Document:

AGREEMENT AND PLAN OF
MEMBERSHIP INTEREST EXCHANGE AND SHARE EXCHANGE

by and between

NORTHPORT
EQUITY TRADING, INC.

a New York Corporation

and

TECHNOLOGY
SOLUTIONS INTERNATIONAL, L.L.C.

a Colorado Limited Liability Company

effective as of July     , 1999

AGREEMENT AND
PLAN OF MEMBERSHIP INTEREST EXCHANGE AND SHARE EXCHANGE

     THIS AGREEMENT AND PLAN
OF MEMBERSHIP EXCHANGE AND SHARE EXCHANGE, made and entered into this 20th day of August, 1999, by and
between Northport Equity Trading, Inc., a New York corporation with its principal place of business located at 40 Exchange Place,
Suite 1601, New York, New York 10005-2701 ("NET"), and Technology Solutions International, LLC, a Colorado Limited Liability Company
with its principal place of business located at 600 17th Street, Suite 2008-S, Denver, Colorado 80202 ("TSI").

Premises

     A.     This Agreement
provides for the purchase of 50% of the issued and outstanding membership interests of TSI by NET and
in connection therewith, the issuance of 133,000 shares of common stock of NET to the TSI members as\
listed on Exhibit "A."

     B.     The boards of directors of NET and the Manager of TSI have determined, subject to the terms and conditions set forth
in this Agreement, that the exchange contemplated hereby is desirable and in the best interests of their stockholders and members,
respectively. This Agreement is being entered into for the purpose of setting forth the terms and conditions of the merger.

Agreement

NOW, THEREFORE, on the stated premises and for and in consideration of the mutual covenants and agreements hereinafter set
forth and the mutual benefits to the parties to be derived herefrom, it is hereby agreed as follows:

REPRESENTATIONS,
COVENANTS AND WARRANTIES OF NET

As an inducement
to and to obtain the reliance of TSI, NET represents and warrants as follows: 

     Section 1.1     Organization. NET is a corporation duly organized, validly existing, and in good standing under the
laws of New York and has the corporate power and is duly authorized, qualified, franchised and licensed under all applicable laws,
regulations, ordinances and orders of public authorities to own all of its properties and assets and to carry on its business in all
material respects as it is now being conducted, including qualification to do business as a foreign corporation in the jurisdiction
in which the character and location of the assets owned by it or the nature of the business transacted by it requires qualification.
Included in the NET Schedules (as hereinafter defined) are complete and correct copies of the articles of incorporation, bylaws and
amendments thereto of NET as in effect on the date hereof. The execution and delivery of this Agreement does not and the
consummation of the transactions contemplated by this Agreement in accordance with the terms hereof will not violate any provision of
NET's articles of incorporation or bylaws. NET has full power, authority and legal right and has taken all action required by law,
its articles of incorporation, its bylaws or otherwise to authorize the execution and delivery of this Agreement.

     Section 1.2     Capitalization. The authorized capitalization of NET consists of 15,000,000 Common Shares, $0.001 par
value per share, and 5,000,000 Preferred Shares, $0.001 par value per share. As of the Closing date hereof, NET will have no more
than 8,760,000 common shares issued and outstanding. As of the Closing Date hereof, no shares of Preferred Stock will be issued or
outstanding. All issued and outstanding shares are legally issued, fully paid and nonassessable and are not issued in violation of
the preemptive or other rights of any person.

     Section 1.3     Subsidiaries
and Predecessor Corporations. NET does not have any other subsidiaries and does not own,
beneficially or of record, any shares of any other corporation.

     Section 1.4     Options and Warrants.
 There are no existing options, warrants, calls or commitments of any character
to which NET is a party and by which it is bound.

     Section 1.5     Tax
Matters; Books & Records; Financial Statements.

	 	(a)	
The books and records, financial and others, of NET are in all material respects complete and correct
and have been maintained in accordance with good business accounting practices;
	 	 	 
	 	(b)	
Except in the ordinary course of business, NET has no outstanding liabilities with respect to the payment of any
federal, state, county, local or other taxes (including any deficiences, interest of penalities);
	 	 	 
	 	(c)	
Financial Statements.  Subject to Section 1.19, NET has delivered or will deliver to TSI the following statements:
unaudited financial statements for the period January 1, 1999 through and including July 31, 1999,
and unaudited financial statements for the period July 10, 1998 (date of inception) to December 31, 1998,
including a balance sheet, statement of shareholder's equity and an income statement.  The
Financial Statements are complete and correct in all material respects and have been prepared in accordance with generally
acceptable accounting principles applied on a consistent basis throughout the periods indicated and with
each other, except that the unaudited Financial Statements may not contain all footnotes required
by generally accepted accounting principles.
	 	 	 

     Section 1.6     Information.   
The information concerning NET as set forth in this Agreement and in the NET schedules is complete
and accurate in all material respects and does not contain any untrue statement of a material fact or omit to state a material fact
required to make the statements made, in light of the circumstances under which they were made, not misleading.

     Section 1.7     Absence
of Certain Changes or Events.   Except as described herein or in the NET Schedules, since December 31, 1998:

	 	(a)	
NET has not:     (i) amended its certificate of incorporation, except for an
amendment to increase the number of its authorized shares of capital stock; (ii) waived any
rights of value which in the aggregate are extraordinary or material considering the business
of NET; (iii) made any material change in its method of management, operation or accounting;
or (iv) made any accural or arrangement for or payment of bonuses or special
compensation of any kind or any severance or termination pay to any present or former officer
or employee.
	 	 	 
	 	(b)	
NET has not: (i) granted or agreed to grant any options, warrants or other rights
for its certificates, bonds or other corporate securities calling for the issuance thereof, which
option, warrant or other right has not been cancelled as of the Closing Date; (ii) borrowed or
agreed to borrow any funds or incurred or become subject to, any material obligation or
liability, (absolute or contingent) except liabikities incurred in the ordinary course of business; and
	 	 	 
	 	(c)	
to the best knowledge of NET, it has not become subject to any law or regulation
which mterially and dversely affects, or in the future may adverely affect, the business,
operations, properties, assets or condition of NET.
	 	 	 

     Section 1.8     Title
and Related Matters.  NET has good and marketable title to and is the sole
and exclusive owner of all of its properties, inventory, interests in properties and assets, real and
personal (collectively, the "Assets") which are reflected in the most recent NET unaudited balance sheet
and the NET Schedules or acquired after that date (except properties, interests in properties and assets
sold or otherwise disposed of since such date in the ordinary vcourse of business), free and clear of all
liens, pledges, changes or encumbrances.  Except as set forth in the NET  Schedules, NET owns free
and clear of any liens, claims, encumbrances, royalty interests or other restrictions or limittions of any
nature whatsoever and all procedures, techniques, marketing plans, business plans, methods of
management or other information utilized in connection with NET's business.  Except as set forth in the
NET Schedules, no third party has any right to, and NET has not received any notice of infrigement of
or conflict with asserted rights of others with respect to any product, technology, data, trade secrets,
know-how, proprietary techniques, trademarks, service marks, trade names or copyrights which, singly
or in the aggregate, if the subject of an unfavorable decision, ruling or finding, would have a materially
adverse affect on the business, operations, financial conditions or income of NET or any material portion
of its properties, assets or rights.

     Section 1.9     Litigation and Proceedings.
To the best of NET's knowledge and belief, there are no actions, suits,
proceedings or investigations pending or threatened by or against NET or affecting NET or its properties, at law or in equity, before
any court or other governmental agency or instrumentality, domestic or foreign or before any arbitrator of any kind that would have a
material adverse affect on the business, operations, financial condition or income of NET. NET does not have any knowledge of any
default on its part with respect to any judgment, order, writ, injunction, decree, award, rule or regulation of any court, arbitrator
or governmental agency or instrumentality or of any circumstances which, after reasonable investigation, would result in the
discovery of such a default.

     Section 1.10     Contracts.
On the Closing Date, except as discloszed in the NET Schedules:

	 	(a)	
There are no material contracts, agreements, franchises, license agreement, or
other commitments to which NET is a party or by which it or any of its properties are bound;
	 	 	 
	 	(b)	
NET is not a party to any contract, agreement, commitment or instrument or
subject tio any charter or other corporate restriction or any judgment, order, writ, injunction,
decree or award which materiallt and adversely affects, or in the future may (as far as NET
can now foresee) materially and adversely affect, the business, operations, properties, assets
or conditions of NET; and
	 	 	 
	 	(c)	
NET is not a party to any material oral written: (i) contract for the employment
of any officer or employee; (ii) profit sharing, bonus, deferred compensation, stock option
severence pay, pension, benefit or retirement plan, agreement or arrangement covered by
Title IV of the Employee Retirement Income Security Act, as amended; (iii) agreement,
contract or indenture relating to the borrowing of money; (iv) guarnty of any obigation for the
borrowing of maney or otherwise, excluding endorsements made for collection and other
guaranties of obligations, which, in the aggregate exceeds $1,000; (v) consulting or other
similar contract with an unexpired term of more than one year or providing for payments in excess
of $10,000 in the aggregate; (vi) collective bargaining agreement; (vii) there in no
agreement with any present or former officer or director of NET; or (viii) any contract,
agreement, or other commitment involving payments by it for more than $10,000 in the
aggregate.
	 	 	 

