Document:

exhibit1072

Exhibit 10.7.2

SEVENTEENTH AMENDMENT OF LEASE

This Seventeen Amendment of Lease ("Seventeenth Amendment") is made an entered into this 5th day of February, 2003 by and between Crossroads Associates and Clocktower Associates (collectively, "Landlord"), and Siebel Systems, Inc. a Delaware Corporation ("Tenant").

RECITALS:

A.WHEREAS, Landlord and Tenant entered into a Lease dated June 4, 1996, which Lease was amended by the First through the Sixteenth Amendments of Lease (collectively the "Amendments").  The Amendments are summarized in the recitals to the Sixteenth Amendment of Lease, which recitals are incorporated herein by reference.  The Lease and all of the Amendments are herein defined and referred to as the "Lease."  Terms defined in the Lease shall have the same meanings in this Seventeenth Amendment unless another definition is set forth herein.

B.WHEREAS, Tenant has vacated but is still in possession of the portions of the Premises located on the 8th and 9th Floors of the Building located at 1825 South Grant Street, San Mateo, California (the "Building").

C. WHEREAS, if certain conditions specified in this Seventeenth Amendment are satisfied, then Landlord and Tenant wish to agree that, effective March 1, 2003, the Premises under the Lease shall no longer include the areas described on Exhibits A-1 and A-2 attached hereto (the "Relinquished Space") consisting of approximately 29,833 rentable square feet so that, commencing on such date, the total area of the Premises leased by the Tenant under the Lease shall be reduced to what the parties agree is 205,772 rentable square feet.  The Relinquished Space consists of the following portions of the Premises currently leased by the Tenant under the Lease:  (i) all of the Premises located on the 9th Floor of the Building and comprising approximately 17,702 rentable square feet, and (ii) a portion of the Premises located on the 8th Floor of the Building and comprising approximately 12,131 rentable square feet.

NOW, THEREFORE, in consideration of the foregoing and other good and valuable consideration, receipt of which is hereby acknowledged, Landlord and Tenant hereby enter into this Seventeenth Amendment and agree as follows:

1.CONDITIONS

This Seventeenth Amendment is conditioned upon and shall become effective only if each of the following conditions occurs on or before the date which is first written above:  (i) Landlord elects, in its sole and absolute discretion, to enter into a lease for the Relinquished Space with Catholic Healthcare West, a California non-profit public benefit corporation (hereinafter "CHW), and (ii) Landlord and Tenant enter into the agreement entitled "Transaction Agreement" dated as of the date first above written, which Transaction Agreement contains certain provisions relating to the Relinquished Space; and (iii) each of the documents required to be executed and delivered pursuant to Paragraph 1 of the Transaction Agreement before the Transaction Agreement becomes effective (hereinafter the "Transaction Agreements") shall have been executed and delivered in the manner and by the parties specified in the Transaction Agreement.  If any of the foregoing conditions is not timely satisfied, this Seventeenth Amendment shall be null and void and of no force or effect between Landlord and Tenant, and Landlord shall have no liability to Tenant under or in connection with this Seventeenth Amendment and the Lease shall continue in full force and effect without the modifications set forth in this Seventeenth Amendment.  Landlord has not made any representation or agreement that it will cause any of the foregoing conditions to occur, nor shall Landlord have any obligation to take or to refrain from taking any action which would cause any of the foregoing conditions to occur.  If satisfaction or fulfillment of any of the foregoing conditions requires the agreement or consent of any third party, Landlord shall not have any liability to Tenant if such agreement or consent is not obtained.

2.RELINQUISHED SPACE

If the conditions set forth in Paragraph 1 above are timely satisfied, then the term of the Lease as applicable to the Relinquished Space shall expire on February 28, 2003 so that effective March 1, 2003 (the "Effective Date"), the Relinquished Space shall no longer be part of the Premises.  The Effective Date shall occur only if the conditions set forth in Paragraph 1 above are timely satisfied.  From and after the Effective Date, the term "Premises" as used in the Lease shall no longer include the Relinquished Space and no option or other right of Tenant under the Lease shall continue to apply to the Relinquished Space.  Notwithstanding anything to the contrary in this Paragraph 2, Tenant shall remain liable for all obligations arising under the Lease with respect to its use and possession of the Relinquished Space prior to the Effective Date.  Tenant agrees to vacate and surrender possession of the Relinquished Space to Landlord as of the Effective Date.

3.EFFECT ON BASIC RENT AND ADDITIONAL RENT

Commencing on the Effective Date, Tenant's Basic Rent and Additional Rent shall be reduced by the Basic Rent and Additional Rent payable immediately prior to the Effective Date for the Relinquished Space.  Effective on the Effective Date, therefore, the Basic Rent and Additional Rent for the Premises shall be as shown on Exhibit B and such amounts shall continue to be subject to each of the provisions of the Lease which provide for escalation, change or other modification of the Basic Rent or Additional Rent, or both, computed as of the same times that they would have been computed had this Amendment not been executed.

4.RESTORATION

Subsequent to Tenant's lease of the Relinquished Space, Tenant made modifications to the Relinquished Space and by letter dated December 4, 2000, attached hereto as Exhibit C (the "December 4, Letter") agreed to certain restoration provisions.  The parties agree that the restoration provisions contained in the December 4 Letter shall not apply to the Relinquished Space but shall continue to apply to the remainder of the Premises.

5.DEMISING WALL

Tenant has already vacated the Relinquished Space and the portion of the Premises on the 8th Floor of the Building (the "Retained 8th Floor Premises") which will remain part of the Premises after the Effective Date.  Exhibit D, attached hereto indicates where the demising walls can be installed which would separate the Relinquished Space from the Retained 8th Floor Premises.  At present, there is no plan to install such demising walls since the Tenant is not currently using the Retained 8th Floor Premises and CHW has agreed not to use them.  At any time subsequent to October 31, 2009, and in the event the demising walls have not been installed, at its election, Landlord may install such demising walls.  Tenant understands that the construction of the demising walls and any related demolition and construction will be disruptive and Tenant agrees that it shall have no claim against Landlord as a result of any such disruption.  Tenant hereby agrees to pay, within thirty (30) days after request, all reasonable costs incurred by Landlord in connection with the design, permitting, construction and installation of such demising walls and any modifications to any Building systems or structures required in connection therewith including, without limitation, all costs incurred for the design, engineering, permitting and construction of any demising walls, exit doors, corridors, recircuiting of lighting, moving light fixtures, modifying HVAC ducts or HVAC controls, modifying firesprinklers, modifying the life safety systems, replacing floor and wall coverings and finishes and replacing and modifying any ceiling system, and any fire separation which may be required anywhere on the 8th Floor as a result of the construction of any of the foregoing.

6.PARKING

Commencing on the Effective Date, Tenant's total parking allocation shall be reduced by 94 spaces.

7.NO BROKERS

Landlord and Tenant each represents to the other that it has not had any dealings with any real estate brokers, agents or finders in connection with the negotiation of this Seventeenth Amendment which has resulted in any obligation to pay a leasing commission or other compensation of any kind to such agent, broker or finder in connection herewith.

8.REPRESENTATIONS

Each party represents to the other that it has full power and authority to execute this Agreement.  Tenant represents that it has not made any assignment, sublease, transfer, or conveyance of the Lease or any interest therein or in the Relinquished Space, and further represents that there is not, and will not hereafter be any claim, demand obligation, liability, action or cause of action by any other party respecting, relating to or arising out of the Relinquished Space, and agrees to indemnify, defend and hold harmless Landlord and its partners, agents and affiliates from and against all claims and liabilities arising from any of the same, including, without limitation, attorneys' fees and costs.

9.NO OFFER BY LANDLORD; FIRM OFFER BY TENANT

The submission and negotiation of this Seventeenth Amendment shall not be deemed an offer to enter the same by Landlord, but the solicitation of such an offer from Tenant.  Tenant agrees that its execution of this Seventeenth Amendment constitutes a firm offer to enter the same which may not be withdrawn for a period of ten (10) days after delivery to Landlord.  During such period and in reliance on the foregoing.  Landlord may, at Landlord's option, proceed with such actions as it may deem necessary or appropriate, including without limitation, the negotiation and execution of the Transaction Documents, but no such actions shall be deemed an acceptance of Tenant's offer to enter into this Seventeenth Amendment and such acceptance shall be evidenced only by Landlord signing and delivering this Seventeenth Amendment to the Tenant.

10.ENTIRE UNDERSTANDING

This Seventeenth Amendment represents the entire understanding between the parties concerning the subject matter hereof, and there are no understandings or agreements between them relating to the Lease or the Premises or the Relinquished Space not set forth in writing and signed by the parties.  No party has relied upon any representation, warranty or understanding not set forth herein or in the Transaction Documents, either oral or written, as an inducement to enter into this Seventeenth Amendment.

11.COUNTERPARTS

This Seventeenth Amendment may be executed in any number of counterparts, each of which shall be deemed an original, and all of which together shall constitute one and the same instrument.

12.LEASE IN FULL FORCE AND EFFECT

Except as herein modified the Lease shall remain in full force and effect.

IN WITNESS WHEREOF, the parties have signed this Seventeenth Amendment which for reference purposes shall be deemed to have been dated as of the date above written.

	
Owner:

CROSSROADS ASSOCIATES

By:  /s/ Richard M. Jacobsen

Name:  Richard M. Jacobsen

Title:  Partner
	
TENANT:

SIEBEL SYSTEMS, INC., a Delaware corporation

By:  /s/  Jeffrey T. Amann

Title: Senior Vice President and General Counsel

	
CLOCKTOWER ASSOCIATES

By:  /s/ W. Gregory Osborn

Title:  Partner
	

Exhibit A-1

[Diagram of Relinquished Space]

Exhibit A-2

[Diagram of Relinquished Space]

Exhibit B

	
Time Period
	
Square Feet
	
Basic Rent
	
Additional Rent

	 	 	 	 
	
February 1, 2003
	
235,605
	
$687,588.25
	
$195,482.00

	
March 1, 2003*
	
205,772
	
$590,887.10
	
$168,612.00

*March 1, 2003 and thereafter until adjusted per the terms of the Lease.

Exhibit C

Ms. Linda Jansen

Vice President, Real Estate and Facilities

SIEBEL SYSTEMS, INC.

2211 Bridgepointe Parkway

San Mateo, CA  94404

RE:   Future Restoration

1825 South Grant Street

Suites 200/220, 280, 400/410, 500, 710, 800 and 900

San Mateo, CA

Dear Linda:

Subject to the provisions of Paragraphs  8 and 9 as outlined herein, Crossroads Associates and Clocktower Associates (Landlord) hereby consents to the remodel of the above referenced spaces.  This approval is also subject to landlord receiving written approval from Alta Vista for the remodel as outlined herein, of Suites 200/220, 400/410 and 710, which Siebel Systems, Inc. is subleasing.  The remodels as outlined in the drawings from the offices of Larrick Alan Hill are subject to all the terms and conditions of the Lease Agreements between Crossroads Associates and Clocktower Associates, Siebel Systems, Inc. and Alta Vista (Suites 200/220, 400/410 and 710).  Per paragraph 9 of the Lease Agreements (Alterations and Additions) Landlord is to identify which items shall be subject to the restoration provisions of paragraph 8.  The restoration required upon the expiration or sooner the termination of the Lease/Sublease will be as follows (areas to be restored are show in red on the attached floor plans):

	
1.
	
Suites 200/220 - Restore 22 offices, 1 Conference Room and the "false wall."

	
2.
	
Suite 280 - Complete restoration to the condition and configuration existing as of the commencement of Siebel's Lease for Suite 280, including the "false wall."

	
3.
	
Suite 400/410 - Except for the restored portion of the loop corridor, a complete restoration will be required to the condition and configuration existing (see Exhibit A) as of the commencement of Siebel's Sublease for Suite 400/410, including the "false wall."  The offices throughout Suite 400/410 have glass walls with full height frameless glass.  At such time as the restoration occurs, the glass offices will have to be re-installed.

	
4.
	
Suite 500 - Restore 12 offices and "false wall."

	
5.
	
Suite 710 - Complete restoration will be required to the condition and configuration existing (see Exhibit B) as of the commencement of Siebel's Sublease for Suite 710, including the "false wall."  The offices throughout Suite 710 have glass walls with full height frameless glass.  At such time as the restoration occurs, the glass offices will have to be re-installed.

	
6.
	
Suite 800 - Restore 14 offices and the "false wall."

	
7.
	
Suite 900 - Restore 23 offices, Conference Room and the "false wall."

In addition to restoring the rooms and offices as specified herein, Siebel will have to make all necessary mechanical, electrical, fire sprinkler, and all other modifications necessary to achieve the above restoration to render the restored areas completely functional and consistent in appearance with the rest of the Premises.  In removing the "false wall" that runs along the interior corridor wall, new floor covering will have to be installed.  Also the interior corridor will have to be painted to match the rest of the suite.

If any subsequent modifications are made, we will review the restoration requirements of said modifications at such time as they are proposed.  If you have any questions on the foregoing please give me a call.

	 	
Sincerely,

/s/ Peter Klayman

Peter Klayman

	
Acknowledged and Agreed:

/s/ Linda Jansen

SIEBEL SYSTEMS
	 
	
cc: Mr. Greg Osborn, Crossroads Associates and Clockwise Associates
Mr. Boyd Smith, Crossroads Associates and Clockwise Associates

Mr. Richard Jacobsen, Crossroads Associates and Clockwise Associates

Mr. Joe Gorman, WSI Construction

Exhibit D

[Diagram of Relinquished Space and Retained 8th Floor Premises]

TRANSACTION AGREEMENT

THIS TRANSACTION AGREEMENT ("Agreement") is dated as of February, 2003, by and between Crossroads Associates and Clocktower Associates (collectively "Owner") and Siebel Systems, Inc. a Delaware corporation ("Siebel").

RECITALS

	Owner and Siebel have entered into a Lease Agreement dated June 4, 1996 and a number of amendments thereto (as amended, the "Siebel Lease") for premises (the "Siebel Premises") located, in part, in the building located at 1825 South Grant Street, San Mateo, California (the "Building").

	The parties wish to enter into an amendment to the Siebel Lease (the "Space Reduction Amendment"), in the form attached hereto as Exhibit A, to reduce the size of the Siebel Premises, effective March 1, 2003, by removing from the Siebel Premises an area in the Building (the "CHW Premises") containing approximately 29,833 square feet of rentable space.

	Siebel expects to realize substantial cost savings, operational efficiencies and other benefits as a result of the execution and delivery of the Space Reduction Agreement.

	Owner is willing to enter into the Space Reduction Amendment with Siebel provided that Owner and Catholic Healthcare West, a California non-profit public benefit corporation ("CHW") execute and deliver a Lease Agreement (the "CHW Lease"), in the form attached hereto as Exhibit B, under which CHW will lease the CHW Premises from Owner.

	Since the CHW Lease will be with a tenant which presents significant risks for the Owner which Siebel does not present, including, without limitation, risks resulting from differences in CHW's industry and the economic and political factors now facing that industry, and because CHW will only agree to pay rent at a level which is lower than the rent which Siebel has been paying for the CHW Premises under the Siebel Lease, Siebel has agreed to execute and deliver to Owner a promissory note (the "Siebel Note"), in the form attached hereto as Exhibit C, in the original principal amount of $6,508,295.08, to compensate Owner, in part, for assuming the significant additional costs and risks of having CHW as a new tenant in the Building.

	In addition, to induce Owner to enter into the CHW Lease, Siebel has agreed to guaranty payment, by CHW, of the Additional Rent, as defined in the CHW Lease, pursuant to the terms of a Guaranty of Payment of Additional Rent, in the form attached hereto as Exhibit D.

	To induce Owner to accept the Siebel Note, Siebel will obtain, and deliver to Owner, an Irrevocable Letter of Credit (the "Siebel Note Letter of Credit"), in the form attached hereto as Exhibit E.

	To induce Owner to accept the Guaranty of Payment of Additional Rent, Siebel will obtain, and deliver to Owner, an Irrevocable Letter of Credit (the "Guaranty Letter of Credit"), in the form attached hereto as Exhibit F.

AGREEMENT

NOW THEREFORE, in consideration of the mutual terms and conditions herein contained, and other good and valuable consideration, the receipt of which is hereby acknowledged, the parties hereby agree as follows:

	Effective Date; Conditions to Effectiveness.  This Agreement shall be effective on the date (the "Effective Date") when each of the following documents has been executed and delivered, without qualification, by each of the parties thereto: (i) the Space Reduction Amendment; (ii) the CHW Lease; (iii) the Guaranty of Payment of Additional Rent; (iv) the Siebel Note; (v) the Siebel Note Letter of Credit; and (vi) the Guaranty Letter of Credit.  Owner has not made any representation or agreement that it will cause any of the foregoing conditions to occur, nor shall Owner have any obligation to take or to refrain from taking any action, which would cause any of the foregoing conditions to occur.  If satisfaction or fulfillment of any of the foregoing conditions requires the agreement or consent of any third party, Owner shall not have any liability to Siebel if such consent is not given or obtained.

	Provisions Applicable to Letters of Credit.  The Siebel Note Letter of Credit and the Guaranty Letter of Credit are referred to collectively as the "Letters of Credit." The Siebel Note Letter of Credit shall be held by Owner as security for the faithful performance by Siebel of all the terms, covenants, and conditions of the Siebel Note, to be kept and performed by Siebel.  The Guaranty Letter of Credit shall be held by Owner as security for the faithful performance by Siebel of all the terms, covenants, and conditions of the Guaranty of Payment of Additional Rent, to be kept and performed by Siebel.  Siebel has no interest in either of the Letters of Credit or in the proceeds which are paid or payable thereunder.  If Siebel defaults with respect to any provisions of the Siebel Note, Owner may, but shall not be required to, draw upon all or any portion of the Siebel Note Letter of Credit.  If Siebel defaults with respect to any provisions of the Guaranty of Payment of Additional Rent, Owner may, but shall not be required to, draw upon all or any portion of the Guaranty Letter of Credit.  The use, application or retention of either of the Letters of Credit, or any portion thereof, by Owner shall not (a) prevent Owner from exercising any other right or remedy provided by the Siebel Note or the Guaranty of Payment of Additional Rent, or by law, it being intended that Owner shall not first be required to proceed against the either of the Letters of Credit, nor (b) operate as a limitation on any recovery to which Owner may otherwise be entitled.  Siebel acknowledges that Owner has the right to transfer or mortgage its interest in the Building or the project of which the Building is a part and in this Agreement and Siebel agrees that, in the event of any such transfer or mortgage, Owner shall have the right to transfer or assign the Letters of Credit to the transferee or mortgagee and, in the event of such transfer, Siebel shall look solely to such transferee or mortgagee for the return of the Letters of Credit.  Siebel acknowledges and agrees that each of the Letters of Credit constitutes a separate and independent contract between Owner and the issuing bank, that Siebel is not a third party beneficiary of such contract, and that Owner's claim under either of the Letters of Credit for the full amount due and owing thereunder shall not be, in any way, restricted, limited, altered or impaired by virtue of any provision of the Bankruptcy Code, including, but not limited to, Section 502(b)(6) of the Bankruptcy Code.  If Siebel's obligations under the Siebel Note are satisfied in full by Siebel, Owner shall, upon the date of such satisfaction, return the Siebel Note and the Siebel Note Letter of Credit to Siebel.  If Siebel's obligations under the Guaranty of Payment of Additional Rent are satisfied in full by Siebel, Owner shall, upon the date of such satisfaction, return the Guaranty of Payment of Additional Rent and the Guaranty Letter of Credit to Siebel.  Siebel shall, within fifteen (15) days after notice from the Owner, replace the Letters of Credit with new Letters of Credit, issued by an Bank acceptable to the Owner, if the bank which has issued the Letters of Credit becomes insolvent or fails to have a least a "C" rating (or a rating of at least 70 on a scale of 1 to 99 or 100 with 99 or 100 being the highest) from the Sheshunoff Information Services or an equivalent rating service reasonably selected by Owner.  If Siebel fails to do so, then such failure shall be deemed a default under the Siebel Note and under the Guaranty of Payment of Additional Rent and the Owner shall have the right, but not the obligation, to draw the full amount available under the Letters of Credit.  Amounts drawn under either of the Letters of Credit shall be deemed to be Landlord's funds, Neither such funds nor the Letters of Credit shall be deemed to be security deposits under any lease or subject to the provisions of Section 1950.7 of the California Civil Code, which provisions are expressly waived by Siebel, to the extent that they would otherwise apply.

	Agreement Concerning the Siebel Note, the Guaranty and the Letters of Credit.  The Siebel Note and the Guaranty of Payment of Additional Rent and the payments to be made under the Letters of Credit are separate from the Siebel Lease and from the CHW Lease.  No payment under either of the Letters of Credit shall be deemed rent and no such payment shall be affected by any breach or default under the Siebel Lease or the CHW Lease or any action taken by Owner in connection therewith including without limitation, any modification or termination of any such lease and any mitigation of damages under any such lease.

	Avoidance Immunity.  Siebel acknowledges that Owner's entry into this Agreement is expressly conditioned upon Siebel's assurances that Siebel's performance of its obligations under this Agreement and under the Space Reduction Amendment, the Siebel Note, and the Guaranty of Payment of Additional Rent and the bank's performance under the Letters of Credit shall be immune from avoidance and/or recovery under sections 547 through 550 of Title 11 of the United States Code (the "Bankruptcy Code").  Owner and Siebel intend for this Agreement, the Space Reduction Amendment, the Siebel Note, the Guaranty of Payment of Additional Rent and the Letters of Credit to continue in operation and effect in the event an order for relief is entered in a United States Bankruptcy Court naming Siebel as a debtor in a bankruptcy proceeding under the Bankruptcy Code ("Insolvency Proceeding").  Siebel also agrees that: (i) it is the belief of Siebel that the economic and other terms of this Agreement, the Space Reduction Amendment, the Siebel Note, the Guaranty of Payment of Additional Rent and the Letters of Credit are fair and reasonable in the context of prevailing market conditions; (2) Siebel's entry into this Agreement, the Space Reduction Amendment, the Siebel Note and the Guaranty of Payment of Additional Rent and Siebel's delivery of the Letters of Credit to the Owner and performance hereunder and thereunder represents a contemporaneous exchange of new value between Siebel and Owner such that the value received by Siebel under this Agreement, and the Space Reduction Amendment, the Siebel Note, the Guaranty of Payment of Additional Rent and the Letters of Credit, considering the fair market value of the Siebel Lease as it applies to the CHW Premises prior to the Space Reduction Amendment is equivalent to the value received by Owner hereunder and under the Space Reduction Amendment, the Siebel Note, the Guaranty of Payment of Additional Rent and the Letters of Credit; and (3) any attempt by Siebel, any trustee in bankruptcy acting on behalf of Siebel, or any other party, to in any manner hinder, impede, void, invalidate, reject, rescind, or nullify the provisions of this Agreement, the Space Reduction Amendment, the Siebel Note, the Guaranty of Payment of Additional Rent or the Letters of Credit in any Insolvency Proceeding ("Avoidance Action"), will be deemed to be bad faith per se and contrary to the purposes of bankruptcy or other applicable laws, will not be consistent with the exercise of sound business judgment or the best interests of Siebel or any bankruptcy estate of Siebel, and will, in and of itself, constitute cause for purposes of dismissal with prejudice of any such Avoidance Action.

	Notices.  All notices and other communications provided for under this Agreement shall be in writing and shall be personally delivered or sent by first class United States mail, by nationally recognized overnight courier such as Federal Express or DHL, or by telecopy or by other means of telecommunication, to the following addresses:

	
OWNER:
	 
	
Crossroads Associates

Clocktower Associates

c/o Osborn Capital Management

1875 South Grant Street, Suite 100

San Mateo, CA 94402

Attn: W. Gregory Osborn

Telephone:(650) 571-5436

Facsimile:(650) 571-6502
	
With copy to:

Allen Matkins Leek Gamble & Mallory LLP

333 Bush Street, 17th Floor

San Francisco, CA 94104

Attn:  Lee F. Gotshall-Maxon

Telephone:(415) 273-7423

Facsimile:(415) 837-1516

	
SIEBEL:
	 
	
Siebel Systems, Inc.

2207 Bridgepointe Parkway

San Mateo, CA 94494

Attn: VP of Real Estate and Facilities

Telephone:(650) 477-5511

Facsimile:(650) 477-7232
	
With copy to:

Siebel Systems, Inc.

2207 Bridgepointe Parkway

San Mateo, CA 94494

Attn:  General Counsel

Telephone:(650) 477-5313

Facsimile:(650) 295-5118

or, as to each party, at such other address as shall be designated by such party in a written notice to the other party complying as to delivery with the terms of this Section 7.  All such notices and communications shall be deemed received (i) if personally delivered, upon delivery; (ii) if sent by first class United States mail, following deposit in the mail with first class postage prepaid, upon receipt; (iii) if sent by courier service with next Business Day delivery charges prepaid, upon receipt; and (iv) if sent by telex, telecopy or similar form of telecommunications, upon receipt.

	Successors.  Except as herein otherwise provided, this Agreement shall be binding upon and inure to the benefit of the parties, and their respective legal representatives, heirs, executors, administrators, successors and assigns.

	Severability of Provisions.  Any provision herein which is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of such provision in any other jurisdiction.

	Entire Agreement.  This Agreement constitutes the entire agreement among the parties with respect to the subject matter contained herein and therein, and supersedes any prior agreements or understanding among the parties, whether written or oral.

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

	Amendments, Etc.  No amendment, modification, termination, or waiver of any provision of this Agreement shall in any event be effective unless the same shall be in writing and signed by the other party, and then such waiver or consent shall be effective only in the specific instance and for the specific purpose for which given.

	Attorneys' Fees.  Siebel shall pay, within five (5) days after request, all attorneys fees and costs incurred by Owner in connection with the preparation and negotiation of this Agreement.  If an action or suit is brought by a party hereto against another party hereunder arising out of or related to this Agreement or any of the documents which are delivered in connection with this Agreement, the party in whose favor final judgment is entered shall be entitled to have and recover from the other party or parties all costs and expenses of suit, including reasonable attorneys' fees and costs of expert witnesses ("Costs"), all of which shall be deemed to have accrued upon the commencement of such action.  Any judgment or order entered in such action shall contain a specific provision providing for the recovery of all Costs incurred in enforcing, perfecting and executing such judgment.  For the purposes of this section, Costs shall include, without limitation, attorneys' fees, costs and expenses incurred in the following: (i) post-judgment motions and appeals; (ii) contempt proceedings; (iii) garnishment, levy and debtor and third party examinations; (iv) discovery; and (v) bankruptcy litigation.  Notwithstanding the foregoing, Owner shall recover from Siebel any and all Costs incurred in connection with any Avoidance Action.

	Time is of the Essence.  Time is of the essence of this Agreement and each provision hereof.

	Interpretation.  Should any provision of this Agreement require interpretation by a court of law, it is agreed by all of the parties hereto that the court interpreting or construing this Agreement shall not apply any presumption that the terms will be more strictly construed against one party by reason of the rule of construction that a document is to be construed more strictly against the party who by himself or through his agent prepared such document, it being agreed that the legal counsel and agents of all parties have participated in the preparation of this Agreement.

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

	
Owner: 

CROSSROADS ASSOCIATES

By:  /s/  Richard M. Jacobsen

Name:  Richard M. Jacobsen

Title:  Partner
	
Siebel:

SIEBEL SYSTEMS, INC., a Delaware corporation

By:  /s/  Jeffrey T. Amann

Name:  Jeffrey T. Amann

Title: Senior Vice President and General  Counsel

	
CLOCKTOWER ASSOCIATES

By:  /s/  W. Gregory Osborn

By:  W. Gregory Osborn

By:  Partner
	

EXHIBIT A

SPACE REDUCTION AMENDMENT

[See Seventeenth Amendment of Lease]

EXHIBIT B

CHW LEASE

LEASE AGREEMENT

This Lease, made this   29th    day of     January        2003 between CROSSROADS ASSOCIATES, a California General Partnership AND CLOCKTOWER ASSOCIATES, a California General Partnership, hereinafter called Landlord, and CATHOLIC HEALTHCARE WEST, a California Non-Profit Public Benefit Corporation, hereinafter called Tenant.

WITNESSETH:

Landlord hereby leases to Tenant and Tenant hereby hires and takes from Landlord those certain premises (the "Premises") outlined in red on Exhibit "Al and A2", attached hereto and incorporated herein by this reference thereto more particularly described as follows:

Approximately 29,833 square feet of rentable space (which includes Tenant's prorata share of building common areas) located on the ninth (9th) floor (approximately 17,702 square feet) and a portion of the eighth (8th) floor (approximately 12,131 square feet) of the "Building" located at 1825 South Grant Street, San Mateo, San Mateo County, California.  For purposes of this Lease, Landlord and Tenant acknowledge and agree that the rentable square footage for the Premises is 29,833 square feet, and that Tenant's proportionate share for purposes of payment of Additional Rent is 7.56% of the Complex ("Proportionate Share").  Tenant's Suite Number in the Building shall be 900/800.

Tenant hereby acknowledges that the Premises are currently leased and occupied by Siebel Systems, Inc.  This Lease Agreement is contingent upon Landlord entering into a satisfactory, in Landlord's sole opinion, arrangement with Siebel Systems, Inc. (and hereinafter referred to as 'Siebel'), wherein their Lease obligation is modified to make the Premises available for a direct lease with Tenant and a security arrangement is reached.  In the event this Lease is executed by Tenant and the Siebel arrangement is not fully executed within two (2) business days thereafter, at Tenant's election, by written notice to Landlord, Tenant's obligations under this Lease shall be deemed cancelled and of no further force or effect.

As used herein the Complex shall mean and include all of the land outlined in red and described in Exhibit "B", attached hereto, and all of the buildings, improvements, fixtures and equipment now or hereafter situated on said land.

Said letting and hiring is upon and subject to the terms, covenants and conditions hereinafter set forth and Tenant covenants as a material part of the consideration for this Lease to perform and observe each and all of said terms, covenants and conditions.  This Lease is made upon the conditions of such performance and observance.

1.USE.  Subject to the provisions of Paragraph 17 below, Tenant shall use the Premises only in conformance with applicable governmental laws, regulations, rules and ordinances for the purpose of General Office uses and for no other purpose.  Tenant shall not do or permit to be done in or about tile Premises or the Complex nor bring or keep or permit to be brought or kept in or about the Premises or the Complex anything which is prohibited by or will in any way increase the existing rate of (or otherwise affect) fire or any insurance covering the Complex or any part thereof, or any of its contents, or will cause a cancellation of any insurance covering the Complex or any part thereof, or any of its contents; provided Landlord acknowledges and agrees that general office use is not prohibited nor will it cause an increase in insurance rates at the Complex.  Tenant shall not do or permit to be done anything in, on or about the Premises or the Complex which will in any way obstruct or interfere with the rights of other tenants or occupants of the Complex or injure or annoy them, or use or allow the Premises to be used for any improper, immoral, unlawful or objectionable purpose, nor shall Tenant cause, maintain or permit any nuisance in, on or about the Premises or the Complex.  No sale by auction shall be permitted on the Premises.  Tenant shall not place any loads upon the floors, walls, or ceiling, which endanger the structure, or place any harmful fluids or other materials in the drainage system of the building, or overload existing electrical or other mechanical systems, provided that the loads and electrical usage typical for general office use are permissible.  No waste materials or refuse shall be dumped upon or permitted to remain upon any part of the Premises or outside of the building in which the Premises are a part, except in trash containers placed inside exterior enclosures designated by Landlord for that purpose or inside of the building proper where designated by Landlord.  No materials, supplies, equipment, finished products or semi-finished products, raw materials or articles of any nature shall be stored upon or permitted to remain outside the Premises or on any portion of common area of the Complex.  No loudspeaker or other devise, system or apparatus which can be heard outside the Premises shall be used in or at the Premises without the prior written consent of Landlord.  Tenant shall not commit or suffer to be committed any waste in or upon the Premises.  Tenant shall indemnify, defend and hold Landlord harmless against any loss, expense, damage, attorney's fees, or liability arising out of failure of Tenant to comply with any applicable law, as required by this Lease.  Tenant shall comply with any covenant, condition, or restriction ("CC&R's") affecting the Premises.  Landlord represents that (a) there are currently no CC&Rs encumbering the Premises and Landlord shall provide Tenant a copy of any new CC&Rs recorded against the Premises in the future; and (b) Landlord owns and operates the Complex under a ground lease ("Ground Lease") which is in full force and effect, and the terms of this Lease are consistent with and not in conflict with the terms of the Ground Lease.  The provisions of this paragraph (except for the preceding sentence) are for the benefit of Landlord only and shall not be construed to be for the benefit of any tenant or occupant of the Complex.

2.TERM.

A.  Subject to the contingency noted above, the term of this Lease shall be for a period of Ten (10) years (unless sooner terminated as hereinafter provided) and, subject to Paragraphs 2(B) and 3, shall commence on the    1st    day of     March    , 2003 and end on the    28th     day of February 2013.

B.  Possession of the Premises shall be deemed tendered and the term of this Lease shall commence on March 1, 2003.  Notwithstanding the foregoing, Landlord agrees that Tenant, Tenant's agents and independent contractors, may enter the Premises after execution of this Lease by Tenant, but prior to the commencement date of the term, in order that Tenant may complete certain leasehold improvements to the Premises, subject to the provisions of Paragraph 9 below, and subject to the rights of Siebel.  Tenant agrees to use commercially reasonable efforts to minimize the impact of such leasehold improvement work on the activities of Siebel within the Premises.

C.  OPTIONS TO EXTEND.

Provided Tenant is not in default on any of the terms, covenants or conditions of this Lease, and subject to the terms and conditions set forth hereafter, Tenant is granted the option to extend the term of Lease on the Premises to February 28, 2018 on the following terms and conditions:

(a)On or before June 1, 2012, Tenant shall notify Landlord in writing of Tenant's exercise of this option to extend the term of the Lease to February 28, 2018.

(b)The extended term of the Lease shall commence on March 1, 2013 and shall terminate on February 28, 2018.

(c)The monthly Basic Rent as of the commencement date of the extended term of the Lease shall be at the then Fair Market Rate.  In determining Fair Market Rate, Landlord and Tenant shall include consideration for lease term, lease rate, escalations, tenant improvement contributions, any other tenant concessions, and the condition of the Premises.

(d)The then current payment for Additional Rent described in Paragraph 4D of the Lease shall continue to be paid and adjusted according to Paragraph 4D of this Lease.

(e)This Option to extend can be exercised only by Catholic Healthcare West or by a subsidiary or Affiliate of Catholic Healthcare West for its sole use of the Premises and may not be transferred or assigned to any sublessee or other party, nor may this option be exercised by Catholic Healthcare West, its subsidiary or Affiliate for the use of the Premises by any sublessee or party other than Catholic Healthcare West, its subsidiary or Affiliate.

For purposes of this Paragraph 2C, the Fair Market Rate shall be defined as the prevailing market rate with interim adjustments (if any) then charged for comparable space of comparable quality in the immediate San Mateo/Foster City/Redwood Shores market area.  Within 30 days of Tenant's exercise of Option, Landlord shall notify Tenant of such rate as reasonably determined by Landlord.  Landlord and Tenant shall attempt to agree in writing on such Fair Market Rate.  If Landlord and Tenant do not agree on the Fair Market Rate for the Premises by that date which is one hundred fifty (150) days prior to the commencement of the extended term, then Landlord and Tenant shall each select a licensed real estate broker (the "Brokers") with a minimum five (5) years commercial leasing experience in the above referenced market area to determine the Fair Market Rate for the Premises.  If the Brokers are unable to agree as to the Fair Market Rate by that date which is one hundred Twenty days (120) days prior to the commencement of the extended term, then the Brokers shall mutually select a third licensed real estate broker (the "Arbitrator") who has the same minimum qualifications as the Brokers and who has not previously represented either party.  Each broker shall submit to the Arbitrator in an unidentified, sealed envelope his or her determination of the Fair Market Rate for the Premises, and the support thereof, and the Arbitrator shall decide which Broker has most accurately determined the Fair Market Rate, which decision shall be final and binding on both Landlord and Tenant.  Landlord and Tenant shall each pay their own Broker's fees and costs and shall each pay one-half (1/2) of the Arbitrator's fees and costs.

3.POSSESSION.  If Landlord, for any reason whatsoever, cannot deliver possession of said Premises to Tenant at the commencement of said term, as hereinbefore specified, this Lease shall not be void or voidable; nor obligation of Tenant shall be affected thereby; nor shall Landlord or Landlord's agents be liable to Tenant for any loss or damage resulting therefrom; but in that event the commencement and termination dates of the Lease, and all other dates affected thereby shall be revised to conform to the date of Landlord's delivery of possession, as specified in Paragraph 2 (b), above.  The above, is, however, subject to the provision that the period of delay of delivery of the Premises shall not exceed 30 days from the commencement date herein (except those delays caused by Acts of God, strikes, war, utilities, governmental bodies, weather, unavailable materials, and delays beyond Landlord's control shall be excluded in calculating such period) in which instance Tenant, at its option, may, by written notice to Landlord, terminate this Lease.

4.RENT.

A.  Basic Rent.  Tenant agrees to pay to Landlord at such place as Landlord may designate without deduction, offset, prior notice, or demand on the first (1st) day of each calendar month of the term of this Lease, and Landlord agrees to accept as Basic Rent for the leased Premises.  the total sum of Four Million Six Hundred Sixty Seven Thousand Three Hundred Seventy Two and 85/100 Dollars ($4,667,372.85) in lawful money of the United States of America, payable as follows:

Monthly Basic Rent Suite

900/800

	
Time Period
	
(29,833 r.s.f.)
	
Total Monthly

Basic Rent

	
3/1/2003 to 3/31/2003
	
@ $0.00 NNN
	
$0.00

	
4/1/2003 to 10/31/2009
	
@ $0.95 NNN
	
$28,341.35

	
11/1/2009 to 2/28/2011
	
@ $1.90 NNN
	
$56,682.70

	
3/1/2011 to 2/29/2012
	
@ $2.05 NNN
	
$61,157.65

	
3/1/2012 to 2/28/2013
	
@ $2.20 NNN
	
$65,632.60

B.  Time for Payment.  In the event that the term of this Lease commences on a date other than the first day of a calendar month, on the date of commencement of the term hereof Tenant shall pay to Landlord as rent for the period from such date of commencement to the first day of the next succeeding calendar month that proportion of the monthly rent hereunder which the number of days between such date of commencement and the first day of the next succeeding calendar month bears to thirty (30).  In the event that the term of this Lease for any reason ends on a date other than the last day of a calendar month, on the first day of the last calendar month of the term hereof Tenant shall pay to Landlord as rent for the period from said first day of said last calendar month to and including the last day of the term hereof that proportion of the monthly rent hereunder which the number of days between said first day of said last calendar month and the last day of the term hereof bears to thirty (30).

C.  Late charge.  Notwithstanding any other provision of this Lease, if Tenant is in default by failing to pay all or any portion of rent as set forth in this Paragraph 4 within ten (10) days of when due, Landlord shall so notify Tenant in writing, by facsimile, or electronically.  If Tenant then fails to pay such delinquent amount within five (5) days of receipt of such notice, then Tenant agrees to pay Landlord, in addition to the delinquent rental due, a late charge equal to ten (10%) percent of each rental payment so in default.

D.  Additional Rent.  Beginning with the second (2nd) month of the term of this Lease, Tenant shall pay to Landlord in addition to the Basic Rent and as Additional Rent the following:

(1)Tenant's Proportionate Share of all utilities relating to the Complex as set forth in Paragraph 11, and

(2)Tenant's Proportionate Share of all Taxes relating to the Complex as set forth in Paragraph 12, and

(3)Tenant's Proportionate Share of all insurance premiums relating to the Complex, as set forth in Paragraph 15, and

(4)Tenant's Proportionate Share of expenses for the operation, management, maintenance and repair of the Building (including common areas of the Building) and Common Areas of the Complex in which the Premises are located as set forth in Paragraph 7, which expenses shall be consistent with expenses of similar first (1st) class buildings in the San Mateo/Foster City/Redwood Shores market area, and

(5)All charges, costs and expenses, which Tenant is required to pay hereunder, together with all interest and penalties, costs and expenses including attorney's fees and legal expenses, that may accrue thereto in the event of Tenant's failure to pay such amounts, and all damages, reasonable costs and expenses which landlord may incur by reason of default of Tenant or failure on Tenant's part to comply with the terms of this Lease.  In the event of nonpayment by Tenant of Additional Rent, Landlord shall have all the rights and remedies with respect thereto as Landlord has for nonpayment of rent.

Tenant shall pay to Landlord monthly, in advance, Tenant's prorata share of an amount estimated by Landlord to be Landlord's approximate average monthly expenditure for such Additional Rent items, which estimated amount shall be reconciled at the end of each calendar year as compared to Landlord's actual expenditure for said Additional Rent items.  Such reconciliation shall be provided to Tenant in writing ("Landlord's Statement") no later than Ninety (90) days following the end of each such calendar year.  Subject to Tenant's audit rights described below, Tenant shall pay to Landlord, within thirty (30) days of receipt of Landlord's Statement, any amount of actual expenses expended by Landlord in excess of said estimated amount, or Landlord shall refund to Tenant within 30 days (providing Tenant is not in default in the performance of any of the terms, covenants and conditions of this Lease) any amount of estimated payments made by Tenant in excess of Landlord's actual expenditures for said Additional Rent items.

Tenant's payment for such Additional Rent as of the second (2nd) month of the Lease Term shall be [$.93 per rentable square foot] per month, which amounts to Twenty Seven Thousand Seven Hundred Forty Four and 69/100 Dollars ($27,744.69) per month.  Landlord and Tenant acknowledge and agree that such amount includes all the expenses for Additional Rent items identified in paragraph 4(D) (1) through (5) above, as of the commencement date of the Lease term.  Any payments required to be made by Tenant for Additional Rent shall be made by check or instrument separate from that check or instrument used by Tenant to make any payments for Basic Rent pursuant to paragraph 4 A.

The respective obligations of Landlord and Tenant under this paragraph shall survive the expiration or other termination of the term of this Lease, and if the term hereof shall expire or shall otherwise terminate on a day other than the last day of a calendar year, the actual Additional Rent incurred for the calendar year in which the term hereof expires or otherwise terminates shall be determined and settled on the basis of the statement of actual Additional Rent for such calendar year and shall be prorated in the proportion which the number of days in such calendar year preceding such expiration or termination bears to 365.

E.Review of Landlord Statement.  Provided that Tenant is not then in default beyond any applicable cure period of its obligations under this Lease, Tenant shall have the right, once each calendar year, to reasonably review supporting data for operating costs for the Complex and Tenant's Proportionate Share of such operating costs for the Complex, in accordance with the following procedure:

(1)Tenant shall, within thirty (30) days after Landlord's Statement is delivered, deliver a written notice to Landlord specifying the portions of Landlord's Statement that are in question or are claimed to be incorrect, and Tenant shall simultaneously pay to Landlord all amounts due from Tenant to Landlord as specified in Landlord's Statement if not previously paid, without waiving Tenant's right to dispute such amounts.

(2)Tenant acknowledges and agrees that any records reviewed under this Subparagraph E constitute confidential information of Landlord, which shall not be disclosed to anyone other than the accountants performing the review and the principles, employees (on a need-to-know basis), attorneys or consultants of Tenant who receive the results of the review.  The disclosure of such information to any other person, whether or not caused by the conduct of Tenant, shall constitute a material breach of this Lease, unless required by law or pursuant to Tenant's normal accounting and reporting procedures.

(3)Any errors disclosed by the review shall be promptly corrected by Landlord, provided, however, that if Landlord disagrees with any such claimed errors after Landlord's own internal review, no corrections shall be made, but if Tenant still disputes the amount of the Additional Rent items set forth in Landlord's Statement and Tenant's Proportionate Share thereof, Tenant shall have the right to elect to cause an independent certified public accounting firm selected by Tenant (and not affiliated with Tenant or compensated on a contingent fee basis or based upon a share of any refund obtained by Tenant) and reasonably acceptable to Landlord (the "Accountant"), to commence and complete an audit of Landlord's books and records directly relevant to Landlord's calculation of the Additional Rent items and Tenant's Proportionate Share, in order to determine the proper amount incurred and amounts payable by Tenant for the calendar year which is the subject of such Landlord's Statement.  If such audit reveals that Landlord has over-charged Tenant, then the amount of overpayment shall be refunded to Tenant within 30 days.  If the audit reveals that the Tenant was under-charged, then Tenant shall reimburse to Landlord the amount of such under-charge with the next succeeding installment obligation of Tenant's Proportionate Share.  If the audit reveals no error in Tenant's charges, Tenant agrees to pay Landlord's third-party, out-of-pocket costs (such as external auditors fees, copy costs, courier costs, etc., but excluding general overhead) in making an internal review, meeting with Tenant, etc.  Tenant agrees to pay the cost of such audit unless the results of such audit reflect that Landlord's Statement overstated Tenant's Proportionate Share by more than two percent (2%), in which case Landlord shall reimburse Tenant for the reasonable cost of such audit.

F.  Place of Payment of Rent and Additional Rent.  All Basic Rent hereunder and all payments hereunder for Additional Rent shall be paid to Landlord at the office of Landlord at 1875 South Grant Street, Suite 100, San Mateo, California, 94402, or to such other person or to such other place as Landlord may from time to time designate in writing.

G.  Security Deposit.  Concurrently with Tenant's execution of this Lease, Tenant shall deposit with Landlord the sum of Fifty Three Thousand Six Hundred Fifty and 00/100 ($53,650.00) Dollars.  Said sum shall be held by Landlord as a Security Deposit for the faithful performance by Tenant of all the terms, covenants, and conditions of this Lease to be kept and performed by Tenant during the term hereof If Tenant defaults with respect to any provisions of this Lease, including, but not limited to, the provisions relating to the payment of rent and any of the monetary sums due herewith, Landlord may (but shall not be required to ) use, apply or retain all or any part of this Security Deposit for the payment of any other amount which Landlord may spend by reason of Tenant's default or to compensate Landlord for any other loss or damage which Landlord may suffer by reason of Tenant's default.  If any portion of said Deposit is so used or applied, Tenant shall, within ten (10) days after written demand therefor, deposit cash with Landlord in the amount sufficient to restore the Security Deposit to its original amount.  Tenant's failure to do so shall be a material breach of this Lease.  Landlord shall not be required to keep this Security Deposit separate from its general funds, and Tenant shall not be entitled to interest on such Deposit.  If Tenant fully and faithfully performs every provision of this Lease to be performed by it, the Security Deposit or any balance thereof shall be returned to Tenant at the expiration of the Lease term and after Tenant has vacated the Premises.  In the event of termination of Landlord's interest in this Lease, Landlord shall transfer said Deposit to Landlord's successor in interest whereupon Tenant agrees to release Landlord from liability for the return of such Deposit or the accounting therefor.

5.RULES AND REGULATIONS AND COMMON AREA.  Subject to the terms and conditions of this Lease and such commercially reasonable Rules and Regulations as Landlord may from time to time prescribe, Tenant and Tenant's employees, invitees and customers shall, in common with other occupants of the Complex in which the Premises are located, and their respective employees, invitees and customers, and others entitled to the use thereof, have the non-exclusive right to use the access roads, parking areas, and facilities provided and designated by Landlord for the general use and convenience of the occupants of the Complex in which the Premises are located, which areas and facilities are referred to herein as "Common Area".  This night shall terminate upon the termination of this Lease.  Landlord reserves the right from time to time to make changes in the shape, size, location, amount and extent of Common Area, as long as such changes do not materially impair Tenant's access to or use of the Premises.  Landlord further reserves the right to promulgate such commercially reasonable rules and regulations relating to the use of the Common Area, and any part or parts thereof, as Landlord may deem appropriate for the best interests of the occupants of the Complex.  Such Rules and Regulations shall be binding upon Tenant upon delivery of a copy of them to Tenant, and Tenant shall abide by them and cooperate in their observance.  Such Rules and Regulations may be amended by Landlord from time to time, with or without advance notice, and all commercially reasonable amendments shall be effective upon delivery of a copy to Tenant.  Landlord shall not be responsible to Tenant for the non-performance by any other tenant or occupant of the Complex of any of said Rules and Regulations.

Landlord shall operate, manage and maintain the Common Area.  The manner in which the Common Area shall be maintained and the expenditures for such maintenance shall be in a first (1st) class manner consistent with the practices of owners of similar first (1st) class buildings in the San Mateo/Foster City/Redwood Shores market area.

6.PARKING.  Tenant shall have the right to use with other tenants or occupants of the Complex, 1 space per 315 rentable square feet, which amounts to 95 parking spaces in the common parking areas of the Complex.  Tenant agrees that Tenant, Tenant's employees, agents, representatives and/or invitees shall not use parking spaces in excess of said 95 spaces allocated to Tenant hereunder.  If Tenant expands the Premises, its parking allocation shall be proportionately expanded in order to maintain a ratio of 3.17 spaces per 1,000 rentable square feet leased.  Landlord shall have the right, at Landlord's reasonable discretion, to specifically designate the location of Tenant's parking spaces within the common parking areas of the Complex in the event of a dispute among the tenants occupying the building and/or Complex referred to herein, in which event Tenant agrees that Tenant, Tenant's employees, agents, representatives and/or invitees shall not use any parking spaces other than those parking spaces specifically designated by Landlord for Tenant's use, as long as such spaces are within reasonable proximity to the Premises and in otherwise reasonably desirable locations within the common parking areas.  Said parking spaces, if specifically designated by landlord to Tenant, may be relocated by Landlord at any time, and from time to time, subject to the preceding sentence.  Landlord reserves the right, at Landlord's sole discretion, to rescind any specific designation of parking spaces, thereby returning Tenant's parking spaces to the common parking area.  Landlord shall give Tenant reasonable advance written notice of any change in Tenant's parking spaces.  Tenant shall not, at any time, park, or permit to be parked, any trucks or vehicles adjacent to the loading areas so as to interfere in any way with the use of such areas, nor shall Tenant at any time park, or permit the parking of Tenant's trucks or other vehicles or the trucks and vehicles of Tenant's suppliers or others, in any portion of the common area not designated by Landlord for such use by Tenant.  Tenant shall not park not permit to be parked, any inoperative vehicles or equipment on any portion of the common parking area or other common areas of the Complex.  Tenant agrees to assume responsibility for compliance by its employees with the parking provision contained herein.  If Tenant or its employees park in other than such designated parking areas, then Landlord may charge Tenant, as an additional charge, and Tenant agrees to pay, ten ($10.00) Dollars per day for each day or partial day each such vehicle is parked in any area other than that designated.  Tenant hereby authorizes Landlord at Tenant's sole expense after reasonable advance notice and warning to Tenant to tow away from the Complex any vehicle belonging to Tenant or Tenant's employees parked in violation of these provisions, or to attach violation stickers or notices to such vehicles.  Tenant shall use the parking areas for vehicle parking only, and shall not use the parking areas for storage.  In the event there are parking spaces available in the Complex which have not been allocated to any tenant (hereinafter referred to as 'Unallocated Parking'), then during the period of time such Unallocated Parking exists Tenant may use more than the 95 parking spaces allowed per the terms of this Paragraph 6.  At such time as the Unallocated Parking ceases to exist, Tenant hereby agrees not to use more than the 95 parking spaces allocated above.

7.EXPENSES OF OPERATION, MANAGEMENT AND MAINTENANCE OF THE COMMON AREAS OF THE COMPLEX, PREMISES AND BUILDING IN WHICH THE PREMISES ARE LOCATED.  As Additional Rent and in accordance with Paragraph 4 D of this Lease, Tenant shall pay to Landlord Tenant's proportionate share (calculated on a square footage or other equitable basis as calculated by Landlord) of all expenses of operation, management, maintenance and repair of the Common Areas of the Complex including, but not limited to, license, permit and inspection fees; security; utility charges associated with exterior landscaping and lighting (including water and sewer charges); all charges incurred in the maintenance of landscaped areas, lakes, parking lots, sidewalks, driveways; maintenance, repair and replacement of all fixtures and electrical, mechanical and plumbing systems; structural elements and exterior surfaces of the buildings; salaries and employees benefits of personnel and payroll taxes applicable thereto; supplies, materials, equipment and tools; the cost of capital expenditures which have the effect of reducing operating expenses, provided, however, that in the event Landlord makes such capital improvements, Landlord shall amortize its investment in said improvements over the useful life thereof (together with interest at the rate of no greater than the then Prime Rate as quoted by the Bank of America per annum on the unamortized balance) as an operating expense in accordance with standard accounting practices, provided further, that such amortization is not at a rate greater than the anticipated savings in the operating expenses.  Tenant shall pay its Proportionate Share of the amortized amount as Additional Rent.

