Document:

EXHIBIT 10.25

                              EMPLOYMENT AGREEMENT

         THIS AGREEMENT (along with all Exhibits attached hereto hereinafter
referred to as the "Agreement") made effective as of November 13, 2000 by and
between SAC Technologies, Inc., a Minnesota corporation with its principal place
of business at 1285 Corporate Center Drive, Suite 175, Eagan, MN 55121 (the
"Company") and Jeffry R. Brown, residing at 5710 Northwood Ridge, Bloomington,
MN 55437 (the "Employee").

                                                         WITNESSETH:
         WHEREAS, the Company desires to secure the employment of the Employee
as President in accordance with the provisions of this Agreement; and

         WHEREAS, the Employee desires and is willing to be employed by the
Company in accordance herewith.

         NOW THEREFORE, in consideration of the premises and mutual covenants
contained herein, and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, and intending to be legally bound
hereby, the parties hereto agree as follows:

         1. Employment Term. This Agreement shall remain in force and effect for
a term commencing on the Effective Date hereof and expiring on the second (2nd)
anniversary hereof (the "Initial Term"), or until the employment relationship is
terminated pursuant to Section 4 hereof. Upon the expiration of the Initial
Term, this Agreement will be renewed automatically for successive one year
periods (each, a "Renewal Term"), unless sooner terminated in accordance with
the provisions of Section 4 or unless Company gives written notice of
non-renewal at least three (3) months prior to the date on which the Employee's
employment would otherwise end.

         2. Duties; Exclusive Services and Best Efforts.

                  (a) Duties. Employee shall hold the position of President. As
President, the Employee will have the responsibility for all marketing, sales
and business development activities for the Company including but not limited to
strategic planning, product roll out, beta test development, revenue forecasting
and maintaining Company directed pricing structures as well as any duties
assigned to the Employee as directed by the Company's CEO or Board of Directors.
Employee working with the CEO will participate in negotiating contracts and
strategic alliances with outside vendors and prospective clients.

                  (b) Exclusive Services and Best Efforts. The Employee agrees
to devote his best efforts, energies and skill to the faithful, competent and
diligent discharge of the duties and responsibilities attributable to his
position, and to this end, will devote his fulltime

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attention to the business and affairs of the Company. The Employee also agrees
that he shall not take personal advantage of any business opportunities that
arise during his employment that may benefit the Company. All material facts
regarding such opportunities must be promptly reported to the Company's Board of
Directors for its consideration. In addition, the Company acknowledges and
agrees that the Employee shall be permitted to engage in and pursue such
contemporaneous activities and interests as the Employee may desire, for
personal profit or otherwise, provided such activities do not interfere with the
Employee's performance of his duties and obligations hereunder.

         3. Compensation. On and after the commencement of Employee's
employment, the Employee shall receive, for all services rendered to the Company
hereunder, the following:

                  (a) Base Salary. The Employee shall be paid a base annual
salary equal to One Hundred Forty Four Thousand Dollars ($144,000) paid at the
rate of $12,000 per month. The Employee's annual base salary shall be payable in
equal installments in accordance with the Company's general salary payment
policies but no less frequently than monthly. Employee's Base Salary may be
increased annually, or at such other intervals, as the Board of Directors or
Compensation Committee thereof shall determine from time to time.

                  (b) Discretionary Bonus. In addition to Base Salary, a
"Discretionary Bonus" may be awarded to Executive on the basis of merit
performance on an annual basis in the sole discretion of the Board of Directors
or Compensation Committee thereof; provided, however, that the failure of the
Company to provide any Discretionary Bonus shall not give rise to any claim
against the Company. The Discretionary Bonus shall not exceed fifty (50%)
percent of the Employee's Base Salary. The amount, if any, and timing of any
Discretionary Bonus, shall be determined by the Company in its sole discretion.

                  (c) Incentive Compensation. The Employee may be eligible for
awards from the Company's incentive compensation plans, including without
limitation, any stock option plans, applicable to high level executives of the
Company, in accordance with the terms thereof and on a basis commensurate with
his position and responsibilities. Any such compensation shall be determined by
the Company in its sole discretion. Nothing herein shall effect any rights or
obligations of the Employee or the Company created pursuant to any stock option
plan or stock option agreement between the parties hereto.

                  (d) Signing Bonus. Employee will receive a signing bonus of
twenty four thousand dollars ($24,000) to be paid in four (4) monthly
installments of six thousand ($6,000) dollars per month.

                  (e) Stock Options. Employee shall be granted (i) subject to
the provisions of the Company's 1999 Stock Option Plan attached hereto as
Exhibit A, a stock option to purchase 300,000 shares of the Company's Common
Stock; and (ii) subject to the terms of a stock option agreement to be entered
into by the Company and Employee in substantially the form attached hereto as
Exhibit B, a stock option to purchase 280,000 shares of the Company's Common
Stock.

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One hundred eighty thousand (180,000) options shall vest on execution of this
Agreement; and unless otherwise adjusted pursuant to Section 4(e), four hundred
thousand (400,000) options shall vest in equal monthly installments over a
twenty four (24) month period.

                  (f) Benefits Plans. The Employee shall be eligible to
participate in any and all employee welfare and health benefit plans (including,
but not limited to, life insurance, health, medical and dental plans) and other
employee benefit plans, including but not limited to qualified pension plans,
which may be established by the Company from time to time for the benefit of
other Company employees of comparable status. In addition, the Company will
provide Employee with an annual allowance of $6,500 to be used according to
Employee's directions for the acquisition of a disability policy for Employee
and a term life insurance policy for the benefit of Employee and his designated
beneficiary. The Employee shall be required to comply with the conditions
attendant to coverage by such preceding plans and policies and shall comply with
and be eligible for benefits only in accordance with the terms and conditions of
such plans as they may be amended from time to time. Nothing in this Section
shall be construed as requiring the Company to establish or continue any
particular benefit plan in discharge of its obligations under this Agreement.

                  (g) Vacation. The Employee shall be eligible for four (4)
weeks of paid vacation each year of his employment hereunder. The Employee shall
be permitted to carry over and accrue unused vacation time for a period of up to
two years. Except as required by applicable law, in no event shall the Employee
be entitled to receive any cash compensation in lieu of unused vacation time.

                  (h) Expenses. Subject to and in accordance with the Company's
policies and procedures, and, upon presentation of itemized accounts, the
Employee shall be reimbursed by the Company for reasonable and necessary
business-related expenses, which expenses are incurred by the Employee on behalf
of the Company.

                  (i) Deductions from Salary and Benefits. The Company will
withhold from any salary or benefits payable to the Employee all federal, state,
local, and other taxes and other amounts as required by law, rule or regulation.

         4. Termination. This Agreement may be terminated by either the Employee
or the Company at any time, subject only to the provisions of this Section 4.

                  (a) Voluntary Termination. If Employee terminates his own
employment, the Company shall be released from any and all further obligations
under this Agreement, except that the Company shall be obligated to pay Employee
his salary and benefits owing to Employee through the effective date of
termination. Employee shall also be entitled to any reimbursement owed in
accordance with Section 3(h). Employee's obligations under Sections 5, 7, 8 and
9 hereof and shall survive the termination of Employee's employment, and
Employee shall remain bound thereby.

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                  (b) Death. This Agreement shall terminate on the date of the
Employee's death, in which event salary, benefits, and reimbursable expenses
owing to the Employee through the date of the Employee's death shall be paid to
his estate.

