Document:

Exhibit 10.246

NEITHER THIS WARRANT NOR THE SHARES ISSUABLE UPON EXERCISE HEREOF HAVE BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT")
OR ANY OTHER APPLICABLE SECURITIES LAWS IN RELIANCE UPON AN EXEMPTION FROM THE
REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND SUCH OTHER SECURITIES LAWS.
NEITHER THIS WARRANT NOR THE SHARES ISSUABLE UPON EXERCISE HEREOF MAY BE SOLD,
PLEDGED, TRANSFERRED, ENCUMBERED OR OTHERWISE DISPOSED OF EXCEPT PURSUANT TO AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF IN A TRANSACTION
THAT IS EXEMPT FROM REGISTRATION UNDER THE PROVISIONS OF THE SECURITIES ACT.

                             STOCK PURCHASE WARRANT

                                   To Purchase
                          7,500 Shares of Common Stock
                                       of
                      Pollution Research and Control Corp.

     THIS CERTIFIES that, for value received, Robert Del Guercio (the "Holder")
is entitled, upon the terms and subject to the conditions hereinafter set forth,
at any time prior to the close of business on July 17, 2005 (the "Termination
Date"), but not thereafter, to subscribe for and purchase from Pollution
Research and Control Corp., a corporation incorporated in California (the
"Company"), up to Seven Thousand Five Hundred (7,500) shares (the "Warrant
Shares") of the common stock, no par value, of the Company (the "Common Stock").
The purchase price of one share of Common Stock (the "Exercise Price") under
this Warrant shall be $2.2875. The Exercise Price and the number of shares for
which the Warrant is exercisable shall be subject to adjustment as provided
herein. Capitalized terms used and not otherwise defined herein shall have the
meanings set forth for such terms in the Securities Purchase Agreement dated as
of July 18, 2000 between the Company and the Holder. In the event of any
conflict between the terms of this Warrant and the Securities Purchase
Agreement, the Securities Purchase Agreement shall control.
          1. Title to Warrant. Prior to and subject to compliance with
applicable laws, this Warrant and all rights hereunder are transferable, in
whole or in part, at the office or agency of the Company by the Holder hereof in
person or by duly authorized attorney, upon surrender of this Warrant together
with the Assignment Form annexed hereto properly endorsed.

          2. Authorization of Shares. The Company covenants that all shares of
Common Stock that may be issued upon the exercise of rights represented by this
Warrant will, upon exercise of the rights represented by this Warrant, be duly
authorized, validly issued, fully paid and nonassessable and free from all
taxes, liens and charges in respect of the issue thereof (other than taxes in
respect of any transfer occurring contemporaneously with such issue).

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          3. Exercise of Warrant. Except as provided in Section 3(b) or Section
4 herein, exercise of the purchase rights represented by this Warrant may be
made at any time or times on or before the close of business on the Termination
Date by the surrender of this Warrant and the Notice of Exercise form annexed
hereto duly executed, at the office of the Company (or such other office or
agency of the Company as it may designate by notice in writing to the registered
Holder hereof at the address of such Holder appearing on the books of the
Company), and upon payment of the Exercise Price of the Warrant Shares thereby
purchased by wire transfer or cashier's check drawn on a United States bank. The
Holder of this Warrant shall be entitled to receive a certificate for the number
of shares of Common Stock so purchased. This Warrant may also be exercised in
whole or in part by means of a "cashless exercise" by means of tendering this
Warrant to the Company to receive the number of shares of Common Stock equal in
total Market Value (as hereinafter defined) to the difference between the total
Market Value of the shares of Common Stock issuable upon such exercise of this
Warrant and the total cash Exercise Price of that part of the Warrant being
exercised. "Market Value" for this purpose shall be the price for the last trade
of the Common Stock as reported by Bloomberg L.P. on the Trading Day of such
cashless exercise. Certificates for shares purchased hereunder shall be
delivered to the Holder hereof within three (3) Trading Days after the date on
which this Warrant shall have been exercised as aforesaid. This Warrant shall be
deemed to have been exercised and such certificate or certificates shall be
deemed to have been issued, and Holder or any other person so designated to be
named therein shall be deemed to have become a holder of record of such shares
for all purposes, as of the date the Warrant has been exercised by payment to
the Company of the Exercise Price and all taxes required to be paid by Holder,
if any, pursuant to Section 5 prior to the issuance of such shares, have been
paid. If this Warrant shall have been exercised in part, the Company shall, at
the time of delivery of the certificate or certificates representing Warrant
Shares, deliver to Holder a new Warrant evidencing the rights of Holder to
purchase the unpurchased shares of Common Stock called for by this Warrant;
which new Warrant shall in all other respects be identical with this Warrant.

