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                                                                   EXHIBIT 10.23

                              EMPLOYMENT AGREEMENT

THIS EMPLOYMENT AGREEMENT (this "AGREEMENT") is entered into effective as of
January 1, 2000 (the "EFFECTIVE Date") by and between Enterprise Profit
Solutions Corporation, a Delaware corporation (the "COMPANY") and wholly owned
subsidiary of ProfitSource Corporation, a Delaware corporation ("PROFITSOURCE"),
and David M. Ehlen (the "EXECUTIVE").

         1. EMPLOYMENT STATUS; DUTIES.

            (a) Status. Effective January 1, 2000 your title will be "Chief
Executive, Performance Learning" and "Executive Vice President" of the Company
and you will report to the Company's Chief Executive Officers (CEO). Your
employment with the Company will be at-will, which means that either you or the
Company may terminate your employment at any time for any reason or no reason
without payment, penalty or further obligation except as set forth in Section 5,
provided, however, that your employment with the Company shall not be terminated
without Cause without majority approval of an executive management committee of
the Company, which committee shall consist of four (4) members of the senior
management of the Company and one (1) representative of the President's Council
of the Company.

            (b) Duties. Your duties will be (i) strategic acquisition planning
for performance learning companies approved by the Company's CEO and other
acquisition targets specified by the Company's CEO, (ii) participation in
strategic operational oversight of the Company's performance learning and
e-learning businesses in such manner as the Company's CEO may from time to time
specify, (iii) develop and manage the strategy, funding and marketing approach
of the e-learning businesses as approved by the Company's CEO and (iv) such
other duties not unrelated to the foregoing and not inconsistent with Section
1(c) as the Company's CEO may from time to time assign.

            (c) Location. You may live and maintain your office wherever you
like in the Continental U.S. You will be required to visit the Company's
headquarters and business unit locations and offices of potential acquisition
targets as may be reasonably required by the Company's CEO in connection with
performance of your duties.

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            (d) Efforts. While employed by the Company, you shall use your best
efforts to advance the business of the Company and shall at all times faithfully
and industriously and to the best of your ability, experience and talent,
perform all of the duties that may be required of you pursuant to the terms
hereof. You may undertake other business activities that do not interfere with
performance of your duties to the Company and that are approved by the Company's
CEO, which approval will not be unreasonably withheld. The foregoing shall not
preclude you from engaging in civic, charitable and/or religious activities,
directing your own passive investments and/or serving on boards of directors of
other entities so long as such activities do not interfere or conflict with your
duties hereunder as reasonably determined by the Company.

         2. COMPENSATION.

            (a) Salary. Effective as of the Effective Date, your salary will be
$350,000 per year gross, subject to applicable withholding, payable in
accordance with the Company's normal payroll practices.

            (b) Bonuses. In addition to your salary, the Company will pay you a
bonus in connection with the closing of each Qualifying Acquisition. For this
purpose, a "QUALIFYING ACQUISITION" is an acquisition by the Company or any of
its affiliates of all or substantially all of the assets or capital stock of any
business that (i) is approved by the President of the Company in writing as a
Qualifying Acquisition, (ii) you have played a substantial role in acquiring on
behalf of the Company, and (iii) closes (A) during your employment with the
Company or within 45 days after your employment with the Company is terminated
by the Company without Cause or by you with Good Reason, and (B) before or
concurrently with the earlier of the initial public offering of equity
securities by the Company or any of its affiliates or June 30, 2000 (the earlier
of such two dates referred to herein as the "ASSESSMENT DATE"). For these
purposes and other purposes of this Agreement, "CAUSE" and "GOOD REASON" have
the meanings set forth in Schedule I hereto. The amount of the bonus for a
Qualifying Acquisition will be $100,000 if the pro-forma pre-tax income of the
acquired company upon which the purchase price is based (the "PTI") is at least
$500,000 but less than $2.5 million; $150,000 if the PTI of the acquired company
is at least $2.5 million but less than $7.5 million; and $250,000 if the PTI of
the acquired company is $7.5 million or more. No bonus is payable on acquired
companies with PTI less than $500,000. Bonuses are payable within 30 days of the
closing of the corresponding Qualifying Acquisition and are subject to
applicable withholding. The Company has no obligation to pursue or complete any
acquisition and no bonus level is assured.

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         3. SHARES.

            (a) Summary. In August 1998, you purchased 61,459 shares of Series B
Common Stock of EPS Solutions Corporation ("EPS") pursuant to a Subscription
Agreement (the "SUBSCRIPTION SHARES"). On December 14, 1998, you entered into a
Restricted Stock Purchase Agreement with EPS (the "RSPA") pursuant to which you
purchased 653,704 shares of Series B Common Stock of EPS (the "RESTRICTED
SHARES"). The Restricted Shares consist of (i) 85,714 shares vesting in equal
installments over four years beginning with 1999 based on your continued
employment (the "EMPLOYMENT SHARES"); (ii) 17,132 shares vested as a result of
EPS's acquisition of the Holden Corporation in March 1999 (the "VESTED HOLDEN
SHARES"), (iii) 158,213 shares "earned" as a result of acquisitions made by EPS
in December 1998 and March 1999 and eligible to vest in equal installments over
four years beginning with 1999 based on your continued employment (the "EARNED
ARBITRAGE SHARES"); and (iv) an additional 392,645 shares eligible to be earned
in connection with potential future EPS acquisitions, but not earned or vested
as of the Effective Date (the "FUTURE ACQUISITION SHARES"). You paid for the
Restricted Shares by paying EPS $653.70 in cash, representing the aggregate par
value thereof at $.001 per share, and by issuing to EPS a promissory note dated
December 14, 1998 in the original principal amount of $783,791.10 (the "NOTE"),
representing the balance of the aggregate purchase price for the Restricted
Shares. In addition, at various times, EPS has promised to issue to you
additional shares in connection with your assumption of additional duties in
1999 (the "ADDITIONAL EMPLOYMENT SHARES"), and additional shares in connection
with the so-called "superperformance" program (the "SUPERPERFORMANCE SHARES").

            (b) Effect on Certain Shares. The Subscription Shares and the Vested
Holden Shares, and the promissory note you made to EPS in connection with the
purchase of the Subscription Shares, are not affected by this Agreement. Any
rights you may have to any Additional Employment Shares and Superperformance
Shares are hereby canceled.

            (c) Repurchase of Certain Shares. 192,645 of the Future Acquisition
Shares (the "REPURCHASED SHARES") are being repurchased by EPS effective as of
the original date of issuance thereof. The purchase price for the Repurchased
Shares is $1.20 per share (matching your original purchase price) and will be
paid by reducing the principal amount of the Note by $231,174. The remaining
balance of the Note ($552,617.10) covers 461,059 shares in the aggregate,
consisting of the Employment Shares, the Vested Holden Shares, the Earned
Arbitrage Shares, and the 200,000 Future Acquisition Shares remaining after the
repurchase of the Repurchased Shares (such remaining Future Acquisition Shares
referred to herein as the "PENDING SHARES"), and reflects the $1.199 portion of
the purchase price per share paid by note for the Restricted Shares other than
the Repurchased Shares, less the $.001 par value per share for the Repurchased
Shares originally paid by you in cash but repaid by reduction of the Note.

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            (d) Vesting. The Employment Shares, the Earned Arbitrage Shares, and
the Pending Shares will be governed by Schedule 1 to this Agreement. This
Section 3 and Schedule 1 to this Agreement replace Schedule 4 and Schedule 1.1
to the RSPA in their entirety, such that the provisions of the original Schedule
4 and Schedule 1.1 to the RSPA are of no further force or effect.

         4. EXPENSES AND BENEFITS.

            (a) Benefits. You will be entitled to participate in all employee
benefit programs of the Company consistent with Company policies.

            (b) Business and Entertainment Expenses. Upon submission of
appropriate documentation in accordance with its policies in effect from time to
time, the Company shall pay or reimburse Executive for all business expenses
which Executive incurs in performing his duties under this Agreement, including,
but not limited to, travel, entertainment, professional dues and subscriptions,
and all dues, fees, and expenses associated with membership in various
professional, business, and civic associations and societies in which Executive
participates in accordance with the Company's policies in effect from time to
time.

            (c) Moving. The Company will pay the reasonable expenses of moving
your residence from Orange County to anywhere else in the continental U.S., and
reimburse to you any real estate brokerage commission cost you incur in selling
your Orange County house, provided such costs are incurred within 180 days of
the Effective Date, and provided further that, at the time of such move, you are
employed by the Company or, if no longer employed, your employment was
terminated by the Company without Cause or by you for Good Reason. Furthermore,
if the Company pays any moving or brokerage costs for you, and before the
Assessment Date either you resign your employment without Good Reason or the
Company terminates your employment with Cause, you will repay to the Company all
moving or brokerage costs paid by the Company.

            (d) Personal Time Off Policy. Executive shall be entitled to such
number of days of paid personal time off (PTO) each year as is consistent with
the Company's Personal Time Off Policy and the number of days set forth are 28,
as such policy may be

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amended form time to time at the discretion of the Company. Executive may not
accrue more than 10 PTO days. If Executive at any time has more than such number
of days, no further PTO days shall accrue until Executive again has few than
such number of days of unused PTO. PTO days may be used, subject to approval by
the Company consistent with business needs, as they are earned. The Company
shall pay Executive for accrued unused PTO days only in connection with
termination of employment. Such payment shall be made on the basis of
Executive's Annual Salary at the time of payment, pro-rated for the number of
accrued unused PTO days at the time of termination.

         5. CERTAIN PAYMENTS.

            (a) Termination by You with Good Reason or the Company Without
Cause. Subject to Section 5(c), if your employment under this Agreement is
terminated by you with Good Reason or by the Company without Cause, then
contingent upon execution and delivery by you to the Company of an unconditional
release in form satisfactory to the Company of all claims against the Company
and its affiliates, their successors, and their officers, directors, employees,
representatives and affiliates arising from or in connection with this Agreement
or your employment with the Company or the termination of that employment, you
shall be entitled to receive a severance payment , any Accrued Benefits; the
Prorated Bonus; a severance amount equal to one (1) times Executive's then
Target Pay, payable in substantially equal installments over 12 months in
accordance with the Company's standard payroll practice.

            (b) No Other Benefits. Except as set forth in Section 5(a) or as may
be required by applicable law or separate written agreement between the Company
and you, the Company shall have no obligations to pay any salary, bonus, accrued
vacation or other amounts in connection with any termination of your employment
or attributable to the period after termination of your employment. Without
limiting the foregoing, and subject to any separate written agreement to the
contrary, you will not be entitled to any severance payment or benefit if your
employment under this Agreement is terminated by death, or by you without Good
Reason, or by the Company for Cause, or as a result of Disability.

            (c) Post-Termination Cause. If any of the events or circumstances
constituting Cause listed in Schedule 1 occurs during or within one year after
any termination of your employment, then (i) the Company will have no further
obligation to provide you the severance payment, and (ii) the Company will be
entitled to recover from you any severance payment amounts paid to you or your
successors and assigns, together with the costs of effecting such recovery.

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         6. CONFIDENTIALITY. The Confidential Information and Employee Invention
Agreement you entered into in connection with your employment by the Company
will remain in effect.

         7. REPRESENTATIONS AND WARRANTIES. You represent and warrant to the
Company that (a) you are under no contractual restriction or other restrictions
or obligations that are inconsistent with the execution of this Agreement, the
performance of your duties and the covenants hereunder, and (b) you are under no
physical or mental disability that would interfere with your keeping and
performing all of the agreements, covenants and conditions to be kept or
performed hereunder.

