Document:

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                                                                    EXHIBIT 10.7

                              EMPLOYMENT AGREEMENT

     THIS EMPLOYMENT AGREEMENT (this "Agreement") is entered into in Chanhassen,
Minnesota this 1st day of January, 1999 (the "Effective Date"), by and between
DELMER JENSEN ("Jensen") and EMPAK, INC., a Minnesota corporation ("Empak").

                                    Recitals

     WHEREAS, Jensen has served in various capacities on behalf of Empak and, in
connection therewith, has made invaluable contributions to Empak's continued
success; and

     WHEREAS, Jensen is currently employed by Empak as its Chief Executive
Officer and serves as the chairman of the Board of Directors; and

     WHEREAS, Empak desires to retain the services of Jensen through December
31, 2002; and

     WHEREAS, Empak desires to assure the full time services of Jensen for a
minimum of six months from the Effective Date and to induce Jensen to extend the
period of full time service beyond six (6) months from the Effective Date; and

     WHEREAS, Jensen wishes to be assured that his family will be entitled to a
minimum period of continued compensation in the event of his death; and

     WHEREAS, it is in the best interests of Empak and Jensen to enter into a
contract of employment under the terms and conditions stated hereunder.

                                    Agreement

     NOW, THEREFORE, in consideration of the mutual promises hereinafter
contained, it is hereby agreed:

     1) Employment - Empak agrees that it shall employ Jensen to provide such
time, energy and attention as may be reasonably required under the terms of this
Agreement to perform those duties as may be assigned to him from time to time by
the Board of Directors of Empak. Jensen hereby accepts employment upon the terms
and conditions hereinafter set forth. In performance of his duties hereunder,
Jensen agrees to comply with such reasonable rules, regulations and policies,
consistent with Jensen's obligations, as Empak may from time to time adopt.

     2) Term - Empak agrees that, beginning on the Effective Date, it shall
employ Jensen for a forty-eight (48) month term ending on December 31, 2002,
unless this Agreement is terminated earlier as
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provided in Section 8 herein (the "Term"). During the first six (6) month period
of this Agreement, Jensen shall be employed on a full time basis devoting
substantially all of his time and effort to the interests of Empak. Thereafter,
subject to Jensen's election to exercise his right to extend full time
employment under Section 3 (c) beyond the first six (6) months, Jensen shall be
available on an as needed/part time basis to a maximum of seventy (70) hours per
month to render such services as may be directed, from time to time, by the
Board of Directors of Empak.

     3) Consideration -

          (a) Signing Bonus - As consideration for entering into this Agreement,
     Jensen shall receive a one-time bonus equal to Seventy-five Thousand
     Dollars ($75,000) ("Signing Bonus").

          (b) Salary - Subject to the provisions of Section 8 hereof, Empak
     agrees to pay Jensen the sum of Two Hundred Fifty Thousand Dollars
     ($250,000) per annum during the first two (2) years. Beginning on January
     1, 2001 and for the remainder of the term, Empak agrees to pay Jensen the
     sum of One Hundred Twenty-five Thousand Dollars ($125,000) per annum. The
     salary consideration specified herein is payable without regard to whether
     Jensen elects to extend his period of full time service beyond the first
     six (6) months. Jensen shall be paid in accordance with Empak's general
     payroll practices for executive employees.

          (c) Extension of Full Time Service - In consideration for exercising
     his right to extend the period of full time service beyond the first six
     (6) months after the Effective Date, Jensen shall receive extension
     bonus(es) according to the following schedule:

          (1)  First Optional Period - In consideration for extending the period
               of full time employment from July 1, 1999 to December 31, 1999,
               Jensen shall receive an extension bonus equal to Fifty Thousand
               Dollars ($50,000) ("First Extension Bonus").

          (2)  Second Optional Period - In consideration for extending the
               period of full - time employment from January 1, 2000 to June 30,
               2000, Jensen shall receive an Extension Bonus equal to Fifty
               Thousand Dollars ($50,000) ("Second Extension Bonus").

     Upon exercising his rights to extend the period of full time service under
Subsection 3(c), Jensen shall become obligated to devote substantially all of
his time and effort to the interests of Empak for the remainder of the
respective Optional Period.

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     4) Salary Continuation in the Event of Death -

     In the event of Jensen's death during the first two years of this
Agreement, Empak shall provide a death benefit to Jensen's heirs, executors or
administrators equal to the gross amount of two (2) years' compensation.

     5) Other Benefits -

          (a) Expenses - During the Term of this Agreement, Empak shall
     reimburse Jensen for all reasonable expenses incurred on behalf of Empak
     upon presentation of adequate documentation. Reimbursement shall coincide
     with payment of Jensen's compensation.

          (b) Vacation - During the Term of this Agreement, Jensen shall be
     entitled to annual vacation without reduction in salary commensurate with
     Empak's executive compensation guidelines.

          (c) Fringe Benefits - During the Term of this Agreement and subject to
     the provisions of Section 8 herein, Jensen shall be entitled to participate
     in fringe benefit programs provided by Empak for its employees. Empak shall
     be under no contractual obligation to maintain and continue any fringe
     benefit programs once established. Fringe benefits may include, but shall
     not be limited to, pension and/or profit sharing plans, health, disability
     and group life insurance programs.

          (d) Automobile - During the Term of this Agreement, Jensen shall be
     entitled to the full time use of a company car similar in kind and quality
     to the BMW 740 currently assigned and in use. Jensen's use of a company car
     shall be subject to Empak's Auto Allowance Guideline, as amended from time
     to time. In the event of Jensen's death, Disability or upon termination of
     this Agreement, the company car then in use and assigned to Jensen at the
     time of such event shall be transferred and assigned, for no consideration,
     to Jensen or his heirs or executors as they may direct.

     6) Duty Not to Disclose - Jensen shall not, during the Term of this
Agreement or after employment with Empak, disclose to any other person, firm or
corporation or in any way use for his benefit, or to the detriment of Empak, any
information or knowledge obtained during the course of his employment with
Empak, except as required in the conduct of Empak's business or as authorized in
writing by Empak. Jensen shall not, either during the Term of this Agreement or
after termination of his employment, disturb, hire, entice or in any other way
persuade or attempt to persuade any employee, dealer, supplier, customer or
subcontractor of Empak to discontinue his, her or its relationship with Empak.

