Document:

EXHIBIT 4.4

THE REGISTERED  HOLDER OF THIS UNIT PURCHASE OPTION (THIS "PURCHASE  OPTION") BY
ITS  ACCEPTANCE  HEREOF,  AGREES THAT IT WILL NOT SELL,  TRANSFER OR ASSIGN THIS
PURCHASE  OPTION  EXCEPT AS HEREIN  PROVIDED AND THE  REGISTERED  HOLDER OF THIS
PURCHASE  OPTION  AGREES  THAT IT WILL NOT  SELL,  TRANSFER,  ASSIGN,  PLEDGE OR
HYPOTHECATE  THIS  PURCHASE  OPTION  FOR A  PERIOD  OF ONE  YEAR  FOLLOWING  THE
EFFECTIVE DATE (DEFINED  BELOW) TO ANYONE OTHER THAN (I) LAZARD CAPITAL  MARKETS
LLC  ("LAZARD"),  LADENBURG  THALMANN  & CO.  INC.  ("LADENBURG"  AND LAZARD AND
LADENBURG TOGETHER REFERRED TO AS THE "CO-REPRESENTATIVES") OR AN UNDERWRITER OR
A SELECTED DEALER IN CONNECTION  WITH THE OFFERING,  OR (II) A BONA FIDE OFFICER
OR PARTNER OF THE  CO-REPRESENTATIVES  OR OF ANY SUCH  UNDERWRITER  OR  SELECTED
DEALER.

THIS PURCHASE OPTION IS NOT EXERCISABLE  PRIOR TO THE LATER OF THE  CONSUMMATION
BY MEDIA & ENTERTAINMENT  HOLDINGS,  INC. ("COMPANY") OF A MERGER, CAPITAL STOCK
EXCHANGE,  ASSET  ACQUISITION OR OTHER SIMILAR BUSINESS  COMBINATION  ("BUSINESS
COMBINATION")(AS  DESCRIBED MORE FULLY IN THE COMPANY'S  REGISTRATION  STATEMENT
(DEFINED  HEREIN)) OR  _____________,  2007.  VOID AFTER 5:00 P.M. NEW YORK CITY
LOCAL TIME, 30 DAYS AFTER THE DATE THE UNIT PURCHASE OPTION BECOMES EXERCISABLE.

                          FORM OF UNIT PURCHASE OPTION

                               FOR THE PURCHASE OF

                                  900,000 UNITS

                                       OF

                      MEDIA & ENTERTAINMENT HOLDINGS, INC.

1.      PURCHASE OPTION.

        THIS CERTIFIES THAT, in consideration of $100.00 duly paid by or on
behalf of __________ ("HOLDER"), as registered owner of this Purchase Option, to
Media & Entertainment Holdings, Inc. ("COMPANY"), Holder is entitled, at any
time or from time to time upon the later of the consummation of a Business
Combination or _________, 2007 ("COMMENCEMENT DATE"), and at or before 5:00
p.m., New York City local time, 30 days after the Commencement Date ("EXPIRATION
DATE"), but not thereafter, to subscribe for, purchase and receive, in whole or
in part, up to Nine Hundred Thousand (900,000) units ("UNITS") of the Company,
each Unit consisting of one share of common stock of the Company, par value
$.0001 per share ("COMMON STOCK"), and one warrant ("WARRANT(S)") expiring four
years from the effective date ("EFFECTIVE DATE") of the registration statement
("REGISTRATION STATEMENT") pursuant to which Units are offered for sale to the
public ("OFFERING"). Each Warrant is the same as the warrants included in the
Units being registered for sale to the public by way of the Registration
Statement ("PUBLIC WARRANTS"), except that the Warrants issuable hereby shall
have an exercise price of $7.50 per share of Common Stock. If the Expiration
Date is a day on which banking institutions

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are authorized by law to close, then this Purchase Option may be exercised on
the next succeeding day which is not such a day in accordance with the terms
herein. During the period ending on the Expiration Date, the Company agrees not
to take any action that would terminate the Purchase Option. This Purchase
Option is initially exercisable at $10.00 per Unit so purchased; provided,
however, that upon the occurrence of any of the events specified in Section 6
hereof, the rights granted by this Purchase Option, including the exercise price
per Unit and the number of Units (and shares of Common Stock and Warrants) to be
received upon such exercise, shall be adjusted as therein specified. The term
"Exercise Price" shall mean the initial exercise price or the adjusted exercise
price, depending on the context.

2.      EXERCISE.

        2.1     EXERCISE FORM. In order to exercise this Purchase Option, the
exercise form attached hereto must be duly executed and completed and delivered
to the Company, together with this Purchase Option and payment of the Exercise
Price for the Units being purchased payable in cash or by certified check or
official bank check. If the subscription rights represented hereby shall not be
exercised at or before 5:00 p.m., New York City local time, on the Expiration
Date this Purchase Option shall become and be void without further force or
effect, and all rights represented hereby shall cease and expire.

        2.2     LEGEND. Each certificate for the securities purchased under this
Purchase Option shall bear a legend as follows unless such securities have been
registered under the Securities Act of 1933, as amended ("ACT"):

                "The securities represented by this certificate have not been
                registered under the Securities Act of 1933, as amended ("Act")
                or applicable state law. The securities may not be offered for
                sale, sold or otherwise transferred except pursuant to an
                effective registration statement under the Act, or pursuant to
                an exemption from registration under the Act and applicable
                state law."

        2.3     CASHLESS EXERCISE.

2.3.1   DETERMINATION OF AMOUNT. In lieu of the payment of the Exercise Price
multiplied by the number of Units for which this Purchase Option is exercisable
(and in lieu of being entitled to receive Common Stock and Warrants) in the
manner required by Section 2.1, the Holder shall have the right (but not the
obligation) to convert any exercisable but unexercised portion of this Purchase
Option into Units ("CONVERSION RIGHT") as follows: upon exercise of the
Conversion Right, the Company shall deliver to the Holder (without payment by
the Holder of any of the Exercise Price in cash) that number of Units (or that
number of shares of Common Stock and Warrants comprising that number of Units)
equal to the quotient obtained by dividing (x) the "Value" (as defined below) of
the portion of the Purchase Option being converted by (y) the Current Market
Value (as defined below). The "Value" of the portion of the Purchase Option
being converted shall equal the remainder derived from subtracting (a) (i) the
Exercise Price multiplied by (ii) the number of Units underlying the portion of
this Purchase Option being converted from (b) the Current Market Value of a Unit
multiplied by the number of Units underlying the portion of the Purchase Option
being converted. As used herein, the term "CURRENT MARKET VALUE" per Unit at any
date means : (A) in the event that neither the Units nor

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Public Warrants are still trading, the remainder derived from subtracting (x)
the exercise price of the Warrants multiplied by the number of shares of Common
Stock issuable upon exercise of the Warrants underlying one Unit from (y)(i) the
Current Market Price of the Common Stock multiplied by (ii) the number of shares
of Common Stock underlying one Unit, which shall include the shares of Common
Stock underlying the Warrants included in such Unit; (B) in the event that the
Units, Common Stock and Public Warrants are still trading, (i) if the Units are
listed on a national securities exchange or quoted on the Nasdaq National
Market, Nasdaq Capital Market or NASD OTC Bulletin Board (or successor
exchange), the last sale price of the Units in the principal trading market for
the Units as reported by the exchange, Nasdaq or the NASD, as the case may be,
on the last trading day preceding the date in question; or (ii) if the Units are
not listed on a national securities exchange or quoted on the Nasdaq National
Market, Nasdaq Capital Market or the NASD OTC Bulletin Board (or successor
exchange), but are traded in the residual over-the-counter market, the closing
bid price for Units on the last trading day preceding the date in question for
which such quotations are reported by the Pink Sheets, LLC or similar publisher
of such quotations; and (C) in the event that the Units are not still trading
but the Common Stock and Public Warrants underlying the Units are still trading,
the Current Market Price of the Common Stock plus the product of (x) the Current
Market Price of the Public Warrants and (y) the number of shares of Common Stock
underlying the Warrants included in one Unit. The "CURRENT MARKET PRICE" shall
mean (i) if the Common Stock (or Public Warrants, as the case may be) is listed
on a national securities exchange or quoted on the Nasdaq National Market,
Nasdaq Capital Market or NASD OTC Bulletin Board (or successor exchange), the
last sale price of the Common Stock (or Public Warrants) in the principal
trading market for the Common Stock as reported by the exchange, Nasdaq or the
NASD, as the case may be, on the last trading day preceding the date in
question; (ii) if the Common Stock (or Public Warrants, as the case may be) is
not listed on a national securities exchange or quoted on the Nasdaq National
Market, Nasdaq Capital Market or the NASD OTC Bulletin Board (or successor
exchange), but is traded in the residual over-the-counter market, the closing
bid price for the Common Stock (or Public Warrants) on the last trading day
preceding the date in question for which such quotations are reported by the
Pink Sheets, LLC or similar publisher of such quotations; and (iii) if the fair
market value of the Common Stock cannot be determined pursuant to clause (i) or
(ii) above, such price as the Board of Directors of the Company shall determine,
in good faith. In the event the Public Warrants have expired and are no longer
exercisable, no "Value" shall be attributed to the Warrants underlying this
Purchase Option. Additionally, in the event that this Purchase Option is
exercised pursuant to this Section 2.3 and the Public Warrants are still
trading, the "Value" shall be reduced by the difference between the Warrant
Exercise Price and the exercise price of the Public Warrants multiplied by the
number of Warrants underlying the Units included in the portion of this Purchase
Option being converted.

2.3.2   MECHANICS OF CASHLESS EXERCISE. The Cashless Exercise Right may be
exercised by the Holder on any business day on or after the Commencement Date
and not later than 5:00 p.m., New York City local time on the Expiration Date by
delivering the Purchase Option with the duly executed exercise form attached
hereto with the cashless exercise section completed to the Company, exercising
the Cashless Exercise Right and specifying the total number of Units the Holder
will purchase pursuant to such Cashless Exercise Right.

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3.      TRANSFER.