          The Holder is granted all of the rights to registration with the
Securities and Exchange Commission and qualification in the states of the
Warrants Shares set forth in the Securities Purchase Agreement.

          4. No Fractional Shares of Scrip. No fractional shares or scrip
representing fractional shares shall be issued upon the exercise of this
Warrant. As to any fraction of a share that Holder would otherwise be entitled
to purchase upon such exercise, the Company shall pay a cash adjustment in
respect of such fraction of the Exercise Price based upon the Market Value on
the date of exercise.

          5. Charges, Taxes and Expenses. Issuance of certificates for shares of
Common Stock upon the exercise of this Warrant shall be made without charge to
the Holder hereof for any issue or transfer tax or other incidental expense in
respect of the issuance of such certificate, all of which taxes and expenses
shall be paid by the Company, and such certificates shall be issued in the name
of the Holder of this Warrant or in such name or names as may be directed by the
Holder of this Warrant; provided, however, that in the event certificates for
shares of Common Stock are to be issued in a name other than the name of the

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Holder of this Warrant, this Warrant when surrendered for exercise shall be
accompanied by the Assignment Form attached hereto duly executed by the Holder
hereof; and the Company may require, as a condition thereto, the payment of a
sum sufficient to reimburse it for any transfer tax incidental thereto.

          6. Closing of Books. The Company will not close its shareholder bo7oks
or records in any manner that prevents the timely exercise of this Warrant.

          7. Transfer, Division and Combination.

             (a) Subject to compliance with any applicable securities laws,
transfer of this Warrant and all rights hereunder, in whole or in part, shall be
registered on the books of the Company to be maintained for such purpose, upon
surrender of this Warrant at the principal office of the Company, together with
a written assignment of this Warrant substantially in the form attached hereto
duly executed by Holder or its agent or attorney, and payment of funds
sufficient to pay any transfer taxes payable upon the making of such transfer.
Upon such surrender and, if required, such payment, the Company shall execute
and deliver a new Warrant or Warrants in the name of the assignee or assignees
and in the denomination or denominations specified in such instrument of
assignment, and shall issue to the assignor a new Warrant evidencing the portion
of this Warrant not so assigned, and this Warrant shall promptly be cancelled. A
Warrant, if properly assigned, may be exercised by a new Holder for the purchase
of shares of Common Stock without having a new Warrant issued.

             (b) This Warrant may be divided or combined with other Warrants
upon presentation hereof at the aforesaid office of the Company, together with a
written notice specifying the names and denominations in which new Warrants are
to be issued, signed by Holder or its agent or attorney. Subject to compliance
with Section 7(a), as to any transfer that may be involved in such division or
combination, the Company shall execute and deliver a new Warrant or Warrants in
exchange for the Warrant or Warrants to be divided or combined in accordance
with such notice.

             (c) The Company shall prepare, issue and deliver at its own expense
(other than transfer taxes) the new Warrant or Warrants under this Section 7.

             (d) The Company agrees to maintain, at its aforesaid office, books
for the registration and the registration of transfer of the Warrants.

          8. No Rights as Shareholder until Exercise. This Warrant does not
entitle the Holder hereof to any voting rights or other rights as a shareholder
of the Company prior to the exercise hereof. Upon the surrender of this Warrant
and the payment of the aggregate Exercise Price, the Warrant Shares so purchased
shall be and be deemed to be issued to such Holder as the record owner of such
shares as of the close of business on the later of the date of such surrender or
payment.

          9. Loss, Theft, Destruction or Mutilation of Warrant. The Company
covenants that upon receipt by the Company of evidence reasonably satisfactory
to it of the loss, theft, destruction or mutilation of this Warrant certificate

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or any stock certificate relating to the Warrant Shares, and in case of loss,
theft or destruction, of indemnity or security reasonably satisfactory to it
(which shall not include the posting of any bond), and upon surrender and
cancellation of such Warrant or stock certificate, if mutilated, the Company
will make and deliver a new Warrant or stock certificate of like tenor and dated
as of such cancellation, in lieu of such Warrant or stock certificate.

