Document:

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                          INVESTORS' RIGHTS AGREEMENT

     This Investors' Rights Agreement is made as of the _day of March, 2000 by
and between SkyAuction.com, Inc., a Delaware corporation (the "Company"),
Michael N. Hering, Salvatore Esposito, Don Freno (collectively, the "Founders")
and the investors listed on Schedule A attached hereto (each an "Investor," and
collectively, the "Investors").

     WHEREAS, the Company and the Investors are parties to the Series A
Preferred Stock Purchase Agreement of even date herewith (the "Series A
Agreement");

     WHEREAS, in order to induce the Series A Investors to invest funds in the
Company pursuant to the Series A Agreement, the Investors and the Founders and
the Company hereby agree that this Agreement shall govern the rights of the
Investors to cause the Company to register shares of Common Stock issuable to
the Investors and certain other matters as set forth herein;

     NOW, THEREFORE, in consideration of the mutual promises and covenants set
forth herein, and for other good and valuable consideration, the receipt and
adequacy of which are hereby acknowledged, the parties hereto further agree as
follows:

     1. Registration Rights. The Company covenants and agrees as follows:

     1.1 Definitions. For purposes of this Section 1:

        (a) The term " Act" means the Securities Act of 1933, as amended.

        (b) The term "Form S-3" means such form under the Act as in effect on
the date hereof or any registration form under the Act subsequently adopted by
the SEC which permits inclusion or incorporation of substantial information by
reference to other documents filed by the Company with the SEC.

        (c) The term "Holder" means any person owning or having the right to
acquire Registrable Securities or any assignee thereof in accordance with
Subsection 1.11 hereof.

        (d) The term "1934 Act" shall mean the Securities Exchange Act of 1934,
 as amended.

        (e) The term "register," "registered," and "registration" refer to a
registration effected by preparing and filing a registration statement or
similar document in compliance with the Act, and the declaration or ordering of
effectiveness of such registration statement or document.

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     (f) The term "Registrable Securities" means: (i) the Common Stock issuable
or issued upon conversion of the Series A Preferred Stock and (ii) the Common
Stock held by the Founders, and any Common Stock issued as (or issuable upon the
conversion or exercise of any warrant, right or other security which is issued
as) a dividend or other distribution with respect to, or in exchange for or in
replacement of such shares, excluding in all cases, however, any Registrable
Securities sold by a person in a transaction in which his rights under this
Section 1 are not assigned.

     (g) The number of shares of "Registrable Securities then outstanding" shall
be determined by the number of shares of Common Stock then outstanding, and the
number of shares of Common Stock issuable pursuant to then exercisable or
convertible securities which are Registrable Securities.

     (h) The term "SEC" means the Securities and Exchange Commission.

     1.2 Piggyback Registration. If (but without any obligation to do so) the
Company proposes to register (including for this purpose a registration effected
by the Company for stockholders other than the Holders but not including any
registration of its securities in connection with mergers, acquisitions,
exchange offers, dividend reinvestment plans, retirement plans or stock option
or other employee benefit plans) any of its stock or other securities under the
Act in connection with the public offering; of such securities solely for cash
(other than a registration relating solely to the sale of securities to
participants in a Company stock option plan, a registration of the initial
public offering of the Common Stock of the Company ("IPO"), a registration on
any form which does not include substantially the same information as would be
required to be included in a registration statement covering the sale of the
Registrable Securities or a registration in which the only Common Stock being
registered is Common Stock issuable upon conversion of debt securities which are
also being registered), the Company shall, at such time, promptly give each
Holder written notice of such registration. Upon the written request of each
Holder given within twenty (20) days after mailing of such notice by the Company
in accordance with Subsection 2.5, the Company shall, subject to the provisions
of Subsection 1.6, cause to be registered under the Act all of the Registrable
Securities that each such Holder has requested to be registered.

1.3 Investors' Demand Registration.

     (a) At any time after the Company has successfully completed an IPO, the
Holders of at least 33,333 Series A Preferred Stock (the "Requisite Shares")
shall have the right to make up to three separate requests (except with respect
to registrations pursuant to Form S-3, if available, as to which the Holders may
make unlimited registration requests so long as such registrations include the
offering to the public of securities with an aggregate value of no less than
$500,000) that the Company effect the registration under the Securities Act of
all or a portion of the Registrable Securities owned by such Holders, each such
request to specify the intended method or methods of

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disposition thereof (which, following the exercise of at least one demand
hereunder, may include disposition in a Rule 415 Offering), provided that the
Company shall not be required to effect more than one registration pursuant to
this Subsection 1.3 in any 12- month period (or, as to S-3 registrations, more
than two in any 12-month period). A request made by Holders of Requisite Shares
shall not be counted for purposes of the request limitations set forth above if
(a) such Holders determine in their good faith judgment to withdraw the proposed
registration of any Registrable Securities requested to be registration pursuant
to this Subsection 1.3 due to marketing or regulatory reasons and such Holders
have elected to bear all the expenses of such withdrawn registration, (b) the
registration statement relating to any such request is not declared effective
within 90 days of the date such registration statement is first filed with the
SEC, (c) within 180 days after the registration relating to any such request has
become effective, such registration is interfered with by any stop order,
injunction or other order or requirement of the Commission or other governmental
agency or court for any reason and the Company fails to have such stop order,
injunction or other order or requirement removed, withdrawn or resolved to such
Holders' reasonable satisfaction within 30 days, (d) more than 50% of the
Registrable Securities requested by all Holders participating in such
registration to be included in the registration are not so included pursuant to
Subsection 1.3(d) hereof; or (e) the conditions to closing specified in the
underwriting agreement or purchase agreement entered into in connection with
the registration relating to any such request are not satisfied (other than as a
result of a default or breach thereunder by all Holders participating in such
registration). Upon any such request, the Company will promptly, but in any
event within 15 days, give written notice of such request to all Holders and
thereupon the Company will, subject to such Subsection 1.3(d), use its best
efforts to effect the prompt registration under the Securities Act of:

     (i) the Registrable Securities which the Company has been so requested to
register by such Holders, and

     (ii) all other Registrable Securities which the Company has been requested
to register by the Holders thereof by written request given to the Company by
such Holders within 20 days after the giving of such written notice by the
Company to such Holders,

all to the extent required to permit the disposition of the Registrable
Securities so to be registered in accordance with the intended method or methods
of disposition of each seller of such Registrable Securities.

     (b) Notwithstanding the foregoing, but subject to the rights of Holders of
Registrable Securities under Subsection 1.2 hereof, if the Company shall at any
time furnish to each seller of Registrable Securities a certificate signed by
the President of the Company stating that the Company has pending or in process
a material transaction (including a financing transaction), or that as the
result of the unavailability for a reason beyond the Company's control of its
financial statements or the filing of such registration statement would, in the
good faith judgment of the Board, be significantly disadvantageous to the
Company, the Company may defer the filing of a registration

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statement to be filed pursuant to this Subsection 1.3 for up to 90 days (but
the Company shall use its best efforts to complete the transaction and file the
registration statement as soon as possible) provided that the Company shall not
be permitted to defer the filing of registration statements pursuant to this
clause (b ) more than once in any 180 day period.

     (c) The Company will pay registration expenses in connection with any
registration requested under this Subsection 1.3 as described in Section 1.6
herein; provided that each seller of Registrable Securities shall pay all
registration Expenses to the extent required to be paid by such seller under
applicable law.

     (d) If a registration pursuant to this Subsection 1.3 involves an
underwritten offering, and the managing underwriter (or, in the case of an
offering which is not underwritten, a nationally recognized investment banking
firm) shall advise the Company in writing (with a copy to each Person requesting
registration of Registrable Securities) that, in its opinion, the number of
securities requested and otherwise proposed to be included in such registration
exceeds the number which can be sold in such offering without materially and
adversely affecting the offering price, the Company will include in such
registration to the extent of the number which the Company is so advised can be
sold in such offering without such material adverse effect, first, the
Registrable Securities of the Investors, on a pro rata basis (based on the
number of shares of Registrable Securities owned by such Person), second, the
securities, if any, being sold by the Company and third, the securities, if any,
being sold by any other stockholders of the Company on a pro rata basis (based
on the number of shares of registrable securities owned by such other
stockholders).

     (e) Subject to the provisions of Section 1.3(b) herein, after receipt of
notice of a requested registration pursuant to this Subsection 1.3, the Company
shall not initiate, without the consent of the requesting Investor(s), a
registration of any of its securities for its own account until 90 days after
such requested registration has been effected or such requested registration has
been terminated.

     1.4 Obligations of the Company. Whenever required under this Section 1 to
effect the registration of any Registrable Securities, the Company shall, as
expeditiously as reasonably possible:

             (a) Prepare and file with the SEC a registration statement with
respect to such Registrable Securities and use its best efforts to cause such
registration statement to become effective, and, upon the request of the Holders
of a majority of the Registrable Securities registered thereunder, keep such
registration statement effective for a period of ninety (90) days or until the
distribution contemplated in the registration Statement has been completed;
provided, however, that (i) such ninety (90) day period shall be extended for a
period of time equal to the period the Holder refrains from selling any
securities included in such registration at the request of an underwriter of
Common Stock (or other securities) of the Company; and (ii) in the case of any
registration of Registrable Securities on Form S-3 which are intended to be
offered on a continuous or delayed basis,

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such ninety (90) day period shall be extended, if necessary, to keep the
registration statement effective until all such Registrable Securities are sold,
provided that Rule 415, or any successor rule under the Act, permits an offering
on a continuous or delayed basis, and provided further that applicable rules
under the Act governing the obligation to file a post-effective amendment
permit, in lieu of filing a post-effective amendment which (I) includes any
prospectus required by Section 10(a)(3) of the Act or (II) reflects facts or
events representing a material or fundamental change in the information set
forth in the registration statement, the incorporation by reference of
information required to be included in (I) and (II) above to be contained in
periodic reports filed pursuant to Section 13 or 15( d) of the 1934 Act in the
registration statement.

     (b ) Prepare and file with the SEC such amendments and supplements to such
registration statement and the prospectus used in connection with such
registration statement as may be necessary to comply with the provisions of the
Act with respect to the disposition of all securities covered by such
registration statement.