        3.1     GENERAL RESTRICTIONS. The registered Holder of this Purchase
Option, by its acceptance hereof, agrees that it will not sell, transfer,
assign, pledge or hypothecate this Purchase Option for a period of one year
following the Effective Date to anyone other than (i) the Co-Representatives or
an underwriter or a selected dealer in connection with the Offering, or (ii) a
bona fide officer or partner of the Co-Representatives or of any such
underwriter or selected dealer. On and after the first anniversary of the
Effective Date, transfers to others may be made subject to compliance with or
exemptions from applicable securities laws. In order to make any permitted
assignment, the Holder must deliver to the Company the assignment form attached
hereto duly executed and completed, together with the Purchase Option and
payment of all transfer taxes, if any, payable in connection therewith. The
Company shall within five business days transfer this Purchase Option on the
books of the Company and shall execute and deliver a new Purchase Option or
Purchase Options of like tenor to the appropriate assignee(s) expressly
evidencing the right to purchase the aggregate number of Units purchasable
hereunder or such portion of such number as shall be contemplated by any such
assignment.

        3.2     RESTRICTIONS IMPOSED BY THE ACT. The securities evidenced by
this Purchase Option shall not be transferred unless and until (i) the Company
has received the opinion of counsel for the Holder that the securities may be
transferred pursuant to an exemption from registration under the Act and
applicable state securities laws, the availability of which is established to
the reasonable satisfaction of the Company (the Company hereby agreeing that the
opinion of Kirkpatrick & Lockhart Nicholson Graham LLP shall be deemed
satisfactory evidence of the availability of an exemption), or (ii) a
registration statement or a post-effective amendment to the Registration
Statement relating to such securities has been filed by the Company and declared
effective by the Securities and Exchange Commission (the "COMMISSION") and
compliance with applicable state securities law has been established.

4.      NEW PURCHASE OPTIONS TO BE ISSUED.

        4.1     PARTIAL EXERCISE OR TRANSFER. Subject to the restrictions in
Section 3 hereof, this Purchase Option may be exercised or assigned in whole or
in part. In the event of the exercise or assignment hereof in part only, upon
surrender of this Purchase Option for cancellation, together with the duly
executed exercise or assignment form and funds sufficient to pay any Exercise
Price and/or transfer tax, the Company shall cause to be delivered to the Holder
without charge a new Purchase Option of like tenor to this Purchase Option in
the name of the Holder evidencing the right of the Holder to purchase the number
of Units purchasable hereunder as to which this Purchase Option has not been
exercised or assigned.

        4.2     LOST CERTIFICATE. Upon receipt by the Company of evidence
satisfactory to it of the loss, theft, destruction or mutilation of this
Purchase Option and of reasonably satisfactory indemnification or the posting of
a bond, the Company shall execute and deliver a new Purchase Option of like
tenor and date. Any such new Purchase Option executed and delivered as a result
of such loss, theft, mutilation or destruction shall constitute a substitute
contractual obligation on the part of the Company.

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5.      MANDATORY REGISTRATION PROCEDURES.

        5.1     MANDATORY REGISTRATION.

                5.1.1   COMPANY OBLIGATION. The Company shall, as expeditiously
as possible following the Effective Date, use its best efforts to register under
the Act the Purchase Options and all of the securities underlying such Purchase
Options, including the Units, Common Stock, the Warrants and the Common Stock
underlying the Warrants (collectively, the "REGISTRABLE SECURITIES"). On such
occasion, the Company will file a registration statement or a post-effective
amendment to the Registration Statement covering the Registrable Securities and
use its best efforts to have such registration statement or post-effective
amendment declared effective as soon as possible thereafter.

                5.1.2   TERMS. The Company shall bear all fees and expenses
attendant to registering the Registrable Securities, including the expenses of
any legal counsel selected by the Holders to represent them in connection with
the sale of the Registrable Securities, but the Holders shall pay any and all
underwriting commissions. The Company agrees to use its reasonable best efforts
to qualify or register the Registrable Securities in such states as are
reasonably requested by the Majority Holder(s); provided, however, that in no
event shall the Company be required to register the Registrable Securities in a
state in which such registration would cause (i) the Company to be obligated to
qualify to do business in such state, or would subject the Company to taxation
as a foreign corporation doing business in such jurisdiction or (ii) the
principal stockholders of the Company to be obligated to escrow their shares of
capital stock of the Company. The Company shall use its best efforts to cause
any registration statement or post-effective amendment filed pursuant to Section
5.1.1 to remain effective for a period of nine consecutive months from the
effective date of such registration statement or post-effective amendment.

        5.2     GENERAL TERMS.

                5.2.1   INDEMNIFICATION. The Company shall indemnify the
Holder(s) of the Registrable Securities to be sold pursuant to any registration
statement hereunder and each person, if any, who controls such Holders within
the meaning of Section 15 of the Act or Section 20(a) of the Securities Exchange
Act of 1934, as amended ("EXCHANGE ACT"), against all loss, claim, damage,
expense or liability (including all reasonable attorneys' fees and other
expenses reasonably incurred in investigating, preparing or defending against
litigation, commenced or threatened, or any claim whatsoever whether arising out
of any action between the underwriter and the Company or between the underwriter
and any third party or otherwise) to which any of them may become subject under
the Act, the Exchange Act or otherwise, arising from such registration statement
but only to the same extent and with the same effect as the provisions pursuant
to which the Company has agreed to indemnify the underwriters contained in
Section 5 of the Underwriting Agreement between the Company, the
Co-Representatives and the other underwriters named therein dated the Effective
Date. The Holder(s) of the Registrable Securities to be sold pursuant to such
registration statement, and their successors and assigns, shall severally, and
not jointly, indemnify the Company, its officers and directors and each person,
if any, who controls the Company within the meaning of Section 15 of the Act or
Section 20(a) of the Exchange Act, against all loss, claim, damage, expense or
liability (including all reasonable attorneys' fees and other expenses
reasonably incurred in investigating, preparing or defending against any claim
whatsoever) to which they may become subject under the Act, the Exchange Act or
otherwise, arising from information furnished by or on behalf of such Holders,
or their successors or assigns, in writing, for specific inclusion in such
registration statement to the same extent and

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with the same effect as the provisions contained in Section 5 of the
Underwriting Agreement pursuant to which the underwriters have agreed to
indemnify the Company.

                5.2.2   EXERCISE OF PURCHASE OPTIONS. Nothing contained in this
Purchase Option shall be construed as requiring the Holder(s) to exercise their
Purchase Options or Warrants underlying such Purchase Options prior to or after
the initial filing of any registration statement or the effectiveness thereof.

                5.2.3   DOCUMENTS DELIVERED TO HOLDERS. The Company shall
furnish the Co-Representatives, as representatives of the Holders participating
in any of the foregoing offerings, a signed counterpart, addressed to the
participating Holders, of (i) an opinion of counsel to the Company, dated the
effective date of such registration statement (and, if such registration
includes an underwritten public offering, an opinion dated the date of the
closing under any underwriting agreement related thereto), and (ii) a "cold
comfort" letter dated the effective date of such registration statement (and, if
such registration includes an underwritten public offering, a letter dated the
date of the closing under the underwriting agreement) signed by the independent
public accountants who have issued a report on the Company's financial
statements included in such registration statement, in each case covering
substantially the same matters with respect to such registration statement (and
the prospectus included therein) and, in the case of such accountants' letter,
with respect to events subsequent to the date of such financial statements, as
are customarily covered in opinions of issuer's counsel and in accountants'
letters delivered to underwriters in underwritten public offerings of
securities. The Company shall also, prior to filing a registration statement or
prospectus, or any amendment or supplement thereto, furnish without charge to
the holders of Registrable Securities included in such registration, and such
holders' legal counsel, copies of such registration statement as proposed to be
filed, each amendment and supplement to such registration statement (in each
case including all exhibits thereto and documents incorporated by reference
therein), the prospectus included in such registration statement (including each
preliminary prospectus), and such other documents as the holders of Registrable
Securities included in such registration or legal counsel for any such holders
may request in order to facilitate the disposition of the Registrable Securities
owned by such holders. The Company shall also deliver promptly to the
Co-Representatives, as representatives of the Holders participating in the
offering, the correspondence and memoranda described below and copies of all
correspondence between the Commission and the Company, its counsel or auditors
and all memoranda relating to discussions with the Commission or its staff with
respect to the registration statement and permit the Co-Representatives, as
representatives of the Holders, to do such investigation, upon reasonable
advance notice, with respect to information contained in or omitted from the
registration statement as it deems reasonably necessary to comply with
applicable securities laws or rules of the National Association of Securities
Dealers, Inc. ("NASD"). Such investigation shall include access to books,
records and properties and opportunities to discuss the business of the Company
with its officers and independent auditors, all to such reasonable extent and at
such reasonable times and as often as the Co-Representatives, as representatives
of the Holders, shall reasonably request. The Company shall not be required to
disclose any confidential information or other records to the
Co-Representatives, as representatives of the Holders, or to any other person,
until and unless such persons shall have entered into reasonable confidentiality
agreements (in form and substance reasonably satisfactory to the Company), with
the Company with respect thereto.

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                5.2.4   UNDERWRITING AGREEMENT. The Company shall enter into an
underwriting agreement with the managing underwriter(s), if any, selected by any
Holders whose Registrable Securities are being registered pursuant to this
Section 5, which co-managing underwriters shall be reasonably acceptable to the
Company. Such agreement shall be reasonably satisfactory in form and substance
to the Company, each Holder and such managing underwriters, and shall contain
such representations, warranties and covenants by the Company and such other
terms as are customarily contained in agreements of that type used by the
managing underwriter. The Holders shall be parties to any underwriting agreement
relating to an underwritten sale of their Registrable Securities and may, at
their option, require that any or all the representations, warranties and
covenants of the Company to or for the benefit of such underwriters shall also
be made to and for the benefit of such Holders. Such Holders shall not be
required to make any representations or warranties to or agreements with the
Company or the underwriters except as they may relate to such Holders and their
intended methods of distribution. Such Holders, however, shall agree to such
covenants and indemnification and contribution obligations for selling
stockholders as are customarily contained in agreements of that type used by the
managing underwriter. Further, such Holders shall execute appropriate custody
agreements and otherwise cooperate fully in the preparation of the registration
statement and other documents relating to any offering in which they include
securities pursuant to this Section 5. Each Holder shall also furnish to the
Company such information regarding itself, the Registrable Securities held by
it, and the intended method of disposition of such securities as shall be
reasonably required to effect the registration of the Registrable Securities.

