Document:

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                                                                    EXHIBIT 10.6

[*CONFIDENTIAL TREATMENT HAS BEEN REQUESTED AS TO CERTAIN PORTIONS OF THIS
DOCUMENT. EACH SUCH PORTION, WHICH HAS BEEN OMITTED HEREIN AND REPLACED WITH AN
ASTERISK [*], HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE
COMMISSION.]

                          SPONSORED RESEARCH AGREEMENT

         This Agreement, effective as of date of execution by the Parties (the
"Effective Date"), is between the Montefiore Medical Center ("Institution"), a
corporation of the State of New York, and Ivivi Technologies, Inc. ("Sponsor"),
a New Jersey corporation.

                                    RECITALS

         Institution and Sponsor are entering into this Agreement because
Sponsor desires to fund a Center for Research in the field of Pulsed Magnetic
Frequencies under the supervision of Dr. Berish Strauch of Institution's
Department of Plastic Surgery. Sponsor desires to support such research
conducted by Institution in accordance with the terms and conditions of this
Agreement. The research program contemplated by this Agreement is of mutual
interest to Sponsor and Institution and furthers the educational, scholarship
and research objectives of Institution. Sponsor further desires to develop a
continuing relationship with Dr. Berish Strauch.

         In consideration of the promises and mutual covenants contained herein,
and intending to be legally bound hereby, the parties hereto agree as follows:

1.       Definitions.

         1.1.     "Confidential Information" means any confidential or
proprietary information furnished by one party (the "Disclosing Party") to the
other party (the "Receiving Party") in connection with the performance of the
Research Project, provided that such information is specifically designated as
confidential. Such Confidential Information may include, without limitation,
trade secrets, know-how, inventions, technical data or specifications and
testing methods.

         1.2.     "Device" means any pulsed magnetic field device employing
Sponsor Proprietary Technology.

         1.3.     "Inventions" means any potentially patentable invention based
on the Research Results which is (i) conceived during the term of this Agreement
including any extension of this Agreement provided in Section 6.2 by employees
of Institution or Sponsor, or both, and (ii) reduced to practice either during
the term of this Agreement including any extension of this Agreement provided in
Section 6.2 or thereafter within a period of six (6) months.

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         1.4.     "Materials" means any tangible biological, chemical, or
physical materials. In the case of biological materials, the term "Materials"
shall also include tangible materials that are routinely produced through use of
the original materials, including, for example, any progeny derived from a cell
line, monoclonal antibodies produced by hybridoma cells, DNA or RNA replicated
from isolated DNA or RNA, recombinant proteins produced through use of isolated
DNA or RNA, and recombinant proteins isolated from a cell extract or supernatant
by non-proprietary affinity purification methods.

         1.5.     "Other Inventions" means any potentially patentable invention
based on the Research Results which is (i) conceived during the term of this
Agreement by employees of Instit[OBJECT OMITTED]ution or Sponsor, or both, (ii)
reduced to practice either during the term of this Agreement or thereafter
within a period of six (6) months and (iii) not owned by Sponsor under section
5.1.

         1.6.     "Patent Rights" means all United States and foreign patent
applications claiming an Invention, including any divisional, continuation,
continuation-in-part (to the extent that the claims are directed to an
Invention), and foreign equivalents thereof, as well as any patents issued
thereon or reissues or reexaminations thereof.

         1.7.     "PMF" means pulsed magnetic field. PRF means pulsed radio
frequency, PEMF means pulsed electromagnetic field, all of which are known
collectively as PMF.

         1.8.     "Principal Investigator" means an employee of Institution who
has primary responsibility for the performance of the Research Project. The
Principal Investigator is identified in Section 2.1. below.

         1.9.     "Project Materials" means Materials that are discovered or
developed in the performance of the Research Project.

         1.10.    "Proprietary Materials" means any proprietary Materials other
than Project Materials that are furnished by one party (the "Supplier") to the
other party (the "Recipient") in connection with the performance of the Research
Project.

         1.11.    "Research Project" means the research project described on
Exhibit A ("Description of Research Project"), which Institution agrees to
perform under the terms and conditions of this Agreement.

         1.12.    "Research Results" means all data, test results, laboratory
notes, techniques, know-how, and any other research results that are obtained in
the performance of the Research Project. The term "Research Results" shall not
include any Project Materials, patentable inventions, copyrighted or
copyrightable works, trademarks or service marks, or other intellectual property
based on the Research Results. As a matter of policy, Institution ordinarily
will not assert trade secret protection for Research Results.

         1.13.    "Sponsor Proprietary Technology" means confidential
information, trade secrets, inventions and know-how in the area of pulsed
magnetic field technology held by Sponsor.

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         1.14.    "Technical Representative" means an individual designated by
Sponsor as its principal technical representative for consultation and
communications with Institution and the Principal Investigator. The Technical
Representative is identified in Section 2.1. below.

2.       Performance of Research Project.

         2.1.     Principal Investigator and Technical Representative. The
Principal Investigator shall be Berish Strauch, M.D. If Dr. Strauch ceases to
serve as Principal Investigator for any reason, Institution will promptly notify
Sponsor, and Institution and Sponsor shall use good faith efforts to identify a
mutually acceptable replacement within sixty (60) days. If a suitable
replacement Principal Investigator cannot be identified within the sixty-day
period, Sponsor shall have right to terminate this Agreement as provided in
Section 6.3. The Technical Representative shall be Arthur A. Pilla, Ph.D.
Sponsor may change its Technical Representative upon thirty (30) days written
notice to Institution.

         2.2.     Performance of Research Project. Institution shall use
reasonable efforts to complete the Research Project. The Principal Investigator
shall direct the Research Project and shall control the manner of its
performance. The Technical Representative may consult informally with the
Principal Investigator, both in person and by telephone, regarding the
performance of the Research Project. The Technical Representative shall have
reasonable access to Institution facilities where the Research Project is being
conducted, but the exact time and manner of such access shall be determined by
the Principal Investigator.

         2.3.     Records, Materials, and Reports. The Principal Investigator
will prepare and maintain records containing all Research Results, including
laboratory notebooks maintained in accordance with customary academic practice.
During the term of this Agreement, and at the convenience of the Principal
Investigator, the Technical Representative shall have reasonable access to such
research records, and the Principal Investigator agrees to furnish Sponsor, upon
request, with reasonable amounts of any Project Materials, subject to
availability. Within ninety (90) days after the expiration or termination of
this Agreement, the Principal Investigator shall deliver to Sponsor a final
report describing all significant Research Results in reasonable detail;
provided, however, that the Principal Investigator may extend this ninety-day
deadline with the consent of Sponsor, which consent shall not be unreasonably
withheld.

3.       Contributions of Sponsor.

         3.1.     Contributions to Research Project. Sponsor shall contribute to
the Research Project the financial support and other resources set forth in
Sections 3.1.1 and 3.1.2 below ("Sponsor Contributions"). Sponsor may also
furnish Institution and the Principal Investigator with certain Confidential
Information and Proprietary Materials, which shall remain the property of
Sponsor. Institution and the Principal Investigator reserve the right to refuse
to accept any Confidential Information or Proprietary Materials offered by
Sponsor.

                  3.1.1.   Sponsor Contributions During First Period of Initial
Term. The First Period of the Initial Term shall extend from the Effective Date
until December 31, 2005. For the First Period of the Initial Term, the Sponsor
Contributions shall be that set forth in Exhibit B attached.

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                  3.1.2.   Sponsor Contributions During Second through Fifth
Periods of Initial Term. The Second Period of the Initial Term shall be from
January 1, 2006 until December 31, 2006. The Third Period of the Initial Term
shall be from January 1, 2007, until December 31, 2007. The Fourth Period of the
Initial Term shall be from January 1, 2008, until December 31, 2008. The Fifth
Period of the Initial Term shall be from January 1, 2009, until December 31,
2009. For the Second through Fifth Periods of the Initial Term, the Sponsor
Contributions and payment terms therefor shall be determined by agreement of the
parties. It is anticipated by the parties that the Sponsor Contributions for the
Second through Fifth Periods of the Initial Term will change to reflect the
then-current scope of the Research Project. Therefore, the Principal
Investigator and Institution shall submit a proposed budget to the Sponsor by no
later than July 1 prior to the beginning of each of the Second through Fifth
Periods of the Initial Term (e.g., the proposed budget for the Second Period of
the Initial Term shall be submitted to the Sponsor by no later than July l,
2005). The parties agree to negotiate the level of Sponsor Contributions for
each of the Second through Fifth Periods of the Initial Term in good faith, and
to agree on the level of Sponsor Contributions prior to August 1 following the
submission of the proposed budget.

                  3.1.3.   Sponsor Contributions During Renewal Terms. The
amount and terms of the Sponsor Contributions for any Renewal Term shall be
determined by the procedure set forth in Section 6.2.

