Document:

Unassociated Document

    

      

       

      

       

      

       

      CREATIVE
        VISTAS, INC.

       

      IVIEW
        DIGITAL VIDEO SOLUTIONS INC.

       

      IVIEW
        HOLDING CORP.

       

      LAURUS
        MASTER FUND, LTD.

       

      

       

      SECURITIES
        PURCHASE AGREEMENT

       

      February
        13, 2006

      
 

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      TABLE
        OF CONTENTS

       

      Page
        No.

       

      
        	
                1. Agreement
                  to Issue and Acquire.

              	
                2

              
	
                2. Fees,
                  Option and Warrant.

              	
                2

              
	
                3. Closing,
                  Delivery and Payment.

              	
                3

              
	
                3.1   
                  Closing.

              	
                3

              
	
                3.2   
                  Delivery.

              	
                3

              
	
                4. Representations
                  and Warranties of the Company.

              	
                3

              
	
                4.1   
                  Organization,
                  Good Standing and Qualification.

              	
                3

              
	
                4.2   
                  Subsidiaries.

              	
                5

              
	
                4.3   
                  Capitalization;
                  Voting Rights.

              	
                5

              
	
                4.4   
                  Authorization;
                  Binding Obligations.

              	
                6

              
	
                4.5   
                  Liabilities.

              	
                7

              
	
                4.6   
                  Agreements;
                  Action.

              	
                7

              
	
                4.7   
                  Obligations
                  to Related Parties.

              	
                8

              
	
                4.8   
                  Changes.

              	
                9

              
	
                4.9   
                  Title
                  to Properties and Assets; Liens, Etc.

              	
                11

              
	
                4.10 Intellectual
                  Property.

              	
                11

              
	
                4.11 Compliance
                  with Other Instruments.

              	
                12

              
	
                4.12 Litigation.

              	
                12

              
	
                4.13 Tax
                  Returns and Payments.

              	
                13

              
	
                4.14 Employees.

              	
                13

              
	
                4.15 Registration
                  Rights and Voting Rights.

              	
                14

              
	
                4.16 Compliance
                  with Laws; Permits.

              	
                14

              
	
                4.17 Environmental
                  and Safety Laws.

              	
                15

              
	
                4.18 Valid
                  Offering.

              	
                15

              
	
                4.19 Full
                  Disclosure.

              	
                15

              
	
                4.20 Insurance.

              	
                16

              
	
                4.21 Financial
                  Statements.

              	
                16

              
	
                4.22 Dilution.

              	
                16

              
	
                4.23 Patriot
                  Act.

              	
                16

              
	
                4.24 ERISA.

              	
                17

              
	
                4.25 Bank
                  Accounts.

              	
                18

              
	
                5. Representations
                  and Warranties of the Purchaser.

              	
                18

              
	
                5.1   
                  No
                  Shorting.

              	
                18

              
	
                5.2   
                  Requisite
                  Power and Authority.

              	
                18

              
	
                5.3   
                  Investment
                  Representations.

              	
                18

              
	
                5.4   
                  Purchaser
                  Bears Economic Risk.

              	
                19

              
	
                5.5   
                  Acquisition
                  for Own Account.

              	
                20

              
	
                5.6   
                  Purchaser
                  Can Protect Its Interest.

              	
                20

              
	
                5.7   
                  Legends.

              	
                20

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      
        	
                6. Covenants
                  of the Company.

              	
                21

              
	
                6.1   
                  Stop-Orders.

              	
                21

              
	
                6.2   
                  Use
                  of Funds.

              	
                22

              
	
                6.3   
                  Reporting
                  Requirements.

              	
                22

              
	
                6.4   
                  Access
                  to Facilities.

              	
                23

              
	
                6.5   
                  Taxes.

              	
                23

              
	
                6.6   
                  Insurance.

              	
                24

              
	
                6.7   
                  Intellectual
                  Property.

              	
                26

              
	
                6.8   
                  Properties.

              	
                26

              
	
                6.9   
                  Confidentiality.

              	
                26

              
	
                6.10 Required
                  Approvals.

              	
                27

              
	
                6.11 Opinion.

              	
                28

              
	
                6.12 Margin
                  Stock.

              	
                28

              
	
                6.13 Financing
                  Right of First Refusal.

              	
                28

              
	
                6.14 Account
                  Agreements.

              	
                29

              
	
                7. Covenants
                  of the Purchaser.

              	
                30

              
	
                7.1   
                  Confidentiality.

              	
                30

              
	
                7.2   
                  Non-Public
                  Information.

              	
                30

              
	
                7.3   
                  Limitation
                  on Acquisition of Common Stock of the Company.

              	
                30

              
	
                8. Covenants
                  of the Company and Purchaser Regarding Indemnification.

              	
                31

              
	
                8.1   
                  Company
                  Indemnification.

              	
                31

              
	
                8.2   
                  Purchaser’s
                  Indemnification.

              	
                31

              
	
                8.3   
                  Offering
                  Restrictions.

              	
                31

              
	
                9. Miscellaneous.

              	
                32

              
	
                9.1   
                  Governing
                  Law.

              	
                32

              
	
                9.2   
                  Survival.

              	
                32

              
	
                9.3   
                  Successors.

              	
                32

              
	
                9.4   
                  Entire
                  Agreement; Maximum Interest.

              	
                33

              
	
                9.5   
                  Severability.

              	
                33

              
	
                9.6   
                  Amendment
                  and Waiver.

              	
                33

              
	
                9.7   
                  Delays
                  or Omissions.

              	
                33

              
	
                9.8   
                  Notices.

              	
                34

              
	
                9.9   
                  Attorneys’
                  Fees.

              	
                35

              
	
                9.10 Titles
                  and Subtitles.

              	
                35

              
	
                9.11 Facsimile
                  Signatures; Counterparts.

              	
                35

              
	
                9.12 Broker’s
                  Fees.

              	
                35

              
	
                9.13 Construction.

              	
                36

              
	
                9.14 Currency
                  Indemnity.

              	
                36

              

      

      
        
          	
                  Exhibit
                    “A” FORM OF NOTE

                	
                  38

                
	
                  Exhibit
                    “B” FORM OF IVIEW NOTE

                	
                  39

                
	
                  Exhibit
                    “C” FORM OF OPTION

                	
                  40

                
	
                  Exhibit
                    “D” FORM OF COMPANY WARRANT

                	
                  41

                
	
                  Exhibit
                    “E” CASH COLLATERAL DEPOSIT LETTER

                	
                  42

                
	
                  Exhibit
                    “F” FORM OF ESCROW AGREEMENT

                	
                  43

                
	
                  Exhibit
                    “G” FORM OF OPINION

                	
                  44

                
	
                  Exhibit
                    “H” FORM OF TAX OPINION

                	
                  45

                

        

         

      

      
        
          
          

        

        
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      SECURITIES
        PURCHASE AGREEMENT

       

      THIS
        SECURITIES PURCHASE AGREEMENT
        (this
“Agreement”)
        is
        made and entered into as of February 13,
        2006,
        by and among CREATIVE
        VISTAS, INC.
        an
        Arizona Corporation, (the “Company”),
        IVIEW
        DIGITAL VIDEO SOLUTIONS INC.,
        a
        Canadian Corporation (“Iview”),
        IVIEW
        HOLDING CORP.,
        a
        Delaware Corporation (“Iview
        Parent”)
        and
LAURUS
        MASTER FUND, LTD.,
        a
        Cayman Islands company (the “Purchaser”).

       

      RECITALS:

       

      WHEREAS,
        the
        Company has authorized the sale to the Purchaser of a Secured Term Note in
        the
        aggregate principal amount of Eight Million Two Hundred and Fifty Thousand
        Dollars in lawful money of the United States (USD$8,250,000) (as amended,
        modified or supplemented from time to time, the “Company
        Note”);

       

      WHEREAS,
        Iview
        has authorized the sale to the Purchaser of a Secured Term Note in the aggregate
        principal amount of Two Million Dollars in lawful money of the United
        States (USD$2,000,000) (as
        amended, modified or supplemented from time to time, the “Iview
        Note”);

       

      WHEREAS,
        Iview
        Parent wishes to issue an option (as amended, modified or supplemented from
        time
        to time, the “Iview Option”)
        to the
        Purchaser to purchase up to 20% of the common stock of Iview Parent (subject
        to
        adjustment as set forth therein), in connection with Purchaser’s purchase of the
        Iview Note;

       

      WHEREAS,
        the
        Company wishes to issue a warrant (as amended, modified or supplemented from
        time to time (the “Company
        Warrant”)
        to the
        Purchaser to purchase up to 7.5% of common stock of the Company.

       

      WHEREAS,
        Purchaser desires to acquire the Company Note, the Iview Note, the Company
        Warrant and the Iview Option on the terms and conditions set forth herein;
        and

       

      WHEREAS,
        the
        Company desires to issue the Company Note and sell the Company Warrant, Iview
        desires to issue the Iview Note and Iview Parent desires to issue and sell
        the
        Iview Option to Purchaser on the terms and conditions set forth
        herein.

       

      AGREEMENT:

       

      NOW,
        THEREFORE,
        in
        consideration of the foregoing recitals and the mutual promises,
        representations, warranties and covenants hereinafter set forth and for other
        good and valuable consideration, the receipt and sufficiency of which are
        hereby
        acknowledged, the parties hereto agree as follows:

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      
        	
                1.

              	
                Agreement
                  to Issue and Acquire. 

              

      

       

      Pursuant
        to the terms and conditions set forth in this Agreement, on the Closing Date
        (as
        defined in Section 0),
        (i)
        the Company shall issue to the Purchaser, and the Purchaser shall acquire
        from
        the Company the Company Note; and (ii) Iview shall issue to the Purchaser,
        and
        the Purchaser shall acquire from Iview the Iview Note. The offer and issuance
        of
        the Company Note and the Iview Note purchased on the Closing Date shall be
        known
        as the “Offering”.
        A form
        of the Company Note is annexed hereto as Exhibit “A” and a form of the Iview
        Note is annexed hereto as Exhibit ”B”. The Company Note will mature on the
        Maturity Date (as defined in the Company Note). The Iview Note will mature
        on
        the Maturity Date (as defined in the Iview Note). Collectively, the Company
        Note, the Iview Note, the Iview Option and the Company Warrant are referred
        to
        as the “Securities”.

       

       

      
        	
                2.

              	
                Fees,
                  Option and Warrant.

              

      

       

      On
        the
        Closing Date:

       

      
        	 	
                (a)

              	
                Iview
                  Parent will issue and deliver to the Purchaser the Iview Option
                  and
                  Company will issue and deliver to the Purchaser, the Company Warrant.
                  The
                  Iview Option and the Company Warrant must be delivered on the Closing
                  Date. A form of the Iview Option is annexed hereto as Exhibit C. A
                  form of the Company Warrant is annexed hereto as Exhibit D. All
                  the
                  representations, covenants, warranties, undertakings, and indemnification,
                  and other rights made or granted to or for the benefit of the Purchaser
                  by
                  Iview Parent are hereby also made and granted in respect of the
                  Iview
                  Option and shares of Iview Parent’s Common Stock issuable upon exercise of
                  the Iview Option (the “Iview
                  Option Shares”).
                  All the representations, covenants, warranties, undertakings and
                  indemnification and other rights made or granted to or for the
                  benefit of
                  the Purchaser by the Company are hereby also made and granted in
                  respect
                  of the Company Warrant and the Company’s Common Stock issueable upon
                  exercise of the Company Warrant (the “Company
                  Warrant Shares”
                  and together with the Iview Option Shares, the “Shares”).

              

      

       

      
        	 	
                (b)

              	
                Subject
                  to the terms of Section 2(d)
                  below, the Company shall pay to Laurus Capital Management, LLC,
                  the
                  manager of the Purchaser, a closing payment in an amount equal
                  to
                  USD$87,500. The foregoing fee is referred to herein as the “Closing
                  Payment”.

              

      

       

      
        	 	
                (c)

              	
                The
                  Company shall reimburse the Purchaser for its reasonable expenses
                  (including legal fees and expenses) incurred in connection with
                  the
                  preparation and negotiation of this Agreement and the Related Agreements
                  (as hereinafter defined), and expenses incurred in connection with
                  the
                  Purchaser’s due diligence review of the Company and its Subsidiaries (as
                  defined in Section 6.6)
                  and all related matters. Amounts required to be paid under this
                  Section 2(c)
                  will be paid on the Closing Date and shall be USD$5,000 (plus any
                  amounts
                  charged by the Purchaser’s local Canadian counsel and/or related to
                  registration and filing expenses in connection with the granting
                  and
                  perfection of the Purchaser’s security interests) for such expenses
                  referred to in this Section (c).

              

      

       

      
        
          
          

        

        
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            2 -

          
            

          

        

        
          
          

        

      

      
      

       

      
        	 	
                (d)

              	
                The
                  Closing Payment and the expenses referred to in the preceding
                  clause (c)
                  shall be paid at Closing (as defined below) out of funds held pursuant
                  to
                  the Escrow Agreement (as defined below) and a disbursement letter
                  (the
                  “Disbursement
                  Letter”).

              

      

       

      
        	 	
                (e)

              	
                The
                  Company, Iview Parent, Iview and each of their respective Subsidiaries
                  will execute and deliver the Cash Collateral Deposit Letter. A
                  form of the
                  Cash Collateral Deposit Letter is attached hereto as Exhibit
                  E.

              

      

       

      
        	
                3.

              	
                Closing,
                  Delivery and Payment.

              

      

       

      
        	
                3.1

              	
                Closing. 

              

      

       

      Subject
        to the terms and conditions herein, the closing of the transactions contemplated
        hereby (the “Closing”),
        shall
        take place on the date hereof, at such time or place as the Company and
        Purchaser may mutually agree (such date is hereinafter referred to as the
        “Closing
        Date”).
        Each
        of the Company and Iview acknowledges that the Purchaser’s obligation to fund
        the purchase price for the Company Note and the Iview Note is conditioned
        upon
        the Company’s and Iview’s satisfaction of the items and matters contained in the
        closing checklist to be supplied by the Purchaser to the Company and
        Iview.

       

      
        	
                3.2

              	
                Delivery. 

              

      

       

      Pursuant
        to the Escrow Agreement, at the Closing on the Closing Date, the Company,
        Iview
        and Iview Parent will deliver to the Purchaser, among other things, the Company
        Note, the Iview Note, the Iview Option and the Company Warrant and the Purchaser
        will deliver to the Company, among other things, the amounts set forth in
        the
        Disbursement Letter, by certified funds or wire transfer.

       

      
        	
                4.

              	
                Representations
                  and Warranties of the Company. 

              

      

       

      Each
        of
        the Company, Iview and Iview Parent hereby represents and warrants to the
        Purchaser as follows (it being acknowledged and agreed that to the extent
        applicable thereto, each representation and warranty made hereunder shall
        be
        deemed to make reference to the transactions contemplated by this Agreement
        and
        all Related Agreements).

       

      
        	
                4.1

              	
                Organization,
                  Good Standing and
                  Qualification.

              

      

       

      
        
          
          

        

        
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            3 -

          
            

          

        

        
          
          

        

         

      

