Document:

Exhibit
      10.2

    SECURITY
      AGREEMENT 

     

    THIS
      SECURITY AGREEMENT (this
      “Agreement”)
      is
      made as of the 24th day of August, 2007, by LOGISTICAL
      SUPPORT, LLC.,
      a Utah
      corporation, having a mailing address at 19734 Dearborn Street, Chatsworth,
      California 91311 (“Debtor”)
      for
      the benefit and security of DUTCHESS
      PRIVATE EQUITIES FUND, LTD.,
      having
      a mailing address at 50 Commonwealth Avenue, Suite 2, Boston, Massachusetts
      02116 (the “Secured
      Party”).
      

     

    WHEREAS,
      Debtor has executed and delivered to Secured Party one or more promissory notes
      or other debentures or instruments, including, without limitation, that certain
      Purchase Order Financing Agreement (as amended or otherwise modified from time
      to time, the “Finance
      Agreement”)
      of
      even date herewith between Debtor and Secured Party (collectively with the
      Finance Agreement, the “Loan”)
      pursuant to which the Secured Party has agreed to make certain loans and other
      financial accommodations to Debtor; and 

     

    WHEREAS,
      the obligations of Debtor under the Loan are to be secured pursuant to this
      Agreement; 

     

    NOW,
      THEREFORE, for and in consideration of any loan, advance or other financial
      accommodation heretofore or hereafter made to or for the benefit of Debtor
      under
      or in connection with the Loan or any other Finance Documents (as defined
      below), and for other good and valuable consideration, the receipt and
      sufficiency of which are hereby acknowledged, the parties hereto agree as
      follows: 

     

    ARTICLE
      I

     

    CONSTRUCTION
      AND DEFINED TERMS

     

    1.01 Article
      and Section Headings.
      Article
      and Section headings and captions in this Agreement are for convenience only
      and
      shall not affect the construction or interpretation of this Agreement. Unless
      otherwise expressly stated in this Agreement, references In this Agreement
      to
      Sections shall be read as Sections of this Agreement. 

     

    1.02 Schedules
      and Exhibits.
      The
      references in this Agreement to specific Schedules and Exhibits shall be read
      as
      references to such specific Schedules or Exhibits attached, or intended to
      be
      attached, to this Agreement and any counterpart of this Agreement and regardless
      of whether they are in fact attached to this Agreement, and including any
      amendments, supplements and replacements to such Schedules and Exhibits from
      time to time. 

     

    1.03 Defined
      Terms.
      Unless
      otherwise expressly stated in this Agreement, (a) capitalized terms which are
      not otherwise defined herein shall have the respective meanings assigned thereto
      in the UCC (as defined below); and (b) the following terms used in this
      Agreement shall have the following meanings: 

     

    “Collateral”
means,
      with respect to Debtor, all property and rights of Debtor in which a security
      interest is granted hereunder. 

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    “Finance
      Documents”
mean,
      collectively, the Loan, the Finance Agreement and any other documents or
      agreements executed in connection therewith or herewith and pertaining to the
      Secured Obligations. 

     

    “Lien”
Any
      security interest (including security interest within the definition of
“security interest” in the UCC), encumbrance, lien (including any judgment lien,
      any contract lien, any lien arising or resulting from nonpayment of any tax,
      assessment, charge or other imposition, and any lien arising or resulting from
      nonpayment for labor, materials, or supplies), security agreement (including
      any
      agreement that creates or provides for a security interest), deed of trust,
      mortgage, grant, pledge, assignment, hypothecation, title retention contract,
      or
      other arrangement for security purposes, and any agricultural lien (including
      any agricultural lien within the definition of “agricultural lien” in the UCC),
      and including any of the foregoing arising by operation of statute or other
      law
      or the application of equitable principles, whether perfected or unperfected,
      avoidable or unavoidable, consensual or nonconsensual, and any financing
      statement or other similar notice document, whether or not filed, and any
      agreement to give a financing statement or other similar notice document.

     

    “Lien
      Proceeding”
Any
      action taken (including self help) or proceeding (judicial or otherwise)
      commenced by any Person other than Secured Party for the purpose of enforcing
      or
      protecting any actual or alleged Lien upon any of the Collateral, and including
      any foreclosure, repossession, attachment, execution or other process regarding
      any of the Collateral. 

     

    “Permitted
      Lien”
means
      Liens in favor of the following: Commerce Funding Corporation, Vienna, VA,
      Filing # 0325560441 - original & 04170C0256 & 067086324369; Triumph
      Engineered Solutions, Inc., Tempe, AZ, Filing # 067078634849; Triumph
      Components-Arizona, Inc., Tempe, AZ, Filing # 0420860985; Triumph
      Components-Arizona, Inc., Tempe AZ Triumph Engineered Solutions, Inc., Tempe,
      AZ, Filing # 0470073903; Great America Leasing Corporation, Cedar Rapids, IA,
      Filing # 057026724447; CNC Associates, Inc., Oxnard, CA, Filing # 077111580070
      & 067088954441; US Bancorp, Minneapolis, MN, Filing # 057053494805.
      Permitted Lien shall also mean any Liens that are incurred through the normal
      course of business for new equipment. 

     

    “Person”
Any
      natural person, corporation, limited liability company, partnership, joint
      venture, entity, association, joint-stock company, trust or unincorporated
      organization and any Governmental Authority, including any receiver,
      debtor-in-possession, trustee, custodian, conservator, or liquidator.

     

    “Secured
      Obligations”
All
      indebtedness, liabilities and obligations which are now or may at any time
      hereafter be due, owing or incurred in any manner whatsoever to Secured Party
      by
      Debtor, whether under this Agreement, the Finance Agreement or any other Finance
      Document, in each case howsoever created, arising or evidenced, whether direct
      or indirect, absolute or contingent, whether at stated maturity, by acceleration
      or otherwise (including, without limitation, the payment of interest and other
      amounts which would accrue and become due but for the filing of a petition
      in
      bankruptcy or the operation of the automatic stay under Section 362(a) of the
      Bankruptcy Code, 11 U.S.C. § 362(a)), including, without limitation, all
      charges, fees, expenses, commissions, reimbursements, premiums, indemnities
      and
      other payments related to or in respect of such obligations.

     

    
      
         

      

      
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    “UCC”
means
      the Uniform Commercial Code as in effect in the Commonwealth of Massachusetts
      on
      the date of this Agreement, as may be amended or modified from time to time
      after the date hereof; provided
      that,
      "UCC"
      shall
      also mean the Uniform Commercial Code as in effect from time to time in any
      applicable jurisdiction. 

     

    ARTICLE
      II

     

    SECURITY
      INTEREST; PERFECTION 

     

    2.01 Security
      Interest.
      To
      secure the full and timely payment, performance and satisfaction of the Secured
      Obligations, Debtor hereby collaterally assigns to Secured Party, and grants
      Secured Party a security interest in, all of the following property of Debtor,
      whether now owned or hereafter existing or acquired, regardless of where
      located: 

     

    All
      of
      Debtor’s right, title and interest in and to all property constituting parts,
      supplies and other raw materials and finished goods arising out of or in
      connection with the Orders (as defined in the Finance Agreement), including,
      without limitation, those Orders from the United States Army & Missile
      Command or such materials from Parker Aerospace and any rights of Debtor in
      and
      to such Orders in connection with any of the foregoing. Further, to the extent
      not included in the foregoing, all books and records related to the foregoing
      and all products and proceeds thereof, including insurance proceeds.

