Document:

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                                                                   EXHIBIT 10.11

                              EMPLOYMENT AGREEMENT

     THIS EMPLOYMENT AGREEMENT (this "Agreement") is made and entered into
effective as of September 1, 2002 (the "Effective Date"), by and between
LIQUIDMETAL TECHNOLOGIES, a California corporation (the "Company"), and John A.
Grant, Jr. (the "Employee").

                                    RECITALS

     WHEREAS, the Employee desires to be employed by the Company upon the terms
and conditions set forth in this Agreement; and

     WHEREAS, the Company desires to assure itself of the Employee's continued
employment in the capacities set forth herein.

     NOW, THEREFORE, in consideration of the foregoing recitals and for other
good and valuable consideration, the parties hereto covenant and agree as
follows:

     1. EMPLOYMENT. The Company hereby employs Employee, and the Employee hereby
accepts such employment, upon the terms and conditions set forth in this
Agreement.

     2. TERM. Subject to the terms and conditions of this Agreement, including,
but not limited to, the provisions for termination set forth in Section 5
hereof, the employment of the Employee under this Agreement shall commence on
the Effective Date and shall continue through the close of business on July 31,
2006, (the "Initial Term"). Upon the expiration of the Initial Term, the
Employee's employment with the Company will continue on an "at-will" basis and
may be terminated by Employee or the Company for any reason and at any time,
provided that the terminating party shall provide at least thirty (30) days
prior written notice of the termination to the other party (unless the
termination is pursuant to clause (2), (3), or (4) of Section 5(d), in which
case the Employee's employment may be terminated immediately).

     3. DUTIES. Employee will serve as the Director, Governmental Relations of
the Company. In this capacity, Employee shall perform such reasonable
government-related responsibilities and duties as may be assigned to the
Employee from time to time by the Board of Directors, Chairman of the Board,
President, or Chief Executive Officer of the Company, or their designee. The
Employee will devote such time, attention, skill, and energy to the business of
the Company as shall be necessary to perform the duties assigned to him under
this Agreement, and will use the Employee's best efforts to promote the success
of the Company's business, and will cooperate fully with the Board of Directors
in the advancement of the best interests of the Company. Furthermore, the
Employee shall assume and competently perform such reasonable responsibilities
and duties as may be assigned to the Employee from time to time by the Board of
Directors, Chairman of the Board, President, or Chief Executive Officer of the
Company. To the extent that the Company shall have any parent company,
subsidiaries, affiliated corporations, partnerships, or joint ventures
(collectively "Related Entities"), the Employee shall perform such duties to
promote these entities and their respective interests to the same extent as the
interests of the Company without additional compensation. The Employee may
engage in other business activities, provided that in doing so he does not
violate any of the provisions of this Agreement
<PAGE>

(including Sections 6 and 7 hereof); and provided further that such other
business activities do not interfere with the performance of his duties and
obligations to the Company under this Agreement. At all times, the Employee
agrees that the Employee has read and will abide by, and prospectively will read
and abide by, any employee handbook, policy, or practice that the Company or
Related Entities has or hereafter adopts with respect to its employees
generally. Employee may perform his duties of employment from any location he
selects that is mutually agreed to by the Company.

     4.   COMPENSATION.

          (a) Annual Base Salary. As compensation for Employee's services and in
consideration for the Employee's covenants contained in this Agreement, the
Company shall pay the Employee an annual base salary rate of One Hundred Seventy
Five Thousand and No/100 Dollars ($175,000.00) from September 1 through December
31, 2002. Effective January 1, 2003, the Company shall pay the Employee an
annual base salary rate of Eighty Seven Thousand Five Hundred and No/100 Dollars
($87,500.00) Such annual base salary shall be payable in equal installments in
accordance with the policy then prevailing for the Company's salaried employees
generally, and the annual base salary shall be subject to any tax and other
withholdings or deductions required by applicable laws and regulations. The
Employee's annual base salary will be reviewed by the Board of Directors or
Chief Executive Officer of the Company not less frequently than annually, and
the annual base salary may be adjusted upward or downward, but not to an amount
less than Eighty Seven Thousand Five Hundred and No/100 Dollars ($87,500.00), in
the sole discretion of the Board of Directors or Chief Executive Officer.

          (b) Bonuses. In addition to the Employee's annual base salary, during
the term of the Employee's employment hereunder, the Employee shall be entitled
to only such bonuses as may be granted to the Employee by the Board of Directors
or Chief Executive Officer of the Company, in their sole discretion. For
purposes of clarification, Employee will not be a participant in the Company's
2002 Annual Performance Bonus Program.

          (c) Other Benefits. During the term of the Employee's employment
hereunder, the Employee shall be eligible to participate in such pension, life
insurance, health insurance, disability insurance and other benefits plans, if
any, which the Company may from time to time make available to similar-level
employees.

          (d) Reimbursement of Expenses. The Employee shall be reimbursed for
all reasonable and customary travel and other business expenses incurred by
Employee in the performance of Employee's duties hereunder, provided that such
reimbursement shall be subject to, and in accordance with, any expense
reimbursement policies and/or expense documentation requirements of the Company
that may be in effect from time to time, and further provided that all travel
and entertainment expenses shall be pre-approved by the Company.

          (e). Stock Options. The Employee shall retain the employee stock
options that he was granted prior to the Effective Date of this Agreement under
the Company's 1996 Stock Option Plan (the "Plan"), and Employee acknowledges
that such options shall continue to be governed by and subject to the terms and
conditions of the Plan, including the termination provisions set forth in
Sections 6(f), (g), and (h) of the Plan, and that such options shall also be
subject to the terms and conditions of that certain Stock Option Agreement,
dated August 1, 2001, by and between the Company and Employee.

