Document:

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                                                                    EXHIBIT 10.3

                       ASSIGNMENT AND ASSUMPTION AGREEMENT
                       -----------------------------------

     This AGREEMENT is made and entered into as of April 12, 2002 (the
"Agreement"), by and between Bionix, L.L.C., a Delaware limited liability
company ("Assignor") and Orthometrix, Inc., a Delaware corporation ("Assignee").

                              W I T N E S S E T H

     WHEREAS, Assignor and Novotec Maschinen GmbH, a German corporation
("Novotec") have entered into a certain Distribution Agreement, dated October 1,
1999 (the "Novotec Agreement"); and

     WHEREAS, Assignor has agreed to assign to Assignee all right, title, and
interest of Assignor in, to and under the Novotec Agreement.

     NOW, THEREFORE, in consideration of good and valuable consideration, the
receipt and sufficiency of which is hereby acknowledged, the parties hereto
agree as follows:

     1. Assignor hereby assigns and transfers, as of the day and year first
above written (the "Closing Date"), all of Assignor's right, title and interest,
arising from and after the Closing Date, under and pursuant to the Novotec
Agreement.

     2. Assignee hereby assumes, from and after the Closing Date, and agrees to
pay, discharge and perform, as and when the same shall become due, all of the
obligations of Assignor, arising from and after the Closing Date, pursuant to
the Novotec Agreement.

     3. Assignee shall have whatever rights Assignor has relating to the Novotec
Agreement, including the rights to contest in good faith the legality, validity
or enforceability of the Novotec Agreement.

     4. This Agreement shall be governed by and construed in accordance with the
internal laws of the State of New York.

     5. This Agreement may be executed in counterparts, each of which shall be
deemed an original, but all of which shall together constitute one and the same
instrument.

     6. This Agreement and all the provisions hereof shall be binding upon and
inure to the benefit of the parties hereto and their respective successors,
legal beneficiaries and permitted assigns. This Agreement may not be assigned by
any party except with the prior written consent of the other party hereto, which
shall not be unreasonably withheld.

<PAGE>

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

                                            BIONIX, L.L.C.

                                            By: /s/ Reynald Bonmati
                                                --------------------------------
                                                Name:  Reynald Bonmati
                                                Title: President

                                            ORTHOMETRIX, INC.

                                            By: /s/ James Baker
                                                --------------------------------
                                                Name:  James Baker
                                                Title: Corporate Secretary and
                                                       Director

<PAGE>

                             DISTRIBUTION AGREEMENT
                                     BETWEEN
                    NOVOTEC MASCHINEN GMBH AND BIONIX, L.L.C.

     DISTRIBUTION AGREEMENT (the "Agreement") dated as of October 1, 1999, by
and among NOVOTEC MASCHINEN GMBH, a German corporation having its principal
place of business at Durlacherstrasse 35, D-75172 Pforzheim, Germany
("Novotec"); and BIONIX L.L.C., a Delaware limited liability company having its
principal place of business at 106 Corporate Park Drive, Suite 106, White
Plains, New York 10604, U.S.A. (the "Distributor");

     WHEREAS, Novotec is engaged in the business of developing and manufacturing
musculoskeletal diagnostic and therapeutic devices ("Devices"), including
various types of body exercise and performance measurement devices under patent
application;

     WHEREAS, Distributor is engaged in the business of, among other things,
marketing and selling health care systems;

     NOW THEREFORE, in consideration of the mutual covenants contained herein,
and for other good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, Novotec and the Distributor hereby agree as
follows:

     Section 1. APPOINTMENT OF DISTRIBUTOR

     (a) Novotec hereby designates and appoints the Distributor as the exclusive
Distributor in the Territory (as defined below) of all Devices (as defined
below), and the Distributor hereby agrees to act as such distributor. The term
"Territory" shall mean the countries and markets listed on Exhibit A attached
hereto. The term "Devices" shall mean the devices listed on Exhibit B attached
hereto. The Distributor agrees to use its good faith reasonable best efforts to
promote the sale of the Devices in the Territory for which it is the distributor
hereunder.

     (b) Delivery dates for the Devices shall be separately negotiated and
agreed upon by the Distributor and Novotec with respect to each purchase order
submitted by the Distributor. Novotec reserves the right to refuse a delivery
date which is within 90 days of the purchase order, provided, however, that
Novotec shall deliver spare parts as soon as possible after they are ordered by
the Distributor.

     (c) Novotec shall not directly or indirectly offer or sell any Devices in
the Territory to or through anyone other than the Distributor, and Novotec shall
refer to the Distributor all inquiries and orders for Devices which it may
receive from any person or entity.

<PAGE>

     (d) Except for sales of Devices pursuant to this Agreement, the Distributor
agrees that during the Term (as defined below) of this Agreement, it will not
distribute or otherwise sell any device which competes with any Device.

     (e) Novotec covenants and agrees that (A) it will supply the Distributor
with a sufficient quantity of each Device on a timely basis to enable the
Distributor to fill all orders from its customers for such Device, and (B) each
Device supplied by Novotec will meet all performance and other standards
established by Novotec in the product brochures and other materials relating to
such Device.

     Section 2. PRICES

     (a) The price to be paid by the Distributor to Novotec for any Device
(without computer, printer or special accessories) to be purchased by the
Distributor as a demonstration system or for immediate resale to a customer is
listed on Exhibit B.

     (b) Payment terms for each Device purchased by the Distributor shall be net
sixty (60) days, or net ten (10) business days following receipt by the
Distributor of payment for such Device from its customer, whichever is shorter.

     (c) All payments pursuant to this Agreement shall be in U.S. dollars.

     Section 3. TERM

     Subject to the provisions of Section 4 hereof, this Agreement shall have an
initial term ending on September 30, 2003 (the "Initial Term'), and may be
reviewed for an indefinite number of successive one-year terms (each such
additional term, a "Renewal Term") in accordance with the following provisions.
At any time during the period beginning 180 days prior to, and ending 90 days
prior to, the end of the Initial Term or any Renewal Term, Novotec, by written
notice to the Distributor, or the Distributor, by written notice to Novotec, may
elect to extend the term of this Agreement for the succeeding Renewal Term;
provided, however, that if at the time of such election, the party electing to
so extend the term is in material breach of its obligations under this
Agreement, the other party shall have the right to reject such election. The
Initial Term and any Renewal Terms shall constitute the "Term" of this
Agreement.