     7) Property of Empak - All memoranda, notes, records, papers and other
documents and all copies thereof relating to Empak's operation of its business
and all objects related thereto shall remain the property of Empak including,
but not limited to, those developed, investigated or considered by Empak. Jensen
shall not copy or duplicate any of the aforementioned documents or objects nor
use any information

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confirmed therewith, except for Empak's benefit, either during the Term of this
Agreement or after his employment.

     8) Termination - In addition to the expiration of the Term specified in
Section 3, this Agreement shall terminate:

          (a) If Jensen resigns from Empak, such termination shall be effective
     thirty (30) days after written notice is provided to Empak; or

          (b) Effective immediately upon notice by Empak, if any of the
     following occurs:

          (i)  Jensen's theft of Company property or Jensen's dishonesty;

          (ii) Jensen's material violation of Empak's rules, regulations or
               policies;

          (iii) Jensen's commission of a crime or other act which would
               materially damage the reputation of Empak; or

          (iv) Jensen's material violation of this Agreement.

     Upon termination of Jensen's employment under this Section 8: (i) Jensen
shall be entitled to receive all compensation earned under this Agreement to the
date of termination, and thereafter Jensen shall have no right to receive any
compensation hereunder; and (ii) Jensen shall surrender to Empak the automobile
referenced in Section 5.

     9) Jensen's Obligations Upon Termination - Upon termination of this
Agreement for cause or otherwise, Jensen shall immediately:

          (a) Discontinue the servicing of any of Empak's customers, and the use
     of any property, facilities and services provided by Empak;

          (b) Discontinue the use of any and all customer lists or contacts,
     unless a written agreement thereon provides otherwise;

          (c) Return to Empak equipment, lists and other documents, and property
     of Empak; and

          (d) Discontinue further representation of himself as an agent,
     employee or other personin connection with Empak.

                                      -4-
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     10) Assignment - This Agreement shall be personal to Jensen and shall not
be assignable by him. Empak may transfer or assign this Agreement or any of it
rights or obligations hereunder with or without notice to Jensen.

     11) Law Governing - This Agreement shall be construed and governed in
accordance with the substantive laws (but not the laws of conflict) of the State
of Minnesota.

     12) Arbitration - Any controversy or claim arising out of or relating to
this Agreement, or the breach thereof, shall be settled by binding arbitration,
to be conducted in Minneapolis, Minnesota before a single arbitrator,
administered by the American Arbitration Association under its Commercial
Arbitration Rules, and judgment on the award rendered by the arbitrator may be
entered in any court having jurisdiction thereof.

     13) Entire Agreement - This Agreement contains the entire agreement between
the parties related to the subject matter hereof and no amendments hereto shall
be valid unless made in writing and signed by the parties hereto. There is
merged herewith all prior and collateral representations, promises and
conditions concerning Jensen and Empak. This Agreement supersedes and nullifies
any preexisting agreements or arrangements between the parties relating to the
subject matter of this Agreement.

     14) Severable - In the event any portion of this Agreement shall be held to
be invalid, the same shall not affect in any respect whatsoever the validity of
the remainder of this Agreement.

     15) Captions - Article, paragraph or section titles or other headings
contained in this Agreement are for convenience only and shall not be deemed a
part of the context of this Agreement.

     16) Binding Effect - This Agreement shall be binding upon and inure to the
benefit of all of the parties hereto, their heirs, executors, administrators,
permitted assigns and successors in interest.

     17) Notices - Any notice required or permitted to be given under this
Agreement shall be sufficient if in writing and sent by registered or certified
mail to Jensen's residence or to the principal office of Empak, whichever shall
be applicable.

     IN WITNESS WHEREOF, the parties have executed this Agreement as of the day
and year first above written.

Empak, Inc.

By:                                    /s/ Delmer Jensen
    ------------------------------     -----------------------------------
    Its: Director                      Delmer Jensen

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                                                                    EXHIBIT 10.8

                                 LEASE AGREEMENT
                                 ---------------

     THIS LEASE is made this 15th day of June, 1993, by and between FLENINGE
PARTNERSHIP, a Minnesota general partnership (hereinafter "Landlord"), and
EMPAK, INC., a Minnesota corporation (hereinafter "Tenant").

     Landlord and Tenant, intending to be legally bound, hereby covenant and
agree as follows:

                                   ARTICLE 1.
                                 LEASED PREMISES
                                 ---------------

     Landlord does hereby lease, demise and let unto Tenant, and Tenant does
hereby hire and take from Landlord, upon the terms and conditions set forth
herein (the Lease) that certain parcel of real property situated in the City of
Chanhassen, County of Carver, State of Minnesota, legally described as follows:

     Lot 008, Block 005 and Lot 009, Block 005, Chanhassen Lakes Business Park

(the Land), subject to all easements and rights-of-way of record, together with
all structures thereon and all appurtenances thereto (the Improvements), all of
which Land and Improvements are hereinafter referred to as the "Leased
Premises."

                                   ARTICLE 2.
                                      TERM
                                      ----

     The term of this lease shall commence the 1st day of September, 1993, and
shall terminate the 31st day of August, 2001, unless sooner terminated as
provided herein.

                                   ARTICLE 3.
                                      RENT
                                      ----

     Tenant shall pay to Landlord as the annual "Base Rent" the sum of Three and
80/100 Dollars ($3.80) per square foot based on the total usable square footage
of the Leased Premises which is determined to be Sixty Thousand (60,000) square
feet, for a total annual rental rate of Two Hundred Twenty-Eight Thousand and
No/100 Dollars ($228,000.00) per year and Nineteen Thousand and No/100 Dollars
($19,000.00) per month. Effective January 1, 1994, and the first day of every
third (3rd) January thereafter during the term of this lease, the Base Rent
shall be increased by an amount equal to eighty percent (80%) the increase in
the Consumer Price Index -United States City Average, All Urban Consumers, as
published by the Bureau of Labor Statistics, based upon the 1982/1984 base index
for (i) the preceding 12-month period with respect to the increase on January 1,
1994; and (ii) the preceding 36-month period for all subsequent rent increases.
The Base Rent shall be payable in equal monthly installments and shall be
payable in advance on or before the first (1st) day of each and every month.
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                                   ARTICLE 4.
                                    NET LEASE
                                    ---------

          4.1) It is the intention and purpose of the parties hereto that the
     Lease shall be a "Net Lease" to Landlord. All costs and expenses of
     whatever character or kind, general and special, ordinary and
     extraordinary, foreseeable or unforeseeable, and of every kind and nature
     whatsoever that may be necessary in or about the operation of the Leased
     Premises, including all hazard and liability insurance, taxes, special
     assessments, utilities, maintenance and repairs, except as otherwise
     expressly provided herein, shall be paid by Tenant as "Additional Rent"
     hereunder.

