Document:

LOAN AGREEMENT
                                 --------------
     THIS  LOAN AGREEMENT (this "AGREEMENT") is made this 18th day of September,
2002,  by  and  between  WORLDWIDE  MEDICAL  CORPORATION, a Delaware corporation
("BORROWER") and ZIEGLER HEALTHCARE FUND I, L.P., a Delaware limited partnership
("LENDER").
                                R E C I T A L S:

     Borrower has requested that Lender make a loan to Borrower in the principal
sum  of  $1,650,000.  Lender  has  agreed  to  make  such  loan on the terms and
conditions  hereinafter  set  forth.

     NOW,  THEREFORE,  it  is  hereby  agreed  as  follows:

                                    ARTICLE I
                 DEFINITIONS, ACCOUNTING PRINCIPLES, UCC TERMS.

     1.1.     DEFINITIONS.     As  used in this Agreement, the terms below shall
              ------------
have the following meanings, unless the context hereof shall otherwise indicate:

     "APPLICABLE  ENVIRONMENTAL LAW" shall mean any applicable federal, state or
local  law,  rule  or  regulation  pertaining  to  health or the environment, or
petroleum  products,  or  radon  radiation,  or  oil  or  hazardous  substances,
including,  without  limitation,  the  Comprehensive  Environmental  Response,
Compensation  and  Liability  Act  of  1980, as amended ("CERCLA"), the Resource
Conservation  and  Recovery  Act  of  1976,  as amended ("RCRA") and the Federal
Emergency  Planning  and  Community  Right-To-Know Act of 1986, as amended.  The
terms  "hazardous  substance" and "release" shall have the meanings specified in
CERCLA, and the terms "solid waste," "disposal," "dispose," and "disposed" shall
have  the  meanings  specified  in RCRA, except that if such acts are amended to
broaden  the  meanings  thereof,  the  broader  meaning  shall  apply  herein
prospectively  from  and  after the date of such amendments; notwithstanding the
foregoing,  provided,  to  the  extent  that  the laws of the state in which the
assets  of Borrower are located establish a meaning for "hazardous substance" or
"release"  which  is  broader  than  that  specified in CERCLA, as CERCLA may be
amended  from  time  to  time,  or  a meaning for "solid waste," "disposal," and
"disposed"  which is broader than specified in RCRA, as RCRA may be amended from
time  to  time,  such  broader  meanings under said state law shall apply in all
matters  relating  to  the  laws  of  such  state.

     "ASSIGNMENT AND PLEDGE OF DEPOSIT ACCOUNT" shall have the meaning set forth
in  Section  2.12.
    -------------

     "BUSINESS  DAY"  shall  mean a day, other than Saturday or Sunday and legal
holidays,  when  Lender  is  open  for  business.

     "CHANGE  IN  CONTROL" shall mean: (a) a merger or consolidation of Borrower
where  Borrower  is  not  the  surviving  corporation, or if it is the surviving
corporation,  such  transaction  resulted in a change in its Board of Directors,
such  that  a  majority  of  the individuals who comprise the Board of Directors
immediately prior to such transaction (or series of related transactions) do not
constitute  a  majority of the Board of Directors after such transaction, (or if
such individuals continue to constitute a majority of the Board of Directors the
transaction  vested  in  another Person(s) and/or entity(ies) any super-majority
voting  rights);  or  (b)  a sale of stock by Borrower or by any stockholder (or
group  of  stockholders)  such that such transaction (or series of transactions)
results  in  a  party  or parties who had not previously owned a majority of the
outstanding voting shares of Borrower, owning such majority stake following such
transaction  (or  series  of  transactions).

<PAGE>

     "CLOSING  DATE" shall mean the date on which all or any part of the Loan is
disbursed  by  Lender  to  or  for  the  benefit  of  Borrower.

     "COLLATERAL"  shall  mean, collectively, all assets of Borrower, including,
but  not  limited  to,  (i) the FDA approved 510(k) over the counter clearances,
patents, trademarks, and all other Trade Rights, (ii) accounts receivable, (iii)
inventory,  (iv)  owned  equipment,  (v)  all rights arising under private label
contracts,  distribution  agreements  and  escrow  accounts,  (vi)  the  Key Man
Insurance Policies, (v) all tangible and intangible personal property interests,
and  all proceeds of the foregoing, and all other property which is or hereafter
may  become subject to a Lien in favor of Lender as security for any of the Loan
Obligations.

     "COUPON  PAYMENTS"  has  the  meaning  set  forth  in  the  Note.

     "COUPON  RATE"  shall  mean  a  per  annum  rate of fourteen percent (14%).

     "DEFAULT"  shall  mean  the occurrence or existence of any event which, but
for  the  giving  of  notice  or expiration of time or both, would constitute an
Event  of  Default.

     "DISTRIBUTION  AGREEMENTS" shall mean each Distribution Agreement listed on
Exhibit  1.1(a).
---------------

     "EVENT  OF DEFAULT" shall mean any "Event of Default" as defined in Section
                                                                         -------
6.1.
---

     "EXHIBIT"  shall  mean  an  Exhibit  to  this Agreement, unless the context
refers to another document, and each such Exhibit shall be deemed a part of this
Agreement  to  the  same extent as if it were set forth in its entirety wherever
reference  is  made  thereto.

     "FDA"  shall  mean  the  Food  and Drug Administration of the United States
Department  of  Health  and  Human  Services.

     "FORBEARANCE  AGREEMENTS"  shall  mean  the  agreements  with the creditors
listed  on Exhibit 1.1(b) which agreements contain terms and conditions that are
acceptable --------------  to  Lender  in  its  sole  discretion.

     "GAAP"  shall  mean,  as  in  effect  from time to time, generally accepted
accounting  principles  consistently  applied  as  promulgated  by  the American
Institute  of  Certified  Public  Accountants.

     "GOVERNMENTAL  ENTITY"  shall  have  the meaning set forth in Section 3.20.
                                                                   ------------
<PAGE>

     "INDEBTEDNESS"  shall  mean  any  (a)  obligations  for borrowed money, (b)
obligations  representing  the  deferred  purchase  price of property other than
accounts  payable arising in connection with the purchase of inventory customary
in  the  trade,  (c)  obligations,  whether  or not assumed, secured by Liens or
payable  out  of the proceeds or production from property now or hereafter owned
or  acquired,  and (d) the amount of any other obligation (including obligations
under  financing  leases) which would be shown as a liability on a balance sheet
prepared  in  accordance  with  GAAP.

     "INSURANCE  POLICIES"  shall  have  the  meaning set forth in Section 3.14.
                                                                  -------------

     "KEY  MAN  INSURANCE  POLICIES" shall have the meaning set forth in Section
                                                                         -------
4.19.
----

     "LENDER'S  APPROVAL"  shall  have  the  meaning  set forth in Section 7.10.
                                                                   ------------
     "LIEN"  shall  mean  any  voluntary or involuntary mortgage, security deed,
deed of trust, deed to secure debt, lien, pledge, assignment, security interest,
title  retention agreement, financing lease, levy, execution, seizure, judgment,
attachment,  garnishment,  charge,  lien  or  other  encumbrance  of  any  kind,
including  those  contemplated  by  or permitted in this Agreement and the other
Loan  Documents.

     "LOAN"  shall  mean  the  loan  in  the  principal  sum  of $1,650,000 (the
"ORIGINAL  LOAN  AMOUNT") made by Lender to Borrower on or about the date hereof
as evidenced by the Note, plus any capitalized interest pursuant to the terms of
this Agreement or the Note (but nothing herein shall require that Lender advance
more  than  the  Original  Loan  Amount).

     "LOAN  DOCUMENTS"  shall  mean, collectively, this Agreement, the Note, the
Warrant, the Security Agreement, the Rights Agreement, the Assignment and Pledge
of  Deposit  Account  and  the Forbearance Agreements, together with any and all
other  documents  executed  by  Borrower  or  others,  evidencing,  securing, or
otherwise  relating  to  the  Loan.

     "LOAN  OBLIGATIONS"  shall  mean  the aggregate of all principal (including
capitalized  interest)  and  interest owing from time to time under the Note and
all  expenses, fees, premiums, charges and other amounts from time to time owing
under  the  Note, this Agreement, or the other Loan Documents and all covenants,
agreements  and other obligations from time to time owing to, or for the benefit
of,  Lender  pursuant  to  the  Loan  Documents.

     "LOAN  YEAR" shall mean the period from  the  date of this Agreement to and
including  September  20,  2003  and  each  twelve (12) month period thereafter.

     "MATERIAL  ADVERSE EFFECT" shall have the meaning set forth in Section 3.6.
                                                                    -----------
     "MATURITY  DATE"  shall  mean  September  20,  2007.

     "NOTE"  shall  mean  the  Promissory  Note  of  even  date  herewith in the
principal  amount  of  the  Loan  payable  by  Borrower  to the order of Lender.

     "PERMITS"  shall  mean  all  licenses,  permits,  certificates,  approvals,
authorizations  and  registrations  obtained  from  any  Governmental  Entity or
quasi-governmental  authority  and  used  or  useful  in  connection  with  the
ownership,  operation,  use or occupancy of the business of Borrower or relating
to  the  Collateral.

<PAGE>

     "PERSON"  shall  mean  any  person, firm, corporation, partnership, limited
liability  company,  trust  or  other  entity.

     "PRO FORMA SCHEDULE" shall have the meaning set forth in Section 2.5(a)(3).
                                                              -----------------

     "RIGHTS  AGREEMENT"  shall  have  the  meaning  set  forth  in Section 2.3.
                                                                    ------------

     "SEC"  shall  mean  the  Securities  and  Exchange  Commission.

     "SECURITY  AGREEMENT"  shall  have  the  meaning  set forth in Section 2.4.
                                                                   ------------

     "TRADE  RIGHTS"  shall  have  the  meaning  set  forth  in  Section  3.24.
                                                                  -------------

     "WARRANT"  shall  have  the  meaning  set  forth  in  Section  2.2.
                                                           ------------

     "ZIEGLER DEBT" shall mean any indebtedness now or hereafter owing to Lender
by  Borrower, whether primary or secondary, fixed or contingent, individually or
jointly  with  others.

     1.2.     SINGULAR  VS.  PLURAL.  Singular  terms  shall  include the plural
              ---------------------
forms  and  vice  versa,  as  applicable,  relative  to  the  terms  defined.

     1.3.     UNIFORM COMMERCIAL CODE.  Terms contained in this Agreement shall,
              -----------------------
unless  otherwise defined herein or unless the context otherwise indicates, have
the  meanings, if any, assigned to them by the Uniform Commercial Code in effect
in  the state in which Collateral for the Loan Obligations is deemed located, as
such  Uniform  Commercial  Code  may  be  amended from time to time (provided no
amendment  shall  have  the effect of releasing any security interest previously
granted).

     1.4.     GAAP.  All  accounting  terms  used  in  this  Agreement  shall be
              ----
construed in  accordance  with  GAAP,  except  as  otherwise  defined.

     1.5.     REFERENCES. All references to other documents or instruments shall
              ----------
be deemed to refer to  such  documents  or  instruments as they may hereafter be
extended,  renewed,  modified, or amended and all replacements and substitutions
therefor.

                                   ARTICLE II
                                TERMS OF THE LOAN
     2.1.     THE  LOAN.  Borrower  has agreed to borrow from Lender, and Lender
              ---------
has  agreed  to make the Loan to Borrower, subject to Borrower's compliance with
and  observance  of  the  terms,  conditions,  covenants, and provisions of this
Agreement  and  the  other  Loan Documents, and Borrower has made the covenants,
representations,  and warranties herein and therein as a material inducement for
Lender  to  make  the  Loan.

<PAGE>

     2.2.     WARRANTS.  At  the  Closing,  Borrower  shall  issue  to  Lender a
              --------
warrant  or  warrants  (the  "WARRANT")  for  the purchase by Lender or Lender's
assignee,  of  2,475,000  shares  of  Borrowers common stock, subject to certain
adjustments  and  upon  the  terms  and  conditions  as set forth in the form of
Warrant  attached  hereto  as  Exhibit  2.2.
                               ------------

     2.3.     RIGHTS  AGREEMENT.  At  the  Closing, Borrower, Lender and certain
              -----------------
stockholders  of  Borrower  shall enter into a Rights Agreement in form attached
hereto  as  Exhibit 2.3 (the "RIGHTS AGREEMENT"), pursuant to which, among other
            -----------
things,  Lender  shall  be  granted  full  observation  rights,  in person or by
telephone  conference  call,  for  two  representatives  of Lender to attend all
meetings  of  the Board of Directors of Borrower, the Executive Committee of the
Board  of  Directors,  the  Audit  Committee  of  the Board of Directors and the
Finance  Committee  of  the  Board  of  Directors.

     2.4.     SECURITY FOR THE LOAN.  The Loan will be secured by the Collateral
              ---------------------
in  accordance  with the terms and condition of a Security Agreement in the form
attached  hereto  as  Exhibit  2.4 (the "SECURITY AGREEMENT") to be entered into
                      ------------
between  Borrower  and  Lender  at  Closing.