     Section 4. TERMINATION

     (a) Upon the occurrence of (i) an Act of Bankruptcy with respect to the
Distributor, or (ii) a Material Breach by the Distributor with respect to its
Obligations to Stratec, which Material Breach continues for a period of 90 days
following written notice thereof from Novotec to the Distributor, Novotec may
elect to end the Term of this Agreement with respect to all Devices.

<PAGE>

     (b) Upon the Occurrence of (i) an Act of Bankruptcy with respect to
Novotec, or (ii) a Material Breach by Novotec, which Material Breach continues
for a period of 90 days following written notice thereof from the Distributor to
Novotec, the Distributor may elect to end the Term of this Agreement with
respect to all Devices.

     (c) The provisions of Sections 6, 7, 11 and 13 of this Agreement shall
survive the termination of this Agreement pursuant to Section 3 hereof or this
Section 4.

     (d) As used in this Agreement:

     The term "Act of Bankruptcy" shall mean, with respect to any party:

         (i) The filing of an application by such party for, or a consent to,
the appointment of a trustee or receiver of all or substantially all of such
party's assets;

         (ii) The filing by such party of a voluntary petition in any Bankruptcy
Proceeding or the filing of a pleading in any court of record admitting in
writing such party's inability to pay such party's debts as they come due;

         (iii) The making by such party of a general assignment for the benefit
of creditors.

         (iv) The filing by such party of an answer admitting the material
allegations of, or such party's consenting to, or defaulting in answering, any
Bankruptcy Proceeding filed against such party; or

         (v) The entry of an order, judgment or decree by any court of competent
jurisdiction adjudicating such party a bankrupt or appointing a trustee or
receiver of all or substantially all of such party's assets.

     The term "Bankruptcy Proceeding" shall mean any bankruptcy or similar
proceeding under the laws of any jurisdiction, including the United States, any
state or any foreign country.

     The term "Material Breach" shall mean, (i) with respect to Novotec, the
failure of Stratec to perform its material obligations under this Agreement; and
(ii) with respect to the Distributor, the general failure of the Distributor to
use its good faith reasonable best efforts to promote the Devices.

     Section 5. LICENSES

     (a) Novotec hereby grants to the Distributor a license, including rights to
sublicense (the "Novotec License"), to market, sell and service each Device in
the Territory and in connection therewith to use all technology owned by Novotec
or over

<PAGE>

     The term "Bankruptcy Proceeding" shall mean any bankruptcy or similar
proceeding under the laws of any jurisdiction, including the United States, any
state or any foreign country.

     The term "Material Breach" shall mean, (i) with respect to Novotec, the
failure of Stratec to perform its material obligations under this Agreement; and
(ii) with respect to the Distributor, the general failure of the Distributor to
use its good faith reasonable best efforts to promote the Devices.

     Section 6. LICENSES

     (a) Novotec hereby grants to the Distributor a license, including rights to
sublicense (the "Novotec License"), to market, sell and service each Device in
the Territory and in connection therewith to use all technology owned by Novotec
or over which it has any rights, to the extent of such rights which may be
licensed by Novotec (the "Novotec Technology").

     (b) The term "Technology" shall mean all present and future technical
information and know-how, including trade secrets, patents, trademarks,
copyrights, proprietary data and other information and materials necessary or
useful for the marketing and servicing of any Device.

     (c) (left intentionally blank)

     (d) The parties acknowledge and agree that it is their intent that the
Novotec License be governed by Section 365(n) of the United States Bankruptcy
Code, as a license of intellectual property, as defined in Section 101(35A) of
the Bankruptcy Code.

     (e) Stratec covenants and agrees that during the Term it will not transfer
or sell any Novotec Technology for use in the Territory to anyone other than the
Distributor, or grant any license to anyone other than the Distributor to use
the Novotec Technology in the Territory or to market and service any Device in
the Territory.

     Section 7. (left intentionally blank)

     Section 8. WARRANTY

     (a) Novotec warrants that the Devices shall be free from defects in
material and workmanship. Novotec's warranty period shall be 12 months from the
date of shipment to the end-user's facility; provided, however, that in no case
shall Novotec's warranty period extend beyond 14 months from the date of
shipment from Novotec's facility; provided, further, that if Novotec grants to
any purchaser or user of a Device any warranty which extends beyond the warranty
contained in this Section 8, the Distributor shall also receive the benefits of
such extended warranty.

     (b) Except as specifically provided herein, there are no other warranties,
expressed or implied, including, but not limited to, any implied warranties or
merchantability or fitness for a particular purpose. Defective or damaged goods
shall be repaired or replaced at the expense of Novotec. Novotec shall bear any
transportation costs of the defective or damaged goods and their

<PAGE>

replacements. In no event shall Novotec be liable for loss of profits, indirect,
or consequential damages arising out of the use of Devices. Novotec's software
and hardware designed for use with a Device are warranted to execute the
programming instructions when properly installed in the Device. Novotec does not
warrant that the operation of a Device, the software, or the hardware will be
uninterrupted or error free.

     (c) The provisions of this Section 8 shall in no way limit the
indemnification obligations of Novotec under Section 13 hereof.

     Section 9. SERVICE

     (a) Subject to the provisions of this Section 9, the Distributor shall
provide all installation and maintenance service, including warranty service,
with respect to all Devices sold by the Distributor pursuant to this Agreement.
All service shall be performed in a workmanlike manner, consistent with industry
standards, and in accordance with Novotec's service manual. If any service call
performed by the Distributor is covered by Novotec's warranty, Novotec will
promptly provide the Distributor with all necessary parts at no cost to the
Distributor. For service calls not covered by Novotec's warranty, the
Distributor shall establish its own charges for parts and labor, and Novotec
will sell Device's parts to the Distributor at the prices listed on Exhibit C
for such Device.*

     (b) Novotec shall provide the Distributor at no cost with such technical
advice and information as may be necessary for a full understanding and
maintenance of Devices, and the Distributor shall have the right from time to
time, at times agreed with Novotec to send up to four employees to Novotec's
manufacturing facility for instruction and training free of charge two times per
year. The Distributor shall pay travel, lodging and personal expenses incurred
by such employees. The Distributor may send additional employees at its own
expense.

     Section 10. SPECIFICATIONS

     In partial consideration for the Distributor agreeing to act as the
distributor for the Devices. Novotec agrees to transfer and deliver to the
Distributor copies of all specifications, plans, blueprints and related items
for all Devices and any improvements and enhancements thereof
("Specifications"). Such Specifications shall become the property of the
Distributor and may be used by the Distributor for any purpose not prohibited by
the terms of this Agreement.

