Document:

EXHIBIT 10.5
                    CONSULTING AGREEMENT WITH CRAIG GROSSMAN

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EXHIBIT 10.5
                        INDEPENDENT CONSULTANT AGREEMENT

         THIS CONSULTING AGREEMENT  (hereinafter referred to as the "Agreement")
is made  effective the 1st day of December,  2006, by and between  Environmental
Service  Professionals,  Inc.,  a Nevada  corporation  (the  "Parent"),  Pacific
Environmental Sampling, Inc., a California corporation (the "Company") and Craig
Grossman of 1444 Edwards Drive,  Point Roberts,  Washington 98281,  herein after
referred to as the "Consultant", with respect to the following facts:

                                     RECITAL

         WHEREAS,  the  Company is in the  business of  providing  environmental
services for the purposes of mold and moisture assessment and management, and in
the conduct of such  business  desires to have the services  listed in EXHIBIT A
performed by the Consultant.

         WHEREAS, the Consultant has the necessary education,  training,  and/or
expertise to perform these services  desired by the Company,  and further has an
understanding of the Company's business to fully provide such services; and,

         WHEREAS, the Consultant will dedicate sufficient time to ESP as needed,
in terms of the agreement the consultant is retained on a  non-exclusive  basis;
and,

         WHEREAS,  the Consultant agrees to perform these services  (hereinafter
referred to as the  "Consulting  Services")  for the Company under the terms and
conditions set forth in this Agreement.

                                    AGREEMENT

         NOW  THEREFORE,  in  consideration  of the  mutual  promises  set forth
herein,  and  for  other  good  and  valuable  consideration,  the  receipt  and
sufficiency of which is expressly acknowledged,  the Parent, the Company and the
Consultant hereto covenant and agree as follows:

                       SECTION 1. ENGAGEMENT OF CONSULTANT

         The Company hereby  engages  Consultant to assist Company by performing
the  services  discussed  herein,  as  described  in  EXHIBIT A hereto,  and the
Consultant  hereby  accepts such  engagement,  upon the terms and conditions set
forth in this Agreement.

                          SECTION 2. TERM OF AGREEMENT

         This Agreement shall have an initial term of one (1) year  (hereinafter
referred to as the "Consulting Period"), from the effective date hereof or until
terminated pursuant to Section Four (4) hereunder.

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                             SECTION 3. COMPENSATION

         The Company shall pay the Consultant as described in EXHIBIT B.

               SECTION 4. TERMINATION OF AGREEMENT BY THE COMPANY

         Notwithstanding  anything to the contrary  contained in this  Agreement
hereunder,  Company may terminate this Agreement if any of the following  events
occur:

         A.  FAILURE TO FOLLOW  INSTRUCTIONS.  The  Company can  terminate  this
Agreement if Consultant  fails to follow  Company's  instructions.  Company must
inform  Consultant that  Consultant's  actions or inactions are unacceptable and
give  Consultant  fifteen  (15) normal  business  days to comply with  Company's
instructions.  If Consultant fails to comply,  or at a later date makes the same
unacceptable  action or  inaction,  Consultant  may  immediately  be  terminated
hereunder by Company's delivery of an applicable written "Notice of Termination"
to Consultant.

         B. BREACH OF CONSULTANT'S DUTIES. The Company can immediately terminate
this Agreement if Consultant's  actions or conduct would make it unreasonable to
require Company to retain Consultant. Such acts include, but are not limited to,
dishonesty,  illegal activities, and/ or activities harmful to the reputation of
the Company;

         C. SALE OF COMPANY'S ASSETS. The sale of substantially all of Company's
assets to a single  purchaser or group of associated  purchasers with sixty (60)
calendar days notice;

         D. TERMINATION OF COMPANY'S  BUSINESS.  Company's bona fide decision to
terminate  its business and  liquidate  its assets with sixty (60) calendar days
notice;

         E. MERGER OR CONSOLIDATION. The merger or consolidation of Company with
a third party with sixty (60) calendar days notice; or

