Document:

<PAGE>

                                                                   EXHIBIT 10.10

                                     LEASE
                                     -----

                                     AMONG

           LAURELTON INVESTMENTS LTD. and KBK NO. 197 VENTURES LTD.
           --------------------------     -------------------------
                           (together, the "Lessor")

                                      AND

         SEAGATE SOFTWARE INFORMATION MANAGEMENT GROUP (CANADA), INC.
         ------------------------------------------------------------
                                (the "Lessee")

                                      AND

                            SEAGATE SOFTWARE, INC.
                            ----------------------
                              (the "Indemnifier")
<PAGE>

                                                  INDEX
                                                  -----

<TABLE>
<CAPTION>
                                                                                               Page
                                                                                               ----
<S>                                                                                            <C>
PART 1 - DEFINITIONS.......................................................................     1
  1.1    Definitions.......................................................................     1

PART 2 - DEMISE AND TERM...................................................................     6
  2.1    Demise and Term...................................................................     6
  2.2    Readjustment......................................................................     7

PART 3 - RENT, TAXES AND OTHER CHARGES.....................................................     7
  3.1    Basic Rent........................................................................     7
  3.2    Payment of Rent and Additional Rent...............................................     7
  3.3    Net Lease.........................................................................     7
  3.4    Rent..............................................................................     8
  3.5    Single Lease......................................................................     8
  3.6    Place of Payment..................................................................     8
  3.7    Lessee's Payment of Taxes/Sales Taxes.............................................     8
  3.8    Rental for Irregular Periods......................................................     8
  3.9    Estimate of Additional Rent.......................................................     9
  3.10   Reporting and Audit of Additional Rent............................................     9

PART 4 - ACCEPTANCE AND FIXTURING OF DEMISED PREMISES......................................     9
  4.1    Lessee Loan.......................................................................     9
  4.2    Leasehold Improvements............................................................    10
  4.3    HVAC Inducement...................................................................    11
  4.4    Early Occupation by Lessee........................................................    11
  4.5    As Is/Lessee's Alterations........................................................    11
  4.6    Restriction on Construction Times.................................................    12
  4.7    Lessor's Repairs/Work.............................................................    12
  4.8    Cash Inducement in Lieu of Lessor's Repairs/Work..................................    13
  4.9    Allowances for Leasehold Improvements.............................................    14

PART 5 - CONDUCT OF BUSINESS...............................................................    14
  5.1    Permitted Use.....................................................................    14
  5.2    Waste and Nuisance................................................................    14
  5.3    Tidy Condition/Compliance With Laws...............................................    15
  5.4    Environment Warranty - Lessee.....................................................    15
  5.5    Signs.............................................................................    15
  5.6    Payment of Lessee's Expenses......................................................    15

PART 6 - REPAIRS...........................................................................    16
  6.1    No Obligation to Repair/Replace...................................................    16
  6.2    Repairs by Lessee.................................................................    16
  6.3    Damage by Lessee..................................................................    16
  6.4    Building Compliance/Ordered Upgrades..............................................    16
  6.5    Alterations.......................................................................    17
  6.6    Increase in Insurance.............................................................    17
  6.7    Plans and Specifications..........................................................    17
</TABLE>
<PAGE>

<TABLE>
<S>                                                                                         <C>
  6.8   Non-Compliance...................................................................     17
  6.9   Lessor's Property/Fixtures.......................................................     18
  6.10  No Liens.........................................................................     18
  6.11  Destruction of Demised Premises..................................................     18

PART 7 - COMMON AREAS/SERVICES ..........................................................     19
  7.1   Control of Common Areas and Facilities...........................................     19
  7.2   Building Services................................................................     19
  7.3   Building Alarm...................................................................     19
  7.4   Parking..........................................................................     19
  7.5   Storage and Emergency Generator Rooms............................................     20
  7.6   Refuse and Deliveries............................................................     20
  7.7   Directory Board..................................................................     21
  7.8   Satellite and Communications.....................................................     21
  7.9   Bicycle Storage..................................................................     21
  7.10  Floor Loading....................................................................     22

PART 8 - ASSIGNMENT AND SUBLETTING.......................................................     22
  8.1   Assignment.......................................................................     22
  8.2   Reorganization, Change in Ownership or Use by Affiliate..........................     22

PART 9 - INSURANCE.......................................................................     23
  9.1   Lessee to Insure.................................................................     23
  9.2   Lessor to Insure.................................................................     23

PART 10 - EXCLUSION OF LIABILITY AND INDEMNITY...........................................     24
 10.1   Lessee's Indemnity...............................................................     24
 10.2   Lessor's Indemnity...............................................................     24
 10.3   Exclusion of Liability...........................................................     24

PART 11 - LANDLORD'S RIGHTS AND REMEDIES.................................................     25
 11.1   Default..........................................................................     25
 11.2   Termination of Lease.............................................................     25
 11.3   Payment of Lessor's  Expenses....................................................     26
 11.4   Right of Lessor to Perform Lessee's Covenants....................................     26
 11.5   Re-Entry.........................................................................     26
 11.6   Right of Lessor to Seize.........................................................     26
 11.7   Remedies for Non-Payment.........................................................     27
 11.8   Non-Waiver.......................................................................     27
 11.9   Remedies Cumulative..............................................................     27
 11.lO  Interest.........................................................................     27

PART 12 - MORTGAGES AND ASSIGNMENTS BY LANDLORD..........................................     27
 12.1   Subordination....................................................................     27
 12.2   Status Statement.................................................................     28
 12.3   Non-Disturbance Agreement........................................................     28
 12.4   Registration.....................................................................     28

PART 13 - OVERHOLDING BY LESSEE..........................................................     28
 13.1   Month to Month Tenancy...........................................................     28
</TABLE>

                                     -ii-
<PAGE>

<TABLE>
<S>                                                                                        <C>
PART 14 - LESSOR'S COVENANTS..............................................................   29
 14.1  Lessor's Covenants.................................................................   29
 14.2  Environment Warranty - Lessor......................................................   30

PART 15 - GENERAL CONDITIONS..............................................................   31
 15.1  Rules and Regulations..............................................................   31
 15.2  Notice.............................................................................   31
 15.3  Showing of Premises................................................................   31
 15.4  Dispute Resolution.................................................................   32

PART 16 - RIGHT OF FIRST OFFER AND EXPANSION PREMISES.....................................   32
 16.1  Right of First Offer...............................................................   32
 16.2  Expansion Premises.................................................................   33

PART 17 - OPTION TO RENEW.................................................................   34
 17.1  Grant of Option....................................................................   34
 17.2  Exercise of Option.................................................................   34
 17.3  Office Premises....................................................................   34

PART 18 - INDEMNITY.......................................................................   34
 18.1  Indemnity..........................................................................   34
 18.2  Enforcement of Indemnity...........................................................   34
 18.3  Continuation of Indemnity..........................................................   35
 18.4  No Defence.........................................................................   35
 18.5  Modification in Writing............................................................   35
 18.6  Authority..........................................................................   35
 18.7  Enurement..........................................................................   35
 18.8  Assignments, Reorganization, Etc...................................................   35

PART 19 - MISCELLANEOUS...................................................................   36
 19.1  Joint and Several Obligations......................................................   36
 19.2  Time of the Essence................................................................   36
 19.3  Headings...........................................................................   36
 19.4  Governing Law......................................................................   36
 19.5  Entire Agreement...................................................................   36
 19.6  Enurement..........................................................................   37
</TABLE>

SCHEDULE "A" - Plan of Premises
SCHEDULE "B" - Rules and Regulations
SCHEDULE "C" - Stantec Report Summary (Schedule "C" to Offer to Lease)

                                     -iii-
<PAGE>

                                     LEASE
                                     -----

THIS LEASE made the 27/th/ day of September, 1999.

BETWEEN:

          LAURELTON INVESTMENTS LTD. and KBK NO. 197 VENTURES LTD.,
          -------------------------      -------------------------
          having a business office at 3038 - 910 Mainland Street,
          Vancouver, British Columbia, V6B lA9

          (together, the "Lessor")
AND:

          SEAGATE SOFTWARE INFORMATION MANAGEMENT GROUP (CANADA),
          ------------------------------------------------------
          INC., having a business office at 840 Cambie Street,
          ----
          Vancouver, British Columbia, V6B 4J2

          (the "Lessee")

AND:

          SEAGATE SOFTWARE, INC., having a business office at 840 Cambie Street,
          ----------------------
          Vancouver, British Columbia, V6B 4J2

          (the "Indemnifier")

In consideration of the premises and the mutual covenants, agreements and
conditions herein contained, it is hereby covenanted and agreed between the
parties as follows:

                             PART 1 - DEFINITIONS
                             --------------------

1.1  Definitions
     -----------

     The terms defined herein shall have, for all purposes of this Lease, the
     following meanings unless the context expressly or by implication otherwise
     requires:

     (a)  "Additional Rent" means all sums of money, other than Basic Rent,
          which are required to be paid by the Lessee pursuant to any provision
          of this Lease whether or not they are designated as "Additional Rent";

     (b)  "Assignment" has the meaning set out in Section 8.1;

     (c)  "Basic Rent" has the meaning set out in Section 3.1;
<PAGE>

     (d)  "Building" means the building, improvements, structures and
          facilities, including parking facilities, erected on the Lands and
          having a civic address of 910 Mainland Street, Vancouver, British
          Columbia;

     (e)  "Commencement Date" means, for each of the premises comprising the
          Demised Premises, the respective date set out in Column 3 in Section
          2.1;

     (f)  "Consumer Price Index" means the Consumer Price Index for all items
          for Vancouver, British Columbia issued from time to time by Statistics
          Canada or its successor, or any other measure hereafter employed by
          Statistics Canada in lieu of such price index that measures the cost
          of living in Vancouver, British Columbia. If Statistics Canada or its
          successor no longer publishes the Consumer Price Index or no longer is
          operated by the Government of Canada, then any alternate price index
          designed to fairly reflect changes in the consumer purchasing power of
          the Canadian dollar, as agreed by the parties, failing agreement, the
          dispute shall be settled in the manner set out in Section 15.4;

     (g)  "Demised Premises" means, as and from the respective Commencement
          Dates, collectively the Initial Leased Premises, the Option Leased
          Premises and all Expansion Space, each of which premises is outlined
          in black on the floor plans annexed hereto as Schedule "A";

     (h)  "Expansion Space" means the First Expansion Leased Premises, the
          Second Expansion Leased Premises and the Third Expansion Leased
          Premises (but does not include any space leased pursuant to the Right
          of First Offer in Section 16.1);

     (i)  "Expiry Date" means, for each of the premises comprised in the Demised
          Premises, the respective date set out in Column 4 in Section 2.1;

     (j)  "First Expansion Leased Premises" means the premises in the Building
          and described in Column 1 in Section 2.1 and identified as such on
          Schedule "A" hereto;

     (k)  "Force Majeure" means any act or occurrence which delays or hinders or
          prevents a party from the performance of any term, covenant or act
          required under this Lease by reason of strikes, labour troubles,
          inability to procure material or services, power failure, restrictive
          governmental laws or regulations, riots, insurrection, sabotage,
          rebellion, war, acts of God or other reasons beyond the reasonable
          control of the applicable party hereto;

     (1)  "Hazardous Substances" means any pollutants, contaminants, deleterious
          substances, underground or above-ground tanks, asbestos materials,
          hazardous, corrosive, or toxic substances, special waste or waste of
          any kind, halon, radon, PCB's, or other pollutants, contaminants or
          hazardous materials or any other substance which is now or hereafter
          prohibited, controlled, or regulated under environmental laws;

     (m)  "Increase in Consumer Price Index" means the fraction which has as its
          numerator the Consumer Price Index for the year in question and has as
          its denominator the Consumer Price Index as of June 1, 2000;

     (n)  "Initial Leased Premises" means the premises in the Building and
          described in Column 1 in Section 2.1 and identified as such on
          Schedule "A" hereto;

                                      -2-
<PAGE>

     (o)  "Lands" means the lands on which the Building is constructed and
          legally described as: Firstly: Lots 60 and 61, Block 76, District Lot
          541, Plan 3469 and; Secondly: Lot "Z", Block 76, District Lot 541,
          Plan 20357;

     (p)  "Leasehold Improvements" means the improvements to the Demised
          Premises to be carried out by the Lessee and described in Section 4.2;

     (q)  "Lessor's Repairs/Work" means the work to be performed by the Lessor
          and described in Section 4.7;

     (r)  "Loan" means the loan described in Section 4.1;

     (s)  "Operating Costs" means (without duplication) the total costs and
          expenses incurred, accrued or attributed by the Lessor to operate,
          service, maintain, insure, manage, promote, clean, supervise, replace
          and repair the Lands, Building and Demised Premises and any common
          facilities and common areas of the Building, and the total costs and
          expenses incurred, accrued or attributed by the Lessor to discharge
          its obligations under this Lease. Without limiting the generality of
          the foregoing, such costs and expenses shall specifically include the
          supply of all utilities; landscaping; common area interior glazing
          repair and replacement, if damaged; minor repairs and partial
          replacing of roof membrane; premiums for insurance the Lessor, in its
          sole discretion, deems necessary for the operation of the Lands and
          Building, acting reasonably; painting; signs; sanitation control; snow
          removal; security; rental or replacement of machinery and equipment
          which by their nature require periodic replacement or substantial
          replacement (including without limitation, maintenance and janitorial
          equipment); the reasonable wages and salaries of personnel (including
          any benefits paid) and fees to independent contractors required in
          connection therewith; and a management fee payable to a third party or
          the Lessor for managing the Lands and Building, which management fee
          in either case shall be limited to $0.60 per square foot of Rentable
          Area during each year of the initial Term of this Lease and subject to
          an Increase in the Consumer Price Index during any renewals. Operating
          Costs shall exclude, or have deducted from them, as the case may be:

          (i)   all amounts which otherwise would be included in Operating Costs
                which are recovered by the Lessor from tenants (other than under
                sections of their leases comparable to Section 3.2 of this
                Lease);

          (ii)  such of the Operating Costs as are recovered from insurance
                proceeds, to the extent such recovery represents reimbursements
                for costs previously included in Operating Costs;

          (iii) interest on debt and capital retirement of debt;

          (iv)  ground rent payable by the Lessor to the owner of the Lands
                under any ground lease of the Lands;

          (v)   gas and hydro costs, except as permitted pursuant to Section
                7.2;

          (vi)  the amount allocated from time to time by the Lessor to, and
                relating to the Lands and Building of, any capital tax payable
                by the Lessor or the owners of the Lands and Building under any
                legislation, provincial or federal, imposing

                                      -3-
<PAGE>

                 taxes on account of capital, calculated as if the Building were
                 the only property of the Lessor or the owners of the Lands and
                 Building;

          (vii)  costs of maintaining and repairing structural elements of the
                 Building, costs of all external glazing and costs of correcting
                 construction defects as they relate to the base Building
                 finishes;

          (viii) costs for which the Lessor is reimbursed;

          (ix)   any bad debt loss, rent loss, or reserves for bad debts or rent
                 loss;

          (x)    costs associated with the operation of the business entity
                 which constitutes the Lessor as the same are distinguished from
                 the costs of operation of the Building, including accounting
                 and legal matters, costs of defending any lawsuits with any
                 mortgagee, costs of selling, syndicating, financing, mortgaging
                 or hypothecating any of the Lessor's interest in the Building,
                 costs of any disputes between the Lessor and its employees (if
                 any) not engaged in the Building operation, disputes of Lessor
                 with building management, or fees or costs paid in connection
                 with disputes with other tenants;

          (xi)   fines or penalties and interest thereon arising from the acts
                 or omissions of the Lessor or those for whom it is responsible
                 for at law;

          (xii)  subject to Section 9.2, any damage or loss resulting from any
                 casualty which the Lessor covenanted to insure against (except
                 to the extent of any deductible);

          (xiii) capital costs which do not materially reduce Operating Costs or
                 which do not improve the operation of the Building in a manner
                 which is of material benefit to either the Lessee or to the
                 Lessee's business. The parties further agree that capital costs
                 are not costs normally incurred for the repair, replacement or
                 maintenance of existing building equipment or systems, but will
                 include replacements resulting in material upgrades to such
                 equipment or systems, and will include the replacement of HVAC
                 systems and the main electrical transformers. For greater
                 certainty, the parties agree that, without limitation,
                 replacement of carpeting and toilets in common areas when
                 needed and to a standard consistent with a Class B professional
                 building, and minor repairs and partial replacement of roof
                 membranes are examples of repair and maintenance rather than
                 capital cost items, but upgrades made to the Building to enable
                 the Lessor to better market the Building are examples of
                 capital cost items not of material benefit to either the Lessee
                 or its business;

          (xiv)  subject to Section 14.2, the cost of removing, encapsulating or
                 otherwise abating any Hazardous Substance in or about the
                 Building (except if placed or caused by the Lessee or those for
                 whom the Lessee is responsible at law);

          (xv)   legal fees pertaining to leasing issues, space planner's fees,
                 real estate brokers' leasing commissions, lease take-over
                 costs, advertising and marketing expenses and all other leasing
                 expenses;

                                      -4-
<PAGE>

          (xvi)  the wages of an employee for the periods of time that such
                 employee is not devoting his or her time to the Building
                 (allocations of the time pooled employees are permitted); and

          (xvii) all costs associated with repair or maintenance of HVAC
                 equipment, plumbing, electrical equipment and all other
                 utilities servicing all Rentable Areas in the Building other
                 than the Demised Premises;

     (t)  "Option Leased Premises" means the premises in the Building and
          described in Column 1 in Section 2.1 and identified as such on
          Schedule "A" hereto and leased pursuant to Section 16.2;

     (u)  "Possession Date" means, for each of the premises comprising the
          Demised Premises, the respective date set out in Column 2 in Section
          2.1 for the purpose of planning and constructing the Leasehold
          Improvements;

     (v)  "Proportionate Share" means the proportion, at any given time, that
          the aggregate Rentable Area of the premises comprising the Demised
          Premises as at that time is of the aggregate of all Rentable Areas in
          the Building (aggregating at a minimum 222,739 square feet);

     (w)  "Rent" has the meaning set out in Section 3.4;

     (x)  "Rentable Area" means, with respect to the Demised Premises on the
          first and second floor of the Building, the Usable Area of such
          premises multiplied by 112% and, with respect to the Demised Premises
          on the third floor of the Building, the Usable Area of such premises
          multiplied by 108.4%), except that in the case of the Lessee leasing a
          full floor in the Building, the Rentable Area of such floor shall be
          the Usable Area of such floor without a gross up factor;

     (y)  "Rentable Areas in the Building" means the aggregate of all rentable
          areas within the Building, as determined from time to time by the
          Landlord, acting reasonably, being the aggregate of the Rentable Area
          of the Demised Premises, the rentable areas of all spaces and premises
          in the Building serviced by air-conditioning, as defined in the
          Landlord's other leases and rental contracts with other tenants from
          time to time, and the rentable area of any vacant space serviced by
          air-conditioning measured in a comparable manner to such other leases
          and rental contracts;

     (z)  "Sales Taxes" means taxes, value-added taxes, multistage taxes,
          business transfer taxes and any other similar taxes imposed in respect
          of the rent payable by the Lessee under this Lease or in respect of
          the Demised Premises;

     (aa) "Second Expansion Leased Premises" means the premises in the Building
          and described in Column 1 in Section 2.1 and identified as such on
          Schedule "A" hereto;

     (bb) "Taxes" means the real property taxes (including local improvement
          rates), licence fees, assessments, or other charges levied or imposed
          by any provincial, municipal, school or other authority against the
          Lands and Buildings or the Demises Premises;

     (cc) "Term" means for each of the premises comprising the Demised Premises,
          the respective period of time set out in Column 5 in Section 2.1;

                                      -5-
<PAGE>

     (dd) "Third Expansion Leased Premises" means the premises in the Building
          and described in Column 1 in Section 2.1 and identified as such on
          Schedule "A" hereto; and

     (ee) "Usable Area" means, subject to Section 4.7(f), the usable area of the
          Demised Premises calculated in accordance with the methods of
          measuring usable areas as described in the Standard Method for
          Measuring Floor Area in Office Buildings, ANSI Z65.1-1980 (reaffirmed
          in 1989), as promulgated by the Building Owners and Managers'
          Association (BOMA) International.

                           PART 2 - DEMISE AND TERM
                           ------------------------

2.1  Demise and Term
     ---------------

     In consideration of the rents, covenants, conditions and agreements
     hereinafter reserved and contained on the part of the Lessee to be paid,
     observed and performed, the Lessor hereby demises and leases unto the
     Lessee the Demised Premises on the terms and conditions contained herein.
     To hold the Demised Premises for and during the Term, unless sooner
     terminated pursuant to the terms of this Lease, commencing on the
     respective Commencement Date and ending on the Expiry Date, as follows:

<TABLE>
<CAPTION>
     --------------------------------------------------------------------------------------------
                  Column 1            Column 2        Column 3       Column 4      Column 5
                  --------            --------        --------       --------      --------
          Premises/Rentable Area     Possession     Commencement      Expiry         Term
                  (sq. ft.)             Date            Date           Date
     --------------------------------------------------------------------------------------------
     <S>                             <C>            <C>              <C>           <C>
     8,572 - 1/st/ floor             January 1,     June 1, 2000     May 31,       7 years
     14,065 - 2/nd/ floor            2000                            2007
     19,504 - 3/rd/ floor
     (the "Initial Leased
     Premises")
     --------------------------------------------------------------------------------------------

     11,238 - 3/rd/ floor            August 1,      December 1,      May 31,       6 years,
     (the "First Expansion Leased    2000           2000             2007          6 months
     Premises")
     --------------------------------------------------------------------------------------------

     12,752 - 3/rd/ floor            April 1, 2001  July 1, 2001     May 31,       5 years,
     (the "Second Expansion                                          2007          11 months
     Leased Premises")
     --------------------------------------------------------------------------------------------

     29,043 - 3/rd/ floor            September 1,   January 1, 2002  May 31,       5 years,
     (the "Third Expansion Leased    2001                            2007          5 months
     Premises")
     --------------------------------------------------------------------------------------------

     14,645 - 3/rd/ floor            September 1,   January 1, 2002  May 31,       5 years,
     (the "Option Leased             2001                            2007          5 months
     Premises")
     --------------------------------------------------------------------------------------------
</TABLE>

     Subject to existing encumbrances and utility rights of way (whether
     registered or unregistered), the Lessor also agrees that the Lessee is
     entitled to the exclusive use of that exterior area of the

                                      -6-
<PAGE>

     Lands located adjacent to the first floor of the Building beside the
     Initial Leased Premises, approximately as outlined in red on the floor plan
     annexed hereto as Schedule "A", provided that if such area is used for the
     Lessee's parking, the terms and conditions of Section 7.4 will apply to
     such parking.