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<PAGE>

     5.   TERMINATION.

          (a) Death. The Employee's employment under this Agreement shall
terminate immediately upon Employee's death. In the event of a termination
pursuant to this Section 5(a), the Employee's estate shall be entitled to
receive any unpaid base salary owing to Employee up through and including the
date of the Employee's death.

          (b) Disability. If, during the term of the Employee's employment
hereunder, the Employee becomes physically or mentally disabled in accordance
with the terms and conditions of any disability policy covering the Employee or,
if due to any physical or mental condition, the Employee becomes unable for a
period of more than sixty (60) days during any six-month period to perform
Employee's duties hereunder on substantially a full-time basis as determined by
the Company in its sole discretion, the Company may, at its option, terminate
the Employee's employment upon not less than thirty (30) days written notice. In
the event of a termination pursuant to this Section 5(b), the Employee shall be
entitled to receive any unpaid base salary owing to Employee up through and
including the effective date of Termination. The benefits of short-term and
long-term disability insurance, as may be arranged for through the Company,
would continue in accordance with the provisions of said insurance plan.

          (c) Termination By Company Without Cause. In addition to the other
termination provisions of this Agreement, the Company may terminate the
Employee's employment at any time without cause (a "Termination Without Cause").
In the event of a Termination Without Cause, the Employee shall be entitled to
receive severance compensation in an aggregate total amount equal to the total
base salary paid to Employee during the 24-month period immediately preceding
the effective date of the Termination Without Cause (the "Severance Amount").
The Severance Amount shall be paid in equal installments (in accordance with the
policy then prevailing for the Company's salaried employees generally) during
the 24-month period beginning on the effective date of the Termination Without
Cause. In addition, the Company shall reimburse Employee for premiums paid for
the continuation of group health care coverage under the Consolidated Omnibus
Budget Reconciliation Act of 1986 (COBRA) for a period of up to eighteen (18)
months following the effective date of a Termination Without Cause. Employee
agrees and acknowledges, however, that Employee will forfeit the right to
receive payments of the Severance Amount and COBRA reimbursement payments during
the Severance Period immediately upon the Employee's breach of any covenant set
forth in Section 6 of this Agreement.

          (d) Termination By Company With Cause. The Company may terminate the
Employee's employment at any time with Cause. As used in this Agreement, "Cause"
shall include the following: (1) the Employee's failure or inability to perform
Employee's duties under this Agreement; (2) dishonesty, misconduct, or unlawful
acts that adversely affect the Company; (3) a material violation of the
Company's policies or practices which reasonably justifies immediate
termination; (4) pleading guilty or no contest to, or conviction of, a felony or
any crime involving moral turpitude, fraud, dishonesty, or misrepresentation;
(5) the commission by the Employee of any act which could reasonably be expected
to materially injure the reputation, business, or business relationships of the
Company or Related Entities; (6) the Employee's inability to perform an
essential function of Employee's position; or (7) any material breach by
Employee of this Agreement. The Company may

                                        3
<PAGE>
terminate this Agreement for Cause, as defined in clauses (1), (5), (6) and (7)
above, upon thirty days prior written notice (the "Cause Notification Period")
to Employee, but such termination shall only become effective in the event of
Employee's failure to cure the applicable breach or violation, to the reasonable
satisfaction of Company, prior to the end of the Cause Notification Period. The
Company may terminate this Agreement for Cause, as defined in clauses (2), (3),
and (4) above, at any time with no notice. In the event of a termination for
Cause, the Company shall be relieved of all its obligations to the Employee
provided for by this Agreement as of the effective date of termination, and all
payments to the Employee hereunder shall immediately cease and terminate as of
such date, except that Employee shall be entitled to the annual base salary
hereunder up to and including the effective date of termination. Termination for
cause or not for cause shall not, however, invalidate any stock option grants
which are fully vested as of the date of termination.

     6.   NONCOMPETITION, NONSOLICITATION, AND NONDISCLOSURE COVENANTS.

          (a) Rationale for Restrictions. Employee acknowledges that Employee's
services hereunder are of a special, unique, and extraordinary character, and
Employee's position with the Company places Employee in a position of confidence
and trust with customers, suppliers, and other persons and entities with whom
the Company and its Related Entities have a business relationship. The Employee
further acknowledges that the rendering of services under this Agreement will
likely require the disclosure to Employee of Confidential Information (as
defined below) relating to the Company and/or Related Entities. As a
consequence, the Employee agrees that it is reasonable and necessary for the
protection of the goodwill and legitimate business interests of the Company and
Related Entities that the Employee make the covenants contained in this Section
6, that such covenants are a material inducement for the Company to employ the
Employee and to enter into this Agreement, and that the covenants are given as
an integral part of and incident to this Agreement.

          (b) Noncompetition and Nonsolicitation Covenants. As used herein, the
term "Restrictive Period" means the time period commencing on the Effective Date
of this Agreement and ending on the second (2nd) anniversary of the date on
which the Employee's employment by the Company (or any Related Entity) expires
or is terminated. The Employee agrees that, during the Restrictive Period, the
Employee will not utilize his or her knowledge of the business of the Company or
his or her relationships with investors, suppliers, customers, clients, or
financial institutions to compete with the Company or any of the Related
Entities in any business which is the same as, or similar to, any business
conducted by the Company or any of the Related Entities at any time during the
Restrictive Period (a "Covered Business"). Additionally, the Employee agrees
that the Employee will not engage in any of the following acts anywhere in the
world during the Restrictive Period:

          (i)  directly or indirectly engage or invest in; own, manage, operate,
               finance, control, or participate in the ownership, management,
               operation, financing, or control of; be employed by, associated
               with, or in any manner connected with; lend the Employee's name
               or any similar name to; lend Employee's credit to; or render
               services or advice to, any business which competes with, is
               engaged in, or carries on any aspect of a Covered Business;

          (ii) directly or indirectly assist, promote or encourage any existing
               or potential employees, customers, clients, or vendors of the
               Company or any Related Entity, as well as any other parties which
               have a business relationship with the

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                Company or a Related Entity, to terminate, discontinue, or
                reduce the extent of their relationship with the Company or a
                Related Entity;

          (iii) directly or indirectly solicit business of the same or similar
                type as a Covered Business, from any person or entity known by
                the Employee to be a customer or client of the Company, whether
                or not the Employee had contact with such person or entity
                during the Employee's employment with the Company;

          (iv)  disparage the Company, any Related Entities, and/or any
                shareholder, director, officer, employee, or agent of the
                Company or any Related Entity; and/or

          (v)   engage in any practice the purpose of which is to evade the
                provisions of this Section 6 or commit any act which adversely
                affects the Company, any Related Entity, or their respective
                businesses.