         F. MUTUAL AGREEMENT. At any time by mutual agreement in writing between
Company and Consultant.

              SECTION 5. NONDISCLOSURE OF CONFIDENTIAL INFORMATION

         In  connection  with the  Agreement,  the Company or the Parent (each a
"Disclosing  Party") may disclose to Consultant certain  information  related to
the Disclosing Party's operations or business (the "Confidential  Information").
Consultant  will not  utilize any  Confidential  Information  received  from the
Disclosing  Party for any purpose  other than for the benefit of the  Disclosing
Party or in order to facilitate the transactions contemplated by this Agreement.
Consultant will not utilize the Confidential  Information  provided to it by the
Disclosing  Party to compete  with the  Disclosing  Party,  nor will  Consultant
engage in reverse engineering of the Disclosing Party's Confidential Information
or any other  conduct which would  directly or  indirectly  result in Consultant
misappropriating  or  improperly  utilizing  the rights,  property,  assets,  or

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Confidential  Information of the Disclosing Party.  Consultant will not disclose
the  Confidential  Information  to any third party  without  the  express  prior
written  consent  of  the  Disclosing   Party.   Consultant  will  maintain  the
confidentiality of such Confidential  Information using at least the same degree
of care  customarily  used by Consultant to protect his or her own  Confidential
Information,  but  under  no  circumstances  will  Consultant  use  less  than a
reasonable degree of care. At the time of the termination of this Agreement (for
any reason), Consultant will return all Confidential Information provided by the
Disclosing  Party to Consultant.  The Disclosing  Party will retain ownership of
all its Confidential Information, whether or not disclosed to Consultant.

         In  consideration  for the Company  entering into this  Agreement,  the
Consultant agrees that the following items,  among others,  are and shall remain
the sole property of the Company, are secret, confidential, unique, valuable and
were  developed  by  Company  at  great  cost and  over a long  period  of time.
Disclosure of any of the items to anyone other than Company's officers,  agents,
or authorized employees shall cause Company irreparable injury:

         A. Non-public financial information,  accounting information,  plans of
operations, possible mergers, or acquisitions prior to the public announcement;

         B. Customer lists,  franchise  lists,  partner and  co-venturer  lists,
other  business  relationships  of the Parent  Company,  call  lists,  and other
confidential customer, supplier, and other business relationship data;

         C. Memoranda,  notes,  records  concerning the technical  processes and
marketing strategies conducted by Company;

         D.  Sketches,  plans,  drawings,  and other  confidential  research and
development data;

         E. Manufacturing  processes,  chemical formula,  and the composition of
Company's products; or

         F. Any digital or intellectual property owned by Company

         Consultant  further  agrees that all methods and programs  developed in
the course of delivering services pursuant to this Agreement are the property of
the  Company and will be treated on a  confidential  basis.  Consultant  further
represents that an employee or  subcontractor  of the Consultant  would,  before
they provide any services,  be required to assign their rights to any methods or
programs  developed  as a result  of the  performance  of  services  under  this
Agreement to the Company.

                          SECTION 6. BEST EFFORT BASIS

         Consultant  agrees that Consultant shall at all times faithfully and to
the best of its experience, ability and talents, perform all the duties that may
be required  of and from  Consultant  pursuant  to the terms of this  Agreement.
Consultant does not guarantee that its efforts will have any impact on Company's

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business  or  that  any  subsequent  financial   improvement  will  result  from
Consultant's  efforts.  Company understands and acknowledges that the success or
failure of  Consultant's  efforts  will be  predicated  on  Company's  operating
results.

                          SECTION 7. PLACE OF SERVICES

It is understood that the Consultant's  services will be rendered largely at the
office of the  Consultant  or such other places as may be required by the nature
of the duties to be performed.

                          SECTION 8. COSTS AND EXPENSES

Consultant  shall be  responsible  for obtaining  prior  approval for reasonable
out-of-pocket expenses, travel expenses, third party expenses, filing fees, copy
and mailing  expense above one hundred  ($100.00)  dollars that  Consultant  may
incur in performing  Consulting  Services  under this  Agreement  from the Chief
Financial  Officer of the Company and submit approved expenses for reimbursement
in a  form  acceptable  to  the  Company.  Company  will  book  all  travel  and
accommodations.

Consultant shall be responsible to compute and pay all applicable local,  state,
and federal taxes,  and the Company shall not be responsible  for such payments.
Consultant  shall be responsible  for obtaining and  maintaining  all applicable
insurance  coverage  to include  but not be limited to  Workmen's  Compensation,
personal liability, casualty, additional medical, and automobile coverage.

