Document:

<PAGE>   1
                                                                   EXHIBIT 10.17

                            STOCK PURCHASE AGREEMENT

                                  by and among

                          MERKERT AMERICAN CORPORATION
                                    as Buyer

                         BUCKEYE SALES & MARKETING, INC.
                                      d/b/a
                           THE SELL GROUP - CLEVELAND
                                 as the Company

                           JF & JF LIMITED PARTNERSHIP
                        as the Stockholder of the Company

                                       and

                               THE PRIMARY PARTIES

                                  July 7, 1999

<PAGE>   2

                            STOCK PURCHASE AGREEMENT

                                      INDEX

<TABLE>
<CAPTION>
                                                                            Page

<S>        <C>                                                               <C>
SECTION 1. SALE OF SHARES AND PURCHASE PRICE...................................1
     1.1   Transfer of Company Shares..........................................1
     1.2   Purchase Price and Payment..........................................2
     1.3   Revenue Statement Dispute Resolution................................3
     1.4   Time and Place of Closing...........................................4
     1.5   Stockholder's Representative........................................4
     1.6   Further Assurances..................................................5
     1.7   Transfer Taxes......................................................5

SECTION 2. REPRESENTATIONS AND WARRANTIES OF THE COMPANY AND
           STOCKHOLDER.........................................................6
     2.1   Making of Representations and Warranties............................6
     2.2   Organization and Qualifications of the Company......................6
     2.3   Capital Stock of the Company; Beneficial Ownership..................6
     2.4   Subsidiaries; Acquisitions..........................................7
     2.5   Authority of the Company, the Stockholder and the Primary Parties...7
     2.6   No Conflicts........................................................7
     2.7   Real and Personal Property..........................................8
     2.8   Financial Statements and Related Matters...........................10
     2.9   Taxes..............................................................13
     2.10  Collectibility of Accounts Receivable..............................14
     2.11  Inventories........................................................14
     2.12  Absence of Certain Changes.........................................14
     2.13  Ordinary Course....................................................16
     2.14  Approvals; Consents................................................16
     2.15  Banking Relations..................................................16
     2.16  Intellectual Property..............................................17
     2.17  Year 2000..........................................................18
     2.18  Contracts..........................................................19
     2.19  Litigation.........................................................21
     2.20  Compliance with Laws...............................................21
     2.21  Insurance..........................................................21
     2.22  Powers of Attorney.................................................21
     2.23  Finder's Fee.......................................................22
     2.24  Permits; Burdensome Agreements.....................................22
     2.25  Corporate Records; Copies of Documents.............................22
     2.26  Transactions with Interested Persons...............................22
     2.27  Employee Benefit Programs..........................................22
     2.28  Environmental Matters..............................................26
</TABLE>

                                       (i)

<PAGE>   3

<TABLE>
<CAPTION>
                                                                            Page
<S>        <C>                                                                <C>
     2.29  List of Directors, Officers and Employees..........................27
     2.30  Employees; Labor Matters...........................................27
     2.31  Principals.........................................................28
     2.32  Absence of Improper Payments.......................................29
     2.33  Transfer of Shares.................................................29
     2.34  Stock Repurchase...................................................30
     2.35  Disclosure.........................................................30

SECTION 3. COVENANTS OF THE COMPANY, THE STOCKHOLDER AND THE
           PRIMARY PARTIES....................................................30
     3.1   Making of Covenants and Agreements.................................30
     3.2   Cooperation........................................................30
     3.3   Consents...........................................................30
     3.4   Notice of Default..................................................30
     3.5   Conduct of Business................................................31
     3.6   Acquisition Proposals..............................................32
     3.7   Transfers of Shares; Voting........................................33
     3.8   Confidentiality....................................................33
     3.9   Tax Returns........................................................33
     3.10  Lease..............................................................33
     3.11  Consummation of Agreement..........................................34
     3.12  Fees and Expenses..................................................34

SECTION 4. REPRESENTATIONS AND WARRANTIES OF BUYER............................34
     4.1   Making of Representations and Warranties...........................34
     4.2   Organization of Buyer..............................................34
     4.3   Authority of Buyer.................................................34
     4.4   Litigation.........................................................34
     4.5   Finder's Fee.......................................................34
     4.6   No Conflicts.......................................................35

SECTION 5. COVENANTS OF BUYER.................................................35
     5.1   Making of Covenants and Agreements.................................35
     5.2   Consents...........................................................35
     5.3   Confidentiality....................................................35
     5.4   Indebtedness.......................................................36
     5.5   Release of Guaranty................................................36

SECTION 6. CONDITIONS.........................................................36
     6.1   Conditions to the Obligations of Buyer.............................36
     6.2   Conditions to Obligations of the Company and the Stockholder.......39

SECTION 7. TERMINATION OF AGREEMENT; RIGHTS TO PROCEED........................40
     7.1   Termination........................................................40
</TABLE>

                                      (ii)

<PAGE>   4

<TABLE>
<CAPTION>
                                                                            Page

<S>        <C>                                                                <C>
     7.2    Effect of Termination.............................................40
     7.3    Right to Proceed..................................................40

SECTION 8.  RIGHTS AND OBLIGATIONS SUBSEQUENT TO CLOSING......................41
     8.1    Survival of Warranties............................................41

SECTION 9.  INDEMNIFICATION...................................................41
     9.1    Indemnification by the Stockholder and the Primary Parties........41
     9.2    Limitations on Indemnification by the Stockholder.................42
     9.3    Indemnification by Buyer..........................................43
     9.4    Limitation on Indemnification by Buyer............................44
     9.5    Notice; Defense of Claims.........................................44
     9.6    Satisfaction of Stockholder Indemnification Obligations...........45

SECTION 10. DEFINITIONS.......................................................45

SECTION 11. MISCELLANEOUS.....................................................49
     11.1   Fees and Expenses.................................................49
     11.2   Governing Law.....................................................49
     11.3   Notices...........................................................49
     11.4   Entire Agreement..................................................50
     11.5   Assignability; Binding Effect.....................................50
     11.6   Execution in Counterparts.........................................50
     11.7   Amendments........................................................50
     11.8   Publicity and Disclosures.........................................51
     11.9   Dispute Resolution; Consent to Jurisdiction.......................51
     11.10  Consent to Jurisdiction...........................................52
     11.11  Specific Performance..............................................52
     11.12  No Third-Party Beneficiaries......................................52
     11.13  Severability......................................................52
</TABLE>

                                      (iii)
<PAGE>   5

<TABLE>
<CAPTION>
LIST OF EXHIBITS AND SCHEDULES

<S>           <C>
Exhibit A:     List of Stockholders, Stockholdings and Consideration to be Paid
Exhibit B:     Form of Lease
Exhibit C:     Form of Opinion of Counsel for the Company and the Stockholder
Exhibit D-1:   Form of Employment and Noncompetition Agreement
Exhibit D-2:   Form of Consulting Agreement
Exhibit E:     Form of General Release
Exhibit F:     Form of Opinion of Counsel for the Buyer
Exhibit G:     New Business Prospects

Schedule   2.2     Foreign Qualifications
           2.3     Capital Stock of the Company; Beneficial Ownership
           2.7(a)  Real Property
           2.7(b)  Personal Property
           2.8     Financial Statements
           2.8(d)  Itemized Projections
           2.8(e)  Cash Flows
           2.8(g)  Certain Expenses
           2.8(h)  Compensation of Officers
           2.9     Taxes
           2.10    Collectibility of Accounts Receivable
           2.12    Absence of Certain Changes
           2.14    Approval; Consents
           2.15    Banking Relations
           2.16    Intellectual Property
           2.18    Contract
           2.19    Litigation
           2.20    Compliance with Laws
           2.21    Insurance
           2.24    Permits, Burdensome Agreements
           2.26    Transactions with Interested Persons
           2.27    Employee Benefit Programs
           2.28    Environmental Matters
           2.29    List of Directors, Officers and Employees
           2.31    Principals
           2.33    Transfer of Shares
           2.34    Stock Repurchase
           4.6     No Conflicts
           6.1     Employment Agreements
</TABLE>

                                      (iv)
<PAGE>   6

                            STOCK PURCHASE AGREEMENT

         THIS STOCK PURCHASE AGREEMENT (the "Agreement") entered into as of July
7, 1999 by and among Merkert American Corporation, a Delaware corporation
("Buyer"), Buckeye Sales and Marketing, Inc. doing business as The Sell Group -
Cleveland, an Ohio corporation (the "Company"), JF & JF Limited Partnership, an
Ohio limited partnership, (herein referred to together with any successors or
assigns as the "Stockholder") and James J. Forkin, Joan M. Forkin and Timothy P.
Forkin (collectively referred to as the "Primary Parties" and individually as a
"Primary Party").

                               W I T N E S S E T H

         WHEREAS, the Stockholder owns of record and beneficially all of the
issued and outstanding shares (the "Company Shares") of the common stock, no par
value per share (the "Common Stock"), of the Company; and

         WHEREAS, the Stockholder desires to sell all of the Company Shares to
Buyer, and Buyer desires to acquire all of the Company Shares.

         NOW, THEREFORE, in order to consummate said purchase and sale and in
consideration of the mutual agreements set forth herein, the parties hereto
agree as follows:

SECTION 1.  SALE OF SHARES AND PURCHASE PRICE.

         1.1 Transfer of Company Shares. Upon the terms and subject to the
conditions set forth in this Agreement, Buyer hereby purchases, and the
Stockholder hereby sells, assigns, conveys, transfers and delivers to Buyer all
of the Stockholder's right, title and interest in any and all of the Company
Shares owned beneficially or of record by such Stockholder free and clear of any
and all liens, encumbrances, charges, claims or adverse interests of any kind at
an aggregate purchase price for all of the Company Shares of (i) $4,000,000 (the
"Base Consideration") plus (ii) an amount (the "Additional Payment") equal to
70% of the Additional Revenues (as defined below); provided that in no event
shall the Additional Payment exceed $1,050,000, (the aggregate amount set forth
in clause (i) and (ii), collectively, the "Purchase Price"). At the Closing, the
Stockholder shall deliver or cause to be delivered to Buyer certificates
representing all of the Company Shares owned by the Stockholder, as set forth in
Exhibit A attached hereto. Such stock certificates shall be duly endorsed in
blank for transfer or shall be presented with stock powers duly executed in
blank, with such signature guarantees and such other documents as may be
reasonably required by Buyer to effect a valid transfer of such Company Shares
by the Stockholder in accordance with this Agreement. The Stockholder by
execution of this Agreement hereby appoints Buyer as his attorney-in-fact to
effectuate transfer of the Company Shares at the Closing.

                                        1
<PAGE>   7

         1.2      Purchase Price and Payment.

                  (a) In consideration of the sale by the Stockholder to Buyer
of the Company Shares and in reliance upon the representations and warranties of
the Company, the Stockholder and the Primary Parties herein contained and made
at the Closing and subject to (i) the satisfaction of all of the conditions
contained herein, and (ii) the provisions of Section 1.2(c) below, Buyer agrees
that, subject to certain adjustments set forth in this Agreement at the Closing
it will pay to the Stockholder an aggregate amount of FOUR MILLION AND 00/100
DOLLARS ($4,000,000.00) which, subject to adjustment as contemplated by Section
1.2(b) below, shall be paid in cash delivered as follows: (i) by the payment of
One Hundred Thousand Dollars ($100,000.00) on the Closing Date and (ii)
thereafter in thirty-nine (39) equal quarterly installments of One Hundred
Thousand Dollars ($100,000.00) on March 31, June 30, September 30 and December
31 of each year beginning September 30, 1999 and ending March 31, 2009. The
Additional Payment, if any, payable to the Stockholder hereunder shall be
calculated and paid in accordance with Section 1.2(b) below.

                  (b) Subject to the provisions of Sections 1.2(c) and 1.3
below, the Additional Payment, if any, payable by the Buyer to the Stockholder
shall be calculated and paid in accordance with this Section 1.2(b). The payment
of any Additional Payment hereunder shall be paid in cash by the delivery of an
aggregate amount equal to one-fortieth (1/40th) of the Additional Payment to the
Stockholder on June 30, September 30, December 31 and March 31 of each year
while any portion of such Additional Payment remains outstanding. As promptly as
practicable after the date which is one year after the Closing Date (but in no
event later than sixty (60) days thereafter), the Buyer, shall prepare and
deliver, or shall cause to be prepared and delivered, to the Stockholder's
Representative a calculation (the "Revenue Statement") of the Company's
Additional Revenues setting forth the changes in the revenues realized by the
Company which are attributable to the New Business Prospects which calculation
shall be based upon the Company's books and records as of the first anniversary
of the Closing Date.

                  (c) The Stockholder hereby specifically acknowledges and
agrees that Buyer's obligation to pay all or any portion of the Base
Consideration, the Additional Payment or any other amount payable by Buyer
hereunder is, and at all times hereafter will be, junior and subordinate in
right of payment and exercise of remedies to the prior payment in full in cash
of all obligations owed in respect of all Senior Debt (as defined below), and
that the subordination of the obligations to the Stockholder under this
Agreement is for the benefit of all holders of Senior Debt whether such Senior
Debt is outstanding on the date hereof or incurred, created or arising
hereafter, effective upon receipt of written notice to the Stockholder. The
Stockholder hereby specifically acknowledges and agrees that upon the occurrence
and during the continuation of any default or event of default under any Senior
Debt, Buyer will have no obligation to make, and the Stockholder will not accept
or receive, any payment of any portion of the Purchase Price until such
delinquent Senior Debt has been paid in full. In the event that any payment,
distribution, security, or proceeds of the Purchase

                                        2
<PAGE>   8

Price should be received by the Stockholder contrary to the terms hereof, the
Stockholder immediately will deliver the same to the holders of the Senior Debt
in precisely the form received (except for the endorsement or assignment of the
Stockholder where necessary), for application on or to secure the Senior Debt,
whether it is due or not due, and until so delivered the same shall be held in
trust by such Payee as property of the holders of the Senior Debt. Nothing in
this paragraph (c) shall prohibit the Stockholder from receiving and retaining
any amount due to the Stockholder hereunder provided that at the time such
amount is paid to the Stockholder there shall not have occurred or be continuing
any default or event of default under any Senior Debt. Buyer hereby agrees to
give the Stockholder written notice of the occurrence of any event of default
giving rise to the Stockholder's obligations described in this Section 1.2(c)
within a reasonable period after the occurrence thereof; provided, however, that
(i) Buyer's failure to deliver such notice shall not relieve the Stockholder of
any of its obligations under this Section 1.2(b), (ii) the Stockholder shall
keep such information strictly confidential and (iii) the Stockholder and each
person holding any partnership or other equity interest in the Stockholder shall
refrain from any and all transactions in the equity securities of the Buyer
until such information has been publicly disclosed in a press release issued by
the Buyer or in a public filing made by the Buyer with the Securities and
Exchange Commission.

         The Stockholder agrees, and each successor or assign of the Stockholder
by the acceptance of this Agreement agrees, to execute (i) any subordination
agreement(s) consistent with the terms of this Agreement that Buyer and the
holders of any Senior Debt may request to better reflect the subordination of
the indebtedness evidenced hereby to any Senior Debt incurred by Buyer and (ii)
any confidentiality and/or standstill agreement reasonably requested by the
Company in connection with any such disclosures made by the Company to the
Stockholder in accordance with this section 1.2(c).

         1.3      Revenue Statement Dispute Resolution

                  (a) If the Stockholder's Representative does not agree with
the Additional Revenues as reflected on the Revenue Statement prepared by Buyer,
the Stockholder's Representative shall promptly (but not later than 45 days
after the receipt of such Revenue Statement) give written notice to Buyer of any
exceptions thereto (in reasonable detail describing the nature of the
disagreement asserted). If the Stockholder's Representative does not give notice
of any exception within such 45 day period or if the Stockholder's
Representative gives written notification of its acceptance of the Revenue
Statement prior to the end of such 45 day period, such Revenue Statement shall
thereupon become final and conclusive upon all the parties hereto and
enforceable in a court of law. In the event that the Stockholder's
Representative delivers a notice that it disputes any item in such Revenue
Statement, the Stockholder's Representative and Buyer shall negotiate in good
faith for a period of not more than twenty-five (25) days in order to reconcile
their differences regarding the Revenue Statement. In the event that the
Stockholder's Representative and the Buyer reconcile such differences, the
Revenue Statement shall be adjusted accordingly and shall thereupon become final
and conclusive upon all of the parties hereto and enforceable in a court

                                        3
<PAGE>   9

of law. If the Stockholder's Representative and Buyer are unable to reconcile
their differences during such 25 day period, the items in dispute shall be
submitted to a mutually acceptable accounting firm of national reputation (the
"Independent Accountants") for final determination,and the Revenue Statement
shall be deemed adjusted in accordance with the determination of the Independent
Accountants and shall become final and conclusive upon all of the parties hereto
and enforceable in a court of law. The Independent Accountants shall consider
only the items in dispute and shall be instructed to act within 20 days (or such
longer period as the Stockholder's Representative and the Buyer may agree) to
resolve all items in dispute.

                  (b) The non-prevailing party shall pay all of the fees and
expenses of the Independent Accountants in connection with the resolution of any
dispute pursuant to this Section 1.3.

         1.4      Time and Place of Closing. The closing of the purchase and
sale provided for in this Agreement (herein called the "Closing") shall be held
at 10:00 a.m. on July 7, 1999 at the offices of Goodwin, Procter & Hoar LLP,
Exchange Place, Boston, Massachusetts 02109 or at such other place or an earlier
or later date or time or by such other means as may be mutually agreed upon by
the parties.

         1.5      Stockholder's Representative.

                  (a) In order to administer efficiently (i) the implementation
of the Agreement by the Stockholder, (ii) the waiver of any condition to the
obligations of the Stockholder to consummate the transactions contemplated
hereby, and (iii) the settlement of any dispute with respect to the Agreement,
the Stockholder hereby designates James J. Forkin as its representative (the
"Stockholder's Representative").

                  (b) The Stockholder hereby authorizes the Stockholder's
Representative (i) to take all action necessary in connection with the
implementation of the Agreement on behalf of the Stockholder, the waiver of any
condition to the obligations of the Stockholder to consummate the transactions
contemplated hereby, or the settlement of any dispute, (ii) to give and receive
all notices required to be given under the Agreement and (iii) to take any and
all additional action as is contemplated to be taken by or on behalf of the
Stockholder by the terms of this Agreement, including without limitation, the
execution and delivery of documents to transfer the Company Shares to Buyer.

                  (c) In the event that the Stockholder's Representative dies,
becomes legally incapacitated or resigns from such position, Christopher Wenum
shall fill such vacancy and shall be deemed to be the Stockholder's
Representative for all purposes of this Agreement; however, no change in the
Stockholder's Representative shall be effective until Buyer is given notice of
it by the Stockholder.

                                        4
<PAGE>   10

                  (d) All decisions and actions by the Stockholder's
Representative shall be binding upon the Stockholder, and the Stockholder shall
have no right to object, dissent, protest or otherwise contest the same.

                  (e) By execution of this Agreement, the Stockholder agrees
that:

                           (i) Buyer shall be able to rely conclusively on the
         instructions and decisions of the Stockholder's Representative as to
         any actions required or permitted to be taken by the Stockholder or the
         Stockholder's Representative hereunder, and no party hereunder shall
         have any cause of action against Buyer for any action taken by Buyer in
         reliance upon the instructions or decisions of the Stockholder's
         Representative;

                           (ii) all actions, decisions and instructions of the
         Stockholder's Representative shall be conclusive and binding upon the
         Stockholder and the Stockholder shall not have any cause of action
         against the Stockholder's Representative for any action taken, decision
         made or instruction given by the Stockholder's Representative under
         this Agreement, except for fraud or willful breach of this Agreement by
         the Stockholder's Representative;

                           (iii) remedies available at law for any breach of the
         provisions of this Section 1.5 are inadequate; therefore, Buyer shall
         be entitled to temporary and permanent injunctive relief without the
         necessity of proving damages if Buyer brings an action to enforce the
         provisions of this Section 1.5; and

                           (iv) the provisions of this Section 1.5 are
         independent and severable, shall constitute an irrevocable power of
         attorney, coupled with an interest and surviving death, granted by the
         Stockholder to the Stockholder's Representative and shall be binding
         upon the executors, heirs, legal representatives and successors of the
         Stockholder.

                  (f) All fees and expenses incurred by the Stockholder's
Representative shall be paid by the Stockholder.

         1.6 Further Assurances. The Stockholder from time to time after the
Closing at the request of Buyer and without further consideration shall execute
and deliver further instruments of transfer and assignment and take such other
action as Buyer may reasonably require to more effectively transfer and assign
to, and vest in, Buyer the Company Shares and all rights thereto, and to fully
implement the provisions of this Agreement.

         1.7 Transfer Taxes. All transfer taxes, fees and duties under
applicable law incurred in connection with the sale and transfer of the Company
Shares under this Agreement will be borne and paid by the Stockholder, and the
Stockholder shall promptly reimburse the

                                        5
<PAGE>   11

Company and Buyer for any such tax, fee or duty which any of them is required to
pay under applicable law.

SECTION 2.        REPRESENTATIONS AND WARRANTIES OF THE COMPANY AND
                  STOCKHOLDER.

         2.1      Making of Representations and Warranties. As a material
inducement to Buyer to enter into this Agreement and consummate the transactions
contemplated hereby, the Company, the Stockholder and each of the Primary
Parties jointly and severally hereby make to Buyer the representations and
warranties contained in this Section 2. For the purposes of this Agreement, to
the extent that any disclosure made by the Company, the Stockholder or any
Primary Party would be required to be made on more than one Schedule delivered
hereunder, the Company, the Stockholder and each Primary Party may make such
disclosure by a cross-reference to information set forth on any other Schedule
delivered hereunder. Capitalized terms used and not otherwise defined in the
Schedules shall have the meanings ascribed thereto in this Agreement.

         2.2      Organization and Qualifications of the Company. The Company is
a corporation duly organized, validly existing and in good standing under the
laws of the State of Ohio with full corporate power and authority to own or
lease its properties and to conduct its business in the manner and in the places
where such properties are owned or leased or such business is currently
conducted or proposed to be conducted. The copies of the Company's Articles of
Incorporation, as amended to date, certified by the Secretary of State of the
State of Ohio, and of the Company's Code of Regulations, as amended to date,
certified by the Company's Secretary, and heretofore delivered to Buyer's
counsel, are complete and correct, and no amendments thereto are pending. The
Company is not in violation of any term of its Articles of Incorporation or Code
of Regulations. Except as set forth on Schedule 2.2 attached hereto, the Company
is qualified to do business as a foreign corporation in all jurisdictions in
which the nature of the business conducted by the Company or the characters of
the assets owned or leased by it make such qualification necessary or prudent.

         2.3      Capital Stock of the Company; Beneficial Ownership.

                                        6
<PAGE>   12

                  (a) The authorized capital stock of the Company consists of
(i) 750 shares of Common Stock, of which 100 shares are duly and validly issued,
outstanding, fully paid and non-assessable and of which 650 shares are
authorized but unissued. The Company holds no shares of Common Stock in its
treasury. Except as disclosed on Schedule 2.3 attached hereto, no person or
entity other than the Stockholder holds any shares of the capital stock of the
Company. There are no outstanding subscriptions, calls, options, warrants,
rights, commitments, preemptive rights, arrangements or agreements of any kind
for or relating to the issuance, sale, transfer, registration or voting of, or
outstanding securities convertible into, exchangeable for or carrying the right
to purchase, subscribe for or otherwise acquire, any shares of capital stock of
any class or any other equity security of the Company or outstanding warrants,
options or other rights to acquire any such convertible securities. None of the
Company's capital stock has been issued in violation of any applicable federal
or state securities law. Except as set forth in the Schedule 2.3 attached
hereto, there are no voting trusts, voting agreements, proxies or other
agreements, instruments or undertakings with respect to the voting of the
Company Shares to which the Company, the Stockholder or any of the Primary
Parties is a party.

                  (b) The Stockholder owns beneficially and of record the
Company Shares set forth opposite the Stockholder's name on Exhibit A hereto
free and clear of any lien, security interest, charge, pledge, restriction,
encumbrance or adverse interest of any kind or nature (collectively, "Liens").

         2.4      Subsidiaries; Acquisitions. The Company does not have any
subsidiaries or any investments in any other corporation or business
organization.

         2.5      Authority of the Company, the Stockholder and the Primary
Parties. The Company has full right, authority and corporate power, and the
Stockholder and each of the Primary Parties has full right, power, authority and
capacity, to enter into this Agreement and each agreement, document and
instrument to be executed and delivered by the Company, the Stockholder or each
of the Primary Parties pursuant to this Agreement and to carry out the
transactions contemplated hereby and thereby. The execution, delivery and
performance by the Company, the Stockholder and each Primary Party of this
Agreement and each such other agreement, document and instrument have been duly
authorized by all necessary action of the Company, the Stockholder and/or each
of the Primary Parties and no other action on the part of the Company, the
Stockholder or any Primary Party is required in connection therewith.

         2.6      No Conflicts. This Agreement and each agreement, document and
instrument executed and delivered by the Company, the Stockholder and/or any
Primary Party pursuant to this Agreement constitutes, or when executed and
delivered will constitute, valid and binding obligations of the Company, the
Stockholder and or any Primary Party enforceable in accordance with their terms.
The execution, delivery and performance by the Company of this Agreement and
each other agreement, document or instrument to be executed, delivered or
performed by the Company, the Stockholder or any Primary Party (the "Transaction

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<PAGE>   13

Documents") does not and will not, with or without the giving of notice or the
lapse of time or both, (i) violate any provision of the Articles of
Incorporation or Code of Regulations of the Company; and (ii) violate any laws
of the United States or any state or other jurisdiction applicable to the
Company, the Stockholder or any Primary Party or require the Company, the
Stockholder or any Primary Party to obtain any approval, consent or waiver of,
or make any filing with, any person or entity (governmental or otherwise) that
has not been obtained or made. Except as set forth on Schedule 2.6 attached
hereto, neither the course of conduct of the Company, the Stockholder or any
Primary Party in connection with the negotiation, execution and delivery of this
Agreement or any other Transaction Document nor this execution, delivery or
performance by the Company, the Stockholder or any Primary Party of this
Agreement or any Transaction Document does or will result in a breach of,
constitute a default under, accelerate any obligation under, or give rise to a
right of termination of any indenture or loan or credit agreement or any other
agreement, contract, instrument, mortgage, lien, lease, permit, authorization,
order, writ, judgment, injunction, decree, determination or arbitration award to
which the Company, the Stockholder or any Primary Party is a party or by which
the property of the Company, the Stockholder or any Primary Party is bound or
affected, or result in the creation or imposition of any mortgage, pledge, or
other Lien in any of the Company's assets or the Company Shares.

         2.7      Real and Personal Property.

                  (a)      Real Property. All of the real property owned or
leased by the Company or any of its Subsidiaries is identified on Schedule
2.7(a) (herein referred to as the "Owned Real Property" or the "Leased Real
Property," as the case may be, or collectively as the "Real Property.")

                           (i) Title. The Company has good, valid, record and
         marketable title to all Owned Real Property, free and clear of all
         easements, covenants, restrictions, leases, mortgages, liens,
         assessments, claims, rights, judgments, encroachments or other matters
         affecting title (collectively, "Encumbrances"), other than:

                           (x)      easements, covenants, restrictions and
                                    similar encumbrances that do not and could
                                    not interfere with the use of the Owned Real
                                    Property as currently used and improved,

                           (y)      minor encroachments that do not and could
                                    not adversely affect the value or use of the
                                    Owned Real Property as currently used and
                                    improved and that could be removed without
                                    material cost, and

                           (z)      liens for Taxes (as defined below) not yet
                                    due or delinquent or being contested in good
                                    faith pursuant to appropriate proceedings

                                        8
<PAGE>   14

                                    and statutory liens arising in the ordinary
                                    course of business by operation of law that
                                    are not yet due or delinquent.

         ((x), (y) and (z) are collectively referred to as "Permitted
         Encumbrances"), except as set forth on Schedule 2.7(a). To the
         knowledge of the Company or any Primary Party, except as set forth on
         Schedule 2.7(a), the Lessors of Leased Real Property have good, clear,
         record and marketable title to the Leased Real Property, and the
         Company has good, valid and enforceable leasehold interests to the
         leasehold estate in the Leased Real Property granted to the Company
         pursuant to each pertinent lease, in each case free and clear of all
         Encumbrances other than Permitted Encumbrances, subject only to the
         right of reversion of the Lessor, except as set forth in Schedule
         2.7(a).

                           (ii) Status of Leases. All leases relating to Leased
         Real Property are identified on Schedule 2.7(a), and true and complete
         copies thereof have been delivered to Buyer. Each of said leases has
         been duly authorized and executed by the parties and is in full force
         and effect. The Company is not in default under any of said leases, nor
         has any event occurred which, with notice or the passage of time, or
         both, would give rise to such a default. To the knowledge of the
         Company or any Primary Party, the other party to each of said leases is
         not in default under any of said leases and there is no event which,
         with notice or the passage of time, or both, would give rise to such a
         default.

                           (iii) Consents. Except as set forth in Schedule
         2.7(a), no consent or approval is required with respect to the
         transactions contemplated by this Agreement from the other parties to
         any lease of Leased Real Property, from the holder of any Encumbrance
         on any Owned Real Property, or from any regulatory authority, no filing
         with any regulatory authority is required in connection therewith, and
         to the extent that any such consents, approvals or filings are
         required, the Company, the Stockholder or the Primary Parties will
         obtain or complete them before the Closing.

                           (iv) Condition of Real Property. Except as set forth
         in Schedule 2.7(a), there are no material defects in the physical
         condition of any land, buildings or improvements constituting part of
         the Real Property, including without limitation, structural elements,
         mechanical systems, parking and loading areas, and all such buildings
         and improvements are in good operating condition and repair, have been
         well maintained and are free from infestation by rodents or insects. To
         the knowledge of the Company or any Primary Party, none of the Real
         Property is located in an area designated by any governmental authority
         as being within a flood plain or subject to special flood or other
         hazards. Access to the Real Property is by a public way or public
         street. All water, sewer, gas, electric, telephone, drainage and other
         utilities required by law or necessary for the current or planned
         operation of the Real Property have been connected under valid permits
         and pursuant to valid easements where required, and are sufficient to
         service the Real Property and in good operating condition.

                                        9
<PAGE>   15

                           (v) Compliance with the Law. The Company has not
         received any notice from any governmental authority of any violation of
         any law, ordinance, regulation, license, permit or authorization issued
         with respect to any Real Property that has not been heretofore
         corrected and no such violation exists which could have an adverse
         effect on the operation or value of any Real Property. All improvements
         located on or constituting part of the Real Property and their use and
         operation by the Company were and are now in compliance in all material
         respects with all applicable laws, ordinances, regulations, licenses,
         permits and authorizations, expect as set forth in Schedule 2.7(a). No
         approval or consent to the transactions contemplated by this Agreement
         is required of any governmental authority with jurisdiction over any
         aspect of the Real Property or its use or operations. The Company has
         not received any notice of any real estate tax deficiency or assessment
         or is aware of any proposed deficiency, claim or assessment with
         respect to any of the Real Property, or any pending or threatened
         condemnation thereof.

                  (b)      Personal Property. A complete description of the
machinery and equipment of the Company is contained in Schedule 2.7(b) hereto.
Except as specifically disclosed in said Schedule or in the Base Balance Sheet
(as hereinafter defined), the Company has good and marketable title to all of
its personal property. None of such personal property or assets is subject to
any mortgage, pledge, conditional sale agreement or Lien except as specifically
disclosed in said Schedule or in the Base Balance Sheet. The Base Balance Sheet
reflects all personal property of the Company. Except as otherwise specified in
Schedule 2.7(b) hereto or as could not, individually or in the aggregate, have a
Material Adverse Effect, all leasehold improvements, furnishings, machinery and
equipment of the Company are in good repair (ordinary wear and tear excepted),
have been well maintained, and comply with all applicable laws, ordinances and
regulations, and such machinery and equipment is in good working order. None of
the Company, the Stockholder or any of the Primary Parties knows of any pending
or threatened change of any such law, ordinance or regulation which could
adversely affect the Company or any of its businesses.

         2.8      Financial Statements and Related Matters.

                  (a)      The Company has delivered to Buyer the following
financial statements, copies of which are attached hereto as Schedule 2.8(a):

                           (i) a balance sheet of the Company for its fiscal
         years ended September 30, 1996, 1997 and 1998 and statements of income,
         retained earnings and cash flows for the three years then ended, which
         statements have been compiled by Browske, DiPietro & Company,
         independent public accountants (such financial statements, the
         "Compiled Financial Statements"). The Company's compiled balance sheet
         as of September 30, 1998, is sometimes referred to herein as the "Base
         Balance Sheet").

                                       10
<PAGE>   16

                           (ii) a balance sheet of the Company as of March 31,
         1999 (herein the "Interim Balance Sheet") and statements of income,
         retained earnings and cash flows for the six-month period then ended,
         certified by the Company's chief financial officer (the "Interim
         Financial Statements").

                           (iii) a balance sheet of the Company as of May 31,
         1999 (the "May Balance Sheet") and statements of income, retained
         earnings and cash flows for the eight-month period then ended,
         certified by the Company's chief financial officer (the "May Financial
         Statements"). The Compiled Financial Statements, the Interim Financial
         Statements and the May Financial Statements are referred to herein,
         collectively, as the "Financial Statements."

         Said Financial Statements have been prepared on a cash basis in
accordance with the accounting principles described therein applied consistently
during the periods covered thereby, are complete and correct in all material
respects and present fairly the financial condition of the Company on a cash
basis at the dates of said statements and the results of its operations for the
periods covered thereby. Schedule 2.8(a) includes an itemized list of
adjustments to the Financial Statements in order to cause each of the Financial
Statements, in light of such adjustment and viewed as a whole, to constitute
financial statements as of their respective dates and for the periods therein
ended, prepared on an accrual basis and in accordance with generally accepted
accounting principles ("GAAP"), consistently applied.

                  (b)      As of the date of the Base Balance Sheet, the Company
did not have any liabilities of any nature, whether accrued, absolute,
contingent or otherwise, asserted or unasserted, known or unknown (including
without limitation, liabilities as guarantor or otherwise with respect to
obligations of others, liabilities for taxes due or then accrued or to become
due, or contingent or potential liabilities relating to activities of the
Company or the conduct of its business prior to the date of the Base Balance
Sheet regardless of whether claims in respect thereof had been asserted as of
such date), except liabilities stated or adequately reserved against on the Base
Balance Sheet, or reflected in Schedule 2.8(a) (other than the May Financial
Statements or any disclosure relating thereto) furnished to Buyer hereunder as
of the date hereof.

                  (c)      As of the date hereof and as of the Closing, the
Company has not had and will not have any liabilities of any nature, whether
accrued, absolute, contingent or otherwise, asserted or unasserted, known or
unknown (including without limitation, liabilities as guarantor or otherwise
with respect to obligations of others, or liabilities for taxes due or then
accrued or to become due or contingent or potential liabilities relating to
activities of the Company or the conduct of its business prior to the date
hereof or the Closing, as the case may be, regardless of whether claims in
respect thereof had been asserted as of such date), except liabilities (i)
stated or adequately reserved against on the Interim Balance Sheet or the notes
thereto, (ii) reflected in Schedule 2.8(a) (other than the May Financial
Statements or any

                                       11
<PAGE>   17

disclosure relating thereto) furnished to Buyer hereunder on the date hereof, or
(iii) incurred after March 31, 1999 in the ordinary course of business of the
Company consistent with the terms of this Agreement and which would not be
required to be disclosed on a balance sheet of the Company prepared in
accordance with GAAP.

                  (d)      The itemized projections of commission revenues for
the 12 months ending May 31, 2000 which have been separately prepared by the
Company and presented to the Buyer are attached hereto as Schedule 2.8(d) and
have been based upon assumptions which are set forth therein and which were
reasonable when made and continue to be reasonable and give effect to the gains
and losses of or other changes in, or with respect to, Principal accounts
disclosed on Schedules 2.31(e) and 2.31(f) hereto.

                  (e)      As of the Closing Date, the outstanding balance under
the Company's aggregate indebtedness for borrowed money (including both
short-term indebtedness and long-term indebtedness) will not, and does not,
exceed $1,163,746.22 subject to adjustment for the accrual of interest after
June 29, 1999 as set forth on Schedule 2.8(e). Except as set forth in Schedule
2.8(e), the Company's cash flow from operations has been sufficient to fund the
operation of the business in the ordinary course of business consistent with the
Company's past practices.

                  (f)      For the twelve-month period ended December 31, 1998,
the Company's reimbursements to its officers, directors and employees (other
than James Forkin) with respect to travel and entertainment expenses have not
been less than $29,310.59. For the twelve-month period ended December 31, 1998,
the Company's reimbursements to, and direct payments on behalf of, James Forkin
with respect to travel, entertainment and other reimbursable expenses were not
less than $220,000. As of the Closing Date, the aggregate amount of claims for
reimbursement for travel and entertainment expenses which remain unpaid does not
exceed $1,500.00.

                  (g)      Schedule 2.8(g) attached hereto sets forth, on an
individualized basis, the monthly and annual obligations of the Company to
reimburse officers and employees for expenses related to the use and operation
of an automobile, including gas, insurance, maintenance and mileage
reimbursement.

                  (h)      Schedule 2.8(h) attached hereto sets forth the
aggregate annual compensation of each officer, employee or consultant of the
Company as of the Closing Date.

                  (i)      As of the Closing Date, the Stockholder and the
Primary Parties shall have paid, or shall have caused the payment of, all fees
and expenses incurred by or on behalf of any such party arising out of or in
connection with the transactions contemplated by this Agreement including
without limitation all such fees and expenses of attorneys, accountants,
financial advisors and other consultants to the Company; provided that the
Company shall not have paid or reimbursed any party for, any such amount.

                                       12
<PAGE>   18

         2.9      Taxes.

                  (a)      Except as set forth on Schedule 2.9(a), attached
hereto, the Company has paid or caused to be paid all federal, state, local,
foreign, and other taxes, including without limitation, income taxes, estimated
taxes, alternative minimum taxes, excise taxes, sales taxes, use taxes,
value-added taxes, gross receipts taxes, franchise taxes, capital stock taxes,
employment and payroll-related taxes, withholding taxes, stamp taxes, transfer
taxes, windfall profit taxes, environmental taxes and property taxes, whether or
not measured in whole or in part by net income, and all deficiencies, or other
additions to tax, interest, fines and penalties owed by it (collectively,
"Taxes"), required to be paid by it through the date hereof whether disputed or
not.

                  (b)      Except as set forth on Schedule 2.9(a), attached
hereto, the Company has in accordance with applicable law filed all federal,
state, local and foreign tax returns required to be filed by it through the date
hereof, and all such returns correctly and accurately set forth the amount of
any Taxes relating to the applicable period. A list of all federal, state, local
and foreign income tax returns filed with respect to the Company for taxable
periods ended on or after December 31, 1993 is set forth in Schedule 2.9
attached hereto, and said Schedule indicates those returns that have been
audited or currently are the subject of an audit. For each taxable period of the
Company ended on or after December 31, 1993, the Company has delivered to Buyer
correct and complete copies of all federal, state, local and foreign income tax
returns, examination reports and statements of deficiencies assessed against or
agreed to by the Company.