          4.2) Except as otherwise expressly provided herein, Tenant covenants
     and agrees that if at any time it fails to pay any amount required by the
     Lease, or to obtain, pay for, maintain or deliver any of the insurance
     policies herein provided for, or fails to make any other payment or perform
     any other act required to be made or performed by the Lease, then Landlord,
     without notice to or demand upon Tenant, without waiving or releasing
     Tenant from any obligation of Tenant contained in the Lease, and without
     any obligation to do so, may effect any such insurance coverage and pay
     premiums therefor and may make any other payment or perform any other act
     on the part of Tenant to be made and performed as provided in the Lease and
     in exercising such right to pay necessary and incidental costs and
     expenses. All sums so paid by Landlord and all necessary and incidental
     costs and expenses in connection with performance of any such act by
     Landlord, together with interest thereon at a rate of eighteen percent
     (18%) per annum from the date of making of such expenditure by Landlord,
     shall be payable to Landlord as Additional Rent, and except as otherwise
     provided for in the Lease, shall be payable on demand or at the option of
     Landlord may be added to any monthly rental then due or thereafter becoming
     due under the Lease. Tenant covenants to pay any such sum or sums with
     interest as aforesaid and Landlord shall have (in addition to any right or
     remedy of Landlord) the same rights and remedies in the event of nonpayment
     by Tenant as in the case of default by Tenant in payment of rent.

                                   ARTICLE 5.
                              TAXES AND ASSESSMENTS
                              ---------------------

          5.1) Tenant, in addition to the Base Rent and Additional Rent provided
     for herein, shall pay to the public authorities charged with collection
     thereof, promptly as the same may be due and payable, all real property
     taxes, installments of special assessments and improvements (Impositions)
     which are due and payable during tho term of this lease. Impositions
     payable in the first and last calendar year of the lease term shall be
     equitably prorated based upon the portion of the year included in the lease
     term. If Tenant shall default in the payment of any Imposition required to
     be herein, Landlord shall have the right to pay the same, together with any
     penalties and/or interest, in which event the amount so paid by Landlord
     shall be paid by Tenant to Landlord on demand, together with interest
     thereon at a rate of

                                      -2-
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     Eighteen Percent (18%) per annum from the date making such expenditure by
     Landlord. Tenant shall pay all personal property and similar taxes on its
     property in the Leased Premises.

          5.2) Tenant shall have the right to contest or appeal any imposition
     in Tenant's or Landlord's name, at Tenant's sole cost and expense. If
     nonpayment of the Imposition creates a lien upon the Leased Premises,
     Landlord may, at its option, request Tenant to deposit with it an amount
     equal to one hundred ten percent (110%) of the contested and unpaid
     Imposition. Such amount shall be returned to Tenant upon the successful
     appeal of the Imposition or upon payment of it. Tenant shall give Landlord
     written notice of Tenant's intention to contest or appeal any Imposition at
     least twenty (20) days prior to the delinquency thereof. Tenant shall hold
     Landlord harmless against all loss, cost, expense, attorneys' fees or
     damages resulting from such contest or appeal.

          5.3) Tenant shall pay directly to the appropriate governmental
     authorities, as Additional Rent hereunder, before any fine, penalty,
     interest or costs may be added thereto for the nonpayment thereof, any tax
     or excise imposed or assessed on rent, on any leasehold interest, any right
     of occupancy, any investment of Tenant in the Leased Premises, any personal
     property of any kind owned, installed or used by Tenant, including Tenant's
     leasehold improvements, any privilege tax, sales tax, gross proceeds tax,
     etc., however described, by any federal, state, county or municipal
     governmental authority or any subdivision thereof or other governmental
     authority.

                                   ARTICLE 6.
                                    UTILITIES
                                    ---------

     Tenant shall directly pay or cause to be paid, as Additional Rent
hereunder, all charges for sewer and water services, gas, electricity, light,
heat, air conditioning, power, telephone or other services or utility used,
rendered or supplied upon or in connection with the Leased Premises (the
Utilities) during the Term hereof. Tenant shall contract for the Utilities in
Tenant's own name and shall hold Landlord harmless from any liability or expense
for any such charge. Upon Landlord's request, Tenant shall furnish to Landlord
paid statements, invoices or cancelled checks evidencing the payment of all
obligations undertaken by Tenant hereunder.

                                   ARTICLE 7.
                      REPAIRS, MAINTENANCE AND ALTERATIONS
                      ------------------------------------

          7.1) Tenant shall, during the Term of the Lease and at Tenant's
     expense, keep the leased Premises and appurtenances and every part thereof
     in good order, condition and repair, including, without limitation, all
     Improvements (including foundations, walls and roof) the sidewalks,
     entrances, passages, courts, vestibules, stairways, corridors, halls,
     elevators, air conditioning equipment, heating equipment, water system,
     toilet facilities and all other machinery and equipment in the
     Improvements. Tenant shall make all repairs to the exterior of the
     Improvements and shall keep and maintain all landscaped areas in a neat,
     orderly and trim condition at its expense. If Tenant does not keep and

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     maintain the Leased premises as herein provided, Landlord may, but shall
     not be obligated to, make such repairs and replacements, and Tenant shall
     pay Landlord, as Additional Rent, the cost thereof forthwith upon being
     billed for the same. All damage or injury to the Leased premises and to its
     fixtures, appurtenances, and equipment caused by Tenant moving property in
     or out of the Leased Premises or by installation, removal of furniture,
     fixtures, equipment or other property by Tenant, its agents, contractors,
     servants or employees, or resulting from any other cause of any other kind
     or nature whatsoever due to carelessness, omission, neglect, improper
     conduct or other causes of Tenant, its servants, employees, agents,
     visitors or licensees, shall be repaired, restored or replaced promptly by
     Tenant at its sole cost and expense to the satisfaction of Landlord. If
     Tenant fails to make such repairs, restorations or replacements, the same
     may be made by Landlord and the same shall be at the expense of Tenant and
     collectible as Additional Rent or otherwise, and shall be paid by Tenant to
     Landlord within five (5) days after rendition of a bill or statement
     therefor.

          7.2) Except as otherwise provided herein, no improvements, alterations
     or replacements shall be made to the Leased Premises or any portion thereof
     without the prior written consent of Landlord.