     (c) Furnish to the Holders such numbers of copies of a prospectus,
including a preliminary prospectus, in conformity with the requirements of the
Act, and such other documents as they may reasonably request in order to
facilitate the disposition of Registrable Securities owned by them.

     (d) Use its best efforts to register and qualify the securities covered by
such registration statement under such other securities or Blue Sky laws of such
jurisdictions as shall be reasonably requested by the Holders; provided that the
Company shall not be required in connection therewith or as a condition thereto
to qualify to do business or to file a general consent to service of process in
any such states or jurisdictions, unless the Company is already subject to
service in such jurisdiction and except as may be required by the Act.

     (e) In the event of any underwritten public offering, enter into and
perform its obligations under an underwriting agreement, in usual and customary
form, with the managing underwriter of such offering. Each Holder participating
in such underwriting also shall enter into and perform its obligations under
such an agreement.

     (f) Notify each Holder of Registrable Securities covered by such
registration statement at any time when a prospectus relating thereto is
required to be delivered under the Act of the happening of any event as a result
of which the prospectus included in such registration statement, as then in
effect, includes an untrue statement of a material fact or omits to state a
material fact required to be stated therein or necessary to make the statements
therein not misleading in the light of the circumstances then existing.

     (g) Cause all such Registrable Securities registered pursuant hereunder to
be listed on each securities exchange on which similar securities issued by the
Company are then listed.

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     (h) When appropriate, provide a transfer agent and registrar for all
Registrable Securities registered pursuant hereunder and a CUSIP number for all
such Registrable Securities, in each case not later than the effective date of
such registration.

     (i) Furnish, at the request of any Holder requesting registration of
Registrable Securities pursuant to this Section 1, on the date that such
Registrable Securities are delivered to the underwriters for sale in connection
with a registration pursuant to this Section 1, if such securities are being
sold through underwriters, or, if such securities are not being sold through
underwriters, on the date that the registration statement with respect to such
securities becomes effective, (i) an opinion, dated such date, of counsel
representing the Company for the purposes of such registration, in form and
substance as is customarily given to underwriters in an underwritten public
offering, addressed to the underwriters, if any, and to the Holders requesting
registration of Registrable Securities and (ii) a letter dated such date, from
the independent certified public accountants of the Company, in form and
substance as is customarily given by independent certified public accountants to
underwriters in an underwritten public offering, addressed to the underwriters,
if any, and to the Holders requesting registration of Registrable Securities.

     1.5 Furnish Information. It shall be a condition precedent to the
obligations of the Company to take any action pursuant to this Section 1 with
respect to the Registrable Securities of any selling Holder that such Holder
shall furnish to the Company such information regarding itself, the Registrable
Securities held by it, and the intended method of disposition of such securities
as shall be required to effect the registration of such Holder's Registrable
Securities. .

     1.6 Expenses of Company Registration. The Company shall bear and pay all
out-of-pocket expenses incurred in connection with any registration, filing or
qualification of Registrable Securities with respect to the registrations
pursuant to this Section I for each Holder (which right may be assigned as
provided in Subsection 1.11 ), including (without limitation) all registration,
filing, and qualification fees, printers and accounting fees relating or
apportionable thereto and the reasonable fees and disbursements of one counsel
for the selling Holders selected by them, but excluding underwriting discounts
and commissions and transfer taxes relating to Registrable Securities.

     1. 7 Underwriting Requirements. In connection with any offering under
Subsection 1.2 involving an underwriting of shares of the Company's capital
stock, the Company shall not be required to include any of the Holders'
securities in such underwriting unless they accept the terms of the underwriting
as agreed upon between the Company and the underwriters selected by it, and then
only in such quantity as the underwriters determine in their sole discretion
will not jeopardize the success of the offering by the Company. If the total
amount of securities, including Registrable Securities, requested by Holders to
be included in such offering exceeds the amount of securities sold other than by
the Company that the underwriters determine in their sole

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discretion is compatible with the success of the offering, then the Company
shall be required to include in the offering only that number of such
securities, including Registrable Securities, which the underwriters determine
in their sole discretion will not jeopardize the success of the offering (the
securities so included to be apportioned pro rata among the Holders and any
other selling stockholders according to the total amount of securities entitled
to be included therein owned by each selling stockholder or in such other
proportions as shall mutually be agreed to by the selling stockholders). For
purposes of the preceding parenthetical concerning apportionment, for any
selling stockholder which is a holder of Registrable Securities and which is a
partnership or corporation, the partners, retired partners and stockholders of
such holder, or the estates and family members of any such partners and retired
partners and any trusts for the benefit of any of the foregoing persons shall be
deemed to be a single "selling stockholder," and any pro-rata reduction with
respect to such "selling stockholder" shall be based upon the aggregate amount
of shares carrying registration rights owned by all entities and individuals
included in such "selling stockholder," as defined in this sentence.

     1.8 Delay of Registration. No Holder shall have any right to obtain or seek
an injunction restraining or otherwise delaying any such registration as the
result of any controversy that might arise with respect to the interpretation or
implementation of this Section 1.

     1.9 Indemnification. In the event any Registrable Securities are included
in a registration statement under this Section 1:

             (a) To the extent permitted by law, the Company will indemnify and
hold harmless each Holder, any underwriter (as defined in the Act) for such
Holder and each person, if any, who controls such Holder or underwriter within
the meaning of the Act or the 1934 Act, against any losses, claims, damages, or
liabilities joint or several to which they may become subject under the Act, or
the 1934 Act or other federal or state law, insofar as such losses, claims,
damages, or liabilities (or actions in respect thereof) arise out of or are
based upon any of the following statements, omissions or violations
(collectively a "Violation"): (i) any untrue statement or alleged untrue
statement of a material fact contained in such registration statement, including
any preliminary prospectus or final prospectus contained therein or any
amendments or supplements thereto, (ii) the omission or alleged omission to
state therein a material fact required to be stated therein, or necessary to
make the statements therein not misleading, or (iii) any violation or alleged
violation by the Company of the Act, the 1934 Act, any state securities law or
any rule or regulation promulgated under the Act, the 1934 Act or any state
securities law; and the Company will pay to each such Holder, underwriter or
controlling person, any legal or other expenses reasonably incurred by them in
connection with investigating or defending any such loss, claim, damage,
liability, or action; provided, however, that the indemnity agreement contained
in this Subsection 1.9(a) shall not apply to amounts paid in settlement of any
such loss, claim, damage, liability, or action if such settlement is effected
without the consent of the Company (which consent shall not be unreasonably
withheld), nor shall the Company be liable in any such case for any such

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loss, claim, damage, liability, or action to the extent that it arises out of or
is based upon a Violation which occurs in reliance upon and in conformity with
written information furnished expressly for use in connection with such
registration by any such Holder, underwriter or controlling person.

             (b) To the extent permitted by law, each selling Holder will
indemnify and hold harmless the Company, each of its directors, each of its
officers who has signed the registration statement, each person, if any, who
controls the Company within the meaning of the Act, any underwriter, any other
Holder selling securities in such registration statement and any controlling
person of any such underwriter or other Holder, against any losses, claims,
damages, or liabilities (joint or several) to which any of the foregoing persons
may become subject, under the Act, the 1934 Act or other federal or state law,
insofar as such losses, claims, damages, or liabilities (or actions in respect
thereto) arise out of or are based upon any Violation, in each case to the
extent (and only to the extent) that such Violation occurs in reliance upon and
in conformity with written information furnished by such Holder expressly for
use in connection with such registration; and each such Holder will pay, as
incurred, any legal or other expenses reasonably incurred by any person intended
to be indemnified pursuant to this Subsection 1.9(b), in connection with
investigating or defending any such loss, claim, damage, liability, or action;
provided, however, that the indemnity agreement contained in this Subsection
1.9(b) shall not apply to amounts paid in settlement of any such loss, claim,
damage, liability or action if such settlement is effected without the consent
of the Holder, which consent shall not be unreasonably withheld; provided, that,
in no event shall any indemnity under this Subsection 1.9(b) exceed the gross
proceeds from the offering received by such Holder.

     (c) Promptly after receipt by an indemnified party under this Subsection
1.9 of notice of the commencement of any action (including any governmental
action), such indemnified party will, if a claim in respect thereof is to be
made against any indemnifying party under this Subsection 1.9, deliver to the
indemnifying party a written notice of the commencement thereof and the
indemnifying party shall have the right to participate in, and, to the extent
the indemnifying party so desires, jointly with any other indemnifying party
similarly noticed, to assume the defense thereof with counsel mutually
satisfactory to the parties; provided, however, that an indemnified party
(together with all other indemnified parties which may be represented without
conflict by one counsel) shall have the right to retain one separate counsel,
with the fees and expenses to be paid by the indemnifying party, if
representation of such indemnified party by the counsel retained by the
indemnifying party would be inappropriate due to actual or potential differing
interests between such indemnified party and any other party represented by such
counsel in such proceeding. The failure to deliver written notice to the
indemnifying party within a reasonable time of the commencement of any such
action shall not, except to the extent of any actual prejudice caused thereby,
relieve such indemnifying party of any liability to the indemnified party under
this Subsection 1.9.

     (d) If the indemnification provided for in this Subsection 1.9 is held by

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a court of competent jurisdiction to be unavailable to an indemnified party with
respect to any loss, liability, claim, damage, or expense referred to therein,
then the indemnifying party, in lieu of indemnifying such indemnified party
hereunder, shall contribute to the amount paid or payable by such indemnified
party as a result of such loss, liability, claim, damage, or expense in such
proportion as is appropriate to reflect the relative benefits (which shall be
deemed to be in the same proportions as the proceeds of the offering received by
each party, after deducting all expenses incurred) and fault of the indemnifying
party on the one hand and of the indemnified party on the other in connection
with the statements or omissions that resulted in such loss, liability, claim,
damage, or expense as well as any other relevant equitable considerations. The
relative fault of the indemnifying party and of the indemnified party shall be
determined by reference to, among other things, whether the untrue or allege
untrue statement of a material fact or the omission to state a material fact
relates to information supplied by the indemnifying party or by the indemnified
party and the parties' relative intent, knowledge, access to information, and
opportunity to correct or prevent such statement or omission.

