Document:

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                                                                    Exhibit 10.6

               PANDEY CONFIDENTIALITY AND NONCOMPETITION AGREEMENT

          THIS CONFIDENTIALITY AND NONCOMPETITION AGREEMENT (this "Agreement")
is entered into as of November 6, 2000, by and between Transcender LLC
("Transcender" and, together with its present and future affiliates, and
subsidiaries, the "Company"), and Aneel M. Pandey (the "Employee").

          WHEREAS, Transcender has entered into an Asset Purchase Agreement,
dated as of November 6, 2000 by and among Transcender, Transcender Corporation
and certain persons named therein (the "Purchase Agreement");

          WHEREAS, the execution and delivery of this Agreement by the Employee
to the Company is a condition to Transcender's obligation to consummate the
transactions contemplated by the Purchase Agreement;

          WHEREAS, in connection with the transactions that are contemplated by
the Purchase Agreement, the Company desires to employ the Employee and the
Employee has indicated his willingness to provide his services to the Company;

          WHEREAS, the Company, as a condition of employment of the Employee,
desires to obtain certain restrictive covenants from the Employee, as described
below, and the Employee is willing to agree to such restrictive covenants in
consideration of such employment.

          NOW, THEREFORE, in consideration of the foregoing and for other good
and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto hereby covenant and agree as follows:

          1. NO COMPETING EMPLOYMENT. The Employee acknowledges that the
agreements and covenants contained in this Agreement are essential to protect
the value of the Company's business and assets and by his employment with the
Company, the Employee has obtained and will obtain knowledge, contacts,
know-how, training and experience and there is a substantial probability that
such knowledge, know-how, contacts, training and experience could be used to the
substantial advantage of a competitor of the Company and to the Company's
substantial detriment. Therefore, the Employee agrees that for the period
commencing on the date of this Agreement and ending on the later of (i) the
fifth anniversary of the Closing Date (as such term is defined in the Purchase
Agreement and (ii) the third anniversary of the termination of the Employee's
employment with the Company for any reason (such period is hereinafter referred
to as the "Restricted Period") with respect to any state or country in which the
Company is engaged in business during the course of the Employee's employment
term, the Employee shall not participate or engage, directly or indirectly, for
himself or on behalf of or in conjunction with any person, partnership,
corporation or other entity, whether as an employee, agent, officer, director,
shareholder, partner, joint venturer, investor or otherwise, in any business
which competes with or resembles the Company; provided, however, that the
foregoing shall not

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prohibit the ownership by the Employee of equity securities of a public company
in any amount not to exceed 5% of the issued and outstanding shares of such
company.

          2. NONDISCLOSURE OF CONFIDENTIAL INFORMATION. The Employee, except in
connection with his employment hereunder, shall not disclose to any person or
entity or use, either during the course of his employment or at any time
thereafter, any information not in the public domain or generally known in the
industry and which is known only to the Company and those employees or other
agents to whom it has been confided, in any form, acquired by the Employee while
employed by the Company or any predecessor to the Company's business or, if
acquired following the Employment Term, such information which, to the
Employee's knowledge, has been acquired, directly or indirectly, from any person
or entity owing a duty of confidentiality to the Company, relating to the
Company, including but not limited to information regarding customers, vendors,
suppliers, trade secrets, training programs, manuals or materials, technical
information, contracts, systems, procedures, mailing lists, know how, trade
names, improvements, price lists, financial or other data (including the
revenues, costs or profits associated with any of the Company's products or
services), business plans, code books, invoices and other financial statements,
computer programs, software systems, databases, discs and printouts, plans
(business, technical or otherwise), customer and industry lists, correspondence,
internal reports, personnel files, sales and advertising material, telephone
numbers, names, addresses or any other compilation of confidential and/or
proprietary information, written or unwritten, which is or was used in the
business of the Company but excluding that information, knowledge and other
intellectual property developed by the Employee related to phonorecords and
documentaries about the Apollo missions to the moon (the "Pandey Information")
(the foregoing, excluding the Pandey Information, "Confidential Information").
Notwithstanding the foregoing, Confidential Information shall not include (i)
any information that the Employee is required to disclose to, or by, any
governmental or judicial authority; provided, however, if the Employee should be
required in the course of judicial or other governmental proceedings to disclose
any Confidential Information, the Employee shall give the Company prompt written
notice thereof so that Company may seek an appropriate protective order and/or
waive in writing compliance with the confidentiality provisions of this
Agreement, (ii) any information that is or becomes generally available to the
public other than as a result of a disclosure by the receiving party; or (iii)
any information that becomes available to the receiving party on a
nonconfidential basis from a source other than the delivering party (or an agent
thereof) which is not prohibited from disclosing such information to the
receiving party by a legal, contractual or fiduciary obligation to the
delivering party. If, in the absence of a protective order or the receipt of a
waiver by the Company, the Employee is compelled to disclose Confidential
Information to, or pursuant to the requirements of, a court or other
governmental authority, the Employee may disclose such Confidential Information
to such court or other governmental authority without liability to the Company
or any other person or entity not a party to this Agreement. The Employee herby
agrees to protect all documents, records, tapes and other media in which
Confidential Information is contained (the "Confidential Documents"). The
Employee acknowledges that such Confidential Documents are and remain the sole
and exclusive property of the Company. The Employee will not copy any
Confidential Documents or remove any Confidential Documents, or copies thereof,
from the Company premises, except as required by the normal and proper course of
his duties for the Company. The Employee agrees to return to the Company
promptly upon the termination of his employment, or at any other time when

