Document:

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                             EMPLOYMENT AGREEMENT
                             --------------------

     AGREEMENT made as of the 1/st/ day of October, 2001 by and between
LIGHTHOUSE FAST FERRY, INC., a New Jersey corporation with offices at 195
Fairfield Avenue, Suite C. West Caldwell, New Jersey 07006 (the "Company"), and
PATRICIA BEENE, residing at 768 Springfield Ave., #E4, Summit, NJ 07901 (the
"Employee").

     W I T N E S S E T H
     - - - - - - - - - -

     WHEREAS, the Company wishes to assure itself of the services of the
Employee, and the Employee wishes to serve in the employ of the Company, upon
the terms and conditions hereinafter set forth.

     NOW, THEREFORE, in consideration of the premises and the mutual agreements
hereinafter set forth, the parties hereto, intending to be legally bound, hereby
agree as follows:

     1.   Employment Term.
          ---------------

          1.1  The Company agrees to employ the Employee, and the Employee
agrees to serve in the employ of the Company, for the term set forth in Section
1.2, in the position and with the responsibilities, duties and authority set
forth in Section 2 and on the other terms and conditions set forth in this
Agreement.

          1.2  The term of the Employee's employment under this Agreement shall
be the period commencing on October 1,2001, and continuing through September 30,
2003, unless sooner terminated in accordance with this Agreement.

     2.   Position, Duties.   The Employee shall serve the Company as the Chief
          ----------------
Financial Officer of the Company.  The Employee shall report to, and shall have
such duties and responsibilities as shall be reasonably assigned to the
Employee, by the Board of Directors of the Company which duties and
responsibilities shall include:

          Maximize the return on financial assets by establishing
          financial policies, procedures, controls and reporting
          systems; ensure legal and regulatory compliance for all
          accounting and financial reporting functions; oversee cost
          and general accounting, accounts receivable collection and
          payroll and risk management; provide leadership and
          direction of the organization's financial operations,
          including strategic planning, analysis, reporting and
          collections; all aspects of Company finance, including
          planning, budgeting, monitoring and all reporting in guiding
          management to stated objectives; plan capital structure,
          direct treasury functions and manage audit and compliance
          programs; develop and implement information and financial
          system strategies and objectives to meet company needs.

     3.   Compensation.
          ------------

          3.1  Base Salary.  During the term of this Agreement, in consideration
               -----------
of the performance by the Employee of the services set forth in Section 2 and
her observance of the other covenants set forth herein, the Company shall pay
the Employee, and the Employee shall accept, a base salary at the rate of One
Hundred and Twenty-Five Thousand Dollars ($125,000.00) per annum, payable in
accordance with the standard payroll practices

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of the Company. In addition to the base salary payable hereunder, the Employee
may receive increases in salary during the term hereof in amounts and at such
times as shall be determined by the Board of Directors of the Company in its
sole discretion.

          3.2  Bonus.  The Employee shall be eligible to receive an annual bonus
               -----
based on achievement by the Company of growth performance goals as established
by the Board of Directors in its sole discretion.

          3.3  Warrants.  Employer shall issue three stock warrants to Employee
               --------
for a total of 175,000 shares of Employer's stock, exercisable within a three-
year period from the date of issuance  at $1.00 per share, as follows: (a) the
first stock warrant, which shall be for 50,000 shares, shall be issued to
Employee upon execution of this Agreement; (b) provided Employee has not been
terminated pursuant to Section 6.3 or 6.4 on or before the issuance dates, the
second warrant, which shall be for 50,000 shares,  shall be issued to Employee
on October 1, 2002; and (c) the third warrant, which shall be for 75,000 shares,
shall be issued to Employee on September 1, 2003.  All such warrants shall be
"cashless" warrants.

          3.4  Anti Dilution.   The Employer shall take no action nor permit any
               -------------
action to be taken which would in any manner cause the Employer stock warrants
to be diluted in any fashion including but not limited to, stock dividends, or a
stock split without notice to Employee and the amendment of Employee's warrants
to enable Employee to participate in any such enhancement of such warrants.

     4.   Expense Reimbursement.  During the term of the Employee's employment
          ---------------------
by the Company pursuant to this Agreement, consistent with the Company's
policies and procedures as may be in effect from time to time, the Company shall
reimburse the Employee for all reasonable and necessary out-of-pocket expenses
incurred by her in connection with the performance of her duties hereunder, upon
the presentation of proper accounts there for in accordance with the Company's
policies.  Employee shall be entitled to a $500 per month automobile allowance.

     5.   Other Benefits.  During the term of the Employee's employment by the
          --------------
Company pursuant to this Agreement, the Employee shall be entitled to receive
four weeks paid vacation time per annum and such other benefits as are from time
to time made available to employees including but not limited to health
benefits, retirement and pension plans.  Employee shall have the right to
receive the monetary value of such benefits should Employee not be a participant
in such benefits.  In addition, provided that Employee is insurable at regular
rates, the Employee shall be entitled to receive (i) a One Hundred Thousand
Dollar ($100,000.00) term life insurance policy on the life of the Employee and
(ii) disability insurance with maximum allowable coverage and a 90 day waiting
or elimination period.

     6.   Termination of Employment.
          -------------------------

          6.1  Death.  In the event of the death of the Employee during the term
               -----
of this Agreement, the Company shall pay to the estate or other legal
representative of the Employee the salary provided for in Section 3.1 (at the
annual rate then in effect) accrued to that date which is six months after the
Employee's date of death and not theretofore paid, and the estate or other legal
representative of the Employee shall have no further rights under this
Agreement.

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          6.2  Disability.   If the Employee shall become incapacitated by
               -----------
reason of sickness, accident or other physical or mental disability and shall
for a period of   ninety  (90)  consecutive days be unable to perform her normal
duties hereunder, with or without reasonable accommodation, the employment of
the Employee hereunder may be terminated by the Company upon thirty (30) days'
prior written notice to the Employee.  Promptly after such termination, the
Company shall pay to the Employee the salary provided for in Section 3.1 (at the
annual rate then in effect) accrued to the date of such termination and not
theretofore paid.  Neither the Employee nor the Company shall have any further
rights or obligations under this Agreement, except as provided in Sections 7, 8,
9 and 10.

