Document:

[Exhibit 10.2.8]

                     EMPLOYEE LOANOUT AGREEMENT
                     --------------------------

AGREEMENT made as of this lst day of July, 2004 by and between FILM
AND MUSIC ENTERTAINMENT , INC. ("Company"), 5670 Wilshire Blvd.,
Suite 1690, Los Angeles, California 90036, USA, ("Company") and RED
GIANTS PRODUCTIONS, INC. (herein called "Lender") whose address is
5670 Wilshire Boulevard, Suite 1690, Los Angeles, California 90036,
as follows:

1. Reference is hereby made to that certain Employment Agreement
dated as of May 23,2003 in connection with the services of Executive
in relation to the management of Company, a copy of which is attached
hereto as Exhibit " A " and hereby made a part hereof (the "
Agreement"). Company and Lender hereby agree that the Agreement shall
be deemed amended by agreeing that the services of Executive are to
be provided by Lender rather than being performed under direct
employment of Executive by Company. All provisions of the Agreement
shall be deemed included as part of this agreement as though fully
set forth herein; it being understood however, that:

(a) wherever reference is made in the Agreement to payments to
Executive, such reference shall be deemed to refer to payments to
Lender.

(b) all rights granted by Executive under the Agreement shall be
deemed granted hereunder by Lender as well, and all warranties,
agreements, duties, liabilities, obligations and indemnifications
given, made and/or assumed by Executive thereunder shall be deemed
given, made and/or assumed by Lender as well.

(c) the compensation provide in Section 4.1 (a) of the Agreement
shall be One Hundred Four Thousand Dollars ($104,000) per year.

(d) Section 3 shall be amended to provide that Executive shall be
employed as Chief Executive Officer, President and Chairman of the
Board.

2. As compensation in full for the services of Executive to be
furnished by Lender hereunder and for all rights granted and agreed
to be granted herein, Company will pay to Lender directly, without
payroll deductions of any kind whatsoever, except as may be required
by any federal, state or local law, regulation or ordinance, all
monies which may become due and payable to Executive pursuant to the
Agreement as, when and to the extent such payments become payable.

3. The parties hereto are entering into this agreement as independent
contractors, and no partnership or joint venture or other association
shall be deemed created by this agreement. Lender will have the
entire responsibility of employer of Executive and will discharge all
of the obligations of employer under any federal, state or local
laws, regulations or order now or hereafter in force, including, but
not limited to, those relating to taxes, unemployment compensation or
insurance, social security, worker's compensation, disability
pensions, tax withholding and including the filing of all returns and
reports required of employer and the

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payment of all taxes, assessments and contributions and other
sums required of employer. Lender will deduct and withhold from
the consideration payable by Lender to Executive all amounts
required to be deducted and withheld under employment agreements
under the provisions of any statute, regulation, ordinance or
order requiring the withholding or deduction of compensation.
Further, it is agreed that Company will pay directly to the
applicable guild all employer's contributions to the appropriate
union pension and welfare plans required by reason of the
services rendered hereunder by Executive.

4. Lender warrants that Executive is under an exclusive services
contract with Lender and will continue to be throughout the term
of this agreement; that Lender has and will have the right to
furnish Executive's services to Company hereunder for the term of
this agreement; and that Lender has and will have the right to
grant all rights of whatsoever nature in and to the results and
proceeds of such services. The warranties and indemnities set
forth herein are in addition to, and not in limitation of, those
contained in the Agreement.

IN WITNESS WHEREOF, the parties hereto have executed this
agreement on the day and year first above written.

Film and Music Entertainment, Inc.

By:    /s/ Lawrence S. Lotman
   ----------------------------------
Its: Director/Secretary, V.P. Finance

Red Giants Productions, Inc.

By:   /s/
   ----------------------------------
Its: Secretary

<PAGE>

                          INDUCEMENT LETTER

Dated: As of July 1, 2004

FILM AND MUSIC ENTERTAINMENT, INC.

