Document:

<PAGE>

                                                                   Exhibit 10.21

                               SECURITY AGREEMENT

      Redline Performance Products, Inc., a Minnesota corporation, with an
address of address 1120 Wayzata, Boulevard East, Suite 200, Wayzata, MN 55391,
(hereinafter called "Debtor") does hereby grant unto COMMUNITY NATIONAL BANK, a
banking corporation, which is organized and existing under the laws of the
United States (the "Bank"), at 5481 St. Croix Trail, North Branch, Minnesota
55056 (hereinafter referred to as "Secured Party") a security interest in the
following described property:

         All fixtures, furniture, equipment and personal property, accounts
         receivable, patents, copyrights, snowmobiles, parts and accessories,
         and any and all other property, whether tangible or intangible,
         together with all proceeds therefrom and any additions or substitutions
         now owned or hereafter acquired by the Debtor no matter where located
         other than $150,000 in cash on deposit at Discover Bank in San Marcos,
         California and certain equipment to be purchased from Stan Robinson by
         the Debtor in the amount of $160,000 pursuant to a purchase money
         security interest (hereinafter the "Collateral"),

to secure payment of all indebtedness of Debtor to Secured Party, including, but
not limited to that certain note dated March 26, 2004, in the original principal
amount of FIVE HUNDRED THOUSAND AND NO/100THS DOLLARS ($500,000.00) (hereinafter
referred to as the "Note"). The Security Interest granted hereunder shall remain
in force until the Note is fully paid and satisfied. The Security Interest shall
also secure any and all advances, and extensions and renewals of the Note,
together with all other liabilities of Debtor to Secured Party, whether
primarily, secondary, direct, contingent, sole, joint or several due or to
become due or which may be hereafter contracted or acquired and the performance
by Debtor of all of the terms and conditions of this Security Agreement
(hereinafter referred to as "Obligations").

                  DEBTOR WARRANTS, REPRESENTS AND AGREES THAT:

1.)   Debtor is a registered business entity with the address set forth above
and is duly authorized to enter into this Agreement.

2.)   Debtor is the owner of the Collateral free of all liens, encumbrances and
security interests except the security interest hereby created other than
$150,000 in cash on

<PAGE>

deposit at Discovery Bank in San Marcos, California and a first security
interest running in favor of Secured Party.

3.)   Debtor will not sell or otherwise dispose of the Collateral or any
interest therein without the prior written consent of Secured Party, except
that, until the occurrence of an Event of Default and the revocation by Secured
Party of Debtor's right to do so, Debtor may utilize any proceeds constituting
the Collateral in the ordinary course of business and use.

4.)   Debtor will (a) promptly pay all taxes and other governmental charges
levied or assessed upon or against any Collateral or upon or against the
creation, perfection, or continuance of the Security Interest; (b) keep all
Collateral free and clear of all security interests, liens, and encumbrances
except this Security Interest; (c) at all reasonable times, permit Secured Party
or its representatives to examine or inspect any Collateral, wherever located,
and to examine, inspect, and copy Debtor's books and records pertaining to the
Collateral and its business and financial condition and to send and discuss with
account debtors and other obligors' requests for verifications of amounts owed
to Debtor; (d) keep accurate and complete records pertaining to the Collateral
and pertaining to Debtor's business and financial condition and submit to
Secured Party such periodic reports concerning the Collateral and Debtor's
business and financial condition as Secured Party may from time to time
reasonably request; (e) promptly notify Secured Party of any loss of or material
damage to any Collateral; (f) from time to time execute such financing
statements as Secured Party may reasonably require in order to perfect the
Security Interest; (g) pay when due or reimburse Secured Party on demand for all
costs of collection of any of the Obligations and all other out-of-pocket
expenses (including in each case all reasonable attorneys' fees) incurred by
Secured Party in connection with the creation, perfection, satisfaction,
protection, defense or enforcement of the Security Interest or the creation,
continuance, protection, defense or enforcement of this Agreement or any or all
of the Obligations, including expenses incurred in any litigation or bankruptcy
or insolvency proceedings; and (h) execute, deliver or endorse any and all
instruments, documents, assignments, security agreements and other agreements
and writings which Secured Party may at any time reasonably request in order to
secure, protect, perfect or enforce the Security Interest and Secured Party's
rights under this Agreement. If Debtor at any time fails to perform or observe
any agreement contained herein, and if such failure shall continue for a period
of ten (10) calendar days after Secured Party gives Debtor written notice
thereof, Secured Party may (but need not) perform or observe such agreement on
behalf and in the name, place and stead of Debtor (or, at Secured Party's
option, in Secured Party's own name) and may (but need not) take any and all
other actions which Secured Party may reasonably deem necessary to cure or
correct such failure (including, without limitation, the payment of taxes, the
satisfaction of security interests, liens, or encumbrances, the performance of
obligations under contracts or agreements with account debtors or other
obligors, the procurement and maintenance of insurance, the execution of
financing statements, the endorsement of instruments, and the