          7.3) Tenant shall not suffer or permit any statements of mechanic's
     liens to be filed against the Leased Premises or any part thereof by reason
     of work, labor, services or materials supplied or claimed to have been
     supplied to Tenant or anyone holding the Leased Premises or any part
     thereof through or under Tenant. If any such statement of mechanic's lien
     shall at any time be filed against the Leased Premises, Tenant shall cause
     the same to be discharged of record within sixty (60) days after the date
     of actual notice to Tenant of filing the same. If Tenant shall fail to
     discharge such mechanic's lien within such period or fail to deposit an
     amount equal to one hundred ten percent (110%) of the amount claimed with
     the court within such period, then in addition to any other right or remedy
     of Landlord, Landlord may, but shall not be obligated to, discharge the
     same either by paying the amount claimed to be due or by procuring the
     discharge of such lien by deposit in court or by giving security or in such
     other manner as is, or may be, prescribed by law. Any amount paid by
     Landlord for any of the aforesaid purposes, and all reasonable other
     expenses of Landlord, including reasonable attorneys' fees, in or about
     procuring the discharge of such lien, with all necessary disbursements in
     connection therewith, with interest thereon at the rate of eight percent
     (8%) per annum from the date of payment, shall be repaid by Tenant to
     Landlord on demand, and if unpaid may be treated as Additional Rent.
     Nothing herein contained shall imply any consent or agreement on the part
     of Landlord to subject Landlord's estate to liability under any mechanic's
     lien law.

                                   ARTICLE 8.
                                    INSURANCE
                                    ---------

          8.1) Tenant shall, as Additional Rent hereunder and at Tenant's sole
     cost and expense, keep the Leased Promises, including all buildings,
     improvements, furniture and equipment on, in or appurtenant thereto at the
     commencement of the Term and thereafter erected thereon or therein,

                                      -4-
<PAGE>

     including all alterations, rebuildings, replacements, changes, additions
     and improvements, fully insured for the mutual benefit of Landlord and
     Tenant, as their interests may appear, as named insureds (a) against lost
     or damage by fire and (b) against those perils included from time to time
     in the standard form of extended coverage insurance endorsement, including
     but without limiting the generality at the foregoing, wind storm, hail,
     explosion, vandalism, riot and civil commotion, damage from vehicles, and
     smoke damage.

          8.2) All policies of insurance relating to fire and extended coverage
     shall provide that the proceeds thereof shall be payable to Landlord, and
     if Landlord requires, shall also be payable to the holder of any mortgage
     now or hereafter becoming a lien on the fee of the Leased Premises, or any
     part thereof, as the interest of such holder appears, pursuant to a
     standard mortgagee clause. All such policies of insurance shall provide
     that any loss shall be payable to Landlord notwithstanding any act or
     omission of Tenant which might otherwise result in a forfeiture or
     reduction of said insurance.

          8.3) Tenant shall also, as Additional Rent hereunder and at Tenant's
     sole cost and expense, but for the mutual benefit of Landlord and Tenant,
     as named insureds, maintain during the Term of the Lease (a) general public
     liability insurance against claims for personal injury, death or property
     damage occurring upon, in or about the Leased Premises, and on, in or about
     the adjoining lands, streets and passageways, such insurance to afford
     protection to the limit of not less than One Million and no/100 Dollars
     ($1,000,000.00) in respect to injury or death to a single person, and to
     the limit of not less than Two Million and no/100 Dollars ($2,000,000.00)
     in respect to any one (1) accident and to the limit of not less than Five
     Hundred Thousand and no/100 Dollars ($500,000.00) in respect to any
     property damage; (b) steam boiler insurance on all steam boilers, pressure
     boilers or other such apparatus as Landlord may deem necessary to be
     covered by such insurance and in such amount or amounts as Landlord may
     from time to time reasonably require.

          8.4) All policies of insurance shall be written by companies
     satisfactory to Landlord, and shall be written in such form and shall be
     distributed in such companies as shall be reasonably acceptable to
     landlord. Such policies shall be delivered to Landlord endorsed `premium
     paid' by the company or agency issuing the same or accompanied by other
     evidence satisfactory to Landlord that the premiums thereon have been paid,
     not less than ten (10) days prior to the expiration of any then current
     policy.

          8.5) Landlord agrees that such policy or policies may contain a waiver
     of subrogation clause as to Tenant. Provided the aforesaid fire and
     extended coverage insurance is in full force and effect and remains so,
     Landlord waives, releases and discharges Tenant from all claims or demands
     whatsoever which Landlord may have or acquire in the future arising out of
     damage to or destruction of the Leased Premises by fire or extended
     coverage risk, whether such claim or demand may arise because of the
     negligence of Tenant, its agents or employees or otherwise, and Landlord
     agrees to look only to the insurance coverage in the event of such loss.

                                      -5-
<PAGE>

          8.6) Tenant shall insure the contents of the Improvements owned by
     Tenant, for the benefit of Tenant, against loss or damage by fire,
     windstorm, or other casualty for such amount as Tenant may desire, and
     Tenant agrees that such policies shall contain a waiver of subrogation
     clause as to Landlord. Tenant waives, releases and discharges Landlord from
     all claims or demands whatsoever which Tenant may have or acquire by fire
     or extended coverage risk, whether such claim or demand may arise because
     of the negligence of Landlord, its agents or employees or otherwise, and
     Tenant agrees to look to insurance coverage only in the event of such loss.

                                   ARTICLE 9.
                                 QUIET ENJOYMENT
                                 ---------------

     Landlord represents and warrants that it is the lawful owner of the Leased
Premises; that it has the full right and power to make the Lease; that if and so
long as Tenant shall not be in default hereunder, Tenant shall quietly hold,
occupy and enjoy the Leased Premises during all of the Term of the Lease.

                                   ARTICLE 10.
                               DESTRUCTION BY FIRE
                               -------------------

          10.1) Subject to the provisions of Article 10.4, if the Improvements,
     or any portion thereof, are damaged or destroyed by fire or other casualty,
     however or by whomever caused, Landlord shall repair, rebuild and restore
     the same with due diligence and dispatch (subject to the approval of the
     holders of any mortgages on the Property) so that the Improvements will be
     restored to at least the same good order and condition as existed prior to
     damage or destruction. If more than twenty-five percent (25%) of the Leased
     Premises is damaged or destroyed by fire or other casualty, Landlord shall
     have the option, in its sole discretion, to decline to rebuild the Leased
     Premises. If Landlord so declines, this Lease shall terminate as of the
     date of such damage or destruction. If such damage renders only part of the
     Leased Premises unfit for Tenant's normal business purposes, Base Rent and
     any additional rent shall remain unabated.

