Document:

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                                                                    EXHIBIT 10.7

                                 PRINTCAFE, INC.

                           SECOND AMENDED AND RESTATED
                           INVESTORS' RIGHTS AGREEMENT

                                  MARCH 8, 2000

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<TABLE>
<S>                                                                                               <C>
1.    Registration Rights..................................................................        2
      1.1    Definitions...................................................................        2
      1.2    Requested Registration........................................................        3
      1.3    Company Registration..........................................................        4
      1.4    Form S-3 Registration.........................................................        4
      1.5    Obligations of the Company....................................................        5
      1.6    Furnish Information...........................................................        7
      1.7    Expenses of Registration......................................................        8
      1.8    Underwriting Requirements.....................................................        8
      1.9    Delay of Registration.........................................................        9
      1.10   Indemnification...............................................................        9
      1.11   Reports Under Securities Exchange Act of 1934.................................       11
      1.12   Assignment of Registration Rights.............................................       11
      1.13   Market-Standoff Agreement.....................................................       12
      1.14   Termination of Registration Rights............................................       12
      1.15   Investor Acts.................................................................       13

2.    Covenants of the Company.............................................................       13
      2.1    Canadian Securities Filings...................................................       13
      2.2    Delivery of Financial Statements..............................................       13
      2.3    Inspection....................................................................       14
      2.4    Termination of Covenants......................................................       14
      2.5    Limitations on Subsequent Registration Rights.................................       14

3.    Miscellaneous........................................................................       15
      3.1    Successors and Assigns........................................................       15
      3.2    Amendments and Waivers........................................................       15
      3.3    Notices.......................................................................       15
      3.4    Severability..................................................................       15
      3.5    Governing Law.................................................................       15
      3.6    Counterparts..................................................................       15
      3.7    Titles and Subtitles..........................................................       15
      3.8    Aggregation of Stock..........................................................       16
      3.9    Confidentiality...............................................................       16
      3.10   Expenses......................................................................       16
      3.11   Stock Splits..................................................................       16
      3.12   Future Changes in Registration Requirements...................................       16
      3.13   Entire Agreement..............................................................       16
      3.14   Further Assurances............................................................       16
      3.15   Injunctive Relief.............................................................       16

</TABLE>

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                                 PRINTCAFE, INC.

                           SECOND AMENDED AND RESTATED
                           INVESTORS' RIGHTS AGREEMENT

        This Second Amended and Restated Investors' Rights Agreement (this
"Agreement") is made as of March 8, 2000 by and among printCafe, Inc., a
Delaware corporation (the "Company"), Creo SRL, a Barbados restricted liability
society ("Creo"), the Series C and C-1 Preferred Stock investors listed on
Exhibit B hereto (each, a "Series C Investor" and, collectively, the "Series C
Investors"), the Series D Preferred Stock investors listed on Exhibit C hereto
(each, a "Series D Investor" and, collectively, the "Series D Investors") and
the common stock investors listed on Exhibit D hereto (the "Common Stock
Investors").

                                    RECITALS

        WHEREAS, the Company, Creo and the Series C Investors have previously
entered into that certain First Amended and Restated Investors' Rights Agreement
dated as of February 15, 2000 (the "Prior Rights Agreement"), pursuant to which
the Company granted Creo and the Series C Investors certain rights.

        WHEREAS, the Company and the Series D Investors have entered into a
Series D Preferred Stock Purchase Agreement of even date herewith (the "Series D
Preferred Stock Purchase Agreement"), pursuant to which the Company desires to
sell to the Series D Investors, and the Series D Investors desire to purchase
from the Company, shares of the Company's Series D Preferred Stock and Series
D-1 Preferred Stock (collectively, the "Series D and D-1 Preferred Stock").

        WHEREAS, the Company and the Common Stock Investors have entered into a
Common Stock Purchase Agreement of even date herewith (the "Common Stock
Purchase Agreement" and, together with the Series D Preferred Stock Purchase
Agreement, the "Purchase Agreements"), pursuant to which the Company desires to
sell to the Common Stock Investors, and the Common Stock Investors desire to
purchase from the Company, 225,916 shares of the Company's Class A Common Stock
and 1,132,502 shares of the Company's Class C Common Stock (collectively, the
"Common Stock Investors' Shares").

        WHEREAS, a condition to the Series D Investors' and the Common Stock
Investors' obligations under the applicable Purchase Agreement is that the
Company, Creo, the Series C Investors, the Series D Investors and the Common
Stock Investors enter into this Agreement in order to provide the Holders with
(i) certain rights to register Registrable Securities (as defined in Section 1
below) under the Securities Act of 1933, as amended (the "Securities Act"), and
(ii) certain rights to receive or inspect information pertaining to the Company.

        WHEREAS, the Company, Creo and the Series C Investors each desire to
amend and restate the Prior Rights Agreement to add the Series D Investors and
the Common Stock Investors as parties to this Agreement and make certain other
changes.

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                                    AGREEMENT

        NOW, THEREFORE, in consideration of the mutual promises, covenants and
conditions hereinafter set forth, the parties hereto hereby agree as follows:

        A. AMENDMENTS OF PRIOR RIGHTS AGREEMENT; WAIVER OF RIGHT OF FIRST OFFER.
Effective and contingent upon execution of this Agreement by the Company, Creo
and the holders of all of the outstanding shares of the Company's Series C
Preferred Stock and Series C-1 Preferred Stock and upon the simultaneous
closings of the transactions contemplated by the Purchase Agreements, the Prior
Rights Agreement is hereby amended and restated in its entirety to read as set
forth in this Agreement, and the Company and the Holders hereby agree to be
bound by the provisions hereof as the sole agreement of the Company and the
Holders with respect to registration rights of the Registrable Securities and
certain other rights, as set forth herein. Creo and the Series C Investors
hereby waive the Right of First Offer, including the notice requirements, set
forth in the Company's Certificate of Incorporation with respect to the issuance
of (a) the Series D and D-1 Preferred Stock to the Series D Investors, and (b)
the Common Stock Investors' Shares to the Common Stock Investors.

        1. REGISTRATION RIGHTS. The Company and the Holders covenant and agree
as follows:

             1.1 DEFINITIONS. For purposes of this Section 1:

                  (a) "Excluded Registration" means any registration (i) on Form
S-4 or Form S-8 promulgated under the Securities Act or any successor forms
thereto, (ii) in connection with an exchange offer or offering solely to the
Company's stockholders, (iii) on Form S-1 or Form S-3 or any successor forms
thereto solely in connection with mergers or acquisitions conducted or
contemplated by the Company or (iv) the Qualified IPO;

                  (b) "Form S-3" means such form under the Securities Act as in
effect on the date hereof or any successor form under the Securities Act that
permits significant incorporation by reference of the Company's subsequent
public filings under the Securities Exchange Act of 1934, as amended (the
"Exchange Act");

                  (c) "Holder" means any person owning or having the right to
acquire Registrable Securities or any assignee thereof in accordance with
Section 1.12 of this Agreement;

                  (d) "Preferred Stock" means, collectively, the Company's
Series B Preferred Stock, Series C Preferred Stock, Series C-1 Preferred Stock
and Series D and D-1 Preferred Stock issued or issuable to the Holders.

                  (e) "Qualified IPO" means a firm commitment underwritten
public offering by the Company of shares of its Common Stock pursuant to a
registration statement under the Securities Act, the public offering price of
which is not less than $11.60 per share (appropriately adjusted for any stock
split, dividend, combination or other recapitalization after the date of this
Agreement) and which results in aggregate gross cash proceeds to the Company of
at least $30,000,000 (before underwriting discounts and commissions).

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                  (f) "Register," "registered," and "registration" refer to a
registration effected by preparing and filing a registration statement or
similar document in compliance with the Securities Act, and the declaration or
ordering of effectiveness of such registration statement or document;

                  (g) "Registrable Securities" means (i) the shares of Common
Stock issued or issuable upon conversion of the Preferred Stock, (ii) the Common
Stock Investors' Shares, and (iii) any other shares of Common Stock of the
Company issued as (or issuable upon the conversion or exercise of any warrant,
right or other security which is issued as) a dividend, stock split,
recapitalization or other similar event or distribution with respect to, or in
exchange for or in replacement of, the shares listed in clauses (i) or (ii)
above; provided, however, that the foregoing definition shall exclude in all
cases any Registrable Securities sold by a person in a transaction in which its
rights under this Agreement are not assigned. Notwithstanding the foregoing,
Common Stock or other securities shall only be treated as Registrable Securities
if and so long as they have not been (A) sold to or through a broker or dealer
or underwriter in a public distribution or a public securities transaction
(including, without limitation, pursuant to Rule 144 under the Securities Act),
or (B) sold in a transaction exempt from the registration and prospectus
delivery requirements of the Securities Act under Section 4(1) thereof so that
all transfer restrictions and restrictive legends with respect thereto, if any,
are removed upon the consummation of such sale;

                  (h) "Registrable Securities then outstanding" shall be
determined by the number of shares of Common Stock outstanding which are, and
the number of shares of Common Stock issuable pursuant to then exercisable or
convertible securities which are, Registrable Securities;

                  (i) "SEC" means the Securities and Exchange Commission.

             1.2 REQUESTED REGISTRATION. If the Company shall receive a written
request from the Holders of a majority of the Series B Preferred Stock then
outstanding or a majority of the Series C Preferred Stock and Series C-1
Preferred Stock then outstanding that the Company file a registration statement
under the Securities Act covering the registration of at least twenty-five
percent (25%) of the Registrable Securities then outstanding held by the holders
of such series of Preferred Stock, then the Company shall promptly, and in no
event more than ten (10) days following receipt of such request, give written
notice of such request to all other Holders and shall, subject to the provisions
of Section 1.8, use its best efforts to effect as soon as practicable, and in
any event within sixty (60) days of the receipt of such request, the
registration under the Securities Act of all Registrable Securities which the
Holders request to be registered within fifteen (15) days of the mailing of such
notice by the Company in accordance with Section 3.3. Notwithstanding the
foregoing, the Company shall not be obligated to effect a registration statement
under this Section 1.2:

                  (a) prior to the date that is six months after the Company's
Qualified IPO;

                  (b) after the Company has effected two registration statements
pursuant to this Section 1.2 and such registration statements have been declared
or ordered

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effective and have remained effective until the earlier of (A) 120 days after
the date of effectiveness, and (B) the date all Registrable Securities
registered thereunder have been sold; provided, however, that if the Company has
withdrawn or abandoned such registration due to the fraud, material misstatement
or omission of a material fact of a Holder participating in such registration,
such withdrawn or abandoned registration shall count as one of the two
registration statements the Company is obligated to effect under this Section
1.2;

                  (c) if the Registrable Securities requested by all Holders to
be registered pursuant to such request have an anticipated aggregate offering
price to the public of less than $5,000,000;

                  (d) if the Company shall furnish to the Holders a certificate
signed by the Chief Executive Officer or President of the Company stating that,
in the good faith judgment of the Board of Directors of the Company, it would be
seriously detrimental to the Company and its stockholders for such registration
statement to be effected at such time, in which event the Company shall have the
right to defer the filing of such registration statement for a period of not
more than 90 days after receipt of the request of the Holder or Holders under
this Section 1.2, provided, however, that the Company shall not exercise such
right more than once in any six (6) month period;

                  (e) during the period starting sixty (60) days prior to the
Company's good faith estimate of the date of filing of, and ending on a date one
hundred eighty (180) days after the effective date of the first Qualifying IPO
or ninety (90) days after any other registration subject to Section 1.3 hereof,
provided, however, that the Company is actively employing in good faith all
reasonable efforts to cause such registration statement to become effective; or

                  (f) if the Holders participating in such registration
statement propose to dispose of Registrable Securities that may be registered on
Form S-3 pursuant to a request made pursuant to Section 1.4 below,

             1.3 COMPANY REGISTRATION. If (but without any obligation to do so)
the Company proposes to register (including for this purpose a registration
effected by the Company for stockholders other than the Holders) any of its
securities under the Securities Act in connection with the public offering of
such securities other than in connection with an Excluded Registration, the
Company shall, at such time, promptly give each Holder written notice of such
registration. Upon the written request of each Holder given within fifteen (15)
days after mailing of such notice by the Company in accordance with Section 3.3,
the Company shall, subject to the provisions of Section 1.8, use its best
efforts to register under the Securities Act all of the Registrable Securities
that each such Holder has requested to be registered by including such
Registrable Securities in the Company registration statement filed pursuant to
this Section 1.3. The Company shall have the right to terminate or withdraw any
registration initiated by it under this Section 1.3 prior to the effectiveness
of such registration, whether or not any Holder has elected to include
Registrable Securities in such registration. The expenses of such withdrawn
registration shall be borne by the Company in accordance with Section 1.7.

             1.4 FORM S-3 REGISTRATION. If the Company shall receive from any
Holder or Holders of not less than ten percent (10%) of the Registrable
Securities then outstanding a

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written request or requests that the Company effect a registration on Form S-3
or its successor form and any related qualification or compliance with respect
to all or a part of the Registrable Securities owned by such Holder or Holders
(a "Form S-3 Registration"), the Company will:

                  (a) promptly, and in no event more than five (5) business days
following receipt of such request, give written notice of the proposed
registration, and any related qualification or compliance, to all other Holders;
and

                  (b) as soon as practicable, use its best efforts to effect
such registration and all such qualifications and compliances as may be so
requested and as would permit or facilitate the sale and distribution of all or
such portion of such Holder's or Holders' Registrable Securities as are
specified in such request, together with all or such portion of the Registrable
Securities of any other Holder or Holders joining in such request as are
specified in a written request given within ten (10) days after receipt of such
written notice from the Company; provided, however, that the Company shall not
be obligated to effect any such registration, qualification or compliance
pursuant to this Section 1.4: (i) if Form S-3 is not available for such offering
by the Holders; (ii) if the Holders, together with the holders of any other
securities of the Company entitled to inclusion in such registration, propose to
sell Registrable Securities and such other securities (if any) at an aggregate
price to the public (net of any underwriters' discounts or commissions) of less
than $1,000,000; (iii) if the Company shall furnish to the Holders a certificate
signed by the Chief Executive Officer or President of the Company stating that,
in the good faith judgment of the Board of Directors of the Company, it would be
seriously detrimental to the Company and its stockholders for such Form S-3
Registration to be effected at such time, in which event the Company shall have
the right to defer the filing of such Form S-3 Registration for a period of not
more than 90 days after receipt of the request of the Holder or Holders under
this Section 1.4, provided, however, that the Company shall not exercise such
right more than once in any six (6) month period; (iv) if the Company has,
within the twelve (12) month period preceding the date of such request, already
effected two Form S-3 Registrations for the Holders pursuant to this Section 1.4
and such Form S-3 Registrations have been declared or ordered effective and have
remained effective until the earlier of (A) 120 days after the date of
effectiveness, and (B) the date all Registrable Securities registered thereunder
have been sold; provided, however, that if the Company has withdrawn or
abandoned such Form S-3 Registration due to the fraud, material misstatement or
omission of a material fact of a Holder participating in such Form S-3
Registration, such withdrawn or abandoned registration shall count as one of the
two Form S-3 Registrations the Company is obligated to effect under this Section
1.4 in any 12 month period; or (v) in any particular jurisdiction in which the
Company would be required to qualify to do business or to execute a general
consent to service of process in effecting such registration, qualification or
compliance.