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requested by the Company, any and all property of the Company, including, but
not limited to, all Confidential Documents and copies thereof in his possession
or control.

          Notwithstanding anything to the contrary herein, nothing in this
Agreement shall be construed to prevent Employee from using his general skills
and knowledge and any skills and/or knowledge developed and/or refined during
his employment with the Company as an information technology professional unless
the use of that skill or knowledge would result in a breach of this Agreement or
the Employment Agreement between the Employee and Transcender.

          3. NO INTERFERENCE. During the Restricted Period, the Employee shall
not, whether for his own account or for the account of any other individual,
partnership, firm, corporation or other business organization (other than the
Company), directly or indirectly solicit, endeavor to entice away from the
Company, or otherwise directly interfere with the relationship of the Company
with (collectively, "Solicit") any person who, to the knowledge of the Employee,
is employed by or otherwise engaged to perform services for the Company.
During the Restricted Period, the Employee shall not Solicit any person who is,
or was within the then most recent twelve-month period, a customer or client of
the Company or its predecessors for purposes of competing with the Company.

          4. DISCLOSURE OF INTELLECTUAL PROPERTY AND ASSIGNMENT OF RIGHTS. The
Employee hereby sells, transfers and assigns to the Company or to any person or
entity designated by the Company all of the entire right, title and interest of
the Employee in and to all inventions, ideas, disclosures and improvements,
whether patented or unpatented, and copyrightable material, made or conceived by
the Employee, solely or jointly, during his employment by the Company which
relate to methods, apparatus, designs, products, processes or devices, sold,
leased, used or under consideration or development by the Company, or which
otherwise relate to or pertain to the business, functions or operations of the
Company or which arise from the efforts of the Employee during the course of his
employment for the Company. The Employee shall communicate promptly and disclose
to the Company, in such form as the Company requests, all information, details
and data pertaining to the aforementioned inventions, ideas, disclosures and
improvements; and the Employee shall, at the Company's cost and expense, execute
and deliver to the Company such formal transfers and assignments and such other
papers and documents as may be necessary or required of the Employee to permit
the Company or any person or entity designated by the Company to file and
prosecute the patent applications and, as to copyrightable material, to obtain
copyright thereof. Any patentable invention relating to the business of the
Company and disclosed by the Employee within one year following the termination
of his employment with the Company, excluding the Pandey Information, shall be
deemed to fall within the provisions of this Agreement unless proved to have
been first conceived and made following such termination.

          5. INJUNCTIVE RELIEF. Without intending to limit the remedies
available to the Company, the Employee acknowledges that a breach of any of the
covenants contained in this Agreement may result in material irreparable injury
to the Company for which there is no adequate remedy at law, that it may not be
possible to measure damages for such injuries precisely and that, in the event
of such a breach or threat thereof, the Company shall be entitled to seek a
temporary restraining order and/or a preliminary injunction without the
necessity of

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proving irreparable harm as a result of such breach or threatened breach (and to
a permanent injunction if the Company is able to prove actual damages),
restraining the Employee from engaging in activities prohibited by this
Agreement or such other relief as may be required specifically to enforce any of
the covenants in this Agreement.