          10. Saturdays, Sundays, Holidays, etc. If the last or appointed day
for the taking of any action or the expiration of any right required or granted
herein shall be a Saturday, Sunday or a legal holiday, then such action may be
taken or such right may be exercised on the next succeeding day not a Saturday,
Sunday or legal holiday.

          11. Adjustments of Exercise Price and Number of Warrant Shares.

              (a) Stock Splits, etc. The number and kind of securities
purchasable upon the exercise of this Warrant and the Exercise Price shall be
subject to adjustment from time to time upon the happening of any of the
following. In case the Company shall (i) pay a dividend in shares of Common
Stock or make a distribution in shares of Common Stock to holders of its
outstanding Common Stock, (ii) subdivide it outstanding shares of Common Stock
into a greater number of shares of Common Stock, (iii) combine its outstanding
shares of Common Stock into a smaller number of shares of Common Stock or (iv)
issue any shares of its capital stock in a reclassification of the Common Stock,
then the number of Warrant Shares purchasable upon exercise of this Warrant
immediately prior thereto shall be adjusted so that the Holder of this Warrant
shall be entitled to receive the kind and number of Warrant Shares or other
securities of the Company which he would have owned or have been entitled to
receive had such Warrant been exercised in advance thereof. Upon each such
adjustment of the kind and number of Warrant Shares or other securities of the
Company which are purchasable hereunder, the Holder of this Warrant shall
thereafter be entitled to purchase the number of Warrant Shares or other
securities resulting from such adjustment at an Exercise Price per Warrant Share
or other security obtained by multiplying the Exercise Price in effect
immediately prior to such adjustment by the number of Warrant Shares purchasable
pursuant hereto immediately prior to such adjustment and dividing by the number
of Warrant Shares or other securities of the Company resulting from such
adjustment. An adjustment made pursuant to this paragraph shall become effective
immediately after the effective date of such event retroactive to the record
date, if any, for such event.

              (b) Reorganization, Reclassification, Merger, Consolidation or
Disposition of Assets. In case the Company shall reorganize its capital,
reclassify its capital stock, consolidate or merge with or into another
corporation (where the Company is not the surviving corporation or where there
is a change in or distribution with respect to the Common Stock of the Company),
or sell, transfer or otherwise dispose of all or substantially all its property,
assets or business to another corporation and, pursuant to the terms of such
reorganization, reclassification, merger, consolidation or disposition of
assets, shares of common stock of the successor or acquiring corporation, or any
cash, shares of stock or other securities or property of any nature whatsoever
(including warrants or other subscription or purchase rights) in addition to or

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in lieu of common stock of the successor or acquiring corporation ("Other
Property"), are to be received by or distributed to the holders of Common Stock
of the Company, then Holder shall have the right thereafter to receive, upon
exercise of this Warrant, the number of shares of common stock of the successor
or acquiring corporation or of the Company, if it is the surviving corporation,
and Other Property receivable upon or as a result of such reorganization,
reclassification, merger, consolidation or disposition of assets by a holder of
the number of shares of Common Stock for which this Warrant is exercisable
immediately prior to such event. In case of any such reorganization,
reclassification, merger, consolidation or disposition of assets, the successor
or acquiring corporation (if other than the Company) shall expressly assume the
due and punctual observance and performance of each and every covenant and
condition of this Warrant to be performed and observed by the Company and all
the obligations and liabilities hereunder, subject to such modifications as may
be deemed appropriate (as determined in good faith by resolution of the Board of
Directors of the Company) in order to provide for adjustments of shares of
Common Stock for which this Warrant is exercisable which shall be as nearly
equivalent as practicable to the adjustments provided for in this Section 11.
For purposes of this Section 11, "common stock of the successor or acquiring
corporation" shall include stock of such corporation of any class which is not
preferred as to dividends or assets over any other class of stock of such
corporation and which is not subject to redemption and shall also include any
evidences of indebtedness, shares of stock or other securities which are
convertible into or exchangeable for any such stock, either immediately or upon
the arrival of a specified date or the happening of a specified event and any
warrants or other rights to subscribe for or purchase any such stock. The
foregoing provisions of this Section 11 shall similarly apply to successive
reorganizations, reclassifications, mergers, consolidations or disposition of
assets.

          12. Voluntary Adjustment by the Company. The Company may at any time
during the term of this Warrant, reduce the then current Exercise Price to any
amount and for any period of time deemed appropriate by the Board of Directors
of the Company.