     2.5.     ADDITIONAL CLOSING DELIVERABLES BY BORROWER.  At Closing, Borrower
              -------------------------------------------
shall  deliver  to  Lender  the  following:

     (a)     Officers  Certificate.  A  certificate  executed  by  the  Chief
             ---------------------
Executive  Officer  and Chief Financial Officer of Borrower certifying to Lender
that:

     (1)     Borrower has entered into employment agreements for a period of not
less  than  three  years  with each of Daniel G. McGuire, as President and Chief
Executive  Officer,  Kevin  Gadawski,  as Chief Financial Officer, and Francisco
Rojas,  Ph.D.,  as  Chief  Science  Officer  which  employment agreements are on
commercially  reasonable  terms;

     (2)     Borrower  has  delivered to Lender the current financial statements
of  Borrower, which consisted of Borrower's most recent periodic report with the
SEC  on Form 10-Q and that such financial statements were accurate and complete;

     (3)     The  base  case  pro  forma  schedule  (the  "PRO  FORMA SCHEDULE")
attached as Schedule A to such Officers Certificate  is  true and correct in all
            -----------
material respects;

     (4)     Borrower  has  entered  into  Distribution  Agreements set forth on
Schedule B
----------
to  such Officers Certificate and such Distribution Agreements are sufficient to
meet  the  gross  revenue  projected  in  the  Pro  Forma  Schedule;

     (5)     All  manufacturing  agreements  and  private  label  contracts  for
products  to  be  sold, as included in the Pro Forma Schedule, are in full force
and effect, without any default by Borrower or, to the knowledge of Borrower, by
any  third  party  to  such  contracts.

<PAGE>

     (6)     The  amount  of outstanding  liabilities  set  forth  opposite  the
creditors names on Exhibit 1.1(b) that is not payable from the allocable portion
                  ---------------
 of the proceeds of the Loan in accordance with Section 2.12 has been paid in
                                                ------------
full  and  that  Borrower  did not incur any additional Indebtedness (other than
bridge  financing  to  be  paid  off  by the proceeds of this Loan) to raise the
capital  necessary  to  pay  such  amounts,  nor did Borrower grant any security
interests  or  other  rights  in any of the assets of Borrower as a condition of
raising  such  additional  funds.

     (b)     Legal  Opinion.  A legal opinion of Borrower's counsel, in form and
             --------------
content satisfactory to Lender and its counsel, which opinion shall include, but
shall  not  be  limited  to, the existence of Borrower, the authorization of the
borrowing, the due execution, enforceability, and delivery of the Loan Documents
and  the perfection and priority of Lender's security interest in the Collateral
as  described  in  the  Security  Agreement.

     (c)     Evidence  of  Gross  Sales.  Evidence, satisfactory to Lender, of a
             --------------------------
minimum  of  $600,000 in gross sales of goods for the months of July and August,
2002,  on  price and other terms consistent with past practices (which practices
have  been  previously  disclosed  to  Lender.)

     (d)     Schedule  of  Outstanding  Debts.  A schedule of outstanding debts,
             --------------------------------
settlements,  payables  and  other  obligations  that  are outstanding as of the
Closing Date, which schedule is acceptable, in substance, to Lender, in its sole
discretion.

     2.6.     INTEREST  AND  INTEREST  RATE.
              -----------------------------

     (a)     The outstanding principal balance of the Loan will bear interest as
provided in the Note and payments of principal and interest on the Loan shall be
made  in  accordance with the Note and the amortization schedule attached hereto
as  Exhibit  2.6(a).
    ---------------

     (b)     All interest on the outstanding principal balance of the Loan shall
be  calculated  on  the  basis  of a 360-day year by multiplying the outstanding
principal  amount  by  the  applicable  per  annum rate, multiplying the product
thereof  by  the  actual  number  of  days  elapsed, and dividing the product so
obtained  by  360.

     (c)     Borrower  acknowledges  that  the Loan may be funded in one or more
traunches  after  the  Closing  Date  but that interest shall accrue on the full
amount  of  the  Loan  as  of  September  18,  2002.

     2.7.     REPAYMENT  OF LOAN.  Each payment of the Loan Obligations shall be
              ------------------
paid  directly  to Lender in lawful money of the United States of America at the
following  address:

Ziegler  Healthcare  Fund  I,  L.P.
Executive  Center  No.  2
Third  Floor
1040  Broad  Street
Shrewsbury,  New  Jersey  07702
Attn:  Mr.  Eric  Smith

<PAGE>

or such other place as Lender shall designate in writing to Borrower.  Each such
payment  shall  be paid in immediately available funds by 2:00 p.m. eastern time
on  the date such payment is due, except if such date is not a Business Day such
payment  shall  then  be  due  on  the  first  Business Day after such date, but
interest  shall  continue  to  accrue  until  the date payment is received.  Any
payment  received  after  2:00  p.m.  Eastern  time shall be deemed to have been
received  on the immediately following Business Day for all purposes, including,
without  limitation,  the  accrual  of  interest  on  principal.

     2.8.     PREPAYMENT.
              ----------

     (a)     The  Loan  may  be  prepaid,  in whole or in part, provided partial
prepayments  may  only  be made on a scheduled payment date and in increments of
$250,000,  upon  not  less than thirty (30) days' prior written notice to Lender
specifying  the scheduled payment date on which such prepayment will be made and
the  amount  of  such prepayment, and provided further that all prepayments must
include  all  unpaid  interest  (including Additional Interest as defined in the
Note)  on  the  part of the Original Loan Amount prepaid plus a premium upon the
Original  Loan Amount prepaid equal to five percent (5%) in the first Loan Year,
four  percent (4%) in the second Loan Year, three percent (3%) in the third Loan
Year, two percent (2%) in the fourth Loan Year and one percent (1%) in the fifth
Loan  Year.

     (b)     Borrower  shall not be entitled to reborrow any amounts so prepaid.

     2.9.     LATE  CHARGES  ON  OVERDUE  INSTALLMENTS;  COLLECTION  COSTS.
              ------------------------------------------------------------

     (a)     If  any  scheduled  payment  of principal or interest, or any other
agreed  charge,  is  not  made  on or before the tenth (10th) day after the same
became due, Borrower agrees to pay to Lender a late charge equal to five percent
(5%)  of  the  amount  of  the  payment  or  charge  which  is  in  Default.

     (b)     Borrower  will  also  pay to Lender, in addition to the amount due,
all reasonable costs of collecting, securing, or attempting to collect or secure
the  Note,  including, without limitation, court costs and reasonable attorneys'
fees,  including, without limitation, reasonable attorneys' fees for preparation
of  litigation  and  in  any  appellate  and  bankruptcy  proceedings.

     2.10.     USURY  PROVISIONS.  In  no event shall the amount of interest due
               -----------------
or payable hereunder or pursuant to any of the Loan Documents exceed the maximum
rate of interest allowed by applicable law, and in the event any such payment is
inadvertently  paid  by  Borrower or inadvertently received by Lender, then such
excess  sum  shall  be  credited  as  a payment of principal.  It is the express
intent  hereof  that  Borrower  not  pay  and  Lender  not  receive, directly or
indirectly,  interest  in  excess  of that which may be legally paid by Borrower
under  applicable  law.

     2.11.     FEES.  Borrower  shall  pay  to  Lender the following fees: (a) a
               ----
closing  fee of four percent (4%) of the Loan due upon the Closing Date; and (b)
an  application  fee  of  one  percent  (1%) of the Loan (which has already been
received.)  All  fees  are  deemed  fully  earned  on  the  date  due.

<PAGE>

     2.12.     USE  OF  LOAN. Borrower agrees to use the Loan for the following:
               -------------

     (a)     $416,666  of  the Loan shall be deposited in an account of Borrower
with  a  financial  institution acceptable to Lender, the withdrawals from which
may  be  made  only with the joint signature (or other approval made directly to
the  financial  institution)  of a representative of each of Borrower and Lender
all  as  more  particularly  set  forth  in the Assignment and Pledge of Deposit
Account  (the  "ASSIGNMENT  AND  PLEDGE  OF DEPOSIT ACCOUNT") a form of which is
attached  hereto  as  Exhibit  2.12(a)  (and  which shall be subject to Lender's
                      ----------------
security interest as set forth in the Security Agreement.)  This amount shall be
used by Borrower solely for obtaining new distribution agreements for Borrower's
products  on  terms  that  are  commercially  reasonable  and  consistent  with
Borrower's  past  practices,  or  as  otherwise  approved  by Lender in its sole
discretion.

     (b)     $953,545.07  shall  be  used  for  repayment of the liabilities set
forth  in  Exhibit  1.1(b),  and any other to which Lender and Borrower mutually
           ---------------
agree,  which  repayments shall include appropriate releases or other standstill
agreement  of  the  creditors  (where repayment is for less than the full amount
then  owing  all  as  set forth in an individual Forbearance Agreement with each
such  creditor.)

     (c)     The  balance  of  the  Loan  shall  be used for working capital  in
accordance with the schedule  of  payments attached hereto as Exhibit 2.12(c) or
                                                            ---------------
as otherwise consented  to  by  Lender,  in  Lender's  sole  discretion.

     2.13.     MISCELLANEOUS.
               -------------

     (a)     With respect to the amounts due under the Note, Borrower waives the
following  to  the  fullest  extent  permitted  by  law:

     (1)     All  rights  of  exemption  of  property  from  levy  or sale under
execution or other process for the collection of debts under the Constitution or
laws  of  the  United  States  or  any  state  thereof;  and

     (2)     Demand,  presentment,  protest,  notice  of  dishonor,  notice  of
non-payment,  diligence  in  collection, and all other requirements necessary to
enforce  the  Note;  and

     (3)     Any further receipt by Lender or acknowledgment  by  Lender of any
Collateral  now  or  hereafter  deposited  with Lender as security for the Loan.

     2.14.     SBA  ACKNOWLEDGMENT.  Borrower  acknowledges  that  Lender  is  a
               -------------------
Federal  Licensee  under  the Small Business Investment Act of 1958, as amended.

                                   ARTICLE III
                   BORROWER'S REPRESENTATIONS AND WARRANTIES.

     To  induce  Lender  to  enter  into this Agreement, and to make the Loan to
Borrower,  Borrower  represents  and  warrants  to  Lender  as  follows:

<PAGE>

     3.1.     EXISTENCE,  POWER  AND  QUALIFICATION.  Borrower  is a corporation
              -------------------------------------
duly  organized,  validly  existing  and  in good standing under the laws of the
state  of formation as set forth in the heading of this Agreement.  Borrower has
the  power  to  own  its properties and to carry on its business as is now being
conducted, and is duly qualified to do business and is in good standing in every
jurisdiction  in  which  the character of the properties owned by it or in which
the  transaction  of  its  business  makes  its  qualification  necessary.

     3.2.     POWER  AND  AUTHORITY.  Borrower  has  full power and authority to
              ---------------------
borrow hereunder and to incur the obligations provided for herein and in each of
the  other  Loan  Documents to which Borrower is a party, all of which have been
authorized  by  all  proper  and  necessary  corporate  action.

     3.3.     DUE  EXECUTION  AND  ENFORCEMENT.  Each  of  the Loan Documents to
              --------------------------------
which  Borrower is a party constitutes a valid and legally binding obligation of
Borrower,  enforceable  against Borrower in accordance with its respective terms
and  does  not  violate, conflict with, or constitute any default under any law,
government regulation, decree, judgment, Borrower's organizational documents (as
applicable)  or  any  other  agreement  or instrument binding upon any Borrower.

     3.4.     CAPITALIZATION.  Borrower's  authorized  capital  stock  is as set
              --------------
forth  in  Exhibit  3.4  hereto, and a copy of Borrower's stockholder list as of
           ------------
September  13, 2002, plus an addendum thereto is attached as Exhibit 3.4 hereto.
                                                             -----------
All  such  issued  and outstanding shares of capital stock of Borrower have been
duly and validly issued and are fully paid and non-assessable and were issued in
full  compliance  with  all  Federal  and  state  securities laws.  There are no
outstanding  (a) options, warrants or other rights to purchase from Borrower any
capital  stock  of Borrower, (b) securities convertible into or exchangeable for
shares  of  such stock, or (c) other commitments of any kind for the issuance of
additional  shares  of capital stock or options, warrants or other securities of
Borrower  except  as  set  forth  on Exhibit 3.4.  No shares of capital stock of
                                     -----------
Borrower  are  held  in  the  treasury  of Borrower.  Except as set forth in the
Warrant  Agreement and as set forth on Exhibit 3.4, Borrower is not, pursuant to
                                       -----------
the terms of any other agreement currently in existence, under any obligation to
register  under  the  Securities  Act  of 1933, as amended, any of its presently
outstanding  securities  or any of its securities which may be hereafter issued.

     3.5.     SUBSIDIARIES.  Other  than the common stock of Spectrum Analytics,
              ------------
Inc.,  a California corporation, which is a wholly-owned subsidiary of Borrower,
Borrower does not presently own or control, directly or indirectly, any interest
in any other corporation, association or other business entity.  Borrower is not
a  participant  in  any  joint  venture,  partnership  or  similar  arrangement.

     3.6.     NON-CONTRAVENTION.  Neither the execution and delivery by Borrower
              -----------------
of  this Agreement or the other Loan Documents, nor the consummation by Borrower
of  the  transactions contemplated hereby and thereby, will (a) conflict with or
violate  the provisions of any law, rule or regulation applicable to Borrower or
any  of  its  properties  or  assets  which conflict or violation , would have a
material  adverse  effect  on the results of operations, condition (financial or
otherwise),  assets,  properties  business or prospects of Borrower (a "MATERIAL
ADVERSE EFFECT"), (b) conflict with or violate the provisions of the Certificate
of  Incorporation or Bylaws of Borrower, (c) require on the part of Borrower any
notice  to or filing with, or any permit, authorization, consent or approval of,
any  Governmental Entity other than the filing of notices pursuant to Regulation
D  under  the  Securities  Act  of  1933,  as  amended,  any  filing required by
applicable  state  securities  law  required in connection with the issuance and
exercise of the Warrant, (d) violate any judgment, decree, order or award of any
Governmental  Entity  by  which  Borrower  or  its  properties are bound, or (e)
conflict  with,  result  in breach of, constitute (with or without due notice or
lapse  of  time  or  both)  a  default  under,  result  in  the  acceleration of
obligations under, create in any party any right to terminate, modify or cancel,
or  require  any  notice, consent or waiver under, any contract or instrument to
which  Borrower  is  a  party  (including,  but not limited to, any Distribution
Agreement)  or  by  which it is bound or to which any of its assets are subject.