          10.2) Tenant will repair and replace all improvements and betterments
     placed upon the Leased Premises by it, and such repair and replacement
     shall be made at its own expense and not at the expense of Landlord.

          10.3) If Landlord and Tenant cannot mutually agree on whether the
     Leased Premises is fit for Tenant's normal business purposes, such question
     shall be submitted to arbitration as provided in Article 12 hereof.

          10.4) If the Leased Premises, or any part thereof, is damaged or
     destroyed by the willful or negligent conduct of Tenant or its agents,
     employees or independent contractors, Tenant shall promptly repair such
     damage or replace such improvement so destroyed; provided that if such
     damage or

                                      -6-
<PAGE>

     destruction is caused by negligence and is or would be covered by the
     insurance required to be procured and maintained by the terms of Article 8
     then, to the extent that the cost of repairing or replacing such damage or
     destruction does not exceed the amounts of such insurance, Tenant shall be
     relieved from such obligation to repair or replace. Base Rent and
     Additional Rent shall not be abated as a result of willful conduct of
     Tenant or its agents, employees or independent contractors which result in
     or cause such damage or destruction.

                                   ARTICLE 11.
                                  CONDEMNATION
                                  ------------

          11.1) If during the Term of the Lease the entire Leased Premises shall
     be taken as a result of the power of eminent domain, condemnation
     proceedings or other like proceedings (the Proceedings), the Lease and all
     right, title and interest of Tenant hereunder shall cease and come to an
     end on the date of taking of possession pursuant to the Proceedings.
     Landlord shall be entitled to and shall receive the total award made in the
     Proceedings. Tenant hereby assigns any interest in any such award to
     Landlord.

          11.2) If during the Term less than the entire Leased Premises, but
     twenty-five percent (25%) or more of the Improvements (calculated by the
     number of square feet of floor space) or fifty percent (50%) or more of the
     Land shall be taken by the Proceedings, the Lease shall, upon taking of
     possession pursuant the Proceedings, terminate as to the portion of the
     Land and Improvements so taken, and Tenant may terminate the Lease as to
     the remainder of the Leased Premises. Such termination as to the remainder
     of the Leased Premises shall be effected by a notice to Landlord in writing
     given not more than sixty (60) days after the date of taking of possession
     pursuant to such Proceedings, and shall specify a date not more than sixty
     (60) days after the giving of such notice as the date of such termination.
     Upon the date specified in such notice, the Term and all right, title and
     interest of Tenant hereunder shall cease and come to an end. If Tenant
     elects not to terminate the Lease, the Lease shall continue in full force
     and effect, but the Base Rent shall be reduced pro rata in accordance with
     the percentage of value of the Leased Premises so taken compared with the
     total value of the Leased Premises immediately prior to said taking.
     Nothing herein contained shall affect Tenant's obligation to pay in full
     the Additional Rent. Landlord shall, however, at Landlord's sole cost and
     expense, restore that portion of the Leased Premises not so taken to a
     complete architectural unit for the use and occupancy of Tenant. The Lease
     shall continue in full force and effect, but the Base Rent shall be reduced
     pro rata as aforesaid.

                                   ARTICLE 12.
                            ASSIGNMENT AND SUBLETTING
                            -------------------------

          12.1) Tenant shall have the full right to assign, transfer or sublease
     its rights under this Lease Agreement, with the prior written consent of
     Landlord, which consent shall not be unreasonably

                                      -7-
<PAGE>

     withheld. No such assignment, transfer or subleasing shall relieve Tenant
     from any of its obligations contained in this Lease Agreement.

                                   ARTICLE 13.
                               DEFAULTS OF TENANT
                               ------------------

          13.1) If during the Term of the Lease (a) Tenant shall make an
     assignment for the benefit of creditors, or (b) a voluntary petition be
     filed by Tenant under the Bankruptcy Act of the United States or any state
     statute similar thereto, or Tenant be adjudged insolvent or a bankrupt
     pursuant to an involuntary petition, or (c) a receiver or trustee be
     appointed for the property of Tenant by reason of insolvency of Tenant, or
     (d) any department of the state or federal government, or any officer
     thereof duly authorized, shall take possession of the business or property
     of Tenant by reason of the insolvency of the Tenant, or (e) if, under
     Chapter XI of the Bankruptcy Act, Tenant continues in possession without
     the appointment of a receiver or trustee, or (f) Tenant is the subject of
     any petition or proceeding related to relief from creditors, the Lease
     shall, upon the happening of any of said contingencies and at Landlord's
     option, be terminated and the same shall expire as fully and completely as
     if the day of the happening of such contingency were the date herein
     specifically fixed for the expiration of the Term, and Tenant will then
     quit and surrender the Leased Premises, but Tenant shall remain liable as
     hereinafter provided.

          13.2) If during the Term of the Lease Tenant shall default in
     fulfilling any of the covenants of the Lease (other than the covenants for
     the payment of Base Rent or Additional Rent), Landlord may give Tenant
     notice of any default or of the happening of any contingency referred to in
     this paragraph, and if at the expiration of thirty (30) days after the
     service of such notice the default or contingency upon which said notice
     was based shall continue to exist, or in the case of a default or
     contingency which cannot with due diligence be cured within a period of
     thirty (30) days, if Tenant fails to proceed promptly after the service of
     such notice and with all due diligence to cure the same and thereafter to
     prosecute the curing of such default with all due diligence, Landlord, at
     its option, may terminate the Lease, and upon such termination, Tenant will
     quit and surrender the Leased Premises to Landlord, but Tenant shall remain
     liable as hereinafter provided.