         8. RELEASE

            (a) As of the Effective Date, you, on behalf of yourself and your
successors and assigns, do hereby forever release, discharge and acquit the
Company, its affiliates (including without limitation EPS) and their respective
members, partners, principals, shareholders, directors, officers, agents,
employees, and representatives, and the successors and assigns of each of them
("RELEASED PARTIES"), from any and all charges, complaints, claims, demands,
obligations, promises, agreements, damages, actions, causes of action, suits,
rights, costs, losses, debts, expenses (including attorneys' fees and costs),
liabilities, and indebtedness, of every type, kind, nature, description or
character, whether known or unknown, suspected or unsuspected, liquidated or
unliquidated arising from, under or related to (i) your employment or retention
with the Company or its Affiliates until the Effective Date, including without
limitation the changes in your employment effected by this Agreement; (ii) the
Repurchased Shares, Superformance Shares, Additional Employment Shares, and any
other securities of the Company or EPS or any of their Affiliates other than the
Subscription Shares, the Vested Holden Shares, the Employment Shares, the Earned
Arbitrage Shares, and the Pending Shares; (iii) your status as a stockholder of
EPS, or any claims arising or accruing as a result of that status, on or before
the Effective Date; and (iv) any other event, act or omission arising on or
before the Effective Date (the "RELEASED Matters"). Without limiting the
foregoing, the Released Matters include any claim of fraud in the inducement,
defamation, or emotional distress. You specifically agree not to claim, and have
waived any right to claim, to have been under duress in connection with the
review, negotiation, execution and delivery of this Agreement. However,
notwithstanding the foregoing, the Released Matters shall not include any claims
by you for: (i) your rights under this Agreement or arising as a result of or in
connection with your employment with the Company from and after the Effective
Date, (ii) your rights, if any, under the Company's 401(k) plan, or (iii) your
status as a stockholder of EPS, or any claims arising or accruing as a result of
that status, after the Effective Date.

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            (b) You acknowledge and agree that the releases made herein
constitute final and complete releases of the Released Parties with respect to
all Released Matters, and that by signing this Agreement, you are forever giving
up the right to sue or attempt to recover money, damages or any other relief
from the Released Parties for all claims you have or may have with respect to
the Released Matters (even if any such claim is unforeseen as of the date
hereof).

         9. NO CLAIMS. You represent and warrant that you have not instituted
any complaints, charges, lawsuits or other proceedings against any Released
Parties with any governmental agency, court, arbitration agency or tribunal. You
further agree that you will not, directly or indirectly, (i) file, bring, cause
to be brought, join or participate in, or provide any assistance in connection
with any complaint, charge, lawsuit or other proceeding or action against any
Released Parties at any time hereafter for any Released Matters, or (ii) defend
any action, proceeding or suit in whole or in part on the grounds that any or
all of the terms or provisions of this Agreement are illegal, invalid, not
binding, unenforceable or against public policy. If any agency or court assumes
jurisdiction of any complaint, charge, or lawsuit against the Company or any
Released Party, on your behalf, you agree to immediately notify such agency or
court, in writing, of the existence of this Agreement, including providing a
copy of it and to request, in writing, that such agency or court dismiss the
matter with prejudice.

         10. ADVICE OF COUNSEL. You represent and agree that you fully
understand your right to discuss, and that the Company has advised you to
discuss, all aspects of this Agreement with your private attorney, that you have
carefully read and fully understand all the provisions of the Agreement, that
you understand its final and binding effect, that you are competent to sign this
Agreement, and that you are voluntarily entering into this Agreement.

         11. ACKNOWLEDGMENT. You represent and agree that in executing this
Agreement, you rely solely upon your own judgment, belief and knowledge, and the
advice and recommendations of any independently selected counsel, concerning the
nature, extent and duration of your rights and claims. You acknowledge that no
other individual has made any promise, representation or warranty, express or
implied, not contained in this Agreement, to induce you to execute this
Agreement. You further acknowledge that you are not executing this Agreement in
reliance on any promise, representation, or warranty not contained in this
Agreement.

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        12. MISCELLANEOUS.

            (a) Governing Law. This Agreement shall be interpreted under and
governed by the laws of the State of Illinois, excluding its rules on conflicts
of law.

            (b) Arbitration. Any dispute regarding the application,
interpretation or breach of this Agreement shall be resolved by final and
binding arbitration before the American Arbitration Association ("AAA)" in
accordance with AAA's National Rules for the Resolution of Employment Disputes.
Attorneys' fees, costs and damages (where appropriate) shall be awarded to the
prevailing party in any dispute, and any resolution, opinion or order of AAA may
be entered as a judgment in a court of competent jurisdiction.

            (c) Modification and Waiver. No waiver or modification of this
Agreement or any term hereof shall be binding unless it is in writing signed by
the parties hereto. No failure to insist upon compliance with any term,
provision or condition to this Agreement, whether by conduct or otherwise, in
any one or more instances, shall be deemed to be or construed as a waiver of any
such term, provision or condition or as a waiver of any other term, provision or
condition of this Agreement.

            (d) Entire Agreement. This Agreement and the Restricted Stock
Purchase Agreement and the agreements entered into in connection therewith
contain the entire agreement and understanding between you and the Company
regarding your employment and ownership of EPS stock, and this Agreement
replaces all prior employment agreements, arrangements and understandings,
written or oral regarding your employment or engagement with the Company and its
Affiliates, including without limitation the Confidential Agreement between you
and the Company dated September 17, 1999, which is hereby terminated and of no
further force or effect. Neither you nor the Company shall be bound or liable
for any representation, promise or inducement not contained in this Agreement.
This Agreement cannot be amended, modified, supplemented, or altered, except by
written amendment or supplement signed by you and the Company.

            (e) Severability. If any provision hereof is held or construed by a
court or arbitrator of competent jurisdiction to be illegal, invalid or
unenforceable for any reason, the legality, validity and enforceability of the
remaining provisions of this Agreement will not be affected and the illegal,
invalid or unenforceable provision will be deemed not to be a part of this
Agreement unless without such provision, the purposes and intent of this
Agreement cannot be carried out.

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            (f) Notices. Any notice, demand or other communication required,
permitted or desired to be given hereunder shall be in writing and shall be
deemed effectively given upon personal delivery, facsimile transmission (with
confirmation of receipt), delivery by reputable overnight delivery service or
five (5) days following deposit in the United States mail (if sent by certified
or registered mail, postage prepaid, return receipt requested), in each case
duly addressed to the Company at its headquarters or to Executive at his or her
address of record listed with the Company.

            (g) Assignment. Your rights, duties and obligations under this
Agreement may not be assigned by you. The Company may assign its rights, duties
and obligations under this Agreement to any affiliate of the Company.

            (h) Headings. The section headings herein are intended for reference
and shall not affect in any way the construction or interpretation of this
Agreement.

            (i) Third Party Beneficiaries. The Released Parties are third party
beneficiaries of this Agreement.

            (j) Counterparts. This Agreement may be executed in counterparts,
each of which shall be an original but all of which shall constitute one and the
same instrument.

         IN WITNESS WHEREOF, the parties hereto have executed and delivered this
Agreement as of the date set forth above.

                                         THE COMPANY

                                         Enterprise Profit Solutions Corporation
                                         EPS Solutions Corporation

                                         By: /s/ David H. Hoffmann
                                             -----------------------------------
                                             David H. Hoffmann
                                             Chairman & Chief Executive Officer

EXECUTIVE

/s/ David M. Ehlen                                      4/25/00
-------------------------------------            --------------------
David M. Ehlen                                   Date

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                                   SCHEDULE 1

BASIC TERMS.

         VESTING. The shares covered by the vesting provisions of this Schedule
1 consist of 85,714 Employment Shares, 158,213 Earned Arbitrage Shares, and
200,000 Pending Shares. Subject to the terms and conditions set forth in the
RSPA, the Restrictions applicable to each type of shares will lapse, and shares
of that type will vest, if and when the conditions to vesting of that type of
shares, as set forth in this Schedule 1, are met. As a condition to each and
every vesting of shares, the Purchaser must execute and deliver to the Company a
release, in form and substance satisfactory to the Company, releasing the
Company and all of its affiliates and their successors and the officers,
directors, employees, and representatives of each of them from any claims or
liabilities arising from or in connection with the employment of the Purchaser
by the Company or any of its affiliates. For purposes hereof, David M. Ehlen is
referred to as the "PURCHASER."

         Any vesting for a Measurement Period will be effective as of the close
of business on the last day of that Measurement Period, but vesting for any
Measurement Period will not be finally determined until it is finally determined
through year-end closing of the books, audits and any other necessary
procedures, whether any performance requirements associated with particular
shares for that Measurement Period have been met. In no case will the total
number of any particular type of shares that the Purchaser has the right to have
vested for any Measurement Period exceed the product of the total number of that
type of shares and the applicable Vesting Percentage corresponding to that
Measurement. Fractional vested shares will be carried forward and combined to
constitute whole vested shares that can be issued, or cashed out by the Company
at fair market value following determination of whether any performance
requirements associated with the last Measurement Period have been met.

EMPLOYMENT SHARES.

         On the last day of each of the Measurement Periods set forth in the
table immediately below, if the Purchaser has remained Executive of the Company
or any of its affiliates from the date hereof through the last day of such
Measurement Period, the Restrictions will lapse with respect to such number of
Employment Shares as is equal to the product of the Vesting Percentage
corresponding to that Measurement Period and the total number of Employment
Shares.

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                  MEASUREMENT PERIOD                  VESTING PERCENTAGE
                  ------------------                  ------------------

         January 1, 1999 - December 31, 1999                 40%
         January 1, 2000 - December 31, 2000                 20%
         January 1, 2001 - December 31, 2001                 20%
         January 1, 2002 - December 31, 2002                 20%

EARNED ARBITRAGE SHARES.

         The Earned Arbitrage Shares will vest on the Assessment Date if the
Purchaser has remained an employee of the Company or any of its affiliates from
the date hereof until that time.

PENDING SHARES.

         Upon each closing of a Qualifying Acquisition, a portion of the Pending
Shares will be "earned" by the Purchaser and eligible to vest. The number of
Pending Shares earned by the Purchaser in connection with each Qualifying
Acquisition will be calculated by application of the following formula
consistent with the general methodology used by EPS in the past to value and
acquire target companies:

         X = [.10 (35 - A) (B)] / C

         Where

         X = the number of Pending Shares earned

         A = the multiple applied to the pro forma net income of the target to
             determine the index value deliverable to the target or its
             stockholders

         B = the pro forma net income of the target used to determine the index
             value deliverable to the target or its stockholders

         C = the assumed long-term value per share of EPS stock used in
             converting index value deliverable to the target or its
             stockholders to a number of shares

         20% of any Pending Shares earned in connection with a closed Qualifying
Acquisition according to the foregoing formula will vest at the time of closing
of the Qualifying Acquisition. The remaining 80% of the Pending Shares earned in
connection with a Qualifying Acquisition will vest in four equal installments as
of December 31 of 1999, 2000, 2001, and 2002, if the Purchaser has remained an
employee of the Company or any of its affiliates from the date hereof until such
date. The Purchaser may not vest more than the total number of Pending Shares in
connection with Qualifying Acquisitions.

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         EPS and its affiliates have no obligation to effect any particular
acquisition, or to time any particular acquisition, so as to permit vesting
hereunder to occur. The Purchaser recognizes that decisions regarding
acquisitions and the timing thereof will be made by management of EPS consistent
with duties to EPS and its stockholders, and without regard to the Purchaser's
vesting hereunder.

VESTING UPON CERTAIN TERMINATION OF EMPLOYMENT.

         Except as specifically set forth herein, upon termination of the
Purchaser's employment by the Company without Cause, or by the Purchaser with
Good Reason, all Employment Shares, Earned Arbitrage Shares, and Pending Shares
that have been earned in connection with completed Qualifying Acquisitions will
vest, vesting of other shares will cease, and unvested shares will be subject to
repurchase according to the RSPA.