                  (c)      Except as set forth on Schedule 2.9(a), attached
hereto, neither the United States Internal Revenue Service (the "IRS") nor any
other governmental authority is now asserting or, to the knowledge of the
Company, any Primary Party, or the Stockholder, threatening to assert against
the Company any deficiency or claim for additional Taxes. Except as set forth in
Schedule 2.9(c) attached hereto, no claim has ever been made by an authority in
a jurisdiction where the Company does not file reports and returns that the
Company is or may be subject to taxation by that jurisdiction. There are no
security interests on any of the assets of the Company that arose in connection
with any failure (or alleged failure) to pay any Taxes. The Company has never
entered into a closing agreement pursuant to Section 7121 of the United States
Internal Revenue Code of 1986, as amended (the "Code").

                  (d)      Except as set forth in Schedule 2.9(d) attached
hereto, with respect to any tax period ending on or after December 31, 1991,
there has not been any audit of any tax return filed by the Company, no such
audit is in progress, and the Company has not been notified by any tax authority
that any such audit is contemplated or pending. Except as set forth in Schedule
2.9(d), no extension of time with respect to any date on which a tax return was
or is to be filed by the Company is in force, and no waiver or agreement by the
Company is in force for the extension of time for the assessment or payment of
any Taxes.

                                       13
<PAGE>   19

                  (e)      The Company has never been (or has ever had any
liability for unpaid Taxes because it once was) a member of an "affiliated
group" (as defined in Section 1504(a) of the Code). Except as set forth in
Schedule 2.9(e), the Company has never filed, and has ever been required to
file, a consolidated, combined or unitary tax return with any other entity.
Except as set forth in Schedule 2.9(e), the Company does not own and has never
owned a direct or indirect interest in any trust, partnership, corporation or
other entity. Except as set forth in Schedule 2.9(e) attached hereto, the
Company is not a party to any tax sharing agreement.

                  (f)      For purposes of this Agreement, all references to
Sections of the Code shall include any predecessor provisions to such Sections
and any similar provisions of federal, state, local or foreign law.

         2.10     Collectibility of Accounts Receivable. All of the accounts
receivable of the Company shown or reflected on the Interim Balance Sheet (which
are referred to as "outstanding income" on the Interim Balance Sheet and such
Schedule 2.8) or existing at the date hereof (less the reserve therefor set
forth on the Interim Balance Sheet) are or will be at the Closing valid and
enforceable claims, fully collectible and subject to no set off or counterclaim.
The Company has no accounts or loans receivable from any person, firm or
corporation which is affiliated with the Company or from any director, officer
or employee of the Company, except as disclosed on Schedule 2.10 hereto, and all
accounts and loans receivable from any such person, firm or corporation shall be
paid in cash prior to the Closing.

         2.11     Inventories. [Intentionally omitted.]

         2.12     Absence of Certain Changes. Except as disclosed in Schedule
2.12 attached hereto, since the date of the Base Balance Sheet there has not
been:

                  (a)      Any change in the condition (financial or otherwise),
properties, assets, liabilities, business or operations of the Company, which
change by itself or in conjunction with all other such changes, whether or not
arising in the ordinary course of business, could have a material adverse effect
on the business, assets, properties, results of operations, conditions
(financial or otherwise) or prospects of the Company (a "Material Adverse
Effect");

                  (b)      Any amendment or termination, or to the knowledge of
the Company or any Primary Party, proposed or threatened amendment or
termination, whether written or oral, of any Contract (as defined in Section
2.18) or material lease;

                  (c)      Any contingent liability incurred by the Company as
guarantor or otherwise with respect to the obligations of others or any
cancellation of any material debt or claim owing to, or waiver of any material
right of, the Company;

                                       14
<PAGE>   20

                  (d)      Any Encumbrance or Lien placed on any of the
properties of the Company which remains in existence on the date hereof or will
remain on the Closing Date;

                  (e)      Any cancellation of any material debt or claim owing
to, or waiver of a material right of, the Company;

                  (f)      Any obligation or liability of any nature, whether
accrued, absolute, contingent or otherwise, asserted or unasserted, known or
unknown (including without limitation liabilities for Taxes due or to become due
or contingent or potential liabilities relating to products or services provided
by the Company or the conduct of the business of the Company since the date of
the Base Balance Sheet regardless of whether claims in respect thereof have been
asserted), incurred by the Company other than obligations and liabilities
incurred in the ordinary course of business consistent with the terms of this
Agreement (it being understood that product or service liability claims shall
not be deemed to be incurred in the ordinary course of business);

                  (g)      Any purchase, sale or other disposition, or any
agreement or other arrangement for the purchase, sale or other disposition, of
any of the properties or assets of the Company other than in the ordinary course
of business;

                  (h)      Any damage, destruction or loss, whether or not
covered by insurance, materially and adversely affecting the properties, assets
or business of the Company;

                  (i) Any declaration, setting aside or payment of any dividend
by the Company, or the making of any other distribution in respect of the
capital stock of the Company, or any direct or indirect redemption, purchase or
other acquisition by the Company of its own capital stock;

                  (j)      Any labor trouble or claim of unfair labor practices
involving the Company; any change in the compensation payable or to become
payable by the Company to any of its officers, employees, agents or independent
contractors other than normal merit increases in accordance with its usual
practices; or any bonus payment or arrangement made to or with any of such
officers, employees, agents or independent contractors;

                  (k)      Any change with respect to the officers or management
of the Company;

                  (l)      Any payment or discharge of a material lien or
liability of the Company which was not shown on the Base Balance Sheet or in the
adjustments to the Base Balance Sheet as specifically set forth in Schedules
2.8(a), (d), (e), (f), (g) and (h) or incurred in the ordinary course of
business thereafter;

                  (m)      Any obligation or liability incurred by the Company
to any of its officers, directors, stockholders or employees, or any loans or
advances made by the Company

                                       15
<PAGE>   21

to any of its officers, directors, stockholders or employees, except normal
compensation and expense allowances payable to officers or employees;

                  (n)      Any resignation or termination of the Company's
representation of any Principal (with respect to all or any of the products of
such Principal or with respect to any Customers), or any change in commission
rate paid by any Principal, or any notice of same (for purposes of this
Agreement, "Principal" shall mean any manufacturer, grower, processor, producer,
distributor or other wholesaler, or any supplier whose goods, products or lines
are offered for sale or for retail merchandising by the Company, and "Customer"
shall mean any individual, firm, corporation or other business entity from which
the Company obtains product orders on behalf of its Principals);

                  (o)      Any change in accounting methods or practices, credit
practices or collection policies used by the Company;

                  (p)      Any other transaction entered into by the Company
other than transactions in the ordinary course of business; or

                  (q)      Any agreement or understanding whether in writing or
otherwise, for the Company to take any of the actions specified in paragraphs
(a) through (p) above.

         2.13     Ordinary Course. Since the date of the Base Balance Sheet, the
Company has conducted its business only in the ordinary course and consistently
with its prior practices.

         2.14     Approvals; Consents. Except as set forth on Schedule 2.14
attached hereto, no approval, consent, authorization or exemption from or filing
with any person or entity not a party to this Agreement is required to be
obtained or made by the Company in connection with the execution and delivery of
this Agreement and the Transaction Documents or the consummation of the
transactions contemplated hereby and thereby.

         2.15     Banking Relations. All of the arrangements which the Company
has with any banking institution are completely and accurately described in
Schedule 2.15 attached hereto, indicating with respect to each of such
arrangements the type of arrangement maintained (such as checking account,
borrowing arrangements, safe deposit box, etc.) and the person or persons
authorized in respect thereof.

                                       16
<PAGE>   22

         2.16     Intellectual Property.

                  (a)      Except as described in Schedule 2.16(a), the Company
has exclusive ownership of, or sufficient license to use, all material patent,
copyright, trade secret, trademark, or other proprietary rights (collectively,
"Intellectual Property") used or to be used in the business of the Company as
presently conducted or contemplated. All of the rights of the Company in such
Intellectual Property are freely transferable. There are no claims or demands of
any other person pertaining to any of such Intellectual Property and no
proceedings have been instituted, or are pending or, to the knowledge of the
Company or any Primary Party, are threatened, which challenge the rights of the
Company in respect thereof. Except as described in Schedule 2.16(a), the Company
has the right to use, free and clear of claims or rights of other persons, all
customer lists, designs, manufacturing or other processes, computer software,
systems, data compilations, research results and other information required for
or incident to its products or its business as presently conducted or
contemplated.

                  (b)      All patents, patent applications, trademarks,
trademark applications and registrations and registered copyrights which are
owned by or licensed to the Company or used or to be used by the Company in its
business as presently conducted or contemplated, and all other items of
Intellectual Property which are material to the business or operations of the
Company, are listed in Schedule 2.16(b). All of such patents, patent
applications, trademark registrations, trademark applications and registered
copyrights have been duly registered in, filed in or issued by the United States
Patent and Trademark Office, the United States Register of Copyrights, or the
corresponding offices of other jurisdictions as identified on said Schedule, and
have been properly maintained and renewed in accordance with all applicable
provisions of law and administrative regulations of the United States and each
such jurisdiction.

                  (c)      All licenses or other agreements under which the
Company is granted rights in Intellectual Property are listed in Schedule
2.16(c). All said licenses or other agreements are in full force and effect,
there is no material default by any party thereto, and, except as set forth on
Schedule 2.16(c), all of the rights of the Company thereunder will continue in
full force and effect upon consummation of the transactions contemplated hereby.
To the knowledge of the Company or any Primary Party, the licensors under said
licenses and other agreements have and had all requisite power and authority to
grant the rights purported to be conferred thereby. True and complete copies of
all such licenses or other agreements, and any amendments thereto, have been
provided to Buyer.

                  (d)      All licenses or other agreements under which the
Company has granted rights to others in Intellectual Property owned or licensed
by the Company are listed in Schedule 2.16(d). All of said licenses or other
agreements are in full force and effect, there is no material default by any
party thereto, and, except as set forth on Schedule 2.16(d), all of the rights
of Company thereunder will continue in full force and effect upon consummation
of the

                                       17
<PAGE>   23

transactions contemplated hereby. True and complete copies of all such licenses
or other agreements, and any amendments thereto, have been provided to Buyer.

                  (e)      The Company has taken all steps required in
accordance with sound business practice to establish and preserve its ownership
of all material Intellectual Property rights with respect to its products,
services and technology. The Company has not made any valuable non-public
information of the Company available to any person other than employees of
Company except pursuant to written agreements requiring the recipients to
maintain the confidentiality of such information and appropriately restricting
the use thereof. Neither the Company nor any Primary Party has any knowledge of
any infringement by others of any material Intellectual Property rights of the
Company.

                  (f)      The present and contemplated business, activities and
products of the Company do not infringe any Intellectual Property of any other
person. No proceeding charging the Company with infringement of any adversely
held Intellectual Property has been filed or is threatened to be filed. To the
knowledge of the Company or any Primary Party, there exists no unexpired patent
or patent application which includes claims that would be infringed by or
otherwise adversely affect the products, activities or business of the Company.
The Company is not making unauthorized use of any confidential information or
trade secrets of any person, including without limitation, to the knowledge of
the Company or any Primary Party, any former employer of any past or present
employee of Company. Except as set forth in Schedule 2.16(f), neither the
Company nor, to the knowledge of the Company or any Primary Party, any of its
employees have any agreements or arrangements with any persons other than the
Company related to confidential information or trade secrets of such persons or
restricting any such employee's ability to engage in business activities of any
nature. The activities of its employees on behalf of the Company do not violate
any such agreements or arrangements known to the Company or any Primary Party.

         2.17     Year 2000.

                  (a)      (i) The Company has (x) undertaken a comprehensive
         and detailed inventory, review and assessment of all areas within its
         business and operations to address the "Year 2000 Problem" (i.e., the
         risk that applications used by the Company or its suppliers and/or
         providers may be unable to recognize and properly perform
         date-sensitive functions involving certain dates prior to and any date
         on or after January 1, 2000), (y) developed a detailed plan and time
         line for becoming Year 2000 Compliant on a timely basis, and (z) to
         date, implemented that plan in accordance with its timetable in all
         material respects;

                           (ii) The Company's Year 2000 program includes
         feasible contingency plans to ensure in all material respects
         uninterrupted and unimpaired business operation, including liquidity
         needs, in the event of its own or a third party's failure to be Year
         2000 Compliant;

                                       18
<PAGE>   24

                           (iii) The Company has made written inquiry of each of
         its Key Vendors and material Customers as to whether such persons will,
         on a timely basis, be Year 2000 Compliant in all material respects and
         on the basis of such inquiry believes that all such persons will be so
         compliant; and

                           (iv) The Company reasonably believes that the Year
         2000 Problem will not have any material adverse effect on the business,
         operations, liquidity or prospects of the Company.

                  (b)      For purposes of this Section:

                           (i) "Four Digit Year Format" means a format that
         allows entry or processing of a four digit date where the first two
         digits will designate the century and the second two digits will
         designate the year within the century;

                           (ii) "Key Vendors" means vendors of the Company whose
         business failure, individually or in the aggregate, could reasonably be
         expected to result in a Material Adverse Effect;

                           (iii) "Leap Year" means any year during which an
         extra day is added in February (the year 2000 is a Leap Year); and

                           (iv) "Year 2000 Compliant" means with respect to the
         operations of the Company or third parties, that all
         computer-controlled processes, electronic communications interfaces,
         software, hardware, machinery, equipment, programs, and tools operate
         for all date-sensitive functions before, on or after January 1, 2000
         consistently, predictably, accurately and unambiguously, without
         interruption or manual intervention.

         2.18     Contracts. Except for contracts, commitments, plans,
agreements and licenses referred to in Schedule 2.18 (true and complete copies
of which have been delivered to Buyer), the Company is not a party to nor
subject to:

                  (a)      any agreement for the sale, lease or other
disposition of products or other assets not made in the ordinary course of
business;

                  (b)      any plan or contract providing for bonuses, pensions,
options, stock purchases, deferred compensation, retirement payments, profit
sharing, collective bargaining or the like, or any contract or agreement with
any labor union;

                                       19
<PAGE>   25

                  (c)      any employment contract or contract for services
which requires the payment of more than $25,000 annually or which is not
terminable within 30 days by the Company without liability for any penalty or
severance payment;

                  (d)      any contract or agreement for the purchase of any
commodity, material or equipment except purchase orders in the ordinary course
for less than $5,000 each, such orders not exceeding $20,000 in the aggregate;

                  (e)      any other contracts or agreements creating any
obligations of the Company of $5,000 or more on an individual basis or $20,000
or more on an aggregate basis, with respect to any such contract or agreement
not specifically disclosed elsewhere under this Agreement;

                  (f)      any contract or agreement providing for the purchase
of all or substantially all of its requirements of a particular product from a
supplier;

                  (g)      any contract or agreement which by its terms does not
terminate or is not terminable without penalty by the Company or its successors
within one year after the date hereof;

                  (h)      any contract or arrangement with any sales agent or
distributor;

                  (i)      any contract containing covenants limiting the
freedom of the Company to compete in any line of business or with any person or
entity;

                  (j)      any contract or agreement for the purchase of any
fixed asset;

                  (k)      any license agreement (as licensor or licensee);

                  (l)      any indenture, mortgage, promissory note, loan
agreement, guaranty or other agreement or commitment for the borrowing of money;
or

                  (m)      any contract or agreement with any officer, employee,
director or stockholder of the Company or with any persons or organizations
controlled by or affiliated with the Company.

         The Company is not in default in any material respect under any such
contracts, commitments, plans, agreements or licenses described in said Schedule
(individually a "Contract" and collectively the "Contracts") and to the
knowledge of the Company or any Primary Party, there are no conditions or facts
which with notice or passage of time, or both, would constitute a default,
except where any such default could not reasonably be expected to, individually
or in the aggregate, have a Material Adverse Effect. Each of the Contracts is
valid and in full force and effect, and will be enforceable by the Company
against the other

                                       20
<PAGE>   26

party thereto in accordance with its terms, except for any non-competition
provision or agreement limiting the freedom of any party thereto to compete in
any line of business or with any person or entity, the benefits of which run to
the Company, the enforceability of which may be limited by the principles
governing the availability of equitable remedies.

         2.19     Litigation. Schedule 2.19 hereto lists all currently pending
litigation and governmental or administrative proceedings or investigations to
which the Company is a party. Except for matters described in Schedule 2.19,
there is no litigation or governmental or administrative proceeding or
investigation pending or, to the knowledge of the Company, any Primary Party or
the Stockholder, threatened against the Company or its affiliates and (b) there
is no litigation or governmental or administrative proceeding or investigation
pending or, to the knowledge of the Company, or any Primary Party, threatened
against the Stockholder or any Primary Party relating to the business of the
Company which may have any adverse effect on the properties, assets, prospects,
financial condition or business or prospects of the Company or which would
prevent or hinder the consummation of the transactions contemplated by this
Agreement. With respect to each matter set forth therein, Schedule 2.19 sets
forth a description of the matter, the forum (if any) in which it is being
conducted, the parties thereto and the type and amount of relief sought. There
are no existing or, to the knowledge of the Company or any Primary Party,
threatened product liability, warranty or other similar claims, or any facts
upon which a material claim of such nature could be based, against the Company
for products or services which are defective or fail to meet any product or
service warranties except as disclosed in Schedule 2.19 hereto. Except as
disclosed in Schedule 2.19, no claim has been asserted against the Company for
renegotiation or price redetermination of any business transaction, and there
are no facts upon which any such claim could be based.

         2.20     Compliance with Laws. Except as set forth in Schedule 2.20
hereto, the Company is in compliance in all material respects with all
applicable statutes, ordinances, orders, judgements, decrees, rules and
regulations promulgated by any federal, state, municipal entity, agency, court
or other governmental authority which apply to the Company or to the conduct of
its business, and the Company has not received notice of a violation or alleged
violation of any such statute, ordinance, order, rule or regulation.

         2.21     Insurance. The physical properties and assets of the Company
are insured to the extent disclosed in Schedule 2.21 attached hereto and all
such insurance policies and arrangements are disclosed in said Schedule. Said
insurance policies and arrangements are in full force and effect, all premiums
with respect thereto are currently paid, and the Company is in compliance in all
material respects with the terms thereof. Said insurance is adequate and
customary for the business engaged in by the Company and is sufficient for
compliance by the Company with all requirements of law and all agreements and
leases to which the Company is a party.

         2.22     Powers of Attorney. Neither the Company nor the Stockholder
has granted to any other person or entity any outstanding power of attorney.

                                       21
<PAGE>   27

         2.23     Finder's Fee. The Company has not incurred or become liable
for any broker's commission or finder's fee relating to or in connection with
the transactions contemplated by this Agreement.

         2.24     Permits; Burdensome Agreements. Schedule 2.24 lists all
permits, registrations, licenses, franchises, certifications and other approvals
(collectively, the "Approvals") required from federal, state or local
authorities in order for the Company to conduct its business. Except as set
forth in Schedule 2.24, the Company has obtained all such Approvals, which are
valid and in full force and effect, and is operating in compliance in all
material respects therewith. Such Approvals include, but are not limited to,
those required under federal, state, or local statutes, ordinances, orders,
requirements, rules, regulations, or laws pertaining to environmental
protection, public health and safety, worker health and safety, buildings,
highways or zoning. Except as disclosed in Schedule 2.24, the Company is not
subject to or bound by any agreement, judgment, decree or order which may
materially and adversely affect its business or prospects, its condition,
financial or otherwise, or any of its assets or properties.

         2.25     Corporate Records; Copies of Documents. The corporate record
books of the Company accurately record all corporate action taken by its
stockholders and board of directors and committees. The copies of the corporate
records of the Company, as made available to Buyer for review, are true and
complete copies of the originals of such documents. The Company has made
available for inspection and copying by Buyer and its counsel true and correct
copies of all documents referred to in this Section or in the Schedules
delivered to Buyer pursuant to this Agreement.

         2.26     Transactions with Interested Persons. Except as set forth in
Schedule 2.26 hereto, neither the Company nor the Stockholder or any Primary
Party, officer, supervisory employee or director of the Company nor, to the
knowledge of the Company or any Primary Party, any of their respective spouses
or family members, owns directly or indirectly on an individual or joint basis
any material interest in, or serves as an officer or director or in another
similar capacity of, any competitor or supplier of Company, or any organization
which has a material contract or arrangement with the Company.

         2.27     Employee Benefit Programs.

                  (a)      Schedule 2.27 sets forth a list of every Employee
Program that has been maintained by the Company or an Affiliate (including,
without limitation, any entity or business which the Company has acquired by
asset purchase, stock purchase, merger, consolidation or other similar
transaction) at any time during the six-year period ending on the Closing Date.

                                       22
<PAGE>   28

                  (b)      Each Employee Program which has ever been maintained
by the Company or an Affiliate and which has been intended to qualify under
Section 401(a) or 501(c)(9) of the Code has received a favorable determination
or approval letter from the IRS regarding its qualification under such section
and has, in fact, been qualified under the applicable section of the Code from
the effective date of such Employee Program through and including the Closing
Date (or, if earlier, the date that all of such Employee Program's assets were
distributed). No event or omission has occurred which would cause any such
Employee Program to lose its qualification or otherwise fail to satisfy the
relevant requirements to provide tax-favored benefits under the applicable Code
Section (including without limitation Code Sections 105, 125, 401(a) and
501(c)(9)). Each asset held under any such Employee Program may be liquidated or
terminated without the imposition of any redemption fee, surrender charge or
comparable liability. No partial termination (within the meaning of Section
411(d)(3) of the Code) has occurred with respect to any Employee Program.

                  (c)      Neither the Company nor any Affiliate knows, nor
should any of them reasonably know, of any failure of any party to comply with
any laws applicable with respect to the Employee Programs that have ever been
maintained by the Company or any Affiliate. With respect to any Employee Program
ever maintained by the Company or any Affiliate, there has been no (i)
"prohibited transaction," as defined in Section 406 of the Employee Retirement
Income Security Act of 1974, as amended ("ERISA") or Code Section 4975, (ii)
failure to comply with any provision of ERISA, other applicable law, or any
agreement, or (iii) non-deductible contribution, which, in the case of any of
(i), (ii), or (iii), could subject the Company or any Affiliate to liability
either directly or indirectly (including, without limitation, through any
obligation of indemnification or contribution) for any damages, penalties, or
taxes, or any other loss or expense. No litigation or governmental
administrative proceeding (or investigation) or other proceeding (other than
those relating to routine claims for benefits) is pending or threatened with
respect to any such Employee Program. All payments and/or contributions required
to have been made (under the provisions of any agreements or other governing
documents or applicable law) with respect to all Employee Programs ever
maintained by the Company or any Affiliate, for all periods prior to the Closing
Date, either have been made or have been accrued (and all such unpaid but
accrued amounts are described on Schedule 2.27).

                  (d)      Neither the Company nor any Affiliate has incurred
any liability under Title IV of ERISA which has not been paid in full prior to
the Closing. There has been no "accumulated funding deficiency" (whether or not
waived) with respect to any Employee Program ever maintained by the Company or
any Affiliate and subject to Code Section 412 or ERISA Section 302. With respect
to any Employee Program maintained by the Company or any Affiliate and subject
to Title IV of ERISA, there has been no (nor will there be any as a result of
the transactions contemplated by this Agreement) (i) "reportable event," within
the meaning of ERISA Section 4043 or the regulations thereunder, for which the
notice requirement is not waived by the regulations thereunder, and (ii) event
or condition which presents a material risk of a plan termination or any other
event that may cause the Company

                                       23
<PAGE>   29

or any Affiliate to incur liability or have a lien imposed on its assets under
Title IV of ERISA. Except as described in Schedule 2.27(d), no Employee Program
maintained by the Company or any Affiliate and subject to Title IV of ERISA
(other than a Multiemployer Plan) has any "unfunded benefit liabilities" within
the meaning of ERISA Section 4001(a)(18), as of the Closing Date. Neither the
Company nor any Affiliate has ever maintained a Multiemployer Plan. None of the
Employee Programs ever maintained by the Company or any Affiliate has ever
provided health care or any other non-pension benefits to any employees after
their employment is terminated (other than as required by part 6 of subtitle B
of title I of ERISA) or has ever promised to provide such post-termination
benefits.

                  (e)      With respect to each Employee Program maintained by
the Company within the six years preceding the Closing Date, complete and
correct copies of the following documents (if applicable to such Employee
Program) have previously been delivered to Buyer: (i) all documents embodying or
governing such Employee Program, and any funding medium for the Employee Program
(including, without limitation, trust agreements) as they may have been amended
to the date hereof; (ii) the most recent IRS determination or approval letter
with respect to such Employee Program under Code Section 401(a) or 501(c)(9),
and any applications for determination or approval subsequently filed with the
IRS; (iii) the six most recently filed IRS Forms 5500, with all applicable
schedules and accountants' opinions attached thereto; (iv) the six most recent
actuarial valuation reports completed with respect to such Employee Program; (v)
the summary plan description for such Employee Program (or other descriptions of
such Employee Program provided to employees) and all modifications thereto; (vi)
any insurance policy (including any fiduciary liability insurance policy or
fidelity bond) related to such Employee Program; (vii) any registration
statement or other filing made pursuant to any federal or state securities law
and (viii) all correspondence to and from any state or federal agency within the
last six years with respect to such Employee Program.

                  (f)      Each Employee Program required to be listed on
Schedule 2.27 may be amended, terminated, or otherwise modified by the Company
to the greatest extent permitted by applicable law, including the elimination of
any and all future benefit accruals under any Employee Program and no employee
communications or provision of any Employee Program document has failed to
effectively reserve the right of the Company or the Affiliate to so amend,
terminate or otherwise modify such Employee Program.

                  (g)      Each Employee Program maintained by the Company
(including each non-qualified deferred compensation arrangement) as of any date
on or after January 1, 1993 has been maintained in compliance with all
applicable requirements of federal and state securities laws including (without
limitation, if applicable) the requirements that the offering of interests in
such Employee Program be registered under the Securities Act of 1933, as
amended, and/or state "Blue Sky" laws.

                  (h)      Each Employee Program maintained by the Company or an
Affiliate as of any date on or after January 1, 1993 has complied with the
applicable notification and other

                                       24
<PAGE>   30

applicable requirements of the Consolidated Omnibus Budget Reconciliation Act of
1985, Health Insurance Portability and Accountability Act of 1996, the Newborns'
and Mothers' Health Protection Act of 1996, the Mental Health Parity Act of 1996
and the Women's Health and Cancer Rights Act of 1998.

                  (i)      For purposes of this section:

                           (i) "Employee Program" means (A) all employee benefit
                  plans within the meaning of ERISA Section 3(3), including, but
                  not limited to, multiple employer welfare arrangements (within
                  the meaning of ERISA Section 3(40)), plans to which more than
                  one unaffiliated employer contributes and employee benefit
                  plans (such as foreign or excess benefit plans) which are not
                  subject to ERISA; (B) all stock option plans, stock purchase
                  plans, bonus or incentive award plans, severance pay policies
                  or agreements, deferred compensation agreements, supplemental
                  income arrangements, vacation plans, and all other employee
                  benefit plans, agreements, and arrangements (including any
                  informal arrangements) not described in (A) above, including
                  without limitation, any arrangement intended to comply with
                  Code Section 120, 125, 127, 129 or 137; and (C) all plans or
                  arrangements providing compensation to employee and
                  non-employee directors. In the case of an Employee Program
                  funded through a trust described in Code Section 401(a) or an
                  organization described in Code Section 501(c)(9), or any other
                  funding vehicle, each reference to such Employee Program shall
                  include a reference to such trust, organization or other
                  vehicle.

                           (ii) An entity "maintains" an Employee Program if
                  such entity sponsors, contributes to, or provides benefits
                  under or through such Employee Program, or has any obligation
                  (by agreement or under applicable law) to contribute to or
                  provide benefits under or through such Employee Program, or if
                  such Employee Program provides benefits to or otherwise covers
                  employees of such entity (or their spouses, dependents, or
                  beneficiaries).

                           (iii) An entity is an "Affiliate" of the Company if
                  it would have ever been considered a single employer with the
                  Company under ERISA Section 4001(b) or part of the same
                  "controlled group" as the Company for purposes of ERISA
                  Section 302(d)(8)(C).

                           (iv) "Multiemployer Plan" means an employee pension
                  or welfare benefit plan to which more than one unaffiliated
                  employer contributes and which is maintained pursuant to one
                  or more collective bargaining agreements.

                                       25
<PAGE>   31

         2.28     Environmental Matters.

                  (a)      Except as set forth in Schedule 2.28 hereto, (i) the
Company has never generated, transported, used, stored, treated, disposed of, or
managed any Hazardous Waste (as defined below); (ii) no Hazardous Material (as
defined below) has ever been or is threatened to be spilled, released, or
disposed of at any site presently or formerly owned, operated, leased, or used
by the Company, or has ever been located in the soil or groundwater at any such
site; (iii) no Hazardous Material has ever been transported from any site
presently or formerly owned, operated, leased, or used by the Company for
treatment, storage, or disposal at any other place; (iv) the Company does not
presently own, operate, lease, or use, nor has it previously owned, operated,
leased, or used any site on which underground storage tanks are or were located;
and (v) no lien has ever been imposed by any governmental agency on any
property, facility, machinery, or equipment owned, operated, leased, or used by
the Company in connection with the presence of any Hazardous Material.

                  (b)      Except as set forth in Schedule 2.28 hereto, (i) the
Company has no liability under, nor has it ever violated, any Environmental Law
(as defined below) except as could not, individually or in the aggregate, have a
Material Adverse Effect; (ii) the Company, any property owned, operated, leased,
or used by the Company, and any facilities and operations thereon, are presently
in compliance in all material respects with all applicable Environmental Laws;
(iii) the Company has never entered into or been subject to any judgment,
consent decree, compliance order, or administrative order with respect to any
environmental or health and safety matter or received any request for
information, notice, demand letter, administrative inquiry, or formal or
informal complaint or claim with respect to any environmental or health and
safety matter or the enforcement of any Environmental Law; and (iv) to the
knowledge of the Company or any Primary Party, the Company does not have any
reason to believe that any of the items enumerated in clause (iii) of this
subsection will be forthcoming.

                  (c)      Except as set forth in Schedule 2.28 hereto, no site
owned, operated, leased, or used by the Company contains any asbestos or
asbestos-containing material, any polychlorinated biphenyls (PCBs) or equipment
containing PCBs, or any urea formaldehyde foam insulation.

                  (d)      The Company has provided to Buyer copies of all
documents, records, and information available to the Company concerning any
environmental or health and safety matter relevant to the Company, whether
generated by the Company, or others, including without limitation, environmental
audits, environmental risk assessments, site assessments, documentation
regarding off-site disposal of Hazardous Materials, spill control plans, and
reports, correspondence, permits, licenses, approvals, consents, and other
authorizations related to environmental or health and safety matters issued by
any governmental agency.

                  (e)      For purposes of this Section 2.28, (i) "Hazardous
Material" shall mean and include any hazardous waste, hazardous material,
hazardous substance, petroleum product, oil, toxic substance, pollutant,
contaminant, or other substance which may pose a threat to the

                                       26
<PAGE>   32

environment or to human health or safety, as defined or regulated under any
Environmental Law; (ii) "Hazardous Waste" shall mean and include any hazardous
waste as defined or regulated under any Environmental Law; (iii) "Environmental
Law" shall mean any environmental or health and safety-related law, regulation,
rule, ordinance, or by-law at the foreign, federal, state, or local level,
whether existing as of the date hereof, previously enforced, or subsequently
enacted; and (iv) "Company" shall mean and include the Company, and all other
entities for whose conduct the Company is or may be held responsible under any
Environmental Law. The above definition notwithstanding, "Hazardous Materials"
shall not include consumer products used for cleaning or housekeeping purposes,
so long as such materials are used for their intended purpose and in accordance
with applicable laws.

         2.29 List of Directors, Officers and Employees. Schedule 2.29 hereto
contains a true and complete list of all current directors and officers of the
Company. In addition, Schedule 2.29 hereto contains a list of all managers,
employees and consultants of the Company, in each case such Schedule includes
the current job title and aggregate annual compensation of each such individual.

         2.30 Employees; Labor Matters. The Company employs a total of 68
full-time employees and 13 part-time employees and generally enjoys good
employer-employee relationships. The Company is not delinquent in payments to
any of its employees for any wages, salaries, commissions, bonuses or other
direct compensation for any services performed for it to the date hereof or
amounts required to be reimbursed to such employees. Upon termination of the
employment of any of said employees, neither the Company nor Buyer will by
reason of the transactions contemplated under this Agreement or anything done
prior to the Closing be liable to any of said employees for so-called "severance
pay" or any other payments (other than with respect to accrued, unpaid vacation
benefits). The Company has no policy, practice, plan or program of paying
severance pay or any form of severance compensation in connection with the
termination of employment. The Company is in compliance with all applicable laws
and regulations respecting labor, employment, fair employment practices, work
place safety and health, terms and conditions of employment, and wages and
hours. There are no charges of employment discrimination or unfair labor
practices, nor are there any strikes, slowdowns, stoppages of work, or any other
concerted interference with normal operations which are existing, pending or, to
the knowledge of the Company or any Primary Party, threatened against or
involving the Company. No question concerning representation exists respecting
any employees of the Company. There are no grievances, complaints or charges
that have been filed against the Company under any dispute resolution procedure
(including, but not limited to, any proceedings under any dispute resolution
procedure under any collective bargaining agreement) that might have an adverse
effect on the Company or the conduct of its business, and there is no
arbitration or similar proceeding pending and no claim therefor has been
asserted. No collective bargaining agreement is in effect or is currently being
or is about to be negotiated by the Company. The Company has not received any
information indicating that any of its employment policies or practices is
currently being audited or investigated by any federal, state or local
government

                                       27
<PAGE>   33

agency. The Company is, and at all times since November 6, 1986 has been, in
compliance with the requirements of the Immigration Reform Control Act of 1986.

         2.31 Principals.

                  (a) The list of the Company's Principals and the aggregate
brokerage commission revenues received by the Company during the twelve-month
period ended September 30, 1998 from each such Principal, attached hereto as
Schedule 2.31(a), is true, correct and complete. The Company has delivered to
Buyer true and complete copies of all written brokerage agreements and/or
letters of appointment with or from all of the Company's Principals in effect as
of the date of this Agreement. Set forth on Schedule 2.31(a) is a list of all
other agreements and documents with or involving any person or entity and
relating to financial obligations of the Company with respect to commissions or
other payments received by the Company (or an affiliate of the Company) from
Principals. Except as set forth on Schedule 2.31(a), since September 30, 1998,
the Company has had no commitment, understanding or agreement with any Principal
or any other person or entity relating to payments to be made by the Company to
any person or entity computed in whole or in part with respect to sales of or
commissions paid or to be paid by any Principal.

                  (b) Except as set forth on Schedule 2.31(b), the Company is
not currently, and since September 30, 1998 has not been, subject to any notice
of probation from any Principal. Except as set forth on Schedule 2.31(b), since
September 30, 1998, the Company has not received any oral or written
communication from any Principal which places the Company on probation or
otherwise suggests, threatens or implies possible termination of the Company's
appointment as broker for such Principal, any reduction in the commission rate
paid to the Company or any reduction as to the geographic area, Customers or
products represented by the Company, conditionally or unconditionally.

                  (c) To the knowledge of the Company or any Primary Party, no
Principal intends to, or is considering, amending the terms of the Company's
brokerage agreement with such Principal in order to reappoint, or continue the
appointment of, the Company as broker with respect to a lesser portion of the
applicable territory than the greatest portion of such area in which, or with
respect to fewer than the greatest number of product items or Customers than,
the Company acted as broker for such Principal during the twelve-month period
ended September 30, 1998, or at a lower commission rate than the highest rate
paid by such Principal to the Company with respect to sales during such period.
The relationships of the Company with its Principals are good commercial working
relationships.

                  (d) Except as set forth on Schedule 2.31, there are, and since
September 30, 1998 there have been, no disputes or claims (i) between the
Company and any Principal, (ii) between the Company and any Customer, or (iii)
to the knowledge of the Company, between any Principal and any Customer. As used
in this Section 2.31(d), the terms "disputes" or "claims" shall mean (A) matters
which, to the knowledge of the Company or any Primary

                                       28
<PAGE>   34

Party, have been referred to counsel or are the subject of litigation, or (B)
matters as to which a Principal has threatened to seek recourse against the
Company, or may be reasonably expected to seek recourse against the Company, if
such matter is not resolved to the satisfaction of such Principal.

                  (e) With respect to all Principals (i) which, since September
30, 1997, have terminated such party's brokerage relationship with the Company
or (ii) which, since September 30, 1997, have reduced or otherwise adversely
modified the geographic territory in which the Company acts as broker or the
product item(s) represented by the Company or (iii) from which, since September
30, 1997, the Company has resigned, in whole or in part, its representation as a
food broker, Schedule 2.31(e) sets forth (A) the name of such Principal and the
effective date of such termination, reduction or resignation and (B) the
Company's estimated annualized commission revenues from each such Principal for
the twelve months ending May 31, 2000 in the absence of such modification,
termination or resignation, which estimates were reasonable when made and
continue to be reasonable.

                  (f) With respect to all Principals which, since September 30,
1997, have entered into a brokerage relationship with the Company, or have
substantially increased an existing brokerage relationship with the Company,
Schedule 2.31(f) sets forth (i) the name of such Principal and the date on which
such Principal entered into a brokerage agreement with the Company and (ii) the
Company's estimated annualized commission revenues attributable to such
Principal for the twelve months ending May 31, 2000, which estimates were
reasonable when made and continue to be reasonable.

         2.32 Absence of Improper Payments. Since December 31, 1988, the
Company: (a) has not made any contributions, payments or gifts of its property
to or for the private use of any governmental official, employee or agent where
either the payment or the purpose of such contribution, payments or gift is
illegal under the laws of the United States, any state thereof or any other
jurisdiction (foreign or domestic), (b) has not established or maintained any
unrecorded fund or asset for any purpose, or made any false or artificial
entries on its books or records for any reason, (c) has not made any payments to
any person where the Company intended or understood that any part of such
payment was to be used for any other purpose other than that described in the
documents supporting the payment, (d) has not made any contribution, or
reimbursed any political gift or contribution made by any other person, to
candidates for public office, whether federal, state or local, where such
contribution would be in violation of applicable law or (e) has not misused,
misapplied or improperly handled, administered or managed market development or
promotional funds or market development or promotional fund accounts in any
material respect.

         2.33 Transfer of Shares. Except as set forth on Schedule 2.33, no
holder of stock of the Company has at any time transferred any of such stock to
any employee of the Company, which transfer constituted or could be viewed as
compensation for services rendered to the Company by said employee.

                                       29
<PAGE>   35

         2.34 Stock Repurchase. Except as set forth on Schedule 2.34, the
Company has not redeemed or repurchased, or entered into any written or oral
agreement to redeem or repurchase, any of its capital stock.

         2.35 Disclosure. The representations, warranties and statements
contained in this Agreement and in the agreements, documents, instruments,
certificates, exhibits and schedules delivered by the Company pursuant to this
Agreement to Buyer do not contain any untrue statement of a material fact, and,
when taken together, do not omit to state a material fact required to be stated
therein or necessary in order to make such representations, warranties or
statements not misleading in light of the circumstances under which they were
made. To the knowledge of the Company or any Primary Party, there are no facts
which presently or may in the future, individually or in the aggregate, have a
Material Adverse Effect on the Company which have not been specifically
disclosed herein or in a Schedule furnished herewith, other than general
economic conditions affecting the industries in which the Company operates.

SECTION 3. COVENANTS OF THE COMPANY, THE STOCKHOLDER AND THE PRIMARY PARTIES.