                  (c) Subject to the foregoing, the Company shall file a
registration statement covering the Registrable Securities and other securities
so requested to be registered as soon as practicable after receipt of the
request or requests of the Holders.

             1.5 OBLIGATIONS OF THE COMPANY. Whenever required under this
Section 1 to effect the registration of any Registrable Securities, the Company
shall, as expeditiously as reasonably possible:

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                  (a) Prepare and file with the SEC a registration statement
with respect to such Registrable Securities and use its best efforts to cause
such registration statement to become effective and, upon the request of the
Holders of a majority of the Registrable Securities registered thereunder, keep
such registration statement effective for up to one hundred twenty (120) days.

                  (b) Prepare and file with the SEC such amendments and
supplements to such registration statement and the prospectus used in connection
with such registration statement as may be necessary to comply with the
provisions of the Securities Act with respect to the disposition of all
securities covered by such registration statement for up to one hundred twenty
(120) days.

                  (c) Furnish to the Holders such numbers of copies of a
prospectus, including a preliminary prospectus, in conformity with the
requirements of the Securities Act, and such other documents as they may
reasonably request (and in such quantities as they reasonably request) in order
to facilitate the disposition of Registrable Securities owned by them.

                  (d) Use its best efforts to register and qualify the
securities covered by such registration statement under such other securities or
Blue Sky laws of such jurisdictions as shall be reasonably requested by the
Holders; provided, however, that the Company shall not be required in connection
therewith or as a condition thereto to qualify to do business or to file a
general consent to service of process in any such states or jurisdictions.

                  (e) In the event of any underwritten public offering
(including one effected pursuant to Section 1.2 or 1.3), enter into and perform
its obligations under an underwriting agreement, in usual and customary form,
with the managing underwriter or underwriters of such offering. Each Holder
participating in such underwriting shall also enter into and perform its
obligations under such an agreement.

                  (f) Notify each Holder of Registrable Securities covered by
such registration statement (i) when such registration statement, or any
post-effective amendment thereto, shall have become effective, (ii) of the
receipt of any comments from the SEC, (iii) of the issuance by the SEC or any
other federal or state governmental authority of any stop order suspending the
effectiveness of such registration statement of the initiation of proceedings
for that purpose, and (iv) at any time when a prospectus relating thereto is
required to be delivered under the Securities Act of the happening of any event
as a result of which the prospectus included in such registration statement, as
then in effect, includes an untrue statement of a material fact or omits to
state a material fact required to be stated therein or necessary to make the
statements therein not misleading in the light of the circumstances then
existing, such obligation to continue for one hundred twenty (120) days.

                  (g) Cause all such Registrable Securities registered pursuant
hereto to be listed on each securities exchange or automated quotation system on
which similar securities issued by the Company are then listed or quoted.

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                  (h) Provide a transfer agent and registrar for all Registrable
Securities registered pursuant hereunder and a CUSIP number for all such
Registrable Securities, in each case not later than the effective date of such
registration.

                  (i) Use its best efforts to furnish, at the request of any
Holder requesting registration of Registrable Securities pursuant to this
Section 1, on the date that such Registrable Securities are delivered to the
underwriters for sale in connection with a registration pursuant to this Section
1, if such securities are being sold through underwriters or, if such securities
are not being sold through underwriters, on the date that the registration
statement with respect to such securities becomes effective, (i) an opinion,
dated such date, of the counsel representing the Company for the purposes of
such registration, in form and substance as is customarily given to underwriters
in an underwritten public offering, addressed to the underwriters, if any, and
to the Holders requesting registration of Registrable Securities and (ii) a
letter, dated such date, from the independent certified public accountants of
the Company, in form and substance as is customarily given by independent
certified public accountants to underwriters in an underwritten public offering,
addressed to the underwriters, if any, and to the Holders requesting
registration of Registrable Securities.

             1.6 FURNISH INFORMATION. It shall be a condition precedent to the
obligations of the Company to take any action pursuant to this Section 1 with
respect to the Registrable Securities of any selling Holder that such Holder
shall furnish to the Company such information regarding itself, the Registrable
Securities held by it, and the intended method of disposition of such securities
as shall be required to effect the registration of such Holder's Registrable
Securities. The Company shall have no obligation with respect to any
registration requested pursuant to Section 1.2 or Section 1.4 of this Agreement
if, as a result of the application of the preceding sentence, the number of
shares or the anticipated aggregate offering price of the Registrable Securities
to be included in the registration does not equal or exceed the number of shares
or the anticipated aggregate offering price required to originally trigger the
Company's obligation to initiate such registration as specified in Section 1.2
or Section 1.4, whichever is applicable.

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             1.7 EXPENSES OF REGISTRATION. All expenses other than underwriting
discounts and commissions incurred in connection with registrations, filings or
qualifications of Registrable Securities pursuant to this Section 1 for each
Holder, including, without limitation, all registration, filing, and
qualification fees, printers' and accounting fees, fees and disbursements of
counsel for the Company and the reasonable fees and disbursements of one counsel
for the selling Holder or Holders selected by them with the approval of the
Company, which approval shall not be unreasonably withheld, shall be borne by
the Company. The Company shall pay all expenses in connection with any
registration initiated pursuant to Section 1 which is withdrawn, delayed or
abandoned at the request of the Company or the Holders participating in such
registration, except if such withdrawal, delay or abandonment is caused by the
fraud, material misstatement or omission of a material fact by a Holder
participating in such registration, in which case, the Holder whose fraud,
material misstatement or omission of a material fact caused the withdrawal,
delay or abandonment of such registration statement shall pay all of the
foregoing expenses related to such registration statement.

             1.8 UNDERWRITING REQUIREMENTS. If the registration of which the
Company gives notice under Section 1.3 is for a registered public offering
involving an underwriting, then the Company shall so advise the Holders as part
of the written notice given pursuant to Section 1.3. In such event, the Company
shall not be required under Section 1.3 to include any of the Holders'
securities in such underwriting unless they accept the terms of the underwriting
as agreed upon between the Company and the underwriters selected by it (or by
other persons entitled to select the underwriters), and then only in such
quantity as the underwriters determine in their sole discretion will not
jeopardize the success of the offering by the Company. If the total amount of
securities, including Registrable Securities, requested by stockholders to be
included in such offering exceeds the amount of securities sold other than by
the Company that the underwriters determine in their sole discretion is
compatible with the success of the offering, then the Company shall be required
to include in the offering only that number of such securities, including
Registrable Securities, which the underwriters determine in their sole
discretion will not jeopardize the success of the offering (the securities so
included to be allocated, first, to the Company, second, pro rata among the
Holders requesting inclusion in such registration and, if the Holders were able
to sell all Registrable Securities that they desired to sell, third, pro rata
among the remaining selling stockholders according to the total amount of
securities entitled to be included therein owned by each selling stockholder or
in such other proportions as shall mutually be agreed to by such selling
stockholders). No such reduction shall reduce the amount of securities of the
selling Holders included in such registration below twenty percent (20%) of the
total amount of securities included in such registration, unless such offering
is the Company's Qualified IPO, in which event all of the Registrable Securities
of the Holders may be excluded in accordance with the preceding sentence. To
facilitate the allocation of shares in accordance with the above provisions, the
Company may round the number of shares allocated to any Holder or holder to the
nearest 100 shares. If the Holder or holder disapproves of the terms of any such
underwritten offering, such person may elect to withdraw therefrom by written
notice to the Company and the underwriters. Any securities excluded or withdrawn
from such underwritten offering shall be excluded and withdrawn from such
registration and, in the case of withdrawn shares, shall not be transferred in a
public distribution prior to 180 days after the effective date of the
registration statement relating thereto, or such shorter period of time as the
underwriters may require. For purposes of the preceding parenthetical concerning
apportionment, for any selling stockholder which is a holder of Registrable
Securities and which is a partnership

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or corporation, the partners, retired partners and stockholders of such holder,
or the estates and family members of any such partners and retired partners and
any trusts for the benefit of any of the foregoing persons shall be deemed to be
a single "selling stockholder," and any pro-rata reduction with respect to such
"selling stockholder" shall be based upon the aggregate amount of shares
carrying registration rights owned by all entities and individuals included in
such "selling stockholder," as defined in this sentence.

             1.9 DELAY OF REGISTRATION. No Holder shall have any right to obtain
or seek an injunction restraining or otherwise delaying any such registration as
the result of any controversy that might arise with respect to the
interpretation or implementation of this Section 1.

             1.10 INDEMNIFICATION. In the event any Registrable Securities are
included in a registration statement under this Section 1:

                  (a) The Company will indemnify and hold harmless each Holder,
any underwriter (as defined in the Securities Act) for such Holder, each of its
officers, directors, partners and members, and each person, if any, who controls
such Holder or underwriter within the meaning of the Securities Act or the
Exchange Act against any losses, claims, damages, or liabilities (joint or
several) to which they may become subject under the Securities Act, the Exchange
Act or other federal or state law, insofar as such losses, claims, damages, or
liabilities (or actions in respect thereof) arise out of or are based upon any
of the following statements, omissions or violations (collectively a
"Violation"): (i) any untrue statement or alleged untrue statement of a material
fact contained in such registration statement, including any preliminary
prospectus or final prospectus contained therein or any amendments or
supplements thereto, (ii) the omission or alleged omission to state therein a
material fact required to be stated therein, or necessary to make the statements
therein not misleading, or (iii) any violation or alleged violation by the
Company of the Securities Act, the Exchange Act, any state securities law or any
rule or regulation promulgated under the Securities Act, the Exchange Act or any
state securities law; and the Company will pay to each such Holder, underwriter
or controlling person, as incurred, any legal or other expenses reasonably
incurred by them in connection with investigating or defending any such loss,
claim, damage, liability, or action; provided, however, that the indemnity
agreement contained in this subsection 1.10(a) shall not apply to amounts paid
in settlement of any such loss, claim, damage, liability, or action if such
settlement is effected without the consent of the Company (which consent shall
not be unreasonably withheld), nor shall the Company be liable to any Holder,
underwriter or controlling person for any such loss, claim, damage, liability,
or action to the extent that it arises out of or is based upon a Violation which
occurs in reliance upon and in conformity with written information furnished
expressly for use in connection with such registration by any such Holder,
underwriter or controlling person.

                  (b) Each selling Holder will, if Registrable Securities held
by such Holder are included in the registration which is the subject of any
losses, claims, damages or liabilities arising out of or relating to a
Violation, indemnify and hold harmless the Company, each of its directors, each
of its officers who has signed the registration statement, each person, if any,
who controls the Company within the meaning of the Securities Act, any
underwriter, any other Holder selling securities in such registration statement
and any controlling person of any such underwriter or other Holder, against any
losses, claims, damages, or liabilities (joint or

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several) to which any of the foregoing persons may become subject, under the
Securities Act, the Exchange Act or other federal or state law, insofar as such
losses, claims, damages, or liabilities (or actions in respect thereto) arise
out of or are based upon such Violation, in each case to the extent (and only to
the extent) that such Violation occurs in reliance upon and in conformity with
written information furnished by such Holder expressly for use in connection
with such registration; and each such Holder will pay, as incurred, any legal or
other expenses reasonably incurred by any person indemnified pursuant to this
subsection 1.10(b), in connection with investigating or defending any such loss,
claim, damage, liability, or action; provided, however, that the indemnity
agreement contained in this subsection 1.10(b) shall not apply to amounts paid
in settlement of any such loss, claim, damage, liability or action if such
settlement is effected without the consent of the Holder, which consent shall
not be unreasonably withheld; provided, further, that in no event shall any
indemnity under this subsection 1.10(b) exceed the net proceeds from the
offering received by such Holder, except in the case of willful fraud by such
Holder.

                  (c) Promptly after receipt by an indemnified party under this
Section 1.10 of notice of the commencement of any action (including any
governmental action), such indemnified party will, if a claim in respect thereof
is to be made against any indemnifying party under this Section 1.10, deliver to
the indemnifying party a written notice of the commencement thereof and the
indemnifying party shall have the right to participate in and, to the extent the
indemnifying party so desires, jointly with any other indemnifying party
similarly noticed, to assume the defense thereof with counsel mutually
satisfactory to the parties; provided, however, that an indemnified party
(together with all other indemnified parties which may be represented without
conflict by one counsel) shall have the right to retain one separate counsel,
with the reasonable fees and expenses to be paid by the indemnifying party, if
representation of such indemnified party by the counsel retained by the
indemnifying party would be inappropriate due to actual or potential differing
interests between such indemnified party and any other party represented by such
counsel in such proceeding. The failure to deliver written notice to the
indemnifying party within a reasonable time of the commencement of any such
action, if materially prejudicial to its ability to defend such action, shall
relieve such indemnifying party of any liability to the indemnified party under
this Section 1.10, but the omission so to deliver written notice to the
indemnifying party will not relieve it of any liability that it may have to any
indemnified party otherwise than under this Section 1.10.

                  (d) If the indemnification provided for in this Section 1.10
is held by a court of competent jurisdiction to be unavailable to an indemnified
party with respect to any loss, liability, claim, damage or expense referred to
herein, then the indemnifying party, in lieu of indemnifying such indemnified
party hereunder, shall contribute to the amount paid or payable by such
indemnified party as a result of such loss, liability, claim, damage, or expense
in such proportion as is appropriate to reflect the relative fault of the
indemnifying party on the one hand and of the indemnified party on the other in
connection with the statements or omissions that resulted in such loss,
liability, claim, damage or expense as well as any other relevant equitable
considerations; provided, however, that in no event shall any contribution by a
Holder under this Subsection 1.10(d) exceed the net proceeds from the offering
received by such Holder, except in the case of willful fraud by such Holder. The
relative fault of the indemnifying party and of the indemnified party shall be
determined by reference to, among other things, whether the untrue or alleged
untrue statement of a material fact or the omission to state a material fact
relates to

                                       10
<PAGE>   13

information supplied by the indemnifying party or by the indemnified party and
the parties' relative intent, knowledge, access to information, and opportunity
to correct or prevent such statement or omission.

                  (e) Notwithstanding the foregoing, to the extent that the
provisions on indemnification and contribution contained in the underwriting
agreement entered into in connection with the underwritten public offering are
in conflict with the foregoing provisions, the provisions in the underwriting
agreement shall control.

                  (f) The obligations of the Company and the Holders under this
Section 1.10 shall survive the completion of any offering of Registrable
Securities in a registration statement under this Section 1, and otherwise.