The Employee acknowledges and agrees that, in light of the unique nature of the
Company's business, the Company will market its products on a worldwide basis
and will compete with various companies and businesses across and world.
Accordingly, the Employee agrees that the geographic scope of the above
covenants is a reasonable means of protecting the Company's (and the Related
Entities') legitimate business interests. Notwithstanding the foregoing
covenants, nothing set forth in this Agreement shall prohibit the Employee from
owning the securities of (i) corporations which are listed on a national
securities exchange or traded in the national over-the-counter market in an
amount which shall not exceed 5% of the outstanding shares of any such
corporation or (ii) any corporation, partnership, firm or other form of business
organization which does not compete with, is not engaged in, and does not carry
on any aspect of, either directly or indirectly through a subsidiary or
otherwise, any Covered Business.

          (c) Disclosure of Confidential Information. The Employee acknowledges
that the inventions, innovations, software, trade secrets, business plans,
financial strategies, finances, and all other confidential or proprietary
information with respect to the business and operations of the Company and
Related Entities are valuable, special, and unique assets of the Company.
Accordingly, the Employee agrees not to, at any time whatsoever either during or
after the Employee's term of employment with the Company, disclose, directly or
indirectly, to any person or entity, or use or authorize any person or entity to
use, any confidential or proprietary information with respect to the Company or
Related Entities without the prior written consent of the Company, including,
without limitation, information as to the financial condition, results of
operations, identities of clients or prospective clients, products under
development, acquisition strategies or acquisitions under consideration, pricing
or cost information, marketing strategies or any other information relating to
the Company or any of the Related Entities which could be reasonably regarded as
confidential (collectively referred to as "Confidential Information"). However,
the term "Confidential Information" does not include any information which is or
shall become generally available to the public other than as a result of
disclosure by the Employee or by any person or entity which the Employee knows
(or which the Employee reasonably should know) has a duty of confidentiality to
the Company or a Related Entity with respect to such information. In addition to
the foregoing, Company will be fully entitled to all of the protections and
benefits afforded by the Florida Uniform Trade Secrets Act and other applicable
law.

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<PAGE>

          (d) Prevention of Premature Disclosure of Information. The Employee
agrees and acknowledges that, because the success of the Company is heavily
dependent upon maintaining the secrecy of the Company's Confidential Information
and preventing the premature public disclosure of the Company's proprietary
information and technology, the Employee agrees to use the Employee's best
efforts and his or her highest degree of care, diligence, and prudence to ensure
that no Confidential Information prematurely leaks or otherwise prematurely
makes its way into the public domain or any public forum, including, without
limitation, into any trade publications, internet chat rooms, or other similar
forums. In the event that the Employee becomes aware of any premature leak of
Confidential Information or becomes aware of any circumstances creating a risk
of such a leak, the Employee shall immediately inform the Board of Directors,
the Chief Executive Officer, or the Employee's supervisor of such leak or of
such circumstances.

          (e) Removal and Return of Proprietary Items. The Employee will not
remove from the Company's premises or any other mutually agreed upon work
location (except to the extent such removal is for purposes of the performance
of the Employee's duties at home or while traveling, or except as otherwise
specifically authorized by the Company) any document, record, notebook, plan,
model, component, device, or computer software or code, whether embodied in a
disk or in any other form (collectively, the "Proprietary Items"). The Employee
recognizes that, as between the Company and the Employee, all of the Proprietary
Items, whether or not developed by the Employee, are the exclusive property of
the Company. Upon termination of Employee's employment with the Company by
either party (regardless of the reason for termination), or upon the request of
the Company during the term of employment, the Employee will return to the
Company all of the Proprietary Items in the Employee's possession or subject to
the Employee's control, and the Employee shall not retain any copies, abstracts,
sketches, or other physical embodiment of any of the Proprietary Items.

          (f) Enforcement and Remedies. In the event of any breach of any of the
covenants set forth in this Section 6, the Employee recognizes that the remedies
at law will be inadequate and that in addition to any relief at law which may be
available to the Company for such violation or breach and regardless of any
other provision contained in this Agreement, the Company shall be entitled to
equitable remedies (including an injunction) and such other relief as a court
may grant after considering the intent of this Section 6. Additionally, the
period of time applicable to any covenant set forth in this Section 6 will be
extended by the duration of any violation by Employee of such covenant. In the
event a court of competent jurisdiction determines that any of the covenants set
forth in this Section 6 are excessively broad as to duration, geographic scope,
prohibited activities or otherwise, the parties agree that this covenant shall
be reduced or curtailed to the extent, but only to the extent, necessary to
render it enforceable.

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<PAGE>

          7.   EMPLOYEE INVENTIONS.

          (a) Definition. For purposes of this Agreement, "Employee Invention"
means any idea, invention, technique, modification, process, or improvement
(whether patentable or not), any industrial design (whether registerable or
not), any mask work, however fixed or encoded, that is suitable to be fixed,
embedded or programmed in a semiconductor product (whether recordable or not),
and any work of authorship (whether or not copyright protection may be obtained
for it) created, conceived, or developed by the Employee, either solely or in
conjunction with others, during the Employee's employment with the Company or
during the twenty four (24) month period following such employment, that relates
in any way to, or is useful in any manner in, the businesses then being
conducted or proposed to be conducted by the Company or any Related Entity.