         3.2.     Payments to Institution. For the First Period of the Initial
Term, Sponsor shall make an initial payment of 50% upon the signing of this
Agreement and quarterly payments to Institution in the amounts listed on Exhibit
B ("Sponsor Contributions"). The payment terms for the Sponsor Contributions for
the Second through Fourth Periods of the Initial Term shall be determined by the
procedures set forth in Section 3.1.2. Payments should be made in the name of "
Montefiore Hospital c/o the Department of Plastic Surgery Research Fund" and
sent to Victor B. Hatcher, Ph. D., Director, The Office of Research & Sponsored
Programs, Montefiore Medical Center, 3308 Rochambeau Avenue, Bronx, NY 10467. If
this Agreement is terminated prior to its expiration for any reason other than a
material breach by Institution (as described in Section 6.4.), then on the
effective date of such termination, Sponsor shall pay Institution the entire
amount of any uncancellable financial commitments that Institution intended to
pay through Sponsor Contributions, including without limitation (i) salaries for
appointed employees for the remainder of their term of appointment (e.g.,
postdoctoral fellows) and stipends for graduate students and (ii) Institution
expenses previously incurred for equipment, travel, and associated indirect
costs. Upon the request of Sponsor made within thirty (30) days after the
expiration or termination of this Agreement, Institution shall furnish Sponsor
with a final accounting of all expenses incurred in connection with the Research
Project and all funds received from Sponsor pursuant to this Section 3.2.,
together with a check payable to Sponsor in the amount of any unexpended and
uncommitted funds, failing which Institution shall retain any unexpended funds.

         3.3.     Use of Funds. Institution shall monitor expenditures, in
accordance with its institutional policies, to ensure that the funds provided by
Sponsor are spent in connection with the performance of the Research Project and
matters related to the project.

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         3.4.     Ownership of Equipment. Upon termination or expiration of this
Agreement, Institution shall retain title to all equipment purchased or
fabricated by Institution with funds provided by Sponsor.

4.       Confidential Information; Proprietary Materials; Publications.

         4.1.     Confidential Information. Any previous confidentiality
agreement concerning this Research Project between the parties is hereby
incorporated herein and extended by this Agreement. Sponsor, Institution and
Principal Investigator recognize that the conduct of this Research Project may
require the transfer of confidential or proprietary information between the
parties (the "Confidential Information"). Any such Confidential Information
disclosed by a party to another party or its employees, agents and contractors,
shall be used only in connection with the legitimate purposes of this Agreement,
shall be disclosed by the receiving party only to those who have a need to know
it and are obligated to keep same in confidence, and shall be safeguarded with
reasonable care; provided, however, that the disclosing party marks the
Confidential Information as such at the time of disclosure (or, if disclosed
verbally, such Confidential Information is reduced to writing and so marked
within a reasonable period of time thereafter).

                  4.1.1.   Designation. Confidential Information that is
disclosed in writing shall be marked with a legend indicating its confidential
status (such as "Confidential" or "Proprietary"). Confidential Information that
is disclosed orally or visually shall be documented in a written notice prepared
by the Disclosing Party and delivered to the Receiving Party within thirty (30)
days of the date of disclosure; such notice shall summarize the Confidential
Information disclosed to the Receiving Party and reference the time and place of
disclosure.

                  4.1.2.   Obligations. In consideration of the disclosure of
any Confidential Information to the other, it is agreed that during the term of
this Agreement and thereafter for a period of five (5) years, the Receiving
Party shall (i) maintain all Confidential Information in strict confidence,
except that the Receiving Party may disclose or permit the disclosure of any
Confidential Information to its directors, officers, employees, consultants, and
advisors who are obligated to maintain the confidential nature of such
Confidential Information and who need to know such Confidential Information for
the performance of the Research Project; (ii) use all Confidential Information
solely for the performance of the Research Project; (iii) take precautions as
normally taken with the Receiving Party's own confidential and proprietary
information to prevent disclosure to third parties, and (iv) allow its
directors, officers, employees, consultants, and advisors to reproduce the
Confidential Information only to the extent necessary for the performance of the
Research Project, with all such reproductions being considered Confidential
Information.

                  4.1.3.   Exceptions. The obligations of the Receiving Party
under Section 4.1 above shall not apply to the extent that the Receiving Party
can demonstrate that certain Confidential Information (i) was in the public
domain prior to the time of its disclosure under this Agreement; (ii) entered
the public domain after the time of its disclosure under this Agreement through
means other than an unauthorized disclosure resulting from an act or omission by
the Receiving Party; (iii) was independently developed or discovered by the
Receiving Party without use of the Confidential Information; (iv) is or was
disclosed to the Receiving Party at any time, whether prior to or after the time
of its disclosure under this Agreement, by a third party having no fiduciary
relationship with the Disclosing Party and having no obligation of
confidentiality with respect to such Confidential Information; or (v) is
required to be disclosed to comply with applicable laws or regulations, or with
a court or administrative order, provided that the Disclosing Party receives
reasonable prior written notice of such disclosure.

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                  4.1.4.   Ownership and Return. The Receiving Party
acknowledges that the Disclosing Party (or any third party entrusting its own
information to the Disclosing Party) claims ownership of its Confidential
Information in the possession of the Receiving Party. Upon the expiration or
termination of this Agreement, and at the request of the Disclosing Party, the
Receiving Party shall return to the Disclosing Party all originals, copies, and
summaries of documents, materials, and other tangible manifestations of
Confidential Information in the possession or control of the Receiving Party,
except that the Receiving Party may retain one copy of the Confidential
Information in the possession of its legal counsel solely for the purpose of
monitoring its obligations under this Agreement.

         4.2.     Research Results. All data and study results from the Study
will be promptly and fully disclosed to Sponsor and shall be owned by Sponsor.
Institution, Principal Investigator or his/her designee may freely present or
publish the results of a scientific investigation involving this Study, provided
that Confidential Information of Sponsor is not disclosed without written
permission from Sponsor. Principal Investigator shall provide with a copy of the
manuscript, paper or poster within a reasonable time (at least thirty (30) days)
prior to their submission to a scientific journal or presentation at scientific
meetings and a reasonably detailed summary or abstract of any other oral or
written publication within a reasonable time prior to their submission or
presentation, in order to allow Sponsor to review said publication for comments
and to ensure that no Sponsor confidential or proprietary information is
disclosed. If identified by Sponsor, Principal Investigator will delete any of
Sponsor's confidential or proprietary information that may be contained therein.

         4.3.     Proprietary Materials.

                  4.3.1.   Limited Use and Transfer. The Recipient shall use
Proprietary Materials only for the performance of the Research Project. The
Recipient shall use the Proprietary Materials only in compliance with all
applicable federal, state, and local laws and regulations. The Recipient shall
not use the Proprietary Materials in any in vivo experiments on human subjects.
The Recipient shall not transfer any Proprietary Materials to any third party
without the prior written consent of the Supplier.

                  4.3.2.   Warranty Disclaimer. Any Proprietary Materials that
are furnished to a party pursuant to this Agreement are provided for
experimental purposes and may have hazardous properties. THE SUPPLIER MAKES NO
REPRESENTATIONS, AND EXTENDS NO WARRANTIES OF ANY KIND, EITHER EXPRESS OR
IMPLIED, WITH RESPECT TO ANY PROPRIETARY MATERIALS. THERE ARE NO EXPRESS OR
IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, OR
THAT THE USE OF PROPRIETARY MATERIALS WILL NOT INFRINGE ANY PATENT RIGHTS OR
OTHER PROPRIETARY RIGHTS OF A THIRD PARTY.

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                  4.3.3.   Ownership and Return. The Recipient acknowledges that
the Supplier (or any third party entrusting its Materials to the Supplier)
claims ownership of its Proprietary Materials in the possession of the
Recipient. The Recipient agrees to cause its employees to execute and deliver
any documents of assignment or conveyance to effectuate the ownership rights of
the Supplier in Proprietary Materials. Upon the expiration or termination of
this Agreement, the Recipient shall at the instruction of Supplier either
destroy or return any unused Proprietary Materials.

         4.4.     Publications. Institution and its employees will be free to
publicly disclose (through journals, lectures, or otherwise) the Research
Results, provided that the Principal Investigator shall have provided a copy of
the proposed disclosure to Sponsor at least sixty (60) days prior to the
submission of any written publication and at least thirty (30) days prior to any
oral public disclosure (the "Review Period") to allow Sponsor to determine
whether any Invention or its Confidential Information would be disclosed. The
parties expressly agree that research grant proposals submitted to federal,
state, or local agencies or non-profit organizations shall not be subject to
review under this Section. If Sponsor reasonably determines that the proposed
disclosure would reveal an Invention or Sponsor Confidential Information, then
Sponsor shall notify Institution and the Principal Investigator of such
determination and its basis prior to the expiration of the Review Period. With
respect to disclosure of an Invention, upon receipt of timely notice by Sponsor,
the Principal Investigator agrees to delay submission of the written publication
or presentation of the oral public disclosure until one of the following events
occurs: (i) Sponsor and Institution agree that no patentable Invention exists;
(ii) Institution or Sponsor files a patent application claiming the relevant
Invention pursuant to Article 5; (iii) Sponsor, Institution, and Principal
Investigator jointly agree upon deletions that prevent disclosure of any
Invention; or (iv) a period of sixty (60) days elapses commencing with the
effective date of notice to Institution. With respect to disclosure of Sponsor
Confidential Information, upon receipt of timely notice by Sponsor, the
Principal Investigator agrees to delete such information from any proposed
disclosure.