         3.1 Making of Covenants and Agreements. The Company, the Stockholder
and each Primary Party jointly and severally hereby make the covenants and
agreements set forth in this Section 3 and the Stockholder and each Primary
Party agrees to cause the Company to comply with such agreements and covenants.

         3.2 Cooperation. The Company, the Stockholder and each Primary Party
shall cooperate with all reasonable requests of the Buyer or any of its
representatives and agents to more effectively consummate the transactions
contemplated hereby and the transactions referred to herein.

         3.3 Consents. The Company shall obtain or cooperate with the Buyer in
obtaining all consents, authorizations and approvals of third parties including,
without limitation, any requisite consent of any governmental authorities,
regulatory agencies and other entities necessary in connection with the
consummation of the transactions contemplated hereby or referred to herein.

         3.4 Notice of Default. Promptly upon the occurrence of, or promptly
upon the Company, the Stockholder or any Primary Party becoming aware of the
impending or threatened occurrence of, any event which would cause or constitute
a breach or default, or would have caused or constituted a breach or default had
such event occurred or been known to the Company, the Stockholder or any Primary
Party prior to the date hereof, of any of the representations, warranties or
covenants of the Company, the Stockholder or any Primary Party contained in or
referred to in this Agreement or in any Schedule or Exhibit referred to in this
Agreement, the Company, the Stockholder or such Primary Party shall give
detailed written

                                       30
<PAGE>   36

notice thereof to the Buyer and the Company, the Stockholder or such Primary
Party shall use its or his reasonable best efforts to prevent or promptly remedy
the same.

         3.5 Conduct of Business. Except as contemplated by this Agreement or as
is necessary to effectuate the transactions contemplated hereby, between the
date of this Agreement and the Closing Date, the Company shall, the Stockholder
and each Primary Party shall cause the Company to:

                  (a) Conduct its business in the ordinary course and refrain
from changing or introducing any method of management or operations except in
the ordinary course of business consistent with prior practices;

                  (b) Refrain from making any change or incurring any obligation
to make a change in its Articles of Incorporation, Code of Regulations or
authorized or issued capital stock;

                  (c) Refrain from declaring, setting aside or paying any
dividend, making any other distribution in respect of its capital stock or
making any direct or indirect redemption, purchase or other acquisition of its
stock;

                  (d) Refrain from making any purchase, sale or disposition of
any asset or property costing more than $5,000 individually or $20,000 in the
aggregate other than in the ordinary course of business, from purchasing any
capital asset for use in the business costing more than $5,000 individually or
$20,000 in the aggregate and from mortgaging, pledging, subjecting to a lien or
otherwise encumbering any of the assets of the Company other than in the
ordinary course of business.

                  (e) Refrain from incurring or assuming any liability,
obligation or indebtedness for borrowed money in an aggregate amount in excess
of $5,000 incurring or assuming any contingent liability as a guarantor or
otherwise with respect to the obligations of others, and from incurring any
other contingent or fixed obligations or liabilities except in the ordinary
course of business;

                  (f) Refrain from canceling any material indebtedness owed to
the Company or waiving any claims or rights of substantial value, other than in
the ordinary course of business consistent with past practice;

                  (g) Refrain from making any change in the compensation payable
or to become payable to any of its officers, employees, agents or independent
contractors except in connection with promotions made, or bonuses paid, in the
ordinary course of business consistent with past practices;

                  (h) Refrain from adopting or amending any Employee Program or
collective bargaining agreement, except as may be required by law;

                                       31
<PAGE>   37

                  (i) Refrain from prepaying loans (if any) from its
shareholders, officers or directors or making any change in such borrowing
arrangements;

                  (j) Refrain from making any change in any method of accounting
or accounting practice or policy other than those required by GAAP;

                  (k) Use its commercially reasonable efforts consistent with
its prior business practices to prevent any change with respect to its
management and supervisory personnel and banking arrangements;

                  (l) Use its commercially reasonable efforts consistent with
its past practices to keep intact its business organizations, to keep available
its present employees and to preserve the goodwill of all suppliers, customers
and others having business relations with it in connection with the Company;

                  (m) Have in effect and maintain at all times all insurance of
the kind described in Section 2.21 above or equivalent insurance with any
substitute insurers;

                  (n) Maintain its properties, facilities, equipment and other
assets in as good working order and condition as of the date of this Agreement,
ordinary wear and tear excepted;

                  (o) Perform all its material obligations under debt and lease
instruments and all other agreements relating to or affecting its assets,
properties, equipment and rights;

                  (p) Except as contemplated by Section 3.10 below, refrain from
entering into any new lease agreements other than in the ordinary course of
business without the prior knowledge and written consent of Buyer; and

                  (q) Maintain compliance with all applicable permits, rules,
laws, regulations, consent orders and the like.

         3.6 Acquisition Proposals. Except in connection with the transactions
contemplated hereby unless and until this Agreement shall have been terminated
in accordance with its terms, none of the Company, the Stockholder or any
Primary Party shall cause the Company to (a) take any action to solicit,
initiate submission of or encourage any Acquisition Proposal (as defined below),
(b) participate in any substantive discussions or negotiations regarding an
Acquisition Proposal with any person other than the Buyer and Buyer's
representatives or (c) furnish any information with respect to or afford access
to the properties, books or records of the Company to any person who is known by
the Company, the Stockholder or any Primary Party to be considered making or has
made an offer with respect to an Acquisition Proposal other than the Buyer or
(d) otherwise cooperate in any way with, or assist or participate in, facilitate
or encourage, any effort or attempt by any person other than by the Buyer and
its representatives to

                                       32
<PAGE>   38

do or seek any of the foregoing. The Company, the Stockholder and each Primary
Party shall promptly notify the Buyer upon receipt of any offer or notice that
any person is considering making an offer with respect to an Acquisition
Proposal and shall not accept any such offer for so long as this Agreement
remains in effect. For purposes hereof, an "Acquisition Proposal" shall include
any offer or other proposal to acquire or purchase all or a portion of the
capital stock or any assets of, or any equity interest in, the Company, any
merger or business combination with the Company, any public or private offering
of shares of the capital stock of the Company, or any other acquisition or
financing involving the Company.

         3.7 Transfers of Shares; Voting. Unless and until this Agreement shall
have been terminated, the Stockholder shall not directly or indirectly exchange,
deliver, assign, pledge, encumber or otherwise transfer or dispose of any of the
Company Shares which it holds of, nor shall the Stockholder directly or
indirectly grant any right of any kind to acquire, dispose of, vote or otherwise
control in any manner any Company Shares.

         3.8 Confidentiality. Except as may be required by applicable law, rules
or regulations, the Company, the Stockholder and each Primary Party shall hold
in strict confidence, and will not use, any confidential or proprietary data or
information obtained from Buyer with respect to the Buyer's business or
financial condition except for the purpose of evaluating, negotiating and
completing the transaction contemplated hereby. Information generally known in
the Buyer's industry or which has been disclosed to the Company, the Stockholder
or any Primary Party by third parties which have a right to do so shall not be
deemed confidential or proprietary information for purposes of this Agreement.
If the transaction contemplated by this Agreement is not consummated, the
Company, the Stockholder and each Primary Party will return to the Buyer all
copies of such data and information, including but not limited to financial
information, customer lists, business and corporate records, worksheets, test
reports, tax returns, lists, memoranda, and other documents prepared by or made
available to the Company, the Stockholder or any Primary Party in connection
with the transaction.

         3.9 Tax Returns. The Company, the Stockholder and each Primary Party
shall use its best efforts to cause the Company, in accordance with applicable
law, (i) to promptly prepare and file on or before the due date or any extension
thereof all federal, state and local tax returns required to be filed by them
with respect to taxable periods of the Company that include any period ending on
or before the Closing Date and (ii) to pay all Taxes of the Company shown on
such returns attributable to periods ending on or before the Closing Date.

         3.10 Lease. On or prior to the Closing Date, the Company and James F.
Forkin and Joan M. Forkin shall enter into a Lease in the form attached hereto
as Exhibit B relating to the Company's facility (the "Cleveland Facility")
located at 2265 Enterprise East Parkway, Twinsburg, Ohio 44087 to provide for
the following: (i) the term of such Lease shall be one year, (ii) the rent
payable thereunder shall be $12,500 per month, triple net.

                                       33
<PAGE>   39

         3.11 Consummation of Agreement. The Company, the Stockholder, each
Primary Party and Buyer shall each use its or his best efforts to perform and
fulfill all conditions and obligations on his part to be performed and fulfilled
under this Agreement to the end that the transactions contemplated by this
Agreement be fully carried out.

         3.12 Fees and Expenses. As of the Closing Date, the Stockholder and the
Primary Parties shall have paid, or shall have caused the payment of, all fees
and expenses incurred by or on behalf of any such party arising out of or in
connection with the transactions contemplated by this Agreement including
without limitation all such fees and expenses of attorneys, accountants,
financial advisors and other consultants to the Company; provided that the
Company shall not have paid or reimbursed any party for, any such amount.

SECTION 4. REPRESENTATIONS AND WARRANTIES OF BUYER.

         4.1 Making of Representations and Warranties. As a material inducement
to the Company, the Stockholder and the Primary Parties to enter into this
Agreement and consummate the transactions contemplated hereby, Buyer hereby
makes the representations and warranties to the Company, the Stockholder and the
Primary Parties contained in this Section 4.

         4.2 Organization of Buyer. Buyer is a corporation duly organized,
validly existing and in good standing under the laws of the State of Delaware
with full corporate power to own or lease its properties and to conduct its
business in the manner and in the places where such properties are owned or
leased or such business is conducted by it.

         4.3 Authority of Buyer. Buyer has full right, authority and power to
enter into this Agreement and each agreement, document and instrument to be
executed and delivered by Buyer pursuant to this Agreement and to carry out the
transactions contemplated hereby. The execution, delivery and performance by
Buyer of this Agreement and each such other agreement, document and instrument
have been duly authorized by all necessary corporate action of Buyer and no
other action on the part of Buyer is required in connection therewith. This
Agreement and each other agreement, document and instrument executed and
delivered by Buyer pursuant to this Agreement constitute, or when executed and
delivered will constitute, valid and binding obligations of Buyer enforceable in
accordance with their terms.

         4.4 Litigation. There is no litigation pending or, to the Buyer's
knowledge, threatened against Buyer which would prevent or hinder the
consummation of the transactions contemplated by this Agreement.

         4.5 Finder's Fee. Except for the arrangement between the Buyer and
Monroe & Company, LLC as previously disclosed to the Company, Buyer has not
incurred or become

                                       34
<PAGE>   40

liable for any broker's commission or finder's fee relating to or in connection
with the transactions contemplated by this Agreement.

         4.6 No Conflicts. The execution, delivery and performance by Buyer of
this Agreement and each other agreement contemplated by this Agreement to which
such entity is a party does not and will not with or without the giving of
notice or the lapse of time or both, (a) violate any provision of Buyer's
Certificate of Incorporation, as amended to date, (b) constitute a violation of,
or conflict with or result in any breach of, acceleration of any obligation
under, right of termination under, or default under, any agreement or instrument
to which Buyer is a party or by which either of them is bound, (c) to the
knowledge of Buyer violate any judgment, decree, order, statute, law, rule or
regulation applicable to Buyer (d) except as set forth on Schedule 4.6 attached
hereto, require Buyer to obtain any approval, consent or waiver of, or to make
any filing with, any person or entity (governmental or otherwise) that has not
been obtained or made or (e) result in the creation or imposition of any Lien on
any of property or assets of Buyer.

SECTION 5. COVENANTS OF BUYER.

         5.1 Making of Covenants and Agreements. The Buyer hereby makes to the
Company, the Stockholder and the Primary Parties the covenants and agreements
set forth in this Section 5, and agrees to use reasonable efforts to comply with
and perform all covenants and agreements contained in this Section 5.

         5.2 Consents. The Buyer shall use commercially reasonable efforts to
obtain all consents, authorizations and approvals of third parties including,
without limitation, any requisite consent of any governmental authorities,
regulatory agencies and other entities necessary in connection with the
consummation of the transactions contemplated hereby or referred to herein.

         5.3 Confidentiality. Except as may be required by applicable laws,
rules or regulations, the Buyer shall hold in strict confidence, and will not
use, any confidential or proprietary data or information obtained from the
Company with respect to the Company's business or financial condition except for
the purpose of evaluating, negotiating and completing the transaction
contemplated hereby. Information generally known in the Company's industry or
which has been disclosed to the Buyer by third parties which have a right to do
so shall not be deemed confidential or proprietary information for purposes of
this Agreement. If the transaction contemplated by this Agreement is not
consummated, the Buyer will return to the Company all copies of such data and
information, including but not limited to financial information, customer lists,
business and corporate records, worksheets, test reports, tax returns, lists,
memoranda, and other documents made available to the Buyer in connection with
the transaction.

                                       35
<PAGE>   41

         5.4 Indebtedness.

                  (a) At the time of the Closing, Buyer shall arrange to pay by
federal wire transfer of immediately available funds, in full at all of the
Company's indebtedness for borrowed money, as set forth on Schedule 2.8(e) plus
interest accruing after June 29, 1999.

                  (b) At the time of the Closing, Buyer shall arrange to pay by
check the amount of $26,000 to Donald Anderson ("Mr. Anderson") as payment in
full of all amounts outstanding under that certain Separation Agreement and
Release, dated as of October 14, 1998, by and between Mr. Anderson and the
Company.

         5.5 Release of Guaranty. Buyer shall use its commercially reasonable
efforts to cause Cranberry Corporate Center Partnership ("Cranberry"), owner of
the office space at 260 Executive Drive, Cranberry Township, Pennsylvania, to
release James J. Forkin from his Guaranty dated as of August 8, 1997
guaranteeing, to and for the benefit of Cranberry, the Company's performance of
all obligations under the Lease Agreement between Cranberry and the Company of
August 8, 1997.

SECTION 6. CONDITIONS.

         6.1 Conditions to the Obligations of Buyer. The obligation of Buyer to
consummate this Agreement and the transactions contemplated hereby are subject
to the fulfillment, prior to or at the Closing, of the following conditions
precedent:

                  (a) Representations; Warranties; Covenants. Each of the
representations and warranties of the Company, the Stockholder and each of the
Primary Parties contained in Section 2 shall be true and correct as of the date
of this Agreement and as of the Closing Date as though made on and as of the
Closing; and the Company, the Stockholder and each of the Primary Parties shall,
on or before the Closing, have performed all of their obligations hereunder
which by the terms hereof are to be performed on or before the Closing; each of
the conditions specified in this Section 6.1 shall have been satisfied or waived
(in whole or in part) in writing by the Buyer; and on the Closing Date a
certificate to such effect executed on behalf of each of the Company, the
Stockholder and the Primary Parties shall be delivered to the Buyer.

                  (b) Authorization. The Board of Directors of the Company (the
"Company Board") shall have duly adopted resolutions in form reasonably
satisfactory to the Buyer and shall have taken all action necessary for the
purpose of authorizing the Company to consummate the transactions contemplated
by this Agreement in accordance with the terms thereof.

                  (c) Certificate from Officers. The Company shall have
delivered to Buyer a certificate of the Company's President and Chief Financial
Officer dated as of the Closing to

                                       36
<PAGE>   42

the effect that the statements set forth in paragraph (a) and (b) above in this
Section 6.1 are true and correct.

                  (d) No Material Adverse Change. There shall have been no
material adverse change in the financial condition, properties, assets,
liabilities, operations, business or prospects of the Company since the date of
the Base Balance Sheet, whether or not in the ordinary course of business.

                  (e) Approval of Buyer's Counsel. All actions, proceedings,
instruments and documents required to carry out this Agreement and the
transactions contemplated hereby and all related legal matters contemplated by
this Agreement shall have been reasonably approved by Goodwin, Procter & Hoar
LLP as counsel for Buyer, and such counsel shall have received on behalf of
Buyer such other certificates and other documents in form satisfactory to such
counsel, as Buyer may reasonably require from the Company, the Stockholder and
the Primary Parties to evidence compliance with the terms and conditions hereof
as of the Closing and the correctness as of the Closing of the representations
and warranties of the Stockholder, the Primary Parties and the Company and the
fulfillment of their respective covenants.

                  (f) Opinion of Counsel. On the Closing Date, Buyer shall have
received from Arter & Hadden LLP, counsel for the Company, the Stockholder and
the Primary Parties, an opinion as of said date, substantially in form attached
hereto as Exhibit C.

                  (g) No Litigation. There shall have been no determination by
Buyer, acting in good faith, that the consummation of the transactions
contemplated by this Agreement has become inadvisable or impracticable by reason
of the institution or threat by any person or any federal, state, or other
governmental authority of litigation, proceedings or other action against Buyer,
the Company, the Stockholder or any Primary Party. The transactions contemplated
hereby shall not be in violation of any law or regulation and shall not be
subject to any injunction, stay or restraining order.

                  (h) Consents. The Company, the Stockholder and each of the
Primary Parties shall have made all filings with and notifications of
governmental authorities, regulatory agencies and other entities required to be
made by the Company, the Stockholder or the Primary Parties in connection with
the execution and delivery of this Agreement, the performance of the
transactions contemplated hereby and the continued operation of the business of
the Company by Buyer subsequent to the Closing; and the Company, the
Stockholder, the Primary Parties and Buyer shall have received all
authorizations, waivers, consents and permits, in form and substance reasonably
satisfactory to Buyer, from all third parties, including, without limitation,
applicable governmental authorities, regulatory agencies, lessors, lenders and
contract parties, required to permit the continuation of the business of the
Company and the consummation of the transactions contemplated by this Agreement,
and to avoid a breach, default, termination, acceleration or modification of any
indenture, loan or credit agreement or any other agreement, contract,
instrument, mortgage, lien, lease, permit,

                                       37
<PAGE>   43

authorization, order, writ, judgment, injunction, decree, determination or
arbitration award as a result of, or in connection with, the execution and
performance of this Agreement.

                  (i) Compensation Expense. The aggregate compensation expense
of the Company as of the Closing Date (including, without limitation, expenses
for salary, wages, benefits, bonuses and commissions) shall be in an amount not
in excess of $2,617,866 on an annualized basis.

                  (j) Employment Agreements. Each of the persons identified in
Schedule 6.1 (j) shall have executed and delivered to Buyer an Employment and
Noncompetition Agreement in substantially the form of Exhibit D-1 attached
hereto. In addition, James J. Forkin shall have executed and delivered to Buyer
a Consulting Agreement in substantially the form of Exhibit D-2 attached hereto.

                  (k) Business Relations. Buyer shall be reasonably satisfied
based on personal interviews with the Principals and Customers that such
Principals and Customers intend to continue their current level of business with
the Company after the closing.

                  (l) Employee Programs. The Company shall have taken all steps
necessary under the relevant documents and applicable law to maintain the
qualification of each Employee Program identified on Schedule 2.27
notwithstanding the purchase of the Company Shares by Buyer.

                  (m) Resignations. The Company shall have delivered to Buyer
the resignations of all of the Directors and Officers of the Company, such
resignations to be effective at the Closing.

                  (n) Releases. The Company shall have delivered to Buyer
general releases signed by each of the Primary Parties and Mr. Anderson of all
claims which any of them have against the Company in the form attached here to
as Exhibit E.

                  (o) Lease. The Company shall have delivered to the Buyer a
copy of the Lease executed by the Company and James J. Forkin and Joan M.
Forkin.

                  (p) Due Diligence and Disclosure Schedules. Buyer, in its sole
discretion, shall be satisfied, with the results of its legal, accounting,
business, environmental, title and other due diligence review of the Company.
Buyer, in its sole discretion, shall, be satisfied with the form and substance
of the Disclosure Schedules to this Agreement which shall have been delivered to
Buyer by the Company, the Stockholder and any of the Primary Parties on or prior
to the date hereof.

                                       38
<PAGE>   44

                  (q) Good Standing. At or prior to the Closing, Buyer shall
have received from the Company a certificate of good standing from the Secretary
of State of the State of Ohio and each other jurisdiction in which the Company
is qualified to do business.

                  (r) Qualifications to do Business. At or prior to the Closing,
the Company shall have applied for qualification to do business as a foreign
corporation in the state of New York, and shall be qualified to do business as a
foreign corporation in the commonwealth of Pennsylvania and each other state in
which the nature of the business conducted by the Company or the characteristics
of the assets owned or leased by it make such qualification necessary or
prudent.

         6.2 Conditions to Obligations of the Company and the Stockholder. The
obligation of the Company, the Stockholder and the Primary Parties to consummate
this Agreement and the transactions contemplated hereby is subject to the
fulfillment, prior to or at the Closing, of the following conditions precedent:

                  (a) Representations; Warranties; Covenants. The
representations and warranties of the Buyer contained in this Agreement shall be
true and correct on the date hereof and as of the Closing Date; each of the
conditions specified in this Section 6.2 shall have been satisfied or waived (in
whole or in part) in writing by the Stockholder Representative; and on the
Closing Date a certificate to such effect executed on behalf of the Buyer shall
be delivered to the Stockholder Representative.

                  (b) Approval of the Company's Counsel. All actions,
proceedings, instruments and documents required to carry out this Agreement and
the transactions contemplated hereby and all related legal matters contemplated
by this agreement shall have been approved by Arter & Hadden LLP as counsel for
the Company, the Stockholder and the Primary Parties, and such counsel shall
have received on behalf of the Company, the Stockholder and the Primary Parties
such certificates and other documents, in form satisfactory to such counsel as
the Company may reasonably require from Buyer to evidence compliance with the
terms and conditions hereof as of the Closing and the correctness as of the
Closing of the representations and warranties of Buyer and the fulfillment of
its covenants.

                  (c) Opinion of Counsel. On the Closing Date, the Company, the
Stockholder and the Primary Parties shall have received from Goodwin, Procter &
Hoar LLP, counsel for the Buyer, an opinion as of said date, substantially in
the form attached hereto as Exhibit F.

                  (d) No Litigation. There shall have been no determination by
the Company, acting in good faith, that the consummation of the transactions
contemplated by this Agreement has become inadvisable or impracticable by reason
of the institution or threat by any person or any federal, state or other
governmental authority of material litigation, proceedings or other action
against Buyer, the Company, the Stockholder or any Primary Party. The
transactions

                                       39
<PAGE>   45

contemplated hereby shall not be in violation of any law or regulation, and
shall not be subject to any injunction, stay or restraining order.

SECTION 7. TERMINATION OF AGREEMENT; RIGHTS TO PROCEED.

         7.1 Termination. At any time prior to the Closing, this Agreement may
be terminated as follows:

                  (i) by mutual written consent of all of the parties to this
Agreement;

                  (ii) by Buyer, pursuant to written notice by Buyer to Company,
if any of the conditions set forth in Section 6.1 of this Agreement have not
been satisfied at or prior to the Closing, or if it has become reasonably and
objectively certain that any of such conditions, other than a condition within
the control of Buyer, will not be satisfied at or prior to the Closing, such
written notice to set forth such conditions which have not been or will not be
so satisfied;

                  (iii) by Company, pursuant to written notice by Company to
Buyer, if any of the conditions set forth in Section 6.2 of this Agreement have
not been satisfied at or prior to the Closing, or if it has become reasonably
and objectively certain that any of such conditions, other than a condition
within the control of Company, will not be satisfied at or prior to the Closing,
such written notice to set forth such conditions which have not been or will not
be so satisfied;

                  (iv) by Buyer in its sole discretion, if either the Company or
any representative of the Company solicits, encourages, entertains or discusses
any Acquisition Proposal from any person or any entity other than Buyer; or

                  (v) by Buyer or Company, if the Closing has not occurred on or
prior to July 9, 1999.

         7.2 Effect of Termination. All obligations of the parties hereunder
shall cease upon any termination pursuant to Section 7.1, provided, however,
that (i) the provisions of Section 3.8, this Article 7, Section 11.1 and Section
11.9 hereof shall survive any termination of this Agreement; (ii) nothing herein
shall relieve any party from any liability for a material error or omission in
any of its representations or warranties contained herein or a material failure
to comply with any of its covenants, conditions or agreements contained herein,
and (iii) the parties shall have rights to proceed as further set forth in
Section 7.3 below.

         7.3 Right to Proceed. Anything in this Agreement to the contrary
notwithstanding, if any of the conditions specified in Section 7.1 hereof have
not been satisfied, Buyer shall have the right to proceed with the transactions
contemplated hereby without waiving any of its

                                       40
<PAGE>   46

rights hereunder, and if any of the conditions specified in Section 7.1 hereof
have not been satisfied, Company shall have the right to proceed with the
transactions contemplated hereby without waiving any of their rights hereunder.

SECTION 8. RIGHTS AND OBLIGATIONS SUBSEQUENT TO CLOSING.

         8.1 Survival of Warranties. Each of the representations, warranties,
agreements, covenants and obligations herein or in any schedule, exhibit,
certificate or financial statement delivered by any party to the other party
incident to the transactions contemplated hereby are material, shall be deemed
to have been relied upon by the other party and shall survive the Closing for a
period of two years regardless of any investigation and shall not merge in the
performance of any obligation by either party hereto.

SECTION 9. INDEMNIFICATION.

         9.1 Indemnification by the Stockholder and the Primary Parties. The
Stockholder, each of the Primary Parties and their respective successors and
assigns jointly and severally agree subsequent to the Closing to indemnify and
hold the Company, Buyer and their respective subsidiaries and affiliates and
persons serving as officers, directors, partners or employees of any of the
foregoing (individually a "Buyer Indemnified Party" and collectively the "Buyer
Indemnified Parties") harmless from and against any damages, liabilities,
losses, taxes, fines, penalties, costs, and expenses (including, without
limitation, reasonable fees of counsel) of any kind or nature whatsoever
(whether or not arising out of third-party claims and including all amounts paid
in investigation, defense or settlement of the foregoing) which may be sustained
or suffered by any of them arising out of or based upon any of the following
matters:

                  (a) fraud, intentional misrepresentation or a deliberate or
wilful breach by the Company, the Stockholder or any of the Primary Parties of
any of their representations, warranties, agreements or covenants under this
Agreement or in any agreement, document, instrument, certificate, schedule or
exhibit delivered pursuant hereto;

                  (b) any other breach of any representation or warranty of the
Company, the Stockholder or any Primary Party under this Agreement or in any
agreement, document, instrument, certificate, schedule or exhibit delivered
pursuant hereto, or by reason of any claim, action or proceeding asserted or
instituted arising out of any matter or thing constituting a breach of such
representations or warranties;

                  (c) any other breach of any agreement or covenant of the
Company, the Stockholder or any Primary Party under this Agreement or in any
agreement, document, instrument, certificate, schedule or exhibit delivered
pursuant hereto, or by reason of any

                                       41
<PAGE>   47

claim, action or proceeding asserted or instituted arising out of any matter or
thing constituting a breach of any such agreement or covenant.

                  (d) any liability of the Company for Taxes arising from an
event or transaction prior to the Closing or as a result of the Closing which
have not been paid or provided for or adequately reserved against by the
Company, including without limitation, any increase in Taxes due to the
unavailability of any loss or deduction claimed by the Company;

                  (e) any liability relating to the operation, activities or
conduct of the business of the Company on or prior to the Closing Date
including, without limitation, any liability of the Company relating to any
claims resulting from the Company's failure to be qualified to do business in
the state of New York and the Commonwealth of Pennsylvania other than (i)
liabilities or obligations of the Company reflected on the Base Balance Sheet or
incurred thereafter in the ordinary course of business (except for any such
liability required to be disclosed on a Schedule to this Agreement that is not
so disclosed), (ii) liabilities under the Contracts or any contract, agreement
or arrangement not required to be disclosed on any Schedule to this Agreement
and (iii) other liabilities disclosed in this Agreement or any Schedule
furnished pursuant hereto; and

                  (f) any liability of the Company in respect of any claim made
by any third party and relating to, arising out of or in connection with any
event occurring on or prior to the Closing Date.

                  (g) The Stockholder and each Primary Party hereby acknowledges
and agrees that neither the Stockholder nor any Primary Party shall have any
right of indemnity or contribution from the Company with respect to any breach
of any representation or warranty hereunder.

         9.2 Limitations on Indemnification by the Stockholder.

                  (a) Threshold. Subject to the exceptions set forth in Section
9.2(b) below, no indemnification shall be payable by the Stockholder or any
Primary Party with respect to claims except to the extent that the cumulative
amount of all such claims first exceed Twenty- Five Thousand Dollars ($25,000)
in the aggregate (the "Threshold Amount"), whereupon the Buyer Indemnified
Parties shall be entitled to dollar-for-dollar indemnification from the first
dollar in accordance with the terms hereof.

                  (b) Maximum Indemnification. Subject to the exceptions set
forth in Section 9.2(c) below, neither the Stockholder nor any Primary Party
shall be obligated to indemnify any Indemnified Party for any amount of
otherwise indemnifiable losses in excess of Three Hundred Thousand Dollars
($300,000) (the "Maximum Indemnification").

                                       42
<PAGE>   48

                  (c) Limitation on Certain Claims. Notwithstanding anything
herein to the contrary, Buyer Indemnified Parties (i) shall be entitled to
dollar-for-dollar indemnification from the first dollar, (ii) shall not be
subject to the Threshold Amount, and (iii) shall not be subject to the Maximum
Indemnification in seeking indemnification from the Stockholder or any Primary
Party with respect to any of the following:

                           (i) Losses involving a breach by the Company, the
         Stockholder or any Primary Party of any of the representations and
         warranties contained in Section 2.2, 2.3, 2.5, 2.8, 2.9, 2.23, 2.27 or
         2.28; or

                           (ii) Losses described in Sections 9.1(a) or
         9.1(c)-(f), inclusive.

         Indemnification pursuant to Section 9.2 shall be limited to the
aggregate amount of the Purchase Price plus any Additional Payment to be paid to
the Stockholder (or any successor or assignee of the Stockholder) outstanding as
of the date of the Buyer's notice with respect to the pertinent claim.

                  (d) Time Limitation. No indemnification shall be payable to a
Buyer Indemnified Party with respect to claims asserted pursuant to Subsection
9.1(b) (other than any claims for indemnification for Taxes or based upon or
related to a breach of any representation, warranty or covenant with respect to
title to the Company Shares, authorization, Taxes or tax related matters,
finder's fees, ERISA, or environmental matters) after the date which is the
second anniversary of the Closing Date (the "Indemnification Cut-Off Date");
provided that (i) any claim as to which notice is given by a Buyer Indemnified
Party to the Stockholder or any Primary Party prior to the Indemnification
Cut-Off Date shall survive the Indemnification Cut-Off Date until final
resolution of such claim; (ii) claims based upon or related to a breach of any
representation or warranty contained in Sections 2.5, 2.8, 2.9, 2.23, 2.27 or
2.28 or in Sections 9.1(c)-9.1(f), inclusive may be asserted until the 60th day
following expiration of the statute of limitations (if any) applicable to such
claim; and (iii) claims based upon a breach of any representation or warranty
contained in Section 2.3 or pursuant to Section 9.1(a) shall continue without
limitation as to time.

         9.3 Indemnification by Buyer. Buyer agrees to indemnify and hold the
Stockholder, each party holding any partnership interest in the Stockholder,
each Primary Party and their respective heirs, legal representatives, successors
and assigns (individually a "Stockholder Indemnified Party" and collectively the
"Stockholder Indemnified Parties") harmless from and against any damages,
liabilities, losses, taxes, fines, penalties, costs and expenses (including,
without limitation, reasonable fees of counsel) of any kind or nature whatsoever
(whether or not arising out of third-party claims and including all amounts paid
in investigation, defense or settlement of the foregoing) which may be sustained
or suffered by any of them arising out of or based upon any breach of any
representation, warranty or covenant made by Buyer in this Agreement or in any
certificate delivered by Buyer hereunder, or by reason of any claim,

                                       43
<PAGE>   49

action or proceeding asserted or instituted growing out of any matter or thing
constituting such a breach.

         9.4 Limitation on Indemnification by Buyer. Notwithstanding the
foregoing, no indemnification shall be payable to the Stockholder or any Primary
Party with respect to claims asserted pursuant to Section 9.3 above after the
Indemnification Cut-Off Date (other than any claim relating to the performance
of the Buyer's obligations under Section 1.2 and Section 5.5 hereof). With
regard to Section 5.5, indemnification shall be payable to James J. Forkin with
respect to any claims asserted pursuant to Section 5.5 for so long as James J.
Forkin remains the Guarantor under the Guaranty.

         9.5 Notice; Defense of Claims. An indemnified party may make claims for
indemnification hereunder by giving written notice thereof to the indemnifying
party within the period in which indemnification claims can be made hereunder.
If indemnification is sought for a claim or liability asserted by a third party,
the indemnified party shall also give written notice thereof to the indemnifying
party promptly after it receives notice of the claim or liability being
asserted, but the failure to do so shall not relieve the indemnifying party from
any liability except to the extent that it is prejudiced by the failure or delay
in giving such notice. Such notice shall summarize the bases for the claim for
indemnification and any claim or liability being asserted by a third party.
Within 20 days after receiving such notice the indemnifying party shall give
written notice to the indemnified party stating whether it disputes the claim
for indemnification and whether it will defend against any third party claim or
liability at its own cost and expense. If the indemnifying party fails to give
notice that it disputes an indemnification claim within 20 days after receipt of
notice thereof, it shall be deemed to have accepted and agreed to the claim,
which shall become immediately due and payable. The indemnifying party shall be
entitled to direct the defense against a third party claim or liability with
counsel selected by it (subject to the consent of the indemnified party, which
consent shall not be unreasonably withheld) as long as the indemnifying party is
conducting a good faith and diligent defense. The indemnified party shall at all
times have the right to fully participate in the defense of a third party claim
or liability at its own expense directly or through counsel; provided, however,
that if the named parties to the action or proceeding include both the
indemnifying party and the indemnified party and the indemnified party is
advised that representation of both parties by the same counsel would be
inappropriate under applicable standards of professional conduct, the
indemnified party may engage separate counsel at the expense of the indemnifying
party. If no such notice of intent to dispute and defend a third party claim or
liability is given by the indemnifying party, or if such good faith and diligent
defense is not being or ceases to be conducted by the indemnifying party, the
indemnified party shall have the right, at the expense of the indemnifying
party, to undertake the defense of such claim or liability (with counsel
selected by the indemnified party), and to compromise or settle it, exercising
reasonable business judgment. If the third party claim or liability is one that
by its nature cannot be defended solely by the indemnifying party, then the
indemnified party shall make available such information and assistance as the
indemnifying

                                       44
<PAGE>   50

party may reasonably request and shall cooperate with the indemnifying party in
such defense, at the expense of the indemnifying party.

         9.6 Satisfaction of Stockholder Indemnification Obligations. In order
to satisfy the indemnification obligations of the Stockholder and the Primary
Parties pursuant to Sections 9.1 above and without limiting any right of any
Buyer Indemnified Party with respect to any claim for indemnification
thereunder, subject to the limitations set forth in Section 9.2, each Buyer
Indemnified Party shall have the right (in addition to collecting directly from
the Stockholder) to recover the amount of such indemnification obligation by
setting off and applying the amount of such obligation against any amounts
payable to the Stockholder hereunder.

SECTION 10. DEFINITIONS.

         For the purposes of this Agreement, the capitalized terms set forth
below shall have the meanings indicated.

         "Accountants" shall have the meaning set forth in Section 1.2 hereof.

         "Accumulated Funding Deficiency" shall have the meaning set forth in
         Section 2.27 hereof.

         "Acquisition Proposal" shall have the meaning set forth in Section 3.6
         hereof.

         "Additional Revenue" shall mean the excess of (i) the amount equal to
         the Company's commission revenues attributable to sales of the products
         of the New Business Prospects during the twelve month period ending on
         the first anniversary of the Closing Date over (ii) an amount equal to
         (x) $200,000 plus (y) the net reduction, if any, in the Company's
         commission revenues during the twelve month period ending on the first
         anniversary of the Closing Date attributable to any termination or
         diminution of the brokerage relationship in effect as of the Closing
         Date with any of the Company's Principals as reflected in Schedule
         2.8(d). All of the components of Additional Revenue shall be calculated
         on an annualized basis.

         "Affiliate" shall have the meaning set forth in Section 2.27 hereof.

         "Affiliated Group" shall have the meaning set forth in Section 2.9
         hereof.

         "Agreement" shall have the meaning set forth in the Recitals hereto.

         "Approvals" shall have the meaning set forth in Section 2.24 hereof.

         "Audited Financial Statements" shall have the meaning set forth in
         Section 2.8 hereof.

                                       45
<PAGE>   51

         "Interim Balance Sheet" shall have the meaning set forth in Section 2.8
         hereof.

         "Blue Sky" shall have the meaning set forth in Section 2.27 hereof.

         "Buyer" shall have the meaning set forth in the Recitals hereto.

         "Buyer Indemnified Party" and "Buyer Indemnified Parties" shall have
         the meaning set forth in Section 9.1 hereof.

         "Closing" shall have the meaning set forth in Section 1.4 hereof.

         "Closing Date" shall mean the date on which the Closing occurs.

         "Code" shall have the meaning set forth in Section 2.9 hereof.

         "Common Stock" shall have the meaning set forth in the Recitals hereto.

         "Company" shall have the meaning set forth in the Recitals hereto.

         "Company Board" shall have the meaning set forth in Section 6.1 hereof.

         "Company Shares" shall have the meaning set forth in the Recitals
         hereto.

         "Contract" and "Contracts" shall have the meaning set forth in Section
         2.18 hereof.

         "Controlled Group" shall have the meaning set forth in Section 2.27
         hereof.

         "CPR Rules" shall have the meaning set forth in Section 11.9 hereof.

         "Customers" shall have the meaning set forth in Section 2.12 hereof.

         "Employee Program" shall have the meaning set forth in Section 2.27
         hereof.

         "Encumbrances" shall have the meaning set forth in Section 2.7 hereof.

         "Environmental Law" shall have the meaning set forth in Section 2.28
         hereof.

         "ERISA" shall have the meaning set forth in Section 2.27 hereof.

         "Financial Statements" shall have the meaning set forth in Section 2.8
         hereof.

         "GAAP" shall have the meaning set forth in Section 2.8 hereof.

                                       46
<PAGE>   52

         "Hazardous Material" shall have the meaning set forth in Section 2.28
         hereof.

         "Hazardous Waste" shall have the meaning set forth in Section 2.28
         hereof.

         "Indemnification Cut-Off Date" shall have the meaning set forth in
         Section 9.2 hereof.

         "Intellectual Property" shall have the meaning set forth in Section
         2.16 hereof.

         "Interim Financial Statements" shall have the meaning set forth in
         Section 2.8 hereof.

         "IRS" shall have the meaning set forth in Section 2.9 hereof.

         "Leased Real Property" shall have the meaning set forth in Section 2.7
         hereof.

         "Liens" shall have the meaning set forth in Section 2.3 hereof.

         "Maintains" shall have the meaning set forth in Section 2.27 hereof.

         "Material Adverse Effect" shall have the meaning set forth in Section
         2.12 hereof.

         "Maximum Indemnification" shall have the meaning set forth in Section
         9.

         "Multiemployer Plan" shall have the meaning set forth in Section 2.27
         hereof.

         "New Business Prospects" shall mean and include the Principals
         identified on Exhibit G attached hereto as such Exhibit may be amended
         or modified from time to time after the date hereof upon the mutual
         written agreement of the Buyer and the Stockholder's Representative.

         "Owned Real Property" shall have the meaning set forth in Section 2.7
         hereof.

         "Permitted Encumbrances" shall have the meaning set forth in Section
         2.7 hereof.

