Document:

Exhibit 10.8
                            [BANK LEUMI LETTERHEAD]

                          INSTALLMENT PROMISSORY NOTE

                                                            New  York,  N.Y.

$550,000                                                       July__,  2002

A.     GENERAL;  TERMS  OF  PAYMENT

1.     FOR  VALUE  RECEIVED,  the undersigned, Hotel Outsource Services, Inc., a
corporation  organized under the laws of the State of Delaware (the "Borrower"),
hereby  promise(s)  to  pay  to the order of BANK LEUMI USA (the "Bank"), at its
office at 562 Fifth Avenue, New York, New York the principal sum of Five Hundred
Fifty  Thousand  Dollars  ($550,000)  in  sixty  (60)  consecutive  monthly
installments, the first fifty-nine (59) in the principal amount of Nine Thousand
One  Hundred  Sixty-Seven  ($9,167)  Dollars,  and the sixtieth in the principal
amount of Nine Thousand One Hundred Forty-Seven ($9,147) Dollars, payable on the
first  day  of  each  month  in  each  year,  commencing  October  1,  2002;

The  Borrower  will pay interest on the unpaid principal amount hereof from time
to  time  outstanding, computed on the basis of a 360-day year, at a rate of ten
(10%)  percent  per  annum.

The Borrower will pay interest, at the rate described above, monthly, commencing
July  1,  2002,  together  with  each  payment  of principal, 8618661at maturity
(whether by acceleration or otherwise) and upon the making of any prepayment, as
hereinafter  provided.  In  addition,  the  Borrower  will  pay  interest on any
overdue  installment  of  principal  for  the period for which it is overdue, on
demand,  at  a rate equal to 3% per annum above the rate of interest hereinabove
indicated.  In  no  event shall interest exceed the maximum legal rate permitted
by  law.

      2.  All  Property  (as  hereinafter  defined)  held  by  the Bank shall be
subject  to a security interest in favor of the Bank as security for any and all
Liabilities  (as  hereinafter  defined).  The  term  "Property"  shall  mean the
balance  of  every  deposit  account of the Borrower with the Bank or any of the
Bank's  nominees  or  agents and all other obligations of the Bank or any of its
nominees  or  agents to the Borrower, whether now existing or hereafter arising,
and  all  other  personal property of the Borrower (including without limitation
all  money,  accounts,  general  intangibles,  goods, instruments, documents and
chattel paper) which, or evidence of which, are now or at any time in the future
shall  come  into the possession or under the control of or be in transit to the
Bank  or  any of its nominees or agents for any purpose, whether or not accepted
for  the purposes for which it was delivered.  The term "Liabilities" shall mean
the  indebtedness evidenced by this Note and all other indebtedness, liabilities
and  obligations  of any kind of the Borrower (or any partnership or other group
of  which  the Borrower is a member) to (a) the Bank, (b) any group of which the
Bank  is  a  member,  or (c) any other person if the Bank has a participation or
other interest in such indebtedness, liabilities or obligations, whether (i) for
the  Bank's  own  account  or  as  agent  for  others, (ii) acquired directly or
indirectly  by  the  Bank  from  the  Borrower  or  others,  (iii)  absolute  or
contingent,  joint or several, secured or unsecured, liquidated or unliquidated,
due  or  not due, contractual or tortious, now existing or hereafter arising, or

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(iv)  incurred  by  the  Borrower  as  principal, surety, endorser, guarantor or
otherwise,  and  including without limitation all expenses, including attorneys'
fees, incurred by the Bank in connection with any such indebtedness, liabilities
or  obligations  or any of the Property (including any sale or other disposition
of  the  Property).

      3.  Prepayment.  The  Borrower shall have the right to prepay this Note in
whole at any time or in part from time to time (but if in part, in the principal
amount  of $25,000.00 or any whole multiple thereof), in each case upon not less
than  10  days  prior  written  notice  to the Bank, without penalty or premium,
provided  that on each prepayment the Borrower shall pay accrued interest on the
principal  amount  so  prepaid  to the date of such prepayment, and each partial
prepayment  shall  be  applied  to  the installments of this Note in the inverse
order  of  their  stated  maturities.

      4.  Manner  of  Payment.  All  payments  by  the  Borrower  on  account of
principal,  interest  or  fees  hereunder  shall  be made in lawful money of the
United  States  of  America,  in  immediately  available  funds.  The  Borrower
authorizes  (but  shall not require) the Bank to debit any account maintained by
the  Borrower  with  the  Bank, at any date on which a payment is due under this
Note,  in an amount equal to any unpaid portion of such payment.  If any payment
of  principal  or  interest becomes due on a day on which the Bank is closed (as
required or permitted by law or otherwise), such payment shall be made not later
than  the  next  succeeding  business  day  except  as may be otherwise provided
herein, and such extension shall be included in computing interest in connection
with  such  payment.  In the event that any other Liabilities of the Borrower to
the  Bank are due at any time that the Bank receives a payment from the Borrower
on  account of this Note or any such other Liabilities of the Borrower, the Bank
may  apply  such  payments  to  amounts  due  under  this Note or any such other
Liabilities in such manner as the Bank, in its discretion, elects, regardless of
any  instructions from the Borrower to the contrary.  The Bank or any holder may
accept  late payments, or partial payments, even though marked "payment in full"
or  containing  words of similar import or other conditions, without waiving any
of  its  rights.

     5.  Indemnification.  The  Borrower  hereby  agrees  to  indemnify  and/or
reimburse  the  Bank for any tax liability (including any penalties and interest
thereon) which may be required to be withheld or paid over by the Bank to a U.S.
taxing  authority  as  a result of the loan made hereunder. Such liabilities may
result  from  but are not limited to liabilities of the Bank as a conduit entity
under Internal Revenue Code Section 7701(1) and Regulations Section 1.881-3. The
indemnification/reimbursement  obligations  of  each  maker  ("Reimbursement
Obligations")  shall not be imposed on or with respect to the overall tax on the
net  income  of the Bank, and franchise or similar taxes which may be imposed by
the  United  States  of  America.  The Reimbursement Obligations of the Borrower
shall  survive the repayment of any other obligations due by the Borrower to the
Bank.