         Upon the Purchaser's death or disability, all Earned Arbitrage Shares
and Pending Shares that have been earned in connection with complete Qualifying
Acquisitions will vest, vesting of other shares will cease, and unvested shares
will be subject to repurchase according to the RSPA.

OTHER PROVISIONS.

         If a Change in Control occurs while the Purchaser is still employed by
the Company or its affiliates or within 45 days after the Purchaser's employment
is terminated by the Company without Cause or by the Purchaser with Good Reason,
all of the unvested Employment Shares, Earned Arbitrage Shares, and Pending
Shares that have been earned in connection with completed Qualifying
Acquisitions will immediately vest.

         Upon completion of the initial public offering of the equity securities
of the Company or EPS, in addition to vesting of the Earned Arbitrage Shares as
set forth above, all of the Pending Shares that have been earned in connection
with completed Qualifying Acquisitions will immediately vest, but unvested
Employment Shares will remain subject to vesting as set forth in this Schedule
1.

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         Except as otherwise specifically set forth herein, termination of the
Purchaser's employment by the Company with Cause, or by the Purchaser without
Good Reason, will cause all vesting of the Purchaser's shares to cease and
unvested shares will be subject to repurchase according to the RSPA.

EVENTS OF CAUSE.

         Notwithstanding anything herein or in the RSPA to the contrary, in
addition to any other repurchase rights of EPS, if any of the events or
circumstances constituting Cause occurs at any time before December 31, 2002,
then, in addition to the rights of EPS set forth in the RSPA, vesting of shares
will cease and EPS or its assignee may, in the discretion of EPS or its
assignee, at any time and from time to time for a period of one (1) year
following such occurrence, repurchase from the Purchaser at the price per share
that the Purchaser paid to EPS, and the Purchaser will sell to EPS or its
assignee, any or all unvested shares and any or all shares that vested within
365 days before the event or circumstance constituting Cause. However,
notwithstanding the foregoing, (i) if the Purchaser's employment with the
Company was terminated by the Company without Cause or by the Purchaser with
Good Reason, or (ii) following a Change in Control that occurs while the
Purchaser is still employed by the Company or its affiliates or within 45 days
after the Purchaser's employment is terminated by the Company without Cause or
by the Purchaser with Good Reason, the Company will not be entitled to
repurchase vested shares pursuant to this paragraph solely because of the
occurrence after any termination of employment of any of the events or
circumstances listed in item A of the definition of Cause. In addition,
notwithstanding the foregoing, Earned Arbitrage Shares that have vested in
accordance with this Schedule 1 may not be repurchased by EPS solely because of
the occurrence after any termination of employment of any of the events or
circumstances listed on item A of the definition of Cause. This paragraph
supersedes Section 4.1(d)(iii) of the RSPA.

CERTAIN DEFINITIONS.

         For purposes of this Agreement:

         "CAUSE" means the occurrence at any time of any one or more of the
following events or circumstances, provided however, that if any such event or
circumstance is susceptible to cure by Executive without damage to the Company,
such event or circumstance will not constitute Cause unless Executive has failed
to cure such event or circumstance within 15 days after receipt by Executive of
written notice thereof: (i) Executive engages in any wrongful conduct or
knowingly violates any reasonable rule or regulation of the Board, the

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Company's President or Chief Executive Officer or the Executive's superiors that
results in material damage or risk of legal liability to the Company or any
parent corporation of the Company, any subsidiary corporation of the Company or
any entity controlling, controlled by, or under common control with the Company
(an "AFFILIATED Entity"); (ii) any willful misconduct or gross negligence by
Executive in the responsibilities assigned to Executive; (iii) any willful and
material failure to perform Executive's job as required to meet the lawful
objectives of the Company or any Affiliated Entity or any persistent failure to
achieve reasonable performance standards that have been described by the Company
in writing and communicated to Executive in reasonable detail; (iv) Executive
fails to comply with all material applicable laws and regulations in performing
Executive's duties and responsibilities to the Company; (v) any criminal conduct
(other than misdemeanors that do not meet the criteria set forth in subsection
(vi)); (vi) any actions involving moral turpitude or injurious to the business
or reputation of the Company or its Affiliated Entities; (vii) any legal action
against you or the Company or any of its Affiliated Entities occurs as a result
of Executive's employment by the Company; (viii) any legal action by Executive
or Executive's representatives or successors against the Company or any of its
Affiliates or any person or entity that the Company or any of its Affiliates
would be obligated to indemnify or defend in connection with such action; or
(ix) Executive does any of the things described in (A)-(C) below.

         (A) Executive renders services for any organization or engages directly
or indirectly in any business that, in the reasonable judgment of the Chief
Executive Officer of the Company or other senior officer designated by the Chief
Executive Officer, is or becomes competitive with the Company or any Affiliated
Entity, or which organization or business, or the rendering of services to such
organization or business, is or becomes otherwise prejudicial to or in conflict
with the business or interests of the Company or any Affiliated Entity.

         (B) Executive fails to comply with the Confidentiality Agreement or
with the lawful policies of the Company or any Affiliated Entity regarding
nondisclosure of confidential information, or without prior written
authorization from the Company or any Affiliated Entity discloses to anyone
outside the Company or any Affiliated Entity or uses for any purpose or in any
context other than in performance of Executive's duties to the Company or any
Affiliated Entity any confidential or trade secret information of the Company or
any Affiliated Entity.

         (C) Executive breaches in any material respect any agreement with or
legal duty to the Company or any Affiliated Entity.

                                       14

<PAGE>   15

         "CHANGE IN CONTROL" means the completion of:

         (i) any acquisition or series of related acquisitions resulting in any
person, entity or "group," within the meaning of Section 13(d)(3) or 14(d)(2) of
the Securities Exchange Act of 1934, as amended (the "Exchange Act")
beneficially owning (within the meaning of Rule 13d-3 promulgated under the
Exchange Act) more than fifty percent (50%) of either the then outstanding
shares of Common Stock or the combined voting power of then outstanding voting
securities entitled to vote generally in the election of directors of EPS or the
Company; or

         (ii) any reorganization, merger or consolidation of EPS or the Company
with any other person, entity or corporation, other than a transaction which
would result in the owners of voting securities of EPS outstanding immediately
prior thereto continuing to own directly or indirectly more than fifty percent
(50%) of the combined voting power of the voting securities of the entity or
entities surviving such reorganization, merger or consolidation that own and
conduct the business owned and conducted by EPS and the Company prior thereto;
or

         (iii) the sale or other disposition by EPS or the Company, in one
transaction or a series of related transactions, of all or substantially all of
the assets of EPS or the Company, provided that a Change in Control shall not be
deemed to have occurred if the "person" described in the preceding provisions is
an underwriter or underwriting syndicate that has acquired the ownership of 50%
or more of the combined voting power of the outstanding voting securities of EPS
or the Company solely in connection with a public offering of those securities.

         "DISABILITY" means the Purchaser suffers an ongoing physical or
psychological impairment that has rendered Purchaser unable, as determined in
good faith by the Chief Executive Officer of the Company, to perform the
Purchaser's duties to the Company, notwithstanding reasonable accommodation by
the Company (the Company, at its option and expense, being entitled to retain a
physician to confirm the existence of such disability), for a period of three
(e) consecutive months or six (6) months in any 12-month period.

                                       15<PAGE>   1
                                                                  EXHIBIT 10.24

                       RESTRICTED STOCK PURCHASE AGREEMENT

        THIS RESTRICTED STOCK PURCHASE AGREEMENT (this "AGREEMENT") is made and
entered into as of December 14, 1998 (the "EFFECTIVE DATE") by and between
ProfitSource Corporation, a Delaware corporation (the "COMPANY") and David M.
Ehlen (the "PURCHASER").

        A. The Company has been formed for the purpose of providing cost
reduction, cost recovery and profit enhancement services and is acquiring, in a
series of transactions by means of mergers into the Company, or acquisitions by
the Company of all or substantially all of the assets or stock or other equity
interests, various companies providing such services (the "CONSOLIDATION
TRANSACTIONS").

        B. The Purchaser is employed by the Company's wholly owned subsidiary
Enterprise Profit Solutions Corporation, a Delaware corporation ("EPS") or any
of its affiliates (the "EMPLOYER") and has entered into that certain Employment
Agreement with the Employer of even date herewith (the "EMPLOYMENT AGREEMENT").

        C. The Purchaser and certain other persons responsible for effecting the
Consolidation Transactions and who are to serve as employees of the Employer
(the "SPONSORS") and certain other persons affiliated with certain companies
being acquired by the Company in the Consolidation Transactions and who are also
to serve as employees of the Employer (the "FOUNDERS") are being offered an
opportunity to purchase shares of the common stock of the Company, par value
$0.001 per share (the "COMMON STOCK") (in the case of Founders, Series A Common
Stock and in the case of Sponsors, Series B Common Stock) at a price of $1.20
per share.

        D. The Shares (as hereinafter defined) shall be subject to repurchase by
the Company, in the Company's discretion, if certain performance related
milestones described herein are not met.

        E. The Shares shall be subject to certain additional restrictions as set
forth herein.

        F. The Purchaser desires to purchase and the Company desires to sell the
Shares as set forth in this Agreement.

        NOW, THEREFORE, in consideration of the foregoing premises and the
mutual covenants hereinafter set forth, the Company and the Purchaser hereby
agree as follows:

        1. SALE AND PURCHASE OF THE SHARES.

           1.1 SALE AND PURCHASE. Subject to the terms and conditions set forth
herein, the Company hereby sells and issues to the Purchaser, and the Purchaser
hereby purchases from the Company the aggregate number of shares of Series B
Common Stock set forth on Schedule 1.1 as "Aggregate Number of Shares" (the
"SHARES") for the consideration of $1.20 per Share, resulting in an aggregate
purchase price as set forth on Schedule 1.1 (the "PURCHASE PRICE"). Concurrently
herewith the Purchaser is paying to the Company in cash $0.001 per Share,
resulting in an aggregate payment of the amount set forth on Schedule 1.1 under
the item "Cash

<PAGE>   2

Payment" (the "CASH PAYMENT"). The obligation of the Purchaser to pay the
remainder of the Purchase Price in the amount set forth on Schedule 1.1 under
the item "Note" is evidenced by the Purchaser's delivery to the Company
concurrently herewith of a secured promissory note of the Purchaser in the form
attached hereto as Exhibit A (the "NOTE"). The Note is secured by a pledge of
the Shares made pursuant to Section 5 of the Note. The Shares are sold pursuant
to and governed by this Agreement and not any other contract or plan of the
Company.

        1.2 DELIVERIES. In exchange for the Cash Payment and the Note, the
Company is issuing the Shares in the Purchaser's name on the Company's stock
transfer ledger, and valid stock certificates representing the Shares (the
"CERTIFICATES") shall be held by the Company or its agent pending release
pursuant to Section 4.1(h).

2. REPRESENTATIONS AND WARRANTIES OF THE PURCHASER. The Purchaser represents and
warrants to the Company and its officers, directors and agents as follows:

        2.1 SECURITIES MATTERS.

            (a) The Purchaser understands that (i) neither the Shares nor the
offer and sale thereof are registered or qualified under the Securities Act of
1933, as amended (the "SECURITIES ACT") or any state securities or "Blue Sky"
laws, on the ground that the sale provided for in this Agreement and the
issuance of securities hereunder is exempt from registration and qualification
under Sections 4(2) and 18 of the Securities Act, and (ii) the Company's
reliance on such exemptions is predicated on the Purchaser's representations set
forth herein.

            (b) The Purchaser acknowledges that an investment in the Company
involves an extremely high degree of risk, lack of liquidity and substantial
restrictions on transferability and that the Purchaser may lose the Purchaser's
entire investment in the Shares.