         "Principal" shall have the meaning set forth in Section 2.12.

         "Products" shall have the meaning set forth in Section 2.16 hereof.

         "Prohibited Transaction" shall have the meaning set forth in Section
         2.27 hereof.

         "Purchase Price" shall have the meaning set forth in Section 1.1
         hereof.

         "Real Property" shall have the meaning set forth in Section 2.7 hereof.

                                       47
<PAGE>   53

         "Reportable Event" shall have the meaning set forth in Section 2.27
         hereof.

         "Revenue Statement" shall have the meaning set forth in Section 1.2
         hereof.

         "Senior Debt" shall mean and include all principal of, interest on,
         premium, if any, and other obligations of Buyer with respect to any (i)
         indebtedness to any bank, trust company, insurance company or other
         institutional lender providing financing to Buyer whether outstanding
         on the date hereof or incurred, created or arising hereafter pursuant
         to any agreement or instrument which Buyer may have executed and
         delivered prior to the date hereof, or may execute and deliver as of
         the date hereof or at any time hereafter, including, without
         limitation, the indebtedness of Buyer under that certain Credit
         Agreement, as amended from time to time, dated as of December 18, 1998,
         by and between Buyer, First Union National Bank, as agent and certain
         other lenders named therein, (ii) indebtedness of Buyer for monies
         borrowed from other entities, (iii) obligations of Buyer as lessee
         under leases of real or personal property, (iv) principal of, interest
         on and premium, if any, relating to any indebtedness or obligations of
         others of the kinds described (i), (ii) and (iii) above assumed or
         guaranteed in any manner by Buyer, and (v) any amendment, modification,
         supplement, restatement, refinancing, deferral, renewal, extension or
         refunding of any such indebtedness described in (i), (ii), (iii), and
         (iv) above (including, without limitation, any of the foregoing having
         the effect of increasing the principal amount of the indebtedness
         outstanding or available thereunder) as may be entered into by Buyer
         from time to time.

         "Severance Pay" shall have the meaning set forth in Section 2.30
         hereof.

         "Stockholder" shall have the meaning set forth in the Recitals hereto.

         "Stockholder Indemnified Party and "Stockholder Indemnified Parties"
         shall have the meaning set forth in Section 9.3 hereof.

         "Stockholder's Representative" shall have the meaning set forth in
         Section 1.5 hereof.

         "Taxes" shall have the meaning set forth in Section 2.9 hereof.

         "Threshold Amount" shall have the meaning set forth in Section 9.2
         hereof.

         "Transaction Documents" shall have the meaning set forth in Section 2.6
         hereof.

         "Unfunded Benefit Liabilities" shall have the meaning set forth in
         Section 2.27 hereof.

         "Base Balance Sheet" shall have the meaning set forth in Section 2.8
         hereof.

                                       48
<PAGE>   54

SECTION 11. MISCELLANEOUS.

         11.1 Fees and Expenses.

                  (a) Buyer, on one hand, and the Stockholder on the other,
shall pay all of its or their respective fees, expenses and costs incurred in
connection with the preparation and negotiation of this Agreement and the
consummation of the transactions contemplated hereby and none of such fees,
expenses or costs incurred by or on behalf of the Stockholder shall be paid by
the Company.

                  (b) The Stockholder will pay all costs incurred, whether at or
subsequent to the Closing, in connection with the transfer of the Company Shares
to Buyer as contemplated by this Agreement, including without limitation, all
transfer taxes and charges applicable to such transfer, and all costs of
obtaining permits, waivers, registrations or consents with respect to any
assets, rights or contracts of the Company.

         11.2 Governing Law. This Agreement shall be construed under and
governed by the internal laws of the Commonwealth of Massachusetts without
regard to its conflict of laws provisions.

         11.3 Notices. Any notice, request, demand or other communication
required or permitted hereunder shall be in writing and shall be deemed to have
been given if delivered or sent by facsimile transmission, upon receipt, if sent
by a nationally recognized overnight courier for next day delivery, on the next
business day following delivery to such overnight courier, or if sent by
registered or certified mail, upon the sooner of the date on which receipt is
acknowledged or the expiration of three days after deposit in United States post
office facilities properly addressed with postage prepaid. All notices to a
party will be sent to the addresses set forth below or to such other address or
person as such party may designate by notice to each other party hereunder:

TO BUYER:                              Merkert American Corporation
                                       490 Turnpike Street
                                       Canton, Massachusetts 02021
                                       Attn:  Chief Executive Officer

With a copy to:                        Goodwin, Procter & Hoar  LLP
                                       Exchange Place
                                       Boston, MA  02109
                                       Attn.: Stuart M. Cable, P.C.

TO COMPANY:                            Buckeye Sales & Marketing, Inc.
                                       2265 Enterprise East Parkway
                                       Twinsburg, Ohio  44087
                                       Attn: James J. Forkin

                                       49
<PAGE>   55

With a copy to:                        Arter & Hadden LLP
                                       925 Euclid Avenue
                                       1100 Huntington Building
                                       Cleveland, Ohio  44115-1475
                                       Attn: Jacob I. Rosenbaum, Esq.

TO THE STOCKHOLDER
REPRESENTATIVE:                        James J. Forkin
                                       2055 Fairway Blvd.
                                       Hudson, Ohio 44236

         Any notice given hereunder may be given on behalf of any party by his
counsel or other authorized representatives.

         11.4 Entire Agreement. This Agreement, including the Schedules and
Exhibits referred to herein and the other writings specifically identified
herein or contemplated hereby, is complete, reflects the entire agreement of the
parties with respect to its subject matter, and supersedes all previous written
or oral negotiations, commitments and writings. No promises, representations,
understandings, warranties and agreements have been made by any of the parties
hereto except as referred to herein or in such Schedules and Exhibits or in such
other writings; and all inducements to the making of this Agreement relied upon
by either party hereto have been expressed herein or in such Schedules or
Exhibits or in such other writings.

         11.5 Assignability; Binding Effect. This Agreement shall only be
assignable by Buyer to a corporation, partnership or other entity controlling,
controlled by or under common control with Buyer upon written notice to the
Company and the Stockholder. This Agreement may not be assigned by the
Stockholder, any Primary Party or the Company without the prior written consent
of Buyer. This Agreement shall be binding upon and enforceable by, and shall
inure to the benefit of, the parties hereto and their respective successors and
permitted assigns.

         11.6 Execution in Counterparts. For the convenience of the parties and
to facilitate execution, this Agreement may be executed in two or more
counterparts, each of which shall be deemed an original, but all of which shall
constitute one and the same document.

         11.7 Amendments. This Agreement may not be amended or modified, nor may
compliance with any condition or covenant set forth herein be waived, except by
a writing duly and validly executed by each party hereto, or in the case of a
waiver, the party waiving compliance.

                                       50
<PAGE>   56

         11.8 Publicity and Disclosures. No press releases or public disclosure,
either written or oral, of the transactions contemplated by this Agreement,
shall be made by a party to this Agreement without the prior knowledge and
written consent of Buyer and the Company.

         11.9 Dispute Resolution; Consent to Jurisdiction.

                  (a) Except as provided below, any dispute arising out of or
relating to this Agreement or the breach, termination or validity hereof shall
be finally settled by arbitration conducted expeditiously in accordance with the
Center for Public Resources Rules for Nonadministered Arbitration of Business
Disputes (the "CPR Rules"). The Center for Public Resources shall appoint a
neutral advisor from its National CPR Panel. The arbitration shall be governed
by the United States Arbitration Act, 9 U.S.C. Sections 1-16, and judgment upon
the award rendered by the arbitrators may be entered by any court having
jurisdiction thereof.

                  (b) Any such arbitration shall be conducted in accordance with
the following:

                           (i) The arbitrator shall be authorized, but not
         required, to award to the prevailing party the costs of arbitration,
         including the reasonable fees and expenses of attorneys and
         accountants.

                           (ii) The arbitrator shall not be authorized or
         empowered to award damages in excess of compensatory damages.

                           (iii) The arbitrator shall enforce the following
         agreed upon procedures: (A) mandatory exchange of all relevant
         documents to be accomplished within 30 days of the initiation of the
         arbitration procedure; (B) hearings before the arbitrator shall be
         limited to a summary presentation by each party not to exceed three
         hours for each party; (C) all hearings shall have concluded not more
         than 60 days after the initiation of the arbitration procedure; and (D)
         the arbitrator's decision shall be rendered not more than 10 days after
         the conclusion of such hearings.

                  (c) Notwithstanding anything to the contrary contained herein,
the provisions of this Section 11.9 shall not apply with regard to any equitable
remedies to which any party may be entitled hereunder.

                  (d) Each of the parties hereto (i) hereby irrevocably submits
to the jurisdiction of any state or federal court sitting in Boston,
Massachusetts for the purpose of enforcing the award or decision in any such
proceeding, (ii) hereby waives, and agrees not to assert, by way of motion, as a
defense, or otherwise, in any such suit, action or proceeding, any claim that it
is not subject personally to the jurisdiction of the above-named courts, that
its property is exempt or immune from attachment or execution, that the suit,
action or proceeding is brought in an inconvenient forum, that the venue of the
suit, action or proceeding is

                                       51
<PAGE>   57

improper or that this Agreement or the subject matter hereof may not be enforced
in or by such court, and (iii) hereby waives and agrees not to seek any review
by any court of any other jurisdiction which may be called upon to grant an
enforcement of the judgment of any such court. Each of the parties hereto hereby
consents to service of process by registered mail at the address to which
notices are to be given. Each of the parties hereto agrees that its submission
to jurisdiction and its consent to service of process by mail is made for the
express benefit of the other parties hereto. Final judgment against any party
hereto in any such action, suit or proceeding may be enforced in other
jurisdictions by suit, action or proceeding on the judgment, or in any other
manner provided by or pursuant to the laws of such other jurisdiction; provided,
however, that any party hereto may at its option bring suit, or institute other
judicial proceedings, in any state or federal court of the United States or of
any country or place where the other parties or their assets, may be found.

         11.10 Consent to Jurisdiction. Each of the parties hereby consents to
the exclusive personal jurisdiction, service of process and venue in the federal
or state courts sitting in Cleveland, Ohio for any claim, suit or proceeding
arising under this Agreement, or in the case of a third party claim subject to
indemnification hereunder, in the court where such claim is brought.

         11.11 Specific Performance. The parties agree that it would be
difficult to measure damages which might result from a breach of this Agreement
by the Company or the Stockholder and that money damages would be an inadequate
remedy for such a breach. Accordingly, if there is a breach or proposed breach
of any provision of this Agreement by the Company, the Stockholder or any
Primary Party, and Buyer does not elect to terminate under Section 7, Buyer
shall be entitled, in addition to any other remedies which it may have, to an
injunction or other appropriate equitable relief to restrain such breach without
having to show or prove actual damage to Buyer.

         11.12 No Third-Party Beneficiaries. This Agreement is intended solely
for the benefit of the parties hereto. Neither this Agreement nor any of the
transactions contemplated hereby shall be deemed to create or enlarge any rights
in any party not a party hereto.

         11.13 Severability. The parties agree that, in the event that any
provision of this Agreement or the application of any such provision to any
party is held by a court of competent jurisdiction to be contrary to law, the
provision in question shall be construed so as to be lawful and the remaining
provisions of this Agreement shall remain in full force and effect.

                  [Remainder of Page Intentionally Left Blank]

                                       52
<PAGE>   58

         IN WITNESS WHEREOF the parties hereto have caused this Agreement to be
executed as of the date first set forth above by their duly authorized
representatives.

                                       MERKERT AMERICAN
                                       CORPORATION

                                       By:
                                          Name:
                                          Title:

                                       BUCKEYE SALES & MARKETING,
                                       INC.

                                       By:
                                          Name:
                                          Title:

                                       JF & JF LIMITED PARTNERSHIP

                                       By:
                                          Name:
                                          Title:

                                       -----------------------------------------
                                       JAMES J. FORKIN

                                       -----------------------------------------
                                       JOAN M. FORKIN

                                       -----------------------------------------
                                       TIMOTHY P. FORKIN

                                       53
<PAGE>   59

                                                                       EXHIBIT A

        List of Stockholders, Stockholdings and Consideration to be Paid

<TABLE>
<CAPTION>
==============================================================================================
                         NO. OF COMPANY        PERCENTAGE
NAME AND ADDRESS OF          SHARES              EQUITY             CASH AT          MONTHLY
   STOCKHOLDER               OWNED             OWNERSHIP            CLOSING          PAYMENTS
---------------------------------------------------------                            ---------
<S>                      <C>                   <C>                  <C>              <C>
   JF & JF Limited            100                 100               $100,000            40
Partnership
----------------------------------------------------------------------------------------------

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

==============================================================================================
</TABLE>

                                       54<PAGE>   1
                                                                   EXHIBIT 10.18
================================================================================

                            STOCK PURCHASE AGREEMENT

                                  by and among

                      RICHMONT MARKETING SPECIALISTS INC.,

                           PAUL INMAN ASSOCIATES, INC.

                                       and

                 THE SHAREHOLDERS OF PAUL INMAN ASSOCIATES, INC.

         regarding the sale of 100% of the outstanding capital stock of
                          Paul Inman Associates, Inc.
                            dated as of May 14, 1999

================================================================================

                 This Agreement is subject to arbitration under
                    the rules and regulations of the American
                     Arbitration Association as provided in
                               Article XII hereof.

<PAGE>   2

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                               Page
                                                                                                               ----

<S>               <C>                                                                                          <C>
Preliminary Statements............................................................................................1
Statement of Agreement............................................................................................1

ARTICLE I.        TERMS OF THE PURCHASE AND SALE..................................................................1
      Section 1.1       Sale of Shares............................................................................1
      Section 1.2       Purchase Price............................................................................2
      Section 1.3       Payment of Purchase Price.................................................................2
      Section 1.4       Adjustments to Purchase Price.............................................................2
ARTICLE II.       THE CLOSING.....................................................................................3
      Section 2.1       The Closing...............................................................................3
      Section 2.2       Escrow....................................................................................3
      Section 2.3       Deliveries by the Sellers.................................................................3
      Section 2.4       Deliveries by Company.....................................................................4
      Section 2.5       Deliveries by Purchaser...................................................................5
      Section 2.6       Simultaneous Deliveries...................................................................5
      Section 2.7       Sales and Transfer Taxes..................................................................5
ARTICLE III.      REPRESENTATIONS AND WARRANTIES OF THE SELLERS...................................................5
      Section 3.1       Title to Shares...........................................................................5
      Section 3.2       Power, Authority, Right and Capacity......................................................6
      Section 3.3       Authorizations; Execution and Validity....................................................6
      Section 3.4       No Conflict; Consents.....................................................................6
ARTICLE IV.       REPRESENTATIONS AND WARRANTIES OF THE SELLERS AND COMPANY.......................................6
      Section 4.1       Organization and Good Standing............................................................6
      Section 4.2       Delivery of Charter Documents.............................................................6
      Section 4.3       Power and Authority.......................................................................6
      Section 4.4       Authorization; Execution and Validity.....................................................7
      Section 4.5       No Conflict; Consents.....................................................................7
      Section 4.6       Capitalization............................................................................7
      Section 4.7       Financial Statements......................................................................7
      Section 4.8       No Undisclosed Liabilities................................................................8
      Section 4.9       Absence of Certain Changes................................................................8
      Section 4.10      Sufficiency and Condition of and Title to the Assets......................................9
      Section 4.11      Accounts Receivable.......................................................................9
      Section 4.12      Inventory.................................................................................9
      Section 4.13      Real Property.............................................................................9
      Section 4.14      Personal Property........................................................................10
      Section 4.15      Compliance with Laws.....................................................................10
      Section 4.16      Insurance................................................................................11
</TABLE>

                                      (i)
<PAGE>   3

<TABLE>

                                                                                                               Page
                                                                                                               ----
<S>                     <C>                                                                                    <C>
      Section 4.17      Contracts................................................................................11
      Section 4.18      Litigation; Orders.......................................................................11
      Section 4.19      Environmental Orders.....................................................................12
      Section 4.20      Environmental Matters....................................................................12
      Section 4.21      Permits..................................................................................12
      Section 4.22      Intangible Assets........................................................................13
      Section 4.23      Employees................................................................................13
      Section 4.24      Employee Benefits........................................................................14
      Section 4.25      Taxes....................................................................................16
      Section 4.26      Bank Accounts; Powers of Attorney........................................................17
      Section 4.27      Relationship with Suppliers..............................................................17
      Section 4.28      Relationship with Principals.............................................................18
      Section 4.29      Affiliated Transactions..................................................................18
      Section 4.30      Books and Records........................................................................18
      Section 4.31      Full Disclosure..........................................................................18
      Section 4.32      Brokers..................................................................................18
      Section 4.33      Split Commission Arrangements............................................................18
      Section 4.34      Brokerage Agreements.....................................................................18
      Section 4.35      Market Development Fund Accounts.........................................................19
      Section 4.36      Change in Control........................................................................19
      Section 4.37      Affiliates...............................................................................19
      Section 4.38      Certain Business Practices...............................................................19
      Section 4.39      Parachute Payments.......................................................................19
      Section 4.40      Board Recommendation.....................................................................20
      Section 4.41      HSR Requirements.........................................................................20
      Section 4.42      Year 2000................................................................................20
ARTICLE V.        REPRESENTATIONS AND WARRANTIES OF PURCHASER....................................................21
      Section 5.1       Organization; Good Standing; Delivery of Charter Documents...............................21
      Section 5.2       Power and Authority......................................................................21
      Section 5.3       Authorization; Execution and Validity....................................................21
      Section 5.4       No Conflict; Purchaser Consents..........................................................21
      Section 5.5       Brokers..................................................................................21
ARTICLE VI.       COVENANTS OF COMPANY AND THE SELLERS...........................................................21
      Section 6.1       Cooperation of Company and the Sellers...................................................21
      Section 6.2       Pre-Closing Access to Information........................................................22
      Section 6.3       Conduct of Business......................................................................22
      Section 6.4       Supplements to Schedules.................................................................22
      Section 6.5       Standstill...............................................................................23
      Section 6.6       Discharge of Encumbrances................................................................23
      Section 6.7       Non-Disclosure; Non-Competition; Non-Solicitation........................................24
      Section 6.8       Comerica Loan............................................................................25
ARTICLE VII.      COVENANTS OF PURCHASER.........................................................................25
      Section 7.1       Cooperation by Purchaser.................................................................25
      Section 7.2       Pre-Closing Access to Information........................................................25
</TABLE>

                                      (ii)
<PAGE>   4

<TABLE>
<CAPTION>
                                                                                                               Page
                                                                                                               ----
<S>               <C>                                                                                          <C>
      Section 7.3       Employee Benefits........................................................................26
      Section 7.4       RMSI Debt Obligations....................................................................26
ARTICLE VIII.     MUTUAL COVENANTS...............................................................................26
      Section 8.1       Governmental Consents....................................................................26
      Section 8.2       Consents to Assign Leases and Contracts..................................................26
      Section 8.3       Permits..................................................................................27
      Section 8.4       Books and Records........................................................................27
      Section 8.5       Further Assurances.......................................................................27
      Section 8.6       Escrow Agreement.........................................................................28
      Section 8.7       Tax Matters..............................................................................28
ARTICLE IX.       CONDITIONS PRECEDENT TO THE CLOSING............................................................30
      Section 9.1       Conditions Precedent to Purchaser's Obligations..........................................30
      Section 9.2       Conditions Precedent to Company's and the Sellers' Obligations...........................31
ARTICLE X.        TERMINATION PRIOR TO THE CLOSING...............................................................32
      Section 10.1      Termination of Agreement.................................................................32
      Section 10.2      Effect of Termination....................................................................32
      Section 10.3      Expenses.................................................................................32
      Section 10.4      Procedure Upon Termination...............................................................33
ARTICLE XI.       INDEMNIFICATION AND RELATED MATTERS............................................................33
      Section 11.1      Indemnification of Purchaser.............................................................33
      Section 11.2      Indemnification of the Sellers...........................................................34
      Section 11.3      Indemnification Procedure................................................................34
      Section 11.4      Meritless Third Party Claims.............................................................36
      Section 11.5      Assignment of Claims.....................................................................36
      Section 11.6      Other Indemnitees........................................................................36
      Section 11.7      Contribution.............................................................................36
      Section 11.8      Sole and Exclusive Remedy................................................................36
      Section 11.9      Maximum Liability Cap....................................................................37
      Section 11.10     Recourse Against Escrow Deposit..........................................................37
      Section 11.11     Consequential Damages....................................................................37
      Section 11.12     Interest.................................................................................37
      Section 11.13     Survival of Terms........................................................................37
      Section 11.14     Negligence and Strict Liability..........................................................38
ARTICLE XII.      THE SELLER REPRESENTATIVE......................................................................38
      Section 12.1      Authorization of the Seller Representative...............................................38
      Section 12.2      Removal and Replacement of Seller Representative; Successor
                        Seller Representative; Action by Seller Representative...................................40
      Section 12.3      Reliance; Limitation as to Purchaser.....................................................40
ARTICLE XIII.     ARBITRATION AND EQUITABLE REMEDIES.............................................................41
      Section 13.1      Settlement Meeting.......................................................................41
      Section 13.2      Arbitration Proceedings..................................................................41
</TABLE>

                                     (iii)
<PAGE>   5

<TABLE>
<CAPTION>
                                                                                                               Page
                                                                                                               ----
<S>                     <C>                                                                                    <C>
      Section 13.3      Place of Arbitration.....................................................................41
      Section 13.4      Discovery................................................................................42
      Section 13.5      Equitable Remedies.......................................................................42
      Section 13.6      Exclusive Jurisdiction...................................................................42
      Section 13.7      Judgments................................................................................42
      Section 13.8      Expenses.................................................................................42
      Section 13.9      Cost of the Arbitration..................................................................42
      Section 13.10     Exclusivity of Remedies..................................................................42
ARTICLE XIV.      MISCELLANEOUS..................................................................................43
      Section 14.1      Amendment................................................................................43
      Section 14.2      Counterparts; Fax Signatures.............................................................43
      Section 14.3      Entire Agreement.........................................................................43
      Section 14.4      Governing Law............................................................................43
      Section 14.5      No Assignment............................................................................43
      Section 14.6      No Third Party Beneficiaries.............................................................43
      Section 14.7      Notices..................................................................................43
      Section 14.8      Public Announcements.....................................................................44
      Section 14.9      Representation by Legal Counsel..........................................................45
      Section 14.10     Schedules................................................................................45
      Section 14.11     Severability.............................................................................45
      Section 14.12     Specific Performance.....................................................................45
      Section 14.13     Successors...............................................................................45
      Section 14.14     Time of the Essence......................................................................45
      Section 14.15     Waiver...................................................................................45
      Section 14.16     No Waiver Relating to Claims of Fraud....................................................46
</TABLE>

                                      (iv)
<PAGE>   6

                                                     SCHEDULES

<TABLE>
<CAPTION>
Schedule                                                                                                Description
--------                                                                                                -----------
<S>                                                        <C>
Schedule 1.1...............................................Ownership of the Shares and Allocation of Purchase Price
Schedule 4.1.................................................................Jurisdictions of Foreign Qualification
Schedule 4.6.........................................................................................Capitalization
Schedule 4.7(a).......................................................................Reviewed Financial Statements
Schedule 4.7(b)........................................................................Interim Financial Statements
Schedule 4.8................................................................................Undisclosed Liabilities
Schedule 4.9........................................................................................Certain Changes
Schedule 4.10(b)................................................................................Condition of Assets
Schedule 4.11...........................................................................Accounts Receivable Set-off
Schedule 4.13(a)................................................................................Owned Real Property
Schedule 4.13(b)...............................................................................Leased Real Property
Schedule 4.14(a)............................................................................Owned Personal Property
Schedule 4.14(b)...........................................................................Leased Personal Property
Schedule 4.15..................................................................................Compliance with Laws
Schedule 4.16....................................................................................Insurance Policies
Schedule 4.17....................................................................................Material Contracts
Schedule 4.18....................................................................................Litigation; Orders
Schedule 4.20.................................................................................Environmental Matters
Schedule 4.21...............................................................................................Permits
Schedule 4.22(a)............................................................................Owned Intangible Assets
Schedule 4.22(b).........................................................................Licensed Intangible Assets
Schedule 4.23(a)..........................................................................................Employees
Schedule 4.23(b).....................................................................Employment and Labor Contracts
Schedule 4.24(a)..............................................................................Welfare Benefit Plans
Schedule 4.24(b)..............................................................................Pension Benefit Plans
Schedule 4.24(c)..............................................................................Employee Arrangements
Schedule 4.24(d)...................................................Debts Incurred by Company Employee Benefit Plans
Schedule 4.24(h)........................................................Effect of Consummation on Employee Benefits
Schedule 4.25(a)........................................................................................Tax Returns
Schedule 4.26.....................................................................Bank Accounts; Powers of Attorney
Schedule 4.27...........................................................................Relationship with Suppliers
Schedule 4.28..........................................................................Relationship with Principals
Schedule 4.34.....................................................................................Broker Agreements
Schedule 4.35......................................................................Market Development Fund Accounts
Schedule 4.36.....................................................................................Change in Control
Schedule 4.37.............................................................................Contracts with Affiliates
Schedule 4.39....................................................................................Parachute Payments
Schedule 4.42.............................................................................................Year 2000
Schedule 6.3......................................................................................Permitted Actions
Schedule 8.2(b)...................................................................................Required Consents
Schedule 8.3(b)....................................................................................Required Permits
Schedule 9.1(h)...............................................................................Employment Agreements
</TABLE>

                                      (v)
<PAGE>   7

                                    EXHIBITS

<TABLE>
<CAPTION>
Exhibit                                                                                                 Description
-------                                                                                                 -----------
<S>                                                                         <C>
Exhibit 1.3(b)....................................................................................Form of the Notes
Exhibit 2.2................................................................................Form of Escrow Agreement
Exhibit 2.3(c)..............................................................Form of Opinion of the Sellers' Counsel
Exhibit 2.4(f).................................................................Form of Opinion of Company's Counsel
Exhibit 4.13(b).............................................................................Form of Estoppel Letter
Exhibit 9.1(h).........................................................................Form of Employment Agreement
</TABLE>

                                      (vi)
<PAGE>   8

                            STOCK PURCHASE AGREEMENT

         THIS STOCK PURCHASE AGREEMENT (this "AGREEMENT"), dated as of May 14,
1999 (the "SIGNING DATE"), is made by and among Richmont Marketing Specialists,
Inc., a Delaware corporation, ("PURCHASER"), Paul Inman Associates, Inc., a
Michigan corporation ("COMPANY"), the Paul Inman Associates, Inc. Employee Stock
Ownership Plan & Trust (the "ESOP"), the other Persons listed on the signature
pages attached hereto (collectively with the ESOP, the "SELLERS," and
individually, a "SELLER"), and, for the purposes set forth in Section 6.7 only,
each of the Persons identified as "RESTRICTED PERSONS" on the signature page
hereto. Purchaser, Company and the Sellers are sometimes collectively referred
to as the "PARTIES," and individually referred to as a "PARTY."

                             PRELIMINARY STATEMENTS

         A. Company is engaged in the food brokerage business, which includes
providing an array of sales, marketing, merchandising and order management
services to manufacturers in order to sell the manufacturers' products to
various retailers and wholesalers in a variety of trade channels, including
grocery stores, drug stores, convenience stores and mass merchandisers located
in Michigan, Indiana, Ohio and Illinois (such business being herein referred to
as the "BUSINESS").

         B. The Sellers own all the issued and outstanding shares of Company's
common stock, no par value per share (the "COMMON STOCK"), which shares
constitute all the issued and outstanding equity securities of Company.

         C. Each Seller desires to sell, assign, and transfer to Purchaser, and
Purchaser desires to purchase from each Seller, the Shares (as defined below),
in each case on the terms and subject to the conditions set forth in this
Agreement.

         D. Capitalized terms used in this Agreement are defined or indexed in
Appendix A for the convenience of the reader and in order to eliminate the need
for cross-references. Appendix A is incorporated herein by this reference for
all purposes.

                             STATEMENT OF AGREEMENT

         NOW, THEREFORE, in consideration of the premises and the mutual
agreements, covenants, representations and warranties set forth in this
Agreement and for other good, valid and binding consideration, the receipt and
sufficiency of which are hereby acknowledged, the Parties, intending to be
legally bound, hereby agree as follows:

                                   ARTICLE I.
                         TERMS OF THE PURCHASE AND SALE

         Section 1.1 Sale of Shares. Subject to the terms and conditions and in
reliance upon the representations and warranties set forth in this Agreement, at
the Closing, each Seller will sell, assign and transfer to Purchaser, and
Purchaser will purchase and acquire from each Seller,

<PAGE>   9

the number of shares of the Common Stock listed on Schedule 1.1 opposite the
name of such Seller (collectively, the "SHARES"), in each case free and clear of
all Encumbrances.

         Section 1.2 Purchase Price. The total consideration for the Shares will
be the sum of $10,894,500, subject to any adjustment pursuant to Section 1.4 (as
so adjusted, the "PURCHASE PRICE").

         Section 1.3 Payment of Purchase Price.

                  (a) ESOP Shares. Subject to any adjustment pursuant to Section
1.4, for and in full consideration of this Agreement and the transactions
contemplated herein, at the Closing, Purchaser will pay to the ESOP the amount
of $8,219,139.95 (the "ESOP PAYMENT") by wire transfer of immediately available
funds to the bank account set forth on a notice given by the ESOP to Purchaser
no later than three days prior to the Closing Date and will deposit the amount
of $395,360.05 (the "ESOP ESCROW DEPOSIT") to an account with the Escrow Agent
to be held in escrow and distributed pursuant to the terms of this Agreement and
the Escrow Agreement.

                  (b) Non-ESOP Shares. Subject to any adjustment pursuant to
Section 1.4, for and in full consideration of this Agreement and the
transactions contemplated herein, at the Closing, Purchaser will pay to the
Sellers (other than the ESOP) an aggregate amount equal to $2,280,000, payable
as follows: (i) the amount of $104,639.95 (the "NON-ESOP ESCROW DEPOSIT," and
together with the ESOP Escrow Deposit, the "ESCROW DEPOSIT," as the same may be
increased or decreased from time to time pursuant to the terms of the Escrow
Agreement) to an account with the Escrow Agent to be held in escrow and
distributed pursuant to the terms of this Agreement and the Escrow Agreement;
(ii) the amount of $1,135,360.05 (the "NON-ESOP PAYMENT") by wire transfer of
immediately available funds in the amounts set forth on Schedule 1.1 (as the
same may be revised to reflect any adjustment to the Purchase Price) opposite
the name of each Seller (other than the ESOP) to the bank accounts set forth on
a notice given by each such Seller to Purchaser no later than three business
days prior to the Closing Date; and (iii) the aggregate principal amount of
$1,040,000 by delivering to each Seller (other than the ESOP) a promissory note
substantially in the form attached hereto as Exhibit 1.3(b) with a principal
amount equal to the amount set forth on Schedule 1.1 (as the same may be revised
to reflect any adjustment to the Purchase Price) opposite the name of such
Seller (collectively, the "NOTES").

         Section 1.4 Adjustments to Purchase Price. The Parties acknowledge and
agree that the payment of the full amount of the Purchase Price (prior to any
adjustment pursuant to this Section 1.4) is expressly conditioned upon the
annualized commissions of Company being at least $17,000,000 as of the Closing
Date. If the annualized commissions of Company are greater than or equal to
$17,000,000 as of the Closing Date, there shall be no adjustment to the Purchase
Price, and the Parties shall close in accordance with the terms of this
Agreement. If the annualized commissions of Company are less than or equal to
$16,999,999 but greater than or equal to $15,000,000 as of the Closing Date, the
Purchase Price automatically shall be adjusted downward $0.65 for each $1.00 the
annualized commissions are below $17,000,000. In the event the annualized
commissions of Company are less than $15,000,000 as of the Closing Date,
Purchaser, in its sole and absolute discretion, may terminate this Agreement
pursuant to Section

                                       2
<PAGE>   10

10.1(b) or negotiate an acceptable adjustment to the Purchase Price with
Sellers. For purposes of this Section 1.4 only, "annualized commissions of
Company" shall mean all commissions, bonuses, retail service fees, and outside
warehouse commissions of Company based on sales or services to or on behalf
principals of Company, regardless of whether such principals were principals of
Company on or after the Signing Date. Company shall deliver a calculation of
annualized commissions of Company as of the Closing Date to Purchaser at least
three (3) business days prior to the Closing Date, which calculation shall be
subject to verification by Purchaser.

                                   ARTICLE II.
                                   THE CLOSING

         Section 2.1 The Closing. The consummation of the transactions
contemplated by this Agreement (the "Closing") will take place either at the
offices of Paul Inman Associates, Inc., 30095 Northwestern Highway, Farmington
Hills, Michigan 48334, or Miro Weiner & Kramer, 500 North Woodward Avenue, Suite
100, Bloomfield Hills, Michigan 48303 on the date upon which the merger with and
into Merkert American Corporation ("MERKERT") occurs, or in the event such
merger fails to occur, a date within ten (10) days of the date on which the
agreement (or if no agreement exists, the negotiations) relating thereto is (or
are) terminated by written instrument between Purchaser and Merkert, but in any
event no later than 179 days from the Signing Date; provided that all of the
conditions set forth in Article IX, to the extent not waived, are satisfied. The
Closing may be postponed to such other date as the Parties may mutually agree,
but in any event no later than 179 days from the Signing Date. Purchaser shall
notify Sellers and Company of the date of Closing as soon as possible. The date
on which the Closing actually occurs is hereinafter referred to as the "CLOSING
DATE."

         Section 2.2 Escrow. Pursuant to Article XI, and subject to the terms
and conditions set forth therein, (i) each Seller has severally, and not
jointly, agreed to indemnify Purchaser from and against certain Claims as set
forth in Section 11.1(a), and (ii) the Sellers have jointly and severally agreed
to indemnify Purchaser from and against certain Claims as set forth in Section
11.1(b). At or prior to Closing, each of the Sellers, Purchaser and the Escrow
Agent shall enter into an Escrow Agreement in the form of Exhibit 2.2, subject
only to the comments, if any, of the Escrow Agent as to its rights and
obligations thereunder. Notwithstanding any other provision in this Agreement to
the contrary, Purchaser and each Seller acknowledge and agree that the Escrow
Deposit represents a portion of the funds which would otherwise be payable to
such Seller under Section 1.3 and is necessary in order to secure such Seller's
indemnification obligations hereunder.

         Section 2.3 Deliveries by the Sellers. At the Closing, the Sellers or
each Seller, as the case may be, will deliver the following:

                  (a) the closing certificates referred to in Section 9.1(e);

                  (b) a certificate or certificates representing the number of
Shares listed on Schedule 1.1 opposite the name of such Seller, in each case
properly endorsed for transfer or accompanied by a duly executed stock power in
either case executed in blank or in favor of Purchaser;

                                       3
<PAGE>   11

                  (c) an opinion of counsel addressed to Purchaser from counsel
to the Sellers in substantially the form of Exhibit 2.3(c) attached hereto;

                  (d) executed counterparts of all Required Consents and
Required Permits;

                  (e) a receipt for the payment of that portion of the ESOP
Payment or the Non-ESOP Payment, as applicable, received by such Seller and a
receipt for the delivery of the Note due to such Seller, if any; and

                  (f) each of the agreements referred to in Section 8.6 to which
such Seller is a party, each executed by such Seller.

         Section 2.4 Deliveries by Company. At the Closing, Company will
deliver, or cause to be delivered, the following:

                  (a) the closing and secretary's certificates referred to in
Sections 9.1(e) and 9.1(f);

                  (b) the recorded Charter Documents of Company, recently
certified by the Secretary of State (or other proper state official) of the
State of Michigan;

                  (c) certificates of good standing and existence (or the
functional equivalents) for Company dated within 30 business days of the Closing
Date issued by the Secretary of State (or other proper state official) of the
State of Michigan;

                  (d) a certificate of good standing (or the functional
equivalent) for Company dated within 30 business days of the Closing Date issued
by the Secretary of State (or other proper state official) of each state in
which Company is qualified to transact business as a foreign corporation;

                  (e) all Books and Records of Company;

                  (f) an opinion of counsel addressed to Purchaser from counsel
to Company in substantially the form of Exhibit 2.4(f) attached hereto;

                  (g) any nondisturbance agreements obtained pursuant to Section
4.13(b);

                  (h) any estoppel letters obtained pursuant to Section 4.13(b);

                  (i) executed counterparts of all Required Consents and
Required Permits;

                  (j) an executed counterpart of the Escrow Agreement; and

                  (k) all other previously undelivered documents, instruments
and writings required to be delivered by Company to Purchaser at or prior to the
Closing pursuant to this Agreement and such other documents, instruments and
certificates as Purchaser may reasonably request in connection with the
transactions contemplated by this Agreement.

         Section 2.5 Deliveries by Purchaser. At the Closing, Purchaser will
deliver, or cause to be delivered, the following:

                                       4
<PAGE>   12

                  (a) the ESOP Payment, the Non-ESOP Payment, and the Escrow
Deposit in accordance with Section 1.3;

                  (b) the Notes;

                  (c) the secretary's certificate referred to in Section 9.2(a);

                  (d) the recorded Charter Documents of Purchaser, recently
certified by the Secretary of State (or other proper state official) of the
State of Delaware;

                  (e) a certificate of existence and good standing for Purchaser
dated within 30 business days of the Closing Date issued by the Secretary of
State of the State of Delaware;

                  (f) a receipt to each Seller for the delivery of the number of
Shares listed on Schedule 1.1 opposite the name of such Seller;

                  (g) each of the agreements referred to in Section 8.6 to which
Purchaser is a party, each executed by Purchaser; and

                  (h) all other previously undelivered documents, instruments
and writings required to be delivered by Purchaser to Company or the Sellers at
or prior to the Closing pursuant to this Agreement and such other documents,
instruments and certificates as the Sellers may reasonably request in connection
with the transactions contemplated by this Agreement.

         Section 2.6 Simultaneous Deliveries. The delivery of the documents
required to be delivered at the Closing pursuant to this Agreement will be
deemed to occur simultaneously. No delivery will be effective until each Party
has received or waived receipt of all the documents that this Agreement entitles
such Party to receive.

         Section 2.7 Sales and Transfer Taxes. Any Taxes and any transfer,
recording or similar fees and charges arising out of or in connection with the
transactions contemplated by this Agreement will be borne by the Sellers.

                                  ARTICLE III.
                  REPRESENTATIONS AND WARRANTIES OF THE SELLERS

         Each Seller hereby represents and warrants to Purchaser, with respect
to itself and not with respect to any other Seller, that the statements made in
this Article III are true, correct and complete.

         Section 3.1 Title to Shares. Seller is the record and beneficial owner
of the number of Shares listed on Schedule 1.1 opposite the name of such Seller,
free and clear of all Encumbrances. At the Closing, Seller will sell, transfer,
assign, convey and deliver to Purchaser its entire right, title and interest in,
to and under the Shares.

         Section 3.2 Power, Authority, Right and Capacity. Seller has the
requisite power, authority, right and capacity, as the case may be, to execute
and deliver this Agreement, to perform its obligations hereunder and to
consummate the transactions contemplated hereby,

                                       5
<PAGE>   13

including the execution, delivery and performance of all the Transaction
Documents to which such Seller is a party.