          6. EXTENSION OF RESTRICTED PERIOD. In addition to the remedies the
Company may seek and obtain pursuant to this Agreement, the Company may seek to
extend the Restricted Period by any and all periods during which the Employee
shall be found by a court to have been in violation of the covenants contained
in this Agreement.

          7. REPRESENTATIONS AND WARRANTIES OF THE EMPLOYEE. The Employee
represents and warrants to the Company as follows:

          (a) This Agreement, upon execution and delivery by the Employee, will
be duly executed and delivered by the Employee and (assuming due execution and
delivery hereof by the Company) will be the valid and binding obligation of the
Employee enforceable against the Employee in accordance with its terms.

          (b) Neither the execution and delivery of this Agreement, the
consummation of the transactions contemplated hereby nor the performance of this
Agreement in accordance with its terms and conditions by the Employee (i)
requires the approval or consent of any governmental body or of any other person
or (ii) conflicts with or results in any breach or violation of, or constitutes
(or with notice or lapse of time or both would constitute) a default under, any
agreement, instrument, judgment, decree, order, statute, rule, permit or
governmental regulation applicable to the Employee. Without limiting the
generality of the foregoing, the Employee is not a party to any non-competition,
non-solicitation, no hire or similar agreement that restricts in any way the
Employee's ability to engage in any business or to solicit or hire the employees
of any person other than the Employee's existing written agreements with
Transcender Corporation which have been disclosed to the Company in the
Schedules to the Purchase Agreement.

          (c) The representations and warranties of the Employee contained in
this Section 7 shall survive the execution and delivery of this Agreement and
the consummation of the transactions contemplated hereby.

          8. SURVIVAL. This Agreement shall continue in effect after the
termination of the Employee's employment, regardless of the reason for
termination, and shall be binding upon the Employee's heirs, executors,
administrators, representatives and assigns.

          9. SUCCESSORS AND ASSIGNS. Except as otherwise expressly provided in
this Agreement, no party hereto shall assign this Agreement or any rights or
obligations hereunder without the prior written consent of the other parties
hereto and any such attempted assignment without such prior written consent
shall be void and of no force and effect, PROVIDED, that the Company may assign
its rights hereunder to an affiliate, PROVIDED FURTHER, that no such assignment
shall reduce or otherwise vitiate any of the obligations of the Company
hereunder. This Agreement shall inure to the benefit of and shall be binding
upon the successors and permitted assigns of the parties hereto.

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          10. AMENDMENTS; WAIVERS. This Agreement may be amended or modified,
and any of the terms, covenants, representations, warranties or conditions
hereof may be waived, only by a written instrument executed by the parties
hereto, or in the case of a waiver, by the party waiving compliance. Any waiver
by any party of any condition, or of the breach of any provision, term,
covenant, representation or warranty contained in this Agreement, in any one or
more instances, shall not be deemed to be nor construed as further or continuing
waiver of any such condition, or of the breach of any other provision, term,
covenant, representation or warranty of this Agreement.

          11. SEVERABILITY AND GOVERNING LAW. The Employee acknowledges and
agrees that the covenants set forth in this Agreement are reasonable and valid
in geographical and temporal scope and in all other respects. If any of such
covenants or such other provisions of this Agreement are found to be invalid or
unenforceable by a final determination of a court of competent jurisdiction (a)
the remaining terms and provisions hereof shall be unimpaired and (b) the
invalid or unenforceable term or provision hereof shall be deemed replaced by a
term or provision that is valid and enforceable and that comes closest to
expressing the intention of the invalid or unenforceable term or provision
hereof. THIS AGREEMENT SHALL BE CONSTRUED, PERFORMED AND ENFORCED IN ACCORDANCE
WITH, AND GOVERNED BY, THE LAWS OF THE STATE OF TENNESSEE, WITHOUT GIVING EFFECT
TO THE PRINCIPLES OF CONFLICTS OF LAWS THEREOF. THE PARTIES HERETO IRREVOCABLY
ELECT AS THE SOLE JUDICIAL FORUM FOR THE ADJUDICATION OF ANY MATTERS ARISING
UNDER OR IN CONNECTION WITH THIS AGREEMENT, AND CONSENT TO THE JURISDICTION OF,
THE COURTS OF THE STATE OF TENNESSEE LOCATED IN NASHVILLE, TENNESSEE.