          13. Notice of Adjustment. Whenever the number of Warrant Shares or
number or kind of securities or other property purchasable upon the exercise of
this Warrant or the Exercise Price is adjusted, as herein provided, the Company
shall promptly mail by registered or certified mail, return receipt requested,
to the Holder of this Warrant notice of such adjustment or adjustments setting
forth the number of Warrant Shares (and other securities or property)
purchasable upon the exercise of this Warrant and the Exercise Price of such
Warrant Shares (and other securities or property) after such adjustment, setting
forth a brief statement of the facts requiring such adjustment and setting forth
the computation by which such adjustment was made. Such notice, in the absence
of manifest error, shall be conclusive evidence of the correctness of such
adjustment.

          14. Notice of Corporate Action. If at any time:

              (i) the Company shall take a record of the holders of its Common
Stock for the purpose of entitling them to receive a dividend or other
distribution, or any right to subscribe for or purchase any evidences of its
indebtedness, any shares of stock of any class or any other securities or
property, or to receive any other right, or

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              (ii) there shall be any capital reorganization of the Company, any
reclassification or recapitalization of the capital stock of the Company or any
consolidation or merger of the Company with, or any sale, transfer or other
disposition of all or substantially all the property, assets or business of the
Company to, another corporation or,

              (iii) there shall be a voluntary or involuntary dissolution,
liquidation or winding up of the Company;

then, in any one or more of such cases, the Company shall give to Holder (i) at
least 30 days' prior written notice of the date on which a record date shall be
selected for such dividend, distribution or right or for determining rights to
vote in respect of any such reorganization, reclassification, merger,
consolidation, sale, transfer, disposition, liquidation or winding up, and (ii)
in the case of any such reorganization, reclassification, merger, consolidation,
sale, transfer, disposition, dissolution, liquidation or winding up, at least 30
days' prior written notice of the date when the same shall take place. Such
notice in accordance with the foregoing clause also shall specify (i) the date
on which any such record is to be taken for the purpose of such dividend,
distribution or right, the date on which the holders of Common Stock shall be
entitled to any such dividend, distribution or right, and the amount and
character thereof, and (ii) the date on which any such reorganization,
reclassification, merger, consolidation, sale, transfer, disposition,
dissolution, liquidation or winding up is to take place and the time, if any
such time is to be fixed, as of which the holders of Common Stock shall be
entitled to exchange their shares of Common Stock for securities or other
property deliverable upon such disposition, dissolution, liquidation or winding
up. Each such written notice shall be sufficiently given if addressed to Holder
at the last address of Holder appearing on the books of the Company and
delivered in accordance with Section 16(d).

          15. Authorized Shares.

              (a) The Company covenants that during the period the Warrant is
outstanding, it will reserve from its authorized an unissued Common Stock a
sufficient number of shares to provide for the issuance of the Warrant Shares
upon the exercise of any purchase rights under this Warrant. The Company further
covenants that its issuance of this Warrant shall constitute full authority to
its officers who are charged with the duty of executing stock certificates to
execute and issue the necessary certificates for the Warrant Shares upon the
exercise of the purchase rights under this Warrant. The Company will take all
such reasonable action as may be necessary to assure that such Warrant Shares
may be issued as provided herein without violation of any applicable law or
regulation, or of any requirements of the Principal Market upon which the Common
Stock may be listed.

              (b) The Company shall not by any action, including, without
limitation, amending its certificate of incorporation or through any
reorganization, transfer of assets, consolidation, merger, dissolution, issue or
sale of securities or any other voluntary action, avoid or seek to avoid the

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observance or performance of any of the terms of this Warrant, but will at all
times in good faith assist in the carrying out of all such terms and in the
taking of all such actions as may be necessary or appropriate to protect the
rights of Holder against impairment. Without limiting the generality of the
foregoing, the Company will (i) not increase the par value of any shares of
Common Stock receivable upon the exercise of this Warrant above the amount
payable therefor upon such exercise immediately prior to such increase in par
value, (ii) take all such action as may be necessary or appropriate in order
that the Company may validly and legally issue fully paid and nonassessable
shares of Common Stock upon the exercise of this Warrant, and (iii) use its best
efforts to obtain all such authorizations, exemptions or consents from any
public regulatory body having jurisdiction thereof as may be necessary to enable
the Company to perform its obligations under this Warrant.