2.2  Readjustment
     ------------

     If the Rentable Area of the Demised Premises was estimated by or on behalf
     of the Lessor for the purposes of this Lease because the Rentable Area
     thereof could not be accurately calculated prior to the execution of the
     Lease, or if the Rentable Area of the Demised Premises changes at any time
     during the Term, then, when the Rentable Area of the Demises Premises can
     be accurately calculated and if the estimate previously made was not
     correct or has changed, the Rentable Area of the Demised Premises shall
     then be calculated as provided herein and the appropriate adjustments made
     with respect to Basic Rent payable under this Lease and to the definition
     of Proportionate Share. Notwithstanding the foregoing, at all times the
     aggregate of all rentable areas in the Building will, for the purposes of
     the definition of Proportionate Share, be not less than 222,739 square
     feet.

                    PART 3 - RENT, TAXES AND OTHER CHARGES
                    --------------------------------------

3.1  Basic Rent
     ----------

     The Lessee covenants and agrees to pay to the Lessor in lawful money of
     Canada rent in the amount of $12.50 per square foot of Rentable Area of the
     Demised Premises per annum (the "Basic Rent") from and as of the respective
     Commencement Dates during the Term.

3.2  Payment of Rent and Additional Rent
     -----------------------------------

     The Lessee shall pay Basic Rent in advance in equal monthly instalments
     without set-off or deduction on the 1st day of each month during each year
     of the Term to the Lessor, the first of such payments to be made on the
     respective Commencement Dates, together with the following:

     (a)  goods and services tax attributable to Basic Rent;

     (b)  the Lessee's Proportionate Share of Operating Costs;

     (c)  the Loan payments pursuant to Section 4.1;

     (d)  payment for the parking stalls pursuant to Section 7.4;

     (e)  the monthly rent for the storage and emergency generator rooms
          pursuant to Section 7.5; and

     (f)  any other Additional Rent.

3.3  Net Lease
     ---------

     It is understood and agreed that this Lease is a completely net lease to
     the Lessor except as otherwise stated in this Lease. The Lessor is not
     responsible for any costs, charges or expenses

                                      -7-
<PAGE>

     relating to the Demised Premises, their upkeep, use, occupancy, contents,
     equipment, improvements or the business carried on in them and the Lessee
     shall be responsible for all such charges, impositions, costs and expenses,
     except as stated in this Lease.

3.4  Rent
     ----

     It is further understood and agreed that the term "Rent" as used in this
     Lease shall include all Basic Rent, and all other costs, charges or
     expenses relating to the Demised Premises or the Lands and Building which
     are the responsibility of the Lessee hereunder and such other charges, if
     any, shall be designated as Additional Rent.

3.5  Single Lease
     ------------

     For greater certainty the parties agree that, notwithstanding the
     respective Commencement Dates for the portions of the Demised Premises,
     this is a single lease in respect of the Demised Premises. Without limiting
     the generality of the foregoing, a default by the Lessee in payment of
     Basic Rent or a breach of any term with respect to a portion of the Demised
     Premises is a breach of this Lease in respect of all of the Demised
     Premises and the Lessor may exercise its rights and remedies against the
     Lessee with respect to all of the Demised Premises.

3.6  Place of Payment
     ----------------

     All payments of Rent shall be paid to the Lessor at the address shown on
     page 1 or at such other address as the Lessor shall designate in writing.

3.7  Lessee's Payment of Taxes/Sales Taxes
     -------------------------------------

     The Lessee covenants to pay to the Lessor upon written notice from the
     Lessor, as Additional Rent hereunder, its Proportionate Share of Taxes. The
     Lessee with the prior written consent of the Lessor, such consent not to be
     unreasonably withheld or delayed, may, at its own expense, contest any
     Taxes and appeal any assessments with respect to the Land, Building and the
     Demised Premises, provided all penalties, interest and other costs arising
     out of such actions are to be paid for by the Lessee (unless the Lessee is
     successful and in such event such costs are to be included in Operating
     Costs).

     The Lessee shall pay Sales Taxes whether they are characterized as a goods
     and services tax, sales tax, value-added tax, multi-stage tax, business
     transfer tax or otherwise with the intent that the Lessor be fully
     indemnified in respect of all Sales Taxes payable or collectible in respect
     of the Rent payable in respect of this Lease or the Demised Premises. Sales
     Taxes payable by the Lessee will be calculated by the Lessor in accordance
     with the applicable legislation.

3.8  Rental for Irregular Periods
     ----------------------------

     If the Term of this Lease expires before the end of any calendar year with
     respect to which Additional Rent is payable under this Lease, the Lessee
     shall pay its Proportionate Share of such Additional Rent based upon the
     number of days of the term of this Lease within such year, and the Lessee
     shall pay such Additional Rent upon demand, notwithstanding that the term
     of this Lease may have expired at the time of such demand.

                                      -8-
<PAGE>

3.9  Estimate of Additional Rent
     ---------------------------

     It is agreed that the Lessor may estimate the amount of Additional Rent for
     each year and upon notice from the Lessor, the Lessee shall pay the amount
     so estimated in instalments of such amount or amounts and at such time or
     times as the Lessor shall determine, including but without limiting the
     generality of the foregoing, on the 1st day of each and every month of the
     Term. Within thirty (30) days after determination of the actual amount of
     the Additional Rent for which the Lessee is responsible, there shall be an
     appropriate adjustment between the Lessor and the Lessee so that the total
     amount paid by the Lessee pursuant to this Section in advance or by
     instalments or otherwise does not exceed the actual amount of Additional
     Rent for which the Lessee is responsible in respect of the year for which
     the Lessee made advance or instalment payments. Notwithstanding the
     foregoing, nothing in this Section 3.9 shall be interpreted to require the
     Lessee to prepay estimated Taxes more than thirty (30) days prior to the
     date(s) on which such tax payments are payable to the taxing authority,
     provided that the Lessee covenants and agrees that a default in paying the
     estimated Taxes, upon not less than five (5) days' notice from the Lessor,
     at least thirty (30) days prior to such date(s) provides to the Lessor the
     same remedies as a default in the payment of Rent. The Lessor shall forward
     to the Lessee a copy of each statement of the Taxes issued by the City of
     Vancouver within ten (10) days of receipt.

3.10 Reporting and Audit of Additional Rent
     --------------------------------------

     The Lessor shall deliver to the Lessee within one hundred and twenty (120)
     days after the end of each fiscal year a written statement setting out in
     reasonable detail the actual amount of Additional Rent for such fiscal year
     and the statement shall be audited if requested by the Lessee within one
     hundred and twenty (120) days of receipt of such statement at the Lessee's
     expense (unless such audit determines that the Lessor has overcharged the
     Additional Rent by more than 3%, and in such event, solely at the Lessor's
     cost) by a certified chartered accountant of the Province of British
     Columbia. The Lessee, at its option and cost, shall be permitted to review
     such audited statement with the Lessor's auditor upon providing at least
     fourteen (14) days' prior notice to the Lessor.

             PART 4 - ACCEPTANCE AND FIXTURING OF DEMISED PREMISES
             -----------------------------------------------------

4.1  Lessee Loan
     -----------

     The Lessor agrees to loan to the Lessee an amount (the "Loan") equal to the
     cost of the Leasehold Improvements but in any event, the Loan will not
     exceed $25.00 multiplied by the Rentable Area in square feet of each area
     comprising the Demised Premises. In the event that the Lessee exercises its
     option to lease the Option Leased Premises, the Lessor and the Lessee agree
     that the cumulative Loan payable for the third floor portion of the Demised
     Premises shall not exceed $25.00 multiplied by the Usable Area in square
     feet of the entire third floor. The Loan will be advanced to the Lessee in
     instalments, no more than once per month, and will be paid directly to the
     Lessee's contractor, subject to the Lessor holding back any applicable
     builders lien holdback for the statutory period. The instalments will be
     paid up to the monetary limit of the Loan set out above upon receipt by the
     Lessor of an invoice from the Lessee accompanied by the Lessee's written
     authorization to disburse the funds, and provided this Lease has been
     executed by the Lessee and no liens are filed against title to the Lands
     pertaining to the Leasehold Improvements. The Lessor agrees that it will
     pay any applicable

                                      -9-
<PAGE>

     goods and services tax ("GST") on any work in respect of which the Loan is
     advanced at the time of such advance, and the Lessee acknowledges and
     agrees that the Lessor is solely entitled to the applicable input tax
     credit in respect of any such GST, and further, that the Lessee covenants
     and agrees to deliver such input tax credit refund to the Lessor upon
     receipt, but in any event, the Lessee shall pay the amount of the GST to
     the Lessor within sixty (60) days of payment by the Lessor. The Loan will
     bear simple interest of 8.00% per annum on the amount of the Loan advanced
     from time to time, will be amortized over the initial Term of this Lease as
     applicable for the part of the Demised Premises for which the Loan is
     advanced at any time and will be repaid by the Lessee to the Lessor in
     equal monthly instalments due and payable concurrently with the payment of
     Basic Rent. The Lessor agrees that the Lessee may prepay the Loan, or any
     part thereof, at any time during the Term without notice, penalty or bonus.
     Notwithstanding the foregoing, if this Lease is terminated for any reason
     whatsoever including, without restricting the generality of the foregoing,
     pursuant to Section 6.11, or if any of the events in Section 11.2 shall
     occur, the Loan and all accrued interest shall forthwith become due and
     shall be paid within sixty (60) days if this Lease is so terminated, or
     shall be paid immediately if any of the events in Section 11.2 shall occur,
     as the case may be. The obligation of the Lessee to repay the Loan and all
     accrued interest shall survive the termination of this Lease.

     In consideration of the Lessor entering into this Lease, the Lessee grants
     to the Lessor as security for payment of the Loan a continuing and specific
     security interest in the Leasehold Improvements. The Lessor may, at its
     option, register or file any necessary statements or documents in
     accordance with the Personal Property Security legislation of the Province
     of British Columbia to preserve and to perfect the security interest
     created in favour of the Lessor in this Lease. The Lessee hereby
     acknowledges receiving a copy of this Lease and waives all rights to
     receive from the Lessor a copy of any financing statement, financing change
     statement or verification statement filed at any time or from time to time
     in respect of the security interest granted herein.

4.2  Leasehold Improvements
     ----------------------

     The Loan will be advanced to the Lessee for the following items (the
     "Leasehold Improvements"):

     (a)  all Lessee's interior improvements and remodelling, including a new
          main reception area, open workstation areas, private hard wall
          offices, conference rooms, coffee/kitchenettes with hot and cold
          running water with sink, cabinetry, etc., additional hard wall offices
          and laboratories, signage, telecom and data cabling costs, certain and
          specific demolition and reconstruction, new carpeting, doors and
          hardware throughout the Demised Premises, wall coverings, painting,
          and patching throughout;

     (b)  exterior Building and lobby and floor directory signage;

     (c)  any use/occupancy permit, certificate or other formal permission
          documentation necessary from the City of Vancouver for the Lessee's
          occupancy; and

     (d)  design, architectural, engineering, mechanical, electrical and other
          miscellaneous working drawings.

                                     -10-
<PAGE>

4.3  HVAC Inducement
     ---------------

     As an inducement for the Lessee agreeing to execute this Lease, the Lessor
     shall pay to the Lessee $8.00 (plus applicable goods and services tax) per
     square foot of the Usable Area leased by the Lessee towards the cost of
     installing a new HVAC system for the Demised Premises as designed by the
     Lessee's consultants. Such inducement shall be payable on the applicable
     Commencement Dates for the Demised Premises. Subject to Section 7.9, the
     Lessor shall provide the Lessee during the Term and any renewal thereof
     with exclusive use of, and unrestricted access to, the area within the
     existing enclosure housing the existing HVAC unit labelled #6, free of
     Rent, to provide the Lessee with a roof pad for the housing of the Lessee's
     HVAC equipment. Subject to Section 7.9, the Lessee shall also have the use
     of, and unrestricted access to, the existing enclosure housing the existing
     HVAC unit labelled #l in common with the Lessor (who may install a small
     HVAC unit to serve the balance of the area currently being served by Unit
     #l not being leased by the Lessee), free of Rent during the Term of this
     Lease and any renewals thereof. If, as and when existing HVAC units
     currently serving the third floor of the Building are decommissioned by the
     Lessor, the Lessor will provide the areas within the enclosures housing
     those units to the Lessee free of Rent as required for the purpose of
     housing the Lessee's additional HVAC equipment, provided that if the
     Lessee, acting reasonably, does not require such enclosure for such
     purpose, the Lessor may use such enclosure for other purposes. The Lessor
     confirms that the Lessee may, at its cost, construct an enclosure
     surrounding the Lessee's HVAC equipment within each of the areas provided
     for the Lessee's use pursuant to this Section. The Lessee will have
     unrestricted access at all times to its HVAC equipment. The Lessor will be
     solely responsible on a non pass-through basis for any required
     modifications to existing HVAC units serving, or installing any new HVAC
     units required to serve, other tenants in the Building.

4.4  Early Occupation by Lessee
     --------------------------

     Subject to Force Majeure, the Lessee shall be entitled to have access to
     the Demised Premises for the purpose of planning and constructing its
     Leasehold Improvements on the applicable Possession Dates. During any
     period prior to a Commencement Date (being the fixturing period from the
     Possession Date to a Commencement Date) in which the Lessee is permitted to
     have occupancy of premises forming part of the Demised Premises, whether
     exclusively or in common with the Lessor, its contractors, sub-contractors
     or employees, and with respect to such premises, the Lessee shall be bound
     by all the provisions of this Lease other than those requiring payment of
     Rent. If a Possession Date is delayed as a result of Force Majeure, the
     applicable Commencement Date will be extended by a period equivalent to any
     period of delay.

4.5  As Is/Lessee's Alterations
     --------------------------

     The Lessee confirms that it is leasing the Demised Premises on an "as is"
     basis with the exception of Lessor's Repairs/Work. Any alterations the
     Lessee wishes to carry out to the Demised Premises shall comply with the
     terms of this Lease and the Lessee shall obtain any applicable approvals
     from the City of Vancouver and of the Lessor's architects, mechanical,
     electrical and structural consultants, at the Lessee's cost. The Lessee
     agrees to review all building permit applications with the Lessor or
     Lessor's consultants prior to submittal of same to the City of Vancouver,
     and to amend said permits as reasonably required by the Lessor to ensure
     that only expenditures which must be listed are included in the
     application, which applications the Lessor agrees to review without delay.
     The Lessee will prepare and submit to the Lessor for the Lessor's written
     approval, such approval not to be unreasonably withheld or

                                     -11-
<PAGE>

     delayed, all plans and specifications for the proposed Lessee's work and
     fixturing for the Demised Premises. The Lessor acknowledges that the
     Lessee's alterations will result in building code upgrades being required
     to the Building for which the Lessor will be solely responsible, and agrees
     that the extent, type or cost of such upgrades will not be reason for the
     Lessor to object to any alterations proposed by the Lessee (i.e. the
     Leasehold Improvements are anticipated to be comparable to the Lessee's
     improvements at 840 Cambie Street, and to include one internal stairwell
     connecting the first floor, second floor and third floor of the Building
     and a data systems centre).

4.6  Restriction on Construction Times
     ---------------------------------

     The Lessee acknowledges that there are approximately thirty (30) days,
     inclusive of weekends, throughout the calendar year wherein other Building
     tenants conduct intensive selling shows that are crucial to their financial
     success. Upon being advised of those dates in writing by the Lessor at the
     beginning of each calendar year, the Lessee, acting reasonably, agrees to
     schedule such improvement work so as to avoid disruptive construction noise
     and disturbance to other Building tenants, it being agreed that
     construction noise after 5:00 p.m. on said days shall be acceptable. If
     requested by the Lessee, acting reasonably, the Lessor agrees that if the
     Lessee is unable to work on its Leasehold Improvements during any part of a
     fixturing period as a result of this obligation to accommodate other
     Building tenants the Commencement Dates will be extended by a period
     equivalent to any period of delay.

4.7  Lessor's Repairs/Work
     ---------------------

     The Lessor shall, at its cost, provide only those repairs and improvements
     detailed as follows, unless otherwise provided in this Lease:

     (a)  Electrical Service. As per Schedule "C" to this Lease except that two
          ------------------
          electrical rooms and a 120/208V distribution centre are to be provided
          by the Lessor within the Demised Premises, size and location of the
          electrical rooms and distribution centre are to be determined by the
          Lessee and approved by the Lessor, such approval not to be
          unreasonably withheld or delayed;

     (b)  Lighting. As per Schedule "C" to this Lease;
          --------

     (c)  Location for Lessee's Emergency Power Equipment. As per Schedule "C"
          to this Lease;

     (d)  Demolition. Demolition including removal of all interior partitions to
          ----------
          underside of structure and the removal of resilient and carpet
          flooring. Existing t-bar ceiling and lighting is to remain unless its
          removal is requested by the Lessee on or before November 27, 1999
          provided that with respect to the 3/rd/ floor the Lessee has first
          provided a ceiling plan to the Lessor and the Lessor, acting
          reasonably, has approved such plan;

     (e)  Windows. Twelve (12) linear feet by five (5) feet of exterior window
          -------
          in each full exterior bay, with the exception of where exterior wall
          washrooms are located, the two (2) bays on the second floor fronting
          on Mainland Street, and where stairwells or other impediments makes
          the installation of exterior windows impractical. All existing windows
          will be replaced with new windows measuring twelve (12) linear feet by
          five

                                      -12-
<PAGE>

          (5) feet (the existing windows are twelve (12) feet by approximately
          three (3) feet). Building compatible standard window coverings
          throughout (which are to be venetian blinds, colour and type to be
          selected by the Lessee) are to be provided for all exterior windows;

    (f)   Demising. Construction of demising walls to the underside of the slab
          --------
          (reusing and adding to existing insulated walls where possible).
          Notwithstanding the foregoing, at the option of the Lessor the Lessor
          may elect to construct new walls between the Demised Premises and
          other Building leasable areas consisting of steel studs placed
          adjacent to existing demising walls finished with taped and sanded
          drywall to the underside of the slab on the Demised Premises' side of
          the said new wall. The Lessee acknowledges that the said new walls are
          of material benefit to the Lessee and agrees that, notwithstanding the
          specifications for the Usable Area measurement, the Demised Premises
          shall be measured from the middle of the existing walls between the
          Demised Premises and other rentable areas in the Building;

    (g)   The Lessor appreciates that installing new exterior windows and
          enlarging existing exterior windows negatively affects the seismic
          performance of the Building, and that any exterior stiffness removed
          must be replaced. Accordingly, the Lessor has designed a system
          whereby the exterior stiffness is replaced on the exterior wall
          without the requirement for any interior bracing or sheer walls.

    All of the work described above shall be completed by the Lessor to a
    building standard consistent with a Class B professional office building and
    shall encompass the specific reasonable requirements of the Lessee. Prior to
    November 30, 1999 for the Initial Leased Premises and thereafter prior to
    the Possession Dates for the First, Second and Third Expansion Leased
    Premises, the Lessee and Lessor will each, acting reasonably, prepare,
    approve and commit to a schedule of dates by which the Lessor's Repairs/Work
    must be completed, subject to Force Majeure. The Lessee acknowledges that
    performance of certain elements of the Lessor's Repairs/Work are contingent
    upon the Lessee first providing plans or specifications or completing
    certain tenant improvements, and that delays in completing the Lessor's
    Repairs/Work as a result of the Lessee not providing said plans or
    specifications or performing said tenant improvements shall not constitute a
    breach of this provision by the Lessor and shall extend each of the said
    dates accordingly. The Lessee and the Lessor agree that contractors for each
    of the Lessee and the Lessor may undertake work within the Demised Premises
    concurrently.  Subject to the Lessee not causing delays as set out herein,
    the Lessor acknowledges that its failure to complete the Lessor's
    Repairs/Work in accordance with the approved schedule of dates for the
    Initial Leased Premises may cost the Lessee additional rent at its present
    or alternative premises, and accordingly the Lessor agrees to indemnify the
    Lessee for any base rent and additional rent which are incurred by the
    Lessee as a direct consequence of the Lessor's failure to complete the
    Lessor's Repairs/Work as scheduled. The Lessor also agrees that the
    Commencement Date for any portion of the Demised Premises not completed as
    scheduled will be deferred for a period of time equivalent to the period of
    delay.

4.8 Cash Inducement in Lieu of Lessor's Repairs/Work
    ------------------------------------------------

    The Lessor agrees that the Lessee may elect by notice in writing to the
    Lessor on or before October 27, 1999 to receive a cash payment in lieu of
    the Lessor completing any part of the Lessor's Repairs/Work, such payment
    to be in an amount to be mutually agreed upon between the Lessor and the
    Lessee, each acting reasonably. Any such payment is to be paid by the

                                      -13-
<PAGE>

     Lessor to the Lessee's contractor (subject to the Lessor holding back the
     appropriate lien holdback amounts) no more than once per month upon
     receipt of an invoice from the Lessee accompanied by the Lessee's written
     authorization to disburse the funds up to the monetary limits established
     with respect to such inducement, and provided the Lessee has executed this
     Lease and no liens are filed against title to the Lands pertaining to the
     Leasehold Improvements. The Lessor's obligation to complete such part of
     the Lessor's Repairs/Work which is attributable to the cash payment will be
     satisfied by such payment being received by the Lessee. The Lessee
     acknowledges that the Lessor will be solely entitled to the applicable
     input tax credit in respect of such payments in the same manner as set out
     in Section 4.1.

4.9  Allowances for Leasehold Improvements
     -------------------------------------

     The Lessor agrees to provide to the Lessee the following allowances which
     are to be paid to the Lessee on or before the earlier of June 1, 2000 or
     the date the costs have been incurred for the following work (as evidenced
     by invoices), provided this Lease has been executed by the Lessee and no
     liens are registered against title to the Lands pertaining to the Leasehold
     Improvements:

     (a)  the sum of $32,000.00 (plus GST) to be applied by the Lessee to
          upgrade four washrooms located within the Initial Leased Premises; and

     (b)  the sum of $37,500.00 (plus GST) to be applied by the Lessee to
          construct a corporate entrance for the Demised Premises.

     The Lessee acknowledges that the Lessor will be solely entitled to the
     applicable input tax credit in respect of such payments in the same manner
     as set out in Section 4.1.

                         PART 5 - CONDUCT OF BUSINESS
                         ----------------------------

5.1  Permitted Use
     -------------

     The Lessee shall not use or permit the Demised Premises or any part thereof
     to be used for any purpose other than for general administrative and field
     support office use associated with any software and computer engineering or
     development company, or any other legally permitted use compatible with
     office buildings of comparable quality and approved in writing by the
     Lessor, such approval not to be unreasonably withheld or delayed. It is
     agreed that it shall not be unreasonable for the Lessor to withhold
     approval of a use which in the Lessor's reasonable opinion is not
     compatible with a professional office building.

5.2  Waste and Nuisance
     ------------------

     The Lessee shall not commit or suffer to be committed any waste upon the
     Demised Premises or any nuisance in or on the Demised Premises. The Lessee
     agrees that the Lessor may determine, acting reasonably, if any such state
     or condition exists. The Lessor acknowledges and agrees that the Lessee
     shall have the right to maintain a kitchen in the Demised Premises. The
     Lessee shall take all necessary steps to ensure that no odours escape
     from the Demised Premises into any other areas of the Building, including
     other tenants' premises.