             (e) Notwithstanding the foregoing, to the extent that the
provisions on indemnification and contribution contained in the underwriting
agreement entered into in connection with the underwritten public offering are
in conflict with the foregoing provisions, the provisions in the underwriting
agreement shall control.

             (f) The obligations of the Company and Holders under this
Subsection 1.9 shall survive the completion of any offering of Registrable
Securities in a registration statement under this Section I, and otherwise.

     1.10 Reports Under Securities Exchange Act of 1934. With a view to making
available to the Holders the benefits of Rule 144 promulgated under the Act and
any other rule or regulation of the SEC that may at any time permit a Holder to
sell securities of the Company to the public without registration or pursuant to
a registration on Form S-3, the Company agrees to:

             (a) make and keep public information available, as those terms are
understood and defined in SEC Rule 144, at all times after ninety (90) days
after the effective date of the first registration statement filed by the
Company for the offering of its securities to the general public;

             (b) take such action, including the voluntary registration of its
Common Stock under Section 12 of the 1934 Act, as is necessary to enable the
Holders to utilize Form S-3 for the sale of their Registrable Securities, such
action to be taken as soon as practicable after the end of the fiscal year in
which the first registration statement filed by the Company for the offering of
its securities to the general public is declared effective;

             (c) file with the SEC in a timely manner all reports and other
documents required of the Company under the Act and the 1934 Act; and

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             (d) furnish to any Holder, so long as the Holder owns any
Registrable Securities, forthwith upon request (i) a written statement by the
Company that it has complied with the reporting requirements of SEC Rule 144 (at
any time after ninety (90) days after the effective date of the first
registration statement filed by the Company), the Act and the 1934 Act (at any
time after it has become subject to such reporting requirements), or that it
qualifies as a registrant whose securities may be resold pursuant to Form S-3
(at any time after it so qualifies), (ii) a copy of the most recent annual or
quarterly report of the Company and such other reports and documents so filed by
the Company, and (iii) such other information as may be reasonably requested in
availing any Holder of any rule or regulation of the SEC which permits the
selling of any such securities without registration or pursuant to such form.

     1.11 Assignment of Registration Rights. The rights to cause the Company to
register Registrable Securities pursuant to this Section I shall be deemed to
have been assigned to, and shall inure to the benefit of, any transferee of
Registrable Securities pursuant to a transfer of such securities permitted under
the Stockholders' agreement dated as of the date hereof by and among certain
parties to this Agreement.

     1.12 Market Stand-Off Agreement. Each Investor hereby agrees that, during
the period of duration specified by the Company and an underwriter of common
stock or other securities of the Company, following the effective date of a
registration statement of the Company filed under the Act, it shall not, to the
extent requested by the Company and such underwriter, directly or indirectly
sell, offer to sell, contract to sell (including, without limitation, any short
sale), grant any option to purchase or otherwise transfer or dispose of (other
than to donees who agree to be similarly bound) any securities of the Company
held by it at any time during such period except common stock included in such
registration; provided, however, that:

             (a) all officers and directors of the Company and all other persons
with registration rights (whether or not pursuant to this Agreement) enter into
similar agreements; and

             (b) such market stand-off time period shall not exceed one hundred
eighty (180) days.

In order to enforce the foregoing covenant, the Company may impose stop-transfer
instructions with respect to the Registrable Securities of the Investor (and the
shares or securities of every other person subject to the foregoing restriction)
until the end of such period.

Notwithstanding the foregoing, the obligations described in this Subsection 1.12
shall not apply to a registration relating solely to employee benefit plans on
Form S-8 or similar forms which may be promulgated in the future, or a
registration relating solely to an SEC Rule 145 transaction on Form S-4 or
similar forms which may be promulgated in the future.

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     1.13. Termination of Registration Rights. No Holder shall be entitled to
exercise any right provided for in this Section 1 after the first to occur of
(a) the fourth anniversary of the consummation of the Company's IPO or (b) the
point in time at which all shares of Registrable Securities held or entitled to
be held upon conversion by such Holder may immediately be sold under Rule 144
during any ninety (90)-day period.

     1.14 Prior Rights. No other Stockholder of the Company shall be granted
demand or piggyback registration rights superior to those of the Holders without
the prior written consent of the Holders of at least 70% of the Registrable
Securities.

     2. Miscellaneous.

     2.1 Successors and Assigns. Except as otherwise provided herein, the terms
and conditions of this Agreement shall inure to the benefit of and be binding
upon the respective successors and assigns of the parties (including transferees
of any shares of Registrable Securities). Nothing in this Agreement, express or
implied, is intended to confer upon any party other than the parties hereto or
their respective successors and assigns any rights, remedies, obligations, or
liabi1ities under or by reason of this Agreement, except as expressly provided
in this Agreement.

     2.2 Governing Law. This Agreement shall be governed by and construed under
the laws of the State of New York.

     2.3 Counterparts. This Agreement may be executed in two or more
counterparts, each of which shall be deemed an original, but all of which
together shall constitute one and the same instrument.

     2.4 Titles and Subtitles. The titles and subtitles used in this Agreement
are used for convenience only and are not to be considered in construing or
inteI1Jreting this Agreement.

     2.5 Notices. All notices and other communications provided for hereunder
shall, unless otherwise stated herein, be in writing (including by telex or
facsimile transmission) and mailed or sent or delivered at the
addresses specified below. All such notices and communications shall be given by
hand, telex or facsimile transmission; provided that, in the event that telex
and facsimile transmission facsimiles are not operational, such notices and
communications may be given by mail, but the sender shall use reasonable efforts
to continue facsimile transmission facilities shall become operational. All such
notices and communications shall be effective when delivered by hand, or, in the
case of mail, upon the earlier of receipt and continuation by telex or facsimile
transmission as provided below, or, in the case of facsimile transmission, when
sent as addressed as set forth herein and continuation of delivery is received,
or, in the case of telex, when the telex is sent and the appropriate answer back
is received. The

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address for each of the Investors is as set forth on the signature blocks below.
The address for the Company is as follows.

Sky Auction.com, Inc.
501 Madison Avenue 141h Floor
New York, NY 10022
Telecopy No.: (212) 486-9751
Attention: Michael N. Hering

with copies to:

Proskauer Rose LLP
1585 Broadway
New York, NY 10036-8299
Telecopy No.: (212) 969-2900
Attention: Jeffrey A. Horwitz, Esq.

Copies of all notices to Baring shall be delivered to:

Tannenbaum Helpern Syracuse & Hirschtritt LLP
900 Third Avenue
New York, NY 10022
Telecopy No.: (212) 371-1084
Attention:     Arthur Lowenstein,o Esq.

     2.6 Expenses. If any action at law or in equity is necessary to enforce or
interpret the terms of this Agreement, the prevailing party shall be entitled to
reasonable attorneys' fees, costs and necessary disbursements in addition to any
other relief to which such party may be entitled.

     2. 7 Amendments and Waivers. This Agreement constitutes the full and entire
understanding and agreement between the parties with regard to the subjects
hereof and thereof. Any term of this Agreement may be amended and the observance
of any term of this Agreement may be waived (either generally or in a particular
instance and either retroactively or prospectively), only with the written
consent of the Company and the holders of a majority of the Registrable
Securities then outstanding. Any amendment or waiver effected in accordance with
this paragraph shall be binding upon each holder of any Registrable Securities
then outstanding, each future holder of all such Registrable Securities, and the
Company.

     2.8 Severability. If one or more provisions of this Agreement are held to
be unenforceable under applicable law, such provision shall be excluded from
this

                                       12

<PAGE>

Agreement and the balance of the Agreement shall be interpreted as if such
provision were so excluded and shall be enforceable in accordance with its
terms.

     2.9 Aggregation of Stock. All shares of Registrable Securities held or
acquired by affiliated entitled or persons shall be aggregated together for the
purpose of determining the availability of any rights under this Agreement.

                  [Remainder of Page Intentionally Left Blank]

                                       13

<PAGE>

     IN WITNESS WHEREOF t the parties have executed this Agreement as of the
date first above written

                             SKY AUCTION.COM. INC.

                             By: /s/ Michael N. Hering
                                ------------------------------
                                  Its:

                        Address:
                                ------------------------------

                                ------------------------------

                             INVESTORS:

                             BARING LATIN AMERICA PRIVATE EQUITY
                             FUND. L.P.

                             By: Baring Latin America Partners. LLC,
                                 its General Partner

                                        By:  /s/ Varel D. Freeman
                                           ------------------------------
                                           Varel D. Freeman, Managing Member

                                Address: 230 Park Avenue
                                         New York. New York 10169

                                Barlng Asia Private Equity Investment XIX Limit

                                        By: /s/ Connie Helyar
                                           ------------------------------
                                                Connie Helyar, Director

                                Address: P.O. Box 431
                                         1315 Victoria Road
                                         St. Peter Port
                                         Guemsey Channel Islands
                                         GYI 32D, United .Kingdom

                                   Name:
                                        ---------------------------------
                                Address:
                                        ---------------------------------

                                        ---------------------------------

                                        ---------------------------------

                                       14

<PAGE>

                                          /s/ Michael N. Hering
                                        ---------------------------------
                                   Name: Michael N. Hering
                                Address: c/o SkyAuction.com, Inc.
                                         501 Madison Avenue
                                         New York, NY 10022
                                    Fax: (212) 486-9751

                                          /s/ Salvatore Esposito Jr.
                                        ---------------------------------
                                   Name: Salvatore Esposito Jr.
                                Address: c/o SkyAuction.com, Inc.
                                         501 Madison Avenue
                                         New York, NY 10022
                                         Fax:(212) 486-9751

                                          /s/ Don Freno
                                        ---------------------------------
                                   Name: Don Freno
                                Address: c/o SkyAuction.com, Inc.
                                         501 Madison Avenue
                                         NewYork ,NY 10022
                                    Fax: (212) 486-9751

<PAGE>

        Exhibit 2.9             Proprietary Information and Inventions Agreement

                                       30

<PAGE>

                                                               February   , 2000
                                                                        --

SkyAuction.com. Inc.
501 Madison Ave., 14th floor
New York, NY 10022

This letter is executed in connection with a contemplated business relationship
{the "Business Relationship") between me and SkyAuction.com, Inc. (the
"Company") concerning              and the disclosure by the Company to me of
certain Confidential Information {as defined below).