              (c) Upon the request of Holder, the Company will at any time
during the period this Warrant is outstanding acknowledge in writing, in form
reasonably satisfactory to Holder, the continuing validity of this Warrant and
the obligations of the Company hereunder.

              (d) Before taking any action pursuant to Section 11 or 12 that
would cause an adjustment reducing the current Exercise Price below the then par
value, if any, of the shares of Common Stock issuable upon exercise of the
Warrants, the Company shall take any corporate action that may be necessary in
order that the Company may validly and legally issue fully-paid and
nonassessable shares of such Common Stock at such adjusted Exercise Price.

              (e) Before taking any action that would result in an adjustment in
the Exercise Price, the Company shall obtain all such authorizations or
exemptions thereof, or consents thereto, as may be necessary from any public
regulatory body or bodies having jurisdiction thereof.

          16. Miscellaneous.

              (a) Jurisdiction. This Warrant shall be binding upon any
successors or assigns of the Company. This Warrant shall constitute a contract
under the laws of New York without regard to its conflict of law principles or
rules, and be subject to arbitration pursuant to the terms set forth in the
Securities Purchase Agreement.

              (b) Restrictions. The Holder hereof acknowledges that the Warrant
Shares acquired upon the exercise of this Warrant, if not registered, will have
restrictions upon resale imposed by state and Federal securities laws.

              (c) Nonwaiver and Expenses.No course of dealing or any delay or
failure to exercise any right hereunder on the part of Holder shall operate as a
waiver of such right or otherwise prejudice Holder's rights, powers or remedies;
notwithstanding which all rights hereunder terminate on the Termination Date. If
the Company fails to comply with any provision of this Warrant, the Company
shall pay to Holder such amounts as shall be sufficient to cover any costs and
expenses including, but not limited to, reasonable attorneys' fees, including
those of appellate proceedings, incurred by Holder in collecting any amounts due
pursuant hereto or in otherwise enforcing any of its rights, powers or remedies
hereunder.

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              (d) Notices.Any notice, request or other document required or
permitted to be given or delivered to the Holder hereof by the Company shall be
delivered in accordance with the notice provisions of the Securities Purchase
Agreement.

              (e) Limitation of Liability.No provision hereof, in the absence of
affirmative action by Holder to purchase shares of Common Stock, and no
enumeration herein of the rights or privileges of Holder hereof, shall give rise
to any liability of Holder for the purchase price of any Common Stock or as a
stockholder of the Company, whether such liability is asserted by the Company or
by creditors of the Company.

              (f) Remedies. Holder, in addition to being entitled to exercise
all rights granted by law, including recovery of damages, will be entitled to
specific performance of its rights under this Warrant. The Company agrees that
monetary damages would not be adequate compensation for any loss incurred by
reason of a breach by it of the provisions of this Warrant and hereby agrees to
waive the defense in any action for specific performance that a remedy at law
would be adequate.

              (g) Successors and Assigns.Subject to applicable securities laws,
this Warrant and the rights and obligations evidenced hereby shall inure to the
benefit of and be binding upon the successors of the Company and the successors
and permitted assigns of Holder. The provisions of this Warrant are intended to
be for the benefit of all Holders from time to time of this Warrant and shall be
enforceable by any such Holder or holder of Warrant Shares.

              (h) Indemnification.The Company agrees to indemnify and hold
harmless Holder from and against any liabilities, obligations, losses, damages,
penalties, actions, judgments, suits, claims, costs, attorneys' fees, expenses
and disbursements of any king that may be imposed upon, incurred by or asserted
against Holder in any manner relating to or arising out of any failure by the
Company to perform or observe in any material respect any of its covenants,
agreements, undertakings or obligations set forth in this Warrant; provided,
however, that the Company will not be liable hereunder to the extent that any
liabilities, obligations, losses, damages, penalties, actions, judgments, suits,
claims, costs, attorneys' fees, expenses or disbursements are found in a final
non-appealable judgment by a court to have resulted from Holder's negligence,
bad faith or willful misconduct in its capacity as a stockholder or
warrantholder of the Company.

              (i) Severability. Wherever possible, each provision of this
Warrant shall be interpreted in such manner as to be effective and valid under
applicable law, but if any provision of this Warrant shall be prohibited by or
invalid under applicable law, such provision shall be ineffective to the extent
of such prohibition or invalidity, without invalidating the remainder of such
provisions or the remaining provisions of this Warrant.