          6.3  Due Cause.  Employee may be terminated by the Company at any time
               ---------
during the term of this Agreement for Due Cause (as hereinafter defined).  In
the event of such termination, the Company shall pay to the Employee the salary
provided for in Section 3.1 (at the annual rate then in effect) accrued to the
date of such termination and not theretofore paid to the Employee, and, after
the satisfaction of any claim of the Company against the Employee arising as a
direct and proximate result of such Due Cause, if any, neither the Employee nor
the Company shall have any further rights or obligations under this Agreement,
except as provided in Sections 7, 8, 9 and 10.  For purposes hereof, "Due Cause
shall mean (a) a material breach of any of the Employee's obligations hereunder
(it being understood that any breach of the provisions of Sections 2, 7, 8 or 9
hereof shall be considered material); (b) the habitual abuse of alcohol or
unprescribed drugs by the Employee to an extent that such use interferes with
the performance by the Employee of her responsibilities hereunder; or (c) that
the Employee, in carrying out her duties hereunder, has been guilty of gross
mismanagement resulting in material harm to the Employer or to any member of the
Company Group (as hereinafter defined); or (d) that the Employee has been
convicted of, or entered a plea of nolo contendere to, (i) a felony or (ii) any
                                   ---- ----------
lesser crime or offense involving moral turpitude.  In the event of an
occurrence under this Section 6.3, the Employee shall be given 21 days' written
notice by the Company that it intends to terminate the Employee's employment for
Due Cause under this Section, which written notice shall specify the act or acts
upon the basis of which the Company intends so to terminate the Employee's
employment.

          6.4  Other Termination by the Company.  The Company may terminate the
               --------------------------------
Employee's employment prior to the expiration of the term of this Agreement for
whatever reason it deems appropriate; provided, however that in the event that
such termination is not pursuant to Sections 6.1, 6.2 or 6.3, the Company shall:

     (1) pay to the Employee in a lump sum in an amount equal to
     Employee's annual salary as set forth in Section 3.1 (or if
     higher, the annual salary rate then in effect); and,

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     (2) issue to the Employee cashless stock warrants granting such Employee
     the right to purchase 25,000 shares of the Company's common stock at One
     and One/Tenth ($1.10) Dollars per share exercisable at any time over a
     period of five (5) years from the Date of Termination.  In the event of a
     termination under this Section 6.4, neither the Company nor the Employee
     shall thereafter have any further rights or obligations under this
     Agreement except as are provided in Sections 7, 8, 9, 10 and 18.

     6.5  Intentionally Left Blank.
          -------------------------

     6.6  Change in Control-termination of Employment.
          -------------------------------------------
     (a) Should a Change in Control occur (as hereinafter defined), Employee may
terminate her employment within one (1) year after she has obtained actual
knowledge of the occurrence of any of the following events:

          (i)   Failure to elect or appoint, or re-elect or re-appoint, Employee
     to, or removal of Employee from, her office and/or position as Chief
     Financial Officer, except in connection with the termination of Employee's
     employment pursuant to subparagraphs 6.1, 6.2 or 6.3 hereof.

          (ii)  A reduction in Employee's overall compensation (including any
     reduction in pension or other benefit programs or perquisites) or a
     significant change in the  nature or scope of the authorities, powers,
     functions or duties normally attached to employee's position with the
     Company.

          (iii) A determination by Employee made in good faith that, as a
     result of a Change in Control, she is unable effectively to carry out the
     authorities, powers, functions or duties attached to her position and the
     situation is not remedied within thirty (30) calendar days after receipt by
     the Company of written notice from Employee of such determination.

          (iv)  A breach by the Company of any provision of this Agreement not
     covered by clause (i), (ii) or (iii) of this subparagraph 6.6(a), which is
     not remedied within thirty (30) calendar days after receipt by the Company
     of written notice from Employee of such breach.

          (v)   A change in the location at which substantially all of
     Employee's duties with the Company are to be performed to a location which
     is not within a 20 mile radius of the address of the place where Employee
     is performing services on the date of the Change in Control.

          (vi)  A failure by the Company to obtain the assumption of, and the
     agreement to perform, this Agreement by any successor.

          An election by Employee to terminate her employment under the
provisions of this subparagraph 6.6:

     (a)  shall be deemed a voluntary termination of employment by Employee for
the purpose of interpreting the provisions of any of the Company's employee
benefit plans, programs or policies. Employee's right to terminate her
employment hereunder shall not be affected by her illness or incapacity, whether
physical or mental, unless the Company shall at the time be entitled to
terminate her employment under paragraph 6.2 of this

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Agreement. Employee's continued employment with the Company for any period of
time less then two (2) years after a Change in Control shall not be considered a
waiver of any right she may have to terminate her employment pursuant to this
paragraph 6.6(a).

     (b) After a Change in Control has occurred, if Employee terminates her
employment with the Company pursuant to subparagraph 6.6(a) or if Employee's
employment is terminated by the Company for any reason other than pursuant to
paragraph 6.1, 6.2 or 6.3 hereof, Employee (i) shall be entitled to her salary,
bonuses, awards, perquisites and benefits, including, without limitation,
benefits and awards under the Company's stock option plans if any, and the
Company's pension and retirement plans and programs, if any, through the
Termination Date and, in addition thereto, (ii) shall be entitled to be paid the
benefits and money as set forth in Paragraph 6.4.  Such lump sum payment is
hereinafter referred to as the "Termination Compensation."

     (c) For purposes hereof, a Change in Control shall be deemed to have
occurred if there has occurred, after the Commencement Date, (i) a change in
control of the Company as the term "control" is defined in Rule 12b-2
promulgated under the Securities and Exchange Act; (ii) when any "person" (as
such term is defined in the Act) who does not presently own five (5%) percent or
more of the Company's issued and outstanding securities becomes a beneficial
owner, directly or indirectly, of securities of the Company representing thirty
(30%) percent or more of the Company's then outstanding securities having the
right to vote on the election of directors; (iii) during any period of not more
than two consecutive years (not including any period prior to the execution of
this Amended Agreement), individuals who at the beginning of such period
constitute the Board, cease for any reason to constitute at least sixty (60%)
percent of the entire Board of Directors; (iv) when a majority of the directors
elected at any annual or special meeting or stockholders (or by written consent
in lieu of a meeting) are not individuals nominated by the Company's incumbent
Board of Directors; (v) if the shareholders of the Company approve a merger or
consolidation of the Company with any other corporation, other than a merger or
consolidation which would result in the holders of voting securities of the
Company outstanding immediately prior thereto being the holders of at least
sixty (60%) percent of the voting securities of the surviving entity outstanding
immediately after such merger or consolidation; (vi) if the shareholders of the
Company approve a plan of complete liquidation of the Company; or (vii) if the
shareholders of the Company approve an agreement for the sale or disposition of
all or substantially all of the Company's assets.