As Additional Rent and in accordance with paragraph 4D of this Lease, Tenant shall pay its proportionate share (calculated on a square footage or other equitable basis as calculated by Landlord) of the cost of operation (including common utilities), management, maintenance and repair of the Premises and the building (including common areas such as lobbies, restrooms, janitor's closets, hallways, elevators, mechanical and telephone rooms, stairwells, entrances, spaces above the ceilings) in which the Premises are located.  The maintenance items herein referred to include, but are not limited to, janitorial clean-up, electrical systems (such as outlets, lighting fixtures, lamps, bulbs, tubs, ballasts), heating and air conditioning controls (such as mixing boxes, thermostats, time clocks, supply and return grills), all interior improvements within the Premises including but not limited to: wall coverings, window coverings, acoustical ceilings, vinyl tile, carpeting, partitioning, doors (both interior and exterior, including closing mechanisms, latches, locks), and all other interior improvements of any nature whatsoever, all windows, window frames, plate glass, glazing, truck doors, main plumbing systems of the building (such as water and drain lines, sinks, toilets, faucets, drains, showers and water fountains), main electrical systems (such as panels and conduits), heating and air conditioning systems (such as compressors, fans, air handlers, ducts, boilers, heaters), store fronts, roofs, downspouts, building common area interiors (such as wall coverings, window coverings, floor coverings and partitioning), ceilings, building exterior doors, skylights (if any), automatic fire extinguishing systems and elevators; license, permit, and inspection fees; security; salaries and employee benefits of personnel and payroll taxes applicable thereto; supplies, materials, equipment and tools; the cost of capital expenditures which have the effect of reducing operating expenses, provided, however, than in the event Landlord makes such capital improvements, Landlord shall amortize its investment in said improvements over the useful life thereof (together with interest at the rate of no greater than the then Prime Rate as quoted by the Bank of America per annum on the unamortized balance) as an operating expense in accordance with standard accounting practices, provided further, that such amortization is not at a rate greater than the anticipated savings in the operating expenses.  Tenant hereby waives all rights under, and benefits of, subsection 1 of Section 1932 and Section 1941 and 1942 of the California Civil Code and under any similar law, statute or ordinance now or hereafter in effect.

"Additional Rent" as used herein shall not include Landlord's debt repayments; interest on charges; expenses directly or indirectly incurred by Landlord for the benefit of any other tenant; cost for the installation of partitioning or any other tenant improvements; cost of attracting tenants; depreciation; interest, or executive salaries.

Landlord agrees to provide five-day janitorial service for the leased Premises and to maintain the Complex in a first-class manner.

8.ACCEPTANCE AND SURRENDER OF PREMISES.  Subject to the provisions of Paragraph 17 below, by entry hereunder, Tenant accepts the Premises as being in good and sanitary order, condition and repair and accepts the building and improvements included in the Premises in their present condition and without representation or warranty by Landlord as to the condition of such building or as to the use or occupancy which may be made thereof.  Any exceptions to the foregoing must be by written agreement executed by Landlord and Tenant.  Tenant agrees on the last day of the Lease term, or on the sooner termination of this Lease, to surrender the Premises promptly and peaceably to Landlord in good condition and repair (damage by Acts of God, fire or normal wear and tear excepted), with all interior walls repaired and replaced if damaged beyond normal wear and tear; the air conditioning and heating equipment serviced by a reputable and licensed service firm and in good operating condition (provided the maintenance of such equipment has been Tenant's responsibility during the term of this Lease) together with all alterations, additions and improvements which may have been made in, to, or on the Premises (except movable trade fixtures installed at the expense of Tenant), except that Landlord shall inform Tenant in writing at the time Landlord approves Tenant's plans and specifications for the initial leasehold improvements, and upon Tenant's written request, at the time Tenant makes any other alterations or improvements to the Premises, whether Landlord desires to have the Premises or any part or parts thereof restored to their condition and configuration as when the Premises were delivered to Tenant and if Landlord shall so desire, then Tenant shall restore said Premises or such part or parts thereof before the end of this Lease at Tenant's sole cost and expense.  Tenant, on or before the end of the term or sooner termination of this Lease, shall remove all of Tenant's personal property and trade fixtures from the Premises, and all property not so removed on or before the end of the term or sooner termination of this Lease shall be deemed abandoned by Tenant and title to same shall thereupon pass to Landlord without compensation to Tenant, subject to applicable laws.  Landlord may, upon termination of this Lease, remove all moveable furniture and equipment so abandoned by Tenant, at Tenant's sole cost, and repair any damage caused by such removal at Tenant's sole cost.  If the Premises are not surrendered at the end of the term or sooner termination of this Lease, Tenant shall indemnify Landlord against loss or liability resulting from the delay by Tenant in so surrendering the Premises including, without limitation, any claims made by any succeeding tenant founded on such delay.  Nothing contained herein shall be construed as an extension of the term hereof or as a consent of Landlord to any holding over by Tenant.  The voluntary or other surrender of this Lease or the Premises by Tenant or a mutual cancellation of this Lease shall not work as a merger and, at the option of Landlord, shall either terminate all or any existing subleases or subtenancies or operate as an assignment to Landlord of all or any such subleases or subtenancies.

9.ALTERATIONS AND ADDITIONS.  Tenant shall not make, or suffer to be made, any alteration or addition to the Premises, or any part thereof, without the written consent of Landlord first had and obtained by Tenant, but at the cost of Tenant; provided however, Tenant shall notify Landlord, but shall not be required to obtain Landlord's approval of, minor, cosmetic, nonstructural alterations to the Premises (excluding alterations affecting the Premises or Complex electrical or HVAC systems, fire sprinklers, or life safety, or which involve the movement of walls or which require a building permit, all of which shall always require Landlord's consent), the costs of which do not exceed $5,000.00 for any one such alteration ("Minor Alterations").  Any addition to, or alteration of, the Premises, except moveable furniture and trade fixtures, shall at once become a part of the Premises and belong to Landlord.  If Landlord consents to the making of any alteration, addition, or improvement to or of the Premises by Tenant, the same shall be made by either Landlord or Landlord's designated contractor at Tenant's sole cost and expense.  Notwithstanding anything contained herein to the contrary, Landlord shall charge its out of pocket costs for reasonable third party vendors only, for any reasonable supervision, review of plans or other services whatsoever in connection with any leasehold improvement work done in Tenant's Premises.  Any modifications to the building or building systems required by governmental code or otherwise as a result of Tenant's alterations, additions or improvements shall be made at Tenant's sole cost and expense.  Tenant shall retain title to all moveable furniture and trade fixtures placed in the Premises.  All heating, lighting, electrical, air conditioning, partitioning, drapery, carpeting and floor installations made by Tenant, together with all property that has become an integral part of the Premises, shall not be deemed trade fixtures.  Tenant agrees that it will not proceed to make any alterations or additions without having obtained consent from Landlord to do so (except for Minor Alterations), and until five (5) days from the receipt of such consent, in order that Landlord may post appropriate notices to avoid any liability to contractors or material suppliers for payment for Tenant's improvements.  Tenant will at all times permit such notices to be posted and to remain posted until the completion of work.  Tenant shall, if required by Landlord, secure at Tenant's own cost and expense, a completion and lien indemnity bond, satisfactory to Landlord, for such work.  Tenant further covenants and agrees that any mechanic's liens filed against the Premises or against the Complex for work claimed to have been done for, or materials claimed to have been furnished to Tenant, will be discharged by Tenant, by bond or otherwise, within ten (10) days after the filing thereof, at the cost and expense of Tenant.  Any exceptions to the foregoing must be made in writing and executed by both Landlord and Tenant.  TENANT AGREES TO LEASE THE PREMISES IN AN "AS IS" CONDITION, and any alteration or modifications to the Premises shall be made in accordance with paragraphs 8 & 9 of the Lease and shall not delay the commencement of the Lease nor delay the payment of rent and all such modifications shall be at Tenant's sole cost and expense.  Landlord and Tenant hereby acknowledge that any and all arrangements for Tenant's use of existing furniture, telephone equipment, computer wiring, or reimbursements or payments for tenant improvements shall be agreed to directly between Tenant and Siebel.  Notwithstanding anything herein to the contrary, Landlord at Landlord's sole cost and expense agrees to perform the following Improvements as indicated below:

a) In the event a subsequent tenant is found by Landlord (subject to Tenant's rights under Paragraph 45 below) and/or Siebel Systems, Inc., for that portion of the eighth (8th) floor space not ]eased by Tenant (and designated in green on Exhibit A2), Landlord shall at Landlord's sole cost and expense add a demising wall in the location designated by the blue line.  Any modifications to the building necessary to accommodate the installation of the demising wall (for example, recircuiting of lighting, HVAC, firesprinklers, exit corridors or doors, etc) shall also be paid for by Landlord.  At such time as Landlord installs the demising walls, Landlord will use commercially reasonable efforts to minimize the disruption to Tenant's conduct of business.

b)Landlord to provide the initial building standard signs for Tenant in the first floor lobby directory, and the eighth (8th) and ninth (9th) floor lobby directories and door signage.  All subsequent requests for signs shall be at Tenant's sole cost and expense.  As the only tenant on the ninth (9th) floor, Landlord does herein agree to permit Tenant to design a ninth (9th) floor lobby sign plan, at Tenant's sole cost and expense subject to the following conditions:

1)The sign design plan shall be subject to the reasonable written approval of Landlord.

2)Pursuant to Paragraphs 8 & 9 of the Lease Agreement herein, any modifications to any of the elevator lobbies shall be restored by Tenant to the building standard finish upon the expiration or sooner the termination of the Lease.

3)Any sign design plan shall be in compliance with all governmental agencies.

c)Landlord acknowledges that no power or mechanical upgrades are necessary to operate Building life safety systems on the 8th and 9th floors.

10.BUILDING PLANNING. [this paragraph is deleted].

11.UTILITIES OF THE BUILDING IN WHICH THE PREMISES ARE LOCATED.  As Additional Rent and in accordance with paragraph 4D of this Lease, Tenant shall pay its Proportionate Share (calculated on a square footage or other equitable basis as calculated by Landlord in Landlord's reasonable judgment and in no event more than Tenant's fair share) of the cost of all utility charges such as water, gas, electricity, telephone, telex and other electronic communications service, sewer service, waste pick-up and any other utilities, materials of services furnished directly to the building in which the Premises are located, including, without limitation, any temporary or permanent utility surcharge or other exactions whether or not hereinafter imposed.

Landlord shall not be liable for and Tenant shall not be entitled to any abatement or reduction of rent by reason of any interruption or failure of utility services to the Premises when such interruption or failure is caused by accident, breakage, repair, strikes, lockouts or other labor disturbances or labor disputes of any nature, or by any other cause, similar or dissimilar, beyond the reasonable control of Landlord.

Tenant shall have the right to request overtime/after-hours heating and air conditioning (HVAC) for Tenant's space at Landlord's standard rates.  Landlord's rate for overtime/after-hours heating and air conditioning for Calendar year 2003 shall be as follows:

HVAC$185.00 per hour (2 hour minimum during weekdays and a 4 hour minimum during weekends) 

FANS$75.00 per hour (2 hour minimum during weekdays and a 4 hour minimum during weekends)

Landlord agrees that the above hourly rates reflect Landlord's actual costs for HVAC and fan services, plus accelerated depreciation and reserves for major repairs (which reserves constitute 50% of the hourly rates charged for after-hours HVAC and fan services) and do not reflect any Landlord profits.  In the event that Landlord upgrades or improves the HVAC system in the Complex, such that zones are established, or any other cost-savings are established, such cost-savings will be passed on to Tenant through adjusted after-hour HVAC and Fan Charges.

Provided that Tenant is not in default in the performance or observance of any of the terms, covenants or conditions of this Lease to be performed or observed by it, Landlord shall furbish to the Premises between the hours of 8:00 a.m. and 6:00 p.m., Mondays through Fridays (holidays excepted) and subject to the rules and regulations of the Complex hereinbefore referred to, reasonable quantities of water, gas and electricity suitable for the intended use of the Premises and heat and air conditioning required in Landlord's reasonable judgment (and consistent with the practices of owners of similar first (1st) class buildings in the San Mateo/Foster City/Redwood Shores market area) for the comfortable use and occupation of the Premises for such purposes in a Class-A office.  Tenant agrees that at all times it will cooperate fully with Landlord and abide by all regulations and requirements that Landlord may prescribe for the proper functioning and protection of the building heating, ventilating and air conditioning systems.  Whenever heat generating machines, equipment, or any other devices (including exhaust fans) are used in the Premises by Tenant which affect the temperature or otherwise maintained by the air conditioning system, Landlord shall have the right to install supplementary air conditioning units in the Premises and the costs thereof, including the cost of installation and the cost of operation and maintenance thereof, shall be paid by Tenant to Landlord upon demand by Landlord.  Tenant will not, without the written consent of Landlord, use any apparatus or device in the Premises (including, without limitation), electronic data processing machines or machines using current in excess of 110 Volts which will in any way increase the amount of electricity, gas, water or air conditioning usually furnished or supplies to premises being used as general office space, or connect with electric current (except through existing electrical outlets in the Premises), or with gas or water pipes any apparatus or device for the purposes of using electric current, gas or water.  If Tenant shall require water, gas or electric current in excess of that usually furnished or supplied to premises being used as general office space, Tenant shall first obtain the written consent of Landlord, which consent shall not be unreasonably withheld and Landlord may cause an electric current, gas, or water meter to be installed in the Premises in order to measure the amount of electric current, gas or water consumed for any such excess use.  The cost of any such meter and of the installation, maintenance and repair thereof, all charges for such excess water, gas and electric current consumed (as shown by such meters and at the rates then charged by the furnishing public utility); and any actual and commercially reasonable additional expense incurred by Landlord in keeping account of electric current, gas, or water so consumed shall be paid by Tenant, and Tenant agrees to pay Landlord therefor promptly upon demand by Landlord.

12.TAXES.

A.  As Additional Rent and in accordance with paragraph 4D of this Lease, Tenant shall pay to Landlord Tenant's Proportionate Share of all Real Property Taxes, which prorata share shall be allocated to the leased Premises by square footage or other equitable basis, as calculated by Landlord.  The term "Real Property Taxes", as used herein, shall mean (i) all taxes, assessments, levies and other charges of any kind or nature whatsoever, general and special, foreseen and unforeseen (including all installments of principal and interest required to pay any general or special assessments for public improvements and any increases resulting from reassessments caused by any change in ownership of the Complex) now or hereafter imposed by any government or quasi-governmental authority or special district having the direct or indirect power to tax or levy assessments, which are levied or assessed against, or with respect to the value, occupancy or use of, all or any portion of the Complex (as now constructed or as may at any time hereafter be constructed, altered, or otherwise changed) or Landlord's interest therein; any improvements located within the Complex (regardless of ownership); the fixtures, equipment and other property of Landlord, real or personal, that are an integral part of and located in the Complex; or parking areas, public utilities, or energy within the Complex; (ii) all charges, levies or fees imposed by reason of environmental regulation or other governmental control of the Complex (subject to the provisions of paragraph 43); and (iii) all costs and fees (including attorney's fees) incurred by Landlord in contesting any Real Property Tax and in negotiating with public authorities as to any Real Property Tax.  If at any time during the term of this Lease the taxation or assessment of the Complex prevailing as of the commencement date of this Lease shall be altered so that in lieu of or in addition to any Real Property Tax described above there shall be levied, assessed or imposed (whether by reason of a change in the method of taxation or assessment, creation of a new tax or charge, or any other cause) an alternate or additional tax or charge (i) on the value, use or occupancy of the Complex or Landlord's interest therein or (ii) on or measured by the gross receipts, income or rentals from the Complex, on Landlord's business of leasing the Complex, or computed in any manner with respect to the operation of the Complex, then any such tax or charge, however designated, shall be included within the meaning of the term "Real Property Taxes" for purposes of this Lease.  If any Real Property Tax is based upon property or rents unrelated to the Complex, then only that part of such Real Property Tax that is fairly allocable to the Complex shall be included within the meaning of the term "Real Property Taxes".  Notwithstanding the foregoing, the term "Real Property Taxes" shall not include estate, inheritance, gift or franchise taxes of Landlord or the federal or state net income tax imposed on Landlord's income from all sources.

B.Taxes on Tenant's Property.

(1)Tenant shall be liable for and shall pay ten days before delinquency, taxes levied against any personal property or trade fixtures placed by Tenant in or about the Premises.  If any such taxes on Tenant's personal property or trade fixtures are levied against Landlord or Landlord's property or if the assessed value of the Premises is increased by the inclusion therein of a value placed upon such personal property or trade fixtures of Tenant and if Landlord, after written notice to Tenant, pays the taxes based on such increased assessment, which Landlord shall have the right to do so regardless of the validity thereof, but only under proper protest if requested by Tenant, Tenant shall upon demand, as the case may be, repay to Landlord the taxes so levied against Landlord, or the proportion of such taxes resulting from such increase in the assessment; provided that in any such event Tenant shall have the night, in the name of Landlord and with Landlord's full cooperation, to bring suit in any court of competent jurisdiction to recover the amount of any such taxes so paid under protest, and any amount so recovered shall belong to Tenant.

(2)If any new Tenant improvements in the Premises installed after the commencement date of the Lease, whether installed, and/or paid for by Landlord or Tenant and whether or not affixed to the real property so as to become a part thereof, are assessed for Real Property Tax purposes at a valuation higher than the valuation at which standard office improvements in other space in the Complex are assessed, then the Real Property Taxes and assessments levied against Landlord or the Complex by reason of such excess assessed valuation shall be deemed to be taxes levied against personal property of Tenant and shall be governed by the provisions of 12B, above.  If the records of the County Assessor are available and sufficient detailed to serve as a basis for determining whether said Tenant improvements are assessed at a higher valuation than standard office improvements in other space in the Complex, such records shall be binding on both the Landlord and the Tenant.  If the records of the County Assessor are not available or sufficiently detailed to serve as a basis for making said determination, the actual cost of construction shall be used.

13.LIABILITY INSURANCE.  Tenant, at Tenant's expense, agrees to keep in force during the term of this Lease a policy of commercial general liability insurance or an equivalent program of self-insurance with limits in the amount of $1,000,000/1,000,000 for injuries to or death of persons occurring in, on or about the Premises or the Complex, and property damage insurance with limits of $500,000.  The policy or policies affecting such insurance, certificates of which shall be furnished to Landlord, shall name Landlord as additional insured, and shall insure Landlord, as respects acts or omissions of Tenant, its agents, employees or invitees or otherwise by any conduct or transactions of any of said persons in or about or concerning the Premises, including any failure of Tenant to observe or perform any of its obligations hereunder; shall be issued by an insurance company admitted to transact business in the State of California; and shall provide that the insurance effected thereby shall not be canceled, except upon thirty (30) days' prior written notice to Landlord.  If, during the term of this Lease, in the considered opinion of Landlord's Lender, insurance advisor or counsel, the amount of insurance described in this paragraph 13 is not adequate, Tenant agrees to increase said coverage to such reasonable amount as Landlord's Lender, insurance advisor or counsel shall deem adequate.

14.TENANT'S PERSONAL PROPERTY INSURANCE AND WORKER'S COMPENSATION INSURANCE.  Tenant shall maintain a policy or policies of fire and property damage insurance in "all risk" form with a sprinkler leakage endorsement insuring the personal property, inventory, trade fixtures and leasehold improvements within the leased Premises for the full replacement value thereof.  The proceeds from any of such policies shall be used for the repair or replacement of such items so insured.

Tenant shall also maintain a policy or policies of worker's compensation insurance or an equivalent program of self-insurance as approved by the State of California sufficient to comply with all laws.

15.PROPERTY INSURANCE.  Landlord shall purchase and keep in force and, as Additional Rent and in accordance with Paragraph 4D of this Lease, Tenant shall pay to Landlord Tenant's proportionate share (calculated on a square footage or other equitable basis as calculated by Landlord) of the cost of policy or policies of insurance covering loss or damage to the Premises and Complex in the amount of the full replacement value thereof, providing protection against those perils included within the classification of "special form" insurance and flood and/or earthquake insurance, if available, plus a policy of rental income insurance in the amount of one hundred (100%) percent of twelve (12) months Basic Rent, plus sums paid as Additional Rent.  If such insurance costs is increased due to Tenant's use of Premises or the Complex, Tenant agrees to pay to Landlord the full cost of such increase.  Tenant shall have no interest in nor any right to the proceeds of any insurance procured by Landlord for the Complex.  Landlord and Tenant do each hereby respectively release the other, to the extent of insurance coverage of the releasing party, from any liability for loss or damage caused by fire or any of the extended coverage casualties included in the releasing party's insurance policies, irrespective of the cause of such fire or casualty; provided, however, that if the insurance policy of either releasing party prohibits such waiver, then this waiver shall not take effect until consent to such waiver is obtained.  If such waiver is so prohibited, the insured party affected shall promptly notify the other party thereof.

16.INDEMNIFICATION.  Landlord shall not be liable to Tenant and Tenant hereby waives all claims against Landlord for any injury to or death of any person or damage to or destruction of property in or about the Premises or the Complex, but excluding, however, any such claims for injury or death or damage or destruction caused by the negligence or willful misconduct of Landlord, its agents, servants, employees, invitees, or contractors.  Tenant shall indemnify, hold harmless, and defend Landlord against any and all claims and liabilities, including reasonable attorney's fees, in connection therewith, arising out of any injury to or death of any person or damage to or destruction of property occurring in, on or about the Premises, or any part thereof, caused by Tenant, its agents, servants, employees, invitees or contractors.

17.COMPLIANCE.  Tenant, as its sole cost and expense, shall promptly comply with all laws, statutes, ordinances and governmental rules, regulations or requirements now or hereafter in effect; with the requirements of any board of fire underwriters or other similar body now or hereafter constituted; and with any direction or occupancy certificate issued pursuant to law by - any public officer; provided, however, that no such failure shall be deemed a breach of the provisions if Tenant, immediately upon notification, commences to remedy or rectify said failure.  The judgment of any court of competent jurisdiction or the admission of Tenant in any action against Tenant, whether Landlord be a party thereto or not, that Tenant has violated any such law, statute, ordinance or governmental rule, regulation, requirement, direction or provision, shall be conclusive of that fact as between Landlord and Tenant.  This paragraph shall not be interpreted as requiring Tenant to make structural changes or other improvements to the Premises or the Complex, except to the extent such changes or improvements are required as a result of Tenant's particular use of the Premises.  Tenant shall, at its sole cost and expense, comply with any and all requirements pertaining to said Premises, of any insurance organization or company, necessary for the maintenance of reasonable fire and commercial general insurance covering the Premises.  To the best of Landlord's knowledge, Landlord represents that as of the commencement date of this Lease (a) the restrooms, elevator lobbies, plumbing, mechanical and electrical systems and the common areas of the Complex are in good working order and substantially comply with applicable Codes; and (b) the Premises and the common areas of the Complex are in substantial compliance with all applicable laws, statutes, ordinances and governmental rules, regulations and requirements.

18.LIENS.  Tenant shall keep the Premises and the Complex free from any liens arising out of any work performed, materials furnished or obligation incurred by Tenant.  In the event that Tenant shall not, within ten (10) days following the imposition of such lien, cause the same to be released of record, Landlord shall have, in addition to all other remedies provided herein and by law, the right, but no obligation, to cause the same to be released by such means as it shall deem proper, including payment of the claim giving rise to such lien.  All sums paid by Landlord for such purpose, and all expenses incurred by it in connection therewith, shall be payable to Landlord by Tenant on demand with interest at the then prime rate of interest as quoted by the Bank of America.

19.ASSIGNMENT AND SUBLETTING.  Tenant shall not assign, transfer or hypothecate the leasehold estate under this Lease, or any interest therein, and shall not sublet the Premises, or any part thereof, or any right or privilege appurtenant thereto, or suffer any other person or entity to occupy or use the Premises, or any portion thereof, without, in each case, the prior written consent of Landlord which consent will not be unreasonably withheld or delayed.  Tenant shall have the right to assign this Lease or to sublease to an affiliate or subsidiary of Tenant without Landlord's prior approval, but in each such case Landlord shall be fully notified by Tenant of such assignment or sublease.  As a condition for granting its consent to any subletting, Landlord may require that Tenant agrees to pay to Landlord, as additional rent, all rents received by Tenant from its subtenants in excess of the rent payable by Tenant to Landlord hereunder after Tenant shall have deducted from such excess the value of Tenant's costs (such as commissions, legal fees, tenant improvements (amortized at 10%), free rent and architectural, engineering and permit fees) to sublet the Premises.  Notwithstanding anything herein to the contrary, however, it is hereby agreed that during the first seven (7) years of the Lease term, any sublease 'profit' shall be split 50/50 between Tenant and Landlord.  During the last three (3) years of the Lease term, Landlord shall retain any such sublease profits.  Tenant shall, by ninety (90) days' written notice, advise Landlord of its intent to sublet the Premises or any portion thereof for any part of the term hereof.  In the event Tenant requests to sublet the entire Premises, then upon receipt of said notice, Landlord may, in its sole discretion, elect to terminate this Lease as to the entire Premises on the date specified in Tenant's notice.  In all other instances, Landlord shall deliver its approval or disapproval of such assignment or subletting to Tenant in writing (including, in the case of disapproval, a reasonable basis therefore) within fifteen (15) days following Tenant's written request to sublease and Landlord's receipt of all reasonable, supplemental information requested by Landlord.  In the event Tenant is allowed to assign, transfer or sublet the whole or any part of the Premises, with the prior written consent of Landlord, no assignee, transferee or subtenant shall assign or transfer this Lease, either in whole or in part, or sublet the whole or any part of the premises, without also having obtained the prior written consent of Landlord.  A consent of Landlord to one assignment, transfer, hypothecation, subletting, occupation or use by any other person shall not release Tenant from any of Tenant's obligations hereunder to be deemed to be a consent to any subsequent similar or dissimilar assignment, transfer, hypothecation, subletting, occupation or use by any other person.  Any such assignment, transfer, hypothecation, subletting, occupation or use without such consent shall be void and shall constitute a breach of this Lease by Tenant.  The leasehold estate under this Lease shall not, nor. shall any interest therein, be assignable for any purpose by operation of law without the written consent of Landlord which consent shall not be unreasonably withheld or delayed.  As a condition to its consent, Landlord may require Tenant to pay all reasonable expenses in connection with the assignment (with attorneys' fees not to exceed $2,000.00 for any one assignment), and Landlord may require Tenant's assignee or transferee (or other assignees or transferees) to assume in writing all of the obligations under this Lease and for Tenant to remain liable to Landlord under the Lease.

20.SUBORDINATION AND MORTGAGES.  In the event Landlord's title or leasehold interest is now or hereafter encumbered by a deed of trust, upon the interest of Landlord in the land and buildings in which the demised Premises are located, to secure a loan from a lender (hereinafter referred to as "Lender") to Landlord, Tenant shall, at the request of Landlord or Lender, execute in writing an agreement subordinating its rights under this Lease to the lien of such deed of trust, or, if so requested, agreeing that the lien of Lender's deed of trust shall be or remain subject and subordinate to the rights of Tenant under this Lease, as long as such agreement includes reasonable nondisturbance protections in favor of Tenant.  Notwithstanding any such subordination, Tenant's possession under this Lease shall not be disturbed if Tenant is not in default and so long as Tenant shall pay all rent and observe and perform all of the provisions set forth in this Lease.  Tenant agrees to send to any mortgagees and/or deed of trust holders, by registered mail, a copy of any notice of default served by Tenant upon the Landlord, provided that prior to such notice, Tenant has been notified, in writing (by way of notice of assignment of rents or otherwise) of the addresses of such mortgages and/or deed of trust holders.  Tenant further agrees that if Landlord shall have failed to cure such default within the time provided for in this Lease, any such mortgagees and/or deed of trust holders shall have an additional thirty (30) days within which to cure such default, or if such default is not reasonably susceptible of cure within that time, then such additional time as may be reasonably necessary if within such (30) days, any mortgagee and/or deed of trust holder has commenced and is diligently pursuing the remedies necessary to cure such default, (including but not limited to commencement of foreclosure proceedings), in which event this Lease shall not be terminated when such remedies are being diligently pursued and completed within no more than ninety (90) days from expiration of the thirty (30) day period.

21.ENTRY BY LANDLORD.  Landlord reserves, and shall at all reasonable times upon reasonable notice have, the right to enter the Premises to inspect them; to perform any services to be provided by Landlord hereunder; to submit the Premises to prospective purchasers, mortgagers or tenants; to post notices of nonresponsibility; and to alter, improve or repair the Premises and any portion of the Complex, all without abatement of rent; and may erect scaffolding and other necessary structures in or through the Premises where reasonably required by the character of the work to be performed; provided, however, that the business of Tenant shall be interfered with to the least extent that is reasonably practical.  For each of the foregoing purposes, Landlord shall at all times have and retain a key with which to unlock all of the doors in an emergency in order to obtain entry to the Premises, and any entry to the Premises obtained by Landlord by any of said means, or otherwise, shall not under any circumstances be construed or deemed to be a forcible or unlawful entry into or a detainer of the Premises or an eviction, actual or constructive, of Tenant from the Premises or any portion thereof.  Landlord shall also have the right at any time to change the arrangement or location of entrances or passageways, doors and doorways, and corridors, elevators, stairs, toilets or other public parts of the Complex and to change the name, number or designation by which the Complex is commonly known, and none of the foregoing shall be deemed and actual or constructive eviction of Tenant, or shall entitle Tenant to any reduction of rent hereunder, except to the extent Tenant's access to or use of the Premises is materially impaired thereby.  Landlord acknowledges that there may be certain areas of the Premises to which Landlord may not have keys and to which Landlord must be accompanied by a representative of Tenant except in an emergency.

22.BANKRUPTCY AND DEFAULT.  The commencement of a bankruptcy action or liquidation action or reorganization action or insolvency action or an assignment of or by Tenant for the benefit of creditors, or any similar action undertaken by Tenant, or the insolvency of Tenant, shall, at Landlord's option, constitute a breach of this Lease by Tenant.  If the trustee or receiver appointed to serve during a bankruptcy, liquidation, reorganization, insolvency or similar action elects to reject Tenant's unexpired Lease, the trustee or receiver shall notify Landlord in writing of its election within thirty (30) days after an order for relief in a liquidation action or within thirty (30) days after the commencement of any action.

Within thirty (30) days after court approval of the assumption of this Lease, the trustee or receiver shall cure (or provide adequate assurance to the reasonable satisfaction of Landlord that the trustee or receiver shall cure) any and all previous defaults under the unexpired Lease and shall compensate Landlord for all actual pecuniary loss and shall provide adequate assurance of future performance under said Lease to the reasonable satisfaction of Landlord.  Adequate assurance of future performance, as used herein, includes, but shall not be limited to:  (i) assurance of source and payment of rent, and other consideration due under this Lease; (ii) assurance that the assumption or assignment of this Lease will not breach substantially any provision, such as radius, location, use, or exclusivity provision, in any agreement relating to the above described Premises.

Nothing contained in this section shall affect the existing right of Landlord to refuse to accept an assignment upon commencement of or in connection with a bankruptcy, liquidation, reorganization or insolvency action or an assignment of Tenant for the benefit of creditors or other similar act.  Nothing contained in this Lease shall be construed as giving or granting or creating an equity in the demised Premises to Tenant.  In no event shall the leasehold estate under this Lease, or any interest therein, be assigned by voluntary or involuntary bankruptcy proceeding without the prior written consent of Landlord.  In no event shall this Lease or any rights or privileges hereunder be an asset of Tenant under any bankruptcy, insolvency or reorganization proceedings.

The failure to perform or honor any covenant, condition or representation made under this Lease shall constitute a default hereunder by Tenant upon expiration of the appropriate grace period hereinafter provided.  Tenant shall have a period of five (5) days from the date of written notice from Landlord within which to cure any default in the payment of rental or adjustments thereto.  Tenant shall have a period of ten (10) days from the date of written notice from Landlord within which to cure any other default under this Lease.  Upon an uncured default of this Lease by Tenant, Landlord shall have the following rights and remedies in addition to any other rights or remedies available to Landlord at law or in equity:

(a)The rights and remedies provided for by California Civil Code Section 1951.2, including but not limited to, recovery of the worth at the time of award of the amount by which the unpaid rent for the balance of the term after the time of award exceeds the amount of rental loss for the same period that Tenant proves could be reasonably avoided, as computed pursuant to subsection (b) of said Section 1951.2.

(b)The rights and remedies provided by California Civil Code which allows Landlord to continue the Lease in effect and to enforce all of its rights and remedies under this Lease, including the right to recover rent as it becomes due, for so long as Landlord does not terminate Tenant's right to possession; acts of maintenance or preservation, efforts to relet the Premises, or the appointment of a receiver upon Landlord's initiative to protect its interest under this Lease shall not constitute a termination of Tenant's right to possession.

(c)The right to terminate this Lease by giving notice to Tenant in accordance with applicable law.

(d)[Intentionally omitted]

(e)The right to have a receiver appointed for Tenant upon application by Landlord, to take possession of the Premises and to apply any rental collected from the Premises and to exercise all other rights and remedies granted to Landlord as attorney-in-fact for Tenant pursuant to subparagraph (d) above.

23.ABANDONMENT.  Tenant shall not abandon the Premises at any time during the term of this Lease; and if Tenant shall abandon said Premises, or be dispossessed by the process of law, or otherwise, any personal property belonging to Tenant and left on the Premises shall be deemed to be abandoned, at the option of Landlord, and in accordance with applicable laws, except such property as may be mortgaged to Landlord.

24.DESTRUCTION.  In the event the Premises are destroyed in whole or in part from any cause, Landlord may, at its option:

(a)Rebuild or restore the Premises to their condition prior to the damage or destruction, or

(b)Terminate this Lease.

Provided however, if less than twenty percent (20%) of the rentable square footage of the Premises is destroyed or damaged, then Landlord shall be required to rebuild and restore.

If twenty percent (20%) or more of the Premises is damaged or destroyed, and if Landlord does not give Tenant notice in writing within thirty (30) days from the destruction of the Premises of its election to either rebuild and restore them, or to terminate this Lease, Landlord shall be deemed to have elected to rebuild or restore them, in which event Landlord agrees, at its expense, promptly to rebuild or restore the Premises to their condition prior to the damage or destruction.  Tenant shall be entitled to a reduction in rent while such repair is being made in the proportion that the area of the Premises rendered untenantable by such damage bears to the total area of the Premises.  If, in any event, Landlord does not complete the rebuilding or restoration within one hundred eighty (180) days following the date of destruction (such period of time to be extended by not more than ninety (90) additional days for delays caused by the fault or neglect of Tenant or because of Acts of God, acts of public agencies, labor disputes, strikes, fires, freight embargoes, rainy or stormy weather, inability to obtain materials, supplies or fuels, acts of contractors or subcontractors, or delay of the contractors or subcontractors dues to such causes or other contingencies beyond the control of Landlord), then Tenant shall have the right to terminate this Lease by giving fifteen) (15) days prior written notice to Landlord.  Notwithstanding anything herein to the contrary, Landlord's obligation to rebuild or restore shall be limited to the building and interior improvements constructed by Landlord as they existed as of the commencement date of the Lease and shall not include restoration of Tenant's trade fixtures, equipment, merchandise or any improvements, alterations or additions made by Tenant to the Premises, which Tenant shall forthwith replace or fully repair at Tenant's sole cost and expense provided this Lease is not canceled according to the provisions above.

Unless this Lease is terminated pursuant to the foregoing provisions, this Lease shall remain in full force and effect.  Tenant hereby expressly waives the provisions of Section 1932, Subdivision 2, and Section 1933, Subdivision 4 of the California Civil Code.

In the event that the building in which the Premises are situated is damaged or destroyed to the extent of not less than 33 1/3% of the replacement cost thereof, Landlord may elect to terminate this Lease, whether the Premises be injured or not.  In the event the destruction of the Premises is caused by Tenant, Tenant shall pay the deductible portion of Landlord's insurance proceeds.

25.EMINENT DOMAIN.  If all or any part of the Premises shall be taken by any public or quasipublic authority under the power of eminent domain or conveyance in lieu thereof, this Lease shall terminate as to any portion of the Premises so taken or conveyed on the date when title vests in the condemnor, and Landlord shall be entitled to any and all payment, income, rent, award or any interest therein whatsoever which may be paid or made in connection with such taking or conveyance, and Tenant shall have no claim against Landlord or otherwise for the value of any unexpired term of this Lease.  Notwithstanding the foregoing paragraph, any compensation specifically awarded Tenant for loss of business, Tenant's personal property, moving cost or loss of goodwill, shall be and remain the property of Tenant.

If (i) any action or proceeding is commenced for such taking of the Premises or any part thereof, or if Landlord is advised in writing by any entity or body having the right or power of condemnation of its intention to condemn the Premises or any portion thereof, or (ii)any of the foregoing events occur with respect to the taking of any space in the Complex not leased hereby, or any such spaces so taken or conveyed in lieu of such taking and Landlord shall decide to discontinue the use and operation of the Complex, or decide to demolish, alter or rebuild the Complex, then in any of such events Landlord shall have the right to terminate this Lease by giving Tenant written notice thereof within sixty (60) days of the date of receipt of said written advice, or commencement of said action or proceeding, or taking conveyance, which termination shall take place as of the first to occur of the last day of the calendar month next following the month in which such notice is given or the date on which title to the Premises shall vest in the condemnor.

In the event of such a partial taking or conveyance of the Premises, if the portion of the Premises taken or conveyed is so substantial that the Tenant can no longer reasonably conduct its business, Tenant shall have the privilege of terminating this Lease within sixty (60) days from the date of such taking or conveyance, upon written notice to Landlord of its intention so to do, and upon giving of such notice this Lease shall terminate on the last day of the calendar month next following the month in which such notice is given, upon payment by Tenant of the rent from the date of such taking or conveyance to the date of termination.

If a portion of the Premises be taken by condemnation or conveyance in lieu thereof and neither Landlord nor Tenant shall terminate this Lease as provided herein, this Lease shall continue in full force and effect as to the part of the Premises not so taken or conveyed, and the rent herein shall be apportioned as of the date of such taking or conveyance so that thereafter the rent to be paid by Tenant shall be in the ratio that the area of the portion of the Premises not so taken or conveyed bears to the total area of the Premises prior to such taking.

26.SALE OR CONVEYANCE BY LANDLORD.  In the event of a sale or conveyance of the Complex or any interest therein, by any owner of the reversion then constituting Landlord, the transferor shall thereby be released from any further liability upon any of the terms, covenants or conditions (express or implied) herein contained in favor of Tenant, and in such event, insofar as such transfer is concerned, Tenant agrees to look solely to the responsibility of the successor in interest of such transferor in and to the Complex and this Lease.  This Lease shall not be affected by any such sale or conveyance, and Tenant agrees to attorn to the successor in interest of such transferor.

27.ATTORNMENT TO LENDER OR THIRD PARTY.  In the event the interest of Landlord in the land and buildings in which the leased Premises are located (whether such interest of Landlord is a fee title interest or a leasehold interest) is encumbered by deed of trust, and such interest is acquired by the lender or any third party through judicial foreclosure or by exercise of a power of sale at private trustee's foreclosure sale, Tenant hereby agrees to attorn to the purchaser at any such foreclosure sale and to recognize such purchaser as the Landlord under this Lease, as long as such purchaser recognizes this Lease and Tenant's possession is not disturbed.  in the event the lien of the deed of trust securing the loan from a Lender to Landlord is prior and paramount to the lease, this Lease shall nonetheless continue in full force and effect for the remainder of the unexpired term hereof, at the same rental herein reserved and upon all the other terms, conditions and covenants herein contained.

28.HOLDING OVER.  Any holding over by Tenant after expiration or other termination of the term of this Lease with the written consent of Landlord delivered to Tenant shall not constitute a renewal or extension of the Lease or give Tenant any rights in or to the leased Premises except as expressly provided in this Lease.  Any holding over after the expiration or other termination of the term of this lease, with the consent of Landlord, shall be construed to be a tenancy from month to month, on the same terms and conditions herein specified insofar as applicable except that the monthly Basic Rent shall be increased to an amount equal to one hundred fifty percent (150%) of the monthly Basic Rent required during the last month of the Lease term.

29.CERTIFICATE OF ESTOPPEL.  Tenant shall at any time upon not less than ten (10) days' prior written notice from Landlord execute, acknowledge and deliver to Landlord a statement in writing (i) certifying that this Lease is unmodified and in full force and effect (or, if modified, stating the nature of such modification and certifying that this Lease, as so modified, is in full force and effect) and the date to which the rent and other charges are paid in advance, if any, and (ii) acknowledging that there are not, to Tenant's knowledge, any uncured defaults on the part of Landlord hereunder, or specifying such defaults, if any, are claimed.  Any such statement may be conclusively relied upon by any prospective purchaser or encumbrancer of the Premises.  Tenant's failure to deliver such statement within such time shall be conclusive upon Tenant that this Lease is in full force and effect, without modifications except as may be represented by Landlord; that there are no uncured defaults in Landlord's performance, and that no more that one month's rent has been paid in advance.

30.CONSTRUCTION CHANGES.  it is understood that the description of the Premises and the location of the ductwork, plumbing and other facilities therein are subject to such minor changes as Landlord or Landlord's architect determines to be desirable in the course of construction of the Premises, and no such changes, or any changes in plans for any other portions of the Complex shall affect this Lease or entitle Tenant to any reduction of rent hereunder or result in any liability of Landlord to Tenant.  Landlord does not guarantee the accuracy of any drawings supplied to Tenant and verification of the accuracy of such drawings rests with Tenant.

31.RIGHT OF LANDLORD TO PERFORM.  All terms, covenants and conditions of this Lease to be performed or observed by Tenant shall be performed or observed by Tenant at Tenant's sole cost and expense and without any reduction of rent, except as otherwise set forth herein.  If Tenant shall fail to pay any sum of money, or other rent, required to be paid by it hereunder or shall fail to perform any other term or covenant hereunder on its part to be performed, and such failure shall continue for five (5) days after written notice thereof by Landlord, Landlord, without waiving or releasing Tenant from any obligation of Tenant hereunder, may, but shall not be obligated to, make any such payment or perform any such other term or covenant on Tenant's part to be performed.  All sums so paid by Landlord and all necessary costs of such performance by Landlord together with interest thereon at the rate of the prime rate of interest per annum as quoted by the Bank of America from the date of such payment of performance by Landlord, shall be paid (and Tenant covenants to make such payment) to Landlord or demand by Landlord, and Landlord shall have (in addition to any other right or remedy of Landlord) the same rights and remedies in the event of non payment by Tenant as in the case of failure by Tenant in the payment of rent hereunder.

32.ATTORNEYS FEES.

A.In the event that Landlord should bring suit for the possession of the Premises, for the recovery of any sum due under this Lease, or because of the breach of any provision of this Lease, or for any other relief against Tenant hereunder, then all costs and expenses, including reasonable attorney's fees, incurred by the prevailing party therein shall be paid by the other party, which obligation on the part of the other party shall be deemed to have accrued on the date of the commencement of such action and shall be enforceable whether or not the action is prosecuted to judgement.

B.Should Landlord be named as a defendant in any suit brought against Tenant in connection with or arising out of Tenant's occupancy hereunder, and as long as Landlord is not alleged to be responsible by its actions or omissions for the damages claimed in such suit, Tenant shall pay to Landlord its costs and expenses incurred in such suit, including a reasonable attorney's fee.

33.WAIVER.  The waiver by either party of the other party's failure to perform or observe any term, covenant or condition herein contained to be performed or observed by such waiving party shall not be deemed to be a waiver of such term, covenant or condition or of any subsequent failure of the party failing to perform or observe the same or any other such term, covenant or condition therein contained, and no custom or practice which may develop between the parties hereto during the term hereof shall be deemed a waiver of, or in any way affect, the right of either party to insist upon performance and observance by the other party in strict accordance with the terms hereof.

34.NOTICES.  All notices, demands, requests, advices or designations which may be or are required to be given by either party to the other hereunder shall be in writing.  All notices, demands, requests, advices or designations by Landlord to Tenant shall be sufficiently given, made or delivered if personally served on Tenant by leaving the same at the Premises or if sent by United States certified or registered mail, postage prepaid, addressed to Tenant at the Premises.  All notices, demands, requests, advices or designations by Tenant to Landlord shall be sent by United States certified or registered mail, postage prepaid, addressed to Landlord at its offices at 1875 South Grant Street, San Mateo, California, 94402.  Each notice, request, demand advice or designation referred to in this paragraph shall be deemed received on the date of the personal service or mailing thereof in the manner herein provided, as the case may be.

35.EXAMINATION OF LEASE.  Submission of this instrument for examination or signature by Tenant does not constitute a reservation of or option for a lease, and this instrument is not effective as a lease or otherwise until its execution and delivery by both Landlord and Tenant.  Landlord and Tenant mutually intend that neither shall have any binding contractual obligations to the other with respect to the matters referred to herein unless and until this instrument has been fully executed by both parties.

36.DEFAULT BY LANDLORD.  Landlord shall not be in default unless Landlord fails to perform obligations required of Landlord within a reasonable time, but in no event earlier than thirty (30) days after written notice by Tenant to Landlord and to the holder of any first mortgage or deed of trust covering the Premises whose name and address shall have heretofore been furnished to Tenant in writing, specifying wherein Landlord has failed to perform such obligations; provided, however, that if the nature of Landlord's obligations is such than more than thirty (30) days are required for performance, then Landlord shall not be in default if Landlord commences performance within such thirty (30) day period and thereafter diligently prosecutes the same to completion within no more than ninety (90) days following expiration of the thirty (30) day period.

37.CORPORATE AUTHORITY.

If Tenant is a corporation (or a partnership) each individual executing this Lease on behalf of said corporation (or partnership) represents and warrants that he is duly authorized to execute and deliver this Lease on behalf of said corporation (or partnership) in accordance with the by-laws of said corporation (or partnership in accordance with the partnership agreement) and that this Lease is binding upon said corporation (or partnership) in accordance with its terms.  If Tenant is a corporation, Tenant shall, within thirty (30) days after execution of this Lease, deliver to Landlord a certified copy of the resolution of the Board of Directors of said corporation authorizing or ratifying the execution of this Lease.

38.[this paragraph is deleted]

39.LIMITATION OF LIABILITY.  In consideration of the benefits accruing hereunder, Tenant and all successors and assigns covenant and agree that, in the event of any actual or alleged failure, breach or default hereunder by Landlord:

(i) the sole and exclusive remedy shall be against Landlord and Landlord's assets;

(ii) no partner of Landlord shall be sued or named as a party in any suit or action (except as may be necessary to secure jurisdiction of the partnership)

(iii) no service of process shall be made against any partner of Landlord (except as may be necessary to secure jurisdiction of the partnership)

(iv) no partner of Landlord shall be required to answer or otherwise plead to any service of process;

(v) no judgement shall be taken against any partner of Landlord;

(vi) any judgement taken against any partner of Landlord may be vacated and set aside at any time without hearing;

(vii) no writ of execution will ever be levied against the assets of any partner of Landlord;

(viii) these covenants and agreements are enforceable both by Landlord and also by any partner of Landlord.

(ix) The term, "Landlord", as used in this section, shall mean only the owner or owners from time to time of the fee title or the tenant's interest under a ground lease of the land described in Exhibit "B", and in the event of any transfer of such title or interest, Landlord herein named (an d in case of any subsequent transfers the then grantor) shall be relieved from and after the date of such transfer of all liability as respects Landlord's obligations thereafter to be performed, provided that any funds in the hands of Landlord or the then grantor at the time of such transfer, in which Tenant has an interest, shall be delivered to the grantee.  Similarly, the obligations contained in this Lease to be performed by Landlord shall be binding on Landlord's successors and assigns only during their respective period of ownership.  Tenant agrees that each of the foregoing covenants and agreements shall be applicable to any covenant or agreement either expressly contained in this Lease or imposed by statute or at common law.

40.BROKERS.  Tenant warrants that it had dealing with only of the following real estate brokers or agents in connection with the negotiation of this Lease:     CB Richard Ellis     and that it knows of no other real estate broker or agent who is entitled to a commission in connection with this Lease.  In the event a Lease is mutually signed by Landlord and Tenant, CB Richard Ellis, as Tenant's exclusive agent shall be paid a real estate commission equal to $1.50 per rentable square foot, per year for years 1-5 of the lease term and $0.50 per rentable square foot, per year for years 6-10 of the lease term.  Such commission shall be paid to CB Richard Ellis by both Landlord and Siebel Systems, Inc. according to the following schedule:
$8.38 per rentable square foot to be paid by Siebel Systems, Inc. 

$1.62 per rentable square foot to be paid by Landlord.

Such commission shall be due and payable one-half (1/2) upon Lease execution and one-half (1/2) upon the commencement date of the Lease.

41.SIGNS.  Subject to the provisions of Paragraph 9b) above, No sign, placard, picture, advertisement, name or notice shall be inscribed, displayed, printed or affixed on or to any part of the outside of the Premises or any exterior windows of the Premises without the written consent of Landlord first had and obtained and Landlord shall have the right to remove any such sign, placard, picture, advertisement, name or notice without notice to and at the expense of Tenant.  If Tenant is allowed to print or affix or in any way place a sign in, on, or about the Premises, then upon expiration or other sooner termination of this Lease, Tenant at Tenant's sole cost and expense shall both remove such sign and repair all damage in such manner as to restore all aspects of the appearance of the Premises to the condition prior to the placement of said sign.

All approved signs or lettering on outside doors shall be printed, painted, affixed or inscribed at the expense of Tenant by a person approved of by Landlord.  Tenant shall not place anything or allow anything to be placed near the glass of any window, door partition or wall which may appear unsightly from outside the Premises.

42.FINANCIAL STATEMENTS.  In the event Tenant tenders to Landlord any information on the financial stability, credit worthiness or ability of the Tenant to pay the rent due and owing under the Lease, then Landlord shall be entitled to rely upon the information provided in determining whether or not to enter into this Lease Agreement with Tenant and Tenant hereby represents and warrants to Landlord the following: (i) That all documents provided by Tenant to Landlord are true and correct copies of the original; and (ii) Tenant has not withheld any information from Landlord which is material to Tenant's credit worthiness, financial condition or ability to pay the rent; and (iii) all information supplied by Tenant to Landlord is true, correct and accurate; and (iv) no part of the information supplied by Tenant to Landlord contains misleading or fraudulent statements.

A default under this paragraph shall be a non-curable default on behalf of Tenant and Landlord shall be entitled to pursue any right or remedy available to Landlord under the terms of this Lease or available to Landlord under the laws of the State of California.

43.HAZARDOUS MATERIALS.

A.As used herein, the term "Hazardous Material" shall mean any substance or material which has been determined by any state, federal or local governmental authority to be capable of posing a risk of injury to health, safety or property including all of those materials and substances designated or defined as "hazardous" or "toxic" by (i) the Environmental Protection Agency, the California Water Quality Control Board, the Department of Labor, the California Department of Industrial Relations, the Department of Transportation, the Department of Agriculture, the Consumer Product Safety Commission, the Department of Health and Human Services, the Food and Drug Agency or any other governmental agency now or hereafter authorized to regulate materials and substances in the environment, or by (ii) the Comprehensive Environmental Response, Compensation and Liability Act of 1980, 42 U.S.C. 9601 et seq., as amended; the Hazardous Materials Transportation Act, 49 U.S.C. 1801, et seq., as amended; the Resource Conservation and Recovery Act, 42 U.S.C. 6901, et seq., as amended; the Hazardous Waste Control Law, California Health & Safety Code 25100 et seq., as amended; Sections 66680 through 66685 of Title 22 of the California Administration Code, Division 4, Chapter 30, as amended; and in the regulations adopted and publications promulgated pursuant to said laws.

B.Tenant shall not cause or permit any Hazardous Material to be improperly or illegally used, stored, discharged, released or disposed of in, from, under or about the Premises or the Complex, or any other land or improvements in the vicinity of the Premises or the Complex.  Without limiting the generality of the foregoing, Tenant, at its sole cost, shall comply with all laws relating to Tenant's use, storage, handling, etc.  of Hazardous Materials within the Premises.  If the presence of Hazardous Materials on the Premises or the Complex caused by Tenant results in contamination of the Premises or the Complex or any soil or about the Premises or the Complex, Tenant, at its expense shall promptly take all actions necessary to return the Premises or the Complex to the condition existing prior to the appearance of such Hazardous Material.  The termination of this Lease shall not terminate or reduce the liability or obligation of Tenant under this Section, or as may be required by law, to clean up, monitor or remove any Hazardous Materials from the Premises or the Complex.

Tenant shall defend, hold harmless and indemnify Landlord and its agents and employees with respect to all claims, damages and liabilities arising out of or in connection with any Hazardous Material used, stored, discharged, released or disposed of in, from, under or about the Premises or the Complex, where said Hazardous Material is or was attributable to the activities of Tenant or its agents during the Lease term and whether or not Tenant had knowledge of such Hazardous Material, including, without limitation, any cost of monitoring or removal, any reduction in the fair market value or fair rental value of the Premises or the Complex and any loss, claim or demand by any third person or entity relating to bodily injury or damage to real or personal property arising from Tenant's use, storage, handling, etc. of Hazardous Materials.

Tenant shall not suffer any lien to be recorded against the premises or the Complex as a consequence of a Hazardous Material, including any so called state, federal or local "super fund" lien related to the "clean up" of a Hazardous Material in or about the Premises, where said Hazardous Material is or was attributable to the activities of Tenant.

C.In the event Hazardous Materials are discovered in or about the Premises or the Complex, and Landlord has substantial reason to believe that Tenant was responsible for the presence of the Hazardous Material, then Landlord shall have the right to appoint a consultant, at Tenant's expense, to conduct an investigation to determine whether Hazardous Materials are located in or about the Premises or the Complex and to determine the corrective measures, if any, required to remove such Hazardous Materials.  Tenant, at its expense, shall comply with all reasonable recommendations of the consultant, as required by law.  To the extent it is determined that Tenant was not responsible for the presence of the Hazardous Materials, then Landlord shall reimburse Tenant for any reasonable costs incurred by Landlord and paid by Tenant under the terms of this paragraph 43.C.