          12. NOTICES.

          (a) All notices, requests, demands and other communications under this
Agreement shall be in writing and shall be deemed to have been duly given (i) on
the date of service if served personally on the party to whom notice is to be
given, (ii) on the day of transmission if sent via facsimile transmission to the
facsimile number given below, and telephonic confirmation of receipt is obtained
promptly after completion of transmission, (iii) on the day after delivery to
Federal Express or similar overnight courier or the Express Mail service
maintained by the U.S. Postal Service or (iv) on the fifth day after mailing, if
mailed to the party to whom notice is to be given, by first class mail,
registered or certified, postage prepaid and properly addressed, to the party as
follows:

          (i) if to the Employee, at 242 Louise Avenue, Nashville, TN 37203, or
     at such other address as the Employee may have furnished the Company in
     writing,

          (ii) if to the Company, to Information Holdings, Inc., 2777 Summer
     Street, Suite 209, Stamford, CT 06905, marked for the attention of the
     Board of Directors, or at such other address as it may have furnished in
     writing to the Employee.

          13. SECTION AND PARAGRAPH HEADINGS. The section and paragraph headings
in this Agreement are for reference purposes only and shall not affect the
meaning or interpretation of this Agreement.

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          14. ENTIRE AGREEMENT. This Agreement and any employment agreement
between the Company and the Employee constitute the entire understanding and
agreement of the parties hereto regarding the employment of the Employee. This
Agreement and any such employment agreement supersede all prior negotiations,
discussions, correspondence, communications, understandings and agreements
between the parties relating to the subject matter of this Agreement.

          15. COUNTERPARTS. This Agreement may be executed in counterparts, each
of which shall be deemed an original, but all of which shall constitute one
instrument.

                                      * * *

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

                                        TRANSCENDER LLC

                                        By: /s/ MASON SLAINE
                                            -------------------------------
                                            Name:  Mason Slaine
                                            Title:  CEO

                                        /s/ ANEEL M. PANDEY
                                        ------------------------------------
                                        Aneel M. Pandey

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                                                                    Exhibit 10.7

                            INFORMATION HOLDINGS INC.

                             1998 STOCK OPTION PLAN

                   (AMENDED AND RESTATED AS OF MARCH 26, 2001)

                                      * * *

                                   ARTICLE I

                                     PURPOSE

               This 1998 Stock Option Plan (the "Plan") is intended to encourage
stock ownership in Information Holdings Inc. (the "Company") by employees and
directors of the Company and its subsidiaries in order to increase their
proprietary interest in the Company's success and to encourage such employees
and directors to remain in the service of the Company and its subsidiaries.

                                   ARTICLE II

                               CERTAIN DEFINITIONS

               (a) "AFFILIATE" of an entity shall mean any person or entity
controlling, controlled by or under common control with, such entity, where
"control" means the power to exercise a controlling influence over the
management or policies of such person or entity.

               (b) "BOARD" shall mean the Board of Directors of the Company.

               (c) "CHANGE OF CONTROL" shall have the meaning set forth in
Article XI.

               (d) "CODE" shall mean the Internal Revenue Code of 1986, as
amended.

               (e) "COMMITTEE" shall mean (i) the Stock Option Committee of the
Board which, if and to the extent practicable, shall be comprised of at least
two persons who qualify as "non-employee directors" under Rule 16b-3 promulgated
by the Securities and Exchange Commission under the Securities Exchange Act of
1934, and as "outside directors" under Section 162(m) of the Code or (ii) if a
Stock Option Committee has not been designated by the Board, the Board.

               (f) "COMMON STOCK" shall mean the voting common stock of the
Company, par value $0.01 per share.

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               (g) "ELIGIBLE EMPLOYEE" shall mean any person employed on a
full-time basis by the Company or any of its subsidiaries, or any director of
the Company.

