Document:

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                                                                Exhibit 10.17

                 AGREEMENT AND PLAN OF MERGER AND REORGANIZATION

                                  INTRODUCTION

         THIS AGREEMENT AND PLAN OF MERGER AND REORGANIZATION (the "Agreement")
is entered into as of the 14th day of December, 1999 by and among BOL
Acquisition Co. V, Inc., a Connecticut corporation ("BOL") and wholly-owned
first tier subsidiary of BiznessOnline.com, Inc., a Delaware corporation ("the
Parent"); the Parent; New England Computer Associates, Inc. ("NECA") and
NECAnet, Inc. ("NECAnet"), both Connecticut corporations, (NECA and NECAnet
sometimes collectively referred to herein as the "Company"); and Richard D.
Robarge and Leslie Robarge, the owners of all the issued and outstanding stock
of the Company (collectively the "Stockholders").

                                   BACKGROUND

A. BOL and the Company intend to effect a merger of the Company with and into
BOL in accordance with this Agreement and the Connecticut Business Corporation
Act (the "Merger"). Upon consummation of the Merger, the Company will cease to
exist, and BOL will continue to exist as the surviving corporation of the
Merger.

B. It is intended that the Merger qualify as a tax-free reorganization within
the meaning of Section 368(a) of the Internal Revenue Code of 1986, as amended
(the "Code") and that this Agreement constitute a plan of reorganization for
such purposes.

C. This Agreement has been adopted and approved by the respective boards of
directors of BOL and the Company, and the Parent and the Stockholders have each
unanimously approved this Agreement by written consent.

                                    AGREEMENT

         NOW, THEREFORE, in consideration of the mutual and dependent promises
and the representations and warranties hereinafter contained, the parties hereto
agree as follows:

SECTION 1.        DESCRIPTION OF THE MERGER TRANSACTION.

         1.1      MERGER OF THE COMPANY INTO BOL. Upon the terms and subject
to the conditions set forth in this Agreement, at the Effective Time (as defined
in SECTION 1.2), the Company shall be merged with and into BOL, and the separate
existence of the Company shall cease.

         1.2      EFFECTIVE TIME. The effective time of the Merger (the
"Effective Time") shall occur at the time a properly executed Certificate of
Merger for the merger of the Company into BOL, conforming to the requirements of
the Connecticut Business Corporation Act (the "Merger Certificate") has been
delivered and accepted for filing by the Secretary of State Connecticut. At the
Effective Time, the Company shall be merged with and into BOL in accordance with
the

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Merger Certificate and the separate existence of the Company shall cease and
BOL shall continue as the surviving corporation (the "Surviving Corporation").

         1.3      ARTICLES OF INCORPORATION, BY-LAWS AND BOARD OF DIRECTORS OF
THE SURVIVING CORPORATION. At the Effective Time:

                  (a)      The Articles of Incorporation of BOL shall become the
Articles of Incorporation of the Surviving Corporation; and, subsequent to the
Effective Time, such Articles of Incorporation shall be the Articles of
Incorporation of the Surviving Corporation until changed as provided by law.

                  (b)      The bylaws of BOL shall become the bylaws of the
Surviving Corporation; and, subsequent to the Effective Time, such bylaws shall
be the bylaws of the Surviving Corporation until they shall thereafter be duly
amended.

                  (c)      The Board of Directors of the Surviving Corporation
shall be set forth on EXHIBIT 1.3 hereto and shall hold office subject to the
provisions of the laws of the Surviving Corporation's state of incorporation and
of the Articles of Incorporation and bylaws of the Surviving Corporation.

                  (d)      The officers of the Surviving Corporation shall be
set forth on EXHIBIT 1.3 hereto, each of such officers to serve, subject to the
provisions of the Articles of Incorporation and bylaws of the Surviving
Corporation, until his or her successor is elected and qualified.

         1.4      EFFECT OF MERGER. At the Effective Time, the effect of the
Merger shall be as provided in the applicable provisions of the Connecticut
Business Corporation Act (the "Act"). Except as herein specifically set forth
and as otherwise provided by the Act, the identity, existence, purposes, powers,
objects, franchises, privileges, rights and immunities of BOL shall continue
unaffected and unimpaired by the Merger and the corporate franchises, existence
and rights of the Company shall be merged with and into BOL, and BOL, as the
Surviving Corporation, shall be fully vested therewith. At the Effective Time,
the separate existence of the Company shall cease and, in accordance with the
terms of this Agreement, the Surviving Corporation shall possess all the rights,
privileges, immunities and franchises, of a public as well as of a private
nature, and all property, real, personal and mixed, and all debts due on
whatever account, including subscriptions to shares, and all taxes, including
those due and owing and those accrued, and all other choses in action, and all
and every other interest of or belonging to or due to the Company and BOL shall
be taken and deemed to be transferred to, and vested in, the Surviving
Corporation without further act or deed; and all property, rights and
privileges, powers and franchises and all and every other interest shall be
thereafter as effectually the property of the Surviving Corporation as they were
of the Company and BOL; and the title to any real estate, or interest therein,
whether by deed or otherwise, vested in the Company and BOL, shall not revert or
be in any way impaired by reason of the Merger. Except as otherwise provided
herein, the Surviving Corporation shall thenceforth be responsible and liable
for all the liabilities and obligations of the Company and BOL and any claim
existing, or action or proceeding pending, by or against the Company or BOL may
be prosecuted as if the Merger had not taken place, or

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the Surviving Corporation may be substituted in its place. Neither the rights of
creditors nor any liens upon the property of the Company or BOL shall be
impaired by the Merger, and all debts, liabilities and duties of the Company and
BOL shall attach to the Surviving Corporation, and may be enforced against the
Surviving Corporation to the same extent as if said debts, liabilities and
duties had been incurred or contracted by the Surviving Corporation.
Notwithstanding the foregoing, the Stockholders shall assume all of the
Surviving Corporation's obligations under that certain lease agreement with Gem
Chevrolet, Inc. dated on or about August 17, 1999 for the lease of a 1999
Chevrolet K1500 pick-up truck (the "Stockholders' Assumed Contract").

         1.5      MERGER CONSIDERATION; CONVERSION OF  SHARES.

                  (a)      As of the Effective Time, all of the shares of
capital stock of the Company ("Company Stock"), issued and outstanding
immediately prior to the Effective Time, by virtue of the Merger and without any
action on the part of the holders thereof, shall be automatically converted to,
in the aggregate, shares of common stock of the Parent, par value $.01 per share
("Parent Stock") and cash, as follows (collectively, the "Merger
Consideration"):

                           (1) $1,575,000 in U.S. currency delivered by check,
wire transfer or other immediately available funds, and

                           (2) $1,925,000 in unregistered shares of the Parent
Stock. The share certificates representing such shares (except for the "Escrow
Shares", as defined below) shall be delivered to the stockholder's counsel
within five (5) business days of the Closing Date. The actual number of shares
to be delivered hereunder shall be based on the average "NASDAQ National Market
price" of such common stock for the twenty (20) business days ending on the
ninth business day immediately preceding the Closing date. The shares of Parent
Stock delivered hereunder shall constitute "restricted securities" under the
Securities Act of 1933, as amended and be subject to the restrictions on
transfer set forth in this Agreement.

                  (b)      The "average NASDAQ National Market price" shall mean
the average of the closing sales prices or, in case no such reported sale takes
place on any given day, the average of the reported closing bid and asked prices
for such day. In either case, the prices would be as reported by The Nasdaq
Stock Market, Inc.

         1.6      DELIVERY OF MERGER CONSIDERATION/ESCROW OF SHARES/SET-OFF.

                  (a)      At the Closing, the Stockholders shall deliver
certificates representing all outstanding shares of Company Stock to counsel for
BOL to hold in escrow until the Effective Time. At the Effective Time, the
Stockholders shall receive the aggregate Merger Consideration set forth in
SECTION 1.5 above provided, however, that a number of shares of Parent Stock
included in the aggregate Merger Consideration with a value of $500,000 (the
"Escrow Shares") shall be delivered into escrow with the Parent's counsel (the
"Escrow Agent") for a period of twelve (12) months from the Closing Date
pursuant to the escrow agreement (the "Escrow Agreement") attached hereto as
EXHIBIT 1.6. In addition to all other rights and remedies of BOL and the
Surviving Corporation for breach by the Company or the Stockholders of the
representations and warranties of the Company and the Stockholders herein, both
at law and in

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equity, the Surviving Corporation shall have the right to set-off
against the Escrow Shares for any claims of the Surviving Corporation arising
under the post-Closing adjustment provisions of SECTION 2 below and/or the
indemnity provisions of SECTION 12 below.

                  (b)      The Stockholders shall deliver to counsel for BOL at
the Closing the certificates representing Company Stock, duly endorsed in blank
by the Stockholders or accompanied by duly executed stock powers, to hold in
escrow until the Effective Time. The Stockholders shall cure any deficiencies
with respect to the endorsement of the certificates or other documents of
conveyance with respect to Company Stock or with respect to the stock powers
accompanying any Company Stock.

                  (c)      At the Effective Time, counsel for BOL shall release
the certificates representing shares of Company Stock to BOL and such
certificates shall be canceled. As of the Effective Time, the stock transfer
books of the Company shall be closed and there shall be no further registration
of transfers of shares of the Company thereafter.

                  (d)      No certificates representing fractional shares of
Parent Stock shall be issued upon the surrender of certificates which, prior to
the Effective Time, represented shares of Company Stock. In lieu of any such
fractional shares, the Stockholders will be paid an amount in cash based on the
average NASDAQ National Market Price (as defined above) of Parent Stock as set
forth in SECTION 1.5(a)(2).

         1.7      ALLOCATION. Subject to the adjustments set forth in SECTION 2,
the Merger Consideration shall be allocated as follows: Two Million Nine Hundred
Sixteen Thousand Six Hundred Seventy-Seven Dollars ($2,916,677) to NECA and Five
Hundred Eighty-Three Thousand Three Hundred Thirty-Three Dollars ($583,333) to
NECAnet.

         1.8      CLOSING. The closing of the Merger (the "Closing") shall occur
on the third business day after satisfaction or waiver of all of the conditions
set forth in Section 6 hereof at the offices of Duffy & Sweeney, LLP, 300 Turks
Head Building, Providence, Rhode Island 02903 at 10:00 a.m., or at such other
place and time or date as may be mutually agreed upon by the parties hereto but
in no event later than December 31, 1999. The actual date of the Closing is
referred to herein as the "Closing Date". At the Closing, BOL and the Company
shall take all actions necessary to effect the Merger (including filing the
Merger Certificate which shall become effective at the Effective Time) and to
effect the conversion and delivery of shares referred to in SECTION 1.6 hereof.

SECTION 2.        POST CLOSING ADJUSTMENTS

         2.1      POST-CLOSING ADJUSTMENT BASED ON THE COMPANY'S CASH-ON-HAND ON
THE CLOSING DATE. On or before the Closing Date, the Company shall (i) to the
extent ascertainable, pay all accrued liabilities relating to periods prior to,
as of and including the Closing Date, and (ii) have cash-on-hand of at least
$20,000 in excess of the amount of such outstanding liabilities (the "Minimum
Cash Requirement"). In the event that the Company prepays any liability which
has not accrued as of the Closing Date, such amount would be credited to the
Minimum Cash

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Requirement. Within thirty (30) days after the Closing (or as soon as
practicable thereafter), the Parent shall review the records and accounts of the
Company and Surviving Corporation and prepare a statement regarding the
Company's outstanding payables and liabilities accrued as of and including the
Closing Date. The Stockholders shall provide such documentation as is reasonably
necessary to evidence payment of the same. To the extent there is a deficiency
in the Minimum Cash Requirement, the Stockholders shall pay to the Surviving
Corporation in cash, dollar-for-dollar the amount of such deficiency within ten
(10) days of the delivery the Minimum Cash Requirement statement, subject to the
dispute resolution procedure set forth in SECTION 2.3.

         2.2      POST-CLOSING ADJUSTMENT FOR EXCESS OR DEFICIENCY IN 1999
REVENUES. To the extent that (i) the Surviving Corporation's aggregate audited
revenues for the six (6) months ended December 31, 1999, are less than $700,000
on an accrual basis in accordance with generally accepted accounting principals
("GAAP"), the Merger Consideration shall be reduced by an amount equal to $5.00
for each One Dollar ($1.00) in revenue less than $700,000, and (ii) the
Surviving Corporation's aggregate audited revenues for the six (6) months ended
December 31, 1999 are greater than $700,000 on an accrual basis in accordance
with GAAP, the Merger Consideration shall be increased by an amount equal to
$5.00 for each One Dollar ($1.00) in revenue greater than $700,000. For example,
in the event the Surviving Corporation's aggregate revenues for the six (6)
months ended December 31, 1999, are $650,000, the Merger Consideration payable
to the Stockholders shall be reduced by $250,000 (i.e. the $50,000 shortfall
multiplied by 5.00). Any such adjustment shall be based on an income statement
prepared by the Surviving Corporation's accountants on or before March 31, 1999,
showing the Surviving Corporation's audited revenues for the six (6) months
ended December 31, 1999. To the extent any adjustment in the Merger
Consideration shall be required under this Section 2.2, (a) in the event of a
reduction in the Merger Consideration, the Stockholders shall pay to the
Surviving Corporation 55% of such payment in shares of Parent stock from the
Escrow Shares (provided that such action would not reduce the stock portion of
the Merger Consideration below 45% or otherwise impair the intended tax-free
reorganization structure of the Merger) and 45% of such amount in cash from the
Stockholders directly within ten (10) days of delivery of the final income
statement for 1999 as audited by the Surviving Corporation's accountants
(subject to the dispute resolution procedure set forth in Section 2.3 below), or
(b) in the event of an increase in the Merger Consideration, the Surviving
Corporation shall pay the Stockholders 55% of the amount of such increase in
Parent Stock and 45% in cash within ten (10) days of the delivery of the final
income statement for 1999 as audited by the Surviving Corporation's accountants
(subject to the dispute resolution procedure set forth in Section 2.3 below).
Any payments made in Parent Stock under this subsection in connection with 1999
revenues shall be based on the average NASDAQ National Market price of Parent
Stock for the twenty (20) business days preceding the later of the date of
delivery of the final income statement for 1999 or the resolution of any
disputes relating to such statement.

         2.3      DISPUTE RESOLUTION PROCEDURE FOR ADJUSTMENTS BASED ON MINIMUM
CASH REQUIREMENT AND 1999 REVENUES. Notwithstanding anything in this SECTION 2
to the contrary, if the Stockholders dispute any item contained on the Minimum
Cash Requirement statement or the audited 1999 revenues of the Surviving
Corporation, the Stockholders shall notify the Surviving Corporation in writing
of each disputed item (collectively, the "Disputed Amounts"),

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and specify the amount thereof in dispute within thirty (30) business days after
the delivery of the Minimum Cash Requirement statement or the final income
statement for 1999, as the case may be. If the Surviving Corporation and the
Stockholders cannot resolve any such dispute, then such dispute shall be
resolved by an independent nationally recognized accounting firm which is
reasonably acceptable to the Surviving Corporation and the Stockholders (the
"Independent Accounting Firm"). The determination of the Independent Accounting
Firm shall be made as promptly as practical and shall be final and binding on
the parties, absent manifest error which error may only be corrected by such
Independent Accounting Firm. Any expenses relating to the engagement of the
Independent Accounting Firm shall be allocated between the Surviving Corporation
and the Stockholders so that the Stockholders' aggregate share of such costs
shall bear the same proportion to the total costs that the Disputed Amounts
unsuccessfully contested by the Stockholders (as finally determined by the
Independent Accounting Firm) bear to the total of the Disputed Amounts so
submitted to the Independent Accounting Firm.

SECTION 3.        REPRESENTATIONS AND WARRANTIES OF THE COMPANY AND THE
STOCKHOLDERS.

         3.1      MAKING OF REPRESENTATIONS AND WARRANTIES. As a material
inducement to BOL and the Parent to enter into this Agreement and consummate the
transactions contemplated hereby, the Company and the Stockholders hereby
jointly and severally make to BOL and the Parent the representations and
warranties contained in this SECTION 3.

         3.2      ORGANIZATION AND QUALIFICATION OF THE COMPANY. NECA and
NECAnet are each a corporation duly organized, validly existing and in good
standing under the laws of the State of Connecticut with full corporate power
and authority to own or lease the Company's properties and to conduct the
Company's business in the manner and in the places where such properties are
owned or leased and where such business is currently conducted or proposed to be
conducted. The copies of the Certificate of Incorporation of the Company as
amended to date, certified by the Secretary of State for the State of
Connecticut and the bylaws certified by the Secretary of the Company attached as
SCHEDULE 3.2, are complete and correct, and no amendments thereto are pending.
The stock records and minute books of the Company which have heretofore been
delivered to BOL's counsel are correct and complete. The Company is duly
qualified to do business as a foreign corporation in each other jurisdiction in
which it owns, operates or leases real property and in each other jurisdiction
in which the failure to be so qualified or registered would have a material
adverse effect on the properties, assets, business, financial condition and
prospects of the Company.

         3.3      SUBSIDIARIES; INVESTMENTS. Except as set forth in SCHEDULE
3.3, the Company has no direct or indirect subsidiaries and owns no securities
issued by any other business organization or governmental authority, except U.S.
Government securities, bank certificates of deposit and money market accounts
acquired as short-term investments in the ordinary course of its business.
Except as set forth in SCHEDULE 3.3, neither the Company nor the Stockholders
own nor have any direct or indirect interest in or control over any corporation,
partnership, joint venture or entity of any kind (other than as an owner of less
than 2% of the outstanding common stock of a publicly held company which stock
trades on a national exchange.).

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         3.4      CAPITAL STOCK. The total authorized capital stock of the
Company consists solely of the shares listed on SCHEDULE 3.4. All of the issued
and outstanding shares of the Company Common Stock are duly authorized and
validly issued, are fully paid and nonassessable, are owned of record and
beneficially by the Stockholders as set forth in SCHEDULE 3.4 free and clear of
any liens, claims, encumbrances, restrictions, security interests, mortgages,
pledges or other demands, and all such shares were offered, issued, sold and
delivered by the Company in compliance with all applicable state and federal
laws concerning the issuance of securities. Further, none of such shares were
issued in violation of the preemptive rights of any past or present
stockholders. No shares of the Company Stock are held in the treasury of the
Company. SCHEDULE 3.4 contains a complete and correct listing of the
stockholders of the Company at the date hereof, together with the number and
class of the capital stock of the Company owned by each such stockholders. There
are no outstanding subscriptions, options, warrants, commitments, preemptive
rights, agreements, arrangements or commitments of any kind for or relating to
the issuance, sale, registration or voting of, or outstanding securities
convertible into or exchangeable for, any shares of capital stock of any class
or other equity interests of the Company. The Company has never acquired any
treasury stock.

         3.5      AUTHORITY OF THE COMPANY AND THE STOCKHOLDERS

                  (a)      The Company has full right, power and authority to
enter into this Agreement and each agreement, document and instrument to be
executed and delivered by it pursuant to or as contemplated by this Agreement
and to carry out the transactions contemplated hereby and thereby. The
execution, delivery and performance by the Company of this Agreement and each
such other agreement, document and instrument have been duly authorized by the
Company's Board of Directors, and have been approved by the Stockholders by a
unanimous written consent vote. This Agreement and each agreement, document and
instrument to be executed and delivered by the Company pursuant to or as
contemplated by this Agreement (to the extent it contains obligations to be
performed by the Company) constitutes, or when executed, delivered and approved
by the Stockholders will constitute, valid and binding obligations of the
Company, enforceable in accordance with their respective terms. The execution,
delivery and performance by the Company of this Agreement and each such other
agreement, document and instrument:

                           (i) does not and will not violate any provision of
         the Articles of Incorporation or bylaws of the Company;

                           (ii) to the Company's knowledge does not and will not
         violate any laws of the United States, or any state or other
         jurisdiction applicable to the Company or require the Company to obtain
         any court, regulatory body, administrative agency or other approval,
         consent or waiver, or make any filing with, any federal, state, local
         or foreign governmental body, agency or official ("Governmental
         Entity") that has not been obtained or made, other than the filing of
         the Certificate of Merger in accordance with the laws of the State of
         Connecticut and except for any other approvals, consents, waivers and
         filings that, if not obtained or made, individually or in the
         aggregate, would not have a material adverse effect on the properties,
         assets, business, financial condition or prospects of the Company; and

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                           (iii) except as otherwise indicated on SCHEDULE 3.5
         hereto, does not and will not result in a breach of, constitute a
         default under, accelerate any obligation under, or give rise to a right
         of termination of any indenture or loan or credit agreement or any
         other agreement, contract, instrument, mortgage, lien, lease, permit,
         authorization, order, writ, judgment, injunction, decree, determination
         or arbitration award, whether written or oral, to which the Company is
         a party or by which the property of the Company is bound or affected,
         or result in the creation or imposition of any mortgage, pledge, lien,
         security interest or other charge or encumbrance on any of the assets
         of the Company, except where such breach, default, acceleration or
         right of termination would not have a material adverse effect on the
         properties, assets, business, financial condition or prospects of the
         Company, and would not result in the creation or imposition of any
         mortgage, pledge, lien, security interest or other charge or
         encumbrance on any of the assets of the Company.

                  (b)      The Stockholders have full right, authority and power
to enter into this Agreement and each agreement, document and instrument to be
executed and delivered by or on behalf of them pursuant to or as contemplated by
this Agreement and to carry out the transactions contemplated hereby and
thereby. This Agreement and each agreement, document and instrument to be
executed and delivered by the Stockholders pursuant to or as contemplated by
this Agreement (to the extent it contains obligations to be performed by such
Stockholders) constitutes, or when executed and delivered will constitute, valid
and binding obligations of the Stockholders enforceable in accordance with their
respective terms, subject to the terms hereof. The execution, delivery and
performance by the Stockholders of this Agreement and each such agreement,
document and instrument:

                           (i) do not and will not violate any provision of the
         Articles of Incorporation or bylaws of the Company;

                           (ii) do not and will not to Stockholder's knowledge
         violate any laws of the United States, or any state or other
         jurisdiction applicable to the Stockholders or require the Stockholders
         to obtain any approval, consent or waiver of, or to the Stockholder's
         knowledge make any filing with, any Governmental Entity that has not
         been obtained or made; and

                           (iii) do not and will not result in a breach of,
         constitute a default under, accelerate any obligation under or give
         rise to a right of termination of any indenture or loan or credit
         agreement or any other agreement, contract, instrument, mortgage, lien,
         lease, permit, authorization, order, writ, judgment, injunction,
         decree, determination or arbitration award to which the Stockholders
         are a party or by which the property of such Stockholders is bound or
         to which the property of the Stockholders is subject or result in the
         creation or imposition of any mortgage, pledge, lien, security interest
         or other charge or encumbrance on any of the assets or properties of
         the Company. Except as disclosed on SCHEDULE 3.5, there are no
         stockholder agreements with respect to the ownership or operation of
         the Company, and any such agreements shall be terminated prior to the
         Closing.

         3.6      STATUS OF PROPERTY OWNED OR LEASED.

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                  (a) REAL PROPERTY. The Company does not own and has never
owned any real property. The real property identified as leased by the Company
on SCHEDULE 3.6(a) is collectively referred to herein as the "Real Property".
The Real Property constitutes all the real property leased by the Company.

                           (i) TITLE. Except as set forth on SCHEDULE 3.6(a), to
         the Company's knowledge there are no unrecorded mortgages, deeds of
         trust, ground leases, security interests or similar encumbrances,
         liens, assessments, licenses, claims, rights of first offer or refusal,
         options, or options to purchase, or any covenants, conditions,
         restrictions, rights of way, easements, judgments or other encumbrances
         or matters affecting title to or the Company's use or occupancy of the
         Real Property.

                           (ii) COMMISSIONS. There are no brokerage or leasing
         fees or commissions or other compensation due or payable on an absolute
         or contingent basis to any person, firm, corporation, or other entity
         with respect to or on account of any of the Company's use or occupancy
         of the Real Property, and no such fees, commissions or other
         compensation shall, by reason on any existing agreement, become due
         after the date hereof.

                           (iii) PHYSICAL CONDITION. Except as set forth on
         SCHEDULE 3.6(a), there is not to the Company's knowledge any (i)
         material defect in the physical condition of any of the Real Property,
         or (ii) material defect in any material improvements located on or
         constituting a part of any of the Real Property, including, without
         limitation, the structural elements thereof, the mechanical systems
         (including without limitation all heating, ventilating, air
         conditioning, plumbing, electrical, elevator, security,
         telecommunication, utility, and sprinkler systems) therein, the roofs
         or the parking and loading areas (collectively, the "Improvements"). To
         the Company's knowledge, all of the Improvements located on or
         constituting a part of any of the Real Property, including, without
         limitation, the structural elements thereof, the mechanical systems
         therein, the roofs and the parking and loading areas are in generally
         good operating condition and repair.

                           (iv) UTILITIES. The Company has not received any
         written notice of any termination or impairment of the furnishing of,
         or any material increase in rates for, services to any of the Real
         Property of water, sewer, gas, electric, telecommunication, drainage or
         other utility services, except ordinary and usual rate increases
         applicable to all customers (or all customers of a certain class) of a
         utility provider. The Company has not, to its knowledge, entered into
         any agreement requiring it to pay to any utility provider rates which
         are less favorable than rates generally applicable to customers of the
         same class as the Company.

                           (v) COMPLIANCE. Except as set forth on SCHEDULE
         3.6(a), the Company has not received any written notice from any
         municipal, state, federal or other governmental authority with respect
         to any violation of any zoning, building, fire, water, use, health,
         environmental or other statute, ordinance, code or regulation issued in
         respect of any of the Real Property that has not been heretofore
         corrected, and except in either case as set forth in SCHEDULE 3.6(a)
         hereto.

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                           (vi) GOVERNMENT APPROVALS. The Company has not
         received any notice of any plan, study or effort by any Governmental
         Entity which would adversely affect the present use, zoning or value to
         the Company of any of the Real Property or which would modify or
         realign any adjacent street or highway in a manner materially adverse
         to the Company.

                           (vii) ZONING. The Company has not received any notice
         of any zoning violations.