Tenant shall immediately notify Landlord of any inquiry, test, investigation or enforcement proceeding by or against Tenant or the Premises or the Complex concerning a Hazardous Material.  Tenant acknowledges that Landlord, as the owner of the Property, at its election, shall have the sole right, at Tenant's expense, to negotiate, defend, approve and appeal any action taken or order issued with regard to a Hazardous Material by an applicable governmental authority.  Provided Tenant is not in default under the terms of this Lease, Tenant shall likewise have the right to participate in any negotiations, approvals or appeals of any actions taken or orders issued with regard to the Hazardous Material and Landlord shall not have the right to bind Tenant in said actions or orders.

D.It shall not be unreasonable for Landlord to withhold its consent to any proposed assignment or subletting if (i) the proposed assignee's or subtenant's anticipated use of the Premises involves the storage, use or disposal of Hazardous Material in amounts substantially greater than storage, use and disposal typical for general office uses; (ii) if the proposed assignee or subtenant has been required by any prior landlord, lender or governmental authority to "clean up" Hazardous Material; (iii) if the proposed assignee or subtenant is subject to investigation or enforcement order or proceeding by any governmental authority in connection with the use, disposal or storage of a Hazardous Material.

E.Tenant shall surrender the Premises to Landlord, upon the expiration or earlier termination of the Lease, free of Hazardous Materials which are or were attributable to Tenant.  If Tenant fails to so surrender the Premises, Tenant shall indemnify and hold Landlord harmless from all damages resulting from Tenant's failure to surrender the Premises as required by this paragraph, including, without limitation, any claims or damages in connection with the condition of the Premises including, without limitation, damages occasioned by the inability to relet the Premises or a reduction in the fair market and/or rental value of the Premises or the Complex by reason of the existence of any Hazardous Materials, which are or were attributable to the activities of Tenant, in or around the Premises or the Complex.  Notwithstanding any provision to the contrary in this Lease, if any action is required to be taken by a governmental authority to clean-up, monitor or remove any Hazardous Materials, which are or were attributable to the activities of Tenant, from the Premises or the Complex and such action is not completed prior to the expiration or earlier termination of the Lease, then at Tenant's election, either (i) the Lease shall terminate but Tenant shall be responsible for the rental payments at the Fair Market Rental rate set forth in Paragraph 2 above if the Premises are not rented during the period commencing on the expiration date of the Lease and ending on the date the clean-up, monitoring or removal is completed, or (ii) this Lease shall be deemed renewed at the Fair Market Rental rate set forth in Paragraph 2 above for a term commencing on the expiration date of this Lease and ending on the date the clean-up, monitoring or removal procedure is completed (provided, however, that the total term of this Lease shall not be longer than 34 years and 11 months).

F.Upon the Lease Commencement Date, Tenant shall provide to Landlord a complete list of all chemicals, toxic waste or Hazardous Materials employed by Tenant within the Premises.  Throughout the terms of the Lease, Tenant shall continue to update this list of chemicals, contaminants and Hazardous Materials, at Landlord's request.

G.Landlord hereby affirms that to the best of Landlord's knowledge, without a duty to inspect, there are no hazardous materials issues affecting the Complex.

44.MISCELLANEOUS AND GENERAL PROVISIONS.

A.Tenant shall not, without the written consent of Landlord, use the name of the building for any purpose other than as the address of the business conducted by Tenant in the Premises.

B.This Lease shall in all respects be governed by and construed in accordance with the laws of the State of California.  If any provision of this Lease shall be invalid, unenforceable or ineffective for any reason whatsoever, all other provisions hereof shall be and remain in full force and effect.

C.The term "Premises" includes the space leased hereby and any improvements now or hereafter installed therein or attached thereto.  The term "Landlord" or any pronoun used in place thereof includes the plural as well as the singular and the successors and assigns of Landlord.  The term "Tenant" or any pronoun used in place thereof includes the plural as well as the singular and individuals, firms, associations, partnerships and corporations, and each of their respective heirs, executors, administrators, successors and permitted assigns, according to the context hereof, and the provisions of this Lease shall inure to the benefit of and bind such heirs, executors, administrators, successors and permitted assigns.

The term "person" includes the plural as well as the singular and individuals, firms, associations, partnerships and corporations.  Words used in any gender include other genders.  If there be more than one Tenant the obligations of Tenant hereunder are joint and several.  The paragraph headings of this Lease are for convenience of reference only and shall have no effect upon the construction or interpretation of any provision hereof.

D.Time is of the essence of this Lease and of each and all of its provisions.

E.At the expiration or earlier termination of this Lease, Tenant shall execute, acknowledge and deliver to Landlord, within ten (10) days after written demand from Landlord to Tenant, any quitclaim deed or other document required by any reputable title company, licensed to operate in the State of California, to remove the cloud or encumbrance created by this Lease from the real property of which Tenant's Premises are a part.

F.This instrument along with any exhibits and attachments hereto constitutes the entire agreement between Landlord and Tenant relative to the Premises and this agreement and the exhibits and attachments may be altered, amended or revoked only by an instrument in writing signed by both Landlord and Tenant.  Landlord and Tenant hereby agree that all prior or contemporaneous oral agreements between and among themselves and the agents or representatives relative to the leasing of the Premises are merged in or revoked by this agreement.

G.Neither Landlord nor Tenant shall record this Lease or a short form memorandum hereof without the consent of the other.

H.Tenant further agrees to execute any amendments required by a lender to enable Landlord to obtain financing, so long as Tenant's rights hereunder are not substantially affected.

I.Clauses, plats and riders, if any, signed by Landlord and Tenant and endorsed on or affixed to this Lease are a part hereof.

J.Tenant covenants and agrees that no diminution or shutting off of light, air or view by any structure which may be hereafter erected (whether or not by Landlord) shall in any way affect this Lease, entitle Tenant to any reduction of rent hereunder or result in any liability of Landlord to Tenant.

45.RIGHT OF FIRST OFFER.

Exhibit C shows one suite on the eighth floor and two adjacent suites on the seventh floor of the j Building located at 1825 South Grant Street, San Mateo, California (and hereinafter referred to as the "Offered Suites").  The Offered Suites are identified on Exhibit C by number and are as follows:

	
Suite 800
	
Rentable Square feet
	
5,571 (the portion of 8th floor not leased by Tenant)

	
Suite 700
	
Rentable Square feet
	
12,760

	
Suite 710
	
Rentable Square Feet
	
4,404

During the term of the Lease and provided Tenant is not in default under any of the terms, covenants, or conditions of this Lease, Landlord hereby grants to Tenant the Right of First Offer to lease Suites 800 (the portion of 8th floor not leased by Tenant), 700 and 710 on the seventh floor of 1825 South Grant Street, San Mateo, San Mateo County, California.  Tenant's Right of First Offer shall be upon and subject to the following terms and conditions:

a)Tenant's right to lease each or all of the Offered Suites shall be the right to accept a proposal by Landlord for such Suite.  Landlord shall notify Tenant in writing of the availability of the space and shall tender to Tenant the terms under which Landlord would lease the space to Tenant.  The terms shall include the rent, increases in rent, the term, the tenant improvement allowance, if any, and the like.  Tenant shall have 10 days within which to accept the proposal made by Landlord.

b)In the event Tenant does not accept the proposal by Landlord then Landlord agrees it will not lease the Offered Suite to another tenant on terms that are more favorable than those proposed to Tenant without first offering the more favorable terms to Tenant and allowing Tenant five (5) business days within which to accept the more favorable terms.

c)In the event Tenant fails to accept the proposal from Landlord to lease the Offered Suite then with respect to the Offered Suite Tenant's rights under this Paragraph 45 shall be void and Landlord shall have no further obligation to Tenant with respect to the Offered Suite.

d)It is specifically agreed that Landlord shall have the right to extend the term of Lease for existing tenants which occupy Suite 700 (but not Suites 800 or 710) without first offering Tenant the applicable Suite for lease.

46.ROOFTOP ANTENNA INSTALLATION.  Landlord does herein consent to Tenant's installation of a rooftop antenna dish or similar telecommunications equipment at the 1825 South Grant Street Building subject to the following conditions:

a)Tenant warrants that the installation of said rooftop antenna shall be in a location so as not to obstruct or interfere in any way with the transmission equipment that has already been installed on the roofs of both the 1825 and 1875 South Grant Street Buildings, and Landlord reserves the right to require Tenant to relocate the rooftop antenna from time to time, which relocation shall be at Landlord's costs if requested by Landlord to accommodate another Tenant or user in the Building, but shall be at Tenant's cost if required by governmental regulation.  All costs of installation shall be at Tenant's sole cost and expense, and Tenant shall remove the rooftop antenna and all associated wiring prior to the expiration of Tenant's Lease and repair any and all damage caused by the removal.  The rooftop antenna shall not be visible from anywhere in the parking lot of the Complex, and may only be mounted on the roof and not on the 'penthouse' structure.

b)Tenant shall hold harmless and defend Landlord against any and all expenses, including reasonable attorney fees, in connection therewith arising out of any injury to or death of any person or damage to or destruction of property, including, without limitation, electric or wireless voice, data and/or video transmission, occurring in on or about Tenant's rooftop antenna, or any part thereof, resulting from the installation, use, maintenance or repair of Tenant's rooftop antenna.

c)Tenant's installation of said rooftop antenna shall be for the exclusive use of Tenant.

47.DISCLOSURE.  Tenant hereby agrees not to disclose the terms and conditions of this Lease to any unrelated third party except to the extent necessary for the normal conduct of Tenant's business.

[REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK]

IN WITNESS WHEREOF, Landlord and Tenant have executed and delivered this Lease as of the day and year first above written.

	
CROSSROADS ASSOCIATES,

a California general partnership

By:  /s/  Richard M. Jacobsen

Title:  Partner

	
CATHOLIC HEALTHCARE WEST,

a California Non-Profit Public Benefit Corporation

By:  /s/   Stephen Hargett

Title:  Vice President, Financial Operations

	
CLOCKTOWER ASSOCIATES,

A California general partnership

By:  /s/  W. Gregory Osborn

Title:  Partner

	 

EXHIBIT A1

[DIAGRAM OF PREMISES]

EXHIBIT A2

[DIAGRAM OF PREMISES]

EXHIBIT B

[DIAGRAM OF COMPLEX]

EXHIBIT C

"OFFERED SUITES"

[DIAGRAM OF OFFERED SUITES]

RULES AND REGULATIONS OF THE BUILDING

1

Subject to Tenant's signage rights under the Lease, No sign, placard, picture, advertisement, name or notice shall be inscribed, displayed or printed or affixed on or to any part of the outside of the Premises or any exterior windows of the Premises without the written consent of Landlord first had and obtained and Landlord shall have the right to remove any such sign, placard, picture, advertisement, name or notice without notice to and at the expense of Tenant.

All approved signs or lettering on outside doors shall be printed, painted, affixed or inscribed at the expense of Tenant by a person approved of by Landlord.

Tenant shall not place anything or allow anything to be placed near the glass of any window, door partition or wall which may appear unsightly from outside the Premises.

2

Tenant shall not occupy or permit any portion of the Premises to be occupied for the manufacture or sale of liquor, narcotics or tobacco in any form.

3

The bulletin board or directory of the Premises will be provided for the display of the number and location of Tenant, and Landlord will provide directory service to a reasonable extent for Tenant at initial occupancy.  Changes thereafter shall be at Tenant's expense.

4

The sidewalks, passages, exits, entrances, elevators and stairways shall not be obstructed by Tenant or used by it for any purpose other than ingress to and egress from its Premises.  The passages, exists, entrances, stairways, balconies and roof are not for the use of the general public and Landlord shall in all cases retain the right to control and prevent access thereto by all persons whose presence in the reasonable judgement of Landlord shall be prejudicial to the safety, character, reputation and interests of the Premises and its tenants, provided that nothing herein contained shall be construed to prevent such access to persons with whom Tenant normally deals in the ordinary course of Tenant's business unless such persons are engaged in illegal activities.  Subject to Tenant's rights under the Lease, Tenant, employees or invitees of Tenant shall not go upon the roof of the Premises.

5

The toilet rooms, urinals, wash bowls and other apparatus shall not be used for any purpose other than that for which they were constructed and no foreign substance of any kind whatsoever shall be thrown therein and the expense of any breakage, stoppage or damage resulting from the violation of this rule shall be borne by tenant who, or whose employees or invitees shall have caused it.

6

Tenant shall not overload the floor of the Premises or in any way deface the Premises or any part thereof

7

Landlord shall have the right to prescribe the weight, size and position of all safes and other heavy equipment brought into the Premises and also the times and manner of moving the same in and out of the Premises.  Safes or other heavy objects shall, if considered necessary by Landlord, slant on wood strips of such thickness as is necessary to properly distribute the weight.  Landlord will not be responsible for loss of or damage to any such safe or property from any cause and all damage done to the Premises by moving or maintaining any such safe or other property shall be repaired at the expense of Tenant.

8

Tenant shall not employ any person or persons other than the Janitor of Landlord or Tenant's personnel for the purpose of cleaning the Premises unless otherwise agreed to by Landlord.  Tenant shall not cause any unnecessary labor by reason of Tenant's carelessness or indifference in the preservation of good order and cleanliness.

9

Tenant shall not use, keep or permit to be used or kept any foul or noxious gas or substance in the Premises, or permit or suffer the Premises to be occupied or used in a manner offensive or objectionable to Landlord or other occupant of the Premises by reason of noise, odors and/or vibrations, or interfere in any way with other tenant or those having business therein, nor shall any animals or birds with the exception of Dog Guides for the blind, be brought in or kept about the Premises.

10

No cooking shall be done or permitted by Tenant on the Premises, other than microwave cooking in the breakrooms, nor shall the Premises be used for the storage of merchandise for washing clothes, for lodging, or for any improper, objectionable or immoral purposes.

11

Landlord will direct electrician as to where and how telephone and telegraph wires are to be introduced.  No boring or cutting for wires will be allowed without the consent of Landlord, which shall not be unreasonably withheld or delayed.  The location of telephones, call boxes and other office equipment affixed to the Premises shall be subject to the approval of Landlord, which shall not be unreasonably withheld or delayed.

12

Tenant upon the termination of the tenancy, shall deliver to Landlord the keys of offices, rooms and toilet rooms which have been furnished the Tenant or which Tenant shall have had made, and in the event of loss of any keys so furnished, shall pay Landlord therefor.

13

Tenant shall see that the doors of the Premises are closed and securely locked before leaving the Premises and must observe strict care and caution that all water faucets or water apparatus within the Premises are entirely shut off before Tenant or Tenant's employees leave the Premises, and that all electricity shall likewise be carefully cut off, so as to prevent waste or damage.

14

Landlord reserves the right to exclude or expel from the Premises any person who, in the judgement of Landlord, is intoxicated or under the influence of liquor or drugs, or who shall in any manner do any act in violation of any of the rules and regulations of the Premises.

15

The requirements of Tenant will be attended to only upon application to Landlord at 1875 South Grant Street, Suite 100, San Mateo, CA 94402.  Employees of Landlord shall not perform any work or do anything outside of the regular duties unless under special instructions from Landlord.

16

Landlord shall have the right, exercisable without notice and without liability to Tenant, to change the name and the street address of the Premises and/or Complex, provided however, if the street address is changed Landlord will reimburse tenant for all reasonable costs and expenses incurred by Tenant as a result thereof, such as costs for replacement stationery, notices to vendors/customers, and the like.

17

Tenant shall not disturb, solicit, or canvass any occupant of the Premises and shall cooperate to prevent same.

18

Tenant and its employees shall park their vehicles only in those portions of the parking areas so designated by Landlord.  Tenant agrees to assume responsibility for compliance by its employees with the parking provision contained herein.  If Tenant or its employees park in other than such designated parking areas then Landlord may charge Tenant, as an additional charge, and Tenant agrees to pay, Ten Dollars ($10.00) per day for each day or partial day each such vehicle is parked in any area other than that designated.  Tenant hereby authorizes Landlord at Tenant's sole expense after reasonable advance notice and warning to Tenant, to tow away from the Complex any vehicle belonging to Tenant or Tenant's employees parked in violation of these provisions, or to attach violation stickers or notices to such vehicle.  Tenant shall use the parking areas for vehicle parking only, and shall not use the parking areas for storage.

	
Landlord's initials

__________________
	
Tenant's initials

__________________

EXHIBIT C

SIEBEL NOTE

PROMISSORY NOTE

SECURED BY LETTER OF CREDIT

$6,508,295.08

February, 2003

San Mateo, California

FOR VALUE RECEIVED, SIEBEL SYSTEMS, INC., a Delaware corporation, as maker, having its principal place of business at 1825 South Grant Street, San Mateo, California 94402 ("Maker"), hereby unconditionally promises to pay to the order of CROSSROADS ASSOCIATES AND CLOCKTOWER ASSOCIATES ("Holder"), c/o Osborn Capital Management, 1875 South Grant Street, Suite 100, San Mateo, California 94402, Attention: Greg Osborn, or at such other place as the holder hereof may from time to time designate in writing, the principal sum of Six Million Five Hundred Eight Thousand Two Hundred Ninety-Five and 08/100 Dollars ($6,508,295.08) in lawful money of the United States of America.  This Note evidences the obligation of Maker to make payments to the Holder in consideration for Holder entering into the transactions described in the Transaction Agreement between Maker and Holder dated February, 2003 (the "Agreement").

ARTICLE 1:  PAYMENT TERMS

Maker agrees to pay sums under this Note on each of the dates and in the amounts shown on the schedule attached hereto as Exhibit A.

ARTICLE 2:  DEFAULT

Time is of the essence hereof and it is expressly agreed that if Maker shall fall to make any payment under this Note on or before the date the same is due (an "Event of Default"), then Holder shall have the right, but not the obligation, in addition to all other remedies available to it at law or in equity, to draw upon the Letter of Credit pursuant to the ten-ns thereof for all amounts payable by the Maker hereunder (the "Debt").

ARTICLE 4:  DEFAULT INTEREST

Maker agrees that upon the occurrence of an Event of Default, Holder shall be entitled to receive and Maker shall pay interest ("Interest") on the entire unpaid principal sum at a per annum rate equal to the lesser of (a) the prime rate announced as such from time to time by the Bank of America NTSA, or its successor, plus four percent (4%) and (b) the maximum interest rate allowed by law (the "Default Rate").  The Default Rate shall be computed from the occurrence of the Event of Default until the earlier of the date upon which the Event of Default is cured or the date upon which all amounts due hereunder have been paid in full.  Interest calculated at the Default Rate shall be added to the Debt, and shall be deemed secured by the Letter of Credit but shall not itself incur interest.  This clause, however, shall not be construed as an agreement or privilege to extend the date of the payment of the Debt, nor as a waiver of any other right or remedy accruing to Holder by reason of the occurrence of any Event of Default.

ARTICLE 5: LATE CHARGE

If any monthly installment payable under this Note is not paid by Maker on or before the date that the same is due, Maker shall pay to Holder, upon demand, an amount equal to two percent (2%) of such unpaid sum to defray the expenses incurred by Holder in handling and processing the delinquent payment (the "Late Charge") and to compensate Holder for tile loss of the use of the delinquent payment and the amount shall be secured by the Letter of Credit.

ARTICLE 6:  NO PREPAYMENT

Maker may not pay all or a portion of the amount owed earlier than it is due.

ARTICLE 7:  SECURITY

This Note is secured by an Irrevocable Letter of Credit in the principal initial stated amount of Six Million Five Hundred Nine Thousand Two Hundred Ninety-Five and 08/100 Dollars ($6,509,295.08) (the "Letter of Credit"), including any extensions, renewals or replacements thereof

ARTICLE 8:  LOAN CHARGES

This Note is subject to the express condition that at no time shall Maker be obligated or required to pay interest on the principal balance due hereunder at a rate which could subject Holder to either civil or criminal liability as a result of being in excess of the maximum interest rate which Maker is permitted by applicable law to contract or agree to pay.  If by the terms of this Note, Maker is at any time required or obligated to pay interest on the principal balance due hereunder at a rate in excess of such maximum rate, the rate in question shall be deemed to be immediately reduced to such maximum rate and all previous payments in excess of the maximum rate shall be deemed to have been payments in reduction of principal and not on account of the interest due hereunder.  All sums paid or agreed to be paid to Holder for the use, forbearance, or detention of the Debt, shall, to the extent permitted by applicable law, be amortized, prorated, allocated, and spread throughout the full stated term of the Note until payment in full so that the rate or amount of interest on account of the Debt does not exceed the maximum lawful rate of interest from time to time in effect and applicable to the Debt for so long as the Debt is outstanding.

ARTICLE 9:  WAIVERS

Maker and all others who may become liable for the payment of all or any part of the Debt do hereby severally waive presentment and demand for payment, notice of dishonor, protest and notice of protest and non-payment and all other notices of any kind, except for notices expressly provided for in this Note.  No release of any security for the Debt or extension of time for payment of this Note or any installment hereof, and no alteration, amendment or waiver of any provision of this Note made by agreement between Holder or any other person or party shall release, modify, amend, waive, extend, change, discharge, terminate or affect the liability of Maker, and any other person or entity who may become liable for the payment of all or any part of the Debt, under this Note.  No notice to or demand on Maker shall be deemed to be a waiver of the obligation of Maker or of the right of Holder to take further action without further notice or demand as may be provided for in this Note, If Maker is a partnership, corporation or limited liability company, the agreements contained herein shall remain in full force and effect, notwithstanding any changes in the individuals or entities comprising the Maker, and the term "Maker", as used herein, shall include any alternate or successor entity, but any predecessor entity, and its partners or members, as the case may be, shall not thereby be released from any liability.

ARTICLE 10:  WAIVER OF TRIAL BY JURY

MAKER HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, THE RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM, WHETHER IN CONTRACT, TORT OR OTHERWISE, RELATING DIRECTLY OR INDIRECTLY TO THE LOAN EVIDENCED BY THIS NOTE, THIS NOTE, THE LETTER OF CREDIT OR ANY ACTS OR OMISSIONS OF HOLDER, ITS OFFICERS, EMPLOYEES, DIRECTORS OR AGENTS IN CONNECTION THEREWITH.

ARTICLE 11:  AUTHORITY

Maker represents that Maker has full power, authority and legal right to execute and deliver this Note and that this Note constitutes the valid and binding obligation of Maker.

ARTICLE 12:  GOVERNING LAW

This Note shall be governed, construed, applied and enforced in accordance with the laws of the State of California.

ARTICLE 13:  NOTICES

All notices required or permitted hereunder shall be given as provided in the Agreement.

ARTICLE 14:  MISCELLANEOUS

14.1If either party commences litigation against the other for damages for the breach hereof or otherwise for enforcement of any remedy hereunder, the parties hereto agree to and hereby do waive any right to a trial by jury and, in the event of any such commencement of litigation, the prevailing party shall be entitled to recover from the other party such costs and reasonable attorneys' fees as may have been incurred.

14.2This Note may not be modified, amended, waived, extended, changed, discharged or terminated orally or by any act or failure to act on the part of Maker or Holder, but only by an agreement in writing signed by the party against whom enforcement of any modification, amendment, waiver, extension, change, discharge of termination is sought.

14.3If Maker consists of more than one person or party, the obligations and liabilities of each person or party shall be joint and several.

14.4 Whenever used, the singular number shall include the plural, the plural number shall include the singular, and the words "Holder" and "Maker" shall include their respective successors, assigns, heirs, executors and administrators.

14.5Maker recognizes that its default in making any payment as provided herein as agreed to be paid when due, or the occurrence of any other Event of Default hereunder, will require Holder to incur additional expense in servicing and administering the Loan, in loss to Holder of the use of the money due and in frustration to Holder in meeting its other financial commitments and that the damages caused thereby would be extremely difficult and impractical to ascertain.  Maker agrees (a) that an amount equal to the Late Charge plus the accrual of interest at the Default Rate is a reasonable estimate of the damage to Holder in the event of a late payment, and (b) that the accrual of interest at the Default Rate following any other Event of Default is a reasonable estimate of the damage to Holder in the event of such other Event of Default, regardless of whether there has been an acceleration of the Loan.  Nothing in this Note shall be construed as an obligation on the part of Holder to accept, at any time, less than the full amount then due hereunder, or as a waiver or limitation of Holder's right to compel prompt performance.

14.6Upon notice from Holder to Maker of the loss, theft, destruction or mutilation of this Note and, upon receipt of an indemnity reasonably satisfactory to Maker from Holder (except that if the Holder initially named herein is the holder of this Note, an indemnification from the Holder initially named herein shall be sufficient) or, in the case of mutilation hereof, upon surrender of the mutilated Note, Maker will make and deliver a new note of like tenor in lieu of this Note.

14.7Holder, at any time and without the consent of Maker, may grant participations in or sell, transfer, assign and convey all or any portion of its right, title and interest in and to the loan evidenced by this Note, this Note and any collateral given as security for the loan evidenced by this Note, including, without limitation, the Letter of Credit.

IN WITNESS WHEREOF, Maker has duly executed this Note as of the day and year first above written.

	
Maker

	
SIEBEL SYSTEMS, INC., a Delaware corporation

	
By:  /s/  Jeffrey T. Amann

	Its:  Senior Vice President and General Counsel

	
By:_______________

	Its:______________

EXHIBIT A

PROMISSORY NOTE

SCHEDULE OF PAYMENTS

	
March 1, 2003
	
$124,445.85

	
April 1
	
$68,359.81

	
May 1
	
$68,359.81

	
June 1
	
$68,359.81

	
July 1
	
$68,359.81

	
August 1
	
$71,744.35

	
September 1
	
$71,744.35

	
October 1
	
$71,744.35

	
November 1
	
$71,744.35

	
December 1
	
$71,744.35

	
January 1, 2004
	
$71,744.35

	
February 1
	
$71,744.35

	
March 1
	
$71,744.35

	
April 1
	
$71,744.35

	
May 1
	
$71,744.35

	
June 1
	
$71,744.35

	
July 1
	
$71,744.35

	
August 1
	
$75,247.35

	
September 1
	
$75,247.35

	
October 1
	
$75,247.35

	
November 1
	
$75,247.35

	
December 1
	
$75,247.35

	
January 1, 2005
	
$75,247.35

	
February 1
	
$75,247.35

	
March 1
	
$75,247.35

	
April 1
	
$75,247.35

	
May 1
	
$75,247.35

	
June 1
	
$75,247.35

	
July 1
	
$75,247.35

	
August 1
	
$78,872.95

	
September 1
	
$78,872.95

	
October 1
	
$78,872.95

	
November 1
	
$78,872.95

	
December 1
	
$78,872.95

	
January 1, 2006
	
$78,872.95

	
February 1
	
$78,872.95

	
March 1
	
$78,872.95

	
April 1
	
$78,872.95

	
May 1
	
$78,872.95

	
June 1
	
$78,872.95

	
July 1
	
$78,872.95

	
August 1
	
$82,625.45

	
September 1
	
$82,625.45

	
October 1
	
$82,625.45

	
November 1
	
$82,625.45

	
December 1
	
$82,625.45

	
January 1, 2007
	
$82,625.45

	
February 1
	
$82,625.45

	
March 1
	
$82,625.45

	
April 1
	
$82,625.45

	
May 1
	
$82,625.45

	
June 1
	
$82,625.45

	
July 1
	
$82,625.45

	
August 1
	
$86,509.29

	
September 1
	
$86,509.29

	
October 1
	
$86,509.29

	
November 1
	
$86,509.29

	
December 1
	
$86,509.29

	
January 1, 2008
	
$86,509.29

	
February 1
	
$86,509.29

	
March 1
	
$86,509.29

	
April 1
	
$86,509.29

	
May 1
	
$86,509.29

	
June 1
	
$86,509.29

	
July 1
	
$86,509.29

	
August 1
	
$90,529.06

	
September 1
	
$90,529.06

	
October 1
	
$90,529.06

	
November 1
	
$90,529.06

	
December 1
	
$90,529.06

	
January 1, 2009
	
$90,529.06

	
February 1
	
$90,529.06

	
March 1
	
$90,529.06

	
April 1
	
$90,529.06

	
May 1
	
$90,529.06

	
June 1
	
$90,529.06

	
July 1
	
$90,529.06

	
August 1
	
$94,689.53

	
September 1
	
$94,689.53

	
October 1
	
$94,689.53

EXHIBIT D

GUARANTY OF PAYMENT OF ADDITIONAL RENT

GUARANTY OF PAYMENT OF ADDITIONAL RENT

THIS GUARANTY OF PAYMENT OF ADDITIONAL RENT (this "Guaranty") is made as of February, 2003, by SIEBEL SYSTEMS, INC., a Delaware corporation (the "Guarantor"), whose address is as set forth in Section 10 hereof, in favor of CROSSROADS ASSOCIATES AND CLOCKTOWER ASSOCIATES ("Landlord"), having an office at 1875 South Grant Street, Suite 100, San Mateo, California 94402.

WHEREAS, Landlord and CATHOLIC HEALTHCARE WEST, a California non-profit public benefit corporation ("Tenant") desire to enter into that certain Office Lease dated February, 2003 (the "Lease") concerning approximately 29,833 square feet on the eighth (8th) and ninth (9th) floors, Suite 900/800, of the office building located at 1825 South Grant Street, San Mateo, San Mateo County, California;

WHEREAS, the proposed Lease will result in a financial benefit to Guarantor because the Lease is for premises which were formerly leased by the Guarantor; and

WHEREAS, Landlord would not execute the Lease if Guarantor did not execute and deliver to Landlord this Guaranty.

NOW, THEREFORE, for and in consideration of the execution of the foregoing Lease by Landlord and as a material inducement to Landlord to execute said Lease, Guarantor hereby absolutely, presently, continually, unconditionally and irrevocably guarantees the prompt payment by Tenant of Additional Rent (as such term is defined in the Lease) payable by Tenant under said Lease:

1.It is specifically agreed and understood that the terms, covenants and conditions of the Lease may be altered, affected, modified, amended, compromised, released or otherwise changed by agreement between Landlord and Tenant, or by course of conduct and the Lease may be assigned by or with the consent of Landlord or any assignee of Landlord without consent or notice to Guarantor and that this Guaranty shall thereupon and thereafter continue to guaranty the prompt payment of Additional Rent as if the Lease had not been so changed, modified, amended, compromised, released, or altered.

2.This Guaranty shall not be released, modified or affected by failure or delay on the part of Landlord to enforce any of the rights or remedies of Landlord under the Lease, whether pursuant to the terms thereof or at law or in equity, or by any release of any person liable under the terms of the Lease (including, without limitation, Tenant) or any other guarantor, including without limitation, any other Guarantor named herein, from any liability with respect to Guarantor's obligations hereunder.

3.Guarantor's liability under this Guaranty shall continue until all Additional Rent due under the Lease through October 31, 2009 has been paid in full in cash.  Guarantor's liability under this Guaranty shall be reduced on a dollar for dollar basis by any payments of Additional Rent which are paid to Landlord by replacement tenants, provided such replacement tenants have been authorized by and consented to by the Landlord.  If all or any portion of Tenant's obligations under the Lease is paid or performed by Tenant, the obligations of Guarantor hereunder shall continue and remain in full force and effect in the event that all or any part of such payment(s) or performance(s) is avoided or recovered directly or indirectly from Landlord as a preference, fraudulent transfer or otherwise.

4.Guarantor warrants and represents to Landlord that Guarantor now has and will continue to have full and complete access to any and all information concerning the Lease, the value of the assets owned or to be acquired by Tenant, Tenant's financial status and its ability to pay and perform the obligations owed to Landlord under the Lease.  Guarantor further warrants and represents that Guarantor has reviewed and approved copies of the Lease and is fully informed of the remedies Landlord may pursue, with or without notice to Tenant, in the event of default under the Lease.  So long as any of the Guarantor's obligations hereunder remains unsatisfied or owing to Landlord, Guarantor shall keep fully informed as to all aspects of Tenant's financial condition and the performance of said obligations.

5.Guarantor hereby covenants and agrees with Landlord that if a default shall at any time occur in the payment of any Additional Rent under the Lease, Guarantor shall and will forthwith upon demand pay such sums and any arrears thereof, to Landlord in legal currency of the United States of America for payment of public and private debts, and take all other actions necessary to cure such default and perform such obligations of Tenant.

6.The liability of Guarantor under this Guaranty is a guaranty of payment and not of collectibility, and is not conditioned or contingent upon the genuineness, validity, regularity or enforceability of the Lease or the pursuit by Landlord of any remedies which it now has or may hereafter have with respect thereto, at law, in equity or otherwise.

7.Guarantor hereby waives and agrees not to assert or take advantage of to the extent permitted by law: (i) all notices to Guarantor, to Tenant, or to any other person, including, but not limited to, notices of the acceptance of this Guaranty or the creation, renewal, extension, assignment, modification or accrual of any of the obligations owed to Landlord under the Lease and, except to the extent set forth in Section 9 hereof, enforcement of any right or remedy with respect thereto, and notice of any other matters relating thereto; (ii) notice of acceptance of this Guaranty; (iii) demand of payment, presentation and protest; (iv) any right to require Landlord to apply to any default any security deposit or other security it may hold under the Lease; (v) any statute of limitations affecting Guarantor's liability hereunder or the enforcement thereof, (vi) any right or defense that may arise by reason of the incapability, lack of authority, death or disability of Tenant or any other person; and (vii) all principles or provisions of law which conflict with the terms of this Guaranty.  Guarantor further agrees that Landlord may enforce this Guaranty upon the occurrence of a default under the Lease, notwithstanding any dispute between Landlord and Tenant with respect to the existence of said default or performance of the obligations under the Lease or any counterclaim, set-off or other claim which Tenant may allege against Landlord with respect thereto.  Moreover, Guarantor agrees that Guarantor's obligations shall not be affected by any circumstances which constitute a legal or equitable discharge of a guarantor or surety.

8.Guarantor agrees that Landlord may enforce this Guaranty without the necessity of proceeding against Tenant or any other guarantor.  Guarantor hereby waives the right to require Landlord to proceed against Tenant, to proceed against any other guarantor, to exercise any right or remedy under the Lease or to pursue any other remedy or to enforce any other right.

9.(a)Guarantor agrees that nothing contained herein shall prevent Landlord from suing on the Lease or from exercising any rights available to it thereunder and that the exercise of any of the aforesaid rights shall not constitute a legal or equitable discharge of Guarantor.  Without limiting the generality of the foregoing, Guarantor hereby expressly waives any and all benefits under California Civil Code §§ 2809, 2810, 2819, 2845, 2847, 2848, 2849 and 2850, and the second sentence of California Civil Code § 2822(a).  In addition, each Guarantor agrees that Landlord (not Tenant) shall have the right to designate the portion of Tenant's obligations under the Lease that is satisfied by a partial payment by Tenant.

(b)Guarantor agrees that Guarantor shall have no right of subrogation against Tenant or any right of contribution against any other guarantor unless and until all amounts due under the Lease have been paid in full and all other obligations under the Lease have been satisfied.  Guarantor further agrees that, to the extent the waiver of Guarantor's rights of subrogation and contribution as set forth herein is found by a court of competent jurisdiction to be void or voidable for any reason, any rights of subrogation Guarantor may have against Tenant shall be junior and subordinate to any rights Landlord may have against Tenant, and any rights of contribution Guarantor may have against any other guarantor shall be junior and subordinate to any rights Landlord may have against such other guarantor.

(c)The obligations of Guarantor under this Guaranty shall not be altered, limited or affected by any case, voluntary or involuntary, involving the bankruptcy, insolvency, receivership, reorganization, liquidation or arrangement of Tenant or any defense which Tenant may have by reason of order, decree or decision of any court or administrative body resulting from any such case.  Landlord shall have the sole right to accept or reject any plan on behalf of Guarantor proposed in such case and to take any other action which Guarantor would be entitled to take, including, without limitation, the decision to file or not file A claim.  Guarantor acknowledges and agrees that any payment relating to Additional Rent which accrues with respect to Tenant's obligations under the Lease after the commencement of any such proceeding (or, if any such payment ceases to accrue by operation of law by reason of the commencement of such proceeding, such payment as would have accrued if said proceedings had not been commenced) shall be included in Guarantor's obligations hereunder because it is the intention of the parties that said obligations should be determined without regard to any rule or law or order which may relieve Tenant of any of its obligations under the Lease.  Guarantor hereby permits any trustee in bankruptcy, receiver, debtor-in-possession, assignee for the benefit of creditors or similar person to pay Landlord, or allow the claim of Landlord in respect of, any such payment accruing after the date on which such proceeding is commenced.  Guarantor hereby assigns to Landlord Guarantor's right to receive any payments from any trustee in bankruptcy, receiver, debtor-in-possession, assignee for the benefit of creditors or similar person by way of dividend, adequate protection payment or otherwise.

10.Any notice, statement, demand, consent, approval or other communication required or permitted to be given, rendered or made by either party to the other, pursuant to this Guaranty or pursuant to any applicable law or requirement of public authority, shall be in writing (whether or not so stated elsewhere in this Guaranty) and shall be deemed to have been properly given, rendered or made only if hand-delivered or sent by first-class mail, postage pre-paid, addressed to the other party at its respective address set forth below, and shall be deemed to have been given, rendered or made on the day it is hand-delivered or one day after it is mailed, unless it is mailed outside of San Mateo County, California, in which case it shall be deemed to have been given, rendered or made on the third business day after the day it is mailed.  By giving notice as provided above, either party may designate a different address for notices, statements, demands, consents, approvals or other communications intended for it.

	
To Guarantor:
	
SIEBEL SYSTEMS, INC.

1825 South Grant Street

San Mateo, California 94402

	
To Landlord:
	
Crossroads Associates and Clocktower Associates

1875 South Grant Street, Suite 100

San Mateo, California 94402

Attn: Mr. Greg Osborn

	 	
With copy to:

	 	
Siebel Systems, Inc.

2207 Bridgepointe Parkway

San Mateo, CA 94494 

Attn: VP of Real Estate and Facilities

	 	
Siebel Systems, Inc.

2207 Bridgepointe Parkway

San Mateo, CA 94494

Attn: General Counsel

11.Guarantor represents and warrants to Landlord as follows:
(a)No consent of any other person, including, without limitation, any creditors of Guarantor, and no license, permit, approval or authorization of, exemption by, notice or report to, or registration, filing or declaration with, any governmental authority is required by Guarantor in connection with this Guaranty or the execution, delivery, performance, validity or enforceability of this Guaranty and all obligations required hereunder.  This Guaranty has been duly executed and delivered by Guarantor, and constitutes the legally valid and binding obligation of Guarantor enforceable against such Guarantor in accordance with its terms.

(b)The execution, delivery and performance of this Guaranty will not violate any provision of any existing law or regulation binding on Guarantor, or any order, judgment, award or decree of any court, arbitrator or governmental authority binding on Guarantor, or of any mortgage, indenture, lease, contract or other agreement, instrument or undertaking to which Guarantor is a party or by which Guarantor or any of Guarantor's assets may be bound, and will not result in, or require, the creation or imposition of any lien on any of Guarantor's property, assets or revenues pursuant to the provisions of any such mortgage, indenture, lease, contract, or other agreement, instrument or undertaking.

12.The obligations of Tenant under the Lease to execute and deliver estoppel statements, as therein provided, shall be deemed to also require the Guarantor hereunder to do and provide the same relative to Guarantor.

13.This Guaranty shall be binding upon Guarantor, Guarantor's heirs, representatives, administrators, executors, successors and assigns and shall inure to the benefit of and shall be enforceable by Landlord, its successors, endorsees and assigns.  As used herein, the singular shall include the plural, and the masculine shall include the feminine and neuter and vice versa, if the context so requires.

14.The term "Landlord" whenever used herein refers to and means the Landlord specifically named in the Lease and also any assignee of said Landlord, whether by outright assignment or by assignment for security, and also any successor to the interest of said Landlord or of any assignee in the Lease or any part thereof, whether by assignment or otherwise.  So long as the Landlord's interest in or to the Premises (as that term is used in the Lease) or the rents, issues and profits therefrom, or in, to or under the Lease, are subject to any lease, mortgage, deed of trust or assignment for security, no acquisition by Guarantor of the Landlord's interest in the Premises or under the Lease shall affect the continuing obligations of Guarantor under this Guaranty, which obligations shall continue in full force and effect for the benefit of the lessor, mortgagee, beneficiary, trustee or assignee.  under such lease, mortgage, deed of trust or assignment, or any purchaser at sale by judicial foreclosure or under private power of sale, and of the successors and assigns of any such lessor, mortgagee, beneficiary, trustee, assignee or purchaser.

15.The term "Tenant" whenever used herein refers to and means the Tenant in the Lease specifically named and also any assignee or sublessee of said Lease and also any successor to the interests of said Tenant, assignee or sublessee of such Lease or any part thereof, whether by assignment, sublease or otherwise.

16.In the event of any dispute or litigation regarding the enforcement or validity of this Guaranty, Guarantor shall be obligated to pay all charges, costs and expenses (including, without limitation, reasonable attorneys' fees) incurred by Landlord, whether or not any action or proceeding is commenced regarding such dispute and whether or not such litigation is prosecuted to judgment.

17.This Guaranty shall be governed by and construed in accordance with the laws of the State of California, and in a case involving diversity of citizenship, shall be litigated in and subject to the jurisdiction of the courts of California.

18.Every provision of this Guaranty is intended to be severable.  In the event any term or provision hereof is declared to be illegal or invalid for any reason whatsoever by a court of competent jurisdiction, such illegality or invalidity shall not affect the balance of the terms and provisions hereof, which terms and provisions shall remain binding and enforceable.

19.This Guaranty may be executed in any number of counterparts each of which shall be deemed an original and all of which shall constitute one and the same Guaranty with the same effect as if all parties had signed the same signature page.  Any signature page of this Guaranty may be detached from any counterpart of this Guaranty and re-attached to any other counterpart of this Guaranty identical in form hereto but having attached to it one or more additional signature pages.

20.No failure or delay on the part of Landlord to exercise any power, right or privilege under this Guaranty shall impair any such power, right or privilege, or be construed to be a waiver of any default or any acquiescence therein, nor shall any single or partial exercise of such power, right or privilege preclude other or further exercise thereof or of any other right, power or privilege.

21.This Guaranty shall constitute the entire agreement between Guarantor and the Landlord with respect to the subject matter hereof No provision of this Guaranty or right of Landlord hereunder may be waived nor may Guarantor be released from any obligation hereunder except by a writing duly executed by an authorized representative of Landlord.

22.The liability of Guarantor and all rights, powers and remedies of Landlord hereunder and under any other agreement now or at any time hereafter in force between Landlord and Guarantor relating to the Lease shall be cumulative and not alternative and such rights, powers and remedies shall be in addition to all rights, powers and remedies given to Landlord by law.

IN WITNESS WHEREOF, Guarantor has executed this Guaranty as of the day and year first above written.

	
SIEBEL SYSTEMS, INC., a Delaware corporation

By:  /s/  Jeffrey T. Amann

Title:  Senior Vice President and General Counsel

	
By:______________

Title:______________

EXHIBIT E

SIEBEL NOTE LETTER OF CREDIT

SILICON VALLEY BANK

International Division

IRREVOCABLE STANDBY LETTER OF CREDIT NO. SVBSF002028

DATE: February 4, 2003

BENEFICIARY:

CROSSROADS ASSOCIATES AND CLOCKTOWER ASSOCIATES

1875 SOUTH GRANT STREET, SUITE 100

SAN MATEO, CALIFORNIA 94402

APPLICANT:

SIEBEL SYSTEMS, INC.

1825 SOUTH GRANT STREET

SAN MATEO, CALIFORNIA 94402

AMOUNT:US$6,508,295.08 (U.S. DOLLARS SIX MILLION FIVE HUNDRED EIGHT THOUSAND TWO HUNDRED NINETY-FIVE AND 08/100 U.S. DOLLARS)

EXPIRATION DATE: JANUARY 31, 2010

LOCATION: SANTA CLARA, CALIFORNIA

LADIES AND GENTLEMEN:

WE HEREBY ESTABLISH OUR IRREVOCABLE STANDBY LETTER OF CREDIT NO. SVBSF002028 IN YOUR FAVOR. THIS LETTER OF CREDIT IS AVAILABLE BY SIGHT PAYMENT WITH OURSELVES ONLY AGAINST PRESENTATION AT THIS OFFICE OF THE FOLLOWING DOCUMENTS: 
1.THE ORIGINAL OF THIS LETTER OF CREDIT AND ALL AMENDMENT (S), IF ANY.

2.YOUR SIGHT DRAFT DRAWN ON US IN THE FORM ATTACHED HERETO AS EXHIBIT "A".

3.A DATED CERTIFICATION PURPORTEDLY SIGNED BY AN AUTHORIZED OFFICER OR REPRESENTATIVE OF THE BENEFICIARY, FOLLOWED BY ITS PRINTED NAME AND DESIGNATED TITLE, STATING THE FOLLOWING: 
"THE UNDERSIGNED BEING A DULY AUTHORIZED OFFICER OR REPRESENTATIVE OF THE BENEFICIARY HEREBY CERTIFY THAT SUCH MONEYS ARE DUE AND OWING TO BENEFICIARY UNDER THE PROMISSORY NOTE SECURED BY LETTER OF CREDIT BY THE APPLICANT, AS MAKER, IN FAVOR OF THE BENEFICIARY."

PARTIAL DRAWS ARE ALLOWED AND EACH SUCH DRAWING THAT IS PAID BY US SHALL REDUCE THE AMOUNT AVAILABLE UNDER THIS LETTER OF CREDIT.

THIS LETTER OF CREDIT MUST ACCOMPANY ANY DRAWINGS HEREUNDER FOR ENDORSEMENT OF THE DRAWING AMOUNT AND WILL BE RETURNED TO THE BENEFICIARY UNLESS IT IS FULLY UTILIZED.

THIS LETTER OF CREDIT MAY ONLY BE TRANSFERRED IN ITS ENTIRETY BY US, AT THE REQUEST OF THE BENEFICIARY, ONLY UP TO THE THEN AVAILABLE AMOUNT IN FAVOR OF ANY NOMINATED TRANSFEREE THAT IS THE SUCCESSOR IN INTEREST TO BENEFICIARY ("TRANSFEREE"), ASSUMING SUCH TRANSFER TO SUCH TRANSFEREE WOULD BE IN COMPLIANCE WITH THEN APPLICABLE LAW AND REGULATION, INCLUDING BUT NOT LIMITED TO THE REGULATIONS OF THE U.S. DEPARTMENT OF TREASURY AND U.S. DEPARTMENT OF COMMERCE.  AT THE TIME OF TRANSFER, THE ORIGINAL LETTER OF CREDIT AND ORIGINAL AMENDMENT(S), IF ANY, MUST BE SURRENDERED TO US AT OUR ADDRESS INDICATED IN THIS LETTER OF CREDIT TOGETHER WITH OUR LETTER OF TRANSFER DOCUMENTATION AS PER ATTACHED EXHIBIT "B" DULY EXECUTED BEARING YOUR CERTIFICATION THAT THE TRANSFEREE IS THE SUCCESSOR IN INTEREST TO BENEFICIARY OR IS THE NEW OWNER OF CERTAIN STATED PROPERTY.  APPLICANT SHALL PAY OUR TRANSFER FEE OF US$1,000.00 UNDER THIS LETTER OF CREDIT.  ANY REQUEST FOR TRANSFER WILL BE EFFECTED BY US SUBJECT TO THE ABOVE CONDITIONS.  HOWEVER, ANY REQUEST FOR TRANSFER FOR TRANSFER IS NOT CONTINGENT UPON APPLICANT'S ABILITY YO PAY OUR TRANSFER FEE.  

ANY TRANSFER OF THIS LETTER OF CREDIT MAY NOT CHANGE THE PLACE OR DATE OF EXPIRATION OF THE LETTER OF CREDIT FROM OUR ABOVE SPECIFIED OFFICE.  EACH TRANSFER SHALL BE EVIDENCED BY OUR ENDORSEMENT ON THE REVERSE OF THE LETTER OF CREDIT AND WE SHALL FORWARD THE ORIGINAL OF THE LETTER OF CREDIT SO ENDORSED TO THE TRANSFEREE.

THE AMOUNT OF THIS LETTER OF CREDIT SHALL BE AUTOMATICALLY DECREASED WITHOUT AMENDMENT(S) TO THE NEW AGGREGATE AMOUNT(S) ON THE EFFECTIVE DATES BELOW, PROVIDED THAT THE AVAILABLE AMOUNT EXCEEDS THE AGGREGATE AMOUNT(S) LISTED BELOW AND ISSUING BANK HAS NOT RECEIVED WRITTEN NOTICE FROM AN AUTHORIZED REPRESENTATIVE OF THE BENEFICIARY BY OVERNIGHT COURIER AT LEAST TEN (10) BUSINESS DAYS PRIOR TO ANY SCHEDULED REDUCTION DATE, ADVISING ISSUING BANK THAT APPLICANT IS IN DEFAULT AND ANY SCHEDULED DECREASE IN THE AGGREGATE AVAILABLE AMOUNT SHOULD NOT BE EFFECTED:

	
EFFECTIVE DATE(S)
	
NEW AGGREGATE AMOUNT(S)

	
MAY 1, 2004
	
US$5,608,199.54

	
MAY 1, 2005
	
US$4,722,746.34

	
MAY 1, 2006
	
US$3,794,398.94

	
MAY 1, 2007
	
US$2,821,656.04

	
MAY 1, 2008
	
US$1,802,963.76

	
MAY 1, 2009
	
US$736,713.89

DRAFT(S) AND DOCUMENTS MUST INDICATE THE NUMBER AND DATE OF THIS LETTER OF CREDIT.

DRAFTS DRAWN HEREUNDER CAN BE EXECUTED BY ANY ONE OF THE NAMED BENEFICIARY UNDER THIS LETTER OF CREDIT, AND SUCH DRAWING WILL BE CONSIDERED AS A PRESENTATION ON BEHALF OF ALL THE BENEFICIARIES AND THE AMOUNT DRAWN WILL BE REDUCED FROM THE AMOUNT AVAILABLE UNDER THIS LETTER OF CREDIT. IN ANY EVENT ANY AMOUNT DRAWN HEREUNDER MAY NOT EXCEED THE AMOUNT STATED IN THIS LETTER OF CREDIT.

IN THE EVENT THIS LETTER OF CREDIT IS THE SUBJECT OF AN AMENDMENT, ALL PARTIES NAMED AS BENEFICIARY MUST SUBMIT THEIR WRITTEN ACCEPTANCE WITHIN TEN (10) BUSINESS DAYS AFTER THE DATE OF THE AMENDMENT, WHEREUPON THE NEXT SUCCEEDING BUSINESS DAY, NAMELY THE DATE ELEVEN (11) DAYS AFTER THE DATE OF THE AMENDMENT, SAID AMENDMENT SHALL BECOME EFFECTIVE, PROVIDED THAT IF NOT ALL PARTIES NAMED AS BENEFICIARY SUBMIT THEIR SIGNED AGREEMENT ACCEPTING THE AMENDMENT IN QUESTION, THE AMENDMENT SHALL BE DEEMED REJECTED BY ALL PARTIES NAMED AS BENEFICIARY.

DOCUMENTS MUST BE DELIVERED TO US DURING REGULAR BUSINESS HOURS ON A BUSINESS DAY OR FORWARDED TO US BY OVERNIGHT DELIVERY SERVICE TO: SILICON VALLEY BANK, 3003 TASMAN DRIVE, MAIL SORT HF210, SANTA CLARA, CALIFORNIA 95054, ATTENTION: INTERNATIONAL DIVISION - TRADE SERVICES.

AS USED HEREIN. THE TERM "BUSINESS DAY" MEANS A DAY ON WHICH WE ARE OPEN AT OUR ABOVE ADDRESS IN SANTA CLARA, CALIFORNIA TO CONDUCT OUR LETTER OF CREDIT BUSINESS. NOTWITHSTANDING ANY PROVISION TO THE CONTRARY IN THE UCP (AS HEREINAFTER DEFINED), IF THE EXPIRY DATE OR THE FINAL EXPIRY DATE IS NOT A BUSINESS DAY THEN SUCH DATE SHALL BE AUTOMATICALLY EXTENDED TO THE NEXT SUCCEEDING DATE WHICH IS A BUSINESS DAY.

WE HEREBY AGREE WITH THE DRAWERS, ENDORSERS AND BONAFIDE HOLDERS THAT THE DRAFTS DRAWN UNDER AND IN ACCORDANCE WITH THE TERMS AND CONDITIONS OF THIS LETTER OF CREDIT SHALL BE DULY HONORED UPON PRESENTATION TO SILICON VALLEY BANK, IF PRESENTED ON OR BEFORE THE EXPIRATION DATE OF THIS CREDIT.

THIS LETTER OF CREDIT IS SUBJECT TO THE UNIFORM CUSTOMS AND PRACTICE FOR DOCUMENTARY CREDITS (1993 REVISION), INTERNATIONAL CHAMBER OF COMMERCE, PUBLICATION NO. 500.

	
SILICON VALLEY BANK,
	 
	

/s/ Edward D. Machado

AUTHORIZED SIGNATURE

Edward D. Machado
	

/s/ Alice E. Daluz

AUTHORIZED SIGNATURE

Alice E. Daluz

EXHIBIT "A"

[FORM OF SIGHT DRAFT/BILL OF EXCHANGE]

	
SIGHT DRAFT/BILL OF EXCHANGE
DATE:_______________________________REF. NO._________________________

AT SIGHT OF THIS BILL OF EXCHANGE

PAY TO THE ORDER Of ______________US$__________________

US DOLLARS____________________________________________

"DRAWN UNDER SILICON VALLEY BANK, SANTA CLARA, CALIFORNIA, IRREVOCABLE STANDBY LETTER OF CREDIT NUMBER NO. SVBSF______ DATED __________ __, 2003"

TO:SILICON VALLEY BANK

3003 TASMAN DRIVE

SANTA CLARA, CA 95054

____________________

[INSERT NAME OF BENEFICIARY]

____________________

Authorized Signature

GUIDELINES TO PREPARE THE SIGHT DRAFT OR BILL OF EXCHANGE:
1.DATE INSERT ISSUANCE DATE OF DRAFT OR BILL OF EXCHANGE.