               (h) "EXERCISE PRICE" shall have the meaning assigned to such term
in Article VI hereof.

               (i) "ISO" shall mean an "incentive stock option" within the
meaning of Section 422 of the Code.

               (j) "NON-QUALIFIED OPTION" shall mean an Option which is not an
ISO.

               (k) "OPTION" shall mean any option granted under the Plan.

               (l) "OPTIONEE" shall mean any holder of an Option.

               (m) "OPTION AGREEMENT" shall mean the agreement between an
Optionee and the Company governing Options granted under the Plan, the forms of
which shall be consistent with the terms of the Plan but need not be identical.

               (n) "WP VENTURES" shall mean Warburg, Pincus Ventures, L.P., any
Affiliate thereof, or any successor thereto.

                                   ARTICLE III

                                      STOCK

               (a) The stock to be issued upon the exercise of Options shall be
shares of authorized but unissued Common Stock or previously issued shares of
Common Stock reacquired by the Company. The aggregate number of shares of Common
Stock as to which Options may be granted under the Plan at any time shall not
exceed 1,966,866, subject to adjustment from time to time in accordance with the
provisions of Article X hereof. No more than 350,000 shares of Common Stock may
be issued to any one individual pursuant to awards of Options hereunder during
any calendar year.

               (b) The number of shares of Common Stock available for grant of
Options at any time under the Plan shall be decreased by the sum of (i) the
number of shares with respect to which Options have been issued and have not
lapsed or been canceled, in each case, prior to such time and (ii) the number of
shares issued prior to such time upon exercise of Options. In the event that any
outstanding Option under the Plan lapses in accordance with Articles VII or VIII
hereof, prior to the end of the period during which Options may be granted, the
shares of Common Stock subject to the unexercised portion of such Option shall
again be available for the granting of Options under the Plan.

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                                   ARTICLE IV

                                  PARTICIPATION

               Optionees shall be limited to Eligible Employees who have
received written notice of their selection to participate in the Plan and who
have entered into an Option Agreement. Each Option Agreement shall state the
total number of shares of Common Stock which are subject to the Option granted.
No Eligible Employee shall at any time have a right to be selected as a
participant.

                                    ARTICLE V

                                 ADMINISTRATION

               The Plan shall be administered by the Committee which shall have
sole authority, in its absolute discretion: (a) to select which Eligible
Employees shall be granted Options; (b) to determine the number of Options to be
granted to such Eligible Employees and whether such Options shall be ISOs or
Non-Qualified Options; (c) to prescribe the form or forms of the Option
Agreements under the Plan; (d) to adopt, amend or rescind such rules and
regulations as, in its opinion, may be advisable for the administration of the
Plan; and (e) to construe and interpret the Plan, and all such rules and
regulations, and to make all other determinations deemed necessary or advisable
for the administration of the Plan. All decisions, determinations and
interpretations of the Committee made in good faith shall be final and binding
on all participants. Neither the Committee nor any member of the Committee shall
be liable for any act, omission, interpretation, construction or determination
made in connection with the Plan in good faith, and the members of the Committee
shall be entitled to indemnification and reimbursement by the Company in respect
of any claim, loss, damage or expense (including, without limitation, counsel
fees) arising therefrom to the full extent permitted by Delaware law and under
any directors' and officers' liability insurance coverage which may be in effect
from time to time.

                                   ARTICLE VI

                                 EXERCISE PRICE

               The Exercise Price per share of Common Stock covered by Options
granted under the Plan shall be established on or prior to the date of grant by
the Committee and shall be set forth in the Optionee's Option Agreement. Payment
shall be made in full upon exercise of the Option by delivering to the Company
at its principal executive offices cash or a certified check, bank draft or
money order payable to the order of the Company in the aggregate amount of the
Exercise Price, or in accordance with any cashless exercise procedures adopted
by the Committee from time to time.

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                                   ARTICLE VII

                               VESTING OF OPTIONS

               All Options granted under the Plan shall vest and become
exercisable in accordance with Article XI hereof and vesting schedules
established by the Committee at the time of grant.