     (d) Notwithstanding anything in this Paragraph 6.6 to the contrary;
Employee shall have the right, prior to the receipt by her of any amounts due
thereunder, to waive the receipt thereof or, subsequent to the receipt by him of
any amounts due hereunder, to treat some or all of such amounts as a loan from
the Company which Employee shall repay to the Company within ninety (90) days
from the date of receipt, with interest at the rate provided in Section 7872 of
the Internal Revenue Code of 1986.   Notice of any such waiver of treatment of
amounts received as a loan shall be given by Employee to the Company in writing
and shall be binding upon the Company.

     (e) It is intended that the "present value" of the payments and benefits to
Employee, whether under this Amended Agreement or otherwise, which are
includible in the computation of "parachute payments" shall not, in the
aggregate, exceed 2.99 times the "base amount" (the terms "present value,"
"parachute payments" and "base

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amount" being determined in accordance with the Code). Accordingly, if Employee
receives payments or benefits from the Company prior to payment of the
Termination Compensation which, when added to the Termination Compensation,
would, in the opinion of the Company's regularly employed independent accounting
firm (hereinafter "accountants"), subject any of the payments or benefits to
Employee to the excise tax imposed by Section 4999 of the Code, the Termination
Compensation shall be reduced by the smallest amount necessary, in the opinion
of the Accountants, to avoid such tax. In addition, the Company shall have no
obligation to make any payment or provide any benefit to Employee subsequent to
payment of the Termination Compensation that, in the opinion of the Accountants,
would subject any of the payments or benefits to Employee to the excise tax
imposed by Section 4999 of the Code. No reduction in Termination Compensation or
release of the Company from any payment or benefit obligation in reliance upon
any aforesaid opinion of the Accountants shall be permitted unless the Company
shall have provided to Employee a copy of any such opinion, specifically
entitling Employee to rely thereon, no later than the date otherwise required
for payment of the Termination Compensation or any such letter payment or
benefit.

     (f) Employee shall not be required to use her best efforts to mitigate the
payment of the Termination compensation by seeking other employment.   To the
extent that Employee shall, during or after the Term, receive compensation from
any other employment, the payment of Termination compensation shall not be
adjusted.

     6.7  Rights to Benefits.  Upon termination of employment under any
          ------------------
provision contained in this Section 6, rights and benefits of the Employee, her
estate or other legal representative under the employee benefit plans and
programs of the Company, if any, will be determined in  accordance with the
terms and provisions of such plans and programs.  Neither the Employee nor the
Company shall have any further rights or obligations under this Agreement,
except as provided in Sections 7, 8, 9, 10 and 18.

     6.8  Notice of Termination and Termination Date.
          -------------------------------------------

     (a)  Any termination of Employee's employment by the Company or by Employee
shall be communicated by a Notice of Termination to the other party hereto.
For purposes hereof, a "Notice of Termination" shall mean a notice which shall
stated the "Termination Date" (as hereinafter defined) and the specific reasons,
and shall set forth in reasonable detail the facts and circumstances, for such
determination and, in the case of Employee's termination of employment pursuant
to paragraph 6.6(a)(iii) hereof, shall state that Employee has made the good
faith termination required by that subparagraph.

     (b)  "Termination Date" shall mean the date specified in the Notice of
Termination as the last date of Employee's employment by the Company, which date
shall not be sooner than the date on which the Notice of Termination is given.

     (c)  If, within thirty (30) calendar days after any Notice of Termination
is given, or, if later, prior to the Termination Date (as determined without
regard to this paragraph 6.8(c)), the party hereto receiving such Notice of
Termination notifies the other party hereto that a dispute exists concerning the
termination, the Termination Date shall be the date on which the dispute is
finally determined, either by mutual written agreement of the parties hereto, by
a binding arbitration award or by a final judgment, order or decree of a court
of competent jurisdiction (which is

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not appealable or with respect to which the time for appeal therefrom has
expired and no appeal has been perfected); provided, however, that the
Termination Date shall be extended by a notice of dispute only if such notice is
given in good faith and the party hereto giving such notice pursues the
resolution of such dispute with reasonable diligence. Notwithstanding the
pendency of such dispute, the Company will continue to pay to Employee her full
compensation (including perquisites and other benefits) in effect when the
notice of dispute was given and continue Employee as a participant in all
employee benefit plans and programs in which she was participating when the
notice of dispute was given, until the

     7.   Confidential Information.
          ------------------------

          7.1  (a)  The Employee shall, during the Employee's employment with
the Company and at all times thereafter, treat all confidential material (as
hereinafter defined) of the Company or any of the Company's subsidiaries,
affiliates or parent entities (the Company and the Company's subsidiaries,
affiliates and parent entities being hereinafter collectively referred to as the
"Company Group") confidentially.  The Employee shall not, without the prior
written consent of the Board of Directors of the Company, disclose such
confidential material, directly or indirectly, to any party, who at the time of
such disclosure is not an employee or agent of any member of the Company Group,
or remove from the Company's premises any notes or records relating thereto,
copies or facsimiles thereof (whether made by electronic, electrical, magnetic,
optical, laser, acoustic or other means), or any other property of any member of
the Company Group.  The Employee agrees that all confidential material, together
with all notes and records of the Employee relating thereto, and all copies or
facsimiles thereof in the possession of the Employee (whether made by the
foregoing or other means) are the exclusive property of the Company.

               (b)  For the purposes hereof, the term "confidential material"
shall mean all information in any way concerning the activities, business or
affairs of any member of the Company Group or any of the customers of any member
of the Company Group, including, without limitation, information concerning
trade secrets, together with all sales and financial information concerning any
member of the Company Group and any and all information concerning projects in
research and development or marketing plans for any products or projects of the
Company Group, and all information concerning the practices and customers of any
member of the Company Group; provided, however, that the term "confidential
material" shall not include information which becomes generally available to the
public other than as a result of a disclosure by the Employee.

          7.2  Promptly upon the request of the Company, the Employee shall
deliver to the Company all confidential material relating to any member of the
Company Group in the possession of the Employee without retaining a copy
thereof, unless, in the written opinion of counsel for the Company delivered to
the Employee, either returning such confidential material or failing to retain a
copy thereof  would violate any applicable Federal, state, local or foreign law,
in which event such confidential material shall be returned without retaining
any copies thereof as soon as practicable after such counsel advises in writing
to the Employee that the same may be lawfully done.