                           (viii) SERVICE CONTRACTS. A complete list of all
         material existing service, management, supply or maintenance or
         equipment lease contracts and other contractual agreements which the
         Company is a party to (the "Service Contracts") is set forth on
         SCHEDULE 3.6(a). All such Service Contracts are terminable upon no more
         than thirty (30) days written notice, at no cost, except as specified
         in SCHEDULE 3.6(a).

                  (b)      PERSONAL PROPERTY. A list of each item of the
machinery, equipment and other fixed assets owned or leased by the Company
having a fair market value of at least $5,000 (the "Equipment"), is contained in
SCHEDULE 3.6(b) hereto. All of the Equipment and other machinery, equipment and
personal property of the Company is located on the Real Property or used in the
operation of the Company. Except as specifically disclosed in SCHEDULE 3.6(b) or
in any of the Schedules to this Agreement, the Company has good and marketable
title to all of the personal property owned by it. None of such personal
property or assets is subject to any mortgage, pledge, lien, conditional sale
agreement, security title, encumbrance or other charge except as specifically
disclosed in any Schedule hereto or in the Financial Statements. The Financial
Statements reflect all personal property of the Company, subject to dispositions
and additions in the ordinary course of business consistent with this Agreement.
Except as otherwise specified in SCHEDULE 3.6(b) hereto, all leasehold
improvements, furnishings, machinery and equipment of the Company are in
generally good repair, normal wear and tear excepted, have been well maintained,
and conform in all material respects with all applicable ordinances, regulations
and other laws.

         3.7.     FINANCIAL STATEMENTS; UNDISCLOSED LIABILITIES.

                  (a)      Attached hereto as SCHEDULE 3.7 IS A DRAFT BALANCE
SHEET OF THE COMPANY DATED WITHIN FIVE (5) DAYS OF THE DATE HEREOF (THE "COMPANY
BALANCE SHEET DATE"). (b) As of the date hereof, the Company has no liabilities
of any nature, whether accrued, absolute, contingent or otherwise, (including
without limitation liabilities as guarantor or otherwise with respect to
obligations of others, or liabilities for taxes due or then accrued or to become
due or contingent liabilities arising prior to the date hereof or the Closing,
as the case may be) except liabilities (i) reflected in Schedules furnished to
Parent hereunder on the date hereof or (ii) incurred in the ordinary course of
business of the Company consistent with prior practices.

         3.8      TAXES.

                  (a) The Company has paid or caused to be paid all federal,
state, local, foreign and other taxes, including without limitation income
taxes, estimated taxes, alternative minimum

                                                                              10
<PAGE>

taxes, excise taxes, sales taxes, use taxes, value-added taxes, gross receipts
taxes, franchise taxes, capital stock taxes, employment and payroll-related
taxes, withholding taxes, stamp taxes, transfer taxes and property taxes,
whether or not measured in whole or in part by net income, and all deficiencies,
or other additions to tax, interest, fines and penalties owed by it
(collectively, "Taxes"), in the amounts indicated on tax returns filed by the
Company through the date hereof or in correspondence received from any federal,
state, local or foreign government taxing authority (other than current accrued
tax liability incurred in the ordinary course of Seller's business).

                  (b)      The Company has in accordance with applicable law
filed all federal, state, local and foreign tax returns required to be filed by
it through the date hereof and all such returns correctly and accurately set
forth the amount of any Taxes relating to the applicable period. For every
taxable period of the Company, the Company has delivered or made available to
Parent complete and correct copies of all federal, state, local and foreign
income tax returns, examination reports and statements of deficiencies assessed
against or agreed to by the Company. SCHEDULE 3.8 attached hereto sets forth all
federal tax elections under the Internal Revenue Code of 1986, as amended (the
"Code"), that are in effect with respect to the Company or for which an
application by the Company is pending.

                  (c)      Neither the Internal Revenue Service ("IRS") nor any
other governmental authority is now asserting in writing or threatening to
assert against the Company any deficiency or claim for additional Taxes or a
claim that the Company is or may be subject to taxation by that jurisdiction.
There are no security interests on any of the assets of the Company that arose
in connection with any failure (or alleged failure) to pay any Tax. The Company
has not entered into a closing agreement pursuant to Section 7121 of the Code.

                  (d)      Except as set forth in SCHEDULE 3.8 attached hereto,
there has not been any audit of any tax return filed by the Company, no audit of
any tax return of the Company is in progress, and the Company has not been
notified by any tax authority that any such audit is contemplated or pending.
Except as set forth in SCHEDULE 3.8, no extension of time with respect to any
date on which a tax return was or is to be filed by the Company is in force, and
no waiver or agreement by the Company is in force for the extension of time for
the assessment or payment of any Taxes.

                  (e)      (i) The Company has not consented to have the
provisions of Section 341(f)(2) of the Code applied to it, (ii) the Company has
not agreed to, and has not been requested by any governmental authority to, make
any adjustments under Section 481(a) of the Code by reason of a change in
accounting method or otherwise and (iii) the Company has never made any
payments, is obligated to make any payments, or is a party to any agreement that
under certain circumstances would obligate it to make any payments, that will
not be deductible under Section 280G of the Code. The Company has disclosed on
its federal income tax returns all positions taken therein that could give rise
to a penalty for underpayment of federal Tax under Section 6662 of the Code. The
Company has never had any liability for unpaid Taxes because it is a member of
an "affiliated group" (as defined in Section 1504(a) of the Code). The Company
has never filed, nor has it ever been required to file, a consolidated, combined
or unitary tax return with any entity. The Company is not a party to any tax
sharing agreement.

                                                                              11
<PAGE>

                  (f)      The Company computes its federal taxable income under
the cash basis method of accounting.

                  (g)      For purposes of this SECTION 3.8, all references to
Sections of the Code shall include any predecessor provisions to such Sections
and any similar provisions of federal, state, local or foreign law.

         3.9      ACCOUNTS RECEIVABLE. All accounts receivable of the Company
arising prior to the date hereof and thereafter, arose or will arise from valid
sales in the ordinary course of business. Except as set forth in SCHEDULE 3.9,
the Company has no accounts or loans receivable from any person, firm or
corporation which is affiliated with the Company. For purposes hereof,
"affiliate" means any Stockholder, or any business entity which controls, or is
controlled by, or is under common control with the Company.

         3.10     INVENTORIES.  The Company maintains less than $10,000 of
inventory, all saleable in the ordinary course and stated in accordance with
GAAP.

         3.11     ABSENCE OF CERTAIN CHANGES.

         Since December 31, 1998, the Company has conducted its business only in
the ordinary course and consistent with past practices and except as disclosed
in SCHEDULE 3.11 there has not been:

                  (a)      Any change in the properties, assets, liabilities,
business, operations, financial condition or prospects of the Company which
change by itself or in conjunction with all other such changes, whether or not
arising in the ordinary course of business, has been materially adverse with
respect to the Company;

                  (b)      Except for the endorsement of checks in the ordinary
course of business any material contingent liability incurred by the Company as
guarantor or otherwise with respect to the obligations of others or any
cancellation of any material debt or claim owing to, or waiver of any material
right of, the Company;

                  (c)      Any mortgage, encumbrance or lien placed on any of
the properties of the Company which remains in existence on the date hereof or
will remain on the Closing Date except for liens permitted by any current
agreement of the Company with respect to borrowed money;

                  (d)      Any purchase, sale or other disposition, or any
agreement or other arrangement for the purchase, sale or other disposition, of
any capital assets of the Company costing more than $10,000;

                  (e)      Any damage, destruction or loss, whether or not
covered by insurance, materially and adversely affecting any of the properties,
assets or business of the Company;

                                                                              12
<PAGE>

                  (f)      Any declaration, setting aside or payment of any
dividend by the Company, or the making of any other distribution in respect of
the capital stock of the Company, any direct or indirect redemption, purchase or
other acquisition by the Company of its own capital stock, any issuance or sale
of any securities convertible into or exchangeable for debt or equity securities
of the Company or any grant, issuance or exercise of options, warrants,
subscriptions, preemptive rights, agreements, arrangements or commitments of any
kind for or relating to the issuance, sale, registration or voting of any shares
of capital stock of any class or other equity interests of the Company;

                  (g)      Any claim of unfair labor practices asserted against
the Company; any change in the compensation (in the form of salaries, wages,
incentive arrangements or otherwise) payable or to become payable by the Company
to any of its officers, employees, agents or independent contractors other than
customary merit or cost of living increases in accordance with its usual
practices, or any bonus payment or arrangement made to or with any of such
officers, employees, agents or independent contractors; any entering into any
employment, deferred compensation or other similar agreement (or any amendment
to any such existing agreement) with any officer, director or employee of the
Company except for employment arrangements providing for salary or wages of less
than $20,000 per annum and any oral agreement terminable at will by the Company;

                  (h)      Any change with respect to the officers or senior
management of the Company, any grant of any severance or termination pay to any
officer or employee of the Company;

                  (i)      Any payment or discharge of a material lien or
liability of the Company which was not incurred in the ordinary course of
business thereafter;

                  (j)      Any obligation or liability incurred by the Company
to any of its officers, directors or stockholders, or any loans or advances made
by the Company to any of its officers, directors, stockholders, except normal
compensation and expense allowances payable to officers or employees;

                  (k)      Any change in accounting methods or practices other
than to comply with new accounting pronouncements, credit practices or
collection policies used by the Company;

                  (l)      Any other transaction entered into by the Company
other than transactions in the ordinary course of business; or

                  (m)      Any agreement or understanding whether in writing or
otherwise, that would result in any of the transactions or events or require the
Company to take any of the actions specified in paragraphs (i) through (xii)
above.

         3.12     BANKING RELATIONS. All of the arrangements which the Company
has with any banking institution are described in SCHEDULE 3.12 attached hereto,
indicating with respect to each of such arrangements the type of arrangement
maintained (such as checking account, borrowing arrangements, safe deposit box,
etc.), the names in which the accounts are held, the

                                                                              13
<PAGE>

account number, and the name of each person, corporation, firm or other entity
authorized in respect thereof.

         3.13     PATENTS, TRADE NAMES, TRADEMARKS, COPYRIGHTS AND PROPRIETARY
RIGHTS. All patents, patent applications, trademark registrations, trademark
registration applications, copyright registrations, copyright registration
applications and all material trade names, trademarks, copyrights and other
material proprietary rights owned by or licensed to the Company or used in its
respective business as presently conducted (the "Proprietary Rights") are listed
in SCHEDULE 3.13 attached hereto. Except as indicated on SCHEDULE 3.13, all of
the material patents, registered trademarks and copyrights of the Company and
all of the material patent applications, trademark registration applications and
copyright registration applications of the Company have been duly registered in,
filed in or issued by the United States Patent and Trademark Office, the United
States Register of Copyrights or the corresponding offices of other countries
identified on said schedule. Except as set forth in SCHEDULE 3.13: (a) use of
said patents, trade names, trademarks, copyrights or other proprietary rights in
the ordinary course of business as presently conducted does not require the
consent of any other person and (b) the Company has sufficient title or adequate
rights or licenses to use all material patents, trade names, trademarks,
copyrights, or other proprietary rights used by it in its business as presently
conducted free and clear of any attachments, liens, encumbrances or adverse
claims. The Company has not received written notice that its present or
contemplated activities or products infringe any such patents, trade names,
trademarks or other proprietary rights of others. Except as set forth in
SCHEDULE 3.13: (i) no other person has an interest in or right or license to
use, or the right to license others to use, any of said patents, patent
applications, trade names, trademarks, copyrights or other proprietary rights;
(ii) there are no written claims or demands of any other person pertaining
thereto and no proceedings have been instituted, or are pending or threatened,
which challenge the rights of the Company in respect thereof; (iii) none of the
patents, trade names, trademarks, copyrights or other proprietary rights listed
in said schedule is subject to any outstanding order, decree, judgment or
stipulation, or is being infringed by others; and (iv) no proceeding charging
the Company with infringement of any adversely held patent, trade name,
trademark or copyright has been filed or is threatened to be filed.

         3.14     TRADE SECRETS AND CUSTOMER LISTS. The Company has the right to
use in the ordinary course of its business as presently conducted, free and
clear of any claims or rights of others, all trade secrets, inventions, customer
lists and secret processes required for or incident to the manufacture or
marketing of all products presently sold, manufactured, licensed, under
development or produced by it, including products licensed from others. Any
payments required to be made by the Company for the use of such trade secrets,
inventions, customer lists and secret processes are described in SCHEDULE 3.14.
The Company is not using or in any way making use of any confidential
information or trade secrets of any third party, including without limitation, a
former employer of any present or past employee of the Company or any of the
predecessors of the Company.

         3.15     CONTRACTS.

                                                                              14
<PAGE>

                  (a)      Except for contracts, commitments, plans, agreements
and licenses described in SCHEDULE 3.15 (complete and accurate copies of which
have been delivered to the Parent), the Company is neither a party to nor
subject to:

                           (i) any plan or contract providing for bonuses,
         pensions, options, stock purchases, deferred compensation, retirement
         payments, profit sharing, severance or termination pay, collective
         bargaining or the like, or any contract or agreement with any labor
         union;

                           (ii) any employment contract or contract for services
         which requires the payment of $20,000 or more annually or which is not
         terminable within thirty (30) days by the Company without liability for
         any penalty or severance payment other than pursuant to the Company's
         severance policies existing on the date hereof;

                           (iii) any contract or agreement for the purchase of
         any commodity, material or equipment except purchase orders in the
         ordinary course for less than $10,000 each;

                           (iv) any other contracts or agreements creating any
         obligation of the Company of $10,000 or more with respect to any such
         contract;

                           (v) any contract or agreement providing for the
         purchase of all or substantially all of its requirements of a
         particular product from a supplier;

                           (vi) any contract or agreement which by its terms
         does not terminate or is not terminable by the Company or any successor
         or assign within six months after the date hereof without payment of a
         penalty;

                           (vii) any contract or agreement for the sale or lease
         of its products or services not made in the ordinary course of
         business;

                           (viii) any contract with any sales agent or
         distributor of products of the Company or any subsidiary;

                           (ix) any contract containing covenants limiting the
         freedom of the Company to compete in any line of business or with any
         person or entity;

                           (x) any contract or agreement for the purchase of any
         fixed asset for a price in excess of $10,000 whether or not such
         purchase is in the ordinary course of business;

                           (xi) any license agreement (as licensor or licensee);

                                                                              15
<PAGE>

                           (xii) any indenture, mortgage, promissory note, loan
         agreement, guaranty or other agreement or commitment for the borrowing
         of money and any related security agreement;

                           (xiii) any contract or agreement with any officer,
         employee, director or stockholder of the Company or with any persons or
         organizations controlled by or affiliated with any of them;

                           (xiv) any partnership, joint venture, or other
         similar contract, arrangement or agreement; or

                           (xv) any registration rights agreements, warrants,
         warrant agreements or other rights to subscribe for securities, any
         voting agreements, voting trusts, shareholder agreements or other
         similar arrangements or any stock purchase or repurchase agreements or
         stock restriction agreements.

                  (b)      All material contracts, agreements, leases and
instruments to which the Company is a party or by which the Company is obligated
are valid and are in full force and effect and constitute legal, valid and
binding obligations of the Company and the other parties thereto, enforceable in
accordance with their respective terms. Neither the Company nor to the Company's
knowledge any other party to any contract, agreement, lease or instrument of the
Company is in default in complying with any provisions thereof, and no condition
or event or facts exists which, with notice, lapse of time or both would
constitute a default thereof on the part of either of the Company or on the part
of any other party thereto in any such case that could have a material adverse
effect on the properties, assets, financial condition or prospects of either of
the Company. SCHEDULE 3.15 indicates whether any of the agreements, contracts,
commitments or other instruments and documents described therein requires
consent or approval to be transferred to the Surviving Corporation as a result
of the transactions contemplated herein.

         3.16     LITIGATION. SCHEDULE 3.16 hereto lists all currently pending
and to the Company's knowledge threatened litigation and governmental or
administrative proceedings or investigations to which the Company is a party.
Except for matters described in SCHEDULE 3.16, there is no litigation or
governmental or administrative proceeding or investigation pending or to the
Company's knowledge threatened against the Company which may have an adverse
effect on the properties, assets, business, financial condition or prospects of
the Company or which would prevent or hinder the consummation of the
transactions contemplated by this Agreement.

         3.17     COMPLIANCE WITH LAWS. The Company has not received notice of a
violation or alleged violation of applicable statutes, ordinances, orders, rules
and regulations promulgated by any federal, state, municipal or other
governmental authority, which violation or alleged violation would have a
material adverse effect on the business of the Company, and except as set forth
in SCHEDULE 3.17 hereto, to the Company's knowledge, the Company is currently in
compliance in all material respects with all such statutes, ordinances, orders,
rules or regulations, and there is no valid basis for any claim that the Company
is not in such compliance with any such statute, ordinance, order, rule or
regulation.

                                                                              16
<PAGE>

         3.18     INSURANCE. The Company has delivered to counsel to BOL true
and correct copies of each insurance policy (including policies providing
property, casualty, Liability, and workers' compensation coverage and bond and
surety arrangements) to which the Company has been a party, a named insured, or
otherwise the beneficiary of coverage at any time within the past five (5)
years. With respect to each such insurance policy: (i) the policy is legal,
valid, binding, enforceable, and in full force and effect; (ii) the policy will
continue to be legal, valid, binding, enforceable, and in full force and effect
on identical terms following the consummation of the transactions contemplated
hereby, (iii) neither the Seller nor any other party to the policy is in breach
or default (including with respect to the payment of premiums or the giving of
notices), and no event has occurred which, with notice or the lapse of time,
would constitute such a breach or default, or permit termination, modification,
or acceleration, under the policy; and (iv) no party to the policy has
repudiated any provision thereof. SCHEDULE 3.18 describes any self-insurance
arrangements affecting the Seller.

         3.19     WARRANTY AND RELATED MATTERS. There are no existing or
threatened in writing, product liability, warranty or other similar claims
against the Company alleging that any of its products or services are defective
or fail to meet any product or service warranties except as disclosed in
SCHEDULE 3.19 hereto. The Company has not received notice of any statements,
citations, correspondence or decisions by any Governmental Entity stating that
any product manufactured, marketed or distributed at any time by the Company
(the "Company Products") is defective or unsafe or fails to meet any product
warranty or any standards promulgated by any such Governmental Entity. There
have been no recalls ordered by any such Governmental Entity with respect to any
Company Product. There is no (i) fact relating to any Company Product that may
impose upon the Company a duty to recall any Company Product or a duty to warn
customers of a defect in any Company Product, (ii) latent or overt design,
manufacturing or other defect in any Company Product, or (iii) liability for
warranty or other claim or return with respect to any Company Product except in
the ordinary course of business consistent with the past experience of the
Company for such kind of claims and liabilities.

         3.20     FINDER'S FEES. No broker, finder or investment banker is
entitled to any brokerage, finder's or other fee or commission in connection
with the transactions contemplated hereby based upon arrangements made by or on
behalf of the Company or the Stockholders.

         3.21    PERMITS; BURDENSOME AGREEMENTS. SCHEDULE 3.21 lists all
material permits, registrations, licenses, franchises, certifications and other
approvals (collectively, the "Approvals") required from Governmental Entities in
order for the Company to conduct its business. The Company has obtained all the
Approvals, which are valid and in full force and effect. Except as disclosed on
SCHEDULE 3.21, none of the Approvals is subject to termination by their express
terms as a result of the execution of this Agreement by the Company or the
consummation of the Merger, and no further Approvals will be required in order
to continue to conduct the business currently conducted by the Company
subsequent to the Closing. Except as disclosed in SCHEDULE 3.21 or in any other
schedule hereto, the Company is neither subject to nor bound by any agreement,
judgment, decree or order which may materially and adversely affect its
properties, assets, business, financial condition or prospects.

                                                                              17
<PAGE>

         3.22     TRANSACTIONS WITH INTERESTED PERSONS. Except as set forth in
SCHEDULE 3.22 hereto, no Stockholder, officer, employee or director of the
Company and none of their respective parents, grandparents, spouses, children,
siblings or grandchildren owns directly or indirectly on an individual or joint
basis any material interest in, or serves as an officer or director or in
another similar capacity of, any competitor, supplier or customer of the Company
or any organization, person or entity with whom the Company is doing business.

         3.23     EMPLOYEE BENEFIT PROGRAMS.

                  (a)     SCHEDULE 3.23 sets forth a list of every Employee
Program (as defined below) that has been maintained (as such term is further
defined below) by the Company at any time during the three-year period ending on
the date hereof.

                  (b)      Each Employee Program which has been maintained by a
Company and which has at any time been intended to qualify under Section 401(a)
or 501(c)(9) of the Code, has received a favorable determination or approval
letter from the IRS regarding its qualification under such section and has, in
fact, been qualified under the applicable section of the Code from the effective
date of such Employee Program through and including the Closing (or, if earlier,
the date that all of such Employee Program's assets were distributed). No event
or omission has occurred which would cause any such Employee Program to lose
such qualification under the applicable Code section.

                  (c)      Except as otherwise disclosed on SCHEDULE 3.23, to
the knowledge of the Stockholders there has not been any failure of any party to
comply with any laws applicable to or the terms of any Employee Programs that
have been maintained by the Company, except for any failures to comply that,
individually or in the aggregate, would not have a material adverse effect on
the properties, assets, business, financial condition or prospects of the
Company. With respect to any Employee Program now or heretofore maintained by
the Company, there has occurred no "prohibited transaction," as defined in
Section 406 of the Employee Retirement Income Security Act of 1974, as amended
("ERISA"), or Section 4975 of the Code, or breach of any duty under ERISA or
other applicable law (including, without limitation, any health care
continuation requirements or any other tax law requirements, or conditions to
favorable tax treatment, applicable to such plan), which could result, directly
or indirectly (including without limitation through any obligation of
indemnification or contribution) in any taxes, penalties or other liability to
the Company or any Affiliate (as defined below). No litigation, arbitration, or
governmental administrative proceeding or investigation or other proceeding
(other than those relating to routine claims for benefits) is pending or
threatened with respect to any such Employee Program.

                  (d)      Neither the Company nor any Affiliate has ever
maintained any Employee Program subject to Title IV of ERISA.

                  (e)      Except as otherwise disclosed on SCHEDULE 3.23, with
respect to each Employee Program maintained by the Company within the three
years preceding the date hereof, complete and correct copies of the following
documents (if applicable to such Employee Program) have previously been
delivered to the Parent: (i) all documents embodying or

                                                                              18
<PAGE>

governing such Employee Program, and any funding medium for the Employee Program
(including, without limitation, trust agreements) as they may have been amended
to the date hereof; (ii) the most recent IRS determination or approval letter
with respect to such Employee Program under Code Section 401 or 501(c)(9), and
any applications for determination or approval subsequently filed with the IRS;
(iii) the three most recently filed IRS forms 5500, with all applicable
schedules and accountants' opinions attached thereto; (iv) the summary plan
description for such Employee Program (or other descriptions of such Employee
Program provided to employees) and all modifications thereto; (v) any insurance
policy (including any fiduciary liability insurance policy) related to such
Employee Program; and (vi) any documents evidencing any loan to an Employee
Program that is a leveraged employee stock ownership plan.

                  (f)      Each Employee Program maintained by the Company as of
the date hereof is subject to amendment or termination by the Board of Directors
of the Company without any further liability or obligation on the part of the
Company to make further contributions to any trust maintained under any such
Employee Program following such termination and the Company has not made any
written or oral representations to the contrary to its employees.

                  (g)      For purposes of this SECTION 3.23:

                           (i) "Employee Program" means (a) all employee benefit
         plans within the meaning of ERISA Section 3(3), including, but not
         limited to, multiple employer welfare arrangements (within the meaning
         of ERISA Section 3(40)), plans to which more than one unaffiliated
         employer contributes and employee benefit plans (such as foreign or
         excess benefit plans) which are not subject to ERISA; and (b) all stock
         option plans, bonus or incentive award plans, severance pay policies or
         agreements, deferred compensation agreements, supplemental income
         arrangements, vacation plans, and all other employee benefit plans,
         agreements, and arrangements not described in subsection (a) above. In
         the case of an Employee Program funded through an organization
         described in Code Section 501(c)(9), each reference to such Employee
         Program shall include a reference to such organization;

                           (ii) an entity "maintains" an Employee Program if
         such entity sponsors, contributes to, or provides (or has promised to
         provide) benefits under such Employee Program, or has any obligation
         (by agreement or under applicable law) to contribute to or provide
         benefits under such Employee Program, or if such Employee Program
         provides benefits to or otherwise covers employees of such entity (or
         their spouses, dependents, or beneficiaries);

                           (iii) an entity is an "Affiliate" of a Company for
         purposes of this SECTION 3.23 if it would have ever been considered a
         single employer with the Company under ERISA Section 4001(b) or part of
         the same "controlled group" as the Company for purposes of ERISA
         Section 302(d)(8)(c) and

                           (iv) "Multiemployer Plan" means a (pension or
         non-pension) employee benefit plan to which more than one employer
         contributes and which is maintained pursuant to one or more collective
         bargaining agreements.

                                                                              19
<PAGE>

         3.24     ENVIRONMENTAL MATTERS.

                  (a)      Except as used in connection with routine maintenance
and as set forth in SCHEDULE 3.24 hereto, (i) the Company has never generated,
transported, used, stored, treated, disposed of, or managed any Hazardous Waste
(as defined below); (ii) to the knowledge of the Company and the Stockholders no
Hazardous Material (as defined below) has ever been or is threatened to be
spilled, released, or disposed of at any site presently leased, or used by the
Company, or has ever come to be located in the soil or groundwater at any such
site; (iii) the Company does not to the Stockholders' knowledge presently own,
operate, lease, or use, nor has it previously owned, operated, leased, or used
any site on which underground storage tanks are or were located; and (iv) no
lien has ever been imposed by any Governmental Entity on any property, facility,
machinery, or equipment owned, operated, leased, or used by the Company in
connection with the presence of any Hazardous Material.

                  (b)      Except as set forth in SCHEDULE 3.24 hereto, (i) the
Company has no liability under, nor has the Company ever violated in any
material respect, any Environmental Law (as defined below); (ii) to the Company
and the Stockholder's knowledge any property leased, or used by the Company and
any facilities and operations thereon are presently in compliance in all
material respects with all applicable Environmental Laws; (iii) the Company has
never entered into or been subject to any judgment, consent decree, compliance
order, or administrative order with respect to any environmental or health and
safety matter or received any request for information, notice, demand letter,
administrative inquiry, or formal or informal complaint or claim with respect to
any environmental or health and safety matter or the enforcement of any
Environmental Law (as defined below); and (iv) the Company nor any Company
Stockholder has any reason to believe that any of the items enumerated in clause
(iii) of this paragraph will be forthcoming.