     Section 1.11     No Conflict With Other Instruments.
The execution of this Agreement and the consummation of the transactions
contemplated by this Agreement will not result in the breach of any term or provision of, or constitute an event of default under,
any material indenture, mortgage, deed of trust or other material contract, agreement or instrument to which NET is a party or to
which any of its properties or operations are subject.

     Section 1.12     Material Contract Defaults.
To the best of NET's knowledge and belief, NET is not in default in any
material respect under the terms of any outstanding contract, agreement, lease or other commitment which is material to the business,
operations, properties, assets or condition of NET, and there is no event of default in any material respect under any such contract,
agreement, lease or other commitment in respect of which NET has not taken adequate steps to prevent such a default from occurring.

     Section 1.13     Governmental Authorizations.
 To the best of NET's knowledge, NET has all licenses, franchises,
permits or other governmental authorizations legally required to enable NET to conduct its business in all material respects as
conducted on the date hereof. Except for compliance with federal and state securities and corporation laws, as hereinafter provided,
no authorization, approval, consent or order of, or registration, declaration or filing with, any court or other governmental body is
required in connection with the execution and delivery by NET of this Agreement and the consummation of NET of the transactions
contemplated hereby.

     Section 1.14     Compliance
With Laws and Regulations>
To the best of NET's knowledge and belief, NET has complied with all applicable statutes and regulations of any federal, state or other
governmental entity or agency thereof, except to the extent that noncompliance would not materially and
adversely affect the business; operations, properties, assets or condition of NET or would not result
in NETS's incurring any material liability.

     Section 1.15     Insurance.
NET currently maintains no insurance on any of its properties.

     Section 1.16     Approval of Agreement
The holders of a majority of NET's voting and outstanding equity securities of NET have authorized the execution and delivery of the
Agreement by NET and have approved the transactions contemplated hereby.

     Section 1.17     Material
Transactions or Affiliations.As of the Closing Date, there will exist no
material contract, agreement or arrangement between NET and any person who was at the time of such
contract, agreement or arrangement an officer, director or person owning or record, or known by NET to
own beneficially, ten percent (10%) or more of hte issued and outstanding securities of NET and which
is to be performed in whole or in part after the date hereof.  NET hsa no commitment, whether written or
oral, to lend any funds to, borrow any money from or enter into any other material transactions with, any
such affiliated person.

     Section 1.18     Labor Relations.
NET has never had a material work stoppage resulting from
labor problems.

     Section 1.19     NET Schedules
UPon execution hereof, NET shall deliver to TSI the following
schedules, which are collectively referred to as the "NET Schedules" which are dated the date of this Agreement,
all certified by an officer of NET to be complete, true and accurate:

	 	(a)	
complete and correct copies of the certificate of incorporation and bylaws of NET as in effect as of the
date of this Agreement
	 	 	 
	 	(b)	
copies of all financial statements of NET identified in Section 1.5(c), except that NET shall deliver
to TSI prior to the Closing Date copies of all such financial statements in form and content acceptable to TSI;
	 	(c)	
the description of any material adverse change in the business, operations,
property, assets, or condition of NET since June 30, 1999 required to be provided pursuant to
Section 1.6; and
	 	 	 
	 	(d)	
any other informatsion, together with any required copies of documents, required to be disclosed in the
NET Schedules by Sections 1.1 through 1.19.
	 	 	 

ARTICLE II

REPRESENTATIONS,
COVENANTS AND WARRANTIES OF TSI

     As an inducement to, and to obtain the reliance
of NET, TSI represents and warrants as follows:

     Section 2.1     Organization. TSI is a limited liability company duly organized, validly existing and in good standing
under the laws of the State of Colorado and has the corporate power and is duly authorized, qualified, franchised and licensed under
all applicable laws, regulations, ordinances and orders of public authorities to own all of its properties and assets and to carry on
its business in all material respects as it is now being conducted, including qualification to do business as a foreign entity in the
states in which the character and location of the assets owned by it or the nature of the business transacted by it requires
qualification. Included in the TSI Schedules (as hereinafter defined) are complete and correct copies of the certificate of
formation, amended certificate of formation of, if any (collectively, hereinafter referred to as the "certificate of formation") and
operating agreement and amendments thereto of TSI as in effect on the date hereof. The execution and delivery of this Agreement does
not and the consummation of the transactions contemplated by this Agreement in accordance with the terms hereof will not, violate any
provision of TSI's certificate of formation or operating agreement. TSI has taken all action required by law, it certificate of
formation, its operating agreement or otherwise to authorize the execution and delivery of this Agreement. TSI has full power,
authority and legal right and has taken all action required by law, its certificate of formation, operating agreement or otherwise
to consummate the transactions herein contemplated.

     Section 2.2     Capitalization.
The authorized capitalization of TSI consists of 1000 member units ("Member Units").  As of the date hereof there
are 9 Member Units issued and outstanding to the following: Matthew Walsh, Thomas Daley and William Connelly (the "Founders").
As of the Closing Date, as defined herein, (i) there will be no more than nine (9) Member Certificates issued and outstanding
held by the Founders; and (ii) there will be no other Member Units issued and outstanding except for the issuance of Member
Units to NET pursuant to this Agreement.  All issued and outstanding TSI Member Certificates have been
legally issued, fully paid and are nonassessable.

     Section 2.3     Subsidiaries.
TSI has no subsidiary companies.

     Section 2.4     Tax Matters;
Books & Records

	 	(a)	
The books and  records,  financial  and others,  of TSI are in all material  respects  complete and
correct and have been maintained in accordance with good business accounting practices;
	 	 	 
	 	(b)	
TSI has no liabilities with respect to the payment of any federal, state, county, local or other taxes
(including any deficiencies, interest or penalties);
	 	 	 
	 	(c)	
FInancial Statements.   TSI has delivered to NET the following statements:
unaudited financial statements for the period January 1, 1999 through and incuding July 31, 1999,
and unaudited financial statements for the year ended December 31, 1998, including a
balance sheet (inckuding a statement of shareholders' equity) and an income statement.  The
Financial Statements are complete and correct in all material respects and have been prepared
in accordance with generally acceptable accounting principles applied on a consistent basis
throughout the periods indicated and with each other, except that the unaudited Financial
Statements may not contain all footnotes required by generally accepted accounting principles.

     Section 2.5      Information.
The  information  concerning TSI as set forth in this Agreement and in the TSI Schedules is
complete  and  accurate  in all  material  respects  and does not contain any untrue  statement  of a material  fact or omit to state a
material fact required to make the statements made, in light of the circumstances under which they were made, not misleading.

     Section 2.6     Absence
of Certain Changes or Events. Except as described herein or in the TSI Schedules, since
December 31, 1998:

	 	(a)
TSI has not: (i) amended its certificate of formation or operating agreement (the "Operating Agreement"),
except for the Amendment for the Operating Agreement dated as of the date of this Agreement;
(ii) waived any rights of value which in the aggregate are extraordinary or
material considering the business of TSI; (iii) made any material change in its
method of management, operation or accounting; or (iv) made any accrual or
arrangement for or payment of bonuses or special compensation of any kind or any
severance or termination pay to any present or former officer or employee. 

	 	(b)
TSI has not: (i) granted or agreed to grant any options, warrants or other
rights for its certificates, bonds or other corporate securities calling for the
issuance thereof, which option, warrant or other right has not been cancelled as
of the Closing Date; (ii) borrowed or agreed to borrow any funds or incurred or
become subject to, any material obligation or liability (absolute or contingent)
except liabilities incurred in the ordinary course of business; and 

	 	(c)
to the best knowledge of TSI, it has not become subject to any law or regulation
which materially and adversely affects, or in the future may adversely affect,
the business, operations, properties, assets or condition of TSI. 

     Section 2.7     Title
and Related Matters.TSI has good and marketable title to and is the sole and exclusive owner of all
of its properties, inventory, interests in properties and assets, real and personal (collectively, the "Assets") which are reflected
in the most recent TSI audited balance sheet and the TSI Schedules or acquired after that date (except properties, interests in
properties and assets sold or otherwise disposed of since such date in the ordinary course of business), free and clear of all liens,
pledges, changes or encumbrances. Except as set forth in the TSI Schedules, TSI owns free and clear of any liens, claims,
encumbrances, royalty interests or other restrictions or limitations of any nature whatsoever and all procedures, techniques,
marketing plans, business plans, methods of management or other information utilized in connection with TSI's business. Except as
set forth in the TSI Schedules, no third party has any right to, and TSI had not received any notice of infringement of or conflict
with asserted rights of others with respect to any product, technology, data, trade secrets, know-how, proprietary techniques,
trademarks, service marks, trade names or copyrights which, singly or in the aggregate, if the subject of an unfavorable decision,
ruling or finding, would have a materially adverse affect on the business, operations, financial conditions or income of TSI or any
material portion of its properties, assets or rights.