                       SECTION 9. STATUS OF THE CONSULTANT

Consultant's  obligations  under this Agreement consist solely of the Consulting
Services  described  herein.  In no event shall  Consultant be considered as the
employee  or agent of  Company  or  otherwise  represent  or bind  Company.  For
purposes of this Agreement, Consultant is an Independent Contractor and will not
be  considered an employee of the Company for any purpose.  All final  decisions
with respect to acts of Company or its affiliates,  whether or not made pursuant
to or in reliance on  information or advice  furnished by Consultant  hereunder,
shall be those of Company  or such  affiliates  and  Consultant  shall  under no
circumstances  be liable for any expense incurred or loss suffered by Company as
a consequence of such actions or decisions. Further, the Consultant acknowledges
and agrees that:

         A.  The  Consultant  meets  all  required  licensing  and  registration
requirements of the business in which the Consultant will perform duties for the
Company;

         B. The Consultant shall hold harmless and indemnify the Company against
all claims, liabilities, expenses, losses, damages, or penalties incurred by the
Consultant  as a result of (a) the  failure of the  Consultant  to  perform  any

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covenant required to be performed by Consultant under this Agreement, or (b) any
accident,  damage,  death, or injury (physical or monetary)  whatsoever  arising
from any  occurrence  in or upon the  premises  and  resulting  from the acts or
omissions  of  Consultant,  its  agents,   contractors,   employees,   servants,
licensees,  or invitee's during the term of this Agreement;  provided,  however,
that  Consultant  shall  not be  obligated  to  indemnify  against  liabilities,
expenses,  losses or  penalties  suffered in whole or in part as a result of the
negligence  of  the  Company,  its  agents,  contractors,  employees,  servants,
licensees, or invitee's.

                       SECTION 10. COVENANT NOT TO COMPETE

The Consultant  agrees that he/she shall not, for a period of twelve (12) months
following the date of the termination of this Agreement,  within a radius of one
hundred  (100)  miles  in every  direction  from the  location  of any  place of
business of the Company,  directly or  indirectly  engage in the same or similar
business to that of the Company,  or become  interested  in (which shall include
but not be limited to becoming an employee, agent, owner, partner,  shareholder,
lender, or guarantor) any other business or venture which is the same or similar
to that of the  Company.  The  Consultant  agrees that the remedy at law for any
breach of any  provision  of this  article  shall be  inadequate  and  that,  in
addition to any other  remedies that the Company may have,  the Company shall be
entitled to injunctive relief without bond.

                         SECTION 11. GENERAL PROVISIONS

         A. HEADINGS.  All headings set forth in this Agreement are intended for
convenience  only and shall not control or affect the meaning,  construction  or
intent of this Agreement or any provision thereof.  If a conflict exists between
any heading and the text of this Agreement, the text shall control.

         B. GENDER.  As used herein,  all pronouns  shall include the masculine,
feminine,  neuter,  singular and plural thereof,  wherever the context and facts
require such construction.

         C. AMENDMENT. This Agreement may be amended or modified at any time and
in any  manner but only by an  instrument  in writing  executed  by the  parties
hereto.

         D.  WAIVER.  All the rights and  remedies  of either  party  under this
Agreement  are  cumulative  and not  exclusive  of any other rights and remedies
provided by law. No delay or failure on the part of either party in the exercise
of any right or remedy arising from a breach of this Agreement  shall operate as
a waiver of any subsequent  right or remedy arising from a subsequent  breach of
this Agreement.  The consent of any party where required hereunder to any act or
occurrence shall not be deemed to be a consent to any other act or occurrence.

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         E.  NOTICE.  Any notice  required  to be given  under the terms of this
Agreement  shall be deemed to have been received when either  hand-delivered  or
when mailed via certified or registered mail to:

           IF TO CONSULTANT:     Craig Grossman
                                 1444 Edwards Drive
                                 Point Roberts, Washington 98281

           IF TO COMPANY:        ESP
                                 1111 E. Tahquitz Canyon Way, Suite 110
                                 Palm Springs, California 92262

           IF TO PARENT:         ESP
                                 1111 E. Tahquitz Canyon Way, Suite 110
                                 Palm Springs, California 92262

         F. ENTIRE  AGREEMENT.  This  instrument  contains the entire  Agreement
between the parties hereto with respect to the transactions  contemplated by the
Agreement. All prior agreements and undertakings with respect thereto are hereby
terminated and shall be of no force or effect. This Agreement may be executed in
any  number of  counterparts  but the  aggregate  of the  counterparts  together
constitute only one (1) and the same instrument.