                5.2.5   RULE 144 SALE. Notwithstanding anything contained in
this Section 5 to the contrary, the Company shall have no obligation pursuant to
Sections 5.1 or 5.2 for the registration of Registrable Securities held by any
Holder (i) where such Holder would then be entitled to sell under Rule 144
within any three-month period (or such other period prescribed under Rule 144 as
may be provided by amendment thereof) all of the Registrable Securities then
held by such Holder, and (ii) where the number of Registrable Securities held by
such Holder is within the volume limitations under paragraph (e) of Rule 144
(calculated as if such Holder were an affiliate within the meaning of Rule 144).

                5.2.6   AMENDMENTS AND SUPPLEMENTAL PROSPECTUS. The Company
shall prepare and file with the Commission such amendments, including
post-effective amendments, and supplements to such registration statement and
the prospectus used in connection therewith as may be necessary to keep such
registration statement effective and in compliance with the provisions of the
Securities Act until all Registrable Securities and other securities covered by
such registration statement have been disposed of in accordance with the
intended method(s) of distribution set forth in such registration statement
(which period shall not exceed the sum of one hundred eighty (180) days plus any
period during which any such disposition is interfered with by any stop order or
injunction of the Commission or any governmental agency or court) or such
securities have been withdrawn. Each Holder agrees, that upon receipt of any
notice from the Company of the happening of any event as a result of which the
prospectus included in the registration statement, as then in effect, includes
an untrue statement of a material fact or omits to state a material fact
required to be stated therein or necessary to make the statements therein not
misleading in light of the circumstances then existing, such Holder will
immediately discontinue disposition of Registrable Securities pursuant to the
registration statement covering such Registrable Securities until such Holder's
receipt of the copies of a supplemental or

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amended prospectus, and, if so desired by the Company, such Holder shall deliver
to the Company (at the expense of the Company) or destroy (and deliver to the
Company a certificate of such destruction) all copies, other than permanent file
copies then in such Holder's possession, of the prospectus covering such
Registrable Securities current at the time of receipt of such notice.

                5.2.7   NOTIFICATION. After the filing of a registration
statement pursuant to Section 5 hereof, the Company shall promptly, and in no
event more than two (2) business days after such filing, notify the holders of
Registrable Securities included in such registration statement, and shall
further notify such holders promptly and confirm such advice in writing in all
events within two (2) business days of the occurrence of any of the following:
(i) when such registration statement becomes effective; (ii) when any
post-effective amendment to such registration statement becomes effective; (iii)
the issuance or threatened issuance by the Commission of any stop order (and the
Company shall take all actions required to prevent the entry of such stop order
or to remove it if entered); and (iv) any request by the Commission for any
amendment or supplement to such registration statement or any prospectus
relating thereto or for additional information or of the occurrence of an event
requiring the preparation of a supplement or amendment to such prospectus so
that, as thereafter delivered to the purchasers of the securities covered by
such registration statement, such prospectus will not contain an untrue
statement of a material fact or omit to state any material fact required to be
stated therein or necessary to make the statements therein not misleading, and
promptly make available to the holders of Registrable Securities included in
such registration statement any such supplement or amendment; except that before
filing with the Commission a registration statement or prospectus or any
amendment or supplement thereto, including documents incorporated by reference,
the Company shall furnish to the holders of Registrable Securities included in
such registration statement and to the legal counsel for any such holders,
copies of all such documents proposed to be filed sufficiently in advance of
filing to provide such holders and legal counsel with a reasonable opportunity
to review such documents and comment thereon, and the Company shall not file any
registration statement or prospectus or amendment or supplement thereto,
including documents incorporated by reference, to which such holders or their
legal counsel shall reasonably object.

                5.2.8   STATE SECURITIES LAW COMPLIANCE. The Company shall use
its best efforts to (i) register or qualify the Registrable Securities covered
by any registration statement prepared pursuant to Section 5 hereof under such
securities or "blue sky" laws of such jurisdictions in the United States as the
holders of Registrable Securities included in such registration statement (in
light of their intended plan of distribution) may request and (ii) take such
action necessary to cause such Registrable Securities covered by the
registration statement to be registered with or approved by such other
Governmental Authorities as may be necessary by virtue of the business and
operations of the Company and do any and all other acts and things that may be
necessary or advisable to enable the holders of Registrable Securities included
in such registration statement to consummate the disposition of such Registrable
Securities in such jurisdictions; provided, however, that the Company shall not
be required to qualify generally to do business in any jurisdiction where it
would not otherwise be required to qualify but for this paragraph or subject
itself to taxation in any such jurisdiction.

                5.2.9   COOPERATION. The principal executive officer of the
Company, the principal financial officer of the Company, the principal
accounting officer of the Company and

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all other officers and members of the management of the Company shall cooperate
fully in any offering of Registrable Securities hereunder, which cooperation
shall include, without limitation, the preparation of the registration statement
with respect to such offering and all other offering materials and related
documents, and participation in meetings with underwriters, attorneys,
accountants and potential investors.

                5.2.10  RECORDS. The Company shall make available for inspection
by the holders of Registrable Securities included in such registration
statement, any underwriter(s) participating in any disposition pursuant to such
registration statement and any attorney, accountant or other professional
retained by any holder of Registrable Securities included in such registration
statement or any underwriter(s), all financial and other records, pertinent
corporate documents and properties of the Company, as shall be necessary to
enable them to exercise their due diligence responsibility, and cause the
Company's officers, directors and employees to supply all information requested
by any of them in connection with such registration statement.

                5.2.11  LISTING. The Company shall use its best efforts to cause
all Registrable Securities included in any registration to be listed on such
exchanges or otherwise designated for trading in the same manner as similar
securities issued by the Company are then listed or designated or, if no such
similar securities are then listed or designated, in a manner satisfactory to
the holders of a majority of the Registrable Securities included in such
registration.

6.      ADJUSTMENTS.

        6.1     ADJUSTMENTS TO EXERCISE PRICE AND NUMBER OF SECURITIES. The
Exercise Price and the number of Units underlying the Purchase Option shall be
subject to adjustment from time to time as hereinafter set forth:

                6.1.1   STOCK DIVIDENDS - SPLIT-UPS. If after the date hereof,
and subject to the provisions of Section 6.3 below, the number of outstanding
shares of Common Stock is increased by a stock dividend payable in shares of
Common Stock or by a split-up of shares of Common Stock or other similar event,
then, on the effective date thereof, the number of shares of Common Stock
underlying each of the Units purchasable hereunder shall be increased in
proportion to such increase in outstanding shares. In such case, the number of
shares of Common Stock, and the exercise price applicable thereto, underlying
the Warrants underlying each of the Units purchasable hereunder shall be
adjusted in accordance with the terms of the Warrants. For example, if the
Company declares a two-for-one stock dividend and at the time of such dividend
this Purchase Option is for the purchase of one Unit at $8.00 per whole Unit
(each Warrant underlying the Units is exercisable for $5.00 per share), upon
effectiveness of the dividend, this Purchase Option will be adjusted to allow
for the purchase of one Unit at $8.00 per Unit, each Unit entitling the holder
to receive two shares of Common Stock and two Warrants (each Warrant exercisable
for $2.50 per share).

                6.1.2   AGGREGATION OF SHARES. If after the date hereof, and
subject to the provisions of Section 6.3, the number of outstanding shares of
Common Stock is decreased by a consolidation, combination or reclassification of
shares of Common Stock or other similar event, then, on the effective date
thereof, the number of shares of Common Stock underlying each of the Units
purchasable hereunder shall be decreased in proportion to such decrease in
outstanding

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shares. In such case, the number of shares of Common Stock, and the exercise
price applicable thereto, underlying the Warrants underlying each of the Units
purchasable hereunder shall be adjusted in accordance with the terms of the
Warrants.

                6.1.3   REPLACEMENT OF SECURITIES UPON REORGANIZATION, ETC. In
case of any reclassification or reorganization of the outstanding shares of
Common Stock other than a change covered by Section 6.1.1 or 6.1.2 hereof or
that solely affects the par value of such shares of Common Stock, or in the case
of any merger or consolidation of the Company with or into another corporation
(other than a consolidation or merger in which the Company is the continuing
corporation and that does not result in any reclassification or reorganization
of the outstanding shares of Common Stock), or in the case of any sale or
conveyance to another corporation or entity of the property of the Company as an
entirety or substantially as an entirety in connection with which the Company is
dissolved, the Holder of this Purchase Option shall have the right thereafter
(until the expiration of the right of exercise of this Purchase Option) to
receive upon the exercise hereof, for the same aggregate Exercise Price payable
hereunder immediately prior to such event, the kind and amount of shares of
stock or other securities or property (including cash) receivable upon such
reclassification, reorganization, merger or consolidation, or upon a dissolution
following any such sale or transfer, by a Holder of the number of shares of
Common Stock of the Company obtainable upon exercise of this Purchase Option and
the underlying Warrants immediately prior to such event; and if any
reclassification also results in a change in shares of Common Stock covered by
Section 6.1.1 or 6.1.2, then such adjustment shall be made pursuant to Sections
6.1.1, 6.1.2 and this Section 6.1.3. The provisions of this Section 6.1.3 shall
similarly apply to successive reclassifications, reorganizations, mergers or
consolidations, sales or other transfers.

                6.1.4   CHANGES IN FORM OF PURCHASE OPTION. This form of
Purchase Option need not be changed because of any change pursuant to this
Section, and Purchase Options issued after such change may state the same
Exercise Price and the same number of Units as are stated in the Purchase
Options initially issued pursuant to this Agreement. The acceptance by any
Holder of the issuance of new Purchase Options reflecting a required or
permissive change shall not be deemed to waive any rights to an adjustment
occurring after the Commencement Date or the computation thereof.

        6.2     SUBSTITUTE PURCHASE OPTION. In case of any consolidation of the
Company with, or merger of the Company with, or merger of the Company into,
another corporation (other than a consolidation or merger which does not result
in any reclassification or change of the outstanding Common Stock), the
corporation formed by such consolidation or merger shall execute and deliver to
the Holder a supplemental Purchase Option providing that the holder of each
Purchase Option then outstanding or to be outstanding shall have the right
thereafter (until the stated expiration of such Purchase Option) to receive,
upon exercise of such Purchase Option, the kind and amount of shares of stock
and other securities and property receivable upon such consolidation or merger,
by a holder of the number of shares of Common Stock of the Company for which
such Purchase Option might have been exercised immediately prior to such
consolidation, merger, sale or transfer. Such supplemental Purchase Option shall
provide for adjustments which shall be identical to the adjustments provided in
Section 6.1. The above provision of this Section shall similarly apply to
successive consolidations or mergers.