I hereby represent to the Company that I am not prohibited or restricted from
entering into the Business Relationship and being a consultant/contractor to the
Company by any prior or exist1ng agreement or arrangement with a third party, or
any judgment or decree arising therefrom.

As consideration for the Company disclosing to me the Confidential Information
and negotiating the Business Relationship, I hereby agree as follows:

1.   I shall not, at any time as of the date hereof and prior to during and
     after the termination of the Business Relationship and whether or not the
     Business Relationship shall materialize, reproduce or use for my own
     purposes or disclose to any other person, directly or indirectly, for any
     reason or purpose other than in furtherance of the Company's business and
     for the purposes such Confidential Information was disclosed to me, any
     Confidential Information, or any portion thereof, without the Company's
     express prior written consent. For the purposes of this letter,
     "Confidential information" shall mean all information that is confidential
     and proprietary to the Company, whether in written form or otherwise,
     including, among other things, the Intellectual Property: information
     relating to the Company's business policies, methods and practices;
     information concerning the Company's development. ownership and use of
     computer programs; the names of, and terms of dealing with, past, present
     and prospective customers or vendors; financial information, budgets,
     projections, product plans and pricing; sales records, forms. and call
     records; information contained in the Company's database; information
     regarding the Company's marketing, promotional and sales programs:
     information relating to the Company's other business strategies and
     techniques: personnel information, including organizational structure,
     salary and qualifications of employees; information regarding proposed
     products or other business plans; and any and all other data and
     information that the Company treats as or otherwise considers confidential
     or proprietary.

2.   At any time as of the date hereof and prior to, during and after the
     termination of the Business Relationship and whether or not the Business
     Relationship shall materialize, I will not remove from the Company's
     premises any documents, records, files. notebooks. reports, video or audio
     recordings. computer printouts, programs or software, price lists.
     microfilm, drawings, customer lists. or other such documents containing
     Confidential Information. including copies thereof, whether prepared by me
     or by others. except as my duty shall require, and in such cases. will
     promptly return such items to the Company. I shall promptly return to the
     Company all such items. including summaries or copies, then in my

<PAGE>

     possession, at any time upon the Company's request and in any event
     immediately upon termination of my employment with the Company.

3.   In the event that during or as a result of the Business Relationship I
     shall develop, discover or otherwise acquire any rights to any Intellectual
     Property) (as defined below), to sell, transfer, and assign to the Company
     any and all of my present and future right, title, and interest in and to
     any and all Intellectual Property, whether developed prior to. during or
     subsequent to the termination of the Business Relationship, during working
     hours or otherwise, which (i) relates to the business, operations or
     affairs of the Company: or (ii) is based upon or developed with any
     materials or facilities or information belonging to the Company, and that
     any such Intellectual Property shall be the sole and exclusive property of
     the Company. I further agree that any and all such Intellectual Property
     eligible under copyright laws is or shall be "work made for hire." I will
     promptly disclose to the Company any such Intellectual Property that I may
     develop or discover in the future and, at the request of and without charge
     to the Company, I will do all things deemed by the Company to be necessary
     to perfect title to such Intellectual Property in the Company and to assist
     it in obtaining for the Company such patents, copyrights or other
     protection as may be provided under law and desired by the Company,
     including but not limited to executing and signing any and all relevant
     applications, assignments, or other instruments. For the purposes of this
     letter the term "Intellectual Property" shall mean any and all patents or
     patentable materials, copyrights or copyrightable materials, trade-
     secrets, trade marks, trade dress, trade styles, know how, innovations,
     creations, designs, business plans, inventions, ideas, disclosures,
     improvements, source and object code, documentation, specifications and any
     derivative works based thereon, In each case, whether or not registered
     and whether or not registerable.

     I recognize that any Intellectual Property described in the preceding
     paragraph that is developed or discovered by me within six months of the
     termination of the Business Relationship is likely to have been developed
     or discovered in the course of the Business Relationship, Accordingly, I
     agree that any and all such Intellectual Property shall be presumed to have
     been developed or discovered In the course of the Business Relationship
     with the Company unless and until I establish the contrary by clear and
     convincing evidence.

                                        Very truly yours,

                                        ---------------------------

<PAGE>

                       Exhibit 2.14 Financial Statements

                                       31

<PAGE>

SKYAUCTION.COM, INC.                                                    PAGE: 1
TRIAL BALANCE AS OF FEB 24, 2000 20:33:52
COMPANY CODE: 4  FOR PERIOD 01/01/99 TO 12/31/99

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

1100100  - CASH - SKY ACCT -STERLING            -93333.58       BEG:       0.00
                                                                END:  -93333.58

--------------------------------------------------------------------------------

1100308  - CASH - PAYROLL A/C - SKYAUC             315.02       BEG:       0.00
                                                                END:     315.02

--------------------------------------------------------------------------------

1100618  - CASH - CHASE ACCOUNT - SKY              300.00       BEG:       0.00
                                                                END:     300.00

--------------------------------------------------------------------------------

1100618  - CASH - CHASE - VISTA - SKY          1405251.87       BEG:       0.00
                                                                END: 1405251.87

--------------------------------------------------------------------------------

1100908  - TRANSFER ACCOUNT - SKY                    0.00       BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

1102608  - ACCOUNTS RECEIVABLE: SKY              29932.15       BEG:       0.00
                                                                END:   29932.15

--------------------------------------------------------------------------------

1102708  - DEPOSITS RECEIVABLE: SKY              13834.29       BEG:       0.00
                                                                END:   13834.29

--------------------------------------------------------------------------------

1102718  - LAND ON HAND - RCI REGULAR           133838.00       BEG:       0.00
                                                                END:  133838.00

--------------------------------------------------------------------------------

1102728  - LAND ON HAND - RCI LUXURY            100000.00       BEG:       0.00
                                                                END:  100000.00

--------------------------------------------------------------------------------

1103008  - BAD DEBT: SKY                             0.00       BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

1104008  - COMMISSIONS RECIEVABLE: SKY               0.00       BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

1104208  - ACCOUNTS RECIEVABLE: SKYAUC            9274.31       BEG:       0.00
                                                                END:    9274.31

--------------------------------------------------------------------------------

1106008  - LOANS AND EXCHANGES: SKY               1901.68       BEG:       0.00
                                                                END:    1901.68

--------------------------------------------------------------------------------

11075081 - PREPAID TICKETS: SKY-JAN                  0.00       BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

11075082 - PREPAID TICKETS: SKY-FEB                  0.00       BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

11075083 - PREPAID TICKETS: SKY-MAR                  0.00       BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

11075084 - PREPAID TICKETS: SKY-APR                  0.00       BEG:       0.00
                                                                END:       0.00

<PAGE>

SKYAUCTION.COM, INC.                                                    PAGE: 2
TRIAL BALANCE AS OF FEB 24, 2000 20:34:44
COMPANY CODE: 4  FOR PERIOD 01/01/99 TO 12/31/99

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

11075085 - PREPAID TICKETS: SKY-MAY                 0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

11075086 - PREPAID TICKETS: SKY-JUN                 0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

11075087 - PREPAID TICKETS: SKY-JUL                 0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

11075088 - PREPAID TICKETS: SKY-AUG                 0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

11075089 - PREPAID TICKETS: SKY-SEP                 0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

1107508A - PREPAID TICKETS: SKY-OCT                 0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

1107508B - PREPAID TICKETS: SKY-NOV                 0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

1107508C - PREPAID TICKETS: SKY-DEC                 0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

1107508F - PREPAID TICKETS: SKY-FUT            -61642.84        BEG:       0.00
                                                                END:  -61642.84

--------------------------------------------------------------------------------

1107808  - PREPAID EXPENSES: SKYAUC             11496.05        BEG:       0.00
                                                                END:   11496.05

--------------------------------------------------------------------------------

1110008  - CREDIT CARD SALES - ARC: SKY             0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

1121008  - DEFERRED BARTER COSTS: SKYAU         12462.43        BEG:       0.00
                                                                END:   12462.43

--------------------------------------------------------------------------------

1217208  - FURNISHINGS: SKY                     12432.51        BEG:       0.00
                                                                END:   12432.51

--------------------------------------------------------------------------------

1217308  - ACCUM DEPRECIATION-FURN: SKY          -686.00        BEG:       0.00
                                                                END:    -686.00

--------------------------------------------------------------------------------

1217408  - COMPUTERS: SKY                       28770.64        BEG:       0.00
                                                                END:   28770.64

--------------------------------------------------------------------------------

1217508  - ACCUM DEPRECIATION-COMP: SKY         -2537.00        BEG:       0.00
                                                                END:   -2537.00

--------------------------------------------------------------------------------

<PAGE>

SKYAUCTION.COM, INC.                                                    PAGE: 3
TRIAL BALANCE AS OF FEB 24, 2000 20:35:20
COMPANY CODE: 4  FOR PERIOD 01/01/99 TO 12/31/99

--------------------------------------------------------------------------------

1217608  - SOFTWARE: SKYAUC                    202252.50        BEG:       0.00
                                                                END:  202252.50

--------------------------------------------------------------------------------

1217708  - ACCUM DEPRECIATION-SOFTWR: S        -13677.00        BEG:       0.00
                                                                END:  -13677.00

--------------------------------------------------------------------------------

1218608  - LEASEHOLD IMPROVEMENTS: SKYA             0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

1319308  - INVESTMENT: SKYAUC                       0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

1319408  - INVESTMENT: SKY                          0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

24201081 - DEPOSITS PAYABLE: SKY -JAN               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

24201082 - DEPOSITS PAYABLE: SKY -FEB               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

24201083 - DEPOSITS PAYABLE: SKY -MAR               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

24201084 - DEPOSITS PAYABLE: SKY -APR               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

24201085 - DEPOSITS PAYABLE: SKY -MAY               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