                                  ARTICLE VIII

                            TERMINATION OF EMPLOYMENT

               Each Option will have a ten-year term from the date of grant,
subject to earlier termination upon termination of the Optionee's employment, as
determined by the Committee.

                                   ARTICLE IX

                                 TRANSFERABILITY

               Options and any Optionee's rights and interest under the Plan,
including amounts payable, may not be sold, assigned, donated, or transferred or
otherwise disposed of, mortgaged, pledged or encumbered except, in the event of
an Optionee's death, by will or the laws of descent and distribution; PROVIDED,
HOWEVER, the Committee may, in its sole discretion, allow for transfer of
Options other than ISOs to other persons or entities, subject to such conditions
or limitations as it may establish.

                                   ARTICLE X

                  ADJUSTMENT FOR RECAPITALIZATION, MERGER, ETC.

               (a) The aggregate number of shares of Common Stock which may be
purchased pursuant to Options granted hereunder, the maximum number of shares of
Stock with respect to which Options may be granted to any single Optionee during
any calendar year, the number of shares of Common Stock covered by each
outstanding Option and the price per share thereof shall be appropriately
adjusted for any increase or decrease in the number of outstanding shares of
Common Stock resulting from a stock split or other subdivision or consolidation
of shares of Common Stock, or for other capital adjustments or payments of stock
dividends or distributions or other increases or decreases in the outstanding
shares of Common Stock effected without receipt of consideration by the Company.

               (b) If the Company shall be sold, reorganized, consolidated, or
merged with another corporation, or if all or substantially all of the assets of
the Company shall be sold or exchanged (a "Corporate Event"), (i) each Optionee
shall, at the time of such Corporate Event, be entitled to receive upon the
exercise of his Option the same number and kind of shares of

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common stock or the same amount of property, cash or other securities as he
would have been entitled to receive upon the occurrence of such Corporate Event
as if he had been, immediately prior to such event or on the record date
relating to such event, the holder of the number of shares of Common Stock
covered by his Option, and (ii) if the Company is not the surviving corporation
in such Corporate Event, the Company shall require the successor corporation or
parent thereof to assume such outstanding Options; PROVIDED, HOWEVER, that the
Committee may, in its discretion and in lieu of requiring such assumption,
provide that all outstanding Options shall terminate as of the consummation of
such Corporate Event and accelerate the exercisability of all outstanding
Options to any date prior to the date of such Corporate Event.

               (c) The foregoing adjustments and the manner of application of
the foregoing provisions shall be determined by the Committee in its sole
discretion. Any such adjustment may provide for the elimination of any
fractional share which might otherwise become subject to an Option.

                                   ARTICLE XI

                                CHANGE OF CONTROL

               In the event of a Change of Control, each outstanding Option
under the Plan shall vest and become immediately exercisable in full as of the
date immediately preceding the date of such Change of Control, or such other
date, not later than the date of such Change of Control, as shall be established
by the Committee in its discretion. For purposes of the Plan, a "Change of
Control" shall mean:

               (a) The acquisition by any individual, entity or group (within
the meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of
1934, as amended (the "Exchange Act")) (a "Person") of beneficial ownership
(within the meaning of Rule 13d-3 promulgated under the Exchange Act) of 50% or
more of either (i) the then outstanding shares of Common Stock (the "Outstanding
Company Stock") or (ii) the combined voting power of the then outstanding voting
securities of the Company entitled to vote generally in the election of
directors (the "Outstanding Company Voting Securities"); provided, however, that
for purposes of this subsection (a), the following acquisitions shall not
constitute a Change of Control: (i) any acquisition directly from the Company,
(ii) any acquisition by the Company, (iii) any acquisition by any employee
benefit plan (or related trust) sponsored or maintained by the Company, (iv) any
acquisition by WP Ventures, or (v) any acquisition by any corporation pursuant
to a transaction which complies with clauses (i), (ii), and (iii) of subsection
(c) of this Article XI;

               (b) Individuals who, as of the date hereof, constitute the Board
(the "Incumbent Board") cease for any reason to constitute at least a majority
of the Board; provided, however, that any individual becoming a director
subsequent to the effective date of the Plan whose election, or nomination for
election by the Company's stockholders, was approved by a vote of at least a
majority of the directors then comprising the Incumbent Board shall be

