Document:

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                                                                   EXHIBIT 10.11

                            STOCK PURCHASE AGREEMENT

                                      AMONG

                 CENTENNIAL CARIBBEAN HOLDING CORP., as Seller,

              CENTENNIAL CELLULAR OPERATING CO. LLC, as Guarantor,

                                       AND

              PUERTO RICO CABLE ACQUISITION COMPANY INC., as Buyer

                          Dated as of September 6, 2004
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                                TABLE OF CONTENTS

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1.  Definitions.............................................................................................1

    (a)      Defined Terms..................................................................................1

    (b)      Other Definitional and Interpretive Matters....................................................9

2.  Purchase and Sale of Company Shares....................................................................10

    (a)      Purchase and Sale.............................................................................10

    (b)      Purchase Price................................................................................10

    (c)      Payment of Purchase Price at the Closing......................................................10

    (d)      The Closing...................................................................................10

    (e)      Deliveries at the Closing.....................................................................11

    (f)      Working Capital...............................................................................11

    (g)      Capital Expenditures..........................................................................13

3.  Representations and Warranties of the Seller...........................................................14

    (a)      Organization..................................................................................14

    (b)      Capitalization................................................................................14

    (c)      Authorization of Transaction; Conflicts; Consents of Third Parties............................15

    (d)      Brokers' Fees.................................................................................16

    (e)      Subsidiaries..................................................................................16

    (f)      Financial Statements; Absence of Certain Changes; No Undisclosed Liabilities..................16

    (g)      Legal Compliance..............................................................................17

    (h)      Tax Matters...................................................................................21

    (i)      Assets........................................................................................23

    (j)      Intellectual Property.........................................................................24

    (k)      Contracts.....................................................................................25

    (l)      Franchises....................................................................................26

    (m)      Litigation....................................................................................27

    (n)      Certain Business Relationships with Affiliates................................................27

    (o)      System Information............................................................................27

    (p)      System and Signal Carriage....................................................................28

    (q)      Environmental Matters.........................................................................28
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    (r)      Employees.....................................................................................29

    (s)      Employee Benefits.............................................................................30

    (t)      Corporate Records.............................................................................30

4.  Representations and Warranties of the Buyer............................................................30

    (a)      Organization..................................................................................31

    (b)      Authorization of Transaction..................................................................31

    (c)      Brokers' Fees.................................................................................31

    (d)      Financing.....................................................................................31

    (e)      Litigation....................................................................................32

    (f)      No Disqualification...........................................................................32

    (g)      Investment Purpose............................................................................32

    (h)      Tax Treatment.................................................................................32

5.  Pre-Closing Covenants..................................................................................32

    (a)      General.......................................................................................32

    (b)      Notices and Consents..........................................................................33

    (c)      Operation of Business.........................................................................33

    (d)      Full Access...................................................................................35

    (e)      Notice of Developments........................................................................36

    (f)      Exclusivity...................................................................................36

    (g)      Liens; Intercompany Debt......................................................................36

    (h)      Excluded Assets, Etc..........................................................................37

    (i)      Financing.....................................................................................37

    (j)      Environmental Access..........................................................................37

    (k)      Financial Information.........................................................................37

6.  Post-Closing Covenants.................................................................................38

    (a)      General.......................................................................................38

    (b)      Access to Books and Records...................................................................38

    (c)      Employees and Employee Benefits...............................................................38

    (d)      Tax Matters...................................................................................39
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    (e)      Notice of Disqualification....................................................................43

    (f)      Use of Name and Logos.........................................................................44

    (g)      Non-Solicit and Confidentiality...............................................................44

7.  Conditions to Obligation to Close......................................................................45

    (a)      Conditions to Obligation of the Buyer.........................................................45

    (b)      Conditions to Obligation of the Seller........................................................47

8.  Indemnification........................................................................................48

    (a)      The Seller's Indemnification Obligations......................................................48

    (b)      The Buyer's Indemnification Obligations.......................................................49

    (c)      Indemnification Procedure.....................................................................49

    (d)      Direct Claims.................................................................................50

    (e)      Failure to Give Timely Notice.................................................................51

    (f)      Reduction of Adverse Consequences.............................................................51

    (g)      Limitations on Indemnities....................................................................51

    (h)      Survival......................................................................................52

    (i)      Exclusivity...................................................................................52

9.  Termination............................................................................................52

    (a)      Termination of Agreement......................................................................52

    (b)      Effect of Termination.........................................................................53

10. Miscellaneous..........................................................................................53

    (a)      Press Releases and Public Announcements.......................................................53

    (b)      No Third-Party Beneficiaries..................................................................54

    (c)      Entire Agreement..............................................................................54

    (d)      Succession and Assignment.....................................................................54

    (e)      Counterparts..................................................................................54

    (f)      Headings......................................................................................54

    (g)      Notices.......................................................................................54

    (h)      Governing Law; Forum Selection; Consent to Jurisdiction.......................................55

    (i)      Amendments and Waivers........................................................................56
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    (j)      Severability..................................................................................56

    (k)      Expenses......................................................................................57

    (l)      Limitations on Representations and Warranties.................................................57

    (m)      Construction..................................................................................57

    (n)      Non-Recourse..................................................................................57

    Exhibit A       --    Transition Services Agreement

    Exhibit B-1     --    Form of Opinion of General Counsel to the Seller

    Exhibit B-2     --    Form of Opinion of FCC Counsel to the Seller

    Exhibit B-3     --    Form of Opinion of Puerto Rico Counsel to the Seller

    Exhibit C       --    Form of Opinion of Counsel to the Buyer

    Exhibit D       --    Seller Parent Guaranty

    Exhibit E       --    Draft Financial Statements

    Exhibit F       --    Affiliate Agreements

    Schedule 1               --     Excluded Assets

    Schedule 2(g)            --     Capital Expenditures

    Schedule 3               --     Working Capital as of July 31, 2004

    Schedule 4(d)(i)         --     Financing Commitment

    Schedule 4(d)(ii)        --     Equity Commitment

    Schedule 5(c)            --     Operations

    Schedule 5(c)(ix)        --     Permits

    Schedule 5(g)            --     Continuing Affiliate Agreements
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    Schedule 5(h)            --     Litigation

    Schedule 6(c)(i)         --     List of Retention Payments

    Schedule 6(g)            --     Scheduled Employees

    Schedule 7(a)(xix)       --     Assigned Contracts

    Schedule 8(a)(iv)        --     List of Certain Matters

    Disclosure Schedule
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                            STOCK PURCHASE AGREEMENT

         STOCK PURCHASE AGREEMENT (this "Agreement") entered into as of
September 6, 2004, by and among PUERTO RICO CABLE ACQUISITION COMPANY INC., a
Puerto Rican corporation (the "Buyer"), CENTENNIAL CARIBBEAN HOLDING CORP., a
Delaware corporation (the "Seller"), for the limited purpose of the guaranty set
forth herein only, CENTENNIAL CELLULAR OPERATING CO. LLC, a Delaware limited
liability company ("Guarantor"), and, for the limited purposes of Section
6(d)(x), Centennial Communications Corp., a Delaware corporation ("Centennial").

         The Seller owns all of the outstanding capital stock of Centennial
Puerto Rico Cable TV Corp., a Delaware corporation (the "Company").

         The Company owns and operates cable television systems which serve
areas in and around the Puerto Rico municipalities of Ponce, Yauco, Adjuntas,
Coamo, Guayanilla, Jayuya, Juana Diaz, Penuelas, Santa Isabel, Villalba,
Guayama, Arroyo, Maunabo, Patillas, Salinas, Mayaguez, Cabo Rojo, San German,
Lajas, Hormigueros, Guanica, Sabana Grande, Maricao, Anasco, Rincon, Las Marias,
Aguadilla, Aguada, Quebradillas, Moca and Isabela.

         The Buyer desires to purchase from the Seller, and the Seller desires
to sell to the Buyer, all of the outstanding capital stock of the Company in
exchange for the consideration set forth herein, upon the terms and conditions
set forth in this Agreement.

         Now, therefore, in consideration of the premises and the mutual
promises herein made, and in consideration of the representations, warranties,
and covenants herein contained, the Parties agree as follows.

         1. Definitions.

                  (a) Defined Terms. The following terms shall have the
following meanings:

         "Accounting Periods" has the meaning set forth in Section 3(g).

         "Accounting Principles" means the Company's accounting policies and
procedures, determined in accordance with GAAP, applied on a consistent basis;
provided that to the extent there is any inconsistency between the Company's
historical accounting policies and procedures and GAAP, GAAP shall control.

         "Acquisition Transaction" means any merger, consolidation, or other
business combination involving the Company or the acquisition of all or any
amount of the assets or the capital stock of the Company other than as permitted
or contemplated by this Agreement.

         "Adverse Consequences" means all actions, suits, proceedings, hearings,
investigations, charges, complaints, claims, demands, injunctions, judgments,
orders, decrees, rulings, damages, dues, penalties, fines, costs, liabilities,
obligations, Taxes, liens, losses, expenses, and fees, including court costs and
reasonable attorneys' fees and expenses.
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         "Affiliate" has the meaning set forth in Rule 12b-2 of the regulations
promulgated under the Securities Exchange Act.

         "Affiliated Group" means any affiliated group within the meaning of
Section 1504(a) of the Code or any similar group defined under a similar
provision of Law.

         "Agreement" has the meaning set forth in the preface.

         "Ancillary Documents" means the other documents, agreements,
certificates and instruments to be executed, delivered and performed by the
Parties in connection with the transactions contemplated by this Agreement

         "Antitrust Division" has the meaning set forth in Section 5(b).

         "ARPE" has the meaning set forth in Section 3(g).

         "Basic Cable" means the cable television service described as "Studio
One" or a higher level of cable service in Section 3(o) of the Disclosure
Schedule.

         "Budgeted Capital Expenditures" has the meaning set forth in Section
2(g).

         "Business Day" means any day other than a Saturday, Sunday, or other
day on which banking institutions in the State of New York are authorized by law
to close.

         "Buyer" has the meaning set forth in the preface.

         "Buyer Indemnified Parties" means the Buyer and its Affiliates
(including the Company following the Closing) and their respective officers,
directors, managers, shareholders, members, partners, employees, agents,
Affiliates, attorneys and representatives. Notwithstanding the foregoing, Buyer
Indemnified Parties shall not include the Buyer or its Affiliates (including the
Company) from and after a Change of Control with respect to the Buyer or any
such Affiliate (including the Company) or any successors of the Buyer and its
Affiliates (including the Company), except for the limited purpose of the
indemnification provided pursuant to Section 6(d) of this Agreement and Section
8(a)(i) of this Agreement (with respect to a breach of the representations and
warranties set forth in Section 3(b)).

         "Buyer's Accountants" means KPMG LLP.

         "Buyer's Environmental Assessments" has the meaning set forth in
Section 5(j).

         "Buyer's Savings Plans" has the meaning set forth in Section 6(c).

         "Buyer's Subscriber Adjustment" has the meaning set forth in Section
2(f).

         "Buyer's Working Capital Amount" has the meaning set forth in Section
2(f).

         "Capital Expenditures" has the meaning set forth in Section 2(g).

         "Capital Expenditure Deficit" has the meaning set forth in Section
2(g).
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         "Centennial" has the meaning set forth in the Preface.

         "Centennial Marketing Materials" has the meaning set forth in Section
6(f).

         "Centennial Marks" has the meaning set forth in Section 6(f).

         "Change of Control" means, as of any date of determination with respect
to any of the Buyer, its Affiliates and the Company after the Closing, that HMTF
Fund V Cayman L.P. or its Affiliates shall no longer control the Buyer, any such
Affiliate or the Company after the Closing, as the case may be. For purposes
hereof, "control" means the power to direct or cause the direction of the
management and policies of a Person, whether through the ownership of voting
securities, by contract or otherwise..

         "CLI" has the meaning set forth in Section 3(g).

         "Closing" means the closing of the transactions contemplated by this
Agreement.

         "Closing Date" has the meaning set forth in Section 2(d).

         "Closing Statement" has the meaning set forth in Section 2(f).

         "Closing Statement Dispute Notice" has the meaning set forth in Section
2(f).

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

         "Commercially Reasonable Efforts" means the diligent, reasonable, and
good faith efforts of the obligated Person to endeavor to consummate the
transactions contemplated herein and to accomplish the applicable objective,
which efforts shall not require such Person to (i) expend funds or incur
liabilities, other than expenditures and liabilities which would ordinarily be
made or incurred in connection with such objective (including filing and similar
fees, reasonable legal fees and expenses, and other commercially reasonable fees
and expenses) or which the obligated Person is obligated to pay or incur under
this Agreement, or (ii) act in a manner that would be contrary to normal
commercial practices of similarly-situated companies to accomplish the
objective. Notwithstanding the foregoing, (x) the fact that the objective is or
is not actually accomplished shall not by itself indicate that the obligated
Person did or did not in fact utilize Commercially Reasonable Efforts in
attempting to accomplish the objective; and (y) nothing contained herein shall
change any express obligations or agreements of the Parties hereunder.

         "Communications Act" means the Communications Act of 1934, as amended,
codified at 47 U.S.C.Sections 151 et. seq., including the Cable
CommunicaTions Policy Act of 1984, Pub. L. No. 98-549, the Cable Television
Consumer Protection and Competition Act of 1992, Pub. L. No. 102-385, and the
Telecommunications Act of 1996, Pub. L. No. 104-104, or any successor Law, and
the rules, regulations and written policies of the FCC promulgated thereunder,
and as amended and in effect from time to time.

         "Company" has the meaning set forth in the preface.

         "Company Employees" has the meaning set forth in Section 3(r).
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         "Company Plans" has the meaning set forth in Section 3(s).

         "Company Share" means a share of the Common Stock, par value $0.01 per
share, of the Company.

         "Confidential Information" has the meaning set forth in Section 6(g).

         "Confidentiality Agreement" has the meaning set forth in Section 5(d).

         "Contract" means any written contract, agreement, or lease and any oral
agreement, including any amendments, modifications or supplements thereto.

         "Copyright Act" means the Copyright Act of 1976, as amended.

         "Copyright Office" means the United States Copyright Office, its
designee, or any successor thereto.

         "Current Assets" shall be determined in accordance with the Accounting
Principles and shall include, but not be limited to, cash, accounts receivable
less a reserve for uncollectible accounts receivable, and prepaid expenses.
Notwithstanding the foregoing sentence, Current Assets shall exclude, for the
purposes of determining the Working Capital set forth in Section 2(f): (i)
amounts due to the Company from Seller, Guarantor or Affiliates of Seller and
Guarantor; (ii) amounts due to the Company from employees of Seller, Guarantor
or Affiliates of Seller (other than the Company) and Guarantor; (iii) deferred
tax assets; and (iv) prepaid property and vehicle insurance.

         "Current Liabilities" shall be determined in accordance with the
Accounting Principles and shall include, but not be limited to, accounts
payable, accrued liabilities, subscriber advance billings, subscriber deposits.
Notwithstanding the foregoing sentence, Current Liabilities shall exclude, for
the purposes of determining the Working Capital set forth in Section 2(f): (i)
the Company's reserve for amounts in respect of programming as set forth on
Schedule 8(a)(iv), which at July 31, 2004 amounted to $912,000 and at the date
hereof amounted to $861,464.18, (ii) the Company's reserve for certain property
taxes for the years 2002 and prior, which at July 31, 2004 amounted to $204,000;
(iii) any liability for the retention, transaction or similar bonuses arising on
or prior to the Closing Date for Company Employees as well as those identified
on Schedule 6(c)(i) attached hereto which the Company shall pay immediately
prior to the Closing pursuant to Section 6(c), provided that such amounts reduce
the cash balance at Closing; (iv) amounts due from the Company to Seller,
Guarantor or Affiliates of Seller which the Company shall pay immediately prior
to the Closing pursuant to Section 2(h); (v) any accrual for liabilities in
respect of deferred launch fees received from programmers and deferred signing
bonuses related to service agreements, as illustrated in Schedule 3 attached
hereto, which at July 31, 2004 amounted to $877,000; and (vi) deferred tax
liabilities. Notwithstanding anything to the contrary contained herein or in
Schedule 3 attached hereto, the amounts accrued for "legal" and
"accounting/auditing" for purposes of determining the Current Liabilities shall
be the actual amounts owed by the Company in respect of such items as of 12:01
a.m. on the Closing Date.

         "Defense Counsel" has the meaning set forth in Section 8(c).
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         "Defense Notice" has the meaning set forth in Section 8(c).

         "Direct Claim" has the meaning set forth in Section 8(d).

         "Disclosure Schedule" has the meaning set forth in Section 3.

         "Employee Benefit Plan" means any (i) nonqualified deferred
compensation or retirement plan or arrangement which is an Employee Pension
Benefit Plan, (ii) qualified defined contribution retirement plan or arrangement
which is an Employee Pension Benefit Plan, (iii) qualified defined benefit
retirement plan or arrangement which is an Employee Pension Benefit Plan
(including any Multiemployer Plan), or (iv) Employee Welfare Benefit Plan.

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

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

         "Enforceability Exceptions" means the exceptions or limitations to the
enforceability of contracts or agreements under bankruptcy, insolvency,
reorganization or similar laws affecting creditors' rights and remedies
generally, and subject, as to enforceability, to general principles of equity,
including principles of commercial reasonableness, good faith and fair dealing
(regardless of whether enforcement is sought in a proceeding at law or in
equity).

         "Environmental Laws" means any Laws pertaining to land use, air, soil,
surface water, groundwater (including the protection, cleanup, removal,
remediation or damage thereof), the handling, storage, treatment or disposal of
waste, including hazardous waste, and the handling, storage, manufacture,
treatment or transportation of hazardous materials, or to the protection of the
environment, public health and safety, occupational health and safety or worker
health and safety, natural resources or any other environmental matter,
including the following laws as amended and as in effect at the relevant time
(including, but not limited to, the following statutes, any regulations
promulgated pursuant to any of them, any permits, licenses or authorizations
issued thereunder, any state or regional analogues thereto and any permits,
licenses or authorizations issued thereunder, any state or regional analogues
thereto and any permits or regulations issued thereunder): (A) Clean Air Act (42
U.S.C.Section 7401, et seq.); (B) Clean Water Act (33 U.S.C.Section 1251, et
seq.); (C) Resource Conservation and Recovery Act (42 U.S. C.Section 6901, et
seq.); (D) Comprehensive Environmental Response, Compensation and Liability Act
(42 U.S.C.SeCtion 9601, et seq.); (E) Safe Drinking Water Act (42 U.S.C. 300f,
et seq.); (F) the Hazardous Materials Transportation Act; (G) the Federal
Insecticide, Fungicide and Rodenticide Act and (H) Toxic Substances Control Act
(15 U.S.C.Section 2601, et seq.) and any similar Laws of the Commonwealth of
Puerto Rico.

         "Equity Commitment" has the meaning set forth in Section 4(d)

         "Equity Contribution" has the meaning set forth in Section 4(d)

         "Equivalent Basic Subscribers" as of any date means the sum of (i) the
number of residential non-seasonal subscribers for Basic Cable of the Systems
who are not more than 90 days past due from the invoice date (or, if more than
90 days past due, who owe less than $10.00) and (ii) the result obtained by
dividing (A) the aggregate of the gross monthly billing
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(excluding any charges for premium service, pay-per-view programming, internet
access, franchise fees, fees charged by the FCC, Taxes, installation,
connection, relocation, and disconnection fees and miscellaneous rental charges
for equipment such as remote control devices and converters) from the bulk
subscribers (e.g., hotels, motels and other subscribers who pay for cable
service at bulk rates) whose accounts as of such date are not more than 90 days
past due from the invoice date (or, if more than 90 days past due, who owe less
than $10.00) by (B) the monthly service charge in effect in the Systems as of
such date for the relevant level of service offered to such bulk subscribers;
provided, that Equivalent Basic Subscribers shall exclude any subscriber who,
prior to the Closing Date, has properly requested that his cable television
service be disconnected and any subscribers which are provided cable service
without a monthly Basic Cable service charge or for which the Basic Cable
service charge has been waived on a regular basis.

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

         "Estimated Subscriber Adjustment" has the meaning set forth in Section
2(f)

         "Estimated Working Capital Amount" has the meaning set forth in Section
2(f).

         "Excluded Assets" means the assets and properties of the Company
described on Schedule 1.

         "FAA" means the Federal Aviation Administration.

         "FCC" means the Federal Communications Commission.

         "Final Order" means an action by the Telecommunications Regulatory
Board or the FCC, as applicable, as to which (i) no request for stay by the
Telecommunications Regulatory Board or the FCC, as applicable, of the action is
pending, no such stay is in effect, and, if any deadline for filing any such
request is designated by statute or regulation, such deadline has passed; (ii)
no petition for rehearing or reconsideration of the action is pending before the
Telecommunications Regulatory Board or the FCC, as applicable, and the time for
filing any such petition is passed; (iii) the Telecommunications Regulatory
Board or the FCC, as applicable, does not have the action under reconsideration
on its own motion and the time for such reconsideration has passed; and (iv) no
appeal to a court or request for stay by a court or the Telecommunications
Regulatory Board or the FCC, as applicable, is pending or in effect and, if any
deadline for filing any such appeal or request is designated by statute or rule,
it has passed.

         "Final Subscriber Adjustment" has the meaning set forth in Section
2(f).

         "Final Working Capital Amount" has the meaning set forth in Section
2(f).

         "Financial Statements" has the meaning set forth in Section 3(f).

         "Financing" has the meaning set forth in Section 4(d)

         "Financing Commitment" has the meaning set forth in Section 4(d)
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         "Fixed Purchase Price" has the meaning set forth in Section 2(b).

         "Franchises" means all franchises issued by the Telecommunications
Regulatory Board or by the Public Services Commission of Puerto Rico that are
necessary or required to operate a cable television system and provide cable
television services in the geographic areas served by the Systems.

         "FTC" has the meaning set forth in Section 5(b).

         "Further Use Right" has the meaning set forth in Section 6(f).

         "GAAP" means United States generally accepted accounting principles as
in effect from time to time, consistently applied.

         "Governmental Entity" means any federal, state, Commonwealth of Puerto
Rico, municipal, local, or other governmental authority or administrative
agency, domestic or foreign, including, without limitation, the
Telecommunications Regulatory Board and the FCC.

         "Guarantor" has the meaning set forth in the preface.

         "Hart-Scott-Rodino Act" means the Hart-Scott-Rodino Antitrust
Improvements Act of 1976, as amended.

         "Hazardous Substances" means any material, substance, waste or compound
regulated, characterized or otherwise classified under Environmental Laws as
hazardous, toxic, a pollutant, contaminants or words of similar meaning or
effect, including, without limitation, petroleum or any refined product or
fraction or derivative thereof, asbestos, or polychlorinated biphenyls.

          "Indemnified Party" has the meaning set forth in Section 8(c).

         "Indemnifying Party" has the meaning set forth in Section 8(c).

         "Knowledge" means (i) with respect to the Seller and the Company, the
actual knowledge, without independent investigation, of Edwin Stevenson, Frank
Hunt, Nicole Rodriguez, Antonio Briceno, Tony Wolk, Hiram Cruz, Lourdes Estrada,
Rafael Rodriguez, Rafael Julia, Miguel Santana, Jose Texidor, Wilson Velez,
Enrique Gonzalez, Jeffrey Rojas, Soraya Zapata, Elisa Veguilla-Flores, Marisa
Teresa Serbia, Maria Teresa Frontera and Mike Egan, and (ii) with respect to the
Buyer, the actual knowledge, without independent investigation, of Eric
Lindberg, Jacob Capps and John Overbay.

         "Law 80" means Law 80 of May 30, 1976 of Puerto Rico, as amended and in
effect from time to time.

         "Law 213" means Law 213 of September 12, 1996 of Puerto Rico, known as
the "Puerto Rico Telecommunications Act," as amended and in effect from time to
time.

         "Laws" means all laws, statutes, regulations, codes, ordinances, rules,
permits, orders, writs, injunctions, decrees and rulings of, adopted,
promulgated or handed down by, any
<PAGE>
Governmental Entity, including any judgment, writ, order, injunction, award,
decree or similar act of any court, judge, justice, magistrate or similar
Governmental Entity.

         "Leased Real Property" has the meaning set forth in the definition of
Real Property.

         "Legal Restrictions" means restrictions arising under the securities
laws, Title VI of the Communications Act, and all other provisions of the Cable
Communications Policy Act of 1984, the Cable Television Consumer Protection and
Competition Act of 1992, and the provisions of the Telecommunications Act of
1996 amending Title VI of the Communications Act, in each case, as amended and
in effect from time to time.

         "Licenses" means the material licenses, permits, registrations and
authorizations (other than the Franchises) granted by or pending before any
Governmental Entity in connection with the operation of the Systems.

         "Limited Changes" has the meaning set forth in Section 5(b).

         "Material Adverse Effect" means any change, effect, event, occurrence
or state of facts that has or would reasonably be expected to have or result in
a material adverse effect on the business, assets, properties, condition
(financial or otherwise) or results of operations of the Company taken as a
whole.

         "Material Contracts" has the meaning set forth in Section 3(k).

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

         "Necessary Consents" has the meaning set forth in Section 3(c).

         "Ordinary Course of Business" means the ordinary course of business
consistent with past custom and practice.

         "Original Use Right" has the meaning set forth in Section 6(f).

         "Owned Real Property" has the meaning set for in the definition of Real
Property.

         "Parties" means, collectively, the Buyer and the Seller.