     Section 11. GOVERNMENTAL APPROVALS

     (a) Novotec and the Distributor deem it advisable to increase the amount of
such coverage, Novotec will obtain such additional insurance to the extent
available on commercially reasonable terms. Novotec and the Distributor may also
agree to decrease the amount of such coverage, provided, however, that in no
event shall coverage be reduced below $4,000,000.

-------------------
* Confidential treatment requested

<PAGE>

     (b) Novotec agrees that upon request from the Distributor, Novotec will
promptly submit certificates of insurance to the Distributor evidencing the
coverage required by this Agreement. Such insurance shall be with companies
reasonably acceptable to the Distributor and Novotec will use its best efforts
to have such insurance policies provide that they may not be cancelled or
materially changed except on at least 30 days' prior written notice to the
Distributor.

     Section 11. INDEMNIFICATION

     (a) Novotec hereby agrees to indemnify and hold harmless the Distributor,
its subsidiaries and affiliates and its and their agents, officers, directors,
employees, representatives, successors and permitted assignees from and against
any and all claims, suits, actions or proceeding for loss, injury, damage or
liability, including reasonable attorneys' fees, in any way resulting from,
arising out of or related to the development and/or manufacture of any Device by
Novotec (including any design or other defect).

     (b) Novotec represents and warrants that its Devices do not and will not
infringe upon the patent, trademark, copyright or other intellectual property
rights of any third party. Novotec agrees to indemnify and hold the Distributor
and its customers harmless from and against all damages, liabilities, costs and
expenses, including reasonable attorney's fees, arising from any claim of a
third party of infringement of patent, trademark, copyright or other
intellectual property rights in the manufacture, use or sale of such Devices.
Novotec shall undertake the defense of any such claim of infringement by counsel
of its choice and at its expense. The Distributor shall assist Novotec to the
extent reasonably required for such defense. In case the manufacturing,
marketing, sale or use of any Device or component thereof is held by a court to
constitute or involve the infringement of a patent, trademark or copyright,
Novotec shall at its own cost either procure for the Distributor or its
customers the right to continue using such Device, or replace the same with a
comparable non-infringing product, or modify the Device so that it becomes
non-infringing, or accept the return of such Devices and refund the purchase
price plus transportation costs and duties paid thereon. Novotec covenants and
agrees to use its best efforts to protect all intellectual property against
relating to the Devices.

     Section 12. REPRESENTATIONS AND WARRANTIES

     Novotec represents and warrants to the Distributor that the Distributor is
its sole and exclusive distributor in the Territory, and that it has no
distribution arrangement in effect in the Territory with any other person or
entity.

     Section 13. ASSIGNMENT

     No party hereto may assign, delegate or otherwise transfer this Agreement,
or any of its rights and obligations hereunder, or any portion thereof without
the prior written consent of the other parties, except as specifically
contemplated hereby. Subject to the foregoing, this Agreement shall inure to the
benefit of the parties and their respective permitted successors and assigns.

<PAGE>

     Section 14. ARBITRATION

     Any controversy or claim arising out of or relating to this Agreement, or
any breach thereof, including, without limitation, any claim that any of this
Agreement, or any part thereof, is invalid, illegal or otherwise voidable or
void, shall be submitted to arbitration in New York, New York in accordance with
the rules of the American Arbitration Association. Any award or determination of
the arbitration tribunal shall be final, nonappealable, and conclusive upon the
parties, and judgment thereon may be entered by any court of competent
jurisdiction.

     Section 15. REMEDIES

     No remedy conferred herein is intended to be exclusive of any other remedy,
and each and every such remedy shall be cumulative and may be exercised singly
or concurrently, and shall be in addition to every other remedy given hereunder
or now or hereafter existing at law or in equity or by statute or otherwise.

     Section 16. CONFIDENTIALITY

     Any confidential or proprietary information regarding the Devices and the
Novotec Technology shall be held in confidence by each party and shall not be
disclosed to any third party by such party except as contemplated by this
Agreement. The Distributor may make disclosures of such information in
connection with the implementation of any of the licensing arrangements
contemplated by Sections 5 hereof (provided that the recipients of such
information are bound by like obligations of confidentiality).

     Section 17. NOTICES

     All notices given by the parties hereunder shall be in writing and shall be
personally delivered or mailed by registered or certified mail, return receipt
requested, by overnight courier or by facsimile transmission to the intended
recipient thereof at the address or facsimile number set forth below. Any such
notice shall be deemed to have been duly given when delivered personally or by
overnight courier and/or given by confirmed facsimile or five days after
mailing. The addresses and facsimile numbers of the parties for purposes of this
Agreement are as follows:

        If to Distributor:

        Bionix, L.L.C.
        106 Corporate Park Drive, Suite 106
        White Plains, NY 10604
        Attention: President
        Fax No.: (914) 636-3549

<PAGE>

        If to Novotec:

        Novotec Maschinen GmbH
        Durlacherstrasse 35
        D-75172 Pforzheim, Germany
        Attention:  Geschaftsfuhrer
        Fax No.: 49-7231-1454-22

Or such other address as any party shall designate in writing to the others.

     Section 18. ENTIRE AGREEMENT

     This Agreement is the entire agreement among the parties hereto relating to
the subject matter hereof, and it cancels and supersedes all earlier agreements,
written or oral relating to the subject matter hereof. No waiver, modification
or change of any of the terms of this Agreement shall be valid unless in writing
and signed by duly authorized representatives of the parties.

     Section 19. SEVERABILITY

     If any term or provision of this Agreement shall at any time be held to be
void, invalid or unenforceable, such term or provision shall be construed as
severable from this Agreement, and the remainder of this Agreement shall be
carried out as if such void, invalid or unenforceable terms or provisions were
not contained herein.

     Section 20. AUTHORITY

     Each party represents and warrants to the others that the execution and
delivery of this Agreement and the performance of the provisions hereof by such
party have been duly authorized by all necessary corporate action and that this
Agreement has been duly and validly executed and delivered by such party and
constitutes a valid and legal binding agreement enforceable against such party
in accordance with its terms.

     Section 21. GOVERNING LAW

     This Agreement shall be governed by and construed in accordance with the
laws of the State of New York, without reference to the choice of law principles
of such laws.

     Section 22. LANGUAGE

     This Agreement is in the English language only, and no translation into any
other language will or shall be taken into consideration in the interpretation
of this Agreement.