         G. EFFECT OF PARTIAL  INVALIDITY.  In the event that any one or more of
the provisions  contained in this  Agreement  shall for any reason be held to be
invalid,  illegal, or unenforceable in any respect, such invalidity,  illegality
or unenforceability shall not affect any other provisions of this Agreement, but
this Agreement  shall be constructed as if it never  contained any such invalid,
illegal, or unenforceable provisions.

         H. GOVERNING LAW. This Agreement, and the application or interpretation
thereof, shall be governed exclusively by its terms and by the laws of the State
of California.

         I.  ATTORNEYS'  FEES.  If any action at law or in equity,  including an
action for declaratory relief, is brought to enforce or interpret the provisions
of this  Agreement,  the  prevailing  party shall be entitled to recover  actual
attorneys'  fees and costs  from the other  party.  The  attorneys'  fees may be
ordered by the court in the trial of any action  described in this  paragraph or
may be enforced in a separate action brought for determining attorneys' fees and
costs.

         J. TIME IS OF THE  ESSENCE.  Time is of the  essence for each and every
provision of this Agreement.

         K. MUTUAL  COOPERATION.  The parties  hereto shall  cooperate with each
other to achieve the purpose of this  Agreement and shall execute such other and

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further documents and take such other and further actions as may be necessary or
convenient to effect the transactions described herein.

         L. NO THIRD PARTY BENEFICIARY.  Nothing in this Agreement, expressed or
implied,  is intended to confer upon any person,  other than the parties  hereto
and  their  successors,  any  rights  or  remedies  under or by  reason  of this
Agreement, unless this Agreement specifically states such intent.

         M. NO  PRESUMPTION.  Should any  provision  of this  Agreement  require
judicial  interpretations,  the court  interpreting or consulting the same shall
not apply a presumption  that the terms hereof shall be more strictly  construed
against one party, by reason of the rule of  construction  that a document is to
be construed more strictly  against the person who himself or through his agents
prepared the same, it being  acknowledged that both parties have participated in
the preparation hereof.

         IN WITNESS WHEREOF, the parties have executed this Agreement on the
20th day of December, 2006.

CONSULTANT:                                        COMPANY:

/s/ Craig Grossman                                  /s/ Lyle Watkins
-----------------------------------                -----------------------------
                                                        EVP

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                                    EXHIBIT A

Consultant,  as an independent contractor,  will use his best efforts to provide
the following Services to the Company during the term of this Agreement:

         A.       Conduct  business  on behalf of the  Company as the Manager of
                  Business Development.

         B.       Establish and supervise the operation of the Company's  branch
                  offices in the State of Washington; and

         C.       Refer purchasers of Company  franchises to the Company for the
                  sale of  franchises  in all  territories  where the Company is
                  legally permitted to sell franchise.

         D.       Refer  purchasers  of  Company  Certified  Environmental  Home
                  Inspector Certification program.

         E.       Provide  verbal and  written  support for the  development  of
                  processes,  procedures,   presentations  and  other  marketing
                  material;  and for  development  of new  programs  and markets
                  including  associated  marketing  material as requested by the
                  Company.

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                                    EXHIBIT B

In consideration  for the Services to be performed by Consultant for the Company
and provided Consultant complies with standard procedures outlined by management
of the Company for all business development managers the Company shall,

         A.       pay to  Consultant a fee in the amount of $6,000.00  per month
                  of which  $1,200.00  will be paid as W-2 earnings  through the
                  Company's  contracted  professional service company during the
                  Term (as herein defined) of this Agreement,

         B.       provide  Consultant access to health insurance during the Term
                  of this Agreement  that is comparable to the health  insurance
                  policy made  available to officers of the Company to a maximum
                  value of $390.00 per month,

         C.       pay  Consultant  a  referral  fee  equal to 8% of all  initial
                  franchise   fees   collected  by  the  Company  in  cash  from
                  franchisees  referred to the Company by Consultant  during the
                  Term of this Agreement,

         D.       pay  Consultant  a  commission  fee equal to $300.00  for each
                  Certified  Environmental Home Inspector fee fully collected by
                  the Company from  individuals or as part of a master franchise
                  as referred to the  Company by  Consultant  during the Term of
                  this  Agreement,  provided  Consultant  complies with standard
                  procedures outlined by management of the Company, and

         E.       the  Company  will  provide  all  sales  leads  for  Certified
                  Environmental  Home Inspector to Consultant,  this exclusivity
                  will be  terminated  if the  Consultant  fails to be timely in
                  contacting leads,

         F.       if  Company   discounts  the  Certified   Environmental   Home
                  Inspector  fee the  Consultants  commission  fee  will  not be
                  reduced. Consultant has no approval to discount any fees.