          13.3) If Tenant shall default in the payment of the Base Rent
     expressly reserved hereunder, or any part of the same, and such default
     shall continue for fifteen (15) days after notice thereof by Landlord, or
     such default in the payment of any item of Additional Rent to be paid by
     Tenant hereunder, or any part of the same, and such default shall continue
     for thirty (30) days after notice thereof by Landlord, or if the Lease
     shall expire as provided in Paragraphs 13.1 or 13.2 of this Article,
     Landlord or Landlord's agents and servants may immediately or at any time
     thereafter re-enter the Leased Premises and remove all persons and any or
     all property therefrom, either by summary dispossession proceedings or by
     any suitable action or proceedings at law or by force or otherwise and
     repossess and enjoy said Leased Premises, together with all additions,
     alterations and improvements, without re-entry and repossession working
     forfeiture or waiver of the rents to be paid and the

                                      -8-
<PAGE>

     covenants to be performed by Tenant during the Term hereof. Upon the
     expiration of the Term of the Lease by reason of any of the events
     described in Paragraphs 13.1 or 13.2, or in the event of termination of the
     Lease by summary dispossession proceedings or under any provision of law
     now or hereafter in force by reason of or based upon or arising out of a
     default under or a breach of the Lease on the part of Tenant (except where
     such breach or default is determined by a court of competent jurisdiction
     to be justified because of Landlord's acts or omissions), or upon Landlord
     recovering possession of the Leased Premises in the manner or in any of the
     circumstances whatsoever, whether with or without legal proceedings, by
     reason of or based upon or arising out of a default under or a breach of
     the Lease on the part of Tenant, Landlord may, at its option, at any time
     and from time to time, relet the Leased Premises, or any part thereof, for
     the account of Tenant or otherwise, and receive and collect the rents
     therefor, applying the same first to the payment of such expenses as
     Landlord may have incurred in recovering possession of the Leased Premises,
     including legal expenses and attorneys' fees, and for putting the same into
     good order or condition or preparing or altering the same for re-rental and
     all other expenses, commissions and charges paid, assumed, or incurred by
     Landlord in reletting the Leased Premises and then to the fulfillment of
     the covenants of Tenant hereunder. Any such reletting herein provided for
     may be for the remainder of the Term of the Lease as originally granted or
     for a longer or shorter period. In any such case or whether or not the
     Leased Premises, or any part thereof, is relet, Tenant shall pay to
     Landlord the Base Rent and the Additional Rent required to be paid by
     Tenant up to the time of such termination of the Lease, as the case may be,
     and thereafter, except in a case where liability of Tenant as hereinafter
     provided arises by reason of any of the contingencies referred in Paragraph
     13.l hereof, Tenant covenants and agrees, if required by Landlord, to pay
     to Landlord until the end of the Term of the Lease the equivalent of the
     amount of all the Base Rent and Additional Rent reserved herein less the
     net proceeds of reletting, if any. Landlord shall have the election, in
     place and stead of holding Tenant so liable, forthwith to recover against
     Tenant, as damages for loss of the bargain and not as penalty, an aggregate
     sum which at the time of such termination of the Lease for such recovery of
     possession of the Leased Premises by Landlord, as the case may be,
     represents the then present worth of the excess, if any, of the aggregate
     of the Base Rent and Additional Rent payable by Tenant hereunder that would
     have accrued for the balance of the Term, over the aggregate rental value
     of the Leased Premises for the balance of such Term.

          13.4) The specified remedies to which Landlord may resort under the
     terms of the Lease are cumulative and are not intended to be exclusive of
     any other remedies or means of redress to which Landlord may be lawfully
     entitled in case of any breach or threatened breach by Tenant of any
     provision of the Lease. The failure of Landlord to insist in any one or
     more cases upon the strict performance of any of the covenants of the Lease
     or to exercise any option herein contained shall not be construed as a
     waiver or a relinquishment for the future of such covenant or option. A
     receipt by Landlord of Base Rent or Additional Rent, including payment of
     Base Rent or Additional Rent by Tenant's receiver, trustee in bankruptcy,
     creditor or assignee, with knowledge of breach of any covenant hereof
     (other than the payment of Base Rent or Additional Rent) shall not be
     deemed a waiver of such breach, and no waiver by Landlord of any provision
     of this Lease shall be deemed to have been made unless expressed in writing
     and signed by Landlord. In addition to other remedies

                                      -9-
<PAGE>

     provided in this Lease, Landlord shall be entitled to the restraint by
     injunction for the violation or attempted or threatened violation of the
     covenants, conditions or provisions of the Lease.

                                  ARTICLE 14.
                                 ATTORNEYS FEES
                                 --------------

     If it is necessary for Landlord to retain the services of an attorney at
law to enforce any of the terms, covenants or provisions hereof, or to collect
any sums due hereunder, Tenant shall pay to Landlord upon demand, as Additional
Rent hereunder, the cost of such services.

                                   ARTICLE 15.
                      REMOVAL OF IMPROVEMENTS AND FIXTURES
                      ------------------------------------

     Any improvements or fixtures installed by Tenant in the Improvements or on
the Land, whether used solely in Tenant's business or whether usable in the
Improvements without regard to such business or otherwise, shall become the
property of Landlord upon the termination of the Lease.

                                   ARTICLE 16.
                   CONDITION OF LEASED PREMISES AT TERMINATION
                   -------------------------------------------

     At the termination of the Lease by lapse of time or otherwise, Tenant shall
return the Leased Premises in as good a condition as when Tenant took
possession, excepting only ordinary wear and tear and condemnation, damage or
destruction as described in Articles 10 and 11 herein.

                                   ARTICLE 17.
                                  HOLDING OVER
                                  ------------

     In the absence of any written agreement to the contrary, if Tenant should
continue to occupy the Leased Premises following the expiration of the Term of
the Lease, Tenant shall so remain as a hold-over tenant from month to month and
all provisions of the Lease applicable to such tenancy shall remain in full
force and effect. During such tenancy, the same Base Rent and the same terms and
conditions as prevailed during the last month of the Term demised shall prevail.
In any such event, Tenant shall be liable to Landlord for damages which Landlord
may incur as a result of such holding over, including but not limited to damages
incurred because of loss of a prospective successor tenant. If Tenant is a
hold-over tenant and if Tenant continues to occupy the Leased Premises following
the termination of such hold-over (by a proper notice as to such month-to-month
tenancy), then the foregoing provisions of this Article shall apply in the same
manner as when Tenant continued in occupancy following the expiration of the
Term of the Lease.

                                      -10-
<PAGE>

                                   ARTICLE 18.
                             USE OF LEASED PREMISES
                             ----------------------

     The Leased Premises shall be used only for manufacturing and warehousing.
Tenant shall not use or occupy the Leased Premises or knowingly permit the
Leased Premises to be used or occupied contrary to any statute, rule, order,
ordinance, requirement or regulation applicable thereto or in any manner which
would violate any certificate of occupancy affecting the same, or which would
cause structural injury to the Leased Premises or cause the value or usefulness
of the Leased Premises or any part thereof to substantially diminish (reasonable
wear and tear excepted) or which would constitute a public or private nuisance
or waste. Tenant shall not use the Premises in such a manner that would cause
any hazardous substance (as that term is defined by federal or state statutes),
asbestos or petroleum product to contaminate the Leased Premises. Tenant shall
be solely responsible for the clean-up of the Premises should the Premises
become contaminated as a result of Tenant's action. Tenant shall promptly upon
discovery of any such use, take all necessary steps to compel the discontinuance
of such use.