         "Permitted Liens" means (a) liens for current Taxes not yet due and
payable or which are being contested in good faith by appropriate proceedings
provided an appropriate reserve is established therefor on the books of the
Company in accordance with GAAP; (b) rights of any Governmental Entity to
regulate the affected property; (c) as to the Company's leased assets, statutory
interests of the lessors thereof and interests set forth in the applicable
lease; (d) inchoate materialmen's, mechanics', workmen's repairmen's or other
like liens arising in the Ordinary Course of Business that are not material to
the business, operations and financial condition of the property so encumbered
and that do not result from a breach, default or violation by the Company of any
Contract or Law; (e) any Security Interests to be released at or prior to the
Closing; (f) as to any parcel of Real Property, all matters of record
(excluding, however, any mortgage, deed to secure debt, deed of trust, security
agreement, judgment lien or statutory claim
<PAGE>
of lien or any other title exception or defect that is monetary in nature, other
than those in favor of the Buyer) and any other easement, encroachment,
encumbrance or other condition that does not adversely affect in any material
respect, either individually or in the aggregate, the use of such Real Property
as currently used by the Company in the Ordinary Course of Business or render
title thereto uninsurable; (g) zoning laws and ordinances and similar
governmental regulations (none of which interfere in any material respect with
the operation of the Systems as currently conducted); (h) purchase money liens
securing rental payments under capital lease arrangements previously disclosed
to Buyer; and (i) vehicle leases.

         "Person" means any individual, partnership, corporation, association,
joint stock company, trust, joint venture, unincorporated organization, or
Governmental Entity.

         "PRIRC" has the meaning set forth in Section 3(s).

         "PRPB" has the meaning set forth in Section 3(g).

         "Pro Rata Amount" has the meaning set forth in Section 2(g).

         "Purchase Price" has the meaning set forth in Section 2(b).

         "Real Property" means all interests in real property, including all
improvements thereon, owned by the Company in fee simple ("Owned Real Property")
or leased by the Company ("Leased Real Property"), in each case, including
easements, rights-of-way and similar authorizations.

         "Required Consents" means the Necessary Consents marked with an
asterisk in Section 3(c)(iii) of the Disclosure Schedule.

         "Required Governmental Approvals" has the meaning set forth in Section
3(c).

         "Resolution Notice" has the meaning set forth in Section 2(f).

         "Section 338(h)(10) Election" has the meaning set forth in Section
6(d).

         "Securities Act" means the Securities Act of 1933, as amended.

         "Securities Exchange Act" means the Securities Exchange Act of 1934, as
amended.

         "Security Interest" means any mortgage, deed of trust, pledge, lien,
encumbrance, charge, claim, option, right of first refusal, easement, servitude,
proxy, voting trust or agreement, transfer restriction under any shareholder or
similar agreement.

         "Seller" has the meaning set forth in the preface.

         "Seller Indemnified Parties" means the Seller and its Affiliates and
their respective officers, directors, managers, shareholders, members, partners,
employees and agents.

         "Seller's Accountants" means Deloitte & Touche LLP.
<PAGE>
         "Seller's Savings Plan" has the meaning set forth in Section 6(c).

         "Straddle Period" means any taxable period that begins on or before the
Closing Date and ends after the Closing Date.

         "Subsidiary" means any Person with respect to which a specified Person
(or a Subsidiary thereof) owns a majority of the common stock or has the power
to vote or direct the voting of sufficient securities to elect a majority of the
directors or Person performing similar functions.

         "Subscriber Adjustment" means the amount, if the number of Equivalent
Basic Subscribers as of the Closing Date is less than 71,000, equal to the
product of (a) $2,142, multiplied by (b) the difference between 71,000 and the
number of Equivalent Basic Subscribers as of the Closing Date; provided,
however, that if the number of Equivalent Basic Subscribers as of the Closing
date is 71,000 or greater, the Subscriber Adjustment shall be zero.

         "Surviving Representation" means a representation (i) of Seller set
forth in Section 3(a), Section 3(b), Section 3(c)(i), Section 3(d), Section
3(e), Section 3(h) or Section 3(q) or (ii) of the Buyer set forth in Section
4(a), Section 4(b)(i), Section 4(c), Section 4(g) and Section 4(h).

         "Systems" means the cable television systems owned by the Company which
serve the areas in and around the Puerto Rico municipalities of Ponce, Yauco,
Adjuntas, Coamo, Guayanilla, Jayuya, Juana Diaz, Penuelas, Santa Isabel,
Villalba, Guayama, Arroyo, Maunabo, Patillas, Salinas, Mayaguez, Cabo Rojo, San
German, Lajas, Hormigueros, Guanica, Sabana Grande, Maricao, Anasco, Rincon, Las
Marias, Aguadilla, Aguada, Quebradillas, Moca and Isabela.

         "Tax" means any federal, state, Commonwealth of Puerto Rico, municipal,
local, or foreign tax, fee, levy, duty, tariff, impost or other charges,
including any interest, penalty, or addition thereto, whether disputed or not,
imposed by a Governmental Entity, and any liability in respect of any of the
foregoing items payable by reason of contract, assumption, transferee liability,
operation of law, Treasury Regulation Section 1.1502-6(a) (or any predecessor or
successor thereof or any analogous or similar provision under Law) or otherwise,
but excluding franchise fees, FCC payments and fees and copyright payments and
fees.

         "Tax Proceeding" has the meaning set forth in Section 6(d).

         "Tax Return" means any return, declaration, report, claim for refund,
or information return or statement relating to Taxes, including any schedule or
attachment thereto, required or permitted to be submitted to a Governmental
Entity.

         "Telecommunications Regulatory Board" means the Junta Reglamentadora de
Telecomunicaciones de Puerto Rico.

         "Third Party Claims" means actions, suits, claims or legal,
administrative, arbitration, mediation, governmental or other proceedings, or
investigations, other than any brought by a Party to this Agreement or an
Affiliate of a Party to this Agreement.

         "Threshold Amount" means an amount equal to $600,000.
<PAGE>
         "Transition Services Agreement" means the Transition Services
Agreement, to be entered into at the Closing between the Buyer, the Company,
Centennial Puerto Rico Operations Corp., a Delaware corporation, and certain of
their Affiliates in the form attached hereto as Exhibit A hereto.

         "Unaffiliated Firm" has the meaning set forth in Section 2(f).

         "Upset Date" has the meaning set forth in Section 9(a).

         "Working Capital" means the difference (which may be a positive or a
negative number) between the Company's Current Assets as of 12:01 a.m. on the
Closing Date, minus the Company's Current Liabilities as of 12:01 a.m. on the
Closing Date.

            (b) Other Definitional and Interpretive Matters. Unless otherwise
      expressly provided herein, the following rules of interpretation shall
      apply to this Agreement:

                  (i) When calculating the period of time before which, within
         which, or following which any act is to be done or step taken pursuant
         to this Agreement, the date that is the reference date in calculating
         such period shall be excluded. If the last day of such period is not a
         Business Day, the period in question shall end on the next succeeding
         Business Day.

                  (ii) Any reference in this Agreement to gender shall include
         all genders, and words imparting the singular number only shall include
         the plural and vice versa.

                  (iii) All references in this Agreement to any "Section" are to
         the corresponding Section of this Agreement unless otherwise specified.

                  (iv) Words such as "herein," "hereinafter," "hereof," and
         "hereunder" refer to this Agreement as a whole and not merely to a
         subdivision in which such words appear unless the context otherwise
         requires.

                  (v) The word "including" or any variation thereof means
         "including, without limitation" and shall not be construed to limit any
         general statement that it follows to the specific or similar items or
         matters immediately following it.

                  (vi) The Schedules and Exhibits attached to this Agreement
         shall be construed with and as an integral part of this Agreement to
         the same extent as if the same had been set forth verbatim herein.

                  (vii) All dollar amounts are in and shall be paid in United
         States dollars.

2. Purchase and Sale of Company Shares.

            (a) Purchase and Sale. On and subject to the terms and conditions of
      this Agreement, at the Closing, the Buyer agrees to purchase and acquire
      from the Seller, and the Seller agrees to sell, convey, assign, transfer
      and deliver to the Buyer, free and clear of
<PAGE>
      all Security Interests, all of the Company Shares, subject to any
      applicable Legal Restrictions.

            (b) Purchase Price. The aggregate consideration for the Company
      Shares to be purchased and acquired by the Buyer hereunder to be paid by
      the Buyer to the Seller pursuant to this Agreement shall equal the sum of
      (i) One Hundred Fifty-Five Million Dollars ($155,000,000) (the "Fixed
      Purchase Price"), and (ii) the amount of Working Capital (which may be a
      negative number), less (iii) the Capital Expenditure Deficit, if any, and
      less (iv) the Subscriber Adjustment, if any (the amount obtained pursuant
      to the foregoing clauses (i) through (iv), the "Purchase Price"), which
      shall be paid as provided in Section 2(c) and Section 2(f)(v).

            (c) Payment of Purchase Price at the Closing. At the Closing, the
      Buyer shall deliver, by wire transfer of immediately available funds to an
      account or accounts specified by the Seller, an amount equal to the Fixed
      Purchase Price, plus the Estimated Working Capital Amount (which may be a
      negative number), minus the Capital Expenditure Deficit, and minus the
      Subscriber Adjustment, if any.

            (d) The Closing. The Closing shall take place at the offices of
      Weil, Gotshal and Manges LLP, 767 Fifth Avenue, New York, New York 10153,
      commencing at 9:00 a.m. local time on the third Business Day following the
      satisfaction or waiver of the last of the conditions set forth in Section
      7(a) and Section 7(b) (other than conditions that by their nature are to
      be satisfied at Closing) or such other time or place as the Buyer and the
      Seller may mutually determine (the "Closing Date"). Notwithstanding
      anything to the contrary contained in this Section 2(d), if the conditions
      set forth in Section 7(a) and Section 7(b) (other than conditions that by
      their nature are to be satisfied at Closing) are satisfied or waived by
      the Party entitled to the benefits thereof on or before the Upset Date,
      but the date scheduled for Closing pursuant to this Section 2(d) is after
      the Upset Date, the Upset Date shall be extended until one (1) Business
      Day after the date so scheduled for Closing.

            (e) Deliveries at the Closing. At the Closing, (i) the Seller will
      deliver to the Buyer the certificates representing all of the Company
      Shares and the various certificates, instruments, and documents referred
      to in Section 7(a), (ii) the Buyer will deliver to the Seller the various
      certificates, instruments, and documents referred to in Section 7(b), and
      (iii) the Buyer will deliver to the Seller the consideration specified in
      Section 2(c).

            (f) Working Capital, Capital Expenditure Deficit and Subscriber
      Adjustment.

                  (i) Not less than three (3) Business Days prior to the
         anticipated Closing Date, the Seller shall deliver to the Buyer a
         statement setting forth the Seller's good faith estimate of the Working
         Capital (the "Estimated Working Capital Amount") and the Subscriber
         Adjustment (the "Estimated Subscriber Adjustment"), if any, together
         with reasonably detailed supporting documentation for such estimates
         (which, for purposes of the Subscriber Adjustment, shall be the
         standard monthly billing report for subscribers received or produced by
         the Company in the Ordinary Course of Business) and the Capital
         Expenditure Deficit, if any, together with reasonably detailed
         supporting documentation for such Capital Expenditure Deficit
         calculation and the related Capital
<PAGE>
         Expenditures. If the Buyer disputes any amounts relating to the Working
         Capital, Capital Expenditure Deficit or Subscriber Adjustment set forth
         in such statement, the Buyer and the Seller shall use Commercially
         Reasonable Efforts to attempt in good faith to resolve such dispute
         prior to the Closing, and the Estimated Working Capital Amount, the
         Capital Expenditure Deficit and the Estimated Subscriber Adjustment as
         determined by the Seller and, if applicable, modified by agreement of
         the Buyer and Seller prior to the Closing, shall be used for purposes
         of determining the payment to be made by the Buyer at Closing pursuant
         to Section 2(c) (provided, however, that if the Buyer and the Seller
         are unable to resolve any such dispute prior to the Closing, the
         Estimated Working Capital Amount, the Capital Expenditure Deficit and
         the Estimated Subscriber Adjustment as determined by the Seller and set
         forth in the statement delivered pursuant to this Section 2(f) shall be
         used for purposes of determining the payment to be made by the Buyer at
         Closing pursuant to Section 2(c), absent manifest error). For
         illustrative purposes only, Schedule 3 attached hereto sets forth the
         calculation of the Working Capital assuming that the Closing had been
         consummated on July 31, 2004.

                  (ii) Within 90 days after the Closing Date, the Buyer shall
         deliver to the Seller a statement setting forth the Buyer's good faith
         determination of the Working Capital (the "Buyer's Working Capital
         Amount") and the Subscriber Adjustment, if any (the "Buyer's Subscriber
         Adjustment"), together with reasonably detailed supporting
         documentation for such determination (which, for purposes of the
         Subscriber Adjustment, shall be the standard monthly billing report for
         subscribers received or produced by the Company in the Ordinary Course
         of Business) (the "Closing Statement").

                  (iii) The Seller may, by notice given to the Buyer within 30
         days after delivery of the Closing Statement, dispute the Buyer's
         Working Capital Amount and the Buyer's Subscriber Adjustment (the
         "Closing Statement Dispute Notice"). Such Closing Statement Dispute
         Notice shall set forth in reasonable detail the Seller's objections to
         the Buyer's Working Capital Amount and the Buyer's Subscriber
         Adjustment and the Seller's reasons therefor and the Seller shall be
         deemed to have agreed with all other items contained in the Closing
         Statement. If the Seller does not deliver such a Closing Statement
         Dispute Notice to the Buyer within 30 days after delivery of the
         Closing Statement, the Closing Statement, and the Buyer's Working
         Capital Amount and the Buyer's Subscriber Adjustment as set forth
         therein, shall be final and binding on the Buyer and the Seller. If the
         Seller delivers such a Closing Statement Dispute Notice, from the date
         of delivery of such Closing Statement Dispute Notice until the 30th day
         after the date of delivery of the Closing Statement, the Buyer and the
         Seller shall use their respective Commercially Reasonable Efforts to
         attempt in good faith to resolve the dispute identified in the Closing
         Statement Dispute Notice. From the date of delivery of such Closing
         Statement Dispute Notice until the 30th day after the date of delivery
         of the Closing Statement Dispute Notice, the Buyer and Buyer's
         Accountants shall use their respective Commercially Reasonable Efforts
         to cooperate with the Seller and Seller's Accountants and provide
         reasonable access to work papers of Buyer's Accountants to the extent
         reasonably necessary to the Closing Statement. The Buyer shall provide
         to the Seller and its representatives, including, without limitation,
         the Seller's Accountants, access at all reasonable times to the Buyer,
         the Systems and their books and records to the extent reasonably
         necessary for the purposes of preparing the Closing Statement
<PAGE>
         Dispute Notice and resolving any disputes relating to the Closing
         Statement and the Closing Statement Dispute Notice.

                  (iv) If the Seller has timely delivered a Closing Statement
         Dispute Notice pursuant to Section 2(f)(iii), and the Buyer and the
         Seller do not reach written agreement as to the Working Capital or the
         Subscriber Adjustment, if any, as applicable, prior to the 30th day
         after the date of delivery of the Closing Statement Dispute Notice,
         then either the Seller or the Buyer may by notice to the other (the
         "Resolution Notice") submit to Ernst & Young LLP (the "Unaffiliated
         Firm") for determination, in accordance with this Section 2(f), the
         amount of the Working Capital or the Subscriber Adjustment, as
         applicable. Notwithstanding the foregoing, if the aggregate difference
         between the proposed amounts of Working Capital and the proposed
         amounts of Subscriber Adjustment is less than $100,000, the Working
         Capital and the Subscriber Adjustment shall be the average of the
         proposed amounts of the Working Capital and the Subscriber Adjustment,
         respectively, and the Parties will not instruct the Unaffiliated Firm
         to render any decision. The following shall apply with respect to the
         use of the Unaffiliated Firm:

                            (A) Within 15 days after the delivery of the
               Resolution Notice, the Buyer and the Seller shall each propose an
               amount of Working Capital or Subscriber Adjustment, as
               applicable, to the Unaffiliated Firm, together with the reasons
               therefor, in writing. The Working Capital or the Subscriber
               Adjustment, as applicable, proposed by the Buyer shall not differ
               from the Buyer's Working Capital Amount or the Buyer's Subscriber
               Adjustment, as applicable, other than for changes agreed to in
               writing by the Seller, and the Working Capital or the Subscriber
               Adjustment, as applicable, proposed by the Seller shall not
               differ from the Seller's proposed amount of Working Capital or
               Subscriber Adjustment, as applicable, set forth in the Closing
               Statement Dispute Notice, other than for those changes agreed to
               in writing by the Buyer. Each of the Buyer and the Seller shall
               furnish to the Unaffiliated Firm such workpapers and other
               documents and information under its control or available to it
               and its Affiliates as the Unaffiliated Firm may request for the
               purposes of determining the Working Capital or Subscriber
               Adjustment, as applicable.

                            (B) The amount determined by the Unaffiliated Firm
               (acting as an expert and not as an arbitrator) shall not be
               higher than the higher of the proposed amount of Working Capital
               or Subscriber Adjustment, as applicable, or lower than the lower
               of the proposed amounts of Working Capital or Subscriber
               Adjustment, as applicable, and shall thereupon be the Working
               Capital or Subscriber Adjustment, as applicable. The Parties will
               instruct the Unaffiliated Firm to render its decision no later
               than 30 days after the submission to the Unaffiliated Firm under
               Section 2(f)(iv)(A).

                            (C) At any time after the determination of the
               Working Capital or Subscriber Adjustment, as applicable, has been
               submitted to the Unaffiliated Firm, the Buyer and the Seller may
               agree on the Working Capital or Subscriber Adjustment, as
               applicable, and direct the Unaffiliated Firm to not render any
               decision.
<PAGE>
Any determination of the Working Capital or Subscriber Adjustment, as
applicable, in accordance with Section 2(f)(iv), whether by agreement between
the Buyer and the Seller, by operation of the second sentence of Section
2(f)(iv), or by the Unaffiliated Firm, shall be conclusive and binding on all
Parties. The Working Capital determined as set forth in the preceding sentence
is hereinafter referred to as the "Final Working Capital Amount," and the
Subscriber Adjustment determined as set forth in the preceding sentence is
hereafter referred to as the "Final Subscriber Adjustment."

                  (v) Subject to Section 8(g)(v), promptly, but in any event not
         more than five Business Days, after the later of the determination of
         the Final Working Capital Amount and the Final Subscriber Adjustment,
         if any, (A) if the Final Working Capital Amount is less than the
         Estimated Working Capital Amount, the Seller shall pay the absolute
         value of the difference between such amounts to the Buyer, (B) if the
         Final Working Capital Amount is greater than the Estimated Working
         Capital Amount, the Buyer shall pay the difference between such amounts
         to the Seller, (C) if the Final Subscriber Adjustment is less than the
         Estimated Subscriber Adjustment, Buyer shall pay the absolute value of
         the difference between such amounts to the Seller, and (D) if the Final
         Subscriber Adjustment is greater than the Estimated Subscriber
         Adjustment, the Seller shall pay the difference between such amounts to
         the Buyer, in all cases together with simple interest at the rate of 6%
         per annum, for the period from the Closing Date to and through the date
         of payment. All payments made under this Section 2(f)(v) shall be made
         by wire transfer of immediately available funds to the account of the
         Party entitled to payment notified to the Party making such payment.

                  (vi) The fees and expenses of the Unaffiliated Firm for its
         services and expenses under this Section 2(f) shall be shared and paid
         one-half by the Buyer and one-half by the Seller.

                  (vii) Nothing herein shall be construed to authorize or permit
         the Unaffiliated Firm to arbitrate or determine any question or matter
         whatever under or in connection with this Agreement except the specific
         items in dispute between the Parties with respect to the amount of the
         Working Capital and the Subscriber Adjustment to be determined in
         accordance with the provisions of this Agreement or require the
         Unaffiliated Firm to follow the rules of the American Arbitration
         Association or any other body in making such determination.

            (g) Capital Expenditures. Set forth on Schedule 2(g) is a true and
      correct copy of the amounts the Company has budgeted for capital
      expenditures or capital additions or betterments ("Capital Expenditures")
      for its fiscal year June 1, 2004 through May 31, 2005 (such budgeted
      Capital Expenditures for such fiscal year, the "Budgeted Capital
      Expenditures") set forth on a fiscal quarterly basis, including a
      breakdown of the amounts thereof by category or purpose of such Capital
      Expenditures. Not less than three (3) Business Days prior to the
      anticipated Closing Date, the Seller shall deliver to the Buyer a
      statement setting forth the Capital Expenditures made by the Company
      during the period from June 1, 2004 through the anticipated Closing Date,
      together with reasonably detailed supporting documentation for such
      expenditures. For purposes of calculating the Capital
<PAGE>
      Expenditure Deficit, if any, the aggregate amount set forth in Schedule
      2(g) shall be multiplied by a fraction, the numerator of which shall be
      the number of days from June 1, 2004 to the Closing Date, and the
      denominator of which shall be 365 (the resulting amount, the "Pro-Rata
      Amount"). If the aggregate amount expended by the Company during the
      period from June 1, 2004 through the anticipated Closing Date, as set
      forth on Seller's statement, is less than the Pro-Rata Amount, such
      difference shall be the "Capital Expenditure Deficit." If, in the good
      faith judgment of the Seller, after consultation with the Buyer, the
      Seller determines to change or modify the purpose or category of any
      Capital Expenditure from the proposed category or purpose set forth on
      Schedule 2(g), the Seller may so change or modify the category or purpose
      of such Capital Expenditure. Notwithstanding anything to the contrary
      contained herein, a Capital Expenditure Deficit shall be reduced by the
      amount of liabilities, if any, for Capital Expenditures included in the
      calculation of Working Capital.

            (h) Settlement of Intercompany Amounts. From and after the date of
      this Agreement through the Closing Date, Seller agrees to cause all
      intercompany receivables and intercompany payables of the Company, in each
      case as determined in accordance with GAAP, to be treated in the following
      manner:

                      (A) During the period prior to the Closing, the Company
         shall be permitted to net intercompany receivables and payables against
         each other; provided that such receivables and payables constitute
         Current Assets and Current Liabilities, respectively.

                      (B) At Closing, Seller may, at its option, cause the
         Company to cancel all intercompany receivables of the Company from its
         Affiliates without payment of any cash to the Company. With respect to
         intercompany payables of the Company outstanding at the Closing, Seller
         shall settle such amounts at Closing in cash.

3. Representations and Warranties of the Seller

         The Seller represents and warrants to the Buyer as follows, except as
set forth in the disclosure schedule delivered by the Seller to the Buyer on the
date of this Agreement (the "Disclosure Schedule"):

            (a) Organization.

                  (i) The Seller is a corporation duly organized, validly
         existing, and in good standing under the laws of the State of Delaware.
         The Seller is duly authorized to conduct business and is in good
         standing under the laws of each jurisdiction where such qualification
         is required, except where the lack of such qualification would not be
         reasonably likely to have a Material Adverse Effect. The Seller has all
         requisite corporate power and authority to carry on the businesses in
         which it is engaged and to own and use the properties owned and used by
         it, and to execute, deliver and perform this Agreement and the
         Ancillary Documents to which it is a party.
<PAGE>
                  (ii) The Company is a corporation duly organized, validly
         existing, and in good standing under the laws of the State of Delaware.
         The Company is duly authorized to conduct its business and is in good
         standing under the laws of each jurisdiction where such qualification
         is required, except where the lack of such qualification would not be
         reasonably likely to have a Material Adverse Effect. The Company has
         all requisite corporate power and authority to carry on the businesses
         in which it is engaged and to own and use the properties owned and used
         by it.

            (b) Capitalization. The authorized capital stock of the Company
      consists of 1,000 Company Shares, of which 1,000 Company Shares are issued
      and outstanding and no Company Shares are held in treasury. All of the
      issued and outstanding Company Shares have been duly authorized, are
      validly issued, fully paid, and nonassessable, and are held, beneficially
      and of record, by the Seller, free and clear of any restrictions on
      transfer and Security Interests, except for the security interest
      described in Section 3(b) of the Disclosure Schedule which will be
      released at or prior to Closing, but subject to the Legal Restrictions.
      There are no outstanding or authorized options, warrants, purchase rights,
      subscription rights, conversion rights, call rights, exchange rights, or
      other Contracts of any nature that could require the Company to issue,
      sell, or otherwise cause to become outstanding any of the Company's
      capital stock (including upon exchange or conversion) other than the 1,000
      Company Shares held by the Seller. There are no outstanding or authorized
      stock appreciation, phantom stock, profit participation, or similar rights
      with respect to the Company. The Seller is not a party to any option,
      warrant, purchase right, or other Contract that could require the Seller
      to sell, transfer, or otherwise dispose of any capital stock of the
      Company (other than this Agreement). The Seller is not a party to any
      voting trust, proxy, or other agreement or understanding with respect to
      the voting of any capital stock of the Company. The sale, conveyance,
      assignment, transfer and delivery of the Company Shares as provided in
      this Agreement will convey to Buyer good and valid title to such Company
      Shares, free and clear of any and all Security Interests, subject to the
      Legal Restrictions.

            (c) Authorization of Transaction; Conflicts; Consents of Third
      Parties.

