Document:

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EXHIBIT 10.1

                     MEMBERSHIP INTEREST PURCHASE AGREEMENT

                          DATED AS OF NOVEMBER 6 , 2003

                                 by and between

                          Penthouse International, Inc.

                                       and

                            Del Sol Investments G.P.

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                     MEMBERSHIP INTEREST PURCHASE AGREEMENT

         This MEMBERSHIP INTEREST PURCHASE AGREEMENT dated as of November 6,
2003 (this "Agreement") has been entered into by and between Penthouse
International, Inc., a Florida corporation ("Acquirer") and Del Sol Investments
G.P., a California general partnership ("Seller").

                              W I T N E S S E T H :

         A. Acquirer is engaged in the review of favorable acquisition
opportunities; and pursuant to such review, Acquirer has expressed an interest
in acquiring the membership interests (the "Membership Interests") of Del Sol
Investments LLC, an Arizona limited liability company ("Del Sol LLC") from
Seller, the owner of 100% of the outstanding membership units of Del Sol LLC;
and

         B. Del Sol LLC is the holder of 99.5% of the capital stock of Del Sol
Investments S.A. de C.V. ("Del Sol SA"), a corporation formed under the laws of
Mexico, which owns, as its sole asset, certain real estate consisting of
approximately 150 hectares acres of land with ocean frontage in the city and
harbor of Zihuatanejo, State of Guerrero, Mexico (the "Property"), as more fully
described in Section 3.11; and

         C. Del Sol S.A. is the holder of a lease for use of a portion of the
Property as a coconut plantation and cattle ranch generating approximately
$800,000 ($US) in rental each year (the "Lease") attached hereto as Exhibit 6;
and

         D. Seller has agreed to sell and Acquirer has agreed to purchase on the
terms and conditions set forth in this Agreement 100% of the membership
interests of Del Sol LLC owned by Seller; and

         In consideration of the foregoing and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the
Parties hereto agree as follows:

                                    ARTICLE I

                   EXCHANGE OF MEMBERSHIP INTERESTS INTO STOCK

         Section 1.1 EXCHANGE OF MEMBERSHIP INTERESTS. Subject to the terms and
conditions herein stated, on the Closing Date Acquirer shall purchase and
acquire from Seller, and Seller shall sell and assign to Acquirer, the 100% of
the Membership Interests for the consideration set forth in Section 1.2 (the
"Exchange").

         Section 1.2 EXCHANGE CONSIDERATION. In exchange for the Membership
Interests, Acquirer shall issue to Seller (i) ten million five hundred thousand
(10,500,000) shares of newly issued, restricted Series C Convertible Preferred
Stock of Acquirer (the "Acquirer Preferred Shares," and, together with the
Acquirer Common Shares, the "Acquirer Shares") upon the terms and conditions set
forth in the Certificate of Designation for the Acquirer Preferred Shares
attached hereto as Exhibit 3; and (ii) thirty million (30,000,000) common
shares.

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         Section 1.3 CLOSING. The closing of the transaction referred to in
Section 1.1 hereof (the "Closing") shall take place simultaneously at the Mexico
City offices of Baker & McKenzie, and Sommer & Schneider LLP on November 4,
2003, or at such other time and place as the Parties may agree upon. Such time
and date are herein referred to as the "Closing Date."

         Section 1.4 CLOSING DELIVERIES.

         (a) At the Closing, Seller shall deliver to Acquirer the following (the
"Seller Closing Deliveries"), unless waived by the Acquirer:

                  (i) certificate(s) representing the Membership Interests, duly
         endorsed in blank or accompanied by stock powers duly executed in blank
         by the registered holder or holders thereof, as of the Closing Date and
         bearing any required legend;

                  (ii) copies of all documents evidencing the ownership by Del
         Sol Investments SA de CV of the Property;

                  (iii) the articles of organization of Del Sol LLC, its
         membership register, and all minutes and resolutions of its board of
         directors;

                  (iv) the Operating Agreement of Del Sol LLC, certified by the
         Secretary of Del Sol LLC as of the Closing Date;

                  (v) resolutions of the board of directors and unanimous
         consent of the members of Del Sol LLC approving this Agreement and the
         transactions contemplated hereby, certified by the Secretary of Del Sol
         LLC as of the Closing Date;

                  (vi) an incumbency certificate, dated as of the Closing Date,
         in form reasonably satisfactory to Acquirer, executed by the Secretary
         of Del Sol LLC;

                  (vii) copies of an appraisal report of the Property completed
         in April 2003 by the registered public officer in the State of
         Guerrero; and

                  (viii) a legal opinion from Baker and McKenzie in the form
         attached hereto as EXHIBIT 7 setting forth standard opinions for a
         transaction of this type including but not limited to: (i) marketable
         title to the Property, free and clear of any liens, restrictions or
         encumbrances of any kind, except Permitted Encumbrances; (ii) valid
         existence of Seller, Del Sol LLC and Del Sol S.A.; (iii) legal
         authority of Seller to enter into this Agreement, (iv) valid existence
         of the Lease, and (v) no pending or threatened litigation against
         Seller, Del Sol LLC or Del Sol S.A., and

         (b) At the Closing, Acquirer shall deliver to Seller the following (the
"Acquirer Closing Deliveries"), unless waived by the Seller:

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                  (i) certificates(s) representing 10,500,000 shares of Series C
         Convertible Preferred Stock of the Acquirer and 30,000,000 common
         shares of Acquirer, along with appropriate stock powers and documents
         required for transfer, duly executed by the President and Secretary of
         Acquirer as of the Closing Date and bearing any required legend;

                  (ii) resolutions of the board of directors of Acquirer
         approving this Agreement and the transactions contemplated hereby,
         certified by the Secretary of Acquirer as of the Closing Date;

                  (iii) an incumbency certificate, dated as of the Closing Date,
         in form reasonably satisfactory to Seller, executed by the Secretary of
         Acquirer;

                  (iv) a fully executed Pledge Agreement, in the form attached
         hereto as EXHIBIT 1

                  (v) a fully executed Registration Rights Agreement, in the
         form attached hereto as EXHIBIT 2;

                  (vi) a fully executed Series C Preferred Stock Certificate of
         Designations, in the form attached hereto as EXHIBIT 3, with evidence
         satisfactory to Seller that such Certificate of Designations has been
         filed with the Secretary of State of the State of Florida; and

                  (vii) a fully executed Consulting Agreement with ANL Capital
         GP as set forth in the Consulting Agreement attached hereto Exhibit 5

                                   ARTICLE II

                           REPRESENTATIONS OF ACQUIRER

         Acquirer hereby represents and warrants as follows:

         Section 2.1 ACQUIRER SHARES. The Acquirer Shares are free and clear of
all Encumbrances, other than the Encumbrance, if any, that may arise by the
execution by Acquirer of this Agreement. The delivery to Seller of the Acquirer
Shares pursuant to the provisions of this Agreement will transfer to Seller
valid title thereto, free and clear of any and all Encumbrances. As of the
Closing Date, the Acquirer Shares will have been duly authorized, validly
issued, fully paid and non-assessable.

         Section 2.2 AUTHORIZATION AND VALIDITY OF AGREEMENT. Acquirer has full
corporate power and authority to execute and deliver this Agreement, to perform
its obligations hereunder and to consummate the transactions contemplated
hereby. This Agreement has been duly executed and delivered by Acquirer and,
assuming the due execution of this Agreement by the other parties hereto, is a
valid and binding obligation of Acquirer, enforceable against Acquirer in
accordance with its terms, except to the extent that its enforceability may be
subject to applicable bankruptcy, insolvency, reorganization and similar laws
affecting the enforcement of creditors' rights generally and to general
equitable principles.

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         Section 2.3 CONSENTS AND APPROVALS; NO VIOLATIONS. The execution and
delivery of this Agreement by Acquirer and the consummation by Acquirer of the
exchange of the Membership Interests and the issuance of the Acquirer Shares,
each as contemplated herein and the other transactions contemplated hereby (a)
will not violate the provisions of the articles of incorporation or bylaws of
Acquirer , (b) will not violate any statute, rule, regulation, order or decree
of any Governmental Authority by which Acquirer is or any of their respective
properties or assets are bound, (c) will not require Acquirer to make any filing
with, or obtain any permit, consent or approval from, or give any notice to, any
Governmental Authority on or prior to the Closing Date, and (d) will not result
in a violation or breach by Acquirer , conflict with, constitute (with or
without due notice or lapse of time or both) a default by Acquirer (or give rise
to any right of termination, cancellation, payment or acceleration against
Acquirer ) under, or result in the creation of any Encumbrance upon any of the
properties or assets of Acquirer under, the terms, conditions or provisions of
any Material Instrument of Acquirer.

         Section 2.4 EXISTENCE AND GOOD STANDING. Acquirer is a corporation duly
organized, validly existing and in good standing under the laws of its state of
incorporation and has all requisite corporate power and authority to own, lease
and operate its properties and to carry on its business as now being conducted.
Acquirer is duly qualified or licensed as a foreign corporation to conduct its
business, and is in good standing in each jurisdiction in which the character or
location of the property owned, leased or operated by it or the nature of the
business conducted by it makes such qualification necessary, except where the
failure to be so duly qualified or licensed would not have a Material Adverse
Effect.

         Section 2.5 CAPITAL STOCK. Acquirer has an authorized capitalization
consisting of 250,000,000 shares of common stock, par value $.0025 per share, of
which 151,600,000 shares are issued and outstanding, and 20,000,000 shares of
preferred stock, par value $.0025 per share, of which 5,000 Series A Preferred
Shares are outstanding in addition to the Acquirer Preferred Shares. All such
outstanding shares have been duly authorized and validly issued in accordance
with applicable laws, including, without limitation, the anti-fraud provisions
of applicable federal and state securities laws, and are fully paid and
nonassessable.

         Section 2.6 FINANCIAL STATEMENTS. The consolidated balance sheet of
Acquirer as at December 31, 2002 and the related statements of income and cash
flows for the year then ended, as well as the unaudited consolidated balance
sheet of the Acquirer as of June 30, 2003, have been filed with the SEC (the
"Acquirer Financial Statements"). The Acquirer Financial Statements, including
the footnotes thereto, and all financial statements contained in any Acquirer
SEC Reports (defined in Section 2.7 below) have been prepared in accordance with
generally accepted accounting principles and fairly and accurately present in
all material respects the financial position of Acquirer and the results of its
operations and cash flows at such dates and for such periods. Since June 30,
2003, there has been no material adverse change in the financial condition,
operations, or business of Acquirer.