<PAGE>

     Section 23. RELATIONSHIP OF PARTIES

     The relationship between Novotec and the Distributor is that of independent
contractors. No party hereto is an agent, partner or employee of the other and
no party has any right or any other authority to enter into any contract or
undertaking in the name of or for the account of the other or to assume or
create any obligation of any kind, express or implied, on behalf of the other,
nor will the act or omissions of either create any liability for the other. This
Agreement shall in no way constitute or give rise to a partnership between the
parties.

     Section 24. HEADINGS

     The headings contained in this Agreement are for purposes of reference only
and shall not limit or otherwise affect the meaning of any provision hereof.

     Section 25. COUNTERPARTS

     This Agreement may be executed in one or more counterparts, each of which
shall constitute an original and all of which taken together shall constitute
one and the same instrument, and any parry may execute this Agreement by signing
any such counterpart.

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

                                             BIONIX, L.L.C.,

                                             By:  /s/ Reynald Bonmati
                                                  ------------------------------
                                             Name:  Reynald Bonmati
                                             Title: President

                                             NOVOTEC MASCHINEN GMBH

                                             By: /s/ Hans Schiessl
                                                  ------------------------------
                                             Name:  Hans Schiessl
                                             Title: Geschaffsfurer

<PAGE>

                                                                       EXHIBIT A
                                                                       ---------

                                    TERRITORY
                                    ---------

Countries:     United States of America and Canada ("North America"); Mexico,
               Central and South America and the Caribbean ("Latin America");

Markets:       All markets in the above countries.

<PAGE>

                                                                       EXHIBIT B
                                                                       ---------

                Device                                  Distributor
                                                           Price
                                                    (F.O.B. Pforzheim)

              Galileo 100                                    *
              Galileo 900                                    *
              Galileo 2000                                   *
              Galileo Platform                               *

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

* Confidential treatment requested<PAGE>

                                                                    EXHIBIT 10.4

                       ASSIGNMENT AND ASSUMPTION AGREEMENT
                       -----------------------------------

     This AGREEMENT is made and entered into as of April 12, 2002 (the
"Agreement"), by and between Bionix, L.L.C., a Delaware limited liability
company ("Assignor") and Orthometrix, Inc., a Delaware corporation ("Assignee").

                               W I T N E S S E T H

     WHEREAS, Assignor and Genemed GmbH, a Swiss corporation ("Genemed") have
entered into a certain Distribution Agreement, dated February 16, 2001, as
amended as of April 1, 2001 (as so amended, the "Genemed Agreement"); and

     WHEREAS, Assignor has agreed to assign to Assignee all right, title, and
interest of Assignor in, to and under the Genemed Agreement.

     NOW, THEREFORE, in consideration of good and valuable consideration, the
receipt and sufficiency of which is hereby acknowledged, the parties hereto
agree as follows:

     1. Assignor hereby assigns and transfers, as of the day and year first
above written (the "Closing Date"), all of Assignor's right, title and interest,
arising from and. after the Closing Date, under and pursuant to the Genemed
Agreement.

     2. Assignee hereby assumes, from and after the Closing Date, and agrees to
pay, discharge and perform, as and when the same shall become due, all of the
obligations of Assignor, arising from and after the Closing Date, pursuant to
the Genemed Agreement.

     3. Assignee shall have whatever rights Assignor has relating the Genemed
Agreement, including the rights to contest in good faith the legality, validity
or enforceability of the Genemed Agreement.

     4. This Agreement shall be governed by and construed in accordance with the
internal laws of the State of New York.

     5. This Agreement may be executed in counterparts, each of which shall be
deemed an original, but all of which shall together constitute one and the same
instrument.

     6. This Agreement and all the provisions hereof shall be binding upon and
inure to the benefit of the parties hereto and their respective successors,
legal beneficiaries and permitted assigns. This Agreement may not be assigned by
any party except with the prior written consent of the other party hereto, which
shall not be unreasonably withheld.

<PAGE>

     (a) Genemed shall retain all distribution rights for the Devices in areas
outside the Territory. Genemed represent and warrants that it has duly been
granted clearance to market the device in the United States by the FDA, and that
no other person or entity has any distribution or similar rights in the
Territory with respect to Devices.

     (b) Nothing herein shall be deemed to prohibit Genemed from participating
anywhere within the Territory in any manner in any clinical study or research
involving any devices or related thereto or in the manufacture or assembly of
Devices.

     Section 2. PRICES AND PAYMENTS

     (a) Distributor will establish the net selling price of each Device in the
Territory, initially at $* (net of commissions, discounts, etc...). The price to
be paid by Distributor to Genemed for each Device sold to Distributor in the
Territory shall be *% of the net selling price received by Distributor, i.e.
initially $*. Prices shall be reviewed from time to time and at least annually
prior to each anniversary date. While the price of Devices shall not be
arbitrarily increased or decreased without justification, the parties recognize
that price variations may be required from time to time to reflect changes in
the cost of labor, materials and component parts, exchange rate fluctuations,
the volume of sales, market conditions, and other relevant commercially
justified circumstances. In particular, Distributor's net selling price in the
Territory may eventually decrease between two price revisions due to increased
competition. In such a case and until the next price revision, Genemed will
accordingly agree to change the price paid by Distributor so that Distributor
absorbs *% of such decrease and Genemed *%.

     (b) Genemed will provide Distributor regular access to several reference
sites in the Territory, the number and location of such sites to be agreed upon
between the parties. Genemed will also provide Distributor with at least one
demonstration or mock-up system at no cost to be used at medical exhibits.

     (c) Prices for the Devices are FOB Danbury, CT. Shipment of each system
shall be arranged by Genemed (with shippers reasonably acceptable to
Distributor), and such shipment shall be made to Distributor or to Distributor's
customer, as directed by Distributor. Genemed will arrange for shipper to bill
Distributor for shipping costs. Genemed will deliver good and marketable title
to each Device, free of all liens and encumbrances.

     (d) Genemed and Distributor have set as a target the sale of forty (40)
systems by Distributor during the first twelve-month period following the
signature of this Agreement. Prior to each anniversary date, Genemed and
Distributor will set a target for sales of Devices for the succeeding
twelve-month period. Such figures will be non-binding targets only, and if
Distributor

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

* Confidential treatment requested

<PAGE>

does not sell the targeted amount, Distributor shall not be penalized in any
manner and Genemed shall not be entitled to terminate this agreement or make any
claim against Distributor for any loss, damages, liability, costs or expenses
suffered or incurred by Genemed arising therefrom of or in connection therewith
except where such failure arises from the breach by the Distributor of its
obligations hereunder.