2.REF. NO. INSERT YOUR REFERENCE NUMBER IF ANY.

3.PAY TO THE ORDER OF: INSERT NAME OF BENEFICIARY 

4.US$ INSERT AMOUNT OF DRAWING IN NUMERALS/FIGURES.

5.US DOLLARS INSERT AMOUNT OF DRAWING IN WORDS.

6.LETTER OF CREDIT NUMBERINSERT THE LAST DIGITS OF OUR STANDBY L/C NUMBER THAT PERTAINS TO THE DRAWING.

7.DATED INSERT THE ISSUANCE DATE OF OUR STANDBY L/C.

NOTE:BENEFICIARY SHOULD ENDORSE THE BACK OF THE SIGHT DRAFT OR BILL OF EXCHANGE AS YOU WOULD A CHECK.

IF YOU NEED FURTHER ASSISTANCE IN COMPLETING THIS SIGHT DRAFT OR BILL OF EXCHANGE, PLEASE CALL OUR L/C PAYMENT SECTION AND ASK FOR:  ALICE DALUZ AT (408) 654-7120 OR CESAR AGONCILLO AT (408) 654-3052.

EXHIBIT "B"

DATE:

TO:SILICON VALLEY BANK

3003 TASMAN DRIVE

SANTA CLARA, CA 95054

ATTENTION:  INTERNATIONAL DIVISION

RE:SILICON VALLEY BANK, SANTA CLARA, CALIFORNIA 

IRREVOCABLE STANDBY LETTER OF CREDIT NO. SVBSF_____

DATED _____________,2003 AMOUNT:  US$______________

GENTLEMEN:

FOR VALUE RECEIVED, THE UNDERSIGNED BEING A DULY AUTHORIZED REPRESENTATIVE OR OFFICER OF THE BENEFICIARY ("BENEFICIARY") HEREBY IRREVOCABLY TRANSFERS TO:

_________________________________________________________

(NAME OF TRANSFEREE)

_________________________________________________________

(ADDRESS)

("TRANSFEREE") ALL RIGHTS OF THE BENEFICIARY TO DRAW UNDER THE ABOVE LETTER OF CREDIT UP TO ITS AVAILABLE AMOUNT AS SHOWN ABOVE AS OF THE DATE OF THIS TRANSFER.

BY THIS TRANSFER, ALL RIGHTS OF THE UNDERSIGNED BENEFICIARY IN SUCH LETTER OF CREDIT ARE TRANSFERRED TO THE TRANSFEREE. TRANSFEREE SHALL HAVE THE SOLE RIGHTS AS BENEFICIARY THEREOF, INCLUDING SOLE RIGHTS RELATING TO ANY AMENDMENTS, WHETHER INCREASES OR EXTENSIONS OR OTHER AMENDMENTS, AND WHETHER NOW EXISTING OR HEREAFTER MADE. ALL AMENDMENTS ARE TO BE ADVISED DIRECTLY TO THE TRANSFEREE WITHOUT NECESSITY OF ANY CONSENT OF OR NOTICE TO THE UNDERSIGNED BENEFICIARY.

THE ORIGINAL OF SUCH LETTER OF CREDIT IS RETURNED HEREWITH, AND WE ASK YOU TO ENDORSE THE TRANSFER ON THE REVERSE THEREOF, AND FORWARD IT DIRECTLY TO THE TRANSFEREE WITH YOUR CUSTOMARY NOTICE OF TRANSFER.

	
SINCERELY, 

	
[INSERT NAME OF TRANSFEROR BENEFICIARY]

____________________

(AUTHORIZED SIGNATURE)

	
SIGNATURE AUTHENTICATION: 1

THE ABOVE SIGNATURE WITH TITLE 

CONFORMS WITH THAT ON FILE WITH US.

____________________

(NAME OF BANK OF TRANSFEROR BENEFICIARY)

	
____________________

(AUTHORIZED SIGNATURE)

1  SIGNATURE CAN BE AUTHENTICATED EITHER BY BENEFICIARY'S BANK OR NOTARIZED BY A NOTARY PUBLIC.

EXHIBIT F

GUARANTY LETTER OF CREDIT

SILICON VALLEY BANK

International Division

IRREVOCABLE STANDBY LETTER OF CREDIT NO. SVBSF002029

DATE:  February 04, 2003

BENEFICIARY:

CROSSROADS ASSOCIATES AND CLOCKTOWER ASSOCIATES

1875 SOUTH GRANT STREET, SUITE 100

SAN MATEO, CALIFORNIA 94402

APPLICANT:

SIEBEL SYSTEMS, INC.

1825 SOUTH GRANT STREET

SAN MATEO, CALIFORNIA 94402

AMOUNT:US$2,432,241.63 (TWO MILLION FOUR HUNDRED THIRTY-TWO THOUSAND TWO HUNDRED FORTY-ONE AND 63/100 U.S. DOLLARS)

EXPIRATION DATE: JANUARY 31, 2010

LOCATION: SANTA CLARA, CALIFORNIA

LADIES AND GENTLEMEN:

WE HEREBY ESTABLISH OUR IRREVOCABLE STANDBY LETTER OF CREDIT NO. SVBSF002029 IN YOUR FAVOR. THIS LETTER OF CREDIT IS AVAILABLE BY SIGHT PAYMENT WITH OURSELVES ONLY AGAINST PRESENTATION AT THIS OFFICE OF THE FOLLOWING DOCUMENTS: 
1.THE ORIGINAL OF THIS LETTER OF CREDIT AND ALL AMENDMENT(S), IF ANY.

2.YOUR SIGHT DRAFT DRAWN ON US IN THE FORM ATTACHED HERETO AS EXHIBIT "A".

3.A DATED CERTIFICATION PURPORTEDLY SIGNED BY AN AUTHORIZED OFFICER OR REPRESENTATIVE OF THE BENEFICIARY, FOLLOWED BY ITS PRINTED NAME AND DESIGNATED TITLE, STATING THE FOLLOWING: 
"THE UNDERSIGNED BEING A DULY AUTHORIZED OFFICER OR REPRESENTATIVE OF THE BENEFICIARY HEREBY CERTIFY THAT SUCH MONEYS ARE DUE AND OWING TO BENEFICIARY UNDER THE GUARANTY OF PAYMENT OF ADDITIONAL RENT BY THE APPLICANT, AS MAKER, IN FAVOR OF THE BENEFICIARY."

PARTIAL DRAWS ARE ALLOWED AND EACH SUCH DRAWING THAT IS PAID BY US SHALL REDUCE THE AMOUNT AVAILABLE UNDER THIS LETTER OF CREDIT.

THIS LETTER OF CREDIT MUST ACCOMPANY ANY DRAWINGS HEREUNDER FOR ENDORSEMENT OF THE DRAWING AMOUNT AND WILL BE RETURNED TO THE BENEFICIARY UNLESS IT IS FULLY UTILIZED.

THIS LETTER OF CREDIT MAY ONLY BE TRANSFERRED IN ITS ENTIRETY BY US, AT THE REQUEST OF THE BENEFICIARY, ONLY UP TO THE THEN AVAILABLE AMOUNT IN FAVOR OF ANY NOMINATED TRANSFEREE THAT IS THE SUCCESSOR IN INTEREST TO BENEFICIARY ("TRANSFEREE"), ASSUMING SUCH TRANSFER TO SUCH TRANSFEREE WOULD BE IN COMPLIANCE WITH THEN APPLICABLE LAW AND REGULATION, INCLUDING BUT NOT LIMITED TO THE REGULATIONS OF THE U.S. DEPARTMENT OF TREASURY AND U.S. DEPARTMENT OF COMMERCE.  AT THE TIME OF TRANSFER, THE ORIGINAL LETTER OF CREDIT AND ORIGINAL AMENDMENT(S), IF ANY, MUST BE SURRENDERED TO US AT OUR ADDRESS INDICATED IN THIS LETTER OF CREDIT TOGETHER WITH OUR LETTER OF TRANSFER DOCUMENTATION AS PER ATTACHED EXHIBIT "B" DULY EXECUTED BEARING YOUR CERTIFICATION THAT THE TRANSFEREE IS THE SUCCESSOR IN INTEREST TO BENEFICIARY OR IS THE NEW OWNER OF CERTAIN STATED PROPERTY.  APPLICANT SHALL PAY OUR TRANSFER FEE OF US$1,000.00 UNDER THIS LETTER OF CREDIT.  ANY REQUEST FOR TRANSFER WILL BE EFFECTED BY US SUBJECT TO THE ABOVE CONDITIONS.  HOWEVER, ANY REQUEST FOR TRANSFER FOR TRANSFER IS NOT CONTINGENT UPON APPLICANT'S ABILITY YO PAY OUR TRANSFER FEE.  

ANY TRANSFER OF THIS LETTER OF CREDIT MAY NOT CHANGE THE PLACE OR DATE OF EXPIRATION OF THE LETTER OF CREDIT FROM OUR ABOVE SPECIFIED OFFICE.  EACH TRANSFER SHALL BE EVIDENCED BY OUR ENDORSEMENT ON THE REVERSE OF THE LETTER OF CREDIT AND WE SHALL FORWARD THE ORIGINAL OF THE LETTER OF CREDIT SO ENDORSED TO THE TRANSFEREE.

THE AMOUNT OF THIS LETTER OF CREDIT SHALL BE AUTOMATICALLY DECREASED WITHOUT AMENDMENT(S) TO THE NEW AGGREGATE AMOUNT(S) ON THE EFFECTIVE DATES BELOW, PROVIDED THAT THE AVAILABLE AMOUNT EXCEEDS THE AGGREGATE AMOUNT(S) LISTED BELOW AND ISSUING BANK HAS NOT RECEIVED WRITTEN NOTICE FROM AN AUTHORIZED REPRESENTATIVE OF THE BENEFICIARY BY OVERNIGHT COURIER AT LEAST TEN (10) BUSINESS DAYS PRIOR TO ANY SCHEDULED REDUCTION DATE, ADVISING ISSUING BANK THAT APPLICANT IS IN DEFAULT AND ANY SCHEDULED DECREASE IN THE AGGREGATE AVAILABLE AMOUNT SHOULD NOT BE EFFECTED:

	
EFFECTIVE DATE(S)
	
NEW AGGREGATE AMOUNT(S)

	
MAY 1, 2004
	
US$2,126,079.04

	
MAY 1, 2005
	
US$1,780,484.98

	
MAY 1, 2006
	
US$1,422,795.04

	
MAY 1, 2007
	
US$1,052,586.04

	
MAY 1, 2008
	
US$669,419.68

	
MAY 1, 2009
	
US$272,842.48

DRAFT(S) AND DOCUMENTS MUST INDICATE THE NUMBER AND DATE OF THIS LETTER OF CREDIT.

DRAFTS DRAWN HEREUNDER CAN BE EXECUTED BY ANY ONE OF THE NAMED BENEFICIARY UNDER THIS LETTER OF CREDIT, AND SUCH DRAWING WILL BE CONSIDERED AS A PRESENTATION ON BEHALF OF ALL THE BENEFICIARIES AND THE AMOUNT DRAWN WILL BE REDUCED FROM THE AMOUNT AVAILABLE UNDER THIS LETTER OF CREDIT. IN ANY EVENT ANY AMOUNT DRAWN HEREUNDER MAY NOT EXCEED THE AMOUNT STATED IN THIS LETTER OF CREDIT.

IN THE EVENT THIS LETTER OF CREDIT IS THE SUBJECT OF AN AMENDMENT, ALL PARTIES NAMED AS BENEFICIARY MUST SUBMIT THEIR WRITTEN ACCEPTANCE WITHIN TEN (10) BUSINESS DAYS AFTER THE DATE OF THE AMENDMENT, WHEREUPON THE NEXT SUCCEEDING BUSINESS DAY, NAMELY THE DATE ELEVEN (11) DAYS AFTER THE DATE OF THE AMENDMENT, SAID AMENDMENT SHALL BECOME EFFECTIVE, PROVIDED THAT IF NOT ALL PARTIES NAMED AS BENEFICIARY SUBMIT THEIR SIGNED AGREEMENT ACCEPTING THE AMENDMENT IN QUESTION, THE AMENDMENT SHALL BE DEEMED REJECTED BY ALL PARTIES NAMED AS BENEFICIARY.

DOCUMENTS MUST BE DELIVERED TO US DURING REGULAR BUSINESS HOURS ON A BUSINESS DAY OR FORWARDED TO US BY OVERNIGHT DELIVERY SERVICE TO: SILICON VALLEY BANK, 3003 TASMAN DRIVE, MAIL SORT HF210, SANTA CLARA, CALIFORNIA 95054, ATTENTION: INTERNATIONAL DIVISION - TRADE SERVICES.

AS USED HEREIN, THE TERM "BUSINESS DAY" MEANS A DAY ON WHICH WE ARE OPEN AT OUR ABOVE ADDRESS IN SANTA CLARA, CALIFORNIA TO CONDUCT OUR LETTER OF CREDIT BUSINESS. NOTWITHSTANDING ANY PROVISION TO THE CONTRARY IN THI- UCP (AS HEREINAFTER DEFINED), IF THE EXPIRY DATE OR THE FINAL EXPIRY DATE IS NOT A BUSINESS DAY THEN SUCH DATE SHALL BE AUTOMATICALLY EXTENDED TO THE NEXT SUCCEEDING DATE WHICH IS A BUSINESS DAY.

WE HEREBY AGREE WITH THE DRAWERS, ENDORSERS AND BONAFIDE HOLDERS THAT THE DRAFTS DRAWN UNDER AND IN ACCORDANCE WITH THE TERMS AND CONDITIONS OF THIS LETTER OF CREDIT SHALL BE DULY HONORED UPON PRESENTATION TO SILICON VALLEY BANK, IF PRESENTED ON OR BEFORE THE EXPIRATION DATE OF THIS CREDIT.

THIS LETTER OF CREDIT IS SUBJECT TO THE UNIFORM CUSTOMS AND PRACTICE FOR DOCUMENTARY CREDITS (1993 REVISION), INTERNATIONAL CHAMBER OF COMMERCE, PUBLICATION NO. 500. 

	
SILICON VALLEY BANK,
	 
	

/s/ Edward D. Machado

AUTHORIZED SIGNATURE

Edward D. Machado
	

/s/ Alice E. Daluz

AUTHORIZED SIGNATURE

Alice E. Daluz

EXHIBIT "A"

[FORM OF SIGHT DRAFT/BILL OF EXCHANGE]

	
SIGHT DRAFT/BILL OF EXCHANGE
DATE:________________________REF. NO._____________________

AT SIGHT OF THIS BILL OF EXCHANGE

PAY TO THE ORDER OF___________________________US$______________________________

US DOLLARS________________________________________

"DRAWN UNDER SILICON VALLEY BANK, SANTA CLARA, CALIFORNIA, IRREVOCABLE STANDBY LETTER OF CREDIT NUMBER NO. SVBSF______ DATED __________ __, 2003"

TO:SILICON VALLEY BANK

3003 TASMAN DRIVE

SANTA C CLARA, CA 95054

______________________

[INSERT NAME OF BENEFICIARY]

______________________

Authorized Signature

GUIDELINES TO PREPARE THE SIGHT DRAFT OR BILL OF EXCHANGE:
1.DATE INSERT ISSUANCE DATE OF DRAFT OR BILL OF EXCHANGE.

2.REF. NO. INSERT YOUR REFERENCE NUMBER IF ANY.

3.PAY TO THE ORDER OF: INSERT NAME OF BENEFICIARY 

4.US$ INSERT AMOUNT OF DRAWING IN NUMERALS/FIGURES.

5.US DOLLARS INSERT AMOUNT OF DRAWING IN WORDS.

6.LETTER OF CREDIT NUMBERINSERT THE LAST DIGITS OF OUR STANDBY L/C NUMBER THAT PERTAINS TO THE DRAWING.

7.DATED INSERT THE ISSUANCE DATE OF OUR STANDBY L/C.
NOTE:BENEFICIARY SHOULD ENDORSE THE BACK OF THE SIGHT DRAFT OR BILL OF EXCHANGE AS YOU WOULD A CHECK.

IF YOU NEED FURTHER ASSISTANCE IN COMPLETING THIS SIGHT DRAFT OR BILL OF EXCHANGE, PLEASE CALL OUR L/C PAYMENT SECTION AND ASK FOR:  ALICE DALUZ AT (408) 654-7120 OR CESAR AGONCILLO AT (408) 654-3052.

EXHIBIT "B"

DATE:

TO:SILICON VALLEY BANK

3003 TASMAN DRIVE

SANTA CLARA, CA 95054

ATTENTION: INTERNATIONAL DIVISION

RE:SILICON VALLEY BANK, SANTA CLARA, CALIFORNIA 

IRREVOCABLE STANDBY LETTER OF CREDIT NO. SVBSF _____

DATED __________,2003 AMOUNT:  US$_________.

GENTLEMEN:

FOR VALUE RECEIVED, THE UNDERSIGNED BEING A DULY AUTHORIZED REPRESENTATIVE OR OFFICER OF THE BENEFICIARY ("BENEFICIARY") HEREBY IRREVOCABLY TRANSFERS TO:

___________________________

(NAME OF TRANSFEREE)

___________________________

(ADDRESS)

("TRANSFEREE") ALL RIGHTS OF THE BENEFICIARY TO DRAW UNDER THE ABOVE LETTER OF CREDIT UP TO ITS AVAILABLE AMOUNT AS SHOWN ABOVE AS OF THE DATE OF THIS TRANSFER.

BY THIS TRANSFER, ALL RIGHTS OF THE UNDERSIGNED BENEFICIARY IN SUCH LETTER OF CREDIT ARE TRANSFERRED TO THE TRANSFEREE. TRANSFEREE SHALL HAVE THE SOLE RIGHTS AS BENEFICIARY THEREOF, INCLUDING SOLE RIGHTS RELATING TO ANY AMENDMENTS, WHETHER INCREASES OR EXTENSIONS OR OTHER AMENDMENTS, AND WHETHER NOW EXISTING OR HEREAFTER MADE. ALL AMENDMENTS ARE TO BE ADVISED DIRECTLY TO THE TRANSFEREE WITHOUT NECESSITY OF ANY CONSENT OF OR NOTICE TO THE UNDERSIGNED BENEFICIARY.

THE ORIGINAL OF SUCH LETTER OF CREDIT IS RETURNED HEREWITH, AND WE ASK YOU TO ENDORSE THE TRANSFER ON THE REVERSE THEREOF, AND FORWARD IT DIRECTLY TO THE TRANSFEREE WITH YOUR CUSTOMARY NOTICE OF TRANSFER.

	
SINCERELY, 

[INSERT NAME OF TRANSFEROR BENEFICIARY]

_______________________________________

(AUTHORIZED SIGNATURE)

	
SIGNATURE AUTHENTICATION: 1

THE ABOVE SIGNATURE WITH TITLE 

CONFORMS WITH THAT ON FILE WITH US.

	
_____________________________________

(NAME OF BANK OF TRANSFEROR BENEFICIARY)

______________________________________

(AUTHORIZED SIGNATURE)

1  SIGNATURE CAN BE AUTHENTICATED EITHER BY BENEFICIARY'S BANK OR NOTARIZED BY A NOTARY PUBLIC.

EQUIPMENT LEASE AND AGREEMENT

EQUIPMENT LEASE AND AGREEMENT

THIS EQUIPMENT LEASE AND AGREEMENT (the "Agreement"), dated, for reference purposes only, as of February 1, 2003, is made by and between SIEBEL SYSTEMS, INC., a Delaware corporation ("Lessor"), and CATHOLIC HEALTHCARE WEST, a California NonProfit Public Benefit Corporation ("Lessee").

RECITALS

	Lessor, and Crossroads Associates, a California general partnership, and Clock Tower Associates, a California general partnership (collectively, "Office Lessor"), have entered into that certain office lease agreement dated June 4, 1996 (as amended , the "Siebel Lease") whereby Lessor, as tenant, and Office Lessor, as landlord, leased certain premises in the building located at 1825 South Grant Street, San Mateo, San Mateo County, California (the "Building"), which premises includes, without limitation, approximately 29,833 square feet of rentable space located on the eighth (8th) and ninth (9th) floors of the Building (the "Premises"), as outlined on Exhibit "A," attached hereto and incorporated herein by this reference.

	Lessor owns that certain personal property listed on Exhibit "B," attached hereto and incorporated herein by this reference, located in the Premises (the "Equipment").  

	Lessor and Office Lessor have agreed to terminate the Siebel Lease with respect to the Premises only, pursuant to the Seventeenth Amendment to the Siebel Lease ("17th Amendment") executed concurrently with this Agreement, and Lessor, as tenant, has retained the right to lease from Office Lessor the space located on the seventh (7th) floor and a portion of the eighth (8th) floor (commonly known as Suite 800 and shown by the unshadowed crosshatching on Exhibit "A,").

	Concurrently with the execution of this Agreement, Office Lessor and Lessee will enter into a lease agreement for the Premises (the "Lease").

	The Lease is for a term of ten (10) years, expiring on January 31, 2013.

AGREEMENT

	Condition Precedent.  The parties obligations under this Agreement are conditioned upon the complete execution and delivery of (a) the 17th Amendment, by Office Lessor and Lessor; and (b) the Lease, by Office Lessor and Lessee.  In the event such conditions are not fully satisfied within two (2) business days after the complete execution of this Agreement by Lessor and Lessee, either party, at its election, may terminate this Agreement immediately upon written notice to the other party.

	Equipment.  Lessor hereby leases to Lessee, and Lessee hereby leases, hires and takes from Lessor the Equipment (hereinafter, with all parts and pieces, replacement parts, additions, repairs and accessories incorporated therein and/or affixed thereto, referred to as "Leased Equipment").

	Term.

	General.  The term of this Agreement shall be for a period of six (6) years and seven (7) months (unless sooner terminated as hereinafter provided) and, shall commence on the 1st day of March, 2003 (the "Commencement Date") and end on the 31st day of October, 2009 (the "Expiration Date").  This Agreement shall automatically terminate upon the termination of the Lease for any reason.

	Early Access.  Upon complete execution of this Agreement by the parties, and satisfaction of the conditions precedent set forth in Section 1 above, Lessor agrees that Lessee may have access to the Premises during business hours to complete certain leasehold improvements to the Premises, as long as Lessee uses commercially reasonable efforts to minimize the impact of such activities on Lessor's use of the Premises, provided that Lessee's obligations under Section 13 shall be in effect as soon as Lessee or its agents, contractors or invitees enter the Premises, and provided further that Lessee shall have provided to Lessor prior to such entry a certificate of insurance reflecting that Lessee has caused Lessor to be named as an additional insured under the comprehensive liability insurance policy Lessee is required to carry under the Lease with Office Lessor.  

	Rent.  Lessee agrees to pay to Lessor at such place as Lessor may designate the annual sum of Twelve Dollars $12.00 (the "Rent") on the Commencement Date and on or before the first (1st) day of each and every successive year of the Term of this Agreement.  At Lessee's option, at any time, Lessee may prepay the Rent for the entire Term.

	Tenant Improvement Allowance.  

	Upon execution of this Agreement by all parties, Lessor shall pay Lessee an improvement allowance equal to Eight Dollars ($8.00) per rentable square foot of the Premises, in the total amount of Two Hundred Thirty Eight Thousand Six Hundred and Sixty Four Dollars ($238,664) (the "Allowance").

	The Allowance shall be used for the construction of all tenant improvements, and other occupancy-related expenses, including, but not limited to, furniture, fixtures and equipment, telecommunications and cabling, relocation, architectural, engineering and other consulting services (collectively, the "Tenant Improvements") incurred by Lessee in connection with Lessee's relocation to the Premises.  

	Condition Of Leased Equipment; No Warranties By Lessor; Maintenance, Compliance With Laws And Insurance.  PRIOR TO EXECUTING THIS AGREEMENT, LESSEE HAS HAD AN OPPORTUNITY TO EXAMINE THE LEASED EQUIPMENT AND AGREES TO LEASE THE EQUIPMENT "AS IS."   Lessee agrees, at its own cost and expense, (a) except to the extent of any non-compliance caused by Lessor, to comply with all governmental laws, ordinances, regulations, requirements and rules with respect to the use, maintenance and operation of the Leased Equipment; (b) to maintain at all times insurance in type and amount reasonably satisfactory to Lessor, protecting Lessor's interest as it may appear, and deliver to Lessor reasonable evidence of such insurance coverage; (c) to make all repairs and replacements required to be made to maintain the Leased Equipment in good condition, reasonable wear and tear excepted; and (d) to pay all utility expenses incurred in its use of the Leased Equipment.

	Personal Property Taxes. Lessee agrees that, during the Term of this Agreement, in addition to the Rent provided herein to be paid, it will promptly pay all taxes levied or assessed upon the interest of the Lessee in the Leased Equipment.  

	Title of the Lessor: Subject to Lessor's right to require Lessee to purchase the Leased Equipment and subject to Lessee's right to purchase the Leased Equipment as set forth in Sections 10 and 11, title to the Leased Equipment shall at all times remain in the Lessor, and the Leased Equipment is and shall at all times remain personal property.  

	Quiet Enjoyment.  Lessor represents and warrants that Lessee will have quiet enjoyment of the Leased Equipment during the Term, subject to the terms and conditions of this Agreement.  Lessee's quiet enjoyment shall not be deemed to be disturbed when and if Lessor constructs a demising wall between the Offered Suite and Lessee's space on the 8th floor.  Lessee shall cooperate with Lessor to permit Lessor to construct such demising wall during business hours, provided that Lessor shall use commercially reasonable efforts to minimize the impact of such construction on Lessee's use.  

	Lessee's Purchase of the Leased Equipment.  

	At any time during the Term, Lessor may demand in writing (the "Demand") that Lessee purchase the Leased Equipment for a purchase price not to exceed One Dollar ($1.00) (the "Purchase Price").  Lessee shall have fifteen (15) days following receipt of the Demand to commit to purchase the Leased Equipment for the Purchase Price.  Lessee shall have fifteen (15) days after the expiration of the initial fifteen (15) day period described above to consummate the transaction.  

	If Lessee has not previously purchased the Leased Equipment, Lessee shall purchase the Leased Equipment on the Expiration Date for the Purchase Price.  Lessee shall have fifteen (15) days after the Expiration Date to consummate the transaction.  

	Right of First Offer.  Exhibit A identifies by unshadowed crosshatching the space located on the 8th floor of the building that is not included in the Premises and consists of 5571 rentable square feet (the "Offered Suite").  During the term of this Agreement, subject to Office Lessor's prior consent and provided Lessee is not in default under any of the terms, covenants, or conditions of this Agreement, Lessor hereby grants to Lessee the right of first offer to sublease the Offered Suite from Lessor (the "Right of First Offer").  Lessee's Right of First Offer shall be upon and subject to the following terms and conditions:  

	Lessee's right to sublease the Offered Suite shall be the right to accept a proposal by Lessor for such Suite.  Lessor shall notify Lessee in writing of the availability of the space and shall tender to Lessee the terms under which Lessor would sublease the space to Lessee.  The terms shall include the rent, increases in rent, the term, the tenant improvement allowance, if any, and the like.  Lessee shall have ten (10) days from receipt of such notice within which to accept the proposal made by Lessor.  

	In the event Lessee does not accept the proposal by Lessor, then Lessor agrees it will not lease the Offered Suite to another sublessee on terms that are substantially more favorable than those proposed to Lessee without first offering the more favorable terms to Lessee and allowing Lessee five (5) business days within which to accept the more favorable terms.  

	In the event Lessee fails to accept the proposal from Lessor to sublease the Offered Suite, then with respect to the Offered Suite, Lessee's rights under this Section 11 shall be void and Lessor shall have no further obligation to Lessee with respect to the Offered Suite.  

	Default. There shall be deemed to be a breach of this Agreement (a) if Lessee shall default in the payment of any Rent hereunder and such default shall continue for a period of ten (10) days, (b) if Lessee shall default in the performance of any of the other covenants herein and such default shall continue uncured for thirty (30) days after written notice thereof to Lessee by Lessor, or (c) if Lessee ceases doing business as a going concern, or if a petition is filed by or against Lessee under the Bankruptcy Code or any amendment thereto (including a petition for reorganization, arrangement or an extension), or if Lessee attempts to remove or sell or transfer or encumber or sublet or part with possession of the Leased Equipment or any part thereof. In the event of a breach of this Agreement, as herein defined: (x) the Leased Equipment shall upon Lessor's demand forthwith be delivered to Lessor at Lessee's expense at such place as Lessor shall designate and Lessor and/or its agents may, without notice or liability or legal process, enter into any Premises of or under control or jurisdiction of Lessee or any agent of Lessee where the Leased Equipment may be or by Lessor is believed to be, and repossess all or any part of the Leased Equipment, disconnecting and separating all thereof from any other property and using all reasonable force necessary or permitted by applicable law to do so, and (y) all sums due and to become due hereunder shall, at Lessor's option, become payable forthwith. The provisions of this section shall be without prejudice to any rights given to the Lessor by such statute to recover for any amounts allowed thereby. Lessor, upon any breach of this Agreement, may sell the Leased Equipment or may re-lease such Leased Equipment for a term and a rental which may be equal to, greater than or less than the rental and term herein provided. The provisions of this section shall be without prejudice to Lessor's right to recover or prove in full damages for unpaid Rent that accrued prior to the breach of the Agreement. In the event of a breach of this Agreement, Lessor, at its option, may enforce by appropriate legal proceedings specific performance of the applicable covenants of this Agreement as well as any other remedy herein provided.  

	Indemnity.  Lessee shall indemnify, defend and hold Lessor harmless from any and all liability, costs, expense, loss, damage,  causes of action, suits, claims or judgments arising from injury to person or property resulting from or based upon the use of the Premises and/or actual or alleged use, operation, delivery or transportation of  any or all of the Leased Equipment or its location or condition, but excluding, however, any claims for injury solely caused by the gross negligence or willful misconduct of Lessor, its agents, servants, employees, invitees, or contractors.  Lessee shall, at its own cost and expense, defend any and all suits which may be brought against Lessor, either alone or in conjunction with others upon any such liability or claim or claims and shall satisfy, pay and discharge any and all judgments and fines that may be recovered against Lessor in any such action or actions, provided, however, that Lessor shall give Lessee written notice of any such claim or demand.  

	Assignment. This Agreement and all rights of Lessor hereunder shall be assignable by Lessor without Lessee's consent, but Lessee shall not be obligated to any assignee of the Lessor except after written notice of such assignment from the Lessor. Without the prior written consent of Lessor, the Lessee shall not assign this Agreement or its interests hereunder or enter into any sublease with respect to the Leased Equipment covered hereby, it being agreed Lessor will not unreasonably withhold its consent to an assignment of this Agreement or sublease of the Leased Equipment.  Notwithstanding anything contained in this Section 14 to the contrary, Lessee shall have the right to assign this Agreement or sublease the Leased Equipment, or any part thereof, to an "Affiliate" without the prior written consent of Lessor, upon at least ten (10) business days prior written notice to Lessor in the case of a subletting to an Affiliate and upon written notice given no more than ten (10) days after closure of the affiliation transaction, in the case of an assignment to an Affiliate.  For purposes of this provision, the term "Affiliate" shall mean any corporation or other entity controlling, controlled by, or under common control with (directly or indirectly) Lessee, including, without limitation, any parent corporation controlling Lessee or any subsidiary that Lessee controls or any entity resulting from any consolidation, merger, sale or reorganization of Lessee with another entity or the sale of all or substantially all of Lessee's assets or of all or substantially all of the interests (whether partnership, stock or otherwise) in Lessee.  The term "control," as used herein, shall mean the power to direct or cause the direction of the management and policies of the controlled entity through the ownership of more than fifty percent (50%) of the voting securities in such controlled entity.  

	Further Assurances.  Lessee shall execute and deliver to Lessor, upon Lessor's request, such instruments and assurances as Lessor deems necessary or advisable.  

	Notices, Remedies and Waivers.  All notices, demands, requests, advices or designations which may be or are required to be given by either party to the other hereunder shall be in writing.  All notices, demands, requests, advices or designations by Lessor to Lessee shall be sufficiently given, made or delivered if personally served on Lessee by leaving the same at the Premises or if sent by United States certified or registered mail, postage prepaid, addressed to Lessee at the Premises, with copies to: Murphy Austin Adams Schoenfeld LLP, 1000 G Street, Third Floor, Sacramento, California 95812, Attention:  Suzanne E. Hennessy; and Catholic Healthcare West, 185 Berry Street, #300, San Francisco, CA 94107, Attn:  Jeff Land.  All notices, demands, requests, advices or designations by Lessee to Lessor shall be sent by United States certified or registered mail, postage prepaid, addressed to Lessor at its offices at Siebel Systems, Inc., 2207 Bridgepointe Parkway, San Mateo, CA 94494, Attn:  VP of Real Estate and Facilities, with a copy to Siebel Systems, Inc., 2207 Bridgepointe Parkway, San Mateo, CA 94494, Attn:  General Counsel.  Each notice, request, demand advice or designation referred to in this section shall be deemed received on the date of the personal service or mailing thereof in the manner herein provided, as the case may be. No remedy of Lessor hereunder shall be exclusive of any other remedy herein or by law provided, but each shall be cumulative and in addition to every other remedy. A waiver of a default shall not be a waiver of any other or a subsequent default.  

	Counterparts.  This Agreement may be signed simultaneously in multiple counterparts, each of which shall be deemed an original (including copies sent to a party by facsimile transmission), but all of which taken together shall constitute one and the same instrument.  

	Entire Agreement.  The terms and conditions hereof relating to the subject matter described herein (i) constitute the entire agreement and understanding between Lessor and Lessee, (ii) supersede all prior agreements, and understandings, written or oral, between Lessor and Lessee, and (iii) may not be modified or amended except by an instrument mutually executed and delivered by Lessor and Lessee.  

	Governing Law.  This Agreement shall in all respects be governed by and construed in accordance with the laws of the State of California.  If any provision of this Agreement shall be invalid, unenforceable or ineffective for any reason whatsoever, all other provisions hereof shall be and remain in full force and effect.

IN WITNESS WHEREOF, Lessor and Lessee have executed and delivered this Agreement as of the day and year first above written.

LESSOR:

SIEBEL SYSTEMS, INC., a Delaware corporation

By:  /s/  Jeffrey T. Amann

Title:  Senior Vice President and General Counsel

Date:  2/3/03

LESSEE:

CATHOLIC HEALTHCARE WEST,

a California NonProfit Public Benefit Corporation

By:  /s/  Stephen Hargett

Title:  Vice  President, Operations

Date:  2/4/03

EXHIBIT "A"

Premises and Offered Suite

Eighth Floor

[Diagram of Premises]

Eighth Floor

[Diagram of Eighth Floor]

Ninth Floor

[Diagram of Ninth Floor]12312002 Form 10-K Lease Exhibit

                                            Exhibit 10.17

                             Table Of Contents

	
 
	
 
	
Page

	
1.
	
PREMISES
	
4

	
2.
	
POSSESSION AND LEASE COMMENCEMENT
	
4

	
3.
	
TERM
	
5

	
4.
	
USE
	
5

	
5.
	
RULES AND REGULATIONS
	
8

	
6.
	
RENT
	
9

	
7.
	
OPERATING EXPENSES
	
9

	
8.
	
INSURANCE AND INDEMNIFICATION
	
15

	
9.
	
WAIVER OF SUBROGATION
	
18

	
10.
	
LANDLORD'S REPAIRS AND MAINTENANCE
	
18

	
11.
	
TENANT'S REPAIRS AND MAINTENANCE
	
19

	
12.
	
ALTERATIONS
	
19

	
13.
	
SIGNS
	
21

	
14.
	
INSPECTION/POSTING NOTICES
	
22

	
15.
	
SERVICES AND UTILITIES
	
22

	
16.
	
SUBORDINATION AND ATTORNMENT
	
24

	
17.
	
FINANCIAL STATEMENTS
	
25

	
18.
	
ESTOPPEL CERTIFICATE
	
25

	
19.
	
SECURITY DEPOSIT
	
26

	
20.
	
LIMITATION OF TENANT'S REMEDIES
	
26

	
21.
	
ASSIGNMENT AND SUBLETTING
	
27

	
22.
	
AUTHORITY
	
30

	
23.
	
CONDEMNATION
	
30

	
24.
	
CASUALTY DAMAGE
	
30

	
25.
	
HOLDING OVER
	
32

	
26.
	
DEFAULT
	
32

	
27.
	
LIENS
	
35

	
28.
	
INTENTIONALLY OMITTED
	
35

	
29.
	
TRANSFERS BY LANDLORD
	
35

	
30.
	
RIGHT OF LANDLORD TO PERFORM TENANT'S COVENANTS
	
36

	
31.
	
WAIVER
	
36

	
32.
	
NOTICES
	
36

	
33.
	
ATTORNEYS' FEES
	
37

	
34.
	
SUCCESSORS AND ASSIGNS
	
37

	
35.
	
FORCE MAJEURE
	
37

	
36.
	
SURRENDER OF PREMISES
	
37

	
37.
	
PARKING
	
38

	
38.
	
MISCELLANEOUS
	
39

	
39.
	
ADDITIONAL PROVISIONS
	
41

	
40.
	
JURY TRIAL WAIVER
	
45

BASIC LEASE INFORMATION

OFFICE NET

	
LEASE DATE:
	
December ___, 2000

	
TENANT:
	
SIEBEL SYSTEMS, INC., a Delaware corporation

	
TENANT'S NOTICE ADDRESS:
	
2207 Bridgepointe Parkway

San Mateo, CA 94404

Attn: Vice President, Real Estate and Facilities

	 	
With a copy to:

2207 Bridgepointe Parkway

San Mateo, CA 94404

Attn: Vice President, Legal Affairs

	
TENANT'S BILLING ADDRESS:
	
2207 Bridgepointe Parkway

San Mateo, CA 94404

Attn: Vice President, Real Estate and Facilities

	
TENANT CONTACT: Linda Jansen
	
PHONE NUMBER:  (650) 477-5511

FAX NUMBER:  (650) 477-7252

	
LANDLORD:
	
PW ACQUISITIONS VIII, LLC, a Delaware limited liability
company

	
LANDLORD'S NOTICE ADDRESS:
	
c/o PaineWebber Incorporated

1285 Avenue of the Americas, 38th Floor

New York, NY 10019

Attn: Mr. Terrence E. Fancher

	
 
	
With a copy to: 

c/o PaineWebber Incorporated

1285 Avenue of the Americas, 38th Floor

New York, NY 10019

Attn: Mr. John C. Tashjian

	
LANDLORD'S REMITTANCE ADDRESS:
	
c/o PaineWebber Incorporated

1285 Avenue of the Americas, 38th Floor

New York, NY 10019

Attn: Mr. John C. Tashjian

	
Project Description:
	
A commercial project to be developed at the northeast corner of
Franklin Drive and Saratoga Drive in San Mateo, California, to be known as
"The Center @ Bay Meadows", which is currently anticipated to be
approximately as depicted on Exhibit B-2.

	
Premises:
	
Approximately 126,060 rentable square feet constituting certain
space within that certain four (4) story building (the "Building") to
be constructed approximately in the location specified as "Building 2"
on Exhibit B attached hereto, which space is described as all rentable square
footage to be located on the second (2nd), third (3rd) and fourth (4th) floors
of the Building, a portion of the ground floor of the Building and the elevator
lobby within the parking structure serving the Project devoted to elevators
exclusively serving the Premises, approximately as shown on Exhibit B-
1.

	
Permitted Use:
	
General office use and, subject to the provisions of Paragraph
39.C below, use as a training facility.

	
Occupancy Density:
	
One occupant per each two hundred (200) rentable square feet of
the Premises.

	
Parking and Parking Charge:
	
Three (3) non-exclusive, unreserved parking spaces (to be
located within the unreserved parking areas of the Project serving the Building)
per each one thousand (1,000) rentable square feet in the Premises (rounded to
the nearest whole number of parking spaces in the event the rentable area of the
Premises is not evenly divisible by one thousand (1,000)) without charge during
the Term, in accordance with Paragraph 37 below.  Additionally, Landlord shall
provide Tenant with twenty-five hundredths (0.25) designated visitor parking
spaces per each one thousand (1,000) rentable square feet in the Premises
(rounded to the nearest whole number of parking spaces in the event the rentable
area of the Premises is not evenly divisible by one thousand (1,000)) without
charge during the Term.

	
Scheduled Term Commencement Date:
	
May 1, 2002

	
Scheduled Length of Term:
	
One hundred forty-four (144) months

	
Scheduled Term Expiration Date:
	
April 30, 2014

	
Rent:
	 
	Base Rent:

	
$6.45 per month per rentable square foot in the Premises,
subject to increase on each yearly anniversary of the Term Commencement Date
occurring during the Term by three percent (3%) per annum, calculated on a
cumulative and compounding basis

	Estimated First Year Operating Expenses:

	
$0.95 per rentable square foot per month

	
Security Deposit: 
	
See Paragraph 39.D below.

	
Tenant's Proportionate Share:
	 
	Of Building:

	
The percentage equal to the product of (a) 100, multiplied by
(b) a fraction, the numerator of which is the total rentable square footage of
the Premises and the denominator of which is the total rentable square footage
of the Building

	Of Project or Common Areas:

	
The percentage equal to the product of (a) 100, multiplied by
(b) a fraction, the numerator of which is the total rentable square footage of
the Premises and the denominator of which is the total rentable square footage
of the Project

	
Brokers: 
	 
	Landlord's Broker:

	
Cornish & Carey Commercial

	Tenant's Broker:

	
Resource Real Estate Group, Inc.

The foregoing Basic Lease Information is
incorporated into and made a part of this Lease.  Each reference in this Lease
to any of the Basic Lease Information shall mean the respective information
above and shall be construed to incorporate all of the terms provided under the
particular Lease paragraph pertaining to such information.  In the event of any
conflict between the Basic Lease Information and the Lease, the latter shall
control.

	
LANDLORD
	
TENANT

	
PW ACQUISITIONS VIII, LLC

                                a Delaware limited liability company

	
SIEBEL SYSTEMS, INC.

                                a Delaware corporation

	
By:  /s/ John C. Tashjian

                                Print Name: John C. Tashjian

                                Its: Vice President
	
By:  /s/ Jeffrey T. Amann

                                Print Name:  Jeffrey T. Amann

                                Its:  Vice President, Legal
Affairs

	 	
By:________________________

                                Print Name:___________________

                                Its:__________________________

 

LEASE

THIS LEASE is made as of the ___ day of
________, 2000, by and between PW ACQUISITIONS VIII, LLC, a Delaware limited
liability company (hereinafter called "Landlord"), and SIEBEL
SYSTEMS, INC., a Delaware corporation (hereinafter called
"Tenant").

	PREMISES

Landlord leases to Tenant and Tenant leases from
Landlord, upon the terms and conditions hereinafter set forth, those premises
(the "Premises") described in the Basic Lease Information.  The
Premises shall be all or part of a building (the "Building")
and of a project (the "Project"), which may consist of more
than one building and additional facilities, as described in the Basic Lease
Information.  The Building and Project are each depicted on Exhibit B.
Landlord and Tenant acknowledge that physical changes may occur from time to
time in the Premises, Building or Project, and that the number of buildings and
additional facilities which constitute the Project may change from time to time,
which may result in an adjustment in Tenant's Proportionate Share, as defined in
the Basic Lease Information.

	POSSESSION AND LEASE
COMMENCEMENT

	Term Commencement Date.  The term commencement date
("Term Commencement Date") shall be the earlier of the date on
which:

	Tenant commences occupancy of the Premises for purposes
other than construction of Tenant's Work and installation of Tenant's furniture,
trade fixtures and equipment;

	One hundred twenty (120) days following the Substantial
Completion `of the "Base Building Work" described in Exhibit
C, other than the "GHJK Work" as described in
Schedule 1 to Exhibit C; provided that such one hundred
twenty (120) day period shall be subject to extension for any actual delays in
Tenant's Substantial Completion of Tenant's Work resulting from Landlord Delays
(as defined and more particularly set forth in Exhibit C) occurring
following Landlord's Substantial Completion of the Base Building Work other than
the GHJK Work.

	Substantial Completion.  For the purposes of the
Lease, the Substantial Completion of the Base Building Work and delivery of
possession of the Premises shall be deemed to occur on such date as Landlord
delivers to Tenant a certification from the Base Building Work architect that
the Base Building Work has been Substantially Completed in accordance herewith
(subject to the provisions herein respecting completion of the GHJK Work
following such Substantial Completion), provided that the GHJK Work is completed
to such extent as is necessary to permit construction of the Tenant Work
(including, without limitation, by making utilities available to the Building,
by temporary facilities if necessary and by causing a manlift or one of the
Building elevators to be operational as of the date of such Substantial
Completion) so as not to delay or increase the expense of performance of the
Tenant's Work.  By the Term Commencement Date, all GHJK Work shall be completed
to such extent as is necessary to permit Tenant to operate its business from the
entire Premises and to utilize its parking spaces without material and adverse
affect or cost resulting from the incomplete nature of the GHJK Work.  Landlord
shall diligently prosecute the Base Building Work to completion following such
Substantial Completion, and the parties shall reasonably cooperate to avoid
delay or increased costs to either party as a result of the completion of the
Base Building Work concurrent with the performance of Tenant's Work.  Following
the delivery of possession of the Premises to Tenant pursuant hereto, Landlord
shall cause the Base Building Work contractor to coordinate the scheduling and
performance of the remaining Base Building Work with the Tenant's Work
Contractor.  Tenant shall not be liable for any Rent for the period prior to the
Term Commencement Date (but without affecting any obligation of Tenant under any
improvement agreement appended to this Lease).

	Punch List.  Substantial Completion shall have
occurred notwithstanding Tenant's submission of a punchlist to Landlord, which
Tenant shall submit, if at all, within five (5) business days after Landlord's
delivery of' possession of the Premises to Tenant with the Base Building Work
(other than the GHJK Work) Substantially Completed, or with respect to the GHJK
Work, within five (5) business days following the Term Commencement Date.
Landlord shall thereafter diligently prosecute the cure of any such properly
identified punch list items.

	Delay in Delivery.  If for any reason (i) Landlord
has not Substantially Completed the Base Building Work on the scheduled delivery
date (which scheduled delivery date is the date which is one hundred twenty
(120) days prior to the Scheduled Term Commencement Date), or (ii) due to
Landlord's delay in such Substantial Completion of the Base Building Work or the
GHJK Work, the Term Commencement Date does not occur by the Scheduled Term
Commencement Date, Landlord shall not be subject to any liability therefor, nor
shall Landlord be in default hereunder, nor shall such failure affect the
validity of this Lease, and Tenant agrees to accept possession of the Premises
at such time as the Base Building Work (but for the GHJK Work) has been
Substantially Completed, which date shall then be used as the starting date for
the calculation of the one hundred twenty (120) day period referenced in clause
A(2) above of this Section 2.  Notwithstanding the foregoing, if by November 1,
2001, as such date may be extended by force majeure delays as described in
Paragraph 35 below and by delays caused by Tenant (such date, as so extended.
is referred to herein as the "Outside Date"), Landlord has not
commenced construction of the Building (which, for purposes hereof, shall mean
commencement of foundation work for the Building) and is not diligently pursuing
construction of the.  Building to completion, then Tenant shall have the right
to terminate this Lease by giving written notice to Landlord within thirty (30)
days following the Outside Date, in the event of which termination, Landlord
shall promptly refund to Tenant all prepaid rent and other amounts deposited
with Landlord and Landlord shall surrender to Tenant any Letter of Credit
delivered pursuant to Paragraph 39.D below, and the parties shall be relieved of
all other obligations hereunder.

	Disputes.  In the event of any dispute as to
whether there has been Substantial Completion of work performed or required to
be performed by Landlord, such dispute shall be submitted to arbitration under
Paragraph 39.B below.

	Start-Up Letter.  Upon the Term Commencement Date
and following Landlord's request, Tenant shall promptly execute and return to
Landlord a "Start-Up Letter" in which the parties shall acknowledge
the agreed upon the Term Commencement Date, in accordance with the terms of this
Lease, but either party's failure or refusal to enter into the "StartUp
Letter" shall not negate Tenant's acceptance of the Premises or affect
determination of the Term Commencement Date.

	TERM

This Lease shall be effective and binding upon the
parties from and after the date hereof, but the term of this Lease (the
"Term") shall commence on the Term Commencement Date and continue in
full force and effect for the number of months specified as the Length of Term
in the Basic Lease Information or until this Lease is terminated as otherwise
provided herein.  If the Term Commencement Date is a date other than the first
day of the calendar month, the Term shall be the number of months of the Length
of Term in addition to the remainder of the calendar month following the Term
Commencement Date.

	USE

	General.  Tenant shall use the Premises for the
permitted use specified in the Basic Lease Information ("Permitted
Use") and for no other use or purpose.  Tenant shall control Tenant's
employees, agents, customers, visitors, invitees, licensees, contractors,
assignees and subtenants (collectively, "Tenant's Parties") in
such a manner that Tenant and Tenant's Parties cumulatively do not exceed the
occupant density specified in the Basic Lease Information (the
"Occupancy Density") or utilize more parking than is specified
in the Basic Lease Information at any time.  So long as Tenant is occupying the
Premises, Tenant and Tenant's Parties shall have the "non-exclusive right
to use, in common with other parties occupying the Building or Project, the
parking areas (up to the number of non-exclusive parking spaces specified in the
Basic Lease Information), driveways and other common areas of the Building and
Project, subject to the terms of this Lease and such rules and regulations as
Landlord may from time to time prescribe.  Landlord reserves the right, without
notice or liability to Tenant, and without the same constituting an actual or
constructive eviction, to alter or modify the common areas from time to time,
including the location and configuration thereof, and the amenities and
facilities which Landlord may determine to provide from time to time, provided
that any such alteration or modification of the common areas shall not
materially and adversely interfere with Tenant's Permitted Use in accordance
with this Lease or materially and adversely interfere with Tenant's access to
the Premises.

	Limitations.  Tenant shall not permit any odors,
smoke, dust, gas, substances, noise or vibrations to emanate from the Premises
or from any portion of the common areas as a result of Tenant's or any Tenant's
Party's use thereof, nor take any action which would constitute a nuisance or
would disturb, obstruct or endanger any other tenants or occupants of the
Building or Project or elsewhere, or interfere with their use of their
respective premises or common areas.  Storage outside the Premises of materials,
vehicles or any other items is prohibited.  Tenant shall not use or allow the
Premises to be used for any immoral, improper or unlawful purpose, nor shall
Tenant cause or maintain or permit any nuisance in, on or about the Premises.
Tenant shall not commit or suffer the commission of any waste in, on or about
the Premises.  Tenant shall not allow any sale by auction upon the Premises, or
place any loads upon the floors, walls or ceilings which could endanger the
structure, or place any harmful substances in the drainage system of the
Building or Project.  No waste, materials or refuse shall be dumped upon or
permitted to remain outside the Premises.  Landlord shall not be responsible to
Tenant for the noncompliance by any other tenant or occupant of the Building or
Project with any of the above-referenced rules or any other terms or provisions
of such tenant's or occupant's lease or other contract.