5.       Intellectual Property.

         5.1.     Inventions. Institution shall promptly disclose to Sponsor any
discovery or invention (each an "Invention") made by institution, Principal
Investigator or any other Study personnel in the performance of the Research
Project. Title to all Inventions and all related intellectual property rights
developed that relate to Device (or its class of equivalents), any other Sponsor
product, or the Research Project shall be the sole and exclusive property of
Sponsor. Institution and Principal Investigator shall assign, and shall take
appropriate steps to ensure that all of its Research Project personnel are
obligated to assign, to Sponsor all rights, title and interests each may have in
any such Invention and will cooperate to effect the foregoing.

         5.2.     Licenses. In consideration of the contributions provided by
Sponsor, Institution and Principal Investigator grant to Sponsor or its
Affiliates a first option to obtain a worldwide royalty-bearing license to all
other Inventions not owned by Sponsor ("Other Inventions") conceived or made in
the performance of the Research Project. The parties shall negotiate a license
agreement for such Other Inventions developed under the Research Project upon
reasonable commercial terms and conditions. If a mutually acceptable license
agreement for any Other Invention is not executed and delivered by the end of
one (1) year from the date Sponsor receives written notice of such Other
Invention, Sponsor's first option concerning such Other Invention as described
above shall terminate. In the event Sponsor and Institution enter into a license
agreement for any Other Invention conceived or made in the performance of the
Project, and Sponsor desires to file a patent application for such Other
Invention, Sponsor will pay the costs associated with such filing.

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         5.3.     Licensing Terms. Notwithstanding any provision to the
contrary, in the event the parties do not enter into a license agreement for any
particular Other Invention, then for a period of two (2) years from the date
Sponsor receives written notice of such Other Invention, Institution and
Principal Investigator nevertheless agree that neither shall offer a license for
such Other Invention to any third party on terms more favorable to such third
party than were first offered to Sponsor without first making such an offer to
Sponsor.

         5.4.     No right or license is granted under this Agreement by any
party expressly or by implication, except those specifically set forth herein.
Nothing contained within this Agreement shall impose an obligation of
exclusivity on one party by the other. Both parties reserve the right to enter
into and participate in other activities (either alone or with a third party)
including, but not limited to, clinical trails and sponsored research studies.

         5.5.     Copyrightable Works. Institution or its employees shall have
sole ownership of any copyrighted or copyrightable works (including reports and
publications) that are created by Institution employees in the performance of
the Research Project. Institution and the Principal Investigator hereby grant
Sponsor an irrevocable, royalty-free, nontransferable, non-exclusive right to
copy and distribute any research reports furnished to Sponsor under this
Agreement and to prepare, copy, and distribute derivative works based on these
research reports. This section shall not be construed to provide Sponsor with
rights in published works authored by Institution or its employees for which
rights must be assigned by the authors to the publisher as a condition of
publication.

6.       Term and Termination.

         6.1.     Initial Term. This Agreement shall commence on the Effective
Date and shall remain in effect until December 31, 2009 (the "Initial Term"),
unless earlier terminated in accordance with the provisions of this Agreement.

         6.2.     Renewal Terms. This Agreement may be renewed for additional
one year increments by mutual agreement of the parties and upon application by
the Principal Investigator and the Institution, which application shall be in
writing as provided in Section 8.13. It is anticipated by the parties that the
Sponsor Contributions (as provided in Section 3.1 and 3.2) for any renewal terms
will change to reflect the then-current scope of the Research Project.
Therefore, each renewal application prepared by the Principal Investigator and
Institution under this Section 6.2 shall contain a proposed budget for the
proposed renewal term, and shall be submitted to the Sponsor by no later than
July 1 prior to the expiration of the then-current term (e.g., the proposed
budget for a first Renewal Term following the Initial Term shall be submitted to
the Sponsor by no later than July 1, 2009). The parties agree to negotiate the
level of Sponsor Contributions for each proposed renewal term in good faith upon
such application. In the event that Sponsor declines the application for
renewal, or if the parties are unable to agree on a level of Sponsor
Contributions prior to August 1 prior to the expiration of the then-current
term, then the proposed renewal shall not take effect.

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         6.3.     Loss of Principal Investigator. If the Principal Investigator
leaves Institution or otherwise terminates his involvement in the Research
Project, and if Institution and Sponsor fail to identify a mutually acceptable
substitute as provided in Section 2.1., Sponsor may terminate this Agreement
upon sixty (60) days prior written notice to Institution.

         6.4.     Termination for Default. In the event that either party
commits a material breach of its obligations under this Agreement and fails to
cure that breach within sixty (60) days after receiving written notice thereof,
the other party may terminate this Agreement immediately upon written notice to
the party in breach. If the alleged breach involves nonpayment of any amounts
due Institution under this Agreement, Sponsor shall have only one opportunity to
cure a material breach for which it receives notice as described above; any
subsequent material breach by Sponsor will entitle Institution to terminate this
Agreement immediately upon written notice to Sponsor, without the sixty-day cure
period.

         6.5.     Force Majeure. Neither party will be responsible for delays
resulting from causes beyond the reasonable control of such party, including
without limitation fire, explosion, flood, war, strike, or riot, provided that
the nonperforming party uses commercially reasonable efforts to avoid or remove
such causes of nonperformance and continues performance under this Agreement
with reasonable dispatch whenever such causes are removed.

         6.6.     Effect of Termination. The following provisions shall survive
the expiration or termination of this Agreement: Articles 1, 4, and 7; Sections
2.3. (obligation to deliver final report), 3.2. (obligation to deliver final
accounting), 6.5., 8.2., 8.3., 8.5., 8.14., and 8.15. In addition, the
provisions of Article 5 shall survive termination of this Agreement, as
necessary to effectuate the rights of Sponsor, unless Institution has terminated
this Agreement because of a material breach by Sponsor pursuant to Section 6.4.

7.       Dispute Resolution.

         7.1.     Procedures Mandatory. The parties agree that any dispute
arising out of or relating to this Agreement shall be resolved solely by means
of the procedures set forth in this Article, and that such procedures constitute
legally binding obligations that are an essential provision of this Agreement;
provided, however, that all procedures and deadlines specified in this Article
may be modified by written agreement of the parties. If either party fails to
observe the procedures of this Article, as modified by their written agreement,
the other party may bring an action for specific performance in any court of
competent jurisdiction.

         7.2.     Dispute Resolution Procedures.

                  7.2.1.   Negotiation. In the event of any dispute arising out
of or relating to this Agreement, the affected party shall notify the other
party, and the parties shall attempt in good faith to resolve the matter within
ten (10) days after the date such notice is received by the other party (the
"Notice Date"). Any disputes not resolved by good faith discussions shall be
referred to senior executives of each party, who shall meet at a mutually
acceptable time and location within thirty (30) days after the Notice Date and
attempt to negotiate a settlement.

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                  7.2.2    Trial Without Jury. If the parties fail to resolve
the dispute through negotiation, each party shall have the right to pursue any
other remedies legally available to resolve the dispute, provided, however, that
the parties expressly waive any right to a jury trial in any legal proceeding
under this Section.

         7.3.     Preservation of Rights Pending Resolution.

                  7.3.1.   Performance to Continue. Each party shall continue to
perform its obligations under this Agreement pending final resolution of any
dispute arising out or relating to this Agreement; provided, however, that a
party may suspend-performance of its obligations during any period in which the
other party fails or refuses to perform its obligations.

                  7.3.2.   Provisional Remedies. Although the procedures
specified in this Article are the sole and exclusive procedures for the
resolution of disputes arising out of relating to this Agreement, either party
may seek a preliminary injunction or other provisional equitable relief if, in
its reasonable judgment, such action is necessary to avoid irreparable harm to
itself or to preserve its rights under this Agreement.

                  7.3.3.   Statute of Limitations. The parties agree that all
applicable statutes of limitation and time-based defenses (such as estoppel and
laches) shall be tolled while the procedures set forth in Subsections 7.2.(a)
and 7.2(b) are pending. The parties shall take any actions necessary to
effectuate this result.

8.       Miscellaneous.

         8.1.     Compliance with Law and Policies. Sponsor agrees to comply
with applicable law and the policies of Institution in the area of technology
transfer and shall promptly notify Institution of any violation that Sponsor
knows or has reason to believe has occurred or is likely to occur.

         8.2.     Indemnification. Sponsor shall indemnify, defend, and hold
harmless Institution and its trustees, officers, faculty, students, employees,
and agents and their respective successors, heirs and assigns (the
"Indemnitees"), against any liability, damage, loss, or expense (including
reasonable attorneys fees and expenses of litigation) incurred by or imposed
upon any of the Indemnitees in connection with any claims, suits, actions,
demands or judgments arising out of any theory of liability (including without
limitation actions in the form of tort, warranty, or strict liability and
regardless of whether such action has any factual basis) relating to this
Agreement or concerning any product, process, or service that is made, used, or
sold pursuant to any right or license granted under this Agreement; provided,
however, that such indemnification shall not apply to any liability, damage,
loss, or expense to the extent directly attributable to (i) the negligent
activities or intentional misconduct of the Indemnitees, provided that a court
of competent jurisdiction has determined that such negligent activities or
intentional misconduct have occurred, or (ii) the settlement of a claim, suit,
action, or demand by Indemnitees without the prior written approval of Sponsor.