     (e) Prices for any Device other than the Genestone systems shall be
negotiated in good faith by Distributor and Genemed.

     (f) Payment terms for each Device purchased by the Distributor shall be as
follows: 1/3 (one third) of the purchase price shall be paid net thirty (30)
days from installation of the Device, and the balance of the purchase price
shall be paid net sixty (60) days from delivery of the Device. All payments
pursuant to this Agreement shall be in U.S. dollars.

     Section 3. TERM

     Subject to the provisions of Section 4 hereof, the appointment of the
Distributor under this Agreement shall be for an initial term commencing on the
date hereof and ending on February 28, 2004 (the "Initial Term"), and thereafter
shall be renewed for successive one-year terms (each such additional term, a
"Renewal Term"); provided, however, that any time during the period beginning
180 days prior to, and ending 90 days prior to, the end of the Initial Term or
any Renewal Term, Genemed, by written notice to Distributor, or Distributor, by
written notice to Genemed, may elect to end such appointment effective at the
end of such initial Term or Renewal Term. The Initial Term and any Renewal Terms
shall constitute the "Term" of this Agreement.

     Section 4. TERMINATION

     (a) Upon the occurrence of (i) an Act of Bankruptcy (as defined below) with
respect to Distributor, or (ii) a Material Breach (as defined below) by
Distributor, which Material Breach continues for a period of 90 days following
written notice thereof from Genemed to Distributor, Genemed may elect to end the
Term of the Distributor's appointment under this Agreement with respect to all
Devices.

     (b) Upon the occurrence of (i) an Act of Bankruptcy with respect to
Genemed, (ii) a Material Breach by Genemed, which Material Breach continues for
a period of 90 days following' written notice thereof from Distributor to
Genemed or (iii) the Genestone system is not functioning properly and/or in
accordance with all claims made by Genemed, Distributor may elect to end the
Term of its appointment hereunder with respect to all Devices.

     (c) Notwithstanding any other provision of this Agreement, (i) it shall
constitute a Material Breach by Distributor if Distributor does not use its good
faith best endeavors to promote the sale of the Devices throughout the
Territory, particularly in accordance with section 9 (d), and (ii) Distributor
shall have the right to terminate its appointment hereunder of a Device is not
competitive in the market place.

<PAGE>

     (d) As used in this Agreement:

          The term "Act of Bankruptcy" shall mean, with respect to any party

          (i) The filing of an application by such party for, or a consent to
          the appointment of a trustee or receiver of all or substantially all
          of such party' assets:

          (ii) The filing by such part of a voluntary petition in any Bankruptcy
          Proceeding or the filing of a pleading in any court of record
          admitting in writing such party's inability to pay such party's debts
          as they come due;

          (iii) The making by such part of a general assignment for the benefit
          of creditors.

          (iv) The filing by such party of an answer admitting the material
          allegations of, or such party's consenting to, or defaulting in
          answering, any Bankruptcy Proceeding filed against such party; or

          (v) The entry of an order, judgment or decree by any court of
          competent jurisdiction adjudicating such party a bankrupt or
          appointing a trustee or receiver of all or substantially all of such
          party's assets.

     The term "Bankruptcy Proceeding" shall mean any bankruptcy or similar
proceeding under the laws of any jurisdiction including the United States, any
state or any foreign country. The term "Material Breach" shall mean, with
respect to either party, the failure of such party to perform its material
obligations under this Agreement.

     (e) Upon the termination for any reason of the appointment of the
Distributor, the Distributor will complete all orders from customers for Devices
which it has accepted up to the date of termination and Genemed will complete
all orders for Devices which it has accepted from Distributor. Distributor shall
send Genemed a detailed list of the accounts marketed during the Term of this
Agreement (the "Protected Accounts"). Notwithstanding the termination of this
Agreement, Distributor will continue during a twelve month period following the
termination date, to be exclusively authorized to sell the Devices to the
Protected Accounts at the prices in effect at the time of termination or at
prices granted by Genemed to third parties, whichever is more favorable to
Distributor. Notwithstanding the termination of this Agreement, Distributor will
continue to be exclusively authorized to sell consumables to its customers,
including the Protected Accounts, at the prices in effect at the time of
termination or at prices granted by Genemed to third parties, whichever is more
favorable to Distributor;

     (f) Genemed covenants and agrees that following any termination pursuant to
Section 3 hereof or this Section 4 (except for a termination pursuant to any of
Section 4(a)(i) or 4(c) (ii), hereof), Genemed shall not at any time thereafter
directly or indirectly use, employ, or enter into any arrangement with any
distributor or sub-distributor then used by Distributor to sell any Devices.

<PAGE>

     Section 5. WARRANTY

     (a) Genemed warrants that each Device shall be free from defects in design,
material and workmanship. Genemed warranty period shall be twelve months from
date of installation of the Device at the end-user's facility; provided,
however, in no event shall Genemed warranty extend beyond 18 months from the
date of shipment to Distributor; provided, further that with respect to any
computer and/or printer provided by Genemed with any Device, the warranty period
shall be the warranty period provided by the manufacturer of such computer
and/or printer; and provided further, that if Genemed grants to any purchaser or
user of a Device any warranty which extends beyond the warrant contained in this
Section 5, Distributor shall also receive the benefits of such extended
warranty.

     (b) Except as specifically provided herein, there are no other warranties,
expressed or implied, including, but not limited to, any implied warranties or
merchantability or fitness for a particular purpose with respect to Devices.
Defective or damaged goods shall be repaired or replaced at the expense of
Genemed, provided the same are transported to Genemed's applicable U.S. facility
at no cost to Genemed. Genemed shall bear the transportation costs of shipping
any repaired or replacement goods back to Distributor or its customers.

     (c) Genemed will provide to Distributor at no cost to Distributor (i) the
number of Devices as shall be agreed from time to time to be available for
temporary use by customers in the U.S.A. when Devices are required to be
returned to Genemed for warranty repairs and (ii) such spare parts as shall be
agreed from time to time for use by Distributor in providing warranty repairs.
Genemed will continue to be the owner of such units and parts (in the case of
such parts, until they are used by Distributor pursuant to this Section 5 (c)).

     (d) The provision of this Section 5 shall in no way limit the
indemnification obligations of Genemed under Section 12 hereof.