                  (c) Disability. If, during the term of this Agreement, in the
opinion of the Company, the Employee, because of physical or mental illness or
incapacity or disability, shall become unable to perform, with or without
reasonable accommodation, substantially all of the duties and services required
of him under this Agreement for a period one hundred eighty (180) days during
any twelve-month period, the Company may, upon at least ten (10) days prior
written notice given at any time after the expiration of such one hundred eighty
(180) day period, notify the Employee of its intention to terminate this
Agreement as of the date set forth in the notice. In case of such termination,
the Employee shall be entitled to receive salary, benefits, and reimbursable
expenses owing to the Employee through the date of termination. The Company
shall have no further obligation or liability to the Employee. The Employee's
obligations under Sections 5, 7 8 and 9 hereof shall survive the termination of
Employee's employment, and employee shall remain bound thereby.

                  (d) Termination by Employer for Cause. This Agreement may be
terminated by the Company for "Cause" at any time. Upon such termination for
"Cause", the Company shall be released from any and all further obligations
under this Agreement, except that the Company shall be obligated to pay the
Employee his salary and benefits owing to the Employee through the effective
date of such termination. The Employee shall also be entitled to any
reimbursement owed in accordance with Section 3(h). The Employee's obligations
under Sections 5, 7, 8 and 9 hereof shall survive the termination of Employee's
employment, and employee shall remain bound thereby.

                  CAUSE. "Cause" for Termination shall include, but is not
limited to, the following conduct of the Employee:

                           (i) Breach of any material provision of this
Employment Agreement by the Employee if not cured within two (2) weeks after
receiving written notice thereof;

                           (ii) Misconduct as an Employee of the Company,
including but not limited to, misappropriating funds or property of the Company;
any attempt to obtain any personal profit from any transaction in which the
Employee has an interest that is adverse to the Company or any breach of the
duty of loyalty and fidelity to the Company; or any other act or omission of the
Employee which substantially impairs the Company's ability to conduct its
ordinary business in its usual manner;

                           (iii) Material neglect or refusal to perform the
duties assigned to the Employee pursuant to this Employment Agreement if not
cured within two (2) weeks after receiving notice thereof;

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                           (iv) Conviction of a felony or plea of guilty or NOLO
CONTENDERE to a felony;

                           (v) Acts of dishonesty or moral turpitude by the
Employee that are detrimental to the Company or any other act or omission which
subjects the Company or any of its affiliates to public disrespect, scandal, or
ridicule, or that causes the Company to be in violation of governmental
regulations that subjects the Company either to sanctions by governmental
authority or to civil liability to its employees or third parties;

                           (vi) Disclosure or use of confidential information of
the Company, other than as specifically authorized and required in the
performance of the Employee's duties.

                  (e) Termination by Employer Without Cause. Upon termination
of this Agreement without Cause, (i) the Company shall be released from any and
all further obligations under this Agreement, except that the Employee shall
continue to be paid or provided, as applicable, in the same manner as before
termination, and for a period of time ending nine (9) months from the date of
termination of the Employee without Cause; and (ii) if the termination occurs
during the Initial Term, options to purchase, the lesser of (A) one hundred
fifty thousand and three (150,003) shares of Common Stock; and (B) the number of
shares of Common Stock issuable upon the exercise of the remaining unvested
options shall vest immediately upon termination, if, and only if, the Employee
signs a valid general release of all claims against the Company, its affiliates,
subsidiaries, officers, directors and agents, in a form provided by the Company.
The Company shall have no further obligation or liability to the Employee. The
Employee's obligations under Sections 5, 7, 8 and 9 hereof and shall survive the
termination of the Employee's employment, regardless of the circumstances of any
such termination, and the Employee shall remain bound thereby.

                  (f) Termination by Mutual Agreement. This Agreement may be
terminated at any time by mutual agreement of the Employee and the Company.

                  (g) Termination by Employee for Cause. This Agreement may be
terminated by Employee for Cause if Employee's current salary or benefits are
reduced by more than 30%. In the event the Employee terminates employment for
Cause, Employee shall continue to be paid or provided, as applicable, in the
same manner as before termination, and for a period of time ending nine (9)
months from the date of termination of the Employee without Cause, if, and only
if, the Employee signs a valid general release of all claims against the
Company, its affiliates, subsidiaries, officers, directors and agents, in a form
provided by the Company. The Company shall have no further obligation or
liability to the Employee. The Employee's obligations under Sections 5, 7, 8 and
9 hereof and shall survive the termination of the Employee's employment,
regardless of the circumstances of any such termination, and the Employee shall
remain bound thereby.

         5. Non-Competition and Business Opportunities.

                  (a) Non-Competition. The Employee understands that the Company
is in the business of developing and licensing finger print identification
technologies, and distributing products incorporating such technologies, to
original equipment manufacturers and end users.

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The Employee agrees that during the period of his employment hereunder and for a
period of one (1) year thereafter, the Employee will not directly or indirectly:
(i) market, sell or perform services such as are offered or conducted by the
Company, its affiliates and subsidiaries during the period of his employment, to
any customer or client of the Company or "Prospective Customer" or client of the
Company; or (ii) engage, directly or indirectly, whether as principal or as
agent, officer, director, employee, consultant, shareholder, or otherwise, alone
or in association with any other person, corporation or other entity, in any
"Competing Business". For the purpose of this Section 5(a) "Prospective
Customer" shall mean any person with whom the Company has engaged in any
discussion or negotiation regarding the use of the Company's products or
services. For purposes of this Section 5(a), the term "shareholder" shall
exclude any interest owned by Employer in a public company to the extent the
Employer owns less than ten percent (10%) of any such company's outstanding
common stock. For the further purposes of this Agreement, the term "Competing
Business" shall mean any person, corporation or other entity developing and/or
licensing finger print identification technologies or distributing products
incorporating such technologies, within the United States, to original equipment
manufacturers and end users at the time of such termination or non-renewal. Due
to the nature of the markets served and the technology and products to be
developed and marketed by the Company which are intended to be available on a
national basis, the restrictions set forth in this Section 5(a) can not be
limited to a specific geographic area within the United States.

                  (b) Business Opportunities. The Employee agrees that during
the period of his employment hereunder, the Employee will not take personal
advantage of any business opportunities that are similar or substantially
similar to the business of the Company. In addition, all material facts
regarding any such business opportunities must be promptly and fully disclosed
by the Employee to the Board of Directors as soon as the Employee becomes aware
of any opportunity, and in no event later than forty-eight (48) hours after
learning of such opportunity. Business opportunities covered by this Section
5(b) shall include, but are not limited to, opportunities relating to the
development and licensing of finger print identification technologies or the
distribution of products incorporating such technologies to original equipment
manufacturers and end users.

                  (c) Non-Solicitation. The Employee agrees that during the
period of employment hereunder and for a period of one (1) year thereafter, the
Employee will not request or otherwise attempt to induce or influence, directly
or indirectly, any present customer, distributor or supplier, or Prospective
Customer, distributor or supplier, of the Company, or other persons sharing a
business relationship with the Company to cancel, to limit or postpone their
business with the Company, or otherwise take action which might be to the
material disadvantage of the Company. The Employee agrees that during the period
of employment hereunder and for a period of one (1) year thereafter, Employee
will not hire or solicit for employment, directly or indirectly, or induce or
actively attempt to influence, hire or solicit, any employee, agent, officer,
director, contractor, consultant or other business associate of the Company to
terminate his or her employment or discontinue such person's consultant,
contractor or other business association with the Company.

