Document:

LEASE

                          Preamble--Parties and Leasing

         GEORGE R. BRAMWELL, herein called "Lessor", hereby leases to RON BASSO
DBA/R. S. BASSO COMPANY, herein called "Lessee", those certain premises, herein
called "said premises", in the County of Sonoma, State of California, described
as 7190 Keating Avenue, Sebastopol, California, on the following terms and
conditions:

                            ARTICLE 1. TERM OF LEASE

                                  Original Term

         Section 1.01. This lease shall be for an initial term of five (5) years
commencing on July 1, 1996, and shall have three successive options exercisable
by Lessee for five (5) years each. Lessee shall be required to notify Lessor six
months in advance of each successive option period whether Lessee intends to
exercise the option or not.

                                    Hold Over

         Section 1.02. Should Lessee hold over and continue in possession of
said premises after expiration of the term of this lease or any extension
thereof, Lessee's continued occupancy of said premises shall be considered a
month-to-month tenancy subject to all terms and conditions of this lease and the
rent in effect immediately prior to the period of the hold over.

                    Lessor's Inability to Deliver possession

         Section 1.03. Should Lessor for any reason be unable to deliver
possession of said premises to Lessee on the date specified in Section 1.01 of
this lease as the date on which the term of the lease is to commence, this lease
shall not be void or voidable nor shall Lessor be liable to Lessee for any loss
or damage resulting from such failure to deliver possession to Lessee so long as
Lessor has exercised, and continues to exercise, reasonable diligence to deliver
possession or said premises to Lessee and so long as said premises are delivered
to Lessee by July 1, 1996. No rent shall, however, accrue or become due from
Lessee to Lessor under this lease until the actual physical possession of said
premises is delivered, or the right to actual unrestricted physical possession
of said premises under this lease is tendered, by Lessor to Lessee. The term of
this lease shall be extended by any inability by Lessor to deliver possession of
said premises to Lessee on the date specified in Section 1.01 for commencement
of the term of this lease by the actual period of Lessor's inability to deliver
possession.

                               Condition Warrants

         Section 1.04. Lessor warrants that the premises will be turned over
with level floor, clean interior, and one demising wall having been mutually
agreed upon by Lessor and Lessee.

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Lessor also warrants that the three roll-up doors are in good repair and work
properly at the time of occupancy of the Lessee.

         Section 1.05. Lessor agrees that, prior the lease commencement, the
roof and the skylites will be replaced and shall warrant roof to be leak free.

         Section 1.06. Lessor shall make premises available to Lessee 30 days
prior to commencement date of this lease for the purpose of making tenant
improvements, and Lessee shall have the right to inspect the premises just prior
to the commencement date in order to determine if Lessor has made premises
acceptable as outlined in above sections.

                                ARTICLE 2. RENT

                                  Minimum Rent

         Section 2.01. Lessee agrees to pay Lessor a fixed minimum rental for
the use and occupancy of said promises of______________________ per month
payable on the first day of each and every month, commencing July 1,1996, at the
home of Lessor at 11 Castle Court, Santa Rosa, California 95401, or at such
other place or places as Lessor may from time to time designate by written
notice delivered to Lessee.

                           Cost of Living Adjustments

         Section 2.02. Monthly rent for the space subject to the option provided
for in Section 2.01 hereof shall be subject to adjustment at the commencement of
the second year of the term and annually thereafter. This adjustment shall be as
follows: The base for computing the adjustment is the Consumer Price Index (San
Francisco Bay Area) published by the United States Department of Labor, Bureau
of Labor Statistics ("Index") which is published for July 1, 1996 ("Beginning
Index"). If the index published nearest each adjustment date ("Extension Index")
has changed from the Beginning Index, the monthly rent shall be adjusted by
multiplying the monthly rent by a fraction, the numerator of which is the
Extension Index and the denominator of which is the Beginning Index. In no case
shall the monthly rent be less than the monthly rent in effect commencing July
1, 1996. The maximum annual adjustment shall not exceed five percent (5%) per
year.

         If the index is changed so that the base year differs from that used as
of July 1, 1996, the Index shall be converted in accordance with the conversion
factor published by the United States Department of Labor, Bureau of Labor
Statistics. If the Index is discontinued or revised during the term, such other
government Index or computation with which it is replaced shall be used in order
to obtain substantially the same result as would be obtained if the index had
not been discontinued or revised.

                              Late Payment Penalty

         Section 2.03. In the event that Lessee tenders any monthly payment
specified in Section 2.01 and/or 2.02 above after the tenth of any month when
due, Lessee agrees to pay a Two Hundred Fifty ($250.00) Dollar late penalty.

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                           ARTICLE 3. USE OF PREMISES

         Section 3.01. Said premises shall, during the term of this lease and
any extensions thereof, be used for the purpose of operating and conducting
thereon and therein "workshops, storage facilities, shipping and receiving, and
offices" for uses normally incident to such purpose, and for no other purpose
without Lessor's written permission. Leased "premises" includes approximately
10,000 square feet of floor space with three roll-up doors, together with
approximately 6,000 square feet of parking lot to park cars and trucks or other
vehicles and to make deliveries to and ship products from the premises.

                                Insurance Hazards

         Section 3.02. Lessee shall not commit or permit the commission of any
acts on said premises nor use or permit the use of said premises in any manner
that will increase the existing rates for or cause the cancellation of any fire,
liability, or other insurance policy insuring said premises or the improvements
on said premises.

                                Waste or Nuisance

         Section 3.03. Lessee shall not commit or permit the commission by
others of any waste on said premises; Lessee shall not maintain, commit, or
permit the maintenance or commission of any nuisance as defined in Section 3479
of the California Civil Code on said premises; and Lessee shall not use or
permit the use of said premises for any unlawful purpose.

                         ARTICLE 4. TAXES AND UTILITIES

                           Payment of Utility Charges

         Section 4.01. Lessee shall pay, and hold Lessor and the property of
Lessor free and harmless from, all charges for the furnishing of gas, water,
electricity, telephone service, and other public utilities to said premises
during the term of this lease or any extension thereof and for the removal of
garbage and rubbish from said premises during the term of this lease or any
extensions thereof.

