Document:

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                                SERVICE AGREEMENT

1.       DEFINITIONS:

1.1      "Agreement" means this Service Agreement together with (A) Service
         Orders (as defined in Section 2.1 below) accepted by Seller pursuant to
         the terms hereof, and (B) schedules and exhibits incorporated herein by
         reference ("EXHIBITS"). In the event of any conflict between the
         provisions of this Service Agreement and the terms of any Service
         Order(s) and/or Exhibit(s), the conflict shall be resolved by reference
         to these documents in the following order of priority of
         interpretation: (A) the Service Order accepted by Seller that is the
         subject of the conflict; (B) any Exhibit(s), beginning with the Exhibit
         most recently incorporated into this Service Agreement; and (C) this
         Service Agreement.

1.2      "Cancel/Cancellation" means the termination of a Service Order by
         Client after submission of the Service Order and prior to the Start of
         Service Date of the Service.

1.3      "Disconnect/Disconnection" means the termination of a Service by Client
         after the Start of Service Date.

1.4      "Estimated Availability Date" means the target date for the delivery of
         each Service to the Client by Seller. The Estimated Availability Date
         is sometimes referred to as the "project management date" or the
         "ready-for-traffic date" during Seller's provisioning process.

1.5      "Interconnection Facilities" means all services or facilities,
         including but not limited to local access facilities between the
         Client's point of presence and Seller's demarcation point.

1.6      "Material Adverse Change" includes, but is not limited to: (A) Client
         fails to pay the charges due hereunder on or before the Due Date on
         three or more occasions during any period of twelve months, or Client
         fails to pay the charges due on or before the Due Date in any two
         consecutive months; (B) Client is acquired (whether in whole or by
         majority or controlling interest) by an entity which owes past due
         amounts to Seller or to any entity affiliated with Seller, or which
         presents a materially greater credit risk than Client; (C) Client
         becomes a materially greater credit risk than at the time of execution
         of the Agreement; or (D) Client becomes subject to or has filed for
         bankruptcy or insolvency proceedings or becomes insolvent.

1.7      "Minimum Service Term" means the period of time for the Service
         specified in the applicable Service Order and, following renewal of the
         Minimum Service Term under Section 4.1, the period of time for the
         Service specified in Section 4.1.

1.8      "Monthly Recurring Charge" means the price to be paid by Client per one
         calendar month period for the purchase of the Service. Recurring
         cross-connect charges, multiplexing charges and other recurring charges
         are also Monthly Recurring Charges.

1.9      "Non-Recurring Charges" means any one-time rates, fees, charges or
         expenses, including but not limited to installation charges,
         construction fees, extended demarcation fees, facility entrance fees,
         cross-connect fees, channel bank charges and expedite fees.

1.10     "Performance Assurance" means credit support in the form of (A) cash,
         (B) a letter of credit from a commercial bank or trust company
         acceptable by the Seller, or (C) such other form of credit support as
         may be reasonably acceptable to the Seller.

1.11     "Service(s)" means any telecommunications capacity and related
         ancillary services provided by Seller.

1.12     "Start of Service Date" means the date on which Seller delivers the
         Service(s) to Client in accordance with the Technical Specifications.

1.13     "Tariff" means the tariffs on file with the Federal Communications
         Commission or state public utilities commissions or other domestic or
         foreign governmental bodies governing the rates and/or terms and
         conditions of any facilities or Services.

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2.       ORDERING SERVICES:

2.1      Client shall purchase the Service(s) by submitting a purchase order
         through Seller's ordering process by an authorized representative of
         Client ("SERVICE ORDER"). The Service Order is subject to submission of
         accurate circuit information by Client and availability of the
         requested capacity. Seller reserves the right to reject any Service
         Order for any reason. Seller's obligation to provide the Services is
         conditioned upon Client not using the Services or allowing the Services
         to be used for any unlawful purpose or in violation of any law,
         regulation or authorization. As a material part of the consideration
         for entering into this Agreement, each party agrees not to contest or
         assert (and hereby releases any right to) any defense to (A) the
         validity or enforceability of the Service Order submitted through
         Seller's internet quoting process under laws relating to whether
         certain offers or agreements are to be in writing or signed by the
         parties to be bound, or (B) the authority of any employee or
         representative of the party to enter into a contract for Service(s).

2.2      After submission of a Service Order by Client, Seller shall notify
         Client of the Estimated Availability Date. Seller shall use reasonable
         efforts to install each Service on or before the Estimated Availability
         Date. Seller's inability or failure to deliver any ordered Service by
         the Estimated Availability Date shall not be a Default under this
         Agreement, and Seller shall not be liable to Client or any third party
         for any damages as a result of Seller's inability or failure to deliver
         the Service.

2.3      Client acknowledges and agrees that a Service may be comprised of
         multiple circuits from multiple carriers. If the Estimated Availability
         Date of a Service, or a portion thereof, is delayed and this delay
         renders the entire Service inoperable, Seller shall not be liable to
         Client for any damages that may result from such delay. Additionally,
         Client shall be required to either accept for billing or Cancel and
         re-order the portion(s) of the Service that are ready for activation
         but activation has been delayed due to the postponement of a connecting
         circuit being provided by Seller's underlying carrier or due to any
         delays caused by the Client or any third-party providing
         Interconnection Facilities on behalf of Client. A Cancellation and
         re-order of a circuit shall be subject to Section 2.4 of this
         Agreement. Client may, subject to Seller's prior written approval,
         order its own Interconnection Facilities. If any party other than
         Seller provides Interconnection Facilities, then unavailability,
         incompatibility, delay in installation, or other impairment of
         Interconnection Facilities shall not excuse Client's obligation to pay
         Seller all Non-Recurring Charges, Monthly Recurring Charges or any
         other rates or fees applicable to the Services, whether or not such
         Services are useable by Client.

2.4      If Client Cancels a Service Order on or after the fourth day following
         Client's submission of a Service Order but before the Start of Service
         Date for such Service, Client shall pay within fifteen days of the
         Cancellation a charge equal to: (A) one month's Monthly Recurring
         Charge for the Service ordered; (B) Seller's internal costs incurred in
         attempting to fulfill Client's Service Order; plus (C) the aggregate
         fees, charges, expenses, taxes and/or liquidated damages payable to any
         third party suppliers for which Seller is or becomes contractually
         liable arising out of or in connection with the Cancellation.

3.       ACCEPTANCE AND START OF SERVICES:

3.1      After Seller notifies Client that the Service is available, Client may
         test the Service to determine if the Service is operating in accordance
         with the technical specifications attached as SCHEDULE A and as
         modified by Seller from time to time (the "TECHNICAL SPECIFICATIONS").
         If Client determines that the Service is in material non-compliance
         with the applicable Technical Specifications within twenty-four hours
         after Seller notifies Client that the Service is available, then Client
         shall provide Seller written notice (the "FAILURE NOTICE") of the
         non-compliance in the Service. The Failure Notice must contain
         information describing the nature of the material non-compliance with
         the Technical Specifications, for the service(s) in question. If Client
         does not deliver a Failure Notice within the twenty-four hour period,
         Client shall be deemed to have accepted the Service, and the Start of
         Service Date shall commence as of the date Seller provides the
         notification of availability to Client. If Client delivers a Failure
         Notice within the twenty-four hour period, Seller shall promptly take
         such reasonable action as is necessary to correct any such
         non-compliance in the Service and shall, upon correction,

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         notify Client of a new Start of Service Date.

3.2      Client shall have sole responsibility to install, test and operate the
         Client's Interconnection Facilities and any services or equipment other
         than those services specifically provided by Seller under this
         Agreement. The late delivery, malfunction or non-operation of any
         services not provided by Seller, including but not limited to Client's
         Interconnection Facilities or any other services shall not relieve
         Client of its obligation to pay for the Services in accordance with
         Section 5.4 below.