                                      -14-
<PAGE>

5.3  Tidy Condition/Compliance With Laws
     -----------------------------------

     The Lessee, at the end of each business day, shall leave the Demised
     Premises in a clean and tidy condition and shall be responsible for all
     janitorial services within the Demised Premises. The Lessee shall comply
     with all provisions of law governing the conduct of their business and
     their use of the Demised Premises including, without limitation, federal,
     provincial and/or municipal regulations which relate to the partitioning,
     equipment operation and use of the Demised Premises, and the making of any
     repairs, replacements, alterations or changes to the Demised Premises, and
     shall comply with all police, fire and sanitary regulations imposed by any
     duly constituted authority or regulations made by the Lessor or fire
     insurance underwriters, and shall observe and obey all governmental and
     municipal regulations and other requirements governing the conduct of any
     business conducted in or upon the Demised Premises, provided such
     compliance, observation or abeyance is made necessary by an act or omission
     of the Lessee or by those for whom the Lessee is responsible at law, or by
     the nature of the Lessee's business or by the manner in which the Lessee
     conducts its business.

5.4  Environment Warranty - Lessee
     -----------------------------

     The Lessee represents and warrants that to its knowledge it does not
     utilize any Hazardous Substances in its operations and the Lessee
     covenants, warrants and agrees with the Lessor that it will not bring
     Hazardous Substances onto the Demised Premises. The Lessee further
     covenants and agrees to indemnify the Lessor and its directors, officers,
     employees, agents, successors, and assigns from any and all liabilities,
     actions, damages, claims, remediation cost recovery claims, losses, costs,
     orders, fines, penalties, and expenses whatsoever (including all legal and
     consultants' fees and expenses and the cost of remediation of the Demised
     Premises and any adjacent property) arising from or in connection with:

     (a)  any breach of or non-compliance with the provisions of this Section by
          the Lessee; or

     (b)  the release of any Hazardous Substances at or from the Demised
          Premises related to or as a result of the use and occupation of the
          Demised Premises or any act or omission of the Lessee or any person
          for whom it is in law responsible.

     The obligations of the Lessee under this Section shall not survive the
     expiry or earlier termination of this Lease.

5.5  Signs
     -----

     The Lessee may install exterior Building signage and lobby and floor
     directory signage of a kind and size, and affixed or installed in a manner
     approved in writing by the Lessor (such approval not to be unreasonably
     withheld or delayed) and subject to the prior approval of the City of
     Vancouver where required.

5.6  Payment of Lessee's Expenses
     ----------------------------

     The Lessee shall pay promptly all business taxes, license fees, charges,
     telephone, garbage and utilities bills, taxes, sales taxes, value added
     taxes, duties and assessments now charged or to be charged in respect of
     the Lessee, the Basic Rent, Additional Rent, the business carried on by the
     Lessee and/or any installation made in or upon or any alteration or
     improvements made in or to or any moveable property brought on the Demised
     Premises and in particular fixtures, machinery and similar things of a
     commercial or industrial undertaking and to reimburse the

                                     -15-
<PAGE>

    Lessor to the extent and on account of any increase by way of insurance
    rate, taxes or rates levied by any municipal, public or governmental
    authority payable by the Lessor (other than Taxes which are governed by
    Section 3.7) if such increase is the direct or indirect result of anything
    done or omitted by the Lessee contrary to the provisions and covenants
    contained herein, or that is a result of any installation, alteration or
    improvement made in or upon the Demised Premises by the Lessee or any
    assignee, sub-lessee, invitee or licensee of the Lessee.

                          PART 6 - REPAIRS
                          ----------------

6.1 No Obligation to Repair/Replace
    -------------------------------

    The Lessor shall be under no obligation to repair, maintain or replace the
    Lessee's installations, HVAC systems servicing the Demised Premises,
    alterations, additions, partitions and fixtures or anything in the nature
    of a leasehold improvement made or installed by or on behalf of the Lessee.

6.2 Repairs by Lessee
    -----------------

    The Lessee shall repair and maintain the Demised Premises, and, without
    limitation, the HVAC equipment, plumbing, electrical equipment and all
    other utilities and facilities servicing the Demised Premises as would a
    careful owner, including glass, locks and doors of the Demised Premises and
    shall leave the Demised Premises in good repair, including interior
    painting if such painting is required because of damage done by the Lessee
    to the Demised Premises, reasonable wear and tear excepted. The Lessee
    shall permit the Lessor to enter during normal business hours (except in
    the case of emergency, in which case the Lessor may enter at any time
    without notice) to view the state of repair and the Lessee shall repair
    according to notice in writing; PROVIDED HOWEVER, damage by fire, lightning
    and tempest and other casualty against which the Lessor is insured and
    structural repairs to the Building, including the roof and outside walls
    thereof, are expressly excepted from this covenant of the Lessee to repair.
    Except as otherwise provided for in this Lease, it is agreed by and between
    the parties hereto that mechanical, electrical, plumbing and other repairs
    to the base systems and structure of the Building shall be carried out by
    the Lessor and not by the Lessee, save and except for damage done or caused
    by the Lessee or its agents, contractors, employees, licensees or invitees
    and save and except for damage from improper installation of fixtures
    installed by or on behalf of the Lessee.

6.3 Damage by Lessee
    ----------------

    If the Demised Premises or any part of the Building shall be damaged or
    destroyed through negligence, carelessness or misuse by the Lessee, its
    servants, agents, employees, invitees or anyone permitted by it to be in
    the Demised Premises, all costs and expenses of the necessary repairs,
    cleaning, replacements or alterations resulting therefrom shall be borne by
    the Lessee, and shall be paid by the Lessee to the Lessor forthwith on
    demand as Additional Rent.

6.4 Building Compliance/Ordered Upgrades
    ------------------------------------

    The Lessee acknowledges that the condition of the Building is currently
    designated as "Legal, Non-Conforming" by the City of Vancouver. Any
    upgrades to the Demised Premises and/or Building including building systems
    ordered by the City of Vancouver as a result of the Lessor's Repairs/Work
    or the Leasehold Improvements that have received prior approval by the

                                     -16-
<PAGE>

     Lessor, or any other regulatory body having jurisdiction over the Building,
     during the Term or any renewal thereof shall be at the sole cost and
     expense of the Lessor. The Lessor agrees that in the event the Lessor is
     required by the City or other governmental authority to complete upgrades
     to the Building and such work materially disrupts the Lessee's operations,
     Rent will abate for such period of time and with respect to such portion of
     the Demised Premises as are affected by such disruption.

6.5  Alterations
     -----------

     The Lessee shall not cause or permit to be caused any waste or damage,
     disfiguration or injury to the Demised Premises or the Building or the
     fixtures and equipment thereof or cause or permit to be caused any
     overloading of electrical or other systems of the Building or the floors
     thereof; and not place therein any safe, heavy business machine, or other
     heavy thing, without first obtaining the express consent in writing of the
     Lessor. The Lessee shall not make or permit to be made any alterations,
     additions or improvements to the Demised Premises or the Building systems
     or any part thereof without first obtaining the prior express consent in
     writing of the Lessor, and without using contractors or other qualified
     workmen first designated or approved by the Lessor in writing, such consent
     not to be unreasonably withheld or delayed. Notwithstanding the foregoing,
     the Lessee shall be entitled to make any non-material alterations,
     installations or renovations to the Demised Premises without the consent of
     the Lessor provided the Lessee gives written notice to the Lessor that such
     work will be performed.

6.6  Increase in Insurance
     ---------------------

     The Lessee shall pay to the Lessor the amount of the increase for any
     insurance coverage to the extent that such increase is directly
     attributable to any action by the Lessee under this Lease, and the Lessee
     covenants that such insurance shall not thereby be made liable to avoidance
     or cancellation by the insurer by reason of such alterations, additions or
     improvements.

6.7  Plans and Specifications
     ------------------------

     The Lessee when requesting the Lessor's consent to said alterations,
     additions or improvements, shall submit to the Lessor five (5) copies of
     all plans and specifications for said alterations, additions or
     improvements. Such plans and specifications shall include but not be
     limited to details of architectural, electrical, mechanical, heating,
     ventilating and air conditioning and plumbing work and such other items and
     information as the Lessor may reasonably require, all as drawn to scale.
     Plans and specifications shall include dimensions, materials and colour and
     texture specifications and colour chips where appropriate. All reasonable
     costs, expenses and fees of the Lessor incurred in respect to such work
     shall be paid as Additional Rent by the Lessee on demand.

6.8  Non-Compliance
     --------------

     In the event that the Lessor determines that any alterations, additions or
     improvements made to the Demised Premises or the Building systems serving
     the Demised Premises do not comply with all applicable statutes,
     regulations or by-laws of any municipal, provincial or other governmental
     authority, and the Lessee, after receipt of notice from the Lessor, does
     not rectify such non-compliance with due diligence, then the Lessor's
     designated contractors may, at the Lessor's option, rectify or repair said
     deficiency which shall be at the Lessee's sole cost and expense, the same
     to be paid as Additional Rent by the Lessee to the Lessor upon demand.

                                     -17-
<PAGE>

6.9  Lessor's Property/Fixtures
     --------------------------

     At the expiration of the Term and any renewal, or the earlier determination
     of this Lease, all alterations, additions, floor coverings, light fixtures
     and improvements made to or installed upon or in the Demised Premises
     (including, without limitation, the Leasehold Improvements) and which in
     any manner are attached in, to, on or under the floors, walls or ceilings
     shall remain upon and be surrendered and automatically transferred to the
     Lessor with the Demised Premises as a part thereof, without disturbance,
     molestation or injury and shall be and become the absolute property of the
     Lessor without any payment or indemnity by the Lessor to the Lessee, except
     that the Lessee will have the right, but not the obligation, to remove:

     (a)  the emergency generator and the uninterrupted power supply backup
          system installed by the Lessee, provided the Lessee repairs at its
          cost all damage caused by such removal; and

     (b)  any trade fixtures which were approved by the Lessor and installed
          upon or in the Demised Premises, by either the Lessor or the Lessee,
          in which event the Lessee covenants and agrees to make good any damage
          or injury caused to the Demised Premises resulting from such removal.

6.10 No Liens
     --------

     The Lessee shall not permit, do, or cause anything to be done to the Lands
     and Building or the Demised Premises which would allow any lien, lis
     pendens, judgment or certificate of any Court to be imposed or to remain
     upon the Demised Premises, its contents, or the Lands and Building. In the
     event of the registration of any such lien, the Lessee shall at its own
     expense immediately cause the same to be discharged.

6.11 Destruction of Demised Premises
     -------------------------------

     In the event that the Demised Premises or the Building or any part thereof
     shall, at any time during the Term, be destroyed or damaged by fire,
     lightning, tempest, explosion, act of God or the Queen's enemies, so as to
     render the Demised Premises unfit for the purposes of the Lessee, then the
     Rent hereby reserved, or a proportionate part thereof, according to the
     nature and extent of the destruction or damage sustained, shall abate, such
     suspension in the case of destruction or damage to be until the Demised
     Premises have been rebuilt and made fit for the Lessee's repair or
     replacement of its fixtures and improvements; provided that either the
     Lessor or the Lessee shall have the option, in the event the Building or a
     substantial part thereof being substantially destroyed or damaged such that
     the Building or any part thereof cannot be repaired within one hundred
     eighty (180) days of the commencement of repair and rebuilding as
     determined by the Lessor's architect, acting reasonably, such determination
     to be made and communicated to each of the Lessor and the Lessee within
     sixty (60) days after such destruction or damage occurring to terminate
     this Lease on giving to the other party within thirty (30) days after
     receipt of such architect's determination notice in writing of its
     intention to so terminate this Lease, and thereupon Rent and any other
     payments for which the Lessee is liable under this Lease shall be
     apportioned to a date being sixty (60) days after such notice is given, and
     the Lessee shall on such latter date immediately deliver up vacant
     possession of the Demised Premises to the Lessor together with repayment of
     the Loan and all accrued interest. If such option is not exercised, the
     Lessor shall diligently rebuild the Demised Premises to the extent of its
     obligations as described in this Lease (provided that the Lessor shall not
     be obligated to

                                     -18-
<PAGE>

     provide any loans, allowances or inducements to the Lessee) and the Lessee
     shall erect and install the Leasehold Improvements.

                        PART 7 - COMMON AREAS/SERVICES
                        ------------------------------

7.1  Control of Common Areas and Facilities
     --------------------------------------

     The Lessor shall at all times have the right of control over the common
     areas and common facilities of the Lands and Building and sidewalks
     adjacent to the Lands. Such control includes control of security,
     deliveries, contractors present in the Building, signs, traffic control,
     access, the hours of operation and the use made by the Lessee and/or the
     public of such common areas and common facilities.

7.2  Building Services
     -----------------

     Subject to Force Majeure, the Lessor agrees, in addition to other common
     area services, to provide the Lessee with access to lighting, electrical,
     elevator usage (i.e. elevator closest to Cambie Street) parking and HVAC
     seven (7) days a week twenty-four (24) hours per day. As required, the
     Lessee may install, at its sole cost, a card access security system for the
     doors within the Building servicing solely the Demised Premises. The Lessee
     may also install, at its sole cost, security cameras within the common
     areas in the Building. Wherever reasonably practical, electrical costs for
     the Demised Premises will be metered by the Lessor, at the sole cost of the
     Lessor, and the full amount of said costs, including Sales Taxes, charged
     directly to the Lessee as Additional Rent based upon the BC Hydro Schedule
     1220 for Commercial Accounts (or comparable replacements thereof if said
     schedule is discontinued or modified by BC Hydro or a successor provider of
     electrical utilities). The Lessee agrees to pay its share of hydro used by
     or benefiting the Lessee that is not directly metered, as estimated by the
     Lessor acting reasonably, as an Operating Cost. The Lessee shall also
     reimburse the Lessor, based upon the rates charged to the Lessor for said
     utilities from time to time, for the Lessee's natural gas and excessive
     water consumption, it being agreed that installation of an open loop water
     based air-conditioning system by the Lessee shall constitute excessive
     water consumption and a closed loop water based air-conditioning system
     shall not constitute excessive water consumption.

7.3  Building Alarm
     --------------

     The Lessee acknowledges that the Lessor currently alarms the Building with
     perimeter protection and motion detector protection between approximately
     11:45 p.m. and 7:00 a.m. daily. The Lessee agrees to use best efforts in
     preventing its employees and invitees from entering the Building common
     hallways during these alarm activation hours, and agrees to reimburse the
     Lessor for the Lessor's direct costs resulting from alarms caused by the
     Lessee, the Lessee's employees and the Lessee's invitees. The Lessor and
     the Lessee agree to work together to disengage alarms in areas of the
     Building which will be frequented by the Lessee to accommodate the Lessee's
     reasonable working requirements.

7.4  Parking
     -------

     Subject to the second paragraph of this Section 7.4, the Lessee shall have
     the right to rent random or reserved, as determined by the Lessor, in its
     sole discretion, parking stalls in the Building based upon a ratio of one
     (1) stall per 1,000 square feet of Rentable Area of the

                                     -19-
<PAGE>

     Demised Premises throughout the Term and any renewals thereof. The rental
     rates for the parking stalls is subject to adjustment to comparable parking
     rates in the area and are currently $60.00 per month (plus Sales Taxes) for
     random parking stalls and $70.00 per month (plus Sales Taxes) for reserved
     parking stalls. Further, the Lessee shall have the exclusive right to the
     parking adjacent to the southerly asphalt parking area adjacent to the
     second floor of the Building, including the parking on the ramp leading
     down to the said parking area, which parking area shall be included in the
     foregoing parking ratio. No later than sixty (60) days prior to the
     Commencement Date of each area comprising the Demised Premises the Lessor
     shall notify the Lessee in writing of the respective number of random and
     reserved parking stalls allocated for its use and that the Lessee has
     fifteen (15) days from receipt of such notice to respond. The Lessee shall
     advise the Lessor, in writing, of the number of stalls it elects to take
     within fifteen (15) days of receipt of such notice.

     It is agreed that the Lessee shall have the right to cancel any or all of
     said parking stalls upon not less that thirty (30) days' written notice.
     Should the Lessee wish to reinstate the use of any parking stalls, it shall
     provide the Lessor with three (3) months' notice in writing.

     It is further agreed that in the event that the Lessor deems it necessary
     to carry out maintenance work to the roof area of the Building the Lessor
     shall have the right to temporarily suspend the Lessee's parking privileges
     for affected parking stalls during the period reasonably required for said
     work, it being understood that the parking rates for such affected parking
     stalls shall abate for a corresponding period.

7.5  Storage and Emergency Generator Rooms
     -------------------------------------

     The Lessor will provide 1,000 to 1,400 square feet of storage premises in
     the Building for the Term of this Lease and any renewals thereof if
     required by the Lessee. Said storage premises may be relocated by the
     Lessor in its sole discretion, acting reasonably, to space of comparable
     size and with comparable improvements, at its cost, from time to time
     throughout the Term or any renewal thereof upon not less than thirty (30)
     days' written notice to the Lessee. In addition to the storage premises,
     the Lessor will provide an area of approximately 625 square feet adjacent
     to the first floor exterior wall of the Demised Premises for the Lessee's
     emergency generator for the Term of this Lease and any renewals thereof.
     The Lessee agrees to pay monthly rent for said storage space and emergency
     generator space based upon $8.00 gross per square foot per annum during the
     Term, and at market rates for storage space in the Building during any
     renewals of this Lease. The Lessee will have unrestricted access at all
     times to its emergency generator. Any disputes as to the market rate for
     such spaces will be resolved in the manner set out in Section 15.4. The
     parties agreed that the provisions of Sections 4.1, 4.3, 4.4, 4.7 and 7.4
     and Schedule "C", shall not apply to said storage premises or emergency
     generator rooms.

7.6  Refuse and Deliveries
     ---------------------

     The Lessee shall not place or leave or permit to be placed or left in or
     upon any part of the Lands and Building any debris or refuse except as
     allowed by the Lessor at specific times for refuse, deposit and pick-up in
     areas indicated by the Lessor. In addition, all deliveries for the Lessee
     shall be in such areas designated by the Lessor for that purpose.

                                     -20-
<PAGE>

7.7  Directory Board
     ---------------

     The Lessee shall be entitled to have its name shown upon the directory
     board of the Building, but the Lessor shall in its sole discretion design
     the style of such identification and allocate the space on the directory
     board for each tenant of the Building.

7.8  Satellite and Communications
     ----------------------------

     Subject to the Lessee obtaining at its cost all required regulatory and
     governmental approvals, the Lessor shall permit the Lessee to place
     satellite transmission or receiving or other communication equipment
     related to the conduct of its business on the roof of the Building covering
     an aggregate area of not greater than 150 square feet at any time during
     the Term of this Lease or any renewals thereof, at the Lessee's cost. The
     Lessor shall not charge rent of any kind or nature for such use by the
     Lessee, provided further that the Lessor shall approve the location of such
     equipment prior to installation of same, such approvals not to be
     unreasonably withheld or delayed, and the Lessor, acting reasonably may
     relocate such equipment from time to time at the Lessor's cost. Any direct
     increase in Operating Costs for the Building attributable to maintenance
     and use of this equipment will be paid for entirely by the Lessee as
     Additional Rent.

     Notwithstanding the foregoing, it is agreed that said communication
     equipment shall not be placed in any areas which limit or restrict parking
     or vehicular movement on the roof of the Building. In the event that the
     Lessor elects to perform repair or maintenance work in a roof area covered
     or impacted by said communication equipment, the Lessee agrees, upon not
     less than fourteen (14) days' written notice, to temporarily relocate said
     equipment at its cost.

     The Lessee shall have 24 hour access to telecommunications centres within
     the Building other than those rented to other parties on an exclusive
     basis, it being understood that during periods when the Building is alarmed
     the Lessee shall employ, at the Lessee's cost, the Lessor's alarm response
     company to access the telecommunication centres. The Lessor will facilitate
     the Lessee getting additional telecommunications carriers into the
     Building. The Lessee shall be permitted to route communications cabling and
     such wiring and ducting as may be required for its emergency generator and
     communications equipment throughout the common areas of the Building
     between their various spaces or through premises leased by other tenants
     (to the extent required, the Lessee acting reasonably, and to the extent
     the Lessor can accommodate, acting reasonably), provided that the Lessee
     does so with as little disruption to other Building occupants as reasonably
     possible and is liable for any damage to the Building or any portion
     thereof as a result of said cabling.

7.9  Bicycle Storage
     ---------------

     The Lessor agrees to provide to the Lessee, free of charge, sufficient
     parking stalls (anticipated to be two or three) to accommodate up to forty
     (40) bicycles during the Term of this Lease and any renewal thereof. At the
     Lessor's cost, the Lessor will cover the parking stalls, install bike
     racks, secure the stalls with fencing and install a locking device
     permitting access to only authorized personnel of the Lessee provided that
     the Lessor shall not have any liability for any theft or damage to any
     bikes in the bicycle storage area unless such theft or damage results from
     the negligence or wrongful act of the Lessor or those for whom, in law, the
     Lessor is responsible. It is agreed that the provisions of Sections 4.1,
     4.3, 4.4, 4.7 and 7.4 and Schedule "C", hereof shall not apply to said
     bicycle storage area. In the event that the existing HVAC

                                     -21-
<PAGE>

     enclosure housing HVAC unit #l or HVAC unit #6 is not required by either
     the Lessee (in the sole opinion of the Lessee, acting reasonably) or the
     Lessor for new HVAC equipment, the Lessee's bicycle storage area may
     alternatively be located within the said enclosure provided it is first
     modified by the Lessor as required herein. Notwithstanding the foregoing,
     it is agreed that said bicycle storage area may be relocated by the Lessor,
     at its cost, from time to time throughout the Term and any renewal thereof
     to an alternative area within or adjacent to the Building.

7.10 Floor Loading
     -------------

     The Lessor hereby represents and warrants that the floor loading capacity
     of the first floor of the Building is at least 100 lbs. per square foot,
     live load, and the floor loading capacity of the second floor of the
     Building is at least 150 lbs. per square foot, live load, and the floor
     loading capacity of the third floor of the Building is at least 50 lbs. per
     square foot, live load.

                      PART 8 - ASSIGNMENT AND SUBLETTING
                      ----------------------------------

8.1  Assignment
     ----------

     The Lessee agrees not to assign this Lease or any interest herein, or
     sublet, license, transfer or part with possession of the Demised Premises
     or any part thereof (collectively called an "Assignment") without first
     obtaining the prior express consent in writing of the Lessor, which consent
     shall not be unreasonably withheld or delayed, provided in all cases the
     Lessee's covenant remains on this Lease. In requesting the Lessor's
     consent, the Lessee shall give the Lessor no less than thirty (30) days'
     written notice of the terms of any contemplated Assignment, which notice
     shall specify the name and address of the proposed sublessee, assignee or
     licensee with such financial statements, credit, character and other
     references and information (including the type of business proposed to be
     conducted and carried out on the Demised Premises) as the Lessor may
     reasonably require. In the event that the Lessor should consent to any such
     Assignment, the Lessor shall nevertheless, and does hereby reserve its
     right to approve any further Assignment, and may require, as a condition of
     the Lessor giving its consent, that the assignee, sublessee, licensee or
     person taking possession covenant directly with the Lessor to observe and
     perform the Lessee's obligations contained in this Lease. The acceptance of
     Rent from or the performance of any obligation hereunder by a person other
     than the Lessee shall not be construed, in the absence of the prior express
     consent in writing of the Lessor, as an admission by the Lessor that such
     person has any right to or interest in the Demised Premises. Except with
     the express written consent of the Lessor, no permitted Assignment shall
     release the Lessee or the Indemnifier of their obligations hereunder. The
     Lessee shall pay to the Lessor as Additional Rent the reasonable costs and
     fees of the Lessor associated with any such request for an Assignment.