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considered as though such individual were a member of the Incumbent Board, but
excluding, for this purpose, any such individual whose initial assumption of
office occurs as a result of an actual or threatened election contest with
respect to the election or removal of directors or other actual or threatened
solicitation of proxies or consents by or on behalf of a Person other than the
Board; or

               (c) Consummation of a Corporate Event, unless, following such
Corporate Event, (i) all or substantially all of the individuals and entities
who were the beneficial owners, respectively, of the Outstanding Company Stock
and Outstanding Company Voting Securities immediately prior to such Corporate
Event beneficially own, directly or indirectly, more than 50% of, respectively,
the then outstanding shares of common stock and the combined voting power of the
then outstanding voting securities entitled to vote generally in the election of
directors of the corporation resulting from such Corporate Event (including,
without limitation, a corporation which as a result of such transaction owns the
Company or all or substantially all of the Company's assets either directly or
through one or more subsidiaries) upon consummation of such Corporate Event in
substantially the same proportions as their ownership, immediately prior to such
Corporate Event, of the Outstanding Company Stock and Outstanding Company Voting
Securities, as the case may be, (ii) no Person other than (1) WP Ventures, (2)
any corporation resulting from such Corporate Event, or (3) any employee benefit
plan (or related trust) of the Company or such corporation resulting from such
Corporate Event, beneficially owns, directly or indirectly, 50% or more of,
respectively, the then outstanding shares of common stock of the corporation
resulting from such Corporate Event or the combined voting power of the then
outstanding voting securities of such corporation except to the extent that such
ownership existed prior to the Corporate Event, and (iii) at least a majority of
the members of the board of directors of the corporation resulting from such
Corporate Event were members of the Incumbent Board at the time of the execution
of the initial agreement, or of the action of the Board, providing for such
Corporate Event; or

               (d) Approval by the stockholders of the Company of a complete
liquidation or dissolution of the Company.

                                   ARTICLE XII

                             RIGHTS AS A STOCKHOLDER

               An Optionee or a transferee of an Option shall have no rights as
a stockholder with respect to any shares covered by his Option until he shall
have become the holder of record of such shares, and he shall not be entitled to
any dividends or distributions or other rights in respect of such shares for
which the record date is prior to the date on which he shall have become the
holder of record thereof.

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                                   ARTICLE XIII

                                EMPLOYMENT RIGHTS

                  Nothing in the Plan or in any Option Agreement entered into
hereunder shall confer on any Optionee who is an employee of the Company or any
of its subsidiaries any right to continue in the employ of the Company or any of
its subsidiaries or to interfere in any way with the right of the Company or any
of its subsidiaries to terminate the Optionee's employment at any time.

                                   ARTICLE XIV

                              TRANSFER RESTRICTIONS

               Appropriate legends shall be placed on the stock certificates
evidencing shares issued upon exercise of Options to reflect any relevant
transfer restrictions.

                                   ARTICLE XV

                       AMENDMENT OR DISCONTINUANCE OF PLAN

                  The Board may from time to time, to the extent permitted by
applicable law, amend, suspend, or discontinue the Plan; provided, however, that
the Board may not take any action which would have a material adverse effect on
outstanding Options or any unexercised rights under outstanding Options without
the consent of the Optionee whose options would be adversely affected thereby.

                                   ARTICLE XVI

                             CANCELLATION OF OPTIONS

               The Committee, in its discretion, may, with the express written
consent of the Optionee to be affected, cancel any Option held by such
consenting Optionee hereunder.

                                   ARTICLE XVII

                                  MISCELLANEOUS

               (a) Notwithstanding any other provision of the Plan, the Company
or a subsidiary, as appropriate, shall have the right to deduct from all Option
exercises Common Stock, valued at fair market value on the date of payment, in
an amount necessary to satisfy all Federal, state or local taxes as required by
law to be withheld with respect to such Options. In the alternative, in the sole
discretion of the Company, the Optionee or other person receiving such Common
Stock may be required to pay to the Company or a subsidiary, as appropriate,

                                      -7-
<PAGE>

prior to delivery of such Common Stock, the amount of any such taxes which the
Company or subsidiary is required to withhold, if any, with respect to such
Common Stock. Subject in particular cases to the disapproval of the Committee,
the Company may accept shares of Stock of equivalent fair market value in
payment of such withholding tax obligations if the Optionee elects to make
payment in such manner.