          7.3  In the event that the Employee is required, by oral questions,
interrogatories, requests for information or documents, subpoena, civil
investigative demand or similar process, to disclose any confidential material
relating to any member of the Company Group, the Employee shall provide the
Company with prompt

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notice thereof so that the Company may seek an appropriate protective order
and/or waive compliance by the Employee with the provisions hereof.

     8.   Non-Competition.
          ---------------

          8.1  The Employee acknowledges that the services to be rendered by her
to the Company are of a special and unique character.  The Employee agrees that,
in consideration of her employment hereunder, the Employee will not, (a) (A)
during the term of this Agreement and (B) until two (2) years from the date of
termination of the Employee's employment with the Company or any other member of
the Company Group, directly or indirectly, (w) engage, whether as principal,
agent, investor, distributor, representative, stockholder, employee, consultant,
volunteer or otherwise, with or without pay, in any activity or business venture
which is competitive with the Business (as hereinafter defined), (x) solicit or
entice or endeavor to solicit or entice away from any member of the Company
Group any person who was or is at the time of solicitation, a director, officer,
employee, agent or consultant of such member of the Company Group, on the
Employee's own account or for any person, firm, corporation or other
organization, whether or not such person would commit any breach of such
person's contract of employment by reason of leaving the service of such member
of the Company Group, (y) solicit or entice or endeavor to solicit or entice
away any of the clients or customers or potential clients or customers of any
member of the Company Group, either on the Employee's own account or for any
other person, firm, corporation or organization, or (z)employ any person who was
or is at the time of employment, a director, officer or employee of any member
of the Company Group or any person who is or may be likely to be in possession
of any confidential information or trade secrets relating to the business of any
member of the Company Group, or (b) at any time  take any action or make any
statement, the effect of which would be, directly or Company Group or the
business reputation or good name of any indirectly, to impair the good will of
any member of the member of the Company Group, or be otherwise detrimental to
the Company, including any action or statement intended, directly or indirectly,
to benefit a competitor of any member of the Company Group.  For purposes
hereof, "Business" shall mean the business of the Company and any member of the
Company Group including but not limited to Lighthouse Fast Ferry Inc. and
Lighthouse Fast Ferry Holdings Inc. their affiliates and subsidiaries, and any
other related activities developed by the Company or any member of the Company
Group.

          8.2  The Employee and the Company agree that if, in any proceeding,
the court or authority shall refuse to enforce the covenants herein set forth
because such a geographic area or too long a period of time, any such covenant
shall be deemed appropriately amended and modified in keeping with the intention
of the parties to the maximum extent permitted by law.

          8.3  The Employee expressly acknowledges and agrees that the covenants
and agreements set forth in this Section 8 are reasonable in all respects, and
necessary in order to protect, maintain and preserve the value and goodwill of
the Company Group, as well as the proprietary and other legitimate business
interests of the members of the Company Group.  The Employee acknowledges and
agrees  that the covenants and agreements of the Employee set forth in this
Section 8 constitute a significant part of the consideration given by the
Employee to

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the Company in exchange for the salary and benefits provided for in this
Agreement, and are a material reason for such payment.

     9.   Intellectual Property.
          ---------------------

          9.1  Any and all intellectual property, inventions or software made,
developed or created by the  Employee (a) during the term of this Agreement or
(b) within a period of one year after the termination of the Employee's
employment with the Company or any other member of the Company Group, which
reasonably relate to the business of the Company or any other member of the
Company Group or which reasonably relate to any business conducted by the
Company during the term of the Employee's employment by the Company (each, an
"Invention"), whether at the request or suggestion of the Company or otherwise,
whether alone or in conjunction with others, and whether during regular working
hours of work or otherwise, shall be promptly and fully disclosed by the
Employee to the Board of Directors of the Company and shall be the Company's
exclusive property as against the Employee, and the Employee shall promptly
deliver to the Board of Directors all papers, drawings, models, data and other
material relating to any Invention made, developed or created by her as
aforesaid.  In addition, the Employee covenants and agrees to disclose to the
Board of Directors any Invention developed or created by the Employee during the
term of this Agreement, whether or not such Invent ion relates to the business
being conducted by the Company or any other member of the Company Group at the
time of development or creation of such Invention.

          9.2  The Employee hereby expressly acknowledges and agrees that any
Invention developed or created by the Employee during the term of this Agreement
which reasonably relates to the business of the Company or any other member of
the Company Group or which reasonably relates to the business conducted by the
Company during the Employee's employment by the Company shall be considered
"works made for hire" within the meaning of the Copyright Act of 1976, as
amended (17 U.S.C. (S) 101).  Each such invention as well as all copies of such
Invention in whatever medium fixed or embodied, shall be owned exclusively by
the Company as of the date of creation.

          9.3  The Employee shall, upon the Company's request and without any
payment therefor, execute any documents necessary or advisable in the opinion of
the Company's counsel to direct issuance of patents or copyrights of the Company
with respect to such Invention as are to be in the Company's exclusive property
as against the Employee under this Section 9 or to vest in the Company title to
such inventions as against the Employee, the expense of securing any such patent
or copyright, to be borne by the Company.  In addition, the Employee agrees not
to file any patent, copyright or trademark applications related to such
Invention.

     10.  Equitable Relief.  In the event of a breach or threatened breach by
          ----------------
the Employee of any of the provisions of Sections 7, 8 or 9 of this Agreement,
the Employee hereby consents and agrees that the Company shall be entitled to
pre-judgment injunctive relief or similar equitable relief restraining the
Employee from committing or continuing any such breach or threatened breach or
granting specific performance of any act required to be performed by the
Employee under any of such provisions, without the necessity of showing any
actual damage or that money damages would not afford an adequate remedy and
without the necessity of posting any bond or other

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security. The parties hereto hereby consent to the jurisdiction of the federal
courts located in New Jersey and the state courts located in such District for
any proceedings under this Section 10. Nothing herein shall be construed as
prohibiting the Company from pursuing any other remedies at law or in equity
which it may have.

     11.  Successors and Assigns.
          ----------------------

          11.1 Assignment by the Company.   The Company may assign this
               -------------------------
Agreement to any member of the Company Group or to any entity which acquires
substantially all the assets and business of the Company, and the Employee
hereby consents to such assignment.

          11.2 Assignment by the Employee.   The Employee may not assign this
               --------------------------
Agreement or any part hereof without the prior written consent of the Board of
Directors of the Company.

     12.  Governing Law.   This Agreement shall be deemed a contract made under,
          -------------
and for all purposes shall be construed in accordance with, the laws of New
Jersey or such other State in which the Employee's principal business office is
located if her principal business office no longer is in New Jersey applicable
to contracts to be performed entirely within such State.