            (c) The Company has made available to the Purchaser or the
Purchaser's advisors the opportunity to obtain information to evaluate the
merits and risks of the purchase of the Shares, and the Purchaser has received
all information requested from the Company. The Purchaser has had an opportunity
to ask questions and receive answers from the Company regarding the terms and
conditions of the offering of the Shares and the business, properties, plans,
prospects, and financial condition of the Company and to obtain such additional
information as the Purchaser has deemed appropriate for purposes of investing in
the Shares pursuant to this Agreement.

            (d) The Shares to be acquired by the Purchaser hereunder will be
acquired for the Purchaser's own account, for investment purposes, not as a
nominee or agent, and not with a view to or for sale in connection with any
distribution of the Shares in violation of applicable securities laws.

            (e) The Purchaser understands that no federal or state agency has
passed upon the Shares or made any finding or determination as to the fairness
of the investment in the Shares.

            (f) The Purchaser, personally or through advisors, has expertise in
evaluating and investing in private placement transactions of securities of
companies in a similar stage of

                                       2
<PAGE>   3

development to the Company and has sufficient knowledge and experience in
financial and business matters to assess the relative merits and risks of an
investment in the Shares. In connection with the purchase of the Shares, the
Purchaser has relied solely upon independent investigations made by the
Purchaser, and has consulted the Purchaser's own investment advisors, counsel
and accountants. The Purchaser has adequate means of providing for current needs
and personal contingencies, and has no need for liquidity and can sustain a
complete loss of the investment in the Shares.

            (g) The Purchaser is an "Accredited Investor" as defined in Rule
501(a) under the Securities Act and has documented his or her accredited status
by delivery to the Company of a completed questionnaire in the form of Exhibit B
hereto attesting thereto (the "ACCREDITED INVESTOR QUESTIONNAIRE").

            (h) The Purchaser has not received any general solicitation or
general advertising concerning the Shares, nor is the Purchaser aware of any
such solicitation or advertising.

        2.2 REVOCATION, CANCELLATION. The Purchaser acknowledges that the
Purchaser shall not have any right to cancel, terminate or revoke this
Agreement, or rescind purchase of the Shares, or return the Shares for a refund.

        2.3 THE COMPANY AND THE CONSOLIDATION TRANSACTIONS.

            (a) The Purchaser is aware that:

                  (i) The Company has recently been organized and has no
financial or operating history.

                  (ii) There can be no assurance that the Consolidation
Transactions will occur, that the Company will be successful in accomplishing
the purpose for which it was formed or that it will ever be profitable. No
assurances can be given regarding what companies will ultimately participate in
the Consolidation Transactions. No company is obligated to participate in the
Consolidation Transactions unless a written agreement to such effect is entered
into by the Company and such Consolidation Transaction company.

                  (iii) No assurances can be given that an initial public
offering ("IPO") of the Company's securities will occur. If an IPO does occur,
no assurances can be given as to timing of the IPO, whether the Purchaser will
be able to participate, or the price at which any shares of Common Stock would
be sold.

                  (iv) No assurances can be given as to the ultimate value of
the Common Stock or the Shares or the liquidity thereof.

                  (v) All decisions regarding the Consolidation Transactions,
any IPO, and the Company's management and operations will be made by the
Company's management, and certain individuals involved in planning the
Consolidation Transactions and managing the business of the Company will have
the right to vote the Shares pursuant to the voting agreement referenced in
Section 4.1(i).

                                       3
<PAGE>   4

           (b) The Purchaser acknowledges that no assurances have been made to
the Purchaser with respect to any of the foregoing and no representations, oral
or written, have been made to the Purchaser by the Company or any of its
employees, representatives or agents concerning the Shares, their potential
value or the prospects of the Company, except as set forth herein.

           (c) The proceeds from the sale of the Common Stock to the Sponsors
and the Founders are intended to be used by the Company for general and
administrative expenses and working capital. The proceeds from such sales may be
exhausted notwithstanding failure of the Company to achieve its objectives.

        2.4 SHARE NUMBER. The Purchaser acknowledges that the number of A
Purchase Arbitrage Shares (as described in Schedule 1.1) reflects the number of
shares of Common Stock allocated or allocable to the Purchaser for his role in
effecting Consolidation Transactions with the companies set forth on Schedule
2.4, less the number of shares of Common Stock purchased pursuant to that
certain Subscription Agreement dated August 28, 1998 between the Company and the
Purchaser (other than employment related shares purchased pursuant to such
agreement, which equaled twenty percent (20%) of the aggregate employment
related shares allocated or allocable to the Purchaser).

        2.5 ENFORCEABILITY OF TRANSACTION DOCUMENTS. This Agreement and all
other documents to be delivered in connection herewith (collectively, the
"TRANSACTION DOCUMENTS") have been (or upon execution and delivery will have
been) duly executed and delivered by the Purchaser, and (assuming due execution
and delivery by the other parties thereto) constitute (or upon execution by the
Purchaser will constitute) legal, valid and binding obligations of the
Purchaser, except as such enforceability may be limited by general principles of
equity and bankruptcy, insolvency, reorganization and moratorium and other
similar laws relating to creditors' rights (the "BANKRUPTCY EXCEPTION").

        2.6 BROKERS. No broker, finder, investment banker, or other person is
entitled to any brokerage, finder's or other fee or commission in connection
with the transactions contemplated by this Agreement based upon arrangements
made by or on behalf of the Purchaser.

        2.7 TAX MATTERS. The Purchaser has received tax advice from the
Purchaser's own advisors and has not received, and is not relying upon, any tax
representations or advice from the Company or any representative of the Company.

        2.8 SUMMARY OF CERTAIN CONSIDERATIONS. The Purchaser acknowledges
receipt and understanding of the Summary of Certain Considerations attached
hereto as Exhibit C.

        2.9 ACCURACY OF INFORMATION. No representation or warranty made by the
Purchaser contained in this Agreement or in any other Transaction Document
contains or will contain an untrue statement of a material fact or omits or will
omit to state a material fact required to be stated herein or therein or
necessary to make the statements and facts contained herein or therein not
materially false or misleading.

                                       4
<PAGE>   5

3. REPRESENTATIONS AND WARRANTIES OF THE COMPANY. The Company represents and
warrants to the Purchaser that:

        3.1 ORGANIZATION AND CORPORATE AUTHORITY. The Company is a corporation
duly organized, validly existing and in good standing under the laws of the
State of Delaware and has all requisite corporate power and authority to enter
into this Agreement and to consummate the transactions contemplated hereby. This
Agreement and the other Transaction Documents to be executed and delivered by
the Company have been (or upon execution and delivery by the Company will have
been) duly executed and delivered by the Company, have been effectively
authorized by all necessary action of the Company, corporate or otherwise, and
(assuming due execution and delivery by the other parties thereto) constitute
(or upon execution and delivery by the Company will constitute) legal, valid and
binding obligations of the Company, except as such enforceability may be limited
by the Bankruptcy Exception.

        3.2 NO CONFLICT OR VIOLATION. The execution, delivery and performance by
the Company of the Transaction Documents to be executed and delivered by the
Company and the consummation of the transactions contemplated thereby do not and
will not: (i) violate or conflict with any provision of the charter documents or
bylaws of the Company; or (ii) violate any provision or requirement of any
domestic or foreign, federal, state or local law, statute, judgment, order,
writ, injunction, decree, award, rule, or regulation of any court, arbitrator,
federal, state, local or foreign government agency, regulatory body, or other
governmental authority or any department, agency, board, commission, bureau or
instrumentality of any of the foregoing (each a "GOVERNMENTAL ENTITY," and
collectively "GOVERNMENTAL ENTITIES") applicable to the Company.

        3.3 CAPITALIZATION. The authorized capital stock of the Company consists
of 240,000,000 shares of Common Stock, of which 200,000,000 are Series A Common
Stock and 40,000,000 are Series B Common Stock; and 10,000,000 shares of
undesignated preferred stock. All capital stock of the Company has a par value
of $0.001 per share. Holders of Series B Common Stock are entitled to elect all
the directors in one of the Company's three classes of directors, with the
holders of the Series A Common Stock entitled to elect the remaining directors.
In all other respects, the Series A Common Stock and the Series B Common Stock
is identical. The Shares, when issued, sold, and delivered in accordance with
the terms of this Agreement for the consideration expressed herein will be duly
and validly issued, fully paid, and nonassessable, except that the Purchaser may
be required to pay amounts owed under the Note.

        3.4 ENFORCEABILITY OF TRANSACTION DOCUMENTS. This Agreement and the
other Transaction Documents have been (or upon execution and delivery will have
been) duly executed and delivered by the Company, and (assuming due execution
and delivery by the other parties thereto) constitute (or upon execution by the
Company will constitute) legal, valid and binding obligations of the Company,
except as such enforceability may be limited by the Bankruptcy Exception.

                                       5
<PAGE>   6

        3.5 ACCURACY OF INFORMATION. No representation or warranty made by the
Company contained in this Agreement or in any other Transaction Document
delivered by the Company contains or will contain any untrue statement of a
material fact or omits or will omit to state any material fact necessary in
order to make the statements and facts contained herein or therein not
materially false or misleading.

4. CERTAIN UNDERSTANDINGS AND AGREEMENTS OF THE PARTIES.

        4.1 PERFORMANCE RESTRICTIONS, STOCKHOLDER AND VOTING AGREEMENTS.

            (a) The Shares consist of "Employment Related Shares," "A Purchase
Arbitrage Shares," "B Purchase Arbitrage Shares" and "Pooling Arbitrage Shares"
each as designated on Schedule 1.1. Such Shares are subject to "RESTRICTIONS"
and may not be sold, assigned, transferred, pledged, hypothecated or otherwise
disposed of, alienated or encumbered until the Shares "vest" by the lapse of the
Restrictions applicable thereto as set forth in Section 4.1(b) and any
additional requirements or restrictions contained herein have been satisfied,
terminated or expressly waived by the Company in writing. Any attempted transfer
in violation of such Restrictions will be void.

            (b) The Restrictions will lapse and the various Shares will vest in
accordance with the provisions related to the various Shares in Schedule 4 (the
"VESTING SCHEDULE"), provided, however, that the Company, in its discretion, may
from time to time accelerate the vesting of any Shares at any time or forgive
Restrictions and allow Shares or restricted shares owned by any other Sponsor,
any Founder or other third party to vest notwithstanding that the conditions to
vesting thereof may not have been satisfied.

            (c) In addition to any repurchase rights of the Company set forth in
Schedule 4, the Company, or its assignee, may, in the Company's discretion, at
any time and from time to time for a period of one (1) year following the end of
each Measurement Period, repurchase from the Purchaser at the price per Share
that the Purchaser paid to the Company, and the Purchaser will sell to the
Company, any or all of the Shares that were eligible to vest but did not vest in
accordance with the Vesting Schedule for such Measurement Period. Shares
originally corresponding to any Measurement Period that cannot vest because of
failure prior to the end of that Measurement Period of conditions to vesting
thereof may be repurchased at any time and from time to time from the failure of
such conditions to the end of the applicable repurchase period specified herein.
Any Shares that do not vest in accordance with the Vesting Schedule shall be
subject to repurchase by the Company regardless of the services performed, or
other consideration given, by the Purchaser to the Company. Shares not vested in
accordance with the Vesting Schedule but not repurchased by the Company during
the applicable repurchase periods described herein (including in Schedule 4)
shall vest.

            (d) (i) Termination of the Purchaser's employment by the Employer
under the circumstances described in Schedule 4 under the headings "Vesting Upon
Certain Termination of Employment" will cause vesting as described therein,
provided that the vesting of any Shares upon termination of the Purchaser's
employment with the Employer, or subsequent to such termination shall be
contingent upon execution and delivery by the Purchaser to the Company of an
unconditional release in form satisfactory to the Company of all claims against
the Company

                                       6
<PAGE>   7

or any of its officers, directors or affiliates arising from or in connection
with this Agreement or the Purchaser's employment with the Employer or the
termination of that employment. Any Shares that do not vest as described therein
shall be subject to repurchase as described therein, or if not so described
therein, by the Company or its assignee, in the Company's discretion, at any
time and from time to time until the first anniversary of the last day of the
Measurement Period in which it is determined that the Shares will not vest at
the price per Share that the Purchaser paid to the Company.