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                  (d) Scope. The parties hereto agree that, due to the nature of
the Company's business, the duration and scope of the non-competition and
non-solicitation provisions set forth above are reasonable. In the event that
any court determines that the duration or the geographic scope, or both, are
unreasonable and that such provisions are to that extent unenforceable, the
parties hereto agree that such provisions shall remain in full force and effect
for the greatest time period and in the greatest area that would not render it
unenforceable. The parties intend that the non-competition and non-solicitation
provisions herein shall be deemed to be a series of separate covenants, one for
each and every county of each and every state of the United States of America
and each and every political subdivision of each and every country outside the
United States of America where this provision is intended to be effective. The
Employee agrees that damages are an inadequate remedy for any breach of such
provisions and that the Company, shall, whether or not it is pursuing any
potential remedies at law, be entitled to seek in any court of competent
jurisdiction, equitable relief in the form of preliminary and permanent
injunctions without bond or other security upon any actual or threatened breach
of either of these competition provisions. If the Employee shall violate this
Section 5, the duration of this Section 5 automatically shall be extended as
against the Employee for a period equal to the period during which the Employee
shall have been in violation of this Section 5. The covenants contained in this
Section 5 are deemed to be material and the Company is entering into this
Agreement relying on such covenants.

         6. Representations and Warranties of the Employee. The Employee, hereby
represents and warrants to the Company as follows: (i) The Employee has the
legal capacity and unrestricted right to execute and deliver this Agreement and
to perform all of his obligations hereunder; (ii) the execution and delivery of
this Agreement by the Employee and the performance of his obligations hereunder
will not violate or be in conflict with any fiduciary or other duty, instrument,
agreement, document, arrangement, or other understanding to which Employee is a
party or by which he is or may be bound or subject; and (iii) except as set
forth in Exhibit C attached hereto, the Employee is not a party to any
instrument, agreement, document, arrangement, including, but not limited to,
invention assignment agreement, confidential information agreement,
non-competition agreement, non-solicitation agreement, or other understanding
with any person (other than the Company) requiring or restricting the use or
disclosure of any confidential information or the provision of any employment,
consulting or other services.

         7. Disclosure of Innovations; Assignment of Ownership of Innovations;
Protection of Confidential Information. Employee hereby represents and warrants
to the Company that Employee understands that the Company is in the business of
developing and licensing finger print identification technologies, and
distributing products incorporating such technologies, to original equipment
manufacturers and end users and that Employee may have access to or acquire
information with respect to Confidential Information (as defined below),
including software, processes and methods, development tools, scientific,
technical and/or business innovations.

                  (a) Disclosure of Innovations. Employee agrees to disclose in
writing to the Company all inventions, improvements and other innovations of any
kind that Employee may

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make, conceive, develop or reduce to practice, alone or jointly with others,
during the term of Employee's employment with the Company, whether or not such
inventions, improvements or other innovations are related to and grow out of
Employee's work for the Company and whether or not they are eligible for patent,
copyright, trademark, trade secret or other legal protection ("Innovations").
Examples of Innovations shall include, but are not limited to, discoveries,
research, inventions, formulas, techniques, processes, know-how, marketing
plans, new product plans, production processes, advertising, packaging and
marketing techniques and improvements to computer hardware or software.

                  (b) Assignment of Ownership of Innovations. Employee agrees
that all Innovations will be the sole and exclusive property of the Company and
Employee hereby assigns all of Employee's rights, title or interest in the
Innovations and in all related patents, copyrights, trademarks, trade secrets,
rights of priority and other proprietary rights to the Company. At the Company's
request and expense, during and after the period of Employee's employment with
the Company, Employee will assist and cooperate with the Company in all respects
and will execute documents, and, subject to Employee's reasonable availability,
give testimony and take further acts requested by the Company to obtain,
maintain, perfect and enforce for the Company patent, copyright, trademark,
trade secret and other legal protection for the Innovations. Employee hereby
appoints an authorized officer of the Company as Employee's attorney-in-fact to
execute documents on his behalf for this purpose. Employee has attached hereto
as Exhibit D a list of Innovations as of the date hereof which belong to
Employee and which are not assigned to the Company hereunder (the "Prior
Innovations"), or, if no such list is attached, Employee represents that there
are no Prior Innovations.

                  (c) Protection of Confidential Information of the Company.
Employee understands that Employee's work as an employee of the Company creates
a relationship of trust and confidence between Employee and the Company. During
and after the period of Employee's employment with the Company, Employee will
not use or disclose or allow anyone else to use or disclose any "Confidential
Information" (as defined below) relating to the Company, its products, services,
suppliers or customers except as may be necessary in the performance of
Employee's work for the Company or as may be specifically authorized in advance
by appropriate officers of the Company. "Confidential Information" shall
include, but not be limited to, information consisting of research and
development, patents, trademarks and copyrights and applications thereto,
technical information, computer programs, software, methodologies, innovations,
software tools, know-how, knowledge, designs, drawings, specifications,
concepts, data, reports, processes, techniques, documentation, pricing,
marketing plans, customer and prospect lists, trade secrets, financial
information, salaries, business affairs, suppliers, profits, markets, sales
strategies, forecasts, employee information and any other information not
available to the general public, whether written or oral, which Employee knows
or has reason to know the Company would like to treat as confidential for any
purpose, such as maintaining a competitive advantage or avoiding undesirable
publicity. Employee will keep Confidential Information secret and will not allow
any unauthorized use of the same, whether or not any document containing it is
marked as confidential. These restrictions, however, will not apply to
Confidential Information that has

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become known to the public generally through no fault or breach of Employee's or
that the Company regularly gives to third parties without restriction on use or
disclosure.

         8. WORK MADE FOR HIRE.

                  (a) Work Made For Hire. Employee further recognizes and
understands that Employee's duties at the Company may include the preparation of
materials, including without limitation written or graphic materials, and that
any such materials conceived or written by Employee shall be done as "work made
for hire" as defined and used in the Copyright Act of 1976, 17 U.S.C. ss.ss. 1
et seq. In the event of publication of such materials, Employee understands that
since the work is a "work made for hire", the Company will solely retain and own
all rights in said materials, including right of copyright. In the event that
any of such works shall be deemed by a court of competent jurisdiction not to be
a "work made for hire," this Agreement shall operate as an irrevocable
assignment by Employee to the Company of all right, title and interest in and to
such works, including, without limitation, all worldwide copyright interests
therein, in perpetuity. The fact that such copyrightable works are created by
Employee outside of the Company's facilities or other than during Employee's
working hours with the Company shall not diminish the Company's right with
respect to such works which otherwise fall within this paragraph. Employee
agrees to execute and deliver to the Company such further instruments or
documents as may be requested by the Company in order to effectuate the purposes
of this paragraph.

                  (b) Disclosure of Works and Inventions/Assignment of Patents.
In consideration of the promises set forth herein, Employee agrees to disclose
promptly to the Company, or to such person whom the Company may expressly
designate for this specific purpose (its "Designee"), any and all works,
inventions, discoveries and improvements authored, conceived or made by Employee
during the period of employment and related to the business or activities of the
Company, and Employee hereby assigns and agrees to assign all of Employee's
interest in the foregoing to the Company or to its Designee. Employee agrees
that, whenever he is requested to do so by the Company, Employee shall execute
any and all applications, assignments or other instruments which the Company
shall deem necessary to apply for and obtain Letters Patent or Copyrights of the
United States or any foreign country or to otherwise protect the Company's
interest therein. Such obligations shall continue beyond the termination or
nonrenewal of Employee's employment or service with respect to any works,
inventions, discoveries and/or improvements that are authored, conceived of, or
made by Employee during the period of Employee's employment or service, and
shall be binding upon Employee's successors, assigns, executors, heirs,
administrators or other legal representatives.

         9. Company Property. All records, files, lists, including computer
generated lists, drawings, documents, software, documents, equipment, models,
binaries, object modules, libraries, source code and similar items relating to
the Company's business that the Employee shall prepare or receive from the
Company and all Confidential Information shall remain the Company's sole and
exclusive property ("Company Business Property"). Upon termination of this
Agreement, the Employee shall promptly return to the Company all property of the
Company

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in his possession, including Company Business Property. The Employee further
represents that he will not copy or cause to be copied, print out, or cause to
be printed out any Company Business Property other than as specifically
authorized and required in the performance of the Employee's duties. The
Employee additionally represents that, upon termination of his employment with
the Company, he will not retain in his possession any such Company Business
Property.