24201086 - DEPOSITS PAYABLE: SKY -JUN               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

24201087 - DEPOSITS PAYABLE: SKY -JUL               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

24201088 - DEPOSITS PAYABLE: SKY -AUG               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

24201089 - DEPOSITS PAYABLE: SKY -SEP               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2420108A - DEPOSITS PAYABLE: SKY -OCT               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2420108B - DEPOSITS PAYABLE: SKY -NOV               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2420108C - DEPOSITS PAYABLE: SKY -DEC               0.00        BEG:       0.00
                                                                END:       0.00

<PAGE>

SKYAUCTION.COM, INC.                                                    PAGE: 4
TRIAL BALANCE AS OF FEB 24, 2000 20:35:39
COMPANY CODE: 4  FOR PERIOD 01/01/99 TO 12/31/99

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

2420108F - DEPOSITS PAYABLE: SKY -FUT         -428447.90        BEG:       0.00
                                                                END: -428447.90

--------------------------------------------------------------------------------

2420118  - DEPOSITS PAY ADJUSTMENT: SKY             0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2421008  - AIR PAYABLE: SKY                         0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2422008  - ACCOUNTS PAYABLE: SKY             -1133860.90        BEG:       0.00
                                                                END:-1133860.90

--------------------------------------------------------------------------------

2423008  - ACCRUED EXPENSES PAYABLE: SK       -333898.00        BEG:       0.00
                                                                END: -333898.00

--------------------------------------------------------------------------------

2424008  - FEDERAL WH TAX PAYABLE: SKY              0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2424108  - FICA PAYABLE: SKY                        0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2424208  - STATE WH TAX PAYABLE: SKY                0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2424308  - NYC WH TAX PAYABLE: SKY                  0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2424508  - UNEMPLOYMENT PAYABLE: SKY                0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2424608  - FED UNEMPLOYMENT PAYABLE: SK             0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2425008  - STATE CORP TAX PAYABLE: SKY              0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2425108  - NY CITY CORP TAX PAYABLE: SK             0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

2431008  - DEFERRED BARTER INCOME: SK               0.00        BEG:       0.00
                                                                END:       0.00

--------------------------------------------------------------------------------

3630008  - PAID IN CAPITAL: SKY              -1500000.00        BEG:       0.00
                                                                END:-1500000.00

--------------------------------------------------------------------------------

3630108  - CAPITAL STOCK- SKY                    -300.00        BEG:       0.00
                                                                END:    -300.00

--------------------------------------------------------------------------------

3732008  - RETAINED EARNINGS - PRIOR: S             0.00        BEG:       0.00
                                                                END:       0.00

<PAGE>

SKYAUCTION.COM, INC.                                                    PAGE: 5
TRIAL BALANCE AS OF FEB 24, 2000 20:36:03
COMPANY CODE: 4  FOR PERIOD 01/01/99 TO 12/31/99

--------------------------------------------------------------------------------

4840108  - SALES: SKY                         -6813478.64       BEG:        0.00
                                                                END: -6813478.58

--------------------------------------------------------------------------------

4842008  - SALES REFUNDS - PRIOR PER: SKY            0.00       BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

4842508  - SALES REFUNDS: SKY                     2870.93       BEG:        0.00
                                                                END:     2870.93

--------------------------------------------------------------------------------

4846008  - ADVERTISING INCOME: SKYAUC            -9274.31       BEG:        0.00
                                                                END:    -9274.31

--------------------------------------------------------------------------------

4895108  - INTEREST INCOME                       -5251.87       BEG:        0.00
                                                                END:    -5251.87

--------------------------------------------------------------------------------

5845008  - AIR COSTS: SKY                      4713462.71       BEG:        0.00
                                                                END:  4713462.71

--------------------------------------------------------------------------------

5864908  - AIR - OTHER: SKY                          0.00       BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

5865008  - AIR - PRIOR PERIOD: SKY                   0.00       BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

5866008  - AIR - ADJUSTMENTS: SKY                   0.00        BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

6867508  - LAND: SKY                          1070901.20        BEG:        0.00
                                                                END:  1070901.20

--------------------------------------------------------------------------------

6869008  - COMMISSION INCOME: SKY               -3858.60        BEG:        0.00
                                                                END:    -3858.60

--------------------------------------------------------------------------------

7860108  - NET PAYROLL: SKYAUCTION                  0.00        BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

7870108  - EXECUTIVE SALARIES: SKY             271175.00        BEG:        0.00
                                                                END:   271175.00

--------------------------------------------------------------------------------

7870508  - OFFICE SALARIES: SKY                 72939.00        BEG:        0.00
                                                                END:    72939.00

--------------------------------------------------------------------------------

7871008  - SALES SALARIES: SKY                 419232.50        BEG:        0.00
                                                                END:   419232.50

--------------------------------------------------------------------------------

7871208  - FULLFILLMENT FEE: SKYAUC            251425.00        BEG:        0.00
                                                                END:   251425.00

--------------------------------------------------------------------------------
<PAGE>

SKYAUCTION.COM, INC.                                                    PAGE: 6
TRIAL BALANCE AS OF FEB 24, 2000 20:36:09
COMPANY CODE: 4  FOR PERIOD 01/01/99 TO 12/31/99

--------------------------------------------------------------------------------

7871308  - MANAGEMENT FEES: SKY                      0.00       BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

7871508  - COMMISSION EXPENSE: SKY               16043.00       BEG:        0.00
                                                                END:    16043.00

--------------------------------------------------------------------------------

7871608  - CREDIT CARD FEE EXP: SKY             199959.05       BEG:        0.00
                                                                END:   199959.05

--------------------------------------------------------------------------------

7875008  - RENT & UTIL: SKY                      93903.00       BEG:        0.00
                                                                END:    93903.00

--------------------------------------------------------------------------------

7875208  - RENT - HARDWARE STORAGE: SKY          19570.00       BEG:        0.00
                                                                END:    19570.00

--------------------------------------------------------------------------------

7875508  - TELEPHONE: SKY                         7663.96       BEG:        0.00
                                                                END:     7663.96

--------------------------------------------------------------------------------

7875608  - COMPUTER CONSULTING & SUPP:S         309636.07       BEG:        0.00
                                                                END:   309636.07

--------------------------------------------------------------------------------

7876008  - ENTERTAINMENT: SKYAUC                  2247.94       BEG:        0.00
                                                                END:     2247.94

--------------------------------------------------------------------------------

7876308  - FAM TRIPS & TRAVEL: SKY                8212.67       BEG:        0.00
                                                                END:     8212.67

--------------------------------------------------------------------------------

7876508  - POSTAGE & SHIPPING SKY               63729.79        BEG:        0.00
                                                                END:    63729.79

--------------------------------------------------------------------------------

7877008  - OFFICE SUPPLIES & EXP: SKY           18205.85        BEG:        0.00
                                                                END:    18205.85

--------------------------------------------------------------------------------

7877508  - PRINTING & STATIONERY: SKY            2443.69        BEG:        0.00
                                                                END:     2443.69

--------------------------------------------------------------------------------

7878008  - ADVERTISING - GENERAL: SKY          452680.64        BEG:        0.00
                                                                END:   452680.64

--------------------------------------------------------------------------------

7878508  - ADVERTISING - BROCHURE: SKY              0.00        BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

7878808  - PUBLIC RELATIONS: SKY                68269.47        BEG:        0.00
                                                                END:    68269.47

--------------------------------------------------------------------------------

7879008  - PROFESSIONAL FEES: SKY              246035.44        BEG:        0.00
                                                                END:   246035.44

--------------------------------------------------------------------------------

8880008  - WORKMENS COMP: SKYAUC                 3795.00        BEG:        0.00
                                                                END:     3795.00

--------------------------------------------------------------------------------

<PAGE>

SKYAUCTION.COM, INC.                                                    PAGE: 7
TRIAL BALANCE AS OF FEB 24, 2000 20:36:25
COMPANY CODE: 4  FOR PERIOD 01/01/99 TO 12/31/99

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

8881008  - EMPLOYEE WELFARE: SKYAUC              38209.20       BEG:        0.00
                                                                END:    38209.20

--------------------------------------------------------------------------------

8882208  - FICA EXPENSE: SKY                     23499.46       BEG:        0.00
                                                                END:    23499.46

--------------------------------------------------------------------------------

8882708  - UNEMPLOYMENT EXPENSE: SKY              8486.04       BEG:        0.00
                                                                END:     8486.04

--------------------------------------------------------------------------------

8882908  - PAYROLL RELATED COSTS: SKYAU          26097.00       BEG:        0.00
                                                                END:    26097.00

--------------------------------------------------------------------------------

8883708  - DISABILITY EXPENSE: SKY                 -45.76       BEG:        0.00
                                                                END:      -45.76

--------------------------------------------------------------------------------

9890108  - BANK CHARGES: SKY                      1259.91       BEG:        0.00
                                                                END:     1259.91

--------------------------------------------------------------------------------

9890508  - AUTO EXPENSE: SKYAUC                   8792.36       BEG:        0.00
                                                                END:     8792.36

--------------------------------------------------------------------------------

9891008  - GENERAL INSURANCE: SKYAUC               347.68       BEG:        0.00
                                                                END:      347.68

--------------------------------------------------------------------------------

9891508  - DUES & SUBSCRIPTIONS: SKY                 0.00       BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

9894108  - DEPRECIATION EXPENSE: SKYAU          16900.00        BEG:        0.00
                                                                END:    16900.00

--------------------------------------------------------------------------------

9894908  - MISC. EXPENSE: SKY                     238.39        BEG:        0.00
                                                                END:      238.39

--------------------------------------------------------------------------------

9895308  - MISC. INTEREST EXPENSE: SKY              0.00        BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

9895408  - MISC. INCOME: SKY                       -0.80        BEG:        0.00
                                                                END:       -0.80

--------------------------------------------------------------------------------
9996108  - STATE CORP. TAX: SKY                     0.00        BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

9996208  - NYC GEN. CORP. TAX: SKY                  0.00        BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

9996308  - ANNUAL FEE: SKYAUC                       0.00        BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------

9999999  - VOIDED CHECKS: SKY                       0.00        BEG:        0.00
                                                                END:        0.00

--------------------------------------------------------------------------------<PAGE>

                            STOCKHOLDERS' AGREEMENT
                            OF SKYAUCTION.COM, INC.