                  (ii) In case of termination of the Purchaser's employment by
the Employer for any reason other than a reason that causes vesting as described
in Schedule 4, the Company or its assignee may, in the Company's discretion, at
any time and from time to time for a period of one (1) year following the
termination of employment, repurchase from the Purchaser at the price per Share
that the Purchaser paid to the Company, and the Purchaser will sell to the
Company, any or all of the Shares designated by the Company that have not vested
as of the date of termination of employment.

                  (iii) In addition to the Company's repurchase rights set forth
above, if any of the events or circumstances constituting "Cause" listed in
Schedule 1 of the Purchaser's Employment Agreement occurs at any time before the
end of the final Measurement Period, then notwithstanding any vesting provided
for herein the Company or its assignee may, in the Company's discretion, at any
time and from time to time for a period of one (1) year following such
occurrence, repurchase from the Purchaser at the price per Share that the
Purchaser paid to the Company, and the Purchaser will sell to the Company, any
or all Shares designated by the Company that had not vested at the time of such
occurrence, or that vested effective as of a date within 365 days before such
occurrence, provided however, that (i) if the Purchaser's employment with the
Employer was terminated by the Employer without Cause or by the Purchaser for
Good Reason (each as defined in the Employment Agreement), or (ii) the
Purchaser's employment with the Employer is terminated by the Purchaser or the
Employer (or its successor) within one hundred twenty (120) days after a Change
in Control of the Company, then the Company will not be entitled to repurchase
vested Shares pursuant to this subparagraph (iii) solely because of the
occurrence after termination of employment of any of the events or circumstances
constituting Cause listed in item A of Schedule 1 of the Purchaser's Employment
Agreement. For purposes of this Agreement a "CHANGE IN CONTROL" shall have the
meaning ascribed to such term in the Company's Senior Credit Agreement.

           (e) (i) The purchase price for any repurchase pursuant to this
Section 4.1 shall be paid, (A) by deducting the purchase price from any amount
outstanding on the Note and canceling the Note upon deduction of the full amount
outstanding on the Note, if applicable; and (B) if the purchase price exceeds
the amount outstanding on the Note, in the Company's discretion, in cash or by a
promissory note bearing interest at 7% and payable in up to 12 equal monthly
amortizing installments of principal and accrued interest, or any combination of
cash and such a promissory note.

                                       7
<PAGE>   8

                  (ii) If the Company wishes to exercise its right to repurchase
any Shares under this Agreement but the Purchaser cannot deliver such Shares to
the Company because such Shares have previously been sold by the Purchaser, the
Company may, in its discretion, upon payment to the Purchaser of the price per
Share that the Purchaser paid to the Company, recover from the Purchaser, and
the Purchaser shall deliver to the Company, all proceeds to the Purchaser of the
sale of such Shares (or the cash value thereof), such that the Purchaser retains
no benefit from having owned the Shares.

           (f) The exercise of the Company's right to repurchase Shares or to
accelerate vesting or forgive Restrictions pursuant to this Section 4.1, and its
right to repurchase Common Stock purchased by other Sponsors, the Founders or
other third parties that are subject to restrictions, or to accelerate vesting
or forgive Restrictions applicable to such Common Stock, shall be within the
discretion of the Company. The Company may (but will not be required to)
exercise its right to repurchase, accelerate, or forgive Restrictions with
respect to any or all shares of restricted Common Stock owned by the Purchaser
or any Sponsor, Founder, or other third party without incurring any obligation
to repurchase, accelerate, or forgive Restrictions with respect to any other
Common Stock owned by the Purchaser or any Sponsor, Founder, or other third
party.

           (g) The Shares shall be subject to a Stockholder Agreement in the
form attached hereto as Exhibit D (the "STOCKHOLDER AGREEMENT") restricting
transfers and imposing certain obligations upon the Purchaser, which must be
executed and delivered by the Purchaser as described in Section 5.2(b). Shares
that have vested shall nevertheless be governed by the Stockholder Agreement.
The Company's repurchase rights hereunder will supersede the purchase provisions
of the Stockholder Agreement.

           (h) The Company will release the Certificates representing Shares as
such Shares become free of both the Restrictions and the Stockholder Agreement,
provided that (a) the Purchaser has paid to the Company the full Purchase Price
for such Shares, and an amount sufficient to satisfy any taxes or other amounts
required by any Governmental Entity to be withheld and paid over to such
Governmental Entity for the Purchaser's account, or otherwise made arrangements
satisfactory to the Company for payment of such amounts through withholding or
otherwise, and (b) the Purchaser has, if requested by the Company, made
appropriate representations in a form satisfactory to the Company that such
Shares will not be transferred other than (i) pursuant to an effective
registration statement under the Securities Act, or an applicable exemption from
the registration requirements of the Securities Act; (ii) in compliance with all
applicable state securities laws and regulations; and (iii) in compliance with
all terms and conditions of the Stockholder Agreement.

           (i) The Shares shall be subject to a Voting Agreement in the form
attached hereto as Exhibit E (the "VOTING AGREEMENT"), which must be executed
and delivered by the Purchaser as described in Section 5.2(b).

                                       8
<PAGE>   9

        4.2 SECURITIES RESTRICTIONS.

            (a) In addition to the contractual restrictions on transfer set
forth in this Agreement and the Stockholder Agreement, the Shares (or interests
therein) cannot be offered, sold or transferred unless the Shares are registered
and qualified under the Securities Act and applicable state securities laws or
exemptions from such registration and qualification requirements are available,
or such registration and qualification requirements are inapplicable, as
reflected in an opinion of counsel to the Purchaser in form and substance
reasonably satisfactory to the Company. In the absence of an effective
registration statement covering the Shares or an available exemption from
registration under the Securities Act and applicable state securities laws, the
Shares must be held indefinitely and may not be sold pursuant to Rule 144
promulgated under the Securities Act unless all of the conditions of that rule
are met.

            (b) In addition to any legends required by the Stockholder Agreement
and the Voting Agreement, the Certificates will bear a legend to the effect set
forth below, and appropriate stop transfer instructions against the Shares will
be placed with any transfer agent of the Company to ensure compliance with the
restrictions set forth herein.

                "THE SHARES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER
        THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAW AND
        MAY NOT BE SOLD, OFFERED FOR SALE, TRANSFERRED, ASSIGNED, PLEDGED, OR
        HYPOTHECATED UNLESS AND UNTIL REGISTERED UNDER SUCH ACT AND ANY
        APPLICABLE STATE SECURITIES LAWS, OR UNLESS THE COMPANY HAS RECEIVED AN
        OPINION OF COUNSEL TO THE HOLDER OF THE SHARES OR OTHER EVIDENCE,
        SATISFACTORY TO THE COMPANY AND ITS COUNSEL, THAT SUCH REGISTRATION IS
        NOT REQUIRED."

            (c) Each recipient of Shares or interests therein shall, as a
condition to transfer of any Shares or interest therein, cause the transferee to
enter into the Stockholder Agreement and the Voting Agreement, provided that,
with respect to each such agreement, this requirement will not apply to
transfers made after the agreement has terminated.

            (d) In connection with any underwritten public offering of
securities of the Company or any of its affiliates within three (3) years of the
date hereof, if the managing underwriter believes that it is appropriate in
connection with the offering to limit public sales of such securities by
Company's stockholders, the Purchaser will agree to the managing underwriter's
standard form of "lock up" agreement prohibiting transfers of any Common Stock
owned by the Purchaser, including without limitation shares acquired other than
pursuant hereto (other than shares included in the offering) for such period as
may be required by the managing underwriter not to exceed twenty (20) days prior
to, and one hundred and eighty (180) days after, the effective date of the
registration statement for such offering, provided however, that (i) such lock
up provision may not be invoked more than once in any 365 day period, (ii) such
lock up provision will be contingent upon the officers and directors of the
registrant entering into similar lock up agreements, and (iii) the Purchaser
will not be required to comply with this lock up provision if any other
stockholder owning more shares of Common Stock than the Purchaser and

                                       9
<PAGE>   10

who is subject to a contractual lock up provision similar to this one has been
released from such lock up obligation.

        4.3 STOCKHOLDER RIGHTS. During the period prior to the lapse and removal
of the Restrictions, except as otherwise provided herein, and subject to the
Voting Agreement, the Purchaser will have all of the rights of a stockholder of
the Company with respect to all of the Shares, including without limitation the
right to receive all dividends or other distributions with respect to such
Shares. In connection with the payment of such dividends or other distributions,
the Company will be entitled to deduct any taxes or other amounts required by
any Governmental Entity to be withheld and paid over to such Governmental Entity
for the Purchaser's account.

        4.4 MERGER, CONSOLIDATION OR REORGANIZATION. In the event of a merger,
consolidation or reorganization of the Company in which the Common Stock of the
Company is exchanged for cash, securities or other property (the "EXCHANGE
CONSIDERATION"), the Purchaser will be entitled to receive a proportionate share
of the Exchange Consideration in exchange for the Shares the Purchaser owns at
the time of such merger, consolidation or reorganization; provided, however,
that the Purchaser's share of the Exchange Consideration shall be subject to the
Restrictions not yet satisfied, unless the Board of Directors of the Company, in
its discretion, accelerates the vesting and forgives the Restrictions.

        4.5 SECTION 83(B) ELECTION. The Purchaser may make an election pursuant
to Section 83(b) of the Internal Revenue Code, or comparable provisions of any
state tax law, to include in the Purchaser's gross income the amount by which
the fair market value of the Shares the Purchaser acquires exceeds the price
paid therefor only if, prior to making any such election, the Purchaser (a)
notifies the Company of the Purchaser's intention to make such election, by
delivering to the Company a copy of the fully-executed Section 83(b) Election
Form attached hereto as Exhibit F, and (b) pays to the Company an amount
sufficient to satisfy any taxes or other amounts required by any Governmental
Entity to be withheld or paid over to such Governmental Entity for the
Purchaser's account, or otherwise makes arrangements satisfactory to the Company
for the payment of such amounts through withholding or otherwise.

        4.6 NO RIGHT TO CONTINUED EMPLOYMENT. Neither this Agreement nor the
ownership of the Shares confers upon the Purchaser any right to continue as an
employee of the Employer, or limits in any way the right of the Employer to
terminate the Purchaser's services to the Employer at any time, with or without
cause. Such matters are addressed, if at all, only pursuant to the Employment
Agreement.

        4.7 REGISTRATION.

            (a) The Purchaser will have no rights to demand registration of any
of the Shares, or to participate in any registration undertaken by the Company
except as set forth in this Section 4.7. If the Company files a registration
statement with the Securities and Exchange Commission for an underwritten IPO of
its equity securities or any subsequent underwritten public offering within
twenty-four (24) months of the closing of the IPO (not including a registration
statement filed in connection with an acquisition or employee benefit plan), and
if the managing underwriter of such offering believes that the market will
accommodate selling

                                       10
<PAGE>   11

stockholders in the offering, then the Purchaser shall have the right, subject
to the limitations set forth in this Section 4.7(a), to include in such
registration statement or statements and offering or offerings Shares and other
Common Stock owned by the Purchaser. Other stockholders (including but not
limited to stockholders who acquired Common Stock in the Consolidation
Transactions and stockholders who acquired Common Stock in the formation, or
work on behalf of, the Company) will have rights to include shares of Common
Stock in such offering, and if the aggregate amount of shares that all
stockholders with such rights (collectively, the "SELLING STOCKHOLDERS") desire
to include exceeds the number of shares of Common Stock that can be sold by all
Selling Stockholders, then all Selling Stockholders desiring to sell in any such
offering will participate pro-rata on the basis of the relative numbers of
shares of Common Stock eligible for inclusion that they originally sought to
include. However, notwithstanding the foregoing no Selling Stockholder will be
permitted to include in any such registration and offering (i) any Shares
subject to performance-related restrictions at the time of filing of the
registration statement for such offering, or (ii) more than, in the aggregate
for all such registrations and offerings, half of the Shares and other Common
Stock owned by the Purchaser as of the date hereof. Furthermore, in no case will
the Purchaser be permitted to include in the IPO registration and offering more
than the number of Shares listed on Schedule 1.1 under the item "Maximum IPO
Shares."