                  (i) The Seller has all requisite corporate power and authority
         to execute and deliver this Agreement and the Ancillary Documents to
         which it is a party and to perform its obligations hereunder and
         thereunder. All necessary corporate proceedings of the Seller have been
         duly taken to authorize the execution, delivery, and performance by the
         Seller of this Agreement and the Ancillary Documents to which it is a
         party. This Agreement and the Ancillary Documents to which it is a
         party have been duly authorized, executed, and delivered by the Seller
         and constitute the valid and legally binding obligations of the Seller,
         enforceable against the Seller in accordance with their respective
         terms, except as such enforceability may be limited by the
         Enforceability Exceptions.

                  (ii) Except as described in Section 3(c)(ii) of the Disclosure
         Schedule (the "Required Governmental Approvals"), neither the Seller
         nor the Company is required to obtain any consent, authorization,
         approval, order, license, certificate, or permit of or from, or make
         any declaration or filing with, or notification to, any Governmental
         Entity on the part of the Company or the Seller in connection with (i)
         the execution, delivery
<PAGE>
         and performance of this Agreement or the Ancillary Documents to which
         it is a party or (ii) the continuing validity and effectiveness
         immediately following Closing of any Material Contract, License or
         permit or Contract which is material to the business of the Seller.

                  (iii) Neither the execution and the delivery of this Agreement
         or the Ancillary Documents, nor the consummation of the transactions
         contemplated hereby or thereby, will:

                      (A) if the Required Governmental Approvals are obtained,
         violate or result in a breach in any material respect of any Law to
         which the Seller or the Company is subject;

                      (B) violate or result in a breach of any provision of the
         Certificate of Incorporation or Bylaws of the Seller or the Company;

                      (C) violate any order of any Governmental Entity
         applicable to the Company or any of its assets or properties;

                      (D) result in the creation of any Security Interest upon
         any of the assets of the Company, except for any Permitted Lien, or

                      (E) provided the consents, authorizations or approvals
         listed in Section 3(c)(iii) of the Disclosure Schedule (the "Necessary
         Consents") are obtained, conflict with, result in a breach of,
         constitute a default (with or without notice of lapse of time, or both)
         under, result in the acceleration of the rights of any party under, or
         create in any party the right to terminate, modify, cancel, or lose any
         material benefit under, or give rise to any obligation of the Company
         to make a payment under any Material Contract, License, Franchise or
         any material contract to which the Seller is a party.

      Notwithstanding the foregoing, the Seller makes no representation or
warranty regarding any of the foregoing that may result from the specific legal
or regulatory status of Buyer or its Affiliates or as a result of any other
facts that specifically relate to the business or activities in which Buyer or
its Affiliates is or proposes to be engaged, other than the cable television
business.

            (d) Brokers' Fees. The Seller has no liability or obligation to pay
      any fees or commissions to any broker, finder or agent with respect to the
      transactions contemplated by this Agreement for which the Company could
      become liable or obligated, other than Waller Capital Corporation, all of
      whose fees and expenses in connection with the transactions contemplated
      hereby will be paid by Seller or an Affiliate of Seller (other than the
      Company).

            (e) Subsidiaries. The Company does not, directly or indirectly, own
      any capital stock or other equity interest in any other Person.
<PAGE>

            (f) Financial Statements; Absence of Certain Changes; No Undisclosed
      Liabilities. The Seller has made available to the Buyer or its
      representatives copies of the following financial statements (collectively
      the "Financial Statements"): (i) audited balance sheets and statements of
      income, changes in stockholders' equity, and cash flows of the Company as
      of, and for its fiscal years ended, May 31, 2003 and 2002, (ii) an
      unaudited balance sheet and statement of income, of the Company as of, and
      for the calendar months ended, June 30, 2004 and July 31, 2004 and (iii)
      drafts of the audited balance sheet and statements of income, changes in
      stockholders' equity, and cash flows of the Company as of, and for its
      fiscal year ended, May 31, 2004; provided, however, that the
      representation set forth in this Section 3(f) shall extend to the final
      audited financial statements for the fiscal year ended May 31, 2004 in
      lieu of the draft of such financial statements upon Buyer's acceptance or
      deemed acceptance of such financial statements pursuant to Section
      7(a)(xxi). The Financial Statements (including the notes thereto) have
      been prepared in accordance with GAAP applied on a consistent basis
      throughout the periods covered thereby and present fairly in all material
      respects the financial condition of the Company as of such dates and the
      results of operations, changes in stockholders' equity and cash flows of
      the Company for such periods, except, in the case of the Financial
      Statements identified in clause (iii) of the preceding sentence, as set
      forth in Section 3(f) of the Disclosure Schedule, and except that the
      unaudited Financial Statements identified in clause (ii) of the preceding
      sentence are subject to normal year-end adjustments and do not contain
      footnotes, and the line item "System Cash Flow" in the income statement
      included therein has not been prepared in accordance with GAAP.

      Except as set forth on Section 3(f) of the Disclosure Schedule, since May
31, 2004 through the date of this Agreement: (i) no event, change or
circumstance has occurred with respect to the Company which has had or could
reasonably be expected to have a Material Adverse Effect; (ii) the Company has
operated in the Ordinary Course of Business; (iii) there has not been any
damage, destruction or loss, whether or not covered by insurance, with respect
to the property and assets of the Company having a replacement cost of more than
$500,000 for any single loss or $1.0 million for all such losses; (iv) there has
not been any declaration, setting aside or payment of any dividend or other
distribution in respect of any shares of Company Stock or any repurchase,
redemption or other acquisition by the Company of any outstanding shares of
capital stock or other securities of, or other ownership interest in, the
Company; (v) the Company has not awarded or paid any bonuses to employees of the
Company with respect to the fiscal year ended May 31, 2004, except to the extent
accrued on the balance sheet as of May 31, 2004 included in the Financial
Statements or entered into any employment (other than an oral agreement
terminable without penalty on no more than 30 days notice), deferred
compensation, severance or similar agreement (nor amended any such agreement),
or agreed to increase the compensation payable or to become payable by it to any
of the Company's directors, officers, employees, agents or representatives
except for annual increases and merit increases in the Ordinary Course of
Business or agreed to increase in any material respect the coverage or benefits
available under any severance pay, termination pay, vacation pay, company
awards, salary continuation for disability, sick leave, deferred compensation,
bonus or other incentive compensation, insurance, pension or other employee
benefit plan, payment or arrangement made to, for or with such directors,
officers, employees, agents or representatives of the Company, except as
required pursuant to the terms thereof or applicable Law or where such increase
in coverage or benefits was provided uniformly to substantially all employees of
Centennial and its
<PAGE>
Subsidiaries, including Company Employees; (vi) there has not been any change by
the Company in accounting or Tax reporting principles, methods or policies,
except as required by applicable Law or except any such change relating to
United States federal income Taxes that would not continue to apply to the
Company after the Closing; (vii) the Company has not made or rescinded any
election relating to Taxes, other than elections for United States federal
income Tax purposes that would not continue to apply to the Company after the
Closing, or settled or compromised any claim relating to Taxes; (viii) the
Company has not entered into any transaction or Contract or conducted its
business other than in the Ordinary Course of Business; (ix) the Company has not
failed to pay and discharge current liabilities other than in the Ordinary
Course of Business; (x) the Company has not made any loans, advances or capital
contributions to, or investments in, any Person or paid any fees or expenses to
any director, officer, partner, stockholder or Affiliate of the Company except
for compensation in the Ordinary Course of Business and the advancement of
expenses in the Ordinary Course of Business; (xi) the Company has not mortgaged,
pledged or subjected to any Security Interest any of its assets, other than
Permitted Liens, or acquired any assets or sold, assigned, transferred,
conveyed, leased or otherwise disposed of any assets of the Company, except for
assets acquired or sold, assigned, transferred, conveyed, leased or otherwise
disposed of in the Ordinary Course of Business; (xii) the Company has not
discharged or satisfied any Security Interest, or paid any obligation or
liability (fixed or contingent), except in the Ordinary Course of Business or
which, if not in the Ordinary Course of Business, in the aggregate, would not be
material to the Company taken as a whole; (xiii) the Company has not canceled or
compromised any material debt or claim or amended, canceled, terminated,
relinquished, waived or released any Material Contract except in the Ordinary
Course of Business and which, in the aggregate, would not be material to the
Company, taken as a whole; (xiv) the Company has not made or committed to make
any capital expenditures in excess of $500,000 for any single capital
expenditure or $2.0 million in the aggregate, other than Budgeted Capital
Expenditures; (xv) the Company has not issued, created, incurred, assumed or
guaranteed any indebtedness in an amount in excess of $500,000 in the aggregate;
(xvi) the Company has not instituted or settled any legal proceedings which,
individually or in the aggregate, would be material to the Company taken as a
whole; and (xvii) neither the Seller nor the Company has agreed, committed,
arranged or entered into any understanding to do anything set forth in this
Section 3(f).

         The Company does not have any indebtedness, liability or obligation of
a type required by GAAP to be reflected or reserved against in the most recent
balance sheet of the Company included in the Financial Statements, other than
indebtedness, liabilities and obligations that were (i) fully reflected or
reserved against in such balance sheet or (ii) immaterial to the Company and
incurred in the Ordinary Course of Business or (iii) incurred in accordance with
Section 5(c).

            (g) Legal Compliance.

                  (i) Except for any such noncompliance which has been remedied,
            the Company is in compliance in all material respects with all
            applicable Laws including, without limitation, the Communications
            Act, Law 213 and the rules, orders and policies of the
            Telecommunications Regulatory Board and is operating the Systems in
            all material respects in accordance with its Licenses and
            Franchises. The Company has not received
<PAGE>
            any notice of or been charged with the violation of any Laws. To the
            Knowledge of the Seller, the Company is not under investigation with
            respect to the violation of any Laws.

                  (ii) Section 3(l) of the Disclosure Schedule sets forth a list
            of all Licenses which are required for the operation of the business
            of the Company as presently conducted. The Licenses listed on
            Section 3(l) of the Disclosure Schedule have been issued in the name
            of the Company and there are no other Licenses required to operate
            the Systems in the geographic areas served by the Systems in
            substantially the same manner as the Company is operating the
            Systems and providing cable television service on the Systems. The
            Company is not in default or violation, and no event has occurred
            which, with notice or the lapse of time or both, would constitute a
            default or violation, in any material respect of any term, condition
            or provision of any License to which it is a party, to which its
            business is subject or by which its assets or properties are bound.
            The Licenses are in full force and effect and are not subject to any
            condition except conditions applicable to such Licenses generally,
            or as otherwise disclosed on the face of the Licenses. The Seller
            has no Knowledge of any reason why any Licenses would not be renewed
            in the ordinary course.

                  (iii) Except as described in Section 3(g)(iii) of the
            Disclosure Schedule, the Company is permitted, in all material
            respects, under the Franchises and the Communications Act and any
            other applicable Law to utilize and to distribute to customers of
            the Systems all carrier frequencies generated by the operations of
            the Systems, and is licensed by the FCC to operate all of its radio
            facilities required by Law to be licensed by the FCC, including any
            business radio and any cable television relay service system being
            operated as part of the Systems and, where required, has registered
            with the FCC any earth stations being operated as part of the
            Systems. The Franchises listed on Section 3(l) of the Disclosure
            Schedule have been issued in the name of the Company or a
            predecessor in interest of the Company, and with respect to which
            the Company is now the valid holder, and there are no other
            franchises or other similar authorizations issued or issuable by a
            Governmental Entity (other than the Licenses) that are necessary or
            required to operate a cable television system in the geographic
            areas served by the Systems.

                  (iv) Except as described in Section 3(g)(iv) of the Disclosure
            Schedule, the Company has (A) conducted in all material respects all
            required FCC system performance, technical and Cumulative Leakage
            Index ("CLI") tests applicable to the Systems, (B) maintained in all
            material respects required FCC log books and other record keeping
            with respect to such tests which reflect in all material respects
            all results required to be shown thereon, (C) to the extent required
            by the rules and regulations of the FCC, corrected in all material
            respects any signal leakage of the Systems required to be corrected,
            and (D) otherwise complied in all material respects with all
            applicable FCC system performance, technical and CLI rules and
            regulations.

                  (v) Except as described in Section 3(g)(v) of the Disclosure
            Schedule, the Company has made all filings required to be made by it
            to the FCC pursuant to the Communications Act and such filings were
            accurate and complete in all material respects when filed.
<PAGE>
                  (vi) The Systems are being operated in compliance in all
            material respects with the rules and regulations of the FAA, the
            Puerto Rico Planning Board (the "PRPB") and the Puerto Rico
            Regulations & Permits Administration (the "ARPE"). Without limiting
            the generality of the foregoing (A) the existing towers of the
            Systems are registered in all material respects to the extent
            required by Law and have been operated and maintained, in each case,
            in all material respects, including but not limited to, with respect
            to obstruction marking and lighting in accordance with the rules and
            regulations of the FAA, FCC, PRPB and ARPE, and are in compliance in
            all material respects with all other rules and regulations of the
            FAA and FCC or such requirements are inapplicable, and (B) without,
            material exceptions, any required authorizations, including Hazard
            to Air Navigation determinations, for such towers have been issued
            by and pursuant to the rules and regulations of the FAA; provided,
            however, that with respect to all towers of the Systems with respect
            to which the Company is a lessee or on which the Company leases
            space, the foregoing representations and warranties are made solely
            with respect to the business and operations of the Company (but not
            with respect to the business or operations of any other Person
            owning or using such towers).

                  (vii) All statements of account and other documents and
            instruments required under the Copyright Act with respect to the
            operation of the Systems for all accounting periods through the last
            accounting period for which the filing deadline has passed
            (collectively, the "Accounting Periods") have been recorded or
            deposited with the Copyright Office and all royalty fees,
            supplemental royalties and other sums required under the Copyright
            Act with respect to the operation of the Systems for the Accounting
            Periods have been paid to the Copyright Office. The Company is
            otherwise in compliance in all material respects with the
            requirements of the compulsory copyright license described in
            Section 111 of the Copyright Act and with all applicable rules and
            regulations of the Copyright Office, except in each case as
            described in Section 3(j) of the Disclosure Schedule. The Company
            has not received any material inquiry from the Copyright Office
            questioning or challenging any of the statements of account or
            related royalty payments filed by the Company for the Accounting
            Periods.

                  (viii) True and correct copies of all filings submitted to the
            Copyright Office, since July 1, 2001, including, without limitation,
            all statements of account and proof of payment of all royalty fees
            and supplemental royalties, have been made available to the Buyer or
            its representatives. The Seller has made available to the Buyer or
            its representatives true and correct copies of all reports and
            filings made or filed by the Company pursuant to FCC rules and
            regulations from the later of five years prior to the date of this
            Agreement or the date on which Seller acquired indirect ownership of
            the Systems.

                  (ix) The Company has not received any written notice from the
            FCC alleging any current or unresolved violation of the FCC's rules
            or regulations, except in each case as set forth Section 3(g)(ix) of
            the Disclosure Schedule. The Company has not received written notice
            or, to the Seller's Knowledge, other notice, of any complaint or
            pending proceeding at the FCC concerning the operations of the
            Systems. There is no notice of violation, order of forfeiture,
            complaint or proceeding or, to the Seller's Knowledge, investigation
            pending before the FCC or, to the Knowledge of the Seller or the
            Company,
<PAGE>
            threatened, concerning the operation of the Systems or relating to
            the Company. There is no action pending or, to the Knowledge of
            Seller or the Company, threatened by or before the FCC which, if
            determined adversely to the Company would result in the revocation,
            cancellation, rescission or material and adverse modification of any
            of the Licenses issued by the FCC. No material fees with respect to
            the Licenses are past due.

                  (x) True, correct and complete copies of all material
            documentation concerning the Company's handling of personally
            identifiable information about subscribers, including any privacy
            policies and practices, consents and third party transfer
            agreements, or the forms thereof, have been made available to Buyer
            or its representatives. The Company has, without material exception,
            provided all required subscriber privacy notices to new subscribers
            of the Systems at the time of entering into an agreement to provide
            service to a subscriber and to all subscribers of the Systems on an
            annual basis, has made Commercially Reasonable Efforts to prevent
            unauthorized access to personally identifiable information of
            subscribers, has not used any Systems to collect and has not
            disclosed personally identifiable information concerning any
            subscriber except as expressly permitted by Law, has provided each
            subscriber with access to all personally identifiable information
            regarding that subscriber kept and maintained by the Company and
            provided subscribers reasonable opportunity to correct any error in
            such information, has destroyed all personally identifiable
            information if such information is no longer necessary for the
            purpose for which it was collected and has provided all customer
            notices, in each case, in all material respects as required by
            applicable Law, including, without limitation, by the Communications
            Act, including customer complaint resolution, availability of basic
            service, and equipment compatibility notices, and is in compliance,
            in all material respects, with all applicable privacy laws. The
            Company has not received written notice or, to the Seller's
            Knowledge, other notice of any request, complaint, investigation,
            inquiry or claim relating to its handling of personally identifiable
            information about subscribers.

                  (xi) Except as set forth in Section 3(g)(xi) of the Disclosure
            Schedule, the Company is in compliance in all material respects with
            the must carry and retransmission consent provisions of the
            Communications Act. Except as set forth in Section 3(g)(xi) of the
            Disclosure Schedule, the Company has the legal right and authority,
            in all material respects, including all necessary authorizations and
            licenses from the FCC and the relevant stations, to carry and to
            continue to carry and use all signals now being carried by the
            Systems. Each such signal is being carried either pursuant to the
            must carry requirements of the Communications Act, pursuant to a
            retransmission consent agreement in full force and effect or
            pursuant to a legal exception to such requirements, and each such
            signal is positioned in all material respects as required by
            applicable Law. The Company has not received any written, or to the
            Seller's Knowledge, other notice from, nor to the Seller's or the
            Company's Knowledge is any action threatened by, any local broadcast
            station alleging a violation by the Company of the Communications
            Act, including, but not limited to, broadcast signal carriage
            requirements or the terms of any Contract, including, but not
            limited to retransmission consent agreements.

                  (xii) The FCC has determined that the Systems are subject to
            "effective competition" within the meaning of Section 623 of the
            Communications Act. To the
<PAGE>
            Knowledge of the Seller and the Company, there has been no action by
            the Telecommunications Regulatory Board or the FCC to seek
            modification of the FCC's "effective competition" determination.

                  (xiii) There is no pending written assertion or claim against
            the Company or, to the Knowledge of the Seller, any assertion or
            claim threatened, that its operations pursuant to any pole
            attachment Contract have been improperly conducted or maintained.

                  (xiv) To the Seller's Knowledge, no fact or circumstance
            exists relating to the qualifications of the Company that (A) could
            reasonably be expected to prevent or delay the Telecommunications
            Regulatory Board or the FCC from granting the Required Governmental
            Approvals or (B) would otherwise disqualify the Company as the owner
            or operator of the Systems.

            (h) Tax Matters.

                  (i) All income and other material Tax Returns of or with
            respect to the Company (or the Affiliated Group of which the Company
            is or was a member) that were required to be filed have been duly
            and timely filed, and all such Tax Returns, to the extent they
            relate to the Company (or the portion thereof that relates to the
            Company), are true, correct and complete in all material respects.
            All income and other material Taxes payable by or with respect to
            the Company (or the Affiliated Group of which the Company is or was
            a member to the extent such Taxes relate to the Company) have been
            fully and timely paid. With respect to any period for which Tax
            Returns have not yet been filed or for which Taxes are not yet due
            or owing, the Company has made accruals for such Taxes in accordance
            with GAAP in the Financial Statements and its books and records. All
            required estimated Tax payments sufficient to avoid any underpayment
            penalties have been made by or with respect to the Company.

                  (ii) Section 3(h) of the Disclosure Schedule lists all income
            and other material Tax Returns filed with respect to the Company for
            taxable periods ended on or after May 31, 2000, indicates those such
            Tax Returns that have been audited, and indicates those such Tax
            Returns that currently are the subject of audit. The Seller has made
            available to the Buyer or its representatives complete copies of the
            relevant portions of all income and other material Tax Returns of,
            examination reports relating to, and statements of deficiencies
            assessed against or agreed to by the Company since May 31, 2000.

                  (iii) The Company has not waived any statute of limitations in
            respect of Taxes or agreed to, or become a party to, any extension
            of time with respect to a Tax assessment or deficiency relating to
            the Company or any Affiliated Group of which the Company is or was a
            member, which statute of limitations or extension of time has not
            since expired.

                  (iv) The Company has been a member of the Affiliated Group of
            which Centennial is the common parent for purposes of filing a
            consolidated federal income Tax Return since the Company's inception
            on or about March 2, 2000, and the Company does not have any
            liability for Taxes of any Person under Treasury Regulation Section
            1.1502-6 (or any comparable provision of state, local or foreign
            Law) (other than as a member of
<PAGE>
            such group). For purposes of Taxes other than U.S. federal income
            Tax, the Company has not been a member of any Affiliated Group for
            which a consolidated, combined, unitary or affiliated Tax Return has
            been filed.

                  (v) All deficiencies asserted or assessments made as a result
            of any examinations by any Governmental Entity of the Tax Returns
            of, including or with respect to the Company, have been fully paid,
            and there are no audits or investigations of the Company or any
            Affiliated Group of which the Company is or was a member by any
            taxing authority in progress. The Company has not received any
            notice from any taxing authority that it intends to conduct such an
            audit or investigation. No issue has been raised by a taxing
            authority in any prior examination of or relating to the Company
            which, by application of the same or similar principles, would
            reasonably be expected to result in a proposed deficiency or affect
            the Tax treatment of the Company for any subsequent taxable period.

                  (vi) The Company has complied in all material respects with
            all applicable Laws relating to the payment and withholding of Taxes
            and has duly and timely withheld and paid over to the appropriate
            taxing authorities all amounts required to be so withheld and paid
            over under all applicable Laws.

                  (vii) There is no contract, agreement, plan or arrangement
            covering any person that, individually or collectively, could give
            rise to the payment of any amount that would not be deductible by
            the Buyer or any of its Affiliates (including the Company) by reason
            of Section 280G of the Code or that would give rise to Tax under
            Section 4999 of the Code.

                  (viii) There are no liens for Taxes upon the assets of the
            Company.

                  (ix) The Company has not executed or entered into any
            agreement with, or obtained any consents or clearances from, any
            Governmental Entity, or has been subject to any ruling guidance
            specific to the Company that would be binding on the Buyer or any of
            its Affiliates (including the Company) for any taxable period ending
            after the Closing Date.

                  (x) Neither the Company nor any other Person on the Company's
            behalf has (i) agreed, is required (as a result of any action taken
            prior to Closing) or has any application pending to make any
            adjustment pursuant to Section 481(a) of the Code or any similar
            provision of Law or has received notice that any Governmental Entity
            has proposed any such adjustment, (ii) executed or entered into a
            closing agreement pursuant to Section 7121 of the Code or any
            similar provision of Law or (iii) granted to any Person any power of
            attorney that is currently in force with respect to any Tax matter.

                  (xi) None of the property owned by the Company is (i) property
            required to be treated as being owned by another Person pursuant to
            the provisions of Section 168(f)(8) of the Internal Revenue Code of
            1954, as amended and in effect immediately prior to the enactment of
            the Tax Reform Act of 1986, (ii) "tax-exempt use property" within
            the meaning of Section 168(h)(1) of the Code, (iii) "tax-exempt bond
            financed property"
<PAGE>
            within the meaning of Section 168(g) of the Code, (iv) "limited use
            property" within the meaning of Rev. Proc. 2001-28, or (v) subject
            to Section 168(g)(1)(A) of the Code.

                  (xii) The Company is not a party to or bound by any written
            tax sharing, allocation, indemnity or similar agreement pursuant to
            which the Buyer or any of its Affiliates (including the Company)
            will have any obligation to make any payments after the Closing.

                  (xiii) The Company has not constituted either a "distributing
            corporation" or a "controlled corporation" (within the meaning of
            Section 355(a)(1)(A) of the Code) in a distribution of stock
            qualifying for tax-free treatment under Section 355 of the Code (A)
            in the two (2) years prior to the date of this Agreement or (B) in a
            distribution which would constitute part of a "plan" or "series of
            related transactions" (within the meaning of Section 355(e) of the
            Code) in conjunction with the transactions contemplated by this
            Agreement.

                  (xiv) There is no taxable income of the Company that will be
            required under applicable Law to be reported by the Buyer or any of
            its Affiliates (including the Company) for a taxable period
            beginning after the Closing Date which taxable income was realized
            (and reflects economic income) arising prior to the Closing Date.

                  (xv) The Company has not engaged in any "intercompany
            transaction" in respect of which gain was and continues to be
            deferred pursuant to Treasury Regulation Section 1.1502-13 or any
            analogous or similar provision of Law.

                  (xvi) The Company is a member of a "selling consolidated
            group" within the meaning of Treasury Regulation Section
            1.338(h)(10)-1(b)(2), Centennial is eligible to make the Section
            338(h)(10) Election with respect to the Company, and neither Seller
            nor any of its Affiliates knows of any facts or circumstances that
            should reasonably be expected to prevent the transactions
            contemplated hereunder from qualifying as a "qualified stock
            purchase" within the meaning of Section 338(d)(3) of the Code.

                  (xvii) The Company is not and has never been, or treated as
            having been, engaged in a trade or business or a permanent
            establishment in any jurisdiction other than the United States or
            the Commonwealth of Puerto Rico, and except as set forth in Section
            3(h) of the Disclosure Schedule, the Company has never been and is
            not subject to taxation (including any withholding tax) in any
            jurisdiction other than the United States or the Commonwealth of
            Puerto Rico.