                                       10
<PAGE>

        6.3     ELIMINATION OF FRACTIONAL INTERESTS. The Company shall not be
required to issue certificates representing fractions of shares of Common Stock
or Warrants upon the exercise of the Purchase Option, nor shall it be required
to issue scrip or pay cash in lieu of any fractional interests, it being the
intent of the parties that all fractional interests shall be eliminated by
rounding any fraction up to the nearest whole number of Warrants, shares of
Common Stock or other securities, properties or rights.

7.      RESERVATION AND LISTING. The Company shall at all times reserve and keep
available out of its authorized shares of Common Stock, solely for the purpose
of issuance upon exercise of the Purchase Options or the Warrants underlying the
Purchase Option, such number of shares of Common Stock or other securities,
properties or rights as shall be issuable upon the exercise thereof. The Company
covenants and agrees that, upon exercise of the Purchase Options and payment of
the Exercise Price therefor, all shares of Common Stock and other securities
issuable upon such exercise shall be duly and validly issued, fully paid and
non-assessable and not subject to preemptive rights of any stockholder. The
Company further covenants and agrees that upon exercise of the Warrants
underlying the Purchase Options and payment of the respective Warrant exercise
price therefor, all shares of Common Stock and other securities issuable upon
such exercise shall be duly and validly issued, fully paid and non-assessable
and not subject to preemptive rights of any stockholder. As long as the Purchase
Options shall be outstanding, the Company shall use its best efforts to cause
all (i) Units and shares of Common Stock issuable upon exercise of the Purchase
Options, (ii) Warrants issuable upon exercise of the Purchase Options and (iii)
shares of Common Stock issuable upon exercise of the Warrants included in the
Units issuable upon exercise of the Purchase Option to be listed (subject to
official notice of issuance) on all securities exchanges (or, if applicable on
the Nasdaq National Market, Capital Market, OTC Bulletin Board or any successor
trading market) on which the Units, the Common Stock or the Public Warrants
issued to the public in connection herewith may then be listed and/or quoted.

8.      CERTAIN NOTICE REQUIREMENTS.

        8.1     HOLDER'S RIGHT TO RECEIVE NOTICE. Nothing herein shall be
construed as conferring upon the Holders the right to vote or consent as a
stockholder for the election of directors or any other matter, or as having any
rights whatsoever as a stockholder of the Company. If, however, at any time
prior to the expiration of the Purchase Options and their exercise, any of the
events described in Section 8.2 shall occur, then, in one or more of said
events, the Company shall give written notice of such event at least fifteen
days prior to the date fixed as a record date or the date of closing the
transfer books for the determination of the stockholders entitled to such
dividend, distribution, conversion or exchange of securities or subscription
rights, or entitled to vote on such proposed dissolution, liquidation, winding
up or sale. Such notice shall specify such record date or the date of the
closing of the transfer books, as the case may be. Notwithstanding the
foregoing, the Company shall deliver to each Holder a copy of each notice given
to the other stockholders of the Company at the same time and in the same manner
that such notice is given to the stockholders.

        8.2     EVENTS REQUIRING NOTICE. The Company shall be required to give
the notice described in this Section 8 upon one or more of the following events:
(i) if the Company shall take a record of the holders of its shares of Common
Stock for the purpose of entitling them to

                                       11
<PAGE>

receive a dividend or distribution payable otherwise than in cash, or a cash
dividend or distribution payable otherwise than out of retained earnings, as
indicated by the accounting treatment of such dividend or distribution on the
books of the Company, or (ii) the Company shall offer to all the holders of its
Common Stock any additional shares of capital stock of the Company or securities
convertible into or exchangeable for shares of capital stock of the Company, or
any option, right or warrant to subscribe therefor, or (iii) a dissolution,
liquidation or winding up of the Company (other than in connection with a
consolidation or merger) or a sale of all or substantially all of its property,
assets and business shall be proposed.

        8.3     NOTICE OF CHANGE IN EXERCISE PRICE. The Company shall, promptly
after an event requiring a change in the Exercise Price pursuant to Section 6
hereof, send notice to the Holders of such event and change ("PRICE NOTICE").
The Price Notice shall describe the event causing the change and the method of
calculating same and shall be certified as being true and accurate by the
Company's President and Chief Financial Officer.

        8.4     TRANSMITTAL OF NOTICES. All notices, requests, consents and
other communications under this Purchase Option shall be in writing and shall be
deemed to have been duly made when hand delivered, or mailed by express mail or
private courier service: (i) if to the registered Holder of the Purchase Option,
to the address of such Holder as shown on the books of the Company, or (ii) if
to the Company, to the following address or to such other address as the Company
may designate by notice to the Holders:

               Media & Entertainment Holdings, Inc.
               4429 Edmondson Avenue
               Dallas, Texas 75205
               Attn: Herbert A. Granath, Chairman of the Board and
                     Chief Executive Officer

9.      MISCELLANEOUS.

        9.1     AMENDMENTS. The Company and the Co-Representatives may from time
to time supplement or amend this Purchase Option without the approval of any of
the Holders in order to cure any ambiguity, to correct or supplement any
provision contained herein that may be defective or inconsistent with any other
provisions herein, or to make any other provisions in regard to matters or
questions arising hereunder that the Company and the Co-Representatives may deem
necessary or desirable and that the Company and the Co-Representatives deem
shall not adversely affect the interest of the Holders. All other modifications
or amendments shall require the written consent of and be signed by the party
against whom enforcement of the modification or amendment is sought.

        9.2     HEADINGS. The headings contained herein are for the sole purpose
of convenience of reference, and shall not in any way limit or affect the
meaning or interpretation of any of the terms or provisions of this Purchase
Option.

        9.3     ENTIRE AGREEMENT. This Purchase Option (together with the other
agreements and documents being delivered pursuant to or in connection with this
Purchase Option) constitutes the entire agreement of the parties hereto with
respect to the subject matter hereof, and

                                       12
<PAGE>

supersedes all prior agreements and understandings of the parties, oral and
written, with respect to the subject matter hereof.

        9.4     BINDING EFFECT. This Purchase Option shall inure solely to the
benefit of and shall be binding upon, the Holder and the Company and their
permitted assignees, respective successors, legal representatives and assigns,
and no other person shall have or be construed to have any legal or equitable
right, remedy or claim under or in respect of or by virtue of this Purchase
Option or any provisions herein contained.

        9.5     GOVERNING LAW; SUBMISSION TO JURISDICTION. This Purchase Option
shall be governed by and construed and enforced in accordance with the laws of
the State of New York, without giving effect to conflict of laws. The Company
hereby agrees that any action, proceeding or claim against it arising out of, or
relating in any way to this Purchase Option shall be brought and enforced in the
courts of the State of New York or of the United States of America for the
Southern District of New York, and irrevocably submits to such jurisdiction,
which jurisdiction shall be exclusive. The Company hereby waives any objection
to such exclusive jurisdiction and that such courts represent an inconvenient
forum. Any process or summons to be served upon the Company may be served by
transmitting a copy thereof by registered or certified mail, return receipt
requested, postage prepaid, addressed to it at the address set forth in Section
8 hereof. Such mailing shall be deemed personal service and shall be legal and
binding upon the Company in any action, proceeding or claim. The Company and the
Holder agree that the prevailing party(ies) in any such action shall be entitled
to recover from the other party(ies) all of its reasonable attorneys' fees and
expenses relating to such action or proceeding and/or incurred in connection
with the preparation therefor.

        9.6     WAIVER, ETC. The failure of the Company or the Holder to at any
time enforce any of the provisions of this Purchase Option shall not be deemed
or construed to be a waiver of any such provision, nor to in any way affect the
validity of this Purchase Option or any provision hereof or the right of the
Company or any Holder to thereafter enforce each and every provision of this
Purchase Option. No waiver of any breach, non-compliance or non- fulfillment of
any of the provisions of this Purchase Option shall be effective unless set
forth in a written instrument executed by the party or parties against whom or
which enforcement of such waiver is sought; and no waiver of any such breach,
non-compliance or non- fulfillment shall be construed or deemed to be a waiver
of any other or subsequent breach or non-compliance.

        9.7     EXECUTION IN COUNTERPARTS. This Purchase Option may be executed
in one or more counterparts, and by the different parties hereto in separate
counterparts, each of which shall be deemed to be an original, but all of which
taken together shall constitute one and the same agreement, and shall become
effective when one or more counterparts has been signed by each of the parties
hereto and delivered to each of the other parties hereto.

        9.8     EXCHANGE AGREEMENT. As a condition of the Holder's receipt and
acceptance of this Purchase Option, Holder agrees that, at any time prior to the
complete exercise of this Purchase Option by Holder, if the Company and the
Co-Representatives enter into an agreement ("EXCHANGE AGREEMENT") pursuant to
which they agree that all outstanding Purchase Options will be exchanged for
securities or cash or a combination of both, then Holder shall agree to such
exchange and become a party to the Exchange Agreement.

                                       13
<PAGE>

        IN WITNESS WHEREOF, the Company has caused this Purchase Option to be
signed by its duly authorized officer as of the ___ day of __________, 2006.

                                        MEDIA & ENTERTAINMENT HOLDINGS, INC.

                                        By:____________________________
                                           Name:  Herbert A. Granath
                                           Title: Chairman of the Board and
                                                  Chief Executive Officer

                                       14
<PAGE>

Form to be used to exercise Purchase Option:

Media & Entertainment Holdings, Inc.
4429 Edmondson Avenue
Dallas, Texas 75205
Attn:   Herbert A. Granath, Chairman of the Board and
        Chief Executive Officer

Date:_________________, 200__

        The undersigned hereby elects irrevocably to exercise all or a portion
of the within Purchase Option and to purchase ____ Units of Media &
Entertainment Holdings, Inc. and hereby makes payment of $____________ (at the
rate of $_________ per Unit) in payment of the Exercise Price pursuant thereto.
Please issue the Common Stock and Warrants as to which this Purchase Option is
exercised in accordance with the instructions given below.

                                       or

        The undersigned hereby elects irrevocably to convert its right to
purchase Units purchasable under the within Purchase Option by surrender of the
unexercised portion of the attached Purchase Option (with a "Value" based of $
based on a "Market Price" of $ ). Please issue the securities comprising the
Units as to which this Purchase Option is exercised in accordance with the
instructions given below.