5670 Wilshire Blvd., Suite 1690
Los Angeles, California 90036, USA,

Gentlemen:

As an inducement to you to enter into this Loan out Agreement
executed concurrently herewith between Red Giant Productions, Inc.
(herein called "Lender") and you with respect to my services as an
Executive I represent, warrant and agree as follows:

Lender is now, and will be at all times during the term of said
loanout contract and at all other times when my services may be
rendered or required thereunder, authorized to furnish my services
to you as therein provided; and if for any reason my employment
contract with Lender should expire or be terminated before the
completion of my services under said loanout contract, I will keep
and perform all of the terms and conditions thereof, as though I
were a party to said loanout contract and had executed it in place
of Lender;

1. That I will keep and perform all of the terms and conditions of
said loanout contract and will perform my services for you during
the term thereof, and at all other times when my services may be
rendered or required thereunder, in the capacities therein
specified, conscientiously and to the best of my ability;

2. That I will look solely to Lender for all compensation for my
services under said loanout contract and you shall have no
obligation to compensate me for any services to be performed by me
or for any rights granted to you thereunder.

3. That I hereby confirm and join in the grant to you of all rights
under said loanout contract, including, but not limited to, all
rights granted in and to the results and proceeds of my services and
the right to use my name and likeness as set forth therein, whether
or not my employment by Lender should expire or be terminated;

4. That all notices served on Lender in accordance with the
provisions of said loanout contract shall be deemed to be notices to
me of the contents hereof; and

5. That I shall indemnify and hold you harmless from and against all
liabilities,

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penalties, losses or expenses, including reasonable attorneys'
fees imposed upon, sustained or incurred by you by reason of your
failure to deduct or withhold from the compensation payable to
Lender under said loanout contract any amounts required to be
deducted or withheld by you under the provisions of any now or
hereafter existing law, regulation or collective bargaining
agreement.

     Very truly yours,

     /s/John Daly
     ----------------------------
     John Daly

<PAGE>[Exhibit 10.2.9]

                   EMPLOYMENT AGREEMENT
                   --------------------

    This Employment Agreement (" Agreement") is entered into  as
of  May  23, 2003, between Michael Criscione ("Employee"),  1168
Twin  Canyon Lane, Diamond Bar, California 91765, and  Film  and
Music  Entertainment. Inc. ("Company"), 2029 Century Park  East,
Suite 1060, Los Angeles, California 90067, USA, on the following
terms and conditions:

     1.  Engagement  of Services. Company wishes to  retain  the
         -----------------------
services of Employee in connection with certain matters relating
to  Company's  business, as more fully described  in  Section  3
hereof, and Employee is willing to provide such services.

     2.  Term.  The  term of this Agreement (the  "Term")  shall
         ----
commence  as  of  the  date set forth above and  continue  until
completion  of  Employee's services hereunder,  or  upon  thirty
days' prior written notice from either party.

     3.  Services To Be Provided. Employee agrees that  Employee
         -----------------------
will,  on  a  non-exclusive basis and consistent with Employee's
other professional commitments render to Company such Employment
services as Vice President Creative Services and a Member of the
Board  of Directors of Company. Employee further agrees  at  all
times  not  to  engage  in  conduct  which  will  disparage  the
reputation of Company and/or Company's technology, products  and
services  or  which  might tend to adversely affect  the  market
price  of Company's common stock. Employee shall not be required
at  any  time to render services that would materially interfere
with Employee's prior professional obligations.

     4.  Consideration. Provided Employee shall faithfully and
         -------------
completely perform the services required hereunder and otherwise
fulfill his obligations under this Agreement, Company shall pay
Employee, as full compensation for the services requested of
Employee hereunder for all work performed at the rate of
Dollar ($   .00) per year.

     5.  Expenses
         --------

          (a)  In General. Employee may incur various costs  and
               ----------
expenses  in  performing  his  services  under  this  Agreement.
Company  agrees  to  pay  for only those  reasonable  costs  and
expenses by prior written agreement of the Company.

          (b)   Out  of  Town  Travel.  Company  agrees  to  pay
                ---------------------
transportation,  meals,  lodging and  all  other  costs  of  any
necessary out-of-town travel by Employee (with air travel to  be
coach  class  for Employee). Prior written approval  by  Company
shall  be  required for all air travel in connection  with  this
Agreement.

    Employee shall invoice Company promptly for the foregoing
expenses. Such invoices shall be payable within 30 days of
receipt.