                  (xviii) The Seller has not taken any action which would result
            in the loss, earlier termination, or diminution of any reduction in
            Taxes, Tax holiday, special Tax status or treatment, or any increase
            in applicable Tax rates, that exist with respect to the Company.

                  (xix) The Company does not own any "U.S. real property
            interests" within the meaning of Section 897(c) of the Code.

            (i) Assets.
<PAGE>
                  (i) Section 3(i)(i) of the Disclosure Schedule lists, as of
            the date of this Agreement, the street address or other location
            information for all Owned Real Property, other than easements,
            rights of entry, rights-of-way and similar authorizations. The
            Company has good and marketable title (and such title is recorded,
            or pending recordation) to each parcel of Owned Real Property listed
            on such schedule, free and clear of any Security Interest (other
            than the Security Interests described in Section 3(i)(i) of the
            Disclosure Schedule, all of which will be discharged and released of
            record or discharged, if not recorded, at or prior to Closing and
            Permitted Liens). The Company is not party to any leases, subleases,
            licenses, concessions, or other Contracts granting to any party or
            parties the right of use or occupancy of any portion of any such
            parcel of Owned Real Property, except for those listed on Section
            3(i)(i) of the Disclosure Schedule. The Company has delivered or
            otherwise made available to Buyer true, correct and complete copies
            of all deeds, title reports, exception documents and related
            documents and information and surveys for the Owned Real Property in
            the Company's possession.

                  (ii) Section 3(i)(ii) of the Disclosure Schedule lists, as of
            the date of this Agreement, by street address or other location
            information, all Leased Real Property leased or subleased to the
            Company, as lessee or sublessee, as the case may be. The Company has
            delivered or otherwise made available to Buyer true, correct and
            complete copies of all title reports, surveys, leases, subleases,
            and related documents and information pertaining to Leased Real
            Property in the Company's possession. The Company has a valid and
            enforceable leasehold interest under each of the leases for the
            Leased Real Property, subject to the Enforceability Exceptions.

                  (iii) The Owned Real Property and Leased Real Property
            constitute all interests in real property currently used in or
            currently held for use in connection with the business of the
            Company and which are necessary for the continued operation of the
            business of the Company as the business is currently conducted. The
            Company owns, leases or has the right to use in the Ordinary Course
            of Business all easements, rights of entry and rights-of-way which
            are material to the business and operations of the Company. All of
            the Owned Real Property and Leased Real Property, buildings,
            fixtures and improvements thereon owned or leased by the Company are
            in good operating condition and repair (subject to normal wear and
            tear). Except as otherwise set forth in Section 3(i)(iii) of the
            Disclosure Schedule, there does not exist any actual or, to the
            Knowledge of Seller or the Company, threatened condemnation or
            eminent domain proceedings that affect any Owned Real Property or
            Leased Real Property or any part thereof, and the Seller has not
            received any written notice, or, to the Knowledge of Seller, oral
            notice, of the intention of any Governmental Entity or other Person
            to take or use all or any part thereof.

                  (iv) The Company has good title to, or a valid leasehold
            interest in, all material tangible personal property, except as set
            forth on Section 3(i)(iv) of the Disclosure Schedule, that it uses
            regularly in the conduct of its business, free and clear of all
            Security Interests except for (x) the Security Interests described
            in Section 3(i)(iv) of the Disclosure Schedule, all of which
            Security Interests will be released or discharged at or prior to
            Closing and (y) Permitted Liens. All items of the Company's tangible
            personal
<PAGE>
            property which, individually or in the aggregate, are material to
            the operation of the business of the Company, are in good operating
            condition and repair, ordinary wear and tear excepted. The Company
            has title to, or a leasehold interest in, all material assets used
            in or necessary to operate the business of the Company as currently
            conducted.

                  (v) Notwithstanding anything to the contrary contained in this
            Agreement, no representation or warranty is being made as to the
            title to, or the sufficiency or condition of, the internal wiring,
            house drops and unrecorded dwelling unit easements, rights of entry
            or rights of way held or used by the Company; provided, however,
            that any such failures of title, taken as a whole, are not
            materially adverse to the business and operations of the Company.

            (j) Intellectual Property. The Company has in all material respects
      the valid right to carry, transmit, or otherwise furnish to customers all
      programming networks or services currently carried, transmitted, or
      furnished in connection with the operation of the Systems and, at the time
      of transmission, had in all material respects the right to carry,
      transmit, or otherwise furnish to customers all programming networks or
      services heretofore carried, transmitted, or furnished in connection with
      the operation of the Systems. Except as set forth in Section 3(j) of the
      Disclosure Schedule, the Company owns or has the right to use, in each
      case, in all material respects, all intellectual property owned or used by
      it in connection with the operation of the Systems, including patents,
      trademarks, trade names, service marks, service names, logos, trade
      secrets, copyrights, and licenses, except with respect to rights to the
      performance, exhibition, or carriage of any music on the Systems except
      for rights to the performance, exhibition and carriage of music issued by
      music rights organizations such as BMI, SESAC or ASCAP (with respect to
      which Seller makes no representation or warranty). All such intellectual
      property material to the operation of the Systems is identified or
      described in Section 3(j) of the Disclosure Schedule (excluding any "off
      the shelf" or other standard computer software). Except as set forth in
      Section 3(j) of the Disclosure Schedule, the Company is not required,
      obligated, or under any liability whatsoever to make any payments by way
      of royalties, fees or otherwise to any owner, licensor of, or other
      claimant to such material intellectual property, or other third party in
      connection with the operation of the business of the Company as currently
      conducted. Except as set forth in Section 3(j) of the Disclosure Schedule,
      the Company has not received any notice of infringement of any patent,
      trademark, trade name, service mark, service name, logo, trade secret or
      copyright or any written instrument which challenges or questions its
      right to carry, transmit, or furnish any programming or works to customers
      or to utilize any other intellectual property in connection with the
      operation of the Systems. To the Knowledge of the Seller, no Person is
      infringing, violating, misusing or misappropriating any material
      intellectual property of the Company, and no such claims have been made
      against any Person by the Company. There are no orders to which the
      Company is a party or by which the Company is bound which restrict, in any
      material respect, the rights to use any of the Intellectual Property. No
      present or former employee has any right, title or interest, directly or
      indirectly, in whole or in part, in any material intellectual property
      owned or used by the Company.

            (k) Contracts. Section 3(k) of the Disclosure Schedule lists, as of
      the date of this Agreement:
<PAGE>
                  (i) all programming and retransmission consent Contracts to
            which the Company is party and, to the extent any such Contracts are
            oral arrangements, a list of the current programming fees being paid
            pursuant to such oral arrangements and any other material terms of
            such arrangements;

                  (ii) all pole attachment Contracts to which the Company is a
            party;

                  (iii) all employment, severance (other than the requirements
            of Law 80), retention, change of control or similar Contracts to
            which the Company is a party, other than any which can be terminated
            by the Company on 30 or fewer days notice without penalty;

                  (iv) all leases and subleases for Leased Real Property;

                  (v) Contracts with Seller or any current or former officer,
            director, stockholder or Affiliate of the Company other than any
            which can be terminated by the Company on 30 or fewer days notice
            without cost or penalty;

                  (vi) Contracts with any labor union or association
            representing any employee of the Company;

                  (vii) Contracts for the sale of any assets of the Company
            other than in the Ordinary Course of Business;

                  (viii) Contracts for joint ventures, strategic alliances or
            partnerships;

                  (ix) Contracts containing covenants of the Company not to
            compete in any line of business or with any Person in any
            geographical area or covenants of any other Person not to compete
            with the Company in any line of business or in any geographical
            area;

                  (x) Contracts relating to the acquisition by the Company of
            any operating business or the capital stock of any other Person
            since September 15, 2000;

                  (xi) Contracts relating to the incurrence, assumption or
            guarantee of any indebtedness or imposing a Security Interest on any
            of its assets;

                  (xii) Contracts under which the Company has made advances or
            loans to any other Person, except advancement of reimbursable
            ordinary and necessary business expenses made to directors, officers
            and employees of the Company in the Ordinary Course of Business;

                  (xiii) Outstanding agreements of guaranty, surety or
            indemnification by the Company (other than provisions for
            indemnification contained in agreements entered into in the Ordinary
            Course of Business (other than for indebtedness for borrowed
            money));

                  (xiv) any other Contract to which the Company is a party, the
            performance of which will require payments to or by the Company of
            more than $200,000 in any twelve (12) month period; and
<PAGE>
                  (xv) Contracts that are otherwise material to the Company

(collectively, together with any Contracts entered into by the Company after the
date hereof and prior to the Closing which would have otherwise been listed in
Section 3(k) of the Disclosure Schedule if such Contracts had been entered into
on the date of this Agreement, and all written and oral amendments,
modifications or supplements to any such Contracts, the "Material Contracts");
provided, however, that "Material Contracts" shall specifically exclude all
subscription agreements or other contracts with customers for cable, data,
telephony or related services (including, without limitation, all multiple
dwelling unit agreements and Contracts with bulk subscribers), conduit
agreements, construction contracts and Contracts terminable at will without
penalty. The Seller has made available to the Buyer or its representatives a
true, correct and complete copy of each Material Contract, together with all
amendments, modifications or supplements thereto, other than any Material
Contract which is an oral Contract. Except as specifically identified in Section
3(k) of the Disclosure Schedule, each Material Contract is in full force and
effect and is valid and enforceable against the Company, except as such
enforceability may be limited by the Enforceability Exceptions and, to the
Knowledge of the Seller, each other party thereto. Except as specifically set
forth in Section 3(k) of the Disclosure Schedule, the Company is not in default
in any material respect under any Material Contract nor, to the Knowledge of
Seller or the Company, is any other party to any Material Contract in default in
any material respect thereunder, and no event has occurred that with the lapse
of time or the giving of notice, or both, would constitute a default in any
material respect thereunder. No party to any Material Contract has exercised any
termination rights with respect thereto.

            (l) Franchises. Section 3(l) of the Disclosure Schedule lists (i)
      all of the Franchises and the termination date of each such Franchise and
      (ii) all of the Licenses issued in the name of the Company and the
      termination date of each such License. The Telecommunications Regulatory
      Board is the relevant franchising authority with respect to each
      Franchise. The Seller has made available to the Buyer or its
      representatives a true, correct and complete copy of each of the
      Franchises. Each such Franchise is in full force and effect and is valid,
      binding, and enforceable in accordance with its terms. The Company is in
      compliance, in all material respects, with the terms of the Franchises,
      and there has not occurred any material default by the Company under any
      of the Franchises. Except as contemplated by this Agreement or as set
      forth in Section 3(l) of the Disclosure Schedule, the Company has no
      Franchise or License applications pending before any Governmental Entity,
      other than applications not material to the Systems. The Company has not
      received, nor has the Company received written notice that it will
      receive, from the Telecommunications Regulatory Board a preliminary
      assessment that a Franchise should not be renewed as provided in Section
      626(c)(1) of the Communications Act. The Company has not received any
      written notice of, and to the Knowledge of the Seller and the Company, the
      Telecommunications Regulatory Board has not commenced, a proceeding to
      revoke or suspend a Franchise or otherwise charge the Company with a
      violation of a Franchise. Except as set forth in Section 3(l) of the
      Disclosure Schedule, (A) no Person is currently engaging in, or to the
      Knowledge of the Seller or the Company, is currently threatening to engage
      in, any overbuild of any of the Systems, (B) to the Knowledge of the
      Seller or the Company, there is no currently effective grant by any
      Governmental Entity of a franchise to any Person other than the Company to
      operate or maintain a cable television system in any of the geographic
      areas covered by the Franchises, (C) to the Knowledge of
<PAGE>
      the Seller or the Company, no Governmental Entity is considering or
      contemplating any such grant, (D) to the Knowledge of the Seller or the
      Company, no application by any Person other than the Company is currently
      pending before any Governmental Entity to operate or maintain a cable
      television service in any of the geographic areas covered by the
      Franchises and (E) no Governmental Entity has any rights to purchase or
      acquire any interest in the Systems or a portion thereof, other than
      rights of condemnation or eminent domain afforded by Law.

            (m) Litigation. Except as set forth in Section 3(m) of the
      Disclosure Schedule, the Company is not (i) subject to any outstanding
      injunction, judgment, order, decree, ruling or charge, except for any
      order, decree or ruling as may affect the cable television industry
      (national or regional) generally to the extent the Company is not named as
      a party therein or thereto, or (ii) party to any action, suit, proceeding,
      hearing, or investigation of, in, or before any court or quasi-judicial or
      administrative agency of any federal, state, local, or foreign
      jurisdiction nor, to the Knowledge of Seller or the Company, is any such
      action, suit, proceeding, hearing, or investigation threatened, except
      routine collection matters and ordinary course matters expected to be
      covered by insurance policies maintained by the Company, subject to
      applicable deductibles.

            (n) Certain Business Relationships with Affiliates. Except as set
      forth in Section 3(n) of the Disclosure Schedule, no Affiliate of the
      Company or any of their respective directors, officers, partners,
      stockholders or Affiliates of any such Person is currently or has been
      party to any material business arrangement or relationship with the
      Company within the 12 months prior to the date of this Agreement, is a
      participant in any material transaction to which the Company is a party,
      and no Affiliate of the Company owns any material asset, tangible or
      intangible, which is used in the business of the Company. Each Contract or
      arrangement between the Company, on the one hand, and any Affiliate of the
      Company or any of their respective directors, officers, partners,
      stockholders or Affiliates of any such Person, on the other hand, is on
      commercially reasonable terms no more favorable to such Affiliate,
      director, officer or employee than what any third party negotiating on an
      arms-length basis would expect.

            (o) System Information. Section 3(o) of the Disclosure Schedule sets
      forth (as of a date as may be specified in Section 3(o) of the Disclosure
      Schedule):

                  (i) the approximate number of linear miles of energized cable
            plant, including a detailed break-out of the percentage of cable
            plant miles by bandwidth capability (megahertz) and the percentage
            of cable plant that has been upgraded to two-way cable (reporting
            out trunk and cable plant) of the Systems;

                  (ii) a general description of Basic Cable services, premium or
            pay services, tier services, pay-per-view services, a-la-carte
            services, and high-speed data services available from the Systems
            and the rates charged by the Company for such services;

                  (iii) the approximate number of Equivalent Basic Subscribers
            as of the date indicated in such section of the Disclosure Schedule,
            the approximate number of digital subscribers as of the date
            indicated in such section of the Disclosure Schedule, and the
<PAGE>
            approximate number of non-delinquent subscribers to each pay or
            premium service as of the date indicated in such section of the
            Disclosure Schedule, each tier service, each a la-carte service, and
            each high-speed data service of the Systems;

                  (iv) the stations and signals carried by the Systems and the
            channel position of each such signal and station;

                  (v) the channel capacity and programming line-ups of the
            Systems;

                  (vi) the rates and charges for installation, converter
            equipment, and monitor services charged by the Company;

                  (vii) the latest proof of performance tests for the Systems;
            and

                  (viii) to the Knowledge of Seller, the approximate number of
            homes passed for the Systems.

            (p) System and Signal Carriage.

                  (i) The Systems provide cable television service for the
            cities and surrounding communities set forth in the definition of
            "Systems."

                  (ii) Except as set forth in Section 3(p) of the Disclosure
            Schedule, no written notices or demands have been received by the
            Company from the FCC or any other Person claiming to have a claim or
            objection challenging the right of the Company to carry or deliver
            any signal now carried or delivered by the Company. No
            administrative or judicial proceeding against the Company involving
            the right to carry and deliver such signals has been commenced and,
            to the Knowledge of the Seller, no such proceeding against the
            Company has been threatened, except for proceedings affecting the
            cable television industry generally.

            (q) Environmental Matters.

                  (i) The Company has obtained and currently maintains all
            permits, licenses, registrations, and other approvals and has made
            all reports and notifications required under any Environmental Laws
            in connection with the Systems, and is (and has been for the past
            five years) in compliance with all applicable Environmental Laws and
            permits required under any Environmental Law, except in each case
            for such matters as are set forth in Section 3(q) of the Disclosure
            Schedule or as would not be reasonably likely to result in the
            Company incurring material liabilities under Environmental Laws. The
            Company has not received any notice of nor, to the Knowledge of the
            Seller, is the Company the subject of any action, cause of action,
            claim, investigation, demand, or notice by any Person alleging
            liability under or non-compliance with any Environmental Law, except
            in each case for such matters as are set forth in Section 3(q) of
            the Disclosure Schedule or as would not be reasonably likely to
            result in the Company incurring material liabilities under
            Environmental Laws.
<PAGE>
                  (ii) The Company is not subject to any pending or, to the
            Knowledge of the Company, any threatened claims, actions,
            proceedings, investigations allegations, assertions or notices
            alleging noncompliance with or potential liability under any
            Environmental Laws except in each case as set forth in Section 3(q)
            of the Disclosure Schedule or as would not reasonably be likely to
            result in the Company incurring material liabilities under
            Environmental Laws.

                  (iii) Except in each case as set forth in Section 3(q) of the
            Disclosure Schedule, to the Seller's Knowledge, there are no facts
            relating to the Company, any real property currently or formerly
            owned, operated or leased by the Company or any property to which
            the Company arranged for the disposal or treatment of Hazardous
            Substances, including, but not limited to the release of Hazardous
            Substances, that could reasonably be expected to result in the
            Company incurring material liabilities under Environmental Laws.

                  (iv) The Company has provided Buyer with copies of all
            material environmental, health and safety assessments,
            investigations, audits or documentation related to the Company or
            any property currently or formerly owned, operated or leased by the
            Company, including, but not limited to, any Phase I Environmental
            Assessments, Phase II Environmental Assessments, UST closure reports
            and asbestos surveys, to the extent in the possession, custody or
            control of the Company.

            (r) Employees.

                  (i) There are no collective bargaining agreements applicable
            to any employees of the Company ("Company Employees") and the
            Company has no duty to bargain with any labor organization with
            respect to any such Person. Except as set forth in Section 3(r) of
            the Disclosure Schedule, there are no pending unfair labor practice
            charges against the Company, nor is there, to the Knowledge of the
            Seller, any demand for recognition or any other request or demand
            from a labor organization for representative status with respect to
            any Company Employees, nor is any such activity threatened.

                  (ii) Section 3(r) of the Disclosure Schedule sets forth a true
            and complete list as of the date specified therein, of the names,
            titles, hire dates, rates of compensation, and 2003 Christmas
            bonuses paid, of all of the current employees of the Company.
            Section 3(r) of the Disclosure Schedule also sets forth the
            aggregate accrued vacation and sick time of each Company Employee as
            of a recent specified date.

            (s) Employee Benefits.

                  (i) The Company does not currently, and has not since January
            1, 2001, sponsored any Employee Benefit Plan which is maintained for
            or on behalf of current or former Company Employees.

                  (ii) All of the current Employee Benefit Plans that offer
            benefits to any current or former Company Employee ("Company Plans")
            are listed in Section 3(s) of the Disclosure Schedule. None of the
            Company Plans are subject to Title IV of ERISA.
<PAGE>
            None of the Company Plans are Multiemployer Plans. Each Company Plan
            is now operated in accordance with the requirements of all
            applicable Law, including ERISA, the Code and the Puerto Rico
            Internal Revenue Code of 1994, as amended ("PRIRC"), except where
            the failure to be so operated would not be reasonably likely to have
            a Material Adverse Effect. No action is pending or, to the knowledge
            of the Seller, threatened with respect to any Company Plan (other
            than claims for benefits in the ordinary course), except as would
            not be reasonably likely to have a Material Adverse Effect. All
            contributions required to be made under the terms of any Company
            Plans have been timely made.

                  (iii) Except as set forth in Section 3(s) of the Disclosure
            Schedule, neither the execution or delivery of this Agreement nor
            the consummation of the transactions contemplated hereby will result
            in any payment becoming due or the acceleration of the time of
            payment or the vesting of any rights with respect to any former or
            current Company Employee's compensation or benefits.

            (t) Corporate Records.

                  (i) The Seller has delivered to Buyer true, correct and
            complete copies of the certificate of incorporation and by-laws of
            the Company.

                  (ii) The minute books of the Company previously made available
            to Buyer contain true, correct and complete records of all meetings
            and accurately reflect all other corporate action of the
            stockholders and board of directors (including committees thereof)
            of the Company. The stock certificate books and stock transfer
            ledgers of the Company previously made available to Buyer are true,
            correct and complete. To the Seller's Knowledge, all stock transfer
            taxes levied or payable with respect to all transfers of shares of
            the Company prior to the date hereof have been paid and appropriate
            transfer tax stamps affixed.

            (u) Accounts Receivable. All accounts receivable of the Company have
      arisen from bona fide transactions in the Ordinary Course of Business.

      4. Representations and Warranties of the Buyer.

      The Buyer represents and warrants to the Seller as follows:

            (a) Organization. The Buyer is a corporation duly organized, validly
      existing, and in good standing under the laws of the jurisdiction of its
      incorporation.

            (b) Authorization of Transaction.

                  (i) The Buyer has all requisite corporate power and authority
            to execute and deliver this Agreement and the Ancillary Documents to
            which it is a party and to perform its obligations hereunder and
            thereunder. All necessary corporate proceedings of the Buyer have
            been duly taken to authorize the execution, delivery, and
            performance by the Buyer of this Agreement and the Ancillary
            Documents to which it is a party. This Agreement has been, and each
            Ancillary Documents to which it is a party will be at or
<PAGE>
            prior to the Closing, executed, and delivered by the Buyer and this
            Agreement constitutes, and each Ancillary Documents to which it is a
            party will constitute the valid and legally binding obligations of
            the Buyer, enforceable against the Buyer in accordance with their
            respective terms, except as such enforceability may be limited by
            the Enforceability Exception.

                  (ii) Except for the Required Governmental Approvals, the Buyer
            is not required to obtain any consent, authorization, approval,
            order, license, certificate, or permit of or from, or make any
            declaration or filing with, any Governmental Entity or other Person
            for the execution, delivery, and performance of this Agreement by
            the Buyer.

                  (iii) Neither the execution and the delivery of this
            Agreement, nor the consummation of the transactions contemplated
            hereby, will

                        (A) if the Required Governmental Approvals are obtained
                  or made violate or result in a breach of any Law to which the
                  Buyer is subject;

                        (B) violate or result in a breach of any provision of
                  the certificate of incorporation or bylaws (or similar
                  organizational documents) of the Buyer; or

                        (C) conflict with, result in a breach of, constitute a
                  default under, result in the acceleration of the rights of any
                  party under, or create in any party the right to terminate,
                  modify, or cancel any material Contract to which the Buyer is
                  a party or by which it is bound or to which any of its assets
                  are subject.

            (c) Brokers' Fees. The Buyer has no liability or obligation to pay
      any fees or commissions to any broker, finder, or agent with respect to
      the transactions contemplated by this Agreement for which the Seller or
      the Company could become liable or obligated.

            (d) Financing. Schedule 4(d)(i) sets forth a complete and correct
      copy of an executed and binding commitment letter and related term sheets
      from Toronto Dominion (Texas) Inc. and TD Securities (USA) Inc.
      (collectively, the "TD Commitment") for the financing (the "Financing") to
      be used, or replaced by any replacement commitment letter or definitive
      documentation that provides for at least the same amount of bank financing
      as the TD Commitment as originally issued, funding conditions no less
      favorable to Buyer than those included in the TD Commitment as originally
      issued and other terms and conditions the aggregate effect of which is not
      materially less favorable to Buyer in comparison to those contained in the
      TD Commitment as originally issued (the "Replacement Commitment", and,
      together with the TD Commitment, the "Financing Commitment") to be used,
      in connection with the transactions contemplated hereby. Schedule 4(d)(ii)
      sets forth a complete and correct copy of an executed and binding equity
      commitment letter from HMTF Fund V Cayman, L.P. (the "Equity Commitment")
      for the equity contribution to Buyer in connection with the transactions
      contemplated hereby (the "Equity Contribution"). Upon satisfaction of the
      terms and conditions of the Financing Commitment and the Equity
      Commitment, the amount provided for in the Financing, together with the
      Equity Contribution, will provide sufficient funds for the Buyer to
<PAGE>
      consummate the transactions contemplated by this Agreement. The Buyer is
      not aware of any facts or circumstances which would reasonably be expected
      to prevent the consummation of the Financing and the Equity Contribution
      in accordance with the terms of the Financing Commitment and the Equity
      Commitment, respectively.

            (e) Litigation. The Buyer is not (i) subject to any outstanding
      injunction, judgment, order, decree, ruling, or charge or (ii) party to
      any action, suit, proceeding, hearing, or investigation of, in, or before
      any court or quasi-judicial or administrative agency of any federal,
      state, local, or foreign jurisdiction, except where such injunction,
      judgment, order, decree, ruling, charge, action, suit, proceeding,
      hearing, or investigation would not be reasonably likely to have a
      material adverse effect on the ability of the Buyer to consummate the
      transactions contemplated by this Agreement or the consummation of the
      transactions contemplated by this Agreement.