          (b) Ownership of Employee Inventions. Employee agrees and acknowledges
that all Employee Inventions will belong exclusively to the Company and that all
Employee Inventions are works made for hire and the property of the Company,
including any copyrights, patents, semiconductor mask protection, or other
intellectual property rights pertaining thereto. If it is determined that any
such works are not works made for hire, the Employee hereby assigns to the
Company all of the Company's right, title, and interest, including all rights of
copyright, patent, semiconductor mask protection, and other intellectual
property rights, to or in such Employee Inventions. The Employee covenants that
the Employee will promptly:

          (i)   disclose to the Company in writing any Employee Invention;

          (ii)  assign to the Company or to a party designated by the Company,
                at the Company's request and without additional compensation,
                all of the Employee's right to the Employee Invention for the
                United States and all foreign jurisdictions;

          (iii) execute and deliver to the Company such applications,
                assignments, and other documents as the Company may request in
                order to apply for and obtain patents or other registrations
                with respect to any Employee Invention in the United States and
                any foreign jurisdictions;

          (iv)  sign all other papers necessary to carry out the above
                obligations; and

          (v)   give testimony and render any other assistance in support of the
                Company's rights to any Employee Invention.

     8. ESSENTIAL AND INDEPENDENT COVENANTS. The Employee's covenants in
Sections 6 and 7 of this Agreement are independent covenants, and the existence
of any claim by the Employee against the Company under this Agreement or
otherwise will not excuse the Employee's breach of any covenant in Section 6 or
7.

     9. REPRESENTATIONS AND WARRANTIES BY THE EMPLOYEE. The Employee represents
and warrants to the Company that the execution and delivery by the Employee of
this Agreement do not, and the performance by the Employee of the Employee's
obligations hereunder will not, with or without the giving of notice or the
passage of time, or both: (a) violate any judgment, writ, injunction, or order
of any court, arbitrator, or governmental agency applicable to the Employee, or
(b) conflict

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<PAGE>

with, result in the breach of any provisions of or the termination of, or
constitute a default under, any agreement to which the Employee is a party or by
which the Employee is or may be bound, including, without limitation, any
noncompetition agreement or similar agreement.

     10. NOTICES. For purposes of this Agreement, notices and all other
communications provided for herein shall be in writing and shall be deemed to
have been duly given when hand-delivered, sent by facsimile transmission (as
long as receipt is acknowledged), or mailed by United States certified or
registered mail, return receipt requested, postage prepaid, addressed to the
address or facsimile number for each party set forth on the signature page
hereto, or to such other address or facsimile number as either party may have
furnished to the other in writing in accordance herewith, except that a notice
of change of address shall be effective only upon receipt.

     11. MISCELLANEOUS. No provision of this Agreement may be modified or waived
unless such waiver or modification is agreed to in writing signed by both of the
parties hereto. No waiver by any party hereto of any breach by any other party
hereto shall be deemed a waiver of any similar or dissimilar term or condition
at the same or at any prior or subsequent time. This Agreement is the entire
agreement between the parties hereto with respect to the Employee's employment
by the Company, and there are no agreements or representations, oral or
otherwise, expressed or implied, with respect to or related to the employment of
the Employee which are not set forth in this Agreement. This Agreement shall be
binding upon, and inure to the benefit of, the Company, its respective
successors and assigns, and the Employee and Employee's heirs, executors,
administrators and legal representatives. The duties and covenants of the
Employee under this Agreement, being personal, may not be delegated or assigned
by the Employee without the prior written consent of the Company, and any
attempted delegation or assignment without such prior written consent shall be
null and void and without legal effect. The parties agree that if any provision
of this Agreement shall under any circumstances be deemed invalid or
inoperative, the Agreement shall be construed with the invalid or inoperative
provision deleted and the rights and obligations of the parties shall be
construed and enforced accordingly.

     12. GOVERNING LAW; RESOLUTION OF DISPUTES. The validity, interpretation,
construction, and performance of this Agreement shall be governed by the laws of
the State of Florida without regard to principles of choice of law or conflicts
of law thereunder. Any action or proceeding seeking to enforce any provision of,
or based on any right arising out of, this Agreement may be brought against
either of the parties in the courts of the State of Florida, County of
Hillsborough, or, if it has or can acquire jurisdiction, in the United States
District Court located in Hillsborough County, Florida, and each of the parties
consents to the jurisdiction of such courts (and of the appropriate appellate
courts) in any such action or proceeding and waives any objection to venue laid
therein. Process in any action or proceeding referred to in the preceding
sentence may be served on either party anywhere in the world. THE PARTIES HEREBY
WAIVE A JURY TRIAL IN ANY LITIGATION ARISING UNDER OR RELATING TO THIS
AGREEMENT.

     13. COUNTERPARTS; FACSIMILE SIGNATURES. This Agreement may be executed in
one or more counterparts, each of which shall be deemed an original, but all of
which together shall constitute one and the same instrument. This Agreement may
be effective upon the execution and delivery by any party hereto of facsimile
copies of signature pages hereto duly executed by such party; provided, however,
that any party delivering a facsimile signature page covenants and agrees to
deliver promptly after the date hereof two (2) original copies to the other
party hereto.