            (b) If the Purchaser acting pursuant to this Section 4.7 includes
any securities in any registration of the Company, the Company will agree to
indemnify the Purchaser from and against any claims, costs and liabilities
incurred by the Purchaser as a result of any untrue, or alleged untrue,
statement of a material fact contained in any registration statement,
preliminary prospectus or prospectus (as amended or supplemented if the Company
shall have furnished any amendments or supplements thereto) or caused by any
omission, or alleged omission, to state therein a material fact required to be
stated therein or necessary to make the statements therein not misleading,
except insofar as such claims, costs or liabilities are caused by any untrue
statement or alleged untrue statement or omission or alleged omission so made in
conformity with information furnished in writing to the Company by the Purchaser
expressly for use therein, for which the Purchaser will be responsible.

            (c) Shares may only be included in a registration and offering
pursuant to this Section 4.7, pursuant to the underwriting agreement negotiated
between the Company and the underwriters, and the Purchaser must enter into the
underwriting agreement with respect to any Shares to be included in the
registration and offering. The Purchaser shall pay (i) all underwriting
discounts and commissions applicable to any such sale of shares, (ii) the
Purchaser's ratable share (based on the relative number of shares of Common
Stock included in the offering) of any fees and disbursements of a single
counsel for all Selling Stockholders, which counsel shall be selected by the two
(2) stockholders (or affiliated stockholder groups) selling the most shares in
the offering, and (iii) the fees and costs of any separate counsel retained by
the Purchaser alone.

            (d) At all times that equity securities of the Company are
registered pursuant to the Securities Exchange Act of 1934, as amended, the
Company shall use its best efforts to fulfill all conditions applicable to a
registrant as are necessary to enable selling security holders of the Company to
make sales pursuant to Rule 144 under the Securities Act.

                                       11
<PAGE>   12

            (e) This Section 4.7 supersedes any registration rights granted to
the Purchaser pursuant to any prior agreement.

        4.8 INDEMNIFICATION. The Purchaser shall indemnify, defend and hold
harmless the Company, its affiliates, their successors and assigns, and the
officers, directors, employees and agents of any of them, from and against any
and all losses, liabilities, claims, damages, obligations, assessments,
penalties, interests, demands, actions and expenses (including, without
limitation, settlement costs and any and all expenses reasonably incurred in
investigating, preparing or defending against any litigation, commenced or
threatened, or any claim) arising out of or in connection with or based upon any
false acknowledgment, representation or warranty, or breach or failure by the
Purchaser to comply with any covenant or agreement, made by the Purchaser herein
or in any other Transaction Document.

        4.9 ENFORCEMENT OF THE AGREEMENT.

            (a) The Company and the Purchaser acknowledge that irreparable
damage would occur if any of the obligations of the parties under this Agreement
were not performed in accordance with their specific terms or were otherwise
breached. Either party shall be entitled to an injunction or injunctions to
prevent breaches of this Agreement by the other and to enforce specifically the
terms and provisions hereto, this being in addition to any other remedy to which
such party is entitled at law or in equity.

            (b) Concurrent herewith, the Purchaser shall deliver a stock power
executed by the Purchaser and the Purchaser's spouse, if applicable (the "STOCK
POWER"), in blank to the Secretary of the Company, to hold in escrow to
facilitate the enforcement of restrictions on transfer of the Shares set forth
herein or in the Stockholder Agreement. The Company shall have the right, in its
discretion, to exercise the Stock Power if the Company becomes entitled to
repurchase any or all of the Shares pursuant to the provisions of this Agreement
or the Stockholder Agreement.

        4.10 SUPPLEMENTAL DISCLOSURE. Until the second anniversary of the
Effective Date, the Purchaser shall promptly provide written notice to the
Company with particularity of any breach or inaccuracy of any representation,
warranty, agreement or covenant contained herein or in any other Transaction
Document.

5. CONCURRENT DELIVERIES.

        5.1 DELIVERIES BY THE COMPANY. Concurrent herewith, the Company shall
deliver to the Purchaser a photocopy of the Certificates issued in the
Purchaser's name.

        5.2 DELIVERIES BY THE PURCHASER.

            (a) The Cash Payment. Concurrent herewith, the Purchaser shall
deliver to the Company the Cash Payment.

            (b) Documents of the Purchaser. In addition to the Note and the
Accredited Investor Questionnaire, concurrent herewith and as a condition to
receipt of any Shares, the Purchaser shall execute and deliver to the Company,
each dated the Effective Date:

                                       12
<PAGE>   13

                  (i) The Stockholder Agreement described in Section 4.1(g);

                  (ii) The Voting Agreement described in Section 4.1(i); and

                  (iii) The Stock Power described in Section 4.9(b).

            (c) Other Closing Documents. The Company shall receive such other
duly executed certificates, instruments and documents in furtherance of the
transactions contemplated by this Agreement and the other Transaction Documents
as the Company may reasonably request.

6. MISCELLANEOUS.

        6.1 SURVIVAL OF REPRESENTATIONS AND WARRANTIES. Regardless of any
party's investigations prior to the date hereof, the representations and
warranties contained herein and in the other Transaction Documents shall survive
the execution and delivery hereof and the purchase and sale of the Shares.

        6.2 NOTICES. All notices, requests, demands and other communications
hereunder shall be in writing and shall be deemed given upon personal delivery
or three (3) days after being mailed by certified or registered mail, postage
prepaid, return receipt requested, or one (1) business day after being sent via
a nationally recognized overnight courier service if overnight courier service
is requested from such service or upon receipt of electronic or other
confirmation of transmission if sent via facsimile, to the parties, their
successors in interest or their assignees at the addresses and telephone numbers
set forth on the signature page hereof or at such other addresses or telephone
numbers as the parties may designate by written notice in accordance with this
Section 6.2.

        6.3 ASSIGNABILITY AND PARTIES IN INTEREST. This Agreement and any of the
rights, interests or obligations hereunder may not be assigned by any of the
parties hereto except that the Company may assign this Agreement or any of its
rights hereunder to its affiliates or to successors to all or substantially all
of its business. Nothing in this Agreement will confer upon any person or entity
not a party to this Agreement, or the legal representatives of such person or
entity, any rights or remedies of any nature or kind whatsoever under or by
reason of this Agreement.

        6.4 GOVERNING LAW. This Agreement shall be governed by, and construed
and enforced in accordance with, the laws of the State of California, without
regard to its conflicts-of-law principles.

        6.5 COUNTERPARTS. This Agreement and the other Transaction Documents may
be executed in counterparts, each of which shall be deemed an original, but all
of which shall constitute but one and the same instrument.

        6.6 COMPLETE AGREEMENT. This Agreement, the exhibits and schedules
hereto, and the other Transaction Documents contain the entire agreement between
the parties hereto with respect to the subject matter contemplated herein and
therein and supersede all previous oral and written and all contemporaneous oral
negotiations, commitments, and understandings with

                                       13
<PAGE>   14

respect thereto. The parties acknowledge that their agreements hereunder were
not procured through representations or agreements not set forth herein or
therein.

        6.7 AMENDMENTS. This Agreement and the other Transaction Documents may
be amended only by written instrument duly executed and delivered by the parties
hereto or thereto, as the case may be.

        6.8 CONSTRUCTION. The headings contained in this Agreement and the other
Transaction Documents are for reference purposes only and shall not affect in
any way the meaning or interpretation hereof or thereof. References herein or
therein to Articles, Sections, Schedules and Exhibits refer to the referenced
Articles, Sections, Schedules or Exhibits hereof or thereof as the case may be,
unless otherwise specified. This Agreement and the other Transaction Documents
shall be deemed the joint work product of the parties hereto or thereto without
regard to the identity of the draftsperson, and any rule of construction that a
document shall be interpreted or construed against the drafting party shall not
be applicable.

        6.9 SEVERABILITY. Any provision of this Agreement or any other
Transaction Document which is invalid, illegal, or unenforceable in any
jurisdiction shall, as to that jurisdiction, be ineffective to the extent of
such invalidity, illegality, or unenforceability, without affecting in any way
the remaining provisions hereof in such jurisdiction or rendering that or any
other provision of this Agreement or any other Transaction Document invalid,
illegal, or unenforceable in any other jurisdiction.

        6.10 EXPENSES OF TRANSACTIONS. All fees, costs and expenses incurred by
the Company or the Purchaser in connection with the transactions contemplated by
this Agreement and the other Transaction Documents shall be borne by the party
incurring the same.

        6.11 ARBITRATION.

            (a) (i) Any controversy or claim arising out of or relating to this
Agreement shall be solely and finally settled by arbitration administered by the
American Arbitration Association (the "AAA") in accordance with its Commercial
Arbitration Rules as then in effect (the "RULES"), except to the extent such
Rules vary from the following provisions. Notwithstanding the previous sentence,
the parties hereto may seek provisional remedies in courts of appropriate
jurisdiction and such request shall not be deemed a waiver of the right to
compel arbitration of a dispute hereunder.

            (ii) If any controversy or claim arising out of or relating to this
Agreement also arises out of or relates to the employment of the Purchaser by
the Employer, the provisions of this Agreement governing dispute resolution
shall govern resolution of such controversy or claim. The provisions of this
Agreement governing dispute resolution supersede any provisions relating to such
matters in any employment agreement between the Purchaser and the Employer.

            (iii) The arbitration shall be conducted by one independent and
impartial arbitrator, appointed by the AAA; provided however, if the claim and
any counterclaim, in the aggregate, together with other arbitrations that are
consolidated pursuant to Section 6.11(f), exceed Five Hundred Thousand Dollars
($500,000) (the "THRESHOLD"), exclusive of interest and attorneys' fees, the
dispute shall be heard and determined by three (3) arbitrators as provided
herein (such

                                       14
<PAGE>   15

arbitrator or arbitrators are hereinafter referred to as the "Arbitrator"). The
judgment of the award rendered by the Arbitrator may be entered in any court
having jurisdiction thereof. The arbitration proceedings shall be held in Orange
County, California unless the parties agree to another location.

           (b) If a party hereto determines to submit a dispute for arbitration
pursuant to this Section 6.11, such party shall furnish the other party with
whom it has the dispute with a notice of arbitration as provided in the Rules
(an "ARBITRATION NOTICE") which, in addition to the items required by the Rules,
shall include a statement of the nature, with reasonable detail, of the dispute.
A copy of the Arbitration Notice shall be concurrently provided to the AAA,
along with a copy of this Agreement, and if pursuant to Section 6.11(a) one (1)
Arbitrator is to be appointed, a request to appoint the Arbitrator. If a party
has a counterclaim against the other party, such party shall furnish the party
with whom it has the dispute a notice of such claim as provided in the Rules (a
"NOTICE OF COUNTERCLAIM") within ten (10) days of receipt of the Arbitration
Notice, which, in addition to the items required by the Rules, shall include a
statement of the nature, with reasonable detail, of the dispute. A copy of the
Notice of Counterclaim shall be concurrently provided to the AAA. If the claim
set forth in the Notice of Counterclaim causes the aggregate amount in dispute
to exceed the Threshold, the Notice of Counterclaim shall so state. If pursuant
to Section 6.11(a) three (3) Arbitrators are to be appointed, within fifteen
(15) days after receipt of the Arbitration Notice or the Notice of Counterclaim
as applicable, each party shall select one person to act as Arbitrator and the
two (2) selected shall select a third arbitrator within ten (10) days of their
appointment. If the Arbitrators selected by the parties are unable or fail to
agree upon the third arbitrator within such time, the third arbitrator shall be
selected by the AAA. Each arbitrator shall be a practicing attorney or a retired
or former judge with at least twenty (20) years experience with and knowledge of
securities laws, complex business transactions, and mergers and acquisitions.