     

    2.02 Perfection
      by Filing.
      

     

    (a) Debtor
      authorizes Secured Party to file any financing statement and agrees to execute,
      in recordable form, and deliver to Secured Party any other document or
      instrument, and to cause any third party to execute and deliver to Secured
      Party
      any other document (including financing statement termination statements),
      requested by Secured Party to perfect the security interests created under
      this
      Agreement and to establish, maintain, and continue the first priority of the
      security interests created under this Agreement. 

     

    (b) Debtor
      hereby appoints Secured Party as Debtor’s attorney-in-fact, with power of
      substitution, which appointment is irrevocable and coupled with an interest,
      to
      execute in the name of Debtor, and to transmit to, or file, record, or register
      with, any Person, and at any time, any document or instrument that Secured
      Party
      may deem necessary or advisable for the purpose of creating, enforcing,
      defending, protecting, perfecting, continuing, or maintaining any security
      interest, or the perfection or priority of any security interest, created under
      this Agreement. 

     

    (c) Secured
      Party shall not be required to obtain Debtor’s consent or authorization for
      Secured Party to file, and Secured Party shall be entitled to file, with or
      without execution by Debtor (or by Secured Party as Debtor’s attorney-in-fact),
      any financing statement, amendment, or other record that Secured Party may
      be
      authorized to file in accordance with the terms of the UCC with respect to
      the
      security interests created under this Agreement. 

     

    
      
         

      

      
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    (d) Any
      financing statement or other document filed to perfect the security interests
      evidenced by this Agreement may, at Secured Party’s option, describe or indicate
      the Collateral in the manner that the Collateral is described in this Agreement,
      or as all assets of Debtor, or as all personal property of Debtor, or by any
      other description or indication of the Collateral that may be sufficient for
      a
      financing statement under the UCC. 

     

    (e) If
      prior
      to Debtor’s execution of this Agreement, Secured Party shall have filed in any
      jurisdiction, or with any governmental authority, any financing statement,
      amendment, or other document describing or indicating the Collateral, or
      containing a description or indication of all assets of Debtor or all personal
      property of Debtor comprising the Collateral, or containing any other
      description or indication of the Collateral, Debtor, by executing this
      Agreement, irrevocably (i) authorizes, ratifies, confirms, and adopts (A) each
      such previously filed financing statement, amendment or other document, and
      (B)
      the filing of each such previously filed financing statement, amendment, or
      other document, and (ii) agrees that each such previously filed financing
      statement, amendment, or other document is valid and effective as though it
      had
      been authorized by Debtor and filed with Debtor’s authorization. 

     

    ARTICLE
      III

     

    REPRESENTATIONS
      AND WARRANTIES 

     

    Debtor
      makes the following representations and warranties to Secured Party, which
      shall
      each be continuing and in effect at all times, and Secured Party shall be
      entitled to rely upon the truth, accuracy, and completeness of the following
      representations and warranties without regard to any other information that
      may
      be now or hereafter known by or disclosed to Secured Party or any of Secured
      Party’s directors, officers, employees, agents, attorneys or other advisors:

     

    3.01 Debtor’s
      Name and Identification Number.
      The
      name of Debtor set forth on the first page and the signature page of this
      Agreement is Debtor’s correct and complete legal name. The street address for
      Debtor in this Agreement is Debtor’s mailing address. Debtor's chief executive
      office and principal place of business are as set forth on Schedule 3.01 hereto
      (and Debtor has not maintained its chief executive office and principal place
      of
      business at any other location during the five (5) years preceding the date
      hereof, and each other location where Debtor maintains a place of business
      is
      also set forth on Schedule 3.01 hereto 

     

    3.02 Permitted
      Liens; Collateral.
      (a) No
      financing statement (other than Permitted Liens) covering any of Debtor’s rights
      in the Collateral is on file in any public office except for the Permitted
      Liens
      ; (b) Secured Party’s security interest in the Collateral is a first priority
      perfected security interest, subject to no Liens other than Permitted Liens;
      (c)
      Debtor is and will be the lawful owner of all Collateral, free of all liens,
      claims, security interests and encumbrances whatsoever, other than the security
      interest hereunder and Permitted Liens, with full power and authority to execute
      this Agreement and perform Debtor's obligations hereunder, and to subject the
      Collateral to the security interest hereunder and (d) all information with
      respect to the Collateral set forth in any schedule, certificate or other
      writing at any time heretofore or hereafter furnished by Debtor to the Secured
      Party is and will be true and correct in all material respects as of the date
      furnished. 

     

    
      
         

      

      
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    3.03 Authorization
      and No Conflicts.
      (a)
      Debtor is a corporation duly organized, validly existing and in good standing
      under the laws of its state of incorporation as listed on the first page of
      this
      Agreement; (b) the execution and delivery of this Agreement and the performance
      by Debtor of its obligations hereunder are within Debtor's corporate powers,
      have been duly authorized by all necessary corporate action, have received
      all
      necessary governmental approval (if any shall be required), and do not and
      will
      not contravene or conflict with any provision of law or of the articles of
      incorporation or by-laws of Debtor or of any material agreement, indenture,
      instrument or other document, or any material judgment, order or decree, which
      is binding upon Debtor; and (c) this Agreement is a legal, valid and binding
      obligation of Debtor, enforceable in accordance with its terms, except that
      the
      enforceability of this Agreement may be limited by bankruptcy, insolvency,
      fraudulent conveyance, fraudulent transfer, reorganization, moratorium or other
      similar laws now or hereafter in effect relating to creditors' rights generally
      and by general principles of equity (regardless of whether enforcement is sought
      in a proceeding in equity or at law). 

     

    ARTICLE
      IV

     

    AFFIRMATIVE
      COVENANTS 

     

    4.01 Additional
      Covenants.
      Debtor:
      

     

    (a) will,
      at
      the Secured Party’s request, at any time and from time to time, execute and
      deliver to the Secured Party such financing statements, amendments and other
      documents and do such acts as the Secured Party deems necessary in order to
      establish and maintain valid, attached and perfected first priority security
      interests in the Collateral in favor of the Secured Party, free and clear of
      all
      Liens and claims and rights of third parties whatsoever except Permitted Liens;
      Debtor hereby irrevocably authorizes the Secured Party at any time, and from
      time to time, to file in any jurisdiction any initial financing statements
      and
      amendments thereto that (i) indicate the Collateral (x) as all assets of Debtor
      or words of similar effect, regardless of whether any particular asset comprised
      in the Collateral falls within the scope of Article 9 of the UCC of the
      jurisdiction wherein such financing statement or amendment is filed, or (y)
      as
      being of an equal or lesser scope or with greater detail; 

     

    (b) will
      keep
      its records concerning the Collateral in such a manner as will enable the
      Secured Party or its designees to determine at any time the status of the
      Collateral; 

     

    (c) will
      furnish the Secured Party such information concerning Debtor and the Collateral
      as the Secured Party may from time to time reasonably request; 

     

    (d) will
      permit the Secured Party and its designees, from time to time, on reasonable
      notice and at reasonable times and intervals during normal business hours (or
      at
      any time without notice during the existence of an Event of Default) to inspect
      the Collateral and to inspect, audit and make copies of and extracts from all
      records and other papers in the possession of Debtor pertaining to the
      Collateral, and will, upon request of the Secured Party during the existence
      of
      an Event of Default, deliver to the Secured Party all of such records and
      papers; 