4.       TERM AND RENEWAL:

4.1      With respect to the Service(s) provided to Client under this Agreement,
         the Minimum Service Term shall be as specified in the Service Order for
         the Service(s). If no term is specified in a Service Order, the Minimum
         Service Term shall be one year. Each Service shall automatically renew
         for successive one year periods (each of which will be deemed a renewal
         Minimum Service Term) unless terminated by written notice by either
         Party at least thirty days prior to the end of the original Minimum
         Service Term or the renewal Minimum Service Term; provided that such
         Services(s) shall be billed at the rate provided in the original
         Service Order until the earlier to occur of (A) the end of the renewal
         Minimum Service Term or (B) the Service is Disconnected by Seller in
         response to a Disconnection request.

4.2      Notwithstanding this Section 4, Seller may terminate this Agreement
         effective upon ten days prior written notice if any material term
         contained herein or Tariff relevant to the Services is materially
         changed by order of the highest court of competent jurisdiction to
         which the matter is appealed, the Federal Communications Commission or
         other government entity.

5.       CHARGES AND PAYMENT:

5.1      The Non-Recurring Charges and Monthly Recurring Charges for the
         Services shall be set forth in each Service Order, except as is
         otherwise specifically provided in this Agreement.

5.2      Seller may, in its sole discretion, require that Client deliver
         Performance Assurance up to an amount equal to the total of all
         Non-Recurring Charges and Monthly Recurring Charges for the Service(s)
         for six months. The Performance Assurance shall be held by Seller until
         the Disconnection or termination of the Service(s), at which time
         Seller, at its option, may apply the Performance Assurance either
         against any Monthly Recurring Charges and/or any Non-Recurring Charges
         due as of the expiration or termination of the Service(s) or against
         any amounts owing to Seller under this Agreement.

5.3      Seller shall invoice Monthly Recurring Charges on a monthly basis and
         in advance. The first invoice from Seller for a given Service shall
         consist of: (A) the Non-Recurring Charges, (B) the Monthly Recurring
         Charges for the first full billing cycle month, (C) the monthly charge
         for the second full billing cycle month, and (D) if the Start of
         Services Date for a Service is on a date other than the first day of a
         calendar month, then the pro-rata portion of the Monthly Recurring
         Charge for the period from the Start of Service Date to the first day
         of the first full billing cycle month. For example, if the Start of
         Service Date is October 1, 2000, then the first invoice for the Service
         shall be issued on or about October 1, 2000 and shall include the
         Non-Recurring Charges, the Monthly Recurring Charge for October 2000
         and the Monthly Recurring Charge for November 2000. If the Start of
         Service Date is October 7, 2000, then the first invoice for the Service
         shall be issued on or about November 1, 2000 and shall include the
         Non-Recurring Charges, the pro-rata portion of the Monthly Recurring
         Charge for October 2000, the Monthly Recurring Charge for November 2000
         and the Monthly Recurring Charge for December 2000. Notwithstanding the
         foregoing, Seller reserves the right to change invoicing procedures
         (including the date on which invoices are mailed) from time to time
         during the course of this Agreement.

5.4      Client shall make all payments due in United States Dollars within
         fifteen calendar days of the date of Seller's

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         invoice ("DUE DATE"). If any undisputed amount due under this
         Agreement is not received by the Due Date, in addition to its other
         remedies available hereunder, Seller may in its sole discretion: (a)
         impose a late payment charge of the lower of 1.5% per month or the
         highest rate legally permissible (such late charge shall be payable
         upon demand by Seller); and/or (B) require the delivery of Performance
         Assurance up to an amount equal to the total of all Non-Recurring
         Charges and Monthly Recurring Charges for the Service(s) for six
         months, as a condition of the continued availability of the
         Service(s), which prepayment shall be held and applied against the
         Client's charges due hereunder at the expiration or termination of the
         applicable Service Order. Notwithstanding anything in this Agreement
         to the contrary, payments due are not subject to reduction, set-off or
         adjustment of any nature by Client, except for amounts disputed in
         accordance with Section 5.5.

5.5      Client shall submit all good faith disputes or requests for billing
         adjustments in writing with payment of undisputed amounts due on or
         before the Due Date. Any amounts that Seller determines to be in error
         shall be adjusted on the next month's invoice. Any disputed amounts
         that Seller determines to be correct as billed shall be due and payable
         by Client, upon notification and demand by Seller, along with any late
         payment charges that Seller may impose pursuant to Section 5.4 above.
         Disputes shall not be cause for Client to delay payment of the
         undisputed balance to Seller. If Client does not deliver written notice
         to Seller of a billing dispute with respect to any charges within
         ninety days after the date Seller issued the invoice on which the
         charges appeared, Client shall be deemed to have waived its right to
         dispute the charges and the invoice shall be deemed to be correct and
         binding.

5.6      Any applicable federal, state, or local taxes, and all use, sales,
         commercial, gross receipts, privilege or other similar taxes or license
         fees, whether charged to or against Seller or Client, with respect to
         the Services provided by Seller, as well as any other imposition by any
         governmental authority which has the effect of increasing Seller's cost
         of providing the Services, shall be payable by Client in addition to
         the other charges set forth in this Agreement.

5.7      The underlying supplier may notify Seller of other charges including
         but not limited to installation charges, construction fees, extended
         demarcation fees, facility entrance fees and cross-connect fees related
         to the Service after Seller delivers a quote for Service to Client and
         after Client accepts the quote for Service. Client acknowledges that
         from time to time not all charges related to a Service will be included
         in the original Service Order. If the underlying supplier invoices
         Seller for any additional such charges, Seller shall invoice Client for
         the charges, and Client shall be obligated to pay the charges. Seller
         will inform Client of any such charges before any such invoice is sent
         to Client.

6.      OUTAGE CREDITS:

6.1      Client acknowledges the possibility of an unscheduled, continuous
         and/or interrupted period of time when a Service(s) are "unavailable"
         as defined in the Technical Specifications (hereafter an "OUTAGE"). If
         an Outage occurs, Client shall be entitled to a credit (the "OUTAGE
         CREDIT") determined according to the following formula:

         Outage Credit = (Hours of Outage - 2 hours) x Total Monthly Recurring
         Charge of Affected Service DIVIDED BY 720

6.2      The Outage Credit shall apply to the Monthly Recurring Charges for the
         Service affected by an Outage; provided, however, that the Outage
         Credit shall not apply to any portion of the affected Service which
         remains used or useable by Client between any intermediate terminals
         (where Client has installed drop and insert capability) or end
         terminals. The length of each Outage shall be calculated in hours and
         shall include fractional portions thereof. An Outage shall be deemed to
         have commenced upon the earlier of: (A) verification of the Outage by
         Seller, or (B) when indicated by network control information actually
         known to Seller network personnel. Each Outage shall terminate upon
         restoration of the affected Service as evidenced

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         by appropriate network tests by Seller. Seller shall notify Client of
         any scheduled outage as early as is practicable, and scheduled outages
         shall not be viewed as an Outage hereunder.

6.3      Outage Credits shall not be granted if the Outage is caused by or
         occurring in (A) any Service(s) or Interconnection Facilities not
         provided by Seller; (B) any Client Defaults; or (C) the facilities or
         equipment of Client, end-users of Client or any other third party.

6.4      All Outage Credits shall be credited on the next monthly invoice for
         the affected Service after Seller receives Client's request for credit.
         The total of all Outage Credits applicable to or accruing in any given
         month shall not exceed the monthly recurring charge for such Service
         for that same month.