           (c) Once the Arbitrator is selected, the Arbitrator shall schedule a
pre-hearing conference to reach agreement on procedural and scheduling matters,
arrange for the exchange of information, obtain stipulations and attempt to
narrow the issues.

           (d) At the pre-hearing conference, the Arbitrator shall have the
discretion to order, to the extent the Arbitrator deems relevant and
appropriate, that each party may (i) serve a maximum of one set of no more than
twenty (20) requests for production of documents and one set of ten (10)
interrogatories (without subparts) upon the other parties; and (ii) depose a
maximum of three (3) witnesses. All objections to discovery are reserved for the
arbitration hearing except for objections based on privilege and proprietary or
confidential information. The responses to the document demand, the documents to
be produced thereunder, and the responses to the interrogatories shall be
delivered to the propounding party thirty (30) days after receipt by the
responding party of such document demand or interrogatory. Each deposition shall
be taken on reasonable notice to the deponent, and must be concluded within four
(4) hours and all depositions must be taken within forty-five (45) days
following the pre-hearing conference. Any party deposing an opponent's expert
must pay the expert's fee for attending the deposition. All discovery disputes
shall be decided by the Arbitrator.

           (e) The parties must file briefs with the Arbitrator at least three
(3) days before the arbitration hearing, specifying the facts each intends to
prove and analyzing the applicable law.

                                       15
<PAGE>   16

The parties have the right to representation by legal counsel throughout the
arbitration proceedings. The presentation of evidence at the arbitration hearing
shall be governed by the Federal Rules of Evidence. Oral evidence given at the
arbitration hearing shall be given under oath. Any party desiring a stenographic
record may secure a court reporter to attend the arbitration proceedings. The
party requesting the court reporter must notify the other parties and the
Arbitrator of the arrangement in advance of the hearing, and must pay for the
cost incurred.

            (f) Any arbitration can be consolidated with one or more
arbitrations involving other parties, which arise under agreement(s) between the
Company and such other parties, if more than one such arbitration is commenced
and any party thereto contends that two or more arbitrations are substantially
related and that the issues should be heard in one proceeding. The Arbitrator
selected in the first-filed of such proceedings shall determine whether, in the
interests of justice and efficiency, the proceedings should be consolidated
before that Arbitrator.

            (g) The Arbitrator's award shall be in writing, signed by the
Arbitrator and shall contain a concise statement regarding the reasons for the
disposition of any claim.

            (h) To the extent permissible under applicable law, the award of the
Arbitrator shall be final. It is the intent of the parties that the arbitration
provisions hereof be enforced to the fullest extent permitted by applicable law.

        6.12 SUBMISSION TO JURISDICTION. All actions or proceedings arising in
connection with this Agreement or any other Transaction Document for preliminary
or injunctive relief or matters not subject to arbitration, if any, shall be
tried and litigated exclusively in the state or federal courts located in the
County of Orange, State of California. The aforementioned choice of venue is
intended by the parties to be mandatory and not permissive in nature, thereby
precluding the possibility of litigation between the parties with respect to or
arising out of this Agreement or any other Transaction Document in any
jurisdiction other than that specified in this paragraph. Each party hereby
waives any right it may have to assert the doctrine of forum non conveniens or
similar doctrine or to object to venue with respect to any proceeding brought in
accordance with this paragraph, and stipulates and acknowledges that it has had
sufficient minimum contacts with California such that the State and Federal
courts located in the County of Orange, State of California shall have in
personam jurisdiction over each of them for the purpose of litigating any such
dispute, controversy, or proceeding. Each party hereby authorizes and accepts
service of process sufficient for personal jurisdiction in any action against it
as contemplated by this Section by registered or certified mail, return receipt
requested, postage prepaid, to its address for the giving of notices as set
forth in Section 6.2. Nothing herein shall affect the right of any party to
serve process in any other manner permitted by law.

        6.13 ATTORNEYS' FEES. If the Purchaser brings any action, suit,
counterclaim, cross-claim, appeal, arbitration, or mediation for any relief
against the Company, or if the Company brings any action, suit, counterclaim,
cross-claim, appeal, arbitration, or mediation for any relief against the
Purchaser, declaratory or otherwise, to enforce the terms of or to declare
rights under this Agreement or any other Transaction Document (collectively, an
"ACTION"), in addition to any damages and costs which the Prevailing Party
otherwise would be entitled, the non-Prevailing Party shall pay to the
Prevailing Party a reasonable sum for attorneys' fees and costs (at the
Prevailing Party's attorneys' then-prevailing rates) incurred in bringing and
prosecuting or

                                       16
<PAGE>   17

defending such Action and/or enforcing any judgment, order, ruling, or award
(collectively, a "DECISION") granted therein, all of which shall be deemed to
have accrued on the commencement of such Action and shall be paid whether or not
such action is prosecuted to a Decision. Any Decision entered in such Action
shall contain a specific provision providing for the recovery of attorneys' fees
and costs incurred in enforcing such Decision.

        For the purposes of this Section, attorneys' fees shall include, but not
be limited to, fees incurred in the following: (1) post-judgment motions and
collection actions; (2) contempt proceedings; (3) garnishment, levy and debtor
and third party examinations; (4) discovery; and (5) bankruptcy litigation.

        "PREVAILING PARTY" within the meaning of this Section includes, without
limitation, a party who agrees to dismiss an action on the other party's payment
of the sum allegedly due or performance of the covenants allegedly breached, or
who obtains substantially the relief sought by it. If there are multiple claims,
the Prevailing Party shall be determined with respect to each claim separately.
The Prevailing Party shall be the party who has obtained the greater relief in
connection with any particular claim, although, with respect to any claim, it
may be determined that there is no Prevailing Party.

        IN WITNESS WHEREOF, the parties hereto have executed and delivered this
Agreement as of the date first above written.

PROFITSOURCE CORPORATION                        PURCHASER

By: /s/ MARK C. COLEMAN                         By: /s/ DAVID M. EHLEN
   ---------------------------                     ----------------------------
Name: Mark C. Coleman                           Name: David M. Ehlen
     -------------------------
Title: SVP
      ------------------------

Address:                                        Address:

695 Town Center Drive, Suite 400                -------------------------------
Costa Mesa, California 92626
                                                -------------------------------

                                                Telephone No.:
                                                              -----------------
Telephone No.: (714) 429-5500                   Facsimile No.:
                                                              -----------------
Facsimile No.:  (714) 429-5559

                                       17

<PAGE>   18

SCHEDULES

1.1     Shares and Purchase Price
2.4     Consolidation Transactions
4       Vesting Schedule

EXHIBITS

A.      Form of the Note
B.      Form of the Accredited Investor Questionnaire
C.      Summary of Certain Considerations
D.      Form of the Stockholder Agreement
E.      Form of the Voting Agreement
F.      Section 83(b) Election Form

<PAGE>   19

                                  SCHEDULE 1.1

                            SHARES AND PURCHASE PRICE

<TABLE>
<S>                                                               <C>
Aggregate Number of Shares:                                            653,704

              Employment Related Shares:
                                                                        85,714

              A Purchase Arbitrage Shares:
                                                                        89,685

              B Purchase Arbitrage Shares
                                                                        98,609

              Pooling Arbitrage Shares:
                                                                       379,696

Aggregate Purchase Price:                                          $784,444.80

              Cash Payment:              $    653.70

              Note:                      $783,791.10

Maximum IPO Shares:                                                    130,741
</TABLE>

<PAGE>   20

                                  SCHEDULE 2.4

                           CONSOLIDATION TRANSACTIONS

                    Bay Group International, Inc.

                    Better Communications, Inc.

                    Praxis/Vitality Alliance

                    Pritchett & Assoc.

                    RBG Group Ltd.

                    Sigma International, Inc.

                    The Dublin Group, Inc.

                    Young, Clark & Associates, Inc.

<PAGE>   21

                                   SCHEDULE 4

                                VESTING SCHEDULE

        Subject to the terms and conditions described in this Agreement, the
Restrictions applicable to the various Shares will lapse and the various Shares
will vest if and when the corresponding performance targets of the Purchaser set
forth below are met, provided, however, that except as set forth in this
Schedule 4, in order for Shares eligible to vest for any Measurement Period to
vest, the Purchaser must have remained an employee of the Employer from the date
hereof through the last day of that Measurement Period. For purposes of this
Agreement, "AFFILIATE" shall have the meaning ascribed to such term in Rule 405
of the Securities Act.

        (a) EMPLOYMENT RELATED SHARES

            (i) VESTING DURING EMPLOYMENT

        On the last day of each of the Measurement Periods set forth in the
table below, if the Purchaser has remained an Employee of the Employer from the
date hereof through the last day of such Measurement Period, the Restrictions
will lapse with respect to such number of Employment Related Shares (as set
forth in Schedule 1.1) as is equal to the product of the Vesting Percentage
corresponding to that Measurement Period and the total number of Employment
Related Shares.

<TABLE>
<CAPTION>
                                                            VESTING
              MEASUREMENT PERIOD                           PERCENTAGE
              ------------------                           ----------
<S>                                                          <C>
              January 1, 1999- December 31, 1999               25%
              January 1, 2000- December 31, 2000               25%
              January 1, 2001- December 31, 2001               25%
              January 1, 2002- December 31, 2002               25%
</TABLE>

            (ii) VESTING UPON CERTAIN TERMINATION OF EMPLOYMENT

            If employment of the Purchaser with the Employer is terminated by
death, by the Employer without "Cause" or by the Purchaser for "Good Reason"
(each as defined in the Employment Agreement), or by "Disability" as defined
below, the Restrictions will lapse with respect to such number of Employment
Related Shares (in addition to those Employment Related Shares previously vested
for prior Measurement Periods) as is equal to the product of the Vesting
Percentage corresponding to the Measurement Period in which termination of
employment occurred times the total number of Employment Related Shares times a
fraction, the numerator of which is the number of days in the Measurement Period
in which termination of employment occurred through the date of termination of
the employment of the Purchaser, and the denominator of which is 365.

<PAGE>   22

            For purposes hereof, the term "DISABILITY" means the Purchaser
suffers an ongoing physical or psychological impairment that has rendered
Purchaser unable, as determined in good faith by the Chief Executive Officer of
EPS, to perform the Purchaser's duties to the Employer, notwithstanding
reasonable accommodation by the Employer (EPS, at its option and expense, being
entitled to retain a physician to confirm the existence of such disability), for
a period of three (3) consecutive months or six (6) months in any 12-month
period.

        (b) A PURCHASE ARBITRAGE SHARES

            (i) VESTING DURING EMPLOYMENT

            On the last day of each of the Measurement Periods set forth in the
table below, if the Purchaser has remained an employee of the Employer from the
date hereof through the last day of such Measurement Period, the Restrictions
will lapse with respect to such number of A Purchase Arbitrage Shares (as set
forth in Schedule 1.1) as is equal to the product of the Vesting Percentage
corresponding to that Measurement Period in the table below and the total number
of A Purchase Arbitrage Shares.