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         Section 2.7 SECURITIES FILINGS. Since the initial filing of the
registration statement on Form SB-2 by Acquirer, and prior to the execution and
delivery of this Agreement, Acquirer has filed all forms, reports, statements
and other documents required to be filed with the SEC and all state securities
regulatory agencies, if any, including, without limitation, (A) all Annual
Reports on Form 10-KSB, (B) all Quarterly Reports on Form 10-QSB, and (C) all
other reports or registration statements (collectively, the "Acquirer SEC
Reports"). The Acquirer SEC Reports (i) were prepared in all material respects
in accordance with the requirements of the Securities Act and the Exchange Act,
and the rules and regulations of the SEC thereunder applicable to such Acquirer
SEC Reports and (ii) did not at the time they were filed and as of the date
hereof, and, with respect to registration statements as of their effective
dates, contain any untrue statement of a material fact or omit to state a
material fact required to be stated therein or necessary in order to make the
statements therein, in the light of the circumstances under which they were
made, not misleading.

         Section 2.8 INVESTOR STATUS. Acquirer is an "accredited investor"
within the meaning of Rule 501 of Regulation D under the Securities Act. The
Membership Interests included within the Exchange Consideration have not been
offered to Acquirer by means of any general solicitation or general advertising.

         Section 2.9. Upon the execution and delivery of this Agreement, and
consummation of the transactions contemplated hereby, all the Acquirer Shares
included within the Exchange Consideration shall be duly authorized, validly
issued, fully paid and nonassessable.

         Section 2.10 RESTRICTED SECURITIES. Acquirer understands that the
Membership Interests included within the Exchange Consideration are "restricted
securities" under the Securities Act inasmuch as they are being acquired in a
transaction not involving a public offering and that under the Securities Act
and applicable regulations thereunder such securities may be resold without
registration under the Securities Act only in certain limited circumstances. In
this connection, Acquirer represents that it is familiar with Rule 144
promulgated under the Securities Act, as presently in effect, and understands
the resale limitations imposed thereby and by the Securities Act. Acquirer
understands that Seller is under no obligation to register any of the securities
sold hereunder.

         Section 2.11 BROKER'S OR FINDER'S FEES. ANL Capital is entitled to a
fee in connection with any of the transactions contemplated herein equal to ten
percent (10%) as set forth in the Consulting Agreement attached hereto Exhibit
5.

         Section 2.12. ABSENCE OF LITIGATION. With the exception of a formal
inquiry by the SEC in connection with the presentation of the Company's
financial statements and revenue recognition in a prior period as further set
forth in the Company's 8K and 10Q filings, there is no action, suit or
proceeding or, to the Acquirer's knowledge, any investigation, pending, or to
the Acquirer's knowledge, threatened against the Acquirer and in which an
unfavorable outcome, ruling or finding in any said matter, or for all matters
taken as a whole, would have a material adverse effect. There is not pending or
threatened any such action, suit, proceeding or investigation that questions
this Agreement or the right of the Acquirer to execute, deliver and perform
under same.

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                                   ARTICLE III

                            REPRESENTATIONS OF SELLER

         Seller represents and warrants as follows:

         Section 3.1 MEMBERSHIP INTERESTS. Upon the execution and delivery of
this Agreement, and the consummation of the transactions contemplated hereby,
all the Membership Interests included within the Exchange Consideration shall be
duly authorized, validly issued, fully paid and nonassessable, free and clear of
any liens, restrictions or encumbrances of any kind.

         Section 3.2 AUTHORIZATION AND VALIDITY OF AGREEMENT. Seller has full
power and authority, corporate or otherwise, to execute and deliver this
Agreement, to perform its obligations hereunder and to consummate the
transactions contemplated hereby. This Agreement has been duly executed and
delivered by Seller and, assuming the due execution of this Agreement by the
other parties hereto, is a valid and binding obligation of Seller, enforceable
against Seller in accordance with its terms, except to the extent that its
enforceability may be subject to applicable bankruptcy, insolvency,
reorganization and similar laws affecting the enforcement of creditors' rights
generally and to general equitable principles.

         Section 3.3 CONSENTS AND APPROVALS; NO VIOLATIONS. The execution and
delivery of this Agreement by Seller and the consummation by Seller of the
transactions contemplated hereby (a) will not violate the provisions of the
certificate of incorporation or bylaws, or any other organizational documents of
Seller, (b) will not violate any statute, rule, regulation, order or decree of
any Governmental Authority by which Seller is or any of its properties or assets
are bound, (c) will not require Seller to make any filing with, or obtain any
permit, consent or approval from, or give any notice to, any Governmental
Authority on or prior to the Closing Date, and (d) will not result in a
violation or breach by Seller of, conflict with, constitute (with or without due
notice or lapse of time or both) a default by Seller (or give rise to any right
of termination, cancellation, payment or acceleration against Seller) under, or
result in the creation of any Encumbrance upon any of the properties or assets
of the Seller under, any of the terms, conditions or provisions of any Material
Instrument of Seller.

         Section 3.4 EXISTENCE AND GOOD STANDING. Seller is a general
partnership duly organized, validly existing and in good standing under the laws
of the State of California and has all requisite partnership power and authority
to own, lease and operate its properties and to carry on its business as now
being conducted. Seller is duly qualified or licensed as a foreign entity to
conduct its business, and is in good standing in each jurisdiction in which the
character or location of the property owned, leased or operated by it or the
nature of the business conducted by it makes such qualification necessary,
except where the failure to be so duly qualified or licensed would not have a
Material Adverse Effect. Del Sol LLC and Del Sol SA are each duly organized,
validly existing and in good standing under the laws of their respective
jurisdictions of organization and have all requisite partnership power and
authority to own, lease and operate its properties and to carry on its business
as now being conducted. Each of Del Sol LLC and Del Sol SA are duly qualified or
licensed as a foreign entity to conduct its business, and is in good standing in
each jurisdiction in which the character or location of the property owned,
leased or operated by it or the nature of the business conducted by it makes
such qualification necessary, except where the failure to be so duly qualified
or licensed would not have a Material Adverse Effect.

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         Section 3.5 LITIGATION. There are no (i) actions, suits or legal,
equitable, arbitrative or administrative proceedings pending, or to the
Knowledge of Seller, threatened against Del Sol LLC or Del Sol SA, nor, to the
Knowledge of Seller, is there any basis for any of the foregoing or (ii)
judgments, injunctions, writs, rulings or orders by any Governmental Authority
against Seller.

         Section 3.6 TAXES. Seller has filed all Tax Returns that are required
to be filed by it on behalf of Del Sol LLC and Del Sol SA. All such Tax Returns
are correct and complete in all respects. Seller has paid all taxes due pursuant
to such returns or otherwise or pursuant to any assessment received by it in
writing and all other related penalties and charges on a timely basis other than
those being contested in good faith and by appropriate proceedings. No claim has
ever been made by a governmental authority in a jurisdiction where Del Sol LLC
or Del Sol SA does not file Tax Returns that it is or may be subject to taxation
by that jurisdiction. Seller has not requested or obtained any extension of time
within which to file any Tax Return on behalf of Del Sol LLC or Del Sol SA,
which Tax Return has not since been filed. There are no Encumbrances on any of
the assets of Del Sol LLC or Del Sol SA that arose in connection with any
failure (or alleged failure) to pay any tax. Seller has not given or been
requested to give a waiver of the statute of limitations relating to the payment
of Federal or other taxes, including but not limited to any taxes that may be
due in Mexico.

         Section 3.7 INVESTMENT EXPERIENCE. The Acquirer Shares have not been
offered to Seller by means of any general solicitation or general advertising.
Seller understands that the acquisition of the Acquirer Shares involves
substantial risk. Seller has, or is relying on the professional advisors who
have, experience in investing in securities of companies and such knowledge and
experience in financial or business matters that it is capable of evaluating the
merits and risks of this investment in the Acquirer Shares and protecting its
own interests in connection with this investment. Seller acknowledges that it
can bear the economic risk of its investment in the Acquirer Shares.

         Section 3.8 RESTRICTED SECURITIES. Seller understands that the Acquirer
Shares are characterized as "restricted securities" under the Securities Act
inasmuch as they are being acquired in a transaction not involving a public
offering and that under the Securities Act and applicable regulations thereunder
such securities may be resold without registration under the Securities Act only
in certain limited circumstances. In this connection, Seller represents that it
is familiar with Rule 144 promulgated under the Securities Act, as presently in
effect, and understands the resale limitations imposed thereby and by the
Securities Act. Seller understands that no public market now exists for any of
the Acquirer Preferred Shares, and no liquid public market exists for any of the
Acquirer Shares, and that it is uncertain whether a public market will ever
exist for the Acquirer Preferred Shares or a liquid public market will every
exist for the Acquirer Common Shares.

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         Section 3.9 BROKER'S OR FINDER'S FEES. No agent, broker, firm or other
person acting on behalf of Seller is, or will be, entitled to any commission or
broker's or finder's fees from Acquirer in connection with any of the
transactions contemplated herein.

         Section 3.10 ENCUMBRANCES. A preexisting first priority security
interest in the Property has been granted to two third parties pursuant to a
Promissory Notes and mortgage in the amount of $3.5 Million, a copy of which is
attached hereto as EXHIBIT 4 (the "Permitted Encumbrances").

         Section 3.11 REAL PROPERTY. The sole asset of Del Sol LLC is its 99.5%
ownership interest in Del Sol SA. The sole asset of Del Sol SA is real property
more fully described by Public Deeds Number 2.424 dated on June 10, 1998,
granted before Mr. Bolivar Navarrete Heredia notary public no. 1 of the Judicial
District of Azueta, Guerrero, Mexico, the first notarial copy of which was
registered on September 25, 1998, under real estate folio no. 547 at the Public
Registry of Property of the District of Azueta, State of Guerrero, Mexico,
Ubaldina Rios Pena acquired by virtue of sale and purchase agreement, from
Rogaciano Alba Alvarez and his wife Arminda de la Cruz Sanchez, the rural real
estate denominated "Poza del Lagarto", located at the Cattle Ranch of
Atoyaquillo, also named the Cattle Ranch "De las Penas", Municipality of
Petatlan, State of Guerrero, Mexico with a total surface of 150-85-00 hectares,
and measurements and boundaries indicated in the precedent of ownership stated
in the public deed described in paragraph (i) herein, a copy of which is
attached hereto as Exhibit "B-1",

         Section 3.12 INVESTOR STATUS. Acquirer is an "accredited investor"
within the meaning of Rule 501 of Regulation D under the Securities Act. The
Membership Interests included within the Exchange Consideration have not been
offered to Acquirer by means of any general solicitation or general advertising.