             1.11 REPORTS UNDER SECURITIES EXCHANGE ACT OF 1934. With a view to
making available to the Holders the benefits of Rule 144 promulgated under the
Securities Act and any other rule or regulation of the SEC that may at any time
permit a Holder to sell securities of the Company to the public without
registration, the Company agrees to:

                  (a) make and keep public information available, as those terms
are understood and defined in SEC Rule 144, at all times after the effective
date of the first registration statement filed by the Company for the offering
of its securities;

                  (b) take such action, including the voluntary registration of
its Common Stock under Section 12 of the Exchange Act, as is necessary to enable
the Holders to utilize Form S-3 and any similar or successor forms for the sale
of their Registrable Securities;

                  (c) file with the SEC in a timely manner all reports and other
documents required of the Company under the Securities Act and the Exchange Act;
and

                  (d) furnish to any Holder, so long as the Holder owns any
Registrable Securities, forthwith upon request (i) a written statement by the
Company that it has complied with the reporting requirements of SEC Rule 144 (at
any time after ninety (90) days after the effective date of the first
registration statement filed by the Company), the Securities Act and the
Exchange Act (at any time after it has become subject to such reporting
requirements), or that it qualifies as a registrant whose securities may be
resold pursuant to Form S-3 (at any time after it so qualifies), (ii) a copy of
the most recent annual or quarterly report of the Company and such other reports
and documents so filed by the Company, and (iii) such other information as may
be reasonably requested in availing any Holder of any rule or regulation of the
SEC which permits the selling of any such securities without registration or
pursuant to such form.

             1.12 ASSIGNMENT OF REGISTRATION RIGHTS. The rights to cause the
Company to register Registrable Securities pursuant to this Section 1 may be
assigned (but only with all related obligations) by a Holder to an affiliate or
partner of such Holder or a transferee or assignee of at least 100,000 of such
Holder's Registrable Securities (or all of such Holder's Registrable Securities
if such Holder holds less than 100,000 Registrable Securities); provided,
however, the Company is, within a reasonable time after such transfer, furnished
with written notice of the name and address of such affiliate, partner,
transferee or assignee and the securities with respect to which such
registration rights are being assigned; and provided, further, that such

                                       11
<PAGE>   14

assignment shall be effective only if immediately following such transfer the
further disposition of such securities by the affiliate, partner, transferee or
assignee is restricted under the Securities Act. For the purposes of determining
the number of shares of Registrable Securities held by a transferee or assignee,
the holdings of transferees and assignees of a partnership who are partners or
retired partners of such partnership (including spouses and ancestors, lineal
descendants and siblings of such partners or spouses who acquire Registrable
Securities by gift, will or intestate succession) shall be aggregated together
and with the partnership; provided, however, that all assignees and transferees
who would not qualify individually for assignment of registration rights shall
have a single attorney-in-fact for the purpose of exercising any rights,
receiving notices or taking any action under Section 1.

             1.13 MARKET-STANDOFF AGREEMENT.

                  (a) MARKET-STANDOFF PERIOD; AGREEMENT. In connection with a
Qualified IPO and upon request of the Company or the underwriters managing such
offering of the Company's securities (the "Managing Underwriters"), each Holder
agrees not to sell, make any short sale of, loan, grant any option for the
purchase of, or otherwise dispose of any securities of the Company (other than
those included in the registration) without the prior written consent of the
Company or the Managing Underwriters, as the case may be, for such period of
time (not to exceed 180 days) from the effective date of such registration as
may be requested by the Company or the Managing Underwriters and to execute an
agreement reflecting the foregoing as may be requested by the Managing
Underwriters at the time of the Company's Qualified IPO initial public offering.
In addition, the Holder agrees to be bound by similar restrictions, and to sign
a similar agreement, in connection with no more than one additional registration
statement filed within twelve months after the closing date of the initial
public offering; provided, however, that the duration of the market-standoff
period with respect to such additional registration shall not exceed 90 days
from the effective date of such additional registration statement.

                  (b) LIMITATIONS. The obligations described in Section 1.13(a)
shall apply only if all executive officers, directors and five percent (5%)
stockholders of the Company enter into similar agreements.

                  (c) STOP-TRANSFER INSTRUCTIONS. In order to enforce the
foregoing covenants, the Company may impose stop-transfer instructions with
respect to the securities of each Holder (and the securities of every other
person subject to the restrictions in Section 1.13(a)).

                  (d) TRANSFEREES BOUND. Each Holder agrees that it will not
transfer Registrable Securities of the Company unless each transferee agrees in
writing to be bound by all of the provisions of this Section 1.13.

             1.14 TERMINATION OF REGISTRATION RIGHTS. No Holder shall be
entitled to exercise any right provided for in this Section 1 if Rule 144 or
another similar exemption under the Securities Act is available for the sale of
all of such Holder's shares during a three (3) month period without registration
and without compliance with the manner of sale restrictions of Rule 144(f).

                                       12
<PAGE>   15

             1.15 INVESTOR ACTS. Whenever under this Section 1 the Holders are
registering Registrable Securities pursuant to any registration statement, the
Holder agrees to (i) timely provide to the Company, at its request, such
information and materials as it may reasonably request in order to effect the
registration of such Registrable Securities and (ii) convert all shares of
Preferred Stock, Class B Common Stock and Class C Common Stock included in any
registration statement to shares of Common Stock, such conversion to be
effective at the closing of such offering pursuant to such registration
statement.

        2. COVENANTS OF THE COMPANY.

             2.1 CANADIAN SECURITIES FILINGS. Whenever required under Section
1.2 or Section 1.3 to effect the registration of any Registrable Securities or
otherwise whenever the Company undertakes any public offering of its securities,
the Company shall, as soon as reasonably practicable after the filing of any
registration statement, prepare and file in British Columbia, Canada a
preliminary and final prospectus in accordance with the Securities Act (British
Columbia), as amended, to do all things reasonably necessary or desirable as and
when required by law to obtain a receipt therefor from the British Columbia
Securities Commission in order to obtain reporting issuer status in British
Columbia.

             2.2 DELIVERY OF FINANCIAL STATEMENTS. The Company shall deliver to
each Holder of at least 100,000 shares of Registrable Securities (other than a
Holder reasonably deemed by the Company to be a competitor of the Company, which
for this purpose shall not include any of the initial Holders who are
signatories to this Agreement or affiliates of such initial Holders):

                  (a) as soon as practicable, but in any event within ninety
(90) days after the end of each fiscal year of the Company, an income statement
for such fiscal year, a balance sheet of the Company and statement of
stockholder's equity as of the end of such year, and a statement of cash flows
for such year, such year-end financial reports to be in reasonable detail,
prepared in accordance with generally accepted accounting principles ("GAAP"),
and audited and certified by an independent public accounting firm of nationally
recognized standing selected by the Company;

                  (b) as soon as practicable, but in any event within thirty
(30) days after the end of each of the first three (3) quarters of each fiscal
year of the Company, an unaudited profit or loss statement, a statement of cash
flows for such fiscal quarter and an unaudited balance sheet as of the end of
such fiscal quarter;

                  (c) as soon as practicable, but in any event thirty (30) days
prior to the end of each fiscal year, a budget and business plan for the next
fiscal year, prepared on a monthly basis, and, as soon as prepared, any other
budgets or revised budgets prepared by the Company as well as financial and
operating statements compared to such budget; and

                  (d) with respect to the financial statements called for in
subsections (b) and (c) of this Section 2.2, an instrument executed by the Chief
Financial Officer or President of the Company and certifying that such
financials were prepared in accordance with GAAP consistently applied with prior
practice for earlier periods (with the exception of footnotes that

                                       13
<PAGE>   16

may be required by GAAP) and fairly present the financial condition of the
Company and its results of operation for the period specified, subject to
year-end audit adjustment, provided that the foregoing shall not restrict the
right of the Company to change its accounting principles consistent with GAAP,
if the Board of Directors determines that it is in the best interest of the
Company to do so and such change is approved in writing by the Company's
independent public accountants.

             2.3 INSPECTION. The Company shall permit each Holder of at least
100,000 shares of Registrable Securities (except for a Holder reasonably deemed
by the Company to be a competitor of the Company, which for this purpose shall
not include any of the initial Holders who are signatories to this Agreement or
affiliates of such initial Holders), at such Holder's expense, to visit and
inspect the Company's properties, to examine its books of account and records
and to discuss the Company's affairs, finances and accounts with its officers,
all at such reasonable times as may be requested by the Holder; provided,
however, that any Holder or employee, agent or representative of such Holder, as
the case may be, agrees to hold all information confidential on the terms set
forth in Section 3.9 hereof; provided, further, that the Company shall not be
obligated pursuant to this Section 2.3 to provide access to (a) any information
which it reasonably considers to be a trade secret or similar confidential
information, or (b) any information which it deems in good faith would adversely
affect the attorney-client privilege.

             2.4 TERMINATION OF COVENANTS.

                  (a) The covenants set forth in Sections 2.2 and Section 2.3
shall terminate as to each Holder and be of no further force or effect
immediately prior to the consummation of a Qualified IPO.

                  (b) The covenants set forth in Sections 2.2 and 2.3 shall
terminate as to each Holder and be of no further force or effect when the
Company first becomes subject to the periodic reporting requirements of Sections
13 or 15(d) of the Exchange Act, if this occurs earlier than the events
described in Section 2.4(a) above.

             2.5 LIMITATIONS ON SUBSEQUENT REGISTRATION RIGHTS. From and after
the date of this Agreement, the Company shall not, without the prior written
consent of (a) holders of at least a majority of the then outstanding shares of
Series B Preferred Stock, (b) holders of at least a majority of the then
outstanding shares of Series C Preferred Stock and Series C-1 Preferred Stock,
voting together as a single class, and (c) holders of at least a majority of the
then outstanding shares of Series D Preferred Stock, enter into any agreement
with any holder or prospective holder of any securities of the Company that
would allow such holder or prospective holder (a) to include such securities in
any registration filed under this Agreement, unless under the terms of such
agreement, such holder or prospective holder may include such securities in any
such registration only to the extent that the inclusion of his securities will
not reduce the amount of Registrable Securities of the Holders which is included
or would materially affect the marketability of the offering as determined by
the managing underwriter or (b) to have registration rights superior to or
otherwise more favorable than, or which limit in any material respect, the
registration rights of the Holders set forth in this Agreement.

                                       14
<PAGE>   17

        3. MISCELLANEOUS.

             3.1 SUCCESSORS AND ASSIGNS. Except as otherwise provided in this
Agreement, the terms and conditions of this Agreement shall inure to the benefit
of and be binding upon the respective permitted successors and assigns of the
parties (including permitted transferees of any of the Holders). Nothing in this
Agreement, express or implied, is intended to confer upon any party other than
the parties hereto or their respective successors and assigns any rights,
remedies, obligations, or liabilities under or by reason of this Agreement,
except as expressly provided in this Agreement.

             3.2 AMENDMENTS AND WAIVERS. Any term of this Agreement may be
amended or waived only with the written consent of (a) the Company, (b) the
holders of a majority of the then outstanding shares of Series B Preferred
Stock, (c) the holders of a majority of the then outstanding shares of Series C
Preferred Stock and Series C-1 Preferred Stock, voting together as a single
class, and (d) the holders of a majority of the then outstanding shares of
Series D Preferred Stock. Any amendment or waiver effected in accordance with
this Section 3.2 shall be binding upon each party to the Agreement, whether or
not such party has signed such amendment or waiver, each future holder of all
such Registrable Securities, and the Company.

             3.3 NOTICES. Unless otherwise provided, any notice required or
permitted by this Agreement shall be in writing and shall be deemed sufficient
upon delivery, when delivered personally or by overnight courier or sent by
telegram or fax, or five (5) days after being deposited in the U.S. mail, as
certified or registered mail, with postage prepaid, and addressed to the party
to be notified at such party's address or fax number as set forth on the
signature page hereto with respect to notices to the Company or the exhibits
hereto with respect to notices to the Holders or, in each case, as subsequently
modified by written notice.

             3.4 SEVERABILITY. If one or more provisions of this Agreement are
held to be unenforceable under applicable law, the parties agree to renegotiate
such provision in good faith. In the event that the parties cannot reach a
mutually agreeable and enforceable replacement for such provision, then (a) such
provision shall be excluded from this Agreement, (b) the balance of the
Agreement shall be interpreted as if such provision were so excluded and (c) the
balance of the Agreement shall be enforceable in accordance with its terms.

             3.5 GOVERNING LAW. This Agreement and all acts and transactions
pursuant hereto shall be governed, construed and interpreted in accordance with
the laws of the State of Delaware, without giving effect to principles of
conflicts of laws.

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

             3.7 TITLES AND SUBTITLES. The titles and subtitles used in this
Agreement are used for convenience only and are not to be considered in
construing or interpreting this Agreement.

                                       15
<PAGE>   18

             3.8 AGGREGATION OF STOCK. All shares of Registrable Securities held
or acquired by affiliated entities or persons shall be aggregated together for
the purpose of determining the availability of any rights under this Agreement.

             3.9 CONFIDENTIALITY. Each Holder agrees that it will keep
confidential and will not disclose or divulge any confidential, proprietary,
secret or non-public information which such Holder may obtain from the Company
pursuant to financial statements, reports and other materials submitted by the
Company to such Holder pursuant to this Agreement, or pursuant to visitation or
inspection rights granted hereunder, unless such information is known, or until
such information becomes known, to the public; provided, however, that an Holder
may disclose such information (i) on a confidential basis to its attorneys,
accountants, consultants and other professionals to the extent necessary to
obtain their services in connection with its investment in the Company, (ii) to
any prospective purchaser of any Registrable Securities from such Holder as long
as such prospective purchaser agrees in writing to be bound by the provisions of
this Section 3.9, (iii) on a confidential basis to any affiliate or partner of
such Holder or (iv) as required by applicable law.

             3.10 EXPENSES. If any action at law or in equity is necessary to
enforce the terms of this Agreement, the prevailing party shall be entitled to
reasonable attorneys' fees, costs and necessary disbursements in addition to any
other relief to which such party may be entitled.

             3.11 STOCK SPLITS. All references to numbers of shares in this
Agreement shall be appropriately adjusted to reflect any stock divided, split,
combination or other recapitalization of shares by the Company occurring after
the date of this Agreement.

             3.12 FUTURE CHANGES IN REGISTRATION REQUIREMENTS. In the event the
registration requirements under the Securities Act are eliminated to accommodate
a "company registration" or similar approach, this Agreement shall be deemed to
be amended to the extent necessary to reflect such changes and the intent of the
parties hereto with respect to the benefits and obligations of the parties, and
in such connection, the Company shall use reasonable efforts to provide the
Holders, pursuant to Section 1.3, of Registrable Securities equivalent benefits
to those provided under this Agreement.