	Compliance with Regulations.  By entering the
Premises, Tenant accepts the Premises in the condition existing as of the date
of such entry, subject to Landlord's completion of all Base Building Work
(including, without limitation, all punch list items with respect thereto) as
provided in this Lease.  Tenant shall at its sole cost and expense strictly
comply with all existing or future applicable municipal, state and federal and
other governmental statutes, rules, requirements, regulations, laws and
ordinances, including zoning ordinances and regulations, and covenants,
easements and restrictions of record governing and relating to the use,
occupancy or possession of the Premises, to Tenant's use of the common areas, or
to the use, storage, generation or disposal of Hazardous Materials (hereinafter
defined) (collectively "Regulations").  Tenant shall at its
sole cost and expense obtain any and all licenses or permits necessary for
Tenant's use of the Premises.  Tenant shall at its sole cost and expense
promptly comply with the requirements of any board of fire underwriters or other
similar body now or hereafter constituted.  Tenant shall not do or permit
anything to be done in, on, under or about the Project or bring or keep anything
which will in any way increase the rate of any insurance upon the Premises,
Building or Project or upon any contents therein or cause a cancellation of said
insurance or otherwise affect said insurance in any manner.  Tenant shall
indemnify, defend (by counsel reasonably acceptable to Landlord), protect and
hold Landlord harmless from and against any loss, cost, expense, damage,
attorneys' fees or liability arising out of the failure of Tenant to comply with
any Regulation.  Tenant's obligations pursuant to the foregoing indemnity shall
survive the expiration or earlier termination of this Lease.  Except as provided
in this Lease, Landlord shall be responsible for complying with Regulations
pertaining to the common areas of the Project as of the completion of the Base
Building Work (but without regard to the particular nature of Tenant's use or
occupancy of the Premises or the Additional Tenant Work, the Tenant Improvements
and/or Alterations made by or on behalf of Tenant) except to the extent arising
out of (1) Tenant's particular occupancy or use (as opposed to mere occupancy)
of the Premises or common areas, or (2) construction of any of the Additional
Tenant Work, the Tenant Improvements and/or Alterations made by or on behalf of
Tenant, whether by Landlord or otherwise, and performed after the Term
Commencement Date, or (3) installation of any equipment, fixtures, furniture or
other personal property in or about the Premises.  Tenant shall have the sole
responsibility for complying, at Tenant's cost, with any and all provisions of
the Americans with Disabilities Act of 1990, as it has been and may later be
amended ("ADA"), (i) with respect to the Premises (other than as to
elements of the Base Building Work as of the completion thereof, but without
regard to the particular nature of Tenant's use or occupancy of the Premises or
the Additional Tenant Work, the Tenant Improvements and/or Alterations made by
or on behalf of Tenant); and (ii) with respect to the common areas of the
Project where in the case of this clause (ii) such compliance has been brought
about by: (A) any Additional Tenant Work, Tenant Improvements and/or Alterations
to the Premises or to the common areas made by or on behalf of Tenant, whether
by Landlord or otherwise, and performed after the Substantial Completion of the
Base Building Work; (B) requirements of Tenant's employees, or any changes to
Tenant's use of the Premises; or (C) any architectural barriers caused by
Tenant's installation of any equipment, fixtures, furniture, or other personal
property in or about the Premises (items (i) and (h) collectively,
"Tenant's ADA Responsibilities").  Tenant shall indemnify,
defend and hold Landlord harmless from and against any and all claims, damages,
or liabilities (including, without limitation, reasonable attorneys' fees and
costs) arising directly or indirectly from Tenant's failure to satisfy any of
Tenant's ADA Responsibilities.  Landlord shall indemnify, defend and hold Tenant
harmless from and against any and all claims, damages or liabilities (including,
without limitation, reasonable attorneys' fees and costs) arising directly or
indirectly from Landlord's failure to comply with any obligations of a landlord
under the ADA, other than such claims, damages or liabilities (including,
without limitation, reasonable attorneys' fees and costs) arising from Tenant's
failure to satisfy any of Tenant's ADA Responsibilities; provided, however, that
Landlord may treat costs of ADA compliance with respect to the common areas of
the Project to the extent necessitated by Regulations or the ADA (or
interpretations thereof) as coming into effect after the Substantial Completion
of the Base Building Work as an Operating Expense in accordance with Paragraph 7
hereof.  Landlord represents that, as of the date Landlord delivers possession
of the Premises to Tenant, to Landlord's actual knowledge, the Base Building
Work shall comply in all material respects with each of.  (x) the ADA, and (y)
Regulations, as the ADA and Regulations have each been interpreted or applied in
San Mateo County and as each of the ADA and Regulations pertain to the Base
Building Work (but without regard to the Additional Tenant Work, Tenant
Improvements and/or Alterations to the Premises or to the common areas made by
or on behalf of Tenant).  Any costs incurred by Landlord to comply with ADA and
Regulations solely as described in the foregoing sentence shall not be an
Operating Expense as defined herein.

	Hazardous Materials.  As used in this Lease,
"Hazardous Materials" shall include, but not be limited to,
hazardous, toxic and radioactive materials and those substances defined as
"hazardous substances," "hazardous materials,"
"hazardous wastes," "toxic substances," or other similar
designations in any Regulation.  Tenant shall not cause, or allow any of
Tenant's Parties to cause, any Hazardous Materials to be handled, used,
generated, stored, released or disposed of in, on, under or about the Premises,
the Building or the Project or surrounding land or environment in violation of
any Regulations.  Tenant must obtain Landlord's written consent prior to the
introduction of any Hazardous Materials onto the Project.  Notwithstanding the
foregoing, Tenant may handle, store, use and dispose of products containing
small quantities of Hazardous Materials customary for "general office
purposes" (such as toner for copiers) to the extent customary and necessary
for the Permitted Use of the Premises; provided that Tenant shall always handle,
store, use, and dispose of any such Hazardous Materials in a safe and lawful
manner in compliance with all Regulations and never allow such Hazardous
Materials to contaminate the Premises, Building, or Project or surrounding land
or environment.  Tenant shall immediately notify Landlord in writing of any
Hazardous Materials' contamination of any portion of the Project of which Tenant
becomes aware which has not been previously disclosed by Tenant to Landlord or
by Landlord to Tenant, whether or not caused by Tenant.  Landlord shall
immediately notify Tenant in writing of any Hazardous Materials' contamination
of any portion of the Project of which Landlord becomes aware which has not been
previously disclosed by Landlord to Tenant or by Tenant to Landlord, whether or
not caused by Landlord, to the extent such contamination poses a material threat
of harm to persons at the Premises or common areas or of material adverse affect
upon the operation of Tenant's business from the Premises.  Landlord shall have
the right at all reasonable times to inspect the Premises and to conduct tests
and investigations to determine whether Tenant is in compliance with the
foregoing provisions, the costs of all such inspections, tests and
investigations to be borne by Landlord, unless Landlord reasonably believes that
Tenant or any of the Tenant Parties has violated this Paragraph 4.D or any
Regulation, in which event such costs shall be borne solely by Tenant.  Tenant
shall indemnify, defend (by counsel reasonably acceptable to Landlord), protect
and hold Landlord harmless from and against any and all claims, liabilities,
losses, costs, loss of rents, liens, damages, injuries or expenses (including
reasonable attorneys' and consultants' fees and court costs), demands, causes of
action, or judgments directly or indirectly arising out of or related to the
use, generation, storage, release, or disposal of Hazardous Materials by Tenant
or any of Tenant's Parties in, on, under or about the Premises, the Building or
the Project or surrounding land or environment, which indemnity shall include,
without limitation, damages for personal or bodily injury, property damage,
damage to the environment or natural resources occurring on or off the Premises,
losses attributable to diminution in value or adverse effects on marketability,
the cost of any investigation, monitoring, government oversight, repair,
removal, remediation, restoration, abatement, and disposal, and the preparation
of any closure or other required plans, whether such action is required or
necessary prior to or following the expiration or earlier termination of this
Lease.  Neither the consent by Landlord to the use, generation, storage, release
or disposal of Hazardous Materials nor the strict compliance by Tenant with all
laws pertaining to Hazardous Materials shall excuse Tenant from Tenant's
obligation of indemnification pursuant to this Paragraph 4.D. Tenant's
obligations pursuant to the foregoing indemnity shall survive the expiration or
earlier termination of this Lease.  Landlord shall indemnify, defend and hold
Tenant harmless from and against any and all claims, judgments, damages,
penalties, fines, costs, liabilities or losses, including without limitation
reasonable attorneys' fees and costs arising out of any Hazardous Material in,
on or about the Project or the Premises which was created, handled, placed,
stored, used, transported or disposed of by Landlord or by Landlord's agents,
employees or representatives, excluding, however, any Hazardous Material, whose
presence was caused by Tenant or any Tenant's Parties.  In the event Tenant or
any Tenant Party violates this Paragraph 4.D. or in any way is not compliant
with any Regulation concerning Hazardous Materials, and Tenant fails to
immediately and adequately, as reasonably determined by Landlord, commence and
prosecute a cure, Landlord has the option, but not the obligation, to
immediately commence a cure on Tenant's behalf.  Landlord may take such actions
without any obligation and without releasing Tenant from any of Tenant's
obligations.  All sums so paid by Landlord and all incidental costs incurred by
Landlord and interest thereon at the Applicable Interest Rate, from the date of
payment by Landlord, shall be paid to Landlord on demand as Additional
Rent.

	RULES AND
REGULATIONS

Tenant shall faithfully observe and comply with the
building rules and regulations attached hereto as Exhibit A and any other
reasonable rules and regulations and any modifications or additions thereto
which Landlord may from time to time prescribe in writing for the purpose of
maintaining the proper care, cleanliness, safety, traffic flow and general order
of the Premises or the Building or Project, and provided that such reasonable
rules and regulations shall not materially adversely affect Tenant's use of the
Premises as provided hereunder or materially and adversely interfere with
Tenant's access to the Premises.  Landlord shall apply such rules and
regulations in a nondiscriminatory manner.  Tenant shall cause Tenant's Parties
to comply with such rules and regulations.  Landlord shall not be responsible to
Tenant for the non-compliance by any other tenant or occupant of the Building or
Project with any of such rules and regulations, any other tenant's or occupant's
lease or any Regulations.  In the event that a conflict exists between this
Lease and Exhibit A, the terms of this Lease shall control.

	RENT

	Base Rent.  Tenant shall pay to Landlord and Landlord
shall receive, without notice or demand throughout the Term, Base Rent as
specified in the Basic Lease Information, payable in monthly installments in
advance on or before the first day of each calendar month, in lawful money of
the United States, without deduction or offset whatsoever, at the Remittance
Address specified in the Basic Lease Information or to such other place as
Landlord may from time to time designate in writing.  The amount of $813,087.00,
as an estimate of Base Rent to be applied against payment of Base Rent for the
first full month of the Term shall be paid by Tenant upon Tenant's execution of
this Lease.  If the obligation for payment of Base Rent commences on a day other
than the first day of a month, then Base Rent shall be prorated and the prorated
installment shall be paid on the first day of the calendar month next succeeding
the Term Commencement Date.  The Base Rent payable by Tenant hereunder is
subject to adjustment as provided elsewhere in this Lease, as applicable.  As
used herein, the term "Base Rent" shall mean the Base Rent specified
in the Basic Lease Information as it may be so adjusted from time to
time.

	Additional Rent.  All monies other than Base Rent
required to be paid by Tenant hereunder, including, but not limited to, Tenant's
Proportionate Share of Operating Expenses, as specified in Paragraph 7 of this
Lease, charges to be paid by Tenant under Paragraph 15, the interest and late
charge described in Paragraphs 26.D. and E., and any monies spent by Landlord
pursuant to Paragraph 30, shall be considered additional rent
("Additional Rent").  "Rent" shall mean Base
Rent and Additional Rent.

	OPERATING EXPENSES

	Operating Expenses.  In addition to the Base Rent
required to be paid hereunder, Tenant shall pay as Additional Rent, Tenant's
Proportionate Share of the Building and/or Project (as applicable), as defined
in the Basic Lease Information, of Operating Expenses (defined below) in the
manner set forth below.  Tenant shall pay the applicable Tenant's Proportionate
Share of each such Operating Expenses.  Building Operating Expenses (which shall
be paid by Tenant based upon Tenant's Proportionate Share of the Building) shall
mean those items of Operating Expenses which are attributable solely to the
Building.  Project Operating Expenses (which shall be paid by Tenant based upon
Tenant's Proportionate Share of the Project) shall mean those items of Operating
Expenses which are attributable to the Project common areas or the Project as a
whole (and which are not segregable on a building by building basis so that the
amount thereof allocable to the Building alone could be included in Building
Operating Expenses).  Landlord and Tenant acknowledge that if the number of
buildings which constitute the Project increases or decreases, or if physical
changes are made to the Premises, Building or Project or the configuration of
any thereof, Landlord will reasonably adjust Tenant's Proportionate Share of the
Building or Project to reflect the change.  Landlord's determination of Tenant's
Proportionate Share of the Building and of the Project shall be conclusive so
long as it is reasonably and consistently applied.  Operating Expenses shall be
reasonably allocated by Landlord to the tenants of the Building and the Project.
Landlord shall have the right, from time to time, to equitably allocate some or
all of the Operating Expenses for the Project among different portions or
occupants of the Project (the "Cost Pools"), in Landlord's reasonable
discretion.  Such Cost Pools may include, but shall not be limited to, the
office space tenants of a building of the Project or of the Project, and the
retail space tenants of a building of the Project or of the Project.  The
Operating Expenses allocable to each such Cost Pool shall be allocated to such
Cost Pool and charged to the tenants within such Cost Pool in an equitable
manner.  "Operating Expenses" shall mean all expenses and costs
of every kind and nature which Landlord shall pay or become obligated to pay,
because of or in connection with the ownership, management, maintenance, repair,
preservation, replacement and operation of the Building or Project and its
supporting facilities and such additional facilities now and in subsequent years
as may be determined by Landlord to be necessary or desirable to the Building
and/or Project (as determined in a reasonable manner) other than those expenses
and costs which are specifically attributable to Tenant or which are expressly
made the financial responsibility of Landlord pursuant to this Lease or of other
tenants of the Building or Project pursuant to the terms of their respective
leases (other than such other tenants' contributions to Operating Expenses).
Operating Expenses shall include, but are not limited to, the
following:

	Taxes.  All real property taxes and assessments,
possessory interest taxes, sales taxes, personal property taxes, business or
license taxes or fees, gross receipts taxes, service payments in lieu of such
taxes or fees, annual or periodic license or use fees, excises, transit charges,
and other impositions, general and special, ordinary and extraordinary,
unforeseen as well as foreseen, of any kind (including fees "in-lieu"
of any such tax or assessment) which are now or hereafter assessed, levied,
charged, confirmed, or imposed by any public authority upon the Building or
Project, its operations or the Rent (or any portion or component thereof), or
any tax, assessment or fee imposed in substitution, partially or totally, of any
of the above.  Operating Expenses shall also include any taxes, assessments,
reassessments, or other fees or impositions with respect to the development,
leasing, management, maintenance, alteration, repair, use or occupancy of the
Premises, Building or Project or any portion thereof, including, without
limitation, by or for Tenant, and all increases therein or reassessments thereof
whether the increases or reassessments result from increased rate and/or
valuation (whether upon a transfer of the Building or Project or any portion
thereof or any interest therein or for any other reason).  Operating Expenses
shall not include inheritance or estate taxes imposed upon or assessed against
the interest of any person in the Project, or taxes computed upon the basis of
the net income of any owners of any interest in the Project.  If it shall not be
lawful for Tenant to reimburse Landlord for all or any part of such taxes, the
monthly rental payable to Landlord under this Lease shall be revised to net
Landlord the same net rental after imposition of any such taxes by Landlord as
would have been payable to Landlord prior to the payment of any such
taxes.

	Insurance.  All insurance premiums and costs,
including, but not limited to, any deductible amounts, premiums and other costs
of insurance incurred by Landlord, including for the insurance coverage set
forth in Paragraph 8.A. herein.

	Common Area Maintenance.

	Repairs, replacements, and general maintenance of and
for the Building and Project and public and common areas and facilities of and
comprising the Building and Project, including, but not limited to, the roof and
roof membrane, windows, elevators, restrooms, conference rooms and/or health
club facilities (provided that such conference rooms and/or health club
facilities are made available to Tenant on a nonexclusive basis), lobbies,
mezzanines.  balconies, mechanical rooms, building exteriors, alarm systems,
pest extermination, landscaped areas, parking and service areas, driveways,
sidewalks, loading areas, fire sprinkler systems, sanitary and storm sewer
lines, utility services, heating/ventilation/air conditioning systems,
electrical, mechanical or other systems, telephone equipment and wiring
servicing, plumbing, lighting, and any other items or areas which affect the
operation or appearance of the Building or Project, which determination shall be
at Landlord's discretion, except for: those items to the extent actually paid
for by the proceeds of insurance; and those items attributable solely or jointly
to specific tenants of the Building or Project.

	Repairs, replacements, and general maintenance shall
include, without limitation, the cost of any improvements made to or assets
acquired for the Project or Building that in Landlord's discretion may reduce
any other Operating Expenses, including present or future repair work, are
reasonably necessary for the health and safety of the occupants of the Building
or Project, or for the operation of the Building systems, services and
equipment, or are required to comply with any Regulation, provided that to the
extent the same constitute capital expenditures the cost of which exceed $1.00
per Rentable Square Foot of the Project or Building, as applicable, such costs
or allocable portions thereof to be amortized over such reasonable period as
Landlord shall determine, together with interest on the unamortized balance at
the publicly announced "prime rate" charged by Wells Fargo Bank, N.A.
(San Francisco) or its successor at the time such improvements or capital assets
are constructed or acquired, plus two (2) percentage points, or in the absence
of such prime rate, then at the U.S. Treasury six-month market note (or bond, if
so designated) rate as published by any national financial publication selected
by Landlord, plus four (4) percentage points, but in no event more than the
maximum rate permitted by law, plus reasonable financing charges.

	Payment under or for any easement, license, permit,
operating agreement, declaration, restrictive covenant or instrument relating to
the Building or Project (including, without limitation, amounts owing with
respect to the maintenance and repair (but not acquisition or development) of
the linear park adjacent to the Project).

	All expenses and rental related to services and costs of
supplies, materials and equipment used in operating, managing and maintaining
the Premises, Building and Project, the equipment therein and the adjacent
sidewalks, driveways, parking and service areas, including, without limitation,
expenses related to service agreements regarding security, fire and other alarm
systems, janitorial services, window cleaning, elevator maintenance, Building
exterior maintenance, landscaping and expenses related to the administration,
management and operation of the Project.

	The cost of supplying any services and utilities which
benefit all or a portion of the Premises, Building or Project, including without
limitation services and utilities provided pursuant to Paragraph 15
hereof.

	Other Operating Costs.

	The amount paid or payable for all labor and/or wages
and other payments including cost to Landlord of workers' compensation and
disability insurance, payroll taxes, welfare and fringe benefits made to
janitors, caretakers and other employees, contractors and subcontractors of
Landlord (including the wages of any property manager) involved in the
operation, maintenance and repair of the Project.

	Legal expenses and the costs of audits by certified
public accountants; provided, however, that legal expenses chargeable as
Operating Expenses shall not include the cost of negotiating leases, collecting
rents or evicting tenants, nor shall it include costs incurred in legal
proceedings with or against any tenant or to enforce the provisions of any
lease.

	A management and accounting cost recovery fee equal to
five percent (5%) of the sum of the Project's revenues.

If the rentable area of the Building and/or Project is not
fully occupied during any fiscal year of the Term, then an adjustment shall be
made in computing the Operating Expenses for such year so that Tenant pays an
equitable portion of all variable items (e.g., utilities, janitorial services
and other component expenses that are affected by variations in occupancy
levels) of Operating Expenses, as reasonably determined by Landlord, as if one
hundred percent (100%) of the rentable area of the Building and/or Project had
been one hundred percent (100%) occupied for the entirety of such calendar year;
provided, however, that in no event shall Landlord be entitled to collect in
excess of one hundred percent (100%) of the total Operating Expenses from all of
the tenants in the Building or Project, as the case may be.

Operating Expenses shall not include (1) the cost of
providing tenant improvements, (2) other specific costs incurred for the account
of, or payable by, specific tenants of the Building or Project (other than such
other tenants' contributions to Operating Expenses), (3) expenses in connection
with services which are not available to Tenant or which are separately payable
by Tenant pursuant to the other provisions of this Lease, (4) the initial
construction cost of the Building, (5) debt service on any mortgage or deed of
trust recorded with respect to the Project other than pursuant to Paragraph
7.A(3)(b) above, or (6) any costs associated with providing valet service for
tandem parking as described in Paragraph 37 below.  Notwithstanding anything
herein to the contrary, in any instance wherein Landlord, in Landlord's
reasonable discretion, deems Tenant to be responsible for any amounts greater
than Tenant's Proportionate Share, Landlord shall have the right to allocate
costs in any equitable manner Landlord reasonably deems appropriate.

The above enumeration of services and facilities shall not be
deemed to impose an obligation on Landlord to make available or provide such
services or facilities except to the extent if any that Landlord has
specifically agreed elsewhere in this Lease to make the same available or
provide the same.  Without limiting the generality of the foregoing, Tenant
acknowledges and agrees that it shall be responsible for providing adequate
security for its use of the Premises, the Building and the Project and that
Landlord shall have no obligation or liability with respect thereto.

Notwithstanding anything in the definition of Operating
Expenses in this Lease to the contrary, Operating Expenses shall not include the
following, except to the extent specifically otherwise provided herein:

	Any ground lease rental;

	Costs of capital improvements, replacements or equipment
and any depreciation or amortization expenses thereon, except as specifically
set forth in the definition of Operating Expenses in Paragraph 7.A of the
Lease;

	Rentals for items (except when needed in connection with
normal repairs and maintenance of permanent systems) which if purchased, rather
than rented, would constitute a capital improvement which is specifically
excluded in Subsection (ii) above (excluding, however, equipment not affixed to
the Building or Project which is used in providing janitorial or similar
services);

	Costs incurred by Landlord for the repair of damage to
the Building or Project, to the extent that Landlord is reimbursed by insurance
proceeds;

	Costs, including permit, license and inspection costs,
incurred with respect to the installation of tenant or other occupant
improvements made for tenants or other occupants in the Building or the Project
or incurred in renovating or otherwise improving, decorating, painting or
redecorating vacant space for or the premises of other tenants or other
occupants of the Building;

	Marketing costs, including leasing commissions,
attorneys' fees in connection with the negotiation and preparation of letters,
deal memos, letters of intent, leases, subleases and/or assignments, space
planning costs, and other costs and expenses incurred in connection with lease,
sublease and/or assignment negotiations and transactions with present or
prospective tenants or other occupants of the Building or the Project;

	Increased costs of performance incurred by Landlord due
to the violation by Landlord of the terms and conditions of any lease of space
in the Building or the Project;

	Interest, principal, points and fees on debt or
amortization payments on any mortgage or deed of trust or any other debt
instrument encumbering the Building or Project or the land on which the Building
or Project is situated;

	Except for making repairs or keeping permanent systems in
operation while repairs are being made, rentals and other related expenses
incurred in leasing air conditioning systems, elevators or other equipment
ordinarily considered to be of a capital nature, except equipment not affixed to
the Building or Project which is used in providing janitorial or similar
services;

	Advertising and promotional expenditures (except for
retail property promotions);

	Costs incurred in correcting any non-compliance of the
Base Building Work with applicable Regulations, the ADA, and disability, life,
fire and safety codes in effect and applicable to the Base Building Work prior
to the substantial completion of the Base Building Work;

	Interest, fines or penalties incurred as a result of
Landlord's failure to make payments when due unless such failure is commercially
reasonable under the circumstances;

	Costs arising from Landlord's charitable or political
contributions;

	Costs for acquisition of sculpture, paintings or other
objects of art in common areas;

	The depreciation of the Building and other real property
structures in the Project;

	Landlord's general corporate overhead and general
administrative expenses not related to the operation of the Building or the
Project, except as specifically set forth in Paragraph 7.A of this
lease;

	Any bad debt loss, rent loss or reserves for bad debts or
rent loss, or reserves for equipment or capital replacement;

	Costs to correct defects in construction and design,
materials or workmanship in the Base Building Work or the Project;

	Costs in connection with Landlord's express financial
obligation to comply with Regulations (other than ADA) described in Paragraph 4
of this Lease;

	Costs for senior executive wages, salaries or other
compensation; and

	Costs incurred by Landlord in connection with compliance
with ADA and Regulations but only to the extent expressly excluded from
Operating Expenses in Paragraph 4.C of this Lease.

	Payment of Estimated Operating Expenses.
"Estimated Operating Expenses" for any particular year shall
mean Landlord's estimate of the Operating Expenses for such fiscal year made
with respect to such fiscal year as hereinafter provided.  Landlord shall have
the right from time to time to revise its fiscal year and interim accounting
periods so long as the periods as so revised are reconciled with prior periods
in a reasonable manner.  During the last month of each fiscal year during the
Term, or as soon thereafter as practicable, Landlord shall give Tenant written
notice of the Estimated Operating Expenses for the ensuing fiscal year.  Tenant
shall pay Tenant's Proportionate Share of the Estimated Operating Expenses with
installments of Base Rent for the fiscal year to which the Estimated Operating
Expenses applies in monthly installments on the first day of each calendar month
during such year, in advance.  Such payment shall be construed to be Additional
Rent for all purposes hereunder.  If at any time during the course of the fiscal
year, Landlord determines that Operating Expenses are projected to vary from the
then Estimated Operating Expenses by more than five percent (5%), Landlord may,
by written notice to Tenant, revise the Estimated Operating Expenses for the
balance of such fiscal year, and Tenant's monthly installments for the remainder
of such year shall be adjusted so that by the end of such fiscal year Tenant has
paid to Landlord Tenant's Proportionate Share of the revised Estimated Operating
Expenses for such year, such revised installment amounts to be Additional Rent
for all purposes hereunder.  Within a reasonable time following Tenant's written
request, but in no event more than one (1) time during any twelve (12) month
period, Landlord shall deliver to Tenant a reasonably detailed statement which
itemizes Landlord's calculation.  Notwithstanding anything to the contrary
contained in this Lease, the estimate of first year Operating Expenses set forth
in the Basic Lease Information is an estimate only, does not constitute a
representation or warranty by Landlord, and shall not in any manner limit the
obligation of Tenant for payment of the full amount of Operating Expenses during
the first year or any subsequent period of the Term.

	Computation of Operating Expense Adjustment.
"Operating Expense Adjustment" shall mean the difference
between Estimated Operating Expenses and actual Operating Expenses for any
fiscal year determined as hereinafter provided.  Within one hundred twenty (120)
days after the end of each fiscal year, or as soon thereafter as practicable,
Landlord shall deliver to Tenant a statement of actual Operating Expenses for
the fiscal year just ended, accompanied by a computation of Operating Expense
Adjustment.  If such statement shows that Tenant's payment based upon Estimated
Operating Expenses is, less than Tenant's Proportionate Share of Operating
Expenses, then Tenant shall pay to Landlord the difference within thirty (30)
days after receipt of such statement, such payment to constitute Additional Rent
for all purposes hereunder.  If such statement shows that Tenant's payments of
Estimated Operating Expenses exceed Tenant's Proportionate Share of Operating
Expenses, then (provided that Tenant is not in default under this Lease)
Landlord shall credit the difference to the next payment of Estimated Operating
Expenses due from Tenant.  If this Lease has been terminated or the Term hereof
has expired prior to the date of such statement, then the Operating Expense
Adjustment shall be paid by the appropriate party within thirty (30) days after
the date of delivery of the statement.  Should this Lease commence or terminate
at any time other than the first day of the fiscal year, Tenant's Proportionate
Share of the Operating Expense Adjustment shall be prorated based on a month of
thirty (30) days and the number of calendar months during such fiscal year that
this Lease is in effect.  Notwithstanding anything to the contrary contained in
this Paragraph 7, Landlord's failure to provide any notices or statements within
the time periods specified in those paragraphs shall in no way excuse Tenant
from its obligation to pay Tenant's Proportionate Share of Operating
Expenses.

	Net Lease.  This shall be a triple net Lease and
Base Rent shall be paid to Landlord absolutely net of all costs and expenses,
except as specifically provided to the contrary in this Lease.  The provisions
for payment of Operating Expenses and the Operating Expense Adjustment are
intended to pass on to Tenant and reimburse Landlord for all costs and expenses
of the nature described in Paragraph 7.A. incurred in connection with the
ownership, management, maintenance, repair, preservation, replacement and
operation of the Building and/or Project and its supporting facilities and such
additional facilities now and in subsequent years as may be determined by
Landlord to be necessary or desirable to the Building and/or Project, subject to
the express limitations on inclusion of certain items in Operating Expenses as
provided in Paragraph 7.A above.

	Tenant Audit.  If Tenant shall dispute the amount
set forth in any statement provided by Landlord under Paragraph 7.B. or 7.C.
above, Tenant shall have the right, upon notice given not later than sixty (60)
days following receipt of such statement and upon the condition that Tenant
shall first deposit with Landlord the full amount in dispute, to cause
Landlord's books and records with respect to Operating Expenses for such fiscal
year to be audited by independent certified public accountants (who are not
compensated on a contingency basis) selected by Tenant and subject to Landlord's
reasonable right of approval.  The Operating Expense Adjustment shall be
appropriately adjusted on the basis of such audit.  If such audit discloses a
liability for a refund in excess of five percent (5%) of Tenant's Proportionate
Share of the Operating Expenses previously reported, the cost of such audit
shall be borne by Landlord; otherwise the cost of such audit shall be paid by
Tenant within thirty (30) days following completion of the audit.  If Tenant
shall not request an audit in accordance with the provisions of this Paragraph
7.E. within sixty (60) days after receipt of Landlord's statement provided
pursuant to Paragraph 7.B. or 7.C., such statement shall be final and binding
for all purposes hereof.  Tenant acknowledges and agrees that any information
revealed in the above described audit may contain proprietary and sensitive
information and that significant damage could result to Landlord if such
information were disclosed to any party other than Tenant's auditors.  Tenant
shall not in any manner disclose, provide or make available any information
revealed by the audit to any person or entity without Landlord's prior written
consent, which consent may be withheld by Landlord in its sole and absolute
discretion.  The information disclosed by the audit will be used by Tenant
solely for the purpose of evaluating Landlord's books and records in connection
with this Paragraph 7.E.

	INSURANCE AND
INDEMNIFICATION

	Landlord's Insurance.  All insurance maintained by
Landlord shall be for the sole benefit of Landlord and under Landlord's sole
control.  Landlord shall determine, in its sole discretion, the amount of any
deductible under any policy maintained by Landlord.

	Property Insurance.  Landlord agrees to maintain
property insurance insuring the Building (including the Additional Tenant Work
but specifically excluding the Tenant Improvements), against damage or
destruction due to risk including fire, vandalism, and malicious mischief in an
amount not less than the replacement cost thereof, in the form and with
deductibles and endorsements as selected by Landlord.  At its election, Landlord
may instead (but shall have no obligation to) obtain "All Risk"
coverage, and may also obtain earthquake, pollution, and/or flood insurance in
amounts selected by Landlord in its sole and absolute discretion consistent with
customary industry standards for prudent risk management by owners of projects
comparable to the Project in the vicinity of the Project.

	Optional Insurance.  Landlord, at Landlord's
option, may also (but shall have no obligation to) carry (i) insurance against
loss of rent, in an amount equal to the amount of Base Rent and Additional Rent
that Landlord could be required to abate to all Building tenants in the event of
condemnation or casualty damage for a period of twelve (12) months; and (ii)
liability insurance and such other insurance as Landlord may deem prudent or
advisable, in such amounts and on such terms as Landlord shall determine in its
sole and absolute discretion consistent with customary industry standards for
prudent risk management by owners of projects comparable to the Project in the
vicinity of the Project.  Landlord shall not be obligated to insure, and shall
have no responsibility whatsoever for any damage to, any furniture, machinery,
goods, inventory or supplies, or other personal property or fixtures which
Tenant may keep or maintain in the Premises, or any leasehold improvements,
additions or alterations within the Premises including, without limitation, the
Tenant Improvements.

	Tenant's Insurance.  Tenant shall procure at
Tenant's sole cost and expense and keep in effect from the date of this Lease
and at all times until the end of the Term the following:

	Property Insurance.  Insurance on all personal
property and fixtures of Tenant and all improvements, additions or alterations
(excluding the Additional Tenant Work, which shall be insured by Landlord upon
the completion thereof pursuant to Paragraph 8.A(1) above, but including,
without limitation, the Tenant Improvements) made by or for Tenant to the
Premises on an "All Risk" basis, insuring such property for the full
replacement value of such property.  Tenant shall also maintain insurance for
all plate glass within or about the Premises.  During the term of this Lease,
the proceeds from any such policy or policies of insurance shall he used for the
repair or replacement of the fixtures, equipment and improvements so
insured.

	Liability Insurance.  Commercial General Liability
insurance covering bodily injury and property damage liability occurring in or
about the Premises or arising out of the use and occupancy of the Premises and
the Project, and any part of either, and any areas adjacent thereto, and the
business operated by Tenant or by any other occupant of the Premises.  Such
insurance shall include contractual liability insurance coverage insuring all of
Tenant's indemnity obligations under this Lease.  Such coverage shall have a
minimum combined single limit of liability of at least Two Million Dollars
($2,000,000.00), and a minimum general aggregate limit of Five Million Dollars
($5,000,000.00), with an "Additional Insured - Managers or Lessors of
Premises Endorsement"; provided that such liability insurance coverage may
be provided by a combination of primary, excess and umbrella policies so long as
the coverage afforded thereunder is not impaired as a result thereof.  All such
policies shall be written to apply to all bodily injury (including death),
property damage or loss, personal and advertising injury and other covered loss,
however occasioned, occurring during the policy term, shall be endorsed to add
Landlord and any party holding an interest to which this Lease may he
subordinated as an additional insured, and shall provide that such coverage
shall be "primary" and non-contributing with any insurance maintained
by Landlord, which shall be excess insurance only.  Such coverage shall also
contain endorsements including employees as additional insureds if not covered
by Tenant's Commercial General Liability Insurance.  All such insurance shall
provide for the severability of interests of insureds; and shall be written on
an "occurrence" basis, which shall afford coverage for all claims
based on acts, omissions, injury and damage, which occurred or arose (or the
onset of which occurred or arose) in whole or in part during the policy
period.

	Workers' Compensation and Employers' Liability
Insurance.  Workers' Compensation Insurance as required by any Regulation,
and Employers' Liability Insurance in amounts not less than One Million Dollars
($1,000,000) each accident for bodily injury by accident; One Million Dollars
($1,000,000) policy limit for bodily injury by disease; and One Million Dollars
($1,000,000) each employee for bodily injury by disease.

	Commercial Auto Liability Insurance.  Commercial
auto liability insurance with a combined limit of not less than One Million
Dollars ($1,000,000) for bodily injury and property damage for each accident.
Such insurance shall cover liability relating to any auto (including owned,
hired and non-owned autos).

	Alterations Requirements.  In the event Tenant
shall desire to perform any Alterations, Tenant shall deliver to Landlord, prior
to commencing such Alterations (i) evidence satisfactory to Landlord that Tenant
carries "Builder's Risk" insurance covering construction of such
Alterations in an amount and form approved by Landlord, (ii) such other
insurance as Landlord shall non-discriminatorily and reasonably require, and
(iii) a lien and completion bond or other security in form and amount
satisfactory to Landlord if the estimated cost of such Alterations exceeds
$200,000.

	General Insurance Requirements.  All coverages
described in this Paragraph 8.B. shall be endorsed to (i) provide Landlord with
thirty (30) days' notice of cancellation or change in terms; and (ii) waive all
rights of subrogation by the insurance carrier against Landlord.  If at any time
during the Term the amount or coverage of insurance which Tenant is required to
carry under this Paragraph 8.B. is, in Landlord's reasonable judgment, less than
the amount or type of insurance coverage typically carried by owners or tenants
of properties located in the general area in which the Premises are located
which are similar to and operated for similar purposes as the Premises or if
Tenant's use of the Premises should change with or without Landlord's consent,
Landlord shall have the right to require Tenant to increase the amount or change
the types of insurance coverage required under this Paragraph 8.B. All insurance
policies required to be carried by Tenant under this Lease shall be written by
companies rated A X or better in "Best's Insurance Guide" and
authorized to do business in the State of California.  In any event deductible
amounts under all insurance policies required to be carried by Tenant under this
Lease shall not exceed One Hundred Thousand Dollars ($100,000.00) per
occurrence, provided that Tenant maintains a tangible net worth of at least Two
Hundred Fifty Million Dollars ($250,000,000.00) as reasonably determined by
Landlord, or, if Tenant's tangible net worth is less than Two Hundred Fifty
Million Dollars ($250,000,000.00), such deductible amounts shall not exceed Five
Thousand Dollars ($5,000.00) per occurrence.  Tenant shall deliver to Landlord
on or before the Term Commencement Date, and thereafter at least thirty (30)
days before the expiration dates of' the expired policies, certified copies of
Tenant's insurance policies, or a certificate evidencing the same issued by the
insurer thereunder; and, if Tenant shall fail to procure such insurance, or to
deliver such policies or certificates, Landlord may, at Landlord's option and in
addition to Landlord's other remedies in the event of a default by Tenant
hereunder, procure the same for the account of Tenant, and the cost thereof
shall be paid to Landlord as Additional Rent.

	Self-insurance; Deductibles.  All or any portion
of the coverages Tenant is required to maintain under this Lease may be
maintained under a program of Tenant self-insurance or under policies that
include self-insured retentions or deductibles larger than those typically
carried by similarly situated tenants.  Before the Term Commencement Date,
Tenant shall advise Landlord of the self-insurance program, specifying limits
and amounts of umbrella coverage and self-insured retentions, or deductibles.
Landlord is considered to consent to such self insurance program as long as it
is effective and Tenant's tangible net worth and current net assets (as reported
to Landlord on a quarterly basis and confirmed by audited financial statements
prepared in accordance with generally accepted accounting principles) exceed Two
Hundred Fifty Million Dollars ($250,000,000.00) and Fifty Million Dollars
($50,000,000.00), respectively.

	Tenant's Indemnification.  Tenant shall indemnify,
defend by counsel reasonably acceptable to Landlord, protect and hold Landlord
and each of its directors, officers, shareholders, partners, lenders, members,
managers, contractors, affiliates and employees (collectively, "Landlord
Indemnitees") harmless from and against any and all claims, liabilities,
losses, costs, loss of rents, liens, damages, injuries or expenses, including
reasonable attorneys' and consultants' fees and court costs, demands, causes of
action, or judgments, directly or indirectly arising out of or related to: (1)
claims of injury to or death of persons or damage to property occurring or
resulting directly or indirectly from the use or occupancy of the Premises,
Building or Project by Tenant or Tenant's Parties, or from activities or
failures to act of Tenant or Tenant's Parties; (2) claims arising from work or
labor performed, or for materials or supplies furnished to or at the request or
for the account of Tenant in connection with performance of any work done for
the account of Tenant within the Premises or Project; (3) claims arising from
any breach or default on the part of Tenant in the performance of any covenant
contained in this Lease; and (4) claims arising from the negligence or
intentional acts or omissions of Tenant or Tenant's Parties.  The foregoing
indemnity by Tenant shall not be applicable to claims to the extent arising from
the gross negligence or willful misconduct of Landlord.  Landlord shall not be
liable to Tenant and Tenant hereby waives all claims against Landlord for any
injury to or death of, or damage to any person or property or business loss in
or about the Premises, Building or Project by or from any cause whatsoever
(other than Landlord's gross negligence or willful misconduct) and, without
limiting the generality of the foregoing, whether caused by water leakage of any
character from the roof, walls, basement or other portion of the Premises,
Building or Project, or caused by gas, fire, oil or electricity in, on or about
the Premises, Building or Project, acts of God or of third parties, or any
matter outside of the reasonable control of Landlord.  The provisions of this
Paragraph shall survive the expiration or earlier termination of this
Lease.

	Indemnification.  Landlord shall indemnify, defend
by counsel reasonably acceptable to Tenant, protect and hold Tenant and each of
its directors, officers, shareholders, partners, lenders, members, managers,
contractors, affiliates and employees ("Tenant's Indemnitees")
harmless from and against any and all claims, liabilities, losses, costs,
damages, injuries or expenses, including reasonable attorneys' and consultants'
fees and court costs, demands, causes of action, or judgments arising out of or
relating to the gross negligence or willful misconduct of Landlord or Landlord's
agents or employees.  Notwithstanding the foregoing or anything to the contrary
contained in this Lease, Landlord shall in no event be liable to Tenant and
Tenant hereby waives all claims against Landlord for any injury or damage to any
person or property in or about the Premises, Building or Project, including
without limitation the common areas, whether caused by theft, fire, rain or
water leakage of any character from the roof, walls, plumbing, sprinklers,
pipes, basement or any other portion of the Premises, Building or Project, or
caused by gas, fire, oil or electricity in, on or about the Premises, Building
or Project, or from any other systems except in each case to the extent caused
by the gross negligence or willful misconduct of Landlord, or by acts of God
(including without limitation flood or earthquake), acts of a public enemy,
riot, strike, insurrection, war, court order, requisition or order of
governmental body or authority, or for any damage or inconvenience which may
arise through repair, subject to and except as expressly otherwise provided in
Paragraph 9 or 10 of this Lease.  In addition, notwithstanding anything to the
contrary contained in this Lease, Landlord shall in no event be liable under
this Paragraph or under any other provision of this Lease for (i) injury to
Tenant's business or any loss of income or profit therefrom or from
consequential damages, or (ii) sums up to the amount of insurance proceeds
received by Tenant.  The foregoing indemnity by Landlord shall not be applicable
to claims to the extent arising from the negligence or willful misconduct of
Tenant or Tenant's Parties.  The foregoing indemnity by Landlord shall survive
the expiration or earlier termination of this Lease.

	WAIVER OF
SUBROGATION

Landlord and Tenant each waives any claim, loss or cost
it might have against the other for any injury to or death of any person or
persons, or damage to or theft, destruction, loss, or loss of use of any
property (a "Loss"), to the extent the same is insured against (or is
required to be insured against under the terms hereof) under any property damage
insurance policy covering the Building, the Premises, Landlord's or Tenant's
fixtures, personal property, leasehold improvements, or business, regardless of
whether the negligence of the other party caused such Loss.

	LANDLORD'S REPAIRS AND
MAINTENANCE

Landlord, at its sole cost and expense and not as an
Operating Expense, shall maintain in good repair, reasonable wear and tear
excepted, the structural soundness of the (a) roof, (b) foundations, and (c)
exterior walls of the Building.  The term "exterior walls" as used
herein shall not include windows, glass or plate glass, doors, special store
fronts or office entries.  Any damage caused by or repairs necessitated by any
negligence or act of Tenant or Tenant's Parties may be repaired by Landlord at
Landlord's option and Tenant's expense, subject to the waiver of subrogation set
forth in Paragraph 9 above.  Tenant shall immediately give Landlord written
notice of any defect or need of repairs in such components of the Building for
which Landlord is responsible, after which Landlord shall have a reasonable
opportunity and the right to enter the Premises at all reasonable times to
repair same.  Landlord's liability with respect to any defects, repairs, or
maintenance for which Landlord is responsible under any of the provisions of
this Lease shall be limited to the cost of such repairs or maintenance, and
there shall be no abatement of rent and no liability of Landlord by reason of
any injury to or interference with Tenant's business arising from the making of
repairs, alterations or improvements in or to any portion of the Premises, the
Building or the Project or to fixtures, appurtenances or equipment in the
Building, except as provided in Paragraph 24 or this Paragraph 10.  In the event
that Tenant's Permitted Use of the Premises is materially and adversely impaired
as a result in defects in design or construction of the Base Building Work,
Tenant's Rent shall abate but only to the extent Landlord receives rental
abatement insurance proceeds allocable thereto.  By taking possession of the
Premises, Tenant accepts them as being suitable for the Permitted Use and
Tenant's intended operations in the Premises, whether or not any notice of
acceptance is given.  Tenant agrees and acknowledges that, subject to the
express covenants, representations and warranties of Landlord set forth in this
Lease, the lease of the Premises pursuant hereto is on an "as is"
basis, in that there are no express or implied covenants, representations or
warranties by Landlord not expressly set forth in this Lease.  Tenant hereby
waives all common law and statutory rights or provisions inconsistent herewith,
whether now or hereinafter in effect (including, without limitation, Sections
1941, 1941.1, and 1941.2 of the California Civil Code, as amended from time to
time).  Landlord shall use reasonable efforts to maintain the common areas of
the Project in a manner consistent with the manner of maintenance of common
areas in comparable commercial projects in the vicinity of the Project at all
times during the Term with the cost thereof constituting an Operating Expense
under Paragraph 7 (subject to the limitations on items which may be included in
Operating Expenses as expressly set forth in Paragraph 7).

	TENANT'S REPAIRS AND
MAINTENANCE

Tenant shall at all times during the Term at Tenant's
expense maintain all parts of the Premises and such portions of the Building as
are within the exclusive control of Tenant (including, without limitation, all
plate glass) in a first-class, good, clean and secure condition and promptly
make all necessary repairs and replacements, as determined by Landlord, with
materials and workmanship of the same or similar character, kind and as high a
quality as the original, each as reasonably acceptable to Landlord.
Notwithstanding anything to the contrary contained herein, but subject to the
waiver of subrogation set forth in Paragraph 9 above), Tenant shall be
responsible, at its expense, for the repair of any damage to the Premises or the
Building or Project resulting from or caused by any negligence or act of Tenant
or Tenant's Parties, which repair shall be made by Landlord or Tenant, in
Landlord's discretion.  The cost of any such repair incurred by Landlord shall
be paid by Tenant to Landlord within thirty (30) days following demand, subject
to the waiver of subrogation set forth in Paragraph 9 above.

	ALTERATIONS

	Tenant shall not make, or allow to be made, any
alterations, physical additions, improvements or partitions, including without
limitation the attachment of any fixtures or equipment, in, about or to the
Premises ("Alterations") without obtaining the prior written
consent of Landlord, which consent shall not be unreasonably withheld with
respect to proposed Alterations which: (a) comply with all applicable
Regulations; (b) are, in Landlord's reasonable opinion, compatible with the
Building or the Project and its mechanical, plumbing, electrical,
heating/ventilation/air conditioning systems, and will not cause the Building or
Project or such systems to be required to be modified to comply with any
Regulations (including, without limitation, the Americans With Disabilities
Act); and (c) will not interfere with the use and occupancy of any other portion
of the Building or Project by any other tenant or its invitees.  The initial
Tenant's Work, as defined in Exhibit C hereto, shall not be considered an
"Alteration," as that term is defined above.  Specifically, but
without limiting the generality of the foregoing, Landlord shall have the right
of written consent for all plans and specifications for the proposed
Alterations, construction means and methods, all appropriate permits and
licenses, any contractor or subcontractor to be employed on the work of
Alterations, and the time for performance of such work, and may impose
reasonable rules and regulations for contractors and subcontractors performing
such work.  Tenant shall also supply to Landlord any documents and information
reasonably requested by Landlord in connection with Landlord's consideration of
a request for approval hereunder.  Notwithstanding the foregoing, Tenant shall
have the right, without consent of, but upon at least ten (10) business days'
prior written notice (as provided under Paragraph 12.B below) to, Landlord, to
make non-structural, cosmetic Alterations within the interior of the Premises
(and which are not visible from the outside of the Premises), which do not
impair the value of the Building, and which cost, in the aggregate, less than
Fifty Thousand Dollars ($50,000.00) in any twelve (12) month period during the
Term of this Lease, provided that such Alterations shall nevertheless he subject
to all of the remaining requirements of this Paragraph 12, including without
limitation, subparagraphs (a) through (c) above and payment of the
administration fee referred to in Paragraph 12.B below, other than the
requirement of Landlord's prior consent.  All Alterations shall be performed by
duly licensed contractors or subcontractors reasonably acceptable to Landlord,
proof of insurance shall be submitted to Landlord as required under Paragraph
8.B above, and Landlord reserves the right to impose reasonable rules and
regulations for contractors and subcontractors.  Tenant shall, if requested by
Landlord, promptly furnish Landlord with complete as-built plans and
specifications for any Alterations performed by Tenant to the Premises, at
Tenant's sole cost and expense.

	Tenant shall cause all Alterations to be accomplished in
a first-class, good and workmanlike manner, and to comply with all applicable
Regulations and Paragraph 27 hereof.  Tenant shall at Tenant's sole expense,
perform any additional work required under applicable Regulations due to the
Alterations hereunder.  No review or consent by Landlord of or to any proposed
Alteration or additional work shall constitute a waiver of Tenant's obligations
under this Paragraph 12, nor constitute any warranty or representation that the
same complies with all applicable Regulations, for which Tenant shall at all
times be solely responsible.  Tenant shall reimburse Landlord for all reasonable
costs which Landlord may incur in connection with granting approval to Tenant
for any such Alterations, including any reasonable costs or expenses which
Landlord may incur in electing to have outside architects and engineers review
said plans and specifications, and shall pay Landlord an administration fee of
five percent (5%) of the cost of the Alterations as Additional Rent hereunder.
All such Alterations shall remain the property of Tenant until the expiration or
earlier termination of this Lease, at which time they shall be and become the
property of Landlord; provided, however, that Landlord may, at Landlord's
option, require that Tenant, at Tenant's expense, remove any or all Alterations
made by Tenant and restore the Premises by the expiration or earlier termination
of this Lease, to their condition existing prior to the construction of any such
Alterations.  All such removals and restoration shall be accomplished in a
first-class and good and workmanlike manner so as not to cause any damage to the
Premises or Project whatsoever.  In the alternative, at Landlord's election,
Tenant shall pay to Landlord the reasonable cost of performing any such removal
and restoration of Alterations which would otherwise be the responsibility of
Tenant hereunder, such cost to include a reasonable charge for Landlord's
overhead and profit as provided above, and such amount may be deducted from the
Security Deposit or any other sums or amounts held by Landlord under this Lease.
If Tenant fails to remove such Alterations or Tenant's trade fixtures or
furniture or other personal property, Landlord may keep and use them or remove
any of them and cause them to be stored or sold in accordance with applicable
law, at Tenant's sole expense.  In addition to and wholly apart from Tenant's
obligation to pay Tenant's Proportionate Share of Operating Expenses, Tenant
shall be responsible for and shall pay prior to delinquency any taxes or
governmental service fees, possessory interest taxes, fees or charges in lieu of
any such taxes, capital levies, or other charges imposed upon, levied with
respect to or assessed against its fixtures or personal property, on the value
of Alterations within the Premises, and on Tenant's interest pursuant to this
Lease, or any increase in any of the foregoing based on such Alterations.  To
the extent that any such taxes are not separately assessed or billed to Tenant,
Tenant shall pay the amount thereof as invoiced to Tenant by Landlord.

	In compliance with Paragraph 27 hereof, at least ten (10)
business days before beginning construction of any Alteration, Tenant shall give
Landlord written notice of the expected commencement date of that construction
to permit Landlord to post and record a notice of non-responsibility.  Upon
substantial completion of construction, if the law so provides, Tenant shall
cause a timely notice of completion to be recorded in the office of the recorder
of the county in which the Building is located.  Within thirty (30) days
following substantial completion of any Alteration, Tenant shall deliver two (2)
complete sets of as-built drawings certified by Tenant and Tenant's contractor
as being true and correct, which certification shall survive the expiration or
termination of this Lease.

	Notwithstanding anything to the contrary contained in
Paragraph 12.A, at the time Landlord gives its consent for any Alterations
requiring Landlord's consent pursuant thereto, Tenant shall also be notified
whether or not Landlord will require that such Alterations be removed upon the
expiration or earlier termination of this Lease.  If Landlord fails to so notify
Tenant, it shall be assumed that Landlord will not require their
removal.

	SIGNS

	Tenant shall not place, install, affix, paint or
maintain any signs, notices, graphics or banners whatsoever or any window decor
which is visible in or from public view, the common areas or the exterior of the
Premises or the Building, in or on any exterior window or window fronting upon
any common areas or service area without Landlord's prior written approval which
Landlord shall have the right to withhold in its absolute and sole discretion;
provided that Tenant's name shall be included in any Building-standard door and
directory signage, if any, in accordance with Landlord's Building signage
program, including without limitation, payment by Tenant of any fee charged by
Landlord for maintaining such signage, which fee shall constitute Additional
Rent hereunder.  Any installation of signs, notices, graphics or banners on or
about the Premises or Project approved by Landlord shall be subject to any
Regulations and to any other requirements imposed by Landlord.  Tenant shall
remove all such signs or graphics by the expiration or any earlier termination
of this Lease.  Such installations and removals shall be made in such manner as
to avoid injury to or defacement of the Premises, Building or Project and any
other improvements contained therein, and Tenant shall repair any injury or
defacement including without limitation discoloration caused by such
installation or removal.

	Subject to Tenant's obtaining the approval of Landlord
and all appropriate governmental authorities and Tenant's compliance with all
Regulations and sign criteria to be developed by Landlord for the Project, and
provided Tenant is not at the time of installation in default under this Lease,
Tenant shall have the exclusive right to exterior Building "crown"
signage (meaning signage identification on the Building facade above the highest
windowline of the Building and below the top of the Building facade).  The
parties hereby acknowledge that plans and specifications for such Building
"crown" signage have not been prepared or approved by the parties.
However, subject to Tenant's obtaining the approval of all appropriate
governmental authorities and Tenant's compliance with all Regulations with
respect to such Building "crown" signage, Landlord shall reasonably
cooperate with Tenant to reach agreement upon professionally designed and
prepared Building "crown" signage reasonably acceptable to Tenant, and
to consult with Tenant in terms of Building signage plans hereafter submitted to
the City of San Mateo.  Tenant shall be solely responsible for the cost of any
Building modifications required to accommodate such Building "crown"
signage Tenant shall be responsible for all costs incurred in connection with
the fabrication, placement, operation, maintenance, repair and, upon termination
of this Lease or at such time as Tenant's rights pursuant to this Paragraph
cease, removal of such signage and repair of any damage caused by such removal.
Such costs shall include, without limitation, all required permits and
approvals.  The insurance and indemnity provisions of this Lease shall apply
with respect to all costs, losses and liabilities related in any way to such
signage Prior to Tenant's fabrication of such signage Tenant shall submit to
Landlord for Landlord's written approval, detailed drawings indicating, among
other things, the layout, design, style, materials and color of such signage
Landlord shall not be deemed to have approved the Tenant's sign plans, unless
approved by Landlord in writing.  Landlord shall approve or disapprove any
proposed sign plans submitted to Landlord for Landlord's approval within five
(5) business days after Landlord's receipt thereof. The placement, operation,
maintenance, repair and removal of such signage shall be subject to such
conditions as may be reasonably imposed by Landlord.  The rights granted Tenant
pursuant to this Paragraph shall be subject to Tenant's operating its business
from not less than fifty percent (50%) of the Rentable Area within the original
Premises, and such rights are personal to the original Tenant named in this
Lease and shall not inure to the benefit of any assignee, subtenant or other
transferee of Tenant's interest in this Lease or the Premises (other than an
"Affiliate" of Tenant, as defined below).