         Section 3.13 CAPITAL STOCK. The authorized capital stock of the Del Sol
LLC consists of 100,000 Units, consisting of 100% of the issued and outstanding
Units of Del Sol LLC (the "Units") and such number will remain as such through
the Closing Date. The terms, preferences and privileges of the outstanding Units
of Membership Interests are set forth in the Del Sol LLC's Articles of
Organization (the "Articles"). There are no existing options, warrants, calls,
preemptive (or similar) rights, subscriptions or other rights, agreements,
arrangements or commitments of any character obligating the Del Sol LLC to
issue, transfer or sell, or cause to be issued, transferred or sold, any Units
of the Del Sol LLC or other equity interests in Del Sol LLC or any securities
convertible into or exchangeable for such Units or other equity interests
(collectively, "Securities"), and there are no outstanding contractual
obligations of the Del Sol LLC to repurchase, redeem or otherwise acquire any
shares of its Units or other equity interests. No holder of any Securities of
the Del Sol LLC has any outstanding registration rights.

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         Section 3.14 FINANCIAL STATEMENTS. The consolidated balance sheet of
Del Sol LLC and Del Sol SA as at December 31, 2002 and the related statements of
income and cash flows for the year then ended, as well as the unaudited
consolidated balance sheet of the Del Sol LLC and Del Sol SA as of September 30,
2003, (the "Del Sol LLC Financial Statements") including the footnotes thereto,
and all financial statements contained in the Del Sol LLC Financial Statements
have been prepared in accordance with generally accepted accounting principles
and fairly and accurately present in all material respects the financial
position of Del Sol LLC and the results of its operations and cash flows at such
dates and for such periods. Since September 30, 2003, there has been no material
adverse change in the financial condition, operations, or business of Del Sol
LLC.

         Section 3.15 TITLE TO PROPERTY. Del Sol LLC and Del Sol SA have good,
valid and marketable title to all of the Property or other assets of Del Sol LLC
and Del Sol SA free and clear of all liens, pledges, security interests,
charges, claims, restrictions and other encumbrances and defects of title of any
nature whatsoever, except the Permitted Encumbrances. Seller has the
unrestricted right to sell its Membership Interests and has good, valid and
marketable title to 100% of the Membership Interests free and clear of all
liens, pledges, security interests, charges, claims, restrictions and other
encumbrances and defects of title of any nature whatsoever.

         Section 3.16 LEASE. The Lease is a legal, valid and binding agreement
enforceable in accordance with its terms, except as such enforceability may be
limited by bankruptcy, insolvency, moratorium, or similar laws now or hereafter
in effect relating to or limiting creditors' rights generally and to the
knowledge of Seller, the parties thereto are in compliance with the provisions
thereof, no party has made or received any prepayments or credits with respect
thereto, to the knowledge of Seller, no party is in default in the performance,
observance or fulfillment of any material obligation, covenant or condition
contained therein, and to the knowledge of Seller, no event has occurred which
with or without the giving of notice or lapse of time, or both, would constitute
a default thereunder.

         Section 3.17 ENVIRONMENTAL.

                  (a) Seller, Del Sol LLC and Del Sol SA have not discharged or
caused to be discharged, on, under or about any facility of its business,
including without limitation into the ambient air, surface water, groundwater,
land surface, or subsurface strata, any solvents, pollutants, chemicals,
flammables, contaminants, gasoline, petroleum products, crude oil, explosives,
radioactive materials, hazardous materials or other hazardous or toxic
materials, substances, or wastes, or polychlorinated biphenyls or related or
similar materials, asbestos or any material containing asbestos, (collectively,
the "Hazardous Substances").

                  (b) Seller, Del Sola LLC and Del Sol SA have not used any
facility owned or leased by it to generate, manufacture, refine, transport,
treat, store, handle, dispose, transfer, produce, process or in any manner deal
with Hazardous Substances, except in compliance with applicable Environmental
Laws, as defined herein, including, but not limited to any applicable federal,
state or local governmental law, rule, regulation or ordinance, including,
without limitation, the Comprehensive Environmental Response, Compensation, and
Liability Act of 1980, as amended (42 U.S.C. Sections 9601, et seq.), the
Hazardous Materials Transportation Act, as amended (49 U.S.C. Section 1801, et
seq.), the Resource Conservation and Recovery Act, as amended (42 U.S.C.
Sections 6901 et seq.), the Federal Water Pollution Control Act, as amended (33
U.S.C. Sections 1251 et seq.), the Clean Air Act, as amended (42 U.S.C. Sections
7401 et seq.) the Toxic Substances Control Act, as amended (15 U.S.C. Sections
2601 et. seq.), the Clean Water Act, as amended (33 U.S.C. Sections 1251 et.
seq.) and all similar environmental laws of the country of Mexico (collectively
all such laws, rules, ordinances or regulations called herein, "Environmental
Laws");

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                  (c) Seller, Del Sol LLC and Del Sol SA have obtained all
required registrations, permits, licenses, and other authorizations which are
required under federal, state and local laws and regulations relating to
pollution or protection of the environment, including but not limited to all
Environmental Laws and including all laws relating to emissions, discharges,
releases, or threatened releases of Hazardous Substances or otherwise relating
to the manufacture, processing, distribution, use, treatment, storage, disposal,
transport or handling of Hazardous Substances;

                  (d) Seller, Del Sol LLC and Del Sol SA are in compliance in
all material respects with all terms and conditions of such required
registrations, permits, licenses and authorizations, and is also in compliance
with all other limitations, restrictions, conditions, standards, prohibitions,
requirements, obligations, schedules and timetables contained in the
Environmental Laws or contained in any regulation, code, plan, order, decree,
judgment, injunction, notice or demand letter issued, entered, promulgated or
approved thereunder;

                  (e) there is no civil, criminal, or administrative action,
suit, demand, claim, hearing, notice of violation, investigation, proceeding,
notice or demand letter pending, or threatened relating in any way to (i) the
Environmental Laws or any regulation, code, plan, order, decree, judgment,
injunction, notice or demand letter applicable to it issued, entered,
promulgated, or approved thereunder, or (ii) relating to the release into the
environment by Seller, Del Sol LLC or Del Sol SA of any Hazardous Substances
whether or not occurring at or on a site owned, leased or operated by Del Sol
LLC or Del Sol SA; and

                  (f) Seller has timely filed all reports, obtained all required
approvals, generated and maintained all required data, documentation and records
required by the Environmental Laws or any regulation, code, plan, order, decree,
judgment, injunction, notice or demand letter issued, entered, promulgated, or
approved thereunder.

         Section 3.18 EMPLOYEE MATTERS. Del Sol LLC and Del Sol SA have no
employees and have never had any employees, pension, profit sharing, bonus,
disability, welfare or group insurance, deferred compensation, stock option,
paid vacation or other presently effective employee benefit plans, agreements or
commitments, written or oral (if any), ("Employee Benefit Plans").

         Section 3.19 RECEIVABLES. All receivables of Del Sol LLC and Del Sol SA
(including accounts receivable, loans receivable and advances) that are
reflected in the Del Sol LLC Financial Statements and all such receivables which
will have arisen since the date thereof, shall have arisen only from bona fide
transactions in the ordinary course of business and shall be (or have been)
fully collected when due, or in the case of each account receivable within 90
days after it arose, without resort to litigation, in the aggregate face amounts
thereof.

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         Section 3.20 COMPLIANCE WITH APPLICABLE LAWS. Seller, Del Sol LLC and
Del Sol SA have complied with all laws, regulations, injunctions, decrees and
orders applicable to their business and have received no written notice of any
alleged violation of any such law, regulation, injunction, decree or order for
which the failure to comply would, in any individual case or in the aggregate,
have an adverse effect on the business. Neither the ownership or the use of the
Property in the business nor the conduct of the business conflicts with the
rights of any other person, firm or corporation or violates, with or without the
giving of notice or the passage of time, or both, or will violate, conflict with
or result in a default, right to accelerate or loss of rights under, any terms
or provisions of its Articles of Incorporation or By-Laws as presently in
effect, or any lien, encumbrance, mortgage, deed of trust, lease, license,
agreement, understanding, law, ordinance, rule or regulation, or any order,
judgment or decree to which Seller, Del Sol LLC or Del Sol SA is a party or by
which any of them may be bound or affected.

         Section 3.21 NO UNDISCLOSED LIABILITIES. To the Seller's knowledge, the
business of Del Sol LLC and Del Sol SA have no liability of any nature other
than the Permitted Encumbrances.

         Section 3.22 DISCLOSURE. No representation or warranty by Seller
contained in this Agreement, nor any statement or certificate furnished or to be
furnished by Seller to Acquirer or its representatives in connection herewith or
pursuant hereto, contains or will contain any untrue statement of material fact,
or omits to state any material fact required to make the statements herein or
therein contained not misleading or necessary in order to provide a prospective
Acquirer of the Membership Interests with adequate information as to Del Sol LLC
and Del Sol SA and its condition (financial and otherwise), properties, assets,
liabilities, and business, and Del Sol LLC and Del Sol SA have disclosed to
Acquirer in writing all material adverse facts known to them relating to the
same. The representation and warranties contained in this Section 3 or elsewhere
in this Agreement or any document delivered pursuant hereto shall not be
affected or deemed waived by reason of the fact that Acquirer and/or its
representative knew or should have known that any such representation or
warranty is or might be inaccurate in any respect.

                                   ARTICLE IV

                               CERTAIN AGREEMENTS

         Section 4.1 REASONABLE BEST EFFORTS. Each of the Parties hereto agrees
to use its commercially reasonable best efforts to take, or cause to be taken,
all action to do or cause to be done, and to assist and cooperate with the other
Party hereto in doing, all things necessary, proper or advisable to consummate
and make effective, in the most expeditious manner practicable, the transactions
contemplated by this Agreement, including the obtaining of any required waiver,
consent or approval from, the giving of any required notice to, and the making

                                       12
<PAGE>

of any required registration or filing with, any Governmental Authority and the
obtaining of any required waiver, consent, or approval from and the giving of
any required notice or disclosure to stockholders and other third Parties;
PROVIDED, HOWEVER, that no Party shall be required to expend any funds to defend
any lawsuit seeking to have any temporary restraining order entered by any court
or administrative authority vacated or reversed or any other legal proceeding,
whether judicial or administrative, challenging this Agreement or the
consummation of the transactions contemplated hereby.

