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                       INTERNAP NETWORK SERVICES CORPORATION

                         AMENDED 1999 EQUITY INCENTIVE PLAN

                               ADOPTED JUNE 19, 1999
                      APPROVED BY SHAREHOLDERS AUGUST 23, 1999
              AS AMENDED BY THE BOARD OF DIRECTORS ON DECEMBER 9, 1999
                          TERMINATION DATE: JUNE 18, 2009

1.     PURPOSES.

       (a)    ELIGIBLE STOCK AWARD RECIPIENTS.  The persons eligible to receive
Stock Awards are the Employees, Directors and Consultants of the Company and its
Affiliates.

       (b)    AVAILABLE STOCK AWARDS.  The purpose of the Plan is to provide a
means by which eligible recipients of Stock Awards may be given an opportunity
to benefit from increases in value of the Common Stock through the granting of
the following Stock Awards:  (i) Incentive Stock Options, (ii) Nonstatutory
Stock Options, (iii) stock bonuses and (iv) rights to acquire restricted stock.

       (c)    GENERAL PURPOSE.  The Company, by means of the Plan, seeks to
retain the services of the group of persons eligible to receive Stock Awards, to
secure and retain the services of new members of this group and to provide
incentives for such persons to exert maximum efforts for the success of the
Company and its Affiliates.

2.     DEFINITIONS.

       (a)    "AFFILIATE" means any parent corporation or subsidiary corporation
of the Company, whether now or hereafter existing, as those terms are defined in
Sections 424(e) and (f), respectively, of the Code.

       (b)    "BOARD" means the Board of Directors of the Company.

       (c)    "CAUSE" shall have such meaning as is defined in the
Optionholder's employment or consulting agreement with the Company.  If the
Optionholder does not have an employment or consulting agreement with the
Company, or if such agreement does not define the term "cause," then the term
"cause" shall mean: (i) misconduct or dishonesty that materially adversely
affects the Company, including without limitation (A) an act materially in
conflict with the financial interests of the Corporation, (B) an act that could
damage the reputation or customer relations of the Company, (C) an act that
could subject the Company to liability, (D) an act constituting sexual
harassment or other violation of the civil rights of coworkers, (E) failure to
obey any lawful instruction of the Board or any officer of the Company and (F)
failure to comply with, or perform any duty required under, the terms of any
confidentiality, inventions or non-competition agreement the Optionholder may
have with the Company, or (ii) acts constituting

                                     1.
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the unauthorized disclosure of any of the trade secrets or confidential
information of the Company, unfair competition with the Company or the
inducement of any customer of the Company to breach any contract with the
Company.  The right to exercise any Option shall be suspended automatically
during the pendency of any investigation by the Board or its designee, and/or
any negotiations by the Board or its designee and the Optionholder, regarding
any actual or alleged act or omission by the Optionholder of the type
described in this section.

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

       (e)    "COMMITTEE" means a committee of one or more members of the Board
appointed by the Board in accordance with subsection 3(c).

       (f)    "COMMON STOCK" means the common stock of the Company.

       (g)    "COMPANY" means InterNAP Network Services Corporation, a
Washington corporation.

       (h)    "CONSULTANT" means any person, including an advisor, (i) engaged
by the Company or an Affiliate to render consulting or advisory services and who
is compensated for such services or (ii) who is a member of the Board of
Directors of an Affiliate.  However, the term "Consultant" shall not include
either Directors who are not compensated by the Company for their services as
Directors or Directors who are merely paid a director's fee by the Company for
their services as Directors.

       (i)    "CONTINUOUS SERVICE" means that the Participant's service with the
Company or an Affiliate, whether as an Employee, Director or Consultant, is not
interrupted or terminated.  The Participant's Continuous Service shall not be
deemed to have terminated merely because of a change in the capacity in which
the Participant renders service to the Company or an Affiliate as an Employee,
Consultant or Director or a change in the entity for which the Participant
renders such service, provided that there is no interruption or termination of
the Participant's Continuous Service.  For example, a change in status from an
Employee of the Company to a Consultant of an Affiliate or a Director will not
constitute an interruption of Continuous Service.  The Board or the chief
executive officer of the Company, in that party's sole discretion, may determine
whether Continuous Service shall be considered interrupted in the case of any
leave of absence approved by that party, including sick leave, military leave or
any other personal leave.

       (j)    "COVERED EMPLOYEE" means the chief executive officer and the four
(4) other highest compensated officers of the Company for whom total
compensation is required to be reported to shareholders under the Exchange Act,
as determined for purposes of Section 162(m) of the Code.

       (k)    "DIRECTOR" means a member of the Board of Directors of the
Company.

       (l)    "DISABILITY" means (i) before the Listing Date, the inability of a
person, in the opinion of a qualified physician acceptable to the Company, to
perform the major duties of that person's position with the Company or an
Affiliate of the Company because of the sickness or

                                     2.
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injury of the person and (ii) after the Listing Date, the permanent and total
disability of a person within the meaning of Section 22(e)(3) of the Code.

       (m)    "EMPLOYEE" means any person employed by the Company or an
Affiliate.  Mere service as a Director or payment of a director's fee by the
Company or an Affiliate shall not be sufficient to constitute "employment" by
the Company or an Affiliate.

       (n)    "EXCHANGE ACT" means the Securities Exchange Act of 1934, as
amended.

       (o)    "FAIR MARKET VALUE" means, as of any date, the value of the Common
Stock determined as follows:

              (i)    If the Common Stock is listed on any established stock
exchange or traded on the NASDAQ National Market or the NASDAQ SmallCap Market,
the Fair Market Value of a share of Common Stock shall be the closing sales
price for such stock (or the closing bid, if no sales were reported) as quoted
on such exchange or market (or the exchange or market with the greatest volume
of trading in the Common Stock) on the day of determination, as reported in THE
WALL STREET JOURNAL or such other source as the Board deems reliable.

              (ii)   In the absence of such markets for the Common Stock, the
Fair Market Value shall be determined in good faith by the Board.

              (iii)  Prior to the Listing Date, the value of the Common Stock
shall be determined in a manner consistent with Section 260.140.50 of Title 10
of the California Code of Regulations.

       (p)    "INCENTIVE STOCK OPTION" means an Option intended to qualify as an
incentive stock option within the meaning of Section 422 of the Code and the
regulations promulgated thereunder.

       (q)    "LISTING DATE" means the first date upon which any security of the
Company is listed (or approved for listing) upon notice of issuance on any
securities exchange or designated (or approved for designation) upon notice of
issuance as a national market security on an interdealer quotation system if
such securities exchange or interdealer quotation system has been certified in
accordance with the provisions of Section 25100(o) of the California Corporate
Securities Law of 1968.

       (r)    "NON-EMPLOYEE DIRECTOR" means a Director who either (i) is not a
current Employee or Officer of the Company or its parent or a subsidiary, does
not receive compensation (directly or indirectly) from the Company or its parent
or a subsidiary for services rendered as a consultant or in any capacity other
than as a Director (except for an amount as to which disclosure would not be
required under Item 404(a) of Regulation S-K promulgated pursuant to the
Securities Act ("Regulation S-K")), does not possess an interest in any other
transaction as to which disclosure would be required under Item 404(a) of
Regulation S-K and is not engaged in a business relationship as to which
disclosure would be required under Item 404(b) of Regulation S-K; or (ii) is
otherwise considered a "non-employee director" for purposes of Rule 16b-3.

                                     3.
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       (s)    "NONSTATUTORY STOCK OPTION" means an Option not intended to
qualify as an Incentive Stock Option.

       (t)    "OFFICER" means (i) before the Listing Date, any person designated
by the Company as an officer and (ii) on and after the Listing Date, 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 thereunder.

       (u)    "OPTION" means an Incentive Stock Option or a Nonstatutory Stock
Option granted pursuant to the Plan.

       (v)    "OPTION AGREEMENT" means a written agreement between the Company
and an Optionholder evidencing the terms and conditions of an individual Option
grant.  Each Option Agreement shall be subject to the terms and conditions of
the Plan.

       (w)    "OPTIONHOLDER" means a person to whom an Option is granted
pursuant to the Plan or, if applicable, such other person who holds an
outstanding Option.

       (x)    "OUTSIDE DIRECTOR" means a Director who either (i) is not a
current employee of the Company or an "affiliated corporation" (within the
meaning of Treasury Regulations promulgated under Section 162(m) of the Code),
is not a former employee of the Company or an "affiliated corporation" receiving
compensation for prior services (other than benefits under a tax qualified
pension plan), was not an officer of the Company or an "affiliated corporation"
at any time and is not currently receiving direct or indirect remuneration from
the Company or an "affiliated corporation" for services in any capacity other
than as a Director or (ii) is otherwise considered an "outside director" for
purposes of Section 162(m) of the Code.

       (y)    "PARTICIPANT" means a person to whom a Stock Award is granted
pursuant to the Plan or, if applicable, such other person who holds an
outstanding Stock Award.

       (z)    "PLAN" means this InterNAP Network Services Corporation 1999
Equity Incentive Plan.

       (aa)   "RULE 16b-3" means Rule 16b-3 promulgated under the Exchange Act
or any successor to Rule 16b-3, as in effect from time to time.

       (bb)   "SECURITIES ACT" means the Securities Act of 1933, as amended.

       (cc)   "STOCK AWARD" means any right granted under the Plan, including an
Option, a stock bonus and a right to acquire restricted stock.

       (dd)   "STOCK AWARD AGREEMENT" means a written agreement between the
Company and a holder of a Stock Award evidencing the terms and conditions of an
individual Stock Award grant.  Each Stock Award Agreement shall be subject to
the terms and conditions of the Plan.

                                     4.
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       (ee)   "TEN PERCENT SHAREHOLDER" means a person who owns (or is deemed to
own pursuant to Section 424(d) of the Code) stock possessing more than ten
percent (10%) of the total combined voting power of all classes of stock of the
Company or of any of its Affiliates.

3.     ADMINISTRATION.

       (a)    ADMINISTRATION BY BOARD.  The Board shall administer the Plan
unless and until the Board delegates administration to a Committee, as provided
in subsection 3(c).  Any interpretation of the Plan by the Board and any
decision by the Board under the Plan shall be final and binding on all persons.

       (b)    POWERS OF BOARD.  The Board shall have the power, subject to, and
within the limitations of, the express provisions of the Plan:

              (i)    To determine from time to time which of the persons
eligible under the Plan shall be granted Stock Awards; when and how each Stock
Award shall be granted; what type or combination of types of Stock Award shall
be granted; the provisions of each Stock Award granted (which need not be
identical), including the time or times when a person shall be permitted to
receive Common Stock pursuant to a Stock Award; and the number of shares of
Common Stock with respect to which a Stock Award shall be granted to each such
person.

              (ii)   To construe and interpret the Plan and Stock Awards granted
under it, and to establish, amend and revoke rules and regulations for its
administration.  The Board, in the exercise of this power, may correct any
defect, omission or inconsistency in the Plan or in any Stock Award Agreement,
in a manner and to the extent it shall deem necessary or expedient to make the
Plan fully effective.

              (iii)  To amend the Plan or a Stock Award as provided in Section
12.

              (iv)   Generally, to exercise such powers and to perform such acts
as the Board deems necessary or expedient to promote the best interests of the
Company which are not in conflict with the provisions of the Plan.

       (c)    DELEGATION TO COMMITTEE.

              (i)    GENERAL.  The Board may delegate administration of the Plan
to a Committee or Committees of one (1) or more members of the Board, and the
term "Committee" shall apply to any person or persons to whom such authority has
been delegated.  If administration is delegated to a Committee, the Committee
shall have, in connection with the administration of the Plan, the powers
theretofore possessed by the Board, including the power to delegate to a
subcommittee any of the administrative powers the Committee is authorized to
exercise (and references in this Plan to the Board shall thereafter be to the
Committee or subcommittee), subject, however, to such resolutions, not
inconsistent with the provisions of the Plan, as may be adopted from time to
time by the Board.  The Board may abolish the Committee at any time and revest
in the Board the administration of the Plan.

                                     5.
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              (ii)   COMMITTEE COMPOSITION WHEN COMMON STOCK IS PUBLICLY TRADED.
At such time as the Common Stock is publicly traded, in the discretion of the
Board, a Committee may consist solely of two or more Outside Directors, in
accordance with Section 162(m) of the Code, and/or solely of two or more Non-
Employee Directors, in accordance with Rule 16b-3.  Within the scope of such
authority, the Board or the Committee may (1) delegate to a committee of one or
more members of the Board who are not Outside Directors the authority to grant
Stock Awards to eligible persons who are either (a) not then Covered Employees
and are not expected to be Covered Employees at the time of recognition of
income resulting from such Stock Award or (b) not persons with respect to whom
the Company wishes to comply with Section 162(m) of the Code and/or) (2)
delegate to a committee of one or more members of the Board who are not Non-
Employee Directors the authority to grant Stock Awards to eligible persons who
are not then subject to Section 16 of the Exchange Act.

4.     SHARES SUBJECT TO THE PLAN.

       (a)    SHARE RESERVE.  Subject to the provisions of Section 11 relating
to adjustments upon changes in Common Stock, the Common Stock that may be issued
pursuant to Stock Awards shall not exceed in the aggregate six million five
hundred thousand (6,500,000) shares of Common Stock.  As of the first nine (9)
anniversaries of the effective date of the Plan, the number of shares of Common
Stock that may be issued pursuant to Stock Awards will automatically be
increased by the lesser of (i) three and one-half percent (3 1/2%) of the total
number of shares of Common Stock outstanding on such anniversary date, or (ii)
six million five hundred thousand (6,500,000) shares.

       (b)    REVERSION OF SHARES TO THE SHARE RESERVE.  If any Stock Award
shall for any reason expire or otherwise terminate, in whole or in part, without
having been exercised in full, the shares of Common Stock not acquired under
such Stock Award shall revert to and again become available for issuance under
the Plan.

       (c)    SOURCE OF SHARES.  The shares of Common Stock subject to the Plan
may be unissued shares or reacquired shares, bought on the market or otherwise.

       (d)    SHARE RESERVE LIMITATION.  Prior to the Listing Date and to the
extent then required by Section 260.140.45 of Title 10 of the California Code of
Regulations, the total number of shares of Common Stock issuable upon exercise
of all outstanding Options and the total number of shares of Common Stock
provided for under any stock bonus or similar plan of the Company shall not
exceed the applicable percentage as calculated in accordance with the conditions
and exclusions of Section 260.140.45 of Title 10 of the California Code of
Regulations, based on the shares of Common Stock of the Company that are
outstanding at the time the calculation is made.