                             Personal Property Taxes

         Section 4.02. Lessee shall pay before they become delinquent all taxes,
assessments, or other charges levied or imposed by any governmental entity on
the furniture, trade fixtures, appliances, and other personal property placed by
Lessee in, on, or about said premises including, without limiting the generality
of the other terms used in this section, any shelves, counters, vaults, vault
doors, wall safes, partitions, fixtures, machinery, plant equipment, office
equipment, television or radio antennas, or communication equipment brought on
said premises by Lessee.

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                               Real Property Taxes

         Section 4.03. All real property taxes an assessments levied or assessed
against said premises by any governmental entity, including any special
assessments imposed on or against said premises for the construction or
improvement of public works in, on, or about said premises, shall be paid,
before they become delinquent, by Lessor.

                       ARTICLE 5. ALTERATIONS AND REPAIRS

                              Condition of Premises

         Section 5.01. Lessee accepts said premises, as well as the improvements
thereon and the facilities appurtenant thereto, in their present condition and
stipulates with Lessor that said premises as well as the improvements thereon
and the facilities appurtenant thereto are in good, clean, safe, and tenantable
condition as of the date of this lease. Lessee further agrees with and
represents to Lessor that said premises have been inspected by Lessee and that
he has been assured by means independent of Lessor any agent of Lessor of the
suitability of the premises for its intended use by Lessee and that said
premises are being leased by Lessee as a result of his inspection and
investigation and not as a result of any representations made by Lessor or any
agent of Lessor.

                              Maintenance by Lessor

         Section 5.02. Lessor shall, at his own expense, maintain in good
condition and repair the exterior roof, exterior walls; provided, however, that
the Lessor shall not be liable for any damage to Lessee or the property of
Lessee resulting from Lessor's failure to make any repairs required by this
section unless written notice of the need for such repairs has been given to
Lessor by Lessee and Lessor has failed for a period of thirty (30) days after
receipt of the notice, unless prevented by causes not the fault of the Lessor,
to make the needed repairs; provided, further, that Lessor shall promptly be
reimbursed by Lessee for the full cost of any repairs made pursuant to this
section required because of the negligence or other fault, other than normal and
proper use, of Lessee or his employees or agents or sublessees, if any.

                              Maintenance by Lessee

         Section 5.03. Except as otherwise expressly provided in Section 5.02 of
this lease, Lessee shall at his own cost and expense keep and maintain all
portions of said premises as well as all improvements on said premises and all
facilities appurtenant to said premises in good order and repair and in as safe
and clean a condition as they were when received by Lessee from Lessor,
reasonable wear and tear expected.

                        Maintenance of Show Window Glass

         Section 5.04. Lessee shall, at his own cost and expense, repair and
replace any glass in any show window on said premises that becomes broken
regardless of cause, including show window glass that is broken by fire, by act
of God, by fault of Lessor, or by fault of some employee or agent of Lessor.
Furthermore, Lessee shall at his own cost and

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expense at all times during the term of this lease carry adequate plate glass
insurance on the glass in all show windows on said premises to perform the
repair and replacement requirements of this section. Should Lessee fail to
repair or replace any glass broken in a show window or fail to maintain adequate
plate glass insurance on the glass in show windows on said premise, Lessor may
replace or repair the broken glass or secure such insurance and Lessee will
promptly reimburse Lessor for the cost thereof and pay Lessor interest on such
costs at the rate of ten percent (10%) per annum from the date the costs were
incurred by Lessor to tile date they are reimbursed to Lessor by Lessee.

                              Alterations and Liens

         Section 5.05. Lessee shall not make or permit any other person to make
any alterations to said premises or to any improvement thereon or facility
appurtenant thereto without the written consent of Lessor first had and
obtained. Lessee shall keep the premises free and clear from any and all liens,
claims, and demands for work performed, materials furnished, or operations
conducted on said premises at the instance or request of Lessee. Furthermore,
any and all alterations, additions, improvements, and fixtures, except furniture
and trade fixtures, made or placed in or on said premises by Lessee or any other
person shall on expiration or sooner termination of this lease become the
property of Lessor and remain on said premises provided, however, that Lessor
shall have the option on expiration or sooner termination of this lease of
requiring Lessee, at Lessee's sole cost and expense, to remove any or all such
alterations, additions, improvements, or fixtures from said premises.

                              Inspection by Lessor

         Section 5.06. Lessee shall permit Lessor or Lessor's agents,
representatives, or employees to enter said premises at all reasonable times for
the purpose of inspection of said premises to determine whether Lessee is
complying with the terms of this lease and for the purpose of doing other lawful
acts that may be necessary to protect Lessor's interest in said premises under
this lease or to perform Lessor's duties under this lease.

                              Surrender of Premises

         Section 5.07. On expiration or sooner termination of this lease, or any
extensions or renewals of this lease, Lessee shall promptly surrender and
deliver said premises to Lessor in as good condition as they are now at the date
of this lease, reasonable wear and tear and repairs herein requited to be made
by Lessor excepted.

                       ARTICLE 6. INDEMNITY AND INSURANCE

                              Hold-Harmless Clause

         Section 6.01. Lessee agrees to indemnify and hold Lessor and the
property of Lessor, including said premises, free and harmless from any and all
claims, liability, loss, damage, or expenses resulting from Lessee's occupation
and use of said premises, specifically including, without limitation, any claim,
liability, loss or damage arising by reason of:

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         (a) The death or injury of any person or persons including Lessee or
any person -who is an employee or agent of Lessee, or by reason at, except as &
result of Lessor's negligence, the damage to or destruction of any property,
including property owned by Lessee or any person who is an employee or agent of
Lessee, and caused or allegedly caused by either the condition of said premises,
or some act or omission of Lessee or of some agent, contractor, employee,
servant, sublessee, or concessionaire of Lessee on said premises;

         (b) Any work performed on said premises or materials furnished to said
premises at tile instance or request of Lessee or any agent or employee of
Lessee; and

         (c) Lessee's failure to perform any provisions of this lease or to
comply with any requirement of law or any requirement imposed on Lessor or the
leased premises by any duly authorized governmental agency or political
subdivision.