<PAGE>

     3.7.     ABSENCE  OF  UNDISCLOSED  LIABILITIES.  Borrower has no  liability
              -------------------------------------
or  obligation,  secured  or  unsecured,  whether accrued, absolute, contingent,
unasserted  or  otherwise,  that  is  material  to  the  condition (financial or
otherwise)  of the assets, properties, business or prospects of Borrower, except
as  and to the extent any such liability or obligation is reflected and reserved
against  in  the  current  balance  sheet  delivered to Lender prior to Closing.

     3.8.     PENDING MATTERS.  No action or investigation is pending or, to the
              ---------------
best of Borrower's knowledge, threatened before or by any state or federal court
or  administrative  agency  which might result in any material adverse change in
the financial condition, operations or prospects of Borrower, including, but not
limited  to,  any enforcement action by the FDA or any other Governmental Entity
having  jurisdiction  over  Borrower or its products other than the dispute with
the  FDA  which  has  been and will be settled in accordance with the Settlement
Agreement  between  the FDA and Borrower, dated April 8, 2002 and which involves
payment  from Borrower to the FDA of an amount not to exceed $250,000.  Borrower
is not in violation of any agreement, the violation of which might reasonably be
expected  to  have  a  material  adverse  effect  on its business or assets, and
Borrower  is  not in violation of any order, judgment, or decree of any state or
federal court, or any statute or governmental regulation to which it is subject.

     3.9.     FINANCIAL  STATEMENTS  ACCURATE.  All  financial  statements
              -------------------------------
heretofore  or  hereafter provided with respect to Borrower are and will be true
and  complete  in  all material respects as of their respective dates and fairly
and  will fairly present the financial condition of such party, and there are no
liabilities, direct or indirect, fixed or contingent, as of the respective dates
of such statements which are not reflected therein or in the notes thereto or in
a  written certificate delivered with such statements.  The financial statements
of  Borrower  have  been  prepared  in  accordance with GAAP.  There has been no
material  adverse change in the financial condition, operations, or prospects of
Borrower since the dates of such statements except as fully disclosed in writing
with  the  delivery  of  such  statements.

     3.10.     510(K)  APPROVAL.  Borrower has  received all necessary approvals
               ----------------
for  the  sale or other distribution of its products, including, but not limited
to,  approvals  under  Section 510(k) of the federal Food and Drug Cosmetic Act.

     3.11.     CERTAIN  BUSINESS  PRACTICES.  Neither  Borrower  nor  any
               ----------------------------
directors,  officers, agents or employees of Borrower has (i) used any funds for
unlawful  contributions, gifts, entertainment or other unlawful expenses related
to  political  activity;  (ii)  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 (iii) made any other payment prohibited by applicable law.

<PAGE>

     3.12.     PAYMENT OF TAXES.  Other than  Borrower's  federal  and state tax
               ----------------
returns for 2001 for which extensions were timely filed and are still in effect,
Borrower  has filed all federal, state, and local tax returns which are required
to  be  filed  and have paid, or made adequate provision for the payment of, all
taxes  which  have  or may become due pursuant to such returns or to assessments
received.  Borrower  does  not currently anticipate owing any taxes or incurring
any  penalties  in  connection  with its federal and state tax returns for 2001.

     3.13.     TITLE  TO  COLLATERAL/ASSETS.  Borrower  has  good and marketable
               ----------------------------
title to the Collateral.  Borrower owns or leases all tangible assets sufficient
for the conduct of its business as presently conducted and as presently proposed
to  be  conducted.  Each  such tangible asset is free from material defects, has
been  maintained  in  accordance  with  normal  industry  practice,  is  in good
operating condition and repair (subject to normal wear and tear) and is suitable
for  the  purposes  for  which it presently is used.  Each item of equipment and
other  asset  that  Borrower  has possession of pursuant to a lease agreement or
other  contractual  arrangement  and relating to, or used in, its business is in
such condition that, upon its return to its lessor or owner under the applicable
lease  or  contract,  the obligations of Borrower to such lessor owner will have
been  discharged  in  full.

     3.14.     INSURANCE.  Exhibit  3.14 sets forth a true, correct and complete
               ---------   -------------
list  of  all  fire,  theft,  casualty, general liability, workers compensation,
business  interruption,  environmental impairment, product liability, automobile
and  other  insurance  policies maintained by Borrower and of all life insurance
policies  maintained  on  the  lives of any of its employees (including, but not
limited to the Key Man Insurance Policies), specifying the type of coverage, the
amount  of  coverage,  the  premium, the insurer and the expiration date of each
such  policy  (collectively, the "INSURANCE POLICIES") and all claims made under
such  Insurance  Policies  since  December  31,  2001.  Borrower  has previously
delivered to Lender true, correct and complete copies of all Insurance Policies.
The  Insurance  Policies  are  in  full force and effect and are in amounts of a
nature  that  are  adequate and customary for Borrower's business.  All premiums
due  on  the Insurance Policies or renewals thereof have been paid, and there is
no  default by Borrower under the Insurance Policies.  Borrower has not received
any  notice  or  other  communication  from any issuer of the Insurance Policies
since  December  31,  2001 canceling or materially amending any of the Insurance
Policies,  materially increasing any deductibles or retained amounts thereunder,
or  materially  increasing the annual or other premiums payable thereunder, and,
to  the  knowledge  of  Borrower, no such cancellation, amendment or increase of
deductibles,  retainages or premiums is threatened.  Borrower has no outstanding
claims  or  disputes with any insurance carrier regarding claims, settlements or
premiums,  and  Borrower  has not failed to give any notice or present any claim
under  any Insurance Policy in due and timely fashion.  There are no outstanding
requirements  or  recommendations  by any issuer of the Insurance Policies or by
any  Board  of  Fire  Underwriters  or  other  similar  body  exercising similar
functions  or  by  any  Governmental  Entity  exercising  similar functions that
require  or  recommend  any  changes  in  the conduct of the business of, or any
repairs  or other work to be done on or with respect to any of the properties or
assets  of,  Borrower.

<PAGE>

     3.15.     PRIORITY OF SECURITY INTEREST; LIENS; OTHER OBLIGATIONS.   Except
               -------------------------------------------------------
as  set forth on Exhibit 3.15, no Collateral is subject to any Lien except those
                 ------------
Liens  expressly permitted by this Agreement.  Borrower is not liable, primarily
or  secondarily,  upon any Indebtedness other than as described in its financial
statements  or  has  any  fixed  or  contingent  obligation  to make any loan or
contribution  of  capital  to  any  other  entity  that has not been fully paid.
Except  as  set  forth on Exhibit 3.15 hereto, Borrower does not owe any debt to
                          ------------
its  stockholders,  partners  or  affiliates.

     3.16.     LOCATION  OF CHIEF EXECUTIVE OFFICES.  The location of Borrower's
               ------------------------------------
principal  place  of  business  and  chief  executive office are as set forth on
Exhibit  3.16  hereto.
-------------

     3.17.     DISCLOSURE.  All  information  furnished  or  to be furnished  by
               ----------
Borrower to Lender in connection with the Loan or any of the Loan Documents, is,
or  will  be  at  the  time  the  same is furnished, accurate and correct in all
material  respects  and  complete  insofar  as  completeness may be necessary to
provide  Lender with true and accurate knowledge of the subject matter. Borrower
has,  since  the  effective date of the Form 10 filed by Borrower on October 23,
2001  and  other than the Borrower's Form 10-K for the period ended December 31,
2001 which was filed late, filed with the SEC all registration statements, proxy
statements,  reports and other documents required to be filed under the rules of
the  SEC  and  the  regulations promulgated thereunder and all such filings were
timely made and were complete and correct in all material respects when made. No
stockholder  has any right of recission arising under the sale of any securities
of  Borrower.

     3.18.     TRADE  NAMES.  Borrower has not changed its name or been known by
               ------------
any  other  name  within  the  last  five  (5)  years.

     3.19.     ERISA.  Borrower  is in compliance with all applicable provisions
               -----
of  the  Employee  Retirement Income Security Act of 1974, as amended ("ERISA").

     3.20.     COMPLIANCE  WITH  OTHER  APPLICABLE  LAWS.  Borrower  is  not  in
               -----------------------------------------
violation  of  any  federal  law, rule, license, decree, regulation or ordinance
(including  laws,  rules,  licenses,  decrees,  regulations or ordinances of any
applicable  court,  arbitrator,  administrative  agency  or  commission or other
governmental  or regulatory authority, body, instrumentality or agency, domestic
or  foreign  (each,  a  "GOVERNMENTAL  ENTITY")) relating to its business or the
properties  relating  to  its  business  which  violation  would have a Material
Adverse Effect on Borrower.  Borrower is not in violation of any state, local or
foreign  law,  rule,  license,  decree, regulation or ordinance (including laws,
rules,  licenses,  decrees, regulations or ordinances of applicable Governmental
Entities)  relating  to  its business or the properties relating to its business
which  violation could have a Material Adverse Effect on Borrower.  The business
of  Borrower  as conducted since its inception has not violated, and on the date
hereof  does  not violate, in any material respect, any federal, state, local or
foreign  laws, regulations or orders (including any of the foregoing relating to
insurance,  employment  discrimination,  occupational  safety,  environmental
protection, hazardous waste, conservation, or corrupt practices, the enforcement
of which would have a Material Adverse Effect on Borrower.  Borrower has not had
notice  or  communication  from  any  federal,  state  or  local governmental or
regulatory  authority  or otherwise since its inception of any such violation or
noncompliance.

<PAGE>

     3.21.     ENVIRONMENTAL MATTERS.  To the best of Borrower's knowledge, none
               ---------------------
of Borrower's assets are in violation of or subject to any existing, pending, or
threatened  investigation  or  inquiry  by  any  governmental  authority  or any
response  costs  or remedial obligations under any Applicable Environmental Law,
and  this  representation  and  warranty  would  continue to be true and correct
following  disclosure  to  the  applicable Governmental Entities of all relevant
facts,  conditions  and  circumstances,  if  any,  pertaining  to  the assets of
Borrower.  Borrower  hereby  agrees  to  remedy  promptly  any  violation of any
Applicable  Environmental Law with respect to the assets of Borrower, and to pay
any  fines,  charges, fees, expenses, damages, losses, liabilities, and response
costs  arising  from  or  pertaining  to  the application of any such Applicable
Environmental  Law  to the assets of Borrower.  Borrower agrees to permit Lender
to have access to the Collateral at all reasonable times in order to conduct any
investigation and testing which Lender deems necessary to assure Lender that the
Collateral is in compliance with all Applicable Environmental Laws, and Borrower
agrees to promptly reimburse Lender for all costs incurred in such investigation
and  testing.

     3.22.     SOLVENCY.  Borrower  represents  and  warrants that it is solvent
               --------
within  the meaning of 11 U.S.C. Sec. 548 and GAAP, and neither the borrowing of
the Loan nor the payments to creditors contemplated herein, will render Borrower
insolvent  within  the  meaning  of  11  U.S.C.  Sec.  548  and  GAAP.

     3.23.     FORBEARANCE  AGREEMENTS  AND  DISTRIBUTION  AGREEMENTS.  Borrower
               ------------------------------------------------------
has  provided  Lender with true, correct and complete copies of each Forbearance
Agreement,  and each Distribution Agreement together with any and all amendments
thereto.  Each  Forbearance Agreement and each Distribution Agreement is in full
force  and  effect  and  there are no defaults thereunder by Borrower, or to the
best  knowledge  of  Borrower,  by  any  other  parties  thereto.