         G.       Company  shall pay fees  according  to the  following  payment
                  schedule:

                  a.       W-2  earnings  will  be  paid  as per  the  Company's
                           current payroll schedule; and
                  b.       balance of monthly fee ($6,000.00 minus W-2 earnings)
                           will be paid by the 10th day of the  month  following
                           the receipt of Consultants invoice; and
                  c.       commission  fee  will be paid on the  15th day of the
                           month  following  Company's  receipt  of  fully  paid
                           Certified Environmental Home Inspector fee.

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         H.       The Parent agrees to issue to Consultant  500,000  warrants to
                  purchase  500,000  shares of the  Parent's  common stock at an
                  exercise price of $0.75 per share and exercisable for a period
                  of five  years,  subject to  customary  adjustments  for stock
                  splits,  stock  dividends and similar  transactions  within 30
                  days of execution of this Agreement.

         I.       Each  Party  to this  Agreement  will  bear  its own  expenses
                  incurred in connection with this Agreement.

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                                                                  Exhibit 10.1

                      2007 Solutia Annual Incentive Program

This document sets forth the terms of the Solutia Annual Incentive Program (the
"Program" or the "AIP") for the year beginning January 1, 2007 and ending
December 31, 2007 (the "Performance Year").

                                     Purpose

The purpose of the Solutia Annual Incentive Program is to provide employees with
annual cash bonus opportunities to incent strong operational and financial
performance, promote the creation of enterprise value, and encourage a quick and
successful emergence from bankruptcy. The incentive award is comprised of a
performance metric and a bankruptcy emergence metric.

                       I. Calculation of Incentive Awards

Solutia Inc. (the "Company"), for purposes of the Program, is organized along
business lines (Integrated Nylon, Saflex, CPFilms, and Other Performance
Products Divisions [Other PPD], each a "Business") in order to place emphasis on
key performance parameters of each individual Business.

The size of the incentive pool available for awards pursuant to the performance
metric to those employees assigned to a specific Business will be based on the
achievement of specific objective performance parameters (each incentive pool
shall be referred to herein as a "Business Unit Incentive Pool").

For employees assigned to enterprise-wide functions ("Core Functions"), overall
enterprise performance shall determine the incentive pool available for awards
(such pool to be referred to as the "Core Function Incentive Pool").

The funding of each Business Unit Incentive Pool and the Core Function Incentive
Pool shall be 90% of all aggregate target bonuses for individuals assigned to
such pool multiplied by the weighted average of pre-established funding factor
for achievement of specific objective performance parameters relative to a
targeted performance. The target performance for each performance parameter, the
related funding factors, and the weighting of each such parameter have been
determined by the Executive Compensation and Development Committee of the
Company's Board of Directors (the "ECDC") based upon the recommendation of the
Chief Executive Officer of the Company (the "CEO").

The entirety of each Business Unit Incentive Pool or the Core Function Incentive
Pool will be allocated to awards for individuals assigned to such pools. Each
pool will be divided equally into an objective award pool and a discretionary
award pool as described below.

In addition to the Business Unit Incentive Pools and the Core Function Incentive
Pool, an overall corporate discretionary bonus pool (the "Enterprise
Discretionary Incentive Bonus Pool") shall be funded by the enterprise-level
EBITDAR performance relative to a pre-established target performance. The
funding of the Enterprise Discretionary Incentive Pool shall be 10 percent (10%)
of all aggregate target bonuses multiplied by a pre-established funding factor.
All

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participating employees will be eligible for discretionary awards from this pool
at the discretion of the CEO and the ECDC.

All bonuses based upon the performance metric will have an objective and a
discretionary portion.

      o     The objective portion of bonuses will be based strictly upon the
            objective business-unit performance for the employee's respective
            business unit relative to the pre-established target, or enterprise
            performance for Core personnel. The objective portion of bonuses
            will be equal to 45% of such individual's target bonus multiplied by
            the relevant funding factor. The objective portion of bonuses will
            come from the portion of the Business Unit Incentive Pool or the
            Core Function Incentive Pool allocated to objective awards.

      o     The discretionary portion of bonuses shall be determined by a review
            of a participant's individual performance versus set goals,
            performance in relation to peers, and according to the process
            described below. The discretionary portion of an individual
            participant's bonus may range from zero upward. The discretionary
            portion of bonuses will come from, and the aggregate of all such
            amount shall be limited by, the portion of the relevant Business
            Unit Incentive Pool or Core Function Incentive Pool allocated to
            discretionary awards or the Enterprise Discretionary Incentive Pool.