     13.  Entire Agreement.  This Agreement contains all the understandings and
          ----------------
representations between the parties hereto pertaining to the subject matter
hereof and supersede all undertakings and agreements, whether oral or in
writing, if there be any, previously entered into by them with respect thereto;
provided, however, that Section 8 shall not serve as a limitation of the terms
of-any other non-competition agreement between the Employee and any member of
the Company Group.

     14.  Modification and Amendment; Waiver.  The provisions of this Agreement
          ----------------------------------
may be modified, amended or waived, but only upon the written consent of the
party against whom enforcement of such modification, amendment or waiver is
sought and then such modification, amendment or waiver shall be effective only
to the extent set forth in such writing.  No delay or failure on the part of any
party hereto in exercising any right, power or remedy hereunder shall effect or
operate as a waiver thereof, nor shall any single or partial exercise thereof or
any abandonment or discontinuance of steps to enforce such right, power or
remedy preclude any further exercise thereof or of any other right, power or
remedy.

     15.  Notices.  All notices, requests or instructions hereunder shall be in
          -------
writing and delivered personally, sent by telecopier or sent by registered or
certified mail, postage prepaid, as follows:

          If to the Company:   To the address set forth above.
          -----------------
     Attention: Chief Executive Officer
          Telecopy No.:  973-228-9003
          Telephone No.: 973-618-9034

          If to the Employee: To the address set forth above.
          ------------------

Either of the above addresses may be changed at any time by notice given as
provided above; provided, however, that any such notice of change of address
shall be effective only upon receipt.  All notices, requests or instructions
given in accordance herewith shall be deemed received on the date of delivery,
if hand delivered or telecopied, and two business days after the date of
mailing, if mailed.

                                      10
<PAGE>

     16.  Arbitration.  In the event any dispute arises between the parties
          -----------
hereto, Employee and the Company shall each have the right to seek arbitration
in Newark, New Jersey under the rules of the American Arbitration Association by
giving written notice of intention to arbitrate to the other party.   Any award
rendered in any such arbitration proceeding shall be non-appealable and final
and binding upon the parties hereto, and judgment thereon may be entered in any
court of competent jurisdiction.   If Employee prevails in any litigation or
arbitration proceeding brought in accordance herewith, or if any such litigation
or arbitration proceeding is settled, Employee shall be entitled, to the extent
no prohibited by applicable law, to reimbursement from the Company for her
reasonable attorneys' fees and expenses incurred in connection with such
litigation or arbitration proceeding.

     17.  Expenses.  Each of the parties hereto shall bear her or its own costs
          ---------
and expenses, including attorneys fees and disbursements, incurred in connection
with this Agreement and the transactions contemplated hereby.

     18.      Indemnification.
              ---------------
     (a) The Company shall indemnify Employee to the fullest extent permitted by
the New Jersey Business Corporation Act.  Without limitation of the foregoing,
in the event that Employee becomes involved in any capacity in any action,
proceeding or investigation in connection with any activities involving the
Company occurring during the term hereof, the Company will, advance to Employee
her reasonable legal and other reasonable expenses (including the cost of any
investigation and preparation incurred in connection therewith).  Such advances
and indemnification shall also be provided to Employee subsequent to the term
hereof provided such action, proceeding or investigation invokes activities of
the Company while the Employee was employed by the Company.

     (b) Employee shall give prompt written notice to the Company of the
commencement of any action, suit or proceeding for which indemnification may be
sought under this paragraph, and the Company, through counsel reasonably
satisfactory to Employee, may assume the defense thereof; provided, however,
that Employee shall be entitled to participate in any such action, suit or
proceeding with counsel of her own choice but at her own expense; and provided
further, the Employee shall be entitled to participate in any such action, suit
or proceeding with counsel of her own choice at the expense of the Company if,
in the good faith judgment of Employee's counsel, representation by the
Company's counsel may present a conflict of interest or there may be defenses
available to Employee which are different from or in addition to those available
to the Company.   In any event, if the Company fails to assume the defense
within a reasonable time, Employee may assume such defense and the reasonable
fees and expenses of her attorneys shall be borne by the Company.   No action,
suit or proceeding for which indemnification may be sought shall be compromised
or settled in any manner which might adversely affect the interest of the
Company without the prior written consent of the Company.   Notwithstanding
anything in this Agreement to the contrary, the Company shall not, without the
written consent of the Employee, (i) settle or compromise any action, suit or
proceeding or consent to the entry of any judgment which does not include as a
unconditional term thereof the delivery by the claimant or plaintiff to Employee
of a written release from all liability in respect of such action, suit or
proceeding or (ii) settle or compromise any action, suit or proceeding in any
manner

                                       11
<PAGE>

that may materially and adversely affect Employee other than as a result
of money damages or other money payment for which the Company fully pays.

     (c) The Company shall cause to be maintained in effect, for not less than
two (2) years after the Termination Date, the then current policies of the
directors' and officers' liability insurance maintained by the Company and the
Company's subsidiaries provided that the Company may substitute therefor
policies of at least the same coverage containing terms and conditions which are
no less advantageous so long as no lapse in coverage occurs as a result of such
substitution, and shall use its best efforts to provide such insurance for an
additional three (3) years after the expiration of such two-year period, the
availability of such insurance at commercially reasonable rates (or, if not
available at reasonable rates, then the Company shall purchase similar insurance
but with such lowers limits of liability, without change in retention amounts,
as may be available for a premium comparable to that paid by the Company for the
last year of such two-year period), with respect to all matters occurring prior
to and including the Termination Date; provided that, in the event that any
claim shall be asserted or made within such period during which insurance has
been or is to be provided, such insurance shall be continued in respect of any
such claim until final disposition of any and all such claims.    The Company
shall pay all expenses, including reasonable attorneys' fees, that may be
incurred by Employee in enforcing the indemnity and other obligations provided
for in this paragraph.   The covenant in this paragraph shall survive the
Termination Date and shall continue without time limit (except as expressly
provided in this paragraph).

     19.  Titles.   Titles of the sections of this Agreement are intended solely
          ------
for convenience and no provision of this Agreement is to be construed by
reference to the title of any section.