         Section 4.2 TAX MATTERS. Each Party hereto shall take all reasonable
actions necessary to cause the transfer of the Acquirer Shares and the
Membership Interests and any other property transferred to Acquirer or Seller to
qualify as a tax-free transfer of property under the provisions of Section
351(a) of the Code, or any similar provisions, to the extent permitted by law.
Each Party agrees that it will not take any action, either before or after the
Closing Date, which would cause the transfer of such property to Seller and/or
Acquirer pursuant to this Agreement to fail to qualify as transfer described in
Section 351(a) of the Code. The Parties hereto agree that they will report in
their respective federal income Tax Returns for the taxable year including the
Closing Date that the transfers of such property did so qualify under Section
351(a) of the Code, and will properly file with such Tax Returns all information
required by Treasury Regulations Section 1.351-3. No Party hereto, unless
required by law, will take any Tax reporting position inconsistent with the
characterization of the transactions contemplated by this Agreement as transfer
described in Section 351(a) of the Code.

         Section 4.3 DIRECTOR POSITION. The Acquirer shall cause Dr. Enrique
Fernando Molina, or his designee, to immediately be granted a seat on the Board
of Directors of the Acquirer.

                                    ARTICLE V

                      CONDITIONS TO ACQUIRER'S OBLIGATIONS

         Acquirer's obligation to consummate the Exchange at the Closing is
conditioned upon the satisfaction or waiver, on or before the Closing Date, of
the following conditions:

         Section 5.1 TRUTH OF REPRESENTATIONS AND WARRANTIES. The
representations and warranties of Seller contained in this Agreement shall be
true and correct in all material respects on and as of the Closing Date with the
same effect as though such representations and warranties have been made on and
as of such date (except to the extent that any such representation and warranty
is stated in this Agreement to be made as of a specific date, in which case such
representation and warranty shall be true and correct as of such specified
date).

         Section 5.2 CLOSING DELIVERIES. Each and all of the Acquirer Closing
Deliveries shall have been made in accordance with Section 1.4 hereof.

                                       13
<PAGE>

         Section 5.3 PERFORMANCE OF COVENANTS. Each and all of the covenants of
Seller to be performed at or prior to the Closing Date pursuant to the terms
hereof shall have been duly performed in all material respects.

         Section 5.4 NO INJUNCTION. No Government Authority shall have issued an
order which shall then be in effect restraining or prohibiting the completion of
the transactions contemplated hereby.

         Section 5.5 NO LITIGATION. There shall not be any action, suit or
proceeding pending or threatened that seeks to (i) make the consummation of the
transactions contemplated hereby illegal or otherwise restrict or prohibit
consummation thereof or (ii) impose any material limitation on the ability of
Acquirer, Seller or Seller to conduct their respective business or to own or
exercise control of any of their respective assets, properties or stock and
which (in the reasonable, good faith determination of Acquirer) has a
significant likelihood of having a Material Adverse Effect on Acquirer.

                                   ARTICLE VI

                       CONDITIONS TO SELLER'S OBLIGATIONS

                  Seller's obligation to consummate the Exchange at the Closing
is conditioned upon the satisfaction or waiver, on or before the Closing Date,
of the following conditions:

         Section 6.1 TRUTH OF REPRESENTATIONS AND WARRANTIES. The
representations and warranties of Acquirer and Seller contained in this
Agreement shall be true and correct in all material respects on and as of the
Closing Date with the same effect as though such representations and warranties
had been made on and as of such date.

         Section 6.2 CLOSING DELIVERIES. Each and all of the Seller and Acquirer
Closing Deliveries shall have been made in accordance with Section 1.4 hereof.

         Section 6.3 PERFORMANCE OF COVENANTS. Each and all of the covenants of
Acquirer and Seller to be performed at or prior to the Closing Date pursuant to
the terms hereof shall have been duly performed in all material respects.

         Section 6.4 NO INJUNCTION. There shall not be any action, suit or
proceeding pending or threatened that seeks to (i) make the consummation of the
transactions contemplated hereby illegal or otherwise restrict or prohibit
consummation thereof or (ii) impose any material limitation on the ability of
(a) Acquirer, Seller or Seller to conduct their respective businesses or (b)
Acquirer, Seller or Seller to own or exercise control of their assets,
properties or stock and which (in the reasonable, good faith determination of
Seller) has a significant likelihood of having a Material Adverse Effect on
Acquirer, Seller or Seller.

         Section 6.5 NO ENCUMBRANCES. There shall be no Encumbrances on any of
the Acquirer Shares.

                                       14
<PAGE>

         Section 6.6 TAX-FREE TRANSACTION. Seller shall be satisfied, in its
sole discretion, that the Exchange shall qualify for non-recognition of gain
pursuant to Section 351(a) of the Code so that the transfer of the Acquirer
Shares shall not result in any tax liability to Seller.

                                   ARTICLE VII

                  SURVIVAL OF REPRESENTATIONS; INDEMNIFICATION

         Section 7.1 SURVIVAL OF REPRESENTATIONS. The representations and
warranties set forth in this Agreement shall survive for three years after the
Closing Date, except that the representations and warranties of Sections 3.1
(Membership Interests), 3.2 (Authorization and Validity of Agreement), 3.4
(Existence and Good Standing) 3.15 (Title to Property), 3.17 (Environmental),
and 7.1 (Survival of Representations and Warranties) shall be perpetual.
Notwithstanding anything to the contrary herein, there shall be no limitation on
the term of survival of any representation or warranty made by Seller as
contained in this Agreement in the event of fraud or intentional
misrepresentation on the part of Seller. The Closing of the transactions
contemplated hereby shall be deemed conclusive evidence of the satisfaction or
waiver of any condition to Closing.

         Section 7.2 INDEMNITIES.

                  (a) Each party to this Agreement hereby agrees to indemnify
and hold harmless each of the other parties to this Agreement, and their
respective officers, directors, attorneys, accountants and consultants from and
against any and all Damages actually suffered or paid by any of such Persons as
a result of the breach of any representation or warranty made by such
indemnifying party in this Agreement. To the extent that any party's
undertakings set forth in this Section 7.2(a) may be unenforceable, such party
shall contribute the maximum amount that they are permitted to contribute under
applicable law to the payment and satisfaction of all Damages incurred by any
Person entitled to indemnification hereunder.

                  (b) Any Person seeking indemnification under this Article VII
(an "Indemnified Party") shall give each Party from whom indemnification is
being sought (each, an "Indemnifying Party") notice of any matter for which such
Indemnified Party is seeking indemnification, stating the amount of the Damages,
if known, and method of computation thereof, and containing a reference to the
provisions of this Agreement in respect of which such right of indemnification
is claimed or arises. The obligations of an Indemnifying Party under this
Article VII with respect to Damages arising from any claims of any third party
which are subject to the indemnification provided for in this Article VII
(collectively, "Third Party Claims") shall be governed by and contingent upon
the following additional terms and conditions: if an Indemnified Party shall
receive, after the Closing Date, initial notice of any Third Party Claim, the
Indemnified Party shall give the Indemnifying Party notice of such Third Party
Claim within such time frame as is necessary to allow for a timely response and
in any event within 30 days of the receipt by the Indemnified Party of such
notice; provided, however, that the failure to provide such timely notice shall
not release the Indemnifying Party from any of its obligations under this
Article VII except to the extent the Indemnifying Party is materially prejudiced

                                       15
<PAGE>

by such failure. The Indemnifying Party shall be entitled to assume and control
the defense of such Third Party Claim at its expense and through counsel of its
choice if it gives notice of its intention to do so to the Indemnified Party
within 30 days of the receipt of such notice from the Indemnified Party;
provided, however, that if there exists or is reasonably likely to exist a
conflict of interest that would make it inappropriate in the reasonable judgment
of the Indemnified Party (upon advice of counsel) for the same counsel to
represent both the Indemnified Party and the Indemnifying Party, then the
Indemnified Party shall be entitled to retain its own counsel, at the expense of
the Indemnifying Party, provided that the Indemnified Party and such counsel
shall contest such Third Party Claims in good faith. In the event the
Indemnifying Party exercises the right to undertake any such defense against any
such Third Party Claim as provided above, the Indemnified Party shall cooperate
with the Indemnifying Party in such defense and make available to the
Indemnifying Party, at the Indemnifying Party's expense, all witnesses,
pertinent records, materials and information in the Indemnified Party's
possession or under the Indemnified Party's control relating thereto as is
reasonably required by the Indemnifying Party. Similarly, in the event the
Indemnified Party is, directly or indirectly, conducting the defense against any
such Third Party Claim, the Indemnifying Party shall cooperate with the
Indemnified Party in such defense and make available to the Indemnified Party,
at the Indemnifying Party's expense, all such witnesses, records, materials and
information in the Indemnifying Party's possession or under the Indemnifying
Party's control relating thereto as is reasonably required by the Indemnified
Party. The Indemnifying Party shall not, without the written consent of the
Indemnified Party, (i) settle or compromise any Third Party Claim or consent to
the entry of any judgment which does not include as an unconditional term
thereof the delivery by the claimant or plaintiff to the Indemnified Party of a
written release from all liability in respect of such Third Party Claim or (ii)
settle or compromise any Third Party Claim in any manner that may adversely
affect the Indemnified Party. No Third Party Claim which is being defended in
good faith by the Indemnifying Party or which is being defended by the
Indemnified Party as provided above in this Section 7.2(c) shall be settled by
the Indemnified Party without the written consent of the Indemnifying Party.

                                  ARTICLE VIII

                                  MISCELLANEOUS

         Section 8.1 EXPENSES. Except as otherwise provided in this Agreement,
each Party to this Agreement will bear its respective fees and expenses incurred
in connection with the preparation, negotiation, execution and performance of
this Agreement and the transactions contemplated herein. If this Agreement is
terminated, the obligation of each Party to pay its own fees and expenses will
be subject to any rights of such Party arising from a breach of this Agreement
by another Party.

         Section 8.2 WAIVER; REMEDIES CUMULATIVE. The rights and remedies of the
Parties to this Agreement are cumulative and not alternative. Neither any
failure nor any delay by any Party in exercising any right, power or privilege
under this Agreement or any of the documents referred to in this Agreement will
operate as a waiver of such right, power or privilege, and no single or partial
exercise of any such right, power or privilege will preclude any other or
further exercise of such right, power or privilege or the exercise of any other
right, power or privilege. To the maximum extent permitted by applicable law,
(a) no claim or right arising out of this Agreement or any of the documents

                                       16
<PAGE>

referred to in this Agreement can be discharged by one Party, in whole or in
part, by a waiver or renunciation of the claim or right unless in writing signed
by the other Party; (b) no waiver that may be given by a Party will be
applicable except in the specific instance for which it is given; and (c) no
notice to or demand on one Party will be deemed to be a waiver of any obligation
of that Party or of the right of the Party giving such notice or demand to take
further action without notice or demand as provided in this Agreement or the
documents referred to in this Agreement.