     Section 6. SERVICE

     (a) Subject to the provision of this Section 6, Distributor shall provide
all installation and maintenance service with respect to all Devices sold by
Distributor pursuant to this Agreement, in respect of which Distributor will
establish its own charges for parts, labor and consumables. With respect to
Device spare parts used-by Distributor for non-warranty service, the price to be
paid to Genemed by Distributor for such spare parts for resale to its customers
is listed on Exhibit B. Terms for amounts payable by Distributor to Genemed, and
by Genemed to Distributor, pursuant to this section 6(a) shall be net 60 days.
Distributor may appoint one or more agents to provide service for Devices,
subject in each case to the prior written approval of Genemed, which approval
shall not be unreasonably withheld.

<PAGE>

     (b) Genemed will, from time to time during the Term of this Agreement upon
at least one month's notice by Distributor (or any shorter period agreed to by
the parties), provide training to personnel designated by Distributor on the
servicing and maintenance of any device. Such training shall take place in the
United States, either at a facility of Distributor or at Genemed's facility or
such other venue as shall be agreed between the parties. Such training,
including training materials related to the training courses, shall be provided
by Genemed free of charge; provided however, that Distributor and Genemed shall
each be responsible for the travel, accommodations and other out-of-pocket
expenses incurred by their respective personnel in connection with such
training.

     Section 7. GOVERNMENT APPROVALS

     Genemed shall be responsible, at its own cost and expense, for obtaining
all approvals of governmental authorities required by law for the manufacture
and sale of each Device. Distributor covenants and agrees to co-operate with
Genemed in the approvals contemplated-by this Section 7.

     Section 8. INSURANCE

     Genemed shall maintain at least SFR 5,000,000 of product liability
insurance in the United States and Canada pursuant to policies which shall cover
Distributor as an additional named insured (with no liability for premium
payments). Such insurance shall remain in force during the Term and for a
minimum of five years following its termination. Genemed will consult with
Distributor at least annually to consider increasing or decreasing the amount of
such product liability insurance coverage. If Genemed and Distributor deem it
advisable to increase the amount of such coverage, Genemed will obtain such
additional insurance to the extent available on commercially reasonable terms.
Genemed and Distributor may also agree to decrease the amount of such coverage;
provided, however, that in no event shall coverage be reduced below SFR
5,000,000. Genemed agrees that upon request from Distributor, Genemed will
promptly submit certificates of insurance to Distributor evidencing the coverage
required by this Agreement. Such insurance shall be with companies reasonably
acceptable to Distributor, and Genemed will use its best efforts to have such
insurance policies provide that they may not be canceled or materially changed
except on at least 30 days' prior written notice to Distributor.

     Section 9. DUTIES OF DISTRIBUTOR

     (a) Distributor will use its good faith best efforts to promote the sale of
each Device and, in connection therewith, will conduct what it believes to be
appropriate advertising of such Device. Distributor will bear the cost of such
advertising, and will prepare, at its expense, sales brochures and other
relevant literature from information and materials, which shall be made
available by Genemed. Distributor will exhibit each Device at exhibitions and
trade shows as the Distributor, in; its sole discretion, may deem appropriate.
Distributor will use Genemed's trademarks and trade names in promoting and
selling the Devices

<PAGE>

     (b) Except for sales of Devices pursuant to this Agreement, Distributor
agrees that during the Term of Distributor's appointment hereunder, it will not
distribute or sell any other system that is directly in competition with the
Genestone systems.

     (c) Distributor will deliver to Genemed, within 45 days of the end of each
calendar quarter, a report setting forth:

     (i)       total sales of each Device in the preceding quarter.

     (ii)      estimated sales for each Device in the next quarter;

     (iii)     a summary of Distributor's views as to current market conditions
               for each Device and for its competition; and

     (iv)      such other information as Genemed may reasonably request.

     (d) Distributor will market the Device at a minimum aggregate number of
twelve (12) exhibits, trade shows and/or medical product conferences per
twelve-month period.

     (e) Distributor will follow technical instructions provided by Genemed with
respect to the installation, use and care of each Device and will promptly
advise Genemed if Distributor becomes aware of any matters adversely affecting
the use of a Device.

     (f) Distributor will, in all correspondence and dealings relating to the
sale of any Device clearly indicate that it is acting as principal, and at no
time will Distributor have any power or authority to assume any obligation of
any kind implied or express on behalf of Genemed.

     (g) Distributor will endeavor to keep Genemed informed as to matters which
it believes are likely to be of interest to Genemed with respect to market
conditions in the Territory for a Device, including information, recommendations
or opinions expressed by customers of the Distributor relating to the Device's
performance. Distributor will also promptly advise Genemed of; any improper or
wrongful use of Genemed's trademarks or other intellectual property rights that
may come to the attention of Distributor and will assist Genemed, at Genemed's
request and expense, in taking steps to defend the rights of Genemed.

     (h) Upon the termination of its appointment hereunder the Distributor shall
return to Genemed all documents received from Genemed and relating to the
Devices, and all copies thereof except for those documents the Distributor is
required to retain by law or normal accounting practices. The Distributor shall
require that each of its sub-distributors throughout the Territory agree to do
likewise upon their appointment ceasing. The Distributor shall maintain in
strict confidence through the Term and for a period of two years thereafter all
information concerning Genemed and the Devices which is not public knowledge and
shall require that is sub- distributors agree to do likewise at the time of
their appointment.

<PAGE>

     Section 10. DUTIES OF GENEMED.

     (a) Genemed will supply Distributor with a sufficient quantity of each
Device to enable Distributor to fill all orders for such Device from its
customers on a timely basis.

     (b) Genemed covenants and agrees that each Device sold to Distributor will
meet all standards and specifications applicable to such Device and will be in
compliance with all applicable requirements of law and all governmental and
regulatory authorities, including without limitation, U.S. FDA and Canadian CSA
Quality System Regulation requirements.

     (c) Genemed will supply Distributor with (i) all technical information
applicable to each Device and (ii) such other information as Distributor may
reasonably request for use in preparing' product brochures and other promotional
materials.

     (d) Exhibit C hereto lists all patent, trademark and related rights held by
Genemed with respect to the Devices (the "Patent and Related Rights"). Genemed
represents and warrants to Distributor that except as disclosed on Exhibit C,
Genemed owns all the right, title and interest in and to the Patent and Related
Rights; that Genemed is unaware of any infringing uses of the Patent and Related
Rights; that the Patent and Related Rights are not the subject of any challenge;
and that the Patent and Related rights do not interfere with, violate or
infringe upon any rights of any third party.