             3.13 ENTIRE AGREEMENT. This Agreement and the other Transaction
Documents (as defined in the Purchase Agreement) constitute the entire agreement
between the Company and the Investors relative to the subject matter hereof and
thereof. Any previous agreement or negotiations between the Company and the
Investors concerning the subject matter hereof is superseded by this Agreement
and the Transaction Documents except for any agreements relating to
confidentiality.

             3.14 FURTHER ASSURANCES. Each party hereto agrees to execute and
deliver all such further instruments and documents and take all such other
actions as another party may reasonably request in order to carry out the intent
and purposes of this Agreement.

             3.15 INJUNCTIVE RELIEF. Each of the parties hereto hereby
acknowledges that in the event of a breach by any of them of any material
provision of this Agreement, the aggrieved party may be without an adequate
remedy at law. Each of the parties therefore agrees that, except

                                       16
<PAGE>   19

as otherwise provided in Section 1.9, in the event of a breach of any material
provision of this Agreement the aggrieved party may elect to institute and
prosecute proceedings in any court of competent jurisdiction to enforce specific
performance or to enjoin continuing breach of such provision, as well as to
obtain damages for breach of this Agreement. By seeking or obtaining such
relief, the aggrieved party will not he precluded from seeking or obtaining any
other relief to which it may be entitled.

                            [Signature Pages Follow]

                                       17
<PAGE>   20

        The parties have executed this Second Amended and Restated Investors'
Rights Agreement as of the date first above written.

                                       COMPANY:

                                       PRINTCAFE, INC.

                                       By:
                                          ------------------------------------
                                       Name:
                                       Title:

                                       Address:   40 24th Street, 5th Floor
                                                  Pittsburgh, PA  15222
                                                  Attn: President
                                                  Fax: (412) 456-1151

                 [SIGNATURE PAGE TO INVESTORS' RIGHTS AGREEMENT]

<PAGE>   21

                                       CREO SRL

                                       By:
                                          ------------------------------------
                                          Christopher Towner, President

                                       ---------------------------------------
                                       Towner International Services SRL,
                                       Secretary, by its authorized signatory

                 [SIGNATURE PAGE TO INVESTORS' RIGHTS AGREEMENT]

<PAGE>   22

                                       SERIES C INVESTORS:

                                       MELLON VENTURES II, L.P.
                                       By its general partner
                                       MVMA II L.P.

                                       By its general partner MVMA
                                       Inc.

                                       By:
                                          ------------------------------------
                                          Ryan Busch, Senior Associate

                                       KEY PRINCIPAL PARTNERS LLC

                                       By:
                                          ------------------------------------
                                          John Sinnenberg, President

                                       BANCBOSTON CAPITAL INC.

                                       By:
                                          ------------------------------------
                                          Jason Hurd, Vice President

                                       ORRICK, HERRINGTON & SUTCLIFFE LLP

                                       By:
                                          ------------------------------------
                                       Name:
                                       Title:

                                       MENLO VENTURES VII, L.P.
                                       By: MV MANAGEMENT VII, L.L.C.,
                                       its General Partner

                                       By:
                                          ------------------------------------
                                       Its Managing Member

                 [SIGNATURE PAGE TO INVESTORS' RIGHTS AGREEMENT]

<PAGE>   23

                                       MENLO ENTREPRENEURS FUND VII, L.P.
                                       By: MV MANAGEMENT VII, L.L.C.,
                                       its General Partner

                                       By:
                                          ------------------------------------
                                       Its Managing Member

                                       OLYMPIC VENTURE PARTNERS III, L.P.
                                       By: OVMC III, L.P.,
                                       its General Partner

                                       By:
                                          ------------------------------------
                                       Name:
                                       Title:

                                       OVP III ENTREPRENEURS FUND
                                       By OVMC III, L.P.,
                                       its General Partner

                                       By:
                                          ------------------------------------
                                       Name:
                                       Title:

                                       ---------------------------------------
                                                     Iain Mickle

                                       ---------------------------------------
                                                     Gary Herrmann

                 [SIGNATURE PAGE TO INVESTORS' RIGHTS AGREEMENT]

<PAGE>   24

                                       SERIES D INVESTORS:

                                       MELLON VENTURES II, L.P.
                                       By its general partner
                                       MVMA II L.P.

                                       By its general partner MVMA
                                       Inc.

                                       By:
                                          ------------------------------------
                                             Ryan Busch, Senior Associate

                 [SIGNATURE PAGE TO INVESTORS' RIGHTS AGREEMENT]

<PAGE>   25

                                       COMMON STOCK INVESTORS:

                                       ------------------------------------
                                       Name:
                                       Title:

                                       CREO SRL

                                       By:
                                          ------------------------------------
                                       Christopher Towner, President

                                       ---------------------------------------
                                       Towner International Services SRL,
                                       Secretary, by its authorized signatory

                 [SIGNATURE PAGE TO INVESTORS' RIGHTS AGREEMENT]

<PAGE>   26

                                    EXHIBIT A

                                SERIES B INVESTOR

         NAME/ADDRESS/FAX NO.          NO. OF SHARES OF SERIES B PREFERRED STOCK

         Creo SRL
         2nd Street                                  31,186,312
         Barbados

                                      A-1
<PAGE>   27

                                    EXHIBIT B

                               SERIES C INVESTORS

<TABLE>
<CAPTION>
                                                                 NO. OF SHARES
                                NO. OF SHARES OF SERIES C        OF SERIES C-1
    NAME/ADDRESS/FAX NO.             PREFERRED STOCK            PREFERRED STOCK
    --------------------             ---------------            ---------------
<S>                             <C>                             <C>
  BancBoston Capital Inc.
  Attn: Jason H. Hurd                      172,413
  175 Federal Street, 10th Floor
  Boston, MA  02110
  Fax: (617) 434-1153

  Gary Herrmann
  c/o Orrick, Herrington & Sutcliffe LLP       862
  Old Federal Reserve Bank Building
  400 Sansome Street
  San Francisco, CA  94111-3143
  Fax: (415) 773-5759

  Key Principal Partners LLC
  Attn: Bill Blake                         344,827
  127 Public Square, 2nd Floor
  Cleveland, OH  44114
  Fax: (216) 689-4121

  Mellon Ventures II, L.P.
  c/o Mellon Ventures, Inc.              1,143,103                   150,000
  Attn:  Ryan Busch
  One Mellon Center, Suite 5300
  Pittsburgh, PA  15258-0001
  Fax: (412) 236-3593

  Menlo Ventures VII, L.P.
  Attn: Doug Carlisle                       55,776
  3000 Sand Hill Road M
  Building 4 Suite 100
  Menlo Park, CA  94026
  Fax: (650) 854-8540

  Menlo Entrepreneurs Fund VII, L.P.
  Attn: Doug Carlisle                        2,474
  3000 Sand Hill Road M
  Building 4 Suite 100
  Menlo Park, CA  94026
  Fax: (650) 854-8540
</TABLE>

                                      B-1

<PAGE>   28

<TABLE>
<CAPTION>
                                                                               NO. OF SHARES
                                              NO. OF SHARES OF SERIES C        OF SERIES C-1
    NAME/ADDRESS/FAX NO.                           PREFERRED STOCK            PREFERRED STOCK
    --------------------                           ---------------            ---------------
<S>                                           <C>                             <C>
  Iain Mickle
  c/o Orrick, Herrington & Sutcliffe LLP                     862
  400 Capitol Mall, Suite 3000
  Sacramento, CA  95814
  Fax: (916) 329-4900

  Olympic Venture Partners III, L.P.
  Attn: George Clute                                      30,338
  2420 Carillon Point
  Kirkland, WA  98033
  Fax: (425) 889-0153

  OVP III Entrepreneurs Fund
  Attn: George Clute                                       1,427
  2420 Carillon Point
  Kirkland, WA  98033
  Fax: (425) 889-0153

  Orrick, Herrington & Sutcliffe LLP
  Old Federal Reserve Bank Building                       13,000
  400 Sansome Street
  San Francisco, CA  94111-3143
  Fax: (415) 773-5759

        TOTAL                                          1,765,082                   150,000
</TABLE>

                                      B-2
<PAGE>   29

                                    EXHIBIT C

                               SERIES D INVESTORS

<TABLE>
<CAPTION>
                                                                 NO. OF SHARES
                                NO. OF SHARES OF SERIES D        OF SERIES D-1
    NAME/ADDRESS/FAX NO.             PREFERRED STOCK            PREFERRED STOCK
    --------------------             ---------------            ---------------
<S>                             <C>                             <C>
 Mellon Ventures II, L.P.                   58,125                   225,000
 c/o Mellon Ventures, Inc.
 Attn:  Ryan Busch
 One Mellon Center, Suite 5300
 Pittsburgh, PA  15258-0001
 Fax: (412) 236-3593
</TABLE>

                                      C-1
<PAGE>   30

                                    EXHIBIT D

                             COMMON STOCK INVESTORS

<TABLE>
<CAPTION>
                                NO. OF SHARES                 NO. OF SHARES
   NAME/ADDRESS/TAX NO.     OF CLASS A COMMON STOCK      OF CLASS C COMMON STOCK
   --------------------     -----------------------      -----------------------
<S>                         <C>                          <C>
 Efi Gildor                           101,925
 163 John Street
 Greenwich, CT  06831

 Nicholas C. Rigopulos                  8,493
 41 Commonwealth Avenue, #4
 Boston, MA  02116

 Iphigonia M. Rigopulos                 2,831
 47 Woodbury Road
 Watertown, CT  06795

 Creo SRL                                                        1,132,502
 2nd Street
 Barbados
 Kevin Cook                               566
 Eric Satz                                566
 Eric Woodward                          2,831
 Michael Ogborne                        2,831
 Greg Ager                              1,132
 Randhir Sethi                          2,831
 Brad Gevurtz                           3,963
 Ken Hirsch                             5,662
 Jeff Fehn                              1,698
 Charles Clarke                         8,493
 Charlie Grisi                         28,312
 Laurel Advisors                       22,650
 Rob McCreary                           5,662
 Doug Holmes                           11,325
 Bob Shepherd                           5,662
 JD Sullivan                            5,622
 Mark Schafir                           2,831
</TABLE><PAGE>   1
                                                                    EXHIBIT 10.9

                                 PRINTCAFE, INC.

               SERIES D AND D-1 PREFERRED STOCK PURCHASE AGREEMENT

                                  MARCH 8, 2000

<PAGE>   2

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                               Page
                                                                                               ----
<S>                                                                                            <C>
1.    Purchase and Sale of Preferred Stock.................................................       1
      1.1    Sale and Issuance of Series D Preferred Stock.................................       1
      1.2    Closing; Delivery.............................................................       1

2.    Representations and Warranties of the Company........................................       1
      2.1    Organization, Good Standing and Qualification.................................       2
      2.2    Capitalization................................................................       2
      2.3    Rights of Registration and Voting Rights......................................       3
      2.4    Subsidiaries; Joint Ventures..................................................       3
      2.5    Authorization.................................................................       4
      2.6    Valid Issuance of Securities..................................................       4
      2.7    Governmental Consents.........................................................       4
      2.8    Litigation....................................................................       5
      2.9    Intellectual Property.........................................................       5
      2.10   Confidential Information and Invention Assignment Agreements..................       5
      2.11   Compliance with Other Instruments.............................................       6
      2.12   Agreements; Action............................................................       6
      2.13   No Conflict of Interest.......................................................       7
      2.14   Title to Property and Assets..................................................       7
      2.15   Financial Statements..........................................................       7
      2.16   Changes.......................................................................       8
      2.17   Distributions.................................................................       9
      2.18   Tax Returns and Payments......................................................       9
      2.19   Insurance.....................................................................       9
      2.20   Employee Benefit Plans........................................................       9
      2.21   Labor Agreements and Actions..................................................       9
      2.22   Compliance with Environmental Requirements....................................      10
      2.23   Permits.......................................................................      10
      2.24   Private Offering..............................................................      10
      2.25   Brokers and Finders...........................................................      10
      2.26   Certificate of Incorporation..................................................      11
      2.27   Bylaws........................................................................      11
      2.28   Disclosure....................................................................      11
      2.29   Compliance with Other Laws....................................................      11
      2.30   Year 2000 Compliance..........................................................      11

3.    Interpretation.......................................................................      11

4.    Representations and Warranties of the Purchasers.....................................      12
      4.1    Authorization.................................................................      12
</TABLE>

                                       2
<PAGE>   3

<TABLE>
<S>                                                                                              <C>
      4.2    Purchase Entirely for Own Account.............................................      12
      4.3    Disclosure of Information.....................................................      12
      4.4    Restricted Securities.........................................................      12
      4.5    No Public Market..............................................................      13
      4.6    Legends.......................................................................      13
      4.7    Accredited Investor...........................................................      13
      4.8    Foreign Investors.............................................................      13

5.    Covenants of the Company.............................................................      14
      5.1    Compliance....................................................................      14
      5.2    Performance...................................................................      14
      5.3    Books and Records.............................................................      14
      5.4    Renewals and Good Standing....................................................      14
      5.5    Principle Business............................................................      14
      5.6    Proprietary Information and Assignment Agreement..............................      14
      5.7    Stock Options.................................................................      14
      5.8    Securities Filings............................................................      15
      5.9    Investment of Funds...........................................................      15
      5.10   Directors' and Officers' Insurance............................................      15
      5.11   Survival of Company's Covenants...............................................      15

6.    Conditions of the Purchasers' Obligations at the Closing.............................      15
      6.1    Representations and Warranties................................................      15
      6.2    Performance...................................................................      15
      6.3    Compliance Certificate........................................................      15
      6.4    Qualifications................................................................      15
      6.5    Written Consents..............................................................      15
      6.6    Stock Certificates............................................................      16
      6.7    Restated Certificate..........................................................      16
      6.8    Restated Investors' Rights Agreement..........................................      16
      6.9    Restated Co-Sale Agreement....................................................      16
      6.10   Restated Voting Agreement.....................................................      16
      6.11   Confidential Information and Invention Assignment Agreement...................      16
      6.12   No Material Adverse Change....................................................      16
      6.13   Company Legal Opinions........................................................      17
      6.14   No Litigation.................................................................      17
      6.15   Proceedings and Documents.....................................................      17
      6.16   Closing of Common Stock Financing.............................................      17
      6.17   Closing Documents.............................................................      17
      6.18   General.......................................................................      18

7.    Conditions of the Company's Obligations at the Closing...............................      18
      7.1    Representations and Warranties................................................      18
</TABLE>

                                       3
<PAGE>   4

<TABLE>
<S>                                                                                              <C>
      7.2    Performance...................................................................      18
      7.3    Qualifications................................................................      18

8.    Miscellaneous........................................................................      18
      8.1    Survival of Warranties........................................................      18
      8.2    Entire Agreement..............................................................      18
      8.3    Transfer; Successors and Assigns..............................................      18
      8.4    Governing Law.................................................................      19
      8.5    Counterparts..................................................................      19
      8.6    Titles and Subtitles..........................................................      19
      8.7    Notices.......................................................................      19
      8.8    Finder's Fee..................................................................      19
      8.9    Attorney's Fees...............................................................      19
      8.10   Amendments and Waivers of Agreement...........................................      19
      8.11   Severability..................................................................      20
      8.12   Delays or Omissions...........................................................      20
      8.13   Confidentiality...............................................................      20
      8.14   Exculpation Among Purchasers..................................................      20
      8.15   Indemnification...............................................................      21
      8.16   Press Release.................................................................      21
      8.17   Use of Proceeds...............................................................      21

</TABLE>

                                       4
<PAGE>   5

                                 PRINTCAFE, INC.