                               Liability Insurance

         Section 6.02. Lessee shall, at his own cost and expense, secure within
ten (10) days and maintain during the entire term of this lease and any renewals
or extensions of such term a broad form comprehensive coverage policy of public
liability insurance issued by an insurance company acceptable to or connected
with Lessee's occupation an use of said premises under this lease in amounts not
less than:

         (a) Two Hundred Fifty Thousand ($250,000.00) Dollars for injury to or
death of one person and subject to such limitation for the injury or death of
one person, of not less than Five Hundred Thousand ($500,000.00) Dollars for
injury to or death of two or more persons as a result -of' any- one accident or
incident; and

         (b) One Hundred Thousand ($100,000.00) Dollars for damage to or
destruction of -any property of others.

                              Waiver of Subrogation

         Section 6.03. The parties release each other, and their respective
authorized representatives, from any claims for damage, to any person, or to the
premises and to the fixtures, personal property, Lessee's improvements and
alterations of either Lessor or Lessee in or on the premises that are caused by
or result from the risks insured against under any insurance policies carried by
the parties and in force at the time of any such damage.

         Each party shall cause each insurance policy obtained by it to provide
that the insurance company waives all right of recovery by way of subrogation
against either party in connection with any damage covered by any policy.
Neither party shall be liable to the other for any damage caused by fire or any
of the risks insured against under any insurance policy required by this lease.
If any insurance policy cannot be obtained with a waiver of subrogation, or is
obtainable only by the payment of an additional premium charge above that
charged by insurance companies issuing policies without waiver of subrogation,
the party undertaking to obtain the insurance shall notify the other party of
this fact. The other party shall have a period of ten (10) days after receiving
the notice either to place the insurance with

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a company that is reasonably satisfactory to the other party and that will carry
the insurance with a waiver of subrogation, or to agree to pay the additional
premium if such policy is obtainable at additional cost. If the insurance cannot
be obtained or the party in whose favor a waiver of subrogation is desired
refuses to pay the additional premium charged, the other party is relieved of
the obligation to obtain a waiver of subrogation rights with respect to the
particular insurance involved.

                                 Fire Insurance

         Section 6.04. In order that the business of Lessee and the gross sales
of Lessee as defined in this lease may continue with as little interruption as
possible, Lessee shall, during the full term of this lease and any renewals or
extensions thereof, maintain at Lessee's own cost and expense an insurance
policy issued by a reputable company authorized to conduct insurance business in
California insuring for their full insurable value all fixtures and equipment
and, to the extent possible, all merchandise that is, at any time during the
term of this lease or any renewal or extension thereof, in or on said premises
against damage or destruction by fire, theft, or the elements.

                      ARTICLE 7. SIGNS AND TRADE FIXTURES

                   Installation and Removal of Trade Fixtures

         Section 7.01. Lessee shall have the right at any time and from time to
time during the term of this lease and any renewal or extension of such term, at
Lessee's sole cost and expense, to install and affix in, to, or on said premises
such items, herein called "trade fixtures", for use in Lessee's trade or
business as Lessee may, in his sole discretion, deem advisable. Any and all such
trade fixtures that can be removed without structural damage to said premises or
any building or improvements on said premises shall remain the property of the
Lessee and may be removed by Lessee at any time times prior to the expiration or
sooner termination of this lease.

                    ARTICLE 8. DESTRUCTION AND CONDEMNATION

                               Partial Destruction

         Section 8.01. Should said premises or the building on said premises be
partially destroyed by any cause not the fault of Lessee or any person in or
about said premises with the consent, express or implied, of Lessee, this leash
shall continue in full force and effect and Lessor, at Lessor's own cost and
expense, shall promptly commence the work of repairing and restoring said
premises to their prior condition providing such work can be accomplished under
all applicable governmental laws and regulations within sixty (60) working days
at a cost not exceeding full insured value.

                                Total Destruction

         Section 8.02. Should said premises or the building on said premises be
so far destroyed by any cause not the fault of Lessee or any person in or about
said premises with the

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consent, express or implied, of Lessee that they cannot be repaired or restored
to their former condition within sixty (60) working days or at a cost not
exceeding full insured value, Lessor or Lessee may at Lessor's or Lessee's
option either:

         (a) Continue this lease in full force and effect by repairing and
restoring, at Lessor's own cost and expense, said premises to their former
condition; or

         (b) Terminate this lease by giving Lessee written notice of such
termination.

                               Total Condemnation

         Section 8.03. Should, during the term of this lease or any renewal or
extension thereof, title and possession of all of said premises be taken under
the taken of eminent domain by any public or quasi-public agency or entity, this
lease shall terminate as of 12:01 a.m. of the date actual physical possession of
said premises is taken by the agency or entity exercising the power of eminent
domain and both Lessor and Lessee shall thereafter be released from all
obligations, except those specified in Section 8.06 of this lease, under this
lease.

                   Termination Option for Partial Condemnation

         Section 8.04. Should, during the term of this lease or any renewal or
extension thereof, title and possession of only a portion of said premises be
taken under the power of eminent domain by any public or quasi-public agency or
entity, Lessee may, at Lessee's option, terminate this lease if more than
Thirty-Five percent (35%) of the ground area or more than Thirty-Five percent
(35%) in value of said premises is taken under the power of eminent domain.
Lessee shall exercise his option by giving written notice to Lessor within
thirty (30) days after actual physical possession of the portion subject to the
eminent domain power is taken by the agency or entity exercising that power.
This lease shall terminate as of 12:01 a.m. of the date the notice is deemed
given to Lessor by the minimum rent specified in Section 2.01 of this lease
shall be reduced in the manner specified in Section 8.05 of this lease from the
date of taking to the date of termination of the lease.