8.2  Reorganization, Change in Ownership or Use by Affiliate
     -------------------------------------------------------

     The Lessor agrees that a reorganization, merger, sale, partnership change
     or other change in ownership interest of the Lessee shall not be deemed to
     be an Assignment within the meaning of Section 8.1, for which the Lessee
     must obtain the prior consent in writing of the Lessor. It is further
     agreed that the use by, or the subleasing to any subsidiary, affiliate or
     successor of the Lessee shall not be deemed an Assignment under Section
     8.1.

                                     -22-
<PAGE>

                              PART 9 - INSURANCE
                              ------------------

9.1  Lessee to Insure
     ----------------

     The Lessee will take out and keep in force during the Term of this Lease
     all perils replacement cost insurance for the Lessee's HVAC system for the
     Demised Premises and the Leasehold Improvements, and public liability and
     tenant's legal liability insurance all in amounts and with policies and
     forms satisfactory from time to time to the Lessor (but in any event not
     less than $3,000,000.00 inclusive limits) each with insurers and upon terms
     acceptable to the Lessor. Each such policy shall name the Lessor as an
     additional insured as its interest may appear and shall provide that the
     insurer shall not have any right of subrogation against the Lessor on
     account of any loss or damage covered by such insurance or on account of
     payments made to discharge claims against or liabilities of the Lessor, by
     such insurance. The cost of premium for each and every such insurance
     policy shall be paid by the Lessee. The Lessee shall obtain from the
     insurers under such policies undertakings to notify the Lessor in writing
     at least ten (10) days prior to any cancellation thereof or any material
     change therein. The Lessee agrees at the request of the Lessor to forthwith
     provide the Lessor with written evidence of the existence of the insurance
     policies described herein. The Lessee shall not do or omit or permit to be
     done or omitted upon the Demised Premises anything which shall cause the
     rate of insurance upon the Building to be increased and the Lessee shall
     comply with any and all requirements pertaining to the Demised Premises of
     any insurance organization or company necessary for the maintenance of
     reasonable fire and other insurance covering the Demised Premises or the
     Building.

9.2  Lessor to Insure
     ----------------

     The Lessor shall throughout the Term carry:

     (a)  insurance on the Building (excluding the foundations and excavations)
          and the machinery, boilers and equipment in or servicing the Building
          and owned by the Lessor or the owners of the Building (excluding any
          property which the Lessee and other tenants are obliged to insure
          under Section 9.1 or similar sections of their respective leases)
          against damage by fire and extended perils coverage;

     (b)  public liability and property damage insurance with respect to the
          Lessor's operations in the Building; and

     (c)  such other form or forms of insurance as the Lessor reasonably
          considers advisable. Such insurance shall be in such reasonable
          amounts and with such reasonable deductibles as would be carried by a
          prudent owner of a reasonably similar building, having regard to size,
          age and location. Notwithstanding any other provision of this Lease,
          the Lessor's insurance shall contain a waiver of subrogation by the
          insurers against the Lessee and its subtenants to the extent such
          waiver is commercially available.

     The Lessor, acting reasonably, shall have the right to determine that if
     insurance premiums for the Building shall increase materially in the sole
     opinion of the Lessor, acting reasonably, as a consequence of a claim being
     made pursuant to such insurance (provided that this clause shall not apply
     to claims pursuant to any public liability insurance), and in the event the
     Lessor so

                                     -23-
<PAGE>

     determines, then the Lessor may forego filing or pursuing an insured claim
     and the costs of remedying such claim shall form part of the Operating
     Costs.

                PART 10 - EXCLUSION OF LIABILITY AND INDEMNITY
                ----------------------------------------------

10.1 Lessee's Indemnity
     ------------------

     The Lessee shall indemnify and save harmless the Lessor from and against
     any and all claims of any kind whatsoever arising out of the Lessee's use
     of or presence in the Demised Premises, including without limiting the
     generality of the foregoing, all claims for personal injury, sickness or
     death or property damage suffered by the Lessor or by any other tenant of
     the Lands and Building arising out of the use of or presence in the Demised
     Premises or the Building or arising out of the conduct of any work or
     through any act or omission of the Lessee or any assignee, subtenant,
     agent, contractor, servant, employee, invitee or licensee of the Lessee or
     by reason of any breach of a term of this Lease by the Lessee and, against
     and from all costs, counsel fees, expenses and liabilities incurred in or
     resulting from any claim, action or proceeding brought thereon, unless such
     claim is caused by the Lessor or those for whom the Lessor is, at law,
     responsible. This indemnity shall survive the expiration of this Lease.

10.2 Lessor's Indemnity
     ------------------

     Notwithstanding any other provision of this Lease, the Lessor shall
     indemnify the Lessee and save it harmless from all direct loss (excluding
     economic or consequential loss), claims, actions, damages, liability and
     expense in connection with loss of life, personal injury, damage to
     property or any other loss or injury whatsoever arising out of the
     negligence of the Lessor, or any breach of the Lessor's obligations under
     this Lease, or occasioned wholly or in part by any negligent act or
     omission of the Lessor or any one for whom the Lessor is responsible at
     law, except where expressly authorized by any other provision of this
     lease. If the Lessee shall, without fault on its part, be made a party to
     any litigation commenced by or against the Lessor, then the Lessor shall
     protect, indemnify and hold the Lessee harmless in connection with such
     litigation.

10.3 Exclusion of Liability
     ----------------------

     The Lessor, its agents, servants and employees, shall not be liable nor
     responsible in any way for any damage or injury to any property of the
     Lessee which is entrusted to the care and control of the Lessor, its
     agents, servants or employees nor for any personal or consequential injury
     of any nature whatsoever that may be suffered or sustained by the Lessee or
     any employee, agent, customer, invitee or licensee of the Lessee or any
     other person who may be upon the Lands and Building or the Demised Premises
     or for any loss of or damage or injury to any property belonging to the
     Lessee or to its employees or to any other persons while such property is
     on the Lands and Building or the Demised Premises and, in particular but
     without limiting the generality of the foregoing, the Lessor shall not be
     liable for any damage or damages of any nature whatsoever to any such
     property caused by the failure by reason of a breakdown or other cause, to
     supply adequate drainage, heating, air conditioning, ventilation, snow or
     ice removal, or by reason of the interruption of any public utility or
     service or in the event of steam, water, rain or snow which may leak into,
     issue, or flow from any part of the building or from the water, steam,
     sprinkler, or drainage pipes or plumbing works of the same, or from any
     other place or quarter or for any damage caused by anything done or omitted
     by

                                     -24-
<PAGE>

     any tenant of the Building, unless such claim is directly caused by the
     Lessor or those for whom the Lessor is, at law, responsible. The Lessee
     shall not be entitled to any abatement of rent in respect of any such
     condition, failure or interruption of service; and the Lessor, its agents,
     servants, employees or contractors, shall not be liable for any damage
     suffered to the Demised Premises or the contents thereof by reason of the
     Lessor, its agents, employees or contractors, entering upon the Demised
     Premises to undertake the examination thereof or any work therein in the
     case of any emergency.

                   PART 11 - LANDLORD'S RIGHTS AND REMEDIES
                   ----------------------------------------

11.1 Default
     -------

     If and whenever the Rent (including Additional Rent) hereby reserved or any
     part thereof shall not be paid on the day appointed for the payment thereof
     and the Lessee fails to remedy such breach within three (3) business days
     of notice thereof by the Lessor, or in case of breach or non-observance or
     non-performance by the Lessee of any of the covenants, agreements,
     provisos, conditions or rules and regulations on the part of the Lessee to
     be kept, observed or performed and the Lessee fails to remedy such breach
     within fifteen (15) days of notice thereof by the Lessor (or immediately
     in the case of an emergency or such shorter period as required by any
     lawful governmental authority) or, if such breach cannot reasonably be
     remedied within fifteen (15) days, the Lessee fails to commence to remedy
     such breach within such fifteen (15) day period or thereafter fails to
     proceed diligently to remedy such breach, or if without the written consent
     of the Lessor, the Demised Premises shall be used by any person other than
     the Lessee, the Lessee's permitted assigns or permitted sub-lessees, or for
     any purpose other than that for which the Demised Premises were leased, or
     in case the Term shall be taken in execution or attachment for any cause
     whatever, then and in every such case it shall be lawful for the Lessor
     thereafter to immediately and without notice enter into and upon the
     Demised Premises or any part thereof in the name of the whole and the same
     to have again, repossess and enjoy as of its former estate, notwithstanding
     anything to the contrary herein.

11.2 Termination of Lease
     --------------------

     If the Term hereof shall be at any time seized in execution or attachment
     by any creditor of the Lessee or if a receiver or receiver-manager is
     appointed in respect of any property of the Lessee or the Lessee shall make
     any assignment for the benefit of creditors or shall make any bulk sale or
     become bankrupt or insolvent or take the benefit of any statute now or
     hereafter in force for bankrupt or insolvent debtors, or, if the Lessee is
     a corporation and any order shall be made for the winding-up of the Lessee,
     or other termination of the corporate existence of the Lessee, then in any
     such case this Lease shall, at the option of the Lessor, cease and
     determine and the Term shall immediately become forfeited and void and the
     then current month's Rent and the next ensuing three (3) months' Rent
     (including Additional Rent) shall immediately become due and be paid and
     the Lessor may immediately claim the same together with any arrears then
     unpaid and any other amounts owing to the Lessor by the Lessee and the
     Lessor may without notice or any form of legal process forthwith re-enter
     upon and take possession of the Demised Premises and become the owner of
     the Lessee's effects (save and except for any software which shall remain
     owned by the Lessee in any event) and remove the Lessee's effects
     therefrom, any statute or law to the contrary notwithstanding, the whole
     without prejudice to, all other rights, remedies and recourses of the
     Lessor.

                                     -25-
<PAGE>

11.3 Payment of Lessor's Expenses
     ----------------------------

     If at any time an action is brought for recovery of possession of the
     Demised Premises, or the recovery of Rent or any part thereof, or because
     of a breach by act or omission of any covenant contained herein on the part
     of the Lessee, and a breach is established, the Lessee shall pay to the
     Lessor all expenses incurred by the Lessor in the enforcement of its rights
     and remedies hereunder including reasonable legal expenses on a solicitor
     and own client basis.

11.4 Right of Lessor to Perform Lessee's Covenants
     ---------------------------------------------

     If at any time, and so often as the same shall happen, the Lessee shall
     make default in the observance or performance of any covenant contained
     herein on its part to be observed or performed and has not cured such
     default following written notice thereof pursuant to Section 11.1 hereof,
     then the Lessor may, but shall not be obligated so to do, without waiving
     or releasing the Lessee from its obligations under this Lease, itself
     observe and perform the covenant or covenants in respect of which the
     Lessee has made default or make payment of the monies the Lessee has failed
     to pay; and all costs and expenses incurred by the Lessor in the observance
     or performance of such covenant or covenants including without limitation
     reasonable legal costs as between solicitor and own client and any moneys
     so paid by the Lessor will, with interest thereon from the date of the
     incurring of such costs or expenses or payments of monies, at a rate equal
     to 3% per annum above the prevailing prime commercial lending rate then
     being published by any Canadian chartered bank designated by the Lessor,
     shall be a charge on the Demised Premises in favour of the Lessor in
     priority to the interest of the Lessee hereunder and of any person claiming
     through or under the Lessee, and all such costs, expenses and monies and
     interest thereon shall be payable by the Lessee to the Lessor forthwith on
     demand as Additional Rent. The Lessor shall have the same rights and
     remedies and may take the same steps for recovery thereof as for the
     recovery of Rent in arrears.

11.5 Re-Entry
     --------

     On the Lessor becoming entitled to re-enter upon the Demised Premises under
     any of the provisions of this Lease, the Lessor, in addition to all other
     rights, shall have the right to immediately determine forthwith this Lease
     and the Term by leaving upon the Demised Premises notice in writing of its
     intention so to do, and thereupon Rent shall be computed, apportioned and
     paid in full to the date of such determination of this Lease and any other
     payments for which the Lessee is liable hereunder shall be paid and the
     Lessee shall immediately deliver up vacant possession of the Demised
     Premises to the Lessor, and the Lessor may re-enter and take possession
     thereof.

11.6 Right of Lessor to Seize
     ------------------------

     If the Lessor is entitled to do so at law, the Lessor may seize and sell
     all the Lessee's goods and property which at any time have been located
     within the Demised Premises whether or not the same are at the time of
     seizure located within the Demised Premises or have been removed to another
     location, and apply the proceeds of such sale against Rent outstanding and
     upon the costs of the seizure and sale as provided for at law. The Lessee
     further agrees that if it leaves any Rent unpaid, the Lessor, in addition
     to any remedy otherwise provided at law or in equity, may seize and sell
     such goods and property of the Lessee at any place to which the Lessee or
     any other person may have removed them, in the same manner as if such goods
     and property had remained upon the Demised Premises.

                                     -26-
<PAGE>

11.7  Remedies for Non-Payment
      ------------------------

      In the event of default by the Lessee in payment of Additional Rent or any
      other amount payable by the Lessee hereunder, the Lessor shall have, in
      addition to any other right or remedy that the Lessor would otherwise have
      at law or in equity, the same rights and remedies that the Lessor would
      have in the case of default in payment of Rent.

11.8  Non-Waiver
      ----------

      No condoning, excusing or overlooking by the Lessor of any default, breach
      or non-observance by the Lessee at any time or times in respect of any
      covenant, proviso or condition contained herein shall operate as a waiver
      of or defeat or affect the Lessor's rights hereunder in respect of any
      continuing or subsequent default, breach or non-observance. No waiver
      shall be implied by anything done or omitted by the Lessor unless the
      Lessor gives an express written waiver to that effect.

11.9  Remedies Cumulative
      -------------------

      All rights and remedies of the Lessor in this Lease contained shall be
      cumulative and not alternative.

11.10 Interest
      --------

      The Lessee shall pay to the Lessor interest at a rate equal to 3% per
      annum above the prevailing prime commercial lending rate published from
      time to time by any Canadian chartered bank designated by the Lessor, on
      all payments of Rent, Additional Rent and all other sums required to be
      paid under this Lease which have become overdue so long as such monies
      remain unpaid.

                PART 12 - MORTGAGES AND ASSIGNMENTS BY LANDLORD
                -----------------------------------------------

12.1  Subordination
      -------------

      This Lease is subject and subordinate to all mortgages including any deed
      of trust and mortgage securing bonds, and all indentures supplemental
      thereto which may now or hereafter affect such leases and the Lands and
      Building, and to all renewals, modifications, consolidations, replacements
      and extensions thereof. The Lessee agrees to execute promptly any
      certification and confirmation of such subordination as the Lessor may
      request. It is agreed by and between the parties hereto that
      notwithstanding any subordination of this Lease to mortgages as provided,
      the Lessee's obligations under the Lease shall remain in full force and
      effect notwithstanding any action at any time taken by a mortgagee to
      enforce the security of any mortgage, provided however that any such
      postponement or subordination shall reserve to the Lessee the right to
      continue in possession of the Demised Premises under the terms of this
      Lease so long as the Lessee shall not be in default hereunder.
      Notwithstanding the foregoing, the Lessee will not be required to attorn
      to a purchaser, mortgagee or trustee unless such third party enters into a
      non-disturbance agreement with the Lessee in a form satisfactory to the
      Lessee, acting reasonably.

                                     -27-
<PAGE>

12.2 Status Statement
     ----------------

     For the purpose of confirming the status of this Lease to any person,
     including a purchaser or proposed purchaser or mortgagee or proposed
     mortgagee of the Lands and Building, the Lessee shall from time to time and
     within seven (7) days of written request, execute and deliver to the Lessor
     a statement in writing certifying that this Lease is unmodified or, if
     modified, stating the modifications, that it is in full force and effect,
     the amount of the annual rent paid hereunder, the dates to which such rent
     and other charges hereunder have been paid, and whether there is any
     existing default on the part of the Lessor of which the Lessee has notice.
     The Lessee agrees that the statement so delivered shall be binding and may
     be relied upon by the person to whom it is directed.

12.3 Non-Disturbance Agreement
     -------------------------

     The Lessor agrees that concurrently with the execution of this Lease, it
     will provide the Lessee with non-disturbance agreements acceptable to the
     Lessee and the Lessor, both acting reasonably, from any mortgage holders or
     lien holders having priority to this Lease.

12.4 Registration
     ------------

     The Lessee may at its option and at the cost and expense of the Lessee,
     cause this Lease or a Short Form Lease to be registered in the Vancouver
     Land Title Office. All expenses with respect to the said registration,
     including all governmental registration fees and if required, the costs of
     surveying the Demised Premises, or the Lands and Building and all other
     costs incidental to preparing a plan and documents in registrable form,
     shall be entirely borne by the Lessee.

                        PART 13 - OVERHOLDING BY LESSEE
                        -------------------------------

13.1 Month to Month Tenancy
     ----------------------

     The Lessor shall grant to the Lessee the automatic provision to hold over
     the Demised Premises for up to six (6) months at the end of the Term at a
     monthly rent of 115% of the monthly Basic Rent payable during the last
     month of the Term plus the Lessee's Proportionate Share of Operating Costs
     and Additional Rent payable hereunder, provided the Lessee has notified the
     Lessor of its intention to waive its Option to Renew in Part 17 and
     notifies the Lessor in writing (the "Notice") of the date (the
     "Termination Date") the Lessee shall vacate the Demised Premises, it being
     understood and agreed that such Notice shall be delivered no later than
     nine (9) months prior to expiry of this Lease otherwise this Section 13.1
     shall be deemed waived.

     The tenancy created thereby shall be a month to month tenancy which will
     terminate on the Termination Date (and not earlier, except in the event of
     a default pursuant to Section 11.1 of this Lease), and shall not be deemed
     to be a tacit renewal of this Lease, and otherwise on the terms and
     conditions herein set out, save and except for any rights pursuant to Parts
     16 or 17 hereof granted to the Lessee herein.

                                     -28-
<PAGE>

                         PART 14 - LESSOR'S COVENANTS
                         ----------------------------

14.1 Lessor's Covenants
     ------------------

     The Lessor covenants with the Lessee, so long as the Lessee is not in
     breach of any of its covenants hereunder, as follows:

     (a)  Quiet Enjoyment. To permit, subject as herein provided, the Lessee to
          ---------------
          peaceably possess and enjoy the Demised Premises for the Term and any
          renewals without any disturbance or interruption by the Lessor or by
          its successors and assigns, or by any person claiming by, through or
          under the Lessor;

     (b)  Utilities. To make available to the Demised Premises electricity and
          ---------
          power requirements as per Schedule "C" to this Lease, and, in normal
          quantities gas, water, and other public utilities generally made
          available to other tenants of the Building by the Lessor, unless
          otherwise provided for in the Lease, save and except that the Lessor
          shall not be obligated to provide heating and air conditioning of the
          Demised Premises, provided that the Lessor shall have no liability for
          failure to supply utilities when prevented from doing so by repairs,
          or causes beyond the Lessor's reasonable control;

     (c)  Repair. To repair or maintain and to keep in good repair as would a
          ------
          prudent owner the foundations, outer walls, roof, spouts and gutters
          of the Building and all of the common areas therein, parking areas,
          and the plumbing, sewage and electrical systems therein except to the
          extent that they are located on the Demised Premises or in any other
          portions of the Lands and the Building occupied by other tenants;
          provided that the Lessor shall use reasonable efforts in exercising
          its rights under this clause so as to minimize any interference with
          the Lessee's business and use of the Demised Premises, the Lessee
          shall not have any right to object to nor any right to any claim of
          damages or any reduction or abatement of Rent in respect of the
          exercise of the Lessor's rights under this clause. The Lessee shall
          permit the Lessor, its servants or agents upon forty-eight (48) hours'
          prior written notice (or without notice in the case of an emergency)
          to enter the Demised Premises from time to time for the purpose of
          inspecting and making repairs, alterations or improvements to the
          Building, and the Lessee shall not be entitled to compensation for any
          inconvenience, nuisance or discomfort occasioned thereby, provided the
          Lessor takes all practical measures to minimize any interference with
          the Lessee's business;

     (d)  Use of Common Areas. To permit the Lessee and its employees and all
          -------------------
          persons lawfully requiring communication with them to have the use in
          common with others of the main entrances and the stairways, corridors
          and elevators leading to the Demised Premises, subject to such
          reasonable rules and regulations as the Lessor may make in regard
          thereto from time to time, provided that the Lessor shall in no way be
          responsible or obligated for failure to enforce any rules and
          regulations in this regard. In the event that a card access security
          system is installed upon the Building by the Lessor the Lessee shall
          abide by any rules and regulations regarding the use of said system
          made by the Lessor and shall pay upon demand any costs or charges
          incurred by the improper use of the said system by the Lessee, its
          servants or agents;

                                     -29-
<PAGE>

     (e)   Use of Washrooms. Subject to Section 14.1(d) to permit the Lessee and
          ----------------
          its employees in common with others entitled thereto to use the
          washrooms in the Building on the floor on which the Demised Premises
          are situate;

     (f)   Replacement of Light Bulbs. To replace at the expense of the Lessee
          --------------------------
          all electrical light bulbs, tubes and ballasts on the Demised Premises
          whenever replacement shall be necessary, the replacement cost
          (including labour with respect to ballast replacement) to be payable
          on demand as Additional Rent;

     (g)  Y2K Compliance. The Lessor acknowledges that it is aware of the Y2K
          --------------
          issue and covenants and agrees to take all reasonable steps as would a
          prudent landlord to prevent or at least minimize, to the extent
          reasonably possible, any detrimental impact to the supply of services
          to the Building, the Demised Premises (including, without limitation,
          HVAC, maintenance, and security) and the Lessee's quiet enjoyment of
          the Demised Premises and the operation of the Lessee's business
          therein by virtue of the Lessor's computer dependent equipment failing
          to operate properly due to date related problems;

     (h)  Lessor to Act Reasonably. The Lessor shall act reasonably and
          ------------------------
          expeditiously to minimize the extent and duration of any stoppage,
          interruption or reduction of the services, systems and utilities
          servicing the Demised Premises. The Lessor shall give the Lessee
          reasonable advance notice of any planned stoppage, interruption or
          reduction, shall advise the Lessee prior to scheduling such work to
          enable the Lessee to schedule its business to minimize disruption, and
          shall to the extent commercially reasonable consider the Lessee's
          reasonable scheduling suggestions.