      Each
        of
        the Company, Iview and Iview Parent, and each of their respective Subsidiaries
        is a corporation, partnership or limited liability company, as the case may
        be,
        duly organized, validly existing and in good standing under the laws of its
        jurisdiction of organization. Each of the Company, Iview, Iview Parent, and
        each
        of their respective Subsidiaries has the power (corporate and otherwise)
        and
        authority to own and operate its properties and assets, to execute and deliver
        (i) this Agreement, (ii) the Company Note, the Iview Note, the Iview Option
        and
        the Company Warrant, (iii) the Escrow Agreement dated as of the date hereof
        among the Company, Iview, the Purchaser and the escrow agent referred to
        therein, substantially in the form of Exhibit E hereto (as amended, modified
        or
        supplemented from time to time, the “Escrow
        Agreement”),
        (iv)
        the Amended and Restated Guaranty dated the date hereof executed by the Company,
        Iview, Cancable Holding Corp., (“Cancable
        Holding”),
        Cancable, Inc., Cancable Inc., Creative Vistas Acquisition Corp. (“Creative
        Vistas Acquisition”),
        A.C. Technical Systems Ltd. (“A.C.
        Ltd.”)
        and
        Iview Parent in favour of the Purchaser, (the “Amended
        and Restated Guaranty”),
        (the
        Company, Cancable Holding, Cancable, Inc., Cancable Inc., Creative Vistas
        Acquisition, A.C. Ltd., Iview Parent and Iview (collectively, the “Loan
        Parties”),
        (v)
        the Joinder and Confirmation of Security dated the date hereof granted by
        the
        Loan Parties in favour of the Purchaser (the “2006
        Joinder”),
        (vi)
        the Amended and Restated Guaranty dated as of the date hereof granted by
        Brent
        W. Swanick (“Swanick”)
        in
        favour of the Purchaser (the “Swanick Amended
        and Restated Guaranty”),
        (vii)
        the Joinder and Confirmation of Security dated the date hereof granted by
        Swanick in favour of Purchaser (the “Swanick
        Joinder”),
        (viii) all other agreements related to this Agreement, the Company Note and
        the
        Iview Note and referred to herein (the preceding clauses (ii) through (viii),
        and (ix) the Master Security Agreement dated as of September 30, 2004 granted
        by
        the Company, A.C. Ltd., A.C. Technical Acquisition Corp. (now Creative Vistas
        Acquisition) and Cancable Holding, Iview, Cancable Inc., and Cancable, Inc.
        (pursuant to the Joinder and Confirmation of Security dated as of December
        31,
        2005 between Cancable Holding, Iview, Cancable Inc., Cancable, Inc., Company,
        Creative Vistas Acquisition, A.C. Ltd. and Swanick (the “2005
        Joinder”)
        in
        favour of the Purchaser, (x) the Subsidiary Guaranty dated as of September
        30,
        2004 granted by A.C. Ltd., A.C. Technical Acquisition Corp. (now Creative
        Vistas
        Acquisition) and Cancable Holding, Iview, Cancable Inc. and Cancable, Inc.
        (pursuant to the 2005 Joinder) in favour of the Purchaser, (xi) the Guaranty
        dated as of September 30, 2004 granted by Swanick in favour of the Purchaser,
        (xii) the Share Pledge Agreement dated as of September 30, 2004 granted by
        A.C.
        Ltd., A.C. Technical Acquisition Corp. (now Creative Vistas Acquisition)
        and
        Cancable Holding, Iview, Cancable Inc., and Cancable, Inc. (pursuant to the
        2005
        Joinder) in favour of the Purchaser, (xiii) the Share Pledge Agreement dated
        as
        of September 30, 2004 granted by Company and Cancable Holding, Iview, Cancable
        Inc., and Cancable, Inc. (pursuant to the 2005 Joinder) in favour the Purchaser,
        (xiv) the Debenture dated as of September 30, 2004 granted by A.C. Ltd. in
        favour of the Purchaser; (xv) the Securities Purchase Agreement dated as
        of
        December 31, 2005 between Cancable Inc., Cancable Holding and the Purchaser,
        (xvi) the Guaranty dated as of December 31, 2005 granted by Company, Cancable
        Holding, Cancable, Inc., Creative Vistas Acquisition, A.C. Ltd. and Iview
        in
        favour of the Purchaser, (xvii) the Master Security Agreement dated as of
        December 31, 2005 granted by Company, Iview, Cancable Inc., Cancable, Inc.,
        Cancable Holding, A.C. Ltd. and Creative Vistas Acquisition in favour of
        the
        Purchaser (the “2005
        Master Security Agreement”),
        (xviii) the Pledge Agreement dated as of December 31, 2005 granted by Company,
        Creative Vistas Acquisition Corp., Cancable Inc. and Cancable Holding in
        favour
        of the Purchaser (the “2005
        Stock Pledge Agreement”);
        and
        (xiv) the 2005 Joinder, and (xx) the Debenture dated as of December 31, 2005
        granted by A.C. Ltd. in favour of the Purchaser, collectively, the “Related
        Agreements”),
        to
        issue and sell the Company Note and the Iview Note, to issue and sell the
        Iview
        Option and the Company Warrant and the Shares, and to carry out the provisions
        of this Agreement and the Related Agreements and to carry on its business
        as
        presently conducted. Each of the Company, Iview and Iview Parent, and each
        of
        their respective Subsidiaries is duly qualified and is authorized to do business
        and is in good standing as a foreign corporation, partnership or limited
        liability company, as the case may be, in all jurisdictions in which the
        nature
        of its activities and of its properties (both owned and leased) makes such
        qualification necessary, except for those jurisdictions in which failure
        to do
        so has not, or could not reasonably be expected to have, individually or
        in the
        aggregate, a material adverse effect on the business, assets, liabilities,
        condition (financial or otherwise), properties, operations or prospects of
        the
        Company, Iview and Iview Parent, and their respective Subsidiaries, taken
        as a
        whole (a “Material
        Adverse Effect”).

       

      
        
          
          

        

        
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            4 -

          
            

          

        

        
          
          

        

      

       

      
        	
                4.2

              	
                Subsidiaries. 

              

      

       

      Each
        direct and indirect Subsidiary of each of the Company, Iview and Iview Parent,
        the direct owner of such Subsidiary and its percentage ownership thereof,
        is set
        forth on Schedule 4.2. For the purpose of this Agreement, a “Subsidiary”
of
        any
        person or entity means (i) a corporation or other entity whose shares of
        stock
        or other ownership interests having ordinary voting power (other than stock
        or
        other ownership interests having such power only by reason of the happening
        of a
        contingency) to elect a majority of the directors of such corporation, or
        other
        persons or entities performing similar functions for such person or entity,
        are
        owned, directly or indirectly, by such person or entity or (ii) a corporation
        or
        other entity in which such person or entity owns, directly or indirectly,
        more
        than 50% of the equity interests at such time. 

       

      
        	
                4.3

              	
                Capitalization;
                  Voting Rights.

              

      

       

      
        	 	
                (a)

              	
                The
                  authorized capital stock of the Company as of the date hereof consists
                  of
                  100,000,000 shares of Common Stock, no par value of which 32,146,716
                  shares are issued and outstanding. The authorized capital stock
                  of Iview
                  as of the date hereof consists of an unlimited number of Common
                  Shares, of
                  which 100 shares are issued and outstanding. The authorized capital
                  stock
                  of Iview Parent consists of 1,000 shares of Common Stock, $0.01
                  par value
                  per share, of which 80 shares of Common Stock are issued and outstanding.
                  The authorized, issued and outstanding capital stock of each Subsidiary
                  of
                  the Company, Iview and of Iview Parent is set forth on Schedule
                  4.3(a). 

              

      

       

      
        	 	
                (b)

              	
                Except
                  as disclosed on Schedule 4.3(b), other than: (i) the shares reserved
                  for
                  issuance under the Company’s stock option plans; (ii) shares which may be
                  granted pursuant to this Agreement and the Related Agreements,
                  and (iii)
                  those shares issued or reserved for issuance to the Purchaser,
                  there are
                  no outstanding options, warrants, rights (including conversion
                  or
                  pre-emptive rights and rights of first refusal), proxy or stockholder
                  agreements, or arrangements or agreements of any kind for the purchase
                  or
                  acquisition from the Company of any of its securities. Except as
                  disclosed
                  on Schedule 4.3(b), neither the offer, issuance or sale of any
                  of the
                  Company Note, the Iview Note or Iview Option, or the Company Warrant
                  or
                  the issuance of any of the Shares, nor the consummation of any
                  transaction
                  contemplated hereby will result in a change in the price or number
                  of any
                  securities of the Company, Iview or Iview Parent outstanding, under
                  anti-dilution or other similar provisions contained in or affecting
                  any
                  such securities.

              

      

       

      
        
          
          

        

        
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            5 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (c)

              	
                All
                  issued and outstanding shares of the Company’s common stock (the
                  “Company
                  Common Stock”):
                  (i) have been duly authorized and validly issued and are fully
                  paid and
                  non-assessable; and (ii) were issued in compliance with all applicable
                  provincial and federal laws concerning the issuance of securities.
                  All
                  issued and outstanding shares of Iview’s Common Stock (the “Iview
                  Common Stock”):
                  (i) have been duly authorized and validly issued and are fully
                  paid and
                  non-assessable; and (ii) were issued in compliance with all applicable
                  provincial and federal laws concerning the issuance of securities.
                  All
                  issued and outstanding shares of Iview Parent’s common stock (the
                  “Iview
                  Parent Common Stock”):
                  (i) have been duly authorized and validly issued and are fully
                  paid and
                  non-assessable; and (ii) were issued in compliance with all applicable
                  federal laws concerning the issuance of
                  securities.

              

      

       

      
        	 	
                (d)

              	
                The
                  rights, preferences, privileges and restrictions of the shares
                  of the
                  Company Common Stock are as stated in the Company’s Certificate of
                  Incorporation (the “Company
                  Charter”).
                  The rights, preferences, privileges and restrictions of the shares
                  of the
                  Iview Common Stock are as stated in Iview’s Certificate of Incorporation
                  (the “Iview
                  Charter”).
                  The rights, preferences, privileges and restrictions of the shares
                  of
                  Iview Parent Common Stock are as stated in Iview Parent’s Certificate of
                  Incorporation (the “Iview
                  Parent Charter”).
                  The Iview Option Shares have been duly and validly reserved for
                  issuance.
                  When issued in compliance with the provisions of this Agreement,
                  the
                  Company’s Charter, Iview’s Charter, and/or Iview Parent’s Charter, as
                  applicable, the Securities will be validly issued, fully paid and
                  non-assessable, and will be free of any liens or encumbrances;
                  provided,
                  however, that the Securities may be subject to restrictions on
                  transfer
                  under state, provincial and/or federal securities laws as set forth
                  herein
                  or as otherwise required by such laws at the time a transfer is
                  proposed
                  or pursuant to the terms of the Securities or of related shareholder
                  or
                  similar agreements entered into by the
                  Purchaser.

              

      

       

      
        	
                4.4

              	
                Authorization;
                  Binding Obligations.

              

      

       

      All
        corporate, partnership or limited liability company, as the case may be,
        action
        on the part of the Company, Iview, Iview Parent, and each of their respective
        Subsidiaries (including their respective officers and directors) necessary
        for
        the authorization of this Agreement and the Related Agreements, the performance
        of all obligations of the Company and its Subsidiaries hereunder and under
        the
        other Related Agreements at the Closing and, the authorization, sale, issuance
        and delivery of the Company Note, the Iview Note and the Company Warrant
        has
        been taken or will be taken prior to the Closing. This Agreement and the
        Related
        Agreements, when executed and delivered and to the extent it is a party thereto,
        will be valid and binding obligations of each of the Company, Iview, Iview
        Parent, and each of their respective Subsidiaries, enforceable against each
        such
        person in accordance with their terms, except:

       

      
        	 	
                (a)

              	
                as
                  limited by applicable bankruptcy, insolvency, reorganization, moratorium
                  or other laws of general application affecting enforcement of creditors’
                  rights; and

              

      

       

      
        
          
          

        

        
          -
            6 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (b)

              	
                general
                  principles of equity that restrict the availability of equitable
                  or legal
                  remedies.

              

      

       

      The
        sale
        of the Company Note and the Iview Note is not and will not be subject to
        any
        pre-emptive rights or rights of first refusal that have not been properly
        waived
        or complied with. The issuance of the Company Warrant and the subsequent
        exercise of the Company Warrant for the Shares are not and will not be subject
        to any pre-emptive rights or rights of first refusal that have not been properly
        waived or complied with. 

       

      
        	
                4.5

              	
                Liabilities.

              

      

       

      Neither
        the Company, Iview, Iview Parent, nor any of their respective Subsidiaries
        has
        any contingent liabilities, except current liabilities incurred in the ordinary
        course of business and liabilities set forth on Schedule 4.5.

       

      
        	
                4.6

              	
                Agreements;
                  Action. 

              

      

       

      Except
        as
        set forth on Schedule 4.6:

       

      
        	 	
                (a)

              	
                other
                  than those among the Company, Iview, Iview Parent and any one or
                  more of
                  their respective Subsidiaries, there are no agreements, understandings,
                  instruments, contracts, proposed transactions, judgments, orders,
                  writs or
                  decrees to which the Company, Iview, Iview Parent, or any of their
                  respective Subsidiaries is a party or by which it is bound which
                  may
                  involve: (i) obligations (contingent or otherwise) of, or payments
                  to, the Company, Iview, Iview Parent, or any of their respective
                  Subsidiaries in excess of USD$100,000 (other than obligations of,
                  or
                  payments to, the Company, Iview Parent, or any of their respective
                  Subsidiaries (1) to the Purchaser and (2) arising from purchase
                  or sale
                  agreements entered into in the ordinary course of business); or
                  (ii) the
                  transfer or license of any patent, copyright, trade secret or other
                  proprietary right to or from the Company, Iview, Iview Parent (other
                  than
                  licenses arising from the purchase of “off the shelf” or other standard
                  products); or (iii) provisions restricting the development, manufacture
                  or
                  distribution of the Company, Iview, Iview Parent, or any of their
                  respective Subsidiaries’ products or services; or (iv) indemnification by
                  the Company, Iview, Iview Parent, or any of their respective Subsidiaries
                  with respect to infringements of proprietary
                  rights.

              

      

       

      
        	 	
                (b)

              	
                Since
                  December 31, 2004 (the “Balance
                  Sheet Date”),
                  other than as disclosed on the Company’s Securities and Exchange
                  Commission filings, neither the Company, Iview, Iview Parent, nor
                  any of
                  their respective Subsidiaries has: (i) declared or paid any dividends,
                  or
                  authorized or made any distribution upon or with respect to any
                  class or
                  series of its capital stock; (ii) incurred any indebtedness for
                  money
                  borrowed or any other liabilities (other than ordinary course obligations)
                  individually in excess of USD$100,000 or, in the case of indebtedness
                  and/or liabilities individually less than USD$100,000, in excess
                  of
                  USD$200,000 in the aggregate; (iii) made any loans or advances
                  to any
                  person not in excess, individually or in the aggregate, of USD$100,000,
                  other than ordinary course advances for travel expenses; or
                  (iv) sold, exchanged or otherwise disposed of any of its assets or
                  rights, other than the sale of its inventory in the ordinary course
                  of
                  business.

              

      

       

      
        
          
          

        

        
          -
            7 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (c)

              	
                For
                  the purposes of subsections (a)
                  and (b)
                  above, all indebtedness, liabilities, agreements, understandings,
                  instruments, contracts and proposed transactions involving the
                  same person
                  or entity (including persons or entities the Company, Iview, Iview
                  Parent,
                  or any of their respective Subsidiaries has reason to believe are
                  affiliated therewith) shall be aggregated for the purpose of meeting
                  the
                  individual minimum dollar amounts of such
                  subsections.

              

      

       

      
        	 	
                (d)

              	
                Each
                  of the Company, Iview and Iview Parent makes and keep books, records,
                  and
                  accounts, that, in reasonable detail, accurately and fairly reflect
                  the
                  transactions and dispositions of their respective assets. Each
                  of the
                  Company, Iview and Iview Parent maintains internal control over
                  financial
                  reporting (“Financial
                  Reporting Controls”)
                  designed by, or under the supervision of, the Company’s, Iview’s or Iview
                  Parent’s principal executive and principal financial officers, and
                  effected by the Company’s, Iview’s or Iview Parent’s board of directors,
                  management, and other personnel, to provide reasonable assurance
                  regarding
                  the reliability of financial reporting and the preparation of financial
                  statements for external purposes in accordance with Canadian generally
                  accepted accounting principles (“GAAP”),
                  including that:

              

      

       

      
        	 	
                (i)

              	
                transactions
                  are executed in accordance with management’s general or specific
                  authorization;

              

      

       

      
        	 	
                (ii)

              	
                unauthorized
                  acquisition, use, or disposition of the Company’s assets that could have a
                  material effect on the financial statements are prevented or timely
                  detected;

              

      

       

      
        	 	
                (iii)

              	
                transactions
                  are recorded as necessary to permit preparation of financial statements
                  in
                  accordance with GAAP, and that the Company’s, Iview’s and Iview Parent’s
                  receipts and expenditures are being made only in accordance with
                  authorizations of the Company’s, Iview’s and Iview Parent’s management and
                  board of directors;

              

      

       

      
        	 	
                (iv)

              	
                transactions
                  are recorded as necessary to maintain accountability for assets;
                  and

              

      

       

      
        	 	
                (v)

              	
                the
                  recorded accountability for assets is compared with the existing
                  assets at
                  reasonable intervals, and appropriate action is taken with respect
                  to any
                  differences.

              

      

       

      
        	
                4.7

              	
                Obligations
                  to Related Parties.

              

      

       

      Except
        as
        set forth on Schedule 4.7, there are no obligations of the Company, Iview,
        Iview
        Parent, or any of their respective Subsidiaries to officers, directors,
        stockholders or employees of the Company, Iview, Iview Parent, or any of
        their
        respective Subsidiaries other than:

       

      
        
          
          

        

        
          -
            8 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (a)

              	
                for
                  payment of salary for services rendered and for bonus
                  payments;

              

      

       

      
        	 	
                (b)

              	
                reimbursement
                  for reasonable expenses incurred on behalf of the Company, Iview,
                  Iview
                  Parent, and their respective
                  Subsidiaries;

              

      

       

      
        	 	
                (c)

              	
                for
                  other standard employee benefits made generally available to all
                  employees
                  (including stock option agreements outstanding under any stock
                  option plan
                  approved by the Board of Directors of the Company, Iview, Iview
                  Parent,
                  and each of their Subsidiaries, as applicable);
                  and

              

      

       

      
        	 	
                (d)

              	
                obligations
                  listed in the Company’s, Iview’s, Iview Parent’s, and each of their
                  respective Subsidiaries Financial
                  Statements.

              

      

       

      Except
        as
        described above or set forth on Schedule 4.7, to the best of the Company’s,
        Iview’s and Iview Parent’s knowledge, none of the officers, directors, key
        employees or stockholders of the Company, Iview, Iview Parent, or any of
        their
        respective Subsidiaries or any members of their immediate families, are indebted
        to the Company, Iview, Iview Parent, or any of their respective Subsidiaries,
        individually or in the aggregate, in excess of USD$50,000 or have any direct
        or
        indirect ownership interest in any firm or corporation with which the Company,
        Iview, Iview Parent, or any of their respective Subsidiaries is affiliated
        or
        with which the Company, Iview, Iview Parent, or any of their respective
        Subsidiaries has a business relationship, or any firm or corporation which
        competes with the Company, Iview, Iview Parent, or any of their respective
        Subsidiaries, other than passive investments in publicly traded companies
        (representing less than two percent (2%) of such company) which may compete
        with
        the Company, Iview, Iview Parent, or any of their respective Subsidiaries.
        Except as described above, no officer, director or stockholder, or any member
        of
        their immediate families, is, directly or indirectly, interested in any material
        contract with the Company, Iview, Iview Parent, or any of their respective
        Subsidiaries and no agreements, understandings or proposed transactions are
        contemplated between the Company, Iview, Iview Parent, or any of their
        respective Subsidiaries and any such person. Except as set forth on Schedule
        4.7, neither the Company, Iview, Iview Parent, nor any of their respective
        Subsidiaries is a guarantor or indemnitor of any indebtedness of any other
        person, firm or corporation.

       

      
        	
                4.8

              	
                Changes. 