         10. Cooperation. The Employee and Company agree that during the term of
Employee's employment they shall, at the request of the other Party, render all
assistance and perform all lawful acts that each Party considers necessary or
advisable in connection with any litigation involving either Party or any
director, officer, employee, shareholder, agent, representative, consultant,
client, or vendor of the Company.

         11. Employment Dispute Settlement Procedure/Waiver of Rights. The
Employee and the Company each agree that, in the event either party (or its
representatives, successors or assigns) brings an action in a court of competent
jurisdiction relating to the Employee's recruitment, employment with, or
termination of employment from the Company, each party in such action agrees to
waive his, her or its right to a trial by jury, and further agrees that no
demand, request or motion will be made for trial by jury.

The parties hereto further agree that, in the event that either seeks relief in
a court of competent jurisdiction for a dispute covered by this Agreement, any
other Agreement between the Employee and the Company or which relates to the
Employee's recruitment, employment with, or termination of employment from the
Company, the defendant or third-party defendant in such action may, at any time
within sixty (60) days of the service of the complaint, third-party complaint or
cross-claim upon such party, at his, her or its option, require all or part of
the dispute to be arbitrated by one arbitrator in accordance with the rules of
the American Arbitration Association. The parties agree that the option to
arbitrate any dispute is governed by the Federal Arbitration Act. The parties
understand and agree that, if the other party exercises his, her or its option,
any dispute arbitrated will be heard solely by the arbitrator, and not by a
court. Judgment upon the award rendered, however, may be entered in any court of
competent jurisdiction. The cost of such arbitration shall be borne equally by
the parties.

This dispute resolution agreement will cover all matters directly or indirectly
related to the Employee's recruitment, employment or termination of employment
by the Company; including, but not limited to, claims involving laws against
discrimination whether brought under federal and/or state law and/or local law,
and/or claims involving co-employees but excluding Worker's Compensation Claims.
Nothing contained in this Section 11 shall limit the right of the Company to
enforce by court injunction or other equitable relief the Employee's obligations
under Sections 5, 7, 8 and 9 hereof.

           The right to a trial, and to a trial by jury, is of value.

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                  THE EMPLOYEE MAY WISH TO CONSULT AN ATTORNEY PRIOR
                  TO SIGNING THIS AGREEMENT. IF SO, THE EMPLOYEE
                  SHOULD TAKE A COPY OF THIS AGREEMENT WITH HIM.
                  HOWEVER, THE EMPLOYEE WILL NOT BE OFFERED EMPLOYMENT
                  UNTIL THIS AGREEMENT IS SIGNED AND RETURNED TO
                  EMPLOYER.

         12. Choice of Law and Jurisdiction. This Agreement shall be construed,
interpreted and the rights of the parties determined in accordance with the laws
of the State of Minnesota. Each of the parties hereto hereby irrevocably
consents and submits to the exclusive jurisdiction of the state courts of the
State of Minnesota, and of the United States District Court for the District of
Minnesota in connection with any suit, action, or other proceeding concerning
this Agreement or enforcement of Sections 5, 7, 8 and 9 hereof. The Employee
waives and agrees not to assert any defense that the court lacks jurisdiction,
venue is improper, inconvenient forum or otherwise. The Employee waives the
right to a jury trial and agrees to accept service of process by certified mail
at the Employee's last known address.

         13. Successors and Assigns. Neither this Agreement, nor any of the
Employee's rights, powers, duties or obligations hereunder, may be assigned by
the Employee. This Agreement shall be binding upon and inure to the benefit of
the Employee and his heirs and legal representatives and the Company and its
successors. Successors of the Company shall include, without limitation, any
company or companies, individuals, groups, associations, partnerships, firm,
venture or other entity or party acquiring, directly or indirectly, all or
substantially all of the assets of the Company, whether by merger,
consolidation, purchase, lease or otherwise. Any such successor referred to in
this paragraph shall thereafter be deemed "the Company" for the purpose hereof.
All covenants and restrictions upon the Employee hereunder, including, but not
limited to Sections 5, 7, 8 and 9 hereof, are specifically assignable by the
Company.

         14. Waiver. Any waiver or consent from the Company with respect to any
term or provision of this Agreement or any other aspect of the Employee's
conduct or employment shall be effective only in the specific instance and for
the specific purpose for which given and shall not be deemed, regardless of
frequency given, to be a further or continuing waiver or consent. The failure or
delay of the Company at any time or times to require performance of, or to
exercise any of its powers, rights or remedies with respect to any term or
provision of this Agreement or any other aspect of the Employee's conduct or
employment in no manner (except as otherwise expressly provided herein) shall
affect the Company's right at a later time to enforce any such term or
provision.

         15. Notices. All notices, requests, demands, and other communications
hereunder must be in writing and shall be deemed to have been duly given if
delivered by hand or mailed within the continental United States by first class,
registered mail, return receipt requested, postage and registry fees prepaid, to
the applicable party and addressed as follows:

                                      -11-
<PAGE>

                  (a) If to the Company:

                      SAC Technologies, Inc.
                      1285 Corporate Center Drive, Suite 175
                      Eagan, MN 55121
                      Attn: Board of Directors
                      With a copy to:

                      Buchanan Ingersoll Professional Corporation
                      Eleven Penn Center
                      1845 Market Street
                      Philadelphia, PA 19103
                      Attn:  Vincent A. Vietti, Esquire

                  (b) If to the Employee:

                      Jeffry R. Brown
                      5710 Northwood Ridge
                      Bloomington, MN 55437

         16. Construction of Agreement.

                  (a) Severability. In the event that any one or more of the
provisions of this Agreement shall be held to be invalid, illegal or
unenforceable, the validity, legality or enforceability of the remaining
provisions shall not in any way be affected or impaired thereby.

                  (b) Headings. The descriptive headings of the several
paragraphs of this Agreement are inserted for convenience of reference only and
shall not constitute a part of this Agreement.

         17. Entire Agreement and Amendments. This Agreement, including all
Exhibits which shall form parts hereof, contains the entire agreement of the
parties concerning the Employee's employment and all promises, representations,
understandings, arrangements and prior agreements on such subject are merged
herein and superseded hereby. The provisions of this Agreement may not be
amended, modified, repealed, waived, extended or discharged except by an
agreement in writing signed by the party against whom enforcement of any
amendment, modification, repeal, waiver, extension or discharge is sought. No
person acting other than pursuant to a resolution of the Board of Directors
shall have authority on behalf of the Company to agree to amend, modify, repeal,
waive, extend or discharge any provision of this Agreement or anything in
reference thereto or to exercise any of the Company's rights to terminate or to
fail to extend this Agreement.

         18. Survival. The Employee's obligations under Paragraphs 5, 7, 8 and 9
shall survive and continue pursuant to the terms and conditions of this
Agreement following specific termination.

                                      -12-
<PAGE>

         19. Understanding. The Employee represents and agrees that he fully
understands his rights to discuss all aspects of this Agreement with his private
attorney, that to the extent he desires, he availed himself of this right, that
he has carefully read and fully understands all of the provisions of this
Agreement, that he is competent to execute this Agreement, that his decision to
execute this Agreement has not been obtained by any duress and that he freely
and voluntarily enters into this Agreement, and that he has read this document
in its entirety and fully understands the meaning, intent, and consequences of
this Agreement.

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

         21. Injunctive Relief. The Employee hereby agrees and acknowledges that
in the event of a breach or threatened breach of this Agreement by the Employee,
the Company may suffer irreparable harm and monetary damages alone would not
adequately compensate the Company. Accordingly, the Company will therefore be
entitled to injunctive relief to enforce this Agreement.