         Section 3.3 Authorizations; Execution and Validity. Each of the
Transaction Documents, when executed by Seller and delivered to Purchaser, will
be duly authorized (where appropriate), executed and delivered, and will
constitute a valid, legal and binding obligation of Seller, enforceable against
Seller in accordance with the terms of such Transaction Document, subject to any
Law Affecting Creditors' Rights.

         Section 3.4 No Conflict; Consents. The execution, delivery and
performance by Seller of each Transaction Document to which it is a party will
not (a) violate any Law, (b) violate any Charter Document of such Seller (if
applicable), (c) violate any Order to which Seller is a party or by which Seller
or its assets is bound, (d) result in the creation of any Encumbrance on any of
the Shares, or (e) require any Consent from any Person.

                                  ARTICLE IV.
                  REPRESENTATIONS AND WARRANTIES OF THE COMPANY

         Company hereby represents and warrants to Purchaser that the statements
made in this Article IV are true, correct and complete:

         Section 4.1 Organization and Good Standing. Company is a corporation
duly incorporated, validly existing and in good standing under the laws of the
State of Michigan and has the requisite power and authority to own or lease its
property and to carry on business as now being conducted. Company is duly
licensed or qualified as a foreign corporation in each jurisdiction in which the
nature of its business makes such license or qualification necessary, except
those jurisdictions wherein the failure to so qualify would not have a Material
Adverse Effect on Company. Schedule 4.1 lists the jurisdictions in which Company
is qualified to transact business as a foreign corporation. There is no pending
or threatened proceeding for the dissolution, liquidation, insolvency or
rehabilitation of Company.

         Section 4.2 Delivery of Charter Documents. Company has heretofore
furnished or made available to Purchaser a complete and correct copy of its
Charter Documents, each as in effect on the Signing Date. Company is not in
violation of any provision of its Charter Documents.

         Section 4.3 Power and Authority. Company has all requisite corporate
power and authority necessary to execute and deliver this Agreement, to perform
its obligations hereunder and to consummate the transactions contemplated
hereby, including the execution, delivery and performance of all the Transaction
Documents to which Company is a party. The execution and delivery of the
Transaction Documents by Company have been duly and validly authorized by all
necessary corporate action and no other corporate proceedings on the part of
Company are necessary to authorize this Agreement or to consummate the
Transaction Documents. Company has all requisite corporate power and authority
necessary to own, operate and lease its assets and to carry on its business as
and where conducted.

         Section 4.4 Authorization; Execution and Validity. Each of the
Transaction Documents, when executed by Company and delivered to Purchaser, will
be duly authorized,

                                       6
<PAGE>   14

executed and delivered, and will constitute a valid, legal and binding
obligation of Company, enforceable against Company in accordance with the terms
of such Transaction Document, subject to any Law Affecting Creditors' Rights.

         Section 4.5 No Conflict; Consents. The execution, delivery and
performance by Company of each Transaction Document to which it is a party will
not, subject to obtaining the Required Consents, Required Permits and Consents
required by Governmental Authorities (a) violate any Law, (b) violate any
Charter Document of Company, (c) violate any Order to which Company is a party
or by which Company or its Assets is bound, (d) breach any Material Contract,
Real Property Lease or Personal Property Lease, (e) result in the creation of
any Encumbrance on any Assets of Company, other than Permitted Encumbrances, or
(f) require any Consent from any Person.

         Section 4.6 Capitalization. Schedule 4.6 lists the total number of
authorized, issued and outstanding shares of capital stock of Company. As of the
date hereof, all of the Shares have been duly authorized and validly issued and
are fully paid and non-assessable. There are no issued and outstanding shares of
capital stock of Company other than the Shares. Except as disclosed on Schedule
4.6, as of the date of this Agreement, there is no authorized or outstanding
option, subscription, warrant, call, right, commitment, contract, understanding
or other agreement obligating Company to (a) offer, sell, issue, grant, pledge,
transfer, encumber or otherwise dispose of any of the Shares or any other equity
securities of Company, (b) redeem, purchase or otherwise acquire, or offer to
redeem, purchase or otherwise acquire any of the Shares or any other equity
securities of Company or (c) grant any Lien on any of the Shares or any other
equity securities of Company. None of the Shares were issued or will be
transferred pursuant to this Agreement in violation of any preemptive,
preferential or similar rights of any Person. Except as disclosed on Schedule
4.6, Company does not own any shares of capital stock, partnership interests or
other beneficial ownership interests in any other Person.

         Section 4.7 Financial Statements.

                  (a) Reviewed Financial Statements. Attached hereto as Schedule
4.7(a) are the reviewed balance sheets of Company as of September 30, 1998 (the
"YEAR-END BALANCE SHEET" and such date is the "BALANCE SHEET DATE"), September
30, 1997 and September 30, 1996, together with the reviewed statement of
operations, changes in shareholders' equity and cash flows of Company for the
fiscal years then ended, and the notes thereto, accompanied by the reports
thereon of Plante & Moran, L.L.P., independent public accountants (collectively,
the "REVIEWED FINANCIAL STATEMENTS"). The Reviewed Financial Statements have
been prepared in accordance with normal, customary and reasonable accounting
practices applied by Company on a consistent basis, and, subject to any
disclaimers or qualifications in the reports of Plante & Morgan, L.L.P. included
therewith, present fairly, in all material respects, the financial position of
Company as of the dates indicated and the results of Company's operations and
cash flows for the periods then ended.

                  (b) Interim Financial Statements. Attached hereto as Schedule
4.7(b) are the interim unaudited balance sheets of Company as of December 31,
1998 (the "INTERIM BALANCE SHEET") and the related statements of operations,
changes in shareholders' equity and cash flows for the three month period ended
on such date (collectively, the "INTERIM FINANCIAL

                                       7
<PAGE>   15

STATEMENTS"). The Interim Financial Statements have been prepared in accordance
with the Books and Records and with normal, customary and reasonable accounting
practices applied by Company on a consistent basis, and present fairly, in all
material respects, the financial position of Company as of the date indicated
and the results of its operations and cash flows for the period then ended,
subject to normal year-end adjustments by Company or any independent auditor in
connection with the audit thereof.

         Section 4.8 No Undisclosed Liabilities. Except as described in the
Year-End Balance Sheet or as set forth on Schedule 4.8, none of the Assets or
the Business is subject to any Claim of any nature, absolute or contingent, and,
to Company's Knowledge, no events have occurred or circumstances exist that
could give rise to any future Claim that could have a Material Adverse Effect on
the Assets or the Business.

         Section 4.9 Absence of Certain Changes. Since the Balance Sheet Date,
Company has conducted its business only in the ordinary course of business
consistent with past practices and, without limiting the generality of the
foregoing, except as set forth on Schedule 4.9 or otherwise disclosed in this
Agreement, there has not been any (a) event or events (whether or not covered by
insurance) which, and, to Company's Knowledge, no facts or conditions exist
which, individually or in the aggregate, would reasonably be expected to prevent
or delay consummation of the Agreement or otherwise prevent Company from
performing its obligations under this Agreement or have had, or would reasonably
be expected to have a Material Adverse Effect on Company, (b) amendment to the
Charter Documents of Company, (c) payment of any dividend or distribution made
with respect to Company's capital stock, (d) redemption or purchase of Company's
capital stock, (e) amendment, termination or receipt of notice of termination of
or entry into any Material Contract, (f) incurrence or guarantee of any debt by
Company, other than trade and accounts payable incurred in the ordinary course
of business consistent with past practices, (g) loan to, or transaction with,
any officer, director or shareholder of Company, (h) waiver of any material
right or release of any debt or claim by Company, (i) amendment or termination
of any Permit of Company, (j) destruction, damage or other loss to any material
asset of Company, (k) adoption of, or increase in, the payments to or benefits
under any Employee Benefit Plan of Company (except for vesting of certain
benefits as a direct result of the consummation of the transactions contemplated
in this Agreement), (l) sale, lease, or other disposition of any Assets used in
the Business of Company, other than Assets sold, leased or otherwise disposed of
in the ordinary course of business consistent with past practices, (m)
imposition of any Encumbrance on any of the Assets of Company, other than
Permitted Encumbrances, (n) purchase or lease of any Assets used in the Business
of Company, other than Assets purchased or leased in the ordinary course of
business consistent with past practices, (o) payment of any bonus or any
increase in the salary, bonus or other compensation payable to any officer,
director or employee of Company, (p) change in any accounting method used by
Company, (q) acceleration related to the collection of Accounts Receivable of
Company or delay related to the payment of accounts payable of Company, or (r)
agreement or commitment to take any action described in this Section.

         Section 4.10 Sufficiency and Condition of and Title to the Assets.

                  (a) Sufficiency of the Assets. The assets reflected on the
Books and Records of Company (the "ASSETS") constitute all the assets,
properties, licenses and other arrangements that

                                       8
<PAGE>   16

are presently being used or are related in any material way to the Business, and
are sufficient to operate the Business in a manner consistent with past
practices and historic capacity.

                  (b) Condition of the Assets. Except as disclosed on Schedule
4.10(b), each of the Assets is in normal operating condition and repair
(ordinary wear and tear excepted), with no known defects, and suitable for its
intended use.

                  (c) Title to the Assets. Company holds good, valid and
indefeasible title to, or a valid leasehold interest in, each of the Assets,
free and clear of all Encumbrances, other than Permitted Encumbrances.

         Section 4.11 Accounts Receivable. All accounts receivable of Company
reflected on the Interim Balance Sheet (the "ACCOUNTS RECEIVABLE") represent or
will represent valid and genuine obligations arising from bona fide sales and
deliveries of goods made, commissions earned or services performed in the
ordinary course of business. Unless paid prior to the Closing Date, the Accounts
Receivable are current and collectible net of the respective reserves shown on
the Interim Balance Sheet (which reserves are adequate and calculated consistent
with past practices). Subject to such reserves, each of the Accounts Receivable
either has been or will be collected in full, without any set-off, within 120
days after the day on which it first becomes due and payable. Except as set
forth on Schedule 4.11, Schedule 4.8 or otherwise disclosed in this Agreement,
there is no contest, claim, or right of set-off under any contract with any
obligor of Accounts Receivable relating to the amount or validity of such
Accounts Receivable. Except as disclosed on Schedule 4.11, there are no
discounts, trade promotions or similar marketing arrangements that affect the
collectibility or value of any such Accounts Receivable.

         Section 4.12 Inventory. Company owns all of the inventory reflected on
the Year-End Balance Sheet and all inventory that it has acquired or created
after the Balance Sheet Date, other than inventory disposed of since then in the
ordinary course of business consistent with past practices.

         Section 4.13 Real Property.

                  (a) Owned Real Property. Schedule 4.13(a) lists, as of the
Signing Date, each parcel of real property owned by Company, including the
street address of each property and a summary description of the buildings and
improvements thereon. Each parcel of real property listed on Schedule 4.13(a)
and any parcel of real property purchased after the Signing Date in accordance
with Section 6.3 (collectively, the "OWNED REAL PROPERTY") is (i) to the
Company's Knowledge, in compliance with all applicable Laws, including the
Americans with Disabilities Act and any building, fire, land use, occupancy,
safety, set-back, or zoning Law, (ii) not burdened by any covenant, easement,
encroachment, restrictive covenant, right-of-way, or servitude, and (iii) to the
Company's Knowledge, not subject to any pending or threatened condemnation,
eminent domain or similar Action.

                  (b) Leased Real Property. Schedule 4.13(b) lists all the
leases of real property to which Company is a party and which are in effect as
of the Signing Date. All of the leases on Schedule 4.13(b) and any leases of
real property entered into after the Signing Date in accordance with Section 6.3
(collectively, the "REAL PROPERTY LEASES") are valid, binding and in

                                       9
<PAGE>   17

full force and effect. Neither Company nor, to Company's Knowledge, any other
Person is in default under any Real Property Lease, nor is there any event which
with notice or lapse of time, or both, would constitute a default thereunder by
Company or any other Person. Company has requested in writing (copies of which
requested have been provided to Purchaser) (i) a nondisturbance agreement from
each lessor's lender under each of the Real Property Leases and (ii) an estoppel
letter substantially in the form of Exhibit 4.13(b) from each lessor under each
of the Real Property Leases. True and complete copies of all the Real Property
Leases, any amendments thereto and any nondisturbance agreements and estoppel
letters have been provided to Purchaser prior to the Signing Date.

         Section 4.14 Personal Property.

                  (a) Owned Personal Property. Schedule 4.14(a) lists, as of the
Signing Date, all of the material personal property (including all machinery,
equipment, vehicles, structures, fixtures and furniture) owned by Company,
located on its premises or shown on the Interim Balance Sheet or acquired after
the date thereof (except for inventory subsequently sold in the ordinary course
of business and consistent with past practices).

                  (b) Leased Personal Property. Schedule 4.14(b) lists, as of
the Signing Date, all the leases of personal property to which Company is a
party. All of the leases on Schedule 4.14(b) and any leases of personal property
entered into after the Signing Date in accordance with Section 6.3
(collectively, the "PERSONAL PROPERTY LEASES") are valid, binding and in full
force and effect. Neither Company nor, to Company's Knowledge, any other Person
is in default under any Personal Property Lease, nor is there any event which
with notice or lapse of time, or both, would constitute a default thereunder by
Company or any other Person. True and complete copies of all the Personal
Property Leases and any amendments thereto have been provided to Purchaser prior
to the Signing Date.

         Section 4.15 Compliance with Laws. Except as disclosed on Schedule
4.15, Company is in compliance with (a) all Laws applicable to Company or by
which any property or asset of Company is bound or affected, and (b) all
Permits, except where the failure to be in compliance under either (a) or (b)
would not, individually or in the aggregate, reasonably be expected to prevent
or delay consummation of the Agreement or otherwise prevent Company from
performing its obligations under this Agreement and has not had, and would not
reasonably be expected to have, a Material Adverse Effect on Company. Except as
set forth on Schedule 4.15, Company has not received any notice from any
Governmental Authority or other Person asserting that Company has violated any
Law. To Company's Knowledge, no events have occurred and no circumstances exist
that could reasonably be expected to cause Company to fail to be in compliance
with any Law or Permit in the future.

         Section 4.16 Insurance. Schedule 4.16 lists, as of the Signing Date,
all insurance policies to which Company is a party or which insure the Business
or any of the Assets against loss (collectively, the "INSURANCE POLICIES"),
including each insurer's name, coverage deductible and limit, expiration date
and current premium. Schedule 4.16 specifically lists all split dollar Insurance
Policies to which Company is a party. Except as otherwise noted on Schedule
4.16, Company has the right to reimbursement for premiums paid on all split
dollar Insurance Policies. Except as disclosed on Schedule 4.16, each Insurance
Policy is in full force and effect, all

                                       10
<PAGE>   18

premiums with respect thereto have been paid to the extent due, and no notice of
cancellation or termination has been received with respect to any such policy,
other than any policy that will be replaced or is intended to be replaced prior
to the expiration thereof by policies providing substantially the same coverage
from an insurer that is financially sound and reputable. To Company's Knowledge,
the coverage provided by the Insurance Policies is not less than the coverage
customary in Company's industry. True and complete copies of all Insurance
Policies have been provided to Purchaser.

         Section 4.17 Contracts. Schedule 4.17 lists, as of the Signing Date,
all the contracts, agreements, commitments, arrangements, leases, policies or
other instruments relating to the operation or ownership of the Business or the
Assets or by which any of the Assets is bound, pursuant to which the obligations
to be performed by any party thereto after the Signing Date are, or are
contemplated to be, with respect to any such contract (a) in excess of $15,000
during any 12-month period during the term thereof, (b) not terminable prior to
three months from the Signing Date, or (c) otherwise material to the Business.
All of the contracts listed on Schedule 4.17 and any contracts entered into
after the Signing Date in accordance with Section 6.3 (collectively, the
"MATERIAL CONTRACTS") are valid and binding and in full force and effect.
Neither Company nor, to Company's Knowledge, any other Person is in default
under any Material Contract, nor is there any event which with notice or lapse
of time, or both, would constitute a default thereunder by Company or any other
Person. Other than the Material Contracts, Company is not a party to any
contract which (x) requires the Consent of any Person in order to consummate the
transactions contemplated by this Agreement, (y) is in excess of the normal,
ordinary and usual requirements of the Business, or (z) to Company's Knowledge,
is excessive in price or quantity. True and complete copies of all the Material
Contracts have been provided to Purchaser.

         Section 4.18 Litigation; Orders. Except as disclosed on Schedule 4.18,
there is no Claim or Action pending or, to the Company's Knowledge, threatened
against Company, at law or in equity, before any arbitrator or Governmental
Authority which (a) individually or in the aggregate, has had, or would
reasonably be expected to have, a Material Adverse Effect on Company or (b)
seeks to or would reasonably be expected to prevent or delay consummation of the
Agreement or otherwise prevent Company from performing its obligations under
this Agreement, and to Company's Knowledge, no basis therefor exists. True and
complete copies of all material pleadings in the Actions listed on Schedule 4.18
have been provided to Purchaser.

         Section 4.19 Environmental Orders and Agreements. The Company is not
the subject of any outstanding written Order, contract, agreement, commitment,
or other arrangement with any Governmental Authority or any other Person
respecting Environmental Laws or Hazardous Materials.

         Section 4.20 Environmental Matters.

                  (a) Compliance with Environmental Laws. The Business has been
and is operated in material compliance with all Environmental Laws and all
Permits required under any applicable Environmental Laws (collectively, the
"ENVIRONMENTAL PERMITS").

                                       11
<PAGE>   19

                  (b) Hazardous Materials. Company has not caused or allowed the
generation, treatment, manufacture, processing, distribution, use, storage,
discharge, release, disposal, transport or handling of any Hazardous Materials
at any of the properties or facilities used in connection with the Business. To
Company's Knowledge, none of the off-site locations where Company has
transported, released, discharged, stored, disposed or arranged for the disposal
of Hazardous Materials has been listed on the National Priorities List.

                  (c) Existence of any Actions. Except as set forth on Schedule
4.20, there are no past, pending or, to Company's Knowledge, threatened,
Actions, demands, claims, liens, notices of non-compliance or violation, notices
of liability or potential liability, investigations, consent orders or consent
agreements relating to Environmental Laws and Environmental Permits
("ENVIRONMENTAL CLAIMS") against Company by any Person, and to Company's
Knowledge, there are no circumstances that could form the basis of any such
Environmental Claim.

                  (d) Environmental Permits. To Company's Knowledge, Company
does not require any Environmental Permits for the operation of the Business in
compliance with all Environmental Laws.

                  (e) Environmental Reports. Company has made available to
Purchaser copies of any and all environmental reports, studies or analyses in
its possession relating to the current or former operations of Company.

         Section 4.21 Permits. Schedule 4.21 lists all the Permits related to
the Assets or the operation of the Business, and indicates those Permits for
which the Consent of any Person is required to assign such Permit. Except as
disclosed on Schedule 4.21, Company is in possession of all grants, Permits,
easements, variances, exceptions, Consents, and Orders of any Governmental
Authority necessary for it to own, lease or operate its properties or to conduct
the Business as it is now being conducted, except for those which the failure to
possess, individually or in the aggregate, would not reasonably be expected to
prevent or delay consummation of the Agreement or otherwise prevent Company from
performing its obligations under this Agreement and have not had, and would not
reasonably be expected to have, a Material Adverse Effect on Company and, as of
the date hereof, no suspension, revocation, termination or cancellation of any
of the Permits is pending or, to Company's Knowledge, threatened, except for
such suspensions, revocations, terminations or cancellations which, individually
or in the aggregate, would not reasonably be expected to prevent or delay
consummation of the Agreement or otherwise prevent Company from performing its
obligations under this Agreement, and have not had, and would not reasonably be
expected to have, a Material Adverse Effect on Company. There is no Action
pending or, to Company's Knowledge, threatened, to revoke or limit any Permit
listed on Schedule 4.21.

         Section 4.22 Intangible Assets.

                  (a) Owned Intangible Assets. Schedule 4.22(a) lists all the
Intangible Assets owned by Company as of the Signing Date. With respect to the
Intangible Assets listed on Schedule 4.22(a) and all the Intangible Assets
obtained or developed prior to the Closing, (i) Company owns all right, title
and interest in, to and under such Intangible Assets free and clear of all
Encumbrances, (ii) Company has not sold, transferred, licensed, sub-licensed or

                                       12
<PAGE>   20

conveyed any interest in any of such Intangible Assets, and (iii) to Company's
Knowledge, no Person has infringed upon or misappropriated any of such
Intangible Assets.

                  (b) Licensed Intangible Assets. Except as set forth on
Schedule 4.22(b) Company has no licenses or contracts related to any Intangible
Asset used by Company. Company has not infringed upon or misappropriated any
Intangible Asset owned by another Person.

         Section 4.23 Employees.

                  (a) Employees. Schedule 4.23(a) lists the name, job title,
date of employment and current annual compensation (including salary and bonus)
for each employee of Company employed as of the Signing Date (collectively, the
"EMPLOYEES"). To Company's Knowledge, all Employees are either United States
citizens or resident aliens specifically authorized to engage in employment in
the United States in accordance with all Laws. Except for qualified retirement
plan benefits for which an Employee or former employee is not in pay status or
which an employee or former employee is otherwise due, and except as otherwise
disclosed on Schedules 4.23(b), 4.24(c) or otherwise in this Agreement, all
Employees and former employees of Company have been, or will have been on or
before the Closing, paid in full all wages, salaries, commissions, bonuses,
vacation pay, severance and termination pay, sick pay, and other compensation
for all services performed by them that, in each case, was accrued by them up to
the Closing and payable as of the Closing in accordance with the obligations of
Company under any employment or labor practices and policies, or any collective
bargaining agreement or individual agreement to which Company is a party, or by
which Company may be bound. All Employees and contract labor are and have been
properly classified by Company for wage-hour, employee benefits and payroll tax
purposes.

                  (b) Contracts. Schedule 4.23(b) lists each (i) contract
between Company and an Employee, and (ii) collective bargaining agreement and
other contract to or with any labor union, employee representative or group of
employees. Other than the contracts listed on Schedule 4.23(b), Company's
employment of each Employee is terminable at will without any penalty or
severance obligation of any kind on the part of Company.

                  (c) Compliance with Labor Laws. Company has complied and is
presently complying with all Laws respecting employment and employment
practices, terms and conditions of employment, and wages and hours and
occupational safety and health, and is not engaged in any unfair labor practice
or unlawful employment practice.

                  (d) Labor Actions and Relations. There is no unfair labor
practice charge or complaint against Company pending or, to Company's Knowledge,
threatened, before the National Labor Relations Board nor is there any grievance
nor any arbitration proceeding arising out of or under any collective bargaining
agreement pending and, to Company's Knowledge, no basis for any such charge,
complaint or grievance exists. There is no labor strike, slowdown or work
stoppage pending or threatened against Company. Company has not experienced any
significant work stoppages or been a party to any Action before the National
Labor Relations Board involving any issue for the past three years nor been a
party to any arbitration proceeding arising out of or under any collective
bargaining agreement for the past three years. There is no charge or complaint
pending or threatened against Company before the Equal Employment

                                       13
<PAGE>   21

Opportunity Commission or the Department of Labor or any state or local agency
of similar jurisdiction. No labor organization has made a demand for recognition
or has filed a petition for representation against Company within the past three
years.

                  (e) WARN Act. Neither Company nor any Person with whom Company
is treated as an "employer" for purposes of the Worker Adjustment and Retraining
Notification Act or any similar state Law has incurred any liability or
obligation under such Laws.

         Section 4.24 Employee Benefits.

                  (a) Welfare Benefit Plan. Schedule 4.24(a) lists, as of the
Signing Date, each Welfare Benefit Plan maintained by Company or to which
Company contributes or is required to contribute with respect to any Person (the
"COMPANY WELFARE BENEFIT PLANS"). Complete and current copies of the plan
documents for each of the Company Welfare Benefit Plans and all related summary
plan descriptions have been provided to Purchaser, together with the two most
recently filed annual reports for such plans. Company has no liability for
contributions, premiums or other payments more than 30 days past due with
respect to any of the Company Welfare Benefit Plans. Except as set forth on
Schedule 4.24(a), no Company Welfare Benefit Plan provides for any benefits to
retirees or former employees except as required by Part 6 of Title I of ERISA.

                  (b) Pension Benefit Plans. Schedule 4.24(b) lists, as of the
Signing Date, each Pension Benefit Plan maintained by Company or to which
Company contributes or is required to contribute with respect to any Person
("COMPANY PENSION BENEFIT PLANS"). True, correct and complete copies of the plan
and related trust documents for each Company Pension Benefit Plan and all
related summary plan descriptions have been provided to Purchaser, together with
the two most recently filed annual reports for such plans. In addition, all
documents relating to any debt that has been incurred by the ESOP or other
Company Pension Benefit Plans have been provided to Purchaser. Company does not
presently maintain and, within the last six (6) years, has never maintained, nor
has had any obligation of any nature (whether contingent or otherwise) to
contribute to, any Plan covered by Title IV of ERISA or to a "defined benefit
plan" (as defined in Section 414(j) of the Code), without regard to whether such
defined benefit plan met the requirements of Section 401(a) of the Code. Company
has no liability for contributions due and unpaid with respect to the Company
Pension Benefit Plans, including any "individual account plan" (as defined in
Section 3(34) of ERISA).

                  (c) Employee Arrangements. Schedule 4.24(c) lists each
Employee Benefit Plan not otherwise disclosed in Schedules 4.23(b), 4.24(a) or
4.24(b) maintained by Company with respect to any past or present employee of
Company. True, correct and complete copies of each Employee Benefit Plan listed
on Schedule 4.24(c) (and any related documents) have been provided to Purchaser.
Company has no liability for contributions or payments more than 30 days past
due with respect to any of its Employee Benefit Plans listed on Schedule
4.24(c).

                  (d) Benefit Plan Compliance. All of the Employee Benefit Plans
maintained by Company or to which Company contributes or is required to
contribute with respect to any Person (the "COMPANY EMPLOYEE BENEFIT PLANS") and
any related trust agreements or annuity contracts (or any other funding
instruments) currently comply in all material respects, and have

                                       14
<PAGE>   22

so complied in the past, both as to form and operation, with all applicable
Laws, including ERISA and the Code. Except with respect to the ESOP, no Assets
of Company or any Company Employee Benefit Plans include any "employer
securities" or "employer real property" as such terms are defined in Section 407
of ERISA. Except as described on Schedule 4.24(d), no debt has been incurred by
any Company Employee Benefit Plan, other than liabilities for the payment of
benefits or insurance premiums.

                  (e) No Title IV Liability. No liability under Title IV of
ERISA has been or will be incurred by Company on or prior to the Closing Date.

                  (f) Benefit Commitments. Company has not made any commitment,
whether formal or informal, and whether legally binding or not, to create or
have liability under any additional Employee Benefit Plan, policy or
arrangement, or to modify any existing Company Employee Benefit Plan, except as
a direct result of the transactions contemplated by this Agreement.

                  (g) Qualification. All funded Company Pension Benefit Plans
and their related trusts which are intended to be subject to Section 401(a) of
the Code are qualified under Section 401(a) of the Code.

                  (h) Effect of Consummation. Except as set forth in Schedule
4.24(h) or otherwise disclosed pursuant to this Agreement, the consummation of
the transactions contemplated by this Agreement will not (i) entitle any current
or former employee of Company or any other individual to a bonus, severance pay
or similar payment, (ii) otherwise accelerate the time of payment or vesting, or
increase the amount of any compensation due to any current or former employee of
Company, except as required by Law with respect to any Plan termination or
partial Plan termination, (iii) result in any prohibited transaction described
in Section 406 of ERISA or Section 4975 of the Code for which an exemption is
not available or (iv) in any way result in any additional liability with respect
to any Company Employee Benefit Plan, except for liability that is a direct
result of the transactions contemplated by this Agreement.

                  (i) No Penalties. Neither any Company Employee Benefit Plan
nor any fiduciary of any trust related to such plans has engaged in any
transaction in connection with which Company or any such fiduciary is or could
be subject either to a civil penalty or other liability under ERISA or an excise
tax imposed by the Code, and, to Company's Knowledge, no event has occurred and
no condition exists with respect to any Company Employee Benefit Plan that could
subject Company to any other tax or penalty under the Code or civil penalty or
other liability under ERISA or other Laws.

                  (j) No Actions. No Action other than routine Claims for
benefits is pending or, to Company's Knowledge, threatened involving any Company
Employee Benefit Plan.

         Section 4.25 Taxes.

                  (a) Tax Returns. (a) Except as disclosed on Schedule 4.25(a),
Company and any affiliated, consolidated, combined, unitary or similar group of
which Company is or was a member has (i) timely filed all Tax returns, reports
and declarations of estimated Tax (collectively, "RETURNS") required to be filed
by it or them, as applicable, prior to the date of this

                                       15
<PAGE>   23

Agreement (taking into account extensions), and all such Returns are true,
correct and complete in all respects, (ii) timely paid or accrued all Taxes due
for such periods covered by the Returns and (iii) paid or accrued all Taxes for
which a notice of assessment or collection has been received (other than amounts
being contested in good faith by appropriate proceedings). Neither Company nor
any affiliated, consolidated, combined, unitary or similar group of which
Company is or was a member is currently the beneficiary of any extension of time
within which to file any Return. Except as set forth in Schedule 4.25(a),
neither the Internal Revenue Service nor any other federal, state, local or
foreign taxing authority has asserted any claim for Taxes for such periods
covered by the Returns, is, to Company's Knowledge, threatening to assert any
claims for Taxes, due from or with respect to Company or any affiliated,
consolidated, combined, unitary or similar group of which Company is or was a
member. There are no currently pending legal or administrative Tax proceedings
pursuant to which Company or any affiliated, consolidated, combined, unitary or
similar group of which Company is or was a member is or could be made liable for
any Taxes. Company and any affiliated, consolidated, combined, unitary or
similar group of which Company is or was a member have open years for federal,
state and foreign income Tax Returns only as disclosed on Schedule 4.25(a).
Company does not expect any taxing authority to assess any additional Taxes for
any period for which Returns have been filed. Company has withheld or collected
and paid over, or will withhold or collect and pay over (or are properly holding
for such payments), to the appropriate Governmental Authorities all Taxes
required by Law to be withheld or collected in connection with any amounts paid
or owing to any employee, creditor, independent contractor, stockholder or other
third party. Neither Company nor any of its subsidiaries has consented to the
application of Section 341(f)(2) of the Code (or any predecessor provision).
Company has not agreed to make any adjustment pursuant to Section 481(a) of the
Code (or any predecessor provision) by reason of any change in any accounting
method, and there is no application pending with any taxing authority requesting
permission for any changes in any accounting method of Company or any
affiliated, consolidated, combined or unitary or similar group of which Company
is or was a member. Company is not a party to, is not bound by and has no
obligation under, any tax sharing agreement, tax allocation agreement or similar
contract, agreement or arrangement. Company has not executed or entered into
with the Internal Revenue Service, or any taxing authority, a closing agreement
pursuant to Section 7121 of the Code or any similar provision of state, local,
foreign or other income Tax Law. There are no liens for Taxes upon the Assets of
Company (other than liens for Taxes that are not yet due or that are being
contested in good faith by appropriate proceedings).

                  (b) Statute of Limitations and Tax Actions. Company has not
executed any presently effective waiver or extension of any statute of
limitations against assessments and collection of Taxes.

                  (c) Miscellaneous Tax Representations. There is no contract,
plan or arrangement covering any Person that, individually or collectively,
would give rise to the payment of any amount that would not be deductible by
Company by reason of Section 280G of the Code. Company is not a "foreign person"
within the meaning of Section 1445(f)(3) of the Code. Since October of 1988,
Company has not been a member of any group that filed a consolidated, combined
or unitary federal, state or foreign income Tax Return. Neither Company nor any
of its subsidiaries has been a "United States real property holding corporation"
within the meaning of Section 897(c)(2) of the Code. Company and each of its
subsidiaries have disclosed on their

                                       16
<PAGE>   24

respective federal income Returns all positions taken herein which could give
rise to a substantial understatement of federal income Tax within the meaning of
Section 6662 of the Code. Neither Company nor any of its subsidiaries has any
liability for the Taxes of any Person under Treasury Regulation 1.1502-6 or as a
transferee, or as a successor, by contract or otherwise.

                  (d) The unpaid Taxes of Company and its subsidiaries due and
owing as of the most recent fiscal month end, did not, as of such time, exceed
the reserve for Taxes (rather any reserve for deferred Taxes established to
reflect timing differences between book and Tax income) set forth on the face of
the Interim Balance Sheet (rather than in any notes thereto) and do not exceed
that reserve as adjusted for the passage of time through the Closing Date in
accordance with the past custom and practice of Company and its subsidiaries in
filing their Tax Returns.

         Section 4.26 Bank Accounts; Powers of Attorney. Schedule 4.26 lists the
names of (a) each bank, trust company and stock or other broker with which
Company has an account, credit line or safe deposit box or vault, or otherwise
maintains relations (the "BANK ACCOUNTS"), (b) all Persons authorized to draw
on, or to have access to, each of the Bank Accounts, and (c) all Persons
authorized by proxies, powers of attorney or other like instrument to act on
behalf of Company in any matter concerning the Business. Except with respect to
Company's sweep accounts specifically referenced in Schedule 4.26 which have a
zero bank balance but have a negative book balance, each of the Bank Accounts
has a positive cash balance. No proxies, powers of attorney or other like
instruments are irrevocable.

         Section 4.27 Relationship with Suppliers. Schedule 4.27 lists the ten
largest suppliers of Company based on purchases during the 12-month period ended
December 31, 1998, showing the approximate total purchases by Company from each
such supplier during such period. There has not been any Material Adverse Change
in the business relationship between Company and any supplier disclosed on
Schedule 4.27, and, except as disclosed on Schedule 4.27, to Company's
Knowledge, there will not be any such Material Adverse Change as a result of the
consummation of the transactions contemplated by this Agreement or otherwise.
The relationships of Company with its suppliers are satisfactory. To Company's
Knowledge, no such supplier has canceled or otherwise terminated, or threatened
to cancel or otherwise terminate, its relationship with Company, or to
materially decrease its services to Company.

         Section 4.28 Relationship with Principals. Schedule 4.28 lists all of
the principals of Company based on sales during the twelve month period ended
December 31, 1998, showing the approximate total sales by Company to each such
principal and the annualized commissions earned on such sales during such
period. There has not been any Material Adverse Change in the business
relationship between Company and any principal disclosed on Schedule 4.28, and,
except as disclosed on Schedule 4.28, to Company's Knowledge, there will not be
any such Material Adverse Change in the future as a result of the consummation
of the transactions contemplated by this Agreement or otherwise. The
relationships of Company with its principals are satisfactory. Except as
disclosed on Schedule 4.28, no principal has canceled or otherwise terminated,
or threatened to cancel or otherwise terminate, its relationship with Company,
or to materially decrease its usage of the services of Company.

                                       17
<PAGE>   25

         Section 4.29 Affiliated Transactions. Except as disclosed on Schedule
6.3, since the Balance Sheet Date, Company has not paid, loaned or advanced any
amount to, or sold, transferred or leased any properties or assets (tangible or
intangible) to, or entered into any agreement or arrangement with, any of the
officers, directors or shareholders (other than the ESOP) of Company or any of
its Affiliates, except for compensation to officers at rates not exceeding the
rates of compensation paid in the ordinary course of business and consistent
with rates in effect during the fiscal year ended on the Balance Sheet Date and
routine travel advances to officers and employees.

         Section 4.30 Books and Records. The Books and Records, all of which
have been made available to Purchaser, are complete and correct and have been
maintained in accordance with sound business practices.

         Section 4.31 Full Disclosure. No representation or warranty of any
Seller or Company made in this Agreement, nor any written statement furnished to
Purchaser pursuant hereto or in connection with the transactions contemplated
hereby, contains or will contain any untrue statement of a material fact which
affects the Business or financial condition of Company, or omits or will omit to
state a material fact necessary to make the statements or facts contained herein
or therein not misleading.

         Section 4.32 Brokers. No Person is or will become entitled to receive
any brokerage or finder's fee, advisory fee or other similar payment for the
transactions contemplated by this Agreement by virtue of having been engaged by
or acted on behalf of the Sellers or Company.

         Section 4.33 Split Commission Arrangements. There are no split
commission arrangements maintained by Company or to which Company is a party
other than those which in no way affect the amount of commissions to be received
by the Company.

         Section 4.34 Brokerage Agreements. Schedule 4.34 lists, as of the
Signing Date, all food brokerage agreements to which Company is a party and
except as noted on Schedule 4.34 none of the brokerage agreements (i) require
more than 30 days written notice of termination, or (ii) contain any penalty
provisions related to termination for any reason by a party thereto. Company has
not breached, nor is it in default under, the terms of any food brokerage
agreement to which it is a party. Except as set forth in Schedule 4.34, as of
the Signing Date, Company has not received any notices of termination relating
to any of its food brokerage agreements and is not on probation for any reason
with any manufacturer.

         Section 4.35 Market Development Fund Accounts. Schedule 4.35 lists, as
of the Signing Date, all market development fund accounts (each, an "MDF
ACCOUNT") of Company and the outstanding balances of each such MDF Account.
Except as disclosed on Schedule 4.35, Company has not overspent any MDF Account
of any principal and has properly segregated and maintained all MDF Accounts.
Except as disclosed on Schedule 4.35, Company has received no notice imposing,
and to Company's Knowledge has no, Tax liability related to any such MDF Account
and has fulfilled, in all material respects, its fiduciary duties with respect
to its MDF Accounts.

                                       18
<PAGE>   26

         Section 4.36 Change in Control. Schedule 4.36 lists all contracts,
agreements, commitments, arrangements and understandings between Company and any
of its top 50 principals (based on sales during the 12-month period ended as of
the Year of Balance Sheet Date) that contain a "change in control," "potential
change of control," or similar provision, which, as a result of the consummation
of this Agreement will (either alone or upon the occurrence of any additional
acts or events) result in (a) any payment (whether of severance or otherwise)
becoming due from Company to any Person, (b) acceleration of any obligations
under such contract, agreement or understanding, or (c) would reasonably be
expected to prevent or delay consummation of this Agreement or otherwise prevent
Company or, to Company's Knowledge, any of the Sellers, from performing their
obligations under this Agreement or would reasonably be expected to have a
Material Adverse Effect on Company.

         Section 4.37 Affiliates. Except as set forth on Schedule 4.37, Company
is not a party to any contract, agreement, commitment, arrangement or
understanding with any Affiliate.

         Section 4.38 Certain Business Practices. As of the date of this
Agreement, except for such actions which have not had, and would not reasonably
be expected to have, a Material Adverse Effect on Company, neither Company nor
any director, officer, or, to Company's Knowledge, any agent or employee of
Company has (a) used any funds for unlawful contributions, gifts, entertainment
or other unlawful expenses relating to political activity, (b) made any unlawful
payment to foreign or domestic government officials or employees or to foreign
or domestic political parties or campaigns or violated any provision of the
Foreign Corrupt Practices Act of 1977, as amended, or (c) made any other
unlawful payment.

         Section 4.39 Parachute Payments. Except as set forth on Schedule 4.39,
neither Company nor any Seller has entered into any agreement that would result
in the making of "parachute payments," as defined in Section 280G of the Code,
to any Person.

         Section 4.40 Board Recommendation. At a meeting duly called and held in
compliance with, or by unanimous written consent pursuant to, the Michigan
Compiled Laws, Chapter 450, prior to the date of this Agreement, the board of
directors of Company adopted resolutions approving this Agreement and the
transactions contemplated herein, based on a determination that the Agreement is
fair to Company and to the Sellers and is in the best interest of the Sellers.
These resolutions have not been withdrawn, rescinded, superseded or modified in
any way and remain in full force and effect.