              

      

       

      Since
        the
        Balance Sheet Date, except as disclosed in any Schedule to this Agreement
        or to
        any of the Related Agreements or as relating to any material agreement entered
        into with the Purchaser, there has not been:

       

      
        	 	
                (a)

              	
                any
                  change in the business, assets, liabilities, condition (financial
                  or
                  otherwise), properties, operations or prospects of the Company,
                  Iview,
                  Iview Parent, or any of their respective Subsidiaries, which individually
                  or in the aggregate has had, or could reasonably be expected to
                  have,
                  individually or in the aggregate, a Material Adverse
                  Effect;

              

      

       

      
        
          
          

        

        
          -
            9 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (b)

              	
                any
                  resignation or termination (constructive or otherwise) of any officer,
                  key
                  employee or group of employees of the Company, Iview, Iview Parent,
                  or any
                  of their respective Subsidiaries; 

              

      

       

      
        	 	
                (c)

              	
                any
                  material change, except in the ordinary course of business, in
                  the
                  contingent obligations of the Company, Iview, Iview Parent, or
                  any of
                  their respective Subsidiaries by way of guaranty, endorsement,
                  indemnity,
                  warranty or otherwise;

              

      

       

      
        	 	
                (d)

              	
                any
                  damage, destruction or loss, whether or not covered by insurance,
                  has had,
                  or could reasonably be expected to have, individually or in the
                  aggregate,
                  a Material Adverse Effect;

              

      

       

      
        	 	
                (e)

              	
                any
                  waiver by the Company, Iview, Iview Parent, or any of their respective
                  Subsidiaries of a valuable right or of a material debt owed to
                  it;

              

      

       

      
        	 	
                (f)

              	
                any
                  direct or indirect loans made by the Company, Iview, Iview Parent,
                  or any
                  of their respective Subsidiaries to any stockholder, employee,
                  officer or
                  director of the Company, Iview, Iview Parent, or any of their respective
                  Subsidiaries, other than advances made in the ordinary course of
                  business;

              

      

       

      
        	 	
                (g)

              	
                any
                  material increase in any compensation arrangement or agreement
                  with any
                  key employee, officer, director or stockholder of the Company,
                  Iview,
                  Iview Parent or any of their respective Subsidiaries;
                  

              

      

       

      
        	 	
                (h)

              	
                any
                  declaration or payment of any dividend or other distribution of
                  the assets
                  of the Company, Iview, Iview Parent or any of their respective
                  Subsidiaries;

              

      

       

      
        	 	
                (i)

              	
                any
                  labor organization activity related to the Company, Iview, Iview
                  Parent or
                  any of their respective
                  Subsidiaries;

              

      

       

      
        	 	
                (j)

              	
                any
                  debt, obligation or liability incurred, assumed or guaranteed by
                  the
                  Company, Iview, Iview Parent or any of their respective Subsidiaries
                  in
                  excess of a principal amount of USD$300,000 in the aggregate, except
                  those
                  for immaterial amounts and for current liabilities incurred in
                  the
                  ordinary course of business;

              

      

       

      
        	 	
                (k)

              	
                any
                  sale, assignment or transfer of any material patents, trademarks,
                  copyrights, trade secrets or other intangible assets owned by the
                  Company,
                  Iview, Iview Parent or any of their respective Subsidiaries other
                  than in
                  the ordinary course of business;

              

      

       

      
        	 	
                (l)

              	
                any
                  change in any material agreement to which the Company, Iview, Iview
                  Parent
                  or any of their respective Subsidiaries is a party or by which
                  either the
                  Company, Iview, Iview Parent or any of their respective Subsidiaries
                  is
                  bound which either individually or in the aggregate has had, or
                  could
                  reasonably be expected to have, individually or in the aggregate,
                  a
                  Material Adverse Effect;

              

      

       

      
        
          
          

        

        
          -
            10 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (m)

              	
                any
                  other event or condition of any character that, either individually
                  or in
                  the aggregate, has had, or could reasonably be expected to have,
                  individually or in the aggregate, a Material Adverse Effect;
                  or

              

      

       

      
        	 	
                (n)

              	
                any
                  arrangement or commitment by the Company, Iview, Iview Parent or
                  any of
                  their respective Subsidiaries to do any of the acts described in
                  subsection (a)
                  through (m)
                  above.

              

      

       

      
        	
                4.9

              	
                Title
                  to Properties and Assets; Liens,
                  Etc.

              

      

       

      Except
        as
        set forth on Schedule 4.9, each of the Company, Iview, Iview Parent and each
        of
        their respective Subsidiaries has good and marketable title to its properties
        and assets, and good title to its leasehold estates, in each case subject
        to no
        mortgage, pledge, lien, lease, encumbrance or charge, other than:

       

      
        	 	
                (a)

              	
                those
                  resulting from taxes which have not yet become
                  delinquent;

              

      

       

      
        	 	
                (b)

              	
                minor
                  liens and encumbrances which do not materially detract from the
                  value of
                  the property subject thereto or materially impair the operations
                  of the
                  Company, Iview, Iview Parent or any of their respective Subsidiaries;
                  and

              

      

       

      
        	 	
                (c)

              	
                those
                  that have otherwise arisen in the ordinary course of
                  business.

              

      

       

      All
        facilities, machinery, equipment, fixtures, vehicles and other properties
        owned,
        leased or used by the Company, Iview, Iview Parent and their respective
        Subsidiaries are in operating condition and repair and are reasonably fit
        and
        usable for the purposes for which they are being used. Except as set forth
        on
        Schedule 4.9, the Company, Iview, Iview Parent and their respective Subsidiaries
        are in material compliance with all material terms of each lease to which
        it is
        a party or is otherwise bound.

       

      
        	
                4.10

              	
                Intellectual
                  Property.

              

      

       

      
        	 	
                (a)

              	
                Each
                  of the Company, Iview, Iview Parent and each of their respective
                  Subsidiaries owns or possesses sufficient legal rights to all patents,
                  trademarks, service marks, trade names, copyrights, trade secrets,
                  licenses, information and other proprietary rights and processes
                  necessary
                  for its business as now conducted and to the Company’s, Iview’s and Iview
                  Parent’s knowledge, as presently proposed to be conducted (the
                  “Intellectual
                  Property”),
                  without any known infringement of the rights of others. Except
                  as set
                  forth on Schedule 4.10(a), there are no outstanding options, licenses
                  or agreements of any kind relating to the foregoing proprietary
                  rights,
                  nor is the Company, Iview, Iview Parent or any of their respective
                  Subsidiaries bound by or a party to any options, licenses or agreements
                  of
                  any kind with respect to the patents, trademarks, service marks,
                  trade
                  names, copyrights, trade secrets, licenses, information and other
                  proprietary rights and processes of any other person or entity
                  other than
                  such licenses or agreements arising from the purchase of “off the shelf”
                  or standard products.

              

      

       

      
        
          
          

        

        
          -
            11 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (b)

              	
                Neither
                  the Company, Iview, Iview Parent nor any of their respective Subsidiaries
                  has received any communications alleging that any of the Company,
                  Iview,
                  Iview Parent or any of their respective Subsidiaries has violated
                  any of
                  the patents, trademarks, service marks, trade names, copyrights
                  or trade
                  secrets or other proprietary rights of any other person or entity,
                  nor is
                  the Company, Iview, Iview Parent or any of their respective Subsidiaries
                  aware of any basis favourable.

              

      

       

      
        	 	
                (c)

              	
                Neither
                  the Company, Iview nor Iview Parent believes it is or will be necessary
                  to
                  utilize any inventions, trade secrets or proprietary information
                  of any of
                  its employees made prior to their employment by the Company, Iview,
                  Iview
                  Parent or any of their respective Subsidiaries, except for inventions,
                  trade secrets or proprietary information that have been rightfully
                  assigned to the Company, Iview, Iview Parent or any of their respective
                  Subsidiaries.

              

      

       

      
        	
                4.11

              	
                Compliance
                  with Other Instruments.

              

      

       

      Neither
        the Company, Iview, Iview Parent nor any of their respective Subsidiaries
        is in
        violation or default of (x) any term of its Charter or Bylaws, or (y) of
        any
        provision of any indebtedness, mortgage, indenture, contract, agreement or
        instrument to which it is party or by which it is bound or of any judgment,
        decree, order or writ, which violation or default, in the case of this clause
        (y), has had, or could reasonably be expected to have, either individually
        or in
        the aggregate, a Material Adverse Effect. The execution, delivery and
        performance of and compliance with this Agreement and the Related Agreements
        to
        which it is a party, and the issuance and sale of the Company Note by the
        Company, the Iview Note by Iview and the other Securities by the Company
        and
        Iview Parent each pursuant hereto and thereto, will not, with or without
        the
        passage of time or giving of notice, result in any such violation, or be
        in
        conflict with or constitute a default under any such term or provision, or
        result in the creation of any mortgage, pledge, lien, encumbrance or charge
        upon
        any of the properties or assets of the Company, Iview, Iview Parent or any
        of
        their respective Subsidiaries or the suspension, revocation, impairment,
        forfeiture or non-renewal of any permit, license, authorization or approval
        applicable to the Company, Iview, or Iview Parent, its business or operations
        or
        any of its assets or properties that could reasonably be expected to have,
        either individually or in the aggregate, a Material Adverse Effect.

       

      
        	
                4.12

              	
                Litigation.

              

      

       

      Except
        as
        set forth on Schedule 4.12 hereto, there is no action, suit, proceeding or
        investigation pending or, to the Company’s, Iview’s or Iview Parent’s knowledge,
        currently threatened against the Company, Iview or Iview Parent or any of
        their
        respective Subsidiaries that prevents the Company, Iview or Iview Parent
        or any
        of their respective Subsidiaries from entering into this Agreement or the
        other
        Related Agreements, or from consummating the transactions contemplated hereby
        or
        thereby, or which has had, or could reasonably be expected to have, either
        individually or in the aggregate, a Material Adverse Effect or any change
        in the
        current equity ownership of the Company, Iview or Iview Parent or any of
        their
        respective Subsidiaries, nor is the Company, Iview or Iview Parent aware
        that
        there is any basis to assert any of the foregoing. Neither the Company, Iview,
        Iview Parent nor any of their respective Subsidiaries is a party or subject
        to
        the provisions of any order, writ, injunction, judgment or decree of any
        court
        or government agency or instrumentality. There is no action, suit, proceeding
        or
        investigation by the Company, Iview or Iview Parent or any of their respective
        Subsidiaries currently pending or which the Company, Iview or Iview Parent
        or
        any of their respective Subsidiaries intends to initiate.

       

      
        
          
          

        

        
          -
            12 -

          
            

          

        

        
          
          

        

      

       

      
        	
                4.13

              	
                Tax
                  Returns and Payments.

              

      

       

      Except
        as
        set forth on Schedule 4.13, each of the Company, Iview, Iview Parent and
        each of
        their respective Subsidiaries has timely filed or received an extension to
        file
        all tax returns (federal, state and local) required to be filed by it. Except
        as
        set forth on Schedule 4.13, all taxes shown to be due and payable on such
        returns, any assessments imposed, and all other taxes due and payable by
        the
        Company, Iview, Iview Parent or any of their respective Subsidiaries on or
        before the Closing, have been paid or will be paid prior to the time they
        become
        delinquent unless the Company, Iview, Iview Parent or such Subsidiary is
        contesting such taxes in good faith and has allocated sufficient reserves.
        Except as set forth on Schedule 4.13, neither the Company, Iview, Iview Parent
        nor any of their respective Subsidiaries has been advised:

       

      
        	 	
                (a)

              	
                that
                  any of its returns, federal, state, provincial or other, have been
                  or are
                  being audited as of the date hereof;
                  or

              

      

       

      
        	 	
                (b)

              	
                of
                  any deficiency in assessment or proposed judgment to its federal,
                  state,
                  provincial or other taxes.

              

      

       

      The
        Company, Iview and Iview Parent has no knowledge of any liability of any
        tax to
        be imposed upon its properties or assets as of the date of this Agreement
        for
        which a sufficient and appropriate reserve has not been made (if determined
        reasonable and necessary by management of the Company, Iview and/or Iview
        Parent
        in the exercise of its reasonable business judgment).

       

      
        	
                4.14

              	
                Employees. 

              

      

       

      
        
          
          

        

        
          -
            13 -

          
            

          

        

        
          
          

        

         

      

      Except
        as
        set forth on Schedule 4.14, neither the Company, Iview, Iview Parent nor
        any of
        their respective Subsidiaries has any collective bargaining agreements with
        any
        of its employees. There is no labor union organizing activity pending or,
        to the
        Company’s, Iview’s or Iview Parent’s knowledge, threatened with respect to the
        Company, Iview, Iview Parent or any of their respective Subsidiaries. Except
        as
        disclosed on Schedule 4.14, neither the Company, Iview, Iview Parent nor
        any of
        their respective Subsidiaries is a party to or bound by any currently effective
        employment contract, deferred compensation arrangement, bonus plan, incentive
        plan, profit sharing plan, retirement agreement or other employee compensation
        plan or agreement. To the Company’s, Iview’s and Iview Parent’s knowledge, no
        employee of the Company, Iview or Iview Parent or any of their respective
        Subsidiaries, nor any consultant with whom the Company, Iview, Iview Parent
        or
        any of their respective Subsidiaries has contracted, is in violation of any
        term
        of any employment contract, proprietary information agreement or any other
        agreement relating to the right of any such individual to be employed by,
        or to
        contract with, the Company, Iview, Iview Parent or any of their respective
        Subsidiaries because of the nature of the business to be conducted by the
        Company, Iview, Iview Parent or any of their respective Subsidiaries; and
        to the
        Company’s, Iview’s and Iview Parent’s knowledge, the continued employment by the
        Company, Iview, Iview Parent or any of their respective Subsidiaries of its
        present employees, and the performance of the Company’s, Iview’s, Iview Parent’s
        and their respective Subsidiaries’ contracts with its independent contractors,
        will not result in any such violation. Neither the Company, Iview, Iview
        Parent
        nor any of their respective Subsidiaries is aware that any of its employees
        is
        obligated under any contract (including licenses, covenants or commitments
        of
        any nature) or other agreement, or subject to any judgment, decree or order
        of
        any court or administrative agency, that would interfere with their duties
        to
        the Company, Iview, Iview Parent or any of their respective Subsidiaries.
        Neither the Company, Iview, Iview Parent nor any of their respective
        Subsidiaries has received any notice alleging that any such violation has
        occurred. Except for employees who have a current effective employment agreement
        with the Company, Iview, Iview Parent or any of their respective Subsidiaries,
        no employee of the Company, Iview Parent or any of their respective Subsidiaries
        has been granted the right to continued employment by the Company, Iview,
        Iview
        Parent or any of their respective Subsidiaries or to any material compensation
        following termination of employment with the Company, Iview, Iview Parent
        or any
        of their respective Subsidiaries (other than as required law). Except as
        set
        forth on Schedule 4.14, neither the Company, Iview or Iview Parent is aware
        that
        any officer, key employee or group of employees intends to terminate his,
        her or
        their employment with the Company, Iview, Iview Parent or any of their
        respective Subsidiaries, nor does the Company, Iview, Iview Parent or any
        of
        their respective Subsidiaries have a present intention to terminate the
        employment of any officer, key employee or group of employees.

       

      
        	
                4.15

              	
                Registration
                  Rights and Voting Rights.

              

      

       

      Except
        (i) in connection with this Agreement, the Related Agreements and any agreement
        entered into between the Company, its Subsidiaries and the Purchaser, and
        (ii)
        as set forth on Schedule 4.15, neither the Company, Iview, Iview Parent nor
        any
        of their respective Subsidiaries is presently under any obligation, and neither
        the Company, Iview, Iview Parent nor any of their respective Subsidiaries
        has
        granted any rights to register any of the Company’s, Iview’s, Iview Parent’s or
        their respective Subsidiaries’ presently outstanding securities or any of its
        securities that may hereafter be issued. Except as set forth on Schedule
        4.15 to
        the Company’s, Iview’s and Iview Parent’s knowledge, no stockholder of the
        Company, Iview, Iview Parent or any of their respective Subsidiaries has
        entered
        into any agreement with respect to the voting of equity securities of the
        Company, Iview, Iview Parent or any of their respective
        Subsidiaries.

       

      
        	
                4.16

              	
                Compliance
                  with Laws; Permits.

              

      

       

      Neither
        the Company, Iview, Iview Parent nor any of their respective Subsidiaries
        is in
        violation of any applicable statute, rule, regulation, order or restriction
        of
        any domestic or foreign government or any instrumentality or agency thereof
        in
        respect of the conduct of its business or the ownership of its properties
        which
        has had, or could reasonably be expected to have, either individually or
        in the
        aggregate, a Material Adverse Effect. No governmental orders, permissions,
        consents, approvals or authorizations are required to be obtained and no
        registrations or declarations are required to be filed in connection with
        the
        execution and delivery of this Agreement or any other Related Agreement and
        the
        issuance of any of the Securities, except such as has been duly and validly
        obtained or filed, or with respect to any filings that must be made after
        the
        Closing, as will be filed in a timely manner. Each of the Company, Iview,
        Iview
        Parent and their respective Subsidiaries has all material franchises, permits,
        licenses and any similar authority necessary for the conduct of its business
        as
        now being conducted by it, the lack of which could, either individually or
        in
        the aggregate, reasonably be expected to have a Material Adverse
        Effect.

       

      
        
          
          

        

        
          -
            14 -

          
            

          

        

        
          
          

        

      

       

      
        	
                4.17

              	
                Environmental
                  and Safety Laws.

              

      

       

      Neither
        the Company, Iview, Iview Parent nor any of their respective Subsidiaries
        is in
        violation of any applicable statute, law or regulation relating to the
        environment or occupational health and safety, and to its knowledge, no material
        expenditures are or will be required in order to comply with any such existing
        statute, law or regulation. Except as set forth on Schedule 4.17, no Hazardous
        Materials (as defined below) are used or have been used, stored, or disposed
        of
        by the Company, Iview, Iview Parent or any of their respective Subsidiaries
        or,
        to the Company’s, Iview’s or Iview Parent’s knowledge, by any other person or
        entity on any property owned, leased or used by the Company, Iview, Iview
        Parent
        or any of their respective Subsidiaries. For the purposes of the preceding
        sentence, “Hazardous
        Materials”
shall
        mean:

       

      
        	 	
                (a)

              	
                materials
                  which are listed or otherwise defined as “hazardous”
                  or “toxic”
                  under any applicable local, state, provincial, federal and/or foreign
                  laws
                  and regulations that govern the existence and/or remedy of contamination
                  on property, the protection of the environment from contamination,
                  the
                  control of hazardous wastes, or other activities involving hazardous
                  substances, including building materials;
                  or

              

      

       

      
        	 	
                (b)

              	
                any
                  petroleum products or nuclear
                  materials.