                                        __________________________________
                                        Signature

                                        __________________________________
                                        Signature Guaranteed

                   INSTRUCTIONS FOR REGISTRATION OF SECURITIES

Name

                            (Print in Block Letters)

Address

                                       15
<PAGE>

        NOTICE: THE SIGNATURE TO THIS FORM MUST CORRESPOND WITH THE NAME AS
WRITTEN UPON THE FACE OF THE WITHIN PURCHASE OPTION IN EVERY PARTICULAR WITHOUT
ALTERATION OR ENLARGEMENT OR ANY CHANGE WHATSOEVER, AND MUST BE GUARANTEED BY A
BANK, OTHER THAN A SAVINGS BANK, OR BY A TRUST COMPANY OR BY A FIRM HAVING
MEMBERSHIP ON A REGISTERED NATIONAL SECURITIES EXCHANGE.

                                       16
<PAGE>

Form to be used to assign Purchase Option:

                                   ASSIGNMENT

        (To be executed by the registered Holder to effect a transfer of the
within Purchase Option):

        FOR VALUE RECEIVED,______________________________________________ does
hereby sell, assign and transfer unto___________________________________________
the right to purchase __________ Units of Media & Entertainment Holdings, Inc.
("COMPANY") evidenced by the within Purchase Option and does hereby authorize
the Company to transfer such right on the books of the Company.

Dated:___________________, 200_

                                        __________________________________
                                        Signature

                                        __________________________________
                                        Signature Guaranteed

        NOTICE: THE SIGNATURE TO THIS FORM MUST CORRESPOND WITH THE NAME AS
WRITTEN UPON THE FACE OF THE WITHIN PURCHASE OPTION IN EVERY PARTICULAR WITHOUT
ALTERATION OR ENLARGEMENT OR ANY CHANGE WHATSOEVER, AND MUST BE GUARANTEED BY A
BANK, OTHER THAN A SAVINGS BANK, OR BY A TRUST COMPANY OR BY A FIRM HAVING
MEMBERSHIP ON A REGISTERED NATIONAL SECURITIES EXCHANGE.

                                       17EX-4.5

                                     FORM OF

                                WARRANT AGREEMENT

        This Warrant Agreement (this "Agreement") made as of _________ __, 2006,
by and between Media &  Entertainment  Holdings,  Inc., a Delaware  corporation,
with offices at 4429 Edmondson  Avenue,  Dallas,  Texas 75205  ("Company"),  and
Continental Stock Transfer & Trust Company, a New York corporation, with offices
at 17 Battery Place, New York, New York 10004 ("Warrant Agent").

        WHEREAS, the Company is engaged in a public offering ("Public Offering")
of Units  ("Units")  and, in connection  therewith,  has determined to issue and
deliver up to 10,350,000  warrants ("Public  Warrants") to the public investors,
each of such  Public  Warrants  evidencing  the right of the  holder  thereof to
purchase one share of common stock, par value $.0001 per share, of the Company's
Common Stock  ("Common  Stock") for $5.00,  subject to  adjustment  as described
herein; and

        WHEREAS,  the Company has  determined to issue and deliver up to 900,000
warrants ("Underwriters' Warrants") to Lazard Capital Markets LLC ("Lazard") and
Ladenburg Thalmann & Co. Inc. ("Ladenburg" and together being referred to herein
as the  "Co-Representatives")  or their  designees,  each of such  Underwriters'
Warrants  evidencing  the right of the holder  thereof to purchase  one share of
Common  Stock  for  $7.50,  subject  to  adjustment  as  described  herein  (the
Underwriters'  Warrants  together with the Public  Warrants,  being  referred to
herein as the "Warrants"),

        WHEREAS,  the  Company  has  filed  with  the  Securities  and  Exchange
Commission a Registration  Statement,  No. 333-128218 on Form S-1 ("Registration
Statement")  for the  registration  under the Securities Act of 1933, as amended
("Act") of, among other  securities,  the Warrants and the Common Stock issuable
upon exercise of the Warrants; and

        WHEREAS,  the Company  desires the Warrant Agent to act on behalf of the
Company,  and the  Warrant  Agent is willing to so act, in  connection  with the
issuance,  registration,  transfer,  exchange,  redemption  and  exercise of the
Warrants; and

        WHEREAS,  the Company  desires to provide for the form and provisions of
the Warrants,  the terms upon which they shall be issued and exercised,  and the
respective  rights,  limitation of rights,  and  immunities of the Company,  the
Warrant Agent, and the holders of the Warrants; and

        WHEREAS,  all acts and  things  have been done and  performed  which are
necessary  to make the  Warrants,  when  executed  on behalf of the  Company and
countersigned  by or on behalf of the Warrant  Agent,  as provided  herein,  the
valid,  binding and legal  obligations  of the  Company,  and to  authorize  the
execution and delivery of this Agreement.

        NOW,  THEREFORE,  in  consideration  of  the  mutual  agreements  herein
contained, the parties hereto agree as follows:

1.      APPOINTMENT  OF WARRANT AGENT.  The Company hereby  appoints the Warrant
Agent to act as agent for the Company for the  Warrants,  and the Warrant  Agent
hereby accepts such

<PAGE>

appointment and agrees to perform the same in accordance with the terms and
conditions set forth in this Agreement.

2.      WARRANTS.

        2.1     FORM OF WARRANT. Each Public Warrant and Underwriters'  Warrants
shall be issued in registered form only, shall be in substantially  the forms of
Exhibit A and  Exhibit  B  hereto,  respectively,  the  provisions  of which are
incorporated  herein and shall be signed by, or bear the facsimile signature of,
the Chairman of the Board or Chief Executive Officer and Treasurer, Secretary or
Assistant  Secretary of the Company and shall bear a facsimile of the  Company's
seal. In the event the person whose facsimile signature has been placed upon any
Warrant  shall have ceased to serve in the capacity in which such person  signed
the Warrant before such Warrant is issued, it may be issued with the same effect
as if he or she had not ceased to be such at the date of issuance.

        2.2     EFFECT OF  COUNTERSIGNATURE.  Unless and until  countersigned by
the Warrant Agent pursuant to this Agreement,  a Warrant shall be invalid and of
no effect and may not be exercised by the holder thereof.

        2.3     REGISTRATION.

                2.3.1   WARRANT REGISTER. The Warrant Agent shall maintain books
("Warrant   Register")  for  the  registration  of  original  issuance  and  the
registration  of transfer  of the  Warrants.  Upon the  initial  issuance of the
Warrants,  the Warrant  Agent shall issue and register the Warrants in the names
of the  respective  holders  thereof  in such  denominations  and  otherwise  in
accordance with instructions delivered to the Warrant Agent by the Company.

                2.3.2   REGISTERED   HOLDER.   Prior  to  due   presentment  for
registration  of transfer of any Warrant,  the Company and the Warrant Agent may
deem and treat the person in whose name such Warrant  shall be  registered  upon
the  Warrant  Register  ("registered  holder"),  as the  absolute  owner of such
Warrant and of each Warrant represented thereby (notwithstanding any notation of
ownership or other writing on the Warrant  Certificate made by anyone other than
the Company or the Warrant Agent), for the purpose of any exercise thereof,  and
for all other  purposes,  and neither the Company nor the Warrant Agent shall be
affected by any notice to the contrary.

        2.4 DETACHABILITY OF WARRANTS.  The securities comprising the Units will
not be  separately  transferable  until 90 days after the date hereof unless the
Co-Representatives  inform  the  Company  of their  decision  to  allow  earlier
separate  trading,  but in no event will the  Co-Representatives  allow separate
trading of the  securities  comprising  the Units until (i) the Company  files a
Current Report on Form 8-K, which includes an audited  balance sheet  reflecting
the  receipt  by the  Company  of the  gross  proceeds  of the  Public  Offering
including  the  proceeds  received  by the  Company  from  the  exercise  of the
Underwriter's  over-allotment  option, if the over-allotment option is exercised
prior to the  filing of the Form 8-K and (ii) at least  five  days  have  passed
since the distribution of the Units in the Public Offering has been completed.

        2.5     PUBLIC WARRANTS AND  UNDERWRITERS'  WARRANTS.  The Underwriters'
Warrants  shall  have  the same  terms  and be in the  same  form as the  Public
Warrants.

                                       2
<PAGE>

3.      TERMS AND EXERCISE OF WARRANTS.

        3.1     WARRANT PRICE. Each Public Warrant shall, when  countersigned by
the  Warrant  Agent,  entitle  the  registered  holder  thereof,  subject to the
provisions  of such Public  Warrant and of this Warrant  Agreement,  to purchase
from the Company the number of shares of Common  Stock  stated  therein,  at the
price of $5.00 per whole share, subject to the adjustments provided in Section 4
hereof and in the last sentence of this Section 3.1. Each Underwriters'  Warrant
shall,  when  countersigned by the Warrant Agent,  entitle the registered holder
thereof,  subject to the  provisions of such  Underwriters'  Warrant and of this
Warrant  Agreement,  to purchase from the Company the number of shares of Common
Stock  stated  therein,  at the price of $7.50 per whole  share,  subject to the
adjustments  provided  in  Section  4 hereof  and in the last  sentence  of this
Section 3.1. The term "Warrant Price" as used in this Warrant  Agreement  refers
to the price  per share at which  Common  Stock may be  purchased  at the time a
Warrant is exercised.  The Company in its sole  discretion may lower the Warrant
Price at any time prior to the Expiration  Date for a period of not less than 10
business days; provided that any such reduction shall be identical in percentage
terms among all of the Warrants.

        3.2     DURATION OF WARRANTS. A Warrant may be exercised only during the
period  ("Exercise  Period")  commencing on the later of the consummation by the
Company of a merger, capital stock exchange,  asset acquisition or other similar
business  combination  ("Business  Combination") (as described more fully in the
Company's  Registration  Statement) or _________ ___,  2007, and  terminating at
5:00 p.m.,  New York City time on the earlier to occur of (i) ________ ___, 2010
or (ii) the date fixed for  redemption  of the Warrants as provided in Section 6
of this  Agreement  ("Expiration  Date").  Except  with  respect to the right to
receive the Redemption Price (as set forth in Section 6 hereunder), each Warrant
not exercised on or before the Expiration Date shall become void, and all rights
thereunder and all rights in respect thereof under this Agreement shall cease at
the close of business on the Expiration Date. The Company in its sole discretion
may extend the  duration  of the  Warrants  by  delaying  the  Expiration  Date;
provided, however, that the Company will provide notice to registered holders of
the Warrants of such extension of not less than 20 days; provided, further, that
any such extension shall be identical in duration among all of the Warrants.