         Section 8.3 ENTIRE AGREEMENT AND MODIFICATION. This Agreement
supersedes all prior agreements, whether written or oral, between the Parties
with respect to its subject matter and constitutes (along with the Exhibits and
other documents delivered pursuant to this Agreement) a complete and exclusive
statement of the terms of the agreement between the Parties with respect to its
subject matter. This Agreement may not be amended, supplemented, or otherwise
modified except by a written agreement executed by the Party to be charged with
the amendment.

         Section 8.4 ASSIGNMENTS, SUCCESSORS AND NO THIRD-PARTY RIGHTS. No Party
may assign any of its rights or delegate any of its obligations under this
Agreement without the prior written consent of the other Parties. Subject to the
preceding sentence, this Agreement will apply to, be binding in all respects
upon and inure to the benefit of the successors and permitted assigns of the
Parties. Except with respect to Article VII, nothing expressed or referred to in
this Agreement will be construed to give any Person other than the Parties to
this Agreement any legal or equitable right, remedy or claim under or with
respect to this Agreement or any provision of this Agreement, except such rights
as shall inure to a successor or permitted assignee pursuant to this Section.

         Section 8.5 SEVERABILITY. If any provision of this Agreement is held
invalid or unenforceable by any court of competent jurisdiction, the other
provisions of this Agreement will remain in full force and effect. Any provision
of this Agreement held invalid or unenforceable only in part or degree will
remain in full force and effect to the extent not held invalid or unenforceable.

         Section 8.6 CONSTRUCTION. The headings of Articles and Sections in this
Agreement are provided for convenience only and will not affect its construction
or interpretation. All references to "Articles" and "Sections" refer to the
corresponding Articles and Sections of this Agreement. All references to
"include" or "including" mean "including without limitation." All dollar amounts
refer to US currency.

         Section 8.7 TIME OF ESSENCE. With regard to all dates and time periods
set forth or referred to in this Agreement, time is of the essence.

         Section 8.8 NOTICES. All notices, consents, waivers and other
communications required or permitted by this Agreement shall be in writing and
shall be deemed given to a Party when (a) delivered to the appropriate address
by hand or by nationally recognized overnight courier service (costs prepaid);
(b) sent by facsimile or e-mail with confirmation of transmission by the
transmitting equipment, so long as such facsimile or e-mail is followed by a
copy sent by mail; or (c) received or rejected by the addressee, if sent by
certified mail, return receipt requested, in each case to the following
addresses, facsimile numbers or e-mail addresses and marked to the attention of
the person (by name or title) designated below (or to such other address,
facsimile number, e-mail address or person as a Party may designate by notice to
the other Parties):

                                       17
<PAGE>

                  if to Acquirer, at:

                                    Penthouse International, Inc.
                                    c/o  Sommer & Schneider LLP
                                    595 Stewart Avenue, Suite 710
                                    Garden City, New York 11530
                                    Attn: Herbert H. Sommer
                                    Fax:  (516) 228-8211

                  If to Seller at:

                                    Del Sol Investments GP
                                    Attention: Dr. Enrique Fernando Molina
                                    900 Wilshire Boulevard
                                    Los Angeles, CA 90017
                                    Fax:    310-561-5290

                                    With a copy to:

                                    Baker and McKenzie
                                    Attention:  Antonio Ambrosio, Esq.
                                    Plaza Inverlat Piso 12
                                    Blvd. M. Avila Camadho I
                                    11009 Mexico, D.F.

         Section 8.9 GOVERNING LAW; CONSENT TO JURISDICTION.

                  (a) The interpretation and construction of this Agreement, and
all matters relating hereto, shall be governed by the laws of the State of
Florida applicable to contracts made and to be performed entirely within the
State of Florida.

                  (b) Any proceeding, action, litigation or claim (a
"Proceeding") arising out of or relating to this Agreement or any of the
transactions contemplated herein may be brought in the courts of the State of
Florida, and each of the Parties irrevocably submits to the exclusive
jurisdiction of each such court in any such Proceeding, waives any objection it
may now or hereafter have to venue or to convenience of forum, agrees that all
claims in respect of the Proceeding shall be heard and determined only in any
such court and agrees not to bring any Proceeding arising out of or relating to
this Agreement or any of the transactions contemplated herein in any other

                                       18
<PAGE>

court. The Parties agree that either or both of them may file a copy of this
paragraph with any court as written evidence of the knowing, voluntary and
bargained agreement between the Parties irrevocably to waive any objections to
venue or to convenience of forum. Each Party hereto hereby consents to process
being served in any such action or proceeding by the mailing of a copy thereof
to the address set forth opposite its name below and agrees that such service
upon receipt shall constitute good and sufficient service of process or notice
thereof. Nothing in this paragraph shall affect or eliminate any right to serve
process in any other manner permitted by law.

         Section 8.10 WAIVER OF JURY TRIAL. THE PARTIES HEREBY WAIVE ANY RIGHT
TO TRIAL BY JURY IN ANY PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT
OR ANY OF THE CONTEMPLATED TRANSACTIONS, WHETHER NOW EXISTING OR HEREAFTER
ARISING, AND WHETHER SOUNDING IN CONTRACT, TORT OR OTHERWISE. THE PARTIES AGREE
THAT ANY OF THEM MAY FILE A COPY OF THIS PARAGRAPH WITH ANY COURT AS WRITTEN
EVIDENCE OF THE KNOWING, VOLUNTARY AND BARGAINED-FOR AGREEMENT AMONG THE PARTIES
IRREVOCABLY TO WAIVE TRIAL BY JURY AND THAT ANY PROCEEDING WHATSOEVER BETWEEN
THEM RELATING TO THIS AGREEMENT OR ANY OF THE CONTEMPLATED TRANSACTIONS SHALL
INSTEAD BE TRIED IN A COURT OF COMPETENT JURISDICTION BY A JUDGE SITTING WITHOUT
A JURY.

         Section 8.11 EXECUTION OF AGREEMENT. This Agreement may be executed in
one or more counterparts, each of which will be deemed to be an original copy of
this Agreement and all of which, when taken together, will be deemed to
constitute one and the same agreement. The exchange of copies of this Agreement
and of signature pages by facsimile transmission shall constitute effective
execution and delivery of this Agreement as to the Parties and may be used in
lieu of the original Agreement for all purposes. Signatures of the Parties
transmitted by facsimile shall be deemed to be their original signatures for all
purposes.

         Section 8.12 DEFINITIONS. As used in this Agreement, the following
terms shall have the meanings set forth below unless the context otherwise
requires:

         "Control" of Person other than an individual means the power to direct
or cause the direction of the management of such Person.

         "Damages" means any claims, losses, costs, or expenses (including
reasonable attorneys' fees and expenses) actually suffered or paid, exclusive of
loss of profits, consequential damages, or punitive damages.

         "Encumbrance" means any lien, encumbrance, security interest,
restriction or claim of any kind and character.

         "Exchange Act" means the Securities Exchange Act of 1934, as amended.

                                       19
<PAGE>

         "Governmental Authority" means any state or Federal court or other
governmental or regulatory body, agency or authority.

         "Indebtedness" means, with respect to any person, any obligation of
such person for borrowed money, or for payment for services rendered or tangible
or intangible property acquired or leased, including without limitation (A) any
obligation owed for all or any part of the purchase price of any assets, (B)
accounts payable, (C) any obligations secured by any Encumbrance (including,
without limitation, any Encumbrance on after-acquired property) in respect of
property even though the person owning the property has not assumed or become
liable for the payment of such obligation, (D) any guarantee with respect to any
of the foregoing indebtedness of another person, (E) obligations in respect of
letters of credit, and (F) liabilities of any kind to any present or former
stockholders.

         "Knowledge" means the knowledge of a ordinary Person after reasonable
investigation.

         "Material Adverse Effect" means, with respect to a person, any
circumstance, change in or effect on such person that is materially adverse to
the business, operations, properties, financial condition or results of
operations of such person and its Subsidiaries, taken as a whole.

         "Material Instrument" means, with respect to a person, any note, bond,
mortgage, indenture, license, franchise, permit, agreement, lease, franchise
agreement or other instrument or obligation to which such person is a Party or
by which such person or any of its properties or assets are bound.

         "Party" to this Agreement refers to Seller, Seller or Acquirer when
used in the singular and all of them when used in the plural.

         "Person" means any individual, partnership, corporation, limited
liability company, or other legal entity.

         "SEC" means the United States Securities and Exchange Commission.

         "Securities Act" means the Securities Act of 1933, as amended.

         "Subsidiary" of a Person means a corporation, limited liability
company, or other legal entity, over 50% of the beneficial ownership of which,
or over 50% of the voting power of the capital stock or membership interests of
which, are Controlled, directly or indirectly, by such Person.

         "Tax Return" means any Federal, state or foreign income tax return or
other material tax return.

         "Tax" means all requisite taxes, levies, imposts, tariffs and
assessments of any nature whatsoever payable to a Governmental Authority,
including unemployment and social security taxes, income tax withholding and
interest and penalties with respect to any of the foregoing.

                                       20
<PAGE>

                  IN WITNESS WHEREOF, each of the Parties have caused this
Agreement to be executed by their respective officers who have been duly
authorized, all as of the day and year first above written.

ACQUIRER                                        SELLER

Penthouse International, Inc.,                  Del Sol Investments, GP,
a Florida corporation                           a California general partnership

By: /s/ Milton Polland                          By: /s/ Enrique Fernando Molina
    --------------------------------                ----------------------------
    Milton Polland                                  Enrique Fernando Molina
    Chairman and Acting CEO                         General Partner

           [SIGNATURE PAGE TO MEMBERSHIP INTEREST PURCHASE AGREEMENT]

                                       21
<PAGE>

                       EXHIBITS TO THE MEMBERSHIP INTEREST

                                 PURCHASE AGREEMENT

           EXHIBIT 1        Pledge Agreement

           EXHIBIT 2        Registration Rights Agreement

           EXHIBIT 3        Series C Preferred Stock Certificate of Designations

           EXHIBIT 4        Mortgage on Property

           EXHIBIT 5        Consulting Agreement

           EXHIBIT 6        Lease

           EXHIBIT 7        Baker McKenzie Opinion Letter

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Exhibit 10.33    
    

 
 

AMENDED AND RESTATED    
    
    BIOSITE INCORPORATED    
    
    2002 NONQUALIFIED    
    
    STOCK INCENTIVE PLAN    
    

        ARTICLE
1    INTRODUCTION.    

        The
Plan was adopted by the Board on November 7, 2002, to be effective on that date, and was amended by the Board on October 23, 2003. 