6.5      Outage Credits shall be the sole and exclusive remedy of Client in the
         event of any Outage, and under no circumstance shall an Outage be
         deemed a Default under this Agreement.

7.       MINIMUM SERVICE TERM:

7.1      Client acknowledges that the Monthly Recurring Charges for the
         Service(s) are based on Client's commitment to utilize the Services for
         the Minimum Service Term. Therefore, notwithstanding anything in this
         Agreement to the contrary, if Client Disconnects a Service prior to the
         expiration of its Minimum Service Term, Client shall be liable for and
         shall pay to Seller: (A) an amount equal to the Monthly Recurring
         Charge for the Service multiplied by the number of months remaining in
         the Minimum Service Term of the Service, (B) any unpaid Non-Recurring
         Charges, taxes and other charges, plus (C) the aggregate Disconnection
         charges, payable to any third party suppliers, if any, for which Seller
         is or becomes contractually liable in connection with any
         Disconnection, regardless of whether Client utilizes all or any part of
         the Service during all or any part of the Minimum Service Term
         applicable to the Service.

7.2      If Client requests Seller to Disconnect a Service, and Client later
         cancels its request for Disconnection, the Seller will take all
         reasonable actions to ensure that the Service is not Disconnected.
         Seller will not grant any Outage Credits for outages related to the
         cancelled request for Disconnection, nor will Seller be liable to
         Client for any damages resulting from an Outage related to a cancelled
         request for Disconnection.

7.3      Upon termination of this Agreement, the total of all Monthly Recurring
         Charges, Non-Recurring Charges, taxes and other charges referred to in
         this Agreement, Schedules or Service Orders which have accrued
         hereunder for each Service for the entire Minimum Service Term plus the
         aggregate Disconnection charges, payable to any third party suppliers,
         if any, for which Seller is or becomes contractually liable in
         connection with any Disconnections resulting from such termination
         shall be at once due and payable, regardless of whether or not all of
         the Minimum Service Terms have expired, and may be collected by Seller
         from Client as a single amount.

8.       EVENTS OF DEFAULT:

8.1      A "Default" shall occur if: (A) Client fails to make any payment
         required to be made by it under this Agreement and any such failure
         remains uncorrected for five days after Client's receipt of Seller's
         notice of non-payment; (B) Client breaches its obligations to Seller in
         any other agreement, including but not limited to any UTX Service
         Agreement; or (C) Client undergoes a Material Adverse Change; (D)
         Client does not maintain or loses any required regulatory or other
         governmental authorizations to purchase the Service(s); or (E) either
         party fails to perform or observe any material term or obligation
         contained in this Agreement, and any such failure remains uncorrected
         for thirty calendar days after receipt of written notice from the
         non-breaching party informing the breaching party of such failure.

9.       REMEDIES FOLLOWING DEFAULT:

9.1      Client may terminate this Agreement effective upon delivery of written
         notice to Seller, if Seller is in Default,

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         as provided in Section 8.1(e) of this Agreement.

9.2      Seller may immediately terminate this Agreement if Client is in Default
         as provided in Section 8.1 of this Agreement. Seller may, in addition
         to and without waiving any rights or any other remedies available to
         Seller, elect, in its sole discretion, to exercise one or more of the
         following remedies: (a) cause the Start of the Service described in any
         Service Order to be withheld; (B) suspend a portion or all of the
         Services as provided in Section 9.3; (C) decline to accept a Service
         Order or other requests from Client to provide Services that Seller may
         otherwise be obligated to accept; and/or (D) condition its provision of
         Services or acceptance of a Service Order on Client's delivery of
         Performance Assurance to Seller.

9.3      If Client is in Default, Seller may, in addition to and without waiving
         any rights or other remedies it has under this Agreement or under the
         law, after giving Client three days notice (hereinafter "NOTICE OF
         SUSPENSION"), suspend or Disconnect all or any portion of the
         Service(s) to Client. Seller may continue the suspension or
         Disconnection until Client cures any and all Defaults, pays in full all
         charges then due, including any reconnection or re-termination fees,
         late fees, and/or provides Performance Assurance in an amount
         acceptable to Seller. Any reconnection or re-termination fees to be
         paid by Client shall equal Seller's internal costs incurred in
         responding to Client's Default and suspension or Disconnection plus the
         aggregate fees, charges, expenses, taxes and/or liquidated damages
         payable to any third party suppliers for which Seller is or becomes
         contractually liable arising out of or in connection with the Default
         and suspension or Disconnection. If Client fails to cure the Default,
         make any required payment and/or provide such Performance Assurance
         within three days from the delivery of the Notice of Suspension, Client
         shall be deemed to have Disconnected the Services effective on the date
         of such suspension and shall remain liable for all charges as set forth
         in Section 7.

10.      GOVERNMENTAL AUTHORITY:

10.1     Client represents and warrants that: (A) Client has received all
         necessary permits, licenses, approvals, grants, and charters of
         whatsoever kind necessary to carry out the business in which Client is
         engaged; and (B) Client complies with all laws, regulations, orders,
         and statutes which may be applicable to Client, whether local, domestic
         or foreign, State or Federal. During the term of this Agreement, Client
         agrees to operate in accordance with and to maintain current all such
         certifications, permits, licenses, approvals, grants, charters, and to
         comply with all applicable laws, regulations, orders and statutes,
         whether local, domestic or foreign, State or Federal.

11.      FORCE MAJEURE:

11.1     Except as is provided in Section 11.2 below, Seller shall not be liable
         for any failure of performance due to causes beyond its reasonable
         control, including, but not limited to: acts of God, fire, explosion,
         vandalism, cable cut, storm, extreme temperatures or other similar
         catastrophes; any law, order, regulation, direction, action or request
         of the United States government, or of any other government, including
         state and local governments, or of any department, agency, commission,
         court, bureau or other instrumentality of any one or more said
         governments, having jurisdiction over either of the parties; or of any
         civil or military authority; national emergencies, insurrections,
         riots, wars, or strikes, lock-outs, work stoppages or other labor
         difficulties; actions or inactions of a third party provider or
         operator of facilities employed in provision of the Services; or any
         other conditions or circumstances beyond the reasonable control of
         Seller which impede or affect the Services or the transmission of
         telecommunications services.

11.2     If any failure of performance on the part of Seller due to causes
         described in Section 11.1 of this Agreement continues: (A) for thirty
         days or less, then this Agreement shall remain in effect, but Client
         shall be relieved of its obligation to pay for that portion of the
         Services affected for the period of such failure of performance; or (B)
         for more than thirty days, then Client may Disconnect only that portion
         of any Service Order so affected, following ten business days prior
         written notice to Seller. The Disconnection of a Service of Service
         Orders shall not affect any remaining Service Orders, and shall not
         constitute a termination of this Agreement.

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11.3     If the Services are unavailable to Client as a result of any Force
         Majeure event described in Section 11.1, Client may be entitled to an
         Outage Credit as set forth in Section 6.

12.      INDEMNIFICATION:

12.1     Client shall indemnify and hold harmless the Seller and the Seller's
         affiliates, officers, directors, agents and its employees
         ("AFFILIATES"), and any third party provider or operator of services
         employed by Seller and/or its Affiliates in the provision of the
         Services, from and against, and shall reimburse Seller and/or
         Affiliates for, any and all losses, liabilities, deficiencies, claims
         and expenses (including, but not limited to, costs of defense and
         reasonable attorneys' fees) incurred by Seller and/or Affiliates and
         arising from or in connection with: (A) any breach of any covenant or
         agreement of Client contained in this Agreement; (B) any
         misrepresentation or breach of any of the representations and
         warranties contained in this Agreement by Client; (C) any claims for
         personal injury, death or damage to property caused by the negligence
         or willful misconduct of Client; or (D) any claims, including but not
         limited to claims for infringement of any intellectual property right,
         that may be asserted by parties other than Client who have use of or
         access to the Services through Client.