     Section 11. LABELLING

     Distributor will not remove Genemed's original manufacturer's label from
any Device. Genemed will also place on each Device, in a manner not to detract
from the manufacturer's label, a label identifying Distributor, using a label
design provided to Genemed by Distributor.

     Section 12. INDEMNIFICATION

     Subject always to the proviso of this section,

     (a) Genemed hereby agrees to indemnify and hold harmless Distributor, its
subsidiaries and affiliates and its and their agents, officers, directors,
employees, representatives, successors and permitted assignees from and against
any and all claims, suit, actions or proceeding for loss, injury, damage or
liability, including reasonable attorney's fees, which in any way result from,
arising out or related to the development and manufacture of any Device
(including any design or other defect).

     (b) Genemed represents and warrants that the Devices do not and will not
infringe upon the patent, trademark, copyright or other intellectual property
rights of any third party. Genemed agrees to indemnify and hold Distributor and
its customers harmless from and against all damages, liability, costs and
expenses, including reasonable attorney's fees arising from any claim of a third
party of infringement of patent, trademark, copyright or other intellectual
property rights in the manufacture use or sale of the Devices. Genemed covenants
and agrees to use its best efforts to

<PAGE>

undertake the defense of any such claim of infringement by counsel of its choice
and at its expense. Distributor shall assist Genemed to the extent reasonably
required for such defense. In case the manufacturing, marketing, sale or use of
any Device or component thereof is held by a court to constitute or involve the
infringement of a patent, trademark or copyright, Genemed shall at its own cost
either procure for Distributor or its customers the right to continue using such
Device, or modify the Device so that it becomes non-infringing, or accept the
return of such Devices and refund the purchase price plus transportation costs
and duties paid thereon. Genemed covenants and agrees to use its best efforts to
protect all intellectual property rights relating to the Devices where it is
commercially prudent so to do, PROVIDED ALWAYS however that the indemnity
provided by this Section shall not extend to any claim, suit, action or
proceeding for loss, injury, damage or other liability directly or indirectly
caused by the negligence or gross carelessness of the Distributor, its
sub-distributors and their respective employees and agents or any one or more of
them.

     Section 13. FORCE MAJEURE

     Neither party shall under any circumstances be liable for failure to
perform any obligation hereunder if such failure results from causes beyond such
party's control such as fires, insurrection, riots, embargoes, wrecks and
regulations of any civil or military authority.

     Section 14. ASSIGNMENT

     Neither party hereto may assign, delegate or otherwise transfer this
Agreement, or any of its rights and obligations hereunder, or any portion
thereof, without the prior written consent of the other party, which consent
shall not be unreasonably withheld; provided, however, that either party may
assign this Agreement without the consent of the other in connection with a
merger, consolidation or other change in control of such party or a sale of all
or substantially all of such party's assets (provided that as a result of such
transaction the resulting entity does not have distribution rights with respect
to a system that directly competes with the Device). Subject to the foregoing,
this Agreement shall inure to the benefit of the parties and their respective
permitted successors and assigns.

     Section 15. ARBITRATION

     (a) Any controversy or claim arising out of or relating to this Agreement,
or any breach thereof, including, without limitation, any claim that this
Agreement, or any part hereof, is invalid, illegal or otherwise voidable or
void, shall be submitted to arbitration in New York, New York in accordance with
the rules of the American Arbitration Association. Any award or determination of
the arbitration tribunal shall be final, non-appealable, and conclusive upon the
parties, and; judgment thereon may be entered by and court of competent
jurisdiction.

     (b) Nothing in Section 15 (a) shall prevent either party from seeking
injunctive relief before the appropriate courts where circumstances permit such
relief.

<PAGE>

     Section 16. REMEDIES

     No remedy conferred herein is intended to be exclusive of any other remedy,
and each and every such remedy shall be cumulative and may be exercised singly
or concurrently, and shall be in addition to every other remedy given hereunder
or now or hereafter existing at law or in equity or by statute or otherwise.

     Section 17. CONFIDENTIALITY

     All confidential or proprietary information provided by one party to the
other pursuant to this Agreement shall be held in confidence by the other party,
shall be used solely for the purposes contemplated by this Agreement and shall
not be disclosed to any third party by such party without prior written consent
of the other party, except as contemplated by this Agreement.

     Section 18. NOTICES

     All notices given by the parties hereunder shall be in writing and shall be
personally delivered or mailed by registered or certified mail, return receipt
requested, by overnight courier or by facsimile transmission to the intended
recipient thereof at the address or facsimile number set forth below. Any such
notice shall be deemed to have been duly given when delivered personally or by
overnight courier and/or given by confirmed facsimile or five days after
mailing. The addresses and facsimile numbers of the parties for purposes of this
Agreement are as follows:

        If to Genemed:

        Genemed GmbH
        Alpenrosenstrasse 1
        Kreuzlingen
        Attention: Kobi Lifschitz
        Fax No.: 49-211 4364 101

        If to Distributor:

        Bionix, L.L.C.
        106 Corporate Park Drive, Suite 106
        White Plains, New York 10604.
        Attention: Reynald G. Bonmati
        Fax No.: 1-914-636-3549

Or such other address as either party shall designate in writing to the other

<PAGE>

     Section 19. ENTIRE AGREEMENT

     This Agreement is the entire agreement among the parties hereto relating to
the subject matter hereof, and it cancels and supersedes all earlier agreements,
written or oral relating to the subject matter hereof. No waiver, modification
or change of any of the terms of this Agreement shall be valid unless in writing
and signed by duly authorized representatives of the parties.

     Section 20. SEVERABILITY

     If any term or provision of this Agreement shall at any time be held to be
void, invalid or unenforceable. Such term or provision shall be construed as
severable from this agreement, and the remainder of this Agreement shall be
carried out as if such void, invalid or unenforceable terms or provisions were
not contained herein.

     Section 21. AUTHORITY

     Each party represents and warrants to the others that the execution and
delivery of this Agreement and the performance of the provisions hereof by such
party have been duly authorized by all necessary corporate action and that this
Agreement has been duly and validly executed and delivered by such party and
constitutes a valid and legal bind agreement enforceable against such party in
accordance with its terms.

     Section 22. GOVERNING LAW

     This Agreement shall be governed by and construed in accordance with the
laws of the State of New York, without reference to the choice of law principles
of such laws.