The fundamental process for determination of bonuses under the performance
metric component of the Program is as follows:

1)    The Business Unit and Core Function Incentive Pools are determined and
      funded based on Business Unit/Core performance relative to the
      pre-established targets, funding factors, and weighting. The Business Unit
      and Core Function Incentive Pools are then allocated equally to objective
      awards and discretionary awards as described above.

2)    The Enterprise Discretionary Incentive Pool is determined and funded based
      on the enterprise EBITDAR performance relative to the pre-established
      target.

3)    The objective portion of bonuses are determined and approved by the ECDC.

4)    The portion of each Business Unit Incentive Pool or Core Function
      Incentive Pool allocated to discretionary awards will be further allocated
      pro-rata and re-allocated (as appropriate) to managers within such
      Business or Core function. These managers will make individual award
      recommendations based upon individual performance compared to goals.
      Individual discretionary awards will be approved by the Business
      President, the CEO, and the ECDC.

5)    Discretionary bonuses out of the Enterprise Discretionary Bonus Pool will
      be determined at the discretion of the CEO with the advice of the
      Enterprise Leadership Team, as he deems appropriate, and approved by the
      ECDC.

6)    The ECDC shall determine the discretionary bonus for the CEO. Any
      discretionary bonus paid to the CEO in excess of 50% of the CEO's target
      bonus multiplied by the relevant funding factor shall not, at the
      discretion of the ECDC, diminish awards available under the Core Function
      Incentive Pool, the Business Unit Incentive Pool or the Enterprise
      Discretionary Bonus Pool.

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In cases where an individual is assigned to a specific Business or Core, but
supports more than one Unit, the performance metric component of the funding
will be based on the following rules:

o     Employees who support a Unit more than 50 percent of the time will receive
      that Unit's incentive factor.

o     Employees who support two Units equally will receive an average of the two
      Units' incentive factors.

o     Employees who support multiple Units (and aren't covered by the above)
      will receive the Core incentive factor.

o     Funding sources for an employee's award will be determined based on the
      number of full months spent in each function or Unit.

Each employee's actual award will also depend on individual performance in
serving all relevant functions and Units and will include input from each
respective manager.

Actual awards based on the performance metric will vary as described above based
upon achievement of Business or Core performance measures and individual
performance. Management, the CEO and the ECDC reserve the right to make no award
to individuals who exhibit below standard performance, incidents of misconduct,
etc. Employees who retire, resign, take an extended leave of absence in excess
of six months, or are terminated shall not be eligible for awards based on the
performance metric if they are not employed by Solutia on the date of payment.
Employee on a short term leave of absence (less than six months absence during
2007) may be considered for a prorated award reflecting the employee's actual
service rounded to the nearest whole month. In the event of an employee's death,
the ECDC may grant to the employee's legal representative an award reflecting
the employee's actual service to the nearest whole month.

Employees promoted, transferred, or hired into a participating position before
December 15, 2007, may be considered for an award that may be prorated
reflecting the employee's actual participation rounded to the nearest whole
month. Employees who change jobs (and incentive targets) during the year may be
considered for an award that may be prorated reflecting the employee's actual
participation in both positions to the nearest whole month.

Certain executives and other key employees shall also have a component of their
AIP comprised of an Emergence Metric related to Solutia's emergence from
bankruptcy. This metric has been included at the direction of the bankruptcy
court, in its approval of the 2006 Solutia Annual Incentive Plan. Specifically,
pursuant to the Court's order, Solutia agreed to include in the 2007 AIP "for
the Chief Executive Officer and certain of his direct reports, a metric related
to the Debtors' emergence from chapter 11 cases." Accordingly, the Emergence
Metric described herein shall be extended to Jeffry N. Quinn, Kent J. Davies,
Luc De Temmerman, James R. Voss, Jonathon P. Wright, Robert T. DeBolt, Rosemary
L. Klein, James M. Sullivan, Timothy J. Spihlman and D. John Srivisal (the
"Emergence Metric Employees").