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<PAGE>

     14. TERMINATION OF PRIOR EMPLOYMENT AGREEMENT. The Employee and the Company
agree and acknowledge that this Employment Agreement supercedes and replaces
that certain Employment Agreement, dated August 1, 2001, between the Employee
and the Company (the "Prior Employment Agreement"). Accordingly, the Employee
and the Company agree and acknowledge that the Prior Employment Agreement is
terminated as of the Effective Date and that neither Employee neither the
Company shall have any further rights, obligations, or duties thereunder as of
the Effective Date. Employee further agrees and acknowledges that he has
received all salary, bonus, and other amounts or compensation due or payable to
Employee under the Prior Employment Agreement.

          IN WITNESS WHEREOF, the parties have executed this Agreement as of the
day and year first above written.

                                      LIQUIDMETAL TECHNOLOGIES

                                      By:  /s/ John Kang
                                         ---------------------------------------
                                         John Kang, President and CEO

                                      Liquidmetal Technologies
                                      100 N. Tampa Street Suite 3150
                                      Tampa, FL 33602
                                      Facsimile Number:  [813-314-0720]

                                      EMPLOYEE

                                      By:  /s/ John A. Grant, Jr.
                                         ---------------------------------------

                                      Printed Name: John A. Grant, Jr.
                                                   -----------------------------

                                      Address and Facsimile Number:

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

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

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

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

                                       9<PAGE>
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                                                                               .
                                                                   EXHIBIT 10.20

<TABLE>
<S>                                             <C>             <C>            <C>          <C>
---------------------------------------         -----------------------------------------------------
* To be filled in by the bank                   Responsible     Assistant      Associate    Associate
                                                Associate       Manager/       General      Branch
---------------------------------------                         Manager        Manager      Manager
Bank Account                                    -----------------------------------------------------
---------------------------------------
Name of the Borrower
---------------------------------------
Contact Info
---------------------------------------         -----------------------------------------------------

</TABLE>

                            CREDIT SERVICE AGREEMENT
                             (For Corporate Clients)

To: KOOKMIN BANK                               [*********], 20

                                               Liquidmetal Korea Co., Ltd.
                                               Representative Director
                                               Hong, Sung Taek
                            [Borrower] Name                               (seal)
                            ----------------------------------------------------
                            Address:

                                                 -------------------------------
                                                   Confirmed by the above-named
                                                   (      (MM),     (DD), 20xx)
                                                 -------------------------------
                                                 Position:
                                                 Name:
                                                 -------------------------------

     In obtaining a credit loan from Kookmin Bank, Ltd., I acknowledge that this
transaction is subject to the "Bank Credit Service Master Agreement (including
the Deposit Agreement and the Trust Service Agreement in the cases of the
automated loans based on overall bank accounts and the loans tied to bank
deposits)" in accordance with the following conditions and hereby ascertain and
definitely agree to each of the following provisions:

SECTION 1 TERMS AND CONDITIONS OF THE TRANSACTION
     The terms and conditions of the transaction are as follows (In case there
are multiple types of transactions, the borrower will tick the square box "  "
below after listening to the explanations of a bank representative.

<TABLE>
<S>                         <C>                        <C>                 <C>
--------------------------------------------------------------------------------------------------------------
                             Corporate financing for
  Credit Classification      general facility               Types of           Line of credit transaction
     (Type of Credit)        (                     )       Transaction      [X] Individual transaction

--------------------------------------------------------------------------------------------------------------
    Amount of Credit
        (Limit)             Six and a Half Billion                                         Won
                            (Legal Tender of (Country Name)                                      )
--------------------------------------------------------------------------------------------------------------
                                                       Last date of the
   Credit Origination       February [*], 2003         credit extension    February [*], 2008
           Date                                        period (Final
                                                       Repayment Date)    (1 revolving cycle: month(s))
--------------------------------------------------------------------------------------------------------------
                                                                                          % per annum
      Interest Rate        7.1% per annum              Rate of Delay       Subject to the additional Agreement
                                                       Penalty             Relating to Delay Penalty
--------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>

<TABLE>
<S>                      <C>
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How to calculate         Interest shall be calculated ([-] a monthly basis; [ ] on a daily basis), and delay penalties shall be
interest and delay       calculated on a daily basis. One year is deemed to have 365 days penalty for the purpose of calculation
                         on a daily basis. However, customary international and commercial practices shall be applicable to the
                         transactions denominated in foreign currencies.
--------------------------------------------------------------------------------------------------------------------------------
Credit provision         [-] To be provided in full on the loan origination day.
method                   [ ] To be provided as per request by the loan applicant who meets certain requirements.
                         [ ] Bank will verify the purpose of financing and the required amounts based on documentary evidence or
                         the target achievement ratio based on work-in-progress, facilities and equipment, and in-kind materials
                         of substantiation, and then provide loan in several installments. (In this case, the period of
                         deferment, the ending date of the credit extension period, and the agreed due date of repayment shall
                         be determined on the basis of the date when the first installment of the loan is provided.)
--------------------------------------------------------------------------------------------------------------------------------
Repayment method         [ ] To be repaid in full on the ending date of the credit extension period.
                         [ ] To be repaid at discretion, insofar as it is paid in full in lump-sum before the ending date of
                         each loan payment cycle, with the entire loan to be paid off in full on the ending date of the credit
                         extension period.
                         [ ] Repayment shall be made in installments on the (    ) day of each month in equal payments of ([ ]
                         principal and interests, [ ] principal).
                         [-] It shall be deferred for ( 1 ) year and (6) months from the loan origination date, and principal
                         shall be repaid in equal installments every ( 1 ) month thereafter.
--------------------------------------------------------------------------------------------------------------------------------
When and how to pay      [-] The initial payment of interest shall be paid within ( 1 ) month from the loan interest origination
pay interest             date, and thereafter, interest shall be paid within ( 1 ) month from the date following the last day of
                         the immediately prior interest payment cycle.
                         [ ] The initial payment of interest shall be made on the loan origination date, and thereafter,
                         interest shall be paid in advance on the last day of the immediately prior interest payment cycle.
                         [ ] To be paid in advance by the day before the date of the note.
                         [ ] To be paid each month, on the monthly closing day set by the bank.
                         [ ] To be paid on the (    ) day of every month.
                         [ ] To be paid on the repayment date of the principal installment repayment date or on the monthly
                         contribution payment date.
                         [ ] To be paid on the (    ) day of every (   ) month(s) from the loan origination date during the
                         period of deferment, and on the principal installment repayment date of the principal thereafter.
                         [ ] To be paid on the interest payment date set separately.
--------------------------------------------------------------------------------------------------------------------------------
</TABLE>