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         8.3.     Publicity Restrictions. Sponsor shall not use the name of
Institution or any of its trustees, officers, faculty, students, employees, or
agents, or any adaptation of such names, or any terms of this Agreement in any
promotional material or other public announcement or disclosure without the
prior written consent of Institution; such consent shall not be unreasonably
withheld. The foregoing notwithstanding, Sponsor shall have the right to
disclose such information without the consent of Institution in any prospectus,
offering memorandum, or other document or filing required by applicable
securities laws or other applicable law or regulation, provided that Sponsor
shall have given Institution at least ten (10) days prior written notice of the
proposed text for the purpose of giving Institution the opportunity to comment
on such text.

         8.4      Representations and Warranties. Institution and Sponsor each
hereby represents and warrants to the other that:

                  8.4.1    Corporate Power. It is duly organized and validly
existing and has full corporate power and authority to enter into this Agreement
and to carry out the provisions hereof.

                  8.4.2    Due Authorization. It is duly authorized to execute
and deliver this Agreement and to perform its obligations hereunder.

                  8.4.3    Binding Agreement. This Agreement is a legal and
valid obligation binding upon the party making such representation and warranty
and enforceable in accordance with its terms. The execution, delivery and
performance of this Agreement does not conflict with any agreement, instrument
or understanding, oral or written, to which or by which the party making such
representation and warranty may be bound, nor violate any law or regulation of
any court, governmental body or administrative or other agency having
jurisdiction over the party making such representation and warrant.

                  8.4.4    Intellectual Property Rights. It holds all necessary
right, title and interest in and to its respective Background Inventions and
technology to permit it to undertake the Sponsored Research Program contemplated
by this Agreement without subjecting the other party hereto to liability for
infringement of any patent, copyright or trade secret of any third party

         8.5.     Notice to Other Investigators. The Principal Investigator
shall furnish all investigators involved in the Research Project, including
faculty, staff, students, and post-doctoral fellows, with written notice of
their obligations under Articles 4 and 5 of this Agreement.

         8.6.     Research Partially Funded by Grants.

                  8.6.1    Federal Government. To the extent that any Invention
has been partially funded by the federal government, this Agreement and the
grant of any rights in such Invention is subject to and governed by federal law
as set forth in 35 U.S.C. ss.ss. 201-211, and the regulations promulgated
thereunder, as amended, or any successor statutes or regulations. If any term of
this Agreement fails to conform with such laws and regulations, the relevant
term shall be deemed an invalid provision and modified by the parties pursuant
to Section 8.16.

                  8.6.2    Other Organizations. To the extent that any Invention
has been partially funded by a non-profit organization or state or local agency,
this Agreement and the grant of any rights in such Invention is subject to and
governed by the terms and conditions of the applicable research grant. If any
term of this Agreement fails to conform with such terms and conditions, the
relevant term shall be deemed an invalid provision and modified by the parties
pursuant to Section 8.16. At the request of Sponsor, Institution shall make
available to Sponsor the terms and conditions of any research grants that will
partially fund the Research Project.

                                      -11-
<PAGE>

         8.7.     Tax-Exempt Status. Sponsor acknowledges that Institution holds
the status of an exempt organization under the United States Internal Revenue
Code. Sponsor also acknowledges that certain facilities in which the Research
Project may be performed were financed through offerings of tax-exempt bonds. If
the Internal Revenue Service determines, or if counsel to Institution reasonably
determines, that any term of this Agreement jeopardizes the tax-exempt status of
Institution or the bonds used to finance Institution facilities, the relevant
term shall be deemed an invalid provision and modified by the parties pursuant
to Section 8.16.

         8.8.     Relationship of Parties. For the purposes of this Agreement,
each party is an independent contractor and not an agent or employee of the
other party. Neither party shall have authority to make any statements,
representations, or commitments of any kind, or to take any action which shall
be binding on the other party, except as may be explicitly provided for in this
Agreement or authorized in writing by the other party.

         8.9.     Counterparts. This Agreement may be executed in one or more
counterparts, each of which shall be deemed an original, and all of which
together shall be deemed to be one and the same instrument.

         8.10.    Headings. All headings are for convenience only and shall not
affect the meaning of any provision of this Agreement.

         8.11.    Binding Effect. This Agreement shall be binding upon and inure
to the benefit of the parties and their respective permitted successors and
assigns.

         8.12.    Assignment. This Agreement may not be assigned by either party
without the prior written consent of the other party, except that Sponsor may
assign this Agreement to an affiliate or to a successor in connection with the
merger, consolidation, or sale of all or substantially all of its assets or that
portion of its business to which this Agreement relates.

         8.13.    Amendment and Waiver. This Agreement may be amended,
supplemented, or otherwise modified only by means of a written instrument signed
by both parties. Any waiver of any rights or failure to act in a specific
instance shall relate only to such instance and shall not be construed as an
agreement to waive any rights or fail to act in any other instance, whether or
not similar.

         8.14.    Governing Law. This Agreement shall be governed by and
construed in accordance with the laws of the New Jersey irrespective of any
conflicts of law principles.

                                      -12-
<PAGE>

         8.15.    Notice. Any notices required or permitted under this Agreement
shall be in writing, shall specifically refer to this Agreement, and shall be
sent by hand, recognized national overnight courier, confirmed facsimile
transmission, confirmed electronic mail, or registered or certified mail,
postage prepaid, return receipt requested, to the following addresses or
facsimile numbers of the parties:

         If to Institution:

         Montefiore Medical Center
         3308 Rochambeau Avenue
         Bronx, NY 10467
         Attention:      Victor B. Hatcher, Ph. D.
                         Director, The Office of Research & Sponsored Programs

         Tel:       (718) 920-4151
                    (718) 920-4152
         Fax:       (718) 798-5687
         E-Mail:    vhatcher@montefiore.org

         If to Principal Investigator:

         Montefiore Medical Center
         3308 Rochambeau Avenue
         Bronx, NY 10467

         Attention:      Berish Strauch, M.D.
                         Chairman of the Department of Plastic Surgery

         Tel:       (718) 405-8444
         E-Mail:    bstrauch@montefiore.org

         If to Sponsor:

         Ivivi Technologies, Inc.
         224 S Pegasus Avenue
         Northvale, NJ 07647

         Attention:      Andre' DiMino
         Invoices to:    Edward J. Hammel

         Tel:       (201) 767-6040
         Fax:       (201) 784-0620
         E-Mail:    andre@admtronics.com

All notices under this Agreement shall be deemed effective upon receipt. A party
may change its contact information immediately upon written notice to the other
party in the manner provided in this Section.

         8.16.    Severability. In the event that any provision of this
Agreement shall be held invalid or unenforceable for any reason, such invalidity
or unenforceability shall not affect any other provision of this Agreement, and
the parties shall negotiate in good faith to modify the Agreement to preserve
(to the extent possible) their original intent. If the parties fail to reach a
modified agreement within sixty (60) days after the relevant provision is held
invalid or unenforceable, then the dispute shall be resolved in accordance with
the procedures set forth in Article 7. While the dispute is pending resolution,
this Agreement shall be construed as if such provision were deleted by agreement
of the parties.

                                      -13-
<PAGE>

         8.17.    Entire Agreement. This Agreement constitutes the entire
agreement between the parties with respect to its subject matter and supersedes
all prior agreements or understandings between the parties relating to its
subject matter.

         IN WITNESS WHEREOF, the parties have caused this Agreement to be
executed by their duly authorized representatives as of the date first written
above.

MONTEFIORE MEDICAL CENTER                    IVIVI TECHNOLOGIES, INC.

By: /s/ Victor B. Hatcher, Ph.D.             By: /s/ Andre' Dimino
    -------------------------------              -------------------------------
    Name:  Victor B. Hatcher, Ph.D.              Name:  Andre' DiMino
    Title: Research Director                     Title: Chairman

         I hereby acknowledge and agree to the terms of Articles 4 and 5 and
Sections 2.2., 2.3., and 8.5. of this Agreement, and I reaffirm that I will
assign to Sponsor all of my right, title, and interest in any Inventions.

ACKNOWLEDGED AND AGREED:

/s/ Berish Strauch, M.D.
-------------------------------
Berish Strauch, M.D.
Principal Investigator

                                      -14-
<PAGE>

                                    Exhibit A

                            Montefiore Medical Center
                            Research Project Summary

The following list represents the proposed projects on the applications of
pulsed magnetic fields (PMF) to be carried out in the [*] at Montefiore Medical
Center. The subdivisions are not listed in order of performance. Additional
projects may be added as time and resources allow, subject to agreement by the
Sponsor, the Institution, and the Principal Investigator.

         I.       Cardiac

                  A. Develop a [*] model in the rat. Create an [*] in rats to
achieve maximum survival rate.

                  B. Treatment with PMF in the fresh rat [*] model to evaluate
angiogenesis in [*] area.

                  C. Stem cell treatment in rat of chronic [*] augmented with
PMF treatment (angiogenesis).

         II.      [*]

                  A.       Treatment of [*] brain of rat treated with dopamine
                           stem cells augmented with PMF (angiogenesis).