            (f) No Disqualification. Subject to obtaining the Required
      Governmental Approvals, the Buyer is and as of the Closing will be legally
      qualified under the Communications Act to perform its obligations
      hereunder and be the transferee of control of the Licenses and to own and
      operate the Systems. To the Knowledge of the Buyer, there are no facts
      that relate to the qualifications of the Buyer which would, under present
      Law, disqualify the Buyer with respect to the consummation of the
      transactions contemplated hereby or that would be reasonably likely to
      prevent the Parties from obtaining any Required Governmental Approval or
      which would prevent the Telecommunications Regulatory Board's consenting
      to the change of control affecting the Franchises and the FCC's consenting
      to the transfer of control affecting the Licenses issued by the FCC in
      connection with the consummation of the transactions contemplated by this
      Agreement.

            (g) Investment Purpose. The Buyer is acquiring the Company Shares to
      be acquired pursuant to this Agreement for investment for its own account
      and not with a view to the sale or distribution of any part thereof within
      the meaning of the Securities Act. The Buyer understands that the Company
      Shares have not been registered under the Securities Act and cannot be
      resold unless subsequently registered under the Securities Act or an
      exemption from such registration is available.

            (h) Tax Treatment. The Buyer is eligible to make the Section
      338(h)(10) Election with respect to the Company and neither the Buyer nor
      any of its Affiliates knows of any facts or circumstances that should
      reasonably be expected to prevent the transactions contemplated hereunder
      from qualifying as a "qualified stock purchase" within the meaning of
      Section 338(d)(3) of the Code.

      5. Pre-Closing Covenants.

      From the execution of this Agreement until the Closing:

            (a) General. Without limiting any of the express obligations of the
      Parties hereunder, each of the Parties will use its Commercially
      Reasonable Efforts to take all actions and to do all things necessary to
      consummate and make effective the transactions
<PAGE>
      contemplated by this Agreement (including satisfaction, but not waiver, of
      the closing conditions set forth in Section 7) as expeditiously as
      practicable.

            (b) Notices and Consents. Each of the Parties will, and the Seller
      will cause the Company to, give any notices or make any filings required
      in connection with, and use its Commercially Reasonable Efforts to obtain,
      the Required Governmental Approvals and Necessary Consents. Without
      limiting the generality of the foregoing:

                  (i) as promptly as practicable (but in no event more than 20
            days) after the date of this Agreement, each of the Parties will
            file (and will cause any of their necessary Affiliates to file) any
            Notification and Report Forms and related material that it or he may
            be required to file with the Federal Trade Commission (the "FTC")
            and the Antitrust Division of the United States Department of
            Justice (the "Antitrust Division") under the Hart-Scott-Rodino Act,
            will use and cause such Affiliates to use its and their Commercially
            Reasonable Efforts to obtain expiration or early termination of the
            applicable waiting period, and will and will cause such Affiliates
            to make any further filings pursuant thereto that may be necessary
            in connection therewith;

                  (ii) as promptly as practicable (but in no event more than 20
            days) after the date of this Agreement, the Seller will cause the
            Company to file a complete Form 394 and a Request for Transfer of
            Control with respect to each of the Franchises with the
            Telecommunications Regulatory Board and the Buyer will provide all
            information and documentation regarding its organization,
            operations, management, ownership and business as are required to be
            included therein; and

                  (iii) as promptly as practicable (but in no event more than 20
            days) after the date of this Agreement, the Parties shall file
            applications with the FCC for consent to the change of control of
            the Licenses issued by the FCC (other than the earth station and
            business radio Licenses issued by the FCC, as to which such
            applications shall be filed at the appropriate time), as
            contemplated by this Agreement.

            Each of the Parties will cooperate with the other in obtaining all
      Required Governmental Approvals and Necessary Consents, and the Seller
      will cause the Company to cooperate with the Parties in obtaining all
      Required Governmental Approvals and Necessary Consents. Notwithstanding
      anything to the contrary contained in this Agreement, in the case of a
      Franchise or License, the Buyer shall only be obligated to accept, and
      agrees that the Company may accept, changes to such Franchise or License
      in connection with obtaining the Required Governmental Approvals or any
      conditions in connection with obtaining the Required Governmental
      Approvals that do not increase the obligations of the Company or the Buyer
      in any material respect, or reduce the rights of the Company or the Buyer
      in any material respect, under the related Franchise or License to which
      they relate (the "Limited Changes"). Notwithstanding anything to the
      contrary contained in this Agreement, the Buyer shall be obligated to
      accept, and agrees that the Company may accept, changes to Contracts in
      connection with obtaining the Necessary Consents provided that such
      changes have no adverse economic impact on the Contract, the Company or
      the operation of the business and any such changes shall be considered
      "Limited Changes" for purposes of this Agreement. Notwithstanding anything
      contained herein to the contrary, if there is a change or condition
      imposed that is solely monetary in nature and that does
<PAGE>
      not constitute a Limited Change, Seller may, but shall not be obligated
      to, make a payment to the Company at Closing, as reasonably agreed by
      Buyer, that compensates the Company for such change or condition, in which
      case, such change or condition shall be considered a Limited Change for
      purposes hereof. Notwithstanding anything to the contrary contained in
      this Agreement, neither the Buyer, the Seller, nor any of their respective
      Affiliates shall be required (i) to hold separate (including by trust or
      otherwise) or divest of any of their respective businesses or assets, (ii)
      to agree to any limitation on the operation or conduct of their respective
      businesses or (iii) to waive any of the conditions set forth in Section 7
      of this Agreement. Notwithstanding anything to the contrary contained
      herein, neither the Buyer nor Seller shall have any liability for a
      failure to obtain any Required Governmental Approval or Necessary Consent
      that satisfies the foregoing requirements as long as the Buyer or the
      Seller, as the case may be, complies with its obligations set forth in
      this Section 5(b).

                  (c) Operation of Business. Prior to the Closing, except as
            required in order to comply with the terms of the Agreement or
            otherwise permitted by this Agreement, required by applicable Law or
            contemplated in Section 5(c) of the Disclosure Schedule, without the
            prior written consent of Buyer, which consent shall not be
            unreasonably withheld or delayed, the Seller (i) agrees to cause the
            Company to operate the Company in the Ordinary Course of Business;
            (ii) will not engage in, and will not permit the Company to engage
            in, any practice, take any action, or enter into any transaction
            which is (A) material to the financial condition of the Company and
            (B) outside the Ordinary Course of Business; (iii) will cause the
            Company to use its Commercially Reasonable Efforts to preserve its
            current business, operations, organization and goodwill in all
            material respects, including preserving existing relationships with
            Persons having business with the Company (including, without
            limitation, customers and suppliers); (iv) agrees to cause the
            Company to use its Commercially Reasonable Efforts to continue to
            employ its key employees in the Ordinary Course of Business and
            consistent with its past practices; (v) shall maintain (A) other
            than as a result of a force majeure event, all of the assets and
            properties of the Company in their current condition, ordinary wear
            and tear excepted and (B) insurance upon all of the properties and
            assets of the Company in such amounts and of such kinds comparable
            to that in effect on the date of this Agreement; (vi) shall (A)
            maintain the books, accounts and records of the Company in the
            Ordinary Course of Business, (B) continue to collect accounts
            receivable and pay accounts payable utilizing historically customary
            procedures and working capital practices and without discounting or
            accelerating payment of such accounts other than in the Ordinary
            Course of Business, and (C) comply in all material respects with all
            Franchises, Licenses and Contracts; (vii) shall comply in all
            material respects with all applicable Laws; (viii) will not take any
            action which would adversely affect the ability of the parties to
            consummate the transactions contemplated by this Agreement or to
            make the Section 338(h)(10) Election and (ix) shall cause the
            Company to (A) continue to prosecute its request for the permits
            marked with an asterisk on Schedule 5(c)(ix), (B) apply for the
            permits marked with a double asterisk on Schedule 5(c)(ix) no later
            than 60 days after the date hereof and (C) use its Commercially
            Reasonable Efforts to obtain each of the permits set forth on
            Schedule 5(c)(ix).

            Except as otherwise expressly provided in this Agreement,
      contemplated in Section 5(c) of the Disclosure Schedule or with the prior
      written consent of Buyer, which consent shall not be unreasonably withheld
      or delayed, the Seller shall not, and shall not permit the Company to: (i)
<PAGE>
      declare, set aside, make or pay any dividend or other distribution in
      respect of the capital stock of the Company or repurchase, redeem or
      otherwise acquire any outstanding shares of the capital stock or other
      securities of, or other ownership interests in, the Company; (ii)
      transfer, issue, sell or dispose of any shares of capital stock or other
      securities of the Company or grant options, warrants, calls or other
      rights to purchase or otherwise acquire shares of the capital stock or
      other securities of the Company; (iii) effect any recapitalization,
      reclassification, stock split or like change in the capitalization of the
      Company; (iv) amend the certificate of incorporation or by-laws of the
      Company; (v) (A) materially increase the annual level of compensation of
      any employee of the Company, except for annual increases and merit
      increases in the Ordinary Course of Business, (B) grant any new bonus or
      benefit to any employee, director or consultant of the Company, other than
      such bonuses or benefits for which the Company will not be responsible
      after the Closing, (C) increase the coverage or benefits available under
      any (or create any new) severance pay, termination pay, vacation pay,
      company awards, salary continuation for disability, sick leave, deferred
      compensation, bonus or other incentive compensation, insurance, pension or
      other employee benefit plan or arrangement made to, for, or with any of
      the directors, officers, employees, agents or representatives of the
      Company or otherwise modify or amend or terminate any such plan or
      arrangement that will be binding on the Company after the Closing, except
      for any such increase, creation, modification, amendment or termination
      required by the terms of any such benefit plan or arrangement or
      applicable Law or that applies uniformly to substantially all employees of
      Centennial and its Subsidiaries, including Company Employees or (D) enter
      into any employment, deferred compensation, severance, consulting,
      non-competition or similar agreement (or amend any such agreement) to
      which the Company is a party or involving a director, officer or employee
      of the Company in his or her capacity as a director, officer or employee
      of the Company that will be binding on the Company after the Closing
      (other than oral employment or consulting agreements terminable without
      penalty on no more thirty days notice); (vi) incur or assume any
      indebtedness in an amount in excess of $500,000 in the aggregate that
      would not be a Current Liability of the Company; (vii) permit, allow or
      suffer to be encumbered by any Security Interest, except for Permitted
      Liens, any of the properties or assets (whether tangible or intangible) of
      the Company; (viii) except in the Ordinary Course of Business which shall
      not, in any event, include the sale of broken or defective set tops and
      modems acquire any material properties or assets or sell, assign, license,
      transfer, convey, lease or otherwise dispose of any of the material
      properties or assets of the Company, including, without limitation, the
      sale of the Company's inventory of set tops and modems (it being
      understood and agreed that such inventory will be used by the Company in
      the Ordinary Course of Business); (ix) enter into or agree to enter into
      any merger or consolidation with, any corporation or other entity, and not
      engage in any new business or invest in, make a loan, advance or capital
      contribution to, or otherwise acquire the securities of any other Person;
      (x) cancel or compromise any debt or claim or waive or release any right
      under any Material Contract of the Company except in the Ordinary Course
      of Business; (xi) except for Budgeted Capital Expenditures, enter into any
      commitment for capital expenditures of the Company in excess of $500,000
      for any individual commitment and $2 million for all commitments in the
      aggregate; (xii) introduce any material change with respect to the
      operation of the Company, including any material change in the types,
      nature, composition or quality of its products or services, or, other than
      in the Ordinary Course of Business, make any change in product
      specifications or prices or terms of distributions of such products;
      (xiii) permit the Company to enter into any transaction or to enter into,
      modify or renew any Contract which by reason of its
<PAGE>
      size, nature or otherwise is not in the Ordinary Course of Business;
      provided that such Contract, as so modified or renewed, does not result in
      a material economic change to such Contract and, provided further that any
      new Contract does not contain terms that are materially different from
      those contained in similar Contracts existing as of the date of this
      Agreement; (xiv) except for transfers of cash pursuant to normal cash
      management practices in the Ordinary Course of Business, permit the
      Company to make any investments in or loans to, or pay any fees or
      expenses to, or enter into or modify any Contract with any Affiliate of
      the Company, or any director, officer or employee of the Company; (xv)
      make a change in its accounting or Tax reporting principles, methods or
      policies, except as required by applicable Law or except any such change
      relating to United States federal income taxes that would not continue to
      apply to the Company after the Closing; (xvi) make or rescind any election
      relating to Taxes, other than any election for United States federal
      income tax purposes that would not continue to apply to the Company after
      the Closing, or settle or compromise any claim or proceeding relating to
      Taxes; (xvii) enter into any Contract, understanding or commitment that
      restrains, restricts, limits or impedes the ability of the Company to
      compete with or conduct any business or line of business in any geographic
      area; (xviii) voluntarily terminate, amend, restate, supplement or waive
      any rights under any Material Contract, License or Franchise, other than
      in the Ordinary Course of Business; provided that any such voluntary
      termination, amendment, restatement, supplement or waiver does not result
      in a material economic change to such Material Contract, License or
      Franchise; (xix) with respect to any oral Contract, enter into a written
      Contract to replace such oral Contract or modify or amend the terms of
      such oral Contract in any manner that results in a material economic
      change to such oral Contract; and (xx) agree to do anything prohibited by
      this Section 5(c) or anything which would make any of the representations
      and warranties of the Seller in this Agreement or the Ancillary Documents
      untrue or incorrect in any material respect.

                  (d) Full Access. The Seller will permit, and the Seller will
            cause the Company to permit, the Buyer and its representatives to
            have full access, at all reasonable times and upon reasonable
            notice, and in a manner so as not to interfere with the normal
            business operations of the Seller and the Company, to all premises,
            properties, personnel, books, records (including tax records),
            Contracts, and documents of, or pertaining to, the Company;
            provided, that all such access shall be, at the option of the
            Seller, with a representative of the Seller present. The Buyer will
            treat and hold as such any Confidential Information it receives from
            the Seller or the Company in the course of the reviews contemplated
            by this Section 5(d) or otherwise, will not use any of the
            Confidential Information except in connection with the consummation
            of the transactions contemplated by this Agreement, will comply in
            all respects with the terms of the Confidentiality Agreement entered
            into prior to the date hereof between the Buyer or one of its
            Affiliates and Centennial in connection with the transactions
            contemplated hereby (the "Confidentiality Agreement"), and, if this
            Agreement is terminated for any reason, will return to the Seller or
            the Company, as applicable, or destroy all tangible embodiments (and
            all copies) of the Confidential Information which are in its
            possession and otherwise continue to comply with the terms of the
            Confidentiality Agreement. No investigation by Buyer prior to or
            after the date of this Agreement shall diminish or obviate any of
            the representations, warranties, covenants or agreements of the
            Seller contained in this Agreement or any Ancillary Documents to
            which Seller is a party.
<PAGE>
          (e) Notice of Developments. Each Party will, as soon as practicable,
    advise the other of any fact or occurrence or any pending or threatened
    occurrence of which any such Party obtains Knowledge and which if existing
    and known at the date of this Agreement would have been required to be set
    forth or disclosed in or pursuant to this Agreement, which (if existing and
    known at any time prior to or at the Closing) would make the performance by
    any Party of a covenant contained in this Agreement impossible, or which (if
    existing and known at the time of the Closing) would cause a condition to
    any Party's obligations under this Agreement not to be fully satisfied. The
    Buyer shall notify Seller in writing as promptly as reasonably practicable
    if the Buyer obtains Knowledge of any facts which would make the
    representation and warranty of the Buyer contained in Section 4(f)
    inaccurate.

          (f) Exclusivity. The Seller shall (and shall cause the Company and its
    directors, officers, employees, representatives and agents to) immediately
    cease and cause to be terminated any existing discussions or negotiations
    with any Persons (other than Buyer and its Affiliates and their respective
    agents and representatives) conducted heretofore with respect to any
    Acquisition Transaction. The Seller will not, and will not permit the
    Company or any of its directors, officers, employees, representatives or
    agents, to directly or indirectly, solicit, initiate, facilitate, or
    knowingly encourage (including by way of furnishing or disclosing non-public
    information) any inquiries or the making of any proposal with respect to any
    Acquisition Transaction or negotiate or otherwise facilitate, encourage,
    solicit, initiate or engage in discussions, negotiations or submissions of
    proposals or offers with any Person with respect to any Acquisition
    Transaction, enter into any written agreement, arrangement, or understanding
    requiring it to abandon, terminate, or fail to consummate the transactions
    contemplated by this Agreement or otherwise cooperate in any way with or
    assist or participate in, facilitate or encourage, any effort or attempt by
    any other Person to do or seek any of the foregoing. The Seller shall
    immediately advise the Buyer in writing of the receipt of any written
    inquiries or proposals or requests for non-public information related to an
    Acquisition Transaction and shall disclose to the Buyer the material terms
    of any such proposal or offer.

          (g) Liens; Intercompany Debt. The Seller shall take all necessary
    actions, to cause the termination and release on or prior to the Closing
    Date of the Security Interests referred to in Sections 3(i)(i) and 3(i)(iv)
    of the Disclosure Schedule as to be so released. At or prior to Closing, the
    Seller shall take all such actions reasonably necessary such that the
    Company shall have no obligation with respect to any accounts payable of the
    Company to the Seller or any Affiliate of the Seller or guarantees or
    sureties made by the Company in favor of the Seller or any Affiliate of the
    Seller, nor any rights with respect to any accounts receivable of the
    Company from the Seller or any Affiliate of the Seller. Except as set forth
    on Schedule 5(g), all agreements and arrangements between and among any of
    the Company, on the one hand, and the Seller or any of its Affiliates (other
    than the Company), on the other hand, shall be terminated in their entirety
    effective as of the Closing by the parties and shall be deemed voided,
    cancelled and discharged in their entirety and Seller shall provide the
    Buyer copies of an agreement pursuant to which such agreements and
    arrangements shall have been terminated effective as of or prior to the
    Closing evidence of such terminations to Buyer at Closing.
<PAGE>
          (h) Excluded Assets, Etc. Notwithstanding anything to the contrary
    contained herein, the Buyer agrees that the Company may assign each of the
    Excluded Assets to the Seller or an Affiliate of the Seller, any of their
    respective designees or any other Person prior to the Closing; provided that
    such assignments, either individually or in the aggregate, do not result in
    any adverse Tax consequences to the Company unless Buyer has consented in
    writing. Notwithstanding anything to the contrary contained herein, the
    Company shall assign each of the actions, suits, proceedings and litigation
    identified on Schedule 5(h) and all of the Company's rights, obligations and
    liabilities relating thereto to the Seller or an Affiliate of the Seller
    prior to the Closing (and the Seller shall, or shall cause such Affiliate
    to, assume such obligations and liabilities) and, after the Closing, the
    Company shall cooperate with the Seller, its Affiliates and their respective
    insurers in all commercially reasonable respects with respect to the
    prosecution, defense and settlement of such actions, suits, proceedings and
    litigation, including, without limitation, by making files, records,
    documents and personnel of the Company available to the Seller, such
    Affiliates and such insurers and their respective counsel.

          (i) Financing. Buyer shall use its Commercially Reasonable Efforts to
    obtain and effectuate the Financing contemplated by the Financing Commitment
    and Equity Commitment on substantially the terms set forth therein,
    including, without limitation, with respect to the Financing Commitment,
    accepting changes to the pricing, fees, expenses, interest rate or other
    terms thereof solely on the terms provided therein and, in all cases,
    subject to the limitations thereon set forth therein, and to keep the
    Financing Commitment and the Equity Commitment effective in accordance with
    their respective terms. Buyer shall not amend, or agree to amend, the
    Financing Commitment in any material respect that would adversely affect the
    consummation of the transactions contemplated by this Agreement, without the
    consent of Seller, which consent shall not be unreasonably withheld or
    delayed. Buyer agrees to notify Seller promptly if, at any time prior to the
    Closing Date the Financing Commitment or the Equity Commitment shall expire
    or be terminated for any reason. Buyer shall notify Seller as promptly as
    practicable of material developments relating to the Financing and the
    Equity Contribution and shall provide Buyer with copies of the initial
    drafts of the definitive documentation for the Financing, and, upon request
    by Seller, Buyer shall provide Seller with information as to the status of
    the Financing and the Equity Contribution. Buyer will use its Commercially
    Reasonable Efforts to provide any other drafts or executed copies of
    definitive documentation to the extent reasonably requested by Seller;
    provided that, in Buyer's reasonable opinion, the provision of such drafts
    does not interfere with Buyer's negotiation and timely implementation of the
    Financing. If the Financing Commitment is terminated for any reason prior to
    the Closing Date, Buyer shall use Commercially Reasonable Efforts to obtain,
    and, if so obtained, will provide Seller with a copy of, a new financing
    commitment that provides for at least the same amount of bank financing as
    the Financing Commitment as originally issued, funding conditions not less
    favorable to Buyer than those included in the Financing Commitment as
    originally issued and other terms and conditions the aggregate effect of
    which is not materially less favorable to Buyer in comparison to those
    contained in the Financing Commitment as originally issued, and the
    representations contained in the last two sentences of Section 4(d) and the
    provisions of this Section 5(i) shall apply with respect thereto.
<PAGE>
          (j) Environmental Access. The Seller shall cause the Company to permit
    the Buyer and Buyer's environmental consultant, to conduct such
    investigations (including investigations known as "Phase I" and "Phase II"
    environmental Site Assessments, except that a Phase II environmental site
    assessment shall not be conducted without the Seller's consent which shall
    not be unreasonably withheld or delayed) of the environmental conditions of
    any real property owned, operated or leased by or for the Company and the
    operations conducted thereat (subject to any limitations contained in any
    agreements governing the Company's occupancy and use of any Real Property
    which is not Owned Real Property) as Buyer, in its sole discretion, shall
    deem necessary or prudent, such investigations to be conducted during normal
    business hours and not to unreasonably interfere with the Company's business
    ("Buyer's Environmental Assessments"). Buyer's Environmental Assessment
    shall be conducted by a qualified environmental consulting firm, possessing
    reasonable levels of insurance (evidence of which shall be provided to
    Seller upon request), in compliance with applicable Laws, at the expense of
    Buyer, and Buyer shall provide Seller with a copy of all preliminary and
    final Buyer's Environmental Assessments.

          (k) Financial Information. Within 15 days following the end of each
    calendar month following the date hereof until the Closing Date, Seller
    shall deliver to the Buyer (i) a true and correct copy of the unaudited
    balance sheet and statement of income of the Company as of, and for the
    calendar month then ended, prepared consistently with the Accounting
    Principles (provided that such balance sheet and statement of income shall
    be subject to normal year-end adjustments and shall not contain footnotes
    and the line item "System Cash Flow" included therein, if any, shall not
    have been prepared in accordance with GAAP); and (ii) a schedule of the
    amount and purpose of the cash capital expenditures made by the Company
    during such calendar month, as well as subscriber counts and such other
    monthly reports of operating statistics regarding the Systems as the Company
    prepares for management in the Ordinary Course of Business.

      6.    Post-Closing Covenants.

      Following the Closing:

          (a) General. Subject to the terms and conditions of this Agreement,
    each Party will take such further action (including the execution and
    delivery of such further instruments and documents) as the other Party
    reasonably may request to carry out the purposes of this Agreement, all at
    the sole cost and expense of the requesting Party (unless the requesting
    Party is entitled to indemnification therefor under Section 8).

          (b) Access to Books and Records. For a period of seven years after the
    Closing Date, each Party will, and will cause its Affiliates to, permit the
    other Party and its Affiliates, during reasonable business hours and upon
    reasonable notice, to review any books, records, or other documents of the
    Company for any reasonable and necessary purpose reasonably related to the
    interest of such requesting Party and its Affiliates in the Company, and
    shall permit the requesting Party and its Affiliates, at their cost and
    expense, to make copies of specific portions of any such books, records, or
    other materials relevant to the purpose for which such review is conducted;
    provided, that all such access shall be, at
<PAGE>
    the option of the providing Party, with representatives of the providing
    Party present. If either Party or the Company chooses to dispose of any such
    books, records, or other materials during such seven year period, the
    disposing Party shall notify the other Party sufficiently in advance so that
    the other Party may review and copy any such records to be disposed of.

          (c)   Employees and Employee Benefits.

            (i) Effective as of and following the Closing for the lesser of (A)
      a period of 12 months and (B) the Company's next scheduled salary review
      in the Ordinary Course of Business following the Closing Date, each
      Company Employee shall continue, for so long as such Company Employee may
      be employed by the Company in the sole and absolute discretion of the
      Company following the Closing, to receive a base salary or hourly wage no
      less than that in effect immediately prior to the Closing Date and after
      such period, questions of salary and hourly wage shall be determined by
      Buyer in its sole discretion. During the 12 month period following the
      Closing Date, such Company Employee shall receive benefits under employee
      benefit plans (excluding equity plans and other incentive compensation)
      that are substantially similar, in the aggregate, to the benefits provided
      under the Company Plans set forth on Section 3(s) of the Disclosure
      Schedule to such employees immediately prior to the Closing Date. The
      Buyer agrees that if the Company terminates any of the Company Employees,
      at any time after Closing, it will be liable for severance benefits for
      such employee in accordance with its severance policy at such time and
      applicable Law, including, without limitation, liability for any severance
      payments under Law 80 applicable to Company Employees. In providing
      benefits to the Company Employees, for purposes of vesting, eligibility
      for participation and seniority, but not for purposes of benefit accrual
      under any defined benefit retirement plan or retiree medical plan, the
      Buyer shall cause each Company Employee to receive past service credit for
      such employee's service with (i) the Seller, (ii) any Affiliate of the
      Seller, and (iii) any predecessor employer, to the extent that service
      with the predecessor is credited under any comparable Company Plan as of
      the Closing Date. The Company shall pay, immediately prior to the Closing,
      and be responsible for, the retention, transaction or similar bonuses
      arising on or prior to the Closing Date for Company Employees as well as
      those identified on Schedule 6(c)(i) attached hereto. The bonuses
      described in the preceding sentence shall not be included in the
      determination of Current Liabilities for purposes of the calculation of
      Working Capital to the extent they are paid by the Company on or prior to
      the Closing Date. The Seller shall indemnify Buyer for any payments
      becoming due or liabilities arising under any Company Plan with respect to
      the employment or termination of employment of any Company Employee prior
      to the Closing Date and for any liability arising under Title IV of ERISA
      by reason of the Company's membership in a controlled group under Section
      414(b), (c), (m) or (o) of the Code.