                  (c)      Except as set forth in SCHEDULE 3.24 hereto, to the
knowledge of the Stockholders no site leased, or used by the Company contains
any asbestos or asbestos-containing material, any polychlorinated biphenyls
("pcb's") or equipment containing pcb's, or any urea formaldehyde foam
insulation.

                  (d)      For purposes of this SECTION 3.24, (i) "Hazardous
Material" shall mean and include any hazardous waste, hazardous material,
hazardous substance, petroleum product, oil, toxic substance, pollutant, or
contaminant, as defined or regulated under any Environmental Law or any other
substance which may pose a threat to the environment or to human health or
safety; (ii) "Hazardous Waste" shall mean and include any hazardous waste as
defined or regulated under any Environmental Law; (iii) "Environmental Law"
shall mean any environmental laws, regulation, rule, ordinance, or by-law at the
foreign, federal, state, or local level, existing as of the date hereof; and
(iv) the Company shall mean and include the Company, its predecessors and all
other entities for whose conduct the Company is or may be held responsible under
any Environmental Law.

         3.25     LISTS OF CERTAIN EMPLOYEES AND SUPPLIERS.

                                                                              20
<PAGE>

                  (a)      SCHEDULE 3.25 hereto contains a list of all current
directors and officers of the Company and a list of all managers, employees and
consultants of the Company who, individually, have received or are scheduled to
receive base salary from the Company during the current fiscal year of $20,000
or more. In each case such schedule includes the current job title and current
base salary of each such individual.

                  (b)      SCHEDULE 3.25 sets forth a true and complete list of
all suppliers of the Company to whom the Company made payments aggregating
$25,000 or more during the most recent complete fiscal year, showing, with
respect to each, the name, address and dollar volume involved.

         3.26     EMPLOYEES; LABOR MATTERS. As of the date hereof, the Company
employed the number of full-time employees and part-time employees described on
SCHEDULE 3.26. The Company is not delinquent in payments to any of its employees
for any wages, salaries, commissions, bonuses or other direct compensation for
any services performed for it to the date hereof or amounts required to be
reimbursed to such employees. Except as set forth in SCHEDULE 3.26, upon
termination of the employment of any of said employees, the Company will not by
reason of the Merger be liable to any of said employees for so-called "severance
pay" or any other payments. Except as set forth in SCHEDULE 3.26 attached
hereto, the Company has no policy, practice, plan or program of paying severance
pay or any form of severance compensation in connection with the termination of
employment. The Company is in compliance with all applicable laws and
regulations respecting labor, employment, fair employment practices, terms and
conditions of employment, and wages and hours. No charges of employment
discrimination or unfair labor practices have been brought against the Company,
nor are there any strikes, slowdowns, stoppages of work, or any other concerted
interference with normal operations existing, pending or threatened against or
involving the Company. There are no grievances, complaints or charges that have
been filed against the Company under any dispute resolution procedure
(including, but not limited to, any proceedings under any dispute resolution
procedure under any collective bargaining agreement). No collective bargaining
agreements are in effect or are currently being or are about to be negotiated by
the Company. The Company has not received written notice of pending or
threatened changes with respect to the senior management or key supervisory
personnel of the Company.

         3.27     CUSTOMERS. SCHEDULE 3.27 sets forth any customer who accounted
for more than 5% of the sales of the Company for the most recent complete fiscal
year of the Company (collectively, the "Customers"). No Customer has given
notice to the Company of its intention to terminate, to cancel or otherwise
materially and adversely modify its relationship with the Company or to decrease
materially or limit its usage or purchase of the services or products of the
Company.

         3.28     Y2K. The Company has taken all necessary action to assess,
evaluate and correct all of the hardware, software, embedded microchips and
other processing capabilities of computer and telecommunication systems it uses,
either directly or indirectly, including but not limited to computerized
services provided by third parties such as billing and payroll services, to
ensure that such systems will be able to function accurately and without
interruption or ambiguity using date information before, during and after
January 1, 2000.

                                                                              21
<PAGE>

         3.29     DISCLOSURE. This Agreement, including the Schedules hereto
prepared by the Company and the Stockholders and the Exhibits hereto, neither
contains an untrue statement of material fact nor omits to state a material fact
necessary to make the statements herein and therein, in light of the
circumstances under which they were made, not misleading. Any matter disclosed
by the Company and the Stockholders in this Agreement or the Exhibits and/or
Schedules hereto shall be deemed disclosed on each other Schedule or Exhibit
where the inclusion of such item or matter may reasonably be required.

SECTION 4.        COVENANTS OF THE COMPANY AND THE STOCKHOLDERS.

         4.1      MAKING OF COVENANTS AND AGREEMENTS.  The Company and the
Stockholders covenant and agree as set forth in this SECTION 4.

         4.2      CONDUCT OF BUSINESS. Between the date of this Agreement and
the Merger Effective Date, the Stockholders will cause the Company to do and the
Company will do the following, unless Parent shall otherwise consent in writing:

                  (a)      conduct its business only in the ordinary course
consistent with past practices, refrain from changing or introducing any method
of management or operations except in the ordinary course of business and in a
manner consistent with past practices and maintain levels of working capital
consistent with past practices;

                  (b)      refrain from making any purchase, sale or disposition
of any asset or property other than in the ordinary course of business, from
purchasing or selling any capital asset costing more than $5,000 and from
mortgaging, pledging, subjecting to a lien or otherwise encumbering any of its
properties or assets;

                  (c)      refrain from incurring or modifying any contingent
liability as a guarantor or otherwise with respect to the obligations of others,
and from incurring or modifying any other contingent or fixed obligations or
liabilities except in the ordinary course of business and in a manner consistent
with past practices;

                  (d)      refrain from making any change in its incorporation
documents, by-laws or authorized or issued capital stock or from acquiring any
securities issued by any other business organization other than short-term
investments in the ordinary course of business;

                  (e)      refrain from declaring, setting aside or paying any
dividend, making any other distribution in respect of its capital stock, making
any direct or indirect redemption, purchase or other acquisition of its capital
stock, issuing, granting, awarding, selling, pledging, disposing of or
encumbering or authorizing the issuance, grant, award, sale, pledge, disposition
or encumbrance of any shares of, or securities convertible or exchangeable for,
or options, warrants, calls, commitments or rights of any kind to acquire, any
shares of capital stock of any class of the Company or entering into any
agreement or commitment with respect to any of the foregoing;

                                                                              22
<PAGE>

                  (f)      refrain from making any change in the compensation
payable or to become payable to any of its officers, employees or agents, except
for scheduled increases in salary or wages in the ordinary course of business
that are consistent with past practices, or granting any severance or
termination pay to, or establishing, adopting or entering into any agreement or
arrangement providing for severance or termination pay to, or entering into or
amending any employment, or other agreement or arrangement with, any director,
officer or other employee of the Company or any Stockholder or establishing,
adopting or entering into or amending any collective bargaining, bonus,
incentive, deferred compensation, profit sharing, stock option or purchase,
insurance, pension, retirement or other employee benefit plan;

                  (g)      refrain from making any change in its borrowing
arrangements except for paying the Company's outstanding debt, which debt shall
be paid in full prior to the Closing or modifying, amending or terminating any
of its contracts except in the ordinary course of business, or waiving,
releasing or assigning any material rights or claims;

                  (h)      use reasonable efforts to prevent any change with
respect to its management and supervisory personnel or banking arrangements;

                  (i)      use reasonable efforts to keep intact its business
organization and to preserve the goodwill of and business relationships with all
suppliers, customers and others having business relations with it, and to
maintain its properties and facilities, including those held under leases, in as
good a working order and condition as on the date hereof, ordinary wear and tear
excepted;

                  (j)      use reasonable efforts to have in effect and maintain
at all times all insurance of the kind, in the amount and with the insurers set
forth in SCHEDULE 3.18 or equivalent insurance with any substitute insurers
approved by Parent;

                  (k)      refrain from changing accounting policies or
procedures (including, without limitation, procedures with respect to the
payment of accounts payable and collection of accounts receivable) or from
making any tax election or settling or compromising any federal, state, local or
foreign income tax liability;

                  (l)      refrain from entering into any executory agreement,
commitment or undertaking to do any of the activities prohibited by the
foregoing provisions; and

                  (m)      permit Parent and its authorized representatives
(including without limitation Parent's attorneys, accountants, and pension and
environmental consultants) to have full access to all of its properties, assets,
books, records, business files, executive personnel, tax returns, contracts and
documents and furnish to Parent and its authorized representatives such
financial and other information with respect to its business or properties as
Parent may from time to time reasonably request.

         4.3      CONSENTS AND APPROVALS. Subject to the Parent's obligations
set forth in SECTION 5.2(a), the Company and the Stockholders shall use their
best efforts to obtain or cause to be obtained prior to the Closing Date all
necessary consents and approvals to the performance of the

                                                                              23
<PAGE>

obligations of the Company and the Stockholders under this Agreement, including,
without limitation, the consents and authorizations described in SCHEDULE 3.15
or SCHEDULE 4.3 and such other authorizations, waivers, consents and permits as
may be necessary to transfer to Parent and/or to retain in full force and effect
without penalty subsequent to the Effective Time all contracts, permits,
licenses and franchises of or applicable to the businesses of the Company.

         4.4      ACTION BY WRITTEN CONSENT OF STOCKHOLDERS. On the date hereof
the Stockholders will execute and deliver a unanimous written consent in lieu of
a meeting in accordance with applicable law for the purpose of authorizing the
transactions contemplated hereby. The recommendation of the Board of Directors
will remain in effect at all times prior to the Effective Time. The Stockholders
hereby agree to vote all shares of capital stock of the Company held of record
by them or over which the exercise voting control in favor of the Merger, this
Agreement and the consummation of the transactions contemplated hereby and shall
not demand appraisal or dissenter's rights in connection with the merger under
the business corporation laws of the State of Connecticut.

         4.5      EXCLUSIVE DEALING. Unless and until the earlier to occur of
the Closing Date or the termination of this Agreement pursuant to SECTION 9,
neither the Company nor the Stockholders shall, nor shall any of them permit any
director, officer, employee or agent of either of them to, directly or
indirectly, (i) take any action to solicit, initiate submission of or encourage,
proposals or offers from any person relating to any acquisition or purchase of
all or (other than in the ordinary course of business) a portion of the assets
of, or any equity interest in, the Company or any merger or business combination
with the Company (an "Acquisition Proposal"), (ii) participate in any
discussions or negotiations regarding an Acquisition Proposal with any person or
entity other than Parent and BOL and their representatives, or (iii) otherwise
cooperate in any way with, or assist or participate in, facilitate or encourage,
any effort or attempt by any other person to do any of the foregoing.

         4.6      NO SALES OF CAPITAL STOCK. Between the date of this Agreement
and the Effective Time, the Stockholders shall neither sell, exchange, deliver,
assign, pledge, encumber nor otherwise transfer or dispose of any Company Stock
owned beneficially or of record by the Stockholders, nor grant any right of any
kind to acquire, dispose of, vote or otherwise control in any manner such shares
of Company Stock; provided, however, that notwithstanding anything to the
contrary stated herein, any transferee, executor, heir, legal representative,
successor or assign of the Stockholders shall be bound by this Agreement.

         4.7      NOTIFICATION OF CERTAIN MATTERS. The Stockholders and the
Company shall give prompt notice to the Parent of (i) the occurrence or
non-occurrence of any event the occurrence or non-occurrence of which would be
likely to cause any representation or warranty of the Company or the
Stockholders contained herein to be untrue or inaccurate in any material respect
at or prior to the Closing and (ii) any material failure of the Stockholders or
the Company to comply with or satisfy any covenant, condition or agreement to be
complied with or satisfied by such person hereunder. The delivery of any notice
pursuant to this SECTION 4.7 shall not be deemed to (i) modify the
representations or warranties hereunder of the party delivering such notice,
(ii) modify the conditions set forth in SECTION 7 or elsewhere or (iii) affect
the Parent's right to terminate this Agreement.

                                                                              24
<PAGE>

         4.8      AMENDMENT OF SCHEDULES. The Company and the Stockholders agree
that, with respect to the representations and warranties contained in this
Agreement, the Company and the Stockholders shall have the continuing obligation
until the Closing Date to supplement or amend promptly the Schedules hereto with
respect to any matter hereafter arising or discovered which, if existing or
known at the date of this Agreement, would have been required to be set forth or
described on the Schedules.

         4.9      FURTHER ASSURANCES. The Company and the Stockholders agree to
execute and deliver, or cause to be executed and delivered, such further
instruments or documents or take such other action as may be reasonably
necessary or convenient to carry out the transactions contemplated hereby.

SECTION 5.        REPRESENTATIONS AND WARRANTIES OF THE PARENT AND BOL;
COVENANTS OF BOL AND THE PARENT.

         5.1      MAKING OF REPRESENTATIONS AND WARRANTIES.  As of the date
hereof, BOL and the Parent hereby jointly and severally represents and warrants
to the Stockholders and the Company as set forth in this SECTION 5.

                  (a)      ORGANIZATION OF BOL, THE PARENT. Each of BOL and the
Parent is a corporation duly organized, validly existing and in good standing
under the laws of its state of incorporation with full corporate power and
authority to conduct is businesses in the manner as now conducted and in the
places where such properties are owned or leased and where such business are
currently being conducted. BOL and Parent are duly qualified to do business as
foreign corporations in each other jurisdiction where they own, operate or lease
real property and in each other jurisdiction in which the failure to be so
qualified or registered would have a material adverse effect on the properties,
assets, business, financial condition and prospects of either.

                  (b)      AUTHORITY. All necessary corporate action has been
taken by each of BOL and the Parent to authorize the execution, delivery and
performance of this Agreement and each agreement, document and instrument to be
executed and delivered by BOL and the Parent pursuant to this Agreement and to
carry out the transaction contemplated hereby and thereby. This Agreement and
each agreement, document and instrument to be executed and delivered by each of
BOL and the Parent pursuant to or contemplated by this Agreement (to the extent
it contains obligations to be performed by BOL or the Parent) constitutes, or
when executed and delivered by BOL or the Parent will constitute, valid and
binding obligations of BOL or Parent as the case may be, enforceable in
accordance with their respective terms.

                  (c)      NO CONFLICTS. The execution, delivery and performance
by BOL and the Parent of this Agreement and each such other agreement, document
and instrument: (i) does not and will not violate any provision of the
Certificate of Incorporation or bylaws of BOL or the Parent; (ii) will not
result in a breach of, constitute a default under, accelerate any obligation
under, or give rise to a right of termination of any indenture or loan or credit
agreement or any other agreement, contract, instrument, mortgage, lien, lease,
permit, authorization, order, writ,

                                                                              25
<PAGE>

judgment, injunction, decree, determination or arbitration award, whether
written or oral, to which BOL or the Parent is a party or by which the property
of BOL or the Parent is bound or affected, or result in the creation or
imposition of any mortgage, pledge, lien, security interest or other charge or
encumbrance on any of the assets of BOL or the Parent, except where such breach,
default, acceleration or right of termination would not have a material adverse
effect on the properties, assets, business, financial condition or prospects of
BOL or the Parent and would not result in the creation or imposition of any
mortgage, pledge, lien, security interest or other charge or encumbrance on any
of the assets of BOL or the Parent, (iii) does not or will not, to BOL or the
Parent's knowledge, violate any laws of the United states, or any state or other
jurisdiction, or any state or other jurisdiction applicable to BOL or the Parent
or require BOL or the Parent to obtain any court, regulatory body,
administrative agency or other approval, consent or waiver, or make any filing
with, any federal, state, local or foreign governmental body, agency or official
("Governmental Entity") that has not been obtained or made, other than the
filing of the Certificate of Merger in accordance with the laws of the State of
Connecticut and except for any other approvals, consents, waivers and filings
that, if not obtained or made, individually or in the aggregate, would not have
a material adverse effect on the properties, assets, business, financial
condition or prospects of the BOL or the Parent.

                  (d)      PARENT STOCK. The Parent Stock to be delivered to the
Stockholders at the Closing, when delivered in accordance with the terms of this
Agreement, will constitute valid and legally issued shares of the Common Stock
of the Parent, fully paid and non-assessable. Such Parent Stock will constitute
restricted securities and will be subject to the lock-up provisions and other
transfer restrictions imposed under this Agreement and under applicable federal
and state securities laws.

                  (e)      LITIGATION. There is no litigation or governmental or
administrative proceeding or investigation pending or threatened against BOL or
the Parent which may have an adverse effect on the properties, assets, business,
financial condition or prospects of BOL or the Parent or which would prevent or
hinder the consummation of the transactions contemplated by this Agreement.

                  (f)      COMPLIANCE WITH LAWS. Neither BOL nor the Parent has
not received notice of a violation or alleged violation of applicable statutes,
ordinances, orders, rules and regulations promulgated by any federal, state,
municipal or other governmental authority, which violation or alleged violation
would have a material adverse effect on the business of BOL or the Parent.

                  (g)      BOL. BOL is a wholly-owned first tier subsidiary of
the Parent.

                  (h)      DISCLOSURE. This Agreement, including the Exhibits
attached hereto and the Information Statement of the Parent dated November 30,
1999, neither contains an untrue statement of material fact nor omits to state a
material fact necessary to make the statements herein, in light of the
circumstances under which they were made, not misleading.

         5.2      MAKING OF COVENANTS.  BOL and the Parent covenant and agree as
set forth in this Section 5.2:

                                                                              26
<PAGE>

                  (a)      The Parent and BOL shall, if necessary, obtain any
governmental approvals of an anti-trust nature, necessary for the Parent and BOL
to fulfill their obligations hereunder to consummate the transactions
contemplated hereby.

                  (b)      BOL and the Parent shall give prompt notice to the
Stockholders of (i) the occurrence or non-occurrence of any event the occurrence
or non-occurrence of which would be likely to cause any representation or
warranty of BOL and the Parent contained herein to be untrue or inaccurate in
any material respect at or prior to the Closing and (ii) any material failure of
BOL and the Parent to comply with or satisfy any covenant, condition or
agreement to be complied with or satisfied by such person hereunder. The
delivery of any notice pursuant to this SECTION 5.2 shall not be deemed to (i)
modify the representations or warranties hereunder of the party delivering such
notice, (ii) modify the conditions set forth in this Agreement or (iii) limit or
otherwise affect the remedies available hereunder to the party receiving such
notice.

                  (c)      BOL and the Parent agree to execute and deliver, or
cause to be executed and delivered, such further instruments or documents or
take such other action as may be reasonably necessary or convenient to carry out
the transactions contemplated hereby.

SECTION 6.        CONDITIONS PRECEDENT TO THE OBLIGATIONS OF BOL AND THE PARENT.

         6.1      INTRODUCTION. The obligations of BOL and the Parent to
consummate this Agreement and the transactions contemplated hereby are subject
to the fulfillment, prior to or at the Closing, of the conditions set forth in
this SECTION 6.

         6.2      EXAMINATION OF FINANCIAL STATEMENTS. Prior to the Closing
Date, BOL shall have had sufficient time to review the trial balance sheet of
the Company prepared by the Stockholders as of the last day of the month ended
immediately prior to the Closing Date disclosing no material change in the
financial condition of the Company since the Company Balance Sheet Date.

         6.3      NO MATERIAL ADVERSE CHANGE. No material adverse change in the
results of operations, financial position or business of the Company shall have
occurred and the Company shall not have suffered any material loss or damages to
any of its properties or assets, whether or not covered by insurance, since the
Company Balance Sheet Date, which change, loss or damage materially affects or
impairs the ability of the Company to conduct its business; and the Parent shall
have received on the Closing Date a certificate signed by the President of the
Company and the Stockholders to such effect.

         6.4      DUE DILIGENCE AND REGULATORY REVIEW. BOL shall have completed
to its satisfaction a due diligence investigation of the Company and its
prospects, business, assets, contracts, rights, liabilities and obligations,
including a review of the practices and procedures of the Company with respect
to compliance with contracts and federal, state and local laws and regulations
governing the operations of the Company. Such review shall be satisfactory in
all respects to the Parent, in its sole discretion.

                                                                              27
<PAGE>

         6.5      OPINION OF COUNSEL. BOL shall have received an opinion from
Guarnaccia & Connors, counsel to the Company and the Stockholders, dated the
Closing Date, in form and substance satisfactory to BOL, to the effect that:

                  (a)      each of NECAnet and NECA have been duly organized and
is validly subsisting in good standing under the laws of the State of
Connecticut.

                  (b)      the authorized and outstanding capital stock of
NECAnet and NECA is as represented by the Stockholders in this Agreement and
each share of such stock has been duly and validly authorized and issued, is
fully paid and nonassessable and was not issued in violation of the preemptive
rights of any stockholder;

                  (c)      to the knowledge of such counsel, neither NECAnet nor
NECA has any outstanding options, warrants, calls, conversion rights or other
commitments of any kind to issue or sell any of its capital stock;

                  (d)      this Agreement has been duly authorized, executed and
delivered by NECA, NECAnet and the Stockholders and constitutes a valid and
binding agreement of such parties enforceable against them in accordance with
its terms except as such enforceability may be subject to bankruptcy,
moratorium, insolvency, reorganization, arrangement and other similar laws
relating to or affecting the rights of creditors and except (i) as the same may
be subject to the effect of general principles of equity and (ii) that no
opinion need be expressed as to the enforceability of indemnification provisions
included herein;

                  (e)      except to the extent set forth on SCHEDULE 3.16, to
the knowledge of such counsel, there are no claims, actions, suits or
proceedings pending, or threatened against or affecting the Company or the
Stockholders, at law or in equity, or before or by any federal, state, municipal
or other governmental department, commission, board, bureau, agency or
instrumentality wherever located;

                  (f)      no notice to, consent, authorization, approval or
order of any court or governmental agency or body of the State of Connecticut or
to the knowledge of such counsel of any other third party is required in
connection with the execution, delivery or consummation of this Agreement by the
Stockholders or for the merger of the Company with and into BOL;

                  (g)      the execution of this Agreement and the performance
of the obligations hereunder will not violate or result in a breach or
constitute a default under any of the terms or provisions of NECA or NECAnet's
Certificate of Incorporation or bylaws or of any lease, instrument, license,
permit or any other agreement to which NECA or NECAnet is a party or by which
NECA or NECAnet is/are bound; and

                  (h)      any other matters incident to the matters set forth
herein as reasonably required by BOL.

         6.6      ADDITIONAL LIABILITIES AND OBLIGATIONS. The Stockholders shall
have delivered to BOL a certificate dated the Closing Date, setting forth (i)
all liabilities and obligations of the

                                                                              28
<PAGE>

Company arising since the Company Balance Sheet Date and (ii) showing all
material contracts and agreements, together with copies thereof, entered into by
the Company since the Company Balance Sheet Date .

         6.7      GOOD STANDING CERTIFICATES; CERTIFIED COPY OF THE CERTIFICATE
OF INCORPORATION. The Company shall have delivered to the Parent certificates,
dated as of a date no earlier than twenty (20) days prior to the Closing Date,
duly issued by the Secretary of State and the Department of Revenue of the State
of Connecticut and of any other state in which the Company is authorized to do
business, showing that the Company is in good standing and authorized to do
business and that all state franchise and/or income tax returns and taxes for
the Company for all periods prior to the dates of such certificates have been
filed and paid. The Company shall also have delivered to the Parent prior to the
Closing a recent copy of its Certificate of Incorporation and all amendments
thereto duly certified by the Secretary of the State of Connecticut.

         6.8      REPRESENTATIONS; WARRANTIES; COVENANTS. Each of the
representations and warranties of the Company and the Stockholders contained in
SECTION 3 and elsewhere in this Agreement shall be true and correct on and as of
the Closing Date, with the same effect as though made on and as of the Closing
Date; the Company and the Stockholders shall, on or before the Closing Date,
have performed and satisfied all agreements and conditions hereunder which by
the terms hereof are to be performed and satisfied by the Company or the
Stockholders on or before the Closing Date; and the Company and the Stockholders
shall have delivered to the Parent a certificate dated the Closing Date signed
by the Company's President and by the Stockholders to the foregoing effect.

         6.9      APPROVALS AND CONSENTS. Excluding any approvals or consents
required to be obtained by the Parent or BOL pursuant to SECTION 5.2(a), the
Company and the Stockholders shall have made all filings with and notifications
of governmental authorities, regulatory agencies and other entities required to
be made by them in connection with the execution and delivery of this Agreement,
the performance of the transactions contemplated hereby and the continued
operation of the businesses of the Company subsequent to the Effective Time. The
Company and the Parent shall have received all required authorizations, waivers,
consents and permits to permit the consummation of the transactions contemplated
by this Agreement, in form and substance reasonably satisfactory to the Parent,
from all third parties, including, without limitation, approvals required under
federal and state securities laws and/or the Securities and Exchange Commission,
state "Blue Sky" laws, other applicable governmental authorities and regulatory
agencies, lessors, lenders and contract parties, required in connection with the
Merger or the Company's permits, leases, licenses and franchises, to avoid a
breach, default, termination, acceleration or modification of any material
agreement, contract, instrument, mortgage, lien, lease, permit, authorization,
order, writ, judgment, injunction, decree, determination or arbitration award as
a result of the execution or performance of this Agreement, or otherwise in
connection with the execution and performance of this Agreement.

         6.10     NO ACTIONS OR PROCEEDINGS. No action or proceeding by any
court, administrative body or governmental agency shall have been instituted or
threatened which would enjoin, restrain or prohibit, or would likely result in
substantial damages in respect of, this Agreement or the complete consummation
of the transactions contemplated by this Agreement, and which

                                                                              29
<PAGE>

would in the reasonable judgment of the Parent or BOL make it inadvisable to
consummate such transactions, and no law or regulation shall be in effect and no
court order shall have been entered in any action or proceeding instituted by
any party which enjoins, restrains or prohibits this Agreement or the complete
consummation of the transactions as contemplated by this Agreement.