              

      

       

      
        	
                4.18

              	
                Valid
                  Offering.

              

      

       

      Assuming
        the accuracy of the representations and warranties of the Purchaser contained
        in
        this Agreement, the offer, sale and issuance of the Securities will be exempt
        from the prospectus and registration requirements of the Securities
        Act
        (Ontario) (the “Securities
        Act”)
        and
        from the registration requirements of the Securities
        Act of 1933,
        as
        amended (the “US
        Securities Act”),
        and
        will have been registered or qualified (or are exempt from registration and
        qualification) under the registration, permit or qualification requirements
        of
        all applicable state and provincial securities laws.

       

      
        	
                4.19

              	
                Full
                  Disclosure.

              

      

       

      Each
        of
        the Company, Iview, Iview Parent and each of their respective Subsidiaries
        has
        provided the Purchaser with all information requested by the Purchaser in
        connection with its decision to purchase the Company Note, the Iview Note
        and
        the Company Warrant, including all information the Company, Iview, Iview
        Parent
        and their respective Subsidiaries believe is reasonably necessary to make
        such
        investment decision. Neither this Agreement, the Related Agreements, the
        exhibits and schedules hereto and thereto nor any other document delivered
        by
        the Company, Iview, Iview Parent or any of their respective Subsidiaries
        to the
        Purchaser or its attorneys or agents in connection herewith or therewith
        or with
        the transactions contemplated hereby or thereby, contain any untrue statement
        of
        a material fact nor omit to state a material fact necessary in order to make
        the
        statements contained herein or therein, in light of the circumstances in
        which
        they are made, not misleading. Any financial projections and other estimates
        provided to the Purchaser by the Company or any of its Subsidiaries were
        based
        on the Company’s, Iview’s, Iview Parent’s and their respective Subsidiaries’
experience in the industry and on assumptions of fact and opinion as to future
        events which the Company, Iview, Iview Parent or any of their respective
        Subsidiaries, at the date of the issuance of such projections or estimates,
        believed to be reasonable.

       

      
        
          
          

        

        
          -
            15 -

          
            

          

        

        
          
          

        

      

       

      
        	
                4.20

              	
                Insurance. 

              

      

       

      Each
        of
        the Company, Iview, Iview Parent and each of their respective Subsidiaries
        has
        general commercial, product liability, fire and casualty insurance policies
        with
        coverages which the Company believes are customary for companies similarly
        situated to each of the Company, Iview, Iview Parent and their respective
        Subsidiaries in the same or similar business.

       

      
        	
                4.21

              	
                Financial
                  Statements.

              

      

       

      The
        Company has furnished the Purchaser (or filed with the SEC) with copies of:
        the
        Company’s consolidated audited balance sheet, statement of retained earnings,
        statement of operations and statement of cash flows for the fiscal years
        ended
        2004, 2003 and 2002 (collectively, the “Financial Statements”). Such Financial
        Statements have been prepared in accordance with generally accepted accounting
        principles as in effect in the United States, in each case, applied on a
        consistent basis during the periods involved (except (i) as may be otherwise
        indicated in such financial statements or the notes thereto or (ii) in the
        case
        of unaudited interim statements, to the extent they may not include footnotes
        or
        may be condensed) and fairly present in all material respects the financial
        condition, the results of operations, the retained earnings and the cash
        flows
        of the Company and Iview and its subsidiaries, as of, and for, the periods
        presented in, each such Financial Statement.

       

      
        	
                4.22

              	
                Dilution. 

              

      

       

      The
        Company specifically acknowledges that its obligation to issue the shares
        of
        Company Common Stock upon exercise of the Company Warrant is binding upon
        the
        Company and enforceable regardless of the dilution such issuance may have
        on the
        ownership interests of other shareholders of the Company. Iview Parent
        specifically acknowledges that its obligation to issue the shares of Iview
        Parent’s Common Stock upon exercise of the Iview Option is binding upon Iview
        Parent and enforceable regardless of the dilution such issuance may have
        on the
        ownership interests of other shareholders of Iview Parent.

       

      
        	
                4.23

              	
                Patriot
                  Act.

              

      

       

      
        
          
          

        

        
          -
            16 -

          
            

          

        

        
          
          

        

         

      

      The
        Company certifies that, to the best of Company’s, Iview’s and Iview Parent’s
        knowledge, neither the Company, Iview, Iview Parent nor any of their respective
        Subsidiaries has been designated, and is not owned or controlled, by a
“suspected
        terrorist”
as
        defined in Executive Order 13224. The Company hereby acknowledges that the
        Purchaser seeks to comply with all applicable laws concerning money laundering
        and related activities. In furtherance of those efforts, the Company hereby
        represents, warrants and agrees that: (i) none of the cash or property that
        the
        Company, Iview, Iview Parent or any of their respective Subsidiaries will
        pay or
        will contribute to the Purchaser has been or shall be derived from, or related
        to, any activity that is deemed criminal under United States law; and (ii)
        no
        contribution or payment by the Company, Iview, Iview Parent or any of their
        respective Subsidiaries to the Purchaser, to the extent that they are within
        the
        Company’s, Iview Parent’s and/or their respective Subsidiaries’ control shall
        cause the Purchaser to be in violation of the United States Bank
        Secrecy Act,
        the
        United States International
        Money Laundering Control Act of 1986
        or the
        United States International
        Money Laundering Abatement and Anti-Terrorist Financing Act of
        2001.
        The
        Company shall promptly notify the Purchaser if any of these representations
        ceases to be true and accurate regarding the Company, Iview, Iview Parent
        or any
        of their respective Subsidiaries. The Company agrees to provide the Purchaser
        any additional information regarding the Company, Iview, Iview Parent or
        any of
        their respective Subsidiaries that the Purchaser deems necessary or convenient
        to ensure compliance with all applicable laws concerning money laundering
        and
        similar activities. The Company understands and agrees that if at any time
        it is
        discovered that any of the foregoing representations are incorrect, or if
        otherwise required by applicable law or regulation related to money laundering
        similar activities, the Purchaser may undertake appropriate actions to ensure
        compliance with applicable law or regulation, including but not limited to
        segregation and/or redemption of the Purchaser’s investment in the Company. The
        Company further understands that the Purchaser may release confidential
        information about the Company, Iview, Iview Parent and their respective
        Subsidiaries and, if applicable, any underlying beneficial owners, to proper
        authorities if the Purchaser, in its sole discretion, determines that it
        is in
        the best interests of the Purchaser in light of relevant rules and regulations
        under the laws set forth in subsection (ii) above.

       

      
        	
                4.24

              	
                ERISA. 

              

      

       

      Based
        upon the Employee
        Retirement Income Security Act of 1974
        (“ERISA”),
        and
        the regulations and published interpretations thereunder: (i) neither the
        Company nor any of its Subsidiaries has engaged in any Prohibited Transactions
        (as defined in Section 406 of ERISA and Section 4975 of the Internal
        Revenue Code of 1986,
        as
        amended (the “Code”));
        (ii)
        each of the Company, Iview, Iview Parent and each of their respective
        Subsidiaries has met all applicable minimum funding requirements under Section
        302 of ERISA in respect of its plans; (iii) neither the Company, Iview, Iview
        Parent nor any of their respective Subsidiaries has any knowledge of any
        event
        or occurrence which would cause the Pension Benefit Guaranty Corporation
        to
        institute proceedings under Title IV of ERISA to terminate any employee benefit
        plan(s); (iv) neither the Company, Iview, Iview Parent nor any of their
        respective Subsidiaries has any fiduciary responsibility for investments
        with
        respect to any plan existing for the benefit of persons other than the
        Company’s, Iview’s, Iview Parent’s or such Subsidiary’s employees; and (v)
        neither the Company, Iview, Iview Parent nor any of their respective
        Subsidiaries has withdrawn, completely or partially, from any multi-employer
        pension plan so as to incur liability under the Multiemployer
        Pension Plan Amendments Act of 1980;
        which
        liability is unpaid as of the date hereof.

       

      
        
          
          

        

        
          -
            17 -

          
            

          

        

        
          
          

        

      

       

      
        	
                4.25

              	
                Bank
                  Accounts.

              

      

       

      Schedule 4.25
        sets out
        each bank account maintained by the Company, Iview, Iview Parent and their
        respective Subsidiaries which, in the ordinary course of business from time
        to
        time, may have in excess of Cdn.$50,000 on deposit.

       

      
        	
                5.

              	
                Representations
                  and Warranties of the
                  Purchaser.

              

      

       

      The
        Purchaser hereby represents and warrants to the Company as follows (such
        representations and warranties do not lessen or obviate the representations
        and
        warranties of the Company set forth in this Agreement):

       

      
        	
                5.1

              	
                No
                  Shorting. 

              

      

       

      The
        Purchaser or any of its affiliates and investment partners has not, will
        not and
        will not cause any person or entity to directly engage in “short
        sales”
of
        the
        Company’s Common Stock as long as the Company Note and the Iview Note shall be
        outstanding.

       

      
        	
                5.2

              	
                Requisite
                  Power and Authority. 

              

      

       

      The
        Purchaser has all necessary power and authority under all applicable provisions
        of law to execute and deliver this Agreement and the Related Agreements and
        to
        carry out their provisions. All corporate action on Purchaser’s part required
        for the lawful execution and delivery of this Agreement and the Related
        Agreements have been or will be effectively taken prior to the Closing. Upon
        their execution and delivery, this Agreement and the Related Agreements will
        be
        valid and binding obligations of Purchaser, enforceable in accordance with
        their
        terms, except:

       

      
        	 	
                (a)

              	
                as
                  limited by applicable bankruptcy, insolvency, reorganization, moratorium
                  or other laws of general application affecting enforcement of creditors’
                  rights; and

              

      

       

      
        	 	
                (b)

              	
                as
                  limited by general principles of equity that restrict the availability
                  of
                  equitable and legal remedies.

              

      

       

      
        	
                5.3

              	
                Investment
                  Representations.

              

      

       

      
        	 	
                (a)

              	
                The
                  Purchaser is resident in the jurisdiction of the Cayman
                  Islands.

              

      

       

      
        	 	
                (b)

              	
                The
                  Purchaser is acquiring the Securities for investment only and not
                  with a
                  view to resale or distribution in violation of any securities
                  laws.

              

      

       

      
        	 	
                (c)

              	
                The
                  Purchaser is not a party to, and is not acting in concert with
                  a person
                  who is party to: (A) an agreement to transfer the Purchaser’s legal or
                  beneficial interest in the Securities; or (B) an agreement to grant
                  a
                  participating interest in the
                  Securities.

              

      

       

      
        	 	
                (d)

              	
                As
                  the Securities purchased hereunder are subject to resale restrictions
                  under the Securities Act, the Purchaser shall comply with all securities
                  laws concerning any resale of the Securities purchased hereunder
                  and shall
                  consult with his, her or its own legal advisors with respect to
                  such
                  compliance.

              

      

       

      
        
          
          

        

        
          -
            18 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (e)

              	
                If
                  required by applicable securities laws, the Purchaser will execute,
                  deliver, file and otherwise assist the Company in filing such reports,
                  undertakings and other documents with respect to the issuance of
                  the
                  Securities as may be required.

              

      

       

      
        	 	
                (f)

              	
                The
                  Purchaser is purchasing the Securities as principal for its own
                  account
                  and not as a nominee or agent.

              

      

       

      
        	 	
                (g)

              	
                The
                  Purchaser is an “accredited investor” as such term is defined in Rule
                  45-106 of the Ontario Securities Commission (“OSC”).

              

      

       

      
        	 	
                (h)

              	
                The
                  Purchaser understands that the Securities are being offered and
                  sold
                  pursuant to an exemption from prospectus and registration requirements
                  contained in the Securities Act based upon the Purchaser’s representations
                  contained in this Agreement, including, without limitation, that
                  the
                  Purchaser is an “accredited investor” as such term is defined in Rule
                  45-106 of the OSC.

              

      

       

      
        	 	
                (i)

              	
                The
                  Purchaser is an “accredited investor” within the meaning of Regulation D
                  under the Securities Act.

              

      

       

      
        	 	
                (j)

              	
                The
                  Purchaser understands that the Securities are being offered and
                  sold
                  pursuant to an exemption from registration contained in the US
                  Securities
                  Act based in part upon Purchaser’s representations contained in the
                  Agreement, including, without limitation, that the Purchaser is
                  an
                  “accredited
                  investor”
                  within the meaning of Regulation D under the U.S. Securities
                  Act.

              

      

       

      
        	 	
                (k)

              	
                The
                  Purchaser confirms that it has received or has had full access
                  to all the
                  information it considers necessary or appropriate to make an informed
                  investment decision with respect to the Company Note, the Iview
                  Note and
                  the Company Warrant to be purchased by it under this Agreement
                  and the
                  Shares acquired by it upon the exercise of the Iview Option and
                  the
                  Company Warrant. The Purchaser further confirms that it has had
                  an
                  opportunity to ask questions and receive answers from the Company
                  regarding the Company’s, Iview’s, Iview Parent’s and their respective
                  Subsidiaries’ business, management and financial affairs and the terms and
                  conditions of the Offering, the Company Note, the Iview Note, the
                  Iview
                  Option and the Company Warrant and the Securities and to obtain
                  additional
                  information (to the extent the Company possessed such information
                  or could
                  acquire it without unreasonable effort or expense) necessary to
                  verify any
                  information furnished to the Purchaser or to which the Purchaser
                  had
                  access.

              

      

       

      
        	
                5.4

              	
                Purchaser
                  Bears Economic Risk. 

              

      

       

      The
        Purchaser has substantial experience in evaluating and investing in private
        placement transactions of securities in companies similar to the Company
        so that
        it is capable of evaluating the merits and risks of its investment in the
        Company and has the capacity to protect its own interests. The Purchaser
        must
        bear the economic risk of this investment until the Securities are sold pursuant
        to: (i) an effective registration statement under the Securities Act or the
        US
        Securities Act; or (ii) an exemption from registration is available with
        respect
        to such sale.

       

      
        
          
          

        

        
          -
            19 -

          
            

          

        

        
          
          

        

      

       

      
        	
                5.5

              	
                Acquisition
                  for Own Account. 

              

      

       

      The
        Purchaser is acquiring the Company Note, the Iview Note, the Iview Option
        and
        the Company Warrant, and the Shares for the Purchaser’s own account for
        investment only, and not as a nominee or agent and not with a view towards
        or
        for resale in connection with their distribution.

       

      
        	
                5.6

              	
                Purchaser
                  Can Protect Its Interest.

              

      

       

      The
        Purchaser represents that by reason of its, or of its management’s, business and
        financial experience, the Purchaser has the capacity to evaluate the merits
        and
        risks of its investment in the Company Note, the Iview Note, the Iview Option
        and the Company Warrant and the Securities and to protect its own interests
        in
        connection with the transactions contemplated in this Agreement and the Related
        Agreements. Further, Purchaser is aware of no publication of any advertisement
        in connection with the transactions contemplated in the Agreement or the
        Related
        Agreements.

       

      
        	
                5.7

              	
                Legends.

              

      

       

      
        	 	
                (a)

              	
                The
                  Company Note shall bear substantially the following legend:
                  

              

      

       

      “THIS
        NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES
        ACT OF 1933,
        AS
        AMENDED, OR ANY APPLICABLE, STATE SECURITIES LAWS. THIS NOTE MAY NOT BE SOLD,
        OFFERED FOR SALE, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF AN EFFECTIVE
        REGISTRATION STATEMENT AS TO THIS NOTE UNDER SAID ACT AND APPLICABLE STATE
        SECURITIES LAWS OR AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO CREATIVE
        VISTAS, INC. THAT SUCH REGISTRATION IS NOT REQUIRED.”

       

      
        	 	
                (b)

              	
                The
                  Iview Note shall bear substantially the following legend:
                  

              

      

       

      “THIS
        NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES
        ACT OF 1933,
        AS
        AMENDED, OR ANY APPLICABLE, STATE SECURITIES LAWS. THIS NOTE MAY NOT BE SOLD,
        OFFERED FOR SALE, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF AN EFFECTIVE
        REGISTRATION STATEMENT AS TO THIS NOTE UNDER SAID ACT AND APPLICABLE STATE
        SECURITIES LAWS OR AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO IVIEW
        DIGITAL VIDEO SOLUTIONS INC. THAT SUCH REGISTRATION IS NOT
        REQUIRED.”

       

      
        
          
          

        

        
          -
            20 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (c)

              	
                The
                  Iview Option Shares shall bear a legend which shall be in substantially
                  the following form until such shares are covered by an effective
                  registration statement filed with the
                  SEC:

              

      

       

      “THE
        SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE
        SECURITIES
        ACT OF 1933,
        AS
        AMENDED, OR ANY APPLICABLE STATE SECURITIES LAWS. THESE SHARES MAY NOT BE
        SOLD,
        OFFERED FOR SALE, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF AN EFFECTIVE
        REGISTRATION STATEMENT UNDER SUCH SECURITIES ACT AND APPLICABLE STATE LAWS
        OR AN
        OPINION OF COUNSEL REASONABLY SATISFACTORY TO IVIEW HOLDING CORP. THAT SUCH
        REGISTRATION IS NOT REQUIRED.”