SECTION 2 DELAY PENALTY
     1.   In the event of failure to make interest payment, installment-based
          repayment, and principal and interest to be paid in installments, a
          delay penalty shall be paid for the amount due.
     2.   In the event of default on the ending date of the credit extension
          period, or in the event of loss of time benefit under Section 7
          (including Section 8 Failure to Perform Repurchase Claim) of the Bank
          Credit Service Master Agreement, the delay penalty shall be paid for
          the balance of the loan thereafter.
     3.   In case of Section 10 Paragraphs 4 and 5, delay penalty shall be paid
          immediately for the loan balance after offset or proxy drawback
          repayment.
     4.   In case of automated loans based on overall bank accounts and the
          loans tied to bank deposits, the delay penalty shall be paid
          immediately for the amounts in excess of the credit limit incurred by
          deposit-based loans, interest, and others.

<PAGE>

SECTION 3 FINALIZATION OF LOAN AMOUNT AND NOTIFICATION OF PAYMENT SCHEDULE
     1.   In case of credit extended in installment, the total loan amount shall
          be finalized after the final installment of credit has been extended
          and, it shall be finalized based on the repayment plan schedule,
          receipts, and other documentary evidence.
     2.   In case credit is extended in installment, excluding automated loans
          based on overall bank accounts and
          rewards, the bank shall prepare a repayment schedule for the finalized
          total loan amount and notify it to the borrower.

SECTION 4. DECREASE OR SUSPENSION OF CREDIT
     In the event of a line of credit loan or an installment credit, the bank
     may decrease the credit (line) limit of Section 1 or temporarily suspend
     provision of loan no matter how long (the customer) has been with the bank
     if changes in the financial service environment have occurred or if found
     necessary to maintain integrity of the loan. In case the credit limit is
     lowered, the borrower shall immediately pay the amount in excess of the new
     credit limit.

SECTION 5. ADDITIONAL AGREEMENT ON AUTOMATED LOANS BASED ON OVERALL BANK
ACCOUNTS AND THE LOANS TIED TO BANK DEPOSITS
     1.   In case of automated loans based on overall bank accounts and the
          loans tied to bank deposits, the money (amounts in securities and the
          like shall be excluded until processed for payment, and the deposited
          securities shall be deemed to have been assigned to the bank as
          security collateral for the loan under this Agreement) deposited in
          the base account of automated loans based on overall bank accounts and
          the bank deposits (hereinafter "Base Accounts") shall be automatically
          debited for repayment of the loan.
     2.   In case of automated loans based on overall bank accounts and the
          loans tied to bank deposits, if a withdrawal in excess of the balance
          of the Base Accounts is made, or recurrent payments or direct payment
          of bills are made through the Account, the repayment of the loan shall
          be made through or automatically withdrawn from the Account.
     3.   In case of automated loans based on overall bank accounts and the
          loans tied to bank deposits, the bank may, at its own discretion,
          extend a loan in excess of the credit limit specified in the Section
          1, in which case the excess amount shall be paid promptly.
     4.   In case of automated loans based on overall bank accounts and the
          loans tied to bank deposits, interest and delay penalty shall be
          debited against the Base Accounts or added to the loan amount
          notwithstanding the clause on loan amounts in excess of credit limit
          of Section 1, in which case the excess amount shall be repaid
          promptly.
     5.   In case a borrower of the loan tied to bank deposits incurs
          compensation liability as a result of the bank's honoring of the notes
          and checks issued by the borrower, that amount shall be considered as
          a part of the loan and the borrower shall make repayment in accordance
          with this Agreement.
     6.   Borrower of the loans tied to bank deposits agrees to make no
          complaints in cases where notes or checks s/he issued, prior to the
          decrease or suspension of credit under Section 6, bounce due to the
          foregoing reasons.
     7.   In the case of the loans tied to bank deposits, the bank may, at its
          own discretion, pay for the notes and checks issued prior to the
          ending date of the credit extension period, even after the ending date
          of the credit extension period, and the Terms and Agreement shall be
          applicable to the resulting loan amount.

SECTION 6 FEE FOR UNUSED CREDIT LIMIT UNDER STIPULATION
     In case of a line of credit loan or a loan denominated in a foreign
     currency, the borrower shall pay a fee set by the bank for the available
     balance of the stipulated credit (line) limit provided in Section 1.

SECTION 7 OBLIGATION TO PROVIDE PROMISSORY NOTE AND GRANT OF THE RIGHT TO THE
NOTE
     1.   In case of a note-based loan or a loan with a stipulated amount
          (excluding automated loans based on overall bank accounts and the
          loans tied to bank deposits), the borrower shall issue and provide the
          bank a promissory note to the bank with the blank amount and the blank
          date.
     2.   The bank may exercise the right to be indemnified with the blank check
          as specified in Section 7.1 as supplementary remedies, in the event
          that the borrower fails to repay by the ending date of the credit
          extension period or loses the time benefit under Section 7 (including
          Section 8 Cause for Repurchase Claim) of the Bank Credit Service
          Master Agreement).
     3.   In the event of exercising the supplementary remedy right to the
          promissory note, the amount of the note shall be the sum or less of
          the aggregated sum of the principal, interest, delay penalties, and
          incidentals.

