Operating accounts shall provide for automatic
      payments of interest, late charges and service charges.

X.    ADDRESSES

  Address of Chief Executive Office of Borrower:
                             5250 Cherokee Avenue
                              Alexandria, Virginia  22312
                              Telephone:  703-658-2416

  Address of Location of Books and Records
  Relating to Collateral:     5250 Cherokee Avenue
                              Alexandria, Virginia  22312
                              Telephone:  703-658-2416

XI.   Waiver of Trial by Jury.  Borrower and Bank agree that any
  suit, action, or proceeding, whether claim or counterclaim,
  brought or instituted by or against either party hereto or any
  successor or assign of either party on or with respect to this
  Agreement or any other Loan document or which in any relates,
  directly or indirectly, to the Obligations or any event,
  transaction or the dealings of the parties with respect
  thereto, shall be tried only by a court and not by a jury.
  BORROWER AND BANK HEREBY EXPRESSLY WAIVE ANY RIGHT TO A TRIAL
  BY JURY IN ANY SUCH SUIT, ACTION, OR PROCEEDING. Borrower and
  Bank acknowledge and agree that this provision is a specific
  and material aspect of this Agreement between the parties and
  that Bank would not extend the Loan to Borrower if this waiver
  of jury trial provision were not a part of this Agreement.

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]
<PAGE>
      IN WITNESS WHEREOF, and intending to be legally bound
hereby, Borrower has executed this Agreement under seal as of
the day and year first above written at Baltimore, Maryland.

WITNESS OR ATTEST*:
*Note: Attestation of a corporate officer's capacity to sign by
another corporate officer is required in all corporate
transactions.

                               HALIFAX CORPORATION

_______________              By: /s/Joseph Sciacca(SEAL)
(Signature)                         Joseph Sciacca
                                  Chief Financial Officer

                               HALIFAX ENGINEERING, INC.

______________________       By: /s/Joseph Sciacca(SEAL)
(Signature)                    Joseph Sciacca
                               Vice President, Secretary and
                               Treasurer

                               MICROSERV LLC

_____________________     By:  /s/Joseph Sciacca  (SEAL)
(Signature)                    Joseph Sciacca
                               Vice President, Secretary and
                               Treasurer

                          HALIFAX ALPHANATIONAL ACQUISITION, INC.

_____________________     By:  /s/Joseph Sciacca        (SEAL)
(Signature)                    Joseph Sciacca
                               Vice President, Secretary and
                               Treasurer

                            5250 Cherokee Avenue
                            Alexandria, Virginia  22312
                            Telephone:  703-658-2416
                            Facsimile:    703-658-2478
                            Federal Tax Identification
                             No.54-0829246

                        ACCEPTED AT FALLS CHURCH, VIRGINIA,
                        AS OF THE DATE HEREOF:
                        PROVIDENT BANK

                                By: /s/E. Gay Boyette(SEAL)
                                 E. Gaye Boyette
                                 Senior Vice President
<PAGE>
                            EXHIBIT A
           LOCATIONS OF BOOKS, RECORDS AND COLLATERAL

# 3869482_v4

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00106-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00106-of-00352.parquet"}]]