         6.11     PROCEEDINGS SATISFACTORY TO BOL AND THE PARENT. All
proceedings to be taken by the Company and the Stockholders in connection with
the consummation of the Closing on the Closing Date and the other transactions
contemplated hereby and all certificates, opinions, instruments and other
documents required to effect the transaction contemplated hereby reasonably
requested by BOL and the Parent shall be reasonably satisfactory in form and
substance to BOL and the Parent and their counsel.

         6.12     EMPLOYMENT AGREEMENT.  Richard Robarge shall have executed and
delivered an individual employment agreement with BOL in the form attached
hereto as EXHIBIT 6.12 (the "Employment Agreement"). -

         6.13     ESCROW AGREEMENT.  The Stockholders shall have executed and
delivered the Escrow Agreement.

         6.14     LEASE.  BOL shall have executed a lease with the landlord of
the office space currently leased by the Company in the form attached hereto as
EXHIBIT 6.14 (THE "LEASE").

SECTION 7.        CONDITIONS PRECEDENT TO THE OBLIGATIONS OF THE COMPANY AND THE
STOCKHOLDERS.

         7.1      INTRODUCTION. The obligations of the Company and the
Stockholders to consummate this Agreement and the transactions contemplated
hereby are subject to the fulfillment, prior to or at the Closing Date, of the
following conditions (any one or more of which may be waived in whole or in part
by the Company and the Stockholders):

         7.2      REPRESENTATIONS; WARRANTIES; COVENANTS. Each of the
representations and warranties of BOL and the Parent contained in SECTION 5 and
elsewhere in this Agreement shall be true and correct in all material respects
on and as of the Closing Date, with the same effect as though made on and as of
the Closing Date; BOL and the Parent shall, on or before the Closing Date, have
performed and satisfied all agreements and conditions hereunder which by the
terms hereof are to be performed and satisfied by BOL and the Parent on or
before the Closing Date; and BOL shall have delivered to the Company a
certificate signed by the President of BOL and dated as of the Closing Date
certifying to the foregoing effect.

         7.3      NO ACTIONS OR PROCEEDINGS. No action or proceeding by any
court, administrative body or governmental agency shall have been instituted or
threatened which would enjoin, restrain or prohibit, or would likely result in
substantial damages in respect of, this Agreement or the complete consummation
of the transactions as contemplated by this Agreement, and which would in the
reasonable judgment of the Company make it inadvisable to consummate such
transactions, and no law or regulation shall be in effect and no court order
shall have been

                                                                              30
<PAGE>

entered in any action or proceeding instituted by any party which enjoins,
restrains or prohibits this Agreement or the complete consummation of the
transactions as contemplated by this Agreement.

         7.4      EMPLOYMENT AGREEMENT.  BOL shall have executed and delivered
the Employment Agreement.

         7.5      ESCROW AGREEMENT.  BOL shall have executed and delivered the
Escrow Agreement.

         7.6      OPINION OF COUNSEL. The Company shall have received an opinion
from Duffy & Sweeney, LLP, counsel to the Parent and BOL, in form and substance
reasonably satisfactory to the Company, to the effect that:

                  (a)      Each of the Parent and BOL is a corporation duly
organized, validly existing and in good standing under the laws of its
respective state of incorporation with full corporate power and authority to
conduct its respective businesses in the manner as now conducted.

                  (b)      The Parent Stock to be delivered to the Stockholder
at the Closing, when delivered in accordance with the terms of this Agreement,
will constitute valid and legally issued shares of the Common Stock of the
Parent, fully paid and non-assessable.

                  (c)      This Agreement has been duly authorized, executed and
delivered by the Parent and BOL and constitutes a valid and binding agreement of
the Parent and BOL enforceable against them in accordance with its terms except
as such enforceability may be subject to bankruptcy, moratorium, insolvency,
reorganization, arrangement and other similar laws relating to or affecting the
rights of creditors and except (i) as the same may be subject to the effect of
general principles of equity and (ii) that no opinion need be expressed as to
the enforceability of indemnification provisions included herein;

                  (d)      The execution of this Agreement and the performance
of the obligations hereunder will not violate or result in a breach or
constitute a default under any of the terms of BOL's or the Parent's Certificate
of Incorporation or their respective bylaws, or, to the knowledge of such
counsel after reasonable investigation and supported by a certificate from BOL
and the Parent, of any lease, instrument, license, permit or any other agreement
by which the Company or BOL is bound.

         7.7      LEASE.  BOL shall have executed the Lease.

         7.8      NO MATERIAL ADVERSE CHANGE. No material adverse change in the
results of operations, financial position or business of the Parent or BOL shall
have occurred and the Parent and BOL shall not have suffered any material loss
or damage to a material portion of its properties or business, since the date of
this Agreement which change, loss or damage materially affects or impairs the
ability of the Parent or BOL to conduct its business.

                                                                              31
<PAGE>

         7.9      PROCEEDINGS SATISFACTORY TO COMPANY. All proceedings to be
taken by the Parent or BOL in connection with the consummation of the Closing on
the Closing Date and the other transactions contemplated hereby and all
certificates, opinions, instruments and other documents required to effect the
transaction contemplated hereby reasonably requested by the Company shall be
reasonably satisfactory in form and substance to the Company and its counsel.

SECTION 8.        PARENT STOCK - TRANSFER RESTRICTIONS.

         8.1      LOCK-UP. In addition to applicable federal and state
securities laws restricting the public sale of the Parent Stock to be issued to
the Stockholders hereunder, the Stockholders hereby irrevocably agrees that for
a period of (i) one (1) year after the Closing Date with respect to 100% of such
stock, and (ii) two (2) years after the Closing Date with respect to 50% of such
stock, the Stockholders will not offer, pledge, sell, assign or otherwise
transfer directly or indirectly, any of the Parent Stock or enter into any
agreement that transfers or assigns, in whole or in part, any of the economic
consequences of ownership of the shares of Parent Stock received hereunder (such
restrictions adjusted for any stock splits, recapitalizations, mergers or other
similar events). The Stockholders agree that the foregoing shall be binding upon
the Stockholder and their respective successors, assigns, heirs, and personal
representatives.

         8.2      UNREGISTERED STOCK; INVESTMENT INTENT. The Stockholders
acknowledge and agree that the shares of Parent Stock to be delivered to the
Stockholders pursuant to this Agreement have not been and will not be registered
under the Securities Act of 1933, as amended (the "Act") and therefore may not
be resold without compliance with the Act. The Stockholders represent and
warrant that the Parent Stock to be acquired by Stockholders pursuant to this
Agreement is being acquired solely for their own account, for investment
purposes only, and with no present intention of distributing, selling or
otherwise disposing of it in connection with a distribution. The Stockholders
covenant, warrant and represent that none of the shares of Parent Stock issued
to such Stockholders will be offered, sold, assigned, pledged, hypothecated,
transferred or otherwise disposed of except after full compliance with all of
the applicable provisions of the Act and the rules and regulations of the
Securities and Exchange Commission and applicable state securities laws.

         8.3      ABLE TO BEAR RISK; SOPHISTICATED AND ACCREDITED INVESTORS;
INFORMATION. Each of the Stockholders represent and warrant that he/she are able
to bear the economic risk of an investment in Parent Stock acquired pursuant to
this Agreement and can afford to sustain a total loss of such investment. Each
of the Stockholders represents that he/she is an "accredited investor" within
the meaning of Regulation D of Rule 504 of the Act. Each of the Stockholders
further represent and warrant that he/she (i) fully understands the nature,
scope and duration of the limitations on transfer contained in this Agreement,
(ii) have received a copy of the Company's information statement dated November
30, 1999 and supplement dated December 8, 1999 (collectively, the "Information
Statement"); and (iii) have such knowledge and experience in financial and
business matters that he or she is capable of evaluating the merits and risks of
the proposed investment and therefore has the capacity to protect his or her own
interests in connection with the acquisition of the Parent Stock. The
Stockholders represent and warrant that they have had an adequate opportunity to
ask questions and receive answers from the officers of the Parent concerning any
and all matters relating to the acquisition of Parent Stock as

                                                                              32
<PAGE>

contemplated by this Agreement including, without limitation, the background and
experience of the officers and directors of the Parent, the plans for the
operations of the business of the Parent and its affiliates and information
disclosed in the Information Statement. The Stockholders have asked any and all
questions in the nature described in the preceding sentence and all questions
have been answered to his satisfaction.

         8.4      RESTRICTIVE LEGENDS. The certificates evidencing the Parent
Stock to be received by the Stockholders hereunder will bear legends
substantially in the form set forth below and containing such other information
as the Parent may deem appropriate. References in such legend to "THE COMPANY"
shall refer to the Parent.

THE SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE "1933 ACT") OR ANY STATE SECURITIES OR
BLUE SKY LAWS. SUCH SHARES HAVE BEEN ACQUIRED FOR INVESTMENT AND MAY NOT BE
SOLD, TRANSFERRED, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF AN EFFECTIVE
REGISTRATION STATEMENT FOR SUCH SHARES UNDER THE 1933 ACT AND ANY STATE
SECURITIES OR BLUE SKY LAWS, UNLESS, IN THE OPINION (WHICH SHALL BE IN FORM AND
SUBSTANCE SATISFACTORY TO THE COMPANY) OF COUNSEL SATISFACTORY TO THE COMPANY,
SUCH REGISTRATION IS NOT REQUIRED.

THE SHARES REPRESENTED BY THIS CERTIFICATE ARE FURTHERMORE SUBJECT TO A LOCK-UP
AGREEMENT CONTAINED IN SECTION 8 OF THAT CERTAIN AGREEMENT AND PLAN OF MERGER
AND REORGANIZATION WITH THE COMPANY DATED AS OF _____________, PURSUANT TO WHICH
THE HOLDER OF THIS CERTIFICATE HAS AGREED NOT TO OFFER, PLEDGE, SELL OR
OTHERWISE TRANSFER DIRECTLY OR INDIRECTLY THE SECURITIES REPRESENTED BY THIS
CERTIFICATE UNTIL [_____________]. A COPY OF THE LOCK-UP AGREEMENT MAY BE
OBTAINED BY CONTACTING THE SECRETARY OF THE COMPANY

         In addition, such certificates shall also bear such other legends as
counsel for the Parent reasonably determines are required under the applicable
laws of any state.

SECTION 9.        TERMINATION OF AGREEMENT; EFFECT OF TERMINATION.

         9.1      TERMINATION. This Agreement may be terminated any time prior
to the Closing Date solely by:

                  (a)      mutual consent of the boards of directors of BOL and
the Company;

                  (b)      either the Stockholders and the Company, on the one
hand, or by BOL, on the other hand, if

                                                                              33
<PAGE>

                           (i) the transactions contemplated by this Agreement
         to take place at the Closing shall not have been consummated by
         December 31, 1999, unless the failure of such transactions to be
         consummated is due to the willful failure of the party seeking to
         terminate this Agreement to perform any of its obligations under this
         Agreement to the extent required to be performed by it prior to or on
         the Closing Date; or

                           (ii) if a material breach or default shall be made by
         the other party in the observance of or in the due and timely
         performance of any of the covenants or agreements contained herein, and
         the curing of such default shall not have been made on or before the
         Closing Date.

         9.2      LIABILITIES IN THE EVENT OF TERMINATION. Upon the termination
of this Agreement none of the parties hereto shall have any obligation or
liability to any other party (except for obligations arising under SECTION 11
hereof) unless such termination results from the willful or intentional failure
of any party to perform any of its obligations hereunder which performance was
within such party's reasonable control at a reasonable cost. In such case,
without limiting the non-breaching party's otherwise available legal or
equitable remedies, the non-performing party shall be liable for any and all
damages arising from a breach or default by such party with respect to any of
its representations, warranties, covenants or agreements contained in this
Agreement including, but not limited to, legal and audit costs and out of pocket
expenses.

SECTION 10.       NON-COMPETITION. For a period of three (3) years from and
after the Closing Date, each of the Stockholders shall not directly or
indirectly, (i) seek, obtain or accept a "Competitive Position" in the
"Restricted Territory" with a "Competitor" of the Company (as such terms are
hereafter defined), or (ii) solicit, directly or indirectly, any customers,
clients, accounts, officers, employees, agents or representatives of the
Company, BOL, the Parent, or its affiliates. For purposes of this Agreement, a
"Competitor" of the Company means any business, individual, partnership, joint
venture, association, firm, corporation or other entity engaged, wholly or
partly, in the business of selling internet access service, web site design or
web hosting services, or in any related business which the Company and/or its
affiliates may engage in or actively plan to engage in from time to time during
the term of this covenant; the "Restricted Territory" means the New England
states, Delaware, Pennsylvania, Maryland, New York and New Jersey; a
"Competitive Position" means any employment with any Competitor of the Company
or self-employment whereby Stockholders will use or are likely to use any
Confidential Information (as defined below), or whereby the Stockholders have
duties for such Competitor that are the same or substantially similar to those
actually performed by Stockholders for the Company under the terms of employment
with the Surviving Corporation. Nothing contained in this SECTION 10 is intended
to prevent either Stockholder from investing in stock or other securities listed
on a national securities exchange or actively traded on the over the counter
market or any corporation engaged, wholly or partly, in the sale of
telecommunications products or services; provided, however, that either
Stockholder and members of his immediate family shall not, directly or
indirectly, hold more than a total of two percent (2%) of all issued and
outstanding stock or other securities of any such corporation. If the final
judgment of a court of competent jurisdiction declares that any term or
provision of this Section is invalid or unenforceable, the parties hereto agree
that the court making the determination of invalidity or unenforceability shall
have the power to reduce the scope, duration, or area of the term or

                                                                              34
<PAGE>

provision, to delete specific words or phrases, or to replace any invalid or
unenforceable term or provision that is valid and enforceable and that comes
closest to expressing the intention of the invalid or unenforceable term or
provision, and this Agreement shall be enforceable as so modified after the
expiration of the time within which the judgment may be appealed.

SECTION 11.       NONDISCLOSURE OF CONFIDENTIAL INFORMATION.

         11.1     THE STOCKHOLDERS. The Stockholders recognize and acknowledge
that they have had in the past, currently have in the future may have access to
certain confidential information relating to the Company, the Parent and BOL,
including, but not limited to, operational policies, customer lists, and pricing
and cost policies, that are valuable, special and unique assets of the Company,
the Parent and BOL (collectively, "Confidential Information"). The Stockholders
agree that they will not use or disclose such confidential information to any
person, firm, corporation, association or other entity for any purpose or reason
whatsoever, except (a) to authorized representatives of BOL who need to know
such information in connection with the transactions contemplated hereby, who
have been informed of the confidential nature of such information and who have
agreed to keep such information confidential as provided hereby, and (b)
following the Closing, such information may be disclosed by the Stockholders as
is required in the course of performing its duties for the Surviving Corporation
unless (i) such information becomes known to the public generally through no
breach by the Stockholders of this covenant, (ii) disclosure is required by law
or the order of any governmental authority under color of law or is necessary in
order to secure a consent or approval to consummate the transactions
contemplated hereby, provided, that prior to disclosing any information pursuant
to this clause (ii), the Stockholders shall give prior written notice thereof to
BOL and provide BOL with the opportunity to contest such disclosure, or (iii)
the disclosing party reasonably believes that such disclosure is required in
connection with the defense of a lawsuit against the disclosing party and the
same prior disclosure set forth immediately above is given. In the event of a
breach or threatened breach by the Stockholders of the provisions of this
section, BOL shall be entitled to an injunction restraining the Stockholders
from disclosing, in whole or in part, such confidential information. Nothing
herein shall be construed as prohibiting BOL from pursuing any other available
remedy for such breach or threatened breach, including the recovery of damages.
In the event that the transactions contemplated herein are not consummated, the
Stockholders shall return to BOL as soon as possible all documents containing
confidential information about the Parent.

         11.2     BOL AND PARENT. BOL and Parent recognize and acknowledge that
it has in the past and currently has access to certain confidential information
relating to the Company, such as operational policies, customer lists, and
pricing and cost policies, that are valuable, special and unique assets of the
Company. BOL and Parent agree that, on behalf of themselves and their
affiliates, prior to the Closing, or if the transactions contemplated by this
Agreement are not consummated, they will not use or disclose such confidential
information for their own benefit except in furtherance of the transactions
contemplated by this Agreement or disclose such confidential information to any
person, firm, corporation, association or other entity for any purpose or reason
whatsoever, except (a) to the Stockholders and to authorized representatives of
the Company, BOL or Parent who need to know such information in connection with
the transactions contemplated hereby, who have been informed of the confidential
nature of such

                                                                              35
<PAGE>

information and who have agreed to keep such information confidential as
provided hereby, unless (i) such information becomes known to the public
generally through no breach by BOL, the Parent or its affiliates of this
covenant, (ii) disclosure is required by law or the order of any governmental
authority under color of law or is necessary in order to secure a consent or
approval to consummate the transactions contemplated hereby, provided, that
prior to disclosing any information pursuant to this clause (iii), BOL shall, if
possible, give prior written notice thereof to the Company and the Stockholders
and provide the Company and the Stockholders with the opportunity to contest
such disclosure, or (iv) the disclosing party reasonably believes that such
disclosure is required in connection with the defense of a lawsuit against the
disclosing party and the same prior disclosure set forth immediately above is
given. In the event of a breach or threatened breach by BOL of the provisions of
this Section, the Company and the Stockholders shall be entitled to an
injunction restraining BOL from disclosing, in whole or in part, such
confidential information. Nothing herein shall be construed as prohibiting the
Company and the Stockholders from pursuing any other available remedy for such
breach or threatened breach, including the recovery of damages. In the event
that the transactions contemplated herein are not consummated, the Parent and
BOL shall return to the Company within a reasonable time all documents
containing confidential information about the Company.

         11.3     DAMAGES. Because of the difficulty of measuring economic
losses as a result of the breach of the foregoing covenants in SECTIONS 11.1 and
11.2, and because of the immediate and irreparable damage that would be caused
for which they would have no other adequate remedy, the parties hereto agree
that, in the event of a breach by any of them of the foregoing covenants, the
covenant may be enforced against the other parties by injunctions and
restraining orders.

         11.4     SURVIVAL. The obligations of the parties under this ARTICLE 11
shall survive notwithstanding either the termination of this Agreement or the
consummation of the transactions contemplated herein on the Closing Date.

SECTION 12.       INDEMNIFICATION.

         12.1     INDEMNIFICATION BY THE STOCKHOLDERS. The Stockholders, on
behalf of themselves and their respective successors, executors, administrators,
estates, heirs and permitted assigns, agree subsequent to the Effective Time to
indemnify and hold harmless the Surviving Corporation and its respective
officers, directors, employees and agents (individually, a "Parent Indemnified
Party" and collectively, the "Parent Indemnified Parties") from and against and
in respect of all losses, liabilities, obligations, damages, deficiencies,
actions, suits, proceedings, demands, assessments, orders, judgments, fines,
penalties, costs and expenses (including the reasonable fees, disbursements and
expenses of attorneys, accountants and consultants) of any kind or nature
whatsoever (whether or not arising out of third-party claims and including all
amounts paid in investigation, defense or settlement of the foregoing)
sustained, suffered or incurred by or made against any Parent Indemnified Party
(a "Loss" or "Losses"), arising out of, based upon or in connection with:

                  (a)      any breach of any representation, warranty, covenant
or agreement made by the Company or the Stockholders in this Agreement or in any
schedule, exhibit, certificate,

                                                                              36
<PAGE>

agreement or other instrument required to be delivered by the by the
Stockholders under this Agreement, or by reason of any claim, action or
proceeding asserted or instituted arising out of any matter or thing covered by
any such representations or warranties.

Claims under clause (a) of this SECTION 12.1 are hereinafter collectively
referred to as "Parent Indemnifiable Claims". The payment of any Parent
Indemnifiable Claim by the Stockholders hereunder shall be made (i) 55% in
shares of Parent Stock from the Escrow Shares to the extent available and then
from the stockholders directly, and (ii) 45% in cash or other readily available
funds. The Stockholders, indemnification obligations hereunder shall be limited
to the Merger Consideration of $3,500,000, as adjusted pursuant to SECTION 2 of
this Agreement. After payment of such amount, the Stockholders' indemnification
obligations hereunder shall terminate.

         12.2     INDEMNIFICATION BY THE PARENT. Subsequent to the Effective
Time, the Parent and its successors and assigns agrees to indemnify and hold
harmless the Stockholders and their successors, heirs and assigns (individually
and collectively, the "Stockholder Indemnified Party") from and against and in
respect of all losses, liabilities, obligations, damages, deficiencies, actions,
suits, proceedings, demands, assessments, orders, judgments, fines, penalties,
costs and expenses (including the reasonable fees, disbursements and expenses of
attorneys, accountants and consultants) of any kind or nature whatsoever
(including all amounts paid in investigation, defense or settlement of the
foregoing) sustained, suffered or incurred by or made against the Stockholders,
arising out of, based upon or in connection with a breach by the Parent or BOL
of any of their respective representations, warranties, covenants or agreements
made in this Agreement or in any schedule, exhibit, certificate, agreement or
other instrument delivered under or in connection with this Agreement. The
Parent's indemnification obligations hereunder shall be limited to the Merger
Consideration of $3,500,000 as adjusted pursuant to SECTION 2 of this Agreement.
After delivery of the same, the Parent's indemnification obligations hereunder
shall terminate.

         12.3     NOTICE; DEFENSE OF CLAIMS.

         Promptly after receipt by a Parent Indemnified Party or a Stockholder
Indemnified Party of notice of any claim, liability or expense to which the
indemnification obligations hereunder would apply, the Indemnified Party shall
give notice thereof in writing to the Indemnifying Party, but the omission to so
notify the Indemnified Party promptly will not relieve the Indemnifying Party
from any liability except to the extent that the Indemnifying Party shall have
been prejudiced as a result of the failure or delay in giving such notice. Such
notice shall state the information then available regarding the amount and
nature of such claim, liability or expense and shall specify the provision or
provisions of this Agreement under which the liability or obligation is
asserted. If within twenty (20) days after receiving such notice the
Indemnifying Party gives written notice to the Indemnified Party stating that
(i) it would be liable under the provisions hereof for indemnity in the amount
of such claim if such claim were successful and (ii) that it disputes and
intends to defend against such claim, liability or expense at its own cost and
expense, then counsel for the defense shall be selected by the Indemnifying
Party (subject to the consent of the Indemnified Party which consent may not be
unreasonably withheld) and the Indemnifying Party shall not be required to make
any payment with respect to such claim,

                                                                              37
<PAGE>

liability or expense as long as the Indemnifying Party is conducting a good
faith and diligent defense at its own expense; provided, however, that the
assumption of defense of any such matters by the Indemnifying Party shall relate
solely to the claim, liability or expense that is subject or potentially subject
to indemnification. The Indemnifying Party shall have the right, with the
consent of the Indemnified Party, which consent shall not be unreasonably
withheld, to settle any Indemnified Claims by third parties which are
susceptible to being settled provided its obligation to indemnify the
Indemnified Party therefor will be fully satisfied. The Indemnifying Party shall
keep the Indemnified Party apprised of the status of the claim, liability or
expense and any resulting suit, proceeding or enforcement action, shall furnish
the Indemnified Party with all documents and information that the Indemnified
Party shall reasonably request and shall consult with the Indemnified Party
prior to acting on major matters, including settlement discussions.
Notwithstanding anything herein stated, the Indemnified Party shall at all times
have the right to fully participate in such defense at its own expense directly
or through counsel; provided, however, if the named parties to the action or
proceeding include both the Indemnifying Party and the Indemnified Party and
representation of both parties by the same counsel would be inappropriate under
applicable standards of professional conduct, the expense of separate counsel
for the Indemnified Party shall be paid by the Indemnifying Party. If no such
notice of intent to dispute and defend is given by the Indemnifying Party, or if
such diligent good faith defense is not being or ceases to be conducted, the
Indemnified Party shall, at the expense of the Indemnifying Party, undertake the
defense of (with counsel selected by the Indemnified Party), and shall have the
right to compromise or settle (exercising reasonable business judgment), such
claim, liability or expense. If such claim, liability or expense is one that by
its nature cannot be defended solely by the Indemnifying Party, then the
Indemnified Party shall make available all information and assistance that the
Indemnifying Party may reasonably request and shall cooperate with the
Indemnifying Party in such defense.

         12.4     LIMITATIONS ON INDEMNIFICATION. Neither the Stockholders nor
the Parent shall be obligated to indemnify the other party except to the extent
the cumulative amount of losses to such party exceeds Twenty Thousand Dollars
($20,000) (the "Indemnity Threshold") whereupon the full amount of such losses
shall be recoverable in accordance with the terms hereof. Notwithstanding the
foregoing sentence, the Indemnity Threshold shall not apply to liability arising
from (i) any matter relating to the Purchase Price adjustments set forth in
Section 2, (ii) the Stockholders' Assumed Contract, (iii) fraud or (iv) the
litigation disclosed on SCHEDULE 3.16.

SECTION 13.       MISCELLANEOUS.

         13.1     LAW GOVERNING.  This Agreement shall be construed under and
governed by the internal laws of the State of Connecticut without regard to its
conflict of laws provisions.

         13.2     NOTICES. Any notice, request, demand other communication
required or permitted hereunder shall be in writing and shall be deemed to have
been given (i) if delivered or sent by facsimile transmission, upon receipt, or
(ii) if sent by registered or certified mail upon the sooner of receipt or the
expiration of three days after deposit in United States Post Office facilities
properly addressed with postage prepaid. All notices will be sent to the
addresses set forth below or to such other address as such party may designate
by notice to each other party hereunder:

                                                                              38
<PAGE>

        TO BOL:

                  1720 Route 34
                  Wall, New Jersey, 07719
                  ATTN:  Mark E. Munro, President and Chief Executive Officer
                  Phone:  732-280-6408
                  Fax:      732-280-6409

                  with a copy to:

                  Duffy & Sweeney, LLP
                  300 Turks Head Building
                  Providence, RI  02903
                  ATTN:  Michael F. Sweeney, Esq.
                  Phone: (401) 455-0700
                  Fax:     (401) 455-0701

       TO THE COMPANY AND THE STOCKHOLDERS:

                  Richard Robarge and Leslie Robarge
                  3 Lorraine Circle
                  Storrs, Connecticut  06269

                  with a copy to:

                  Treiber, Guarnaccia & Connors
                  25 Church Street
                  P.O. Box 44
                  Willimantic, CT  06226
                  ATTN:  Giacomo J. Guarnaccia, Jr., Esq.
                  Phone: (860) 423-6308
                  Fax:     (860) 423-6344

Any notice given hereunder may be given on behalf of any party by its counsel or
other authorized representative.