	INSPECTION/POSTING
NOTICES

After reasonable notice, except in emergencies where no
prior notice shall be required, Landlord and Landlord's agents and
representatives, shall have the right to enter the Premises to inspect the same,
to clean, to perform such work as may be permitted or required hereunder, to
make repairs, improvements or alterations to the Premises, Building or Project
or to other tenant spaces therein, to deal with emergencies, to post such
notices as may be permitted or required by law to prevent the perfection of
liens against Landlord's interest in the Project or to exhibit the Premises to
prospective tenants, purchasers, encumbrancers or to others, or for any other
purpose as Landlord may deem necessary or desirable; provided, however, that
Landlord shall use reasonable efforts not to unreasonably interfere with
Tenant's business operations.  Tenant shall not be entitled to any abatement of
Rent by reason of the exercise of any such right of entry.  Tenant waives any
claim for damages for any injury or inconvenience to or interference with
Tenant's business, any loss of occupancy or quiet enjoyment of the Premises, and
any other loss occasioned thereby.  Landlord shall at all times have and retain
a key with which to unlock all of the doors in, upon and about the Premises,
excluding Tenant's vaults and safes or special security areas (designated in
advance), and Landlord shall have the right to use any and all means which
Landlord may deem necessary or proper to open said doors in an emergency, in
order to obtain entry to any portion of the Premises, and any entry to the
Premises or portions thereof obtained by Landlord by any of said means, or
otherwise, shall not be construed to he a forcible or unlawful entry into, or a
detainer of, the Premises, or an eviction, actual or constructive, of Tenant
from the Premises or any portions thereof.  At any time within six (6) months
prior to the expiration of the Term or following any earlier termination of this
Lease or agreement to terminate this Lease, Landlord shall have the right to
erect on the Premises, Building and/or Project a suitable sign indicating that
the Premises are available for lease.

	SERVICES AND
UTILITIES

	Provided Tenant shall not be in default hereunder,
and subject to the provisions elsewhere herein contained (including, without
limitation, in Exhibit C hereto) and to the rules and regulations of the
Building, Landlord shall furnish to the Premises during generally recognized
business days (currently defined as 8 a.m. to 6 p.m.), to be determined by
Landlord (but exclusive, in any event, of Saturdays, Sundays and legal
holidays), water for lavatory and drinking purposes and electricity, heat and
air conditioning as usually furnished or supplied for use of the Premises for
reasonable and normal office use as of the date of the substantial completion of
the Tenant's Work (but not including above-standard or continuous cooling for
excessive heat-generating machines, excess lighting or equipment), janitorial
services during the times and in the manner that such services are, in
Landlord's judgment, customarily furnished in comparable office buildings in the
immediate market area, and elevator service, which shall mean non-exclusive
service either by non-attended automatic elevators or elevators with attendants,
or both, at the option of Landlord.  Upon Landlord's receipt of written request
by Tenant, Landlord shall make available additional or after-hours electricity,
heating or air conditioning to Tenant, and Tenant shall pay upon demand to
Landlord a reasonable charge for such services as determined by Landlord and any
other extraordinary operating costs that result from Tenant's use of the
Premises.  Tenant agrees to keep and cause to be kept closed all window covering
when necessary because of the sun's position, and Tenant also agrees at all
times to cooperate fully with Landlord and to abide by all of the regulations
and requirements which Landlord may reasonably prescribe for the proper
functioning and protection of electrical, heating, ventilating and air
conditioning systems.  Wherever heat-generating machines, excess lighting or
equipment are used in the Premises which affect the temperature otherwise
maintained by the air conditioning system, Landlord reserves the right to
install supplementary air conditioning units in the Premises and the cost
thereof, including the cost of installation and the cost of operation and
maintenance thereof, shall be paid by Tenant to Landlord upon demand by
Landlord.

	Tenant shall not without written consent of Landlord use
any apparatus, equipment or device in the Premises, including without
limitation, computers, electronic data processing machines, copying machines,
and other machines, using excess lighting or using electric current, water, or
any other resource in excess of or which will in any way increase the amount of
electricity, water, or any other resource being furnished or supplied for the
use of the Premises for reasonable and normal office use, or which will require
additions or alterations to or interfere with the Building power distribution
systems; nor connect with electric current, except through existing electrical
outlets in the Premises or water pipes, any apparatus, equipment or device for
the purpose of using electrical current, water, or any other resource.  If
Tenant shall require water or electric current or any other resource in excess
of that furnished or supplied for the use of the Premises for reasonable and
normal office use as reasonably determined by Landlord, Tenant shall first
procure the written consent of Landlord which Landlord may refuse, to the use
thereof, and Landlord may cause a special meter to be installed in the Premises
at Tenant's sole cost and expense so as to measure the amount of water, electric
current or other resource consumed for any such other use.  Tenant shall pay
directly to Landlord upon demand as an addition to and separate from payment of
Operating Expenses the cost of all such additional resources, energy, utility
service and meters (and of installation, maintenance and repair thereof and of
any additional circuits or other equipment necessary to furnish such additional
resources, energy, utility or service).  Landlord may add to the separate or
metered charge a recovery of additional expense incurred in keeping account of
the excess water, electric current or other resource so consumed.  Following
receipt of Tenant's request to do so, Landlord shall use good faith efforts to
restore any service specifically to be provided under Paragraph 15 that becomes
unavailable and which is in Landlord's reasonable control to restore; provided,
however, that Landlord shall in no case be liable for any damages directly or
indirectly resulting from nor shall the Rent or any monies owed Landlord under
this Lease herein reserved be abated by reason of: (a) the installation, use or
interruption of use of any equipment used in connection with the furnishing of
any such utilities or services, or any change in the character or means of
supplying or providing any such utilities or services or any supplier thereof,
(b) (1) the failure to furnish or delay in furnishing any such utilities or
services when such failure or delay is caused by acts of God or the elements,
labor disturbances of any character, or any other accidents or any other reason
whatsoever, or (2) because of any interruption of service due to Tenant's use of
water, electric current or other resource in excess of that being supplied or
furnished for the use of the Premises as of the date Tenant takes possession of
the Premises; (c) the inadequacy, limitation, curtailment, rationing or
restriction on use of water, electricity, gas or any other form of energy or any
other service or utility whatsoever serving the Premises or Project, whether by
Regulation or otherwise; or (d) the partial or total unavailability of any such
utilities or services to the Premises or the Building or the diminution in the
quality or quantity thereof, whether by Regulation or otherwise; or (e) any
interruption in Tenant's business operations as a result of any such occurrence;
nor shall any such occurrence constitute an actual or constructive eviction of
Tenant or a breach of an implied warranty by Landlord.  Notwithstanding the
foregoing, if Tenant is prevented from using, and does not use, all or part of
the Premises (the "Affected Area") as a result of a Essential
Services Interruption Event, as defined below, if this Essential Services
Interruption Event continues for three (3) consecutive business days after
Landlord's receipt of notice from Tenant of the Essential Services Interruption
Event (the "Eligibility Period"), the Rent payable under this
Lease shall be abated after the expiration of the Eligibility Period for such
time that Tenant continues to be prevented from using, and does not use, the
Affected Area in the proportion that the rentable area of the Affected Area
bears to the total rentable area of the Premises, but only to the extent
Landlord actually receives rental loss insurance proceeds allocable thereto.
If, however, Tenant reoccupies any portion of the Premises during this period,
the Rent allocable to this reoccupied portion (based on the proportion that the
rentable area of the reoccupied portion of the Premises bears to the total
rentable area of the Premises) shall be payable by Tenant from the date on which
Tenant reoccupies this portion of the Premises.  An "Essential Services
Interruption Event" shall mean the failure of or interruption in
essential services required to be supplied by Landlord to the Premises during
ordinary business hours of generally recognized business days which occurs
solely as a result of an event described in clause (a), (b), (c) or (d) above.
In the event of a stoppage or interruption of services, Landlord shall
diligently attempt to resume such services as promptly as practicable.  Landlord
shall further have no obligation to protect or preserve any apparatus, equipment
or device installed by Tenant in the Premises, including without limitation by
providing additional heating or air conditioning.  Landlord shall be entitled to
cooperate voluntarily and in a reasonable manner with the efforts of national,
state or local governmental agencies or utility suppliers in reducing energy or
other resource consumption.  The obligation to make services available hereunder
shall be subject to the limitations of any such voluntary, reasonable program.
In addition, Landlord reserves the right to select or to change the supplier or
provider of any such utility or service from time to time provided Tenant's
service is not interrupted as a result thereof.  Tenant shall have no right to
contract with or otherwise obtain any electrical or other such service for or
with respect to the Premises or Tenant's operations therein from any supplier or
provider of any such service.  Tenant shall cooperate with Landlord and any
supplier or provider of such services designated by Landlord from time to time
to facilitate the delivery of such services to Tenant at the Premises and to
tile Building and Project, including without limitation allowing Landlord and
Landlord's suppliers or providers, and their respective agents and contractors,
reasonable access to the Premises for the purpose of installing, maintaining,
repairing, replacing or upgrading such service or any equipment or machinery
associated therewith.

	Tenant shall pay, upon demand, for all utilities
furnished to the Premises, or if not separately billed to or metered to Tenant,
Tenant's Proportionate Share of all charges jointly serving the Project or
Common Areas, as applicable, in accordance with Paragraph 7.  All sums payable
under this Paragraph 15 shall constitute Additional Rent
hereunder.

	SUBORDINATION AND
ATTORNMENT

	Except as otherwise provided herein, this Lease shall
be and is hereby declared to be subject and subordinate at all times to: (a) all
around leases or underlying leases which may now exist or hereafter be executed
affecting the Premises and/or the land upon which the Premises and Project are
situated, or both; and (b) any mortgage or deed of trust which may now exist or
be placed upon the Building, the Project and/or the land upon which the Premises
or the Project are situated, or said ground leases or underlying leases, or
Landlord's interest or estate in any of said items which is specified as
security.  Notwithstanding the foregoing, Landlord shall have the right to
subordinate or cause to be subordinated any such ground leases or underlying
leases or any such liens to this Lease.  If any ground lease or underlying lease
terminates for any reason or any mortgage or deed of trust is foreclosed or a
conveyance in lieu of foreclosure is made for any reason, Tenant shall,
notwithstanding any subordination, attorn to and become the Tenant of the
successor in interest to Landlord provided that Tenant shall not he disturbed in
its possession under this Lease by such successor in interest so long as Tenant
is not in default under this Lease beyond any applicable cure period.  Within
ten (10) days after request by Landlord, Tenant shall execute and deliver any
additional documents evidencing Tenant's attornment or the subordination of this
Lease with respect to any such ground leases or underlying leases or any such
mortgage or deed of trust, in the form reasonably requested by Landlord or by
any ground landlord, mortgagee, or beneficiary under a deed of trust, subject to
such nondisturbance requirement.  Notwithstanding the foregoing, it shall be a
condition precedent to Tenant's obligation to hereafter attorn to or subordinate
this Lease to the rights of any trust deed beneficiary, mortgagee or ground
lessor, that Landlord shall secure from such beneficiary, mortgagee or ground
lessor a written agreement of subordination, attornment and non-disturbance in
form reasonably designated by such beneficiary, mortgagee or ground lessor (a
"SNDA") which would provide, without limitation, that so long as
Tenant is not in default hereunder beyond any applicable cure period, Tenant may
remain in possession of the Premises pursuant to the terms hereof and without
any diminution of Tenant's rights should Landlord become in default with respect
to such deed of trust, mortgage or ground lease or should the Premises become
the subject of any action to foreclose any mortgage or to dispossess Landlord.
Such SNDA would provide, among other things, that the new owner following any
foreclosure, sale or conveyance shall not be (i) liable for any act or omission
of any prior landlord or with respect to events occurring prior to acquisition
of ownership; (ii) subject to any offsets or defenses which Tenant might have
against any prior landlord; (iii) bound by prepayment of more than one (1)
month's Rent; or (iv) liable to Tenant for any security deposit not actually
received by such new owner.  Each ground landlord, mortgagee, or beneficiary
under a deed of trust shall be an express third party beneficiary of the
provisions of this Paragraph 16 and any other provisions of this Lease that are
for the benefit of such party.

	Tenant covenants and agrees that in the event that any
proceedings are brought for the foreclosure of any mortgage or deed of trust, or
if any ground or master lease is terminated, it shall attorn, without any
deductions or set-offs whatsoever, to the purchaser upon any such foreclosure
sale or deed in lieu thereof, or to the lessor of such ground or master lease,
as the case may be, if so requested to do so by such purchaser or lessor, and to
recognize such purchaser or lessor as "Landlord" under this Lease.  If
requested, Tenant shall enter into a new lease with that successor on the same
terms and conditions as are contained in this Lease (for the unexpired portion
of the Term then remaining).

	FINANCIAL
STATEMENTS

At the request of Landlord from time to time and not more
often than one time in any twelve (12) month period, Tenant shall provide to
Landlord Tenant's and any guarantor's current financial statements or other
information discussing financial worth of Tenant and any guarantor, which
Landlord shall use solely for purposes of this Lease and in connection with the
ownership, management, financing and disposition of the Project.  Tenant's
publicly available financial information shall satisfy the above requirements
unless Landlord has reasonable belief that Tenant's financial condition or
credit rating have declined to a level which is unacceptable to Landlord.  Other
than disclosure (a) to Landlord's employees, agents, consultants and
representatives, (b) any lender, investor or purchaser of the Project, (c) as
required by Regulations or (d) in connection with enforcement of Landlord's
rights under this Lease, such financial statements shall be kept confidential by
Landlord.  Landlord shall give written notice to any person or entity receiving
Tenant's financial statements pursuant to clause (a) or (b) above of the
confidential nature of such financial statements and shall request that such
financial statements be maintained by such person or entity as confidential.

	ESTOPPEL
CERTIFICATE

Tenant agrees from time to time, within ten (10) days
after request of Landlord, to deliver to Landlord, or Landlord's designee, an
estoppel certificate stating that this Lease is in full force and effect, that
this Lease has not been modified (or stating all modifications, written or oral,
to this Lease), the date to which Rent has been paid, the unexpired portion of
this Lease, that there are no current defaults by Landlord or Tenant under this
Lease (or specifying any such defaults), that the leasehold estate granted by
this Lease is the sole interest of Tenant in the Premises and/or the land at
which the Premises are situated, and such other matters pertaining to this Lease
as may be reasonably requested by Landlord or any mortgagee, beneficiary,
purchaser or prospective purchaser of the Building or Projector any interest
therein.  Tenant agrees that if Tenant fails to execute and deliver such
certificate within such ten (10) day period, Landlord may execute and deliver
such certificate on Tenant's behalf and that the information and statements
contained in such certificate shall be binding on Tenant.  Landlord and Tenant
intend that any statement delivered pursuant to this Paragraph may be relied
upon by Landlord, any mortgagee, beneficiary, purchaser or prospective purchaser
of the Building or Project or any interest therein.  The parties agree that
Tenant's obligation to furnish such estoppel certificates in a timely fashion is
a material inducement for Landlord's execution of this Lease, and shall be an
event of default (without any cure period that might be provided under Paragraph
26.A(3) of this Lease) if Tenant fails to fully comply or makes any material
misstatement in any such certificate.  Landlord agrees from time to time.
within ten (10) days after request of Tenant, to deliver to Tenant, or Tenant's
designee, an estoppel certificate stating that this Lease is in full force and
effect, that this Lease has not been modified (or stating all modifications,
written or oral, to this Lease), the date to which Rent has been paid, the
unexpired portion of this Lease, and that, to Landlord's actual knowledge, there
are no current defaults by Tenant under this Lease (or specifying any such
defaults of which Landlord has actual knowledge).

	SECURITY DEPOSIT

Tenant agrees to deposit with Landlord, a security
deposit as stated in Paragraph 39.D below (the "Security Deposit"),
which sum shall be held and owned by Landlord, without obligation to pay
interest, as security for the performance of Tenant's covenants and obligations
under this Lease.  The Security Deposit is not an advance rental deposit or a
measure of damages incurred by Landlord in case of Tenant's default.  Upon the
occurrence of any event of default by Tenant, Landlord may from time to time,
without prejudice to any other remedy provided herein or by law, use such fund
as a credit to the extent necessary to credit against any arrears of Rent or
other payments due to Landlord hereunder, and any other damage, injury, expense
or liability caused by such event of default, and Tenant shall pay to Landlord,
on demand, the amount so applied in order to restore the Security Deposit to its
original amount.  Although the Security Deposit shall be deemed the property of
Landlord, any remaining balance of such deposit shall be returned by Landlord to
Tenant at such time after termination of this Lease that all of Tenant's
obligations under this Lease have been fulfilled, reduced by such amounts as may
be required by Landlord to remedy defaults on the part of Tenant in the payment
of Rent or other obligations of Tenant under this Lease, to repair damage to the
Premises, Building or Project caused by Tenant or any Tenant's Parties and to
clean the Premises.  Landlord may use and commingle the Security Deposit with
other funds of Landlord.  Tenant hereby waives the provisions of Section 1950.7
of the California Civil Code, and all other provisions of any Regulations, now
or hereinafter in force, which restricts the amount or types of claim that a
landlord may make upon a security deposit or imposes upon a landlord (or its
successors) any obligation with respect to the handling or return of security
deposits.

	LIMITATION OF TENANT'S
REMEDIES

The obligations and liability of Landlord to Tenant for
any default by Landlord under the terms of this Lease are not personal
obligations of Landlord or of the individual or other partners of Landlord or
its or their partners, directors, officers, or shareholders, and Tenant agrees
to look solely to Landlord's interest in the Project for the recovery of any
amount from Landlord, and shall not look to other assets of Landlord nor seek
recourse against the assets of the individual or other partners of Landlord or
its or their partners, directors, officers or shareholders.  Any lien obtained
to enforce any such judgment and any levy of execution thereon shall be subject
and subordinate to any lien, mortgage or deed of trust on the Project.  Under no
circumstances shall Tenant have the right to offset against or recoup Rent or
other payments due and to become due to Landlord hereunder except as expressly
provided in this Lease, which Rent and other payments shall be absolutely due
and payable hereunder in accordance with the terms hereof.  Notwithstanding
anything to the contrary contained in this Lease, except in the event of an
unauthorized holding over by Tenant in the Premises following the expiration of
the Term or earlier termination of this Lease (in which event the provisions of
this sentence shall not be applicable for the benefit of Tenant), in no case
shall either party be liable to the other for any lost profits, damage to
business, or any form of special, indirect or consequential damage on account of
any breach of this Lease or otherwise, notwithstanding anything to the contrary
contained in this Lease.

	ASSIGNMENT AND SUBLETTING

	 

	General.  This Lease has been negotiated
to be and is granted as an accommodation to Tenant.  Accordingly, this Lease is
personal to Tenant and any Permitted Transferee(s), and Tenant's rights granted
hereunder do not include the right to assign this Lease or sublease the
Premises, or to receive any excess, either in installments or lump sum, over the
Rent which is expressly reserved by Landlord as hereinafter provided, except as
otherwise expressly hereinafter provided.  Tenant shall not assign or pledge
this Lease or sublet the Premises or any part thereof, whether voluntarily or by
operation of law, or permit the use or occupancy of the Premises or any part
thereof by anyone other than Tenant, or suffer or permit any such assignment,
pledge, subleasing or occupancy, without Landlord's prior written consent except
as provided herein.  If Tenant desires to assign this Lease or sublet any or all
of the Premises, Tenant shall give Landlord written notice (the
"Transfer Notice") at least thirty (30) days prior to the
anticipated effective date of the proposed assignment or sublease, which shall
contain all of the information reasonably requested by Landlord to address
Landlord's decision criteria specified hereinafter.  Landlord shall then have a
period of thirty (30) days following receipt of the Transfer Notice to notify
Tenant in writing that Landlord elects, in its reasonable discretion: (i) to
terminate this Lease as to the space so affected as of the date so requested by
Tenant, provided that in the case of a subletting, Landlord may not so elect to
terminate this Lease in the case of a subletting for a period (inclusive of
option terms granted to the subtenant under the sublease) of (1) not more than
five (5) years as to a subletting during the initial six (6) years of the Lease
Term, or (11) not more than three (3) years or such lesser period as then
remains in the Lease Term as to a subletting following the initial six (6) years
of the Lease Term, and provided, that in consideration of such election to
terminate, on or before the termination effective date, Landlord shall pay to
Tenant the "Recapture Amount" (as hereinafter defined); (ii) to
consent to the proposed assignment or sublease, subject, however, to Landlord's
prior written consent of the proposed assignee or subtenant and of any related
documents or agreements associated with the assignment or sublease; or (iii) to
withhold its consent to the proposed assignment or sublease in accordance with
this Paragraph 21.  Consent to any assignment or subletting shall not constitute
consent to any subsequent transaction to which this Paragraph 21 applies.
Notwithstanding anything to the contrary contained herein, in the event Landlord
so elects pursuant to clause (i) above to terminate this Lease as to the space
so affected, Tenant shall have the right to nullify such termination by
agreeing, in written notice delivered to Landlord within ten (10) days following
Tenant's receipt of Landlord's notice so electing to terminate, to withdraw the
applicable Transfer Notice and Tenant's request for the applicable assignment or
subletting specified therein.  As used herein, the "Recapture
Amount" shall mean the unamortized cost, as of the effective date of
such early termination of this Lease (based on monthly straight-line
amortization over the initial one hundred forty-four (144) month Term of this
Lease) of the sum of (x) the Additional Tenant Work, and (y) up to the initial
$20.00 per square foot of Premises Rentable Area of the Tenant Improvements, as
such costs are evidenced by the "Evidence of Lien-Free Completion of
Tenant's Work" (as defined in Exhibit C attached
hereto).

	Conditions of Landlord's Consent.  Without
limiting the other instances in which it may be reasonable for Landlord to
withhold Landlord's consent to an assignment or subletting, Landlord and Tenant
acknowledge that it shall be reasonable for Landlord to withhold Landlord's
consent in the following instances: if the proposed assignee does not agree to
be bound by and assume in writing the obligations of Tenant under this Lease in
form and substance satisfactory to Landlord; the use of the Premises by such
proposed assignee or subtenant would not be a Permitted Use or would violate any
exclusivity or other arrangement which Landlord has with any other tenant or
occupant or any Regulation or would increase the Occupancy Density or Parking
Density of the Building or Project, or would otherwise result in an undesirable
tenant mix for the Project as reasonably determined by Landlord; the proposed
assignee or subtenant is not of sound financial condition as determined by
Landlord in Landlord's reasonable discretion; the proposed assignee or subtenant
is a governmental agency; the proposed assignee or subtenant does not have a
good reputation as a tenant of property or a good business reputation; the
proposed assignee or subtenant (or an affiliate of such assignee or subtenant)
is a person with whom Landlord is negotiating to lease space in the Project or
is a present tenant of the Project and Landlord or an affiliate of Landlord has
space available or will have space available in the Building or Project which
space satisfies the material requirements of such present tenant with respect to
its needs for additional space, including the approximate square footage, the
approximately timing of the leasehold estate and the nature of the existing
improvements or the ability to construct such improvements; the assignment or
subletting would entail any Alterations which would lessen the value of the
leasehold improvements in the Premises or use of any Hazardous Materials or
other noxious use or use which may disturb other tenants of the Project; or
Tenant is in default of any obligation of Tenant under this Lease, or Tenant has
defaulted under this Lease on three (3) or more occasions during the twelve (12)
months preceding the date that Tenant shall request consent.  Failure by or
refusal of Landlord to consent to a proposed assignee or subtenant shall not
cause a termination of this Lease.  Upon a termination under Paragraph
21.A(1)(i), Landlord may lease the Premises to any party, including parties with
whom Tenant has negotiated an assignment or sublease, without incurring any
liability to Tenant.  At the sole option of Landlord, a surrender and
termination of this Lease, shall operate as an assignment to Landlord of some or
all subleases or subtenancies.  Landlord shall exercise this option by giving
notice of that assignment to such subtenants on or before the effective date of
the surrender and termination.  In connection with each request for assignment
or subletting, and regardless of whether Landlord consents to such request,
Tenant shall pay to Landlord Landlord's standard fee for approving such
requests, as well as all costs incurred by Landlord or any mortgagee or ground
lessor in approving each such request and effecting any such transfer,
including, without limitation, reasonable attorneys' fees.

	Permitted Transfers.  An "Affiliate"
means any entity that (i) controls, is controlled by, or is under common control
with Tenant, (ii) results from the transfer of all or substantially all of
Tenant's assets or stock, or (iii) results from the merger or consolidation of
Tenant with another entity.  "Control" means the direct or indirect
ownership of more than fifty percent (50%) of the voting securities of an entity
or possession of the right to vote more than fifty percent (50%) of the voting
interest in the ordinary direction of the entity's affairs.  Notwithstanding
anything to the contrary contained in this Lease, Landlord's consent is not
required for and Landlord's recapture rights and right to share in bonus rent
shall not apply to any assignment of this Lease or sublease or other occupancy
agreement of all or a portion of the Premises to an Affiliate so long as the
following conditions are met: (a) at least ten (10) business days before any
such assignment or sublease, Landlord receives written notice of such assignment
or sublease (as well as any documents or information reasonably requested by
Landlord regarding the proposed intended transfer and the transferee), unless
such disclosure is prohibited by applicable law, in which event Tenant shall
provide notice and such other documents as soon as is reasonably practicable and
to the extent and in accordance with applicable laws; (b) Tenant is not then in
default under this Lease; (c) if the transfer is an assignment or any other
transfer to an Affiliate other than a sublease, the intended assignee assumes in
writing all of Tenant's obligations under this Lease relating to the Premises in
form satisfactory to Landlord or, if the transfer is a sublease, the intended
sublessee accepts the sublease in form satisfactory to Landlord; (d) the
intended transferee has a tangible net worth, as evidenced by financial
statements delivered to Landlord and certified by an independent certified
public accountant in accordance with generally accepted accounting principles
that are consistently applied, at least equal to the tangible net worth of
Tenant as of the execution of this Lease; (e) the Premises shall continue to be
operated solely for the use specified in the Basic Lease Information; and (f)
Tenant shall pay to Landlord Landlord's standard fee for approving assignments
and subleases (which fee shall not exceed one thousand dollars ($1,000.00)) and
all costs reasonably incurred by Landlord or any mortgagee or ground lessor for
such assignment or subletting, including, without limitation, reasonable
attorneys' fees.  No transfer to an Affiliate in accordance with this
subparagraph shall relieve Tenant named herein of any obligation under this
Lease or alter the primary liability of Tenant named herein for the payment of
Rent or for the performance of any other obligation to be performed by Tenant,
including the obligations contained in Paragraph 25 with respect to any
Affiliate.  Each such transfer to an Affiliate shall be a "Permitted
Transfer" and the transferee of each Permitted Transfer shall be a
"Permitted Transferee."

	Bonus Rent.  Any Rent or other consideration
realized by Tenant under any such sublease or assignment in excess of the Rent
payable hereunder, after (i) amortization of a reasonable brokerage commission
and reasonable attorneys' fees and improvement costs incurred by Tenant solely
in connection with such sublease or assignment (and except to the extent paid
for or reimbursed by Landlord) and (ii) Tenant's recovery from such excess Rent
or consideration paid by such subtenant or assignee of the then unamortized cost
(based on monthly straight-line amortization over the initial one hundred forty-
four (144) month Term of this Lease) of the sum of (x) the Additional Tenant
Work plus (y) the initial $20.00 per square foot of Premises Rentable Area of
the Tenant Improvements, as evidenced by the "Evidence of Lien-Free
Completion of Tenant's Work" (as defined in Exhibit C attached hereto),
shall be divided and paid, fifty percent (50%) to Tenant, fifty percent (50%) to
Landlord, except in connection with a Permitted Transfer.  In any subletting or
assignment undertaken by Tenant, Tenant shall diligently seek to obtain a
sublease reflecting fair market rent for comparable space (including, but not
limited to, sublease space) available for leasing in the geographical area in
which the Building is located.

	Corporation.  If Tenant is a corporation, a
transfer of corporate shares by sale, assignment, bequest, inheritance,
operation of law or other disposition (including such a transfer to or by a
receiver or trustee in federal or state bankruptcy, insolvency or other
proceedings) resulting in a change in the present control of such corporation or
any of its parent corporations by the person or persons owning a majority of
said corporate shares, shall constitute an assignment for purposes of this
Lease.  Notwithstanding anything to the contrary in this Lease, the transfer of
outstanding capital stock or other listed equity interests, or the purchase of
outstanding capital stock or other listed equity interests, or the purchase of
equity interests issued in an initial public offering of stock through the
"over-the-counter" market or any recognized national or international
securities exchange shall not be included in determining whether control has
been transferred.

	Unincorporated Entity.  If Tenant is a
partnership, joint venture, unincorporated limited liability company or other
unincorporated business form, a transfer of the interest of persons, firms or
entities responsible for managerial control of Tenant by sale, assignment,
bequest, inheritance, operation of law or other disposition, so as to result in
a change in the present control of said entity and/or of the underlying
beneficial interests of said entity and/or a change in the identity of the
persons responsible for the general credit obligations of said entity shall
constitute an assignment for all purposes of this Lease.

	Liability.  No assignment or subletting by Tenant,
permitted or otherwise, shall relieve Tenant of any obligation under this Lease
or any guarantor of this Lease of any liability under its guaranty or alter the
primary liability of the Tenant named herein for the payment of Rent or for the
performance of any other obligations to be performed by Tenant, including
obligations contained in Paragraph 25 with respect to any assignee or subtenant.
Landlord, at its option, may collect rent or other amounts or any portion
thereof directly from any assignee, subtenant, or other occupant of the
Premises, permitted or otherwise, and apply the net rent collected to the Rent
payable hereunder, but no such collection shall be deemed to be a waiver of this
Paragraph 21, or the acceptance of the assignee, subtenant or occupant as
tenant, or a release of Tenant from (he further performance by Tenant of the
obligations of Tenant under this Lease or of any guarantor.  Any assignment or
subletting which conflicts with the provisions hereof shall be
void.

	AUTHORITY

Landlord, and the person or persons, if any, signing on
behalf of Landlord, jointly and severally, represent and warrant that Landlord
has full right and authority to enter into this Lease and to perform all of
Landlord's obligations hereunder and that all persons signing this Lease on its
behalf are authorized to do.  Tenant and the person or persons, if any, signing
on behalf of Tenant, jointly and severally represent and warrant that Tenant has
full right and authority to enter into this Lease, and to perform all of
Tenant's obligations hereunder, and that all persons signing this Lease on its
behalf are authorized to do so.

	CONDEMNATION

	Condemnation Resulting in Termination.  If the whole
or any substantial part of the Premises should be taken or condemned for any
public use under any Regulation, or by right of eminent domain, or by private
purchase in lieu thereof (a "Taking"), and the taking would prevent or
materially interfere with the Permitted Use of the Premises, either party shall
have the right to terminate this Lease at its option upon written notice within
30 days of such Taking.  If any material portion of the Building is subject to a
Taking or if any material portion of the Project unrelated to the Building is
subject to a Taking and such Taking has a material adverse effect on the
Building or occupancy of the Building, Landlord may terminate this Lease at its
option upon written notice within 30 days of such Taking.  In either of such
events, the Rent shall be abated during the unexpired portion of this Lease,
effective when the physical Taking of said Premises shall have
occurred.

	Condemnation Not Resulting in Termination.  If a
portion of the Project of which the Premises are a part is subject to a Taking,
and the Taking prevents or materially interferes with the Permitted Use of the
Premises, and this Lease is not terminated as provided in Paragraph 23.A. above,
the Rent payable hereunder during the unexpired portion of this Lease shall be
reduced, beginning on the date when the physical Taking shall have occurred, to
such amount determined by Landlord as may be fair and reasonable under all of
the circumstances, but only after giving Landlord credit for all sums received
or to be received by Tenant by the condemning authority.  Notwithstanding
anything to the contrary contained in this Paragraph, if the temporary use or
occupancy of any part of the Premises shall be taken or appropriated under power
of eminent domain during the Term, this Lease shall be and remain unaffected by
such Taking or appropriation and Tenant shall continue to pay in full all Rent
payable hereunder by Tenant during the Term; in the event of any such temporary
appropriation or taking, Tenant shall be entitled to receive that portion of any
award which represents compensation for the use of or occupancy of the Premises
during the unexpired Term.

	Award.  Landlord shall be entitled to (and Tenant
hereby absolutely and irrevocably assigns to Landlord) any and all payment,
income, rent, award or any interest therein whatsoever which may be paid or made
in connection with such Taking or conveyance and Tenant shall have no claim
against Landlord or otherwise for any sums paid by virtue of such proceedings,
whether or not attributable to the value of any unexpired portion of this Lease,
except as expressly provided in this Lease.

	Waiver of CCP§1265.130.  Each party waives the
provisions of California Civil Code Procedure Section 1265.130 or any amendment
thereto or successor statute allowing either party to petition the superior
court to terminate this Lease as a result of a partial taking.

	CASUALTY DAMAGE

	General.  If the Premises or Building should be
damaged or destroyed by fire, tornado, earthquake or other casualty
(collectively, "Casualty"), Tenant shall give immediate written notice
thereof to Landlord.  Within ninety (90) days after Landlord's receipt of such
notice, Landlord shall notify Tenant (such notice is referred to herein as
"Landlord's Casualty Response Notice") whether in Landlord's
estimation material restoration of the Premises can reasonably be made within
one hundred eighty (180) days from the date of Landlord's Casualty Response
Notice (or, if longer, such longer time as is estimated for the completion of
such restoration).  Landlord's determination shall be binding on
Tenant.

	Within 180 Days.  If the Premises or Building
should be damaged by Casualty to such extent that material restoration can in
Landlord's estimation be reasonably completed within one hundred eighty (180)
days from the date of Landlord's Casualty Response Notice, this Lease shall not
terminate.  Provided that insurance proceeds are received by Landlord to fully
repair the damage, Landlord shall proceed to rebuild and repair the Premises and
Building diligently and in the manner determined by Landlord, except that
Landlord shall not be required to rebuild, repair or replace any part of any
Alterations which may have been placed on or about the Premises or that were
paid for by Tenant.  If the Premises are untenantable in whole or in part
following such damage, the Rent payable hereunder during the period in which
they are untenantable shall be abated proportionately, but only to the extent of
rental abatement insurance proceeds received by Landlord during the time and to
the extent the Premises are unfit for occupancy.

	Greater than 180 Days.  If the Premises or
Building should be damaged by Casualty to such extent that rebuilding or repairs
cannot in Landlord's estimation be reasonably completed within one hundred
eighty (180) days after the date of Landlord's Casualty Response Notice, then
Landlord shall have the option of either: (1) terminating this Lease effective
upon the date of the occurrence of such damage, in which event the Rent shall be
abated during the unexpired portion of this Lease; or (2) electing to rebuild or
repair the Premises diligently and in the manner determined by Landlord.
Landlord shall notify Tenant of its election within ninety (90) days after
Landlord's receipt of notice of the damage or destruction.  Notwithstanding the
above, Landlord shall not be required to rebuild, repair or replace any part of
any Alterations which may have been placed, on or about the Premises or that
were paid for by Tenant.  If the Premises are untenantable in whole or in part
following such damage, the Rent payable hereunder during the period in which
they are untenantable shall be abated proportionately, but only to the extent of
rental abatement insurance proceeds received by Landlord during the time and to
the extent the Premises are unfit for occupancy.

	Tenant's Termination Right.  If Landlord's
Casualty Response Notice estimates that the rebuilding or repairs to the
applicable Casualty cannot in Landlord's reasonable estimation be reasonably
completed within two hundred seventy (270) days after the date of Landlord's
Casualty Response Notice, then Tenant shall have the option of terminating this
Lease by delivery of written notice of Tenant's election to terminate to
Landlord (which termination shall be effective upon the date of Landlord's
receipt of such notice, but subject to the provisions of this Paragraph 24
respecting Tenant's abatement rights following the occurrence of such casualty,
as applicable), within thirty (30) days following Tenant's receipt of notice of
Landlord's Casualty Response Notice.

	Tenant's Fault.  Notwithstanding anything herein
to the contrary, if the Premises or any other portion of the Building are
damaged by Casualty resulting from the fault, negligence, or breach of this
Lease by Tenant or any of Tenant's Parties, Base Rent and Additional Rent shall
not be diminished during the repair of such damage and Tenant shall be liable to
Landlord for the cost and expense of the repair and restoration of the Building
caused thereby to the extent such cost and expense is not covered by insurance
proceeds or waived hereunder.

	Insurance Proceeds.  Notwithstanding anything
herein to the contrary, if the Premises or Building are damaged or destroyed and
are not fully covered by the insurance proceeds received by Landlord or if the
holder of any indebtedness secured by a mortgage or deed of trust covering the
Premises requires that the insurance proceeds be applied to such indebtedness,
then in either case Landlord shall have the right to terminate this Lease by
delivering written notice of termination to Tenant within ninety (90) days after
the date of notice to Landlord that said damage or destruction is not fully
covered by insurance or such requirement is made by any such holder, as the case
may be, whereupon this Lease shall terminate.

	Waiver.  This Paragraph 24 shall be Tenant's sole
and exclusive remedy in the event of damage or destruction to the Premises or
the Building.  As a material inducement to Landlord entering into this Lease,
Tenant hereby waives any rights it may have under Sections 1932, 1933(4), 1941
or 1942 of the Civil Code of California or any amendments thereto or successor
statutes with respect to any destruction of the Premises, Landlord's obligation
for tenantability of the Premises and Tenant's right to make repairs and deduct
the expenses of such repairs, or under any similar law, statute or ordinance now
or hereafter in effect.

	Tenant's Personal Property.  In the event of any
damage or destruction of the Premises or the Building, under no circumstances
shall Landlord be required to repair any injury or damage to, or make any
repairs to or replacements of, Tenant's personal property.

	HOLDING OVER

Unless Landlord expressly consents in writing to Tenant's
holding over, Tenant shall be unlawfully and illegally in possession of the
Premises, whether or not Landlord accepts any rent from Tenant or any other
person while Tenant remains in possession of the Premises without Landlord's
written consent.  If Tenant shall retain possession of the Premises or any
portion thereof without Landlord's consent following the expiration of this
Lease or sooner termination for any reason, then Tenant shall pay to Landlord
for each day of such retention the amount of any damages suffered by Landlord
due to Tenant's holding over, plus the greater of the following: (i) one-hundred
fifty percent (150%) of the amount of daily rental plus Operating Expenses as of
the last month prior to the date of expiration or earlier termination, or (ii)
the fair rental value of the Premises as reasonably determined by Landlord.
Tenant shall also indemnify, defend, protect and hold Landlord harmless from any
loss, liability or cost, including consequential and incidental damages and
reasonable attorneys' fees, incurred by Landlord resulting from delay by Tenant
in surrendering the Premises, including, without limitation, any claims made by
the succeeding tenant founded on such delay.  Acceptance of Rent by Landlord
following expiration or earlier termination of this Lease, or following demand
by Landlord for possession of the Premises, shall not constitute a renewal of
this Lease, and nothing contained in this Paragraph 25 shall waive Landlord's
right of reentry or any other right.  Additionally, if upon expiration or
earlier termination of this Lease, or following demand by Landlord for
possession of the Premises, Tenant has not fulfilled its obligation with respect
to repairs and cleanup of the Premises or any other Tenant obligations as set
forth in this Lease, then Landlord shall have the right to perform any such
obligations as it deems necessary at Tenant's sole cost and expense, and any
time required by Landlord to complete such obligations shall be considered a
period of holding over and the terms of this Paragraph 25 shall apply.  The
provisions of this Paragraph 25 shall survive any expiration or earlier
termination of this Lease.

	DEFAULT

	Events of Default.  The occurrence of any of the
following shall constitute an event of default on the part of Tenant:

	Abandonment.  Abandonment of the Premises for a
continuous period in excess of five (5) days.  Tenant waives any right to notice
Tenant may have under Section 1951.3 of the Civil Code of the State of
California, the terms of this Paragraph 26.A. being deemed such notice to Tenant
as required by said Section 1951.3.

	Nonpayment of Rent.  Failure to pay any
installment of Rent or any other amount due and payable hereunder upon the date
when said payment is due, such failure continuing for three (3) business days
after written notice of such failure, as to which time is of the essence.  Such
notice shall replace rather than supplement any statutory notice required under
Code of Civil Procedure Section 1161 or any similar or successor
statute.

	Other Obligations.  Failure to perform any
obligation, agreement or covenant under this Lease other than those matters
specified in subparagraphs (1) and (2) of this Paragraph 26.A., and in
Paragraphs 8, 16, 18, 25 and 27, such failure continuing for fifteen (15) days
after written notice of such failure, as to which time is of the essence,
provided that if more than fifteen (15) days is reasonably required for the
completion of the cure of such failure, then Tenant shall not be deemed to be in
default hereunder so long as such cure is promptly commenced within such fifteen
(15) day period and thereafter diligently and continuously prosecuted to
completion but in no event later than within ninety (90) days following Tenant's
receipt of such notice.

	General Assignment.  A general assignment by
Tenant or any guarantor for the benefit of creditors.

	Bankruptcy.  The filing of any voluntary petition
in bankruptcy by Tenant or any guarantor, or the filing of an involuntary
petition by Tenant's or any guarantor's creditors, which involuntary petition
remains undischarged for a period of thirty (30) days.  If under applicable law,
the trustee in bankruptcy or Tenant or any guarantor has the right to affirm
this Lease and continue to perform the obligations of Tenant or any guarantor
hereunder, such trustee Tenant or any guarantor shall, in such time period as
may be permitted by the bankruptcy court having jurisdiction, cure all defaults
of Tenant hereunder outstanding as of the date of the affirmance of this Lease
and provide to Landlord such adequate assurances as may he necessary to ensure
Landlord of the continued performance of Tenant's or any guarantor's obligations
under this Lease or guaranty.

	Receivership.  The employment of a receiver to
take possession of substantially all of Tenant's or any guarantor's assets or
Tenant's leasehold of the Premises, if such appointment remains undismissed or
undischarged for a period of fifteen (15) days after the order
therefor.

	Attachment.  The attachment, execution or other
judicial seizure of all or substantially all of Tenant's or any guarantor's
assets or Tenant's leasehold of the Premises, if such attachment or other
seizure remains undismissed or undischarged for a period of fifteen (15) days
after the levy thereof.

	Insolvency.  The admission by Tenant or any
guarantor in writing of its inability to pay its debts as they become
due.

	Remedies Upon Default.

	Termination.  In the event of the occurrence of any
event of default, Landlord shall have the right to give a written termination
notice to Tenant, and on the date specified in such notice, Tenant's right to
possession shall terminate, and this Lease shall terminate unless on or before
such date all Rent in arrears and all costs and expenses incurred by or on
behalf of Landlord hereunder shall have been paid by Tenant and all other events
of default of this Lease by Tenant at the time existing shall have been fully
remedied to the satisfaction of Landlord.  At any time after such termination,
Landlord may recover possession of the Premises or any part thereof and expel
and remove therefrom Tenant and any other person occupying the same, including
any subtenant or subtenants notwithstanding Landlord's consent to any sublease,
by any lawful means, and again repossess and enjoy the Premises without
prejudice to any of the remedies that Landlord may have under this Lease, or at
law or equity by any reason of Tenant's default or of such termination.
Landlord hereby reserves the right, but shall not have the obligation, to
recognize the continued possession of any subtenant.  The delivery or surrender
to Landlord by or on behalf of Tenant of keys, entry codes, or other means to
bypass security at the Premises shall not terminate this Lease.

	Continuation After Default.  Even though an event
of default may have occurred, this Lease shall continue in effect for so long as
Landlord does not terminate Tenant's right to possession under Paragraph 26.B(1)
hereof.  Landlord shall have the remedy described in California Civil Code
Section 1951.4 ("Landlord may continue this Lease in effect after Tenant's
breach and abandonment and recover Rent as it becomes due, if Tenant has the
right to sublet or assign, subject only to reasonable limitations"), or any
successor code section.  Accordingly, if Landlord does not elect to terminate
this Lease on account of any event of default by Tenant, Landlord may enforce
all of Landlord's rights and remedies under this Lease, including the right to
recover Rent as it becomes due.  Acts of maintenance, preservation or efforts to
lease the Premises or the appointment of a receiver under application of
Landlord to protect Landlord's interest under this Lease or other entry by
Landlord upon the Premises shall not constitute an election to terminate
Tenant's right to possession.

	Requirement for Security Deposit.  If Tenant is in
default under Paragraph 26.A.(2) hereof and such default remains uncured for ten
(10) days after such occurrence or such default occurs more than three times in
any twelve (12) month period, Landlord may require that Tenant provide a
Security Deposit in an amount equal to three (3) times the current month's Rent
at the time of the most recent default.

	Damages Upon Termination.  Should Landlord
terminate this Lease pursuant to the provisions of Paragraph 26.B(1) hereof,
Landlord shall have the rights and remedies of a Landlord provided by Section
1951.2 of the Civil Code of the State of California, or any successor code
sections.  Upon such termination, in addition to any other rights and remedies
to which Landlord may be entitled under applicable law or at equity, Landlord
shall be entitled to recover from Tenant: (1) the worth at the time of award of
the unpaid Rent and other amounts which had been earned at the time of
termination, (2) the worth at the time of award of the amount by which the
unpaid Rent and other amounts that would have been earned after the date of
termination until the time of award exceeds the amount of such Rent loss that
Tenant proves could have been reasonably avoided; (3) the worth at the time of
award of the amount by which the unpaid Rent and other amounts for the balance
of the Term after the time of award exceeds the amount of such Rent loss that
the Tenant proves could be reasonably avoided; and (4) any other amount and
court costs necessary to compensate Landlord for all detriment proximately
caused by Tenant's failure to perform Tenant's obligations under this Lease or
which, in the ordinary course of things, would be likely to result therefrom.
The "worth at the time of award" as used in (1) and (2) above shall be
computed at the Applicable Interest Rate (defined below).  The "worth at
the time of award" as used in (3) above shall be computed by discounting
such amount at the Federal Discount Rate of the Federal Reserve Bank of San
Francisco at the time of award plus one percent (1%).  If this Lease provides
for any periods during the Term during which Tenant is not required to pay Base
Rent or if Tenant otherwise receives a Rent concession, then upon the occurrence
of an event of default, Tenant shall owe to Landlord the full amount of such
Base Rent or value of such Rent concession, plus interest at the Applicable
Interest Rate, calculated from the date that such Base Rent or Rent concession
would have been payable.

	Late Charge.  In addition to its other remedies,
and the right to recover all other costs and expenses incurred by Landlord as a
result of any late payment by Tenant, Landlord shall have the right without
notice or demand to add to the amount of any payment required to be made by
Tenant hereunder, and which is not paid and received by Landlord on or before
the third (3rd) business day of each calendar month, an amount equal to five
percent (5%) of the delinquency for each month or portion thereof that the
delinquency remains outstanding to compensate Landlord for the loss of the use
of the amount not paid and the administrative costs caused by the delinquency,
the parties agreeing that Landlord's damage by virtue of such delinquencies
would be extremely difficult and impracticable to compute and the amount stated
herein represents a reasonable estimate thereof.  Any waiver by Landlord of any
late charges or failure to claim the same shall not constitute a waiver of other
late charges or any other remedies available to Landlord.

	Interest.  Interest shall accrue on all sums not
paid when due hereunder at the lesser of eighteen percent (18%) per annum or the
maximum interest rate allowed by law ("Applicable Interest
Rate") from the due date until paid.

	Remedies Cumulative.  All of the rights,
privileges and elections or remedies of the parties are cumulative and not
alternative, to the extent permitted by law and except as otherwise provided in
this Lease (including, without limitation, in Paragraph 20 above).

	Replacement of Statutory Notice Requirements.
When this Lease requires service of a notice, that notice shall replace rather
than supplement any equivalent or similar statutory notice, including any notice
required by California Code of Civil Procedure Section 1161 or any similar or
successor statute.  When a statute requires service of a notice in a particular
manner, service of that notice (or a similar notice required by this Lease) in
the manner required by this Paragraph 26 shall replace and satisfy the statutory
service-of-notice procedures, including those required by California Code of
Civil Procedure Section 1162 or any similar or successor statute.

	LIENS

Tenant shall at all times keep the Premises and the
Project free from liens arising out of or related to work or services performed,
materials or supplies furnished or obligations incurred by or on behalf of
Tenant or in connection with work made, suffered or done by or on behalf of
Tenant in or on the Premises or Project.  If Tenant shall not, within fifteen
(15) days following the imposition of any such lien, cause the same to be
released of record by payment or posting of a proper bond, Landlord shall have,
in addition to all other remedies provided herein and by law, the right, but not
the obligation, to cause the same to be released by such means as Landlord shall
deem proper, including payment of the claim giving rise to such lien.  All sums
paid by Landlord on behalf of Tenant and all expenses incurred by Landlord in
connection therefor shall be payable to Landlord by Tenant on demand with
interest at the Applicable Interest Rate as Additional Rent.  Landlord shall
have the right at all times to post and keep posted on the Premises any notices
permitted or required by law, or which Landlord shall deem proper, for the
protection of Landlord, the Premises, the Project and any other party having an
interest therein, from mechanics' and materialmen's liens, and Tenant shall give
Landlord not less than ten (10) business days prior written notice of the
commencement of any work in the Premises or Project which could lawfully give
rise to a claim for mechanics' or materialmen's liens to permit Landlord to post
and record a timely notice of non-responsibility, as Landlord may elect to
proceed or as the law may from time to time provide, for which purpose, if
Landlord shall so determine, Landlord may enter the Premises.  Tenant shall not
remove any such notice posted by Landlord without Landlord's consent, and in any
event not before completion of the work which could lawfully give rise to a
claim for mechanics' or materialmen's liens.

	INTENTIONALLY
OMITTED

	TRANSFERS BY LANDLORD

In the event of a sale or conveyance by Landlord of the
Building or a foreclosure by any creditor of Landlord, the same shall operate to
release Landlord from any liability upon any of the covenants or conditions,
express Or implied, herein contained in favor of Tenant, to the extent required
to be performed after the passing of title to Landlord's successor-in-interest.
In such event, Tenant agrees to look solely to the responsibility of the
successor-in-interest of Landlord under this Lease with respect to the
performance of the covenants and duties of "Landlord" to be performed
after the passing of title to Landlord's successor-in-interest.  This Lease
shall not be affected by any such sale and Tenant agrees to attorn to the
purchaser or assignee.  Landlord's successor(s)-in-interest shall not have
liability to Tenant with respect to the failure to perform any of the
obligations of "Landlord," to the extent required to be performed
prior to the date such successor(s)-in-interest became the owner of the
Building.

	RIGHT OF LANDLORD TO PERFORM
TENANT'S COVENANTS

All covenants and agreements to be performed by Tenant
under any of the terms of this Lease shall be performed by Tenant at Tenant's
sole cost and expense and without any abatement of Rent.  If Tenant shall fail
to pay any sum of money, other than Base Rent, required to be paid by Tenant
hereunder or shall fail to perform any other act on Tenant's part to be
performed hereunder, including Tenant's obligations under Paragraph 11 hereof,
and such failure shall continue for fifteen (15) days after notice thereof by
Landlord, in addition to the other rights and remedies of Landlord, Landlord may
make any such payment and perform any such act on Tenant's part.  In the case of
an emergency, no prior notification by Landlord shall be required.  Landlord may
take such actions without any obligation and without releasing Tenant from any
of Tenant's obligations.  All sums so paid by Landlord and all incidental costs
incurred by Landlord and interest thereon at the Applicable Interest Rate, from
the date of payment by Landlord, shall be paid to Landlord on demand as
Additional Rent.

	WAIVER

If either Landlord or Tenant waives the performance of
any term, covenant or condition contained in this Lease, such waiver shall not
be deemed to be a waiver of any subsequent breach of the same or any other term,
covenant or condition contained herein, or constitute a course of dealing
contrary to the expressed terms of this Lease.  The acceptance of Rent by
Landlord (including, without limitation, through any "lockbox") shall
not constitute a waiver of any preceding breach by Tenant of any term, covenant
or condition of this Lease, regardless of Landlord's knowledge of such preceding
breach at the time Landlord accepted such Rent.  Failure by Landlord to enforce
any of the terms, covenants or conditions of this Lease for any length of time
shall not be deemed to waive or decrease the right of Landlord to insist
thereafter upon strict performance by Tenant.  Waiver by Landlord of any term,
covenant or condition contained in this Lease may only be made by a written
document signed by Landlord, based upon full knowledge of the circumstances.

	NOTICES

Each provision of this Lease or of any applicable
governmental laws, ordinances, regulations and other requirements with reference
to sending, mailing, or delivery of any notice or the making of any payment by
Landlord or Tenant to the other shall be deemed to be complied with when and if
the following steps are taken:

	Rent.  All Rent and other payments required to be
made by Tenant to Landlord hereunder shall be payable to Landlord at Landlord's
Remittance Address set forth in the Basic Lease Information, or at such other
address as Landlord may specify from time to time by written notice delivered in
accordance herewith.  Tenant's obligation to pay Rent and any other amounts to
Landlord under the terms of this Lease shall not be deemed satisfied until such
Rent and other amounts have been actually received by Landlord.

	Other.  All notices, demands, consents and
approvals which may or are required to be given by either party to the other
hereunder shall be in writing and either personally delivered, sent by
commercial overnight courier, mailed, certified or registered, postage prepaid
or sent by facsimile with confirmed receipt (and with an original sent by
commercial overnight courier), and in each case addressed to the party to be
notified at the Notice Address for such party as specified in the Basic Lease
Information or to such other place as the party to be notified may from time to
time designate by at least fifteen (15) days notice to the notifying party.
Notices shall be deemed served upon receipt or refusal to accept delivery.
Tenant appoints as its agent to receive the service of all default notices and
notice of commencement of unlawful detainer proceedings the person in charge of
or apparently in charge of occupying the Premises at the time, and, if there is
no such person, then such service may be made by attaching the same on the main
entrance of the Premises.