       

      
        	 	
                (d)

              	
                The
                  Company Warrant Shares shall bear a legend which shall be in substantially
                  the following form until such shares are covered by an effective
                  registration statement filed with the
                  SEC:

              

      

       

      “THE
        SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE
        SECURITIES
        ACT OF 1933,
        AS
        AMENDED, OR ANY APPLICABLE STATE SECURITIES LAWS. THESE SHARES MAY NOT BE
        SOLD,
        OFFERED FOR SALE, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF AN EFFECTIVE
        REGISTRATION STATEMENT UNDER SUCH SECURITIES ACT AND APPLICABLE STATE LAWS
        OR AN
        OPINION OF COUNSEL REASONABLY SATISFACTORY TO CREATIVE VISTAS, INC. THAT
        SUCH
        REGISTRATION IS NOT REQUIRED”

       

       

      
        	
                6.

              	
                Covenants
                  of the Company.

              

      

       

      Each
        of
        the Company, Iview and Iview Parent covenants and agrees with the Purchaser
        as
        follows:

       

      
        	
                6.1

              	
                Stop-Orders. 

              

      

       

      The
        Company will advise the Purchaser, promptly after it receives notice of issuance
        by the SEC or any other regulatory authority of any stop order or of any
        order
        preventing or suspending any offering of any securities of the Company, or
        of
        the suspension of the qualification of the Common Stock of the Company for
        offering or sale in any jurisdiction, or the initiation of any proceeding
        for
        any such purpose.

       

      
        
          
          

        

        
          -
            21 -

          
            

          

        

        
          
          

        

      

       

      
        	
                6.2

              	
                Use
                  of Funds.

              

      

       

      The
        Company agrees that it will use the proceeds of the sale of the Company Note
        and
        the Company Warrant to repay certain indebtedness of the Company to the
        Purchaser and for general working capital purposes. Iview agrees that it
        will
        use the proceeds of the Iview Note for general working capital purposes.
        Iview
        Parent agrees that it will use the proceeds of the sale of the Option for
        working capital purposes.

       

      
        	
                6.3

              	
                Reporting
                  Requirements.

              

      

       

      The
        Company will deliver, or cause to be delivered, to the Purchaser each of
        the
        following, which shall be in form and detail acceptable to the
        Purchaser:

       

      
        	 	
                (a)

              	
                As
                  soon as available, and in any event within ninety (90) days after
                  the end
                  of each fiscal year of the Company, unless the Company files Form
                  12b-25,
                  Notification of Late Filing with the SEC, in which case within
                  100 days
                  after the end of such fiscal year of the Company, each of the Company’s
                  and each of its Subsidiaries’ audited financial statements with a report
                  of independent certified public accountants of recognized standing
                  selected by the Company and acceptable to the Purchaser (the “Accountants”),
                  which annual financial statements shall be without qualification
                  and shall
                  include each of the Company’s and each of its Subsidiaries’ balance sheet
                  as at the end of such fiscal year and the related statements of
                  each of
                  the Company’s and each of its Subsidiaries’ income, retained earnings and
                  cash flows for the fiscal year then ended, prepared on a consolidating
                  and
                  consolidated basis to include the Company, each Subsidiary of the
                  Company
                  and each of their respective affiliates, all in reasonable detail
                  and
                  prepared in accordance with GAAP, together with (i) if and when
                  available,
                  copies of any management letters prepared by the Accountants; and
                  (ii) a
                  certificate of the Company’s President, Chief Executive Officer or Chief
                  Financial Officer stating that such financial statements have been
                  prepared in accordance with GAAP and whether or not such officer
                  has
                  knowledge of the occurrence of any Event of Default (as defined
                  in the
                  Company Note) and, if so, stating in reasonable detail the facts
                  with
                  respect thereto;

              

      

       

      
        	 	
                (b)

              	
                As
                  soon as available and in any event within forty five (45) days
                  after the
                  end of each fiscal quarter of the Company, unless the Company files
                  Form
                  12b-25, Notification of Late Filing with the SEC, in which case
                  within 55
                  days after the end of such fiscal quarter of the Company, an
                  unaudited/internal balance sheet and statements of income, retained
                  earnings and cash flows of the Company and each of its Subsidiaries
                  as at
                  the end of and for such quarter and for the year to date period
                  then
                  ended, prepared on a consolidating and consolidated basis to include
                  all
                  the Company, each Subsidiary of the Company and each of their respective
                  affiliates, in reasonable detail and stating in comparative form
                  the
                  figures for the corresponding date and periods in the previous
                  year, all
                  prepared in accordance with GAAP, subject to year-end adjustments
                  and
                  accompanied by a certificate of the Company’s President, Chief Executive
                  Officer or Chief Financial Officer, stating (i) that such financial
                  statements have been prepared in accordance with GAAP, subject
                  to year-end
                  audit adjustments, and (ii) whether or not such officer has knowledge
                  of
                  the occurrence of any Event of Default (as defined in the Company
                  Note)
                  not theretofore reported and remedied and, if so, stating in reasonable
                  detail the facts with respect thereto;

              

      

       

      
        
          
          

        

        
          -
            22 -

          
            

          

        

        
          
          

        

      

       

      
        	
                6.4

              	
                Access
                  to Facilities. 

              

      

       

      To
        the
        extent permitted by applicable securities laws and regulations, each of the
        Company, Iview, Iview Parent and each of their respective Subsidiaries will
        permit any representatives designated by the Purchaser (or any successor
        of the
        Purchaser), upon reasonable advance notice and during normal business hours,
        at
        such person’s expense and accompanied by a representative of the Company,
        to:

       

      
        	 	
                (a)

              	
                visit
                  and inspect any of the properties of the Company, Iview, Iview
                  Parent or
                  any of their respective
                  Subsidiaries;

              

      

       

      
        	 	
                (b)

              	
                examine
                  the corporate and financial records of the Company, Iview, Iview
                  Parent or
                  any of their respective Subsidiaries (unless such examination is
                  not
                  permitted by federal, state, provincial or local law or by contract)
                  and
                  make copies thereof or extracts therefrom;
                  and

              

      

       

      
        	 	
                (c)

              	
                discuss
                  the affairs, finances and accounts of the Company, Iview, Iview
                  Parent or
                  any of their respective Subsidiaries with the directors, officers
                  and
                  independent accountants of the Company, Iview, Iview Parent or
                  any of
                  their respective Subsidiaries.

              

      

       

      Notwithstanding
        the foregoing, neither the Company, Iview, Iview Parent nor any of their
        respective Subsidiaries will provide any material, non-public information
        to the
        Purchaser unless the Purchaser signs a confidentiality agreement and otherwise
        complies with Regulation FD, under the federal securities laws.

       

      
        	
                6.5

              	
                Taxes.

              

      

       

      Each
        of
        the Company, Iview, Iview Parent and each of their respective Subsidiaries
        will
        promptly pay and discharge, or cause to be paid and discharged, when due
        and
        payable, all lawful taxes, assessments and governmental charges or levies
        imposed upon the income, profits, property or business of the Company, Iview,
        Iview Parent and their respective Subsidiaries; provided, however, that any
        such
        tax, assessment, charge or levy need not be paid if the validity thereof
        shall
        currently be contested in good faith by appropriate proceedings and if the
        Company, Iview, Iview Parent and/or such Subsidiary shall have set aside
        on its
        books adequate reserves with respect thereto, and provided, further, that
        the
        Company, Iview, Iview Parent and their respective Subsidiaries will pay all
        such
        taxes, assessments, charges or levies forthwith upon the commencement of
        proceedings to foreclose any lien which may have attached as security
        therefor.

       

      If
        Company, Iview, Iview Parent or any of their respective Subsidiaries shall
        be
        required by law to deduct or withhold in respect of any and all present or
        future taxes, levies, imposts, deductions and other governmental charges
        or
        withholdings, and all interest, penalties and other liabilities with respect
        thereto, imposed by any jurisdiction (or any political subdivision thereof)
        (“Taxes”)
        other
        than, with respect to the Purchaser, any Taxes (including income, branch
        profits
        or franchise taxes) imposed on or measured by its net income (“Indemnified
        Taxes”)
        from
        or in respect of any sum payable hereunder to the Purchaser, then:

       

      
        
          
          

        

        
          -
            23 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (a)

              	
                the
                  sum payable shall be increased by such additional amount (the
                  “Additional
                  Amount”)
                  as necessary so that after making all required deductions and withholdings
                  (including deductions and withholdings applicable to such Additional
                  Amount) the Purchaser receives an amount equal to the sum it would
                  have
                  received had no such deductions or withholdings been
                  made;

              

      

       

      
        	 	
                (b)

              	
                the
                  Company, Iview, Iview Parent or such Subsidiary shall make the
                  appropriate
                  deductions or withholdings and shall pay the full amount deducted
                  or
                  withheld to the relevant taxing authority or other authority in
                  accordance
                  with applicable law;

              

      

       

      
        	 	
                (c)

              	
                within
                  thirty (30) days after the date of such payment, upon the Purchaser’s
                  request, the Company, Iview, Iview Parent or such Subsidiary shall
                  furnish
                  to the Purchaser the original or a certified copy of a receipt
                  evidencing
                  payment thereof, or other evidence of payment reasonably satisfactory
                  to
                  the Purchaser; 

              

      

       

      
        	 	
                (d)

              	
                if
                  the Company, Iview, Iview Parent or such Subsidiary fails to pay
                  amounts
                  in accordance with paragraph (b)
                  above, the Company, Iview, Iview Parent or such Subsidiary shall
                  indemnify
                  the Purchaser for any incremental Indemnified Taxes that is paid
                  by the
                  Purchaser as a result of the failure; 

              

      

       

      
        	 	
                (e)

              	
                the
                  Company and/or Iview will indemnify the Purchaser for the full
                  amount of
                  any Taxes imposed by any jurisdiction and paid by the Purchaser
                  with
                  respect to any Additional Amount payable pursuant to
                  paragraph (a)
                  above and any liability (including penalties, interest and expenses)
                  arising therefrom or with respect thereto, whether or not such
                  Taxes are
                  correctly asserted; and

              

      

       

      
        	 	
                (f)

              	
                the
                  indemnification contemplated in paragraphs (d)
                  and (e)
                  above shall be made within 30 days from the date the Purchaser
                  makes
                  written demand favourable (which demand shall identify the nature
                  and
                  amount of Taxes for which indemnification is being sought and shall
                  include a copy of the relevant portion of any written assessment
                  from the
                  governmental authority demanding payment of such
                  Taxes).

              

      

       

      
        	
                6.6

              	
                Insurance. 

              

      

       

      
        
          
          

        

        
          -
            24 -

          
            

          

        

        
          
          

        

         

      

      Each
        of
        the Company, Iview, Iview Parent and their respective Subsidiaries will keep
        its
        assets which are of an insurable character insured by financially sound and
        reputable insurers against loss or damage by fire, explosion and other risks
        customarily insured against by companies in similar business similarly situated
        as the Company, Iview, Iview Parent and their respective Subsidiaries; and
        the
        Company, Iview, Iview Parent and their respective Subsidiaries will maintain,
        with financially sound and reputable insurers, insurance against other hazards
        and risks and liability to persons and property to the extent and in the
        manner
        which the Company reasonably believes is customary for companies in similar
        business similarly situated as the Company, Iview, Iview Parent and their
        respective Subsidiaries and to the extent available on commercially reasonable
        terms. The Company, Iview, Iview Parent and each of their respective
        Subsidiaries will jointly and severally bear the full risk of loss from any
        loss
        of any nature whatsoever with respect to the assets pledged to the Purchaser
        as
        security for its obligations hereunder and under the Related Agreements.
        At the
        Company’s, Iview’s, Iview Parent’s and each of their respective Subsidiaries’
joint and several cost and expense in amounts and with carriers reasonably
        acceptable to Purchaser, the Company, Iview, Iview Parent and each of their
        respective Subsidiaries shall (i) keep all its insurable properties and
        properties in which it has an interest insured against the hazards of fire,
        flood, sprinkler leakage, those hazards covered by extended coverage insurance
        and such other hazards, and for such amounts, as is customary in the case
        of
        companies engaged in businesses similar to the Company’s, Iview’s, Iview Parent
        or their respective Subsidiary’s including business interruption insurance; (ii)
        maintain a bond in such amounts as is customary in the case of companies
        engaged
        in businesses similar to the Company’s, Iview’s, Iview Parent’s or their
        respective Subsidiary’s insuring against larceny, embezzlement or other criminal
        misappropriation of insured’s officers and employees who may either singly or
        jointly with others at any time have access to the assets or funds of the
        Company, Iview, Iview Parent or any of their respective Subsidiaries either
        directly or through governmental authority to draw upon such funds or to
        direct
        generally the disposition of such assets; (iii) maintain public and product
        liability insurance against claims for personal injury, death or property
        damage
        suffered by others; (iv) maintain all such worker’s compensation or similar
        insurance as may be required under the laws of any state or jurisdiction
        in
        which the Company, Iview, Iview Parent or their respective Subsidiary is
        engaged
        in business; and (v) furnish Purchaser with (x) copies of all policies and
        evidence of the maintenance of such policies at least thirty (30) days before
        any expiration date, (y) excepting the Company’s workers’ compensation policy,
        endorsements to such policies naming Purchaser as “co-insured”
or
        “additional
        insured”
and
        appropriate loss payable endorsements in form and substance satisfactory
        to
        Purchaser, naming Purchaser as loss payee, and (z) evidence that as to Purchaser
        the insurance coverage shall not be impaired or invalidated by any act or
        neglect of the Company, Iview, Iview Parent or any Subsidiary and the insurer
        will provide Purchaser with at least thirty (30) days notice prior to
        cancellation. So long as the Company Note and the Iview Note remains
        outstanding, the Company, Iview, Iview Parent and each of their respective
        Subsidiaries shall instruct the insurance carriers that in the event of any
        loss
        thereunder, the carriers shall make payment for such loss to the Company,
        Iview,
        Iview Parent and/or their respective Subsidiaries and Purchaser jointly.
        In the
        event that as of the date of receipt of each loss recovery upon any such
        insurance, the Purchaser has not declared an event of default with respect
        to
        this Agreement or any of the Related Agreements, then the Company, Iview,
        Iview
        Parent and/or such Subsidiary shall be permitted to direct the application
        of
        such loss recovery proceeds toward investment in property, plant and equipment
        that would comprise “Collateral”
secured
        by Purchaser’s security interest pursuant to its security agreement, with any
        surplus funds to be applied toward payment of the obligations of the Company
        and
        Iview to Purchaser. In the event that Purchaser has properly declared an
        event
        of default with respect to this Agreement or any of the Related Agreements,
        then
        all loss recoveries received by Purchaser upon any such insurance thereafter
        may
        be applied to the obligations of the Company and Iview hereunder and under
        the
        Related Agreements, in such order as the Purchaser may determine. Any surplus
        (following satisfaction of all Company and Iview obligations to Purchaser)
        shall
        be paid by Purchaser to the Company or Iview or applied as may be otherwise
        required by law. Any deficiency thereon shall be paid by the Company, Iview,
        Iview Parent or their respective Subsidiaries, as applicable, to Purchaser,
        on
        demand. Notwithstanding anything herein or in any Related Agreement to the
        contrary, the Company and Iview shall obtain customary insurance and name
        the
        Purchaser as an additional insured and loss payee thereunder as soon as
        practicable following the Closing Date, and in any event within thirty days
        following the Closing Date.

       

      
        
          
          

        

        
          -
            25 -

          
            

          

        

        
          
          

        

      

       

      
        	
                6.7

              	
                Intellectual
                  Property.

              

      

       

      Each
        of
        the Company, Iview, Iview Parent and each of their respective Subsidiaries
        shall
        maintain in full force and effect its existence, rights and franchises and
        all
        licenses and other rights to use Intellectual Property owned or possessed
        by it
        and reasonably deemed to be necessary to the conduct of its
        business.

       

      
        	
                6.8

              	
                Properties.

              

      

       

      Each
        of
        the Company, Iview, Iview Parent and each of their respective Subsidiaries
        will
        keep its properties in good repair, working order and condition, reasonable
        wear
        and tear excepted, and from time to time make all needful and proper repairs,
        renewals, replacements, additions and improvements thereto; and each of the
        Company, Iview, Iview Parent and each of their respective Subsidiaries will
        at
        all times comply with each provision of all leases to which it is a party
        or
        under which it occupies property if the breach of such provision could, either
        individually or in the aggregate, reasonably be expected to have a Material
        Adverse Effect.

       

      
        	
                6.9

              	
                Confidentiality.

              

      

       

      Each
        of
        the Company, Iview and Iview Parent on behalf of itself and its successors,
        assigns and Affiliates, agrees to use its best efforts to maintain as
        confidential all confidential information provided to it by the Purchaser,
        including, but not limited to, financial statements, certificates, reports,
        agreements and information, financial results, information that may constitute
        material non-public information and other information considered by the
        Purchaser to be confidential and proprietary and to use such information
        in
        compliance with all applicable laws, solely for the purpose of and as necessary
        to fulfill its obligations under this Agreement and will not reveal it to
        any
        third party without the express written consent of the Purchaser. Each of
        the
        Company, Iview and Iview Parent will take appropriate measures to prevent
        its
        agents, employees and subcontractors from using or disclosing any such
        confidential information, except as is expressly permitted under this Agreement.
        Each of the Company, Iview and Iview Parent agrees that it will not disclose,
        and will not include in any public announcement, the name of the Purchaser,
        unless expressly agreed to by the Purchaser or unless and until such disclosure
        is required by law or applicable regulation, and then only to the extent
        of such
        requirement and upon notice to the Purchaser. Notwithstanding the foregoing,
        the
        Company, Iview and Iview Parent may disclose Purchaser’s identity and the terms
        of this Agreement to its current and prospective debt and equity financing
        sources and in its filings with the SEC.

       

      
        
          
          

        

        
          -
            26 -

          
            

          

        

        
          
          

        

      

       

      
        	
                6.10

              	
                Required
                  Approvals. 