               SERIES D AND D-1 PREFERRED STOCK PURCHASE AGREEMENT

        This Series D and D1 Preferred Stock Purchase Agreement (this
"Agreement") is made as of March 8, 2000 by and among printCafe, Inc., a
Delaware corporation (the "Company"), and the investors listed on Exhibit A
attached hereto (each a "Purchaser" and together the "Purchasers").

        In consideration of the mutual promises, covenants and conditions
hereinafter set forth, the parties hereto hereby agree as follows:

        1. PURCHASE AND SALE OF PREFERRED STOCK.

             1.1 SALE AND ISSUANCE OF SERIES D PREFERRED STOCK.

                  (a) The Company shall adopt and file with the Secretary of
State of the State of Delaware on or before the Closing (as defined in Section
1.2(a) below) the Fourth Amended and Restated Certificate of Incorporation in
the form attached hereto as Exhibit B (the "Restated Certificate").

                  (b) Subject to the terms and conditions of this Agreement,
each Purchaser agrees to purchase at the Closing, and the Company agrees to sell
and issue to each Purchaser at the Closing, that number of shares of the
Company's Series D Preferred Stock and/or Series D-1 Preferred Stock, $0.0001
par value per share, set forth opposite each such Purchaser's name on Exhibit A
attached hereto at a purchase price of $8.83 per share. The shares of Series D
Preferred Stock and Series D-1 Preferred Stock issued to the Purchasers pursuant
to this Agreement shall be hereinafter referred to as the "Stock."

             1.2 CLOSING; DELIVERY.

                  (a) The purchase and sale of the Stock shall take place at the
executive offices of the Company, at 10:00 a.m., on March 9, 2000, or at such
other time and place as the Company and the Purchasers mutually agree upon,
orally or in writing (which time and place are designated as the "Closing").

                  (b) At the Closing, the Company shall deliver to each
Purchaser a certificate representing the Stock being purchased by such Purchaser
against payment of the purchase price therefor by check payable to the Company
or by wire transfer to the Company's bank account.

        2. REPRESENTATIONS AND WARRANTIES OF THE COMPANY. The Company hereby
represents and warrants to each Purchaser that (acknowledging that each
Purchaser is relying on the representations and warranties set forth in this
Section 2 in connection with the purchase of the Stock by such Purchaser),
except as set forth on the Schedule of Exceptions attached hereto as Exhibit C:

                                       5
<PAGE>   6

             2.1 ORGANIZATION, GOOD STANDING AND QUALIFICATION. The Company is a
corporation duly organized, validly existing and in good standing under the laws
of the State of Delaware and has all requisite corporate power and authority to
carry on its business. The Company is duly qualified as a foreign corporation or
is otherwise duly qualified to transact business and is in good standing in each
jurisdiction in which the failure so to qualify would, either individually or in
the aggregate, have a material adverse effect on its business or properties.

             2.2 CAPITALIZATION. Immediately prior to the Closing, the
authorized capital of the Company shall consist of:

                  (a) 46,940,082 shares of Preferred Stock, of which (i)
2,500,000 shares have been designated Series A Preferred Stock, 2,455,798 of
which will be issued and outstanding immediately prior to the Closing, (ii)
10,250,000 shares have been designated Series A-1 Preferred Stock, 9,534,148 of
which will be issued and outstanding immediately prior to the Closing, (iii)
31,250,000 have been designated Series B Preferred Stock, 31,186,312 of which
will be issued and outstanding immediately prior to the Closing, (iv) 2,015,082
have been designated Series C Preferred Stock, 1,765,082 of which will be issued
and outstanding immediately prior to the Closing, (v) 150,000 have been
designated Series C-1 Preferred Stock, all of which will be issued and
outstanding immediately prior to the Closing, (vi) 325,000 shares of Series D
Preferred Stock, none of which will be issued and outstanding immediately prior
to the Closing, and (vii) 550,000 shares of Series D-1 Preferred Stock, none of
which will be issued and outstanding immediately prior to the Closing. The
rights, privileges and preferences of the Preferred Stock are as stated in the
Restated Certificate. All of the outstanding shares of Preferred Stock have been
duly authorized, fully paid and nonassessable and issued in compliance with all
applicable federal and state securities laws.

                  (b) 150,000,000 shares of Common Stock, of which (i)
118,750,000 have been designated Class A Common Stock, 5,886,656 of which are
issued and outstanding immediately prior to the Closing, (ii) 31,250,000 have
been designated Class B Common Stock, none of which are issued and outstanding
immediately prior to the Closing and (iii) 1,150,000 have been designated Class
C Common Stock, none of which will be issued and outstanding prior to the
Closing. All of the outstanding shares of Common Stock have been duly
authorized, fully paid and are nonassessable and issued in compliance with all
applicable federal and state securities laws. Simultaneous with the Closing, the
Company will issue 225,916 shares of its Class A Common Stock and 1,132,502
shares of its Class C Common Stock pursuant to the Common Stock Purchase
Agreement (as defined in Section 6.16).

                  (c) The Company has reserved 382,215 shares of Class A Common
Stock and 516,976 shares of Series A-1 Preferred Stock (collectively, "Option
Stock") for issuance to officers, directors, employees and consultants of the
Company pursuant to its 1999 Revised Stock Plan duly adopted by the Board of
Directors and approved by the Company's stockholders (the "1999 Revised Stock
Plan"), and the Company has reserved 10,000,000 shares of Common Stock for
issuance to officers, directors, employees and consultants of the Company

                                       6
<PAGE>   7

pursuant to its 2000 Incentive Stock Plan duly adopted by the Board of Directors
and approved by the Company's stockholders (the "2000 Incentive Stock Plan" and,
together with the 1999 Revised Stock Plan, the "Stock Plans"). Of such reserved
shares of Option Stock under the 1999 Revised Stock Plan, no shares have been
issued pursuant to restricted stock purchase agreements, options to purchase
382,215 shares of Common Stock and 516,976 shares of Series A-1 Preferred Stock
have been granted and are currently outstanding, and no shares of Common Stock
remain available for issuance to officers, directors, employees and consultants
pursuant to the 1999 Revised Stock Plan. Of such reserved shares of Common Stock
under the 2000 Incentive Stock Plan, no shares have been issued pursuant to
restricted stock purchase agreements, options to purchase 1,096,169 shares of
Common Stock have been granted and are currently outstanding, and 8,903,831
shares of Common Stock remain available for issuance to officers, directors,
employees and consultants pursuant to the 2000 Incentive Stock Plan.

                  (d) Except for outstanding options issued pursuant to the
Stock Plans and the warrants listed in Section 2.2 of the Schedule of
Exceptions, there are no outstanding options, warrants, rights (including
conversion or preemptive rights and rights of first refusal or similar rights)
or agreements, orally or in writing, for the purchase or acquisition from the
Company of any shares of its capital stock.

                  (e) The issuance of Series B Preferred Stock to Creo SRL
pursuant to that certain Series B Preferred Stock Purchase Agreement dated
February 15, 2000 did not constitute a dilutive issuance with respect to the
Company's Series A and A-1 Preferred Stock under or pursuant to the terms of
Article VI(B)(4) of the Company's Certificate of Incorporation as then in
effect. As of the date hereof, Creo SRL has not exercised the Series B Preferred
Stock Voting Conversion Right (as defined in the Restated Certificate).

             2.3 RIGHTS OF REGISTRATION AND VOTING RIGHTS. Except as
contemplated in the Second Amended and Restated Investors' Rights Agreement, in
the form attached hereto as Exhibit D (the "Restated Investors' Rights
Agreement"), the Company has not granted or agreed to grant any registration
rights, including piggyback registration rights, to any person or entity. To the
Company's knowledge, except as contemplated in the Second Amended and Restated
Voting Agreement, in the form attached hereto as Exhibit E (the "Restated Voting
Agreement"), no stockholder of the Company has entered into any agreements with
respect to the voting of capital stock of the Company. Except as contemplated by
the Restated Certificate, the Restated Voting Agreement and the Second Amended
and Restated Right of First Refusal and Co-Sale Agreement, in the form attached
hereto as Exhibit F (the "Restated Co-Sale Agreement"), there are no
stockholders agreements, pledge agreements, buy-sell arrangements, rights of
first refusal or proxies related to any securities of the Company to which the
Company is subject or a party or to which, to the Company's knowledge, any
stockholder, officer, director or affiliate of the Company is a party or
subject.

             2.4 SUBSIDIARIES; JOINT VENTURES. The Company does not currently
own or control, directly or indirectly, any interest in any other corporation,
association, or other business entity other than the subsidiaries set forth on
Schedule 2.4 of the Schedule of Exceptions (the

                                       7
<PAGE>   8

"Subsidiaries"). The Company is not a participant in any joint venture,
partnership or similar arrangement.

             2.5 AUTHORIZATION. All corporate action on the part of the Company,
its officers, directors and stockholders necessary for the authorization,
execution and delivery of this Agreement, the Restated Investors' Rights
Agreement, the Restated Voting Agreement and the Restated Co-Sale Agreement
(collectively, the "Transaction Documents"), the performance of all obligations
of the Company hereunder and thereunder and the authorization, issuance and
delivery of the Stock and the Common Stock issuable upon conversion of the Stock
(together, the "Securities") has been taken or will be taken prior to the
Closing, and the Transaction Documents, when executed and delivered by the
Company, shall constitute valid and legally binding obligations of the Company,
enforceable against the Company in accordance with their respective terms,
except (i) as limited by applicable bankruptcy, insolvency, reorganization,
moratorium, fraudulent conveyance, and other laws of general application
affecting enforcement of creditors' rights generally, as limited by laws
relating to the availability of specific performance, injunctive relief, or
other equitable remedies, or (ii) to the extent the indemnification provisions
contained in the Restated Investors' Rights Agreement may be limited by
applicable federal or state securities laws. All corporate action on the part of
the Company and its predecessors, officers, directors, stockholders and
subsidiaries necessary for the authorization, execution and/or delivery, as
applicable, for all past corporate actions was obtained.

             2.6 VALID ISSUANCE OF SECURITIES. The Stock that is being issued to
the Purchasers hereunder, when issued, sold and delivered in accordance with the
terms hereof for the consideration expressed herein, will be duly and validly
issued, fully paid and nonassessable and free and clear of all preemptive
rights, rights of first refusal, liens, charges, restrictions, claims and any
other encumbrances imposed by or through the Company other than restrictions on
transfer under this Agreement, the Restated Investors' Rights Agreement, the
Restated Co-Sale Agreement and applicable state and federal securities laws of
the United States. Based in part upon the representations of the Purchasers in
this Agreement and subject to the provisions of Section 2.7 below, the Stock
will be issued in compliance with all applicable federal and state securities
laws. The Common Stock issuable upon conversion of the Stock has been duly and
validly reserved for issuance and, upon issuance in accordance with the terms of
the Restated Certificate, shall be duly and validly issued, fully paid and
nonassessable and free and clear of all preemptive rights, rights of first
refusal, liens, charges, restrictions, claims and any other encumbrances imposed
by or through the Company other than restrictions on transfer under this
Agreement, the Restated Investors' Rights Agreement, the Restated Co-Sale
Agreement and applicable federal and state securities laws and will be issued in
compliance with all applicable federal and state securities laws of the United
States and, where applicable, provincial securities laws of Canada.

             2.7 GOVERNMENTAL CONSENTS. No consent, approval, order or
authorization of, or registration, qualification, designation, declaration or
filing with, any federal, state or local governmental authority of the United
States is required in connection with the consummation of

                                       8
<PAGE>   9

the transactions contemplated by this Agreement, except for filings pursuant to
applicable state securities laws and Regulation D of the Securities Act of 1933,
as amended (the "Securities Act"). Based in part on the representations of the
Purchasers set forth in Section 4 hereof, the offer, sale and issuance of the
Stock, in accordance with the terms hereof for the consideration expressed
herein, are exempt from the registration requirements of Section 5 of the
Securities Act and from the qualification requirements of applicable state
securities laws.

             2.8 LITIGATION. There is no action, suit, proceeding or
investigation pending or, to the Company's knowledge, currently threatened
against the Company or any of the Subsidiaries, or any basis therefor known to
the Company, that questions the validity of the Transaction Documents or the
right of the Company to enter into them, or to consummate the transactions
contemplated hereby or thereby, or that might result, either individually or in
the aggregate, in any material adverse change in the financial condition,
assets, liabilities, operations or financial performance of the Company,
financially or otherwise, or any change in the current equity ownership of the
Company. Neither the Company nor any of the Subsidiaries is a party or subject
to the provisions of any order, writ, injunction, judgment or decree of any
court or government agency or instrumentality. There is no action, suit,
proceeding or investigation by the Company or any of the Subsidiaries currently
pending or which the Company or any of the Subsidiaries intends to initiate. The
foregoing includes, without limitation, actions pending or threatened (or any
basis therefor known to the Company) involving the prior employment of any of
the Company's employees, their use in connection with the Company's business of
any information or technologies allegedly proprietary to any of their former
employers, or their obligations under any agreements with prior employers.

             2.9 INTELLECTUAL PROPERTY. To the Company's knowledge, (i) the
Company owns or possesses sufficient legal rights to all patents, trademarks,
service marks, tradenames, copyrights, trade secrets, licenses, information and
proprietary rights and processes (collectively, "Intellectual Property Rights")
necessary for its business without any conflict with, or infringement of, the
rights of others; and (ii) no third party is infringing or violating any of the
Company's Intellectual Property Rights. The Company has not received any written
communications alleging that the Company has violated or, by conducting its
business, would violate any of the Intellectual Property Rights of any other
person or entity. There are no outstanding options, licenses or agreements of
any kind related to the foregoing, nor is the Company bound by, or a party to,
any options, licenses or agreements of any kind with respect to Intellectual
Property of any other forms.

             2.10 CONFIDENTIAL INFORMATION AND INVENTION ASSIGNMENT AGREEMENTS.
Each director, officer, independent contractor, consultant and employee of the
Company (collectively, "Service Providers") have entered into an agreement with
the Company regarding confidentiality, non-solicitation of employees and
customers and assignment of all Intellectual Property Rights, technical
information and other information developed and/or worked on by such Service
Provider while employed or engaged with the Company (each, a "Confidentiality
and Invention Assignment Agreement"). To the Company's knowledge, (i) no past or
present Service Provider is in violation of any term of any Confidentiality and
Invention Assignment

                                       9
<PAGE>   10

Agreement between the Company and such Service Provider; and (ii) it is not nor
will it be necessary to use any inventions of any of its Service Providers (or
persons it currently intends to hire) made prior to their employment or
engagement by the Company. Each Service Provider hired or engaged by the Company
after the date hereof shall, prior to their employment or engagement with the
Company, enter into a Confidentiality and Invention Assignment Agreement with
the Company.