     Section 23. RELATIONSHIP OF PARTIES

     The relationship between Genemed and the Distributor is that of independent
contractors. No party hereto is an agent, partner or employee of the other and
no party has any right or any other authority to enter into any contract or
undertaking in the name of or for the account of the other or to assume or
create any obligation of any kind, express or implied, on behalf of the other,
nor will the act or omissions of either create any liability for the other. This
Agreement shall in no, way constitute or give rise to a partnership between the
parties.

     Section 24. HEADINGS

     The headings contained in this Agreement are for purposes of reference only
and shall not limit or otherwise affect the meaning of any provision hereof.

<PAGE>

     Section 25. COUNTERPARTS

     This Agreement may be executed in one or more counterparts, each of which
shall constitute an original and all of which taken together shall constitute
one and the same instrument, and any party may execute this Agreement by signing
any such counterpart.

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

                                             GENEMED GMBH

                                             By:    /s/ Kobi Lifschitz
                                                    ----------------------------
                                             Name:  Kobi Lifschitz
                                             Title: President

                                             BIONIX L.L.C.

                                             By:    /s/ Reynald Bonmati
                                                    ----------------------------
                                             Name:  Reynald Bonmati
                                             Title: President

<PAGE>

                                                                       EXHIBIT A
                                                                       ---------

                                    TERRITORY

o       The United States of America and its territories and possessions;

o       Canada.

<PAGE>

                                                                       EXHIBIT B
                                                                       ---------

                           SPARE PARTS and CONSUMABLES
                           ---------------------------

 Name               Distributor's Price                                MRSP
-------             -------------------                                ----

                    Confidential treatment requested

<PAGE>

                                                                       EXHIBIT C
                                                                       ---------

                              PATENTS & TRADE MARKS
                              ---------------------

         1.      US Patent No:

         2.      European Patent No:

                 Countries covered:

<PAGE>

                       AMENDMENT TO DISTRIBUTION AGREEMENT

     AMENDMENT TO DISTRIBUTION AGREEMENT, dated as of April 1, 2001 by and among
GENEMED GMBH, a Swiss corporation ("Genemed"); and BIONIX, L.L.C., a Delaware
limited liability company ("Distributor").

     WHEREAS, the parties hereto are parties to that certain Distribution
Agreement dated as of February 16, 2000 (the "Agreement"), pursuant to which
Bionix is the exclusive distributor in the Territory of the Devices developed
and manufactured by Genemed.

     WHEREAS, the parties desire to amend the Agreement is provided herein;

     NOW, THEREFORE, the parties hereto agree as follows:

         i. Capitalized Terms. All capitalized terms used in this Amendment are
not otherwise defined herein shall have the meaning to such terms in the
Agreement.

         ii. Prices and Payments. The second sentence of Section 2 (a) shall be
replaced in its entirety as follows:

"THE PRICE TO BE PAID BY DISTRIBUTOR TO GENEMED FOR EACH DEVICE SOLD TO
DISTRIBUTOR IN THE TERRITORY SHALL BE $*."

         iii. Ratification. Except as specifically amended hereby, the Agreement
is in all respects ratified and confirmed.

         iv. Counterparts. This Amendment may be executed in any number of
counterparts, and all of such counterparts shall for all purposes constitute on
agreement, binding on the parties hereto, notwithstanding that all parties are
not signatories to the same counterpart

         v. Applicable Law. This Amendment shall be governed by and construed in
accordance with the laws of the State of New York.

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

* Confidential treatment requested

<PAGE>

     IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of
the years and date first above written

                                        GENEMED GMBH

                                        By:      /s/ Kobi Lifschitz
                                                 ------------------------------
                                        Name:    Kobi Lifshitz
                                        Title:   President

                                        BIONIX, L.L.C.

                                        By:      /s/ Reynald Bonmati
                                                 ------------------------------
                                        Name:    Reynald Bonmati
                                        Title:   President

<PAGE>

                       AMENDMENT TO DISTRIBUTION AGREEMENT

     AMENDMENT TO DISTRIBUTION AGREEMENT, DATED AS OF August 20, 2002 by and
between GENEMED GMBH, a Swiss corporation ("Genemed") and ORTHOMETRIX, INC.
(Formerly known as NORLAND MEDICAL SYSTEMS, INC.), a Delaware corporation having
its principal place of business at 106 Corporate Park Drive, Suite 106, White
Plains, New York 10604, U.S.A. ("Distributor").

     WHEREAS, Genemed and BIONIX, L.L.C., a Delaware limited liability company
("Bionix") are parties to that certain Distribution Agreement dated as of
February 16, 2000, as amended as of April 1, 2001 (the "Agreement"), pursuant to
which Bionix is the exclusive distributor in the Territory of the Devices
developed and manufactured by Genemed;

     WHEREAS, Bionix assigned the Agreement to Distributor in connection with
the sale of substantially all of its assets dated as of April 12, 2002 pursuant
to Section 14 of such Agreement;

     WHEREAS, the parties desire to amend the Agreement as provided herein;

     NOW, THEREFORE, the parties hereto agree as follows:

         i. Capitalized Terms. All capitalized terms used in this Amendment and
not otherwise defined herein shall have the meaning ascribed to such terms in
the Agreement.

         ii. Appointment as Distributor. The first sentence of Section 1 (a) (i)
shall be replaced in its entirety as follows.

     "Genemed hereby designates appoints and licenses Distributor as the
exclusive distributor to all United States of America military bases worldwide
(collectively referred to as the "Territory") during the Term (as defined below)
of the Devices, and all improvements thereof (also collectively referred to as
the "Devices")."

         iii. Exhibit A. Exhibit A of the Agreement shall be deleted in its
entirety.

         iv. Ratification. Except as specifically amended hereby, the Agreement
is in all respects ratified and confirmed.

         v. Counterparts. This Amendment may be executed in any number of
counterparts, and all of such counterparts shall for all purposes constitute on
agreement, binding on the parties hereto, notwithstanding that all parties are
not signatories to the same counterpart.

<PAGE>

         vi. Applicable Law. This Agreement shall be governed by and construed
in accordance with the laws of the State of New York, without reference to the
choice of law principles of such laws.

     IN WITNESS WHEREOF, the parties have caused this Amendment to Distribution
Agreement to be executed as of the day and year first above written.

                                        GENEMED GMBH

                                        By:    /s/ Kobi Lifschitz
                                               ---------------------------------
                                        Name:  Kobi Lifschitz
                                        Title: President

                                        ORTHOMETRIX, INC.

                                        By:    /s/ Reynald Bonmati
                                               ---------------------------------
                                        Name:  Reynald Bonmati
                                        Title: President

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