                    Partial Condemnation Without Termination

         Section 8.05. Should Lessee fail to exercise the option described in
Section 8.04 of this lease or should the portion of said premises taken under
the power of eminent domain be insufficient to give rise to the option described
in Section 8.04 of this lease, then, in that event:

         (a) This lease shall terminate as to the portion of said premises taken
by eminent domain as of 12:01 a.m. of the day, herein called the "date of
taking", actual physical possession of that portion of said premises is taken by
the agency or entity exercising the power of eminent domain;

         (b) The minimum rent specified in Section 2.01 together with any
adjustments specified in Section 2.02 of this lease shall, after the date of
taking, be reduced by an amount that bears the same ratio to the minimum rent
specified in Section 2.01. of this

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lease as the square footage store area of the portion of said premises taken
under the power of eminent domain bears to the total square footage ground area
of said premises as of the date of this lease.

                               Condemnation Award

         Section 8.06. Should, during the term of this lease or any renewal or
extension thereof, title and possession of all or any portion of said premises
be taken under the power of eminent domain by any public or quasi-public agency
or entity, the portion of the compensation or damages for the taking awarded to
each of the parties to this lease, Lessor and Lessee, shall belong to and be the
sole property of the party Lessor or Lessee, to whom it is awarded. Lessee shall
be entitled to that portion of the compensation or damages awarded for the
eminent domain taking that represents (1) the reasonable value of the Lessee's
rights under this lease for the unexpired term of this lease and (2) the cost or
less sustained by Lessee because of the removal of Lessee's merchandise, trade
fixtures, equipment, and furnishings from the portion of said premises taken by
eminent domain.

                        Arbitration of Condemnation Award

         Section 8.07. Should separate awards not be made to Lessor and Lessee
for the taking by eminent domain of all or any portion of said premises, and
should Lessor and Lessee be unable to agree on the manner the total award is to
be divided between them pursuant to Section 8.06 of this lease, the proper
division of the award between Lessor and Lessee shall be settled by arbitration.
Each party shall appoint an arbitrator and the two arbitrators so appointed
shall, within a month after both have been appointed, select a third arbitrator.
The decision of any two of the three arbitrators in writing shall be binding on
both Lessor and Lessee. Should no two arbitrators be able to agree within one
month after appointment of the third arbitrator, the report of the arbitrator
most favorable to Lessor and the report of the arbitrator most favorable to
Lessee shall both be disregarded and the report of the remaining arbitrator
shall be binding on both Lessor and Lessee. Should either Lessor or Lessee fail
to appoint an arbitrator within twenty (20) days after receiving notice from the
other to so do, the arbitrator selected by the other party shall act for both
and his decision in writing shall be binding on both Lessor and Lessee.

                ARTICLE 9. DEFAULT, ASSIGNMENT, AND TERMINATION

                        Subleasing or Assigning as Breach

         Section 9.01. Lessee shall not encumber, assign, or otherwise transfer
this lease, any right or interest in this lease, or any right or interest in
said premises or any of the improvements that may now or hereafter be
constructed or installed on said premises without the express written consent of
Lessor first had and obtained; provided that Lessor shall not unreasonably
withhold much express written consent.

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                                Default by Lessee

         Section 9.02. Should Lessee default in the performance of any of the
covenants, conditions, or agreements contained in this lease, Lessee shall have
breached the lease and Lessor may re-enter and retain possession of said
premises in the manner provided by the laws of unlawful detainer of the State of
California then in effect.

                                Waiver of Breach

         Section 9.03. The waiver of either party of any breach by the other of
any of the provisions of this lease shall not constitute a continuing waiver or
a waiver of any subsequent breach by either party, either of the same or another
provision of this lease.

                      ARTICLE 10. SALE OF LEASED PREMISES

               Right of First Refusal to Purchase Leased Premises

         Section 10.01. Should Lessor, during the lease term (or any extension
thereof) elect to sell all or any portion of the leased premises, Lessee shall
have the right of first refusal to meet any bona fide offer of sale on the same
terms and conditions of such offer, and on failure to meet such bona fide offer
within thirty (30) days after written notice thereof from Lessor, Lessor shall
be free to sell the premises or portion thereof to such third person in
accordance with the terms and conditions of his offer.

         This right of first refusal by Lessee shall not extend to a sale of the
leased premises between GEORGE AND RUBY BRAMWELL and WALTER BRAMWELL.

                           ARTICLE 11. MISCELLANEOUS

                        Force Majeure--Unavoidable Delays

         Section 11.01. Should the performance of any act required by this lease
be performed by either Lessor or Lessee be prevented or delayed by reason of an
act of God, strike, lockout, labor troubles, inability to secure materials,
restrictive governmental laws or regulations, or any other cause, except
financial inability, not the fault of the party required to perform the act, the
time for performance of the act will be extended for a period equivalent to the
period of delay and performance of the act during the period of delay will be
excused; provided, however, that nothing contained in this section shall excuse
the prompt payment of rent by Lessee as required by this lease or the
performance of any act rendered difficult solely because of the financial
condition of the party, Lessor or Lessee, required to perform the act.

                                     Notices

         Section 11.02. Except as otherwise provided by law, any and all notices
or other communications acquired or permitted by this lease or by law to be
served on or given to either party hereto by the other party hereto shall be in
writing and shall be deemed duly served and given when personally delivered to
the party to whom they are directed, or in lieu

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of such personal service when deposited in the United States mail, first-class
postage prepaid, addressed to Lessee at 7190 Keating Avenue, Sebastopol,
California 95472 or to Lessor at 11 Castle Court, Santa Rosa, California 95401.
Either party, Lessee or Lessor, may change his address for the purpose of this
section by giving written notice of such change to the other party in the manner
provided in this section.

                         Binding on Heirs and Successors

         Section 11.03. This lease shall be binding on and shall inure to the
benefit of the heirs, executors, administrators, successors, and assigns of the
parties hereto, Lessor and Lessee, but nothing in this section contained shall
be construed as a consent by Lessor to any assignment of this lease or any
interest therein by Lessee except as provided in Article 9 of this lease.

                               Partial Invalidity

         Section 11.04. Should any provision of this lease be held by a court of
competent jurisdiction to be either invalid, void, or unenforceable, the
remaining provisions of this lease shall remain in full force and effect
unimpaired by the holding.