                                   ARTICLE 19.
                                     PERMITS
                                     -------

     Tenant shall maintain in force and effect all permits, licenses and similar
authorizations to use the Leased Premises for the aforesaid purposes required by
any governmental authority having jurisdiction over the use thereof. Tenant's
failure to maintain such permits, licenses and similar authorizations shall not
relieve Tenant from the performance of its obligations and covenants hereunder
(except obligations and covenants as may be prohibited by law), nor from the
obligations to pay Base Rent or Additional Rent, as set forth herein. Tenant
shall, at Landlord's request, join with Landlord in executing, acknowledging and
delivering any and all petitions, consents, subordinations, plats, or easement
deeds that may be required for the installation of any utilities, public
improvements, roads, water lines, sewer lines, storm drainage facilities,
subdivision, rezoning, special use, platting or other similar development of the
Leased Premises, which do not affect Tenant's use of the Leased Premises during
the Term of the Lease.

                                   ARTICLE 20.
                               COMPLIANCE WITH LAW
                               -------------------

     Tenant, at its sole expense, shall promptly comply with all laws,
ordinances and requirements of federal, state, county and municipal authorities
relating to Tenant's use and occupation of the Leased Premises, and with any
lawful order or direction of any public officer relating to Tenant's use and
occupation of the Leased Premises during the Term of the Lease. Nothing herein
contained, however, shall prohibit Tenant from appealing from or contesting the
validity or legality of such laws, ordinances, requirements, orders or
directions and, notwithstanding the foregoing provisions of this Article, Tenant

                                      -11-
<PAGE>

shall not be deemed, to be in default hereunder so long as Tenant diligently
prosecutes such appeal or contest.

                                   ARTICLE 21.
                          LANDLORD'S ACCESS TO PREMISES
                          -----------------------------

          21.1) Tenant shall permit Landlord and the authorized representatives
     of Landlord to enter the Leased Premises at all times during usual business
     hours for the purpose of inspecting the same and making any necessary
     repairs to comply with any laws, ordinances, rules, regulations or
     requirements of any public authority or of the Board of Fire Underwriters
     or any similar board. Nothing herein shall imply any duty upon the part of
     Landlord to do any such work which, under any provision of the Lease,
     Tenant may be required to perform, and the performance thereof by Landlord
     shall not constitute a waiver of Tenant's default in failing to perform the
     same. Landlord may, during the progress of any work in the Leased Premises,
     reasonably keep and store upon the Leased Premises all necessary materials,
     tools and equipment. Landlord shall not in any event be liable (except in
     the case of gross negligence or willful misconduct of Landlord or its
     agents) for inconvenience, annoyance, disturbance, loss of business or
     other damage to Tenant by reason of making repairs or the performance of
     any work in the Leased Premises, or on account of bringing materials,
     supplies and equipment onto or through the Leased Premises during the
     course thereof, and the obligations of Tenant under the Lease shall not
     hereby be affected in any manner whatsoever. Landlord shall, however, in
     connection with the doing of any such work cause as little inconvenience,
     annoyance, disturbance, loss of business or other damage to Tenant as may
     reasonably be possible in the circumstances.

          21.2) Landlord is hereby given the right during usual business hours
     to enter the Leased Premises and to exhibit the same for the purpose of
     sale and lease during the final six (6) months of the Term hereof. Landlord
     shall be entitled to display on the Leased Premises in such manner as not
     to unreasonably interfere with Tenant's business the usual `For Sale' or
     `To Let' signs, and Tenant agrees that such signs may remain unmolested
     upon the Leased Premises and Landlord may exhibit said Leased Premises to
     prospective Tenants during such period.

                                   ARTICLE 22.
                                    INDEMNITY
                                    ---------

     Tenant shall indemnify and save harmless Landlord against and from any and
all claims by or on behalf of any person or persons, firm or firms, corporation
or corporations, arising from the conduct or management of or from any work or
thing whatsoever done in, on or about the Leased Premises, and will further
indemnify and save Landlord harmless against and from any and all claims arising
during the Term of the Lease from any condition of the Leased Premises or any
street, curb, sidewalk adjoining the Leased Premises, or of any passageways or
spaces therein or appurTenant thereto, or arising from any breach or default on
the part of Tenant in the performance of any covenant or agreement on the part
of Tenant to be performed, pursuant to the terms of the Lease, or arising from
any act of

                                      -12-
<PAGE>

negligence of Tenant, or any of its agents, contractors, servants, employees or
licensees, or arising from any accident, injury or damage whatsoever caused to
any person, firm or corporation occurring during the Term of the Lease, in or
about the Leased Premises, or upon or under the sidewalks and the land adjacent
thereto, and from and against all costs, reasonable attorneys' fees, expenses
and liabilities incurred in or about any such claim or action or proceeding
brought thereon; and in case any action or proceeding is brought against
Landlord by reason of any such claim, Tenant, upon notice from Landlord, shall
resist or defend such action or proceeding by counsel reasonably satisfactory to
Landlord.

                                   ARTICLE 23.
                              ESTOPPEL CERTIFICATE
                              --------------------

     Tenant shall, at any time and from time to time, upon not less than twenty
(20) days' prior notice by Landlord, execute, acknowledge and deliver to
Landlord a statement in writing certifying that the Lease is unmodified and in
full force and effect (or if there shall have been modifications that the Lease
is in full force and effect as modified and stating the modifications) and the A
dates to which the Base Rent and Additional Rent have been paid in advance, if
any, and stating whether or not (to the best knowledge of Tenant) Landlord is in
default in the performance of any covenant, agreement or condition contained in
the Lease and, if so, specifying each such default of which Tenant may have
knowledge, it being intended that any such statement delivered pursuant to this
Article shall be in a form approved by and may be relied upon by any prospective
assignee of Landlord's interest in the Lease or any mortgagee of the Leased
Premises or any assignee of any mortgage upon the Leased Premises.