               (b) The obligation of the Company to make payment of Option
exercises in shares of Common Stock or otherwise shall be subject to all
applicable laws, rules, and regulations, and to such approvals by governmental
agencies as may be required. Notwithstanding any terms or conditions of any
Option to the contrary, the Company shall be under no obligation to offer to
sell or to sell and shall be prohibited from offering to sell or selling any
shares of Common Stock pursuant to an Option unless such shares have been
properly registered for sale pursuant to the Securities Act of 1933 with the
Securities and Exchange Commission or unless the Company has received advice of
counsel, satisfactory to the Company, that such shares may be offered or sold
without such registration pursuant to an available exemption therefrom and the
terms and conditions of such exemption have been fully complied with. The
Company shall be under no obligation to register for sale under the Securities
Act of 1933 any of the shares of Common Stock to be offered or sold under the
Plan. If the shares of Stock offered for sale or sold under the Plan are offered
or sold pursuant to an exemption from registration under the Securities Act of
1933, the Company may restrict the transfer of such shares and may legend the
Stock certificates representing such shares in such manner as it deems advisable
to ensure the availability of any such exemption.

               (c) The Plan shall be governed by and construed in accordance
with the laws of the State of Delaware without reference to the principles of
conflicts of law thereof.

               (d) No provision of the Plan shall require the Company, for the
purpose of satisfying any obligations under the Plan, to purchase assets or
place any assets in a trust or other entity to which contributions are made or
otherwise to segregate any assets, nor shall the Company maintain separate bank
accounts, books, records or other evidence of the existence of a segregated or
separately maintained or administered fund for such purposes.

               (e) Except as otherwise specifically provided in the relevant
plan document, no payment under the Plan or other amount required to be reported
as income for Federal income tax purposes shall be taken into account in
determining any benefits under any pension, retirement, profit sharing, group
insurance or other benefit plan of the Company.

               (f) The expenses of administering the Plan shall be borne by the
Company. The proceeds received by the Company from the exercise of any Options
pursuant to the Plan will be used for general corporate purposes.

               (g) Masculine pronouns and other words of masculine gender shall
refer to both men and women.

                                      -8-
<PAGE>

               (h) The titles and headings of the sections in the Plan are for
convenience of reference only, and in the event of any conflict, the text of the
Plan, rather than such titles or headings, shall control.

               (i) Except as otherwise specifically provided in the Plan, no
person shall be entitled to the privileges of ownership in respect of shares of
Common Stock which are subject to Options hereunder until such shares have been
issued to that person.

                                  ARTICLE XVIII

                           SPECIAL PROVISIONS FOR ISOS

               (a) ISOs must be granted within ten years from the date the Plan
is adopted, or the date the Plan is approved by the stockholders of the Company,
whichever is earlier.

               (b) ISOs may not be exercised after the expiration of ten years
from the date such ISOs are granted.

               (c) The Exercise Price of ISOs may not be less than the fair
market value of a share of Common Stock at the time such ISOs are granted, as
determined by the Committee. In such case, fair market value shall be determined
in a manner consistent with the rules and regulations under Section 422 of the
Code.

               (d) ISOs may not be granted to a person who owns stock possessing
more than 10% of the total combined voting power of all classes of stock of the
Company or any "subsidiary corporation" of the Company within the meaning of
Section 424(f) of the Code.

               (e) To the extent the aggregate fair market value of the Common
Stock with respect to which ISOs are exercisable for the first time by any
Optionee during a calendar year (under all plans of the Company and all
"subsidiary corporations" of the Company within the meaning of Section 424(f) of
the Code) exceeds $100,000, such ISOs shall be treated as Non-Qualified Options.
For purposes of the preceding sentence, the fair market value of the Common
Stock shall be determined by the Committee at the time the ISO covering such
stock is granted.

               (f) No ISOs may be granted under the Plan unless the Plan has
been approved by the stockholders of the Company within 12 months before or
after the date of the Plan's adoption by the Board.

                                      * * *

                                      -9-

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