<PAGE>

procurement of repairs, transportation or insurance); and, except to the extent
that the effect of such payment would be to render any loan or forbearance of
money usurious or otherwise illegal under any applicable law, Debtor shall
thereupon pay Secured Party on demand the amount of all moneys expended and all
costs and expenses (including reasonable attorneys' fees) incurred by Secured
Party in connection with or as a result of Secured Party's performing or
observing such agreements or taking such actions, together with interest thereon
from the date expended or incurred by Secured Party at the highest rate then
applicable to any of the Obligations. To facilitate the performance or
observance by Secured Party of such agreements of Debtor, Debtor hereby
irrevocably appoints (which appointment is coupled with an interest) Secured
Party, or its delegate, as the attorney-in-fact of Debtor with the right (but
not the duty) from time to time to create, prepare, complete, execute, deliver,
endorse or file, in the name and on behalf of Debtor, any and all instruments,
documents, financing statements and other agreements and writings required to be
obtained, executed, delivered or endorsed by Debtor under this Agreement.

5.)   Events of Default. Each of the following occurrences shall constitute an
event of default under this Agreement (herein called "Event of Default"): (a)
Debtor shall fail to pay any or all of the Obligations when due or (if payable
on demand) on demand, shall fail to observe or perform any covenant or agreement
herein binding on it or shall be in default under any loan or credit agreement
between it and the Secured Party; (b) any representation or warranty by Debtor
set forth in this Agreement or made to Secured Party in any financial statements
or reports submitted to Secured Party by or on behalf of Debtor shall prove
materially false or misleading; (c) a garnishment, summons or a writ of
attachment shall be issued against or served upon the Secured Party for the
attachment of any property of the Debtor or any indebtedness owing to Debtor,
(d) Debtor or any guarantor shall (1) be or become insolvent (however defined);
or (2) voluntarily file, or have filed against it involuntarily, a petition
under the United States Bankruptcy Code; or (3) be dissolved or liquidated; or
(4) go out of business; provided the Secured Party reasonably determines that
such event results in a material adverse change to the security of the
Promissory Note; or (e) if an event of default occurs in any of the terms of the
Loan Documents as that term is defined in the Note and such event is not cured
within any applicable cure perceived.

6.)   Remedies upon Event of Default. Ten (10) days after the Debtor receives
notice of an Event of Default if such Event of Default is not cured within such
ten-day period, Secured Party may exercise any one or more of the following
rights and remedies: (a) declare all unmatured Obligations to be immediately due
and payable, and the same shall thereupon be immediately due and payable,
without presentment or other notice or demand; (b) exercise and enforce any or
all rights and remedies available upon default to a secured party under the
Uniform Commercial Code, including, but not limited to the right to take
possession of any Collateral, proceeding without judicial process or by judicial
process (without a prior hearing or notice thereof, which Debtor hereby
expressly waives), and the right to sell, lease or otherwise dispose of any or
all

<PAGE>

of the Collateral; and in connection therewith, Secured Party may require Debtor
to make the Collateral available to Secured Party at a place to be designated by
Secured Party which is reasonably convenient to both parties, and if notice to
Debtor of any intended disposition of Collateral or any other intended action is
required by law in a particular instance, such notice shall be deemed
commercially reasonable if given (in the manner specified herein) at least ten
(10) calendar days prior to the date of intended disposition or other action;
(c) exercise or enforce any or all other rights or remedies available to Secured
Party by law or agreement against the Collateral, against Debtor or against any
other person or property or set forth in the Loan Documents. Upon the occurrence
of the Event of Default and expiration of the thirty-day period referenced
herein, all Obligations shall be immediately due and payable without demand or
notice thereof.