     20.  Severability.  Should any provision of this Agreement be held by a
          ------------
court of competent jurisdiction to be enforceable only if modified, such holding
shall not affect the validity of the remainder of this Agreement, the balance of
which shall continue to be binding upon the parties hereto with any such
modification to become a part hereof and treated as though originally set forth
in this Agreement.  The parties further agree that any such court is expressly
authorized to modify any such unenforceable provision of this Agreement in lieu
of severing such unenforceable provision from this Agreement in its entirety,
whether by rewriting the offending provision, deleting any or all of the
offending provision, adding additional language to this Agreement, or by making
such other modifications as it deems warranted to carry out the intent and
agreement of the parties as embodied herein to the maximum extent permitted by
law.  The parties expressly agree that this Agreement as so modified by the
court shall be binding upon and enforceable against each of them.  In any event,
should one or more of the provisions of this Agreement be held to be invalid,
illegal or unenforceable in any respect, such invalidity, illegality or
unenforceability shall not affect any other provisions hereof, and if such
provision or provisions are not modified as provided above, this Agreement shall
be construed as if such invalid, illegal or unenforceable provisions had never
been set forth herein.

     21.  Survivorship.  The respective rights and obligations of the parties
          ------------
hereunder shall survive any termination of this Agreement to the extent
necessary to the intended preservation of such rights and obligations.

                                       12
<PAGE>

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

                                      LIGHTHOUSE FAST FERRY, INC., Employer

                                          /s/ Anthony Cappaze
                                      By:__________________________________
  Name:Anthony Cappaze
  Title:Chief Executive Officer

                                         /s/ Patricia Beene
                                      _____________________________________
                                      PATRICIA BEENE, Employee

                                       13<PAGE>

                        COLLECTIVE BARGAINING AGREEMENT

                                    Between
                              New York Fast Ferry
                                      and
                      Local 333, United Marine Division,
                   International Longshoremen's Association,
                                    AFL-CIO
                                     from
                              September 24, 2001
                                      to
                              September 24, 2004

[Ship logo appears here]
<PAGE>

     AGREEMENT, made this 24th day of September 2001, effective as of 12:0l
a.m. by and between NEW YORK FAST FERRY (hereinafter called the "Employer") and
Local 333, UNITED MARINE DIVISION, International Longshoremen's Association,
AFL-CIO (hereinafter called the "Union"), in its own behalf and in behalf of the
licensed and unlicensed personnel, (hereinafter called the "Employees"),
employed on the Employers Vessels.

     WHEREAS, the Union has demonstrated to the Employer that it has been
authorized by the employees in the appropriate bargaining unit to represent
their interests and to act as the sole and exclusive bargaining agent for all
Employees covered by this Agreement, with respect to wages, hours, and other
conditions of employment; and

     WHEREAS, it is the intention of the parties to this Agreement to insure
peaceful adjustment and settlement of grievances, and to prevent strikes,
lockouts or interruption of work, and interference with the efficient operations
of the Employers' business.

     NOW THEREFORE, in consideration of the mutual promises herein contained,
the Employer and the union agree as follows:

                                       1
<PAGE>

                                     ARTICLE I

                              GENERAL PROVISIONS
                              ------------------

Section 1. Application of Agreement
           ------------------------

     This Agreement applies only to all licensed and unlicensed Employees,
employed on vessels owned or operated by the Company, a subsidiary company, an
affiliated company or a company division in the Port of New York and vicinity
and as provided below in this Agreement.

Section 2. Hiring Employees
           ----------------

     During the life of this Agreement, the Employer shall be the sole judge of
whether applicants for employment are satisfactory, qualified, competent and
experienced.

     When a vacancy exists in the deck, engine, or steward's department, the
Employer will promptly notify the Union of the vacancy in order that the Union
may have the opportunity of referring qualified applicants to the Employer, and
the Union may consider that a vacancy has not been filled until the Employer
notifies the Union of the name of the person who has been employed. The Union
represents that it will conduct its hiring halls in a manner that will not
violate the National Labor Relations Act.

Section 3. Non-discrimination
           ------------------

     The Employer and the Union agree that there will be no discrimination
against any employee or applicant for employment because of race creed, color,
sex or national origin. This nondiscriminatory policy will include but not be
limited to the following: employment, upgrading, demotion or transfer, lay-off
or termination, rates of pay or forms of compensation, recruitment or
recruitment advertising, and selection for training, including apprenticeship.

                                       2
<PAGE>

Section 4. Union Shop
           ----------

     All present employees covered by this Contract shall be required to be or
become members of the Union within thirty-one (31) days after their initial
employment by the Company and, thereafter, to remain members of the Union in
good standing as a condition of continued employment. All new employees shall be
required to become members of the Union within thirty-one (31) days of their
date of hire, and thereafter, to remain members of the Union in good standing as
a condition of continued employment. The Employer agrees that, insofar as they
may lawfully do so, they will give full effect to this Section. The Employer
will furnish to the Union a list of the names of all employees who were
covered by this Contract.

     Upon the Union's written notice to the Employer that an Employee is
delinquent by reason of his nonpayment of the regular uniform dues or initiation
fee, the Employer shall promptly discharge said delinquent Employee. If the
Employer fails to discharge such Employee after said written notice by the
Union, the Union shall be free to conduct a strike against the Employer which
strike shall not violate the "no strike clause" and shall not be subject to the
grievance and arbitration machinery of this Contract.

Section 5. Suspension or Discharge
           -----------------------

     Any Employee suspended or discharged by the Employer shall be entitled to
a hearing provided his request is made within five (5) working days (exclusive
of Saturday and Sunday) after his suspension or discharge. The hearing shall be
held within three (3) days after receipt of such notice by the Employer, and the
Employee shall be entitled to be represented at the hearing by the Union. If
the hearing does not result in reinstatement of the Employee and if he still
Considers himself to have been suspended or discharged without cause, he shall
have the right to submit the matter to arbitration, as provided in this
Contract. If the hearing results in the Employee being reinstated, he shall be
restored to his former position and seniority rights and the Employer shall pay
him any unpaid wages from the time of his suspension or discharge to the time of
his reinstatement.

                                       3
<PAGE>

Section 6.  Employees Subject to Orders of Employer's Appointee
            ---------------------------------------------------

     While on board vessels owned or operated by the Employer, all Employees
shall be under the direction of and subject only to orders of such person or
persons as the Employer may designate or appoint.

Section 7.  Stoppage of Work
            ----------------

     The Union, in its own behalf and in behalf of the Employees, agrees that
during the life of this Agreement, there shall be no strikes, "sit-downs",
sympathy strikes or stoppage, picketing or cessation of work by the Union or the
Employees and to that end the Union and the Employees agree not to stop, hinder
or restrain, nor to instigate or encourage any other person to stop, hinder or
restrain the Employers' vessels in any manner from carrying on the Employers'
business, and Employees who do not abide by the provisions of this Section may
be discharged by the Employer. Upon violation of this Section by the Union or
any of the Employees, this Agreement may be terminated.