              

      

       

      Each
        of
        the Company, Iview and Iview Parent, without the prior written consent of
        the
        Purchaser, shall not, and shall not permit any of their respective Subsidiaries
        to:

       

      
        	 	
                (a)

              	
                (i) directly
                  or indirectly declare or pay any dividends, other than dividends
                  paid to
                  the Company, Iview or to Iview Parent or any of their respective
                  wholly-owned Subsidiaries, (ii) issue any preferred stock that is
                  mandatorily redeemable prior to the one year anniversary of Maturity
                  Date
                  (as defined in each of the Company Note and the Iview Note) or
                  (iii)
                  redeem any of its preferred stock or other equity interests other
                  than, in
                  the case of (i), contributions to the corporate expenses and overhead
                  of
                  the Company and all management services and analogous fees paid
                  to the
                  Company not to exceed Cdn$350,000 per annum and (ii) repayment
                  to A.C.
                  Ltd. for monthly expenses paid by A.C. Ltd. on behalf of
                  Iview;

              

      

       

      
        	 	
                (b)

              	
                liquidate,
                  dissolve or effect a material reorganization (it being understood
                  that in
                  no event shall the Company, Iview and/or Iview Parent dissolve,
                  liquidate
                  or merge with any other person or entity (unless the Company, Iview
                  and/or
                  Iview Parent is the surviving entity, as
                  applicable));

              

      

       

      
        	 	
                (c)

              	
                become
                  subject to (including, without limitation, by way of amendment
                  to or
                  modification of) any agreement or instrument which by its terms
                  would
                  (under any circumstances) restrict the Company’s, Iview’s, Iview Parent’s
                  or any of their respective Subsidiaries right to perform the provisions
                  of
                  this Agreement, any Related Agreement or any of the agreements
                  contemplated hereby or thereby; 

              

      

       

      
        	 	
                (d)

              	
                materially
                  alter or change the scope of the business of the Company, Iview,
                  Iview
                  Parent and their respective Subsidiaries taken as a whole (other
                  than as
                  necessary or desirable to align such businesses with that of Company
                  or
                  its Subsidiaries); 

              

      

       

      
        	 	
                (e)

              	
                (i) create,
                  incur, assume or suffer to exist any indebtedness (exclusive of
                  trade debt
                  and debt incurred to finance the purchase of equipment (not in
                  excess of
                  five percent (5%) of the fair market value of the Company’s, Iview, Iview
                  Parent’s and their respective Subsidiaries’ assets) whether secured or
                  unsecured other than (x) the Company’s, Cancable’s and Iview’s
                  indebtedness to the Purchaser, (y) indebtedness set forth on Schedule
                  6.12(e) attached hereto and made a part hereof and any refinancings
                  or
                  replacements thereof on terms no less favourable to the Purchaser
                  than the
                  indebtedness being refinanced or replaced, and (z) any debt incurred
                  in
                  connection with the purchase of assets in the ordinary course of
                  business,
                  or any refinancings or replacements thereof on terms no less favourable
                  to
                  the Purchaser than the indebtedness being refinanced or replaced;
                  (ii) cancel any debt owing to it in excess of USD$100,000 in the
                  aggregate during any 12 month period; (iii) assume, guarantee,
                  endorse or otherwise become directly or contingently liable in
                  connection
                  with any obligations of any other Person, except the endorsement
                  of
                  negotiable instruments by the Company and/or Iview for deposit
                  or
                  collection or similar transactions in the ordinary course of business
                  or
                  guarantees of indebtedness otherwise permitted to be outstanding
                  pursuant
                  to this clause (e);

              

      

       

      
        
          
          

        

        
          -
            27 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (f)

              	
                create
                  or acquire any Subsidiary after the date hereof unless (i) such
                  Subsidiary is a wholly-owned Subsidiary of the Company or Iview
                  and
                  (ii) such Subsidiary becomes party to the 2005 Master Security
                  Agreement, the 2005 Stock Pledge Agreement and the Amended and
                  Restated
                  Guaranty (in each case, either by executing a counterpart thereof
                  or an
                  assumption or joinder agreement in respect thereof) and, to the
                  extent
                  reasonably required by the Purchaser, satisfies each condition
                  of this
                  Agreement and the Related Agreements as if such Subsidiary were
                  a
                  Subsidiary on the Closing Date; or

              

      

       

      
        	 	
                (g)

              	
                issue
                  or sell any of the share capital in the Company, Iview and/or Iview
                  Parent
                  or any rights, warrants or securities convertible into or exercisable
                  or
                  exchangeable for any share in the capital of the Company, Iview
                  and/or
                  Iview Parent.

              

      

       

      
        	
                6.11

              	
                Opinion. 

              

      

       

      On
        the
        Closing Date, the Company will deliver to the Purchaser (i) an opinion
        reasonably acceptable to the Purchaser from the Company’s external corporate
        legal counsel in the form of Exhibit F hereto and (ii) an opinion reasonably
        acceptable to the Purchaser from the Company’s external tax counsel addressing
        issues of withholding tax in the form of Exhibit G hereto.

       

      
        	
                6.12

              	
                Margin
                  Stock.

              

      

       

      The
        Company will not permit any of the proceeds of the Company Note, the Iview
        Note
        or the Company Warrant to be used directly or indirectly to “purchase”
or
        “carry”
        “margin
        stock”
or
        to
        repay indebtedness incurred to “purchase”
or
        “carry”
        “margin
        stock”
within
        the respective meanings of each of the quoted terms under Regulation U of
        the
        Board of Governors of the Federal Reserve System as now and from time to
        time
        hereafter in effect.

       

      
        	
                6.13

              	
                Financing
                  Right of First Refusal. 

              

      

       

      
        
          
          

        

        
          -
            28 -

          
            

          

        

        
          
          

        

      

       

      
        	 	
                (a)

              	
                For
                  a period of one hundred eighty (180) days following the Closing
                  Date, each
                  of the Company, Iview and Iview Parent hereby grants to the Purchaser
                  a
                  right of first refusal to provide any Additional Financing (as
                  defined
                  below) to be issued by the Company, Iview, Iview Parent and/or
                  any of
                  their respective Subsidiaries, subject to the following terms and
                  conditions. From and after the date hereof, prior to the incurrence
                  of any
                  additional indebtedness and/or the sale or issuance of any equity
                  interests of the Company, Iview, Iview Parent or any of their respective
                  Subsidiaries (other than (i) pursuant to options, warrants or other
                  obligations to issue shares outstanding on the date hereof as disclosed
                  to
                  Purchaser in writing; (ii) pursuant to options that may be issued
                  under
                  any employee incentive stock option and/or any qualified stock
                  option plan
                  adopted by the Company, Iview or Iview Parent; or (iii) securities
                  issued
                  pursuant to acquisitions or strategic transactions the primary
                  purpose of
                  which is not raising capital, so long as, in the case of this clause
                  (iii), such shares of Common Stock so issued (or securities convertible
                  into Common Stock so issued) are restricted and do not become freely
                  or
                  publicly traded in any respect prior to the two year anniversary
                  of the
                  issuance thereof) (each, an “Additional
                  Financing”),
                  the Company, Iview, Iview Parent and/or any of their respective
                  Subsidiaries, as the case may be, shall notify the Purchaser of
                  its
                  intention to enter into such Additional Financing. In connection
                  therewith, the Company, Iview, Iview Parent and/or the applicable
                  Subsidiary thereof shall submit a fully executed term sheet (a
                  “Proposed
                  Term Sheet”)
                  to the Purchaser setting forth the terms, conditions and pricing
                  of any
                  such Additional Financing (such financing to be negotiated on
                  “arm’s
                  length”
                  terms and the terms thereof to be negotiated in good faith) proposed
                  to be
                  entered into by the Company, Iview, Iview Parent and/or such Subsidiary.
                  The Purchaser shall have the right, but not the obligation, to
                  deliver its
                  own proposed term sheet (the “Purchaser
                  Term Sheet”)
                  setting forth the terms and conditions upon which Purchaser would
                  be
                  willing to provide such Additional Financing to the Company, Iview,
                  Iview
                  Parent and/or such Subsidiary. The Purchaser Term Sheet shall contain
                  terms no less favourable to the Company, Iview, Iview Parent and
                  /or the
                  Subsidiary than those outlined in Proposed Term Sheet. The Purchaser
                  shall
                  deliver such Purchaser Term Sheet within ten business days of receipt
                  of
                  each such Proposed Term Sheet. If the provisions of the Purchaser
                  Term
                  Sheet are at least as favourable to the Company, Iview Parent and/or
                  such
                  Subsidiary, as the case may be, as the provisions of the Proposed
                  Term
                  Sheet, the Company, Iview, Iview Parent and/or such Subsidiary
                  shall (a)
                  either enter into and consummate the Additional Financing transaction
                  outlined in the Purchaser Term Sheet or (b) choose not to consummate
                  such
                  Additional Financing, in which case the Company, Iview and Iview
                  Parent
                  shall be obligated to comply with the provisions of this Section
                  0
                  with respect to any future potential
                  financing.

              

      

       

      
        	 	
                (b)

              	
                The
                  Company, Iview and Iview Parent will not, and will not permit their
                  respective Subsidiaries to, agree, directly or indirectly, to any
                  restriction with any person or entity which limits the ability
                  of the
                  Purchaser to consummate an Additional Financing with the Company,
                  Iview,
                  Iview Parent or any of their respective
                  Subsidiaries.

              

      

       

      
        	
                6.14

              	
                Account
                  Agreements.

              

      

       

      Forthwith
        following the Closing Date, the Company, Iview and Iview Parent shall, and
        shall
        cause their respective Subsidiaries to, enter into agreements with the Purchaser
        and each bank at which an account identified in Schedule 0
        is
        maintained, affording the Purchaser sole dominion and control over the account
        upon the occurrence and during the continuation of an event of default under
        the
        Company Note and the Iview Note. The Company, Iview and Iview Parent shall,
        and
        shall cause their respective Subsidiaries to, enter into a comparable agreement
        in relation to any account opened following the date hereof which may, in
        the
        ordinary course of business from time to time, have in excess of USD$50,000
        on
        deposit.

       

      
        
          
          

        

        
          -
            29 -

          
            

          

        

        
          
          

        

      

       

      
        	
                6.15

              	
                Dissolution
                  of A.C. Technical Systems
                  Inc.

              

      

       

      The
        Company shall dissolve A.C. Technical Systems Inc. on or before the date
        that is
        one (1) calendar year following the date hereof, and as of the date hereof
        and
        until it is dissolved, A.C. Technical Systems Inc. shall not conduct any
        active
        business or possess any material assets or property. The Company covenants
        and
        agrees that it shall not and it shall not allow any of the Guarantors to
        transfer any of the collateral to A.C. Technical Systems Inc.

       

      
        	
                7.

              	
                Covenants
                  of the Purchaser. 

              

      

       

      The
        Purchaser covenants and agrees with the Company as follows:

       

      
        	
                7.1

              	
                Confidentiality. 

              

      

       

      The
        Purchaser on behalf of itself and its successors, assigns and Affiliates,
        agrees
        to use its best efforts to maintain as confidential all confidential information
        provided to it by the Company, including, but not limited to, financial
        statements, certificates, reports, agreements and information, financial
        results, information that may constitute material non-public information
        and
        other information considered by the Company to be confidential and proprietary
        and to use such information in compliance with all applicable laws, solely
        for
        the purpose of and as necessary to fulfill its obligations under this Agreement
        and will not reveal it to any third party without the express written consent
        of
        the Company. The Purchaser will take appropriate measures to prevent its
        agents,
        employees and subcontractors from using or disclosing any such confidential
        information, except as is expressly permitted under this Agreement. The
        Purchaser agrees that it will not disclose, and will not include in any public
        announcement, the name of the Company, unless expressly agreed to by the
        Company
        or unless and until such disclosure is required by law or applicable regulation,
        and then only to the extent of such requirement and upon notice to the Company
        .

       

      
        	
                7.2

              	
                Non-Public
                  Information. 

              

      

       

      The
        Purchaser agrees not to effect any sales in the shares of the Company’s Common
        Stock while in possession of material, non-public information regarding the
        Company if such sales would violate applicable securities law.

       

      
        	
                7.3

              	
                Limitation
                  on Acquisition of Common Stock of the Company. 

              

      

       

      Notwithstanding
        anything to the contrary contained in this Agreement, any Related Agreement
        or
        any document, instrument or agreement entered into in connection with any
        other
        transactions between the Purchaser and the Company, the Purchaser may not
        acquire stock in the Company (including, without limitation, pursuant to
        a
        contract to purchase, by exercising an option or warrant, by converting any
        other security or instrument, by acquiring or exercising any other right
        to
        acquire, shares of stock or other security convertible into shares of stock
        in
        the Company, or otherwise, and such contracts, options, warrants, conversion
        or
        other rights shall not be enforceable or exercisable) to the extent such
        stock
        acquisition would cause any interest (including any original issue discount)
        payable by the Company to the Purchaser not to qualify as “portfolio
        interest”
within
        the meaning of Section 881(c)(2) of the Code, by reason of Section 881(c)(3)
        of
        the Code, taking into account the constructive ownership rules under Section
        871(h)(3)(C) of the Code (the “Stock
        Acquisition Limitation”).
        The
        Stock Acquisition Limitation shall automatically become null and void without
        any notice to the Company upon the earlier to occur of either (a) the Company’s
        delivery to the Purchaser of a Notice of Redemption (as defined in the Company
        Note) or (b) the existence of an Event of Default (as defined in the Company
        Note or any other note issued by the Company to the Purchaser) at a time
        when
        the average closing price of the common stock as reported by Bloomberg, L.P.
        on
        the Principal Market for the immediately preceding five trading days is greater
        than or equal to the average closing price of the Company’s common stock as
        reported by Bloomberg, L.P. in the Principal Market for the five trading
        days
        before Closing.

       

      
        
          
          

        

        
          -
            30 -

          
            

          

        

        
          
          

        

      

       

      
        	
                8.

              	
                Covenants
                  of the Company and Purchaser Regarding
                  Indemnification.

              

      

       

      
        	
                8.1

              	
                Company
                  Indemnification. 

              

      

       

      Each
        of
        the Company, Iview and Iview Parent agrees to indemnify, hold harmless,
        reimburse and defend the Purchaser, each of the Purchaser’s officers, directors,
        agents, affiliates, control persons, and principal shareholders, against
        any
        claim, cost, expense, liability, obligation, loss or damage (including
        reasonable legal fees) of any nature, incurred by or imposed upon the Purchaser
        which results, arises out of or is based upon: (i) any misrepresentation
        by the
        Company, Iview, Iview Parent or any of their respective Subsidiaries or breach
        of any warranty by the Company, Iview, Iview Parent or any of their respective
        Subsidiaries in this Agreement, any other Related Agreement or in any exhibits
        or schedules attached hereto or thereto; or (ii) any breach or default in
        performance by Company, Iview, Iview Parent or any of their respective
        Subsidiaries of any covenant or undertaking to be performed by Company, Iview,
        Iview Parent or any of their respective Subsidiaries hereunder, under any
        other
        Related Agreement or any other agreement entered into by the Company, Iview,
        Iview Parent and/or any of their respective Subsidiaries and Purchaser relating
        hereto or thereto.

       

      
        	
                8.2

              	
                Purchaser’s
                  Indemnification. 

              

      

       

      Purchaser
        agrees to indemnify, hold harmless, reimburse and defend the Company and
        Iview
        and each of the Company’s and Iview’s officers, directors, agents, affiliates,
        control persons and principal shareholders, at all times against any claim,
        cost, expense, liability, obligation, loss or damage (including reasonable
        legal
        fees) of any nature, incurred by or imposed upon the Company and/or Iview
        which
        results, arises out of or is based upon: (i) any misrepresentation by Purchaser
        or breach of any warranty by Purchaser in this Agreement or in any exhibits
        or
        schedules attached hereto or any Related Agreement; or (ii) any breach or
        default in performance by Purchaser of any covenant or undertaking to be
        performed by Purchaser hereunder, under any other Related Agreement; or any
        other agreement entered into by the Company and/or Iview and Purchaser relating
        hereto or thereto.

       

      
        	
                8.3

              	
                Offering
                  Restrictions. 

              

      

       

      Neither
        the Company, Iview, Iview Parent nor any of their respective Subsidiaries
        will,
        prior to the full repayment of the Company Note and the Iview Note (together
        with all accrued and unpaid interest and fees related thereto), (x) enter
        into
        any equity line of credit agreement or similar agreement or (y) issue, or
        enter
        into any agreement to issue, any securities with a variable/floating conversion
        and/or pricing feature which are or could be (by conversion or registration)
        free-trading securities (i.e. common stock subject to a registration
        statement).

       

      
        
          
          

        

        
          -
            31 -

          
            

          

        

        
          
          

        

      

       

      
        	
                9.

              	
                Miscellaneous.

              

      

       

      
        	
                9.1

              	
                Governing
                  Law. 

              

      

       

      THIS
        AGREEMENT AND EACH RELATED AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN
        ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO PRINCIPLES
        OF CONFLICTS OF LAWS. ANY ACTION BROUGHT BY EITHER PARTY AGAINST THE OTHER
        CONCERNING THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT AND EACH RELATED
        AGREEMENT SHALL BE BROUGHT ONLY IN THE STATE COURTS OF NEW YORK OR IN THE
        FEDERAL COURTS LOCATED IN THE STATE OF NEW YORK. BOTH PARTIES AND THE
        INDIVIDUALS EXECUTING THIS AGREEMENT AND THE RELATED AGREEMENTS ON BEHALF
        OF THE
        COMPANY AGREE TO SUBMIT TO THE JURISDICTION OF SUCH COURTS AND WAIVE TRIAL
        BY
        JURY. IN THE EVENT THAT ANY PROVISION OF THIS AGREEMENT OR ANY RELATED AGREEMENT
        DELIVERED IN CONNECTION HEREWITH IS INVALID OR UNENFORCEABLE UNDER ANY
        APPLICABLE STATUTE OR RULE OF LAW, THEN SUCH PROVISION SHALL BE DEEMED
        INOPERATIVE TO THE EXTENT THAT IT MAY CONFLICT THEREWITH AND SHALL BE DEEMED
        MODIFIED TO CONFORM WITH SUCH STATUTE OR RULE OF LAW. ANY SUCH PROVISION
        WHICH
        MAY PROVE INVALID OR UNENFORCEABLE UNDER ANY LAW SHALL NOT AFFECT THE VALIDITY
        OR ENFORCEABILITY OF ANY OTHER PROVISION OF THIS AGREEMENT OR ANY RELATED
        AGREEMENT. IF ANY PARTY SHALL COMMENCE AN ACTION OR PROCEEDING TO ENFORCE
        ANY
        PROVISIONS HEREOF, THEN THE PREVAILING PARTY IN SUCH ACTION OR PROCEEDING
        SHALL
        BE REIMBURSED BY THE OTHER PARTY FOR ITS ATTORNEYS FEES AND OTHER COSTS AND
        EXPENSES INCURRED WITH THE INVESTIGATION, PREPARATION AND PROSECUTION OF
        SUCH
        ACTION OR PROCEEDING.