B.     EVENTS  OF  DEFAULT:  REMEDIES

     The  occurrence of any one or more of the following events shall constitute
an  "Event  of  Default"under this Note:  (i) the Borrower shall fail to pay any
installment  of  principal or interest on the Note when due and payable; or (ii)
the  Borrower  shall  fail  to pay and satisfy any other Obligation when due and
payable;  or  (iii) there shall be a default in the observance or performance of
any  covenant,  condi-tion  or  agreement  set  forth in Sections 5.1 or 5.11 or
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Section  6  (other  than  with  respect to an involuntary lien or encumbrance as
prohibited  in  Section  6.1)  of the Credit Agreement; or (iv) there shall be a
default  in  the  observance  or performance of any other covenant, condition or
agreement  contained in the Credit Agreement, in any of the Financing Agreements
or  in  any  other  document  or instrument referred to herein or therein, which
default  shall  continue unremedied or uncured for a period of fifteen (15) days
after  notice  thereof  has  been  given  to  the  Borrower; or (v) any material
representation  or  warranty  made  by  or  on  behalf of the Borrower or either
Guarantor,  whether  contained  in  this  Agreement,  in  any  of  the Financing
Agreements, or in any other document or instrument referred to herein or therein
or  delivered  in connection with any of the transactions contemplated herein or
therein,  shall  prove  to  have been false or incorrect in any material respect
when  made;  or  (vi)  the  Borrower  or either Guarantor shall (a) apply for or
consent  to  or acquiesce in the appointment of or the taking of possession by a
receiver,  liquidator, custodian or trustee of itself or of all or a substantial
part  of  its  property,  (b)  admit  in  writing its inability, or be generally
unable, to pay its debts as such debts become due, (c) make a general assignment
for  the  benefit  of  its  creditors,  (d)  commence a voluntary case under the
Federal  Bankruptcy  Code (as now or hereafter in effect) or any similar foreign
law,  (e) file a petition seeking to take advantage of any other law relating to
bankruptcy, insolvency, reorganization, winding up, or composition or adjustment
of debts, (f) fail to controvert in a timely or appropriate manner, or acquiesce
in  writing  to,  any petition filed against itself in an involuntary case under
such  Bankruptcy  Code, or any similar foreign law, or (vii) take any action for
the  purpose  of  effecting any of the foregoing; or (viii) a proceeding or case
shall be commenced, without the application or consent of the Borrower or either
Guarantor,  in  any  court  of  competent jurisdiction, seeking (a) liquidation,
reorganization, dissolution, winding up or composition or adjustment of debts of
the  Borrower  or  either Guarantor, (b) the appointment of a trustee, receiver,
liquidator, custodian or the like of the Borrower, or either Guarantor of all or
any  substantial  part of any of its assets, or (c) similar relief under any law
relating to bankruptcy, insolvency, reorganization, winding-up or composition or
adjustment  of debts, and such proceeding or case shall continue undismissed, or
an order, judgment or decree approving or ordering any of the foregoing shall be
entered  and  continue unstayed and in effect, for a period of thirty (30) days;
or  any  order  for  relief  against  the Borrower or either Guarantor, shall be
entered in an involuntary case under the Bankruptcy Code, or any similar foreign
law, and shall continue unstayed and in effect for a period of thirty (30) days;
or  (ix)  any  order,  judgment,  or  decree  shall be entered in any proceeding
requiring  the  Borrower  or  either Guarantor to divest itself of a substantial
part  of  its assets, and if, within sixty (60) days after entry thereof (unless
or  until enforcement is sooner commenced), such order, judgment or decree shall
not  have  been  discharged  or  execution thereof stayed pending appeal; or if,
within  thirty  (30) days after the expiration of any such stay (unless or until
enforcement  is sooner commenced), such judgment, order or decree shall not have
been  discharged;  or  (x)  one  or  more  judgments  exceeding  $25,000  in the
aggregate,  against  the  Borrower,  or attachments to recover more than $25,000
against any Borrower=s property remain unpaid, unstayed on appeal, undischarged,
unbonded  or  undismissed  for  a  period  of  thirty  (30) days, or enforcement
proceedings  are commenced with respect to any judgment against the Borrower; or
(xi)  the  Borrower shall (a) fail to pay any indebtedness for borrowed money or
any  interest  or  premium  thereon,  when  due  (whether by scheduled maturity,
required  prepayment, acceleration, demand or otherwise); or (b) fail to perform
or  observe  any  term,  covenant  or  condition  on its part to be performed or
observed  under  any  agreement  or  instrument relating to any indebtedness for
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borrowed money, when required to be performed or observed, if the effect of such
failure  to  perform  or observe is to accelerate, or to permit the acceleration
after  the giving of notice or passage of time, or both, of the maturity of such
indebtedness,  or any such indebtedness shall be declared to be due and payable,
or  required  to  be  prepaid  (other  than  by  a  regularly scheduled required
prepayment),  prior  to  the  stated  maturity thereof; or (c) allow any account
maintained  by  them at the Bank to be overdrawn for a period which exceeds five
(5)  days after notice from the Bank; or (xii) any of the following events occur
or  exist  with  respect to the Borrower or any of its ERISA Affiliates: (a) any
Prohibited Transaction involving any Plan; (b) any Reportable Event with respect
to any Plan; (c) the filing under Section 4041 of ERISA of a notice of intent to
terminate any Plan or the termination of any Plan; (d) any event or circumstance
that  might constitute grounds entitling the PBGC to institute proceedings under
Section  4042  of  ERISA  for  the  termination  of, or for the appointment of a
trustee  to  administer,  any  Plan,  or the institution by the PBGC of any such
proceedings;  (e)  complete  or partial withdrawal under Section 4201 or 4204 of
ERISA from a Multiemployer Plan or the reorganization, insolvency or termination
of  any  Multiemployer  Plan;  and  in each case above, such event or condition,
together  with  all  other events or conditions, if any, could in the reasonable
opinion  of  the  Bank subject either the Borrower or any ERISA Affiliate to any
material  tax,  penalty  or other liability to a Plan, a Multiemployer Plan, the
PBGC  or  otherwise (or any combination thereof); or (xiii) any material portion
of  the Collateral is attached, seized, becomes subject to a writ or distress or
a  warrant, or is levied upon; or (xiv) the Hyatt Agreement is terminated, other
than  at  the end of its initial term, or Hyatt Corporation commences any action
or  proceeding against the Borrower to terminate the Hyatt Agreement, or for any
other purpose including money damages; then and in any such event, this Note, if
not  then  due  or  payable  on demand, shall become due and payable immediately
without  demand  or notice and all other debts or obligations of the Borrower to
the  Bank  or  holder  hereof,  whether  due  or  not  due and whether direct or
contingent  and  howsoever evidenced, shall, at the option of the Bank or holder
hereof,  also  become  due  and  payable  immediately  without demand or notice.