        The
purpose of the Plan is to promote the long-term success of the Company and the creation of stockholder value by (a) encouraging Participants to focus on critical
long-range objectives, (b) encouraging the attraction and retention of Participants with exceptional qualifications and (c) linking Participants directly to stockholder
interests through increased stock ownership. The Plan seeks to achieve this purpose by providing for Awards in the form of Restricted Shares, Stock Units, Options (which shall only include
nonstatutory stock options) or stock appreciation rights. The Plan also seeks to retain the services of persons not previously an employee or director of the Company, or following a  bona fide period of
non-employment, as an inducement material to the individual's entering into employment with the Company within the
meaning of Rule 4350(i)(1)(A) of the NASD Marketplace Rules, and to provide incentives for such persons to exert maximum efforts for the success of the Company and its affiliated corporations. 

        The
Plan shall be governed by, and construed in accordance with, the laws of the State of California. 

        ARTICLE
2    ADMINISTRATION.    

        2.1    Committee Composition.    The Plan shall be administered by the Committee. Except as provided below, the
Committee shall consist exclusively of directors of the Company, who shall be appointed by the Board. In addition, the composition of the Committee shall satisfy: 

        (a)   Such
requirements, if any, as the Securities and Exchange Commission may establish for administrators acting under plans intended to qualify for exemption under
Rule 16b-3 (or its successor) under the Exchange Act; and 

        (b)   Such
requirements as the Internal Revenue Service may establish for outside directors acting under plans intended to qualify for exemption under
section 162(m)(4)(C) of the Code. 

The
Board may act on its own behalf with respect to Outside Directors and may also appoint one or more separate committees composed of one or more officers of the Company who need not be directors of
the Company and who need not satisfy the foregoing requirements, who may administer the Plan with respect to Participants who are not "covered employees" under section 162(m)(3) of the Code and
who are not required to report pursuant to § 16(a) of the Exchange Act. 

        2.2    Committee Responsibilities.    The Committee shall (a) select the Participants who are to receive Awards
under the Plan, (b) determine the type, number, vesting requirements and other features and conditions of such Awards, (c) interpret the Plan and (d) make all other decisions
relating to the operation of the Plan. The Committee may adopt such rules or guidelines as it deems appropriate to implement the Plan. The Committee's determinations under the Plan shall be final and
binding on all persons. 

        ARTICLE
3    SHARES AVAILABLE FOR GRANTS.    

        3.1    Basic Limitation.    Common Shares issued pursuant to the Plan may be authorized but unissued shares or
treasury shares. The aggregate number of Common Shares available for Restricted Shares, Stock Units, Options and SARs awarded under the Plan shall not exceed one million fifty thousand
(1,050,000). This share reserve includes five hundred fifty thousand (550,000) Common Shares originally reserved under the Plan, plus five hundred thousand (500,000) Common Shares that are subject to
the limitations contained in Section 4.3 hereof. The limitation of this Section 3.1 shall be subject to adjustment pursuant to Article 10. 

        3.2    Additional Shares.    If Stock Units, Options or SARs are forfeited or if Options or SARs terminate for any
other reason before being exercised, then the corresponding Common Shares shall again become available for Awards under the Plan. If Restricted Shares are forfeited before any dividends have been paid
with respect to such Shares, then such Shares shall again become available for Awards under the Plan. If Stock Units are settled, then only the number of Common Shares (if any) actually issued in
settlement of such Stock Units shall reduce the number available under Section 3.1 and the balance shall again become available for Awards under the Plan. If SARs are exercised, then only the
number of Common Shares (if any) actually issued in settlement of such SARs shall reduce the number available under Section 3.1 and the balance shall again become available for Awards under the
Plan. 

        3.3    Dividend Equivalents.    Any dividend equivalents distributed under the Plan shall not be applied against the
number of Restricted Shares, Stock Units, Options or SARs available for Awards, whether or not such dividend equivalents are converted into Stock Units. 

        ARTICLE
4    ELIGIBILITY AND PARTICIPATION.    

        4.1    Eligibility.    Only Eligible Employees and consultants (who are natural persons) of the Company, Parent or
Subsidiary shall be eligible for designation as Participants by the Committee, provided, however, that Officers and members of the Board shall not be eligible for designation as Participants by the
Committee or the Board and shall not be eligible to receive any Awards under this Plan. 

        4.2    Participation.    Only persons eligible to participate in this Plan as provided in Section 4.1 above and
who are designated as Participants by the Committee and are granted specific Awards by the Committee under this Plan shall participate in this Plan. 

        4.3    Inducement Shares.    This Section 4.3 shall apply with respect to the five hundred thousand (500,000)
Common Shares reserved under this Plan by action of the Board on October 23, 2003 (the "Inducement Shares"). The persons who are eligible for Awards of Inducement Shares shall consist of
Eligible Employees whose potential contribution, in the judgment of the Committee, will benefit the future success of the Company and/or an affiliated corporation. An Award covering Inducement Shares
may be granted only to an Eligible Employee not previously an employee or Director of the Company, or following a bona fide period of
non-employment, as an inducement material to the individual's entering into employment with the Company within the meaning of Rule 4350(i)(1)(A) of the NASD Marketplace Rules. In
addition, notwithstanding any other provision of the Plan to the contrary, all such Awards covering Inducement Shares must be granted either by a majority of the Company's independent directors or a
committee comprised of a majority of independent directors. 

        ARTICLE
5    OPTIONS.    

        5.1    Stock Option Agreement.    Each grant of an Option under the Plan shall be evidenced by a Stock Option
Agreement between the Optionee and the Company. Such Option shall be subject to all applicable terms of the Plan and may be subject to any other terms that are not inconsistent with the Plan. The
provisions of the various Stock Option Agreements entered into under the Plan need not be identical. Options may be granted in consideration of a cash payment or in consideration of a reduction in the
Optionee's other compensation. A Stock Option Agreement 

may
provide that a new Option will be granted automatically to the Optionee when he or she exercises a prior Option and pays the Exercise Price in the form described in Section 6.2. 

        5.2    Number of Shares.    Each Stock Option Agreement shall specify the number of Common Shares subject to the
Option and shall provide for the adjustment of such number in accordance with Article 10. 

        5.3    Exercise Price.    Each Stock Option Agreement shall specify the Exercise Price provided that the Exercise
Price under an NSO shall in no event be less than the par value of the Common Shares subject to such NSO. In the case of an NSO, a Stock Option Agreement may specify an Exercise Price that varies in
accordance with a predetermined formula while the NSO is outstanding. 

        5.4    Exercisability and Term.    Each Stock Option Agreement shall specify the date when all or any installment of
the Option is to become exercisable. The Stock Option Agreement shall also specify the term of the Option. A Stock Option Agreement may provide for accelerated exercisability in the event of the
Optionee's death, disability or retirement or other events and may provide for expiration prior to the end of its term in the event of the termination of the Optionee's service. 

        Options
may be awarded in combination with SARs, and such an Award may provide that the Options will not be exercisable unless the related SARs are forfeited. NSOs may also be awarded in
combination with Restricted Shares or Stock Units, and such an Award may provide that the NSOs will not be exercisable unless the related Restricted Shares or Stock Units are forfeited. 

        5.5    Effect of Change in Control.    The Committee may determine, at the time of granting an Option or thereafter,
that such Option shall become fully exercisable as to all Common Shares subject to such Option in the event that a Change in Control occurs with respect to the Company. 

        5.6    Modification or Assumption of Options.    Within the limitations of the Plan, the Committee may modify, extend
or assume outstanding options. The foregoing notwithstanding, no modification of an Option shall, without the consent of the Optionee, alter or impair his or her rights or obligations under such
Option. 

        ARTICLE
6    PAYMENT FOR OPTION SHARES.    

        6.1    General Rule.    The entire Exercise Price of Common Shares issued upon exercise of Options shall be payable in
cash at the time when such Common Shares are purchased, except as follows. The Exercise Price may be paid in such form permitted in the Stock Option Agreement for such Options and the Committee may,
in its discretion at any time accept payment in any form(s) described in this Article 6. 

        6.2    Surrender of Stock.    To the extent that this Section 6.2 is applicable, payment for all or any part of
the Exercise Price may be made with Common Shares which have already been owned by the Optionee for more than six months. Such Common Shares shall be valued at their Fair Market Value on the date when
the new Common Shares are purchased under the Plan. 

        6.3    Exercise/Sale.    To the extent that this Section 6.3 is applicable, payment may be made by the delivery
(on a form prescribed by the Company) of an irrevocable direction to a securities broker approved by the Company to sell Common Shares and to deliver all or part of the sales proceeds to the Company
in payment of all or part of the Exercise Price and any withholding taxes. 

        6.4    Exercise/Pledge.    To the extent that this Section 6.4 is applicable, payment may be made by the
delivery (on a form prescribed by the Company) of an irrevocable direction to pledge Common Shares to a securities broker or lender approved by the Company, as security for a loan, and to deliver all
or part of the loan proceeds to the Company in payment of all or part of the Exercise Price and any withholding taxes. 

        6.5    Promissory Note.    To the extent that this Section 6.5 is applicable, payment may be made with a
full-recourse promissory note with interest at a rate to be determined by the Company; provided that the par value of the Common Shares shall be paid in cash. 

        6.6    Other Forms of Payment.    To the extent that this Section 6.6 is applicable, payment may be made in any
other form that is consistent with applicable laws, regulations and rules. 

        ARTICLE
7    STOCK APPRECIATION RIGHTS.    

        7.1    SAR Agreement.    Each grant of an SAR under the Plan shall be evidenced by an SAR Agreement between the
Optionee and the Company. Such SAR shall be subject to all applicable terms of the Plan and may be subject to any other terms that are not inconsistent with the Plan. The provisions of the various SAR
Agreements entered into under the Plan need not be identical. SARs may be granted in consideration of a reduction in the Optionee's other compensation. 

        7.2    Number of Shares.    Each SAR Agreement shall specify the number of Common Shares to which the SAR pertains and
shall provide for the adjustment of such number in accordance with Article 10. SARs granted to any Optionee in a single calendar year shall in no event pertain to more than 250,000 Common
Shares, subject to adjustment in accordance with Article 10. 

        7.3    Exercise Price.    Each SAR Agreement shall specify the Exercise Price. An SAR Agreement may specify an
Exercise Price that varies in accordance with a predetermined formula while the SAR is outstanding. 

        7.4    Exercisability and Term.    Each SAR Agreement shall specify the date when all or any installment of the SAR is
to become exercisable. The SAR Agreement shall also specify the term of the SAR. An SAR Agreement may provide for accelerated exercisability in the event of the Optionee's death, disability or
retirement or other events and may provide for expiration prior to the end of its term in the event of the termination of the Optionee's service. SARs may also be awarded in combination with Options,
Restricted Shares or Stock Units, and such an Award may provide that the SARs will not be exercisable unless the related Options, Restricted Shares or Stock Units are forfeited. An SAR may be included
in an NSO at the time of grant or thereafter. An SAR granted under the Plan may provide that it will be exercisable only in the event of a Change in Control. 