            (ii) Health Plan Coverage. On and after the Closing Date, the Buyer
      shall offer group health plan coverage to each Company Employee (and to
      the spouse and dependents of each such employee) on terms and conditions
      substantially comparable to those generally applicable prior to the
      Closing Date. For purposes of providing such coverage, the Buyer shall
      waive all preexisting condition waiting periods and limitations for each
      Company Employee (and for the spouse and dependents of each such Company
      Employee) covered by a Company Plan that is a group health care plan
      immediately prior to the Closing Date (to the extent that such waiting
      periods and limitations
<PAGE>
      did not apply to such Company Employee, spouse or dependent immediately
      prior to the Closing Date) and shall provide such health care coverage
      effective as of the Closing Date without the application of any
      eligibility period for coverage except to the extent an eligibility period
      applied immediately prior to the Closing Date. In addition, the Buyer
      shall credit all payments made by a Company Employee (and the spouse and
      dependents of such Company Employee) toward deductible, out-of-pocket and
      co-payment obligation limits under the applicable Company Plan for the
      plan year which includes the Closing Date, as if such payments had been
      made for similar purposes under the health care plans offered to the
      Company Employees (and their spouses and dependents) on and after the
      Closing Date during the plan year which includes the Closing Date. .

            (iii) Savings Plan Transfer. As of the Closing Date, the Seller
      shall, or shall cause any of its Affiliates to, fully vest all current
      Company Employees in the Centennial PR Operations Corporation Retirement
      Investment Plan ("Seller's Savings Plan"). As soon as practicable (but in
      no event later than 120 days after the Closing Date), the Buyer shall
      establish, or shall cause the Company to establish, a defined contribution
      pension plan ("Buyer's Savings Plan") intended to be qualified under
      Section 401(a) of the Code, if applicable, and Sections 1165(a) and
      1165(e) of the PRIRC for the benefit of Company Employees (and
      beneficiaries thereof) who have an account balance under the Seller's
      Savings Plan at the Closing Date. As soon as practicable following the
      Closing Date, but in no event later than 120 days thereafter, the Seller
      shall cause, or cause its Affiliates to cause, a transfer of the account
      balances, valued as of the date of transfer, of Company Employees from
      Seller's Saving Plan and related trust to Buyer's Savings Plan and related
      trust, and the Buyer shall cause Buyer's Savings Plan and related trust to
      accept such transfer of assets and assume liability for the amount
      transferred. As a precondition to this transfer of account balances,
      Seller shall, or shall cause one of its Affiliates to, request in writing
      of the Puerto Rico Department of Treasury ("PRDT") that PRDT either (i)
      amend the favorable determination letter it issued with respect to the
      Seller's Savings Plan dated August 24, 2004 to specifically reference the
      Company as a participating employer under such Seller's Savings the Plan,
      (ii) specifically acknowledge in a separate writing that the Company is an
      Employer covered by the terms of said letter, or (iii) specifically
      acknowledge in a separate writing that the letter is broad enough to cover
      the Company's participation in the Seller's Savings Plan without any such
      specific reference. Such transfer of assets shall be in cash and loan
      notes unless the parties otherwise agree in writing. Unless the Seller and
      Buyer agree otherwise in writing, the transfer shall occur as of the last
      Business Day of a month.

            Prior to the date of such transfer, and as a precondition thereto,
the Buyer shall deliver to Seller evidence that the Buyer's Savings Plan (i) has
been submitted to the Internal Revenue Service, if applicable, and the Puerto
Rico Department of the Treasury for a determination that Buyer's Savings Plan is
qualified under the Code, if applicable, and under the PRIRC, respectively and
(ii) contains the terms and provisions necessary to preserve Code Section
411(d)(6) protected benefits, if applicable, and any counterpart provisions of
ERISA or the PRIRC, if applicable. Subsequent to the transfer of assets to
Buyer's Savings Plan, neither
<PAGE>
Seller or Seller's Savings Plan shall retain any obligation or liability with
respect to the account balance transferred hereunder, and neither the Buyer nor
Buyer's Savings Plan shall have any obligation or liability with respect to any
accounts under Seller's Savings Plan other than those liabilities with respect
to the account balances transferred hereunder.

      Effective as of the date of the transfer, the Buyer shall indemnify and
hold harmless the Seller and Seller's Savings Plan from and against any
liability or expense, including, but not limited to, the payment of attorneys'
fees, which the Seller or Seller's Savings Plan may incur in connection with any
actions or claim brought against Seller, Seller's Savings Plan and their
officers, fiduciaries or agents with respect to the payment of any benefits
attributable to the account balances transferred to the Buyer's Savings Plan
hereunder, but only to the extent that such liability or expense arises after
the date of the transfer of the account balances to the Buyer's Savings Plan and
is the result of any action or omission of the Buyer or a fiduciary of Buyer's
Savings Plan.

      This Section 6(c) shall operate exclusively for the benefit of the parties
to this Agreement and not for the benefit of any other Person, including,
without limitation, any current, former or retired Company Employee or spouse or
dependents of such Persons.

          (d)   Tax Matters.

            (i) The Seller shall be responsible for, and shall defend,
      reimburse, indemnify, and hold harmless the Buyer Indemnified Parties
      against and in respect of, all Adverse Consequences that may be incurred
      by or imposed on any Buyer Indemnified Party that result from, relate to,
      or arise out of: (A) all Taxes of the Company for any taxable period
      ending on or prior to the Closing Date, and (B) with respect to any
      Straddle Period, all Taxes of the Company allocable to the portion of such
      period ending on the Closing Date, (C) all Taxes imposed on any member of
      an Affiliated Group of which the Company is or was a member on or prior to
      the Closing Date by reason of the liability of the Company pursuant to
      Treasury Regulation Section 1.1502-6(a) (or any predecessor or successor
      thereof or any analogous or similar provision under state, local or
      foreign Law), (D) any income Taxes resulting from, arising out of or based
      on the Section 338(h)(10) Election, and (E) the Seller's failure to
      perform any covenant contained in this Agreement or any Ancillary Document
      with respect to Taxes, other than, in the case of each of subsections (A)
      through (E) above, the amount of Tax actually taken into account as, and
      increasing, current liabilities in calculating the Working Capital
      adjustment (excluding any provisions for deferred Taxes established to
      reflect differences between the treatment of items for accounting and
      income tax purposes) and any Taxes resulting from any action taken after
      the Closing on the Closing Date without the Seller's consent, not
      contemplated herein and not in the Ordinary Course of Business.

            (ii) The Buyer shall be responsible for, and shall defend,
      reimburse, indemnify, and hold harmless the Seller Indemnified Parties
      against and in respect of, all Adverse Consequences that may be incurred
      by or imposed on any Seller Indemnified Party that result from, relate to,
      or arise out of: (A) all Taxes of the Company for any taxable period
      beginning after the Closing Date, (B) with respect to any Straddle Period,
      all Taxes of the Company allocable to the post-Closing Date portion of
      such period
<PAGE>
      pursuant to Section 6(d)(iii), (C) all Taxes taken into account as current
      liabilities in calculating the Working Capital adjustment (excluding any
      provision for deferred Taxes established to reflect differences between
      the treatment of items for accounting and tax purposes), (D) any Taxes
      resulting from any action taken after the Closing on the Closing Date
      without the Seller's consent, not contemplated herein and not in the
      Ordinary Course of Business, and (E) the Buyer's failure to perform any
      covenant contained in this Agreement or any Ancillary Document with
      respect to Taxes.

            (iii) The Seller and the Buyer shall, unless prohibited by
      applicable Law, close the taxable period of the Company as of the close of
      business on the Closing Date. If applicable Law does not permit the
      Company to close its taxable year on the Closing Date or in the case of
      Taxes payable with respect to any Straddle Period, the amount of such
      Taxes allocable to the portion of such Straddle Period ending on the
      Closing Date shall (A) in the case of any Taxes based upon or related to
      income or gross receipts, be deemed equal to the amount which would be
      payable if the relevant taxable period ended on the Closing Date, and (B)
      in the case of any Taxes other than Taxes based upon or related to income
      or gross receipts, be deemed to be the amount of such Taxes for the entire
      Straddle Period multiplied by a fraction the numerator of which is the
      number of days in the portion of the Straddle Period ending on the Closing
      Date and the denominator of which is the number of days in the entire
      Straddle Period. Any allocation of income or deductions required to
      determine any Taxes relating to a Straddle Period shall be taken into
      account as though the relevant taxable period ended on the Closing Date
      and by means of a closing of the books and records of the Company as of
      the close of the Closing Date; provided that exemptions, allowances or
      deductions that are calculated on an annual basis (including, but not
      limited to, depreciation and amortization deductions) shall be allocated
      between the period ending on the Closing Date and the period after the
      Closing Date in proportion to the number of days in each such period. All
      determinations necessary to give effect to the foregoing allocations shall
      be made in a manner consistent with the past practice of the Company.

            (iv) The Seller shall be responsible for the preparation and timely
      filing of: (A) all Tax Returns of the Company that are required to be
      filed (with regard to extensions) on or prior to the Closing Date, and (B)
      all Tax Returns of the Company that are filed on a consolidated, combined
      or unitary basis with the Seller or any Affiliate of the Seller for any
      taxable period ending on or prior to the Closing Date, including the
      federal income Tax Return for the taxable period of the Company ending on
      the Closing Date and included in the consolidated federal income Tax
      Return of the Centennial Affiliated Group.

            (v) The Buyer shall be responsible for the preparation and timely
      filing of all Tax Returns of the Company not referred to in Section
      6(d)(iv)(B) above that are required to be filed after the Closing Date;
      provided, however, that in preparing any Tax Returns of the Company for
      any taxable period beginning before the Closing Date (including Tax
      Returns for any Straddle Period to the extent they relate to Taxes for
      which the Seller is responsible hereunder), the Buyer shall provide the
      Seller with drafts of such Tax Returns (together with any relevant back-up
      information) for review by the Seller and consultation between Buyer and
      Seller at least 20 days prior to filing. All Tax Returns
<PAGE>
      for any taxable period (or portion thereof) beginning on or prior to the
      Closing Date shall be prepared and filed in a manner consistent with the
      past practice of the Company except as may be necessary to make and
      reflect the Section 338(h)(10) Election. The Seller and the Buyer shall
      attempt in good faith to resolve any disagreements regarding such Tax
      Returns prior to the due date for filing. In the event that the Seller and
      the Buyer are unable to resolve any dispute with respect to such Tax
      Returns at least ten (10) days prior to the due date for filing, such
      dispute shall be resolved pursuant to Section 6(d)(xi), which resolution
      shall be binding on the parties.

            (vi) The Seller shall have the right to control any audit,
      litigation or other proceeding with respect to Taxes (a "Tax Proceeding")
      involving the Company to the extent it relates exclusively to Taxes for
      which the Seller is responsible pursuant to this Agreement, and the Buyer
      shall have the right to control any Tax Proceeding involving the Company
      to the extent it relates exclusively to Taxes for which the Buyer is
      responsible pursuant to this Agreement; provided, however, that neither
      party shall settle, compromise or abandon such proceeding without the
      consent of the other party, which consent shall not be unreasonably
      withheld, if such settlement, compromise or abandonment would adversely
      affect such other party. Any other Tax Proceeding involving the Company
      shall be controlled by the Buyer; provided, however, that the Buyer shall
      not settle, compromise or abandon such proceeding without the consent of
      the Seller, which consent shall not be unreasonably withheld, if such
      settlement, compromise or abandonment would require the Seller to make any
      payments or otherwise adversely affect the Seller, and the Seller shall
      have the right to participate in such proceeding at its own expense. Each
      of the Seller and the Buyer shall deliver to the other party, as the case
      may be, any notice received from any Governmental Entity relating to Taxes
      with respect to which such other party is or may be liable pursuant to
      this Agreement; provided, however, that the failure of any party to give
      the other party notice as provided herein shall not relieve such other
      party of its obligations under this Section 6(d) except to the extent that
      such other party is materially adversely affected or damaged thereby.

            (vii) The Seller shall be entitled to any refunds or credits of any
      Taxes for which it is responsible (other than, in the case of any Tax
      described in any of subsections (A) through (E) of Section 6(d)(i), the
      amount of Tax refunds or credits actually taken into account as, and
      increasing, current assets in calculating the Working Capital adjustment)
      pursuant to Section 6(d)(i) (including any interest in respect thereof),
      and the Buyer shall be entitled to any refunds or credits of any other
      Taxes of the Company (including any interest in respect thereof). The
      Buyer or the Seller, as the case may be, shall cause the amount of any
      refunds or credits of Taxes (including interest) to which the Seller or
      the Buyer, as the case may be, is entitled under this Section 6(d)(vii),
      but which are received by or credited to the Company or the Seller, as the
      case may be, after the Closing Date, to be paid to the Seller or the
      Buyer, as the case may be, within five (5) Business Days following such
      receipt or crediting.

            (viii) The Buyer agrees that it shall not amend any Tax Return of
      the Company for any taxable period beginning before the Closing Date
      without the prior written consent of the Seller, which consent shall not
      be unreasonably withheld. In addition,
<PAGE>
      each party at the request of the other party, shall, or shall cause the
      Company to, cooperate with such other party in seeking any Tax refunds or
      credits described in Section 6(d)(vii).

            (ix) The Buyer and the Seller shall cooperate fully, as and to the
      extent reasonably requested by the other party, in connection with the
      filing of any Tax Returns pursuant to this Section 6(d) and any Tax
      Proceeding involving the Company. Such cooperation shall include the
      retention and (upon the other party's request) the provision of records
      and information which are reasonably relevant to any such Tax Return or
      Tax Proceeding and making employees available on a mutually convenient
      basis to provide additional information and explanation of any material
      provided hereunder. Such cooperation shall also include the provision by
      the Seller or the Buyer, as the case may be, to the other party any
      reasonably requested power of attorney with respect to Tax Returns or Tax
      Proceedings involving the Company in order to carry out the agreements set
      forth in this Section 6(d). The Seller and the Buyer further agree (A) to
      retain all books and records with respect to Tax matters pertinent to the
      Company relating to any taxable period beginning before the Closing Date
      until the expiration of the statute of limitations (and, to the extent
      notified by the Buyer or the Seller, any extensions thereof) of the
      respective taxable periods, and to abide by all record retention
      agreements entered into with any Governmental Entity, and (B) to give the
      other party reasonable written notice prior to transferring, destroying or
      discarding any such books and records, and, if the other party so
      requests, the Seller or the Buyer, as the case may be, shall allow the
      other party within reasonable time to take possession of such books and
      records to the extent they would otherwise be destroyed or discarded.

            (x) The Seller and Centennial and the Buyer shall, or shall cause
      their respective Affiliates to, join together to make a timely and
      irrevocable election under Section 338(h)(10) of the Code (the "Section
      338(h)(10) Election"), with respect to the purchase and sale of the stock
      of the Company hereunder. In connection with the making of such Section
      338(h)(10) Election: (A) the Seller and Centennial and the Buyer shall
      report the transactions contemplated by this Agreement consistent with
      such election and shall take no position contrary thereto, and (B) the
      Seller and the Buyer shall, or shall cause their respective Affiliates to,
      cooperate in promptly preparing, executing, and timely filing all forms,
      returns, reports and other documents required to be filed, including IRS
      Form 8023 (or any successor form). As soon as practicable following the
      Closing, the Seller and the Buyer shall negotiate in good faith to reach
      agreement regarding the allocation of the Purchase Price, as adjusted,
      among the assets of the Company in accordance with the requirements of
      Section 338 of the Code and the applicable Treasury Regulations
      promulgated thereunder; provided, however, that if the Seller and the
      Buyer have not reached agreement on such allocation by the 90th day after
      the Closing Date, then such allocation shall be made in accordance with
      the appraisal of a recognized appraisal firm chosen and retained by mutual
      agreement of the Seller and the Buyer, the fees and expenses of which
      shall be paid one-half by the Seller and one-half by the Buyer. The Seller
      and the Buyer shall reflect such allocation in all applicable income Tax
      Returns filed by any of them, and neither the Seller nor the Buyer shall,
      or shall cause their respective Affiliates to, take a position before any
      Governmental Entity or otherwise (including in any Tax Return)
      inconsistent with such allocation. The Buyer
<PAGE>
      shall not take, and after the Closing shall not cause or permit the
      Company to take, any action which would adversely affect the ability of
      the parties to make the Section 338(h)(10) Election.

            (xi) Except as otherwise provided, any dispute as to any Tax matter
      covered by this Section 6(d) shall be resolved by the Unaffiliated Firm.
      The fees and expenses of the Unaffiliated Firm shall be borne equally by
      the Seller, on the one hand, and the Buyer, on the other. If any dispute
      with respect to a Tax Return is not resolved prior to the due date of such
      Tax Return, such Tax Return shall be filed in the manner which the party
      responsible for preparing such Tax Return deems correct; provided,
      however, that upon the final resolution of such dispute, the Seller and
      the Buyer, as the case may be, shall promptly reimburse the other as
      needed to conform to the resolution of such dispute by the Unaffiliated
      Firm.

            (xii) Any Tax allocation, indemnity, or similar agreement or
      arrangement between the Seller and its Affiliates, on the one hand, and
      the Company, on the other hand, shall be terminated on or prior to the
      Closing Date and shall have no further effect for any taxable year
      (whether the current year, a future year or past year).

            (xiii) The Seller and the Buyer agree to treat any indemnity payment
      made pursuant to this Section 6(d) or Section 8 as an adjustment to the
      Purchase Price for federal, state, local and foreign income Tax purposes.

            (xiv) The provisions set forth in this Section 6(d): (A) shall
      survive the Closing hereunder until sixty days after the expiration of the
      applicable statute of limitations (including any valid extensions thereof,
      whether automatic or permissive), (B) shall not be subject to any of the
      limitations on indemnification set forth in Section 8(g) of this Agreement
      and (C) the indemnification provided for in this Section 6(d) shall be the
      sole remedy for any claim in respect of any Taxes described in clauses (A)
      through (E) of Section 6(d)(i) and in clauses (A) through (E) of Section
      6(d)(ii), and in the event of a conflict between the provisions of this
      Section 6(d), on the one hand, and the provisions of Section 8 hereof, on
      the other, the provisions of this Section 6(d) shall control. For the
      avoidance of doubt, any claim arising out of or relating to a breach of a
      representation or warranty contained in Section 3(h) that is not otherwise
      covered in this Section 6(d) shall be governed exclusively by the
      provisions of Section 8, and not by this Section 6(d). Notwithstanding
      anything to the contrary contained in this Agreement, nothing contained in
      this Agreement shall prohibit the Buyer or the Seller from otherwise
      seeking injunctive relief (including specific performance) in connection
      with a breach of Buyer's or Seller's respective obligations to make the
      Section 338(h)(10) Election.

          (e) Notice of Disqualification. The Buyer shall promptly notify the
    Seller in writing if the Buyer becomes aware of any facts which would, under
    present law and present rules, regulations and policies of the applicable
    Governmental Entities, disqualify the Buyer with respect to the consummation
    of the transactions contemplated by this Agreement, including, without
    limitation, the change of control affecting the Licenses and the Material
    Contracts in connection with the consummation of the transactions
    contemplated by this Agreement or that would prevent the Telecommunications
    Regulatory
<PAGE>
    Board's consenting to the change of control affecting the Franchises in
    connection with the consummation of the transactions contemplated by this
    Agreement.

          (f)   Use of Name and Logos.

            (i) The Buyer shall remove, following the Closing, all of the
      trademarks, trade names, service marks, service names, logos and similar
      proprietary rights of the Seller, including, without limitation, any of
      the foregoing that include the name "CENTENNIAL" or any variant thereof
      (collectively, the "Centennial Marks") from the Company's assets to the
      extent incorporated therein or thereon including the Company's vehicles,
      marketing and promotional materials, retail outlets and advertising
      (collectively, the "Centennial Marketing Materials"); provided, that
      Seller hereby grants the Company a non-exclusive, revocable license to use
      such Centennial Marks without charge for transitional purposes for a
      period of six (6) months following the Closing, subject to the terms and
      conditions set forth herein (the "Original Use Right"). Notwithstanding
      the foregoing, Seller shall grant the Company a non-exclusive, revocable
      license to continue to use the Centennial Marks for an additional three
      (3) months following the expiration of the six (6) month anniversary of
      the Closing Date, subject to the terms and conditions set forth herein
      (the "Further Use Right") if (A) after using its Commercially Reasonable
      Efforts, the Company has not removed the Centennial Marks from all the
      Centennial Marketing Materials and the Company still needs to use the
      Centennial Marks for transitional purposes and the Company is otherwise in
      compliance with the provisions of this Section 6(f), and (B) Buyer
      provides a written request to Seller at least twenty (20) days prior to
      the expiration of the Original Use Right detailing the reasons why Buyer
      needs to continue to use the Centennial Marks after the six (6) month
      anniversary of the Closing.

            (ii) Seller may revoke the Original Use Right and the Further Use
      Right upon a breach by the Company of any of the provisions of this
      Section 6(f), in the event that Company fails to cure such breach within
      ten (10) days of receiving notice of such alleged breach from Seller. In
      connection with the Company`s use of the Centennial Marks pursuant to the
      Original Use Right and the Further Use Right, Buyer agrees with Seller as
      follows: (v) the Centennial Marks indicate to the public that the services
      bearing the Centennial Marks are of commercially consistent, high quality
      standards, and Buyer shall maintain such a consistent level of quality,
      which level of quality shall not be inferior to the level of quality
      established by the services provided by Seller and its Affiliates as of
      the Closing Date, so as to enhance the value and goodwill of the business
      associated with and symbolized by the Centennial Marks; (w) Seller shall
      not, and shall cause the Company not to, falsely imply or suggest any
      connection between the business and operations of the Company and the
      business and operations of Seller and its Affiliates; (x) upon request by
      Seller, Buyer shall provide Seller with specimens of the Company's use of
      the Centennial Marks for Seller's inspection; (y) the Company shall use
      appropriate notification of the trademark rights or registration on all
      visual displays of the Centennial Marks, including use of the encircled
      "R" symbol, and/or the letters TM or SM, as appropriate; and (z) Buyer
      shall cause the Company not to use any of the Centennial Marks in a way
      which reflects negatively on Seller or any of its Affiliates in respect of
      their remaining businesses or the Centennial Marks. Without limiting the
<PAGE>
      foregoing, the Buyer agrees to change the name of the Company to a name
      which does not include any of the Centennial Marks, within six (6) months
      after the Closing. In no event shall the Company have any right to use the
      Centennial Marks after the nine (9) month anniversary of the Closing Date.

            (iii) Notwithstanding anything to the contrary contained in this
      Agreement, Buyer acknowledges that the Centennial Marks are of unique and
      special value to Seller and its Affiliates and any damage to the
      Centennial brand will cause Seller and its Affiliates irreparable harm.
      Buyer and Seller agree that the covenants and undertakings contained in
      this Section 6(f) relate to matters which are of special, unique and
      extraordinary character and a violation of any of the terms of this
      Section 6(f) will cause irreparable injury to Seller and its Affiliates,
      the amount of which will be impossible to estimate or determine and which
      cannot be adequately compensated. Therefore, Seller shall be entitled to
      an injunction, restraining order or other equitable relief from any court
      of competent jurisdiction in the event of any breach of this Section 6(f)
      by Buyer. The rights and remedies provided by this Section 6(f) are
      cumulative and in addition to any other rights and remedies which Buyer
      may have hereunder or at law or in equity.

            (iv) Notwithstanding anything to the contrary contained in this
      Agreement if the Company ceases all use of the Centennial Marks on or
      before the six (6) month anniversary of the Closing Date and terminates
      the Original Use Right and the Further Use Right by such six month
      anniversary, then Seller shall pay to Buyer, no later than fifteen (15)
      days after receipt by Seller of notice from Buyer that the Company has
      ceased such use and terminated the Original Use Right and the Further Use
      Right, an amount equal to$438,000. Notwithstanding anything to the
      contrary contained in this Agreement if the Company ceases all use of the
      Centennial Marks after the six (6) month anniversary of the Closing Date,
      but on or before the nine (9) month anniversary of the Closing Date and
      terminates the Original Use Right and the Further Use Right after such six
      month anniversary but on or before such nine month anniversary, then
      Seller shall pay to Buyer, no later than fifteen (15) days after receipt
      by Seller of notice from Buyer that the Company has ceased such use and
      terminated the Original Use Right and the Further Use Right, an amount
      equal to the difference between (I) $438,000, and (II) the product of
      $4,866.67, multiplied by the number of days between the six (6) month
      anniversary of the Closing Date and the date on which the Company ceases
      all use of the Centennial Marks and terminates the Original Use Right and
      the Further Use Right. All payments to be made by Seller to Buyer pursuant
      to this Section 6(f)(iv) shall be made by wire transfer of immediately
      available funds to the account of Buyer notified by Buyer to Seller.