     The  balance  of  every account of the Borrower with, and each claim of the
Borrower  against the Bank existing from time to time shall be subject to a lien
and  subject  to  be  set  off  against any and all Liabilities, including those
hereunder.

MISCELLANEOUS

     1.  No  Waiver; Remedies Cumulative.  No failure on the part of the Bank to
exercise,  and  no  delay  in  exercising any right hereunder shall operate as a
waiver thereof nor shall any single or partial exercise by the Bank of any right
hereunder  preclude any other or further exercise thereof or the exercise of any
other  right.  The  remedies herein provided are cumulative and not exclusive of
any  remedies  provided  by any other instrument or document or under applicable
law.

     2.  Costs  and  Expenses.  The  Borrower  shall  reimburse the Bank for all
costs  and  expenses  incurred  by  it  and  shall  pay  the reasonable fees and
disbursements  of  counsel  to  the  Bank  in connection with enforcement of the
Bank's  rights  hereunder.  The Borrower shall also pay any and all taxes (other
than  taxes on or measured by net income of the holder of this Note) incurred or
payable  in  connection  with  the  execution  and  delivery  of  this  Note.

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     3.  Amendments.  No  amendment,  modification or waiver of any provision of
this  Note  nor  consent  to  any  departure  by the Borrower therefrom shall be
effective  unless  the  same shall be in writing and signed by the Bank and then
such  waiver or consent shall be effective only in the specific instance and for
the  specific  purpose  for  which  given.

     4.  Construction. This Note shall be deemed to be a contract made under the
laws of the State of New York and shall be construed in accordance with the laws
of  said  State.

     5.  Successors  and  Assigns.  This Note shall be binding upon the Borrower
and  its  heirs,  legal  representatives,  successors  and assigns and the terms
hereof  shall  inure  to the benefit of the Bank and its successors and assigns,
including  subsequent  holders  hereof.

     6.  Severability.  The  provisions  of  this Note are severable, and if any
provision  shall  be  held  invalid  or unenforceable in whole or in part in any
jurisdiction,  then  such invalidity or unenforceability shall not in any manner
affect  such  provision in any other jurisdiction or any other provision of this
Note  in  any  jurisdiction.

     7.  Definitions. Capitalized terms used in this Note and not defined herein
shall  have the meanings defined in the Credit Agreement, dated as of even date,
between  the  Bank  and  the  Borrower  (the  "Credit  Agreement"), which Credit
Agreement  sets  forth  the terms and conditions pursuant to which the Term Loan
evidenced  by  this  Note  was  made.

     8.  JURISDICTION;  WAIVER  OF  JURY  TRIAL. THE BORROWER HEREBY IRREVOCABLY
CONSENTS  TO  THE JURISDICTION OF ANY NEW YORK STATE OR FEDERAL COURT LOCATED IN
NEW  YORK  CITY OVER ANY ACTION OR PROCEEDING ARISING OUT OF ANY DISPUTE BETWEEN
THE  BORROWER AND THE BANK, AND THE BORROWER FURTHER IRREVOCABLY CONSENTS TO THE
SERVICE  OF PROCESS IN ANY SUCH ACTION OR PROCEEDING BY THE MAILING OF A COPY OF
SUCH  PROCESS  TO  THE  BORROWER AT THE ADDRESS SET FORTH BELOW. IN THE EVENT OF
LITIGATION BETWEEN THE BANK AND THE BORROWER OVER ANY MATTER CONNECTED WITH THIS
NOTE  OR  RESULTING FROM TRANSACTIONS HEREUNDER, THE RIGHT TO A TRIAL BY JURY IS
HEREBY  WAIVED  BY THE BANK AND THE BORROWER. THE BORROWER ALSO WAIVES THE RIGHT
TO  INTERPOSE  ANY  SET-OFF  OR  COUNTERCLAIM  OF  ANY  NATURE.

                         Hotel  Outsource  Services,  Inc.
                         ---------------------------------
                         (Name  of  maker)

                         By:  ____________________________________
                         Jacob  Ronnel,  President
                         _______________________________________

                         _______________________________________

                         40  Wall  Street
                         ----------------------
                         New  York,  NY  10005
                         ---------------------------EXHIBIT 10.9

                            [BANK LEUMI LETTERHEAD]

                               SECURITY AGREEMENT

     In  consideration  of financial accommodations heretofore extended or to be
extended  or  continued  to  the undersigned by BANK LEUMI USA (the "Bank"), the
undersigned  hereby  agrees  as  follows:

     1.  As  security for the full and prompt payment of any and all Liabilities
(as  hereinafter  defined),  the undersigned hereby assigns and transfers to the
Bank  and  grants  the  Bank a security interest in all Security (as hereinafter
defined).  Said  grant  is  made  for  the benefit of the Bank and/or any others
having  a  participation  or  other  interest in any of the Liabilities, in such
proportions  as the Bank shall in its sole discretion determine. It is the true,
clear,  and  express  intention  of the undersigned that the continuing grant of
this  security interest, and the Security covered hereby, remain as security for
payment and performance of any of the Liabilities, whether now existing or which
may  hereinafter be incurred by future advances otherwise and whether or not any
of  such  Liabilities  is  related  to  a  transaction  out  of  which any other
Liabilities  arose,  by  class,  or  kind, or whether or not contemplated by the
parties  at  the  time  of the granting of this security interest. Notice of the
continuing grant of this security interest shall not be required to be stated on
the  face  of  any  document representing any of such Liabilities, nor otherwise
identified  as being secured hereby; and if any of such Liabilities shall remain
or  become  that  of  less  than  all  of  the  undersigned  herein,  any of the
undersigned  not liable therefor hereby expressly hypothecates his, her, its, or
their  ownership  interest in the Security to the extent required to satisfy any
of said Liabilities, without restriction, or limitation. Any of such Liabilities
shall  be  deemed  to have been made pursuant to Section 9-204(3) of the Uniform
Commercial  Code  of  the  State  of  New  York.