        7.5    Effect of Change in Control.    The Committee may determine, at the time of granting an SAR or thereafter, that
such SAR shall become fully exercisable as to all Common Shares subject to such SAR in the event that a Change in Control occurs with respect to the Company. 

        7.6    Exercise of SARs.    The exercise of an SAR shall be subject to the restrictions imposed by
Rule 16b-3 (or its successor) under the Exchange Act, if applicable. If, on the date when an SAR expires, the Exercise Price under such SAR is less than the Fair Market Value on
such date but any portion of such SAR has not been exercised or surrendered, then such SAR shall automatically be deemed to be exercised as of such date with respect to such portion. Upon exercise of
an SAR, the Optionee (or any person having the right to exercise the SAR after his or her death) shall receive from the Company (a) Common Shares, (b) cash or (c) a combination of
Common Shares and cash, as the Committee shall determine. The amount of cash and/or the Fair Market Value of Common Shares received upon exercise of SARs shall, in the aggregate, be equal to the
amount by which the Fair
Market Value (on the date of surrender) of the Common Shares subject to the SARs exceeds the Exercise Price. 

        7.7    Modification or Assumption of SARs.    Within the limitations of the Plan, the Committee may modify, extend or
assume outstanding SARs or may accept the cancellation of outstanding SARs (whether granted by the Company or by another issuer) in return for the grant of new SARs for the same or a different number
of shares and at the same or a different exercise price. The foregoing notwithstanding, no modification of an SAR shall, without the consent of the Optionee, alter or impair his or her rights or
obligations under such SAR. 

        ARTICLE
8    RESTRICTED SHARES AND STOCK UNITS.    

        8.1    Time, Amount and Form of Awards.    Awards under the Plan may be granted in the form of Restricted Shares, in
the form of Stock Units, or in any combination of both. Restricted Shares or Stock Units may also be awarded in combination with NSOs or SARs, and such an Award may provide that the Restricted Shares
or Stock Units will be forfeited in the event that the related NSOs or SARs are exercised. 

        8.2    Payment for Awards.    To the extent that an Award is granted in the form of newly issued Restricted Shares,
the Award recipient, as a condition to the grant of such Award, shall be required to pay the Company in cash an amount equal to the par value of such Restricted Shares. To the extent that an Award is
granted in the form of Restricted Shares from the Company's treasury or in the form of Stock Units, no cash consideration shall be required of the Award recipients. 

        8.3    Vesting Conditions.    Each Award of Restricted Shares or Stock Units shall become vested, in full or in
installments, upon satisfaction of the conditions specified in the Stock Award Agreement. A Stock Award Agreement may provide for accelerated vesting in the event of the Participant's death,
disability or retirement or other events. The Committee may determine, at the time of making an Award or thereafter, that such Award shall become fully vested in the event that a Change in Control
occurs with respect to the Company. 

        8.4    Form and Time of Settlement of Stock Units.    Settlement of vested Stock Units may be made in the form of
(a) cash, (b) Common Shares or (c) any combination of both, as determined by the Committee. The actual number of Stock Units eligible for settlement may be larger or smaller than
the number included in the original Award, based on predetermined performance factors. Methods of converting Stock Units into cash may include (without limitation) a method based on the average Fair
Market Value of Common Shares over a series of trading days. Vested Stock Units may be settled in a lump
sum or in installments. The distribution may occur or commence when all vesting conditions applicable to the Stock Units have been satisfied or have lapsed, or it may be deferred to any later date.
The amount of a deferred distribution may be increased by an interest factor or by dividend equivalents. Until an Award of Stock Units is settled, the number of such Stock Units shall be subject to
adjustment pursuant to Article 10. 

        8.5    Death of Recipient.    Any Stock Units Award that becomes payable after the recipient's death shall be
distributed to the recipient's beneficiary or beneficiaries. Each recipient of a Stock Units Award under the Plan shall designate one or more beneficiaries for this purpose by filing the prescribed
form with the Company. A beneficiary designation may be changed by filing the prescribed form with the Company at any time before the Award recipient's death. If no beneficiary was designated or if no
designated beneficiary survives the Award recipient, then any Stock Units Award that becomes payable after the recipient's death shall be distributed to the recipient's estate. 

        8.6    Creditors' Rights.    A holder of Stock Units shall have no rights other than those of a general creditor of
the Company. Stock Units represent an unfunded and unsecured obligation of the Company, subject to the terms and conditions of the applicable Stock Award Agreement. 

        ARTICLE
9    VOTING AND DIVIDEND RIGHTS.    

        9.1    Restricted Shares.    The holders of Restricted Shares awarded under the Plan shall have the same voting,
dividend and other rights as the Company's other stockholders. A Stock Award Agreement, however, may require that the holders of Restricted Shares invest any cash dividends received in additional
Restricted Shares. Such additional Restricted Shares shall be subject to the same conditions and restrictions as the Award with respect to which the dividends were paid. Such additional Restricted
Shares shall not reduce the number of Common Shares available under Article 3. 

        9.2    Stock Units.    The holders of Stock Units shall have no voting rights. Prior to settlement or forfeiture, any
Stock Unit awarded under the Plan may, at the Committee's discretion, carry with it a right to dividend equivalents. Such right entitles the holder to be credited with an amount equal to all cash
dividends paid on one Common Share while the Stock Unit is outstanding. Dividend equivalents may be converted into additional Stock Units. Settlement of dividend equivalents may be made in the form of
cash, in the form of Common Shares, or in a combination of both. Prior to distribution, any dividend equivalents which are not paid shall be subject to the same conditions and restrictions as the
Stock Units to which they attach. 

        ARTICLE
10    PROTECTION AGAINST DILUTION.    

        10.1    Adjustments.    In the event of a subdivision of the outstanding Common Shares, a declaration of a dividend
payable in Common Shares, a declaration of a dividend payable in a form other than Common Shares in an amount that has a material effect on the price of Common Shares, a combination or consolidation
of the outstanding Common Shares (by reclassification or otherwise) into a lesser number of Common Shares, a recapitalization, a spinoff or a similar occurrence, the Committee shall make such
adjustments as it, in its sole discretion, deems appropriate in one or more of (a) the number of Options, SARs, Restricted Shares and Stock Units available for future Awards under
Article 3, (b) the limitations set forth in Sections 5.2 and 7.2, (c) the number of NSOs to be granted to Outside Directors under Section 4.2, (d) the number of
Stock Units included in any prior Award which has not yet been settled, (e) the number of Common Shares covered by each outstanding Option and SAR or (f) the Exercise Price under each
outstanding Option and SAR. Except as provided in this Article 10, a Participant shall have no rights by reason of any issue by the Company of stock of any class or securities convertible into
stock of any class, any subdivision or consolidation of shares of stock of any class, the payment of any stock dividend or any other increase or decrease in the number of shares of stock of any class. 

        10.2    Reorganizations.    In the event that the Company is a party to a merger or other reorganization, outstanding
Options, SARs, Restricted Shares and Stock Units shall be subject to the agreement of merger or reorganization. Such agreement may provide, without limitation, for the assumption of outstanding Awards
by the surviving corporation or its parent, for their continuation by the Company (if the Company is a surviving corporation), for accelerated vesting and accelerated expiration, or for settlement in
cash. 

        ARTICLE
11    AWARDS UNDER OTHER PLANS.    

        The
Company may grant awards under other plans or programs. Such awards may be settled in the form of Common Shares issued under this Plan. Such Common Shares shall be treated for all
purposes under the Plan like Common Shares issued in settlement of Stock Units and shall, when issued, reduce the number of Common Shares available under Article 3. 

        ARTICLE
12    LIMITATION ON RIGHTS.    

        12.1    Retention Rights.    Neither the Plan nor any Award granted under the Plan shall be deemed to give any
individual a right to remain an employee, consultant or director of the Company, a Parent or a Subsidiary. The Company and its Parents and Subsidiaries reserve the right to terminate the service of
any employee, consultant or director at any time, with or without cause, subject to applicable laws, the Company's certificate of incorporation and by-laws and a written employment
agreement (if any). 

        12.2    Stockholders' Rights.    A Participant shall have no dividend rights, voting rights or other rights as a
stockholder with respect to any Common Shares covered by his or her Award prior to the issuance of a stock certificate for such Common Shares. No adjustment shall be made for cash dividends or other
rights for which the record date is prior to the date when such certificate is issued, except as expressly provided in Articles 8, 9 and 10. 

        12.3    Regulatory Requirements.    Any other provision of the Plan notwithstanding, the obligation of the Company to
issue Common Shares under the Plan shall be subject to all 

applicable
laws, rules and regulations and such approval by any regulatory body as may be required. The Company reserves the right to restrict, in whole or in part, the delivery of Common Shares
pursuant to any Award prior to the satisfaction of all legal requirements relating to the issuance of such Common Shares, to their registration, qualification or listing or to an exemption from
registration, qualification or listing. 

        ARTICLE
13    LIMITATION ON PAYMENTS.    

        13.1    Excise Tax.    If any acceleration of the vesting of a Participant's Awards under this Plan ("Acceleration")
would (i) constitute a "parachute payment" within the meaning of Section 280G of the Internal Revenue Code of 1986, as amended (the "Code"), and (ii) but for this sentence, be
subject to the excise tax imposed by Section 4999 of the Code (the "Excise Tax"), then such Acceleration shall be reduced to the Reduced Amount. The "Reduced Amount" shall be whichever of the
following which would provide the largest after-tax benefit to the Participant: (i) the largest portion of the Acceleration that would result in no portion of the Acceleration being
subject to the Excise Tax or (ii) the largest portion, up to and including the total, of the Acceleration, whichever amount, after taking into account all applicable federal, state and local
employment taxes, income taxes, and the Excise Tax (all computed at the highest applicable marginal rate), results in Participant's receipt, on an after-tax basis, of the greater amount of
the Acceleration notwithstanding that all or some portion of the Payment may be subject to the Excise Tax. In the event that the Acceleration is to be reduced, such Acceleration shall be cancelled in
the reverse order of the date of grant of the Participant's Awards unless the Participant elects in writing a different order for cancellation. 

        The
accounting firm engaged by the Company for general audit purposes as of the day prior to the effective date of the transaction triggering the Acceleration ("Triggering Transaction")
shall perform the foregoing calculations. If the accounting firm so engaged by the Company is serving as accountant or auditor for the individual, entity or group effecting the Triggering Transaction,
the Company shall appoint a nationally recognized accounting firm to make the determinations required hereunder. The Company shall bear all expenses with respect to the determinations by such
accounting firm required to be made hereunder. 