14.2 Environment Warranty - Lessor
     -----------------------------

     The Lessor represents and warrants that to its knowledge the Lands and the
     Building comply in all material respects with all applicable federal,
     provincial or local environmental, health and safety statutes and
     regulation, that there are no Hazardous Substances in the Building or in or
     about the Lands with the exception of underground oil tanks and of trace
     amounts of asbestos which potentially may remain within inaccessible areas,
     but to the Lessor's knowledge such areas meet or exceed acceptable levels
     for commercial buildings as determined by applicable governmental
     authorities (including, without limitation, regulations under the Workers
                                                                       -------
     Compensation Act (British Columbia)). The Lessor further represents and
     ----------------
     warrants that it will be responsible for the cost of removing any asbestos
     which is exposed on the third floor of the Building during demolition, and
     that neither the Lands nor the Building are subject to any outstanding
     orders or directives pursuant to any judicial orders or safety statutes or
     regulations. Any future testing of any Hazardous Substances or potentially
     Hazardous Substances not caused by the Lessee or those for whom the Lessee
     is responsible at law shall be at the sole cost and expense of the Lessor,
     and if it is determined by the Lessor, or any regulatory body, that removal
     is necessary, the removal and disposal of the said substances shall be at
     the sole cost and expense of the Lessor. The Lessor agrees to indemnify the
     Lessee and its directors, officers, employees, agents, successors and
     assigns from any and all liabilities, actions, damages, claims, remediation
     cost recovery claims, losses, costs, orders, fines, penalties and expenses
     whatsoever (including all legal and consultants' expenses and the cost of
     remediation of the Building and any adjacent property) arising from or in
     connection with:

     (a)  any breach of or non-compliance with the provisions of this Section by
          the Lessor; or

                                     -30-
<PAGE>

     (b)  the existence of, or the release into the environment of, any
          Hazardous Substances in the Building or in or about the Lands caused
          by the underground oil tanks or by the Lessor or those for whom the
          Lessor is responsible for at law.

     The obligations of the Lessor under this Section shall not survive the
     expiry or earlier termination of this Lease.

                         PART 15 - GENERAL CONDITIONS
                         ----------------------------

15.1 Rules and Regulations
     ---------------------

     The Lessor reserves the right to make such Rules and Regulations as in its
     judgment, acting reasonably, may from time to time be necessary and or
     desirable for the proper operation, safety, security, parking, environment,
     care, access and cleanliness of the Building and for the preservation of
     order and the Lessee agrees that it will abide thereby and that its
     employees, agents, servants and any others permitted by the Lessee to
     occupy or enter the Demised Premises will, at all times, abide by such
     rules and regulations of which it has notice, and that a default in the
     performance and observation thereof shall have the same effect as a default
     under any of the covenants or conditions of this Lease. The Rules and
     Regulations attached as Schedule "B" hereto shall be applicable until
     amended by the Lessor.

15.2 Notice
     ------

     Any notice, demand, request, consent or objection required or contemplated
     to be given or made by any provision of this Lease shall be given or made
     in writing and either delivered personally or sent by facsimile (604-687-
     6340) or by registered mail, postage prepaid, addressed to the Lessor at
     the Building Management Office, Suite 3038, 910 Mainland Street, Vancouver,
     British Columbia, V6B lA9, or to the Lessee at the Demised Premises with a
     copy to Seagate Software Information Management Group (Canada), Inc., 4575
     Scotts Valley Drive, P.O. Box 66360, Scotts Valley, CA, 95067-0360,
     Attention: Ms. Denise Trudeau and to 840 Cambie Street, Vancouver, B.C.,
     V6B 4J2, Attention: Susan Lovell, or to such other address which either
     party may from time to time notify the other in writing. The time of giving
     or making such notice, demand, request, consent or objection shall be, if
     delivered or sent by facsimile, when delivered or transmitted, and if
     mailed, then on the 4th business day after the day of mailing thereof. In
     the event of a mail strike, mail slowdown or other labour dispute which
     might affect delivery of such notice, then all such notices and demands
     shall be delivered or transmitted by facsimile. If in this Lease two or
     more persons are named as Lessee such notice, demand, request, consent or
     objection shall be sufficiently given or made if and when the same shall be
     given to any one of such persons.

15.3 Showing of Premises
     -------------------

     The Lessee shall permit the Lessor or its agents or employees to show the
     Demised Premises to prospective investors, purchasers, agents, brokers and
     lenders at any time during the Term during normal business hours upon not
     less than twenty-four (24) hours' prior written notice to the Lessee, and
     to prospective tenants during the last nine (9) months of the Term (if the
     Term has not been renewed by the Lessee) during normal business hours upon
     twenty-four (24) hours' prior written notice to the Lessee, provided in
     each such case the Lessor is accompanied by the representative of the
     Lessee, the group consists of no more than three (3) persons and no

                                     -31-
<PAGE>

     pictures are taken within the Demised Premises and the Lessor shall act
     reasonably and shall not unduly disrupt the Lessee's use and quiet
     enjoyment of the Demised Premises.

15.4 Dispute Resolution
     ------------------

     In the event the Lessor and the Lessee are unable to agree as to any
     matters set out in this Lease which require agreement (save and except the
     rent to be determined pursuant to Section 17.l), then either party may
     notify the other, by written notice (in this Section, the "Notice"), of a
     desire to resolve the dispute by mediation and a meeting will be held
     promptly between the parties, attended by individuals with decision-making
     authority regarding the dispute, to attempt in good faith to negotiate a
     resolution of the dispute. If, within fourteen (14) days after such meeting
     or such further period as is agreeable to the parties (the "Negotiation
     Period"), the parties have not succeeded in negotiating a resolution of the
     dispute, they agree to submit the dispute to mediation. The parties will
     jointly appoint a mutually acceptable mediator, seeking assistance from the
     British Columbia International Commercial Arbitration Centre if they have
     been unable to agree upon such appointment within twenty (20) days
     following the conclusion of the Negotiation Period. If the parties are not
     successful in resolving the dispute through mediation, or if the mediation
     has not commenced within thirty (30) days following the Negotiation Period,
     then the parties agree that the dispute will be settled by arbitration
     pursuant to the Commercial Arbitration Act of British Columbia, as amended
                     --------------------------
     from time to time, or any like statute in effect from time to time and the
     decision of such arbitrator(s) shall be final and binding upon the parties.

             PART 16 - RIGHT OF FIRST OFFER AND EXPANSION PREMISES
             -----------------------------------------------------

16.1 Right of First Offer
     --------------------

     Provided that the Lessee is not in breach of this Lease, the Lessor will
     grant to the Lessee the right of first offer during the Term and any
     renewal thereof to lease any contiguous rentable space which becomes
     available for lease (i.e. the term of the existing lease of any such space
     has either expired or been terminated and the existing tenant does not have
     a contractual right of renewal) on the first, second or third floors of the
     Building or any premises within the Building comprising not less than 5,000
     square feet on an "as is where is" basis without any loan, inducement,
     allowance or Lessor's Repairs/Work, on the terms and conditions provided
     herein and otherwise on the terms and conditions of this Lease, mutatis
     mutandis (in this Section 16.1 the "Expansion Space"), as follows:

     (a)  not more than nine (9) months or less than two (2) months before the
          date the Lessor expects the Expansion Space, or any part thereof, to
          become available, the Lessor shall deliver to the Lessee notice in
          writing identifying the available Expansion Space and the date upon
          which it will be available;

     (b)  the Lessee shall have seven (7) business days from the date of receipt
          of such notice within which to advise the Lessor, in writing, that it
          intends to exercise its option to lease the Expansion Space;

     (c)  the Basic Rent per square foot of the Expansion Space payable for the
          Expansion Space shall be equal to the Basic Rent per square foot of
          the Demised Premises payable by the

                                     -32-
<PAGE>

          Lessee under this Lease at the time the Lessor delivers the notice
          described in subparagraph (a) hereof;

     (d)  subject to subparagraph (e) hereof, the term of the lease of any such
          Expansion Space shall commence on the date thirty (30) days following
          the date upon which the space becomes vacant (as specified in the
          notice) and shall terminate on the expiry of the Term of this Lease or
          any renewal thereof;

     (e)  the Lessee acknowledges that the Lessor may be required to complete
          significant building code upgrades to the Building if, during any
          twenty-four (24) month period, building permits are issued by the City
          of Vancouver for work to the Building valued, in aggregate, equal to
          or in excess of the amount (the "Improvement Limit") which is 50% of
          twice the Building's property tax assessment excluding the value
          attributed to the Lands. The Lessee agrees that if the Lessee
          exercises its right to lease any Expansion Space pursuant to this
          Section and the Lessee's proposed improvements to such Expansion Space
          will cause or, having regard to the value of the anticipated future
          Lessee improvements to the Demised Premises could, in the Lessor's
          opinion, acting reasonably, cause the aggregate value of the building
          permits taken out for the Building over any twenty-four (24) month
          period to exceed the Improvement Limit, the Lessee shall, within seven
          (7) business days of either party giving notice to the other that the
          proposed Lessee improvements will or could result in the Improvement
          Limit being exceeded, elect in writing to either delay its Lessee
          improvements to the Expansion Space until such time as the Improvement
          Limit will not be exceeded or waive the Lessee's right to lease such
          Expansion Space. In the event of any disagreement between the Lessor
          and the Lessee as to whether any proposed improvements of the Lessee
          could cause the Improvement Limit to be exceeded, such disagreement
          will be resolved in the manner described in Section 15.4;

     (f)  if the Lessee fails to exercise its option with respect to any
          Expansion Space, this option with respect to such space only shall
          become null and void and have no further effect but shall continue to
          apply if such space again becomes available to lease and with respect
          to any other Expansion Premises;

     (g)  the Loan and any inducements or allowances provided for in this Lease
          shall not apply to or benefit any premises leased under this option;
          and

     (h)  any premises leased under this option shall not lessen, change or
          affect the Lessee's right to the Expansion Premises.

16.2 Expansion Premises
     ------------------

     Provided the Lessee is not in breach of this Lease, the Lessee shall have
     the option to lease an additional area measuring approximately 14,645
     square feet commencing January 1, 2002 (the "Option Leased Premises")
     provided the Lessee notifies the Lessor in writing prior to December 1,
     2000. The Loan, inducements and allowances as outlined in Sections 4.1,
     4.3, 4.7, 4.8, 4.9 and on Schedule "C" shall apply to the Option Leased
     Premises and the Lessee shall be granted a fixturing period of four (4)
     months commencing September 1, 2001. The Basic Rent per square foot payable
     on the Option Leased Premises shall be at the same rate payable on the
     Initial Leased Premises. The lease term on the Option Leased Premises shall
     terminate on the expiry of the Term of this Lease or any renewal thereof.

                                     -33-
<PAGE>

                           PART 17 - OPTION TO RENEW
                           -------------------------

17.1 Grant of Option
     ---------------

     Provided the Lessee is not in breach of this Lease, the Lessee shall have
     the right to renew this Lease with respect to the Demised Premises and any
     additional space leased pursuant to Section 16.1 or Section 16.2 for one
     (1) additional term of three (3) years and one (1) additional term of five
     (5) years on the same terms and conditions, save only for the Basic Rent,
     Lessor's Repairs/Work, the Loan or any Lessee inducements or Lessee
     allowances. The Basic Rent during each of the renewal periods shall be the
     then fair market rent of comparable "Office Premises" (as defined in
     Section 17.3) inclusive of such tenant inducements as free Basic Rent,
     tenant improvement allowances and other incentives, if any, offered by
     landlords of such Office Premises at the time agreed between the parties,
     and failing such agreement within four (4) months of the date of the
     exercise of each option, as determined by arbitration pursuant to the
     Commercial Arbitration Act of British Columbia.
     --------------------------

17.2 Exercise of Option
     ------------------

     To exercise this Option to Renew, the Lessee shall give written notice to
     the Lessor no later than nine (9) months prior to the expiry of the Term or
     the first renewal term, as the case may be, otherwise this Option to Renew
     shall be deemed waived.

17.3 Office Premises
     ---------------

     For the purposes of Section 17.1, "Office Premises" means office premises
     with base building systems including, without limitation, HVAC, electrical
     systems, lighting and plumbing, all at a standard consistent with the
     systems then supplying the Demised Premises, but without Lessee finishings
     including, without limitation, all floor coverings, ceiling treatments if
     installed at the cost of the Lessee, wall coverings, interior walls and all
     built-in improvements including any raised flooring, cupboards, shelving,
     lockers, sinks, appliances and showers.

                              PART 18 - INDEMNITY
                              -------------------

18.1 Indemnity
     ---------

     In consideration of the Lessor leasing the Demised Premises to the Lessee
     and the sum of $1.00 now paid by the Lessor to the Indemnifier and other
     good and valuable consideration (the receipt and sufficiency of which is
     hereby acknowledged by the Indemnifier), the Indemnifier unconditionally
     agrees to and covenants with the Lessor to indemnify the Lessor for the
     full and prompt payment of all sums, including but not limited to, Basic
     Rent, Additional Rent, the Loan and any and all other sums and charges
     payable by the Lessee to the Lessor under this Lease, and the full
     performance and observance of all of the covenants, terms, conditions and
     agreements therein provided to be performed and observed by the Lessee.

18.2 Enforcement of Indemnity
     ------------------------

     The Lessor shall have the right to enforce this Indemnity regardless of the
     acceptance of additional security from the Lessee and regardless of the
     release or discharge of the Lessee by the Lessor or by others or by
     operation of any law.

                                     -34-
<PAGE>

18.3 Continuation of Indemnity
     -------------------------

     This Indemnity is absolute and unconditional and, without limiting the
     generality of the foregoing, the liability of the Indemnifier under this
     Indemnity shall not be deemed to have been waived, released, discharged,
     impaired, or affected by reason of the release or discharge of the Lessee
     in any receivership, bankruptcy, winding-up, or other creditors'
     proceedings, or the rejection, surrender, disaffirmation, or disclaimer of
     this Lease by any party or in any action or proceeding, and shall continue
     with respect to the periods prior thereto and thereafter for and with
     respect to the Term and any renewals thereof. The liability of the
     Indemnifier shall not be affected by any repossession of the Demised
     Premises by the Lessor, provided however that the net payments received by
     the Lessor, after deducting all costs and expenses of the repossession and
     reletting the same, shall be credited from time to time by the Lessor to
     the account of the Indemnifier and the Indemnifier shall pay any balance
     owing to the Lessor from time to time immediately upon ascertainment.

18.4 No Defence
     ----------

     No action or proceeding brought or instituted under this Indemnity and no
     recovery in pursuance thereof shall be a bar or defence to any further
     action or proceeding which may be brought under this Indemnity by reason of
     any further default or default hereunder or in the performance and
     observance of the covenants, agreements, conditions and provisos of this
     Lease.

18.5 Modification in Writing
     -----------------------

     No modification of this Indemnity shall be effective unless the
     modification is in writing and signed by the Indemnifier and the Lessor.

18.6 Authority
     ---------

     The Indemnifier covenants with the Lessor that the Indemnifier has the
     necessary power to give this Indemnity and is jointly and severally bound
     with the Lessee for the fulfilment of all obligations of the Lessee under
     this Lease as though the Indemnifier was the Lessee named in this Lease.

18.7 Enurement
     ---------

     All of the covenants, agreements, conditions and provisos of this Indemnity
     shall extend to and be binding upon the Indemnifier, its successors and
     assigns and shall enure to the benefit of and may be enforced by the
     Lessor, its successors and assigns and the holder of any mortgage to which
     this Lease may be subject and subordinate from time to time.

18.8 Assignments, Reorganization, Etc.
     ---------------------------------

     Notwithstanding any other provision of this indemnity, in the event this
     Lease is assigned, sublet or otherwise transferred by the Lessee with or
     without the consent of the Lessor or there is a reorganization, merger,
     sale, partnership change or other change in ownership interest in the
     Lessee, the Indemnifier shall remain liable for the performance of its
     obligations hereunder, except that the indemnity of the Indemnifier will
     not extend to any new obligation of the transferee assumed in a
     modification of this Lease.

                                     -35-
<PAGE>

                            PART 19 - MISCELLANEOUS
                            -----------------------

19.1 Joint and Several Obligations
     -----------------------------

     If there be more than one Lessee, the covenants and obligations hereunder
     on the part of each Lessee, respectively, shall be deemed to be joint as
     well as several.

19.2 Time of the Essence
     -------------------

     Time shall be of the essence of this Lease.

19.3 Headings
     --------

     The headings appearing in this Lease have been inserted as a matter of
     convenience and for reference only and in no way define, limit or enlarge
     the scope or meaning of this Lease or any provision hereof.

19.4 Governing Law
     -------------

     This Lease shall be construed and governed by the laws of the Province of
     British Columbia. All of the provisions of this Lease shall be construed as
     covenants and agreements as though the words importing such covenants and
     agreements were used in each separate paragraph. Should any provision of
     this Lease be illegal or not enforceable, it or they shall be considered
     separate and several from the Lease and its remaining provisions and
     conditions shall remain in force and be binding upon the parties hereto as
     though the illegal or unenforceable provision or provisions or conditions
     had never been included.

19.5 Entire Agreement
     ----------------

     The Lessee acknowledges that there have been no representations or
     warranties made by the Lessor which are not set out in this Lease. This
     Lease embodies the entire terms of the lease agreement with respect to the
     Building and the Demised Premises between the Lessor and the Lessee, and
     supersedes all prior agreements, if any, with respect to the Demised
     Premises between the parties hereto.

                                     -36-
<PAGE>

19.6 Enurement
     ---------

     This Lease shall enure to the benefit of and be binding upon the parties
     hereto, their respective heirs, executors, administrators, successors and
     permitted assigns and other legal representatives, as the case may be.

IN WITNESS WHEREOF the parties hereto have duly executed this Lease as of the
date first above written.

LESSOR:
------

LAURELTON INVESTMENTS LTD.

Per:

     /s/ Leon Kann
------------------------------
Authorized Signatory

KBK NO. 197 VENTURES LTD.

Per:

     /s/ Joe Segal
------------------------------
Authorized Signatory

LESSEE:
------

SEAGATE SOFTWARE INFORMATION
MANAGEMENT GROUP (CANADA), INC.

Per:

     /s/ Susan J Wolfe
------------------------------
Authorized Signatory

INDEMNIFIER:
-----------

SEAGATE SOFTWARE, INC.

Per:

     /s/ Susan J Wolfe
------------------------------
Authorized Signatory

                                     -37-
<PAGE>

                                 SCHEDULE "A"

                              [FIRST FLOOR PLAN]

                                  Page 1 of 3
<PAGE>

                                 SCHEDULE "A"

                              [SECOND FLOOR PLAN]

                                  Page 2 of 3
<PAGE>

                                 SCHEDULE "A"

                              [THIRD FLOOR PLAN]

                                  Page 3 of 3
<PAGE>

                                 SCHEDULE "B"

                             RULES AND REGULATIONS
                             ---------------------

1.   The Lessee shall at all times abide by all laws, rules, regulations,
     ordinances, provisions and requirements relating to the Building or to the
     Demised Premises of which it has notice and shall keep the Demised
     Premises, its employees, servants, agents and invitees under its control so
     as to prevent the performance of any act, or the carrying on of any
     practice which would damage the Building or its reputation or the Demised
     Premises or could injure or annoy the other tenants in the Building, their
     employees, servants, agents, or invitees or the public.

2.   The Lessee shall not keep or display any merchandise on, or otherwise
     obstruct the corridors or other areas adjacent to the Demised Premises. The
     Lessee agrees to promptly remove any displays or merchandise that the
     Lessor feels is objectionable.

3.   The Lessee shall not overload any floor of the Demised Premises: in excess
     of one hundred (100) pounds per square foot live load on the 1/st/ floor of
     the Building; one hundred and fifty (150) pounds per square foot live load
     on the 2/nd/ floor of the Building; and fifty (50) pounds per square foot
     live load on the 3/rd/ floor of the Building; nor shall it hang or suspend
     from any ceiling or any part of the Building any equipment, displays,
     fixtures or signs which are not authorized by the Lessor or its architects.

4.   The Lessee shall at all times keep the Demised Premises in a clean and
     sanitary condition, including the inside and outside of all glass, the
     doors and windows of the Demised Premises, together with all exterior store
     front surfaces of the Demised Premises, in accordance with the laws and
     direction, rules and regulations of any governmental, municipal or other
     agency having jurisdiction. In the event that the Lessor, in its sole
     discretion, determines that a Lessee's premises is unsightly, the Lessor,
     shall have the right to require the Lessee to install, at the Lessee's sole
     cost and expense, venetian window blinds of a type satisfactory to the
     Lessor within thirty (30) days after having received written notice from
     the Lessor. The Lessee shall not place, or permit to be placed, any
     obstructions or merchandise, on, in or near any corridors, rear entrances,
     service corridors or loading areas. The Lessee agrees to remove all
     merchandise from the loading area immediately upon such merchandise being
     delivered.

5.   The Lessee shall notify the Lessor, in writing, of its intention to add or
     modify lighting, electrical wiring or plumbing in the Demised Premises, and
     shall obtain the Lessor's written approval prior to carrying out said work.
     In any event, all such work shall be carried out by qualified, licensed
     tradesmen in accordance with all applicable building codes.

6.   The Lessee and Lessee`s employees and agents shall not solicit business
     in the parking area or sidewalks surrounding the Building or other common
     areas, nor shall a Lessee distribute or post any handbills or other
     advertising material in the parking area or other common areas of the
     Building.

7.   The Lessee shall not use or permit the use of any objectionable advertising
     medium such as, without limitation, loudspeakers, phonographs, televisions,
     public address systems, sound amplifiers, radio or broadcasting within the
     Building which is in any way audible or visible outside of the Demised
     Premises. No aerial shall be erected on the roof or exterior walls of the
     Demised Premises, or on the ground, without, in each instance, the written
     consent of the
<PAGE>

     Lessor, such consent not to be unreasonably withheld or delayed. Any aerial
     installed without such written consent shall be subject to removal without
     notice at any time.

8.   The plumbing facilities shall not be used for any other purpose than that
     for which they were constructed, and no foreign substance of any kind shall
     be thrown therein and the expense of any breakage, stoppage or damage
     resulting from the violation of this provision shall be borne by the Lessee
     whose employees, agents or invitees shall have caused it.

9.   For the benefit and welfare of all lessees of the premises of the Building,
     as it may exist from time to time, the Lessor shall have the right to issue
     further reasonable rules and regulations and such further rules and
     regulations shall thereupon be binding upon the Lessees. The Lessee agrees
     to comply with all rules and regulations on notice to the Lessee from the
     Lessor.
<PAGE>

                                 SCHEDULE "C"

                            STANTEC REPORT SUMMARY
                            ----------------------
                         (attach from Offer to Lease)

The references herein to the Stantec report are limited to the specific matters
described in this Schedule "C", and any other matter, item or recommendation set
out in the Stantec report and not specifically and directly described and set
out in this Schedule "C" is not binding upon the Lessor.
<PAGE>

                                      -3-

                                 SCHEDULE "C"

Electrical

As per the Stantec report dated June 1, 1999 (the "Stantec report"), we agree to
relocate at our sole cost all non-Seagate electrical panels and transformers in
Seagate space that serve other tenants and that are not housed in common
electrical rooms.