     3.24.     TRADEMARKS,  PATENTS AND OTHER RIGHTS.  Set forth in Exhibit 3.24
               -------------------------------------                ------------
is  a  list  and  brief  description  of  all  patents,  patent  rights,  patent
applications,  trademarks,  trademark  applications, service marks, service mark
applications,  trade  names  and copyrights, and all applications for such which
are  in  the  process  of being prepared, are owned by, or are registered in the
name  of  Borrower,  or of which Borrower is a licensor or licensee, or in which
Borrower  has  any  right, and in each case a brief description of the nature of
such right.  Borrower owns or possesses adequate licenses or other rights to use
all  patents,  patent  applications, trademarks, trademark applications, service
marks,  service  mark  applications,  trade  names,  copyrights,  manufacturing
processes,  formulae, trade secrets, and know how (collectively, "TRADE RIGHTS")
necessary  or  desirable  to  the  conduct  of  its business as conducted and as
proposed  to be conducted.  No claim is pending or to the knowledge of Borrower,
threatened  to  the  effect  that  the  operations  of Borrower infringe upon or
conflict  with  the  asserted rights of any other Person under any Trade Rights,
and, to the knowledge of Borrower, there is no basis for any such claim (whether
or  not  pending  or  threatened).  No  claim  is pending or to the knowledge of
Borrower,  threatened to the effect that any such Trade Rights owned or licensed
by  Borrower  or  which  Borrower  otherwise has the right to use, is invalid or
unenforceable  by  Borrower,  and  there  is  no  known basis for any such claim
(whether  or not pending or threatened).  All technical information developed by
and belonging to Borrower has been patented or has been kept confidential or has
otherwise  been  established  as  a  trade  secret.  Borrower has not granted or
assigned to any other Person or entity any right to sell or produce the products
or  proposed  products or provide the services or proposed services of Borrower.
No  officer,  director,  stockholder,  or  employee of Borrower has an ownership
interest in any of the trademarks, patents, or other rights set forth in Exhibit
                                                                         -------
3.24.
-----

     3.25.     PROPRIETARY  INFORMATION  OF  THIRD PARTIES.  To the knowledge of
               -------------------------------------------
Borrower,  no third party has claimed or has any reason to claim that any Person
employed  by  or  affiliated with Borrower has: (i) violated or may be violating
any  of  the  material  terms  or  conditions  of  his  or  her  employment,
non-competition,  or  non-disclosure  agreement  with  such  third  party;  (ii)
disclosed  or may be disclosing or utilized or may be utilizing any trade secret
or  proprietary  information  or  documentation  of  such  third party; or (iii)
interfered  or  may  be  interfering in the employment relationship between such
third  party  and  any  of its current or former employees.  To the knowledge of
Borrower,  no  third party has requested information from Borrower that suggests
that  such  a  claim  might  be  contemplated.  To the knowledge of Borrower, no
Person  employed  by  or  affiliated  with  Borrower has employed or proposes to
employ  any  trade secret or any information or documentation proprietary to any
former  employer,  and  no  Person  employed  by or affiliated with Borrower has
violated  any  confidential relationship which such Person may have had with any
third  party  in  connection  with  the  development  or  sale of any product or
proposed  product  or the development or sale of any service or proposed service
of  Borrower,  and  Borrower  has  no  reason  to believe there will be any such
employment or violation.  None of the execution, delivery or performance of this
Agreement,  or  the  carrying  on  of  the  business  of  Borrower  as officers,
employees,  or  agents  by  any officer, director, or key employee or affiliated
Person  of  Borrower or the conduct of the businesses of Borrower, will conflict
with  or result in a material breach of the terms, conditions, or provisions of,
or  constitute  a  default  under any material contract, covenant, or instrument
under  which  any  such  Person  is  obligated.

     3.26.     CERTAIN FDA MATTERS.  Borrower  certifies  that  its  products,
               -------------------
operations  and  facilities,  which are subject to regulation by the FDA, are in
compliance  with  all  relevant  FDA requirements. Specifically, with respect to
Borrower's  products which require premarket notification (510(k)) clearance for
legal  commercial  distribution in the United States, Borrower certifies that it
holds  its  own 510(k) clearances for all of these products which it repackages,
relabels  or  otherwise  modifies. For those products requiring 510(k) clearance
for  which  Borrower  only  acts  as a distributor (private label or otherwise),
Borrower  certifies  that  the  device  manufacturer  holds the necessary 510(k)
clearances  for the products and that Borrower does not engage in any activities
relative to products, including, but not limited to, repackaging, relabeling, or
other  modification,  that  would  cause  it  to  need  to  hold  its own 510(k)
clearances  for  the  products.  As  used  herein, "repackaging" means packaging
finished  devices  from  bulk  or repackaging an original manufacturer's devices
into  different  containers  (excluding  shipping  containers).  As used herein,
"relabeling"  means  changing  the content of the labeling from that supplied by
the  original  manufacturer  (excluding  merely  adding  Borrower's  name).

                                   ARTICLE IV
                       AFFIRMATIVE COVENANTS OF BORROWER.

     Borrower  agrees  with  and  covenants  unto  Lender  that  until  the Loan
Obligations  have been paid in full, Borrower shall (unless waived in writing by
Lender  in  Lender's  sole  discretion):

<PAGE>

     4.1.     PAYMENT  OF  LOAN/PERFORMANCE  OF  LOAN  OBLIGATIONS.  Duly  and
              ----------------------------------------------------
punctually  pay  or  cause  to be paid the principal and interest of the Note in
accordance with its terms and duly and punctually pay and perform or cause to be
paid  or  performed  all  Loan  Obligations  hereunder  and under the other Loan
Documents.

     4.2.     MAINTENANCE  OF  EXISTENCE. Maintain its existence, and,  in  each
              --------------------------
jurisdiction  in which the character of the property owned by it or in which the
transaction  of  its  business  makes  qualification  necessary,  maintain
qualification  and  good  standing.

     4.3.     ACCRUAL AND PAYMENT OF TAXES.  During each fiscal year, accrue all
              ----------------------------
current tax liabilities of all kinds (including, without limitation, federal and
state income taxes, franchise taxes, payroll taxes), all required withholding of
income  taxes of employees, all required old age and unemployment contributions,
and  all required payments to employee benefit plans, and pay the same when they
become  due.

     4.4.     INSURANCE.  At all times while Borrower is  indebted to Lender, to
              ---------
maintain  or  cause  to  be  maintained  the  following  insurance:

     (a)     Liability  insurance  (including  product  liability)  for  the
Collateral  in  an  amount  equal  to  at  least  $1,000,000  per occurrence and
$2,000,000 aggregate, unless lesser amounts are approved by Lender in writing in
Lender's  discretion.  All  such  liability  insurance  shall  be  written on an
occurrence  or  claims  made  basis  (and  if  a claims made basis, Borrower has
obtained  and  will  obtain effective upon expiration appropriate tail coverage)
and  name Lender as an additional insured; provided, however, Lender may require
                                           --------  -------
increases  in  coverage based upon reasonable and prudent operating practices of
similar  businesses;

     (b)     "All-risk"  broad  form coverage on the Collateral in an amount not
less  than the full replacement cost thereof, with endorsements insuring against
such potential causes of loss as shall be required by Lender, including, but not
limited to, loss or damage from flood, unless evidence satisfactory to Lender is
provided  that  no  Collateral  is located in an area which is designated as not
being  in  a  flood  hazard  area;

     (c)     Business income insurance (including rental value if any Collateral
is leased in whole or part) equal to not less than twelve (12) months' estimated
gross  revenues  less  expenses  not  ordinarily  incurred  during the period of
business  interruption.

     (d)     Workers'  compensation  insurance  as  required  by the laws of the
state  in  which  Borrower  is  located.

     Each  of  the policies described in Section 4.4(b) and Section 4.4(c) shall
                                         --------------     --------------
be  written by an insurer having and maintaining a Best rating of A (or better),
and  shall  provide  that  Lender  shall receive not less than thirty (30) days'
written  notice  prior  to cancellation (or ten (10) days' written notice in the
case  of  nonpayment  of  premium).  The  proceeds  of  either  of  the policies
described in Section 4.4(b) and Section 4.4(c) shall be deposited with Lender or
             --------------     --------------
a  financial  institution  acceptable  to  Lender  as an escrow holder, and such
proceeds  (after  deducting  Lender's  costs  and  expenses  of  obtaining  such
proceeds) shall be applied by Lender, at Lender's sole option, either (i) to the
full or partial payment or prepayment of the Loan Obligations (without premium),
or  (ii)  to  the  repair  and/or  restoration of the Collateral damaged by such
casualty,  or  Lender  may  release  the  net  proceeds  to  Borrower.

<PAGE>

     Notwithstanding the foregoing, Lender agrees that Lender shall make the net
proceeds  of  insurance (after payment of Lender's costs and expenses) available
for  repair,  restoration  and  replacement  of  the  Collateral damaged by such
casualty  on the following terms and subject to such party's satisfaction of the
following  conditions:

     (a)     At  the  time  of  such  loss or damage and at all times thereafter
while  Lender  is  holding  any  portion  of such proceeds, there shall exist no
Default  or  Event  of  Default;

     (b)     The  Collateral  to  which  damage has occurred shall be capable of
being  restored  to  its  pre-existing  condition  and  utility  in all material
respects  with  a  value  equal  to or greater than the value of such Collateral
prior  to  the  loss or damage occasioning such receipt of proceeds and shall be
capable  of  being  completed  prior  to  the  Maturity  Date;

     (c)     Within  thirty  (30)  days  from  the  date  of such loss or damage
Borrower  shall  have  given Lender written notice electing to have the proceeds
applied  for  such  purpose;

     (d)     In  the  event  and to the extent such proceeds are not required or
used  for  the repair and restoration of the Collateral damaged, or in the event
the  applicable  Person  fails  to timely make such election or having made such
election  fails to timely comply with the terms and conditions set forth herein,
Lender  shall  be  entitled  without notice to or consent from Borrower or other
Person to apply such proceeds, or the balance thereof, at Lender's option either
(i)  to the full or partial payment or prepayment of the Loan Obligations in the
manner  aforesaid,  or (ii) to the repair, restoration and/or replacement of all
or  any  part  of  such  Collateral  to which damage has occurred, or Lender may
release  the  balance  of  such  proceeds  to  Borrower.

     Borrower  appoints  Lender  as  Borrower's  attorney-in-fact  to  cause the
issuance  of  or  an  endorsement of any policy to bring any policy of insurance
into compliance herewith and, as limited above, at Lender's sole option, to make
any  claim  for,  receive  payment  for,  and execute and endorse any documents,
checks  or other instruments in payment for loss, theft, or damage covered under
any  such  insurance  policy;  however,  in  no  event will Lender be liable for
failure  to  collect  any  amounts  payable  under  any  insurance  policy.

     Notwithstanding  the  foregoing, all of the insurance policies described in
this Section 4.4 shall be on terms and conditions as acceptable to Lender in its
     -----------
sole  discretion.

     4.5.     FINANCIAL  AND  OTHER  INFORMATION.  Provide  Lender  with  the
              ----------------------------------
following  financial  statements  and  information  on  a  continuing  basis:

     (a)     Within one hundred twenty (120) days after the end of each calendar
year,  audited financial statements of Borrower prepared in accordance with GAAP
by  Borrower's  existing auditor at the time of Closing, a nationally recognized
certified  public  accounting  firm  or  other  independent  certified  public
accounting  firm  acceptable  to  Lender,  and  including  a balance sheet and a
statement  of  income  and  expenses  for  the  year  then  ended.

<PAGE>

     (b)     Within  forty-five  (45) days after the end of each calendar month,
unaudited  financial  statements of Borrower certified to be true and correct by
the  Chief  Financial Officer and the Chief Executive Officer of Borrower and in
the  form  attached  hereto  as  Exhibit  4.5(b).
                                 ---------------

     (c)     Within  forty-five  (45)  days  of  the  end  of  each  calendar
quarter,  a certificate in form acceptable to Lender that no Event of Default as
defined  in  the  Loan Documents then exists and no event has occurred (that has
not  been  cured) and Default currently exists that would, but for the giving of
any  applicable  cure  period,  constitute  and  Event  of  Default.

     (d)     Within  thirty  (30) days  of  the  end  of each calendar month, an
accounts  payable  report  and  an aged accounts receivable report in sufficient
detail  to  show  amounts  due by the account age classifications of thirty (30)
days,  sixty  (60) days, ninety (90) days one hundred twenty (120) days and over
one  hundred  twenty  (120)  days.

     (e)     Within  five  (5) days of  receipt, any and all notices (regardless
of  form)  from  any  and  all  third parties that the Trade Rights of Borrower,
including,  but not limited to, the Trade Rights and other rights related to its
over the counter screening device infringes on any patent or other right of such
party.

     (f)     Upon  Lender's request, evidence of payment of any applicable taxes
with  respect  to the Collateral, which taxes Borrower agrees to pay or cause to
be  paid.

     (g)     A  copy  of  any  filing  by Borrower with the SEC, at such time as
such  filing  is  made  with  the  SEC.

     (h)     A  copy of all  press  releases  at  such time as the press release
is issued.

     (i)     A  copy  of  any  new Distribution Agreement or other agreement and
notice  of  any  cancellation  of  any existing agreement, each within three (3)
Business  Days  after  its  effective  date.

     (j)     Within  thirty  (30)  days  after  the end of each month, a list of
Borrower's  inventory  as  of  the  end  of  such  previous  month;

     (k)     Within  five  (5)  Business  Days of  Borrower's knowledge thereof,
notice  of  any  pending  or  threatened  lawsuits,  judgements  or other claims
against,  involving  or  otherwise  relating  to  Borrower.

     Lender  reserves  the  right  to  require  such other financial information
(including  tax returns, detailed cash flow information and contingent liability
information)  of Borrower, all at such times as Lender shall deem necessary, and
Borrower  agrees  promptly to provide such information to Lender.  All financial
statements  must  be  in the form and detail as Lender shall, from time to time,
request.

     Lender may place the Loan in a pooling of Loans for syndication and sale of
interests  therein  to  investors.  In such event, Borrower consents to Lender's
disclosure  and  distribution of financial and other information of Borrower and
others  that  has been provided by Borrower to Lender pursuant to this Agreement
to  prospective  participants, purchasers, investors, rating agencies and others
involved  in  any participation, sale, pooling or syndication.  Borrower further
agrees to use its reasonable efforts in cooperating with Lender in obtaining and
preparing  such  information that may be reasonably requested by Lender in order
to provide accurate disclosure of the nature, status, and prospects of the Loan.
Lender  may  also  disclose  financial  information  to  the United States Small
Business  Administration.

<PAGE>

     4.6.     COMPLIANCE CERTIFICATE.  Within forty-five (45) days of the end of
              ----------------------
each  calendar  quarter  furnish  to Lender a compliance certificate in the form
attached  hereto  as Exhibit 4.6 with all information completed and certified by
                     -----------
the  Chief Financial Officer and the Chief Executive Officer of Borrower as true
and  correct.