     

    
      
         

      

      
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    (e) will
      not
      permit to exist any Lien on any Collateral other than Permitted Liens;

     

    (f) will
      at
      all times keep the Collateral insured under policies maintained with reputable,
      financially sound insurance companies against loss, damage, theft and other
      risks to such extent as is customarily maintained by companies similarly
      situated, and cause all such policies to provide that loss thereunder shall
      be
      payable to the Secured Party as its interest may appear (it being understood
      that (A) so long as no Event of Default shall be existing, the Secured Party
      shall deliver any proceeds of such insurance which may be received by it to
      Debtor and (B) whenever an Event of Default shall be existing, the Secured
      Party
      may apply any proceeds of such insurance which may be received by it toward
      payment of the Secured Obligations, whether or not due, in such order of
      application as the Secured Party may determine), and such policies or
      certificates thereof shall, if the Secured Party so requests, be deposited
      with
      or furnished to the Secured Party; 

     

    (g) will
      promptly pay when due all license fees, registration fees, taxes, assessments
      and other charges which may be levied upon or assessed against the ownership,
      operation, possession, maintenance or use of the Collateral; 

     

    (h) will
      take
      all steps reasonably necessary to protect, preserve and maintain all of its
      rights in the Collateral; and 

     

    (i) further
      agrees to take other action reasonably requested by the Secured Party to insure
      the attachment, perfection and first priority of, and the ability of the Secured
      Party to enforce, the security interests in any and all of the Collateral
      including, without limitation, (i) executing, delivering and, where appropriate,
      filing financing statements and amendments relating thereto under the UCC,
      to
      the extent, if any, that the Debtor’s signature thereon is required therefor,
      (ii) complying with any provision of any statute, regulation or treaty of the
      United States as to any Collateral if compliance with such provision is a
      condition to attachment, perfection or priority of, or ability of the Secured
      Party to enforce, the security interests in such Collateral, (iii) obtaining
      governmental and other third party consents and approvals, including without
      limitation any consent of any licensor, lessor or other Person obligated on
      Collateral, (iv) obtaining waivers from mortgagees and landlords in form and
      substance satisfactory to the Secured Party, and (v) taking all actions required
      by the UCC in effect from time to time or by other law, as applicable in any
      relevant UCC jurisdiction, or by other law as applicable in any foreign
      jurisdiction. 

     

    4.02 Taxes,
      Assessments, Charges, and Other Impositions.
      Debtor
      shall pay and discharge promptly, on or before the date due, all taxes,
      assessments, charges, and other impositions imposed by any governmental
      authority on Debtor, or on the Collateral, relating to the ownership or use
      of
      the Collateral, or relating to any sale, lease, license or other disposition
      of
      the Collateral; provided, however, Debtor shall not be required to pay or
      discharge, or to cause to be paid or discharged, any such tax, assessment,
      charge, or other imposition so long as (a) the validity of such tax, assessment,
      charge or other imposition is being contested in good faith by Debtor by
      appropriate proceedings. 

     

    
      
         

      

      
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    4.03 Notice
      of Lien Proceeding.
      Debtor
      shall give Secured Party immediate written notice of the threat by any Person
      to
      commence any proceedings on a material portion of the Collateral or any other
      Lien Proceeding. 

     

    ARTICLE
      V

     

    NEGATIVE
      COVENANTS 

     

    Debtor
      covenants and agrees to the following: 

     

    5.01 Identity.
      Debtor
      shall not change Debtor’s name or corporate structure. If Debtor is organized
      solely under the law of a single state or the United States and as to which
      the
      state or the United States must maintain a public record showing the
      organization to have been organized, Debtor shall not organize under the laws
      of
      another jurisdiction. 

     

    5.02 Liens.
      Debtor
      shall not create, incur, assume or suffer to exist any Liens upon any Collateral
      of Debtor other than Permitted Liens. 

     

    ARTICLE
      VI

     

    EVENT
      OF DEFAULT; ENFORCEMENT OF SECURITY INTEREST 

     

    6.01 Any
      one
      or more of the following events (regardless of the reason therefor) shall
      constitute an "Event
      of Default"
      hereunder: 

     

    (a) Any
      default or event of default shall occur under the Finance Agreement or any
      other
      Finance Documents. 

     

    (b) Debtor
      shall fail or neglect to perform, keep or observe any provision of this
      Agreement or any other Finance Document and the same shall remain unremedied
      for
      a period of ten (10) days after notice is given to Debtor by the Secured Party.
      

     

    (c) The
      Secured Party shall fail to have an enforceable first priority lien on and
      security interest in the Collateral. 

     

    6.02 Right
      to Enforce Claim; Secured Party in Possession or
      Control.
      

     

    (a) Upon
      the
      occurrence of an Event of Default and during the continuance thereof, and in
      addition to such other rights and remedies as Secured Party may have under
      other
      provisions of this Agreement or any other Finance Document, or under common
      or
      statutory law, Secured Party may reduce a claim to judgment, foreclose, or
      otherwise enforce the claim, security interest, or agricultural lien by any
      available judicial procedure. 

     

    
      
         

      

      
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    (b) If
      Secured Party has possession of Collateral, (i) reasonable expenses, including
      the cost of insurance and payment of taxes or other charges, incurred in the
      custody, preservation, use, or operation of the Collateral are chargeable to
      Debtor and are secured by the Collateral, (ii) the risk of accidental loss
      or
      damage is upon Debtor to the extent of a deficiency in any effective insurance
      coverage, (iii) Secured Party shall keep the Collateral identifiable, but
      fungible Collateral may be commingled, and (iv) Secured Party may use or operate
      the Collateral (A) for the purpose of preserving the Collateral or its value,
      or
      (B) as permitted by an order of a court having competent jurisdiction, or (C)
      for the purpose of transporting the Collateral, or (D) for the purposes of
      demonstrating the use or operation of the Collateral. 

     

    6.03 Collection
      and Enforcement.
      After
      the occurrence of an Event of Default and during the continuance thereof,
      Secured Party may, without limitation,: 

     

    (a) take
      any
      Proceeds to which Secured Party is entitled under Section 9-315 of Article
      9 of
      the UCC; 

     

    (b) enforce
      the obligations of Debtor or any other Person obligated on Collateral and
      exercise the rights of Debtor with respect to the obligations of the Debtor
      or
      other Person obligated on Collateral to make payment or otherwise render
      performance to Debtor, and with respect to any property that secures the
      obligations of the Debtor or other Person obligated on the Collateral.

     

    6.04 Possession
      of Collateral.
      

     

    (a) After
      the
      occurrence of an Event of Default and during the continuance thereof, Secured
      Party may require Debtor to assemble the Collateral and make the Collateral
      available to Secured Party at a place designated by Secured Party which is
      reasonably convenient to Secured Party and Debtor. If Secured Party requires
      Debtor to assemble the Collateral and make the Collateral available to Secured
      Party, as described in the preceding sentence, Debtor shall do so promptly,
      and
      in any event within ten (10) days after Secured Party gives Debtor a notice
      requesting Debtor to assemble the Collateral and make the Collateral available
      to Secured Party at the place designated by Secured Party. Without limiting
      Secured Party’s right to designate any place which is reasonably convenient to
      Debtor for making Collateral available to Secured Party, Debtor agrees that
      any
      place designated by Secured Party and located within one hundred (100) miles
      of
      any place where Debtor stores, uses, sells, leases, licenses, or maintains
      Collateral in the ordinary course of Debtor’s business shall be conclusively
      deemed to be a place reasonably convenient to Debtor for making the Collateral
      available to Secured Party. 