        3.3     EXERCISE OF WARRANTS.

                3.3.1   PAYMENT.  Subject to the  provisions  of the Warrant and
this Warrant Agreement,  a Warrant, when countersigned by the Warrant Agent, may
be exercised by the registered  holder thereof by surrendering it, at the office
of the Warrant Agent, or at the office of its successor as Warrant Agent, in the
Borough of Manhattan, City and State of New York, with the subscription form, as
set forth in the Warrant, duly executed,  and by paying in full, in lawful money
of the United States,  in cash,  good certified check or good bank draft payable
to the order of the  Company,  the  Warrant  Price for each full share of Common
Stock as to which the Warrant is exercised and any and all applicable  taxes due
in connection with the exercise of the Warrant,  the exchange of the Warrant for
the Common Stock, and the issuance of the Common Stock.

                3.3.2   ISSUANCE OF CERTIFICATES.  As soon as practicable  after
the  exercise of any Warrant  and the  clearance  of the funds in payment of the
Warrant Price, the Company shall issue to the registered  holder of such Warrant
a certificate or  certificates  for the number of full shares

                                       3
<PAGE>

of Common Stock to which he is entitled, registered in such name or names as may
be directed by him, and if such Warrant shall not have been exercised in full, a
new  countersigned  Warrant  for the number of shares as to which  such  Warrant
shall not have been exercised.  Notwithstanding the foregoing, the Company shall
not be obligated to deliver any securities pursuant to the exercise of a Warrant
and  shall  have  no  obligation  to  settle  the  Warrant   exercise  unless  a
registration  statement  under  the Act  with  respect  to the  Common  Stock is
effective,  subject to the Company  satisfying its obligations under Section 7.4
to use its best efforts. In the event that a registration statement with respect
to the Common  Stock  underlying a Warrant is not  effective  under the Act, the
holder of such Warrant  shall not be entitled to exercise such Warrant and in no
event  (whether in the case of a registration  statement not being  effective or
otherwise) will the Company be required to net cash settle the warrant exercise.
Warrants may not be exercised by, or securities issued to, any registered holder
in any  state in which  such  exercise  would be  unlawful.  As a result  of the
provisions  of  this  Section  3.3.2,  any or all of  the  warrants  may  expire
unexercised.

                3.3.3   VALID  ISSUANCE.  All shares of Common Stock issued upon
the proper  exercise of a Warrant in  conformity  with this  Agreement  shall be
validly issued, fully paid and nonassessable.

                3.3.4   DATE OF  ISSUANCE.  Each  person in whose  name any such
certificate  for  shares of Common  Stock is issued  shall for all  purposes  be
deemed to have  become the holder of record of such  shares on the date on which
the  Warrant  was  surrendered  and  payment  of the  Warrant  Price  was  made,
irrespective  of the date of delivery of such  certificate,  except that, if the
date of such  surrender and payment is a date when the stock  transfer  books of
the Company are closed, such person shall be deemed to have become the holder of
such shares at the close of business  on the next  succeeding  date on which the
stock transfer books are open.

4.      ADJUSTMENTS.

        4.1     STOCK DIVIDENDS SPLIT UPS. If after the date hereof, and subject
to the  provisions  of Section 4.6, the number of  outstanding  shares of Common
Stock is increased by a stock dividend  payable in shares of Common Stock, or by
a split up of shares of Common  Stock,  or other  similar  event,  then,  on the
effective date of such stock dividend,  split up or similar event, the number of
shares  issuable on exercise of each Warrant shall be increased in proportion to
such increase in outstanding shares.

        4.2     AGGREGATION OF SHARES. If after the date hereof,  and subject to
the provisions of Section 4.6, the number of outstanding  shares of Common Stock
is  decreased  by  a   consolidation,   combination,   reverse  stock  split  or
reclassification  of shares of Common Stock or other similar event, then, on the
effective  date  of  such  consolidation,   combination,  reverse  stock  split,
reclassification  or similar event, the number of shares issuable on exercise of
each Warrant shall be decreased in  proportion  to such decrease in  outstanding
shares.

        4.3     ADJUSTMENTS IN EXERCISE PRICE.  Whenever the number of shares of
Common Stock  purchasable  upon the  exercise of the  Warrants is  adjusted,  as
provided in Section 4.1 and 4.2 above,  the Warrant  Price shall be adjusted (to
the nearest cent) by multiplying  such Warrant Price  immediately  prior to such
adjustment  by a  fraction  (x) the  numerator  of which  shall be the number of
shares of Common Stock purchasable upon the exercise of the Warrants immediately
prior to such  adjustment,  and (y) the denominator of which shall be the number
of shares of Common Stock so purchasable immediately thereafter.

                                       4
<PAGE>

        4.4     REPLACEMENT OF SECURITIES UPON  REORGANIZATION,  ETC. In case of
any reclassification or reorganization of the outstanding shares of Common Stock
(other than a change covered by Section 4.1 or 4.2 hereof or that solely affects
the par value of such shares of Common  Stock),  or in the case of any merger or
consolidation  of the Company  with or into  another  corporation  (other than a
consolidation  or merger in which the Company is the continuing  corporation and
that  does  not  result  in  any   reclassification  or  reorganization  of  the
outstanding shares of Common Stock), or in the case of any sale or conveyance to
another  corporation or entity of the assets or other property of the Company as
an entirety or substantially as an entirety in connection with which the Company
is dissolved,  the Warrant  holders shall  thereafter have the right to purchase
and receive,  upon the basis and upon the terms and conditions  specified in the
Warrants  and in lieu of the shares of Common  Stock of the Company  immediately
theretofore   purchasable  and  receivable  upon  the  exercise  of  the  rights
represented  thereby, the kind and amount of shares of stock or other securities
or   property   (including   cash)   receivable   upon  such   reclassification,
reorganization,  merger or  consolidation,  or upon a dissolution  following any
such sale or  transfer,  by a Warrant  holder of the  number of shares of Common
Stock of the Company obtainable upon exercise of the Warrants  immediately prior
to such event; and if any reclassification also results in a change in shares of
Common Stock covered by Section 4.1 or 4.2, then such  adjustment  shall be made
pursuant to Sections 4.1, 4.2, 4.3 and this Section 4.4. The  provisions of this
Section   4.4   shall   similarly   apply   to   successive   reclassifications,
reorganizations, mergers or consolidations, sales or other transfers.

        4.5     NOTICES OF  CHANGES IN  WARRANT.  Upon every  adjustment  of the
Warrant  Price or the number of shares  issuable on  exercise of a Warrant,  the
Company shall give written  notice  thereof to the Warrant  Agent,  which notice
shall state the Warrant Price resulting from such adjustment and the increase or
decrease,  if any,  in the number of shares  purchasable  at such price upon the
exercise  of a  Warrant,  setting  forth in  reasonable  detail  the  method  of
calculation  and the facts  upon  which  such  calculation  is  based.  Upon the
occurrence of any event specified in Sections 4.1, 4.2, 4.3 or 4.4, then, in any
such event, the Company shall give written notice to the Warrant holder,  at the
last  address set forth for such holder in the warrant  register,  of the record
date or the  effective  date of the event.  Failure to give such notice,  or any
defect therein, shall not affect the legality or validity of such event.

        4.6     NO FRACTIONAL SHARES. Notwithstanding any provision contained in
this Warrant  Agreement to the contrary,  the Company shall not issue fractional
shares upon exercise of Warrants.  If, by reason of any adjustment made pursuant
to this  Section  4, the  holder  of any  Warrant  would be  entitled,  upon the
exercise of such  Warrant,  to receive a  fractional  interest  in a share,  the
Company  shall,  upon such  exercise,  round up to the nearest  whole number the
number of the shares of Common Stock to be issued to the Warrant holder.

        4.7     FORM OF WARRANT.  The forms of Public Warrant and  Underwriters'
Warrant need not be changed  because of any adjustment  pursuant to this Section
4, and Warrants  issued after such  adjustment  may state the same Warrant Price
and the same  number of shares as is  stated in the  Warrants  initially  issued
pursuant  to this  Agreement.  However,  the Company may at any time in its sole
discretion  make any change in the form of  Warrant  that the  Company  may deem
appropriate  and that does not affect the  substance  thereof,  and any  Warrant
thereafter issued or

                                       5
<PAGE>

countersigned, whether in exchange or substitution for an outstanding Warrant or
otherwise, may be in the form as so changed.

        4.8     NOTICE OF CERTAIN  TRANSACTIONS.  In the event that the  Company
shall  propose to (a) offer the holders of its Common  Stock rights to subscribe
for or to purchase  any  securities  convertible  into shares of Common Stock or
shares of stock of any class or any other  securities,  rights or  options,  (b)
issue any rights,  options or warrants  entitling the holders of Common Stock to
subscribe  for  shares of Common  Stock or (c) make a tender  offer or  exchange
offer with respect to the Common  Stock,  the Company  shall send to the Warrant
holders a notice of such proposed  action or offer.  Such notice shall be mailed
to the  registered  holders at their  addresses  as they  appear in the  Warrant
Register, which shall specify the record date for the purposes of such dividend,
distribution or rights,  or the date such issuance or event is to take place and
the date of  participation  therein by the holders of Common Stock,  if any such
date is to be fixed, and shall briefly indicate the effect of such action on the
Common  Stock and on the  number  and kind of any  other  shares of stock and on
other  property,  if any,  and the  number of  shares of Common  Stock and other
property,  if any,  issuable upon exercise of each Warrant and the Warrant Price
after giving effect to any adjustment  pursuant to this Article 4 which would be
required as a result of such  action.  Such notice shall be given as promptly as
practicable  after the Board of  Directors  of the  Company  (the  "Board")  has
determined to take any such action and (x) in the case of any action  covered by
clause  (a) or (b)  above  at  least  10  days  prior  to the  record  date  for
determining  the holders of the Common  Stock for purposes of such action or (y)
in the case of any other  such  action at least 20 days prior to the date of the
taking of such  proposed  action  or the date of  participation  therein  by the
holders of Common Stock, whichever shall be the earlier.

        4.9     OTHER  EVENTS.  If any event  occurs  as to which the  foregoing
rovisions  of this  Article  4 are not  strictly  applicable  or,  if  strictly
applicable,  would not,  in the good  faith  judgment  of the Board,  fairly and
adequately protect the purchase rights of the registered holders of the Warrants
in accordance with the essential intent and principles of such provisions,  then
the Board shall make such adjustments in the application of such provisions,  in
accordance  with such essential  intent and  principles,  as shall be reasonably
necessary,  in the good faith  opinion of the Board,  to protect  such  purchase
rights as aforesaid.