	Required Notices.  Tenant shall immediately notify
Landlord in writing of any notice of a violation or a potential or alleged
violation of any Regulation that relates to the Premises or the Project, or of
any inquiry, investigation, enforcement or other action that is instituted or
threatened by any governmental or regulatory agency against Tenant or any other
occupant of the Premises, or any claim that is instituted or threatened by any
third party that relates to the Premises or the Project.

	ATTORNEYS' FEES

If Landlord places the enforcement of this Lease, or any
part thereof, or the collection of any Rent due, or to become due hereunder, or
recovery of possession of the Premises in the hands of an attorney, Tenant shall
pay to Landlord, upon demand, Landlord's reasonable attorneys' fees and court
costs, whether incurred without trial, at trial, appeal or review.  In any
action which Landlord or Tenant brings to enforce its respective rights
hereunder, the unsuccessful party shall pay all costs incurred by the prevailing
party including reasonable attorneys' fees, to he fixed by the court, and said
costs and attorneys' fees shall be a part of the judgment in said action.

	SUCCESSORS AND
ASSIGNS

This Lease shall be binding upon and inure to the benefit
of Landlord, its successors and assigns, and shall be binding upon and inure to
the benefit of Tenant, its successors, and to the extent assignment is approved
by Landlord as provided hereunder, Tenant's assigns.

	FORCE MAJEURE

If performance by a party of any portion of this Lease is
made impossible by any prevention, delay, or stoppage caused by strikes,
lockouts, labor disputes, acts of God, inability to obtain services, labor, or
materials or reasonable substitutes for those items, government actions, civil
commotions, fire or other casualty, or other causes beyond the reasonable
control of the party obligated to perform, performance by that party for a
period equal to the period of that prevention, delay, or stoppage is excused.
Tenant's obligation to pay Rent, however, is not excused by this Paragraph
35.

	SURRENDER OF
PREMISES

Tenant shall, upon expiration or sooner termination of
this Lease, surrender the Premises to Landlord in as good a condition as existed
on the date Tenant originally took possession thereof, ordinary wear and tear
excepted, provided that ordinary wear and tear shall not include repair and
clean up items.  Repair and clean up items shall include replacement of damaged
or missing ceiling or floor tiles, window coverings or cover plates, removal of
any Tenant-introduced markings, and repair of all holes and gaps, as well as the
removal requirements contained in this Lease, all to the reasonable satisfaction
of Landlord.  Tenant shall remove all of its debris from the Project.  At or
before the time of surrender, Tenant shall comply with the terms of Paragraph
12.A. hereof with respect to Alterations to the Premises and all other matters
addressed in such Paragraph.  If the Premises are not so surrendered at the
expiration or sooner termination of this Lease, the provisions of Paragraph 25
hereof shall apply.  All keys to the Premises or any part thereof shall be
surrendered to Landlord upon expiration or sooner termination of the Term.
Tenant shall give written notice to Landlord at least thirty (30) days prior to
vacating the Premises and shall meet with Landlord for a joint inspection of the
Premises at the time of vacating, but nothing contained herein shall be
construed as an extension of the Term or as a consent by Landlord to any holding
over by Tenant.  In the event of Tenant's failure to participate in such joint
inspection, Landlord's inspection at or after Tenant's vacating the Premises
shall conclusively be deemed correct for purposes of determining Tenant's
responsibility for repairs and restoration.

	PARKING

So long as Tenant is occupying the Premises, Tenant and
Tenant's Parties shall have the right to use up to the number of non-exclusive
parking spaces specified in the Basic Lease Information with such non-exclusive
parking spaces being on an unreserved, nonexclusive, first come, first served
basis, for use by passenger-size automobiles, in the parking areas in the
Project designated from time to time by Landlord for use in common by tenants of
the Project.  The parking rights granted under this Paragraph 37 are personal to
Tenant and are not transferable except to any assignee of Tenant's interest in
this Lease or subtenant of, or other person granted a right to use, the
Premises, in accordance with the provisions of this Lease.

Tenant may request additional parking spaces from time to
time and if Landlord in its sole discretion agrees to make such additional
spaces available for use by Tenant, such spaces shall be provided on a month-to-
month unreserved and nonexclusive basis (unless otherwise agreed in writing by
Landlord), and subject to such parking charges as Landlord shall determine, and
shall otherwise be subject to such terms and conditions as Landlord may
require.

Tenant shall at all times comply and shall cause all Tenant's
Parties and visitors to comply with all Regulations and any rules and
regulations established from time to time by Landlord relating to parking at the
Project, including any keycard, sticker or other identification or entrance
system, and hours of operation, as applicable.

Landlord shall have no liability for any damage to property
or other items located in the parking areas of the Project, nor for any personal
injuries or death arising out of the use of parking areas in the Project by
Tenant or any Tenant's Parties.  Without limiting the foregoing, if Landlord
arranges for the parking areas to be operated by an independent contractor not
affiliated with Landlord, Tenant acknowledges that Landlord shall have no
liability for claims arising through acts or omissions of such independent
contractor.  In all events, Tenant agrees to look first to its insurance carrier
and to require that Tenant's Parties look first to their respective insurance
carriers for payment of any losses sustained in connection with any use of the
parking areas.

Landlord reserves the right to assign specific spaces, and to
reserve spaces for visitors, small cars, disabled persons or for other tenants
or guests, and Tenant shall not park and shall not allow Tenant's Parties to
park in any such assigned or reserved spaces.  Tenant's parking shall be within
those portions of the non-exclusive, unreserved parking areas as may be provided
by Landlord from time to time for the purpose of parking motor vehicles for the
Building, provided that such parking may be provided by tandem or stacked
parking (which may be for two (2) or three (3) cars), provided that an attendant
is available to coordinate such parking.  Tenant may validate visitor parking by
such method as Landlord may approve, at the validation rate from time to time
generally applicable to visitor parking.  Landlord also reserves the right to
alter, modify, relocate or close all or any portion of the parking areas in
order to make repairs or perform maintenance service, or to restripe or renovate
the parking areas, or if required by casualty, condemnation, act of God,
Regulations or for any other reason deemed reasonable by Landlord, provided that
Tenant suffers no diminution in the number of unreserved parking spaces granted
under this Lease and Tenant's designated parking is located within one-eighth
(1/8th) of a mile of the entrance to the Building.

Tenant shall not be required to pay any charges for the
parking to which Tenant is entitled as set forth in the Basic Lease Information
(whether provided by stacked, tandem and/or valet serviced parking).  However,
to the extent Tenant obtains any additional parking for which a charge is
applicable, Tenant shall pay to Landlord (or Landlord's parking contractor, if
so directed in writing by Landlord), as Additional Rent hereunder, the monthly
charges established from time to time by Landlord for such parking, on thirty
(30) days prior notice.  Such parking charges shall be payable in advance with
Tenant's payment of Basic Rent.  No deductions from the monthly parking charge
shall be made for days or months during which the Tenant does not use any of the
parking spaces entitled to be used by Tenant.

	MISCELLANEOUS

	General.  The term "Tenant" or any pronoun
used in place thereof shall indicate and include the masculine or feminine, the
singular or plural number, individuals, firms or corporations, and their
respective successors, executors, administrators and permitted assigns,
according to the context hereof.

	Time.  Time is of the essence regarding this Lease
and all of its provisions.

	Choice of Law.  This Lease shall in all respects
be governed by the laws of the State or California.

	Entire Agreement.  This Lease, together with its
Exhibits, addenda and attachments and the Basic Lease Information, contains all
the agreements of the parties hereto and supersedes any previous negotiations.
There have been no representations made by the Landlord or understandings made
between the parties other than those set forth in this Lease and its Exhibits,
addenda and attachments and the Basic Lease Information.

	Modification.  This Lease may not be modified
except by a written instrument signed by the parties hereto.  Subject to
Tenant's one-time right to re-measure the Premises as set forth in Paragraph
39.A below, Tenant accepts the area of the Premises as specified in the Basic
Lease Information as the approximate area of the Premises for all purposes under
this Lease, and acknowledges and agrees that no other definition of the area
(rentable, usable or otherwise) of the Premises shall apply.  Except as
expressly otherwise provided herein, Tenant shall in no event be entitled to a
recalculation of the square footage of the Premises, rentable, usable or
otherwise, and no recalculation, if made, irrespective of its purpose, shall
reduce Tenant's obligations under this Lease in any manner, including without
limitation the amount of Base Rent payable by Tenant or Tenant's Proportionate
Share of the Building and of the Project.

	Severability.  If, for any reason whatsoever, any
of the provisions hereof shall be unenforceable or ineffective, all of the other
provisions shall be and remain in full force and effect.

	Recordation.  Tenant shall not record this Lease
or a short form memorandum hereof.

	Examination of Lease.  Submission of this Lease to
Tenant does not constitute an option or offer to lease and this Lease is not
effective otherwise until execution and delivery by both Landlord and
Tenant.

	Accord and Satisfaction.  No payment by Tenant of
a lesser amount than the total Rent due nor any endorsement on any check or
letter accompanying any check or payment of Rent shall be deemed an accord and
satisfaction of full payment of Rent, and Landlord may accept such payment
without prejudice to Landlord's right to recover the balance of such Rent or to
pursue other remedies.  All offers by or on behalf of Tenant of accord and
satisfaction are hereby rejected in advance.

	Easements.  Landlord may grant easements on the
Project and dedicate for public use portions of the Project without Tenant's
consent; provided that no such grant or dedication shall materially interfere
with Tenant's Permitted Use of the Premises.  Upon Landlord's request, Tenant
shall execute, acknowledge and deliver to Landlord documents, instruments, maps
and plats necessary to effectuate Tenant's covenants hereunder.

	Drafting and Determination Presumption. The
parties acknowledge that this Lease has been agreed to by both the parties, that
both Landlord and Tenant have consulted with attorneys with respect to the terms
of' this Lease and that no presumption shall be created against Landlord because
Landlord drafted this Lease. Except as otherwise specifically set forth in this
Lease, with respect to any consent, determination or estimation of Landlord
required or allowed in this Lease or requested of Landlord, Landlord's consent,
determination or estimation shall be given or made solely by Landlord in
Landlord's good faith opinion, whether or not objectively reasonable. If
Landlord fails to respond to any request for its consent within the time period,
if any, specified in this Lease, Landlord shall be deemed to have disapproved
such request.

	Exhibits. The Basic Lease Information, and the
Exhibits, addenda and attachments attached hereto are hereby incorporated herein
by this reference and made a part of this Lease as though fully set forth
herein.

	No Light, Air or View Easement. Any diminution or
shutting off of light, air or view by any structure which may be erected on
lands adjacent to or in the vicinity of the Building shall in no way affect this
Lease or impose any liability on Landlord.

	No Third Party Benefit. This Lease is a contract
between Landlord and Tenant and nothing herein is intended to create any third
party benefit.

	Quiet Enjoyment. Upon payment by Tenant of the
Rent, and upon the observance and performance of all of the other covenants,
terms and conditions on Tenant's part to be observed and performed, Tenant shall
peaceably and quietly hold and enjoy the Premises for the term hereby demised
without hindrance or interruption by Landlord or any other person or persons
lawfully or equitably claiming by, through or under Landlord, subject,
nevertheless, to all of the other terms and conditions of this Lease. Landlord
shall not be liable for any hindrance, interruption, interference or disturbance
by other tenants or third persons, nor shall Tenant be released from any
obligations under this Lease because of such hindrance, interruption,
interference or disturbance.

	Counterparts. This Lease may be executed in any
number of counterparts, each of which shall be deemed an original.

	Multiple Parties. If more than one person or
entity is named herein as Tenant, such multiple parties shall have joint and
several responsibility to comply with the terms of this Lease.

	Prorations. Any Rent or other amounts payable to
Landlord by Tenant hereunder for any fractional month shall be prorated based on
a month of 30 days. As used herein, the term "fiscal year" shall mean
the calendar year or such other fiscal year as Landlord may deem
appropriate.

	Authority. If either party is a corporation,
partnership or limited liability company, each individual executing this Lease
on behalf of said entity represents and warrants that he/she is duly authorized
to execute and deliver this Lease on behalf of said entity in accordance with a
duly adopted resolution of the board of directors or other authorizing body of
said entity or in accordance with the bylaws or other governing documents of
said entity, that that this Lease is binding upon said entity in accordance with
its terms. Further, either party shall, within thirty (30) days after request by
the other following execution of this Lease, deliver to the other party a copy
of a resolution of the board of directors or other authorizing body of said
entity authorizing or ratifying the execution and delivery of this
Lease.

	Mortgagee Protection. Tenant agrees to give any
mortgagee(s) and/or trust deed holders whose name and address have been
previously furnished by Tenant, by registered mail, a copy of any notice of
default served upon Landlord. Tenant further agrees that if Landlord shall have
failed to cure such default within the time provided for in this Lease (if any)
then the mortgagees or trust deed holder(s) shall have an additional thirty (30)
days within which to cure such default or, if such default cannot be cured
within such thirty (30) days, then such additional time as may be necessary if,
within such thirty (30) days, such Mortgagee or trust deed holder has commenced
and is pursuing the remedies necessary to cure such default (including, but not
limited to, commencement of foreclosure proceedings, if necessary to effect such
cure), in which event this Lease shall not be terminated while such remedies are
being pursued.

	Brokerage Commission. Landlord shall pay a
brokerage commission to Landlord's Broker in accordance with a separate
agreement between Landlord and Landlord's Broker. Landlord shall have no further
or separate obligation for payment of any commissions or fees to any other
broker or finder. Tenant warrants to Landlord that Tenant's sole contact with
Landlord or with the Premises in connection with this transaction has been
directly with Landlord, Landlord's Broker and Tenant's Broker, and that no other
broker or finder can properly claim a right to a commission or a finder's fee
based upon contacts between the claimant and Tenant. Any commissions or fees
payable to Tenant's Broker with respect to this transaction shall be paid by
Landlord's Broker or Tenant, and Landlord shall have no obligation with respect
thereto, Subject to the foregoing, Tenant agrees to indemnify and hold Landlord
harmless from any claims or liability, including reasonable attorneys' fees, in
connection with a claim by any person for a real estate broker's commission,
finder's fee or other compensation based upon any statement, representation or
agreement of Tenant, and Landlord agrees to indemnify and hold Tenant harmless
from any such claims or liability, including reasonable attorneys' fees, based
upon any statement, representation or agreement of Landlord.

	ADDITIONAL
PROVISIONS

	Measurement of Premises. The parties hereby agree
that the actual rentable areas of the Premises, the Building and the Project are
intended to be determined by Landlord's architect in accordance with the
rentable standards set forth in ANSI/BOMA Z65.1-1996. as promulgated by the
Building Owners and Managers Association ("BOMA Standard"),
which measurement standard shall include areas for management and servicing the
Building and other areas used in common within the Building. Landlord's
architect shall calculate and certify in writing to Landlord and Tenant the
rentable square footage of the Premises. If Landlord's architect determines that
the rentable square footage of the Premises is different from that stated in
this Lease, Rent that is based on rentable square footage (including, without
limitation, Tenant's Proportionate Share of the Building, common areas and
Project) shall be recalculated in accordance with that determination. On the
recalculation of Rent as provided herein, at Landlord's option, the parties
shall execute an amendment to this Lease stating the recalculated Rent. Tenant
shall have a one-time right, exercisable within twenty (20) business days after
substantial completion of Tenant's Work to remeasure the Premises and the
Building. Tenant shall complete the remeasurement within ten (10) business days
after expiration of such twenty (20) business day period. In the event such
remeasurement of the Premises and the Building by Tenant, within the time period
specified above, demonstrates to Landlord's reasonable satisfaction that the
rentable square footage measurement prepared by Landlord produces a square
footage number in excess of or lower than the square footage number which would
have resulted had the BOMA Standard been properly applied, certain items and
concepts addressed in this Lease with respect to the Premises, Base Rent,
Tenant's Proportionate Share, and all other matters related to the measurement
of the Building and the Premises shall be adjusted effective as of the Term
Commencement Date, to reflect the actual number of rentable square feet, as
properly remeasured under the BOMA Standard. Tenant shall have no further right
to remeasure the Premises or the Building. In the event that Landlord and Tenant
are unable to agree upon the measurement of the Premises or the Building within
a reasonable period of time, the arbitration process described in Paragraph 39.B
below shall apply. Within thirty (30) days after Landlord delivers to Tenant
final construction drawings for the Base Building Work, Tenant shall review such
plans to determine whether such plans indicate that the square footage
calculation reflected in the Basic Lease Information and Exhibit B is in
conformance with the BOMA Standard. If Landlord makes any modification to the
Building from as set forth on the those certain "50% Complete" set of
construction drawings prepared by Gensler dated November 29, 2000, which
increases Building Common Area but does not result in an increase in usable area
of the Premises (as both such terms are defined in accordance with the BOMA
Standard), then the rentable square footage of the Premises shall not be
increased as a result of the addition of such Building Common Area. By way of
example and without limitation, if Landlord encloses any mechanical or equipment
area on the roof of the Building, such additional enclosed space shall not be
included in Building Common Area for purposes of calculating the rentable square
footage of the Premises.

	Arbitration of Disputes.

	The parties agree that any and all disputes, claims
or controversies arising out of or relating to Paragraph 2 and/or Paragraph 39.A
of this Lease, except matters entitled to "fast-track" adjudication,
that are not resolved by their mutual agreement shall be submitted to final and
binding arbitration before JAMS/ENDISPUTE, or its successor, pursuant to the
United States Arbitration Act, 9 U.S.C. Sec. I et seq. Either party may commence
the arbitration process called for in this Paragraph 39.B by filing a written
demand for arbitration with JAMS/ENDISPUTE with a copy to the other party. The
arbitration will be conducted in the County in which the Premises is located and
in accordance with the provisions of JAMS/ENDISPUTE's Streamlined Arbitration
Rules and Procedures in effect at the time of filing the demand for arbitration.
The parties will cooperate with JAMS/ENDISPUTE and with one another in selecting
an arbitrator from JAMS/ENDISPUTE's panel of neutrals, and in scheduling the
arbitration proceedings. The parties covenant that they will participate in the
proceedings in good faith, and that they will share equally in its costs,
including, without limitation, the arbitrator's fees, provided that each party
shall bear its own attorneys' fees in connection with any arbitration. The
provisions of this Paragraph may be enforced by any Court of competent
jurisdiction, and, in the event that the arbitration process continues through
and including a final determination of liability in accordance with this
provision, the prevailing party shall be entitled to an award of all costs, fees
and expenses, including reasonable attorneys' fees, to be paid by the party
against whom enforcement is ordered.

	NOTICE: By initialing the space below you are agreeing to
have all disputes, claims or controversies arising out Of Or relating to
Paragraph 2 and/or Paragraph 39.A of the Lease, except matters entitled to
"fast-track" adjudication, decided by neutral arbitration, and you are
giving up any rights you might possess to have those matters litigated in a
court or jury trial. By initialing in the space below you are giving up your
judicial rights to discovery and appeal except to the extent that they are
specifically provided for under this Paragraph 39.B. If you refuse to submit to
arbitration after agreeing to this provision, you may be compelled to arbitrate
under federal or state law. Your agreement to this arbitration provision is
voluntary.

We have read and understand the foregoing and agree to
submission of all disputes, claims or controversies arising out of or related to
Paragraph 2 and/or Paragraph 39.A of this Lease, except for issues arising in
connection with matters entitled to "fast-track" adjudication, to
neutral arbitration in accordance with this Paragraph 39.B.

	
/s/  J.T.
	
/s/  J.A.

	
Landlord
	
Tenant

	Training Use. Landlord acknowledges
and agrees that Tenant may elect to use the Premises. in whole or in part, for
training purposes, including holding training sessions during which the number
of people within the Premises may exceed the occupancy Density set forth herein.
Landlord hereby consents to such use including occupancy in excess of the
Occupancy Density in connection therewith; provided that Tenant, at Tenant's
expense, constructs or modifies the Additional Tenant Work and Tenant
Improvements to accommodate such use in compliance with applicable Regulations
(and in accordance with the provisions of this Lease governing such construction
or modification by Tenant). Further, upon the expiration of the Term or earlier
termination of this Lease, Tenant, at Landlord's option (exercised by written
notice delivered to Tenant not later than ninety (90) days prior to the
expiration of the Lease Term), shall be required to restore those areas of the
Premises improved for use other than general office use and/or those areas not
in compliance with Schedules 1, 2 and/or 3 of Exhibit C
attached hereto to the following condition: remove all partitions, plumbing, any
restroom facilities in their entirety (including, without limitation,
mechanical, electrical and plumbing work specific to such restroom facilities)
other than such restrooms as are customary (in terms of size and amenities) for
first class general office use consistent with such Schedules 1, 2 and/or
3 of Exhibit C, floor covering, all telecommunications cabling,
cabinetry, case work, kitchen fixtures and equipment (including, without
limitation, any exhaust systems installed in connection with such kitchen);
repair and patch concrete floor to smooth, level surface where removals have
been made pursuant to the foregoing; terminate partitions adjacent to removed
items in a workmanlike manner (with patching and matching as appropriate
consistent with first class general office use improvements; and repair (with
patching and matching as appropriate consistent with first class general office
use improvements) the ceiling grid and tiles to provide for a continuous .grid
and tiles that meet all applicable Regulations and the Standards as applicable
to open office space. Tenant shall not be required to modify the HVAC system,
fire sprinklers or electrical system of the Premises other than as expressly
required pursuant to the foregoing provisions hereof.

	Letter of Credit.

	Delivery of Letter of Credit. In lieu of depositing a
security deposit with Landlord, Tenant shall, within ninety (90) days following
execution of this Lease, deliver to Landlord and cause to be in effect during
the Lease Term (for so long as the same is required hereunder) an unconditional,
irrevocable letter of credit ("LOC") in an amount equal to $28.00 per
rentable square foot in the Premises (the "LOC Amount") having
an initial term of not less than one (1) year and thereafter renewing
automatically from year to year. The LOC shall be in a form acceptable to
Landlord and shall be issued by an LOC bank selected by Tenant and acceptable to
Landlord. Without limiting the generality of the foregoing, the LOC must permit
one or more transfers of the LOC by Landlord in connection with any sale,
assignment, mortgage, encumbrance or other transfer or disposition
("Transfer") of the Project, the Building or this Lease. No fee
or other consideration may be charged by the LOC bank in connection with such
Transfer (or, if any such fee is charged, then such fee shall be paid by
Landlord). An LOC bank is a bank that accepts deposits. maintains accounts, has
a local office that will negotiate a letter of credit, has a credit rating and
financial condition reasonably acceptable to Landlord, and the deposits of which
are insured by the Federal Deposit Insurance Corporation. Tenant shall pay all
costs, expenses, points and/or fees incurred by Tenant in obtaining the LOC. The
LOC shall not be mortgaged, assigned or encumbered in any manner whatsoever by
Tenant. Tenant acknowledges that Landlord has the right to transfer or mortgage
its interest in the Project, the Building and in this Lease and Tenant agrees
that in the event of any such transfer or mortgage, Landlord shall have the
right to transfer or assign the LOC and/or the LOC Security Deposit (as defined
below) to the transferee or mortgagee, and in the event of such transfer, Tenant
shall look solely to such transferee or mortgagee for the return of the LOC
and/or the LOC Security Deposit.

	Replacement of Letter of Credit. Tenant may, from
time to time, replace any existing LOC with a new LOC if the new LOC (a) becomes
effective at least thirty (30) days before expiration of the LOC that it
replaces; (b) is in the required LOC amount; (c) is issued by an LOC bank
acceptable to Landlord; and (d) otherwise complies with the requirements of this
Paragraph 39.D.

	Landlord's Right to Draw on Letter of Credit.
Landlord shall hold the LOC as security for the performance of Tenant's
obligations under this Lease. If, after notice and failure to cure within any
applicable period provided in this Lease, Tenant defaults on any provision of
this Lease. Landlord may, without prejudice to or limitation of any other remedy
it has, draw all or any portion of the LOC necessary to (a) pay Rent or other
sums in default; (b) pay or reimburse Landlord for any amount that Landlord may
spend or become obligated to spend in exercising Landlord's rights under
Paragraph 30 (Right of Landlord to Perform Tenant's Covenant); and/or (c)
compensate Landlord for any expense, loss, liability, or damage that Landlord
may suffer because of Tenant's default. If Tenant fails to renew or replace the
LOC at least thirty (30) days before its expiration, Landlord may, without
prejudice to any other remedy it has, draw on the entire amount of the
LOC.

	LOC Security Deposit. Any amount of the LOC that
is drawn on by Landlord but not applied by Landlord shall be held by Landlord as
a security deposit (the "LOC Security Deposit") in accordance with
Paragraph 19 of this Lease.

	Restoration of Letter of Credit and LOC Security
Deposit. If Landlord draws on any portion of the LOC and/or applies all or
any portion of such draw, Tenant shall, within five (5) business days after
demand by Landlord, either (a) deposit cash with Landlord in an amount that,
when added to the amount remaining under the LOC and the amount of any LOC
Security Deposit, shall equal the LOC Amount then required under this Paragraph
39.D; or (b) reinstate the LOC to the full LOC Amount.

	Return of LOC. Notwithstanding anything to the
contrary contained herein, Tenant shall not be required to maintain the LOC
following Tenant's delivery to Landlord of the "Evidence of Lien-Free
Completion of Tenant's Work" (as defined in Exhibit C attached hereto.
Within thirty (30) days following Landlord's receipt of the Evidence of Lien-
Free Completion of Tenant's Work, Landlord shall return to Tenant the LOC (to
the extent not previously drawn by Landlord in accordance herewith) and any
proceeds therefrom to the extent not previously applied by Landlord in
accordance herewith.

	Notice of Intent to Sell. If at any time during
the Lease Term, Landlord determines to market and sell the Building, either
separately or as part of the Project, and whether such sale would be a transfer
or ground lease of Landlord's interest in the Building or of a controlling
interest in Landlord if all or significantly all of Landlord's assets is the
Project, then prior to actively marketing the Building, then Landlord shall
provide Tenant with not less than thirty (30) days prior written notice of the
same (the "Marketing Notice"); provided that if prior to
Landlord's delivery of a Marketing Notice to Tenant, Landlord receives an
unsolicited offer which Landlord desires to accept or further negotiate, then
Landlord shall provide Tenant with a Marketing Notice promptly following receipt
of such offer and shall not accept such offer or further negotiate for the
conveyance of the Building until the expiration of the thirty (30) day period
following Tenant's receipt of such Marketing Notice. Such notice requirement
shall not apply with respect to any financing agreements (including
foreclosures, trustees sale or deeds in lieu of foreclosure), sale-leaseback
transactions, or any sale or transfer to an entity affiliated with Landlord.
Further Landlord shall not be required to deliver such notice if at the time
such notice would be delivered, Tenant is in default beyond the applicable
notice and cure period. Notwithstanding anything to the contrary contained in
this Lease, the parties hereby agree and acknowledge that Tenant's right to
receive the Marketing Notice under this Paragraph 39.E is for Tenant's
convenience only and nothing in this Paragraph 39.E or elsewhere in this Lease
shall be deemed to grant any right or option to Tenant to acquire any interest
in the Premises, Building, Project or Landlord (other than the leasehold
interest granted to Tenant under this Lease, as tenant, during the Term of this
Lease).

	JURY TRIAL
WAIVER

EACH PARTY HERETO (WHICH INCLUDES ANY ASSIGNEE, SUCCESSOR
HEIR OR PERSONAL REPRESENTATIVE OF A PARTY) SHALL NOT SEEK A JURY TRIAL, HEREBY
WAIVES TRIAL BY JURY, AND HEREBY FURTHER WAIVES ANY OBJECTION TO VENUE IN THE
COUNTY IN WHICH THE BUILDING IS LOCATED, AND AGREES AND CONSENTS TO PERSONAL
JURISDICTION OF THE COURTS OF THE STATE IN WHICH THE PROPERTY IS LOCATED, IN ANY
ACTION OR PROCEEDING OR COUNTERCLAIM BROUGHT BY ANY PARTY HERETO AGAINST THE
OTHER ON ANY MATTER WHATSOEVER ARISING OUT OF OR IN ANY WAY CONNECTED WITH THIS
LEASE, THE RELATIONSHIP OF LANDLORD AND TENANT, TENANT'S USE OR OCCUPANCY OF THE
PREMISES, OR ANY CLAIM OF INJURY OR DAMAGE, OR THE ENFORCEMENT OF ANY REMEDY
UNDER ANY STATUTE, EMERGENCY OR OTHERWISE, WHETHER ANY OF THE FOREGOING IS BASED
ON THIS LEASE OR ON TORT LAW. EACH PARTY REPRESENTS THAT IT HAS HAD THE
OPPORTUNITY TO CONSULT WITH LEGAL COUNSEL CONCERNING THE EFFECT OF THIS
PARAGRAPH 40. THE PROVISIONS OF THIS PARAGRAPH 40 SHALL SURVIVE THE EXPIRATION
OR EARLIER TERMINATION OF THIS LEASE.

IN WITNESS WHEREOF, the parties hereto have executed this
Lease as of the day and the year first above written.
LANDLORD:

PW ACQUISITIONS VIII, LLC

                   A Delaware limited liability company

By:  /s/  John C. Tashjian

                   (Print Name and Title)

By:  John C. Tashjian, Vice President

                   (Print Name and Title)

Date:  December 29, 2000

TENANT:

SIEBEL SYSTEMS, INC., a Delaware Corporation

By:  /s/  Jeffrey T. Amann

                   (Print Name and Title)

By:  Jeffrey T. Amann, Vice President, Legal
Affairs

                   (Print Name and Title)

Date:  December ___, 2000

EXHIBIT A

Rules and Regulations

In the event of any inconsistency between the provisions
of the body of the Lease of which this Exhibit is a part and the provisions of
this Exhibit, the provisions of the body of the Lease of which this Exhibit is a
part shall govern.
1.Driveways, sidewalks, halls, passages, exits,
entrances, elevators, escalators and stairways shall not be obstructed by
tenants or used by tenants for any purpose other than for ingress to and egress
from their respective premises. The driveways, sidewalks, halls, passages,
exits, entrances, elevators and stairways are not for the use of the general
public and Landlord shall in all cases retain the right to control and prevent
access thereto by all persons whose presence, in the judgment of Landlord, shall
be prejudicial to the safety, character, reputation and interests of the
Building, the Project and its tenants, provided that nothing herein contained
shall be construed to prevent such access to persons with whom any tenant
normally deals in the ordinary course of such tenant's business unless such
persons are engaged in illegal activities. No tenant, and no employees or
invitees of any tenant, shall go upon the roof of any Building, except as
authorized by Landlord. No tenant, and no employees or invitees of any tenant
shall move any common area furniture without Landlord's consent.

2.No sign, placard, banner, picture, name, advertisement
or notice, visible from the exterior of the Premises or the Building or the
common areas of the Building shall be inscribed, painted, affixed, installed or
otherwise displayed by Tenant either on its Premises or any part of the Building
or Project without the prior written consent of Landlord in Landlord's sole and
absolute discretion. Landlord shall have the right to remove any such sign,
placard, banner, picture, name, advertisement, or notice without notice to and
at the expense of Tenant, which were installed or displayed in violation of this
rule. If Landlord shall have given such consent to Tenant at any time, whether
before or after the execution of Tenant's Lease, such consent shall in no way
operate as a waiver or release of any of the provisions hereof or of the Lease,
and shall be deemed to relate only to the particular sign, placard, banner,
picture, name, advertisement or notice so consented to by Landlord and shall not
be construed as dispensing with the necessity of obtaining the specific Written
consent of Landlord with respect to any other such sign, placard, banner,
picture, name, advertisement or notice. All approved signs or lettering on doors
and walls shall be printed, painted, affixed or inscribed at the expense of
Tenant by a person or vendor approved by Landlord and shall be removed by Tenant
at the time of vacancy at Tenant's expense.

3.The directory of the Project will be provided
exclusively for the display of the name and location of tenants only.

4.No curtains, draperies, blinds, shutters, shades,
screens or other coverings, awnings, hangings or decorations shall be attached
to, hung or placed in, or used in connection with, any window or door on the
Premises without the prior written consent of Landlord. In any event with the
prior written consent of Landlord, all such items shall be installed inboard of
Landlord's standard window covering and shall in no way be visible from the
exterior of the Building. All electrical ceiling fixtures hung in offices or
spaces along the perimeter of the Building must be fluorescent or of a quality,
type, design, and bulb color approved by Landlord. No articles shall be placed
or kept on the window sills so as to be visible from the exterior of the
Building. No articles shall be placed against glass partitions or doors which
Landlord considers unsightly from outside Tenant's Premises.

5.Landlord reserves the right to exclude from the
Building and the Project, between the hours of 6 p.m. and 8 a.m. and at all
hours on Saturdays, Sundays and legal holidays, all persons who are not tenants
or their accompanied guests in the Building. Each tenant shall be responsible
for all persons for whom it allows to enter the Building or the Project and
shall be liable to Landlord for all acts of such persons. Landlord and its
agents shall not be liable for damages for any error concerning the admission
to, or exclusion from, the Building or the Project of any person. During the
continuance of any invasion, mob, riot, public excitement or other circumstance
rendering such action advisable in Landlord's opinion, Landlord reserves the
right (but shall not be obligated) to prevent access to the Building and the
Project during the continuance of that event by any means it considers
appropriate for the safety of tenants and protection of the Building, property
in the Building and the Project.

6.All cleaning and janitorial services for the Building
and the Premises shall be provided exclusively through Landlord. Except with the
written consent of Landlord, no person or persons other than those approved by
Landlord shall be permitted to enter the Building for the purpose of cleaning
the same. Tenant shall not cause any unnecessary labor by reason of Tenant's
carelessness or indifference in the preservation of good order and cleanliness
of its Premises. Landlord shall in no way be responsible to Tenant for any loss
of property on the Premises, however occurring, or for any damage done to
Tenant's property by the janitor or any other employee or any other person.

7.Tenant shall see that all doors of its Premises are
closed and securely locked and must observe strict care and caution that all
water faucets or water apparatus, coffee pots or other heat-generating devices
are entirely shut off before Tenant or its employees leave the Premises, and
that all utilities shall likewise be carefully shut off, so as to prevent waste
or damage. Tenant shall be responsible for any damage or injuries sustained by
other tenants or occupants of the Building or Project or by Landlord for
noncompliance with this rule. On multiple-tenancy floors, all tenants shall keep
the door or doors to the Building corridors closed at all times except for
ingress and egress.

8.Tenant shall not use any method of heating or air-
conditioning other than that supplied by Landlord. As more specifically provided
in Tenant's lease of the Premises, Tenant shall not waste electricity, water or
air-conditioning and agrees to cooperate fully with Landlord to assure the most
effective operation of the Building's heating and air-conditioning, and shall
refrain from attempting to adjust any controls other than room thermostats
installed for Tenant's use.

9.Landlord will furnish Tenant free of charge with two
keys to each door in the Premises. Landlord may make a reasonable charge for any
additional keys, and Tenant shall not make or have made additional keys. Tenant
shall not alter any lock or access device or install a new or additional lock or
access device or bolt on any door of its Premises, without the prior written
consent of Landlord. If Landlord shall give its consent, Tenant shall in each
case furnish Landlord with a key for any such lock. Tenant, upon the termination
of its tenancy, shall deliver to Landlord the keys for all doors which have been
furnished to Tenant, and in the event of loss of any keys so furnished, shall
pay Landlord therefor.

10.The restrooms, toilets, urinals, wash bowls and other
apparatus shall not be used for any purpose other than that for which they were
constructed and no foreign substance of any kind whatsoever shall be thrown into
them. The expense of any breakage, stoppage, or damage resulting from violation
of this rule shall be borne by the tenant who, or whose employees or invitees,
shall have caused the breakage, stoppage, or damage.

11.Except as expressly permitted by the Lease, Tenant
shall not use or keep in or on the Premises, the Building or the Project any
kerosene, gasoline, or inflammable or combustible fluid or material.

12.Tenant shall not use, keep or permit to be used or
kept in its Premises any foul or noxious gas or substance. Tenant shall not
allow the Premises to be occupied or used in a manner offensive or objectionable
to Landlord or other occupants of the Building by reason of noise, odors and/or
vibrations or interfere in any way with other tenants or those having business
therein, nor shall any animals or birds be brought or kept in or about the
Premises, the Building, or the Project.

13.No cooking shall be done or permitted by any tenant on
the Premises, except that use by the tenant of Underwriters' Laboratory (UL)
approved equipment, refrigerators and microwave ovens may be used in the
Premises for the preparation of coffee, tea, hot chocolate and similar
beverages, storing and heating food for tenants and their employees shall be
permitted. All uses must be in accordance with all applicable federal, state and
city laws, codes, ordinances, rules and regulations and the Lease.

14.Except with the prior written consent of Landlord,
Tenant shall not sell, or permit the sale, at retail, of newspapers, magazines,
periodicals, theater tickets or any other goods or merchandise in or on the
Premises, nor shall Tenant carry on, or permit or allow any employee or other
person to carry on, the business of stenography, typewriting or any similar
business in or from the Premises for the service or accommodation of occupants
of any other portion of the Building, nor shall the Premises be used for the
storage of merchandise or for manufacturing of any kind, or the business of a
public barber shop, beauty parlor, nor shall the Premises be used for any
illegal, improper, immoral or objectionable purpose, or any business or activity
other than that specifically provided for in such Tenant's Lease. Tenant shall
not accept hairstyling, barbering, shoeshine, nail, massage or similar services
in the Premises or common areas except as authorized by Landlord.

15.If Tenant requires telegraphic, telephonic,
telecommunications, data processing, burglar alarm or similar services, it shall
first obtain, and comply with, Landlord's instructions in their installation.
The cost of purchasing, installation and maintenance of such services shall be
borne solely by Tenant.

16.Landlord will direct electricians as to where and how
telephone, telegraph and electrical wires are to be introduced or installed. No
boring or cutting for wires will be allowed without the prior written consent of
Landlord. The location of burglar alarms, telephones, call boxes and other
office equipment affixed to the Premises shall be subject to the prior written
approval of Landlord.

17.Except as may be expressly permitted by the Lease,
Tenant shall not install any radio or television antenna, satellite dish,
loudspeaker or any other device on the exterior walls or the roof of the
Building, without Landlord's prior written consent, which may be granted or
withheld in Landlord's sole and absolute discretion. Tenant shall not interfere
with radio or television broadcasting or reception from or in the Building, the
Project or elsewhere.

18.Tenant shall not mark, or drive nails, screws or drill
into the partitions, woodwork or drywall or in any way deface the Premises or
any part thereof without Landlord's consent. Tenant may install nails and screws
in areas of the Premises that have been identified for those purposes to
Landlord by Tenant at the time those walls or partitions were installed in the
Premises. Tenant shall not lay linoleum, tile, carpet or any other floor
covering so that the same shall be affixed to the floor of its Premises in any
manner except as approved in writing by Landlord. The expense of repairing any
damage resulting from a violation of this rule or the removal of any floor
covering shall be borne by the tenant by whom, or by whose contractors,
employees or invitees, the damage shall have been caused.

19.Unless Tenant is the only tenant in the Building, no
furniture, freight, equipment, materials, supplies, packages, merchandise or
other property will be received in the Building or carried up or down the
elevators except between such hours and in such elevators as shall be designated
by Landlord. Tenant shall not place a load upon any floor of its Premises which
exceeds the load per square foot which such floor was designed to carry or which
is allowed by law. Landlord shall have the right to prescribe the weight, size
and position of all safes, furniture or other heavy equipment brought into the
Building. Safes or other heavy objects shall, if considered necessary by
Landlord, stand on wood strips of such thickness as determined by Landlord to be
necessary to properly distribute the weight thereof. Landlord will not be
responsible for loss of or damage to any such safe, equipment or property from
any cause, and all damage done to the Building by moving or maintaining any such
safe, equipment or other property shall be repaired at the expense of Tenant.
Business machines and mechanical equipment belonging to Tenant which cause noise
or vibration that may be transmitted to the structure of the Building or to any
space therein to such a degree as to be objectionable to Landlord or to any
tenants in the Building shall be placed and maintained by Tenant, at Tenant's
expense, on vibration eliminators or other devices sufficient to eliminate noise
or vibration. The persons employed to move such equipment in or out of the
Building must be acceptable to Landlord.

20.Intentionally omitted.

21.There shall not be used in any space, or in the public
areas of the Project either by Tenant or others, any hand trucks except those
equipped with rubber tires and side guards or such other material handling
equipment as Landlord may approve. Tenants using hand trucks shall he required
to use the freight elevator, or such elevator as Landlord shall designate. No
other vehicles of any kind shall be brought by Tenant into or kept in or about
its Premises.

22.Each tenant shall store all its trash and garbage
within the interior of the Premises. Tenant shall not place in the trash boxes
or receptacles any personal trash or any material that may not or cannot be
disposed of in the ordinary and customary manner of removing and disposing of
trash and garbage in the city, without violation of any law or ordinance
governing such disposal. All trash, garbage and refuse disposal shall be made
only through entry-ways and elevators provided for such purposes and at such
times as Landlord shall designate. If the Building has implemented a building-wide
recycling program for tenants, Tenant shall use good faith efforts to
participate in said program.

23.Canvassing, soliciting, distribution of handbills or
any other written material and peddling in the Building and the Project are
prohibited and each tenant shall cooperate to prevent the same. No tenant shall
make room-to-room solicitation of business from other tenants in the Building or
the Project, without the prior written consent of Landlord.

24.Landlord shall have the right, exercisable without
notice and without liability to any tenant, to change the name and address of
the Building and the Project, provided however, Landlord shall reimburse Tenant
for Tenant's reasonable out-of-pocket costs (e.g., replacement of current stock
of stationary and business cards) resulting from any change in the address of
the Building Unless such change was governmentally required.

25.Landlord reserves the right to exclude or expel from
the Project any person who, in Landlord's judgment, is under the influence of
alcohol or drugs or who commits any act in violation of any of these Rules and
Regulations.

26.Without the prior written consent of Landlord, Tenant
shall not use the name of the Building or the Project or any photograph or other
likeness of the Building or the Project in connection with, or in promoting or
advertising, Tenant's business except that Tenant may include the Building's or
Project's name in Tenant's address.

27. Tenant shall comply with all safety, fire protection
and evacuation procedures and regulations established by Landlord or any
governmental agency.

28.Tenant assumes any and all responsibility for
protecting its Premises from theft, robbery and pilferage, which includes
keeping doors locked and other means of entry to the Premises closed.

29.The requirements of Tenant will be attended to only
upon appropriate application at the office of tile Building by an authorized
individual. Employees of Landlord shall not perform any work or do anything
outside of their regular duties unless under special instructions from Landlord,
and no employees of Landlord will admit any person (tenant or otherwise) to any
office without specific instructions from Landlord.

30.Landlord reserves the right to designate the use of
the parking spaces on the Project. Tenant or Tenant's guests shall park between
designated parking lines only, and shall not occupy two parking spaces with one
car. Parking spaces shall be for passenger vehicles only; no boats, trucks,
trailers, recreational vehicles or other types of vehicles may be parked in the
parking areas (except that trucks may be loaded and unloaded in designated
loading areas). Vehicles in violation of the above shall be subject to tow-away,
at vehicle owner's expense. Vehicles parked on the Project overnight without
prior written consent of the Landlord shall be deemed abandoned and shall be
subject to tow-away at vehicle owner's expense. No tenant of the Building shall
park in visitor or reserved parking areas (other than areas reserved for
exclusive parking by such tenant). Any tenant found parking in such designated
visitor or reserved parking areas (other than areas reserved for exclusive
parking by such tenant) or unauthorized areas shall be subject to tow-away at
vehicle owner's expense. The parking areas shall not be used to provide car
wash, oil changes, detailing, automotive repair or other services unless
otherwise approved or furnished by Landlord. Tenant will from time to time, upon
the request of Landlord, supply Landlord with a list of license plate numbers of
vehicles owned or operated by its employees or agents.

31.No smoking of any kind shall be permitted anywhere
within the Building, including, without limitation, the Premises and those areas
immediately adjacent to the entrances and exits to the Building, or any other
area as Landlord elects. Smoking in the Project is only permitted in smoking
areas identified by Landlord, which may be relocated from time to time.

32.If the Building furnishes common area conferences
rooms for tenant usage, Landlord shall have the right to control each tenant's
usage of the conference rooms, including limiting tenant usage so that the rooms
are equally available to all tenants in the Building. Any common area amenities
or facilities shall he provided from time to time at Landlord's discretion.

33.Tenant shall not swap or exchange building keys or
cardkeys with other employees or tenants in the Building or the Project.

34.Tenant shall be responsible for the observance of all
of the foregoing Rules and Regulations by Tenant's employees, agents, clients,
customers, invitees and guests.

35.These Rules and Regulations are in addition to, and
shall not be construed to in any way modify, alter or amend, in whole or in
part, the terms, covenants, agreements and conditions of any lease of any
Premises in the Project.

36.Landlord may waive any one or more of these Rules and
Regulations for the benefit of any particular tenant or tenants, but no such
waiver by Landlord shall be construed as a waiver of such Rules and Regulations
in favor of any other tenant or tenants, nor prevent Landlord from thereafter
enforcing any such Rules and Regulations against any or all tenants of the
Building.

37.Landlord reserves the right to make such other and
reasonable rules and regulations as in its judgment may from time to time be
needed for safety and security, for care and cleanliness of the Building and the
Project and for the preservation of good order therein. Tenant agrees to abide
by all such Rules and Regulations herein stated and any additional rules and
regulations which are adopted.

EXHIBIT B

SITE PLAN

EXHIBIT B

[DIAGRAM OF BUILDING 2]

EXHIBIT B-1

[DIAGRAM OF PREMISES]

EXHIBIT B-2

[DIAGRAM OF "THE CENTER @ BAY MEADOWS"]

EXHIBIT C

LEASE IMPROVEMENT AGREEMENT

This Lease Improvement Agreement ("Improvement
Agreement") sets forth the terms and conditions relating to
construction of certain "Additional Tenant Work" (as defined
below) and [he initial tenant improvements in the Premises to be approved as
provided below (the "Tenant Improvements"). The Additional
Tenant Work and the Tenant Improvements are collectively referred to herein as
the "Tenant's Work". Initially capitalized terms used but not
otherwise defined herein shall have the meanings set forth in the Lease (the
"Lease") to which this Improvement Agreement is attached and
forms a part.

	Base Building Work. The
"Base Building Work" described on Schedule 1 attached to
this Exhibit C and incorporated herein by this reference will be
performed by Landlord at Landlord's sole cost and expense. The parties hereby
approve the proposed locations of certain elements of Tenant's Work affecting
the Base Building Work as set forth in those certain "50% Complete"
set of construction drawings for Tenant's Work prepared by Gensler dated
November 29, 2000.

	Additional Tenant
Work.

	The "Additional Tenant Work" (as
hereinafter defined) will be performed by Tenant, at Tenant's sole cost and
expense, concurrently with the construction of the Tenant Improvements. As used
herein, the "Additional Tenant Work" shall mean such base, core
and shell work as is customarily included within a first-class general office
building on an unoccupied basis exclusive of construction of tenant improvements
(other than items included within the Base Building Work pursuant hereto), as
reasonably determined by Landlord. The Additional Tenant Work shall include,
without limitation, the items described on Schedule 2 attached to this
Exhibit C and incorporated herein by this reference.

	Plans and
Specifications.

	Tenant shall retain the services of an architect or space
planner reasonably approved in advance by Landlord (the "Space
Planner") to prepare a detailed space plan (the "Space
Plan") mutually satisfactory to Landlord and Tenant for the
construction of the Tenant's Work. No later than forty-five (45) days following
Landlord's delivery to Tenant of a final set of plans sufficient for issuance of
a building permit for the Base Building Work, Tenant shall submit the Space Plan
to Landlord for Landlord's approval. All necessary revisions to the Space Plan
shall be made within twenty (20) days after Landlord's response thereto. This
procedure shall be repeated until Landlord ultimately approves the Space
Plan.

	Based on the approved Space Plan, Tenant shall cause the
Space Planner to prepare plans, specifications and working drawings in
sufficient detail to allow for application for building permits for the Tenant's
Work, which shall be mutually satisfactory to Landlord and Tenant (collectively,
the "Permit Plans"). Tenant shall diligently pursue the
preparation of the Permit Plans. Tenant shall submit the Permit Plans to
Landlord for Landlord's approval no later than six (6) months prior to the date
Landlord estimates it will have substantially completed the Base Building Work.
All necessary revisions to the Permit Plans shall be made within twenty (20)
days after Landlord's response thereto. This procedure shall be repeated until
Landlord ultimately approves the Permit Plans. Tenant shall he responsible for
obtaining all governmental approvals to the full extent necessary for the
construction and installation of the Tenant's Work and for Tenant's occupancy of
the Premises, in compliance with all applicable Regulations. Within a reasonable
period of time after Tenant's and Landlord's approval of the Permit Plans,
Tenant shall cause the Contractor to proceed to secure a building permit.
Promptly following Tenant's receipt of such building permit for Tenant's Work,
approval of the Construction Documents by Landlord and Tenant (as hereinafter
provided) and the Substantial Completion of the Base Building Work, Tenant shall
cause the Contractor to commence construction of the Tenant's Work.

	Within a reasonable period of time following Landlord's
approval of the Permit Plans, Tenant shall cause the Space Planner to prepare
and submit to Landlord for its review and approval detailed plans,
specifications and working drawings for the construction of the Tenant's Work,
which shall include the estimated cost of the Tenant's Work and be in sufficient
detail to allow bidding and construction of the Tenant's Work (collectively, the
"Construction Documents"). Tenant shall diligently pursue the
preparation of the Construction Documents. All necessary revisions to the
Construction Documents shall be made within twenty (20) days after Landlord's
response thereto. This procedure shall be repeated until Landlord ultimately
approves the Construction Documents. As used in the Lease of which this Exhibit
is a part, the "Plans" shall mean, collectively, the approved
Permit Plans and the approved Construction Documents.

	Tenant shall be responsible for ensuring that the Plans
are compatible with the design, construction and equipment of the Building,
comply with applicable Regulations and the Standards (defined below), and
contain ail such information as may be required to show locations, types and
requirements for all heat loads, people loads, floor loads, power and plumbing,
regular and special HVAC needs, telephone communications, telephone and
electrical outlets, lighting, light fixtures and related power, and electrical
and telephone switches, B.T.U. calculations, electrical requirements and special
receptacle requirements. The Plans shall also include mechanical, electrical,
plumbing, structural and engineering drawings mutually satisfactory to Landlord
and Tenant which shall be prepared for Tenant by (a) as to structural
engineering work, Landlord's Base Building Work structural engineers (provided
that the rates charges for such services shall be commercially reasonable for
the work performed and if such rates are not commercially reasonable, then the
engineers preparing such drawings shall be licensed engineers reasonably
experienced in comparable projects, as designated by Tenant subject to
Landlord's prior written approval, which approval shall not be unreasonably
withheld), (b) as to the fire protection and plumbing engineering work,
Southland, (c) as to electrical engineering work, Schwartz and Lindheim, and (d)
as to HVAC engineering work, CMI (provided, however, that to the extent Tenant
desires to obtain engineering services for fire protection, plumbing, electrical
and/or HVAC work other than from the service providers specified above, then the
engineers preparing such drawings shall be licensed engineers reasonably
experienced in comparable projects, as designated by Tenant subject to
Landlord's prior written approval, which approval shall not be unreasonably
withheld). Notwithstanding Landlord's review and approval of the Space Plan and
the Plans and any revisions thereto, Landlord shall have no responsibility or
liability whatsoever for any errors or omissions contained in the Space Plan or
Plans or any revisions thereto, or to verify dimensions or conditions, or for
the quality, design or compliance with applicable Regulations of any
improvements described therein or constructed in accordance therewith. Tenant
hereby waives all claims against Landlord relating to, or arising out of the
design or construction of, the Tenant's Work.

	Landlord's criteria for approvals shall be based on
reasonable criteria established from time to time by Landlord, but, without
limiting the generality of the foregoing and by way of example only, Landlord
will be deemed to have acted reasonably if Landlord's disapproval is predicated
upon (i) effect on the structural integrity of the Building, (ii) non-compliance
with applicable laws, codes and regulations, (iii) incompatibility with the Base
Building Work plans, (iv) failure to use materials required by or otherwise
comply with Schedule 2 pertaining to the Additional Tenant Work and/or
Schedule 3 pertaining to Standards, or (vi) effect on the exterior of the
Building or any of the Building's common areas. Landlord shall not be deemed to
have approved the Space Plan, the Plans, or any proposed revisions thereto,
unless approved by Landlord in writing. Landlord shall approve or disapprove any
Space Plan, Plans or proposed revisions thereto submitted to Landlord for
Landlord's approval within twenty (20) calendar days after Landlord's receipt
thereof. If Landlord has not approved in writing any Space Plan, Plans, or
proposed revisions thereto submitted to Landlord within twenty (20) calendar
days after Landlord's receipt thereof, Landlord shall be deemed to have
disapproved the same.

	Specifications for Standard
Tenant's Work.

	Specifications and quantities of standard building
components which will comprise and be used in the construction of the Tenant
Work ("Standards") are set forth in Schedule 2 and
Schedule 3 to this Exhibit C. As used herein,
"Standards" or "Building Standards" shall mean
the standards for a particular item selected from time to time by Landlord for
the Building, including those set forth on Schedule 2 and Schedule
3 of this Exhibit C, or such other standards of equal or better
quality as may be mutually agreed between Landlord and Tenant in Writing. No
deviations from the Standards are permitted without the prior approval of
Landlord.