                             Sole and Only Agreement

         Section 11.05. This instrument constitutes the sole and only agreement
between Lessor and Lessee respecting said premises, the leasing of said premises
to Lessee, or the lease term herein specified, and correctly sets forth the
obligations of Lessor and Lessee to each other as of its date. Any agreement or
representations respecting said premises or their leasing by Lessor to Lessee
not expressly set forth in this instrument are null and void.

                                 Attorney's Fees

         Section 11.06. Should any litigation be commenced between the parties
to this lease concerning said premises, this lease, or the rights and duties or
either in relation thereto, the party prevailing in such litigation shall be
entitled in addition to such other relief as may be granted, to a reasonable sum
as and for his attorney's fees in the litigation which shall be determined by
the court in such litigation or in a separate action brought for that purpose.

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                                 Time of Essence

         Section 11.07. Time is expressly declared to be the essence of this
lease.

         Executed on __________________, 1996 at Sebastopol, Sonoma County,
California.

LESSEE                                       LESSOR

------------------------------------         -----------------------------------
RON BASSO                                    RUBY BRAMWELL
R. S. BASSO COMPANY

                                             -----------------------------------
                                             GEORGE BRAMWELL

                                       12SUBLEASE

                          * * * * * * * * * * * * * * *

         This Sublease (Sublease) dated for reference purposes as of August 1,
1999 is made between Ron Basso, an individual doing business as R.S. Basso
Company (Sublandlord), and ZAPWORLD.COM, a California Corporation (Subtenant).

                                    Recitals

         A. Sublandlord is the tenant under that certain Lease executed on May
22, 1996 between Ruby Bramwell and George Bramwell as Lessor and Ron Basso/ dba
R.S. Basso Company as Lessee (Master Lease), pursuant to which Ruby Bramwell and
George Bramwell (Master Landlord) leased to Sublandlord the real property
located in the City of Sebastopol, County of Sonoma, State of California,
described as 7190 Keating Avenue (Master Premises).

         B. A copy of the Master Lease is attached and incorporated in this
Sublease as Exhibit A.

                              Section 1. Sublease.

         Sublandlord subleases to Subtenant on the terms and conditions in this
Sublease all of the Master Premises and certain other personal property as set
forth herein.

                      Section 2. Warranty by Sublandlord.

         Sublandlord warrants to Subtenant that the Master Lease has not been
amended or modified except as expressly set forth in this Sublease; that
Sublandlord is not now, and as of the commencement of the Term (defined in this
Sublease) of this Sublease will not be, in default or breach of any of the
provisions of the Master Lease; and that Sublandlord has no knowledge of any
claim by Master Landlord that Sublandlord is in default or breach of any of the
provisions of the Master Lease.

                                Section 3. Term.

         (a) The term of this Sublease will commence on August 1, 1999
(Commencement Date), and shall end on June 1, 2004 (Termination Date), unless
terminated sooner. Said period of time hereinafter shall be referred to as the
Term. If the Term commences on a date other than the Commencement Date,
Sublandlord and Subtenant will execute a memorandum setting forth the actual
date of commencement of the Term.

         (b) Possession of the Premises (Possession) will be delivered to
Subtenant on the commencement of the Term, subject to Subtenant's successful
receipt of a use permit from the city of Sebastopol. Subtenant shall not be
allowed to occupy the premises unless and until it provides proof of such permit
to Sublandlord. If for any reason Sublandlord does not deliver Possession to
Subtenant on the Commencement of the Term (other than due to Subtenant's failure
to obtain a use permit), Sublandlord will not be subject to any liability for
this failure, the Termination Date will not be extended by the delay, and the
validity of this Sublease will not be impaired. Rent will be abated until
delivery of Possession. However, if Sublandlord has not delivered Possession to
Subtenant within thirty (30) business days after the Commencement Date, at any
time after that and before delivery of Possession (other than due to Subtenant's
failure to obtain a use permit), Subtenant may give written

                                       1
<PAGE>

notice to Sublandlord of Subtenant's intention to cancel this Sublease. The
notice will set forth an effective date for the cancellation, which will be at
least three (3) days after delivery of notice to Sublandlord. If Sublandlord
delivers Possession to Subtenant on or before this effective date, this Sublease
will remain in full force. If Sublandlord fails to deliver Possession to
Subtenant on or before this effective date, this Sublease will be canceled. Upon
cancellation, all consideration previously paid by Subtenant to Sublandlord on
account of this Sublease will be returned to Subtenant, this Sublease will have
no further force, and Sublandlord will have no further liability to Subtenant
because of this delay or cancellation. If Sublandlord permits Subtenant to take
Possession prior to the commencement of the Term, the early Possession will not
advance the Termination Date and will be subject to the provisions of this
Sublease, including, without limitation, the payment of rent.

         (c) The parties agree and acknowledge that Subtenant's ability to
obtain a use permit from the city of Sebastopol is a condition precedent to the
effectiveness of this lease and that this lease shall be of no further force and
effect (and Sublandlord shall return to Subtenant any sums received from
Subtenant) if Subtenant fails to obtain a use permit and provide it to
Sublandlord within forty-five (45) days of the date this lease is signed by
Sublandlord and Subtenant.

                                Section 4. Rent.

         (a) Minimum Rent. Subtenant will pay to Sublandlord as rent (Rent),
without deduction, setoff, notice, or demand, at the offices of Sublandlord or
at any other place Sublandlord designates by notice to Subtenant, the sum of
Five Thousand Dollars per month commencing on the Commencement Date. Said Rent
shall be due and payable on the first day of each month. If the Term begins or
ends on a day other than the first or last day of a month, the rent for the
partial months will be prorated on a per diem basis.

         (b) Subtenant will pay an amount equal to the first month's Rent and
the Security Deposit (as defined in Section 5 of this Sublease) upon execution
of the Sublease.

         (c) Operating Costs. Sublandlord and Subtenant agree and acknowledge
that the Master Lease requires Sublandlord to pay all or a portion of the
expenses of operating the Master Premises including but not limited to payment
of utilities under Section 4.01 of the Master Lease, payment of personal
property taxes under Section 4.02 of the Master Lease, and certain maintenance
costs under Sections 5.03 and 5.04 of the Master Lease (collectively, Operating
Costs). Subtenant shall pay to the appropriate creditors for the benefit of
Subtenant and Sublandlord as additional rent (Additional Rent) all of these
Operating Costs associated with Subtenant's use and operation of the Master
Premises.