         THIS AGREEMENT (the "Agreement") is made and entered into as of March
30, 2000 by and among SkyAuction.com, Inc., a Delaware corporation (the
"Company"), the Stockholders named on Schedule I and each other person who
becomes a party to this Agreement in accordance with the terms hereof (the
"Stockholders"), with reference to the following background:

         A. The authorized capital stock of the Company consists of shares of
Common Stock and Preferred Stock. The shares of Preferred Stock and Common Stock
are referred to in this Agreement collectively as the "Shares."

         B. The Stockholders and the Company wish to enter into an agreement
imposing certain restrictions upon the transfer of Shares by Stockholders,
providing for rights of Stockholders to participate in transactions under
certain circumstances, and providing for certain other matters relating to the
management and control of the Company.

         NOW, THEREFORE, in consideration of the mutual covenants contained
herein, the parties hereto, each intending to be legally bound hereby, agree as
follows:

         1. Corporate Governance.

         (a) Board of Directors. The Company shall have a Board of Directors
with ten seats. The holders of the issued and outstanding Common Stock shall
have the right (acting by vote or consent of the holders of at least a majority
of the shares) to elect nine Directors and the holders of at least a majority of
the Series A Preferred Shares (the "Requisite Series A Holders") shall have the
right to elect one Director. The initial composition of the Board of Directors
shall be: Leonard Shutzman (Chairman), Michael N. Hering, Salvatore Esposito
Jr., Brian Mulroney, Brent Longnecker, Thomas G. Baxter, Derek Reisfeld, Ciara
Bumham, Merlin Dewing and Varel D. Freeman or another designee of Baring Latin
America Private Equity Fund, LP ("Baring") reasonably acceptable to the
remaining members of the Board (who shall be elected by the Requisite Series A
Holders and shall remain a Director so long as Baring is a holder of at least
33,333 Series A Preferred Shares).

         (b) Committees of the Board. For so long as Baring remains the holder
of at least 33,333 Series A Preferred Shares, the Baring representative shall be
entitled to serve on the following Committees of the Board:

         Compensation Committee: A compensation committee of the Board will

                                       1

<PAGE>

be formed consisting of three non-management Directors. The compensation
committee will approve all increases in executive compensation, annual
executive bonuses and all option grants.

         Audit Committee: An audit committee of the Board with be formed
consisting of three non-management Directors. This committee will approve the
engagement of the Company's auditors and approve the audit prior to its issuance
each year.

         Executive Committee: The Baring representative will also be entitled to
serve on any Executive Committee of the Company so long as Baring is a holder of
at least 33,333 Series A Preferred Shares.

         (c) Approval of Baring for Certain Corporate Actions. So long as Baring
is a holder of at least 33,333 Series A Preferred Shares, Baring's approval will
be required for: (i) the sale by the Company of a substantial portion of its
assets (other than in the ordinary course of business); (ii) the purchase by the
Company of all or substantially all the assets of another entity; (iii) the
merger of the Company with another entity; (iv) the liquidation or dissolution
of the Company; (v) a filing for bankruptcy or dissolution of the Company; (vi)
entry into entirely new lines of business (i.e., businesses having no relation
to Internet-based travel auctions); (vii) hiring (excluding currently contracted
executives) or firing of the President and CEO, COO, CFO, CTO, Controller and
head of marketing, it being understood that the firing of the above executives
will require the approval of the Compensation Committee of the Board; (viii)
alterations or changes to the rights, preferences or privileges of the Series A
Preferred Stock; (ix) increases or decreases in the authorized number of Series
A Preferred Stock; (x) creation (by reclassification or otherwise) of any new
class or series or any other security convertible into equity securities having
a preference over the Series A Preferred Stock (except for securities issued at
a price reflecting a pre-money valuation of the Company of at least $150
million); (xi) any declaration or payment of dividends; (xii) the repurchase or
redemption of any Common Shares (other than pursuant to employee agreements or
any incentive plan or program approved by the Board); (xiii) amendments to the
Company's certificate of incorporation and by-laws (except to effectuate any
action otherwise pennitted hereunder); (xiv) an increase in the number of shares
reserved under the Company's option and incentive plans; or (xv) any borrowing
by the Company exceeding $10 million in any given year.

         2. General Restriction on Transfer

         (a) Restriction. A Stockholder shall not sell, assign, transfer, give,
donate, pledge, create a security interest in, place in trust, hypothecate or
otherwise dispose of or encumber, directly or indirectly (each of the foregoing,
a "Transfer") any Shares, or agree to Transfer any Shares, whether now held or
hereafter acquired by the Stockholder, except in accordance with the provisions
of this Agreement.

                                       2

<PAGE>

         (b) General Right of Transfer. Subject to the qualifications set forth
elsewhere herein, a Stockholder may transfer Shares provided that (i) any such
transfers are made to affiliates of such Stockholder or involve the Transfer of
at least 25% of such Stockholder's Shares, (ii) such transfers are otherwise in
compliance with applicable laws and regulations as such shall be evidenced to
the Company by a satisfactory letter of counsel, (iii) such transferees agree in
writing to be bound by and subject to the term of this Agreement, and provided
further that no holder of Preferred Stock may transfer any Shares to any direct
competitor of the Company without the prior express approval of the Company, and
(iv) with respect to Michael N. Hering, up to _____ shares which may be
transferred pursuant to certain call options (the "Call Shares"), so long as
such call options are in effect.

         (c) Effect of Purported Transfer. Any purported Transfer of Shares by a
Stockholder that is not in accordance with the provisions of this Agreement
shall be null and void, and shall not operate to Transfer any right, title or
interest in such Shares to the purported transferee.

         3. "Co-Sale" Rights of the Holders of Preferred Stock.

         (a) The provisions of this Section 3 will not apply to a sale of shares
to a Permitted Transferee or pursuant to a Public Offering (as defined
hereafter).

         (b) If at any time Michael N. Hering or Salvatore Esposito Jr. (each, a
"Founder" and, collectively, the "Founders" and for the purposes of this Section
3, the "Selling Founder(s)") propose, to sell a number of shares of Common
Stock, representing 5% or more of the issued and outstanding shares of Common
Stock of the Company (on a fully-diluted, as converted basis) (a "Transaction"),
then the Selling Founder(s) shall, prior to the consummation thereof, offer each
of the Stockholders holding Series A Preferred Stock (the "Series A Holders")
the opportunity to join in such transfer on a pro rata basis, as hereinafter
provided. With respect to Michael N. Hering, the transfer of the Call Shares
shall not be subject to the provisions of this Section 3, and shall not be
counted as part of the 5% stated above.

         (c) If the Selling Founder(s) receive from or otherwise negotiate(s)
with a third party an offer to purchase shares (the "Tag-Along Offered Shares")
held by such Selling Founder(s) (a "Tag-Along Offer"), and such Selling
Founder(s) intend(s) to sell such Tag-Along Offered Shares to such third party,
such Selling Founders shall provide written notice (the "Tag-Along Notice") of
such Tag-Along Offer to each of the Series A Holders not less than 20 days
prior to the consummation of the sale contemplated by the Tag-Along Offer. The
Tag-Along Notice shall identify (i) the number of Tag-Along Offered Shares; (ii)
the consideration offered per share; and (iii) all other material terms and
conditions of the Tag-Along Offer. Each of the Series A Holders shall have the
right and option, for a period of 15 days after the date the Tag-Along Notice
is given to such Series A Holder (the "Tag-Along Notice Period") to notify the
Selling Founder of such Series A Holder's interest in selling up to the pro rata
portion

                                       3

<PAGE>

(calculated on an as-converted basis) of such Series A Holder's shares pursuant
to the Tag-Along Offer. Each Series A Holder desiring to exercise such option
(each, a "Tag-Along Stockholder") shall, prior to the expiration of the
Tag-Along Notice Period, provide the Selling Founder with a written notice
specifying the number of shares (which shall not exceed such Tag-Along
Stockholder's pro rata portion) as to which such Tag-Along Stockholder has an
interest in selling pursuant to the Tag-Along Offer (a "Tag-Along Notice of
Interest"), and shall deliver to the Selling Founder such certificates and
documents as the Selling Holder shall reasonably request to permit the sale of
such shares pursuant to the Tag-Along Offer. Each Tag-Along Stockholder that
delivers the Tag-Along Notice of Interest within the Tag-Along Notice Period
shall be obligated to sell its shares pursuant to the Tag-Along Offer unless the
Selling Founder does not consummate the sale or other disposition pursuant to
the Tag-Along Offer within 80 days of the giving of a Tag-Along Notice.

         (d) Promptly after the consummation of the sale or other disposition of
the Selling Founders' and any Tag-Along Stockholders' Shares to the third party
pursuant to the Tag-Along Offer, the Selling Founder shall remit to each of the
Tag-Along Stockholders the total purchase price of the shares of such Tag-Along
Stockholder sold pursuant thereto, less the pro rata portion of the out-of-
pocket expenses (including, without limitation, reasonable legal expenses)
incurred by the Selling Founder in connection with such sale, provided, that the
Tag-Along Stockholders shall not be liable for any such expenses in the event
that such sale is not consummated.

         (e) If at the end of the Tag-Along Notice Period any Tag-Along
Stockholder shall not have given a Tag-Along Notice of Interest with respect to
some or all of the pro rata portion of its shares, such Tag-Along Stockholder
will be deemed to have waived its rights under this Section 3 to sell the pro
rata portion of its shares for which such Tag-Along Stockholder has not given a
Tag-Along Notice of Interest. If the Selling Founder has not completed the sale
of all the Tag-Along Offered Shares and the shares delivered to the Selling
Founder pursuant to Section 3(c) within 80 days following delivery of the
Tag-Along Notice, the Selling Founder shall return to each of the Tag-Along
Stockholders all certificates and documents provided to the Selling Founder by
each such Tag-Along Stockholder pursuant to Section 3(c).