Electrical Service

The Stantec report calls for the provision of an 800 amp 600 volt service to
provide power for Seagate's total requirement for HVAC, lighting and general use
power. We propose to dedicate a small room just outside the main first floor
electrical room to house switches and meters for the full 800 amp service. For
the Initial Area we propose to run 400 amps at 600 volts (as suggested by the
Seagate electrical consultant) up to a new third floor electrical room
(exclusively for Seagate's use) to be located within the Seagate Initial Area.
We would initially install a 225 kva transformer to provide 600/120-208 power.
As additional phases are added to Seagate's space we propose to run an
additional 400 amps at 600 volts to the third floor Seagate electrical
room coupled to an additional 250 kva transformer to provide 600/120-208 power.
As per the Stantec report, Seagate would be responsible for any transformer
switch, any second transformer to isolate power, a UPS and all panelboard
feeders, panelboards and items fed from these panelboards.

Lighting

While Stantec has always called for the provision of 550 lux at desk level,
prior to the latest report Othmar Brunner had indicated that one fixture per 90
square feet would likely result in the desired light levels. The latest Stantec
report calls for one fixture per 64 square feet. We agree to provide these
extra fixtures if required. As per the Stantec report, these fixtures are to be
deep cell parabolic (5") luminaires and are to be installed on a phased basis to
suit Seagate's layout.

We also agree to provide a low voltage control system consisting of Douglas or
GE low voltage lighting relay panel, with one switch to be provided per circuit.
The Stantec report calls for one switch for every fixture, which is
prohibitively expensive (approximately $68,000) and well beyond normal switching
requirements. If Seagate desires this level of switching we would expect that
Seagate would fund this additional expense.

Emergency Power

The Stantec report calls for Seagate to install a very large (250 kva) emergency
power system that requires approximately 442 square feet to house. This
emergency generator will have to be located on the lower level adjacent to an
exterior wall given the weight of the equipment and the requirement for venting.
We currently have a room measuring approximately 625 square feet adjacent to the
first floor exterior wall (within 25' of the main electrical room) that is
occupied by rented storage lockers. We would be prepared to relocate these
storage lockers, and would expect that Seagate will lease this room at storage
rates.

<PAGE>

                                      -4-

Other Landlord's Repairs/Work

We are prepared to agree to the following as Landlord's Repairs/Work:
- Demolition -- see Schedule "B"
- Construction of demising walls to the underside of the slab (reusing and
adding to existing insulated walls where possible)
- Twelve linear feet by five feet of exterior window in each full exterior bay,
with the exception of where exterior wall washrooms are located, the two bays on
the second floor fronting on Mainland Street, and where stairwells or other
impediments makes the installation of exterior windows impractical. All existing
windows will be replaced with new windows measuring 12 lineal feet by 5 feet
(the existing windows are 12 feet by approximately 3 feet). Retaining the
existing width of exterior windows will enable us to reuse the existing window
headers and will preserve the aesthetics of the building when viewed from the
exterior.
- Provide an allowance of $32,000 (plus applicable Goods and Services Tax) (not
to be amortized and recovered over the term) towards the upgrade of four
washrooms located within the Initial Area
- Provide an allowance of $37,500 (plus applicable Goods and Services Tax) (not
to be amortized and recovered over the term) to construct a corporate entrance
for the Leased Premises if the Conditional Leased Premises are provided to
Seagate, and otherwise, if the Conditional Leased Premises cannot be provided
and Seagate then constructs a corporate entrance on the second floor with an
access stairwell (as described in Clause 29A), the Landlord will provide a
greater allowance in an amount to be mutually agreed upon between Seagate and
the Landlord, equal to the amount spent by Seagate but to a maximum $75,000
(plus applicable Goods and Services Tax), each hereby acknowledging that both
parties will benefit from a professional and corporate entrance and the cost to
construct the second floor entrance and stairwell will be approximately double
the cost of the first floor entrance.

Given existing lease commitments we will have to deliver the space to Seagate
without landlord's work being completed on the dates indicated in this letter.
Provided demolition work is done immediately upon the space becoming available,
we believe that landlord's work and tenant improvement work can be performed at
the same time without undue conflict.

MISCELLANEOUS

We appreciate that installing new exterior windows and enlarging existing
exterior windows negatively affects the seismic performance of the building, and
that any exterior stiffness removed must be replaced. According we have designed
a system whereby the exterior stiffness is replaced on the exterior wall without
the requirement for any interior bracing or sheer walls.

The references herein to the Stantec report are limited to the specific matters
described in this Schedule "C", and any other matter, item or recommendation set
out in the Stantec report and not specifically and directly described and set
out in this Schedule "C" is not binding upon the Landlord.<PAGE>

                                                                   Exhibit 10.11

This Lease is a new tenancy as described in Section 1 of the Landlord and Tenant
(Covenants) 1995

                                    [LOGO]

                               NABARRO NATHANSON

                            DATED 18th October 1996

                         RAVENSEFT PROPERTIES LIMITED

                                     -to-

                           HOLISTIC SYSTEMS LIMITED

                      ___________________________________

                                     LEASE

                                      of

                               Premises known as
                      The First and Second Floor Offices
                                 The Broadwalk
                            Ealing Broadway Centre
                           Ealing Broadway London W5

                      ___________________________________

                               Nabarro Nathanson
                              50 Stratton Street
                                London W1X 6NX

                              Tel: 0171 493 9933
<PAGE>

THIS LEASE made the 10th day of October One thousand nine hundred and ninety six

BETWEEN RAVENSEFT PROPERTIES LIMITED whose registered office is at 5 Strand
London WCZN 5AF (hereinafter called "the Landlord" which expression shall where
the context so admits include the estate owner for the time being entitled to
the reversion immediately expectant on the determination of the term hereby
granted) of the one part and HOLISTIC SYSTEMS LIMITED whose registered office is
at Suite C Second Floor International House 7 High Street London W5 5DB (Company
Registration Number 2062372) (hereinafter called "the Tenant" which expression
shall where the context so admits include the person deriving title under it or
them) of the other part

WITNESSETH as follows:-

Definitions
-----------

1.   IN this Lease save where the context otherwise requires the following words
     and expressions shall have the meanings assigned to them hereunder:-

     "the Adjoining Building"
     ------------------------

     The Development (other than the Building)

     "the Building"
     --------------

     The land and any buildings erections or other facilities thereon or on
     parts thereof and anything attached to such buildings (eg canopies) of
     which the demised premises form part as the same is shown edged yellow on
     the Plan

     "the Car Park"
     --------------

     means the area hatched green on the Plan

     "the Car Parking Spaces"
     ------------------------

     means twenty-four car parking spaces within the Car Park as the Landlord
     may from time to time designate

                                       1
<PAGE>

     "the Common Parts"
     ------------------

     The service roads loading bays circulation areas car parks and accesses
     thereto fire escapes of or appertaining to the Building and any other areas
     thereof not intended for demise by lease to a lessee (other than the mall)

     "the demised premises"
     ----------------------

     The premises described in Part I of the First Schedule

     "the Development"
     -----------------

     The Shopping Centre being the land and any buildings erections or other
     facilities thereon or on parts thereof of which the Building forms part as
     the same is shown edged blue on the Plan

     "this Lease"
     ------------

     this deed and any licence deed or other document supplemental hereto

     "the Lifts"
     -----------

     means the lifts coloured purple on the Plan

     "the nearby premises"
     ---------------------

     The Development (but excluding that part thereof comprising the demised
     premises) with all land adjoining and neighbouring the Development and any
     building now or hereafter erected thereon or on some part thereof and any
     part or parts thereof including any premises erected above the demised
     premises

     "Open Hours"
     ------------

     means between 8.00 a.m and 6.00 p.m. Monday to Friday inclusive (but not
     including any English Public holiday)

     "Permitted Part"
     ----------------

     means either:-

     (i)  that part of the Demised Premises on the first floor of the Building
          together with the right to use twelve Car Parking Spaces: or

                                       2
<PAGE>

     (ii) this part of the Demised Premises on the second floor of the Building
          together with the right to use twelve Car Parking Spaces

     provided that each such part must be capable of separate occupation and
     having all necessary means of escape and facilities including (without
     limitation) access for servicing and necessary toilet sanitary and staff
     facilities and which complies with current statutory requirements including
     (without limitation) fire and building regulations

     "the Plan"
     ----------

     The plan or plans annexed hereto

     "the termination date"
      --------------------

     The expiration date of the term hereby granted (including where applicable
     any continuance or extension thereof in accordance with the provisions of
     any legislation now or hereafter to be passed) whether arising from the
     sooner determination thereof or by effluxion of time

     Demise
     ------

2.   THE Landlord hereby demises unto the Tenant ALL THAT the demised premises
     TOGETHER with the easements and rights specified in Part II of the First
     Schedule subject as therein mentioned EXCEPT AND RESERVING unto the
     Landlord and its lessees servants licensees and all other persons who shall
     now have or may hereafter be granted the same by the Landlord the rights
     and easements specified in Part III of the First Schedule TO HOLD the
     demised premises unto the Tenant for a term commencing on the 29th day of
     September One thousand nine hundred and ninety six for a term of TEN YEARS
     expiring on the 28th day of September Two thousand and six YIELDING AND
     PAYING therefor during the first five years of the said term yearly and
     proportionately for any fraction of a year the rent of ONE HUNDRED AND
     EIGHTY EIGHT THOUSAND TWO HUNDRED AND FIFTY POUNDS ((pound)188,250.00) and
     during the remainder

                                       3
<PAGE>

      of the term the rent determined in accordance with the provisions of the
      Second Schedule hereto by equal quarterly payments to be made in advance
      on the usual quarter days in every year without any deduction (except
      income tax on the rent hereby reserved lawfully deductible) The first
      payment to be for the period from 18th day of July One thousand nine
      hundred and ninety seven to the quarter day next following and to be paid
      on that date AND ALSO YIELDING AND PAYING by way of additional rent the
      premiums paid by the Landlord for the purpose of insuring the demised
      premises in the full reinstatement value thereof (including architects'
      and quantity surveyors' fees and other incidental expenses and three years
      rent hereby reserved) against loss or damage by the risks of fire
      explosion storm or tempest (including lightning) earthquake subsidence
      flood burst or overflowing pipes impact and (in peacetime) aircraft and
      any articles dropped therefrom riot civil commotion and malicious damage
      as are (at the time such insurance is effected) generally available on
      normal commercial terms and such other risks against which the Landlord
      may from time to time reasonably deem it desirable to insure and which is
      or are generally available on normal commercial terms (hereinafter
      together referred to as "the insured risks") such last mentioned rent to
      be paid without deduction within 14 days of demand AND ALSO YIELDING AND
      PAYING by way of additional rent the sums due in accordance with the
      provisions of Clause 3(3) hereof AND ALSO YIELDING AND PAYING by way of
      additional rent the sums due in accordance with Clause 5(4) hereof (so far
      as they relate to the rents firstly secondly and thirdly reserved
      hereunder)

3.    THE Tenant HEREBY COVENANTS with the Landlord as follows:-

To pay rents
------------

(1)   To pay the rents hereby reserved at the times and in the manner aforesaid
      and without deduction save as aforesaid

                                       4
<PAGE>

To pay outgoings
----------------

(2)   To bear pay and discharge (a) all rates taxes duties charges assessments
      impositions and outgoings whatsoever whether parliamentary parochial or of
      any other description now or hereafter assessed charged or imposed upon or
      payable in respect of the demised premises or any part thereof or upon the
      owner or occupier thereof and (b) the proportion reasonably and properly
      attributable to the demised premises of any such rates taxes duties
      charges assessments impositions and outgoings as may be assessed charged
      or imposed upon the demised premises jointly with other premises or upon
      the owners or occupiers thereof (except (i) such income tax on the rent
      hereby reserved as shall be properly payable by the Landlord and (ii) any
      tax or charge occasioned by any disposition of or dealing with the
      reversion immediately expectant on the term hereby granted)

Service Charge
--------------

(3)   (a)  To pay to the Landlord at the times and in manner hereinafter
           provided in every year of the said term and so in proportion for any
           part of a year a fair and proper proportion as may be determined
           acting reasonably from time to time by the Landlord's surveyor (whose
           decision shall be final and binding on the parties hereto save in the
           case of manifest error) (hereinafter referred to as "the Service
           Charge") of the expenses (including provision (as set out in the
           Third Schedule) for the renewal of the Landlord's plant and
           machinery) incurred by the Landlord in connection with or relating to
           the works services and facilities (hereinafter together referred to
           as "the services") as set forth in the Third Schedule in relation to
           the Building

      (b)  The accounting period shall be the year or other period ending on the
           Thirty first day of March in every year or such other date as may
           from time to time be fixed by the Landlord and notified to the Tenant

                                       5
<PAGE>

(c)  As soon as practicable after the end of each accounting period the Landlord
     will furnish the Tenant with a statement (which save for any manifest error
     therein shall be conclusive and binding on the parties hereto) of the
     expenditure incurred by the Landlord in respect of the services for the
     relevant accounting period and of the Service Charge payable by the Tenant
     for such period

(d)  Pending the ascertainment of the Service Charge for each accounting period
     the Tenant shall pay by equal quarterly payments on the four usual quarter
     days in every year of the said term and proportionately for any part of a
     year a provisional sum by way of Service Charge such provisional sum to be
     such amount as the Landlord shall reasonably require having regard to the
     actual Service Charge for preceding accounting periods and for the first
     period after the commencement of the said term such provisional sum as the
     Landlord shall reasonably require

(e)  When the actual Service Charge for each accounting period has been
     ascertained any surplus due from or paid by the Tenant by way of Service
     Charge shall be added to or subtracted from (as the case may be) the
     immediately succeeding payment or payments to be made by the Tenant under
     paragraph (d) of this sub-clause except in the case of an amount owing at
     the expiry of the said term which shall be paid or repaid as the case may
     be as soon as reasonably practicable

(f)  The Service Charge payable (excluding VAT) in any accounting period (but
     excluding the provision of a security guard for the supervision of the
     ground floor reception area together with associated duties and the
     matters referred to in 3(3)(h) below) shall not exceed the Service Charge
     Cap (or a relevant proportion thereof in the case of the first and last
     accounting periods) calculated in accordance with the provisions of the
     Fifth Schedule

                                       6
<PAGE>

     (g)  Each and every payment as [ILLEGIBLE] respect of the Service Charge if
          not satisfied within a period of twenty one days of the demand
          therefor shall then be recoverable by action

     (h)  In the event that the Tenant specifically requires the Landlord to
          keep any part of the Building open for the Tenant outside the Open
          Hours or to incur any other expenditure on that account by the
          provision of services outside the Open Hours the Tenant will reimburse
          to the Landlord on demand either:-

          (i)  the whole of the reasonable cost in respect thereof; or

          (ii) if such services are also used by other tenants within the
               Building a fair proportion of the reasonable cost of those
               services

          and for the avoidance of doubt the Tenant will also pay a fair
          proportion of the cost of any services provided outside the Open Hours
          (at the request of another Tenant within the Building) where these
          have not been specifically required by the Tenant but are made use of
          by the Tenant. Such payment shall be made within 21 days of demand.

To pay Water Rates
------------------

(4)  UNLESS the water supply to the Building is metered to pay to the Landlord
     within 14 days of written demand all sums paid by the Landlord in respect
     of the water rate and sewerage and environmental charges payable in respect
     of or properly attributable to the demised premises

Repair
------

(5)  (a)  TO keep the demised premises in good and substantial repair (damage by
          the insured risks hereinbefore defined excepted save to the extent
          that the relevant policy or policies of insurance effected by the
          Landlord shall have been vitiated or payment of the policy moneys
          refused in whole or in part by or in consequence of some act neglect
          or default on the part of or

                                       7
<PAGE>

          suffered by the Tenant any underlessees or their respective servants
          agents or licensees)

     (b)  To clean the interior of all glass in the doors and windows of the
          demised premises at least once in every month and to keep in good
          repair and clean all pipes wires gullies and drains (if any)
          exclusively serving the demised premises and not to do or permit or
          suffer to be done anything whereby any other pipes wires gullies and
          drains become obstructed

     (c)  Without prejudice to the generality of Clause 3(5)(a) above to keep
          the lobby area of the demised premises at second floor level shown
          coloured green on the Plan cleansed and maintained to a high standard

Defective Premises Act 1972
---------------------------

(6)  TO give notice in writing to the Landlord of any relevant defect in or
     affecting the demised premises within the meaning of the Defective Premises
     Act 1972 as soon as practicable after the same comes to the notice of the
     Tenant or any agent or servant of the Tenant and to indemnify the Landlord
     from and against all obligations actions costs claims and demands arising
     in respect of the demised premises under the said Act or otherwise

Decoration
----------

(7)  IN every fifth year of the said term (should the said term so long last)
     and in any event immediately before the termination of the said term
     (however the same may be determined) to paint the interior of the demised
     premises with two coats of oil paint or of emulsion paint all the internal
     parts of the demised premises previously so treated respectively and to
     re-polish all the internal parts previously polished including the floor
     surfaces and to paper grain and varnish all the internal parts previously
     papered grained and varnished all such work to be carried out to the
     reasonable satisfaction of the Landlord Surveyor and all

                                       8
<PAGE>

     materials to be in colours and of a quality approved by the Landlord such
     approval not to be unreasonably withheld or delayed

To yield up
-----------

(8)  TO yield up to the Landlord the demised premises so repaired painted
     papered polished grained varnished and kept as aforesaid at the expiration
     of or sooner determination of the said term together with all improvements
     made thereto in the meantime which have become the Landlord's fixtures and
     fittings and all Landlord's fixtures and fittings in or upon the demised
     premises or which during the said term may be affixed or fastened to or
     upon the same (damage by the insured risks hereinafter defined excepted
     save to the extent that the relevant policy or policies of insurance
     effected by the Landlord shall have been vitiated or payment of the policy
     moneys refused in whole or in part by or in consequence of some act neglect
     or default on the part of or suffered by the Tenant or their servants
     agents or licensees)

To permit access for repair
---------------------------

(9)  TO permit the Landlord or its agents or workmen to have access to the
     demised premises to exercise the exceptions and reservations contained in
     Part III of the First Schedule upon the terms therein mentioned

To permit entry to view and take inventories
--------------------------------------------

(10) TO permit the Landlord or its agents with or without workmen and others at
     all reasonable times upon reasonable prior written notice (save in case of
     emergency) to enter upon the demised premises to examine the state and
     condition thereof and of the fixtures and fittings therein and to take
     inventories or such fixtures and fittings and to give or leave upon the
     demised premises for the Tenant notice in writing of all defects and wants
     of repair there found for which the Tenant is liable hereunder and calling
     upon the Tenant within three months thereafter to make good such defects
     and wants of repair and if the Tenant shall fail to comply with

                                       9
<PAGE>

     any such notice or make default in the performance of any of the foregoing
     covenants relating to the repair decoration or other works which ought to
     be, carried out to the demised premises to permit the Landlord upon prior
     written notice (save in emergency) (but without prejudice to the right of
     re-entry under the clause hereinafter contained) to enter upon the demised
     premises and repair paint or carry out such work

To repay cost of repairs
------------------------

(11) TO repay to the Landlord within 14 days of written demand the cost of any
repair painting or other works carried out by the Landlord pursuant to Clause
3(10)

To pay costs regarding Sections 146/147 Proceedings
---------------------------------------------------

(12) TO pay to the Landlord within 14 days of written demand all charges and
expenses (including reasonable and proper legal costs and fees payable to the
Landlord's Surveyor) which may be reasonably and properly incurred by the
Landlord in any proceedings under Sections 146 and 147 of the Law of Property
Act 1925 notwithstanding that forfeiture is avoided otherwise than by relief
granted by the Court

Electricity requirements
------------------------

(13) AT all times during the said term to comply with the requirements and
regulations of London Electricity plc or other electricity supply authority with
regard to the electrical wiring installation and equipment in the demised
premises but not without the previous permission in writing of the Landlord
(such permission not to be unreasonably withheld or delayed) to carry out any
electrical work which may affect the electrical system within the Building or
make any alteration to or extension of the electrical installation in the
demised premises or the Building

User
----

(14) NOT to use or permit or suffer the use of the demised premises otherwise
than as offices falling within use class B1 of the Town and Country Planning
(Use Classes) Order 1987 and as ancillary thereto for the purposes of the
holding of training courses
                                      10
<PAGE>

and other organised events directly linked to the Tenant's business PROVIDED
THAT no services should be provided principally to visiting members of the
general public

Comply with Statutory Requirements
----------------------------------

(15) TO observe and comply in all respects with the provisions and requirements
of any and every enactment (which expression in this covenant includes as well
any and every Act of Parliament already or hereafter to be passed as any and
every order regulation and bye-law already or hereafter to be made under or in
pursuance of any such Act) so far as they relate to or affect the demised
premises or any additions or improvements thereto or the user thereof and not by
any act or omission in connection with the demised premises to contravene any
provision or any enactment bye-law or order regulation or direction made under
any enactment and at all times hereafter to indemnify and keep indemnified the
Landlord against all proceedings costs expenses claims and demands in respect of
any contravention by the Tenant

To inform the Landlord of Notices
---------------------------------

(16) As soon as reasonably practicable to give full particulars to the Landlord
of any notice or proposal for a notice or order or proposal for an order given
issued or made to the Tenant by a local or other authority and if so required by
the Landlord to produce such notice to the Landlord and also without delay to
take all reasonable or necessary steps to comply with any such notice or order

Auction Sales
-------------

(17) NOT to hold or permit or suffer to be held any sale by auction on the
demised premises.