5.     ELIGIBILITY.

       (a)    ELIGIBILITY FOR SPECIFIC STOCK AWARDS.  Incentive Stock Options
may be granted only to Employees.  Stock Awards other than Incentive Stock
Options may be granted to Employees, Directors and Consultants.

                                     6.
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       (b)    TEN PERCENT SHAREHOLDERS.

              (i)    A Ten Percent Shareholder shall not be granted an Incentive
Stock Option unless the exercise price of such Option is at least one hundred
ten percent (110%) of the Fair Market Value of the Common Stock at the date of
grant and the Option is not exercisable after the expiration of five (5) years
from the date of grant.

              (ii)   Prior to the Listing Date, a Ten Percent Shareholder shall
not be granted a Nonstatutory Stock Option unless the exercise price of such
Option is at least (i) one hundred ten percent (110%) of the Fair Market Value
of the Common Stock at the date of grant or (ii) such lower percentage of the
Fair Market Value of the Common Stock at the date of grant as is permitted by
Section 260.140.41 of Title 10 of the California Code of Regulations at the time
of the grant of the Option.

              (iii)  Prior to the Listing Date, a Ten Percent Shareholder shall
not be granted a restricted stock award unless the purchase price of the
restricted stock is at least (i) one hundred percent (100%) of the Fair Market
Value of the Common Stock at the date of grant or (ii) such lower percentage of
the Fair Market Value of the Common Stock at the date of grant as is permitted
by Section 260.140.41 of Title 10 of the California Code of Regulations at the
time of the grant of the Option.

       (c)    SECTION 162(m) LIMITATION.  Subject to the provisions of Section
11 relating to adjustments upon changes in the shares of Common Stock, no
Employee shall be eligible to be granted Options covering more than three
million (3,000,000) shares of Common Stock during any calendar year.  This
subsection 5(c) shall not apply prior to the Listing Date and, following the
Listing Date, this subsection 5(c) shall not apply until (i) the earliest of:
(1) the first material modification of the Plan (including any increase in the
number of shares of Common Stock reserved for issuance under the Plan in
accordance with Section 4); (2) the issuance of all of the shares of Common
Stock reserved for issuance under the Plan; (3) the expiration of the Plan; or
(4) the first meeting of shareholders at which Directors are to be elected that
occurs after the close of the third calendar year following the calendar year in
which occurred the first registration of an equity security under Section 12 of
the Exchange Act; or (ii) such other date required by Section 162(m) of the Code
and the rules and regulations promulgated thereunder.

       (d)    CONSULTANTS.

              (i)    Prior to the Listing Date, a Consultant shall not be
eligible for the grant of a Stock Award if, at the time of grant, either the
offer or the sale of the Company's securities to such Consultant is not exempt
under Rule 701 of the Securities Act ("Rule 701") because of the nature of the
services that the Consultant is providing to the Company, or because the
Consultant is not a natural person, or as otherwise provided by Rule 701, unless
the Company determines that such grant need not comply with the requirements of
Rule 701 and will satisfy another exemption under the Securities Act as well as
comply with the securities laws of all other relevant jurisdictions.

                                     7.
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              (ii)   From and after the Listing Date, a Consultant shall not be
eligible for the grant of a Stock Award if, at the time of grant, a Form S-8
Registration Statement under the Securities Act ("Form S-8") is not available to
register either the offer or the sale of the Company's securities to such
Consultant because of the nature of the services that the Consultant is
providing to the Company, or because the Consultant is not a natural person, or
as otherwise provided by the rules governing the use of Form S-8, unless the
Company determines both (i) that such grant (A) shall be registered in another
manner under the Securities Act (E.G., on a Form S-3 Registration Statement) or
(B) does not require registration under the Securities Act in order to comply
with the requirements of the Securities Act, if applicable, and (ii) that such
grant complies with the securities laws of all other relevant jurisdictions.

6.     OPTION PROVISIONS.

       Each Option shall be in such form and shall contain such terms and
conditions as the Board shall deem appropriate.  All Options shall be separately
designated Incentive Stock Options or Nonstatutory Stock Options at the time of
grant, and, if certificates are issued, a separate certificate or certificates
will be issued for shares of Common Stock purchased on exercise of each type of
Option.  The provisions of separate Options need not be identical, but each
Option shall include (through incorporation of provisions hereof by reference in
the Option or otherwise) the substance of each of the following provisions:

       (a)    TERM.  Subject to the provisions of subsection 5(b) regarding Ten
Percent Shareholders, no Option granted prior to the Listing Date shall be
exercisable after the expiration of ten (10) years from the date it was granted,
and no Incentive Stock Option granted on or after the Listing Date shall be
exercisable after the expiration of ten (10) years from the date it was granted.

       (b)    EXERCISE PRICE OF AN INCENTIVE STOCK OPTION.  Subject to the
provisions of subsection 5(b) regarding Ten Percent Shareholders, the exercise
price of each Incentive Stock Option shall be not less than one hundred percent
(100%) of the Fair Market Value of the Common Stock subject to the Option on the
date the Option is granted.  Notwithstanding the foregoing, an Incentive Stock
Option may be granted with an exercise price lower than that set forth in the
preceding sentence if such Option is granted pursuant to an assumption or
substitution for another option in a manner satisfying the provisions of Section
424(a) of the Code.

       (c)    EXERCISE PRICE OF A NONSTATUTORY STOCK OPTION.  Subject to the
provisions of subsection 5(b) regarding Ten Percent Shareholders, the exercise
price of each Nonstatutory Stock Option granted prior to the Listing Date shall
be not less than eighty-five percent (85%) of the Fair Market Value of the
Common Stock subject to the Option on the date the Option is granted.  The
exercise price of each Nonstatutory Stock Option granted on or after the Listing
Date shall be not less than eighty-five percent (85%) of the Fair Market Value
of the Common Stock subject to the Option on the date the Option is granted.
Notwithstanding the foregoing, a Nonstatutory Stock Option may be granted with
an exercise price lower than that set forth in the preceding sentence if such
Option is granted pursuant to an assumption or substitution for another option
in a manner satisfying the provisions of Section 424(a) of the Code.

                                     8.
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       (d)    CONSIDERATION.  The purchase price of Common Stock acquired
pursuant to an Option shall be paid, to the extent permitted by applicable
statutes and regulations, either (i) in cash at the time the Option is exercised
or (ii) at the discretion of the Board at the time of the grant of the Option
(or subsequently in the case of a Nonstatutory Stock Option) (1) by delivery to
the Company of other Common Stock, (2) according to a deferred payment or other
similar arrangement with the Optionholder (including an arrangement involving a
promissory note issued by the Optionholder) or (3) in any other form of legal
consideration that may be acceptable to the Board; provided, however, that at
any time that the Company is incorporated in Delaware, payment of the Common
Stock's "par value," as defined in the Delaware General Corporation Law, shall
not be made by deferred payment.

       In the case of any deferred payment arrangement, interest shall be
compounded at least annually and shall be charged at the minimum rate of
interest necessary to avoid the treatment as interest, under any applicable
provisions of the Code, of any amounts other than amounts stated to be interest
under the deferred payment arrangement.

       (e)    TRANSFERABILITY OF AN INCENTIVE STOCK OPTION.  An Incentive Stock
Option shall not be transferable except by will or by the laws of descent and
distribution and shall be exercisable during the lifetime of the Optionholder
only by the Optionholder.  Notwithstanding the foregoing, the Optionholder may,
by delivering written notice to the Company, in a form satisfactory to the
Company, designate a third party who, in the event of the death of the
Optionholder, shall thereafter be entitled to exercise the Option.

       (f)    TRANSFERABILITY OF A NONSTATUTORY STOCK OPTION. A Nonstatutory
Stock Option granted prior to the Listing Date shall not be transferable except
by will or by the laws of descent and distribution and, to the extent provided
in the Option Agreement, to such further extent as permitted by Section
260.140.41(d) of Title 10 of the California Code of Regulations at the time of
the grant of the Option, and shall be exercisable during the lifetime of the
Optionholder only by the Optionholder.  A Nonstatutory Stock Option granted on
or after the Listing Date shall be transferable to the extent provided in the
Option Agreement.  If the Nonstatutory Stock Option does not provide for
transferability, then the Nonstatutory Stock Option shall not be transferable
except by will or by the laws of descent and distribution and shall be
exercisable during the lifetime of the Optionholder only by the Optionholder.
Notwithstanding the foregoing, the Optionholder may, by delivering written
notice to the Company, in a form satisfactory to the Company, designate a third
party who, in the event of the death of the Optionholder, shall thereafter be
entitled to exercise the Option.

       (g)    VESTING GENERALLY.  The total number of shares of Common Stock
subject to an Option may, but need not, vest and therefore become exercisable in
periodic installments that may, but need not, be equal.  The Option may be
subject to such other terms and conditions on the time or times when it may be
exercised (which may be based on performance or other criteria) as the Board may
deem appropriate.  The vesting provisions of individual Options may vary.  The
provisions of this subsection 6(g) are subject to any Option provisions
governing the minimum number of shares of Common Stock as to which an Option may
be exercised.

                                     9.
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       (h)    MINIMUM VESTING PRIOR TO THE LISTING DATE.  Notwithstanding the
foregoing subsection 6(g), to the extent that the following restrictions on
vesting are required by Section 260.140.41(f) of Title 10 of the California Code
of Regulations at the time of the grant of the Option, then:

              (i)    Options granted prior to the Listing Date to an Employee
who is not an Officer, Director or Consultant shall provide for vesting of the
total number of shares of Common Stock at a rate of at least twenty percent
(20%) per year over five (5) years from the date the Option was granted, subject
to reasonable conditions such as continued employment;  and

              (ii)   Options granted prior to the Listing Date to Officers,
Directors or Consultants may be made fully exercisable, subject to reasonable
conditions such as continued employment, at any time or during any period
established by the Company.

       (i)    TERMINATION OF CONTINUOUS SERVICE.  In the event an Optionholder's
Continuous Service terminates (other than upon the Optionholder's death or
Disability or for Cause), the Optionholder may exercise his or her Option (to
the extent that the Optionholder was entitled to exercise such Option as of the
date of termination) but only within such period of time ending on the earlier
of (i) the date three (3) months following the termination of the Optionholder's
Continuous Service (or such longer or shorter period specified in the Option
Agreement, which period shall not be less than thirty (30) days for Options
granted prior to the Listing Date unless such termination is for cause), or (ii)
the expiration of the term of the Option as set forth in the Option Agreement.
If, after termination, the Optionholder does not exercise his or her Option
within the time specified in the Option Agreement, the Option shall terminate.
In the event an Optionholder's Continuous Service terminates for Cause, then his
or her Option shall terminate immediately upon such event.

       (j)    EXTENSION OF TERMINATION DATE.  An Optionholder's Option Agreement
may also provide that if the exercise of the Option following the termination of
the Optionholder's Continuous Service (other than upon the Optionholder's death
or Disability or for Cause) would be prohibited at any time solely because the
issuance of shares of Common Stock would violate the registration requirements
under the Securities Act, then the Option shall terminate on the earlier of (i)
the expiration of the term of the Option set forth in subsection 6(a) or (ii)
the expiration of a period of three (3) months after the termination of the
Optionholder's Continuous Service during which the exercise of the Option would
not be in violation of such registration requirements.

       (k)    DISABILITY OF OPTIONHOLDER.  In the event that an Optionholder's
Continuous Service terminates as a result of the Optionholder's Disability, the
Optionholder may exercise his or her Option (to the extent that the Optionholder
was entitled to exercise such Option as of the date of termination), but only
within such period of time ending on the earlier of (i) the date twelve (12)
months following such termination (or such longer or shorter period specified in
the Option Agreement, which period shall not be less than six (6) months for
Options granted prior to the Listing Date) or (ii) the expiration of the term of
the Option as set forth in the Option

                                     10.
<PAGE>

Agreement.  If, after termination, the Optionholder does not exercise his or
her Option within the time specified herein, the Option shall terminate.

       (l)    DEATH OF OPTIONHOLDER.  In the event (i) an Optionholder's
Continuous Service terminates as a result of the Optionholder's death or (ii)
the Optionholder dies within the period (if any) specified in the Option
Agreement after the termination of the Optionholder's Continuous Service for a
reason other than death, then the Option may be exercised (to the extent the
Optionholder was entitled to exercise such Option as of the date of death) by
the Optionholder's estate, by a person who acquired the right to exercise the
Option by bequest or inheritance or by a person designated to exercise the
option upon the Optionholder's death pursuant to subsection 6(e) or 6(f), but
only within the period ending on the earlier of (1) the date eighteen (18)
months following the date of death (or such longer or shorter period specified
in the Option Agreement, which period shall not be less than six (6) months for
Options granted prior to the Listing Date) or (2) the expiration of the term of
such Option as set forth in the Option Agreement.  If, after death, the Option
is not exercised within the time specified herein, the Option shall terminate.

       (m)    EARLY EXERCISE.  The Option may, but need not, include a provision
whereby the Optionholder may elect at any time before the Optionholder's
Continuous Service terminates to exercise the Option as to any part or all of
the shares of Common Stock subject to the Option prior to the full vesting of
the Option.  Subject to the "Repurchase Limitation" in subsection 10(h), any
unvested shares of Common Stock so purchased may be subject to a repurchase
option in favor of the Company or to any other restriction the Board determines
to be appropriate.

       (n)    RIGHT OF REPURCHASE.  Subject to the "Repurchase Limitation" in
subsection 10(h), the Option may, but need not, include a provision whereby the
Company may elect, prior to the Listing Date, to repurchase all or any part of
the vested shares of Common Stock acquired by the Optionholder pursuant to the
exercise of the Option.

       (o)    RIGHT OF FIRST REFUSAL.  The Option may, but need not, include a
provision whereby the Company may elect, prior to the Listing Date, to exercise
a right of first refusal following receipt of notice from the Optionholder of
the intent to transfer all or any part of the shares of Common Stock received
upon the exercise of the Option.  Except as expressly provided in this
subsection 6(o), such right of first refusal shall otherwise comply with any
applicable provisions of the Bylaws of the Company.