     

    (b) After
      the
      occurrence of an Event of Default and during the continuance thereof, Secured
      Party may, pursuant to judicial process, or without judicial process if Secured
      Party proceeds without breach of peace, (1) take possession of the Collateral
      and, (2) without removal, render Equipment unusable and dispose of Collateral
      on
      Debtor’s premises. 

     

    
      
         

      

      
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    6.05 Disposition
      of Collateral.
      

     

    (a) After
      the
      occurrence of an Event of Default and during the continuance thereof, Secured
      Party may sell, lease, license, or otherwise dispose of any or all of the
      Collateral in its present condition or following any commercially reasonable
      preparation or processing. 

     

    (b) Secured
      Party may dispose of Collateral by public or private proceedings, by one or
      more
      contracts, as a unit or in parcels, and at any time and place and on any terms.
      

     

    (c) Secured
      Party may purchase Collateral (1) at a public disposition or (2) if the
      Collateral is of a kind that is customarily sold on a recognized market or
      the
      subject of widely distributed standard price quotations, at a private
      disposition. 

     

    (d) A
      contract for sale, lease, license, or other disposition includes the warranties
      relating to title, possession, quiet enjoyment, and the like which by operation
      of law accompany a voluntary disposition of property of the kind subject to
      the
      contract; provided, however, Secured Party may disclaim or modify such
      warranties (1) in a manner that would be effective to disclaim or modify the
      warranties in a voluntary disposition of property of the kind subject to the
      contract of disposition, or (2) by communicating to the purchaser a record
      evidencing the contract for disposition and including an express disclaimer
      or
      modification of the warranties, and provided further that a Record is sufficient
      to disclaim such warranties if such Record indicates “There is no warranty
      relating to title, possession, quiet enjoyment, or the like in this disposition”
or uses words of similar import. 

     

    (e) Prior
      to
      a disposition of Collateral, Secured Party shall give Debtor, and any other
      parties required to receive notice under Article 9 of the UCC, notification
      as
      required under Article 9 of the UCC before a sale, lease, license, or other
      disposition of Collateral. 

     

    6.06 Additional
      Provisions Regarding Sales and Other Dispositions.
      In the
      event that Secured Party shall sell or otherwise dispose of the Collateral,
      or
      any part thereof in accordance with this Agreement, the following additional
      provisions shall be applicable to such sale or other disposition: 

     

    
      
         

      

      
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    (a) Such
      sale
      or other disposition may be at public or private sale (or at any broker’s board
      or on any securities exchange) for cash, upon credit or for future delivery
      as
      Secured Party shall deem appropriate. Secured Party shall be authorized at
      any
      such sale (if Secured Party deems it advisable to do so with regard to any
      type
      or item of Collateral) to restrict the prospective bidders or purchasers to
      Persons who will represent and agree that they are purchasing the Collateral
      for
      their own use (or for their own account for investment, as applicable) and
      not
      with a view to the distribution or sale thereof, and upon consummation of any
      such sale, Secured Party shall have the right to assign, transfer and deliver
      to
      the purchaser or purchasers thereof the Collateral so sold. Each such purchaser
      at any such sale shall hold the property sold absolutely, free from any claim
      or
      right on the part of Debtor, and Debtor hereby waives (to the extent permitted
      by law) all rights of redemption, stay and appraisal which Debtor now has or
      may
      at any time in the future have under any rule of law or statute now existing
      or
      hereafter enacted. Secured Party shall give Debtor at least ten (10) days’
written notice (which Debtor agrees is reasonable notice) of Secured Party’s
      intention to make any sale of Collateral owned by Debtor. Such notice, in the
      case of a public sale, shall state the time and place for such sale and, in
      the
      case of a sale at a broker’s board or on a securities exchange, shall state the
      board or exchange at which such sale is to be made and the day on which the
      Collateral, or portion thereof, will first be offered for sale at such board
      or
      exchange. Any such public sale shall be held at such time or times within
      ordinary business hours and at such place or places as Secured Party may fix
      and
      state in the notice of such sale, and Secured Party shall not be obligated
      to
      make any sale of any Collateral if Secured Party shall determine not to do
      so,
      regardless of the fact that notice of sale of such Collateral shall have been
      given, and Secured Party may, without notice or publication, adjourn any public
      or private sale or cause the same to be adjourned from time to time by
      announcement at the time and place fixed for sale, and such sale may, without
      further notice to Debtor or anyone else, be made at the time and place to which
      the same was so adjourned. 

     

    (b) In
      case
      any sale of all or any part of the Collateral is made on credit or for future
      delivery, the Collateral so sold may be retained by Secured Party until the
      sale
      price is paid by the purchaser or purchasers thereof, but Secured Party shall
      not incur any liability in case any such purchaser or purchasers shall fail
      to
      take up and pay for Collateral so sold and, in case of any such failure, such
      of
      the Collateral may be sold again upon notice to Debtor as set forth in this
      Section. 

     

    (c) At
      any
      public sale, Secured Party may bid for or purchase, free (to the extent
      permitted by law) from any right of redemption, stay or appraisal on the part
      of
      Debtor (all said rights being also hereby waived and released to the extent
      permitted by law), the Collateral or any part thereof offered for sale and
      may
      make payment on account thereof by using any claim then due and payable to
      Secured Party from Debtor as a credit against the purchase price, and Secured
      Party may, upon compliance with the terms of sale, hold, retain and dispose
      of
      such property without further accountability to Debtor therefor. 

     

    (d) For
      purposes of any sale of Collateral in accordance with this Agreement, a written
      agreement to purchase the Collateral or any portion thereof shall be treated
      as
      a sale thereof. Secured Party shall be free to carry out such sale pursuant
      to
      such agreement, and Debtor shall not be entitled to the return of the Collateral
      or any portion thereof subject thereto, notwithstanding the fact that after
      Secured Party shall have entered into such an agreement, all Events of Default
      shall have been remedied and the Secured Obligations paid in full. 

     

    (e) Upon
      any
      sale of Collateral by Secured Party (including a sale pursuant to a power of
      sale granted by statute or under a judicial proceeding), the receipt of Secured
      Party or of the officer making the sale shall be a sufficient discharge to
      the
      purchaser or purchasers of the Collateral being sold, and such purchaser or
      purchasers shall not be obligated to see to the application of any part of
      the
      purchase money paid over to Secured Party or such officer or be answerable
      in
      any way for the misapplication thereof. 