        13.2    Calculations.    The accounting firm engaged to make the determinations hereunder shall provide its
calculations, together with detailed supporting documentation, to the Corporation and Participant within fifteen (15) calendar days after the date on which Participant's right to Acceleration
arises (if requested at that time by the Company or Participant) or at such other time as requested by the Company or Participant. If the accounting firm determines that no Excise Tax is payable with
respect to an Acceleration, either before or after the application of the Reduced Amount, it shall furnish the Company and Participant with an opinion reasonably acceptable to Participant that no
Excise Tax will be imposed with respect to such Acceleration. Any good faith determination of the accounting firm made hereunder shall be final, binding and conclusive upon the Company and
Participant. 

        13.3    Related Corporations.    For purposes of this Article 13, the term "Company" shall include affiliated
corporations to the extent determined by the Auditors in accordance with section 280G(d)(5) of the Code. 

        ARTICLE
14    WITHHOLDING TAXES.    

        14.1    General.    To the extent required by applicable federal, state, local or foreign law, a Participant or his or
her successor shall make arrangements satisfactory to the Company for the satisfaction of any withholding tax obligations that arise in connection with the Plan. The Company shall not be required to
issue any Common Shares or make any cash payment under the Plan until such obligations are satisfied. 

        14.2    Share Withholding.    The Committee may permit a Participant to satisfy all or part of his or her withholding
or income tax obligations by having the Company withhold all or a portion of any Common Shares that otherwise would be issued to him or her or by surrendering all or a 

portion
of any Common Shares that he or she previously acquired. Such Common Shares shall be valued at their Fair Market Value on the date when taxes otherwise would be withheld in cash. Any payment
of taxes by assigning Common Shares to the Company may be subject to restrictions, including any restrictions required by rules of the Securities and Exchange Commission. 

        ARTICLE
15    ASSIGNMENT OR TRANSFER OF AWARDS.    

        15.1    General.    An Award granted under the Plan shall not be anticipated, assigned, attached, garnished, optioned,
transferred or made subject to any creditor's process, whether voluntarily, involuntarily or by operation of law, except as approved by the Committee. However, this Article 15 shall not
preclude a Participant from designating a beneficiary who will receive any outstanding Awards in the event of the
Participant's death, nor shall it preclude a transfer of Awards by will or by the laws of descent and distribution. 

        15.2    Trusts.    Neither this Article 15 nor any other provision of the Plan shall preclude a Participant
from transferring or assigning Restricted Shares to (a) the trustee of a trust that is revocable by such Participant alone, both at the time of the transfer or assignment and at all times
thereafter prior to such Participant's death, or (b) the trustee of any other trust to the extent approved in advance by the Committee in writing. A transfer or assignment of Restricted Shares
from such trustee to any person other than such Participant shall be permitted only to the extent approved in advance by the Committee in writing, and Restricted Shares held by such trustee shall be
subject to all of the conditions and restrictions set forth in the Plan and in the applicable Stock Award Agreement, as if such trustee were a party to such Agreement. 

        ARTICLE
16    FUTURE OF THE PLAN.    

        16.1    Term of the Plan.    The Plan, as set forth herein, was adopted on November 7, 2002, and became
effective November 7, 2002. The Plan shall remain in effect until it is terminated under Section 16.2. 

        16.2    Amendment or Termination.    The Board may, at any time and for any reason, amend or terminate the Plan. An
amendment of the Plan shall be subject to the approval of the Company's stockholders only to the extent required by applicable laws, regulations or rules or applicable stock exchange rules. No Awards
shall be granted under the Plan after the termination thereof. The termination of the Plan, or any amendment thereof, shall not affect any Award previously granted under the Plan. 

        ARTICLE
17    DEFINITIONS.    

        17.1 "Award" means any award of an Option, an SAR, a Restricted Share or a Stock Unit under the Plan. 

        17.2 "Board" means the Company's Board of Directors, as constituted from time to time. 

        17.3 "Change in Control" shall mean the occurrence of any of the following events: 

        (a)   The
consummation of a merger or consolidation of the Company with or into another entity or any other corporate reorganization, if more than 50% of the combined voting
power of the continuing or surviving entity's securities outstanding immediately after such merger, consolidation or other
reorganization is owned by persons who were not stockholders of the Company immediately prior to such merger, consolidation or other reorganization; 

        (b)   A
change in the composition of the Board, as a result of which fewer than one-half of the incumbent directors are directors who either: 

        (A)  Had
been directors of the Company 24 months prior to such change; or 

        (B)  Were
elected, or nominated for election, to the Board with the affirmative votes of at least a majority of the directors who had been directors of the Company
24 months 

prior
to such change and who were still in office at the time of the election or nomination; or 

        (c)   Any
"person" (as such term is used in sections 13(d) and 14(d) of the Exchange Act) by the acquisition or aggregation of securities is or becomes the beneficial owner,
directly or indirectly, of securities of the Company representing 50% or more of the combined voting power of the Company's then outstanding securities ordinarily (and apart from rights accruing under
special circumstances) having the right to vote at elections of directors (the "Base Capital Stock"); except that any change in the relative beneficial ownership of the Company's securities by any
person resulting solely from a reduction in the aggregate number of outstanding shares of Base Capital Stock, and any decrease thereafter in such person's ownership of securities, shall be disregarded
until such person increases in any manner, directly or indirectly, such person's beneficial ownership of any securities of the Company. 

        The
term "Change in Control" shall not include a transaction, the sole purpose of which is to change the state of the Company's incorporation. 

        17.4 "Code" means the Internal Revenue Code of 1986, as amended. 

        17.5 "Committee" means a committee of the Board, as described in Article 2. 

        17.6 "Common Share" means one share of the common stock of the Company. 

        17.7 "Company" means Biosite Incorporated, a Delaware corporation. 

        17.8 "Eligible Employee" means a common-law employee of the Company, a Parent or a Subsidiary. 

        17.9 "Exchange Act" means the Securities Exchange Act of 1934, as amended. 

        17.10 "Exercise Price," in the case of an Option, means the amount for which one Common Share may be purchased upon exercise
of such Option, as specified in the applicable Stock Option Agreement. "Exercise Price," in the case of an SAR, means an amount, as specified in the applicable SAR Agreement, which is subtracted from
the Fair Market Value of one Common Share in determining the amount payable upon exercise of such SAR. 

        17.11 "Fair Market Value" means the market price of Common Shares, determined by the Committee as follows: 

        (a)   If
the Common Shares were traded over-the-counter on the date in question but was not traded on the Nasdaq Stock Market or the Nasdaq National
Market, then the Fair Market Value shall be equal to the mean between the last reported representative bid and asked prices quoted for such date by the principal automated inter-dealer quotation
system on which the Common Shares are quoted or, if the Common Shares are not quoted on any such system, by the "Pink Sheets" published by the National Quotation Bureau, Inc.; 

        (b)   If
the Common Shares were traded over-the-counter on the date in question and were traded on the Nasdaq Stock Market or the Nasdaq National
Market, then the Fair Market Value shall be equal to the last-transaction price quoted for such date by the Nasdaq Stock Market or the Nasdaq National Market; 

        (c)   If
the Common Shares were traded on a stock exchange on the date in question, then the Fair Market Value shall be equal to the closing price reported by the applicable
composite transactions report for such date; and 

        (d)   If
none of the foregoing provisions is applicable, then the Fair Market Value shall be determined by the Committee in good faith on such basis as it deems appropriate. 

        Whenever
possible, the determination of Fair Market Value by the Committee shall be based on the prices reported in the Western Edition of The Wall Street
Journal. Such determination shall be conclusive and binding on all persons. 

        17.12 "ISO" means an incentive stock option described in section 422(b) of the Code. 

        17.13 "NSO" means a stock option not described in section 422 or 423 of the Code. 

        17.14 "Officer" means a person who is an officer of the Company within the meaning of Section 16 of the Exchange Act
and the rules and regulations promulgated there thereunder and also means a person who holds a Vice President or higher position with the Company. 

        17.15 "Option" means a nonstatutory stock option granted under the Plan and entitling the holder to purchase one Common
Share. The term "Option" shall not include an incentive stock option described section 422 of the Code. 

        17.16 "Optionee" means an individual or estate who holds an Option or SAR. 

        17.17 "Outside Director" shall mean a member of the Board who is not a common-law employee of the Company, a
Parent or a Subsidiary. 

        17.18 "Parent" means any corporation (other than the Company) in an unbroken chain of corporations ending with the Company,
if each of the corporations other than the Company owns stock possessing 50% or more of the total combined voting power of all classes of stock in one of the other corporations in such chain. A
corporation that attains the status of a Parent on a date after the adoption of the Plan shall be considered a Parent commencing as of such date. 

        17.19 "Participant" means an individual or estate who holds an Award as provided in Section 4.2. 

        17.20 "Plan" means this Amended and Restated Biosite Incorporated 2002 Nonqualified Stock Incentive Plan, as amended from
time to time. 

        17.21 "Restricted Share" means a Common Share awarded under the Plan. 

        17.22 "SAR" means a stock appreciation right granted under the Plan. 

        17.23 "SAR Agreement" means the agreement between the Company and an Optionee which contains the terms, conditions and
restrictions pertaining to his or her SAR. 

        17.24 "Stock Award Agreement" means the agreement between the Company and the recipient of a Restricted Share or Stock Unit
which contains the terms, conditions and restrictions pertaining to such Restricted Share or Stock Unit. 

        17.25 "Stock Option Agreement" means the agreement between the Company and an Optionee which contains the terms, conditions
and restrictions pertaining to his or her Option. 

        17.26 "Stock Unit" means a bookkeeping entry representing the equivalent of one Common Share, as awarded under the Plan. 

        17.27 "Subsidiary" means any corporation (other than the Company) in an unbroken chain of corporations beginning with the
Company, if each of the corporations other than the last corporation in the unbroken chain owns stock possessing 50% or more of the total combined voting power of all classes of stock in one of the
other corporations in such chain. A corporation that attains the status of a Subsidiary on a date after the adoption of the Plan shall be considered a Subsidiary commencing as of such date. 

        ARTICLE
18    EXECUTION.    

        To
record the adoption of the Plan by the Board, the Company has caused its duly authorized officer to affix the corporate name and seal hereto. 

	 	 	BIOSITE INCORPORATED
	

 	
 	

By	

/s/  KIM D. BLICKENSTAFF      

QuickLinks

Exhibit 10.33

AMENDED AND RESTATED BIOSITE INCORPORATED 2002 NONQUALIFIED STOCK INCENTIVE PLAN

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