5.      TRANSFER AND EXCHANGE OF WARRANTS.

        5.1     REGISTRATION  OF TRANSFER.  The Warrant Agent shall register the
transfer,  from  time to time,  of any  outstanding  Warrant  upon  the  Warrant
Register,  upon surrender of such Warrant for transfer,  properly  endorsed with
signatures properly  guaranteed and accompanied by appropriate  instructions for
transfer.  Upon any such transfer, a new Warrant representing an equal aggregate
number of Warrants shall be issued and the old Warrant shall be cancelled by the
Warrant Agent. The Warrants so cancelled shall be delivered by the Warrant Agent
to the Company from time to time upon request.

        5.2     PROCEDURE FOR SURRENDER OF WARRANTS. Warrants may be surrendered
to the Warrant Agent,  together with a written request for exchange or transfer,
and thereupon the Warrant Agent shall issue in exchange therefor one or more new
Warrants as requested by the registered  holder of the Warrants so  surrendered,
representing an equal aggregate number of Warrants;  provided,  however, that in
the event that a Warrant  surrendered  for transfer bears a

                                       6
<PAGE>

restrictive  legend,  the Warrant  Agent shall not cancel such Warrant and issue
new  Warrants  in exchange  therefor  until the  Warrant  Agent has  received an
opinion of counsel for the Company  stating  that such  transfer may be made and
indicating whether the new Warrants must also bear a restrictive legend.

        5.3     FRACTIONAL WARRANTS.  The Warrant Agent shall not be required to
effect any  registration  of  transfer  or  exchange  which  will  result in the
issuance of a warrant certificate for a fraction of a warrant.

        5.4     SERVICE  CHARGES.  No  service  charge  shall  be  made  for any
exchange or registration of transfer of Warrants.

        5.5     WARRANT  EXECUTION  AND  COUNTERSIGNATURE.  The Warrant Agent is
hereby authorized to countersign and to deliver, in accordance with the terms of
this Agreement, the Warrants required to be issued pursuant to the provisions of
this Section 5, and the Company,  whenever  required by the Warrant Agent,  will
supply the Warrant  Agent with  Warrants  duly executed on behalf of the Company
for such purpose.

6.      REDEMPTION.

        6.1     REDEMPTION.  Subject to Section 6.4 hereof, not less than all of
the outstanding  Warrants may be redeemed,  at the option of the Company, at any
time after they become exercisable and prior to their expiration,  at the office
of the Warrant Agent,  upon the notice  referred to in Section 6.2, at the price
of $.01 per Warrant ("Redemption Price"),  provided that the last sales price of
the Common Stock has been equal to or greater than $11.50 per share,  on each of
twenty (20) trading days within any thirty (30) trading day period ending on the
third business day prior to the date on which notice of redemption is given. The
provisions of this Section 6.1 may not be modified,  amended or deleted  without
the prior written consent of the Co-Representatives.

        6.2     DATE FIXED FOR,  AND  NOTICE  OF,  REDEMPTION.  In the event the
Company shall elect to redeem all of the Warrants,  the Company shall fix a date
for the  redemption.  Notice of redemption  shall be mailed by first class mail,
postage  prepaid,  by the  Company not less than 30 days prior to the date fixed
for redemption to the registered holders of the Warrants to be redeemed at their
last addresses as they shall appear on the registration books. Any notice mailed
in the manner herein provided shall be  conclusively  presumed to have been duly
given whether or not the registered holder received such notice.

        6.3     EXERCISE  AFTER  NOTICE  OF  REDEMPTION.  The  Warrants  may  be
exercised,  for cash or on a "cashless  basis",  in accordance with Section 3 of
this  Agreement at any time after notice of redemption  shall have been given by
the Company  pursuant to Section 6.2 hereof and prior to the time and date fixed
for  redemption.  On and after the  redemption  date,  the record  holder of the
Warrants shall have no further  rights except to receive,  upon surrender of the
Warrants, the Redemption Price.

        6.4     OUTSTANDING  WARRANTS  ONLY.  The Company  understands  that the
redemption  rights  provided  for by this  Section 6 apply  only to  outstanding
Warrants.  To the  extent a person  holds  rights  to  purchase  Warrants,  such
purchase rights shall not be extinguished by redemption.

                                       7
<PAGE>

However,  once such purchase  rights are  exercised,  the Company may redeem the
Warrants issued upon such exercise  provided that the criteria for redemption is
met,  including  the  opportunity  of the Warrant  holder to  exercise  prior to
redemption  pursuant to Section 6.3. The  provisions of this Section 6.4 may not
be  modified,  amended  or  deleted  without  the prior  written  consent of the
Co-Representatives.

7.      OTHER PROVISIONS RELATING TO RIGHTS OF HOLDERS OF WARRANTS.

        7.1     NO  RIGHTS  AS  STOCKHOLDER.  A  Warrant  does not  entitle  the
registered  holder thereof to any of the rights of a stockholder of the Company,
including,  without  limitation,  the  right  to  receive  dividends,  or  other
distributions,  exercise  any  preemptive  rights  to vote or to  consent  or to
receive notice as stockholders in respect of the meetings of stockholders or the
election of directors of the Company or any other matter.

        7.2     LOST, STOLEN,  MUTILATED,  OR DESTROYED WARRANTS. If any Warrant
is lost, stolen,  mutilated, or destroyed, the Company and the Warrant Agent may
on such  terms as to  indemnity  or  otherwise  as they may in their  discretion
impose (which shall, in the case of a mutilated  Warrant,  include the surrender
thereof),  issue a new  Warrant  of like  denomination,  tenor,  and date as the
Warrant so lost,  stolen,  mutilated,  or destroyed.  Any such new Warrant shall
constitute a substitute  contractual  obligation of the Company,  whether or not
the allegedly lost, stolen, mutilated, or destroyed Warrant shall be at any time
enforceable by anyone.

        7.3     RESERVATION  OF COMMON  STOCK.  The  Company  shall at all times
reserve and keep  available a number of its  authorized  but unissued  shares of
Common  Stock  that will be  sufficient  to permit the  exercise  in full of all
outstanding Warrants issued pursuant to this Agreement.

        7.4     REGISTRATION  OF COMMON STOCK.  The Company agrees that prior to
the  commencement  of the  Exercise  Period,  it shall use its best  efforts  to
prepare and file with the  Securities and Exchange  Commission a  post-effective
amendment to the Registration Statement,  or a new registration  statement,  for
the registration, under the Act, of, and it shall use its best efforts take such
action  as is  necessary  to  qualify  for  sale,  in those  states in which the
Warrants  were  initially  offered by the Company and the Common Stock  issuable
upon  exercise of the  Warrants.  In either case,  the Company will use its best
efforts to cause the same to become effective on or prior to the commencement of
the Exercise  Period and use its best efforts to maintain the  effectiveness  of
such  registration  statement until the expiration of the Warrants in accordance
with the provisions of this Agreement; provided, however, that the Company shall
not be obligated to deliver  securities and shall not have penalties for failure
to deliver securities,  if a registration statement is not effective at the time
of  exercise  by the  holder.  The  provisions  of this  Section  7.4 may not be
modified,   amended  or  deleted  without  the  prior  written  consent  of  the
Co-Representatives.

8.      CONCERNING THE WARRANT AGENT AND OTHER MATTERS.

        8.1     PAYMENT OF TAXES.  The Company  will from time to time  promptly
pay all taxes and  charges  that may be imposed  upon the Company or the Warrant
Agent in respect of the  issuance or delivery of shares of Common Stock upon the
exercise of Warrants, but the Company shall not be obligated to pay any transfer
taxes in respect of the Warrants or such shares.

                                       8
<PAGE>

        8.2     RESIGNATION, CONSOLIDATION, OR MERGER OF WARRANT AGENT.

                8.2.1   APPOINTMENT  OF  SUCCESSOR  WARRANT  AGENT.  The Warrant
Agent, or any successor to it hereafter appointed,  may resign its duties and be
discharged from all further duties and liabilities  hereunder after giving sixty
(60) days' notice in writing to the Company.  If the office of the Warrant Agent
becomes  vacant by  resignation  or incapacity to act or otherwise,  the Company
shall  appoint  in writing a  successor  Warrant  Agent in place of the  Warrant
Agent. If the Company shall fail to make such appointment  within a period of 30
days after it has been notified in writing of such  resignation or incapacity by
the Warrant Agent or by the holder of the Warrant (who shall,  with such notice,
submit  his  Warrant  for  inspection  by the  Company),  then the holder of any
Warrant may apply to the  Supreme  Court of the State of New York for the County
of New York for the  appointment  of a successor  Warrant Agent at the Company's
cost.. Any successor Warrant Agent,  whether appointed by the Company or by such
court, shall be a corporation organized and existing under the laws of the State
of New York, in good standing and having its principal  office in the Borough of
Manhattan,  City and  State of New  York,  and  authorized  under  such  laws to
exercise  corporate  trust powers and subject to  supervision  or examination by
federal or state authority. After appointment, any successor Warrant Agent shall
be vested  with all the  authority,  powers,  rights,  immunities,  duties,  and
obligations of its  predecessor  Warrant Agent with like effect as if originally
named as Warrant Agent  hereunder,  without any further act or deed;  but if for
any reason it becomes  necessary or appropriate,  the predecessor  Warrant Agent
shall  execute  and  deliver,  at the  expense  of the  Company,  an  instrument
transferring  to such  successor  Warrant Agent all the authority,  powers,  and
rights of such  predecessor  Warrant  Agent  hereunder;  and upon request of any
successor  Warrant  Agent the Company  shall  make,  execute,  acknowledge,  and
deliver  any and all  instruments  in  writing  for more  fully and  effectually
vesting in and  confirming to such successor  Warrant Agent all such  authority,
powers, rights, immunities, duties, and obligations.

                8.2.2   NOTICE  OF  SUCCESSOR  WARRANT  AGENT.  In the  event  a
successor  Warrant  Agent  shall be  appointed,  the  Company  shall give notice
thereof to the  predecessor  Warrant Agent and the transfer agent for the Common
Stock not later than the effective date of any such appointment.