         III.     Wound Healing

                  A. Augmentation of healing of linear incision skin wound in a
rat with PMF.

                  B. Treatment of [*] in a rat with PMF.

                  C. Treatment of [*] in a rat with PMF.

         IV.      Burns

                  A. Treatment of burns in a rat model with PMF.

         V.       Flaps

                  A. Study of [*] in rats modified and treated with PMF
(angiogenesis).

         VI.      Edema

                  A. Modification of [*] in a rat model with PMF.

         VII.     [*]

                  A. Angiogenesis in [*] to effect early closure (of the [*] in
[*]) with PMF.

         VIII.    [*]

                  A. Treatment of [*] in a rat model with PMF (angiogenesis).

                  B. Treatment of [*]in a rat model with PMF.

<PAGE>

                                    Exhibit B

                              Sponsor Contributions

                            Montefiore Medical Center
                             Research Project Budget

<TABLE>
<S>                                                                            <C>
Salary:       Dr. [*] (Fellow)                                                  $ 65,000
                Fringe Benefits (23%)                                             14,950
              Dr. [*]                                                             78,000
                Fringe Benefits (23%)                                             17,940
                                                                                --------
              Total Salary and Benefits                                         $175,890

              Total Research Project Expenses                                    274,110

              Overhead (15%)                                                      45,685
                                                                                --------

         Total Sponsor Contribution                                             $495,685

The total Sponsor Contribution is to be paid according to the following
schedule:

         Date of execution of the agreement                                     $247,842.50
         Three month anniversary of the execution of the agreement              $123,921.25
         Six month anniversary of the execution of the agreement                $123,921.25

                                        Total                                   $495,685.00
</TABLE>EXHIBIT 10.58

                                  BLUEFLY, INC.
                            2005 STOCK INCENTIVE PLAN

Section 1.   PURPOSE OF THE PLAN

                The purpose of the 2005 Stock Incentive Plan (the "Plan") is to
further the interests of Bluefly, Inc. (the "Company") and its stockholders by
providing long-term performance incentives to those employees, Non-Employee
Directors, contractors and consultants of the Company and its Subsidiaries who
are largely responsible for the management, growth and protection of the
business of the Company and its Subsidiaries.

Section 2.   DEFINITIONS

                For purposes of the Plan, the following terms shall be defined
as set forth below:

        (a)     "Award" means any Option, SAR, Restricted Stock, Dividend Right,
Deferred Stock Unit and other Stock-Based Awards, or other cash payments granted
to a Participant under the Plan.

        (b)     "Award Agreement" shall mean the written agreement, instrument
or document evidencing an Award.

        (c)     "Cause" shall have the meaning given such term in any employment
agreement between the Participant and the Company or any Subsidiary, but if
there is no employment agreement or such term is not defined in the
Participant's employment agreement, as defined in the Award Agreement, or in the
event such term is not defined in the Award Agreement, then "Cause" shall mean:
(i) an act of dishonesty causing harm to the Company or any Subsidiary; (ii) the
knowing disclosure of confidential information relating to the Company's or any
Subsidiary's business; (iii) impairment in the Participant's ability to perform
the duties assigned to the Participant due to habitual drunkenness or narcotic
drug addiction; (iv) the Participant being charged with a felony (other than
charges that are subsequently dismissed or as to which the Participant is found
not guilty); (v) the willful refusal to perform, or the gross neglect of, the
duties assigned to the Participant; (vi) the Participant's willful breach of any
law that, directly or indirectly, affects the Company or any Subsidiary; (vii)
the Participant's material breach of his or her duties (other than as a result
of incapacity due to physical or mental illness), which is demonstrably willful
and deliberate on the Participant's part, which is committed in bad faith or
without reasonable belief that such breach is in the best interests of the
Company and which is not remedied in a reasonable period after receipt of
written notice from the Company or any Subsidiary specifying such breach.

        (d)     "Code" means the Internal Revenue Code of 1986, as amended from
time to time.

        (e)     "Deferred Stock Unit" means an Award that shall be valued in
reference to the market value of a share of Stock (plus any distributions on
such Stock that shall be deemed to be re-invested when made) and may be payable
in cash or Stock at a specified date as elected by a Participant.

<PAGE>

        (f)     "Director Cause" shall mean (i) a final conviction of a felony
involving moral turpitude or (ii) willful misconduct that is materially and
demonstrably injurious economically to the Corporation.

        (g)     "Dividend Rights" means the right to receive in cash or shares
of Stock, or have credited to an account maintained under the Plan for later
payment in cash or shares of Stock, an amount equal to the dividends paid with
respect to a specified number of shares of Stock (other than a Stock dividend
that results in adjustments pursuant to Section 8(a)).

        (h)     "Exchange Act" means the Securities Exchange Act of 1934, as
amended from time to time.

        (i)     "Fair Market Value" means, with respect to Stock, (i) the
closing price per share of the Stock on the principal exchange on which the
Stock is then trading, if any, on such date, or, if the Stock was not traded on
such date, then on the next preceding trading day during which a sale occurred;
or (ii) if the Stock is not traded on an exchange but is quoted on NASDAQ or a
successor quotation system, (1) the last sales price (if the Stock then listed
as a National Market Issue under the NASDAQ National Market System) or (2) the
mean between the closing representative bid and ask prices (in all other cases)
for the Stock on such date as reported by NASDAQ or such successor quotation
system; or (iii) if the Stock is not publicly traded on an exchange and not
quoted on NASDAQ or a successor quotation system, the mean between the closing
bid and ask prices for the Stock on such date as determined in good faith by the
Committee; or (iv) if the provisions of clauses (i), (ii) and (iii) shall not be
applicable, the fair market value established by the Committee acting in good
faith. With respect to Awards or other property, "Fair Market Value" means the
fair market value of such Awards or other property established by the Committee
acting in good faith.

        (j)     "ISO" means any Option designated as an incentive stock option
within the meaning of Section 422 of the Code.

        (k)     "Non-Employee Director" means a member of the Board of Directors
of the Company who is not an employee of the Company.

        (l)     "Option" means a right granted to a Participant pursuant to
Sections 6(b) or 6(c) to purchase Stock at a specified price during specified
time periods. An Option granted to a Participant pursuant to Section 6(b) may be
either an ISO or a nonstatutory Option (an Option not designated as an ISO), but
an Option granted pursuant to Section 6(c) may not be an ISO.

        (m)     "Participant" shall have the meaning specified in Section 3
hereof.

        (n)     "Performance Goal" means a goal, expressed in terms of profits
or revenue targets on an absolute or per share basis (including, but not limited
to, EBIT, EBITDA, operating income, EPS), market share targets, profitability
targets as measured through return ratios, stockholder returns, qualitative
milestones, or any other financial or other measurement deemed appropriate by
the Committee, as it relates to the results of operations or other measurable
progress of either the Company as a whole or the Participant's Subsidiary,
division, or department.

                                        2
<PAGE>

        (o)     "Performance Cycle" means the period selected by the Committee
during which the performance of the Company or any Subsidiary, or any department
thereof, or any individual is measured for the purpose of determining the extent
to which a Performance Goal has been achieved.

        (p)     "Prior Plans" means the Bluefly, Inc. 1997 Stock Option Plan and
the Bluefly, Inc. 2000 Stock Option Plan.

        (q)     "Restricted Stock" means Stock awarded to a Participant pursuant
to Section 6(e) that may be subject to certain restrictions and to a risk of
forfeiture.

        (r)     "Rule 16b-3" means Rule 16b-3 of the Exchange Act or any
successor to Rule 16b-3 as in effect from time to time.

        (s)     "SAR" or "Stock Appreciation Right" means the right granted to a
Participant pursuant to Section 6(f) to be paid an amount measured by the
appreciation in the Fair Market Value of Stock from the date of grant to the
date of exercise of the right, with payment to be made in cash, Stock or as
specified in the Award, as determined by the Committee.

        (t)     "Stock" means the common stock, $0.01 par value, of the Company.

        (u)     "Stock-Based Award" means a right that may be denominated or
payable in, or valued in whole or in part by reference to, the market value of
Stock, including but not limited to any Option, SAR, Restricted Stock or Stock
granted as a bonus or Awards in lieu of cash obligations.

        (v)     "Subsidiary" shall mean any corporation, partnership, joint
venture or other business entity of which more than 50% of the outstanding
voting power is beneficially owned, directly or indirectly, by the Company.

Section 3.   ADMINISTRATION OF THE PLAN

                The Plan shall be administered by the Compensation Committee of
the Board of Directors of the Company (the "Committee"). Any action of the
Committee in administering the Plan shall be final, conclusive and binding on
all persons, including the Company, its Subsidiaries, their employees,
Participants, consultants, contractors, persons claiming rights from or through
Participants and stockholders of the Company.

                Subject to the provisions of the Plan, the Committee shall have
full and final authority in its discretion (a) to select the employees,
Non-Employee Directors, contractors and consultants who will receive Awards
pursuant to the Plan ("Participants"), (b) to determine the type or types of
Awards to be granted to each Participant, (c) to determine the number of shares
of Stock to which an Award will relate, the terms and conditions of any Award
granted under the Plan (including, but not limited to, restrictions as to
transferability or forfeiture, exercisability or settlement of an Award and
waivers or accelerations thereof, and waivers of or modifications to performance
conditions relating to an Award, based in each case on such considerations as
the Committee shall determine) and all other matters to be determined in
connection with an Award; (d) to determine whether, to what extent, and under
what circumstances an Award may be

                                        3
<PAGE>

settled, or the exercise price of an Award may be paid, in cash, Stock, other
Awards or other property, or an Award may be canceled, forfeited, or
surrendered; (e) to determine whether, and to certify that, Performance Goals to
which the settlement of an Award is subject are satisfied; (f) to correct any
defect or supply any omission or reconcile any inconsistency in the Plan, and to
adopt, amend and rescind such rules and regulations as, in its opinion, may be
advisable in the administration of the Plan; and (g) to make all other
determinations as it may deem necessary or advisable for the administration of
the Plan. The Committee may delegate to executive officers of the Company the
authority, subject to such terms as the Committee shall determine, to exercise
such authority and perform such functions, including, without limitation, the
selection of Participants and the grant of Awards, as the Committee may
determine, to the extent permitted under Rule 16b-3, Section 162(m) of the Code
and applicable law; provided, however, that the Committee may not delegate the
authority to grant Awards, perform such functions or make any determination
affecting or relating to the executive officers of the Company.