     2.  The term "Liabilities" as used herein shall include all liabilities and
obligations of any kind of the undersigned (or any partnership or other group of
which  the  undersigned is a member) to (i) the Bank (ii) any group of which the
Bank  is  a  member or (iii) any other person if the Bank has a participation or
other  interest  in  such liabilities or obligations, whether (a) for the Bank's
own  account  or as agent for others, (b) acquired directly or indirectly by the
Bank  from  the  undersigned  or  others,  (c)  absolute or contingent, joint or
several,  secured  or  unsecured,  liquidated  or  unliquidated, due or not due,
contractual or tortious, now existing or hereinafter arising, or (d) incurred by
the  undersigned  as  principal,  surety,  endorser, guarantor or otherwise, and
including  without  limitation all expenses, including attorneys' fees, incurred
by  the  Bank  in  connection  with  any  such liabilities or obligations or any
Security  therefor.

     3.  The  term  "Security"  as used herein shall include all of the property
described  in  Schedule  A  hereto.

     4.     The  right is granted to the Bank, in its discretion, to file one or
more  financing  statements, amendments thereto and continuations thereof (with,
or,  to  the  extent permitted by law, without the signature of the undersigned)
under  the Uniform Commercial Code naming the undersigned as debtor and the Bank
as  secured  party  and  indicating therein the types or describing the items of
Security  herein  specified.  The undersigned will execute, file and record any,
notices,  affidavits  or  other documents and take all such other actions as the
Bank  may  deem  appropriate  to protect or perfect its security interest in the
Security  or  to  otherwise  accomplish  the  purposes  of  this  agreement. The
undersigned hereby agrees to pay on demand, and/or authorizes the Bank to charge
its  account  with the cost of, any and all filing, recording and other fees and
expenses  which  the  Bank  deems appropriate in order to protect or perfect its
security  interest  in  the  Security or to otherwise accomplish the purposes of
this  agreement, including without limitation the cost of all searches of public
records  as  the Bank in its sole discretion shall require. The undersigned will
promptly  notify  the  Bank  of  the  imposition  at  any  time  of  any lien or
encumbrance  upon  any  of  the  Security.  Notwithstanding  the  foregoing, the
undersigned  represents,  warrants  and  covenants  that all of the Security now
existing  or  hereafter  arising  or  acquired  is  and  will  be  owned  by the
undersigned  free and clear of all security interests, liens and encumbrances of
any  kind,  except  for  the  security  interest herein granted to the Bank. The
undersigned  shall  promptly  pay when due all taxes and transportation, storage
and  warehousing  charges  affecting  or  arising  out  of  the  Security.  The
undersigned  will  defend  the  Security  against  all claims and demands of all
persons  at  any  time  claiming the same or any interest therein adverse to the
Bank.
          Notwithstanding  the  foregoing,  the Bank shall have no obligation to
comply  with  any  recording,  re-recording,  filing,  re-filing, or other legal
requirements  necessary  to  establish  or  maintain  the  validity, priority or
enforceability  of,  or  the  Bank's  right  in  or to, the Security or any part
thereof.

<PAGE>
     5.     The  right  is  granted to the Bank, in its discretion, at any time,
(a)  to transfer to or register in the name of itself or any of its nominees any
of the Security, and whether or not so transferred or registered, to receive the
income and dividends thereon, including stock dividends and rights to subscribe,
and  to  hold  the  same  as  a  part  of  the Security and/or apply the same as
hereinafter  provided;  (b)  to  exchange any of the Security for other property
upon  any  reorganization,  recapitalization,  or  other  readjustment  and  in
connection  therewith  to  deposit  any  of  the  Security with any committee or
depositary  upon  such terms as the Bank may determine; (c) in any bankruptcy or
similar  proceeding to file a proof of claim for the full amount of the Security
and  to  vote  such  claim for or against any arrangement or with respect to any
other matter; (d) in its own name or in the name of the undersigned or any other
appropriate person, to demand, sue for, collect or receive any money or property
at  any time payable or receivable on account of or in exchange for, or make any
compromise  or  settlement  it  may  deem  desirable with respect to, any of the
Security;  (e)  to  extend  the  time  of  payment,  arrange  for  payment  in
installments, or otherwise modify the terms of, or release, any of the Security;
(f)  to  contest,  pay  and/or  discharge  all  liens,  encumbrances,  taxes  or
assessments  on,  or claims, actions or demands against, any of the Security and
to  take  all  actions  and  proceedings  in  its own name or in the name of the
undersigned  or  any other appropriate person in order to remove or contest such
liens,  encumbrances,  taxes,  assessments,  claims,  actions  or demands; or to
refrain  from  doing any of the foregoing, all without affecting the Liabilities
and  the  Security  and  without  notice  or liability to, or the consent of the
undersigned  except  to  account for property actually received by the Bank. The
undersigned  hereby  irrevocably  appoints  the  Bank its attorney-in-fact, with
authority  to receive, open and dispose of all mail addressed to the undersigned
and  to notify the Post Office authorities to change the address for delivery of
mail  addressed to the undersigned to such address as the Bank may designate: to
endorse  the  name  of the undersigned on any instruments that may come into the
Bank's possession; to sign the name of the undersigned on any notices to account
debtors  of  the  undersigned and requests for verification of accounts; to sign
the name of the undersigned on any assignment or other instruments of conveyance
or  transfer  of  any of the Security; and to take all such other actions as the
Bank  may  deem  appropriate  to  carry  out  and  enforce this agreement and to
exercise  the  Bank's  rights  hereunder.  The  Bank  shall  not be obligated to
exercise  any authority or right granted to it hereunder and shall not be liable
for  any  action taken or omitted or the manner of taking any action, except for
its  willful  misconduct,  and  in  no  event  for  consequential  damages.

     6.     The undersigned will pay to the Bank all costs and expenses incurred
and  sums  paid  by  the  Bank  (including  without  limitation attorneys' fees,
insurance  premiums and sales commissions) in connection with the custody, care,
collection,  repair,  storage  or  preparation  for,  or any actual or attempted
disposition  of any of the Security, the collection of any proceeds of insurance
with  respect  to  the  Security or otherwise in connection with this agreement.