SECTION 8 REPAYMENT CURRENCY AND EXCHANGE RATE
     The principal of a loan denominated in foreign currency may be repaid in
     the currency of the loan or Korean Won, and in the event of repaying in
     Won, the bank's EFT [electronic fund transfer] selling rate for customers
     shall be applied.

SECTION 9 SECURITY COLLATERAL - INSURANCE
     1.   Unless otherwise instructed by the bank, the borrower shall provide to
          the bank as security collateral, the facilities and buildings, which
          are constructed or purchased with the credit provided by this
          Agreement, and other facilities and, shall, at the request of the
          bank, purchase an insurance policy of the type and the insured amount
          agreed upon by the bank, and shall establish the bank as the
          pledge-holder of the right to claim the insurance benefits.

<PAGE>
     2.   The borrower shall not, without consent of the bank impose any rights
          - including an act of title transfer, security rights, superfices,
          lease rights, provisional registration, or rent rights- on the
          facilities and the buildings of the preceding paragraph either during
          or after the completion of construction, and shall protect the rights
          of the bank from any third party.

SECTION 10 PLACEMENT OF SECURITY RIGHTS
     1.   In order to have the debt secured under the Agreement, a pledge has
          been placed on the bank accounts noted below and the transfer of the
          certificate (bank checkbook) has been completed.
     2.   The right of pledge in the preceding paragraph shall have effect on
          the principal, beneficiary certificates (including amounts to be
          deposited after this Agreement), and the resulting interest,
          beneficiary rights to income, special incentives, legal grants, and
          others.
     3.   The borrower agrees that the rights of pledge be effective even in
          cases where the bank deposits are extended, opened, renewed, split,
          merged, increased or decreased in amount, or interests are added to
          the principal, and also agrees that the rights of pledge shall have
          effect on the beneficiary of certificate in case the trust, which is
          the objective of the deposits, is extended or automatically extended
          due to delinquent payment.
     4.   In lieu of exercising the pledge rights of Paragraph 1, the bank may
          use the deposits below to cover the loan provided by the bank by using
          a method of offset or proxy drawback repayment.
     5.   In the event of loans relating to time-deposit installment savings,
          the bank may, with notice, offset the collateral deposits with the
          loan amount or may defray it to cover proxy drawback repayment even
          before the ending date of the credit extension period, in the event
          that the monthly installment deposit for the related accounts, which
          is supposed to serve as the target of the pledge of Paragraph 1 of
          this section, is delayed for six (6) months (four (4) times in the
          case of a trust loan tied to installment deposits or a loan secured by
          beneficiary certificates) or longer.

Bank Deposits - The Target of the Pledge Rights:

<TABLE>
<CAPTION>
                            Account         Amount
                           Holder or                    Until , , 20( )
  Type     Certificate       Trust        (Contract     Cumulative Total      Date of      Payment
            - Number       Provider        Amount)          Deposits        Certificate      Date
           --------------------------
             Account      Beneficiary
             Number
----------------------------------------------------------------------------------------------------
<S>        <C>            <C>             <C>           <C>                 <C>            <C>

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

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

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

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

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

----------------------------------------------------------------------------------------------------
</TABLE>

Section 11. Other Special Agreements           Undersigned:
                                               Liquidmetal Korea Co., Ltd.
                                               Representative Director
                                               Hong, Sung Taek (Seal)

                                                                      (Seal)
--------------------------------------------------------------------------------
The application of Sections 5, 6, 7, and 10, which are not relevant to this
loan transaction, are hereby excluded.
--------------------------------------------------------------------------------

* Please read the following and respond truthfully in your own handwriting based
on your own experience. (Example: 1. Received, 2. Informed)
<PAGE>

<TABLE>
<S>                                                                                     <C>
------------------------------------------------------------------------------------------------
1. Did you definitely receive a copy of the Bank Credit Service Master Agreement        Received
and this Agreement?
------------------------------------------------------------------------------------------------
2. Were you verbally informed about the important points of the Bank Credit             Yes
Service Master Agreement and this Agreement?
------------------------------------------------------------------------------------------------
</TABLE>

<PAGE>

<TABLE>
<S>                                                     <C>           <C>          <C>          <C>
------------
  Revenue
   Stamp
---------------------------------------                 ------------------------------------------------------
* To be filled by the bank                              Responsible   Assistant    Associate    Associate
---------------------------------------                 Associate     Manager  -   General      Branch Manager
Bank Account                                                          Manager      Manager
---------------------------------------                 ------------------------------------------------------
Name of the Borrower
---------------------------------------
Contact Info
---------------------------------------                 ------------------------------------------------------
</TABLE>

                 ADDITIONAL AGREEMENT RELATING TO DELAY PENALTY

To: KOOKMIN BANK                   (Month)    (Date), 20xx (Year)
                                               Liquidmetal Korea Co., Ltd.
                                               Representative Director
                                               Hong, Sung Taek

                             [Borrower] Name:                             (seal)
                             ---------------------------------------------------
                             Address:

In addition to the Credit Service Agreement, I ascertain and definitively agree
to the following:

SECTION 1 DELAY PENALTY

The interest rate on any delinquent payment (hereinafter "delay penalty") shall
be the rate [interest rate on the loan (interest rate agreed upon) + the
additional interest rate on the delinquent payment] set by the bank. However, if
the interest rate agreed upon in Section 2.1 exceeds the maximum rate, the rate
on the delay penalty shall be the rate of the interest rate agreed upon plus
2.0%.