Signs and Notices
-----------------

(18) NOT to display or permit or suffer to be displayed any indication of trade
or any sign placard or advertisement on the demised premises other than as
previously approved in writing by the Landlord and not without the previous
consent in writing of the Landlord to affix or place or permit or suffer to be
affixed or placed any names or

                                      11
<PAGE>

notices on the walls or in the windows or on the names [ILLEGIBLE] of the
Building or place or permit or suffer to be affixed or placed any plate or
writing on the office doors except writing in the style and size adopted in the
Building

No Nuisance or Annoyance
------------------------

(19) NOT to permit or suffer the cooking or heating of food on the demised
premises (other than reheating pre-cooked food by way of a microwave oven for
consumption on the demised premises by the Tenant's employees or visitors and
provided that the smells from re-heating such do not cause a nuisance or
inconvenience to the other tenants in the Building) or to do or permit or suffer
on the demised premises or any part of the Building any other act or thing which
is illegal or immoral or which is a nuisance or annoyance to the Landlord or any
tenant of the Landlord or the occupiers of the remainder of the Building or of
any adjoining or adjacent property or the neighbourhood

No Vitiation of Insurance
-------------------------

(20) NOT to do or permit or suffer to be done anything which invalidates any
Policy or Policies of Insurance effected by the Landlord (the material terms of
which have been notified to the Tenant.) in respect of the Building and/or the
rents receivable in respect thereof or increase the premium or premiums payable
in respect thereof

Alterations
-----------

(21) NOT to cut maim or injure any of the walls beams or timbers of the demised
premises nor without the previous consent in writing of the Landlord (such
consent not to be unreasonably withheld or delayed) to make any other
alterations to the demised premises provided that the Tenant may (without the
consent of the Landlord) instal or remove demountable partitioning upon the
following conditions:-

          (i)  such partitions shall be constructed and installed in a proper
               and workmanlike manner and so as not to cut maim or injure any of
               the walls or timbers of the demised premises

                                      12
<PAGE>

          (ii)      the Tenant shall give to the Landlord and to the Landlord's
                    insurers notice of the intended installation as aforesaid
                    before works are commenced and the Tenant shall comply with
                    all the requirements of such insurers

          (iii)     the Tenant shall make good without undue delay all damage
                    caused by the installation of such partitions

          (iv)      at the termination date the Tenant shall if required by the
                    Landlord remove any such partitions and restore the
                    demised premises to their former state and condition

No Obstruction of Entrances or Passageways
------------------------------------------

(22) (a)  NOT to remove from or bring into the demised premises any furniture
or heavy or bulky goods between the hours of 9 a.m. and 6 p.m. Mondays to
Fridays (inclusive) and not to obstruct or permit or suffer to be obstructed any
passages staircases or lifts provided for general use in the Building or any
means of escape or to do or permit or suffer to be done anything which is a
source of danger to persons using any such passages staircases lifts or means of
escape

     (b)  Not to use or permit or suffer the use of any trolleys or other
conveyances in the common passageways or entrance halls of the Building except
those fitted with rubber tyres or other similar coverings on the wheels thereof
which do not unduly injure damage or mark the surface of the said passageways or
entrance halls

No Overloading
--------------

(23) NOT to place safes and/or other heavy articles except as and where approved
by the Landlord (such approval not to be unreasonably withheld or delayed) and
in particular not to exceed or permit or suffer to be exceeded the designed
floor loading of the Building

                                      13
<PAGE>

Alienation
----------

(24) (a)  SAVE as may hereinafter be expressly permitted not to assign underlet
          share part with the possession or occupation of any part (as opposed
          to the whole) of the demised premises

     (b)  Not to assign the whole of the demised premises without the prior
          written consent of the Landlord such consent not to be unreasonably
          withheld or delayed subject to the agreements contained in the next
          succeeding sub-clauses (i) (ii) (iii) and (iv):-

          (i)       A refusal of such consent will be reasonable if on the
                    ground (whether or not with other grounds) that in the
                    reasonable opinion of the Landlord the assignee is unlikely
                    to be able to meet its obligations under this Lease having
                    regard to all of the relevant circumstances

          (ii)      Sub-clause (i) above shall operate without prejudice to the
                    right of the Landlord to refuse such consent on any other
                    ground or grounds where such refusal would be reasonable

          (iii)     It will be reasonable for any one or more of the following
                    conditions to be attached to any such consent:-

                    (A)  a requirement that the assigning Tenant executes as a
                         deed and delivers to the Landlord prior to the
                         assignment in question an authorised guarantee
                         agreement (as defined in and for the purposes of
                         Section 16 of the Landlord and Tenant (Covenants) Act
                         1995)

                    (B)  Either:

                         (a)  if the Landlord reasonably so requires a
                              requirement that a third party guarantor
                              reasonably acceptable to the Landlord is provided
                              who executes in favour of the

                                      14
<PAGE>

                              Landlord and delivers to the Landlord prior to the
                              assignment in question a deed of covenant in the
                              form set out in the Fourth Schedule of this Lease

                         or:

                         (b)  if the Landlord reasonably so requires a
                              requirement that the proposed assignee enters
                              prior to the assignment into such reasonable rent
                              deposit arrangement as additional security for
                              performance by the proposed assignee of its
                              obligations under this Lease

                    (iv) Sub-clause (iii) above shall operate without prejudice
                         to the right of the Landlord to impose further
                         conditions upon a grant of consent where such
                         imposition would be reasonable

                    (iv) If any circumstances or conditions specified in sub-
                         clauses (i) to (iv) above are framed by reference to
                         any matter falling to be determined by the Landlord (or
                         any other person) and such determination is not
                         required to be exercised reasonably then if the Tenant
                         disputes such determination either party may require
                         the matter or matters in dispute to be referred to an
                         independent expert who in the absence of agreement
                         between the parties shall be appointed on the
                         application of either party to the President or next
                         most senior available officer of the Royal Institution
                         of Chartered Surveyors. Both parties shall have a
                         period of seven working days from the date when the
                         independent expert gives written notice of acceptance
                         of his appointment to make written submissions to the
                         expert and the expert shall be directed to reach his
                         decision within seven working days from the expiry of
                         the period within which written submissions are
                         permitted to be made. The expert shall be directed to
                         publish

                                      15
<PAGE>

                his decision in writing. His determination shall be conclusive
                as to the matter or matters in dispute and shall be final and
                binding on, the parties and his costs shall be met by the
                parties in such proportions as he shall determine

     (c)  Not to underlet the whole of the demised premises or a Permitted Part
          except:-

          (i)  by an Underlease or tenancy agreement (hereinafter referred to as
               a "Permitted Underlease") which shall contain first on the part
               of the underlessee (inter alia) the stipulated covenants
               hereinafter mentioned secondly provision for the review of rent
               at the same time as provided by the Second Schedule of this Lease
               and in all other respects corresponding with the provisions of
               the Second Schedule (where the term of the Permitted Underlessee
               includes the Rent Review Date as defined in the Second Schedule)
               and thirdly provisions for change of use assignment underletting
               and service charge corresponding with the provisions therefor
               contained in this Lease

          (ii) to a person (hereinafter referred to as "Permitted Underlessee")
               who shall have previously to the date of the Permitted Underlease
               entered into direct covenants (in this sub-clause called "the
               stipulated covenants") with the Landlord to observe and perform
               the covenants and conditions contained in this Lease and on the
               part of the Tenant to be observed and performed so far as they
               relate to the premises to be demised to the Permitted Underlessee
               (including without prejudice to the generality thereof a covenant
               prohibiting alienation whether in whole or in part save by way of
               assignment or sub-underletting of the whole of the premises
               demised by the

                                      16
<PAGE>

               Permitted Underlease and then only having obtained the prior
               written consent of all estate owners having an interest in the
               reversion whether mediate or immediate to the Permitted
               Underlease such consent not to be unreasonably withheld or
               delayed) but excluding the covenant to pay the rents reserved by
               this Lease

     (d)  Not to underlet a Permitted Part except by a Permitted Underlease
          excluded by court order from the provision of Sections 24-28
          (inclusive) of the Landlord and Tenant Act 1954 to a Permitted
          Underlessee

     (e)  Not to hold or occupy the demised premises or any part thereof as
          nominee or agent or otherwise for the benefit of any other person

     (f)  Not to part with or share the possession or occupation of the demised
          premises except by virtue of an assignment or underletting of a kind
          permitted by this Lease save that the Tenant may share occupation of
          the demised premises with any member of the group of companies of
          which the Tenant form part as defined by Section 42 of the Landlord
          and Tenant Act 1954 provided that no relationship of landlord and
          tenant is thereby created

     (g)  Not without the prior consent in writing of the Landlord (such consent
          not to be unreasonably withheld or delayed):-

          (i)   to underlet the whole of the demised premises or a Permitted
                Part by a Permitted Underlease to a Permitted Underlessee and

          (ii)  to authorise the assignment of any Permitted Underlease and

          (iii) to charge or mortgage in any way the whole of the demised
                premises (save with a clearing bank or other reputable financial
                organisation or by way or floating charge in which case no
                consent will be required)

                                      17
<PAGE>

        (h) Not at any time either expressly or by implication to waive any
            breach of any of the covenants or conditions on the part of any
            Permitted Underlessee comprised in any Permitted Underlease the
            breach of which is also a breach of the covenants and other
            provisions contained in this Lease or in any Variation hereof or
            Licence granted hereunder but on any such breach to the extent
            permitted by such Permitted Underlease or by law to re-enter on the
            premises comprised in such Permitted Underlease or otherwise to
            enforce such covenants and conditions

        (i) Notwithstanding anything herein contained the Tenant shall not
            create or permit the creation of any interest derived out of the
            said term however remote or inferior upon the payment of a fine or
            premium other than a reverse premium or at a rent less than the full
            market rent obtainable at the time of such proposed underletting
            (without taking a fine or premium) of the premises demised and shall
            not create or permit the creation of any such derivative interest as
            aforesaid save by deed containing such absolute prohibitions as
            aforesaid on the part of the underlessee and those deriving title
            under such underlessee

Registration of Assignments
---------------------------

(25)    TO produce two certified copies of every assignment transfer mortgage
        charge underlease probate letters of administration order instrument or
        other writing effecting or evidencing any transmission or devolution of
        any estate or interest (derivative or otherwise) in the demised premises
        or any part thereof to the Solicitors of the Landlord for registration
        within one month from the date thereof and to pay to the Landlord's
        Solicitors a fee of Twenty Five Pounds ((pounds)25.00) for each such
        registration

                                      18
<PAGE>

To permit access for disposal
-----------------------------

(26)   AT any time during the last six months of the said term during reasonable
       hours in the daytime to permit the Landlord or their agents to show the
       demised premises to intending tenants or other persons

Interest on overdue payments
----------------------------

(27)   IN the event of the Tenant failing to pay to the Landlord any sums
       (including the rent first reserved by this Lease and/or the insurance
       rent and/or the Service Charge) payable by the Tenant under the
       provisions of this Lease within twenty one days of the due date (or if no
       date is specified from the date of written demand) to pay to the Landlord
       on written demand interest on such unpaid amounts at the rate of two per
       cent per annum above Lloyds Bank Plc Base Lending Rate for the time
       being and from time to time in force from the due date (or if no date is
       specified from the date of written demand) until the date of payment

To pay Charges
--------------

(28)   TO pay the reasonable and proper legal charges and surveyor's fees of the
       Landlord including the Landlord's Solicitors reasonable disbursements
       resulting from all applications by the Tenant for any consent of the
       Landlord required by this Lease including legal charges disbursements and
       Surveyor's fees actually incurred including in cases where consent is
       refused (unless such consent is unlawfully refused) or the application is
       withdrawn

To indemnify
------------

(29)   TO indemnify and keep indemnified the Landlord from and against legal
       liability in respect of all damage actions proceedings suits claims
       demands costs damages liability and expenses in respect of any injury to
       or the death of any person or damage to any property movable or immovable
       by reason of or arising in any way directly or indirectly out of the
       repair state of repair condition existence of any

                                      19
<PAGE>

       alteration by the Tenant to or the unauthorised user of the demised
       premises by the Tenant and from all proceedings costs claims demands of
       whatsoever nature in respect of any such liability or alleged liability

To observe covenants
--------------------

(30)   AT all times to observe all and singular the covenants and obligations
       (whether express or implied) which have been entered into by the Landlord
       or their predecessors in title contained in the licences deeds and
       documents (other than financial) referred to in the Property and Charges
       Registers of Title Number NGL 522163 but so far only as the same are
       subsisting and capable of taking affect and effect the demised premises

4.     (1)  THE Landlord covenant with the Tenant that (unless prevented by
            strikes lockouts or other causes beyond its control) the Landlord
            will:-

Provide Heat
------------

            (a)  provide heat to the demised premises from the 1st October in
                 each year until the 1st May in each subsequent year but not on
                 Saturdays Sundays or Public Holidays between the hours of 8.00
                 a.m. and 6 p.m. on other days such heat being sufficient to
                 maintain an air temperature in the demised premises of 65
                 degrees Fahrenheit whilst the temperature in the open air in
                 the shade outside the Building does not fall below 32 degrees
                 Fahrenheit and the doors and windows of the demised premises
                 are kept closed and to provide air conditioning to the demised
                 premises throughout the entire year (but only during the said
                 hours on the said days)
To clean
--------

            (b)  keep clean tidy unobstructed and in good and substantial repair
                 the passages staircases and the Lifts in the Building leading
                 to the demised premises and the toilet accommodation (if any)
                 provided

                                      20
<PAGE>

                 from time to time for general use in the Building and will
                 light as necessary the said passages staircases lifts and
                 toilet accommodation

To provide other services
-------------------------

            (c)  provide manage and operate such of the other services and incur
                 such of the charges mentioned in the Third Schedule hereto as
                 shall from time to time be reasonably necessary or desirable in
                 accordance with the principles of good estate management
                 PROVIDED ALWAYS THAT for the performance and observance of its
                 obligations hereunder the Landlord shall be entitled at its
                 reasonable discretion to employ such agents servants
                 contractors or other persons as the Landlord may from time to
                 time reasonably and properly think fit

       (2)  THE Landlord further covenants with the Tenant:-

Quiet Enjoyment
---------------

            (a)  that the Tenant paying the rents hereinbefore reserved and
                 observing the covenants on the Tenant's part herein contained
                 shall during the said term quietly enjoy the demised premises
                 without any interruption by the Landlord or any person lawfully
                 claiming under it

To insure
---------

            (b)  To insure or procure the insurance of the Building in the full
                 reinstatement value thereof including professional fees and
                 other incidental expenses and three years loss of the rent
                 first reserved by this Lease against loss or damage by such of
                 the risks of fire storm lightning explosion flood or (in
                 peacetime) aircraft and things dropped therefrom burst pipes
                 and water tanks impact earthquake riot and civil commotion
                 malicious damage subsidence landslip and heave as are (at the
                 time that such insurance is effected) generally

                                      21
<PAGE>

                  available on normal commercial terms subject to any excesses,
                  exclusions and limitations imposed by the insurers and against
                  such other risk or risks as the Landlord may reasonably deem
                  prudent and is or are generally available on normal
                  commercial terms subject as aforesaid (all which said risks
                  are herein called "the insured risks") and when reasonably
                  requested (but not more than twice a year) by the Tenant to
                  provide a summary of the policy and evidence that the premiums
                  have been paid to date AND in case of loss or damage to any
                  part or parts of the demised premises resulting from any of
                  the insured risks and (save to the extent that payment of the
                  policy monies shall be refused by reason of the act neglect
                  default or omission of the Tenant or their servants agents or
                  licensees) the Landlord will forthwith procure that all monies
                  due under such policy or policies (except in respect of loss
                  of rent and fees) as relate to the demised premises shall be
                  expended in rebuilding and reinstating the demised premises
                  (subject to the provisions of the Planning Acts or any other
                  Acts then in force which may prevent or restrict the
                  rebuilding or reinstatement of the demised premises or any
                  parts thereof) and will forthwith procure that all monies due
                  under such policy or policies or other policies (except loss
                  of rent policies) in relation to the remainder of the Building
                  shall be expended in its rebuilding and reinstatement (subject
                  as aforesaid) and in all cases (save to the extent that such
                  insurance has been vitiated by any act neglect default or
                  omission of the Tenant or their servants agents or licensees)
                  the Landlord shall make good any shortfall out of its own
                  resources

                                      22
<PAGE>

     5. PROVIDED ALWAYS and it is hereby agreed that:-

        Proviso for Re-entry
        --------------------

        (1)  (a) IF any of the contingencies specified in sub-clause (b) occur
                 it will be lawful for the Landlord at any time afterwards to
                 re-enter the demised premises or any part thereof in the name
                 of the whole and on the date of such re-entry this Lease will
                 determine and for the purposes of sub-clause (b) reference to
                 "the 1986 Act" means the Insolvency Act 1986

             (b) The contingencies referred to in sub-Clause (a) of this Clause
                 (1) are as follows:-

                 (i)   any rent reserved remaining unpaid for twenty-one days
                       after becoming due and payable and in the case of the
                       rent first reserved this means whether formally demanded
                       or not

                 (ii)  the Tenant failing to comply with any material obligation
                       which it has undertaken or any condition to which it is
                       bound under this Lease

                 (iii) the Tenant (if a company) entering into liquidation
                       (whether compulsory or voluntary) or passing a
                       resolution for winding-up while solvent except where the
                       liquidation or winding-up resolution is for the purpose
                       of reconstruction or amalgamation

                 (iv)  the Tenant (if a company) being unable to pay it debts
                       within the meaning of Sections 122 and 123 of the 1986
                       Act or summoning a meeting of its creditors or any of
                       them under Part I of the 1986 Act

                 (v)   a receiver or an administrative receiver for the Tenant
                       being appointed

                                      23
<PAGE>

                 (vi)  the Tenant (II an individual) having a bankruptcy order
                       made against him or entering into a composition with his
                       creditors and where the Tenant is more than one
                       individual then the Landlord's right under sub-clause
                       (a) above will arise if the contingency occurs in respect
                       of any of those individuals

                 (vii) an interim order being made against the Tenant under Part
                       VIII of the 1986 Act

            (c)  Neither the existence of the Landlord's right under sub-clause
                 (a) above nor the consequences of exercise of that right are to
                 affect any other right or remedy available to the Landlord
                 under this Lease or otherwise or the rights or remedy available
                 to the Tenant

Interruption of Services
------------------------

       (2)  THE Landlord shall be al liberty to make such alterations as it may
            reasonably deem fit to the internal arrangement of the Building
            (except the demised premises) and to the means of access to the
            demised premises and to the Lifts and to the heating and air
            conditioning plant and apparatus of the Building and if it thinks
            fit to install a lift or heating or air conditioning plant or
            apparatus of a different type and to suspend the service of a
            lift or heating or air conditioning while repairs or servicing or
            the work of alteration or installation is being carried out provided
            that the Landlord shall carry out such alterations or installations
            as quickly as reasonably practicable and shall keep any
            interruptions to a minimum and where possible the Landlord shall
            give the Tenant as much prior warning of any such interruptions as
            possible and shall where reasonably possible and economic to do so
            to provide an alternative temporary service

                                      24
<PAGE>
[ILLEGIBLE]

          (3)  IF the demised premises or any part thereof or all rights of
               access enjoyed by the demised premises granted by this Lease
               shall at any time be destroyed or damaged by the insured risks or
               any of them so as to render the demised premises unfit for
               occupation or use then and in such case (save to the extent that
               the relevant policy or policies of insurance effected by the
               Landlord shall have been vitiated or payment of the policy moneys
               refused in whole or in part in consequence of some act neglect or
               default on the part of or suffered by the Tenant or its servants
               agents or licensees) the rent first reserved or a fair and just
               proportion thereof according to the nature and extent of the
               damage sustained shall be suspended and cease to be payable
               until the demised premises shall again be rendered fit for
               occupation and use or until the expiration of three years from
               the date of the happening of such destruction or damage as
               aforesaid (whichever period shall be the shorter) and in the case
               of dispute as to the proportion or period of such abatement the
               same shall be referred to arbitration pursuant to the Arbitration
               Acts 1950 and 1979 or any statutory modification or re-enactment
               thereof for the time being in force and the arbitrator shall be
               agreed between the parties or failing agreement the arbitrator
               shall be appointed on the application of either the Landlord or
               the Tenant by the President for the time being of the Royal
               Institution or Chartered Surveyors

Value Added Tax
---------------
          (4)  (a)  Output Tax
                    ----------

                    WHERE this Lease requires the Tenant to pay repay reimburse
                    or provide any amount or other consideration in respect of a
                    Value Added Tax Supply to the Tenant by the Landlord such
                    amount or

                                      25
<PAGE>

                    other consideration will be deemed to be exclusive of any
                    Value Added Tax chargeable on that Value Added Tax Supply
                    (whether by virtue of a Value Added Tax election made or
                    otherwise) and the Tenant covenants to pay to the Landlord a
                    sum equal to that Value Added Tax

               (b)  Input Tax
                    ---------

                    Where this Lease requires the Tenant to pay repay reimburse
                    or provide any amount or other consideration in respect of a
                    Value Added Tax Supply to the Landlord the Tenant covenants
                    to pay to the Landlord a sum equal to a fair proportion of
                    the Value Added Tax charged to the Landlord on that Value
                    Added Tax supply (such proportion to be conclusively
                    determined by the Landlord's Surveyor) less a like
                    proportion of any part of that Value Added Tax for which the
                    Landlord is entitled to credit under Sections 24 25 and 26
                    of the Value Added Tax Act 1994 (or any statutory re-
                    enactment or modification thereof) or which the Landlord is
                    otherwise able to recover

Interpretation
--------------

          (5)  If any Party to this Lease comprises more than one person
               obligations on the part of that Party in this Lease are
               undertaken by all such persons jointly and also by each of them
               individually

Jurisdiction
------------

          (6)  (a)  Except where otherwise provided if any dispute shall arise
                    between the parties hereto with regard to the construction
                    or effect of this Lease or any clause or thing herein
                    contained or the rights duties or liabilities of the parties
                    under or by virtue of or arising out of or in consequence of
                    this Lease or anything herein contained or any of

                                      26
<PAGE>

                    such rights duties and liabilities otherwise in connection
                    with the demised premises or any proceedings instituted or
                    prosecuted or maintained it shall be determined by the
                    English Courts according to the Laws of England

               (b)  The High Court of Justice in England shall have jurisdiction
                    to entertain any actions or proceedings whatsoever in
                    respect of this Lease or any of the provisions hereof or any
                    matter or thing arising hereunder or by virtue or in
                    consequence hereof

Tenant's Option to Determine
----------------------------

          (7)  (a)  If the Tenant shall desire to determine the said term on the
                    29th September 2001 ("the Break Date") (time being of the
                    essence for such date) and shall give to the Landlord not
                    less than six months, written notice to that effect (time
                    being of the essence for such notice) ("the Break Notice")
                    on the Break Date the said term shall thereupon cease and
                    determine but without prejudice to the liability of either
                    party for any antecedent breaches

               (b)  on service of the Break Notice the Tenant will pay to the
                    Landlord the additional rent of NINETY FOUR THOUSAND ONE
                    HUNDRED AND TWENTY FIVE POUNDS ((pounds) 94,125) plus Value
                    Added Tax (if any)

               (c)  In the event that the Tenant fails to comply with the
                    provisions of this Clause 5(7) with the result that the
                    Lease is not determined on the Break Date (pursuant to the
                    provisions of this Clause 5(7)) then within 14 days of the
                    date that would but for the Tenant's failure have been the
                    Break Date the Landlord will return to the Tenant the monies
                    paid pursuant to Clause 5(7)(b)

                                      27
<PAGE>

6.   The parties to this Lease certify that there is no Agreement for Lease to
     which this Lease gives effect

I N  W I T N E S S whereof the parties hereto have executed this Lease as a deed
the day and year first before written

                 THE FIRST SCHEDULE  hereinbefore referred to
                 --------------------------------------------

                                    PART 1
                                    ------

                        Description of Demised Premises
                        -------------------------------

The parts of the first and second floors of the building known as The Broadwalk
Ealing Broadway Centre Ealing Broadway London W5 shown (for the purpose of
identification only) edged red on the Plan which shall include where they exist
and where the context so admits for the purpose of obligation as well as grant:-

1.   all additions alterations and improvements to the demised premises made at
     any time:

2.   all Landlord's fixtures and fittings and plant equipment and machinery
     within and exclusively serving the demised premises:

3.   the window panes (but excluding the whole of the window frames equipment
     and fitments forming the windows to the exterior of the demised premises)
     and the doors door frames equipment and fitments of the demised premises
     (including those doors giving access to the demised premises from the
     common parts of the Building)

4.   the internal plaster and other surfaces of load bearing walls and columns
     with the demised premises and of walls dividing the demised premises from
     other parts of the Building or any adjoining property;

5.   the whole of all non-load bearing walls within the demised premises;

6.   the flooring raised floors and floor screeds down to the joists or other
     structural parts supporting the flooring of the demised premises;

                                      28
<PAGE>

7.   the plaster or outer surfaces of the ceilings and the whole of any false
     ceilings within the demised premises and the voids between the ceiling and
     any false ceilings; and

8.   all conduits within and exclusively serving the demised premises.

