Document:

TO:  VISTA DEVELOPMENTS LTD. ("VISTA")

FAX:  604-683-1350
      360-371-7092
      416-794-2920

FROM  HOWARD E. KERBEL
       ThermoElastic Technologies, inc.

FAX:  416-968-3424
TEL:  416-934-9998
MOB:  416-407-4925

DATE:  FEBRUARY 2, 1999

RE:  THERMOELASTIC TECHNOLOGIES, INC. ("ThermoElastic")

Dear Sirs:

Further to our meeting on January 15, 1999, we wish to confirm that
ThermoElastic and Vista have agreed the following terms with respect to
the retaining of the consulting services of Vista by ThermoElastic in
connection with the promotion, marketing and sales of ThermoElastic and
its Bitem product line:

1.  Vista will prepare and submit for the consideration and approval of
ThermoElastic's Board of Directors (the "Board") comprehensive,
worldwide and multi-industry marketing, promotion and sales plans (the
"Plans") for the Bitem products;

2.  Vista shall, at all times, act in accordance with the directives
and policies as issued and formulated, from time to time, by the Board;

3.  Vista shall provide the advice and services required to implement
the Plan as approved by the Board and shall for these purposes provide
to ThermoElastic such employees of, consultants to and agents of Vista
as are reasonably required to effectively implement the Plan as
approved by the Board and shall warrant and guarantee that such
employees, consultants and agents are competent for such purposes.
Such persons shall have special knowledge of, but not limited to, the
dental supply industry and shall require the approval of the Board.

4.  That the total combined time and effort of such employees,
consultants and agents shall constitute the time and effort of one full
time person whose efforts and activities are devoted entirely to the
marketing, promotion and sales of ThermoElastic's products and
ThermoElastic;

5.  Vista shall also procure the following persons to fill the
following offices:

(a)  President - Kenneth B. Leabscher
(b)  Chief Executive Officer - Fred Heaps;
(c)  vice President of Marketing and Sales and Secretary - Bernard
Teitelbaum;

6.  Vista's compensation, payable as if in writing directs, shall be:

(a)  USD 150,000.00 yearly, paid in equal installments monthly
commencing upon the successful raising of USD 1,000,000.

(b)  A commission override of either one (1) percent annually of gross
sales from the sale of product and royalty income or five (5) percent
of operating profit, whichever is the lesser.  Gross sales and
operating profit shall be subject to further discussion aimed at
arriving at definitions acceptable to both parties.

(c) three hundred thousand (300,000) free trading common shares of
ThermoElastic at USD per share upon ThermoElastic filing the Form "D"
required to be filed as part of the Rule 504 process; and

(d)  Performance based options on terms to be agreed upon to be
available from a pool of two million common shares to be set aside for
performance inducements and rewards for all persons as well as for
Directors and Advisors who are granted such options by the Board;

<PAGE>53

7.  To assist in determining the performance levels to be achieved by
Vista in order for it to be entitled to exercise its performance based
options, Vista shall forthwith prepare and submit a preliminary budget
based upon sales of USD 2,500,000.00, USD 8,000,000.00 and USD
16,000,000.00 in years one, two and three respectively so as to enable
us to continue our discussions on this point;

8.  Vista shall have the option of appointing one of the bank
signatories in respect of the Company's operating account and that
appointee's signature shall be required on all cheques, provided that
such appointee shall sign all cheques and documents reasonably required
for the proper operation of the business or as directed by the Board;

9.  Vista shall have the right to appoint two Directors to the Board of
Directors which will consist of no less than eleven Directors;

10.  There will be established an Advisory Board.  Members would be
appointed for two year term and be given twenty-five thousand (25,000)
founders Shares at par value and an option to acquire twenty-five
thousand (25,000) common shares at the end of their two year term at
fifty (50) percent of the then current market price.  This option would
be lost if a Member ceased being a Member before the end of his or her
term;

11.  We will develop a compensation package for Directors;

12.  For the time being the address for ThermoElastic Technologies will
be:

ThermoElastic Technologies, Inc.
250 H Street
Ste. 715
Blaine, Washington  98230
Tel:  360-371-5061
Fax:  360-371-7092

We also wish to confirm that you have been advised that Howard E.
Kerbel is a Barrister and Solicitor licensed to carry on the practice
of law in the Province of Ontario and that he has advised you to obtain
independent legal advice with respect to this agreement and the
transaction contemplated therein.  We also confirm your advice that you
have either obtained such independent legal advice or have waived your
right to do so.  Further, you have confirmed that Howard E. Kerbel has
provided no legal advise or services to you with respect to this
agreement, the transaction contemplated by it or any other matter
whatsoever.