             2.11 COMPLIANCE WITH OTHER INSTRUMENTS. The Company is not in
violation in any material respect or default of any provisions of its Restated
Certificate or Bylaws or of any provision, instrument, agreement, commitment,
arrangement, license, judgment, order, writ, decree or contract to which it is a
party or by which it is bound or, to its knowledge, of any provision of federal
or state statute, rule or regulation applicable to the Company, which violation
or default is reasonably likely to result in a material adverse effect on the
financial condition, assets, liabilities, operations or financial performance of
the Company. No event has occurred which with the passage of time or the giving
of notice, or both, would constitute a material breach of or default under any
of the foregoing, which material violation or breach or default is reasonably
likely to result in a material adverse effect on the financial condition,
assets, liabilities, operations or financial performance of the Company. The
execution, delivery and performance of the Transaction Documents and the
consummation of the transactions contemplated thereby will not result in any
such violation or breach or be in conflict with or constitute, with or without
the passage of time and giving of notice, either a default under any such
provision, agreement, commitment, arrangement, license, instrument, judgment,
order, writ, decree or contract or an event which results in the creation of any
lien, charge or encumbrance upon any assets of the Company. Neither the
execution or delivery of this Agreement, nor the carrying on of the Company's
business by the employees of the Company, nor the conduct of the Company's
business as proposed, will, to the Company's knowledge, conflict in any material
respect with or result in a material breach of the terms, conditions, or
provisions of, or constitute a default under, any contract, covenant or
instrument under which any of the Company's employees is now obligated.

             2.12 AGREEMENTS; ACTION.

                  (a) There are no agreements, understandings or proposed
transactions between the Company and any of its officers, directors, affiliates
or any affiliate thereof.

                  (b) Except as explicitly contemplated by the Transaction
Documents, there are no agreements, understandings, instruments, contracts or
proposed transactions to which the Company or any of the Subsidiaries is a party
or by which it is bound that involve (i) obligations (contingent or otherwise)
of, or payments to, the Company or any of the Subsidiaries in excess of $50,000,
(ii) the license of any patent, copyright, trade secret or other proprietary
right to or from the Company or any of the Subsidiaries, or (iii) the grant of
rights to manufacture, produce, assemble, license, market, or sell its products
to any other person or affect the Company's exclusive right to develop,
manufacture, assemble, distribute, market or sell its products.

                                       10
<PAGE>   11

                  (c) Neither the Company nor any of the Subsidiaries has (i)
declared or paid any dividends, or authorized or made any distribution upon or
with respect to any class or series of its capital stock, (ii) incurred any
indebtedness for money borrowed or incurred any other liabilities individually
in excess of $50,000 or in excess of $100,000 in the aggregate, (iii) made any
loans or advances to any person, other than ordinary advances to the Company's
employees for business expenses, or (iv) sold, exchanged or otherwise disposed
of any of its assets or rights, other than the sale of its inventory in the
ordinary course of business.

                  (d) Except as disclosed in Section 2.12 of the Schedule of
Exceptions or as set out in the Transaction Documents, the Company has not
entered into any binding letters of intent with any corporation, partnership,
association, other business entity or any individual regarding (i) the
consolidation or merger of the Company with or into any such corporation or
other business entity, (ii) the sale, conveyance or disposition of all or
substantially all of the assets of the Company or a transaction or series of
transactions in which more than 50% of the voting power of the company is
disposed of, or (iii) any other form of acquisition, liquidation, dissolution or
winding-up of the Company.

             2.13 NO CONFLICT OF INTEREST. The Company is not indebted, directly
or indirectly, to any of its officers or directors, in any amount whatsoever,
other than in connection with expenses or advances of expenses incurred in the
ordinary course of business or relocation expenses of employees. To the
Company's knowledge, none of the Company's officers or directors are, directly
or indirectly, indebted to the Company (other than in connection with purchases
of the Company's stock) or have any direct or indirect ownership interest in any
firm or corporation with which the Company is affiliated or with which the
Company has a business relationship, or any firm or corporation which competes
with the Company (other than ownership of stock in, but not exceeding two
percent (2%) of the outstanding capital stock of, any publicly traded company
that competes with the Company). To the Company's knowledge, none of the
Company's officers or directors are, directly or indirectly, interested in any
material contract with the Company. The Company is not a guarantor of any
indebtedness of any other person, firm or corporation.

             2.14 TITLE TO PROPERTY AND ASSETS. The Company has good and valid
title to all of its properties and assets, both real and personal, and has good
title to all its leasehold interests, in each case free and clear of all
mortgages, liens, pledges, loans, security interests, conditional sales
agreements, encumbrances or charges, except for Permitted Liens (as defined
below). The Company owns or leases all properties and assets reasonably
necessary to the operation of its business as now conducted. With respect to the
property and assets it leases, the Company is in compliance with such leases
and, to the Company's knowledge, holds a valid leasehold interest free of any
liens, claims or encumbrances, except for Permitted Liens. For purposes of this
Agreement, "Permitted Liens" shall mean any (a) mechanics', carriers', workers'
and other similar liens arising in the ordinary course of business which are not
delinquent and which in the aggregate are not material in amount, and do not
interfere with the present use of the assets of the Company to which they apply;
(b) liens for current taxes and assessments not yet due and payable; (c) liens
and encumbrances that have arisen in the ordinary course of business

                                       11
<PAGE>   12

and that do not (in any case or in the aggregate) materially detract from the
value of the assets subject thereto or materially impair the operations of the
Company; and (d) with respect to any asset of the Company which consists of a
leasehold or other possessory interest in real property, all encumbrances,
covenants, imperfections in title, easements, restrictions and other title
matters (whether or not the same are recorded) not known to the Company to which
the underlying fee estate in such real property is subject which were not
created by or incurred by the Company.

             2.15 FINANCIAL STATEMENTS. Attached hereto as Exhibit G are the
unaudited balance sheet of the Company as of December 31, 1999, together with an
unaudited statement of income and expenses and statement of cash flows for the
fiscal year ended December 31, 1999 (collectively, the "Financial Statements").
The Financial Statements are complete in all material respects and in accordance
with the books and records of the Company and fairly present the financial
condition and operating results of the Company as of the dates, and for the
periods, indicated therein, subject to the lack of footnote disclosures and
normal year-end audit adjustments. Except as set forth in the Financial
Statements, the Company has no material liabilities, contingent or otherwise,
other than (i) liabilities incurred in the ordinary course of business
subsequent to December 31, 1999, (ii) obligations under contracts and
commitments incurred in the ordinary course of business and not required under
generally accepted accounting principles to be reflected in the Financial
Statements, and (iii) performance obligations of the Company under the
Transaction Documents.

             2.16 CHANGES. Since December 31, 1999 there has not been:

                  (a) any change in the assets, liabilities, financial condition
or operating results of the Company from that reflected in the Financial
Statements, except changes in the ordinary course of business that have not
been, in the aggregate, materially adverse;

                  (b) any damage, destruction, loss or other occurrence or
development materially and adversely affecting the business, properties or
financial condition of the Company;

                  (c) any waiver or compromise by the Company of a valuable
right or any material debt owed to it;

                  (d) any satisfaction or discharge of any lien, claim, or
encumbrance or payment of any obligation by the Company, except in the ordinary
course of business and that is not material to the assets, business, properties
or financial condition or operating results of the Company;

                  (e) any material change or amendment to a material contract or
agreement by which the Company or any of its assets or properties is bound or
subject;

                  (f) any material change or amendment in any compensation
arrangement or agreement with any employee, officer, director or stockholder;

                                       12
<PAGE>   13

                  (g) any sale, assignment or transfer of any patents,
trademarks, copyrights, trade secrets or other intangible assets;

                  (h) any resignation or termination of employment of any
officer or key employee of the Company; and the Company, is not aware of any
impending resignation or termination of employment of any such officer or key
employee;

                  (i) any mortgage, pledge, transfer of a security interest in,
or lien, created by the Company, with respect to any of its material properties
or assets, except for Permitted Liens;

                  (j) any loans or guarantees made by the Company to or for the
benefit of its employees, officers or directors, or any members of their
immediate families, other than travel advances and other advances made in the
ordinary course of its business;

                  (k) any declaration, setting aside or payment or other
distribution in respect to any of the Company's capital stock, or any direct or
indirect redemption, purchase, or other acquisition of any of such stock by the
Company;

                  (l) to the Company's knowledge, any other event or condition
of any character that might materially and adversely affect the business,
properties or financial condition of the Company; or

                  (m) any arrangement or commitment by the Company to do any of
the things described in this Section 2.16.

             2.17 DISTRIBUTIONS. There has been no declaration or payment by the
Company of any dividend, nor any distribution by the Company of any assets of
any kind, to any of its stockholders.

             2.18 TAX RETURNS AND PAYMENTS. The Company has filed all tax
returns and reports as required by applicable law and such tax returns and
reports are true and correct in all material respects. The Company has paid all
taxes, fees, assessments and other governmental charges upon the Company, or
upon any of its properties, income, or franchises, shown in such returns and on
assessments received by the Company to be due as of the date hereof and no such
taxes or assessments are being contested.

             2.19 INSURANCE. The Company has in full force and effect fire and
casualty insurance policies, with extended coverage, sufficient in amount
(subject to reasonable deductibles) to allow it to replace any of its properties
that might be damaged or destroyed, and the Company has such other insurance
policies and coverages as are customary in the Company's industry.

             2.20 EMPLOYEE BENEFIT PLANS. Section 2.20 of the Schedule of
Exceptions sets forth all currently effective employment contracts, deferred
compensation arrangements, bonus

                                       13
<PAGE>   14

plans, incentive plans, profit sharing plans, retirement agreements or other
employee compensation agreements. The Company does not have any Employee Benefit
Plan as defined in the Employee Retirement Income Security Act of 1974, as
amended.

             2.21 LABOR AGREEMENTS AND ACTIONS. The Company is not bound by or
subject to (and none of its assets or properties is bound by or subject to) any
written or oral, express or implied, contract, commitment or arrangement with
any labor union, and no labor union has requested or, to the knowledge of the
Company, has sought to represent any of the employees, representatives or agents
of the Company. There is no strike or other labor dispute involving the Company
pending, or to the knowledge of the Company threatened, which could have a
material adverse effect on the financial condition, assets, liabilities,
operations or financial performance of the Company, nor is the Company aware of
any labor organization activity involving its employees. The employment of each
officer and employee of the Company is terminable at the will of the Company.
The services of each consultant and independent contractor is terminable by the
Company upon not more than thirty (30) days prior written notice. To its
knowledge, the Company has complied in all material respects with all applicable
state and federal equal employment opportunity laws and with other laws related
to employment.

             2.22 COMPLIANCE WITH ENVIRONMENTAL REQUIREMENTS. To the Company's
knowledge, it has obtained all material permits, licenses and other
authorizations required under federal, state and local laws relating to
pollution or protection of the environment. The Company has not violated any
applicable Environmental Law, the violation of which is reasonably likely to
result in a material adverse change in the financial condition, assets,
liabilities, operations or financial performance of the Company. To the
knowledge of the Company, there are no present requirements of any applicable
Environmental Law which is due to be imposed upon it which will materially
increase its cost of complying with the Environmental Laws. All past on-site
generation, treatment, storage and disposal of Waste, including Hazardous Waste,
by the Company and, to its knowledge, by its predecessors have been done in
compliance with the currently applicable Environmental Laws, and all past
off-site treatment, storage and disposal of Waste, including Hazardous Waste,
generated by the Company and, to its knowledge, by its predecessors have been
done in compliance with the currently applicable Environmental Laws. As used in
this Agreement, the terms (i) "Environmental Laws" include, but are not limited
to, any federal, state, local or foreign law, statute, charter or ordinance, and
any rule, regulation, binding interpretation, binding policy, permit, order,
court order or consent decree issued pursuant to any of the foregoing, which
pertains to, governs or otherwise regulates any of the following activities,
including, without limitation, (a) the emission, discharge, release or spilling
of any substance into the air, surface water, groundwater, soil or substrata;
(b) the manufacturing, processing, sale, generation, treatment, storage,
disposal labeling or other management of any Waste, Hazardous Substance or
Hazardous Waste, and (ii) "Waste," "Hazardous Substance," and "Hazardous Waste"
include any substance defined as such by any applicable Environmental Law.

             2.23 PERMITS. The Company and each of the Subsidiaries has all
franchises, permits, licenses and any similar authority necessary for the
conduct of its business, the lack of

                                       14
<PAGE>   15

which could materially and adversely affect the business, properties or
financial condition of the Company and, to its knowledge, it can obtain, without
undue burden or expense, any similar authority for the conduct of its business
as planned to be conducted. The Company is not in default in any material
respect under any of such franchises, permits, licenses or other similar
authority.

             2.24 PRIVATE OFFERING. Neither the Company nor anyone acting on its
behalf has offered any of the Stock or similar securities for issuance or sale
to, or solicited any offer to acquire any of the same from, anyone so as to make
the issuance and sale of the Stock subject to registration requirements of
Section 5 of the Securities Act.

             2.25 BROKERS AND FINDERS. The Company has not retained any
investment banker, broker, finder or any other third party in connection with
the transactions contemplated by this Agreement.

             2.26 CERTIFICATE OF INCORPORATION. At the time of Closing, the
Company's certificate of incorporation on file with the Secretary of the State
of Delaware shall be in the form of the Restated Certificate, and no action
shall have been taken to amend or modify such Restated Certificate.

             2.27 BYLAWS. The Bylaws of the Company are in the form attached
hereto as Exhibit H and no action has been taken to amend or modify such Bylaws.

             2.28 DISCLOSURE. The Company has provided the Purchasers with all
the information that the Purchasers have requested in writing for deciding
whether to acquire the Stock. This Agreement, including all representations
herein by the Company, and any exhibits hereto or any certificate furnished or
to be furnished to Purchasers at the Closing, taken together, do not contain any
untrue statement of a material fact or omit to state a material fact necessary
in order to make the statements contained herein or therein not misleading in
light of the circumstances under which they were made.

             2.29 COMPLIANCE WITH OTHER LAWS. The Company has complied in all
material respects with all laws, statutes, rules, regulations and orders of,
and, to its knowledge, has secured all necessary permits and authorizations and
licenses issued by, federal, state, local and foreign agencies and authorities,
applicable to its business, properties and operations.