13.      ASSIGNMENT:

13.1     Neither this Agreement nor any of Client's rights or obligations
         hereunder may be sold, assigned, sublet, encumbered or transferred by
         operation of law or otherwise (hereafter, a "TRANSFER"), without the
         prior written consent of Seller which will not be unreasonably
         withheld. Any Transfer by Client without Seller's prior written consent
         shall entitle Seller, at its option, to: (A) consider the Transfer
         void; (B) consent to the Transfer, and hold the Client and any
         transferee(s) liable hereunder; or (C) terminate this Agreement
         immediately upon delivering written notice to Client. Subject to the
         foregoing, this Agreement shall be binding upon and inure to the
         benefit of the parties hereto and their respective successors or
         purported assigns. Seller may transfer, assign, or otherwise in any
         manner encumber this Agreement and its rights and obligations hereunder
         without Client's prior consent.

14.      WARRANTIES AND LIMITATION OF LIABILITY:

14.1     Seller warrants that the Services shall be provided in accordance with
         the Technical Specifications. If Seller determines that the Services
         are not being provided in accordance with the Technical Specifications
         (a "DEFECT" or "DEFECTS"), Seller shall use reasonable efforts to
         conform the Services to the Technical Specifications.

14.2     THE WARRANTIES CONTAINED IN THIS AGREEMENT ARE EXCLUSIVE AND IN LIEU OF
         ALL OTHER WARRANTIES, WHETHER EXPRESS, IMPLIED OR STATUTORY, INCLUDING
         WITHOUT LIMITATION IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR
         A PARTICULAR PURPOSE. SELLER HEREBY SPECIFICALLY DISCLAIMS ANY
         LIABILITY TO CLIENT FOR DEFECTS OR INTERRUPTIONS AFFECTING THE SERVICES
         FURNISHED HEREUNDER WHICH ARE ATTRIBUTABLE TO CLIENT'S INTERCONNECTION
         FACILITIES OR TO CLIENT'S EQUIPMENT FAILURES, ANY SERVICES NOT PROVIDED
         BY SELLER OR TO CLIENT'S BREACH OF THIS AGREEMENT.

14.3     IN NO EVENT SHALL SELLER OR ITS AFFILIATES BE LIABLE TO CLIENT, ITS
         EMPLOYEES, ANY OF ITS AFFILIATES OR TO ANY THIRD PARTY FOR: (A) ANY
         LOSS OF PROFIT OR REVENUE, OR FOR ANY INDIRECT, CONSEQUENTIAL,
         INCIDENTAL, PUNITIVE OR SIMILAR OR ADDITIONAL DAMAGES, WHETHER INCURRED
         OR SUFFERED AS A RESULT OF ANY DEFECTS, UNAVAILABILITY OF SERVICES,
         DELAY IN DELIVERY OF SERVICES, PERFORMANCE, NON-PERFORMANCE,
         TERMINATION, BREACH, OR OTHER ACTION OR INACTION UNDER THIS AGREEMENT,
         OR FOR ANY OTHER REASON, EVEN IF CLIENT ADVISES SELLER OF THE

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         POSSIBILITY OF SUCH LOSS OR DAMAGE; OR (B) FOR ANY OUTAGE OR INCORRECT
         OR DEFECTIVE TRANSMISSIONS, OR ANY DIRECT OR INDIRECT CONSEQUENCES
         THEREOF, EXCEPT AS IS SPECIFICALLY PROVIDED IN SECTION 6 REGARDING
         OUTAGE CREDITS.

14.4     NOTWITHSTANDING ANYTHING IN THIS AGREEMENT TO THE CONTRARY: (A) CLIENT
         AGREES THAT ITS SOLE REMEDY IN THE EVENT OF ANY BREACH OF THE
         WARRANTIES DESCRIBED IN SECTION 14.1 OF THIS AGREEMENT SHALL BE THE
         OUTAGE CREDITS DESCRIBED IN SECTION 6; AND, (B) IN NO EVENT SHALL THE
         CUMULATIVE LIABILITY OF SELLER UNDER THIS AGREEMENT, INCLUDING ANY
         OUTAGE CREDITS, EXCEED THE TOTAL PAYMENTS PAID BY CLIENT TO SELLER
         HEREUNDER.

14.5     Client acknowledges that Seller has no ability to independently test or
         maintain the Services. As such, notwithstanding anything in this
         Agreement to the contrary, Seller's entire duty with respect to the
         Services shall be to use commercially reasonable efforts to test and
         maintain such Services in accordance with the Technical Specifications.

15.      NON-DISCLOSURE AND PUBLICITY:

15.1     Client shall not disclose to any third party the terms and conditions
         of this Agreement without the prior written consent of the Seller.
         Client shall not use the Seller's name in publicity or press releases
         without obtaining the Seller's prior written approval, which approval
         shall not be unreasonably withheld.

15.2     Seller may issue a news release, public announcement, advertisement, or
         other form of publicity (a "PRESS RELEASE") concerning the existence of
         this Agreement or the Services to be provided under this Agreement
         without the consent of Client so long as such Press Release is limited
         to identifying the names of the Parties and a general description the
         Services to be provided hereunder, including the duration of the
         Service term, provided that no such Press Release shall set forth any
         pricing information without the prior written approval of the Client.

16.      MISCELLANEOUS:

16.1     Client shall execute documents, provide information and cooperate with
         Seller as may be reasonably required by Seller to provide the Services.

16.2     Client expressly disclaims any right, title, perpetual right of use or
         any other interest in or to any equipment or property used or supplied
         by Seller under this Agreement.

16.3     Neither this Agreement, nor the provision of Services hereunder, shall
         create a partnership or joint venture between the parties or result in
         a joint communications service offering to any third parties.

16.4     The failure of either party to give notice of Default or to enforce or
         insist upon compliance with any term or condition of this Agreement
         shall not constitute a waiver of the Default or of any term or
         condition of this Agreement.

16.5     If any claim, suit or arbitration is brought or an attorney is retained
         by either party to enforce the terms of this Agreement, to enforce a
         judgment of a court or the arbitrators or to collect any moneys due
         hereunder or to collect money damages for breach hereof, the prevailing
         party shall be entitled to recover, in addition to any other remedy,
         reimbursement for reasonable attorneys' fees, court costs, costs of
         investigation and other related expenses incurred in connection
         therewith.

16.6     The parties agree that this Agreement shall be governed by, interpreted
         and construed in accordance with the laws of the State of Illinois
         without regard to choice of law principles. The parties further agree
         that any suit, action, or proceeding with respect to this Agreement
         shall be brought in the courts of Cook County in the State

                                       8

<PAGE>

         of Illinois or in the U.S. District Court for the Northern District of
         Illinois. The parties accept the sole and exclusive jurisdiction of
         those courts for the purpose of any such suit, claim, action or
         proceeding. The parties waive their right to trial by jury.

16.7     No modification of this Agreement or any Service Order shall be binding
         upon the parties unless the modification is made in writing and signed
         by an authorized representative of each party.

16.8     If any provision of this Agreement is invalid or unenforceable under
         applicable law, the provision shall be ineffective only to the extent
         of such invalidity, without affecting the remaining parts of the
         provision or the remaining provisions of this Agreement. Client and
         Seller agree to negotiate any such invalid or unenforceable provision
         to the extent necessary to render such part valid and enforceable.
         Subject to Section 4.3, if any provision of this Agreement conflicts
         with any statute, rule or order of any governmental or regulatory body,
         or Tariff filed by Seller or one of Seller's underlying suppliers,
         then, if required by law, this Agreement shall remain in effect but
         shall be automatically modified by such conflicting law, statute, rule,
         order or Tariff.