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The incentive to be awarded hereunder to Emergence Metric Employees shall be
calculated by multiplying the eligible employee's actual bonus awarded under the
AIP (in accordance historical practices of the Company and which shall not be
less than the employee's target bonus multiplied by the relevant funding factor)
by a factor based on the Emergence Date. The multiplier factors are set forth
below as the Emergence Metric. The Emergence Metric for each Emergence Metric
Employee is based solely on objective factors, and is not discretionary.

The metrics for 2007 are set forth as follows:

                          Core Pool and Business Pools

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Unit                       Measure       Weight       Measure      Weight
-----------------------------------------------------------------------------
                                                     Enterprise
                                                      Average
                          Enterprise                  Working
Core Pool                  EBITDAR         75%        Capital %      25%
-----------------------------------------------------------------------------
                                                      Average
                                                      Working
Integrated Nylon Pool      EBITDAR         75%        Capital %      25%
-----------------------------------------------------------------------------
                           EBITDAR         50%
                                                      Average
                            Gross                     Working
Saflex Pool                Margin %        25%        Capital %      25%
-----------------------------------------------------------------------------
                                                      Average
                            Gross                     Working
CPFilms Pool                Profit         75%        Capital %      25%
-----------------------------------------------------------------------------
                                                      Average
                                                      Working
Other PPD Pool             EBITDAR         75%        Capital %      25%
-----------------------------------------------------------------------------

                       Enterprise Discretionary Bonus Pool

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

                    Unit              Measure           Weight
                --------------------------------------------------
                     All        Enterprise EBITDAR       100%
                --------------------------------------------------

Targeted performance levels and funding factors have been established by the
ECDC. Performance metrics may be adjusted, as appropriate, based on asset sales
and dispositions.

                                       4

<PAGE>
<PAGE>

                                Emergence Metric

             ---------------------------------------------------------
                                           Sullivan
                                            Klein         Wright
                Emergence        Quinn      DeBolt        Davies
                   Date                    Srivisal    De Temmerman
                                           Spihlman        Voss
             ---------------------------------------------------------
                  Q2 '07          1.5x      1.5x           1.3x
             ---------------------------------------------------------
                  Q3 '07          1.3x      1.3x           1.2x
             ---------------------------------------------------------
                  Q4 '07          1.1x      1.1x           1.1x
             ---------------------------------------------------------
               No emergence       0.8x      0.9x           1.0x
             ---------------------------------------------------------

Awards will be paid out no later than two and a half months following the
close of the calendar year 2007. An employee who has a component of their AIP
award comprised of the Emergence Metric shall be entitled to his or her award
even if his or her employment is terminated (voluntarily or involuntarily) on
or after the Emergence Date, or if the Emergence Metric Employee is terminated
without cause (as defined in his or her employment agreement) prior to the
Emergence Date. For purposes of clarification only, if an Emergence Metric
Employee is terminated (voluntarily or involuntarily) in 2007 after the
Emergence Date, the factor to be applied to his or her AIP award shall be
based on the quarter in which the Emergence Date occurred. If an Emergence
Metric Employee is terminated in 2007 without cause (as defined in his or her
employment agreement) prior to the Emergence Date, the factor to be applied to
his or her AIP award shall be based on the quarter in which employment was
terminated.

                                 II. Definitions

For the purposes of the Program the performance measures have the following
meaning:

 "Average Working Capital %" means, with respect to any specified entity, a 12
month average of customer receivables plus LIFO inventory less accounts payable,
divided by revenue, of such specified entity and its subsidiaries for the entire
12 month period, determined on a consolidated basis, in accordance with GAAP and
subject to historical internal reporting standards. Calculation of Average
Working Capital % shall exclude the impacts of fresh start accounting.

"EBITDA" means, with respect to any specified entity for any period,
consolidated net income (loss) of such specified entity and its subsidiaries for
such period, determined on a consolidated basis, in accordance with GAAP and
subject to historical internal reporting standards, excluding (without
duplication), to the extent deducted in determining consolidated net income
(loss) (a) any extraordinary, non-recurring, non-operational or non-cash gains
or losses, (b) restructuring charges, and (c) effects of discontinued
operations, plus (without duplication), in accordance with GAAP and to the
extent deducted in determining consolidated net income (loss), (i) interest
expense, and (ii) income tax expense plus, (x) depreciation expense, and (y)
amortization expense excluding amortization of deferred credits. Calculation of
EBITDA shall exclude the impacts of fresh start accounting.