     6. Confidentiality. In connection with Employee's services
        ---------------
hereunder, Company will be disclosing to Employee certain
confidential information all of which Company considers to be
secret or proprietary ("Proprietary Information"), and Employee
agrees, during the Term and forever after the expiration or
termination of this Agreement, to hold the Proprietary
Information in confidence, and not to disclose such Proprietary
Information to third parties (except pursuant to judicial
process) or to use such Proprietary Information for Employee's
own account, without Company's prior written authorization.
Proprietary Information shall be used by Employee only in
connection with services rendered pursuant to this Agreement
Proprietary information shall

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Agreement  by  Employee, or (b) is already in the possession  of
Employee,  as  evidenced  by written  documents,  prior  to  the
disclosure  thereof by Company, or ( c ) is rightfully  received
from  a third entity having no obligation to Company and without
violation  of  this  Agreement by Employee. Employee  shall  not
issue  any publicity or statements to the press or third parties
regarding  Company,  or  its technology, products  or  services,
without Company's prior written consent in each instance.

     7.  Company's Dutys. Company agrees to cooperate with
         ---------------
Employee, to abide by this Agreement, and to pay Employee's bills
on time.

     8.  Warranties. Employee warrants that Employee is under no
         ----------
obligation  to any third party that would prevent Employee  from
rendering the services contemplated by this Agreement, and  that
Employee  is free to enter into this Agreement. Company warrants
that  Company  is  under no obligation to any third  party  that
would prevent Company from performing its obligations under this
Agreement and that Company is free to enter into this Agreement.

     9.  Indemnity.  Employee will indemnify and hold harmless
         ---------
Company from any and a1l liabilities, costs, and expenses
(including attorney's fees) incurred by reason of any breach of
this Agreement by Employee. The Company will indemnify and hold
harmless Employee from any and all liabilities, costs, and
expenses (including attorney's fees) incurred by reason of any
breach of this Agreement by Company.

     10. No Injunctive Relief. In the event of any breach or an
         --------------------
alleged breach of this Agreement by Company, it is acknowledged
that Employee's rights and remedies shall be strictly limited
to the right of Employee to recover damages in an action at law,
and in no event shall Employee be entitled to rescind this
Agreement, revoke any of the rights herein granted or to
equitable or injunctive relief, including without limitation
specific performance.

     11. Notices. Any notice required or permitted to be given
         -------
hereunder shall be in writing and shall be personally
delivered, including by messenger or courier (e.g., delivery by
Federal Express or other similarly recognized air express
company), or by certified or registered mail, return receipt
requested, postage prepaid, to Employee at the address
previously inscribed or to Company at Pervasys, Inc., 2029
Century Park East, Suite 1060, Los Angeles, California 90067,
USA, with a copy to Alexander, Nau, Lawrence & Frumes, LLP,
Attention: Robert M. Nan, 2029 Century Park East, Suite 1260,
Los Angeles, California 90067, USA. Any party may change its
address for notices hereunder by giving written notice in the
manner provided for herein.

     12. Entire Agreement. This Agreement constitutes the entire
         ----------------
agreement between the parties. No modification or amendment of
this Agreement shall be binding unless executed in writing by all
the parties.

     13. Assignability.  This Agreement is not assignable by
         -------------
either party without the prior written consent of the other.

     14. Arbitration. Any dispute, controversy or claim arising
         -----------
out of or relating to the enforcement, interpretation or alleged
breach  of this Agreement, or the services rendered pursuant  to
this  Agreement, shall be submitted to and resolved  by  binding
arbitration  in Los Angeles, California in accordance  with  the
Commercial   Arbitration  Rules  of  the  American   Arbitration
Association,  and  judgment  upon  the  award  rendered  by  the
arbitrator may be entered in and enforceable by any court having
jurisdiction.

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     15. Choice of Law. This Agreement shall be construed and
         -------------
enforced in accordance with the laws of the State of California,
United States of America.

     In Witness Whereof, tile undersigned have executed this
Agreement as of the date first set forth above.

                               Michael Criscione

                               ("Employee")

                               By: /s/Michael Criscione
                                  ------------------------------

                               ("Company")
                               Film and Music Entertainment, Inc.

                               /s/John Daley
                               ----------------------------------
                               Its:  Employer

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