7.    Miscellaneous. This Agreement can be waived, modified, amended, terminated
or discharged and the Security Interest can be released, only explicitly in a
writing signed by Secured Party. A waiver signed by Secured Party shall be
effective only in the specific instance and for the specific purpose given. Mere
delay or failure to act shall not preclude the exercise or enforcement of any of
Secured Party's rights or remedies. All rights and remedies of Secured Party
shall be cumulative and may be exercised singularly or concurrently, at Secured
Party's option, and the exercise or enforcement of any one such right or remedy
shall neither be a condition to nor bar the exercise or enforcement of any
other. All notices to be given to Debtor shall be deemed sufficiently given if
delivered or mailed by registered or certified mail, postage prepaid, to Debtor
at its address set forth above or at the most recent address shown on Secured
Party's records. Secured Party shall not be obligated to preserve any rights
Debtor may have against prior parties, to realize on the Collateral at all or in
any particular manner or order, or to apply any cash proceeds of Collateral in
any particular order of application. This Agreement shall be binding upon and
inure to the benefit of Debtor and Secured Party and their respective heirs,
representatives, successors and assigns and shall take effect when signed by
Debtor and delivered to Secured Party, and Debtor waives notice of Secured
Party's acceptance hereof. Secured Party may execute this Agreement if
appropriate for the purpose of filing, but the failure of Secured Party to
execute this Agreement shall not affect or impair the validity or effectiveness
of this Agreement. A carbon, photographic or other reproduction of this
Agreement or of any financing statement signed by the Debtor shall have the same
force and effects as the original for all purposes of a financing statement.
This Agreement shall be governed by the internal laws of the state of Minnesota.
If any provision or application of this Agreement is held unlawful or
unenforceable in any respect, such illegality or unenforceability shall not
affect other provisions or applications which can be given effect and this
Agreement shall be construed as if the unlawful or unenforceable provision or
application had never been contained herein or prescribed hereby. All
representations and warranties contained in this Agreement shall survive the
execution, delivery and performance of this Agreement and the creation and
payment of the Obligations. If this Agreement is signed by more than one person
as Debtor, the term

<PAGE>

"Debtor" shall refer to each of them separately and to both or all of them
jointly; all such persons shall be bound both severally and jointly with the
other(s); and the Obligations shall include all debts, liabilities and
obligations owed to Secured Party by any Debtor solely or by both or several or
all Debtors jointly or jointly and severally.

8.    THE SECURED PARTY AND DEBTOR HEREBY VOLUNTARILY, KNOWINGLY AND
INTENTIONALLY WAIVE ANY AND ALL RIGHTS TO TRIAL BY JURY IN ANY LEGAL ACTION OR
PROCEEDING ARISING UNDER THE LOAN DOCUMENTS OR CONCERNING THE INDEBTEDNESS
EVIDENCED HEREBY AND/OR ANY COLLATERAL SECURING SUCH INDEBTEDNESS, REGARDLESS OF
WHETHER SUCH ACTION OR PROCEEDING CONCERNS ANY CONTRACTUAL OR TORTIOUS OR OTHER
CLAIM. THE DEBTOR ACKNOWLEDGES THAT THIS WAIVER OF JURY TRIAL IS A MATERIAL
INDUCEMENT TO THE SECURED PARTY IN EXTENDING CREDIT TO THE DEBTOR, THAT THE
SECURED PARTY WOULD NOT HAVE EXTENDED SUCH CREDIT WITHOUT THIS JURY TRIAL
WAIVER, AND THAT THE DEBTOR HAS BEEN REPRESENTED BY AN ATTORNEY OR HAS HAD AN
OPPORTUNITY TO CONSULT WITH AN ATTORNEY IN CONNECTION WITH THIS JURY TRIAL
WAIVER AND UNDERSTANDS THE LEGAL EFFECT OF THIS WAIVER.