     7.     At  any  time  and  from  time to time, upon demand by the Bank, the
undersigned  will  (a)  deliver  to  the  Bank,  endorsed and, or accompanied by
instruments  of  assignment and transfer, in such form and containing such terms
as the Bank may request, any and all instruments, documents and/or chattel paper
constituting  part  of  the Security, as the Bank may specify in its demand, (b)
mark  all  Security and all books and records relating thereto in such manner as
the  Bank may require, and (c) permit representatives of the Bank at any time to
inspect  the  Security  and  to  inspect  and  make  abstracts  from  any of the
undersigned's books and records and to answer promptly all of the Bank's written
or  oral  inquiries  with  respect  thereto.  If  the undersigned, as registered
holder  of  any  of the Security, shall receive any stock certificate, option or
right,  whether  as  an  addition  to,  or  in substitution or exchange for, any
Security,  or otherwise, the undersigned agrees to accept the same as the Bank's
agent  and  to hold the same in trust for the Bank, and to forthwith deliver the
same  to the Bank in the exact form received, with the undersigned's endorsement
thereof  if  requested  by  the  Bank,  to  be  held  by the Bank as part of the
Security.  The  undersigned  assigns to the Bank all of the undersigned's rights
(but  none  of  its  obligations)  in,  to and under all collateral, guarantees,
subordinations  and  other  rights and benefits now or hereafter received by the
undersigned with respect to the Security and agrees to deliver to the Bank, upon
demand,  all  agreements, instruments and or documents evidencing same, endorsed
and/or  accompanied  by instruments of assignment and transfer, in such form and
containing  such  terms  as  the  Bank  may  request.

     8.  Upon  demand  from the Bank at any time that any of the Liabilities are
outstanding,  the  undersigned will assign and transfer to the Bank and grant to
the  Bank  a  security  interest in additional Security of a value and character
satisfactory  to  the Bank or make such payment on account of the Liabilities as
the  Bank  may  require.

     9.  The  undersigned  represents  and  warrants  that  (i) it is a Delaware
corporation with its chief executive office located at 40 Wall Street, New York,
New York, (ii) it, if other than an individual(s) has not in the past five years
                                        2
<PAGE>
changed  its  name  or  been  known  by  any other name, been party to a merger,
consolidation  or  other  change  in  structure, changed or had its registration
number  in its state of organization changed; (iii) the location of all Security
owned  by  the  undersigned  is  as  referenced  in  this  Agreement;  (iv)  the
undersigned  is the legal and beneficial owner of the Security and has the right
to  pledge,  sell,  assign  or  transfer  the  same;  (v)  it,  if other than an
individual(s),  will  promptly notify the Bank of any change of its registration
number  if it is organized and registered in a State having registration numbers
and;  (vi)  the undersigned shall, if not an individual(s), provide to the Bank,
on  a  going-forward basis, all of the information related to its organizational
status  is required by the Bank in order to comply with Revised Article 9 of the
Uniform  Commercial  Code,  as it may be adopted or amended, in States necessary
for  the  Bank  to  maintain  a  perfected  security  interest  in the Security.

     10.     The  undersigned  covenants that, so long as any of the Liabilities
shall  remain  outstanding,  the undersigned shall not, without providing thirty
(30)  days prior written notice to the Bank and without first assisting the Bank
in  filing  such  amendments to any previously filed financing statements as the
Bank may require, change its name, change its State of organization, be party to
a  merger,  consolidation or other change in structure.  The undersigned further
covenants  (i)  that  if any Security is subject to perfection by control with a
financial  intermediary,  financial  institution  or  otherwise, the undersigned
agrees  to  take  all  necessary  steps  as  the Bank may request to achieve and
maintain  control  of  such  Security  in  the  Bank's  favor;  and  (ii)  the
undersigned, shall, upon receipt of notice of termination of a control agreement
entered  into  between  the undersigned, the Bank and a financial institution or
financial  intermediary,  or  notice  of  the closing of an account which is the
subject  of  such  control agreement, cause the possessory Security which is the
subject  of  the control agreement to be  moved to another financial institution
or  financial  intermediary  subject to a control agreement, satisfactory in all
respects  to the Bank, executed by the parties thereto and delivered to the Bank
no later than ten (10) days before the scheduled termination date of the control
agreement.

     11.  Upon  the  occurrence of an Event of Default (as hereinafter defined),
(a)  any  or  all  of  the  Liabilities  shall,  at  the  option of the Bank and
notwithstanding  any  time  or  credit  allowed  by  any instrument evidencing a
Liability, be immediately due and payable without notice, demand or presentment;
(b)  the  Bank  may, in its discretion, take possession of the Security and, for
that  purpose, may enter, with the assistance of any persons, any premises where
the  Security  or  any part thereof may be located, and retain possession of the
Security  at  such  premises  or  remove the same therefrom; (c) the undersigned
shall,  at  the request of the Bank, assemble the Security at such places as the
Bank  may  designate  and  cooperate  in all other respects with the Bank in the
exercise  of  its rights hereunder, (d) the Bank may vote any shares of stock or
other  securities  and  exercise all or any powers with respect thereto with the
same force and effect as an absolute owner thereof; (e) the Bank may sell any of
the  Security or cause the same to be sold in the Borough of Manhattan, New York
City,  or  elsewhere, in one or more sales or parcels, at such price and on such
terms  as  the  Bank may deem advisable, for cash or on credit, for immediate or
future delivery, without assumption of any credit risk, at any public or private
sales  or  other  dispositions,  without  demand of performance (which demand is
hereby  expressly  waived), on at least 5 days notice to the undersigned (if any
notice  is required by law) of any public sale or the time after which a private
sale or other disposition may be made (which notice the undersigned acknowledges
is  reasonable),  and  in  connection therewith may grant options and may impose
reasonable conditions thereon, and the purchasers of any of the Security so sold
shall  thereafter  hold the same absolutely, free from any claim or right of any
kind,  including  any  equity  of redemption of the undersigned (any such equity
being hereby expressly waived and released), and the Bank or any of its nominees
or  agents may buy at any public sale and if the Security is of a type sold in a
recognized  market,  or  is of a type which is the subject of widely distributed
standard  price  quotations,  buy  at  private  sale; and (f) in addition to and
notwithstanding  any  other  rights granted by law or herein (or any limitations
contained  herein  on  any  such  rights),  the  Bank  shall have the rights and
remedies  with  respect  to  the  Security  of a secured party under the Uniform
Commercial Code of the State of New York. The undersigned agrees that any action
taken  by  the  Bank  in  accordance  with  this paragraph shall be deemed to be
commercially  reasonable.