Section 8.  Lockouts
            --------

     The Employer agrees that during the Life of this Agreement, or during any
period of negotiations for a new Agreement, or for the modification or renewal
of this Agreement there shall be no lockout of the Employees and, upon violation
of this provision by the Employer, this Agreement may be terminated by the
union. However, the prohibition against lockouts contained herein shall not be
construed to prevent the Employer from laying up any vessels, or discontinuing
their operation and laying off their crews (Employees), in whole or in part, at
any time when for business reasons the Employer deems it advisable to do so.

Section 9.  Seniority
            ---------

a.  Employees may gain seniority in any of the following classifications to the
extent the he has engaged in the duties of that classification. The
classification shall include:

                                       4
<PAGE>

           (1) Deck (includes Captain, Mate and Deckhand)
           (2) Engine
           (3) Galley
           (4) Mechanic
           (5) Port Captain

If an Employee shall move from a classification in one department to a
classification in another department, he shall only have seniority in the
classification in the latter department.

b. Seniority by Classification - Seniority by classification shall only be
controlling in layoffs where fitness and ability are relatively equal.

An employee shall be credited with seniority within each classification in which
he has worked during his last unbroken period of service with this Employer,
provided that such classification or classifications are within the same
department in which the Employee is employed at the time he is considered for
layoff. Seniority credit in each such classification shall be computed from the
date of his first qualification in each such classification during his last
unbroken period of service.

If however, an Employee is promoted form one classification to a higher
classification in the same department, but fails within one year from date of
his promotion to make good in the higher job, he may return to the
classification from which he was promoted without loss of seniority but, in such
case, he will not retain seniority in the higher classification for the period
that he worked in the classification. The decision by either the Employer or by
the Employer on the competency of the Employee in the higher classification must
be made not later than one year from the time of the promotion.

c. Relative Fitness and Ability - the Employer shall make the determination of
the relative fitness and ability of Employees.

                                       5
<PAGE>

d.   Leave of Absence and Layoff - If an Employee is laid off for a period of
not longer than three (3) months, or is on a bona fide leave of absence, which
must be for an agreed, definite period, or is employed by a subsidiary or
affiliate of his Employer, his seniority shall continue uninterrupted through
said period. A leave of absence shall not be considered bona fide, unless the
Employee concerned shall notify the union in writing of his Employer's consent
to the leave of absence at the date of, or prior to, his going on a leave of
absence, and shall deliver to his Employer a copy of such notice, which shall
specify the agreed period of absence.

             A leave of absence shall not be granted solely to enable an
             Employee to take another job. A leave of absence shall be granted
             to enable an Employee to attend school for upgrading of job-related
             skills.

e.   Military Service - An Employee who volunteers for service in the Armed
Forces of the United States shall have the same reemployment rights as an
Employee who is drafted, provided that at the time of enlistment he is subject
to the draft and enlists for the minimum term of active duty available to him in
the branch of service which he selected.

f.   Breaks in Seniority -  An Employee's period of service shall be broken by:

              (1) Resignation.

              (2) Discharge for cause.

              (3) Layoff for a period in excess of (three) 3 months.

g.   The Employer shall furnish the Union with an up-to-date seniority list
immediately and thereafter at the end of each calendar year.

h.   Seniority Review - Seniority grievances shall be subject to the procedure
for Adjustment and Arbitration of Disputes under Article II of the Agreement.
The decision of the Arbitrator shall be final and binding on all parties
concerned, except for a grievance involving a licensed Employee who has been
employed in such
                                       6
<PAGE>

capacity aboard vessels of the employer for less than six months, in which case
the Review Board shall render an advisory opinion on the grievance in the light
of which the Employer shall reconsider, but need not change his action.

i.   Short Scheduling - In the event the available work to be performed can be
accomplished efficiently within fewer hours than the regular period set out in
this Contract, the employer may assign a lower number of hours with a
commensurate reduction in wage payments.

j.   Cross-Utilization - An employee covered by this Contract may be assigned to
or perform duties otherwise performed by those in different classifications
provided that if such work continues for ninety (90) days or more, the affected
employee may request a transfer to the new classification. Management and other
non-bargaining unit employees may assist the workforce by temporarily performing
Union work provide this does not occur on a regular or basis.

Section 10. Insurance & Pension
            -------------------

          The Company will continue the present Medical coverage at the same
Employee co-premium expense rates. Any future increase in premiums shall be
shared by the Company paying 75% of the increase and the Employee paying 25%.

          The Company will continue the present 401(k) plan. In addition,
starting January 2003 the Company will match an amount of 1.5% weekly to the
plan.

Section 1l. Compensation for Loss of Effects
            --------------------------------

          If the personal effects of any Employee become a total loss because of
fire or sinking of the vessel on which he is employed or contamination or
transfer of boats outside the unit when the crew is unable to retrieve personal
effects, he shall be paid by the Employer the sum of Four Hundred Fifty Dollars
($450.00) in full compensation for such lose, whether or not the lose is greater
or less than Four

                                       7
<PAGE>

Hundred Fifty Dollars ($450.00), except that if the loss is due to
contamination, the allowance shall be paid only to the extent of actual loss,
not to exceed $450.00.

Section 12.  Holidays
             --------

         The Employer recognizes:

                 New Years Day                  Thanksgiving Day

                 Presidents Day                 Christmas Day

                 Memorial Day                   Independence Day

                 Labor Day

When Employee are off on the above Holidays they shall receive their regular
pay. If Employees are required to work on any of the Holidays enumerated above,
they shall be given reasonable notice by the Employer, and the Employer shall
pay them the overtime rate of time and one-half their daily rate of pay.

Section 13.  Vacations
             ---------

     An Employee who has been in the service of the Company for six (6)
consecutive months shall be entitled to one (1) week's vacation with pay. An
Employee with more than one (1) year's service with the Company shall be
entitled to a two (2) week vacation.

Section 14.  Bereavement Leave
             -----------------

     Time off with pay shall be granted to employees not to exceed three (3)
working days in case of death in the immediate family. Immediate family shall be
defined for this purpose as spouse, parent (natural, foster, step), mother-in-
law, father-in-law, child, brother or sister.

Section 15.  Fitness For Duty
             ----------------

     When the health of an Employee to perform his duties is an issue, "fit for
duty" or "not fit for duty" slip shall normally prevail subject to the right of
the Employer to check out questionable cases involving the safety of the crew or
vessels

                                       8
<PAGE>

with a hospital's out-patient department, which hospital shall be mutually
agreeable to the Union and Employer. The decision based on the findings of the
hospital's examination shall be final and the cost of such examination shall be
paid by the Employer.