             2.30 YEAR 2000 COMPLIANCE. To the Company's knowledge, each item of
software and hardware that has been developed by the Company is Year 2000
Compliant (as defined below). For purposes of this Section 2.30, an item of
software or hardware shall be deemed to be "Year 2000 Compliant" only if
operating on a stand-alone basis without reference to dates supplied by third
party software or hardware: (i) the functions, calculations, and other computing
processes of such item of software or hardware (collectively, "Processes")
perform without interruption related to the processing of date data representing
calendar dates before, on or after January 1, 2000; (ii) such item of software
or hardware accepts, calculates, compares,

                                       15
<PAGE>   16

sorts, extracts, sequences and otherwise processes date inputs and date values,
and returns and displays date values, without interruption related to the
processing of date data representing calendar dates before, on or after January
1, 2000; (iii) such item of software or hardware stores and displays date
information without interruption related to the processing of date data
representing calendar dates before, on or after January 1, 2000; and (iv) such
item of software or hardware determines leap years without interruption related
to the processing of date data representing calendar dates before, on or after
January 1, 2000, unless, in each case, such interruption related to the
processing of date data representing calendar dates before, on or after January
1, 2000 is caused by external sources, such as in third party operating systems,
data, or other applications not supplied by the Company, or with respect to
incorrect or two-digit date information provided by the user, third party
operating systems or from any other external product, source or interface.

        3. INTERPRETATION.

             (a) For the purposes of the representations and warranties
contained in Section 2, whenever "to the Company's knowledge" or "to its
knowledge" is used, it means to the knowledge of the officers and directors of
the Company after making such diligent inquiry as may be reasonable under the
circumstances.

             (b) For the purposes of the representations and warranties
contained in Section 2, all references to the "Company" shall be deemed to
include Programmed Solutions, Inc. and the Subsidiaries.

        4. REPRESENTATIONS AND WARRANTIES OF THE PURCHASERS. Each Purchaser
hereby represents and warrants to the Company that:

             4.1 AUTHORIZATION. Such Purchaser has full power and authority to
enter into the Transaction Documents. The Transaction Documents, when executed
and delivered by the Purchaser, will constitute valid and legally binding
obligations of the Purchaser, enforceable in accordance with their respective
terms, except (a) as limited by applicable bankruptcy, insolvency,
reorganization, moratorium, fraudulent conveyance, and any other laws of general
application affecting enforcement of creditors' rights generally, and as limited
by laws relating to the availability of a specific performance, injunctive
relief, or other equitable remedies, or (b) to the extent the indemnification
provisions contained in the Restated Investors' Rights Agreement may be limited
by applicable federal or state securities laws.

             4.2 PURCHASE ENTIRELY FOR OWN ACCOUNT. This Agreement is made with
the Purchaser in reliance upon the Purchaser's representations to the Company,
which by the Purchaser's execution of this Agreement, the Purchaser hereby
confirms, that the Securities to be acquired by the Purchaser will be acquired
for investment for the Purchaser's own account, not as a nominee or agent, and
not with a view to the resale or distribution of any part thereof in violation
of the Securities Act, and that the Purchaser has no present intention of
selling, granting any participation in, or otherwise distributing the same in
violation of the Securities Act. By

                                       16
<PAGE>   17

executing this Agreement, the Purchaser further represents that the Purchaser
does not presently have any contract, undertaking, agreement or arrangement with
any person to sell, transfer or grant participations to such person or to any
third person, with respect to any of the Securities. The Purchaser has not been
formed for the specific purpose of acquiring the Securities.

             4.3 DISCLOSURE OF INFORMATION. The Purchaser has had an opportunity
to discuss the Company's business, management, financial affairs and the terms
and conditions of the offering of the Stock with the Company's management and
has had an opportunity to review the Company's facilities. The Purchaser
understands that such discussions, as well as any other written information
delivered by the Company to the Purchaser, were intended to describe the aspects
of the Company's business which it believes to be material.

             4.4 RESTRICTED SECURITIES. The Purchaser understands that the
Securities have not been, and will not be, registered under the Securities Act,
by reason of a specific exemption from the registration provisions of the
Securities Act which depends upon, among other things, the bona fide nature of
the investment intent and the accuracy of the Purchaser's representations as
expressed herein. The Purchaser understands that the Securities are "restricted
securities" under applicable U.S. federal and state securities laws and that,
pursuant to these laws, the Purchaser must hold the Securities indefinitely
unless they are registered with the Securities and Exchange Commission and
qualified by state authorities, or an exemption from such registration and
qualification requirements is available. The Purchaser acknowledges that the
Company has no obligation to register or qualify the Securities for resale
except as set forth in the Restated Investors' Rights Agreement. The Purchaser
further acknowledges that if an exemption from registration or qualification is
available, it may be conditioned on various requirements, including, but not
limited to, the time and manner of sale, the holding period for the Securities,
and on requirements relating to the Company which are outside of the Purchaser's
control, and which the Company is under no obligation and may not be able to
satisfy except as specifically provided in the Restated Investors' Rights
Agreement.

             4.5 NO PUBLIC MARKET. The Purchaser understands that no public
market now exists for any of the securities issued by the Company, and that the
Company has made no assurances that a public market will ever exist for the
Securities.

             4.6 LEGENDS. The Purchaser understands that the Securities, and any
securities issued in respect of or exchange for the Securities, may bear one or
all of the following legends:

                  (a) "THE SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AND HAVE BEEN ACQUIRED FOR
INVESTMENT AND NOT WITH A VIEW TO, OR IN CONNECTION WITH, THE SALE OR
DISTRIBUTION THEREOF. NO SUCH SALE OR DISTRIBUTION MAY BE EFFECTED WITHOUT AN
EFFECTIVE REGISTRATION STATEMENT RELATED THERETO OR AN OPINION OF COUNSEL IN A
FORM SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED

                                       17
<PAGE>   18

UNDER THE SECURITIES ACT OF 1933."

                  (b) Any legend set forth in the other Transaction Documents.

                  (c) Any legend required by the Blue Sky laws of any state to
the extent such laws are applicable to the shares represented by the certificate
so legended.

             4.7 ACCREDITED INVESTOR. The Purchaser is an accredited investor as
defined in Rule 501(a) of Regulation D promulgated under the Securities Act.

             4.8 FOREIGN INVESTORS. If the Purchaser is not a United States
person (as defined by Section 7701(a)(30) of the Internal Revenue Code of 1986,
as amended), such Purchaser hereby represents that it has satisfied itself as to
the full observance of the laws of its jurisdiction in connection with any
invitation to subscribe for the Securities or any use of this Agreement,
including (i) the legal requirements within its jurisdiction for the purchase of
the Securities, (ii) any foreign exchange restrictions applicable to such
purchase, (iii) any governmental or other consents that may need to be obtained,
and (iv) the income tax and other tax consequences, if any, that may be relevant
to the purchase, holding, redemption, sale, or transfer of the Securities. Such
Purchaser's subscription and payment for and continued beneficial ownership of
the Securities, will not violate any applicable securities or other laws of the
Purchaser's jurisdiction.

        5. COVENANTS OF THE COMPANY. The Company covenants and agrees with each
Purchaser that:

             5.1 COMPLIANCE. The Company shall comply with all laws, rules,
regulations and orders, the non-compliance with which could materially and
adversely affect the financial condition, assets, liabilities, operations or
financial performance of the Company or its obligations under this Agreement or
any other agreement with each Purchaser.

             5.2 PERFORMANCE. The Company shall diligently observe and perform
or cause to be observed all covenants to be observed or performed under the
Transaction Documents and under any other agreement between the Company and each
Purchaser.

             5.3 BOOKS AND RECORDS. The Company shall maintain complete and
accurate records and books of account in which entries shall be made in
accordance with generally accepted accounting principles consistently applied,
reflecting all transactions of the Company and its subsidiaries, if any.

             5.4 RENEWALS AND GOOD STANDING. The Company shall (a) do all things
necessary to obtain, promptly renew and maintain in good standing from time to
time, all approvals, leases, licenses, permits and consents as are required to
own, develop and operate the business, assets or operations of the Company and
undertaking, except where the failure to obtain, renew or maintain in good
standing such approvals, leases, licenses, permits and consents is not
reasonably likely to result in a material adverse change in the Company's
financial

                                       18
<PAGE>   19

condition, assets, liabilities, operations or financial performance and (b)
perform its obligations under this Agreement and all other agreements between
the Company and each Purchaser.

             5.5 PRINCIPLE BUSINESS. Prior to the initial public offering of the
Company's Common Stock, the Company shall not change its principal business or
engage in any other business from that which it is engaged on the date of this
Agreement without the written consent of at least two-thirds of the holders of
shares of Stock converted or convertible into Common Stock.

             5.6 PROPRIETARY INFORMATION AND ASSIGNMENT AGREEMENT. The Company
shall require all future officers, directors and employees of the Company and
each subsidiary of the Company to execute and deliver a proprietary information
and assignment agreement and shall require all future consultants and
independent contractors to the Company to execute and deliver a consulting
agreement which provides substantially similar protection from misappropriation
to the intellectual property of the Company.

             5.7 STOCK OPTIONS. All stock options granted by the Company shall
have a term of ten (10) years and shall be exercisable, over time, based upon
continued employment over a vesting period to be determined by the Company's
Board of Directors. The per share exercise price of all options granted by the
Company will be no less than the fair market value on the date of grant as
determined by the Board of Directors in good faith. Unless otherwise
specifically approved by the Board of Directors, options granted by the Company
will not accelerate upon a change of control of the Company or any subsidiary of
the Company.

             5.8 SECURITIES FILINGS. Within the prescribed time after the
Closing, the Company shall file all documents and take all proceedings required
to be taken by it to permit the Stock to be distributed to each Purchaser in
compliance with applicable federal and state securities laws and the applicable
securities legislation in Canada.

             5.9 INVESTMENT OF FUNDS. The Company shall not make any investments
in any securities, other than high grade commercial paper or other form of
comparable security.

             5.10 DIRECTORS' AND OFFICERS' INSURANCE. Within 45 days after the
Closing, the Company agrees to have in place Directors' and Officers' insurance,
from a reputable organization, of such type and amount as a comparable company
in its industry.

             5.11 SURVIVAL OF COMPANY'S COVENANTS. The covenants of the Company
set forth in this Section 5 will survive the completion of the transactions
contemplated by this Agreement and will continue in full force and effect for
the benefit of each Purchaser until the earlier to occur of (a) five (5) years
from the Closing, or (b) the consummation of a firm commitment underwritten
public offering by the Company of shares of its Common Stock pursuant to a
registration statement under the Securities Act, the public offering price of
which is not less than $11.60 per share (appropriately adjusted for any stock
split, dividend, combination or other recapitalization) and which results in
aggregate gross cash proceeds to the Company of

                                       19
<PAGE>   20

at least $30,000,000 (before underwriting discounts and commissions).

        6. CONDITIONS OF THE PURCHASERS' OBLIGATIONS AT THE CLOSING. The
obligations of each Purchaser to the Company under this Agreement are subject to
the fulfillment, on or before the Closing, of each of the following conditions,
unless otherwise waived:

             6.1 REPRESENTATIONS AND WARRANTIES. The representations and
warranties of the Company contained in Section 2 shall be true and correct in
all material respects on and as of the Closing with the same effect as though
such representations and warranties had been made on and as of the date of the
Closing.

             6.2 PERFORMANCE. The Company shall have performed and complied in
all material respects with all covenants, agreements, obligations and conditions
contained in this Agreement that are required to be performed or complied with
by it on or before the Closing.

             6.3 COMPLIANCE CERTIFICATE. The President or CEO of the Company
shall deliver to the Purchasers at the Closing a certificate certifying that the
conditions specified in Sections 6.1 and 6.2 have been fulfilled.

             6.4 QUALIFICATIONS. All authorizations, approvals or permits, if
any, of any governmental authority or regulatory body of the United States or of
any state that are required to be obtained prior to the Closing in connection
with the lawful issuance and sale of the Stock pursuant to this Agreement shall
be obtained and effective as of the Closing.

             6.5 WRITTEN CONSENTS. The Company shall have obtained and delivered
to the Purchasers any and all written waivers, permits, consents and approvals
required to be obtained prior to the Closing in connection with the consummation
of the transactions contemplated by the Transaction Documents in a form and
content reasonably acceptable to the Purchasers.

             6.6 STOCK CERTIFICATES. The Company shall have delivered to the
Purchasers facsimile copies of executed stock certificates in form and content
acceptable to the Purchasers ("Stock Certificates") and sufficient to transfer
to and vest in each Purchaser good and valid title to the purchased Stock free
of any lien created by or through the Company. Within one (1) business day after
the Closing, the Company shall deliver the original stock certificates to the
Purchasers.

             6.7 RESTATED CERTIFICATE. The Company shall have filed the Restated
Certificate with the Secretary of State of the State of Delaware on or prior to
the Closing, which shall continue to be in full force and effect as of the
Closing.

             6.8 RESTATED INVESTORS' RIGHTS AGREEMENT. The Company, each
Purchaser, Creo SRL and the holders of a majority of the outstanding shares of
the Company's Series C Preferred Stock shall have executed and delivered the
Restated Investors' Rights Agreement in substantially the form attached as
Exhibit D.

                                       20
<PAGE>   21

             6.9 RESTATED CO-SALE AGREEMENT. The Company, each Purchaser, the
holders of a majority of the outstanding Founders Shares (as defined in the
Restated Co-Sale Agreement), Creo SRL and the holders of a majority of the
Company's Series C and C-1 Preferred Stock shall have executed and delivered the
Restated Co-Sale Agreement in substantially the form attached as Exhibit F.

             6.10 RESTATED VOTING AGREEMENT. The Company, each Purchaser, the
holders of a majority of the outstanding Founders Shares (as defined in the
Restated Voting Agreement), Creo SRL and the holders of a majority of the
Company's Series C and C-1 Preferred Stock shall have executed and delivered the
Restated Voting Agreement in substantially the form attached as Exhibit E.

             6.11 CONFIDENTIAL INFORMATION AND INVENTION ASSIGNMENT AGREEMENT.
The Company and each of its Service Providers (other than as set forth on
Section 2.10 of the Schedule of Exceptions) shall have entered into a
Confidential Information and Invention Assignment Agreement, in substantially
the form provided to the Purchasers.

             6.12 NO MATERIAL ADVERSE CHANGE. Except as set forth on the
Schedule of Exceptions, there shall have been no material adverse change in the
Company's financial condition, assets, liabilities, operations or financial
performance since December 31, 1999 (it being understood that none of the
following shall be deemed, in and of itself, to constitute a material adverse
change in the financial condition, assets, liabilities, operations or financial
performance of the Company since December 31, 1999: (a) a change that results
from conditions generally affecting the U.S. economy or the world economy, (b) a
change that results from conditions generally affecting the Company's industry,
(c) a change that results from the announcement or pendency of the transactions
contemplated hereby and (d) a change that results from the taking of any action
required by this Agreement).