16.9     Sections 2.1, 5.4, 7.1, 7.2, 12.1, 14.2, 14.3, 14.4, 14.5, 15, 16.5,
         16.6 and 16.10 of this Agreement shall survive the performance,
         termination or expiration of this Agreement.

16.10    All notices, requests, demands and other communications required or
         permitted hereunder shall be in writing and shall be given by: (A) hand
         delivery; (B) first-class registered or certified mail with postage
         prepaid; (C) overnight receipted courier service; or (D) telephonically
         confirmed facsimile transmission, which notice is addressed to the
         Seller at the address set forth below or as may be designated in
         writing by the Seller. All notices, requests, demands and other
         communications from Seller to Client shall be addressed to Client at
         the address reflected in Seller's books and records. Notices given in
         accordance with subpart (b) of this Section shall be deemed delivered
         three days from the date of mailing. Notices given in accordance with
         subparts (a), (c) or (d) of this Section shall be effective upon
         receipt or when receipt is refused. Notwithstanding the foregoing,
         Seller may also deliver notices by electronic mail. Notices sent by
         electronic mail shall be effective upon transmission by Seller.

                  To Seller:
                                       ----------------------------------------
                                       UNIVERSAL ACCESS, INC.
                                       ----------------------------------------
                                       233 South Wacker Drive, Suite 600
                                       ----------------------------------------
                                       Chicago, Illinois 60606
                                       ----------------------------------------
                                       Facsimile:  (312) 660-5050
                                       ----------------------------------------
                                       Phone:  (312) 660-5000
                                       ----------------------------------------
                                       Attn.:  Client Services
                                       ----------------------------------------

                  With a copy to:
                                       ----------------------------------------
                                       UNIVERSAL ACCESS, INC.
                                       ----------------------------------------
                                       233 South Wacker Drive, Suite 600
                                       ----------------------------------------
                                       Chicago, Illinois 60606
                                       ----------------------------------------
                                       Facsimile: (312) 660-5041
                                       ----------------------------------------
                                       Phone: (312) 660-5000
                                       ----------------------------------------
                                       Attn.: Legal Department
                                       ----------------------------------------

The addresses set forth may be changed upon delivery of appropriate written
notice to the Client.

16.11    This Agreement comprises the complete and exclusive statement of the
         agreement of the parties and supersedes all previous statements,
         representations, and agreements, oral or written, concerning the
         subject matter hereof.

                                       9

<PAGE>

                                   SCHEDULE A

                            TECHNICAL SPECIFICATIONS

1.       INTERCONNECT SPECIFICATIONS:

     1.1 The Client interconnection point of DS-1 & DS-3 signals at the Seller
         (SPT) location will be at an industry standard (DSX-1) & (DSX-3)
         digital cross-connect panels and will be referred to as Seller Network
         Interface in this document.

     1.2 The DS-1 & DS-3 signals terminating at the Seller digital cross-connect
         panels will meet the electrical specifications as defined in AT&T
         Compatibility Bulletin (CB) No. 119, Issue 3, October, 1979.

     1.3 The Seller Digital Network will be compatible with the Bell System
         hierarchical clock synchronization methods and stratum levels as
         described in Bellcore Technical Advisory (GR436-Core).

     1.4 Client equipment must also meet the interconnect specifications listed
         above and shall comply with jitter requirements of AT&T Technical
         Reference PUB 63411.

2.       PERFORMANCE OBJECTIVES:

     2.1 DS1, DS3, OC-3, OC-12, OC-48, OC-3c, OC-12c, and OC-48c circuit
         performance will be measured using two parameters: Availability and
         Error-Free Seconds.

         The following assumptions apply to the derived data:

              The circuits originate and terminate on the SONET OC-48 backbone
              High speed protection switching:  1 for N, where N=2
              MTTR for SONET equipment:  2 hours
              MTTR for fiber optic cable:  12 hours (Bellcore Standard)
              Cable cut rate:  4.39 /year/1,000 sheath miles (Bellcore Standard)

     2.2 Availability is a measure of the relative amount of time during which
         the circuit is available for use. According to CCITT and ANSI
         definitions, unavailability begins when the Bit Error Ratio (BER) in
         each second is worse than 1.0 E-3 for a period of 10 consecutive
         seconds.

         OPTICAL CARRIER LEVEL 1 (OC-1): The optical signal that results from
         an optical conversion of an electrical STS-1 signal (51.840 Mb/s). This
         signal forms the basis of the interface.

         OC-3:  Optical Carrier Level 3 signal operating at 155.520 Mb/s.

         OC-12:  Optical Carrier Level 12 signal transmitting at 622.080 Mb/s.

         OC-48:  Optical Carrier Level 48 signal transmitting at 2488.32 Mb/s.

         POINT OF PRESENCE (POP): A physical location where Seller or one of
         Sellers underlying Carriers terminates lines before connecting to the
         local exchange carrier, another carrier, or directly to a customer.

     2.3 The availability objective for all circuits between Seller Network
         Interface points specified above is to provide performance levels over
         a twelve month period as follows:
<TABLE>
<CAPTION>

         --------------------------------------------------------------------
         V&H MILES                DS1,  DS3,  OC-3,  OC-12,   OC-48,  OC-3c,
                                  OC-12c, AND OC-48c
         --------------------------------------------------------------------
                   <S>                             <C>
                    0-2500                         99.999%
         --------------------------------------------------------------------
                   2501-4000                       99.998%
         --------------------------------------------------------------------
</TABLE>

         This excludes any Client provided Interconnection Facilities or other
         access links to Seller's digital network. Outages attributable to
         incidental damage to or severage of outside cable plant or scheduled
         maintenance are excluded from the performance objective stated above.

     2.4 Error-Free Seconds (EFS) and Error Seconds (ES) are the primary measure
         of error performance. An Error-Free Second

                                       10

<PAGE>

         is defined as any second in which no bit errors are received.
         Conversely, an Error Second is any second in which one or more bit
         errors are received.

         SONET:  Synchronous Optical Network is a family of optical transmission
         rates and interface standards.

         SONET TRANSPORT: Services associated with carrying OC-1 or higher-level
         signals.

         SYNCHRONOUS TRANSPORT SIGNAL LEVEL 1 (STS-1): The basic electrical
         signal with a rate of 51.840 Mb/s.

         SYNCHRONOUS TRANSPORT SIGNAL LEVEL N (STS-N): This electrical signal is
         obtained by byte interleaving N STS-1 signals together. The rate of the
         STS-N is N times 51.840 Mb/s.

         ACCEPTANCE CRITERIA: The acceptance criteria for DS1, DS3, OC-3, OC-12,
         OC-48, OC-3c, OC-12c, and OC-48c Services between Seller Network
         Interface points is to provide the performance levels shown below
         during a 60 minute test period. If no errors are observed during the
         first 15 minutes of the test, the Service may be considered acceptable.
         Access connections to Client location will be tested in accordance with
         Bell Publication 62508.

         The tables below are based on Seller's Underlying Carrier's fiber optic
         network only and on the Bellcore Specifications of the SONET delivery
         of DS1, DS3, OC-3, OC-12, OC-48, OC-3c, OC-12c, and OC-48c directly off
         the SONET Backbone. If the DS1, DS3, OC-3, OC-12, OC-48, OC-3c, OC-12c,
         and OC-48c service is delivered at the STS1 level then the general
         performance objectives fall into the industry standard.