     12.     As  used in this agreement, the term "Event of Default" shall mean:
(a)  nonpayment  when due of any of the Liabilities or failure on the part of an
Obligor  (as  hereinafter  defined)  to  observe  or  perform  any  agreement or
obligation to be observed or performed hereunder or under any other agreement or
instrument  relating  to the Liabilities or to any other liability or obligation
of  an Obligor to the Bank; (h) making by an Obligor of any misrepresentation to
the  Bank  or  failure  on  the  part  of an Obligor to disclose to the Bank any
material  fact  in  connection  with obtaining credit or an extension of credit,
either  contemporaneously  herewith  or  at  any time prior or subsequent to the
execution  hereof:  (c)  failure  of an Obligor to furnish financial information
                                        3
<PAGE>
forthwith  on  demand  by  the  Bank or to permit the inspection of any books or
records:  (d)  failure  of  an  Obligor  to pay, withhold, collect or remit when
assessed  or due any tax, assessment or other sum payable with respect to any of
the  Security  (including without limitation any premium on any insurance policy
assigned  to  the  Bank  as  part  of  the  Security),  or the making of any tax
assessment  against  any  Obligor  by  the  United  States or any state or local
government;  (e)  commencement  of  any  proceeding,  procedure,  or  remedy
supplementary to or in enforcement of any judgment (including without limitation
a  proceeding  under  Article  52 of the New York Civil Practice Law and Rules),
issuance  of any writ or order of attachment or garnishment, or the existence of
any  other lien against or with respect to any property of an Obligor; (f) death
of  an  Obligor, if an individual, or any member of an Obligor, if a partnership
or joint venture; (g) dissolution, liquidation or other termination of existence
or  adoption  of  any  resolution  for  the  dissolution,  liquidation  or other
termination of existence, of an Obligor; (h) suspension of the usual business of
an  Obligor or the condemnation or seizure of a substantial part of an Obligor's
property  by  any  governmental  authority or court at the instance thereof; (i)
failure  of  an  Obligor  to  generally  pay  its  debts  as  they become due or
insolvency  or  business  failure of an Obligor, filing of an application for or
appointment of a trustee, custodian or receiver for an Obligor or of any part of
an  Obligors  property,  assignment  for the benefit of creditors by an Obligor,
filing  of a petition in bankruptcy by or against an Obligor, or commencement by
or  against  an Obligor of any proceeding under any bankruptcy or insolvency law
or  any  other  law  relating  to  the  relief  of  debtors,  readjustment  of
indebtedness, reorganization, receivership, composition or extension; (j) making
or  sending  notice  of any intended bulk transfer by an Obligor; (k) failure on
the  part  of the undersigned or any of the Security to comply with Regulation U
of  the  Federal  Reserve  Board  or any comparable provision of law hereinafter
enacted;  (l) such a change in the condition or affairs (financial or otherwise)
of  an  Obligor  as in the opinion of the Bank impairs the Security or increases
the  Bank's risk with respect to the Liabilities; or (m) default (which shall be
continuing)  with  respect  to  any  indebtedness  of  an  Obligor  to any other
individual  or  entity if such default would enable said individual or entity to
accelerate  the  maturity  of  such  indebtedness.

     For  the  purposes  of this agreement, the term "Obligor" shall include the
undersigned  and any maker, drawer, acceptor, endorser, guarantor, hypothecator,
surety, accommodation party, or other party liable for any of the Liabilities in
addition  to  the  undersigned.

     13.  Notwithstanding  the continued possession of the Security by the Bank,
whether  on  its own behalf or on behalf of others, the undersigned shall remain
liable  for  the payment in full of the Liabilities. The undersigned assumes all
liability  and  responsibility  for  the  Security,  and  the  obligation of the
undersigned  to pay the Liabilities shall in no way be affected or diminished by
reason  of  the  fact  that  any of the Security may be lost, destroyed, stolen,
damaged  or  for  any  other reason whatsoever unavailable to the undersigned or
that  the value of the Security shall be diminished. In the event of any partial
or  complete  loss  or  destruction  of  any  of  the Security by any means, the
undersigned shall, at its own expense, cause such repairs to be made as the Bank
may  deem  appropriate for its protection or, at the option of the Bank, replace
the  Security with new Security having a value equal to the value of the lost or
destroyed Security prior to such loss or destruction. The undersigned agrees, at
its  own  expense, to keep all insurable Security insured against loss or damage
by fire, theft or any other risk to which the Security may be subject (including
without limitation such hazards as the Bank may specify), for the full insurable
value  thereof,  under  policies and with insurers acceptable to the Bank, which
policies shall provide for all losses to be payable to the Bank and for at least
30 days prior notice to the Bank of any intended cancellation or modification of
the  policy.  The  undersigned  will  deliver to the Bank on request policies or
certificates  of such insurance with evidence of payment of the premium thereon.
If  the  undersigned  fails to maintain said insurance, then, in addition to any
other  right  or  remedy  that  the  Bank  may  have  and  without  waiving  the
consequences of such default, the Bank may but need not obtain and maintain said
insurance,  at the expense of the undersigned, which expense shall be deemed one
of  the  Liabilities  and  shall  be  payable to the Bank on demand. The Bank is
irrevocably  authorized  to file claims and shall have the sole right to adjust,
settle  and collect claims under said insurance by such means, at such times, on
such  terms  and in the name of the Bank or the undersigned, as the Bank may see
fit  and  in  the  name and on behalf of the undersigned to execute releases and
endorse  checks  or  drafts payable in respect of any such insurance claims. All
sums  received  by  the  Bank from any such insurance may be held as part of the
Security  and/or  applied  as  hereinafter  provided.