                8.2.3   MERGER  OR   CONSOLIDATION   OF   WARRANT   AGENT.   Any
corporation  into which the Warrant  Agent may be merged or with which it may be
consolidated or any corporation  resulting from any merger or  consolidation  to
which the Warrant  Agent shall be a party shall be the  successor  Warrant Agent
under this Agreement without any further act.

        8.3     FEES AND EXPENSES OF WARRANT AGENT.

                8.3.1   REMUNERATION.  The  Company  agrees  to pay the  Warrant
Agent  reasonable  remuneration for its services as such Warrant Agent hereunder
and will reimburse the Warrant Agent upon demand for all  expenditures  that the
Warrant Agent may reasonably incur in the execution of its duties hereunder.

                8.3.2   FURTHER  ASSURANCES.  The  Company  agrees  to  perform,
execute,   acknowledge,  and  deliver  or  cause  to  be  performed,   executed,
acknowledged,  and delivered all such further and other acts,  instruments,  and
assurances  as may  reasonably be required by the Warrant Agent for the carrying
out or performing of the provisions of this Agreement.

                                       9
<PAGE>

        8.4     LIABILITY OF WARRANT AGENT.

                8.4.1   RELIANCE   ON  COMPANY   STATEMENT.   Whenever   in  the
performance of its duties under this Warrant Agreement,  the Warrant Agent shall
deem it necessary or desirable  that any fact or matter be proved or established
by the Company prior to taking or suffering any action  hereunder,  such fact or
matter  (unless  other  evidence  in  respect  thereof  be  herein  specifically
prescribed)  may be  deemed  to be  conclusively  proved  and  established  by a
statement  signed by the  President  or Chairman of the Board of the Company and
delivered to the Warrant  Agent.  The Warrant Agent may rely upon such statement
for any action taken or suffered in good faith by it pursuant to the  provisions
of this Agreement.

                8.4.2   INDEMNITY.  The Warrant Agent shall be liable  hereunder
only for its own negligence, willful misconduct or bad faith. The Company agrees
to  indemnify  the  Warrant  Agent  and  save it  harmless  against  any and all
liabilities,  including  judgments,  costs  and  reasonable  counsel  fees,  for
anything done or omitted by the Warrant Agent in the execution of this Agreement
except as a result of the Warrant Agent's negligence, willful misconduct, or bad
faith.

                8.4.3   EXCLUSIONS.    The   Warrant   Agent   shall   have   no
responsibility with respect to the validity of this Agreement or with respect to
the validity or execution of any Warrant (except its countersignature  thereof);
nor shall it be  responsible  for any breach by the  Company of any  covenant or
condition  contained  in this  Agreement  or in any  Warrant;  nor  shall  it be
responsible to make any  adjustments  required under the provisions of Section 4
hereof or responsible for the manner,  method,  or amount of any such adjustment
or the  ascertaining  of the  existence  of facts  that would  require  any such
adjustment;   nor  shall  it  by  any  act  hereunder  be  deemed  to  make  any
representation  or warranty as to the authorization or reservation of any shares
of Common Stock to be issued  pursuant to this Agreement or any Warrant or as to
whether any shares of Common  Stock will when issued be valid and fully paid and
nonassessable.

        8.5     ACCEPTANCE  OF AGENCY.  The  Warrant  Agent  hereby  accepts the
agency  established  by this  Agreement  and agrees to perform the same upon the
terms and  conditions  herein set forth and among other  things,  shall  account
promptly to the Company  with  respect to Warrants  exercised  and  concurrently
account for, and pay to the Company,  all moneys  received by the Warrant  Agent
for the purchase of shares of the Company's Common Stock through the exercise of
Warrants.

9.      MISCELLANEOUS PROVISIONS.

        9.1     SUCCESSORS.  All the covenants and  provisions of this Agreement
by or for the benefit of the  Company or the Warrant  Agent shall bind and inure
to the benefit of their respective successors and assigns.

        9.2     NOTICES.  Any notice,  statement  or demand  authorized  by this
Warrant  Agreement to be given or made by the Warrant  Agent or by the holder of
any Warrant to or on the Company shall be  sufficiently  given when so delivered
if by hand or overnight delivery or if sent by certified mail or private courier
service  five days after  deposit of such  notice,  postage  prepaid,

                                       10
<PAGE>

addressed  (until  another  address is filed in writing by the Company  with the
Warrant Agent), as follows:

                                  Media & Entertainment Holdings, Inc.
                                         4429 Edmondson Avenue
                                          Dallas, Texas 75205
                          Attn: Herbert A. Granath, Chairman of the Board and
                                        Chief Executive Officer

Any notice, statement or demand authorized by this Agreement to be given or made
by the holder of any Warrant or by the Company to or on the Warrant  Agent shall
be sufficiently  given when so delivered if by hand or overnight  delivery or if
sent by certified  mail or private  courier  service five days after  deposit of
such notice,  postage  prepaid,  addressed  (until  another  address is filed in
writing by the Warrant Agent with the Company), as follows:

                                    Continental Stock Transfer & Trust Company
                                                 17 Battery Place
                                             New York, New York 10004
                                            Attn: Compliance Department

with a copy in each case to:

                                              Greenberg Traurig, LLP
                                                 MetLife Building
                                                  200 Park Avenue
                                             New York, New York 10166
                                             Attn: Alan I. Annex, Esq.
                                               Robert H. Cohen, Esq.

and

                                   Kirkpatrick and Lockhart Nicholson Graham LLP
                                               599 Lexington Avenue
                                             New York, New York 10022
                                           Attn: Robert S. Matlin, Esq.

and

                                            Lazard Capital Markets LLC
                                               30 Rockefeller Plaza
                                             New York, New York 10112
                                             Attention: Robert Lagay

and

                                           Ladenburg Thalmann & Co. Inc.
                                               153 East 53rd Street
                                             New York, New York 10022
                                                Attn: Peter H. Blum

                9.3     APPLICABLE  LAW.  The  validity,   interpretation,   and
performance  of this  Agreement  and of the  Warrants  shall be  governed in all
respects by the laws of the State of New York, without giving effect to conflict
of laws. The Company hereby agrees that any action,  proceeding or claim against
it arising out of or relating in any way to this Agreement  shall be brought and
enforced  in the courts of the State of New York or the United  States  District
Court for the Southern  District of New York,  and  irrevocably  submits to such
jurisdiction,  which

                                       11
<PAGE>

jurisdiction shall be exclusive. The Company hereby waives any objection to such
exclusive  jurisdiction and that such courts  represent an inconvenience  forum.
Any such  process  or  summons to be served  upon the  Company  may be served by
transmitting  a copy thereof by registered  or certified  mail,  return  receipt
requested,  postage prepaid, addressed to it at the address set forth in Section
9.2 hereof. Such mailing shall be deemed personal service and shall be legal and
binding upon the Company in any action, proceeding or claim.

        9.4  PERSONS  HAVING  RIGHTS  UNDER  THIS  AGREEMENT.  Nothing  in  this
Agreement  expressed and nothing that may be implied from any of the  provisions
hereof is  intended,  or shall be  construed,  to confer  upon,  or give to, any
person or corporation  other than the parties hereto and the registered  holders
of the Warrants  and, for the purposes of Sections  2.5,  6.1, 6.4, 7.4, 9.2 and
9.8 hereof,  the  Co-Representatives,  any right,  remedy,  or claim under or by
reason of this Warrant  Agreement or of any  covenant,  condition,  stipulation,
promise, or agreement hereof. The  Co-Representatives  shall be deemed to be the
third-party  beneficiaries  of this Agreement with respect to Sections 2.5, 6.1,
6.4, 7.4, 9.2 and 9.8 hereof. All covenants, conditions, stipulations, promises,
and  agreements  contained in this Warrant  Agreement  shall be for the sole and
exclusive benefit of the parties hereto (and the Co-Representatives with respect
to the Sections 2.5, 6.1, 6.4, 7.4, 9.2 and 9.8 hereof) and their successors and
assigns and of the registered holders of the Warrants.

        9.5     EXAMINATION OF THE WARRANT  AGREEMENT.  A copy of this Agreement
shall be available at all reasonable times at the office of the Warrant Agent in
the Borough of  Manhattan,  City and State of New York,  for  inspection  by the
registered holder of any Warrant.  The Warrant Agent may require any such holder
to submit his Warrant for inspection by it.

        9.6     COUNTERPARTS.  This  Agreement  may be executed in any number of
counterparts and each of such  counterparts  shall for all purposes be deemed to
be an original,  and all such counterparts shall together constitute but one and
the same instrument.

        9.7     EFFECT  OF  HEADINGS.   The  Section  headings  herein  are  for
convenience only and are not part of this Warrant Agreement and shall not affect
the interpretation thereof.

        9.8     AMENDMENTS.  This Agreement may be amended by the parties hereto
without  the  consent of any  registered  holder  for the  purpose of curing any
ambiguity,  or of curing,  correcting or supplementing  any defective  provision
contained  herein or adding or changing  any other  provisions  with  respect to
matters or  questions  arising  under this  Agreement  as the  parties  may deem
necessary or desirable and that the parties deem shall not adversely  affect the
interest of the  registered  holders.  All other  modifications  or  amendments,
including  any  amendment to increase the Warrant  Price or shorten the Exercise
Period, shall require the written consent of each of the  Co-Representatives and
the  registered  holders  of  a  majority  of  the  then  outstanding  Warrants.
Notwithstanding the foregoing, the Company may lower the Warrant Price or extend
the duration of the Exercise  Period in  accordance  with  Sections 3.1 and 3.2,
respectively, without such consent.

        9.9     SEVERABILITY.  This Agreement shall be deemed severable, and the
invalidity or  unenforceability of any term or provision hereof shall not affect
the  validity  or  enforceability  of this  Agreement  or of any  other  term or
provision hereof. Furthermore, in lieu of any such invalid or unenforceable term
or provision,  the parties  hereto intend that there shall be added as a part of

                                       12
<PAGE>

this Agreement a provision as similar in terms to such invalid or  unenforceable
provision as may be possible and be valid and enforceable.

        IN WITNESS WHEREOF, this Agreement has been duly executed by the parties
hereto as of the day and year first above written.

Attest:                             MEDIA & ENTERTAINMENT HOLDINGS, INC.

                                    By:___________________________________
--------
                                       Herbert A. Granath, Chairman of the Board
                                       and Chief Executive Officer

Attest:                             CONTINENTAL STOCK TRANSFER & TRUST COMPANY

                                    By:____________________________________
--------
                                       Steven G. Nelson, Chairman of the Board

                                       13

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