Section 4.   PARTICIPATION IN THE PLAN

                Participants in the Plan shall be employees, Non-Employee
Directors, contractors and consultants of the Company and its Subsidiaries;
provided, however, that only persons who are key employees of the Company or any
subsidiary corporation (within the meaning of Section 424(f) of the Code) may be
granted Options which are intended to qualify as ISOs.

Section 5.   PLAN LIMITATIONS; SHARES SUBJECT TO THE PLAN

        (a)     Subject to the provisions of Section 8 hereof, the aggregate
number of shares of Stock available for issuance as Awards under the Plan shall
not exceed 4,311,036 shares, increased for shares of Stock that are represented
by awards outstanding under the Prior Plans on the effective date of this Plan
that are subsequently forfeited, canceled or expire unexercised under the Prior
Plans.

        (b)     No Award may be granted if the number of shares to which such
Award relates, when added to the number of shares previously issued under the
Plan and the number of shares which may then be acquired pursuant to other
outstanding, unexercised Awards, exceeds the number of shares available for
issuance pursuant to the Plan. If any shares subject to an Award are forfeited
or such Award (or an outstanding award under the Prior Plans) is settled in cash
or otherwise terminates or is settled for any reason whatsoever without an
actual distribution of shares to the Participant, any shares counted against the
number of shares available for issuance pursuant to the Plan with respect to
such Award shall, to the extent of any such forfeiture, settlement, or
termination, again be available for Awards under the Plan; provided, however,
that the Committee may adopt procedures for the counting of shares relating to
any Award (or an outstanding award under the Prior Plans) to ensure appropriate
counting, avoid double counting, and provide for adjustments in any case in
which the number of shares actually distributed differs from the number of
shares previously counted in connection with such Award. If a Participant
tenders shares (either actually, by attestation or otherwise) to pay all or any
part of the exercise price on any Option (or an outstanding option under the
Prior Plans) or if any shares payable with respect to any Award (or an
outstanding award under the Prior Plans) are retained by the Company in
satisfaction of the Participant's obligation for taxes, the number of shares
tendered or retained shall again be available for Awards under the Plan. Shares
issued under the

                                        4
<PAGE>

Plan through the settlement, assumption or substitution of outstanding awards to
grant future awards as a commitment of the Company or any Subsidiary in
connection with the acquisition of another entity shall not reduce the maximum
number of shares available for delivery under the Plan.

        (c)     Subject to the provisions of Section 8(a) hereof, the following
additional maximums are imposed under the Plan with respect to each fiscal year
of the Company: (i) the maximum number of shares of Stock that may be granted as
Awards to any Participant in any fiscal year shall not exceed, in the case of
any Stock-Based Awards, 2,000,000 shares of Stock, (ii) the maximum amount of
cash or cash payments that may be granted as Awards to any Participant in any
fiscal year shall not exceed $2,000,000 and (iii) the maximum number of Dividend
Rights that may be granted as Awards to any Participant in any fiscal year shall
not exceed Dividend Rights with respect to more than 2,000,000 shares of Stock.

Section 6.   AWARDS

        (a)     General. Awards may be granted on the terms and conditions set
forth in this Section 6. In addition, the Committee may impose on any Award or
the exercise thereof, at the date of grant or thereafter (subject to Section
9(a)), such additional terms and conditions, not inconsistent with the
provisions of the Plan, as the Committee shall determine, including terms
requiring forfeiture of Awards in the event of the termination of employment or
other relationship with the Company or any Subsidiary by the Participant;
provided, however, that the Committee shall retain full power to accelerate or
waive any such additional term or condition as it may have previously imposed.
All Awards shall be evidenced by an Award Agreement.

        (b)     Options. The Committee may grant Options to Participants on the
following terms and conditions:

                (i)     The exercise price of each Option shall be determined by
                      the Committee at the time the Option is granted, but in
                      the case of ISOs the exercise price of any Option shall
                      not be less than the Fair Market Value of the shares
                      covered thereby at the time the Option is granted.

                (ii)    The Committee shall determine the time or times at which
                      an Option may be exercised in whole or in part, whether
                      the exercise price for an Option shall be paid in cash, by
                      the surrender at Fair Market Value of Stock, by any
                      combination of cash and shares of Stock, including,
                      without limitation, cash, Stock, other Awards, or other
                      property (including notes or other contractual obligations
                      of Participants to make payment on a deferred basis), the
                      means or methods of payment, including by "attestation"
                      and through "cashless exercise" arrangements, to the
                      extent permitted by applicable law, and the methods by
                      which, or the time or times at which, Stock will be
                      delivered or deemed to be delivered to Participants upon
                      the exercise of such Option.

                (iii)   The terms of any Option granted under the Plan as an ISO
                      shall comply in all respects with the provisions of
                      Section 422 of the Code,

                                        5
<PAGE>

                      including, but not limited to, the requirement that no ISO
                      shall be granted more than ten years after the effective
                      date of the Plan.

        (c)     Director Options.

                (i)     Each person who is elected for the first time to be a
                      Non-Employee Director by the Board of Directors of the
                      Company or by the stockholders of the Company shall
                      receive, on the date of the first regularly scheduled
                      meeting of the Board of Directors following his or her
                      initial election, an automatic grant of an Option to
                      purchase 15,000 shares of Stock; provided that, if such
                      Non-Employee Director has been elected Chairman of the
                      Board, such Option shall be for 25,000 shares of Stock and
                      if such Non-Employee Director has been elected Chairman of
                      the Audit Committee of the Board of Directors (but not
                      Chairman of the Board of Directors), such Option shall be
                      for 20,000 shares of Stock. The date on which an Option is
                      granted under this Section and Section 6(c)(ii) to a
                      specified Non-Employee Director shall constitute the date
                      of grant of such Option (the "Date of Grant").

                (ii)    Each Non-Employee Director shall also receive an
                      automatic annual grant of an Option to purchase 10,000
                      shares of Stock on the date of the first regularly
                      scheduled meeting of the Board of Directors of each year
                      (regardless of whether or not he or she is otherwise
                      receiving a grant pursuant to clause (i) above on such
                      date); provided that, if such Non-Employee Director is
                      then serving as Chairman of the Board, such Option shall
                      be for 20,000 shares of Stock and if such Non-Employee
                      Director is then serving as Chairman of the Audit
                      Committee of the Board of Directors (but not Chairman of
                      the Board of Directors), such Option shall be for 12,500
                      shares of Stock. The Options granted pursuant to Section
                      6(c)(i) and this Section 6(c)(ii) shall be referred to
                      herein as "Director Options."

                (iii)   The exercise price per share of all Director Options
                      shall be the Fair Market Value per share of Stock on the
                      Date of Grant. Each Director Option, to the extent vested,
                      may be exercised in whole or in part, the exercise price
                      may be paid in cash or (if specifically approved by the
                      Committee) by the surrender at Fair Market Value of Stock
                      (either actually, by attestation or otherwise), or (if
                      specifically approved by the Committee) by any combination
                      of cash and shares of Stock, and shall be subject to such
                      other terms and provisions as the Committee shall
                      determine.

                (iv)    Director Options shall vest on the first anniversary of
                      the Date of Grant.

                (v)     If a Non-Employee Director shall voluntarily or
                      involuntarily cease to serve as a director of the Company
                      or if a Non-Employee Director's

                                        6
<PAGE>

                      service shall terminate on account of death or disability,
                      the unvested Director Options of such Non-Employee
                      Director shall terminate immediately and the vested
                      Director Options of such Non-Employee Director shall
                      terminate one year following the first day that the
                      Non-Employee Director is no longer such a director;
                      provided that if such Non-Employee Director is removed for
                      Cause, the Director Options shall terminate immediately.
                      In no event may the Non-Employee Director, or his or her
                      guardian, conservator, executor or administrator, as the
                      case may be, exercise a Director Option of such
                      Non-Employee Director after the end of the original term
                      of such option.

                (vi)    At its discretion, the Committee may issue any other
                      type of Award in lieu of a Director's Option, provided
                      that the Fair Market Value of such Award (as determined by
                      the Committee in its sole discretion) is equal to the Fair
                      Market Value of the Director's Option that would otherwise
                      be granted pursuant to this Section 6(c).

        (d)     Deferred Stock Units. The Committee is authorized to award
Deferred Stock Units to Participants in lieu of payment of a bonus or a
Stock-Based Award or cash payment granted under the Plan if so elected by a
Participant under such terms and conditions as the Committee shall determine.
Settlement of any Deferred Stock Units shall be made in cash or shares of Stock.