     14.     The  Bank, at anytime, at its option, may apply all of any net cash
receipts  from  the  Security  (whether  received  on  a sale of the Security in
accordance  with paragraph 11 hereof, on collection in accordance with paragraph
5  hereof,  as  proceeds of insurance in accordance with paragraph 13 hereof, or
otherwise)  to the payment, in whole or in part, of principal of and/or interest
on  any  or all of the Liabilities, whether or not then due, allocating the same
                                    4

<PAGE>

as  it shall elect, making rebate of interest or discount to the extent required
by  law and so as not to make the rate of interest charged unlawful with respect
to  the undersigned. If any Liabilities shall be contingent, the Bank may retain
a  sufficient  amount  of  the  net cash receipts from the Security to cover the
largest  aggregate sum which may become due or owing thereunder with prospective
interest,  costs, expenses and attorneys' fees and shall not be charged with any
interest  with  respect  thereto.

     15.  Until  the  occurrence  of an Event of Default or notice from the Bank
terminating  or  limiting the right of the undersigned to do so, or, in the case
of  the  collection, compromise, or adjustment of accounts receivable, until the
Bank  takes any action pursuant to paragraph (5) (e) hereof, the undersigned may
sell  or  lease  in  the  ordinary  course  of  its  regular  business inventory
constituting  a  part  of  the  Security  and may collect, compromise and adjust
accounts  receivable  constituting  a part of the Security, all on such terms as
the  undersigned  may in good faith deem advisable in the ordinary course of its
regular  business,  and may retain all sums so collected. Except as permitted by
this  paragraph  15,  the  undersigned  may not sell, lease, assign or otherwise
dispose of any of the Security without the prior written consent of the Bank. In
addition,  the  undersigned  may  not  sell,  assign or otherwise dispose of any
shares  of  stock  or  other  securities  now owned or hereafter acquired by the
undersigned which are issued by the same issuer and are of the same class as any
shares  of  stock  or  other securities constituting a part of the Security. The
undersigned  shall  keep  all  of  the  Non-Possessory Security (as described in
Schedule A hereto) at the undersigned's premises listed in Schedule A hereto and
shall not remove any of the Non-Possessory Security therefrom without the Bank's
prior  written  consent.

     16.  In  any litigation or legal proceeding arising out of, or relating to,
this  agreement or any of the Liabilities or Security, in which the Bank and the
undersigned  shall  be  adverse  parties,  the  undersigned  waives the right to
interpose  any defense, set-off or counterclaim of any kind not directly arising
herefrom  or therefrom, as the case may be, and also waives the right to a trial
by  jury.  In  the event that the Bank brings any action or suit in any court of
record  of New York State or the Federal Government to enforce any or all of the
Liabilities  or  any  of  the Bank's rights hereunder, service of process may be
made upon the undersigned by mailing a copy of the summons to the undersigned at
its  chief  executive office set forth in Schedule A hereto, and the undersigned
hereby  irrevocably submits to the jurisdiction of any New York State or Federal
Court  located  in New York City over any action, suit or proceeding arising out
of  any  dispute  between  the  undersigned  and  the  Bank.

     17.  If  in  its sole discretion the Bank deems it desirable, it may remove
any  Security held by it from the place where it may now or hereafter be located
to  any  other  place  and  deal  with  it  there  as  herein  provided.

     18. Upon the occurrence of an Event of Default, and at any time thereafter,
the Bank shall have and may exercise, without further notice, a right of set-off
and/or  banker's  lien  against  and  in  respect of any of the Security then or
thereafter held by the Bank. Any right of set-off exercised by the Bank shall be
deemed  to  have  been  exercised  immediately  on the occurrence of an Event of
Default,  even  though  such set-off is made or entered on the books of the Bank
subsequent  thereto.

     19.  If  the  time  for  payment  of principal of or interest on any of the
Liabilities  or  any other money payable hereunder or with respect to any of the
Liabilities  is  extended  because said sum becomes due on a Saturday, Sunday or
public  holiday,  interest  shall  be  payable  for  such  extended  time.

     20.  The  Bank  shall  not  be deemed to have modified or waived any of its
rights  hereunder  or any terms or conditions hereof unless such modification or
waiver  is  in  writing  and signed by a duly authorized officer of the Bank. No
such  modification  or  waiver,  unless  so  expressly  stated  herein, shall be
effective  as  to  any  transaction  which occurs subsequent to the date of such
modification  or  waiver  nor  shall  it constitute a continuing modification or
waiver.  No  delay  on  the  part  of  the Bank in exercising any power or right
hereunder  shall  operate  as  a waiver thereof; nor shall any single or partial
exercise  of any power or right hereunder preclude any other or further exercise
thereof  or the exercise of any other power or right. All rights and remedies of
the  Bank  with respect to the Liabilities or Security, whether evidenced hereby
or  by  any  other instrument or paper, shall be cumulative and may be exercised
singularly  or  concurrently.

     21.     The  Bank  may assign and/or transfer to any assignee or transferee
of  any  of  the  Liabilities  any  or all of the Security and the Bank's rights
hereunder  with  respect  thereto,  and  thereafter  the  Bank  shall  be  fully
discharged  from  all  responsibility  with  respect to the Security so assigned
                                        5
<PAGE>
and/or  transferred.  Such  assignee  or transferee shall be vested with all the
powers  and  rights of the Bank hereunder with respect to such Security, but the
Bank  shall retain all rights and powers hereby given with respect to any of the
Security not so assigned or transferred. The undersigned will not assert against
any  assignee  or transferee of any of the liabilities any claims or defenses it
may  have  against  the  Bank.

     22.  The  undersigned  hereby  waives  presentment,  notice of dishonor and
protest  with  respect  to  all  instruments  included  in  or  evidencing  the
Liabilities  or  the Security and, except as specified herein, any and all other
notices  and  demands  whatsoever,  whether or not relating to such instruments.

     23.  The  undersigned  will  indemnify  and save the Bank harmless from and
against  all loss or damage to it and any claims and actions, whether groundless
or  otherwise, arising in connection with this agreement, the Liabilities or the
Security, and all costs and expenses (including attorneys' fees) incurred by the
Bank  in  respect  thereof.

     24.     If  any term, condition or provision of this agreement or any other
agreement  or document executed in connection herewith or in connection with any
of  the  Liabilities  or  Security is determined to be invalid or unenforceable,
such  determination shall not affect the validity or enforceability of any other
term,  condition  or  provision.