     4.7.     BOOKS  AND RECORDS. Permit Persons designated by Lender to inspect
              ------------------
the  Collateral  and  books  and  records  of  Borrower and such Persons and the
Collateral  and  to  discuss  the  affairs  of  Borrower and the Collateral with
officers  of Borrower as designated by Lender, all at such times as Lender shall
request.  Without  limitation  upon  the foregoing, Borrower specifically agrees
that  the  United  States Small Business Administration shall also have the same
rights  or inspection as  set  forth in this Section 4.7, and Borrower agrees to
                                             -----------
cooperate with  any  such  inspections.

     4.8.     PAYMENT  OF  INDEBTEDNESS.  Duly and punctually pay or cause to be
              -------------------------
paid  all  other  Indebtedness  now  owing  or hereafter incurred by Borrower in
accordance  with  the terms of such Indebtedness, except such Indebtedness owing
to  those  other  than  Lender  which  is being contested in good faith and with
respect  to which any execution against the Collateral and any other property of
Borrower has been effectively stayed and for which reserves adequate for payment
have  been  established.

     4.9.     RECORDS  OF  ACCOUNTS.  Maintain  all  records, including  records
              ---------------------
pertaining  to the accounts receivable of the Collateral, at the chief executive
office  of  Borrower  as  set  forth  in  this  Agreement.

     4.10.     NOTICE OF LOSS.  Immediately notify Lender of any event causing a
               --------------
loss or depreciation in value of Borrower's assets in excess of $100,000 and the
amount  of  such  loss or depreciation, except Borrower shall not be required to
notify  Lender of depreciation in equipment resulting from ordinary use thereof.

      4.11.     CONDUCT  OF BUSINESS.  Cause  the  operation  of the business of
                --------------------
Borrower  to  be conducted at all times in a manner consistent with the level of
operation  of  such  business  as  of  the  date  hereof.  Without  limiting the
foregoing,  Borrower  shall:

     (a)     operate  the business of Borrower or cause the business of Borrower
to be operated in a prudent manner in compliance, in all material respects, with
applicable  laws and regulations relating thereto and all licenses, Permits, and
any  agreements  necessary  for  the  use  and  operation  of  such  business;

     (b)     maintain sufficient inventory and equipment of types and quantities
to  enable  Borrower  to perform normal operation of the business of Borrower in
compliance,  in  all  material  respects,  applicable  law  of  the Governmental
Entities  having  jurisdiction  over  Borrower;

<PAGE>

     (c)     keep  all inventory and equipment used or useful in connection with
the business of Borrower in good repair, working order and condition, reasonable
wear  and  tear  excepted,  and  from  time  to  time make all needed and proper
repairs, renewals, replacements, additions, and improvements thereto to keep the
same  in  good  operating  condition.

     4.12.     COMPLY  WITH  COVENANTS AND LAWS.  Comply or cause the compliance
               --------------------------------
in  all  material  respects  with  all  applicable covenants and restrictions of
record  and all laws, ordinances, rules and regulations relating to the business
of  Borrower and keep the business of Borrower in compliance with all applicable
laws,  ordinances,  rules  and  regulations.

     4.13.     TAXES  AND  OTHER  CHARGES.  Pay  or  cause to be paid all taxes,
               --------------------------
assessments,  charges,  claims  for labor, supplies, rent, and other obligations
which, if unpaid, might give rise to a Lien against any Collateral, except Liens
to  the  extent  permitted  by  this  Agreement.

     4.14.     FINANCIAL  COVENANTS.  Maintain  compliance  with  each  of  the
               --------------------
following financial  covenants:

     (a)     Minimum  Liquidity.  Borrower  shall  have  a  minimum liquidity of
             ------------------
$50,000 as of Closing, which shall increase by the end of the first Loan Year to
$100,000,  and  which  shall  increase to $150,000 by the end of the second Loan
Year  and  which  shall  thereafter  be  maintained during the term of the Loan.
Liquidity may include cash, cash equivalents or net availability under a working
capital  line  of  credit  (which is not secured by any assets of Borrower other
than cash).  For purposes of this Section 4.14(a), the measurement periods shall
                                  ---------------
be  the quarter ending December 31, 2002, the quarter ending March 31, 2003 (and
trailing six month period),  the quarter ending June 30, 2003 (and trailing nine
month  period),  and  the quarter ending September 30, 2003 (and trailing twelve
month  period);  and  thereafter on a calendar quarter and trailing twelve month
period.

     (b)     Current  Assets  to Current Liabilities Ratio.  Borrower shall have
             ---------------------------------------------
and maintain a current assets to current liabilities ratio of 1.4 to 1.0 for the
first  two  years  following  the  Closing,  and  a  current  assets  to current
liabilities  ratio  of  1.75  to  1.0  for  the  remaining  term  of  the  Loan.

     (c)     Ratio of Earnings.  Borrower shall have and maintain a ratio of
             -----------------
earnings  before interest, taxes, depreciation and amortization (adjusted to add
back  non-cash expenses such as the grant of stock and stock options or warrants
for  services)  to interest of not less than 1.75 to 1.0 during the first twelve
months  following  the Closing and shall thereafter have and maintain a ratio of
earnings  before  interest,  taxes, depreciation and amortization to interest of
not  less  than  1.4  to  1.0  during  the  remaining  term  of  the  Loan.

     (d)     Additional  Indebtedness.  Borrower  shall  not incur or permit  to
             ------------------------
exist  any  Indebtedness  in  excess  of $25,000 per transaction, $75,000 in the
aggregate, or an excess of $2,000 monthly expense relating to such Indebtedness,
until  the  end  of  the  first  year  after  Closing, without the prior written
approval  of  the  Lender,  in its sole discretion. If Borrower is in compliance
with all aspects of the Loan, then these levels will be increased to $50,000 per
transaction,  $150,000  in the aggregate, or an excess of $5,000 monthly expense
relating  to  such  Indebtedness.  Indebtedness  for  purposes  of  this
Section 4.14(d) shall include unsecured debt and secured debt (that  is  secured
---------------
only on a leased basis, such  as  equipment), but  shall  not  include  ordinary
course trade payables.

<PAGE>

     (e)     Tangible Assets to Liabilities.  Commencing on the second
             ------------------------------
anniversary of the Closing, Borrower shall have and maintain a ratio of tangible
assets to liabilities of 1.0 to 1.0, and, commencing on the third anniversary of
the  Closing,  shall  thereafter have and maintain a ratio of tangible assets to
liabilities  of  1.25  to  1.0  for  the  remaining  term  of  the  Loan.

     In the event any such covenant is violated, Borrower may provide additional
Collateral  satisfactory  to  Lender as a cure of such Event of Default on terms
acceptable  to  Lender  in  its  discretion.

     4.15.     USE OF CASH FLOW.  Borrower shall use all cash flow after payment
               ----------------
of  normal operating expenses and then after payment of any Loan amount then due
(including  any  amount  in default), and income taxes then due in the following
order:  (i)  to  maintain  all  covenant  levels;  (ii) next to pay down current
liabilities  until all payables are paid within thirty (30) days of invoice; and
(iii)  for  new  business  activities,  unless otherwise consented to by Lender.

     4.16.     FORBEARANCE  AGREEMENTS.  Borrower  shall  obtain  and  maintain
               -----------------------
without default  from  all  the  creditors  set  forth  on  Exhibit 1.1(b)  a
                                                            --------------
Forbearance  Agreement  to provide reasonable assurance to Lender, as of Closing
and  thereafter during the term of the Loan, as to the inability for Borrower to
be  the subject of an involuntary petition under the federal Bankruptcy Code, or
a  petition  for  appointment  of  a  receiver  under  any state law relating to
insolvency  protection.

     4.17.     REQUIRED  PAYMENT.  At  any  time  upon  (i)  a sale (in a single
               -----------------
transaction  or  a  series  of  transactions),  not  in  the  ordinary course of
business,  of  twenty-five  percent  (25%) or more of the assets of Borrower, or
(ii)  a  Change  in  Control  of  Borrower,  the  Loan  and all outstanding Loan
Obligations  shall  be prepaid in full with accrued interest and the appropriate
prepayment  premium  as  described  in  Section  2.8(a).
                                        ---------------

     4.18.     OTHER  DEBT AGREEMENTS.  Maintain  compliance  with  the  terms,
               ----------------------
covenants  and  conditions  of  the  loan agreements, notes, mortgages, deeds of
trust,  security  agreements, assignments and/or other documents and instruments
evidencing or securing Indebtedness upon which such Person is obligated or which
encumbers  any property of such Person, including, without limitation, all other
Ziegler  Debt.

     4.19.     KEY  MAN  INSURANCE  POLICIES.  Within  sixty (60) days after the
               -----------------------------
Closing  Date, obtain and provide evidence to Lender of, key man life insurance,
in  the  amount  of $1,650,000 million on the life of Mr. McGuire and $1 million
each  on  the  life  of  Dr.  Rojas  and  Mr.  Gadawski  (the "KEY MAN INSURANCE
POLICIES.")

     4.20.     PATENT  ATTORNEY AND PATENT APPLICATION.  Within ninety (90) days
               ---------------------------------------
after  the  Closing  Date,  engage  and  provide  evidence  to  Lender  of  such
engagement, a patent attorney acceptable to Lender to review Borrower's products
for  patentability  and in the event such patent attorney's review confirms that
the  Borrower's  products  can  be  patented, within ninety (90) days after such
confirmation,  file  a  patent  application  with  the  United States Patent and
Trademark  Office  relating  to  such  product's  patent.

<PAGE>

     4.21.     CERTIFICATE.  Upon  Lender's  written  request during the term of
               -----------
the  Loan,  furnish Lender with a certificate stating that Borrower has complied
with  and  is in compliance with all terms, covenants and conditions of the Loan
Documents to which Borrower is a party and that there exists no Default or Event
of  Default  or, if such is not the case, that one or more specified events have
occurred,  and that the representations and warranties contained herein are true
with  the  same  effect  as  though  made  on  the  date  of  such  certificate.

     4.22.     REMOVAL  OF  LIENS.  Within  ten  (10)  Business  Days  after the
               ------------------
Closing,  Borrower  shall  cause  all  liens and other encumbrances set forth on
Exhibit  3.15  to  be  removed  such  that  Lender  shall have a first priority,
    ---------
perfected  security  interest  in  and  to  the  Collateral.
    ---

     4.23.     COUNTERPART  SIGNATURES  TO  RIGHTS  AGREEMENT.  Within  five (5)
               ----------------------------------------------
Business  Days  after  the Closing, Borrower shall collect and deliver to Lender
each  of the counterpart signature pages to the Rights Agreement for each Holder
listed  on  Exhibit  A  to  such  Rights  Agreement.
            ----------

                                    ARTICLE V
                         NEGATIVE COVENANTS OF BORROWER.

     Until  the  Loan  Obligations  have  been paid in full, Borrower shall not:

     5.1.     ASSIGNMENT OF LICENSES AND PERMITS.  Assign or transfer, or permit
              ----------------------------------
the assignment or transfer of, any interest in any Permits, or assign, transfer,
or  remove or permit any other Person to assign, transfer, or remove any records
pertaining to the Collateral including, without limitation, as more particularly
set  forth  in  the  Security Agreement, without Lender's prior written consent,
which  consent  may  be  granted  or  refused  in  Lender's  sole  discretion.

     5.2.     NO  LIENS;  EXCEPTIONS.  Create, incur, assume  or suffer to exist
              ----------------------
any  Lien upon or with respect to the Collateral, whether now owned or hereafter
acquired,  other  than  the  following  permitted  Liens:

     (a)     Liens  at  any  time  existing  in  favor  of  Lender;

     (b)     Inchoate  Liens  arising  by  operation  of law for the purchase of
labor, services, materials, equipment or supplies, provided payment shall not be
delinquent;

     (c)     Liens  incurred  in  the  ordinary course of business in connection
with  workmen's  compensation,  unemployment  insurance  or  other  forms  of
governmental  insurance  or  benefits,  or  to  secure  performance of statutory
obligations  (provided such Person complies with all obligations with respect to
such  insurance,  benefits  and  statutory  obligations);

     (d)     Liens for current year's taxes, assessments or governmental charges
or  levies  provided  payment  thereof  shall  not  be  delinquent;  and

     (e)     Liens relating  to  Indebtedness  permitted  under  Section 4.14(d)
                                                                 ---------------
 and Section  5.3  of  this  Agreement.
     ------------

<PAGE>

     5.3.     INDEBTEDNESS  AND  OTHER  OBLIGATIONS.  Incur  or become obligated
              --------------------------------------
upon  any  other Indebtedness, secured or unsecured, or become obligated to make
any  capital  contribution or loan to any other entity other than (a) during the
first  Loan  Year,  Indebtedness in an amount less than $25,000 per transaction,
less  than  $75,000  in  the  aggregate, or and excess $2,000 in monthly expense
relating  to  such Indebtedness, (b) during the second Loan Year and thereafter,
and  provided that Borrower is compliance with this Agreement and the other Loan
Documents,  Indebtedness  in  an  amount less than $50,000 per transaction, less
than  $150,000  in  the  aggregate,  or  an  excess of $5,000 in monthly expense
relating  to  such  Indebtedness.  In addition, any Indebtedness permitted under
this  Section  5.3  may  be  secured  or  unsecured  provided  that  any secured
      ------------
Indebtedness  is  on  a leased basis, but does not include ordinary course trade
     ----
payables.