         13.3     ENTIRE AGREEMENT. This Agreement, including any schedules,
annexes and/or exhibits referred to herein and the other writings specifically
identified herein or contemplated hereby or delivered in connection with the
transactions contemplated hereby, is complete, reflects the entire agreement of
the parties with respect to its subject matter, and supersedes all previous
written or oral negotiations, commitments and writings.

         13.4     ASSIGNABILITY. This Agreement may not be assigned by the
Company or the Stockholders without the prior written consent of BOL. This
Agreement and the obligations of the parties hereunder shall be binding upon and
enforceable by, and shall inure to the benefit of,

                                                                              39
<PAGE>

the parties hereto and their respective successors, executors, administrators,
estates, heirs and permitted assigns, and no others.

         13.5     ARBITRATION; JURISDICTION; VENUE; ATTORNEY'S FEES. Each party
hereto agrees that any dispute regarding this Agreement shall be submitted to
arbitration to and shall be resolved in accordance with the rules of the
JAMS/Endispute for expedited cases then in effect. The arbitrator(s) shall be
mutually selected by the parties or in the event the parties cannot mutually
agree, then appointed by JAMS/Endispute. Any arbitration shall be held within a
forty-five (45) mile radius of Hartford, Connecticut and the arbitrator(s) shall
apply Connecticut law. Judgment upon any award rendered by the arbitrator(s)
shall be final and may be entered in any court of competent jurisdiction.
Notwithstanding the foregoing, BOL shall have the absolute right to obtain
equitable remedies in any state court of competent jurisdiction in the State of
Connecticut or in a United States District Court for the Connecticut. Each party
irrevocably submits to and accepts the exclusive jurisdiction of each of such
courts and waives any objection (including any objection to venue or any
objection based upon the grounds of forum non conveniens) which might be
asserted against the bringing of any such action, suit or other legal proceeding
in such courts. The court and/or arbitrator(s) shall award costs and expenses
(including reasonable attorney's fees) to the prevailing party and/or parties in
any litigation or arbitration.

         13.6     CAPTIONS AND GENDER. The captions in this Agreement are for
convenience only and shall not affect the construction or interpretation of any
term or provision hereof. The use in this Agreement of the masculine pronoun in
reference to a party hereto shall be deemed to include the feminine or neuter
pronoun, as the context may require.

         13.7     CERTAIN DEFINITIONS.  for purposes of this Agreement, the
term:

                  (a)      "Affiliate" of a person shall mean a person that
directly or indirectly, through one or more intermediaries, controls, is
controlled by, or is under common control with, the first mentioned person;

                  (b)      "control" (including the terms "controlled by" and
"under common control with") means the possession, directly or indirectly or as
trustee or executor, of the power to direct or cause the direction of the
management policies of a person, whether through the ownership of stock, as
trustee or executor, by contract or credit arrangement or otherwise; and

                  (c)      "person" means an individual, corporation,
partnership, association, trust or any unincorporated organization.

                  (d)      "knowledge" means the actual knowledge of such party
or receipt by such party of notice or information which would have been
sufficient to put a commercially reasonable person on notice to investigate such
matter.

         13.8     EXECUTION IN COUNTERPARTS.  This Agreement may be executed in
two or more counterparts, each of which shall be deemed an original, but all of
which shall constitute one and the same document.

                                                                              40
<PAGE>

         13.9     AMENDMENTS; WAIVERS. This Agreement may not be amended or
modified, nor may compliance with any condition or covenant set forth herein be
waived, except by a writing duly and validly executed by BOL, the Parent, the
Company and the Stockholders, or, in the case of a waiver, the party waiving
compliance. No delay on the part of any party in exercising any right, power or
privilege hereunder shall operate as a waiver thereof, nor shall any waiver on
the part of any party of any such right, power or privilege, or any single or
partial exercise of any such right, power or privilege, preclude any further
exercise thereof or the exercise of any other such right, power or privilege.

         13.10    SURVIVAL. All representations, warranties, agreements,
covenants and agreements of the parties contained in this Agreement, or in any
instrument, certificate, or opinion provided for in it, shall survive the
Closing (even if the damaged party knew or had reason to know of any
misrepresentation or breach of warranty at the time of Closing) and continue in
full force and effect forever thereafter (subject to any applicable statutes of
limitation or repose).

<PAGE>

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

WITNESS:                                 BiznessOnline.com, Inc.

                                         By: /s/ Mark E. Munro
-----------------------------               -----------------------------
                                             Mark E. Munro, President

WITNESS:                                 BOL Acquisition Co. V, Inc.

                                         By: /s/ Mark E. Munro
-----------------------------               -----------------------------
                                             Mark E. Munro, President
                                             and Chief Executive Officer

WITNESS:                                 New England Computer Associates, Inc.

                                         By: /s/Richard Robarge
-----------------------------               -----------------------------
                                             Richard Robarge, President

WITNESS:                                 NECAnet, Inc.

                                         By: /s/ Richard Robarge
-----------------------------               -----------------------------
                                             Richard Robarge, President

WITNESS:                                 STOCKHOLDERS

                                         /s/ Richard Robarge
-----------------------------            --------------------------------
                                             Richard Robarge

                                         /s/ Leslie Robarge
-----------------------------            --------------------------------
                                             Leslie Robarge<PAGE>

                                                                 Exhibit 10.18

                            ASSET PURCHASE AGREEMENT

                                  INTRODUCTION

         THIS ASSET PURCHASE AGREEMENT is made as of this 13th day of December,
1999 by and among BOL Acquisition Co. VII, Inc., a Connecticut corporation (the
"Buyer") and wholly-owned subsidiary of BiznessOnline.com, Inc., a Delaware
corporation (the "Parent"); the Parent; Cyberzone, LLC, a Connecticut limited
liability company (the "Seller"); and Sean Barrett and Elizabeth Kivela, the
owners of all the outstanding membership interests of the Seller (collectively,
the "Members").

                                   BACKGROUND

         The Seller is the owner of certain assets described herein and desires
to sell to the Buyer, and the Buyer desires to purchase substantially all of
assets of the Seller, for the consideration and upon the terms and conditions
set forth in this Agreement.

         The Members are joining this Agreement to guarantee the Seller's
performance of its obligations under this Agreement and to join, jointly and
severally, with the Seller in the Seller's representations and warranties
hereunder and to undertake certain other obligations set forth in this
Agreement.

                                   AGREEMENTS

         THE PARTIES HERETO, intending to be legally bound, agree as follows:

         1. DEFINITIONS AND CONSTRUCTION.

         1.1 In addition to the other definitions set forth herein, when used in
this Agreement, the following terms have the meanings set forth below:

         "Affiliate" of an entity or person means any business entity which
controls, or is controlled by, or is under common control with such person or
entity.

         "Agreement" means this asset purchase agreement.

         "Balance Sheet" means the balance sheet of the Seller as of the Balance
Sheet Date, which is included in the Financial Statements.

         "Balance Sheet Date" means October 31, 1999.

         "Business" means the business of the Seller as conducted up to the
Closing.

         "Closing" means the taking of the actions required to consummate the
sale and purchase of the Assets by the Seller to the Buyer pursuant to this
Agreement.

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         "Employee Benefit Plan" means any (a) nonqualified deferred
compensation or retirement plan or arrangement which is an Employee Pension
Benefit Plan, (b) qualified defined contribution retirement plan or arrangement
which is an Employee Pension Benefit Plan, (c) qualified defined benefit
retirement plan or arrangement which is an Employee Pension Benefit Plan
(including any Multiemployer Plan), or (d) Employee Welfare Benefit Plan or
material fringe benefit plan or program.

         "Employee Pension Benefit Plan" has the meaning set forth in ERISA
Section 3(2).

         "Employee Welfare Benefit Plan" has the meaning set forth in ERISA
Section 3(1).

         "Environmental, Health and Safety Laws" means the Comprehensive
Environmental Response, Compensation and Liability Act of 1980, the Resource
Conservation and Recovery Act of 1976, and the Occupational Safety and Health
Act of 1970, each as amended, together with all other laws (including rules,
regulations, codes, plans, injunctions, judgments, orders, decrees, rulings, and
charges thereunder) of federal, state, local, and foreign governments (and all
agencies thereof) concerning pollution or protection of the environment, public
health and safety, or employee health and safety, including laws relating to
emissions, discharges, releases, or threatened releases of pollutants,
contaminants, or chemical, industrial, hazardous or toxic materials or wastes
into ambient air, surface water, ground water, or lands or otherwise relating to
the manufacture, processing, distribution, use, treatment, storage, disposal,
transport, or handling of pollutants, contaminants, or chemical, industrial,
hazardous, or toxic materials or wastes.

         "ERISA" means the Employee Retirement Income Security Act of 1974, as
amended.

         "Financial Statements" means those certain financial statements of the
Seller compiled by Disanto, Bertoline & Company, P.C., the independent public
accountant of the Seller, as well as certain other unaudited financial
statements prepared by the Seller for his own use, all of which are more
particularly described in SCHEDULE 5.6.

         "GAAP" means generally accepted accounting principles.

         "Internal Revenue Code" means the United States Internal Revenue Code
of 1986, as amended.

         "Liability" means any liability whether known or unknown, whether
asserted or unasserted, whether absolute or contingent, whether accrued or
unaccrued, whether liquidated or unliquidated, and whether due or to become due.

         "Multiemployer Plan" has the meaning set forth in ERISA Section 3(37).

         "PBGC" means the Pension Benefit Guaranty Corporation.

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         "Permitted Liens" means those certain liens and security interests
solely to the extent such liens and security interests secure liabilities which
are to be assumed by the Buyer pursuant to SECTION 3.1(d) below.

         1.2 In this Agreement, unless the context otherwise requires:

                  (a) The words "hereby", "hereof", "hereto", "herein",
"hereunder", and any similar words refer to this Agreement; the word "hereafter"
means after, and the word "heretofore" means before, the date of this Agreement.

                  (b) The word "person" refers to partnerships (including
limited partnerships), corporations, governmental entities, trusts and other
legal entities as well as to natural persons.

                  (c) References to the "knowledge" or the "best knowledge" of
the Seller unless otherwise qualified herein means the understanding of the
Seller and of the Members after reasonable investigation.

         1.3 Section and subsection titles are for convenience of reference only
and are not to be considered in the interpretation or construction of any of the
provisions hereof.

         1.4 Representations, warranties, covenants, obligations and agreements
of the Seller and/or the Members set forth in this Agreement will be deemed to
be the joint and several warranties, covenants, obligations and agreements of
each of the Members and the Seller.

         2. PURCHASE AND SALE OF ASSETS.

         2.1 ASSETS. Subject to the terms and conditions set forth in this
Agreement, the Seller agrees to sell, convey, transfer, assign, and deliver to
the Buyer, and the Buyer agrees to purchase from the Seller, at the Closing, the
assets and property of the Seller described on SCHEDULE 2.1 attached hereto (the
"Assets"), free and clear of all liens, pledges, security interests, charges,
claims, restrictions and encumbrances of any nature whatsoever except for
Permitted Liens. For purposes of this Agreement, the Assets will also mean and
include all assets and property acquired hereafter by the Seller before the
Closing Date but will not include the assets and property of the Seller disposed
of as permitted by this Agreement or the "Excluded Assets" as defined in SECTION
2.2 hereof.

         2.2 EXCLUDED ASSETS. "Excluded Assets" shall mean (a) income and other
tax records of the Seller (copies of which have been made available to the
Buyer), provided, however, the Seller will retain these records for a period of
not less than five (5) years after the Closing and make them available to the
Buyer upon the Buyer's request; (b) any contract, executory agreement or lease
of the Seller which is not expressly assumed by the Buyer hereunder; and (c) any
other assets listed on SCHEDULE 2.2 hereof or which the Buyer notifies the
Seller in writing that the Buyer is not purchasing.

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         3. PURCHASE PRICE

         3.1 PAYMENT. Subject to the adjustments set forth in SECTION 3.3, the
total consideration to be paid to the Seller by the Buyer as full payment for
the Assets (the "Purchase Price") is as follows:

                  (a) CASH PAYMENT: The Buyer shall pay the Seller at the
Closing, a total of One Million Seven Hundred Fifty-Two Thousand One Hundred
Fifty Dollars ($1,752,150) payable by wire transfer to the account identified in
SCHEDULE 3.1(a);

                  (b) PARENT STOCK. The Buyer shall deliver to the Escrow Agent
(as defined below) One Million Seven Hundred Fifty-Two Thousand One Hundred
Fifty Dollars ($1,752,150) in unregistered common stock of the Parent (the
"Parent Stock"). The number of shares of Parent Stock to be delivered shall be
based on the average Nasdaq National Market price of the Parent Stock for the
twenty (20) business day period ending on the eighth business day immediately
preceding the Closing date.

         The "average Nasdaq National Market price" for such twenty (20)
business day period shall mean the average of the closing sales prices, or, in
case no such reported sale takes place on any given day, the average of the
reported closing bid and asked prices for such day, in either case as reported
by The Nasdaq Stock Market, Inc.

                  (c) ESCROW. The Buyer shall, simultaneously with the Closing,
place all of the shares of Parent Stock described in SECTION 3(b) above (the
"Escrow Deposit') into escrow with the Buyer's counsel (the "Escrow Agent")
until January 10, 2001 and the shares of Parent stock representing Seven Hundred
Thousand Dollars ($700,000) (valued in accordance with SECTION 3.1(b) shall be
held in escrow until January 10, 2002) all pursuant to the escrow agreement
attached hereto as EXHIBIT 3.1(c). The Buyer shall have the right to setoff from
and against the Escrow Deposit the amount of the adjustments, if any, described
in SECTION 3.3, as well as the amount of any claims of the Buyer for
indemnification for breach of any warranty or representation herein by the
Seller or the Members respectively, and such right of setoff shall be in
addition to the Buyer's right to seek damages or obtain any other remedy at law
or in equity to which the Buyer shall be entitled by virtue of such breach.

                  (d) ASSUMPTION OF LIABILITIES. At the Closing, the Buyer will
assume those certain trade debts, liabilities, obligations and contracts of the
Seller, specifically described on SCHEDULE 3.1(d) (the "Assumed Liabilities").
The Buyer will not be liable for any of the obligations or Liabilities of the
Seller of any kind and nature other than those specifically listed or described
on SCHEDULE 3.1(d). Without limiting the foregoing, the Buyer shall not assume
any Liability for (i) any tax including, but not limited to, income, sales or
use tax, imposed on the Seller or the Members because of the sale of the Assets;
(ii) any liabilities or expenses of the Seller or the Members incurred in
negotiating and carrying out their obligations under this Agreement; (iii) any
obligations incurred by the Seller or the Members after the Closing; (iv) any
liabilities or obligations incurred by the Seller in violation of, or as a
result of the Seller's or Members' breach of,

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this Agreement; (v) any intercompany payables or outstanding loans or lines of
credit of the Seller; (vi) any liability for any litigation involving the
Seller, including but not limited to matters listed on SCHEDULE 5.15; and (vii)
liabilities for any severance, accrued vacation/sick day or other employee
benefits of the Seller whether or not resulting from the transactions
contemplated hereby.

                  (e) EMPLOYMENT AGREEMENTS. At the Closing, the Buyer will
simultaneously enter into employment agreements with (i) Sean Barrett and (ii)
Elizabeth Kivela in the forms attached as EXHIBIT 3.1(e)(i) and EXHIBIT
3.1(e)(ii) respectively (the "Employment Agreements").

         3.2 ALLOCATION. The total purchase price will be allocated among the
items of the Assets in proportion to their fair market value and in accordance
with Section 1060 of the Internal Revenue Code of 1986, as amended, and the
regulations thereunder. The allocation (or the method by which the allocation
will be determined) is set forth in this SECTION 3.2 and SCHEDULE 3.2. In
connection with their filing of Federal income tax returns, the parties will
file Treasury Forms 8594 consistent with this allocation.

         3.3 ADJUSTMENTS.

                  (a) POST CLOSING ADJUSTMENT FOR DEFICIENCY IN 1999 REVENUES.
On or about April 30, 2000, the Buyer's accountants shall prepare an income
statement in accordance with GAAP showing the actual audited revenues for the
year ended and the six (6) months ended December 31, 1999 of the Seller
determined on an accrual method basis. To the extent that (i) the aggregate
audited revenues (accrual basis) of the Seller for the six (6) months ended
December 31, 1999 are less than Six Hundred Seventy-Five Thousand Dollars
($675,000), the Seller shall pay the Buyer as a reduction of the Purchase Price
paid to the Seller hereunder an amount equal to Five Dollars ($5.00) for each
One Dollar ($1.00) in revenue less than Six Hundred Seventy-Five Thousand
($675,000), and (ii) the aggregate audited revenues of the Seller for the six
(6) months ended December 31, 1999 are greater than Six Hundred Seventy-Five
Thousand Dollars ($675,000), the Purchase Price would be increased by an amount
equal to Five Dollars ($5.00) for each One Dollar ($1.00) in revenue greater
than Six Hundred Seventy-Five Thousand ($675,000). For example, in the event the
aggregate revenues of the Seller for the six (6) months ended December 31, 1999
are Six Hundred Twenty-Five Thousand Dollars ($625,000), the Purchase Price
would be reduced by Two Hundred Fifty Thousand Dollars ($250,000) (i.e. the
$50,000 shortfall multiplied by 5.00). To the extent payment by the Seller or
the Members to the Buyer are required under this SECTION 3.3, the Buyer shall be
entitled to receive payment from the Escrow Deposit or to receive payment
directly from the Seller or the Members within ten (10) days of the delivery of
the final income statement for 1999 as audited by the Buyer's accountants. In
the event the Buyer's accountants determine that any revenues of the Seller's
business during the last six (6) months of calendar year 1999 are required to be
"written off" as uncollectible ("Uncollected Revenues"), then for purposes of
the adjustment required to be made under this SECTION 3.3(a), fifty percent
(50%) of the amount of the Uncollected Revenues shall be credited toward the
Seller's revenues. Notwithstanding the foregoing

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sentence, the maximum revenue credit to the Seller based on Uncollected Revenues
shall not exceed $25,000 (i.e. in the event the Uncollected Revenues exceed
Fifty Thousand Dollars ($50,000), the Seller shall not receive any additional
credit towards such revenue calculation).

         To the extent payment by the Buyer is required under this SECTION 3.3,
the Buyer shall pay to Seller 50% of the amount of such payment in cash and the
other 50% in shares of Parent Stock, which shares shall be valued at the average
Nasdaq National Market price for the twenty (20) day period prior to the date of
delivery of the final income statement. Such payment, if any, shall be made
within ten (10) days of the delivery of the final income statement.

                  (b) PAYABLES AND LIABILITIES. The Seller shall (i) deliver to
Buyer Twenty Thousand Dollars ($20,000) in cash at the Closing; (ii) pay all
outstanding accounts payable existing as of the Closing Date and (iii) pay, when
due, all liabilities of the Seller accrued up to and including the Closing Date.
Within forty-five (45) days of the Closing, the Buyer and/or its accountants
shall review the records of the Seller's business and to the extent that there
was a surplus or deficiency in the Minimum Cash Amount (as hereafter defined)
such amount shall be paid in cash to the respective party within ten (10) days
of determination by Buyer of the Minimum Cash Amount. For purposes hereof, the
"Minimum Cash Amount" shall mean Twenty Thousand Dollars ($20,000) in excess of
the Seller's outstanding accounts payable and liabilities accrued up to and
including the Closing Date (e.g. American Express bill, non-capital leases, cell
phone bills, etc.).

                  (c) ADJUSTMENT BASED ON SHORTFALL OF CERTAIN ACCOUNTS IN
CALENDAR YEAR 2000. On or about January 31, 2001, the Buyer shall review the
revenue generated in calendar year 2000 and collected by the Buyer for the
following customers of the Seller's business: Computer Solutions, Northeast
Healthcare and Lincoln National Life. In the event that individually any or all
of such accounts fail to generate the collected revenue as specified for each
such customer on SCHEDULE 3.1(d)(t), then the Seller shall make payment to Buyer
of the amount of such shortfall, if any, within five (5) business days of such
determination.

                  (d) DISPUTES REGARDING ADJUSTMENTS. If the Seller disputes any
item contained on the audited 1999 revenues of the Seller or any adjustment
based on subsection (b) or (c) of this SECTION 3.3, the Seller shall notify the
Buyer in writing of each disputed item (collectively, the "Disputed Amounts"),
and specify the amount thereof in dispute within thirty (30) days after the
delivery of the final income statement for 1999. If the Seller and the Buyer
cannot resolve any such dispute, then such dispute shall be resolved by an
independent nationally recognized accounting firm which is reasonably acceptable
to the Seller and the Buyer (the "Independent Accounting Firm"). The
determination of the Independent Accounting Firm shall be made as promptly as
practical and shall be final and binding on the parties, absent manifest error
which error may only be corrected by the Independent Accounting Firm. Any
expenses relating to the engagement of the Independent Accounting Firm shall be
allocated between the Seller

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and the Buyer so that the Seller's aggregate share of such costs shall bear the
same proportion to the total costs that the Disputed Amounts unsuccessfully
contested by the Stockholder (as finally determined by the Independent
Accounting Firm) bear to the total of the Disputed Amounts so submitted to the
Independent Accounting Firm.

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         4. CLOSING. The sale and transfer of the Assets by the Seller to the
Buyer (the "Closing") will take place at the offices of Duffy & Sweeney, LLP,
300 Turks Head Building, Providence, Rhode Island beginning at 10:00 a.m. on
December 13, 1999 or at such other time and place as the parties may agree to in
writing (the "Closing Date") subject to the satisfaction of all of the
conditions to Closing described in SECTIONS 8 AND 9.

         5. REPRESENTATIONS AND WARRANTIES OF THE SELLER AND THE MEMBERS. As a
material inducement to the Buyer to enter into this Agreement and consummate the
transactions contemplated hereby, the Seller and the Members, jointly and
severally, make to the Buyer the representations and warranties contained in
this SECTION 5, which shall be true and correct as of the date hereof and as of
the Closing Date.

         5.1 ORGANIZATION AND QUALIFICATION OF THE SELLER. The Seller is a
limited liability company duly organized, validly existing and in good standing
under the laws of Connecticut with full power and authority to own or lease its
properties and to conduct its business in the manner and in the places where
such properties are owned or leased and where such business is currently
conducted or proposed to be conducted. The copies of the Articles of
Organization of the Seller as amended to date, certified by the Secretary of
State of Connecticut and the operating agreement certified by the Manager of the
Seller and heretofore delivered to the Buyer's counsel, are complete and
correct, and no amendments thereto are pending. The records of the Seller which
have heretofore been delivered to the Buyer's counsel are correct and complete.
The Seller is not required to qualify to do business as a foreign company in any
jurisdiction in which it owns, operates or leases real property nor in any other
jurisdiction in which the failure to be so qualified or registered would have a
material adverse effect on the properties, assets, business, financial condition
and prospects of the Seller.

         5.2 SUBSIDIARIES; INVESTMENTS. The Seller has no direct or indirect
subsidiaries and owns no securities issued by any other business organization or
governmental authority, except U.S. Government securities, bank certificates of
deposit and money market accounts acquired as short-term investments in the
ordinary course of its business. Except as disclosed on SCHEDULE 5.2, neither
the Seller nor the Members own or have any direct or indirect interest in or
control over any corporation, partnership, joint venture, proprietorship, entity
or business interest of any kind other than the ownership of less than two
percent (2%) of the issued and outstanding common stock of a publicly held
company. For purposes of this Agreement, the term "subsidiary" means, with
respect to any person, any corporation 5% or more of the outstanding voting
securities of which, or any partnership, joint venture or other entity 5% or
more of the total equity interest of which, is directly or indirectly owned by
such person.

         5.3 MEMBERSHIP INTERESTS. The total membership interests of the Seller
consist solely of the interests listed on SCHEDULE 5.3. All of the issued and
outstanding membership interests are duly authorized and validly issued, are
fully paid and nonassessable, are owned of record and beneficially by the
Members as set forth on

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SCHEDULE 5.3, and all such membership interests of the Seller were offered,
issued, sold and delivered by the Seller in compliance with all applicable state
and federal laws concerning the issuance of securities. Further, none of such
membership interests of the Seller were issued in violation of the preemptive
rights of any past or present member. The Members hold of record and own
beneficially all of the membership interests of the Seller, free and clear of
any restrictions on transfer taxes, security interests, mortgages, pledges,
liens, encumbrances, options, warrants, purchase rights, contracts, commitments,
equities, claims, and demands. None of the Members are a party to any option,
warrant, purchase right, or other contract or commitment that could require any
Member to sell, transfer, or otherwise dispose of any membership interest of the
Seller. None of the Members are a party to any voting trust, proxy, or other
agreement or understanding with respect to the voting of any membership
interests of the Seller. There are no outstanding subscriptions, options,
warrants, commitments, preemptive rights, agreements, arrangements or
commitments of any kind for or relating to the issuance, sale, registration or
voting of, or outstanding securities convertible into or exchangeable for, any
membership or other equity interests of the Seller.

         5.4 AUTHORITY OF THE MEMBERS.

                  (a) Each of the Members has full right, authority and power to
enter into this Agreement and each agreement, document and instrument to be
executed and delivered by or on behalf of the Seller pursuant to or as
contemplated by this Agreement and to carry out the transactions contemplated
hereby and thereby. This Agreement and each agreement, document and instrument
to be executed and delivered by the Seller pursuant to or as contemplated by
this Agreement (to the extent it contains obligations to be performed by the
Seller and/or the Members) constitutes, or when executed and delivered will
constitute, valid and binding obligations of the Seller and the Members
enforceable in accordance with their respective terms, subject to the terms
hereof. The execution, delivery and performance by each of the Members and the
Seller of this Agreement and each such agreement, document and instrument:

                           (i) do not and will not violate any provision of the
Articles of Organization or operating agreement of the Seller;

                           (ii) do not and will not violate any laws of the
United States, or any state or other jurisdiction applicable to such Member or
require such Member to obtain any approval, consent or waiver of, or make any
filing with, any federal, state, local or foreign governmental body, agency or
official that has not been obtained or made; and

                           (iii) do not and will not result in a breach of,
constitute a default under, accelerate any obligation under or give rise to a
right of termination of any indenture or loan or credit agreement or any other
agreement, contract, instrument, mortgage, lien, lease, permit, authorization,
order, writ, judgment, injunction, decree, determination or arbitration award to
which such Member or the Seller is a party or by which the property of such
Member or the Seller is bound or to which the property of such Member or the
Seller is subject or result in the creation or imposition of any

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mortgage, pledge, lien, security interest or other charge or encumbrance on any
of the assets or properties of such Member or the Seller.