I believe that the above reflects our discussions.  If I have omitted
anything or your recollection differs from mine, please advise me in
writing immediately.

We look forward to receipt of the budget to be prepared by Bernie so
that we can settle the performance based option issue and move on with
this transaction as quickly as possible.

It was a pleasure meeting with you this past Thursday.  We appreciate
the effort it took to travel from Vancouver to attend the meeting.
Please forward you invoice for travel expenses at your earliest
convenience.

Please execute the Acknowledgement at the bottom of this letter and one
copy by fax and two originally signed coopies by courier.

Regards,
Howard E. Kerbel
ThermoElastic Technologies, Inc.

Encl.

ACKNOWLEDGEMENT

By the execution of this Acknowledgement the Undersigned hereby
acknowledges its agreement with the terms of the above Letter of
Agreement and agrees to be bound by its terms and to take all actions
and to execute all documents required by ThermoElastic to give effect
to the intention and substance of the Letter of Agreement.

Dated at Vancouver, this 2nd day of February, 1999.

<PAGE>54

VISTA DEVELOPMENTS LTD
PER:

A.S.O.Re:  ThermoElastic Technologies, Inc.
     Consulting Agreement
     Dated February 8, 1999

Dear Lawrence:

Further to our recent discussions with respect to the terms of the
Consulting Agreement this is to confirm our advise to you that Gritell
has advised the for the time being, it has agreed of its own volition
to not insist on the complete performance of the provisions of the
Consulting Agreement with respect to the following provisions of the
Consulting Agreement.

1.  With respect to the provisions of par 2 (2) Gritell will, until is
sees fit to do otherwise, accept payment of USD 6,000.00 per month;
providedthat the balance shall accrue to Gritell's benefit and shall be
paid to Gritell as and when it in its sole discretion, shall demand
payment of the accrued balance;

2.  Par. 5 shall be deleted: and

3.  With respect to par. 6, Gritell shall, for the time being, accept
two leased vehicles for a total monthly lease payment, inclusive of
taxes, not to exceed USD 1,000.00 per month all other terms of this
paragraph to remain the same and provided that the balance of the USD
2,000.00 per month shall accrue to the benefit of Gritell and shall be
paid to Gritell as and when it, in its sole discretion, shall demand
payment of the accrued balance.

Yours truly,

HOWARD E. KERBEL
PRESIDENT
GRITELL INTERNATIONAL LIMITED

<PAGE>56

GRITELL INTERNATIONAL LIMITED
February 8, 1999

ThermoElastic Technologies, Inc
Ste 904
94 Cumberland Street
TORONTO, Ontario M5R 1A3

Att:  Howard E. Kerbel

Dear Sir:

RE:  Consulting Agreement ("Agreement") between Gritell International
Limited ("Gritell") and ThermoElastic Technologies, Inc.
("ThermoElastic")

Further to our several recent discussions with respect to the terms of
the Consulting Agreement to be entered into between us with respect to
the management and advisory services to be provided by Gritell and
ThermoElastic Technologies, Inc. we wish to confirm that the following
items have been agreed to:

1.  TERM

The term of the Agreement shall be for a period of ten (10) years
commencing upon the date of the execution of this Agreement by all
parties;

2.  COMPENSATION
There shall be paid to Gritell the following as compensation along with
all applicable taxes, for services previously provided to ThermoElastic
and for services to be rendered during the term of the Agreement:

(1)  USD 5,000.00 in respect of out of pocket expenses incurred prior
to the date hereof on behalf of ThermoElastic;

(2)  USD 13,334.00 per month during the first year of the term of the
Agreement;

(3)  USD 20,000.00 per month during the second and third years of the
term of the Agreement;