         Section 4.41 HSR Requirements., Company, including, on a fully
consolidated basis, any entities that Company controls 50% or more, directly or
indirectly, has total assets of less than $25 million and annual sales of less
than $25 million, within the meaning of the Hart-Scott-Rodino Antitrust
Improvements Act of 1976, as amended (the "HSR ACT") and applicable regulations
thereunder, 16 C.F.R. Parts 801-803; and (b) the transactions contemplated by
the Transaction Documents are exempt from the requirements of the HSR Act under
16 C.F.R. sec. 802.20.

                                       19
<PAGE>   27

         Section 4.42 Year 2000.

                  (a) Except as disclosed on Schedule 4.42, each item of
hardware, software, information technology, embedded, electro-mechanical or
processor based system or any combination thereof, used, developed,
manufactured, distributed, licensed, transferred or delivered by Company on or
before the Closing Date (each a "System"), shall be able to correctly function,
operate, process data or perform date related calculations, including, but not
limited to, (i) calculate, compare and sequence, from, into and between the
years 1999 and 2000, (ii) accurately process, provide and receive date data,
including leap year calculations, into and between the years 1999, 2000 and
beyond, and (iii) otherwise function according to the specifications thereof
both before, during and following January 1, 2000. Neither performance nor
functionality of any System shall be affected by dates prior to, during or after
January 1, 2000.

                  (b) Except as disclosed on Schedule 4.42, each System
containing or calling on a calendar function including, without limitation, any
function indexed to the CPU clock, and any function providing specific dates or
days, or calculating spans of dates or days, shall record, store, process,
provide and, where appropriate, insert, true and accurate dates and calculations
for dates and spans, before, during and following January 1, 2000.

                  (c) Except as disclosed on Schedule 4.42, each System shall
have no lesser functionality or operability with respect to records containing
dates, before, during or after January 1, 2000, than heretofore with respect to
dates prior to January 1, 2000;

                  (d) Except as disclosed on Schedule 4.42, Each System shall be
fully interoperable and shall interface with any and all other systems, software
and/or hardware used by Purchaser before, during or after January 1, 2000, and
otherwise exchange data, including date related data, therewith.

                                   ARTICLE V.
                   REPRESENTATIONS AND WARRANTIES OF PURCHASER

         Purchaser hereby represents and warrants to the Sellers that the
statements set forth in this Article V are correct and complete.

         Section 5.1 Organization; Good Standing; Delivery of Charter Documents.
Purchaser is a corporation duly organized, validly existing and in good standing
under the laws of the State of Delaware. Purchaser is duly qualified or licensed
as a foreign corporation in each jurisdiction in which its assets are owned or
leased, or in which the nature of its business makes such qualification or
licensing necessary, except those jurisdictions wherein the failure to so
qualify would not have a Material Adverse Effect on Purchaser.

         Section 5.2 Power and Authority. Purchaser has all requisite corporate
power and authority necessary to execute and deliver this Agreement, to perform
its obligations hereunder and to consummate the transactions contemplated
hereby, including the execution, delivery and performance of all the other
Transaction Documents to which Purchaser is a party. Purchaser has all requisite
corporate power and authority necessary to own, operate and lease its assets and
to carry on its business as and where conducted.

                                       20
<PAGE>   28

         Section 5.3 Authorization; Execution and Validity. Each of the
Transaction Documents, when executed and delivered by Purchaser, will be duly
authorized, executed and delivered, and will constitute a valid, legal and
binding obligation of Purchaser, enforceable against Purchaser in accordance
with the terms of such Transaction Document, subject to any Law Affecting
Creditors' Rights.

         Section 5.4 No Conflict; Purchaser Consents. The execution, delivery
and performance by Purchaser of each Transaction Document to which it is a party
will not (a) violate any Law, (b) violate any Charter Document of Purchaser, (c)
violate any Order to which Purchaser is a party or by which Purchaser or its
assets is bound, or (d) except for any Consent required under the RMSI Indenture
or the RMSI Credit Agreement, require any Consent from any Person.

         Section 5.5 Brokers. No Person is or will become entitled to receive
any brokerage or finder's fee, advisory fee or other similar payment for the
transactions contemplated by this Agreement by virtue of having been engaged by
or acted on behalf of Purchaser.

                                  ARTICLE VI.
                      COVENANTS OF COMPANY AND THE SELLERS

         Section 6.1 Cooperation of Company and the Sellers. From the Signing
Date through the Closing Date, Company and each Seller will use all reasonable
efforts (a) to take all actions and to do all things necessary or advisable to
consummate the transactions contemplated by this Agreement, (b) to cooperate
with Purchaser in connection with the foregoing, including using all reasonable
efforts to obtain all of the Consents, and (c) subject to the other terms and
conditions of this Agreement, to cause all the conditions set forth in Section
9.1, the satisfaction of which is in the reasonable control of Company and the
Sellers, to be satisfied on or prior to the Closing.

         Section 6.2 Pre-Closing Access to Information. From the Signing Date
through the Closing Date, Company and each Seller will afford to Purchaser and
its Representatives access to the properties and the Books and Records of
Company.

         Section 6.3 Conduct of Business.

                  (a) Ordinary Course. Except as set forth on Schedule 6.3, from
the Signing Date through the Closing Date or the termination of all negotiations
relating to the consummation of this Agreement, Company and each Seller, in
connection with the conduct of the Business, (i) will use all reasonable efforts
to (A) preserve substantially the relationships with its Representatives,
suppliers, principals, and customers, (B) perform its obligations under all
contracts, leases and Permits, (C) comply with all Laws, (D) confer with
Purchaser regarding operational matters of a material nature, (E) report
periodically to Purchaser regarding the status of the Business and the results
of operations of Company, and (F) conduct the Business in the ordinary course
and consistent with past practices and (ii) will not, without the written
consent of Purchaser, (A) enter into or agree to any transaction outside the
ordinary course of its business, (B) incur any additional indebtedness, (C)
issue any equity securities, or rights to purchase equity securities, (D)
increase or agree to increase the salary, compensation, bonus, or benefits of
any of the Sellers or any of the directors, officers or employees of Company,
(E) make or cause to be

                                       21
<PAGE>   29

made any dividends, advances or similar distributions of any kind to any Seller
or to any director, officer or employee of Company, or (F) sell or otherwise
dispose of or encumber any asset or property of Company or any of its
Affiliates.

                  (b) Prohibited Actions. Except as otherwise required or
permitted by this Agreement or listed on Schedule 6.3, from the Signing Date
through the Closing Date or the termination of all negotiations relating to the
consummation of this Agreement, Company and each Seller will not, without the
prior written consent of Purchaser, take or fail to take any action as a result
of which any of the changes or events listed in Section 4.9 occur or become
likely to occur.

         Section 6.4 Supplements to Schedules. If, between the Signing Date and
the Closing Date, Company or any Seller becomes aware that any of its
representations and warranties in this Agreement or the schedules to this
Agreement was inaccurate when made or if during such period any event occurs or
condition changes that causes any of such representations and warranties to be
inaccurate, then such Party will notify Purchaser thereof in writing and
supplement the schedules hereto to account for any such inaccuracy, event or
change. Any such supplement to the schedules will not be deemed to have been
disclosed as of the Signing Date or to have cured any breach of representations
and warranties made in this Agreement, unless so agreed to in writing by
Purchaser; provided, however, that any such supplement to the schedules will be
deemed to be disclosed as of the Closing Date for purposes of the accuracy of
the representations and warranties made in this Agreement as of the Closing
Date.

         Section 6.5 Standstill. From the Signing Date through the Closing Date
or prior to the termination of all negotiations relating to the consummation of
the transactions contemplated by this Agreement in the event the Closing does
not occur within 179 days after the Signing Date, Company and each of the
Sellers will not, and will cause its and their Representatives to not, directly
or indirectly, (i) initiate, solicit, seek, encourage or otherwise facilitate
(including by way of furnishing information or assistance) any inquiry,
communication or proposal that constitutes, or could reasonably be expected to
result in, an Acquisition Proposal, (ii) enter into any agreement contemplating
or otherwise relating to an Acquisition Proposal, (iii) provide any information
or data to, or engage in, maintain or continue discussions or negotiations with,
any Person in furtherance of any such inquiry, communication or proposal or
otherwise relating to an Acquisition Proposal or for the purpose of obtaining an
Acquisition Proposal, (iv) accept, agree to, endorse or recommend any
Acquisition Proposal, or (v) release any third party from any standstill or
confidentiality agreement, or waive or amend any provision thereof, to which it
is a party; provided, that no Person shall be deemed to have provided any
information or data to, or engaged in, maintained or continued discussions or
negotiations with, any other Person in violation of this Section if such Person
(without identifying Purchaser) advises the other Person that they are precluded
from taking any action that would constitute a violation of this Section, and
nothing shall prohibit the board of directors of Company from making any
disclosure to the shareholders of Company if such disclosure is required by
applicable Law. Company and Sellers shall notify Purchaser orally (within three
Business Days) and in writing (as promptly as practicable) of all relevant
details relating to, and all material aspects of (including the identity of the
Person making such inquiry, communication or proposal), all inquiries,
communications and proposals which they or any of its or their Representatives
may receive relating to any of such matters and, if such inquiry, communication
or proposal is in written form or electronically or

                                       22
<PAGE>   30

magnetically stored, shall deliver to Purchaser a copy of such inquiry,
communication or proposal as promptly as practicable. Company and Sellers have
terminated, and have caused each of its and their Representatives to cease and
terminate, any existing initiation, solicitation, encouragement, facilitation,
communication, discussion or negotiation with any Person conducted heretofore by
Company, or any of its Representatives relating to any Acquisition Proposal.
Company and Sellers shall promptly notify its or their Representatives of the
obligations undertaken in this Section and any violation of the restrictions set
forth in the two immediately preceding sentences by any Representative, whether
or not acting on behalf of Company or Sellers, shall be deemed to be a breach of
this Section by Company.

         Section 6.6 Discharge of Encumbrances. Company and each Seller will
take all actions and do all things necessary to cause all Encumbrances other
than Permitted Encumbrances on any Assets to be terminated or otherwise
discharged at or prior to the Closing.

         Section 6.7 Non-Disclosure; Non-Competition; Non-Solicitation.

                  (a) Non-Disclosure Agreement. Each of the Non-Competition
Parties acknowledges that it has and may have access to Confidential Information
and that such Confidential Information does and will constitute valuable,
special and unique property of Purchaser. At no time will any Non-Competition
Party or any of its Representatives (i) use any Confidential Information in any
manner adverse to the business interests of Purchaser, or (ii) disclose any such
Confidential Information to any Person for any reason or purpose whatsoever
except as required by law pursuant to a court order or the order of any
Governmental Authority or as otherwise necessary for tax preparation purposes.
Upon the request of Purchaser, each Non-Competition Party will deliver to
Purchaser all letters, notes, computer disks, software, notebooks, reports and
other materials which contain Confidential Information and which are in the
possession or under the control of such Non-Competition Party.

                  (b) Non-Competition Agreement. Each Non-Competition Party
agrees not to conduct, either directly or indirectly, the Business in the States
of Michigan, Indiana, Ohio and Illinois for a period of two years after the
Closing Date, unless such Non-Competition Party is doing so solely as an
employee of Purchaser.

                  (c) Non-Solicitation Agreement. For a period of two years
after the Closing Date, each Non-Competition Party will not, either on its own
behalf or on behalf of any business competing with Purchaser, directly or
indirectly to the extent that such Non-Competition Party is prohibited in
engaging in such business pursuant to this Section, (i) solicit or induce, or in
any manner attempt to solicit or induce any Person employed by, or an agent of,
Company or Purchaser to terminate such Person's employment or agency, as the
case may be, with such entity, or (ii) solicit, divert, or attempt to solicit or
divert, or otherwise accept as a supplier or principal, any Person which sells
any products and services of Company, furnishes products or services to, or
receives products and services from, Purchaser, nor will such Non-Competition
Party attempt to induce any such supplier or principal to cease being (or any
prospective supplier or principal not to become) a supplier or principal Company
or Purchaser.

                  (d) Independent Covenants. The covenants set forth in this
Section constitute an independent and separate agreement independently supported
by good and adequate

                                       23
<PAGE>   31

consideration. Purchaser and the Non-Competition Parties intend all provisions
of this Section to be enforced to the fullest extent permitted by Law.
Accordingly, should a court of competent jurisdiction determine that the scope
of any subsection of this Section is too broad to be enforced as written, the
Parties intend that the court should reform the provision to such narrower scope
as it determines to be enforceable. If, however, any provision contained in this
Section is declared invalid or illegal, the other provisions hereof will not be
affected or impaired thereby and will remain valid and enforceable. The
existence of any Claim or cause of action of a Seller against Purchaser, whether
predicated on this Agreement or otherwise, shall not constitute a defense to the
enforcement by Purchaser of the covenants set forth in this Section; provided,
however, in the event Purchaser defaults under any terms of the Notes and has
not cured such default within the applicable period provided in the Notes, then
each of the Non-Competition Parties shall be released from the covenants of this
Section.

                  (e) Injunctive Relief. In the event of a breach or threatened
breach by any Non-Competition Party of any provision of this Section, Company
and Purchaser will be entitled to an injunction to prevent irreparable injury to
such entity. Nothing herein will be construed as prohibiting Company or
Purchaser from pursuing any other remedies available to such entity for such
breach or threatened breach, including the recovery of damages from such
Non-Competition Party.

                  (f) Acknowledgments of Non-Competition Party. Each
Non-Competition Party acknowledges that (i) any public disclosure of the
Confidential Information will have an adverse effect on Company, Purchaser and
the Business, (ii) Company and Purchaser would suffer irreparable injury if any
Non-Competition Party breaches any of the terms of this Section, (iii) Company
and Purchaser will be at a substantial competitive disadvantage if such entity
fails to acquire and maintain exclusive ownership of the Confidential
Information or if any Non-Competition Party fails to abide by the restrictions
provided for in this Section, (iv) the scope of the protective restrictions
provided for in this Section are reasonable when taking into account (A) the
negotiations between the Parties and (B) that each Non-Competition Party is the
direct or indirect beneficiary of the Purchase Price paid pursuant to this
Agreement, (v) the consideration being paid to each Non-Competition Party
pursuant to this Agreement is sufficient inducement for each Non-Competition
Party to agree to the terms hereof, (vi) the provisions of this Section are
reasonable and necessary to protect the Business, to prevent the improper use or
disclosure of the Confidential Information and to provide Company and Purchaser
with exclusive ownership of all such Confidential Information and (vii) the
terms of this Section preclude each Non-Competition Party from engaging in the
conduct of the Business, except as otherwise provided in this Section.

         Section 6.8 Comerica Loan. Prior to or simultaneously with the Closing,
Company shall discharge or refinance, pursuant to an agreement acceptable to and
approved by Purchaser prior to the consummation of such discharge or refinance,
the Comerica Loan.

                                       24
<PAGE>   32

                                  ARTICLE VII.
                             COVENANTS OF PURCHASER

         Section 7.1 Cooperation by Purchaser. From the Signing Date through the
Closing Date, Purchaser will use all reasonable efforts (a) to take all actions
and to do all things necessary or advisable to consummate the transactions
contemplated by this Agreement, (b) to cooperate with Company and the Sellers in
connection with the foregoing, including using reasonable efforts to obtain all
of the Consents, and (c) subject to the other terms and conditions of this
Agreement, to cause all the conditions set forth in Section 9.2, the
satisfaction of which is in the reasonable control of Purchaser, to be satisfied
on or prior to the Closing.

         Section 7.2 Pre-Closing Access to Information. Purchaser will comply
with the limitations on the disclosure and use of information as set forth in
the Confidentiality Agreement dated December 14, 1998, with respect to the
information that Company and the Sellers provide to Purchaser in and pursuant to
this Agreement.

         Section 7.3 Employee Benefits.

                  (a) On and after the Closing Date, Purchaser shall cause the
officers and employees of Company to be provided Employee Benefit Plans,
programs and policies which are no less favorable in the aggregate to such
officers and employees than those provided to similarly situated employees of
Purchaser as of the Signing Date. The officers and employees of Company shall
receive credit for time employed by Company for purposes of eligibility and
vesting under the Employee Benefit Plans, programs and policies contemplated by
this Section 7.3(a).

                  (b) Nothing contained in this Section shall create any third
party beneficiary rights in any officer or employee or former officer or
employee (including any beneficiary or dependent thereof) of Company in respect
of continued employment for any specified period of any nature or kind
whatsoever.

                  (c) Nothing contained in this Section shall create any
obligation on the part of Purchaser or Company to maintain the ESOP. Each of the
parties hereto hereby acknowledges and agrees that it is the intent of the
parties that Purchaser and Company shall, simultaneously with, or within three
(3) months following, the Closing, terminate the ESOP.

         Section 7.4 RMSI Debt Obligations. Purchaser shall obtain any Consents
from, and make any deliveries to, the trustee, agent, lenders or holders, as
applicable, required under the RMSI Indenture and the RMSI Credit Agreement to
consummate the transactions contemplated hereby and in the other Transaction
Documents.

                                 ARTICLE VIII.
                                MUTUAL COVENANTS

         Section 8.1 Governmental Consents. Promptly after the Signing Date,
each Party will take all actions and do all things necessary to obtain all
Consents required by any Governmental Authority to consummate the transactions
contemplated hereby. Each Party will reasonably cooperate with the other Parties
in obtaining the Consents specified in this Section.

                                       25
<PAGE>   33

         Section 8.2 Consents to Assign Leases and Contracts.

                  (a) Cooperation and Reasonable Efforts. Each Party hereby
agrees to use reasonable efforts, to take reasonable actions and to cooperate
with each other as may be necessary to obtain all Consents from third parties
(including Governmental Authorities) to consummate the transactions contemplated
by the Transaction Documents.

                  (b) Required Consents. Schedule 8.2(b) lists the Encumbered
Instruments to which a Consent to transfer and assign must be obtained from the
appropriate third party prior to the Closing (collectively, the "REQUIRED
CONSENTS").

         Section 8.3 Permits.

                  (a) Cooperation and Reasonable Efforts. Each Party hereby
agrees to use reasonable efforts, to take reasonable actions (including
Purchaser's delivery to any Governmental Authority of its audited financial
statements) and to cooperate with each other as may be necessary to transfer to
Purchaser, or assist Purchaser in obtaining, all Permits required to conduct the
Business. On or as soon as practicable after the Signing Date, each Party will
file, separately or jointly with any other Party, as the case may be, all
applications necessary to transfer or obtain such Permits. Each Party will use
reasonable efforts to resolve such objections, if any, as may be asserted by any
Governmental Authority with respect to the applications contemplated hereby.

                  (b) Required Permits. Schedule 8.3(b) lists the Permits which
must be transferred to or obtained by Purchaser prior to the Closing (the
"REQUIRED PERMITS").

         Section 8.4 Books and Records.

                  (a) Access. For a period of six years after the Closing, each
Party will provide the other Parties with reasonable access during normal
business hours to its Books and Records relating to the Business (other than
Books and Records protected by the attorney-client privilege) to the extent that
they relate to the condition or operation of the Business prior to the Closing
Date and are requested by such Party to prepare its Returns, to respond to third
party Claims or for any other legitimate purpose specified in writing. Each
Party shall have the right, at its own expense, to make copies of any such Books
and Records.

                  (b) Destruction. No Party shall dispose of or destroy any
Books and Records relating to the Business to the extent that they relate to the
condition or operation of the Business prior to the Closing without first
offering to turn over possession thereof to the other Party by written notice at
least 30 days prior to the proposed date of disposition or destruction.

                  (c) Confidentiality. Each Party may take such action as it
deems reasonably appropriate to separate or redact information unrelated to the
Business from documents and other materials requested and made available
pursuant to this Section and may condition the other Party's access to documents
and other materials that it deems confidential to the execution and delivery of
an agreement by the other Party not to disclose or misuse such information.

                                       26
<PAGE>   34

                  (d) Assistance. Each Party will, upon written request and at
the requesting Party's expense, make personnel available to assist in locating
and obtaining any Books and Records relating to the Business to the extent that
they relate to the condition or operation of the Business prior to the Closing
and make personnel available whose assistance, participation or testimony is
reasonably required in anticipation of, preparation for or the prosecution or
defense of any third party Claim in which the other Party does not have any
adverse interest.

         Section 8.5 Further Assurances. Subject to the other terms and
conditions of this Agreement, at any time and from time to time, whether before
or after the Closing, each Party shall execute and deliver all instruments and
documents and take all other action that the other Party may reasonably request
to consummate or to evidence the consummation of the transactions contemplated
by this Agreement.

         Section 8.6 Escrow Agreement. At the Closing, the Parties shall enter
into the Escrow Agreement.

         Section 8.7 Tax Matters. The following provisions shall govern the
allocation of responsibility as between Purchaser and Sellers for certain Tax
matters following the Closing Date:

                  (a) Tax Return Accruals. The Sellers shall prepare or cause to
be prepared and file or cause to be filed all Returns for Company and its
subsidiaries for all periods ending on or prior to the Closing Date which are
due after the Closing Date other than income Tax Returns with respect to periods
for which a consolidated, unitary or combined income Tax Return of the Sellers
will include the operations of Company and its subsidiaries. Purchaser shall
prepare or cause to be prepared and file or cause to be filed any Returns of
Company and its subsidiaries for Tax periods which begin before the Closing Date
and end after the Closing Date. Company will close its books on the Closing
Date. The Persons previously responsible for preparing Company's Returns will
then estimate by accrual: (i) in the case of income Taxes (including franchise
taxes for the applicable jurisdictions) as to which Company's taxable year ends
on the Closing Date, the income Taxes for the period commencing on 10/1/98 and
ending on the Closing Date, which were not previously paid prior to the Closing
Date; (ii) in the case of all other Taxes for all periods ending on or prior to
the Closing Date which are due after the Closing Date, the amount of such Taxes
which were not previously paid prior to the Closing Date; and (iii) in the case
of Taxes as to which Company's taxable year begins before and ends after the
Closing Date, an amount of such Taxes allocated in the manner described in this
section to such partial period, which were not previously paid by the Company on
or prior to the Closing Date. The Company will retain an amount of cash on hand
on the Closing Date sufficient to permit the Company to pay the full amount of
the Taxes of the Company described in the preceding sentence (and the payment of
such amount will not have a Material Adverse Effect on Company's ability to pay
all of its other current obligations), as estimated by accrual. For purposes of
this Section, in the case of any Taxes that are imposed on a periodic basis and
are payable for a taxable period that includes (but does not end on) the Closing
Date, the portion of such Tax which relates to the portion of such taxable
period ending on the Closing Date shall (x) in the case of any Taxes other than
Taxes based upon or related to income or receipts, be deemed to be the amount of
such Tax for the entire taxable period multiplied by a fraction the numerator of
which is the number of days in the taxable period ending on the Closing Date and

                                       27
<PAGE>   35

the denominator of which is the number of days in the entire taxable period, and
(y) in the case of any Tax based upon or related to income or receipts including
sales, use and transaction Taxes be deemed equal to the amount which would be
payable if the relevant taxable period ended on the Closing Date. Any credits
relating to a taxable period that begins before and ends after the Closing Date
shall be taken into account as though the relevant taxable period ended on the
Closing Date. All determinations necessary to give effect to the foregoing
allocations shall be made in a manner consistent with prior practice of Company
and its subsidiaries.

                  (b) Amending Returns. Purchaser will agree not to amend any
Return or extend any statute of limitations applicable to a Return, without the
consent of the Sellers (such consent not to be unreasonably withheld); provided,
however, that Purchaser may amend any return and agree to extend any statute of
limitations to the extent that any Return is inconsistent with the
representations and warranties made in this Agreement.

                  (c) Cooperation on Tax Matters.

                           (i) Purchaser, Company and its subsidiaries and the
Sellers shall cooperate fully, as and to the extent reasonably requested by the
other Party, in connection with the filing of Returns pursuant to this Section
and any audit, litigation or other proceeding with respect to Taxes. Such
cooperation shall include the retention and (upon the other Party's request) the
provision of records and information which are reasonably relevant to any such
audit, litigation or other proceeding and, to the extent possible, making
employees available on a mutually convenient basis to provide additional
information and explanation of any material provided hereunder. Company and its
subsidiaries and the Sellers agree (A) to retain all Books and Records with
respect to Tax matters pertinent to Company and its subsidiaries relating to any
taxable period beginning before the Closing Date until the expiration of the
statute of limitations (and, to the extent notified by Purchaser or Sellers, any
extensions thereof) of the respective taxable periods, and to abide by all
record retention agreements entered into with any taxing authority, and (B) to
give the other party reasonable written notice prior to transferring, destroying
or discarding any such Books and Records and, if the other Party so requests,
Company and its subsidiaries or Sellers, as the case may be, shall allow the
other Party to take possession of such books and records.

                           (ii) Purchaser and the Sellers further agree, upon
request, to provide the other Party with all information that either Party may
be required to report pursuant to Section 6043 of the Code and all Treasury
Department Regulations promulgated thereunder.

                  (d) Tax Sharing Agreements. All tax sharing agreements or
similar agreements with respect to or involving Company and its subsidiaries
shall be terminated as of the Closing Date and, after the Closing Date, Company
and its subsidiaries shall not be bound thereby or have any liability
thereunder.

                  (e) Certain Taxes. All transfer, documentary, sales, use,
stamp, registration and other such Taxes and fees (including any penalties and
interest) incurred in connection with this Agreement shall be paid by Sellers
when due, and Sellers will, at their own expense, file all necessary Returns and
other documentation with respect to all such transfer, documentary, sales, use,
stamp, registration and other Taxes and fees, and, if required by applicable
Law, Purchaser

                                       28
<PAGE>   36

will, and will cause its Affiliates to, join in the execution of any such
Returns and other documentation.

                  (f) Appointment of Independent Person. If Purchaser and the
Sellers fail to agree by the day which is 30 days prior to the due date
(including extensions) of a Return due pursuant to this Section, the matters in
dispute (but no other matters) will be submitted to a firm of independent
certified accountants mutually acceptable to Purchaser and the Sellers, as a
group (the "INDEPENDENT PERSON"), which firm will make a final and binding
determination as to the matters in dispute within 15 days after its appointment.
The Independent Person will send its written determination, at which point the
determination of the Independent Person will be binding on Purchaser and the
Sellers, absent fraud or manifest error. The fees and expenses of the
Independent Person will be borne equally by Purchaser, on the one hand, and the
Sellers, on the other hand.

                  (g) Consistency. Any Return to be prepared pursuant to the
provisions of this Section will be prepared in a manner consistent with
practices followed in prior years with respect to similar Returns, except for
changes required by applicable law.

                                  ARTICLE IX.
                       CONDITIONS PRECEDENT TO THE CLOSING

         Section 9.1 Conditions Precedent to Purchaser's Obligations. The
obligation of Purchaser to consummate the transactions contemplated by this
Agreement will be subject to the satisfaction of the following conditions, any
of which may be waived in writing by Purchaser.

                  (a) Accuracy of Representations and Warranties. The
representations and warranties made by each Seller and Company in this Agreement
will have been true, complete and correct as of the Signing Date and as of the
Closing Date as though made as of the Closing Date, except to the extent such
representations or warranties made as of a specific date will have been correct
and complete as of the specified date.

                  (b) Performance of Covenants. Company and each Seller will
have performed and complied in all material respects with all agreements,
covenants and obligations required by this Agreement to be performed by such
Party prior to or at the Closing.

                  (c) Absence of Certain Changes. (i) The annualized commissions
of Company as of the Closing Date (as determined in accordance with Section 1.4)
will not be lower than $15,000,000; (ii) neither Ronald K. Fairchild nor any
other two of the individuals listed on Schedule 9.1(h) shall have voluntarily
terminated (not including by death or disability) his employment with Company;
and (iii) the assets and liabilities of Company will not be materially different
from those set forth on the Year-End Balance Sheet.

                  (d) Consents. Company and each Seller, as the case may be,
will have received and delivered to Purchaser all the Required Consents and the
Required Permits, including any Consent necessary to transfer the Shares, each
in form and substance satisfactory to Purchaser, and will have given all notices
required to be given to any Persons prior to the consummation of the
transactions contemplated by this Agreement.

                                       29
<PAGE>   37

                  (e) Closing Certificate. Each Seller and an executive officer
of Company will have delivered to Purchaser a certificate confirming (i) the
satisfaction of the conditions set forth in Sections 9.1(a), 9.1(b), 9.1(c) and
9.1(k) and (ii) the continuing force and effect of the Required Consents and
Required Permits.

                  (f) Secretary's Certificate. Company will have delivered to
Purchaser a certificate executed by the secretary or an assistant secretary of
Company certifying as to (i) Company's Charter Documents, (ii) Company's good
standing (in the State of Michigan and each jurisdiction listed on Schedule 4.1)
and existence (in the State of Michigan), (iii) the resolutions in which
Company's board of directors approved this Agreement and the transactions
contemplated hereby, and (iv) the incumbency of Company's officers who execute
any documents on behalf of Company in connection with this Agreement.

                  (g) Deliveries. Company and each Seller, as the case may be,
will have delivered the documents required by Sections 2.3 and 2.4,
respectively, and such other documents as Purchaser may reasonably require.

                  (h) Employment Agreements. Purchaser, or an Affiliate of
Purchaser, will have entered into employment agreements with the individuals set
forth on Schedule 9.1(h), as such schedule may be amended prior to the Closing.

                  (i) Purchaser's Indenture and Credit Agreement. Purchaser
shall have obtained all Consents required under the RMSI Indenture and the RMSI
Credit Agreement.

                  (j) Comerica Bank Obligations. Company shall have discharged
or refinanced the Comerica Loan to the satisfaction of Purchaser.

                  (k) No Order or Action. No Order will be in effect forbidding
or enjoining the consummation of the transactions contemplated hereby. No Action
will be pending or threatened before any court or other Governmental Authority
seeking to enjoin the Closing or seeking damages against Purchaser or any of its
Representatives as a result of any of the transactions contemplated by this
Agreement, provided that neither Purchaser nor any of its Affiliates instituted
such Action.

         Section 9.2 Conditions Precedent to Company's and the Sellers'
Obligations. The obligation of Company and each Seller to consummate the
transactions contemplated by this Agreement will be subject to the satisfaction
of the following conditions, any of which may be waived in writing by Company or
the Sellers, as the case may be.

                  (a) Secretary's Certificate. Purchaser will have delivered to
Company a certificate executed by the secretary or an assistant secretary of
Purchaser certifying as to (i) Purchaser's Charter Documents, (ii) Purchaser's
good standing, (iii) the resolutions in which Purchaser's board of directors
approved this Agreement and the transactions contemplated hereby, and (iv) the
incumbency of Purchaser's officers who execute any documents on behalf of
Purchaser in connection with this Agreement.

                  (b) Deliveries. Purchaser will have delivered the documents
required by Section 2.5 and such other documents as the Sellers may reasonably
require.

                                       30
<PAGE>   38

                  (c) No Order or Action. No Order will be in effect forbidding
or enjoining the consummation of the transactions contemplated hereby. No Action
will be pending or, to the knowledge of Purchaser, threatened before any court
or other Governmental Authority seeking to enjoin the Closing or seeking damages
against Company or any Seller or any of their Representatives as a result of any
of the transactions contemplated by this Agreement, provided that neither
Company nor any Seller nor any of their respective Affiliates instituted such
Action.

                                   ARTICLE X.
                        TERMINATION PRIOR TO THE CLOSING

         Section 10.1 Termination of Agreement. This Agreement may be terminated
at any time prior to the Closing:

                  (a) by mutual written agreement of the Parties;

                  (b) by Purchaser (i) if the annualized commissions of Company
as of the Closing Date (as calculated in accordance with Section 1.4) are less
than $15,000,000 or (ii) if Ronald K. Fairchild or any other two (2) of the
individuals listed on Schedule 9.1(h) voluntarily terminates (not including
termination by death or disability) his employment with Company prior to the
Closing Date;

                  (c) by Purchaser or Company or any Seller at any time on or
after the date 179 days after the Signing Date; provided, however, that the
right to terminate this Agreement under this Section 10.1(c) shall not be
available to any Party whose failure to fulfill any obligation under this
Agreement has been the cause of, or resulted in, the failure of the Closing to
occur on or before such date; or

                  (d) by Purchaser, upon a breach of any representation,
warranty, covenant or agreement on the part of Company or any Seller set forth
in this Agreement or if any such representation or warranty of Company or any
Seller shall have become untrue, in either case such that the conditions set
forth in Sections 9.1(a) or 9.1(b) would not be satisfied (a "TERMINATING SELLER
BREACH"), and which Terminating Seller Breach is not cured by Company or any
Seller within ten calendar days following notice by Purchaser of such breach.

         Section 10.2 Effect of Termination. If this Agreement is terminated
pursuant to Section 10.1, all obligations of the parties hereto shall terminate
except the obligations of the Parties pursuant to Sections 10.2, 10.3, and 10.4
and Article XIII. No termination of this Agreement by Purchaser pursuant to
Section 10.1(d) shall prejudice the ability of Purchaser to seek damages from
the Sellers or Company, as applicable, for any breach of this Agreement,
including attorney's fees and the right to pursue any remedy at law or in
equity, and nothing contained herein (including this Section) shall relieve the
Sellers or Company from liability for any breach of this Agreement.

                                       31
<PAGE>   39

         Section 10.3 Expenses.

                  (a) If the Closing occurs, unless otherwise specifically set
forth herein all costs and expenses incurred in connection with this Agreement
shall be paid by the Party incurring such expenses.

                  (b) If the Closing does not occur, unless otherwise
specifically set forth herein all costs and expenses incurred in connection with
this Agreement shall be paid by the Party incurring such expenses; provided,
however, that if this Agreement is terminated prior to Closing and such
termination is by Purchaser other than as permitted by Section 10.1, Purchaser
shall pay Company an amount equal to $500,000 as reimbursement for the costs and
expenses of the Sellers and Company. Such payment would be due and payable in a
cash lump sum payment immediately upon such termination.

         Section 10.4 Procedure Upon Termination. In the event of termination
pursuant to Section 10.1, written notice thereof will be immediately given to
the other Parties and the transactions contemplated by this Agreement will be
terminated, without any further action by any Party. If the transactions
contemplated by this Agreement are so terminated:

                  (a) each Party will return all documents, work papers and
other materials of the other Parties, whether obtained before or after the
Signing Date to the party furnishing the same; and

                  (b) such termination will not in any way limit, restrict or
relieve any Party of liability for any breach of this Agreement.

                                  ARTICLE XI.
                       INDEMNIFICATION AND RELATED MATTERS

         Section 11.1 Indemnification of Purchaser.

                  (a) Several Indemnification Obligations. Each Seller will,
severally but not jointly, indemnify, defend, and hold Purchaser harmless from
any and all Claims (including court costs and reasonable attorneys' fees and
expenses incurred in investigating, preparing for or participating in any
Action, including any Action to enforce the terms and provisions of this Article
XI) directly or indirectly related or arising with respect to any inaccuracy in
any representation or warranty of such Seller made in Article III or in the
certificate delivered by such Seller pursuant to Section 2.3(a) or any failure
of such Seller to observe the covenants and agreements contained in Section 6.7;

                  (b) Joint and Several Indemnification Obligation. By virtue of
their execution of this Agreement, each of the Sellers shall be deemed to have
agreed that, subject to the provisions of this Article XI, each of the Sellers
and, until the Closing, Company, will, jointly and severally, indemnify, defend,
and hold Purchaser harmless from any and all Claims (including court costs and
reasonable attorneys' fees and expenses incurred in investigating, preparing for
or participating in any Action, including any Action to enforce the terms and
provisions of this Article XI) directly or indirectly related or arising with
respect to:

                                       32
<PAGE>   40

                           (i) Breaches of Representations and Warranties. Any
                  material inaccuracy in any representation or warranty made in
                  Article IV or in the certificate delivered by Company pursuant
                  to Section 2.3(a), including without limitation such
                  representations and warranties relating to environmental
                  matters in Section 4.20;

                           (ii) Breaches of Covenants. Any failure to perform or
                  observe any covenant or agreement of Company or Sellers set
                  forth in this Agreement (other than Section 6.7) or in any
                  agreement delivered pursuant to this Agreement (other than the
                  employment agreement of a particular Seller); or

                           (iii) Other Indemnification. Any undisclosed claims,
                  obligations, damages, judgments, debts, or other liabilities
                  resulting from the operation of Company prior to the Closing
                  Date.

         Section 11.2 Indemnification of the Sellers. Purchaser will indemnify,
defend, and hold the Sellers and, until the Closing, Company, harmless from any
and all Claims (including court costs and reasonable attorneys' fees and
expenses incurred in investigating, preparing for or participating in any
Action, including any Action to enforce the terms and provisions of this Article
XI) directly or indirectly related or arising with respect to:

                  (a) Breaches of Representations and Warranties. Any material
inaccuracy in any representation or warranty of Purchaser made in Article V or
in the certificates delivered by Purchaser pursuant to Section 2.4(d); or

                  (b) Breaches of Covenants. Any failure to perform or observe,
in all material respects, any covenant or agreement of Purchaser set forth in
this Agreement or in any agreement delivered pursuant to this Agreement.

         Section 11.3 Indemnification Procedure. The indemnification obligations
under this Agreement will be subject to the following procedures:

                  (a) Defense of Claim. Within five days after a Party entitled
to indemnification (an "INDEMNITEE") receives a notice of any Claim that may
give rise to an indemnification obligation under this Agreement, the Indemnitee
will give the Party responsible for providing indemnification with respect to
such Claim (the "INDEMNITOR") notice of such Claim, together with a copy of all
documents relating to such Claim that the Indemnitee possesses; provided, that
the failure to provide such notice shall not deprive an Indemnitee of its right
to indemnification hereunder, unless the Indemnitor is prejudiced by such
failure. The Indemnitor will then immediately undertake the defense of such
Claim by representatives of its own choosing and reasonably acceptable to
Indemnitee (which, in the case of Purchaser, shall be deemed to include Akin,
Gump, Strauss, Hauer & Feld, L.L.P.); provided further that Purchaser will have
the right to control and undertake such defense by representatives of its own
choosing if the Claim could have a continuing effect upon Purchaser or involves
any Environmental Law or Hazardous Material, in each case evidenced by a writing
from Purchaser's legal counsel providing in reasonable detail the basis for such
conclusion. The Indemnitor will notify the Indemnitee of the Indemnitor's
undertaking of the defense of a Claim promptly after receiving the notice of the

                                       33
<PAGE>   41

Claim. Similarly, the Indemnitee will notify promptly the Indemnitor of the
Indemnitee's election of its right to control such defense under the
circumstances described above.

                  (b) Participation of the Indemnitee. If ten days after
delivering notice of a Claim to the Indemnitor or such shorter period necessary
to prevent judgment by default in favor of the Person asserting the Claim, the
Indemnitor has not begun to defend against such Claim, the Indemnitee will have
the right to defend or settle such Claim on behalf of the Indemnitor.
Notwithstanding whether the Indemnitor commences at any time to defend against a
Claim, the Indemnitee will have the right to participate in such defense by
representatives of its own choosing. The Indemnitee will bear any expense of
such participation if the Indemnitor is defending against the Claim unless the
Indemnitor possesses a conflict of interest with respect to the Indemnitee.
Under such circumstances, the Indemnitor will reimburse the Indemnitee for the
Indemnitee's reasonable attorneys' fees and expenses. In addition, the
Indemnitor will reimburse the Indemnitee for the Indemnitee's reasonable
attorneys' fees and expenses incurred during the period when the Indemnitor did
not defend against the Claim and in connection with Claims that Purchaser
possesses the right to defend. The Indemnitor will make such reimbursement
payments to the Indemnitee upon the Indemnitee's submission of periodic invoices
describing such fees and expenses in reasonable detail. Any reimbursement under
this Section 11.3(c) shall be subject to the provisions of this Article XI,
including, without limitation, Sections 11.9 and 11.10.