                                      -13-
<PAGE>

         IN WITNESS WHEREOF, the Company has caused this Agreement to be
executed and attested by its duly authorized officers, and the Employee has set
his hand, all as of the day and year first above written.

                                       SAC TECHNOLOGIES, INC.

                                       By: /s/ Barry Wendt
                                           -------------------------------------
                                           Name: Barry Wendt
                                                 -------------------------------
                                           Title: Chief Executive Officer
                                                  ------------------------------

                                       EMPLOYEE

                                       /s/ Jeffry R. Brown
                                       -----------------------------------------
                                       Jeffry R. Brown

                                      -14-
<PAGE>

                                    EXHIBIT C

         LIST OF PRIOR CONFIDENTIALITY AND/OR NONCOMPETITION AGREEMENTS

    Company;                 Date of Employment;
    -------                  ------------------
Company Address         Effective Dates of Agreement           Brief Description
---------------         ----------------------------           -----------------

               NONE

Date: November 13, 2000                /s/ Jeffry R. Brown
                                       -----------------------------------------
                                       Employee's Signature

<PAGE>

                                    EXHIBIT D

                               PRIOR INNOVATIONS:

                                      NONEEXHIBIT 10.26

         THE SECURITIES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED
         UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND MAY NOT BE SOLD,
         TRANSFERRED, ASSIGNED OR HYPOTHECATED UNLESS THERE IS AN EFFECTIVE
         REGISTRATION STATEMENT UNDER SUCH ACT COVERING SUCH SECURITIES, THE
         SALE IS MADE IN ACCORDANCE WITH RULE 144, OR THE COMPANY RECEIVES AN
         OPINION OF COUNSEL FOR THE HOLDER OF THESE SECURITIES, REASONABLY
         SATISFACTORY TO THE COMPANY, STATING THAT SUCH SALE, TRANSFER,
         ASSIGNMENT OR HYPOTHECATION IS EXEMPT FROM THE REGISTRATION AND
         PROSPECTUS DELIVERY REQUIREMENTS OF SUCH ACT.

                         OPTION TO PURCHASE COMMON STOCK
                                       OF
                             SAC TECHNOLOGIES, INC.
                          Void after November 13, 2007

         This certifies that, for value received, JEFFRY BROWN ("Holder"), is
entitled, subject to the terms set forth below, to purchase from SAC
TECHNOLOGIES, INC., a Minnesota corporation (the "Company"), shares of the
common stock, $.01 par value per share, of the Company ("Common Stock"), as
constituted on the date hereof (the "Option Issue Date"), with the Notice of
Exercise attached hereto duly executed, and simultaneous payment therefor in
lawful money of the United States or as otherwise provided in Section 3 hereof,
at the Exercise Price then in effect. The number, character and Exercise Price
of the shares of Common Stock issuable upon exercise hereof are subject to
adjustment as provided herein.

         1. TERM OF OPTION. Subject to compliance with the vesting provisions
identified at Section 2.3 hereof, this Option shall be exercisable, in whole or
in part, during the term commencing on the Option Issue Date and ending at 5:00
p.m. CST on November 13, 2007 (the "Option Expiration Date") and shall be void
thereafter.

         2. NUMBER OF SHARES, EXERCISE PRICE AND VESTING PROVISIONS.

                  2.1 NUMBER OF SHARES. The number of shares of Common Stock
which may be purchased pursuant to this Option shall be 280,000 shares (the
"Shares"), subject, however, to adjustment pursuant to Section 11 hereof.

                  2.2 EXERCISE PRICE. The Exercise Price at which this Option,
or portion thereof, may be exercised shall be $.6875(1) per Share, subject,
however, to adjustment pursuant to Section 11 hereof.

-------------------------
(1) The last sale price of the Company's common stock as reported on the OTC
Electronic Bulletin Board on the date of grant.

<PAGE>

                  2.3 VESTING. This Option shall vest in accordance with the
following schedule:

                  Upon Holder's commencement of
                  employment with the Company............ 120,000 Shares

                  Commencing December 1, 2000 and on
                  the first day of each month
                  thereafter and terminating October 1,
                  2002, so long as Holder remains
                  employed by the Company................ 6,667 Shares per month

                  On November 1, 2002, so long as
                  Holder remains employed by the
                  Company................................ 6,659 Shares

provided, however that if the Holder is terminated by the Company on or before
November 13, 2002 pursuant to Section 4(e) of that certain Employment Agreement
dated November 13, 2000 by and between the Company and Holder, Options to
purchase the lesser of (i) sixty thousand and three (60,003) shares of Common
Stock; and (ii) the number of shares of Common Stock issuable upon the exercise
of the remaining unvested Options hereof shall vest on the date of termination.

         3. EXERCISE OF OPTION.

                  3.1 PAYMENT OF EXERCISE PRICE. Subject to the terms hereof,
the purchase rights represented by this Option are exercisable by the Holder in
whole or in part, at any time, or from time to time, by the surrender of this
Option and the Notice of Exercise annexed hereto duly completed and executed on
behalf of the Holder, at the office of the Company (or such other office or
agency of the Company as it may designate by notice in writing to the Holder at
the address of the Holder appearing on the books of the Company) accompanied by
payment of the Exercise Price in full either (i) in cash or by bank or certified
check for the Shares with respect to which this Option is exercised; (ii) by
delivery to the Company of shares of the Company's Common Stock having a Fair
Market Value (as defined below) equal to the aggregate Exercise Price of the
Shares being purchased which Holder is the record and beneficial owner of and
which have been held by the Holder for at least six (6) months; or (iii) by
delivering to the Company a Notice of Exercise together with an irrevocable
direction to a broker-dealer registered under the Securities Exchange Act of
1934, as amended (the "Exchange Act"), to sell a sufficient portion of the
Shares and deliver the sales proceeds directly to the Company to pay the
Exercise Price; or (iv) by any combination of the procedures set forth in
subsections (i), (ii) and (iii) of this Section 3.1.

                  3.2 FAIR MARKET VALUE. If previously owned shares of Common
Stock are tendered as payment of the Exercise Price, the value of such shares
shall be the "Fair Market Value" of such shares on the trading date immediately
preceding the date of exercise. For the purpose of this Agreement, the "Fair
Market Value" shall be:

                           (a) If the Common Stock is admitted to quotation on
the National Association of Securities Dealers Automated Quotation System
("NASDAQ"), the Fair Market Value on any given date shall be the average of the
highest bid and lowest asked prices of the Common Stock as reported for such
date or, if no bid and asked prices were reported for such date, for the last
day preceding such date for which such prices were reported;

                                       2
<PAGE>

                           (b) If the Common Stock is admitted to trading on a
United States securities exchange or the NASDAQ National Market System, the Fair
Market Value on any date shall be the closing price reported for the Common
Stock on such exchange or system for such date or, if no sales were reported for
such date, for the last day preceding such date for which a sale was reported.
Notwithstanding the foregoing, the Fair Market Value of the Common Stock on the
effective date of the Initial Public Offering (as defined in Section 7.2) shall
be the offering price to the public of the Common Stock on such date;

                           (c) If the Common Stock is traded in the
over-the-counter market and not on any national securities exchange nor in the
NASDAQ Reporting System, the Fair Market Value shall be the average of the mean
between the last bid and ask prices per share, as reported by the National
Quotation Bureau, Inc., or an equivalent generally accepted reporting service,
or if not so reported, the average of the closing bid and asked prices for a
share as furnished to the Company by any member of the National Association of
Securities Dealers, Inc., selected by the Company for that purpose; or

                           (d) If the Fair Market Value of the Common Stock
cannot be determined on the basis previously set forth in this definition on the
date that the Fair Market Value is to be determined, the Board of Directors of
the Company shall in good faith determine the Fair Market Value of the Common
Stock on such date.