       

      
        	
                9.2

              	
                Survival.

              

      

       

      The
        representations, warranties, covenants and agreements made herein shall survive
        any investigation made by the Purchaser and the closing of the transactions
        contemplated hereby to the extent provided therein. All statements as to
        factual
        matters contained in any certificate or other instrument delivered by or
        on
        behalf of the Company, Iview and/or Iview Parent pursuant hereto in connection
        with the transactions contemplated hereby shall be deemed to be representations
        and warranties by the Company, Iview and/or Iview Parent, as the case may
        be,
        hereunder solely as of the date of such certificate or instrument.

       

      
        	
                9.3

              	
                Successors. 

              

      

       

      Except
        as
        otherwise expressly provided herein, the provisions hereof shall inure to
        the
        benefit of, and be binding upon, the successors, heirs, executors and
        administrators of the parties hereto and shall inure to the benefit of and
        be
        enforceable by each person who shall be a holder of the Securities from time
        to
        time. Purchaser may not assign its rights hereunder to a competitor of the
        Company.

       

      
        
          
          

        

        
          -
            32 -

          
            

          

        

        
          
          

        

      

       

      
        	
                9.4

              	
                Entire
                  Agreement; Maximum Interest. 

              

      

       

      This
        Agreement, the Related Agreements, the exhibits and schedules hereto and
        thereto
        and the other documents delivered pursuant hereto constitute the full and
        entire
        understanding and agreement between the parties with regard to the subjects
        hereof and no party shall be liable or bound to any other in any manner by
        any
        representations, warranties, covenants and agreements except as specifically
        set
        forth herein and therein. Nothing contained in this Agreement, any Related
        Agreement or in any document referred to herein or delivered in connection
        herewith shall be deemed to establish or require the payment of a rate of
        interest or other charges in excess of the maximum rate permitted by applicable
        law. In the event that the rate of interest or dividends required to be paid
        or
        other charges hereunder exceed the maximum rate permitted by such law, any
        payments in excess of such maximum shall be credited against amounts owed
        by the
        Company and Iview to the Purchaser and thus refunded to the Company or Iview,
        as
        applicable.

       

      
        	
                9.5

              	
                Severability. 

              

      

       

      In
        case
        any provision of the Agreement shall be invalid, illegal or unenforceable,
        the
        validity, legality and enforceability of the remaining provisions shall not
        in
        any way be affected or impaired thereby.

       

      
        	
                9.6

              	
                Amendment
                  and Waiver.

              

      

       

      
        	 	
                (a)

              	
                This
                  Agreement may be amended or modified only upon the written consent
                  of the
                  Company, Iview, Iview Parent and the
                  Purchaser.

              

      

       

      
        	 	
                (b)

              	
                The
                  obligations of the Company, Iview and Iview Parent and the rights
                  of the
                  Purchaser under this Agreement may be waived only with the written
                  consent
                  of the Purchaser. 

              

      

       

      
        	 	
                (c)

              	
                The
                  obligations of the Purchaser and the rights of the Company, Iview
                  and
                  Iview Parent under this Agreement may be waived only with the written
                  consent of the Company, Iview and Iview
                  Parent.

              

      

       

      
        	
                9.7

              	
                Delays
                  or Omissions. 

              

      

       

      It
        is
        agreed that no delay or omission to exercise any right, power or remedy accruing
        to any party, upon any breach, default or non-compliance by another party
        under
        this Agreement or the Related Agreements, shall impair any such right, power
        or
        remedy, nor shall it be construed to be a waiver of any such breach, default
        or
        non-compliance, or any acquiescence therein, or of or in any similar breach,
        default or non-compliance thereafter occurring. All remedies, either under
        this
        Agreement or the Related Agreements, by law or otherwise afforded to any
        party,
        shall be cumulative and not alternative.

       

      
        
          
          

        

        
          -
            33 -

          
            

          

        

        
          
          

        

      

       

      
        	
                9.8

              	
                Notices. 

              

      

       

      All
        notices required or permitted hereunder shall be in writing and shall be
        deemed
        effectively given:

       

      
        	 	
                (a)

              	
                upon
                  personal delivery to the party to be
                  notified;

              

      

       

      
        	 	
                (b)

              	
                when
                  sent by confirmed facsimile if sent during normal business hours
                  of the
                  recipient, if not, then on the next business
                  day;

              

      

       

      
        	 	
                (c)

              	
                three
                  (3) business days after having been sent by registered or certified
                  mail,
                  return receipt requested, postage prepaid;
                  or

              

      

       

      
        	 	
                (d)

              	
                one
                  (1) day after deposit with a nationally recognized overnight courier,
                  specifying next day delivery, with written verification of
                  receipt.

              

      

       

      All
        communications shall be sent as follows:

       

      
        
          	 If to the Company, Iview or Iview
                  Parent, to:	 Creative Vistas, Inc.
	 	 2100 Forbes Street,
	 	 Units 8-10
	 	 Whitby, Ontario
	 	 L1N 9T3
	 	 
	 	 Telephone: (905)
                  666-8676
	 	 Facsimile: (905)
                  666-9795
	 	 
	 	 Attention: Chief
                  Financial Officer
	 	 
	 	 with a copy to (which shall not
                  constitute notice):
	 	 
	 	 Andrew J. Beck, Esq.
	 	 Torys LLP
	 	 237 Park Avenue
	 	 20th
                  Floor
	 	 New York, NY 10017
	 	 
	 	 Facsimile: (212)
                  682-0200

        

      

      

      

      
        
          
          

        

        
          -
            34 -

          
            

          

        

        
          
          

        

         

        
          	 If to the Purchaser, to: 	 Laurus Master Fund, Ltd.
	 	 c/o M&C Corporate Services
                  Limited
	 	 P.O. Box 309 GT
	 	 Ugland House 
	 	 
	 	 South Church Street
	 	 George Town
	 	 Grand Cayman, Cayman
                  Islands
	 	 
	 	 Facsimile: 345-949-8080
	 	 
	 with a copy to:	 John E. Tucker, Esq.
	 	 825 Third Avenue 
	 	 14th
                  Floor
	 	 New York, NY 10022
	 	 
	 	 Facsimile:
                  212-541-4434

        

      

       

      or
        at
        such other address as the Company, Iview, Iview Parent or the Purchaser may
        designate by written notice to the other parties hereto given in accordance
        herewith.

       

      
        	
                9.9

              	
                Attorneys’
                  Fees. 

              

      

       

      In
        the
        event that any suit or action is instituted to enforce any provision in this
        Agreement or any Related Agreement, the prevailing party in such dispute
        shall
        be entitled to recover from the losing party all fees, costs and expenses
        of
        enforcing any right of such prevailing party under or with respect to this
        Agreement and/or such Related Agreement, including, without limitation, such
        reasonable fees and expenses of attorneys and accountants, which shall include,
        without limitation, all fees, costs and expenses of appeals.

       

      
        	
                9.10

              	
                Titles
                  and Subtitles. 

              

      

       

      The
        titles of the sections and subsections of this Agreement are for convenience
        of
        reference only and are not to be considered in construing this
        Agreement.

       

      
        	
                9.11

              	
                Facsimile
                  Signatures; Counterparts. 

              

      

       

      This
        Agreement may be executed by facsimile signatures and in any number of
        counterparts, each of which shall be an original, but all of which together
        shall constitute one agreement.

       

      
        	
                9.12

              	
                Broker’s
                  Fees. 

              

      

       

      Except
        as
        set forth on Schedule 11.12 hereof, each party hereto represents and warrants
        that no agent, broker, investment banker, person or firm acting on behalf
        of or
        under the authority of such party hereto is or will be entitled to any broker’s
        or finder’s fee or any other commission directly or indirectly in connection
        with the transactions contemplated herein. Each party hereto further agrees
        to
        indemnify each other party for any claims, losses or expenses incurred by
        such
        other party as a result of the representation in this Section 9.12
        being
        untrue.

       

      
        
          
          

        

        
          -
            35 -

          
            

          

        

        
          
          

        

      

       

      
        	
                9.13

              	
                Construction. 

              

      

       

      Each
        party acknowledges that its legal counsel participated in the preparation
        of
        this Agreement and the Related Agreements and, therefore, stipulates that
        the
        rule of construction that ambiguities are to be resolved against the drafting
        party shall not be applied in the interpretation of this Agreement or any
        Related Agreement to favour any party against the other.

       

      
        	
                9.14

              	
                Currency
                  Indemnity. 

              

      

       

      If,
        for
        the purposes of obtaining judgment in any court in any jurisdiction with
        respect
        to this Agreement or any of the Related Agreements, it becomes necessary
        to
        convert into the currency of such jurisdiction (the “Judgment
        Currency”)
        any
        amount due under this Agreement or under any of the Related Agreements in
        any
        currency other than the Judgment Currency (the “Currency
        Due”),
        then
        conversion shall be made at the Exchange Rate at which the Purchaser is able,
        on
        the relevant date, to purchase the Currency Due with the Judgment Currency
        prevailing on the Business Day before the day on which judgment is given.
        In the
        event that there is a change in the rate of Exchange Rate prevailing between
        the
        Business Day before the day on which the judgment is given and the date of
        receipt by the Purchaser of the amount due, Company will, on the date of
        receipt
        by the Purchaser, pay such additional amounts, if any, or be entitled to
        receive
        reimbursement of such amount, if any, as may be necessary to ensure that
        the
        amount received by the Purchaser on such date is the amount in the Judgment
        Currency which when converted at the rate of exchange prevailing on the date
        of
        receipt by the Purchaser is the amount then due under this Agreement or such
        of
        the Related Agreements in the Currency Due. If the amount of the Currency
        Due
        which the Purchaser is able to purchase is less than the amount of the Currency
        Due originally due to it, Company shall indemnify and save the Purchaser
        harmless from and against loss or damage arising as a result of such deficiency.
        The indemnity contained herein shall constitute an obligation separate and
        independent from the other obligations contained in this Agreement and the
        Related Agreements, shall give rise to a separate and independent cause of
        action, shall apply irrespective of any indulgence granted by the Purchaser
        from
        time to time and shall continue in full force and effect notwithstanding
        any
        judgment or order for a liquidated sum in respect of an amount due under
        this
        Agreement or any of the Related Agreements or under any judgment or
        order.

       

      [THE
        REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK]

      

      
        
          
          

        

        
          -
            36 -

          
            

          

        

        
          
          

        

      

       

      IN
        WITNESS WHEREOF,
        the
        parties hereto have executed the SECURITIES
        PURCHASE AGREEMENT
        as of
        the date set forth in the first paragraph hereof.

       

      COMPANY: PURCHASER:

       

      
        	
                CREATIVE
                  VISTAS, INC.

              	 	
                LAURUS
                  MASTER FUND, LTD.

              
	
                Per:

              	
                /s/
                  DOMINIC BURNS

              	
                Per:

              	
                /s/
                  EUGENE GRIN

              
	 	
                Name:
                  Dominic Burns

              	 	
                Name:
                  Eugene Grin

              
	 	
                Title:
                  President

              	 	 	
                Title:
                  Director

              

      

      

       

      
        	
                IVIEW
                  DIGITAL VIDEO SOLUTIONS INC.

              	 	 
	
                Per:

              	
                /s/
                  SAYAN NAVARATNAM

              	 	 
	 	
                Name:
                  Sayan Navaratnam

              	 	 
	 	
                Title:
                  President

              	 	 	 

      

      

       

      
        	
                IVIEW
                  HOLDING CORP.

              	 	 
	
                Per:

              	
                /s/
                  DOMINIC BURNS

              	 	 
	 	
                Name:
                  Dominic Burns

              	 	 
	 	
                Title:
                  President

              	 	 	 

      

       

      
        
          
          

        

        
          -
            37 -

          
            

          

        

        
          
          

        

      

       

      Exhibit
        “A”

       

      FORM
        OF NOTE

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Exhibit
        “B”

       

      FORM
        OF IVIEW NOTE

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Exhibit
        “C”

       

      FORM
        OF OPTION

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Exhibit
        “D”

       

      FORM
        OF COMPANY WARRANT

      
 

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Exhibit
        “E”

       

      CASH
        COLLATERAL DEPOSIT LETTER

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Exhibit
        “F”

       

      FORM
        OF ESCROW AGREEMENT

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

      

      Exhibit
        “G”

       

      FORM
        OF OPINION

      
 

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      
 

      Exhibit
        “H”

       

      FORM
        OF TAX OPINIONUnassociated Document

    THIS
      NOTE
      HAS NOT BEEN REGISTERED UNDER THE SECURITIES
      ACT OF 1933,
      AS
      AMENDED, OR ANY STATE SECURITIES LAWS. THIS NOTE MAY NOT BE SOLD, OFFERED FOR
      SALE, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION
      STATEMENT AS TO THIS NOTE UNDER SAID ACT AND ANY APPLICABLE STATE SECURITIES
      LAWS OR AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO CREATIVE VISTAS, INC
      THAT SUCH REGISTRATION IS NOT REQUIRED.

     

    SECURED
      TERM NOTE

     

    FOR
      VALUE
      RECEIVED, CREATIVE VISTAS, INC., an Arizona corporation (the “Borrower”),
      hereby promises to pay to LAURUS MASTER FUND, LTD., M&C Corporate Services
      Limited, P.O. Box 309 GT, Ugland House, South Church Street, George Town, Grand
      Cayman, Cayman Islands, Fax: 345-949-8080 (the “Holder”)
      or its
      registered assigns or successors in interest, on order, the sum of Eight Million
      Two Hundred and Fifty Thousand Dollars in lawful money of the United
      States (USD$8,250,000),
      together with any accrued and unpaid interest hereon, on February 13,
      2009
      (the “Maturity
      Date”)
      if not
      sooner paid. 

     

    Capitalized
      terms used herein without definition shall have the meanings ascribed to such
      terms in that certain Securities Purchase Agreement dated as of the date hereof
      between the Borrower, Iview Holding Corp., Iview Digital Video Solutions Inc.
      and the Holder (as amended, modified or supplemented from time to time, the
      “Purchase
      Agreement”).

     

    The
      following terms shall apply to this Note:

     

     

    ARTICLE
      I

     

    INTEREST
      & AMORTIZATION

     

    
      	
              1.1

            	
              Interest
                Rate.
                Subject to Sections 2.10
                and 3.8
                hereof, interest payable on the outstanding principal amount of this
                Note
                shall accrue at a rate per annum (the “Interest
                Rate”)
                equal to the “prime rate” published in The Wall Street Journal from time
                to time, plus two percent (2.00%). The prime rate shall be increased
                or
                decreased as the case may be for each increase or decrease in the
                prime
                rate in an amount equal to such increase or decrease in the prime
                rate;
                each change to be effective as of the day of the change in such rate.
                Subject to Section 1.1
                hereof, the Interest Rate shall not be less than seven percent (7%)
                per
                annum] Interest shall be calculated on the basis of a 360 day year.
                Interest shall accrue but not be payable during the period commencing
                on
                February 13, 2006 and ending on March 31, 2006 and shall be payable,
                in
                arrears, commencing on April 1, 2006 and on the first business day
                of each
                consecutive calendar month thereafter (each, a “Repayment
                Date”)
                and on the Maturity Date, whether by acceleration or
                otherwise. 

            

    

     

    
      	
              1.2

            	
              Currency.
                All principal, interest and other amounts owing under this Note,
                the
                Purchase Agreement or any Related Agreement that, in accordance with
                their
                terms, are paid in cash shall be paid in US dollars. All amounts
                denominated in other currencies shall be converted in the US dollar
                equivalent amount in accordance with the Exchange Rate on the date
                of
                calculation. “Exchange Rate” means, in relation to any amount of currency
                to be converted into US dollars pursuant to this Note, the US dollar
                exchange rate as published in the Wall Street Journal on the relevant
                date
                of calculation.

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	
              1.3

            	
              Taxes.

            

    

     

    
      	 	
              (a)

            	
              Any
                and all payments by the Borrower hereunder, including any amounts
                received
                on redemption of the Note and any amounts on account of interest
                or deemed
                interest, shall be made free and clear of and without deduction for
                any
                and all present or future taxes, levies, imposts, deductions, charges
                or
                withholdings, and all liabilities with respect thereto, excluding
                taxes
                imposed on net income or franchise taxes of the Holder by the jurisdiction
                in which such person is organized or has its principal office (all
                such
                non-excluded taxes, levies, imposts, deductions, charges withholdings
                and
                liabilities, collectively or individually, “Taxes”).
                If the Borrower shall be required to deduct any Taxes from or in
                respect
                of any sum payable hereunder to the Holder, (i) the sum payable shall
                be increased by the amount (an “additional
                amount”)
                necessary so that after making all required deductions (including
                deductions applicable to additional sums payable under this
                Section 1.3)
                the Holder shall receive an amount equal to the sum it would have
                received
                had no such deductions been made, (ii) the Borrower shall make such
                deductions and (iii) the Borrower shall pay the full amount deducted
                to the relevant governmental authority in accordance with applicable
                law.