            (v) Notwithstanding anything to the contrary contained herein, the
      Original Use Right and the Further Use Right shall terminate upon a Change
      of Control of the Company after the Closing, and the Original Use Right
      and the Further Use Right may not be transferred or assigned by the
      Company to any other Person.
<PAGE>
          (g)   Non-Solicit and Confidentiality.

            (i) For a period of eighteen (18) calendar months from and after the
      Closing Date, the Seller shall not, and shall cause its Affiliates not to,
      directly or indirectly cause, solicit, induce or encourage any employees
      of the Company who are or become employees of Buyer or its Affiliates and
      are employees of Buyer or its Affiliates at the time of such causation,
      solicitation, inducement or encouragement, to leave such employment or
      hire, employ or otherwise engage any such individual who is an employee of
      Buyer or its Affiliates at the time of such hiring, employment or other
      engagement; provided, however, that this Section 6(g)(i) shall not
      prohibit any advertisement or general solicitation (or hiring as a result
      thereof) that is not specifically targeted at such persons.
      Notwithstanding the foregoing, in no event shall the Seller, and the
      Seller shall cause its Affiliates not to, for a period of nine months (or
      such shorter period as set forth on Schedule 6(g)) from the Closing Date,
      employ any of the individuals listed on Schedule 6(g), except that such
      limitation shall not apply with respect to a particular individual to the
      extent (x) such individual is not employed by the Company at Closing as a
      result of the Buyer and such individual failing to come to mutually
      agreeable terms regarding such individual's employment with the Company;
      provided, that Seller and its Affiliates did not otherwise violate the
      provisions of this Section 6(g)(i) with respect to such individual; (y)
      such individual is involuntarily terminated by the Company on or after the
      Closing Date; or (z) Buyer otherwise consents to the Seller or any of its
      Affiliates hiring such individual.

            (ii) For a period of two (2) years from and after the Closing Date,
      the Seller shall not and shall cause its Affiliates not to, directly or
      indirectly, disclose, reveal, divulge or communicate to any Person other
      than Buyer and its Affiliates and Buyer's and its Affiliates' authorized
      officers, directors, employees, accountants, attorneys, financial advisors
      and representatives of Buyer or, subject to the proviso set forth herein,
      use or otherwise exploit for its own benefit or for the benefit of any
      Person other than Buyer, its Affiliates and their respective officers,
      directors, employees, accountants, attorneys, financial advisors and other
      representatives, any Confidential Information (as defined below). The
      Seller shall not have any obligation to keep confidential (or cause the
      Company or its officers, directors or Affiliates to keep confidential) any
      Confidential Information if and to the extent disclosure thereof is
      specifically required by Law; provided, however, that in the event
      disclosure is required by applicable Law, the Seller shall, to the extent
      reasonably possible, provide Buyer with prompt notice of such requirement
      prior to making any disclosure so that Buyer may seek an appropriate
      protective order. For purposes of this Agreement, "Confidential
      Information" shall be limited to (x) the subscriber lists of the Company
      and all other confidential and proprietary information about the Company's
      current and former subscribers, (y) any confidential and proprietary
      information with respect to the Company's overall network configuration
      and infrastructure, including, without limitation, the locations of homes
      capable of receiving high speed data service from the Company, the
      Company's current and planned product offerings and the Company's plans to
      expand its network to reach additional homes, and (z) the names of the
      Company's employees and information with respect to the Company's salary
      structure and the Company's benefit plans for employees. "Confidential
      Information" does not include, and there shall be no obligation
<PAGE>
      hereunder with respect to, information that (A) is generally available to
      the public on the date of this Agreement, (B) becomes generally available
      to the public other than as a result of a disclosure not otherwise
      permissible thereunder, (C) is or becomes available to the Seller or its
      Affiliates from a source that is not known to be bound by a
      confidentiality agreement or (D) is independently developed by Seller or
      its Affiliates without the use of Confidential Information. The Buyer
      acknowledges that the Seller and its Affiliates are in businesses that
      may, now or in the future, be in competition with the Company, and the
      Buyer agrees that this Agreement in no way limits or restricts the
      Seller's and its Affiliates' right or ability to conduct any business.

            (iii) The covenants and undertakings contained in this Section 6(g)
      relate to matters which are of a special, unique and extraordinary
      character and a violation of any of the terms of this Section 6(g) will
      cause irreparable injury to the parties, the amount of which will be
      impossible to estimate or determine and which cannot be adequately
      compensated. Therefore, Buyer will be entitled to an injunction,
      restraining order or other equitable relief from any court of competent
      jurisdiction in the event of any breach of this Section 6(g). The rights
      and remedies provided by this Section 6(g) are cumulative and in addition
      to any other rights and remedies which Buyer may have hereunder or at law
      or in equity.

      7.    Conditions to Obligation to Close.

          (a) Conditions to Obligation of the Buyer. The obligations of the
    Buyer to consummate the transactions to be performed by it at the Closing
    are subject to satisfaction of the following conditions:

            (i) all representations and warranties of the Seller in this
      Agreement shall be true and correct when made, except for those
      representations and warranties which are expressly stated to be made
      solely as of the date of this Agreement or another specified date, which
      shall be true and correct solely as of the date of this Agreement or such
      other specified date; provided, however, that the condition set forth in
      this Section 7(a)(i) shall be deemed satisfied solely for purposes of
      determining Buyer's obligation to close the transactions contemplated by
      this Agreement and not for any other purpose, including, without
      limitation, modifying or limiting Buyer's rights to indemnification under
      Sections 6(d) and 8(a)(i), so long as the failure of such representations
      and warranties to be so true and correct, individually or taken together,
      would not reasonably be expected to result in a Material Adverse Effect;
      provided, further, that the representations and warranties of the Seller
      set forth in Section 3(b) shall be true and correct in all respects
      without regard to the foregoing Material Adverse Effect qualification. For
      purposes of this Section 7(a)(i), the Parties acknowledge and agree that
      to the extent that the Company suffers any Adverse Consequences where the
      amount of loss from such Adverse Consequences exceeds 10% of the Fixed
      Purchase Price, a Material Adverse Effect shall be deemed to have
      occurred;

            (ii) the Seller shall have performed and complied in all material
      respects with all of its covenants hereunder to be performed or complied
      with by it prior to or at the Closing;
<PAGE>
            (iii) since the date of this Agreement, there shall not have been or
      occurred any event, change, occurrence or circumstance that has had or
      could reasonably be expected to have a Material Adverse Effect;

            (iv) the Seller shall have delivered to the Buyer a certificate of
      an executive officer of the Seller to the effect that each of the
      conditions specified in Sections 7(a)(i) and 7(a)(ii) is satisfied;

            (v) no judicial, administrative or arbitral actions, suits,
      proceedings (public or private) or claims or proceedings by or before a
      Governmental Entity shall have been instituted or threatened or claim or
      demand made against the Seller or the Company or Buyer seeking to restrain
      or prohibit or to obtain substantial damages with respect to the
      consummation of the transactions contemplated hereby, and there shall not
      be in effect any order, injunction, judgment, decree, ruling, writ,
      assessment or arbitration award of a Governmental Entity of competent
      jurisdiction restraining, enjoining or otherwise prohibiting the
      consummation of the transactions contemplated hereby; provided, however,
      that the Buyer shall not be entitled to rely on the failure of this
      condition to be satisfied if such action, suit, proceeding, claim, demand,
      order, injunction, judgment, decree, ruling, writ, assessment or
      arbitration award was instituted by Buyer or an Affiliate of Buyer.

            (vi) all applicable waiting periods (and any extensions thereof)
      under the Hart-Scott-Rodino Act shall have expired or otherwise been
      terminated without the FTC or the Antitrust Division, as applicable,
      taking any action which has not been terminated or resolved;

            (vii) the consents of the Telecommunications Regulatory Board and,
      with respect to the cable television relay service system Licenses and
      business radio Licenses issued by the FCC to the Company, the FCC to the
      transactions contemplated hereby shall have become Final Orders without
      the imposition of any change or condition to the related Franchises or
      Licenses, other than Limited Changes, by the Telecommunications Regulatory
      Board or the FCC;

            (viii) the Required Governmental Approvals (other than pursuant to
      the Hart-Scott-Rodino Act, which shall be governed by Section 7(a)(vi)
      above, and the consents of the Telecommunications Regulatory Board and the
      FCC, which shall be obtained in accordance with Section 7(a)(vii) above)
      and the Required Consents shall have been obtained without any change or
      condition to the related Contracts and Licenses, other than Limited
      Changes;

            (ix)  the Seller shall have delivered a duly executed
      counterpart to the Transition Services Agreement;

            (x) the Buyer shall have received opinions in form and substance
      substantially as set forth in Exhibits B-1, B-2, and B-3 from the Seller's
      general counsel, FCC counsel, and Puerto Rico counsel, respectively, in
      each case addressed to the Buyer and dated as of the Closing Date;
<PAGE>
            (xi) the Seller shall have delivered to the Buyer certificates
      representing all the Company Shares, together with stock powers executed
      by the Seller in blank;

            (xii) the Buyer shall have received written resignations from
      all officers and directors of the Company;

            (xiii) the lenders under the Financing Commitment shall be ready,
      willing and able to lend to the Buyer the funds contemplated by the
      Financing Commitment; provided, however, that the Buyer shall not be
      entitled to rely on the failure of this condition to be satisfied if this
      condition is not satisfied solely as a result of a failure of HMTF Fund V
      Cayman, L. P. or its Affiliates to make the Equity Contribution after all
      conditions to its obligations to make such Equity Contribution are
      satisfied (excluding solely the availability of funds under the Financing
      Commitment if not available due to the unavailability of the Equity
      Contribution) or if Buyer shall have not complied with its covenants and
      agreements contained in Section 5(i);

            (xiv) Seller shall have provided Buyer with an affidavit of
      non-foreign status that complies with Section 1445 of the Code;

            (xv) the Company shall have in excess of 69,000 Equivalent Basic
      Subscribers as evidenced by the standard monthly billing report for
      subscribers received or produced by the Company in the Ordinary Course of
      Business;

            (xvi) Seller shall have delivered, or caused to be delivered, to
      Buyer certificates of good standing as of a recent date with respect to
      the Company issued by the Secretary of State of the State of Delaware and
      for each state in which the Company is qualified to do business as a
      foreign corporation;

            (xvii) Seller shall have delivered to Buyer a certificate of an
      executive officer of Seller certifying to true and correct copies of the
      certificate of incorporation and the by-laws of the Company and certifying
      to a true and correct copy of the resolutions of Seller approving the
      transactions contemplated by this Agreement and that such resolutions are
      in full force and effect;

            (xviii) Guarantor shall have delivered a duly executed counterpart
      to the guaranty attached hereto as Exhibit D;

            (xix) Seller shall have delivered evidence to Buyer that the
      Contracts set forth on Schedule 7(a)(xix) shall have been assigned to the
      Company;

            (xx) Seller shall deliver, or cause to be delivered to Buyer duly
      executed counterparts to the (A) Amended and Restated Co-Location and
      Lease Agreement, (B) Amended and Restated Fiber Optic Trunk Service
      Agreement, (C) Amended and Restated Centix-Dedicated Internet Bandwidth
      Transit for ISP's, and (D) Amended and Restated Antenna Site Agreement,
      each in the forms attached hereto as Exhibit F;

            (xxi) Seller shall have delivered to Buyer the final signed audited
      financial statements of the Company for the fiscal year ended May 31,
      2004, and such financial
<PAGE>
      statements shall not be materially different, as determined by Buyer in
      its reasonable discretion, from the financial statements attached hereto
      as Exhibit E; provided, however, that if Buyer does not notify Seller that
      such signed audited financial statements are materially different from the
      financial statements attached hereto as Exhibit E within seven (7) days
      after receipt thereof, this condition shall be deemed to have been
      satisfied as of end of such seventh (7th) day and Buyer shall not be
      entitled to rely on a failure of this condition to be satisfied.

            (xxii) Seller shall have delivered to Buyer a copy of the
      information that the Company has delivered to the Telecommunications
      Regulatory Board pursuant to the Resolution and Order of the
      Telecommunications Regulatory Board issued to the Company on or about
      August 25, 2004, together with evidence reasonably satisfactory to Buyer
      that such information has been delivered to the Telecommunications
      Regulatory Board in compliance with such Resolution and Order.

            (xxiii) Seller shall have delivered, or caused to be delivered, to
      Buyer such other documents as Buyer shall reasonably request.

      The Buyer may waive any condition specified in this Section 7(a) if it
executes a writing so stating at or prior to the Closing.

          (b) Conditions to Obligation of the Seller. The obligations of the
    Seller to consummate the transactions to be performed by it at the Closing
    are subject to satisfaction of the following conditions:

            (i) all representations and warranties of the Buyer in this
      Agreement shall be true and correct in all material respects when made and
      as of the Closing as though such representations and warranties were then
      made except for those representations and warranties which are expressly
      stated to be made solely as of the date of this Agreement or another
      specified date which shall be true and correct in all material respects
      solely as of the date of this Agreement or such other specified date, as
      applicable;

            (ii) the Buyer shall have performed and complied in all material
      respects with all of its covenants to be performed or complied with by it
      prior to or at the Closing;

            (iii) the Buyer shall have delivered to the Seller a certificate of
      an executive officer of the Buyer to the effect that each of the
      conditions specified in Sections 7(b)(i) and 7(b)(ii) is satisfied in all
      respects;

            (iv) No judicial, administrative or arbitral actions, suits,
      proceedings (public or private) or claims or proceedings by or before a
      Governmental Entity shall have been instituted or threatened or claim or
      demand made against the Seller or the Company or Buyer seeking to restrain
      or prohibit or obtain substantial damages with respect to the consummation
      of the transactions contemplated hereby, and there shall not be in effect
      any order, injunction, judgment, decree, ruling, writ, assessment or
      arbitration award of a Governmental Entity of competent jurisdiction
      restraining, enjoining or otherwise prohibiting the consummation of the
      transactions contemplated hereby; provided however, that the Seller shall
      not be entitled to rely on the failure of this condition to be
<PAGE>
      satisfied if such action, suit, proceeding, claim, demand, order,
      injunction, judgment, decree, ruling, writ, assessment or arbitration
      award was instituted by Seller or an Affiliate of Seller;

            (v) all applicable waiting periods (and any extensions thereof)
      under the Hart-Scott-Rodino Act shall have expired or otherwise been
      terminated without the FTC or the Antitrust Division, as applicable,
      having taken any action which has not been terminated or resolved;

            (vi) the consents of the Telecommunications Regulatory Board and,
      with respect to the cable television relay service system Licenses and
      business radio Licenses issued by the FCC to the Company, the FCC to the
      transactions contemplated hereby shall have become Final Orders without
      the imposition of any conditions which are materially adverse to the
      Seller and its Affiliates;

            (vii) the Seller shall have received all Required Governmental
      Approvals (other than pursuant to the Hart-Scott-Rodino Act, which shall
      be governed by Section 7(b)(v) above, and the consents of the
      Telecommunications Regulatory Board and the FCC, which shall be obtained
      in accordance with Section 7(b)(vi) above) and Required Consents without
      the imposition of any conditions which are materially adverse to the
      Seller and its Affiliates;

            (viii) the Buyer shall have delivered a duly executed counterpart to
      the Transition Services Agreement;

            (ix) the Seller shall have received from counsel to the Buyer an
      opinion in form and substance substantially as set forth in Exhibit C
      attached hereto, addressed to the Seller, and dated as of the Closing
      Date;

            (x) the Seller shall have received the Purchase Price as provided in
      Section 2(c);

            (xi) the Company shall have in excess of 69,000 Equivalent Basic
      Subscribers as evidenced by the standard monthly billing report for
      subscribers received or produced by the Company in the Ordinary Course of
      Business; and

            (xii) Buyer shall have delivered, or caused to be delivered, to
      Seller such other documents as Seller shall reasonably request.

      The Seller may waive any condition specified in this Section 7(b) if it
executes a writing so stating at or prior to the Closing.

      8.    Indemnification.

          (a) The Seller's Indemnification Obligations. Subject to the
    provisions of this Section 8, after the Closing, the Seller agrees to
    defend, reimburse, indemnify, and hold harmless the Buyer Indemnified
    Parties against and in respect of all Adverse Consequences
<PAGE>
    that may be incurred by or imposed on any Buyer Indemnified Party that
    result from, relate to, or arise out of:

            (i)   any breach of a representation or warranty made by the
      Seller in this Agreement;

            (ii) any breach by the Seller of any of its covenants or agreements
      in this Agreement or any Ancillary Document (other than a covenant or
      agreement relating to Taxes and set forth in Section 6(d) the
      indemnification for which shall be solely and exclusively governed by
      Section 6(d));

            (iii) any Excluded Assets or any litigation matter set forth
      on Schedule 5(h); and

            (iv)  each of the matters identified on Schedule 8(a)(iv).

          (b) The Buyer's Indemnification Obligations. Subject to the provisions
    of this Section 8, after the Closing, the Buyer agrees to defend, reimburse,
    indemnify, and hold harmless the Seller Indemnified Parties against and in
    respect of any Adverse Consequences that may be incurred or suffered by or
    imposed on any Seller Indemnified Party, that result from, or relate to, or
    arise out of:

            (i) any breach of a representation or warranty made by the Buyer in
      this Agreement; and

            (ii) any breach by the Buyer of any of its covenants or agreements
      in this Agreement or any Ancillary Document (other than a covenant or
      agreement relating to Taxes and set forth in Section 6(d) the
      indemnification for which shall be solely and exclusively governed by
      Section 6(d)).

          (c)   Indemnification Procedure.

            (i) If, subsequent to the Closing, any Person entitled to
      indemnification under this Agreement (an "Indemnified Party") asserts a
      claim for indemnification for or receives notice of the assertion or
      commencement of any Third Party Claim as to which such Indemnified Party
      intends to seek indemnification under this Agreement, such Indemnified
      Party shall give reasonably prompt written notice of such claim to the
      Party from whom indemnification is to be sought (an "Indemnifying Party"),
      together with a statement of any available information regarding such
      claim. The Indemnifying Party shall have the right, upon written notice to
      the Indemnified Party (the "Defense Notice") within 15 days after receipt
      from the Indemnified Party of notice of such claim, by which notice the
      Indemnifying Party shall specify the counsel it will appoint to defend
      such claim ("Defense Counsel"), to conduct at its expense the defense
      against such Third Party Claim in its own name, or if necessary in the
      name of the Indemnified Party; provided, however, that the Indemnified
      Party shall have the right to approve the Defense Counsel, which approval
      shall not be unreasonably withheld or delayed. The parties hereto agree to
      cooperate fully with each other in connection with the defense,
      negotiation or settlement of any Third Party Claim. If the Indemnifying
      Party delivers a Defense Notice
<PAGE>
      to the Indemnified Party, the Indemnified Party will cooperate with and
      make available to the Indemnifying Party such assistance and materials as
      may be reasonably requested by the Indemnifying Party, all at the expense
      of the Indemnifying Party.

            (ii) If the Indemnifying Party shall fail to give a Defense Notice,
      it shall be deemed to have elected not to conduct the defense of the
      subject Third Party Claim, and in such event the Indemnified Party shall
      have the right to conduct such defense in good faith. If the Indemnified
      Party defends any Third Party Claim, then the Indemnifying Party shall
      reimburse the Indemnified Party for the costs and expenses of defending
      such Third Party Claim upon submission of periodic bills. If the
      Indemnifying Party elects to conduct the defense of the subject Third
      Party Claim, the Indemnified Party may participate, at his or its own
      expense, in the defense of such Third Party Claim; provided, however, that
      such Indemnified Party shall be entitled to participate in any such
      defense with separate counsel at the expense of the Indemnifying Party if
      (i) so requested by the Indemnifying Party to participate or (ii) in the
      reasonable opinion of counsel to the Indemnified Party, a conflict or
      potential conflict exists between the Indemnified Party and the
      Indemnifying Party that would make such separate representation advisable;
      and provided, further, that the Indemnifying Party shall not be required
      to pay for more than one counsel for all Indemnified Parties in connection
      with any Third Party Claim.

            (iii) Regardless of which Party defends a Third Party Claim (other
      than a Third Party Claim relating to Taxes the procedures for which shall
      be solely and exclusively governed by Section 6(d)), the other Party shall
      have the right at its expense to participate in the defense of such Third
      Party Claim, assisted by counsel of its own choosing. The Indemnified
      Party shall not compromise, settle, default on, or admit liability with
      respect to a Third Party Claim without the prior written consent of the
      Indemnifying Party, which consent shall not be unreasonably withheld or
      delayed, and, if the Indemnified Party settles, compromises, defaults on,
      or admits liability with respect to a Third Party Claim except in
      compliance with the foregoing, the Indemnified Party will be liable for
      all costs, expenses, settlement amounts, or other Adverse Consequences
      paid or incurred in connection therewith and the Indemnifying Party shall
      have no obligation to indemnify the Indemnified Party with respect
      thereto. The Indemnifying Party shall not compromise or settle a Third
      Party Claim (other than a Third Party Claim relating to Taxes the
      procedures for which shall be solely and exclusively governed by Section
      6(d)) without the consent of the Indemnified Party, which consent shall
      not be unreasonably withheld or delayed, unless such compromise or
      settlement includes as a term thereof an unconditional release of the
      Indemnified Party and such compromise or release does not impose any
      material non-monetary obligations on the Indemnified Party (and all
      monetary obligations are subject to the indemnification provisions of this
      Agreement) in which case the consent of the Indemnified Party shall not be
      required.

            (iv) After any final decision, judgment or award shall have been
      rendered by a Governmental Entity of competent jurisdiction and the
      expiration of the time in which to appeal therefrom, or a settlement shall
      have been consummated, or the Indemnified Party and the Indemnifying Party
      shall have arrived at a mutually binding agreement with respect to a Third
      Party Claim hereunder, the Indemnified Party shall deliver to the
      Indemnifying Party notice of any sums due and owing by the Indemnifying
      Party
<PAGE>
      pursuant to this Agreement with respect to such matter and the
      Indemnifying Party shall be required to pay all of the sums so due and
      owing to the Indemnified Party by wire transfer of immediately available
      funds within ten (10) Business Days after the date of such notice.

          (d) Direct Claims. It is the intent of the Parties that all direct
    claims by an Indemnified Party against a Party not arising out of Third
    Party Claims shall be subject to and benefit from the terms of this Section
    8. Any claim under this Section 8 by an Indemnified Party for
    indemnification other than indemnification against a Third Party Claim (a
    "Direct Claim") will be asserted by giving the Indemnifying Party reasonably
    prompt written notice thereof, and the Indemnifying Party will have a period
    of 20 days within which to satisfy such Direct Claim. If the Indemnifying
    Party does not so respond within such 20 day period, the Indemnifying Party
    will be deemed to have rejected such claim, in which event the Indemnified
    Party will be free to pursue such remedies as may be available to the
    Indemnified Party under this Section 8.

          (e) Failure to Give Timely Notice. A failure by an Indemnified Party
    to give timely, complete, or accurate notice as provided in Section 8(c) or
    8(d) shall not affect the rights or obligations of either Party hereunder
    except to the extent that, as a result of such failure, any Party entitled
    to receive such notice was deprived of its right to recover any payment
    under its applicable insurance coverage or was otherwise materially
    adversely affected or damaged as a result of such failure to give timely,
    complete, and accurate notice.

          (f) Reduction of Adverse Consequences. The Parties shall use their
    Commercially Reasonable Efforts to collect the proceeds of any insurance
    that would have the effect of reducing any Adverse Consequences (in which
    case such proceeds shall reduce such Adverse Consequences). To the extent
    any Adverse Consequences of an Indemnified Party are reduced by receipt of
    payment under insurance policies or from third parties not affiliated with
    the Indemnified Party, such payments (net of the expenses of the recovery
    thereof) shall be credited against such Adverse Consequences and, if
    indemnification payments shall have been received prior to the collection of
    such proceeds, the Indemnified Party shall remit to the Indemnifying Party
    the amount of such proceeds (net of the cost of collection thereof) to the
    extent of indemnification payments received in respect of such Adverse
    Consequences.

          (g)   Limitations on Indemnities.

            (i) The Seller shall not have any liability pursuant to Section
      8(a)(i) unless and until the aggregate amount of all Adverse Consequences
      subject to this Section 8(g)(i) exceeds the Threshold Amount, and then the
      Seller shall have liability only for the amount of such Adverse
      Consequences in excess of the Threshold Amount; provided, that this
      Section 8(g)(i) shall not apply to a breach of any representation or
      warranty contained in Section 3(a) (Organization), Section 3(b)
      (Capitalization), Section 3(c)(i) (Authorization of Transaction), Section
      3(d) (Brokers' Fees), or Section 3(e) (Subsidiaries).
<PAGE>
            (ii) The Buyer shall not have any liability pursuant to Section
      8(b)(i) unless the aggregate amount of all Adverse Consequences subject to
      this Section 8(g)(ii) exceeds the Threshold Amount, and then the Buyer
      shall have liability only for the amount of such Adverse Consequences in
      excess of the Threshold Amount; provided, that this Section 8(g)(ii) shall
      not apply to a breach of any representation or warranty contained in
      Section 4(a) (Organization), Section 4(b)(i) (Authorization of
      Transaction), Section 4(c) (Brokers' Fees) or Section 4(g) (Investment
      Purpose).