     Section 2.8     Litigation and Proceedings. Except for possible litigation involving William Zeitz, there are no
actions, suits or proceedings pending or, to the best of TSI's knowledge and belief, threatened by or against or affecting TSI, at
law or in equity, before any court or other governmental agency or instrumentality, domestic or foreign or before any arbitrator of
any kind that would have a material adverse effect on the business, operations, financial condition, income or business prospects of
TSI. TSI does not have any knowledge of any default on its part with respect to any judgement, order, writ, injunction, decree,
award, rule or regulation of any court, arbitrator or governmental agency or instrumentality.

     Section 2.9 Contracts. On the Closing Date:

		(a)	There are no material contracts,
agreements,  franchises, license agreements, or other commitments to which
TSI is a party or by which it or any of its properties are bound;
	 	 	 
		(b)	TSI is not a party to any contract, agreement, commitment or instrument or
subject to any charter or other corporate restriction or any judgment, order,
writ, injunction, decree or award which materially and adversely affects, or in
the future may (as far as TSI can now foresee) materially and adversely affect,
the business, operations, properties, assets or conditions of TSI; and
	 	 	 
		(c)	TSI is not a party to any material oral or written: (i) contract for the
employment of any officer or employee; (ii) profit sharing, bonus, deferred
compensation, stock option, severance pay, pension, benefit or retirement plan,
agreement or arrangement covered by Title IV of the Employee Retirement Income
Security Act, as amended; (iii) agreement, contract or indenture relating to the
borrowing of money; (iv) guaranty of any obligation for the borrowing of money
or otherwise, excluding endorsements made for collection and other guaranties of
obligations, which, in the aggregate exceeds $1,000; (v) consulting or other
similar contract with an unexpired term of more than one year or providing for
payments in excess of $10,000 in the aggregate; (vi) collective bargaining
agreement; (vii) Except for the first Amendment to Operating Agreement with
Gerard Magliocca and a Verbal Agreement with Bridgeway Sicor, Inc., there is no
agreement with any present or former officer or director of TSI; or (viii)
contract, agreement, or other commitment involving payments by it for more than
$10,000 in the aggregate. 

     Section 2.10     No Conflict
With Other Instruments.The execution of this Agreement and the  consummation of the transactions
contemplated  by this  Agreement  will not result in the breach of any term or provision of, or  constitute an event of default  under,
any material  indenture,  mortgage,  deed of trust or other  material  contract,  agreement or instrument to which TSI is a party or to
which any of its properties or operations are subject.

     Section 2.11     Material
Contract Defaults.To the best of TSI's  knowledge and belief,  TSI is not in default in any
material respect under the terms of any outstanding contract,  agreement,  lease or other commitment which is material to the business,
operations,  properties,  assets or condition of TSI, and there is no event of default in any material respect under any such contract,
agreement, lease or other commitment in respect of which TSI has not taken adequate steps to prevent such a default from occurring.

     Section 2.12     Governmental
Authorizations.To the best of TSI's knowledge, TSI has all licenses,  franchises permits
and other  governmental  authorizations  that are legally  required to enable it to conduct its  business  operations  in all  material
respects  as  conducted  on the date  hereof.  Except for  compliance  with  federal  and state  securities  or  corporation  laws,  no
authorization,  approval,  consent or order of, or registration,  declaration or filing with, any court or other  governmental  body is
required in connection with the execution and delivery by TSI of the transactions contemplated hereby.

     Section 2.13     Compliance
With Laws and Regulations.To the best of TSI's  knowledge  and  belief,  TSI has  complied
with all applicable  statutes and  regulations of any federal,  state or other  governmental  entity or agency  thereof,  except to the
extent that noncompliance would not materially and adversely affect the business;  operations,  properties,  assets or condition of TSI
or would not result in TSI's incurring any material liability.

     Section 2.14     Insurance.
All of the insurable  properties  of TSI are insured for TSI's  benefit in accordance  with
the  insurance  policies  disclosed  in the TSI  Schedules  under valid and  enforceable  policy or policies  containing  substantially
equivalent coverage will be outstanding and in full force at the Closing Date.

     Section 2.15     Approval
of Agreement.The  holders of a majority  of the  Membership  Interests  of TSI have  authorized
the execution and delivery of the Agreement by TSI and have approved the transactions contemplated hereby.

     Section 2.16     Material
Transactions or Affiliations.As of the Closing Date,  there will exist no material  contract,
agreement  or  arrangement  between  TSI and any person who was at the time of such  contract,  agreement  or  arrangement  an officer,
director or person  owning of record,  or known by TSI to own  beneficially,  ten percent  (10%) or more of the issued and  outstanding
Membership  Interests of TSI and which is to be performed in whole or in part after the date  hereof.  TSI has no  commitment,  whether
written or oral, to lend any funds to, borrow any money from or enter into any other material  transactions  with, any such  affiliated
person.

     Section 2.17     Labor
Relations. TSI has never had a work stoppage resulting from labor problems.

     Section 2.18     TSI
Schedules.Upon  execution  hereof,  TSI  shall  deliver  to NET the  following  schedules,  which are
collectively  referred to as the "TSI Schedules"  which are dated the date of this Agreement,  all certified by an officer of TSI to be
complete, true and accurate:

     (a)
     complete and correct copies of the  certificate of formation and operating  agreement of TSI as in effect as
of the date of this Agreement;

     (b)
     copies of all financial statements of TSI identified in Section 2.4 (a);

     (c)
     the description of any material adverse change in the business, operations,
property, assets, or condition of TSI since November 14, 1997 required to be
provided pursuant to Section 2.5; and 

     (d)
     any other information, together with any required copies of documents, required
to be disclosed in the TSI Schedules by Sections 2.1 through 2.17. 

TSI shall cause the TSI Schedules and the instruments to be delivered to NET hereunder to be updated after the date hereof
up to and including the Closing Date.

ARTICLE III

EXCHANGE
PROCEDURE

     Section 3.1     Share Exchange/
Delivery of TSI Securities. On the Closing Date, and subject to this Article III and Section 3.2 below,
each of the Founders shall: (i) cause TSI to issue to NET three (3) Member Units either through
an amendment tro the Operating Agreement or the issuance of Member UNit certificates; and (ii) transfer from each of the Founders
one (1) Member Unit each (for a total of three (3) Member Units), either through an amendment to the Operating Agreement
or the delivery of certificates for the Member Units, duly endorsed in blank or with executed power attached thereto in
transferable form.  Upon the completion of the transactions referred to in this Article III, NET shall own
fifty percent (50%) of the issued and outstanding Member Units of TSI.

     Section 3.2     
Issuance of NET Common Shares and Payment of Purchase Price. On the Closing Date, in exchange for 50% of the
issued and outstanding TSI Member
Units issued and tendered pursuant to Section 3.1, NET shall pay the sum of $1,050,000 as follows:

(i)     in exchnage
for the three (3) Member Units issued by TSI pursuant to Section 3.1(i), NET shall pay the amount of
$525,000 payable in cash to TSI as follows: (a) $100,000 payable on the execution of this Agreement (such funds
shall be used by TSI’s members to repay the existing debt that was
originally used to finance the initial stages of TSI’s software
development and after payment of such debtr, any remaining amount shall be payable in equal amounts to the Founders);
(b) up to a maximum of $425,000 to be paid during the remainder of
the TradeAnywhereTM software development stage for actual expenses incurred by TSI
in such development (such funds will be paid directly to third party vendors or outside programmers,
on behalf of TSI, for products and/or services used for the TradeAnywhereTM software development
and will not be used to otherwise compensate the Founders, except as provided below).
For purpoases hereof, the TradeAnywhereTM software development shall be deemed to be completed upon
the earlier of the (i) completion of software pursuant to the written requirements for
such software attached as Schedule 3.2; or (ii) the use of such software in actual
production or commercial purposaes by any person or entity (either, the
"Completion of Development").  NET and the FOunders agree to take all
necessary actions to casue TSI to pay, or for NET to pay directly, any amount of
the $425,000 that is not used to pay third parties to be immediately payable in equal
amounts to the Founders upon Completion of Development.

(ii)     in exchnage
for the Founders transferring the total of three (3) Member Units held by them pursuant to Section 3.1(ii),
NET shall issue and deliver 133,000
“restricted as defined in Section 4.2 below) NET common Shares to the Founders and in the
amount listed on Schedule "A" upon COmpletion of Development.  TSI and NET agree for this agreement
that these shares will be valued at $3.9474 per share.

(c)      NET hereby grants the
Founders listed on Schedule “A”, each the option to purchase up to
50,000 additional (restricted, as defined in Section 4.2 below) common shares of NET (maximum of
150,000 common shares in the aggregate) at an exercise price of $2.75 per common
share for a period of 6 months from the date of this Agreement. After such 6
month period, the options shall expire. 