         (d) Subtenant shall pay any increases in Rent as may be paid by
Sublandlord to Master Landlord in accordance with the provisions of Section 2.02
of the Master Lease and any increases in Operating Costs after the initial term
of this Sublease.

                          Section 5. Security Deposit.

         Subtenant will deposit with Sublandlord on execution of this Sublease
the sum of one months' Rent (determined in accordance with Section 4(a)) as
security for Subtenant's faithful performance of Subtenant's obligations under
this Sublease (Security Deposit). If Subtenant fails to pay rent or other
charges when due under this Sublease, or fails to perform any obligations under
this Sublease, Sublandlord may use any portion of the Security Deposit for the
payment of any rent or other amount then due and unpaid, for the payment of any
other sum for which Sublandlord may become obligated because of Subtenant's
default or breach, or for any loss sustained by Sublandlord as a result of

                                       2
<PAGE>

Subtenant's default or breach. If Sublandlord uses any portion of the Security
Deposit, Subtenant will, within ten (10) days after written demand by
Sublandlord, restore the Security Deposit to the full amount originally
deposited. Subtenant's failure to do so will constitute a default under this
Sublease. Sublandlord will not be required to keep the Security Deposit separate
from its general accounts, and will have no obligation or liability for payment
of interest on the Security Deposit. If Sublandlord assigns its interest in this
Sublease, Sublandlord will deliver to its assignee as much of the Security
Deposit as Sublandlord then holds. Within ten (10) days after the Term has
expired or Subtenant has vacated the Premises or any final adjustment pursuant
to Subsection 4(b) of this Sublease has been made, whichever occurs last, and
provided that Subtenant is not then in default under this Sublease, the Security
Deposit, or as much as remains that has not been applied by Sublandlord, will be
returned to Subtenant or to the last assignee, if any, of Subtenant's interest
under this Sublease.

                              Section 6. Insurance

         (a) Intentionally Omitted

         (b) Subtenant agrees to procure and maintain public liability
insurance, including products and completed operations insurance, from a
responsible insurance company authorized to do business in California, with a
combined single limit of not less than One Million Dollars ($1,000,000) for
injury or death to any person or damage to property and Four Million Dollars
($4,000,000) excess umbrella coverage for injury or death or property damage,
for any claims, demands, or causes of action of any person arising out of
accidents occurring on the Premises during the Term or arising out of
Subtenant's use of the Premises.

         (c) Each policy of insurance shall be issued by a responsible insurance
company authorized to do business in California, and shall list Master Landlord
and Sublandlord and any beneficiary under any deed of trust covering the
Premises, if required by the deed of trust, as their respective interests may
appear, as additional insureds. Subtenant shall deliver certificates for each
insurance policy to Sublandlord and Master Landlord with all relevant
endorsements. Each policy of insurance shall be primary and noncontributory with
any policies carried by Master Landlord and Sublandlord and, to the extent
obtainable, any loss shall be payable notwithstanding any act or negligence of
Master Landlord or Sublandlord that might otherwise result in forfeiture of
insurance. Each insurance policy shall provide that a thirty (30) day notice of
cancellation and of any material modification of coverage shall be given to all
named insureds. The insurance coverage required under this Section may be
carried by Subtenant under a blanket policy insuring other locations of
Subtenant's business, provided that the Premises covered by this Sublease are
specifically identified as included under that policy. Subtenant agrees that
upon the failure to insure as provided in this Sublease, or to pay the premiums
in the insurance, Sublandlord may contract for the insurance and pay the
premiums, and all sums expended by Sublandlord for the insurance shall be
considered additional rent under this Sublease and shall be immediately
repayable by Subtenant.

         (d) So that the business of Subtenant may continue with as little
interruption as possible, Subtenant shall, during the Term and any renewals or
extensions, maintain at Subtenant's own cost and expense, an insurance policy
insuring against damage or destruction by fire, theft, or the elements for their
full insurable value all fixtures and equipment and, to the extent possible, all
merchandise that is on the Premises at any time during the Term or any renewal
or extension.

         (e) At all times during the Term and any extensions or renewals,
Subtenant agrees to keep and maintain, or cause Subtenant's agents, contractors,
or subcontractors to keep and maintain, workmen s compensation insurance and
other forms of insurance as may from time to time be required

                                       3
<PAGE>

by law or may otherwise be necessary to protect Sublandlord and the Premises
from claims of any person who may at any time work on the Premises, whether as a
servant, agent, or employee of Subtenant or otherwise. This insurance shall be
maintained at the expense of Subtenant or Subtenant's agents, contractors, or
subcontractors and not at the expense of Sublandlord.

         (f) Sublandlord agrees that it will tender and turn over to Subtenant
or to Subtenant's insurers the defense of any claims, demands, or suits
instituted, made, or brought against Sublandlord or against Sublandlord and
Subtenant jointly, within the scope of this Section. However, Sublandlord shall
have the right to approve the selection of legal counsel, to the extent that
selection is within Subtenant's control, which approval shall not be
unreasonably withheld or delayed. In addition, Sublandlord shall retain the
right at Sublandlord `s election to have Sublandlord `s own legal counsel
participate as co-counsel, to the extent that claims are made that may not be
covered by Subtenant's insurers.

         (g) Subtenant and Sublandlord each release the other and waive the
entire right of recovery against the other for loss or damage arising out of or
incident to the perils insured against, which perils occur in, on, or about the
Premises, whether due to the negligence of Sublandlord or Subtenant or their
agents, employees, contractors, or invitees. Subtenant and Sublandlord shall,
upon obtaining the required policies of insurance, give notice to the insurance
carriers that this mutual waiver of subrogation is in this Lease.

                     Section 7. Assignment and Subletting.