BUT EXCLUDING (i) the structural parts the load-bearing framework joists and
external walls of the Building (ii) all Landlord's fixtures and fittings and
plant equipment and machinery and the conduits within but not exclusively
serving the demised premises (iii) the roof of the Building and (iv) the canopy

                                    PART II
                                    -------

                         Easements and Rights Granted
                         ----------------------------

1.   The right:-

     (a)  to use for the purpose of access to and egress from the demised
          premises with or without articulated vehicles not exceeding 13 metres
          in length 2.5 metres in width 4.5 metres in height and rigid vehicles
          not exceeding 11 metres in length 2.5 metres in width and 4.5 metres
          in height the service roads shown by green lines on the Plan

     (b)  to use for the purpose of loading and unloading goods such one of the
          bays as is convenient for the access to the Lifts such right to be
          exercisable only during the course of such loading and unloading and
          during such period only the right to park vehicles in the said bay
          and also the right on foot only to trolley goods from and to the said
          bay to and from the Lifts

     (c)  to use with motor vehicles not exceeding in height 2 metres and in
          weight (laden) 2.5 metric tonnes the car park ramps of the Adjoining
          Building leading to and from Windsor Road and to and from the Grove
          and the circulation areas of the Development shown by red lines on
          the Plan for the purpose of obtaining access to and egress from the
          Car Park together with

                                      29
<PAGE>
     a right to use the area within the car park for obtaining access to and
     egress from the Car Parking Spaces

     Reserving to the Landlord and the owners from time to time of the Adjoining
     Building full and free right and liberty at its or their expense to alter
     divert or stop up the said service roads car park ramps circulation areas
     or bays subject however to suitable alternative equally convenient
     provisions being made by the Landlord or the owner of the Adjoining
     Building (as the case may be) and the right to restrict the hours of entry
     to the areas over which rights are hereby granted (in which case the Tenant
     shall be provided with a key or such other facility for obtaining entry
     outside such restricted hours as may be appropriate)

     SUBJECT ALWAYS to compliance with and observance by the Tenant its servants
     agents underlessees licensees invitees and visitors of the following
     conditions:-

     (i)   Not to use or cause or permit or suffer to be used the areas over
           which rights are hereby granted except for the purposes aforesaid

     (ii)  Not to damage or permit or suffer to be damaged the said areas nor
           to deposit goods or litter or store refuse thereon nor obstruct or
           impede the use by others of the said areas

     (iii) Not to park or permit vehicles to be parked on the said areas over
           which rights are granted (save as herein expressly granted)

     (iv)  Not to commit or cause any disturbance or nuisance in or upon the
           said areas over which rights are hereby granted

     (v)   To observe and perform all reasonable regulations and stipulations
           made by the Landlord or the owners of the Adjoining Building
           concerning the use of the said areas

     (vi)  In the event of the Tenant its servants agents underlessees licensees
           invitees and visitors being permitted to use the said areas outside
           any restricted hours to take all reasonable security precautions and
           to resecure the areas

                                      30
<PAGE>
          as soon as practicable and to ensure that any facilities or service
          utilised during the period of such entry are switched off and/or made
          safe and to indemnify the Landlord and the owners of the Adjoining
          Building against all damage and claims arising out of such use

2.   Right of way on foot only over the area coloured yellow on the Plan for the
     purpose of servicing the demised premises

3.   Right of way on foot only over the areas coloured brown on the Plan so far
     as is necessary for access to and egress from the demised premises

4.   Right to use the Lifts for the purposes of access to and egress from the
     demised premises

5.   The right to subjacent support for the demised premises from the remainder
     of the Building

6.   The free and uninterrupted passage and running of water steam air soil gas
     electricity telephone and other services or supplies from and to the
     demised premises through the existing gutters pipes wires cables sewers
     drains mains channels conduits ducts and flues in upon over or under the
     Development as at present enjoyed by the demised premises SUBJECT to the
     right of the Landlord or the owners of the Adjoining Building to alter
     amend reconstruct or vary the course of such gutters pipes wires cables
     sewers drains mains channels conduits ducts and flues causing as little
     inconvenience as possible and making good all damage to the demised
     premises

7.   The right in case of emergency (and drill) only to use or pass along such
     means of escape across fire escapes (if any) provided in or enjoyed by the
     Building and without prejudice to the generality of the foregoing a right
     of way in the case of emergency (and drill) over the staircase shown
     coloured brown and hatched black on the Plan

                                      31
<PAGE>

the exclusive right to park not more than one private motor vehicle in each of
the Car Parking Spaces

9.   The right to display on the notice board provided by the Landlord for that
     purpose in the ground floor entrance hall the name of the Tenant and the
     name of any other permitted occupier of the demised premises such name(s)
     to be in the usual "house" form adopted by the Landlord on such notice
     board

                                   PART III
                                   --------

                  Exceptions and Reservations to the Landlord
                  -------------------------------------------

Support
-------

1.   The right to subjacent and lateral support for the nearby premises from the
     demised premises

Running of services
-------------------

2.   The free and uninterrupted passage and running of water steam air soil gas
     electricity telephone and other services or supplies from and to any part
     of the nearby premises through the gutters pipes wires cables sewers drains
     mains channels conduits ducts and flues which are now or may hereafter
     during the term be in upon over or under or which may run through the
     demised premises

Entry in respect of services etc
--------------------------------

3.   The full right and liberty at all times during the term to enter upon the
     demised premises by prior notice in order to construct lay cleanse maintain
     inspect alter connect make connections to replace relay or repair any such
     gutters pipes wires cables sewers drains mains channels conduits ducts or
     flues and to erect construct or lay in upon over or under the demised
     premises any sewers drains mains pipes wires cables conduits ducts flues or
     other structure fixtures or other works whatsoever which are required for
     the drainage of or for the supply of water gas electricity telephone
     heating steam and all or any other services from and to any part of the
     nearby premises causing as 1ittle inconvenience or disturbance as

                                      32
<PAGE>

     possible and making good all damage caused to the demised premises in the
     exercise of the said right

Entry to build etc
------------------

(4)  (a)  Full right and liberty to enter by prior notice upon the demised
          premises at any times during the term in order to build on or into any
          boundary or party walls on the demised premises or to build thereover
          making good all damage caused to the demised premises in the exercise
          of the said right

     (b)  The full and free right and liberty at any time hereafter or from time
          to time to execute works repairs and maintenance and make erections
          upon or to erect rebuild alter add to extend or redevelop the nearby
          premises notwithstanding that the access of light and air for the time
          being appertaining to or enjoyed with the demised premises or any part
          thereof may thereby be interfered with

Entry to View
-------------

5.   Full right and liberty at all reasonable times during the term by prior
     notice to enter upon the demised premises to view the state and condition
     of and to repair alter paint redecorate and maintain or execute any other
     works upon the nearby premises or any part or parts thereof or for any
     reasonable purpose or purposes in connection with the nearby premises and
     the demised premises or management of the nearby premises and the demised
     premises causing as little inconvenience or disturbance as possible and
     making good all damage to the demised premises in the exercise of the said
     right

Escape
------

6.   The right of emergency escape over such parts of the demised premises as
     are intended for such purpose

                                      33
<PAGE>

                 The second schedule herein before referred to

1.   In this Schedule:-

(a)  The rent review date shall be the 29th day of September in the year 2001
     and the expression "the rent review date" shall be construed accordingly

(b)  The open market rent shall be the yearly rent for which the demised
     premises might reasonably expect to be let on the open market with vacant
     possession on the rent review date by a willing lessor to a willing lessee
     without taking a fine or premium for a term of ten years commencing on the
     rent review date upon the supposition that the lessee shall have been given
     prior to and that shall have expired prior to the rent review date a
     sufficient rent free period for the purposes of the carrying out of the
     lessee's fitting out works and on assumptions if not facts that (i) the
     Landlord and the Tenant have complied with their obligations pursuant to
     this Lease (save in the case of the Landlord's obligation where there is a
     material and continuing breach of a lessor's obligation and if in the
     actual knowledge of the Tenant of which the Landlord has been notified in
     writing by the Tenant and which the Landlord has not remedied within a
     reasonable period of time of that notice) and (ii) the demised premises are
     fitted out (which for these purposes shall mean ready to accept the
     tenant's fixtures and fittings) and available for immediate occupation and
     use by the willing lessee and otherwise upon the terms and conditions (save
     as to the amount of rent payable but including provisions for rent review
     every five years and otherwise on terms similar to those contained in this
     Second Schedule) contained in this Lease there being disregarded:-

     (i)   any effect on rent of the fact that the Tenant has been in occupation
           of the demised premises

     (ii)  any goodwill attached to the demised premises by reason of the
           carrying on thereat of the business of the Tenant and

                                      34
<PAGE>

     (iii) any effect on rent of any improvement carried out by the Tenant
           otherwise than in pursuance of an obligation to the Landlord

2.   The rent payable under this Lease with effect from each rent review date
     shall be whichever is the higher of:-

     (a)   the rent reserved hereunder immediately before the rent review date
           and

     (b)   the open market rent as at the rent review date

3.   The procedure by which the open market rent at the rent review date
     shall be determined shall be by agreement between the Landlord and the
     Tenant or failing agreement shall be determined in accordance with
     Paragraph 4 of this Schedule Both the Landlord and the Tenant shall be
     entitled to require the other to commence and carry out negotiations with a
     view to agreeing the open market rent at any time during the term of this
     Lease but not earlier than six months before the rent review date

 4.  (a)   If by a date one month prior to the rent review date the Landlord and
           the Tenant have not agreed the open market rent then at any time
           thereafter the Landlord may in writing elect that the open market
           rent shall be determined by an arbitrator or by a valuer (acting as
           an expert and not as an arbitrator) who shall in either case be a
           surveyor experienced in the letting and valuation of premises of a
           similar nature to the demised premises (hereinafter called "the
           Surveyor"). In the event of the parties being unable to agree the
           open market rent the same shall be determined by the Surveyor in the
           capacity elected by the Landlord PROVIDED ALWAYS that if by the rent
           review date the Landlord shall not have notified the Tenant in
           writing whether the Surveyor is to act as an arbitrator or valuer the
           Tenant may in writing call upon the Landlord to make such an election
           within 28 days. If the Landlord shall not make such an election
           and/or shall make such an election but shall not advise the Tenant in

                                      35
<PAGE>

           the event of the parties being unable to agree the open market
           rent) shall act as an arbitrator

     (b)   At any time after the earlier of the date upon which the Landlord
           notifies the Tenant of its aforementioned election or the expiration
           of the said period of 28 days the Surveyor may be agreed upon in
           writing by the Landlord and the Tenant and in default of such
           agreement shall be appointed upon the application of either party by
           the President for the time being of the Royal Institution of
           Chartered Surveyors or the person designated by such Institution for
           such purpose and any reference hereafter to the said President shall
           be deemed to include a reference to such person

     (c)   In the case of reference to an arbitrator the arbitration shall be
           conducted in accordance with the Arbitration Acts 1950 and 1979 or
           any statutory modification or re-enactment thereof for the time being
           in force with the further provision that if the arbitrator appointed
           pursuant to this Paragraph 4 shall die or decline to act the
           President for the time being of the Royal Institution of Chartered
           Surveyors may on the application of either the Landlord or the Tenant
           in writing discharge the arbitrator and appoint another in his place
           and this procedure may be repeated as many times as may be necessary
           (and this Lease shall for this purpose be deemed to be a submission
           to arbitration under the provisions of the said Act)

     (d)   In the case of reference to a valuer:-

          (1)  his decision shall be final and binding on all persons who are or
               have been parties hereto

          (2)  the fees and expenses of the valuer including the cost of his
               nomination shall be borne equally by the Landlord and the Tenant
               who shall otherwise bear their own costs and

                                      36
<PAGE>

               if the valuer appointed pursuant to this Paragraph 4 shall die
               delay or become unwilling unfit or incapable of acting or if for
               any other reason the President for the time being of the Royal
               Institution of Chartered Surveyors shall in his absolute
               discretion think fit he may on the application of either of the
               Landlord or the Tenant by writing discharge the valuer and
               appoint another in his place and this procedure may be repeated
               as many times as may be necessary

5.   If on the rent review date the open market rent shall not have been
     ascertained as aforesaid the yearly rent reserved hereunder immediately
     before the rent review date shall continue to be payable until such rent
     has been agreed or until it has been awarded or determined (as the case may
     be) by the Surveyor so that immediately on demand after such agreement
     determination or award the excess difference (if any) over the amount
     actually so reserved and the amount which would have been payable had the
     agreement been reached or the determination or award been made before the
     rent review date together with interest thereon calculated on a daily basis
     on each instalment from the date on which such instalment would have become
     payable in such circumstances as aforesaid to the date of payment at Lloyds
     Bank PLC base lending rate for the time being in force shall be paid by the
     Tenant to the Landlord

6.   Forthwith after the ascertainment of the rent upon review a memorandum or
     deed recording the same shall be entered into in such form as the Landlord
     shall require and each party shall bear its own costs and disbursements in
     connection therewith

                                      37
<PAGE>

                 The third schedule herein before referred to

                                   Services
                                   --------

  (i)   Maintaining running repairing (and where beyond economic repair renewing
        rebuilding replacing) cleansing draining emptying lighting (including
        the renewal and replacement of bulbs tubes and light fittings) and
        repainting as often as may be reasonably necessary all common parts of
        the Building all main walls party walls and the foundations roof
        exterior and structure of the Building and all pipes wires ducts drains
        sewers conduits and any other easements services or things (if any) the
        use of which is common to the Building and the nearby premises which are
        used in common by the occupiers of the Building

  (ii)  Erecting maintaining repairing renewing and replacing signboards notices
        or other attachments upon the exterior or in the common parts or the
        Building

  (iii) Any costs which may be made by the Local Authority on the Building as a
        whole (e.g. special collection of refuse)

   (iv) Rates and any other similar charges (if any) charged on the common parts
        of the Building

   (vi) Water sewerage and environmental charges levied upon the Building
        including any further charges that the relevant authorities may from
        time to time impose but not where such supply or charges just relate to
        a lettable part or parts of the Building

  (vi)  Refuse collection if charged to or undertaken by the Landlord

  (vii) Employing (if the Landlord shall consider necessary) supervisory staff
        security staff porters etc. employed for the use of the Building
        including remuneration statutory contributions and any reasonably
        associated costs and overheads

                                      38
<PAGE>

  (viii) the provision of heating (including ??? for the Landlord's central
         heating system) air conditioning and hot water to the Building

  (ix)   Inspecting maintaining repairing operating and running all lifts
         boilers gas oil electrical central heating and air conditioning
         installations plant machinery apparatus oil water or other tanks water
         treatment and/or water softening equipment the barrier system
         regulating access to the Car Park equipment for the control or
         monitoring of lighting in the common parts and any other equipment
         (hereinafter referred to as "the machinery") used in providing services
         or in common use in the Building

  (x)    An amount (to be revised annually by the Landlord at its discretion)
         towards the estimated cost of replacing and renewing the machinery at
         the appropriate times Together with any balancing amount needed if in
         the year the expenditure is made the accumulated amounts are less than
         the actual expenditure

  (xi)   Periodical repaintings and cleansings of the exterior of the Building
         exterior or the windows and window frames (where necessary for the
         purposes of the Landlord's repairing obligations under this Lease)

  (xii)  Maintenance contracts for the machinery such contracts being at a
         proper cost

  (xiii) The provision repair maintenance renewal or replacement of all
         appropriate security arrangements systems and equipment in respect of
         the whole of the Building

  (xiv)  Provision repair maintenance renewal or replacement and service
         agreements for fire protection fire fighting fire warning and fire
         escape arrangements and equipment in respect of the Building including
         the cost of compliance with or appeal against any relevant legislation
         regulation condition or requirement

                                      39
<PAGE>

  (xvi)   Painting repainting cleaning and redecorating and landscaping the
          common parts

  (xvii)  The control of rodents birds pests insects or animals frequenting
          or resorting to the Building

  (xviii) The execution of all works and the provision and maintenance of all
          installations equipment plant machinery and arrangements which by or
          under any Act of Parliament now or hereafter passed or by any
          Government Department Local Authority or Public Authority or duly
          authorised officer or Court of competent jurisdiction acting under or
          in pursuance of any enactment are or may be directed to be executed
          provided or maintained at the Building

  (xix)   Supply of toilet paper soap towels hygiene service mats hand drying
          and other hygiene equipment and other requisites to the common toilets
          tools consumables refuse collection or processing equipment and other
          appliances or apparatus uniforms and overalls for housekeepers
          caretakers supervisory staff lift attendants boilermen and other staff

  (xx)    All sums incurred by or chargeable to the Landlord in connection with
          repairing maintaining reconstructing cleansing ventilating lighting
          draining insuring and managing (including rates and other charges
          imposed by statute) the service roads car park ramps and circulation
          areas of the Adjoining Building together with all sums incurred in
          enforcing the obligations owed to the Landlord by the freeholder and
          headlessees of the Adjoining Building in connection with the repair
          maintenance and other matters relating to parts of the Adjoining
          Building

  (xxi)   Management charges meaning either (a) the fees and expenses
          charged by the Landlord's agents or (b) if the work is carried out by
          the Landlord's

                                      40
<PAGE>

          ??? staff then an allowance having regard to the extent of the work
          involved in or about the management of the Building generally
          including any audit fee in connection herewith

  (xxii)  The reasonable cost of such (if any) further services as may
          be provided at any time during the term by the Landlord acting in
          accordance with the principles of good estate management for
          maintaining and securing the facilities and amenities of the Building
          generally

                 THE FOURTH SCHEDULE  hereinbefore referred to
                 ---------------------------------------------

                                Surety covenant
                                ---------------

THE Surety at the request of the Tenant and in consideration of the demise
hereinbefore contained HEREBY COVENANTS with the Landlord as follows:-

(1)  That the Tenant shall and will at all times up to the termination date pay
     the respective rents reserved by this Lease and observe and perform all the
     Tenant's covenants and stipulations contained in this Lease and that if the
     Tenant shall make default in payment of the said rents or in performing and
     observing any of the said covenants and stipulations then and in every such
     case the Surety will pay the rents and perform and observe any such
     covenants and stipulations to the intent that the Surety shall on demand
     make good to the Landlord all losses costs damages and expenses occasioned
     to the Landlord by reason of any such default whenever and however
     occurring PROVIDED that notwithstanding any forbearance of the Landlord in
     endeavouring to obtain payment of the said rents when they become payable
     or in enforcing performance or observance of the said covenants and
     stipulations or to any compromise or arrangement made by the Landlord with
     the Tenant the Surety shall not thereby be discharged from liability under
     the foregoing covenant

                                      41
<PAGE>

(2)  that if the Tenant shall enter into liquidation (or being an individual or
     being more than one individual any one of them shall become bankrupt) and
     the Liquidator or the Trustee in bankruptcy (as the case may be) shall
     disclaim this Lease or if the same shall become liable to and the Landlord
     shall secure the forfeiture thereof and if the Landlord shall within three
     months after such disclaimer or forfeiture (as the case may be) by notice
     in writing require the Surety to accept a Lease of the demised premises for
     a term commensurate with the residue which if there had been no disclaimer
     or forfeiture (as the case may be) would have remained of the term granted
     by this Lease at the same rents and under the like covenants and
     stipulations as are by this Lease respectively reserved and contained (the
     said new Lease and the rights and liabilities thereunder to take effect as
     from the date of the said disclaimer or forfeiture as the case may be) then
     and in such case the Surety at his cost shall accept such Lease accordingly
     and execute a Counterpart thereof

(3)  Save where the Surety is an individual the Tenant (insofar as the events
     hereinafter mentioned in this sub-clause shall be within its knowledge) and
     the Surety HEREBY JOINTLY AND SEVERALLY COVENANT with the Landlord that if
     the Surety shall enter into liquidation whether compulsory or voluntary
     (whether or not for the purpose of reconstruction or amalgamation)
     forthwith to give notice in writing thereof to the Landlord

               THE FIFTH SCHEDULE hereinbefore referred to
               ------------------
     (1)  In this paragraph the following terms bear the following meanings:-

          (a) "The Index" means the Retail Price Index published by H M
               Stationery Office or any official publication substituted for it

          (b) "The Initial Cap" means the sum of (pounds)62,748 per annum

                                      42
<PAGE>

     (2)  The Service Charge Cap for the accounting period ending during the
          first year of the said term ("the first accounting period") shall be
          the Initial Cap

     (3)  The Service Charge Cap for the accounting period ("the second
          accounting period") following the first accounting period shall be the
          total of:-

          (a)  a sum equal to the Initial Cap and

          (b)  an additional sum which bears the same proportion to the Initial
               Cap as any increase in the figure for the Index last published
               prior to the beginning or the second accounting period bears to
               the figure for the Index last published prior to the date of this
               Lease

     (4)  The Service Charge Cap for each subsequent accounting period shall be
          the total of:-

          (a) the amount for the accounting period immediately preceding that
              in which this calculation fails to be made (whether such be
              pursuant to the immediately foregoing paragraph 3 or this
              paragraph 4) which amount is hereinafter called "the Base Figure"

          (b) an additional sum which bears the same proportion to the Base
              Figure as any increase in the figure for the Index last published
              prior to the beginning of the accounting period in question bears
              to the figure for the Index last published prior to the beginning
              of the previous accounting period in question

     (5)  (a) In the event of any change after the date of this Lease in the
              reference base used to compile the Index the figure taken to be
              shown in the Index after the change shall be the figure which
              would have been shown in the Index if the reference base current
              at the date of this Lease had been retained

          (b) In the event of it becoming impossible by reason of any change
              after the date of this Lease in the methods used to compile the
              Index or

                                      43
<PAGE>

           For any other reason whatsoever to calculate the relevant additional
           sum by reference to the Index or if any dispute or question
           whatsoever arises between the parties to this Lease or with respect
           to the construction or effect of this Schedule the dispute or
           question shall be determined under the Arbitration Acts 1950 and 1979
           (or any statutory modification or re-enactment of them for the time
           being in force) by a single arbitrator who shall have full power to
           determine on such date as he shall deem apposite what would have been
           the increase in the Index had it continued on the basis and given the
           information assumed to be available for the operation of this
           paragraph

                                            (  THE COMMON SEAL of RAVENSEFT
   [SEAL]                                   (  PROPERTIES LIMITED was hereunto
                                            (  affixed in the presence of:

                                               Director     /s/

                                               Secretary    /s/

                                      44

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