     Section 3.3     
Events Prior to Closing. Upon execution hereof or as soon thereafter as practical, management of TSI and
NET shall execute, acknowledge and deliver (or shall cause to be executed, acknowledged and delivered) any and all certificates,
opinions, financial statements, schedules, agreements, resolutions rulings or other instruments required by this Agreement to be so
delivered, together with such other items as may be reasonably requested by the parties hereto and their respective legal counsel in
order to effectuate or evidence the transactions contemplated hereby, subject only to the conditions to Closing referenced
hereinbelow.

     Section 3.4     
Closing. The closing ("Closing") of the transactions contemplated by this Agreement shall be
on August 20, 1999 ("Closing Date").

     Section 3.5     Termination.

	 	        (a)
This Agreement may be terminated by the board of directors, or majority interest
of Members of either NET or TSI, respectively, at any time prior to the Closing
date if: 

	 	        (i)
there shall be any action or proceeding before any court or any governmental
body which shall seek to restrain, prohibit or invalidate the transactions
contemplated by this Agreement and which, in the judgement of such board of
directors, made in good faith and based on the advice of its legal counsel,
makes it inadvisable to proceed with the exchange contemplated by this
Agreement; or 

	 	        (ii)
any of the transactions contemplated hereby are disapproved by any regulatory
authority whose approval is required to consummate such transactions. 

     In the event of termination pursuant to this paragraph (a) of this Section 3.5, no obligation, right, or liability shall
arise hereunder and each party shall bear all of the expenses incurred by it in connection with the negotiation, drafting and
execution of this Agreement and the transactions herein contemplated;

	 	        (b)
This Agreement may be terminated at any time prior to the Closing Dated by
action of the board of directors of NET if TSI shall fail to comply in any
material respect with any of its covenants or agreements contained in this
Agreement or if any of the representations or warranties of TSI contained herein
shall be inaccurate in any material respect, which noncompliance or inaccuracy
is not cured after 20 days written notice thereof is given to TSI. If this
Agreement is terminated pursuant to this paragraph (b) of this Section 3.5, this
Agreement shall be of no further force or effect and no obligation, right or
liability shall arise hereunder. 

ARTICLE IV

SPECIAL
COVENANTS

     Section 4.1     
Access to Properties and Records. Prior to closing, TSI and NET will each afford to the officers and
authorized representatives of the other full access to the properties, books and records of TSI and NET, as the case may be, in order
that each may have full opportunity to make such reasonable investigation as it shall desire to make of the affairs of the other and
each will furnish the other with such additional financial and operating data and other information as to the business and properties
of TSI and NET, as the case may be, as the other shall from time to time reasonably request.

     Section 4.2     
Availability of Rule 144. Each of the parties acknowledge that the stock of NET to be issued pursuant to
this Agreement will be "restricted securities, " as that term is defined in Rule 144 promulgated pursuant to the Securities Act. NET
is under no obligation to register such shares under the Securities Act, or otherwise. The stockholders of NET holding restricted
securities of NET as of the date of this Agreement and their respective heirs, administrators, personal representatives, successors
and assigns, are intended third party beneficiaries of the provisions set forth herein. The covenants set forth in this Section 4.2
shall survive the Closing and the consummation of the transactions herein contemplated.

     Section 4.3     
Special Covenants and Representations Regarding the NET Common Shares to be Issued in the Exchange.
The consummation of this Agreement, including the issuance of the NET Common Shares to the Members of TSI as contemplated hereby,
constitutes the offer and sale of securities under the Securities Act, and applicable state statutes. Such transaction shall be
consummated in reliance on exemptions from the registration and prospectus delivery requirements of such statutes which depend, inter
alia, upon the circumstances under which the TSI Members acquire such securities.

      Section 4.4     
Third Party Consents. TSI and NET agree to cooperate with each other in order to obtain any required
third party consents to this Agreement and the transactions herein contemplated.

     Section 4.5     
Actions Prior and Subsequent to Closing.

     (a)     
From and after the date of this Agreement until the Closing Date and except as
set forth in the TSI Schedules or as permitted or contemplated by this
Agreement, TSI will each use its best efforts to: 

	 	(i)	
carry on its business in substantially the same manner as it has heretofore;
	 	(ii)	
maintain and keep its properties in states of good repair and condition as at present, except for
depreciation due to ordinary wear and tear and damage due to casualty;
	 	(iii)	
maintain in full force and effect insurance comparable in amount and in scope of coverage to that now
maintained by it;
	 	(iv)	
perform in all material respects all of its obligations under material contracts, leases and instruments
relating to or affecting its assets, properties and business;
	 	(v)	
maintain and preserve its business organization intact, to retain its key employees and to maintain its
relationship with its material suppliers and customers; and
	 	(vi)	
fully comply with and perform in all material respects all obligations and
duties imposed on it by all federal and state laws and all rules, regulations
and orders imposed by federal or state governmental authorities. 

     (b)     From
and after the date of this Agreement until the Closing Date, TSI will not, without the prior consent of NET:

	 	(i)	except as otherwise specifically set forth herein, make any change in its membership certificates,
certificate of formation or operating agreement;
	 	(ii)	
declare or pay any dividend on its outstanding Membership Certificates, except
as may otherwise be required by law, or effect any stock split or otherwise
change its capitalization, except as provided herein; 
	 	(iii)	
enter into or amend any employment, severance or similar agreements or arrangements with any directors or
officers;
	 	(iv)	
grant, confer or award any options, warrants, conversion rights or other rights not existing on the date
hereof to acquire any Membership Shares; or
	 	(v)	
purchase or redeem any Membership Shares.

     (c)     
This transaction shall close on the Closing Date. However, the finalization of
this transaction and filing documents to effectuate this transaction shall
remain in escrow pending the following: 

	 	(i)	(A) TSI delivering to NET the three (3)
Member Units, pursuant to Section 3.1(i); and (B) the Founders transferring the three (3) Member Units held by
them, pursuant to Section 3.1(ii), with the result that at the conclusion of such transactions,
NET shall own fifty percent (50%) of the issued and outstanding Member Units of TSI;

	 	(ii)	Receipt by NET’s legal counsel
of an opinion letter from TSI’s legal
counsel in form and substance as set forth in Section 6.4 hereof.

     Section 4.6     
Indemnification.

	 	        (a)
TSI hereby agrees to indemnify NET and each of the officers, agents and
directors of NET as of the date of execution of this Agreement against any loss,
liability, claim, damage or expense (including, but not limited to, any and all
expense whatsoever reasonably incurred in investigating, preparing or defending
against and litigation, commenced or threatened or any claim whatsoever), to
which it or they may become subject arising out of or based on any inaccuracy
appearing in or misrepresentation made in this Agreement. The indemnification
provided for in this paragraph shall survive the Closing and consummation of the
transactions contemplated hereby and termination of this Agreement; and 

	 	        (b)
NET hereby agrees to indemnify TSI and each of the officers, agents, directors
and current Members of TSI as of the Closing Date against any loss, liability,
claim, damage or expense (including, but not limited to, any and all expense
whatsoever reasonably incurred in investigating, preparing or defending against
any litigation, commenced or threatened or any claim whatsoever), to which it or
they may become subject arising out of or based on any inaccuracy appearing in
or misrepresentation made in this Agreement and particularly the representation
regarding no liabilities referred to in Section 2.4 (b). The indemnification
provided for in this Section shall survive the Closing and consummation of the
transactions contemplated hereby and termination of this Agreement. 

ARTICLE V

CONDITIONS
PRECEDENT TO OBLIGATIONS OF NET

     The obligations of NET under this Agreement are subject to the satisfaction, at or before the Closing Date, of the following
conditions:

     Section 5.1     Accuracy
of Representations. The representations and warranties made by TSI in this Agreement were
true when made and shall be true at the Closing Date with the same force and effect as if such representations and warranties were
made at the Closing Date (except for changes therein permitted by this Agreement), and TSI shall have performed or compiled with all
covenants and conditions required by this Agreement to be performed or complied with by TSI prior to or at the Closing. NET shall be
furnished with a certificate, signed by a duly authorized officer of TSI and dated the Closing Date, to the foregoing effect.

     Section 5.2     
Member Approval. A majority of the Membership Interests of TSI shall have approved this Agreement and the
transactions contemplated herein.

     Section 5.3     
Manager's Certificate. NET shall have been furnished with a certificate dated the Closing Date and
signed by the Manager of TSI to the effect that: (a) the representations and warranties of TSI set forth in the Agreement and in
all Exhibits, Schedules and other documents furnished in connection herewith are in all material respects true and correct as if made
on the Effective Date; (b) TSI has performed all covenants, satisfied all conditions, and complied with all other terms and
provisions of this Agreement to be performed, satisfied or complied with by it as of the Effective Date; (c) since such date and
other than as previously disclosed to NET, TSI has not entered into any material transaction other than transactions which are usual
and in the ordinary course if its business; and (d) no litigation, proceeding,
investigation or inquiry is pending or, to the best knowledge of TSI, threatened, which might result in an action to enjoin or
prevent the consummation of the transactions contemplated by this Agreement or, to the extent not disclosed in the TSI Schedules, by
or against TSI which might result in any material adverse change in any of the assets, properties, business or operations of TSI.