         Subtenant will not assign this Sublease or further sublet all or any
part of the Premises without the prior written consent of Sublandlord (and the
consent of Master Landlord, if this is required under the terms of the Master
Lease). All rent received by Subtenant from any of its subtenants in excess of
the rent payable by Subtenant to Sublandlord under this Sublease shall be paid
to Sublandlord, or any sums to be paid by an assignee to subtenant in
consideration of the assignment of this sublease shall be paid to Sublandlord.
If Subtenant requests Sublandlord to consent to a proposed assignment or
subletting, subtenant shall pay to Sublandlord, whether or not consent is
ultimately given, Sublandlord's reasonable attorneys' fees incurred in
connection with each such request.

                    Section 8. Other Provisions of Sublease.

         (a) Except as otherwise set forth in this Sublease, all applicable
terms and conditions of the Master Lease are incorporated into and made a part
of this Sublease as if Sublandlord were the landlord, Subtenant the lessee, and
the Premises the Master Premises except for the following:

         Master Lease Sections: 1.01, 1.03, 1.04, 1.05, 1.06, 2.01, 2.03, 6.02,
6.04, 9.01, 10.01, 11.02.

         Subtenant assumes and agrees to perform all of the remainder of the
lessee's obligations under the Master Lease during the Term to the extent that
these obligations are applicable to the Premises. However, the obligation to pay
rent and operating costs to Master Landlord under the Master Lease will be
considered performed by Subtenant to the extent and in the amount rent and
operating costs are paid to Sublandlord in accordance with Section 4 of this
Sublease. Subtenant will not commit or suffer any act or omission that will
violate any of the provisions of the Master Lease. Sublandlord will exercise due
diligence in attempting to cause Master Landlord to perform its obligations
under the Master Lease for the benefit of Subtenant. if the Master Lease
terminates, at the option of Master Landlord, this Sublease will terminate and
the parties will be relieved of any further liability or

                                       4
<PAGE>

obligation under this Sublease. However, if the Master Lease terminates as a
result of a default or breach by Sublandlord or Subtenant under this Sublease or
the Master Lease, the defaulting party will be liable to the nondefaulting party
for the damage suffered as a result of the termination. Regardless, if the
Master Lease gives Sublandlord any right to terminate the Master Lease in the
event of the partial or total damage, destruction, or condemnation of the Master
Premises or the building or project of which the Master Premises are a part, the
exercise of this right by Sublandlord will not constitute a default or breach.

         (b) Sublandlord shall deliver the Premises to Subtenant "AS IS" in
broom-clean condition with the Premises in their existing condition, with no
alterations being made by Sublandlord on the Commencement Date.

         (c) (i) Notwithstanding the provisions of Section 4(a)of this Sublease
and subject to subsection (ii) of this subsection, Sublandlord waives
Subtenant's obligation to pay Base Rent for the first month of this Sublease.
Sublandlord and Subtenant agree that for purposes of this subsection, the Base
Rent foregone by Sublandlord shall be equal to Five Thousand Dollars ($5,000)
(the "Free Rent").

           (ii) Subtenant agrees that Sublandlord's agreement to waive Base Rent
as provided in subsection (i) of this Section is conditioned upon occurrence of
no default on the part of Subtenant under this Sublease during the Term of this
Sublease. If a default shall occur during the Term of this Sublease then the
aggregate amount of the Free Rent provided to Subtenant prior to such default
shall become immediately due and owing as additional rent under this Lease.

         (d) Subtenant shall have the right to place a sign on the Premises, in
accordance with the terms and conditions of the Master Lease.

         (e) Sublandlord and Subtenant agree that Subtenant shall have free use
of the existing telecommunications system in the Premises which is the sole
property of Sublandlord. Subtenant accepts the telecommunications system "AS IS"
in its existing condition. Subtenant will be responsible at its sole cost for
the installation of any other telecommunications system, and the maintenance and
repair of all telecommunications systems, wiring, and risers running throughout
the Premises, together with all of Subtenant's telephones, telecopiers,
computers, telephone switching, telephone panels and related equipment, whether
provided by Sublandlord or by other vendors. Subtenant agrees to install,
maintain and repair all such telecommunications equipment in a good and proper
manner. Subtenant agrees to indemnify, release, defend and hold Sublandlord
harmless from and against any damages, claims, or other liability resulting from
Subtenant's installation, maintenance and repair of such equipment.

         (f) Compliance with Legal Requirements; No Waste.

            (i) Compliance with Legal Requirements. At Subtenant's sole cost,
Subtenant will promptly comply with all laws, statutes, ordinances, rules,
regulations, orders, recorded covenants and restrictions, and requirements of
all municipal, state, and federal authorities now or later in force, including,
but not limited to, all provisions of the Americans with Disabilities Act; the
requirements of any board of fire underwriters or other similar body now or in
the future constituted; and the direction or occupancy certificate issued by
public officers (Legal Requirements), insofar as they relate to the condition,
use, or occupancy of the Premises. However, Subtenant's compliance will not be
required for:

                                       5
<PAGE>

                  (A) tenant improvements to be made pursuant to this Lease by
         Sublandlord, if any; and

                  (B) work necessitated by defects in the construction of the
         Building.

         The judgment of any court of competent jurisdiction or the admission of
Subtenant in any action or proceeding against Subtenant that Subtenant has
violated any Legal Requirement in the condition, use, or occupancy of the
Premises, will be conclusive of that fact as between Sublandlord and Subtenant.

            (ii) No Waste. Subtenant will not commit or allow any waste on the
Premises or any nuisance or other act or thing that may disturb the quiet
enjoyment of any other tenant in the building in which the Premises may be
located.

         (g) Event of Default and Remedies

         A breach of the terms and conditions of this Sublease or of the Master
Lease shall constitute an event of default ("Event of Default"). Upon the
occurrence of an Event of Default, Sublandlord is entitled at its option to the
following:

           (i) to reenter and take exclusive possession of the Premises;

           (ii) to collect immediately the present value of the unpaid rent
reserved for the entire term, or to collect each installment of rent as it
becomes due;

           (iii) to continue this Sublease in force or to terminate it at any
time;

           (iv) to relet the Premises for any period on Subtenant's account and
at Subtenant's expense, including real estate commissions actually paid, and to
apply the proceeds received during the balance of Term to Subtenant's continuing
obligations under this Sublease;

           (v) to take custody of all personal property on the Premises and to
dispose of the personal property and to apply the proceeds from any sale of that
property to Subtenant's obligations under this Sublease;

           (vi) to recover from Subtenant the damages described in Civil Code
ss. 1951.2(a)(l), 1951.2(a)(2), 1951.2(a)(3), and 1951.2(a)(4), the provisions
of which are expressly made a part of this Lease;

           (vii) to restore the Premises to the same condition as received by
Subtenant, or to alter the Premises to make them suitable for reletting, all at
Subtenant's expense; and

           (viii) to enforce by suit or otherwise all obligations of Subtenant
under this Sublease and to recover from Subtenant all remedies now or later
allowed by law.