       (p)    RE-LOAD OPTIONS.  Without in any way limiting the authority of the
Board to make or not to make grants of Options hereunder, the Board shall have
the authority (but not an obligation) to include as part of any Option Agreement
a provision entitling the Optionholder to a further Option (a "Re-Load Option")
in the event the Optionholder exercises the Option evidenced by the Option
Agreement, in whole or in part, by surrendering other shares of Common Stock in
accordance with this Plan and the terms and conditions of the Option Agreement.
Any such Re-Load Option shall (i) provide for a number of shares of Common Stock
equal to the number of shares of Common Stock surrendered as part or all of the
exercise price of such Option; (ii) have an expiration date which is the same as
the expiration date of the

                                     11.
<PAGE>

Option the exercise of which gave rise to such Re-Load Option; and (iii) have
an exercise price which is equal to one hundred percent (100%) of the Fair
Market Value of the Common Stock subject to the Re-Load Option on the date of
exercise of the original Option.  Notwithstanding the foregoing, a Re-Load
Option shall be subject to the same exercise price and term provisions
heretofore described for Options under the Plan.

              Any such Re-Load Option may be an Incentive Stock Option or a
Nonstatutory Stock Option, as the Board may designate at the time of the grant
of the original Option; provided, however, that the designation of any Re-Load
Option as an Incentive Stock Option shall be subject to the one hundred thousand
dollar ($100,000) annual limitation on the exercisability of Incentive Stock
Options described in subsection 10(d) and in Section 422(d) of the Code.  There
shall be no Re-Load Options on a Re-Load Option.  Any such Re-Load Option shall
be subject to the availability of sufficient shares of Common Stock under
subsection 4(a) and the "Section 162(m) Limitation" on the grants of Options
under subsection 5(c) and shall be subject to such other terms and conditions as
the Board may determine which are not inconsistent with the express provisions
of the Plan regarding the terms of Options.

7.     PROVISIONS OF STOCK AWARDS OTHER THAN OPTIONS.

       (a)    STOCK BONUS AWARDS.  Each stock bonus agreement shall be in such
form and shall contain such terms and conditions as the Board shall deem
appropriate.  The terms and conditions of stock bonus agreements may change from
time to time, and the terms and conditions of separate stock bonus agreements
need not be identical, but each stock bonus agreement shall include (through
incorporation of provisions hereof by reference in the agreement or otherwise)
the substance of each of the following provisions:

              (i)    CONSIDERATION.  A stock bonus may be awarded in
consideration for past services actually rendered to the Company or an Affiliate
for its benefit.

              (ii)   VESTING.  Subject to the "Repurchase Limitation" in
subsection 10(h), shares of Common Stock awarded under the stock bonus agreement
may, but need not, be subject to a share repurchase option in favor of the
Company in accordance with a vesting schedule to be determined by the Board.

              (iii)  TERMINATION OF PARTICIPANT'S CONTINUOUS SERVICE.  Subject
to the "Repurchase Limitation" in subsection 10(h), in the event a Participant's
Continuous Service terminates, the Company may reacquire any or all of the
shares of Common Stock held by the Participant which have not vested as of the
date of termination under the terms of the stock bonus agreement.

              (iv)   TRANSFERABILITY.  For a stock bonus award made before the
Listing Date, rights to acquire shares of Common Stock under the stock bonus
agreement shall not be transferable except by will or by the laws of descent and
distribution and shall be exercisable during the lifetime of the Participant
only by the Participant.  For a stock bonus award made on or after the Listing
Date, rights to acquire shares of Common Stock under the stock bonus agreement
shall be transferable by the Participant only upon such terms and conditions as
are set

                                     12.
<PAGE>

forth in the stock bonus agreement, as the Board shall determine in its
discretion, so long as Common Stock awarded under the stock bonus agreement
remains subject to the terms of the stock bonus agreement.

       (b)    RESTRICTED STOCK AWARDS.  Each restricted stock purchase agreement
shall be in such form and shall contain such terms and conditions as the Board
shall deem appropriate.  The terms and conditions of the restricted stock
purchase agreements may change from time to time, and the terms and conditions
of separate restricted stock purchase agreements need not be identical, but each
restricted stock purchase agreement shall include (through incorporation of
provisions hereof by reference in the agreement or otherwise) the substance of
each of the following provisions:

              (i)    PURCHASE PRICE.  Subject to the provisions of subsection
5(b) regarding Ten Percent Shareholders, the purchase price under each
restricted stock purchase agreement shall be such amount as the Board shall
determine and designate in such restricted stock purchase agreement.  For
restricted stock awards made prior to the Listing Date, the purchase price shall
not be less than eighty-five percent (85%) of the Common Stock's Fair Market
Value on the date such award is made or at the time the purchase is consummated.
For restricted stock awards made on or after the Listing Date, the purchase
price shall not be less than eighty-five percent (85%) of the Common Stock's
Fair Market Value on the date such award is made or at the time the purchase is
consummated.

              (ii)   CONSIDERATION.  The purchase price of Common Stock acquired
pursuant to the restricted stock purchase agreement shall be paid either:  (i)
in cash at the time of purchase; (ii) at the discretion of the Board, according
to a deferred payment or other similar arrangement with the Participant; or
(iii) in any other form of legal consideration that may be acceptable to the
Board in its discretion; provided, however, that at any time that the Company is
incorporated in Delaware, then payment of the Common Stock's "par value," as
defined in the Delaware General Corporation Law, shall not be made by deferred
payment.

              (iii)  VESTING.  Subject to the "Repurchase Limitation" in
subsection 10(h), shares of Common Stock acquired under the restricted stock
purchase agreement may, but need not, be subject to a share repurchase option in
favor of the Company in accordance with a vesting schedule to be determined by
the Board.

              (iv)   TERMINATION OF PARTICIPANT'S CONTINUOUS SERVICE.  Subject
to the "Repurchase Limitation" in subsection 10(h), in the event a Participant's
Continuous Service terminates, the Company may repurchase or otherwise reacquire
any or all of the shares of Common Stock held by the Participant which have not
vested as of the date of termination under the terms of the restricted stock
purchase agreement.

              (v)    TRANSFERABILITY.  For a restricted stock award made before
the Listing Date, rights to acquire shares of Common Stock under the restricted
stock purchase agreement shall not be transferable except by will or by the laws
of descent and distribution and shall be exercisable during the lifetime of the
Participant only by the Participant.  For a restricted stock award made on or
after the Listing Date, rights to acquire shares of Common Stock under the

                                     13.
<PAGE>

restricted stock purchase agreement shall be transferable by the Participant
only upon such terms and conditions as are set forth in the restricted stock
purchase agreement, as the Board shall determine in its discretion, so long as
Common Stock awarded under the restricted stock purchase agreement remains
subject to the terms of the restricted stock purchase agreement.

8.     COVENANTS OF THE COMPANY.

       (a)    AVAILABILITY OF SHARES.  During the terms of the Stock Awards, the
Company shall keep available at all times the number of shares of Common Stock
required to satisfy such Stock Awards.

       (b)    SECURITIES LAW COMPLIANCE.  The Company shall seek to obtain from
each regulatory commission or agency having jurisdiction over the Plan such
authority as may be required to grant Stock Awards and to issue and sell shares
of Common Stock upon exercise of the Stock Awards; provided, however, that this
undertaking shall not require the Company to register under the Securities Act
the Plan, any Stock Award or any Common Stock issued or issuable pursuant to any
such Stock Award.  If, after reasonable efforts, the Company is unable to obtain
from any such regulatory commission or agency the authority which counsel for
the Company deems necessary for the lawful issuance and sale of Common Stock
under the Plan, the Company shall be relieved from any liability for failure to
issue and sell Common Stock upon exercise of such Stock Awards unless and until
such authority is obtained.

9.     USE OF PROCEEDS FROM STOCK.

       Proceeds from the sale of Common Stock pursuant to Stock Awards shall
constitute general funds of the Company.

10.    MISCELLANEOUS.

       (a)    ACCELERATION OF EXERCISABILITY AND VESTING.  The Board shall have
the power to accelerate the time at which a Stock Award may first be exercised
or the time during which a Stock Award or any part thereof will vest in
accordance with the Plan, notwithstanding the provisions in the Stock Award
stating the time at which it may first be exercised or the time during which it
will vest.

       (b)    SHAREHOLDER RIGHTS.  No Participant shall be deemed to be the
holder of, or to have any of the rights of a holder with respect to, any shares
of Common Stock subject to such Stock Award unless and until such Participant
has satisfied all requirements for exercise of the Stock Award pursuant to its
terms.

       (c)    NO EMPLOYMENT OR OTHER SERVICE RIGHTS.  Nothing in the Plan or any
instrument executed or Stock Award granted pursuant thereto shall confer upon
any Participant any right to continue to serve the Company or an Affiliate in
the capacity in effect at the time the Stock Award was granted or shall affect
the right of the Company or an Affiliate to terminate (i) the employment of an
Employee with or without notice and with or without cause, (ii) the service of a
Consultant pursuant to the terms of such Consultant's agreement with the Company
or an

                                     14.
<PAGE>

Affiliate or (iii) the service of a Director pursuant to the Bylaws of the
Company or an Affiliate, and any applicable provisions of the corporate law of
the state in which the Company or the Affiliate is incorporated, as the case may
be.

       (d)    INCENTIVE STOCK OPTION $100,000 LIMITATION.  To the extent that
the aggregate Fair Market Value (determined at the time of grant) of Common
Stock with respect to which Incentive Stock Options are exercisable for the
first time by any Optionholder during any calendar year (under all plans of the
Company and its Affiliates) exceeds one hundred thousand dollars ($100,000), the
Options or portions thereof which exceed such limit (according to the order in
which they were granted) shall be treated as Nonstatutory Stock Options.

       (e)    INVESTMENT ASSURANCES.  The Company may require a Participant, as
a condition of exercising or acquiring Common Stock under any Stock Award, (i)
to give written assurances satisfactory to the Company as to the Participant's
knowledge and experience in financial and business matters and/or to employ a
purchaser representative reasonably satisfactory to the Company who is
knowledgeable and experienced in financial and business matters and that he or
she is capable of evaluating, alone or together with the purchaser
representative, the merits and risks of exercising the Stock Award; and (ii) to
give written assurances satisfactory to the Company stating that the Participant
is acquiring Common Stock subject to the Stock Award for the Participant's own
account and not with any present intention of selling or otherwise distributing
the Common Stock.  The foregoing requirements, and any assurances given pursuant
to such requirements, shall be inoperative if (iii) the issuance of the shares
of Common Stock upon the exercise or acquisition of Common Stock under the Stock
Award has been registered under a then currently effective registration
statement under the Securities Act or (iv) as to any particular requirement, a
determination is made by counsel for the Company that such requirement need not
be met in the circumstances under the then applicable securities laws.  The
Company may, upon advice of counsel to the Company, place legends on stock
certificates issued under the Plan as such counsel deems necessary or
appropriate in order to comply with applicable securities laws, including, but
not limited to, legends restricting the transfer of the Common Stock.

       (f)    WITHHOLDING OBLIGATIONS.  To the extent provided by the terms of a
Stock Award Agreement, the Participant may satisfy any federal, state or local
tax withholding obligation relating to the exercise or acquisition of Common
Stock under a Stock Award by any of the following means (in addition to the
Company's right to withhold from any compensation paid to the Participant by the
Company) or by a combination of such means:  (i) tendering a cash payment; (ii)
authorizing the Company to withhold shares of Common Stock from the shares of
Common Stock otherwise issuable to the Participant as a result of the exercise
or acquisition of Common Stock under the Stock Award in an amount not to exceed
the minimum amount of tax required to be withheld by law; or (iii) delivering to
the Company owned and unencumbered shares of Common Stock.  Notwithstanding the
foregoing, the Company shall not be authorized to withhold shares of Common
Stock at rates in excess of the minimum statutory withholding rates for federal
and state tax purposes, including payroll taxes.

                                     15.
<PAGE>

       (g)    INFORMATION OBLIGATION.  Prior to the Listing Date, to the extent
required by Section 260.140.46 of Title 10 of the California Code of
Regulations, the Company shall deliver financial statements to Participants at
least annually.  This subsection 10(g) shall not apply to key Employees whose
duties in connection with the Company assure them access to equivalent
information.

       (h)    REPURCHASE LIMITATION.  The terms of any repurchase option shall
be specified in the Stock Award and may be either at Fair Market Value at the
time of repurchase or at not less than the original purchase price.  To the
extent required by Section 260.140.41 and Section 260.140.42 of Title 10 of the
California Code of Regulations at the time a Stock Award is made, any repurchase
option contained in a Stock Award granted prior to the Listing Date to a person
who is not an Officer, Director or Consultant shall be upon the terms described
below:

              (i)    FAIR MARKET VALUE.  If the repurchase option gives the
Company the right to repurchase the shares of Common Stock upon termination of
employment at not less than the Fair Market Value of the shares of Common Stock
to be purchased on the date of termination of Continuous Service, then (i) the
right to repurchase shall be exercised for cash or cancellation of purchase
money indebtedness for the shares of Common Stock within ninety (90) days of
termination of Continuous Service (or in the case of shares of Common Stock
issued upon exercise of Stock Awards after such date of termination, within
ninety (90) days after the date of the exercise) or such longer period as may be
agreed to by the Company and the Participant (for example, for purposes of
satisfying the requirements of Section 1202(c)(3) of the Code regarding
"qualified small business stock") and (ii) the right terminates when the shares
of Common Stock become publicly traded.

              (ii)   ORIGINAL PURCHASE PRICE.  If the repurchase option gives
the Company the right to repurchase the shares of Common Stock upon termination
of Continuous Service at the original purchase price, then (i) the right to
repurchase at the original purchase price shall lapse at the rate of at least
twenty percent (20%) of the shares of Common Stock per year over five (5) years
from the date the Stock Award is granted (without respect to the date the Stock
Award was exercised or became exercisable) and (ii) the right to repurchase
shall be exercised for cash or cancellation of purchase money indebtedness for
the shares of Common Stock within  ninety (90) days of termination of Continuous
Service (or in the case of shares of Common Stock issued upon exercise of
Options after such date of termination, within ninety (90) days after the date
of the exercise) or such longer period as may be agreed to by the Company and
the Participant (for example, for purposes of satisfying the requirements of
Section 1202(c)(3) of the Code regarding "qualified small business stock").

11.    ADJUSTMENTS UPON CHANGES IN STOCK.

       (a)    CAPITALIZATION ADJUSTMENTS.  If any change is made in the Common
Stock subject to the Plan, or subject to any Stock Award, without the receipt of
consideration by the Company (through merger, consolidation, reorganization,
recapitalization, reincorporation, stock dividend, dividend in property other
than cash, stock split, liquidating dividend, combination of shares, exchange of
shares, change in corporate structure or other transaction not involving the
receipt of consideration by the Company), the Plan will be appropriately
adjusted in the class(es)

                                     16.
<PAGE>

and maximum number of securities subject to the Plan pursuant to subsection
4(a) and the maximum number of securities subject to award to any person
pursuant to subsection 5(c), and the outstanding Stock Awards will be
appropriately adjusted in the class(es) and number of securities and price per
share of Common Stock subject to such outstanding Stock Awards. The Board
shall make such adjustments, and its determination shall be final, binding and
conclusive.  (The conversion of any convertible securities of the Company
shall not be treated as a transaction "without receipt of consideration" by
the Company.)