     

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

    ARTICLE
      VII

     

    POWER
      OF ATTORNEY 

     

    7.01 Power
      of Attorney; Collections by Secured Party.
      

     

    (a) Debtor
      hereby appoints Secured Party as Debtor’s attorney-in-fact, with power of
      substitution, which appointment is irrevocable and coupled with an interest,
      to
      do each of the following in the name of Debtor or in the name of Secured Party
      or otherwise, for the use and benefit of Secured Party, but at the cost and
      expense of Debtor, and with or without notice to Debtor: (i) notify insurers
      to
      make payments directly to Secured Party, and to take control of the cash and
      non-cash Proceeds of any Collateral or insurance; (ii) renew, extend or
      compromise any of the Collateral or deal with the same as Secured Party may
      deem
      advisable; (iii) release, exchange, substitute, or surrender all or any part
      of
      the Collateral; (iv) remove from Debtor’s places of business all Collateral
      Records without cost or expense to Secured Party; (v) make such use of Debtor’s
      places of business as may be reasonably necessary to administer, control and
      collect the Collateral; (vi) repair, alter or supply the Collateral to fulfill
      in whole or in part the purchase order or similar order; (vii) demand, collect,
      give receipt for, and give renewals, extensions, discharges and releases of
      any
      of the Collateral; (viii) institute and prosecute legal and equitable
      proceedings to enforce collection of, or realize upon, any of the Collateral;
      (ix) settle, renew, extend, compromise, compound, exchange or adjust claims
      with
      respect to any of the Collateral or any legal proceedings brought with respect
      thereto; (x) indorse the name of Debtor upon any item of payment relating to
      the
      Collateral or upon any proof of claim in bankruptcy against any Collateral;
      and
      (xi) institute and prosecute legal and equitable proceedings to reclaim any
      of
      the Collateral. Secured Party agrees that it shall not exercise any power or
      authority granted under this power of attorney unless an Event of Default has
      occurred and is continuing. The foregoing power of attorney is in addition
      to
      any other power of attorney that may be granted to Secured Party under any
      Finance Document. 

     

    (b) NONE
      OF
      SECURED PARTY OR ITS AFFILIATES, OFFICERS, DIRECTORS, EMPLOYEES, AGENTS OR
      REPRESENTATIVES SHALL BE RESPONSIBLE TO DEBTOR FOR ANY ACT OR FAILURE TO ACT
      UNDER ANY POWER OF ATTORNEY OR OTHERWISE, EXCEPT IN RESPECT OF DAMAGES
      ATTRIBUTABLE SOLELY TO THEIR OWN GROSS NEGLIGENCE OR WILLFUL MISCONDUCT AS
      FINALLY DETERMINED BY A COURT OF COMPETENT JURISDICTION, NOR FOR ANY PUNITIVE,
      EXEMPLARY, INDIRECT OR CONSEQUENTIAL DAMAGES. 

     

    

    ___________
      ___________ 12 DHL BWL 

     

    
      
         

      

      
        11

        
          

        

      

      
         

      

    

    ARTICLE
      VIII

     

    GENERAL
      PROVISIONS 

     

    8.01 Remedies
      Cumulative.
      Upon
      the occurrence and during the continuance of any Event of Default, and in
      addition to such other rights and remedies as Secured Party may have under
      other
      provisions of this Agreement or any other Finance Document, Secured Party may
      exercise any one or more of its rights and remedies under common or statutory
      law. No failure or delay on the part of Secured Party in exercising any right,
      power or privilege hereunder or under any other Finance Document and no course
      of dealing between Debtor or any other Obligor or other Person and Secured
      Party
      shall operate as a waiver thereof; nor shall any single or partial exercise
      of
      any right, power or privilege hereunder or under any other Finance Document
      preclude any other or further exercise thereof or the exercise of any other
      right, power or privilege hereunder or thereunder. The rights and remedies
      provided in this Agreement are cumulative and not exclusive of any rights or
      remedies which Secured Party would otherwise have and may be exercised
      simultaneously. No notice to or demand on Debtor in any case shall entitle
      Debtor or any other obligor or any other Person to any other or further notice
      or demand in similar or other circumstances or constitute a waiver of the rights
      of Secured Party to any other or further action in any circumstances without
      notice or demand. 

     

    ARTICLE
      IX

     

    MISCELLANEOUS
      

     

    9.01 Debtor
      agrees to pay all expenses, including reasonable attorney's fees and charges
      (including time charges of attorneys who are employees of Secured Party) paid
      or
      incurred by Secured Party in endeavoring to collect the Secured Obligations
      of
      Debtor, or any part thereof, and in enforcing this Agreement against Debtor,
      and
      such obligations will themselves be Secured Obligations. 

     

    9.02 No
      delay
      on the part of Secured Party in the exercise of any right or remedy shall
      operate as a waiver thereof, and no single or partial exercise by Secured Party
      of any right or remedy shall preclude other or further exercise thereof or
      the
      exercise of any other right or remedy. 

     

    9.03 This
      Security Agreement shall remain in full force and effect until all Secured
      Obligations have been paid in full. If at any time all or any part of any
      payment theretofore applied by the Secured Party to any of the Secured
      Obligations is or must be rescinded or returned by the Secured Party for any
      reason whatsoever (including the insolvency, bankruptcy or reorganization of
      Debtor), such Secured Obligations shall, for the purposes of this Agreement,
      to
      the extent that such payment is or must be rescinded or returned, be deemed
      to
      have continued in existence, notwithstanding such application by the Secured
      Party, and this Agreement shall continue to be effective or be reinstated,
      as
      the case may be, as to such Secured Obligations, all as though such application
      by the Secured Party had not been made. 

     

    9.04 The
      rights and privileges of Secured Party hereunder shall inure to the benefit
      of
      its successors and assigns. 

     

    
      
         

      

      
        12

        
          

        

      

      
         

      

    

    9.05 Secured
      Party’s Rights to Release Obligors; etc. Secured Party may take or release other
      security, may release any party primarily or secondarily liable for any Secured
      Obligations or other indebtedness to Secured Party, may grant extensions,
      renewals or indulgences with respect to such Secured Obligations or other
      indebtedness and may apply any other security therefor held by Secured Party
      to
      the satisfaction of such Secured Obligations or other indebtedness, all without
      prejudice to any of Secured Party’s rights under this Agreement. 

     

    9.06 Notices.
      Any
      notices, consents, waivers or other communications required or permitted to
      be
      given under the terms of this Agreement must be in writing and will be deemed
      to
      have been delivered (i) upon delivery, when delivered personally; (ii) upon
      receipt, when sent by facsimile (provided a confirmation of transmission is
      mechanically or electronically generated and kept on file by the sending party);
      or (iii) one (1) day after deposit with a nationally recognized overnight
      delivery service, so long as it is properly addressed. The addresses and
      facsimile numbers for such communications shall be: 

     

    
      	
              If
                to Debtor:

               

              Logistical
                Support, LLC.

              19734
                Dearborn St

              Chatsworth,
                CA 91311

              Phone: 818-885-0300

              Facsimile: 210-341-2011

               

            	 
	
              If
                to the Secured Party:

               

              Dutchess
                Capital Management, LLC

              Douglas
                Leighton

              50
                Commonwealth Ave, Suite 2

              Boston,
                MA 02116

              Telephone: (617)
                301-4700

              Facsimile: (617)
                249-0947

            	 

    

     

    9.07 Term.
      The
      term of this Agreement shall commence with the date of this Agreement and shall
      continue in full force and effect and be binding upon Debtor until all Secured
      Obligations of Debtor to Secured Party shall have been fully paid and satisfied
      and Secured Party shall have given Debtor written notice of the termination
      of
      this Agreement (excluding provisions that by their terms survive termination
      of
      other provisions of this Agreement or survive the termination of the security
      interest created under this Agreement). Secured Party shall not be obligated
      to
      give Debtor written notice of termination of this Agreement, or to terminate
      any
      financing statements or other Lien Notices, until all Secured Obligations of
      Debtor to Secured Party shall have been fully paid and satisfied and there
      is no
      commitment on the part of Secured Party to make an advance, incur an obligation
      or otherwise give value, and Debtor shall have given Secured Party a written
      demand requesting the termination of this Agreement and any financing statements
      at which time Secured Party shall execute and deliver such documents, at
      Debtor’s expense, as are necessary to release Secured Party’s liens in the
      Collateral. Notwithstanding anything to the contrary in this Agreement or any
      other Finance Documents, this Agreement shall continue to be effective or be
      reinstated, as the case may be, if at any time any amount received by Secured
      Party in respect of the Secured Obligations is rescinded or must otherwise
      be
      restored or returned by Secured Party upon the insolvency, bankruptcy,
      dissolution, liquidation or reorganization of Debtor or upon the appointment
      of
      any intervenor or conservator of, or trustee or similar official for, Debtor
      or
      any substantial part of Debtor’s assets, or otherwise, all as though such
      payments had not been made. 