     Section 5.4     
No Material Adverse Change. Prior to the Closing Date, there shall not have occurred any material
adverse change in the financial condition, business or operations of nor shall any event have occurred which, with the lapse of time
or the giving of notice, may cause or create any material adverse change in the financial condition, business or operations or TSI.

     Section 5.5     
Opinion of Counsel to TSI.NET shall receive an opinion dated the Closing date of counsel to TSI, in
substantially the following form:

	 	        (a)
TSI is a limited liability company duly organized, validly existing, and in good
standing under the laws of Colorado and has the corporate power and is duly
authorized, qualified, franchised and licensed under all material applicable
laws, regulations, ordinances and orders of public authorities to own all of its
properties and assets and to conduct its business as now conducted, including
qualification to do business as a foreign corporation in the states in which the
character and location of the assets owned by it or the nature of the business
transacted by it requires qualifications; 

	 	        (b)
To the best knowledge of such legal counsel, the execution and delivery by TSI
of this Agreement and the consummation of the transactions contemplated by this
Agreement in accordance with the terms hereof will not conflict with or result
in the breach of any tern or provision of TSI’s certificate of formation or
operating agreement or violate any court order, writ, injunction or decree
applicable to TSI, or its properties or assets; 

	 	        (c)
All issued and outstanding Membership Certificates are legally issued, fully
paid and nonassessable. Except as set forth in the TSI Schedules, to the best
knowledge of such legal counsel, there are no outstanding subscriptions,
options, rights, warrants, convertible securities or other agreements or
commitments obligating TSI to issue any additional Membership Certificates. 

	 	        
(d) This Agreement has been duly and validly authorized, executed and delivered by TSI;

	 	        (e)
To the best knowledge of such legal counsel, except as set forth in the TSI
Schedules, there are no actions, suits or proceedings pending or threatened by
or against or affecting TSI or its properties, at laws or in equity, before any
court or other governmental agency or instrumentality, domestic or foreign or
before any arbitrator of any kind; 

     Section 5.6     
Other Items. NET shall have received such further documents, certificates or instruments relating to
the transactions contemplated hereby as NET may reasonably request.

ARTICLE VI

CONDITIONS
PRECEDENT TO OBLIGATIONS OF TSI

     The obligations of TSI
under this Agreement are subject to the satisfaction, at or before the Closing date (unless otherwise
indicated herein), of the following conditions:

     Section 6.1     
Accuracy of Representations. The representations and warranties made by NET in this Agreement were
true when made and shall be true as of the Closing Date (except for changes therein permitted by this Agreement) with the same force
and effect as if such representations and warranties were made at and as of the Closing Date, and NET shall have performed and
complied with all covenants and conditions required by this Agreement to be performed or complied with by NET prior to or at the
Closing. TSI shall have been furnished with a certificate, signed by a duly authorized executive officer of NET and dated the
Closing Date, to the foregoing effect.

     Section 6.2     
Officer's Certificate. TSI shall be furnished with a certificate dated the Closing date and signed by a
duly authorized officer of NET to the effect that: (a) the representations and warranties of NET set forth in the Agreement and in
all Exhibits, Schedules and other documents furnished in connection herewith are in all material respects true and correct as if made
on the Effective Date; and (b) NET had performed all covenants, satisfied all conditions, and complied with all other terms and
provisions of the Agreement to be performed, satisfied or complied with by it as of the Effective Date.

     Section 6.3     
No Material Adverse Change. Prior to the Closing Date, there shall not have occurred any material
adverse change in the financial condition, business or operations or nor shall ant event have occurred which, with the lapse of
time or the giving of notice, may cause or create any material adverse change in the financial condition, business or operations of
NET.

     Section 6.4     
Opinion of Counsel to NET. TSI shall receive an opinion dated the Closing Date of Richard I. Anslow
& Associates, counsel to NET, in substantially the following form: 

	 	        (a)
NET is a corporation duly organized, validly existing, and in good standing
under the laws of the State of New York and has the corporate power and is duly
authorized, qualified, franchised, and licensed under all applicable laws,
regulations, ordinances and orders of public authorities to own all of its
properties and assets and to carry on its business in all material respects as
it is now being conducted, including qualification to do business as a foreign
corporation in the states in which the character and location of the assets
owned by it or the nature of the business transacted by it requires
qualification; 

	 	        (b)
To the best knowledge of such legal counsel, the execution and delivery by NET
of this Agreement and the consummation of the transactions contemplated by this
Agreement in accordance with the terms hereof will not conflict with or result
in the breach of any term or provision of TSI’s articles of incorporation
or bylaws or constitute a default or give rise to a right of termination,
cancellation or acceleration under any material mortgage, indenture, deed of
trust, license agreement or other obligation or violate any court order, writ,
injunction or decree applicable to TSI or its properties or assets; 

	 	        (c)
The authorized capitalization of NET consists of 15,000,000 shares of Common
Stock, par value $0.001 per share and 5,000,000 shares of Preferred Stock, par
value $0.001 per share. As of the Closing Date, there will be no more than
8,760,000 common shares issued and outstanding; and no Preferred Shares issued
and outstanding. All issued and outstanding shares are legally issued, fully
paid and nonassessable and issued in violation of the preemptive rights of any
person. 

	 	        (d)
The NET Common Shares to be issued to the TSI Members pursuant to the terms of
this Agreement will be, when issued in accordance with the terms hereof, legally
issued, fully paid and non-assessable; 

	 	        (e)
This Agreement has been duly and validly authorized, executed, and delivered and
constitutes the legal and binding obligation of NET, except as limited by
bankruptcy and insolvency laws and by other laws affecting the rights of
creditors generally; 

	 	        (f)
To the best knowledge of such counsel, there are no actions, suits or
proceedings pending or threatened by or against NET or affecting NET’s
properties, at law or in equity, before any court or other governmental agency
or instrumentality, domestic or foreign or before any arbitrator of any kind;
and 

     Section 6.5     
Management of TSI. NET and the present members of TSI shall share equally in the management decisions of
TSI. Notwithstanding same, the day to day operations of TSI shall be the responsibility of its current managing members.

ARTICLE VII

MISCELLANEOUS

     Section 7.1     
Brokers and Finders. Each party hereto hereby represents and warrants that it is under no obligation,
express or implied, to pay certain finders in connection with the bringing of the parties together in the negotiation, execution, or
consummation of this Agreement. The parties each agree to indemnify the other against any claim by any third person not listed in
Schedule 7.1 for any commission, brokerage or finder's fee or other payment with respect to this Agreement or the transactions
contemplated hereby based on any alleged agreement or understanding between the indemnifying party and such third person, whether
express or implied from the actions of the indemnifying party.

     Section 7.2     
Law. Forum and Jurisdiction. This Agreement shall be construed and interpreted in accordance with the
laws of the State of Delaware.

     Section 7.3     
Notices. Any notices or other communications required or permitted hereunder shall be sufficiently given if
personally delivered to it or sent by registered mail or certified mail, postage prepaid, or by prepaid telegram addressed as follows:

     If to NET:

     Richard I. Anslow & Associates

     4255 Route 9, Suite D

     Freehold, New Jersey 07728

     If to TSI:

     Matthew Walsh, Manager

     Technology Solutions International, LLC

     600 17th Street

     Suite 2008-S

     Denver, Colorado 80202

     

     With a copy to:

     

     Jeffrey E. Lewis, Esq.

     Gordon & Glickson LLC

     444 N. MIchigan Avenue
     Chicago, Illinois 60611-3903

or such other addresses as
shall be furnished in writing by any party in the manner for giving notices
hereunder, and any such notice or communication shall be deemed to have given as
of the date so delivered, mailed or telegraphed. 

     Section 7.4     
Attorneys' Fees. In the event that any party institutes any action or suit to enforce this Agreement or to
secure relief from any default hereunder or breach hereof, the breaching party or parities shall reimburse the non-breaching party or
parties for all costs, including reasonable attorneys' fee, incurred in connection therewith and in enforcing or collecting any
judgment rendered therein.

     Section 7.5     
Confidentiality. Each party hereto agrees with the other parties that, unless and until the reorganization
contemplated by this Agreement has been consummated, they and their representatives will hold in strict confidence all data and
information obtained with respect to another party or any subsidiary thereof from any representative, officer, director or employee,
or from any books or records or from personal inspection, of such other party, and shall not used such data or information or
disclose the same to others, except: (i) to the extent such data is a matter of public knowledge or is required by law to be
published; and (ii) to the extent that such data or information must be used or disclosed in order to consummate the transactions
contemplated by this Agreement.

     Section 7.6     
Schedules; Knowledge. Each party is presumed to have full knowledge of all information set forth in
the other party's schedules delivered pursuant to this Agreement.