         Table 1 below defines the general performance objectives for DS1
         service operating at 1.544 Mb/s, and the general performance objectives
         for DS3 service operating at 45 Mb/s.

               TABLE 1:
<TABLE>
<CAPTION>
               -------------------------------------------------------------------------------
                        V&H MILES              EFS               BER
               -------------------------------------------------------------------------------
                       <S>                  <C>                 <C>
                         0 - 250             99.988%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                        251 - 500            99.983%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       501 - 1000            99.971%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       1001 - 1500           99.959%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       1501 - 2000           99.948%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       2001 - 2500           99.936%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       2501 - 3000           99.925%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       3001 - 3500           99.913%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       3501 - 4000           99.902%            10 TO THE POWER OF NEGATIVE 15
               --------------------------------------------------------------------------------
</TABLE>

         Table 2 below defines the general performance objectives for OC-3,
         OC-12, OC-48, OC-3c, OC-12c, and OC-48c.

               TABLE 2:
<TABLE>
<CAPTION>
               -------------------------------------------------------------------------------
                        V&H MILES              EFS               BER
               -------------------------------------------------------------------------------
                       <S>                  <C>                 <C>
                         0 - 250             99.989%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                        251 - 500            99.984%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       501 - 1000            99.974%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       1001 - 1500           99.964%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       1501 - 2000           99.954%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       2001 - 2500           99.944%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       2501 - 3000           99.933%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       3000 - 3500           99.923%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
                       3501 - 4000           99.913%            10 TO THE POWER OF NEGATIVE 15
               -------------------------------------------------------------------------------
</TABLE>

                                       11<PAGE>

                                                                   Exhibit 10.19

                             CONTRACT OF EMPLOYMENT

EMPLOYER:      UNIVERSAL ACCESS (UK) LIMITED, registered in England and Wales
               with number 3930059, of London, UK ("the Company"); and

EMPLOYEE:      STUART HINKLEY of Sandalls Farm, Piccadilly Lane, Mayfield, East
               Sussex TN20 6RH.

This Contract sets out the terms and conditions of your employment with the
Company. It supersedes all previous arrangements or agreements (whether oral or
in writing) between you and the Company in relation to the matters dealt within
it.

PART I: CORE PROVISIONS

1    COMMENCEMENT AND CONTINUOUS EMPLOYMENT

1.1  Your employment with the Company commenced on 1 November 2000.

1.2  No previous employment counts as part of your period of continuous
     employment with the Company and therefore this date is the date of the
     commencement of your period of continuous employment.

2    JOB TITLE AND REPORTING

     Your job title is Chief Operating Officer, Europe. You will report to the
     Chairman of the Board of Directors of Universal Access, Inc. or such other
     person or persons as he or she may direct (the "Executive").

3    DUTIES

3.1  In your capacity as Chief Operating Officer, Europe, you shall devote all
     of your time, attention and skill to your duties, and shall at all times
     act with due care, diligence and prudence in the interests of the Company
     and its Group

<PAGE>

     Companies. You shall faithfully and diligently perform such duties and
     exercise such powers consistent therewith as may from time to time be
     assigned to or vested in you by the Company. Your duties include, but are
     not limited to, management of the affairs of the Company in accordance with
     its Articles of Association and responsibility for all internal and
     external affairs of the Company. Your duties are, at all times, to be
     fulfilled in a professional and competent manner.

3.2  The Company reserves the right to assign to you duties of a different
     nature either additional to or instead of those referred to in Clause 3.1
     above, it being understood that you will not be assigned duties which you
     cannot reasonably perform or which are not commensurate with your status.
     The Company reserves the right to require that you share your
     responsibilities with other officers and/or employees of the Company.

3.3  You shall obey all reasonable and lawful orders given by the Company or the
     Executive and shall comply in full with the Company's Articles of
     Association, rules, regulations, policies and procedures from time to time
     in force. In the performance of your duties, you shall comply in full with
     all applicable legal requirements, obligations and duties.

3.4  You may be required in pursuance of your duties to perform services not
     only for the Company but also for any other company within the Group and,
     without further remuneration, to accept any such office or position in any
     Group Company which is consistent with your position with the Company. For
     the avoidance of doubt, the Company reserves the right within this
     provision to second you to other companies in the Group.

4    LOCATION AND TRAVEL

     Your normal place of work is the Company's main office, currently at No.1
     Poultry, 2nd Floor, London, UK. You may be required to work for up to 30
     consecutive days at any other location in the UK or Europe as the Company

<PAGE>

     may from time to time advise you. You will be required to travel as may be
     necessary in the course of your duties, both within the UK and overseas.

5    HOURS OF WORK

     Your position is full-time and you will be required to work such hours as
     are reasonably required for the performance of your duties. For reference,
     your normal working hours are 9.00 am to 5.30 pm Monday to Friday. However,
     you will be expected to work such additional hours as are necessary to
     fulfil the requirements of your position without further remuneration.

PART II: SALARY AND OTHER BENEFITS

6    SALARY, BONUS AND EXPENSES

6.1  Your salary is (pound)250,000 per annum, payable monthly in arrears on or
     about the last day of each month, subject to all applicable statutory
     deductions for income tax and National Insurance. Your salary will be
     reviewed annually, however the Company will be under no obligation to
     increase it.

6.2  You will also be entitled to participate in an annual incentive bonus plan.
     The incentive bonus is payable based upon achievement of performance
     objectives set by the Executive in his or her sole discretion. The
     performance objectives and bonus payment terms and conditions will be set
     out in a separate document which must be signed by both yourself and the
     Company and which will be appended to this Agreement from year to year.

6.3  The Company shall reimburse all reasonable out-of-pocket expenses
     (including hotel, travelling and other expenses) specifically or generally
     authorised and wholly, properly and necessarily incurred by you on the
     business of the Company. You will provide such documentary evidence of
     expenses as the Company may reasonably require.

<PAGE>

7    PENSION AND OTHER BENEFITS

7.1  The Company will make contributions of 5% of your annual basic salary, less
     any deductions for tax or NI contributions required by law, to a personal
     pension scheme of your choice.

7.2  A contracting out certificate under SERPS is not currently in force in
     respect of your employment.

7.3  The Company will pay the premiums for providing you with life assurance
     cover subject to any limits imposed by the Inland Revenue from time to time
     and subject to cover being available at rates acceptable to the Company.

7.4  You are eligible to participate in the Company's private medical insurance
     scheme.

7.5  Your participation in any of the schemes referred to in paragraphs 7.1 to
     7.4 above is subject to the rules and provisions of the applicable scheme
     and any related contracts or policies of insurance in force from time to
     time. The Company reserves the right to vary or amend each of the schemes
     at any time without compensation to you.

7.6  For as long as you are legally entitled to drive, the Company will provide
     you with (pound)1,200 per calendar month as a non-pensionable car
     allowance. As a condition of this allowance, you must ensure that fully
     comprehensive insurance is in place for any car used by you on Company
     business or otherwise.

7.7  You must comply with the terms of any Company Car Policy in force from time
     to time and all statements of policy, rules and regulations issued by the
     Company, from time to time with regard to motor cars and the monthly
     allowance provided under Clause 7.6 above.

<PAGE>

8    HOLIDAYS

8.1  You are entitled 25 days' paid holiday in each calendar year (1 January to
     31 December) in addition to UK bank and other public holidays. Your holiday
     entitlement for the year you join the Company will be 2.08 days per
     complete month of service in that year.

8.2  You are required to follow, and are subject to, the Company's rules, which
     are from time to time in force, in relation to any holiday not used at the
     end of a calendar year.