     

    
      
         

      

      
        13

        
          

        

      

      
         

      

    

    9.08 Further
      Assurances.
      Debtor
      shall execute and deliver to Secured Party such further assurances and take
      such
      other further actions as Secured Party may from time to time request to further
      the intent and purpose of this Agreement and to maintain and protect the rights
      and remedies intended to be created in favor of Secured Party under this
      Agreement. 

     

    9.09 Amendments,
      Waivers and Consents; Successors and Assigns.
      Neither
      this Agreement nor any other Finance Document nor any of the terms hereof or
      thereof may be amended, modified, changed, waived, discharged or terminated,
      nor
      shall any consent be given, unless such amendment, modification, change, waiver,
      discharge, termination or consent is in writing signed by Secured Party and
      Debtor. This Agreement shall create a continuing security interest in the
      Collateral and shall (i) remain in full force and effect until the Secured
      Obligations have been fully paid and satisfied and this Agreement has been
      terminated, (ii) be binding upon Debtor and its successors and assigns, and
      (iii) inure, together with the rights and remedies of Secured Party hereunder,
      to the benefit of Secured Party and Secured Party’s successors, transferees and
      assigns. This Agreement may not be assigned by Debtor without prior written
      consent of Secured Party, which consent may be withheld in Secured Party’s sole
      discretion. 

     

    9.10 Entire
      Agreement.
      This
      Agreement and any other Finance Documents are a complete and exclusive
      expression of all the terms of the matters expressed therein, and all prior
      agreements, statements, and representations, whether written or oral, which
      relate thereto in any way are hereby superseded and shall be given no force
      and
      effect. No promise, inducement, or representation has been made to Debtor which
      relates in any way to the matters expressed in this Agreement and in any other
      Finance Documents, other than what is expressly stated herein and in such
      Finance Documents. 

     

    9.11 No
      Strict Construction.
      The
      parties hereto have participated jointly in the negotiation and drafting of
      this
      Agreement. In the event of any ambiguity or question of intent or interpretation
      arises, this Agreement shall be construed as if drafted jointly by the parties
      hereto and no presumption or burden of proof shall arise favoring or disfavoring
      any party by virtue of the authorship of any provisions of this Agreement.
      

     

    9.12 Governing
      Law.
      This
      Agreement and all related instruments and documents and the rights and
      obligations of the parties hereunder and thereunder shall, in all respects,
      be
      governed by, and construed in accordance with, the internal laws of the
      Commonwealth of Massachusetts, without regard to conflicts of law principles,
      regardless of the location of the Collateral, excepting, however, that the
      Uniform Commercial Code (or decisional law) of a jurisdiction other than the
      Commonwealth of Massachusetts may provide the method of perfection, the effect
      of perfection or non-perfection, or the priority of liens and security interests
      created under this Agreement. 

     

    
      
         

      

      
        14

        
          

        

      

      
         

      

    

    9.13 DISPUTES
      SUBJECT TO ARBITRATION.
      The
      parties to this Agreement will submit all disputes arising under it to
      arbitration in Boston, Massachusetts before a single arbitrator of the American
      Arbitration Association (“AAA”). The arbitrator shall be selected by application
      of the rules of the AAA, or by mutual agreement of the parties, except that
      such
      arbitrator shall be an attorney admitted to practice law in the Commonwealth
      of
      Massachusetts. No party to this agreement will challenge the jurisdiction or
      venue provisions as provided in this section. Nothing in this section shall
      limit the Secured Party’s right to obtain an injunction for a breach of this
      Agreement from a court of law. 

     

    9.14 Severability.
      Any
      provision of this Agreement, or of any other Finance Document, that is
      prohibited by, or unenforceable under, the laws of any jurisdiction shall,
      as to
      such jurisdiction, be ineffective to the extent of such prohibition or
      unenforceability, without invalidating the remaining provisions of this
      Agreement, and any such prohibition or unenforceability in any jurisdiction
      shall not invalidate or render unenforceable such provision in any other
      jurisdiction. To the extent permitted by applicable law, Debtor hereby waives
      any provision of law which renders any provision of this Agreement or any other
      Finance Document prohibited or unenforceable in any respect. 

     

    9.15 Counterparts.
      This
      Agreement may be executed in counterparts and each shall be effective as an
      original, and a photocopy, facsimile or telecopy of this executed Agreement
      shall be effective as an original. In making proof of this Agreement, it shall
      not be necessary to produce more than one counterpart, photocopy, facsimile,
      or
      telecopy of this executed Agreement. 

     

    9.16 Time.
      Time is
      of the essence of this Agreement. 

     

    [SIGNATURE
      PAGE FOLLOWS] 

     

    
      
         

      

      
        15

        
          

        

      

      
         

      

    

    IN
      WITNESS WHEREOF,
      and
      intending to be legally bound hereby, the undersigned have executed this
      Agreement as of the date first above written. 

     

    
      	 	 	 
	 	
              DEBTOR:

               

              LOGISTICAL
                SUPPORT, LLC.

            
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Name: Bruce
              W. Littell
	 	
              Title: Chief
                Executive Officer

            

    

     

    
       

      
        	 	 	 
	 	
                SECURED
                  PARTY:

              
	 
 	 
 	 
 
	 	By:  	 
	 	
                

                Name:____________________________

              
	 	
                Title:_____________________________

              

      

       

    

     

    
      
         

      

      
        16CONTINUING
      UNCONDITIONAL GUARANTY

     

    This
      CONTINUING UNCONDITIONAL GUARANTY (this “Guaranty”),
      is
      made this 24th day of August, 2007, by LOGISTICAL
      SUPPORT, INC.,
      a Utah
      corporation, having a mailing address at 19734 Dearborn Street, Chatsworth,
      California 91311 (the “Guarantor”)
      in
      favor of and for the benefit and security of DUTCHESS
      PRIVATE EQUITIES FUND, LTD.,
      having
      a mailing address at 50 Commonwealth Avenue, Suite 2, Boston, Massachusetts
      02116 (the “Secured
      Party”).