       (b)    DISSOLUTION OR LIQUIDATION.  In the event of a dissolution or
liquidation of the Company, then all outstanding Stock Awards shall terminate
immediately prior to such event.

       (c)    CERTAIN CHANGES IN CONTROL.  In the event of (i) a sale, lease or
other disposition of all or substantially all of the assets of the Company, (ii)
a merger or consolidation in which the Company is not the surviving corporation
or (iii) a reverse merger in which the Company is the surviving corporation but
the shares of Common Stock outstanding immediately preceding the merger are
converted by virtue of the merger into other property, whether in the form of
securities, cash or otherwise (collectively, a "Change in Control"), then any
surviving corporation or acquiring corporation may assume or continue any Stock
Awards outstanding under the Plan or may substitute similar stock awards
(including an award to acquire the same consideration paid to the shareholders
in the transaction described in this subsection 11(c)) for those outstanding
under the Plan.  In the event any surviving corporation or acquiring corporation
refuses to assume or continue such Stock Awards or to substitute similar stock
awards for those outstanding under the Plan, then with respect to Stock Awards
held by Participants whose Continuous Service has not terminated, the vesting of
such Stock Awards (and, if applicable, the time during which such Stock Awards
may be exercised) shall be accelerated in full, and the Stock Awards shall
terminate if not exercised (if applicable) at or prior to such event.  With
respect to any other Stock Awards outstanding under the Plan, such Stock Awards
shall terminate if not exercised (if applicable) prior to such event.

       (d)    TERMINATION OF SERVICE FOLLOWING A CHANGE IN CONTROL. Unless
otherwise specified in the applicable Stock Award Agreement, in the event of the
occurrence of a Change in Control and provided that a Participant's Stock Award
remains in effect following such Change in Control or is assumed, continued or
substituted for any similar stock award in connection with the Change in
Control, then, if such Participant's Continuous Service is terminated by the
Company without Cause within thirteen (13) months following the effective date
of the Change in Control, all Stock Awards held by such Participant (or any
substituted stock awards) shall, as of the date of such termination of
Continuous Service, vest in full and become fully exercisable (if applicable) to
the extent not previously vested or exercisable.  Such Stock Awards shall remain
exercisable until they expire in accordance with their terms.

       (e)    SECURITIES ACQUISITION. After the Listing Date, in the event of an
acquisition by any person, entity or group within the meaning of Section 13(d)
or 14(d) of the Exchange Act, or any comparable successor provisions (excluding
any employee benefit plan, or related trust, sponsored or maintained by the
Company or an Affiliate) of the beneficial ownership (within the meaning of Rule
13d-3 promulgated under the Exchange Act, or comparable successor rule) of

                                     17.
<PAGE>

securities of the Company representing at least fifty percent (50%) of the
combined voting power entitled to vote in the election of Directors, then with
respect to Stock Awards held by Participants whose Continuous Service has not
terminated, the vesting of such Stock Awards (and, if applicable, the time
during which such Stock Awards may be exercised) shall be accelerated in full.
Such Stock Awards shall remain exercisable until they expire in accordance with
their terms.

       (f)    PARACHUTE PAYMENTS.  If any payment or benefit Optionholder would
receive in connection with a Change in Control from the Company or otherwise
("Payment") 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 Payment shall be reduced to the
Reduced Amount.  The "Reduced Amount" shall be either (x) the largest portion of
the Payment that would result in no portion of the Payment being subject to the
Excise Tax or (y) the largest portion, up to and including the total, of the
Payment, 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 Optionholder's receipt, on
an after-tax basis, of the greater amount of the Payment notwithstanding that
all or some portion of the Payment may be subject to the Excise Tax.  If a
reduction in payments or benefits constituting "parachute payments" is necessary
so that the Payment equals the Reduced Amount, reduction shall occur in the
following order unless the Optionholder elects in writing a different order
(PROVIDED, HOWEVER, that such election shall be subject to Company approval if
made on or after the effective date of the Change of Control):  reduction of
cash payments; cancellation of accelerated vesting of stock awards; reduction of
employee benefits.  In the event that acceleration of vesting of stock award
compensation is to be reduced, such acceleration of vesting shall be cancelled
in the reverse order of the date of grant of the Optionholder's stock awards
unless the Optionholder 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 Change in Control 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 Change in Control, 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.

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

                                     18.
<PAGE>

of the accounting firm made hereunder shall be final, binding and conclusive
upon the Company and Optionholder.

12.    AMENDMENT OF THE PLAN AND STOCK AWARDS.

       (a)    AMENDMENT OF PLAN.  The Board at any time, and from time to time,
may amend the Plan.  However, except as provided in Section 11 relating to
adjustments upon changes in Common Stock, no amendment shall be effective unless
approved by the shareholders of the Company to the extent shareholder approval
is necessary to satisfy the requirements of Section 422 of the Code, Rule 16b-3
or any NASDAQ or securities exchange listing requirements.

       (b)    SHAREHOLDER APPROVAL.  The Board may, in its sole discretion,
submit any other amendment to the Plan for shareholder approval, including, but
not limited to, amendments to the Plan intended to satisfy the requirements of
Section 162(m) of the Code and the regulations thereunder regarding the
exclusion of performance-based compensation from the limit on corporate
deductibility of compensation paid to certain executive officers.

       (c)    CONTEMPLATED AMENDMENTS.  It is expressly contemplated that the
Board may amend the Plan in any respect the Board deems necessary or advisable
to provide eligible Employees with the maximum benefits provided or to be
provided under the provisions of the Code and the regulations promulgated
thereunder relating to Incentive Stock Options and/or to bring the Plan and/or
Incentive Stock Options granted under it into compliance therewith.

       (d)    NO IMPAIRMENT OF RIGHTS.  Rights under any Stock Award granted
before amendment of the Plan shall not be impaired by any amendment of the Plan
unless (i) the Company requests the consent of the Participant and (ii) the
Participant consents in writing.

       (e)    AMENDMENT OF STOCK AWARDS.  The Board at any time, and from time
to time, may amend the terms of any one or more Stock Awards; provided, however,
that the rights under any Stock Award shall not be impaired by any such
amendment unless (i) the Company requests the consent of the Participant and
(ii) the Participant consents in writing.

13.    TERMINATION OR SUSPENSION OF THE PLAN.

       (a)    PLAN TERM.  The Board may suspend or terminate the Plan at any
time.  Unless sooner terminated, the Plan shall terminate on the day before the
tenth (10th) anniversary of the date the Plan is adopted by the Board or
approved by the shareholders of the Company, whichever is earlier.  No Stock
Awards may be granted under the Plan while the Plan is suspended or after it is
terminated.

       (b)     NO IMPAIRMENT OF RIGHTS.  Suspension or termination of the Plan
shall not impair rights and obligations under any Stock Award granted while the
Plan is in effect except with the written consent of the Participant.

                                     19.
<PAGE>

14.    EFFECTIVE DATE OF PLAN.

       The Plan shall become effective as determined by the Board, but no Stock
Award shall be exercised (or, in the case of a stock bonus, shall be granted)
unless and until the Plan has been approved by the shareholders of the Company,
which approval shall be within twelve (12) months before or after the date the
Plan is adopted by the Board.

15.    CHOICE OF LAW.

       The law of the State of Washington shall govern all questions concerning
the construction, validity and interpretation of this Plan, without regard to
such state's conflict of laws rules.

                                     20.<PAGE>

EXHIBIT 10.10

                               AGREEMENT TO LEASE

This Agreement ("Lease"), as of the 1st day of June, 1996 is by and between
SIXTH & VIRGINIA PROPERTIES, a Washington General Partnership, hereinafter
called "Owner," and InterNAP Network Services, L.L.C., a Washington Limited
Liability corporation, hereinafter called "Tenant."

1.   NONSTANDARD PROVISIONS

     The following constitute the nonstandard provisions of this Lease and are
     referred to elsewhere herein.

     a.   FLOOR OF THE WESTIN BUILDING ON WHICH PREMISES ARE LOCATED:

          8

     b.   AGREED FLOOR AREA OF PREMISES:

          Five thousand eight hundred fifty four (5854) square feet that
          includes an allowance for core and/or common areas used by Tenant.

     c.   THE TERM OF THIS LEASE (hereinafter "Lease Term") shall be Five (5)
          years and shall commence on the 1st day of June, 1996, and end on the
          31st day of May, 2001.

     d.   MONTHLY BASE RENT:

          June 1, 1996 - May 31, 1997   $8781

          June 1, 1997 - May 31, 1998   $9269

          June 1, 1998 - May 31, 1999   $9757

          June 1, 1999 - May 31, 2000   $10,245

          June 1, 2000 - May 31, 2001   $10,732

     e. RENT PER DAY during any occupancy prior to commencement of Lease Term:

          none

     f.   Reimbursement to Owner for Special Improvements:

          Total tenant improvement costs and utility upgrades are projected to
          cost $137,775.00. Owner and Tenant agree to split the cost of such
          improvements described in exhibit C. Tenant agrees to pay interest at
          10% per annum on any amounts paid for by Owner. One half of the Tenant
          Improvement balance held by the Owner plus any accrued interest at 10%
          per annum will be paid on the first day of the second year of the
          lease. The remaining balance plus accrued interest at 10% per annum
          will be paid on the first day of the third year.

     g.   USE PERMITTED ON PREMISES:

          Internet communications facilities and general office use.

     h. TENANT'S ADDRESS FOR NOTICES IF OTHER THAN PREMISES:

          none

     i.   TENANT'S BILLING ADDRESS IF OTHER THAN PREMISES:

          n/a

                                       1

<PAGE>

         2
j.   PARKING:

     During the Lease Term, Owner shall provide Tenant with unreserved parking
     space for five (5) automobiles in The Westin Building Garage. The space
     shall be made available during periods of typical office use from 7:00 a.m.
     to 6:00 p.m. five days per week, Monday through Friday, and at other times
     for the person to whom such space is regularly rented who wishes to work in
     building.

     Tenant shall pay in advance the charge established by Owner for said
     spaces, in addition to rent hereunder. If Tenant fails to timely pay such
     charge, Owner may by written notice to Tenant elect either to proceed as
     provided in Article 14 or to cease to provide the foregoing parking spaces.
     Upon initial occupancy of Garage, the charge for these spaces shall be
     $138.00 per month (including tax). From time to time during this Lease, the
     charge for spaces shall be increased to the then-prevailing rate for
     similar service in the immediate area.

     Owner shall maintain the right to pass on to Tenant all applicable parking
     taxes.

k.   RELOCATION OF PREMISES:

     Owner shall have the right to relocate the Premises in Building on the
     following terms and conditions:

     1)   The floor area of the new location shall be approximately the same as
          the floor area of the original location;

     2)   Tenant will be reimbursed for all reasonable expenses incurred in
          connection with the relocation, including but not limited to the net
          cost of putting the new Premises in the same condition as the original
          location, moving, signage, telephone & computer equipment relocation
          and reasonable quantities of new stationery;

     3)   Owner shall give Tenant at least Ninety (90) days written notice of
          relocation.

l.   SECURITY DEPOSIT:

     Concurrently with the execution of this Lease, Tenant shall deliver to
     Owner a sum equal to Seventeen Thousand Five Hundred Sixty two Dollars
     ($17,562.00), this as security for the performance by Tenant of every
     covenant and condition of this Lease. Upon payment of deposit, Tenant shall
     request and Owner shall deliver to Tenant a written receipt therefor.
     Deposit may be commingled with other funds of Owner and shall bear no
     interest. If Tenant shall default with respect to any covenant or condition
     of this Lease, including but not limited to the payment of rent, Owner may
     apply the whole or any part of deposit to the payment of any sum in default
     or any other sum which Owner may be required to spend by reason of Tenant's
     default. Should Tenant comply with all of the covenants and conditions of
     this Lease, deposit shall be returned to Tenant (or, at the option of
     Owner, to the last assignee of Tenant's interest in this Lease) at the
     expiration of the term hereof. Tenant shall not move into Premises until
     said deposit has been paid to Owner.

m.   SIGNAGE:

     Owner will provide signage, according to building standards, to Tenant with
     Tenant's business name at Three (3) separate locations:

          1)   Main Lobby Directory - Sixth Avenue
          2)   Third Floor Lobby Directory - Skybridge entrance from Garage
          3)   Elevator Lobby Directory on Tenant's floor

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     n.   HOLDING OVER:

          If Tenant shall continue its occupancy of the Premises after the
          expiration of the Lease Term, the occupancy shall not be deemed to
          extend or renew the term of this Lease, and such occupancy shall
          constitute a tenancy from month to month, subject to all of the terms
          of this Lease, except the term, and except that the Rent for each
          month of continued occupancy shall be double the Rent for the last
          full month of the Lease Term. Tenant shall also be liable for Owner's
          incidental and consequential damages sustained by virtue of Tenant's
          holding.

     o.   SQUARE FOOTAGE ADJUSTMENT:

          Owner and Tenant agree that reasonable attempts have been made to
          determine the correct square footage used in this Lease. Owner grants
          Tenant the option to remeasure and challenge the new premises square
          footage calculation at Tenant's expense. If Tenant's square footage
          calculation differs from the number used in this Lease, Owner will
          remeasure at Owner's expense to determine which calculation is
          correct. Owner and Tenant agree that any challenge of the square
          footage calculation must be carried out within one month of the
          commencement date. After that time, Owner and Tenant agree to mutually
          waive any and all rights, claims, or liabilities against each other as
          it relates to the calculation of square footages to determine rents
          and other costs in this Lease.

     p.   MEET-ME ROOM ACCESS

          Tenant shall have the right to share usage of the 19th floor Meet-Me
          Room and associated wiring conduit. Owner shall supervise the
          maintenance of the room by tenant-users and shall use all reasonable
          means to ensure this facility is always available to Tenant. Tenant
          agrees to abide by the regulations set jointly by owners and
          tenant-users or, should its practices conflict with those regulations,
          to vacate immediately upon written request. As in Article 7, Owner
          shall not be liable for damages nor shall the rental herein be abated
          for failure to furnish or interruption in service in this facility.