(4)  USD 33,334.00 per month during the fourth and fifth years of the
term of the Agreement;

(5)  USD 66,667.00 per month during the sixth, seventh, eighth, ninth
and tenth years of the Agreement;

(6)  Two (2) or more leased vehicles of Gritell's choice, not to exceed
USD 2,000.00 per month, along with all applicable taxes and expenses
associated with the possession and operation of these vehicles
including, but not limited to, insurance, gasoline, maintenance and
repairs for the term of the Agreement, new vehicle to be provided every
two years.  Provided, however, that this amount of USD 2,000.00 shall
increase in accordance with the Cost of Living index published by
Statistics Canada;

(7)  Two (2) cellular telephones and service of Gritell's choice for
the term of the Agreement;

(8)  All travel expenses incurred by Gritell, its Officers, employees,
agents, consultants and appointees in the course of the carrying out
its duties and responsibilities under this Agreement; and

(9)  Office space, furniture, office equipment and office and
administrative staff as required by Gritell;

(10)  All other expenses incurred in respect to the carrying out of
Gritell's responsibilities under this Agreement; and

(11)  All income tax which accrues to Gritell, its' Officers, employees
agents, consultants and appointees as a result of the benefits being
received by the under the provisions of this Agreement.

3.  SERVICES TO BE PROVIDED BY GRITELL

Gritell shall make itself, its Officers, employees, agents, consultants
and appointees available to ThermoElastic as ThermoElastic's board of
Directors shall require from time to time, to provide management,

<PAGE>57

business and financial advice to the Board throughout the term of the
Agreement.

4.  ASSIGNEMNT OF LICENCING AGREEMENT MADE BETWEEN APPLE DENTAL
VENTURES and BOB HYBRECHTS AND GRITELL INTERNATIONAL, LIMITED wrongly
described as GRITELL INTERNATIONAL, LTD.

Gritell hereby agrees to transfer to ThermoElastic or as it may in
writing direct any and all rights, privileged accruing and obligations
attaching to Gritell under a certain Agreement made between Apple
Dental Ventures and Bob Hybrechts and Gritell International Limited,
wrongly described therein as Gritell International Ltd, upon the
receipt by Gritell of USD 50,000.00 in cash or certified funds, no
later than February 27, 1999.

Upon such assignment by Gritell, ThermoElastic agrees to indemnify
Gritell in respect of any and all liabilities which may have or in the
future may attach Gritell under the said agreement referred to above.

Gritell agrees that it will wither pay the said USD 50,000.00 referred
to above in accordance with the terms of the Licensing Agreement or
provide ThermoElastic Technologies with a properly executed direction
to pay the USD 50,000.00 due under the Licensing Agreement directly.

5.  ASSUMPTION OF CONSULTING AGREEMENT MADE BETWEEN GRITELL
INTERNATIONAL LTD, on behalf of ThermoElastic Technologies, Inc. AND
MGM GROUP, INC. DATED OCTOBER 20, 1998.

ThermoElastic hereby agrees to assume all liabilities which might
accrue to Gritell pursuant to a certain Consulting Agreement dated
October 20, 1998 and made between Gritell and MGM Group, Inc. in
respect of certain services provided by MGM Group, Inc. necessary to
endure the success of the Rule 504 raising being undertaken by
ThermoElastic including, but not limited to the payment of all fees and
the delivery of all shares _____ for pursuant to this Agreement to MGM
Group, Inc.  Further, ThermoElastic hereby indemnifies and saves
harmless Gritell from any and all claims and liabilities which might be
made or attach to Gritell in respect of this Agreement.  A copy of this
Agreement is attached hereto.

Please execute the Acknowledgement at the bottom of this letter to
indicate your agreement with the above terms.

Sincerely,

HOWARD E. KERBEL
President
Gritell International Limited

ACKNOWLEDGEMENT

The undersigned by the execution of this Acknowledgment hereby agrees
to accept and be bound by the terms of this Letter Agreement set out
above.

DATED at Toronto as of the ___ day of February, 1999.

ThermoElastic Technologies, Inc.
Per.

HOWARD E. KERBEL A.S.A.

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