     5.4.     MERGER,  CONSOLIDATION, ETC.  Enter into any merger, consolidation
              ----------------------------
or  similar transaction, or sell, assign, lease or otherwise dispose of (whether
in  one transaction or in a series of transactions), all or substantially all of
its  assets  (whether  now  or  hereafter  acquired),  without the prior written
consent  of  Lender,  which may be granted or refused by Lender in Lender's sole
discretion.  Notwithstanding  the  foregoing,  in  the  event,  as  part of such
transaction,  the  Loan  and  all  Loan  Obligation will be satisfied in full in
accordance  with the terms of this Agreement, no prior written consent of Lender
is  required.

     5.5.     DISPOSITION OF A MATERIAL PORTION OF ITS ASSETS.  Sell, lease,
              -----------------------------------------------
transfer or  otherwise  dispose  of  any  material  portion  of  its  assets.

     5.6.     DIVIDENDS,  DISTRIBUTIONS  AND  REDEMPTIONS.  Except  as
              -------------------------------------------
hereinafter  provided or as otherwise consented to by Lender in writing, declare
or  pay  any  dividends,  or  purchase, redeem, retire, or otherwise acquire for
value, any of its capital stock now or hereafter outstanding, return any capital
to  its  stockholders  as  such,  or  make  any  distribution  of  assets to its
stockholders.

     5.7.     CHANGE  IN  BUSINESS.  Allow any material change in the nature  of
              --------------------
its business  as  it  is  being  conducted  as  of  the  date  hereof.

     5.8.     CHANGES  IN  ACCOUNTING.  Change its methods of accounting, unless
              -----------------------
such  change  is  permitted  by GAAP, and provided such change does not have the
effect  of  curing  or preventing what would otherwise be an Event of Default or
Default  had  such  change  not  taken  place.

     5.9.     ERISA  FUNDING AND TERMINATION.  Permit (a) the funding
              ------------------------------
requirements  of  ERISA  with  respect  to any employee plan to be less than the
minimum required by ERISA at any time, or (b) any employee plan to be subject to
involuntary  termination  proceedings  at  any  time.

     5.10.     TRANSACTIONS  WITH  AFFILIATES.  Enter  into any transaction with
               ------------------------------
any  affiliated  Person other than in the ordinary course of its business and on
fair  and  reasonable  terms no less favorable than those they would obtain in a
comparable  arms-length  transaction  with a Person not an affiliate and, in the
event  any  such  transaction  with  an affiliated Person includes or relates to
Indebtedness  of  Borrower, such Indebtedness shall be subordinated to repayment
of  the  Loan  Obligations.

<PAGE>

     5.11.     TRANSFER  OF  OWNERSHIP.  Permit  the  transfer  of  any  of  the
               -----------------------
ownership interests of Borrower resulting in (a) a change in management or (b) a
Change  in  Control.

     5.12.     CHANGE OF USE.  Alter or change the use of the Collateral or
               -------------
permit  to  exist  any  management agreement or lease for the Collateral, unless
Lender's  written  consent  has  been  first obtained, which consent shall be in
Lender's  sole  discretion.

     5.13.     DOMICILE  AND PLACE OF BUSINESS.  Change its state of domicile
               -------------------------------
without  Lender's  prior written consent or change its chief executive office or
its principal place of business without first giving Lender at least thirty (30)
days'  prior  written  notice  thereof  and  promptly  providing  Lender  such
information  as  Lender  may  request  in  connection  therewith.

                                   ARTICLE VI
                         EVENTS OF DEFAULT AND REMEDIES.

     6.1.     EVENTS  OF  DEFAULT.  The  occurrence  of  any  one or more of the
              -------------------
following  shall  constitute  an  "EVENT  OF  DEFAULT"  hereunder:

     (a)     The  failure  by  Borrower  to  pay  any  installment of principal,
interest, or other charges required under the Note, as and when the same becomes
due;  or

     (b)     The  violation of any covenant set forth in Section 4.14 or Article
                                                         ------------    -------
V;  or

     (c)     The  failure of  Borrower properly and timely to perform or observe
any  covenant  or  condition  set  forth  in  this  Agreement  (other than those
specified  in  (a) and (b) of this Section) or any other Loan Documents which is
not  cured  within any applicable cure period as set forth herein or, if no cure
period  is  specified therefor, is not cured within thirty (30) days of Lender's
notice  to  Borrower  of  such  Default;  or

     (d)     The occurrence of any Event of Default (other than those  specified
in (a), (b) or  (c)  of  this  Section)  under  any  other  Loan  Documents;  or

     (e)     The  filing  by Borrower  of  a voluntary petition in bankruptcy or
the  adjudication  of  Borrower  as  a  bankrupt  or insolvent, or the filing by
Borrower of any petition or answer seeking or acquiescing in any reorganization,
arrangement,  composition,  readjustment,  liquidation,  dissolution  or similar
relief  for  itself under any present or future federal, state or other statute,
law  or  regulation  relating  to  bankruptcy,  insolvency  or  other relief for
debtors,  or  if  Borrower  should  seek  or  consent  to  or  acquiesce  in the
appointment  of  any trustee, receiver or liquidator for itself or of all or any
substantial  part  its property or of any or all of the rents, revenues, issues,
earnings, profits or income thereof, or the making of any general assignment for
the  benefit  of  creditors  or  the  admission  in  writing  by Borrower of its
inability  to  pay  its  debts  generally  as  they  become  due;  or

     (f)     The  entry  by  a  court  of  competent  jurisdiction  of an order,
judgment,  or  decree  approving  a  petition filed against Borrower, which such
petition  seeks  any  reorganization,  arrangement,  composition,  readjustment,
liquidation,  dissolution or similar relief under any present or future federal,
state or other statute, law or regulation relating to bankruptcy, insolvency, or
other  relief for debtors, which order, judgment or decree remains unvacated and
unstayed  for  an aggregate of sixty (60) days (whether or not consecutive) from
the  date  of  entry  thereof,  or  the  appointment of any trustee, receiver or
liquidator  of any of the aforesaid Persons or of all or any substantial part of
its  properties  or  of  any  or  all  of the rents, revenues, issues, earnings,
profits  or income thereof which appointment shall remain unvacated and unstayed
for  an  aggregate  of  sixty  (60)  days  (whether  or  not  consecutive);  or

<PAGE>

     (g)     The sale or other transfer  by  Borrower  of  any  portion  of  the
Collateral,  (other  than  in  the  ordinary  course of business with respect to
Inventory  (as defined in the Security Agreement)) unless the written consent of
Lender  is  first obtained, which consent may be granted or refused by Lender in
its  sole  discretion;  or

     (h)     Any  certificate,  statement,  representation,  warranty  or  audit
heretofore  or hereafter furnished by or on behalf of Borrower pursuant to or in
connection  with  this  Agreement  or  otherwise (including, without limitation,
representations  and warranties contained herein or in any Loan Documents) or as
an  inducement  to  Lender  to extend any credit to or to enter into this or any
other agreement with such Person in connection with this Loan or other loans now
existing or hereafter created, proves to have been false in any material respect
at the time when the facts therein set forth were stated or certified, or proves
to  have  omitted  any substantial contingent or unliquidated liability or claim
against  such  Person  or on the date of execution of this Agreement there shall
have been any materially adverse change in any of the facts previously disclosed
by  any  such  certificate,  statement, representation, warranty or audit, which
change  shall  not  have  been disclosed to Lender in writing at or prior to the
time  of  such  execution;  or

     (i)     The failure of Borrower to timely  cure  or  cause  to be cured any
deficiency  required  to be corrected pursuant to Section 4.8 of this Agreement;
                                                  -----------
or

     (j)     A  final  judgment shall be rendered by a court of  law  or  equity
against  Borrower  and the same shall remain undischarged for a period of thirty
(30)  days,  unless  such  judgment  is  either (i) fully covered by collectible
insurance  and such insurer has within such period acknowledged such coverage in
writing,  or  (ii)  although not fully covered by insurance, enforcement of such
judgment  has  been  effectively  stayed,  such  judgment  is being contested or
appealed  by  appropriate  proceedings  and such Person, as the case may be, has
established reserves adequate for payment in the event such Person is ultimately
unsuccessful  in  such  contest  or  appeal  and evidence thereof is provided to
Lender;  or

     (k)     The occurrence of any materially adverse  change  in  the financial
condition  or  prospects  of  Borrower,  or the existence of any other condition
which,  in  Lender's  reasonable  determination,  constitutes  an  impairment of
Borrower's  ability  to  perform  its  obligations  under its Loan Documents; or

     (l)     Any  default  pursuant to any other  Indebtedness  of  Borrower  or
pursuant  to  any other Ziegler Debt, or pursuant to any document, instrument or
agreement  evidencing  or  securing  any  other  such  Indebtedness, or any part
thereof,  other than Indebtedness being contested in accordance with the
requirements of Section 4.8.
                -----------

<PAGE>

     Notwithstanding  anything  in  this Section 6.1, all requirements of notice
                                         -----------
shall  be  deemed  eliminated  if Lender is prevented from giving such notice by
bankruptcy  or  other  applicable  law.  The cure period, if any, shall then run
from  the  occurrence  of the event or condition of Default rather than from the
date  of  notice.

     6.2.     REMEDIES.  Upon the occurrence of any one or more of the foregoing
              --------
Events  of  Default,  Lender  may,  at  its  option:

     (a)     Declare  the entire unpaid principal of the Loan Obligations to be,
and  the  same  shall  thereupon  become,  immediately  due and payable, without
presentment,  protest  or further demand or notice of any kind, all of which are
hereby  expressly  waived.

     (b)     Proceed  to  protect  and  enforce  its  rights  by  action  at law
(including,  without limitation, bringing suit to reduce any claim to judgment),
suit  in equity and other appropriate proceedings including, without limitation,
for  specific  performance  of  any  covenant  or  condition  contained  in this
Agreement.

     (c)     Exercise  any  and  all rights and remedies afforded by the laws of
the United States, the state or states in which the Collateral is located or any
other  appropriate  jurisdiction as may be available for the collection of debts
and  enforcement  of  covenants  and  conditions such as those contained in this
Agreement  and  the  Loan  Documents.

     (d)     Exercise  the rights and remedies of setoff  and/or  banker's  lien
against  the  interest of Borrower in and to every account and other property of
Borrower  which is in the possession or control of Lender or any person who then
owns  a  participating interest in the Loan, to the extent of the full amount of
the  Loan  Obligations.

     (e)     Exercise  any  other  rights  and  remedies  pursuant  to  this
Agreement,  applicable  law  and  any  other  Loan Documents, including, but not
limited  to, the right to immediately appoint and cause to be elected a majority
of the Board of Directors of Borrower and to continue to appoint and cause to be
elected  a  majority  of the Board of Directors until such time as such Event of
Default  is  cured or all amounts then outstanding under the Loan have been paid
in  full,  all  as  more  particularly  set  forth  in  the  Rights  Agreement.

     (f)     All  rights  and  remedies  of  Lender  under  the  terms  of  this
Agreement,  the  Note,  any  of  the  other  Loan  Documents, and any applicable
statutes  or  rules of law shall be cumulative and may be exercised successively
or  concurrently.

     6.3.     INCREASES  IN  COUPON  RATE  AND  OTHER  PENALTIES  UPON  EVENT OF
              ------------------------------------------------------------------
DEFAULT.

     (a)     Upon  the first Event of Default the Coupon Rate shall be increased
by  two  hundred  fifty (250) basis points, computed from the date of the notice
from Lender of the Event of Default, subject to Borrower's cure of such Event of
Default  within  thirty  (30) days following notice from Lender of such Event of
Default.  If  such  Event  of  Default  is not cured within such thirty (30) day
period,  or  upon  any  subsequent  Event  of  Default, the Coupon Rate shall be
increased by five hundred (500) basis points above the Coupon Rate computed from
the  date  of the notice from Lender of such Event of Default.  In the event (i)
Borrower  cures  such Event of Default to the satisfaction of Lender in its sole
discretion and Borrower delivers written notice to Lender that setting forth the
manner  in  which such Event of Default has been cured, and (ii) during the time
when  such Event of Default is occurring, Lender has not elected to exercise any
of  its  other remedies set forth in Section 6.2(a), Section 6.2(b), Section 6.2
                                     --------------  --------------  -----------
(c),  or Section 6.2(d), interest on the Loan shall return to the Coupon Rate as
 --      --------------
of  next  day after the date of Lender's receipt of the notice from Borrower, as
set  forth  in  subsection  (i)  above.

<PAGE>

     (b)     In  addition  to  and  not  in  substitution  for  the  Coupon Rate
increases  described  in subsection (a) above, if an Event of Default occurs and
the  Loan is declared to be immediately due and payable, there shall be added to
the  principal  balance  of  the Loan then due an amount equal to the prepayment
premium  which would then be applicable to any voluntary prepayment as set forth
in  Section  2.8(a).
    ---------------
                                   ARTICLE VII
                                 MISCELLANEOUS.

     7.1.     WAIVER.  No  remedy conferred upon, or reserved to, Lender in this
              ------
Agreement  or any of the other Loan Documents is intended to be exclusive of any
other  remedy  or  remedies,  and  each and every remedy shall be cumulative and
shall  be  in addition to every other remedy given hereunder or now or hereafter
existing  in  law  or  in equity.  Exercise or omission to exercise any right of
Lender shall not affect any subsequent right of Lender to exercise the same.  No
course  of  dealing between Borrower and Lender or any delay on Lender's part in
exercising  any  rights shall operate as a waiver of any of Lender's rights.  No
waiver  of  any  Default under this Agreement or any of the other Loan Documents
shall extend to or shall affect any subsequent or other then existing Default or
shall  impair  any  rights,  remedies  or  powers  of  Lender.