SECTION 2  MINIMUM AND MAXIMUM RATES OF THE DELAY PENALTY

     1.   Minimum and maximum rates of the delay penalty under this Agreement
          shall be 14.0% and 21.0% per annum respectively.
     2.   The minimum rate shall be applicable in case the rate of the delay
          penalty calculated in accordance with the Section 1 of this additional
          agreement is lower than the minimum rate under the preceding
          paragraph, and, in case the rate exceeds the maximum rate, the rate in
          excess of the maximum rate shall not be applicable. However, provision
          in Paragraph 1 shall be used in the event that the interest rate
          agreed upon is 21.0% or higher per annum.

SECTION 3 DIFFERENTIAL APPLICATION OF THE ADDITIONAL INTEREST RATE ON DELINQUENT
PAYMENTS AND THE START DATE OF DELINQUENT PAYMENTS

     1.   The interest rate on any delinquent payment of Section 1 shall be 8.0%
          per annum in case the principal and associated interests of the
          delinquent payment is settled within three (3) months from the start
          date of delinquency, 9.0% if settled within six (6) months, and 10% if
          settled after six (6) months.
     2.   In case partial repayment on the delay penalty has been made, the
          start date (the start date of delinquency) for differential
          application of the additional interest rate under the provisions of
          Section 1 shall be the payment due date initially agreed upon (or
          [illegible]), and shall be based on the changed due date in case the
          date (or [illegible]) agreed upon has been changed.
     3.   As for the application of the differentiated additional interest rates
          depending on the length of delinquent period under Paragraph 1, a
          uniform rate shall be applicable for the entire duration of the
          delinquent payment as of the settlement date of the delinquent
          payment, not differential rates for each period.
          e.g. In case the principal and associated interests are fully paid for
               a loan delinquent for five (5) months, a single and uniform
               interest rate of 9.0% per annum shall be applicable on the
               delinquent payment for the entire period of five (5) months, in
               addition to the interest rate agreed upon, as opposed to
               application of additional interest rate of 8.0% per annum on the
               delinquent period of the first three (3) months and 9.0% per
               annum for the last two (2) months.
     4.   In case the principal of the delinquent payment has been partially
          settled and a balance remains on the day of payment, the additional
          interest rate for the entire delinquent period shall be continuously
          applicable from the date of delinquency, before the partial payment of
          the delinquent amount, and the delinquent date shall not change.
<PAGE>

SECTION 4 CHANGE OF DELAY PENALTY RATES

     The bank may change the additional interest rates in the provisions of
     Section 1, the delay penalty set forth in Section 2 Paragraph 1, and the
     differential additional interest rates set forth in Section 3 Paragraph 1
     to the rate set by the bank in case the initial agreement cannot be
     maintained due to changes in the financial service environment or changes
     in the national economy.

<PAGE>

<TABLE>
<S>                                                       <C>           <C>          <C>          <C>
-------------------------------------------               ------------------------------------------------------
* To be filled by the bank                                Section       Assistant    Associate    Associate
-------------------------------------------               Responsible   Manager -    General      Branch Manager
Bank Account                                                            Manager      Manager
-------------------------------------------               ------------------------------------------------------
Name of the Borrower
-------------------------------------------
Contact Info
-------------------------------------------               ------------------------------------------------------
</TABLE>

               ADDITIONAL AGREEMENT RELATING TO EARLY PAY-OFF FEES

To: KOOKMIN BANK Co., Ltd.                        (Month)    (Date), 20xx (Year)
                                    [Borrower] Name:                      (seal)
                                    --------------------------------------------
                                    Address:

In addition to the Credit Service Agreement of MM DD YY, I ascertain and
definitively agree to the following:

SECTION 1 PAYMENT OF EARLY PAY-OFF FEES
     In case Obligor repays the loan obtained from Bank (this means extension of
credit financing set forth in Section 2 Paragraph 1 Sub-Paragraph 7 of the Bank
Law) before the date of initially stipulated due date, Obligor shall pay Bank
early pay-off fees in accordance with the calculating method set forth in
Section 2.

SECTION 2 CALCULATION OF EARLY PAY-OFF FEES

(1)  Early pay-off fees relate to "basic fees" and "reference interest rate
     difference," and shall be applicable as indicated below. However, for loans
     linked to the Prime Rate, only the "basic fees" will be collected.

     A.   Basic fees = Early pay-off fees x basic fee rate (0.5%) x number of
          residual days/365
          However, in case the number of residual days exceeds 365, it shall be
          deemed to be 365 days.
     B.   Reference interest rate difference = early pay-off principal x
          difference in interest rates (currently applied MOR - the MOR at the
          time of repayment/365
          However, in the event that the rate difference is in the negative (-),
          this will not be applied. "Residual days" means the number of days
          from the date of early pay-off to the due date. As to re-priced loans,
          this means the number of days from the early pay-off date to the time
          of re-pricing.

(2)  Definition of Related Terminology

     A.   Reference rate (MOR): Of the financial instruments under circulation
          in the market, Bank looks at the market circulation margins of the
          representative instruments which have the same date of rate expiration
          [as the concerned loan], and then determine the MOR based on that.
     B.   Fixed interest rate loan: This is the rate determined at
          implementation of credit, which will be applied unchanged during the
          stipulated term barring any special circumstances.
     C.   Re-priced loan: Pursuant to predetermined stipulation between client
          and Bank, the rate will be recalculated and applied for specific cycle
          of time period (such as every 3 months, 6 months, or 12 months). Hence
          the reference interest rate will be changed as of the date of
          stipulated cycle.

SECTION 3 WAIVER OF EARLY PAY-OFF FEES

     Notwithstanding the provisions of Section 1, early pay-off fees may be
waived under any one of the following cases:

          1.   in case the residual loan period is less than one (1) month

          2.   in case the loan is collected before the due date to meet the
               needs of Bank, for reasons such as disappearance of benefit of
               time

          3.   in case the loan is collected before the due date through
               consultation with Bank as a result of agreement on corporate
               financial structure improvement

          4.   otherwise separately decided by Bank

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00050-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00050-of-00352.parquet"}]]