             6.13 COMPANY LEGAL OPINIONS. Orrick, Herrington & Sutcliffe LLP,
special counsel for the Company, shall have delivered a legal opinion to the
Purchasers in the form attached hereto as Exhibit I, and Mathew D'Emilio,
counsel for the Company, shall have delivered a legal opinion to the Purchasers
in the form attached hereto as Exhibit J.

             6.14 NO LITIGATION. There shall be no action, suit or proceeding or
investigation instituted or threatened to set aside the transactions provided
for herein or to enjoin or prevent the consummation of the transactions
contemplated hereby.

             6.15 PROCEEDINGS AND DOCUMENTS. All corporate and other proceedings
in connection with the transactions contemplated hereby and all documents and
instruments incident to such transactions shall be in form and substance
satisfactory to each Purchaser and its counsel and each Purchaser shall have
received all such counterpart originals or certified or other copies of such
documents as it may reasonably request.

             6.16 CLOSING OF COMMON STOCK FINANCING. The transactions
contemplated by

                                       21
<PAGE>   22

that certain Common Stock Purchase Agreement, dated as of the date hereof, among
the Company, Creo SRL and the other investors listed on Exhibit A thereto (the
"Common Stock Purchase Agreement"), shall close simultaneous with the
transactions contemplated hereby.

             6.17 CLOSING DOCUMENTS. The Company shall have delivered the
following documents to each of the Purchasers:

                  (a) copies certified by the Secretary of the Company of the
resolutions duly adopted by the Company's board of directors authorizing and
approving: (i) the execution, delivery and performance of the Transaction
Documents and each of the other agreements contemplated hereby, (ii) the
Restated Certificate and the filing of the Restated Certificate with the
Secretary of the State of Delaware, (iii) the reservation for issuance upon
conversion of the Series D Preferred Stock of an aggregate number of shares of
Common Stock equal to the total number of shares initially issuable upon
conversion, (iv) the issuance and sale of the Series D Preferred Stock, and (v)
the consummation of all other transactions contemplated by the Transaction
Documents;

                  (b) copies certified by the Secretary of the Company of the
resolutions of the Company's stockholders authorizing and approving the Restated
Certificate and the filing of the Restated Certificate with the Delaware
Secretary of the State;

                  (c) copies certified by the Secretary of the Company of the
Restated Certificate (as filed with the Delaware Secretary of the State) and the
Company's Bylaws, each as in effect at the Closing;

                  (d) a good standing certificate with respect to the Company
from the Delaware Secretary of State; and

                  (e) such other documents relating to the transactions
contemplated by this Agreement as the Purchasers or their counsel may reasonably
request.

             6.18 GENERAL.

                  (a) Each Purchasers' obligations under Section 1 shall be
contingent upon the performance by each other Purchaser of its obligations under
Section 1.

                  (b) In any event the Purchasers may in their sole discretion
waive any conditions to the Closing and close. No such waiver shall be effective
unless it shall be in writing and signed by each Purchaser.

        7. CONDITIONS OF THE COMPANY'S OBLIGATIONS AT THE CLOSING. The
obligations of the Company to each Purchaser under this Agreement are subject to
the fulfillment, on or before the Closing, of each of the following conditions,
unless otherwise waived:

             7.1 REPRESENTATIONS AND WARRANTIES. The representations and
warranties of

                                       22
<PAGE>   23

each Purchaser contained in Section 4 shall be true and correct in all material
respects on and as of the Closing with the same effect as though such
representations and warranties had been made on and as of the Closing.

             7.2 PERFORMANCE. All covenants, agreements and conditions contained
in this Agreement to be performed by the Purchasers on or prior to the Closing
shall have been performed or complied with in all material respects.

             7.3 QUALIFICATIONS. All authorizations, approvals or permits, if
any, of any governmental authority or regulatory body of the United States or of
any state that are required in connection with the lawful issuance and sale of
the Stock pursuant to this Agreement shall be obtained and effective as of the
Closing.

        8. MISCELLANEOUS.

             8.1 SURVIVAL OF WARRANTIES. Unless otherwise set forth in this
Agreement, the warranties and representations of the Company contained in
Section 2 hereof shall survive the execution and delivery of this Agreement and
the Closing for a period of two (2) years following the Closing.

             8.2 ENTIRE AGREEMENT. This Agreement and the other Transaction
Documents constitute the entire agreement between the Company and the Purchasers
relative to the subject matter hereof and thereof. Any previous agreement or
negotiations between the Company and the Purchasers concerning the subject
matter hereof is superseded by this Agreement and the Transaction Documents
except for any agreements relating to confidentiality.

             8.3 TRANSFER; SUCCESSORS AND ASSIGNS. The terms and conditions of
this Agreement shall inure to the benefit of and be binding upon the respective
successors and assigns of the parties. Nothing in this Agreement, express or
implied, is intended to confer upon any party other than the parties hereto or
their respective successors and assigns any rights, remedies, obligations, or
liabilities under or by reason of this Agreement, except as expressly provided
in this Agreement.

             8.4 GOVERNING LAW. This Agreement and all acts and transactions
pursuant hereto and the rights and obligations of the parties hereto shall be
governed, construed and interpreted in accordance with the laws of the State of
Delaware, without giving effect to principles of conflicts of law.

             8.5 COUNTERPARTS. This Agreement may be executed in two or more
counterparts, each of which shall be deemed an original and all of which
together shall constitute one instrument.

             8.6 TITLES AND SUBTITLES. The titles and subtitles used in this
Agreement are used for convenience only and are not to be considered in
construing or interpreting this Agreement.

                                       23
<PAGE>   24

             8.7 NOTICES. Any notice required or permitted by this Agreement
shall be in writing and shall be deemed sufficient upon delivery, when delivered
personally or by overnight courier or sent by telegram or fax, or five (5) days
after being deposited in the U.S. mail, as certified or registered mail, with
postage prepaid, addressed to the party to be notified at such party's address
as set forth on the signature page or Exhibit A hereto, or as subsequently
modified by written notice, and if to the Company, with a copy (not constituting
notice) to Orrick, Herrington & Sutcliffe LLP, 400 Capitol Mall, Suite 3000,
Sacramento, California 95814, Attention: Iain Mickle.

             8.8 FINDER'S FEE. Each party represents that it neither is nor will
be obligated for any finder's fee or commission in connection with this
transaction except as set forth on the Schedule of Exceptions. Each Purchaser
agrees to indemnify and to hold harmless the Company from any liability for any
commission or compensation in the nature of a finder's fee (and the costs and
expenses of defending against such liability or asserted liability) for which
such Purchaser or any of its officers, employees, or representatives is
responsible. The Company agrees to indemnify and hold harmless each Purchaser
from any liability for any commission or compensation in the nature of a
finder's fee (and the costs and expenses of defending against such liability or
asserted liability) for which the Company or any of its officers, employees or
representatives is responsible.

             8.9 ATTORNEY'S FEES. If any action at law or in equity (including
arbitration) is necessary to enforce or interpret the terms of any of the
Transaction Documents, the prevailing party shall be entitled to reasonable
attorney's fees, costs and necessary disbursements in addition to any other
relief to which such party may be entitled.

             8.10 AMENDMENTS AND WAIVERS OF AGREEMENT. Any term of this
Agreement may be amended or waived only with the written consent of the Company
and at least a majority of the holders of shares of Stock converted or
convertible into the Common Stock. Any amendment or waiver effected in
accordance with this Section 8.10 shall be binding upon the Purchasers and each
transferee of the Stock (or the Common Stock issuable upon conversion thereof),
each future holder of all such securities, and the Company.

             8.11 SEVERABILITY. If one or more provisions of this Agreement are
held to be unenforceable under applicable law, the parties agree to renegotiate
such provision in good faith. In the event that the parties cannot reach a
mutually agreeable and enforceable replacement for such provision, then (a) such
provision shall be excluded from this Agreement, (b) the balance of this
Agreement shall be interpreted as if such provision were so excluded and (c) the
balance of this Agreement shall be enforceable in accordance with its terms.

             8.12 DELAYS OR OMISSIONS. No delay or omission to exercise any
right, power or remedy accruing to any party under this Agreement, upon any
breach or default of any other party under this Agreement, shall impair any such
right, power or remedy of such non-breaching or non-defaulting party nor shall
it be construed to be a waiver of any such breach or default, or an acquiescence
therein, or of or in any similar breach or default thereafter occurring; nor
shall

                                       24
<PAGE>   25

any waiver of any single breach or default be deemed a waiver of any other
breach or default theretofore or thereafter occurring. Any waiver, permit,
consent or approval of any kind or character on the part of any party of any
breach or default under this Agreement, or any waiver on the part of any party
of any provisions or conditions of this Agreement, must be in writing and signed
by the party charged with such waiver and such waiver shall be effective only to
the extent specifically set forth in such writing. All remedies, either under
this Agreement or by law or otherwise afforded to any party, shall be cumulative
and not alternative.

             8.13 CONFIDENTIALITY. Each party hereto agrees that, except with
the prior written permission of the other party, it shall at all times keep
confidential and not divulge, furnish or make accessible to anyone any
confidential information, knowledge or data concerning or relating to the
business or financial affairs of the other parties to which such party has been
or shall become privy by reason of this Agreement, discussions or negotiations
relating to this Agreement, the performance of its obligations hereunder or the
ownership of Stock purchased hereunder; provided, however, that the receiving
party may disclose such information (i) on a confidential basis to its
attorneys, accountants, consultants and other professionals to the extent
necessary to obtain their services in connection with its investment in the
Company, (ii) to any prospective purchaser of Stock from the such receiving
party as long as such prospective purchaser agrees in writing to be bound by the
provisions of this Section 8.13, (iii) on a confidential basis to any affiliate
or partner of such receiving party and (iv) as required by judicial decree or
applicable law. The provisions of this Section 8.13 shall be in addition to, and
not in substitution for, the provisions of any separate nondisclosure agreement
executed by the parties hereto with respect to the transactions contemplated
hereby.

             8.14 EXCULPATION AMONG PURCHASERS. Each Purchaser acknowledges that
it is not relying upon any person, firm or corporation, other than the Company
and its officers and directors, in making its investment or decision to invest
in the Company. Each Purchaser agrees that no Purchaser nor the respective
controlling persons, officers, directors, partners, agents, or employees of any
Purchaser shall be liable to any other Purchaser for any action heretofore or
hereafter taken or omitted to be taken by any of them in connection with the
purchase of the Securities.

             8.15 INDEMNIFICATION. The Company shall defend, indemnify and hold
the Purchasers harmless from and against any and all claims, liabilities,
damages, losses and expenses, including reasonable attorney's fees and expenses
and costs of suit, arising out of any breach of the representations and
warranties, and out of any and all breaches of covenants, warranties,
stipulations, agreements and certifications made by or on behalf of the Company,
in the Transaction Documents or in any document delivered hereunder or
thereunder.

             8.16 PRESS RELEASE. Upon the consummation of the transactions
contemplated hereby, the Company may issue a press release identifying Mellon
Ventures, II, L.P. ("Mellon") and/or Hewlett-Packard as a Purchaser, subject to
the prior approval by Mellon and/or Hewlett-Packard, as applicable, of such
press release, which approval will not be unreasonably withheld.

                                       25
<PAGE>   26

             8.17 USE OF PROCEEDS. The proceeds the Company shall receive upon
the consummation of the transactions contemplated hereby shall be solely used
for product development, working capital and other general corporate purposes
and not for investment purposes other than high grade commercial paper or other
instruments.

                            [Signature Pages Follow]

                                       26
<PAGE>   27
        The parties have executed this Series D Preferred Stock Purchase
Agreement as of the date first written above.

                                       COMPANY:

                                       PRINTCAFE, INC.

                                       By:

                                       Name:

                                       Title:

                                       Address: 40 24th Street, 5th Floor
                                                Pittsburgh, PA  15222
                                                Attn: President
                                                Fax: (412) 456-1151

                   [SIGNATURE PAGE TO THE PURCHASE AGREEMENT]

                                       27
<PAGE>   28

                                       PURCHASERS:

                                       MELLON VENTURES II, L.P.
                                       By its general partner
                                       MVMA II L.P.

                                       By its general partner
                                       MVMA Inc.

                                       By:
                                          Ryan Busch, Senior Associate

                   [SIGNATURE PAGE TO THE PURCHASE AGREEMENT]

                                       28
<PAGE>   29

                                    EXHIBITS

<TABLE>
<CAPTION>
<S>                         <C>
        Exhibit A     -     Schedule of Purchasers

        Exhibit B     -     Form of Amended and Restated Certificate of Incorporation

        Exhibit C     -     Schedule of Exceptions to Representations and Warranties

        Exhibit D     -     Form of Restated Investors' Rights Agreement

        Exhibit E     -     Restated Voting Agreement

        Exhibit F     -     Form of Restated Co-Sale Agreement

        Exhibit G     -     Financial Statements

        Exhibit H     -     Form of Bylaws

        Exhibit I     -     Form of Opinion of Orrick, Herrington & Sutcliffe LLP

        Exhibit J     -     Form of Opinion of Mathew D'Emilio
</TABLE>
<PAGE>   30

                                    EXHIBIT A

                             SCHEDULE OF PURCHASERS

<TABLE>
<CAPTION>
                                       NO. OF SHARES OF         NO. OF SHARES OF SERIES
     NAME/ADDRESS/FAX NO.          SERIES D PREFERRED STOCK       D-1 PREFERRED STOCK
     --------------------          ------------------------       -------------------
<S>                                <C>                          <C>
Mellon Ventures II, L.P.                    58,125                      225,000
c/o Mellon Ventures, Inc.
Attn:  Ryan Busch
One Mellon Center, Suite 5300
Pittsburgh, PA 15258-0001
Fax:  (412) 236-3593
</TABLE>

                                      A-30
<PAGE>   31

                                    EXHIBIT B

                          FORM OF AMENDED AND RESTATED
                          CERTIFICATE OF INCORPORATION

                                      B-31
<PAGE>   32

                                    EXHIBIT C

                            SCHEDULE OF EXCEPTIONS TO
                         REPRESENTATIONS AND WARRANTIES

                                      C-32
<PAGE>   33

                                    EXHIBIT D

                  FORM OF RESTATED INVESTORS' RIGHTS AGREEMENT

                                      D-33
<PAGE>   34
                                    EXHIBIT E

                        FORM OF RESTATED VOTING AGREEMENT

                                      E-34
<PAGE>   35

                                    EXHIBIT F

                         FORM OF RIGHT OF FIRST REFUSAL
                         AND RESTATED CO-SALE AGREEMENT

                                      F-35
<PAGE>   36

                                    EXHIBIT G

                              FINANCIAL STATEMENTS

                                      G-36
<PAGE>   37

                                    EXHIBIT H

                                 FORM OF BYLAWS

                                      H-37
<PAGE>   38

                                    EXHIBIT I

              FORM OF OPINION OF ORRICK, HERRINGTON & SUTCLIFFE LLP

                                      I-38
<PAGE>   39

                                    EXHIBIT J

                       FORM OF OPINION OF MATHEW D'EMILIO

                                      J-39

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