        (e)     Restricted Stock. The Committee is authorized to grant
Restricted Stock to Participants on the following terms and conditions:

                (i)     Restricted Stock awarded to a Participant shall be
                      subject to a "substantial risk of forfeiture" within the
                      meaning of Section 83 of the Code, and such restrictions
                      on transferability and other restrictions and Performance
                      Goals for such periods as the Committee may establish.
                      Additionally, the Committee shall establish at the time of
                      such Award, which restrictions may lapse separately or in
                      combination at such times, under such circumstances, or
                      otherwise, as the Committee may determine.

                (ii)    Restricted Stock shall be forfeitable to the Company by
                      the Participant upon termination of employment during the
                      applicable restricted periods. The Committee, in its
                      discretion, whether in an Award Agreement or anytime after
                      an Award is made, may accelerate the time at which
                      restrictions or forfeiture conditions will lapse, or may
                      remove any Performance Goal requirement upon the death,
                      disability, retirement or otherwise of a Participant,
                      whenever the Committee determines that such action is in
                      the best interests of the Company.

                (iii)   Restricted Stock granted under the Plan may be evidenced
                      in such manner as the Committee shall determine. If
                      certificates representing Restricted Stock are registered
                      in the name of the Participant, such

                                        7
<PAGE>

                      certificates may bear an appropriate legend referring to
                      the terms, conditions and restrictions applicable to such
                      Restricted Stock.

                (iv)    Subject to the terms and conditions of the Award
                      Agreement, the Participant shall have all the rights of a
                      stockholder with respect to shares of Restricted Stock
                      awarded to him or her, including, without limitation, the
                      right to vote such shares and the right to receive all
                      dividends or other distributions made with respect to such
                      shares. If any such dividends or distributions are paid in
                      Stock, the Stock shall be subject to restrictions and a
                      risk of forfeiture to the same extent as the Restricted
                      Stock with respect to which the Stock has been
                      distributed.

        (f)     Stock Appreciation Rights. The Committee is authorized to grant
SARs to Participants on the following terms and conditions:

                (i)     A SAR shall confer on the Participant to whom it is
                      granted a right to receive, upon exercise thereof, the
                      excess of (A) the Fair Market Value of one share of Stock
                      on the date of exercise over (B) the grant price of the
                      SAR as determined by the Committee as of the date of grant
                      of the SAR.

                (ii)    The Committee shall determine the time or times at which
                      a SAR may be exercised in whole or in part, the method of
                      exercise, method of settlement, form of consideration
                      payable in settlement, method by which Stock will be
                      delivered or deemed to be delivered to Participants,
                      whether or not a SAR shall be in tandem with any other
                      Award, and any other terms and conditions of any SAR.

        (g)     Cash Payments. The Committee is authorized, subject to
limitations under applicable law, to grant to Participants cash payments,
whether awarded separately or as a supplement to any Stock-Based Award. The
Committee shall determine the terms and conditions of such Awards.

        (h)     Dividend Rights. The Committee is authorized to grant Dividend
Rights to Participants on the following terms and conditions:

                (i)     Dividend Rights may be granted either separately or in
                      tandem with any other Award. If any Dividend Rights are
                      granted in tandem with any other Award, such Dividend
                      Rights shall lapse, expire or be forfeited simultaneously
                      with the lapse, expiration, forfeiture, payment or
                      exercise of the Award to which the Dividend Rights are
                      tandemed. If Dividend Rights are granted separately, such
                      Dividend Rights shall lapse, expire or be terminated at
                      such times or under such conditions as the Committee shall
                      establish.

                (ii)    The Committee may provide that the dividends
                      attributable to Dividend Rights may be paid currently or
                      the amount thereof may be credited to a Participant's Plan
                      account. The dividends credited to a Participant's account
                      may be credited with interest, or treated as used to

                                        8
<PAGE>

                      purchase at Fair Market Value Stock or other property in
                      accordance with such methods or procedures as the
                      Committee shall determine and shall be set forth in the
                      Award Agreement evidencing such Dividend Rights. Any
                      crediting of Dividends Rights may be subject to
                      restrictions and conditions as the Committee may
                      establish, including reinvestment in additional shares of
                      Stock or Stock equivalents. The Committee may provide that
                      the payment of any Dividend Rights shall be made, or once
                      made, may be forfeited under such conditions as the
                      Committee, in its sole discretion, may determine.

        (i)     Other Stock-Based Awards. The Committee is authorized, subject
to limitations under applicable law, to grant to Participants such other
Stock-Based Awards, in addition to those provided in Sections 6(b), (c), (d),
(e) and (f) hereof, as deemed by the Committee to be consistent with the
purposes of the Plan. The Committee shall determine the terms and conditions of
such Awards. Stock delivered pursuant to an Award in the nature of a purchase
right granted under this Section 6(i) shall be purchased for such consideration
and paid for at such times, by such methods, and in such forms, including,
without limitation, cash, Stock, other Awards, or other property, as the
Committee shall determine.

Section 7.   ADDITIONAL PROVISIONS APPLICABLE TO AWARDS

        (a)     Stand-Alone, Additional, Tandem, and Substitute Awards. Awards
granted under the Plan may, in the discretion of the Committee, be granted
either alone or in addition to, in tandem with, or in substitution for, any
other Award granted under the Plan or any award granted under any other plan of
the Company or any Subsidiary, or any business entity acquired by the Company or
any Subsidiary, or any other right of a Participant to receive payment from the
Company or any Subsidiary. If an Award is granted in substitution for another
Award or award, the Committee shall require the surrender of such other Award or
award in consideration for the grant of the new Award. Awards granted in
addition to, or in tandem with other Awards or awards may be granted either as
of the same time as, or a different time from, the grant of such other Awards or
awards. The per share exercise price of any Option, grant price of any SAR or
the purchase price of any Award conferring a right to purchase Stock:

                (i)     granted in substitution for an outstanding Award or
                      award, shall be not less than the lesser of (A) the Fair
                      Market Value of a share of Stock at the date such
                      substitute Award is granted or (B) such Fair Market Value
                      at that date, reduced to reflect the Fair Market Value at
                      that date of the Award or award required to be surrendered
                      by the Participant as a condition to receipt of the
                      substitute Award; or

                (ii)    retroactively granted in tandem with an outstanding
                      Award or award, shall not be less than the lesser of the
                      Fair Market Value of a share of Stock at the date of grant
                      of the later Award or at the date of grant of the earlier
                      Award or award.

        (b)     Exchange and Buy Out Provisions. The Committee may at any time
offer to exchange or buy out any previously granted Award for a payment in cash,
Stock, other Awards

                                        9
<PAGE>

(subject to Section 7(a)), or other property based on such terms and conditions
as the Committee shall determine and communicate to a Participant at the time
that such offer is made.

        (c)     Performance Goals. The right of a Participant to exercise or
receive a grant or settlement of any Award, and the timing thereof, may be
subject to such Performance Goals as may be specified by the Committee.

        (d)     Term of Awards. The term of each Award shall, except as provided
herein, be for such period as may be determined by the Committee; provided,
however, that in no event shall the term of any Option (other than a Director
Option), SAR or Dividend Right exceed a period of ten years from the date of its
grant; provided that in the case of any ISO, the term of the Option shall be
such shorter period as may be applicable under Section 422 of the Code.

        (e)     Form of Payment. Subject to the terms of the Plan and any
applicable Award Agreement, payments or transfers to be made by the Company or a
Subsidiary upon the grant or exercise of an Award may be made in such forms as
the Committee shall determine, including, without limitation, cash, Stock, other
Awards, or other property, and may be made in a single payment or transfer, or
on a deferred basis. The Committee may, whether at the time of grant or at any
time thereafter prior to payment or settlement, permit (subject to any
conditions as the Committee may from time to time establish) a Participant to
elect to defer receipt of all or any portion of any payment of cash or Stock
that would otherwise be due to such Participant in payment or settlement of an
Award under the Plan. (Such payments may include, without limitation, provisions
for the payment or crediting of reasonable interest in respect of deferred
payments credited in cash, and the payment or crediting of Dividend Rights in
respect of deferred amounts credited in Stock equivalents.) The Committee, in
its discretion, may accelerate any payment or transfer upon a change of control
as defined by the Committee. The Committee may also authorize payment upon the
exercise of an Option by net issuance or other cashless exercise methods.

        (f)     Loan Provisions. With the consent of the Committee, and subject
at all times to laws and regulations and other binding obligations or provisions
applicable to the Company, including but not limited to the Sarbanes-Oxley Act
of 2002, the Company may make, guarantee, or arrange for a loan or loans to a
Participant with respect to the exercise of any Option or other payment in
connection with any Award, including the payment by a Participant of any or all
federal, state, or local income or other taxes due in connection with any Award.
Subject to such limitations, the Committee shall have full authority to decide
whether to make a loan or loans hereunder and to determine the amount, terms,
and provisions of any such loan or loans, including the interest rate to be
charged in respect of any such loan or loans, whether the loan or loans are to
be with or without recourse against the borrower, the terms on which the loan is
to be repaid and the conditions, if any, under which the loan or loans may be
forgiven.