     Section 7.7     
Third Party Beneficiaries.  This contract is solely among TSI and NET and except as specifically provided,
no director, officer, stockholder, employee, agent, independent contractor or any other person or entity shall be deemed to be a
third party beneficiary of this Agreement.

     Section 7.8     
Entire Agreement.This Agreement represents the entire agreement between the parties relating to the
subject matter hereof. This Agreement alone fully and completely expresses the agreement of the parties relating to the subject
matter hereof. There are no other courses of dealing, understanding, agreements, representations or warranties, written or oral,
except a set forth herein. This Agreement may not be amended or modified, except by a written agreement signed by all parties hereto.

     Section 7.9     
Survival; Termination. The representations, warranties and covenants of the respective parties shall
survive the Closing Date and the consummation of the transactions herein contemplated for 18 months.

     Section 7.10     
Counterparts. This Agreements may be executed in multiple counterparts, each of which shall be deemed
an original and all of which taken together shall be but a single instrument.

     Section 7.11     
Amendment or Waiver. Every right and remedy provided herein shall be cumulative with every other
right and remedy, whether conferred herein, at law, or in equity, and may be enforced concurrently herewith, and no waiver by any
party of the performance of any obligation by the other shall be construed as a waiver of the same or any other default then,
theretofore, or thereafter occurring or existing. At any time prior to the Closing Date, this Agreement may be amended by a writing
signed by all parties hereto, with respect to any of the terms contained herein, and any term or condition of this Agreement may be
waived or the time for performance hereof may be extended by a writing signed by the party or parties for whose benefit the provision
is intended.

     Section 7.12     
Incorporation of Recitals.  All of the recitals hereof are incorporated by this reference and are made a
part hereof as though set forth at length herein.

     Section 7.13     
Expenses. Each party herein shall bear all of their respective cost s and expenses incurred in
connection with the negotiation of this Agreement and in the consummation of the transactions provided for herein and the preparation
thereof.

     Section 7.14     
Headings; Context. The headings of the sections and paragraphs contained in this Agreement are for
convenience of reference only and do not form a part hereof and in no way modify, interpret or construe the meaning of this Agreement.

     Section 7.15     
Benefit. This Agreement shall be binding upon and shall insure only to the benefit of the parties hereto,
and their permitted assigns hereunder. This Agreement shall not be assigned by any party without the prior written consent of the
other party.

     Section 7.16     
Public Announcements. Except as may be required by law, neither party shall make any public
announcement or filing with respect to the transactions provided for herein without the prior consent of the other party hereto.

     Section 7.17     
Severability. In the event that any particular provision or provisions of this Agreement or the other
agreements contained herein shall for any reason hereafter be determined to be unenforceable, or in violation of any law,
governmental order or regulation, such unenforceability or violation shall not affect the remaining provisions of such agreements,
which shall continue in full force and effect and be binding upon the respective parties hereto.

     Section 7.18     
Failure of Conditions; Termination.  In the event of any of the conditions specified in this Agreement shall
not be fulfilled on or before the Closing Date, either of the parties have the right either to proceed or, upon prompt written notice
to the other, to terminate and rescind this Agreement without liability to any other party. The election to proceed shall not affect
the right of such electing party reasonably to require the other party to continue to use its efforts to fulfill the unmet conditions.

     Section 7.19     
No Strict Construction. The language of this Agreement shall be construed as a whole, according to its
fair meaning and intendment, and not strictly for or against wither party hereto, regardless of who drafted or was principally
responsible for drafting the Agreement or terms or conditions hereof.

     Section 7.20     
Execution Knowing and Voluntary. In executing this Agreement, the parties severally acknowledge and
represent that each: (a) has fully and carefully read and considered this Agreement; (b) has been or has had the opportunity to be
fully apprised of its attorneys of the legal effect and meaning of this document and all terms and conditions hereof,; and (c) is
executing this Agreement voluntarily, free from any influence, coercion or duress of any kind.

     Section 7.21     
Additional Representatives

	 	(a)	
By execution hereof, each of the indersigned hereby confirms that the securities
of NET and TSI to be issued or delivered to him or it pursuant to this Agreement (the
"Securities") will be acquired for investment for the undersigned's own account, not as a nominee
or agent, and not with a view to the resale or distribution of any part thereof, and that each of the
undersigned has no present intention of selling, granting any participation in, or otherwise
distributing the same.  By execution hereof, each of the undersigned further represents such
undersigned does not have any contract, undertaking agreement or arrangement with any third
party, with respect to any of the Securities.
	 	 	 
	 	(b)	
Each of the undersigned understands that the Securities are being issued
pursuant to available exemption thereto and have not been registered under the Securities Act,
or under any state securities law.  Each of the undersigned understands that no registration
statements has been filed with the United States, Securities and Exchange COmmission nor with
any other regulatsory authority and that, sa a result, any benefit which might normally accrue to a
holder such as the undersigned by an impartial review of such registration statement by the
Securities and Exchange Commission or the regulatory authority will not be forthcoming.  Each of
the undersigned understands thta he/she/it cannot sell the Securities unless such sale is
registered becomes available.  In this connection each of the undersigned understands that the
Securities are "restricted securities" under the Securities Act and that they may not be
transferred by the undersigned to any person without prior consent of the Company, which
consent of the Company will require an opinion of counsel to the effect that, in the event the
Securities are not registere under the Securities Act, any transfer as may be proposed by the
undersigned must be entitled to an exemption from the registration provisions of the Securities
Act.  TO this end, each of the undersigned acknowledges that a legend to the following effect will
be places upon the certificate representing the Securities and that the Transfer Agent (in the
case of NET Securities) has been advised of such facts:
	 	 	 
	 	 	
THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF
1933, AS AMENDED, AND MAY NOT BE OFFERED AND SOLD ONLY IF REGISTERED
PURSUANT TO THE PROVISIONS OF THE ACT OR IF AN EXEMPTION FROM
REGISTRATION THEREUNDER IS AVAILABLE, THE AVAILABILITY OF WHICH MUST BE
ESTABLISHED TOT HE SATISFACTION OF THE COMPANY.
	 	 	 
	 	 	
Each of the undersigned understands that foregoing legend on his/her certificate for
the Securities limits their value, including their value as collateral.
	 	 	 
	 	(c)	
Each of the undersigned represents that he/she/it is experienced in evaluation and
investing in securities of companies in the development stage and acknowledges that he/she/it is
able to fend for itself, can bear the economic risk of this investment and has such knowledge
and experience in financial and business matters that it is capable of evaluating in the Securities.
	 	 	 

     IN WITNESS WHEREOF, the corporate parties hereto have caused this Agreement to be executed by their respective officers,
hereunto duly authorized, and entered into as of the date first above written.

	 	 
	ATTEST:	NORTHPORT EQUITY TRADING, INC.
	 	 
	/s/   Michael Lieber

MICHAEL LIEBER	/s/   Anthony Fusco

ANTHONY FUSCO
	 	 
	 	ACCPETED: AS IT APPLIES TO THE FOUNDERS
	 	/s/   Matthew Walsh

MATTHEW WALSH

EXHIBIT
“A”

LIST OF NEW
SHAREHOLDERS OF NET

	 Name
	 # of Shares

	MATTHEW WALSH	 44,333
	THOMAS DALEY	 44,333
	WILLIAM CONNELLY	 44,333

	TOTAL	 133,000EXHIBIT 4.2

                      CERTIFICATE OF DESIGNATION OF SERIES
                 AND DETERMINATION OF RIGHTS AND PREFERENCES OF
                     SERIES A CONVERTIBLE PREFERRED STOCK OF
                                   XDOGS, INC.

     XDOGS, Inc., a Nevada corporation (the "Company"), acting pursuant to
Nevada Revised Statutes Section 78.1955, does hereby submit the following
Certificate of Designation of Series and Determination of Rights and Preferences
of its Series A Preferred Stock.

     FIRST: The name of the Company is XDOGS, Inc.