              (k) Headings. The headings used in this Warrant are for the
convenience of reference only and shall not, for any purpose, be deemed a part
of this Warrant.

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     IN WITNESS WHEREOF, the Company has caused this Warrant to be executed by
its officer thereunto duly authorized.

Dated:  July 17, 2000                       POLLUTION RESEARCH AND CONTROL CORP.

                                            By:  /s/  Albert E. Gosselin, Jr.
                                               --------------------------------
                                                      Albert E. Gosselin, Jr.
                                                      President

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                               NOTICE OF EXERCISE

To:      Pollution Research and Control Corp.

                  (1) The  Undersigned  hereby elects to purchase  _____________
shares of Common  Stock (the "Common  Stock") of Pollution  Research and Control
Corp.,  pursuant to the terms of the attached Warrant,  and [ ] tenders herewith
payment of the  exercise  price in full OR [ ] tenders the Warrant for  cashless
exercise, together with all applicable transfer taxes, if any.

     (2) Calculation of cashless exercise value, if applicable:
________________________________________________________________________________
_____________________________________________________________________.

                  (3) Please issue a certificate  or  certificates  representing
said shares of Common Stock in the name of the undersigned or in such other name
as is specified below:

                                    _________________________________
                                    (Name)

                                    _________________________________
                                    (Address)

                                    _________________________________

Dated:  ______________

                                            __________________________________
                                            Signature

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                                 ASSIGNMENT FORM

                    (To assign the foregoing Warrant, execute
                   this form and supply required information.
                 Do not use this form to exercise the Warrant.)

     FOR VALUE RECEIVED, the foregoing Warrant and all rights evidenced thereby
are hereby assigned to:

_________________________________________________ whose address is:

_________________________________________________

_________________________________________________

                                            Dated: _________________

                                       Holder's Signature:______________________

                                       Holder's Address:________________________

                                                        ________________________

Signature Guaranteed:  _____________________________________________

NOTE: The signature to this Assignment Form must correspond with the name as it
appears on the face of the Warrant, without alteration or enlargement or any
change whatsoever, and must be guaranteed by a bank or trust company. Officers
of corporations and those acting in a fiduciary or other representative capacity
should file proper evidence of authority to assign the foregoing Warrant.

                                       11Exhibit 10.247

                                 EXHIBIT 10.247
                           DASIBI ENVIRONMENTAL CORP.
                            a California Corporation

                             STOCK OPTION AGREEMENT
                      UNDER THE DASIBI ENVIRONMENTAL CORP.
                          EMPLOYEES' STOCK OPTION PLAN
                          ----------------------------

     1. Grant of Option. POLLUTION RESEARCH AND CONTROL CORP., a California
corporation (the "Company"), wishing to provide Imelda Facundo ("Grantee") an
opportunity to purchase shares of the Company's Common Stock ("Common Stock"),
no par value, hereby grants to Grantee and Grantee hereby accepts as of the 29th
day of June, 2000, an option to purchase 4,480 shares of Common Stock ("Option
Shares") at a price of $2.00 per share, on the terms and conditions stated
herein.

     2. Option Dates, Term of Option.

        2.1 Exerciseability. This Option may be immediately exercised and at any
time before the expiration of the term of this option

        2.2 Term of Option. This Option shall terminate on June 29, 2010 unless
earlier terminated as provided in this Section 2.

        2.3 Term for Ten Percent Shareholders. If on the date hereof, Grantee
owns shares of the Company's outstanding capital stock possessing more than 10%
of the total combined voting power of all classes of stock of the Company or of
its parent corporations or its subsidiary corporations ("affiliates"), this
Option shall terminate on June 29, 2005.

        2.4 Termination of Employment. If Grantee's employment by the Company or
any of its affiliates is terminated for any reason other than death or permanent
disability (within the meaning of Section 22(e)(3) of the Internal Revenue Code
of 1986, as amended (the "Code")), this Option shall immediately become void and
of no further force or effect; provided, however, that if such cessation of
employment shall be due to (i) Grantee's voluntary resignation with the consent
of the Board, expressed in the form of a written resignation, or (ii) Grantee's
retirement under the provisions of any Pension or Retirement Plan of the
Company, this Option shall terminate three (3) months after the date Grantee
ceases to be an employee of the Company or such affiliate. A leave of absence
approved in writing by the Board, including but not limited to, military service
leave or other temporary employment with the United States Government and sick
leave, shall not be deemed a termination of employment for the purposes of this
paragraph, but this Option may not be exercised after the first three (3) months
of such leave.