If the tender of previously owned shares would result in an issuance of a whole
number of Shares and a fractional Share of Common Stock, the value of such
fractional share shall be paid to the Company in cash or by check by the Holder.

         3.3 TERMINATION OF EMPLOYMENT; DEATH.

                  (a) If Holder shall cease to be employed by the Company, all
Options to which Holder is then entitled to exercise may be exercised only
within ninety (90) days after the termination of employment and prior to the
Option Termination Date or, if such termination was due to disability or
retirement (as hereinafter defined), within one (1) year after termination of
employment and prior to the Option Termination Date. Notwithstanding the
foregoing, in the event that any termination of employment shall be for Cause as
that term is defined in the employment agreement dated November 13, 2000 by and
between the Company and Holder, then this Option shall forthwith terminate.

                  (b) If Holder shall die while employed by the Company and
prior to the Option Termination Date, any Options then exercisable may be
exercised only within one (1) year after Holder's death, prior to the Option
Termination Date and only by the Holder's personal representative or persons
entitled thereto under the Holder's will or the laws of descent and
distribution.

                  (c) This Option may not be exercised for more Shares (subject
to adjustment as provided in Section 11 hereof) after the termination of the
Holder's employment or death, as the case may be, than the Holder was entitled
to purchase thereunder at the time of the termination of the Holder's employment
or death.

                                       3
<PAGE>

                  3.4 EXERCISE DATE; DELIVERY OF CERTIFICATES. This Option shall
be deemed to have been exercised immediately prior to the close of business on
the date of its surrender for exercise as provided above, and Holder shall be
treated for all purposes as the holder of record of such Shares as of the close
of business on such date. As promptly as practicable on or after such date and
in any event within ten (10) days thereafter, the Company at its expense shall
issue and deliver to the Holder a certificate or certificates for the number of
Shares issuable upon such exercise. In the event that this Option is exercised
in part, the Company at its expense will execute and deliver a new Option of
like tenor exercisable for the number of shares for which this Option may then
be exercised.

         4. NO FRACTIONAL SHARES OR SCRIP. No fractional shares or scrip
representing fractional shares shall be issued upon the exercise of this Option.
In lieu of any fractional share to which the Holder would otherwise be entitled,
the Company shall make a cash payment equal to the Exercise Price multiplied by
such fraction.

         5. REPLACEMENT OF OPTION. On receipt of evidence reasonably
satisfactory to the Company of the loss, theft, destruction or mutilation of
this Option and, in the case of loss, theft or destruction, on delivery of an
indemnity agreement reasonably satisfactory in form and substance to the Company
or, in the case of mutilation, on surrender and cancellation of this Option, the
Company at its expense shall execute and deliver, in lieu of this Option, a new
Option of like tenor and amount.

         6. RIGHTS OF STOCKHOLDER. Except as otherwise contemplated herein, the
Holder shall not be entitled to vote or receive dividends or be deemed the
holder of Common Stock or any other securities of the Company that may at any
time be issuable on the exercise hereof for any purpose, nor shall anything
contained herein be construed to confer upon the Holder, as such, any of the
rights of a stockholder of the Company or any right to vote for the election of
directors or upon any matter submitted to stockholders at any meeting thereof,
or to give or withhold consent to any corporate action (whether upon any
recapitalization, issuance of stock, reclassification of stock, change of par
value, or change of stock to no par value, consolidation, merger, conveyance or
otherwise) or to receive notice of meetings, or to receive dividends or
subscription rights or otherwise until the Option shall have been exercised as
provided herein.

         7. TRANSFER OF OPTION.

                  7.1. NON-TRANSFERABILITY. This Option shall not be assigned,
transferred, pledged or hypothecated in any way, nor subject to execution,
attachment or similar process, otherwise than by will or by the laws of descent
and distribution. Any attempted assignment, transfer, pledge, hypothecation or
other disposition of this Option contrary to the provisions hereof, and the levy
of an execution, attachment, or similar process upon the Option, shall be null
and void and without effect.

                  7.2. COMPLIANCE WITH SECURITIES LAWS; RESTRICTIONS ON
TRANSFERS. In addition to restrictions on transfer of this Option and Shares set
forth in Section 7.1 above.

                                       4
<PAGE>

                  (a) The Holder of this Option, by acceptance hereof,
acknowledges that this Option and the Shares to be issued upon exercise hereof
are being acquired solely for the Holder's own account and not as a nominee for
any other party, and for investment (unless such shares are subject to resale
pursuant to an effective prospectus), and that the Holder will not offer, sell
or otherwise dispose of any Shares to be issued upon exercise hereof except
under circumstances that will not result in a violation of applicable federal
and state securities laws. Upon exercise of this Option, the Holder shall, if
requested by the Company, confirm in writing, in a form satisfactory to the
Company, that the Shares of Common Stock so purchased are being acquired solely
for the Holder's own account and not as a nominee for any other party, for
investment (unless such shares are subject to resale pursuant to an effective
prospectus), and not with a view toward distribution or resale.

                  (b) Neither this Option nor any share of Common Stock issued
upon exercise of this Option may be offered for sale or sold, or otherwise
transferred or sold in any transaction which would constitute a sale thereof
within the meaning of the 1933 Act, unless (i) such security has been registered
for sale under the 1933 Act and registered or qualified under applicable state
securities laws relating to the offer an sale of securities; (ii) exemptions
from the registration requirements of the 1933 Act and the registration or
qualification requirements of all such state securities laws are available and
the Company shall have received an opinion of counsel satisfactory to the
Company that the proposed sale or other disposition of such securities may be
effected without registration under the 1933 Act and would not result in any
violation of any applicable state securities laws relating to the registration
or qualification of securities for sale, such counsel and such opinion to be
satisfactory to the Company.

                  (c) All Shares issued upon exercise hereof shall be stamped or
imprinted with a legends in substantially the following form (in addition to any
legend required by state securities laws).

         THE SECURITIES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED
         UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND MAY NOT BE SOLD,
         TRANSFERRED, ASSIGNED OR HYPOTHECATED UNLESS THERE IS AN EFFECTIVE
         REGISTRATION STATEMENT UNDER SUCH ACT COVERING SUCH SECURITIES, THE
         SALE IS MADE IN ACCORDANCE WITH RULE 144, OR THE COMPANY RECEIVES AN
         OPINION OF COUNSEL FOR THE HOLDER OF THESE SECURITIES, REASONABLY
         SATISFACTORY TO THE COMPANY, STATING THAT SUCH SALE, TRANSFER,
         ASSIGNMENT OR HYPOTHECATION IS EXEMPT FROM THE REGISTRATION AND
         PROSPECTUS DELIVERY REQUIREMENTS OF SUCH ACT.

                  (d) Holder recognizes that investing in the Option and the
Shares involves a high degree of risk, and Holder is in a financial position to
hold the Option and the Shares indefinitely and is able to bear the economic
risk and withstand a complete loss of its investment in the Option and the
Shares. The Holder is a sophisticated investor and is capable of evaluating the
merits and risks of investing in the Company. The Holder has had an opportunity
to discuss the Company's business, management and financial affairs with the
Company's management, has been given full and complete access to information
concerning the Company, and has utilized

                                       5
<PAGE>

such access to its satisfaction for the purpose of obtaining information or
verifying information and has had the opportunity to inspect the Company's
operation. Holder has had the opportunity to ask questions of, and receive
answers from the management of the Company (and any person acting on its behalf)
concerning the Option and the Shares and the agreements and transactions
contemplated hereby, and to obtain any additional information as Holder may have
requested in making its investment decision.