     

    WHEREAS,
      pursuant to one or more promissory notes or other debentures or instruments,
      including, without limitation, that certain Purchase Order Financing Agreement
      (as amended or otherwise modified from time to time, the “Finance
      Agreement”)
      of
      even date herewith between Logistical Support, LLC (the “Company”)
      and
      Secured Party (collectively with the Finance Agreement, as amended or otherwise
      modified from time to time, collectively, the “PO
      Financing”),
      the
      Secured Party has agreed to make certain loans and other financial
      accommodations to the Company;

     

    WHEREAS,
      Guarantor is desirous of having the Secured Party extend and/or continue the
      extension of credit to the Company, and the Secured Party has required that
      Guarantor execute and deliver this Guaranty to the Secured Party, as a condition
      to the extension and continuation of credit by the Secured Party;
      and

     

    WHEREAS,
      the extension and/or continued extension of credit, as aforesaid, by the Secured
      Party is necessary and desirable to the conduct and operation of the business
      of
      the Company, and Guarantor will derive substantial benefits from the credit
      made
      available to the Company pursuant to the PO Financing;

     

    NOW,
      THEREFORE, for value received and in consideration of any loan, advance, or
      financial accommodation of any kind whatsoever heretofore, now or hereafter
      made, given or granted to the Company by the Secured Party, Guarantor agrees
      as
      follows:

     

    1. Guarantor
      unconditionally guaranties (i) the full and prompt payment when due, whether
      at
      maturity or earlier, by reason of acceleration or otherwise, and at all times
      thereafter, of all of the indebtedness, liabilities and obligations of every
      kind and nature of the Company to the Secured Party or any parent, affiliate
      or
      subsidiary of the Secured Party (the terms “Secured Party” as used hereafter
      shall include such parents, affiliates and subsidiaries), howsoever created,
      arising or evidenced, whether direct or indirect, absolute or contingent, joint
      or several, now or hereafter existing, or due or to become due, and howsoever
      owned, held or acquired by the Secured Party, whether through discount,
      overdraft, purchase, direct loan or as collateral or otherwise, including,
      without limitation, all obligations and liabilities of the Company to the
      Secured Party under the PO Financing, and (ii) the prompt, full and faithful
      discharge by the Company of each and every term, condition, agreement,
      representation and warranty now or hereafter made by the Company to Secured
      Party (all such indebtedness, liabilities and obligations being hereinafter
      collectively referred to as the “Liabilities”).
      Guarantor further agrees to pay all costs and expenses, including, without
      limitation, all court costs and reasonable attorneys’ and paralegals’ fees paid
      or incurred by Secured Party in endeavoring to collect all or any part of the
      Liabilities from, or in prosecuting any action against, Guarantor. All amounts
      payable by Guarantor under this Guaranty shall be payable by Guarantor upon
      demand by Secured Party.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    2. Notwithstanding
      any provision of this Guaranty to the contrary, it is intended that this
      Guaranty, and any liens and security interests granted by Guarantor to secure
      this Guaranty, not constitute a “Fraudulent Conveyance” (as defined below).
      Consequently, Guarantor agrees that if this Guaranty, or any liens or security
      interests securing this Guaranty, would, but for the application of this
      sentence, constitute a Fraudulent Conveyance, this Guaranty and each such lien
      and security interest shall be valid and enforceable only to the maximum extent
      that would not cause this Guaranty or such lien or security interest to
      constitute a Fraudulent Conveyance, and this Guaranty shall automatically be
      deemed to have been amended accordingly at all relevant times. For purposes
      hereof, “Fraudulent
      Conveyance”
means
      a
      fraudulent conveyance under Section 548 of the “Bankruptcy Code” (as hereinafter
      defined) or a fraudulent conveyance or fraudulent transfer under the provisions
      of any applicable fraudulent conveyance or fraudulent transfer law or similar
      law of any state, nation or other governmental unit, as in effect from time
      to
      time.

     

    3. Guarantor
      hereby agrees that this Guaranty is a guaranty of payment and performance and
      not of collection, and that, except as hereinafter provided, its obligations
      under this Guaranty shall be unconditional, irrespective of (i) the validity
      or
      enforceability of the Liabilities or any part thereof, or of any promissory
      note
      or other document evidencing all or any part of the Liabilities, (ii) the
      absence of any attempt to collect Liabilities from the Company or any other
      guarantor or other action to enforce the same, (iii) the waiver or consent
      by
      Secured Party with respect to any provision of any instrument evidencing
      Liabilities, or any part thereof, or any other agreement heretofore, now or
      hereafter executed by Company and delivered to Secured Party, (iv) failure
      by
      Secured Party to take any steps to perfect and maintain its security interest
      in, or to preserve its rights to, any security or collateral for Liabilities,
      (v) the institution of any proceeding under Chapter 11 of Title 11 of the United
      States Code (11 U.S.C. §101 et seq.), as amended (the “Bankruptcy
      Code”)
      or any
      similar or analogous statutory or nonstatutory proceedings under any other
      law,
      whether state, provincial or federal, now existing or hereafter existing for
      relief of the debtors, by or against Company, (vi) Secured Party’s election in
      any such proceeding of the application of Section 1111(b)(2) of the Bankruptcy
      Code, (vii) any borrowing or grant of a security interest by Company as
      debtor-in-possession, under Section 364 of the Bankruptcy Code, (viii) the
      disallowance, under Section 502 of the Bankruptcy Code, of all or any portion
      of
      Secured Party’s claim(s) for repayment of Liabilities, or (ix) any other
      circumstance which might otherwise constitute a legal or equitable discharge
      or
      defense of a guarantor.

     

    4. Guarantor
      hereby waives diligence, presentment, demand of payment, filing of claims with
      a
      court in the event of receivership, insolvency or bankruptcy of the Company,
      protest or notice with respect to Liabilities and all demands whatsoever, and
      covenants that this Guaranty will not be discharged, except by complete
      performance of the obligations and liabilities contained herein. Upon any
      default by the Company as provided in any instrument or document evidencing
      all
      or any part of Liabilities, including, without limitation, the PO Financing,
      Secured Party may, at its sole election, proceed directly and at once, without
      notice, against Guarantor to collect and recover the full amount or any portion
      of Liabilities, without first proceeding against the Company, or any other
      person, firm, or corporation, or against any security or collateral for
      Liabilities.

     

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

     

    5. Secured
      Party is hereby authorized, without notice or demand and without affecting
      the
      liability of Guarantor, to at any time and from time to time (i) renew, extend,
      accelerate or otherwise change the time for payment of, or other terms relating
      to, Liabilities or otherwise modify, amend or change the terms of any promissory
      note or other agreement, document or instrument now or hereafter executed by
      the
      Company and delivered to Secured Party; (ii) accept partial payments on
      Liabilities; (iii) take and hold security or collateral for the payment of
      Liabilities guaranteed hereby, or for the payment of this Guaranty, or for
      the
      payment of any other guaranties of Liabilities or other liabilities of the
      Company, and exchange, enforce, waive and release any such security or
      collateral; (iv) apply such security or collateral and direct the order or
      manner of sale thereof as in its sole discretion it may determine; and (v)
      settle, release, compromise, collect or otherwise liquidate Liabilities and
      any
      security or collateral therefor in any manner, without affecting or impairing
      the obligations of Guarantor hereunder. Secured Party shall have the exclusive
      right to determine the time and manner of application of any payments or
      credits, whether received from the Company or any other source, and such
      determination shall be binding on Guarantor. All such payments and credits
      may
      be applied, reversed and reapplied, in whole or in part, to any of the
      Liabilities as Secured Party shall determine in its sole discretion without
      affecting the validity or enforceability of this Guaranty.