8.3  On termination of your employment with the Company any holiday entitlement
     which has accrued at that date will be paid less any holiday entitlement
     already taken. In cases of termination of employment under paragraph 19
     below, the Company reserves the right to withhold payment for accrued
     holiday pay, subject to legal requirements.

8.4  A sum in respect of any days' holiday taken in excess of your entitlement
     as at the date of termination will be deducted from your final salary or
     any other payment due to you (which you hereby authorise) and any excess
     will be recoverable from you direct and repayable within 14 days of a
     demand for such repayment.

8.5  For the purposes of paragraphs 8.3 and 8.4 holiday entitlement for the year
     of leaving will be 2.08 days per complete month of service in that year and
     repayment for each excess day is calculated as 1/260th of your base salary
     payable under paragraph 6.1 above.

<PAGE>

PART III: COMPANY RULES

9    SICKNESS ABSENCE

9.1  If you are absent from work because of sickness or injury you must:

     9.1.1     notify the Company by 10:00am on the first day of absence; and

     9.1.2     complete and return to the Company a self-certification form in
               respect of the first seven days (including weekends) of any
               sickness absence; and

     9.1.3     provide the Company with a medical certificate from your GP or
               other registered medical practitioner for periods of sickness
               over seven days (including weekends) and with medical
               certificates for each subsequent week of sickness absence.

10   SICKNESS REQUIREMENTS

10.1 The Company may at any time require you to:

     10.1.1    undergo a medical examination (at the Company's expense) with a
               medical practitioner nominated by the Company; and/or

     10.1.2    give written permission to the Company to have access to any
               medical or health report in its complete form on your physical or
               mental condition, prepared by the medical practitioner nominated
               by the Company.

11   SICK PAY

11.1 Provided you have complied with the Company's notification and
     certification procedures and general terms relating to sickness absence
     referred to in

<PAGE>

     paragraph 9 above, you will be entitled to receive Statutory Sick Pay
     ("SSP") from the Company insofar as it is required to pay it in accordance
     with its statutory obligations for any period of incapacity for work
     exceeding three days. The first three days of sickness absence are "waiting
     days" in respect of which no SSP is payable. In addition, and again
     assuming compliance with paragraph 9, the Company will pay to you sick pay
     (at the rate of your salary under paragraph 6.1) for a period or periods in
     aggregate of 20 working days in any rolling period of 12 months. "Working
     days" means Monday to Friday.

11.2 Any outstanding or prospective entitlement to sick pay under paragraph 11.1
     above shall not limit or prevent the Company from exercising its right to
     terminate this Agreement under either paragraph 17 or 19 below or
     otherwise, and the Company shall not be liable to you for any loss arising
     from such termination.

12   GRIEVANCE PROCEDURE

     If you have a grievance relating to your employment you should first raise
     the matter with the Executive.

13   DISCIPLINARY PROCEDURE

     You will be bound by any disciplinary rules that may be notified to you. No
     disciplinary procedure will form part of the terms of your contract of
     employment.

PART IV: PROTECTION OF BUSINESS INTERESTS

14   CONFIDENTIALITY

     It is a condition of your employment that you do not, directly or
     indirectly, use, divulge or disclose to any person, firm or organisation
     (except as required by your employment) any confidential commercial or
     confidential technical information relating to the business, finances or
     affairs of the Company or any

<PAGE>

     other company in the Group, including but not limited to any such
     information relating to customers, customer lists or requirements, price
     lists or pricing structures, sales and marketing information, business
     plans or dealings, employees or officers, computer systems, software,
     financial information and plans, designs, formulae, prototypes, product
     lines, services, research activities, any document marked 'Confidential'
     (or with a similar expression), or any information which you have been told
     is confidential or which you might reasonably expect the Company or any
     other company in the Group would regard as confidential, or any information
     which has been given to the Company or Group Company in confidence by
     customers, suppliers or other persons. This restriction extends after the
     termination of your employment for any reason without time limit but does
     not apply to information which is or comes into the public domain otherwise
     than through your unauthorised disclosure.

15   OUTSIDE INTERESTS AND DEALINGS

     During the term of this Agreement, you shall devote your full time and
     attention to your duties hereunder and shall not (without the prior written
     consent of the Executive) directly or indirectly either on your own account
     or on behalf of any other person, company, business entity or other
     organisation engage in, be concerned with or provide services (whether as
     an employee, officer, director, agent, partner, consultant or otherwise) to
     any other business, save that you may hold up to 5% of any securities in a
     company which is quoted on any recognised stock exchange.

16   OWNERSHIP OF RIGHTS

16.1 Inventions, patents or design rights arising from work you are employed to
     undertake for the Company, or expected to arise from such work, shall
     belong to the Company.

<PAGE>

16.2 The rights to all development work which you make in the course of your
     employment under this Agreement, or when using technical possibilities or
     information made available to you by the Company or the Group, remains the
     property of the Company or the Group.

16.3 Both yourself and the Company acknowledge and accept the provisions of
     Sections 39 to 42 of the Patents Act 1977 ("the Act") relating to the
     ownership of employees' inventions and the compensation of employees for
     certain inventions, respectively.

16.4 Any invention, development, process, plan, design, formula, specification,
     programme or any other matter or work whatsoever, including but not limited
     to any applications to protect such matter or works made, developed or
     discovered by you, either alone or in concert, during the course of your
     employment under this Agreement shall forthwith be disclosed to the Company
     and, subject to Section 39 of the Act, shall belong to and be the absolute
     property of the Company.

PART V: TERMINATION PROVISIONS

17   NOTICE OF TERMINATION

17.1 You are required to give the Company and the Company is required to give
     you not less than three months' written notice of termination.

17.2 If, on the date you leave employment, sums are owed by you to the Company
     in respect of a season ticket or other loans, these will be deducted from
     the final salary payment or any other payment due to you, which you hereby
     authorise. Any excess will be recovered from you direct and will be
     repayable within 14 days of any demand for such repayment.

17.3 Following termination of your employment under either paragraph 17.1 above
     or 19.1 below, you shall forthwith return to the Company in accordance with
     its instructions all equipment, correspondence, records, specifications,

<PAGE>

     software, models, notes, reports and other documents and any copies thereof
     and any other property belonging to the Company or its Group Companies
     (including but not limited to keys, equipment and passes) which are in your
     possession or under your control. You shall, if so required by the Company,
     confirm in writing your compliance with your obligations under this
     paragraph 17.3.

17.4 You agree that the Company may at its absolute discretion elect, in
     writing, to pay you in lieu of all or any part of any notice period under
     paragraph 17.1 (whether given by you or the Company). For the avoidance of
     doubt, such payment shall be of base salary only and shall not include the
     value of any benefits, bonus / incentive or holiday entitlement which would
     have accrued to you had you been employed until the expiry of your notice
     period under paragraph 17.1 above.

18   GARDEN LEAVE

18.1 Once notice of termination has been given by either you or the Company, the
     Company may suspend you from the performance of your duties and/or require
     you to carry out specified duties (consistent with your status, role and
     experience) other than those referred to in Clause 3 and/or exclude you
     from any premises of the Company or any other company in the Group. Salary
     and other contractual benefits shall continue to be paid or provided
     despite such suspension and/or exclusion.

18.2 During any period of suspension and/or exclusion under paragraph 18.1, you
     shall not, without the prior written consent of the Company, contact
     (either directly or indirectly) any clients, customers, suppliers or
     employees of the Company or any other company in the Group.

18.3 In the event of your suspension and/or exclusion under paragraph 18.1, the
     Company may require you to return to the Company all property in your

<PAGE>

     possession or under your control belonging to the Company or any other
     company in the Group.