                  (c) Settlement of Claims. The Indemnitor may settle any Claim
at its own expense, provided that the Indemnitor will not settle any Claim or
consent to the entry of any judgment without the consent of the Indemnitee if
such settlement or judgment (i) includes any admission of wrongdoing by the
Indemnitee or any of the Indemnitee's Representatives, (ii) includes any consent
to any type of injunctive relief affecting the Indemnitee or any of the
Indemnitee's Representatives, (iii) excludes an unconditional release by the
Person asserting the Claim of the Indemnitee and the Indemnitee's
Representatives from all liability with respect to such Claim, or (iv) requires
the Indemnitee or any of the Indemnitee's Representatives to make any payment.

                  (d) Reimbursement. If an Indemnitor undertakes the defense of
any Claim or settles any Claim and such Claim was not within the scope of the
Indemnitor's indemnification obligations under this Agreement, the Indemnitee
will promptly reimburse the Indemnitor for all expenses with respect to such
defense or settlement, including the Indemnitor's reasonable attorneys' fees and
expenses.

                  (e) Cooperation. In connection with any indemnity obligation
under this Article XI, the Indemnitee will cooperate with all reasonable
requests of the Indemnitor and its Representatives.

                  (f) Payment--Net of Insurance Proceeds. The amount of any
damage or indemnification payable pursuant to this Article XI will be net of any
insurance proceeds actually received by the Indemnitee in connection with the
circumstances giving rise to the Claim. The calculation of net insurance
proceeds will give effect to all costs incurred by the Indemnitee for such
insurance recovery, including all costs associated with retrospective premium
adjustments, experienced-based premium adjustments, and indemnification
obligations. Nothing in this

                                       34
<PAGE>   42

Section will be construed or interpreted as a guaranty of any level or amount of
insurance recovery with respect to any Claim hereunder.

                  (g) Payment--Net of Tax Benefit and Detriment. The Parties
will treat any payment or receipt of damages or indemnification under this
Article XI as an adjustment to the Purchase Price on all Returns, except for the
interest component of any such payment, which the Parties will treat as interest
income or expense, as the case may be. To the extent that any damage or
indemnification payment exclusive of the interest component constitutes taxable
income to the Indemnitee, the amount of such damage or indemnification payment
will be `increased by the amount of any income Tax attributable to such payment
and the reimbursement of any related income Taxes. To the extent that any damage
or indemnification payment exclusive of the interest component constitutes a
reduction of taxable income to the Indemnitee, the amount of such damage or
indemnification payment will be decreased by the amount of any income Tax
attributable to such reduction of taxable income.

         Section 11.4 Meritless Third Party Claims. If a third party makes a
Claim against the Indemnitee that ultimately proves to be meritless, the
Indemnitee may nevertheless require the Indemnitor to defend such Claim and
reimburse the Indemnitee for its reasonable attorneys' fees and expenses in
connection with such Claim if such Claim was within the scope of the
Indemnitor's indemnification obligations under this Agreement.

         Section 11.5 Assignment of Claims. If any amounts for which the
Indemnitor is responsible are recoverable from a third party, the Indemnitee
will assign any rights that it may have to recover such amounts to the
Indemnitor.

         Section 11.6 Other Indemnitees. Upon the Indemnitee's request, the
Indemnitor will indemnify any of the Indemnitee's Representatives to the same
extent as the Indemnitee. No Representative of any Indemnitee, however, will be
a third party beneficiary of the indemnification provisions set forth in this
Agreement. In addition, an Indemnitee may release or waive any Claim to which
such Indemnitee previously requested another Indemnitor to indemnify such
Indemnitee's Representatives, and such Representatives will have no recourse
against the Indemnitee. To the extent that an Indemnitee requests an Indemnitor
to indemnify such Indemnitee's Representatives, such Indemnitee will cause its
Representatives to comply with the indemnification provisions and abide by the
indemnification limitations set forth in this Agreement.

         Section 11.7 Contribution. If the indemnity obligations provided for in
this Agreement are held unenforceable in whole or in part for any reason, each
Party will perform such indemnity obligations to the extent enforceable. To the
extent that such indemnity obligations are unenforceable, the Party that would
have been the Indemnitor with respect to a Claim except for such
unenforceability will contribute to such Claim in such proportion as appropriate
to reflect the relative fault of such Party as opposed to the relative fault of
the Person who would have been the Indemnitee, as well as any other relevant
equitable considerations.

         Section 11.8 Sole and Exclusive Remedy. Purchaser and each Seller
hereby acknowledge and agree that, after the Closing, notwithstanding any other
provision of this Agreement to the contrary, such party's sole and exclusive
remedy with respect to any

                                       35
<PAGE>   43

indemnification obligations under this Agreement shall be in accordance with,
and limited by, the provisions set forth in this Article XI.

         Section 11.9 Maximum Liability Cap.

                  (a) Except as specifically provided in Section 10.3(b),
Purchaser will not be liable for any Claim for damages or indemnification under
this Agreement to the extent that the aggregate amount of such Claims exceeds
$200,000.

                  (b) The Parties hereby agree that (i) the maximum liability of
any Seller under this Article XI shall in no event exceed such Seller's Maximum
Shareholder Escrow Amount and (ii) the maximum aggregate liability of the
Sellers shall in no event exceed the Escrow Deposit, except that the foregoing
limitations shall not apply to (w) Claims for breaches of Section 3.1 (Title to
Shares), (x) Claims contemplated by Section 14.16 (No Waiver Relating to Claims
of Fraud), (y) Claims for damages pursuant to Section 6.7 (Non-Disclosure;
Non-Competition; Non-Solicitation), or (z) Claims for breaches of Section 8.7(a)
(Tax Return Accruals).

         Section 11.10 Recourse Against Escrow Deposit.

                  (a) In the event of any Claim by Purchaser against a Seller
for indemnification under Section 11.1(a), Purchaser shall seek payment first
out of the amount held by the Escrow Agent pursuant to the Escrow Agreement from
time to time in an amount not to exceed such Shareholder's Maximum Shareholder
Escrow Amount and, if such Shareholder's Maximum Shareholder Escrow Amount has
been reduced to zero pursuant to this Section, subject to the terms and
conditions of this Agreement and only if and to the extent such Claim is based
on a breach by such Seller of Sections 3.1, 14.16 or 6.7 Purchaser shall then be
entitled to seek payment directly from such Seller.

                  (b) In the event of any Claim by Purchaser against a Seller
for indemnification under Section 11.1(b), Purchaser shall seek payment solely
from the Escrow Deposit pursuant to the Escrow Agreement, until such Claims have
been paid in full or the Escrow Deposit has been reduced to zero; provided, that
if and to the extent such a Claim (i) is based on a breach of Section 14.16 by
Company or a breach of Section 8.7 (a) and (ii) exceeds the Escrow Deposit,
Purchaser shall be entitled to seek damages directly from the Sellers.

         Section 11.11 Consequential Damages. Subject to Section 11.9, a Party
will be (a) liable for any consequential, incidental, punitive, or special
damages with respect to any breach of this Agreement, and (b) responsible for
indemnifying an Indemnitee for any consequential, incidental, punitive, or
special damages that such Indemnitee incurs if within the scope of such Party's
indemnification obligation.

         Section 11.12 Interest. Subject to Section 11.9, a Party will pay
interest computed at the then current prime rate on (a) any Claim for damages
with respect to such Party's breach of this Agreement from the date of the
breach through the date that the Party pays such damages, and (b) any Claim for
indemnification under this Agreement for which such Party is the Indemnitor from
the date of the Indemnitee's indemnifiable out-of-pocket expenditures through
the date that the Party pays such Claim.

                                       36
<PAGE>   44

         Section 11.13 Survival of Terms. The agreements, covenants, indemnity
obligations, representations and warranties, and other terms of this Agreement,
Purchaser's closing certificate, each Seller's closing certificate, Company's
closing certificate and any other documents contemplated under this Agreement
will survive the Closing and any investigation or notice by any Party, provided
that the representations and warranties of each Party under this Agreement will
expire at 5:00 p.m. Dallas, Texas time on the day immediately preceding the
first anniversary of the Closing Date; provided, however, that (i) the
representations and warranties set forth in Section 3.1 shall survive forever,
(ii) the covenants set forth in Section 6.7 shall survive for the period stated
therein, (iii) Claims contemplated by Section 14.16 shall survive for the
applicable statute of limitations, and (iv) Claims for breaches of Section 8.7
(a) shall survive for 30 days after the expiration of the applicable statute of
limitations, as such statutory period may be extended from time to time. A Party
will not be responsible with respect to any Claim for damages or indemnification
with respect to any inaccuracy in any of such Party's representations or
warranties unless such Party receives notice of the Claim with respect to such
inaccuracy before such representation and warranty expires. With respect to any
such Claim received before the expiration of a particular representation or
warranty, the Party responsible for such representation or warranty will remain
responsible for any damage or indemnification amounts claimed notwithstanding
the subsequent expiration of such representation or warranty.

         Section 11.14 Negligence and Strict Liability. THE PROVISIONS OF THIS
AGREEMENT CONCERNING CLAIMS FOR DAMAGES AND INDEMNIFICATION WILL APPLY WHETHER
OR NOT THE PARTY OR OTHER PERSON CLAIMING SUCH DAMAGES OR INDEMNIFICATION WAS
NEGLIGENT, GROSSLY NEGLIGENT, OR STRICTLY LIABLE IN CONNECTION WITH THE EVENTS
GIVING RISE TO SUCH CLAIM.

                                  ARTICLE XII.
                            THE SELLER REPRESENTATIVE

         By virtue of their execution of this Agreement, each of the Sellers
shall be deemed to have agreed that:

         Section 12.1 Authorization of the Seller Representative. E. Malcolm
York (the "SELLER REPRESENTATIVE") (and each successor appointed in accordance
with Section 12.2), hereby is appointed, authorized and empowered to act, on
behalf of the Sellers, in connection with, and to facilitate the consummation of
the transactions contemplated by, this Agreement, and in connection with the
activities to be performed on behalf of the Sellers under this Agreement and the
Escrow Agreement, for the purposes and with the powers and authority hereinafter
set forth in this Article XII and in the Escrow Agreement, which shall include
the power and authority:

                  (a) To execute and deliver the Escrow Agreement (with such
modifications or changes therein as to which the Seller Representative, in its
reasonable discretion, shall have consented to) and to agree to such amendments
or modifications thereto as the Seller Representative, in its reasonable
discretion, may deem necessary or desirable to give effect to the matters set
forth in this Article XII;

                                       37
<PAGE>   45

                  (b) To execute and deliver such waivers and consents in
connection with this Agreement and the consummation of the transactions
contemplated hereby as the Seller Representative, in its reasonable discretion,
may deem necessary or desirable to give effect to the intentions of this
Agreement;

                  (c) As the Seller Representative of the Sellers, to enforce
and protect the rights and interests of such Sellers and to enforce and protect
the rights and interests of the Seller Representative arising out of or under or
in any manner relating to this Agreement and the Escrow Agreement (including,
but not limited to, in connection with any and all Claims for indemnification
brought by any Indemnitee under Article XI of this Agreement) and, in connection
therewith, to (i) assert any Claim or institute any Action; (ii) investigate,
defend, contest or litigate any Claim or Action initiated by any Indemnitee, or
any other Person, against the Sellers (or any one of them) and/or the Escrow
Assets, and receive process on behalf of any or all of the Sellers in any such
Claim or Action and compromise or settle on such terms as the Seller
Representative shall determine to be appropriate, give receipts, releases and
discharges on behalf of all of the Sellers (or any one of them) with respect to
any such Claim or Action; (iii) file any proofs, debts, Claims or petitions as
the Seller Representative may deem advisable or necessary; (iv) settle or
compromise any Claims asserted under Article XI of this Agreement; (v) assume,
on behalf of all of the Sellers, the defense of any Claim that is the basis of
any Claim asserted under Article XI of this Agreement; and (vi) file and
prosecute appeals from any decision, judgment or award rendered in any of the
foregoing Actions, it being understood that the Seller Representative shall not
have any obligation to take any such actions, and shall not have liability for
any failure to take any such action;

                  (d) To enforce payment from the Escrow Assets on behalf of the
Sellers (or any one of them), in the name of the Seller Representative or, if
the Seller Representative so elects, upon at least 15 days' prior written notice
to the Sellers and in the absence of written instructions to the contrary, in
the names of one or more of the Sellers;

                  (e) To cause to be paid out of the Escrow Assets the full
amount of any judgment or judgments and legal interest and costs awarded in
favor of Purchaser or Representative of Purchaser arising out of the
indemnification provisions set forth in Article XI of this Agreement;

                  (f) To refrain from enforcing any right of the Sellers or any
one of them and/or of the Seller Representative arising out of or under or in
any manner relating to this Agreement or the Escrow Agreement;

                  (g) To make, execute, acknowledge and deliver all such other
agreements, guarantees, orders, receipts, endorsements, notices, requests,
instructions, certificates, stock powers, letters and other writings, and, in
general, to do any and all things and to take any and all action that the Seller
Representative, in its sole and absolute discretion, may consider necessary or
proper or convenient in connection with or to carry out the activities described
in paragraphs (a) through (f) above and the transactions contemplated by this
Agreement and the Escrow Agreement.

         The grant of authority provided for in this Section 12.1: (i) is
coupled with an interest and is being granted, in part, as an inducement to
Purchaser to enter into this Agreement and

                                       38
<PAGE>   46

shall be irrevocable and survive the death, incompetency, bankruptcy or
liquidation of any Seller and shall be binding on any successor thereto; (ii)
subject to the provisions of Section 12.2 below, may be exercised by the Seller
Representative acting by signing as Seller Representative of each of the
Sellers; and (iii) shall survive any distribution from the Escrow Agent.

         Section 12.2 Removal and Replacement of Seller Representative;
Successor Seller Representative; Action by Seller Representative.

                  (a) If Seller Representative is unable or unavailable to
perform his duties hereunder, a Seller Representative, who shall be a Seller or
a representative of a non-individual Seller, shall be appointed by the Sellers
who, immediately prior to the Closing Date, hold a majority of the Shares,
unless such Person is unable or unwilling to accept such appointment.

                  (b) Any Seller Representative, or all of them, may be removed
at any time by a written notice delivered by Sellers who, immediately prior to
the Closing Date, hold a majority of the Shares to the Seller Representative,
the other Sellers and the Purchaser. A Seller Representative so removed shall be
replaced promptly by the Sellers who, immediately prior to the Closing Date,
hold a majority of the Shares by written notice delivered to all of the other
Sellers and Purchaser.

                  (c) If any successor Seller Representative is appointed as
contemplated in Sections 12.2(a) or 12.2(b), written notice of such appointment
executed by the Sellers who, immediately prior to the Closing Date, hold a
majority of the Shares shall be delivered to the Seller Representative, the
other Sellers and Purchaser. Any successor Seller Representative shall have all
of the authority and responsibilities conferred upon or delegated to a Seller
Representative pursuant to this Article XII.

         Section 12.3 Reliance; Limitation as to Purchaser.

                  (a) Purchaser and the Escrow Agent may conclusively and
absolutely rely, without inquiry, and until the receipt of written notice of a
change of the Seller Representative under Section 12.2 may continue to rely,
without inquiry, upon the action of the Seller Representative as the action of
each of the Sellers in all matters referred to in this Article XII.

                  (b) Each of the Parties hereby acknowledges and agrees that,
except as set forth in this Section 12.3, the provisions of this Article XII
create no binding obligations between Purchaser, on the one hand, and the
Sellers, on the other hand; provided, however, that if Purchaser is given
written notice of the appointment of a successor Seller Representative as
contemplated in Section 12.2, Purchaser shall be obligated to recognize, and
shall only be able to so rely upon the action of, such successor Seller
Representative as the Seller Representative for all purposes under this
Agreement.

                                 ARTICLE XIII.
                       ARBITRATION AND EQUITABLE REMEDIES

         Section 13.1 Settlement Meeting. The Parties will attempt in good faith
to resolve promptly through negotiations any dispute under this Agreement (other
than disagreements governed by Section 6.7, 8.7(f) or 14.12 or as otherwise
provided in Section 13.5). If any such

                                       39
<PAGE>   47

dispute should arise, the Parties will meet at least once to attempt to resolve
the matter (the "SETTLEMENT MEETING"). Any Party may request the other Parties
to attend a Settlement Meeting at a mutually agreed time and place within 10
days after delivery of a notice of a dispute. The occurrence of a Settlement
Meeting with respect to a dispute will be a condition precedent to seeking any
arbitration or judicial remedy, provided that if a Party refuses to attend a
Settlement Meeting the other Parties may proceed to seek such remedy.

         Section 13.2 Arbitration Proceedings. If the Parties have not resolved
a dispute at the Settlement Meeting any Party may submit the matter to
arbitration. A panel of three arbitrators will conduct the arbitration
proceedings in accordance with the provisions of the Federal Arbitration Act (99
U.S.C. Section 1 et seq.) and the Commercial Arbitration Rules of the American
Arbitration Association (the "ARBITRATION RULES"). The decision of a majority of
the panel will be the decision of the arbitrators.

                  (a) Arbitration Notice. To submit a dispute to arbitration, a
Party will furnish the other Parties and the American Arbitration Association
with a notice (the "ARBITRATION NOTICE") containing (i) the name and address of
such Party, (ii) the nature of the dispute in reasonable detail, (iii) the
Party's intent to commence arbitration proceedings under this Agreement, and
(iv) the other information required under the Federal Arbitration Act and the
Arbitration Rules.

                  (b) Selection of Arbitrators. Within ten days after delivery
of the Arbitration Notice, Purchaser and the Sellers, as a group, will each
select one arbitrator from the list of the American Arbitration Association's
National Panel of Commercial Arbitrators. Within 10 days after the selection of
the last of those two arbitrators, those two arbitrators will select the third
arbitrator from such list. If the first two arbitrators cannot select a third
arbitrator within such ten day period, the American Arbitration Association will
select a third arbitrator from the list. Each arbitrator will be an individual
not subject to disqualification under Rule No. 19 of the Arbitration Rules with
experience in settling complex litigation involving mergers and acquisitions.

                  (c) Arbitration Final. The arbitration of the matters in
controversy and the determination of any amount of damages or indemnification
will be final and binding upon the Parties to the maximum extent permitted by
Law, provided that any Party may seek any equitable remedy available under Law
as provided in this Agreement. This agreement to arbitrate is irrevocable.

         Section 13.3 Place of Arbitration. Any arbitration proceedings will be
conducted in Dallas, Texas or at such other location as the Parties may agree.
The arbitrators will hold the arbitration proceedings within 60 days after the
selection of the third arbitrator.

         Section 13.4 Discovery. During the period beginning with the selection
of the third arbitrator and ending upon the conclusion of the arbitration
proceedings, the arbitrators will have the authority to permit the Parties to
conduct such discovery as the arbitrators consider appropriate.

         Section 13.5 Equitable Remedies. Notwithstanding anything else in this
Agreement to the contrary, after the Settlement Meeting, a Party will be
entitled to seek any equitable remedies

                                       40
<PAGE>   48

available under Law or this Agreement, including an injunction prohibiting a
breach of the provisions of Section 6.7 or an Order requiring a Seller to
perform this Agreement pursuant to Section 14.12. Any such equitable remedies
will be in addition to any damages or indemnification rights that such Party may
assert in an arbitration proceeding.

         Section 13.6 Exclusive Jurisdiction. The Parties agree that any claim
for equitable relief relating to this Agreement will be instituted in a federal
or state court sitting in Dallas, Texas, which courts and their respective
appellate courts will be the exclusive venue for any such claim. Each Party
waives any objection that it may have to the laying of such venue, and
irrevocably submits to the jurisdiction of any such court with respect to any
such claim. Any service of process and other notice in any such case will be
effective against a Party when transmitted in accordance with Section 14.7,
provided that a Party also may serve process in any manner permitted by Law.

         Section 13.7 Judgments. Any arbitration award under this Agreement will
be final and binding. Any court having jurisdiction may enter judgment on such
arbitration award upon application of a Party.

         Section 13.8 Expenses. If any Party commences arbitration proceedings
or court proceedings seeking equitable relief with respect to this Agreement,
the prevailing Party in such arbitration proceedings or case may receive as part
of any award or judgment reimbursement of such Party's reasonable attorneys'
fees and expenses to the extent that the arbitrators or court considers
appropriate.

         Section 13.9 Cost of the Arbitration. The arbitrators will assess the
costs of the arbitration proceedings, including their fees, to the Parties in
such proportions as the arbitrators consider reasonable under the circumstances.

         Section 13.10 Exclusivity of Remedies. To the extent permitted by Law,
the arbitration and judicial remedies set forth in this Article XII will be the
exclusive remedies available to the Parties with respect to any dispute under
this Agreement (other than remedies provided in Sections 6.7, 8.7(f) or 14.12).

                                  ARTICLE XIV.
                                  MISCELLANEOUS

         Section 14.1 Amendment. No amendment of this Agreement will be
effective unless in a writing signed by the Parties.

         Section 14.2 Counterparts; Fax Signatures. This Agreement may be
executed in any number of counterparts, each of which will be deemed to be an
original agreement, but all of which will constitute one and the same agreement.
Any Party may execute and deliver this Agreement by an executed signature page
transmitted by a facsimile machine. If a Party transmits its signature page by a
facsimile machine, such Party will promptly thereafter deliver an originally
executed signature page to the other Parties, provided that any failure to
deliver such an originally executed signature page will not affect the validity,
legality, or enforceability of this Agreement.

                                       41
<PAGE>   49

         Section 14.3 Entire Agreement. This Agreement constitutes the entire
agreement and understanding between the Parties and supersedes all prior
agreements and understandings, both written and oral, and all contemporaneous
oral agreements and understandings with respect to the subject matter of this
Agreement.

         Section 14.4 Governing Law. THIS AGREEMENT WILL BE GOVERNED BY THE LAWS
OF THE STATE OF TEXAS REGARDLESS OF THE LAWS THAT MIGHT OTHERWISE GOVERN UNDER
THE CONFLICTS OF LAWS PRINCIPLES OF SUCH STATE.

         Section 14.5 No Assignment. No Party may assign its benefits or
delegate its duties under this Agreement without the prior written consent of
the other Parties. Any attempted assignment or delegation without such prior
written consent shall be void. Notwithstanding this prohibition against
assignment and delegation, Purchaser may assign its rights and delegate its
duties under this Agreement to an Affiliate of Purchaser without the Sellers'
consent. Upon Purchaser's assignment of its benefits and delegation of its
duties under this Agreement to an Affiliate, Purchaser shall be released from
any obligations under this Agreement, except with respect to its obligations to
repay the Notes for which it shall remain liable. In addition, after the
Closing, Purchaser may assign its rights under this Agreement (but not its
obligations with regard to the Notes) to a purchaser of all of the assets or
equity of Purchaser, or any other successor-in-interest to Purchaser, without
the Sellers' consent, and any such purchaser and any subsequent purchasers of
all of the assets or equity of Purchaser may similarly assign such rights.

         Section 14.6 No Third Party Beneficiaries. This Agreement is solely for
the benefit of the Parties and no other Person will have any right, interest, or
claim under this Agreement.

         Section 14.7 Notices. Unless otherwise provided elsewhere in this
Agreement, all claims, consents, designations, notices, waivers, and other
communications in connection with this Agreement shall be in writing. Such
claims, consents, designations, notices, waivers, and other communications will
be considered received (a) on the day of actual transmittal when transmitted by
hand delivery, (b) on the day of actual transmittal when transmitted by
facsimile with written confirmation of such transmittal, (c) on the next
business day following actual transmittal when transmitted by a nationally
recognized overnight courier, or (d) on the third business day following actual
transmittal when transmitted by certified or registered United States mail,
postage prepaid, return receipt requested; in each case when transmitted to a
Party at its address or location set forth below (or to such other address to
which such Party has notified the other Parties in accordance with this Section
to send such claims, consents, designations, notices, waivers, and other
communications).

         Purchaser:        Richmont Marketing Specialists, Inc.
                           17855 N. Dallas Parkway
                           Dallas, Texas 75287
                           Attn: Bruce Butler, President and COO
                           Nancy K. Jagielski, Esq.
                           Telephone: (972) 349-6253
                           Facsimile: (972) 349-6448

                                       42
<PAGE>   50

         Copy to:          Akin, Gump, Strauss, Hauer & Feld, L.L.P.
                           1700 Pacific Avenue
                           Suite 4100
                           Dallas, Texas 75201
                           Attn:  Alan M. Utay
                           Telephone: (214) 969-4256
                           Facsimile: (214) 969-4343

         Company:          Paul Inman Associates, Inc.
                           30095 Northwestern Highway
                           Farmington Hills, Michigan 48334
                           Attn:    Ronald K. Fairchild
                           Telephone:  (248) 626-8300
                           Facsimile: (248) 626-6893

         Sellers:          E. Malcolm York
                           Seller Representative
                           35018 Old Timber Road
                           Farmington Hills, MI 48331-1437

         Copy to:          Miro Weiner & Kramer
                           500 N. Woodward Avenue
                           Suite 100
                           Bloomfield Hills, Michigan 48304
                           Attn:  Roberta Granadier, Esq.
                           Telephone:  (248) 258-1218
                           Facsimile: (248) 646-2681

         Section 14.8 Public Announcements. The Parties will agree on the terms
of any press releases or other public announcements related to this Agreement,
and will consult with each other before issuing any press releases or other
public announcements related to this Agreement. The parties agree, to the extent
practicable, to consult with each other regarding any such public announcement
in advance thereof.

         Section 14.9 Representation by Legal Counsel. Each Party is a
sophisticated Person that was advised by experienced legal counsel and other
advisors in the negotiation and preparation of this Agreement.

         Section 14.10 Schedules. All references in this Agreement to schedules
will mean the schedules identified in this Agreement, which are incorporated
into this Agreement and will be deemed a part of this Agreement for all
purposes. Each Section of this Agreement that refers to a schedule will have a
separate schedule. In addition, any disclosure under a particular Section's
schedule will be made under the heading of any relevant subsection of such
Section. A disclosure of an item in a schedule for a particular Section or under
a heading in a schedule corresponding to a particular subsection will not be a
disclosure under any other Section's schedule or any other subsection, unless so
noted specifically on such schedule. The Sellers have made available or
delivered to Purchaser a correct and complete copy of each document

                                       43
<PAGE>   51

described on each schedule to this Agreement and a correct and complete written
description of each unwritten arrangement or other item described on each such
schedule.

         Section 14.11 Severability. Any provision of this Agreement that is
prohibited or unenforceable in any jurisdiction will not invalidate the
remaining provisions of this Agreement or affect the validity or enforceability
of such provision in any other jurisdiction. In addition, any such prohibited or
unenforceable provision will be given effect to the extent possible in the
jurisdiction where such provision is prohibited or unenforceable.

         Section 14.12 Specific Performance. Each Seller acknowledges that the
benefits that Purchaser will derive from the transactions contemplated by this
Agreement are unique and irreplaceable. Accordingly, if such Seller improperly
abandons or terminates this Agreement, Purchaser would not have an adequate
remedy at law. Purchaser therefore will be entitled to a court order requiring
such Seller to perform this Agreement. No Seller will be entitled to specific
performance of this Agreement.

         Section 14.13 Successors. This Agreement will be binding upon and will
inure to the benefit of each Party and its heirs, legal representatives,
permitted assigns, and successors, provided that this Section will not permit
the assignment or other transfer of this Agreement, whether by operation of law
or otherwise, if such assignment or other transfer is not otherwise permitted
under this Agreement.

         Section 14.14 Time of the Essence. Time is of the essence in the
performance of this Agreement and all dates and periods specified in this
Agreement.

         Section 14.15 Waiver. No provision of this Agreement will be considered
waived unless such waiver is in writing and signed by the Party that benefits
from the enforcement of such provision. No waiver of any provision in this
Agreement, however, will be deemed a waiver of a subsequent breach of such
provision or a waiver of a similar provision. In addition, a waiver of any
breach or a failure to enforce any term or condition of this Agreement will not
in any way affect, limit, or waive a Party's rights under this Agreement at any
time to enforce strict compliance thereafter with every term and condition of
this Agreement.

         Section 14.16 No Waiver Relating to Claims of Fraud. The liability of
any Party under Article XI shall be in addition to, and not exclusive of, any
other liability that such Party may have at law or equity based on such Party's
willful breach of any covenant set forth in this Agreement or such Party's
fraudulent acts or omissions. None of the provisions set forth in this
Agreement, including but not limited to the provisions set forth in Section
11.8, 11.9 and 11.10, shall be deemed a waiver by any Party to this Agreement of
any right or remedy which such party may have at law or equity based on any
other Party's willful breach of any covenant set forth in this Agreement or any
Party's fraudulent acts or omissions, nor shall any such provisions limit, or be
deemed to limit, (a) the amounts of recoveries sought or awarded in any Claim
based on any other Party's willful breach of any covenant set forth in this
Agreement or any Party's fraudulent acts or omissions, (b) the time period
during which a Claim based on any other Party's willful breach of any covenant
set forth in this Agreement or any Party's fraudulent acts or omissions may be
brought, or (c) the recourse which any party may seek against another party with
respect to a Claim based on any other Party's fraudulent acts or omissions;
provided, that

                                       44
<PAGE>   52

with respect to such rights and remedies at law or equity, the Parties further
acknowledge and agree that none of the provisions of this Section 14.16 nor any
reference to this Section 14.16 throughout this Agreement, shall be deemed a
waiver of any defenses which may be available in respect to Actions or Claims
based on any other Party's willful breach of any covenant set forth in this
Agreement or any Party's fraudulent acts or omissions, including, but not
limited to, defenses of statutes of limitations or limitations of damages.

                            [SIGNATURE PAGE FOLLOWS]

                                       45
<PAGE>   53

         IN WITNESS WHEREOF, each Party executed, or caused a duly authorized
officer to execute, this Agreement as of the Signing Date.

PURCHASER:                             RICHMONT MARKETING SPECIALISTS INC.,
                                       a Delaware corporation

                                       By:
                                          --------------------------------------
                                       Name:
                                            ------------------------------------
                                       Title:
                                             -----------------------------------

COMPANY:                               PAUL INMAN ASSOCIATES, INC., a Michigan
                                       corporation

                                       By:
                                          --------------------------------------
                                       Name:
                                            ------------------------------------
                                       Title:
                                             -----------------------------------

SELLERS:                               PAUL INMAN ASSOCIATES, INC., EMPLOYEE
                                       STOCK OWNERSHIP PLAN & TRUST

                                       By: Comerica Bank, Trustee

                                       By:
                                          --------------------------------------
                                       Name:
                                            ------------------------------------
                                       Title:
                                             -----------------------------------

                                       -----------------------------------------
                                       Richard W. Domine

                                       -----------------------------------------
                                       Kenneth A. Elwert

                                       -----------------------------------------
                                       Ronald K. Fairchild

<PAGE>   54

                                       Philip G. Fischioni Trust

                                       By:
                                          --------------------------------------
                                          Philip G. Fischioni, Trustee

                                       -----------------------------------------
                                       Dennis M. Hoppe

                                       -----------------------------------------
                                       Raymond J. Peuler, Jr.

                                       -----------------------------------------
                                       Charles W. Pountney

                                       Joseph C. and Diana L. Rimarcik Trust

                                       By:
                                          --------------------------------------
                                          Joseph C. Rimarcik, Trustee

                                       E. Malcolm York Charitable Remainder
                                       Trust UTA dated January 16, 1997

                                       By:
                                          --------------------------------------
                                          E. Malcolm York, Trustee

                                       E. Malcolm York Trust UTA dated
                                       July 9, 1975

                                       By:
                                          --------------------------------------
                                          E. Malcolm York, Trustee

<PAGE>   55

RESTRICTED PERSONS:

                                       -----------------------------------------
                                       Joseph C. Rimarcik, for the purposes set
                                       forth in Section 6.7 only

                                       -----------------------------------------
                                       Philip G. Fischioni, for the purposes set
                                       forth in Section 6.7 only

                                       -----------------------------------------
                                       E. Malcolm York, for the purposes set
                                       forth in Section 6.7 only

<PAGE>   56

                                   APPENDIX A

                     DEFINITIONS AND RULES OF INTERPRETATION

         Definitions. Unless the context otherwise requires, the terms defined
in this Appendix will have the meanings specified below for all purposes of this
Agreement:

         (a) "ACCOUNTS RECEIVABLE" will have the meaning set forth in Section
4.11.

         (b) "ACTION" means any action, arbitration proceeding, cause of action,
charge, counterclaim, cross claim, inquiry, investigation, legal action,
litigation, Order, proceeding, or suit.

         (c) "ACQUISITION PROPOSAL" means any proposal or offer, other than a
proposal or offer by Purchaser with respect to (a) any merger, reorganization,
recapitalization, consolidation, share exchange, business combination,
liquidation, dissolution or other similar transaction involving Company (b) any
sale, lease, exchange, mortgage, pledge, transfer or other disposition of 5% or
more of the assets of Company, in a single transaction or series of transactions
(whether related or unrelated), other than inventory sold, leased, exchanged,
mortgaged, pledged, transferred or otherwise disposed of in the ordinary course
of business, (c) any sale of, tender offer or exchange offer for 5% or more of
the outstanding shares of any class of Company's capital stock or any class of
Company's debt securities or the filing of a registration statement under the
Securities Act in connection therewith, (d) the acquisition by any Person of
beneficial ownership of 5% or more of the then outstanding shares of any class
of Company's capital stock or any class of Company's debt securities or (e) any
public announcement of a proposal, plan or intention to do any of the foregoing
or any agreement to engage in any of the foregoing.

         (d) "AFFILIATE" will mean any Person who, at the time such
determination is being made, is Controlling, Controlled by or under common
Control with, such Person. As used in this Agreement, the term "Control,"
whether used as a noun or verb, refers to the possession, directly or
indirectly, of the power to direct, or cause the direction of, the management or
policies of a Person, whether through the ownership of voting securities, by
contract or otherwise, and Control will be presumed to exist, with respect to
any Person, where any other Person of which the securities or other ownership
interests representing fifty percent (50%) or more of the equity or fifty
percent (50%) made, owned, Controlled or held, directly or indirectly, by such
Person.

         (e) "AGREEMENT" will have the meaning set forth in the first paragraph.

         (f) "ARBITRATION NOTICE" will have the meaning set forth in Section
12.2(a).

         (g) "ARBITRATION RULES" will have the meaning set forth in Section
12.2.

         (h) "ASSETS" will have the meaning set forth in Section 4.10(a).

         (i) "BALANCE SHEET DATE" will have the meaning set forth in Section
4.7(a).

         (j) "BANK ACCOUNTS" will have the meaning set forth in Section 4.26.

                                      A-1
<PAGE>   57

         (k) "BOOKS AND RECORDS" will mean all the books and records maintained
by or for Company, including all accounting records, minute books, stock
records, computerized records and storage media and the software used in
connection therewith.

         (l) "BUSINESS" will have the meaning set forth in Preliminary Statement
A.

         (m) "BUSINESS DAY" will mean any day other than a day on which
commercial banks in Dallas, Texas are authorized to close under applicable Law.

         (n) "CHARTER DOCUMENTS" will mean (i) in the case of a corporation, its
articles or certificate of incorporation and its bylaws, (ii) in the case of a
partnership, its partnership certificate and its partnership agreement, and
(iii) in the case of any other Person, its organic and governing documents, in
each case as such document has been amended or supplemented from time to time
prior to the Signing Date.

         (o) "CLAIM" will mean any arbitration award, assessment, charge,
citation, claim, damage, demand, directive, expense, fine, interest, joint or
several liability, lawsuit, notice, obligation, payment, penalty, or summons of
any kind or nature whatsoever, including any damages incurred because of the
claimant's negligence or gross negligence or any strict liability imposed upon
the claimant, any consequential or punitive damages, and any reasonable
attorneys' fees and expenses. A Claim will be considered to exist even though it
may be conditional, contingent, indirect, potential, secondary, unaccrued,
unasserted, unknown, unliquidated, or unmatured.

         (p) "CLOSING" will have the meaning set forth in Section 2.1.

         (q) "CLOSING DATE" will have the meaning set forth in Section 2.1.

         (r) "CODE" will mean the Internal Revenue Code of 1986.

         (s) "COMERICA LOAN" means all obligations of Company to Comerica which
exist as of, or may accrue after, the Signing Date.

         (t) "COMMON STOCK" will have the meaning set forth in Preliminary
Statement B.

         (u) "COMPANY" will have the meaning set forth in the first paragraph.

         (v) "COMPANY EMPLOYEE BENEFIT PLANS" will have the meaning set forth in
the Section 4.24(d).

         (w) "COMPANY'S KNOWLEDGE" will mean the actual knowledge as of the date
that a specific representation or warranty is made or deemed made, after
reasonable inquiry, of Richard M. Domine, Kenneth A. Elwert, Ronald K.
Fairchild, Philip G. Fischioni, Dennis M. Hoppe, Raymond J. Peuler, Jr., Charles
W. Pountney, Joseph C. Rimarcik and/or E. Malcolm York.

         (x) "COMPANY PENSION BENEFIT PLANS" will have the meaning set forth in
Section 4.24(b)

                                      A-2
<PAGE>   58

         (y) "COMPANY WELFARE BENEFIT PLANS" will have the meaning set forth
Section 4.24(a).

         (z) "CONFIDENTIAL INFORMATION" means any proprietary information, and
any information which Purchaser reasonably considers to be proprietary,
pertaining to Company's and Purchaser's past, present or prospective business
secrets, methods or policies, earnings, finances, security holders, lenders, key
employees, nature of services performed by such entity's sales personnel,
procedures, standards and methods, information relating to arrangements with
suppliers, the identity and requirements of arrangements with principals, the
type, volume or profitability of services or products for principals, drawings,
records, reports, documents, manuals, techniques, ratings, information, data,
statistics and trade secrets, whether or not reduced to writing, except to the
extent that such information is generally available to the public or the
industry in which Company operates.

         (aa) "CONSENT" will mean a consent, approval, order, authorization or
waiver from, notice to or declaration, registration or filing with any Person.

         (bb) "EMPLOYEE BENEFIT PLAN" will mean any (i) Pension Benefit Plan,
(ii) Welfare Benefit Plan, (iii) accident, dental, disability, health, life,
medical, or vision plan or insurance policy, (iv) bonus, executive, incentive or
deferred compensation plan, (v) change in control plan, (vi) fringe benefits and
perquisites, (vii) holiday, sick pay, leave, vacation, moving or tuition
reimbursement or other similar policy, (viii) stock option, stock purchase,
phantom stock, restricted stock or stock appreciation plan, (ix) severance plan,
or (x) other employee arrangement, commitment, custom, policy or practice.

         (cc) "EMPLOYEES" will have the meaning set forth in Section 4.23(a).

         (dd) "ENCUMBERED INSTRUMENT" will mean any contract and lease that by
its terms requires Consent from a third party in order to transfer the rights
and obligations thereunder.