<TABLE>
<CAPTION>
                                                              VESTING
              MEASUREMENT PERIOD                            PERCENTAGE
              ------------------                            ----------
<S>                                                           <C>
              January 1, 1999- December 31, 1999               25%
              January 1, 2000- December 31, 2000               25%
              January 1, 2001- December 31, 2001               25%
              January 1, 2002- December 31, 2002               25%
</TABLE>

            (ii) VESTING UPON CERTAIN TERMINATION OF EMPLOYMENT

            If the employment of the Purchaser is terminated by death or by
Disability or is terminated by the Employer without Cause or by the Purchaser
for Good Reason or the Purchaser's employment with the Employer is terminated by
the Purchaser or the Employer (or its successor) within one hundred and twenty
(120) days after a Change in Control of the Company, upon the last day of each
Measurement Period ending after the termination of the Purchaser's employment
with the Employer, the Restrictions will lapse with respect to such number of A
Purchase Arbitrage Shares (in addition to those A Purchase Arbitrage Shares
previously vested for prior Measurement Periods) as is equal to the product of
the Vesting Percentage corresponding to that Measurement Period and the total
number of A Purchase Arbitrage Shares, provided however, that if any of the
events or circumstances constituting "Cause" listed in Items B and C of Schedule
1 of the Purchaser's Employment Agreement occurs at any time before the end of
the final Measurement Period, then, in addition to the rights of the Company set
forth in Section 4.1(d), the Shares shall no longer continue to vest as set
forth in this paragraph and the Company or its assignee may, in the Company's
discretion, at any time and from time to time for a period of one (1) year
following such occurrence, repurchase from the Purchaser at the price per share
that the Purchaser paid to the Company, and the Purchaser will sell to the
Company, any or all unvested shares.

                                       2
<PAGE>   23

        (c) B PURCHASE ARBITRAGE SHARES

            (i) VESTING DURING EMPLOYMENT

        If and when, while the Purchaser is employed by the Employer, a "B
Purchase Company" listed below is acquired by the Company or any of its
Affiliates in a consummated Consolidation Transaction before the Vesting
Deadline for B Purchase Arbitrage Shares set forth below, (a "TIMELY B PURCHASE
CLOSING") the Restrictions will lapse with respect to twenty percent (20%) of
the B Purchase Arbitrage Shares corresponding to that B Purchase Company in the
table below.

<TABLE>
<CAPTION>
                                                              B PURCHASE
         B PURCHASE COMPANY                                ARBITRAGE SHARES
         ------------------                                ----------------
<S>                                                             <C>
         Holden Corporation                                     85,661
         Paradigm Learning, Inc.                                12,948
                                                                ------
                                            Total               98,609
                                                                ------
</TABLE>

        In addition to the vesting described in the immediately preceding
paragraph, on the last day of each of the Measurement Periods set forth below,
if the Purchaser has remained an employee of the Employer from the date hereof
through the last day of such Measurement Period, then for each B Purchase
Company that is acquired in a Timely B Purchase Closing, the Restrictions will
lapse with respect to twenty percent (20%) of the number of B Purchase Arbitrage
Shares corresponding to that B Purchase Company in the table above.

                       MEASUREMENT PERIOD
                       January 1, 1999- December 31, 1999
                       January 1, 2000- December 31, 2000
                       January 1, 2001- December 31, 2001
                       January 1, 2002- December 31, 2002

            (ii) VESTING UPON CERTAIN TERMINATION OF EMPLOYMENT

        If employment of the Purchaser with the Employer is terminated by death,
by Disability, by the Employer without Cause, or by the Purchaser for Good
Reason or the Purchaser's employment with the Employer is terminated by the
Purchaser or the Employer (or its successor) within one hundred and twenty (120)
days after a Change in Control of the Company, and if any B Purchase Company
participates (or participated) in a Timely B Purchase Closing prior to the date
that is 180 days after the date of termination of the Purchaser's employment
with the Employer, then upon consummation of such Timely B Purchase Closing
after termination of the Purchaser's employment twenty percent (20%) of the B
Purchase Arbitrage Shares associated with such B Purchase Company shall vest,
and upon the last day of each Measurement Period set

                                       3
<PAGE>   24

forth above ending after the termination of the Purchaser's employment with the
Employer, the Restrictions will lapse with respect to twenty percent (20%) of
the B Purchase Arbitrage Shares associated with such B Purchase Company,
provided however, that (i) such vesting will not be duplicative of any vesting
that occurred while the Purchaser was employed by the Employer, and (ii) if any
of the events or circumstances constituting "Cause" listed in Items B or C of
Schedule 1 of the Purchaser's Employment Agreement occurs at any time before the
end of the final Measurement Period, then, in addition to the rights of the
Company set forth in Section 4.1(d), the Shares shall no longer continue to vest
as set forth in this paragraph and the Company or its assignee may, in the
Company's discretion, at any time and from time to time for a period of one (1)
year following such occurrence, repurchase from the Purchaser at the price per
share that the Purchaser paid to the Company, and the Purchaser will sell to the
Company, any or all unvested shares.

            (iii) VESTING DEADLINE

        The Vesting Deadline for B Purchase Arbitrage Shares is the earlier of
(i) the filing of a registration statement for an IPO of the Company's equity
securities, or (ii) December 31, 1999.

        (d) POOLING COMPANY ARBITRAGE SHARES

            (i) VESTING DURING EMPLOYMENT

        If and when, while the Purchaser is employed by the Employer, a "Pooling
Company" listed below is acquired by the Company or any of its Affiliates in a
consummated Consolidation Transaction before the Vesting Deadline for Pooling
Company Arbitrage Shares set forth below (a "TIMELY POOLING CLOSING"), the
Restrictions will lapse with respect to twenty percent (20%) of the Earned
Shares associated with such Pooling Company. Upon the Pooling Closing of any
Pooling Company the Company or its assignee may, in the Company's discretion, at
any time and from time to time for a period of one (1) year following such
Pooling Closing, repurchase from the Purchaser at the price per share that the
Purchaser paid to the Company, and the Purchaser will sell to the Company, any
or all Unearned Shares associated with such Pooling Company.

        For purposes of this Agreement:

        "EARNED SHARES" associated with any Pooling Company means (i) if the
1998 proforma pretax income upon which the actual purchase price for such
Pooling Company is based (the "1998 CLOSING INCOME") is at least 90% of the
"1998 Proforma Pretax Target Income" listed in the table below for such Pooling
Company, the Pooling Arbitrage Shares corresponding to such Pooling Company in
the table below; or otherwise (ii) the product of the Pooling Arbitrage Shares
corresponding to such Pooling Company in the table below times a fraction, the
numerator of which is the 1998 Closing Income for such Pooling Company, and the
denominator of which is the "1998 Proforma Pretax Target Income" listed in the
table below for such Pooling Company.

        "UNEARNED SHARES" for any Pooling Company, if any, means the Pooling
Arbitrage Shares corresponding to that Pooling Company in the table below less
the Earned Shares for that Pooling Company.

                                       4
<PAGE>   25

<TABLE>
<CAPTION>
                                                            1998 PROFORMA PRETAX          POOLING ARBITRAGE
         POOLING COMPANY                                      TARGET INCOME                    SHARES
         ---------------                                    --------------------          -----------------
<S>                                                             <C>                            <C>
         Acclivus                                               $ 3,400,000                    51,000

         Caliper                                                  2,000,000                    28,410

         Institute for Applied Management and Law                 2,000,000                    36,000

         Kepner Tregoe                                           10,000,000                   150,000

         Personnel Decisions International                       10,000,000                   114,286
                                                                                          -----------

                                         Total                                                379,696
                                                                                          -----------
</TABLE>

        In addition to the vesting described in the immediately preceding
paragraph, on the last day of each of the Measurement Periods set forth below,
if the Purchaser has remained an employee of the Employer from the date hereof
through the last day of such Measurement Period, then for each Pooling Company
that is acquired in a Timely Pooling Closing, the Restrictions will lapse with
respect to twenty percent (20%) of the "Earned Shares" associated with such
Pooling Company.

                       MEASUREMENT PERIOD
                       January 1, 1999- December 31, 1999
                       January 1, 2000- December 31, 2000
                       January 1, 2001- December 31, 2001
                       January 1, 2002- December 31, 2002

            (ii) VESTING UPON CERTAIN TERMINATION OF EMPLOYMENT

        If employment of the Purchaser with the Employer is terminated by death,
by Disability, by the Employer without Cause, or by the Purchaser for Good
Reason or the Purchaser's employment with the Employer is terminated by the
Purchaser or the Employer (or its successor) within one hundred and twenty (120)
days after a Change in Control of the Company, and if any Pooling Company
participates (or participated) in a Timely Pooling Closing prior to the date
that is 180 days after the date of termination of the Purchaser's employment
with the Employer, then upon consummation of such Timely Pooling Closing after
termination of the Purchaser's employment twenty percent (20%) of the Earned
Shares associated with such Pooling Company shall vest, and upon the last day of
each Measurement Period set forth above ending after the termination of the
Purchaser's employment with the Employer, the Restrictions will lapse with
respect to twenty percent (20%) of the Earned Shares associated with such
Pooling Company,

                                       5
<PAGE>   26

provided however, that (i) such vesting will not be duplicative of any vesting
that occurred while the Purchaser was employed by the Employer, and (ii) if any
of the events or circumstances constituting "Cause" listed in Items B or C of
Schedule 1 of the Purchaser's Employment Agreement occurs at any time before the
end of the final Measurement Period, then, in addition to the rights of the
Company set forth in Section 4.1(d), the Shares shall no longer continue to vest
as set forth in this paragraph and the Company or its assignee may, in the
Company's discretion, at any time and from time to time for a period of one (1)
year following such occurrence, repurchase from the Purchaser at the price per
share that the Purchaser paid to the Company, and the Purchaser will sell to the
Company, any or all unvested shares.

            (iii) VESTING DEADLINE

        The Vesting Deadline for Pooling Company Arbitrage Shares is the earlier
of (i) the closing of an IPO of the Company's equity securities, or (ii)
December 31, 1999.

        (e) ACKNOWLEDGMENT

        The Company and its Affiliates have no obligation to the Purchaser to
affect any particular acquisition, or to time any particular acquisition, so as
to permit vesting hereunder to occur. The Purchaser recognizes that decisions
regarding acquisitions and the timing thereof and of any IPO filing will be made
by management of the Company consistent with duties to the Company and its
stockholders, and without regard to the Purchaser's vesting hereunder.

        (f) FRACTIONAL SHARES

        Fractional vested Shares of any kind may, in the Company's discretion,
be combined with any other fractional vested Shares of any kind (including for
later Measurement Periods) to constitute whole vested Shares, or repurchased by
the Company or its assignee at fair market value on the date of repurchase.

        (g) REPLACEMENT TARGET COMPANIES

        If the Company or any particular B Purchase Company or Pooling Company
determines that such B Purchase Company or Pooling Company will not participate
in a Timely B Purchase Closing or Timely Pooling Closing, as the case may be,
the Company may in its discretion (but will not be required to) assign any or
all of the B Purchase Arbitrage Shares or Pooling Arbitrage Shares corresponding
to that non-participating B Purchase Company or Pooling Company to one or more
replacement "Target Companies" identified by the Company that may participate in
either a Timely B Purchase Closing or a Timely Pooling Closing. If and when such
a replacement Target Company consummates a Timely B Purchase Closing or a Timely
Pooling Closing, as specified by the Company, the B Purchase Arbitrage Shares or
the Pooling Arbitrage Shares corresponding to that replacement Target Company
shall be eligible to vest in the same manner as set forth herein for original B
Purchase Arbitrage Shares or Pooling Arbitrage Shares, as the case may be,
provided that the maximum aggregate number of vested B Purchase Arbitrage Shares
and vested Pooling Arbitrage Shares may not exceed the total number of B
Purchase Arbitrage Shares and Pooling Arbitrage Shares set forth in Schedule 1.
Any allocation of B Purchase Arbitrage Shares or Pooling Arbitrage Shares to a
replacement Target Company

                                       6
<PAGE>   27

may be effected only by a written amendment to this Agreement executed and
delivered by the Company and the Purchaser.

                                       7

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