         Any act that Sublandlord is entitled to do in exercise of Sublandlord's
rights upon an Event of Default may be done at a time and in a manner deemed
reasonable by Sublandlord in Sublandlord's sole discretion, and Subtenant
irrevocably authorizes Sublandlord to act in all things done on Subtenant's
account.

                                       6
<PAGE>

                           Section 9. Attorney Fees.

         If either party commences an action against the other in connection
with this Sublease, the prevailing party will be entitled to recover costs of
suit and reasonable attorney fees.

                             Section 10. No Broker.

         Sublandlord and Subtenant each warrant that they have not dealt with
any real estate broker in connection with this transaction. Sublandlord and
Subtenant each agree to indemnify, defend, and hold the other harmless against
any damages incurred as a result of the breach of the warranty contained in this
Sublease.

                              Section 11. Notices.

         All notices and demands that may be required or permitted by either
party to the other will be in writing. All notices and demands by the
Sublandlord to Subtenant will be sent by United States Mail, postage prepaid,
addressed to the Subtenant at the Premises, and to the address in this Sublease
below, or to any other place that Subtenant may from time to time designate in a
notice to the Sublandlord. All notices and demands by the Subtenant to
Sublandlord will be sent by United States Mail, postage prepaid, addressed to
the Sublandlord at the address in this Sublease, and to any other person or
place that the Sublandlord may from time to time designate in a notice to the
Subtenant.

                       To Sublandlord:

                              Ron Basso
                              970 Gravenstein Highway South
                              Sebastopol, CA 95472

                       To Subtenant:

                              ZAP WORLD.COM
                              Main Office
                              117 Morris Street
                              Sebastopol, CA 95472

                      Section 12. Successors and Assigns.

         This Sublease will be binding on and inure to the benefit of the
parties to it, their heirs, executors, administrators, successors in interest,
and assigns.

                            Section 13. Attornment.

         If the Master Lease terminates, this Sublease shall survive said
termination and Subtenant will, if requested, attorn to Master Landlord and
recognize Master Landlord as Sublandlord under this Sublease. However,
Subtenant's obligation to attorn to Master Landlord will be conditioned on
Subtenant's receipt of a nondisturbance agreement.

                                       7
<PAGE>

                               Section 14. Entry.

         Sublandlord reserves the right to enter the Premises on reasonable
notice to Subtenant to inspect the Premises or the performance by Subtenant of
the terms and conditions of this Sublease and, during the last three (3) months
of the Term, to show the Premises to prospective subtenants. In an emergency, no
notice will be required for entry.

                     Section 15. Late Charge and Interest.

         The late payment of any Rent will cause Sublandlord to incur additional
costs, including the cost to maintain in full force the Master Lease,
administration and collection costs, and processing and accounting expenses. If
Sublandlord has not received any installment of Rent within ten (10) days after
that amount is due, Subtenant will pay five percent (5%) of the delinquent
amount, which is agreed to represent a reasonable estimate of the cost incurred
by Sublandlord. In addition, all delinquent amounts will bear interest from the
date the amount was due until paid in full at a rate per annum (Applicable
Interest Rate) equal to the greater of (a) two percent (2%) per annum plus the
then federal discount rate on advances to member banks in effect at the Federal
Reserve Bank of San Francisco on the 25th day of the month preceding the date of
this Sublease or (b) ten percent (10%). However, in no event will the Applicable
Interest Rate exceed the maximum interest rate permitted by law that may be
charged under these circumstances. Sublandlord and Subtenant recognize that the
damage Sublandlord will suffer in the event of Subtenant's failure to pay this
amount is difficult to ascertain and that the late charge and interest are the
best estimate of the damage that Sublandlord will suffer. If a late charge
becomes payable for any three (3) installments or Rent within any twelve (12)
month period, the Rent will automatically become payable quarterly in advance.

                         Section 16. Entire Agreement.

         This Sublease sets forth all the agreements between Sublandlord and
Subtenant concerning the Premises, and there are no other agreements either oral
or written other than as set forth in this Sublease.

                          Section 17. Time of Essence.

         Time is of the essence in this Sublease.

                           Section 18. Governing Law.

         This Sublease will be governed by and construed in accordance with
California law.

                         Section 19. Advice of Counsel

         This Sublease has been prepared by the firm of Mclnerney & Dillon, P.C.
for the benefit if its client Ron Basso. Subtenant is advised to consult with an
attorney on the legal requirements of this Sublease. The parties hereto state
that they have been fully advised by their respective counsel (or if no counsel
has been consulted, then in reliance on their own officers and directors) as to
the contents of this Sublease and each provision thereof and understand its
content and effect. The parties further represent that they do not rely and have
not relied upon any representation or statement made by any of the other parties
with regard to the subject matter, basis or effect of this agreement, other than
the express provisions contained within this agreement.

                                       8
<PAGE>

         In Witness Whereof the parties have executed this Sublease effective as
of the date first above written.

                                               Sublandlord

Date Signed:         8/13/99                   By:          /s/ Ron Basso
                ---------------------                  -------------------------
                                                                Ron Basso

                                               ZAPWORLD.COM
                                               A California Corporation

Date Signed:         8/3/99                    By:         /s/ Jim McGreen
                ---------------------                  -------------------------
                                                         Jim McGreen, President

Date Signed:         8/13/99                   By:        /s/ Nancy K. Cadigan
                ---------------------                  -------------------------
                                                              Secretary

                                       9
<PAGE>

                                    EXHIBITS

                         Exhibit A--Copy of Master Lease

                                       10

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