         (f) Except as expressly provided in this Section 3, no Selling Founder
shall have any obligation to any Tag-Along Stockholder with respect to the sale
of any such Tag-Along Stockholder's shares pursuant to this Section 3. No
Selling Founder shall have any obligation to any Tag-Along Stockholder to sell
any Tag-Along Offered Shares pursuant to this Section 3 or as a result of any
decision by a Selling Founder not to accept or consummate any Tag-Along Offer or
sale with respect to the Tag-Along Offered Shares, it being understood that any
and all such decisions shall be made by the Selling Founder in its sole
discretion. No Tag-Along Stockholder shall be entitled to sell or otherwise
dispose of shares directly to any third party pursuant to a Tag-Along Offer, it
being understood that all such sales shall be made only on the terms and
pursuant to the procedures set forth in this Section 3.

                                       4

<PAGE>

         4. Founders' "Drag-Along" Rights.

         (a) If, at any time during the four year period following the Closing,
Michael N. Hering (or both Founders) receives an offer to sell all of the
outstanding equity securities of the Company (the "Sale"), the Series A Holders
and all other Stockholders of the Company shall, at the request of Mr. Hering,
have the obligation to participate in such sale provided that, on a per share
basis, any such sales by the holders of the Series A Preferred Stock (assuming
the conversion of such Shares into Common Stock) shall be on the same terms and
conditions as the proposed sale by Mr. Hering.

         (b) Upon the decision of Mr. Hering (or both Founders) to enter into an
agreement described in Section 4(a) above, he shall notify the Series A Holders
and all other stockholders of the Company of such offer. Such notice shall state
the date of the closing of the Sale as well as the consideration offered per
share. Each of the Series A Holders and all other stockholders of the Company
shall be required, within 15 days of the receipt of such notice, to deliver to
Mr. Hering all such certificates and documents as he shall request to enable him
to effect the sale of all the equity securities of the Company owned and/or held
(directly or indirectly) by such Series A Holder or any other stockholder of the
Company. Any Series A Holder or any other stockholder which shall not do so
shall have been deemed to have given Mr. Hering a proxy (and any other relevant
document) to affect the Sale as described herein.

         (c) Promptly after the consummation of the Sale, Mr. Hering shall remit
to each of the Series A Holders and other stockholders selling their securities
in the Sale, the total purchase price of the securities of each such Series A
Holder and or other stockholder sold pursuant thereto, less the pro rata portion
of the out-of-pocket expenses (including, without limitation, reasonable legal
expenses) incurred by Mr. Hering in connection with the Sale, provided, that the
Series A Holders and other stockholders shall not be liable for any such
expenses in the event that the Sale is not consummated.

         (d) If Mr. Hering has not completed the Sale within 80 days following
delivery of the notice described in Section 4(b) herein, he shall return to each
of the Series A Holder and other stockholder all certificates and documents
provided to him by each such Series A Holder and other stockholder pursuant to
Section 4(b).

         (e) Except as expressly provided in this Section 4, no Founder shall
have any obligation to any Series A Holder or any other stockholder with respect
to the sale of any such Series A Holder's and any other stockholder's shares
pursuant to this Section 4. No Founder shall have any obligation to any Series A
Holder or any other stockholder to sell any securities pursuant to this Section
4 or as a result of any decision by a Founder not to accept or consummate any
transaction described in this Section 4, it being understood that any and all
such decisions shall be made by Mr. Hering in his sole discretion. No Series A
Holder or any other stockholder shall be entitled to sell or otherwise dispose
of

                                       5

<PAGE>

his equity securities in the Company directly to any third party pursuant to any
offer described herein or any modification thereof, it being understood that any
and all such sales shall be made only on the terms and pursuant to the
procedures set forth in this Section 4.

         (f) The provisions of this Section 4 shall only apply to bona-fide
arms' length sales of all of the issued and outstanding equity securities of the
Company to third parties which are unaffiliated with Mr. Bering.

         5. Purchase Rights Relating to Option and Incentive Shares. In the
event that pursuant to restrictions on transfer imposed on any Common Stock
issued by the Company pursuant to any incentive plan or program of the Company,
including, but not limited to, any stock option plan implemented by the Company,
any such Shares are offered for purchase to the Company and the Company elects
not to exercise its rights to purchase such Shares, the holders of all Common
Stock and Preferred Stock of the Company shall have the right to purchase any
such offered Shares on a pro rata basis (assuming the conversion of all
Preferred Stock into Common Stock) at a purchase price per share equal to the
fair market value thereof as determined by the Company's Board of Directors. It
shall be the responsibility of the Company, at the expense of any such selling
Stockholder, to notify each Stockholder having purchase rights hereunder of any
such pending offer, promptly upon the determination by the Company not to accept
any such offer. Each Stockholder wishing to purchase Shares in connection with
any such offer shall notify the Company in writing of its election to so
participate within 15 days of receipt of the Company's notice. Failure to
respond within such 15 day period shall be deemed to be a rejection of the offer
to participate in such purchase and sale, and the selling Stockholder shall be
entitled to consummate the proposed sale on the terms set forth in its notice
delivered to the Company within 90 days following the expiration of the 15 day
notice period to the Company's Stockholders (or such later date as is necessary
to obtain all requisite governmental and regulatory approvals and consents). If
such sale is not consummated within such period the selling Stockholder may not
effect any sale unless it again shall have complied with this Section 5.

         6. Preemptive Rights.

         (a) The Company will not issue any New Stock (as defined below) without
providing the Stockholders a reasonable opportunity to exercise the right to
purchase a proportional interest in the New Stock equal to the percentage
interest such Stockholder owns of the Company's outstanding Shares immediately
prior to the issuance of any New Stock. The right to purchase such New Stock
shall be subject to the following additional provisions of this Section 6.

         (b) "New Stock" shall mean any capital stock of the Company or its
subsidiaries whether now authorized or not, and rights, options or warrants to
purchase capital stock, and securities of any type whatsoever that are, or may
become, convertible into or exchangeable or exercisable for capital stock;
provided however, that the term

                                       6

<PAGE>

New Stock shall not include (i) securities issued as consideration of the
Company's or any Company subsidiaries' acquisition of another corporation or
entity that is not any Affiliate (as defined in Rule 144(a) of the Securities
Act of 1933, as amended) of the Company by merger, purchase of substantially all
of the assets or other reorganization whereby the Company acquires more than 50%
of the voting power or assets of such corporation or entity, (ii) Common Stock
(including options or warrants to purchase Common Stock and Common Stock issued
upon exercise thereof) issued to employees, directors, advisors or consultants
or the Company pursuant to plans or agreements approved by the Board of
Directors, up to an aggregate maximum of 11% of the Corporation's issued and
outstanding Common Stock on a fully diluted basis at any given time, (iii)
securities issued as finders' fees, placement agent fees or in connection with
any financing or financial advisory services, (iv) securities issued pursuant to
any stock dividend, stock split, combination or other reclassification by the
Company of its capital stock, (v) Common Stock issued in connection with any
credit agreements or loans, or (vi) Common Stock issued upon conversion of
Preferred Stock.

         (c) In the event the Company undertakes an issuance of New Stock it
shall give the Stockholders written notice, pursuant to the provisions of this
Section 6 of its intention, describing the price, number of shares of capital
stock and the general terms upon which the Company proposes to issue such
capital stock. Each of the Stockholders shall have ten (10) business days from
the date of receipt of any such notice to agree to purchase any or all of such
shareholder's proportionate share of such New Stock for the price and upon the
general terms specified in the notice by giving written notice to the Company an
stating therein the quantity of shares of New Stock to be purchased.

         (d) To the extent that any or all of the Stockholders fail to exercise
their right t purchase New Stock offered within said ten business day period,
the Company shall have 120 days thereafter to sell or enter into an agreement
(pursuant to which the sale of New Stock covered thereby shall be closed, if at
all, within 20 days from the date of said agreement) to sell all such New Stock
with respect to which the preemptive right provided in this Section 6 was not
exercised, at a price and upon terms no more favorable to the purchasers thereof
than specified in the Company's notice.

         (e) The rights provided under this Section 6 shall not apply to a
Public Offering and shall expire on the effective date of a registration
statement filed with the Commission in connection with a Public Offering
(provided, that such right shall be reinstated if equity securities of the
Company are not sold pursuant to such registration statement).

         "Public Offering" shall mean an offering of the Company's securities
pursuant to a registration statement filed by the Company under the Securities
Act of 1933, as amended.

         7. Closing

                                       7

<PAGE>

         The closing of any purchase and sale of Shares under this Agreement
shall take place at the principal office of the Company or such other location
as may be agreed to by all parties involved. At the closing, the party selling
Shares shall deliver the certificates for the Shares being sold, duly endorsed
for Transfer and free and clear of any lien, claim, charge, pledge, security
interest or encumbrance whatsoever (other than restrictions created by this
Agreement).

         8. Limitations on Company; Distributions to Stockholders.

         (a) Purchase Generally. The Company shall not exercise an option to
purchase Shares, nor shall the Company be required to purchase Shares, if the
purchase on the terms proposed would be prohibited at the time under Delaware or
other applicable law.

         (b) Distributions. If, because of limitations on distributions to the
Stockholders under Delaware law, the Company would be unable to consummate any
purchase of Shares which it otherwise would elect or be required to make under
this Agreement, the Company and the Stockholders shall promptly take all lawful
action to the extent necessary to permit the purchase by the Company.

         9. Stock Certificates.

         All certificates representing Shares shall be marked with the following
         legend:

         THE SHARES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED
         UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR UNDER ANY STATE
         SECURITIES LAWS, AND MAY BE OFFERED AND SOLD ONLY IF SO REGISTERED OR
         AN EXEMPTION FROM REGISTRATION IS AVAILABLE. THE HOLDER OF THESE SHARES
         MAY BE REQUIRED TO DELIVER TO THE COMPANY, IF THE COMPANY SO REQUESTS,
         AN OPINION OF COUNSEL (REASONABLY SATISFACTORY IN FORM AND SUBSTANCE TO
         THE COMPANY) TO THE EFFECT THAT AN EXEMPTION FROM REGISTRATION UNDER
         THE SECURITIES ACT (OR QUALIFICATION UNDER STATE SECURITIES LAWS) IS
         AVAILABLE WITH RESPECT TO ANY TRANSFER OF THESE SHARES THAT HAS NOT
         BEEN SO REGISTERED (OR QUALIFIED).