          For Meet-Me Room usage, Tenant shall pay a one-time usage fee of Five
          Hundred Dollars ($500.00) no later than Thirty (30) days following
          Commencement Date and a recurring monthly charge of $50.00 per DSX
          panel installed within the room.

     q.   CABLE RIGHT OF WAY

          Owner gives to Tenant the right of way to install cable from the
          Premises to the "Meet Me Room" on the 19th floor. Such installation is
          at Tenant's expense and subject to limitations and exclusions
          presented within Lease. Such installation must be coordinated with and
          approved by The Westin Building Engineer. Cabling to areas of the
          building other than the Meet-Me Room shall be governed by the same
          terms and conditions set forth above but shall additionally be subject
          to monthly recurring charges as established by Owner for all other
          cable run by users throughout the building.

     r.   CLASS "A" ENTRY

          Tenant acknowledges owners requirement for the premises to have an
          entry that is compatible with the Class "A" image of the building.
          Tenant shall cooperate with Owner in developing an entry plan that
          meets Owner's need for appearance and Tenant's need for privacy and
          control. Owner agrees that the common areas of the floor specifically
          the lobby and restrooms will be renovated within a reasonable time
          consistent with the class A image.

     s.   OPTION TO EXTEND:

          Provided that Tenant is not in default hereunder at the time of the
          exercise of the Option to Extend and/or at the commencement of the
          extended term, Tenant shall have the option to extend the term of this
          lease beyond the Initial Term for an additional period of Five (5)
          years (the "Extended Term") subject to expansion rights of a full
          floor tenant on the 7th or 9th floors. In this event however tenant
          shall first have the option to renew this lease by taking the entire
          eighth floor. The option provided hereunder shall be exercised, if at
          all, only by

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         4
               written notice to Owner not later than August 31, 2000. The same
               terms and conditions applicable to the Initial Term of this Lease
               shall apply during the Extended Term, except that the monthly
               Rent shall be an amount equal to the product of (1) the agreed
               floor area of the Premises multiplied by (2) the monthly rent per
               rentable square foot established by Owner, in its reasonable
               judgment, for new leases in the Building for substantially
               equivalent size and located space as of the date of Tenant's
               exercise of its Option to Extend.

          t.   EQUIPMENT AND FIXTURES:

               Owner and Tenant agree that the premises contains the following
               mechanical systems: specialized HVAC system to include two (2)
               twenty (20) ton Liebert floor mounted air conditioning units and
               associated piping; specialized fire protection system consisting
               of a halon system and hydraulic preaction valve; and a domestic
               water backup system for the HVAC units. These systems are to be
               considered fixtures which Tenant shall take possession of and
               have the right to use. Tenant shall be responsible for
               maintaining the systems and preserving their functionality
               through out their normal life cycle. Should any of the components
               of these systems fail and require replacement, Tenant shall at
               its option and its expense, replace necessary components or
               restructure the system to eliminate the unwanted component in a
               manner approved by the Building Engineer. If Tenant elects to
               replace components at substantial capital cost, it shall have the
               option to designate such components as trade fixtures which
               Tenant will then be entitled to remove upon expiration of this
               Lease and vacation of the Premises.

2    EXHIBITS

     The following Drawings and Special Provisions are attached hereto as
exhibits and made a part of this Lease:

          Exhibit A -- Floor plan of the Westin Building, herein called
                       "Building."

          Exhibit B -- Site plan showing relation and location of Building
                        and Westin Building Garage.

          Exhibit C -- Details of Premises Approved by Owner and Tenant.

3    PREMISES

     Owner hereby leases to Tenant, and Tenant hereby leases of Owner, upon the
     terms and conditions herein set forth, those certain Premises, described in
     Article 1(a) and (b) and shown outlined in red on the standard floor plan
     attached hereto marked "Exhibit A" and made a part hereof in that certain
     Building, known as the Westin Building situated in the City of Seattle,
     County of King, State of Washington, at Sixth Avenue and Virginia Street,
     and located on the following real property:

          Lots 11 and 12 (less portion for street), Block 15 of Addition to town
          of Seattle, as laid off by Heirs of Sarah A. Bell, deceased (commonly
          known as Heirs of Sarah A. Bell's Addition to the City of Seattle), as
          per plat recorded in Volume I of plats, page 103, records of King
          County, Washington.

     The areas so leased are hereinafter called "Premises."

4    RENT

     Tenant covenants and agrees to pay Owner the monthly rent which is set
     forth in Article 1(d) to be adjusted as provided elsewhere in this Lease,
     in United States currency in advance on or before the first day of each
     calendar month during said term, at the office of Owner in Building or at
     such other place as Owner may from time to time designate in writing. It is
     agreed that since collection of any amount past due imposes an

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         5

     administrative cost on Owner, in addition to all other sums that may be
     charged by Owner hereunder, Tenant shall pay to Owner a sum equal to Five
     Cents ($0.05) for every Dollar not paid when due.

5    USE

     Premises may be used only for the purpose set forth in Article 1(g) and for
     no other purpose or purposes without the written consent of Owner. No use
     shall be made of Premises, nor act done in or about Premises, which is
     unlawful, or which may increase the existing rate of insurance upon
     Building. Tenant shall not commit or allow to be committed any waste upon
     Premises, or any public or private nuisance or other act or thing which
     disturbs the quiet enjoyment of any other tenant in Building, nor shall
     Tenant, without the written consent of Owner, use any apparatus, machinery
     or device in or about Premises that shall cause any substantial noise or
     vibration. If any of Tenant's office machines and equipment should disturb
     the quiet enjoyment of any other tenant in Building, then Tenant shall
     provide adequate insulation or take such other action as may be necessary
     to eliminate the disturbance. Tenant shall observe such reasonable rules
     and regulations as may be adopted by Owner for the safety, care and
     cleanliness of Premises or Building and the preservation of good order
     therein.

6    POSSESSION

     In the event of Owner's inability to deliver possession of Premises ready
     for occupancy at the commencement of the Lease Term, Owner shall not be
     liable for any damage caused thereby, except as otherwise expressly stated
     herein, nor shall this Lease become void or voidable, nor shall the Lease
     Term be extended, but in such event, no rental shall be payable by Tenant
     to Owner for any portion of the Lease Term prior to actual delivery to
     Tenant of possession of Premises ready for occupancy by Tenant unless
     Tenant shall have failed to meet its obligations under Article 23 or unless
     the term of this Lease does not commence on or before July 1, 1996 without
     fault on the part of Tenant in which event Tenant's sole remedy shall be to
     cancel the Lease by giving thirty (30) days written notice of its said
     election to Owner. If Tenant, with Owner's permission, enters into
     possession of Premises prior to commencement of the Lease Term, all of the
     terms and conditions of this Lease shall apply during such prior period,
     except that rental shall be the amount set forth in article 1(e) for each
     calendar day during such prior period.

7    SERVICES PROVIDED BY OWNER

     Owner shall, at its sole cost and expense, maintain Premises and the public
     and common areas of Building, such as lobbies, stairs, landscaping,
     corridors and restrooms, together with the Westin Building Garage, in
     reasonably good order and condition except for damage occasioned by the act
     of Tenant.

     Owner, at its sole cost, shall furnish Premises from 7:00 a.m. to 6:00 p.m.
     Monday through Friday (exclusive of holidays), hereinafter called "Standard
     Work Week," with electricity for lighting and the operating of office
     machines, heat and air conditioning as may be reasonably required for the
     occupation of Premises, and shall provide elevator service, lighting
     replacement, toilet room supplies, window washing with reasonable
     frequency, and daily janitorial service on the basis of a Standard Work
     Week during the times and in the manner that such janitorial services are
     customarily furnished in general office buildings in the area. Owner shall
     not be liable for damages, nor shall the rental herein reserved be abated,
     for failure to furnish or delay in furnishing any of the foregoing
     services, when such failure or delay is caused by accident or conditions
     beyond the control of Owner, or by labor disturbances or labor disputes of
     any character, or by inability to secure fuel, supplies, machinery,
     equipment or labor after reasonable efforts to do so, or by the making of
     improvements or necessary repairs to Premises or Building, nor shall the
     temporary failure to furnish any of such services be construed as an
     eviction of Tenant or relieve Tenant from the duty of observing and
     performing any of the provisions of this Lease.

     Tenant acknowledges that the 24-hour nature of its business exceeds the
     Standard Work Week described above. Owner shall at Tenant's cost install a
     meter in the electrical system supplying Tenant's equipment room, measure
     usage and bill Tenant monthly at the same rate, including demand charges,
     billed by Seattle City Light plus a monthly billing fee of $10.00.
     Additionally, Tenant shall pay for all other expenses incurred by Owner as
     a result of Tenant using Premises in excess of Standard Work Week.

8    REPAIRS AND ALTERATIONS

     Tenant agrees by taking possession of the Premises that Premises are then
     in a tenantable and good condition, that Tenant will take good care of
     Premises, and the same will not be altered or in any way changed without
     the written consent of Owner. Tenant hereby waives any right to make
     repairs at Owner's

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         6
      expense. Tenant shall not make changes to locks on doors or add, disturb,
      or in any way change any plumbing or wiring without first obtaining
      written consent of Owner. All damages or injury done to the Premises by
      Tenant, or by any persons who may be in or upon Premises with the consent
      of Tenant, shall be paid for by Tenant and Tenant shall pay for all
      damages to Building caused by Tenant's misuse of Premises or the
      appurtenances thereto. All other repairs to Premises necessary to maintain
      Premises in a tenantable and good condition shall be done by or under the
      direction of Owner and at Owner's expense except as otherwise specifically
      provided herein. Tenant shall pay for the replacement of Special
      Improvements as provided in Article 23 and the replacement of doors or
      windows of Premises which are cracked or broken by Tenant, its employees,
      agents, or invitees, and Tenant shall not put any curtains, draperies or
      other hangings on or beside the windows in Premises without first
      obtaining Owner's consent. Owner agrees that it will repaint the interior
      of Premises at least once every five years with a color mutually agreed
      upon between Tenant and Owner. Owner may make any alterations or
      improvements which Owner may deem necessary for the preservation, safety
      or improvement of Premises or Building. All alterations, additions and
      improvements, except trade fixtures installed by Tenant and which are
      removable without damage to Building, shall become the property of Owner.
      Tenant shall, at the termination of this Lease by the expiration of time
      or otherwise, surrender and deliver up Premises to Owner in as good
      condition as when received by Tenant from Owner, reasonable use and wear
      and damage by fire or other casualty excepted.

      Should Owner be required to make changes or additions to Building or
      Westin Building Garage at any time during the term of this Lease as a
      result of any law, rule, code or regulation which becomes effective after
      the Commencement Date, the Tenant shall pay on demand by Owner, as
      additional rent, a monthly charge equal to the area of Premises as stated
      in Article 1(b) divided by 350,000 times 1 and 1/3 percent of the cost of
      the change or addition. Such additional rent shall commence upon
      substantial completion of each such change or addition and shall continue
      to the end of the term of this Lease.

9     ENTRY AND INSPECTION

      Tenant will permit Owner and its agents to enter into and upon Premises at
      all reasonable times for the purpose of inspecting the same or for the
      purpose of cleaning, repairing, altering or improving Premises or Building
      and when reasonably necessary may close entrances, doors, corridors,
      elevators or other facilities without liability to Tenant by reason of
      such closure and without such action by Owner being construed as an
      eviction of Tenant or relieving the Tenant from the duty of observing and
      performing any of the provisions of this Lease. Owner shall have the right
      to enter Premises for the purpose of showing Premises to prospective
      tenants for a period of 180 days prior to the expiration of the Lease
      Term.

10    DAMAGE OR DESTRUCTION

      If Premises or Building are damaged by fire, wind, or other such casualty,
      the damage shall be repaired by and at the expense of Owner, provided such
      repairs (to restore Premises to usable condition) can be made within sixty
      (60) days after the occurrence of such damage without the payment of
      overtime or other premiums, and until such repairs are completed, the rent
      shall be abated in proportion to the part of Premises which is unusable by
      Tenant in the conduct of its business (but there shall be no abatement of
      rent by reason of any portion of Premises being unusable for a period
      equal to one day or less).

      If such repairs cannot be made within sixty (60) days, Owner may, at its
      option, make them within a reasonable time, and in such event this Lease
      shall continue in effect and the rent shall be abated in the manner
      provided above. Owner's election to make repairs must be evidenced by
      written notice to Tenant within thirty (30) days after the occurrence of
      the damage.

      If Owner does not elect to make such repairs that cannot be made within
      sixty (60) days, then either party may, by written notice to the other,
      terminate this Lease. A total destruction of Building shall automatically
      terminate this Lease.

11    ADVERTISING

      Tenant shall not inscribe any inscription, post, place, or in any manner
      display any sign, notice, picture, placard or poster, or any advertising
      matter whatsoever, anywhere in or about Premises or Building at places
      visible (either directly or indirectly as an outline or shadow on a glass
      pane) from any where outside Premises without first obtaining Owner's
      written consent thereto.

12    INDEMNITY, LOSS AND WAIVER OF SUBROGATION

      Tenant shall defend and indemnify Owner and save it harmless from and
      against any and all liability, damages, costs, or expenses, including
      attorneys' fees, arising from any act, omission or negligence of Tenant or
      the officers, contractors, licensees, agents, servants, employees, guests,
      invitees, or visitors of Tenant in or about Building, or arising from any
      accident, injury, or damage, howsoever and by

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         7

     whomsoever caused, to any person or property, occurring in or about
     Premises, provided that the foregoing provision shall not be construed to
     make Tenant responsible for loss, damage, liability, or expense resulting
     from injuries to third parties caused by the negligence of Owner or of any
     officer, contractor, licensee, agent, servant, or employee of Owner. Owner
     shall not be responsible for providing security and Tenant hereby releases
     Owner from any claim for damage or loss of property that may arise as a
     result of vandalism or theft in Building or Westin Building Garage. Owner
     and Tenant each release the other from responsibility for, and waive their
     entire claim of recovery for (i) any loss or damage to the real or personal
     property of either located anywhere in Building and Westin Building Garage,
     arising out of or incident to the occurrence of any of the perils which may
     be covered by a fire and lightning insurance policy, with extended coverage
     endorsement in common use in the Seattle locality or (ii) loss resulting
     from business interruption at Premises or loss of rental income from
     Building, arising out of or incident to the occurrence of any of the perils
     that may be covered by a business interruption insurance policy and by the
     loss of rental income insurance policy in common use in the Seattle
     locality. To the extent that such risks under (i) and (ii) are in fact
     covered by insurance, each party shall cause its insurance carriers to
     consent to such waiver and to waive all rights of subrogation against the
     other party.