            (iii) The Seller's aggregate liability under Section 8(a)(i) shall
      be limited in the aggregate to 10% of the Purchase Price; provided, that
      this Section 8(g)(iii) shall not apply to a breach of any representation
      or warranty contained in Section 3(a) (Organization), Section 3(b)
      (Capitalization), Section 3(c)(i) (Authorization of Transaction), Section
      3(d) (Brokers' Fees) or Section 3(e) (Subsidiaries). Without limiting the
      other limitations on the indemnification responsibilities of Seller set
      forth herein, in no event shall the aggregate liability of the Seller for
      indemnity under this Section 8 exceed the amount of the Purchase Price.

            (iv) For purposes of calculating Adverse Consequences hereunder (but
      not for purposes of determining whether any particular representation,
      warranty or covenant contained herein has been breached), any materiality
      or Material Adverse Effect qualifications in the representations,
      warranties, covenants and agreements shall be ignored.

            (v) To the extent that a Party has a payment obligation to the other
      Party for indemnification pursuant to this Section 8, such obligated Party
      shall have the right to offset such payment obligations against amounts
      owed, if any, by such other Party to the obligated Party under Section
      2(f)(v).

            (vi) Subject to Section 8(i), in no event shall any Party be liable
      under this Section 8 for punitive, treble, exemplary or other damages that
      are not actual damages in accordance with Law; provided, however, that,
      subject to any limitations on indemnification set forth in this Agreement,
      to the extent a Third Party Claim includes such punitive, treble,
      exemplary or other damages that are not actual damages in accordance with
      Law and are otherwise indemnifiable under this Section 8, such punitive,
      treble, exemplary or other damages shall be included in determining such
      Party's Adverse Consequences relating to such third party claim.

          (h) Survival. All representations, warranties, covenants, and
    agreements contained in this Agreement shall survive the execution and
    delivery of this Agreement and the Closing hereunder; provided, that, except
    as provided in the next sentence, the representations and warranties shall
    expire on, and any claim for indemnification with respect thereto must be
    brought before, the date which is fifteen (15) months after the Closing
    Date; provided, further, that notwithstanding the foregoing, each covenant
    or agreement contained in this Agreement to be performed after the Closing
    shall survive until the expiration of the applicable statutes of
<PAGE>
    limitations. Notwithstanding the foregoing, claims for indemnification with
    respect to a breach of a Surviving Representation may be brought at any time
    until 60 days after the expiration of the applicable statutes of
    limitations, except for the Surviving Representations set forth in Section
    3(q) (Environmental Matters), which shall expire five years after the
    Closing Date, and the Surviving Representations set forth in Sections 3(b)
    (Capitalization) and 3(c)(i) (Authorization of Transaction), which shall
    survive indefinitely.

          (i) Exclusivity. After the Closing, the indemnification provided by
    this Section 8 shall be the sole and exclusive remedy for the Buyer for any
    claim (whether such claim is framed in tort, contract or otherwise) arising
    out of a breach of any representations, warranty, covenant or other
    agreement herein (other than the covenants of Seller relating to Taxes
    provided for in Section 6(d), the indemnification for which shall be solely
    and exclusively governed by Section 6(d)) or otherwise arising out of or in
    connection with the transactions contemplated by this Agreement (other than
    the Transition Services Agreement) or the operations of the Company;
    provided, that this Section 8(i) shall not prohibit (i) injunctive relief
    (including specific performance) if available under applicable Law or (ii)
    any other remedy available at law or in equity for any fraud committed or
    made by the Seller in connection with the transactions contemplated by this
    Agreement.

          (j) Interest. Seller shall pay the Buyer Indemnified Parties interest
    at the rate of three percent (3%) per annum on any amounts due to third
    parties in respect of the indemnification provided by Section 8(a)(iv) from
    the Closing Date through the date of any such payment.

      9.    Termination.

          (a)   Termination of Agreement.  This Agreement may, by written
    notice given prior to or at the Closing, be terminated as follows:

            (i) By (A) the Seller (if the Seller is not in breach or default of
      its representations, warranties or covenants hereunder in a manner which
      would cause the conditions to Closing set forth in Section 7(a)(i) or
      Section 7(a)(ii) not to be satisfied) if the Buyer breaches in any
      material respect any of its covenants contained herein and such breach
      remains uncured 30 days after the date of written notice from the Seller
      to the Buyer of such breach, or (B) the Buyer (if the Buyer is not in
      breach or default of its representations, warranties or covenants
      hereunder in a manner which would cause the conditions to Closing set
      forth in Section 7(b)(i) or Section 7(b)(ii) not to be satisfied) if the
      Seller breaches in any material respect any of its covenants contained
      herein and such breach remains uncured 30 days after the date of written
      notice from the Buyer to the Seller of such breach;

            (ii)  by mutual consent of the Buyer and the Seller; or

            (iii) by either the Buyer or the Seller, if the Closing has not
      taken place by the date which is eight (8) months from the date of this
      Agreement (the "Upset Date"); provided that a Party may not terminate this
      Agreement pursuant to this Section 9(a)(iii) if the failure of the Closing
      to have taken place on or before such date is attributable to the failure
      of the Party seeking to terminate to comply in any material respect with
      its obligations hereunder.
<PAGE>
            (iv) by the Seller or Buyer if there shall be in effect a final
      nonappealable order, injunction, judgment, decree, ruling, writ,
      assessment or arbitration award of a Governmental Body of competent
      jurisdiction restraining, enjoining or otherwise prohibiting the
      consummation of the transactions contemplated hereby; it being agreed that
      the parties hereto shall promptly appeal any adverse determination which
      is not nonappealable (and use Commercially Reasonable Efforts to pursue
      such appeal with reasonable diligence);

          (b) Effect of Termination. Upon any termination of this Agreement
    pursuant to Section 9(a), this Agreement shall terminate and the
    transactions contemplated hereby shall be abandoned without further action
    by any of the Parties hereto; provided that the provisions of this Section
    9, the second sentence of Section 5(d) and Section 10 and the
    Confidentiality Agreement shall survive such termination. If this Agreement
    is terminated as provided herein, none of the Parties hereto shall have any
    further obligation or liability to the other Parties hereto, except as set
    forth in the preceding sentence and the following sentence. Notwithstanding
    anything to the contrary contained herein, neither Seller nor Buyer shall
    have any liability for any breach of this Agreement prior to the effective
    date of a termination, other than for an intentional breach.

      10.   Miscellaneous.

          (a) Press Releases and Public Announcements. No Party shall issue any
    press release or make any public announcement relating to the subject matter
    of this Agreement prior to the Closing without the prior written approval of
    the other Party which approval shall not be unreasonably withheld or
    delayed; provided, however, that (i) immediately following the execution
    hereof, the Parties will jointly issue a press release announcing their
    entry into of this Agreement, (ii) any Party may make any public disclosure
    it believes in good faith is required by applicable Law or any listing or
    trading agreement or the rules and regulations of any securities exchange or
    automated securities quotation system concerning its publicly-traded
    securities (in which case the disclosing Party will, to the extent permitted
    by applicable Law, any such listing or trading agreement, rules or
    regulations, use its Commercially Reasonable Efforts to advise the other
    Party prior to making the disclosure) and (iii) the Seller may disclose
    information about this Agreement and the transactions contemplated hereby in
    the ordinary course in connection with its investor relations practices.

          (b) No Third-Party Beneficiaries. Except as provided in Section 8,
    this Agreement shall not confer any rights or remedies upon any Person other
    than the Parties and their respective successors and permitted assigns.

          (c) Entire Agreement. This Agreement, the Schedules and Exhibits
    hereto and the Disclosure Schedule, the Ancillary Documents and all
    documents and certificates to be delivered pursuant hereto collectively
    constitutes the entire agreement among the Parties with respect to the
    subject matter of this Agreement and supersede any prior negotiations,
    understandings, agreements, or representations by or among the Parties,
    written or oral, to the extent they relate in any way to the subject matter
    hereof.
<PAGE>
          (d) Succession and Assignment. This Agreement shall be binding upon
    and inure to the benefit of the Parties named herein and their respective
    successors and permitted assigns. No Party may assign either this Agreement
    or any of its rights, interests, or obligations hereunder without the prior
    written approval of the other Party hereto. Notwithstanding the foregoing,
    the Buyer may, without the approval of any other Party to this Agreement,
    but with prior notice to Seller, assign this Agreement and any or all rights
    or obligations hereunder (including, without limitation, Buyer's rights to
    purchase the Company Shares and Buyer's rights to seek indemnification
    hereunder) to any Affiliate of Buyer and may make a collateral assignment of
    this Agreement to any Person from which it has borrowed money, in each case,
    as long as the following conditions are satisfied: (i) the representations
    and warranties of the Buyer contained in this Agreement are true and correct
    with respect to such assignee as of the date of such assignment, (ii) the
    assignee is otherwise able to comply with the covenants and agreements of
    Buyer set forth in this Agreement and satisfy the conditions to Seller's
    obligation to close set forth in Sections 7(b)(i), 7(b)(ii), 7(b)(iii),
    7(b)(viii) and 7(b)(ix); and (iii) such assignment does not hinder or delay
    the consummation of the transactions contemplated by this Agreement. Upon
    any such permitted assignment, the references in this Agreement to Buyer
    shall refer to such assignee unless the context otherwise requires.

          (e) Counterparts. This Agreement may be executed and delivered
    (including by facsimile transmission) in one or more counterparts, each of
    which shall be deemed an original but all of which together will constitute
    one and the same instrument.

          (f) Headings. The section headings contained in this Agreement are
    inserted for convenience only and shall not affect in any way the meaning or
    interpretation of this Agreement.

          (g) Notices. All notices, requests, demands, claims, and other
    communications hereunder will be in writing. Any notice, request, demand,
    claim, or other communication hereunder shall be deemed duly given if it is
    sent: (a) by registered or certified mail, return receipt requested, postage
    prepaid, (b) by facsimile or e-mail (with receipt personally confirmed by
    telephone), (c) by personal delivery, or (d) by commercial delivery service,
    and, in each case, addressed to the intended recipient as set forth below:

            If to the Seller:

            c/o Centennial Communications Corp.
            3349 Route 138, Bldg. A
            Wall, NJ  07719
            Attention:  General Counsel
            Facsimile:  (732) 556-2245
            E-Mail:     twolk@centennialcorp.com

            Copy to:

            Dow, Lohnes & Albertson, PLLC
            1200 New Hampshire Avenue, N.W.
<PAGE>
            Washington, DC  20036
            Attention:  John T. Byrnes, Esq.
            Facsimile:  (202) 776-2535
            E-mail:     jbyrnes@dowlohnes.com

            If to the Buyer:

            c/o Hicks, Muse, Tate & Furst Incorporated
            200 Crescent Court, Suite 1600
            Dallas, Texas 75201
            Attention:  Eric Lindberg
            Facsimile:  214-740-7888
            E-mail:     elindberg@hmtf.com

            Copy to:

            Weil, Gotshal & Manges LLP
            200 Crescent Court, Suite 300
            Dallas, Texas 75201
            Attention:  Glenn D. West, Esq.
            Facsimile:  (214) 746-7777
            Email:      gdwest@weil.com

Such notice shall be deemed received for purposes of this Agreement on the date
of delivery as set forth in the return receipt or records of the delivery
service in the case of notice sent by registered or certified mail or by
commercial delivery service, respectively, or the date of personal delivery in
the case of notice sent by personal delivery or the date of telephone
confirmation in the case of notice sent by facsimile or e-mail. Any Party may
send any notice, request, demand, claim, or other communication hereunder to the
intended recipient at the address set forth above using any other means
(including personal delivery, expedited courier, messenger service, telecopy,
telex, ordinary mail, or electronic mail), but no such notice, request, demand,
claim, or other communication shall be deemed to have been duly given unless and
until it actually is received by the intended recipient. Any Party may change
the address to which notices, requests, demands, claims, and other
communications hereunder are to be delivered by giving the other Parties notice
in the manner herein set forth.

          (h)   Governing Law; Forum Selection; Consent to Jurisdiction.

            (i) This Agreement shall be governed by and construed in accordance
      with the domestic laws of the State of New York without giving effect to
      any choice or conflict of law provision or rule (whether of the State of
      New York or any other jurisdiction) that would cause the application of
      the laws of any jurisdiction other than the State of New York.

            (ii) ANY LITIGATION IN CONNECTION WITH OR IN ANY WAY RELATED TO THIS
      AGREEMENT, OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS
      (WHETHER VERBAL OR WRITTEN), ACTIONS OR INACTIONS OF THE BUYER OR THE
      SELLER WILL BE BROUGHT AND
<PAGE>
      MAINTAINED IN THE COURTS OF THE STATE OF NEW YORK LOCATED IN NEW YORK
      COUNTY OR IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF
      NEW YORK. EACH OF THE BUYER AND THE SELLER HEREBY EXPRESSLY AND
      IRREVOCABLY SUBMITS TO THE JURISDICTION OF THE COURTS OF THE STATE OF NEW
      YORK LOCATED IN NEW YORK COUNTY AND OF THE UNITED STATES DISTRICT COURT
      FOR THE SOUTHERN DISTRICT OF NEW YORK FOR THE PURPOSE OF ANY SUCH
      LITIGATION AS SET FORTH ABOVE AND IRREVOCABLY AGREES TO BE BOUND BY ANY
      FINAL AND NON-APPEALABLE JUDGMENT RENDERED THEREBY IN CONNECTION WITH SUCH
      LITIGATION. EACH OF THE BUYER AND THE SELLER FURTHER IRREVOCABLY CONSENTS
      TO THE SERVICE OF PROCESS BY REGISTERED OR CERTIFIED MAIL, POSTAGE
      PREPAID, OR BY PERSONAL SERVICE WITHIN OR OUTSIDE THE STATE OF NEW YORK.
      EACH OF THE BUYER AND THE SELLER HEREBY EXPRESSLY AND IRREVOCABLY WAIVES,
      TO THE FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION WHICH IT MAY HAVE OR
      HEREAFTER MAY HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION BROUGHT
      IN ANY SUCH COURT REFERRED TO ABOVE AND ANY CLAIM THAT ANY SUCH LITIGATION
      HAS BEEN BROUGHT IN AN INCONVENIENT FORUM. TO THE EXTENT THAT THE BUYER OR
      THE SELLER HAS OR HEREAFTER MAY ACQUIRE ANY IMMUNITY FROM JURISDICTION OF
      ANY COURT OR FROM ANY LEGAL PROCESS (WHETHER THROUGH SERVICE OR NOTICE,
      ATTACHMENT PRIOR TO JUDGMENT, ATTACHMENT IN AID OF EXECUTION OR OTHERWISE)
      WITH RESPECT TO ITSELF OR ITS PROPERTY, THEN EACH OF THE BUYER AND THE
      SELLER HEREBY IRREVOCABLY WAIVES SUCH IMMUNITY IN RESPECT OF THIS
      AGREEMENT.

          (i) Amendments and Waivers. No amendment of any provision of this
    Agreement shall be valid unless the same shall be in writing and signed by
    the Buyer and the Seller. No waiver by any Party of any default,
    misrepresentation, or breach of warranty or covenant hereunder, whether
    intentional or not, shall be deemed to extend to any prior or subsequent
    default, misrepresentation, or breach of warranty or covenant hereunder or
    affect in any way any rights arising by virtue of any such prior or
    subsequent occurrence.

          (j) Severability. If any provision of this Agreement or the
    application thereof to any Person or circumstance shall be invalid or
    unenforceable to any extent, the remainder of this Agreement and the
    application of such provision to other Persons or circumstances shall not be
    affected thereby and shall be enforced to the greatest extent permitted by
    law so long as the economic or legal substance of the transactions
    contemplated hereby is not affected in any manner materially adverse to any
    Party. Upon such determination that any term or other provision is invalid
    or unenforceable, the Parties hereto shall negotiate in good faith to modify
    this Agreement so as to effect the original intent of the Parties as closely
    as possible in an acceptable manner to the end that the transactions
    contemplated hereby are fulfilled to the greatest extent possible.

          (k) Expenses. Each of the Buyer and the Seller will bear its own costs
    and expenses (including legal fees and expenses) incurred in connection with
    this Agreement
<PAGE>
    and the transactions contemplated hereby; provided, however, that the Buyer
    will pay any fees and charges of any Governmental Entities in connection
    with the Hart-Scott-Rodino Act and any fees to be paid to the FCC and the
    Telecommunications Regulatory Board. All use, sales, transfer and other
    similar transaction Taxes imposed in connection with the transactions
    contemplated by this Agreement (other than any Taxes on income or gains that
    the Seller may realize (which shall be paid by the Seller) or that the Buyer
    may realize (which shall be paid by the Buyer)) shall be paid one-half by
    the Buyer and one-half by the Seller. For the avoidance of doubt, in no
    event shall the Company, pay or be obligated to pay any of the transaction
    costs and expenses incurred in connection with the negotiation, execution,
    delivery and Closing of this Agreement and the transactions contemplated
    hereby, other than costs and expenses which reduce the Company's cash
    balance and costs and expenses included in the determination of Current
    Liabilities for purposes of calculating Working Capital pursuant to Section
    2(f).

          (l) Limitations on Representations and Warranties. Except as expressly
    set forth in this Agreement, the Seller makes no representation or warranty,
    express or implied, at Law or in equity, in respect of the Company or any of
    its assets, properties, liabilities or operations, including any
    representations as to projections, budgets, or estimates of future results,
    or as to information in documents made available to the Buyer or its
    representatives.

          (m) Construction. The Parties have participated jointly in the
    negotiation and drafting of this Agreement. If an ambiguity or question of
    intent or interpretation arises, this Agreement shall be construed as if
    drafted jointly by the Parties and no presumption or burden of proof shall
    arise favoring or disfavoring any Party by virtue of the authorship of any
    of the provisions of this Agreement.

          (n) Non-Recourse. Except with respect to the guaranty attached hereto
    as Exhibit D, no past, present or future director, officer, employee,
    incorporator, member, partner, stockholder, Affiliate, agent, attorney or
    representative of either party hereto or any Affiliate thereof shall have
    any liability for any obligations or liabilities of such party under this
    Agreement or for any claim based on, in respect of, or by reason of, the
    transactions contemplated hereby.

            [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK]
<PAGE>
      IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on as
of the date first above written.

                                   PUERTO RICO CABLE ACQUISITION COMPANY
                                   INC.

                                   By:    /s/ JACOB CAPPS
                                          --------------------------------------
                                   Name:  Jacob Capps
                                   Title: Vice President and Assistant Secretary

                                   CENTENNIAL CARIBBEAN HOLDING CORP.

                                   By:    /s/ MICHAEL J. SMALL
                                          --------------------------------------
                                   Name:  Michael J. Small
                                   Title: Chief Executive Officer

                                   For purposes of Section 6(d)(x) only,

                                   CENTENNIAL COMMUNICATIONS CORP.

                                   By:    /s/ MICHAEL J. SMALL
                                          --------------------------------------
                                   Name:  Michael J. Small
                                   Title: Chief Executive Officer<PAGE>
                                                                    EXHIBIT 10.1

       (FOR GRANTS TO EXECUTIVE OFFICERS, OTHER EMPLOYEES AND CONSULTANTS)

                                     FORM OF
                                DIAMOND OFFSHORE
                            STOCK OPTION CERTIFICATE

THIS CERTIFICATE, dated as of ______, 20__, evidences the grant of the Option
set forth below by Diamond Offshore Drilling, Inc., a Delaware corporation (the
"Company"), to _______________ (the "Participant").

1.       Grant of Option.

Subject to the provisions of this Certificate and to the provisions of the
Amended and Restated Diamond Offshore Drilling, Inc. 2000 Stock Option Plan (the
"Plan"), the Company hereby grants to the Participant as of _______, 20__ (the
"Grant Date") the right and option (the "Option") to purchase _____ shares of
Stock, at the Exercise Price of ______ per share. The Option shall be a
non-qualified option ("NQO"). Unless earlier terminated pursuant to the terms of
this Certificate, the Option shall expire on the tenth anniversary of the date
hereof. Capitalized terms not defined herein shall have the meanings set forth
in the Plan.

2.       Exercisability of the Option.

The Option shall become vested and exercisable with respect to one-quarter (1/4)
of the shares covered thereby on _______, 20__ (the "Vesting Date") and as to an
additional one-quarter (1/4) of such shares on each of the next three
anniversaries of the Vesting Date, subject to the prior termination of the
Option.

3.       Method of Exercise of the Option.

(1)      An Option may be exercised and the underlying shares purchased at any
         time after the Option with respect to those shares vests and before the
         expiration of the Option Term. To exercise and Option, the Participant
         shall give written notice to the Company stating the number of shares
         with respect to which the Option is being exercised.

(2)      The full Exercise Price for shares of Stock purchased upon the exercise
         of any Option shall be paid at the time of such exercise (except that,
         in the case of an exercise arrangement approved by the Board and
         described in the last sentence of this paragraph (2), payment may be
         made as soon as practicable after the exercise). The Exercise Price
         shall be payable by check, or such other instrument as the Board may
         accept. The Participant may elect to pay the Exercise Price upon the
         exercise of an Option by irrevocably authorizing a third party to sell
         shares of Stock (or a sufficient portion of the shares) acquired upon
         exercise of

<PAGE>

         the Option and remit to the Company a sufficient portion of the sale
         proceeds to pay the entire Exercise Price and any tax withholding
         resulting from such exercise.

4.       Option Term.

Except as otherwise determined by the Board after the date of this Certificate,
the Option Term shall end on the earliest of (1) the date on which the Option
has been exercised in full, (2) the date on which the Participant experiences a
Termination for Cause or a voluntary Termination, (3) the one-year anniversary
of the date on which the Participant experiences a Termination due to death or
Disability, (4) the three-year anniversary of the date on which the Participant
experiences a Termination due to such person's Retirement; or (5) the 90th day
after the Participant experiences a Termination for any other reason; provided,
that in no event may the Option Term exceed _________ from the date hereof. Upon
the occurrence of a Termination of Participant for any reason, the Option Term
shall thereupon end with respect to any portion of the Option that is unvested
as of the date of such Termination and such unvested portion shall be forfeited
immediately.

5.       Nontransferability of the Option.

The Option is not transferable except (i) as designated by the Participant by
will or by the laws of descent and distribution or (ii) in the case of an NQO,
as otherwise expressly permitted by the Board including, if so permitted,
pursuant to a transfer to such Participant's immediate family, whether directly
or indirectly or by means of a trust or partnership or otherwise. If any rights
exercisable by the Participant or benefits deliverable to the Participant under
this Certificate have not been exercised or delivered, at the time of the
Participant's death, such rights shall be exercisable by the Designated
Beneficiary, and such benefits shall be delivered to the Designated Beneficiary,
in accordance with the provisions of this Certificate and the Plan.

6.       Taxes and Withholdings.

No later than the date of exercise of the Option granted hereunder, the
Participant shall pay to the Company or make arrangements satisfactory to the
Board regarding payment of any federal, state or local taxes of any kind
required by law to be withheld upon the exercise of such Option and the Company
shall, to the extent permitted or required by law, have the right to deduct from
any payment of any kind otherwise due to the Participant, federal, state and
local taxes of any kind required by law to be withheld upon the exercise of such
Option, as provided in Section 3.4 of the Plan.

7.       Notices.

All notices and other communications under this Certificate shall be in writing
and shall be given by hand delivery to the other party or by confirmed fax or
overnight courier, or by postage paid first class mail, addressed as follows:

<PAGE>

If to the Participant:                    If to the Company:

                                          Diamond Offshore Drilling, Inc.
                                          15415 Katy Freeway, Suite 100
                                          Houston, Texas 77094-1800
                                          Attention: Corporate Secretary
                                          Fax: 281-647-2223

or to such other address or facsimile number as any party shall have furnished
to the other in writing in accordance with this Paragraph 7. Notice and
communications shall be effective when actually received by the addressee.

8.       Effect of Certificate.

Except as otherwise provided hereunder, this Certificate shall be binding upon
and shall inure to the benefit of any successor or successors of the Company,
and to any transferee or successor of the Participant pursuant to Paragraph 5.

9.       Conflicts and Interpretation.

The Option is subject to the provisions of the Plan, which are hereby
incorporated by reference. In the event of any conflict between this Certificate
and the Plan, the Plan shall control. In the event of any ambiguity in this
Certificate, any term which is not defined in this Certificate, or any matters
as to which this Certificate is silent, the Plan shall govern including, without
limitation, the provisions thereof pursuant to which the Board has the power,
among others, to (i) interpret the Plan, (ii) prescribe, amend and rescind rules
and regulations relating to the Plan and (iii) make all other determinations
deemed necessary or advisable for the administration of the Plan.

10.      Headings.

The headings of paragraphs herein are included solely for convenience of
reference and shall not affect the meaning or interpretation of any of the
provisions of this Certificate.

11.      Amendment.

This Certificate may not be modified, amended or waived except by an instrument
in writing signed by the Company. The waiver by either party of compliance with
any provision of this Certificate shall not operate or be construed as a waiver
of any other provision of this Certificate, or of any subsequent breach by such
party of a provision of this Certificate.

<PAGE>

IN WITNESS WHEREOF, as of the date first above written, the Company has caused
this Certificate to be executed on its behalf by a duly authorized officer of
the Company.

                                             DIAMOND OFFSHORE DRILLING, INC.

                                             By:
                                                ----------------------------

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