         5.5 STATUS OF PROPERTY OWNED OR LEASED.

                  (a) REAL PROPERTY. The Seller does not own any real property.
The real property identified as being leased by the Seller on SCHEDULE 5.5(a) is
collectively referred to herein as the "Real Property". The Real Property
constitutes all the real property leased by the Seller.

                           (i) COMMISSIONS. To the best knowledge of the
Members, there are no brokerage or leasing fees or commissions or other
compensation due or payable on an absolute or contingent basis to any person,
firm, corporation, or other entity with respect to or on account of the Lease
described in SCHEDULE 5.5(a).

                           (ii) PHYSICAL CONDITION. Except as set forth on
SCHEDULE 5.5(a), to the knowledge of the Members without any independent
investigation, (a) there is no material defect in the physical condition of any
of the Real Property, (b) there is no material defect in any material
improvements located on or constituting a part of any of the Real Property,
including, without limitation, the structural elements thereof, the mechanical
systems (including without limitation all heating, ventilating, air
conditioning, plumbing, electrical, elevator, security, telecommunication,
utility, and sprinkler systems) therein, the roofs or the parking and loading
areas (collectively, the "Improvements"), and (c) all of the Improvements
located on or constituting a part of any of the Real Property, including,
without limitation, the structural elements thereof, the mechanical systems
therein, the roofs and the parking and loading areas are in generally good
operating condition and repair.

                           (iii) UTILITIES. The Seller has not received any
written notice of any termination or impairment of the furnishing of, or any
material increase in rates for, services to any of the Real Property of water,
sewer, gas, electric, telecommunication, drainage or other utility services,
except ordinary and usual rate increases applicable to all customers (or all
customers of a certain class) of a utility provider. The Seller has not entered
into any agreement requiring it to pay to any utility provider rates which are
less favorable than rates generally applicable to customers of the same class as
the Seller.

                           (iv) COMPLIANCE. The Seller has not received any
written notice from any municipal, state, federal or other governmental
authority with respect to any violation of any zoning, building, fire, water,
use, health, environmental or other statute, ordinance, code or regulation
issued in respect of any of the Real Property that has not been heretofore
corrected.

                           (v) GOVERNMENT APPROVALS. The Seller has not received
any notice of any plan, study or effort by any Governmental Entity which would
adversely affect the present use, zoning or value to the Seller of any of the
Real Property or which would

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modify or realign any adjacent street or highway in a manner materially adverse
to the Seller.

                           (vi) ZONING. The Seller has not received any notice
of any zoning violations.

                           (vii) REAL PROPERTY TAXES. To the knowledge of the
Members without any independent investigation, except as set forth in said
SCHEDULE 5.5(a), no special assessments of any kind (special, bond or
otherwise) are or have been levied against any Real Property, or any portion
thereof, which are outstanding or unpaid.

                  (b) PERSONAL PROPERTY. A list of each item of the machinery,
equipment and other fixed assets owned or leased by the Seller having a fair
market value of at least Five Hundred Dollars ($500), is contained in SCHEDULE
5.5(b) hereto. All of such equipment and other machinery, equipment and personal
property of the Seller is located on the Real Property or otherwise is used in
the operation of the Seller's Business. Except as specifically disclosed in
SCHEDULE 5.5(b) or in the Financial Statements, the Seller has good and
marketable title to all of such personal property. None of such personal
property or assets is subject to any mortgage, pledge, lien, conditional sale
agreement, security title, encumbrance or other charge except as specifically
disclosed in any Schedule hereto and in the Financial Statements. The Financial
Statements reflect all personal property of the Seller, subject to dispositions
and additions in the ordinary course of business consistent with this Agreement.
Except as otherwise specified in SCHEDULE 5.5(b) hereto, all leasehold
improvements, furnishings, machinery and equipment of the Seller are in
generally good repair, normal wear and tear excepted, have been well maintained,
and conform in all material respects with all applicable ordinances, regulations
and other laws.

         5.6 FINANCIAL STATEMENTS; UNDISCLOSED LIABILITIES.

                  (a) The Seller has delivered to the Buyer the following
financial statements of the Seller, copies of which are attached hereto as
SCHEDULE 5.6: (i) Balance Sheet prepared by Seller's accountants, Disanto
Bertoline & Company, P.C.] dated December 31, 1998; and (ii) Management prepared
monthly profit and loss statements dated January 1999 through October 31, 1999.

         The Financial Statements have been prepared in accordance with
accounting principles applied consistently during the periods covered thereby
(except that the interim financial statements are subject to normal year-end
audit adjustments and do not include footnotes), and present fairly in all
respects the financial condition of the Seller at the dates of said statements
and the results of their operations for the periods covered thereby.

                  (b) As of the Balance Sheet Date, the Seller had no
Liabilities of any nature, whether accrued, absolute, contingent or otherwise,
(including without limitation liabilities as guarantor or otherwise with respect
to obligations of others or contingent

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liabilities arising prior to the Balance Sheet Date) except liabilities stated
or adequately reserved for on the Financial Statements or reflected in Schedules
furnished to Buyer hereunder as of the date hereof.

                  (c) As of the date hereof, the Seller has no Liabilities of
any nature, whether accrued, absolute, contingent or otherwise, (including
without limitation liabilities as guarantor or otherwise with respect to
obligations of others, or liabilities for taxes due or then accrued or to become
due or contingent liabilities arising prior to the date hereof or the Closing,
as the case may be) except liabilities (i) stated or adequately reserved for on
the appropriate Financial Statement or the notes thereto, (ii) reflected in
Schedules furnished to the Buyer hereunder on the date hereof or (iii) incurred
in the ordinary course of business of the Seller consistent with prior
practices.

                  (d) All financial information delivered to KPMG, LLP and the
Buyer in connection with their audit of the Seller's financial statements as of
the date hereof are true and correct in all material respects and reflect all
liabilities of the Seller as of the date(s) of such information, and have been
prepared in accordance with accounting principles applied consistently during
the periods covered thereby.

         5.7 TAXES.

                  (a) The Seller has paid or caused to be paid all federal,
state, local, foreign and other taxes, including without limitation income
taxes, estimated taxes, alternative minimum taxes, excise taxes, sales taxes,
use taxes, value-added taxes, gross receipts taxes, franchise taxes, capital
stock taxes, employment and payroll-related taxes, withholding taxes, stamp
taxes, transfer taxes and property taxes, whether or not measured in whole or in
part by net income, and all deficiencies, or other additions to tax, interest,
fines and penalties owed by it (collectively, "Taxes"), in the amounts indicated
on tax returns filed by the Seller through the date hereof or in correspondence
received from any federal, state, local or foreign government taxing authority,
whether disputed or not (other than current taxes the liability for which is
adequately reserved for on the financial statements provided to the Buyer
pursuant to SECTION 5.6 hereof).

                  (b) The Seller has in accordance with applicable law filed all
federal, state, local and foreign tax returns required to be filed by them
through the date hereof and all such returns correctly and accurately set forth
the amount of any Taxes relating to the applicable period. For every taxable
period of the Seller, the Seller has delivered or made available to the Buyer
complete and correct copies of all federal, state, local and foreign income tax
returns, examination reports and statements of deficiencies assessed against or
agreed to by the Seller. SCHEDULE 5.7 attached hereto sets forth all federal tax
elections under the Internal Revenue Code, that are in effect with respect to
the Seller or for which an application by the Seller is pending.

                  (c) Neither the Internal Revenue Service ("IRS") nor any other
governmental authority is now asserting in writing or threatening to assert
against the Seller any deficiency or claim for additional taxes or a claim that
the Seller has or may be

                                                                              12
<PAGE>

subject to taxation by that jurisdiction. There are no security interests on any
of the assets of the Seller that arose in connection with any failure (or
alleged failure) to pay any Tax. The Seller has not entered into a closing
agreement pursuant to Section 7121 of the Internal Revenue Code.

                  (d) Except as set forth in SCHEDULE 5.7 attached hereto, there
has not been any audit of any tax return filed by the Seller, no audit of any
tax return of the Seller is in progress, and the Seller has not been notified by
any tax authority that any such audit is contemplated or pending. Except as set
forth in SCHEDULE 5.7, no extension of time with respect to any date on which a
tax return was or is to be filed by the Seller is in force, and no waiver or
agreement by the Seller is in force for the extension of time for the assessment
or payment of any Taxes.

                  (e) (i) The Seller has not consented to have the provisions of
Section 341(f)(2) of the Internal Revenue Code applied to it, (ii) the Seller
has not agreed to, and has not been requested by any governmental authority to,
make any adjustments under Section 481(a) of the Internal Revenue Code by reason
of a change in accounting method or otherwise and (iii) the Seller has never
made any payments, is obligated to make any payments, or is a party to any
agreement that under certain circumstances would obligate it to make any
payments, that will not be deductible under Section 280G of the Internal Revenue
Code. The Seller has disclosed on its federal income tax returns all positions
taken therein that could give rise to a penalty for underpayment of federal Tax
under Section 6662 of the Internal Revenue Code. The Seller has never had any
liability for unpaid Taxes because it is a member of an "affiliated group" (as
defined in Section 1504(a) of the Internal Revenue Code). The Seller has never
filed, nor has it ever been required to file, a consolidated, combined or
unitary tax return with any entity. The Seller is not a party to any tax sharing
agreement.

                  (f) The Seller computes its federal taxable income under the
accrual method of accounting.

         5.8 ACCOUNTS RECEIVABLE. All accounts receivable of the Seller as of
the respective Balance Sheet Dates and all accounts receivable arising
thereafter or hereafter to the Closing Date, arose or will arise from valid
sales in the ordinary course of business and are not subject to setoff or
counterclaim. Except as set forth in SCHEDULE 5.8, the Seller has no accounts or
loans receivable from any person, firm or corporation which is Affiliated with
the Seller.

         5.9 INVENTORIES. The Seller maintains less than Five Thousand Dollars
($5,000) of inventory, all saleable in the ordinary course and stated in
accordance with GAAP.

         5.10 ABSENCE OF CERTAIN CHANGES.

                                                                              13
<PAGE>

         Since December 31, 1998, the Seller has conducted business only in the
ordinary course and consistent with past practices and except as disclosed in
SCHEDULE 5.10 there has not been:

                  (a) Any change in the properties, assets, liabilities,
business, operations, financial condition or prospects of the Seller which
change by itself or in conjunction with all other such changes, whether or not
arising in the ordinary course of business, has been materially adverse with
respect to the Seller;

                  (b) Except for the endorsement of checks in the ordinary
course of business and the write-off of a receivable of Downcity, LLC in the
amount of not more than $6,500, any material contingent liability incurred by
the Seller as guarantor or otherwise with respect to the obligations of others
or any cancellation of any material debt or claim owing to, or waiver of any
material right of, the Seller;

                  (c) Any mortgage, encumbrance or lien placed on any of the
properties of the Seller which remains in existence on the date hereof or will
remain on the Closing Date except for liens permitted by any current agreement
of the Seller with respect to borrowed money;

                  (d) Any purchase, sale or other disposition, or any agreement
or other arrangement for the purchase, sale or other disposition, of any capital
assets of the Seller costing more than Ten Thousand Dollars ($10,000);

                  (e) Any damage, destruction or loss, whether or not covered by
insurance, materially and adversely affecting any of the properties, assets or
business of the Seller;

                  (f) Any declaration, setting aside or payment or making of any
other distribution in respect of the membership interest of the Seller, any
direct or indirect redemption, purchase or other acquisition by the Seller of
its own membership interests, any issuance or sale of any securities convertible
into or exchangeable for debt or equity securities of the Seller or any grant,
issuance or exercise of options, warrants, subscriptions, preemptive rights,
agreements, arrangements or commitments of any kind for or relating to the
issuance, sale, registration or voting of any membership interest of any class
or other equity interests of the Seller;

                  (g) Any claim of unfair labor practices asserted against the
Seller; any change in the compensation (in the form of salaries, wages,
incentive arrangements or otherwise) payable or to become payable by the Seller
to any of its officers, members, managers, employees, agents or independent
contractors other than customary merit or cost of living increases in accordance
with its usual practices, or any bonus payment or arrangement made to or with
any of such officers, employees, agents or independent contractors; any entering
into any employment, deferred compensation or other similar agreement (or any
amendment to any such existing agreement) with any officer, member, manager,
employee agent or independent contractor of the Seller except for employment

                                                                              14
<PAGE>

arrangements providing for salary or wages of less than Eighteen Thousand
Dollars ($18,000) per annum and any oral agreement terminable at will by the
Seller;

                  (h) Any change with respect to the officers or management of
the Seller, any grant of any severance or termination pay to any officer or
employee of the Seller;

                  (i) Any payment or discharge of a material lien or liability
of the Seller which was not shown on the Financial Statements or incurred in the
ordinary course of business thereafter;

                  (j) Any obligation or liability incurred by the Seller to any
of its officers, members, managers or employees, or any loans or advances made
by the Seller to any of its officers, members, managers, or employees, except
normal compensation and expense allowances payable to such parties;

                  (k) Any change in accounting methods or practices, credit
practices or collection policies used by the Seller other than to comply with
new accounting pronouncements;

                  (l) Any other transaction entered into by the Seller other
than transactions in the ordinary course of business; or

                  (m) Any agreement or understanding whether in writing or
otherwise, that would result in any of the transactions or events or require the
Seller to take any of the actions specified in paragraphs (a) through (l) above.

         5.11 BANKING RELATIONS. All of the arrangements which the Seller has
with any banking institution are described in SCHEDULE 5.11 attached hereto,
indicating with respect to each of such arrangements the type of arrangement
maintained (such as checking account, borrowing arrangements, safe deposit box,
etc.), the names in which the accounts are held, the account number, and the
name of each person, corporation, firm or other entity authorized in respect
thereof.

         5.12 PATENTS, TRADE NAMES, TRADEMARKS, COPYRIGHTS AND PROPRIETARY
RIGHTS. All patents, patent applications, trademark registrations, trademark
registration applications, copyright registrations, copyright registration
applications and all material trade names, trademarks, copyrights and other
material proprietary rights owned by or licensed to the Seller (the "Proprietary
Rights") are listed in SCHEDULE 5.12 attached hereto. All of the material
patents, registered trademarks and copyrights of the Seller and all of the
material patent applications, trademark registration applications and copyright
registration applications of the Seller have been duly registered in, filed in
or issued by the United States Patent and Trademark Office, the United States
Register of Copyrights or the corresponding offices of other countries
identified on said schedule. Except as set forth in SCHEDULE 5.12: (a) use of
said patents, trade names, trademarks, copyrights or other proprietary rights in
the ordinary course of business as presently conducted does not

                                                                              15
<PAGE>

require the consent of any other person and (b) the Seller has sufficient title
or adequate rights or licenses to use all material patents, trade names,
trademarks, copyrights, or other proprietary rights used by it in its business
as presently conducted free and clear of any attachments, liens, encumbrances or
adverse claims. The Seller has not received written notice that its present or
contemplated activities or products infringe any such patents, trade names,
trademarks or other proprietary rights of others. Except as set forth in
SCHEDULE 5.12: (i) no other person has an interest in or right or license to
use, or the right to license others to use, any of said patents, patent
applications, trade names, trademarks, copyrights or other proprietary rights;
(ii) there are no written claims or demands of any other person pertaining
thereto and no proceedings have been instituted, or are pending or threatened,
which challenge the rights of the Seller in respect thereof; (iii) none of the
patents, trade names, trademarks, copyrights or other proprietary rights listed
in said schedule is subject to any outstanding order, decree, judgment or
stipulation, or is being infringed by others; and (iv) no proceeding charging
the Seller with infringement of any adversely held patent, trade name, trademark
or copyright has been filed or is threatened to be filed.

         5.13 TRADE SECRETS AND CUSTOMER LISTS. The Seller has the right to use
in the ordinary course of its business as presently conducted, free and clear of
any claims or rights of others, all trade secrets, inventions, customer lists
and secret processes required for or incident to the manufacture or marketing of
all products and services presently sold, manufactured, licensed, under
development or produced by it, including products licensed from others. Any
payments required to be made by the Seller for the use of such trade secrets,
inventions, customer lists and secret processes are described in SCHEDULE 5.13.
The Seller is not using or in any way making use of any confidential information
or trade secrets of any third party, including without limitation, a former
employer of any present or past employee of the Seller.

         5.14 CONTRACTS.

                  (a) Except for contracts, commitments, plans, agreements and
licenses described in SCHEDULE 5.14 (complete and accurate copies of which have
been delivered to the Buyer), the Seller is not a party to or subject to:

                           (i) any plan or contract providing for bonuses,
pensions, options, membership interest purchases, deferred compensation,
retirement payments, profit sharing, severance or termination pay, collective
bargaining or the like, or any contract or agreement with any labor union;

                           (ii) any employment contract or contract for services
which requires the payment of Ten Thousand Dollars ($10,000) or more annually or
which is not terminable at will by the Seller without liability for any penalty
or severance payment;

                                                                              16
<PAGE>

                           (iii) any contract or agreement for the purchase of
any commodity, material or equipment except purchase orders in the ordinary
course for less than One Thousand Dollars ($1,000 each);

                           (iv) any other contracts or agreements creating any
obligation of One Thousand Dollars ($1,000) or more with respect to any such
contract;

                           (v) any contract or agreement providing for the
purchase of all or substantially all of its requirements of a particular product
from a supplier;

                           (vi) any contract or agreement which by its terms
does not terminate or is not terminable by the Seller or any successor or assign
within six (6) months after the date hereof without payment of a penalty;

                           (vii) any contract or agreement for the sale or lease
of its products or services not made in the ordinary course of business;

                           (viii) any contract with any sales agent or
distributor of products of the Seller;

                           (ix) any contract containing covenants limiting the
freedom of the Seller or any of the Members to compete in any line of business
or with any person or entity;

                           (x) any contract or agreement for the purchase of any
fixed asset for a price in excess of One Thousand Dollars ($1,000) whether or
not such purchase is in the ordinary course of business;

                           (xi) any license agreement (as licensor or licensee)
(excluding shrink wrapped, off-the-shelf software products); provided that a
complete list of all software currently owned, licensed or used by the Seller
and set forth in SCHEDULE 5.14 shall satisfy the disclosure obligation of the
Seller for purposes hereof;

                           (xii) any indenture, mortgage, promissory note, loan
agreement, guaranty or other agreement or commitment for the borrowing of money
and any related security agreement;

                           (xiii) any contract or agreement with any officer,
employee, member or manager of the Seller or with any persons or organizations
controlled by or Affiliated with any of them;

                           (xiv) any partnership, joint venture, or other
similar contract, arrangement or agreement; or

                                                                              17
<PAGE>

                           (xv) any registration rights agreements, warrants,
warrant agreements or other rights to subscribe for securities, any voting
agreements, or other similar arrangements or any membership interest purchase or
repurchase agreements or membership interest restriction agreements.

                  (b) To the Seller's knowledge, all material contracts,
agreements, leases and instruments to which the Seller is a party or by which
the Seller is obligated are valid and are in full force and effect and
constitute legal, valid and binding obligations of the Seller and the other
parties thereto, enforceable in accordance with their respective terms. Neither
the Seller nor any other party to any contract, agreement, lease or instrument
of the Seller is in default in complying with any provisions thereof, and to the
Seller's knowledge, no condition or event or facts exists which, with notice,
lapse of time or both would constitute a default thereof on the part of either
of the Seller, or on the part of any other party thereto in any such case that
could have a material adverse effect on the properties, assets, financial
condition or prospects of the Seller. SCHEDULE 5.14 indicates whether any of the
agreements, contracts, commitments or other instruments and documents described
therein requires consent or approval to be transferred to the Buyer as a result
of the transactions contemplated herein.

         5.15 LITIGATION. SCHEDULE 5.15 hereto lists all currently pending and
to Seller's knowledge threatened litigation and governmental or administrative
proceedings or investigations to which the Seller is a party. Except for matters
described in SCHEDULE 5.15, there is no litigation or governmental or
administrative proceeding or investigation pending or threatened against the
Seller which may have an adverse effect on the properties, assets, business,
financial condition or prospects of the Seller or any of the Members or which
would prevent or hinder the consummation of the transactions contemplated by
this Agreement.

         5.16 COMPLIANCE WITH LAWS. The Seller has not received notice of a
violation or alleged violation of applicable statutes, ordinances, orders, rules
and regulations promulgated by any federal, state, municipal or other
governmental authority, which violation or alleged violation would have a
material adverse effect on the Seller, and except as set forth in SCHEDULE 5.16
hereto, the Seller is currently in compliance in all material respects with all
such statutes, ordinances, orders, rules or regulations, and there is no valid
basis for any claim that such parties are not in compliance with any such
statute, ordinance, order, rule or regulation.

         5.17 INSURANCE. SCHEDULE 5.17 sets forth the following information with
respect to each insurance policy (including policies providing property,
casualty, liability, and workers' compensation coverage and bond and surety
arrangements) to which the Seller has been a party, a named insured, or
otherwise the beneficiary of coverage at any time within the past five (5)
years: (a) the name, address, and telephone number of the agent; (b) the name of
the insurer, the name of the policyholder, and the name of each covered insured;
(c) the policy number and the period of coverage; (d) the scope (including an
indication of whether the coverage was on a claims made, occurrence, or other
basis) and amount (including a description of how deductibles and ceilings are
calculated and

                                                                              18
<PAGE>

operate) of coverage; and (e) a description of any retroactive premium
adjustments or other loss-sharing arrangements. With respect to each such
insurance policy: (i) the policy is legal, valid, binding, enforceable, and in
full force and effect; (ii) the policy will continue to be legal, valid,
binding, enforceable, and in full force and effect on identical terms following
the consummation of the transactions contemplated hereby, (iii) neither the
Seller, nor any other party to the policy is in breach or default (including
with respect to the payment of premiums or the giving of notices), and no event
has occurred which, with notice or the lapse of time, would constitute such a
breach or default, or permit termination, modification, or acceleration, under
the policy; and (iv) no party to the policy has repudiated any provision
thereof. Since its formation, the Seller has been covered by insurance in scope
and amount customary and reasonable for the businesses in which it has engaged
during the aforementioned period.

         5.18 WARRANTY AND RELATED MATTERS. There are no existing or threatened
in writing, product liability, warranty or other similar claims against the
Seller alleging that any of its products or services are defective or fail to
meet any product or service warranties except as disclosed in SCHEDULE 5.18
hereto. The Seller has not received notice of any statements, citations,
correspondence or decisions by any Governmental Entity stating that any product
manufactured, marketed or distributed at any time by the Seller (the "Products")
is defective or unsafe or fails to meet any product warranty or any standards
promulgated by any such Governmental Entity. There have been no recalls ordered
by any such Governmental Entity with respect to any Product. There is no (i)
fact relating to any Product that may impose upon the Seller a duty to recall
any Product or a duty to warn customers of a defect in any Product, (ii) latent
or overt design, manufacturing or other defect in any Product, or (iii)
liability for warranty or other claim or return with respect to any Product
except in the ordinary course of business consistent with the past experience of
the Seller for such kind of claims and liabilities.

         5.19 FINDER'S FEES. No broker, finder or investment banker is entitled
to any brokerage, finder's or other fee or commission in connection with the
transactions contemplated hereby based upon arrangements made by or on behalf of
the Seller.

         5.20 PERMITS; BURDENSOME AGREEMENTS. SCHEDULE 5.20 lists all permits,
registrations, licenses, franchises, certifications and other approvals
(collectively, the "Approvals") required from Governmental Entities in order for
the Seller to conduct the Business. The Seller has obtained all the Approvals,
which are valid and in full force and effect. Except as disclosed on SCHEDULE
5.20, none of the Approvals is subject to termination by their express terms as
a result of the execution of this Agreement by the Seller, and no further
Approvals will be required in order to continue to conduct the business
currently conducted by the Seller subsequent to the Closing. Except as disclosed
in SCHEDULE 5.20, the Seller is not subject to nor bound by any agreement,
judgment, decree or order which may materially and adversely affect the
properties, assets, business, financial condition or prospects of the Seller.

         5.21 TRANSACTIONS WITH INTERESTED PERSONS. Except as set forth in
SCHEDULE 5.21 hereto, no officer, employee, member or manager of the Seller and
none of their

                                                                              19
<PAGE>

respective parents, grandparents, spouses, children, siblings or grandchildren
owns directly or indirectly on an individual or joint basis any material
interest in, or serves as an officer or director or in another similar capacity
of, any competitor, supplier or customer of the Seller or any organization,
person or entity with whom the Seller is doing business.

         5.22 LISTS OF CERTAIN EMPLOYEES AND SUPPLIERS.

                  (a) SCHEDULE 5.22 hereto contains a list of all current
members and managers of the Seller and a list of all employees and consultants
of the Seller who, individually, have received or are scheduled to receive base
salary from the Seller during the current fiscal year of Eighteen Thousand
Dollars ($18,000) or more. In each case such schedule includes the current job
title and current base salary of each such individual.

                  (b) SCHEDULE 5.22 sets forth a true and complete list of all
suppliers of the Seller to whom the Seller made payments aggregating Ten
Thousand Dollars ($10,000) or more during the most recent complete fiscal year,
showing, with respect to each, the name, address and dollar volume involved.