13   LIENS AND INSOLVENCY

     Tenant shall keep Premises and Building free from any liens or encumbrances
     arising out of any work performed by Tenant, materials furnished by Tenant,
     or obligations incurred by Tenant. Owner may terminate this Lease by giving
     Tenant notice of its election to do so, if; (i) Tenant files a voluntary
     petition in bankruptcy, or for reorganization under the bankruptcy laws, or
     is adjudged a bankrupt by a court of competent jurisdiction, (ii) if Tenant
     makes an assignment for the benefit of creditors, or if a receiver is
     appointed for Tenant's business, or (iii) any other action is taken by or
     against Tenant under any State or Federal insolvency or bankruptcy act. No
     interest in this Lease or estate hereby created in favor of Tenant shall
     pass by operation of law under any such bankruptcy or insolvency act to any
     person whomsoever without the prior express written consent of Owner. Any
     purported transfer in violation of this Article shall constitute a default
     by Tenant.

14   DEFAULT AND RE-ENTRY

     Except for a default under the preceding paragraph for which immediate
     right of termination is given to Owner, if Tenant fails to pay any
     installment of rent when due (plus interest on past due amounts at the
     maximum legal rate from the date due) after 3 days written notice, or to
     perform any other covenant under this Lease within thirty (30) days after
     written notice from Owner stating the nature of the default, Owner may
     re-enter and take possession of Premises using all reasonable force to do
     so; provided, however, that if the nature of such default other than for
     non-payment of rent is such that the same cannot reasonably be cured within
     such thirty-day period, Tenant shall not be deemed to be in default if
     Tenant shall within such period commence such cure and thereafter
     diligently prosecute the same to completion. Notwithstanding such retaking
     of possession by Owner, Tenant's liability for the rent provided herein
     shall not be extinguished for the balance of the term of this Lease. Upon
     such re-entry, Owner may elect either (i) to terminate this Lease, in which
     event Tenant shall immediately pay to Owner a sum equal to that by which
     the then cash value of the total rent reserved under this Lease for the
     balance of the Lease Term exceeds the reasonable rental value of the
     Premises for the balance of the Lease Term plus costs incident to releasing
     the Premises including, but not limited to remodeling expenses, attorney's
     fees and real estate commissions; or (ii) without terminating this Lease,
     to relet all or any part of the Premises as the agent of and for the
     account of Tenant upon such terms and conditions as Owner may deem
     advisable, in which event the rents received on such reletting shall be
     applied first to the expenses of reletting and collection, including
     necessary renovation and alteration of Premises, reasonable attorney's fees
     and real estate commissions paid, and thereafter to payment of all sums due
     to or to become due Owner hereunder, and if a sufficient sum shall not be
     thus realized to pay such sums and other charges, Tenant shall pay Owner
     any deficiency monthly, and Owner may bring an action therefor as such
     monthly deficiency shall arise.

     In the event of any such retaking of possession of Premises by Owner as
     herein provided, Tenant shall remove all personal property located thereon
     and, upon failure to do so upon demand of Owner, Owner may, in addition to
     any other remedies allowed by law, remove and store the same in any such
     place selected by Owner, including but not limited to a public warehouse,
     at the expense and risk of Tenant. If Tenant shall fail to pay any sums due
     hereunder or the cost of storing any such property after it has been stored
     for a period of thirty (30) days or more, Owner may sell any or all such
     property at public or private sale and shall apply the proceeds of such
     sale first, to the cost of such sale; second, to the payment of the charges
     for storage, if any; and third, to the payment of any other sums of money
     which may be due from Tenant to Owner under the terms of this Lease, and
     the balance, if any, to Tenant.

Tenant hereby waives all claims for damages that may be caused by Owner's
lawfully re-entering and taking possession of Premises or lawfully removing and
storing or selling the property of Tenant as herein

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         8
     provided, and will save Owner harmless from loss, costs, or damages
     occasioned thereby, and such lawful re-entry shall not be considered or
     construed to be a forcible entry.

15   SURRENDER OF POSSESSION

     Upon expiration of the term of this Lease, whether by lapse of time or
     otherwise, Tenant shall promptly and peacefully surrender Premises to
     Owner.

16   COSTS AND ATTORNEYS' FEES

     If Tenant or Owner shall bring any action for any relief against the other,
     declaratory or otherwise, arising out of this Lease, including any suit by
     Owner for the recovery of rent or possession of Premises, the losing party
     shall pay the successful party a reasonable sum for attorneys' fees in such
     suit, and such attorneys' fees shall be deemed to have accrued on the
     commencement of such action.

17   NON-WAIVER

     Waiver by Either Party of any breach of any term, covenant or condition
     herein contained shall not be deemed to be a waiver of such term, covenant,
     or condition, or of any subsequent breach of the same or any other term,
     covenant or condition herein contained. The subsequent acceptance of rent
     hereunder by Owner shall not be deemed to be a waiver of any preceding
     breach by Tenant of any term, covenant, or condition of this Lease, other
     than the failure of Tenant to pay the particular rental so accepted
     regardless of Owner's knowledge of such preceding breach at the time of
     acceptance of such rent.

18   ASSIGNMENT AND SUBLETTING

     Tenant shall not assign this Lease or sublet Premises or any part thereof
     without first obtaining Owner's written consent, which shall not be
     unreasonably withheld. No such assignment or subletting shall relieve
     Tenant of Tenant's liability under the Lease, except, if at the time of
     such assignment or subletting, Tenant establishes to the reasonable
     satisfaction of Owner that such assignee or sublessee is of satisfactory
     financial responsibility at least equal to that of Tenant and the
     Guarantors at the time Tenant executed the Lease. Consent to any such
     assignment or subletting shall not operate as a waiver of the necessity for
     a consent to any subsequent assignment, and the terms of such consent shall
     be binding upon any person holding by, under or through Tenant. In no event
     shall a sublessee of Tenant sublet or assign any interest in this Lease.

     In the event of an assignment or subletting that requires Owner's time
     and/or expense, Tenant shall reasonably compensate Owner for such expenses.

     Notwithstanding anything to the contrary herein, Owner's consent shall not
     be required for the following transfers:

     a) An assignment, sublease or other transfer of Tenant's interest in the
     Lease to any other entity with which Tenant is affiliated or under common
     control, provided the Owner is notified not later than ten (10) days after
     the effective date of such event;

     b) An assignment or transfer of this Lease to any person or entity
     acquiring by asset or stock transfer, consolidation, merger, liquidation,
     spin-off or reorganization, all or substantially all of the assets of
     Tenant; provided, that the assignee or transferee agrees to assume and
     perform all obligations of Tenant under this Lease and that immediately
     following such acquisition the assignee's or transferees net worth equals
     the net worth of Tenant on the date immediately preceding such assignment
     or transfer; and provided further that Owner is notified not later than ten
     (10) days after the effective date of such event;

     c) Any (i) public offering of the stock of Tenant pursuant to the
     Securities Act of 1933 and/or the Securities Exchange Act of 1934 as
     amended, or (ii) transfer of stock between shareholders of Tenant, or (iii)
     sale of additional shares of

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         9
               stock to individuals or entities currently not shareholders of
               Tenant; provided, that immediately following such offering,
               transfer or sales the net worth of Tenant equals or exceeds the
               net worth of Tenant on the date immediately preceding such
               offering, transfer or sale or

               d)   the mortgage, pledge, hypothecation or encumbrance of any
               of the stock of Tenant.

          19   SUCCESSORS

               All of the covenants, agreements, terms and conditions contained
               in this Lease shall apply to and be binding upon Owner and Tenant
               and their respective heirs, executors, administrators, successors
               and assigns.

          20   TAX ON RENTAL

               If any governmental authority or unit under any present or future
               law effective at any time during the term of this Lease shall in
               any manner levy a tax on rentals payable under this Lease or on
               rentals accruing from use of Premises under this Lease, or a tax
               in any form against Owner because of or measured by income
               derived from the leasing or rental of Premises, the amount of the
               next succeeding month's rent following payment of such tax by
               Owner shall be increased by an amount equal to such tax paid by
               Owner, and for Tenant's default in paying the rent thus revised,
               Owner shall have the same remedies as upon failure to pay rent.
               Tenant shall not be liable to pay any amount because of income
               tax of a general nature applicable to Owner's various interests
               or sources of income. In the event that it shall not be lawful
               for Tenant to pay such tax, the rental payable to Owner under
               this Lease shall be revised to net Owner the same net rental
               after imposition of any such tax as would have been payable to
               Owner prior to the imposition of any such tax.

          21   PRIORITY

               This Lease shall automatically be subordinate to any mortgage or
               deed of trust heretofore or hereafter placed upon Building, to
               any and all advances made or to be made thereunder, to the
               interest on the obligations secured thereby, and to all renewals,
               replacements and extensions thereof; provided, however, that in
               the event of foreclosure of any such mortgage or deed of trust or
               exercise of the power of sale thereunder, Tenant shall attorn to
               the purchaser of Building at such foreclosure or sale and
               recognize such purchaser as Owner under this Lease if so
               requested by such purchaser. If any mortgagee or beneficiary
               elects to have this Lease superior to its mortgage or deed of
               trust and gives notice of its election to Tenant, then this Lease
               shall thereupon become superior to the lien of such mortgage or
               deed of trust, whether this Lease is dated or recorded before or
               after the mortgage or deed of trust. Within fifteen days of
               presentation, Tenant shall execute, acknowledge, and deliver to
               Owner (i) any reasonable subordination or nondisturbance
               agreement or other instrument that Owner may require to carry out
               the provisions of this article, and (ii) any reasonable estoppel
               certificate requested by Owner from time to time in the standard
               form of any such mortgagee or beneficiary certifying in writing,
               if such be true, that Tenant shall be in occupancy, that this
               Lease is unmodified and in full force and effect (or if there
               have been modifications, that the same is in full force and
               effect as modified and stating the modifications) and the dates
               to which the rent and other charges shall have been paid, and
               that there shall be no rental offsets or claims.

          22   CONDEMNATION

               If the whole of Premises, or if such portion of either Premises
               or the facilities in Building as may be required for the
               reasonable use of Premises, shall be taken by virtue of any
               condemnation or notice of condemnation or eminent domain
               proceeding, or by purchase in lieu thereof, or for public or
               quasipublic use, directly or indirectly, this Lease shall
               automatically terminate as of the date of such condemnation, or
               purchase in lieu of condemnation, or as of the date possession is
               taken by the condemning authority, whichever is earlier. Current
               rent shall be apportioned as of the date of such termination. In
               case of a taking of a part of Premises or a portion of the
               facilities in Building not required for the reasonable use of
               Premises, then this Lease shall continue in full force and effect
               and the rental shall be equitably reduced based on the proportion
               by which the rentable area of Premises is reduced, such rent
               reduction to be effective on the date of such partial taking. No
               award of any partial or entire taking shall be apportioned, and
               Tenant hereby assigns to Owner any award which may be made in
               such taking or condemnation together with any and all rights of
               Tenant now or hereafter arising in or to the same or any part
               thereof, provided, however, that nothing herein shall be deemed
               to give Owner any interest in, or to require Tenant to assign to
               Owner, any award made to Tenant for the taking of personal
               property or fixtures belonging to Tenant, for the interruption of
               or damage to Tenant's business or for Tenant's moving expenses.

                                       9

<PAGE>

         10
23    SPECIAL IMPROVEMENTS

      The term "Special Improvements" as used in this Lease refers to all
      improvements to Premises, whether provided at the expense of Owner or
      Tenant, other than accoustical ceilings, lighting fixtures, air
      conditioning grilles, air ducts and temperature controls, draperies,
      corridor and demising partitions, and concrete floor ready for pad and
      carpet. Tenant shall reimburse Owner for Owner's necessary expense of
      repairing or replacing all Special Improvements to maintain Special
      Improvements in first-class condition. Tenant shall pay Owner that certain
      sum as set forth in Article 1(f) as payment for certain of Special
      Improvements made to Premises. In addition, Tenant shall pay Owner for
      installation of any additional Special Improvements if they have been
      installed by Owner pursuant to Tenant's request. Where Special
      Improvements are to be installed by Owner, Tenant shall give Owner written
      notice of its final color selection and all other details of its office
      layout in sufficient time to permit Owner's completion of all work by the
      commencement date hereunder using its normal crews on a regular time
      basis, and such notice shall in any event be given not later than fifteen
      working days before such commencement date.

24    REAL PROPERTY TAXES

      Owner shall pay all real property taxes and assessments that may be levied
      against Building and the underlying land. If the amount of such real
      property taxes and assessments shall, in any calendar year during the
      Lease Term, exceed the amount of real property taxes and assessments
      payable for the calendar year 1996, then on the tax payment dates in 1997
      and on these dates of each succeeding year, Tenant shall reimburse Owner
      for Tenant's proportionate share of such increase based upon the ratio
      which area of Premises, as set forth in Article 1(b), bears to 350,000
      square feet. Owner shall submit to Tenant, if so requested by Tenant, a
      copy of the real property tax statement for the year in which payment is
      requested. The foregoing charges constitute additional rent that shall be
      deemed to have accrued uniformly during the calendar year in which payment
      is due. The final payment under the provision of this Article shall be
      prorated based on reasonable projections of the increase through the
      termination of this Lease and shall be due thirty days before such
      termination.

25    ANNUAL RENT ADJUSTMENT

      To partially compensate for the effect of inflation, a portion of the
      rental rate (viz. $7.50 per square foot per year) shall be adjusted to
      reflect reductions, if any, in the purchasing power of the dollar. Three
      separate generic elements of cost (namely: labor, materials and energy)
      shall be deemed to be representative of all operational costs. Indices for
      measuring changes in the dollar value for each of these cost elements
      shall be: janitorial hourly labor rate, Consumer Price Index, and the
      average cost per kilowatt-hour of electricity (including without
      limitation all demand charges), respectively. Changes in each of these
      shall adjust rent as provided below:

                Generic                                Element's Cost
            Element of Cost         Index                   Share
            ---------------         -----              --------------

            1. Labor                Janitorial rate         $3.00
            2. Material             C.P.I.                  $3.00
            3. Energy               Average kwh cost        $1.50

      The base index for each of these indices shall be established from data
      for the month of September of the year preceding the year in which this
      Lease commences. Indices for each succeeding year shall be calculated
      annually using September experience data, and the ratio that these annual
      indices bear to their respective base index shall be reduced by 1.00 then
      multiplied by the individual element's cost share as specified in Items 1,
      2 and 3 above, and by the area of Premises as set forth in Article 1(b).
      Each January 1, following the calendar year in which the Lease becomes
      effective, the Monthly Rent in Article 1(d) shall be increased by
      one-twelfth (1/12) of the sum of the amounts so determined. No changes in
      the rent as specified above shall take place during the calendar year in
      which the Lease Term commences.