This Security Agreement made and entered on this 30th day of March, 2004.

                                         Redline Performance Products, Inc.

                                         By: /s/ Mark A. Payne
                                             -----------------------------------
                                         Mark A. Payne, President & Chief
                                         Financial Officer

                                         Community National Bank

                                         By: /s/ Curtis A. Martinson
                                             -----------------------------------
                                         Curtis A. Martinson
                                         Executive Vice  President<PAGE>

                                                                   Exhibit 10.22

                        COLLATERAL AND GUARANTY AGREEMENT

      THIS COLLATERAL AND GUARANTY AGREEMENT (the "AGREEMENT") is made and
entered into effective as of the 30th day of March, 2004, by and between REDLINE
PERFORMANCE PRODUCTS, INC., a Minnesota corporation (the "COMPANY") and HOWARD
DAHL, a resident of the State of North Dakota ("DAHL").

                                    RECITALS

      WHEREAS, the Company is in the business of designing, manufacturing and
selling powersports products such as snowmobiles and ATVs; and

      WHEREAS, pursuant to a loan agreement by and between the Company and
Community National Bank (the "BANK") dated March 30, 2004 (the "LOAN
AGREEMENT"), the Bank will lend the Company Five Hundred Thousand Dollars
($500,000) (the "LOAN"); and

      WHEREAS, the Loan is evidenced by a promissory note in the principal
amount of Five Hundred Thousand Dollars ($500,000) dated March 30, 2004 (the
"NOTE"), the payment of which is secured by a security interest in certain
property of the Company pursuant to a security agreement between the Bank and
the Company dated March 30, 2004 (the "SECURITY AGREEMENT"); and

      WHEREAS, as a condition to the Loan, the Bank is requiring Dahl to
guaranty and secure the Company's payment of the Note, and the performance of
all of the Company's obligations under the Loan Agreement, the Note and Security
Agreement (collectively, the "OBLIGATIONS"); and

      WHEREAS, Dahl is willing to execute a guaranty in the amount of Five
Hundred Thousand Dollars ($500,000) to guarantee, and to deposit with the Bank a
total of One Hundred Thousand Dollars ($100,000) to secure, the full performance
and complete satisfaction of the Obligations in accordance with the terms and
conditions contained in this Agreement.

                                    AGREEMENT

      NOW, THEREFORE, in consideration of the foregoing recitals, the mutual
promises contained herein and the mutual benefits to be gained by the
performance hereof, the parties hereto agree as follows:

      1.)   Agreement to Provide Guaranty. Dahl shall execute a guaranty of the
Obligations in the amount of Five Hundred Thousand Dollars ($500,000) for the
benefit of the Company, which guaranty shall be in a form satisfactory and
acceptable to the Bank and the Company, in order to guarantee the performance
and complete satisfaction of any and all of the Obligations. Dahl further agrees
to

<PAGE>

take such actions in connection with the execution of such guaranty as may be
deemed necessary by the Bank to guarantee the full performance and complete
satisfaction of the Obligations.

      2.)   Agreement to Provide Collateral. Dahl shall deposit with the Bank
the amount of One Hundred Thousand Dollars ($100,000) for the benefit of the
Company, which sum shall be collateral to secure the performance and complete
satisfaction of any and all of the Obligations (the "DEPOSIT"). Dahl further
agrees to take such actions in connection with the Deposit as may be deemed
necessary by the Bank to secure the full performance and complete satisfaction
of the Obligations.

      3.)   Consideration for Agreement to Provide Guaranty and Collateral.

      (a)   Guaranty and Collateral Fee. In consideration for Dahl's provision
      of the guaranty and collateral under this Agreement, the Company shall pay
      Dahl a monthly fee (the "GUARANTY AND COLLATERAL FEE") in an amount equal
      to the difference between the monthly amount of interest that would be
      payable under the Note at an annual percentage rate of twenty-four percent
      (24%), and the monthly amount of interest paid to the Bank for the same
      monthly period. The Guaranty and Collateral Fee shall be due and payable
      by the Company to Dahl not more than fifteen (15) days after the end of
      each month.