         5.23 EMPLOYEES; LABOR MATTERS. As of the date hereof, the Seller
employed the number of full-time employees and part-time employees described on
SCHEDULE 5.23. The Seller is not delinquent in payments to any of its employees
for any wages, salaries, commissions, bonuses or other direct compensation for
any services performed for it to the date hereof or amounts required to be
reimbursed to such employees. Except as set forth in SCHEDULE 5.23, upon
termination of the employment of any of said employees, the Seller will not be
liable to any of said employees for so-called "severance pay" or any other
payments. Except as set forth in SCHEDULE 5.23 attached hereto or as required by
law, the Seller does not have a policy, practice, plan or program of paying
severance pay or any form of severance compensation in connection with the
termination of employment. The Seller is in compliance with all applicable laws
and regulations respecting labor, employment, fair employment practices, terms
and conditions of employment, and wages and hours. No charges of employment
discrimination or unfair labor practices have been brought against the Seller,
nor are there any strikes, slowdowns, stoppages of work, or any other concerted
interference with normal operations existing, pending or threatened against or
involving the Seller. There are no grievances, complaints or charges that have
been filed against the Seller under any dispute resolution procedure (including,
but not limited to, any proceedings under any dispute resolution procedure under
any collective bargaining agreement). No collective bargaining agreements are in
effect or are currently being or are about to be negotiated by the Seller. The
Seller has not received written notice of pending or threatened changes with
respect to the management or key supervisory personnel of the Seller.

         5.24 CUSTOMERS. SCHEDULE 5.24 sets forth any customer who accounted for
more than 5% of the sales of the Seller for the most recent complete fiscal year
of the Seller (collectively, the "Customers"). No Customer has given notice to
the Seller of its

                                                                              20
<PAGE>

intention to terminate, to cancel or otherwise materially and adversely modify
its relationship with the Seller or to decrease materially or limit its usage or
purchase of the services or products of the Seller.

         5.25 Y2K. Except as disclosed on SCHEDULE 5.25, the Seller has taken
all commercially reasonable action to assess, evaluate, test and correct all of
the hardware, software, embedded microchips and other processing capabilities of
computer and telecommunication systems it uses, either directly or indirectly,
including but not limited to computerized services provided by third parties
such as billing and payroll services, to ensure that such systems will be able
to function accurately and without interruption or ambiguity using date
information before, during and after January 1, 2000.

         5.26 EMPLOYEE BENEFITS.

                  (a) The Seller has never maintained or been a party to any
Employee Benefit Plan.

                  (b) The Seller has never contributed, or ever has been
required to contribute to any Employee Benefit Plan which is in Employee Pension
Benefit Plan.

                  (c) The Seller has no never contributed to, or ever has been
required to contribute to any Multiemployer Plan or has any liability (including
withdrawal liability) under any Multiemployer Plan.

                  (d) The Seller does not maintain or contribute to, nor has
ever maintained or contributed to, nor has ever been required to contribute to
any Employee Welfare Benefit Plan providing medical, health, or life insurance
or other welfare-type benefits for current or future retired or terminated
employees, their spouses, or their dependents (other than in accordance with
Internal Revenue Code Section 4980B).

         5.27     ENVIRONMENT, HEALTH, AND SAFETY.

                  (a) To Seller's knowledge, (without any independent
investigation) the Seller has complied with all Environmental, Health and Safety
Laws, and no action, suit, proceeding, hearing, investigation, charge,
complaint, claim, demand, or notice has been filed or commenced against them
alleging any failure so to comply. Without limiting the generality of the
preceding sentence, the Seller has obtained and been in compliance with all of
the terms and conditions of all permits, licenses, and other authorizations
which are required under, and have complied with all other limitations,
restrictions, conditions, standards, prohibitions, requirements, obligations,
schedules, and timetables which are contained in, all Environmental, Health, and
Safety Laws.

                  (b) To Seller's knowledge, (without any independent
investigation) the Seller has no Liability (and the Seller has not handled or
disposed of any substance, arranged for the disposal of any substance, exposed
any employee or other individual to any substance or condition, or owned or
operated any property or facility in any manner

                                                                              21
<PAGE>

that could form the basis for any present or future action, suit, proceeding,
hearing, investigation, charge, complaint, claim, or demand against the Seller
giving rise to any liability) for damage to any site, location, or body of water
(surface or subsurface), for any illness of or personal injury to any employee
or other individual, or for any reason under any Environmental, Health, and
Safety Law.

                  (c) To Seller's knowledge, (without any independent
investigation) all properties and equipment used in the Seller have been free of
asbestos, PCB's, methylene chloride, trichloroethylene,
1,2-trans-dichloroethylene, dioxins, dibenzofurans, and Extremely Hazardous
Substances.

         5.28 DISCLOSURE. This Agreement, including the Schedules hereto
prepared by the Seller, together with the other information furnished to the
Buyer by the Seller in connection herewith, do not contain an untrue statement
of material fact or omit to state a material fact necessary to make the
statements herein and therein, in light of the circumstances under which they
were made, not misleading.

         6. COVENANTS OF THE SELLER AND THE COMPANY. The Seller and the Members
jointly and severally covenant and agree as set forth in this SECTION 6.

         6.1 CONDUCT OF BUSINESS. Between the date of this Agreement and the
Closing Date, the Members will cause the Seller to do and the Seller and the
Members will do the following, unless the Buyer shall otherwise consent in
writing:

                  (a) conduct its business only in the ordinary course
consistent with past practices, refrain from changing or introducing any method
of management or operations except in the ordinary course of business and in a
manner consistent with past practices and will not use any cash generated by the
Seller other than to pay ordinary course business expenses (including Member's
salaries) consistent with past practices;

                  (b) refrain from making any purchase, sale or disposition of
any asset or property other than in the ordinary course of business, from
purchasing or selling any capital asset of the Seller and from mortgaging,
pledging, subjecting to a lien or otherwise encumbering any of its properties or
assets;

                  (c) refrain from incurring or modifying any contingent
liability as a guarantor or otherwise with respect to the obligations of others,
and from incurring or modifying any other contingent or fixed obligations or
liabilities except in the ordinary course of business and in a manner consistent
with past practices;

                  (d) refrain from making any change in the Seller's formation
documents, operating agreement or authorized or issued membership interest or
from acquiring any securities issued by any other business organization other
than short-term investments in the ordinary course of business;

                                                                              22
<PAGE>

                  (e) refrain from declaring, setting aside or paying any
dividend, making any other distribution in respect of the Seller's membership
interest, making any direct or indirect redemption, purchase or other
acquisition of the Seller's membership interest, issuing, granting, awarding,
selling, pledging, disposing of or encumbering or authorizing the issuance,
grant, award, sale, pledge, disposition or encumbrance of any membership
interest of, or securities convertible or exchangeable for, or options,
warrants, calls, commitments or rights of any kind to acquire, any membership
interest of the Seller or entering into any agreement or commitment with respect
to any of the foregoing;

                  (f) refrain from making any change in the compensation payable
or to become payable to any of its officers, members, managers, employees or
agents, except for scheduled increases in salary or wages in the ordinary course
of business that are consistent with past practices, or granting any severance
or termination pay to, or establishing, adopting or entering into any agreement
or arrangement providing for severance or termination pay to, or entering into
or amending any employment, or other agreement or arrangement with, any officer,
member, manager, or other employee of the Seller or establishing, adopting or
entering into or amending any collective bargaining, bonus, incentive, deferred
compensation, profit sharing, membership interest option or purchase, insurance,
pension, retirement or other employee benefit plan;

                  (g) refrain from making any change in its borrowing
arrangements or modifying, amending or terminating any of its contracts except
in the ordinary course of business, or waiving, releasing or assigning any
material rights or claims;

                  (h) use reasonable efforts to prevent any change with respect
to its management and supervisory personnel or banking arrangements;

                  (i) maintain its business organization and preserve the
goodwill of and business relationships with all suppliers, customers and others
having business relations with it, and to maintain its properties and
facilities, including those held under leases, in as good a working order and
condition as on the date hereof, ordinary wear and tear excepted;

                  (j) maintain at all times all insurance of the kind, in the
amount and with the insurers set forth in SCHEDULE 5.17 or equivalent insurance
with any substitute insurers approved by the Buyer;

                  (k) refrain from changing accounting policies or procedures
(including, without limitation, procedures with respect to the payment of
accounts payable and collection of accounts receivable) or from making any tax
election or settling or compromising any federal, state, local or foreign income
tax liability;

                  (l) refrain from entering into any executory agreement,
commitment or undertaking to do any of the activities prohibited by the
foregoing provisions; and

                                                                              23
<PAGE>

                  (m) refrain from using any cash generated by the Business
other than to pay ordinary recurring expenses; and

                  (n) permit the Buyer and its authorized representatives
(including without limitation the Buyer's attorneys, accountants, and pension
consultants) to have full access to all of its properties, assets, books,
records, business files, executive personnel, tax returns, contracts and
documents and furnish to the Buyer and its authorized representatives such
financial and other information with respect to its business or properties as
Buyer may from time to time reasonably request.

         6.2 CONSENTS AND APPROVALS. The Seller shall use all commercially
reasonable efforts to obtain or cause to be obtained prior to the Closing Date
all necessary consents and approvals to the performance of the obligations of
the Seller and the Members under this Agreement, including, without limitation,
the consents and authorizations described in SCHEDULE 5.14, and such other
authorizations, waivers, approvals, consents and permits as set forth in
SCHEDULE 6.2 as may be necessary to transfer to the Buyer and/or to retain in
full force and effect without penalty subsequent to the Closing Date all
contracts, permits, licenses and franchises of or applicable to the Business.

         6.3 EXCLUSIVE DEALING. Unless and until the earlier to occur of the
Closing Date or the termination of this Agreement pursuant to SECTION 10 the
Seller shall not permit any officer, member, manager, employee or agent to,
directly or indirectly, (i) take any action to solicit, initiate submission of
or encourage, proposals or offers from any person relating to any acquisition or
purchase of all or (other than in the ordinary course of business) a portion of
the assets of the Seller, or any equity interest in the Seller or any merger or
business combination with the Seller (an "Acquisition Proposal"), (ii)
participate in any discussions or negotiations regarding an Acquisition Proposal
with any person or entity other than Buyer and its representatives, or (iii)
otherwise cooperate in any way with, or assist or participate in, facilitate or
encourage, any effort or attempt by any other person to do any of the foregoing.

         6.4 NO SALES OF MEMBERSHIP INTERESTS. Between the date of this
Agreement and the Closing Date, the Seller shall not sell, exchange, deliver,
assign, pledge, encumber or otherwise transfer or dispose of any membership
interests owned beneficially or of record by the Members, nor grant any right of
any kind to acquire, dispose of, vote or otherwise control in any manner such
membership interests; provided, however, that notwithstanding anything to the
contrary stated herein, any transferee, executor, heir, legal representative,
successor or assign of the Members shall be bound by this Agreement.

         6.5 NOTIFICATION OF CERTAIN MATTERS. The Seller shall give prompt
notice to the Buyer of (i) the occurrence or non-occurrence of any event the
occurrence or non-occurrence of which would be likely to cause any
representation or warranty of the Seller and the Members contained herein to be
untrue or inaccurate in any material respect at or prior to the Closing and (ii)
any material failure of the Seller or the Members to comply with or satisfy any
covenant, condition or agreement to be complied with or satisfied by

                                                                              24
<PAGE>

such person hereunder. The delivery of any notice pursuant to this SECTION 6.5
shall not be deemed to (i) modify the representations or warranties hereunder of
the party delivering such notice, (ii) modify the conditions set forth in
SECTION 8 or elsewhere or (iii) limit or otherwise affect the remedies available
hereunder to the party receiving such notice.

         6.6 AMENDMENT OF SCHEDULES. The Seller and the Members agree that, with
respect to the representations and warranties contained in this Agreement, the
Seller and the Members shall have the continuing obligation until the Closing
Date to supplement or amend promptly the Schedules hereto with respect to any
matter hereafter arising or discovered which, if existing or known at the date
of this Agreement, would have been required to be set forth or described on the
Schedules. The Seller and the Members understand and agree that, as of the
Closing Date, they will be required to execute a "bring-down" certificate which
shall state that all representations and warranties in this Agreement are true
and correct as of the Closing Date. To the extent that any such representation
and warranty is qualified by disclosure on a schedule which changes after the
date hereof and prior to Closing, the Seller and the Members agree to notify the
Buyer of such changes in writing and to summarize all such changes via the
bring-down certificate on the Closing Date. Notwithstanding the foregoing
sentence, the truth and accuracy of any and all representations and warranties
of the Seller and the Members as of the date of this Agreement and as of the
Closing Date shall be a precondition to the consummation of this transaction by
the Buyer, and Buyer shall not be deemed to have consented to any amendment or
supplement to a Schedule prepared by the Seller and the Members after the date
hereof or to have waived any of its rights or remedies for breach hereof, with
respect to any matter hereafter arising or discovered that constitutes or
reflects an event or occurrence that would be reasonably likely to have a
material adverse effect on the Seller or the Members, unless the Buyer
acknowledges and consents in writing to such amendment or supplement.

         6.7 FURTHER ASSURANCES. The Seller and the Members hereto agree to
execute and deliver, or cause to be executed and delivered, such further
instruments or documents or take such other action as may be reasonably
necessary or convenient to carry out the transactions contemplated hereby.

         6.8 EMPLOYEES. As of the Closing Date, the Seller shall have terminated
all of its employees and the Buyer shall have hired certain of such former
employees as it may, in its sole discretion, need to operate the Business,
provided, however, that the Buyer shall have no obligation to hire any such
employees (other than pursuant to the Employment Agreements).

         7. REPRESENTATIONS AND WARRANTIES OF THE BUYER AND THE PARENT. As of
the date hereof, the Buyer and the Parent hereby represents and warrants to the
Seller as set forth in this SECTION 7.

         7.1 ORGANIZATION OF THE BUYER. Each of Buyer and the Parent is a
corporation duly organized, validly existing and in good standing under the laws
of its respective

                                                                              25
<PAGE>

state of incorporation with full corporate power and authority to conduct its
businesses in the manner as now conducted.

         7.2 AUTHORITY. All necessary corporate action has been taken by the
Buyer and the Parent to authorize the execution, delivery and performance of
this Agreement and each agreement, document and instrument to be executed and
delivered by the Buyer and the Parent pursuant to this Agreement. This Agreement
and each agreement, document and instrument to be executed and delivered by the
Buyer and the Parent pursuant to this Agreement constitutes, or when executed
and delivered by the Buyer and the Parent will constitute, valid and binding
obligations of the Buyer and the Parent enforceable in accordance with their
respective terms.

         7.3 NO CONFLICTS. The execution, delivery and performance by the Buyer
and the Parent of this Agreement and each such other agreement, document and
instrument: (i) does not and will not violate any provision of the Buyer or the
Parent's respective Certificate of Incorporation or bylaws; and (ii) will not
result in a breach of, constitute a default under, accelerate any obligation
under, or give rise to a right of termination of any indenture or loan or credit
agreement or any other agreement, contract, instrument, mortgage, lien, lease,
permit, authorization, order, writ, judgment, injunction, decree, determination
or arbitration award, whether written or oral, to which the Buyer or the Parent
is a party or by which the property of the Buyer and the Parent is bound or
affected, or result in the creation or imposition of any mortgage, pledge, lien,
security interest or other charge or encumbrance on any of the assets of the
Buyer and the Parent, except where such breach, default, acceleration or right
of termination would not have a material adverse effect on the properties,
assets, business, financial condition or prospects of the Buyer and the Parent,
and would not result in the creation or imposition of any mortgage, pledge,
lien, security interest or other charge or encumbrance on any of the assets of
the Buyer and the Parent.

         7.4 LITIGATION. There is no litigation or governmental or
administrative proceeding or investigation pending or to the knowledge of the
Buyer or the Parent threatened against the Buyer or the Parent which may have an
adverse effect on the properties, assets, business, financial condition or
prospects of the Buyer or the Parent or which would prevent or hinder the
consummation of the transactions contemplated by this Agreement.

         7.5 COMPLIANCE WITH LAWS. Neither the Buyer nor the Parent has not
received any notice of a violation or alleged violation of applicable statutes,
ordinances, orders, rules and regulations promulgated by any federal, state,
municipal or other governmental authority, which violation or alleged violation
would have a material adverse effect on the business of the Buyer or the Parent.

         8. CONDITIONS PRECEDENT TO THE OBLIGATIONS OF THE BUYER. The
obligations of the Buyer and the Parent to consummate this Agreement and the
transactions contemplated hereby are subject to the fulfillment, prior to or at
the Closing, of the conditions set forth in this SECTION 8.

                                                                              26
<PAGE>

         8.1 EXAMINATION OF FINANCIAL STATEMENTS. Prior to the Closing Date, the
Buyer shall have had sufficient time to review the management-prepared balance
sheets of the Seller as of the last day of the month ended immediately prior to
the Closing Date and the management-prepared statements of income, cash flow and
members' equity for the period then ended, disclosing no material change in the
financial condition of the Seller or the results of its operations from the
Balance Sheet Date, and the Buyer shall be satisfied in all respects with such
financial information.

         8.2 NO MATERIAL ADVERSE CHANGE. No material adverse change in the
results of operations, financial position or business of the Seller shall have
occurred and the Seller shall not have suffered any material loss or damages to
any of its properties or assets, whether or not covered by insurance, since the
Balance Sheet Date, which change, loss or damage materially affects or impairs
the ability of the Seller to conduct its business; and the Buyer shall have
received on the Closing Date a certificate signed by the Manager of the Seller
to such effect.

         8.3 DUE DILIGENCE AND REGULATORY REVIEW. The Buyer and KPMG LLP shall
have completed to its satisfaction a due diligence investigation of the Seller
and its prospects, business, assets, contracts, rights, liabilities and
obligations, including a review of the practices and procedures of the Seller
with respect to compliance with contracts and federal, state and local laws and
regulations governing the operations of the Seller. Such review shall be
satisfactory in all respects to the Buyer, in its sole discretion.

         8.4 OPINION OF COUNSEL. The Buyer shall have received an opinion from
counsel to the Seller and the Members, dated the Closing Date, in form and
substance satisfactory to the Buyer, to the effect that:

                  (a) the Seller has been duly organized and is legally existing
under the laws of the State of Connecticut.

                  (b) the authorized and outstanding membership interests of the
Seller is as represented by the Members in this Agreement and each membership
interest has been duly and validly authorized and issued, is fully paid and
nonassessable and was not issued in violation of the preemptive rights of any
member;

                  (c) to the knowledge of such counsel (which knowledge may be
based on a certificate of the Members and the Seller), the Seller does not have
any outstanding options, warrants, calls, conversion rights or other commitments
of any kind to issue or sell any of its membership interests;

                  (d) this Agreement has been duly authorized, executed and
delivered by the Seller and the Members and constitutes a valid and binding
agreement of the Seller and the Members enforceable against them in accordance
with its terms except as such enforceability may be subject to bankruptcy,
moratorium, insolvency, reorganization, arrangement and other similar laws
relating to or affecting the rights of creditors.

                                                                              27
<PAGE>

                  (e) to the knowledge of such counsel (which knowledge may be
based on a certificate of the Members and the Seller), except to the extent set
forth on SCHEDULE 5.15, there are no claims, actions, suits or proceedings (i)
pending, or (ii) threatened against or affecting the Seller or any of the
Members, at law or in equity, or before or by any federal, state, municipal or
other governmental department, commission, board, bureau, agency or
instrumentality wherever located;

                  (f) no notice to, consent, authorization, approval or order of
any court or governmental agency or body or to the knowledge of such counsel
(which knowledge may be based on a certificate of the Members and the Seller) of
any other third party is required in connection with the execution, delivery or
consummation of this Agreement by the Seller and the Members or for the transfer
to the Buyer of the Assets;

                  (g) the execution of this Agreement and the performance of the
obligations hereunder will not violate or result in a breach or constitute a
default under any of the terms or provisions of the Seller's Articles of
Organization or the operating agreement of the Seller or to the knowledge of
such counsel (which knowledge may be based on a certificate of the Members and
the Seller) of any lease, instrument, license, permit or any other agreement to
which the Seller is a party or by which the Seller or its members are is bound;
and

                  (h) any other matters incident to the matters set forth herein
as reasonably required by the Buyer to which counsel is able to opine.

         8.5 ADDITIONAL LIABILITIES AND OBLIGATIONS. The Seller shall have
delivered to the Buyer a certificate dated the Closing Date, setting forth (i)
all liabilities and obligations of the Seller arising since the Balance Sheet
Date; (ii) showing all material contracts and agreements, together with copies
thereof, entered into by the Seller since the Balance Sheet Date and (iii) all
outstanding payables of the Seller which the Seller shall satisfy in accordance
with SECTION 3.3(b).

         8.6 LEGAL EXISTENCE CERTIFICATES; CERTIFIED COPY OF THE ARTICLES OF
ORGANIZATION. The Seller shall have delivered to the Buyer certificates, dated
as of a date no earlier than thirty (30) days prior to the Closing Date, duly
issued by the Secretary of State of Connecticut and the Department of Revenue
Services of the State of Connecticut and of any other state in which the Seller
is authorized to do business, showing that the Seller is legally existing and
authorized to do business and that all state franchise and/or income tax returns
and taxes for the Seller for all periods prior to the dates of such certificates
have been filed and paid. The Seller shall also have delivered to the Buyer
prior to the Closing a recent copy of the Seller's Articles of Organization and
all amendments thereto duly certified by the Secretary of State of Connecticut.

         8.7 REPRESENTATIONS; WARRANTIES; COVENANTS. Each of the representations
and warranties of the Seller and the Members contained in SECTION 5 and
elsewhere in this Agreement shall be true and correct on and as of the Closing
Date, with the same effect

                                                                              28
<PAGE>

as though made on and as of the Closing Date; the Members shall, on or before
the Closing Date, have performed and satisfied all agreements and conditions
hereunder which by the terms hereof are to be performed and satisfied by the
Seller and the Members on or before the Closing Date; and the Seller and the
Members shall have delivered to the Buyer a certificate dated the Closing Date
signed by the Seller and Members to the foregoing effect.

         8.8 APPROVALS AND CONSENTS. The Seller shall have made all filings with
and notifications of governmental authorities, regulatory agencies and other
entities required to be made by them in connection with the execution and
delivery of this Agreement, the performance of the transactions contemplated
hereby and the continued operation of the Business subsequent to the Closing
Date, and the Seller and the Buyer shall have received all required
authorizations, waivers, consents and permits to permit the consummation of the
transactions contemplated by this Agreement, in form and substance reasonably
satisfactory to the Buyer, from all third parties, including, without
limitation, approvals required under federal and state securities laws and/or
the securities and Exchange Commission, state "Blue Sky" laws, other applicable
governmental authorities and regulatory agencies, lessors, lenders and contract
parties, required in connection with this Agreement or the Seller's permits,
leases, licenses and franchises, to avoid a breach, default, termination,
acceleration or modification of any material agreement, contract, instrument,
mortgage, lien, lease, permit, authorization, order, writ, judgment, injunction,
decree, determination or arbitration award as a result of the execution or
performance of this Agreement, or otherwise in connection with the execution and
performance of this Agreement.

         8.9 NO ACTIONS OR PROCEEDINGS. No action or proceeding by any court,
administrative body or governmental agency shall have been instituted or
threatened which would enjoin, restrain or prohibit, or would likely result in
substantial damages in respect of, this Agreement or the complete consummation
of the transactions contemplated by this Agreement, and which would in the
reasonable judgment of the Buyer make it inadvisable to consummate such
transactions, and no law or regulation shall be in effect and no court order
shall have been entered in any action or proceeding instituted by any party
which enjoins, restrains or prohibits this Agreement or the complete
consummation of the transactions as contemplated by this Agreement.

         8.10 PROCEEDINGS SATISFACTORY TO THE BUYER. All proceedings to be taken
by the Seller and the Members in connection with the consummation of the Closing
on the Closing Date and the other transactions contemplated hereby and all
certificates, opinions, instruments and other documents required to effect the
transaction contemplated hereby reasonably requested by the Buyer shall be
reasonably satisfactory in form and substance to the Buyer and its counsel.

         8.11 EMPLOYMENT AGREEMENTS. The Employment Agreements shall be executed
by the Buyer and the respective Members.

                                                                              29
<PAGE>

         8.12 ESCROW AGREEMENT. The Escrow Agreement shall be executed by the
Seller and the Members.

         8.13 NAME CHANGE, TELEPHONE NUMBERS AND POST OFFICE BOX ADDRESSES. The
Seller will have executed and delivered all such documents for filing as may be
required to change the Company name of the Seller and any and all fictitious
business names to other name(s) bearing no similarity thereto, including but not
limited to duly executed amendments to the Articles of Organization of the
Seller. From and after the Closing Date, neither the Seller nor the Members
shall use such names or any names similar thereto, and shall sign such consents
and take such other action as the Buyer may request in order to permit the Buyer
to use the Seller's name and transfer telephone numbers and post office boxes
addresses, if any.

         9. CONDITIONS PRECEDENT TO THE OBLIGATIONS OF THE SELLER. The
obligations of the Seller to consummate this Agreement and the transactions
contemplated hereby are subject to the fulfillment, prior to or at the Closing
Date, of the following conditions (any one or more of which may be waived in
whole or in part by the Seller):

         9.1 REPRESENTATIONS; WARRANTIES; COVENANTS. Each of the representations
and warranties of the Buyer contained in SECTION 7 shall be true and correct in
all material respects on and as of the Closing Date, with the same effect as
though made on and as of the Closing Date; the Buyer shall, on or before the
Closing Date, have performed and satisfied all agreements and conditions
hereunder which by the terms hereof are to be performed and satisfied by the
Buyer on or before the Closing Date; and the Buyer shall have delivered to the
Seller a certificate signed by the President of the Buyer and dated as of the
Closing Date certifying to the foregoing effect.

         9.2 NO ACTIONS OR PROCEEDINGS. No action or proceeding by any court,
administrative body or governmental agency shall have been instituted or
threatened which would enjoin, restrain or prohibit, or would likely result in
substantial damages in respect of, this Agreement or the complete consummation
of the transactions as contemplated by this Agreement, and which would in the
reasonable judgment of the Seller make it inadvisable to consummate such
transactions, and no law or regulation shall be in effect and no court order
shall have been entered in any action or proceeding instituted by any party
which enjoins, restrains or prohibits this Agreement or the complete
consummation of the transactions as contemplated by this Agreement.