     

    6. To
      secure
      the payment and performance of the Liabilities, including the obligations and
      liabilities contained herein, the Company has granted to Secured Party a
      security interest in certain property of the Company pursuant to a Security
      Agreement dated as of even date herewith among the Company and Secured Party
      (the “Security
      Agreement”).
      Guarantor agrees that Secured Party shall have the rights and remedies of a
      secured party under the UCC (as defined in the Security Agreement), as now
      existing or hereafter amended, with respect to all of the aforesaid property,
      including without limitation thereof, the right to sell or otherwise dispose
      of
      any or all of such property and apply the proceeds of such sale to the payment
      of Liabilities. In addition, Secured Party may, in its sole discretion, without
      notice to Guarantor and regardless of the acceptance of any security or
      collateral for the payment hereof, appropriate and apply toward the payment
      of
      Liabilities (i) any indebtedness due or to become due from Secured Party to
      Guarantor, and (ii) any moneys, credits or other property belonging to
      Guarantor, at any time held by or coming into the possession of Secured Party,
      whether for deposit or otherwise.

     

    7. Guarantor
      hereby assumes responsibility for keeping itself informed of the financial
      condition of the Company, and any and all endorsers and/or other guarantors
      of
      any instrument or document evidencing all or any part of Liabilities and of
      all
      other circumstances bearing upon the risk of nonpayment of Liabilities or any
      part thereof that diligent inquiry would reveal, and Guarantor hereby agrees
      that Secured Party shall not have any duty to advise Guarantor of information
      known to Secured Party regarding such condition or any such circumstances or
      to
      undertake any investigation not a part of its regular business routine. If
      Secured Party, in its sole discretion, undertakes at any time or from time
      to
      time to provide any such information to Guarantor, Secured Party shall be under
      no obligation to update any such information or to provide any such information
      to Guarantor on any subsequent occasion.

     

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

     

    8. Guarantor
      consents and agrees that Secured Party shall be under no obligation to marshal
      any assets in favor of Guarantor or against or in payment of any or all of
      Liabilities. Guarantor further agrees that, to the extent that the Company
      make
      a payment or payments to Secured Party, or Secured Party receives any proceeds
      of collateral, which payment or payments or any part thereof are subsequently
      invalidated, declared to be fraudulent or preferential, set aside and/or
      required to be repaid to the Company, its estate, trustee, receiver or any
      other
      party, including, without limitation, Guarantor, under any bankruptcy law,
      state, provincial or federal law, common law or equitable theory, then to the
      extent of such payment or repayment, Liabilities or the part thereof which
      has
      been paid, reduced or satisfied by such amount, and Guarantor’s obligations
      hereunder with respect to such portion of Liabilities, shall be reinstated
      and
      continued in full force and effect as of the date such initial payment,
      reduction or satisfaction occurred.

     

    9. Guarantor
      agrees that any and all claims of Guarantor against the Company, any endorser
      or
      any other guarantor of all or any part of Liabilities, or against the Company’s
      properties, whether arising by reason of any payment by Guarantor to Secured
      Party pursuant to the provisions hereof, or otherwise, shall be subordinate
      and
      subject in right of payment to the prior payment, in full, of all of
      Liabilities.

     

    10. Secured
      Party may, without notice to anyone, sell or assign Liabilities or any part
      thereof, or grant participations therein, and in any such event each and every
      immediate or remote assignee or holder of, or participant in, all or any of
      Liabilities shall have the right to enforce this Guaranty, by suit or otherwise
      for the benefit of such assignee, holder, or participant, as fully as if herein
      by name specifically given such right, but Secured Party shall have an
      unimpaired right, prior and superior to that of any such assignee, holder or
      participant, to enforce this Guaranty for the benefit of Secured Party, as
      to
      any part of Liabilities retained by Secured Party.

     

    11. This
      Guaranty shall be binding upon Guarantor and upon the successors (including
      without limitation, any receiver, trustee or debtor in possession of or for
      Guarantor) of Guarantor and shall inure to the benefit of Secured Party and
      its
      respective successors and assigns. Guarantor hereby represents and warrants
      that
      it has all necessary corporate authority to execute and deliver this Guaranty
      and to perform its obligations hereunder.

     

    12. This
      Guaranty shall continue in full force and effect, and Secured Party shall be
      entitled to make loans and advances and extend financial accommodations to
      the
      Company on the faith hereof until such time as Secured Party has, in writing,
      notified Guarantor that all of Liabilities have been paid in full and discharged
      or until Secured Party has actually received written notice from Guarantor
      of
      the discontinuance of this Guaranty, or written notice of the dissolution of
      Guarantor. In case of any discontinuance by, or dissolution of, Guarantor
      (collectively, a “Termination
      Event”),
      this
      Guaranty and the obligations of Guarantor and its successors or assigns, as
      the
      case may be, shall remain in full force and effect with respect to all of
      Liabilities incurred prior to the receipt by Secured Party of written notice
      of
      the Termination Event. 

     

    13. Wherever
      possible each provision of this Guaranty shall be interpreted in such manner
      as
      to be effective and valid under applicable law, but if any provision of this
      Guaranty shall be prohibited by or invalid under such law, such provision shall
      be ineffective to the extent of such prohibition or invalidity without
      invalidating the remainder of such provision or the remaining provisions of
      this
      Guaranty.

     

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

     

    14. THIS
      GUARANTY SHALL BE GOVERNED AND CONTROLLED BY THE INTERNAL LAWS OF THE
      COMMONWEALTH OF MASSACHUSETTS, without regard to its conflicts of law
      principles.

     

    15. Guarantor
      irrevocably agrees that, subject to Secured Party’s sole and absolute election,
      all disputes arising under this Guaranty will be submitted to arbitration in
      Boston, Massachusetts before a single arbitrator of the American Arbitration
      Association (“AAA”). The arbitrator shall be selected by application of the
      rules of the AAA, or by mutual agreement of the parties, except that such
      arbitrator shall be an attorney admitted to practice law in the Commonwealth
      of
      Massachusetts. No party to this agreement will challenge the jurisdiction or
      venue provisions as provided in this section. Nothing in this section shall
      limit the Secured Party’s right to obtain an injunction for a breach of this
      Guaranty from a court of law.

     

    [Signature
      Page Follows]

     

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

     

    IN
      WITNESS WHEREOF, this Guaranty has been duly executed by the undersigned as
      of
      this ____ day of August, 2007.

    
      	 	 	 
	 	GUARANTOR:
	 	 
	 	LOGISTICAL SUPPORT,
              LLC.
	 
 	 
 	 
 
	 	By:  	/s/ 
	 	
              
Name: Bruce
              W. Littell
	 	
              Title: Chief
                Executive Order

            

    

     

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    

    ACKNOWLEDGMENT
      OF SIGNATURES

     

    
      	
              STATE
                OF _________________

            	
              }

            	 
	 	
              }

            	
              SS

            
	
              COUNTY
                OF _______________

            	
              }

            	 

    

    

    I,
      ___________________________, a Notary Public in and for the state and county
      aforesaid, so hereby certify that before me this day personally appeared
      _______________________, known to me to be the same person whose name is
      subscribed to the foregoing Continuing Unconditional Guaranty and known to
      me to
      be the _____________________________ of the corporation that executed the
      foregoing Continuing Unconditional Guaranty, and acknowledged to me that he
      executed and delivered the foregoing consent as his free and voluntary act,
      for
      the uses set forth therein.

     

    IN
      WITNESS WHEREOF, I have hereunto set my hand and official seal this ______
      day
      of August, 2007.

     

    
      	 	
              _________________________

              Notary
                Public

               

              My
                Commission Expires: ______

            

    

    

    
      
         

      

      
        7

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