     SECOND: By unanimous consent of the Board of Directors of the Company dated
June 3, 2002, the following resolutions were duly adopted:

     WHEREAS, the Articles of Incorporation of the Company authorize Preferred
Stock consisting of One Million (1,000,000) shares, par value $.10 per share,
issuable from time to time in one or more series; and

     WHEREAS, the Board of Directors of the Company is authorized, subject to
limitations prescribed by law and by the provisions of the Company's Articles of
Incorporation to establish and fix the number of shares to be included in any
series of Preferred Stock and the designation, rights, preferences, powers,
restrictions and limitations of the shares of such series; and

     WHEREAS, it is the desire of the Board of Directors to establish and fix
the number of shares to be included in a new series of Preferred Stock and the
designation, rights, preferences and limitations of the shares of such new
series;

     NOW, THEREFORE, BE IT RESOLVED: That pursuant to the Company's Articles of
Incorporation there is hereby established a new series of One Hundred (100)
shares of convertible Preferred Stock of the Company (the "Series A Preferred
Stock") to have the designation, rights, preferences, powers, restrictions and
limitations as follows, and which shall rank, with respect to dividends and
rights upon liquidation, winding up and dissolution, senior to all other classes
of the Company's capital stock now existing:

                                   ARTICLE I

                                    DIVIDENDS
                                    ---------

(a) Payment of Dividends. The holders of record of shares of Series A Preferred
Stock shall be entitled to receive, out of any assets at the time legally
available therefor and when and as declared by the Board of Directors, cash
dividends at the rate of eight percent (8%) of the amount per share of Series A
Preferred Stock paid by the initial holders thereof (the "Original Price") per
annum (the "Preferred Dividends"), and no more, payable to the extent assets are
legally available therefor on the 15th day of September, December, March and

<PAGE>

June beginning on September 15, 2002 or, if later, the first of such dates after
the date of issuance of the Series A Preferred Stock (the "Issuance Date"). In
the case of shares of Series A Preferred Stock outstanding for less than a
particular quarter, Preferred Dividends shall be pro rated based on the portion
of the quarter during which such shares are outstanding. Preferred Dividends on
the Series A Preferred Stock shall be fully cumulative until declared and paid,
and shall accrue to the end of the month prior to the quarterly scheduled
payment dates above in arrears; provided, however, that such dividends shall not
compound over time. Preferred Dividends on the Series A Preferred Stock are to
be paid prior and in preference to any declaration or payment of any
Distribution (as defined below) on any outstanding shares of the Company's
common stock, par value $.001 per share (the "Common Stock"), other than
dividends payable solely in shares of Common Stock or other securities and
rights convertible into or entitling the holder thereof to receive, directly or
indirectly, additional shares of Common Stock and no other securities. Any
amounts for which such assets are not legally available shall be paid promptly,
as assets become legally available therefor.

(b) No Payment on Junior Stock. So long as any shares of Series A Preferred
Stock are outstanding, the Company shall not declare, pay or set apart for
payment any dividend or make any Distribution on any class or series of equity
securities of the Company which by its terms does not rank senior to the Series
A Preferred Stock ("Junior Stock") (other than dividends or Distributions
payable in additional shares of Junior Stock), unless at the time of such
dividend or Distribution the Company shall have paid all accrued and unpaid
dividends on the outstanding shares of Series A Preferred Stock.

For purposes hereof, unless the context otherwise requires, "Distribution" shall
mean the transfer of cash or property without consideration, whether by way of
dividend or otherwise, payable other than in shares of Common Stock or other
equity securities of the Company, or the purchase or redemption of shares of the
Company for cash or property.

(c) Participation in Distributions on Common Stock. The holders of a Series A
Preferred Stock shall participate pro rata, on an as-converted to Common Stock
basis (by disregarding any limitations on conversion described in Article V
below), with holders of Common Stock in any Distributions made on Common Stock.

                                   ARTICLE II

                                  VOTING RIGHTS
                                  -------------

Except as otherwise required by Nevada law, the Series A Preferred Stock shall
vote on an as-converted to Common Stock basis (by disregarding any limitations
on conversion described in Article V below) with holders of Common Stock on all
matters on which holders of Common Stock are entitled to vote. The Common Stock
into which the Series A Preferred Stock is convertible shall, upon issuance,
have all of the same voting rights as other issued and outstanding Common Stock.

                                       2
<PAGE>

                                  ARTICLE III

                             LIQUIDATION PREFERENCE
                             ----------------------

(a) Payment of Liquidation Preference Amount. In the event of the liquidation,
dissolution or winding up of the affairs of the Company, whether voluntary or
involuntary, after payment or provision for payment of the debts and other
liabilities of the Company, the holders of shares of the Series A Preferred
Stock then outstanding shall be entitled to receive, out of the assets of the
Company whether such assets are capital or surplus of any nature, an amount per
each share of Series A Preferred Stock equal to the Original Price plus any
accrued and unpaid Preferred Dividends on such shares of Series A Preferred
Stock (together, the "Liquidation Preference Amount"), before any payment shall
be made or any assets distributed to the holders of any other class of the
Company's capital stock now existing (including the Series A Preferred Stock).
After payment of the full Liquidation Preference Amount, the holders of shares
of Series A Preferred Stock will participate pro rata, on an as-converted to
Common Stock basis (by disregarding any limitations on conversion described in
Article V below), with holders of Common Stock in any distribution of the assets
of the Company.

(b) Liquidation, Dissolution, or Winding Up. A "liquidation, dissolution or
winding up" of the Company shall be deemed to be occasioned by, or to include,
(i) the acquisition of the Company by another entity by means of any transaction
or series of related transactions (including, without limitation, any
reorganization, merger or consolidation (but excluding any merger effected
exclusively for the purpose of changing the domicile of the Company) or (ii)
sale of all or substantially all of the assets or shares of stock of the
Company; provided, however, that, in each such case, the applicable transaction
shall not be deemed a liquidation, dissolution or winding up unless the
Company's shareholders of record as constituted immediately prior to such
transaction (by virtue of shares of the Company owned by such shareholders or
securities issued solely with respect thereto as consideration for the Company's
acquisition or sale or otherwise) hold less than 50% of the voting power of the
surviving or acquiring entity.

(c) Valuation of Securities. If the Company distributes securities pursuant to
this Article IV and the value of such securities is not determined pursuant to a
separate agreement relating to such distribution, such securities shall be
valued as follows:

     (i) With respect to securities not subject to restrictions on free
     marketability:

          (A) If traded on a securities exchange or the Nasdaq National Market
          System, the value shall be deemed to be the average of the closing
          prices of the securities on such exchange or quotation system over a
          thirty (30) day period ending three (3) days prior to the applicable
          determination date;

          (B) If actively traded over-the-counter, the value shall be deemed to
          be the average of the closing bid or sale prices (whichever is
          applicable) over the thirty (30) day period ending three (3) days
          prior to the applicable determination date; and

                                       3
<PAGE>

     (ii) The method of valuation of securities subject to restrictions on free
     marketability (other than restrictions arising solely by virtue of a
     shareholder's status as an affiliate or former affiliate) shall be to make
     an appropriate discount, as determined in good faith by the Company's Board
     of Directors, from the market value determined as above in (i)(A) or (B) to
     reflect the approximate fair market value thereof. If there is no active
     trading market for the securities, then their value shall be the fair
     market value on the date of distribution as determined in good faith by the
     Board of Directors.

                                   ARTICLE IV

                                   CONVERSION
                                   ----------

     The holders of Series A Preferred Stock shall have the following conversion
rights (the "Conversion Rights"):

(a) Right to Convert. At any time on or after the issuance of the Series A
Preferred Stock, the holder of any shares of Series A Preferred Stock may elect
to convert all or any portion of the shares of Series A Preferred Stock held by
such person into a number of fully paid and non-assessable shares of Common
Stock, as follows. Each share of Series A Preferred Stock shall, upon
conversion, represent 0.4% of the then "Fully-Diluted Shares Outstanding" of the
Company. "Fully-Diluted Shares Outstanding" is computed as the sum of the number
of shares of Common Stock outstanding plus the number of shares of Common Stock
issuable upon exercise, conversion or exchange of outstanding options, warrants,
convertible securities (including the shares of Series A Preferred Stock) or
other rights, or upon exercise, conversion or exchange of securities which by
their terms are exercisable, convertible or exchangeable for other securities
exercisable, convertible or exchangeable for Common Stock. The effect of this
provision is that if all 100 shares of the Series A Preferred Stock authorized
hereby converted at once, the Company would issue the holders a number of shares
of Common Stock representing (after the issuance) 40% of the Fully-Diluted
Shares Outstanding.

(b) Limitations on Conversion. In the event that the Company does not have an
adequate number of shares of Common Stock authorized, but unissued, to allow for
the full conversion of the Series A Preferred Stock, or if Nasdaq or applicable
exchange rules require shareholder approval or other action prior to full
conversion, then, upon a conversion request made below, only the maximum
allowable number of shares of Series A Preferred Stock shall convert into Common
Stock and the remaining shares of Series A Preferred Stock shall convert upon
lapse of the applicable restrictions. In no event shall a limitation on
conversion to Common Stock hereunder affect the rights of holders of Series A
Preferred Stock to Distributions, voting or the Liquidation Preference Amount as
though fully converted to Common Stock.

(c) Notice of Conversion. A holder shall make the holder's election for
conversion by executing and delivering to the Company a Conversion Notice in the
form of Exhibit I hereto.