      The janitorial hourly labor rate shall be that as established by the Hotel
      Employees Restaurant Employees, Union Local No. 8 for journeymen janitors
      including all applicable taxes and fringe benefits payable by employers.
      The labor rate to be used as a base index for this Lease shall be $12.72.

      The Consumer Price Index to be used shall be the Revised Consumer Price
      Index for Urban Wage Earners and Clerical Workers, U.S. City Average,
      All-Items Series (1982-1984 = 100), as published by the U.S. Department of
      Labor, Bureau of Statistics. If this index is revised or changed (as, for
      example, by taking the average index for different years as the base
      figure of 100), the base index shall be adjusted accordingly. In the event
      such index is discontinued, the index promulgated by the Department of
      Labor most closely

                                       10

<PAGE>

         11

     approximating the above referenced index shall be used as the base index.
     The Consumer Price Index to be used as the base index for this Lease shall
     be 150.6.

     The cost per kilowatt-hour of electricity consumed in the Westin Building
     (including seasonal factors and any tax or surcharge that may be imposed),
     shall be determined by dividing the total amount billed to Account No.
     171001453015 for the supply of electricity consumed primarily during the
     month of September by the consumption shown in the billing column entitled
     "Consumption kwh/kvarh." The cost to be used as a base index for this Lease
     shall be $.036 per kilowatt-hour.

26   NOTICES

     All notices under this Lease shall be in writing and delivered in person or
     sent by registered or certified mail to Owner at its offices in Building
     and to Tenant at Premises, or to such other place as may be set forth in
     Article 1(h) or hereafter designated by either party in writing.

27   NAME OF BUILDING

     Owner reserves the right in its sole discretion to change the name of
     Building from that specified in Article 3.

28   CONSTRUCTION

     The titles to articles of this Lease are not a part of this Lease and shall
     have no effect upon the construction or interpretation of any part thereof.
     This Lease shall be construed and governed by the law of the State of
     Washington.

29   TIME OF ESSENCE

     Time is of the essence of this Lease.

30   FORCE MAJEUR

     In the event either Owner or Tenant shall be delayed or hindered in or
     prevented from the performance of any act required hereunder by reason of
     strikes, lockouts, labor troubles, inability to procure materials, failure
     of power, restrictive governmental laws or regulations, riots,
     insurrection, war or any reason of a like nature, not the fault of the
     party delayed in performing work or doing acts required under the terms of
     this Lease, then performance of such act shall be excused for the period of
     such delay, provided that the provisions hereof shall not operate to excuse
     Tenant from prompt payment of rent or any other payments required by Tenant
     hereunder.

IN WITNESS WHEREOF, Owner and Tenant have signed this Lease on the dates noted
below.

OWNER:                                     TENANT:

SIXTH & VIRGINIA PROPERTIES                InterNAP Network Services L.L.C.
A Washington General Partnership           A Washington Limited Liability
By Clise Properties, Inc., a Partner       Corporation

By  /s/ A. M. CLISE                        By  /s/ ANTHONY C. NAUGHTIN
  ----------------------------------          ----------------------------------

Its President                              Its President/CEO
    --------------------------------          ----------------------------------

Date  6-10-96                              Date  6-6-96
    --------------------------------            --------------------------------

By Clise Company, a Partner
By Retail Realty, Inc.

By  /s/ A. M. CLISE
  ----------------------------------

Its President
    --------------------------------

Date  6-10-96
    --------------------------------

                                       11

<PAGE>

         12
GUARANTEE

For and in consideration of execution of this Lease, Big Sandy
Telecommunications, Inc., as the primary guarantor of first recourse in the
event that Tenant defaults on any of its obligations under this Lease,
guarantees the performance of all obligations of Tenant and Tenant's Successors
as said obligations exist under all terms and conditions of this Lease and any
modifications thereto. In further consideration of execution of this Lease,
Anthony Naughtin and Paul McBride, as Corporate Officers of Tenant shall be
secondary guarantors of next recourse in the event that Tenant defaults on any
of its obligations under this Lease, and the primary guarantor is unable to
guarantee performance of such obligations on behalf of the Tenant. The
obligations of Anthony Naughtin and Paul McBride as secondary guarantors shall
cease after Tenant completes reimbursement to Owner of Owner's tenant
improvement outlay on the 1st day of the third year of the term of this Lease.
Big Sandy Telecommunications, Inc.'s obligation may be modified or removed as
part of an assignment transaction that Owner must consent to under this Lease.

                                   /s/ ROBERT J. LINDAY, JR., President
                                   -------------------------------------
                                   Big Sandy Telecommunications, Inc.,

                                             /s/ PAUL MCBRIDE
                                   -------------------------------------
                                  Paul McBride

                                             /s/ ANTHONY NAUGHTIN
                                   -------------------------------------
                                Anthony Naughtin

State of Washington  )
County of King       )

I certify that I know or have satisfactory evidence that A. M. Clise is the
person who appeared before me and said person acknowledged that he signed this
instrument, on oath stated that he was authorized to execute the instrument and
acknowledged it as the President of CLISE PROPERTIES, INC., a partner of SIXTH &
VIRGINIA PROPERTIES, a Washington general partnership, to be the free and
voluntary act of such party for the uses and purposes mentioned in the
instrument.

Dated 6/10/96

                                            /s/ JENNIFER A. RICHARDS
                                ------------------------------------------------
                                Notary Public in and for the State of Washington
                                          My appointment expires 2-7-99

                                              Jennifer A. Richards

State of Washington  )
County of King       )

I certify that I know or have satisfactory evidence that A. M. Clise is the
person who appeared before me and said person acknowledged that he signed this
instrument, on oath stated that he was authorized to execute the instrument and
acknowledged it as the President of RETAIL REALTY, INC., a partner of CLISE
COMPANY, a partnership, for and on behalf of CLISE COMPANY, which in turn is a
partner of SIXTH & VIRGINIA PROPERTIES, a Washington general partnership, to be
the free and voluntary act of such party for the uses and purposes mentioned in
the instrument.

Dated 6/10/96

                                            /s/ JENNIFER A. RICHARDS
                                ------------------------------------------------
                                Notary Public in and for the State of Washington
                                          My appointment expires 2-7-99

                                              Jennifer A. Richards

                                       12

<PAGE>

         13
                                   EXHIBIT A

                                  [Floor Plan]

<PAGE>

         14
                                   EXHIBIT B

                                  [Site Plan]

<PAGE>

         15
                                    EXHIBIT C

                                  [Floor Plan]

<PAGE>

         16
                           RENT ANALYSIS AND PROPOSAL

<TABLE>
<S><C>
------------------------------------------------------------------------------------------------------------------------------------

Statistics
------------------------------------------------------------------------------------------------------------------------------------
USF                                  5,117  Total base rent     $   654,275  Total TI's            $   137,774.83
RSF                                  5,054  Ave. annual rent    $   130,855  T TI's per RSF        $        23.54
Lease terms (yrs)                        5  Ave. monthly rent   $    10,905  Amort per year        $    27,554.97
Ave. rent per RSF              $     20.00  Acceleration rate         0.00%  Amort per RSF         $         4.71
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------
 Description                         Cost            Sixth & Virginia          InterNAP
--------------------------------------------------------------------------------------------------
<S>                            <C>                   <C>                   <C>
Demo                           $   2,800.00          $   2,800.00
--------------------------------------------------------------------------------------------------
Construction/permit fees       $     650.00                650.00
--------------------------------------------------------------------------------------------------
Doors/hardware                 $   3,000.00          $   3,000.00
--------------------------------------------------------------------------------------------------
Cabinets/shelving              $   1,800.00          $   1,800.00
--------------------------------------------------------------------------------------------------
Refiles                        $   5,740.00          $   5,740.00
--------------------------------------------------------------------------------------------------
Partitions                     $   9,976.00          $   9,976.00
--------------------------------------------------------------------------------------------------
Ceiling                        $   4,068.00          $   4,068.00
--------------------------------------------------------------------------------------------------
Carpet                         $   6,800.00          $   6,800.00
--------------------------------------------------------------------------------------------------
Painting                       $   2,800.00          $   2,800.00
--------------------------------------------------------------------------------------------------
Draperies                      $   2,500.00          $   2,500.00
--------------------------------------------------------------------------------------------------
Sprinklers                     $   3,000.00          $   3,000.00
--------------------------------------------------------------------------------------------------
HVAC - Office                  $  14,250.00          $   3,315.50          $   10,934.50
--------------------------------------------------------------------------------------------------
HVAC - Computer room           $  30,465.00                                $   30,465.00
--------------------------------------------------------------------------------------------------
Electrical                     $  12,250.00          $   4,950.00          $    7,300.00
--------------------------------------------------------------------------------------------------
Signage                        $     150.00                                $      150.00
--------------------------------------------------------------------------------------------------
Access floor ramp              $   1,500.00                                $    1,500.00
--------------------------------------------------------------------------------------------------
Cleanup                        $   1,050.00                                $    1,050.00
--------------------------------------------------------------------------------------------------

--------------------------------------------------------------------------------------------------  InterNAP  [PIE CHART]  Sixth &
Subtotal                       $ 102,799.00          $  51,399.50          $   51,399.50              50%                  Virginia
--------------------------------------------------------------------------------------------------                           50%
W/17%                          $  17,475.83          $  17,475.83
--------------------------------------------------------------------------------------------------
AC Backup                                                                  $   12,500.00
--------------------------------------------------------------------------------------------------
Misc. Electrical                                                           $    5,000.00
--------------------------------------------------------------------------------------------------
TOTAL                          $ 120,274.83          $  66,875.33          $   68,899.50
--------------------------------------------------------------------------------------------------

--------------------------------------------------------------------------------------------------
Cost per RSF                   $      20.55          $      11.77          $       11.77
--------------------------------------------------------------------------------------------------

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                 Yr 1                Yr 2                Yr 3             Yr 4                   Yr 5             5-Year Total
------------------------------------------------------------------------------------------------------------------------------------
<S>             <C>               <C>                 <C>                <C>                 <C>                 <C>
Base            $    20.00        $    20.00          $    20.00         $    20.00          $    20.00          $      100.00
TI's            $     2.35        $     2.35          $     2.35         $     2.35          $     2.35          $       11.77
  Total         $    22.35        $    22.35          $    22.35         $    22.35          $    22.35          $      111.77
Net Increase    $      --         $      --           $      --          $      --           $      --
RSF                  5,854             5,854               5,854              5,854               5,854
Annual Rent        130,855        $  130,855          $  130,855         $  130,855          $  130,855          $  654,275.33
Monthly Rent    $   10,905        $   10,905          $   10,905         $   10,905          $   10,905
------------------------------------------------------------------------------------------------------------------------------------

<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
                 Yr 1                Yr 2                Yr 3             Yr 4                   Yr 5             5-Year Total
------------------------------------------------------------------------------------------------------------------------------------
<S>             <C>               <C>                 <C>                <C>                 <C>                 <C>
Base            $    18.00        $    19.00          $    20.00         $    21.00          $    22.00          $      100.00
TI's                                                                                                             $        --
  Total         $    18.00        $    19.00          $    20.00         $    21.00          $    22.00          $      100.00
Net Increase    $      --         $     1.00          $     1.00         $     1.00          $     1.00
RSF                  5,854             5,854               5,854              5,854               5,854
Annual TI
 Payment*                         $   41,325          $   37,881
Annual Rent     $  105,372        $  152,551          $  154,961         $  122,934          $  128,788          $  654,606.63
Monthly Rent    $    8,781        $    9,269          $    9,757         $   10,245          $   10,732
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

*Lump sum payment at beginning of lease year. TI allowance accrues interest at
10% per year.

                                  Exhibit C 1

<PAGE>

-------------------------------------------------------------------------------
                              LEASE MODIFICATION #1
-------------------------------------------------------------------------------

This Agreement made the 1st day of September, 1998, is by and between SIXTH &
VIRGINIA PROPERTIES, a Washington General Partnership, hereinafter called
"Owner," and InterNAP Network Services Corporation, a Washington Corporation,
hereinafter called "Tenant."

Owner and Tenant have executed a Lease dated the 1st day of June, 1996 and
modified on 1st day of May, 1998. Said Lease is for approximately 5,854 square
feet on the 8th floor, Suite 800 of The Westin Building, hereinafter referred to
as "Building," situated in the City of Seattle, County of King, State of
Washington, located at 2001 Sixth Avenue and located on the following real
property:

        Lots 11 and 12 (less portion for street), Block 15 of Addition to town
        of Seattle, as laid off by Heirs of Sarah A. Bell, deceased, (commonly
        known as Heirs of Sarah A. Bell's Addition to the City of Seattle) as
        per plat recorded in Volume 1 of plats, page 103, records of King
        County, Washington.

Now, therefore, for valuable consideration Owner and Tenant as parties hereto
agree that the Lease will be modified, effective the 1st day of May, 1998, as
follows:

Article 1(d) shall be modified to read in its entirety as follows:

        d.     MONTHLY BASE RENT:
               Monthly base rent shall be increased by $3,065 as Follows:
                  May 1, 1998  - May 31, 1999                 $12,822.00
                  June 1, 1999 - May 31, 2000                 $13,310.00
                  June 1, 2000 - May 31, 2001                 $13,797.00

EXCEPT to the extent herein revised, amended or modified, all terms, conditions
and provisions of said Lease are hereby affirmed and ratified in all respects.

<TABLE>
<CAPTION>

OWNER:                                            TENANT:
<S>                                               <C>
SIXTH & VIRGINIA PROPERTIES,                      InterNAP Network Services Corporation
  A Washington General Partnership                  A Washington Corporation

By Clise Properties, Inc., a Partner

By_____________________________                   By_____________________________

Its  __________________________                   Its ___________________________

Date __________________________                   Date __________________________

</TABLE>

CLISE COMPANY, a Partner
By Retail Realty, Inc.

By_____________________________

Its  __________________________

Date __________________________

<PAGE>

State of Washington
County of King

I certify that I know or have satisfactory evidence that A.M. Clise is the
person who appeared before me and said person acknowledged that he signed this
instrument, on oath stated that he was authorized to execute the instrument and
acknowledged it as the President of CLISE PROPERTIES, INC., a partner of SIXTH &
VIRGINIA PROPERTIES, a Washington general partnership, to be the free and
voluntary act of such party for the uses and purposes mentioned in the
instrument.