                  (e) Holder acknowledges and represents: (i) that he has been
afforded the opportunity to review and is familiar with the business prospects
and finances of the Company and has based his decision to invest solely on the
information contained therein and has not been furnished with any other
literature, prospectus or other information except as included in such reports;
(ii) he is at least 21 years of age; (iii) he has adequate means of providing
for his current needs and personal contingencies; (iv) he has no need for
liquidity for his investment in the Option or Shares; (v) he maintains his
domicile and is not a transient or temporary resident at the address on the
books and records of the Company; (vi) all of his investments and commitments to
non-liquid assets and similar investments are, after his acquisition of the
Option and Shares, will be reasonable in relation to his net worth and current
needs; (vii) he understands that no federal or state agency has approved or
disapproved the Option or Shares or made any finding or determination as to the
fairness of the Option and Common Stock for investment; and (viii) he recognizes
that the Common Stock is not presently eligible for public trading and that the
Company has made no representations, warranties, or assurances as to the future
trading value of the Common Stock, whether a public market will develop for the
resale of the Common Stock, or if developed whether it will continue.

         8. RESERVATION AND ISSUANCE OF STOCK; PAYMENT OF TAXES.

                  (a) The Company covenants that during the term that this
Option is exercisable, the Company will reserve from its authorized and unissued
Common Stock a sufficient number of shares to provide for the issuance of the
Shares upon the exercise of this Option, and from time to time will take all
steps necessary to amend its Certificate of Incorporation to provide sufficient
reserves of shares of Common Stock issuable upon the exercise of the Option.

                  (b) The Company further covenants that all shares of Common
Stock issuable upon the due exercise of this Option will be free and clear from
all taxes or liens, charges and security interests created by the Company with
respect to the issuance thereof, however, the Company shall not be obligated or
liable for the payment of any taxes, liens or charges of Holder, or any other
party contemplated by Section 7, incurred in connection with the issuance of
this Option or the Common Stock upon the due exercise of this Option. The
Company agrees that its issuance of this Option shall constitute full authority
to its officers who are charged with the duty of executing stock certificates to
execute and issue the necessary certificates for the shares of Common Stock upon
the exercise of this Option. The Common Stock issuable upon the due exercise of
this Option, will, upon issuance in accordance with the terms hereof, be duly
authorized, validly issued, fully paid and non-assessable.

                                       6
<PAGE>

                  (c) Upon exercise of the Option, the Company shall have the
right to require the Holder to remit to the Company an amount sufficient to
satisfy federal, state and local tax withholding requirements prior to the
delivery of any certificate for Shares of Common Stock purchased pursuant to the
Option, if in the opinion of counsel to the Company such withholding is required
under applicable tax laws.

                  (d) If Holder is obligated to pay the Company an amount
required to be withheld under applicable tax withholding requirements may pay
such amount (i) in cash; (ii) in the discretion of the Board of Directors of the
Company, through the delivery to the Company of previously-owned shares of
Common Stock having an aggregate Fair Market Value equal to the tax obligation
provided that the previously owned shares delivered in satisfaction of the
withholding obligations must have been held by the Holder for at least six (6)
months; (iii) in the discretion of the Board of Directors of the Company,
through the withholding of Shares of Common Stock otherwise issuable to the
Holder in connection with the Option exercise; or (iv) in the discretion of the
Board of Directors of the Company, through a combination of the procedures set
forth in subsections (i), (ii) and (iii) of this Section 8(d).

         9. NOTICES.

                  (a) Whenever the Exercise Price or number of shares
purchasable hereunder shall be adjusted pursuant to Section 11 hereof, the
Company shall issue a certificate signed by its Chief Financial Officer setting
forth, in reasonable detail, the event requiring the adjustment, the amount of
the adjustment, the method by which such adjustment was calculated, and the
Exercise Price and number of shares purchasable hereunder after giving effect to
such adjustment, and shall cause a copy of such certificate to be mailed (by
first-class mail, postage prepaid) to the Holder of this Option.

                  (b) All notices, advices and communications under this Option
shall be deemed to have been given, (i) in the case of personal delivery, on the
date of such delivery and (ii) in the case of mailing, on the third business day
following the date of such mailing, addressed as follows:

                           If to the Company:

                           SAC Technologies, Inc.
                           1285 Corporate Center Drive
                           Suite 175
                           Eagan, MN 55121

                           With a copy to:

                           Buchanan Ingersoll Professional Corporation
                           11 Penn Center, 14th Floor
                           1835 Market Street
                           Philadelphia, Pa. 19103
                           Attn.: Vincent A. Vietti, Esquire

                                       7
<PAGE>

                           and to the Holder:

                           Jeffry R. Brown
                           5710 Northwood Ridge
                           Bloomington, MN 55437

         Either of the Company or the Holder may from time to time change the
address to which notices to it are to be mailed hereunder by notice in
accordance with the provisions of this Paragraph 9.

         10. AMENDMENTS.

                  (a) Any term of this Option may be amended with the written
consent of the Company and the Holder. Any amendment effected in accordance with
this Section 10 shall be binding upon the Holder, each future holder and the
Company.

                  (b) No waivers of, or exceptions to, any term, condition or
provision of this Option, in any one or more instances, shall be deemed to be,
or construed as, a further or continuing waiver of any such term, condition or
provision.

         11. ADJUSTMENTS. The number of Shares of Common Stock purchasable
hereunder and the Exercise Price is subject to adjustment from time to time upon
the occurrence of certain events, as follows:

                  11.1. REORGANIZATION, MERGER OR SALE OF ASSETS. If at any time
while this Option, or any portion thereof, is outstanding and unexpired there
shall be (i) a reorganization (other than a combination, reclassification,
exchange or subdivision of shares otherwise provided for herein); or (ii) a
merger or consolidation of the Company in which the Company is the surviving
entity but the shares of the Company's capital stock outstanding immediately
prior to the merger are converted by virtue of the merger into other property,
whether in the form of securities, cash or otherwise, then, as a part of such
reorganization, merger, or consolidation, lawful provision shall be made so that
the holder of this Option shall upon such reorganization, merger, or
consolidation, have the right by exercising such Option, to purchase the kind
and number of shares of Common Stock or other securities or property (including
cash) otherwise receivable upon such reorganization, merger or consolidation by
a holder of the number of shares of Common Stock that might have been purchased
upon exercise of such Option immediately prior to such reorganization, merger or
consolidation. The foregoing provisions of this Section 11.1 shall similarly
apply to successive reorganizations, consolidations or mergers. If the per-share
consideration payable to the Holder hereof for shares in connection with any
such transaction is in a form other than cash or marketable securities, then the
value of such consideration shall be determined in good faith by the Company's
Board of Directors. In all events, appropriate adjustment (as determined in good
faith by the Company's Board of Directors) shall be made in the application of
the provisions of this Option with respect to the rights and interests of the
Holder after the transaction, to the end that the provisions of this

                                       8
<PAGE>

Option shall be applicable after that event, as near as reasonably may be, in
relation to any shares or other property deliverable after that event upon
exercise of this Option.

                  11.2. RECLASSIFICATION. If the Company, at any time while this
Option, or any portion thereof, remains outstanding and unexpired, by
reclassification of securities or otherwise, shall change any of the securities
as to which purchase rights under this Option exist into the same or a different
number of securities of any other class or classes, this Option shall thereafter
represent the right to acquire such number and kind of securities as would have
been issuable as the result of such change with respect to the securities that
were subject to the purchase rights under this Option immediately prior to such
reclassification or other change and the Exercise Price therefor shall be
appropriately adjusted, all subject to further adjustment as provided in this
Section 11.