	The Tenant Improvements to be performed at Tenant's sole
cost pursuant hereto shall include all improvements required for Tenant's
occupancy of the Premises not included within the Base Building Work and the
Additional Tenant Work.

	The Additional Tenant Work shall be deemed to be the
property of Landlord upon the completion thereof. All Tenant Improvements shall
be deemed to be the property of Tenant until the expiration of the initial
twelve (12) year Term or earlier termination of the Lease, at which time such
Tenant Improvements (other than Tenant's trade fixtures, furniture and
equipment) shall be and become the property of Landlord; provided however,
Tenant shall not have the right to remove, demolish or alter any such Tenant
Improvements other than in strict accordance with Paragraph 12 of the Lease of
which this Exhibit is a part.

	Tenant's Work
Costs.

	The cost of the Tenant's Work (collectively, the
"Tenant's Work Costs") shall be paid for by Tenant, which
Tenant's Work Costs shall include, without limitation, the cost of: Standards;
space plans and studies; architectural and engineering fees; permits, approvals
and other governmental fees; labor, material, equipment and supplies;
construction fees and other amounts payable to contractors or subcontractors;
taxes; off-site improvements (if any are required in connection with the
Tenant's Work); preparation of the Premises for construction of the Tenant's
Work; taxes; filing and recording fees; premiums for insurance and bonds;
attorneys' fees; financing costs; and all other costs expended or to be expended
in the construction of the Tenant's Work; and an administration fee (the
"Administration Fee") payable to Landlord in an amount equal to
three and one-half percent (3.5%) of the total of the Tenant's Work Costs other
than such Administration Fee and soft costs such as design, architectural and
engineering fees. The Administration Fee shall be payable by Tenant to Landlord
on a monthly basis during the course of performance of the Tenant's
Work.

	Prior to Tenant's execution of the construction contract
and general conditions (the "Contract") with the Contractor (as
hereinafter defined) for performance of the Tenant's Work, Tenant shall submit
the Contract and the names of the subcontractors for major trades and major
materials suppliers for construction of the Tenant's Work, to Landlord for
informational purposes. Prior to the commencement of the construction of the
Tenant's Work, and after Tenant has accepted all bids for the Tenant's Work,
Tenant shall provide Landlord with a detailed breakdown, by trade, of the
estimated Tenant's Work Costs (collectively, the "Estimated Tenant's
Work Costs") and a construction budget based upon such Estimated
Tenant's Work Costs (collectively, the "Tenant's Work Budget").
Tenant shall be solely responsible for payment of all Tenant's Work Costs. If
Tenant requests any change(s) in the Plans after approval of the Estimated
Tenant's Work Costs and any such requested changes are approved by Landlord,
Tenant shall be responsible for any increased Tenant's Work Costs resulting
therefrom.

	Within thirty (30) days following the completion of the
Tenant's Work, Tenant shall deliver to Landlord (a) copies of signed-off permits
and stamped set of Plans evidencing governmental approval of the completion of
the Tenant's Work, (b) properly executed unconditional final mechanics lien
releases in compliance with both California Civil Code Section 3262(d)(4) from
all of Tenant's Agents for labor rendered and materials delivered to the
Premises in connection with the Tenant's Work, (c) a reasonably detailed
breakdown of the actual final Tenant's Work Costs (which shall include a
separate breakdown for the components thereof relating to the Additional Tenant
Work), and (d) a certificate of completion of Tenant's Work, in form reasonably
acceptable to Landlord. The items referenced in the foregoing clauses (a), (b),
(c) and (d) are collectively referred to in the Lease of which this Exhibit is a
part as the "Evidence of Lien-Free Completion of Tenant's
Work".

	Construction of Tenant's
Work.

	Tenant shall retain as the general contractor for
performance of the Tenant's Work (such general contractor is referred to in this
Exhibit as the "Contractor") a licensed general contractor,
reasonably experienced in the performance of comparable work on comparable
buildings in the San Mateo area, who shall be subject to Landlord's prior
written approval (which approval shall not be unreasonably withheld). The
Contractor shall construct the Tenant's Work in conformance with the approved
Plans.

	The subcontractors performing the Tenant's Work shall be
reasonably qualified and experienced subcontractors. Landlord hereby requires
the use of Landlord's specified subcontractor for any roofing subtrade work. In
addition, the parties hereby pre-approve the following subcontractors: (a)
Southland for fire protection and plumbing subtrade work, (b) Schwartz and
Lindheirn for electrical subtrade work, and (c) CMI for HVAC subtrade work. As
used in this Exhibit, the term "Tenant's Agents" shall mean the
Contractor and all subcontractors, laborers, materialmen, and suppliers used in
the construction of the Tenant's Work, and the term "Major
Agents" shall mean only the Contractor and any subcontractor or
supplier with a contract price in excess of $30,000.00.

	Without limiting the provisions of Paragraph 35 of the
Lease (but subject to the provisions of Paragraph 2 of the Lease), Landlord
shall not be liable for any direct or indirect damages suffered by Tenant as a
result of delays in construction beyond Landlord's reasonable control,
including, but not limited to, delays due to strikes or unavailability of
materials or labor, or delays caused by Tenant (including delays by the Space
Planner, the contractor or anyone else performing services on behalf of Landlord
or Tenant).

	All work to be performed on the Premises by Tenant or
Tenant's Agents shall be subject to the following conditions:

	Such work shall proceed upon Landlord's written approval
of public liability and property damage insurance carried by Tenant's
Contractor, and shall further be subject to the provisions of Paragraph 27 of
the Lease.

	All work shall be done in conformity with a valid
building permit when required, a copy of which shall be furnished to Landlord
before such work is commenced, and in any case, all such work shall be performed
in a good and workmanlike and first-class manner, and in accordance with all
applicable Regulations and the requirements and standards of any insurance
underwriting board, inspection bureau or insurance carrier insuring the Premises
pursuant to the Lease. Notwithstanding any failure by Landlord to object to any
such work, Landlord shall have no responsibility for Tenant's failure to comply
with all applicable Regulations. Tenant shall be responsible for ensuring that
construction and installation of the Tenant's Work will not affect the
structural integrity or waterproofing integrity of the Building.

	If required by Landlord or any lender of Landlord, by
notice delivered to Tenant prior to Landlord's approval of the Permit Plans, all
work by the Contractor and its Major Agents shall be done with union labor in
accordance with all union labor agreements applicable to the trades being
employed. The foregoing shall not apply to vendors or suppliers engaged directly
by Tenant, such as cabling contractors and furniture installers.

	Landlord or Landlord's agents shall have the right to
inspect the construction of tile Tenant's Work by Tenant during the progress
thereof. If Landlord shall give notice of faulty construction or any other
deviation from the approved Space Plan or Plans, Tenant shall cause Contractor
to make corrections promptly. However, neither the privilege herein granted to
Landlord to make such inspections, nor the making of such inspections by
Landlord, shall operate as a waiver of any right of Landlord to require good and
workmanlike construction and improvements erected in accordance with the
approved Space Plan or Plans.

	Tenant shall cause Tenant's Agents to complete the
Tenant's Work as soon as commercially reasonable following Landlord's delivery
of possession of the Premises to Tenant, provided the foregoing shall not impose
any duty on Tenant to incur overtime charges.

	Tenant's construction of the Tenant's Work shall comply
with the following: (i) the Tenant's Work shall be constructed in strict
accordance with the approved Space Plan or Plans; (ii) Tenant shall cause the
Contractor to submit schedules of all work relating to the Tenant's Work to
Landlord for informational purposes promptly following the approval of the
Plans; and (iii) Tenant shall abide by all reasonable and non-discriminatorily
enforced rules made by Landlord with respect to the use of freight, loading
dock, and service elevators, storage of materials and/or coordination of work
with other work then being performed at the Project.

	Without limiting Landlord's obligation upon the
Substantial Completion of the Base Building Work to provide an operational
manlift at the Premises or to cause one of the Building elevators to be
operational, Tenant or Tenant's Agents shall arrange for necessary utility,
hoisting and elevator service with Landlord's contractor and shall pay such
reasonable charges for such services as may be charged by Tenant's or Landlord's
contractor.

	Tenant's entry to the Premises for any purpose,
including, without limitation, inspection or performance of Tenant construction
by Tenant's Agents, prior to the date Tenant's obligation to pay rent commences
shall be subject to all the terms and conditions of the Lease except the payment
of Rent. Tenant's entry shall mean entry by Tenant, its officers, contractors,
licensees, agents, servants, employees, guests, invitees, or visitors.

	Tenant shall promptly reimburse Landlord upon demand for
any reasonable expense actually incurred by the Landlord by reason of faulty
work done by Tenant or Tenant's Agents.

	Tenant hereby agrees to indemnify, defend and hold
Landlord, its directors, officers, members, employees and agents harmless with
respect to any and all costs, losses, damages, injuries and liabilities
(including reasonable attorneys' fees) relating in any way to any act or
omission of Tenant or Tenant's Agents, or anyone directly or indirectly employed
by any of them, in connection with the Tenant's Work and/or any breach of
Tenant's obligations under this Exhibit, or in connection with Tenant's non-
payment of any amount arising out of tile Tenant's Work. Such indemnity by
Tenant, as set forth above, shall also apply with respect to any and all costs,
losses, damages, injuries, and liabilities related in any way to Landlord's
performance or any ministerial acts reasonably necessary (i) to permit Tenant to
complete the Tenant's Work, and (ii) to enable Tenant to obtain any building
permit or certificate of occupancy for the Premises.

	Each of Tenant's Major Agents shall guarantee, in
accordance with customary construction guarantees and limitations, to Tenant and
for the benefit of Landlord that the portion of the Tenant's Work for which it
is responsible shall be free from any defects in workmanship and materials for a
period of not less than one (1) year from the date of completion thereof, and
each of Tenant's Major Agents shall be responsible for the replacement or
repair, without additional charge, of all work done or furnished in accordance
with its contract that shall become defective within one (1) year after the
completion of the work performed by such Major Agent. All such warranties or
guarantees as to materials or workmanship of or with respect to the Additional
Tenant Work shall be contained in the construction contract or subcontract and
shall be written such that such guarantees or warranties shall more to the
benefit of both Landlord and Tenant, as their respective interests may appear,
and can be directly enforced by either. Tenant covenants to give to Landlord any
assignment or other assurances which may be necessary to effect such rights of
direct enforcement.

	Tenant shall provide Landlord with at least ten (10) days
prior written notice of any construction of the Tenant's Work to allow Landlord
to post notices of non-responsibility.

	Commencing upon the execution of the Lease, Tenant shall
hold regular meetings at a reasonable time with the Space Planner and the
Contractor (or, until the Contractor is retained, Tenant's construction manager)
regarding the progress of the preparation of the Plans and the construction of
the Tenant's Work, which meetings shall be held at a location designated by
Tenant, and Landlord and/or its agents shall receive prior notice of, and shall
have the right to attend, all such meetings, and upon Landlord's request,
certain of Tenant's Agents shall attend such meetings. During such meetings,
Tenant and its Space Planner shall also provide any comments which they may have
to the drawings for the Base Building Work so as to allow the parties to
endeavor to cooperate in good faith on coordination between the Base Building
Work and Tenant's Work 

	Insurance
Requirements.

	All of Tenant's Major Agents shall carry worker's
compensation insurance covering all of their respective employees, and shall
also carry public liability insurance, including property damage, in form and
with companies as are required to be carried by Tenant as set forth in Paragraph
8B(6) of the Lease and with limits in the amount required under Paragraph 8B(2)
of the Lease.

	Tenant shall carry "Builder's All Risk"
insurance in an amount approved by Landlord covering the construction of the
Tenant's Work, and such other insurance as Landlord may require. Such insurance
shall be in amounts and shall include such extended coverage endorsements as may
be reasonably required by Landlord including, but not limited to, the
requirement that all of Tenant's Agents shall carry excess liability and
Products and Completed Operation coverage insurance, each in amounts not less
than $500,000 per incident, $1,000,000 in aggregate, and in form and with
companies as are required to be carried by Tenant as set forth in Paragraph 8 of
the Lease.

	Certificates for all insurance carried pursuant to this
Exhibit must comply with the requirements of Paragraph 8 of the Lease and shall
be delivered to Landlord before the commencement of construction of the Tenant's
Work and before the Contractor's equipment is moved onto the site. In the event
the Tenant's Work is damaged by any cause during the course of the construction
thereof, Tenant shall immediately repair the same at Tenant's sole cost and
expense. Tenant's Agents shall maintain all of the foregoing insurance coverage
in force until the Tenant's Work is fully completed and accepted by Landlord,
except for any Product and Completed Operation Coverage insurance required by
Landlord, which is to be maintained for ten (10) years following completion of
the work and acceptance by Landlord and Tenant. All policies carried under this
Paragraph 7 shall insure Landlord and Tenant, as their interests may appear, as
well as Tenant's Agents. All insurance maintained by Tenant's Agents shall
preclude subrogation claims by the insurer against anyone insured thereunder.
Such insurance shall provide that it is primary insurance as respects the owner
and that any other insurance maintained by owner is excess and noncontributing
with the insurance required hereunder.

	Completion
Date.

	The term "Landlord Delays," as such term
may be used in this Exhibit, shall mean any delays in the completion of the
Tenant's Work which are due to any act or omission of Landlord, its agents or
contractors. Landlord Delays shall include, but shall not be limited to: (i)
delays in the giving of authorizations or approvals by Landlord when required of
Landlord hereunder beyond the period provided for herein for Landlord's response
to such requests for authorizations or approvals (or, if no time period is
expressly so provided for herein, then beyond a reasonable period of time for
Landlord to consider and respond to the applicable request for authorization or
approval), (ii) delays due to the acts or failures to act, of Landlord, its
agents or contractors, where such acts or failures to act delay the completion
of the Tenant's Work, (iii) delays due to the interference of Landlord, its
agents or contractors with the completion of the Tenant Work or the failure or
refusal of any party to permit Tenant, its agents and contractors, access to and
use of the Building or any Building facilities or services, including elevators
and loading docks, which access and use are necessary to complete the Tenant's
Work, and (iv) delays due to Landlord's failure to allow Tenant sufficient
access to tile Building and/or the Premises during Tenant's move into the
Premises. The parties hereby agree that Landlord Delays shall not include delays
in Landlord's delivery of possession of the Premises to Tenant and/or the
Substantial Completion of the Base Building Work (since such delays in delivery
of possession shall, by definition, delay the commencement of Tenant's 120-day
build-out period). No Landlord Delays shall be deemed to have occurred unless
Tenant has provided notice, in compliance with the Lease, to Landlord specifying
that a delay shall be deemed to have occurred because of actions, inactions or
circumstances specified in the notice in reasonable detail. If such actions,
inactions or circumstances are not cured by Landlord within one (1) business day
after receipt of such notice ("Count Date"), and if such actions,
inaction or circumstances otherwise qualify as a Landlord Delay, then a Landlord
Delay shall be deemed to have occurred commencing as of the Count Date.

	Within ten (10) days after completion of construction of
the Tenant's Work, Tenant shall cause a Notice of Completion to be recorded in
the office of the Recorder of the county in which the Building is located in
accordance with Section 3093 of the Civil Code of the State of California or any
successor statute, and shall furnish a copy thereof to Landlord upon such
recordation. If Tenant fails to do so, Landlord may execute and file the same on
behalf of Tenant as Tenant's agent for such purpose, at Tenant's sole cost and
expense. At the conclusion of construction, (i) Tenant shall cause the Space
Planner and the Contractor (i) to update the approved working drawings as
necessary to reflect all changes made to the approved working drawings during
the course of construction, (ii) to certify to the best of their knowledge that
the "record-set" of as-built drawings are true and correct, which
certification shall survive the expiration or termination of the Lease, and (c)
to deliver to Landlord two (2) sets of copies of such record set of drawings
within ninety (90) days following issuance of a certificate of occupancy for the
Premises, and (iii) Tenant shall deliver to Landlord a copy of all warranties,
guarantees, and operating manuals and information relating to the improvements,
equipment, and systems in the Premises.

	A default under this Exhibit shall constitute a default
under the Lease, and the parties shall be entitled to all rights and remedies
under the Lease in the event of a default hereunder by the other party
(notwithstanding that the Term thereof has not commenced).

	Except for the Base Building Work to be constructed by
Landlord pursuant to this Exhibit, Tenant shall accept the Premises upon
delivery of possession by Landlord in its then existing "as-is"
condition.

SCHEDULE 1

TO EXHIBIT C

BASE BUILDING WORK

Base Building Work shall include the following:

A.Four (4) story, steel frame shell of approximately
140,450 rentable square feet in Building 2. Frame will be fireproofed and
include perimeter skin and roof in place with all plans subject to final
approval by the City of San Mateo.

B.Floor Levels 1-4 shall be hard trowel, smooth concrete
level (not to exceed 1/4" per 10") ready for installation of floor
covering excluding standard floor preparation and waterproofing.

C.Floor loading: live load: slab and upper floors shall
be designed to support a live load of eighty (80) pounds per gross square foot
and a partition load of twenty (20) pounds per square foot for a total of one
hundred (100) pounds per gross square foot.

D. Unfinished base building exit stairs in compliance
with the Americans with Disabilities Act of 1990 (the "ADA").

E.Roof. Built up roof system and roof drainage
system.

F. Exterior Walls: Exposed metal studs without insulation
or drywall including completed window assembly with painted metal window frames.
All exterior doors will be fitted with code compliant exit hardware with
electric locks (not electric strikes or magnetic locks) as required to
accommodate the Tenant's card reader security system

G.Electrical/Utilities: All utilities (including
telecommunications, electrical, water, sanitary sewer) shall be stubbed to
Building exterior. Service will be provided to the building main electrical room
located in the garage, under Building 2. Service will originate at underground
PG&E transformer vault located on Park Place. Conduits from vault to
electrical room will be sized to accommodate a 3000A service. Landlord will
provide a meter center service to the first floor retail spaces and garage
loads. It is the responsibility of the Tenant to provide its own temporary
power. Landlord shall provide separate gas metering for the Building and the
Premises.

H. Three (3) base building 3,500 lb. elevators without
cab finishes. Landlord shall make one of three elevators available for Tenant's
temporary use for use for construction traffic and material handling. At the
time Landlord makes available to Tenant the temporary use of the elevator,
Landlord shall remove the manlift(s) at exterior of building. Landlord shall
obtain State and other required certifications of the elevators within 120 days
of substantially completing the Base Building Work - provided Tenant completes
all cab work and other work in a timely fashion so as not to hold up the
certification process. Notwithstanding any other provisions set forth in this
Lease, the Term Commencement Date shall not be deemed to have occurred until
Landlord has obtained such elevator certifications from applicable governmental
authorities (except to the extent that the failure to obtain such certifications
is the result of any failure by Tenant to complete Tenant's Work).

I.Base building fire sprinklers (right hazard
distribution), main floor shut off valves and primary loop at each floor.

J.Parking: Non-exclusive parking located under
"Building 1", "Building 2" and "Building 3" as
designated by Landlord and adjacent surface parking.

K.Site landscaping, hardscape, storm and area drainage
systems and exterior lighting.

By way of example only and without limitation, the Base
Building Work shall not include (i) sprinklers beyond those required for Base
Building Work permit, (ii) window coverings, (iii) fire alarms or security
systems, (iv) interior walls including all lobbies and restrooms, (v) HVAC
systems, (vi) plumbing systems, (vii) electrical, telephone, telecommunications
or janitorial closets, (viii) building cabling, or (ix) roof screens.

SCHEDULE 2

TO EXHIBIT C

ADDITIONAL TENANT WORK

The Additional Tenant Work shall include, without
limitation, the following:

1.0INTERIOR MATERIALS AND FINISHES

1.1Partitions

a.Ground Floor and Typical Floors: Provide sheetrock
walls (rating as req'd. by code) at all electrical, telecom, toilet rooms, riser
shafts. and furring to conceal structural elements.

b.Ground Floor Lobby: Provide one hour rated sheetrock
walls. Glass partitions at ground floor lobby allowed, but must meet 1 hr. fire
rating requirement. Wired glass not acceptable.

c.Basement Garage: CMU at basement utility rooms to be
provided as a part of Base Building Work by Landlord. Finish @ Utility Rms in
basement by Tenant.

d.Basement Elevator Lobby: CMU @ basement elevator lobby
by Landlord as a part of the Base Building Work. Finish to be provided by
Tenant.

e.Stairwell Enclosures: Landlord to provide stud framing
and the inside layers of sheetrock as a part of the Base Building Work. Tenant
to provide outside layers of sheetrock. Stairwell paint finish by
Tenant.

Note: Elevator shaft walls by Landlord as a part of the Base
Building Work. Additional layers of sheetrock, or other finish treatment by
Tenant.

1.2 Doors and Frames

a.Doors and frames for typical office floor core areas,
exit stairs, toilet rooms, mechanical and electrical rooms shall be full height
x 1 3/4 inch thick solid core doors with hardwood veneer. Frames will be full
height factory finish RACCO or equal.

b.Lower level service areas and areas concealed from
public view will have painted hollow doors and frames.

c.Lobby level doors and frames in the curtain wall system
shall be .,,]ass or metal to match adjacent base building doors.

d.Doors will be fire rated to meet code
requirements.

1.3 Hardware

a.All hardware to be satin stainless finish.

b.Surface mounted closers will be used only for doors in
service areas.

c.Pivot hinges will be used for doors in lobbies; all
other doors will have butt hinges.

d.Overhead hold opens, double door closing co-ordinators,
buffers, stops, kick-plates and armour-plates will be used as
necessary.

1.4 Painting

a.In areas required to be painted, walls and ceilings
will be finished with 2 eggshell finish coats on 1 undercoat.

2.0INTERIOR FINISHES IN PUBLIC SPACES

General Note: The ground floor lobby configuration is as
shown on the attached plan.

2.1Ground Floor Lobby

a.Floor Finish: Stone (min. 2 cm thickness.)

b.Wall Finish: Wood (see section 06400), 50% minimum
coverage.

c.Ceilings: Sheetrock. Vary ceiling heights along length
and across width of public lobby to support design concept. Subject to Landlord
approval.

d.Lighting: The lobby shall be illuminated by decorative
lighting fixtures, and/or recessed down lights and concealed indirect sources,
as typically found in Class A office buildings, subject to Landlord
approval.

e.Tenant Doors and Frames: See 1.2.c above.

f.Guard Desk: To be clad in wood or stone, consistent
with lobby design. Equipment to be concealed. Subject to Landlord
approval.

2.2 Typical Floor Elevator Lobby

a.Floor Finish: Carpet

b.Wall Finish: Paint

c.Ceilings: Sheetrock or Plaster. Vary ceiling heights
along length and across width of public lobby to support design concept. Subject
to Landlord approval.

d.Lighting: The typical floor elevator lobbies shall be
illuminated by decorative lighting fixtures, and/or recessed down lights and
concealed indirect sources, as typically found in Class A office buildings,
subject to Landlord approval.

e.Elevator Lobby Doors and Frames: Match Tenant
Improvements.

3.0TOILETS

3.1Handicapped provisions shall comply with the
ADA.

3.2Walls shall be finished with 2"x2" matt
finished ceramic tile. Floors to 4"x4" satin glazed tile at wet walls
with vinyl wall covering at remaining walls.

3.3Ceilings shall be painted sheetrock with recessed
lighting.

3.4Floor mounted, painted steel toilet partitions and
doors shall be provided, SanyMetal or equal.

3.5Accessories shall be by Bobrick, Contura series or
approved equal:

a.continuous mirror above vanity with concealed securing
or stainless steel continuous moulding

b.soap dispenser

c. combination paper towel dispensers and large capacity
waste bins 

d.double toilet roll holders

e. coat hooks

f.recessed tampon/sanitary towel dispensers in area
outside enclosed toilet (women's toilet)

3.6Lavatory Countertops: Granite with minimum 11/2"
front lip, 4" back splash/side splash

4.0FINISHES IN SERVICE AREAS

4.1Exit Enclosures

a.Stair flights and landing will be painted metal with
concrete treads.

b.Walls will be painted masonry or sheet rock.

c.Handrails and balustrades will be painted tubular steel
with welded joints ground smooth and installed to meet ADA requirements.

d.Lighting will be wall mounted fluorescent fixtures at
main and intermediate landings.

4.2 Electrical and Telephone Rooms
a.Floors will be sealed concrete.

b.Walls will be painted sheetrock.

4.3 Janitors' Closets

a.Provide a minimum of one at ground floor.

b.Additional to be provided at tenant's option.

c.Location as shown on plan.

5.0ELEVATOR CAB FINISHES

5.1Interior Ceiling Height: 10'-0"

5.2 Front Panel: Satin Finished Stainless Steel (Buttons
on both sides)

5.3Side and Rear Wall Panels: Cherry veneer or vinyl
wallcovering with stainless trim

5.4Ceiling: Satin Finished Stainless Steel

5.5Lighting: Recessed incandescent downlights, or
indirect cove light (subject to Landlord approval)

6.0FIRE SPRINKLER SYSTEM

6.1Work Included: The Tenant shall design and furnish
all labor, materials, tools, equipment, services, and transportation necessary
for, or reasonably incidental to, the construction and completion in working
order of the fire protection work, including, but not limited to, the following:

a.Provide a complete overhead automatic wet fire
sprinkler system for Building 2 including connections to fire sprinkler mains
with branch outlet stub-outs at 15'-0" on centers.

b.Repair of all damage done to premises as a result of
this installation and removal of all debris left by those engaged in this
installation.

6.2 Intentionally omitted.

6.3 General Design Requirements

a.The automatic wet fire sprinkler system shall be
designed and installed in accordance with NFPA 13, California Code of
Regulations, Local Code and San Mateo Fire Marshal Requirements, and as
specified hereinafter.

b.Engineering calculations and construction drawings
shall be prepared and signed by a competent registered mechanical engineer
regularly employed in the fire protection design field.

c.Coordination with architect, engineering consultants,
site utilities, and other trades.

d.Water Data: 72 PSI static, 52 PSI residual with 840 GPM
flow measured at East Hillsdale Boulevard's first fire hydrant. Contractor shall
verify this data during bid time, and make necessary allowances as
required.

7.0PLUMBING

7.1The Tenant shall design and construct a complete
and operative plumbing systems including all labor, materials, tools, equipment,
services, and transportation necessary for, or reasonably incidental to, the
construction and completion in working order of the plumbing work, including,
but not limited to, the following:

a.Soil, waste, and vent piping system including grease
interceptors, connection to sanitary waste line stubout at the garage ceiling,
and vent stub-outs through the roof.

b.Condensate drains for air conditioning.

c.Domestic hot and cold water piping system including
water heaters, pipe sterilization, hot water circulating pumps, insulation, and
connection to exterior line stub-outs.

d.Furnishing and installation of plumbing fixtures and
trim.

e.Natural gas piping system including connections to
PG&E gas meters located in the parking garage central gas meter room and
connections to equipment furnished in another section of work.

f.Intentionally omitted.

g.Hangers, anchors, sleeves, metal supports, and channels
as required for work under this section including sound isolators where
indicated.

h.Rough-in and final utility connections to equipment
furnished and installed under other sections.

i.Piping and valve identification.

j.Testing, adjusting of completed work, inspections, and
instructions.

k.Repair of all damage done to premises as a result of
this installation and removal of all debris left by those engaged in this
installation.

1.Shop drawings, submittals, as-built drawings and
operating and maintenance manuals.

m.Permits and connection fees.

n.All rigging hoisting, transportation and associated
work necessary for placement of all equipment in the final location as
shown.

7.2General Design Requirements:

a.The plumbing systems shall be designed and installed in
accordance with the Uniform Plumbing Code, California Code of Regulations, and
Local Code Requirements; and as specified hereinafter.

b.Engineering calculations and construction drawings
shall be prepared and signed by a competent registered mechanical engineer
regularly employed in the plumbing design field. The calculations shall be based
on the latest recommendations of ASPE Guide and ASHRAE Handbook, and the Design
Criteria specified hereinafter.

c.Coordination with architect, engineering consultants,
site utilities, and other trades.

7.3Sanitary Waste and Vent System: 

a.Plumbing fixtures shall be drained by gravity through
soil and waste piping and connected to sanitary sewer stub-outs shown on civil
drawings.

b.Plumbing vents within 50'-0" of each other shall
be collected and combined into one (1) vent thru roof to minimize roof
penetrations. No additional roof penetrations are allowed without Landlord's
approval.

c.Provide a minimum of 2% slope for sanitary sewer
lines.

d.Provide Floor Drains at each Toilet Room.

7.4Domestic Hot and Cold Water Systems:

a.Water pressure shall be limited to a maximum of 65 psi
and a minimum of 35 psi with duplex pressure reducing valves.

b.Water piping shall be sized to limit the maximum flow
velocity as follows:

i.2 inch and under: 4 feet/sec.

ii.2-1/2 inch and larger: 6 feet/sec.

c.Provide 105 F hot water for lavatories, sinks, janitor
sinks and sinks. Hot water shall be provided with gas-fired type hot water
heaters located in the mechanical roof enclosure.

d.Provide a circulating hot water system with circulating
pumps, aquaslat and timeclock controls. Plumbing fixtures requiring hot water
shall be within 5'-0" of circulation loop, exception janitor sinks.

e.All domestic hot water supply and return piping shall
be- insulated.

f.Provide hot and cold shut-off valves for each toilet
room. For the large Men's and Women's toilet, provide shut-off valves for each
group of lavatories and urinals/waterclosets.

g.Provide cooling tower and boiler make-up water
including shut-off valves and backflow preventers.

h.Provide hose bibbs in each toilet room.

i.Provide complete piping of all hot and cold water
system, relief valve and equipment drains into nearest floor sink or
drain.

7.5Gas System:

a.Contractor shall connect to the gas meter and shall
provide a complete functioning natural gas piping system for the boilers, and
other gas-fired equipment.

b.The piping distribution system will be sized in
accordance with Plumbing Code.

c.Provide gas shut-off valve for each building gas main
inside the gas meter room.

8.0ELECTRICAL SERVICE

8.1Electrical Distribution Equipment: Tenant shall
provide switchgear for service to Building 2. Switchgear shall be served from
3000A bus stubs in Owner provided equipment.

8.2Main Switchgear:

a.Main breaker shall be provided with shunt-trip control.
Provide a key switch per San Mateo City requirements for control of the shunt-
trip breaker. Locate key switch per San Mateo City direction.

b.Equipment: 

i.Provide main switchboard with fixed mounted insulated
case or molded case circuit breakers.

ii.Provide ground fault protection.

iii.Provide utility metering as required. Coordinate work
with PG&E.

8.3Electrical Risers - Lighting and Receptacle Loads:
Provide two electrical risers sized to support the following minimum
requirements (use total square footage when calculating W/SF): a. Lighting: 1.5
W/SF b. Receptacle Power (120/208V): 3.5 W/SF

8.4Mechanical & Elevator Equipment: Provide feeders
to roof sized sufficiently to serve all mechanical and elevator equipment.
Feeder shall be a minimum 1200A at 277/480V.

8.5Transformers: a. Rating: Provide two 75 kVA
transformers per floor. b. Transformers shall be K13 rated.

8.6Panels: All panels shall be provided with the
following:

a.Door-in-door construction.

b.Copper bus.

c.120/208V panels shall be provided with transient
voltage surge suppressors.

8.7General Interior Electrical Fit-Up
Requirements:

a.Lighting Circuitry and Control:

i.Provide single pole toggle switches per Title 24
requirements for all enclosed areas, i.e. toilets, electrical rooms, mechanical
rooms, etc.

ii.Route all corridor and lobby lighting circuits through
lighting control panels.

b.Other Miscellaneous:

i.Provide 20 amp 120V. circuit to each drinking
fountain.

8.8Fire Alarm System Requirements:

a.Preface: Provide an addressable fire alarm system with
devices as described below.

b.Manual Pull Stations: Provide manual pull stations at
each exit and at each stairwell door on all floors.

c.Sprinkler System: Provide monitor modules as
follows:

i.PIV.

ii. For valve monitor and flow switches.

d.Ceiling Smoke Detectors:

i.One per elevator lobby per level: Provide one control
module per elevator lobby and connect to door hold open/release devices.

ii.In addition to the elevator lobbies, provide smoke
detectors in all electrical rooms & telecom rooms.

e.Duct Smoke Detectors: Provide duct smoke in fans as
required by code.

f.Horn/Strobes: Provide horn/strobes in corridors,
elevator & main lobbies, bathrooms, etc to comply with applicable
codes.

8.9Building Lighting & Outlets

a.General: Provide lighting and receptacles in all
spaces, core/shell areas and Tenant Improvements areas. Lighting and receptacles
in core/shell spaces shall be provided as described below:

	
    Area    
	
    Lighting    
	
    Duplex    

	
Stairwells
	
4' surface mounted floor wrap with 2 T8 lamps 
	 
	
Elect Rms
	
4' or 8' fluor strip with 4' T8 lamps
	
1

	
Toilets
	
Per Tenant Improvements design
	
1 GFI

	
Corridors
	
Fluor downlights, 2x2 or 2x4 fixtures
	
30' on center

	
Telecom Rms
	
4' or 8' fluor strip with 4' T8 lamps
	
2

	
Janitor
	
Surface drum with compact fluor lamps
	
1 GFI

	
Elev machine rms
	
4' or 8' fluor strip with 4' T8 lamps & wire
guards
	
2 GFI

	
Exits
	
LED edge-lit
	 

b.Roof:

i.Provide twin head incandescent floodlight fixtures and
weatherproof receptacles in mechanical spaces. Provide light switch at roof
access for control.

9.0THE FOLLOWING HVAC WORK SHALL BE PROVIDED BY OFFICE
TENANT: 

9.1Core areas.

a.Provide cooling and heating for 1st floor entry lobby.
Lobby shall be served by VAV zones that are separate from tenant zones.

b.Provide cooling and heating to toilet rooms,
telephone/electrical rooms, elevator machine room (ventilation if this is not a
conditioned space), and upper floor elevator lobbies. This may be from adjacent
tenant zones rather than separate zones.

c.Provide complete exhaust and make-up systems for toilet
rooms, janitor's closets, and other core rooms required to have
exhaust.

i.Toilet rooms shall be exhausted a minimum of 50 cfm per
toilet/urinal.

ii.Provide an additional 250 cfm per floor of exhaust
stubbed into ceiling plenum from each toilet exhaust system. This will allow for
future exhaust needs, such as tenant toilet or kitchenette, and will allow for
exhaust of small interior construction areas during future remodels.

d.Tenant spaces.

i.Cooling System: Provide three rooftop packaged VAV air
conditioning units serving three supply shafts. Due to architectural
constraints, two units share a common return air shaft.

ii.Minimum Capacity: Two at 90 tons, one at 105 tons, or
other mix of sizes to provide same capacity.

iii.For sound control mount units on structural steel
supports with lined exterior ductwork to shafts.

e.Heating System: Provide a single outdoor hot water
boiler and single pump.

i.Capacity: 3000 MBH input.

ii.Pipe to multiple risers along perimeter columns
stubbed out for connection to VAV reheat boxes.

iii.Systems shall be variable flow. Use only two-way
modulating valves, except one or two 3-way valves provided only to prevent
inadvertent pump dead-heading. (So-called end-of-line valves not desired nor
allowed.)

f.Auxiliary 24/7 cooling: Split system air conditioners
with condensing units located on roof or in the basement garage. During base
building design, coordinate locations and estimate sizes of openings required
for future refrigerant piping through post-tension slab to garage

g.The following HVAC work shall be provided by Other
Tenants: 

1st Floor Restaurant heating, cooling, exhaust, ventilation,
and make-up air systems, all other work associated with this space.

9.2Variable air Volume AC Units:

a.Trans SXHF/SXHG or equal by Carrier or York.

b.Required Options that Tenant Shall Provide:   Rooftop
Units

i.Minimum filter efficiency shall be MERV 12 as rated by
ASHRAE Standard 52.2 (80-85% Dust Spot Efficiency as rated by ASHRAE Standard
52. 1).

ii.100% modulating powered relief with Statitrac building
pressurization control. Locate iv. indoor sensor port in interior zone well away
from exterior doors, elevators, and diffusers.

iii.Hinged access doors.

iv. Variable speed drives on supply fan. Bypass not
required. Locate supply static pressure sensors at bottom of duct shaft.

v. Intentionally omitted.

vi. Economizer with ultra low leakage dampers and drybulb
high limit switch.

vii. Premium efficiency VFD-ready motors.

viii. GBAS interface

Hot Water Boilers

i.Gas fired, atmospheric boilers shall be bent-tube type
by Bryan or Parker, or straight tube design by Ajax. Copper fin-tube and cast-
iron boilers not acceptable.

ii.High/low firing

iii.Provide listed weather enclosure for outdoor air
installations.

Temperature and Energy Management 

i.Summary: Complete automatic direct digital control
system as specified below for

ii. HVAC systems 

iii. Limited monitoring of electrical systems 

iv. Lighting systems 

v. System shall comply with specifications for and be the
same manufacturer as the control system provided with Building 4. Coordinate
with mechanical engineer/contractor of that building. (The intent is that
the two systems be compatible so that both buildings may be centrally controlled
should they be managed by one entity in the future. Landlord will be responsible
for connecting the two control systems either during this phase of
construction or in the future at its option.)

Pumps 

i.PACO, Bell and Gossett, Armstrong, Taco 

ii. Pumps shall be close-coupled, either end-suction or
in-line. Bronze-fitted.

Piping 

i.Piping materials shall be Type "L"
Copper.

ii. Joint System: 95/5 tin/antimony solder.

Ductwork

i. Ductwork shall be shall conform to the SMACNA HVAC
Duct Construction Standards.

Seismic Restraints

i.Provide seismic restraints to meet requirements of the
UBC. Restraints shall not short-circuit vibration isolation systems under
normal operation.

ii. Design restraints shall be per code or SMACNA
"Seismic Restraint Manual Guidelines for Mechanical
Systems".

Execution

Test and adjust all items of air conditioning system to
provide design conditions. Testing and balancing shall be performed in complete
accordance with AABC or NEEB National Standards for Field Measurements and
Instrumentation as applicable to air distribution and hydronic systems.

SCHEDULE 3

TO EXHIBIT C

BUILDING STANDARDS

	
Partitions:
	 
	
Standard Partition:
	
Floor to ceiling grid height, 3-5/8", 25 gauge sheet metal
studs at 24" o.c. 5/8" Type  "X" gypsum board each side,
with extruded aluminum tapeable top track, taped smooth and ready for finish.
Gypsum board finish to be level 4 (ASTM C 840). All gypsum board shall be Type
"X" even if not used in fire rated partition. Partitions to be braced
to structure above as per code. Increase gage, size or spacing of studs, as
required by code due to loading or floor to ceiling heights.

	
Demising Partition:

(Between Tenant Spaces)
	
Floor to ceiling grid height, 3-5/8", 25 gauge sheet metal
studs at 24" o.c., 5/8" Type "X" gypsum board each side,
3" x 25" acoustic batt insulation in cavity (creased to fit), Neoprene
compression gasket @ head track, taped smooth and ready for finish.  Gypsum
board finish to be level 4 (ASTM C 840). All gypsum board shall be Type
"X" even if not used in fire rated partition. Provide wrapped batt
insulation on top of suspended ceiling 2'-0" on each side of this
partition. Partitions to be braced to structure above as per code.

	
Standard One-Hour Corridor & Compartment
Partition:
	
Floor to structure above, 3-5/8", 25 gauge sheet metal
studs at 24" o.c., 5/8" Type "X" gypsum board each side full
height, perimeter fire caulked, taped smooth and ready for finish. Gypsum board
finish to be level 4 (ASTM C 840). Head track to be deflection track assembly.
(UL DES U419 or U465).

	
Perimeter Glazing Wall Wainscot:
	
5/8" Layer type "X" gypsum board, under aluminum
sill extension, taped smooth, level 4 finish.

	
Glass Sidelites:
	
Floor to door height glazing, 1/4" thick tempered glass (up
to 2 feet in width), 3/8" thick tempered glass (up to 3 feet in width) in
aluminum, knockdown, RAACO style frame; clear anodized aluminum, integral with
door frame.

	
Glass Partition:
	
Floor to door height glazing, 1/2" thick tempered glass, #
of sections to be determined by Tenant, with individual panes butted to adjacent
panes and caulked with clear silicone, mounted in perimeter aluminum knockdown,
RAACO frame (head, sill & jambs); integral with door frame.

	
Door,, Frames And Hardware:
	 
	
Entry/Interior Doors:
	
Summary:
	
Solid core with Hardwood veneer, factory finished, factory
fitted to frame and factory machined for hardware.

	 	
Size:
	
3'-0" x Full Height x 1 3/4".

	 	
Manufacturer/Source: Source and Manufacturer to be selected by
Tenant.

	 	
Quality Standard:
	
WIC's Manual of Millwork - Doors to comply with Grade Compliance
and Installation specifications.

	
Fire rating:  Where required. Comply with all applicable
codes and ordinances.

	 	
Finish:
	
Grade: Premium with Grade AA faces - factory finished

Finish: Manufacturers Standard transparent finish

Staining: None, see "Finish".

Effect: Semi-filled (second finish coat).

Sheen: Satin.

Species and Cut: Cherry or Maple, Quarter Sliced, Vertical grain

Match: Book Matched

Assembly of veneer leaves: Balanced

Stiles: Applied wood veneer edges of same species and matching color to faces,
covering edges of faces.

	 	
Construction:
	
Solid core, particle board - grade LD-2, five-ply bonded core,
with stiles and rails bonded to core, and entire unit abrasive planed before
veneering.

	 	
Door beveling:
	
Standard 3.5 degrees at lock and hinge edges

	 	
Warranty:
	
For life of installation.

	
Entry/Interior Frames:
	
Aluminum, knock-down, RAACO frame;

	
Glass Doors:
	
To be selected by Tenant.

	
Hardware:
	 
	
Finish:
	
US32D - (626 - satin chromium plated)

Entry Lockset:  Schlage - L9453 - #17 - Extra Heavy Duty Mortise
lockset/deadbolt.

	
Interior Latchset:
	
Schlage - L9010 - #17 - Extra Heavy Duty Mortise Passage
Latchset .

	
Interior Lockset:
	
Schlage - L9050 - # 17 - Extra Heavy Duty Mortise Office
Lockset

	
Electronic Lockset:
	
Schlage - L908OPEU XL 11-811, 24 VDC

Keying: 6-Pin Mortise, Schlage L-series, E Keybank

	
Closer:
	
LCN 4041 pullside, LCN 4000T pocket doors, LCN 4041 with
parallel arm, conforming with required maximum pull force per code.

	
.Hinges:
	
Hager BB 1279 or eq. McKinney - 4 -1/2" x 4-1/2" for
Standard Doors.

	
Hinges @ Drs. W/ Closers:
	
Hager BB 1279 or eq. McKinney - 4-1/2" x 4-1/2" for
doors with closers or high frequency doors.

	
Electric Hinges:
	
McKinney 4 wire CCTA2714

	
Seal:
	
Wool pile or S88W Pemko at hollow metal

	
Floor Stop:
	
Glynn Johnson FB- 3 with FB 14R riser for carpet.

	
Hold Open Device:
	
Architectural Builders Hardware Manufacturing: adjustable
armature depth series.

	
Hardware Notes:
	
1.  All locksets/latchsets to be equipped with armored fronts
and "A" Rose on handles and both sides.

2.  Tenant interior doors shall receive a latchset, hinges, door stop as
standard.

3.  Should panic hardware be required, it is the responsibility of the Tenant to
provide and install necessary hardware to meet code requirements including
additional hardware on existing exit doors.

	
Suspended Ceiling System:
	 
	
Ceiling height:
	
9'-0" above finished floor, minimum.

	
Grid:
	
Armstrong: 2' x 4' Second Look. 9/16" Bolt-Slot system -
#7601 and cross tees as required, heavy duty; Color: WH-White, or equal. Utilize
#7804 - 9/16"w. x 15/16" h. "L" angle for
perimeters.

	
Tile:
	
24"x 24" x 5/8", Class A, regular, non-
directional tile, bevel edge, Color: White (WH).

	
Floors:
	 
	
Carpet:
	
Tenant's choice.

	
Optional Pad:
	
Tenant's choice.

	
Vinyl Tile/Sheet Vinyl:
	
Tenant's choice.

	
Base:
	
Tenant's choice.  All walls shall be finished such that if 2-
1/2" high base were installed at a later date, wall will be properly
finished (Level 4 Finish). For carpet installations, straight cut base shall be
installed. For vinyl tile and sheet vinyl installations, top set (coved) base
shall be utilized.

	
Paint:
	 
	
Paint:
	
Manufacturer, specification, color to be Tenant's Choice.
Provide one primer coat, two finish coats minimum.

	
Wallcovering:
	 
	
Wallcovering:
	
Tenant's choice.

	
Exterior Blinds:
	 
	
Exterior Blinds:
	
Levolor Riviera Mark I, 1" mini-blind,
"Sheerview" option, controls: Lift cord and tiltwand, color: TBD by
Landlord and approved by Tenant. Mount blinds inside exterior window
frames.

	
Heating, Ventilation & Air Conditioning:

	
Basic System:
	
The base building heating, ventilation and air conditioning
(HVAC) system consists of two, roof-top, air-cooled, variable air volume units;
centrifugal fans with variable frequency drive fans and gas fired boiler.
Distribution is by central riser shafts then to main distribution ducts on each
floor. Tenant areas are conditioned by variable air volume (VAV) units with hot
water reheat to provide air conditioning and zoning flexibility for normal off-
ice use. Direct digital controls (DDC) manage this system down to zone
level.

	
Zoning Design:
	
Tenant space will be divided into thermostatically controlled
zones, the number of which will be determined by specific Tenant layouts.
Maximum Perimeter Zone: 800 square feet of perimeter area. All corner offices
shall be a separate zone. Maximum Interior Zone: 1,600 square feet of interior
area.

	
Additional Cooling:
	
If necessary for isolated requirements, Tenant to utilize split
systems as required.  Condensers to be located at roof or garage, based on
location of cooling need.

	
Equipment Schedule:
	
The Tenant will prepare design criteria based on types of
equipment that will be used in areas that are not considered typical off-ice
space. This will allow for the normal on-going exchange and upgrade of
equipment.

	
Supply, Return and Exhaust Grills:
	
Drop-in (flush with ceiling), color to match ceiling grid. Where
grills visually expose the ceiling cavity, paint all visually exposed components
in the ceiling cavity flat black.

	
Pluming:

(Above Standard)

	
Breakroom Sinks:
	
Tenant's Choice.

	
Faucet:
	
Tenant's Choice.

	
Hot Water Heaters:
	
Tenant's Choice.

	
Point-of-Use:
	
Tenant's Choice.

	
Dishwasher:
	
Tenant's Choice.

	
Instant Hot:
	
Tenant's Choice.

	
Power/Communication:

	
Single Phase Breaker Spaces:
	
4.5 per 1000 square foot.

	
Duplex Wall Outlet:
	
110V A.C., box, conduit, standard receptacle and plate; Color:
white.

	
Dedicated Duplex Outlet:
	
110V A.C. or 220V A.C., box, conduit, 20A receptacle and
standard plate; Color: Grey.

	
Isolated Ground:
	
110V A.C., box, conduit, Leviton Decora Series, 20A receptacle
and standard plate; Color: Orange.

	
Duplex Floor Monument:
	
110V A.C., RC1 or equal., monument, conduit, plate, brushed
aluminum; Device Color: black.

	
Alternative:
	
3" flush floor mounted outlet - (4) receptacles, capacity
for (2) data lines. Color: Tenant's Choice.

	
Tel/Data Wall Outlet:
	
Tenant to provide standard white receptacles/coverplates mounted
level with electrical receptacles.

	
Notes:
	
1.  Standard mounting height for receptacles to be +17"
above finished floor and in compliance with all applicable accessibility
requirements.

2.  All electrical outlets shall be provided with type on tape on
device/coverplate indicating Panel/Breaker. Existing building electrical panels
are provided with engraved identification on panels/breakers.

	
Telephone Cabling, Data Cabling & Low Voltage (Security,
etc.) Wiring:

	 	
Telephone, data cabling and low voltage wiring provision and
installation is the responsibility of the Tenant. It is the responsibility of
the Contractor to coordinate and identify the period of time during construction
in which this work shall be completed. Cable/wiring run in the return-air plenum
shall be plenum rated. All phone, data, security and other equipment shall be
located within the Tenant's Premises.

	
Lighting:

	
Recessed Fluorescent - 2x4 (Alternate for offices, conference
rooms and similar rooms)
	
Manufacturer:
	
Cooper

	 	
Model:
	
2x4 18 cell parabolic 2EP3GAVX-332-S361-277V-EB82-L87 or
Equal

	 	
Distribution:
	
Bi-Directional

	 	
Ballast:
	
Electronic Ballast

	 	
Lamps:
	
(2) T5 per fixture - 3500K Lamps

	 	
Voltage:
	
277

	 	
Mounting:
	
ST - Slot T Ceiling

	 	
Shielding:
	
PS - Performated Shield

	 	
Options:
	
Emergency Circuit / Battery Packs where required.

	
Recessed Fluorescent - 2x2 (alternate for small special rooms
such as storage rooms and computer rooms)
	
Manufacturer:
	
Same as above

	 	
Model:
	 
	 	
Distribution:
	
Bi-Directional

	 	
Ballast:
	
Electronic Ballast

	 	
Lamps:
	
(2) 40 Watt Biax - BX40 per fixture - 3500 K Lamps

	 	
Voltage:
	
277

	 	
Mounting:
	
ST - Slot T Ceiling

	 	
Shielding:
	
PS - Perforated Shield

	 	
Options:
	
Emergency Circuit / Battery Packs where required.

	
Fluorescent Downlight:
	
Manufacturer:
	
Lithonia - Gotham

	 	
Series:
	
AF

	 	
Lamps:
	
(1) 32TRT - 3500K lamp

	 	
Aperture:
	
8"

	 	
Trim Color:
	
AR - Clear

	 	
Finish:
	
Specular Low Iridescent

	 	
Voltage:
	
277

	 	
Notes:
	
Provide Dimmable Ballast/Lamps where specifically required by
Tenant.

	
Fluorescent Wallwasher:
	
Manufacturer:
	
Lithonia - Gotham

	 	
Series:
	
AFW

	 	
Lamps:
	
(1) 32TRT - 3500K lamp

	 	
Aperture:
	
8"

	 	
Trim Color:
	
AR - Clear

	 	
Finish:
	
Specular Low Iridescent

	 	
Voltage:
	
277

	 	
Notes:
	
Provide Dimmable Ballast/Lamps where specifically required by
Tenant.

	
Under-Cabinet Lights:
	
Tenant's Choice

	
Switching:
	
All rooms and open areas shall be fitted with motion sensors.
Small rooms/offices to be equipped with infra red/motion sensor with integral
rocker switch, single pole, color: white. Larger areas/rooms to be equipped with
ceiling mounted motion sensors, color: white. Three and four-way switches shall
have standard coverplate and switch, color:  white. Fan switch: single pole
engraved "FAN"; color: white.

	
Dimmers:
	
Standard dimmer and coverplate, suitable for control of load
controlled.  Color:  White

	
After-hours Lighting Switch:
	
In room motion detectors will be used for energy
management.

	
Exit Sign:
	
Lent/Legr recessed Ceiling edgelit LED exit Light.  3/16"
thick clear acrylic double panels with opaque separator with green engraved
lettering.

	
Emergency Lights:
	
Tenant to provide emergency lighting utilizing appropriately
specified Building Standard light fixtures.  Layout shall meet all code
requirements and any local requirements dictated by codes or Building/Fire
officials.

	
Life Safety System:

	
Sprinklers:
	
A fully automatic "light hazard" sprinkler system to
be furnished throughout the Tenant space The Tenant Improvement Work shall
specifically modify the system per the Tenant's proposed layout in accordance
with NFPA Pamphlet No. 13.

	
Sprinkler head:
	
Semi-recessed, polished white escutcheon.

	
Fire Alarm System:
	
Provide fully operable Fire Alarm System-operated from the Fire
Alarm Panel.  Fire Alarm System to have two means of alarm mode:  audible,
through horns strategically placed throughout the tenant space and corridors,
and visual, strobes at strategic locations throughout all halls and in places of
assembly as required by NFPA.

	
Smoke Detectors:
	
Notifier or equal: CPX-551 1; color: white. (Smoke detectors may
also be used to substitute for 1-hr. Corridor construction, with approval of
building and fire departments, approximately 30' on center in circulation
areas.)

	
Strobe, Visual Warning:
	
Notifier or equal: V4R2475ADA clear lamp lens, off-white housing
with red "FIRE" lettering; wall mounted at +80" A.F.F.;
synchronized flash rate.

	
Speakers, Audible Warning:
	
Notifier or equal: V400; color: white.

	
Fire Extinguisher:
	
2A-10BC hand portable fire extinguisher; strategically wall
mounted per Building/Fire officials.

	
Fireproofing:
	
W.C. Grace Monocoat; all modifications to the continuity and
integrity of the existing fireproofing shall be patched to maintain the
building's fireproofing.

	
Casework:

	
Casework:
	
All Millwork to be W.I.C. Custom Grade or better. Tenant to
comply with accessibility standards.

	
Casework Hardware:
	
Tenant's Choice

	
Telephone Backboard:
	
5/8" thick, fire treated plywood, paint to match wall;
label left exposed.

	
Appliances:
	
Tenant's Choice

	
PERIMETER BUILD-OUT:
	
Private offices and conference rooms shall be built-out on the
perimeter glass line and shall be built to a depth of 12 feet to 16 feet clear
and on 5'-0" mullion and column module.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00048-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00048-of-00352.parquet"}]]