Dated______________________
                                        _______________________________________
                                               (Name legibly printed or stamped)
                                        _______________________________________
                                Notary Public in and for the State of Washington

                                      My appointment expires____________________

State of Washington
County of King

I certify that I know or have satisfactory evidence that A.M. Clise is the
person who appeared before me and said person acknowledged that he signed this
instrument, on oath stated that he was authorized to execute the instrument and
acknowledged it as the President of RETAIL REALTY, INC., a partner of CLISE
COMPANY, a partnership, for and on behalf of CLISE COMPANY, which in turn is a
partner of SIXTH & VIRGINIA PROPERTIES, a Washington general partnership, to be
the free and voluntary act of such party for the uses and purposes mentioned in
the instrument.

Dated______________________
                                        _______________________________________
                                               (Name legibly printed or stamped)
                                        _______________________________________
                                Notary Public in and for the State of Washington

                                      My appointment expires____________________

                                        2
<PAGE>

--------------------------------------------------------------------------------
                              LEASE MODIFICATION #2
--------------------------------------------------------------------------------

This Agreement made the 1st day of September, 1998, is by and between SIXTH &
VIRGINIA PROPERTIES, a Washington General Partnership, hereinafter called
"Owner," and InterNAP Network Services Corporation, a Washington Corporation,
hereinafter called "Tenant."

Owner and Tenant have executed a Lease dated the 1st day of June, 1996 and
modified on 1st day of May, 1998. Said Lease is for approximately 5,854 square
feet on the 8th floor, Suite 800 of The Westin Building, hereinafter referred to
as "Building," situated in the City of Seattle, County of King, State of
Washington, located at 2001 Sixth Avenue and located on the following real
property:

        Lots 11 and 12 (less portion for street), Block 15 of Addition to town
        of Seattle, as laid off by Heirs of Sarah A. Bell, deceased, (commonly
        known as Heirs of Sarah A. Bell's Addition to the City of Seattle) as
        per plat recorded in Volume 1 of plats, page 103, records of King
        County, Washington.

Now, therefore, for valuable consideration Owner and Tenant as parties hereto
agree that the Lease will be modified, effective the 1st day of May, 1998, as
follows:

Article 1(d)shall be modified to read in its entirety as follows:

        d.     MONTHLY BASE RENT:
               Monthly base rent shall be increased by $3,065 as Follows:
                  May 1, 1998  - May 31, 1999                 $12,822.00
                  June 1, 1999 - May 31, 2000                 $13,310.00
                  June 1, 2000 - May 31, 2001                 $13,797.00

EXCEPT to the extent herein revised, amended or modified, all terms, conditions
and provisions of said Lease are hereby affirmed and ratified in all respects.

<TABLE>
<CAPTION>
OWNER:                                            TENANT:
<S>                                               <C>
SIXTH & VIRGINIA PROPERTIES,                      InterNAP Network Services Corporation
  A Washington General Partnership                  A Washington Corporation

By Clise Properties, Inc., a Partner

By___________________________                     By___________________________

Its  ________________________                     Its _________________________

Date ________________________                     Date ________________________

</TABLE>

CLISE COMPANY, a Partner
By Retail Realty, Inc.

By___________________________

Its  ________________________

Date ________________________

<PAGE>

State of Washington
County of King

I certify that I know or have satisfactory evidence that A.M. Clise is the
person who appeared before me and said person acknowledged that he signed this
instrument, on oath stated that he was authorized to execute the instrument and
acknowledged it as the President of CLISE PROPERTIES, INC., a partner of SIXTH &
VIRGINIA PROPERTIES, a Washington general partnership, to be the free and
voluntary act of such party for the uses and purposes mentioned in the
instrument.

Dated__________________________________

                                         _______________________________________
                                               (Name legibly printed or stamped)

                                         _______________________________________
                                Notary Public in and for the State of Washington

                                      My appointment expires____________________

State of Washington
County of King

I certify that I know or have satisfactory evidence that A.M. Clise is the
person who appeared before me and said person acknowledged that he signed this
instrument, on oath stated that he was authorized to execute the instrument and
acknowledged it as the President of RETAIL REALTY, INC., a partner of CLISE
COMPANY, a partnership, for and on behalf of CLISE COMPANY, which in turn is a
partner of SIXTH & VIRGINIA PROPERTIES, a Washington general partnership, to be
the free and voluntary act of such party for the uses and purposes mentioned in
the instrument.

Dated__________________________________

                                         _______________________________________
                                               (Name legibly printed or stamped)

                                         _______________________________________
                                Notary Public in and for the State of Washington

                                      My appointment expires____________________

                                        2
<PAGE>

-------------------------------------------------------------------------------
                              LEASE MODIFICATION #3
-------------------------------------------------------------------------------

This Agreement made the 28th day of December, 1999, is by and between SIXTH &
VIRGINIA PROPERTIES, a Washington General Partnership, hereinafter called
"Owner," and InterNAP Network Services Corporation, a Washington Corporation,
hereinafter called "Tenant."

Owner and Tenant have executed a Lease dated the 1st day of June, 1996,
modified on 1st day of May, 1998, modified on the 1st day of September, 1998.
Said Lease is for approximately 7,216 square feet on the 8th floor, Suite 800
of The Westin Building, hereinafter referred to as "Building," situated in
the City of Seattle, County of King, State of Washington, located at 2001
Sixth Avenue and located on the following real property:

        Lots 11 and 12 (less portion for street), Block 15 of Addition to town
        of Seattle, as laid off by Heirs of Sarah A. Bell, deceased, (commonly
        known as Heirs of Sarah A. Bell's Addition to the City of Seattle) as
        per plat recorded in Volume 1 of plats, page 103, records of King
        County, Washington.

Owner is constructing or allowing the construction of a new electrical power
vault in the Garage (the "New Vault"), to bring additional electrical power
from the public power utility to the Building and Garage. In connection
therewith, Owner is constructing a new underground tunnel ("New Tunnel") to
connect the new power vault with the Building, and is opening an additional
vertical shaft in the Building ("New Riser"). Owner is also constructing a
new power generation facility in the Garage ("New Generator Plant"), with
connecting busways to the Building. Tenant is desirous of converting a
portion of the Lease Premise to equipment space (approximately 1,464 R sq. ft
as shown on the Attached Exhibit A). Tenant will require additional
electrical, condenser water, and backup power in order to facilitate this
conversion.

Whereas now, therefore, for valuable consideration Owner and Tenant as
parties hereto agree that the Lease will be modified, effective the 1st day
of April, 2000, as follows:

Article 1(d)shall be modified to read in its entirety as follows:

    d.  MONTHLY BASE RENT:
        Monthly base rent shall be increased effective upon the availability of
        an additional 150 amps, 480v of electrical power to premises:

           April 1, 2000 - May 31, 2000    *Fifteen Thousand Three Hundred Forty
                                           Nine and 00/100 Dollars ($15,349.00)
                                           per month.
           June 1, 2000 - May 31, 2001     *Fifteen Thousand Seven Hundred
                                           Thirty Seven and 00/100 Dollars
                                           ($15,737.00) per month.

                                           *(Base rent shall remain as-is until
                                           Building Electrical System expansion
                                           is complete, scheduled for early
                                           2000.)

Article 7 shall be modified to read in its entirety as follows:

    7          SERVICES PROVIDED BY OWNER

               Owner shall, at its sole cost and expense, maintain the Premises
               and the public and common areas of the Building, such as lobbies,
               stairs, landscaping, corridors and restrooms, together with the
               Westin Building Garage, and all structural portions of the
               Building, including, but not limited to, roof and foundation as
               well

<PAGE>

               as common area fire suppression systems, heating, ventilation,
               air conditioning, electrical and mechanical systems, in a first
               class order and condition, except for damage occasioned by the
               act of Tenant. Owner's responsibility to maintain the fire
               suppression systems, heating and ventilation, electrical and
               mechanical systems on the Premises ends at the demarcation point
               where such systems enter the Premises. Tenant agrees to maintain
               the fire suppression systems, heating and ventilation, electrical
               and mechanical systems within the Premises from the demarcation
               point.

               Nothwithstanding anything to the contrary in this Article 7,
               Owner agrees to allow Tenant to connect to the Premises upon
               completion of the New Vault project, an additional One Hundred
               Fifty (150) amps of 480V 3 phase from the Building power source.
               All costs for the aforementioned installation shall be at
               Tenant's expense, and subject to review and approval of final
               plans by Owner. Tenant shall remit to Owner, upon completion of
               the New Vault project, Forty Five Thousand and 00/100
               ($45,000.00) Dollars as a reimbursement for Tenant's pro-rata
               share of the cost of the New Vault project.

               Owner, at its sole cost, shall provide lighting replacement,
               toilet room supplies, window washing with reasonable frequency,
               and daily janitorial service, during the times and in the manner
               that such services are customarily furnished in general office
               buildings in the area. Elevator service shall be provided to
               Premise on a 24 hour a day, seven day a week basis.

               Owner shall not be liable for damages, nor shall the rental
               herein reserved be abated, for failure to furnish or delay in
               furnishing any of the foregoing services, when such failure or
               delay is caused by an event of Force Majeur or by the making of
               necessary repairs to the Premises or Building (provided that
               Owner has used reasonable efforts not to interfere with or
               interrupt the conduct of Tenant's business at the Premises), nor
               shall the temporary failure to furnish any of such services due
               to such events be construed as an eviction of Tenant or relieve
               Tenant from the duty of observing and performing any of the
               provisions of this Lease.

        NEW:

               HVAC (HEATING, VENTILATING, AND AIR CONDITIONING)

                Owner grants Tenant the right to install, at Tenant's sole cost,
                its own HVAC equipment in Premises. This equipment shall be
                considered Tenant's trade fixture. Tenant's HVAC equipment shall
                be connected in a manner approved by the Building. Owner
                represents and warrants to Tenant that at all times during the
                Lease Term, or any extension 1(s), Owner shall have available
                for Tenant's heating and ventilation needs at the Premises not
                more than 70 tons of HVAC cooling capacity.

                Owner shall not be liable for damages, nor shall the rental
                herein reserved be abated, for Owner's failure to furnish or
                delay in furnishing HVAC cooling, when such failure or delay is
                caused by an event of Force Majeur or by the making of necessary
                repairs to the Premises or Building (provided that Owner has
                used reasonable efforts not to interfere with or interrupt the
                conduct of Tenant's business at the Premises), nor shall the
                temporary failure to furnish any of such services due to such
                events be construed as an eviction of Tenant or relieve Tenant
                from the duty of observing and performing any of the provisions
                of this Lease.

                Tenant shall pay to Owner within thirty (30) days of completion
                of the New Vault Project, as additional rent, a sum equal to
                Thirty Thousand & 00/100 ($30,000.00). In addition, Tenant shall
                pay within ten (10) days of invoice a quarterly fee for Tenant's
                pro rata, per ton share of the costs charged to all users of the
                cooling tower for Owner's costs and expenses of operating and

<PAGE>

                maintaining the cooling tower, including, but not limited to,
                chemical treatment, electrical usage and water consumption,
                maintenance contracts and security.

         ESSENTIAL POWER:

               Tenant shall have the right to connect up to a total of One
               Hundred Eighty (180) amps, 480V 3 phase Essential Power from
               Westin Building Essential Power System (Generator back up). It is
               understood that Essential Power will be in place upon completion
               of the New Vault and New Generator Plant, scheduled for early
               2000. Tenant shall pay to Owner as additional rent a one-time
               charge of One Hundred Twelve Thousand Five Hundred and 00/100
               ($112,500.00) Dollars, for the connections for this One Hundred
               Eighty (180) amps of 480v Essential Power, according to the
               following schedule:

<TABLE>
<CAPTION>

          ------ ---------------------------------- ----------------------------------- ----------------------------
                         DATE PAYMENT DUE                       AMOUNT DUE                     PAYMENT FOR:
          ------ ---------------------------------- ----------------------------------- ----------------------------
          ------ ---------------------------------- ----------------------------------- ----------------------------
          <S>    <C>                                <C>                                 <C>
          -      Upon completion of New Vault and   One Hundred Twelve Thousand Five    Connection of One Hundred
                 New Generator Plant                Hundred and 00/100 Dollars          Eighty (180) amps, 480 V,
                                                    ($112,500.00)                       3 phase
          ------ ---------------------------------- ----------------------------------- ----------------------------

</TABLE>

                Owner shall not be liable for damages, nor shall the rental
                herein reserved be abated, for Owner's failure to furnish or
                delay in furnishing Essential Power, when such failure or delay
                is caused by an event of Force Majeur or by the making of
                necessary repairs to the Premises or Building (provided that
                Owner has used reasonable efforts not to interfere with or
                interrupt the conduct of Tenant's business at the Premises), nor
                shall the temporary failure to furnish any of such services due
                to such events be construed as an eviction of Tenant or relieve
                Tenant from the duty of observing and performing any of the
                provisions of this Lease.

                Tenant shall pay any costs associated with connecting the
                Essential Power system from the riser to Tenant's Premises, as
                well as its pro rata share of any semi-annual maintenance costs,
                including maintenance, fuel, security and other costs necessary
                for the reliable operations of the Essential Power system.

<PAGE>

EXCEPT to the extent herein revised, amended or modified, all terms, conditions
and provisions of said Lease are hereby affirmed and ratified in all respects.

<TABLE>
<CAPTION>

OWNER:                                                   TENANT:
<S>                                               <C>
SIXTH & VIRGINIA PROPERTIES,                      InterNAP Network Services Corporation
  A Washington General Partnership                  A Washington Corporation

By Clise Properties, Inc., a Partner

By_____________________________                   By_____________________________

Its  __________________________                   Its ___________________________

Date __________________________                   Date __________________________

</TABLE>

I certify that I know or have satisfactory evidence that A.M. Clise is the
person who appeared before me and said person acknowledged that he signed this
instrument, on oath stated that he was authorized to execute the instrument and
acknowledged it as the President of CLISE PROPERTIES, INC., a partner of SIXTH &
VIRGINIA PROPERTIES, a Washington general partnership, to be the free and
voluntary act of such party for the uses and purposes mentioned in the
instrument.

Dated______________________
                                        _______________________________________
                                                            Jennifer A. Richards
                                        _______________________________________
                                Notary Public in and for the State of Washington
                                                            Residing in Issaquah
                                       My appointment expires:  February 7, 2003

<PAGE>

                                    EXHIBIT A
                                   FLOOR PLAN

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