                                   ARTICLE 24.
                                  SUBORDINATION
                                  -------------

     This Lease is subject and subordinate to all mortgages and other collateral
agreements which may now or hereafter affect the premises, and to all renewals,
modifications, consolidations, replacements, and extensions thereof (hereinafter
referred to as the "mortgage"). This clause shall be self-operative and no
further instrument of subordination will be required. If additional confirmation
of such subordination is requested, Tenant, without expense to Lessor, shall
execute promptly any appropriate instrument Lessor may request. Provided,
however, that in the event that the holder of the mortgage forecloses the
mortgage or takes a deed from the owner of the premises in lieu of mortgage
foreclosure, the mortgage holder, at its election may give written notice to
Tenant of its intention to hold Tenant to the terms of this Lease within twenty
(20) days after the expiration of the period of redemption or delivery of the
deed in lieu of foreclosure, whichever is applicable, in which event this Lease
shall be deemed to be a direct Lease between the said mortgage holder and Tenant
as of the date of exercise of election and this Lease shall thereafter be in
full force and effect according to the terms herein and Tenant shall be bound to
the mortgagee under all of the terms, covenants and conditions of this Lease for
the balance of the term hereof remaining. In the event of any such election by
the mortgage holder, however, Tenant shall, and does hereby, remise, release and
forever discharge

                                      -13-
<PAGE>

mortgage holder of, from and against any and all undertakings,
agreements and liabilities of Lessor under the terms of this Lease, excepting
only the covenant of quiet possession, and Tenant agrees that thereupon and
thereafter all rentals reserved hereunder, as well as any rental accrued to the
effective date of such election by mortgage holder, shall be absolutely due and
owing by Tenant to Lessor, free from any right of set-off or counter-claim,
excepting only in respect of breaches by the mortgage holder, after giving such
election, of the Lessor's covenant of quiet possession; and except for such
covenant of quiet possession, Tenant shall thereupon and thereafter be liable to
such mortgage holder, as Lessor, for each and every covenant, agreement and
undertaking contained herein on the part of Tenant to be performed.

                                   ARTICLE 25.
                               RELEASE OF LANDLORD
                               -------------------

     If Landlord sells or otherwise transfers all of its interest in the Leased
Premises, Landlord shall, without further action by any party, be released and
discharged from any further obligation or duty under the Lease, and no claim or
demand upon Landlord shall thereafter be made by Tenant arising out of any
obligation or duty of Landlord hereunder. Upon request by Landlord, Tenant shall
execute an attornment agreement with Landlord's transferee in form satisfactory
to such transferee.

                                   ARTICLE 26.
                                  SEVERABILITY
                                  ------------

     If any term, condition or provision of the Lease or the application thereof
to any person or circumstance shall, to any extent, be held to be invalid or
unenforceable, the remainder thereof and the application of such terms,
provisions and conditions shall, in all other respects, continue to be effective
and to be complied with to the full extent permitted by law.

                                   ARTICLE 27.
                                SHORT FORM LEASE
                                ----------------

     At the request of either party hereto, a short form lease shall be prepared
in form and substance reasonably satisfactory to each of the parties and shall
be executed by each of the parties in duplicate, such lease to be filed for
record in Carver County, Minnesota.

                                   ARTICLE 28.
                                     NOTICES
                                     -------

     Any notice or election herein requested or permitted to be given or served
by either party hereto upon the other, shall be deemed given or served in
accordance with the provisions of the Lease if delivered to either party hereto
and receipt is obtained therefor, or if mailed in a sealed wrapper by United
States registered or certified mail, postage prepaid, properly addressed to such
other party as

                                      -24-
<PAGE>

the address hereinafter specified. Unless and until changed by
notice as herein provided, notices and communications shall be addressed as
follows:

         If to Landlord:                            Fleninge Partnership
                                                    121 West Third Street
                                                    Chaska, MN  55318

         with a Copy to:                            Dennis L. Monroe
                                                    Krass & Monroe Chartered
                                                    1100 Southpoint Center
                                                    1650 West 82nd Street
                                                    Bloomington, MN  55431

         If to Tenant:                              Empak, Inc.
                                                    ____________________________
                                                    ____________________________

Each such mailed notice or communications shall be deemed to have been given to,
or served upon the party to which addressed, on the date the same is deposited
in the United States registered or certified mail, postage prepaid, properly
addressed in the manner above provided. Each such delivered notice or
communication shall be deemed to have been given to, or served upon, the party
to whom delivered, upon delivery thereof in the manner above provided. Either
party may change the address to which mailed notice is to be sent to it by
giving to the other party hereto not less than thirty (30) days' advance written
notice thereof. All payments of Base Rent or Additional Rent hereunder shall be
made to Landlord at the address above designated, or as may be hereafter
designated.

                                   ARTICLE 29.
                                    HEADINGS
                                    --------

     The headings incorporated in the Lease are for convenience in reference
only and are not a part of the Lease and do not in any way limit or add to the
terms and provisions hereof.

                                   ARTICLE 30.
                                 BINDING EFFECT
                                 --------------

     All of the covenants, conditions and agreements herein contained shall
extend to, be binding upon and inure to the benefit of the parties hereto and
their respective heirs, successors and assigns.

                                      -15-
<PAGE>

                                   ARTICLE 31.
                                ENTIRE AGREEMENT
                                ----------------

     This Lease Agreement contains the entire agreement between Landlord and
Tenant with respect to the subject matter hereof, and, upon the effective date
hereof, this Lease Agreement shall supersede all prior understandings and
agreements, including, but not limited to that certain Lease Agreement dated
October 22, 1981, between Fluoroware, Inc., a Minnesota corporation, and Empak,
Inc., as extended and renewed, the Landlord's interest in the same being
assigned to Landlord as of April 12, 1991, and as amended by Amendment to Lease
Agreement dated September 1, 1992. This Lease Agreement may only be amended or
modified by a written instrument signed by all of the parties thereto.

                                      -16-
<PAGE>

     IN WITNESS WHEREOF, the parties have executed this Lease the day and year
first above written.

                                       LANDLORD:

                                       FLENINGE PARTNERSHIP

                                       By:  /s/ Wayne Bongard
                                           -------------------------------------
                                             Its:
                                                  ------------------------------

                                       TENANT:

                                       EMPAK, INC.

                                       By:  /s/ illegible
                                           -------------------------------------
                                             Its:  C.E.O.
                                                  ------------------------------

STATE OF MINNESOTA)
                  ) ss.
COUNTY OF HENNEPIN)

     On this ___ day of June, 1993, before me personally appeared
_____________________, a general partner of FLENINGE PARTNERSHIP, a Minnesota
general partnership, on behalf of the partnership.

                                                      --------------------------
                                                              Notary Public

STATE OF MINNESOTA)
                  ) ss.
COUNTY OF HENNEPIN)

     On this ___ day of June, 1993, before me personally appeared
_____________________, the _________________________ of EMPAK, INC., a Minnesota
corporation, on behalf of the corporation.

                                                      --------------------------
                                                              Notary Public

                                      -17-

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