"EBITDAR" means EBITDA plus, in accordance with GAAP and subject to historical
internal reporting standards, reorganization items. Calculation of EBITDAR shall
exclude the impacts of fresh start accounting.

"Emergence Date" means such date on which the Bankruptcy Court, if ever, shall
have confirmed a plan of reorganization of the Company under Chapter 11 of the
United States Bankruptcy Code (the "Chapter 11 Case") and such plan shall have
become effective; provided, however, that (a) if a confirmation hearing for the
reorganization plan is scheduled to occur in

                                       5

<PAGE>
<PAGE>

2007, but is adjourned until 2008, the Emergence Date shall be deemed to be the
date on which the hearing was originally scheduled; or (b) if the plan of
reorganization is confirmed in 2007, but becomes effective in 2008, the
Emergence Date shall be deemed to be the date the plan of reorganization was
confirmed.

 "Gross Margin %" means, with respect to any specified entity for any period,
gross margin divided by revenue of such specified entity and its subsidiaries
for such period, determined on a consolidated basis, in accordance with GAAP and
subject to historical internal reporting standards, excluding (without
duplication), to the extent deducted in determining gross margin or revenue (a)
any extraordinary, non-recurring, non-operational or non-cash gains or losses or
gains or losses from dispositions, (b) restructuring charges, and (c) effects of
discontinued operations.

"Gross Profit" means, with respect to any specified entity for any period, gross
profit determined on a consolidated basis, in accordance with GAAP and subject
to historical internal reporting standards, excluding (without duplication), to
the extent deducted in determining gross profit or revenue (a) any
extraordinary, non-recurring, non-operational or non-cash gains or losses or
gains or losses from dispositions, (b) restructuring charges, and (c) effects of
discontinued operations.

         III. Additional Information about the Annual Incentive Program

Pension and Savings and Investment Plan (SIP) Implications

For participants in the United States, the entire amount of any annual award
made for a year will become part of the earnings used to calculate your Savings
and Investment Plan (SIP) contributions, subject to IRS and SIP limits. For
participants outside the United States, the process established in your country,
pension plan or retirement program will apply.

Taxes

For U.S. participants, any award you receive under the Program is taxable as
ordinary income in the year of payment and is subject to all applicable
withholding taxes in the year paid. For participants outside the United States,
the laws of the tax jurisdiction(s) to which you are subject will apply.

                                       6

<PAGE>
<PAGE>

Legal Information

In all events, whether any cash award is made under the Program to a participant
will depend on management's recommendation and the decision of the ECDC (or its
delegate). With the exception of the Emergence Metric, all awards are subject to
the sole discretion of the ECDC or its delegate.

Nothing in this document or any other document describing or referring to the
Program shall confer any right whatsoever on any person to be considered for any
incentive commitments or awards.

This document does not purport to be complete and is subject to and governed by
actions, rules and regulations of the ECDC (or its delegate) and may be changed
or discontinued at any time without notice or liability with the exception of
the Emergence Metric. Incentive commitments and awards shall be subject to and
governed by the specific terms and conditions of this Program and the applicable
award.

Nothing in this document or any other document describing or referring to the
Program shall confer on any employee or participant the right to continue in the
employ of the Company or affect the right of the Company to terminate the
employment of any such person with or without cause.

Nothing contained herein shall require the Company to segregate any monies from
its general fund or to create any trusts, or to make any special deposits for
amounts payable to any participant.

No bonus commitment or unpaid bonus award shall be pledged or transferred except
as specifically provided for herein (such as in the case of death). If any
participant attempts to pledge, assign, transfer or otherwise alienate any
award, any obligation of the Company hereunder shall terminate.

The Company will withhold any federal, state or local, domestic or foreign taxes
as required by law or regulation or as the Company deems appropriate from any
payments that it makes to participants hereunder.

The Program is subject to the laws of the State of Delaware.

Nothing in this Program shall be deemed to modify any terms and conditions of a
participant's employment agreement.

With the exception of the emergence metric, the Program may be amended, modified
or terminated without notice by the Company at any time, including (but not
limited to) any such amendment, modification or termination that reduces or
eliminates any benefit otherwise to be paid or payable hereunder.

Administration

The program is administered by the ECDC.

                                       7

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