      (b)   Initial Fee. As additional consideration for Dahl's agreement to
      provide a guaranty and collateral under this Agreement, the Company shall
      pay Dahl an initial fee of Ten Thousand Dollars ($10,000) (the "INITIAL
      FEE"), which represents two percent (2%) of Five Hundred Thousand Dollars
      ($500,000), the principal amount of the Loan. The Initial Fee shall be due
      and payable by the Company to Dahl not more than five (5) days after the
      execution of this Agreement.

      4.)   Term; Termination and Effect of Termination. This Agreement shall
commence on the day and year first above written and shall continue until the
Company has fully performed and completely satisfied any and all of the
Obligations under and pursuant to the Note, Loan Agreement and Security
Agreement.

      5.)   Revocation of Guaranty; Withdrawal of Deposit. The guaranty provided
by Dahl to the Bank may not be revoked by Dahl, and the Deposit made by Dahl
with the Bank may not be withdrawn, unless the Company fails to pay any amount
owing to Dahl under the Agreement within five business days after due, or
materially breaches any provision of this Agreement and fails to cure such
breach within thirty (30) days after receiving written notice of such breach
from Dahl, in which case, Dahl shall have the right to revoke Dahl's guaranty
and withdraw the Deposit.

      6.)   Further Assurances. Dahl hereby agrees for himself and his heirs,
executors, administrators, successors and assigns to execute and deliver any
further documents and instruments, and to perform any further acts, as may be
necessary or appropriate to carry out the purposes and intent of this Agreement
and any agreements contemplated hereunder.

      7.)   Confidentiality. Dahl agrees that all information disclosed by the
Company to Dahl shall be considered "Confidential Information." Dahl agrees to
maintain the confidence of

                                       2.
<PAGE>

the Confidential Information and to prevent its unauthorized dissemination, and
not to use the Confidential Information for any purpose other than the business
relationship with the Company. Confidential Information shall not, however,
include information which: (i) is now or subsequently becomes generally known or
available by publication, commercial use or otherwise, through no fault of Dahl,
or (ii) is lawfully obtained by Dahl or from a third party without violation of
a confidentiality obligation. All Confidential Information remains the property
of the Company and no license or other rights in the Confidential Information is
granted hereby. Dahl agrees to return to the Company immediately upon the
Company's request all Confidential Information, including but not limited to all
documentation, notes, plans and copies thereof. This Agreement and the
provisions hereof shall be Confidential Information, provided that the Company
may disclose this Agreement and the terms of this Agreement to the extent
reasonably required to comply with the Company's disclosure obligations under
the Securities Exchange Act of 1934, as amended, and regulations promulgated
thereunder.

      8.)   Remedies. Each of the parties to this Agreement acknowledges that
irreparable injury will result to the Company if Dahl violates and fails to
promptly remedy any of Dahl's covenants or agreements in this Agreement, and
that it would be impossible to adequately ascertain or quantify the Company's
damages or be compensated therefor by money damages. The parties further
acknowledge that each such covenant or agreement is material. Dahl agrees and
consents to the entry by a court of an injunction or other equitable remedy
enjoining Dahl's breach or threatened breach, or requiring the specific
performance of Dahl's obligations under this Agreement, without the necessity of
proof of actual damages respecting any such breach or threatened breach by Dahl
and without bond or other security, and hereby waives the defense of the
availability of relief in damages. Dahl expressly agrees that the Company shall
be entitled, in addition to damages and any other remedies provided by law, to
reimbursement from Dahl of the Company's reasonable attorneys' fees and costs
incurred in successfully enforcing its rights under this paragraph.

      9.)   Miscellaneous.

      (a)   Binding Effect;. This Agreement shall be binding upon Dahl and his
      heirs, executors, administrators, successors and assigns.

      (b)   Entire Agreement; Modification. This Agreement constitutes the full
      and complete understanding and agreement of the parties with respect to
      the subject matter hereof, and supersedes and nullifies any prior or
      contemporaneous understanding or agreement, whether written, oral or
      communicated in any other type of medium, between the parties relating
      thereto. No amendment or modification of any provision of this Agreement
      shall be binding unless made in writing and signed by the parties hereto.