        2.5 Death or Permanent Disability. If Grantee shall die or become
permanently disabled while employed by the Company or one of its affiliates,
this Option shall expire one (1) year after the date of such death or permanent

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disability. During such period after death, Grantee's legal representative or
representatives, or the person or persons entitled to do so under Grantee's last
will and testament or under applicable interstate laws, shall have the right to
exercise this Option as to only the number of shares to which Grantee was
entitled to purchase on the date of his/her death.

        2.6 Terminating Transactions. Upon the dissolution or liquidation of the
Company, this Option shall terminate.

        2.7 Assumption by Successor. Upon the reorganization, merger or
consolidation of the Company with one or more corporations as a result of which
the Company is not the surviving corporation, the Board shall cause the
surviving corporation to assume this Option by converting this Option into an
option to purchase the stock of such successor or a parent or subsidiary
thereof, pursuant to the terms hereof.

     3. Non-Transferability of Option. Except by will or the laws descent and
distribution, this Option shall not be transferred, or assigned, pledged,
hypothecated or otherwise disposed of in any way, whether by operation of law or
otherwise. During Grantee's lifetime this Option is exercisable only by Grantee,
regardless of any community property interest therein of the spouse of Grantee,
or such spouse's permitted successor-in-interest. If the spouse of Grantee shall
have acquired a community property interest in this Option, Grantee or Grantee's
permitted successor-in-interest, may exercise this Option on behalf of the
spouse of Grantee or such spouse's permitted successor-in-interest.

     4. Adjustments. If the outstanding shares of the Common Stock are
increased, decreased, changed into or exchanged for a different number or king
of shares or securities of the Company through reorganization, recapitalization,
reclassification, stock dividend, stock split, reverse stock split or other
similar transaction, an appropriate and proportionate adjustment shall be made
in the maximum number and kind of shares subject to the unexercised portion of
this Option. Any such adjustment in the unexercised portion of this Option shall
be made without change in the aggregate purchase price applicable to the
unexercised portion of the Option but with a corresponding adjustment and price
for each share or other unit of any security covered by this Option. Adjustments
shall be made by the Board, whose determination as to what adjustments shall be
made and the extent thereof shall be final, binding and conclusive. No
fractional shares of stock shall be issued under this Option on any such
adjustment.

     5. Mechanics. This Option may be exercised by Grantee or any other person
then entitled to exercise it by giving ten (10) days written notice of exercise
to the Company specifying the number of Option Shares to be purchased and the
total purchase price, accompanied by payment of such purchase price, in cash, by
certified or cashier's check payable to the Company, or the tender of a
promissory note for the purchase price, secured by a pledge of the Option
Shares.

                                       2

<PAGE>

     6. Withholding Taxes. The Company shall have the right to require Grantee
or such other holder of the Option or the Option Shares to pay to the Company
any and all sums equal to any taxes which the Company may be required to
withhold by reason of the Option, the Option Shares or the disposition of the
Option or the Option Shares.

     7. Rights Before Issuance and Delivery. Neither Grantee nor any holder of
the Option shall be entitled to the privileges of stock ownership with respect
to the Option Shares unless and until such shares have been issued to such
person as fully paid shares.

     8. Sale or Disposition of Option Shares.

        8.1 General. By accepting this Option, Grantee represents and agrees for
himself and his transferees by will or the laws of descent and distribution
that, unless a registration statement under the Securities Act of 1933, as
amended (the "Act") is in effect as to the Option Shares purchased upont any
exercise of this Option, any and all Option Shares so purchased shall be
acquired for his personal account and not for sale or for distribution, and each
notice of the exercise of any portion of this Option shall be accompanied by a
representation and warranty in writing, signed by the person entitled to
exercise the same, that the Option Shares are being so acquired in good faith
for his personal account and not for sale or distribution. In the event the
Company's legal counsel shall advise it that registration under the Act of the
Option Shares as to which this Option is at the time being exercised is required
prior to delivery thereof, the Company shall not be required to issue or deliver
such Shares unless and until such legal counsel shall advise that such
registration has been completed or that it is not required.