Section 16.  Bidding For Jobs
             ----------------

     If there is an opening in the fleet, the Union shall be advised, and the
Employer shall consult with the Union on the qualifications of any Employees
seeking to fill that opening prior to making a permanent assignment.

Section 17.  Mailed Paychecks
             ----------------

     Upon request, an Employee's paycheck will be mailed to him at the address
that he desires without expense to him. Said paycheck must be mailed no later
than designated Paydays, and if it is not received within 10 days thereafter,
the Employer, at the Employee's request will immediately cancel the check and
issue him a substitute check.

     An Employee shall have the right to pick up paychecks at the Employer's
payroll office or deposit account during normal business hours on designated
paydays, provided he notifies the Employer in advance in writing.

Section 18.  Service Letters
             ---------------

     Upon written request of an Employee or former Employee the Employer shall,
within 10 days, provide the Employee with a service letter indicating the
length of service, the position held and the applicable license or
certification which that Employee has received.

Section 19.  Transfers -Notice to Union
             --------------------------

     Whenever a vessel is to be transferred or sold, the Employer shall give the
Union at least one (1) week's notice where possible.

                                       9
<PAGE>

                                  ARTICLE II

                    Adjustment and Arbitration of Disbutes
                    --------------------------------------

Section 1.     Informal Settlement
               -------------------

          Any dispute or grievance, involving the interpretation or application
of this Agreement, may be determined directly between the Employer and the
Union representative, provided that no such determination shall be a precedent.

Section 2.     Arbitration
               -----------

     a.   If the parties are unable to settle the dispute, either may submit the
          controversy to an arbitrator selected through the procedures of the
          American Arbitration Committee.

     b.   If the Committee is unable to agree upon an adjustment of any
          complaint, grievance or controversy, either party may demand an
          arbitration ("Expedited Arbitration"), at any time after the matter
          has been considered by the Quick Settlement Committee. All requests
          for arbitration must be made in writing to the Union, or the Employer,
          as the case may be, within ten (1O) days of the decision of the Quick
          Settlement Committee.

     c.   The Arbitrator shall be selected through the procedures of the
          Voluntary Rules of Labor Arbitration of the American Arbitration
          Association.

     d.   The decision of the Arbitrator shall be final and binding upon the
          parties hereto, and they agree to abide by such decision. The
          Arbitrator shall have full authority to interpret and apply the
          provisions of the collective bargaining agreement and to fashion any
          appropriate remedy. The Employer and the Union shall bear the expense
          of the arbitration. Such arbitration shall be conducted in accordance
          with the rules and regulations then prevailing of the American
          Arbitration Association.

                                      10
<PAGE>

                                  ARTICLE III

                               Working Conditions
                               ------------------

Section 1. Wages
           -----

                  Hourly rate   Hourly rate   Hourly rate    Hourly rate
                  -----------   -----------   -----------    -----------
                 Sept.24, 2001  Jan.1, 2002   Jan.1, 2003    Jan.1, 2004
     Captains       $19.69         $20.48        $21.30        $22.15
     Mate            16.03          16.67         17.34         18.03
     Engineer        17.00          17.68         18.39         19.12
     Mechanic        13.00          13.52         14.06         14.62
     Deckhand        11.00          11.44         11.90         12.37

Should the Employer exceed the "Break even point", in the prior contract year,
the wage increase shall be five (5%) percent. Employees being paid above the
contract rates shall be paid the above increases. For the present scheduled
commuter run, Sandy Hook to Manhattan, the workweek is Monday thru Friday. An
Employee's workweek shall consist of three (3) days at 14 hours per day. All
time worked in excess of 42 hours, shall be paid at the time and one half rate.
The schedule is subject to change should there be a change in the operating
schedule.

The Employer shall continue to coordinate the work schedule with the Employees
so that the work, as much as possible, be distributed among Employees in the
appropriate classification so that there is no unfair distribution of overtime
and is consistent with the Company's right to maximize the economies of
operation through the most efficient scheduling for the utilization of personnel
and equipment.

Section 2. Week-end crew rotation
           ----------------------
Each crew member shall be assigned specific week-end responsibilities, on a
fixed rotational basis, in order that a vessel be manned for charters and other
such operations.

Section 3. Sick days.
           ---------
Each Employee shall be entitled to two (2) paid sick days per contract year.

Section 4. Crew Manning
           ------------
Each vessel (Bravest and Finest) shall have one (1) Captain, one(1) Mate, either
one (1) Engineer or Mechanic and two (2) Deckhands for a total of five (5) crew
members.

                                      11
<PAGE>

On commuter runs, if a vessel is shorthanded, the remaining crewmembers shall
evenly split the missing crewman's pay. The Employee shall make their best
effort to notify the Company as early as possible of their absence.

Section 5. Renewal of Certification
           ------------------------
NYFF will pay either one half of costs ($300.00) or up to a maximum of $100.00
per year toward renewal of certification required by the USCG.

Section 6. Dues check-off
           --------------
The Company agrees to withhold an Employee's dues upon his submitting a signed
request to do so.

                                      12
<PAGE>

                                   ARTICLE IV

                  Effective Date of Agreement and Termination
                  -------------------------------------------

     This Agreement is effective as of 12:01 September 24, 2001 and it shall
remain in force and effective to and including midnight September 24, 2004 and
shall be automatically renewed thereafter from year to year (or by agreement for
any longer period), unless at least sixty (60) days before the expiration date
designated herein or the expiration date of any renewal period, written notice
of termination is given by certified mail by either party to the other,
addressed, if given by the Employer to Local 333, United Marine Division,
I.L.A., AFL-CIO. at 552 Bay street, Staten Island, New York 10304 and, if given
by the Union to New York Fast Ferry service, Inc.,
St. George Perry Terminal, 1 Richmond Terrace, Staten Island, New York 10301.

     IN WITNESS WHEREOF, the parties have hereunto caused these present to be
signed by their respective representatives.

New York Fast Ferry                               Local 333

                                                  United Marine Division

                                                  International Longshoremen's
                                                  Association, AFL-CIO

BY: /s/ John Koenig                               BY:  /s/ Albert M. Cornette
    ---------------                                   --------------------------
    John Koenig                                       Albert M. Cornette
    President                                         President & Gen. Manager

                                                  BY: /s/ John Healy
                                                      --------------------------
                                                      John Healy
                                                      Delegate

                                      13

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