      (c)   Assignment. Neither the Company nor Dahl may assign this Agreement
      without the prior written consent of the other party, which consent shall
      not be unreasonably withheld or delayed.

      (d)   Notices. To be effective, all notices, consents or other
      communications required or permitted hereunder shall be in

                                       3.
<PAGE>

      writing. A written notice or other communication shall be deemed to have
      been given hereunder: (i) if delivered by hand, when the notifying party
      delivers such notice or other communication to the other party; (ii) if
      delivered by facsimile or overnight delivery service, on the first
      business day following the date of such notice or other communication is
      transmitted by facsimile or timely delivered to the overnight courier; or
      (iii) if delivered by mail, on the third business day following the date
      such notice or other communication is deposited in the U.S. mail by
      certified or registered mail addressed to the other party. Mailed or faxed
      communications shall be directed as follows unless written notice of a
      change of address or facsimile number has been given in writing in
      accordance with this section:

      If to the Company:                 Redline Performance Products, Inc.
                                         1120 Wayzata Boulevard East, Suite 200
                                         Wayzata, Minnesota 55391
                                         Attn: President
                                         Facsimile No.: (952) 449-0442

      If to any Guarantor:               Howard Dahl

                                         ____________, North Dakota  _________
                                         Attn:  Mr. Howard Dahl
                                         Facsimile No.:  (___)

      (e)   Waiver. No waiver of any term, condition or covenant of this
      Agreement by a party shall be deemed to be a waiver of any subsequent
      breach of the same or other terms, covenants or conditions hereof by such
      party.

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

      (g)   Titles. Titles to sections and subsections of this Agreement are
      solely for convenience of reference and do not modify or interpret any
      provisions contained therein.

      (h)   Representation by Counsel; Interpretation. The Company and Dahl each
      acknowledge that they have been, or have had the opportunity to be,
      represented by legal counsel in connection with this Agreement and the
      matters contemplated by this Agreement. Accordingly, any rule of law or
      any legal decision that would require interpretation of any claimed
      ambiguities in this Agreement against the party that drafted it has no
      application and is expressly waived. The provisions of this Agreement
      shall be interpreted in a reasonable manner to affect the intent of the
      parties.

      (i)   Arbitration. All disputes or claims arising out of, or in any way
      relating to, this Agreement shall be submitted to and determined by final
      and binding arbitration under

                                       4.
<PAGE>

      the rules of the American Arbitration Association. Arbitration proceedings
      may be initiated by the Company or Dahl upon notice to the other and to
      the American Arbitration Association, and shall be conducted by a panel
      consisting of three (3) arbitrators under the rules of the American
      Arbitration Association in Minneapolis, Minnesota or such other location
      mutually agreed upon by the parties; provided, however, that the Company
      and Dahl may agree, following the giving of such notice, to have the
      arbitration proceedings conducted by a single arbitrator. The notice must
      describe, in general terms, the issues to be resolved in any such
      arbitration proceeding. Each party to the arbitration proceedings shall
      bear its own costs and its pro-rata share of the fees and expenses charged
      by the arbitrators and the American Arbitration Association in connection
      with any arbitration proceedings. Any final decision of the arbitrators
      may be enforced in any court of competent jurisdiction. Notwithstanding
      the foregoing, nothing shall prevent any party from obtaining equitable
      relief from a court of competent jurisdiction.

      (j)   Governing Law; Venue. This Agreement shall be governed by, and
      construed and enforced in accordance with, the laws of the State of
      Minnesota, without regard to such state's choice of law provisions.
      Actions or proceedings litigated in connection with this Agreement, if
      any, shall be venued exclusively in the state and federal courts located
      in the County of Hennepin, State of Minnesota.

      (k)   Counterparts. This Agreement may be executed in separate and several
      counterparts, each of which shall be deemed to be an original, and all
      such counterparts shall constitute one and the same instrument.

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

COMPANY:
REDLINE PERFORMANCE PRODUCTS, INC.:

  /s/ Mark A. Payne
-----------------------------------
Mark A. Payne, President

DAHL:

  /s/ Howard Dahl
----------------------------------
Howard Dahl, An Individual

                                       5.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00068-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00068-of-00352.parquet"}]]