         (ee) "ENCUMBRANCE" will mean any title defect or objection, mortgage,
lien, deed of trust, equity, judgment, claim, restrictive covenant, use
restriction, charge, pledge, security interest or other encumbrance of any
nature whatsoever, including all leases, chattel mortgages, conditional sales
contracts, collateral security arrangements and other title or interest
retention arrangements.

         (ff) "ENVIRONMENTAL LAW" will mean (i) the Clean Air Act (42 U.S.C.
Section 7401 et seq.), (ii) the Clean Water Act or Federal Water Pollution
Control Act (33 U.S.C. Section 1251 et seq.), (iii) the Comprehensive
Environmental Response, Compensation and Liability Act, as amended by the
Superfund Amendments and Reauthorization Act of 1986 (42 U.S.C. Section 9601 et
seq.), (iv) the Hazardous Materials Transportation Act (49 U.S.C. Section 5101
et seq.), (v) the National Environmental Policy Act (42 U.S.C. Section 4321 et
seq.), (vi) the Oil Pollution Act of 1990 (33 U.S.C. Section 2701 et seq.),
(vii) the Resource Conservation and Recovery Act, as amended by the Hazardous
and Solid Waste Amendments of 1984 (42 U.S.C. Section 6901 et seq.), (viii) the
Safe Drinking Water Act (42 U.S.C. Section 300f et seq.), (ix) the Toxic
Substances Control Act (15 U.S.C. Section 2601 et seq.), the Emergency Planning
and Community Right-to-Know Act of 1986 (42 USC Section 11001 et seq.), the
Federal Insecticide,

                                      A-3
<PAGE>   59

Fungicide, and Rodenticide Act (7 U.S.C Section 136 et seq.), the Occupational
Safety and Health Act (29 U.S.C. Section 651 et seq.); (x) any state, local,
tribal, or foreign law, ordinance, regulation, or statute analogous to any of
the foregoing statutes, (xi) any regulations promulgated pursuant thereto, or
(xii) any other federal, state, local, tribal, or foreign law, ordinance,
regulation, rule or statute prohibiting, regulating, rule or restricting the
disposal, generation, handling, placement, recycling, release, storage,
transportation or treatment of any contaminant, liquid, mass, material, matter,
pollutant, solid, substance, or waste classified or considered to be hazardous
or toxic to human health or the environment or otherwise related to
environmental protection or health and safety.

         (gg) "ERISA" will mean the Employee Retirement Income Security Act of
1974, as amended.

         (hh) "ESCROW AGENT" will mean Chase Bank of Texas and includes its
successors or assigns.

         (ii) "ESCROW AGREEMENT" will have the meaning set forth in Section 2.2.

         (jj) "ESCROW DEPOSIT" will have the meaning set forth in Section
1.3(b).

         (kk) "ESOP" will have the meaning set forth in the first paragraph.

         (ll) "ESOP PAYMENT" will have the meaning set forth in Section 1.3(a).

         (mm) "GOVERNMENTAL AUTHORITY" will mean any federal, state, local,
tribal, foreign or other governmental agency, department, branch, commission,
board, bureau, court, instrumentality or body.

         (nn) "HAZARDOUS MATERIAL" will mean (i) any contaminant, liquid, mass,
material, matter, pollutant, solid, substance, or waste for which any
Environmental Law limits, prohibits, or regulates its disposal, generation,
handling, placement, recycling, release, storage, transportation or treatment,
(ii) any carcinogenic, corrosive, explosive, flammable, infectious, mutagenic,
radioactive, or toxic substance, (iii) any diesel fuel, gasoline, or other
petroleum product in an unconfined manner, (iv) any substance that contains
polychlorinated biphenyls, (v) any substance that contains asbestos, (vi) any
substance that contains urea formaldehyde foam installation, (vii) any substance
that constitutes a nuisance upon any property, (viii) any substance that imposes
a hazard to the health or safety of any individual; or (ix) any material that is
defined as a "hazardous waste," "hazardous substance," "hazardous material,"
"restricted hazardous waste," "industrial waste," "solid waste," "special
waste," "toxic waste," or "toxic substance" under any Environmental Law.

         (oo) "INDEMNITEE" will have the meaning set forth in Section 11.3(a).

         (pp) "INDEMNITOR" will have the meaning set forth in Section 11.3(a).

         (qq) "INDEPENDENT PERSON" will have the meaning set forth in Section
8.7(f).

                                      A-4
<PAGE>   60

         (rr) "INITIAL MAXIMUM SHAREHOLDER ESCROW AMOUNT" shall mean with
respect to any Seller the amount listed on Schedule 1.1 opposite the name of
such Seller.

         (ss) "INSURANCE POLICIES" will have the meaning set forth in Section
4.16.

         (tt) "INTANGIBLE ASSET" will mean any patent, trademark, trademark
license, computer software (including, without limitation, the algorithms of
such software), trade name, masthead, brand name, slogan, copyright, reprint
right, franchise, license, process, authorization, invention, know-how, formula,
trade secret and other intangible asset, together with any pending application,
continuation-in-part or extension therefor or common law rights thereto,
regardless of whether the same is registered or unregistered.

         (uu) "INTERIM BALANCE SHEET" will have the meaning set forth in Section
4.7(b).

         (vv) "INTERIM FINANCIAL STATEMENTS" will have the meaning set forth in
Section 4.7(b).

         (ww) "LAW" will mean any applicable code, statute, law, common law,
rule, regulation, ordinance or Order, writ or injunction of any Governmental
Authority.

         (xx) "LAW AFFECTING CREDITORS' RIGHTS" will mean any bankruptcy,
fraudulent conveyance or transfer, insolvency, moratorium, reorganization, or
other law affecting the enforcement of creditors' rights generally, and any
general principles of equity.

         (yy) "MARKET DEVELOPMENT FUND ACCOUNTS" will have the meaning set forth
in Section 4.35.

         (zz) "MATERIAL ADVERSE CHANGE (OR EFFECT)" means a change (or effect),
in the condition (financial or otherwise), properties, assets, liabilities,
rights, obligations, operations, business or prospects, which change (or
effect), individually or in the aggregate, is materially adverse to such
condition, properties, assets, liabilities, rights, obligations, operations,
business or prospects.

         (aaa) "MATERIAL CONTRACTS" will have the meaning set forth in Section
4.17.

         (bbb) "MAXIMUM SHAREHOLDER ESCROW AMOUNT" means, with respect to any
Person, such Person's Initial Maximum Shareholder Escrow Amount, as the same may
be increased or decreased pursuant to the Escrow Agreement.

         (ccc) "MERKERT" will have the meaning set forth in Section 2.1.

         (ddd) "NON-COMPETITION PARTY" will mean each of the Sellers and
Restricted Persons.

         (eee) "NON-ESOP PAYMENT" will have the meaning set forth in Section
1.3(b).

         (fff) "NOTE" will have the meaning set forth in Section 1.3(b).

                                      A-5
<PAGE>   61

         (ggg) "ORDER" will mean any consent decree, decree, determination,
injunction, judgment, order, or writ of any arbitrator or Governmental
Authority.

         (hhh) "OWNED REAL PROPERTY" will have the meaning set forth in Section
4.13(a).

         (iii) "PARTY" will have the meaning set forth in the first paragraph.

         (jjj) "PENSION BENEFIT PLAN" will mean (i) an "employee pension benefit
plan" as defined in Section 3(2) of ERISA, and (ii) a "multiemployer plan" as
defined in Section 4001(a)(3) of ERISA.

         (kkk) "PERMIT" will mean any license, approval, certificate, franchise,
registration, permit or authorization issuable by any Governmental Authority.

         (lll) "PERMITTED ENCUMBRANCE" will mean any Encumbrance directly
related to (i) Taxes that are not yet due and payable or Taxes that are being
contested in good faith by an appropriate proceeding, and in each case as to
which adequate reserves have been established in accordance with normal,
customary and reasonable accounting practices applied by Company on a consistent
basis, (ii) Encumbrances shown on the Interim Balance Sheet as securing
specified Claims with respect to which no breach or default exists, (iii)
workers', repairmen's and similar Encumbrances imposed by Law that have been
incurred in the ordinary course of business, and (iv) any other Encumbrance that
is not material arising since the date of the Interim Balance Sheet in the
ordinary course of business and consistent with past practices.

         (mmm) "PERSON" will mean any association, bank, business trust,
corporation, estate, general partnership, Governmental Authority, individual,
joint stock company, joint venture, labor union, limited liability company,
limited partnership, non-profit corporation, professional association,
professional corporation, trust, or any other organization or entity.

         (nnn) "PERSONAL PROPERTY LEASES" will have the meaning set forth in
Section 4.14(b).

         (ooo) "PLAN" will mean any bonus, deferred compensation, incentive
compensation, stock purchase, stock option, severance, hospitalization or other
medical, life or other insurance, supplemental unemployment benefit, profit
sharing, pension, or retirement plan, program, agreement or arrangement.

         (ppp) "PURCHASE PRICE" will have the meaning set forth in Section 1.2.

         (qqq) "PURCHASER" will have the meaning set forth in first paragraph.

         (rrr) "REAL PROPERTY LEASES" will have the meaning set forth in Section
4.13(b).

         (sss) "RESTRICTED PERSONS" will have the meaning set forth in the first
paragraph.

         (ttt) "REPRESENTATIVES" will mean, with respect to a Person, such
Person's directors, employees, officers, agents, accountants, affiliates,
consultants, investment bankers, attorneys, lenders, representatives and
shareholders.

                                      A-6
<PAGE>   62

         (uuu) "REQUIRED CONSENTS" will have the meaning set forth in Section
8.2(b).

         (vvv) "REQUIRED PERMITS" will have the meaning set forth in Section
8.3(b).

         (www) "RETURNS" will have the meaning set forth in Section 4.25(a).

         (xxx) "REVIEWED FINANCIAL STATEMENTS" will have the meaning set forth
in Section 4.7(a).

         (yyy) "RMSI CREDIT AGREEMENT" will mean that certain Amended and
Restated Credit Agreement dated as of December 1, 1997, among Purchaser, as
borrower, The Chase Manhattan Bank, individually and as agent for itself and the
other banks listed therein, and each of the banks or other lending institutions
which are signatories thereto, as amended and modified from time to time.

         (zzz) "RMSI INDENTURE" will mean that certain Indenture dated as of
December 19, 1991, by and between Purchaser, as Issuer, and Texas Commerce Bank
National Association, as trustee, relating to $100,000,000 of 10 1/8 % Senior
Subordinated Notes due 2007.

         (aaaa) "SECURITIES ACT" shall mean the Securities Act of 1933, or any
similar federal statute, and the rules and regulations of the Securities and
Exchange Commission thereunder, all as the same shall be in effect at the time.

         (bbbb) "SELLER" will have the meaning set forth in the first paragraph.

         (cccc) "SETTLEMENT MEETING" will have the meaning set forth in Section
12.1.

         (dddd) "SHARES" will have the meaning set forth in Section 1.1.

         (eeee) "SIGNING DATE" will have the meaning set forth in the first
paragraph.

         (ffff) "SYSTEM" will have the meaning set forth in Section 4.42(a).

         (gggg) "TAX" will mean any assessment, charge, duty, fee, impost, levy,
tariff, or tax of any nature whatsoever imposed by any Governmental Authority or
payable pursuant to any tax sharing agreement, including any income, payroll,
withholding, excise, gift, alternative minimum, capital gain, added value,
social security, sales, use, real and personal property, use and occupancy,
business and occupation, mercantile, real estate, capital stock, and franchise
tax or charge, together with any related interest, penalties or additions
thereon.

         (hhhh) "TRANSACTION DOCUMENTS" will mean this Agreement, the Notes, and
all other documents and instruments executed and delivered pursuant to or in
furtherance of this Agreement (including all employment agreement,
non-competition agreements).

         (iiii) "WELFARE BENEFIT PLAN" will mean an "employee welfare benefit
plan" as defined in Section 3(1) of ERISA, including an employee welfare benefit
plan which is a "multiemployer welfare plan" as defined in Section 3(37) of
ERISA and a "multiple employer welfare arrangement" as defined in Section 3(40)
of ERISA.

                                      A-7
<PAGE>   63

         (jjjj) "YEAR-END BALANCE SHEET" will have the meaning set forth in
Section 4.7(a).

         Accounting Terms. Except as otherwise provided in this Agreement, all
accounting terms defined in this Agreement, whether defined in this Article or
otherwise, will be construed in accordance with GAAP applied on a consistent
basis.

         Articles, Sections, Exhibits and Schedules. Except as otherwise
specifically stated, references to Articles, Sections, Exhibits and Schedules
refer to the Articles, Sections, Exhibits and Schedules of this Agreement.

         Attorneys' Fees. Whenever this Agreement refers to a Person's
"attorneys' fees and expenses," such reference also will include any fees and
expenses of accountants, experts, investigators, and other professional advisors
whose services such Person's attorney considered advisable in connection with
the prosecution or defense of the particular matter.

         Breach. The term "breach" with respect to any contract or instrument
means any breach or violation of, or default under, such contract or instrument,
any conflict with another contract or instrument or any emergence of a right of
another party to such contract or instrument to accelerate, cancel, modify or
terminate such contract or instrument, including any such breach, violation,
default, conflict, or right that will arise after notice or lapse of time.

         Disclosure Thresholds. The establishment of any monetary thresholds for
the disclosure of particular items will not create a materiality standard under
this Agreement.

         Drafting. Neither this Agreement nor any provision set forth in this
Agreement will be interpreted in favor of or against any Party because such
Party or its legal counsel drafted this Agreement or such provision. No prior
draft of this Agreement or any provision set forth in this Agreement will be
used when interpreting this Agreement or its provisions.

         Headings. Article and section headings are used in this Agreement only
as a matter of convenience and will not have any effect upon the construction or
interpretation of this Agreement.

         Include. The term "include" or any derivative of such term does not
mean that the items following such term are the only types of such items.

         Or. The term "or" will not be interpreted as excluding any of the items
described.

         Plural and Singular Words. Whenever the plural form of a word is used
in this Agreement, that word will include the singular form of that word.
Whenever the singular form of a word is used in this Agreement, that word will
include the plural form of that word.

         Pronouns. Whenever a pronoun of a particular gender is used in this
Agreement, if appropriate that pronoun also will refer to the other gender and
the neuter. Whenever a neuter pronoun is used in this Agreement, if appropriate
that pronoun also will refer to the masculine and feminine gender.

                                      A-8
<PAGE>   64

         Representations and Warranties. Sellers' representations and warranties
under this Agreement will mean the representations and warranties set forth in
Articles III and IV and the reaffirmation of Sellers' representations and
warranties in certificates delivered pursuant to Sections 2.2(a) and 2.3(a).
Purchaser's representations and warranties under this Agreement will mean the
representations and warranties set forth in Article V.

         Statutes. Any reference to Laws or any specific statute will include
any changes to such Law or statute after the Signing Date, any successor Law or
statute, and any regulations and rules promulgated under such Law or statute and
any successor law or statute, whether promulgated before or after the Signing
Date.

                                      A-9
<PAGE>   65

                                  SCHEDULE 1.1

            Ownership of the Shares and Allocation of Purchase Price

<TABLE>
<CAPTION>
                                                                                                   Initial Maximum
                                                                                                     Shareholder
        Name and Address                           Certificate        Number     Cash Payment At       Escrow          Principal
         Of Shareholder             Tax I.D.         Numbers         Of Shares       Closing           Amount        Amount of Note
         --------------             --------         -------         ---------   ---------------   ----------------  --------------
<S>                               <C>             <C>                <C>         <C>               <C>               <C>
Paul Inman Associates, Inc.       38-1617717
Employee Stock Ownership Plan &
Trust
Comerica Bank, Trustee
P.O. Box 75000
Detroit, Michigan 48275-3431
Tracy L. Harden, Trust Officer

   Profit Sharing Plan                            199                   27,190     1,297,106.13        62,393.87              0.00

   Stock Bonus Plan                               202, 209, 226,       145,100     6,922,033.82       332,966.18              0.00
                                                  227, 228, 229

Richard W. Domine                 ###-##-####     185, 203, 211,         3,400        77,197.90         7,802.10         85,000.00
2400 Rockhill Dr. NE                              221, 230
Grand Rapids, MI 49505

Kenneth A. Elwert                 ###-##-####     200                    2,000        45,410.53         4,589.47         50,000.00
7087 Lindenmere
Bloomfield Hills, MI 48301

Ronald K. Fairchild               ###-##-####     186, 204, 212,         8,900       202,076.85        20,423.15        222,500.00
39635 Muirfield Lane                              222, 231
Northville, MI 48167

Philip G. Fischioni Trust         ###-##-####     237, 238              11,680       265,197.48        26,802.52        292,000.00
Philip G. Fischioni, Trustee
28825 Salem
Farmington Hills, MI 48334

Dennis M. Hoppe                   ###-##-####     189, 206, 215,         4,720       107,168.85        10,831.15        118,000.00
6356 Trailridge Court                             224, 232, 240
Loveland, OH 45140-8156

Raymond J. Peuler, Jr.            ###-##-####     249, 256                 800        95,410.53         4,589.47              0.00
7349 Old Lantern Dr. SE                           Option                 1,200
Caledonia, MI 49316

Charles W. Pountney               ###-##-####     239, 248, 259          1,200        95,410.53         4,589.47              0.00
7491 Old Lantern Dr. SE                           Option                   800
Caledonia, MI 49316

Joseph C. and Diana L.            ###-##-####     235                    2,000        45,410.53         4,589.47         50,000.00
Rimarcik, Trust
Joseph C. Rimarcik, Trustee
1926 Grayslake Drive
Rochester Hills, MI 48306

E. Malcolm York, Trustee          38-3329781      254                    3,300       157,427.37         7,572.63              0.00
E. Malcolm York Charitable
Remainder Trust UTA dated
1/16/97

E. Malcolm York, Trustee
E. Malcolm York Trust
UTA dated July 9, 1975
35018 Old Timber Road
Farmington Hills, MI 48331-1437

E. Malcolm York, Trustee          38-6335222      254                    2,200        44,649.48        12,850.52        222,500.00
35018 Old Timber Road                             255                    3,400
Farmington Hills, MI 48331-1437

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

                           TOTAL                                       217,890   $9,354,5000.00      $500,000.00     $1,040,000.00
                                                                       =======   ==============      ===========     =============
</TABLE>

<PAGE>   66

                                 SCHEDULE 9.1(h)

                              Employment Agreements

Ronald K. Fairchild
Richard Scott Hatfield
Robert Weber
Jere D. Roudebush
Dennis M. Hoppe
Phillip G. Fischioni
Raymond J. Peuler, Jr.
Charles W. Pountney
<PAGE>   67

                   FIRST AMENDMENT TO STOCK PURCHASE AGREEMENT

         THIS FIRST AMENDMENT TO STOCK PURCHASE AGREEMENT (this "AMENDMENT") is
dated as of August 13, 1999, by and among Richmont Marketing Specialists Inc., a
Delaware corporation, (the "PURCHASER"), Paul Inman Associates, Inc., a Michigan
corporation (the "COMPANY"), and the other Persons listed on the signature pages
attached hereto (collectively, the "SHAREHOLDERS").

                             PRELIMINARY STATEMENTS

         A. The parties have entered into that certain Stock Purchase Agreement
dated as of May 14, 1999 (the "AGREEMENT") by and among Purchaser, the Company
and the Shareholders, pursuant to which the Purchaser has agreed to purchase
from the Shareholders, and the Shareholders have agreed to sell to the
Purchaser, all of the issued and outstanding capital stock of the Company,
subject to the terms and conditions of the Agreement. All capitalized terms used
but not otherwise defined herein shall have the meaning ascribed to them in the
Agreement.

         B. Charles W. Pountney ("POUNTNEY") is one of the Shareholders and a
party to the Agreement with certain rights and obligations thereunder.

         C. The Company has redeemed all of the stock and options of Pountney
(the "REDEMPTION") in connection with the termination of his employment from the
Company.

         D. As a result of the Redemption, the parties hereto desire to amend
the Agreement as set forth in this Amendment

         NOW, THEREFORE, based on the foregoing, in consideration of the mutual
promises contained herein and in the Purchase Agreement (as amended hereby), and
subject to the terms and conditions set forth herein and in the Purchase
Agreement (as amended hereby), the parties hereto agree as follows:

                             STATEMENT OF AGREEMENT

         1. Section 1.2 of the Agreement is hereby amended and restated in its
entirety as follows:

                  Section 1.2 Purchase Price. The total consideration for the
         Shares will be the sum of $10,794,500, subject to any adjustment
         pursuant to Section 1.4 (as so adjusted, the "PURCHASE PRICE").

         2. Section 1.3 of the Agreement is hereby amended and restated in its
entirety as follows:

                                       1
<PAGE>   68

                  Section 1.3 Payment of Purchase Price.

                                    (a) ESOP Shares. Subject to any adjustment
                  pursuant to Section 1.4, for and in full consideration of this
                  Agreement and the transactions contemplated herein, at the
                  Closing, Purchaser will pay to the ESOP an aggregate amount
                  equal to $8,614,500, payable as follows: (i) the amount of
                  $8,215,477.35 (the "ESOP PAYMENT") by wire transfer of
                  immediately available funds to the bank account set forth on a
                  notice given by the ESOP to Purchaser no later than three days
                  prior to the Closing Date; and (ii) the amount of $399,022.65
                  (the "ESOP ESCROW DEPOSIT") to an account with the Escrow
                  Agent to be held in escrow and distributed pursuant to the
                  terms of this Agreement and the Escrow Agreement.

                                    (b) Non-ESOP Shares. Subject to any
                  adjustment pursuant to Section 1.4, for and in full
                  consideration of this Agreement and the transactions
                  contemplated herein, at the Closing, Purchaser will pay to the
                  Sellers (other than the ESOP) an aggregate amount equal to
                  $2,180,000, payable as follows: (i) the amount of $100,977.35
                  (the "NON-ESOP ESCROW DEPOSIT," and together with the ESOP
                  Escrow Deposit, the "ESCROW DEPOSIT," as the same may be
                  increased or decreased from time to time pursuant to the terms
                  of the Escrow Agreement) to an account with the Escrow Agent
                  to be held in escrow and distributed pursuant to the terms of
                  this Agreement and the Escrow Agreement; (ii) the amount of
                  $1,039,022.65 (the "NON-ESOP PAYMENT") by wire transfer of
                  immediately available funds in the amounts set forth on
                  Schedule 1.1 (as the same may be revised to reflect any
                  adjustment to the Purchase Price) opposite the name of each
                  Seller (other than the ESOP) to the bank accounts set forth on
                  a notice given by each such Seller to Purchaser no later than
                  three business days prior to the Closing Date; and (iii) the
                  aggregate principal amount of $1,040,000 by delivering to each
                  Seller (other than the ESOP) a promissory note substantially
                  in the form attached hereto as Exhibit 1.3(b) with a principal
                  amount equal to the amount set forth on Schedule 1.1 (as the
                  same may be revised to reflect any adjustment to the Purchase
                  Price) opposite the name of such Seller (collectively, the
                  "NOTES").

         3. Schedule 1.1 of the Agreement is amended and restated in its
entirety as set forth in Schedule 1.1 to this Amendment.

         4. Schedule 9.1(h) of the Agreement is amended and restated in its
entirety as set forth in Schedule 9.1(h) to this Amendment.

         5. The parties hereto hereby acknowledge and agree that (i) Pountney
shall have no further rights or obligations under the Agreement, (ii) the term
"Seller" as used in the Agreement shall mean only those Persons listed on
Schedule 1.1 hereto, and (iii) the term "Parties" as used in the Agreement shall
not include, and shall be deemed to have never included, Pountney.

                                       2
<PAGE>   69

         6. Except as specifically provided in this Amendment, there are no
amendments, revisions or other modifications to the Agreement. All other terms
and conditions of the Agreement are hereby incorporated by reference and shall
remain in full force and effect and apply fully to this Amendment.

         7. This Amendment may be executed in any number of counterparts, each
of which will be deemed to be an original agreement, but all of which will
constitute one and the same agreement. Any party hereto may execute and deliver
this Amendment by an executed signature page transmitted by a facsimile machine.
If a party transmits its signature page by a facsimile machine, such party will
promptly thereafter deliver an originally executed signature page to the other
parties, provided that any failure to deliver such an originally executed
signature page will not affect the validity, legality, or enforceability of this
Amendment.

         8. THIS AMENDMENT IS GOVERNED BY THE LAWS OF THE STATE OF TEXAS
REGARDLESS OF THE LAWS THAT MIGHT OTHERWISE GOVERN UNDER THE CONFLICTS OF LAWS
PRINCIPLES OF SUCH STATE.

                            [SIGNATURE PAGE FOLLOWS]

                                       3
<PAGE>   70

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

PURCHASER:          RICHMONT MARKETING SPECIALISTS INC.,
                    a Delaware corporation

                    By:
                       ---------------------------------------
                    Name:
                         -------------------------------------
                    Title:
                          ------------------------------------

COMPANY:            PAUL INMAN ASSOCIATES, INC., a Michigan
                    corporation

                    By:
                       ---------------------------------------
                    Name:
                         -------------------------------------
                    Title:
                          ------------------------------------

SELLERS:            PAUL INMAN ASSOCIATES, INC., EMPLOYEE
                    STOCK OWNERSHIP PLAN & TRUST

                    By:  Comerica Bank, Trustee

                    By:
                       ---------------------------------------
                    Name:
                         -------------------------------------
                    Title:
                          ------------------------------------

                    ------------------------------------------
                    Richard W. Domine

                    ------------------------------------------
                    Kenneth A. Elwert

                    ------------------------------------------
                    Ronald K. Fairchild

<PAGE>   71

                    Philip G. Fischioni Trust

                    By:
                       ---------------------------------------
                       Philip G. Fischioni, Trustee

                    ------------------------------------------
                    Dennis M. Hoppe

                    ------------------------------------------
                    Raymond J. Peuler, Jr.

                    ------------------------------------------
                    Charles W. Pountney

                    ------------------------------------------
                    Joseph C. and Diana L. Rimarcik Trust

                    By:
                       ---------------------------------------
                         Joseph C. Rimarcik, Trustee

                    E. Malcolm York Charitable Remainder Trust
                    UTA dated January 16, 1997

                    By:
                       ---------------------------------------
                         E. Malcolm York, Trustee

                    E. Malcolm York Trust UTA dated July 9, 1975

                    By:
                       ---------------------------------------
                         E. Malcolm York, Trustee

<PAGE>   72

                                  SCHEDULE 1.1

            Ownership of the Shares and Allocation of Purchase Price

<TABLE>
<CAPTION>
                                                                                                  Initial Maximum
        Name and Address                            Certificate       Number     Cash Payment       Shareholder        Principal
         Of Shareholder             Tax I.D.          Numbers        Of Shares    At Closing       Escrow Amount     Amount of Note
         --------------             --------          -------        ---------    ----------       -------------     --------------

<S>                               <C>             <C>                <C>         <C>             <C>                <C>
Paul Inman Associates, Inc.       38-2135687
Employee Stock Ownership Plan &
Trust
Comerica Bank, Trustee
P.O. Box 75000
Detroit, Michigan 48275-3431
Tracy L. Harden, Trust Officer

   Profit Sharing Plan                            199                   27,190     1,296,528.12        62,971.88              0.00

   Stock Bonus Plan                               202, 209, 226,       145,100     6,918,949.23       336,050.77              0.00
                                                  227, 228, 229

Richard W. Domine                 ###-##-####     185, 203, 211,         3,400        77,125.62         7,874.38         85,000.00
2400 Rockhill Dr. NE                              221, 230
Grand Rapids, MI 49505

Kenneth A. Elwert                 ###-##-####     200                    2,000        45,368.01         4,631.99         50,000.00
7087 Lindenmere
Bloomfield Hills, MI 48301

Ronald K. Fairchild               ###-##-####     186, 204, 212,         8,900       201,887.65        20,612.35        222,500.00
39635 Muirfield Lane                              222, 231
Northville, MI 48167

Philip G. Fischioni Trust         ###-##-####     237, 238              11,680       264,949.19        27,050.81        292,000.00
Philip G. Fischioni, Trustee
28825 Salem
Farmington Hills, MI 48334

Dennis M. Hoppe                   ###-##-####     189, 206, 215,         4,720       107,068.51        10,931.49        118,000.00
6356 Trailridge Court                             224, 232, 240
Loveland, OH 45140-8156

Raymond J. Peuler, Jr.            ###-##-####     249, 256 Option          800        95,368.01         4,631.99              0.00
7349 Old Lantern Dr. SE                                                  1,200
Caledonia, MI 49316

Joseph C. and Diana L.            ###-##-####     235                    2,000        45,368.01         4,631.99         50,000.00
Rimarcik, Trust
Joseph C. Rimarcik, Trustee
1926 Grayslake Drive
Rochester Hills, MI 48306

E. Malcolm York, Trustee          38-3329781      254                    3,300       157,357.22         7,642.78              0.00
E. Malcolm York Charitable
Remainder Trust UTA dated
1/16/97
35018 Old Timber Road
Farmington Hills, MI 48331-1437

E. Malcolm York, Trustee          38-6335222      254                    2,200        44,530.43        12,969.57        222,500.00
E. Malcolm York Trust                             255                    3,400
UTA dated July 9, 1975
35018 Old Timber Road
Farmington Hills, MI 48331-1437
                                                                       -------    -------------      -----------      -------------

                           TOTAL                                       215,890    $9,254,500.00      $500,000.00      $1,040,000.00
                                                                       =======    =============      ===========      =============
</TABLE>

<PAGE>   73

                                 SCHEDULE 9.1(h)

                              Employment Agreements

Ronald K. Fairchild
Richard Scott Hatfield
Robert Weber
Jere D. Roudebush
Dennis M. Hoppe
Phillip G. Fischioni
Raymond J. Peuler, Jr.

<PAGE>   74

                  SECOND AMENDMENT TO STOCK PURCHASE AGREEMENT

         THIS SECOND AMENDMENT TO STOCK PURCHASE AGREEMENT (this "AMENDMENT") is
dated as of August 18, 1999, by and among Marketing Specialists Corporation, a
Delaware corporation (formerly known as Merkert American Corporation, a Delaware
corporation) (the "PURCHASER"), successor-in-interest by way of merger to
Richmont Marketing Specialists Inc., a Delaware corporation ("RMSI"), Paul Inman
Associates, Inc., a Michigan corporation (the "COMPANY"), and the other Persons
listed on the signature pages attached hereto (collectively, the
"SHAREHOLDERS").

                             PRELIMINARY STATEMENTS

         A. Pursuant to that certain Stock Purchase Agreement dated as of May
14, 1999 by and among RMSI, the Company and the Shareholders, as amended by the
First Amendment thereto dated as of August 13, 1999 (as so amended, the
"AGREEMENT"), RMSI agreed to purchase from the Shareholders, and the
Shareholders agreed to sell to the Purchaser, all of the issued and outstanding
capital stock of the Company, subject to the terms and conditions of the
Agreement. All capitalized terms used but not otherwise defined herein shall
have the meaning ascribed to them in the Agreement.

         B. The parties hereto desire to amend the Agreement as set forth in
this Amendment.

         NOW, THEREFORE, based on the foregoing, in consideration of the mutual
promises contained herein and in the Agreement (as amended hereby), and subject
to the terms and conditions set forth herein and in the Agreement (as amended
hereby), the parties hereto agree as follows:

                             STATEMENT OF AGREEMENT

         1. Any and all references in the Agreement to Richmont Marketing
Specialists Inc. or the "Purchaser" shall be deemed henceforth to refer to
Marketing Specialists Corporation, a Delaware corporation.

         2. Section 1.2 of the Agreement is hereby amended and restated in its
entirety as follows:

                  Section 1.2 Purchase Price. The total consideration for the
         Shares will be the sum of $10,794,500 (the "PURCHASE PRICE").

         3. Section 1.3 of the Agreement is hereby amended and restated in its
entirety as follows:

                  Section 1.3 Payment of Purchase Price.

                                    (a) ESOP Shares. For and in full
                  consideration of this Agreement and the transactions
                  contemplated herein, at the Closing,

                                       1
<PAGE>   75

                  Purchaser will pay to the ESOP an aggregate amount equal to
                  $8,614,500, payable as follows: (i) the amount of
                  $8,215,477.35 (the "ESOP PAYMENT") by wire transfer of
                  immediately available funds to the bank account set forth on a
                  notice given by the ESOP to Purchaser no later than three days
                  prior to the Closing Date; and (ii) the amount of $399,022.65
                  (the "ESOP ESCROW DEPOSIT") to an account with the Escrow
                  Agent to be held in escrow and distributed pursuant to the
                  terms of this Agreement and the Escrow Agreement.

                                    (b) Non-ESOP Shares. For and in full
                  consideration of this Agreement and the transactions
                  contemplated herein, at the Closing, Purchaser will pay to the
                  Sellers (other than the ESOP) an aggregate amount equal to
                  $2,180,000, payable as follows: (i) the amount of $100,977.35
                  (the "NON-ESOP ESCROW DEPOSIT," and together with the ESOP
                  Escrow Deposit, the "ESCROW DEPOSIT," as the same may be
                  increased or decreased from time to time pursuant to the terms
                  of the Escrow Agreement) to an account with the Escrow Agent
                  to be held in escrow and distributed pursuant to the terms of
                  this Agreement and the Escrow Agreement; (ii) the amount of
                  $1,039,022.65 (the "NON-ESOP PAYMENT") by wire transfer of
                  immediately available funds in the amounts set forth on
                  Schedule 1.1 opposite the name of each Seller (other than the
                  ESOP) to the bank accounts set forth on a notice given by each
                  such Seller to Purchaser no later than three business days
                  prior to the Closing Date; and (iii) the aggregate principal
                  amount of $1,040,000 by delivering to each Seller (other than
                  the ESOP) a promissory note substantially in the form attached
                  hereto as Exhibit 1.3(b) with a principal amount equal to the
                  amount set forth on Schedule 1.1 opposite the name of such
                  Seller (collectively, the "NOTES").

         4. Section 1.4 of the Agreement is hereby deleted in its entirety and
any and all references to Section 1.4 in the Agreement are hereby stricken.

         5. Section 2.1 of the Agreement is hereby amended and restated in its
entirety as follows:

                           Section 2.1 The Closing. The consummation of the
                  transactions contemplated by this Agreement (the "CLOSING")
                  will take place either at the offices of Paul Inman
                  Associates, Inc., 30095 Northwestern Highway, Farmington
                  Hills, Michigan 48334, or Miro Weiner & Kramer, 500 North
                  Woodward Avenue, Suite 100, Bloomfield Hills, Michigan 48303
                  on September 30, 1999 or such other date mutually agreed to by
                  the parties but in any event no later than November 9, 1999;
                  provided that all of the conditions set forth in Article IX,
                  to the extent not waived, are satisfied. The date on which the
                  Closing actually occurs is hereinafter referred to as the
                  "CLOSING DATE."

                                       2
<PAGE>   76

         6. Section 6.5 is hereby amended by deleting the words "within 179 days
of the Signing Date" from the third line thereof and inserting in place thereof
the words "on or prior to November 9, 1999."

         7. Section 9.1(c) of the Agreement is hereby amended and restated in
its entirety as follows:

                           (c) Absence of Certain Changes. (i) Ronald K.
                  Fairchild shall not have voluntarily terminated (not including
                  by death or disability) his employment with Company; and (ii)
                  the assets and liabilities of Company will not be materially
                  different from those set forth on the Year-End Balance Sheet
                  other than changes from the Year-End Balance Sheet as a result
                  of positive or negative differences in the annualized
                  commissions of Company since the Balance Sheet Date. For
                  purposes of this Section 9.1(c) only, "annualized commissions
                  of Company" shall mean all commissions, bonuses, retail
                  service fees, and outside warehouse commissions of Company
                  based on sales or services to or on behalf principals of
                  Company, regardless of whether such principals were principals
                  of Company on or after the Signing Date.

         8. Section 9.1(h) of the Agreement is hereby amended and restated in
its entirety as follows:

                           (h) Employment Agreements. Effective as of the
                  Closing Date, Company shall assign to Purchaser, or an
                  Affiliate of Purchaser, all of Company's rights, title and
                  interest in, to and under its employment agreements (true,
                  correct and current copies of which have been provided to
                  Purchaser) with the individuals set forth on Schedule 9.1(h),
                  as such schedule may be amended prior to the Closing.

         9. Section 10.1(b) of the Agreement is hereby amended and restated in
its entirety as follows:

                           (b) by Purchaser if Ronald K. Fairchild voluntarily
                  terminates (not including termination by death or disability)
                  his employment with Company prior to the Closing Date;

         10. Schedule 9.1(h) of the Agreement is hereby renamed "Key Employees."

         11. Exhibit 9.1(h) of the Agreement is hereby deleted in its entirety
and any and all references to Exhibit 9.1(h) in the Agreement are hereby
stricken.

         12. Except as specifically provided in this Amendment, there are no
amendments, revisions or other modifications to the Agreement. All other terms
and conditions of the Agreement are hereby incorporated by reference and shall
remain in full force and effect and apply fully to this Amendment.

                                       3
<PAGE>   77

         13. This Amendment may be executed in any number of counterparts, each
of which will be deemed to be an original agreement, but all of which will
constitute one and the same agreement. Any party hereto may execute and deliver
this Amendment by an executed signature page transmitted by a facsimile machine.
If a party transmits its signature page by a facsimile machine, such party will
promptly thereafter deliver an originally executed signature page to the other
parties, provided that any failure to deliver such an originally executed
signature page will not affect the validity, legality, or enforceability of this
Amendment.

         14. THIS AMENDMENT IS GOVERNED BY THE LAWS OF THE STATE OF TEXAS
REGARDLESS OF THE LAWS THAT MIGHT OTHERWISE GOVERN UNDER THE CONFLICTS OF LAWS
PRINCIPLES OF SUCH STATE.

                            [SIGNATURE PAGE FOLLOWS]

                                       4
<PAGE>   78

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

PURCHASER:         MARKETING SPECIALISTS CORPORATION, a
                   Delaware corporation

                   By:
                      --------------------------------------------------
                   Name:
                        ------------------------------------------------
                   Title:
                         -----------------------------------------------

COMPANY:           PAUL INMAN ASSOCIATES, INC., a Michigan
                   corporation

                   By:
                      --------------------------------------------------
                   Name:
                        ------------------------------------------------
                   Title:
                         -----------------------------------------------

SELLERS:           PAUL INMAN ASSOCIATES, INC., EMPLOYEE
                   STOCK OWNERSHIP PLAN & TRUST

                   By:  Comerica Bank, Trustee

                   By:
                      --------------------------------------------------
                   Name:
                        ------------------------------------------------
                   Title:
                         -----------------------------------------------

                   -----------------------------------------------------
                   Richard W. Domine

                   -----------------------------------------------------
                   Kenneth A. Elwert

                   -----------------------------------------------------
                   Ronald K. Fairchild

<PAGE>   79

                   Philip G. Fischioni Trust

                   By:
                      --------------------------------------------------
                        Philip G. Fischioni, Trustee

                   -----------------------------------------------------
                   Dennis M. Hoppe

                   -----------------------------------------------------
                   Raymond J. Peuler, Jr.

                   Joseph C. and Diana L. Rimarcik Trust

                   By:
                      --------------------------------------------------
                        Joseph C. Rimarcik, Trustee

                   E. Malcolm York Charitable Remainder Trust UTA dated
                   January 16, 1997

                   By:
                      --------------------------------------------------
                        E. Malcolm York, Trustee

                   E. Malcolm York Trust UTA dated July 9, 1975

                   By:
                      --------------------------------------------------
                        E. Malcolm York, Trustee

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