     7.2.     COSTS  AND  EXPENSES.
              --------------------

     (a)     Borrower will bear all taxes, fees and expenses (including fees and
expenses  of  counsel  for  Lender)  in  connection with the Loan, the Note, the
preparation  of  this  Agreement  and  the  other  Loan Documents (including any
amendments hereafter made), and in connection with any modifications thereto and
the  recording  of  any  of  the  Loan  Documents.

     (b)     Borrower  will  bear the cost and expense of UCC lien and judgement
searches  relating  to  the  Borrower and such other expenses related thereto as
performed by Lender in Lender's sole discretion throughout the term of the Loan;
provided,  however, Lender shall not perform such lien and judgement searches at
--------   -------
Borrower's  expense  more  than  once  during  any  one  Loan  Year.

     (c)     Borrower  will  bear  the  cost  and expense of engaging the patent
attorney described  in  Section  4.20  which  expense shall not  exceed  $5,000.
                        -------------

     (d)     Borrower will bear the cost and expense of any patent applications
filed in  accordance  with  Section  4.20.
                             -------------

     (e)     Borrower shall reimburse  Lender  for all expenses, including,  but
not  limited to travel expenses, incurred in connection with Lender's designees'
attendance  at  the  meetings  of  the  Board  of  Directors of Borrower and the
Committees  of  the Board of Directors of Borrower, all as more particularly set
forth  in  the  Rights  Agreement.

<PAGE>

     (f)     If,  at any time, a Default occurs or Lender becomes a party to any
suit  or  proceeding  in  order  to  protect  its  interests  or priority in any
Collateral for any of the Loan Obligations or its rights under this Agreement or
any  of  the  Loan  Documents,  or  if  Lender  is  made  a party to any suit or
proceeding  by virtue of the Loan, this Agreement or any Collateral for any Loan
Obligations  and  as a result of any of the foregoing, Lender employs counsel to
advise  or  provide  other  representation with respect to this Agreement, or to
collect  the  balance  of the Loan Obligations, or to take any action in or with
respect  to  any suit or proceeding relating to this Agreement, any of the other
Loan  Documents, any Collateral for any of the Loan Obligations, Borrower, or to
protect,  collect,  or liquidate any of the Collateral for the Loan Obligations,
or  attempt to enforce any security interest or lien granted to Lender by any of
the  Loan  Documents,  then in any such events, all of the reasonable attorney's
fees  arising from such services, including fees on appeal and in any bankruptcy
proceedings,  and  any  expenses,  costs  and  charges  relating  thereto  shall
constitute  additional  obligations  of  Borrower to Lender payable on demand of
Lender.

     (g)     Without  limiting  the  foregoing,  Borrower  has  undertaken  the
obligation for payment of, and shall pay, all recording and filing fees, revenue
or  documentary  stamps  or  taxes, intangibles taxes, transfer taxes, recording
taxes  and  other  taxes,  expenses  and charges payable in connection with this
Agreement, any of the Loan Documents, the Loan Obligations, or the filing of any
financing statements or other instruments required to effectuate the purposes of
this  Agreement and the other Loan Documents, and should Borrower fail to do so,
Borrower  agrees  to  reimburse  Lender for the amounts paid by Lender, together
with  penalties  or  interest,  if  any,  incurred  by  Lender  as  a  result of
underpayment  or  nonpayment.

This  Section  7.2  shall  survive  repayment of the remaining Loan Obligations.
      ------------

     7.3.     PERFORMANCE  OF LENDER.  At its option, upon Borrower's failure to
              ----------------------
do  so,  Lender  may  make  any  payment or do any act on Borrower's behalf that
Borrower  or  others  are  required  to  do  to  remain  in compliance with this
Agreement  or  any of the other Loan Documents, and Borrower agrees to reimburse
Lender,  on  demand, for any payment made or expense incurred by Lender pursuant
to  the foregoing authorization, including, without limitation, attorneys' fees,
and  until  so  repaid  any  sums  advanced by Lender shall bear interest at the
default  rates  in  accordance  with Section 6.3(a) from the date advanced until
                                     --------------
repaid.

     7.4.     HEADINGS.  The headings of the Sections of  this Agreement are for
              --------
convenience of reference only, are not to be considered a part hereof, and shall
not  limit  or  otherwise  affect  any  of  the  terms  hereof.

     7.5.     SURVIVAL OF COVENANTS.  All covenants, agreements, representations
              ---------------------
and  warranties  made  herein  and in certificates or reports delivered pursuant
hereto  and  all other information heretofore or hereafter supplied to Lender in
connection  with  the  Loan and Borrower, whether written or unwritten, shall be
deemed  to  have  been  material  and  relied  on by Lender, notwithstanding any
investigation  made  by  or on behalf of Lender, and shall survive the execution
and  delivery  to  Lender  of  the  Note  and  this  Agreement.

<PAGE>

     7.6.     NOTICES,  ETC.  Any notice  or  other  communication  required  or
              --------------
permitted  to  be  given  by  this  Agreement  or the other Loan Documents or by
applicable  law shall be in writing and shall be deemed received (a) on the date
delivered,  if  sent  by  hand  delivery  (to the person or department if one is
specified  below), or (b) one (1) day following the date deposited with FedEx or
other  national  overnight  carrier,  and  in  each  case  addressed as follows:

     If  to  Borrower:
     Worldwide  Medical  Corporation
     13  Spectrum  Point  Drive
     Lake  Forest,  California  92630
     Attention:  ________________

     with  a  copy  to:

     The  Lebrecht  Group,  APLC
     22342  Avenida  Empresa,  Suite  230
     Rancho  Santa  Margarita,  CA  92688
     Attn:  Brian  A.  Lebrecht,  Esq.
     Facsimile  (949)  635-1244

     If  to  Lender:
     Ziegler  Healthcare  Fund  I,  L.P.
     Executive  Center  No.  2,  Third  Floor
     1040  Broad  Street
     Shrewsbury,  New  Jersey  07702
     Attention:  Mr.  Eric  Smith

Either party may change its address to another single address by notice given as
herein  provided,  except any change of address notice must be actually received
in  order  to  be  effective.

     7.7.     BENEFITS.  All of the terms and provisions of this Agreement shall
              --------
bind  and  inure  to  the  benefit  of  the  parties hereto and their respective
successors  and  assigns.  No  Person  other  than  Borrower  or Lender shall be
entitled  to  rely  upon  this  Agreement or be entitled to the benefits of this
Agreement.

     7.8.     PARTICIPATION.  Borrower  acknowledges  that  Lender  may,  at its
              -------------
option,  sell  participation interests in, or assign all of its interest in, the
Loan.  Borrower  agrees with each present and future participant or owner of the
Loan  that  if  an  Event  of  Default  should  occur,  each  present and future
participant  or  owner  shall have all of the rights and remedies of Lender with
respect  to any deposit due from any participant to Borrower. The execution by a
participant  of  a  participation  agreement  with  Lender, and the execution by
Borrower of this Agreement, regardless of the order of execution, shall evidence
an  agreement between Borrower and said participant in accordance with the terms
of  this  Section  7.8.
          ------------

<PAGE>

     7.9.     SUPERSEDES PRIOR AGREEMENTS; COUNTERPARTS.  This Agreement and the
              -----------------------------------------
Loan Documents referred to herein supersede and incorporate all representations,
promises, and statements, oral or written, made by Lender in connection with the
Loan.  This Agreement may not be varied, altered, or amended except by a written
instrument  executed  by  an  authorized officer of each of Lender and Borrower.
This  Agreement  may  be  executed in any number of counterparts, each of which,
when  executed  and delivered, shall be an original, but such counterparts shall
together  constitute  one  and  the  same  instrument.

     7.10.     CONSTRUCTION  OF  PROVISIONS OF THIS AGREEMENT.  Lender  has  not
               ----------------------------------------------
agreed  to  make  any  loan  other  than that specifically described herein. All
requirements  herein  shall  be  deemed  material to Lender. Except as specified
herein,  all  conditions and requirements must be satisfied by Borrower prior to
the  Closing  Date.  Whenever  this  Agreement  refers  to  a  matter  being
"satisfactory"  to  Lender,  subject  to  Lender's  "approval"  or "consent," at
Lender's  "option,"  at  Lender's  "determination,"  "required"  by  Lender,  at
Lender's "request," as Lender shall "deem necessary," or similar terminology, it
is  deemed that each of the aforesaid shall be in the sole discretion of Lender,
and  if  any  term  or  condition  requires  Lender's  approval,  consent,  or
satisfaction  (the "LENDER'S APPROVAL"), Lender's Approval shall not be implied,
but  shall  be  evidenced  only  by  a  written  notice from Lender specifically
addressed  to  the  particular  requirement or condition and expressing Lender's
Approval.

     7.11.     MARKETING.  Lender  agrees  to refrain from using any proprietary
               ---------
information  relating to Borrower in any of Lender's marketing materials without
the  prior  consent of Borrower.  Notwithstanding the foregoing, Borrower grants
to  Lender  the  right to use Borrower's name and to disclose the material terms
and  conditions  of  the  Loan  in  Lender's  marketing  materials.

     7.12.     CONTROLLING  LAW.  THE  VALIDITY, INTERPRETATION, ENFORCEMENT AND
               ----------------
EFFECT OF THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH,
THE  LAWS  OF  THE  STATE OF NEW JERSEY. LENDER'S PRINCIPAL PLACE OF BUSINESS IS
LOCATED  IN  THE  STATE  OF  NEW JERSEY, AND BORROWER AGREES THAT THIS AGREEMENT
SHALL  BE HELD BY LENDER AT SUCH PRINCIPAL PLACE OF BUSINESS, AND THE HOLDING OF
THIS AGREEMENT BY LENDER THEREAT SHALL CONSTITUTE SUFFICIENT MINIMUM CONTACTS OF
BORROWER WITH THE STATE OF NEW JERSEY FOR THE PURPOSE OF CONFERRING JURISDICTION
UPON  THE  FEDERAL  AND  STATE  COURTS PRESIDING IN SUCH STATE AND THE COUNTY OF
LENDER'S  PRINCIPAL  PLACE OF BUSINESS.  BORROWER CONSENTS THAT ANY LEGAL ACTION
OR  PROCEEDING  ARISING HEREUNDER MAY BE BROUGHT IN THE FEDERAL AND STATE COURTS
PRESIDING  IN  SUCH  COUNTY  AND  STATE  AND ASSENTS AND SUBMITS TO THE PERSONAL
JURISDICTION  OF  ANY  SUCH  COURT  IN  ANY  ACTION OR PROCEEDING INVOLVING THIS
AGREEMENT.  NOTHING  HEREIN  SHALL  LIMIT  THE  JURISDICTION OF ANY OTHER COURT.

<PAGE>

7.13.     WAIVER  OF  JURY  TRIAL.  TO  THE  EXTENT PERMITTED BY APPLICABLE LAW,
          -----------------------
BORROWER  HEREBY  WAIVES  ANY  RIGHT  THAT IT MAY HAVE TO A TRIAL BY JURY ON ANY
CLAIM,  COUNTERCLAIM,  SETOFF, DEMAND, ACTION OR CAUSE OF ACTION (A) ARISING OUT
OF  OR  IN ANY WAY RELATED TO THIS AGREEMENT, THE LOAN DOCUMENTS OR THE LOAN, OR
(B)  IN  ANY WAY CONNECTED WITH OR PERTAINING OR RELATED TO OR INCIDENTAL TO ANY
DEALINGS  OF  LENDER  AND/OR  BORROWER  WITH RESPECT TO THE LOAN DOCUMENTS OR IN
CONNECTION  WITH  THIS  AGREEMENT  OR  THE EXERCISE OF EITHER PARTY'S RIGHTS AND
REMEDIES  UNDER  THIS AGREEMENT OR OTHERWISE, OR THE CONDUCT OR THE RELATIONSHIP
OF  THE  PARTIES  HERETO,  IN ALL OF THE FOREGOING CASES WHETHER NOW EXISTING OR
HEREAFTER ARISING AND WHETHER SOUNDING IN CONTRACT, TORT OR OTHERWISE.  BORROWER
AGREES  THAT  LENDER MAY FILE A COPY OF THIS AGREEMENT WITH ANY COURT AS WRITTEN
EVIDENCE  OF  THE  KNOWING,  VOLUNTARY,  AND  BARGAINED  AGREEMENT  OF  BORROWER
IRREVOCABLY  TO  WAIVE ITS RIGHTS TO TRIAL BY JURY AS AN INDUCEMENT OF LENDER TO
MAKE  THE LOAN, AND THAT, TO THE EXTENT PERMITTED BY APPLICABLE LAW, ANY DISPUTE
OR  CONTROVERSY WHATSOEVER BETWEEN BORROWER AND LENDER SHALL INSTEAD BE TRIED IN
A  COURT  OF  COMPETENT  JURISDICTION  BY  A  JUDGE  SITTING  WITHOUT  A  JURY.