         THE SHARES EVIDENCED BY THIS CERTIFICATE ARE SUBJECT TO THE TERMS AND
         CONDITIONS OF A CERTAIN STOCKHOLDERS' AGREEMENT BETWEEN THE COMPANY AND
         ITS RESPECTIVE STOCKHOLDERS, A COPY OF WHICH IS ON FILE IN THE OFFICE
         OF THE COMPANY, REFERENCE TO ALL THE TERMS AND CONDITIONS THEREOF
         BEING MADE, AND NO SALE OR TRANSFER OF THE SHARES EVIDENCED HEREBY MAY
         BE EFFECTED, EXCEPT PURSUANT TO THE TERMS AND CONDITIONS OF SAID
         STOCKHOLDERS' AGREEMENT.

                                       8

<PAGE>

         THE COMPANY WILL FURNISH TO THE RECORD HOLDER OF THE CERTIFICATE
         WITHOUT CHARGE UPON WRITTEN REQUEST TO THE COMPANY AT THE COMPANY'S
         PRINCIPAL PLACE OF BUSINESS OR REGISTERED OFFICE, A COPY OF THE
         STOCKHOLDERS' AGREEMENT.

         In addition, all certificates representing Preferred Stock will be
marked with the following additional legend:

         THE COMPANY WILL FURNISH WITHOUT CHARGE TO EACH HOLDER WHO SO REQUESTS
         A DESCRIPTION OF THE POWERS, DESIGNATIONS, PREFERENCES AND RELATIVE
         RIGHTS OF EACH SERIES OF PREFERRED STOCK.

         10. Notices.

         All notices and other communications provided for hereunder shall,
unless otherwise stated herein, be in writing (including by telex or facsimile
transmission) and mailed or sent or delivered at the addresses specified below.
All such notices and communications shall be given by hand, telex or facsimile
transmission; provided that, in the event that telex and facsimile transmission
facsimiles are not operational, such notices and communications may be given by
mail, but the sender shall use reasonable efforts to confirm facsimile
transmission facilities shall become operational. All such notices and
communications shall be effective when delivered by hand, or, in the case of
mail, upon the earlier of receipt and confirmation by telex or facsimile
transmission as provided below, or, in the case of facsimile transmission, when
sent as addressed as set forth herein and confirmation of delivery is received,
or, in the case of telex, when the telex is sent and the appropriate answer back
is received. The address for each of the Investors is as set forth on the
signature blocks below. The address for the Company is as follows.

               SkyAuction.com, Inc.
               501 Madison Avenue
               14th Floor
               New York, NY 10022
               Telecopy No.: (212)486-9751
               Attention: Michael N. Hering

               with copies to:

               Proskauer Rose LLP
               1585 Broadway
               New York, NY 10036-8299
               Telecopy No.: (212) 969-2900
               Attention: Jeffrey A. Horwitz, Esq.

                                       9

<PAGE>

               Copies of all notices to Baring shall be delivered to:

               Tannenbaum Helpern Syracuse & Hirschtritt LLP
               900 Third Avenue
               New York, NY 10022
               Telecopy No.: (212) 371-1084
               Attention: Arthur Lowenstein, Esq.

Each party to this letter may, from time to time, change its notice address or
copy address or add or substitute a copy party and a copy address, by giving
notice to the other party in the maIUler provided in this paragraph.

         11. Termination.

         This Agreement shall continue in full force and effect until the
earlier of:

         (i) such time as all of the parties to this Agreement holding Common
Stock and Preferred Stock shall agree to its termination;

         (ii) the Company shall close a Public Offering of its Common Stock; or

         (iii) such time when the Founders own less than 10% of the Company's
stock (on a fully diluted basis) (not including the Call Shares).

         12. Rights, Obligations and Remedies. None of the parties hereto may
assign, transfer or otherwise dispose of any of their rights or obligations
under this Agreement. All rights and obligations under this Agreement shall
inure to and be binding upon the parties hereto and each of their respective
heirs, personal representatives, successors and assigns. The rights and
obligations under this Agreement are several, with each party being completely
free to enforce any or all rights or obligations under this Agreement against
any other party with or without the concurrence or joinder of any other party.
The Shares are unique, and damages that might result to any party by breach of
this Agreement by any other party are difficult to determine, and, therefore, in
addition to all of the other remedies that may be available under applicable
law, any party shall have the right to equitable relief, including, without
limitation, the right to enforce specifically the terms of this Agreement by
obtaining injunctive relief against any party violating its terms.

         13. General.

         (a) Headings. All headings in this Agreement are for convenience only,
and they do not form a part of this Agreement and shall not affect its
interpretation.

                                       10

<PAGE>

         (b) Gender, Number and "Person". Words used in this Agreement,
regardless of the gender or number specifically used, shall be deemed and
construed to include any other gender, masculine, feminine or neuter, and any
other number, singular or plural, as the context requires. The term "person"
includes a corporation, partnership or other association, as well as a natural
person.

         (c) Waiver. No course of dealing by any party or by the holder of any
note that may be issued as permitted by this Agreement, nor any delay or failure
on the part of any person to exercise any right shall operate as a waiver of
such right or otherwise prejudice such person's rights, powers and remedies,
nor shall any waiver of one breach be construed as a waiver of any rights or
remedies with respect to any subsequent breach.

         (d) Enforceability. If any part of this Agreement is found to be
invalid, illegal or unenforceable with respect to any person or set of
circumstances under any present or future laws in effect at any time during the
tenn of this Agreement, then and in that event it is the intention of the
parties that the remainder of this Agreement shall not be affected thereby, and
it is also is the intention of the parties that in lieu of the part of this
Agreement that is invalid, illegal, or unenforceable, there be added as part of
this Agreement a provision as similar in terms to such invalid, illegal, or
unenforceable part as may be possible and be valid, legal and enforceable.

         (e) Entire Agreement. This writing represents the entire Agreement and
understanding of the parties with respect to the subject matter hereof and
supersedes all other prior and contemporaneous agreements and understandings of
the parties in connection herewith. This Agreement may not be amended or
modified except by an agreement in writing signed by each of the parties hereto
at the time.

         (f) Counterparts. This Agreement may be executed in several
counterparts each of which is an original and any Stockholder may become a party
hereto by executing a counterpart hereof. This Agreement and any counterpart so
executed shall be deemed to be one and the same instrument. It shall not be
necessary in making proof of this Agreement or any counterpart to produce or
account for any of the other counterparts.

         (g) Governing Laws. This Agreement shall be governed by and interpreted
and enforced in accordance with the substantive laws of the State of Delaware,
without reference to the principles governing the conflict of laws applicable in
that or any other jurisdiction.

                                       11

<PAGE>

         IN WITNESS WHEREOF, this Agreement has been duly executed by the
parties hereto as of the date first written above.

                                   SKY AUCTION.COM, INC.

                                   By:
                                       ------------------------------
                                   Name:
                                   Title:

                                   STOCKHOLDERS:

                                   ----------------------------------

                                   ----------------------------------

                                   ----------------------------------

                                   ----------------------------------

                                   ----------------------------------

                                   ----------------------------------

                                   ----------------------------------

                                       12

<PAGE>

         IN WITNESS WHEREOF, this Agreement has been duly executed by the
parties hereto as of the date first written above.

                                   SKYAUCTION.COM INC.

                                   By: /s/ Michael N. Hering
                                      ----------------------------------
                                      Name:  Michael N. Hering
                                      Title: CEO

                                   STOCKHOLDERS:

                             Name: BARING LATIN AMERICA PRIVATE EQUITY
                                   FUND, L.P.

                                   By: Baring Latin America Partners, LLC,
                                       its General Partner

                                   By: /s/ Varel D. Freeman
                                      ----------------------------------
                                      Varel D. Freeman, Managing Member

                          Address: 230 Park Avenue
                                   New York, New York 10169
                       TelefaxNo.: (212) 309-1794

                             Name:

                                   Baring Asia Private Equity Investments
                                     XIX Ltd,

                                   By: /s/ Connie Helyar
                                      ----------------------------------
                                       Connie Helyar, Director

                          Address: P.0. Box 431
                                   13-15 Victoria Road
                                   St. Peter Port
                                   Guernsey Channel Islands
                                   GY1 32D, United Kingdom
                       Telefax No: 44 1481 715219

<PAGE>

                                   /s/ Michael N. Hering
                                   ------------------------------
                             Name: Michael N. Hering
                          Address: c/o SkyAuction.com, Inc.
                                   501 Madison Avenue
                                   New York, NY 10022

                                   /s/ Salvatore Esposito Jr.
                                   ------------------------------
                             Name: Salvatore Esposito Jr.
                          Address: c/o SkyAuction.com, Inc.
                                   501 Madison Avenue
                                   New York, NY 10022

                                   /s/ Don Freno
                                   ------------------------------
                             Name: Don Freno
                          Address: c/o SkyAuction.com, Inc.
                                   501 Madison Avenue
                                   New York, NY 10022
                              Fax: (212) 486-9751

                                   Venture Marketing Group, LLC

                               By: /s/ Eric Ritter
                                   --------------------------------
                                   Name: Eric Ritter
                                   Title: Member

                          Address: 48 Blueberry Lane
                                   Darien, CT 06820
                                   Fax: (203) 655-6639

                                   /s/ Leonard Schutzman
                                   ------------------------------
                             Name: Leonard Schutzman
                          Address: 48 Blueberry Lane
                                   Darien, CT 06820
                                   Fax: (203) 655-6639

<PAGE>

                                   ------------------------------
                             Name: Robert Kaplan
                          Address: 16 F Putnam Green
                                   Greenwich, CT 06830 Fax:

                                   /s/ Eric Ritter
                                   ------------------------------
                             Name: Eric Ritter
                          Address: 48 Blueberry Lane
                                   Darien, CT 06820
                                   Fax: (707) 215-1141

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00012-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00012-of-00352.parquet"}]]