19   SUMMARY TERMINATION

19.1 The Company is entitled to terminate your employment by summary notice in
     writing if you have:

     19.1.1    been guilty of dishonesty, or other gross misconduct, or gross
               incompetence or wilful neglect of duty, or commit any other
               serious breach of this Agreement; or

     19.1.2    act in any manner (whether in the course of your duties or
               otherwise) which is likely to bring you, the Company or any
               GroupCompany into disrepute or prejudice the interests of the
               Company or any Group Company; or

     19.1.3    become bankrupt, apply for or have made against you a receiving
               order under Section 286 Insolvency Act 1986, or have any order
               made against you to reach a voluntary arrangement as defined by
               Section 253 of that Act; or

     19.1.4    resign as a director of the Company or any Group Company; or

     19.1.5    be or become of unsound mind; or

     19.1.6    be guilty of continuing unsatisfactory conduct or poor
               performance of your duties, after having received a written
               warning from the Company relating to the same; or

<PAGE>

     19.1.7    be convicted of any criminal offence, other than an offence under
               road traffic legislation for which you are not sentenced to any
               term of imprisonment whether immediate or suspended; or

     19.1.8    be or become prohibited by law from being a director.

19.2 The Company shall have the right to suspend you on full pay pending any
     investigation into any potential dishonesty, gross misconduct or any other
     circumstances which may give rise to a right to the Company to terminate
     pursuant to paragraph 19.1 above.

19.3 Any delay by the Company in exercising such right of termination shall not
     constitute a waiver thereof.

20   ADDITIONAL RESTRICTIONS

     During your employment and after the termination of your employment you
     will be bound by the terms of the Annex to this Contract.

PART VI: OTHER

21   COLLECTIVE AGREEMENTS

     There are no collective agreements affecting your terms and conditions of
     employment.

22   DEFINITION OF GROUP

     In this contract (including the Annex to it) "Group" means the Company and
     any company which is a subsidiary or holding company of it from time to
     time, or which is from time to time a subsidiary of any such holding
     company. The terms "subsidiary" and "holding company" for this purpose have
     the meanings given to them in section 736, Companies Act 1985.

<PAGE>

23   WORK OUTSIDE THE UNITED KINGDOM

     You may, during your employment, be required to work outside the United
     Kingdom for a period of longer than one month. If this need arises, you
     will be informed in writing of any changes to your terms and conditions of
     employment not more than seven days after being notified that you will be
     required to work outside the United Kingdom.

24   USE OF DATA

     The Company holds a personnel file and computer records which contain data
     concerning a wide variety of matters. These include matters such as your
     application, references, bank details, and other personal details. It is
     held for a number of reasons including for the purpose of personnel
     administration; to permit the Company to comply with its legal
     responsibilities; and to provide management information. It will be
     necessary to:

          (a)  transfer these details outside the European Economic Area ("EEA")
               where there may be no legislation concerning an individual's
               rights concerning personal data; and

          (b)  make the details available to our advisers; and/or the regulatory
               authorities.

     By signing this Contract, you agree to both this transfer of information
     outside the EEA and to the processing of information concerning you.

<PAGE>

25   GOVERNING LAW

     The contract shall be interpreted and construed in accordance with the laws
     of England and governed by the jurisdiction of the English courts.

26   SOLE AGREEMENT

     This Agreement cancels and is in substitution for all previous letters of
     engagement, agreements and arrangements (whether oral or in writing)
     relating to the subject-matter hereof between yourself and the Company all
     of which shall be deemed to have been terminated by mutual consent. This
     Agreement constitutes the entire terms and conditions of your employment
     and no waiver or modification thereof shall be valid unless in writing and
     signed by the parties.

Signed by  PATRICK C. SHUTT   /s/ Patrick C. Shutt
                              ---------------------------------

for UNIVERSAL ACCESS (UK) LIMITED

Dated:                          January 17, 2001
                              ---------------

ACCEPTANCE BY THE EMPLOYEE:

To:  UNIVERSAL ACCESS (UK) LIMITED

I acknowledge receipt of my contract of employment with Universal Access (UK)
Limited dated 1 November 2000 of which this is a copy and I agree to abide by
the terms and conditions of my employment set out in the contract.

Signed by  STUART HINKLEY     /s/ Stuart Hinkley
                              ---------------------------------

Dated:                             December 4, 2000
                              ---------------------------------

<PAGE>

                         ANNEX - ADDITIONAL RESTRICTIONS

1.   In this Annex the following words and expressions shall have the following
     respective meanings:

     (a)  "Capacity" includes personally, by an agent, whether directly or
          indirectly, whether on your own account or on behalf of any other
          individual, firm, company or other organisation and whether as
          employee, consultant, agent, director, shareholder, partner, principal
          or otherwise.

     (b)  "Customer" means any individual, firm, company or other organisation
          who was a customer or client of the Company or of any other company in
          the Group and with whom you or any person reporting directly to you
          had personal dealings during the Relevant Period.

     (c)  "Employee" means an employee of the Company or any other company in
          the Group as at the Termination Date being the President, Chief
          Financial Officer, any Vice President or any Director or Managing
          Director, or any other employee in a senior management or sales
          capacity with whom you shall have had personal dealings in the course
          of performing your duties during the Relevant Period.

     (d)  "Period of Restraint" means the period of 9 months immediately
          following the Termination.

     (e)  "Prospective Customer" means any individual, firm, company or other
          organisation with which, as at the Termination Date, there are
          negotiations ongoing with a view to him or it becoming a customer or
          client of the Company or any other company in the Group and where
          either (i) you or any person reporting directly to you have had
          personal dealings in such negotiations or (ii) you have personal
          knowledge of such negotiations.

<PAGE>

     (f)  "Relevant Period" means the period of six months immediately preceding
          the Termination Date, or, if you are still employed by the Company,
          the period of six months immediately preceding the event in question.

     (g)  "Termination Date" means the date of termination of your employment
          with the Company.

2.   You shall not, in any Capacity, either during your employment with the
     Company or any other company in the Group or during the Period of Restraint
     within the United Kingdom, any of the Member States of the European Union,
     Scandinavia, Switzerland, Central or Eastern Europe, Japan, Singapore, Hong
     Kong, the United States or Canada, engage or be interested or concerned in
     any business which is or is about to be in competition with any of the
     businesses of the Company or of any other company in the Group being
     carried on during the Relevant Period and in which you were directly
     concerned in or connected with at any time during the Relevant Period
     except by holding or being interested in not more than five per cent of the
     total issued share capital in any company whose shares are quoted or dealt
     in on a recognised stock exchange.

3.   You shall not, in any Capacity, either during your employment with the
     Company or any other company in the Group or during the Period of Restraint
     and in competition with the Company or any other company in the Group,
     canvas or solicit the custom of or seek to entice away from the Company or
     any other company in the Group (i) any Customer; or (ii) any Prospective
     Customer.

4.   You shall not, in any Capacity, either during your employment with the
     Company or any other company in the Group or during the Period of Restraint
     and in competition with the Company or any other company in the Group, do
     business with (i) any Customer; or (ii) any Prospective Customer.

<PAGE>

5.   You shall not, in any Capacity, either during your employment with the
     Company or any other company in the Group or during the Period of
     Restraint, entice or endeavour to entice away from the Company or from any
     other company in the Group any Employee (whether or not the departure of
     the Employee would constitute a breach of contract on his or her part).

6.   Whilst the covenants set out in paragraphs 2 to 5 above are considered
     reasonable by you and the Company, it is agreed that if any such
     restriction shall be found to be void but would be valid if some part
     thereof were deleted, such restriction shall apply with such deletion as
     may be necessary to make it valid and effective.

7.   In relation to each Group Company referred to in this Annex, the Company
     contracts as trustee and agent for each such Group Company.

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