                                  *     *     *
<PAGE>

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

                                     BORROWER:
                                     --------
                                     WORLDWIDE  MEDICAL  CORPORATION,
                                     a  Delaware  corporation

                                     By:     /s/ Daniel G. McGuire
                                             _______________________
                                     Name:   Daniel G. McGuire
                                     Title:  President

                                     LENDER:
                                     ------
                                     ZIEGLER  HEALTHCARE  FUND  I,  L.P.,
                                     a  Delaware  limited  partnership

                                     By:     /s/ Douglas A. Korey
                                             _____________________
                                     Name:   Douglas A. Korey
                                     Title:  Member

<PAGE>

                                 EXHIBIT 1.1(A)
                                 --------------

                             DISTRIBUTION AGREEMENTS
                             -----------------------

<PAGE>

                                 EXHIBIT 1.1(B)
                                 --------------
                LIST OF CREDITORS OF BORROWER AS OF CLOSING DATE
                ------------------------------------------------

<PAGE>

                                EXHIBIT 2.2
                                -----------
                              FORM OF WARRANT
                             ----------------
                 [See Attached Form of Warrant Agreement]

<PAGE>

                                EXHIBIT 2.3
                               ------------
                         FORM OF RIGHTS AGREEMENT
                         ------------------------

                  [See Attached Form of Rights Agreement]

<PAGE>

                                EXHIBIT 2.4
                               -------------
                        FORM OF SECURITY AGREEMENT
                       ----------------------------

                  [See Attached Form of Security Agreement]

<PAGE>

                                EXHIBIT 2.6(A)
                               ---------------
                            AMORTIZATION SCHEDULE
                            ---------------------

<PAGE>

                                 EXHIBIT 2.12(A)
                                 ---------------
                FORM OF ASSIGNMENT AND PLEDGE OF DEPOSIT ACCOUNT
                ------------------------------------------------
         [See Attached Form of Assignment and Pledge of Deposit Account]

<PAGE>

                                 EXHIBIT 2.12(C)
                                 ---------------
                              SCHEDULE OF PAYMENTS
                              --------------------

<PAGE>

                                   EXHIBIT 3.4
                                   -----------
                           CAPITALIZATION OF BORROWER
                           --------------------------

<PAGE>

                                  EXHIBIT 3.14
                                  ------------
                               INSURANCE POLICIES
                               ------------------

<PAGE>

                                  EXHIBIT 3.15
                                  ------------
                             LIENS ON COLLATERAL AND
                             -----------------------
                  DEBT TO STOCKHOLDERS, PARTNERS OR AFFILIATES
                  --------------------------------------------

<PAGE>

                                  EXHIBIT 3.16
                                  ------------
             PRINCIPAL PLACE OF BUSINESS AND CHIEF EXECUTIVE OFFICE
             ------------------------------------------------------
                                   OF BORROWER
                                   -----------

<PAGE>

                                  EXHIBIT 3.24
                                  ------------
                                  TRADE RIGHTS
                                  ------------

<PAGE>
                                  EXHIBIT 4.5(B)
                                 ---------------
                         Unaudited Financial Statements
                         ------------------------------

<PAGE>PROMISSORY NOTE
                                 ---------------
$1,650,000.00                                               September  18,  2002

     FOR  VALUE  RECEIVED,  the  undersigned,  WORLDWIDE  MEDICAL CORPORATION, a
Delaware  corporation  (the  "MAKER"),  promises  to pay to the order of ZIEGLER
HEALTHCARE  FUND  I, L.P., a Delaware limited partnership (hereinafter, together
with any subsequent holder of this Note, the "HOLDER") at its main office in the
City of Shrewsbury, New Jersey, or at such other address as the Holder may, from
time to time, designate in writing, the principal sum of One Million Six Hundred
Fifty  Thousand  and  No/100  Dollars ($1,650,000.00) (the "LOAN"), and together
with  interest  thereon,  such  principal and interest to be payable as follows:

     A.     On October 20, 2002, and on the same day of each successive calendar
month  thereafter for a period of twelve (12) successive months, Maker shall pay
to  Holder  an installment of interest in the amount of $19,250.00 each, or such
greater  amount  as  may  be  required  pursuant to the terms of this Note (such
payment  under  this  paragraph A being hereinafter referred to as the "INTEREST
ONLY  PAYMENT").

     B.     On October 20, 2003 and on the same day of each successive  calendar
month  thereafter,  Maker  shall  pay  to Holder an installment of principal and
interest  in  the amount of $45,088.69 each (such payment under this paragraph B
being  hereinafter  referred  to  as  the  "COUPON  INTEREST").

     C.     On September 20, 2007 (the "MATURITY DATE"), if  not sooner prepaid,
Maker  shall  pay  to Holder, without demand, the outstanding principal balance,
together  with  all  accrued  and  unpaid  interest.

     The  monthly  payments  under  paragraph  B  above  are based upon a 4-year
amortization  and an interest rate equal to the Coupon Rate.  The monthly Coupon
Payment  includes  interest  at  the "Coupon Rate" of fourteen percent (14%) per
annum.

     Reference  to  the  Loan  Agreement  between  Maker and Holder of even date
herewith,  as  the  same  may  hereafter  be  amended  (as so amended, the "LOAN
AGREEMENT")  is  hereby  made  for  a  statement of the rights of Holder and the
obligations  of  Maker,  which  Loan  Agreement  is  incorporated herein by this
reference,  but  neither  this reference to the Loan Agreement nor any provision
thereof  shall  affect  or  impair  the absolute and unconditional obligation of
Maker  to  pay  the  principal  and interest of this Note when due.  Capitalized
terms  used  herein  without definition shall have the meanings ascribed to such
terms  in  the  Loan  Agreement.

     Interest  on  the  outstanding principal balance shall be calculated on the
basis  of  a 360-day year by multiplying the outstanding principal amount by the
applicable  per annum rate, multiplying the product thereof by the actual number
of  days  elapsed,  and  dividing  the  product  so  obtained  by  360.

<PAGE>

     The  principal  and interest shall be payable in lawful money of the United
States  which  shall be legal tender for public and private debts at the time of
payment. Maker may prepay the outstanding principal balance of this Note, or any
part  thereof,  only  in  accordance  with  the terms and conditions of the Loan
Agreement.

     This  Note is secured by the Loan Documents, including, but not limited to,
the  Security  Agreement  and  the  Collateral.

     The  principal  sum evidenced by this Note, together with accrued interest,
shall  become  immediately  due and payable at the option of the Holder upon the
occurrence  of any Event of Default under the terms of the Loan Agreement, which
such "Events of Default" are incorporated herein by reference as if set forth in
full  herein.

     If  any  payment  is  not made on or before the tenth (10th) day after such
payment  became  due,  Maker will also pay to Holder a late charge equal to five
percent  (5%)  of the payment which is in default, but not more than the maximum
amount  permitted  by  applicable  law.

     Upon  the  first Event of Default the Coupon Rate shall be increased by two
hundred  fifty  (250)  basis  points,  computed from the date of the notice from
Holder  of  the  Event of Default as described in the Loan Agreement, subject to
Maker's  cure  of such Event of Default within thirty (30) days following notice
from  Holder  of  such  Event  of Default. If such Event of Default is not cured
within such thirty (30) day period, or upon any subsequent Event of Default, the
Coupon  Rate  shall  be  increased  by five hundred (500) basis points above the
Coupon  Rate  computed  from the date of the notice from Holder of such Event of
Default.  In  the  event  (i)  Borrower  cures  such  Event  of  Default  to the
satisfaction  of  Lender  in  its  sole discretion and (ii) Lender elects not to
exercise  any  of its other remedies upon such Event of Default, interest on the
Loan  shall return to the Coupon Rate, all as more particularly described in the
Loan  Agreement.

     With respect to the amounts due pursuant to this Note, the Maker waives the
following:

     (1)  All  rights of exemption of property from levy or sale under execution
or  other  process for the collection of debts under the Constitution or laws of
the  United  States  or  any  state  thereof;

     (2) Demand, presentment, protest, notice of dishonor, notice of nonpayment,
suit  against  any  party,  diligence  in collection of this Note, and all other
requirements  necessary  to  enforce  this  Note  except  for  notices expressly
required  by  the  Loan  Documents;  and

     (3)  Any  further  receipt  by  or  acknowledgment of any collateral now or
hereafter  deposited  as  security  for  the  Loan.

     In  no  event  shall the amount of interest due or payable hereunder exceed
the maximum rate of interest designated by applicable law, and in the event such
payment is inadvertently paid by Maker or inadvertently received by Holder, then
such  excess  sum shall be credited as a payment of principal. It is the express
intent hereof that Maker not pay and Holder not receive, directly or indirectly,
interest  in  excess of that which may be legally paid by Maker under applicable
law.

<PAGE>

     Holder  shall  not  by  any act, delay, omission, or otherwise be deemed to
have  waived  any  of its rights or remedies, and no waiver of any kind shall be
valid  unless in writing and signed by Holder. All rights and remedies of Holder
under  the  terms  of this Note and applicable statutes or rules of law shall be
cumulative, and may be exercised successively or concurrently. Maker agrees that
there  are  no defenses, equities or setoffs with respect to the obligations set
forth  herein,  and  to  the  extent any such defenses, equities, or setoffs may
exist,  the  same  are  hereby  expressly released, forgiven, waived and forever
discharged.  The  obligations  of  Maker  hereunder  shall  be  binding upon and
enforceable  against  Maker  and  its  successors  and  assigns.

     Any provisions of this Note which may be unenforceable or invalid under any
law  shall  be  ineffective to the extent of such unenforceability or invalidity
without  affecting the enforceability or validity of any other provision hereof.

     Holder  may,  at  its  option,  release  any Collateral given to secure the
indebtedness  evidenced  hereby and no such release shall impair the obligations
of  Maker  to  Holder.

     IN  ANY  SUIT UPON THIS NOTE THE VALIDITY, INTERPRETATION, ENFORCEMENT, AND
EFFECT  OF THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE
LAWS  OF  THE  STATE OF NEW JERSEY.  THE HOLDER'S PRINCIPAL PLACE OF BUSINESS IS
LOCATED IN THE STATE OF NEW JERSEY, AND THE MAKER AGREES THAT THIS NOTE SHALL BE
HELD BY HOLDER AT SUCH PRINCIPAL PLACE OF BUSINESS, AND THE HOLDING OF THIS NOTE
BY HOLDER THEREAT SHALL CONSTITUTE SUFFICIENT MINIMUM CONTACTS OF MAKER WITH THE
STATE  OF NEW JERSEY FOR THE PURPOSE OF CONFERRING JURISDICTION UPON THE FEDERAL
AND  STATE  COURTS  PRESIDING IN SUCH STATE AND THE COUNTY OF HOLDER'S PRINCIPAL
PLACE  OF  BUSINESS.  MAKER CONSENTS THAT ANY LEGAL ACTION OR PROCEEDING ARISING
HEREUNDER  MAY  BE  BROUGHT  IN  THE  FEDERAL AND STATE COURTS PRESIDING IN SUCH
COUNTY  AND  STATE  AND  ASSENTS AND SUBMITS TO THE PERSONAL JURISDICTION OF ANY
SUCH  COURT  IN  ANY  ACTION  OR PROCEEDING INVOLVING THIS NOTE.  NOTHING HEREIN
SHALL  LIMIT  THE  JURISDICTION  OF  ANY  OTHER  COURT.

     TO THE EXTENT PERMITTED BY APPLICABLE LAW, MAKER HEREBY WAIVES ANY RIGHT TO
TRIAL  BY  JURY  ON ANY CLAIM, COUNTERCLAIM, SETOFF, DEMAND, ACTION, OR CAUSE OF
ACTION  (A)  ARISING OUT OF OR IN ANY WAY PERTAINING OR RELATING TO THIS NOTE OR
ANY  OF  THE  LOAN  DOCUMENTS, OR (B) IN ANY WAY CONNECTED WITH OR PERTAINING OR
RELATED  TO  OR INCIDENTAL TO ANY DEALINGS OF THE PARTIES HERETO WITH RESPECT TO
THIS  NOTE OR THE LOAN DOCUMENTS, OR IN CONNECTION WITH THE TRANSACTIONS RELATED
THERETO  OR  CONTEMPLATED  THEREBY  OR THE EXERCISE OF EITHER PARTY'S RIGHTS AND
REMEDIES  THEREUNDER,  IN  ALL  OF  THE  FOREGOING CASES WHETHER NOW EXISTING OR
HEREAFTER  ARISING, AND WHETHER SOUNDING IN CONTRACT, TORT, OR OTHERWISE.  MAKER
AGREES  THAT  HOLDER  MAY  FILE  A COPY OF THIS WAIVER WITH ANY COURT AS WRITTEN
EVIDENCE  OF  THE  KNOWING,  VOLUNTARY,  AND  BARGAINED-FOR  AGREEMENT  OF MAKER
IRREVOCABLY  TO  WAIVE  ITS  RIGHT  TO  TRIAL  BY  JURY, AND THAT, TO THE EXTENT
PERMITTED BY APPLICABLE LAW, ANY DISPUTE OR CONTROVERSY WHATSOEVER BETWEEN MAKER
AND  HOLDER  SHALL  INSTEAD  BE  TRIED IN A COURT OF COMPETENT JURISDICTION BY A
JUDGE  SITTING  WITHOUT  A  JURY.

                                  *     *     *

<PAGE>

     IN  WITNESS  WHEREOF,  Maker  has  caused  this  instrument  to be properly
executed  and  delivered  as  of  the  day  and  year  first  above  written.

                                         WORLDWIDE  MEDICAL  CORPORATION,
                                         a  Delaware  corporation

                                         By:     /s/ Daniel G. McGuire
                                                 _______________________
                                         Name:   Daniel G. McGuire
                                         Title:  President

<PAGE>

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00043-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00043-of-00352.parquet"}]]