         9.3 EMPLOYMENT AGREEMENTS. The Employment Agreements shall be executed
by the Buyer and the respective Members.

         9.4 ESCROW AGREEMENT. The Escrow Agreement shall be executed by the
Buyer.

         10. TERMINATION OF AGREEMENT; EFFECT OF TERMINATION.

                                                                              30
<PAGE>

         10.1 TERMINATION. This Agreement may be terminated any time prior to
the Closing Date solely by:

                  (a) mutual consent of the Seller and the Members and the board
of directors of the Buyer;

                  (b) either by the Seller on the one hand, or by the Buyer on
the other hand, if

                           (i) the transactions contemplated by this Agreement
to take place at the Closing shall not have been consummated by December 30,
1999], unless the failure of such transactions to be consummated is due to the
willful failure of the party seeking to terminate this Agreement to perform any
of its obligations under this Agreement to the extent required to be performed
by it prior to or on the Closing Date; or

                           (ii) if a material breach or default shall be made by
the other party in the observance of or in the due and timely performance of any
of the covenants or agreements contained herein, and the curing of such default
shall not have been made on or before the Closing Date.

         10.2 LIABILITIES IN THE EVENT OF TERMINATION. The termination of this
Agreement will in no way limit any obligation or liability of any party based on
or arising from a breach or default by such party with respect to any of its
representations, warranties, covenants or agreements contained in this Agreement
including, but not limited to, legal and audit costs and out of pocket expenses.

         10.3 TIME IS OF THE ESSENCE. Time is of the essence with respect to the
termination provisions of this SECTION 10, unless waived by the Buyer.

         11. NON-COMPETITION. For a period of three (3) years from and after the
Closing Date, the Seller and the Members shall not directly or indirectly, (i)
seek, obtain or accept a "Competitive Position" in the "Restricted Territory"
with a "Competitor" of the Company (as such terms are hereafter defined), or
(ii) solicit, directly or indirectly, any customers, clients, accounts,
officers, employees, agents or representatives of the Seller, Buyer, the Parent,
or its Affiliates.. For purposes of this Agreement, a "Competitor" of the
Company means any business, individual, partnership, joint venture, association,
firm, corporation or other entity engaged, wholly or partly, in the business of
selling internet access service, web site design or web hosting services or in
any related business which the Buyer, the Parent and/or their Affiliates are
engaged in or actively plan to engage in during the term of this covenant; the
"Restricted Territory" means the New England states, New York, New Jersey,
Pennsylvania and Delaware and any other states which the Buyer, the Parent or
its Affiliates are doing business; a "Competitive Position" means any employment
with any Competitor of the Company or self-employment whereby Seller or the
Member(s) will use or are likely to use any Confidential Information (as defined
herein), or whereby the Member(s) has duties for such Competitor that are the
same or substantially similar to those performed by such

                                                                              31
<PAGE>

Member for the Seller prior to the Closing and/or under the terms of such
Member's employment agreement with the Buyer. Nothing contained in this SECTION
10 is intended to prevent the Members or the Seller from investing in stock or
other securities listed on a national securities exchange or actively traded on
the over the counter market or any corporation engaged, wholly or partly, in the
sale of telecommunications products or services; provided, however, that the
Member(s) and members of such Member's immediate family shall not, directly or
indirectly, hold more than a total of two percent (2%) of all issued and
outstanding stock or other securities of any such corporation. If the final
judgment of a court of competent jurisdiction declares that any term or
provision of this Section is invalid or unenforceable, the parties hereto agree
that the court making the determination of invalidity or unenforceability shall
have the power to reduce the scope, duration, or area of the term or provision,
to delete specific words or phrases, or to replace any invalid or unenforceable
term or provision that is valid and enforceable and that comes closest to
expressing the intention of the invalid or unenforceable term or provision, and
this Agreement shall be enforceable as so modified after the expiration of the
time within which the judgment may be appealed.

         12. NONDISCLOSURE OF CONFIDENTIAL INFORMATION.

         12.1 THE SELLER AND THE MEMBERS. The Seller and the Members recognize
and acknowledge that they have had in the past, currently have and in the future
may have access to certain confidential information ("Buyer's Confidential
Information") relating to the Business and the Buyer and its Affiliates,
including, but not limited to, operational policies, customer lists, and pricing
and cost policies, that are valuable, special and unique assets of the Seller
and the Buyer and its Affiliates. The Seller and the Members agrees that they
will not use or disclose such confidential information to any person, firm,
corporation, association or other entity for any purpose or reason whatsoever,
except (a) to authorized representatives of the Seller and its Affiliates who
need to know such information in connection with the transactions contemplated
hereby, who have been informed of the confidential nature of such information
and who have agreed to keep such information confidential as provided hereby,
and (b) following the Closing, such information may be disclosed by the Seller
as is required in the course of performing his or her duties for the Buyer
unless (i) such information becomes known to the public generally through no
breach by the Seller or the Members of this covenant, (ii) disclosure is
required by law or the order of any governmental authority under color of law or
is necessary in order to secure a consent or approval to consummate the
transactions contemplated hereby, provided, that prior to disclosing any
information pursuant to this clause (ii), the Seller or the Members shall give
prior written notice thereof to the Buyer and subject to the limitations of such
law or order of governmental authority provide the Buyer with the opportunity to
contest such disclosure, or (iii) the disclosing party reasonably believes that
such disclosure is required in connection with the defense of a lawsuit against
the disclosing party and the same prior disclosure set forth immediately above
is given. In the event of a breach or threatened breach by the Seller or the
Members of the provisions of this Section, the Buyer shall be entitled to an
injunction restraining the Seller from disclosing, in whole or in part, such
confidential information. Nothing herein shall be construed as prohibiting the
Buyer from pursuing any other

                                                                              32
<PAGE>

available remedy for such breach or threatened breach, including but not limited
to the recovery of damages. In the event that the transactions contemplated
herein are not consummated, the Seller and the Members shall return to the Buyer
within a reasonable time all documents containing confidential information about
the Buyer.

         12.2 THE BUYER. The Buyer recognizes and acknowledges that it had in
the past and currently has access to certain confidential information ("Seller's
Confidential Information") relating to the Business, such as operational
policies, customer lists, and pricing and cost policies, that are valuable,
special and unique assets of the Business. The Buyer agrees that, prior to the
Closing, or if the transactions contemplated by this Agreement are not
consummated, it will not use or disclose such confidential information to its
own benefit except in furtherance of the transactions contemplated by this
Agreement or disclose Seller's Confidential Information to any person, firm,
corporation, association or other entity for any purpose or reason whatsoever,
except (a) to the Seller and to authorized representatives of the Seller or the
Buyer who need to know such information in connection with the transactions
contemplated hereby, who have been informed of the confidential nature of such
information and who have agreed to keep such information confidential as
provided hereby, unless (i) such information becomes known to the public
generally through no breach by the Buyer of this covenant, (ii) disclosure is
required by law or the order of any governmental authority under color of law or
is necessary in order to secure a consent or approval to consummate the
transactions contemplated hereby, provided, that prior to disclosing any
information pursuant to this clause (ii), the Buyer shall give prior written
notice thereof to the Seller and provide the Seller with the opportunity to
contest such disclosure, or (iii) the disclosing party reasonably believes that
such disclosure is required in connection with the defense of a lawsuit against
the disclosing party and the same prior disclosure set forth immediately above
is given. In the event of a breach or threatened breach by the Buyer of the
provisions of this Section, the Seller shall be entitled to an injunction
restraining the Buyer from disclosing, in whole or in part, such confidential
information. Nothing herein shall be construed as prohibiting the Seller from
pursuing any other available remedy for such breach or threatened breach,
including but not limited to the recovery of damages. In the event that the
transactions contemplated herein are not consummated, the Buyer shall return to
the Seller within a reasonable time all documents containing confidential
information relating to the Seller, the Members and the Business.

         12.3 SURVIVAL. The obligations of the parties under this SECTION 12
shall survive notwithstanding either the termination of this Agreement or the
consummation of the transactions contemplated herein on the Closing Date.

         13. INDEMNIFICATION.

         13.1 INDEMNIFICATION BY THE SELLER AND THE MEMBERS. The Seller and the
Members, jointly and severally, on behalf of themselves and their respective
successors, executors, administrators, estates, heirs and permitted assigns,
agree subsequent to the Closing Date to indemnify and hold harmless the Buyer
and its respective officers, directors, employees and agents (individually, a
"Buyer Indemnified Party" and

                                                                              33
<PAGE>

collectively, the "Buyer Indemnified Parties") from and against and in respect
of all losses, liabilities, obligations, damages, deficiencies, actions, suits,
proceedings, demands, assessments, orders, judgments, fines, penalties, costs
and expenses (including the reasonable fees, disbursements and expenses of
attorneys, accountants and consultants) of any kind or nature whatsoever
(whether or not arising out of third-party claims and including all amounts paid
in investigation, defense or settlement of the foregoing) sustained, suffered or
incurred by or made against any Buyer Indemnified Party (a "Loss" or "Losses"),
arising out of, based upon or in connection with:

                  (a) any breach of any representation or warranty made by the
Seller or the Members in this Agreement or in any schedule, exhibit,
certificate, agreement or other instrument delivered under or in connection with
this Agreement, or by reason of any claim, action or proceeding asserted or
instituted arising out of any matter or thing covered by any such
representations or warranties (collectively, "Buyer Representation and Warranty
Claims");

                  (b) any breach of any covenant or agreement made by the Seller
or the Members in this Agreement or in any schedule, exhibit, certificate,
agreement or other instrument delivered under or in connection with this
Agreement, or by reason of any claim, action or proceeding asserted or
instituted arising out of any matter or thing covered by any such covenant or
agreement; or

                  (c) with respect to taxes of the Seller incurred with respect
to any Pre-Closing Tax Period (as defined below) to the extent such liability
exceeds the amounts accrued therefor. The term "Pre-Closing Tax Period" shall
mean all taxable periods ending on or before the Closing Date and the portion
(ending on the Closing Date) of any taxable period that includes (but does not
end on) the Closing Date.

         Claims under clauses (a) through (c) of this SECTION 13 are hereinafter
collectively referred to as "Buyer Indemnifiable Claims". Neither the Members
nor the Seller shall be obligated to indemnify any Buyer Indemnified Party
unless and until the cumulative amount of losses exceeds Ten Thousand Dollars
($10,000) (the "Indemnity Threshold") whereupon the full amount of such losses
shall be recoverable in accordance with the terms hereof. Notwithstanding the
foregoing sentence, the Indemnity Threshold shall not apply to liability arising
from (i) any matter relating to the Purchase Price adjustments set forth in
Section 3.3 or (ii) fraud.

         13.2 NOTICE; DEFENSE OF CLAIMS.

         Promptly after receipt by a Buyer Indemnified Party of notice of any
claim, liability or expense to which the indemnification obligations hereunder
would apply, the Buyer Indemnified Party shall give notice thereof in writing to
the Seller and the Members, but the omission to so notify the Seller and the
Members promptly will not relieve the Seller from any liability except to the
extent that the Seller shall have been prejudiced as a result of the failure or
delay in giving such notice. Such notice shall state the information then
available regarding the amount and nature of such claim, liability or

                                                                              34
<PAGE>

expense and shall specify the provision or provisions of this Agreement under
which the liability or obligation is asserted. If within twenty (20) days after
receiving such notice the Seller and the Members give written notice to the
Buyer Indemnified Party stating that (i) it would be liable under the provisions
hereof for indemnity in the amount of such claim if such claim were successful
and (ii) that it disputes and intends to defend against such claim, liability or
expense at its own cost and expense, then counsel for the defense shall be
selected by the Seller and the Members (subject to the consent of the Buyer
Indemnified Party which consent may not be unreasonably withheld) and the Buyer
Indemnified Party shall not be required to make any payment with respect to such
claim, liability or expense as long as the Seller and the Members are conducting
a good faith and diligent defense at their own expense; provided, however, that
the assumption of defense of any such matters by the Seller and the Members
shall relate solely to the claim, liability or expense that is subject or
potentially subject to indemnification. The Seller and the Members shall have
the right, with the consent of the Buyer Indemnified Party, which consent shall
not be unreasonably withheld, to settle any Buyer Indemnified Claims by third
parties which are susceptible to being settled provided its obligation to
indemnify the Buyer Indemnified Party therefor will be fully satisfied. The
Seller and the Members shall keep the Buyer Indemnified Party apprised of the
status of the claim, liability or expense and any resulting suit, proceeding or
enforcement action, shall furnish the Buyer Indemnified Party with all documents
and information that the Buyer Indemnified Party shall reasonably request and
shall consult with the Buyer Indemnified Party prior to acting on major matters,
including settlement discussions. Notwithstanding anything herein stated, the
Buyer Indemnified Party shall at all times have the right to fully participate
in such defense at its own expense directly or through counsel; provided,
however, if the named parties to the action or proceeding include both the
Seller and the Buyer Indemnified Party and representation of both parties by the
same counsel would be inappropriate under applicable standards of professional
conduct, the expense of separate counsel for the Buyer Indemnified Party shall
be paid by the Seller and the Members. If no such notice of intent to dispute
and defend is given by the Seller and the Members, or if such diligent good
faith defense is not being or ceases to be conducted, the Buyer Indemnified
Party shall, at the expense of the Seller and the Members, undertake the defense
of (with counsel selected by the Buyer Indemnified Party), and shall have the
right to compromise or settle (exercising reasonable business judgment), such
claim, liability or expense. If such claim, liability or expense is one that by
its nature cannot be defended solely by the Seller and/or Members, then the
Buyer Indemnified Party shall make available all information and assistance that
the Seller and/or the Members may reasonably request and shall cooperate with
the Seller in such defense.

         14. PARENT STOCK. The Parent Stock to be issued to the Seller hereunder
shall be subject to this SECTION 14.

         14.1 LOCK-UP. In addition to applicable federal and state securities
laws restricting the public sale of the Parent Stock to be issued to the Seller
hereunder, the Seller and the Members hereby irrevocably agree that (i) for a
period of one year after the Closing Date they will not offer, pledge, sell or
otherwise transfer directly or indirectly, any of the Parent Stock or enter into
any agreement that transfers, in whole or in part, any

                                                                              35
<PAGE>

of the economic consequences of ownership of the shares of Parent Stock received
hereunder and (ii) for a period of two years after the Closing Date, they will
not offer, pledge, sell or otherwise transfer, directly or indirectly, or enter
into any agreement which transfers, in whole or in part, the economic
consequences of ownership of more than fifty percent (50%) of the shares of
Parent Stock received hereunder (each such restrictions adjusted for any stock
splits, recapitalizations, mergers or other similar events). The Seller and the
Members agree that the foregoing shall be binding upon the Seller, the Members
and their respective successors, assigns, heirs, and personal representatives.

         14.2 UNREGISTERED STOCK; INVESTMENT INTENT. The Seller and the Members
acknowledge and agree that the shares of Parent Stock to be delivered to the
Seller pursuant to this Agreement have not been and will not be registered under
the Securities Act of 1933, as amended (the "Act") and therefore may not be
resold without compliance with the Act. The Sellers and Members represent and
warrant that the Parent Stock to be acquired by the Seller and the Members
pursuant to this Agreement is being acquired solely for their own account, for
investment purposes only, and with no present intention of distributing, selling
or otherwise disposing of it in connection with a distribution. The Seller and
the Members covenant, warrant and represent that none of the shares of Parent
Stock issued to the Seller will be offered, sold, assigned, pledged,
hypothecated, transferred or otherwise disposed of except after full compliance
with all of the applicable provisions of the Act and the rules and regulations
of the Securities and Exchange Commission and applicable state securities laws.

         14.3 ABLE TO BEAR RISK; SOPHISTICATED INVESTORS; INFORMATION STATEMENT.
The Seller and each of the Members jointly and severally represent and warrant
that they are able to bear the economic risk of an investment in Parent Stock
acquired pursuant to this Agreement and can afford to sustain a total loss of
such investment. Each of the Members represents and warrants that such Member is
an "accredited investor" within the meaning of Regulation D of the Act. They
further represent and warrant that they (i) fully understand the nature, scope
and duration of the limitations on transfer contained in this Agreement; (ii)
have received a copy of the Company's information statement dated November 30,
1999 and the supplement dated December 8, 1999 (collectively, the "Information
Statement"); and (iii) have such knowledge and experience in financial and
business matters that they are capable of evaluating the merits and risks of the
proposed investment and therefore have the capacity to protect their own
interests in connection with the acquisition of the Parent Stock. The Seller and
each of the Members represent and warrant that they have had an adequate
opportunity to ask questions and receive answers from the officers of the Parent
concerning any and all matters relating to the acquisition of Parent Stock as
contemplated by this Agreement including, without limitation, information
regarding the business of the Parent and its Affiliates and information
disclosed in the Information Statement. The Seller and each of the Members have
asked any and all questions in the nature described in the preceding sentence
and all questions have been answered to their satisfaction.

         14.4 RESTRICTIVE LEGENDS. The certificates evidencing the Parent Stock
to be received by the Seller and/or the Members hereunder will bear legends
substantially in

                                                                              36
<PAGE>

the form set forth below and containing such other information as the Parent may
deem appropriate. References in such legend to "THE COMPANY" shall refer to the
Parent.

         THE SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED
         UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "1933 ACT") OR ANY
         STATE SECURITIES OR BLUE SKY LAWS. SUCH SHARES HAVE BEEN ACQUIRED FOR
         INVESTMENT AND MAY NOT BE SOLD, TRANSFERRED, PLEDGED OR HYPOTHECATED IN
         THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FOR SUCH SHARES
         UNDER THE 1933 ACT AND ANY STATE SECURITIES OR BLUE SKY LAWS, UNLESS,
         IN THE OPINION (WHICH SHALL BE IN FORM AND SUBSTANCE SATISFACTORY TO
         THE COMPANY) OF COUNSEL SATISFACTORY TO THE COMPANY, SUCH REGISTRATION
         IS NOT REQUIRED.

         THESE SHARES ARE FURTHERMORE SUBJECT TO A LOCK-UP AGREEMENT CONTAINED
         IN SECTION 14 OF THAT CERTAIN ASSET PURCHASE AGREEMENT WITH THE COMPANY
         DATED AS OF _________________ PURSUANT TO WHICH THE HOLDER OF THIS
         CERTIFICATE HAS AGREED NOT TO OFFER, PLEDGE, SELL OR OTHERWISE TRANSFER
         DIRECTLY OR INDIRECTLY THE SECURITIES REPRESENTED BY THIS CERTIFICATE
         UNTIL ________________________. A COPY OF THE LOCK-UP AGREEMENT MAY BE
         OBTAINED BY CONTACTING THE SECRETARY OF THE COMPANY.

         In addition, such certificates shall also bear such other legends as
counsel for the Parent reasonably determines are required under the applicable
laws of any state.

         15. PUBLICITY; SECURITIES LAWS. The Seller and the Members acknowledge
that the Buyer is a subsidiary of a publicly held company that is therefore
subject to certain disclosure requirements under federal securities laws. The
Seller, the Members and their representatives shall not directly or indirectly,
make any public comment, statement or communication with respect to, or
otherwise disclose or permit the disclosure of the existence of discussions
regarding, the Agreement between the parties or any of the terms, conditions or
other aspects of the Agreement. The Seller further understands that this
Agreement represents information concerning the Buyer which has not been
previously disclosed to the public and which may be material, all as determined
in accordance with applicable laws, rules and regulations of the United States
and the several states concerning securities (collectively, the "Securities
Laws"). The Seller and the Members agree not to take any action in connection
with this Agreement in violation of the Securities Laws, including but not
limited to trading in the common stock of the Parent while in possession of
material non-public information.

                                                                              38
<PAGE>

         16. EXPENSES. Each party shall be responsible for its own
transaction-related fees and expenses incurred in connection with this Agreement
(including without limitation legal, accounting, and consulting fees and
expenses); provided, however, that in the event of a breach of the Agreement by
any party hereunder, the non-breaching party shall be entitled to recover all of
its reasonable costs incurred in pursuing the transactions contemplated by this
Agreement, including without limitation, legal and accounting fees and expenses.

         17. ENTIRE AGREEMENT; AMENDMENT; WAIVER. This Agreement and the
schedules and exhibits attached hereto constitute the entire agreement between
the parties pertaining to the subject matter contained in it and supersedes all
prior and contemporaneous agreement, representations and understandings of the
parties. No supplement, modification, or amendment of this Agreement will be
binding unless executed in writing by all of the parties. No waiver of any of
the provisions of this Agreement will be effective unless in writing; no waiver
will constitute a waiver of any other provision; and no waiver of a breach of
any provision of this Agreement will operate to waive any subsequent breach.

         18. COUNTERPARTS. This Agreement may be executed in one or more
counterparts, each of which will be deemed an original, but all of which
together will constitute one and the same instrument.

         19. PARTIES IN INTEREST. Nothing in this Agreement, whether express or
implied, is intended to confer any rights or remedies under or by reason of this
Agreement on any persons other than the parties to it and their respective
successors and assigns, nor is anything in this Agreement intended to relieve or
discharge the obligation or Liability of any third persons to any party to this
Agreement, nor will any provision give any third persons any right of
subrogation or action against any party to this Agreement.

         20. SUCCESSORS AND ASSIGNS. No assignment or transfer of the Seller or
the Members of their respective rights shall be made without the prior written
consent of the Buyer, which consent may be withheld in its sole discretion. This
Agreement will be binding on, and will inure to the benefit of, the parties to
it and their respective heirs, executors, administrators, permitted successors
and assigns.

         21. FURTHER ASSURANCES. The Members from time to time will execute and
deliver and cause the Seller to execute and deliver such additional documents
and instruments and take such additional actions as may be necessary to carry
out the transactions contemplated by this Agreement. If requested by the Buyer,
the Seller and the Members will prosecute or otherwise enforce in its own name
for the benefit of the Buyer any claims, rights or benefits that are transferred
to the Buyer under this Agreement and that require prosecution or enforcement in
the Seller's name. Any prosecution or enforcement of claims, rights or benefits
under this SECTION 21 will be solely at the Buyer's expense unless the
prosecution or enforcement is made necessary by a breach of this Agreement by
the Seller.

                                                                              38
<PAGE>

         22. SURVIVAL. All representations, warranties, covenants and agreements
of the parties contained in this Agreement, or in any instrument, certificate,
or opinion provided for in it, shall survive the Closing (even if the damaged
party knew or had reason to know of any misrepresentation or breach of warranty
at the time of Closing) and continue in full force and effect forever thereafter
(subject to any applicable statutes of limitation or repose).

         23. NOTICES. Any notice, consent, approval or other communication
required or permitted hereunder will be in writing and will be given (i) by
delivery in person, (ii) by certified mail, return receipt requested, postage
prepaid, (iii) by commercial overnight courier, fees prepaid, or (iv) by
facsimile transmission (with telephone confirmation of receipt), as follows:

                  (a)      If to the Seller and/or the Members:

                           Cyberzone, LLC
                           Suite 100
                           942 Main Street
                           Hartford, CT  06103
                           Attention:  Sean Barrett, CEO
                           Phone:  (860) 520-6550
                           Fax:     (860) 520-6553

                           Sean Barrett and Elizabeth Kivela
                           244 Bingham Road
                           Canterbury, CT  06331
                           Phone:   (860) 546-9747

                           With a copy to:

                           Greene & Levine, LLP
                           231 Farmington Avenue
                           Farmington, CT  06032
                           Attn:  Louis F. Green, Esq.
                           Phone:    (860) 677-7004
                           Fax:      (860) 677-7005

                  (b)      If to the Buyer:

                           BOL Acquisition Co. VII, Inc.
                           P.O. Box 1347
                           Wall, NJ  07719
                           Attention:  Mark E. Munro, President
                           Phone:   (732) 280-6407
                           Fax:     (732) 280-6409

                                                                              39
<PAGE>

                           With a copy to:

                           Duffy & Sweeney, LLP
                           300 Turks Head Building
                           Providence, Rhode Island 02903
                           Attention:  Michael F. Sweeney, Esq.
                           Phone:   (401) 455-0700
                           Fax:     (401) 455-0701

or to such other address for any of the above as may be designated by notice to
the others. Any such notice or other communication will be considered to have
been given (i) on the date of delivery in person, (ii) on the fifth day after
mailing by certified mail, provided that receipt of delivery is confirmed in
writing, or (iii) on the first business day following delivery to a commercial
overnight courier, or (iv) on the day of facsimile transmission provided that
the giver of the notice obtains telephone confirmation of receipt promptly.

         24. ARBITRATION; JURISDICTION; VENUE; ATTORNEY'S FEES. Each party
hereto agrees that any dispute regarding this Agreement (except for a dispute
regarding Disputed Amounts under SECTION 3.3(a)) shall be submitted to
arbitration to and shall be resolved in accordance with the rules of the
JAMS/Endispute for expedited cases then in effect. The arbitrator(s) shall be
mutually selected by the parties or in the event the parties cannot mutually
agree, then appointed by JAMS/Endispute. Any arbitration shall be held within a
forty-five (45) mile radius of Hartford, Connecticut and the arbitrator(s) shall
apply Connecticut law. Judgment upon any award rendered by the arbitrator(s)
shall be final and may be entered in any court of competent jurisdiction.
Notwithstanding the foregoing, the parties shall have the absolute right to
obtain equitable remedies in any state court of competent jurisdiction in the
State of Connecticut or in any United States District Court in the State of
Connecticut. Each party irrevocably submits to and accepts the exclusive
jurisdiction of each of such courts and waives any objection (including any
objection to venue or any objection based upon the grounds of forum non
conveniens) which might be asserted against the bringing of any such action,
suit or other legal proceeding in such courts. The court and/or arbitrator(s)
shall award costs and expenses (including reasonable attorney's fees) to the
prevailing party and/or parties in any litigation or arbitration.

         25. GOVERNING LAW. This Agreement has been made in and its validity,
interpretation, construction and performance shall be governed by and construed
in accordance with the laws of the State of Connecticut without reference to its
laws governing conflicts of law.

         26. PARENT GUARANTY. The Parent guarantees the Buyer's obligations
under this Agreement.

                                                                              40
<PAGE>

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

                                SELLER:

                                CYBERZONE, LLC

                                By: /s/ Sean Barrett
                                   --------------------------------------
                                    Sean Barrett, Chief Executive Officer

                                MEMBERS:

                                /s/ Sean Barrett
                                -----------------------------------------
                                  Sean Barrett

                                /s/ Elizabeth Kivela
                                -----------------------------------------
                                  Elizabeth Kivela

                                BUYER:

                                BOL ACQUISITION CO. VII, INC.

                                By: /s/ Mark E. Munro
                                   --------------------------------------
                                    Mark E. Munro, President

                                PARENT:

                                BIZNESSONLINE.COM, INC.

                                By: /s/ Mark E. Munro
                                   --------------------------------------
                                    Mark E. Munro, President

                                                                             41

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