        8.2 Legend. Until such time as the Option Shares are registered under
the Act, all stock certificates representing Option Shares, if the Option is
exercised, shall bear a legend in substantially the form that follows:

     "THE SHARES REPRESENTED BY THIS CERTIFICATE HAVE BEEN ISSUED
     WITHOUT REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED
     (THE "ACT"), AND MAY NOT BE REGISTERED OR SOLD IN THE ABSENCE OF
     REGISTRATION OR AN APPLICABLE EXEMPTION FROM THE REGISTRATION
     REQUIREMENTS OF THE ACT."

     Such certificates shall also bear the following legend:

     "IT IS UNLAWFUL TO CONSUMMATE A SALE OR TRANSFER OF THE SECURITY,
     OR ANY INTEREST THEREIN, OR TO RECEIVE ANY CONSIDERATION
     THEREFOR, WITHOUT THE PRIOR WRITTEN CONSENT OF THE COMMISSIONER
     OF CORPORATIONS OF THE STATE OF CALIFORNIA, EXCEPT AS PERMITTED
     BY THE COMMISSIONER'S RULES."

                                  3

<PAGE>

            8.3 Certain Securities Law Restrictions. This Option, as well as the
Option Shares, are subject to the restrictions upon transfer set forth in
Section 260.141 11, Title 10, California Administrative Code, a copy of which is
attached hereto as exhibit "A".

            8.4 Tax Treatment. In order to preserve the favored tax treatment
afforded stock options, Grantee should not dispose of any Option Shares within
two years of the date hereof or within one year after the purchase of such
shares.

     9.     Employment Obligation.

            9.1 General. In consideration for the granting of this Option,
Grantee agrees that during the period of his employment by the Company or its
affiliates, he shall faithfully and to the best of his ability devote his time,
energy and skills during all normal working hours to the service of the Company
or its subsidiaries in the promotion of their interests.

            9.2 No Guarantee of Employment. Nothing in this Agreement shall be
construed to confer upon Grantee any right to continued employment with the
Company or its affiliates or to restrict in any way the right of the Company or
its affiliates to terminate his employment or modify the terms and conditions
thereof at any time.

     10.    Employees' Stock Option Plan. This Option is subject to, and the
Company and Grantee agree to be bound by all of the terms and conditions of the
Company's Employees' Stock Option Plan ("Plan"), as the same may be amended from
time to time in accordance with the terms thereof. A copy of the Plan in its
present form is attached hereto as Exhibit "B".

     11.    Notices. Any notice to be given to the Company shall be addressed to
the Company at its principal office and any notice to be give to Grantee shall
be addressed to him at the address given beneath the signature hereto or at such
other address as Grantee may hereafter designate in writing to the Company. Any
such notice shall be deemed duly given when personally delivered or deposited in
the United States mail.

     12.    Applicable Law and Severability. This Option shall, in all respects,
be governed by the laws of the State of California applicable to agreements
executed and to be wholly performed within the State of California. Nothing
contained herein shall be construed so as to require the commission of any act
contrary to law, and wherever there is any conflict between any provision

                                       4

<PAGE>

contained herein and any present or future statute, law, ordinance or regulation
contrary to which the parties have no legal right to contract, the latter shall
prevail but the provision of this document which is affected shall be curtailed
and limited only to the extent necessary to bring it within the requirements of
the law.

     IN WITNESS WHEREOF, the parties have entered into this Option as of the day
and year first written above.

                                            POLLUTION RESEARCH AND CONTROL
                                            CORP.,
                                            a California corporation

/s/  Imelda Facundo                         By:  /s/  Albert E. Gosselin
-------------------                            --------------------------------
Grantee (Signature)                                   Albert E. Gosselin
506 Paula Avenue
Glendale, Ca 91201

                                       5

<PAGE>

                     To Pollution Research and Control Corp.

                   NOTICE AND AGREEMENT OF EXERCISE OF OPTION

     I hereby exercise the Option granted to me by POLLUTION RESEARCH AND
CONTROL CORP., a California corporation ("PRCC"), dated as of June 29, 2000 as
to 4,480 shares of PRCC's no par value Common Stock.

     Enclosed are the documents and payment specified in Paragraph 5 of my
Agreement regarding the Option.

 Imelda Facundo                             By:  /s/  Imelda Fucundo
-----------------------------                  --------------------------------
(Print Your Name)                                     Imelda Fucundo

                                       6

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