     25. Any demand upon or notice to the undersigned that the Bank may elect to
give  shall  be  effective  if  deposited in the mails addressed to or otherwise
delivered to the undersigned at its chief executive office or if the undersigned
has  notified  the Bank in writing by registered mail of a change of address, at
the  last  address  of  which  the  Bank has received notice, Demands or notices
addressed  or  otherwise  delivered to the address at which the Bank customarily
communicates  with  the  undersigned  shall  also  be  effective.

     26.     If  any  of the Security is or is to be attached to or installed or
located on real estate, the undersigned will upon demand furnish the Bank with a
disclaimer  signed  by all persons having an interest in said real estate of any
interest  prior  to  the  Bank's  interest  in  the  Security.

     27.     From  and  after maturity (whether by acceleration or otherwise) of
any  of the Liabilities, any unpaid balance remaining shall bear interest at the
higher  of 12% per annum or 3% in excess of the rate specified in the instrument
evidencing  the  Liability.  Anything  in this agreement or any other agreement,
instrument  or  document  to  the  contrary  notwithstanding,  in no event shall
interest on any Liability exceed the maximum rate permitted under any applicable
law  or  regulation,  and  if  any  provision  of  this  agreement  or any other
agreement,  instrument  or  document  is  in  contravention  of  any such law or
regulation,  such  provision  shall be deemed amended to provide for interest at
said  maximum  rate.

     28.  The  undersigned,  if  more  than  one, shall be jointly and severally
liable hereunder and all provisions hereof regarding the Liabilities or Security
shall  apply  to  any  Liability  or  any  Security  of any or all of them. This
agreement shall be binding upon the heirs, executors, administrators, successors
and  assigns  of  the undersigned and shall inure to the benefit of the Bank and
its  successors  and  assigns.  For  purposes of this agreement, the term "Bank"
shall  include  the  Bank  and  any  and  all  subsidiaries  of the Bank. If all
Liabilities  shall at any time be paid in full, this agreement shall nonetheless
remain  in  full  force  and  effect  with respect to any Liabilities thereafter
incurred.  If  the undersigned is a corporation, this agreement shall be binding
upon  any  other corporation into or with which the undersigned shall be merged,
consolidated,  reorganized or absorbed, or which shall acquire the undersigned's
business  or  substantially  all  of  its  assets.  If  the  undersigned  is  a
partnership,  the  members  thereof  shall also be individually bound and liable
hereunder  and this agreement shall continue in force notwithstanding any change
in or termination of such partnership, whether such change occurs through death,
retirement  or  otherwise.  Except  as otherwise provided herein, all terms used
herein which are defined in the Uniform Commercial Code of the State of New York
shall  have the meanings therein stated. If this agreement shall differ in terms
with  any  other agreement or obligation or the terms of any of the Liabilities,
that  which  gives  the  Bank  the  greater  right  shall  prevail.

                                        6
<PAGE>

     29.     If  any  of  the  Security  is  applied  on  account  of any of the
Liabilities,  the  undersigned  shall  not  have any right of subrogation to the
Bank's  right  in  any  other  Security  held  by  the  Bank with respect to the
Liabilities  or  any  right  of  contribution  from  the Bank by reason thereof.

     30.     The  Bank  is  authorized  to  correct  patent  errors herein. This
agreement  shall  take effect immediately upon execution by the undersigned, and
the  execution  hereof  by  the Bank shall not be required as a condition to the
effectiveness  of  this  agreement.

     31.  Notwithstanding  anything  to  the contrary contained herein, the term
"Security" as used herein shall be deemed to include any and all book-entry U.S.
Treasury  bills  and  other  book-entry  securities  purchased  on behalf of the
undersigned  and  maintained in an account at the Bank, which may have a related
account  at  a  bank  which  is  a  member  of  the  Federal Reserve System. The
undersigned authorizes the Bank to serve as its bailee and agent with respect to
the aforementioned book-entry Treasury bills and other book-entry securities and
to  take  such action and to execute and deliver such documents on behalf of the
undersigned  as  the  Bank  deems necessary or desirable in order to perfect the
Bank's  security  interest  therein.  The undersigned hereby gives notice to the
Bank,  in  the  Bank's  capacity  as  bailee  and  agent, of the Bank's security
interest  in  the  aforementioned book-entry Treasury bills and other book-entry
securities.

     32. This agreement shall be interpreted, and all the rights and obligations
arising  hereunder  or from any document relating hereto shall be determined, in
accordance  with  the  laws  of  the  State  of  New  York.

                                   SCHEDULE A

The  term "Security" shall, include the property of the undersigned in which the
Bank  has been, or shall hereafter be, granted a lien or security interest under
this  Security  Agreement.  Such property shall include, without limitation, all
of the undersigned's now owned or existing and hereafter arising or acquired (i)
equipment  and  goods  located  at  the  Hyatt  Regency  Hotel,  San  Francisco,
California,  used  or  intended  for  use  by  the undersigned in performing its
obligations  pursuant  to  the  "Hyatt  Agreement", (ii) all accounts (including
accounts receivable), contract rights and general intangibles of the undersigned
arising out of the Hyatt Agreement, or its performance by the undersigned, (iii)
all  instruments,  documents and chattel paper of the undersigned arising out of
the  Hyatt  Agreement,  or  its  performance,  and  (iv)  proceeds of all of the
foregoing.  "Hyatt  Agreement"  means  the  Installation and Outsource Operation
Agreement,  executed  by  the  undersigned  on  February  13,  2002, between the
undersigned  and  Hyatt  Corporation.

     The  undersigned  represents and warrants to the Bank that (a) the location
of  the undersigned's chief executive office is as set forth below, and (b) each
premises  where  any  non-possessory  Security  is located or owned as set forth
below.

     Chief  Executive  Office  -     Other  premises where Security is located -
     40  Wall  Street                Hyatt  Regency,  San  Francisco
     New  York,  New  York  10005    5  Embarcadero  Center
                                     San  Francisco,  California

New  York,  New  York

July  __  ,  2002
                              HOTEL  OUTSOURCE  SERVICES,  INC.

                              By:_____________________________
                                        Jack  Ronnel,  President
                                        7

<PAGE>

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