            

    

     

    
      	 	
              (b)

            	
              In
                addition, Borrower agrees to pay to the relevant governmental authority
                in
                accordance with applicable law any present or future stamp or documentary
                taxes or any other excise or property taxes, charges or similar levies
                that arise from any payment made hereunder or from the execution,
                delivery
                or registration of, or otherwise with respect to, this Note (“Other
                Taxes”).
                The Borrower shall deliver to the Holder official receipts, if any,
                in
                respect of any Taxes or Other Taxes payable hereunder promptly after
                payment of such Taxes or Other Taxes or other evidence of payment
                reasonably acceptable to the
                Holder.

            

    

     

    
      	 	
              (c)

            	
              The
                obligations of the Borrower under this Section 1.3
                shall survive the termination of this Note and the payment of the
                Note and
                all other amounts payable
                hereunder.

            

    

     

    
      	
              1.4

            	
              Minimum
                Monthly Principal Amount.
                Amortizing payments of the aggregate principal amount outstanding
                under
                this Note shall begin on March 1,
                2007
                and shall recur on the first business day of each succeeding month
                thereafter until the Maturity Date as set forth in the amortization
                schedule annexed hereto as Schedule A. On the Maturity Date, all
                outstanding amounts of principal together with any accrued and unpaid
                interest thereon, shall be due and
                payable.

            

    

     

    
      	
              1.5

            	
              Mandatory
                Redemption.
                The total outstanding Principal Amount together with any accrued
                and
                unpaid interest and any and all other unpaid amounts which are then
                owing
                by the Borrower to the Holder under this Note, the Purchase Agreement
                and/or any other Related Agreement shall be due and payable on the
                Maturity Date.

            

    

     

    
      
        
        

      

      
        -
          2 -

        
          

        

      

      
        
        

      

    

     

    
      	
              1.6

            	
              Optional
                Redemption of Amortizing Principal Amount.
                The Borrower will have the option of prepaying the outstanding Principal
                Amount (“Optional
                Redemption”),
                in whole or in part, by paying to the Holder a sum of money equal
                to the
                Applicable Principal Amount (as defined below) to be redeemed, together
                with accrued but unpaid interest thereon and any and all other sums
                due,
                accrued or payable to the Holder arising under this Note, the Purchase
                Agreement or any other Related Agreement (the “Redemption
                Amount”)
                on the day written notice of redemption (the “Notice
                of Redemption”)
                is given to the Holder. The Notice of Amortizing Redemption shall
                specify
                the date for such Optional Redemption (the “Redemption
                Payment Date”),
                which date shall be seven (7) business days after the date of the
                Notice
                of Redemption (the “Redemption
                Period”).
                On the Redemption Payment Date, the Redemption Amount shall be paid
                in
                good funds to the Holder. In the event the Borrower fails to pay
                the
                Redemption Amount on the Redemption Payment Date as set forth herein,
                then
                such Notice of Redemption will be null and void. For the purposes
                of this
                Section 1.6,
                the “Applicable
                Principal Amount”
                shall mean the outstanding Principal Amount to be repaid (to a maximum
                of
                40% of the original Principal Amount when aggregated with all optional
                prepayments of outstanding Principal Amount made in accordance with
                this
                provision from time to time during the term of this Note) and
                105%
                of the outstanding Principal Amount to be repaid in accordance with
                this
                provision in excess of 40% of the original Principal Amount. In the
                event
                of an optional prepayment made in accordance with this provision,
                the
                Borrower shall be entitled to require all or any portion of the Principal
                Amount repaid (but not any premium forming part of the Applicable
                Principal Amount) to be applied in satisfaction of all or any portion
                of
                one or more monthly amortization payments required to be made in
                accordance with Section 1.4 of this
                Note.

            

    

     

     

    ARTICLE
      II

    EVENTS
      OF DEFAULT

     

    Upon
      the
      occurrence and continuance of an Event of Default beyond any applicable grace
      period, the Holder may make all sums of principal, interest and other fees
      then
      remaining unpaid hereon and all other amounts payable hereunder immediately
      due
      and payable. In the event of such an acceleration, the amount due and owing
      to
      the Holder shall be 120% of the outstanding principal amount of the Note (plus
      accrued and unpaid interest and fees, if any) (the “Default
      Payment”).
      The
      Default Payment shall be applied first to any fees due and payable to Holder
      pursuant to this Note, the Purchase Agreement or the Related Agreements, then
      to
      accrued and unpaid interest due on the Note and then to outstanding principal
      balance of the Note.

     

    The
      occurrence of any of the following events set forth in
      Sections 2.1
      through
2.9,
      inclusive, is an “Event
      of Default”:

     

    
      	
              2.1

            	
              Failure
                to Pay Principal, Interest or other Fees.
                The Borrower fails to pay when due any instalment of principal, interest
                or other fees hereon in accordance herewith, or the Borrower fails
                to pay
                when due any amount due under any other promissory note issued by
                Borrower, and in any such case, such failure shall continue for a
                period
                of three (3) days following the date upon which any such payment
                was
                due.

            

    

     

    
      	
              2.2

            	
              Breach
                of Covenant.
                The Borrower breaches any covenant or any other term or condition
                of this
                Note or the Purchase Agreement in any material respect, or the Borrower
                or
                any of its Subsidiaries breaches any covenant or any other term or
                condition of any Related Agreement in any material respect and, any
                such
                case, such breach, if subject to cure, continues for a period of
                fifteen
                (15) days after the occurrence
                thereof.

            

    

     

    
      	
              2.3

            	
              Breach
                of Representations and Warranties.
                Any representation or warranty made by the Borrower in this Note
                or the
                Purchase Agreement, or by the Borrower or any of its Subsidiaries
                in any
                Related Agreement, shall, in any such case, be false or misleading
                in any
                material respect on the date that such representation or warranty
                was made
                or deemed made.

            

    

     

    
      
        
        

      

      
        -
          3 -

        
          

        

      

      
        
        

      

    

     

    
      	
              2.4

            	
              Receiver
                or Trustee.
                The Borrower or any of its Subsidiaries shall make an assignment
                for the
                benefit of creditors, or apply for or consent to the appointment
                of a
                receiver or trustee for it or for a substantial part of its property
                or
                business; or such a receiver or trustee shall otherwise be
                appointed.

            

    

     

    
      	
              2.5

            	
              Judgments.
                Any money judgment, writ or similar final process shall be entered
                or
                filed against the Borrower or any of its Subsidiaries or any of their
                respective property or other assets for more than USD$250,000, and
                shall
                remain unvacated, unbonded or unstayed for a period of sixty
                days.

            

    

     

    
      	
              2.6

            	
              Bankruptcy.
                Bankruptcy, insolvency, reorganization or liquidation proceedings
                or other
                proceedings or relief under any bankruptcy law or any law for the
                relief
                of debtors shall be instituted (i) by the Borrower or any of its
                Subsidiaries or (ii) against the Borrower or any of its Subsidiaries
                and,
                solely in the case of this clause (ii), remains undismissed for a
                period
                of 60 days.

            

    

     

    
      	
              2.7

            	
              Failure
                to Deliver Replacement Note.
                The Borrower shall fail to deliver a replacement Note to Holder within
                seven (7) business days following the required date of such issuance
                pursuant to this Note, the Purchase Agreement or any Related Agreement
                (to
                the extent required under such
                agreements).

            

    

     

    
      	
              2.8

            	
              Default
                Under Related Agreements or Other Agreements.
                The occurrence and continuance of (i) any Event of Default (as
                defined in the Purchase Agreement or any Related Agreement), (ii) any
                Event of Default under and as defined in any of (x) that certain
                Secured
                Term Note issued by Cancable Inc. (“Cancable”)
                to the Holder, dated December 31, 2005 (as amended, modified or
                supplemented from time to time, the “2005
                Term Note”),
                (x) the Purchase Agreement referred to in the 2005 Term Note (as
                amended,
                modified or supplemented from time to time, the “2005
                Purchase Agreement”)
                and/or (y) any Related Agreement referred to in the 2005 Purchase
                Agreement (as each may be amended, modified or supplemented from
                time to
                time and/or (iii) any event of default (or similar term) under any
                other
                indebtedness.

            

    

     

    
      	
              2.9

            	
              Change
                in Control.
                

            

    

     

    
      	 	
              (a)

            	
              (i) Any
                person or company (other than the Holder) or any person or company
                acting
                jointly or in concert with any person or company (other than the
                Holder)
                is or becomes the “beneficial owner” (as defined in Rules 13(d)-3 and
                13(d)-5 under the Exchange
                Act),
                directly or indirectly, of 35% or more on a fully diluted basis of
                the
                then outstanding voting equity interest of the Borrower or (ii) the
                Board of Directors of the Borrower shall cease to consist of a majority
                of
                the Board of Directors of the Borrower on the date hereof (or directors
                appointed by a majority of the Board of Directors in effect immediately
                prior to such appointment).

            

    

     

    
      	 	
              (b)

            	
              (i) Any
                person or company (other than the Holder) or any person or company
                acting
                jointly or in concert with any person or company (other than the
                Holder)
                is or becomes the “beneficial owner” (as defined in Rules 13(d)-3 and
                13(d)-5 under the Exchange
                Act),
                directly or indirectly, of 35% or more on a fully diluted basis of
                the
                then outstanding voting equity interest of Iview Holding Corp. or
                (ii) the Board of Directors of the Iview Holding Corp. shall cease to
                consist of a majority of the Board of Directors of Iview Holding
                Corp on
                the date hereof (or directors appointed by a majority of the Board
                of
                Directors in effect immediately prior to such
                appointment).

            

    

     

    
      
        
        

      

      
        -
          4 -

        
          

        

      

      
        
        

      

    

     

    
      	
              2.10

            	
              Default
                Interest Rate.
                Following the occurrence and during the continuance of an Event of
                Default
                and following the expiration of all applicable notice and cure periods
                related thereto, the Borrower shall pay additional interest on this
                Note
                on a monthly basis in an amount equal to eighteen (18%) per annum,
                and all
                outstanding obligations under this Note, including unpaid interest,
                shall
                continue to accrue such additional interest from the date of such
                Event of
                Default until the date such Event of Default is cured or
                waived. 

            

    

     

    
      	
              2.11

            	
              Cumulative
                Remedies.
                The remedies under this Note shall be
                cumulative.

            

    

     

     

    ARTICLE
      III

    MISCELLANEOUS

     

    
      	
              3.1

            	
              Failure
                or Indulgence Not Waiver.
                No failure or delay on the part of the Holder hereof in the exercise
                of
                any power, right or privilege hereunder shall operate as a waiver
                thereof,
                nor shall any single or partial exercise of any such power, right
                or
                privilege preclude other or further exercise thereof or of any other
                right, power or privilege. All rights and remedies existing hereunder
                are
                cumulative to, and not exclusive of, any rights or remedies otherwise
                available.

            

    

     

    
      	
              3.2

            	
              Notices.
                Any notice herein required or permitted to be given shall be in writing
                and provided in accordance with the terms of the Purchase
                Agreement.

            

    

     

    
      	
              3.3

            	
              Amendment
                Provision.
                The term “Note” and all reference thereto, as used throughout this
                instrument, shall mean this instrument as originally executed, or
                if later
                amended or supplemented, then as so amended or supplemented, and
                any
                successor instrument issued pursuant to Section 3.4
                hereof, as it may be amended or
                supplemented.

            

    

     

    
      	
              3.4

            	
              Assignability.
                This Note shall be binding upon the Borrower and its successors and
                assigns, and shall be binding upon and inure to the benefit of the
                Holder
                and its successors and assigns, and may be assigned by the Holder
                in
                accordance with the requirements of the Purchase Agreement. This
                Note
                shall not be assigned by the Borrower without the consent of the
                Holder.

            

    

     

    
      	
              3.5

            	
              Governing
                Law.
                This Note shall be governed by and construed in accordance with the
                laws
                of the State of New York, without regard to principles of conflicts
                of
                laws. Any action brought by either party against the other concerning
                the
                transactions contemplated by this Agreement shall be brought only
                in the
                state courts of New York or in the federal courts located in the
                state of
                New York. Both parties to this Note agree to submit to the jurisdiction
                of
                such courts. The prevailing party shall be entitled to recover from
                the
                other party its reasonable attorney’s fees and costs. In the event that
                any provision of this Note is invalid or unenforceable under any
                applicable statute or rule of law, then such provision shall be deemed
                inoperative to the extent that it may conflict therewith and shall
                be
                deemed modified to conform with such statute or rule of law. Any
                such
                provision which may prove invalid or unenforceable under any law
                shall not
                affect the validity or unenforceability of any other provision of
                this
                Note. Nothing contained herein shall be deemed or operate to preclude
                the
                Holder from bringing suit or taking other legal action against the
                Borrower in any other jurisdiction to collect on the Borrower’s
                obligations to Holder, to realize on any collateral or any other
                security
                for such obligations, or to enforce a judgment or other court in
                favour of
                the Holder.

            

    

     

    
      
        
        

      

      
        -
          5 -

        
          

        

      

      
        
        

      

    

     

    
      	
              3.6

            	
              Maximum
                Payments.
                Nothing contained herein shall be deemed to establish or require
                the
                payment of a rate of interest or other charges in excess of the maximum
                permitted by applicable law. In the event that the rate of interest
                required to be paid or other charges hereunder exceed the maximum
                permitted by such law, any payments in excess of such maximum shall
                be
                credited against amounts owed by the Borrower to the Holder and thus
                refunded to the Borrower.

            

    

     

    
      	
              3.7

            	
              Security
                Interest and Guarantee.
                The Holder has been granted a security interest in certain assets of
                the Borrower and its affiliates as more fully described in certain
                Related
                Agreements (as defined in the Purchase Agreement and the 2005 Purchase
                Agreement). The obligations of the Borrower under this Note are guaranteed
                by certain affiliates of the Borrower pursuant the Amended and Restated
                Guaranty dated as of the date hereof granted by Iview Digital Video
                Solutions Inc., Cancable, Cancable Holding Corp., Cancable, Inc.,
                Iview
                Holding Corp., Borrower, Creative Vistas Acquisition Corp., and A.C.
                Technical Systems Ltd. and the Amended and Restated Guaranty dated
                as of
                the date hereof granted by Brent W. Swanick.

            

    

     

    
      	
              3.8

            	
              Construction.
                Each party acknowledges that its legal counsel participated in the
                preparation of this Note and, therefore, stipulates that the rule
                of
                construction that ambiguities are to be resolved against the drafting
                party shall not be applied in the interpretation of this Note to
                favour
                any party against the other. 

            

    

     

    
      	
              3.9

            	
              Cost
                of Collection.
                If default is made in the payment of this Note, the Borrower shall
                pay to
                Holder reasonable costs of collection, including reasonable attorney’s
                fees. 

            

    

     

     

    
      
        
        

      

      
        -
          6 -

        
          

        

      

      
        
        

      

       

    

    IN
      WITNESS WHEREOF,
      the
      Borrower has caused this Note to be signed in its name effective as of this
      13th day
      of
      February, 2006.

     

    
      	 	 	
              CREATIVE
                VISTAS, INC. (Arizona)

               

            
	 	 	
              By:

            	
              /s/
                DOMINIC BURNS

            
	 	 	 	
              Name:
                Dominic Burns

              Title:
                President

            

    

    

     

    ACKNOWLEDGED
      BY:

     

    
      	 	 	
              IVIEW
                DIGITAL VIDEO SOLUTIONS INC. (Canada)

               

            
	 	 	
              By:

            	
              /s/
                SAYAN NAVARATNAM

            
	 	 	 	
              Name:
                Sayan Navaratnam

              Title:
                President

            

    

    

     

    
      	 	 	
              IVIEW
                HOLDING CORP. (Delaware)

               

            
	 	 	
              By:

            	
              /s/
                DOMINIC BURNS

            
	 	 	 	
              Name:
                Dominic Burns

              Title:
                President

            

    

     

     

    
      	 	 	
              CANCABLE
                INC. (Ontario)

               

            
	 	 	
              By:

            	
              /s/
                HEUNG HUNG LEE

            
	 	 	 	
              Name:
                Heung Hung Lee

              Title:
                Secretary

            

    

    

     

    
      	 	 	
              CANCABLE
                HOLDING CORP. (Delaware)

               

            
	 	 	
              By:

            	
              /s/
                DOMINIC BURNS

            
	 	 	 	
              Name:
                Dominic Burns

              Title:
                President

            

    

     

    
      
        
        

      

      
        -
          7 -

        
          

        

      

      
        
        

      

    

     

    
      	 	 	
              CANCABLE,
                INC. (Nevada)

               

            
	 	 	
              By:

            	
              /s/
                ROSS JEPSON

            
	 	 	 	
              Name:
                Ross Jepson

              Title:
                President and Secretary

            

    

    

     

    
      	 	 	
              CREATIVE
                VISTAS ACQUISITION CORP. (Ontario)

               

            
	 	 	
              By:

            	
              /s/
                SAYAN NAVARATNAM

            
	 	 	 	
              Name:
                Sayan Navaratnam

              Title:
                President and Secretary

            

    

    

     

    
      	 	 	
              A.C.
                TECHNICAL SYSTEMS LTD. (Ontario)

               

            
	 	 	
              By:

            	
              /s/
                DOMINIC BURNS

            
	 	 	 	
              Name:
                Dominic Burns

              Title:
                President and Secretary

            
	 	 	 	 	 

    

     

    
      
        
        

      

      
        -
          8 -

        
          

        

      

      
        
        

      

    

    
 

    SCHEDULE
      “A”

     

    AMORTIZATION
      SCHEDULE

     

    
      	
              Months

            	 	
              Monthly
                Amortization

            
	 	 	 
	
              March
                2007 - February 2009

            	 	
              USD$137,500

            
	 	 	 
	
              Maturity
                Date

            	 	
              USD$4,950,000

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00097-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00097-of-00352.parquet"}]]