        (g)     Awards to Comply with Section 162(m). The Committee may (but is
not required to) grant an Award pursuant to the Plan to a Participant that is
intended to qualify as "performance-based compensation" under Section 162(m) of
the Code (a "Performance-Based Award"). The right to receive a Performance-Based
Award, other than Options and SARs granted at not less than Fair Market Value,
may vary from Participant to Participant and Performance-Based Award to
Performance-Based Award, and shall be conditional upon the

                                       10
<PAGE>

achievement of Performance Goals that have been established by the Committee in
writing not later than the earlier of (i) 90 days after the beginning of the
Performance Cycle and (ii) the date by which no more than 25% of a Performance
Cycle has elapsed. Before any compensation pursuant to a Performance-Based Award
(other than Options and SARs granted at not less than Fair Market Value) is
paid, the Committee shall certify in writing that the Performance Goals
applicable to the Performance-Based Award were in fact satisfied.

Section 8.   ADJUSTMENTS UPON CHANGES IN CAPITALIZATION

        (a)     In the event that the Committee shall determine that any stock
dividend, recapitalization, forward split or reverse split, reorganization,
merger, consolidation, spin-off, combination, repurchase or share exchange, or
other similar corporate transaction or event, affects the Stock or the book
value of the Company such that an adjustment is appropriate in order to prevent
dilution or enlargement of the rights of Participants under the Plan, then the
Committee shall, in such manner as it may deem equitable, adjust any or all of
(i) the number and kind of shares of Stock which may thereafter be issued in
connection with Awards, (ii) the number and kind of shares of Stock issuable in
respect of outstanding Awards, (iii) the aggregate number and kind of shares of
Stock available under the Plan, and (iv) the exercise price, grant price, or
purchase price relating to any Award or, if deemed appropriate, make provision
for a cash payment with respect to any outstanding Award; provided, however, in
each case, that no adjustment shall be made that would cause the Plan to violate
Section 422(b)(1) of the Code with respect to ISOs or that would adversely
affect the status of a Performance-Based Award as "performance-based
compensation" under Section 162(m) of the Code.

        (b)     In addition, the Committee is authorized to make adjustments in
the terms and conditions of, and the criteria included in, Awards, including any
Performance Goals, in recognition of unusual or nonrecurring events (including,
without limitation, events described in the preceding paragraph) affecting the
Company or any Subsidiary, or in response to changes in applicable laws,
regulations, or accounting principles. Notwithstanding the foregoing, no
adjustment shall be made in any outstanding Performance-Based Awards to the
extent that such adjustment would adversely affect the status of the
Performance-Based Award as "performance-based compensation" under Section 162(m)
of the Code.

Section 9.   GENERAL PROVISIONS

        (a)     Changes to the Plan and Awards. The Board of Directors of the
Company may amend, alter, suspend, discontinue, or terminate the Plan or the
Committee's authority to grant Awards under the Plan without the consent of the
Company's stockholders or Participants, except that any such amendment,
alteration, suspension, discontinuation, or termination shall be subject to the
approval of the Company's stockholders within one year after such Board action
if such stockholder approval is required by any federal or state law or
regulation or the rules of any stock exchange or automated quotation system on
which the Stock may then be listed or quoted, and the Board may otherwise, in
its discretion, determine to submit other such changes to the Plan to the
stockholders for approval; provided, however, that without the consent of an
affected Participant, no amendment, alteration, suspension, discontinuation, or
termination of the Plan may materially and adversely affect the rights of such
Participant under any Award theretofore granted and any Award Agreement relating
thereto. The Committee may waive any conditions

                                       11
<PAGE>

or rights under, or amend, alter, suspend, discontinue, or terminate, any Award
theretofore granted and any Award Agreement relating thereto; provided, however,
that without the consent of an affected Participant, no such amendment,
alteration, suspension, discontinuation, or termination of any Award may
materially and adversely affect the rights of such Participant under such Award.

                The foregoing notwithstanding, any Performance Goal or other
performance condition specified in connection with an Award shall not be deemed
a fixed contractual term, but shall remain subject to adjustment by the
Committee, in its discretion at any time in view of the Committee's assessment
of the Company's strategy, performance of comparable companies, and other
circumstances, except to the extent that any such adjustment to a performance
condition would adversely affect the status of a Performance-Based Award as
"performance-based compensation" under Section 162(m) of the Code.

        (b)     No Right to Award or Employment. Except as provided in Section
6(c), no employee, Non-Employee Director, contractor or consultant or other
person shall have any claim or right to receive an Award under the Plan. Neither
the Plan nor any action taken hereunder shall be construed as giving any
employee any right to be retained in the employ of the Company or any Subsidiary
or be viewed as requiring the Company or Subsidiary to continue the services of
any contractor or consultant for any period. There is no obligation for
uniformity of treatment among Participants. Except as set forth in Section
6(e)(iv), no Award shall confer on any Participant any of the rights of a
stockholder of the Company unless and until Stock is duly issued or transferred
to the Participant in accordance with the terms of the Award.

        (c)     Taxes. The Company or any Subsidiary is authorized to withhold
from any Award granted, any payment relating to an Award under the Plan,
including from a distribution of Stock or any payroll or other payment to a
Participant amounts of withholding and other taxes due in connection with any
transaction involving an Award, and to take such other action as the Committee
may deem advisable to enable the Company and Participants to satisfy obligations
for the payment of withholding taxes and other tax obligations relating to any
Award. This authority shall include authority to withhold or receive Stock or
other property and to make cash payments in respect thereof in satisfaction of a
Participant's tax obligations. Withholding of taxes in the form of shares of
Stock from the profit attributable to the exercise of any Option shall not occur
at a rate that exceeds the minimum required statutory federal and state
withholding rates.

        (d)     Limits on Transferability; Beneficiaries. No Award or other
right or interest of a Participant under the Plan shall be pledged, encumbered,
or hypothecated to, or in favor of, or subject to any lien, obligation, or
liability of such Participants to, any party, other than the Company or any
Subsidiary, or assigned or transferred by such Participant otherwise than by
will or the laws of descent and distribution, and such Awards and rights shall
be exercisable during the lifetime of the Participant only by the Participant or
his or her guardian or legal representative. Notwithstanding the foregoing, the
Committee may, in its discretion, provide that Awards or other rights or
interests of a Participant granted pursuant to the Plan (other than an ISO) be
transferable, without consideration, to immediate family members (i.e.,
children, grandchildren or spouse), to trusts for the benefit of such immediate
family members and to partnerships in which such family members are the only
partners. The Committee may attach to

                                       12
<PAGE>

such transferability feature such terms and conditions as it deems advisable. In
addition, a Participant may, in the manner established by the Committee,
designate a beneficiary (which may be a person or a trust) to exercise the
rights of the Participant, and to receive any distribution, with respect to any
Award upon the death of the Participant. A beneficiary, guardian, legal
representative or other person claiming any rights under the Plan from or
through any Participant shall be subject to all terms and conditions of the Plan
and any Award Agreement applicable to such Participant, except as otherwise
determined by the Committee, and to any additional restrictions deemed necessary
or appropriate by the Committee.

        (e)     Securities Law Requirements.

                (i)     No Award granted hereunder shall be exercisable if the
                        Company shall at any time determine that (a) the listing
                        upon any securities exchange, registration or
                        qualification under any state or federal law of any
                        Stock otherwise deliverable upon such exercise, or (b)
                        the consent or approval of any regulatory body or the
                        satisfaction of withholding tax or other withholding
                        liabilities, is necessary or appropriate in connection
                        with such exercise. In any of the events referred to in
                        clause (a) or clause (b) above, the exercisability of
                        such Awards shall be suspended and shall not be
                        effective unless and until such withholding, listing,
                        registration, qualifications or approval shall have been
                        effected or obtained free of any conditions not
                        acceptable to the Company in its sole discretion,
                        notwithstanding any termination of any Award or any
                        portion of any Award during the period when
                        exercisability has been suspended.

                (ii)    The Committee may require, as a condition to the right
                        to exercise any Award that the Company receive from the
                        Participant, at the time any such Award is exercised,
                        vests or any applicable restrictions lapse,
                        representations, warranties and agreements to the effect
                        that the shares are being purchased or acquired by the
                        Participant for investment only and without any present
                        intention to sell or otherwise distribute such shares
                        and that the Participant will not dispose of such shares
                        in transactions which, in the opinion of counsel to the
                        Company, would violate the registration provisions of
                        the Securities Act of 1933, as then amended, and the
                        rules and regulations thereunder. The certificates
                        issued to evidence such shares shall bear appropriate
                        legends summarizing such restrictions on the disposition
                        thereof.

        (f)     Termination. Unless the Plan shall theretofore have been
terminated, the Plan shall terminate on February 16, 2015, and no Options under
the Plan shall thereafter be granted.

        (g)     Fractional Shares. The Company will not be required to issue any
fractional common shares pursuant to the Plan. The Committee may provide for the
elimination of fractions and for the settlement of fractions in cash.

        (h)     Discretion. In exercising, or declining to exercise, any grant
of authority or discretion hereunder, the Committee may consider or ignore such
factors or circumstances and

                                       13
<PAGE>

may accord such weight to such factors and circumstances as the Committee alone
and in its sole judgment deems appropriate and without regard to the effect such
exercise, or declining to exercise such grant of authority or discretion, would
have upon the affected Participant, any other Participant, any employee, the
Company, any Subsidiary, any stockholder or any other person.

        (i)     Adoption of the Plan and Effective Date. The Plan shall be
adopted by the Board of Directors of the Company and shall be effective as of
such date.

                                       14

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