                  11.3. SPLIT, SUBDIVISION OR COMBINATION OF SHARES. If the
Company at any time while this Option, or any portion thereof, remains
outstanding and unexpired shall split, subdivide or combine the securities as to
which purchase rights under this Option exist, into a different number of
securities of the same class, the Exercise Price and the number of shares
issuable upon exercise of this Option shall be proportionately adjusted.

                  11.4. ADJUSTMENTS FOR DIVIDENDS IN STOCK OR OTHER SECURITIES
OR PROPERTY. If while this Option, or any portion hereof, remains outstanding
and unexpired the holders of the securities as to which purchase rights under
this Option exist at the time shall have received, or, on or after the record
date fixed for the determination of eligible Stockholders, shall have become
entitled to receive, without payment therefor, other or additional stock or
other securities or property (other than cash) of the Company by way of
dividend, then and in each case, this Option shall represent the right to
acquire, in addition to the number of shares of the security receivable upon
exercise of this Option, and without payment of any additional consideration
therefor, the amount of such other or additional stock or other securities or
property (other than cash) of the Company that such holder would hold on the
date of such exercise had it been the holder of record of the security
receivable upon exercise of this Option on the date hereof and had thereafter,
during the period from the date hereof to and including the date of such
exercise, retained such shares and/or all other additional stock, other
securities or property available by this Option as aforesaid during such period.

                  11.5 GOOD FAITH. The Company will not, by any voluntary
action, avoid or seek to avoid the observance or performance of any of the terms
to be observed or performed hereunder by the Company, but will at all times in
good faith assist in the carrying out of all the provisions of this Section 11
and in the taking of all such action as may be necessary or appropriate in order
to protect the rights of the Holder of this Option against impairment.

         12. FUNDAMENTAL TRANSACTION. For purposes of this Section 12, a
"Fundamental Transaction" shall mean (i) the dissolution or liquidation of the
Company; (ii) a merger, reorganization or consolidation in which the Company is
acquired by another person or entity (other than a holding company formed by the
Company); (iii) the sale of all or substantially all of the assets of the
Company to any person or persons; or (iv) the sale in a single transaction or a
series of related transactions of voting stock representing more than fifty
percent (50%) of the

                                       9
<PAGE>

voting power of all outstanding shares of the Company to any person or persons.
In the event of a Fundamental Transaction, this Option shall automatically
become immediately exercisable in full, and shall be deemed to have attained
such status immediately prior to the Fundamental Transaction. Holder shall be
given at least 15 days prior written notice of a Fundamental Transaction and
shall be permitted to exercise any vested Options during this 15 day period
(including those Options vesting as a result of the provisions of this Section
12). In the event of a Fundamental Transaction, any Options which are neither
assumed or substituted for in connection with the Fundamental Transaction nor
exercised as of the date of the Fundamental Transaction, shall terminate and
cease to be outstanding effective as of the date of the Fundamental Transaction,
unless otherwise provided by the Board of Directors of the Company.

         13. SEVERABILITY. Whenever possible, each provision of this Option
shall be interpreted in such manner as to be effective and valid under
applicable law, but if any provision of this Option is held to be invalid,
illegal or unenforceable in any respect under any applicable law or rule in any
jurisdiction, such invalidity, illegality or unenforceability shall not affect
the validity, legality or enforceability of any other provision of this Option
in such jurisdiction or affect the validity, legality or enforceability of any
provision in any other jurisdiction, but this Option shall be reformed,
construed and enforced in such jurisdiction as if such invalid, illegal or
unenforceable provision had never been contained herein.

         14. GOVERNING LAW. The corporate law of the State of Minnesota shall
govern all issues and questions concerning the relative rights of the Company
and its stockholders. All other questions concerning the construction, validity,
interpretation and enforceability of this Option and the exhibits and schedules
hereto shall be governed by, and construed in accordance with, the laws of the
State of Minnesota, without giving effect to any choice of law or conflict of
law rules or provisions (whether of the State of Minnesota or any other
jurisdiction) that would cause the application of the laws of any jurisdiction
other than the State of Minnesota.

         15. JURISDICTION. The Holder and the Company agree to submit to
personal jurisdiction and to waive any objection as to venue in the federal or
state courts of Minnesota. Service of process on the Company or the Holder in
any action arising out of or relating to this Option shall be effective if
mailed to such party at the address listed in Section 9 hereof.

         16. ARBITRATION. If a dispute arises as to interpretation of this
Option, it shall be decided finally by three arbitrators in an arbitration
proceeding conforming to the Rules of the American Arbitration Association
applicable to commercial arbitration. The arbitrators shall be appointed as
follows: one by the Company, one by the Holder and the third by the said two
arbitrators, or, if they cannot agree, then the third arbitrator shall be
appointed by the American Arbitration Association. The third arbitrator shall be
chairman of the panel and shall be impartial. The arbitration shall take place
in Minneapolis, Minnesota. The decision of a majority of the arbitrators shall
be conclusively binding upon the parties and final, and such decision shall be
enforceable as a judgment in any court of competent jurisdiction. Each party
shall pay the fees and expenses of the arbitrator appointed by it, its counsel
and its witnesses. The parties shall share equally the fees and expenses of the
impartial arbitrator.

                                       10
<PAGE>

         17. CORPORATE POWER; AUTHORIZATION; ENFORCEABLE OBLIGATIONS. The
execution, delivery and performance by the Company of this Option: (i) are
within the Company's corporate power; (ii) have been duly authorized by all
necessary or proper corporate action; (iii) are not in contravention of the
Company's certificate of incorporation or bylaws; (iv) will not violate in any
material respect, any law or regulation, including any and all Federal and state
securities laws, or any order or decree of any court or governmental
instrumentality; and (v) will not, in any material respect, conflict with or
result in the breach or termination of, or constitute a default under any
agreement or other material instrument to which the Company is a party or by
which the Company is bound.

         18. SUCCESSORS AND ASSIGNS. This Option shall inure to the benefit of
and be binding on the respective successors, assigns and legal representatives
of the Holder and the Company.

         19. COUNTERPARTS. This Option may be executed in two or more
counterparts and delivered via facsimile, each of which shall be deemed to be an
original, and all of which together shall be deemed to be one and the same
instrument.

         IN WITNESS WHEREOF, the Company and Holder have caused this Option to
be executed on this 13th day of November, 2000.

                                       SAC TECHNOLOGIES, INC..

                                       By: /s/ Gary Wendt
                                           -------------------------------
                                               Gary Wendt
                                               Chief Financial Officer

AGREED AND ACCEPTED:

JEFFRY R. BROWN

/s/ Jeffry R. Brown
-----------------------------
     Signature

                                       11
<PAGE>

                               NOTICE OF EXERCISE

TO: [_____________________________]

         (1) The undersigned hereby elects to purchase _______ shares of Common
Stock of SAC TECHNOLOGIES, INC. pursuant to the terms of the attached Option,
and tenders herewith payment of the purchase price for such shares in full in
the following manner (please check one of the following choices):

         [ ]      In Cash

         [ ]      Cashless exercise through a broker; or

         [ ]      Delivery of previously owned Shares.

         (2) In exercising this Option, the undersigned hereby confirms and
acknowledges that the shares of Common Stock to be issued upon conversion
thereof are being acquired solely for the account of the undersigned and not as
a nominee for any other party, and for investment (unless such shares are
subject to resale pursuant to an effective prospectus), and that the undersigned
will not offer, sell or otherwise dispose of any such shares of Common Stock
except under circumstances that will not result in a violation of the Securities
Act of 1933, as amended, or any state securities laws.

         (3) Please issue a certificate or certificates representing said shares
of Common Stock in the name of the undersigned.

                                       JEFFRY R. BROWN

--------------------------             -----------------------------------
(Date)                                 (Signature)

                                       12

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