(d) Mechanics of Voluntary Conversion. No fractional shares of Common Stock
shall be issued upon conversion of the Series A Preferred Stock. In lieu of any
fractional shares to which the holder would otherwise be entitled (after
aggregating all shares of Series A Preferred Stock held by such holder), the
Company shall pay cash equal to the product of such fraction multiplied by the
average of the closing bid prices of the Common Stock for the five (5)

                                       4
<PAGE>

consecutive trading days immediately preceding the date of the conversion, or if
there is no active trading market for such Common Stock, as valued at the fair
market value on the date of payment as determined by the Board of Directors.
Before any holder of Series A Preferred Stock shall be entitled to convert the
same into shares of Common Stock pursuant to this Article V, such holder shall
surrender the certificate or certificates therefor, duly endorsed, at the office
of the Company or of any transfer agent for such Series A Preferred Stock, and
shall give written notice by mail, postage prepaid, to the Company at its
principal corporate office, of the election to convert the same. Such conversion
shall be deemed to have been made immediately prior to the close of business on
the date of such surrender of the shares of Series A Preferred Stock to be
converted, and the person or persons entitled to receive the shares of Common
Stock issuable upon such conversion shall be treated for all purposes as the
record holder or holders of such shares of Common Stock as of such date. In the
event of an automatic conversion pursuant to paragraph (b), the outstanding
shares of Series A Preferred Stock shall be converted automatically without any
further action by the holder of such shares and whether or not the certificates
representing such shares are surrendered to the Company or the transfer agent
for such Series A Preferred Stock; and the Company shall not be obligated to
issue certificates evidencing such shares of Common Stock issuable upon such
automatic conversion unless the certificates evidencing such shares of Series A
Preferred Stock are either delivered to the Company or the transfer agent for
such Series A Preferred Stock as provided above, or the holder notifies the
Company or the transfer agent for such Series A Preferred Stock that such
certificates have been lost, stolen or destroyed and executes an agreement
satisfactory to the Company to indemnify the Company from and against any loss
incurred by it in connection with such certificates. The Company shall, as soon
as practicable thereafter, issue and deliver to such address as the holder may
direct, a certificate or certificates for the number of shares of Common Stock
to which such holder shall be entitled.

(e) Status of Converted Stock. In the event that any shares of Series A
Preferred Stock shall be converted pursuant to this Article V, the shares so
converted shall be canceled and shall revert to authorized, but unissued shares
of undesignated capital stock.

(f) Adjustment of Conversion Rights. The conversion rights shall be subject to
adjustment from time to time as follows:

     (i) Adjustments for Stock Dividend and Other Distributions. In the event
     the Company makes, or fixes a record date for the determination of holders
     of Common Stock entitled to receive, any distribution (excluding
     repurchases of securities by the Company not made on a pro rata basis)
     payable in property, in securities of other persons or of the Company other
     than shares of Common Stock or evidences of indebtedness of other persons
     or of the Company, and other than as otherwise adjusted for in this Article
     V or as provided for in Article II in connection with a dividend, then, and
     in each such event, the holders of Series A Preferred Stock shall receive,
     at the time of such distribution, the amount of any such distribution that
     they would have received had their Series A Preferred Stock been converted
     into Common Stock immediately prior to the date of such event.

                                       5
<PAGE>

     (ii) Adjustments for Reorganization, Reclassification or Similar Events. If
     the Common Stock shall be changed into the same or a different number of
     shares of any other class or classes of stock or other securities or
     property, whether by capital reorganization, reclassification or otherwise,
     then each share of Series A Preferred Stock shall thereafter be convertible
     into the number of shares of stock or other securities or property to which
     a holder of the number of shares of Common Stock of the Company deliverable
     upon conversion of such shares of Series A Preferred Stock shall have been
     entitled upon such reorganization, reclassification or other event.

(g) Certificate as to Adjustments. Upon the occurrence of each adjustment or
readjustment of the conversion rights pursuant to this Article V, the Company,
at its expense, shall promptly compute such adjustment or readjustment in
accordance with the terms hereof and furnish to each holder of Series A
Preferred Stock to which such adjustment pertains a certificate setting forth
such adjustment or readjustment and showing in detail the facts upon which such
adjustment or readjustment is based.

(h) Notices of Record Date. In the event of taking by this Company of a record
of the holders of any class of securities for the purpose of determining the
holders thereof who are entitled to receive any dividend (other than a cash
dividend) or other distribution, any right to subscribe for, purchase or
otherwise acquire any shares of stock of any class or any other securities or
property, or to receive any other right, this Company shall mail to each holder
of Series A Preferred Stock, at least twenty (20) days prior to the date
specified therein, a notice specifying the date on which any such record is to
be taken for the purpose of such dividend, distribution or right, and the amount
and character of such dividend, distribution or right.

(i) Notices. Any notice required by the provisions of this Article V to be given
to the holders of Series A Preferred Stock shall be deemed given if deposited in
the United States mail, postage prepaid, and addressed to each holder of record
at his, her or its address appearing on the books of this Company.

(j) Effect of Conversion on Accrued Dividends. Upon any conversion of Series A
Preferred Stock, any dividends accrued but unpaid (whether or not declared) to
the date of conversion on the Series A Preferred Stock shall be canceled.

                                       6
<PAGE>

                                   ARTICLE VI

                                  MISCELLANEOUS
                                  -------------

(a) Changing the Terms of Series A Preferred Stock. Any provision of this
Certificate of Designation may be amended, altered, changed, repealed or waived
by a consent in writing without a meeting of shareholders signed by the holders
of at least a majority of the then outstanding shares of Series A Preferred
Stock, or by the affirmative vote of the same proportion of holders at a meeting
of shareholders duly called for such purpose.

(b) Lost or Stolen Certificates. Upon receipt by the Company of evidence
satisfactory to the Company of the loss, theft, destruction or mutilation of any
Certificates representing shares of Series A Preferred Stock, and, in the case
of loss, theft or destruction, of a satisfactory indemnification undertaking by
the holder to the Company and, in the case of mutilation, upon surrender and
cancellation of the Series A Preferred Stock Certificate(s), the Company shall
execute and deliver new preferred stock certificate(s) of like tenor and date;
provided, however, that the Company shall not be obligated to re-issue preferred
stock certificates if the holder contemporaneously requests the Company to
convert such shares of Series A Preferred Stock into Common Stock.

(c) Remedies, Characterizations, Other Obligations, Breaches and Injunctive
Relief. The remedies provided in this Certificate of Designation shall be
cumulative and in addition to all other remedies available under this
Certificate of Designation, at law or in equity (including, without limitation,
a decree of specific performance and/or other injunctive relief). No remedy
contained herein shall be deemed a waiver of compliance with the provisions
giving rise to such remedy, and nothing herein shall limit a holder's right to
pursue actual damages for any failure by the Company to comply with the terms of
this Certificate of Designation. Amounts set forth or provided for herein with
respect to payments, conversion and the like (and the computation thereof) shall
be the amounts to be received by the holder thereof and shall not, except as
expressly provided herein, be subject to any other obligation of the Company (or
the performance thereof). The Company acknowledges that a breach by it of its
obligations hereunder will cause irreparable harm to the holders of the Series A
Preferred Stock and that the remedy at law for any such breach may be
inadequate. Therefore, the Company agrees that, in the event of any such breach
or threatened breach, the holders of the Series A Preferred Stock shall be
entitled, in addition to all other available rights and remedies, to an
injunction restraining any such breach or threatened breach, without the
necessity of showing economic loss and without any bond or other security being
required.

(d) Specific Shall Not Limit General; Construction. No specific provision
contained in this Certificate of Designation shall limit or modify any more
general provision contained herein. This Certificate of Designation shall be
deemed to be jointly drafted by the Company and all initial purchasers of the
Series A Preferred Stock and shall not be construed against any person as the
drafter hereof.

                                       7
<PAGE>

(e) Failure or Indulgence Not Waiver. No failure or delay on the part of a
holder of Series A Preferred Stock 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.

     IN WITNESS WHEREOF, the Company has caused this Certificate to be executed
by its President and Chief Executive Officer this 11th day of July, 2002.

                                      /s/ Kent A. Rodriguez
                                      -------------------------------------
                                      Kent A. Rodriguez
                                      President and Chief Executive Officer

                                       8
<PAGE>

                                                                       EXHIBIT I
                                   XDOGS, INC.
                                CONVERSION NOTICE

Reference is made to the Certificate of Designation of the Relative Rights and
Preferences of the Series A Preferred Stock of XDogs, Inc. (the "Certificate of
Designation"). In accordance with and pursuant to the Certificate of
Designation, the undersigned hereby elects to convert the number of shares of
Series A Preferred Stock, par value $.10 per share (the "Preferred Shares"), of
XDogs, Inc., a Nevada corporation (the "Company"), indicated below into shares
of Common Stock, par value $.001 per share (the "Common Stock"), of the Company,
by tendering the stock certificate(s) representing the share(s) of Preferred
Shares specified below as of the date specified below.

Date:

Number of Preferred Shares to be converted:

Stock certificate no(s). of Preferred Shares to be converted:

Please confirm the following information:

Conversion Price:

Number of shares of Common Stock to be issued:

Please issue the Common Stock into which the Preferred Shares are being
converted and, if applicable, any check drawn on an account of the Company in
the following name and to the following address:

Issue to:

Facsimile Number:

Authorization:

By:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00041-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00041-of-00352.parquet"}]]